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1Section 2 of New Brunswick Regulation 86-191 under the Oil and Natural Gas Act is amended

(a) in the English version by striking out the period at the end of the definition “road” and substituting a semicolon;

(b) by adding the following definitions in alphabetical order:

“developed spring” means an area of local groundwater discharge that is intended for long-term use and that has had human intervention to make the water usable or attainable for domestic or non-domestic purposes or both;(source naturelle aménagée)

“seismic explosive energy source” means an energy source that uses dynamite or other explosives in a shothole to produce a signal to acquire exploration data;(source d’énergie sismique explosive)

“seismic non-explosive energy source” means a mechanically generated energy source at the ground surface that is used to produce a signal to acquire exploration data, including by vibroseis and by air gun.(source d’énergie sismique non explosive)

2The Regulation is amended by adding after section 6 the following:

6.1(1)A security deposit referred to in section 3 or 5 shall be used for the following purposes:

(a) to ensure that operations are conducted in accordance with the Act and the regulations to the satisfaction of the Minister;

(b) to ensure that all reports and information required under the Act and this Regulation have been submitted; and

(c) to restore or repair Crown lands or private land or other property damaged or adversely affected during geophysical exploration conducted by a geophysical licensee or a permittee.

6.1(2)If all or any part of a security deposit is used or expended under this Regulation, the geophysical licensee shall immediately pay to the Minister of Finance the amount necessary to restore the amount of the security deposit to the amount required under Schedule B.

6.1(3)Subject to subsection (4), a security deposit shall only be refunded to a geophysical licensee if any damage to Crown lands or private land or other property has been repaired.

6.1(4)A security deposit shall not be refunded to a geophysical licensee any sooner than six months after the date the geophysical exploration program has been completed.

3Section 11 of the Regulation is repealed and the following is substituted:

11(1)A permittee shall submit to the Minister a geophysical progress report, on a form provided by the Minister, on the following dates:

(a) the date of commencement of the geophysical exploration program;

(b) on Monday of each week after the date of commencement while the geophysical exploration program is being carried out; and

(c) on the date of completion of the geophysical exploration program.

11(2)A geophysical progress report shall include the following information:

(a) the contact information of the permittee’s field manager;

(b) the location of the permittee’s field headquarters;

(c) details of the progress of the geophysical exploration program, including details of cutline construction operations, survey operations, drilling operations and data-acquisition operations;

(d) the date of an intended shutdown of the operations and, if the shutdown is to continue for more than five days, the date that operations will resume;

(e) if shotholes or testholes are drilled, the location of any holes where water was flowing or gas was released; and

(f) if explosive charges are used, the location of any misfired charges.

11(3)The Minister may exempt, in writing, a permittee from any or all of the requirements in subsection (2) if he or she is satisfied that

(a) no shotholes or testholes will be drilled,

(b) no explosive charges will be used,

(c) no new access to the geophysical exploration area will be constructed, or

(d) no new cutlines will be constructed.

4Section 12 of the Regulation is amended

(a) by repealing paragraph (2)c) of the French version and substituting the following:

(c) le numéro d’identification et l’emplacement de chaque trou de tir ou trou d’essai foré au cours de la prospection géophysique.

(b) by repealing subsection (4) and substituting the following:

12(4)The geophysical licensee shall file with the final plan the following documents:

(a) a log for each testhole drilled that shows the materials encountered during drilling;

(b) a report on the shotholes or testholes where water was flowing or gas was released and the measures taken to stop the flow or release and to remedy damage caused by the flow or release;

(c) where applicable, the plan for the control and management of the flow of water referred to in subsection 1(5) of Schedule C;

(d) a report of any misfire and a description of the action taken to deal with the misfire; and

(e) a document certifying that every shothole and testhole has been permanently abandoned in accordance with section 3 or 4 of Schedule D, as the case may be.

5The heading “FORAGES SISMIQUES ET FORAGES D’ESSAI” following section 32 of the French version of the Regulation is repealed and the following is substituted:

TROUS DE TIR ET TROUS D’ESSAI

6The Regulation is amended by adding before section 33 the following:

32.1No person conducting seismic operations shall use a seismic explosive energy source or a seismic non-explosive energy source within 200 m of a water well except in accordance with the standard entitled “Water Well Testing in Proximity to Seismic Exploration: Baseline Testing Standard” as prepared by the Department of Environment and Local Government and as amended from time to time.

