OklahomaHB 4338Oklahoma 2026 Regular SessionHouseWALLET

Oklahoma Brine Development Act; modifications; modifying definitions; defining terms; Corporation Commission; emergency.

Sponsored By: Anthony Moore (Republican)

Signed by Governor

Senate Committee

Personalized for You

How does this bill affect your finances?

Personalize government policy and PRIA will tell you what this bill means for your household, plus every other piece of legislation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.

Bill Overview

Analyzed Economic Effects

8 provisions identified: 3 benefits, 0 costs, 5 mixed.

Surface owners own brine, get notice

If you own the surface, the brine under your land belongs to you until it is taken out. People entitled to brine sale money are “brine owners.” Before a brine well is drilled, the operator must send you certified-mail notice with the location and planned start date. If the owner cannot be found after a diligent search, the operator may use constructive notice. Within five days of notice, the operator and surface owner must try in good faith to agree on surface damages.

Liability limits for water recyclers

If your business treats produced water into reclaimed water, the law limits your liability for how others later use or handle it. If you transfer produced water for mineral extraction or to a recycler, your downstream liability is limited too. You are still responsible for your own actions before transfer and must meet environmental rules.

How shares are paid and documented

Owners in a unit share brine, produced‑water elements, reclaimed water, and solution gas based on acreage, unless the Commission orders another method. Operators must keep per‑well and per‑unit volume records; commingling is allowed, and gross production is set by total commingled volume before extraction unless ordered otherwise. You must be paid within six months of the first sale, then by the last day of the second month after each sale month. If a unitization case is pending, unpaid proceeds earn 6% annual interest, compounded, from the first sale after filing. If payors break payment rules, they owe the unpaid amount plus 15% annual interest. The payment clock starts on the date of venting, flaring, use, or nonpayment if no sale occurs. Small amounts follow set rules: under $10 may be held until production ends; $10–$100 can be paid annually; $25–$100 must be paid monthly if you ask. Each payment must include itemized details like unit ID, volumes, prices, your decimal interest, and every deduction. If you win in court, you can recover your reasonable attorney and expert fees and costs.

Early produced-water processing with safeguards

A qualified party may accept and process produced water headed for disposal before a unit is approved, but must file a unit application within 60 days. After filing, the party can get emergency approval to extract and sell materials if needed to prevent waste. Until the final order, the applicant may collect sale proceeds but must hold a fair‑market‑value royalty share in suspense for any unleased brine owners, unless a contract says otherwise.

How brine and water units form

The Commission can create brine or produced‑water units when unitized operation prevents waste and protects owners. Brine units take effect only if at least 55% of right‑to‑drill owners and 55% of royalty owners sign within six months; this does not apply to produced‑water units. Applications must list all brine owners, include any solution‑gas owners if gas is present, and attach a unit plan. Plans must name the operator and set fair rules for allocation, costs, injection, non‑participant pay, and start/end terms. The Commission may unitize associated solution gas, change unit size, and allow multiple sources if needed. Oil and gas spacing orders do not control brine wells, and produced‑water units usually match oil and gas spacing unless the Commission sets a different size. A participating brine owner gets a one‑time option to sell, and any owner with refining equipment must buy at a Commission‑set value unless not producing for its own account.

Clear state control of brine operations

The Corporation Commission now regulates commercial brine drilling and certain Class V injection wells tied to mineral brines. The Department of Environmental Quality keeps control over Class I, III, IV, and other DEQ‑regulated wells. Produced water covered by the Recycling and Reuse Act stays under that law, unless it is processed to sell minerals. An operator must have rights to drill or extract and Commission authorization. A “brine well” is a well drilled mainly for brine. Oil and gas operators are not required to extract minerals from brine or produced water.

Direct deposit allowed for royalty payments

The law lets payers send royalty and other proceeds by electronic payment. Allowed methods include EFT, ACH, direct deposit, or wire transfer. Both the payer and the payee must agree in writing. Paper checks remain allowed; electronic payment is optional.

New unit rules apply immediately

The law takes effect right away. The new unitization rules apply to applications filed on or after the effective date. Applications filed before that date are not affected.

Sponsors & Cosponsors

Sponsor

  • Anthony Moore

    Republican • House

Cosponsors

  • Steve Bashore

    Republican • House

  • Grant Green

    Republican • Senate

  • Carl Newton

    Republican • House

Roll Call Votes

All Roll Calls

Yes: 377 • No: 2

House vote • 5/6/2026

FOURTH READING

Yes: 85 • No: 0

Senate vote • 5/4/2026

THIRD READING

Yes: 48 • No: 0

Senate vote • 4/16/2026

emergency

Yes: 0 • No: 1

Senate vote • 4/16/2026

Committee vote: Energy

Yes: 8 • No: 1

House vote • 3/25/2026

THIRD READING

Yes: 93 • No: 0

House vote • 3/25/2026

Top_of_Page

Yes: 93 • No: 0

House vote • 2/25/2026

DO PASS

Yes: 14 • No: 0

House vote • 2/25/2026

DO PASS

Yes: 14 • No: 0

House vote • 2/11/2026

DO PASS

Yes: 11 • No: 0

House vote • 2/11/2026

DO PASS

Yes: 11 • No: 0

Actions Timeline

  1. Approved by Governor 05/12/2026

    5/12/2026House
  2. Sent to Governor

    5/6/2026House
  3. Enrolled measure signed, returned to House

    5/6/2026Senate
  4. Enrolled, signed, to Senate

    5/6/2026House
  5. Referred for enrollment

    5/6/2026House
  6. Fourth Reading, Measure and Emergency Passed: Ayes: 85 Nays: 0

    5/6/2026House
  7. SA's read, adopted

    5/6/2026House
  8. SA's received

    5/5/2026House
  9. Engrossed to House

    5/5/2026Senate
  10. Referred for engrossment

    5/4/2026Senate
  11. Measure and Emergency passed: Ayes: 48 Nays: 0

    5/4/2026Senate
  12. General Order, Amended by Floor Substitute

    5/4/2026Senate
  13. Placed on General Order

    4/21/2026Senate
  14. Reported Do Pass Energy committee; CR filed

    4/16/2026Senate
  15. Second Reading referred to Energy

    4/1/2026Senate
  16. First Reading

    3/30/2026Senate
  17. Engrossed, signed, to Senate

    3/30/2026House
  18. Referred for engrossment

    3/25/2026House
  19. Third Reading, Measure and Emergency passed: Ayes: 93 Nays: 0

    3/25/2026House
  20. Emergency added

    3/25/2026House
  21. Amended by floor substitute

    3/25/2026House
  22. General Order

    3/25/2026House
  23. CR; Do Pass, amended by committee substitute Energy and Natural Resources Oversight Committee

    2/25/2026House
  24. Authored by Senator Green (principal Senate author)

    2/16/2026House
  25. Coauthored by Representative(s) Newton, Bashore

    2/16/2026House

Bill Text

  • Enrolled (final version)

    5/6/2026

  • Amended And Engrossed

    5/5/2026

  • Floor (Senate)

    4/20/2026

  • Senate Committee Report

    4/16/2026

  • Engrossed

    3/30/2026

  • Floor (House)

    3/2/2026

  • House Committee Report

    2/25/2026

  • House Committee Substitute

    2/25/2026

  • House Policy Committee Report

    2/16/2026

  • Introduced

    1/15/2026

Related Bills

Back to State Legislation