Bill > HB4867

This bill expands reporting and payment requirements for all oil and gas wells, not just horizontal ones, to ensure greater transparency and fairness in royalty payments to interest owners. It mandates that operators provide detailed information with each royalty payment, including well identification, production volumes, prices received, and a breakdown of all deductions. The bill also establishes a process for interest owners to request this information if not received timely, with penalties for non-compliance, and allows for civil action to enforce these provisions. Furthermore, it clarifies that royalties are generally calculated based on the proceeds from the final point of sale of all leased minerals, including byproducts like natural gas liquids, and that lessees (those who lease the mineral rights) must bear post-production costs unless the lease explicitly states otherwise with specific details. The bill also introduces provisions for auditing, monitoring, and quarterly reporting to the West Virginia Department of Environmental Protection (WVDEP) Office of Oil and Gas, with penalties for non-compliance, aiming to codify existing judicial interpretations and reduce disputes between lessors (mineral owners) and lessees.

Transportation and Infrastructure

http://www.wvlegislature.gov/Bill_Status/Bills_history.cfm?input=4867&year=2026&sessiontype=RS&btype=bill