OFFICE OF CONSERVATION FREQUENTLY ASKED QUESTIONS

 
Drilling/Wells/Mineral Rights

 

Orphaned Wells

 

Pipelines

  

Injection and Mining 
Groundwater

 


 

Drilling/Wells/Mineral Rights

 

What might happen if an exploration company is interested in leasing the mineral rights on my property? 

Typically, a landman offers a per-acre amount to lease the mineral rights and a percentage of royalties from any production that is realized.

 

What are surface rights?

The term "surface rights" refers to the rights of use and enjoyment of property above ground, such as residential, agricultural, or commercial purposes.

 

What are mineral rights? 

The term "mineral rights" generally refers to the right to explore and develop property for the production of oil, gas, and other minerals occurring naturally in liquid or gaseous form and to reduce them to possession and ownership. Ownership of land does not include ownership of such minerals, but the landowner or owner of a mineral servitude has the exclusive right to explore and develop the property for the production of minerals."

 

How do I know if I own the mineral rights on my property? 

Owning land does not automatically mean you own the mineral rights to property. A search of your deed or property title at your parish clerk of court's office can tell you whether you own your mineral rights. If your current deed does not specifically discuss minerals, you may need to contact a professional in title research. In Louisiana, mineral rights can only be reserved (held by the seller of surface property) for ten years, either from the date of sale or from the date of the last exploration activity or production of minerals from the land. If there is no mineral development on the property in that time period, the mineral rights then automatically transfer to the buyer.

 

What is the unitization of wells? 

Unitization of oil and gas reservoirs in the state is a critical activity achieved by state oversight of the industry’s proposed drilling units – basically a box drawn at the surface that indicates which mineral rights holders would be impacted by a well’s production. It is important to mineral rights owners because of the economic gain once a well is produced. At the request of an applicant or operator, an oil or gas unit is established for sand, zone, shale or formation. Unitization allows maximal recovery of the resource, prevents drilling unnecessary wells, and protects the rights of the mineral owners

 

What is forced pooling?

The size of development well units is set by the Office of Conservation’s determination of the area likely drained by a proposed well. All mineral ownership within that drilling unit is initially shared in the production of a single well located within that unit on a surface-acre basis. This means that your square is ‘pooled' with others in the unit. Forced pooling means that if the majority of the land in a unit is leased, the operator may move forward with production, even if some other mineral rights holders have not signed leases. The unleased rights holders will receive royalties equaling 100 percent of their share of the total unit once their share of the cost of drilling and completion has been paid with production.

 

Where do I go to find information about my property and my land rights?

The Clerk of Court in your parish is the office to go to find legally recorded documents such as mineral leases, contracts, deeds and mortgages. Landowners with questions may also want to consult with an attorney for help with ownership issues.

 

Do state government regulations help protect property and protect the environment as they relate to drilling operations in the state?

Yes, Louisiana laws have both property and environmental protections under rules within the Office of Conservation. The Louisiana Administrative Code, Title 43 and the Office of Conservations' Statewide Order 29-B explain the regulations governing the state's natural resources.

 

If my property is located near producing wells, is there retrievable oil or gas below my property?

Not always – while past and current production in an area means that there is the chance there are productive zones under a piece of property, not all parts of the formation will necessarily produce.

 

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Orphaned Wells

 

What is the Oilfield Site Restoration Program?

The Louisiana Oilfield Site Restoration (OSR) Program was created in 1993 within the Department of Energy and Natural Resources to address the growing problem of unrestored orphaned oilfield sites across the State. The specific focus of the Program is to properly plug and abandon orphan wells and restore the sites to approximate pre-wellsite conditions suitable for redevelopment.

  

How is the program funded?

Revenue for the Oilfield Site Restoration (OSR) Program is generated from a fee on oil and gas production in the State of Louisiana which is paid quarterly by Louisiana oil and gas operators. No general fund tax dollars are used.

 

How is a site orphaned?

The term "orphaned" refers to the current status of a particular site and indicates that the operator of the record is no longer a viable responsible party. Following a specific notification procedure, sites are declared officially orphaned after being published in the State Register on the twentieth of each month.

 

Where can I obtain a list of orphan wells?

A list of all orphaned wells in the state can be obtained by accessing the Oilfield Site Restoration (OSR) Program homepage and selecting the first link, "Orphan Wellsite List."

 

Does the state assume ownership of orphaned wells and wellsites?

No, the State does not assume ownership of orphaned wells and wellsites. Ownership of property can be determined through research of courthouse records. The operator of record remains the responsible party for an orphan site by statute. The orphaning of a site means that the operator of record is either unresponsive or financially unable to address or maintain the site. Orphan status does not relieve liability nor does it affect ownership.

 

Are private landowners responsible for the site restoration of orphan wellsites located on their property?

