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 Virginia is the permanent ceasing of production in an oil and gas well. In order to abandon an oil or gas well, an operator must submit an abandonment application to the Virginia Department of Mines, Minerals, and Energy (DMME). The abandonment application must include the operator’s plan for well plugging and surface restoration of the area. This includes plugging and cleaning up any pits, pits lined with water, and other soil or surface disturbances caused by the drilling, completing, and operating of the well. The DMME then reviews the application and may carry out an inspection of the well to ensure it meets the requirements for an abandonment. Once the DMME reviewer approves the abandonment, the operator must submit a Statement of Final Completion that includes a copy of the approved abandonment plan. The DMME will then issue a Certificate of Abandonment, which indicates that the well has been properly abandoned. The Certificate of Abandonment allows the surface owner of the land to reclaim the well site and prevents the operator from being liable for any future damages to the surface owner or the environment.
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