Iowa Administrative Code › Agency 561 - Natural Resources Department › Chapter 17 - Oil, Gas, and Metallic Minerals › Rule 561-17.1 - Definitions

Current through Register Vol. 47, No. 3, July 24, 2024
Unless the context otherwise requires, the words defined in
				this rule shall have the indicated meaning when found elsewhere in these
				rules.
"Allowableperiod"
means the period as
				designated in which an allowable may be produced.
"Artesian water"
means underground water that
				is confined by impervious material under pressure sufficient to raise it above
				the upper level of the saturated material in which it lies if this is
				penetrated by wells or natural fissures.
"Barrel"
means 42 United States gallons
				measured at 60 degrees Fahrenheit and atmospheric pressure at sea level.
"Barrel of oil"
means 42 United States gallons
				of oil after deductions for the full amount of basic sediment, water, and other
				impurities present, ascertained by centrifugal or other recognized and
				customary test.
"Blowout"
means a sudden or violent escape of
				oil or natural gas, as from a drilling well when high formational pressure is
				encountered.
"Blowout preventer"
means a heavy casinghead
				control fitted with special gates or rams which can be closed around the drill
				pipe, or which completely closes the top of the casing.
"Casinghead gas "
means any gas or vapor, or
				both gas and vapor, indigenous to an oil stratum and produced from such stratum
				with oil.
"Casingpressure"
means the pressure built up
				between the casing and tubing when the casing and tubing are packed off at the
				top of the well.
"Certificate of compliance and authorization to
				transport oil or gas from lease "
means a form prescribed by the
				department, which, when executed by an operator or producer, certifies that the
				operation of the wells involved, and the production of oil or gas therefrom,
				has been in compliance with the orders and rules of the department. This
				certificate also authorizes a purchaser of oil or gas to transport same from
				the lease. Thereby, the department is informed of the purchaser, and the
				purchaser is informed that the oil or gas purchased has been produced legally.
				The certificate of clearance by the department is included on the bottom of the
				producer's compliance form.
"Common source of supply"
is synonymous with
				pool.
"Completed well"
means a well that has (a)
				produced or is ready to produce formation hydrocarbons through the permanent
				wellhead facilities, or (b) been declared a dry hole and temporarily abandoned
				or plugged and abandoned, or (c) been otherwise readied for operations as in
				the case of injection and service wells.
"Condensate "
means liquid hydrocarbons that
				were originally in the gaseous phase in the reservoir.
"Cubic foot of gas"
means the volume of gas
				contained in one cubic foot of space at a standard pressure base and a standard
				temperature base. The standard pressure base shall be 14.65 pounds per square
				inch absolute, and the standard temperature base shall be 60 degrees
				Fahrenheit.
"Day"
means a period of 24 consecutive hours
				from 7 a.m. one day to 7 a.m. the following day.
"Department"
means the Iowa department of
				natural resources.
"Developed area"
means a spacing unit on which
				a well has been completed that is capable of producing oil or gas, or the
				acreage that is otherwise attributed to a well by the department for allowable
				purposes.
"Development"
means any work which actively
				looks toward bringing in production.
"Director "
means the director of the Iowa
				department of natural resources or the director's designee.
"Gas allowable"
means the amount of natural
				gas authorized to be produced by order of the department.
"Gas-oil ratio "
means the ratio of the gas
				produced in cubic feet to the number of barrels of oil concurrently produced
				during any stated period.
"Just and equitable share of the production"
means, as to each person, that part of the authorized production from the pool
				that is substantially in the proportion that the amount of recoverable oil or
				gas or both in the developed area of the person's tract or tracts in the pool
				bears to the recoverable oil or gas or both in the total developed area in the
				pool.
"Lease "
means a tract or tracts of land
				which, by virtue of an oil, gas, or metallic minerals lease, fee or mineral
				ownership, a drilling, pooling, or other agreement, a rule, or order of
				governmental authority, or otherwise, constitutes a single tract or leasehold
				estate for the purpose of the development or operation thereof for oil or gas
				or both, or for the exploration for or production of metallic minerals.
"Nomination "
means the statement made by a
				purchaser indicating the amount of oil or gas the purchaser has a definite and
				bona fide need to purchase during a given period.
"Oil allowable "
means the amount of oil
				authorized to be produced by order of the department.
"Oil and gas "
means oil or gas or
				both.
"Oil well"
means any well capable of producing
				oil in paying quantities.
"Operator"
means any person who, duly
				authorized, is in charge of the development of a lease, or the operation of a
				producing well.
"Overage "
or
"overproduction
				"
means the oil or gas produced in excess of the allowable fixed by
				the department.
"Pipeline oil"
means oil free from water and
				basic sediment to the degree that is acceptable for pipeline transportation and
				refinery use.
"Potential"
means the actual or properly
				computed daily ability of a well to produce oil as determined by a test made in
				conformity with rules prescribed by the department.
"Pressure maintenance"
means the injection of
				gas, water or other fluids into oil or gas reservoirs to maintain pressure or
				retard pressure decline in the reservoir for the purpose of increasing the
				recovery of oil or other hydrocarbons therefrom.
"Protect correlative rights "
means that the
				action or regulation by the department should afford a reasonable opportunity
				to each person entitled therein to recover or receive the oil or gas in the
				person's tract, or tracts, or the equivalent thereof, without being required to
				drill unnecessary wells or to incur other unnecessary expense to recover or
				receive such oil or gas or its equivalent.
"Proven oil or gas land"
means that area which
				has been shown by development or geological information to be such that
				additional wells drilled thereon are reasonably certain to be commercially
				productive of oil or gas or both.
"Purchaser "
means any person who directly or
				indirectly purchases, transports, takes, or otherwise removes production to the
				person's account from a well, wells, or pool.
"Run"
means oil or gas, measured at standard
				conditions, moved off the lease or unit for sale.
"Storer"
means every person as herein defined
				who stores, terminals, retains in custody under warehouse or storage agreements
				or contracts, oil which comes to rest in the person's tank or other receptacle
				under control of said storer, but excluding the ordinary lease stocks of
				producers.
"Transporter"
means and includes any common
				carrier by pipeline, barge, boat, or other water conveyance or truck or other
				conveyance except railroads, and any other person transporting oil by pipeline,
				barge, boat or other water conveyance, or truck and other conveyance.
"Water flooding"
means the injection into a
				reservoir through one or several wells of volumes of water, either currently or
				cumulatively in excess of the volumes of oil and water produced, for the
				purpose of increasing the recovery of oil therefrom.
"Well log"
means the written record
				progressively describing the strata, water, oil, gas or metallic minerals
				encountered in drilling a well with such additional information as to give
				volumes, pressures, rate of fill-up, water depths, caving strata, casing
				record, etc., as is usually recorded in normal procedure of drilling. The well
				log shall include any electrical or other geophysical logging, detail of all
				cores, and all drill-stem tests, including depth tested, cushion used, time
				pool open, flowing and shut-in pressures and recoveries.
"Wildcat well"
means a well drilled to
				discover a previously unknown pool.