Subject 391-3-13 OIL AND GAS AND DEEP DRILLING
The purpose of these rules is govern the drilling of and
subsequent use of wells subject to the Georgia Oil and Gas and Deep Drilling
Act of 1975, as amended. Wells subject to the requirements of Rules 391-3-2,
391-3-5, 391-3-6 or 391-3-12 are not subject to the provisions of these
rules.
All definitions contained in O.C.G.A.
12-4-42 are incorporated herein by
reference.
| (a) |
"Abandonment" means,
for purposes of compliance with requirements herein, that a well has not been
used for six (6) consecutive months and cannot be operated, whether because it
was drilled as a dry hole or has ceased to produce, or that operations have not
been conducted thereon. "Shut-in" wells, shall not be considered to be
abandoned. "Abandonment" shall not be construed to require the plugging of a
well that has been approved by the Division for future utilization. |
| (b) |
"Blow-out" means any uncontrolled flow of
well fluids and/or formation fluids from the wellbore to the surface or into
lower pressured subsurface zones. |
| (c) |
"Blow-out preventer" means equipment
installed on the wellhead assemblies to contain wellbore fluids either in the
annular space between the casing and the tubulars, or in an open hole during
drilling, completion, and testing operations. |
| (d) |
"Blowout preventer control system" means
the assembly of pumps, valves, lines, accumulators, and other items necessary
to open and close the blowout preventer equipment. |
| (e) |
"Circulation" means the passing of fluid
(typically drilling mud) down through the drill stem and up to the surface in
the process of rotary drilling or down the casing and up to the surface in the
setting of casing. |
| (f) |
"Common
source of supply" means the reservoir strata or pool separated from any other
reservoir strata or pool that contain, or from competent evidence appears to
contain, a common accumulation of oil or gas or both. |
| (g) |
"Completion" means development of a well
in an attempt to produce oil and/or gas or final placement of cement plugs in a
nonproducing well, whichever occurs last. Completion is the last act as
determined by the Director on a well which result in such well being capable of
producing oil and/or gas through permanent well head equipment after production
tubing has been run, or final placement to cement plug(s) in a nonproducing
well. |
| (h) |
"Condensate" means the
liquid hydrocarbons produced by the condensation of natural gas, either after
it leaves the reservoir or while it remains in the reservoir. |
| (i) |
"Conservation" means conserving,
preserving, guarding, or protecting the oil and gas resources of the State by
obtaining the maximum efficiency with a maximum efficiency with a minimum waste
in the production, transportation, processing, refining, treating, and
marketing of the unrenewable oil and gas resources of the State. |
| (j) |
"Drill site" means the exact location of
the well bore. |
| (k) |
"Drill site
tract" means the land area devoted to the well, mud pits, and other ancillary
operations. |
| (l) |
"Operator" means any
person who is in charge of the development of a lease, the drilling of a well,
or the operation of a producing well, and in addition, for the purpose of
assigning responsibility, may also be the person indicated as operator by the
most current records of the Division. |
| (m) |
"Re-enter" means to bring a rig back onto
a boring after having moved off location in order to re-establish contact with
the borehole. "Re-enter" shall not be construed to mean bringing a rig back
onto a location simply to facilitate downhole geophysical logging; rather
"re-enter" applies when "completion" or "drilling" operations are
performed. |
| (n) |
"Shut-in" means a
well where the wellhead valves are closed thereby shutting off production. A
"shut-in" well is capable of producing either oil or gas. |
| (o) |
"Well Completion Report" means a form
prescribed by the Division with accompanying illustrations and narrative
providing descriptive as-constructed well information. The "Well Completion
Report" generally consists of all well records including well logs, test
locations and intervals, sampling locations and intervals, test results, casing
installed, plugs installed, perforated intervals and other descriptive
information. |
| (p) |
Words other than
those defined in (a)-(o) above are given their usual customary and accepted
meaning; all words of a technical nature or a nature peculiar to the oil and
gas industry are given that meaning defined in the Handbook of Oil Industry
