This law prohibits certain provisions in agreements related to oil and gas production. Specifically, it prevents agreements from dictating field rules or production limits, which are reserved for regulatory authority. It also disallows provisions for cooperative refining of petroleum products.
Agreements cannot set field rules or production limits.
Field rules are regulated solely by the commission.
Cooperative refining provisions are prohibited.
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In simple terms: Learn about Texas's PROHIBITED PROVISIONS. (a) No agreement law, including definitions, penalties, and legal implications.. This means people must follow this rule, and breaking it can lead to criminal penalties.
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