Before you drill or take over an oil or gas well in Kentucky, the Division of Oil and Gas requires a plugging and abandonment bond on file under KRS 353.590. This is the single-well (individual) bond — we write it at a flat 3% with one soft credit pull. Enter the amount your permit calls for and the premium updates.
















A single-well bond is straightforward — enter your amount, consent to a soft pull, and file with the Division. Here is the whole thing:
Your operator details, the well, the bond amount your permit requires, and the effective date — plus a one-time consent to a soft credit pull.
Most of these clear quickly; if underwriting needs anything, you hear from an underwriter within 48 hours. The credit check is a soft pull that never affects your score.
Pay online and receive the executed bond, ready to file with the Department for Natural Resources, Division of Oil and Gas. Wet-ink originals mailed whenever the Division insists.
Bond amount × 3% = your premium, one-time, $275 minimum. Enter the figure on your permit and the premium updates.
Kentucky regulates oil and gas wells through the Department for Natural Resources, Division of Oil and Gas. Under KRS 353.590, a performance bond must be on file before a well is drilled or acquired from another operator — it guarantees that the well will be properly plugged and abandoned and that the required well records are filed.
This is the single-well (individual) bond, covering one specific well rather than a blanket bond covering all of an operator’s wells. For permits issued after June 27, 2019, the department generally requires $2 of bond for every foot of true vertical well depth — so the amount scales with how deep the well goes.
If an operator abandons a well without plugging it, the Commonwealth can forfeit the bond; forfeited sums go to the state oil and gas well plugging fund and are spent plugging abandoned wells. It is not insurance for you — if the surety pays, you repay the surety. Operators who plug their wells and file records treat the bond as a permit formality.
These are the actual underwriting fields, including a one-time consent to a soft credit pull. Submit once and the executed bond is typically ready within a day.
Start the application →If yours isn't here, the bond team can usually answer within the hour.
Five-minute application, flat 3%, $275 minimum, soft pull only. Enter the amount your permit requires and file with the Division.