[Federal Register Volume 77, Number 221 (Thursday, November 15, 2012)]
[Pages 68144-68146]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-27773]



Bureau of Safety and Environmental Enforcement (BSEE)

[Docket ID BSEE-2012-0018; OMB Control Number 1014-0002]

Information Collection Activities: Oil and Gas Production 
Measurement, Surface Commingling, and Security; Proposed Collection; 
Comment Request

ACTION: 60-day Notice.


SUMMARY: To comply with the Paperwork Reduction Act of 1995 (PRA), BSEE 
is inviting comments on a collection of information that we will submit 
to the Office of Management and Budget (OMB) for review and approval. 
The information collection request (ICR) concerns a renewal to the 
paperwork requirements in the regulations under Subpart L, Oil and Gas 
Production Measurement, Surface Commingling, and Security.

DATES: You must submit comments by January 14, 2013.

ADDRESSES: You may submit comments by either of the following methods 
listed below.
     Electronically: go to http://www.regulations.gov. In the 
entry titled Enter Keyword or ID, enter BSEE-2012-0018 then click 
search. Follow the instructions to submit public comments and view all 
related materials. We will post all comments.
     Email nicole.mason@bsee.gov. Mail or hand-carry comments 
to the Department of the Interior; BSEE; Regulations and Standards 
Branch; ATTN: Nicole Mason; 381 Elden Street, HE 3313; Herndon, 
Virginia 20170-4817. Please reference ICR 1014-0002 in your comment and 
include your name and return address.

FOR FURTHER INFORMATION CONTACT: Nicole Mason, Regulations and 
Standards Branch at (703) 787-1605 to request additional information 
about this ICR.

    Title: 30 CFR Part 250, subpart L, Oil and Gas Production 
Measurement, Surface Commingling, and Security.
    OMB Control Number: 1014-0002.
    Abstract: The Outer Continental Shelf (OCS) Lands Act, as amended 
(43 U.S.C. 1331 et seq. and 43 U.S.C. 1801 et seq.), authorizes the 
Secretary of the Interior (Secretary) to prescribe rules and 
regulations necessary for the administration of the leasing provisions 
of the Act related to the mineral resources on the OCS. Such rules and 
regulations will apply to all operations conducted under a lease. 
Operations on the OCS must preserve, protect, and develop oil and 
natural gas resources in a manner that is consistent with the need to 
make such resources available to meet the Nation's energy needs as 
rapidly as possible; to balance orderly energy resource development 
with protection of human, marine, and coastal environments; to ensure 
the public a fair and equitable return on the resources of the OCS; and 
to preserve and maintain free enterprise competition.
    The Federal Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 
1701, et seq.) at section 1712(b)(2) prescribes that an operator will 
``develop and comply with such minimum site security measures as the 
Secretary deems appropriate, to protect oil or gas produced or stored 
on a lease site or on the Outer Continental Shelf from theft.''
    The Independent Offices Appropriations Act (31 U.S.C. 9701), the 
Omnibus Appropriations Bill (Pub. L. 104-133, 110 Stat. 1321, April 26, 
1996), and OMB Circular A-25, authorize Federal agencies to recover the 
full cost of services that confer special benefits. Under the 
Department of the Interior's (DOI) implementing policy, BSEE is 
required to charge fees for services that provide special benefits or 
privileges to an identifiable non-Federal recipient above and beyond 
those which accrue to the public at large. Applications for surface 
commingling and measurement applications are subject to cost recovery 
and BSEE regulations specify service fees for these requests.
    Regulations at 30 CFR Part 250, subpart L, implement these 
statutory requirements. We use the information to ensure that the 
volumes of hydrocarbons produced are measured accurately, and royalties 
are paid on the proper volumes. Specifically, we need the information 
     Determine if measurement equipment is properly installed, 
provides accurate measurement of production on which royalty is due, 
and is operating properly;
     Obtain rates of production data in allocating the volumes 
of production measured at royalty sales meters, which can be examined 
during field inspections;
     Ascertain if all removals of oil and condensate from the 
lease are reported;
     Determine the amount of oil that was shipped when 
measurements are taken by gauging the tanks rather than being measured 
by a meter;
     Ensure that the sales location is secure and production 
cannot be removed without the volumes being recorded; and
     Review proving reports to verify that data on run tickets 
are calculated and reported accurately.
    We will protect information from respondents considered proprietary 
under the Freedom of Information Act (5 U.S.C. 552) and its 
implementing regulations (43 CFR part 2), and under regulations at 30 
CFR 250.197, Data and information to be made available to the public or 
for limited inspection. No items of a sensitive nature are collected. 
Responses are mandatory.
    Frequency: Varies by section, but primarily monthly, or on 
    Description of Respondents: Potential respondents comprise Federal 
oil, gas and sulphur lessees and/or operators.
    Estimated Reporting and Recordkeeping Hour Burden: The currently 
approved annual reporting burden for this collection is a total of 
32,957 hours. The following chart details the individual components and 
estimated hour burdens. In calculating the burdens, we assumed that 
respondents perform certain requirements in the normal course of their 
activities. We consider these to be usual and customary and took that 
into account in estimating the burden.

