A unitization or pooling plan for an entire reservoir of oil is required under various state laws in order to preserve the geological integrity of the reservoir and reduce production costs.

Question

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This statement is true. Unitization or pooling plans are required in many states to prevent waste and ensure efficient production of oil or gas from a reservoir. It involves coordinating the activities of various owners and operators within the reservoir to maximize recovery while minimizing costs.

A Unitization or Pooling Plan for an Entire Reservoir of Oil