Comment to article 345. Violation of the rules on rational and integrated use of subsurface resources when conducting subsurface use operations under subsurface use contracts for hydrocarbons and uranium The Code of the Republic of Kazakhstan on Administrative Offences
Article Violation of the rules on rational and integrated use of subsurface resources during subsurface use operations under subsurface use contracts for hydrocarbons and uranium, which led to a deterioration in the quality of the remaining reserves, unjustified over-design and excess losses of minerals, –
entails a fine for small businesses in the amount of thirty, for medium–sized businesses – in the amount of fifty, for large businesses - in the amount of one hundred and fifty monthly calculation indices.
The object of the offense is the established procedure for the use of subsurface resources when conducting subsurface use operations under subsurface use contracts for hydrocarbons and uranium.
In accordance with paragraph 4 of Article 23 of the Code of the Republic of Kazakhstan dated December 27, 2017 "On Subsoil and Subsoil Use", "project documents are developed taking into account the requirements of environmental and industrial safety. When conducting subsurface use operations, subsurface users are required to comply with the environmental and industrial safety parameters provided for in the project document."
According to paragraph 1 of Article 52 of the Code of the Republic of Kazakhstan "On Subsoil and Subsurface Use", "subsurface use operations, including forecasting, planning and design of production and other facilities, must comply with the requirements of the environmental legislation of the Republic of Kazakhstan."
Paragraph 4 of Article 122 of the Code of the Republic of Kazakhstan "On Subsoil and Subsurface Use" states that "subsurface users, when designing and carrying out work on the exploration and development of hydrocarbon deposits, are required to comply with the requirements for the rational and integrated use and protection of subsurface resources established by this Code."
Section 13 of the "Uniform Rules for the Rational and Integrated Use of Subsurface resources in the exploration and extraction of Minerals", approved by joint Order No. 1072 of the Minister of Investment and Development of the Republic of Kazakhstan dated November 17, 2015 and No. 675 of the Minister of Energy of the Republic of Kazakhstan dated November 30, 2015, states that the operation of oil producing wells depends on their productivity and the degree of irrigation is carried out by fountain or mechanized methods.
The mechanized method includes various modifications of pumping and gas lifting methods. The fountain method, in which the production of wells from the bottom to the surface of the earth is carried out only at the expense of reservoir energy, is used in the initial (anhydrous) period of oil reservoir development.
As wells are naturally flooded, the average density of the produced liquid increases, the proportion of free gas in the well output decreases, which collectively leads to a decrease in flow rate and then to the cessation of well gushing, even if reservoir pressure is maintained at its initial value.
Due to the decrease in flow rates, the operation of wells by the fountain method becomes economically unprofitable and they are transferred to a more profitable mechanized method of operation in these conditions. Depending on the characteristics of the natural and climatic conditions of production, the established organization of the system of operation and repair of equipment, the following special pumping equipment is used in the development of deposits:
installation of rod depth pumps;
installations of electric centrifugal pumps.
When the operating conditions of wells become more complicated (pumping of highly viscous liquids, increased content of mechanical impurities in the produced products, low dynamic liquid levels at a large depth of wells), it is necessary to use special pumping equipment.:
installations of electric screw pumps;
installation of diaphragm pumps;
installation of hydraulic piston pumps.
When operating wells by the gas lift method, depending on their characteristics, gas resources and the availability of borehole and ground equipment for gas injection, the following basic gas lift operation schemes are used:
compressor gas lift;
compressor-free gas lift;
downhole gas lift;
continuous gas lift;
periodic gas lift.
The level and pace of fluid extraction from production facilities, pressure at the bottom and mouth of producing wells, the maximum gushing pressure and the transfer of groups of wells to mechanized production, as well as the choice of the method of mechanical extraction are justified in the design documents for the development of the field and are carried out by subsurface users in accordance with the plans of geological and technical measures.
The operation of wells with any method should be carried out only if there are pumping and compressor pipes in them. The material, dimensions and depth of the descent of these pipes into the well depend on the characteristics of the pumped liquid, the thermobaric conditions in the well, the method of operation and are determined according to approved methods and recommendations.