The owner of the property on which an orphaned site is located is not responsible for site restoration unless the land owner is also a responsible party as defined by LSA RS 30:82 (9):

"Responsible party means the operator of record according to the Office of Conservation records, who last operated the property on which the oilfield site is located at the time the site is about to be abandoned, ceases operation, or becomes an unusable oilfield site, and that operator's partners and working interest owners of that oilfield site. A working interest owner is the owner of a mineral right who is under an obligation to share in the costs of drilling or producing a well on the oilfield site."

  

Can private landowners or developers restore orphan wellsites located on their property?

A landowner or developer may elect to restore an orphaned website at their own expense without becoming the operator of record by entering into a Cooperative Agreement with the Office of Conservation. The Oilfield Site Restoration (OSR) Program will not reimburse incurred costs and must be indemnified against claims arising from the work. Landowners or developers must still obtain work permits from the District Office or the Injection and Mining Division for any well work. 

 

Can I evaluate or test an orphan well prior to becoming an operator of record of an orphan well?

Yes, an operator may test or evaluate an orphan well without becoming the operator of record by entering into a Cooperative Agreement with the Office of Conservation. The Oilfield Site Restoration (OSR) Program will not reimburse incurred costs and must be indemnified against claims arising from the work. Operators must also obtain all necessary work permits; secure all surface access and/or mineral rights necessary for the proposed scope of work; agree to share any information obtained from the well; and leave the well in the same or better condition after completing work. 

 

Can a previous operator plug and abandon an orphan well?

Yes, any operator may plug and abandon an orphan well without becoming the operator of record by entering into a Cooperative Agreement with the Office of Conservation. The Oilfield Site Restoration (OSR) Program will not reimburse incurred costs and must be indemnified against claims arising from the work. Operators must also obtain all necessary work permits and secure all surface access rights needed for the work. 

 

How can I become the operator of record of an orphan well?

Submit FORM MD 10-R-A-1 (single well) or FORM MD 10-R-AO (multiple wells), an Affidavit of Lease, along with any applicable financial security that may be required. The Office of Conservation has a 'take one, take all' policy regarding the operatorship acquisition of orphan wellsites. If an operator is seeking to become operator of record of a particular orphan well on a lease, they must become the operator of record for every orphaned well located on that lease.

 

Does the OSR Program use contractors?

Yes, the Program has a list of Approved Oilfield Site Restoration (OSR) Contractors that are eligible to participate in the bidding process for site restoration projects. The OSR Program does not own nor maintain any oilfield equipment - all projects are bid out. To obtain the list of approved contractors, visit the OSR homepage and select the second link, "Approved Contractors."

 

How are OSR projects awarded?

Projects are awarded through a competitive sealed bid process stipulated within the rules of the State Bid Law and Title 30. When an orphan wellsite is slated to be restored by the Program, a scope of work is developed (referred to as a 'bid proposal') and sent to approved Oilfield Site Restoration (OSR) Program contractors. Sealed bids that are received from contractors are then opened at a designated time and place and are evaluated by Program staff to ensure that submittals meet all of the technical requirements of the bid proposal. The bid is then awarded to the lowest qualified bidder.

  

How do I become eligible to bid on OSR projects?

New contractors should complete the Oilfield Site Restoration (OSR) Program New Contractor Application, and then log in to the OSR Contractor Program to upload the application.

Applications are reviewed by OSR staff for completeness and then presented by staff at the next quarterly OSR Commission meeting for approval. Contractors are eligible to bid on projects once approved by the OSR Commission. Contact OSR staff for dates of upcoming quarterly meetings.

Only those contractors on the list of contractors approved by the OSR Commission as of the first public notice of a bid solicitation are eligible to participate in the bid solicitation process. (Reference: Louisiana Oilfield Site Restoration Law, R.S. 30:80 et seq., ACT 404 of 1993). Pre-registration and completion of a Mandatory site visit are typically required to be eligible to submit a bid.

 

How many orphan wellsites does the Oilfield Site Restoration (OSR) Program address in a year?

Since its inception, the program has restored an average of 125 sites per year.

 

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Pipelines

 

Which pipelines does DENR’s Pipeline Safety Office regulate?

Pipeline Safety is responsible for inspecting and regulating intrastate natural gas gathering, transmission, and distribution lines and intrastate hazardous liquid lines. For questions about production/flowlines, please see the Engineering Division page. Interstate lines within the state of Louisiana are regulated by PHMSA.

 

How do I find out who operates a particular pipeline?

The National Pipeline Mapping System is a public map viewer. You can search pipelines by state and parish. You can retrieve information on the pipeline by clicking on the “i” with a blue circle around it (identify) and then clicking on the pipeline you would like information on.

