77-3-433. Shut-in gas royalty. The royalty on gas, including casinghead gas and all gaseous substances, while the same is not sold or used off the premises, shall be at the rate of $400 per well each year or the amount of the annual rental provided in said lease in lieu of such per well rate, whichever is the greater, payable on or before the annual anniversary date of the lease. As long as such leased lands contain a well capable of such production and such payment is made, the lease shall be considered as a producing lease under the lease terms.

     History: En. Sec. 4, Ch. 108, L. 1927; re-en. Sec. 1882.4, R.C.M. 1935; amd. Sec. 1, Ch. 61, L. 1951; amd. Sec. 1, Ch. 103, L. 1965; amd. Sec. 2, Ch. 379, L. 1975; R.C.M. 1947, 81-1704(part).