Texas HB2256 amends financial security requirements for oil and gas well operators.

Texas HB2256 amends financial security requirements for operators of oil and gas wells. It mandates that operators file a bond, letter of credit, or cash deposit based on decommissioning cost estimates for oil and gas producing regions. Operators must also file federal documents and a Uniform Commercial Code Form 1 Financing Statement. The bill establishes a sinking fund for decommissioning costs and allows for extensions on plugging deadlines under certain conditions. It also repeals Section 91.1042 and specifies that changes apply to bonds filed after the act's effective date.

Texas HB2256 amends financial security requirements for oil and gas well operators.

Texas HB2256 amends financial security requirements for operators of oil and gas wells. It mandates that operators file a bond, letter of credit, or cash deposit based on decommissioning cost estimates for oil and gas producing regions. Operators must also file federal documents and a Uniform Commercial Code Form 1 Financing Statement. The bill establishes a sinking fund for decommissioning costs and allows for extensions on plugging deadlines under certain conditions. It also repeals Section 91.1042 and specifies that changes apply to bonds filed after the act's effective date.