CCLME.ORG - General rules. Oil and gas conservation committee

State
Washington Regulations
Chapter 344-12 WAC General rules Oil and gas conservation committee

Last Update: 6/29/88

DISPOSITIONS OF SECTIONS FORMERLY CODIFIED IN THIS CHAPTER
344-12-085 Casing requirements. [Rule 15, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. Later promulgation, see WAC 344-12-087.
344-12-090 Blowout prevention. [Rule 16, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. Later promulgation, see WAC 344-12-092.
344-12-100 Well-head fittings. [Rule 18, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW.
344-12-105 Tubing. [Rule 19, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW.
344-12-110 Separators. [Rule 20, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW.
344-12-115 Chokes. [Rule 21, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW.
344-12-120 Agents to have access to all wells and well records, to witness or make well tests, and to measure production from wells. [Rule 22, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. Later promulgation, see WAC 344-12-112.
344-12-130 Procedure for plugging. [Rule 24, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. Later promulgation, see WAC 344-12-131.
344-12-135 Seismic, core, and other exploratory holes to be plugged. [Rule 25, filed 3/23/60.] Repealed by 82-12-052 (Order 3, Resolution No. 7), filed 6/1/82. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW.

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344-12-001
Promulgation.
Pursuant to the power and authority delegated to the oil and gas conservation committee by the Oil and Gas Conservation Act, chapter 78.52 RCW, after due notice the oil and gas conservation committee, hereinafter designated as the committee, does hereby make, adopt, and promulgate the following general rules and regulations deemed by the committee to be reasonably necessary for the proper administration and enforcement of the act.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-001, filed 6/1/82; Promulgation, filed 3/23/60.]

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344-12-010
General.
(1) The following rules and regulations have been adopted by the committee as general rules of statewide application; these may be added to or changed, as required or deemed necessary by the committee, in accordance with RCW 78.52.050.

(2) Special rules, regulations, and orders will be adopted when required or deemed necessary and shall prevail as against general rules, regulations, and orders if in conflict therewith.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-010, filed 6/1/82; Rule 1, filed 3/23/60.]

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344-12-015
Rule making.
Notice of the intent to and the adoption of rules and regulations and their effective date shall be as provided in chapter 34.04 RCW, and RCW 78.52.050. An oral hearing shall be held for proposed rules and regulations.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-015, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-015, filed 6/1/82; Rule 2, filed 3/23/60.]

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344-12-020
Hearings.
(1) Hearings before the committee shall be open to the public. Hearings may be called by the committee, for the purpose of taking action in respect to any matter within its jurisdiction, upon its own motion or upon the petition of any interested party. Petitions for hearings shall be written and verified and may be in the form of a letter, shall be brief and concise, and shall state in general terms the matter upon which action of the committee is desired, the relief sought, and the reasons therefor.

(2) Contested case (adjudicatory) hearings before the committee shall be conducted under the procedures set forth in chapter 344-08 WAC and chapter 34.04 RCW.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-020, filed 6/1/82; Rule 3, filed 3/23/60.]

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344-12-025
Notice of hearings.
(1) In addition to notice as may otherwise be required by law notice of all hearings shall be given by publishing notice thereof not less than twenty days before the date of the hearing in a newspaper of general circulation in the state.

(2) The committee shall maintain a general mailing list and shall place thereon the names and addresses of all persons, firms, corporations, or governmental agencies who make request in writing to be included on such list. Each person, firm, corporation, and governmental agency on such mailing list shall be mailed at the address listed a copy of all rules, regulations, notices, and orders issued by the committee. Except as otherwise provided by law the failure to mail a copy of these to any such person, firm, corporation, or governmental agency shall not affect the validity of any hearing held pursuant to the notice published in accordance with the preceding paragraph or any rule, regulation, or order issued pursuant to such hearing.

(3) Except as otherwise provided by law notices of hearing shall state the time and place of the hearing, whether called by the committee on its own motion or at the request of an interested party, naming the party making the request, and shall state briefly and in general terms the subject matter of the hearing and relief sought.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-025, filed 6/1/82; Rule 4, filed 3/23/60.]

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344-12-030
Hearings — Place of — Continuances — Action on.
(1) Hearings shall be held in Olympia, Washington unless otherwise ordered by the chairman. After notice of hearing is once given, the hearing may be continued to another day and from day to day and place to place by order of the committee.

