Section 312 IAC 29-12-3 - Bond required in addition to annual well feeAuthority: IC 14-10-2-4; IC 14-37-3
Affected: IC 14-37
Sec. 3.
(a) A person who:(1) has never been granted a permit for a well for oil and gas purposes under IC 14-37 and this article;(2) has demonstrated a pattern of violations under IC 14-37 and this article for which a civil penalty was assessed under 312 IAC 29-34-4 within the previous two (2) years;(3) has failed to pay a civil penalty imposed under 312 IAC 29-34-4; or(4) has failed to pay an annual fee required under IC 14-37-5 and this rule; shall not be issued a permit for a well for oil and gas purposes under IC 14-37 and this article until the person has filed an acceptable bond as provided in section 4 of this rule.
(b) The bond described in subsection (a) is in addition to the assessed annual well fee imposed by sections 1 and 2 of this rule.(c) A bond shall be renewed until there has been compliance with the conditions imposed by IC 14-37, this article, and the permit for two (2) consecutive years and the permittee no longer meets any of the conditions in subsection (a)(1) through (a)(4).(d) Requirements and procedures applicable to bonds also apply to the substitute securities described in IC 14-37-6-2 and IC 14-37-6-4.(e) Any person in whose name the permit is issued shall execute and be named as principal on the bond. The name of the owner or operator on the permit and the principal on the bond shall be the same.Natural Resources Commission; 312 IAC 29-12-3 filed 12/1/2017, 10:35 a.m.: 20171227-IR-312160230FRAReadopted filed 1/17/2023, 1:53 p.m.: 20230215-IR-312220328RFA