Tex.
Nat. Resources Code Section 91.1041
Individual Bond
(a)
A person required to file a bond, letter of credit, or cash deposit under Section 91.103 (Persons Required to Execute Bond, Letter of Credit, or Cash Deposit) who operates one or more wells may file a bond in an amount equal to $2 for each foot of well depth for each well.(b)
Notwithstanding Subsection (a), the commission by rule shall set the amount of the bond for an operator of one or more bay or offshore wells at a reasonable amount that exceeds the amount provided by Subsection (a).(c)
When calculating under Subsection (a) the amount of the bond a person who operates one or more wells is required to file, the commission shall exclude a well if the well bore is included in a well-specific plugging insurance policy described by Section 91.104 (Bonds, Letters of Credit, Cash Deposits, and Well-specific Plugging Insurance Policies)(c).(d)
If the inclusion of a bay or offshore well whose well bore is included in a well-specific plugging insurance policy described by Section 91.104 (Bonds, Letters of Credit, Cash Deposits, and Well-specific Plugging Insurance Policies)(c) in the calculation under Subsection (b) of the amount of the bond an operator of one or more bay or offshore wells is required to file would result in an increase in the amount of the bond that would otherwise be required, the rules must provide for the exclusion of the well from the calculation.
Source:
Section 91.1041 — Individual Bond, https://statutes.capitol.texas.gov/Docs/NR/htm/NR.91.htm#91.1041 (accessed Jun. 5, 2024).
