Plugging Orphan Wells Can Reduce Methane Emissions, Oil Spills, and Brine Spills: Incentives Can Increase Plugging Rates

     I have attended several webinars over the last several years involving the plugging of abandoned, orphan, and idle oil & gas wells. Some emphasized prioritizing wells, others involved carbon market incentives or government incentives. Having some experience in the geological aspects of well plugging, I attempted to get hired by the state of Ohio’s Mineral Resources Division as a geologist specializing in well plugging, but I was not selected.

     Recent analysis by RBN Energy’s Jason Lindquist covers the benefits of plugging orphaned wells. First, he notes that there are about 120,000 documented orphaned and unplugged wells across 27 states, according to the U.S. Geological Survey (USGS). There are likely many more undocumented orphan wells. Ohio and Pennsylvania have the most documented orphan wells at about 16,000 each, followed by Kentucky, Oklahoma, and Illinois. The number of undocumented wells is somewhere between 310,000 and 800,000 according to the Interstate Oil & Gas Compact Commission (IOGCC). Below, he provides an update about recent well-plugging efforts.

“The Infrastructure, Investment and Jobs Act (IIJA), which was signed into law in 2021, provided $4.7 billion for states, tribes and landowners to plug, remediate and reclaim orphaned oil and gas wells. The Department of the Interior’s online dashboard shows that more than 10,500 orphaned wells were plugged through the program, the vast majority of them oil and gas wells (8,771), with a much smaller number of injection wells and disposal wells also plugged. While that is not an insignificant reduction, it’s just a fraction of the overall total of orphaned wells. Most oil- and gas-producing states also have their own programs to plug orphaned wells; 26 states applied for funding under the IIJA’s well-plugging program.”

     The cost to plug wells can vary considerably depending on the shape of the well components and what may be leaking from the well. Methane leaks are common, as are leaks of volatile organic compounds (VOCs), groundwater contamination, and soil contamination.

     Plugging wells often involves prioritizing the plugging of the most dangerous, most leaking wells first, and those wells are more likely to be more expensive to plug. Prioritizing also involves measuring methane leakage with infrared cameras, satellites, and other methane measurement tools. Wells with the greatest leakage would receive increased funding due to their substantial generation of carbon credits. Some characteristics are shown below.

     Below, Lindquist notes that states have different plugging rule specifications:

“…24 state agencies have well-plugging rules that require cement to be placed above the producing zones (yellow bar in Figure 2 below) and 23 specify where plugs should be located (dark-red bar), while only eight specify how strong cement plugs should be (brown bar) and just five mandate that the wellbore must be essentially static after plugging (green bar). There is no one-size-fits-all approach to well plugging.”

     Plugging wells for carbon credits also requires a more robust verification process to ensure that the wells do not leak in the future. It is sometimes the case that plugged wells can leak again in the future, especially if the plugging was substandard. Important factors for successful plugging include adequate cement recipes and plugs that extend further above and below gas, oil, and water-producing zones. Wells plugged for carbon credits also require third-party post-plugging verification. These carbon credits are often part of voluntary carbon markets, but may be part of compliance (regulation-based) carbon markets as well.

     Another aspect of well plugging is land reclamation and restoration. This can be especially important for wells that have leaked into soil or groundwater and may require. Environmental cleanup may be a part of the process. This may include soil vapor and groundwater sampling, and digging up contaminated soils. Or pumping out contaminated groundwater.  

     Ongoing monitoring, mainly of methane levels, is important in verifying that the wells are still in compliance. This is important since voluntary carbon markets have been criticized for inadequately verifying post-action retention of stored carbon or methane.

“Orphaned wells may be a legacy problem, but they are also an opportunity for methane abatement coupled with nature-based co-benefits, including regenerative agriculture. By zeroing in on the leakiest, highest‑risk wells and using a process backed up by rigorous measurement and verification, long‑ignored liabilities can be turned into marketable carbon credits. That won’t solve every issue tied to aging well inventories, but it’s one with potential that the oil and gas industry is well poised to address.”    

   

 

References:

 

Two Birds, One Stone – Efforts to Plug Orphaned Oil and Gas Wells Can Help Cut Methane Emissions Too. Jason Lindquist. RBN Energy. February 12, 2026. Two Birds, One Stone – Efforts to Plug Orphaned Oil and Gas Wells Can Help Cut Methane Emissions Too | RBN Energy