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TITLE 16ECONOMIC REGULATION
PART 1RAILROAD COMMISSION OF TEXAS
CHAPTER 3OIL AND GAS DIVISION
RULE §3.46Fluid Injection into Productive Reservoirs

  (1) Except as otherwise provided in this subsection, the applicant shall review the data of public record for wells that penetrate the proposed disposal zone within a 1/4 mile radius of the proposed disposal well to determine if all abandoned wells have been plugged in a manner that will prevent the movement of fluids from the disposal zone into freshwater strata. The applicant shall identify in the application any wells which appear from such review of public records to be unplugged or improperly plugged and any other unplugged or improperly plugged wells of which the applicant has actual knowledge.

  (2) The commission or its delegate may grant a variance from the area-of-review requirements of paragraph (1) of this subsection upon proof that the variance will not result in a material increase in the risk of fluid movement into freshwater strata or to the surface. Such a variance may be granted for an area defined both vertically and laterally (such as a field) or for an individual well. An application for an areal variance need not be filed in conjunction with an individual permit application or application for permit amendment. Factors that may be considered by the commission or its delegate in granting a variance include:

    (A) the area affected by pressure increases resulting from injection operations;

    (B) the presence of local geological conditions that preclude movement of fluid that could endanger freshwater strata or the surface; or

    (C) other compelling evidence that the variance will not result in a material increase in the risk of fluid movement into freshwater strata or to the surface.

  (3) Persons applying for a variance from the area-of-review requirements of paragraph (1) of this subsection on the basis of factors set out in paragraph (2)(B) or (C) of this subsection for an individual well shall provide notice of the application to those persons given notice under the provisions of subsection (c)(1) of this section. The provisions of subsection (c) of this section shall apply in the case of an application for a variance from the area-of-review requirements for an individual well.

  (4) Notice of an application for an areal variance from the area-of-review requirements under paragraph (1) of this subsection shall be given on or before the date the application is filed with the commission:

    (A) by publication once in a newspaper having general circulation in each county, or portion thereof, where the variance would apply. Such notice shall be in a form approved by the commission or its delegate prior to publication and must be at least three inches by five inches in size. The notice shall state that protests to the application may be filed with the commission during the 15-day period following the date of publication. The notice shall appear in a section of the newspaper containing state or local news items;

    (B) by mailing or delivering a copy of the application, along with a statement that any protest to the application should be filed with the commission within 15 days of the date the application is filed with the commission, to the following:

      (i) the manager of each underground water conservation district in which the variance would apply, if any;

      (ii) the city clerk or other appropriate official of each incorporated city in which the variance would apply, if any;

      (iii) the county clerk of each county in which the variance would apply; and

      (iv) any other person or persons that the commission or its delegate determines should receive notice of the application.

  (5) If a protest to an application for an areal variance is made to the commission by an affected person, local government, underground water conservation district, or other state agency within 15 days of receipt of the application or of publication, whichever is later, or if the commission's delegate determines that a hearing on the application is in the public interest, then a hearing will be held on the application after the commission provides notice of the hearing to all local governments, underground water conservation districts, state agencies, or other persons, who express an interest, in writing, in the application. If no protest from an affected person is received by the commission, the commission's delegate may administratively approve the application. If the application is denied administratively, the person(s) filing the application shall have a right to hearing upon request. After hearing, the examiner shall recommend a final action by the commission.

  (6) An areal variance granted under the provisions of this subsection may be modified, terminated, or suspended by the commission after notice and opportunity for hearing is provided to each person shown on commission records to operate an oil or gas lease in the area in which the proposed modification, termination, or suspension would apply. If a hearing on a proposal to modify, terminate, or suspend an areal variance is held, any applications filed subsequent to the date notice of hearing is given must include the area-of-review information required under paragraph (1) of this subsection pending issuance of a final order.

(f) Casing. Injection wells shall be cased and the casing cemented in compliance with §3.13 of this title (relating to Casing, Cementing, Drilling, and Completion Requirements) in such a manner that the injected fluids will not endanger oil, gas, or geothermal resources and will not endanger freshwater formations not productive of oil, gas, or geothermal resources.

(g) Special equipment.

  (1) Tubing and packer. Wells drilled or converted for injection shall be equipped with tubing set on a mechanical packer. Packers shall be set no higher than 200 feet below the known top of cement behind the long string casing but in no case higher than 150 feet below the base of usable quality water. For purposes of this section, the term "tubing" refers to a string of pipe through which injection may occur and which is neither wholly nor partially cemented in place. A string of pipe that is wholly or partially cemented in place is considered casing for purposes of this section.

  (2) Pressure valve. The wellhead shall be equipped with a pressure observation valve on the tubing and for each annulus of the well.

  (3) Exceptions. The commission or its delegate may grant an exception to any provision of this paragraph upon proof of good cause. If the commission or its delegate denies an exception, the operator shall have a right to a hearing upon request. After hearing, the examiner shall recommend a final action by the commission.

(h) Well record. Within 30 days after the completion or conversion of an injection well, the operator shall file in duplicate in the district office a complete record of the well on the appropriate form which shows the current completion.

(i) Monitoring and reporting.

  (1) The operator shall monitor the injection pressure and injection rate of each injection well on at least a monthly basis, or on a more frequent basis for a disposal well permitted under this section as required by the commission under conditions described in subsection (b)(1)(D) of this section.

  (2) The results of the monitoring shall be reported annually, or on a more frequent basis for a disposal well permitted under this section as required by the commission under conditions described in subsection (b)(1)(D) of this section, to the commission on the prescribed form.

  (3) All monitoring records shall be retained by the operator for at least five years.

  (4) The operator shall report to the appropriate District Office within 24 hours any significant pressure changes or other monitoring data indicating the presence of leaks in the well.

(j) Testing.

  (1) Purpose. The mechanical integrity of an injection well shall be evaluated by conducting pressure tests to determine whether the well tubing, packer, or casing have sufficient mechanical integrity to meet the performance standards of this rule, or by alternative testing methods under paragraph (5) of this subsection.

  (2) Applicability. Mechanical integrity of each injection well shall be demonstrated in accordance with provisions of paragraphs (4) and (5) of this subsection prior to initial use. In addition, mechanical integrity shall be tested periodically thereafter as described in paragraph (3) of this subsection.

  (3) Frequency.

    (A) Each injection well completed with surface casing set and cemented through the entire interval of protected usable-quality water shall be tested for mechanical integrity at least once every five years.

    (B) In addition to testing required under subparagraph (A), each injection well shall be tested for mechanical integrity after every workover of the well.

    (C) An injection well that is completed without surface casing set and cemented through the entire interval of protected usable-quality ground water shall be tested at the frequency prescribed in the injection permit.

Cont'd...

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