Texas 2025 - 89th Regular

Texas House Bill HB1174 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	By: Hinojosa H.B. No. 1174
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6	6	A BILL TO BE ENTITLED
7	7	AN ACT
8	8	relating to a requirement that an applicant for a permit to drill an
9	9	oil or gas well submit a gas capture plan for the well.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Subchapter F, Chapter 86, Natural Resources
12	12	Code, is amended by adding Section 86.186 to read as follows:
13	13	Sec. 86.186. GAS CAPTURE PLAN. (a) The commission may not
14	14	issue a permit to drill, deepen, plug back, or reenter an oil or gas
15	15	well unless the applicant submits with the application a gas
16	16	capture plan to minimize flaring from the well.
17	17	(b) The gas capture plan must include:
18	18	(1) the volume of gas anticipated to be produced from
19	19	the well annually, measured in thousands of cubic feet;
20	20	(2) the volume of oil anticipated to be produced from
21	21	the well annually, measured in barrels;
22	22	(3) the volume of condensate anticipated to be
23	23	produced from the well annually, measured in barrels;
24	24	(4) a detailed map depicting each existing, planned,
25	25	and anticipated gas gathering system in the general area of the
26	26	well;
27	27	(5) the following information with regard to the gas
28	28	gathering system that the operator of the well has contracted to use
29	29	or, if the operator has not entered into a contract, the gas
30	30	gathering system that is closest to the well:
31	31	(A) the name of the operator of the gas gathering
32	32	system;
33	33	(B) a description of the approximate route of the
34	34	pipeline required to connect the well to the gas gathering system;
35	35	(C) the distance in feet of the pipeline required
36	36	to connect the well to the gas gathering system;
37	37	(D) the volume of gas in thousands of cubic feet
38	38	per day that the gas gathering system is capable of transporting;
39	39	(E) the volume of gas in thousands of cubic feet
40	40	per day that the gas gathering system is currently transporting;
41	41	(F) the volume of gas in thousands of cubic feet
42	42	per day that the gas gathering system is anticipated to be
43	43	transporting on the date of first sale of gas from the well;
44	44	(G) the reliability of the gas gathering system,
45	45	including the average annual downtime of the system; and
46	46	(H) the name and location of the gas processing
47	47	plant that receives or is anticipated to receive gas from the gas
48	48	gathering system;
49	49	(6) any plans for expanding the gas gathering systems
50	50	in the general area of the well;
51	51	(7) any other issues affecting the gathering of gas in
52	52	the general area of the well;
53	53	(8) a plan for connecting the well to a gas gathering
54	54	system, including:
55	55	(A) a description of any potential right-of-way
56	56	issues;
57	57	(B) the schedule for constructing any necessary
58	58	gas gathering facilities;
59	59	(C) the date a gas gathering line will be
60	60	available;
61	61	(D) a statement of whether the gas gathering
62	62	system described by Subdivision (5) has the capacity to accept the
63	63	volume of gas anticipated to be produced from the well at the time
64	64	of application for the permit; and
65	65	(E) a description of any discussions the operator
66	66	of the well has had with other upstream operators regarding the
67	67	construction or availability of a gas gathering line; and
68	68	(9) a description of any options available to the
69	69	operator of the well for the beneficial use of gas from the well if
70	70	the well cannot be connected to a gas gathering system, including:
71	71	(A) on-site use of the gas;
72	72	(B) the processing of liquids in the gas;
73	73	(C) the use of the gas for electric power
74	74	generation;
75	75	(D) the conversion of the gas to liquid fuels;
76	76	(E) the compression of the gas on the lease on
77	77	which the well is located;
78	78	(F) the reinjection of the gas for underground
79	79	storage;
80	80	(G) the reinjection of the gas for temporary
81	81	storage;
82	82	(H) the reinjection of the gas for enhanced oil
83	83	recovery; and
84	84	(I) shutting in the well, taking into account the
85	85	effect of doing so on the reservoir as well as public health,
86	86	safety, and the environment.
87	87	SECTION 2. The change in law made by this Act applies only
88	88	to a permit the application for which is filed with the Railroad
89	89	Commission of Texas on or after the effective date of this Act. A
90	90	permit the application for which is filed before the effective date
91	91	of this Act is subject to the law in effect on the date the
92	92	application is filed, and that law is continued in effect for that
93	93	purpose.
94	94	SECTION 3. This Act takes effect September 1, 2025.