NPD to publish revised guidelines for production permit applications

The main rule is that licensees shall apply for a joint permit for oil, gas and injection, as well as flaring and cold venting, for the upcoming calendar year.

The application deadline is 1 November. The Ministry of Petroleum and Energy (MPE) will issue the production permits.

Simplification and streamlining

The revision is a step in the ongoing simplification and streamlining work in the Norwegian Petroleum Directorate (NPD). New guidelines for the Annual status report for fields in operation (ASR) were published in early September this year, and submission of ASR for fields in operation now has the same deadline as reporting in connection with the Revised National Budget (RNB).

Linking production permit applications to submission of RNB and ASR will make it easier and less labour-intensive for the companies to apply for production permits, and for the authorities to process them.

What the guidelines cover

The guidelines cover permits for production and injection, as well as flaring and cold venting for:

• Fields in production/operation as well as other facilities that shall apply for permits for flaring/cold venting.
• Production permits in connection with start-up of new and shut down fields and facilities.
• Production permits for gas for fields with special needs.
• Test production.

Fields that are in production or operation

The most recently submitted RNB dataset (expected value) is used as a basis in connection with applications for production and injection permits, unless otherwise agreed with the MPE.

The information and data in the most recently submitted RNB and ASR are used as a basis for flaring and cold venting permits, in addition to data reported in the appendix to ASR (Table 6.2). Facilities that do not submit ASR will also find the necessary form in the appendix to the Annual status report.

In the production permit application, it is thus sufficient that the licensee confirms that the application is based on the most recently submitted RNB dataset and the Annual status report. Therefore, it is normally not desirable to include numbers in the application letters for permits for production and injection, flaring and cold venting, cf. ASR with appendices.

Applications for production permits shall be submitted to the MPE with a copy to the NPD by the applicable deadlines. Authority Communication shall be used.

Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/15092020/npd-to-publish-revised-guidelines-for-production-permit-applications/