Marcellus panel turning focus to local impacts

http://citizensvoice.com/news/drilling/marcellus-panel-turning-focus-to-local-impacts-1.1149959#axzz1MzQ9BcoU

By Robert Swift (Harrisburg Bureau Chief)
Published: May 21, 2011

HARRISBURG – At the halfway point of its work, a state commission looking at development of the Marcellus Shale gas reserves will shift more of its focus to the impact of drilling operations on local communities, Lt. Gov. Jim Cawley said Friday.

Cawley, the chairman of the Marcellus Shale Advisory Commission, said the members will hear presentations from local government officials at its next meeting on June 17.

The introduction of a local impact fee bill this week by Senate Republican leader Joseph Scarnati, R-Jefferson County, is focusing attention on where that issue stands on the commission’s agenda.

Gov. Tom Corbett has said he wants to hear what the commission has to say about impact fees before taking a position. Cawley said the commission intends to stick to its six-month timetable of making comprehensive recommendations concerning Marcellus issues to Corbett by July 22.

“We are looking at impact fees as a possible recommendation to the governor,” Cawley said. “If this commission determines there are unmet impacts that need resources, we will recommend that.”

Cawley reiterated that the commission won’t be recommending a state severance tax on natural gas production since Corbett strongly opposes one. Scarnati’s impact fee bill would levy a base $10 fee annually on each Marcellus well. The base fee would be adjusted for increases in the volume of natural gas produced and price of gas on the market.

Under Scarnati’s bill, up to 60 percent of the fee revenue would go to municipalities and counties with producing wells. The remaining 40 percent would go to environmental and infrastructure projects overseen by the Commonwealth Financing Authority and to county conservation districts.

rswift@timesshamrock.com

Gas Drilling Turning Quiet Tourist Destination into Industrial Town

http://www.reuters.com/article/2011/05/19/idUS338229803420110519
By Elizabeth McGowan at SolveClimate
Thu May 19, 2011 9:00am EDT

‘While we’re drilling wells there are going to be a whole lot of trucks going past your house. And you’re not going to like that,’ says an industry insider

Editor’s Note: SolveClimate News reporter Elizabeth McGowan traveled to Northeastern Pennsylvania in late March to find out how the gas drilling boom is affecting the landscape and the people who call it home. This is the sixth in a multi-part series.

MONTROSE, Pa.—Lynn Senick’s cozy clapboard house is just steps away from state Highway 29, which basically serves as Montrose’s Main Street.

Founded as a center for abolitionists in 1824 — its lore claims it harbored escaping slaves on the Underground Railroad — the county seat has a New England-quaint feel with a prominent town green bookended by a handsome county courthouse and a welcoming library.

Even though Montrose is nowhere near the beaten track, diligent and dedicated organizers put the town on the local map by drawing flocks of visitors to popular annual events such as the Fourth of July parade and festivals celebrating the apple and blueberry harvests, as well as the production of wine and chocolate.

Senick, who educates the public about hydraulic fracturing via an online forum she launched three years ago, is also affiliated with a local group called the Montrose Restoration Committee.

Committee volunteers have played off the success of Montrose’s signature happenings by focusing on attracting and retaining an organic restaurant, book shop, health food store and farmers market. Several years prior, members of the organization had noticed their county’s natural resources, hard by the New York State border, were attracting a different type of resident.

Vibrant young people intent on making their living off the land had started to migrate to this area with the nickname “Endless Mountains” that reflects its continuous up and down geography.

North-South Interstate 81, which roughly bisects the county, is the sole major highway, and the recent arrivals recognized their land and freshwater needs could be easily met in a county with a mere 43,000 people rattling around in 800 square miles. The largest population centers are Wilkes-Barre and Scranton, to the south, and Binghamton, N.Y., to the north.

Recognizing this influx, Susan Griffis McNamara started stocking organic seeds and other affiliated paraphernalia for these small-scale growers at the hardware store side of her business that has been in the family for four generations. Other merchants followed suit.

Now, however, Senick, McNamara and other committee members fear narrow rural roadways clogged with the never-ending grind of drilling-related trucks, and landscapes marred with gas wells, will be a turnoff to tourists and artisan farmers.

“I don’t think this is going to be the quiet little tourist destination we thought it could be,” says Senick, who works at the local food bank. “This is going to become an industrial town.”

