§ 23-0501 — Well permits

New York § 23-0501

• Jurisdiction: New York
• Law ENV: Environmental Conservation
• Title 5: Well Permits and Well Spacing In Oil and Natural Gas Pools and Fields
• Art. 23: Mineral Resources

Text

§ 23-0501. Well permits.\n 1. a. This section shall not apply to (1) wells drilled, deepened,\nplugged back or converted in oil fields or pools which were discovered,\ndeveloped and operated prior to January first, nineteen hundred\neighty-one, and (2) wells drilled, deepened, plugged back or converted\nin natural gas fields or pools which were discovered, developed and\noperated prior to January first, nineteen hundred ninety-five and which\nare not being extended.\n b. As used in titles five, seven and nine of this article, unless the\ncontext otherwise requires:\n (1) "Statewide spacing" means spacing units for gas or oil wells that\nare within ten percent of the following sizes, as applicable, unless\nanother percentage is specifically stated:\n (i) For Medina gas pools at any depth, 40 acres with the wellbore\nwithin the target formation no less than 460 feet from any unit\nboundary, plus, if applicable, the number of additional acres necessary\nand sufficient to ensure that any horizontal wellbore within the target\nformation is not less than 460 feet from any unit boundary;\n (ii) For Onondaga reef or Oriskany gas pools at any depth, 160 acres\nwith the wellbore within the target formation no less than 660 feet from\nany unit boundary, plus, if applicable, the number of additional acres\nnecessary and sufficient to ensure that any horizontal wellbore within\nthe target formation is not less than 660 feet from any unit boundary;\n (iii) For fault-bounded Trenton and/or Black River hydrothermal\ndolomite gas pools where the majority of the pool is between 4,000 and\n8,000 feet deep, 320 acres with the proposed productive section of the\nwellbore within the target formation no less than one-half mile from any\nother well in another unit in the same pool and no less than 1,000 feet\nfrom any unit boundary that is not defined by a field-bounding fault but\nin no event less than 660 feet from any unit boundary;\n (iv) For fault-bounded Trenton and/or Black River hydrothermal\ndolomite gas pools where the majority of the pool is below 8,000 feet,\nwithin five percent of 640 acres with the proposed productive section of\nthe wellbore within the target formation no less than one mile from any\nother well in another unit in the same pool and no less than 1,500 feet\nfrom any unit boundary that is not defined by a field-bounding fault but\nin no event less than 660 feet from any unit boundary;\n (v) For shale gas pools at any depth, for a vertical well outside any\nexisting spacing unit for the same formation, 40 acres with the wellbore\nwithin the target formation no less than 460 feet from any unit\nboundary;\n (vi) For shale gas pools at any depth, for a horizontal well outside\nany existing spacing unit for the same formation and with a written\ncommitment from the well operator to drill infill wells pursuant to\nsubdivision 4 of section 23-0503 of this title, with all horizontal\ninfill wells in the unit to be drilled from a common well pad within\nthree years of the date the first well in the unit commences drilling,\nnotwithstanding the ten percent tolerance specified in this\nsubparagraph, up to 640 acres with the initial horizontal wellbore or\nwellbores within the target formation approximately centered in the\nspacing unit and no wellbore in the target formation less than 330 feet\nfrom any unit boundary;\n (vii) For shale gas pools at any depth, for a horizontal well outside\nany existing spacing unit for the same formation and in the absence of a\nwritten commitment from the well operator to drill infill wells pursuant\nto subdivision 4 of section 23-0503 of this title, 40 acres with the\nwellbore within the target formation no less than 330 feet from any unit\nboundary plus the number of additional acres necessary and sufficient to\nensure that the wellbore within the target formation is not less than\n330 feet from any unit boundary;\n (viii) For all other gas pools where the majority of the pool is above\nthe depth of 4,000 feet, 80 acres with the wellbore within the target\nformation no less than 460 feet from any unit boundary, plus, if\napplicable, the number of additional acres necessary and sufficient to\nensure that any horizontal wellbore within the target formation is not\nless than 460 feet from any unit boundary;\n (ix) For all other gas pools where the majority of the pool is 4,000\nto 6,000 feet deep, 160 acres with the wellbore within the target\nformation no less than 660 feet from any unit boundary, plus, if\napplicable, the number of additional acres necessary and sufficient to\nensure that any horizontal wellbore within the target formation is not\nless than 660 feet from any unit boundary;\n (x) For all other gas pools where the majority of the pool is 6,000 to\n8,000 feet deep, 320 acres with the wellbore within