1 | 1 | | 81R31024 E |
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2 | 2 | | By: Crownover H.B. No. 2356 |
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3 | 3 | | Substitute the following for H.B. No. 2356: |
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4 | 4 | | By: Crabb C.S.H.B. No. 2356 |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to the filing with the state of well logs by operators of |
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10 | 10 | | oil-related or gas-related wells; providing a penalty. |
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11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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12 | 12 | | SECTION 1. The heading to Subchapter M, Chapter 91, Natural |
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13 | 13 | | Resources Code, is amended to read as follows: |
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14 | 14 | | SUBCHAPTER M. WELL [ELECTRIC] LOGS |
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15 | 15 | | SECTION 2. Sections 91.551(a)(1) and (2), Natural Resources |
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16 | 16 | | Code, are amended to read as follows: |
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17 | 17 | | (1) "Well" means a well drilled for any purpose |
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18 | 18 | | related to exploration for or production or storage of oil or gas or |
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19 | 19 | | both oil and gas, including a well drilled for injection of fluids |
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20 | 20 | | to enhance hydrocarbon recovery, disposal of produced fluids, |
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21 | 21 | | disposal of waste from exploration or production activity, or brine |
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22 | 22 | | mining. The term includes a well that is completed as a dry hole. |
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23 | 23 | | (2) "Well [Electric] log" means a wireline-conveyed or |
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24 | 24 | | drill pipe-conveyed survey recorded in an open borehole using |
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25 | 25 | | electric or radioactive technologies for the purpose of obtaining |
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26 | 26 | | geological or geophysical information or other information |
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27 | 27 | | regarding the properties of a reservoir or of the rocks penetrated |
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28 | 28 | | by the well. The term includes and is limited to a: |
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29 | 29 | | (A) spontaneous potential log; |
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30 | 30 | | (B) induction log; |
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31 | 31 | | (C) borehole compensated sonic log; |
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32 | 32 | | (D) dual lateral log; |
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33 | 33 | | (E) density log; |
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34 | 34 | | (F) gamma ray log; or |
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35 | 35 | | (G) compensated neutron log [wireline survey, |
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36 | 36 | | except dipmeter surveys and seismic wireline surveys, run in an |
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37 | 37 | | open hole or a cased hole of a well for purposes of obtaining |
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38 | 38 | | geological information]. |
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39 | 39 | | SECTION 3. Section 91.552, Natural Resources Code, is |
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40 | 40 | | amended to read as follows: |
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41 | 41 | | Sec. 91.552. WELL [ELECTRIC] LOGS REQUIRED TO BE FILED; |
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42 | 42 | | CRITERIA. (a) Except as otherwise provided by this subchapter, not |
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43 | 43 | | later than the 90th day after the date a drilling operation is |
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44 | 44 | | completed, the operator shall file with the commission a copy of |
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45 | 45 | | each well log, including each borehole section of the log at all |
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46 | 46 | | depths, [a basic electric log] run after September 1, 2009 |
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47 | 47 | | [September 1, 1985], in conjunction with the drilling or deepening |
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48 | 48 | | of the well that meets basic criteria established by the |
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49 | 49 | | commission. |
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50 | 50 | | (b) The commission by rule shall establish criteria for well |
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51 | 51 | | [basic electric] logs to be filed with the commission. |
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52 | 52 | | (c) Not later than the deadline prescribed by Subsection (a) |
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53 | 53 | | for the filing of each well log, an operator shall file with the |
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54 | 54 | | commission a copy of a cased hole log run after September 1, 2009, |
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55 | 55 | | in conjunction with the drilling or deepening of a well in lieu of a |
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56 | 56 | | well log run after that date if: |
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57 | 57 | | (1) a cased hole log was run; and |
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58 | 58 | | (2) a well log was not run. |
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59 | 59 | | (d) Nothing in this subchapter requires an operator to run a |
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60 | 60 | | well log in conjunction with the drilling or deepening of a well. |
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61 | 61 | | SECTION 4. Section 91.553, Natural Resources Code, is |
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62 | 62 | | amended to read as follows: |
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63 | 63 | | Sec. 91.553. AVAILABILITY OF WELL [ELECTRIC] LOGS. (a) |
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64 | 64 | | Except as specifically provided by this section, each well |
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65 | 65 | | [electric] log filed with the commission under this subchapter is |
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66 | 66 | | not confidential and is public information under Chapter 552, |
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67 | 67 | | Government Code. |
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68 | 68 | | (b) Not later than the date by which a well [an electric] log |
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69 | 69 | | is required to be filed with the commission under Section 91.552, |