While she knows that some property owners will no doubt make money from their oil leases, she wonders how the have-nots she encounters daily will hang on as landlords realize they can raise their rent prices and offer accommodations to well-paid, out-of-town specialists employed by the gas exploration and drilling companies.

“Not everybody always got along here, but this was a stable community,” Senick says. “But this has fractured our community. It has really tossed everybody’s future into the air.”

“They are going to drill to kingdom come and this is breaking my heart. I didn’t move here to be embroiled in this. And now, not a day goes by that I don’t want to get in my car and get out of here.”

Drill, Baby, Drill at What Cost?

With the Marcellus Shale well count growing to at least 2,500 statewide during the last six years — and thousands more on the way — it’s little wonder that those leery of drilling feel they have been booted from their traditional Pennsylvania and plopped down in unfamiliar territory more akin to a mouthful such as PennTexLouisAhoma.

Knowing that natural gas now satisfies about one-fourth of the country’s energy needs and that the powers that be are clamoring for more in the interest of national security has drilling opponents on edge.

Natural gas is touted as a “clean” fossil fuel because burning it releases about half the greenhouse gas emissions of coal. Hydraulic fracturing critics such as Cornell University scientist Robert Howarth have tried to poke holes in that widely accepted estimate with a study claiming that natural gas is filthier than coal because gas wells are leaking gigantic amounts of methane.

The gas industry and other researches have pretty much pooh-poohed Howarth’s results and methodologies, and environmental organizations have raised their own sets of queries.

However, other environmental concerns with hydraulic fracturing have green groups focused on Pennsylvania speaking in unison.

They are worried that rules are too lax at the state level and that regulatory offices can’t keep up with inspections because they are understaffed during these times of severe budget austerity. And it makes them nervous that gas companies are exempt from vital pieces of the Safe Water Drinking Act, the Clean Air Act, the Clean Water Act and other authoritative federal laws.

Endless Questions

Their litany of questions sounds something like this: Are enormous water withdrawals threatening rivers, streams and other waterways? How is it that hydraulic fracturing can proceed when the Environmental Protection Agency has barely begun its study about the impact on groundwater? Why  have companies been so slow to reveal the chemicals they use as lubricants to draw the gas to the surface? Can treatment plants be upgraded to handle radioactive and other dangerous waste liquids?

And the list doesn’t end there.

They want to know how companies can guarantee that drilling casings are failsafe enough that migrating gas doesn’t contaminate drinking water. Are drilling companies thinking about how roads fragment forests and contribute to noise and traffic problems? What impacts are wells, pipelines and the accompanying compressors having on air quality? Why hasn’t the Pennsylvania Legislature required gas companies to pay a severance tax that could cover environmental and social impacts of drilling?

Recent studies such as the one by four Duke University scientists linking shale drilling and hydraulic fracturing to well water contamination with methane offer temporary solace. But conservationists wonder what difference it will make to their long-term plight.

“We all need to keep pressure on regulators and legislators need to give resources to regulators so they can issue permits and develop and enforce those rules,” says Mark Brownstein, the deputy director of the Environmental Defense Fund’s energy program. “Government can’t be everywhere at once.”

At the same time, he adds, drilling companies need to fully grasp their obligations to the public. Worker training and environmental management systems are not negotiable.

“For the most part,” he notes, “the gas industry is slow to pick up on the fact that they have an important role to play and that people expect them to play it. They’ve allowed these issues to become very polarized.”

However, advocates from the Environmental Defense Fund and the Sierra Club think environmental issues can be addressed if drilling companies adopt best practices, invest in technology and embrace rigorous oversight.

They say Pennsylvania doesn’t have to continue to be the media poster child for what states shouldn’t do on the hydraulic fracturing front.

“I think Pennsylvania really has the opportunity to get it right and to effectively regulate, to effectively monitor,” says Deborah Nardone, a Keystone State-based senior campaign representative with the Sierra Club. “If the industry really wants to prove that is it has the ability to do it right, then let’s let them do it right. But they need to show us that they can do it right.”

Frack This and Frack That

Industry officials might constantly emphasize their companies’ commitments to safety but they also tend to discount challenges from drilling opponents.

“To them, hydraulic fracturing always becomes fracking,” says Chris Tucker, a spokesman for the gas industry advocacy organization Energy In Depth. Fracking is vilified as the source of all ills and they spew the word with such disdain, he adds, “that it sounds like a dirty word.”

