MUST READ: The Truth about Permitting In Ohio

Energy in Depth's Shawn covers the tedious process of permitting in Ohio:

"A recent article in the Columbus Dispatch, entitled “Drillers: Ohio easy place to do business in,” left readers with the impression that Ohio has a rubber stamp system for permitting oil and gas development, and by extension a lack of proper scrutiny on safety and environmental protection. While it’s true that Ohio has an incredibly efficient permitting system, make no mistake: bringing a well online requires a heckuva lot more than a handshake and a couple of signatures.

In preparation for developing a well in Ohio — that means before securing an actual permit to drill — an operator must first fill out and submit an authority and organization form to the Ohio Department of Natural Resources (ODNR), specifically the Division of Oil and Gas Resources Management (DOGRM).  This form essentially acts as a registration of your company to develop oil and gas in the state.

Once the company has filed its notice to operate in the state, the company must next follow the bonding requirements set forth by Ohio Revised Code.  In addition to fulfilling the bonding requirements, companies must also make sure they meet the liability insurance requirements, also established by the Ohio Revised Code.  Both of these requirements must be met before the division will even consider moving forward with permitting.

It’s not a perfect analogy, but to put this in perspective: think about filling out those lovely forms at the DMV to get a driver’s license or license plates. Not exactly a fun and simple process, is it?

Once these qualifications have been met, the company can begin obtaining a permit.  The company must first fill out the application detailing how and where the well will be developed.  These items include:

  • Type of Well- Vertical, Directional, Horizontal, etc.
  • Type of Drill- Rotary, Cable, Service
  • Proposed Cementing and Casing Program- Up to 7 different casing strings, detailing Borehole depth and length; Casing depth and length; Cement volume and each formation the casings will be cemented back to the surface
  • General Information- Including API Well#, Formation, Lease Name, Location, Acreage, etc
  • Source of water used in production
  • EMA Contact Information
  • Road Use Maintenance Agreement

Even after all of the above-mentioned paperwork and filings are completed, an operator has still only barely scratched the surface in terms of developing a well.

After the company has filled out and submitted its application for permit, ODNR must review the permit to check for completeness.  The permit must be filled out correctly and have the proper fees in place to permit the well.  If they deem the permit not to be complete, it goes back to the company to correct and re-file. (To continue the analogy, have you ever made a mistake on a DMV form after waiting in line for two hours — and had to redo it? Yeah, that.)

If the permit is deemed complete, then local officials, possible affected mine owners, and the inspector are notified of the permit.  The permit name is also posted on the ODNR website...."

READ THE REST: http://www.eidohio.org/the-truth-about-permitting-in-ohio/

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