Arizona Revised Statutes Title 27. Minerals, Oil and Gas § 27-654. Drilling bond; amount; responsibility

A. The commission shall require every person who engages in the drilling, ownership or operation of a well, or the entering or deepening of an abandoned well, to file with the commission, on a form to be determined by the commission, a reasonable bond with good and sufficient security conditioned upon the performance of the duties required by this section and the duties upon abandonment, as approved by the commission, of the well in an amount to be determined by the commission.

B. In no case may the bond be less than five thousand dollars for each individual well or less than twenty-five thousand dollars for any number of wells.

C. The bond shall remain in full force and effect until all requirements of the commission have been satisfied or until otherwise released by the commission.

D. The owner or operator is responsible for the full cost of plugging each dry or abandoned well. If the owner or operator fails to properly plug and abandon the well, the commission may: