What is the legal definition of an abandonment of an oil and gas well?
The legal definition of an abandonment of an oil and gas well in North Carolina is that all physical measures be taken to ensure that the well is no longer able to produce and that any environmental issues associated with the well are remedied. An abandonment includes removal of the equipment used for production, such as the casing, production tubing, rods, and pumps, and sealing of the well itself with cement or grout plugs. The abandonment also requires that any remaining hydrocarbons in the well be recovered, treated, and disposed of according to state regulations. In addition to the physical aspects of abandonment, all paperwork associated with the production must be completed and properly filed. This includes paperwork to address the well itself, as well as paperwork addressing any potential environmental issues arising from the production. Other paperwork associated with the abandonment process may include the completion of a Bond Release Application, a Form 9 Abandonment, and an Underground Injection Control (UIC) Closure Report. The abandonment process helps to ensure that no future production is possible from the well, and that all related environmental issues have been appropriately addressed. It also helps to protect public safety and the environment from any potential harm that could result from an improperly abandoned oil and gas well.
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