Drilling Regulations

N.S. Reg. 29/2001

Nova Scotia — Regulations

Drilling Regulations

N.S. Reg. 29/2001

Nova Scotia — Regulations

This consolidation is unofficial and is for reference only.

For the official version of the regulations, consult the original documents on file with the Office of the Registrar of Regulations , or refer to the Royal Gazette

Part II .

Regulations are amended frequently.

Please check the list of Regulations by Act to see if there are any recent amendments to these regulations filed with our office that are not yet included in this consolidation.

Although every effort has been made to ensure the accuracy of this electronic version, the Office of the Registrar of Regulations assumes no responsibility for any discrepancies that may have resulted from reformatting.

This electronic version is copyright ©

, Province of Nova Scotia , all rights reserved. It is for your personal use and may not be copied for the purposes of resale in this or any other form.

Onshore Petroleum Drilling Regulations

made under

Section 27 of the

Petroleum Resources Act

R.S.N.S. 1989, c. 342

O.I.C. 2001-167 (effective March 30, 2001), N.S. Reg. 29/2001

amended to O.I.C. 2015-96 (effective April 1, 2015), N.S. Reg. 144/2015

Table of Contents

Please note: this table of contents is provided for convenience of reference and does not form part of the regulations.

Click here to go to the text of the regulations .

Citation

Interpretation

Application of regulations

Policy

Administrator

Offences

Drilling rig removal prohibited

Form and submission of application

Surveys

Application time frames

Application for amendment

Term

Renewal

Application fee

Review of application

Financial security and responsibility

Transfer, assignment or change of name

Operator to ensure compliance

Well drilling, re-entry, suspension, completion or abandonment

Land access consent

Separation distances and restrictions

Drill site access restricted

Drilling, re-entry, suspension, completion and abandonment activities

Availability of regulations

Display of Authorizations and critical procedures

Daily and weekly reports

Well evaluation - general

Suspended well

Well re-entry

Well completion

Operator responsible for abandoned wells

Well abandonment record

Continuing responsibility of operation

Well history report

Marine areas

Security and release of well information and materials

Confidential business information

Inspections

Operator audit/inspection reports

Certifying authority report

Suspension or cancellation of an Authorization

Surrender of exploration agreement or other agreement

Appeal

Citation

1 These regulations may be cited as the Onshore Petroleum Drilling Regulations .

Interpretation

2 In these regulations

(a) “abandoned” means, with respect to a well, a well that has been permanently

plugged;

(b) “Act” means the Petroleum Resources Act ;

(c) “Administrator” means a person designated by the Minister pursuant to

Section 5 and includes an acting Administrator;

(d) “applicant” means an operator who makes an application pursuant to these

regulations;

(e) “application” means an application made to the Administrator

(

i) for an Authorization pursuant to

Section 8,

(ii) for an amendment to an Authorization pursuant to

Section 11,

(iii) to renew an Authorization pursuant to

Section 13, or

(iv) to transfer or assign an Authorization pursuant to

Section 17;

(f) “Authority to Abandon” means an Authorization issued pursuant to clause

15(1)(

c) to abandon a well;

(g) “Authority to Drill” means an Authorization issued pursuant to clause

15(1)(

c) to construct a well;

(h) “Authority to Complete” means an Authorization issued pursuant to clause

15(1)(

c) to complete a well;

(i) “Authority to Re-enter” means an Authorization issued pursuant to clause

15(1)(

c) to re-enter a well;

(j) “Authority to Suspend ”means an Authorization issued pursuant to clause

15(1)(

c) to suspend a well;

(k) “Authorization” means an approval of the Administrator for any one of the

activities described in clauses (

f) to (j);

(l) “certifying authority” means a person engaged by the Administrator to

perform the duties described in

Section 40, and includes an employee or agent

of the certifying authority;

(m) “completed” means, in respect of a well, a well that has been drilled to permit

the

(

i) production of fluids from the well,

(ii) observation of the performance of a reservoir,

(iii) injection of fluids into the well, or

(iv) disposal of fluids into the well;

(n) “contractor” means a person who undertakes to perform any drilling, service

or other operation at a drill site under an agreement, directly or indirectly, with

either the operator or another person having a right with respect to or an

interest in the drill site;

(o) “development well” means a well that is drilled in a field or pool for the

purpose of the

(

i) production of fluids from the well,

(ii) observation of the performance of a reservoir,

(iii) injection of fluids into the well, or

(iv) disposal of fluids into the well;

