This bill aims to amend the Code of West Virginia by removing the cap on the number of wells for which operators must pay an annual oversight fee. Specifically, it eliminates the previous limitations that required operators to pay fees only for the first 400 wells or 4,000 wells, depending on the production levels of gas. Instead, the bill stipulates that operators will be required to pay an oversight fee for each well that has not yet been plugged, regardless of the total number of wells they operate.

In addition to the removal of the cap, the bill maintains the structure of the oversight fees based on the production levels of gas from the wells. Operators will continue to pay $350 for wells producing more than 250,000 cubic feet of gas per day, $75 for those producing between 60,000 and 250,000 cubic feet, and $25 for wells producing between 10,000 and 60,000 cubic feet, with certain exemptions for operators with 500 or fewer unplugged wells. This legislative change is intended to enhance regulatory oversight and ensure that all active wells contribute to the oversight process.

Statutes affected:
Introduced Version: 22-6-2