NOTICE OF SUBSTANTIVE CHANGE
TYPE OF FILING: Amendment
1. Agency Information
Natural Resources; Oil, Gas and Mining; Oil and Gas
Department of Natural Resources
1594 W North Temple, Suite 1210
2. Contact Persons
Please address questions regarding information on this notice to the persons listed above.
3. General Information
A. Rule or section catchline:
R649-8. Reporting and Report Forms
B. Purpose of the new rule or reason for the change:
The Division of Oil, Gas and Mining (Division) is updating their bond requirements for Oil and Gas wells, including the forms needed and used.
C. Summary of the new rule or change:
This rule filing introduces two new forms, Form 0 Registration Form and Form 16 Operator Change Form.
5. Fiscal Information
Provide an estimate and written explanation of the aggregate anticipated cost or savings to:
There is a total of one state agency, the Division, that will be associated with this proposed rule change.
There will be no fiscal impact to the agency as these changes are purely administrative.
No local government fiscal impact is anticipated since this rule only impacts oil and gas operators, the Division, and the Board.
C. Small businesses ("small business" means a business employing 1-49 persons):
There are 303 small business oil and gas operators (for a complete listing of NAICS codes used in this analysis, please contact the agency) in the state of Utah.
There will be no fiscal impact to small businesses as these changes are purely administrative.
D. Non-small businesses ("non-small business" means a business employing 50 or more persons):
There are a total of 4 non-small business oil and gas operators (for a complete listing of NAICS codes used in this analysis, please contact the agency) in the state of Utah.
There will be no fiscal impact to non-small businesses as these changes are purely administrative.
E. Persons other than small businesses, non-small businesses, state, or local government entities ("person" means any individual, partnership, corporation, association, governmental entity, or public or private organization of any character other than an agency):
This rule change will not affect persons other than small businesses, businesses, or local governments as this rule only applies to small and non-small business operators and the Division.
F. Compliance costs for affected persons:
There will be no fiscal impact to the agency as these changes are purely administrative.
6. Regulatory Impact Summary TableEnter the cost or savings in the relevant cell. If there is no cost or savings, enter, "$0." If a cost or savings is inestimable, enter, "inestimable."
7. Regulatory Impact Analysis Approval
The Commissioner of the Department of Natural Resources, Joel Ferry, has reviewed and approved this regulatory impact analysis.
8. Family Impact Information
A. The agency has considered this rule's impact on family health, stability, and formation:
9. Citation Information
Provide citations to the statutory authority for the rule. If there is also a federal requirement for the rule, provide a citation to that requirement:
11. Public Notice Information
The public may submit written or oral comments to the agency identified in box 1.
A. Comments will be accepted until:
12. Effective Date Information
This rule change MAY become effective on:
(NOTE: This is the date the agency anticipates making the filing effective. It is NOT the effective date)
13. Agency Authorization Information
Agency head or
designee and title:
R649. Natural Resources; Oil, Gas and Mining; Oil and Gas.
R649-8. Reporting and Report Forms.
R649-8-1. General Report Forms.
