Louisiana’s Abandoned Oil Well Crisis Dwarfs Texas Problem on a Per Capita Basis

A rusted and overgrown pump jack sits abandoned, a scene playing out thousands of times across the state as orphaned oil and gas wells outpace the ability to plug them.

By Richard Searles, Journal Contributor

State faces record 6,465 orphaned wells, a cleanup bill that could top $1 billion, and a broken oversight system

Louisiana’s oil patch is leaving behind a growing legacy of abandoned wells that leak, contaminate groundwater and cost taxpayers hundreds of millions of dollars — and on a per capita basis, the state’s problem is more than four times worse than Texas, which has drawn national attention for the same issue.

As of March 2025, Louisiana has 6,465 orphaned oil and gas wells — unplugged, abandoned sites with no responsible operator — according to the state Department of Conservation and Energy. Texas has approximately 10,029 orphaned wells, according to its Railroad Commission. But Texas has nearly seven times Louisiana’s population. Louisiana has roughly one orphaned well for every 711 residents. Texas has one for every 3,130. Louisiana’s per capita burden is more than four times heavier.

The Numbers Are Accelerating

Between 2014 and 2023, the Louisiana Legislative Auditor found that an average of about 445 wells were added to the orphaned list each year. In 2025, more than 1,600 wells were added — more than three times the historical annual average. In just the first months of 2026, another 517 wells have already been added.

Behind those orphaned wells sits an even larger problem: inactive wells not yet orphaned but at risk. The Legislative Auditor found the inactive well count climbed 21.7 percent from 2019 to 2024, reaching 21,629 statewide.

What It Will Cost — and Why the Numbers Differ

The cleanup bill has been reported in different ways, and understanding why requires a distinction between two categories of problem wells.

The first is the orphaned well count itself — the 6,500 wells with no responsible operator. The Louisiana Legislative Auditor places the average plugging cost at $113,000 per well. Multiplied across the current orphaned well list, that produces the widely cited $730 million figure.

But that number covers only orphaned wells. A July 2025 white paper from the LSU Center for Energy Studies, commissioned by the state, calculated that plugging and abandoning both orphaned and idle wells in just the Monroe and Shreveport regulatory districts — two of Louisiana’s three oil and gas districts — would cost approximately $860 million. The Lafayette district, which holds roughly 41 percent of the state’s total orphaned and idle well inventory, was not included in that estimate. When all three districts and all idle wells are accounted for, the total cost to Louisiana taxpayers could well exceed $1 billion.

Since 2023, the state has plugged just 490 orphaned wells at a combined cost of nearly $90 million in state and federal funds — far behind the pace needed to make meaningful progress.

The Oversight System Failed

Louisiana’s attempt to manage the problem through a private industry-led entity collapsed. The Louisiana Oilfield Restoration Association, created in 2019 to collect operator fees and fund plugging activity, was dissolved after a state audit found it falling far behind — and after allegations of self-dealing that included a $780,000 loan to a state official. An audit also found the association’s administrative partner was charging a 36 percent fee on revenues, nearly double the agreed cap. During fiscal years 2020 through 2023, the state plugged 976 orphaned wells through the program. During that same period, nearly 1,700 new orphaned wells were reported — meaning the system was losing ground even while operating.

The Louisiana Legislature responded in 2024 by creating the Natural Resources Trust Authority under the Department of Conservation and Energy, tasked with rebuilding oversight and funding. Financial security requirements — the bonds operators must post to cover future plugging costs — remain a structural weakness. Though coverage rose from 25 percent of wells in 2014 to 74 percent by 2024, the Legislative Auditor found the amounts collected still fall well short of actual plugging costs.

The Bottom Line

Louisiana is producing new orphaned wells faster than it can plug old ones, carrying a per capita orphaned well burden more than four times that of Texas, and facing a total cleanup bill that state and university researchers suggest could exceed $1 billion when all idle and orphaned wells statewide are fully accounted for. The consequences — contaminated groundwater, leaking methane, degraded land — fall most heavily on the rural communities where these wells are concentrated.

Sources: Louisiana Department of Conservation and Energy; Louisiana Legislative Auditor’s Office; LSU Center for Energy Studies, “Orphan and Idle Wells in Louisiana,” July 2025; Texas Railroad Commission; Louisiana Illuminator.