Tex. Nat. Resources Code Section 91.107
New Bond, Letter of Credit, or Cash Deposit

If an active or inactive well is transferred, sold, or assigned by its operator, the commission shall require the party acquiring the well to file a new bond, letter of credit, or cash deposit as provided by Section 91.104 (Bonds, Letters of Credit, Cash Deposits, and Well-specific Plugging Insurance Policies)(b), and the financial security of the prior operator shall continue to be required and to remain in effect, and the commission may not approve the transfer of operatorship, until the new bond, letter of credit, or cash deposit is provided or the commission determines that the bond, letter of credit, or cash deposit previously submitted to the commission by the person acquiring the well complies with this subchapter. A transfer of a well from one entity to another entity under common ownership is a transfer for purposes of this section. This section does not apply to a well bore that 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).
Acts 1977, 65th Leg., p. 2563, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Renumbered from Sec. 91.108 by Acts 1983, 68th Leg., p. 5258, ch. 967, Sec. 6, eff. Sept. 1, 1983. Amended by Acts 1991, 72nd Leg., ch. 603, Sec. 12, eff. Sept. 1, 1991; Acts 2001, 77th Leg., ch. 1233, Sec. 25, 26, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch. 1233, Sec. 27, eff. Sept. 1, 2004.
Amended by:
Acts 2005, 79th Leg., Ch. 489 (H.B. 380), Sec. 5, eff. June 17, 2005.

Source: Section 91.107 — New Bond, Letter of Credit, or Cash Deposit, https://statutes.­capitol.­texas.­gov/Docs/NR/htm/NR.­91.­htm#91.­107 (accessed May 26, 2025).