Tucker becomes a bit defensive and falls back on a line Susquehanna County residents have heard repeatedly when they ask pointed questions about drilling. It’s the one about Pennsylvania already being dotted with tens of thousands — the number hovers around 55,000 — of vertically drilled shallow natural gas wells.

When gas companies made their pitch to landowners around Montrose, they soft-pedaled the same argument Tucker deploys now: that hydraulic fracturing is a mature technology that’s really just more of the same because, after all, the industry has done horizontal drilling in Pennsylvania since the 1980s and has been fracturing since the late 1940s.

Only when pressed does he definitely state that the combination of these two practices in Pennsylvania’s portion of the Marcellus Shale that has occurred for the last six years is indeed new and different.

“We’re not saying there’s never been an accident at an oil and gas site,” he continues. “Yes, there have been incidents but they have all been addressed very quickly. At the same time though, when U.S. Steel has an accident, we don’t say we should stop making steel in this country. The key is managing risks.”

A Rare Blunt Insight

Such extreme uneasiness with risk that has unfolded in places such as Montrose is a familiar tune to Terry Bossert, the vice president of government affairs for Chief Oil and Gas. His Dallas-based company has several offices in Pennsylvania.

Unlike most industry insiders, he blames both gas companies and anti-drilling advocates for what he classifies as a lack of candor and balance in their respective arguments. When asked to comment further on his hypothesis at an April seminar on hydraulic fracturing at the Environmental Law Institute, he offers up a refreshingly blunt assessment.

“The industry makes [people] believe we’ll show up some day,” he tells attendees at the Washington gathering. “By using ‘the force’ we’ll get the gas out of the ground. You’ll never know we’re here. Everyone will have jobs and everything will be hunky-dory.”

“Well, no, actually what we’re going to do is we’re going to move in with mobile industrial plants,” he continues. “And we’re going to move them around all throughout your neighborhood. And if you lived on a road that the only truck that ever went by was the guy delivering fuel oil to your neighbor, well, that ain’t going to be the way it is anymore. For a while, while we’re drilling wells there are going to be a whole lot of trucks going past your house. And you’re not going to like that.”

He proceeds to tell a personal story about how annoyed he was years ago when his family lost the peacefulness of cul de sac living after the farmer who owned a chunk of adjacent land sold the property to a housing developer.

Bossert says he is always sympathetic to homeowners affected by hydraulic fracturing who tell him: “I live in a rural area. I like a rural area. And now, you’ve shown up and you’ve put up a 150-foot drill rig and there’s lights on it all night. And there’s trucks driving up and down the road, And you’re a pain in the neck.”

Though he can’t argue with those common complaints, he says they always take him back to the one essential question: Is harvesting the gas from the Marcellus Shale economically and environmentally sensible?

Two new publications address Marcellus Shale-related water issues

http://live.psu.edu/story/53394#nw69

University Park, Pa. — Two new publications from Penn State Extension will help Pennsylvania citizens to become familiar with Marcellus Shale-related water issues, with an eye toward participating in public policy decisions.

“Marcellus Shale Gas Well Drilling: Regulations to Protect Water Supplies in Pennsylvania” introduces the various water-related policies affecting Marcellus Shale natural-gas drilling.

“Marcellus Shale Wastewater Issues in Pennsylvania — Current and Emerging Treatment and Disposal Technologies” discusses the state of the art in treatment and disposal of wastewater from Marcellus Shale natural gas drilling.

“Individuals, businesses and communities may be affected by the operations of this rapidly growing industry in the commonwealth,” said the publications’ lead author, Charles Abdalla, professor of agricultural and environmental economics. “Public policies for environmental protection will be improved if the affected parties — which include almost everyone — are well-informed about likely impacts and take advantage of opportunities to participate in decisions.”

Policy makers at the federal, multistate, state and local levels have made regulatory decisions affecting shale gas exploration, with implications for water resources. In most cases, these regulations originated with legislation, such as Pennsylvania’s Oil and Gas Act. However, government agency rule-making and court decisions also influence how gas drilling affects water resources and the environment.

“Marcellus Shale Gas Well Drilling: Regulations to Protect Water Supplies in Pennsylvania,” discusses the roles of the various levels of government, relevant sections of the Pennsylvania Oil and Gas Act, permit requirements, protection of drinking water quality and groundwater, methods for disposing of drilling fluids, and the role of river basin commissions, among other issues.

