Diesel Use in Gas Drilling Cited as Violation of Safe-Water Law – NYTimes.com

Diesel Use in Gas Drilling Cited as Violation of Safe-Water Law – NYTimes.com.

Gas Drilling Technique Is Labeled Violation

By TOM ZELLER Jr.
Published: January 31, 2011

Oil and gas service companies injected tens of millions of gallons of diesel fuel into onshore wells in more than a dozen states from 2005 to 2009, Congressional investigators have charged. Those injections appear to have violated the Safe Water Drinking Act, the investigators said in a letter to the Environmental Protection Agency on Monday.

Ralph Wilson/Associated Press

Workers at a natural-gas well site near Burlington, Pa.

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The diesel fuel was used by drillers as part of a contentious process known as hydraulic fracturing, or fracking, which involves the high-pressure injection of a mixture of water, sand and chemical additives — including diesel fuel — into rock formations deep underground. The process, which has opened up vast new deposits of natural gas to drilling, creates and props open fissures in the rock to ease the release of oil and gas.

But concerns have been growing over the potential for fracking chemicals — particularly those found in diesel fuel — to contaminate underground sources of drinking water.

“We learned that no oil and gas service companies have sought — and no state and federal regulators have issued — permits for diesel fuel use in hydraulic fracturing,” said Representative Henry A. Waxman of California and two other Democratic members of the House Committee on Energy and Commerce, in the letter. “This appears to be a violation of the Safe Drinking Water Act.”

Oil and gas companies acknowledged using diesel fuel in their fracking fluids, but they rejected the House Democrats’ assertion that it was illegal. They said that the E.P.A. had never properly developed rules and procedures to regulate the use of diesel in fracking, despite a clear grant of authority from Congress over the issue.

“Everyone understands that E.P.A. is at least interested in regulating fracking,” said Matt Armstrong, a lawyer with the Washington firm Bracewell & Giuliani, which represents several oil and gas companies. “Whether the E.P.A. has the chutzpah to try to impose retroactive liability for use of diesel in fracking, well, everyone is in a wait-and-see mode. I suspect it will have a significant fight on its hands if it tried it do that.”

Regardless of the legal outcome, the Waxman findings are certain to intensify an already contentious debate among legislators, natural gas companies and environmentalists over the safety of oil and gas development in general, and fracking in particular.

Oil services companies had traditionally used diesel fuel as part of their fracturing cocktails because it helped to dissolve and disperse other chemicals suspended in the fluid. But some of the chemical components of diesel fuel, including toluene, xylene and benzene, a carcinogen, have alarmed both regulators and environmental groups. They argue that some of those chemicals could find their way out of a well bore — either because of migration through layers of rock or spills and sloppy handling — and into nearby sources of drinking water.

An E.P.A. investigation in 2004 failed to find any threat to drinking water from fracking — a conclusion that was widely dismissed by critics as politically motivated. The agency has taken up the issue again in a new investigation started last year, although the results are not expected until 2012 at the earliest.

The House committee began its own investigation in February last year, when Democrats were in the majority. In Monday’s letter, Mr. Waxman, along with Representatives Edward J. Markey of Massachusetts and Diana DeGette of Colorado, said that they were so far “unable to draw definitive conclusions about the potential impact of these injections on public health or the environment.”

Still, the investigators said that three of the largest oil and gas services companies — Halliburton, Schlumberger and BJ Services — signed an agreement with the E.P.A. in 2003 intended to curtail the use of diesel in fracking in certain shallow formations.

Two years later, when Congress amended the Safe Water Drinking Act to exclude regulation of hydraulic fracturing, it made an express exception that allowed regulation of diesel fuel used in fracking.

The Congressional investigators sent letters to 14 companies requesting details on the type and volume of fracking chemicals they used. Although many companies said they had eliminated or were cutting back on use of diesel, 12 companies reported having used 32.2 million gallons of diesel fuel, or fluids containing diesel fuel, in their fracking processes from 2005 to 2009.

The diesel-laced fluids were used in a total of 19 states. Approximately half the total volume was deployed in Texas, but at least a million gallons of diesel-containing fluids were also used in Oklahoma (3.3 million gallons); North Dakota (3.1 million); Louisiana (2.9 million); Wyoming (2.9 million); and Colorado (1.3 million).

Where this leaves the companies in relation to federal law is unclear.

Mr. Waxman and his colleagues say that the Safe Drinking Water Act left diesel-based hydraulic fracturing under the auspices of E.P.A.’s “underground injection control program,” which requires companies to obtain permits, either from state or federal regulators, for a variety of activities that involve putting fluids underground.

No permits for diesel-based fracking have been sought or granted since the Safe Drinking Water Act was amended in 2005.

Lee Fuller, a vice president for government relations with the Independent Petroleum Association of America, said that was because the E.P.A. had never followed up by creating rules and procedures for obtaining such permits and submitting them for public comment.

