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IC 14-37-4-2
Duties of owner or operator
Sec. 2. (a) An owner or operator:
(1) shall comply with the conditions of a permit as determined
by the department;
(2) may not raise as a defense to an enforcement action by the
department that compliance with the conditions of the permit
constitutes an economic hardship;
(3) shall correct adverse environmental impact that results from
noncompliance with a permit; and
(4) shall provide proper operation and maintenance for
facilities, systems of treatment, and control and related
appurtenances that are installed or used by the owner or
operator to comply with the permit conditions.
(b) Proper operation and maintenance under subsection (a)(4)
includes effective performance, adequate funding, adequate operator
staffing and training, and adequate laboratory and process controls,
including appropriate quality assurance procedures. Subsection (a)(4)
requires the operation of backup or auxiliary facilities or similar
systems only if necessary to comply with permit conditions.
As added by P.L.1-1995, SEC.30.
IC 14-37-4-3
Permit not property right or exclusive privilege
Sec. 3. A permit does not convey to the owner or operator a
property right or an exclusive privilege.
As added by P.L.1-1995, SEC.30.
IC 14-37-4-4
Permit form
Sec. 4. A person must apply for a permit under this chapter on a
form prescribed by the commission.
As added by P.L.1-1995, SEC.30.
IC 14-37-4-5
Document accompanying permit application
Sec. 5. An application for a permit must include the following:
(1) A plat of the land or lease upon which the well is to be
located, together with all property and lease lines and the
acreage within the tract.
IC 14-37-4-6
Bond and permit fee; expedited review
Sec. 6. (a) A person must submit the following with an application
for a permit:
(1) A bond under IC 14-37-6.
(2) A permit fee of two hundred fifty dollars ($250) payable to
the department. However, a person may apply for an expedited
review of the application for a permit, except for a Class II or
noncommercial well, by submitting a permit fee of seven
hundred fifty dollars ($750).
(b) Permit fees collected under this section must be deposited in
the oil and gas fund established by IC 6-8-1-27.
As added by P.L.1-1995, SEC.30. Amended by P.L.48-2002, SEC.1;
P.L.186-2003, SEC.77.
IC 14-37-4-7
Operator's signature on permit
Sec. 7. An application must be signed by:
(1) the person; or
(2) an authorized agent of the person;
who is the operator named in the proposed permit.
As added by P.L.1-1995, SEC.30.
IC 14-37-4-8
Permit issuance upon compliance with article and rules
Sec. 8. (a) Except as provided in section 9 of this chapter and
subject to subsections (b) and (c), if an applicant for a permit
complies with:
(1) this article; and
(2) the rules adopted under this article;
the director shall issue a permit.
(b) The division shall:
(1) maintain a list of parties with experience and interest in
mining commercially minable coal resources who request in
writing to be given notice of the filing of complete permit
applications under this chapter with respect to coal bed
methane; and
(2) give written notice of each complete permit application filed
under this chapter with respect to coal bed methane not later
than fifteen (15) days after the filing date to each party on the
list maintained under subdivision (1), and to each party that
files an affidavit under IC 14-37-7-8.
(c) The notice given under subsection (b)(2) must include at least
the following with respect to each proposed coal bed methane well:
(1) The location, type, and depth.
(2) The coal seam affected.
(d) The division may not issue a permit under this chapter until all
of the following requirements are satisfied:
(1) At least thirty (30) days have elapsed after giving notice
under subsection (b)(2).
(2) Proof of both of the following has been submitted to the
division:
(A) Receipt of the permit application's written notice as
provided under section 8.5(e) of this chapter.
(B) That the applicant complied with the notification to the
surface owner provisions required under IC 32-23-7-6.5. The
applicant may submit as proof a certified mail receipt, the
surface owner's written acknowledgment of receipt of the
notification, or copy of an agreement with the surface owner
establishing different notification terms.
(3) The division has taken into consideration:
(A) comments received during the period referred to in
subdivision (1) from a person interested in the future
minability of a commercially minable coal resource; and
(B) objections made under section 8.5(h) of this chapter.
(4) The applicant has submitted to the director documentation
demonstrating that the commercially minable coal seam outside
the coal bed methane production area is protected adequately
for future underground mining.
(5) The director has issued a finding that the requirements of
subdivisions (1) through (4) and section 8.5 of this chapter have
been met.
(e) Unless waived by the applicant, the director shall issue or deny
a permit under this chapter within fifteen (15) days after the elapse
of the thirty (30) day notice period under subsection (d)(1).
As added by P.L.1-1995, SEC.30. Amended by P.L.140-2011, SEC.6.
IC 14-37-4-8.5
Exercise of rights pertaining to coal bed methane; waste;
application for permit to drill for testing or production
Sec. 8.5. (a) For purposes of this section, "waste" means locating,
spacing, drilling, equipping, operating, or producing a well for coal
bed methane purposes in a manner that unreasonably reduces or
tends to unreasonably reduce the quantity of commercially minable
coal resources ultimately to be recovered from a mine.
