[Federal Register Volume 80, Number 166 (Thursday, August 27, 2015)]
[Notices]
[Pages 52061-52064]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-21278]


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DEPARTMENT OF THE INTERIOR

Bureau of Safety and Environmental Enforcement

[Docket ID BSEE-2015-0011; OMB Control Number 1014-0019; 15XE1700DX 
EEEE500000 EX1SF0000.DAQ000]


Information Collection Activities: Oil and Gas Production 
Requirements; Proposed Collection; Comment Request

ACTION: 60-day Notice.

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SUMMARY: To comply with the Paperwork Reduction Act of 1995 (PRA), BSEE 
is inviting comments on a collection of information that we will submit 
to the Office of Management and Budget (OMB) for review and approval. 
The information collection request (ICR) concerns a renewal to the 
paperwork requirements in the regulations under Subpart K, Oil and Gas 
Production Requirements.

DATES: You must submit comments by October 26, 2015.

ADDRESSES: You may submit comments by either of the following methods 
listed below.
     Electronically go to http://www.regulations.gov. In the 
Search box, enter BSEE-2015-0011 then click search. Follow the 
instructions to submit public comments and view all related materials. 
We will post all comments.
     Email [email protected]. Mail or hand-carry comments 
to the Department of the Interior; Bureau of Safety and Environmental 
Enforcement; Regulations and Standards Branch; ATTN: Cheryl Blundon; 
45600 Woodland Road, Sterling, VA 20166. Please reference ICR 1014-0019 
in your comment and include your name and return address.

FOR FURTHER INFORMATION CONTACT: Cheryl Blundon, Regulations and 
Standards Branch at (703) 787-1607 to request additional information 
about this ICR.

SUPPLEMENTARY INFORMATION: 
    Title: 30 CFR part 250, subpart K, Oil and Gas Production 
Requirements.
    Form(s): BSEE-0126 and BSEE-0128.
    OMB Control Number: 1014-0019.
    Abstract: The Outer Continental Shelf (OCS) Lands Act (OCSLA), at 
43 U.S.C. 1334 authorizes the Secretary of the Interior to prescribe 
rules and regulations necessary for the administration of the leasing 
provisions of that Act related to the mineral resources on the OCS. 
Such rules and regulations will apply to all operations conducted under 
a lease, right-of-way, or a right-of-use and easement. 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.
    Section 5(a) of the OCS Lands Act requires the Secretary to 
prescribe rules and regulations ``to provide for the prevention of 
waste, and conservation of the natural resources of the Outer 
Continental Shelf, and the protection of correlative rights therein'' 
and to include provisions ``for the prompt and efficient exploration 
and development of a lease area.''
    Section 1334(g)(2) states ``. . . the lessee shall produce such oil 
or gas, or both, at rates . . . to assure the maximum rate of 
production which may be sustained without loss of ultimate recovery of 
oil or gas, or both, under sound engineering and economic principles, 
and which is safe for the duration of the activity covered by the 
approved plan.''
    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 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, the Bureau of Safety 
and Environmental Enforcement (BSEE) is required to charge the full 
cost for services that provide special benefits or privileges to an 
identifiable non-Federal recipient above and beyond those that accrue 
to the public at large. Several requests for approval required in 
Subpart K are subject to cost recovery, and BSEE regulations specify 
service fees for these requests.
    Regulations implementing these responsibilities are among those 
delegated to BSEE. The regulations under 30 CFR 250, subpart K, pertain 
to governing oil and gas production, associated forms, and related 
Notices to Lessees (NTLs) and Operators. BSEE issued several NTLs to 
clarify and provide additional guidance on some aspects of the current 
subpart K regulations.
    We use the information in our efforts to conserve natural 
resources, prevent waste, and protect correlative rights, including the 
Government's royalty interest. Specifically, BSEE uses the information 
to:
     Evaluate requests to burn liquid hydrocarbons and vent and 
flare gas to ensure that these requests are appropriate;
     determine if a maximum production or efficient rate is 
required; and,
     review applications for downhole commingling to ensure 
that action does not result in harm to ultimate recovery.
    We use the information in Form BSEE-0126, Well Potential Test 
Report, for reservoir, reserves, and conservation

