Matter of the Petition of Luff Exploration Co.

ZINTER, Justice.

[¶'1.] Linda Golden owned a mineral interest that was within a “spacing unit” 1 in which Luff Exploration Company desired to drill for oil. Because Golden rejected Luffs offer to lease her mineral interest or participate in the cost of drilling, Luff petitioned the South Dakota Board of Minerals and Environment (Board) to “compulsory pool” 2 the mineral interests in the spacing unit. Luff also sought “risk compensation” 3 from Golden. Over Golden’s objection, the Board granted Luffs petition for compulsory pooling and risk compensation, and the circuit court affirmed. On…