House Memorial 56 requests the Oil Conservation Division of the Energy, Minerals and Natural Resources Department to conduct a study on the potential transfer of ownership of orphaned wells to third parties interested in energy storage and hydrocarbon recovery projects. Orphaned wells, which are no longer in active production and lack a responsible owner, pose significant environmental and public health risks due to leaks of harmful substances. The state faces a substantial financial liability for cleaning up these wells, estimated between $700 million and $1.6 billion, and current funding sources are insufficient to cover the costs.

The study will involve consultations with third-party companies and will aim to identify creative solutions to mitigate the state's financial burden. It will include an analysis of the initial investments required for third-party adoption of orphaned wells, potential profits from such ventures, and any statutory or regulatory barriers that may hinder the transfer of ownership. The findings and recommendations from this study are to be presented to relevant interim legislative committees by November 1, 2026.