[[Page 52062]]

analyses, including the determination of maximum production rates 
(MPRs) when necessary for certain oil and gas completions. The 
information obtained from the well potential test is essential to 
determine if an MPR is necessary for a well and to establish the 
appropriate rate. The information in Form BSEE-0128, Semiannual Well 
Test Report, is used to evaluate the results of well tests to determine 
if reservoirs are being depleted in a manner that will lead to the 
greatest ultimate recovery of hydrocarbons. This information is 
collected to determine the capability of hydrocarbon wells and to 
evaluate and verify an operator's approved maximum production rate if 
assigned.
    No questions of a sensitive nature are asked. We protect 
proprietary information according to the Freedom of Information Act (5 
U.S.C. 552) and DOI's implementing regulations (43 CFR 2); 30 CFR 
250.197, Data and information to be made available to the public or for 
limited inspection; and 30 CFR part 252, OCS Oil and Gas Information 
Program. Proprietary information concerning geological and geophysical 
data will be protected according to 43 U.S.C. 1352. Responses are 
mandatory or are required to obtain or retain a benefit.
    Frequency: On occasion, weekly, monthly, semi-annually, annually, 
and as a result of situations encountered depending upon the 
requirements.
    Description of Respondents: Potential respondents comprise Federal 
oil, gas, or sulphur lessees and/or operators.
    Estimated Reporting and Recordkeeping Hour Burden: The currently 
approved annual reporting burden for this collection is 20,312 hours 
and $4,593,245 non-hour costs. In this submission, we are requesting a 
total of 46,136 burden hours and $1,361,176 non-hour cost burdens. The 
following chart details the individual components and respective hour 
burden estimates of this ICR. 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.

----------------------------------------------------------------------------------------------------------------
                                                                            Non-Hour cost burdens
                                          Reporting &       ----------------------------------------------------
30 CFR 250  Subpart K and related        recordkeeping                                             Annual burden
               NTLs                      requirement*          Hour burden      Average No. of         hours
                                                                               annual responses      (rounded)
----------------------------------------------------------------------------------------------------------------
                                  Well Tests/Surveys and Classifying Reservoirs
----------------------------------------------------------------------------------------------------------------
1151(a)(1), (c); 1167............  Conduct well production              3.4  587 forms and                 1,996
                                    test; submit Form BSEE-                   information.
                                    0126 (Well Potential
                                    Test Report) and
                                    supporting information
                                    within 15 days after
                                    end of test period.
----------------------------------------------------------------------------------------------------------------
1151(a)(2), (c); 1167............  Conduct well production              3.2  8,605 forms and              27,536
                                    test; submit Form BSEE-                   information.
                                    0128 (Semiannual Well
                                    Test Report) and
                                    supporting information
                                    within 45 days after
                                    end of calendar half-
                                    year.
----------------------------------------------------------------------------------------------------------------
1151(b)..........................  Request extension of                 0.6  8 requests.........               5
                                    time to submit results
                                    of semi-annual well
                                    test.
----------------------------------------------------------------------------------------------------------------
1152(b), (c);....................  Request approval to                  0.9  7 requests.........               6
                                    conduct well testing
                                    using alternative
                                    procedures.
----------------------------------------------------------------------------------------------------------------
1152(d)..........................  Provide advance notice               0.6  36 notices.........              22
                                    of time and date of
                                    well tests.
----------------------------------------------------------------------------------------------------------------
    Subtotal.....................  ........................  ..............  9,243 responses....          29,565
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                                          Approvals Prior to Production
----------------------------------------------------------------------------------------------------------------
1156; 1167.......................  Request approval to                 8.75  20 requests........             175
                                    produce within 500 feet
                                    of a unit or lease
                                    line; submit supporting
                                    information/
                                    documentation; notify
                                    adjacent operators and
                                    provide BSEE proof of
                                    notice date.
                                                            ----------------------------------------------------
                                                                        $3,892 x 20 requests = $77,840
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1156(b); 1158(b).................  Notify adjacent                     1.63  20 letters.........              33
                                    operators submit
                                    letters of acceptance
                                    or objection to BSEE
                                    within 30 days after
                                    notice; include proof
                                    of notice date.
----------------------------------------------------------------------------------------------------------------
1157; 1167.......................  Request approval to                 16.2  22 requests........             356
                                    produce gas-cap gas in
                                    an oil reservoir with
                                    an associated gas cap,
                                    or to continue
                                    producing an oil well
                                    showing characteristics
                                    of a gas well with an
                                    associated gas cap;
                                    submit producing an oil
                                    well showing
                                    characteristics of a
                                    gas well with an
                                    associated gas cap;
                                    submit supporting
                                    information.
                                                            ----------------------------------------------------
                                                                       $4,953 x 22 requests = $108,966
----------------------------------------------------------------------------------------------------------------

