North Carolina Administrative Code

15A NCAC 05H .1312 PERMIT EXPIRATION (a) A permittee shall have 12 months from the date of issuance of the permit to spud an oil or gas well or the permit shall expire. (b) A permittee may request a one time, one-year renewal of the permit. The permittee shall provide an affidavi…

15A NCAC 05H .1313 PERMIT SUSPENSION OR REVOCATION (a) The Department may suspend or revoke a permit if: (1) the permittee fails to meet the conditions specified in the permit; (2) the permittee falsified or otherwise withheld information required in the application; or (3) if th…

15A NCAC 05H .1314 PERMIT RELEASE (a) The permittee may request the Department to release the oil or gas well and all affected areas associated within the well site and return any remaining bond in accordance with Rule .1406 of this Subchapter. (b) The Department shall not approv…

section .1400 – financial assurance 15A NCAC 05H .1401 PURPOSE AND SCOPE Each applicant or permittee for a permit, modification, or transfer of an Oil or Gas Well Permit shall file and maintain in force one or more bonds in favor of the State of North Carolina or surface owner, e…

15A NCAC 05H .1402 BONDING REQUIREMENTS (a) After an application for a permit, modification, or transfer of an Oil or Gas Well Permit is considered complete by the Department, the applicant or permittee shall provide an approved financial assurance instrument listed in Paragraph …

15A NCAC 05H .1403 OIL OR GAS WELL PLUGGING AND ABANDONMENT BOND (a) The applicant or permittee shall submit an oil or gas well plugging and abandonment bond in the amount of five thousand dollars ($5,000) plus one dollar ($1.00) per linear foot of the permitted oil or gas well p…

15A NCAC 05H .1404 DISTURBED LAND BOND (a) The applicant or permittee shall provide to each surface owner a disturbed land bond that is sufficient to cover the cost of completing the requirements of the approved Reclamation Plan in accordance with Rule .2102 of this Subchapter an…

15A NCAC 05H .1405 ENVIRONMENTAL DAMAGE BOND (a) The applicant or permittee shall submit an environmental damage bond in the amount of one million dollars ($1,000,000), unless the Commission sets a higher amount pursuant to G.S. 113-421(a3)(2). (b) The environmental damage bond m…

15A NCAC 05H .1406 Inspection and approval of reclamation FOR bond release or forfeiture (a) The permittee shall proceed with reclamation as scheduled in the approved Reclamation Plan pursuant to Rule .2102 of this Subchapter. (b) The permittee shall notify the Department in writ…

15A NCAC 05H .1407 BOND FORFEITURE PROCEEDINGS (a) If the Department determines there is a violation necessitating bond forfeiture or the revocation of a permit, it shall send the permittee and surety a written notice of violation. Upon receipt of the written notice of violation,…

section .1500 – site infrastructure and construction standards 15A NCAC 05H .1501 PURPOSE AND SCOPE The rules in this Section establish requirements for well site construction standards. History Note: Authority G.S. 113-391(a)(4); 113-391(a)(5)c; Eff. March 17, 2015.

15A NCAC 05H .1502 WELL SITE CONSTRUCTION STANDARDS (a) The applicant or permittee shall submit a Well Site Development Plan to the Department pursuant to Rule .1304(c)(2) of this Subchapter. The Well Site Development Plan shall be signed and sealed by a North Carolina Profession…

15A NCAC 05H .1503 ACCESS ROAD CONSTRUCTION STANDARDS (a) Prior to construction of the access road, the permittee shall post an identification sign pursuant to Rule .1615 of this Subchapter. (b) Access roads shall be located, designed, and constructed to minimize environmental im…

15A NCAC 05H .1504 PIT AND TANK CONSTRUCTION STANDARDS (a) All pits, series of pits, tanks, and tank batteries shall be constructed and maintained to contain all Exploration and Production (E & P) wastes from the drilling, completing, recompleting, producing, servicing, and plugg…

section .1600 – well construction and completion 15A NCAC 05H .1601 SETBACK DISTANCES (a) Each oil or gas well, production facility, tank, tank battery, or pit shall comply with the following setback distances as measured from the center of a wellhead and the edge of the pit, pro…

15A NCAC 05H .1602 Production FACILITY SAFETY SETBACK DISTANCES (a) The closest edge of a pit, tank, or tank battery shall be a minimum of 75 feet from the center of any wellhead. (b) A tank edge shall be a minimum of five feet from another edge. (c) A mechanical separator or com…

