Chapter 55, OIL AND GAS

55-1401. Citation of act. This act may be cited as the "Kansas natural gas price protection act." History: L. 1979, ch. 171, § 1; May 29. CASE ANNOTATIONS 1. Constructive production created by payment of shut-in royalties, lessee's duty to diligently search for market examined. R…

55-1402. Definitions. For the purposes of this act: (a) "Commission" means the state corporation commission. (b) "Gas purchase contract" means any contract under which natural gas is sold within the state of Kansas (1) to any person for resale by such person or (2) to any person …

55-1403. Applicability of act to natural gas purchase contracts. Only natural gas purchase contracts entered into before April 20, 1977, providing for the sale, within this state, of natural gas produced in this state and not committed or dedicated to interstate commerce on Novem…

55-1404. Effect of indefinite price escalator clauses of certain natural gas purchase contracts on price of natural gas. Except to the extent provided in K.S.A. 55-1405 and 55-1406, on or after December 1, 1978, the price allowed to be paid pursuant to federal legislation or any …

55-1405. Limited effect of indefinite escalator clauses; price calculated monthly; exceptions. Notwithstanding the restriction on the operation of indefinite price escalator clauses imposed by K.S.A. 55-1404, after March 1, 1979, such indefinite price escalator clauses in gas pur…

55-1406. Effect of indefinite price escalator clauses on gas produced from new wells or reservoirs and stripper wells; price calculated monthly; category determinations. Notwithstanding the restriction on operation of indefinite price escalator clauses in gas purchase contracts i…

55-1407. Recovery of production and conservation fees and taxes. For purposes of this act, the price collected for the first sale of natural gas shall be permitted to exceed any maximum price established by such sections of this act, to the extent necessary to recover any product…

55-1408. Voluntary renegotiation of price provisions. Nothing contained in this act shall prevent or limit the voluntary renegotiation of price provisions contained in natural gas purchase contracts. History: L. 1979, ch. 171, § 8; May 29. CASE ANNOTATIONS 1. Mentioned in upholdi…

55-1409. Enforcement of act by commission; rules and regulations. Jurisdiction to implement and enforce the provisions of this act is hereby conferred on the commission, except that nothing in such sections of this act shall be construed to divest the district courts of Kansas of…

55-1410. Judicial review of commission's actions. Any action of the commission under the Kansas natural gas pricing act is subject to review by the supreme court in accordance with the Kansas judicial review act. Such review shall be taken in the same manner and time as allowed b…

55-1411. Price limitations to terminate December 31, 1984; reports by commission; end-use allocation by commission, when. All price limitations as defined in this act shall terminate not later than December 31, 1984. The commission shall monitor and report to the legislature at t…

55-1412. Credit of gross profits of emergency or spot sales of natural gas in interstate commerce to customers; duties of commission. The commission by appropriate action shall prescribe a method by which the gross profits, including transportation charges, derived from sales of …

55-1413. Certain natural gas distributors to apportion the savings accrued from the operation of this act to its customers. In any case where a natural gas distributor receives both intrastate and interstate natural gas for its system, the commission, by order, shall require any …

55-1414. Profits of pipelines from certain natural gas sales apportioned to customers. Any intrastate pipeline making an intrastate sale of natural gas the purpose for which is to allow intrastate natural gas to be substituted for interstate natural gas in the compressor faciliti…

55-1415. Invalidity of part. If any sentence, clause, subsection, or section of this act is held unconstitutional or invalid by any court of competent jurisdiction it shall be conclusively presumed that the legislature would have enacted the remainder of the act not so held uncon…

55-1424. Natural gas purchase contracts; definitions. For the purposes of this act, production taxes shall mean that portion of ad valorem taxes assessed upon an oil and gas leasehold estate, unit or fee, attributable to the production of natural gas, and shall mean the Kansas mi…

