OAR 632-010-0205
Drilling Surety Bond

(1)

Intentionally left blank —Ed.

(a)

Every person who engages in the drilling, redrilling, or reworking of any well or disposal well must file and maintain with the department, on a form provided by the department a bond or alternative form of financial security in the sum of $25,000 for each well drilled, redrilled, deepened, or reworked to a depth less than 10,000 feet, or $50,000 for each well to a depth greater than 10,000 feet. The security must be filed with the department prior to the approval of an application to drill, redrill, deepen, or rework as required in OAR 632-010-0010 (Application and Permit to Drill, Redrill, Deepen, Alter Casing, or Rework). A security may be submitted individually for each well, or a blanket security may be filed as described in (b) below.

(b)

In multi-well operations, a blanket bond or alternative form of security in the minimum amount of $150,000 may be filed in lieu of individual bonds or securities. The blanket amount must be computed as the sum of the applicable individual bond or security amounts required for each well. The department may exclude the following wells from the blanket bond or security computation:

(A)

Any well that has a gross annual wellhead production in dollars during the past twelve months that is greater than the amount of the required individual well bond. It is the responsibility of the well permittee to file for exclusions annually prior to the permit anniversary date.

(c)

The bond or security must be executed by the permittee, as principal, and by a company authorized to do business as a surety insurer in the State of Oregon, as surety, and be conditioned upon the faithful compliance by the principal with the statutes, rules, and orders of the department and the board.

(2)

Any bond or security submitted as required by this section may, with the consent of the department, be terminated and cancelled and the surety relieved of all obligations thereunder. However, the department will not consent to termination and cancellation of any bond until the well or wells covered by such bond have been properly plugged and decommissioned including site reclamation, with the approval of the department, or another valid bond has been submitted and approved.

Source: Rule 632-010-0205 — Drilling Surety Bond, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=632-010-0205.

632‑010‑0002
General Rules 632‑010‑0004
Supremacy of Special Rules 632‑010‑0008
Definitions 632‑010‑0010
Application and Permit to Drill, Redrill, Deepen, Alter Casing, or Rework 632‑010‑0011
Active Permits 632‑010‑0012
Modifications to Drilling Permits 632‑010‑0014
Drilling Practices 632‑010‑0015
Down Hole Loss and Decommissioning of a Radioactive Source 632‑010‑0016
Enclosure and Identification of Wells, Tanks, and Other Oil Measuring Devices 632‑010‑0017
Well Records (Logs) 632‑010‑0018
Organization Reports 632‑010‑0020
Surface Equipment 632‑010‑0128
Boiler or Light Plant 632‑010‑0130
Rubbish or Debris 632‑010‑0132
Tubing 632‑010‑0134
Chokes 632‑010‑0136
Separators 632‑010‑0138
Fire Walls 632‑010‑0140
Reserve Pits, Sumps, and Above-Ground Tanks 632‑010‑0142
Directional Drilling 632‑010‑0144
Report of Perforating or Well Stimulation Treatment 632‑010‑0146
Vacuum Pumps Prohibited 632‑010‑0148
Production Practice 632‑010‑0150
Removal Of Casing 632‑010‑0151
Notification of Fire, Breaks, Leaks, or Blowouts 632‑010‑0152
Multiple Completion of Wells 632‑010‑0154
Determining and Naming Fields and Pools 632‑010‑0156
Spacing Units, Notification 632‑010‑0157
Exceptions to Special Rules 632‑010‑0159
Underground Reservoirs for Natural Gas Storage 632‑010‑0161
Compulsory Integration Orders 632‑010‑0162
Illegal Production 632‑010‑0163
Limitation of Production 632‑010‑0164
Commingling of Production Prohibited 632‑010‑0165
Allocation of Gas Pursuant to Special Pool Rules 632‑010‑0166
Reports by Purchasers and Producers 632‑010‑0167
Maximum Efficient Rate Hearings 632‑010‑0168
Use of Earthen Reservoirs 632‑010‑0170
Reservoir Surveys 632‑010‑0172
Operators to Assist in Reservoir Surveys 632‑010‑0174
Measurement of Potential Open-Flow of Gas Wells 632‑010‑0176
Supervision of Open-Flow and Pressure Tests 632‑010‑0178
Duration of Tests 632‑010‑0182
Gas to Be Metered 632‑010‑0184
Direct Well Pressure 632‑010‑0186
Gas-Oil Ratio 632‑010‑0188
Gas-Oil Ratio Surveys and Reports 632‑010‑0190
Gas Utilization 632‑010‑0192
Disposal of Brine or Salt Water 632‑010‑0194
Water Injection and Water Flooding of Oil and Gas Properties 632‑010‑0196
Gas Injection of Oil and Gas Properties 632‑010‑0198
Abandonment, Unlawful Abandonment, Suspension, Well Plugging 632‑010‑0205
Drilling Surety Bond 632‑010‑0210
Disposal of Solid and Liquid Wastes 632‑010‑0220
Measurement of Oil 632‑010‑0225
Spacing Plan 632‑010‑0230
Location of Wells 632‑010‑0235
Exceptions
Last Updated

Jun. 8, 2021

Rule 632-010-0205’s source at or​.us