Dozens of idle oil, gas wells in Ventura County need to be plugged, state officials say

This file photo shows a portion of Peak Oil's operation outside Oxnard.
This file photo shows a portion of Peak Oil's operation outside Oxnard.

Oil and gas regulators released a plan this week to plug 378 orphaned and deserted wells in California – a list that includes dozens of sites in Ventura County.

California’s Geologic Energy Management division, or CalGEM, proposed spending roughly $80 million in state and federal funds to permanently seal those wells. Roughly 40% of the funds would be used in disadvantaged communities.

The Draft Orphan Well Expenditure Plan – a framework for spending the money and the list of initial projects – was released Tuesday and a 20-day public comment period started. Sites include wells near homes, schools and hospitals and those with a history of leaks, officials said.

"The proposed early projects are focused on high-risk wells," said Robert Schaaf, CalGEM's state abandonment program manager. "These are wells that pose threats to California communities or to the environment."

What local wells are on the list?

In all, the state has identified more than 17,000 wells that have been idle for over 15 years.

More than 5,000 are considered orphaned or likely orphaned – deserted wells or those without a financially viable and compliant operator. Without remediation, the wells pose health and safety hazards, can cause soil and water contamination and can release harmful air emissions, officials said.

The initial list of 378 wells are located in seven counties, including Orange, Los Angeles, Ventura, Kern and Santa Barbara. Most of the 47 local wells are near Oxnard. Two are near Simi Valley.

Here are the local sites listed in the draft plan:

  • Simi oil field: CalGEM said the operator of Clarence R. Barnett Inc.’s two long-term wells and facilities last reported oil production in October 2013. Both wells are within 150 feet of houses and roughly 650 feet of a densely populated residential area, the agency said. In 2015, the operator filed for bankruptcy. CalGEM determined the wells were deserted and issued an order to properly seal them.

  • Oxnard and Saticoy fields: According to CalGem, Peak Operator, LLC, has deserted 39 wells near Oxnard. Operations have been cited for numerous violations, and in 2022, state regulators said they ordered the operator to plug and abandon 15 of the idle wells. The agency also issued a second order in June to plug and abandon the remaining 24 wells.

  • West Montalvo field: Vaca Energy has six long-term idle wells west of Oxnard and operations have been cited with numerous violations, CalGEM reported. In March 2022, the agency ordered the operator to plug and abandon wells and restore the site.

If an operator does not comply with an order to properly plug a well, CalGEM can do the work. In those cases, the state says it will attempt to recoup costs from the responsible parties.

What happens next?

The state also collects fees and bonds to protect against the potential liability of orphaned sites, but the estimated costs of plugging wells greatly exceed available funds. Without private money to do the work, taxpayers will foot the bill instead.

In 2022, the state set aside $100 million and received $25 million in federal funds to plug orphaned wells. California is expected to apply for as much as $140 million in additional federal funds this year, officials said.

After receiving public comments on the draft proposal, CalGEM said it will finalize the plan. The draft plan is available at conservation.ca.gov/calgem/Pages/State-Abandonments.aspx. Public comments will be accepted until Aug. 11 and can be emailed to CalGEMOrphanWells@conservation.ca.gov.

Cheri Carlson covers the environment and county government for the Ventura County Star. Reach her at cheri.carlson@vcstar.com or 805-437-0260.

This article originally appeared on Ventura County Star: State regulators propose sealing dozens of local oil and gas wells