Approval of resource management, activity and infrastructure plans

Introduction

This page includes information on approvals required to conduct onshore petroleum exploration and production activities.

You must obtain approval of a well operations management plan (WOMP) before drilling any well on any type of petroleum interest.

You also need to obtain approval of a petroleum surface infrastructure plan and a field management plan with an associated rate of recovery before commencing production.

These plans ensure all wells and other petroleum infrastructure are appropriately located, designed, constructed, monitored, maintained and decommissioned.

Once a plan is approved

Once a plan has been approved, you must comply with all aspects of the plan.

It is an offence to contravene an approved plan or operate in the absence of a required plan.

You must review an approved plan every 5 years or when triggered under the Petroleum Act 1984.

The minister can direct approved plans to be reviewed at any time.


Well operations management plan

You must have an approved well operations management plan (WOMP) before starting any well related operations under an exploration permit, retention licence or production licence.

What to include

A WOMP must:

  • demonstrate:
    • how well integrity will be achieved, monitored and managed over the life cycle of the well
    • it has been prepared in accordance with any relevant approved code of practice
  • include drilling, well construction, operation, re-entry, modification, decommissioning and the post-decommissioning life cycle phases
  • detail how technical, operational and organisational solutions will be applied to maintain well integrity and ensure the successful extraction of petroleum
  • be accompanied by a well control manual for the well or wells to be managed under the plan.

A WOMP that relates to a well that will be hydraulically fractured, must include an induced seismicity management plan.

A single WOMP may apply to multiple wells with the same risk profile.

Applications are assessed and determined within 45 days of being submitted.

Security

A WOMP application must be accompanied by a proposal for a well decommissioning security relating to the proposed well or wells.

You must pay the security before drilling a well.

Reviews

An approved WOMP must be reviewed:

  • every 5 years
  • before the start of an activity which is not covered by the WOMP, or is inconsistent with the WOMP
  • before a significant change is made to the way risks to well integrity are managed or
  • as soon as practicable after the integrity of a well becomes subject to a significant new or increased level of risk.

Fees

The cost to submit a WOMP application or revision for assessment is determined by its complexity.

Read more about fees and levies.

High complexity

A high complexity WOMP includes any of the following:

  • high pressure or high temperature wells
  • hydraulic fracturing/well stimulation
  • management of risks associated with hydrogen sulphide in reservoir
  • managed pressure drilling
  • a well outside known fields or the first well drilled in a field
  • use of non-standard or new equipment or techniques not currently approved for use.

Medium complexity

A medium complexity WOMP is a plan that doesn’t meet the high complexity criteria but covers more than one well.

Low complexity

A low complexity WOMP is all other plans.

Get the code of practice: onshore petroleum activities in the NT PDF (1.7 MB).

Get the induced seismicity management guideline PDF (401.7 KB).


Field management plan

You must have a field management plan (FMP) before any production activities can begin on a petroleum licence.

What to include

An FMP must:

  • demonstrate:
    • how a petroleum field will be strategically managed over time to deliver the best long term value from the petroleum field
    • how geophysical, geological and reservoir engineering data has or will inform development strategies
  • inform and be accompanied with a proposed rate of recovery (R of R):
    • R of R applications must specify and justify forecasts for production, providing high and low range scenarios that are consistent with the FMP.
    • once approved, an R of R provides a regulatory mechanism to ensure petroleum is being recovered at a rate that facilitate maximum economic recovery of the field.

Annual reporting is required on how the rate of recovery is compliant with the predicted scenarios.

Applications are assessed and determined within 120 days of being submitted.

Reviews

An approved FMP and Rate of Recovery must be reviewed:

  • every 5 years
  • before a significant change is made to the development or management strategy for the field
  • before a significant change is made to equipment or procedures used to determine the quality or composition of the petroleum or water
  • before ceasing production.

Fees

There is a standard cost to submit an FMP initially. The cost to review an FMP is based on the complexity of the revision.

Read more about fees and levies.

There is no separate cost for a R of R application.

Information included in an FMP may inform the calculation of petroleum infrastructure decommissioning securities.


Petroleum surface infrastructure plan

You must have a petroleum surface infrastructure plan (PSIP) before any production activities can begin on a petroleum licence.

A PSIP relates to all petroleum infrastructure on a title including flow and gathering lines, compressors, pumps and processing plant, but does not include wells.

What to include

A PSIP must:

  • demonstrate that the infrastructure is, or will be appropriately designed, built and operated so that recovered petroleum is appropriately managed from the point of extraction at the wellhead to the point of removal from the title area
  • be prepared and submitted for one or both of the following phases:
    • design and construction
    • operation and decommissioning.

PSIP applications are assessed and determined within 90 days from when the plan is submitted.

Security

A PSIP application must be accompanied by a proposal for a petroleum infrastructure decommissioning security.

Security must be paid before construction begins.

Reviews

An approved PSIP must be reviewed:

  • every 5 years
  • before the start of an activity which is not covered by, or is inconsistent with the PSIP
  • before a significant change is made to the way risks to the integrity of surface infrastructure are managed or
  • as soon as practicable after the integrity of surface infrastructure becomes subject to a significant new risk or increased level of risk.

Fees

There is a standard cost to submit a PSIP initially, with the cost for a revision based on the complexity.

Read more about fees and levies.


Environment management plan

An environment management plan (EMP) must be assessed and approved by the Minister for Environment before the start of any regulated activity.

To find out more, go to the Department of Environment, Parks and Water Security website.