The limited options available for treatment and disposal of wastewater from this burgeoning industry have slowed the industry’s expansion. But in the past year or so, important state regulatory changes have been finalized, clearing the way for innovation to meet the challenges of treating Marcellus wastewater, which is very high in total dissolved solids.

“Marcellus Shale Wastewater Issues in Pennsylvania — Current and Emerging Treatment and Disposal Technologies” covers the volume of wastewater generated by the industry in Pennsylvania, the types and chemistries of Marcellus wastewater, additives used in hydrofracturing, the state’s new total dissolved solids standards, and the various options for wastewater treatment and disposal.

Abdalla said the publications are aimed at engaging residents, landowners, environmental organizations, economic development groups and others.

“Now is the time for people to learn about and help shape public policies that will guide development of the Marcellus Shale,” Abdalla said. “These policies will play a large part in determining the economic well-being and quality of life for residents of the commonwealth for a long time — perhaps generations — to come.”

The publications are based upon work supported by the Pennsylvania Water Resources Research Center. Any opinions, findings, conclusions or recommendations expressed in the publications are those of the authors and do not necessarily reflect the view of the center.

These and other publications on water-related aspects of Marcellus Shale gas exploration are available at http://extension.psu.edu/water/marcellus-shale online.

Pa. DEP issues $1M in fines to major gas driller

http://www.businessweek.com/ap/financialnews/D9N9D7T01.htm
By MARC LEVY
HARRISBURG, Pa.

One of the most active companies in Pennsylvania’s natural gas drilling boom was fined more than $1 million on Tuesday, including a penalty that state officials called the single largest fine for an oil or gas operator in the state.

The state Department of Environmental Protection said the action stems from Chesapeake Energy Corp.’s contamination of private water supplies with methane in northern Pennsylvania’s Bradford County and a February tank fire at a drilling site in southwestern Pennsylvania’s Washington County.

“It is important to me and to this administration that natural gas drillers are stewards of the environment, take very seriously their responsibilities to comply with our regulations, and that their actions do not risk public health and safety or the environment,” DEP Secretary Michael Krancer said in a statement.

Oklahoma City-based Chesapeake said it had voluntarily entered into two separate agreements with the DEP and improved its well construction practices, although it did not assume blame for methane gas migrating into wells.

“Even though the results of our joint review remain inconclusive at this time, we believe proceeding with an agreement and taking prompt steps to enhance our casing and cementing practices and procedures was the right thing to do,” Chesapeake official Brian Grove said in a statement.

Chesapeake will pay $900,000 in the gas migration case and $188,000 for the tank fire.

The fines come as the U.S. Environmental Protection Agency is looking closely at how Pennsylvania is regulating the rush to explore the lucrative Marcellus Shale formation, considered the nation’s largest  natural gas reservoir, and putting pressure on state regulators to toughen enforcement. For instance, the EPA has asked for a full accounting of operations at the site of a Chesapeake well blowout in April.

Any potential violations from that well blowout, also in Bradford County, are not included in the fines announced Tuesday. The accident spilled thousands of gallons of chemical-laced water and prompted officials to ask seven families to temporarily evacuate.

The Chesapeake action might be the largest fine, but it is not the biggest Marcellus Shale-related payout: In December, the agency announced a settlement with Houston-based Cabot Oil & Gas Corp. to pay $4.1 million to residents in the northern Pennsylvania town of Dimock where private water wells were also contaminated with methane gas. Cabot agreed to pay the state $500,000 in the case.

The Marcellus Shale formation lies primarily beneath Pennsylvania, New York, West Virginia and Ohio. Pennsylvania, however, is the center of activity, with more than 3,000 wells drilled in the past three years and many thousands more planned in the coming years as thick shale emerges as an affordable, plentiful and profitable source of natural gas.

Drillers’ use of chemicals and high-volume hydraulic fracturing, which produces millions of barrels of often-toxic briny wastewater annually, has raised fears of river and groundwater pollution.

Chesapeake is perhaps the most active company in the Marcellus Shale, with more than 360 wells drilled. It has received more than 1,200 well-drilling permits — the most of any operator — or about one in six issued on the Marcellus Shale in the last three years, according to state records. In 2010, it was also one of Pennsylvania’s most-penalized Marcellus Shale drillers, with 134 violations and 25 enforcements, state records say.