(2) Except as otherwise provided by law, upon receipt of a proper request or application for hearing, the committee shall, if in its judgment a hearing is warranted and justifiable, promptly call a hearing, and after such hearing and with all convenient speed, and in any event within twenty days after the conclusion of the hearing, shall take action with regard to the subject matter thereof.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-030, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-030, filed 6/1/82; Rule 5, filed 3/23/60.]

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344-12-035
Administrative agent.
The department of natural resources is the designated agent of the committee for the purpose of carrying out the Oil and Gas Conservation Act. It shall be charged with the duty of administering and enforcing this act consistent with the policies adopted by the committee. It shall administer and enforce the policies adopted by the committee together with all rules and orders adopted and delegated by the committee including but not limited to issuing permits, enforcement action, and other activity authorized under this chapter. The department shall designate a state oil and gas supervisor.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-035, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-035, filed 6/1/82; Rule 6, filed 3/23/60.]

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344-12-040
Definitions.
Unless context otherwise requires, the words defined shall have the meaning set forth in RCW 78.52.010 and in the following definitions when found in these rules and regulations, to wit:

(1) "Barrel" means 42 United States gallons of oil at a temperature of 60 degrees Fahrenheit at atmospheric pressure.

(2) "Blowout" means an uncontrolled sudden or violent escape of oil, water, gas, or drilling fluid from a well.

(3) "Blowout preventer" means an effective casinghead control equipped with special gates, rams, and expansion type preventer which can be closed around the drill pipe, or which completely closes the top of the casing when the pipe is withdrawn.

(4) "Bottom-hole pressure" means the pressure in pounds per square inch or bars at the producing interval of an oil or gas well determined by means generally recognized as satisfactory by the oil and gas industry.

(5) "Casing pressure" means the pressure built up between the casing and tubing when the casing and tubing are packed off at the top of the well, or the pressure within the casing.

(6) "Casinghead gas" means any gas or vapor, or both gas and vapor, indigenous to an oil stratum and produced from such stratum with oil.

(7) "Christmas tree" means an assembly of valves and fittings at the head of the casing of a well to control the flow. Also spoken of as "well-head connections."

(8) "Condensate" means the liquid hydrocarbons recovered at the surface that result from condensation due to reduced pressure or temperature of petroleum hydrocarbons existing in a gaseous phase in the reservoir.

(9) "Cubic foot of gas" means the volume of gas contained in one cubic foot of space at a standard pressure base and a standard temperature base. The standard pressure base shall be 14.73 pounds per square inch absolute and the standard temperature base shall be 60 degrees Fahrenheit. Conversions of values to conform with standard conditions shall be made in accordance with Ideal Gas Laws, corrected for deviation from Boyle's Gas Law when the pressure at the point of measurement is in excess of 200 psi gauge.

(10) "Day" means a period of twenty-four consecutive hours from 7:00 a.m. one day to 7:00 a.m. the following day.

(11) "Gas allowable" means the amount of natural gas authorized to be produced by order of the committee.

(12) "Gas lift" means any method of lifting liquid to the surface by injecting gas into the wellbore from which production is obtained.

(13) "Gas-oil ratio" means the relation of the gas in cubic feet to the production of oil in barrels, measured concurrently for a limited period; i.e. the number of cubic feet of gas as produced, divided by the number of barrels of oil as produced.

(14) "Ground waters" means all waters that exist beneath the land surface or beneath the bed of any stream, lake or reservoir, or other body of surface water within the boundaries of this state, whatever may be the geological formation or structure in which such water stands or flows, percolates, or otherwise moves (Regulation of public ground waters, chapter 90.44 RCW).

(15) "Month and calendar month" means the period or interval of time from 7:00 a.m. on the first day of any month of the calendar to 7:00 a.m. of the first day of the next succeeding month of the calendar.

(16) "Offset operator" means the operator, owner, or lessee of land contiguous to or cornering on land involved in oil and gas activities.

(17) "Oil allowable" means the amount of oil authorized to be produced by order of the committee.

(18) "Person" means any natural person, corporation, association, partnership, receiver, trustee, executor, administrator, guardian, fiduciary, or representative of any kind, and any governmental or political subdivision, or any agency thereof including any local state or federal government agency.

(19) "Pressure maintenance" means the introduction of gas or fluid to maintain the pressure of a reservoir.

(20) "Producer" means the owner or operator of a well or wells capable of producing oil or gas, or both.

