RRC Assesses $8,651,857 in Fines for 2106

The Texas Railroad Commission has released its full year report for oil and gas inspections, violations and assessed fines.

Related: Texas Drilling Permits Down

The Railroad Commission of Texas tool action earlier this month for violations in the oil and gas industry. For the month of December, the Commission assessed $556,237 in fines involving 180 enforcement dockets against operators and businesses for the following:

  • 10 oil and gas operators were assessed $294,775 after failing to appear at Commission enforcement proceedings and others
  • Operators were ordered to come into compliance with Commission rules and assessed $49,212 for oil and gas and LP-Gas rule violations
  • Pipeline operators and excavators were assessed $212,250 for violations of the Commission’s Pipeline Damage Prevention rules

For the calendar year 2016, the Commission performed 124,299 inspections and found 41,867 alleged violations. The commission assessed a total of $8,651,857 in fines and report 90 operators are repeat violators.

Last week, the RRC announced it issued 673 original drilling permits in November 2016 compared, a drop from the 687 issued in November 2015. This total includes:

  • 581 permits to drill new oil or gas wells
  • 10 to re-enter plugged well bores and 82 for re-completions of existing well bores
  • 145 for oil
  • 38 for gas
  • 449 for oil or gas
  • 36 for injection

Total well completions for 2016 were 9,923, almost half of what they were a year ago (18,510).

The Texas Railroad Commission regulates oil and gas exploration and production, pipeline safety, surface mining, natural gas utilities and alternative fuels. In April the RRC celebrated its 125th anniversary.