It shall be unlawful and an offense for any person acting either
for himself or acting as agent, employee, independent contractor,
or servant of any other person, to commence to drill, or to operate
any well within the city limits, or to work upon or assist in any
way in the persecution of operation of any such well, without a permit
for the drilling and operation of such well having first been issued
by the authority of the Board of Commissioners of the City of Weatherford
in accordance with the terms of this article.
No wells shall be drilled and no permit shall be issued for
any well to be drilled at any location which is within any of the
streets or alleys of the city; and no street or alley shall be blocked
or incumbered or closed in any drilling or production operation except
by special permit by order of the Board of Commissioners, and then
only temporarily.
No well shall be drilled and no permit shall be issued for any
well to be drilled at any location which is nearer than 300 feet of
any residence or commercial building without the applicant having
first secured the written permission of the owner or owners thereof.
Every application for a permit to drill and operate a well shall
be in writing, signed by the applicant or by some person duly authorized
to sign same on his behalf, and it shall be filed with the City Clerk
and be accompanied with a filing fee of $10,000 in cash. No application
shall request a permit to drill and operate but one well, the application
shall include full information, including the following:
1.
The Board of Commissioners within 20 days after the filing of the application for a permit to drill and operate a well shall determine whether or not said application complies in all respects with the provisions of this article, and if it does, the Board of Commissioners shall then fix the amount of the principal of the bond and insurance provided for in Section 16-8 herein, and after such determination shall issue a permit for the drilling and operation of the well applied for. Each permit issued under this article shall:
a.
By reference have incorporated therein all the provisions of this
article with the same force and effect as if this article were copied
verbatim in said permit;
b.
Specify the well location with particularity to lot number, block
number, name of addition or subdivision, or other available correct
legal description;
c.
Contain and specify that the term of such permit shall be for a period
of one year from the date of the permit and as long thereafter as
the permittee is engaged in drilling operations with no cessation
of such operations for more than 90 days, or oil or gas is produced
in commercial quantities from the well drilled pursuant to such permit
provided that if at any time after discovery of oil or gas the production
thereof in commercial quantities shall cease, the term shall not terminate
if the permittee commences additional reworking operations within
90 days thereafter, and if they result in the production of oil or
gas, so long thereafter as oil or gas is produced in commercial quantities
from said well;
d.
Contain and specify such conditions as are by this article authorized;
e.
Specify the total depth to which the well may be drilled, not exceeding
the projected depth; and
2.
The permit, in duplicate originals, shall be signed by the city Building
Official, and prior to delivery to the permittee (with one original
to be retained by the city and one by the permittee); and when so
signed shall constitute the permittee's drilling and operating
license and the contractual obligation of the permittee to comply
with the terms of such permit, and such bond, and this article.
3.
If the permit for the well be refused, or if the applicant notifies
the Board of Commissioners in writing that he does not elect to accept
the permit as tendered and wishes to withdraw his application, of
if the bond of the applicant be not approved and the applicant notifies
the Board of Commissioners in writing that he wishes to withdraw his
application, then upon the happening of said events the cash deposit
provided for to be filed with the application shall be returned to
the applicant, except that there shall be retained therefrom by the
City of Weatherford $500 as a processing fee.
When a permit shall have been issued, the same shall terminate
and become inoperative without any action on the part of the city
unless within 90 days from the date of issuance actual drilling of
the well shall have commenced. The cessation for a like period of
the drilling operations or the cessation of the production shall have
commenced shall operate to terminate and cancel the permit, and the
well shall be considered as abandoned for all purposes of this article,
and it shall be unlawful thereafter to continue the operation or drilling
of such well without the issuance of another permit.
1.
In the event a permit is issued by the Board of Commissioners under
the terms of this article for the drilling operations shall be commenced
until the permittee shall file with the City Clerk a bond and a certificate
of insurance, as follows:
a.
