MI SB0903

Allows interested lessees to file a verified petition with the supervisor requesting an order for unit operation of oil and gas pools or parts of pools.

Requires petitions to include a description of the proposed unit area, names and addresses of all owners and interested parties from county records, the type of operations contemplated, and a recommended plan of unitization.

Petitioners must provide a verified statement detailing actions taken to contact and obtain approval from all persons with oil and gas interests in the proposed unit area who have not approved the plan.

Unit operations orders become effective only after the supervisor finds the plan has been approved in writing by one of three alternative approval methods: (a) those paying at least 51% of costs and those entitled to at least 51% of production from free interests; (b) those entitled to at least 75% of all production with at least 50% from free interests; or (c) those entitled to at least 65% of all production.

Effective date: November 3, 2016.