SB 3456

Abstract

Amends the Illinois Oil and Gas Act. Establishes the criteria that the Department of Natural Resources may consider when making a determination that the oil and gas leases submitted with an application for a permit or transfer of a permit for a well are operative and that prior oil and gas leases covering the same lands have terminated due to non-development or non-production under the current permittee. Provides that the Department may rely upon affidavits of non-development and non-production from individuals familiar with the history of development and production of such lands in addition to other evidence. Requires that such testimony and evidence reasonably indicate that there has been no development or production of oil or gas on the lands described in the prior leases for at least 24 consecutive months. Further provides that a court order or judgment declaring the prior leases terminated is not required except in extraordinary circumstances where such a determination cannot reasonably be concluded from the testimony and evidence submitted to the Department. Provides that any determination made by the Department shall not diminish the rights of any current permittee of a well that are otherwise provided by statute or regulation of the Department. Effective immediately.