[[Page 52063]]

 
1158; 1167.......................  Request approval to                   24  30 applications....             720
                                    downhole commingle
                                    hydrocarbons; submit
                                    supporting information;
                                    notify operators and
                                    provide proof of notice
                                    date.
                                                            ----------------------------------------------------
                                                                     $5,779 x 30 applications = $173,370
----------------------------------------------------------------------------------------------------------------
    Subtotal.....................  ........................  ..............  92 responses.......           1,284
----------------------------------------------------------------------------------------------------------------
                                                                           $360,176 non-hour costs
----------------------------------------------------------------------------------------------------------------
                                   Flaring, Venting, and Burning Hydrocarbons
----------------------------------------------------------------------------------------------------------------
1160; 1161; 1163(e)..............  Request approval to                 2.55  231 requests/                   589
                                    flare or vent natural                     reports.
                                    gas or exceed specified
                                    time limits/volumes;
                                    submit evaluation/
                                    documentation; report
                                    flare/vent information
                                    due to blow down of
                                    transportation
                                    pipelines within 72
                                    hours after incident.
----------------------------------------------------------------------------------------------------------------
1160(b); 1164(b)(1), (2).........   H2S Contingency, Exploration, or Development and Production                0
                                     Plans and, Development Operations Coordination Documents--
                                        burdens covered under 1014-0018 and BOEM's 1010-0151.
                                     Monitor air quality and report--burdens covered under 1010-
                                                                0057.
----------------------------------------------------------------------------------------------------------------
1162; 1163(e)....................  Request approval to burn            1.25  3 requests/reports.               4
                                    produced liquid
                                    hydrocarbons;
                                    demonstrate no risk and/
                                    or submit documentation
                                    re transport. If
                                    approval needed, submit
                                    documentation with
                                    relevant information re
                                    hydrocarbons burned
                                    under the approval.
----------------------------------------------------------------------------------------------------------------
1163.............................  Initial purchase or               13 meters @$77,000 each--$1,001,000
                                    replacement of gas
                                    meters to measure the
                                    amount of gas flared or
                                    vented. This is a non-
                                    hour cost burden.
----------------------------------------------------------------------------------------------------------------
1163(a)(1).......................  Notify BSEE when                    1.25  33 notices.........              41
                                    facility begins to
                                    process more than an
                                    average of 2,000 bopd
                                    per month.
----------------------------------------------------------------------------------------------------------------
1163(b);.........................   Report to ONRR hydrocarbons produced, including measured gas               0
                                     flared/vented and liquid hydrocarbon burned--burden covered
                                                          under 1012-0004.
----------------------------------------------------------------------------------------------------------------
1163(a), (c), (d)................  Maintain records for 6              14.8  914 platforms (gas           13,527
                                    years detailing on a                      flare/vent).
                                    daily and monthly
                                    cumulative basis gas
                                    flaring/venting, liquid
                                    hydrocarbon burning;
                                    and flare/vent meter
                                    recordings; make
                                    available for
                                    inspection or provide
                                    copies upon request.
----------------------------------------------------------------------------------------------------------------
                                                                          1  60 Liquid                        60
                                                                              Hydrocarbon.
----------------------------------------------------------------------------------------------------------------
1164(c)..........................  Submit monthly reports               3.6  15 operators x 12               648
                                    of flared or vented gas                   mos. = 180.
                                    containing H2S.
----------------------------------------------------------------------------------------------------------------
    Subtotal.....................  ........................  ..............  1,434 responses....          14,869
                                                                            ------------------------------------
                                   ........................  ..............       $1,001,000 non-hour costs
----------------------------------------------------------------------------------------------------------------
                                               Other Requirements
----------------------------------------------------------------------------------------------------------------
1165.............................  Submit proposed plan and              12  18 plans...........             216
                                    supporting information
                                    for enhanced recovery
                                    operations.
----------------------------------------------------------------------------------------------------------------
1165(c)..........................     Submit periodic reports of volumes of oil, gas, or other                 0
                                       substances injected, produced, or produced for a second
                                            time--burden covered under ONRR's 1012-0004.
----------------------------------------------------------------------------------------------------------------
1166.............................  Alaska Region only:                    1  1 (req'd by State,                1
                                    submit annual reservoir                   BSEE gets copy).
                                    management report and
                                    supporting information.
----------------------------------------------------------------------------------------------------------------
                                                                        100  1 new development               100
                                                                              not State lands.
                                                            ----------------------------------------------------
                                                                         20  1 revision.........              20
----------------------------------------------------------------------------------------------------------------

