27-554. Designation of known geological
structures of producing oil and gas fields


A. The department shall from time to time determine and designate the known
geological structures of producing oil and gas fields. The determinations and
designations shall be published twice in a newspaper of general circulation in the state,
the last publication to be not less than five days from the first date of
publication. The determinations and designations shall become effective from the date of
first publication. Until such a determination and designation is made by the department,
all state lands shall be deemed located not within any known geological structure of a
producing oil and gas field.


B. The department may refuse to lease any state lands for oil and gas when the
lands are being used by the state or any state department for a state purpose.