32.2(1)At least 24 hours before the earliest anticipated date for commencing the seismic operations, the person conducting them shall provide notification of the operations to the occupants of all structures located within 400 m of a seismic energy source point.

32.2(2)The notification shall be in writing and shall include the following:

(a) the name of the person conducting the seismic operations;

(b) the contact information of the person conducting the seismic operations, including a telephone number;

(c) whether a seismic explosive energy source or a seismic non-explosive energy source will be used; and

(d) the anticipated date or dates that the seismic operations will occur.

7Subsection 33(1) of the French version of the Regulation is repealed and the following is substituted:

33(1)Le titulaire du permis de travaux géophysiques marque chaque trou d’essai ou trou de tir d’une étiquette métallique sur laquelle sont inscrits le numéro du trou d’essai ou du trou de tir et le numéro de son permis.

8Section 34 of the Regulation is repealed and the following is substituted:

34No permittee shall deploy a seismic non-explosive energy source except in accordance with the following table:

Structure	Setback (m)
Building or structure with a concrete base, residence, barn, concrete irrigation structure, concrete-lined irrigation canal or concrete water pipeline	50
Water well, artificial water hole or developed spring	100
Driveway, gateway, buried water pipeline (other than a concrete-lined pipeline), buried telephone or telecommunications line or survey monument	5
Irrigation canal (other than a concrete-lined canal)	10
Cemetery	50
Petroleum or natural gas pipeline (measured from the centre line of the pipeline) or a petroleum or natural gas well	15

9The Regulation is amended by adding after section 34 the following:

34.1No permittee shall deploy a seismic explosive energy source except in accordance with the following table:

Structure	Charge Weight (kg)	Setback (m)
Building or structure with a concrete base, residence, barn, concrete irrigation structure, concrete-lined irrigation canal or concrete water pipeline	all weights	180
Water well, artificial water hole or developed spring	all weights	180
Driveway, gateway, buried water pipeline (other than a concrete-lined pipeline), buried telephone or telecommunications line or survey monument	all weights	15
Irrigation canal (other than a concrete-lined canal)	all weights	10
Cemetery	all weights	100
Petroleum or natural gas pipeline (measured from the centre line of the pipeline) or a petroleum or natural gas well	> 0 ≤ 2 > 2 ≤ 4 > 4 ≤ 6 > 6 ≤ 8 > 8 ≤ 10 > 10 ≤ 20	35 45 55 64 72 101

10Section 35 of the French version of the Regulation is repealed and the following is substituted:

35Si l’exécution d’un tir déplace le bouchon d’un trou de tir ou d’un trou d’essai antérieurement abandonné, le titulaire du permis de travaux géophysiques en refait l’obturation conformément au présent règlement.

11Section 36 of the French version of the Regulation is amended by striking out “d’un forage sismique ou d’un forage d’essai” and substituting “d’un trou de tir ou d’un trou d’essai”.

12Section 37 of the Regulation is repealed and the following is substituted:

37(1)If water is flowing from an aquifer or stratum as a result of the drilling of a testhole or the drilling or detonation of a shothole, the permittee shall comply with the requirements in Schedule C.

37(2)If the permittee does not comply with subsections 1(1) to (5) of Schedule C,

(a) the Minister may undertake the required work or authorize another person to do the work necessary to remedy the non-compliance;

(b) the Minister of Finance may use or expend all or part of the security deposit referred to in sections 3 and 5 to do the work necessary to remedy the non-compliance to the satisfaction of the Minister; and

(c) if the amount of the security deposit is not sufficient to pay for the work necessary to remedy the non-compliance, the amount that is the difference between the cost incurred by the Minister to do that work and the amount of the security deposit is a debt payable by the geophysical licensee to the Crown.

37(3)If natural gas is encountered during the drilling of a shothole or testhole,

(a) the permittee shall ensure that the gas is immediately confined as close as practicable to its source, and

(b) immediately after the gas is confined, the permittee shall submit to the Minister a report, on a form provided by the Minister, in relation to the shothole or testhole where gas was encountered.

13Section 38 of the Regulation is repealed and the following is substituted:

38(1)A permittee shall ensure that a shothole or testhole that has not been permanently abandoned

(a) is temporarily abandoned in accordance with section 1 or 2 of Schedule D, as the case may be, and

(b) is not left unattended until it is temporarily abandoned.

38(2)Within 30 days after an explosive charge has been loaded in a shothole, the permittee shall ensure that the charge is detonated.

38(3) Immediately after the explosive charge is detonated in a shothole, the permittee shall ensure that the shothole is permanently abandoned in accordance with section 3 of Schedule D.