55-1425. Provision preventing certain taxes from inclusion in purchase price prohibited. No contract for the sale or purchase of natural gas entered into after the effective date of this act shall contain any provision which prohibits or prevents production taxes from being negot…

55-1426. Production taxes allowed in purchase price, when; taxes included deemed approved for purpose of purchased gas cost adjustments. Any contract entered into after the effective date of this act for the sale or purchase of natural gas may contain a provision which allows pro…

55-1427. Act not applicable to direct purchases for irrigation purposes. The provisions of this act shall not apply to direct sales of natural gas by producers to users of natural gas for irrigation purposes within the state of Kansas. History: L. 1986, ch. 200, § 4; July 1.

55-1501. Definitions. As used in this act: (a) "Carrier" means a common carrier which is certified under K.S.A. 66-131. (b) "Dealer" means any person engaged in the business of dealing in used oil or gas field equipment. (c) "Oil and gas field equipment" means any equipment or ma…

55-1502. Equipment dealers; records required; penalties for violations. (a) Any dealer who has gross receipts of more than $100,000 from the sale of used oil or gas field equipment in the calendar year shall record, for each purchase or sale of used oil or gas field equipment by …

55-1503. Carriers required to permit inspection of cargo; penalties for violations. (a) Any carrier transporting on any street or highway of this state any oil or gas field equipment or any crude petroleum oil or any sediment, water or brine produced in association with the produ…

55-1504. Person possessing crude oil; documentation required; penalties for violations. (a) Any person who stores, transports, possesses, disposes of or refines any crude petroleum oil shall have in the person's possession any documentation required by rules and regulations adopt…

55-1505. Tampering with field equipment identification; penalties for violations. (a) No person shall intentionally change, alter, remove or obliterate the name of the maker, the model, the manufacturer's number, the serial number or any other identifying number or mark of any oi…

55-1601. Lapsing and reversion of mineral interests; definition. As used in this act, "mineral interest" means an interest created by an instrument transferring, by grant, assignment, reservation or otherwise, an interest of any kind in coal, oil, gas or other minerals. History: …

55-1602. Lapse and reversion, when. An interest in coal, oil, gas or other minerals, if unused for a period of 20 years, shall lapse, unless a statement of claim is filed in accordance with K.S.A. 55-1604, and the ownership shall revert to the current surface owner. History: L. 1…

55-1603. Use of mineral interest defined. (a) A mineral interest shall be considered to be used when: (1) There are any minerals produced under the interest; (2) operations are being conducted on the interest for injection, withdrawal, storage or disposal of water, gas or other f…

55-1604. Statement of claim, contents; filing, when and where; effect of failure to file. (a) A statement of claim may be filed by the owner of a mineral interest prior to the end of the twenty-year period specified by K.S.A. 55-1602 or within three years after the effective date…

55-1605. Notice of lapse by succeeding owner; contents; prima facie evidence, when. Upon the lapse of a mineral interest under K.S.A. 55-1602, any person who will succeed to the ownership of the interest shall give notice of the lapse of the mineral interest by publishing notice …

55-1606. Recordation by register of deeds of statement of claim or proof of notice. Upon the filing of a statement of claim as provided in K.S.A. 55-1604 or the filing of proof of service of notice as provided in K.S.A. 55-1605, the register of deeds shall record the filing in a …

55-1607. Waiver of law prohibited. The provisions of this act may not be waived at any time prior to the expiration of the twenty-year period provided in K.S.A. 55-1602. History: L. 1983, ch. 185, § 7; July 1.