The agency did quietly update its Web site last summer with language suggesting that fracking with diesel was, indeed, covered as part of the underground injection program, which would suggest that permits should have been obtained. But Mr. Fuller’s organization, along with the U.S. Oil and Gas Association, has gone to court to challenge the Web posting, arguing that it amounted to new rule-making that circumvented administrative requirements for notice and public commentary.

The E.P.A. said Monday that it was reviewing the accusations from the three House Democrats that the companies named were in violation of the Safe Drinking Water Act.

“Our goal is to put in place a clear framework for permitting so that fracturing operations using diesel receive the review required by law,” Betsaida Alcantara, an E.P.A. spokeswoman, said in an e-mail message. “We will provide further information about our plans as they develop.”

PSC on natural gas pipelines/gathering lines. Jan 20, 2011, Norwich

Chenango, Otsego, Delaware, Madison Regional Natural Gas Collaborative in Norwich. Jan 20, 2011.

 

The audio for this meeting is available at: http://changetheframe.com/audio/four%20county%20fracking%20forum-processed.mp3 It’s about 2 hours. 1:59:55

A video will be posted at www.ShaleShockMedia.org at some point. This will take at least 1 week…

The very interesting thing I heard from this meeting:

  • The definition of what makes a “gathering line” different from a “trunk line” is the length, diameter, and pressure of the pipe. But the definition is somewhat fuzzy. Anything above a certain size/pressure is regulated by the NY Dept. of Public Safety. Below that, these smaller typically gathering lines are completely unregulated by the state. The state does not even have details about the location of these lines.
  • The good thing is (since NY is a Home-Rule state) that this creates an opportunity for local municipalities to create local laws which regulate gathering lines. But municipalities now seem pretty uninformed about this.  Bill Houston

=======================

Yesterday I attended a meeting of the Chenango, Otsego, Delaware, Madison Regional Natural Gas Collaborative in Norwich.

The speaker was Jim Austin of the Public Service Commission.
Jim gave a presentation of what the PSC does in the way of permitting local and state gas lines.  PSC is responsible for the permitting of gas lines of greater that 125 psi over 1000 feet long.
FERC is responsible for permitting interstate gas lines.
PSC has regulations that apply to these pipelines in a 3 tiered formula.  Smaller lines requiring less scrutiny than larger ones.  Details are to be found here:
There are two areas of concern that I can see with the PSC process.  The first is that PSC is very involved with giving waivers from local ‘unreasonable’ regulations.  The other is that PSC has 2 (two) people in the field doing inspections for the whole state of NY.
It became very clear at the meeting that the concerns of most of those present were about the pipelines that are NOT permitted by PSC.  These are gathering lines under 125 psi.  It seems that no one permits, supervises, inspects or maps these lines except the gas companies.  There are very many more gathering lines than there are lines over 125 psi (example – more capillaries than veins or arteries).  In the event that there is more than an acre of disturbance for gathering lines, then a SPIDES permit would apply.  Jim believes that gathering lines are regulated by local government.  These low pressure pipelines are plastic, and are usually buried 2 to 4 feet deep.  They are not subject to Dig Safe labeling, but are required to have trace wire.
Farmers are very concerned about these gathering lines and the Farm Bureau wants PSC to supervise all gas lines and include them in Dig Safe NY.  There is legislation being written to implement this.
The pipeline safety department of PSC oversees compliance for both PSC and FERC permitted gas lines.  The question was raised if they also inspect lines below 125 psi.  To answer this and other safety questions, the pipeline safety department will be asked to send someone to address the collaborative at a future date.
I asked when the smell is added to gas so that the public could be aware of leaks in gas lines.  Stephen Keyes of Norse Energy was unable to answer the question, but I will be emailing him to follow up.
My general impression is that rather like DEC, PSC is woefully understaffed to cope with the proposed gas invasion, and there is insufficient regulation of low pressure gathering lines.  Caroline Martin

U.S. takes action to protect public health in TX Jan 18, 2011

Environmental Protection Agency Region 6 South Central – Top Stories.

U.S. takes action to protect public health and enforce EPA imminent and substantial endangerments order in southern Parker County

The United States Department of Justice filed a complaint today against Range Production Company and Range Resources Corporation (“Range”) in federal district court, seeking enforcement of a Dec. 7, 2010, emergency order issued by the Environmental Protection Agency against the companies. In the order, the EPA determined that Range had caused or contributed to the contamination of a drinking water aquifer in Parker County, Texas. The complaint asks the Dallas court to direct the companies to comply with portions of the order and to pay a civil penalty of up to $16,500 per day of violation.

EPA issued the order following an investigation into complaints from residents about methane contamination in their private drinking water wells. According to allegations in the complaint filed today, testing confirmed the presence of methane gas and the presence of other contaminants, including benzene, a known human carcinogen, in the well water

Residents noticed problems with their private drinking water wells soon after Range completed drilling and well stimulation operations on two natural gas wells located near the residents’ drinking water wells. During the course of conducting its investigation and while consulting with various state authorities, EPA determined that the risk of explosion warranted the issuance of an emergency order.

