AB 2461: Oil and gas: bonding requirements.

The bill aims to strengthen regulations on oil and gas operations in the state. A person who acquires the right to control a well or production facility must notify the supervisor or district deputy in writing and file an individual or blanket indemnity bond to cover costs of plugging and abandonment, decommissioning, and site restoration. The bond amount is determined by the supervisor to ensure full coverage. The bill also makes conforming changes to existing laws and provides that a person who acquires more than 50% of the voting stock of the operator in a single or series of related transactions is also considered to have acquired the right to control a well or production facility. The exemption for wells with high average daily production levels is deleted.