Tenn. Comp. R. & Regs. 0400-54-08-.01 - CONDITIONED USAGE
Application for usage of subterranean reservoirs for gas storage shall be submitted to the Board. The Board may, after public hearing, grant the applicant's request conditioned as follows:
(1) That the underground reservoir sought to
be used for the injection, storage and withdrawal of natural gas is suitable
and feasible for such use, provided no reservoir, any part of which is
producing or is capable of producing oil and gas in paying quantities, shall be
subject to such use, unless all owners in such underground reservoir shall have
agreed thereto in writing; or
(2)
Unless such reservoir has a greater value or utility as an underground
reservoir for gas storage than for the production of the remaining volumes of
original reservoir natural gas and condensate, and all owners, in interest
shall have consented to such use in writing; and
(3) That the use of the underground reservoir
for the storage of natural gas shall not contaminate other formations
containing fresh water, oil, gas, or other commercial mineral deposits;
and
(4) That the proposed storage
shall not endanger lives or property; and
(5) That the storage reservoir may be drilled
through, in a prudent manner, for the purpose of exploration for, or producing,
underlying oil and/or gas pools.
Notes
Authority: T.C.A ยงยง 60-1-201 et seq., and 4-5-201 et seq.
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