Bonding

Applicants must comply with all bonding requirements to insure the plugging and restoration of a well(s) by submitting one of the following types of bond:

• One well: $5,000
• Two or more wells: $15,000 (blanket bond)

You may choose from one of the following options:

• A surety bond issued by an insurance company licensed to do business in the State of Ohio. (Form 2);
• An official bank or certified check (cash bond);
• A certificate of deposit issued by any bank organized or conducting business in the State of Ohio. The certificate should be issued in the company/individual name and assigned to the Division of Oil and Gas Resources Management (see assignment form.) The Division requires both the original certificate of deposit and original assignment; or
• An irrevocable letter of credit issued from an Ohio bank. (see form on this page.)

Insurance

All owners of wells, except exempt domestic well owners, must maintain liability insurance coverage of not less than $1 million bodily injury coverage and property damage for wells located in non-urban areas or $3 million bodily injury coverage and property damage for well(s) located in urban areas, or $5 million bodily injury and property damage for owners of horizontal wells. The Division requests proof of insurance at the time of registration.

Proof of insurance must be furnished by submitting an insurance company Certificate of Insurance, and must be resubmitted upon expiration of the certificate.

A list of urban areas can be found here.

Please note: in order for a well(s) to be placed under a new owner number, the Division must receive and approve a "request for change of owner form) (Form 7) executed by the Assignor/Transferor and Assignee/Transferee.