(a) A lease is subject to forfeiture by act of the commissioner if:
- (1) the lessee fails or refuses to pay any amount which is due either as a lease payment or royalty;
- (2) the lessee or his authorized agent knowingly makes any false return or false report concerning the lease;
- (3) the lessee or his agent refuses the commissioner or his authorized representative access to the records or other data relating to operations under the lease; or
- (4) a material term of the lease is violated.
- (b) Any area forfeited under this section is subject to application for a permit under the same terms as the original application.
Acts 1977, 65th Leg., p. 2471, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977.