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70 | 70 | | the operator may file a written request with the commission asking |
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71 | 71 | | that the well [electric] log remain confidential and not be made |
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72 | 72 | | available as public information. On filing this request, the well |
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73 | 73 | | [electric] log or copy of the well [electric] log required to be |
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74 | 74 | | filed with the commission may be retained by the operator, and the |
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75 | 75 | | well [electric] log may remain in the possession of the operator for |
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76 | 76 | | the period of confidentiality and any extensions of that period. On |
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77 | 77 | | filing of the request for confidentiality, the well [electric] log |
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78 | 78 | | becomes confidential and remains confidential for a period of one |
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79 | 79 | | year after the date that the drilling operation was completed. |
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80 | 80 | | (c) If a well [an electric] log is made confidential under |
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81 | 81 | | Subsection (b), the operator is entitled to have the period of |
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82 | 82 | | confidentiality extended once for an additional period of two |
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83 | 83 | | years. The commission shall grant the two-year extension on |
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84 | 84 | | written request of the operator. The written request must be made |
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85 | 85 | | to the commission before the one-year period of confidentiality |
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86 | 86 | | under Subsection (b) expires. |
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87 | 87 | | (d) If a well [an electric] log is made confidential under |
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88 | 88 | | Subsection (b) and the log was run in a well drilled on land |
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89 | 89 | | submerged in state water, the operator is entitled to have the |
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90 | 90 | | period of confidentiality extended for not more than two additional |
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91 | 91 | | periods of two years each. The commission shall grant the |
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92 | 92 | | extension or extensions on written request of the operator. The |
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93 | 93 | | written request must be made to the commission before the |
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94 | 94 | | expiration of the one-year period of confidentiality under |
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95 | 95 | | Subsection (b) or the expiration of the first extension granted |
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96 | 96 | | under this subsection. |
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97 | 97 | | (e) An operator required to file a well [an electric] log |
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98 | 98 | | under this section who has held the log during a period of |
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99 | 99 | | confidentiality or any extensions of that period shall file the log |
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100 | 100 | | with the commission within 30 days after the conclusion of the |
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101 | 101 | | period of confidentiality or the period of the last extension. |
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102 | 102 | | (f) An operator who fails to timely file with the commission |
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103 | 103 | | a written request under Subsection (b) that a well [an electric] log |
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104 | 104 | | remain confidential and not be made available as public information |
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105 | 105 | | or a written request under Subsection (c) or (d) for an extension of |
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106 | 106 | | the period of confidentiality shall file the log with the |
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107 | 107 | | commission immediately after the conclusion of the period for |
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108 | 108 | | filing the request. |
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109 | 109 | | SECTION 5. Section 91.554, Natural Resources Code, is |
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110 | 110 | | amended to read as follows: |
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111 | 111 | | Sec. 91.554. AVAILABILITY OF CONFIDENTIAL WELL [ELECTRIC] |
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112 | 112 | | LOGS. If the commission requires a well [an electric] log to be |
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113 | 113 | | filed before the expiration of a period of confidentiality, the |
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114 | 114 | | commission shall make that well [electric] log available for |
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115 | 115 | | inspection during the period of confidentiality only to: |
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116 | 116 | | (1) a person authorized in writing by the operator; |
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117 | 117 | | and |
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118 | 118 | | (2) members of the commission and its employees in the |
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119 | 119 | | exercise of their powers and duties under this code. |
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120 | 120 | | SECTION 6. Section 91.555, Natural Resources Code, is |
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121 | 121 | | amended to read as follows: |
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122 | 122 | | Sec. 91.555. MANAGEMENT AND STORAGE OF WELL [ELECTRIC] |
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123 | 123 | | LOGS. The commission may contract with any person for the |
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124 | 124 | | management and storage of the well [electric] logs filed with the |
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125 | 125 | | commission. |
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126 | 126 | | SECTION 7. Section 91.556, Natural Resources Code, is |
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127 | 127 | | amended to read as follows: |
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128 | 128 | | Sec. 91.556. ENFORCEMENT [DENIAL OF ALLOWABLE]. If an |
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129 | 129 | | operator fails to file a well [an electric] log as required by this |
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130 | 130 | | subchapter, the commission may: |
