Kentucky Designation of Gas Unit

State:
Multi-State
Control #:
US-OG-377
Format:
Word; 
Rich Text
Instant download

Description

This form is used when Owners desire to consolidate, pool, and unitize Lands and Leases to facilitate the exploration for development of, and production of gas and associated hydrocarbons. Under the terms and provisions of each of the Leases, the Owners of the Leases have the right to consolidate, pool, and unitize all of the Lands, and the leasehold and royalty in the Lands, into one consolidated, pooled, and unitized area for the exploration, development, and production of gas.

The Kentucky Designation of Gas Unit refers to the regulatory framework and guidelines implemented by the Kentucky Department of Natural Resources (DNR) to govern the development, production, and conservation of natural gas resources within the state. This designation plays a crucial role in ensuring safe and efficient extraction, as well as the preservation of environmental integrity. One of the primary goals of the Kentucky Designation of Gas Unit is to establish uniformity and order in the exploration and production operations carried out by gas companies. It provides the legal basis for the establishment and delineation of gas units, which are defined areas of land within which natural gas extraction and production activities are coordinated. Gas units are typically determined based on geological and engineering considerations, ensuring that the extraction process is efficient and maximizes recovery. The Kentucky Designation of Gas Unit also includes provisions for the regulation of drilling and well operations within these designated units. It sets out the guidelines for obtaining permits, construction and installation of equipment, well spacing, and management of associated fluids such as drilling mud and produced water. Compliance with these regulations ensures that gas wells are constructed in a safe and environmentally responsible manner. Additionally, the Kentucky Designation of Gas Unit covers issues related to the pooling of interests, which allows multiple landowners to jointly develop their gas resources. Pooling ensures that fair compensation is provided to all participating parties and allows for the efficient exploration and production of natural gas. There are different types of Kentucky Designation of Gas Units, including: 1. Field Units: These units are typically larger in scale and cover extensive areas where multiple gas wells are interconnected and managed as one unit. Field units often require more comprehensive planning and regulation due to the higher level of coordination and infrastructure involved. 2. Well Units: These are smaller units designated for individual gas wells. Well units efficiently manage the production of a single well by defining its boundaries and providing guidelines for its operation. This type of unit focuses on optimizing the extraction potential of an individual well. 3. Pool Units: Pool units are created when multiple landowners agree to jointly develop their gas resources. A single gas unit is established, allowing for coordinated extraction operations and equitable sharing of production revenues among the participating parties. It is important for gas companies, landowners, and other stakeholders involved in natural gas extraction in Kentucky to be familiar with the Kentucky Designation of Gas Unit guidelines. Compliance with these regulations ensures the efficient and responsible development of Kentucky's natural gas resources while protecting the environment and promoting fair compensation for all parties involved.

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FAQ

An Application for Permit shall be filed with the Division of Oil and Gas before a well is drilled, deepened or re-opened for the production of natural gas, crude oil, water supply for enhanced recovery, or injection into a reservoir for the purpose of enhanced recovery.

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.

Kentucky has an estimated 18,000 producing oil wells and 13,000 producing gas wells. The majority of those producing wells are in the "stripper" category, having daily production rates of 60 million Btu or less (10 barrels of oil or 60,000 cubic feet of gas).

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.

Kentucky today has produced oil and natural gas in 52 counties. Oil production (green) is in the western and south-central areas. Most natural gas (red) is in eastern counties. Cumberland County is on the Tennessee border in the middle of the state.

Kentucky Crude Oil Production is at a current level of 226.00K, up from 53.00K last month and up from 173.00K one year ago. This is a change of 326.4% from last month and 30.64% from one year ago.

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Typically a well will have three records that need to be submitted to the Division of Oil and Gas. The Affidavit of Well Log and Completion Report (Form OG-3), ... Must certify compliance status for each emission unit and permit condition. Submit completed Annual Compliance Certification form DEP 7007CC via eForms, or to ...(4) Any agreement, in providing for allocation of production from the unit area, shall first allocate to each pool or added portion a portion of the total ... (a) The director shall forward to the commission a complete copy of the applications for the deep horizontal well permits and unit designation and all documents ... 1, 2023, Kentucky law requires sales tax to be charged for residential utility services furnished to any location that is not your place of domicile (basically, ... ... the clause contemplates the filing of a "written unit designation." Dis is typically captioned a "Declaration of Pooling." Ile final portion of the clause ... Pay your bill. Pay your water or gas bill through our online billing portal. You'll be asked to set up an account to get started. Looking for a particular state agency? Search our complete listing. Main Content. ​​​​​. Natural Gas Fueling Station Locations. Find compressed natural gas (CNG) and liquefied natural gas (LNG) fueling stations in the United States and Canada. ... Certification effective date should be the date the household moves into the unit. ... the owner continues to fill vacancies in comparable or smaller units with ...

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Kentucky Designation of Gas Unit