(21) "Product" has the meaning set forth in RCW 78.52.010(18). It includes but is not limited to refined crude oil, crude tops, topped crude, processed crude petroleum, residue from crude petroleum, cracking stock, uncracked fuel oil, fuel oil, treated crude oil, residuum, gas oil, casinghead gasoline, natural gas gasoline, naptha, distillate, propane, butane, gasoline, kerosene, benzine, wash oil, waste oil, blended gasoline, lubricating oil, blends or mixtures of oil with one or more liquid products or byproducts derived from oil or gas, and blends or mixtures of two or more liquid products or byproducts derived from oil or gas.

(22) "Purchaser" means any person who acquires title to oil or gas by purchase from a producer or other person.

(23) "Reasonable market demand" as to oil, means the amount of oil reasonably needed for current consumption and use, together with a reasonable amount of oil for storage and working stock; and as to gas, the term means the amount of gas of any type reasonably needed to supply the current consumption and use of such type of gas.

(24) "Reservoir pressure" means the static or stabilized pressure in pounds per square inch gauge existing at the face of the formation in one or more oil or gas wells as determined by commonly accepted engineering principles.

(25) "Separator" means an accepted field apparatus used in the industry for separating oil, gas, water, etc., with efficiency as it is produced.

(26) "Shut in pressure" means the surface pressure noted at the well head after the well is completely shut in.

(27) "State" means the state of Washington.

(28) "String" means a continuous length of connected sections of casing, liner, drill pipe, or tubing run into the well, including all attached equipment.

(29) "Surface water" means standing or free flowing fresh water at or above the ground surface, including springs, seeps, intermittent or perennial streams or creeks, rivers, lakes, ponds or wetlands.

(30) "Tender" means a permit or certificate of clearance, approved and issued or registered under the authority of the committee, for the transportation of oil, gas, or products.

(31) "Transporter" means and include any person engaged in the transportation of oil or gas.

(32) "Underground source of drinking water (USDW)" means ground waters which contain fewer than 10,000 mg/L of total dissolved solids or which are obtainable for beneficial uses.

(33) "Waters of the state" means all lakes, rivers, ponds, streams, inland waters, ground waters, salt waters, and all other waters and water courses within the jurisdiction of the state of Washington.

(34) "Well history" or "well record" means the chronological written record of all operations, including formation tests, water shut-off tests, description of water, oil, or gas encountered in drilling a well, chemical composition and quantities of materials used in the drilling or treating of a well, with such additional information as to gas volumes, pressures, rate of fill-up, water depths, caving strata, casing record, etc., as is usually recorded in the normal procedure of drilling.

(35) "Well log" means a systematic, detailed, and correct record of formations encountered in drilling a well, and shall include all electric, radioactivity, and other logs, if run.

(36) "Wetlands" means those areas extending landward for two hundred feet (61 meters) in all directions as measured on a horizontal plane from the ordinary high-water mark; and all marshes, bogs, swamps, floodways, river deltas and floodplains associated with or influenced by any stream, river, lake, or tidal water, or combination thereof.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-040, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-040, filed 6/1/82; Rule 7, filed 3/23/60.]

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344-12-043
Exploratory well locations.
(1) No exploratory well, or any part of the bore, casing, or drill site, shall be located closer than 500 feet (152 meters) to the external boundary of those lands on which the operator and/or their partners hold a contiguous mineral-interest.

(2) Upon written request to the supervisor, the committee may grant exceptions to the exploratory well set back requirements for good cause shown, provided that all owners of oil and gas and surface rights within a 500-foot radius of the well consent in writing to the proposed location.

[Statutory Authority: RCW 78.52.120, 78.52.155, 78.52.040 and 78.52.050. 88-14-026 (Order 11), § 344-12-043, filed 6/29/88.]

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344-12-045
Development units.
As determined by competent geological, geophysical, engineering, or other scientific testimony, data, and evidence, the committee shall fix development units for the pool:

(1) No development unit in pool, deemed by the committee to be an oil reservoir, shall be larger than 160 acres (65 hectares) nor shall the well be located closer than 500 feet (152 meters) to the lease line nor closer than 1,000 feet (305 meters) to the nearest well drilling to or capable of producing from the same pool. The committee shall have the right to waive these limits in accordance with RCW 78.52.210.

(2) No development unit in a pool, deemed by the committee to be a gas reservoir, shall be larger than 640 acres (261 hectares) nor shall the well be located closer than 1,000 feet (305 meters) to the lease line nor closer than 2,000 feet (610 meters) to the nearest well drilling to or capable of producing from the sale pool. The committee shall have the right to waive these limits in accordance with RCW 78.52.210.

