HB467 Alabama 2014 Session

Summary

Primary Sponsor

Victor Gaston

Republican

Co-Sponsors

Elaine BeechAlan BakerJames E. BuskeyDonnie ChesteenBarry MooreRon JohnsonDickie DrakeJack WilliamsRandy WoodGreg BurdineGreg WrenRandy DavisDuwayne BridgesDavid StandridgeRichard BaughnBill PooleChad FincherRandall SheddDan WilliamsMarcel BlackApril WeaverNapoleon BracyKurt WallaceMike HolmesAllen TreadawayMicky HammonJim PattersonMike HubbardDavid SessionsTerri CollinsChris EnglandMike MillicanKerry RichMike BallThad McClammyWilliam RobertsAlan HarperBerry ForteMike JonesHoward SanderfordRichard J. LairdJohn MerrillMargie WilcoxJim CarnsSteve McMillanJoe FaustDarrio MeltonPaul W. LeeLesley VanceBecky NordgrenAlan BootheK.L. BrownDimitri PolizosAdline ClarkeRod ScottDavid Colston

Session

Regular Session 2014

Title

Oil and Gas Board, oil and gas wells, drainage or production units, regulation of horizontal wells in oil reservoirs and offshore wells in gas reservoirs, Secs. 9-17-1, 9-17-12 am'd.

Summary

HB467 defines horizontal wells and changes how drilling, drainage, and production units are sized for horizontal and offshore wells in Alabama.

What This Bill Does

Defines horizontal well as a well started vertically and then drilled at 75 degrees or greater from vertical. It removes most acreage limits for drainage/production units when drilling horizontal wells into oil reservoirs, but caps the unit size at 640 acres (or one governmental section, or two contiguous half sections) plus a 10% tolerance, with the Board setting the exact size. It also exempts offshore wells from these acreage limits, and the Board will determine the size and configuration of offshore drilling and production units. The bill also allows the Board to adjust special field rules to permit more than one well in certain shale natural gas reservoirs if evidence shows one well cannot efficiently drain the unit.

Who It Affects

• Oil and gas producers/operators drilling horizontal wells into oil reservoirs, who would gain more flexibility in unit size and the potential to drill additional wells within the same unit under certain conditions.
• Offshore oil and gas operators and related landowners/regulators, who would be governed by Board-determined offshore unit sizes without the same onshore acreage limits.

Key Provisions

• Definition of horizontal well and incorporation into the Board's regulation of horizontal wells and offshore wells.
• Acreage limitations: horizontal wells drilled into oil reservoirs are exempt from standard oil-reservoir unit acreage limits but are capped at 640 acres (or one section or two half sections) plus 10% tolerance, and offshore wells are exempt from these acreage limits with the Board determining offshore unit sizes.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Oil and Gas Board, State