By: Crownover	H.B. No. 3460

	A BILL TO BE ENTITLED
	AN ACT
	relating to the filing with the state of well logs by operators of
	oil-related or gas-related wells; providing a penalty.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  The heading to Subchapter M, Chapter 91, Natural
	Resources Code, SUBCHAPTER M. is amended to read as follows:
	SUBCHAPTER M. WELL [ELECTRIC] LOGS
	SECTION 2.  Natural Resources Code, Sections 91.551(a)(1)
	and (2) are amended to read as follows:
	(1)  "Well" means a well drilled for any purpose
	related to exploration for or production or storage of oil or gas or
	both oil and gas, including a well drilled for injection of fluids
	to enhance hydrocarbon recovery, disposal of produced fluids,
	disposal of waste from exploration or production activity, or brine
	mining. The term includes a well that is completed as a dry hole.
	(2)  "Well [Electric] log" means a wireline-conveyed or
	drill pipe-conveyed survey recorded in an open borehole using
	electric or radioactive technologies for the purpose of obtaining
	geological or geophysical information or other information
	regarding the properties of a reservoir or of the rocks penetrated
	by the well. The term includes and is limited to a:
	(A)  spontaneous potential log;
	(B)  induction log;
	(C)  borehole compensated sonic log;
	(D)  dual lateral log;
	(E)  density log;
	(F)  gamma ray log; or
	(G)  compensated neutron log [wireline survey,
	except dipmeter surveys and seismic wireline surveys, run in an
	open hole or a cased hole of a well for purposes of obtaining
	geological information].
	SECTION 3.  Natural Resources Code, Section 91.552, is
	amended to read as follows:
	Sec. 91.552.  WELL [ELECTRIC] LOGS REQUIRED TO BE FILED;
	CRITERIA.  (a)  Except as otherwise provided by this subchapter, not
	later than the 90th day after the date a drilling operation is
	completed, the operator shall file with the commission a copy of
	each well log, including each borehole section of the log at all
	depths, [a basic electric log] run after September 1, 2011
	[September 1, 1985], in conjunction with the drilling or deepening
	of the well that meets basic criteria established by the
	commission.  Each well log shall include each borehole section of
	the log at all depths. Each well log shall be filed with the
	commission electronically in a manner acceptable to the commission
	provided the commission has the technological capability to receive
	the electronic filing.
	(b)  The commission by rule shall establish criteria for well
	[basic electric] logs to be filed with the commission.
	(c)  Not later than the deadline prescribed by Subsection (a)
	for the filing of each well log, an operator shall file with the
	commission a copy of a cased hole log run after September 1, 2011,
	in conjunction with the drilling or deepening of a well in lieu of a
	well log run after that date if:
	(1)  a cased hole log was run; and
	(2)  a well log was not run.
	(d)  Nothing in this subchapter requires an operator to run a
	well log in conjunction with the drilling or deepening of a well.
	SECTION 4.  Natural Resources Code, Section 91.553, is
	amended to read as follows:
	Sec. 91.553.  AVAILABILITY OF WELL [ELECTRIC] LOGS.  (a)
	Except as specifically provided by this section, each well
	[electric] log filed with the commission under this subchapter is
	not confidential and is public information under Chapter 552,
	Government Code.
	(b)  Not later than the date by which a well [an electric] log
	is required to be filed with the commission under Section 91.552,
	the operator may file a written request (Form L-1) with the
	commission asking that the well [electric] log remain confidential
	and not be made available as public information.  On filing this
	request, the commission will hold confidential the well [electric]
	log or copy of the well [electric] log required to be filed with the
	commission [may be retained by the operator, and the electric log
	may remain in the possession of the operator] for the period of
	confidentiality.  On filing of the request for confidentiality, the
	well [electric] log becomes confidential and remains confidential
	for a period of three years [one year] after the date that the
	drilling operation was completed on an on-shore well and five years
	after the date that the drilling operation was completed on an
	offshore well.
	[(c)  If an electric log is made confidential under
	Subsection (b), the operator is entitled to have the period of
	confidentiality extended once for an additional period of two
	years.  The commission shall grant the two-year extension on
	written request of the operator.  The written request must be made
	to the commission before the one-year period of confidentiality
	under (b) expires.
	[(d)  If an electric log is made confidential under (b) and
	the log was run in a well drilled on land submerged in state water,
	the operator is entitled to have the period of confidentiality
	extended for not more than two additional periods of two years each.