(3) If upon application, and after notice and hearing, the committee shall find that a well drilled at the location prescribed by any applicable rule of the committee would not produce in paying quantities or that surface conditions would substantially add to the burden or hazard of such well, the committee may enter an order permitting the well to be drilled at a location on which the applicant prima facie owns an ownership or contractual right to drill, other than that prescribed and shall include in such order suitable provisions to prevent the production from that well of more than its just and equitable share of the oil and gas in the pool. Application for an exception shall set forth the names of the lessees or owners of contiguous or cornering properties and shall be accompanied by a plat or sketch map drawn to the scale of not smaller than one inch equalling 2,000 feet (610 meters) or as otherwise required, accurately showing to scale the property for which the exception is sought and accurately showing to scale all other completed and drilling wells on this property and accurately showing to scale all contiguous or cornering surrounding properties and wells. The application shall be verified by some person acquainted with the facts, stating that all facts therein stated are within the knowledge of the affiant and are true, and that the accompanying plat is accurately drawn to scale and correctly reflects pertinent and required data. Upon the filing of such application, the committee shall give notice of such filing by certified mail to all lessees and owners of lands towards whom the well is being moved, if closer to the proposed well than offset distances set forth in subsections (1) and (2) of this section.

(4) In filing a Form-1 (Application to drill, redrill, or deepen), the surface distance must be shown between the proposed location and other wells within a radius of 1,000 feet (305 meters) for oil tests, and 3,000 feet (914 meters) for gas tests.

(5) When a well completion report, Form-2, has been submitted to the department, and such well is not intended to be plugged or abandoned the department shall determine if a discovery has been made. The department shall forward its determination to the committee. If the department or the committee has determined a discovery has occurred the committee shall hold a hearing pursuant to RCW 78.52.205.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-045, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-045, filed 6/1/82.]

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344-12-050
Application to drill, redrill, or deepen (Form-1).
(1) A person desiring to drill, redrill, or deepen a well in search of oil or gas shall for each such well:

(a) Apply to the supervisor of such intent on Form-1;

(b) Submit a completed environmental checklist;

(c) Provide information on drill site layout, blowout prevention equipment details, mud program, casing and cementing program, and mud pit details;

(d) Designate location and source of water supply;

(e) Indicate topographic features of well site including drainage patterns, and any associated surface waters and wetlands;

(f) Provide a narrative statement describing the proposed measures to be taken for protection of the environment, including, but not limited to, the prevention or control of:

(i) Fires;

(ii) Soil erosion;

(iii) Pollution of surface and ground waters;

(iv) Damage to fish and wildlife or other natural resources;

(v) Air and noise pollution; and

(vi) Hazards to public health and safety;

(g) Provide such other pertinent information or data which the supervisor may require to support the application for the development of oil and gas resources and the protection of the environment including site reclamation procedures;

(h) Designate methods and site for disposal of waste materials and drilling muds that contain heavy metals or are considered hazardous waste;

(i) Notify the surface landowner, the landowners tenant, or other surface users in writing with a copy to the supervisor;

(j) Shall pay a fee, which is not refundable, in the following amounts for each application:

(i) For each well the estimated depth of which is three thousand five hundred feet or less, two hundred fifty dollars;

(ii) From three thousand five hundred one feet to seven thousand feet, five hundred dollars;

(iii) From seven thousand one feet to twelve thousand feet, seven hundred fifty dollars; and

(iv) From twelve thousand one feet and deeper, one thousand dollars.

The fee shall accompany the application and be in cash or check, drawn upon or issued by a Washington state qualified public depository payable to state treasurer, state of Washington. Upon receipt of the application, the fee, and other specified information, the supervisor may issue to such person a permit to drill, after completion of an inspection of the proposed drill site, unless the drilling of the well is contrary to law, or to a rule, regulation, or order of the committee. The drilling of the well is prohibited until a permit to drill is obtained in accordance with the provisions of this section. If the permit is disallowed, the supervisor will immediately notify the person in writing the reasons therefor. The permit will be on such form containing such conditions as the committee may prescribe.

(2) An operator shall be required to obtain a permit to deepen a well. The fee, which is based on the estimated depth of the well as per subsection (1)(j) of this section, is required for the permit to deepen a well previously drilled under permit. No permit is required for workover so long as the well remains completed in the same pool, provided the casing above the fresh-water shut-off depth is not to be disturbed or altered by the redrilling, conditioning, or testing to be performed.

