[Federal Register Volume 78, Number 132 (Wednesday, July 10, 2013)]
[Notices]
[Pages 41415-41418]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-16570]


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DEPARTMENT OF THE INTERIOR

Bureau of Safety and Environmental Enforcement

[Docket ID BSEE-2012-0018; OMB Control Number 1014-0002; 13XE1700DX 
EX1SF0000.DAQ000 EEEE500000]


Information Collection Activities; Submitted for Office of 
Management and Budget (OMB) Review; Comment Request: Oil and Gas 
Production Measurement, Surface Commingling, and Security

ACTION: 30-day Notice.

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SUMMARY: To comply with the Paperwork Reduction Act of 1995 (PRA), 
Bureau of Safety and Environmental Enforcement (BSEE) is notifying the 
public that we have submitted to OMB an information collection request 
(ICR) to renew approval of the paperwork requirements in the 
regulations under Subpart L, Oil and Gas Production Measurement, 
Surface Commingling, and Security. This notice also provides the public 
a second opportunity to comment on the paperwork burden of these 
regulatory requirements.

DATE: You must submit comments by August 9, 2013.

ADDRESSES: Submit comments by either fax (202) 395-5806 or email 
([email protected]) directly to the Office of Information 
and Regulatory Affairs, OMB, Attention: Desk Officer for the Department 
of the Interior (1014-0002). Please provide a copy of your comments to 
BSEE by any of the means below.
     Electronically: go to http://www.regulations.gov. In the 
entry titled, Enter Keyword or ID, enter BSEE-2012-0018 then click 
search. Follow the instructions to submit public comments and view all 
related materials. We will post all comments.
     Email [email protected], fax (703) 787-1546, or mail 
or hand-carry comments to: Department of the Interior; Bureau of Safety 
and Environmental Enforcement; Regulations and Standards Branch; 
Attention: Nicole Mason; 381 Elden Street, HE3313; Herndon, Virginia 
20170-4817. Please reference 1014-0002 in your comment and include your 
name and return address.

FOR FURTHER INFORMATION CONTACT: Nicole Mason, Regulations and 
Standards Branch, (703) 787-1605, to request additional information 
about this ICR. To see a copy of the entire ICR submitted to OMB, go to 
http://www.reginfo.gov (select Information Collection Review, Currently 
Under Review).

SUPPLEMENTARY INFORMATION: 
    Title: 30 CFR 250, Subpart L, Oil and Gas Production Measurement, 
Surface Commingling, and Security.
    OMB Control Number: 1014-0002.
    Abstract: The Outer Continental Shelf (OCS) Lands Act, as amended 
(43 U.S.C. 1331 et seq. and 43 U.S.C. 1801 et seq.), authorizes the 
Secretary of the Interior (Secretary) to prescribe rules and 
regulations necessary for the administration of the leasing provisions 
of the Act related to the mineral resources on the OCS. Such rules and 
regulations will apply to all operations conducted under a lease. 
Operations on the OCS must preserve, protect, and develop oil and 
natural gas resources in a manner that is consistent with the need to 
make such resources available to meet the Nation's energy needs as 
rapidly as possible; to balance orderly energy resource development 
with protection of human, marine, and coastal environments; to ensure 
the public a fair and equitable return on the resources of the OCS; and 
to preserve and maintain free enterprise competition.
    In addition to the general rulemaking authority of the OCSLA at 43 
U.S.C. 1334, section 301(a) of the Federal Oil and Gas Royalty 
Management Act (FOGRMA), 30 U.S.C. 1751(a), grants authority to the 
Secretary to prescribe such rules and regulations as are reasonably 
necessary to carry out FOGRMA's provisions. While the majority of 
FOGRMA is directed to royalty collection and enforcement, some 
provisions apply to offshore operations. For example, section 108 of 
FOGRMA, 30 U.S.C. 1718, grants the Secretary broad authority to inspect 
lease sites for the purpose of determining whether there is compliance 
with the mineral leasing laws. Section 109(c)(2) and (d)(1), 30 U.S.C. 
1719(c)(2) and (d)(1), impose substantial civil penalties for failure 
to permit lawful inspections and for knowing or willful preparation or 
submission of false, inaccurate, or misleading reports, records, or 
other information. Because the Secretary has delegated some of the 
authority under

