Mississippi oil and gas laws can be found in Title 30 of Louisiana Revised Statutes.  Pursuant to Miss. Code Ann. § 53-1-5, a board is created and established to be known as the State Oil and Gas Board composed of five members.  The board meets and holds hearings at such times and places as may be found by the board, or a majority thereof, to be necessary to carry out its duties[i].

Powers and Jurisdiction of the Board

Pursuant to Miss. Code Ann. § 53-1-17, the board has jurisdiction and authority over all persons and property necessary to enforce effectively the provisions of this statute and all other laws relating to the conservation of oil and gas.

The board has the authority, and it is its duty, to make such inquiries as it may think proper to determine whether or not waste, over which it has jurisdiction, exists or is imminent[ii].

The board has the authority, and it is its duty, to make, after notice and hearing as hereinafter provided, such reasonable rules, regulations, and orders as may be necessary from time to time in the proper administration and enforcement of the provisions.

Regulation of Production

The state oil and gas board has the power and authority and it is its duty to regulate the drilling and location of wells in any pool and the production therefrom so as to prevent reasonably avoidable net drainage from each developed unit so that each owner in a pool will have the right and opportunity to recover his/her fair and equitable share of the recoverable oil and gas in such pool[iii].

For the prevention of waste, to protect and enforce the correlative rights of the owners in a pool, and to avoid the augmenting and accumulation of risks arising from the drilling of an excessive number of wells, or the reduced recovery which might result from too small a number of wells, the board, after a hearing, may establish a drilling unit or units for each pool.  The establishment of a unit for gas will be limited and apply only to the production of gas and not oil.

Civil Actions

Whenever it appears that any person is violating or threatening to violate any statute with respect to the conservation of oil and gas or any rule, regulation, or order made by the board, and fails or refuses to cease such violation or threats of violation on notice so to do, by the board or supervisor, the board may bring suit against such person in the chancery court in the county of the residence of the defendant, or in the county of the residence of any defendant, if there be more than one defendant, or in the county where the violation is alleged to have occurred or is threatened, to restrain such person from continuing such violation or from carrying out the threat of violation[iv].

Appeals

The state, or any interested person aggrieved by any final rule, regulation or order of the board, has the right of appeal to the Chancery Court of the First Judicial District of Hinds County, Mississippi, or to the chancery court of the county in which all or a part of appellant’s property affected by such rule, regulation or order is situated within thirty days from the date that such final rule, regulation or order is filed for record in the office of the board[v].

Pursuant to Miss. Code Ann. § 53-1-45, an appeal may be taken, in accordance with the General Laws of the State of Mississippi relating to appeals, from any judgment of the circuit court or decree of any chancery court in any appeal proceeding.

Penalties

Any person, who, for the purpose of evading the provisions of the statute or any rule, regulation or order made thereunder, makes or causes to be made any false entry, statement of fact or omission in any report required by such sections or by any rule, regulation or order thereunder is subject to a penalty of not more than Ten Thousand Dollars  per day for each day of such violation to be assessed by the board[vi].

Any person, who, for the purpose of evading the provisions of statute or any rule, regulation or order made thereunder, intentionally makes or causes to be made any false entry, statement of fact or omission in any report required by said sections or by any rule, regulation or order thereunder upon conviction in any court of competent jurisdiction, will be subject to a fine of not less than Five Hundred Dollars nor more than One Thousand Dollars or imprisonment for a term of not less than ten days nor more than six months for each such violation, or both such fine and imprisonment.

Pursuant to Miss. Code Ann. § 53-1-47, any person who aids or abets any other person in the violation of any provision or any rule, regulation or order made thereunder, will be subject to the same penalties as for the violation by such other person.

Leases

Pursuant to Miss. Code Ann. § 53-3-51, the state mineral lease commission, the county boards of supervisors, the mayors and boards of aldermen, the mayor and councilmen, the trustees of agricultural high schools and junior colleges, the trustees of any common school districts, consolidated school districts, special consolidated school districts and separate school districts, and all other state boards, state officers, state agents, and the boards and officers of all political subdivisions of the State of Mississippi, who manage and control mineral and royalty interests  are authorized and empowered to execute agreements covering any lease or the mineral and royalty interests thereunder.

[i] Miss. Code Ann. § 53-1-5 (2).

[ii] Miss. Code Ann. § 53-1-17.

[iii] Miss. Code Ann. § 53-3-5.

[iv] Miss. Code Ann. § 53-1-43.

[v] Miss. Code Ann. § 53-1-39.

[vi] Miss. Code Ann. § 53-1-47.