1. (a) Definitions for purposes of this section:

   1. (1) “Crude oil tank battery” means crude oil storage tanks and other vessels commonly used in the production and temporary storage of crude oil;
   2. (2) “DEQ” means the Division of Environmental Quality;
   3. (3) “Director” means the Oil and Gas Commission Director of Production and Conservation;
   4. (4) “EPA” means the United States Environmental Protection Agency;
   5. (5) “Gas well produced fluids storage tanks” means tanks or other vessels commonly used for the temporary storage of fluids produced with natural gas prior to disposal;
   6. (6) “Lease” means a tract of land under agreement by an owner or person for the purpose of producing oil and/or gas and allocating that production for himself or herself or the owners of the oil and gas rights under that tract of land;
   7. (7) “Permit holder” means the operator or person who is duly authorized to develop a lease or unit as owner or through agreement and has the right to drill and produce from any field or reservoir and to appropriate the production for himself or herself or others;

   8. (8) “Produced fluids” means those fluids produced or generated during the crude oil production and separation process and shall include:

      1. (A) Crude oil, crude oil bottom sediment; and
      2. (B) All waters regardless of chloride content associated with production of oil and/or gas;
   9. (9) “Oil well produced fluids storage tanks” means tanks or other vessels commonly used for the temporary storage of fluids produced with crude oil prior to disposal;
   10. (10) “Oil well produced fluids storage tanks” means tanks or other vessels commonly used for the temporary storage of fluids produced with crude oil prior to disposal;
   11. (11) “RCRA” means Subtitle C of the Federal Resource Conservation Recovery Act of 1976, Pub. L. No. 94-580; and

   12. (12) “USDW” means Underground Source of Drinking Water which is defined as an aquifer or its portion which:

       1. (A) Supplies any public water system or contains a sufficient quantity of groundwater to supply a public water system and currently supplies drinking water for human consumption or contains fewer than ten thousand milligrams per liter (10,000 mg/l) total dissolved solids; and
       2. (B) Which is not an exempted aquifer (see Title 40 of the Code of Federal Regulations).

2. (b) Well identification.

   1. (1)

      1. (A) Each oil and/or gas well shall have a legible sign placed at the well showing the permit holder and the well name and number as shown on the permit as listed in the Oil and Gas Commission records.
      2. (B) If the lease is a single well lease, the well sign may be placed at the associated tank battery or lease entrance.

   2. (2)

      1. (A) Every entrance from a public road to north Arkansas gas well sites shall have a legible sign placed at that entrance.
      2. (B) The sign shall show:

3. (i) The name of the permit holder;

   1. (ii) A list of all wells accessed by that entrance;

      1. (iii) The section, township, and range; and

         1. (iv) A telephone number at which the permit holder or his or her authorized agent can be reached during an emergency.
   2. (3) For any newly drilled well, the required sign shall be posted within forty-five (45) days after cessation of drilling operations.

   3. (4)

      1. (A) Any changes or corrections in the well information required to be posted in accordance with this section shall be made to the well signs within sixty (60) days after the change occurs, or in the case of a transfer of well ownership, within sixty (60) days after the effective date of the transfer in the Oil and Gas Commission records.

      2. (B) All prior signs, if not correct, shall be removed.

         1. (c) Crude oil tank batteries and oil well produced fluids storage tanks.

   4. (1)

      1. (A) All existing and newly constructed crude oil tank batteries and oil well produced fluids storage tanks shall be registered with the Oil and Gas Commission and assigned an Oil and Gas Commission registration number.
      2. (B) Registration shall be reported to the Oil and Gas Commission utilizing information as reported on the existing Oil and Gas Commission Form 6 Monthly Producers Report.
   5. (2) All crude oil tank battery and oil well produced fluids storage tank registrations shall be transferred, at the time of associated well transfers, utilizing the approved notice of well transfer forms filed with the Oil and Gas Commission.

   6. (3)

      1. (A) Each crude oil tank battery and oil well produced fluids storage tank shall have a legible sign in a conspicuous place on or near the crude oil storage tank.

      2. (B) The sign shall show:

         1. (i) The name of the permit holder who holds the Oil and Gas Commission permit to operate the lease or unit;
         2. (ii) The lease name;
         3. (iii) The section, township, and range; and
         4. (iv) A telephone number at which the permit holder or his or her authorized agent can be reached during an emergency.

   7. (4)

      1. (A) All crude oil tank batteries and oil well produced fluids storage tanks shall be surrounded by containment dikes or other containment structures as may be appropriate under the circumstances, as approved by the Director of Production and Conservation.
      2. (B) All containment dikes or other approved structures shall be constructed or installed in accordance with subsection (e) of this section, below.

   8. (5) All crude oil tank batteries and oil well produced fluids storage tanks constructed after the effective date of this section shall not be located within:

      1. (A)

         1. (i) Two hundred feet (200’) of an existing occupied habitable dwelling, unless the current owner of the structure has provided a written waiver consenting to the construction closer than two hundred feet (200’), in which case the tank battery shall be completely fenced to prevent unauthorized access.
         2. (ii) However, in no event may a tank battery be constructed closer than one hundred feet (100’) to an existing habitable dwelling;
      2. (B) Three hundred feet (300’) of a school, hospital, or other type of public use building as defined in Arkansas Fire Prevention Code § 3406.3.1.3.1, 12 CAR pt. 14; or
      3. (C) Three hundred feet (300’) of a stream or river designated as an extraordinary resource water (ERW), natural and scenic waterways, or ecological sensitive waterbodies as defined by Arkansas Pollution Control and Ecology Commission, 8 CAR pt. 21, or within two hundred feet (200’) of other streams, waterways, rivers, ponds, lakes, wetlands (unless approved by other appropriate governmental agencies), or other bodies of water (as indicated by a blueline designation on a seven and one-half (7.5) minute United States Geological Survey topographic map), unless the permit holder utilizes additional containment measures other than the required containment specified in subsection (e) of this section, below, as approved by the director.
   9. (6) All crude oil tank batteries and oil well produced fluids storage tanks or any part of such tanks shall not be buried below the ground surface.
   10. (7) All crude oil tank batteries and oil well produced fluids storage tanks shall be maintained in a leak-free condition.

   11. (8) All open top tanks shall be covered with bird netting or other system designed to keep birds and flying mammals from landing in the tank.

       1. (d) Gas well produced fluids storage tanks.
   12. (1) Tanks or any part of such tanks shall not be buried below the ground surface.
   13. (2) All tanks shall be maintained in a leak-free condition.
   14. (3) All open top tanks shall be covered with bird netting or other system designed to keep birds and flying mammals from landing in the tank.

   15. (4) Tanks constructed after the effective date of this section shall not be located within:

       1. (A)

          1. (i) Two hundred feet (200’) of an existing occupied habitable dwelling, unless the current owner of the structure has provided a written waiver consenting to the construction closer than two hundred feet (200’), in which case the tank battery shall be completely fenced to prevent unauthorized access.
          2. (ii) However, in no event may a tank battery be constructed closer than one hundred feet (100’) to an existing habitable dwelling;
       2. (B) Three hundred feet (300’) of a school, hospital, or other type of public use building as defined in Arkansas Fire Prevention Code Section 3406.3.1.3.1, 12 CAR pt. 14; or
       3. (C) Three hundred feet (300’) of a stream or river designated as an extraordinary resource water (ERW), natural and scenic waterways, or ecological sensitive waterbodies as defined by Arkansas Pollution Control and Ecology Commission, 8 CAR pt. 21, or within two hundred feet (200’) of other streams, waterways, rivers, ponds, lakes, wetlands (unless approved by other appropriate governmental agencies), or other bodies of water (as indicated by a blueline designation on a seven and one-half (7.5) minute United States Geological Survey topographic map), unless the permit holder utilizes additional containment measures other than the required containment specified in subsection (e) of this section, below, as approved by the director.

