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HomeMy WebLinkAbout(PH1) 04272021 PWPT_Aspect_Energy_LLC_Drilling_Permit_PresentationCITY OF PORT ARTHUR PUBLIC HEARING Drilling Permit (Oil & Gas Well) Permit No. 173 (Aspect Energy, LLC) Department of Development Services Division of Planning April 27, 2021 City Council is being asked to consider and approve Permit No. 173, authorizing the drilling of an oil and gas well by Aspect Energy, LLC of Denver, CO, on a proposed site described as part of a 64.78-acre Tract of Land out of Section 9, T&NO RR CO Survey, Abstract No. 242, Port Arthur, Jefferson County, Texas. Request… Background… Aspect Energy, LLC applied for a drilling permit on August 12, 2019. City Council held a public hearing October 7, 2019. Notices were mailed to adjacent property owners within a 200 feet radius, as well as published in the Port Arthur Newspaper. City Council approved Resolution No. 19-750, authorizing the drilling of the oil and gas well at the October 7, 2019 regular meting. Permit expired on October 7, 2020, one (1) year from the approval/execution date. Applicant submitted a new application on February 2, 2021. Notices were mailed to adjacent property owners on April 15, 2021, as well as Published in the Port Arthur Newspaper. In accordance with Section 66-4. –Well location No well shall be drilled and no permit shall be issued for any well to be drilled: Within 450’of any occupied residential, commercial or industrial structure without the applicant having first secured written consent of the owner;or Nearer than 700’from a school,church, hospital,convalescent home,orphanage, nursing home or other housing for children or the elderly without the applicant having first secured written consent of the owner. No well shall be drilled within any of the streets, alleys, easements or rights-of-way of the city. Well Location… Requirements for Permitting… Any person desiring to drill, complete and operate a well within the regulated area of the city shall present an application in writing, signed by the applicant or some person duly authorized to sign for the applicant, and shall state: •Date of Application •Name and address of the applicant; •Number of drilling unit and the particular lot and block number or tract in the drilling unit on which the proposed well is to be located, together with certified copies of each deed, lease or drilling contract with the owners of the land covering the lots… •Proposed depth of the well; •Proposed casing program of the well; •Exact and correct number of surface square feet in the drilling unit, together with a plat prepared by a duly licensed surveyor (Exhibit 1.1)… Requirements for Permitting Cont’d… •Each application shall be accompanied by a cashier’s check in the amount of $1,500.00 made payable to the City f Port Arthur, which shall be a filing fee; •Not more than one (1)well shall be permitted in each drilling unit; •If the issuance of a permit is authorized by proper vote of the city council,the permit shall not issue until the applicant file a bond executed by the permittee as principal and by a good and sufficient corporate surety company licensed to do business in the state,as surety,conditioned that the principal obligor will drill and operate such well in strict accordance with the terms of Section 66-9 and permit,and otherwise faithfully comply with all provisions Exhibit 1.1 The granting of a permit as provided and its acceptance by the permittee obligates such permittee to hold the city harmless from any and all liability of every kind and nature whatsoever, which may arise because of any act done or omitted by the permittee or successors thereto. Section 66-11.-Permittee to hold city harmless against liability. Liability… Public Notice… NOTICES WERE MAILED TO ADJACENT PROPERTY OWNERS WITHIN A 200 FT. RADIUS ON APRIL 15, 2021. NO WRITTEN AND/OR SPOKEN OPPOSITION HAS BEEN RECEIVED IN THE OFFICE OF PLANNING PRIOR TO THIS PUBLIC HEARING. Aspect Energy,LLC’s application meets all the requirements of Chapter 66,Article I,Sections 66-3 through 66-24 of the Port Arthur Code of Ordinances. The company will be required to post two surety bonds in the amount of $25,000 as required by Section 66-9 and an amount determined by the department of public works, based on the estimated cost to the city,at the time of the agreement,for materials,labor and equipment which would be reasonably necessary to reconstruct the particular roadway covered by the agreement,as required by Section 106-7 &8,Heavy Haul Permit. Recommendation… Questions…