The bill, S.B. No. 1399, amends the Natural Resources Code to establish new definitions and clarify ownership and liability related to fluid oil and gas waste and its treated products. A new definition for "treated product" is introduced, which refers to any product resulting from the treatment of fluid oil and gas waste that makes it suitable for beneficial use. The bill also modifies existing sections to specify that ownership of fluid oil and gas waste transfers to the person treating it for the purpose of generating a treated product, and outlines the responsibilities and liabilities of individuals involved in the treatment and transfer of these materials.

Additionally, the bill provides protections against tort liability for individuals who produce or transfer fluid oil and gas waste, as long as they comply with relevant regulations and do not engage in gross negligence or intentional wrongdoing. The Texas Commission on Environmental Quality is tasked with adopting rules governing the treatment and beneficial use of fluid oil and gas waste, treated products, and byproducts. The provisions of this bill will apply only to causes of action that arise on or after its effective date of September 1, 2025.

Statutes affected:
Introduced: Natural Resources Code 122.001, Natural Resources Code 122.002, Natural Resources Code 122.004 (Natural Resources Code 122)