30 C.F.R. § 250.1102 Oil and gas production rates.
Title 30 - Mineral Resources
(a) MER. (1) The lessee shall submit a proposed MER for each producing sensitive reservoir on Form MMS–127, Request for Reservoir Maximum Efficient Rate (MER), along with appropriate supporting information to the Regional Supervisor within 45 days after discovering that a reservoir is sensitive. (2) The lessee may propose to revise an MER by submitting Form MMS–127 with appropriate supporting information. (3) The effective date of an MER for a reservoir or revision thereof shall be the first day of the month in which Form MMS–127 is submitted. (4) When approved, the MER shall not be exceeded, except as provided in paragraph (a)(5) of this section. (5) If a reservoir is produced at a rate in excess of the MER for any month, the lessee should initiate measures necessary to balance production (offset overproduction by underproduction) during the next succeeding month. All overproduction shall be balanced by the end of the next succeeding calendar quarter following the quarter in which the overproduction occurred. Any operation in an overproduction status in any reservoir for two successive calendar quarters shall be shut in from that reservoir until the actual production is equal to that which would have occurred under the approved MER, unless an alternative plan is approved by the Regional Supervisor. (6) The lessee shall review the MER for each producing sensitive reservoir at least once a year and submit Form MMS–127 with appropriate supporting information. (7) The lessee may request the reclassification of a reservoir from sensitive to nonsensitive and request approval for termination of an MER by submitting Form MMS–127 with information supporting the reclassification and termination. (8) At the request of the Regional Supervisor, the lessee shall furnish the information specified on Form MMS–127 for any producing nonsensitive reservoir. (9) Public information copies of Form MMS–127 shall be submitted in accordance with §250.186. (b) MPR. (1) The lessee shall propose an MPR for each producing well completion together with full information on the method used in its determination. The MPR shall be based on well tests and any limitations imposed by well and surface equipment, sand production, gas-oil and water-oil ratios, location of perforated intervals, and prudent operating practices. The sum of the MPR's of wells completed in a sensitive reservoir shall not exceed the approved MER. (2) The lessee shall conduct a well-flow potential test within 30 days of the date of first continuous production on all new, recompleted, and reworked well completions. Within 15 days after the end of the test period, the lessee must submit a proposed MPR with well potential test for the individual well completion on Form MMS–126, Well Potential Test Report. The initial MPR shall not exceed 110 percent of the test rate submitted and shall be effective on the first day of the month following the end of the test period if approved by the Regional Supervisor. During the 30-day period allowed for testing, the lessee may produce a new, recompleted, or reworked completion at rates necessary to establish the MPR. After the 30-day period and prior to approval of the initial MPR, a well completion may be produced at a rate not to exceed the proposed rate. The lessee shall report the total production obtained during the test period and shall identify all other wells completed in the reservoir on Form MMS–126. (3) At least one well test shall be conducted during a calendar half for producing oil-well and gas-well completions and results submitted on Form MMS–128, Semiannual Well Test Report. Well tests shall be submitted within 45 days of the day the test was conducted. (4) Unless otherwise ordered by the Regional Supervisor, a revised MPR shall automatically be approved for each well completion for each well test submitted equal to 110 percent of the test rate. The revised MPR will be effective on the first day of the month following the date the well test was conducted. Prior to the approval of a proposed increase of the MPR, a well completion may be produced at a rate not to exceed the proposed increased rate. (5) When a well test is not submitted during a calendar half for a producing oil-well or gas-well completion, the MPR will be automatically canceled effective on the first day of the appropriate following calendar half. (6) When the results of a semiannual well test for an oil-well or gas-well completion cannot be submitted within the specified time, the lessee shall request an extension of time for submitting those test results. The extension must be approved in advance by the Regional Supervisor to continue production under the last approved MPR. (7) When approved by the Regional Supervisor, an MPR shall not be exceeded, except as provided in paragraphs (b)(4) and (c) of this section. (8) Public Information copies of Form MMS–126 shall be submitted in accordance with §250.186. (9) Public information copies of Form MMS–128 shall be submitted in accordance with §250.186. (c) Temporary rates. Temporary production rates resulting from normal variations and fluctuations exceeding a well MPR or reservoir MER shall not be considered a violation, provided that such production in excess of an approved MER is balanced by production in accordance with the provisions of paragraph (a)(5) of this section. [53 FR 10690, Apr. 1, 1988, as amended at 58 FR 49928, Sept. 24, 1993. Redesignated and amended at 63 FR 29479, 29486, May 29, 1998; 64 FR 72794, Dec. 28, 1999; 65 FR 2875, Jan. 19, 2000; 71 FR 19646, Apr. 17, 2006]
Title 30: Mineral Resources
PART 250—OIL AND GAS AND SULPHUR OPERATIONS IN THE OUTER CONTINENTAL SHELF
Subpart K—Oil and Gas Production Rates
§ 250.1102 Oil and gas production rates.
