9-17-132
Section 9-17-132 Definitions. For the purposes of this article, unless otherwise indicated,
the following terms shall have the meanings respectively ascribed to them by this section:
(1) BOARD. The State Oil and Gas Board created in Section 9-17-3. (2) FUND. The Alabama Coalbed
Methane Gas Well Plugging Fund established in Section 9-17-133. (3) COALBED METHANE GAS WELL.
A well capable of producing occluded natural gas from a coalbed or coalbeds. (4) PLUGGING
FEE. The fee authorized by Section 9-17-137. (5) OPERATOR. Any person who notifies the supervisor
pursuant to Section 9-17-24 of such person's desire or proposal to drill a coalbed methane
gas well. (6) PERSON. Any natural person, firm, corporation, association, partnership, joint
venture, receiver, trustee, guardian, executor, administrator, fiduciary, representative of
any kind or any other group acting as a unit. (7) SUPERVISOR. The state oil and gas supervisor.
(Acts 1990, No. 90-635, p. 1164, §3.)...
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9-17-137
Section 9-17-137 Plugging fees payable into fund; investment and use of fund. (a) In addition
to the requirements and fees provided for in Section 9-17-24(a), any person desiring, after
April 25, 1990, to drill any coalbed methane gas well in this state shall pay to the state
a plugging fee of $150.00 respecting each such well desired to be drilled, such plugging fees
to be deposited with the State Treasurer in the fund; provided, however, that no plugging
fees shall be required to be paid during any time when the unobligated balance of the fund
shall exceed the sum of $1,000,000. Any provisions of law to the contrary notwithstanding,
no permit for the drilling of any coalbed methane gas well shall be issued by the board until
the fee provided for in this section shall be paid, if due. (b) The moneys in the fund shall
be invested by the State Treasurer of Alabama in the same manner as state funds generally;
provided, however, that only 50 percent of all interest and earnings accruing...
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9-17-12
Section 9-17-12 Limitations on regulations; drilling or production units; producers' shares.
(a) Whether or not the total production from a pool is limited or prorated, no rule, regulation,
or order of the board shall be such in terms or effect that it will do the following: (1)
That it shall be necessary at any time for the producer from or the owner of, a tract of land
in the pool, or an interest associated therewith or derived therefrom, in order that he or
she may obtain the tract's just and equitable share or the just and equitable share of the
interest of the production of such pool, as the share is set forth in this section, to drill
and operate any well or wells on such tract in addition to the well or wells as can without
waste produce the share. (2) As to occasion net drainage from a tract or any interest associated
therewith or derived therefrom, unless there is drilled and operated upon the tract a well
or wells in addition to such well or wells thereon as can without waste...
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9-17-24
Section 9-17-24 Notification requirement; hearing; fees; Alabama Oil and Gas Board Special
Fund. (a) Any person desiring or proposing to drill any well in search of oil or gas or any
person proposing to drill a Class II injection well as defined in the Federal Safe Drinking
Water Act, 42 U.S.C. § 300f et seq., before commencing the drilling of any such well, shall
notify the State Oil and Gas Supervisor upon the form as the State Oil and Gas Supervisor
may prescribe and shall pay to the State Treasurer a fee of three hundred dollars ($300) for
each well. The drilling of any well is hereby prohibited until notice is given and the fee
has been paid as herein provided. The State Oil and Gas Supervisor shall have the power and
authority to prescribe that the form indicate the exact location of the well, the name and
address of the owner, operator, contractor, driller, and any other person responsible for
the conduct of drilling operations, the proposed depth of the well, the elevation of...
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9-17-139
Section 9-17-139 No liability of state, board or supervisor to third parties. Nothing in this
article shall establish or create any liability or responsibility on the part of the board,
the supervisor or the State of Alabama to pay any costs incurred or damages incurred or damages
suffered by any person or to pay any third party claims from any source arising from the failure
of any coalbed methane gas well to be properly plugged, nor shall moneys in the fund be used
to make any payments of such costs or damages. (Acts 1990, No. 90-635, p. 1164, §10.)...

