Cabot and DEP clash over Dimock water contamination
http://thetimes-tribune.com/news/cabot-and-dep-clash-over-dimock-water-contamination-1.1035426
Cabot and DEP clash over Dimock water contamination
by laura legere (staff writer)
Published: September 29, 2010
A clash between the state’s environmental regulators and gas driller Cabot Oil and Gas Corp. over the cause and solution for contaminated water wells in Dimock Twp. escalated on Tuesday, with the Cabot CEO accusing the Department of Environmental Protection of waging “a public war against us.”
The late- day salvo – in the form of a press release and 29-page letter from Cabot CEO Dan O. Dinges to DEP Secretary John Hanger – came hours after Mr. Hanger described as “very unfortunate and false” an advertisement by Cabot published Tuesday morning in area newspapers that criticized his department and its plan for replacing the contaminated private water supplies in Dimock.
Mr. Hanger could not be reached on Tuesday night to respond to Cabot’s letter.
In the advertisement published in The Times-Tribune and the Binghamton Press & Sun-Bulletin, Cabot challenged a state plan to compel the natural gas driller to replace the contaminated wells with an estimated 7-mile-long, $10.5 million public water line from Montrose, calling the proposal “unreasonable, unprecedented and … unfair.”
An official announcement of the water replacement plan will be made by Mr. Hanger on Thursday along Carter Road in Dimock, where the department found that Cabot contaminated 14 water wells with methane during its Marcellus Shale drilling operations.
Mr. Hanger said Tuesday he would not detail the plan, which he will explain on Thursday, but he said he was “disappointed” in Cabot’s statements in the ad.
“Cabot would do better spending its money on fixing the problems it caused than buying ads,” he said. “Frankly, the families in Dimock and the people of Pennsylvania deserve much better.”
Mr. Hanger found “particularly false” Cabot’s statement that the department has a “concerning” tendency “to communicate through the media instead of with the Company.”
The secretary said he and his senior team have had weekly calls with Mr. Dinges and other company leaders about the water replacement issue since April. When Mr. Dinges was on vacation and unreachable by satellite phone during a crucial period in the discussions, Mr. Hanger and his advisers communicated with a Cabot team “fully about all these matters” in his absence, Mr. Hanger said.
DEP suspended portions of Cabot’s extensive Marcellus Shale operations in Susquehanna County in April after it found that 14 of the company’s gas wells in Dimock were improperly constructed or overpressured and were causing methane to seep into water wells.
The company has paid more than $360,000 in fines and was ordered to fix the affected water supplies, but at least 11 of the 14 families refused Cabot’s proposed solution – methane elimination systems to be installed in each of the homes – saying the systems are inadequate to address the problems.
DEP is also conducting comprehensive testing of the well water in 34 homes in the Dimock area for a wide range of contaminants, including benzene, toluene, ethylbenzene, xylene and glycol, after a private testing firm hired by residents detected many of those chemicals in their water, including some at levels above federal drinking water standards.
In its ad on Tuesday, Cabot said it does not believe it caused the contamination and “intends to fight these allegations through its scientific findings.”
It also criticized the logic of DEP’s water replacement plan.
“No private business model would support such an investment (in excess of $10 million) for so few users,” Mr. Dinges wrote in the ad. He said the water line is being planned without any study of the economic viability of the project, its physical impact on the route and how long it will take to install.
In the press release and letter distributed late in the day, Mr. Dinges went further with his criticisms, calling the department’s behavior toward Cabot “arbitrary and unreasonable” and saying that the department has ignored evidence “proving (Cabot) is not responsible for methane gas migration into local water wells … preferring instead to base unprecedented and costly mandates on biased and unscientific opinions and accounts.”
In support of its position, the company said it drilled a new water well for a resident who lives in the 9-square-mile area identified by the department as affected by the methane contamination and did not detect any gas in that water, Cabot spokesman George Stark said.
In its press release, the company also cites local emergency response officials who said they found no evidence that an explosion blasted a concrete slab off a resident’s water well on Jan. 1, 2009 – the incident that first spurred the department’s investigation into methane migration.
Asked what else might have broken and tossed aside the slab, Mr. Stark said, “We don’t have a theory as to how or why. What we do have is, when you have an explosion, there are certain tell-tale signs. And we didn’t see any of those.”
The attorney for Dimock families who have sued Cabot for damaging their water, property and health could not be reached Tuesday evening after Cabot released its letter.
In a statement released earlier in the day, attorney Leslie Lewis said she applauded the “courage and decisiveness” shown by the governor and Mr. Hanger on the water replacement issue and called the state’s plan to provide centrally sourced water to the residents “a considered and necessary one.”
She also criticized Cabot’s advertisement Tuesday, calling it “just another example of Cabot’s cynical attempts to divide the community, pitting neighbor against neighbor on the gas development issue.”
“The issue is whether Cabot has contaminated residents’ well water by their operations,” she said. “The unequivocal finding of the DEP and PA government is ‘yes’.”
Contact the writer: llegere@timesshamrock.com