15A NCAC 05H .1603 VARIANCE FOR SETBACKS (a) An applicant or permittee may request a variance to reduce the setback distances for an oil or gas wellhead, a tank or tank battery, and a pit from an occupied dwelling required by Rule .1601 of this Section. The variance, if granted, …

15A NCAC 05H .1604 Prohibited sUBSTANCES (a) The Commission incorporates by reference, including subsequent amendments and editions, the "Permitting Guidance for Oil and Gas Hydraulic Fracturing Activities Using Diesel Fuels – Draft: Underground Injection Control Program Guidance…

15A NCAC 05H .1605 CASING AND EQUIPMENT REQUIREMENTS (a) All casing and tubing installed in oil or gas wells shall be steel, steel alloy, or other material that has been manufactured to meet or exceed the American Petroleum Institute (API) standards. All casing and tubing materia…

15A NCAC 05H .1606 CEMENTing STANDARDS (a) All cement pumped into the wellbore shall consist of cement that is manufactured and tested pursuant to API Specification 10A "Specification for Cements and Materials for Well Cementing" or the American Society for Testing and Materials …

15A NCAC 05H .1607 WELL INSTALLATION (a) The Department may establish by permit conditions additional oil or gas well construction standards that provide greater protection of human health, safety, and the environment based on site-specific conditions such as the geology of the a…

15A NCAC 05H .1608 WELL INSTALLATION FOR CONDUCTOR CASING (a) Conductor casing design and setting depth shall be based on the geological conditions at the wellbore location, including the presence or absence of hydrocarbons and potential drilling hazards. (b) Conductor casing sha…

15A NCAC 05H .1609 WELL INSTALLATION FOR SURFACE CASING (a) Surface casing shall be set into competent bedrock to a depth of at least 100 feet below the base of the deepest groundwaters but above any hydrocarbon strata containing fluids or gases that could negatively impact the q…

15A NCAC 05H .1610 WELL INSTALLATION FOR INTERMEDIATE CASING Intermediate casing shall isolate groundwaters that have not been isolated by the surface casing and isolate flow zones, lost circulation zones, or other geologic hazards in accordance with the following: (1) if used to…

15A NCAC 05H .1611 WELL INSTALLATION FOR PRODUCTION CASING (a) Production casing shall be installed and cemented from the bottom to 200 feet above the base of the previous casing string. Notwithstanding the foregoing, a production zone may be completed using a non-cemented produc…

15A NCAC 05H .1612 WELL INSTALLATION VARIANCE The applicant or permittee may request a variance from Rules .1608, .1609, .1610, or .1611 of this Section by submitting a request pursuant to Rule .0301 of this Subchapter. In granting or denying a variance, the Commission shall ensu…

15A NCAC 05H .1613 WELL STIMULATION REQUIREMENTS (a) The applicant or permittee shall indicate on the Form 2 – Oil or Gas Well Permit Application the intent to perform well stimulation operations. If well stimulation was not approved as part of the initial application, the permit…

15A NCAC 05H .1614 WELLHEAD REQUIREMENTS (a) All wellheads intended for production shall be installed and maintained in accordance with API Specification 6A "Specification for Wellhead and Christmas Tree Equipment," which is incorporated by reference, including subsequent amendme…

15A NCAC 05H .1615 WELL site MAINTENANCE AND SECURITY (a) A functioning blowout preventer (BOP) shall be installed and used during maintenance, remediation, and stimulation operations in accordance with Rule .1616 of this Section. (b) The permittee shall perform well servicing, e…

15A NCAC 05H .1616 WELL-CONTROL AND BLOWOUT PREVENTION (a) During drilling, all oil or gas wells shall be equipped with a well-control system that includes a blowout preventer (BOP). The well-control system shall meet the following requirements: (1) be functional at all times and…

15A NCAC 05H .1617 VISUAL IMPACT MITIGATION (a) The permittee shall mitigate visual impacts using visual screening. "Visual Screening" shall include existing natural vegetation, vegetated earthen berms, or tree plantings at staggered spacing to be installed and maintained between…

15A NCAC 05H .1618 REQUIREMENTS FOR PERMANENT CLOSURE OF OIL or GAS WELLS (a) All lost holes, dry holes, and oil or gas wells incapable of production shall be plugged and abandoned. In addition to the requirements detailed within this Rule, all plugging and abandonment activities…

15A NCAC 05H .1619 NOTIFICATION AND REPORTING REQUIREMENTS FOR PERMANENT CLOSURE OF OIL or GAS WELLS (a) The permittee shall complete and submit the intent to plug and abandon portion of Form 14 – Plugging and Abandonment, at least 30 calendar days prior to the commencement of pl…