(p) “discovery well” means an exploratory well that, in the opinion of the

Administrator, has encountered petroleum in quantities of commercial

significance;

(q) “drill site” or “well site” means a location where a drilling rig is or may be

installed;

(r) “drilling rig” means the equipment used to make a well by either boring or

other methods and includes a derrick, drawworks, rotary table, mud pump,

blowout preventer, accumulator, choke manifold and other associated

equipment including power, control and monitoring systems;

(s) “exploratory well” means a well, other than a development well, that is drilled

for the purpose of discovering petroleum or obtaining geological information;

(t) “inspector” means a person appointed by the Minister or Administrator

pursuant to subsection 38(1);

(u) “legal survey” means a survey conducted by a person licensed to practice land

surveying in Nova Scotia under the Land Surveyors Act ;

(v) “marine lands” means submerged lands not administered or managed by the

Canada-Nova Scotia Offshore Petroleum Board, including, but not limited to,

St. George’s Bay, Chedabucto Bay, and Minas Basin;

(w) “mineral” means mineral as defined in the Mineral Resources Act ;

(x) “mineral right” means mineral right as defined in the Mineral Resources Act ;

(y) “Minister” means the Minister responsible for the Petroleum Directorate;

(z) “offshore area” has the same meaning as in the Canada-Nova Scotia Offshore

Petroleum Resources Accord Implementation (Nova Scotia) Act ;

(aa) “operator” means a person who holds a petroleum right under the Act and a

valid Authorization, and includes

(

i) the representative of the person, and

(ii) a contractor employed or hired by the person;

(ab) “petroleum” means petroleum as defined in the Act;

(ac) “petroleum drilling practice” means drilling exploratory wells in accordance

with accepted industry practice, including

(

i) specifications of the American Petroleum Institute (API), as amended

from time to time,

(ii) Recommended Practices of Alberta (ARP) or Industry (IRP), as

developed by the Canadian Petroleum Safety Council, as amended from

time to time, and

(iii) any other practice approved in writing by the Administrator;

(ad) “professional engineer” means a person licensed to practice engineering in

Nova Scotia under the Engineering Profession Act ;

(ae) “re-entry” means, with respect to a well, re-commencing drilling or other

downhole operations in a well where such work had been suspended;

(af) “representative” means a person designated pursuant to

Section 3 of the Act;

(ag) “rig release date” means the date when a drilling rig last conducted operations

on a well in accordance an Authorization for that well;

(ah) “spud” means, with respect to the drilling of a well, the initial penetration of

the ground;

(ai) “surface improvement” includes a railway, pipeline or other right-of-way,

road allowance, surveyed roadway, dwelling, water well, power line,

industrial plant, aircraft runway or taxiway, a building or structure or any

other situation or feature determined by the Administrator;

(aj) “survey plan” means a topographical survey of the well site area that includes

the coordinates of the well;

(ak) “suspended” means, with respect to a well, a well in which drilling or

producing operations have temporarily ceased;

(al) “well” means an opening in the ground being drilled or completed

(

i) as an exploratory well for petroleum,

(ii) for the production of petroleum, or

(iii) for injection to an underground formation;

(am) “well control” means the control of the movement of fluids in or from a

well;

(an) “wireline” means a line that is used to run survey instruments or other tools in

a well and is made of

(

i) steel, or

(ii) several wires made of steel, copper or other metals together with

electrical insulation.

Application of regulations

(1) Subject to subsection (2), these regulations apply

(

a) to every operator who drills or proposes to drill for petroleum under the Act;

and

(

b) to every well that is drilled, re-entered, completed, suspended or abandoned

under the Act.

(2) These regulations do not apply to a well drilled in the offshore area except for the

Donkin coal block, as defined in the Donkin Coal Block Development Opportunity

Act (Canada).

Policy

4 The Minister may develop or approve policies, standards and guidelines for the

administration of these regulations.

Administrator

(1) The Minister shall designate an Administrator to administer these regulations.

(2) The Administrator shall be responsible for preparing

(

a) interpretations of these regulations;

(

b) proposals for amendments to these regulations; and

(

c) policies, standards and guidelines for the administration of these regulations.

Offences

(1) No person shall drill, re-enter, suspend, complete or abandon a well unless an

Authorization has been granted and the Authorization remains in force.

of an Authorization.

Drilling rig removal prohibited

7 No operator shall remove or cause or permit the removal of a drilling rig from a well site

unless the well has been drilled, re-entered, suspended, completed or abandoned in

accordance with these regulations.