(3) A permit, for which a fee of one hundred dollars is required, shall be obtained for a relatively shallow well or wells (less than 2,000 feet) (610 meters) not drilled in search of oil and gas but solely to obtain subsurface geological data: Provided, That holes drilled for the purpose of obtaining information about or sampling of the offshore beds of ocean waters shall be governed by chapters 344-16 and 173-15 WAC. Applications for a permit for a shallow well or wells shall comply with the provisions of subsection (1) of this section.

(4) Prior to the initiation of any seismic geophysical survey, the supervisor shall be given written notification on Form-1. Notification shall consist of:

(a) Name of the operator;

(b) Name of the geophysical contractor;

(c) Approximate locations including counties in which the survey is to be conducted;

(d) Type of seismic survey;

(e) Number of line miles to be surveyed;

(f) Evidence that a shoreline permit (RCW 90.58.140) has been obtained for proposals within two hundred feet of surface waters; and

(g) A notification fee of one hundred dollars per survey.

(5) A copy of each application received shall be transmitted by the supervisor within ten days to the department of ecology, department of social and health services, and general purpose local governments of the jurisdiction in which the proposed activity would occur or in the case of a city or a town a well proposed within a three mile radius of its municipal boundaries and other affected agencies as deemed necessary by the supervisor.

(6) A person shall not be issued a permit unless that person holds an ownership or contractual right to locate and operate a drilling operation upon the proposed drilling site.

(7) Designated representatives of general purpose local governments are requested to inform the supervisor in writing within ten working days of those local government zoning ordinances, permit requirements, or other factors, if any, which may apply to a well proposed to be drilled, redrilled, or deepened.

[Statutory Authority: RCW 78.52.120, 78.52.155, 78.52.040 and 78.52.050. 88-14-026 (Order 11), § 344-12-050, filed 6/29/88. Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-050, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-050, filed 6/1/82; § 8, Resolution No. 3 (codified as WAC 344-12-050(3)) filed 6/28/63; Rule 8 (codified as WAC 344-12-050 (1), (2), and (4)), filed 3/23/60.]

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344-12-055
Transfer of drilling permit.
Each person who succeeds to the rights under a drilling permit shall, within ten days after the rights are acquired, notify the supervisor in writing thereof. Such transfer shall not become effective until the bond requirements of WAC 344-12-063 have been met.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-055, filed 6/1/82; Rule 9, filed 3/23/60.]

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344-12-060
Bond to be furnished.
(1) The supervisor, except as hereinafter provided, shall require from the owner before a permit for drilling, redrilling, or deepening will be issued a good and sufficient bond in the sum of not less than $50,000.00 for each well payable to the state of Washington, conditioned on compliance with chapter 78.52 RCW, permit conditions, the rules and regulations and orders of the committee. Said bond shall remain in force and effect until the plugging of said well is approved by the supervisor and all laws, permit conditions, rules and regulations and orders have been complied with. It is provided, however, that any owner in lieu of such bond may file with the supervisor a good and sufficient blanket bond in the principal sum of not less than $250,000.00 covering all wells drilling or to be drilled.

(2) Bond or bonds herein required shall be executed by the owner as principal and by a surety company acceptable to the DNR and authorized to do business in the state of Washington as surety. Should the surety on such bond fail or refuse to require compliance with the conditions of the bond to the satisfaction of the supervisor, such surety shall be liable to the state of Washington in such a sum, within the limits of the sum stated on the face of the bond, as will indemnify the state of Washington for the cost of requiring compliance with the conditions of the bond.

(3) In lieu of the bond required by this section the owner may file with the committee a cash deposit, or an assignment of a savings account or of a certificate of deposit in a Washington bank on an assignment form prescribed by the committee, or a bank letter of credit acceptable to the supervisor. In the event a certificate of deposit is provided in lieu of a bond the owner shall guarantee payment of principal in the event penalties are assessed for early redemption of the certificate.

(4) The amount of the bond to be furnished for permits required under WAC 344-12-050(3) shall be $20,000.00.

[Statutory Authority: RCW 78.52.155 (2)(e), 78.52.040 and 78.52.050. 87-17-004 (Order 512), § 344-12-060, filed 8/6/87. Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-060, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-060, filed 6/1/82; Rule 10, filed 3/23/60.]

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344-12-063
Bond termination — Release.
(1) A bond or bonds as required by this chapter shall remain in force and effect until:

(a) The plugging of said well or wells and reclamation of the well site or sites has been completed and has been approved by the supervisor and all requirements of chapter 78.52 RCW, rules and regulations, permit conditions, and orders of the committee have been complied with to the satisfaction of the supervisor; or until

(b) A new bond has been filed by a successor in interest and approved by the supervisor.