(1)[.] The forms in this section[listed below], as modified by the [D]division from time to time shall be used for the purpose indicated in accordance with the instructions and the applicable rule. Form 0 Registration Form Section R649-8-2 Form 1 Application for Permit to Conduct Seismic Exploration Section R649-8-3[2] Form 2 Seismic Exploration Completion Report Section R649-8-4[3] Form 3 Application for Permit to Drill, Deepen, or Plug Back (APD) Section R649-8-5[4] Form 4 Bond Section R649-8-6[5] Form 5 Designation of Agent or Operator Section R649-8-7[6] Form 6 Entity Action Form Section R649-8-8[7] Form 7 Report of Water Encountered During Drilling Section R649-8-9[8] Form 8 Well Completion or Recompletion Report and Log Section R649-8-10[9] Form 9 Sundry Notices and Reports on Wells Section R649-8-11[0] Form 10 Monthly Oil and Gas Production Report Section R649-8-12[1] Form 11 Monthly Oil and Gas Disposition Report Section R649-8-13[2] Form 12 Report of Transferred Oil Section R649-8-14[3] (a)[1.1.] A notice of intention to do work on a well located on lands with state, fee or privately owned minerals or to change plans previously approved shall be submitted in duplicate and must be received and approved by the division before the work is commenced.(b)[1.2.] The operator is responsible for receipt of the notice by the division in ample time for proper consideration and action. In cases of emergency the operator may obtain verbal approval to begin[commence] work. (c)[1.3.] Within five days after receiving verbal approval, the operator shall submit a Sundry Notice describing the work and acknowledging the verbal approval. (2)[.] In addition to the types of work listed on the form, a Sundry Notice is required for the following: (a)[2.1.] Monthly status report for each drilling well in accordance with Section R649-3-6. (b)[2.2.] Application for permit to complete a well into more than one pool in accordance with Section R649-3-22. (c)[2.3.] Notice of intent to plug and abandon a well in accordance with Section R649-3-24. (d)[2.4.] Notice of intent to pull casing in accordance with Section R649-3-24. (e)[2.5.] Notice of change of operator. The report form should be submitted by both the previous operator and the new operator. R649-8-12[11]. Form 10, Monthly Oil and Gas Production Report. (1)[.] Each operator shall electronically submit Form 10 monthly to properly account for all oil, gas, and water produced from each well. The form may be found on the division's oil and gas website. (2)[.] This form may be submitted in conjunction with Form 11, Monthly Oil and Gas Disposition Report before the fifteenth day of the second calendar month following the month of production. R649-8-13[2]. Form 11, Monthly Oil and Gas Disposition Report. (1)[.] All oil and gas well operators shall complete this form monthly to account for all oil and gas dispositions from each entity. (a)[1.1.] The report should account for the physical dispositions of all oil and gas produced during the report month from each well or group of wells (entity). (b)[1.2.] Only the initial disposition of each product as it leaves the well site or is used at the well site should be reported. (c)[1.3.] Residue gas [and/]or load oil, or both, received from another well, plant, or field should not be shown on this report. (2)[.] This report shall be submitted in conjunction with Form 10, Monthly Oil and Gas Production Report and Form 12, Report of Transferred Oil on or before the fifteenth day of the second calendar month following the month of production. R649-8-14[13]. Form 12, Report of Transferred Oil. (1)[.] This report is to be used only in accounting for oil that is transferred from one entity to another entity or oil that is acquired and used during remedial operations on a well. This includes situations such as the following:
(a)[1.1.] Oil that is produced at one entity or is acquired from another company, is then used as load oil at a "second" entity, and is then recovered and sold;[,] or (b)[1.2.] Oil that is produced and then transferred to a "second" entity for treatment and sale due to mechanical problems at the producing entity. (2)[.] Load oil that is recovered at the "second" entity and non-load oil that is transferred to the "second" entity should be excluded from all reported production, dispositions, and stocks of the "second" entity on Form 11, Monthly Oil and Gas Disposition Report. This allows the reporting of the "second" entity's true production and sales on Form 11, while the remainder of any sales is accounted for on this form. (a)[2.1.] The transported volumes reported on this form plus the transported volume for the "second" entity on Form 11 should equal the total run ticket volume as reported by the trucking or pipeline company serving this entity. (b)[2.2.] This report is to be filed as an attachment to Form 11, Monthly Oil and Gas Disposition Report during the month in which recovered load oil or any other transferred oil (non-load oil) is sold from the "second" entity. R649-8-15[14]. Form 13-A, Monthly Summary Report of Gas Processing Plant Operations. (1)[.] Gas processing plant operators shall complete and submit a monthly report in accordance with Section R649-6-1, to account for the receipt, processing and disposition of all gas by the plant. (2)[.] The report is due on or before the fifteenth day of the second calendar month following the