HAR §13-183-54. General terms

(a) The operator under a lease shall conduct all operations in a manner that conforms to the most prudent practices and engineering principles in use in the industry. Operations shall be conducted in a manner that protects the natural resources including without limitation, geothermal resources, and to obtain efficiently the maximum ultimate recovery of geothermal resources, consistent with other uses of the land with minimal impact on the environment. Operations shall be conducted with due regard for the safety and health of employees. The operator shall promptly remove from the leased lands or store, in an orderly manner, all scraps or other materials not in use and shall notify the chairperson of all accidents within twenty-four hours and submit a written report within thirty days. (b) The operator of a lease shall comply with all of the requirements, laws, rules, and regulations of the United States, the State and the appropriate county pertaining to the use of the premises or conduct of the operation. (c) The operator of a lease shall take all reasonable precautions to prevent waste and damage to any natural resources including: (1) Vegetation, forests, and fish and wildlife; (2) Injury or damage to persons, real or personal property; and (3) Degradation of the environment. The chairperson may inspect lessee's operations and issue orders 29 necessary to accomplish these purposes. (d) The chairperson is authorized to shut down any operation which is determined unsafe or causing or can cause pollution of the natural environment or waste of natural resources including geothermal resources upon failure by lessee to take timely, corrective measures previously ordered by the chairperson. (e) The lessee shall designate a local representative empowered to receive service of civil or criminal process, and notices and orders of the chairperson issued pursuant to these rules as prescribed in §13-183-64. (f) In all cases where exploration or mining operations are not to be conducted by the lessee but are to be conducted under an approved operating agreement, assignment or other arrangement, a designation of operator shall be submitted to the chairperson prior to commencement of operations. The designation shall be accepted as authority of the operator or the local representative to act for the mining lessee and to sign any papers or reports required under these rules. All changes of address and any termination of the authority of the operator shall be immediately reported, in writing, to the chairperson. (g) The lessee shall commence mining operations on the leased lands within three years from the date of execution of the lease or upon the expiration of any research period approved by the board under §182-7, Hawaii Revised Statutes; provided that if the operator holds more than one lease this provision shall not apply to the other leases so long as the lessee is actively and on a substantial scale engaged in mining operations on at least one lease. Notwithstanding the above, the board may impose more stringent development requirements for any particular lease. [Eff. JUN 22 1981] (Auth: HRS §182-14) (Imp: HRS §§182-7, 182-14)