This bill establishes new responsibilities for owners, operators, or lessees of oil and gas wells, facilities, pits, or installations regarding the costs associated with plugging and abandoning these sites. Specifically, it mandates that these parties, whether they have a current or prior interest or control, must reimburse the Oil Conservation Division of the Energy, Minerals and Natural Resources Department for costs related to plugging and abandonment, deconstruction and removal of equipment, environmental remediation, and restoration of impacted areas.

Additionally, the bill allows for the contractual allocation of responsibility among the involved parties, meaning they can agree on how to share the financial burden. However, it clarifies that such agreements do not obligate the division to pursue recovery from any specific party or in any particular order. The provisions of this act will take effect for applicable parties starting July 1, 2025.