An oil and gas exploration company based in Jackson, Michigan, found itself on the losing side of a default judgment for allegedly failing to plug two unproductive wells the company had drilled in Liberty and Hanover townships.

According to Michigan's DEQ, the company refused to properly plug the wells after more than 12 months without production. DEQ took enforcement action, and the company entered into a stipulation and consent agreement with the Department, agreeing to plug or produce the wells by a specified date.

DEQ and the state attorney general's office took the company to court.

The default judgment requires the company to pay $102,736.19 for the costs of plugging and abandoning the two wells; $100,000 in stipulated penalties; and $5,000 in outstanding administrative fines.