In the Bradford County problems that contributed to the million-dollar fines, the department said that improper well casing and cementing allowed natural gas to seep into groundwater and contaminate 16 families’ drinking water wells. The department began investigating the complaints last year. In November, it won approval of stronger well-casing and cementing rules that a top DEP official has said would have prevented the gas migration.

The agreement requires Chesapeake to create a corrective action plan for the contaminated wells and clean up the contaminated water supplies.

In Avella in southwestern Pennsylvania, three condensate separator tanks caught fire on Feb. 23, injuring three subcontractors working at the site, the DEP said. The agency blamed improper handling  and management of condensate, a wet gas, and is requiring Chesapeake to submit condensate-management plans.

Chesapeake also is facing lawsuits over the tank fire and gas migration.

Peter Cambs, a lawyer who represents several plaintiffs in Bradford County who have sued Chesapeake over methane contamination, said the fine is the latest indication that gas drilling can be hazardous.

“I think it clearly shows there are problems and I don’t think the DEP would just willy-nilly assess a fine of that magnitude based on a whim or speculation,” Cambs said. “They wouldn’t have done so without careful investigation or analysis. I think you’re going to see more and more of these findings.”

Natural gas drilling moving closer to Delaware River basin

http://www.philly.com/philly/news/pennsylvania/121972574.html?viewAll=y
Posted on Tue, May. 17, 2011
By Sandy Bauers
Inquirer Staff Writer

Although the Delaware River has a moratorium on natural gas drilling until rules are in place, companies are already lining up.

The commission overseeing the river has granted one request for withdrawal of water for natural gas activities, and two more are being evaluated. Yet a fourth was up for a vote last week before it was tabled because of the large flurry of public comments.

Even though the approvals aren’t sufficient to allow companies to start drilling now, critics say that any consideration by the Delaware River Basin Commission is premature.

The commissioners say that they anticipate so much work, they simply need to start.

Either way, it signals that natural gas exploration – a common sight in central and Western Pennsylvania – is moving ever closer to the Delaware basin and its river, which provides drinking water for 15 million people, including Philadelphia and many of its suburbs.

“It looks more and more inevitable that there is going to be drilling in the basin,” said John Quigley, former secretary of Pennsylvania’s Department of Conservation and Natural Resources, now an environmental consultant. “The question is under what rules?”
Read more

Marcellus waste recycled mostly in-house

http://www.pittsburghlive.com/x/pittsburghtrib/news/pittsburgh/s_737062.html
By Andrew Conte
PITTSBURGH TRIBUNE-REVIEW
Saturday, May 14, 2011

The largest explorers of Marcellus shale gas said on Friday in response to federal regulators that they have started recycling most of their wastewater and no longer send it to treatment plants.

The U.S. Environmental Protection Agency this week asked the six largest Marcellus exploration companies to explain how and where they dispose of the chemical-laced, salty water that flows back to the surface from drilling operations. The companies have until May 25 to respond.

“We will certainly provide the information,” said Jim Gipson, spokesman for Chesapeake Energy Corp. “However, we are currently recycling and reusing the vast majority of our produced water in Pennsylvania and have been for quite some time. We do not utilize wastewater treatment facilities.”

Water that cannot be reused, he said, gets sent out of state to underground injection wells.

Pennsylvania has three such active wells: two in Clearfield County and one in Erie County, according to state regulators.

Besides Chesapeake, EPA requested the disposal information from Atlas Resources; Talisman Energy USA; Range Resources — Appalachia; Cabot Oil and Gas Corp.; and Shell. Together, those companies do more than half of the Marcellus shale gas drilling in Pennsylvania.

A spokesman for Talisman said the company recycles 100 percent of its wastewater. Range Resources recycles about 90 percent of its flowback and has the rest either fully treated at facilities that clean it to distilled water standards or pumped into disposal wells, a spokesman said.

Shell said in a statement that its “waste management techniques aim to reduce volume and minimize environmental impacts through maximized reuse of residual water.”

Officials at the two other companies did not respond to the Trib’s request for information.

“We want to make sure that the drillers are handling their wastewater in an environmentally responsible manner,” said Shawn M. Garvin, EPA’s mid-Atlantic regional administrator.

Federal officials took aim at the Pennsylvania Department of Environmental Protection, which has primary responsibility for regulating drilling impacts. The state agency imposed a Thursday deadline for drillers to voluntarily stop sending flowback to wastewater treatment plants that are not designed to remove the chemicals and salts.

