Section 3-40 - Tertiary Certification (a) Certification of tertiary projects and determination of base level production for projects qualifying for the tertiary oil tax exemption shall be accomplished in the following manner: - (i) In order for tertiary production to qualify for the severance tax exemption provided under Wyo. Stat. Ann. § 39-14-205(c), the applicant shall present evidence demonstrating that the recovery technique or techniques utilized in the project area qualify for a tertiary determination and the Commission must certify the project as a tertiary project.
- (ii) For tertiary projects certified by the Commission after March 31, 2003, and before March 31, 2008:
- (A) As part of the process of certifying tertiary projects which qualify for the severance tax exemption under Wyo. Stat. Ann. § 39-14-205(c), the applicant shall furnish the Commission an extrapolation of expected non-tertiary oil production from the project. The extrapolation shall be for not less than seventy-two (72) months commencing with the first month after the month in which the application for tertiary certification is made. The extrapolation shall be based on production history, reservoir and production characteristics and the application of generally accepted petroleum engineering practices. The extrapolated production volumes approved by the Commission shall serve as the base level production for purposes of determining the tertiary oil production which qualifies for the tax exemption; and,
- (B) The applicant shall provide a statement as to all assumptions made in preparing the extrapolation and any other information concerning the project that the Commission may reasonably require in order to evaluate the applicant's extrapolation.
- (iii) An application for tertiary certification may be approved administratively by the Supervisor. The Supervisor shall review the material within fifteen (15) days after receipt of the application and advise the applicant of the decision. If the Owner/Operator disagrees with the Supervisor's decision, they may request a hearing before the full Commission. The Supervisor, on his own motion, may also refer the matter to the Commission if the proper decision is in doubt.
055-3 Wyo. Code R. § 3-40