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SENATE FLOOR VERSION
March 6, 2025
COMMITTEE SUBSTITUTE
FOR
SENATE BILL NO. 132 By: Burns and Green of the
Senate
and
Boles of the House
An Act relating to the Corporation Commission;
amending 17 O.S. 2021, Section 53, which relates to
plugging wells; establishing maximum time period for
plugging certain wells; defining term; directing rule
promulgation; and providing an effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 17 O.S. 2021, Section 53, is
amended to read as follows:
Section 53. A. The Corporation Commission is hereby authorized
to promulgate rules for the plugging of all abandoned oil and gas
wells. Abandoned wells , including shut-in gas wells, shall be
plugged under the direction and supervision of Commission employees
as may be prescribed by the Commission. Provided, however, the
Commission shall not order any oil or gas well to be plugged or
closed if the well is located on an otherwise producing oil or gas
lease as defined by the Commission, unless such well poses an
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imminent threat to the public health and safety which shall be
determined by the Commission after conducting a public hearing on
the matter.
B. A shut-in gas well may be shut -in for a period not to exceed
seven (7) years.
C. 1. Any operator with a gas well that is shut -in prior to
the effective date of this act shall have ten (10) year s from the
effective date of this act to either plug or produce from the well.
2. An operator with gas wells that are shut-in prior to the
effective date of this act shall reduce the number of shut -in gas
wells by plugging or producing from such wells as follows:
a. not later than July 1, 2028, by reducing the number of
shut-in gas wells by at least twenty -five percent
(25%),
b. not later than July 1, 2031, by reducing the number of
shut-in gas wells by at least fifty percent (50%) , and
c. not later than July 1, 2035, by plugging or producing
from all remaining shut -in gas wells.
D. As used in this section, “shut-in gas well” means a well
that is capable of producing gas by opening valves or activating
existing equipment and is capable of producing gas in paying
quantities. Such reasons for nonproduction may include lack of
suitable production facilities or lack of a suitable market.
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E. The Commission shall promulgate rules to effectuate the
provisions of this section and establish any necessary enforceme nt
measures.
SECTION 2. This act shall become effective November 1, 2025.
COMMITTEE REPORT BY: COMMITTEE ON ENERGY
March 6, 2025 - DO PASS AS AMENDED BY CS