The EPA wants the state to provide closer oversight of how Marcellus shale wastewater might be affecting drinking water. The agency wants notice from Pennsylvania whenever a treatment plant accepts flowback water, and it called on the state to apply drinking water standards near discharges and to “consider more ‘representative’ ” sampling of drinking water facilities downstream from facilities that treat flowback.

“As the frontline regulatory agency of the natural-gas industry in Pennsylvania, we work with EPA and will continue to do so,” said Katy Gresh, DEP spokeswoman.

The shale industry is “aggressively and tightly regulated” by state officials, the Marcellus Shale Coalition, a trade group that includes the six drillers, said in a statement. “EPA overstepping its regulatory authority and duplicating efforts underway at the state level” does not make common sense, it said.

“The state is aggressively taking action to protect our environment,” said Matt Pitzarella, a Range Resources spokesman.

“The DEP for us in Pennsylvania has much greater capability to provide the level of oversight to protect the public and ensure the industry is following the law,” said Dave Spigelmeyer, vice president of government relations for Chesapeake.

EPA directs six drillers to disclose waste plans

http://citizensvoice.com/news/drilling/epa-directs-six-drillers-to-disclose-waste-plans-1.1146014#axzz1M8vMLijF

By Laura Legere (Staff Writer)
Published: May 13, 2011

Federal environmental regulators have directed six of the most active natural gas drillers in Pennsylvania to disclose how and where they plan to treat or dispose of their wastewater once they comply with a state request to stop taking it to sewer plants next week.

In April, state environmental regulators gave Marcellus Shale drillers until May 19 to voluntarily stop bringing the salty, chemical-laden waste fluids to 15 treatment plants that cannot remove all of the contaminants before discharging it into state waterways.

On Thursday, Environmental Protection Agency mid-Atlantic Regional Administrator Shawn M. Garvin told the drillers – Atlas Resources, Talisman Energy USA, Range Resources, Cabot Oil and Gas, Shell and Chesapeake Energy – to submit detailed information on both current and anticipated wastewater handling practices by May 25 and again each quarter until June 30, 2012.

Some of those operators had already stopped taking some or all of the fluids to plants that discharge into state waterways by the end of 2010 as they increasingly recycled or reused the waste, according to state records. Other operators continued to rely heavily on surface discharges.

The EPA directive was the latest in a series of efforts by federal environmental regulators to exercise greater authority over gas drillers whose operations are traditionally regulated by the states. The action comes among growing public concern over the thoroughness of state oversight and the potential environmental and public health impacts of Marcellus Shale drilling in the commonwealth.

In a statement, Garvin emphasized that state and federal environmental agencies are working together to regulate the industry, even as he sent Department of Environmental Protection Secretary Michael Krancer a letter encouraging the state to increase its monitoring of the potential impacts of the toxic wastewater.

“We want to make sure that the drillers are handling their wastewater in an environmentally responsible manner,” Garvin said.

Garvin urged Krancer to require drillers to submit modified fluid disposal plans after the May 19 deadline to ensure their new wastewater practices are legally enforceable.

He also asked the DEP to alert federal regulators when wastewater facilities begin taking the fluids so EPA can reassess their permits; to apply drinking water standards at wastewater discharge sites rather than downstream at public water supply intakes; to conduct additional in-stream monitoring; and to consider developing or strengthening water quality standards for common constituents of Marcellus Shale wastewater, including chlorides, bromides and radionuclides.

A state coalition of gas drillers expressed frustration over the directive and emphasized that the industry is “aggressively and tightly regulated” by the commonwealth.

“EPA overstepping its regulatory authority and duplicating efforts underway at the state level … does not represent common sense policy,” Marcellus Shale Coalition President Kathryn Klaber said.

legere@timesshamrock.com

EPA Seeks More Information from Gas Drilling to Ensure Safety of Wastewater Disposal

PHILADELPHIA (May 12, 2011) The U.S. Environmental Protection Agency today directed six natural gas drillers to disclose how and where the companies dispose of or recycle drilling process water in the region.  EPA continues to work with the Pennsylvania Department of Environmental Protection (PADEP) to ensure that natural gas production takes place safely and responsibly. These actions are among the ongoing steps EPA is taking to ensure drilling operations are protective of public health and the environment. Natural gas is a key part of our nation’s energy future and EPA will continue to work with federal, state and local partners to ensure that public health and the environment are protected.