91.001
Definitions 91.002
Criminal Penalty 91.003
Additional Enforcement Authority 91.011
Casing 91.012
Water in Wells 91.013
Plugging and Shutting in Wells by Others 91.014
Petition to Restrain Waste 91.015
Prevention of Waste 91.016
Confining Gas to Original Stratum 91.017
Using Gas in the Open Air 91.018
Illumination 91.019
Standards for Construction, Operation, and Maintenance of Electrical Power Lines 91.020
Electronic Geologic Data 91.051
Title 91.052
Definition 91.053
Commission Determination 91.054
Notice and Hearing 91.055
Findings and Rules 91.056
Use of Findings and Field Rules 91.057
Method of Reporting 91.058
Sale, Purchase, Delivery, and Receipt of Gas 91.059
Constitutionality 91.061
Civil Suit 91.062
Applicability of Certain Provisions 91.101
Rules and Orders 91.102
Additional Personnel 91.103
Persons Required to Execute Bond, Letter of Credit, or Cash Deposit 91.104
Bonds, Letters of Credit, Cash Deposits, and Well-specific Plugging Insurance Policies 91.105
Bond Conditions 91.106
Execution of Bond 91.107
New Bond, Letter of Credit, or Cash Deposit 91.108
Deposit and Use of Funds 91.109
Financial Security for Persons Involved in Activities Other than Operation of Wells 91.110
Oil and Gas Waste Reduction and Minimization 91.113
Investigation, Assessment, or Cleanup by Commission 91.114
Acceptance of Organization Report or Application for Permit 91.115
First Lien on Equipment and Stored Hydrocarbons or Drill Cuttings 91.0115
Casing 91.116
Notice of Commercial Surface Disposal Facility Permit Application 91.117
Public Information Hearing on Application for Commercial Surface Disposal Facility Permit 91.141
Books and Records 91.142
Report to Commission 91.143
False Applications, Reports, and Documents and Tampering with Gauges 91.171
Short Title 91.172
Declaration of Policy 91.173
Definitions 91.174
Findings of Commission 91.175
Commission Jurisdiction 91.176
Withdrawal of Native Gas 91.177
Storage Operations Must Be Bona Fide 91.178
Relocation of Facilities 91.179
Appropriation of Storage Facilities 91.180
Institution of Condemnation Proceedings 91.181
Exercise of Right of Eminent Domain 91.182
Ownership of Stored Gas 91.183
Rights of Purchasers of Native Gas 91.184
Abandonment 91.201
Definitions 91.202
Policy 91.203
Authority 91.204
Permits 91.205
Authority to Enter Property 91.206
Authority to Examine Records 91.207
Notice of Noncompliance 91.251
Definitions 91.252
Commission Jurisdiction 91.253
Commission Enforcement 91.254
Inspection 91.255
Safety Standards and Practices 91.256
Limitation on Powers of Municipalities and Counties 91.257
Safety Procedure Manual 91.258
Records 91.259
Damage to Storage Facility 91.260
Injunction 91.261
Administrative Penalty 91.262
Administrative Penalty Assessment Procedure 91.263
Payment of Administrative Penalty 91.264
Judicial Review of Administrative Penalty 91.401
Definitions 91.402
Time for Payment of Proceeds 91.403
Payment of Interest on Late Payments 91.404
Nonpayment of Oil and Gas Proceeds or Interest 91.405
Exemptions 91.406
Attorney’s Fees and Minimum Award 91.407
Notice of Change of Payor 91.408
Information for Payees of Proceeds of Production from Certain Gas Wells 91.451
Definition 91.452
Prohibited Activity 91.453
Commission Authorized 91.454
Removal of Authorized Pits 91.455
Rules, Standards, and Specifications 91.456
Injunctive Relief 91.457
Removal of Unauthorized Pit 91.458
Criminal Penalty 91.459
Civil Penalty 91.501
Information Required 91.502
Types of Information Provided 91.503
Lease, Property, or Well Description 91.504
Providing Information About Payment Deductions and Adjustments, Heating Value, or Lease Identification 91.505
Providing Other Information 91.506
Exemption 91.507
Enforcement 91.551
Definitions 91.552
Electric Logs Required to Be Filed 91.553
Availability of Electric Logs 91.554
Availability of Confidential Electric Logs 91.555
Management and Storage of Electric Logs 91.556
Enforcement 91.601
Definitions 91.602
Rules 91.603
Access to Property and Records 91.604
Criminal Penalty 91.605
Hazardous Oil and Gas Waste Generation Fee 91.651
Definitions 91.652
Purpose 91.653
Eligibility for Voluntary Cleanup Program 91.654
Application to Participate in Voluntary Cleanup Program 91.655
Rejection of Application 91.656
Voluntary Cleanup Agreement 91.657
Termination of Agreement 91.658
Voluntary Cleanup Work Plans and Reports 91.659
Certificate of Completion 91.660
Persons Released from Liability 91.661
Permit Not Required 91.701
Well Owners and Operators Certificates 91.702
Prohibited Connection 91.703
Temporary Connection 91.704
Cancellation of Certificate 91.705
Effect of Cancellation on Operator of Pipeline or Other Carrier 91.706
Effect of Cancellation on Owner or Operator of Well 91.707
Fee for Reissued Certificate 91.751
Definition 91.752
Applicability 91.753
Notice Required 91.754
Address for Notice 91.755
Commission Permits and Rights of Owner of Mineral Estate Not Affected 91.801
Rules Authorizing Multiple or Alternative Uses of Wells 91.802
Law Applicable to Geologic Storage Facilities and Associated Injection Wells 91.851
Disclosure of Composition of Hydraulic Fracturing Fluids 91.901
Definitions 91.902
Pipeline on Public Road 91.903
Relocation of Saltwater Pipeline Facility for Certain Purposes 91.904
Construction of Subchapter 91.905
Application of Other Law 91.1011
Oil and Gas Waste 91.1012
Access to Property and Records 91.1013
Application Fees 91.1015
Groundwater Protection Requirements 91.1017
Location of Certain Pits 91.1041
Individual Bond 91.1042
Blanket Bond 91.1091
Refund 91.1131
Risk Assessment Standards 91.1132
Prioritization of High-risk Wells 91.5001
Definition
Green check means up to date. Up to date

Verified:
May 26, 2025

§ 91.107. New Bond, Letter of Credit, or Cash Deposit's source at texas​.gov