Ala. Admin. Code r. 400-8-1-.28

Current through Register Vol. 43, No. 3, December 31, 2024

Section 400-8-1-.28 - [Effective 1/11/2025] Well Permit for Wells Within the Storage Facility

1.Activities requiring Permits. Individual well permits shall be issued by the Supervisor for all wells within a storage facility for the storage of carbon dioxide as approved by the Board.

2.Stratigraphic Test Well Requirements. Application for permits for Stratigraphic test wells to obtain geologic information for the purpose of carbon dioxide storage shall be submitted as set forth in Rules 400-1-2-.01 or 400-2-2-.01, whichever is applicable. The applicant for a stratigraphic test well permit shall pay a fee of One Thousand Dollars ($1,000.00).

3.Subsurface Observation Well Permit Requirements. Application for permits for subsurface observation wells for underground storage purposes shall be submitted as set forth in Rules 400-1-2-.01 or 400-2-2-.01, whichever is applicable. The storage operator shall pay a fee of One Thousand Dollars ($1,000.00) for each permit to drill a subsurface observation well.

4.Injection Well Permit Requirements. Application for permits for underground storage injection wells shall be considered as a two-step process. All wells drilled or recompleted for the purpose of underground storage shall comply with the following permitting requirements:

a.Step 1.

i. Well permit requirements as set forth in Rules 400-1-2-.01 or 400-2-2-.01, whichever is applicable for the drilling, conversion, or reentry of a plugged and abandoned well. The storage operator shall pay a fee of Three Thousand Dollars ($3,000.00) for each permit to drill an injection well.

ii. A plat, in triplicate, prepared by a licensed land surveyor showing the location of the proposed underground storage well. The plat shall be drawn to the scale of one (1) inch equals one thousand (1,000) feet, unless otherwise stipulated by the Supervisor and shall show distances from the proposed well to the nearest governmental section lines. The plat shall show the direction of north, and the latitude and longitude in decimal degrees to five (5) significant digits and state plane coordinates of the proposed well.

iii. A prognosis specifying the drilling, completion, or conversion procedures for the proposed underground storage well;

iv. A well bore sketch showing the name, description, and depth of the proposed underground reservoir and the depth of the deepest underground source of drinking water (USDW); a description of the casing in the underground storage well, or the proposed casing program, including a full description of cement already in place or as proposed; and the proposed method of testing casing before use of the underground storage well;

v. A complete log through the underground reservoir of the storage well or if an underground storage well is to be drilled, a complete log through the underground reservoir from a nearby well. Such log shall be annotated to identify the estimated location of the base of the deepest USDW, significant aquicludes, and the underground reservoir; and

vi. The known or calculated fracturing pressure of the underground reservoir. All determinations included in this application shall be supported by basic data and calculations.

b.Step 2.

i. Permit application, Form OGB-1 CO2, Application for Permit to Inject Carbon Dioxide;

ii. A schematic diagram of the surface injection system and its appurtenances;

iii. An as-built wellbore sketch showing the name, description, and depths of the underground reservoir and the base of the deepest USDW; a description of the casing, cementing, perforation, tubing, and plug and packer records associated with the construction of the underground storage well; and the method and results of casing tests reported on Form OGB-7, Well Record and Completion or Recompletion Report;

iv. A complete dual induction or equivalent log through the underground reservoir of the underground storage well. Such log for wells drilled for underground storage operations shall be run prior to the setting of casing through the underground reservoir. Logs shall be annotated to identify the estimated location of the base of the deepest USDW, significant aquicludes, and the underground reservoir unless previously submitted in Step 1.

v. An affidavit specifying the source of injected fluids; an analysis of the fluids to be injected and the fluids in the injection zone; and a statement specifying any proposed treatment of the injected fluids;

vi. Proof that the long string of casing of the underground storage well is cemented adequately so that injected gas cannot migrate along the annular space to any USDW. Such proof shall be provided in the form of a cement bond log or the results of a fluid movement study or such other method specified by the Supervisor;

vii. Demonstration of internal and external mechanical integrity;

viii. Forms OGB-6 (if applicable), OGB-7, and OGB-8;

ix. Two (2) copies of all electrical, mechanical, radioactive, and dip-meter logs or such other surveys performed as a part of drilling, completing, or converting the underground storage well unless previously submitted to the Board; and

x. The calculated maximum operating wellhead injection pressure (MOWHIP) necessary to ensure that fractures are not initiated in the confining zone, that injected fluids do not migrate into any USDW, and that formation fluids are not displaced into any USDW.

5.Permit Approval Procedures. Applications for underground storage well permits shall be submitted in writing to the Supervisor in accordance with sections 2, 3, and 4 of this rule. Approval to inject gas may be granted by the Supervisor after submittal and consideration of the information required under section (4)(b) of this rule, but not before "Approval to Inject" has been granted by the Board pursuant to Rule 400-8-1-.19;

6.Expiration of a Permit. A permit shall expire twelve (12) months from the date of issuance if the permitted well has not been spudded.

Ala. Admin. Code r. 400-8-1-.28

Adopted by Alabama Administrative Monthly Volume XLIII, Issue No. 02, November 27, 2024, eff. 1/11/2025.

Author: S. Marvin Rogers

Statutory Authority: 9-17-150 et seq. of the Code of Alabama (1975)