Terms and Phrases or that which is generally accepted within the oil and gas
industry. |
| (1) |
Before any well is drilled or re-entered,
the person desiring to drill or re-enter the same shall submit to the Division
the following items:
| (a) |
A properly completed
"Application for Permit to Drill" on application forms obtained from the
Division. |
| (b) |
A fee of $500 for
each application submitted. |
| (c) |
A
plat and an index map (see 8. below) showing the location of the proposed well
which conforms to the following specifications:
| 1. |
The scale of the plat shall be indicated
graphically and shall not be less than one (1) inch equals one thousand (1,000)
feet. The size of the sheet upon which the plat is drawn shall not exceed
twenty-four (24) inches by twenty-four (24) inches. |
| 2. |
A labeled vector indicating either true,
grid, or magnetic north. |
| 3. |
The
surface elevation of the drill site (well location) shall be
established. |
| 4. |
The plat shall
accurately show the distance to the two closest lease lines and/or property
lines and/or drilling unit boundaries from the proposed well location. Where
appropriate, the plat shall show the military district, block number and tract
or unit identity. |
| 5. |
The plat shall
be constructed by a surveyor registered by the State of Georgia or by a
professional engineer registered by the State of Georgia. |
| 6. |
The plat shall contain a signed statement
or certification by the surveyor or registered professional engineer that all
measurements are accurate as shown on the plat. |
| 7. |
The plat shall show the amount of acreage
assigned to the drilling unit and the drill site tract. |
| 8. |
The index map shall show all federal,
state, county, and municipal highways and roads and all railroads within a
radius of one (1) mile of the proposed well location; and all buildings,
prominent landmarks within one thousand (1,000) feet of the proposed well
location. In addition, sufficient information shall be provided so that the
location of the proposed well can be plotted to within plus or minus one
hundred (± 100) feet on a standard U.S. Geological Survey quadrangle
map. The appropriate U.S. Geological Survey quadrangle map with the well site
location indicated within plus or minus one hundred (± 100) feet may be
substituted for a hand drafted index map. |
| 9. |
If conditions require that two or more
attempts are necessary in order to satisfactorily drill and/or construct the
well, the location of each attempt shall be indicated on updated plats
submitted to the Division. |
|
| (d) |
A properly completed "Affidavit of
Ownership or Control" on an application form obtained from the
Division. |
| (e) |
A properly completed
"Organization Report" as specified in paragraph (7) of this section. |
| (f) |
Illustrations and narrative material of
the proposed operation. The illustrations and narratives should as described in
the Oil and Gas Exploration and Production Well, Deep Mineral Exploration and
Production Well, and Deep Fresh Water Production Well Permitting Checklist
describe the following:
| 2. |
Casing and cementing
program. |
| 3. |
Procedures to prevent
blow-outs, caving, and seepage. |
| 4. |
Procedures to prevent fires, waste, H2S containment and spillage. |
| 5. |
Sampling and logging program. |
| 6. |
Reclamation program for mud-pits, sumps,
reserve pits, and dikes. |
| 7. |
Disposal
of drilling fluids. |
| 8. |
Testing the
integrity of well casings. |
| 9. |
Maintenance and repair of roadways significantly impacted by drilling
operations, including hydraulic fracturing activities; and |
| 10. |
Buffers around wells and property line
setbacks that are sufficient to protect potentially affected property owners
from any noise, light, water, or air pollution resulting from any drilling or
hydraulic fracturing operations. |
|
| (g) |
Procedures for hazard mitigation
identified in 3. and 4. above may be included by reference if the operator has
already provided such procedures to the Division. The Division also may request
such additional information as it deems necessary. |
| (h) |
A bond, or undertaking, in the amount
specified below in Table I for each proposed well. Such bond shall be executed
by the operator as principal, and by a surety approved to do business in this
State, and shall be payable to the State of Georgia Department of Natural
Resources. The bond shall be conditioned to secure the faithful performance of
all requirements of the Act, these Rules and Regulations and permit conditions.