A bond in the principal sum of such number of dollars as has been
so determined by the Board of Commissioners, but not to be less than
$100,000. Said bond to be executed by a reliable insurance company
authorized to do business in the State of Oklahoma, as surety, and
with applicant as principal, running to the City of Weatherford for
the benefit of the city and all persons concerned, conditioned that
the permittee will comply with the terms and conditions of this article
in the drilling and operation of the well. Said bond shall become
effective on or before the date the same is filed with the City Clerk
and remain in force and effect for at least a period of six months
subsequent to the expiration of the term of the permit issued, and
in addition the bond will be conditioned that the permittee will promptly
pay off fines, penalties and other assessments imposed upon permittee
by reason of his breach of any of the terms, provisions and conditions
of this article, and that the permittee will promptly restore the
streets and sidewalks and other public property of the city, which
may be disturbed or damaged in the operations, to their former condition;
and that the permittee will promptly clear all premises of all litter,
trash, waste, and other substances used, allowed, or occurring in
the drilling or producing operations, and will, after abandonment,
grade, level and restore such property to the same surface condition,
as nearly as possible, as existed when operations for the drilling
of the well or wells were first commenced; and that the permittee
will indemnify and hold the City of Weatherford harmless from any
and all liability growing out of or attributable to the granting of
such permit. If at any time the Board of Commissioners shall deem
any permittee's bond to be insufficient for any reason, it may
require the permittee to file a new bond.
b.
If, after completion of a well permittee has complied with all of
the provisions of this article, such as to removing derrick, clearing
premises, etc., he may apply to the Board of Commissioners to have
said bond reduced to a sum of not less than $10,000 for the remainder
of the time said well produces without reworking. During reworking
operations the amount of the bond shall be increased to the original
amount.
2.
In addition to the bond required in paragraph 1a above of this section,
the permittee shall carry a policy of standard comprehensive public
liability insurance, including contractual liability covering bodily
injuries and property damage, naming the permittee and the City of
Weatherford, in an insurance company authorized to do business within
the State of Oklahoma, said policy or policies in the aggregate shall
provide for the following minimum coverage:
|
Bodily injuries
|
$500,000 per person
|
|
One accident
|
$1,000,000
|
|
Property damage
|
$500,000
|
a.
Permittee shall file with the City Clerk certificates of said insurance
as above stated, and shall obtain the written approval thereof by
the City Administrator, who shall act thereon within 10 days from
the date of such filing.
Said insurance policy or policies shall not be cancelled without
written notice to the City Clerk at least 10 days prior to the effective
date of such cancellation. In the event said insurance policy or policies
are cancelled, the permit granted shall terminate, and permittee's
rights to operate under said permit shall cease until permittee files
additional insurance as provided herein.
b.
If, after completion of a well permittee has complied with all of
the provisions of this article, such as to removing derrick, clearing
premises, etc., he may apply to the Board of Commissioners to have
said insurance policies reduced to the following amounts:
|
Bodily injuries
|
$250,000 per person
|
|
One accident
|
$500,000
|
|
Property damage
|
$250,000
|
These amounts shall be for the remainder of the time
the well produces without reworking. During reworking operations the
amount of the insurance policy or policies shall be increased to the
original amount.
The Board of Commissioners shall appoint an Oil and Gas Inspector,
and his compensation shall be set by the Board of Commissioners; and
the inspector may be removed at the will of the Board of Commissioners.
It shall be the duty of the Oil and Gas Inspector to enforce the provisions
of this article.
It shall be unlawful and an offense for any person to drill
a well within the city limits to a true vertical depth in excess of
15,000 feet; and no drilling and operating permit shall be granted
for any well to a true vertical depth in excess of 15,000 feet.
1.
Once any well has either been completed as a producer or abandoned
as a dry hole, it shall be unlawful and an offense for any person
to drill without the permittee as to such well obtaining a supplemental
permit after filing a supplemental application with the City Clerk
specifying:
a.
The then condition of the well and the casing therein;
b.
The depth to which it is proposed such well be deepened, not to exceed
in any event a total true vertical depth from the surface in excess
of 25,000 feet;
c.
The proposed casing program to be used in connection with proposed
deepening operations;
d.
And evidence of adequate current tests showing that the casing strings
in said well currently pass the same tests as are in this article
provided for in case of the drilling of the original well.