The selection of the standard size and depth of downhole equipment as part of the selected well operation method should be performed by subsurface users according to approved methods and guidance documents adapted to the specific conditions of well operation and field development.
When choosing equipment for the operation of producing wells, it is necessary to ensure:
reliable and trouble-free operation of wells;
the set rate of fluid extraction from wells;
high efficiency and maintenance period of equipment operation;
minimal costs compared to other methods;
the ability to monitor and regulate the development process and the operating mode of wells.
During fountain operation of wells, one of the possible schemes of downhole equipment is provided in order to make the best use of reservoir energy, prolong the gushing period and ensure smooth (pulsation-free) operation of wells.:
installation of a packer in the lower part of the tubing column, sealing the annular space, or a special funnel that captures the bulk of the gas released from the oil and directs it into the column of these pipes;
installation of a shut-off packer that seals the annular space and cuts off (blocks) the flow of the gas-oil mixture through the tubing column in emergency situations;
installation of a downhole fitting that regulates the operation of wells and makes the most complete use of the energy released from the oil gas as it rises to the surface;
installation of one (or several) borehole chambers to accommodate gas lift valves in them, which ensure the passage of gas from the annulus into the column of tubing during fountain operation or the operation of wells in a gas lift manner after the end of gushing, if this is provided for in the design documents for the development of deposits.
The operation of wells using a compressor-free gas lift using natural and (or) associated gas as a working agent is allowed only if the gas used is disposed of.
The well design must meet the requirements for gas wells. During pumping operation of wells, special protective devices (gas separators, gas and sand anchors, and others) must be used to protect pumping equipment from gas, sand, and mechanical impurities.
When operating wells in deposits exposed to heat, borehole equipment is selected taking into account the possibility of its operation in conditions of high temperature and high levels of aggressive corrosive components (carbon dioxide, hydrogen sulfide, and others).
At the same time, separate operation of two or more facilities by one well is allowed only if borehole and onshore equipment are used to ensure separate accounting of the products produced and field research of each facility.
The procedure, timing of commissioning and operation of injection wells are defined in technological schemes and development projects. Injection wells located inside the oil production contour can initially be used as producing wells with their connection to oil reservoirs.
It is not allowed to operate oil wells in which an emergency gas breakthrough has occurred in the reservoir or column space.
It is not allowed to operate fountain wells or wells converted to a mechanized method through the intertubular (annular) space. It is not allowed to operate wells with a gas factor exceeding the design values. Forced extraction of liquid in wells at pressures below the permissible bottom-hole pressure is not allowed, unless otherwise provided in the design document.
Thus, the objective side of the offense is manifested in actions (inaction) to violate the rules for the rational and integrated use of subsurface resources when conducting subsurface use operations under subsurface use contracts for hydrocarbons and uranium, which led to a deterioration in the quality of the remaining reserves, unjustified over-design and excessive losses of minerals.
The subjective side of the offense is characterized by the fact that the offense can be committed either intentionally or negligently.
The subject of a special offense is a small business entity, a medium-sized business entity, and a large business entity.
In accordance with Part 1 of Article 688 of the Administrative Code, the authorized body in the field of hydrocarbons examines cases of administrative offenses provided for in Article 345 of the Administrative Code.