Form and submission of application

(1) An application form for an Authorization shall be in a form prescribed by the

Administrator.

(2) An application form shall be completed and signed by an operator.

(3) Unless otherwise stated in these regulations, any information or application that is

required to be submitted under the Act and these regulations shall be prepared and

submitted to the Administrator in a form and manner satisfactory to the

Administrator.

Surveys

9 An application shall include 3 copies of a legal survey of the well site that identifies the

location, elevation and coordinates of

(

a) any proposed well;

(

b) any exploratory well that has been assigned the status of a discovery well by

the Administrator; or

(

c) upon the request of the Administrator, any other well.

Application time frames

10 Unless the Administrator agrees in writing, an applicant shall submit an application

(

a) for an Authority to Drill not less than 45 calendar days prior to the proposed

spud date;

(

b) for an Authority to Re-enter not less than 21 calendar days prior to the

proposed well re-entry date;

(

c) for an Authority to Suspend not less than 24 hours prior to the proposed well

suspension;

(

d) for an Authority to Complete not less than 24 hours prior to the proposed well

completion;

(

e) for an Authority to Abandon not less than 24 hours prior to the proposed well

abandonment.

Application for amendment

(1) Every operator shall apply to the Administrator for an amendment to an

Authorization if

(

a) the operator proposes to change, modify or expand an activity that is the

subject of the Authorization;

(

b) the operator proposes a change to the terms or conditions of the

Authorization, which, in the opinion of the Administrator, is significant; or

(

c) the proposed amendment is of an administrative nature.

(2) An application for an amendment of an Authorization shall contain the following

information:

(

a) a description of the proposed modification and an explanation of its purpose;

(

b) an assessment of the effects of the proposed modification in relation to the

information contained in the original application;

(

c) such other information required by the Administrator, including any

supplementary information to clarify information contained in the application.

(3) Unless the Administrator agrees in writing, an application for amendment shall be

made not less than 72 hours before the amendment is required.

Term

(1) The term of any Authorization is concurrent with and subject to the term of the

exploration agreement made under the Petroleum Resource[s] Regulations in

respect of which the Authorization is issued.

(2) If an exploration agreement is suspended or terminated, any Authorization that has

been issued in respect of the agreement is automatically suspended or terminated,

as the case may be.

Renewal

13 If the term of an exploration agreement is renewed, the operator who holds the agreement

shall apply to renew any Authorization that has been issued in respect of the agreement.

Application fee

(1) An application shall be accompanied by a non-refundable fee of $124.65.

(2) The Administrator may bill an applicant for all reasonable costs and expenses in

excess of $124.65 that are incurred directly by the Administrator to process an

application and the applicant shall pay the bill before an Authorization is issued.

(3) An applicant may request that the Administrator provide documentation to support

any bill issued under subsection (2).

(4) Any conflicts respecting documentation provided pursuant to subsection (3) may

be submitted to be resolved through alternate dispute resolution.

Review of application

(1) Upon receipt of an application, the Administrator may

(

a) require the applicant to submit any additional information that the

Administrator considers necessary;

(

b) require the applicant to consult with persons or organizations that may be

impacted by activities related to the application;

as the Administrator determines to be appropriate;

(

d) amend an Authorization held by the applicant, subject to such terms and

conditions as the Administrator determines to be appropriate;

(

e) refuse to issue an Authorization to the applicant; or

(

f) cancel an Authorization previously issued to or held by the applicant and

replace it with a new Authorization.

(2) If the Administrator refuses to issue an Authorization, the Administrator shall

advise the applicant in writing together with reasons.

Financial security and responsibility

16 As a condition of an Authorization, every operator shall, prior to the commencement of

any drilling,

(

a) furnish the Administrator with financial security in a form and in an amount

satisfactory to the Minister that requires the provider of the financial security

to abandon the well and leave the drill site in a satisfactory condition in the

event of the failure of the operator to comply with the Act, these regulations

or a term or condition of an Authorization issued on the well site; and

(

b) furnish the Administrator with evidence, in a form satisfactory to the

Administrator, that the operator is financially able to meet any financial

liability that may be incurred as a result of the drilling of the well.

Transfer, assignment or change of name

(1) No operator shall transfer or assign an Authorization without the written approval

of the Administrator, which shall not be unreasonably withheld.

(2) An assignee of an Authorization is subject to the duties, obligations and liabilities

be imposed by the Administrator, and the assignor is relieved of any duties,

obligations and liabilities under the Authorization.