15A NCAC 05H .1620 REQUIREMENTS FOR SHUTTING-IN OIL or GAS WELLS (a) Oil or gas wells completed according to Rule .1607 of this Section, equipped with a wellhead according to Rule .1614 of this Section, and capable of production may be shut-in in accordance with this Rule. (b) Th…

15A NCAC 05H .1621 REQUIREMENTS FOR TEMPORARY ABANDONMENT OF OIL or GAS WELLS (a) Oil or gas wells that are constructed according to Rule .1607 of this Section, but are not completed after being drilled may be temporarily abandoned in accordance with this Rule. (b) The permittee …

15A NCAC 05H .1622 DEFECTIVE CASING, DEFECTIVE CEMENTING, AND WELL BLOWOUT NOTIFICATIONS (a) The permittee shall commence corrective actions upon discovery of defective casing or cementing and report the defect to the Department within 24 hours of discovery via telephone or email…

15A NCAC 05H .1623 WELL DRILLING REPORT Within 30 calendar days after drilling an oil or gas well, the permittee shall submit Form 12 – Well Drilling Report to the Department that includes the following information: (1) the permittee's name, address, telephone number, fax number,…

15A NCAC 05H .1624 WELL STIMULATION REPORT (a) Within 30 calendar days after the conclusion of stimulation operations on an oil or gas well, the permittee shall submit Form 18 – Well Stimulation Report to the Department that includes the following information: (1) the permittee's…

section .1700 – chemical disclosure 15A NCAC 05H .1701 CHEMICAL DISCLOSURE REQUIREMENTS The rules of this Section set forth the requirements of chemical disclosures for permittees, service companies, and vendors involved in oil or gas exploration and production. This Section deli…

15A NCAC 05H .1702 REQUIRED DISCLOSURES (a) The permittee shall notify the local emergency management office of all hazardous chemicals that may be used for any purpose at the well site no later than 30 calendar days prior to the chemicals entering the well site. This notificatio…

15A NCAC 05H .1703 CONFIDENTIAL INFORMATION PROTECTION (a) If any person asserts any information is entitled to be protected as confidential pursuant to G.S. 113-391.1, the requesting party shall make a showing to the Commission in accordance with Rule .0707 of this Subchapter. (…

section .1800 – environmental testing 15A NCAC 05H .1801 PURPOSE AND SCOPE The rules in this Section establish requirements for the pre-drilling testing of water supplies, the testing of water supplies after production has commenced, and the reporting of data collected. History N…

15A NCAC 05H .1802 WATER SUPPLY TESTING NOTIFICATIONS (a) The permittee shall provide written notice to all surface owners or owners of a water supply, as defined in G.S.113-389, prior to all water supply testing within one-half mile of the proposed wellhead. The permittee shall …

15A NCAC 05H .1803 WATER SUPPLY TESTING PROCEDURES (a) All water supplies located within one-half mile of the proposed wellhead shall be tested prior to initial drilling activities and after production has commenced. All water supplies shall be tested according to the following: …

15A NCAC 05H .1804 REQUEST FOR INVESTIGATION OF WATER SUPPLY (a) Any surface owner or owner of a water supply who suspects contamination as a result of the drilling, alteration, or operation of an oil or gas well may submit Form 21 – Water Supply Investigation Request to the Depa…

15A NCAC 05H .1805 REPORTING OF TEST RESULTS (a) The permittee shall submit Form 22 – Water Supply Testing Report to the Department, in accordance with G.S. 113-423(f) and Rule .0201 of this Subchapter. The permittee shall also send the Form 22 – Water Supply Testing Report to th…

15A NCAC 05H .1806 RECORD KEEPING AND REPORTING (a) The Department shall maintain baseline and subsequent analytical data results required pursuant to this Section. This shall be available to the public through the Department within 30 calendar days of receipt of results. The pub…

15A NCAC 05H .1807 TRACER TECHNOLOGY (a) The Department shall only approve the use of tracer technology for the purposes described in this Rule if the Department determines that the tracer technology can trace well stimulation fluids back to the oil or gas well where the fluid wa…

section .1900 – water acquisition and management 15A NCAC 05H .1901 WATER MANAGEMENT PLAN REQUIREMENTS (a) An applicant or permittee shall submit a Water Management Plan for proposed oil or gas well(s) to be located at the well pad. This plan shall be submitted to the Department …

15A NCAC 05H .1902 surface WATER SOURCE DOCUMENTATION (a) For surface water sources, the applicant or permittee shall consult with the Department to determine and evaluate the limits of the affected reach. The exact delineation of the affected reach shall be determined in consult…