Ohio Administrative Code|Rule 1501:9-1-02 | Permits.

                                                

(A) Application for permit--supplementary
statutory requirements:

(1) The date of
application;

(2) Designation of the
well by name and number;

(3) The plan for disposal
of water and other waste substances resulting from, obtained, or produced in
connection with exploration, drilling, or production of oil or gas. The plan
for disposal of salt water shall include identification of any disposal well or
disposal wells to be used. A statement that one of the named disposal wells on
the application shall be used, is sufficient. Where the applicant finds that
the disposal well to be used is different from that indicated on the permit,
the applicant shall so notify the division immediately in writing. The plan for
disposal may include such other methods as are approved by the chief. Such plan
shall include the name of the person or company disposing of the salt water and
the ultimate location of its disposal. Any change in the plan for disposal
shall be timely submitted to the chief.

(4) An affidavit that the
applicant is the owner as defined in section 1509.01 of the Revised
Code;

(5) A map
showing:

(a) The subject tract of land or drilling unit upon which the
well is to be drilled and property lines with surface and mineral owner name(s)
within;

(b) The location of the proposed well on the subject tract of
land or drilling unit established by a field survey showing the distances in
feet from the proposed well site to the boundary lines of the subject tract or
drilling unit, and to the nearest permanent geographic subdivision
boundaries.

The proposed well location also shall be
designated by plane coordinates as provided by Chapter 157. of the Revised Code
(Ohio coordinate system. Indicate if the coordinates are NAD 27 or NAD 83.)
Coordinates may be established by map scale to the nearest fifty feet or by
GPS;

(c) Location of drilling or producing wells, which are within the
distances required according to depth of drilling as set forth in rule
1501:9-1-04 of the Administrative Code, and a showing of the distances between
such drilling or producing wells and the proposed well;

(d) The location of all buildings, public roads, railroads and
streams within two hundred feet of the proposed well site, and their distances
from the proposed well site;

(e) A title block to the map certifying the above information and
including the applicants name, well name, county, civil township, permanent
geographic subdivisions (section, lot and/or tract) and surface elevation for
the well location, USGS quadrangle name, date map prepared, name of surveyor
preparing the map and phone number, and map scale;

(f) If the proposed well is to be in an urbanized area, the map
shall include the name of the urbanized area in addition to the original civil
township name;

An additional color map (three copies) based
on aerial photography, where available, at a scale of one inch to one hundred
feet or one inch to two hundred feet showing the location of the tank battery,
access road, and gas sales line and a five hundred foot radius around the well
location;

As an overlay on the base aerial map, include
three additional copies of the map including topographic contours (where
available); and

(6) A casing plan and
cementing plan showing how the owner proposes to drill and construct the well
consistent with the best available geologic information in the vicinity of the
proposed wellbore and with the requirements of rule 1501:9-1-08 of the
Administrative Code, including at least the following:

(a) The name and anticipated depth of all zones to be tested or
produced;

(b) The estimated total depth of the wellbore;

(c) The anticipated diameter of each wellbore
segment;

(d) The proposed casing type, outside diameter, and setting depth
for each proposed casing string;

(e) Proposed cement volumes for each casing string;
and

(f) Whether the owner plans to stimulate any permitted
hydrocarbon zone by hydraulic fracturing.

(B) Procedure for review of application
for permit.

(1) All complete
applications shall be date-stamped upon receipt by the division. Within
twenty-one days of filing of the application the chief shall either issue the
permit or notify the applicant of objections to the application.

(a) Notice of objections by the division to the application may
be given in person, by telephone or by mail to the address on the application
at the discretion of the division.

(b) Any record of telephoning or mailing the notice, made in the
normal course of business by the division, shall constitute notice of objection
to the applicant.

(c) Applicants will be given a reasonable opportunity to correct
any objections to the application and to request an informal hearing with the
chief. Except as otherwise required, amendments to applications need not be
separately signed by the applicant.

(d) If an application does not contain required information, the
division shall notify the applicant of the omitted data by mail or telephone.
If the omissions are substantial, the division may return the application by
mail with the omitted items indicated.

(2) When the chief finds
that efforts to cure objections to an application will be unavailing and that
the application is not in accordance with the requirements of Chapter 1509. of
the Revised Code and applicable rules, or that the applicant failed to respond
to objections within thirty days of notice, the chief shall issue an order
denying the application for permit.