2.
In the event the Board of Commissioners is satisfied that said well
may be deepened with the same degree of safety as existed in the original
well of 15,000 feet, a supplemental permit may be issued with $1,000
per thousand feet additional filing fee to the permittee authorizing
the deepening and operation of the well to such vertical depth as
applied for, not exceeding in any deeper production operations, the
permittee shall comply with all other provisions contained in this
article and applicable to the drilling, completion and operation of
a well or wells.
It shall be unlawful and an offense for any person to use or
operate in connection with the drilling or reworking of any well within
the city limits, any wooden derrick or any steam-powered rig, and
all engines shall be equipped with adequate mufflers approved by the
Oil and Gas Inspector; or to permit any drilling rig or derrick to
remain on the premises or drilling site for a period longer than 60
days after completion or abandonment of the well. At all times from
the start of erection of a derrick, or a mast, or gin-pole, until
the well is abandoned and plugged or completed as a producer and enclosed
with a fence as herein provided, the permittee shall keep a watchman
on duty on the premises at all times; provided, however, it shall
not be necessary to keep an extra watchman on duty on the premises
when other workmen of permittee are on said premises.
1.
Either earthen or steel slush pits shall be permitted in connection
with the drilling operation. In the event a steel pit is used, said
pit and its contents shall be removed from the premises and the drilling
site within 30 days after completion of the well. In the event an
earthen slush pit is used, same shall be filled and leveled within
120 days after completion of the well.
2.
Lining is required for all pits to meet the standards set forth by
the Oklahoma Corporation Commission.
1.
All casing, including surface protection and production strings shall
be either seamless protection and production strings, shall be either
seamless steel or equivalent quality oil well casing. Each production
string of casing must comply with at least the following minimum internal
pressure yield strength, computed in accordance with A.P.I. standards,
to wit:
|
Depth of String in Feet
|
Internal Pressure Rating (psi)
|
|---|---|
|
7 inches Casing:
| |
|
0 feet to 3,400 feet
|
2,720 lbs.
|
|
3,400 feet to 4,400 feet
|
3,740 lbs.
|
|
4,400 feet to 5,850 feet
|
4,360 lbs.
|
|
5,850 feet to 7,650 feet
|
6,340 lbs.
|
|
7,650 feet to 9,450 feet
|
7,240 lbs.
|
|
9,450 feet to 11,300 feet
|
8,160 lbs.
|
|
5.5 inches Casing:
| |
|
0 feet to 4,400 feet
|
3,110 lbs.
|
|
4,400 feet to 5,600 feet
|
4,270 lbs.
|
|
5,600 feet to 6,900 feet
|
4,810 lbs.
|
|
6,900 feet to 8,000 feet
|
5,320 lbs.
|
|
8,000 feet to 10,005 feet
|
7,780 lbs.
|
2.
Each joint and length of each particular casing string shall have
prior to setting unconditionally passed a complete electronic test
meeting API minimum for that weight and grade of pipe.
No well shall be drilled within the city limits without properly
setting surface casing to a minimum depth of 800 feet. No well shall
be filled within the city limits without cementing the surface casing
by the pump and plug method with sufficient cement to completely fill
all of the annular space behind such casing to the surface of the
ground; and without cementing the production string by the pump and
plug method with sufficient cement to completely fill all the annular
space behind the production string to at least 600 feet above the
highest oil and/or gas bearing horizon; and in the event a protection
string of casing be required the protection string by the pump and
plug method with sufficient cement to completely fill all the annular
space behind the protection string to at least 600 feet above the
highest oil and/or gas bearing horizon.
No well shall be drilled within the city limits without properly
equipping the surface casing when set with at least one master valve,
and without properly equipping the protection casing when set with
at least one master valve and one fluid-operated ram type blow-out
preventer; and without properly equipping the production casing during
completion operations and work-over operations with at least one master
valve and at least one fluid-operated ram type blow-out preventer.
