South Carolina Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage)

• Category: Oil Gas and Minerals - Leases
• State: Multi-State
• Control #: US-OG-930
• Format: Word; Rich Text

Description

This form is an amendment to oil, gas and mineral lease to provide for gas storage. The South Carolina Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage) is a legislative modification that pertains to the storage of natural gas within the state's mineral lease agreements. This amendment is designed to address the increasing need for gas storage infrastructure and ensure efficient utilization of underground storage facilities. Under this amendment, lessees of oil, gas, and mineral leases in South Carolina can apply for the right to use specified portions of the leased area for gas storage purposes. This may include the injection and withdrawal of natural gas into underground reservoirs, promoting the region's energy security, and enhancing the stability of gas markets. The South Carolina Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage) allows for the designation of specific types of storage projects within the state: 1. Depleted Reservoir Storage: This involves utilizing depleted natural gas reservoirs, which were previously exploited for their primary purpose, as storage facilities. These reservoirs possess geological structures that provide secure containment for injected gas. 2. Aquifer Storage: In some cases, non-potable water aquifers can be repurposed for gas storage. Similar to depleted reservoir storage, these underground formations provide an effective solution for storing natural gas. 3. Salt Cavern Storage: The amendment also allows for the creation of salt caverns for gas storage. These caverns are formed through the mining of salt formations and are well-suited for gas storage due to their impermeable nature and large storage capacity. By implementing the South Carolina Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage), the state aims to encourage the development of gas storage projects, enabling more efficient utilization of natural gas resources and promoting a resilient energy sector. This amendment ensures that South Carolina remains well-positioned to support future energy demands, offer market stability, and bolster economic growth while maintaining environmental safeguards.

The South Carolina Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage) is a legislative modification that pertains to the storage of natural gas within the state's mineral lease agreements. This amendment is designed to address the increasing need for gas storage infrastructure and ensure efficient utilization of underground storage facilities. Under this amendment, lessees of oil, gas, and mineral leases in South Carolina can apply for the right to use specified portions of the leased area for gas storage purposes. This may include the injection and withdrawal of natural gas into underground reservoirs, promoting the region's energy security, and enhancing the stability of gas markets. The South Carolina Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage) allows for the designation of specific types of storage projects within the state: 1. Depleted Reservoir Storage: This involves utilizing depleted natural gas reservoirs, which were previously exploited for their primary purpose, as storage facilities. These reservoirs possess geological structures that provide secure containment for injected gas. 2. Aquifer Storage: In some cases, non-potable water aquifers can be repurposed for gas storage. Similar to depleted reservoir storage, these underground formations provide an effective solution for storing natural gas. 3. Salt Cavern Storage: The amendment also allows for the creation of salt caverns for gas storage. These caverns are formed through the mining of salt formations and are well-suited for gas storage due to their impermeable nature and large storage capacity. By implementing the South Carolina Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage), the state aims to encourage the development of gas storage projects, enabling more efficient utilization of natural gas resources and promoting a resilient energy sector. This amendment ensures that South Carolina remains well-positioned to support future energy demands, offer market stability, and bolster economic growth while maintaining environmental safeguards.