Condonation of mineral oil losses: appellate authorities must record adequate reasons before allowing higher loss percentages.

Condonation of mineral oil losses beyond Board-prescribed percentages is not to be routinely allowed; higher losses must be supported by proper evidence and genuine justification. Appellate authorities must record adequate reasons and justifications when condoning higher loss percentages and must explain why they do not accept losses previously condoned by original adjudication, to preserve the integrity of the adjudicatory process.

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