How Do I Find Surety Information?
|Matthew Merino||Administrative Programs Officer||(405) 522-6196|
What is Surety?
Surety is evidence of financial ability to comply with the requirements for plugging, closure of surface impoundments, removal of trash and equipment established by the Commission and Law. See Title 52 § 318.1 or read Chapter 10 rules.
(OGIMS) Oil & Gas Information Management System
The OGIMS online application must be used to complete Surety forms 1006B, 1006BRA, 1006BTA, 1006CSFA and 1006S.
Categories and Types of Surety
There are two Categories of Surety, Category A and Category B. Category A Surety is a Financial Statement on Form 1006A. Category B Surety is either a Surety Bond on Form 1006, a Letter of Credit on Form 1006C, a Certificate of Deposit (see 165:10-1-10 in our searchable rules), Cash, or Cashier’s Check.
What is my Operator's Anniversary Date?
The anniversary date for an operator is based on the Surety Instrument used by the operator. For example, if the operator posted a Letter of Credit on form 1006C, then the date listed in the middle paragraph will be used as the anniversary date, i.e. April 28th yyyy, due to the auto-renewal clause the year of the instrument is not listed. In the example, the anniversary date of the operator would be April 28th of every year. If the operator is using Category A Surety, then the form 1006A Financial Statement is also due by the anniversary date.
What does Anniversary Date mean?
All operators are required to file a form 1006B Operator’s Agreement every twelve months with applicable filing fee. The anniversary date is the due date for the 1006B and filing fee for the operator. Failure to file the form 1006B by the anniversary date can result in a contempt referral to the OCC Legal Department seeking a fine of $500 for each violation.
How does an operator change from a Category B to Category A Surety?
The operator is required to keep Category B for 3 years with no outstanding fines or contempt before they can change to Category A Surety. Operators using Category A surety who are assessed a fine of $2,000.00 or more and who do not pay the fine within the specified time shall be required to post a Category B surety within 30 days of notification by the Commission.
How Does an Operator get their Surety Released and the Operator Closed in OCC records?
The Operator or Surety Company must mail the Surety Department a Notice of Cancellation or Request to Release. If the Surety is a Letter of Credit on Form 1006C then the terms require the notice be sent by Certified Mail, Return Receipt Requested, or by overnight courier. A 180-day prior notice is required on all Surety Instruments.
The Surety Department will begin the required investigation when the notice or request is received and mail out an acknowledgement of the request. If all Departments have advised the Surety Department to release the Surety on file, the Surety Department will mail out a Surety Release Letter and will mail the original Surety Instrument back to the Surety Company and a copy to the Operator.
If any Department has requested Surety be held, the Surety Company and Operator will be notified by a Revocation of Cancellation letter stating the reason and Department they will need to contact. Please note that any Surety Instrument is not considered released until consent is given by the OCC.
Can you give me address and telephone information of an operator?
Operator information is available on the Operator’s Directory.