(The correct legal name and address of the principal and the surety shall be
set forth on the bond, which shall be countersigned by the Georgia agent of
such surety, who shall also set forth the correct legal name and address of
such agent). In the event of a failure by the operator to fully comply with the
Act, Rules and Regulations or permit conditions, said bond shall be forfeited
and the Division shall expend the proceeds of the bond to fulfill the
operator's responsibilities so as to protect the State and its citizens from
any injury which may result from such failure. The bond shall remain in effect
for a period of two years after said well is plugged and properly abandoned,
two years after receipt by the Director of a properly completed "Well
Completion Report" as described in
391-3-13-.15, or two years from the
date of receipt of all data and reports required by these Rules, whichever
occurs last. As an alternate to a bond an irrevocable letter of credit may be
issued provided the irrevocable letter of credit is acceptable to the Division
and the irrevocable letter of credit is issued to the State by a bank domiciled
in the State of Georgia.
TABLE I
| Permit Depth |
Amount of Bond |
| Less than 5,000 feet |
$20,000 |
| 5,000 to 10,000 feet |
$40,000 |
| 10,000 to 15,000 feet |
$60,000 |
| Over 15,000 feet |
$80,000 |
A lesser amount of a bond or an irrevocable letter of credit
may be proposed if the applicant can document that a lesser amount is
appropriate in accordance with requirements in the Oil and Gas Exploration and
Production Well, Deep Mineral Exploration and Production Well, and Deep Fresh
Water Production Well Permitting Checklist.
|
| (i) |
In the event the owner or operator wishes
to keep the well open for additional testing after drilling rig removal. The
Director may require that an additional bond in the amount of $25,000 be
furnished, subject to the same terms and conditions as the initial bond. Also,
if the operator plans to drill multiple wells and can demonstrate to the
satisfaction of the Director that the operator has adequate financial resources
to cover all plugging and abandonment costs, and the cost for restoration and
reclamation of the well site, a blanket bond in the amount of $100,000 may be
substituted. This blanket bond shall be subject to the same terms and
conditions as the aforementioned individual well bond. The Director may require
that the blanket bond not be applicable for any well left open after rig
removal. |
| (j) |
In addition to the
above requirements, for those operations that will be conducting hydraulic
fracturing, the following information is also required in the permit
application:
| 1. |
The location of the well
proposed to be fractured and the route of any directional borehole to the end
point of such borehole; |
| 2. |
A brief
description of the project, including information regarding the sources of
water to be used as base fluid and estimated amounts and methods of waste-water
disposal; |
| 3. |
The identification of
ground-water sources within one-half mile of any proposed wellhead and within
one-half mile along the route of any directional borehole to the end point of
such borehole, and for ground-water quality monitoring before, during, and
after drilling operations; |
| 4. |
A
comprehensive groundwater monitoring plan in the vicinity of the oil or gas
borehole, in nearby drinking water aquifers, and at public and private water
supply wells, as detailed in the Narratives section of the Oil and Gas
Exploration and Production Well, Deep Mineral Exploration and Production Well,
and Deep Fresh Water Production Well Permitting Checklist; |
| 5. |
Disclosure of the chemicals in the fluids
used in the hydraulic fracturing process, a copy of which shall also be
submitted to the Commissioner of Public Health; |
| 6. |
A description of the provisions for the
safe disposal of all hydraulic fracturing fluids; and |
| 7. |
A description of the provisions for the
restoration and reclamation of abandoned well sites, storage facility sites,
pits, and access roads. |
|
|
| (2) |
Any operator applying for a permit to
drill a directionally controlled well shall fulfill the prescribed requirements
of (1) of this paragraph. In addition, the survey plat must show the proposed
bottom hole location and the surface location. In the event an operator, in
good faith, commences and proceeds with the drilling of a straight well and
thereafter decides to deviate the well directionally, he may do so by first
notifying the Director by telephone, secondly confirming in writing the fact
thereof, and thirdly complying with the provisions governing intentionally
deviated wells as hereinabove provided. |
| (3) |
The Director shall, within 30 days after
the receipt of a properly completed application from any person desiring to
drill a well covered by this part, issue a public notice for the permit
application by posting such notice to the Division website and by sending such
notice via mail or e-mail to any persons who have requested notification of
permit applications from the Division.