55-1610. Development of minerals within city; definitions. When used in this act: (a) "Minerals" mean oil and gas; (b) "city" means any city located within the state of Kansas. History: L. 1983, ch. 55, § 1; July 1. Revisor's Note: * The phrase "this act" means K.S.A. 55-1610 thr…

55-1611. Authorizing ordinance, requirements. Whenever the governing body of any city authorizes the development of minerals within the corporate limits of the city, it may adopt an ordinance dividing the city into drilling units for the production of those minerals. The ordinanc…

55-1612. Protective ordinances permitted, when. Nothing in this act shall be construed as prohibiting the governing body of any city from adopting any other ordinance which does not conflict with any state law or rule or regulation providing for the protection of the public healt…

55-1613. Act not applicable to certain drilling units. The provisions of this act shall not apply to any drilling unit in which there is a producing well or wells. History: L. 1983, ch. 55, § 4; July 1.

55-1614. Interest payments on payments from oil or gas production; definitions. As used in this act: (a) "Payee" means any person or persons, or a court of competent jurisdiction, to whom payment of revenues accrued from the first sale of oil or gas from an oil or gas well locate…

55-1615. Interest on certain payments required; commencement and amount of payments; exception. The payor shall owe its payee interest on any payment, other than excluded payments, at the interest rate provided herein, determined on the first business day of the month that intere…

55-1616. Force and effect of waivers. Any waiver of the interest provided by this act shall be of no force or effect, unless such waiver is evidenced by a written document executed by payee which clearly states that payee waives payee's right to receive interest provided by this …

55-1617. Jurisdiction of court to settle disputes; attorney fees. The district court of the county in which oil or gas is produced shall be a court of proper venue for proceedings brought pursuant to this act. The prevailing party in a proceeding brought pursuant to this act on w…

55-1618. Nonapplicability to certain interest payments. No provision of this act shall be construed to apply to any interest payment governed, in law or equity, by any statute of the United States of America or any valid rule and regulation or order promulgated thereunder. Histor…

55-1619. Rights of payee not limited or impaired. No provision of this act shall be construed to limit or otherwise impair the rights of the payee to receive or recover any payment or any other right of payee whatsoever conferred in law or equity or by statute or otherwise. Histo…

55-1620. Oil and gas payments to interest owners; information required to be included. When a payment is made for proceeds attributable to oil or gas production, the payment shall be accompanied by the following information, or the following information shall be calculable from t…

55-1621. Contractual obligations or rights not affected. Nothing contained in this act shall be construed to amend or otherwise affect any contractual obligations or rights which may otherwise exist. History: L. 1997, ch. 136, § 2; January 1, 1998.

55-1622. Oil and gas payments to interest owners; specific listing of information; when. (a) Upon written request by the owner of a royalty interest in oil or gas production, submitted to the payor by certified mail, the payor shall provide to the royalty owner in writing any of …

55-1622a. Annual notice to royalty interest owners, required contents. Not later than December 31, 2006, and at least once every 12 months thereafter, the payor shall provide the following statement to each royalty interest owner to whom the payor makes a payment: "Section 55-162…

55-1622b. Failure to provide required information; mediation; civil action. (a) If a payor fails to provide information under K.S.A. 55-1620, and amendments thereto, or a royalty owner makes a written request for information pursuant to K.S.A. 55-1622, and amendments thereto, and…

55-1623. Oil and gas regulation by commission; penalties, procedures. On and after July 1, 1998, no fine or other penalty, except cease and desist orders for which subsequent hearing is required, shall be imposed by the state corporation commission pursuant to statutes or rules a…

55-1624. FERC-ordered refunds of tax reimbursements; recovery. (a) As used in this act, royalty interest owners include overriding royalty interest owners and royalty interests include overriding royalty interests. (b) On and after the effective date of this act, no first seller …

55-1625. Citation of act. The provisions of K.S.A. 55-1625 through 55-1635, and amendments thereto, shall be known and may be cited as the Kansas petroleum education and marketing act. History: L. 2006, ch. 94, § 1; July 1.

55-1626. Definitions. As used in this act: (a) "Act" means the provisions of K.S.A. 55-1625 through 55-1635, and amendments thereto; (b) "board" means the Kansas oil and gas resources board as created by this act; (c) "first purchaser" means: (1) With regard to crude oil, the per…