(3) The sale of a controlling interest of a partnership or company that holds an

Authorization or the transfer of an Authorization from a parent company to an

affiliate or subsidiary is deemed to be a transfer.

(4) Where there is a change in the name of the operator, approval of the Administrator

is not required but the operator shall advise the Administrator in writing within 24

hours of the change.

Operator to ensure compliance

18 Every operator shall ensure that a well is drilled, re-entered, suspended, completed or

abandoned in accordance with

(

a) the Act;

(

b) these regulations;

(

d) any designs, specifications, or plans developed and approved by the

Administrator in accordance with these regulations;

(

e) any codes or standards, as amended from time to time, that apply to petroleum

exploration well drilling;

(

f) any petroleum drilling practice approved in writing by the Administrator; and

(

g) all other laws of general application, including but not limited to the

Environment Act and the Occupational Health and Safety Act .

Well drilling, re-entry, suspension, completion or abandonment

19 Where a well cannot be drilled, re-entered, suspended, completed or abandoned in

accordance with the relevant Authorization owing to the existence of conditions not

anticipated by an operator at the time the application was submitted for approval, the

operator shall

(

a) verbally inform the Administrator and follow up in writing that the well has

not been drilled, re-entered, suspended or abandoned in accordance with the

relevant Authorization;

(

b) leave the well in as secure a condition as is practical; and

(

c) drill, re-enter, suspend, complete or abandon the well in accordance with the

relevant Authorization within a period of time specified by the Administrator.

Land access consent

(1) No operator shall drill a well on

(

a) lands privately owned or occupied except with the written consent of the

owner, occupier, or an agent of the owner or occupier of the lands;

the written consent of the appropriate department, agency, board or

appropriate department, agency, board or commission to give consent;

(

c) public lands

(

i) under the administration and control of a Department of the Crown in

right of the Province of Nova Scotia, except with the written consent of

that Department,

(ii) that form part of a public highway or public road, except with the

written consent of the Department of Transportation and Public Works,

(iii) under the administration of an agency, board or commission of the

Crown in right of the Province of Nova Scotia, except with the consent

of that agency, board or commission, and

(iv) that are leased or otherwise encumbered, except with the written consent

of the holder of the legal interest to which the public lands are subject.

(2) Subsection (1) shall not be construed as removing the necessity to obtain a consent

to drill a well on any land from any person not referred to in that subsection, if the

consent of that person is required by law.

Separation distances and restrictions

(1) No operator shall drill a well within 100 m of any surface improvement unless that

person establishes to the satisfaction of the Administrator that the operation can be

conducted without damage or threat to the surface improvement.

(2) Except where restricted or prohibited under the Act, no well shall be drilled that

may penetrate a mineral deposit under a mineral right or a coal gas deposit under a

petroleum right unless measures considered satisfactory by the Administrator are

taken to

(

a) protect the mineral or coal gas deposit from damage or loss of value; and

(

b) prevent interference with any persons operating under the mineral or

petroleum right.

Drill site access restricted

22 A person who is not directly associated with the work activity on the drill site may not

enter a drill site unless that person has written permission from the operator or the

Administrator.

Drilling, re-entry, suspension, completion and abandonment activities

23 Every operator shall

(

a) conduct the drilling, re-entry, suspension, completion and abandonment of a

well in accordance with current petroleum standards and good petroleum

drilling practice;

(

b) conduct the drilling, re-entry, suspension, completion and abandonment of a

well in a manner that maintains full control of the well at all times;

(

c) have plans and equipment available to deal with all abnormal situations that

may be anticipated;

(

d) ensure that all equipment and materials are fit for the purpose for which they

are to be used and in good operating order;

(

e) operate equipment, including travelling blocks and ancillary equipment,

masts, substructures, drilling lines, well control equipment and pressure

vessels, within the limits specified by the manufacturer of the equipment; and

(

f) at the end of each crew shift, require the retiring drilling supervisor of any

drilling rig to log and inform the new supervisor of any mechanical

deficiencies that have not been rectified during the shift and of any downhole

conditions or other problems that have a bearing on the conduct of the drilling

of the well.

Availability of regulations

(1) Every operator shall keep at the drill site a copy of these regulations and any

Authorizations issued for the drill site during the period that drilling is being

conducted at the drill site.

(2) Every operator shall make the regulations or Authorizations referred to in

subsection (1) available upon request by any person on the drill site.

