OK HB1372

Amends Oklahoma gross production tax law to provide a 50% tax rate reduction for oil and gas production from orphaned wells on the Oklahoma Corporation Commission's orphaned well list for the first 36 months, after which the full tax rate applies.

Requires producers to file a corporate surety bond, letter of credit, cash, or certificate of deposit of $25,000 per well transferred from the orphaned well list with the Secretary of State before production begins, held for the benefit of the Corporation Commission Plugging Fund if the well is abandoned.

Maintains existing exemptions for secondary and tertiary recovery projects (5-year exemption), wells drilled but not completed as of July 1, 2021 and completed with recycled water (24-month exemption), and wells spudded prior to the effective date (5% rate for 36 months then 7%).

Establishes refund provisions for exempted production, with annual refund caps of $15,000,000 for secondary/tertiary recovery projects and $10,000,000 for recycled water completions, with refund claims limited to fiscal year operators and working interest owners.

Becomes effective July 1, 2025, with an emergency clause allowing immediate effect upon passage and approval.