   16. (5)

       1. (A) All tanks containing produced fluids or equipped to receive produced fluids shall be surrounded by containment dikes or other containment structures as may be appropriate under the circumstances, as approved by the director.
       2. (B) All containment dikes or other approved structures shall be constructed or installed in accordance with subsection (e) of this section, below.

4. (e) Containment dikes or other containment structures.

   1. (1) All crude oil tank batteries, oil well produced fluids storage tanks, and gas well produced fluids storage tanks shall be surrounded by containment dikes or such other structure as may be appropriate under the circumstances as approved by the director to prevent waste, protect life, health, or property, unless an exception is granted by the Oil and Gas Commission following notice and hearing.
   2. (2) Required containment dikes or other approved structures shall be designed to have a capacity of at least one and one-half (1 1/2) times the largest tank the containment dike or approved structure surrounds.
   3. (3) The natural or human-made material utilized for the construction of the required containment dikes or other approved structures and the natural or human-made material used to line the bottom of the containment area shall be sufficiently impervious so as to contain fluids and resist erosion.
   4. (4) Vegetation on the top and outside surface of containment structures shall be properly maintained so as to not pose a fire hazard.

   5. (5)

      1. (A) The area within the containment dike or other approved containment structure shall be kept free of excessive vegetation, stormwater, produced fluids, other oil and gas field related debris, general trash, or any flammable material.
      2. (B) Drain lines installed through the firewall, for the purpose of draining stormwater, shall have a valve installed which shall remain closed and capped when not in use.

      3. (C) Any fluids collected, spilled, or discharged within such containment structures shall be removed as soon as practical, using the following proper disposal methods:

         1. (i) Stormwater, which has not been mixed with nonexempt RCRA waste as defined by the United States Environmental Protection Agency, may be drained from the containment structure provided the following conditions are met:
5. (a) (a) The chloride content shall not exceed applicable state water quality standards;

6. (b) (b) There must be no visible evidence of hydrocarbons or hydrocarbon sheen present;

   1. (c) (c) The discharge shall only take place during daylight hours;

      1. (d) (d) A representative of the permit holder must be present during discharge, unless otherwise approved by the director; and

7. (e)

   1. (1) (e)(1) The permit holder shall maintain a record of each stormwater discharge occurring in the previous six-month period, and which shall be available for review upon request by Oil and Gas Commission staff.

   2. (2) (2) The record shall indicate the location, quantity, chloride content, presence of any hydrocarbons (sheen), and date of discharge;

      1. (ii) Produced fluids which have not been mixed with nonexempt RCRA waste as defined by the United States Environmental Protection Agency may be recycled through the production equipment or removed from the containment structure and disposed in a properly permitted Class II UIC well;

         1. (iii) All stormwater and produced fluids which have been mixed with nonexempt RCRA waste as defined by the United States Environmental Protection Agency shall be removed and disposed in accordance with applicable Arkansas Pollution Control and Ecology Commission rules, as administered by the Division of Environmental Quality; and
         2. (iv) Crude oil bottom sediments (BS&W) may be:

8. (a) (a) Applied on oil field lease roads under the following conditions:

   1. (1) (1) Application shall be in such a manner as to avoid runoff onto immediately adjacent lands or into waters of the state;
   2. (2) (2) Immediately following completion of the application, all liquid fractions shall be immediately incorporated into the road bed with no visible free-standing oil;
   3. (3) (3) No lease road shall be oiled more than twice a year;
   4. (4) (4) No lease road shall be oiled during precipitation events; and
   5. (5) (5) The applied BS&W shall not have a produced water content greater than ten percent (10%) free water by volume; or

9. (b) (b) Injected into an inactive oil and gas production well:

   1. (1) (1) Which has been equipped with tubing and packer, for the purpose of said injection, the packer to be set within the production casing at least fifty feet (50’) below the top of the production casing cement, but no less than five hundred feet (500’) below the base of the deepest USDW;
   2. (2) (2) Injection of the BS&W shall not exceed forty-five (45) days, after which time the well shall be immediately plugged in accordance with 15 CAR § 275-208; and
   3. (3) (3) If the director determines through field observations that the injection activities are endangering the USDW, the injection activities shall cease until the condition is corrected.
   4. (6) Any residual produced fluids remaining within the containment dike, after removal, as required in subdivision (e)(5) of this section, above, shall be remediated in place in accordance with 15 CAR § 275-222.
   5. (7) Any spill, leak, or discharge of produced fluids escaping from a containment dike shall be reported and remediated in accordance with 15 CAR § 275-222.

