Legal Definitions - petroleum-conservation law

Definition: A petroleum-conservation law is a state law that regulates the drilling and operation of oil-and-gas wells. It limits the rule of capture and defines the correlative-rights doctrine. The purpose of these laws is to prevent waste and protect correlative rights.

Example: In Texas, the Railroad Commission enforces the state's petroleum-conservation laws. These laws require oil and gas operators to obtain permits before drilling and to follow certain rules to prevent waste and protect the environment. For example, operators must use equipment that prevents leaks and spills, and they must properly dispose of waste fluids.

Explanation: The example illustrates how petroleum-conservation laws regulate the drilling and operation of oil-and-gas wells. The laws require operators to obtain permits and follow rules to prevent waste and protect the environment. This helps ensure that oil and gas resources are used efficiently and responsibly.