W. Va. Code R. § 38-22-3 - Declaration of Operator Status

3.1. General reqiurements.

3.1.1. No declaration of operator status will be made until either an applicant for operator status has complied with the requirements of W.Va. Code 22B-1-26 and the rules promulgated thereunder and Form OP-77A "Declaration of Operator Status" has been filed with the Office of Oil and Gas, or after investigation, the Chief voluntarily declares a party to be designated the operator and to have attained operator status. A party designated by the Chief to be an operator shall be given notice, an opportunity to comment and the right to appeal any designation.

3.1.2 If an operator wishes to apply for declaration of operator status for more than one well, a separate application must be submitted for each well for which a determination is sought. Wells currently covered under an existing bond need not be applied for.

3.1.3. An applicant for operator status shall submit such other information including the right to develop, operate, and produce oil and gas from an oil and gas lease, as the Office of Oil and Gas may require in order to establish by evidence, that the operator qualifies for the declaration of operator status for the well for which a declaration is sought. In the event that more than one applicant applies for operator status for a given well the Chief may declare operator status for more than one party. The Chief shall notify all applicants by certified mail of all applications so that the applicants may privately ascertain whatever rights each has in the well. The Chief may take financial assurance from competing interests, but the Chief will not make tiie determination of ownership rights to the well or leasehold.

3.1.4. Once operator status has been declared by the Chief, then the operator shall incur all rights and obligations accruing to an operator in regard to operation of the well.

3.1.5. In case of lease default by an operator, if the lessor does not accept responsibility for plugging or operation of the well, then the operator shall have the right to access the wellsite to plug the well, and in the event, neither condition occurs, then the Chief has the right to designate the right to a person to access the wellsite for the purpose of plugging the well.

3.2. Declaration procedures. - The procedure for declaration of operator status will be the same procedure that is outlined in 38 CSR 18-10.3.

Notes

W. Va. Code R. § 38-22-3