While Range offered to provide two affected residences alternative drinking water and installed explosivity meters in their homes after issuance of the emergency order, it has failed to comply with other requirements to conduct surveys of private and public water wells in the vicinity, to submit plans for field testing, and to submit plans to study how the methane and other contaminants may have migrated from the production wells, in addition to plans to remediate affected portions of the aquifer.

Complaint against Range Production Company (10 pp, 27 KB, About PDF)
Exhibit A to the complaint (12 pp, 2.87 MB, About PDF)

Legal Rights of Local Governments Jan 27, 7pm Norwich

LEGAL RIGHTS of LOCAL GOVERNMENTS:

Home Rule vs. DEC’s Regulatory System  LegalGasForum Draft 1

PANELISTS:
Former Law Professor, Mary Jo Long, is experienced in Constitutional, Administrative, and Municipal Law. Professor Long, an attorney for more than 30 years and an elected member of the Afton Town Board, helped Afton pass its new “Concentrated Heavy Traffic Road Law”
AND
Attorney, Helen Slottje, of Community Environmental Defense Council, works alongside municipalities and community groups seeking legal protection from the threats posed by industrial style gas extraction. In particular, CEDC focuses on sustainable development and the human rights to clean water, clean air and a healthy environment.
NOTE: Please park on the street; in Hayes Street or County Office Building parking lots, NOT in Church parking
7 PM
Thursday,
January 27
United Church of Christ
11 W Main St,
Norwich
Part of The Fourth Thursday Speakers Series sponsored by
C-CARE: Chenango Community Action for Renewable Energy
For more information contact Chris at 334-6095 or Ken at <ccare@frontier.com>

Norse Energy Announces Drilling Program Update | Cision Wire

Norse Energy Announces Drilling Program Update | Cision Wire.

December 28, 2010

Norse Energy Corp. ASA (“NEC” ticker Oslo Stock Exchange, Norway; “NSEEY” ticker U.S. OTC) announces continued progress and capital efficiencies in its 2010/2011 Herkimer Drilling Program and announces an update to the Utica Test Program.

The Company reports successful completion of the first well in its Herkimer Drilling Program, with the third well in the program nearing completion.  The second well encountered drilling difficulties immediately above the Herkimer target.  Options for completing this well are being evaluated.  The vertical portion of a fourth well has been completed and a fifth well is scheduled to spud before the New Year.  Drilling to date has been accomplished using one Speedstar 185 drilling rig assisted by the previously announced addition of a vertical drilling package.  The two rig, fit for purpose approach, is demonstrating, as expected, drill time and cost reduction.  In addition, Norse has already built location for the fifth well, with five more locations scheduled for immediate construction.  Production results will be released shortly after the end of the quarter.

To further enhance the pace of Herkimer development, the Company has acquired an option to obtain the services of a second Speedstar 185 drilling rig.  This rig is expected to begin operations in the spring of 2011.

Norse Energy has also completed construction of one Utica drilling location.   The Company expects to initiate drilling of a four-phase test of the Utica formation as soon as the New York Department of Environmental Conservation (the “DEC”) issues the Supplemental Generic Environmental Impact Statement (“SGEIS”); expected to be this summer.

“Our Herkimer Drilling Program is making good progress as we seek to take advantage of capital efficiencies,” says Mark Dice, Norse Energy CEO. “We anticipate accelerating the pace of development in 2011, once we emerge from today’s challenging winter conditions,” commented Dice.

John Childers, Executive Vice President of Exploration and Production, adds “We have been extremely pleased with the timeline for issuance of drilling permits by the DEC, the pace of construction of our locations, and the increasing efficiency our drilling operations as we ramped up the pace of drilling.”

Norse Energy has total contingent resources of ~4 TCF (~713 MMBOE) at the end of 2009. The Company has a significant land position of 180,000 net acres in New York State. The Company also owns a natural gas marketing business and operates pipeline systems in New York and Pennsylvania for gathering and transmission of natural gas.

For further information, please contact:
Richard Boughrum, Chief Financial Officer
Cell: +1 714 520-1702, Email: rboughrum@norseenergy.com

S. Dennis Holbrook, Executive Vice President

Cell: +1 716 713-2489, Email: dholbrook@norseenergy.com

States Pursue Radon Limits in Drinking Water as EPA Action Lags

States Pursue Radon Limits in Drinking Water as EPA Action Lags.

By GAYATHRI VAIDYANATHAN of Greenwire

Published: December 7, 2010

States are taking the lead with studying levels of radon in drinking water and air even as federal regulators lag, as a coincidence of geology and population density leaves some more at risk than others of suffering from the naturally occurring radioactive toxin.

4/2/10 Letter to DEC Commissioner Grannis Regarding Additional Natural Gas Hazards | Toxics Targeting

4/2/10 Letter to DEC Commissioner Grannis Regarding Additional Natural Gas Hazards | Toxics Targeting.

Baseline Water Well Testing Completed for Mora County: Las Vegas Basin Property Owners

Drilling Mora County: Baseline Water Well Testing Completed for Mora County: Las Vegas Basin Property Owners.