The state of Colorado does not want to pay the bill for abandoned oil and gas wells and plans to avoid picking up the tab by forcing operators to guarantee the clean up of every well should they be abandoned.
It could means a cost of billions of dollars under draft regulations drawn up by the Colorado Oil and Gas Conservation Commission. The proposal would cover all 50,000 oil and gas wells in the state and require a full-cost of plugging financial guarantee of $78,000 for each of a company’s wells reported the Colorado Sun.
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