§ 82-11-212 — Property Rights And Operator's Lien

82-11-212 . Property rights and operator's lien. That portion of the unit production allocated to any tract and the proceeds from the sale of that production must be the property and income of the persons to whom or to whose credit the proceeds are allocated or payable under the order providing for unit operations, except that the operator of the unit shall, subject to 82-11-206 (5)(a), have a first and prior lien upon each owner's oil and gas rights and the owner's share of unitized production to secure the payment of that owner's proportionate part of developing and operating the unit area. The lien may be perfected and enforced in the same manner as provided in Title 71, chapter 3, part 5. Upon demand by any owner of working interest in any tract to which gas has been allocated, the unit operator shall deliver the allocated share of gas to the owner in kind. However, the operator and the other owners of interest may not be required to bear the cost of providing additional facilities for the delivery of the gas.

Legislative History

En. Sec. 9, Ch. 33, L. 1969; amd. Sec. 5, Ch. 150, L. 1971; R.C.M. 1947, 60-131.9; amd. Sec. 2747, Ch. 56, L. 2009.