Title 46

NRS 522.025 “Field” defined. “Field” means the general area which is underlain or appears to be underlain by at least one pool and includes the underground reservoir or reservoirs containing oil or gas. (Added to NRS by 1983, 2070)

NRS 522.027 “Gas” defined. “Gas” includes all natural gas and all hydrocarbons produced at the wellhead except oil. (Added to NRS by 1983, 2070)

NRS 522.0275 “Hydraulic fracturing” and “hydraulically fractured” defined. “Hydraulic fracturing” or “hydraulically fractured” means the process of pumping a fluid into or under the surface of the ground to create fractures in the rock to facilitate the production or recovery of …

NRS 522.028 “Lessee” defined. “Lessee” means the person entitled under an oil and gas lease to drill and operate wells. (Added to NRS by 1991, 385)

NRS 522.0285 “Lessor” defined. “Lessor” means the mineral owner who has executed a lease and who is entitled to the payment of a royalty on production. (Added to NRS by 1991, 960)

NRS 522.029 “Oil” defined. “Oil” includes: 1. The crude petroleum oil and other hydrocarbons regardless of gravity which are produced at the wellhead in liquid form; and 2. The liquid hydrocarbon known as distillate or condensate recovered or extracted from gas, other than gas pr…

NRS 522.0295 “Operator” defined. “Operator” means a person engaged in the business of drilling wells capable of producing oil or gas. (Added to NRS by 1991, 385)

NRS 522.0301 “Other nonworking interest” defined. “Other nonworking interest” means any interest in an oil and gas lease or well which is not a royalty, overriding royalty or working interest. (Added to NRS by 1991, 960)

NRS 522.0305 “Overriding royalty” defined. “Overriding royalty” means a share of production taken from the lessee’s interest under an oil and gas lease. (Added to NRS by 1991, 960)

NRS 522.031 “Owner” defined. “Owner” means the person who has the right to drill into and produce from a pool and to appropriate the oil and gas he or she produces therefrom for himself or herself and others. (Added to NRS by 1983, 2071)

NRS 522.033 “Person” defined. “Person” includes any department, agency or instrumentality of the State or any governmental subdivision thereof. (Added to NRS by 1983, 2071)

NRS 522.035 “Pool” defined. “Pool” means an underground reservoir containing, or appearing to contain, a common accumulation of oil or gas. Each zone of a general structure which is completely separated from any other zone in the structure is included in the term “pool.” (Added t…

NRS 522.037 “Producer” defined. “Producer” means the owner of a well or wells capable of producing oil or gas, or both. (Added to NRS by 1983, 2071)

NRS 522.038 “Royalty” defined. “Royalty” means the mineral owner’s share of production. (Added to NRS by 1991, 960)

NRS 522.039 “Waste” defined. “Waste” includes: 1. The inefficient, excessive or improper use of or unnecessary dissipation of reservoir energy. 2. The locating, spacing, drilling, equipping, operating or producing of any oil or gas well in a manner which results or tends to resul…

NRS 522.0395 “Working interest” defined. “Working interest” means the interest granted under an oil and gas lease, giving the lessee the right to work on the leased property to search for, develop and produce oil and gas. (Added to NRS by 1991, 960)

NRS 522.040 Powers and duties of Division. Except as otherwise provided in NRS 522.119: 1. The Division has jurisdiction and authority over all persons and property, public and private, necessary to effectuate the purposes and intent of this chapter. 2. The Division shall make in…

NRS 522.050 Application for issuance of permit or for change in terms of existing permit; fees established by regulation; deposit of fees. 1. A person shall not drill or operate an oil or gas well unless he or she first obtains a permit from the Division pursuant to this section.…

NRS 522.060 Establishment of drilling units for pools. 1. For the prevention of waste, to protect and enforce the correlative rights of lessees in a pool, and to avoid the augmentation and accumulation of risks arising from the drilling of an excessive number of wells, or the red…

NRS 522.080 Use of gas from well to manufacture carbon products without permit is prima facie waste. The use of gas from a well producing gas only, or from a well which is primarily a gas well, for the manufacture of carbon black or similar products predominantly carbon, is decla…

NRS 522.082 “Unit production” defined. As used in NRS 522.082 to 522.0878, inclusive, “unit production” includes all oil and gas produced from a unit area from and after the effective date of the order of the Division creating the unit regardless of the well or tract within the u…

NRS 522.0824 Voluntary unitization; petition for compulsory unitization. 1. To prevent, or to assist in preventing waste, as prohibited by this chapter, to ensure a greater ultimate recovery of oil and gas, and to protect the correlative rights of persons owning interests in the …

NRS 522.0828 Order for compulsory unitization: Findings required before issuance. If upon the filing of a petition and after notice and hearing, the Division finds that: 1. The unitized management, operation and further development of a pool or portion thereof is reasonably neces…