| (a) |
The
Director shall allow for a 30 day public comment period to begin running from
the date the public notice is posted on the Division website. |
| (b) |
The permit applicant shall provide public
notice of the proposed well to property owners and residents who may be
impacted by the issuance of the permit within ten days of the date of the
public notice issued by the Director by, at a minimum:
| 1. |
Posting the public notice along the road
nearest to the proposed well |
| 2. |
Providing the public notice to all persons owning real property within one-half
mile of the proposed wellhead and within one-half mile along the route of any
directional borehole and any residence that has any drinking water wells within
one-half mile of the proposed wellhead and within one-half mile along the route
of any directional borehole |
| 3. |
Publishing the public notice in at least one legal organ in the county where
the well will be located |
|
|
| (4) |
After considering the permit application,
the Director shall either issue or deny a permit for the well. The Director
shall notify the public of the final permit decision via mail or e-mail to any
persons who have requested notification of permit application from the
Division. |
| (5) |
Drilling or re-entry
shall not begin until a permit is issued. Permits shall expire one (1) year
from the date of issuance if spudding operations in connection with the
proposed well have not begun. |
| (6) |
Noncompliance with any provision of the Act, these Rules and Regulations, or
any permit condition shall be grounds for the revocation, suspension or
modification of any permit. |
| (7) |
Every person acting as an operator or agent for an operator or independently
engaged in the production of or drilling for oil, condensate, or gas shall file
with the Director an "Organization Report," on forms obtained from the
Division. The "Organization Report" shall contain the following information:
the name, telephone number, post office address of such person; the exact legal
name under which such person or businesses is being operated or conducted; the
exact corporate name, if such is incorporated, and the place of incorporation
of such corporation; the business or businesses in which the person is
typically engaged; the names and post office addresses of all other persons
acting as trustee, together with the names and post office addresses of the
manager, agent, or executives thereof, as well as the names and post office
addresses of principal officers thereof. When a business is conducted under an
assumed name, as a partnership or a sole a proprietorship, the "Organization
Report" shall show the names and post office addresses of all owners or
partners in addition to the other information herein required. Should any
change occur as to facts stated in the filed report prior to bond termination,
a revised "Organization Report" shall be filed with the Director within thirty
(30) days of such change. |
| (8) |
An
operator may request modification of any permit condition. Such request must be
in writing and properly documented. The Director may grant such modification if
he is satisfied that the request is justified and if the modification will
allow the operator to remain in compliance with Act and these Rules and
Regulations. |
| (9) |
Within ten (10)
days after permit approval, the operator shall give written notice to the
land-owner or tenant occupying the land of the operator's intent to drill and
general schedule. |
| (1) |
The spacing of wells in proven oil and/or
gas fields or in areas that Board may designate, shall be governed by special
rules for that particular field or area, adopted after due notice and public
hearing. |
| (2) |
Wells drilled in areas
not covered by special rules shall be drilled a minimum of 330 feet or other
distance, determined by the Director to provide an adequate safety buffer to
the public, from any lease boundary, property line, dwelling, place of public
gathering or producing oil or gas well. The applicant for a permit to drill
such a well shall demonstrate to the Director that the application has
available for assignment to said well, leases or acreage of area and size to
constitute a reasonable producing unit for such well. Oil wells drilled in
areas not covered by special rules shall be drilled on a drilling unit
consisting of forty (40) surface contiguous acres. The well shall be located
330 feet from the exterior boundary of the drilling unit and at least 660 feet
from the every other well drilling to or producing from, or for which a permit
shall have been granted to drill to the same pool. Gas wells drilled in areas
not covered by special rules shall be drilled on a drilling unit consisting of
one hundred sixty (160) surface contiguous acres. The well shall be located 660
feet from the exterior boundary of the drilling unit and at least 1867 feet
from every other well drilling to or producing from, or for which a permit
shall have been granted to drill to the same pool. |
After discovery of an oil and gas pool and for the prevention
of waste, to avoid the drilling of an excessive number of wells and to assure
the ultimate maximum recovery of gas or oil, the Director shall, after due
investigation and a hearing, establish drilling and/or operation units. The
Director also, after investigation and a hearing, shall make such special
orders as will give to each producer the opportunity to use his or her just and
equitable share of the maximum reservoir energy of any pool.
