2005 Oregon Code - Chapter 520 :: Chapter 520 - Conservation of Gas and Oil

      (1) To require the drilling, casing and plugging of wells to be done in such a manner as to prevent the escape of oil or gas out of one stratum to another; to prevent the intrusion of water into oil or gas strata; to prevent the pollution of fresh water supplies by oil, gas or salt water; and to require reasonable bond conditioned upon compliance with applicable laws and rules and upon the performance of the duty to plug each dry or abandoned well.

      (2) To compel the filing of logs, including electrical logs, if any are taken, drilling records, typical drill cuttings or cores, if cores are taken, in the office of the State Geologist within 20 days from the date of completion or abandonment of any well. For a period of two years from the date of abandonment or completion, such logs or other records or drill cuttings or cores shall be kept confidential and shall not be accessible to public inspection. However, the two-year confidentiality period may be extended for such time as the State Geologist determines is necessary for the reasonable protection of the economic interests of the person who has engaged in the drilling activity.

      (3) To prevent wells from being drilled, operated and produced in such a manner as to cause injury to neighboring leases or property.

      (4) To prevent the drowning by water of any stratum or part thereof capable of producing oil or gas in paying quantities, and to prevent the premature and irregular encroachment of water which reduces, or tends to reduce, the total ultimate recovery of oil or gas from any pool.

      (5) To require the operation of wells with efficient gas-oil ratios, and to fix ratios.

      (6) To prevent blowouts, caving and seepage in the same sense that conditions indicated by such terms are generally understood in the oil and gas business.

      (7) To prevent fires.

      (8) To identify the ownership of all oil and gas wells, producing leases, tanks, plants, structures and all storage equipment and facilities.

      (9) To regulate the “shooting” and chemical treatment of wells.

      (10) To regulate secondary recovery methods, including the introduction of gas, air, water or other substance into producing formations.

      (11) To regulate the spacing of wells.

      (12) To require the filing currently of information as to the volume of oil and gas, or either of them, produced and saved from the respective properties.

      (13) To require a permit issued by the State Geologist for the drilling of stratigraphic test wells, core test wells, seismic test wells or other wells drilled only for information purposes, giving the location thereof, and to require the filing with the State Geologist of a plugging report within 90 days after completion of such well. A reasonable fee, not to exceed $100, set by rule may be required in connection with the filing of an application for a permit. The State Geologist may require reasonable bond or other financial assurance acceptable to the State Geologist and conditioned upon compliance with applicable laws and rules and upon the performance of the duty to reasonably protect ground water. The board shall consult with the Water Resources Commission when developing rules for drilling and abandonment of stratigraphic test wells, core test wells, seismic test wells or other wells as described in this subsection. Wells included in this subsection may be converted to water wells, provided the conversion conforms with ORS 537.747 to 537.780.

      (14) To require the disposal of salt water and oil field waste so as not to damage land or property unnecessarily.

      (15) To require that wells drilled for oil or gas be logged adequately enough to identify the geologic formations penetrated by the wells.

      (16) To regulate the underground storage of natural gas and the drilling and operation of any wells required therefor.

      (17) To require the reclamation of drill sites and the filling of sumps for beneficial subsequent use. [1953 c.667 §7; 1961 c.671 §18; 1973 c.276 §3; 1977 c.296 §2; 1981 c.146 §2; 1989 c.365 §1]

      520.100 [Repealed by 1953 c.667 §21]