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9-17-6
Section 9-17-6 Oil and Gas Board - Powers and duties generally. (a) The board shall have jurisdiction
and authority over all persons and property necessary to administer and enforce effectively
the provisions of this article and all other articles relating to the conservation of oil
and gas. (b) The board shall have the authority and it shall be its duty to make such inquiries
as it may think proper to determine whether or not waste, over which it has jurisdiction,
exists or is imminent. In the exercise of such power the board shall have the authority to
perform the following: (1) Collect data. (2) Make investigation and inspection. (3) Examine
properties, leases, papers, books, and records, including drilling records, logs, and other
geological and geophysical data. (4) Examine, check, test, and gauge oil and gas wells, tanks,
plants, processing facilities, structures, natural gas pipelines and gathering lines, and
storage and transportation equipment and facilities, and other modes...
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9-17-134
Section 9-17-134 Determination by board of coalbed methane gas wells requiring plugging. Whenever,
in the determination of the board, after reasonable notice to the operator of a coalbed methane
gas well and a hearing held by the board and pursuant to such notice: (1) The failure of the
operator of a coalbed methane gas well to plug such well may pose a threat to the environment
or to the public health, safety or welfare, (2) The operator of said well shall have failed
or refused to plug such coalbed methane gas well within a period deemed reasonable by the
board, and (3) The bond or other security filed by such operator under Section 9-17-6(c)(5)
is or is expected to be inadequate to provide for the payment of the costs of plugging said
well, the board shall undertake to provide for the proper plugging of said well through the
use of moneys in the fund, provided that moneys adequate for such purpose, taking into account
the aforesaid bond or other surety, shall then be on deposit in...
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9-17-133
Section 9-17-133 Alabama Coalbed Methane Gas Well Plugging Fund. There is hereby created the
Alabama Coalbed Methane Gas Well Plugging Fund to be held by the State Treasurer and administered
by the supervisor. The fund shall be used for carrying out the purposes of this article. To
the fund shall be credited all the plugging fee revenues levied, collected and credited thereto
pursuant to Section 9-17-137. Charges against and disbursements from the fund shall be made
only in accordance with the provisions of this article. (Acts 1990, No. 90-635, p. 1164, §4.)...

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9-17-136
Section 9-17-136 Liability of owners and operators. Whenever costs of plugging a coalbed methane
gas well shall have been incurred by the board pursuant to this article and the board shall
have authorized the expenditure of moneys from the fund pursuant to Section 9-17-135 for the
purpose of plugging a coalbed methane gas well, the operator thereof and each and every owner
of a working interest in the well bore of such well shall be jointly and severally liable
to the state for repayment of the amount of such moneys, and the board is authorized to institute
appropriate civil actions in the courts in the name of the state to recover such amounts.
Any amounts so recovered shall be paid into the fund. Further, nothing in this article shall
be construed to relieve any operator or owner of a working interest in the well bore of any
coalbed methane gas well of any liability to any third party for damages incurred because
of failure to plug any coalbed methane gas well. (Acts 1990, No....
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9-17-130
Section 9-17-130 Legislative findings and declaration. The Legislature of the State of Alabama
finds and declares that the protection of Alabama's environment is vital to the economy of
this state; that coalbed methane gas wells are an important source of natural gas for use
in industry and by consumers thereof in Alabama and are becoming increasingly common in Alabama
as the technology for such wells advances; that the broadest possible promotion of public
and private interests requires that coalbed methane gas wells be properly plugged when abandoned;
that delays therein may affect the environment or public health, safety and welfare; that
adequate financial resources be readily available to provide for the expeditious plugging
of such wells and to provide a means for doing so without delay; that the Legislature has
heretofore authorized the State Oil and Gas Board of Alabama to require that operators of
such wells provide evidence of financial responsibility to cover the costs of...
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