Oil and Gas fields and pools shall be classified as to common
sources of supply from which they produce and such sources shall be determined
and named by the Director. In naming fields, reference shall be given to common
usage and geographic names. Separate pools within the same field shall be named
according to the producing formation.
| (1) |
Any person or persons wishing to become
the new operator of a well or wells must submit to the Director for his or her
approval a request for a change of operator accompanied by the following if not
previously filed:
| (a) |
A properly completed
and notarized "Affidavit of Ownership or Control" of said well or
wells. |
| (b) |
A properly completed
"Organization Report," on form obtained from the Division. |
| (c) |
A bond, or undertaking, in full and
complete compliance with subparagraph
391-3-13-.04(1)(h)
of these Rules, if such requirement has not been fulfilled
previously. |
| (d) |
A notarized letter
from the present operator requesting the Director to approve the applicant as
the new operator of such well. |
|
| (2) |
The request for Change of Operator will
be reviewed by the Director, who shall approve or deny the change within thirty
(30) days of receipt of the above items. If a change of operator is denied, the
application may request a hearing, if such request is in writing and made
within thirty (30) days of the denial of the permit. |
| (1) |
Identification of wells. The operator of
any well shall paint or stencil and post and keep posted in a conspicuous place
near the well, the name of the operator, the name of the lease or property
owner, the number of the well and the number of the permit for the well. The
identification shall be posted before spudding or re-entry and shall remain
posted until the well is properly plugged and the location is restored to a
condition satisfactory to the Director. In the event of a change of operator,
well name or number, a new sign reflecting the change shall be
posted. |
| (2) |
Notices of activities.
The Director shall be notified by telephone no less than twenty-four (24) hours
(or other time-period acceptable to the Director) prior to performing any one
or more of the following activities:
| (c) |
electrical or
geophysical logging; |
| (e) |
removing drilling
rig; |
| (h) |
any other activity the Director may
designate. |
|
| (3) |
Prior
notification to performing the aforesaid activities shall be to allow the
Director to send a duly authorized representative to the location to witness
the activity at the specified time, if the Director deems necessary. |
| (4) |
Control of wells. The operator shall take
all necessary precautions to keep all wells under control at all times, shall
utilize only contractors or employees trained and competent to drill and
operate such wells, and shall utilize and maintain materials and high-pressure
fittings and equipment necessary to insure the safety of operating conditions
and procedures. The design of integrated casing, cementing, drilling mud and
blow-out prevention programs shall be based upon sound engineering principles
and must take into account the depths at which various fluid or mineral-bearing
formations are expected to be penetrated, the formation fractures gradients and
pressures expected to be encountered, and other pertinent geologic and
engineering data and information about the area. |
| (5) |
Notification of fire, leaks, or
blow-outs. The operator shall immediately notify the Director by phone giving
full details concerning all fires, leaks or blow-outs which occur at such
wells. Drillers shall take immediate action to control fires, leaks or
blow-outs as appropriate. |
| (6) |
Well
record. During the drilling of every well, the owner, operator, contractor,
driller, or other persons responsible for the conduct of drilling operations,
shall keep at the well a detailed and accurate record available to the Division
and its agents at all times. Pertinent information from such records shall be
recorded on a "Well Information Form" obtained from the Division. The "Well
Information Form" shall be furnished to the Director within forty-five (45)
days after removal of the rig from the well site and will describe
progressively the general lithology of strata, water and oil or gas encountered
as well as such additional information as to abnormal pressure, zones of lost
circulation, caving strata, casing record, and other information as are usually
recorded in the normal procedure of drilling. The "Well Information Form" shall
be held in confidence as described in paragraph (9) below. |
| (7) |
Electrical, Geophysical and Other Logs.