[[Page 41416]]

FOGRMA to BSEE, 30 U.S.C. 1751 is included as additional authority for 
these requirements.
    The Independent Offices Appropriations Act (31 U.S.C. 9701), the 
Omnibus Appropriations Bill (Pub. L. 104-133, 110 Stat. 1321, April 26, 
1996), and OMB Circular A-25, authorize Federal agencies to recover the 
full cost of services that confer special benefits. Under the 
Department of the Interior's implementing policy, BSEE is required to 
charge fees for services that provide special benefits or privileges to 
an identifiable non-Federal recipient above and beyond those which 
accrue to the public at large. Applications for surface commingling and 
measurement are subject to cost recovery and BSEE regulations specify 
service fees for these requests.
    Regulations at 30 CFR part 250, Subpart L, implement these 
statutory requirements. We use the information to ensure that the 
volumes of hydrocarbons produced are measured accurately, and royalties 
are paid on the proper volumes. Specifically, we need the information 
to:
     Determine if measurement equipment is properly installed, 
provides accurate measurement of production on which royalty is due, 
and is operating properly;
     Obtain rates of production measured at royalty meters, 
which can be examined during field inspections;
     Ascertain if all removals of oil and condensate from the 
lease are reported;
     Ensure that the sales location is secure and production 
cannot be removed without the volumes being recorded;
     Review proving reports to verify that data on run tickets 
are calculated and reported accurately;
     Review gas volume statements and compare them with the Oil 
and Gas Operations Reports to verify accuracy.
    We will protect information from respondents considered proprietary 
under the Freedom of Information Act (5 U.S.C. 552) and its 
implementing regulations (43 CFR part 2), and under regulations at 30 
CFR 250.197, Data and information to be made available to the public or 
for limited inspection. No items of a sensitive nature are collected. 
Responses are mandatory.
    Frequency: Varies by section, but primarily monthly, or on 
occasion.
    Description of Respondents: Potential respondents comprise Federal 
oil, gas and sulphur lessees and/or operators.
    Estimated Reporting and Recordkeeping Hour Burden: The estimated 
annual hour burden for this information collection is a total of 30,856 
hours. The following chart details the individual components and 
estimated hour burdens. In calculating the burdens, we assumed that 
respondents perform certain requirements in the normal course of their 
activities. We consider these to be usual and customary and took that 
into account in estimating the burden.

 
                                                                                                                                           Annual burden
    Citation 30 CFR 250  Subpart L       Reporting or recordkeeping          Hour burden            Average No. of annual  responses           hours
                                                requirement                                                                                  (rounded)
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                                                                      Non-hour cost burdens
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                             Liquid Hydrocarbon Measurement
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(a)(1), (b)(1); 1203(b)(1);        Submit application for liquid  Simple: 7...............  49 Simple Applications..................             343
 1204(a)(1).                            hydrocarbon or gas
                                        measurement procedures or
                                        changes; or for commingling
                                        of production or changes.
                                                                     -----------------------------------------------------------------------------------
                                                                      $1,271 simple fee x 49 applications = $62,279
                                                                     -----------------------------------------------------------------------------------
                                                                      Complex: 26.............  75 Complex Applications.................           1,950
                                                                     -----------------------------------------------------------------------------------
                                                                      $3,760 complex fee x 75 applications = $282,000
--------------------------------------------------------------------------------------------------------------------------------------------------------
No fee...............................  Submit meter status and        2.......................  385 notifications.......................             770
                                        replacement notifications.
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1202(a)(4)...........................  Copy & send pipeline           1.......................  4 volumes...............................               4
                                        (retrograde) condensate
                                        volumes upon request.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(c)(1), (2); 1202(e)(4);           Record observed data,          Respondents record these items as part of normal business records                0
 1202(h)(1), (2), (3), (4);             correction factors & net       & practices to verify accuracy of production measured for sale
 1202(i)(1)(iv), (2)(iii); 1202(j).     standard volume on royalty     purposes
                                        meter and tank run tickets.
                                        Record master meter
                                        calibration runs. Record
                                        mechanical-displacement
                                        prover, master meter, or
                                        tank prover proof runs.
                                        Record liquid hydrocarbon
                                        royalty meter malfunction
                                        and repair or adjustment on
                                        proving report; record
                                        unregistered production on
                                        run ticket. List Cpl and Ctl
                                        factors on run tickets.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(c)(4) *.........................  Copy & send all liquid         20 minutes..............  20,282 tickets..........................           6,761
                                        hydrocarbon run tickets
                                        monthly.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(d)(4); 1204(b)(1)...............  Request approval for proving   2.......................  581 proving requests....................           1,162
                                        on a schedule other than
                                        monthly; request approval
                                        for well testing on a
                                        schedule other than every 60
                                        days.
                                                                     -----------------------------------------------------------------------------------
                                                                      2.......................  44 well test requests...................              88
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(d)(5) *.........................  Copy & submit liquid           20 minutes..............  8,793 reports...........................           2,931
                                        hydrocarbon royalty meter
                                        proving reports monthly &
                                        request waiver as needed.
--------------------------------------------------------------------------------------------------------------------------------------------------------

