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The N.C. Oil and Gas Commission is responsible for adopting rules on oil and gas exploration in North Carolina. The Oil and Gas Commission also has the authority to regulate the spacing of wells for oil and gas exploration, establish areas where oil and gas drilling can occur, and limit the production of oil and gas exploration. By law, the commission is required to submit annual progress reports to the Joint Legislative Commission on Energy Policy and the Environmental Review Commission.

The Oil and Gas Commission and a reconstituted Mining Commission were created to carry out the regulatory responsibilities of the former state Mining and Energy Commission. The General Assembly eliminated the Mining and Energy Commission after the commission had adopted rules that govern oil and gas exploration and development in North Carolina. The Oil and Gas Commission has nine members. A total of four members are appointed by leaders in each chamber of the General Assembly. The remaining five members are appointed by the governor. Members serve for four years.