| (a) |
A record of all electrical, sonic,
radioactivity, mud, and mechanical logging or surveying of the well shall be
maintained and two copies furnished to the Director within forty-five (45) days
after completion. Field prints of logs necessary to determine fresh water-salt
water interfaces and, if appropriate, integrity of cement to casing must be
available to the Division's agent at Oil well site. |
| (b) |
To assure the protection of fresh
surface-water and ground-water zones, the Division shall have the authority to
require and/or perform geophysical logging at any time during the drilling
provided:
| 1. |
Hole conditions allow such
logging; |
| 2. |
The operator does not
intend or has not scheduled to perform spontaneous potential-resistivity type
logs of sufficient accuracy to identify the fresh water-salt water
interface. |
|
| (c) |
The
Division will not perform any logging where the operator has performed logging
adequate for identifying the fresh water-salt water interface. If the Division
performs the logging of any well, the owner or operator shall prepare and
provide full access to the well and assist the Division as necessary until the
logging is completed. If the owner of operator is requested to conduct logging,
such logging shall be at the owner or operator's expense. Two copies of all
geophysical logs obtained by the Division shall be supplied to the owner of the
well within (30) days. All geophysical logs obtained by the Division shall be
held in confidence as provided in paragraph (9) of this
paragraph. |
|
| (8) |
Samples:
Each operator shall file with the Director a complete set of cuttings or cores
correctly labeled and identified as to depth, notlater than thirty (30) days
for cuttings and ninety (90) days for core splits after completion of the well.
Cuttings shall be collected at 30 foot intervals from a depth of 500 feet to
the total depth drilled. Cuttings are not required for the uppermost 500 feet.
Missing intervals shall be noted and the reasons for the missing samples shall
be described. Side-wall cores need not be submitted as long as written
descriptions are filed within forty-five (45) days after completion of the
well. |
| (9) |
Confidentiality. If an
applicant or an operator believes that information contained in their
application or that is generated as a result of their operation and that must
be submitted to the Division to comply with these rules, is protected under
Georgia law from disclosure to the public, they must comply with the Division's
June 2015 Procedures for Submitting Information Pursuant to a Claim that
Information in the Submittal is Protected Under Georgia Law from Disclosure to
the Public or any updates or substitution to such procedures. |
| (10) |
Protection of fresh surface-water and
ground-water supplies. All fresh water shall be confined to its respective
strata and shall be adequately protected. Special precautions identified in
paragraphs (11), (12), (13), (14), and (15) and rule
391-3-13-.12 shall be taken in
drilling and abandoning of wells to guard against any loss of fresh water or
contamination of fresh surface-water or ground-water supplies by oil,
condensate, gas, salt-water, or other contaminants. |
| (11) |
Mud pits, sumps, reserve pits and dikes.
| (a) |
Before commencing to drill, properly
maintained mud pits, sumps, reserve pits or tanks of sufficient size to receive
and contain the maximum volume of drilling fluid anticipated at the surface
shall be constructed, and thereafter maintained, for the reception of such
materials. |
| (b) |
After a well is
completed or abandoned, all fluids, and recoverable slurry that remain in all
pits, sumps, and tanks shall be safely returned to the well on location, or
removed and disposed of, as approved by the Director. All mud pits, sumps,
reserve pits and dikes shall be backfilled with earth or graded and compacted
in such a manner as to be returned to a nearly natural
state. |
|
| (12) |
Casing.
| (a) |
The operator shall case and cement all
wells with a sufficient number of strings of high-quality casing, without
leaks, in a manner necessary to:
| 1. |
prevent
release of fluids from any stratum through the well bore (directly or
indirectly) into the ground waters or onto the surface, except into pits or
tanks provided for this purpose; |
| 2. |
prevent communication between separate hydrocarbon bearing strata (except where
such strata have been approved for commingling) and between hydrocarbon and
water-bearing strata; |
| 3. |
prevent
contamination of fresh-water strata; |
| 4. |
support unconsolidated sediments;
and, |
| 5. |
otherwise provide a means to
control formation pressures and fluids. |
|
| (b) |
The operator shall install such casing
necessary to withstand collapse, bursting, tensility, and other stresses and
