Mineral Code/Legislation

Louisiana Mineral Code
This is a link to the Louisiana Mineral Code
La. R.S. 31: 1 et seq., enacted 1974, effective 1/1/1975.

Acts of the 2012 Regular Session of the Louisiana Legislature relating to Oil and Gas

Act 702 — Expropriation Procedures – Act 702 revises the procedures for expropriation of property rights for the construction, maintenance, and operation of pipelines.

Act 743 — Ultra Deep Units – Act 743 grants the Office of Conservation authority to create units up to 9000 acres in size for “structures” that are encountered at a minimum depth of 22,0000 feet.

Act 743 — Risk Fee Statute – Act 743 also amends the Risk Fee Statute to provide that the operoator generally will have to pay a non-participating lessee’s lease royalty and overriding royalty obligations during the operator’s recovery of the risk fee.

Act 754 — Legacy litigation – Act 754 enacts certain reforms relating to “legacy litigation” in which plaintiffs allege that their land has been contaminated by past oil and gas activities.  For example, Act 754 provides for the entry of case management orders to manage legacy litigation cases, and allows defendants to admit liability for the remediation or clean-up of property, without that admission being deemed an admission of liability for claims other than for clean-up.

Act 779 — Legacy Litigation –  Act 779 enacts certain other reforms relating to legacy litigation.  For example, the legislation provides that litigants may subpoena Department of Natural Resources employees who were involved in formualtion of a “feasible plan.”  The legislation also allows a defendant to request a hearing at which a plaintiff must present some prima facie evidence to support its claims, and if a plaintiff fails to do so, the defenant is dismissed without prejudice.

Act 795 — Pre-Entry Notice to Surface Owners – Act 795 provides that operators generally will be required to give a surface owner 30 days notice prior to the operator entering land for drilling activities, unless the surface owner has a contract with the operator.

Act 812 — Mandatory Disclosure of Fracturing Fluid Composition – Act 812 directs the Office of Conservation to draft regulations requiring operators to disclose certain information about hydraulic fracturing fluids on a well-by-well basis.  The information that generally must be disclosed includes the volume of fracturing fluid, the type of base fluid, and the indentity of each additive, though operators need not disclose the identity of any compound that is a trade secret.  The information that is disclosed is made avalable to the public.


Acts of the 2010 Regular Session of the Louisiana Legislature relating to Oil and Gas

Act No. 646—Drilling Activities – Enacts R.S. 30:28.1, relative to drilling activities. An owner or operator of a permitted oil and gas well shall construct and maintain the drilling activity area in such a manner as to avoid disturbing the use of any privately owned active water well existing at the time of the application for the permit to drill .

Act No. 658—Chapter 22–A. Oil Spill Relief Programs Integrity Act – Enacts R.S. 39:2165 through 2165.12, relative to actions and qui tam actions concerning oil spill relief; to authorize actions and qui tam actions for certain matters related to oil spill relief programs; to provide definitions, terms, procedures, conditions, and requirements; to provide relative to damages and awards

Act No. 875—State Mineral and Energy Board and Act No. 930—State Mineral and Energy Board – Both of these amend R.S. 30:124, relative to the State Mineral and Energy Board. They authorize the State Mineral and Energy Board to lease state lands for the exploration, development, and production of energy from alternative energy resources.

Act No. 955—Use of Surface Water – This enacts Chapter 9–B of Title 30 of the Louisiana Revised Statutes of 1950, to be comprised of R.S. 30:961 through 963, relative to the use of surface water. It provides for cooperative endeavor agreements to withdraw running surface water and for payment to the state for fair market value for same. It is administered by the Department of Natural Resources. This Chapter is to have no effect on the rights provided for in Civil Code Articles 657 and 658 or any rights held by riparian owners. The act has a sunset provision for termination of its effectiveness of December 31, 2012.

Act No. 994—Right of Riparian Owner – This enacts R.S. 9:1103, relative to the right of riparian owners. It provides for the assignment of rights to access the running waters of the state. In essence it allows a riparian owner to assign water rights to the non-riparian owners for any agricultural or aquacultural purpose within the state of Louisiana.