Louisiana Administrative Code
Title 43 - NATURAL RESOURCES
Part XIX - Office of Conservation-General Operations
Subpart 6 - Statewide Order No. 29-D-1
Chapter 17 - Commingling of Oil and Gas Production Offshore
Section XIX-1705 - Order

Universal Citation: LA Admin Code XIX-1705

Current through Register Vol. 50, No. 9, September 20, 2024

A. From and after the effective date hereof, permission to commingle gas and/or liquid hydrocarbons and to use methods other than gauge tanks for allocation of production in the offshore areas of Louisiana may be obtained without the necessity of a public hearing in the absence of protests, as hereinafter provided and upon strict compliance with the procedure set forth herein, and upon strict compliance with the permissive minimum standards as set forth in §1705. D below.

B. The provisions of Part XIX, Subpart 6, Chapter 15, §1505 A, with reference to the filing of required data and information, shall be incorporated in this supplement order by reference.

C. Notice of the filing of the application to commingle and to use methods other than gauge tanks for the allocation of production, shall be mailed to the State Mineral Board of the state of Louisiana, and where the field or fields made subject to the application is seaward of the Zone I line as defined in the State of Louisiana-United States Agreement of October 12, 1956, a notice shall be mailed to the supervisor of the United States Geological Survey.

D. Should the application be for the approval of the use of well tests in lieu of gauge tanks, and should the application for same be approved, such testing shall be done in compliance with the permissive minimum standards as set forth herewith:

1. all top allowable wells shall be tested a minimum of four hours at least once a month to determine productivity rate;

2. deficient wells shall be tested a minimum of four hours at least twice a month to determine productivity rate;

3. wells having any erratic producing characteristics that cause variable rates of flow while producing on a continuous choke size, shall be tested a minimum of four hours at least weekly to determine productivity rate;

4. if at any time between, the regular testing periods, as outlined above, the choke size of any well is changed, the time and date of change shall be recorded and a productivity rate test conducted after the well has stabilized on the new choke. Production allocation would be made according to these various productivity rates for the time they were in effect;

5. if at any time the choke in a well is changed because of wear, a test shall be conducted before the choke is changed and another one after the well has stabilized on the new choke. The average rate between the previous productivity rate test and the productivity rate test conducted immediately after the choke change should be used to determine production for this period only back to the first day of the current month;

6. if the producing characteristics of a well change between the regular testing periods, such as: the beginning or increase in water percentage; a change in gas-oil ratio, especially above the 2000/1 limit; or, considerable change in tubing pressure, etc., then tests shall be made at no longer than one week intervals until production again stabilizes;

7. periodic spot checks should be made by members of the office, especially on unstable wells, water producing wells, and high gas-oil ratio wells;

8. daily checks on individual well head pressures shall be recorded and maintained by the operator of each well which has been granted permission to commingle in the offshore areas provided weather permits;

9. if any operator feels that some other interval of testing is appropriate he may request an exception to the above in writing addressed to the district manager outlining his problems and suggested interval of testing. The commissioner may, upon recommendation of the district manager and his staff, grant such exception as he deems appropriate by special administrative order without a public hearing.

E. Should approval be given, the applicant shall indicate in the remarks column of each current R-1 Report that appropriate monthly well tests have been conducted. The applicant shall retain the actual reports of such tests and such reports shall be kept on file and available for inspection by any agent of the Office of Conservation or any party at interest, for a period of not less than three years.

F. The results of all tests required by this order shall be certified as being true and correct by the party performing the tests.

G. This order shall be cumulative of, and in addition to all statewide orders, rules and regulations affecting the drilling and production of gas and/or liquid hydrocarbons in the offshore areas of Louisiana, as heretofore promulgated and when in conflict therewith shall prevail.

AUTHORITY NOTE: Promulgated in accordance with R.S.30:4 et seq.

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