Display of Authorizations and critical procedures

25 Every operator shall

(

a) display an Authorization in a prominent place on the drill site; and

(

b) post, in a place where they can readily be seen by the drilling crew, a labelled

drawing of the blowout preventers and a written record of the mud density,

together with the detailed procedures for controlling a kick, including a drill

string space-out chart.

Daily and weekly reports

(1) Every operator shall, while drilling a well, submit a report to the Administrator

each day, by fax or by an equivalent means, setting out

(

a) the depth of the well;

(

b) the lithology of the formations encountered during the previous day;

(

c) the properties of the drilling fluid;

(

d) the results of each formation leak-off test; and

(

e) such other information as may be requested by the Administrator.

(2) Every operator shall, while drilling a well, prepare and submit to the Administrator

each week

(

a) a report describing the lithology of any formation drilled and the nature of any

reservoir fluids encountered during the preceding week; and

(

b) a

summary of the results of any deviation and directional surveys that were

taken during the preceding week, including a calculation of the bottomhole

coordinates for any well that was directionally drilled or that has deviated

more than 5° from the vertical.

Well evaluation - general

(1) The Administrator may, at an operator’s request, at any time change the name,

classification or status of any well covered by an Authorization.

(2) Every operator shall obtain well tests, wireline logs, analyses, surveys and samples

during the drilling of a well that are sufficient to provide, in the opinion of the

Administrator, a comprehensive geological and reservoir evaluation.

(3) Upon the written request of the Administrator, every operator shall

(

a) take a wireline log, test or survey;

(

b) cut a core; or

(

c) collect a sample of drill cuttings or formation fluids

as specified in the request.

(4) Every operator shall collect, store and transport a sample of a drill cutting, core, or

well fluid taken from a well in a manner that prevents any loss or deterioration of

the sample.

(5) Every operator shall submit to the Administrator any analysis and any

interpretation of the data performed under these regulations or an Authorization.

Suspended well

(1) An application for an Authority to Suspend shall include a well suspension

program that is consistent with good petroleum drilling practice.

(2) Every well that is suspended shall be completed or abandoned prior to the expiry

of the original petroleum right or any renewal or extension provided under the Act

to the holder of that right.

(3) Every operator of a suspended or completed well shall

(

a) inspect the well each year or at such other interval as requested in writing by

the Administrator; and

(

b) submit a report to the Administrator each year, or at such other interval as

requested in writing by the Administrator, on the condition of the well.

Well re-entry

(1) An application for an Authority to Re-enter shall include a well re-entry program

that is consistent with good petroleum drilling practice.

(2) Every well that is re-entered shall be completed or abandoned prior to the expiry of

the original petroleum right or any renewal or extension provided under the Act to

the holder of that right.

Well completion

30 An application for an Authority to Complete shall include a well completion program that

is consistent with good petroleum drilling practice, and provides for

(

a) the isolation of each completed reservoir interval from any other porous or

permeable interval penetrated by the well; and

(

b) the efficient testing and production of any completed reservoir interval.

Operator responsible for abandoned wells

(1) An application for an Authority to Abandon shall include a well abandonment

program that is consistent with good petroleum drilling practice.

(2) Where a well is to be abandoned, it shall be done in such a manner that any

formation fluid is prevented from flowing through or escaping from the well.

(3) The operator of an abandoned well shall

(

a) inspect the well each year or at such other interval as requested in writing by

the Administrator; and

(

b) submit a report to the Administrator each year, or at such other interval as

requested in writing by the Administrator, on the condition of the well.

Well abandonment record

(1) Every operator shall record the details of the manner in which a well has been

abandoned and shall submit 3 copies of the record to the Administrator within 48

hours of the rig release date of the well.

(2) The record referred to in subsection (1) shall be accompanied by a well schematic,

approved by a professional engineer, that illustrates the condition of the well after

abandonment.

Continuing responsibility of operation

(1) An acknowledgment by the Administrator of a well abandonment record submitted

in accordance with

Section 32 does not relieve an operator of the responsibility for

a proper abandonment of the well if, at a later date, the abandonment of the well is

found not to be in accordance with these regulations or an Authorization.

(2) Where the Administrator determines or is informed that a well or a portion of a

well has not been abandoned in accordance with these regulations or an

Authorization, the Administrator may order the operator of the well to properly

abandon the well and may specify the period of time in which the proper

abandonment of the well is to be carried out.