the casing shall be cemented in a manner which supports the casing. Safety
factors in casing program design shall be of sufficient magnitude to provide
optimum well control while drilling and to assure safe operations for the life
of the well. |
| (c) |
Determination of
proper casing-setting depths shall be based upon all geologic factors including
the presence or absence of hydrocarbons and fresh-water depths on a
well-for-well basis. |
| (d) |
Surface
casing shall be new or reconditioned pipe that, to the satisfaction of the
Director, has been tested, inspected and certified to verify a good usable
condition. Surface casing shall be set at a depth and cemented in a manner
necessary to protect all fresh-water aquifers and provide well control until
the next string of casing is set. Surface casing shall be cemented with a
volume sufficient to fill the annular space from the casing shoe to the
surface, plus 10 percent. Cement shall be added from the bottom upward. All
cement shall be allowed to set for 12 hours before the cement plug is drilled
or test initiated. If cement returns are not received at the surface or returns
are lost while circulating, remedial cementing at the surface will be done be
running a minimum of 100 feet of small diameter pipe in the annular space
bringing cement to the surface. Also if circulation is lost during cementing
operations, the Director may require that a temperature or cement bond log be
run to determine whether the casing is properly cemented. |
| (e) |
Production casing shall be set before
completing well for production, and such casing shall be new pipe or
reconditioned pipe that to the satisfaction of the Director has been tested,
inspected, and certified to verify good usable condition. It shall be cemented
in a manner necessary to cover or isolate all zones which contain hydrocarbons,
but in case, a calculated volume sufficient to fill the annular space at least
500 feet above the uppermost producible hydrocarbon zone must be used. After
the cement has set and before drilling the plug, the casing or a maximum test
of 1500 pounds per square inch. Whenever the pressure drops ten (10) percent in
thirty (30) minutes, the casing will be deemed inadequate and shall be repaired
and retested until the requirements thereof are met. |
|
| (13) |
Blow-out prevention. Adequate blow-out
preventers and high pressure fittings for keeping the well control shall be
attached to properly anchored and cemented casing strings. The blow-out
preventers must meet the approval of the Director and shall be tested regularly
and the results recorded in the driller's log. Agents of the Division may
require that the blow-out preventers be tested at any reasonable time during
operations provided such testing does not result in creating a hazardous
condition. |
| (14) |
Control of formation
pressures. The operator shall continuously maintain in the hole, from top to
bottom, good drilling fluid of sufficient weight to control any formation
pressures which may be encountered. In the event of lost-circulation, the
operator will immediately notify the Director and make provisions to restore
circulation either by casing-off the affected zone, increasing mud viscosity,
or other techniques acceptable to the Director. The aforementioned drilling
fluid requirements shall in no way be construed to preclude other drilling
techniques. Air drilling, flame drilling, electric-arc drilling, plasma jet
drilling, laser beams, and erosion drilling are permitted, provided, however,
that the operator uses other appropriate methods approved by the Director to
control any pressures which may be encountered. |
| (15) |
Directional drilling. All wells must be
drilled with due diligence to maintain a reasonably vertical well bore;
however, a well may be intentionally deviated and directionally controlled,
provided that the location of the deviated well at total depth of the well is
in compliance with the applicable spacing rules and the requirements of
paragraph (3) above are met. |
Wells should not be shot, perforated, chemically treated,
fractured,or hydraulically fractured until the Director is notified. Each well
shall be treated, fractured, or hydraulically fractured in such manner as will
not cause injury to the formation, or result in water encroachment into any oil
or gas formation. Necessary precautions shall be taken to prevent injury to the
casing. Routine chemical treatments for corrosion control shall be excluded
from this notice requirement. If chemical treating, fracturing, or
hydraulically fracturing results in irreparable injury to the well or to the
oil or gas information, the Director may issue emergency orders for the well to
be properly plugged and abandoned.
