American Oil and Gas Reporter - June 2020 - 28

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State Legislative Reports

Oklahoma OKs Produced Water Law
By Del Torkelson
OKLAHOMA CITY-Ten days before
the Oklahoma Legislature's May 29 adjournment, the Petroleum Alliance of
Oklahoma emerged with a significant
victory when Governor Kevin Stitt signed
SB 1875, the Oil and Gas Produced Water
and Waste Recycling and Reuse Act.
If the lopsided votes in its favor (93-3
in the House of Representatives and 460 in the Senate) make its victory look
easy, looks can be deceiving, suggests
Alliance President Brook A. Simmons.
"It's like a golf swing: The professionals
make it look so easy because they put in
so much work behind the scenes," he
compares. "That was the case with the
produced water bill."
According to Simmons, the Alliance
members who did much of that work included Legislative Committee Chairman
Derek Albro of Devon Energy and committee member Shelley Shelby with Continental Resources.
"They provided good leadership to

help shape thinking on that bill and craft
something that will create new opportunities for service companies and help
Oklahoma address its produced water issues," Simmons praises. "Providing clarity
will help Oklahoma attract entrepreneurs
who now will have a greater incentive to
recycle and reuse wastewater."
According to Shelby, the bill's success
proved all the more remarkable in light of
unexpected schedule changes associated
with the coronavirus pandemic, which sliced
weeks off the session. The Alliance had
kicked off the session with a solid strategy
for SB 1875, she considers, but suddenly
found half the game clock was spent.
"At least half," Shelby describes.
"COVID-19 shut the session down in the
middle. Suddenly, there was no time, so
we were very lucky to get anything done
when legislators came back for two
weeks."
Clear Ownership
Shelby praises Oklahoma Secretary
of Energy and Environment Kenneth

Wagner as the driving force behind the
new law. He brought together stakeholders
that, along with oil and gas operators
and service companies, included representatives for cattlemen, agriculture, mineral owners and water well experts. "Secretary Wagner really led this negotiation,"
she affirms. "He and his staff called us
together and helped the negotiation along
as we all hammered it out."
Wagner says SB 1875 encourages innovation around recycling and reusing
oil field wastewater, which will reduce
freshwater demand and lower saltwater
injection volumes. "Plus, it demonstrates
how reasonable Oklahomans with diverse
interests can work together to find common
solutions," he notes.
The legislation states that oil and gas
well operators and their business partners
have "the right to use, possess, handle,
dispose of, transfer, sell, convey, transport,
process, recycle, reuse or treat the produced
water and waste and shall have the exclusive
right to obtain proceeds for any of the
uses of the oil and gas produced water

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American Oil and Gas Reporter - June 2020

Table of Contents for the Digital Edition of American Oil and Gas Reporter - June 2020

Contents
American Oil and Gas Reporter - June 2020 - Intro
American Oil and Gas Reporter - June 2020 - 1
American Oil and Gas Reporter - June 2020 - 2
American Oil and Gas Reporter - June 2020 - Contents
American Oil and Gas Reporter - June 2020 - 4
American Oil and Gas Reporter - June 2020 - 5
American Oil and Gas Reporter - June 2020 - 6
American Oil and Gas Reporter - June 2020 - 7
American Oil and Gas Reporter - June 2020 - 8
American Oil and Gas Reporter - June 2020 - 9
American Oil and Gas Reporter - June 2020 - 10
American Oil and Gas Reporter - June 2020 - 11
American Oil and Gas Reporter - June 2020 - 12
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