Well history report

(1) Unless a different period is approved in writing by the Administrator, every

operator shall prepare a well history report upon abandonment of a well and shall

submit 3 copies of the report to the Administrator

(

a) within 90 calendar days of the rig release date in the case of an exploratory

well; and

(

b) within 45 calendar days of the rig release date in the case of a development

well.

(2) The well history report for an exploratory well shall contain a record of all

operational, engineering and geological information that is relevant to the well and

shall be organized into the following sections, with appendices, where appropriate:

(

a) an introduction;

(

b) general well data;

(

c) a

summary of drilling and related operations;

(

d) geological and palaeotological information;

(

e) a

summary of directional and deviation surveys and the coordinates of the

bottom of the hole;

(

f) a plot of the location of the borehole in the case of a well that has deviated

more than 5° from the vertical;

(

g) reservoir and well evaluation data;

(

h) any wireline logs, core analyses, testing results, studies, reports or records

relating to the evaluation of the well; and

(

i) such other information as requested in writing by the Administrator.

(3) The well history report for a development well shall contain

(

a) a

summary of the completion operations;

(

b) the coordinates of the bottom of the hole and of the top of any productive

zone, and in the case of a directionally drilled well, a plot showing the

location of the wellbore;

(

c) details of the completion equipment and tubing including a diagram of

equipment installed in the well;

(

d) results of any formation flow test;

(

e) a copy of any report that concerns well stimulation;

(

f) any wireline logs, core analyses, testing results, studies, reports or records

relating to the evaluation of the well; and

(

g) such other information as requested in writing by the Administrator.

Marine areas

(1) Where an operator proposes to drill a well on or with respect to any marine lands,

the Administrator may exempt the operator from any of the provisions of these

regulations.

(2) Where the Administrator exempts an operator pursuant to subsection (1), the

Administrator may order that the operator comply with any provisions of the Nova

Scotia Offshore Area Petroleum Drilling Regulations specified in the order.

(3) Where the Administrator orders that an operator comply with any provision of the

Nova Scotia Offshore Area Petroleum Drilling Regulations , that provision shall

have the same force and effect as regulations made under the Act.

(4) Where the Administrator orders that an operator comply with any provision of the

Nova Scotia Offshore Area Petroleum Drilling Regulations , compliance with such

an order shall be deemed to be a condition of the operator's Authority to Drill.

Security and release of well information and materials

(1) Subject to subsection (2) and to any law of the Province, the Administrator shall

securely store and keep confidential all information relating to a drilling program,

including logs, reports, cores, cuttings and fluid samples submitted by an operator

in accordance with

Section 72 of the Petroleum Resources Regulations .

(2) General information on a well, including the name, classification, location, identity

of the drilling unit or drilling rig used by the operator, depth and operational status

of the drilling program, may be released by the Administrator to the public.

(3) Information that is submitted to the Administrator by an operator in support of an

application

(

a) in respect of the proposed design or the method of operation of a program,

shall not be released at any time without the written consent of the operator;

and

(

b) in respect of research work or feasibility studies relating to exploration or

production techniques and systems, shall not be released until 5 years have

elapsed from the date the information was submitted to the Administrator.

Confidential business information

(1) Information that an applicant claims to be protected under the Freedom of

Information and Protection of Privacy Act , including confidential business

information, shall be clearly identified to the Administrator together with

information to support a claim, including the information required under

Section

21 of the Freedom of Information and Protection of Privacy Act .

(2) Where an applicant claims information to be confidential business information, the

Administrator shall review the claim and, until a decision is made pursuant to

subsection (4), shall take adequate precautions to prevent disclosure of the

information.

(3) When reviewing a claim pursuant to subsection (2), the Administrator may request

additional information to support the claim, including what steps the applicant has

taken to maintain the confidentiality of the information.

(4) Within 14 days following the date of receipt of the claim filed pursuant to

subsection (1), or within such further time as may be agreed upon by the applicant

and the Administrator, the Administrator shall determine whether the claim is

accepted or rejected in whole or in part and shall advise the applicant in writing of

the determination.

(5) Information accepted to be confidential business information pursuant to

subsection (4) shall not be disclosed to the public and the Administrator shall take

adequate precautions to prevent the disclosure of the information.

(6) Where the Administrator rejects a claim pursuant to subsection (4), an applicant

shall, within 7 days following the date of the Administrator’s written advice

pursuant to subsection (4), notify the Administrator in writing that

(

a) the claim is waived and the applicant wishes to continue to proceed with the

application; or

(

b) the application is to be withdrawn, in which case the Administrator shall

immediately return to the applicant all of the information submitted with the

application.

