SheelLegal

Chapter I : Preliminary

(1) These regulations may be called the Oil Mines Regulations, 2017.
(2) They shall come into force on the date of their publication in the Official Gazette.
(3) They shall apply to every oil mine.
(4) They shall extend to the whole of India.
(1) In these regulations, unless the context otherwise requires:
  (a) “Act” means the Mines Act, 1952 (35 of 1952);
  (b) “acidising” means the treatment of hydrocarbon bearing formation by chemical reaction with acid in order to increase productivity or injectivity;
  (c) “annular space” means the space surrounding pipe suspended in the well, in which the outer wall of the annular space may be an open hole or it may be a string of larger pipe;
  (d) “bleed” means to drain off liquid or gas generally through a valve and to bleed off means a controlled release of the pressure of a well or the pressurised equipment;
  (e) “blowout” means uncontrolled sudden violent escape of fluid from a well;
  (f) “blowout preventer” means a device attached above the well head-
    (i) to control pressure or to prevent uncontrolled escape of fluid from the annular space between tubing and casing or between drill pipe and casing or between wire line and tubing; or
    (ii) to shut-off the well if no drill pipe or tubing is in the hole; in case a kick or blowout occurs;
  (g) “casing” means a steel pipe lowered into a well during drilling to prevent caving of the well and to hold back fluids from entering the well;
  (h) “casing line” means steel wire rope used for lowering and raising of pipes in the well through crown block and travelling block;
  (i) “cat-head” means a device mounted on the draw-works for making or breaking pipe connections or for operation of cat-line with the help of power from draw-works;
  (j) “cat-line” means a rope used to lift a pipe, drilling tool and other equipment from ground or base, pipe rack, tool platform or cat-walk on to the derrick floor;
  (k) “cat-walk” means a ramp giving access to rig floor for drill pipe, tubing, casing and drilling or other tools;
  (l) “cellar” means an excavation under the derrick to provide space for items or equipment at the top of the well which serves as a pit to collect drainage of water and other fluids under the floor for subsequent disposal;
  (m) “cementing” means an operation by which cement and water mixture is pumped down through the casing in such a way that it fills the space between casing and walls of the well to a pre-determined height above the bottom of the well;
  (n) “christmas tree” means the valves and fittings assembled at the top of a well head to control the flow of the fluid;
  (o) “coal bed methane” means a natural gas trapped in a coal seam or adjacent strata;
  (p) “cold work” means an activity which does not produce adequate heat to ignite a flammable air hydrocarbon mixture or a flammable substance;
  (q) “competent person” in relation to any work or any machinery, plant or equipment means a person who has been duly appointed in writing by the manager as a person competent to supervise or perform that work, or to supervise the operation or maintenance of that machinery, plant or equipment, and who is responsible for the duties assigned to such person;
  (r) “completed well” means a well in which the petroleum bearing formations or effluent disposal formation is open to the well, complete with equipment installed in the well and at the well-head thereby it is physically able to perform as a petroleum producer, injector or disposal well;
  (s) “contractor” means an individual, association of individuals, company, firm, local authority or local body who on contract basis provides for the services or operations in an oil mine, and includes a sub-contractor;
  (t) “crown block” means a multi-sheaved assembly mounted at the top of the derrick or mast and used in conjunction with a travelling block for raising and lowering of equipment in drilling and servicing a well;
  (u) “day light hours” means the period from sunrise to sunset;
  (v) “deputy manager” means a person possessing qualifications as provided under these regulations and who is appointed in writing by the owner, agent or manager of a mine to assist the manager in the control, management, direction and supervision of the mine or part thereof, and who takes rank immediately below the manager;
  (w) “derrick” means a compound latticed structure used over the well for drilling or well servicing purposes, and includes a mast;
  (x) “designer” means an individual, association of individuals, company or institution who designs an oil or gas mining system, method of oil or gas mining, machinery, plant, equipment, appliance or substances for use in oil or gas mines;
