N.M. Code R. § 19.2.11.9 – Lands Available for Disposal Site Easements

A. Subject to the commissioner's right to exercise the commissioner’s discretion, all lands listed as state owned on New Mexico state land office tract books are subject to application for salt water disposal easement sites; however, reference must be had to New Mexico state land office records in each case to determine which prior rights, if any, have been conveyed to or contracted for by third parties which would limit or prohibit the commissioner from issuing a salt water disposal site easement. In any case, such easements are issued subject to prior rights.
B. The commissioner reserves the right to refuse to grant an easement when to do so would be detrimental to the trust. The following are some of the factors which may have bearing on the commissioner's decision:
1. (1) That an abandoned oil or gas well may have greater value for foreseeable future oil or gas production from a different zone.
2. (2) That the salt water storage space proposed to be used may be needed for disposal of salt water produced from wells on state trust lands in the foreseeable future.
3. (3) That disposal of salt water in the particular zone may interfere with development and production of oil and gas or other minerals owned by the state of New Mexico in trust.
C. Although applications will be accepted for filing on disposal sites prior to the approval of the disposal facility or operation by the New Mexico oil conservation division, the commissioner may withhold or deny issuance of the salt water disposal easement pending approval or disapproval by the New Mexico oil conservation division.
[12/31/1999; 19.2.11.9 NMAC - Rn, 19 NMAC 3. SLO 11.9, 9/30/2002; A, 6/11/2019]