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The evidentiary spacing hearing for AM Idaho, LLC application (Docket No. CC-2019-OGR-01-002) will be held at Fruitland City Hall on Wednesday, February 12, 2020 @ 9:00am (MT). Please see Docket No. CC-2019-OGR-01-002 on the Administrative Hearings page for more information. (PDF)

Mick Thomas

Division Administrator, Oil & Gas

Secretary to the Oil & Gas Conservation Commission

This update was sent to the Commission on Friday, December 27.

Current Items:
Well Activity (as of 12/27/19)
January Schedule
Operational Ownership in Payette Field
Third Quarter Report
News Article(s) of Interest

Well Activity (as of 12/27/19)
Southwest Idaho
• Six wells plugged – Espino #1-2, State #1-17, ML Investments #1-10, Island Capitol #1-19, White #1-10, Korn #1-22 (abandonment process still ongoing for these wells)
• Six wells shut in – Tracy Trust #3-2 (not plugged due to ongoing pressure in the well), DJS Properties #2-14 (application for Class II UIC under review by EPA), Kauffman #1-34, Kauffman #1-9, Fallon #1-10, Barlow #1-14
• Six wells producing – DJS Properties #1-15, ML Investments #2-10, ML Investments #1-11, ML Investments #1-3, ML Investments#2-3, ML Investments #3-10

Eastern Idaho
• No activity – wells plugged & abandoned and sites reclaimed

January Schedule
The 2020 Idaho Legislative Session begins on January 6th, 2020. I will be in Washington D.C. the week of January 6th on behalf of the Groundwater Protection Council. During this trip I’ll be part of a team discussing the GWPC with Idaho legislators.
I will also be attending the Western States Land Commissioners Association Winter 2020 Conference in Austin, Texas from January 13th to the 15th. I will be representing Idaho as we discuss best practices to manage endowment lands throughout the Western U.S.
The winter meeting agenda, as well as the mission of the WSLCA is available at

Operational Ownership in the Payette Field
A majority ownership position in the Idaho Oil and Gas play was purchased by Snake River Group from Alta Mesa Idaho on Christmas Eve, 2019. Snake River Group shared that the transition of operations should be completed within 120 days.
The Oil and Gas Division, as well as the Commission will monitor this transition from a regulatory standpoint.

Third Quarter Report
Attached (PDF) are the 3rd quarter numbers for Oil and Gas production in Idaho. If you have any questions please contact Oil and Gas Program Manager James Thum – jthum@idl.idaho.gov

News Article(s) of Interest
Alta Mesa can’t use bankruptcy to reject oil gathering agreements:
https://www.jdsupra.com/legalnews/texas-bankruptcy-court-applying-36060/

No evidence links contamination and fracking:

EPA finalizes Existing Owner Clean Air Act Audit Program:
https://www.epa.gov/enforcement/existing-owner-clean-air-act-audit-program-oil-and-natural-gas-exploration-and

Interior Department, States appeal sage grouse ruling:

Mick Thomas

Division Administrator, Oil & Gas

Secretary to the Oil & Gas Conservation Commission

This update was sent to the Commission on Friday, December 13.

Current Items:
IGS Project on Idaho Oil and Gas
Oil and Gas Royalty Audit
Well Activity – Plugging Reports
More Reports Received
News Article(s) of Interest

IGS Project on Idaho Oil and Gas
The Idaho Geological Survey (IGS) finished their project on the Western Snake River Plain in SW Idaho. This project discussed Basin Analysis, Reservoir Characterization and Performance, and Source Rock Evaluation. The PowerPoint can be found on the OGCC website Reports and Information page under the FAQs and Information section.

Oil and Gas Royalty Audit
The Oil and Gas Royalty Audit has been completed. The full report can be found on the OGCC website on the Home page and the Reports and Information page in the Reports section.

Well Activity – Plugging Reports
Additional Plug and Abandon Reports have been received. The reports can be found on the OGCC website Well Files
page under the individual wells.

More Reports Received
The 2018 Revised Plant Reports and the second 2019 bi-annual well test report are now available. Please see the Monthly and Annual Reports page for more information.

