 Okay, let me see if I've got this right. Fix fence for the gate, repair berm round tank farm, repair tank farm fence damage by falling trees. That's all you have. That's it. Okay, I'll call you when it's ready. Okay Dean, thanks a lot. Everything you tell an operator about a lease, you must be ready to back up. Knowing what to look for on oil and gas leases and knowing what to do. This is what environmental lease inspections are about. My day begins with the drive to the fields. I take along field maps, copies of division laws and regulations, isle well cards, injection well sheets, operator phone numbers, a hard hat, a daily diary, a camera with extra film, also binoculars, a measuring wheel and a metal detector. An environmental lease inspector makes hundreds of decisions. The laws and regulations must be interpreted accurately but they don't cover every case. At times special circumstances must be considered. These can include the working relationships with operators, urban encroachment, terrain, surface or underlying fresh waters, machinery and federal, county or city regulations. In District 1 alone, leases with 14,000 wells managed by 272 operators in 51 fields are inspected annually. Some leases have hundreds of wells, some just one such as the award-winning lease of Mrs. Sally Miller. This well has been operating about 60 years. The lease won the award because I cleaned it up a little and landscaped a little. There's a dike around the tank. There are no leaks but sometimes there are, that's why we watch it, the babies sit with it all the time. The lease is properly fenced. The pumping unit is free of leaks as well. I understand the same things I checked on larger leases. This is the Boca Chica in Southern California. It serves as a home for 115 oil wells operated by Aminoil. It also serves as a resting place for more than 180 species of wildlife. Environmental protection is a team effort so we also rely on the DOG to support our efforts primarily in the form of an annual inspection of our facilities. We benefit in a number of ways from the input provided by the DOG. The inspection is essentially a report card to the company telling us how we performed in relation to our environmental goals. The report card is a credible source of information for Aminoil because it provides us the expertise of professionals who know the oil business. When assessing a situation DOG not only looks at what's happening today but applies its experience to suggest what may be encountered in the future. Like most operators we've talked to the Division Environmental Inspectors about division lease regulations. Division environmental regulations balance demands for environmental protection with the need for oil and gas extraction. Operators who do not comply with the regulations receive a list of deficiencies. At this time most deficiencies are corrected and no further enforcement action is needed. If an operator still does not comply with division regulations a notice of violation is sent. If the problem continues a notice of delinquency is mailed. Division management notified an appropriate legal action taken. DOG 214 may I talk to Ken? This is Ken. What can I do for you Nancy? I'm at a rural lease. I'll also visit an urban lease today and one in a rural area undergoing urban development. WYE 283 clear. 10-4 unit 214 clear. As I drive through the field I look for signs of leaks such as seepage or black oily weeds and dirt. Many oil field lines are buried. In a rural area such as this some type of guard should be placed around the whale head and the pumping unit counterweight. Lease or well side fences are not required. At each well we require a posted well name and number and a covered and drained cellar. I look at the well being careful never to touch any oil field equipment. This stuffing box has no leaks. I check the flanges for leakage as well. The flanges on this well are in the cellar. If they are leaking bubbles will appear in the cellar fluid. If I see fresh oil on the Christmas tree I check for leakage around valves and connections. I write these items on a deficiency sheet unless the problem is major. Then I contact the operator immediately. The dykes around holding tanks must be high enough and wide enough to hold the contents of the largest tank. The tanks too must be checked for leaks. I look along the bolted area of the staves rings and especially around the tank bottoms. Valves and lines going into and out of the tanks are also checked. If the ground is unnaturally damp the tank is probably leaking but if I cannot see fluid leaking there is nothing I can do but note what I suspect on the environmental lease sheet. Traps and separators are checked for leakage around valves lines and connections. At this urban lease either the lease itself or the wells and tanks must be fenced with chain length or other approved fencing such as a block wall. I check fence conditions at each visit. I check to see that all gates to the facilities are locked. The lines from the wellhead are checked for leakage. I look along the ground for bubbles or fluid leaking from varied lines between the well and where the lines surface. Any abnormal depressions here should be checked for excessive fluid. Surface lines and manifolds are checked for leaks. Most leaks occur from valve stems and connections. In areas with urban encroachment tank ladders may be gated. Here at an urban lease tanks must be fenced gated and locked. Empty tanks may not be fenced but the ladders should be removed. Injection well pressure can be checked with an L10 chart. If a new gauge is not used the date of calibration should be checked. Okay Mike, that's what we're doing? Basically putting on a new gauge that's known good and being in calibration. How's that? Okay, very good. And there's pressure on the tubing. Okay, it's about 1700. That's fine. Can we get a rate count now? Okay, I've got a rate count of Okay, about 2000 barrels a day. That's just fine Mike. If there is a gauge on the casing, check the pressure. It should be around zero. If there is a buildup of pressure on the casing that should be reported to the company. If there is an upper and lower string, pressure and rate should be obtained from both strings. If one string is idle that should also be verified. At a shut-in well check that the pumping unit break is set all the way back. A tag usually means the well is scheduled for repair. Because a pump is not in motion does not mean the well has been shut in. The pump may be on a timer and pumping only halted temporarily. Are checked for sellers properly covered and drained leakage. Places for leakage in an IOL around bullpug connection crosses valves such as this one this type flanges like this thing. It should read near zero. If there is pressure buildup on the casing this should be reported to the company. For well abandonment accessibility is an important factor especially in an urban area. I photograph inaccessible wells and note the circumstances on idle well cards. After a well is abandoned a service inspection is made. I check to see that all equipment was removed. The site must be left as close to its original condition as possible. All sumps with oil must be screened. Sumps must be fenced with gates locked unless the lease itself is fenced. This applies to sumps in rural and urban areas. This lease typical of many was once in a rural area. Today it is surrounded by urban development. The oil and gas industry city officials and regulatory agencies must plan together how to integrate oil and gas development with urban growth. Every day inspectors check about 40 to 50 well sites. Working with a positive attitude is important. No typical field or perfect lease exists. However many well sites are better maintained because of our inspection procedures.