ABANDONMENT COST ESTIMATES (14 CCR §1753; PRC 3205.7)

  • New regulations took effect on October 1st 2024 requiring operators to submit cost estimates to CalGEM the plugging of wells, decommissioning of facilities, and remediation of activity sites
  • Deadlines to submit estimates vary according to operator production thresholds (average of 2021 calendar year)
  • CalGEM has identified 1,278 operators responsible for 11,000 active & idle wells in Group 1
  • Group 1 cost estimates were due 01/01/2025, and NOVs have been issued for failure to submit 
  • CJM Petroleum Consulting can help correct NOVs (for Group 1) or prepare submissions
  • ​In this regard, we offer three service tiers:

TIER 1

FEE*: $5/WELL
​DELIVERABLE: OG100 (Well Summary) catalog (.pdf)

TIER 2

FEE*: $10/WELL
​DELIVERABLE: Pre-populated CalGEM Method 1 spreadsheet (.xls)

TIER 3

FEE*: $15/ITEM
​DELIVERABLE: Turn-key submission with PE certification
* Fees subject to change, minimum charges may apply

TIER 1 SAMPLE

INPUT (list of well APIs)
OUTPUT (catalog of OG100 forms)

SB 1137

  • On June 27th 2024, the referendum challenge to the legislation proposed by SB 1137 was withdrawn
  • The requirements of this legislation became effective the following day
  • Over 2000 pending notices to conduct well work were returned to operators for compliance with SB 1137
  • All operators who submit an NOI to perform well work after June 27, 2024, are required to provide information as part of their NOI submittal in accordance with the requirements set forth in California Code of Regulations, title 14, sections (CCR) 1765.3, 1765.7, 1765.8, and 1765.9​
  • The bill requires operators filing a notice of intention to also submit either a sensitive receptor inventory and map of the area within the 3,200 feet radius of the wellhead or proposed wellhead location to the division, or  a statement certifying that the operator has confirmed that there are no sensitive receptors, as defined, located within 3,200-foot of the wellhead location, as provided.

WE CAN HELP!

Leveraging our industry, regulatory, and geospatial experience, we can assist you to achieve compliance with the mandates of SB 1137. Below is an example of our workflow product designed to satisfy the new requirements.