Texas RRC Allows Underground Hydrocarbon Storage amidst Oversupply Concerns

By emagstage | Articles, News, News | Comments are Closed | 22 May, 2020 | 0

On May 5^th, the Texas Railroad Commission (RRC) released a temporary exception for oil and gas storage wells:

“16 Texas Administrative Code § 3.95: An exception authorizing underground hydrocarbon storage facility located in a geological formation other than an underground salt formation.”

This eases regulations for operators looking to permit a storage well, technically a Class II UIC well, as long as they can prove the receiving formation is adequately sealed off from other formations, specifically water bearing formations, and can prove capacity for the intended hydrocarbon load. This may be pivotal for operators that do not have direct access to pipelines or sufficient storage tanks and also allowing the conversion of injection wells to storage wells.

Visit our Storage, Production, and Shut-in Strategy Development page to learn more about how EnergyMakers Advisory Group can help you with your oil and gas storage concerns.

Class II UIC Well, Hydrocarbon Production, Hydrocarbon Storage, Oil and Gas Storage, Texas RRC, Underground Injection

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