[[Page 41417]]

 
1202(f)(2) *.........................  Copy & submit mechanical-      20 minutes..............  77 reports..............................              26
                                        displacement prover & tank
                                        prover calibration reports.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(l)(2) *.........................  Copy & submit royalty tank     45 minutes..............  2 charts................................               2
                                        calibration charts before
                                        using for royalty
                                        measurement.
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1202(l)(3) *.........................  Copy & submit inventory tank   45 minutes..............  5 charts................................               4
                                        calibration charts upon       10 minutes..............  126 charts..............................              21
                                        request; retain charts for
                                        as long as tanks are in use.
--------------------------------------------------------------------------------------------------------------------------------------------------------
    Subtotal.........................  .............................  ........................  30,423 responses........................    14,062 hours
                                                                                               ---------------------------------------------------------
                                                                                                344,279 non-hour cost burdens
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                     Gas Measurement
--------------------------------------------------------------------------------------------------------------------------------------------------------
1203(b)(6), (8), (9) *...............  Copy & submit gas quality and  20 minutes..............  13,239 Statements.......................           4,413
                                        volume statements monthly or
                                        as requested.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1203(c)(1)...........................  Request approval for gas       1.2 hrs.................  529 requests............................             635
                                        calibration on a schedule
                                        other than monthly.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1203(c)(4) *.........................  Copy & submit gas meter        13 minutes..............  10 reports..............................               2
                                        calibration reports upon      7.5 minutes.............  19,431 reports..........................           2,429
                                        request; retain for 2 years.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1203(e)(1) *.........................  Copy & submit gas processing   1.2 hrs.................  1 record................................               1
                                        plant records upon request.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1203(f)(5)...........................  Copy & submit measuring        42 minutes..............  3 records...............................               2
                                        records of gas lost or used
                                        on lease upon request.
--------------------------------------------------------------------------------------------------------------------------------------------------------
    Subtotal.........................  .............................  ........................  33,213 responses........................     7,482 hours
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                   Surface Commingling
--------------------------------------------------------------------------------------------------------------------------------------------------------
1204(a)(2)...........................  Provide state production       6 hrs...................  1 report................................               6
                                        volumetric and/or fractional
                                        analysis data upon request.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1205(a)(2)...........................  Post signs at royalty or       2 hrs...................  1 sign..................................               2
                                        inventory tank used in
                                        royalty determination
                                        process.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1205(a)(4)...........................  Report security problems       18 minutes..............  2 calls.................................               1
                                        (telephone).
                                                                     -----------------------------------------------------------------------------------
    Subtotal.........................  .............................  ........................  4 responses.............................         9 hours
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                             Miscellaneous and Recordkeeping
--------------------------------------------------------------------------------------------------------------------------------------------------------
1200 thru 1205.......................  General departure and          1.3 hrs.................  5 requests..............................               7
                                        alternative compliance
                                        requests not specifically
                                        covered elsewhere in subpart
                                        L.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(e)(6)...........................  Retain master meter            23 minutes..............  1,200...................................             460
                                        calibration reports for 2
                                        years.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1202(k)(5)...........................  Retain liquid hydrocarbon      10 minutes..............  12,120..................................           2,020
                                        allocation meter proving
                                        reports for 2 years.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1203(f)(4)...........................  Document & retain measurement  15 minutes..............  3,540...................................             885
                                        records on gas lost or used
                                        on lease for 2 years at
                                        field location and minimum 7
                                        years at location of
                                        respondent's choice.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1204(b)(3)...........................  Retain well test data for 2    6.7 minutes.............  45,168..................................           5,044
                                        years.
--------------------------------------------------------------------------------------------------------------------------------------------------------
1205(b)(3), (4)......................  Retain seal number lists for   5 minutes...............  10,644..................................             887
                                        2 years.
--------------------------------------------------------------------------------------------------------------------------------------------------------
    Subtotal.........................  .............................  ........................  72,677 responses........................     9,303 hours
                                                                                               ---------------------------------------------------------
    Total Burden.....................  .............................  ........................  136,317 responses.......................    30,856 hours
                                                                                               ---------------------------------------------------------
                                                                                                $344,279 Non-Hour Cost Burdens
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Respondents gather this information as part of their normal business practices. The BSEE only requires copies of readily available documents. There is
  no burden for testing, meter reading, etc.