Inspections

(1) The Minister or Administrator may appoint an inspector to conduct inspections or

investigations for the purposes of these regulations.

(2) It shall be a term and condition of every Authorization that the operator shall grant

a right of entry to the well site and other sites where relevant information and

documentation may be stored to the Administrator or an inspector appointed under

subsection (1), to allow them to carry out an inspection or investigation of an

activity that is the subject of an Authorization or any other activity carried out

under these regulations.

(3) The operator for a drill site shall

(

a) give the Administrator or inspector all reasonable assistance to enable the

inspector to carry out the inspection; and

(

b) furnish all information that may be reasonably required by the Administrator

or the inspector.

(4) Upon entering a site the Administrator or inspector shall, upon request, produce an

identification card provided by the Province and provide reasons for the entry.

(5) The Administrator or an inspector, in carrying out any duties or exercising any

powers under the Act or these regulations, may be accompanied by one or more

persons who are considered by the Administrator or inspector to be necessary to

enable the Administrator or inspector to carry out those duties or exercise those

powers.

(6) The operator shall give the Administrator or inspector all reasonable assistance to

enable the Administrator or inspector to carry out their duties or exercise their

powers.

Operator audit/inspection reports

(1) Upon the request of the Administrator, an operator shall conduct an audit or an

inspection to ensure that an activity that is the subject of an Authorization is carried

out in compliance with

(

a) the Act;

(

b) these regulations; and

(2) The audit or inspection referred to in subsection (1) shall document

(

a) all non-compliance noted; and

(

b) the corrective actions taken or planned.

(3) A copy of any audit or inspection conducted pursuant to this

Section shall be filed

with the Administrator upon completion.

Certifying authority report

(1) The Administrator may engage the services of a person as a certifying authority.

(2) The certifying authority shall

(

a) determine whether a drilling program, well re-entry, well suspension, well

completion or well abandonment will be, has been or is being carried out in

relevant Authorization; and

(

b) perform such other duties as are determined by the Administrator.

(3) The certifying authority shall be engaged by the Administrator through a bidding

process and selected from a list of independent third parties who have engaged

persons or who are persons knowledgeable about petroleum exploration drilling

and drilling programs, including well re-entry, well suspension, well completion

and well abandonment.

(4) Every operator or person in charge of or responsible for a drilling program, well re-entry, well suspension, well completion or well abandonment and every contractor

or employee of the operator or person shall assist the Administrator or the

certifying authority or any employee or agent of the certifying authority acting in

the exercise of the duties outlined in subsection (2) and any further duties

determined by the Administrator.

(5) On completion of the certifying authority’s duties, the certifying authority shall

provide the Administrator with a report that shall

(

a) advise on the certifying authority’s findings pursuant to clause (2)(a);

(

b) certify, for such period as the certifying authority determines, that the drilling

program, well re-entry, well suspension, well completion or well

abandonment will continue to meet the requirements of the Act, these

(

c) include any other information requested by the Administrator.

(6) The costs and expenses of the certifying authority shall be paid by the

Administrator and shall be recovered from the operator whose activity is the

subject of the certifying authority’s report.

(7) The operator may request that the Administrator provide documentation to support

any bill issued under subsection (6).

(8) Any conflicts respecting documentation provided pursuant to subsection (7) may

be submitted to be resolved through alternative dispute resolution.

(9) The report issued by the certifying authority may be used by the Administrator to

assist in

(

a) evaluating an application for an Authorization or in amending, suspending,

cancelling or reinstating an Authorization;

(

b) directing the alteration or modification of the drilling program, well re-entry,

well suspension, well completion or well abandonment;

(

c) determining whether to require the installation of additional or other

equipment on a drill rig or at a drill site; or

(

d) the exercise of the Administrator’s powers and duties conferred by the Act

and these regulations.

Suspension or cancellation of an Authorization

(1) Where the Minister believes on reasonable and probable grounds that an operator

has contravened or will contravene

(

a) the Act;

(

b) these regulations; or

(

c) any term or condition of an Authorization,

the Minister may suspend or cancel the Authorization.

(2) The Minister shall give an operator prior notice of the Minister’s intent to suspend

or cancel an Authorization pursuant to subsection (1) and a reasonable time period

to remedy any breach or default.

(3) Upon suspension or cancellation of an Authorization pursuant to subsection (1),

the Minister shall immediately give notice in writing to the operator together with

reasons for the suspension or cancellation of the Authorization.

