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Puerto Rico Salt Water Disposal Lease and Agreement Using Existing Well Bore

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Multi-State
Control #:
US-OG-165
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Word; 
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This form is an agreement which may be entered into by a surface owner whose lands are not subject to an oil and gas lease.

Puerto Rico Salt Water Disposal Lease and Agreement Using Existing Well Bore A Puerto Rico Salt Water Disposal Lease and Agreement Using Existing Well Bore refers to a legal document and arrangement between a property owner or operator in Puerto Rico and a third party interested in utilizing an existing well bore for the disposal of salt water waste. Salt water, also known as brine or produced water, often accompanies the extraction of oil and gas reserves. Proper disposal of this saline wastewater is crucial for environmental and regulatory compliance. Instead of constructing new wells or disposal facilities, the Puerto Rico Salt Water Disposal Lease and Agreement allows interested parties to utilize pre-existing wells for efficient salt water disposal. The lease and agreement typically outline the terms, conditions, and obligations involved in accessing and using the well bore. Key components of the agreement may include: 1. Parties Involved: The agreement identifies the lessor (property owner) and the lessee (third party) participating in the agreement. 2. Well Identification: Detailed information regarding the existing well bore, including location, depth, and specifications, is provided in the agreement. 3. Lease Duration: The agreement specifies the duration of the lease, indicating the start and end dates for using the well bore for salt water disposal purposes. 4. Access and Inspection: Provisions are included to outline how the lessee will gain access to the well bore and how regular inspections and maintenance will be conducted to ensure proper operation. 5. Disposal Arrangements: The agreement defines the volume and frequency of salt water disposal that will be permitted and outlines any limitations or restrictions on the types of waste that can be disposed of. 6. Consideration and Payments: The lease may include provisions for the financial arrangements, such as upfront payments, ongoing rental fees, or revenue sharing between the lessor and the lessee. 7. Liability and Indemnification: Both parties' responsibilities and commitments regarding environmental compliance, liabilities, and indemnification are outlined in the agreement to ensure that any legal, financial, or environmental risks associated with salt water disposal are properly addressed. Types of Puerto Rico Salt Water Disposal Lease and Agreement Using Existing Well Bore Although there might not be specific categorizations of these leases, there can be variations based on the specific requirements or conditions set by either party. Some possible types of leases and agreements could include: 1. Fixed-Term Lease: A lease agreement with a predetermined duration, providing a clear timeline for the salt water disposal operations. 2. Flexible Volume Agreement: An agreement that allows for variable volumes of salt water disposal based on operational needs, considering fluctuations in production or other factors. 3. Shared Revenue Agreement: A lease arrangement where the lessor receives a percentage of the revenue generated from the salt water disposal activities. 4. Exclusive Use Agreement: An agreement granting the lessee exclusive rights to the well bore for salt water disposal, preventing other parties from accessing it during the lease period. These types are not mutually exclusive, and variations can be customized to fit the specific needs and circumstances of both parties involved in the lease and agreement. It's important to consult with legal and environmental professionals when entering into a Puerto Rico Salt Water Disposal Lease and Agreement to ensure compliance with local regulations and to protect the interests of all parties involved.

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A disposal well is often a depleted oil or gas well, into which waste fluids can be injected for safe disposal. A by-product of oil and gas production is water that was either trapped in the same deep formations, was injected to stimulate a formation (hydraulic fracturing), or was injected to enhance oil recovery.

Disposal wells inject saltwater into underground formations, often over a mile in depth, into sub-surface zones that already contain naturally occurring saltwater. In contrast, wells that supply fresh water can vary in depth throughout the state, but generally range from no deeper than a few hundred to a thousand feet.

Saltwater is often found in the same formations as oil because it was trapped in layers of sediment millions of years ago. For every barrel of oil produced, approximately 10 barrels of saltwater are also produced and require disposal.

Saltwater, or produced water, is a byproduct of natural gas and oil production. This water is heavily polluted with salt, hydrocarbons, and industrial compounds, making it hazardous to the environment. A Saltwater Disposal Well (SWD) injects the saltwater deep into the ground.

How Saltwater Disposal Works. Saltwater is typically ejected from the wells into natural underground formations sealed within an impenetrable rock to prevent the saltwater from escaping into surrounding soil and groundwater.

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This form is an agreement allowing a lessee to use an existing well bore for the purposes of disposing of salt water. Free preview. This form is an agreement which may be entered into by a surface owner whose lands are not subject to an oil and gas lease. Free preview.Adhere to the instructions below to fill out Salt Water Disposal Lease and Agreement Using Existing Well Bore online easily and quickly: Sign in to your account ... Dec 10, 2020 — Today we talk about produced water and things to consider if you are approached to sell or lease your land for a saltwater disposal well. 1. Entry of Well; Disposal of Water. Grantor hereby grants to Grantee the right to drill [recomplete] the Well and to attempt to complete the Well as a salt ... (c) Each owner of a Class I hazardous waste injection well, and the owner of the surface or subsurface property on or in which a Class I hazardous waste. • For water intake projects in Puerto Rico, the permittee must submit a PCN to the District. Engineer prior to commencing the activity, in accordance with ... Apr 6, 2011 — I am interested in hearing the dos and don'ts when negoiating the lease for a salt water well which is required for horizontal drilling. 26 U.S. Code § 168 - Accelerated cost recovery system ; Water utility property. 25 years ; Residential rental property. 27.5 years ; Nonresidential real property. This is accomplished through the use of whipstocks, bottomhole assembly (BHA) configurations, instruments to measure the path of the wellbore in three- ...

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Puerto Rico Salt Water Disposal Lease and Agreement Using Existing Well Bore