38(4)Within 30 days after the date on which the drilling of a testhole is completed, the permittee shall ensure that the testhole is permanently abandoned in accordance with section 4 of Schedule D.

38(5)The Minister may extend the periods of time referred to in subsections (2) to (4).

14The Regulation is amended by adding after section 38 the following:

38.1(1)A permittee shall develop and implement a code of practice regarding the measures to be taken if an explosive charge fails to detonate in a shothole.

38.1(2)On the request of the Minister, a permittee shall provide a copy of the code of practice to the Minister.

38.1(3)Without undue delay, a permittee shall submit to the Minister a report, on a form provided by the Minister, with respect to any explosive charge that has failed to detonate.

15Schedule B of the Regulation is amended by striking out “$50,000” and substituting “$100,000”.

16The Regulation is amended by adding, after Schedule B, the attached Schedules C and D.

17This Regulation shall be deemed to have come into force on June 1, 2013.

SCHEDULE C

Water Flowing from Shotholes or Testholes

Requirements when water comes to surface or flows from shotholes or testholes

1(1)If water is released from an aquifer or stratum while drilling a shothole or testhole and comes to the surface or flows from the shothole or testhole, the permittee shall, without undue delay, notify the Minister and ensure that all drilling on the flowing hole is discontinued, that no explosive charge is loaded into the shothole and that the flow of water is confined to the aquifer or original stratum in accordance with section 2 of this Schedule or in a manner proposed by the permittee and approved by the Minister.

1(2)If water is released from an aquifer or stratum and comes to the surface or flows from a shothole or testhole following the drilling of the testhole or the drilling or detonation of the shothole, the permittee shall, without undue delay, notify the Minister and ensure that the flow of water is confined to the aquifer or original stratum in accordance with section 2 of this Schedule or in a manner proposed by the permittee and approved by the Minister.

1(3)If a shothole is flowing before an explosive charge is detonated, the permittee shall ensure that the charge is detonated.

1(4)Without undue delay, the geophysical licensee shall submit to the Minister a report, on a form provided by the Minister, with respect to each flowing shothole or testhole

(a) after the flow of water has been confined to the aquifer or original stratum under subsections (1) and (2), or

(b) after reasonable attempts have been made to confine the flow of water to the aquifer or original stratum under subsections (1) and (2).

1(5)If, after reasonable attempts have been made, the flow of water from a shothole or testhole cannot be confined in accordance with section 2 of this Schedule, the geophysical licensee shall, as soon as possible, submit to the Minister for his or her approval a plan for the control and management of the flow of water.

1(6)If water flows from a shothole or testhole when drilling operations are in progress, the permittee shall ensure that the process referred to in subsection 2(2) of this Schedule is complied with when any subsequent shotholes or testholes in the sequence are drilled.

Procedure to be followed when water comes to surface or flows from shotholes or testholes

2(1)The permittee shall ensure that the water flowing from the shothole or testhole is confined to the aquifer of origin or the stratum as quickly as possible using one or more of the following methods:

(a) use of an inflatable plugging device and bentonite in accordance with the following procedure:

(i) remove bentonite and the plastic hole plug from the hole;

(ii) sound the shothole or testhole to the bottom to establish the depth and check for bridging of the hole by sand and gravel;

(iii) insert the inflatable plugging device to the bottom of the hole;

(iv) inflate the plugging device using an inflation pipe and check for the effect on the rate of the flow of water;

(v) if the water continues to flow, deflate the plugging device, raise it 1 m up the shothole or testhole and re-inflate it;

(vi) repeat the procedure in subparagraphs (iv) and (v) until the water ceases to flow;

(vii) remove the inflation pipe from the shothole or testhole;

(viii) fill the hole with bentonite chips or pellets from the top of the inflatable plugging device to within 1 m of the ground surface;

(ix) install the plastic hole plug and abandon the shothole or testhole in accordance with section 38;

(x) record the Global Positioning System (GPS) location of the shothole or testhole and any information from the metal tag located next to the hole; and

(xi) remove all equipment, surplus materials and waste from the site;

(b) pressure cement the shothole or testhole from the bottom to within 1 m of the ground surface and abandon the hole in accordance with section 38;

(c) use the reverse auger method to place bentonite in the shothole or testhole from the bottom of the hole to within 1 m of the ground surface; or

(d) any other method approved by the Minister to confine water that is flowing from a shothole or testhole or coming to the ground surface.

