PUBLIC LAW 9 5 - 6 1 8 — N O V. 9, 1978
9 2 STAT. 3204 26 USC 613A. ,
26 USC 614.
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(B) Paragraph (1) of section 613A(b) is amended— (i) by inserting " and " at the end of subparagraph (A), (ii) by striking out " and " at the end of subparagraph (B),and (iii) by striking out subparagraph (C). (C) Subsection (b) of section 614 (relating to special rules as to operating mineral interest in oil and gas wells) is amended— (i) by inserting "OR GEOTHERMAL DEPOSITS" after " G A S
W E L L S " in the subsection heading, and (ii) by inserting " o r geothermal deposits" after " g a s wells" in so much of the text as precedes paragraph (1) thereof. (D) Subsection (c) of section 614 is amended by striking out "oil and gas wells" each place it appears and inserting in lieu thereof "oil and gas wells and geothermal deposits". (b) NATURAL G A S F R O M GEOPRESSURED B R I N E. —
26 USC 613A.
(1) IN GENERAL.—Subsection (b) of section 613A (relating to exemption for certain domestic gas wells) is amended by redesignating paragraph (2) as paragraph (3) and by inserting after paragraph (1) the following new paragraph: " (2) NATURAL GAS FROM GEOPRESSURED BRINE.—The allowance
26 USC 611. 26 USC 613.
for depletion under section 611 shall be computed in accordance with section 613 with respect to any qualified n a t u r a l gas from geopressured brine, and 10 percent shall be deemed to be specified in subsection (b) of section 613 for purposes of subsection (a) of such section." (2) QUALIFIED NATURAL GAS FROM GEOPRESSURED B R I N E. — P a r a -
Supra.
g r a p h (3) of section 613A(b) (as redesignated by paragraph (1)) is amended by adding at the end thereof the following new subparagraph: " (C) QUALIFIED NATURAL GAS FROM GEOPRESSURED BRINE.—
Post, p. 3397.
26 USC 613 note. 26 USC 613A note.
Post, p. 3366. 26 USC 4093.
The term 'qualified n a t u r a l g a s from geopressured brine' means any natural gas—
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" (i) which is determined in accordance with section 503 of the N a t u r a l Gas Policy Act of 1978 to be produced ,fj from geopressured brine, and " ( i i) which is produced from any well the drilling of which began after September 30, 1978, and before January 1, 1984." (c) EFFECTIVE D A T E. — The amendments made by this section shall take effect on October 1, 1978, and shall apply to taxable years ending on or after such date. (d) COORDINATION W I T H
OTHER PROVISION.—Any allowance
for
depletion allowed by reason of the amendments made by subsection (b) shall not be treated as a credit, exemption, deduction, or comparable adjustment applicable to the computation of any Federal tax which is specifically allowable with respect to any high-cost n a t u r a l gas (or category thereof) for purposes of section 107(d) of the N a t u r a l Gas Policy Act of 1978. SEC. 404. REREFINED LUBRICATING OIL. (a) IN GENERAL.—Section 4093 (relating to exemption of sales to producers) is amended to read as follows:
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