Current through Reg. 49, No. 12; March 22, 2024
(a) Any oil well
producing with a gas-oil ratio in excess of 2,000 cubic feet of gas per barrel
of oil produced shall be allowed to produce daily only that volume of gas
obtained by multiplying its maximum daily oil allowable, as determined by the
allocation formula applicable to the well, by 2,000. The gas volume thus
obtained shall be known as the daily gas limit of the well. The daily oil
allowable of the well shall then be determined by dividing its daily gas limit,
obtained as provided in this section, by its producing gas-oil ratio in cubic
feet per barrel of oil produced.
(b) Any gas well producing from the same
reservoir in which oil wells are completed and producing shall be allowed to
produce daily only that amount of gas which is the volumetric equivalent in
reservoir displacement of the gas and oil produced from the oil well in the
reservoir that withdraws the maximum amount of gas in the production of its
daily oil allowable.
(1) The following
formula shall be used in the determination of the allowable of a gas well
producing with a gas-oil ratio of 100,000 or more.
Attached
Graphic
(2) The
following formula shall be used in the determination of the allowable of a gas
well producing with a gas-oil ratio of less than 100,000 under the provisions
of the rule stated.
Attached
Graphic
(3) The
allowable for an associated gas well as determined by this subsection shall be
limited to the lesser of:
(A) the gas well
allowable as calculated by paragraph (1) or (2) of this subsection;
(B) the well's capability as determined by
§
RSA
3.31<subdiv>(e)</subdiv> of this
title (relating to Gas Reservoirs and Gas Well Allowable) (Statewide Rule 31);
or
(C) the highest monthly
production during those months averaged to a daily amount for wells that
reported production during any of the three most recently reported production
months.
(c)
The necessary reservoir data shall be obtained from the file of the most recent
MER hearing or shall be estimated by the commission unless more recent
information is submitted by the operators.
(d) If the gas produced from an oil reservoir
is returned to the same reservoir from which it was produced, only the volume
of gas not returned to the reservoir shall be considered in applying the rule
stated.
(e) Associated gas wells.
(1) Subsection (b) of this section will not
be applicable to associated gas wells in reservoirs for which unlimited net
gas-oil ratio authority has been granted for oil wells, where such net gas is
defined as total gas produced less gas diverted to legal uses; however, this
subsection does not apply to reservoirs where net gas is defined as total gas
produced less gas returned to the reservoir from which it was produced, or
where special field rules have been adopted for associated gas wells, or where
a total gas volume limitation is placed upon the oil well producing under a net
ratio, except that each associated gas well in such a reservoir shall be
entitled to an additional gas voidage not to exceed the limitation placed upon
the net ratio authority granted and the facts are shown on the current oil
proration schedule for the field.
(2) Allowables for associated gas wells
producing from reservoirs that are subject to an unlimited net gas-oil ratio
authority will be dropped from the associated gas well schedule, effective that
date such an unlimited net gas-oil ratio is authorized for any oil well in such
reservoir.
(f) All
gas-oil ratios determined by test or allocation shall be reported on the oil
well status report form in accordance with instructions thereon and the
provisions of §
RSA
3.53<subdiv>(a)</subdiv> of this
title (relating to Annual Well Tests and Well Status Reports
Required).
(g) Allowables.
(1) No well shall have its allowable
curtailed below the allowable fixed by the applicable field rules and the
general statewide market demand order, unless such well is incapable of
producing this allowable on a calendar day basis.
(2) Any well that has a gas-oil ratio in
excess of the prescribed ratio for the field in which it is located will have
its schedule daily allowable penalized due to such ratio.