News Article(s) of Interest
California increases regulations of oil and gas industry and other topics:
http://www.cailaw.org/media/files/IEL/Publications/ereport/2019/issue-4.pdf

NEPA transformed federal land management and has fallen short (PDF)

Utah:
Editorial: After decades of oil and gas negligence, Utah needs to get a grip
https://www.sltrib.com/opinion/editorial/2019/12/01/tribune-editorial-after/

New Mexico:
New database could help oil and gas operators access New Mexico land data
https://www.currentargus.com/story/news/local/2019/12/03/new-database-could-help-oil-and-gas-operators-access-new-mexico-land-data/2590519001/

Colorado:
BLM to transfer nearly 18K acres to Colorado to settle debt (PDF)

Mick Thomas

Division Administrator, Oil & Gas

Secretary to the Oil & Gas Conservation Commission

This update was sent to the Commission on Saturday, November 30.

Current Items:
2020 OGCC Meeting Schedule
Omnibus Rulemaking
Well Activity – Plug and Abandon
News Article(s) of Interest

2020 OGCC Meeting Schedule
The OGCC Meeting Schedule for calendar year 2020 has been finalized:

• February 5, 2020 @ 9:30am (MT) Boise – Boise City Council Chambers
• May 13, 2020 @ 1:00pm (MT) Boise – State Capitol
• August 5, 2020 @ 1:00pm (MT) Boise – State Capitol
• November 4, 2020 @ 1:00pm (MT) Boise – State Capitol

Times, dates and locations are subject to change at the discretion of the OGCC.

Omnibus Rulemaking
At the September 25, 2019 Special OGCC Meeting, the OGCC voted to adopt the proposed rule as the pending rule for IDAPA 20.07.02 – Rules Governing Conservation of Oil and Natural Gas in the State of Idaho. The Notice of Adoption of Pending Fee Rule was published in a special edition of the Administrative Bulletin, Volume 19-11SE, on November 20, 2019:
Notice of Omnibus Rulemaking – Adoption of Pending Fee Rule – Docket No. 20-0000-1900F; page 3089 (IDAPA 20.07.02 begins on page 3254)

Well Activity – Plug and Abandon
Surface reclamation is ongoing with land owners for the Espino #1-2, State #1-17, Island Capital #1-19, White #1-10 and Korn #1-22.
The ML #1-10 has been P&A’d, and the ML #3-10 is using those lines.
The Tracy Trust #3-2 is showing residual pressure of approximately 15-18 PSI and is being monitored daily to evaluate next steps.

News Article(s) of Interest
WYOMING:
Scoping period opened for Wyoming pipeline corridor initiative
https://www.tsln.com/news/scoping-period-opened-for-wyoming-pipeline-corridor-initiative/

UTAH:
Utah oil and gas agency pursues its first fine in nearly 25 years
https://www.sltrib.com/news/environment/2019/11/22/utah-oil-gas-agency/
see attached pdf: SL Trib oil and gas fine

Audit: Utah’s oil and gas division has alarming lack of oversight
https://www.deseret.com/utah/2019/11/19/20972726/audit-utahs-oil-and-gas-division-has-alarming-lack-of-oversight

NOTE: The Idaho Department of Lands Oil & Gas Division actively monitors all oil & gas activities in the state, and the Commission has approved corrective guidance and fines to operators as needed. The Oil & Gas Division has lead or provided guidance on two audits of the industry over the past 24 months. Additional information can be found at the Commissions web page https://ogcc.idaho.gov/

Information can be found on the Idaho Geological Survey Oil & Gas page and in the Overview of the Idaho Geological Survey Oil & Gas Program document hosted on the Idaho Geological Survey website.

Mick Thomas

Division Administrator, Oil & Gas

Secretary to the Oil & Gas Conservation Commission

This update was sent to the Commission on Friday, November 15. 

Current Items:
IGS Meeting
Town Hall Outcome
Well Activity – Additional Logs and Plug and Abandon
News Article(s) of Interest

IGS Meeting
Last week I attended the annual Idaho Geological Survey Advisory Board meeting on behalf of the Land Board. The IGS is designated in Idaho Code 47-201 to be the lead state agency for the collection, interpretation, and dissemination of geologic and mineral data for Idaho. This includes geological data related to Oil and Gas.

