Overview
The OOG manages abandoned well plugging through the use of state funds created by the West Virginia Legislature and described in WV Codes §§ 22-6-29 and 22-6-29a.
Revenue placed into these funds is sourced through industry permit fees, bond forfeitures, and severance taxes. Historically, the Oil and Gas Reclamation Fund has
received an average of approximately $100,000 annually through permits fees and bond forfeitures. Through legislation passed in 2020, creating the Oil and Gas
Abandoned Well Plugging Fund, a few million dollars per year from severance taxes will be received and directed toward abandoned well plugging.
Wells plugged through state funding is done through a competitive bid process and focuses on wells that are considered a higher priority based on their environmental
and/or safety threat.