1. Permits 19823, 21172, and 22074 issued to the Lynn Ann Oil Company are revoked.
2. Lynn Ann Oil Company is ordered to immediately plug and abandon these wells in accordance with 310 IAC 7-1-33.
3. Pursuant to IC 13-8-15-2(c), a statutory lien in the name of the State of Indiana is placed on all casing and equipment located on or removed from the well sites and the leasehold of the land of the subject permits.
FINDINGS OF FACT
1. On March 15, 1994 the department filed with the hearings division of the natural resources commission (the "commission") a Complaint for the issuance of an order to revoke permit.
2. The respondent to the Complaint is Lynn Ann Oil Company (Lynn Ann).
3. The Complaint involves three oil and gas permits identified as 19823, 21172, and 22074.
4. Problems with these permits were to be solved by a previously negotiated agreed order.
5. On December 21, 1994, the department filed a Motion for Summary Judgment citing a lack of action by Lynn Ann in regard to the agreed order.
6. Lynn Ann declined to file any answer to the department's Motion for Summary Judgment.
7. The Department of Natural Resources (the "department") is an agency as defined in IC 4-21.5-1-3.
8. As defined in IC 4-21.5-1-15, "ultimate authority" means the individual or panel in whom the final authority of an agency is vested.
9. The commission is the ultimate authority for this proceeding.
10. IC 4-21.5, IC 13-8, 310 IAC 0.6, and 310 IAC 7 apply to this proceeding.
11. IC 13-8-15-1(2) provides that the commission may revoke a permit issued under article 13 if the commission finds that an operator has violated the article or a rule adopted thereunder.
12. IC 13-8-8-1 requires an operator to submit either individual bonds or a blanket bond for each well permitted.
13. On April 11, 1994, the commission authorized the forfeiture of Lynn Ann's blanket bond #LP211849 issued by the Capitol Indemnity Corporation. (See Administrative Cause Number 93-390G).
14. 310 IAC 7-1-19(d) provides that if a substitute bond is not filed within 30 days the department shall revoke the permit(s) under IC 4-21.5 and 310 IAC 0.6.
15. The requisite substitute bond has not been filed, and this action is as required under 310 IAC 7-1-19(d).
16. Therefore, the department's Motion for Summary Judgment is granted.