HB 1404 Summary

• Establishes regulatory authority for the Natural Resources Commission to regulate coal bed methane wells with alternative spacing, unit, and bonding requirements separate from oil and gas regulations.

• Requires the Division of Oil and Gas to post permit applications on its website and prohibits permit issuance for at least 15 days after posting, with requirements for written notification to property owners, adjacent property owners, and coal mineral rights holders.

• Allows property owners or mineral rights holders to file confidential affidavits identifying minable coal resources, which the Division of Reclamation uses to review permit applications for potential conflicts with coal mining.

• Permits coal mine operators to vent coal bed methane gas when necessary for miner safety and economically impractical to market, and establishes that such venting is not considered waste or diminishment of resources.

• Provides that coal bed methane rights are separate from coal or oil and gas rights unless expressly granted in a conveyance, and establishes coal bed methane as a distinct estate in land comparable to oil and gas estates under Indiana law.