[[Page 68145]]

                                                           Hour burden
   Citation 30 CFR part 250          Reporting or      -----------------
           subpart L                 recordkeeping        Non-hour cost
                                      requirement            burdens
                     Liquid Hydrocarbon Measurement
1202(a)(1), (b)(1);             Submit application for  24.5
 1203(b)(1); 1204(a)(1).         liquid hydrocarbon or
                                 gas measurement
                                 procedures or
                                 changes; or for
                                 commingling of
                                 production or changes.
Simple........................  ......................  $1,271 simple
Complex.......................  ......................  $3,760 complex
No fee........................  Submit meter status     5
                                 and replacement
1202(a)(4)....................  Copy & send pipeline    1.2
                                 condensate volumes
                                 upon request.
1202(c)(1), (2); 1202(e)(4);    Record observed data,   Respondents
 1202(h)(1), (2), (3), (4);      correction factors &    record these
 1202(i)(1)(iv), (2)(iii);       net standard volume     items as part
 1202(j).                        on royalty meter and    of normal
                                 tank run tickets.       business
                                Record master meter      records &
                                 calibration runs.       practices to
                                Record mechanical-       verify accuracy
                                 displacement prover,    of production
                                 master meter, or tank   measured for
                                 prover proof runs.      sale purposes.
                                Record liquid
                                 hydrocarbon royalty
                                 meter malfunction and
                                 repair or adjustment
                                 on proving report;
                                 record unregistered
                                 production on run
                                List Cpl and Ctl
                                 factors on run
1202(c)(4)*...................  Copy & send all liquid  10 minutes
                                 hydrocarbon run
                                 tickets monthly.
1202(d)(4); 1204(b)(1)........  Request approval for    2
                                 proving on a schedule
                                 other than monthly;
                                 request approval for
                                 well testing on a
                                 schedule other than
                                 every 60 days.
1202(d)(5)*...................  Copy & submit liquid    15 minutes
                                 hydrocarbon royalty
                                 meter proving reports
                                 monthly & request
                                 waiver as needed.
1202(f)(2)*...................  Copy & submit           16.5 minutes
                                 displacement prover &
                                 tank prover
                                 calibration reports.
1202(l)(2)*...................  Copy & submit royalty   45 minutes
                                 tank calibration
                                 charts before using
                                 for royalty
1202(l)(3)*...................  Copy & submit           45 minutes; 10
                                 inventory tank          minutes
                                 calibration charts
                                 upon request; retain
                                 charts for as long as
                                 tanks are in use.
                             Gas Measurement
1203(b)(6), (8), (9)*.........  Copy & submit gas       15 minutes; 36
                                 quality and volume      minutes
                                 statements monthly or
                                 as requested (most
                                 will be routine; few
                                 will take longer).
1203(c)(1)....................  Request approval for    1.2
                                 proving on a schedule
                                 other than monthly.
1203(c)(4)*...................  Copy & submit gas       13 minutes; 7.5
                                 meter calibration       minutes
                                 reports upon request;
                                 retain for 2 years.
1203(e)(1)*...................  Copy & submit gas       1.2
                                 processing plant
                                 records upon request.
1203(f)(5)....................  Copy & submit           42 minutes
                                 measuring records of
                                 gas lost or used on
                                 lease upon request.
                           Surface Commingling
1204(a)(2)....................  Provide state           6
                                 production volumetric
                                 and/or fractional
                                 analysis data upon
1205(a)(2)....................  Post signs at royalty   2
                                 or inventory tank
                                 used in royalty
                                 determination process.
1205(a)(4)....................  Report security         18 minutes
                                 problems (telephone).
                     Miscellaneous and Recordkeeping
1200 thru 1205................  General departure and   1.3
                                 compliance requests
                                 not specifically
                                 covered elsewhere in
                                 subpart L.
1202(e)(6)....................  Retain master meter     23 minutes
                                 calibration reports
                                 for 2 years.
1202(k)(5)....................  Retain liquid           10 minutes
                                 allocation meter
                                 proving reports for 2
1203(f)(4)....................  Document & retain       15 minutes
                                 measurement records
                                 on gas lost or used
                                 on lease for 2 years
                                 at field location and
                                 minimum 7 years at
                                 location of
                                 respondent's choice.
1204(b)(3)....................  Retain well test data   6.7 minutes
                                 for 2 years.
1205(b)(3), (4)...............  Retain seal number      5 minutes
                                 lists for 2 years.
*Respondents gather this information as part of their normal business
  practices. The BSEE only requires copies of readily available
  documents. There is no burden for testing, meter reading, etc.