  (y) “District Magistrate” in relation to any mine means the District Magistrate or the Collector or the Deputy Commissioner, as the case may be, who is vested with the executive powers of maintaining law and order in the revenue district in which the mine is situated;
  (z) “draw-works” means an assembly of shafts, sprockets, chains, pulleys, belts, clutches, cat-heads or other mechanical devices, suitably mounted and provided with control for hoisting, operating and handling the equipment used for drilling a well or servicing a producing well;
  (za) “drilling” means perforation of the earth’s crust by mechanical or other means and includes all operations for preventing collapse of the sides of such hole or for preventing such hole from being filled with extraneous material including water;
  (zb) “drilling rig” means the complete structure and machinery required for drilling purposes at the bore hole site;
  (zc) “elevator” means a steel mechanical device used in connection with the hoisting equipment suspended from the travelling block, for holding in suspension, pipe or rod being lowered into or pulled from a well;
  (zd) “emergency-escape device” means an inclined wire line to carry a safety carriage or slide running from a point above the monkey board to a ground anchor and includes such carriage or slide;
  (ze) “explosimeter” means an instrument to measure the concentration of flammable gas;
  (zf) “explosive” shall have the same meaning as assigned to that term in the Explosives Act, 1884 (4 of 1884);
  (zg) “flame proof enclosure” shall have the same meaning as assigned to it under the Central Electricity Authority (Measures Relating to Safety and Electric Supply) Regulations, 2010;
  (zh) “flammable” means capable of being easily ignited, burning intensely or having a rapid rate of flame spread;
  (zi) “flash point” means the lowest temperature at which any petroleum liquid yields vapour in sufficient concentration to form an ignitable mixture with air and gives a momentary flash on application of a small pilot flame under specified conditions of test as per standard, that is, IS 1448 [P:21] or its revised version;
  (zj) “flare” means a flame used to dispose off gas as per process requirement;
  (zk) “floor block” means a single sheave pulley or snatch block fixed at or near floor level by means of which the direction of pull on a rope may be varied;
  (zl) “form” means a form specified by the Chief Inspector of Mines under these regulations;
  (zm) “fracturing” means the process of forcing a fluid in the sub-surface strata with the purposes of enhancing flow passages;
  (zn) “gas” means the vapour state of the hydrocarbons occurring in or derived from petroleum and includes natural gas;
  (zo) “gas free” means an environment in which-
    (i) the percentage of flammable gas does not exceed the limit specified under the Central Electricity Authority (Measures Relating to Safety and Electric Supply) Regulations, 2010 for cutting off power supply in case of existence of such gas;
    (ii) the percentage of oxygen is not less than nineteen, and
    (iii) noxious gas is within the permissible limit specified in accordance with the Oil Industry Safety Directorate Standard, that is, OISD-STD-114 or its revised version;
  (zp) “gas well” means a well which is on continuous production from a gas bearing zone or a well in which casing is run for continuous production of gas;
  (zq) “hazardous area” means an area where hazardous atmosphere exists or is likely to occur;
  (zr) “hazardous atmosphere” means an atmosphere containing any flammable gas in a concentration capable of ignition or containing noxious gas beyond permissible limits specified as per the Oil Industry Safety Directorate Standard, that is, OISD-STD-114 or its revised version;
  (zs) “hot work” means an activity that can produce a spark or flame or other source of ignition having adequate energy to cause ignition, where the potential for flammable vapours, gas, or dust exist;
  (zt) “Indian Standards (IS)” means the standards formulated by the Bureau of Indian Standards under the Bureau of Indian Standard Act, 1986 (63 of 1986) which have been concurred by the Chief Inspector of Mines by a general order;
  (zu) “installation” means any fixed set up or structure or vessel or part thereof which is maintained within the mine or is to be established therein in connection with exploration or with exploitation of petroleum or natural gas with a view to such exploitation, production, storage or transport thereof;
  (zv) “installation manager” means a person appointed in writing by the owner, agent or manager of a mine to be in-charge of and responsible for all operations and activities on or in connection with the installation;