2(2)The permittee shall ensure that the following process is followed when subsequent shotholes or testholes in a sequence are drilled:

(a) subject to subsection (3), the maximum depth of the next shothole or testhole in the sequence shall be

(i) if the depth at which water was encountered is known, 3 m less than the point at which water was encountered, or

(ii) if the depth at which water was encountered is not known, 3 m less than the drilled depth of the flowing hole;

(b) if water is observed when subsequent shotholes or testholes in the sequence are drilled, the procedures referred to in subsection (1) and subsection 1(4) shall be followed and the drilling depth of each subsequent shothole or testhole in the sequence shall be stepped up by 3 m; and

(c) when, in subsequent shotholes and testholes, water is no longer observed

(i) within 200 m from the shothole or testhole where water was not encountered, the same drilling depth shall be used for the next shotholes or testholes in the sequence, and

(ii) beyond 200 m from the shothole or testhole where water was not encountered, the drilling depth may be stepped down by 3 m for the next shotholes or testholes in the sequence and if no water is observed at those next shotholes or testholes, the drilling depth may be stepped down by 3 m and this procedure shall be repeated until the original proposed drilling depth is reached.

2(3)A shothole shall not be drilled to a depth that is less than 3 m from the ground surface.

2(4)If water is encountered at any time during the drilling of subsequent shotholes or testholes in a sequence, the drilling depth of each subsequent shothole or testhole shall be stepped up by 3 m as specified in subsection (2).

SCHEDULE D

Procedures to Be Followed for Temporary and Permanent Abandonment of Shotholes and Testholes

Temporary abandonment of shotholes

1A permittee shall ensure that a shothole is temporarily abandoned in accordance with the following procedure:

(a) securely affix the explosive charge in the shothole to a winged sandpoint container;

(b) place drill cuttings or other material approved by the Minister in the hole to secure the explosive charge at the depth at which it was loaded;

(c) tightly pull the wire attached to the explosive charge to the ground surface;

(d) place a plastic hole plug in the shothole at a depth of not less than 1 m below the ground surface;

(e) place a bentonite sealing product on top of the plastic hole plug for a depth of at least 50 cm above the top of the plug followed by drilling cuttings or any soil or other material removed in the drilling of the shothole for a depth of at least 50 cm above the bentonite to fill the shothole to the surface and then thoroughly tamp the drill cuttings, soil or other material; and

(f) spread all drill cuttings not required to fill the shothole evenly over the ground surrounding the hole.

Temporary abandonment of testholes

2A permittee shall ensure that a testhole is temporarily abandoned in accordance with the following procedure:

(a) place a plastic hole plug in the testhole at a depth of not less than 1 m below the ground surface;

(b) place a bentonite sealing product on top of the plastic hole plug for a depth of at least 50 cm above the top of the plug followed by drilling cuttings or any soil or other material removed in the drilling of the testhole for a depth of at least 50 cm above the bentonite to fill the testhole to the surface and then thoroughly tamp the drill cuttings, soil or other material; and

(c) spread all drill cuttings not required to fill the testhole evenly over the ground surrounding the hole.

Permanent abandonment of shotholes

3A permittee shall ensure that a shothole is permanently abandoned in accordance with the following procedure:

(a) place a plastic hole plug in the shothole at a depth of not less than 1 m below the ground surface;

(b) place a bentonite sealing product on top of the plastic hole plug for a depth of at least 50 cm above the top of the plug followed by drilling cuttings or any soil or other material removed in the drilling of the shothole for a depth of at least 50 cm above the bentonite to fill the shothole to the surface and then thoroughly tamp the drill cuttings, soil or other material;

(c) spread all drill cuttings not required to fill the shothole evenly over the ground surrounding the hole; and

(d) tightly pull the wire attached to the explosive charge and cut it level with the ground surface.

Permanent abandonment of testholes

4A permittee shall ensure that a testhole is permanently abandoned in accordance with the following procedure:

(a) place a plastic hole plug in the testhole at a depth of not less than 1 m below the ground surface;

(b) place a bentonite sealing product on top of the plastic hole plug for a depth of at least 50 cm above the top of the plug followed by drilling cuttings or any soil or other material removed in the drilling of the testhole for a depth of at least 50 cm above the bentonite to fill the testhole to the surface and then thoroughly tamp the drill cuttings, soil or other material; and

(c) spread all drill cuttings not required to fill the testhole evenly over the ground surrounding the hole.

2013-57 - Oil and Natural Gas Act

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