What is the Oil and Gas Conservation Commission?

The Arizona Oil and Gas Conservation Commission (OGCC) has statutory responsibility to regulate the drilling for and production of oil, gas, helium, carbon dioxide, and geothermal resources. It consists of five members appointed by the Governor and one ex-officio member, the State Land Commissioner. The Arizona Geological Survey (AZGS) provides administrative and staff support. Current Commission members include J. Dale Nations, Tucson, Chairman; Robert L. Wagner, Mesa; Robert L. Jones, Sun City West; Michele P. Negley, Phoenix; Stephen R. Cooper, Casa Grande; Mark Winkleman, ex-officio member and State Land Commissioner.

What are the responsibilities of the Arizona OGCC?

• Conduct regular Commission meetings and special hearings
• Review applications for permits to drill, and approve if properly completed
• Inspect wells for compliance, both during drilling and after completion
• Monitor oil, gas, geothermal, and helium drilling activities
• Compile oil, gas, geothermal, and helium production statistics
• Provide information to the exploration and development communities and the public

How do I apply for a drilling permit?

After obtaining an oil and gas lease, an operator must next get a permit to drill a well. The OGCC regulates oil, gas, helium, CO2, and geothermal drilling and production in Arizona. The OGCC is attached to the AZGS, which provides administrative and staff support. AZGS staff review drilling applications for compliance with rules, issue permits to drill, and perform well-site inspections on behalf of the OGCC.

Basic requirements for drilling, completing, and producing oil and gas wells are explained in the oil, gas, and geothermal resources rules, which are part of the the Arizona Administrative Code (A.A.C.) in Title 12 (Natural Resources), Chapter 7 (Oil and Gas Conservation Commission). These rules may be viewed on the Arizona Secretary of State's web page (http://www.azsos.gov/public_services/Title_12/12-07.htm). Paper copies may be purchased form the Secretary of State. The OGCC has authority to approve requests for variance or exception to many of the general statewide rules after notice and hearing. Questions about the OGCC, its rules or applications to drill may be directed to the Oil and Gas Administrator, Steven L. Rauzi.

Can I view recently approved drilling permits?

Yes. To view recently approved drilling permits click here (PDF)

What are recent production numbers for oil, gas and carbon dioxide?

Oil production totaled 42,692 barrels from 18 producing wells in 2007, down from 54,807 barrels from 20 wells in 2006. Gas production totaled 650 million cubic feet from 7 producing gas wells, up from 608 million cubic feet from 7 wells in 2006. No CO2 was produced in 2007. There was one active disposal well and 23 shut-in wells at yearend including 20 oil, 1 gas, 1 CO2, and 2 disposal wells. Liquefied petroleum gas (LPG) transferred in 2007 through storage wells near Phoenix and Holbrook included 152 million gallons in receipts and 137 million gallons in deliveries, as compared to 113 million gallons received and 97 million gallons delivered in 2006. About 89 million gallons of LPG were in storage at yearend, up from the 43 million gallons in 2006. There are currently fourteen storage wells in subsurface salt near Phoenix and Holbrook. AmeriGas sold its LPG storage facility near Phoenix to Plains LPG Services LP in 2007. Enterprise Products owns and operates the LPG facility near Holbrook.

How many acres are leased for oil and gas exploration in Arizona?

There were 1.075 million acres leased for oil and gas in Arizona at yearend 2007, up from the 401,000 acres at yearend 2006. Oil and gas leases on State Trust land totaled 707,000 acres in December 2007, up from 330,000 acres in December 2006. Federal land leased in December 2007 totaled 368,000 acres, up from 71,000 acres in December 2006.

Do you have last year's summary of oil and gas activity?

Three drilling permits were issued, eleven wells were drilled, and one well was plugged and abandoned in 2007. Ridgeway Arizona Oil Corporation permitted three wells between St Johns and Springerville in early 2007 and started drilling eleven wells including nine wells permitted in 2006. Ridgeway drilled and tested several of the wells in 2007 and was preparing to finish drilling and test several of the wells at yearend. High Plains Petroleum plugged and abandoned the 17-1 Santa Fe in late 2007 after testing numerous shows of oil and gas. High Plains drilled the 17-1 Santa Fe in ne ne 17-12n-26e to a total depth of 4032 ft near Concho in 2006. Holbrook Energy LLC submitted notice plug and abandon its 35-1 Hortenstine in late 2006 but had not plugged the hole by yearend 2007. Holbrook Energy drilled the 35-1 Hortenstine as a helium test in the old Pinta Dome field in September 2004.

What about inspections and enforcement of regulations?

Staff routinely inspects and monitors all wells according to the state regulations.

What happens to subsurface data?

The OGCC requires drilling operators to submit subsurface data, including rock samples, logs, and all test results, to the AZGS to be filed and archived. These drilling data add to the general understanding of Arizona's geologic framework and subsurface mineral and energy resources. The AZGS maintains a series of maps that show the location of oil, gas, and geothermal wells and the types of subsurface data that are available for examination. Subsurface samples from oil and gas wells are added to the AZGS sample repository.

What publications are available for purchase?

Publications are sold through the Arizona Geological Survey. Orders are accepted via phone, mail or in person. For a list of Oil and Gas publications, click here.

Does the Arizona OGCC have information about mining and minerals?

No. The agency that provides information about mining and minerals is the Arizona Department of Mines and Mineral Resources (DMMR). For more information contact DMMR at 1502 West Washington, Phoenix, Arizona 85007-3210. (602) 255-3795 or Toll-free in Arizona 1-800-446-4259.
The state regulatory agency for mining is the State Mine Inspector at 1700 West Washington, Phoenix, Arizona 85007. (602) 542-5971

Who can I contact for more information about oil and gas?

Contact: Steve Rauzi, Oil and Gas Administrator at the Arizona Geological Survey (520) 770-3500