[[Page 41418]]

    Estimated Reporting and Recordkeeping Non-Hour Cost Burden: We have 
identified two non-hour cost burdens, both of which are cost recovery 
fees. Note that the actual fee amounts are specified in 30 CFR 250.125, 
which provide a consolidated table of all the fees required under the 
30 CFR 250 regulations. The non-hour cost burden total in this 
collection of information is an estimated $344,279. The cost burdens 
are for: (1) filing fees associated with submitting requests for 
approval of simple applications (applications to temporarily reroute 
production (for a duration not to exceed 6 months); production tests 
prior to pipeline construction; departures related to meter proving, 
well testing, or sampling frequency ($1,271 per application)) or, (2) 
submitting a request for approval of a complex application (creation of 
new facility measurement points (FMPs); association of leases or units 
with existing FMPs; inclusion of production from additional structures; 
meter updates which add buyback gas meters or pigging meters; other 
applications which request deviations from the approved allocation 
procedures ($3,760 per application)).
    Public Disclosure Statement: The PRA (44 U.S.C. 3501, et seq.) 
provides that an agency may not conduct or sponsor a collection of 
information unless it displays a currently valid OMB control number. 
Until OMB approves a collection of information, you are not obligated 
to respond.
    Comments: Section 3506(c)(2)(A) of the PRA (44 U.S.C. 3501, et 
seq.,) requires each agency ``. . . to provide notice . . . and 
otherwise consult with members of the public and affected agencies 
concerning each proposed collection of information . . .'' Agencies 
must specifically solicit comments to: (a) evaluate whether the 
collection is necessary or useful; (b) evaluate the accuracy of the 
burden of the proposed collection of information; (c) enhance the 
quality, usefulness, and clarity of the information to be collected; 
and (d) minimize the burden on the respondents, including the use of 
technology.
    To comply with the public consultation process, on November 15, 
2012, we published a Federal Register notice (77 FR 68144) announcing 
that we would submit this ICR to OMB for approval. The notice provided 
the required 60-day comment period. In addition, Sec.  250.199 provides 
the OMB control number for the information collection requirements 
imposed by the 30 CFR 250 regulations. The regulation also informs the 
public that they may comment at any time on the collections of 
information and provides the address to which they should send 
comments. We received one comment in response to the Federal Register 
notice, but it was not germane to the paperwork burden of this 
collection.
    Public Comment Procedures: Before including your address, phone 
number, email address, or other personal identifying information in 
your comment, you should be aware that your entire comment--including 
your personal identifying information--may be made publicly available 
at any time. While you can ask us in your comment to withhold your 
personal identifying information from public review, we cannot 
guarantee that we will be able to do so.
    BSEE Information Collection Clearance Officer: Cheryl Blundon (703) 
787-1607.

    Dated: June 20, 2013.
Robert W. Middleton,
Deputy Chief, Office of Offshore Regulatory Programs.
[FR Doc. 2013-16570 Filed 7-9-13; 8:45 am]
BILLING CODE 4310-VH-P