Session Law 2012-143, or the Clean Energy and Economic Security Act, was ratified in July 2012. This law reconstitutes the state’s Mining Commission as the North Carolina Mining and Energy Commission, and charges the Commission with developing a modern regulatory program for the management of oil and gas exploration and development activities in North Carolina, including the use of horizontal drilling and hydraulic fracturing.

The Commission, in conjunction with other commissions and state agencies, has been directed to establish a modern oil and gas regulatory program that is “designed to protect public health and safety; protect public and private property; protect and conserve the State’s air, water, and other natural resources; promote economic development and expand employment opportunities; and provide for the productive and efficient development of the State’s oil and gas resources.”

The Commission shall have the authority to make determinations and issue orders pursuant to the Oil and Gas Conservation Act; regulate the spacing of wells and to establish drilling units as provided in G.S. 113-393; require the operation of wells with efficient gas-oil ratios and to fix such ratios; limit and prorate the production of oil or gas, or both, from any pool or field for the prevention of waste as provided in G.S. 113-394 and require integration of interests as provided in G.S. 113-393.

Oil and Gas Conservation Act - as revised summer 2012 (unofficial version)

Related provisions to the Oil and Gas Conservation Act

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