	The commission shall grant the extension or extensions on written
	request of the operator.  The written request must be made to the
	commission before the expiration of the one-year period of
	confidentiality under (b) or the expiration of the first extension
	granted under this subsection.
	[(e)  An operator required to file an electric log under this
	section who has held the log during a period of confidentiality or
	any extensions of that period shall file the log with the commission
	within 30 days after the conclusion of the period of
	confidentiality or the period of the last extension.]
	(f)  An operator who fails to timely file with the commission
	a written request under Subsection (b) that a well [an electric] log
	remain confidential and not be made available as public information
	shall file the log with the commission immediately after the
	conclusion of the period for filing the request.
	SECTION 5.  Natural Resources Code, Section 91.554, is
	amended to read as follows:
	Sec. 91.554.  AVAILABILITY OF CONFIDENTIAL WELL [ELECTRIC]
	LOGS. If the commission requires a well [an electric] log to be
	available [filed] before the expiration of a period of
	confidentiality, the commission shall make that well [electric] log
	available for inspection during the period of confidentiality only
	to:
	(1)  a person authorized in writing by the operator;
	and
	(2)  members of the commission and its employees in the
	exercise of their powers and duties under this code.
	SECTION 6.  Natural Resources Code, Section 91.555, is
	amended to read as follows:
	Sec. 91.555.  MANAGEMENT AND STORAGE OF WELL [ELECTRIC]
	LOGS.  The commission may contract with any person for the
	management and storage of the well [electric] logs filed with the
	commission.
	SECTION 7.  Natural Resources Code, Section 91.556, is
	amended to read as follows:
	Sec. 91.556.  ENFORCEMENT [DENIAL OF ALLOWABLE].  If an
	operator fails to file a well [an electric] log as required by this
	subchapter, the commission may:
	(1)  if the well is completed as a producing well,
	refuse to assign an allowable or a change in allowable for
	production from the well [for which the electric log is required]
	until the operator files the well [electric] log with the
	commission; or
	(2)  impose an administrative penalty on the operator
	in the manner provided by Sections 81.0531-81.0534 in an amount not
	to exceed $5,000 for each well for which the operator failed to file
	a well log.
	SECTION 8.  Government Code, Section 552.113(a) is amended
	to read as follows:
	Sec. 522.113(a) Information is excepted from the
	requirements of Section 552.021 if it is:
	(1)  a well [an electric] log confidential under
	Subchapter M, Chapter 91, Natural Resources Code;
	(2)  geological or geophysical information or data,
	including maps concerning wells, except information filed in
	connection with an application or proceeding before an agency; or
	(3)  confidential under Subsections (c) through (f).
	SECTION 9.  Amends Government Code, Section 552.113(c)(2):
	(2)  "Well ["Basic electric] logs" has the same meaning
	as it has in Chapter 91, Natural Resources Code.
	SECTION 10.  Amends Gov Code, Sections 552.113(d), (e), and
	(f):
	(d)  Confidential material, except well [basic electric]
	logs, filed in the General Land Office on or after September 1,
	1985, is public information and is available to the public under
	Section 552.021 on and after the later of:
	(1)  five years from the filing date of the
	confidential material; or
	(2)  one year from the expiration, termination, or
	forfeiture of the lease in connection with which the confidential
	material was filed.
	(e)  Well [Basic electric] logs filed in the General Land
	Office on or after September 1, 1985, are either public information
	or confidential material to the same extent and for the same periods
	provided for the same logs by Chapter 91, Natural Resources Code. A
	person may request that a well [basic electric] log that has been
	filed in the General Land Office be made confidential by filing with
	the General Land Office a copy of the written request for
	confidentiality made to the commission for the same log.
	(f)  The following are public information:
	(1)  well [basic electric] logs filed in the General
	Land Office before September 1, 1985; and
	(2)  confidential material, except well [basic
	electric] logs, filed in the General Land Office before September
	1, 1985, provided, that Subsection (d) governs the disclosure of
	that confidential material filed in connection with a lease that is
	a valid and subsisting lease on September 1, 1995.
	SECTION 11.  The changes in law made by this Act apply only
	to a drilling operation that is completed on or after the effective
	date of this Act. A drilling operation that is completed before the
	effective date of this Act is subject to the law in effect on the
	date of completion, and that law is continued in effect for that
	purpose.
	SECTION 12.  This Act takes effect September 1, 2011.