On each well drilled a valve cock or kelly cock shall be installed
on the kelly used. Each blow-out preventer shall test 5,000 pounds
and its mechanical operation shall be tested at least once every bit
trip while the drill pipe is out of the hole, and all control equipment
shall be in good working condition and order at all times.
No well shall be drilled within the city limits without using mud as the drilling fluid after the setting of surface casing as provided in Section 16-14 hereof. The weight of the mud laden drilling fluid shall be at all times maintained at such weight as will provide a hydrostatic head of not less than 500 pounds per square inch in excess of the formation pressure.
It shall be unlawful and an offense for any person in connection
with the drilling or reworking operations of any well within the city
limits to take and to complete any drill stem test or tests except
during daylight hours and then only if the well effluent during the
test is produced through an adequate oil and gas separator to storage
tanks, and the effluent remaining in the drill pipe at the time the
tool is closed is flushed to the surface by circulating drilling fluid
down the annuls and up the drill pipe.
All tubing used in any well within the city limits shall be
seamless steel tubing having not less than a minimum internal pressure
yield strength of 5,280 pounds per square inch if used in connection
with a well completion at a depth not exceeding yield strength of
7,000 feet, or less than a minimum internal pressure yield strength
of 7,260 pounds per square inch if used in connection with a well
completion at a depth in excess of 7,000 feet.
Each well drilled within the city limits shall be equipped with
a brandenhead with a working pressure of not less than 3,000 pounds
per square inch. Brandenheads shall not be welded. The brandenhead
installed on the surface casing shall be set above ground level and
shall be equipped with fittings having a working pressure rating of
not less than 3,000 pounds per square inch. The brandenhead pressure
shall be checked at least once each calendar month and if pressure
is found to exist, proper remedial measures shall be immediately taken
to eliminate the source and the existence of the pressure.
The Christmas tree and all well head connections on each well
drilled within the city limits shall be as follows: on all flowing
wells completed at a depth above 4,000 feet the Christmas tree and
well head connections shall have at least a minimum working pressure
of 2,000 pounds per square inch and a minimum test pressure of at
least 4,000 pounds per square inch; and on all wells completed to
a depth of from 4,001 to 7,000 feet the Christmas tree and well head
connections shall have at least a minimum working pressure of 3,000
pounds per square inch and a minimum test pressure of at least 6,000
pounds per square inch; and on all well completed below a depth of
7,000 feet the Christmas tree and well head connections shall be at
least a minimum working pressure of 5,000 pounds per square inch and
a minimum test pressure of at least 10,000 pounds per square inch.
All piping and fittings connecting the well head to an oil gas separator
shall have at least the same minimum working pressure and a minimum
test pressure as hereinabove specified for Christmas tree and well
head connections in the city limits. All connections that exceed minimum
Christmas tree and well head connections shall be equipped with an
automatic closing safety valve in addition to the regular control
valves.
The premises shall be kept in a clean and sanitary condition,
free from rubbish of every character, to the satisfaction of the Health
Officer of the City of Weatherford, at all times drilling operations
or reworking operations are being conducted, and as long thereafter
as oil and/or gas is being produced therefrom.
Motive power for all operations after completion of drilling
operations shall be electricity or properly muffled gas, gasoline
or diesel engines; such mufflers to be approved by the Oil and Gas
inspector prior to their use.
1.
It shall be unlawful and an offense for any person to use, construct
or operate in connection with any producing well within the city limits
any crude oil storage tanks except to the extent to two steel tanks
for oil storage in any acceptable API tankage volumes, not exceeding
1,000 barrels per lease, and so constructed and maintained as to be
vapor tight and each surrounded with an earthen fire wall at such
distance from the tanks as will under any circumstances hold and retain
at least 1.50 times the maximum capacity of such tank. A permittee
may use, construct and operate a steel conventional separator, and
such other steel tanks and appurtenances as are necessary for treating
oil, with each of such facilities to be so constructed and maintained
as to be vapor tight. Each oil gas separator shall be equipped with
both a regulation pressure relief safety valve and a bursting head.
2.
The pits of storage tanks shall have linings as required by the Oklahoma
Corporation Commission.