NRS 522.083 Order for compulsory unitization: Limitations on area of pool to be included in plan. 1. The order of the Division must define the area of the pool or portion thereof to be included within the unit area and prescribe with reasonable detail the plan of unitization appl…

NRS 522.0834 Order for compulsory unitization: Consent of certain percentage of owners required; hearings; revocation of order. 1. No order of the Division creating a unit and prescribing the plan of unitization applicable thereto becomes effective unless: (a) The plan of unitiza…

NRS 522.0838 Plan of unitization: Required provisions. The plan of unitization for each such unit and unit area must be one suited to the needs and requirements of the particular unit dependent upon the facts and conditions found to exist with respect thereto. In addition to such…

NRS 522.084 Plan of unitization: Modification; approval of owners not required in certain circumstances. The unit area of a unit may be enlarged to include adjoining portions of the same pool, including the unit area of another unit, and a new unit created for the unitized manage…

NRS 522.0844 Property acquired by unit is owned by lessees subject to management by unit. All property, whether real or personal, which the unit may in any way acquire, hold or possess, may not be acquired, held or possessed by the unit for its own account but must be so acquired…

NRS 522.0848 Transfer of title to tracts and leases not required; proceeds and production are income of owners. 1. This chapter does not require a transfer to or vesting in the unit of title to the separately owned tracts or leases within the unit area, other than the right to us…

NRS 522.085 Distribution of production; distribution in kind under certain circumstances. 1. The amount of the unit production allocated to each separately owned tract within the unit, and only that amount, regardless of the well or wells in the unit area from which it may be pro…

NRS 522.0854 Expenses of unit: Liability of owners is several and limited to amount charged. The obligation or liability of the lessees or other owners of the oil and gas rights in the several separately owned tracts for the payment of unit expense is at all times several and not…

NRS 522.0858 Expenses of unit: Lien for amount assessed; persons primarily responsible for payment; payment by persons not responsible; payment to royalty owners free of lien and expenses. 1. Subject to such reasonable limitations as may be set out in the plan of unitization, the…

NRS 522.086 Operations under plan are considered fulfillment of provisions in contracts relating to pool in unit. Operations carried on under and in accordance with the plan of unitization must be considered as a fulfillment of a compliance with all of the provisions, covenants a…

NRS 522.0864 Property rights, leases and contracts regarded as modified to conform to provisions of chapter and plan of unitization. Property rights, leases, contracts and all other rights and obligations must be regarded as amended and modified to the extent necessary to conform…

NRS 522.0868 Plan approved by Division does not violate statutes prohibiting monopolies. No agreement or plan for the development and operation of a field or pool of oil or gas as a unit, if approved by the Division for the purpose of conserving oil or gas, violates any of the st…

NRS 522.087 Implied covenants unaffected. NRS 522.082 to 522.0878, inclusive, and any plan of unitization do not increase or decrease the implied covenants of a lease in respect to a common source of supply or lands not included within the unit area of a unit. (Added to NRS by 19…

NRS 522.0874 Procedural requirements for petitions, notices and hearings. 1. Except as otherwise expressly provided in NRS 522.082 to 522.0878, inclusive, all proceedings held under this chapter, including the filing of petitions, the giving of notices, the conduct of hearings an…

NRS 522.0878 Operation of well in unit area by persons not included in unit unlawful. After the effective date of an order of the Division creating a unit and prescribing the plan of unitization applicable thereto, the operation of any well producing from the pool or portion ther…

NRS 522.090 Regulations and orders of Division: Notice; hearing and entry of order. 1. The Division shall make no regulation or order, or amendment thereof, except in an emergency, without a public hearing upon at least 10 days’ notice. The public hearing must be held at such tim…

NRS 522.100 Witnesses: Attendance and testimony; production of books and records; contempt. 1. The Division may summon witnesses and require the production of records, books and documents for examination at any hearing or investigation conducted by it. No person may be excused fr…

NRS 522.110 Application for rehearing. Within 20 days after written notice of the entry of any order or decision of the Division, or such further time as the Division may grant for good cause shown, any person affected thereby may file with the Division an application for the reh…

NRS 522.113 Payment of money derived from sale of production; liability for violation; applicability. 1. The owner, lessee, operator or other person who is liable for payment of the money derived from the sale of the production from an oil or gas well located in this state shall:…

NRS 522.115 Respective rights; information to be reported with remittance; liability for failure to report information. 1. For purposes of determining the respective rights of the lessor and lessee and the owners of a royalty interest, overriding royalty interest and any other no…

NRS 522.118 Applicability; alteration of previous agreement prohibited. 1. The provisions of NRS 522.115 govern the relationship between the parties to an oil and gas lease, or other agreement, concerning the determination and reporting of royalties, overriding royalties, working…

NRS 522.119 Development of program; regulations. 1. The Division of Minerals and the Division of Environmental Protection shall, jointly, develop a hydraulic fracturing program to: (a) Assess the effects of hydraulic fracturing on the waters of the State of Nevada; (b) Require a …