SECTION 3.7. Strata To Be Sealed Off

Whenever hydrocarbon or geothermal resource fluids are encountered in any well drilled for oil, gas, or geothermal resources in this state, such fluid shall be confined in its original stratum until it can be produced and utilized without waste. Each such stratum shall be adequately protected from infiltrating waters. Wells may be drilled deeper after encountering a stratum bearing such fluids if such drilling shall be prosecuted with diligence and any such fluids be confined in its stratum and protected as aforesaid upon completion of the well. The commission will require each such stratum to be cased off and protected, if in its discretion it shall be reasonably necessary and proper to do so.

Source Note: The provisions of this §3.7 adopted to be effective January 1, 1976.