DENR also has a map that you can view information on pipeline operators in the coastal zone. You can activate pipelines by checking the “Coastal Permits Lines” under the Coastal Management section. You can retrieve information by clicking on the “i” with a blue circle around it, clicking on the line you would like information on, and then clicking on the Coastal Use Permit Number.

Click here for a list of pipeline operators in your area.

 

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Injection and Mining 

 

If I want to appoint someone else as the point of contact for my organization, what can I do?

Change the contact listed for IMD in your OR1 account. We will always address official correspondence and permits to that person.

 

How do I submit an injection well permit?

You should mail in the appropriate form associated with the type of work you wish to perform. Each form will include a list of attachments that should be submitted as a single submission.

 

What forms require an original ink signature?

All forms require an original signature with the exception of the UIC-17 work permit application. Documents with original signatures should be mailed in or submitted to the electronic submittal portal. A link to the IMD forms page can be found here.

 

How do I access the online submittal portal?

The following link will provide step-by-step instructions for gaining access to the portal and how to submit various documents: [Insert Link]

 

What is the fee schedule for IMD applications and testing?

 

Form

Description Fee

UIC-1

Application for Class I Commercial Well

$1,264

 

Each Additional Well

$631

UIC-1

Application for Class I Non-Commercial Well $252 

UIC-2 COM

Application for Class II Commercial Well   $631
 

Each Additional Well

 $314

UIC-2 SWD

 SWD NEW WELL  $252
UIC-2 EOR

EOR

$252

UIC-2 MASIP

MASIP Increase Request  $300

UIC-2 SWD

 SWD Conversion (Total Charge is $378=$252+$126)  $378

UIC-2 HSW

Application for Class II Hydrocarbon Storage Well  $252 

UIC-3 BR

 Application for Class III Solution Mining Well  $252

UIC-9 

Annular Saltwater Disposal $252

UIC-13

Community Saltwater Disposal System Initial Notification 

 $125

UIC-14

Subsurface Disposal of Reserve Pit Fluids   $252

UIC-17

Application for Work Permit   $125

UIC-25

Application for Class V Well 

 $252

UIC-25R

 

 Class V Remediation Area Permit Application $250

UIC-25S

 

 Class V Subsidence Control Area Permit Application  $250
   Request for Variance to Class V Well Permitting/Class V Waiver Request  $250
 

UIC-30

Work Permit to Plug & Abandon Utilized for NORM disposal 

 $500

UIC-32

 Application for Change of Zone  $126

UIC-42R

 Work Resume Report for Class V Remediation Well  $252
 UIC-42S  Work Resume Report for Class V Subsidence Well  $252
 

Witnessed Verification of Mechanical Integrity Tests (MIT)

 $250
   Extension Requests  $126
   MD-10-R-A-1, MD-10-R-AO  e.g. change operator, well name, etc.  $126
  Application for Surface Mining Permit  $2,212 
  Application for Surface Mining Exploration Permit $65
   Application for Surface Mining Development Operations Permit  $ 94
   Application for Public Hearing  $755

           

Can I perform work on my well without a work permit?

All work performed on injection wells must be approved by the Injection and Mining Division prior to the start of operations. Approval must be obtained by submitting a UIC-17 with a description of work. The only exception to this rule is acid washing and coil tubing work done without unsetting the packer.

 

How long does it take to obtain a permit?

The timing for work permits will vary depending on the Class type and responsiveness of the applicant. In general, the wait time for a permit is as follows:

           

Class Type Form

Estimated Timeline

Class I

 UIC-1

??

Class II

UIC-2

2-5 months

Class III

 UIC-3  ??

Class V

 UIC-25  4-8 months?

Class VI

 UIC-60 Project Dependent 

 

What is the general review process for injection well permit to constructs?

Once an application is submitted, the entire package will undergo a geology review followed by a separate engineering review. During the engineering review, an Area of Review (AOR) will be done to evaluate offset wells within a certain distance of the wellbore. After both reviews, an NOD will be sent to the operator with any deficiencies identified. Once all deficiencies have been addressed, a permit to construct will be issued.

 

How long do permits last before they expire?

Work permits typically last for 3 months before they expire. Some permits can expire sooner depending on compliance issues with the well. All permits to construct/recomplete expire 1 year from the date of issuance.

 

How do I apply for a permit extension?

Work permits can typically be given an extension by email to the person who issued the permit. All other permits will only be granted an extension after a signed request letter is received by the IMD office. Any extension requiring a letter will also include a fee of $126 for each year the extension is granted. In either case, the request must be made prior to the expiration date on the permit, or you will have to apply for a new permit.

 

When can I begin injection again after a workover?

Injection after a workover on an existing injection well can begin after a passing MIPT is witnessed by an IMD Conservation Enforcement Agent. For a conversion or new drill, you must submit a form UIC-WH1 and receive approval to injection from the IMD office before commencing injection.