    Estimated Reporting and Recordkeeping Non-Hour Cost Burden: We have 
identified two non-hour cost burdens, both of which are cost recovery 
fees. Note that the actual fee amounts are specified in 30 CFR 250.125, 
which provide a consolidated table of all the fees required under the 
30 CFR 250 regulations. The currently approved non-hour cost burden 
total in this collection of information is an estimated $600,065. The 
cost burdens are for: (1)

[[Page 68146]]

Filing fees associated with submitting requests for approval of simple 
applications (applications to temporarily reroute production (for a 
duration not to exceed 6 months); production tests prior to pipeline 
construction; departures related to meter proving, well testing, or 
sampling frequency ($1,271 per application)) or, (2) submitting a 
request for approval of a complex application (creation of new facility 
measurement points (FMPs); association of leases or units with existing 
FMPs; inclusion of production from additional structures; meter updates 
which add buyback gas meters or pigging meters; other applications 
which request deviations from the approved allocation procedures 
($3,760 per application)).
    Public Disclosure Statement: The PRA (44 U.S.C. 3501, et seq.) 
provides that an agency may not conduct or sponsor a collection of 
information unless it displays a currently valid OMB control number. 
Until OMB approves a collection of information, you are not obligated 
to respond.
    Comments: Before submitting an ICR to OMB, PRA section 
3506(c)(2)(A) requires each agency ``* * * to provide notice * * * and 
otherwise consult with members of the public and affected agencies 
concerning each proposed collection of information * * *''. Agencies 
must specifically solicit comments to: (a) Evaluate whether the 
collection is necessary or useful; (b) evaluate the accuracy of the 
burden of the proposed collection of information; (c) enhance the 
quality, usefulness, and clarity of the information to be collected; 
and (d) minimize the burden on the respondents, including the use of 
    Agencies must also estimate the non-hour paperwork cost burdens to 
respondents or recordkeepers resulting from the collection of 
information. Therefore, if you have other than hour burden costs to 
generate, maintain, and disclose this information, you should comment 
and provide your total capital and startup cost components or annual 
operation, maintenance, and purchase of service components. For further 
information on this burden, refer to 5 CFR 1320.3(b)(1) and (2), or 
contact the Bureau representative listed previously in this notice.
    We will summarize written responses to this notice and address them 
in our submission for OMB approval. As a result of your comments, we 
will make any necessary adjustments to the burden in our submission to 
    Public Comment Procedures: Before including your address, phone 
number, email address, or other personal identifying information in 
your comment, you should be aware that your entire comment-including 
your personal identifying information-may be made publicly available at 
any time. While you can ask us in your comment to withhold your 
personal identifying information from public review, we cannot 
guarantee that we will be able to do so.
    Acting BSEE Information Collection Clearance Officer: Cheryl 
Blundon (703) 787-1607.

    Dated: November 6, 2012.
Robert W. Middleton,
Deputy Chief, Office of Offshore Regulatory Programs.
[FR Doc. 2012-27773 Filed 11-14-12; 8:45 am]