[[Page 52064]]

 
1150-1167........................  General departure or                 2.8  29 submissions.....              81
                                    alternative compliance
                                    requests not
                                    specifically covered
                                    elsewhere in Subpart K.
----------------------------------------------------------------------------------------------------------------
    Subtotal.....................  ........................  ..............  50 responses.......             418
----------------------------------------------------------------------------------------------------------------
        Total Burden.............  ........................  ..............  10,819 responses...          46,136
                                                                            ------------------------------------
                                                                              $1,361,176 non-hour cost burdens.
----------------------------------------------------------------------------------------------------------------
* In the future, BSEE may require electronic filing of some submissions.

    Estimated Reporting and Recordkeeping Non-Hour Cost Burden: We have 
identified four non-hour cost burdens for this collection. Section 
250.1156 requires a fee ($3,892) to produce within 500 feet of a lease 
line request. Section 250.1157 requires a fee ($4,953) for a gas cap 
production request. Section 250.1158 requires a fee ($5,779) for a 
downhole commingling request. Section 250.1163 requires purchase and 
installation of gas meters ($77,000) to measure the amount of gas 
flared or vented for facilities that produce more than 2,000 bopd. We 
have not identified any other non-hour cost burdens associated with 
this collection of information.
    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: Before submitting an ICR to OMB, PRA section 
3506(c)(2)(A) 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.
    Agencies must also estimate the non-hour paperwork cost burdens to 
respondents or recordkeepers resulting from the collection of 
information. Therefore, if you have other than hour burden costs to 
generate, maintain, and disclose this information, you should comment 
and provide your total capital and startup cost components or annual 
operation, maintenance, and purchase of service components. For further 
information on this burden, refer to 5 CFR 1320.3(b)(1) and (2), or 
contact the Bureau representative listed previously in this notice.
    We will summarize written responses to this notice and address them 
in our submission for OMB approval. As a result of your comments, we 
will make any necessary adjustments to the burden in our submission to 
OMB.
    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.

    Dated: August 21, 2015.
Robert W. Middleton,
Deputy Chief, Office of Offshore Regulatory Programs.
[FR Doc. 2015-21278 Filed 8-26-15; 8:45 am]
BILLING CODE 4310-VH-P