(2) Transfer of property does not release the bond. If a transfer of property is made and the principal desires to be released from the bond:

(a) The principal shall notify the supervisor in writing in accordance with this chapter that the well or wells, describing each well by reference to its number and location on a forty-acre tract, section, township, and range, has or have been transferred to a named transferee for the purpose of ownership or operations;

(b) As a part of the same instrument the transferee must accept such transfer, assume all obligations and accept the responsibility of such well or wells under a new bond tendered therewith. When the supervisor has approved the transfer, the transferor may be released from the plugging responsibility of the well or wells and reclamation of the site or sites and other requirements, and if, such well or wells are now covered by the transferee's bond, the transferor's bond may be released by the supervisor.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-063, filed 6/1/82.]

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344-12-064
Operation of seismic surveys.
Drilling and produced fluids from seismic shot holes shall be contained at each site. All fluid flows shall be killed immediately and the department shall be given notification of the location and depth from which the flow occurred. Insofar as is possible, disturbance of the soil shall be minimized. Vehicle traffic over seismic lines and line access routes shall be minimized. Siltation of ground or surface waters is prohibited.

[Statutory Authority: RCW 78.52.120, 78.52.155, 78.52.040 and 78.52.050. 88-14-026 (Order 11), § 344-12-064, filed 6/29/88.]

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344-12-065
Identification of well.
Every person drilling for oil or gas or operating, owning, controlling, or in possession of any well drilled for oil or gas, shall post on the derrick or in a conspicuous place near the well, a sign in reasonably large and clear lettering, showing the name of the person drilling, operating, owning, or controlling the well; the name of the lease; the number of the well; the permit number; and the legal land description of the location by county, section, township, and range. Such sign shall be in place when drilling commences and shall be maintained until such time as the well is abandoned.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-065, filed 6/1/82; Rule 11, filed 3/23/60.]

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344-12-070
Well history or record and well log (Form-2).
(1) During the drilling, redrilling, or deepening of any well, except seismic, that penetrates into the bedrock below the unconsolidated surficial cover, the owner, operator, contractor, driller, or other person responsible for the conduct of the drilling operations shall keep at the well, or at his headquarters in the state, or otherwise conveniently available to the supervisor, a detailed and accurate record of the drilling operations and a log of the strata drilled, reduced to writing from day to day, which shall be accessible to the committee and its agents at all reasonable times. A copy of the well history or record and a copy of the well log shall be furnished to the supervisor upon Form-2, prescribed by the committee, within thirty days after the completion or abandonment of the well. The well history or record shall describe the progress of drilling, the water, oil, or gas encountered, and such additional information as to gas volumes, pressures, rate of fill-up, water depths, caving strata, casing record, shooting, perforating, chemical treatment, general chemical composition, and volumes used of drilling mud, description and results of water-shut-off tests, casing tests, drill-pipe packer tests, and other tests, as are usually recorded in the normal procedure of drilling. The well log shall progressively describe the strata and formations encountered. In the drilling of exploratory wells, a ditch sample shall be collected at ten-foot intervals for the state and furnished to the supervisor within six months after completion of the well as a dry hole or as a producing well. In the drilling of wells within development units, a ditch sample shall be collected as directed by the supervisor and furnished to the supervisor after completion of the well as a dry hole or as a producing well. Any electrical or radioactivity logging or surveying of the well shall also be recorded and a copy furnished the supervisor within six months after completion. A detailed description of lithology shall be furnished to the supervisor within thirty days after completion or abandonment of any exploratory or wildcat well.

(2) All well histories, and records, well logs, ditch samples, results of directional surveys, and other reports submitted under this rule shall be kept confidential by the committee for a period of one year from date of filing if the well is a "wildcat" or "exploratory well" and if the operator so requests. (See RCW 78.52.260.)

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-070, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-070, filed 6/1/82; Rule 12, filed 3/23/60.]

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344-12-075
Deviation tests.
All wells must be drilled with due diligence to maintain a reasonably vertical well bore unless special circumstances require the bore to deviate from the vertical, in which instance permission to so deviate shall be obtained from the supervisor. The committee shall have the right to require the operator to make a directional survey of the hole, at the request of an off-set operator and at the expense of said off-set operator towards whom the well is being drilled prior to the completion of the well; and the committee shall have the right to require the operator to make a directional survey of the hole at any time, and at the expense of the operator, in order to ascertain that the well has not deviated beyond the boundaries of property on which well is located.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-075, filed 6/1/82; Rule 13, filed 3/23/60.]

