Current through Register Vol. 49, No. 9, September, 2024
RULE B-3: SPACING OF
WELLS
a. For
purposes of this rule and with respect to all established field rules,
exploratory drilling units, wildcat wells, and in uncontrolled areas, the term
well location shall be defined as follows:
(1)
For the purpose of well drilling permit issuance, well location is defined as
the proposed bottom hole location in a vertical or directionally drilled well
or the estimated productive portion of a lateral in a horizontal well,
projected to the surface. For purposes of assigning an API number the well site
location shall be considered the actual surface location of the well.
(2) For the purpose of well setback
provisions, except in uncontrolled areas, well location is defined as the
actual physical location of the completed interval in the well, projected to
the surface, as follows:
A. In a vertically
drilled well without a directional survey, the well location is the surface
location. In a vertically drilled well, the well location is the location of
the perforated interval of the well bore, projected vertically to the
surface;
B. In a directionally
drilled well, the well location is the location of the midpoint of the
perforated interval of the producing formation, as calculated from the
directional survey, projected vertically to the surface;
C. In a horizontally drilled well, the well
location is the entire perforated length of the lateral section of the well
bore, as shown on a directional survey, projected vertically to the
surface.
b.
The spacing of wells in oil and gas fields established by Commission Order,
shall be governed by field rules for that particular field, adopted after
notice and hearing.
c. The spacing
of wells in other areas designated as prospective of oil and gas production
shall be governed by General Rule adopted after notice and hearing.
d. The well location for a well drilled for
oil or gas production in an exploratory drilling unit established by Commission
Order shall not be located closer than 280 feet from the drilling unit
boundary, except that wells drilled in exploratory drilling units established
by General Rule B-43 or General Rule B-44, shall be governed by the applicable
well setback provisions of General Rule B-43 or General Rule B-44,
respectively.
e. The following
applies to all wildcat well locations not drilled in exploratory drilling
units:
(1) The well location for a wildcat
well drilled for oil or gas production purposes, within an area not covered by
Field Rules, General Rule B-43, or General Rule B-44shall not be located closer
than 280 feet from a quarter, quarter division line within a governmental
section.
(2) The well location for
a wildcat well, drilled for the purposes of oil or gas production, within an
area subject to Field Rules, but proposed to be drilled to a geologic formation
for which Field Rules have not been established shall be subject to the set
back provisions specified in e (1) above.
f. The well location for a well drilled for
oil or gas production purposes, and completed in pools in field(s) where Field
Rules do not exist for these uncontrolled pools, shall not be located closer
than 280 feet from the nearest mineral lease line.
g. The following applies to injection wells
drilled or completed for enhanced recovery, Class II Disposal Wells, or Class
II Commercial Disposal Wells (as defined by General Rule H-1):
(1) The well location for an injection well
drilled or completed for enhanced recovery purposes shall not be located closer
than 280 feet from a unitized boundary line.
(2) The well location for a Class II Disposal
Well, or Class II Commercial Disposal Well, drilled or completed pursuant to
General Rule H-1 shall be located no closer than 280 feet from the drilling
unit boundary in controlled fields.
(3) The well location for a Class II Disposal
Well or Class II Commercial Disposal Well, drilled or completed pursuant to
General Rule H-1, outside of a controlled field and not within an uncontrolled
field, shall be located no closer than 280 feet from a quarter, quarter
division line within a governmental section.
(4) The well location for a Class II Disposal
Well, or Class II Commercial Disposal Well, within an uncontrolled field,
drilled or completed pursuant to General Rule H-1 shall be located no closer
than 280 feet from the mineral lease line. However, with regards to Class II
Disposal Wells, this requirement may be waived by the Director if the offset
operator(s) which is being encroached upon gives written permission for the
Class II Disposal Well to be located at a closer distance and waives the
requirement of a hearing before the Commission to the operator of the Class II
Disposal Well and the appropriate AOGC Regional Office.
h. The well location for wells drilled for
the purposes of water supply for purposes of enhanced oil recovery are subject
to all the provisions of this rule with the exception of the set back
provisions for well location. No production of hydrocarbons will be allowed
from a water supply well.
i. The
Commission may, after notice and hearing, grant exceptions to the rule,
provided such exceptions will create neither waste nor hazards conducive to
waste. No well drilled in violation of this rule without special permit
obtained in the manner prescribed in said rule and no well drilled under such a
special permit, which does not conform to the terms of such special permit in
all respects, shall be permitted to produce either oil or gas and any such well
so drilled in violation of said rule or in violation of a permit granted under
an exception to such rule shall be plugged.