Oil & Gas Permitting
The following activities require a permit from the Division of Reclamation
- Drilling, deepening, operating, or converting a well for oil and gas purposes
- Transferring a permit to operate a well for oil and gas purposes
- Drilling a test hole for fluid disposal investigation, engineering project investigation, or geologic investigation
- Temporarily abandoning a well
The following general requirements apply to all applications
- If the operator is going to conduct business as a corporation, limited partnership, or limited liability company registration with the office of the Indiana Secretary of State is required. Registration information can be obtained online or by calling 317-232-6576.
- All operators must have an Organizational Report on file with the Division of Reclamation prior to receiving permits. The person who signs the application must appear as a signatory in Parts V or VI of the Organizational Report.
- All applications must contain original signatures
- The operator, or an officer, partner, or director of the operator may not have had a permit revoked and may not be in violation at the time of receiving a permit except as specified in 312 IAC 29-4-7.
- The survey for Class II wells must show all existing and plugged wells within 1/4 mile of the proposed injection well.
- Proposed well construction must meet the requirements of 312 IAC 29-20.
- Permit transfers require original signatures of both the current and new operator
- Cash bonds must be in the form of a Certified or Cashiers check made out to the Department of Natural Resources
The following grid shows the application requirements for each type of permit.
Application Requirements
| Type of Permit | Application | Bond | Survey | Fluid Analysis | Fee | Public Notice | Facility Diagram | Mechanical Integrity Test |
|---|---|---|---|---|---|---|---|---|
| Oil, Gas, Gas Storage, Structure Test, and Water Supply permits | See Bonding Surety, Blanket, with Acknowledgment Cash or CD with Verification | Yes unless on file | No | Yes $250 (Add $500 for expedited permitting); | No | No | No | |
| Class II permits | Application for Well Permit | See Bonding Surety, Blanket, with Acknowledgment Cash or CD with Verification | Yes | Yes | Yes $250 | Yes | Yes | Yes after construction |
| Noncommercial Gas permits | Application for Well Permit | See Bonding Personal Surety | Yes unless on file | No | Yes $250 | Yes | No | No |
| Permit Transfer | Application for Permit Transfer | See Bonding Surety, Blanket, with Acknowledgment Cash or CD with Verification | No | No | Yes ($15 ea. for up to 50 transfers and $10 ea. for each transfer over 50) | No | No | No |
| Individual Test Hole permits | Application for Test Hole Permit | Yes | Yes | No | Yes ($100) | No | No | No |
| County Test Hole permits | Application for Test Hole Permit | Yes County Test Hole Bond with Acknowledgment | No | No | Yes ($100) | No | No | No |
| Temporary Abandonment permits | Application for Temporary Abandonment | No | No | No | No | No | No | Yes for wells older than 2 years |
| Fluid Storage Facility permits | Application for Fluid Storage Facility | No | No | No | No | No | Yes | No |
All of the forms listed in this chart can also be obtained from the Forms page.
Bonding Requirements
The last Indiana General Assembly passed changes to the bonding provisions of IC 14-37-6 as follows:
- Individual bond amount changed from $2,000 to $2,500
- Blanket bond amount changed from $30,000 to $45,000
- Bonding is required for wells where:
- The applicant does not have a 2-year history of operation with the Division of Reclamation; or
- The applicant has had a permit revoked; or
- The applicant has not paid their annual well fee from a previous assessment
- The applicant has any unpaid civil penalty assessments
Applicants for permits or permit transfers required to submit or maintain a bond under Item 3 above must submit the bond to the Division of Reclamation with the application.
Questions regarding the bonding requirements should be forwarded to Brian Royer at 317-417-6556 or broyer@dnr.IN.gov.