(4) The Minister may reinstate an Authorization that has been suspended or cancelled

pursuant to subsection (1) as it was originally issued at any time the Minister

considers it appropriate to do so.

Surrender of exploration agreement or other agreement

42 The suspension, cancellation or surrender of an exploration agreement, a production

agreement, or other right to explore for or produce petroleum that relates to a drill site

covered in an Authorization shall not relieve the operator of the responsibility for the

proper abandonment of any well drilled by the operator on the drill site.

Appeal

(1) An appeal from a decision of the Administrator made under these regulations shall

be to the Minister.

(2) An appeal under subsection (1) shall be made within 30 calendar days of the

decision.

(3) Unless a longer time period is required and the Minister notifies the appellant, the

Minister shall consider the appeal and provide a written decision within 30 days of

the filing of the appeal.

Legislative History

Reference Tables

Onshore Petroleum Drilling Regulations

N.S. Reg. 29/2001

Petroleum Resources Act

Note: The

information in these tables does not form part of the regulations and is

compiled by the Office of the Registrar of Regulations for reference only.

Source Law

The current consolidation of the Onshore Petroleum Drilling Regulations made

under the Petroleum Resources Act includes all of the following regulations:

N.S.

Regulation

In force

date*

How in force

Royal Gazette

Part II Issue

29/2001

Mar 30, 2001

date specified

Apr 20, 2001

146/2007

Apr 1, 2007

date specified

Mar 30, 2007

119/2008

Mar 26, 2008

date specified

Apr 11, 2008

204/2008

Apr 1, 2008

date specified

Apr 18, 2008

144/2009

Apr 1, 2009

date specified

Apr 14, 2009

120/2011

Apr 1, 2011

date specified

Apr 15, 2011

146/2013

Apr 1, 2013

date specified

Apr 12, 2013

144/2015

Apr 1, 2015

date specified

Apr 8, 2015

The

following regulations are not yet in force and are not included in the current

consolidation:

N.S.

Regulation

In force

date*

How in force

Royal Gazette

Part II Issue

*See subsection 3(6) of the Regulations Act for

rules about in force dates of regulations.

Amendments by Provision

ad. = added

am. = amended

fc. = fee change

ra. = reassigned

rep. = repealed

rs . = repealed and substituted

Provision affected

How affected

3(2) ...................................................

am. 119/2008

14(1)-(2) ...........................................

fc. 146/2007, 204/2008, 144/2009, 120/2011, 146/2013,

144/2015

Note that changes to headings are not

included in the above table.

Editorial Notes and Corrections:

Note

Effective

date

The reference to the Minister responsible for the

Petroleum Directorate in clause 2(

y) should be read as a reference to the

Minister of Energy in accordance with Order in Council 2002-286 under the Public Service Act , R.S.N.S. 1989, c.

Jun 17, 2002

The reference to the Department of Transportation and

Public Works in subclause 20(1)(c)(ii) should be read as a reference to the

Department of Transportation and Infrastructure Renewal in accordance with

Order in Council 2007-553 under the Public

Service Act , R.S.N.S. 1989, c. 376.

Oct 23, 2007

The reference to the Minister responsible for the

Petroleum Directorate in clause 2(

y) should be read as a reference to the

Minister of Energy and Mines in accordance with Order in Council 2018-188

under the Public Service Act ,

R.S.N.S. 1989, c. 376.

Jul 5, 2018

The reference to the Department of Transportation and

Public Works in subclause 20(1)(c)(ii) should be read as a reference to the

Department of Transportation and Active Transit in accordance with O.I.C.

2021-56 under the Public Service Act ,

R.S.N.S. 1989, c. 376.

Feb 23, 2021

The reference to the Department of Transportation and

Public Works in subclause 20(1)(c)(ii) should be read as a reference to the

Department of Public Works in accordance with O.I.C. 2021-209 under the Public Service Act , R.S.N.S. 1989, c.

Aug 31, 2021

Repealed and Superseded:

N.S.

Regulation

Title

In force

date

Repealed

date

Note: Only

regulations that are specifically repealed and replaced appear in this

table. It may not reflect the entire

history of regulations on this subject matter.

Document details

CollectionNova Scotia — Regulations
CitationN.S. Reg. 29/2001
Date2001-01-01
Typeregulation
Volume / chapterjust regulations regs prondril.htm
Languageen
Formathtm
SourcePROVINCIAL
Identifierf318c336987f40ea0140ee208b00e4322856f601

Source file is stored in the law ingest library (htm).