Scientific and practical commentary to the Code of the Republic of Kazakhstan on Administrative Offences (article-by-article) from the Author's team:
Bachurin Sergey Nikolaevich, Candidate of Law, Associate Professor – chapter 48 (co-authored with E.M. Khakimov);
Gabdualiev Mereke Trekovich, Candidate of Law – Chapters 11, 21, 22, 23;
Zhusipbekova Ainur Maratovna, M.yu.n. – chapter 13 (co-authored with Karpekin A.V.); chapters 33, 39 (co-authored with Seitzhanov O.T.);
Karpekin Alexander Vladimirovich, Candidate of Law, Associate Professor – chapter 13 (in collaboration with Zhusipbekova A.M.);
Korneychuk Sergey Vasilyevich – chapters 2; chapter 6 (co-authored with O.T. Seitzhanov, E.M. Khakimov); chapter 8; chapter 25 (co-authored with E.M. Khakimov); articles 457-470, 488, 488-1, 491-506; chapters 28, 30, 52;
Ilya Petrovich Koryakin, Doctor of Law, Professor – Chapter 49;
Kisykova Gulnara Bauyrzhanovna, Candidate of Law – chapter 20;
Omarova Botagoz Akimgereevna, Candidate of Law – chapters 17; chapter 18 (co-authored with B.A. Parmankulova); chapters 26, 31; chapter 32 (co-authored with B.A. Parmankulova);
Parmankulova Bayan Askhanbaevna – chapter 18 (co-authored with Omarova B.A.); chapters 19, 32 (co-authored with Omarova B.A.); chapter 43 (co-authored with Tukiev A.S.);
Podoprigora Roman Anatolyevich, Doctor of Law, Professor - Chapter 24, articles 489, 489-1, 490;
Porokhov Evgeny Viktorovich, Doctor of Law – Chapters 14, 15, 16, 29, articles 471-475;
Seitzhanov Olzhas Temirzhanovich, Candidate of Law, Associate Professor, – chapter 4; chapter 5 (co-authored with E. M. Khakimov); chapter 6 (co-authored with S.V. Korneychuk, E.M. Khakimov); chapter 9; chapter 10 (co-authored with B.E. Shaimerdenov, V.V. Filin); chapter 33 (co-authored with Zhusipbekova A.M.); chapter 36 (co-authored with Shaimerdenov B.E.); chapter 39 (co-authored with Zhusipbekova A.M.);
Smyshlyaev Alexander Sergeevich, PhD. – chapters 38, 40, 42, 43-1 (co-authored with A.S. Tukiev); chapter 44;
Aslan Sultanovich Tukiev - Candidate of Law, Associate Professor – chapters 1, 3, 35; chapters 38, 40, 42, (co-authored with A.S. Smyshlyaev); chapter 43 (co-authored with B.A. Parmankulova); chapter 43-1 (co-authored with A.S. Smyshlyaev); chapter 44-1 (co-authored with Shipp D.A.); chapter 45; 46 (co-authored with Shipp D.A.); chapter 47;
Filin Vladimir Vladimirovich, Candidate of Law, Associate Professor – Chapter 10 (in collaboration with O.T. Seitzhanov, B.E. Shaimerdenov);
Yerzhan Maratovich Khakimov, M.yu.n. – chapter 5 (co-authored with O.T. Seitzhanov); chapter 6 (co-authored with O.T. Seitzhanov, S.V. Korneychuk); chapter 7; chapter 25 (co-authored with S.V. Korneychuk); chapters 34, 41; chapter 48 (co-authored with S.N. Bachurin); chapter 53;
Shaimerdenov Bolat Yerkenovich, M.yu.n., – chapter 10 (co-authored with O.T. Seitzhanov, V.V. Filin); chapter 12; articles 476-487, 507-509; chapter 36 (co-authored with O.T. Seitzhanov); chapters 37, 50, 51.
Shipp Denis Alekseevich – chapters 44-1, 46 (in collaboration with A.S. Tukiev).
Date of amendment of the act: 01.01.2020 Date of adoption of the act: 01.01.2020 Place of acceptance: 100050000000 Authority that adopted the act: 103001000000 Region of operation: 100000000000 NPA registration number assigned by the regulatory body: 5 Status of the act: new Sphere of legal relations: 029000000000 / 028000000000 / 029002000000 / 028004000000 / 029001000000 / 026000000000 / 001000000000 / 001008000000 / 030000000000 The form of the act: COMM / CODE Legal force: 1900 Language of the Act: rus
Attention!
Law and Law Law Law draws your attention to the fact that this document is basic and does not always meet the requirements of a particular situation. Our lawyers are ready to assist you in legal advice, drawing up any legal document suitable for your situation.
For more information, please contact a Lawyer / Attorney by phone: +7 (708) 971-78-58; +7 (700) 978 5755, +7 (700) 978 5085.
Attorney at Law Almaty Lawyer Legal Services Legal Advice Civil Criminal Administrative Cases Disputes Protection Arbitration Law Firm Kazakhstan Law Office Court Cases