Arkansas Administrative Code Agency 178 - Arkansas Oil and Gas Commission
Here’s a clear overview of Arkansas Administrative Code, Agency 178 – Oil & Gas Commission:
📘 Agency 178 — Arkansas Oil & Gas Commission
Purpose & Authority
Established by the Arkansas Oil & Gas Conservation Act (Act 105 of 1939) to prevent waste, protect correlative rights, and regulate oil, gas, brine, and injection wells in the state (law.uark.edu).
🧭 Divisions & Key Rules
Division 00 – General (Outlines core procedural rules)
A‑1: Application of rules, regulations, and orders
A‑2: General hearing procedures
A‑3: Specific hearing requirements
A‑5: Enforcement processes (e.g., notices of violation)
B‑2: Financial responsibility and bonding
B‑3 to B‑44: Operations rules – spacing, plugging, casing, blowout prevention, transfers, etc.
C‑9, D, E‑3, H‑1/H‑2, etc.: Address injection, disposal, pipelines, and spill controls (law.cornell.edu, arkleg.state.ar.us).
Division 01 – Energy & Environment
Rules on underground gas storage facilities (Rule 178.01.20‑001)
General lease operating requirements (Rule 178.01.20‑002)
Transfers of well applications (Rule 178.01.22‑001) (regulations.justia.com).
🛠 Highlights of Enforcement: Rule A‑5
Notice of Non‑Compliance (NNC): For minor breaches without harm; allows 30 days to correct .
Notice of Violation (NOV): For serious or repeated infractions; could include fines, operation halts, or revocation (sos.arkansas.gov).
Civil penalties: Vary based on violation type and severity—administrative violations up to $1,000/day; environmental/disposal violations up to $2,500/day; dumping fines up to $100,000 (sos.arkansas.gov).
🏛 Legal & Historical Context
The Rule of Capture governed pre‑1939 extraction rights (landowners could extract what their wells captured) (law.uark.edu).
Act 105 (1939) created the commission and regulatory structure; Act 964 (2003) notably updated drilling units for horizontal and unconventional wells (law.uark.edu).
Commission rules have evolved over time, including significant amendments in the 1960s and early 2000s to address evolving industry practices .
✅ In Summary
Area
What It Covers
Administrative Setup
Hearing procedures, rule application
Operational Rules
Drilling, well construction, disposal, plugging
Environmental Safety
Spill control, casing integrity, leak protocols
Financial Assurance
Bonding, fees, and proof-of-responsibility
Enforcement Actions
NNCs, NOVs, fines, shutdowns, legal escalation
Specific Projects
Gas storage and well-transfer applications
If you're interested in a particular rule (like spacing, plugging, injection, or hearings) or need the exact text or statutory details, let me know—I can pull that up directly!
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