§ 14-39-2-11.5 — Permit application for investigatory carbon dioxide wells

Indiana § 14-39-2-11.5

• Jurisdiction: Indiana
• Art. 39: CARBON DIOXIDE
• Ch. 2: Underground Storage of Carbon Dioxide

Text

5. (a) A person may not:
(1) drill, deepen, or operate a nonproduction well drilled to
investigate and obtain data on geological, structural, or
hydrogeological stratigraphic intervals for the suitability of
underground formations for carbon sequestration; or
(2) convert a well for oil and gas purposes (as defined by IC 14-8-2-317) for carbon dioxide investigations;
without first obtaining a permit issued by the department under this
section.
(b) A person issued a permit under this section shall do the
following:
(1) Comply with the conditions of the permit to the satisfaction of
the department;
(2) Correct any adverse environmental impact that results from
noncompliance with a permit.
(3) Provide for the proper operation and maintenance of all:
(A) facilities;
(B) treatment systems; and
(C) control and related appurtenances;
that are installed or used by the person to comply with the permit
conditions.
(c) A permit issued under this section does not convey to the holder
a property right or an exclusive privilege.
(d) An application for a permit under subsection (a) must include
the following:
(1) The name, address, telephone number, and electronic mail
address of the applicant.
(2) The signature of the applicant or the applicant's designee. The
applicant must be the operator identified in the permit application.
(3) An identification of the plat of land or lease where the well is
to be located, along with a description of the property boundaries,
lease lines, and storage area tract boundary, including the acreage
within the tract, as applicable.
(4) The location of the proposed well as certified by a
professional surveyor registered under IC 25-21.5.
(5) The surface elevation of the proposed well and the method
used for determining that elevation.
(6) The depth of the proposed well.
(7) Proof of a surface use agreement executed by the applicant
and the surface owner, including an agreement specifying that in
acting as authorized under a permit issued by the department
under this section, the operator does not commit trespass with
respect to the subsurface estate in any case in which the
subsurface estate is separate from the surface estate.
(8) Any other information required by the department that is
necessary to administer this section.
(e) An applicant shall submit the following with an application for
a permit under this section:
(1) For each well included in the application, a cash bond of ten
dollars ($10) for each foot of well depth.
(2) A permit fee of two hundred fifty dollars ($250) payable to the
department.
The department shall deposit all amounts collected under this
subsection in the carbon sequestration project program administrative
fund established by section 10.5 of this chapter.
(f) The department shall incorporate in a permit issued under this
section the terms, conditions, and covenants the department considers
necessary to protect the public interest.
(g) Except as provided in subsection (h), the department shall issue
a permit under this section not later than fifteen (15) days after the
applicant:
(1) demonstrates compliance with all relevant:
(A) provisions of this article; and
(B) rules adopted under this article;
as determined by the department; and
(2) submits a complete permit application under this section to the
department;
unless the fifteen (15) day deadline prescribed by this subsection is
otherwise waived by the applicant.
(h) The department may deny a permit under this section if the
applicant, or an officer, a partner, or a director of the applicant:
(1) either:
(A) is in violation of this article at the time of the application;
or
(B) would be in violation if the permit were issued; or
(2) has previously demonstrated a pattern of willful violations of
this article.
(i) Except as provided in subsection (j), a permit issued by the
department under this section with respect to a particular well remains
in effect until any of the following occurs:
(1) The well is plugged and abandoned.
(2) The well is converted to another type of well.
(3) The permit is revoked by the department under subsection (k).
(j) A permit issued by the department under this section expires one
(1) year after the date of issuance if the drilling of a well for which the
permit has been issued has not commenced within that time.
(k) The department may revoke a permit issued under this section.
(l) Subject to subsection (m), a person holding a permit under this
section shall plug and abandon a well that is no longer in operation
under a permit, unless the well is converted to a carbon dioxide
injection or monitoring well under a UIC Class Vl permit.
(m) A person holding a permit under this section may defer
plugging and abandoning a well while an application is pending to
convert the well into a UIC Class VI permit carbon dioxide injection or
monitoring well, as long as the well is temporarily capped and
maintained in the manner prescribed by the department in the permit.
(n) After a well is plugged and abandoned or transferred, the
applicant who paid the cash bond under subsection (e) may request a
total or partial bond release from the department. The director of the
division of reclamation shall:
(1) release the bond as requested; or
(2) deny the bond release.
(o) A determination by the department under this section is subject
to review and appeal under IC 4-21.5.
(p) The commission may adopt rules under IC 4-22-2 to implement
this section.

Legislative History

As added by P.L.25-2025, SEC.11. Amended by P.L.213-2025, SEC.142.