[Code of Federal Regulations]

[Title 43, Volume 2]

[Revised as of October 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 43CFR3135.1-5]



[Page 392]

 

                    TITLE 43--PUBLIC LANDS: INTERIOR

 

    CHAPTER II--BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR

 

PART 3130_OIL AND GAS LEASING: NATIONAL PETROLEUM RESERVE, ALASKA

--Table of Contents

 

   Subpart 3135_Transfers, Extensions, Consolidations, and Suspensions

 

Sec.  3135.1-5  Extension of lease.



    (a) The term of a lease shall be extended beyond its primary term so 

long as oil or gas is produced from the lease in paying quantities or so 

long as drilling or reworking operations, actual or constructive, as 

approved by the Secretary, are conducted thereon.

    (b) A lease may be maintained in force by directional wells drilled 

under the leased area from surface locations on adjacent or adjoining 

lands not covered by the lease. In such circumstances, drilling shall be 

considered to have commenced on the lease area when drilling is 

commenced on the adjacent or adjoining lands for the purpose of 

directional drilling under the leased area through any directional well 

surfaced on adjacent or adjoining lands. Production, drilling or 

reworking of any directional well shall be considered production or 

drilling or reworking operations on the lease area for all purposes of 

the lease.



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