the target formation\nno less than 1,000 feet from any unit boundary, plus, if applicable, the\nnumber of additional acres necessary and sufficient to ensure that any\nhorizontal wellbore within the target formation is not less than 1,000\nfeet from any unit boundary;\n (xi) For all other gas pools where the majority of the pool is below\n8,000 feet, within five percent of 640 acres with the wellbore within\nthe target formation no less than 1,500 feet from any unit boundary,\nplus, if applicable, the number of additional acres necessary and\nsufficient to ensure that any horizontal wellbore within the target\nformation is not less than 1,500 feet from any unit boundary;\n (xii) For oil pools in the Bass Island, Trenton, Black River, Onondaga\nreef or other oil-bearing reefs at any depth, 40 acres with the wellbore\nwithin the target formation no less than 460 feet from any unit\nboundary, plus, if applicable, the number of additional acres necessary\nand sufficient to ensure that any horizontal wellbore within the target\nformation is not less than 460 feet from any unit boundary; and\n (xiii) For all other oil pools at any depth, the wellbore within the\ntarget formation shall be no less than 165 feet from any lease boundary.\n Wells completed under a well permit issued pursuant to clause (xii) or\n(xiii) of this subparagraph that do not produce oil may not commence\nproduction of natural gas prior to modification of the spacing unit\npursuant to applicable provisions of this title.\n (2) "Well operator" means the applicant for a permit to drill, deepen,\nplug back or convert a well subject to this title and titles 7 and 9 of\nthis article, or the actual operator of the well if the well is not\noperated by the original applicant.\n (3) "Permit" or "well permit" means a permit to drill, deepen, plug\nback or convert a well for production of oil or gas.\n 2. Every person who applies for a permit to drill an oil or gas well\nor deepen or plug back a well to a different pool after the effective\ndate of this section, notwithstanding prior orders, shall control\nthrough fee ownership, voluntary agreement, or integration pursuant to\nsection 23-0701 or 23-0901 of this article no less than sixty percent of\nthe acreage within the proposed spacing unit for such well and shall\nprovide the department with:\n a. A map in a format specified by the department depicting the\nproposed spacing unit for the well, the surface and bottom hole\nlocations of the well, the location of the wellbore in the target\nformation, the location of any field-bounding faults within the proposed\nspacing unit, the acreage of the proposed spacing unit, and the\nboundaries of each tract wholly or partially within the proposed spacing\nunit as may be evidenced by tax identification numbers; and\n b. A demonstration that the applicant controls the oil or gas rights,\nas applicable, in the target formation to be penetrated by the wellbore,\nprovided that, if the applicant does not control such oil or gas rights,\nthe department shall issue a permit that is conditional upon the\napplicant completing the integration process required by section 23-0901\nof this article before the applicant can exercise the right to drill,\ndeepen, plug back or convert under the permit.\n 3. (a) No permits shall be issued authorizing an applicant to drill,\ndeepen, plug back, or convert wells that use high-volume hydraulic\nfracturing or carbon dioxide to complete or recomplete natural gas or\noil resources. For purposes of this section, high-volume hydraulic\nfracturing shall be defined as the stimulation of a well using three\nhundred thousand or more gallons of water as the base fluid for\nhydraulic fracturing for all stages in a well completion, regardless of\nwhether the well is vertical or directional, including horizontal.\n (b) There shall be a moratorium on the department taking actions on\napplications filed after the effective date of the chapter of the laws\nof 2020 which added this subdivision to drill, deepen, plug back, or\nconvert wells that use gelled propane hydraulic fracturing to complete\nor recomplete natural gas or oil resources until the department\ncompletes an analysis of the potential impacts of gelled propane\nfracturing and makes the analysis publicly available. The scope of the\ndepartment's analysis shall reflect the potential for development of oil\nand gas wells using gelled propane hydraulic fracturing and shall\ndisclose the potential adverse impacts to the environment. For purposes\nof this section, gelled propane hydraulic fracturing shall be defined as\nthe stimulation of a well using gelled propane or liquefied petroleum\ngas as the base fluid for hydraulic fracturing for all stages in a well\ncompletion, regardless of whether the well is vertical or directional,\nincluding horizontal.\n 4. In furtherance of the policy objectives of this article, the\ndepartment shall take all actions required by it under this title and\ntitles 7 and 9 of this article as expeditiously as possible.\n