Michigan Administrative Code
Department - Licensing and Regulatory Affairs
Public Service Commission
Production And Transmission Of Natural Gas
Section R. 460.852 - Definitions

Universal Citation: MI Admin Code R. 460.852

Current through Vol. 24-16, September 15, 2024

Rule 2. For the purposes of these rules the following definitions apply:

(a) The word "commission" shall be defined to mean the Michigan public service commission.

(b) The words "producer" or "operator" shall be defined to mean any corporation, association or person now or hereafter controlling or being responsible for the control of any well, or of the production of gas therefrom.

(c) The term "well owner" shall mean any owner of a full working interest in any well, and the term "fractional well owner" shall mean any owner of a fractional working interest in any well.

(d) The word "transmitter" shall be defined to mean any corporation, association or person, now or hereafter engaging in the carrying or transporting of natural gas by pipe line or lines.

(e) The term "common purchaser" shall be defined to mean any transmitter engaging in the business of purchasing and transporting natural gas for hire, compensation or otherwise: provided, that factories or industries in this state may transport or transmit natural gas through pipe lines for their own use in plants located wholly within this state without constituting themselves common purchasers. (See sections 3 and 4 of Act No. 9 of the Public Acts of 1929.)

(f) The term "common carrier" shall be defined to mean any corporation, association or person purchasing or collecting natural gas and conveying or transmitting the same for hire, compensation or otherwise by pipe line or lines as a common carrier. (See section 6 of Act No. 9.)

(g) The words "gas" or "natural gas" as used in these rules shall, unless otherwise specifically provided, be defined to mean dry, merchantable, natural gas, either dry gas as produced from a dry gas well or so-called casinghead gas after removal of gasoline vapors, or either such gas after dilution with other gas or gases, as distinguished from so-called casinghead gas before treatment for removal of gasoline vapors.

(h) The term "cubic foot" of gas as used in these rules shall have the following meanings:

(i) In cases where gas is supplied and metered to the ultimate consumer at the standard delivery pressure which may vary from 3 inches to 10 inches water column, a cubic foot of gas shall be defined to be that volume of gas which, at the temperature and pressure existing in the meter, occupies 1 cubic foot.

(ii) In cases where gas is supplied to purchasers through orifice or positive meters at other than standard delivery pressure as defined above, a cubic foot of gas shall be defined to be that volume of gas which, at 60 degrees Fahrenheit and at absolute pressure of 14.65 pounds per square inch, occupies 1 cubic foot; except that in cases where a different pressure base that is considered by the commission to be fair and reasonable is provided for in gas sales contracts or in rules or practices of a distributor such different pressure base shall be effective. (Corrections for temperature and pressure shall be made in accordance with

Charles' law and Boyle's law respectively, except that, when the meter pressure is 125 pounds per square inch gauge or greater, correction shall be made for deviation from such laws (supercompressibility) in accordance with American gas association gas measurement committee report no. 3, "Orifice Metering of Natural Gas" dated April, 1955, or other procedures which may be approved by the commission.)

(iii) The cubic foot of gas for the purposes of measuring gas produced and purchased at wells shall be defined to be that volume of gas which, at an assumed temperature of 60 degrees Fahrenheit and an absolute pressure of 15.025 pounds per square inch, occupies 1 cubic foot: provided, that contracting parties may agree to any special method or procedure in measuring or determining temperatures that is considered by the commission to be reasonable. (Corrections for temperature and pressure shall be made in accordance with Charles' law and Boyle's law respectively, except that, when the meter pressure is 125 pounds per square inch gauge or greater, correction shall be made for deviation from such laws (supercompressibility) in accordance with American gas association gas measurement committee report no. 3, "Orifice Metering of Natural Gas" dated April, 1955, or other procedures which may be approved by the commission.)

(iv) The standard cubic foot of gas for testing the gas itself for heating value, etc., shall be that volume of gas which, when saturated with water vapor and at a temperature of 60 degrees Fahrenheit and under a pressure equivalent to that of 30 inches of mercury (mercury at 32 degrees Fahrenheit and under standard gravity) occupies 1 cubic foot. (Corrections for temperature and pressure shall be made in accordance with Charles' law and Boyle's law respectively, except that, when the meter pressure is 125 pounds per square inch gauge or greater, correction shall be made for deviation from such laws (supercompressibility) in accordance with American gas association gas measurement committee report no. 3, "Orifice Metering of Natural Gas" dated April, 1955, or other procedures which may be approved by the commission.)

(i) "Absolute open flow" is defined as the number of cubic feet of gas per 24 hours that would be produced by a well if the only pressure against the face of the producing sand in the well bore were atmospheric pressure.

(j) "Modified open flow" is defined as the absolute open flow of a well multiplied by the acreage factor applied to such well. (See R 460.865(2).)

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