(a) The applicant has a right to an informal meeting with the
chief within fifteen days after such order is issued. If, as a result of this
meeting, the chief believes the application meets, or if the application is
amended to meet, the requirements of Chapter 1509. of the Revised Code and
applicable rules, he shall within ten days vacate or modify his order as
appropriate.

(b) The applicant need not exercise his right to an informal
meeting with the chief, but may treat the order issued as final and appealable
pursuant to Chapter 1509. of the Revised Code.

(C) Notification.

Each drilling permit issued in an urbanized area
will be conditioned on the division inspector and or the respective division
regional office receiving direct notification a minimum of forty-eight hours
prior to:

(1) Commencement of site
construction;

(2) Pit construction and
closure;

(3) Spudding of the
well;

(4) Placement of the
surface casing;

A twenty-four-hour (or less) direct
notification may be approved if prior communications have been initiated with
the division inspector and/or respective regional office.

(D) Commencement.

No well site construction shall commence in an
urbanized area until a permit is issued, received by the applicant and is
available on-site unless the chief waives this requirement.

(1) Site construction
shall comply with the division's best management practices (BMPs) for oil
and gas well site construction manual, as defined in rule 1501:9-1-01 of the
Administrative Code. Site clearing and surface affectment shall be
minimized.

(E) For wells permitted after September
15, 2004, in urbanized areas or where there is no reasonable emergency response
access to the wellhead or tank battery at the ingress point to the access road,
an apron of durable material shall be placed. The apron shall be sufficient in
width and length to enable unobstructed access to the access road.

(1) The access road shall
be constructed and maintained in a manner to permit the ingress and egress for
fire and emergency response.

(2) Mud and debris
deposited on public roads from the well site during drilling, production, and
restoration operations shall be immediately removed by the well owner or their
authorized representative.

(3) Where the well
head/tank battery is in excess of one hundred fifty feet from the ingress point
to the access road, the access road to the well head/tank battery shall be
reasonably passable by any equipment expected to access the well head/tank
battery. It is recommended that a durable surface be maintained on the lease
road. The durable surface may include, gravel, crushed stone, crushed concrete,
slag (when approved by the chief), crushed brick, asphalt, or
concrete.

(4) Where the access road
is in excess of one hundred fifty feet in length, turnaround areas shall be
located as practical based on the existing site conditions (topography, land
use, forest cover, and natural drainage - perennial/intermittent streams).
Turnarounds located prior to any natural drainage area not having a constructed
crossing sufficient to handle equipment expected to access the site may be
needed.

(5) All equipment and
vehicles used in the site construction, drilling, production and restoration
shall not be parked on public roads without the approval of the local road
authority.

(F) Water sampling.

The well owner shall sample all water wells
within three hundred feet of the proposed well location in urbanized areas
prior to drilling under the guidelines provided in the division's best
management practices (BMPs) for pre-drilling water sampling manual, as defined
in rule 1501:9-1-01 of the Administrative Code. The chief may require
modification of this distance if determined necessary to protect water supplies
or site conditions may warrant.

(G) Permit not transferable.

A permit issued pursuant to these rules and
regulations shall not be transferable. It may be reissued as a new permit to a
successor owner.

(H) Well deviation.

The maximum point at which a well penetrates the
producing formation shall not vary unreasonably from the vertical drawn from
the center of the hole at the surface, with the exception of approved
directional drilling. Such approval must be in writing from the chief.

(I) Expiration of permit.

Once a permit to drill has been issued pursuant
to this rule, actual drilling of the well authorized by the permit shall be
commenced within twelve months of the date of issuance of such permit or the
permit shall expire; if drilling is commenced but not completed within said
twelve month period, drilling shall be continued with due diligence following
the twelve month period or the permit shall expire.

(J) Revising subject tract or drilling unit.

A subject tract or drilling unit of a well or
proposed well, previously approved by the division, may be revised by the owner
with the filing of a revised map complying with this rule and section 1509.06
of the Revised Code and a non-refundable fifty dollar fee. One fee is required
if revising a subject tract with multiple wells; however, an original revised
map is required for each well within the subject tract.

(K) Revising location.

The location of a proposed well may be changed
only if the owner submits an application, non-refundable two hundred fifty
dollar fee and revised map complying with this rule, section 1509.06 and
section 1509.09 of the Revised Code.

(L) Post drilling map.

The post drilling map required by conditions of
the permit must be accompanied by a non-refundable fifty dollar fee.

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