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In Fracking Hotbed, a Muted Approach to Regulation

Ohio annually processes thousands of tons of radioactive waste from hydraulic-fracturing, sending it through treatment facilities, injecting it into its old and unused gas wells and dumping it in landfills. Historically, the handling and disposal of that waste was barely regulated, with few requirements for how its potential contamination would be gauged, or how and where it could be transported and stored. With the business of fracking waste only growing, legislators in 2013 had the chance to decide how best to monitor the state’s vast amounts of toxic material, much of it being trucked into Ohio from neighboring states. But despite calls to require that the waste be rigorously tested for contamination, Gov. John Kasich and the state legislature signed off on measures that require just a fraction of the waste to be subjected to such oversight. The great majority of the byproducts creating during the drilling process – […]

Posted On : Published By : Tom Whipple
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North Carolina Senate Outlaws Disclosure Of Fracking Fluid Secrets

The North Carolina Senate on Thursday voted to make it a crime to disclose the chemicals used in hydraulic fracturing, or fracking, even as big U.S. oil companies elsewhere consider releasing more information about the fluids to address public concerns about the environment. The legislation, proposed by three Republican state senators and passed by a vote of 35-12, aims to protect trade secrets about fluids used to extract oil or gas from wells using fracking, which blasts sand, water and chemicals deep beneath the earth’s surface. Environmentalists concerned about groundwater contamination and health risks want more information made public. Under the "Energy Modernization Act," a state geologist would be the custodian of confidential information about fracking fluids. The information can be given to healthcare providers, the public safety department or the fire chief in case of an emergency. The bill, which now goes to the […]

Posted On : Published By : Tom Whipple
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Sanchez to buy Eagle Ford acreage from Shell for $639 million

Sanchez Energy Corp. , Houston, has agreed to acquire 100% working interest in 106,000 net acres in Dimmit, LaSalle, and Webb Counties, Tex., from Royal Dutch Shell PLC for $639 million, effective Jan. 1. The agreement is expected to close at the end of the second quarter. The sale includes 176 operated producing wells and associated field facilities and infrastructure. The assets consist of 60 million boe of proved reserves and 24,000 boe/d of average first-quarter production, with 60% liquids. Sanchez’s total position in the Eagle Ford will amount to 226,000 acres with as many as 3,000 potential drilling locations. The company’s average production rate for this year’s first quarter will rise to 42,800 boe/d, which includes an estimated Catarina production rate of 20,000 boe/d. Total proved reserves will increase 100% to 119 million boe. The acquired assets are expected to generate a substantial amount of near-term cash flow […]

Posted On : Published By : Tom Whipple
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British shale company Cuadrilla plans new campaign

British shale gas explorer Cuadrilla Resources announced its intention to submit a plan for exploration work to the county council in Lancashire. "This application could be a really important milestone for Lancashire and the U.K. as we seek to unlock Lancashire’s shale gas potential," Cuadrilla Chief Executive Officer Francis Egan said in a statement Sunday. The company said it would submit its planning application for a hydraulic fracturing campaign for four exploration wells to the Lancashire County Council before the end of May. In March, the company said it believes there are 200 trillion cubic feet of shale natural gas in the Bowland basin in Lancashire . Cuadrilla was the target of major demonstrations last summer when exploratory operations in the southern village of Balcombe were viewed as a prelude to fracking. In January, the company sent a letter to village residents, saying it was […]

Posted On : Published By : Tom Whipple
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Pa. Dems fight to prove they can milk fracking for all it’s worth

Lycoming County looks like a lot of the rest of Pennsylvania: Pothole-marked roads snake through mountains and farmland, leading to little one-street towns that often contain little more than a coffee shop, a bank, a gas station and a bar. But ever since companies like Anadarko, EXCO Resources, XTO Energy and Range Resources came to town, everyday life has had a little more buzz around here. Eighteen-wheelers zip by day and night, cafes and restaurants in small cities like Williamsport are busy, and the parking lots of the Holiday Inns, Marriotts and many independent motels are packed with pickups from out of state. This is fracking country, and to supporters of the practice, Lycoming represents all the good that can come from it — jobs, economic growth and energy independence. To fracking’s detractors, Lycoming represents everything wrong with Pennsylvania, namely the state’s apparent willingness to embrace […]

