Pump and tanK are in an old brick lined well, appear to be fairly old, lost all water pressure, tuned off braker for 3 hours and regained pressure, but water starts to surface around buried bladder tanks when pump is running. I assume I will need to replace tank, should I burie new tank when I switch them out?

I can only assume the tank is buried to keep it from freezing. Could be a leaking tank, or a leaking pipe, in which case it would not be necessary to replace the tank.

If you do have to replace the tank, would it be possible to put it in a basement/cellar area? It would take a little doing, but it would make the occasional maintenance a lot easier.