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UIC Class II Primacy

The Commonwealth of Kentucky, Department for Natural Resources - Division of Oil & Gas was approved for Class II Primacy to administer the Underground Injection Control (UIC) program under section 1425 of the Safe Water Drinking Act; primacy on March 21, 2017.  Statutory authority for the Division of Oil and Gas to administer the UIC Class II program is provided under the Kentucky Revised Statue Chapter 353, specific statutory authority is addressed in statutes:  353.590(2), 353.591, 353.592 and 353.593.  Administrative regulation for the administration of the UIC Class II program is addressed in 805 KAR 1:110.

Class II Wells

Class II wells are injection of produced fluids from oil and gas operations which include the following: 

  • Enhanced recovery wells (majority of Class II wells in Kentucky)
  • Brine Disposal wells
  • Hydrocarbon storage wells (Not natural gas storage wells) 
    Reference: 805 KAR 1:110 (1)(6)(a-c)

     

USDW

USDW is an acronym for underground sources of drinking water which are defined as an aquifer, or portion of aquifer which:

  • Supplies any public water system; or
  • Contains a sufficient quantity of groundwater to supply a public system; and
  • Currently supplies drinking water for human consumption; or
  • Contains less than 10,000 mg/l total dissolved solids
    Reference: 805 KAR 1:110 (2)(28)

UIC Permits

Any person permitting a Class II well is required to submit a CLASS II PERMIT APPLICATION FOR UNDERGROUND INJECTION CONTROL (ED-14).  The application shall include a wellbore schematic diagram of the proposed well showing the proposed casing/construction plan identifying the USDW, proposed types and lengths of each casing string with proposed cement displacement, confining layer above the injection zone and the injection zone.  The proposed casing/construction plan must be designed to prevent vertical migration of fluid into the USDW.  The applicant shall also include an Area of Review (AOC) showing all wells within one-quarter (1/4) mile of the proposed injection well; all wells within the AOR must be constructed properly to insure there are no communicative pathways for infected fluids injection in the proposed well could potentially impact USDW's.  Additionally, statutory requirements of KRS 353.570(1) and (2) also apply to Class II permit applications.
Reference: 805 KAR 1:110 (2) and (11)


Financial Responsibility

The operator of each Class II well must demonstrate financial responsibility to effectively plug and abandon the well as directed by the Division of Oil & Gas.  Existing Class II wells in operation on the effective date of primacy (March 21, 2017) must submit a written request to USEPA-Region 4 requesting transfer of the financial responsibility from the EPA to the Division of Oil & Gas.
Reference: 805 KAR 1:110 (8)


MIT

All Class II injection wells must demonstrate there is no vertical fluid movement within the wellbore into a USDW by performing an internal mechanical integrity test (IMIT).  Enhanced Recovery Wells shall be tested for mechanical integrity every five (5) years and Brine Disposal Wells shall be tested every two (2) years or as directed by the Division of Oil & Gas.  An IMIT is performed by applying a minimum of 300 psi pressure on the tubing annulus with liquid (water) or gas (nitrogen) for a duration of at least 30 minutes.  There shall not be more than a 3% pressure loss (9 psi for 300 psi) during the test period to determine successful mechanical integrity on the tubing/packer assembly.  The IMIT must be witnessed and approved by a DOG inspector; the well operator must notify the Division in writing at least fifteen (15) days prior to the test.  The operator must file a CERTIFICATION OF MECHANICAL INTEGRITY (ED-22) upon successful completion of the test.  The form must be completed and signed by an authorized agent of the well operator as well as signed by the Division inspector certifying the IMIT.
Reference: 805 KAR 1:110(6)


Monitoring Reports

Class II well operators shall monitor and record injection pressure rates (psig) and volumes (bbls) at least monthly and shall submit the data on the ANNUAL DISPOSAL OR INJECTION WELL MONITORING REPORT (ED-18) and submit to the Division before January 28th for the previous year injection activities.  The owner or operator shall retain all records on file for a period of five (5) years.
Reference: 805 KAR 1:110 (4)(5)(c)


 

Permit Modifications

Permit modifications of Class II wells require notification to the Division of Oil & Gas within ninety (90) days prior to commencing the work detailing the proposed remedial activity on the injection well.  Any action requiring the unseating of the packer will require an IMIT prior to placing the well back into operation.  The well operator must file a WELL REWORK REPORT (ED-4) within thirty (30) days following the modification. 
Reference: 805 KAR 1:110(13)


Transfers

Ownership transfer of any Class II wells requires the notice given to the Division and submittal of a WELL TRANSFER FOR UIC WELLS (ED-26) along with a fee of twenty-five ($25) dollars for each well, the form will require the following:

 

  • The original operator's company name and address;
  • The successor's company name and address;
  • The permit number of the well;
  • The Carter Coordinate location;
  • The farm name and well number;
  • Signatures of the original operator and the successor operator or that of their official representatives; and 
  • Statement that the successor assumes all responsibility for the well and provides financial responsibility pursuant to Section 8 of this administrative regulation.

    Class II wells with an outstanding non-compliance shall not be transferred, unless the successor is willing to correct deficiencies and submit a corrective action plan which is approved by the division.
    Reference: 805 KAR 1:110 (2)(5)

Plugging and Abandonment

Class II well operators that plan to plug and abandon an injection well must notify the Division in writing within thirty (30) days prior to plugging; the Division inspector must also be contacted.  The well shall be plugged under the direction of a Division Inspector and a minimum must be done in accordance with the plugging and abandonment plan on file with the Division and in accordance with 805 KAR 1:060.  At the discretion of the Division and inspector, the plugging procedure may be altered to insure protection of the USDW.  Upon completion of plugging and abandonment, the well operator must submit an AFFIDAVIT TO TIME AND MANNER OF PLUGGING AND FILING WELL (ED-38).
Reference: 805 KAR 1:110(10)