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344-12-078
Directional drilling.
Before beginning directional drilling, other than sidetracking due to hole conditions, the operator shall file a request for same and obtain approval from the supervisor. Such request shall state name and address of operator, well name and number, drilling permit number, exact surface location of well bore and the proposed direction of deviation, proposed horizontal distance between bottom of the hole and the surface location, reason for directional drilling and a list of direct offset operators towards whom the well is being drilled, if any. Within sixty days after completion of the work an accurate and complete copy of the directional survey shall be filed with the supervisor.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-078, filed 6/1/82.]

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344-12-080
Sealing off strata.
(1) All underground sources of drinking water of present or potential future use for domestic, municipal, commercial, stock, or agricultural purposes shall be confined to their respective strata and shall be adequately protected.

(2) All oil, gas, and underground sources of drinking water above and below the producing horizon shall be sealed or separated in order to prevent their contents from passing into another stratum.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-080, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-080, filed 6/1/82; Rule 14, filed 3/23/60.]

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344-12-087
Well casing — Cementing.
(1) The owner shall case and cement all wells with a sufficient number of strings of casing in a manner necessary to:

(a) Prevent release of fluids from any stratum through the wellbore (directly or indirectly) into any waters of the state;

(b) Prevent commingling between separate hydrocarbon-bearing strata and intermingling between hydrocarbon and underground sources of drinking water, and between separate water-bearing strata;

(c) Prevent contamination of potential fresh water strata, gas, or oil zones;

(d) Support unconsolidated sediments; and

(e) Otherwise provide a means of control of the formation pressures and fluids.

The owner shall install casing of sufficient strength and size to provide optimum well control while drilling and to assure safe operations for the life of the well.

(2) Conductor casing. Conductor casing shall be set before drilling into shallow formations known to contain oil or gas, if unknown, upon encountering such formation.

(3) Surface casing. Surface casing holes shall be logged with an induction electric log, or equivalent, prior to running surface casing.

(4) Cementing of casing. Conductor and surface casing strings shall be cemented with sufficient cement to fill the annular space from the shoe to surface. Production casing shall be cemented in a manner necessary to exclude, isolate, or segregate overlying formation fluids from the oil or gas zone and to prevent the movement of fluids into potential underground source of drinking water.

A temperature or cement bond log may be required by the supervisor if an unsatisfactory cementing job is indicated.

(5) Pressure testing. Prior to drilling out the casing shoe after cementing, all casing strings set to a depth of 500 feet (152 meters) or less except for conductor casing, shall be pressure tested to a minimum pressure of 500 psi (35 bars). Casing strings set to a depth of 500 feet (152 meters) or greater shall be pressure tested to a minimum pressure of 1,000 psi (69 bars) or 0.2 psi/ft (0.045 bars/meter) whichever is greater. Such test shall not exceed the rated working pressure of the casing or the blowout preventer stack assembly, whichever is less.

Unless otherwise provided by specific order of the supervisor for a particular well or wells or for a particular pool or parts thereof, cemented casing string shall stand under pressure until the cement has reached a compressive strength of 300 pounds per square inch (21 bars): Provided, however, That no further operation shall be commenced until the cement has been in place for at least eight hours. The term "under pressure" as used herein shall be complied with if one float valve is used or if pressure is otherwise held.

All casing pressure tests shall be recorded in the driller's log.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-087, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-087, filed 6/1/82. Formerly WAC 344-12-085.]

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344-12-092
Blowout prevention.
Blowout prevention and related control equipment shall be installed and properly maintained ready for use until drilling operations are completed. The blowout prevention stack and related control equipment shall have a working pressure rating higher than the maximum anticipated wellhead surface pressure. Unless otherwise specified, blowout prevention equipment shall have a hydraulic actuating system and accumulator of sufficient capacity to close all of the hydraulically operated equipment and have a minimum pressure of 1,000 psi (69 bars) remaining on the accumulator. Dual control stations shall be installed and one control panel shall be located near the driller's station. Blowout prevention assemblies involving the use of air or other gaseous fluid drilling systems shall also include a rotating head. Exceptions to the requirements of this paragraph will be considered by the supervisor for areas of known surface stability and low subsurface formation pressure.

(1) Conductor or drive casing. A diverter and vent line may be required before drilling below the conductor or drive casing. If a full opening valve is installed in the vent line, it will be hooked up to automatically open when the diverter closes.

