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Union of India - Section

Section 3 in The Petroleum and Natural Gas Rules, 1959

3. Definitions. - In these rules, unless the context otherwise requires,-

(a)"bore-hole" includes an oil well or gas well;
[* * *]
(ab)[ "coal bed methane" means natural gas obtained from bore holes occurring to coal or lignite seams and consisting primarily of hydrocarbons; [ Inserted by G.S.R. 295(E), dated 1.4.2003 (w.e.f. 1.4.2003).]
(ac)"condensate" means those low vapour pressure hydrocarbons obtained form natural gas through condensation of extraction which are in the form of liquid at normal surface temperature and pressure conditions;
(ad)"continental shelf" shall have the same meaning as assigned to it in the Territorial Waters, Continental Shelf, Exclusive Economic Zone and Other Maritime Zones Act, 1976 as amended from time to time;
(ae)"contract" means an agreement entered into between the Government of India and any other party in relation to exploration and exploitation of hydrocarbon and/or coal bed methane for relevant area;]
(b)[ "crude oil" means petroleum in its natural state in liquid, viscous or solid form refined or otherwise treated from which water and foreign substances have been extracted;] [ Substituted by G.S.R. 295(E), dated 1.4.2003 (w.e.f. 1.4.2003).]
(c)"drilling" or "boring" means perforation of the earth's surface crust by mechanical means (irrespective of whether the hole caused by the perforation is vertical, inclined, or horizontal) and includes all operations for preventing collapse of the sides of such hole or for preventing such hole from being filled with extraneous materials including water;
(ca)[ "exclusive economic" zone shall have the same meaning as assigned to it in the Territorial Waters, Continental Shelf, Exclusive Economic Zone and Other Maritime Zones Act, 1976 as amended from time to time;] [Inserted by G.S.R. 295(E), dated 1.4.2003 (w.e.f. 1.4.2003). ]
(d)"field" means the general area which is underlaid, or appears to be underlaid, by at least one pool and shall include the underground reservoir or reservoirs containing petroleum or natural gas or both;
(e)"gas well" means any well the production from which is predominantly natural gas or condensate, or both in quantity;
(ea)[ "gas hydrates" means naturally occurring solids composed of water molecules forming a rigid lattice of cages each containing a molecule of natural gas;] [ Inserted by G.S.R. 295(E), dated 1.4.2003 (w.e.f. 1.4.2003).]
(f)"geological survey" includes the examination of exposed rocks in the field the collection of the necessary specimens of rocks and other materials, investigations in the laboratory, the preparations of geological maps and geological sections and all other operations essential for the determination of the geological nature, age and structure of rocks in any area;
(g)"geophysical survey" means the search, by instruments for the presence of suitable underground geological structures and includes the sinking of bore-holes for detonating explosives necessary for the purpose, but not the drilling of deep core-holes or the sinking of trial shafts, trenches, or other kinds of large and deep excavations connected with prospecting;
(ga)[ "hydrocarbons" means any organic compound of hydrogen and carbon; ] [Inserted by G.S.R. 295(E), dated 1.4.2003 (w.e.f. 1.4.2003). ]
(h)"information drilling" means the drilling of bore-holes, for the purpose of procuring scientific information and not with the immediate object if obtaining petroleum;
(i)[ "natural gas" or gas means gas obtained from bore-holes and consisting primarily of hydrocarbons but does not include helium occurring in association with such hydrocarbons;] [ Substituted by G.S.R. 295(E), dated 1.4.2003 (w.e.f. 1.4.2003).]
(j)"oil well" means any well which is capable of producing crude oil and which is not a gas well;
(k)[ "Petroleum" means naturally occurring hydrocarbons, whether in the form of natural gas or in a liquid, viscous or solid form, or a mixture thereof, but does not include coal, lignite and helium occurring in association with petroleum or coal or shale;] [Substituted by Notification No. G.S.R. 671(E), dated 24.7.2018 (w.e.f. 1.4.2003).]
(l)"petroleum deposit" means any accumulation of petroleum on or below the surface of the earth;
(m)"pool" means an underground reservoir containing a common accumulation of petroleum or natural gas or both and includes each zone of a general structure which is completely separated from any other zone in the structure;
(n)"petroleum product" means any commodity made from petroleum or natural gas and shall include refined crude oil, processed crude petroleum, residuum from crude petroleum, cracking stock, uncracked fuel oil, fuel oil, treated crude oil residuum casinghead gasoline natural gas gasoline, naphtha, distillate, gasoline, kerosene, waste oil, blended gasoline, lubricating oil, blends or mixture of oil with one or more liquid products or by products derived from oil or gas, and blends or mixtures of two or more liquids products or by-products derived from oil condensate gas or petroleum hydrocarbons, whether herein enumerated or not;
(o)"prospect" with its grammatical variations means search for a petroleum deposit;
(p)"stratum" means a layer of rock more or less similar throughout a lithologically unit;
(q)"the Act" means the Oilfields (Regulation and Development) Act, 1948 (53 of 1948); and
(qq)[ "territorial waters" shall have the same meaning as assigned to it in the Territorial Waters, Continental Shelf, Exclusive Economic Zone and Other Maritime Zones Act, 1976 as amended from time to time;] [ Substituted by G.S.R. 295(E), dated 1.4.2003 (w.e.f. 1.4.2003).]
(r)"Waste" includes the following:--
(i)the inefficient, excessive, or improper use or dissipation of reservoir energy and the locating, spacing, drilling, equipping, operating or producing of any oil or gas well in a manner which results or tends to result in reducing the quantity of oil or gas ultimately to be recovered from any pool;
(ii)the inefficient storing of petroleum; and the locating, spacing, drilling, equipping, operating or producing of any oil or gas well in a manner causing or tending to cause unnecessary or excessive surface loss or destruction of petroleum or natural gas;
(iii)producing petroleum or natural gas in such a manner as to cause unnecessary channeling of water or gas or both, or coming of water;
(iv)the submerging with water of any stratum or part thereof capable of producing petroleum or natural gas;
(v)the creation of unnecessary fire hazards;
(vi)the escape into the open air, from a well producing both petroleum and natural gas, of gas in excess of the amount which is necessary for efficient production from the well; and
(vii)permitting gas produced from a gas well to escape into open air.