| (1) |
The owner or operator may keep a well
open for additional testing after removal of the drilling rig, if the written
approval of the Director is first obtained, and by demonstrating to the
satisfaction of the Director that (a) the open well is constructed so as to
assure that fresh water aquifers are protected from intraformational migration
of fluids through the bore hole and (b) that the operator has adequate and
readily available financial resources to plug the well. |
| (2) |
The owner or operator of any well shall
be responsible for the plugging of any well after said well is abandoned,
utilizing the services of a well cementing contractor. Any well declared
abandoned by the Director shall be plugged within sixty (60) days by the
operator, or the surety bond will be forfeited to the Division. |
| (3) |
Before any work is commenced to plug any
well, the owner or operator thereof shall give 24-hours notice to the Director
of this intent. Upon notification, the Division may send duly authorized
representatives to the location at the time specified to witness the plugging
of such well. |
| (4) |
The methods and
procedure for plugging a well shall be as follows;
| (a) |
Each oil or gas producing formation shall
be sealed with a cement plug which extends not less than 100 feet above the
producing formations nor less than 100 feet below the producing formations. The
Director may allow a bridge plug with a minimum of 10 feet of cement on top to
be placed immediately above each perforated horizon in cased holes. |
| (b) |
A cement plug of appropriate ingredients
not less than 150 feet in length shall be placed at the base of all fresh water
bearing strata unless the strata are protected by properly cemented surface
casing. Where the natural contact between fresh and salt ground waters is
transitional the cement plug shall be such length to extend at least 50 feet
above and below the transition zone. |
| (c) |
A cement plug not less than 200 feet in
length shall be placed 100 feet above to 100 feet below the base of the surface
casing. This plug may be omitted if this interval is protected by smaller
diameter casing which has been properly grouted. |
| (d) |
A 50 foot plug shall be placed near the
surface of the ground in each hole to be plugged in such a manner as not to
interfere with soil cultivation. |
| (e) |
The interval between plugs shall be filled with fluid weighing not less than
nine and one-half (9.5) pounds per gallon. |
| (f) |
Additional cement plugs not specified
above may required by the Director at other locations so as to prevent the
commingling of oil, gas, salt, water, and fresh water from one formation to
another. |
| (g) |
Other plugging methods
may be used provided written approval is obtained from the Director. |
| (h) |
When a well to be plugged may be used
safely as a fresh water well and such utilization is desired by the land or
surface owner, the well need not be filled above the required sealing plug set
at the base of fresh water, provided the land or surface owner agrees in
writing to the Director to take full responsibility for the well, including
correcting any plugging defects that result in the migration of salty water or
oil or gas through the well, and to comply fully with all laws and rules and
provided written approval is obtained from the Director. |
| (j) |
When a well to be plugged may be safely
used as a ground water monitoring well by the Division, the well need not be
filled above the required sealing plug set at the base of fresh water; provided
the owner will permit the Division access to the well for testing
purposes. |
|
The Director shall be notified before any drilling rig is
removed from any unplugged well, and permission must be granted by the Director
for such removal. The Director may stipulate special protective measures to be
taken before granting permission to remove a drilling rig, including but not
limited to, the temporary plugging of the well, requiring monthly inspections
of the well by an engineer or geologist registered to practice in Georgia, and
proper restoration and reclamation of the well site. If, in the judgment of the
Director, the well poses a hazard to health of the public or the environment,
the Director may issue emergency orders for the well to be properly plugged and
abandoned.
| (1) |
Before any mineral well can be initially
tested for production the operator must notify the Director. The test may be
witnessed by a representative of the Director and the results filed with the
Director within forty-five (45) days such test. |
| (2) |
As described in rule
391-3-13-.11 wells shall not be
shot, perforated, chemically treated, or fractured until the Director is
notified. |
| (3) |
Before any oil or gas
well can be brought into production, the operator must apply to the Director
for permission to produce. Such application shall include, but not be limited
to, a description of the geologic characteristics of the reservoir and safety
precautions. The operator also shall describe whether the proposed production
will be oil or gas, how waste brines and gases will be disposed, how the oil or
gas will be transported from the wellhead, the nature and timing of proposed
production, and any additional information so that the Director may investigate
and hold hearings for the establishment of drilling and operations
units. |
A properly completed "Well Completion Report" shall be
submitted to the Director within forty-five (45) days of well completion. This
report shall include, but not limited to, information pertaining to the well
record, well logs, tests conducted, casing installed, plugs installed, and
other descriptive information that the Director may require. Such report shall
be signed by the operator or his representative, and the operator shall affirm
that all provided information is accurate. Within thirty (30) days of receipt
of an accurate and properly completed "Well Completion Report" the Director
shall notify the operator whether additional measures are necessary in order to
safety produce oil or gas or to finally abandon the well.
All spills of oil, petroleum productssalt-water, hydraulic
fracturing fluids, flowback, produced water, and other waste water shall be
reported and handled in accordance with the Georgia Water Quality Control Act,
the Georgia Oil and Gas and Deep Drilling Act of 1975, as amended, and any
other applicable federal, state, and municipal laws, ordinances and
regulations.