operations month covered by the report. R649-8-16[15]. Form 13-B, Monthly Report of Gas Processing Plant Product Allocations. (1)[.] Gas processing plant operators that are required by contractual arrangements to allocate residue gas and extracted liquids to the individual producing wells must complete and submit this form monthly in accordance with Section R649-6-1. (2)[.] The report is to be filed as an attachment to Form 13-A, Monthly Summary Report of Gas Processing Plant Operations on or before the fifteenth day of the second calendar month following the operations month covered by the report. R649-8-17[16]. Form 14, Monthly Report of Waste Crude Oil Treatment Facility Operations. (1)[.] Each operator of treatment or reclaiming facilities handling tank bottoms, oil from pits or ponds, or any other waste crude oil, shall complete and submit this report monthly in accordance with Section R649-6-2 to account for stocks, receipts, and deliveries of processed and unprocessed waste crude oil. (2)[.] The report is due on or before the fifteenth day of the second calendar month following the operations month covered by the report. R649-8-18[17]. Form 15, Designation of Workover or Recompletion. (1)[.] In accordance with Section R649-3-23, each operator desiring to claim a tax credit for workover or recompletion work performed must submit this report within 180 days after the workover or recompletion work is completed. Upon determination and notification by the division that the described work qualifies for a tax credit under this rule, the operator may claim the tax credit on reports submitted to the Tax Commission during the third quarter after completion of the work. (2)[.] The following workover and recompletion operations qualify for a tax credit: (b)[2.2.] stimulation, acid jobs, frac jobs, solvent treatments, nitrogen cleanouts; (c)[2.3.] sand control;(d)[2.4.] water control or shut-off; (e)[2.5.] wellbore cleanout; (f)[2.6.] casing or liner repair; (g)[2.7.] well deepening; (h)[2.8.] initiation of enhanced recovery, excluding surface equipment and associated costs; (i)[2.9.] change of lift system, excluding surface equipment and associated costs; (j)[2.10.] gas well tubing changes, down-sizing; and (k)[2.11.] thief zone identification and elimination. (3)[.] The following workover and recompletion operations do not qualify for a tax credit: (b)[3.2.] rod string fishing and repair or replacement; (c)[3.3.] tubing repair or replacement; (d)[3.4.] surface equipment installation and repair; and (e)[3.5.] operations generally classified as routine maintenance or repair. (4)[.] Division approval is conditional subject to audit, and actual final expenses may be disallowed if they are not appropriate workover or recompletion expenses. R649-8-19. Form 16, Operator Change Form. (1) The operator of a well shall notify the division of the sale, assignment, transfer, conveyance, exchange, or other disposition of the well by the operator of the well by filing an operator change form with the division. (2) The operator change form shall be filed as soon as reasonably possible, but in no event later than 90 days after the date of the sale, assignment, transfer, exchange, or other disposition of a well becomes final. R649-8-20[18]. UIC Form 1, Application for Injection Well. Before[Prior to] the commencement of operations for injecting any fluid into a well for[ the purpose of] enhanced recovery, disposal, or storage, the operator shall submit an Application for Injection Well and obtain division approval in accordance with Section R649-5-2. R649-8-21[19]. UIC Form 2, Monthly Report of Enhanced Recovery Project. (1)[.] The operator shall submit this report monthly to report the injection pressure, rate, and volume for each enhanced recovery injection well or project. (2)[.] The report is due within 30 days following the end of the month of operations. R649-8-22[20]. UIC Form 3, Monthly Injection Report. (1)[.] The operator shall submit this report monthly to report the daily injection pressure, rate, and volume for each disposal well [and/]or storage well. (2)[.] The report is due within 30 days following the end of the month of operations. R649-8-23[21]. UIC Form 4, Annual Fluid Injection Report. (1)[.] The operator of disposal wells, storage wells, or enhanced recovery projects shall file an annual report with the division using this form. (2)[.] The report is due within 60 days following the end of the year. R649-8-24[22]. UIC Form 5, Transfer of Authority to Inject. (1)[.] The authority to inject for any injection well may[shall] not be transferred from one operator to another without the approval of the division. The transfer of authority to inject for any injection well from one operator to another shall be submitted to the division on this form before[prior to] the date of the proposed transfer. (2)[.] The division shall, within 30 days after receipt of a properly completed form, return a copy of the form to each operator indicating approval or denial of the transfer of authority to inject. If approved, a copy of the order authorizing injection shall be attached to the form returned to the new operator. KEY: oil and gas conservation, reporting
Date of Last Change: 2026[February 24, 2022] Notice of Continuation: June 30, 2025
Authorizing, and Implemented or Interpreted Law: 40-6-1 et seq.
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