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131 | 131 | | (1) if the well is completed as a producing well, |
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132 | 132 | | refuse to assign an allowable or a change in allowable for |
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133 | 133 | | production from the well [for which the electric log is required] |
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134 | 134 | | until the operator files the well [electric] log with the |
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135 | 135 | | commission; or |
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136 | 136 | | (2) impose an administrative penalty on the operator |
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137 | 137 | | in the manner provided by Sections 81.0531-81.0534 in an amount not |
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138 | 138 | | to exceed $5,000 for each well for which the operator failed to file |
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139 | 139 | | a well log. |
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140 | 140 | | SECTION 8. Section 552.113(a), Government Code, is amended |
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141 | 141 | | to read as follows: |
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142 | 142 | | (a) Information is excepted from the requirements of |
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143 | 143 | | Section 552.021 if it is: |
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144 | 144 | | (1) a well [an electric] log confidential under |
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145 | 145 | | Subchapter M, Chapter 91, Natural Resources Code; |
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146 | 146 | | (2) geological or geophysical information or data, |
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147 | 147 | | including maps concerning wells, except information filed in |
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148 | 148 | | connection with an application or proceeding before an agency; or |
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149 | 149 | | (3) confidential under Subsections (c) through (f). |
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150 | 150 | | SECTION 9. Section 552.113(c)(2), Government Code, is |
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151 | 151 | | amended to read as follows: |
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152 | 152 | | (2) "Well ["Basic electric] logs" has the same meaning |
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153 | 153 | | as it has in Chapter 91, Natural Resources Code. |
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154 | 154 | | SECTION 10. Sections 552.113(d), (e), and (f), Government |
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155 | 155 | | Code, are amended to read as follows: |
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156 | 156 | | (d) Confidential material, except well [basic electric] |
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157 | 157 | | logs, filed in the General Land Office on or after September 1, |
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158 | 158 | | 1985, is public information and is available to the public under |
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159 | 159 | | Section 552.021 on and after the later of: |
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160 | 160 | | (1) five years from the filing date of the |
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161 | 161 | | confidential material; or |
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162 | 162 | | (2) one year from the expiration, termination, or |
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163 | 163 | | forfeiture of the lease in connection with which the confidential |
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164 | 164 | | material was filed. |
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165 | 165 | | (e) Well [Basic electric] logs filed in the General Land |
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166 | 166 | | Office on or after September 1, 1985, are either public information |
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167 | 167 | | or confidential material to the same extent and for the same periods |
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168 | 168 | | provided for the same logs by Chapter 91, Natural Resources Code. A |
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169 | 169 | | person may request that a well [basic electric] log that has been |
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170 | 170 | | filed in the General Land Office be made confidential by filing with |
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171 | 171 | | the land office a copy of the written request for confidentiality |
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172 | 172 | | made to the Railroad Commission of Texas for the same log. |
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173 | 173 | | (f) The following are public information: |
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174 | 174 | | (1) well [basic electric] logs filed in the General |
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175 | 175 | | Land Office before September 1, 1985; and |
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176 | 176 | | (2) confidential material, except well [basic |
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177 | 177 | | electric] logs, filed in the General Land Office before September |
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178 | 178 | | 1, 1985, provided, that Subsection (d) governs the disclosure of |
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179 | 179 | | that confidential material filed in connection with a lease that is |
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180 | 180 | | a valid and subsisting lease on September 1, 1995. |
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181 | 181 | | SECTION 11. The House Committee on Energy Resources shall |
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182 | 182 | | study methods to increase compliance with Subchapter M, Chapter 91, |
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183 | 183 | | Natural Resources Code, as amended by this Act, and submit to the |
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184 | 184 | | 82nd Legislature a report of its findings not later than January 1, |
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185 | 185 | | 2011. |
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186 | 186 | | SECTION 12. The changes in law made by this Act apply only |
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187 | 187 | | to a drilling operation that is completed on or after the effective |
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188 | 188 | | date of this Act. A drilling operation that is completed before the |
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189 | 189 | | effective date of this Act is subject to the law in effect on the |
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190 | 190 | | date of completion, and that law is continued in effect for that |
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191 | 191 | | purpose. |
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192 | 192 | | SECTION 13. This Act takes effect September 1, 2009. |
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