43 CFR § 3162.2-5
Must I take protective action when a protective well would be uneconomic?
August 12, 2025
§ 3162.2-5 Must I take protective action when a protective well would be uneconomic?
You are not required to take any of the actions listed in § 3162.2-4 if you can prove to BLM that when you first knew or had constructive notice of drainage you could not produce a sufficient quantity of oil or gas from a protective well on your lease for a reasonable profit above the cost of drilling, completing, and operating the protective well.
[66 FR 1893, Jan. 10, 2001]