(b) If ownership of coal bed methane is separate from ownership
of coal, no surface right or any other right pertaining to coal bed
methane and naturally flowing from the character of any instrument
in law may be exercised without the consent of the coal owner under
subsection (d)(2), unless the director makes a finding that the
exercise of the right:
(1) will not result in; and
(2) does not have the potential to result in;
any waste of a commercially minable coal resource or endangerment
of the health and safety of miners.
(c) In making a finding under subsection (b), the director shall
consider whether the use of one (1) or more of the following may
result in waste of a commercially minable coal resource or
endangerment of the health and safety of miners:
(1) Hydrofracturing the coal seam.
(2) Horizontal drilling in the coal seam.
(3) Any other technology that disturbs the integrity of either or
both of the following:
(A) The coal seam.
(B) The strata surrounding the coal seam.
(d) An application for a permit to drill into or through one (1) or
more coal seams for the purpose of testing or producing coal bed
methane must be accompanied by:
(1) subject to subsection (e), certification by affidavit of the
applicant that, upon diligent inquiry, including reference to:
(A) the record of filings maintained by the department and
made by coal owners and lessees under IC 14-8-2-47; and
(B) publicly available records pertaining to thickness and
depth of coal;
the activities of the applicant do not and will not result in waste
of a commercially minable coal resource or endangerment of
the health and safety of miners; or
(2) subject to subsections (f) and (g), written consent of the coal
owner or coal lessee authorizing the drilling.
(e) An applicant that submits a permit application accompanied
by a certification under subsection (d)(1) shall submit proof that
written notice of the permit application has been received by the
owner and, if applicable, the lessee of the coal through which drilling
is proposed.
(f) If there is a coal lease, the coal owner and the coal lessee must
include in the written consent under subsection (d)(2) a statement
acknowledging that the recovery of coal bed methane might result in
waste of the commercially minable coal resource.
(g) If there is no coal lease, the coal owner must include in the
written consent under subsection (d)(2) a statement that the coal
owner has not leased the coal for coal mining purposes and
acknowledging that the recovery of coal bed methane may result in
waste of the commercially minable resource.
IC 14-37-4-9
Denial of permit
Sec. 9. The department may refuse to issue a permit if an
applicant or an officer, a partner, or a director of the applicant:
(1) is in violation of this article or would be in violation if the
permit were issued; or
(2) controls or has controlled a well for oil and gas purposes
and has demonstrated a pattern of willful violations of:
(A) this article; or
(B) IC 13-8 (before its repeal);
that have resulted in substantial damage to the environment
indicating an intention not to comply with this article or IC 13-8
(before its repeal).
As added by P.L.1-1995, SEC.30.
IC 14-37-4-10
Permit continuance for non-Class II wells
Sec. 10. A permit for a well for oil and gas purposes, other than
a permit for a Class II well, continues until:
(1) the well is plugged and abandoned;
(2) the well is converted to another type of well for oil and gas
purposes; or
(3) the permit is revoked.
As added by P.L.1-1995, SEC.30. Amended by P.L.80-2005, SEC.3.
IC 14-37-4-11
Expiration of permit
Sec. 11. A permit for a well for oil and gas purposes expires one
(1) year from the date of issuance unless the drilling of the well has
commenced.
As added by P.L.1-1995, SEC.30. Amended by P.L.80-2005, SEC.4.
IC 14-37-4-12
Permit continuance for Class II wells
Sec. 12. A permit for a Class II well continues until the well is
plugged and abandoned, unless the permit is revoked, expired, or
otherwise terminated.
As added by P.L.1-1995, SEC.30.
IC 14-37-4-13
Emergency permits
Sec. 13. (a) The director may issue an emergency permit for a
well for oil and gas purposes if an imminent and substantial danger
to the health of persons will result unless an emergency permit is
granted. An emergency permit under this subsection is effective no
longer than necessary to remove the danger.
(b) If a substantial and irretrievable loss of oil or natural gas
resources will occur unless an emergency permit is granted, the
director may issue an emergency permit for a well for oil and gas
purposes if the following conditions exist:
(1) Timely application for a permit could not practicably have
been made.
(2) Issuance of the permit does not violate a term of primary
enforcement authority for Class II wells.
(c) An emergency permit under subsection (b) is effective not
longer than ninety (90) days from issuance. However, if a permit
application is submitted before expiration of the ninety (90) day
period, the director may, subject to IC 4-21.5, extend the emergency
permit until final agency action on the application.
(d) The director may issue an emergency permit for a well for oil
and gas purposes if:
(1) a substantial delay in the production of oil or natural gas
resources will occur unless an emergency permit is issued for
a new injection well; and
(2) the permit will not violate a term of primary enforcement
authority for Class II wells.
An emergency permit under this subsection may be issued only after
a completed permit application has been submitted and is effective
only until a final determination is made by the department on that
application.
As added by P.L.1-1995, SEC.30.
IC 14-37-4-14
Transfer permits
Sec. 14. To transfer the ownership of a permit for a well for oil or
gas purposes, a person must submit the following:
(1) A transfer fee of fifteen dollars ($15) payable to the
department for each well. However, if an applicant submits
more than fifty (50) applications simultaneously, the transfer
fee for each application in excess of fifty (50) is ten dollars
($10).
(2) The name and mailing address of the seller and buyer on a
form prescribed by the commission.
As added by P.L.186-2003, SEC.78.