(b) Brine or salt water liquids shall not be stored or disposed of except as follows, unless an alternative procedure has been approved by the department after written application therefor and demonstration of good cause, said permission to be granted on an administrative basis or after public hearing at the discretion of the department:

1. (1) Brine or salt water may be stored prior to disposition in any watertight tank or container including an earthen pit which is underlaid by tight soil such as heavy clay or hardpan. Where the soil underlying the pit is porous and/or is closely underlaid by a gravel or sand stratum, impounding of brine or salt water in such earthen pit is prohibited unless the pit is lined with watertight material. The earthen pit shall be constructed and maintained so as to prevent escape of brine or salt water therefrom, including maintenance of the level of the impounded fluids, including those added by natural precipitation so that no fluids shall be allowed to escape over or into adjacent lands or into streams or other bodies of water. The department shall have the authority to condemn any pit which does not properly impound such water.
2. (2) Salt water may be disposed of by injection into the strata from which produced or other proved salt water bearing strata after application for such injection has been approved by the department and under such conditions as may be prescribed. Concurrently with the filing with the department of the application to dispose of salt water by injection, the applicant must send a copy of said application by registered mail to the operators of all leases or units offsetting the lease or unit on which the input well is or will be located and the application must be accompanied by a list of the names and addresses of the offsetting operators and a statement that each has been sent a copy of the application by registered mail, and the date of such mailing. Upon receipt of the application to dispose of salt water by injection, the department will hold same for 10 days. If within said 10-day period, any offset operator reciting reasonable cause, shall file in writing with the department a protest to such disposal, or if the department is not in accord with the proposed injection, the application shall be scheduled for public hearing. If no objection from either an offset operator or the department is interposed within the 10-day period and all other things being in order, the application will be approved and written permission for the injection will be issued by the department prescribing thereon any special conditions that must prevail. The compulsory 10-day waiting period will not be required if the application for permission to dispose of salt water by injection is accompanied by the written consent of the operators of all leases or units offsetting the lease or unit containing the well into which it is proposed to inject salt water and the department has no objection.