R 324.203 Lost holes.

Rule 203.

          (1)      A permittee of a well shall obtain approval to skid a rig or move to start a new hole when a hole has been lost.  A new permit or additional fee is not required if the new location for the well is within 165 feet of the lost hole and the drilling unit is not changed.

          (2)      A permittee of a well may obtain approval for skidding a rig or moving to a new location for the well because of a lost hole from the authorized representative of the supervisor in person or by telephone.  Approval may be granted immediately if all of the following provisions are complied with:

                    (a)      The lost hole shall be plugged before starting the replacement hole under the provisions of these rules.

                    (b)      The new location for the well shall be made at a safe distance from the lost hole.

                    (c)      The new bottom hole location shall conform to applicable spacing.

                    (d)      The new location for the well shall not create surface waste.

                    (e)      An amended application with corrected attachments and supplements shall be filed within 5 business days at the offices of the Michigan Department of Environmental Quality, Geological and Land Management Division, P.O. Box 30256, Lansing, Michigan 48909.  In addition to other enforcement actions, failure to comply with this subrule shall be cause for suspension of any or all components of the oil and gas operations on the well.

                    (f)       A well log and well plugging record shall be filed on all lost holes under the provisions of these rules.

History: 1996 MR 9, Eff. Sept. 20, 1996; 2002 MR 23, Eff. Dec. 21, 2002.