SB 1430 Summary

• Adds definition of "horizontal hydraulic fracturing" to Arizona oil and gas statutes as the technique of expanding rock fractures from substantially horizontal wellbores by injecting water, fluids, chemicals, and proppants under pressure to explore, drill, complete, or produce oil or natural gas.

• Classifies oil or gas produced using horizontal hydraulic fracturing as "illegal oil" or "illegal gas" under Arizona law.

• Prohibits the commissioner from allowing horizontal hydraulic fracturing in any pool or portion thereof, limiting such activities in oil and gas operations.

• Classifies the injection of fracturing fluids and production of flowback and produced water from horizontal drilling and hydraulic fracturing as "waste" under conservation law.

• Establishes civil penalty of at least $10,000 per day of operations for any person causing horizontal hydraulic fracturing to occur in Arizona, compared to the standard penalty of up to $1,000 per violation per day.