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Oil and Gas History It produced commercial quantities of oil that were shipped in wooden barrels by barge on the Cumberland River. Since then, more than 185,000 known wells have been drilled in Kentucky associated with oil and gas production.
The Division of Oil and Gas of the Kentucky Department of Natural Resources regulates the oil and natural gas industry in the commonwealth and conserves and protects oil and gas reserves in Kentucky.
The Ministry of Petroleum & Natural Gas is concerned with exploration and production of Oil & Natural Gas, refining, distribution and marketing, import, export and conservation of petroleum products.
Regulation. Regulation of oil and gas drilling and production are largely left to the states, except for federal offshore waters, where operations are regulated by the Bureau of Ocean Energy Management. The names and organizational structures of the state agencies overseeing oil and gas extraction vary.
A surface use agreement, which is also sometimes referred to as a land use agreement, is an agreement between the landowner and an oil and gas company or an operator for the use of the landowner's land in the development of the oil and gas.