(2) Surface, intermediate and production casing. Prior to drilling below any of these strings, blowout prevention equipment shall include a minimum of:

(a) One expansion-type preventer and accumulator or a rotating head;

(b) A remotely controlled hydraulically operated double ram blowout preventer or two single ram type preventers, one equipped with pipe rams and the other equipped with blind rams. If abnormal pressures are anticipated, a third preventer, equipped with pipe rams, will be included;

(c) A drilling spool with two side outlets unless such side outlets are available in the blowout preventer stack;

(d) A fillup line;

(e) A kill line equipped with at least one valve; and

(f) A choke manifold system with suitable valves, chokes and lines. The lines to the pits or mud tanks will be securely anchored.

(3) Testing and maintenance. Ram-type blowout preventers and auxiliary equipment shall be tested to a minimum of 1,000 psi (69 bars) or to the working pressure of the casing or assembly, whichever is the lesser. Expansion-type blowout preventers shall be tested to seventy percent of the above pressure testing requirements.

(a) The blowout prevention equipment shall be pressure tested:

(i) When installed;

(ii) Prior to drilling out plugs and/or casing shoes;

(iii) Not less than once every three weeks; and

(iv) Following repairs that require disconnecting a pressure seal in the assembly.

(b) During drilling operations, blowout prevention equipment shall be actuated to test proper functioning as follows:

(i) Once each trip for blind rams and once each day for pipe rams; and

(ii) At least once each week on the drill pipe for expansion-type preventers.

All flange bolts shall be inspected at least weekly and retightened as necessary during drilling operations. Blowout prevention and auxiliary control equipment shall be cleaned, inspected and repaired, if necessary, prior to installation to assure proper functioning. Blowout prevention controls shall be plainly labeled. A blowout prevention drill shall be conducted weekly for each drilling crew. All blowout prevention tests and crew drills shall be recorded on the driller's log.

(4) Related well control equipment. A full opening drill string safety valve in the open position shall be maintained on the rig floor at all times while drilling operations are being conducted. An upper and lower full-opening kelly cock shall be installed above and below the kelly.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-092, filed 6/1/82. Formerly WAC 344-12-090.]

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344-12-095
Fire hazards.
Any rubbish or debris that might constitute a fire hazard in the operation of the well, tanks, separator, or other equipment shall be removed to a distance of at least 100 feet (30 meters) from the well location, tanks, and separators.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-095, filed 6/1/82; Rule 17, filed 3/23/60.]

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344-12-098
Drilling fluid.
The properties, use, and testing of drilling fluids and the conduct of related drilling procedures shall be such as are necessary to prevent the blowout of any well. Sufficient drilling fluid materials to insure well control shall be maintained in the field area readily accessible for use at all times.

(1) Drilling fluid control. Before pulling drill pipe, the drilling fluid shall be properly conditioned or displaced. The hole shall be kept reasonably full at all times. Proper techniques shall be utilized when necessary to maintain mud characteristics for well control and hole conditioning. The conditions herein shall not apply when drilling with air or aerated fluids.

(2) Drilling fluid testing. Mud testing and treatment consistent with good operating practice shall be performed daily or more frequently as conditions warrant. The following drilling fluid system monitoring or recording devices shall be installed and operated continuously during drilling operations, with mud, occurring below the shoe of the conductor casing:

(a) High-low level mud pit indicator including a visual and audio-warning device, if applicable.

(b) A hydrogen sulfide indicator and alarm shall be installed in areas suspected or known by the supervisor to contain hydrogen sulfide gas which may reach levels considered to be dangerous to the health and safety of personnel in the area.

(c) Degassers shall be required if applicable, and below 7,500 feet (2286 meters) or in areas of known high pressure desilters and desanders if required for solids control.

[Statutory Authority: RCW 78.52.050. 85-03-018 (Order 6, Resolution No. 10), § 344-12-098, filed 1/8/85. Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-098, filed 6/1/82.]

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344-12-102
Well logging.
All wells shall be logged with an induction electric log, radiation log, or equivalent from total depth to the shoe of the conductor casing. The supervisor may grant an exception to this rule in field wells when well conditions make it impractical or impossible to meet this requirement.

[Statutory Authority: RCW 78.52.050 and chapter 78.52 RCW. 82-12-052 (Order 3, Resolution No. 7), § 344-12-102, filed 6/1/82.]

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344-12-107
Removal of casing.
(1) No person shall remove casing or any portionthereof from any well without first obtaining prior written approval from the supervisor. In a request to remove casing, the applicant must describe the condition of the well, the proposed casing to be removed, all casing in the hole, location of existing and proposed cement plugs, and perforations. (continued)