“We want to make sure that the drillers are handling their wastewater in an environmentally responsible manner,” said EPA mid-Atlantic Regional Administrator Shawn M. Garvin. “EPA is continuing to work with PADEP officials who are on the frontlines of permitting and regulating natural gas drilling activities in Pennsylvania.”

EPA’s action follows a request by PADEP asking drillers to voluntarily stop taking wastewater to Pennsylvania wastewater treatment plants by May 19.  EPA wants to know where drillers are now going to dispose of their wastewater and will work with PADEP to ensure EPA has access to this information. The companies must report back to EPA by May 25 with information on the disposal or recycling of their drilling process water.

The companies receiving the information requests are: Atlas Resources L.L.C; Talisman Energy USA; Range Resources – Appalachia, L.L.C.; Cabot Gas and Oil Corporation; SWEPI, LP; and, Chesapeake Energy Corporation. These six companies account for more than 50 percent of the natural gas drilling in Pennsylvania.

EPA has also requested that PADEP:

·    Notify EPA when facilities are accepting hydraulic fracturing wastewater so EPA can assess if a pretreatment program or additional permit limits are needed;

·    Apply water quality standards for the protection of drinking water at the point of wastewater discharge, rather than at the point of first downstream drinking water intake;

·    Consider more “representative” sampling where drinking water facilities are downstream of treatment plants accepting Marcellus Shale gas wastewater; and

·    Be aware that EPA has sent a letter to PADEP’s southwest regional office clarifying that Federal Underground Injection Control permits are required for any placement of hydraulic fracturing wastes in injection wells or bore holes.

EPA requested these actions in a letter to PADEP Secretary Michael Krancer dated May11. The letter also asked the state agency take action to ensure that any new practices for disposing of drilling wastewater are legally enforceable.

In another action related to the energy extraction industry, EPA has issued a proposed order to the Tunnelton Liquids Company  to stop the underground injection of waste treatment into an abandoned mine in Saltsburg, Indiana County, Pa.  EPA issued the order under the Safe Drinking Water Act, which requires company to cease its unauthorized discharge waste, including wastewater related to oil and gas production.

David Sternberg, (215) 814-5548 Sternberg.david@epa.gov

For more information visit  http://www.epa.gov/region03/marcellus_shale/

DEP to review study linking shale drilling to methane contamination

http://citizensvoice.com/news/drilling/dep-to-review-study-linking-shale-drilling-to-methane-contamination-1.1144998#axzz1LwpBiOFT

By Laura Legere (Staff Writer)
Published: May 11, 2011

State environmental regulators are reviewing a study released Monday by Duke University researchers that found “systematic evidence” of a link between shale gas extraction and methane contamination of drinking water in Northeast Pennsylvania.

Department of Environmental Protection spokeswoman Katherine Gresh said in a statement that agency scientists are evaluating the study and “would like to see all of the authors’ backup data to review their methodology.”

The study found methane concentrations an average of 17 times higher in drinking water wells within a kilometer of active gas drilling than in water supplies farther away from the shale gas activity.

The study’s authors also published a white paper advocating regulatory changes, including tripling the radius from a proposed well site where natural gas drillers must perform pre-drill testing of water  supplies.

Gresh said the Duke researchers’ recommendations cover the kinds of subjects Gov. Tom Corbett’s Marcellus Shale Commission is evaluating. The commission is expected to present policy recommendations to the governor by mid-summer.

One of the study’s authors, Robert B. Jackson, said the data raise concerns about methane contamination that apply to shale drilling regions outside the study area in Northeastern Pennsylvania and Otsego County, N.Y.

The researchers found elevated methane in places residents suspected it, including in Dimock Township, where state regulators have documented nearly two dozen affected water supplies. But they also found elevated levels in unexpected places.

“We found other locations where, to my knowledge, the homeowners had no idea they had high methane concentrations,” Jackson said. “In fact our highest values weren’t in Dimock and they weren’t even in Susquehanna County. It is a hint that the problem is broader than people had thought.”

Former DEP Secretary John Hanger said it is clear that the geology in Susquehanna, Bradford and Tioga counties poses greater obstacles to drilling “safely and successfully” than the geology in other regions of the state.

State regulations enacted in February strengthened standards for casing and cementing gas wells to try to prevent cases of methane migrating up faulty well bores – the path the researchers said is the most likely cause for the elevated levels of methane they found in drinking water supplies in Susquehanna and Bradford counties. The rules also give the department “authority to require extra precautions where the geology is tricky,” which regulators used in Susquehanna County when he was secretary, he said.

