HOUSE AMENDED PRIOR PRINTER'S NOS. 600, 670 PRINTER'S NO. 900
No. 568 Session of 1979
INTRODUCED BY STAPLETON, ORLANDO, COPPERSMITH AND MOORE, MARCH 27, 1979
AS REPORTED FROM COMMITTEE ON CONSERVATION, HOUSE OF REPRESENTATIVES, AS AMENDED, JUNE 12, 1979
AN ACT 1 Regulating the terms and conditions of certain leases regarding 2 natural gas and oil. 3 The General Assembly of the Commonwealth of Pennsylvania 4 hereby enacts as follows: 5 Section 1. A lease or other such agreement conveying the 6 right to remove or recover oil, natural gas or gas of any other 7 designation from lessor to lessee shall not be valid if such 8 lease does not guarantee the lessor at least one-eighth royalty 9 of all oil, natural gas or gas of other designations removed or 10 recovered from the subject real property. 11 Section 2. An oil, natural gas or other designation gas well 12 or oil, natural gas or other designation gas lease which does 13 not provide a one-eighth metered royalty shall be subject to 14 such an escalation when its original state is altered by new 15 drilling, deeper drilling, redrilling, artificial well 16 stimulation, hydraulic fracturing or any other procedure for 17 increased production. A LEASE SHALL NOT BE AFFECTED WHEN THE <--
1 WELL IS ALTERED THROUGH ROUTINE MAINTENANCE OR CLEANING AND 2 PRODUCTION IS NOT INCREASED. 3 Section 3. Whenever such an increased production procedure 4 has been completed prior to the effective date of this act, 5 metering and the above royalty shall commence within 90 days 6 after the effective date of this act. 7 Section 4. This act shall take effect in 60 days. C19L13ML/19790S0568B0900 - 2 -