IL SB3456

Amends Section 6 of the Illinois Oil and Gas Act to add a new subsection (20) authorizing the Department to determine if oil and gas leases are operative based on whether prior leases covering the same lands have terminated due to non-development or non-production.

Establishes a rebuttable presumption that prior leases have terminated if there has been no development, operations, or production for at least 24 consecutive months after expiration of the primary term, based on affidavits and other evidence.

Requires the Department to provide notice and a 30-day opportunity for a hearing before making a final determination on lease termination status.

Allows new permits to be issued to applicants when prior leases are determined to have terminated, without requiring a court order except in extraordinary circumstances.

Requires applicants requesting lease determinations to pay a $1,000 nonrefundable fee, with Department decisions to be made within 90 days of receiving a valid request.