Administrative Rules for
Part 615 -
Natural Resources and Environmental Protection Act, Act No. 451 of the Public
Acts of 1994, as amended
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Rule
212. A person who drills or operates
a well shall file a conformance bond with the supervisor for the following
amounts, as applicable:
(a) Single well conformance bonds shall be
filed in the following amounts, as applicable:
(i) $10,000.00 for wells up to and including
2,000 feet deep, true vertical depth.
(ii) $20,000.00 for wells deeper than 2,000
feet, but not deeper than 4,000 feet, true vertical depth.
(iii) $25,000.00 for wells deeper than 4,000
feet, but not deeper than 7,500 feet, true vertical depth.
(iv) $30,000.00 for wells deeper than 7,500
feet, true vertical depth.
(b) A person may file single well conformance
bonds in an amount equal to 1/2 of the amount specified in subdivision (a) of
this rule for wells where well completion operations have not commenced. A person may not file single well conformance
bonds under this subdivision for more than 5 wells. A person shall file single well conformance
bonds in the full amount specified in subdivision (a) of this rule or file a
blanket conformance bond as specified in subdivision (c) of this rule or submit
a statement of financial responsibility pursuant to R 324.210 before the
commencement of well completion operations on any well.
(c) Blanket conformance bonds may be filed as
an alternative to single well conformance bonds. If a blanket conformance bond is utilized,
then the permittee shall provide the supervisor with a list of wells covered by
the blanket conformance bond. A maximum
of 100 wells may be covered by a blanket conformance bond. If the permittee has more than 100 wells
in a category, then the additional wells may be covered by single well
conformance bonds or additional blanket conformance bonds. Blanket conformance bonds shall be filed in
the following amounts, as applicable:
(i) $100,000.00 for wells up to and including
2,000 feet deep, true vertical depth.
(ii) $200,000.00 for wells deeper than 2,000
feet, but not deeper than 4,000 feet, true vertical depth.
(iii) $250,000.00 for wells deeper than 4,000
feet, true vertical depth.
(d) A person shall not be required to file a
blanket conformance bond or bonds in an aggregate amount of more than
$250,000.00. When the aggregate amount
of the conformance bonds is $250,000.00, the permittee may file 1 blanket
conformance bond of $250,000.00 to cover all of his or her wells.
History: 1996 MR 9, Eff.
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re-formatted for consistency, are not intended to replace official versions and
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