Article 58 of the Saudi Water Law

This article regulates drilling and exploring for water, and it contains two provisions:

Paragraph (1): activities that need a license. None of the following activities may be carried out except after obtaining the required license:

• Exploring for water.
• Drilling wells, and using, maintaining and backfilling them.
• Practicing the profession of well drilling.

The license is not limited to drilling a well; it also covers using, maintaining and backfilling it, as well as those who practice drilling as a profession. Licensing is subject to two things:

• The financial fee for the license, which the Ministerial Committee sets.
• The requirements that the Ministry sets.

The article does not state the amount of the financial fee or the requirements.

Paragraph (2): transfer of ownership of a property with an unlicensed well. Whoever acquires ownership of a property containing an unlicensed well, such as a buyer, must apply to the Ministry for the required license within the period set by the Ministry's regulations. The article does not itself specify the period.

It is followed by Article 59, which provides that a license to drill wells or explore does not by itself give its holder the right to use the water source discovered, and that this right is subject to the provisions on use in the Law and the Ministry's regulations.

Anyone who buys a property with a well would do well to check the status of its license before buying, and to consult a lawyer specializing in water regulation and administrative cases, or a lawyer specializing in real estate matters.