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Committee asks LSO to draft bill giving OGCC authority over commercial produced-water transfers
Summary
The Minerals, Business & Economic Development Committee unanimously asked the Legislative Service Office to draft legislation clarifying the Oil and Gas Conservation Commission's authority over commercial produced-water retention ponds, pipelines and custody transfers so the industry can expand reuse while assigning custody liability at permit-defined transfer points.
Tom Kopach, supervisor at the Wyoming Oil and Gas Conservation Commission, told the committee produced water — water produced in association with oil and gas operations — is already regulated by the commission in noncommercial contexts but that statutory gaps prevent clear permitting of commercial transfers and midstream water companies. "The commission has authority to regulate the location, construction, operation and reclamation of produced water retention pits," Kopach said, describing proposed statutory language to add commercial retention ponds, pipelines and transfers to that authority.
The request comes after Kopach outlined technical and economic benefits of reuse within the industry, including reduced…
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