Home  Alabama Bonds   Alabama Oil and Gas Blanket Permit Bond

Alabama Oil and Gas Well Drillers Blanket Surety Bonds

Oil pumps in a field

Apply Online

Or call 844-432-6637

The State Oil and Gas Board of Alabama, is a regulatory agency that promotes conservation and protection of the environment. The board enforces the state rules and regulations through oversight of oil and gas exploration, drilling, operation, and production, Class II injection wells, and underground storage of gas in reservoirs in Alabama.

The Oil and Gas Board of Alabama Administrative Code 400-1-1-.01 thru 400-7-1-.23 defines the regulations process for oil and gas permits. The following is required for the Oil and Gas Blanket Bond permit for the purpose of commencement of “drilling, competing, converting, operating, or producing any oil, gas, or Class II injection well, including production facilities, processing facilities, injection facilities, underground storage facilities in reservoirs, plants, pipelines, and other equipment associated with such well" (400-1-2-.03).

Surety Bond and Permit Requirements:

  1. Complete the permit application and payment of the permit fee.
  2. Submit with the permit application a “Certified Plat” (in triplicate). The certified plat must meet the conditions and requirements for the applicable operation (offshore, onshore, CBM, etc).
  3. Complete an affidavit of ownership or control (Form OGB-2).
  4. Complete an organization report (Form OG-5).
  5. Provide illustrations or details of the proposed operations plan.
  6. Even though a single blanket bond can have multiple wells tied to it, each well will end up having a unique API number assigned to it for data purposes.
  7. Obtain a $100,000 blanket surety bond multiple wells (form OBG-4).

How Much Does This Bond Cost?

The premium that you pay for an Alabama Oil and Gas Blanket Surety Bond is dependent on credit and business and personal financial statements. Our rates start at 1% of the bond amount with good credit. Contact our Surety Bond Specialists for a free quote that fits your specific situation.

Did You Know?

The State of Alabama legislature created the Oil and Gas Board in 1945.

Related Links:

Oil and Gas Industry in Alabama
Alabama Oil and Gas Board Information

More Surety Bond Questions?

Check out our FAQ page or What’s a Surety Bond? page. Should you need or choose to buy a surety bond, buy from us. SuretyGroup.com has been underwriting surety bonds throughout the U.S. for more than 35 years. When you work with us, you enjoy the unique benefit of dealing with a team of highly experienced surety agents with in-house underwriting authority. This allows you to receive competitive, low rates, quick approvals, and immediate bond delivery. In most cases, your bond will be delivered within 24 hours after you apply for it.


For a downloadable application