<<Prev Rule

Texas Administrative Code

Next Rule>>
TITLE 16ECONOMIC REGULATION
PART 1RAILROAD COMMISSION OF TEXAS
CHAPTER 3OIL AND GAS DIVISION
RULE §3.32Gas Well Gas and Casinghead Gas Shall Be Utilized for Legal Purposes

    (C) Volumes of low pressure gas that can be measured with devices routinely used in oil and gas exploration, development, and production operations and that are not directed by an operator to a gas gathering system, gas pipeline, or other marketing facility, or other purposes and uses authorized by law due to mechanical, physical, or economic impracticability;

    (D) For casinghead gas only, the unavailability of a gas pipeline or other marketing facility, or other purposes and uses authorized by law; or

    (E) Avoiding curtailment of gas production which will result in a reduction of ultimate recovery from a gas well or oil reservoir.

(g) Gas releases from gas gathering system, gas plant or gas handling operations.

  (1) The operator of a gas gathering system, gas plant, gas compressor facility or other gas handling equipment not directly associated with lease production of gas, shall not intentionally allow gas to be released for a period of more than 24 hours after the start of an upset condition. The operator shall notify the appropriate commission district office by telephone or facsimile as soon as reasonably possible after the release of gas begins. The volume of gas that is released must be measured or estimated in accordance with §3.27 of this title (relating to Gas To Be Measured and Surface Commingling of Gas) and reported on the appropriate commission form. The provisions of this subsection do not apply to accidental releases which are subject to or reported pursuant to any other commission rule.

  (2) The commission or the commission's delegate may administratively grant or renew an exception to the requirements or limitations of this subsection and allow additional releases of gas for a period greater than 24 hours if the operator presents information that shows the necessity for the release. An operator may continue the release by flaring or by venting of the gas, if flaring is not required for safety reasons or by other regulation, beyond the initial 24-hour period pending commission consideration of a request for an administrative exception under subsection (h) of this section. The request for exception is to be filed with the commission by the end of the next full business day following the first 24 hours of the release unless the deadline is extended by the commission or the commission's delegate. The following are examples of situations that may qualify for an exception under this paragraph:

    (A) gas gathering system or gas plant construction, repairs or maintenance;

    (B) gas plant turnaround; or

    (C) emergency situations.

(h) Exceptions. The commission or the commission's delegate may administratively grant an exception authorized by this section provided that the requirements of this subsection are met.

  (1) The request for an exception shall be accompanied by the fee required by §3.78(b)(5) of this title (relating to Fees and Financial Security Requirements).

  (2) An administrative exception shall not exceed a period of 180 days.

  (3) The 180-day limitation shall not apply for volumes of gas less than or equal to 50 mcf of hydrocarbon gas per day for each gas well, commission-designated oil lease, or commingled vent or flare point.

  (4) Requests for exceptions for more than 180 days and for volumes greater than 50 mcf of hydrocarbon gas per day shall be granted only in a final order signed by the commission.

  (5) A request for an exception to cover an operating emergency, system upset, or other unplanned condition may be submitted by facsimile transmission or other means, provided that an original signed request is accompanied by the fee required by subsection (h)(1) of this section and is received by the commission within three working days of the facsimile transmission request.

  (6) Exceptions shall be issued to the operator of a gas well or commission-designated oil lease or commingling point for commingled operations and to the operator of a processing plant or other facility subject to this section.

  (7) Exceptions are not transferable upon a change of operatorship. Operators shall have 90 days from the date of commission approval of a transfer of operatorship to review existing exceptions to this section and, if continuation of the exception is needed, to make application for a new exception. The existing exception and existing authority shall remain in effect during the 90-day review period. If an operator files an application and fee for a new exception before the 90-day review period expires and the 90-day review period expires before the commission acts on the application, the operator is authorized to continue to operate under the existing authority pending final commission action on the application.

  (8) One application for exception to the requirements of this section may be filed for multiple releases from gas wells, commission-designated oil leases, gas gathering systems, gas compressors or other gas handling facilities when the release of gas is the result of a full or partial shut-down of a gas gathering system, gas plant, gas compressor or other gas handling facility under subsection (f)(1)(C) or (g)(1). Each well, lease or facility must be clearly identified by the applicant and a single fee paid under §3.78(b)(5) of this title (relating to Fees and Financial Security Requirements).

(i) Renewal and Amendment of Exceptions.

  (1) The commission or the commission's delegate may renew an exception authorized by this section. An administrative renewal by the commission's delegate may not exceed a period of 180 days.

  (2) A renewal shall be based upon a showing by the operator of a well, lease, or other facility subject to this section, that the conditions for which the initial exception or latest renewal was granted have not significantly changed despite a good-faith attempt by the operator to direct the gas to or utilize the gas for purposes and uses authorized by law.

  (3) An operator shall file an application and fee for renewal of an exception with the commission 21 days prior to expiration of the existing exception authority. The request for renewal shall be accompanied by the fee required by §3.78(b)(5) of this title (relating to Fees and Financial Security Requirements).

  (4) If an operator files an application, accompanied by the required fee, for renewal of an existing exception to the requirements of this section at least 21 days before the expiration of the existing exception and the existing authority expires before the commission acts on the application, the operator is authorized to continue to operate under the existing authority pending final commission action on the application.

  (5) The request by an operator to amend an existing exception will require a new application for exception if the amendment will result in a material change of the previously granted exception.

  (6) Material changes include, but are not limited to, the following:

    (A) Change of operator of the well or facility subject to this section; and

    (B) An increase in volume of gas to be released or an extension of the duration of an exception greater than that provided for in subsection (h) of this section.

(j) Opportunity for hearing.

  (1) An operator may request a hearing on any application for an exception or exception renewal required by this section.

  (2) An operator may request a hearing on any request for administrative approval of an exception or exception renewal that has been denied by the commission or the commission's delegate.


Source Note: The provisions of this §3.32 adopted to be effective December 4, 1996, 21 TexReg 11367; amended to be effective July 10, 2000, 25 TexReg 6487; amended to be effective September 1, 2004, 29 TexReg 8271

Previous Page

Link to Texas Secretary of State Home Page | link to Texas Register home page | link to Texas Administrative Code home page | link to Open Meetings home page