| ||||
| Public Act 098-0926 | ||||
| ||||
| ||||
AN ACT concerning regulation.
| ||||
Be it enacted by the People of the State of Illinois,
| ||||
represented in the General Assembly:
| ||||
Section 5. The Illinois Oil and Gas Act is amended by | ||||
changing Sections 6.1 and 21.1 as follows:
| ||||
(225 ILCS 725/6.1) (from Ch. 96 1/2, par. 5410)
| ||||
Sec. 6.1.
When the applicant has complied with all | ||||
applicable
provisions of this Act and the rules of the | ||||
Department, the Department
shall issue the permit. All | ||||
applications for a permit submitted to the Department shall | ||||
either be granted or denied in writing within 20 business days | ||||
after the date of receipt by the Department, unless the | ||||
applicant and Department mutually agree to extend the 20-day | ||||
period. If granted, the written permit shall be issued. If | ||||
denied, the Department shall provide specific requirements for | ||||
additional information or documentation needed for the | ||||
application to be considered and the permit issued. Upon | ||||
submission of the required information and documentation, the | ||||
same process and timeframe as provided in this Section shall | ||||
continue until either the permit is issued or it is determined | ||||
that the permit cannot be issued because of legal or regulatory | ||||
impediments. The Department shall respond in a timely manner to | ||||
any application or submission of additional information and | ||||
documentation after initial submission.
| ||
(Source: P.A. 85-1334.)
| ||
(225 ILCS 725/21.1) (from Ch. 96 1/2, par. 5433)
| ||
Sec. 21.1.
(a) The Department is authorized to issue | ||
permits for the
drilling of wells and to regulate the spacing | ||
of wells for oil and gas
purposes. For the prevention of waste, | ||
to protect and enforce the
correlative rights of owners in the | ||
pool, and to prevent the drilling of
unnecessary wells, the | ||
Department shall, upon application of any
interested person and | ||
after notice and hearing, establish a drilling unit
or units | ||
for the production of oil and gas or either of them for each | ||
pool,
provided that no spacing regulation shall be adopted nor | ||
drilling unit
established which requires the allocation of more | ||
than 40 acres of surface
area nor less than 10 acres of surface | ||
area to an individual well for
production of oil from a pool | ||
the top of which lies less than 4,000 feet
beneath the surface | ||
(as determined by the original or discovery well in the
pool), | ||
provided, however, that the Department may
permit the | ||
allocation
of greater acreage to an individual well than that | ||
above specified, and
provided further that the spacing of wells | ||
in any pool the top of which
lies less than 4,000 feet beneath | ||
the surface (as determined by the
original or discovery well in | ||
the pool) shall not include the fixing of a
pattern except with | ||
respect to the 2 nearest external boundary lines of
each | ||
drilling unit, and provided further that no acreage allocation | ||
shall
be required for input or injection wells nor for | ||
producing wells lying
within a secondary recovery unit as now | ||
or hereafter established.
| ||
(b) Drilling units shall be of approximately uniform size | ||
and shape for
each entire pool, except that where circumstances | ||
reasonably require, the
Department may grant exceptions to the | ||
size or shape
of any drilling unit
or units. Each order | ||
establishing drilling units shall specify the size and
shape of | ||
the unit, which shall be such as will result in the efficient | ||
and
economical development of the pool as a whole, and subject | ||
to the
provisions of subsection (a) hereof the size of no | ||
drilling unit shall be
smaller than the maximum area that can | ||
be efficiently and economically
drained by one well. Each order | ||
establishing drilling units for a pool
shall cover all lands | ||
determined or believed to be underlaid by such pool,
and may be | ||
modified by the Department from time to time to include
| ||
additional lands determined to be underlaid by such pool. Each | ||
order
establishing drilling units may be modified by the | ||
Department to change
the size thereof, or to permit the | ||
drilling of additional wells.
