If upon the filing of a petition and after notice and hearing, the Division finds that:

1. The unitized management, operation and further development of a pool or portion thereof is reasonably necessary in order effectively to carry on pressure control, pressure-maintenance or repressuring operations, cycling operations, waterflooding operations, or any combination thereof, or any other form of joint effort calculated to substantially increase the ultimate recovery of oil and gas from the pool;

2. One or more of the unitized methods of operation as applied to the pool or portion thereof are feasible, will prevent waste and will, with reasonable probability, result in the increased recovery of substantially more oil and gas from the pool than would otherwise be recovered;

3. The estimated additional cost, if any, of conducting those operations will not exceed the value of the additional oil and gas so recovered; and

4. The unitization and adoption of one or more of the unitized methods of operation is for the common good and will result in the general advantage of the owners of the oil and gas rights within the pool or the portion thereof directly affected,

it shall make a finding to that effect and make an order creating the unit and providing for the unitization and unitized operation of the pool or portion thereof described in the order, all upon such terms and conditions, as may be shown by the evidence to be fair, reasonable, equitable, and which are necessary or proper to protect, safeguard and adjust the respective rights and obligations of the several persons affected, including royalty owner, owners of overriding royalties, oil and gas payments, carried interests, mortgages, lien claimants and others, as well as the lessees.

(Added to NRS by 1983, 2072; A 1993, 1692)