Any person who completes any well as a producer shall have the
obligation to enclose said well, together with its surface facilities
and storage tanks, by a substantial smooth net wire fence sufficiently
high and properly built so as to ordinarily keep persons and animals
out of the enclosure with all gates thereto to be kept locked when
the permittee or his employees are not within the enclosure. It is
provided, however, that in noncongested areas the Oil and Gas Inspector,
in his discretion, may waive the requirement of any fence or may designate
the type of fence to be erected.
No person engaged in drilling or operating any well shall permit
gas to escape or be vented into the air unless said gas be flared
and burned, except to vent gas into a frac tank for a maximum of 48
hours after the initial perforating of the well. All gas flared or
burned from a torch, pipe, or any other burning device within the
city limits must be done in such a manner so as not to constitute
a fire hazard to any property; and the location of the torch, pipe,
or other burning device, the construction thereof, the maintenance
thereof, and the operation thereof, shall at all times be in full
compliance with such regulations as may from time to time be issued
by the Oil and Gas Inspector of the City of Weatherford.
Whenever any well is abandoned it shall be the obligation of
permittee and the operator of the well to set a 200-foot cement plug
in the bottom of the surface casing with the bottom of the plug 100
feet below the surface casing section, and the top of the plug 100
feet above the surface casing section; and to set a fifty-foot cement
plug in the top of the surface casing. No surface or conductor string
of casing may be pulled or removed from a well. During initial abandonment
operations it will be the obligation of the permittee and the operator
of the well to flood the well with mud-laden fluid weighing not less
than 10 pounds per gallon or in accordance with the rules and regulations
of the Oklahoma Corporation Commission, and the well will be kept
filled to the top with said mud-laden fluid at all time; mud-laden
fluid of the above specifications will be left in the well bore below
and between cement plugs. Any additional provisions or precautionary
measures prescribed by the State of Oklahoma or the Corporation Commission
of the State of Oklahoma in connection with the abandonment and plugging
of a well shall be complied with by the permittee.
Permittee shall make adequate provisions for the disposal of
all salt water or other impurities which he may bring to the surface,
such disposal to be made in such manner as to not contaminate the
water supply, present or prospective, or to injure surface vegetation.
Any violation of the laws of the State of Oklahoma or any rules,
regulations or requirements of any state or federal regulatory body
having jurisdiction in reference to drilling, completing, equipping,
operating, producing, maintaining, or abandoning an oil or gas well
or related appurtenances, equipment or facilities, or in reference
to fire walls, fire protection, blowout protection, safety protection,
or convenience of persons or property, shall also be a violation of
this article and shall be punishable in accordance with the provisions
hereof.
If any section, paragraph, subdivision, clause, phrase, or provision
of this article shall, for any reason, be adjudged invalid or held
to be unconstitutional, the remaining sections, paragraphs, subdivisions,
clauses, phrases, or provisions shall continue in full force and effect
and shall be construed thereafter as being the entire provisions of
this article.
It shall be unlawful and an offense for any person to violate or neglect to comply with any provisions hereof irrespective or whether or not the verbiage of each section hereof contains the specific language that such violation or neglect is unlawful and is an offense. Any person who shall violate any of the provisions of this article, or any of the provisions of a drilling and operating permit issued pursuant hereto, or any condition of the bond filed by the permittee pursuant to this article, or who shall neglect to comply with the terms hereof, shall be deemed guilty of a misdemeanor and shall, on conviction hereof, be fined in the sum provided in Section 9-31 of this Code; and the violation of each separate provisions of this article, and of said permit and of said bond, shall be considered a separate provision and therefore shall be considered a separate offense. In addition to the foregoing penalties, it is further provided that the Board of Commissioners at any regular or special session or meeting thereof, may, provided ten-day notice has been given to the permittee that revocation is to be considered at such meeting, revoke or suspend any permit issued under this article and under which drilling or producing operations are being conducted in the event the permittee thereof has violated any provision of said permit, said bond, or this article. In the event the permit be revoked, the permittee may make application to the Board of Commissioners for the reissuance of such permit, and the action of the Board of Commissioners thereon shall be final.