| ||
(b-2) Any petition requesting a drilling unit exception | ||
shall be accompanied by a non-refundable application fee in the | ||
amount of $1,500 for a Modified Drilling Unit or Special | ||
Drilling Unit or a non-refundable application fee in the amount | ||
of $2,500 for a Pool-Wide Drilling Unit. | ||
(c) Each order establishing drilling units shall prohibit | ||
the drilling
of more than one well on any drilling unit for the | ||
production of oil or gas
from the particular pool with respect | ||
to which the drilling unit is
established and subject to the | ||
provisions of subsection (a) hereof shall
specify the location | ||
for the drilling of such well thereon, in accordance
with a | ||
reasonably uniform spacing pattern, with necessary exceptions | ||
for
wells drilled or drilling at the time of the application. | ||
If the Department
finds, after notice and hearing, that surface | ||
conditions would
substantially add to the burden or hazard of | ||
drilling such well at the
specified location, or for some other | ||
reason it would be inequitable or
unreasonable to require a | ||
well to be drilled at the specified location, the
Department | ||
may issue an order permitting the well to be drilled at a
| ||
location other than that specified in the order establishing | ||
drilling
units.
| ||
(d) After the date of the notice for a hearing called to | ||
establish
drilling units, no additional well shall be commenced | ||
for production from
the pool until the order establishing | ||
drilling units has been issued,
unless the commencement of the | ||
well is authorized by order of the Department.
| ||
(e) After an order establishing a drilling unit or units | ||
has been issued
by the Department, the commencement of drilling | ||
of any
well or wells into
the pool with regard to which such | ||
unit was established for the purpose of
producing oil or gas | ||
therefrom, at a location other than that authorized by
the | ||
order, or by order granting exception to the original spacing | ||
order, is
hereby prohibited. The operation of any well drilled | ||
in violation of an
order establishing drilling units is hereby | ||
prohibited.
| ||
(f) Any application or petition by any interested person | ||
for a drilling unit as provided in this Section shall be | ||
accepted and filed or not accepted and filed by the Department | ||
within 10 business days after receipt by the Department. If the | ||
petition is accepted and filed, a public hearing on the | ||
petition shall be scheduled not less than 30 days, but not more | ||
than 60 days, after the acceptance and filing by the | ||
Department. If not accepted, and filed, the Department shall | ||
provide specific requirements for additional information or | ||
documentation needed for the petition to be considered, | ||
accepted, and filed. Upon submission of the required | ||
information and documentation, the same process and timeframe | ||
as provided in this subsection (f) shall continue until the | ||
petition has been accepted and filed at which time a hearing | ||
shall be scheduled as previously stated in this subsection (f). | ||
The petition shall not be accepted and filed if it is | ||
determined by the Department that, under any circumstance, | ||
legal or regulatory impediments would prevent such acceptance | ||
and filing. If the Department does not timely respond to any | ||
petition or the submission of additional information or | ||
documentation after initial submission, then the petition | ||
shall be deemed to be in sufficient form for acceptance and | ||
filing and the Department shall proceed with the scheduling of | ||
a public hearing. The Department, after public hearing, shall | ||
either grant or deny the petition within 20 working days after | ||
the conclusion of the hearing. | ||
(g) Any petition by an interested person to establish | ||
drilling units for a pool as provided in this Section shall be | ||
accepted and filed or not accepted and filed by the Department | ||
within 10 business days after receipt by the Department. If the | ||
petition is accepted and filed, a public hearing on the | ||
petition shall be scheduled not less than 30 days, but not more | ||
than 60 days, after the acceptance and filing by the | ||
Department. If not accepted and filed, the Department shall | ||
provide specific requirements for additional information or | ||
documentation needed for the petition to be considered, | ||
accepted, and filed. Upon submission of the required | ||
information and documentation, the same process and timeframe | ||
as provided in this subsection (g) shall continue until the | ||
petition has been accepted and filed at which time a hearing | ||
shall be scheduled as previously stated in this subsection (g). | ||
The petition shall not be accepted and filed if it is | ||
determined by the Department that, under any circumstance, | ||
legal or regulatory impediments would prevent such acceptance | ||
and filing. If the Department does not timely respond to any | ||
petition or the submission of additional information or | ||
documentation after initial submission, then the petition | ||
shall be deemed to be in sufficient form for acceptance and | ||
filing and the Department shall proceed with the scheduling of | ||
a public hearing. The Department, after public hearing, shall | ||
either grant or deny the petition within 20 working days after | ||
the conclusion of the hearing. | ||
(Source: P.A. 97-1136, eff. 1-1-13.)
| ||
Section 99. Effective date. This Act takes effect September | ||
1, 2014.
| ||