Posted On : Published By : Tom Whipple
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NY Policymakers Seek Ban on Fracking Waste

New York has a pending bill establishing a moratorium on the disposal of fluids used in hydraulic fracturing that occurs outside of the state, according to legislation introduced Tuesday by Democrats in the state Senate. The minority conference released four bills proposing to ban shipping hydraulic fracturing waste product into the state for treatment or disposal as well as ban the waste from being used to melt ice off roads and bar treatment facilities, and landfills from accepting the byproduct. New York, currently holding a moratorium on fracking permits until it completes an environmental impact review that launched in 2008, is reviewing whether fracking should be allowed between its borders. The state Department of Environmental Conservation (DEC) launched its review of large-scale fracturing about 6 years ago. “There is no end in sight for the ongoing 5-year review of fracking in New York,” commented Gov. Cuomo and Dr. Shah […]

Posted On : Published By : Tom Whipple
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FERC issues EA for Cove Point LNG export project

The US Federal Energy Regulatory Commission has issued its environmental assessment (EA) for the Cove Point LNG liquefaction and export project ( OGJ Online, Mar. 14, 2014 ). The project is proposed by Dominion Cove Point LNG LP (DCP). FERC concluded that “approval of the proposed project, with appropriate mitigating measures, would not constitute a major federal action significantly affecting the quality of the human environment.” It also reported that potential impacts would be reduced with the implementation of DCP’s proposed minimization and mitigation measures and the 82 additional measures recommended in the EA. The project would enable DCP to export 5.75 million tonnes/year of LNG via LNG marine carriers that would dock at the existing offshore pier, FERC said. FERC also has prepared a draft general conformity determination (GCD) to assess the potential air quality impacts associated with construction and operation of the proposed project; the GCD is […]

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Water concerns could limit US oil, gas development, speakers say

The oil and gas industry needs to respond more effectively to public concerns about safe water supplies if it expects to realize US unconventional resources’ full potential, speakers at Deloitte LLP’s 2014 Washington Energy Conference warned. Hydraulic fracturing and horizontal drilling successfully changed the US from a net natural gas importer to exporter, noted Karen A. Harbert, president of the US Chamber of Commerce’s Institute for 21st Century Energy, in her May 13 remarks. “But this is not a given,” she continued. “Emotions are running high. Opponents with scare stories want those resources to stay in the ground. Colorado is at ‘Ground Zero’ with a ballot initiative that would ban all fracing and place setbacks so far that production would be uneconomic.” Following his speech about water’s growing importance in any manufacturer’s plans, Gregory J. Koch, Coca Cola Co.’s global water stewardship director, said, “Your data and government permit […]

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North Dakota breaks state record for oil production

BISMARCK, N.D., May 14 (UPI) –Preliminary data from March show oil production in North Dakota has reached a new all-time high, the state’s Department of Natural Resources said. The North Dakota Industrial Commission, a division within state’s DNR, said March average oil production of 977,051 barrels per day was 2.6 percent higher than for February and an all-time high for the state. The commission said 94 percent of the production came from the Bakken and Three Forks area of the state. NDIC Director Lynn Helms said the number of wells completed from February to March was "up sharply," though the weather in the state was still having an impact on production. March, he said, began with a few days with temperatures below zero degrees Fahrenheit and there was at least a week when wind speeds were too high for work. At the end of the month, he added, 8 […]

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Texas mayor appeals for fracking data after earthquakes jolt town

The state agency responsible for regulating the oil and gas industry in Texas has requested that fracking companies report data related to wastewater disposal wells daily — instead of yearly — after hundreds of earthquakes hit an area with no history of seismic activity, said the mayor of a small Texas town on Tuesday. At least 300 small earthquakes have hit north Texas — home to the heavily-drilled Barnett Shale region — since January, according to United States Geological Survey (USGS) data. Critics say the state has acted too slowly in investigating the unusual seismic activity and its possible links to fracking activities. “The Texas Railroad Commission has sent a letter requesting that companies voluntarily give that information,” said Alan Brundrett, mayor of Azle, a small town of about 11,000 in north Texas that has experienced unusual earthquakes. “That’s the biggest issue, that the data is not available," Brundrett […]

Posted On : Published By : Tom Whipple