Information Only - Waste Isolation Pilot Plant - U.S. Department of ...

IX-9
-4-
Ca s e No. 93 16
Order No. R-111-P
(19) One member of the work cornni ttee from the potash
industr",' testified the proposed revision of Order R-111-A
fa j Ieo topr oh i bit d r i I ling inthe c ornne rei a loreare asand
was therefore contrary to the work committee report and the
011 and Gas Act,
(20) The Commission cannot abdicate its discretion to
consider appl ications to drill as exceptions to its rules and
orders but in the interest of preventing waste of potash
should deny any appl ication to dri II in commercial potash
areas as recommended~in-the work committee report. unless a
clear demonstration is made that commercial potash wil I not be
wasted unduly as a result of the drill ing of the well.
(21) Confusion can be reduced and e"fficiencies can be
obtained by making the ar~a covered by Order R-111 cotermi~~
with the KPLA as determined by the BLM. and the area should be
expanded and contracted by the regular pool nomenclature
procedure ra ther than by sepa ra te hea rings and further
revisions of Order R-111.
(22) Expansion of the R-lll area to coincide with the
KPLA will bring under the purview of this order areas where
potash is ei ther absent or non-cornnercial and such areas
should be granted less stringent casing, cementing and
plugging requirements, at the discretion of the OCO district
superv isor.
(23) The proposed revision of Order R-l11-A wil I permit
the drill ing of wei Is for oil or gas in areas previously not
available for such dri I I ing and wi II prevent waste of potash,
and further, wi I I serve to reduce confusion and uncertainty in
the conduct of operat ions by both the potash and oi I/gas
industries, all to the benefi t of the state and its ci tizens.
IT IS THEREFORE ORDERED THAT:
This order shal I be known as The Rules and Regulations
Governing the Exploration and Development of 01 I and Gas in
Certain AreilS Herein Defined, Which Are Known To Contain
Potash Reserves.
A. OBJECTIVE
~ "\ The objective of these Rules and Regulations is" to
, -.P \ prevent waste. protect correlative rights. assure maximum
&0 -c;. conservation of the oil, gas and potash resources of New
Information Only
~ «6 c::a Mexico. and Permit the economic recovery of oil, ~as and
~ ~ potash minerals in the area hereinafter defineu.