Illinois Compiled Statutes
225 ILCS 725/23.5 (2026)
When a public hearing is held, the Department shall promptly issue an order providing for the unit operation of a pool or pools, or parts thereof, if he determines, based on the evidence presented at such public hearing, that: (1) the unitized management and operation is economically feasible and reasonably necessary to increase the ultimate recovery of oil and gas, to prevent waste, and to protect correlative rights, and (2) the value of the estimated ultimate additional recovery of oil and gas will exceed the estimated additional cost, if any, incident to conducting the unit operation, and (3) the areal extent of the pool or pools, or parts thereof, has been reasonably defined and determined by drilling operations, and the unitization and operation of such will have no substantially adverse effect upon the remainder of the pool or pools, or parts thereof, and (4) the allocation of unit production to each separately owned tract is fair, reasonable, and equitable to all owners of oil and gas rights in the unit area, and (5) the determination and allocation of unit expense is fair, reasonable and equitable to the working interest owners, and (6) the compensation or adjustment for wells, equipment and other properties of the working interest owners is fair, reasonable and equitable
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(225 ILCS 725/23.5)
(from Ch. 96 1/2, par. 5442)
Sec. 23.5.
When a public hearing is held, the Department shall
promptly issue an order providing for the unit operation of a pool or
pools, or parts thereof, if he determines, based on the evidence
presented at such public hearing, that:
(1) the unitized management and operation is economically feasible
and reasonably necessary to increase the ultimate recovery of oil and gas,
to prevent waste, and to protect correlative rights, and
(2) the value of the estimated ultimate additional recovery of oil and gas
will exceed the estimated additional cost, if any, incident to
conducting the unit operation, and
(3) the areal extent of the pool or pools, or parts thereof, has
been reasonably defined and determined by drilling operations,
and the unitization and operation of such will have no substantially
adverse effect upon the remainder of the pool or pools, or parts thereof, and
(4) the allocation of unit production to each separately owned
tract is fair, reasonable, and equitable to all owners of oil
and gas rights in the unit area, and
(5) the determination and allocation of unit expense is fair,
reasonable and equitable to the working interest owners, and
(6) the compensation or adjustment for wells, equipment and
other properties of the working interest owners is fair,
reasonable and equitable.
(Source: P.A. 85-1334.)
Notes of Decisions
Cited in 3
cases, 2000–2013 · leading case: John O. Schofield, Inc. v. Nikkel, 731 N.E.2d 915 (Ill. App. Ct. 2000).
John O. Schofield, Inc. v. Nikkel, 731 N.E.2d 915 (Ill. App. Ct. 2000). “” See 225 ILCS 725/23.5 (West 1998). The hearing officer stated that the above criteria were “essentially *** the scope of [the] proceeding.”
Dep't of Nat. Resources v. Waide, 2013 IL App (5th) 120340 (Ill. App. Ct. 2013). “Although the specific tract ownerships were not delineated, in both proceedings, the defendants were identified as owners of the mineral interests.”
John O. Schofield, Inc. v. Nikkel (Ill. App. Ct. 2000). “" See 225 ILCS 725/23.5 (West 1998). The hearing officer stated that the above criteria were "essentially *** the scope of [the] proceeding.”
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