How to Qualify a Well as Commercially Productive

The State Mineral Board requires its lessees to furnish information to substantiate the commercial productivity of a lease under which the lessee wishes to invoke the shut-in provisions of the lease, the gas marketing provision of the rider to the State lease form, or any relative lease amendment granted by the Board.

The basic procedures for qualifying a well as commercially productive are set forth below.

Should you have any questions, please contact Charles Bradbury, at (225) 342-9199 or Charles.Bradbury@la.gov.

Basic Procedures

1. Submit the information listed in Requirements for Verification of Commercial Productivity of Non-Producing Leases to the Engineering Section of the Office of Mineral Resources.

2. The Engineering Staff will review submitted data and issue a letter of qualification or denial of qualification.

3. If the well will produce to an interstate gas market, the lease form should be amended with the Agreement to Defer Production of State Royalty Gas [Download:or] and the Amendment of Deferred Gas Production Agreement [Download:or].

Forms related to this page...

Requirements for Verification of Commercial Productivity of Non-Producing Leases   Agreement to Defer Production of State Royalty Gas Amendment of Deferred Gas Production Agreement

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