“I would encourage the department to continue doing so,” Hanger said.

The commonwealth’s longtime stray gas inspector said he is “a little bit disappointed” with the study. Fred Baldassare, who now owns Echelon Applied Geoscience Consulting, said the authors fail to address the prevalence of naturally occurring thermogenic methane – gas that comes from deep underground, not from the breakdown of biological matter near the surface – in shallower geological layers between the surface and the Marcellus Shale.

“I’m not saying that gas well activity doesn’t cause gas migration, because of course it has,” said Baldassare, whose research is cited three times in the Duke paper. “We have documented cases of gas migration to private water supplies as a result of drilling activity.” But he added, “I think we have to take great care in trying to define what’s there naturally before we make judgements and conclusions about the origin of the gasses.”

In documented cases of stray gas caused by drilling in Susquehanna and Bradford counties, state regulators have found the gas migrating not from the Marcellus Shale but from shallower gas-bearing formations.

Baldassare said he is concerned the study might imply a migration straight from the Marcellus to aquifers, which he said he would “absolutely dispute.”

llegere@timesshamrock.com

May 19 webinar explores impacts of natural gas industry on landfills

http://live.psu.edu/story/53255#nw69
Thursday, May 5, 2011

The Marcellus natural gas boom has generated business for landfills, but it has also presented challenges.

University Park, Pa. – Landfills in the region affected by the Marcellus Shale natural-gas boom have seen sharply higher revenues and felt more than a few headaches, according to solid waste experts.

“The Marcellus play has been good for the landfill business,” said Jay Alexander, general manager of the Wayne Township Landfill and a member of the Clinton County Solid Waste Authority. “But there is no question that it has brought pros and cons.”

Alexander and Larry Shilling, regional vice president of Casella Waste Systems, will be featured speakers during a Web-based seminar on May 19, presented by Penn State Extension. Titled, “The Impacts of the Natural Gas Industry on Landfill Operations,” the webinar will start at 1 p.m.

Shilling noted that Casella, which operates 10 landfills — including three in New York located in the Marcellus play and the McKean County landfill in Pennsylvania — is trying to come to grips with the challenges associated with solid wastes generated by the Marcellus Shale gas industry.

“Our company has commissioned two studies regarding oil and gas waste as it relates to landfills,” he said. “The first was an evaluation of the radiological characteristics of Marcellus drill cuttings; the second was a modeling effort to predict radiological impacts to leachate from a landfill that accepts drill cuttings.”

Shilling added that his presentation in the webinar will focus on the results of those two studies. “Our important role in the development of the Marcellus Shale natural-gas resource is to ensure we understand and manage the associated waste in the most appropriate manner,” he said.

The gas industry has brought new waste streams into the market, such as plant trash, drill cuttings and liquid wastes, Alexander said. “That has provided us with additional income, allowing us to move up landfill expansion plans, including updating $5 million worth of new equipment. And we were able to fund it all out of cash flow.”

Alexander noted that his company also has been able to purchase surrounding properties that were targeted for long-term growth of its landfill. “That’s all spending that puts money into local pockets by creating additional jobs,” he said.

“We have seen an increased workload for local hauling contractors, with six to eight of them working daily with our landfill, hauling waste for the gas industry. And with the increase in materials, we have seen the income for our recycling operations rise.”

But, Alexander said, with the added business and profit come a few negatives, which he will address during the webinar.

“We have to deal with and control greatly increased truck traffic, the added materials have reduced landfill gas production, we have increased leachate generation and we have additional odor concerns,” he said.

The May19 webinar is part of a series of online workshops addressing opportunities and challenges related to the state’s Marcellus Shale gas boom. Information about how to register for the webinar is available on the webinar page of Penn State Extension’s natural-gas website at http://extension.psu.edu/naturalgas/webinars online.

Future webinars will include speakers on the following topics: air quality issues related to unconventional gas plays; pipeline development and regulation; a research update on the effects of shale drilling on wildlife habitat; and current legal issues in shale-gas development.

Previous webinars, publications and information on topics such as water use and quality, zoning, gas-leasing considerations for landowners, and implications for local communities also are available at http://extension.psu.edu/naturalgas online.

For more information, contact John Turack, extension educator in Westmoreland County, at 724-837-1402 or jdt15@psu.edu