  (zw) “ionising radiation” means emission due to self-disruptive fission of atomic nucleus of any radioactive substance which is hazardous to health;
  (zx) “kelly cock” means a valve installed between swivel and kelly or kelly and drill pipe to control pressure, should a high pressure backflow of fluids occur, and to keep the pressure off the swivel and rotary hose;
  (zy) “kick” means a sudden pressure-surge of short duration caused by influx of formation fluids entering well being drilled;
  (zz) “lifting appliance” means a combined unit with or without horizontal movement used for hoisting or lowering cargo;
  (zza) “lifting gear” means every type of equipment placed on loading hook of a lifting appliance and includes container, steel basket, lifting yoke, multi slings or chain or wire;
  (zzb) “living accommodation” means the part of the installation comprising of personnel living rooms, conference room, gallery and offices attached thereto;
  (zzc) “lubricator” means a device fitted on top of a christmas tree and consists of a pressure sealing device at its upper end thereby afford an effective seal on the wire-line or other connection attached to tools run into the well;
  (zzd) “machinery” means -
    (i) any apparatus, appliance or combination of appliances intended for developing, storing, transmitting, converting or utilising energy, which is; or
    (ii) any stationery or portable engine, air or gas compressor, boiler or steam apparatus, which is; or
    (iii) any such apparatus or appliance if any power developed, stored, transmitted, converted or utilised thereby, is, under use or intended for use in connection with mining operations;
  (zze) “major accident” means an occurrence including in particular, a major emission of fire or explosion from uncontrolled developments in the course of drilling and for production, storage, handling or transportation of petroleum or machinery or owing to natural events leading to serious effects (both immediate and delayed and inside or outside the installation) causing or likely to cause substantial loss of life or property;
  (zzf) “major fire” means any incident of fire not extinguished within fifteen minutes;
  (zzg) “manager” means a person appointed under regulation 14;
  (zzh) “manufacturer” means an individual, association of individuals, company or institution who manufactures machinery, plant, equipment, appliance or substances for use in oil mines;
  (zzi) “monkey board” means a movable or fixed platform installed above derrick floor on which work-persons stand to handle pipes or other equipment racked on the derrick;
  (zzj) “mud” means a liquid that is circulated through the well during drilling or work-over operations or in case of temporary closure so that the hydrostatic pressure of the fluid column overbalances the formation pressure to prevent leakage of petroleum at the wellhead;
  (zzk) “mud-pump” means a pump used to circulate mud or well fluid on a drilling rig or Work-over rig;
  (zzl) “mud tank” means the reservoir or tank through which the drilling mud is cycled to allow sand and fine sediments to settle out where additives are mixed with mud and where the fluid is temporarily stored before being pumped back into the well;
  (zzm) “official” means a person appointed in writing by the owner, agent or manager to perform duties of supervision in a mine or part thereof and includes deputy manager, installation manager, safety officer, fire officer and surveyor;
  (zzn) “oil” means mineral oil which includes natural gas and petroleum;
  (zzo) “oilfield” shall have the meaning assigned to it in the Oilfields (Regulation and Development) Act, 1948 (53 of 1948);
  (zzp) “oilfield pipeline” means a pipeline or pipeline network used for transporting petroleum or other commodities in an oilfield;
  (zzq) “Oil Industry Safety Directorate-Standard (OISD-STD)”, “Oil Industry Safety Directorate- Recommended Practice (OISD-RP)” and “Oil Industry Safety Directorate- Guideline (OISD-GDN)” means respectively, the standard, recommended practice and guidelines formulated by the Oil Industry Safety Directorate constituted by the Government of India, Ministry of Petroleum and Natural Gas, which have been concurred and notified by the Chief Inspector of Mines by a general order;
  (zzr) “oil well” means a well which is producing or is capable of producing petroleum;
  (zzs) “out-line” means a rope used to carry pipes, drilling tools or other equipment from a derrick to the derrick walk or other location outside the derrick;
  (zzt) “petroleum” means naturally occurring hydrocarbons in a free state whether in the form of natural gas or in a liquid, viscous or solid form but does not include helium occurring in association with petroleum;
