Commingling & Permits

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aerial Land

Commingling 

Surface commingling is the surface mixing of the production from two or more lease tracts and/or unit participating areas into a common manifold, separator, tank, and/or gathering system.

In Texas, surface commingling generally involves the surface commingling of two or more Texas Railroad Commission (RRC) oil lease numbers and/or RRC Gas ID numbers.

The lessee of a state lease must obtain written permission from the GLO, per 31 TAC §9.35(a)(3), before surface commingling oil or gas production from a state lease or pooled unit with the production from any other private or state lease and/or unit into (i) a common manifold and/or separator, (ii) common storage, (iii) a common gathering system or pipeline, or (iv) to utilize an off-lease gas supply to inject gas for lift purposes into any oil- or gas-producing formation in the leased premises.

These requirements are in addition to, and apart from, the requirements of any other state and/or federal entity. 


Oil Field Development

The GLO reviews and issues authorization under certain U.S. Army Corps of Engineers Oil Field Development General Permits (OFD GP). There are eight OFD GP's for oil field related activities in the bays and Gulf of Mexico.