The bill amends the law regarding brine production and the formation of brine production units in Arkansas. It introduces new provisions that allow operators of brine production or expansion units to apply for a reduction in the size of their unit by removing contiguous tracts, provided certain conditions are met. These conditions include ensuring that the removed tracts do not contain unplugged brine wells, that there have been no brine wells within a half-mile of the removed tracts during the unit's operation, and that the removal will not risk draining the tracts.

Additionally, the bill permits operators of adjacent brine production units to apply for the transfer of contiguous tracts between units. The commission must approve such transfers if the operator has rights to produce brine from at least 75% of the adjacent unit, the transfer enhances the efficiency of the receiving unit, and it does not adversely affect royalty payments to the owners of the transferred tracts. Upon approval, the transferred tracts will become part of the adjacent brine expansion unit.

Statutes affected:
HB 1413: 15-76-308(d)