 

What is expedited permit review for applications?

Expedited permitting is an optional fund you may pay into which allows review staff to bill time worked outside their normal working hours, such as weekends and nights. Expediting an application does not affect your place in the queue during normal hours of operation. Any money left in the fund after the application review is completed can be returned to you or left in the account for the next application you submit.

 

How do I apply for expedited permitting?

In order to apply for an expedited permit, you will need to submit a signed form IMD-1. The request will then be reviewed and you will be invoiced for funds to be added to your account. Applications from all well classes are eligible for expedited permitting. The minimum funding varies by well class.

 

What form should I be filling out at the end of a workover?

If the work you have just completed is a plug and abandonment then you should submit the form UIC-P&A. All work done for Class V stratigraphic test wells will need to be filled out on the form UIC-42. Any other work that was performed should be reported on the form UIC-WH1.

 

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Groundwater

 

Where can I find a licensed water well driller?

Click here to find a list of licensed water well drillers.

 

When should I submit a Water Well Notification?

A Water Well Notification must be completed and submitted to LDENR at least 60 calendar days before installing any non-exempt wells or holes. (LAC 43:VI.1 701.B)

 

What is the deadline for registering a newly installed well?

After completing a well or hole, a Water Well Registration Form must be submitted to LDENR within 30 calendar days. (LAC 56:I 105.A)

 

What is required when plugging and abandoning a well?

A Water Well Plugging and Abandonment Form must be completed and submitted to LDENR within 30 calendar days after plugging operations are completed. (LAC 56:I 515.A)

 

Do I need to notify LDENR if ownership of a well changes?

Yes, a Water Well Transfer Document must be completed and submitted to LDENR whenever the ownership of a well changes.

 

How can I access information on registered water wells?

Registered water well data is publicly available in LDENR’s Strategic Online Natural Resource Information System (SONRIS).

 

Where can I get information about water well testing?

For water well testing inquiries, please contact the Office of Public Health.

 

How do I access LDENR records for water wells?

The Strategic Online Natural Resource Information System (SONRIS) provides online access to various LDENR records, including information for registered water wells within the state of Louisiana.

 

Why is water well registration required?

Registration ensures that water wells are properly constructed and helps collect, catalog, and store drilling data while gathering important information about Louisiana’s water resources. (LAC 56:I.103.A)

 

Who is responsible for registering a newly drilled well?

According to LAC 56:I.105.A, the contractor who drills or constructs a well or hole on or after November 1, 1985, must register it by submitting a completed Water Well Registration Form within 30 calendar days after completion.

 

Are older water wells registered?

Not necessarily. Older water wells may not have been registered under current regulations.

 

What should I do if I own or drill an unregistered well?

Water well drillers and well owners should work with LDENR’s Ground Water Resources Program to register any unregistered wells.

 

What types of water wells are required to be registered?

Per LAC 56:I.105.A., registrations are required for all water wells, regardless of yield or use, including, but not limited to:

  1. Public Supply
  2. Domestic
  3. Irrigation/Agriculture
  4. Power generation
  5. Rig supply
  6. Observation
  7. Dewatering
  8. Monitoring
  9. Heat pump supply wells
  10. Test holes
  11. Abandoned pilot holes
  12. Heat pump holes

 

What wells and holes are exempt from registration?

Per LAC 56:I.105.B, wells and holes exempt from the registration requirements include:

  • Wells producing saline water in connection with oil or gas production
  • Driven wells or wells dug by use of hand auger
  • Geotechnical boreholes

 

How do I register a water well?

To register a water well, the drilling contractor shall complete and submit all items on the Water Well Registration Long Form (DENR-GW-1) or the Short Form (DENR-GW-1S) within 30-days of well completion.

Click here to find the latest version of the Water Well Registration Forms, and all other forms regarding water wells, can be obtained from LDENR’s website.

 

What forms should I use to register a water well?

The Water Well Registration Long Form (DENR-GW-1) shall be used to register:

  1. Community public supply wells
  2. Noncommunity public supply wells
  3. Industrial wells
  4. Irrigation/agricultural wells
  5. Power generation wells
  6. Observation wells
  7. Dewatering wells
  8. Test holes

The Water Well Registration Short Form (DENR-GW-1S) shall be used to register:

  1. Domestic wells
  2. Rig-supply wells
  3. Monitoring wells
  4. Heat pump supply wells
  5. Heat pump holes (closed loop system)
  6. Abandoned pilot holes

 

How do I transfer well ownership?

If a well changes ownership, the ownership transfer must be made through a legal document. The former and previous owners shall complete and submit a Water Well Transfer Document to LDENR for review and processing.

 

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