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