   6. (8) When a crude oil tank battery, oil well produced fluids storage tank, gas well produced fluids storage tank, or a gas well separator is removed, the permit holder shall:

      1. (A) Remove all aboveground piping and flowlines coming into said tanks or separator;
      2. (B) Cap all belowground piping and flowlines;
      3. (C) Level and grade soil portion of the containment dikes;
      4. (D) Remove from site all nonsoil containment structure construction material; and
      5. (E) Remediate all hydrocarbon contaminated soil at tank or separator site in accordance with 15 CAR § 275-222.

10. (f) Liquid hydrocarbon flowlines and produced fluid flowlines.

    1. (1)

       1. (A) All flowlines used in the production of liquid hydrocarbons constructed after the effective date of this section shall be buried at least twenty-four inches (24”) below the ground surface.

       2. (B) Flowlines may be exempt from these burial requirements upon approval of the director if, in the following circumstances, the:

          1. (i) Topographical features, land uses, or ground conditions prevent the efficient burial of flowlines;
          2. (ii) Suspected presence of numerous old abandoned flowlines in old producing fields renders the burial of new lines impractical, or which will significantly increase the likelihood of causing the discharge of crude oil from the old lines;
          3. (iii) Terms of the oil and gas lease or surface owner agreement prohibit the burial of flowlines;
          4. (iv) Flowlines are installed or placed within the lease road right-of-way; or
          5. (v) Flowlines from the well to the tank battery are entirely within the confines of the original drilling location.
    2. (2) All flowlines which cross and are not buried under natural drainage features such as creeks, streams, rivers, or intermittent streams or ravines shall be constructed in such fashion as to bridge the drainage feature to protect the flowlines from damage due to lack of adequate support, resulting in potential discharge and violation of the state water quality standards.
    3. (3) The director shall have the authority to require active flowlines existing on the effective date of this section to be replaced, buried, or constructed in accordance with subdivision (f)(2) of this section, above, or to require the visible aboveground inactive or abandoned portions of those abandoned flowlines to be removed and the open ends sealed if the director finds, based on field observation, that the flowlines constitute a hazard to public safety or can reasonably be expected to cause damage to the environment through leaks, spills, or discharges.

    4. (4)

       1. (A) No flowlines transporting produced water shall have an outlet valve installed for the purpose of discharging produced water between the place or well of origin and the authorized storage or disposal point.
       2. (B) A specialized valve, installed for the purpose of venting trapped air, following flowline maintenance is permissible.
    5. (5) Any spill, leak, or discharge from a flowline shall be reported and remediated in accordance with 15 CAR § 275-222.
11. (g) Natural gas production lines and gathering lines shall be installed and operated in accordance with 15 CAR § 275-406 or other applicable Oil and Gas Commission rules.

12. (h) Power lines.

    1. (1) All power lines installed after the effective date of this section shall be installed in such a manner as to prevent contact by vehicle or pedestrian travel.

    2. (2) The director shall have the authority to require power lines existing on the effective date of this section to be in compliance with subdivision (h)(1) of this section, above, if the director finds, based on field observation, that the power lines constitute a hazard to public safety.

       1. (i) Equipment use and storage.
    3. (1) All wellhead areas shall be kept free of excessive vegetation.
    4. (2) All production equipment, including but not limited to separators, heater treaters, piping, compressors, injection pumps, and chemical containers, shall be kept free of vegetation and maintained at all times in a safe and good working condition.