Towards that end, the IGS is wrapping up a project on the Western Snake River Plain in SW Idaho. This project discusses Basin Analysis, Reservoir Characterization and Performance, and Source Rock Evaluation. The project is near completion and will be linked on the OGCC website for review.

Town Hall Outcome
Last Wednesday’s town hall was well attended. The department provided an update regarding the recently plugged wells, as well as answers to questions from Payette County residents and other concerned citizens. Commissioner Shigeta was in attendance.

Well Activity –Additional Logs and Plug and Abandon
1. The Department contacted the operator regarding logs for the Schwarz #1-10. The operator responded within 24 hours and those historical logs are now posted at : https://ogcc.idaho.gov/well-files/uswn-11-075-20008-schwarz-1-10/

2. The department continues to monitor plug and abandon activity in Western Idaho. The Espino #1-2, State #1-17, ML Investments #1-10, Island Capitol #1-19, White #1-10, and Korn #1-22 are plugged and the Tracy Trust #3-2 well plug is set while the wellhead and casing remain in place.

Abandonment procedures are ongoing. Once the Department receives the final plugging report, and after a final post reclamation inspection we will consider the wells to be plugged and abandoned.

Below is the current status:

a. Espino #1-2: plugged: well head and security cage removed, casing cut off six feet below ground level and surface plug set. Pad reclamation has commenced, the sequence will be based on landowner’s requests. This well is located in a cultivated field.

b. State #1-17: plugged: well head and security cage removed, casing cut off six feet below ground level and surface plug set. Landowner has requested to utilize the pad for future use and is negotiating with operator regarding fencing and other production facility equipment.

c. ML Investments #1-10: plugged; well head and security cage removed, casing cut off six feet below ground level and surface plug set. Gathering lines are being utilized for the ML Investments #3-10 so concrete barriers will be re-installed around surface lines. This well is located within the Little Willow Gathering Facility.

d. Island Capitol #1-19: plugged; well head and security cage removed, casing cut off six feet below ground level and surface plug set. Landowner has requested to utilize the pad for future use.

e. White #1-10: plugged: well head and security cage removed, casing cut off six feet below ground level and surface plug set. Pad reclamation has commenced, the sequence will be based on landowner’s requests. This well is located in a cultivated field.

f. Korn #1-22: plugged: well head and security cage removed, casing cut off six feet below ground level and surface plug set. Pad reclamation has commenced, the sequence will be based on landowner’s requests. This well is located in a cultivated field.

g. Tracy Trust #3-2: downhole plug set; wellhead and casing remain in place. This well is showing a slight amount of pressure at the surface (12 psi on the 9 5/8 casing annulus, 2 psi on the 5 ½ casing annulus, steady after 1-3 days). The pressure is being monitored and recorded by the operator. The Department is in communication with the operator and will discuss possible additional measures early next week if the pressure does not bleed off naturally or begins to rise.

News Article(s) of Interest
BLM halts leases after sage grouse, climate legal brawl (PDF).

The Department continues to monitor plug and abandon activity in Western Idaho. The Espino #1-2, State #1-17, ML Investments #1-10, Island Capitol #1-19, White #1-10, and Korn #1-22 are plugged and the Tracy Trust #3-2 well plug is set while the wellhead and casing remain in place. Abandonment procedures are ongoing. Once the Department receives the final plugging reports, and after a final post reclamation inspection, we will consider the wells to be plugged and abandoned.

 

The Department contacted the operator regarding logs for the Schwarz #1-10. The operator responded within 24 hours and those historical logs are now available on the Schwarz 1-10 Well File Page.

The 2016 and 2017 Revised Plant Reports are now available.  Please see the Monthly and Annual Reports page for more information.

The OGCC meeting is on Wednesday, November 13, 2019 at 1:00pm (MT). The meeting will be held in the Idaho State Capitol, room EW42. More information can be found on the Commission Meetings page.