  (zzu) “pipe-rack” means a structure located adjacent to but usually below the level of the rig floor, on which pipe or casing may be stored or racked;
  (zzv) “platform” means a working space for persons, elevated above the surrounding floor or ground or sea for the operation of machinery and equipment;
  (zzw) “racked” refers to tubular goods or rods standing in the derrick or mast or stored on a pipe rack;
  (zzx) “racking platform” means a platform in the derrick or mast at an elevation where a derrick man is normally required to handle stands being racked;
  (zzy) “railway” means a railway as defined in the Railways Act, 1989 (24 of 1989);
  (zzz) “Regional Inspector” means the inspector of mines in-charge of the region or local area or areas in which the mine is situated or the group or class of mines to which the mine belongs, over which he exercises his powers under the Act;
  (zzza) “rigging-up” means an act of assembling a drilling or work-over rig and auxiliary equipment prior to commencement of drilling or work-over operation and includes jacking up and positioning;
  (zzzb) “river” means any stream or current of water whether seasonal or perennial and includes its banks extending up to the highest known flood level;
  (zzzc) “rotary hose” means the hose that conducts the circulating fluid from the stand pipe to the swivel and kelly;
  (zzzd) “rotary table” means a power operated turn-table on the rig floor primarily used for rotating the drilling string;
  (zzze) “safety management system” means, collectively, those elements in the management system that are applied to identify or assess or control a hazard or recover therefrom;
  (zzzf) “Schedule” means the Schedule appended to these regulations;
  (zzzg) “stand” means sections of pipe consisting of two or more made-up lengths which are racked in a derrick;
  (zzzh) “standard railing” means a vertical barrier erected along exposed edges of a floor opening, wall opening, ramps, platform or walk-way to prevent fall of person;
  (zzzi) “sub-structure” means the foundation on which normally the derrick and engines are placed;
  (zzzj) “supplier” means an individual, association of individuals, company or institution who supplies a technology, machinery, plant, equipment, appliance or substance for use in an oil mine;
  (zzzk) “surface casing” means a steel pipe to cover unconsolidated formations, to provide protection against shallow gas flow, seal off water bearing formations, protect fresh water sands from contamination, case-off lost circulations zones and to provide structural support for the well head;
  (zzzl) “swabbing” means the operation of activation on a wire-line to bring well fluid to the surface when the well does not flow naturally;
  (zzzm) “toe board “means a vertical barrier at floor level erected along exposed edges of a floor opening, wall opening, platform, walk-way or ramp to prevent fall of materials;
  (zzzn) “toxic gas” means any gas which may cause a reversible or irreversible disturbance of the normal physiological process of one or more bodily systems;
  (zzzo) “travelling block” means a multi-sheaved pulley block used in conjunction with the fixed crown block for raising and lowering the drilling string, casing, tubing rods and other tools;
  (zzzp) “well” means a hole in the earth crust-
    (i) made or being made by drilling, boring or in any other manner from which petroleum is obtained or obtainable or for the purpose of obtaining petroleum or;
    (ii) used, drilled or being drilled for the purpose of water injection or for injecting natural gas, air, water or any other substance into underground formation;
  (zzzq) “wellhead” means an assembly on the top of the well casing strings with outlets and valves for controlling flow of fluid;
  (zzzr) “well perforation” means perforating well casing, or tubing, or cementing to provide flow passage for production or for testing or well activation purposes;
  (zzzs) “well servicing” means one or more type of remedial operations in well with the intention of restoring or increasing production without involving any work-over rig or outfit;
  (zzzt) “work-over” means one or more of a variety of remedial operations on a well with the intention of restoring or increasing production;
  (zzzu) ‘zone “0” hazardous area’ means an area in which hazardous atmosphere is continuously present;
  (zzzv) ‘zone “1” hazardous area’ means an area in which a hazardous atmosphere is likely to occur under normal operating conditions;
  (zzzw) ‘zone “2” hazardous area’ means an area in which a hazardous atmosphere is likely to occur only under abnormal operating conditions.
(2) The words and expressions used but not defined in these regulations, but defined in the Act shall have the meanings respectively assigned to them in the Act.