    5. (3)

       1. (A) Used refined oil from any production equipment such as pumpjacks, injection pumps, and compressors shall not be improperly disposed or placed in storage tanks containing produced water.
       2. (B) All used refined oil shall be disposed in accordance with Arkansas Pollution Control and Ecology Commission, 8 CAR pt. 81, Section 279.
    6. (4) Excess usable or operable production equipment, not integrally related to production activities on the lease, established drilling unit, or other unitized production area shall not be stored on any surface property unless written consent from the current surface owner where the production equipment is located has been granted to the permit holder to store such equipment, unless the equipment has been designated by the permit holder to be used in the future on that lease, established drilling unit, or other unitized production area, and the equipment and storage area, which shall be limited to an area in close proximity to existing well sites or production areas, are maintained and kept free of excessive vegetation.

    7. (5)

       1. (A) Other trash and debris, including, but not limited to, abandoned, unusable, or unrepairable junk tanks, treaters, tubulars, injection pumps, pump jacks, concrete, aboveground piping and flowlines, and any other general junk equipment or machinery shall not be stored on any surface property except that owned by the permit holder.
       2. (B) Removed trash and debris shall be disposed in accordance with applicable Division of Environmental Quality or other state agency rules.

13. (j) Production pits.

    1. (1) "Production pit", as used in this section, means an earthen surface impoundment, whether a human-made excavation or a diked area, which was or currently is used for temporary storage of produced fluids prior to disposal.
    2. (2) Construction of production pits, other than those pits previously authorized by Oil and Gas Commission orders are prohibited.
    3. (3) All other production pits in existence as of the effective date of this section shall cease to be used on the effective date of this section and closed within ninety (90) days after the effective date of this section in a manner prescribed by the Oil and Gas Commission and in accordance with all applicable state laws and rules, unless exempted in accordance with subdivision (j)(4) of this section, below.

    4. (4) Any production pit in existence as of the effective date of this section may not be subject to closure in accordance with subdivision (j)(3) of this section, above, if:

       1. (A) The pit is no longer used for temporary storage of produced fluids;
       2. (B) The water quality in the pit is less than one thousand five hundred (1,500) TDS with no visible sheen of oil;
       3. (C) A written, notarized authorization from the current surface owner has been received by the director requesting the pit not be closed and demonstrating an acceptable alternative use for the pit; and

       4. (D) In determining not to require the pit be closed, the director shall review the:

          1. (i) Current location of the pit relative to any ongoing production operations in the area; and
          2. (ii) Proposed alternative use relative to public health and safety considerations and potential use for agricultural, recreational, or wildlife habitat purposes.
    5. (5) If the director determines, based on a review of the information submitted by the operator and surface owner, the pit is not exempted, the pit shall be closed within six (6) months by the operator in accordance with subdivision (j)(3) of this section, above.

14. (k) Leaking permitted well.

    1. (1) Where any oil and gas reservoir fluids or saltwaters or other produced fluids are potentially leaking into the USDW as determined by geologic and field investigation, or are leaking onto the surface through a permitted well transferred to the permit holder, the permitted well shall be plugged by the permit holder.

    2. (2) Pending plugging of the well, all injection wells within a one-fourth-mile radius of the leaking drill hole shall be shut in until the well is plugged.

       1. (l) Leaking previously plugged well.
    3. (1) Where any oil and gas reservoir fluids or saltwaters are potentially leaking into the USDW or to the surface as determined by geologic and field investigation through a well plugged under applicable Oil and Gas Commission rules, the well shall be replugged by the original permit holder responsible for plugging the leaking well.
    4. (2) If the original permit holder is no longer in existence or cannot be located, the well shall be eligible for plugging through the Abandoned and Orphaned Well Plugging Fund.
    5. (3) Pending plugging of the well, all injection wells within a one-fourth-mile radius of the leaking well shall be shut in until the leaking well is plugged.

Codification Notes: “BS&W” means basic sediment and water. "TDS" means total dissolved water. This section as promulgated prior to codification into the Code of Arkansas Rules provided as follows: "(Source: 1992 rule book; amended July 13, 2003; amended October, 14, 2007; amended August 17, 2008; amended June 16, 2019; amended December 21, 2020)"