Today’s energy sector faces a daunting number of inactive, unplugged non-producing wells along with their associated facilities, presenting a potential trillion-dollar problem for the industry, its investors and stakeholders—and ultimately the U.S. taxpayer. Posing significant environmental risks as sources of methane emissions and groundwater contamination, the impacts of these unplugged wells will continue to grow in magnitude if not addressed. Tackling this issue is an important step toward meeting global greenhouse gas reduction goals. The growing ARO liabilities held on Energy Operators’ balance sheets remain mostly unfunded. If neglected, the number of orphaned wells in the United States will continue to increase, leaving a burden on taxpayers.

OneNexus has designed and developed a unique offering, OneNexus Assurance™, for the energy industry to address the growing problem of unfunded AROs via an insurance-like product.