Time running out for coal-bed methane company
The state is running out of patience for Storm Cat Energy.
The coal-bed methane company, which is in the midst of bankruptcy, received another extension on a hearing before the Wyoming Oil and Gas Conservation Commission.
The company's drop-dead hearing date to address delinquencies such as a $10.8 million short in bonds and several wells that need either integrity testing or reclamation, was scheduled for this month but has been moved to June 13.
The company has posted its pit bonds in full for $6.4 million. However, its idle wells are not fully covered. Wyoming requires idle well bonding at $10 per foot after production stops. As of February, the company had posted about $2.8 million of a $13.6 million obligation for idle wells.