Joe D
Registered User
DRBC EXECUTIVE DIRECTOR DETERMINATION EXTENDED TO INCLUDE NATURAL GAS
EXPLORATORY WELLS
WEST TRENTON, N.J. (June 14) - Delaware River Basin Commission (DRBC)
Executive Director Carol R. Collier today announced that she has
supplemented her May 19, 2009 determination to include natural gas
exploratory wells.
"My 2009 determination that sponsors of natural gas extraction projects
in shale formations must obtain commission approval before commencing
such projects expressly did not cover wells intended solely for
exploratory purposes," Collier said. "Today, I am extending the
provisions of my 2009 determination to include exploratory wells,
subject to reservations for exploratory well projects already approved
by the states on or before June 14, 2010."
By this supplemental determination, all natural gas well project
sponsors, including the sponsors of natural gas well projects intended
solely for exploratory purposes, must first apply for and obtain
commission approval before commencing any natural gas well project for
the production from or exploration of shale formations within the
drainage area of Special Protection Waters in the Delaware River Basin.
"For the purpose of this determination, any natural gas well drilled in
or through shale is assumed to be targeting a shale formation and is
subject to this determination, unless the project sponsor proves
otherwise," Collier added. All other aspects of the 2009 determination
remain in effect.
Today's action recognizes the risks to water resources, including ground
and surface water that the land disturbance and drilling activities
inherent in any shale gas well pose. "In light of the commission's May
5, 2010 decision to finalize natural gas regulations before considering
project approvals, this supplemental determination removes any
regulatory incentive for project sponsors to classify their wells as
exploratory wells and install them without DRBC review before the
commission's natural gas regulations are in place," Collier said. "It
thus supports the commission's goal that exploratory wells do not serve
as a source of degradation of the commission's Special Protection
Waters."
"Where entities have invested in exploratory well projects in reliance
on my May 2009 determination and information from DRBC staff, there are
countervailing considerations that favor allowing these projects to move
ahead," Collier stated in her supplemental determination. "I am informed
that since May of 2009, Pennsylvania has issued a limited number of
natural gas well drilling permits within the Delaware River Basin
targeting shale formations, while New York State has not issued any
natural gas well permits targeting shales in the basin since that date.
In contrast to the thousands of wells projected to be installed in the
basin over the next several years, the risk to basin waters posed by
only the wells approved by Pennsylvania since May 2009 are comparatively
small. Not only are these wells subject to state regulation as to their
construction and operation, but they continue to require commission
approval before they can be fractured or otherwise modified for natural
gas production. In light of these existing safeguards and the
investment-backed expectations of the sponsors of these projects, this
supplemental determination does not prohibit any exploratory natural gas
well project from proceeding if the applicant has obtained a state
natural gas well permit for the project on or before June 14, 2010."
Most of the shale formations that may be subject to horizontal drilling
and hydraulic fracturing techniques requiring large volumes of water in
the basin are located within the drainage area to DRBC's designated
Special Protection Waters (SPW). The commission's SPW program is
designed to prevent degradation in streams and rivers considered to have
exceptionally high scenic, recreational, ecological, and/or water supply
values through stricter control of wastewater discharges, non-point
pollution control, and reporting requirements. Coverage of the DRBC's
SPW anti-degradation regulations includes the 197-mile non-tidal
Delaware River from Hancock, N.Y. south to Trenton, N.J. and the land
draining to this stretch.
Any person adversely affected by this action may request a hearing by
submitting a request in writing to the commission secretary within 30
days of the date of this supplemental determination in accordance with
the DRBC's Rules of Practice and Procedure.
The DRBC was formed by compact in 1961 through legislation signed into
law by President John F. Kennedy and the governors of the four basin
states with land draining to the Delaware River (Delaware, New Jersey,
New York, and Pennsylvania). The passage of this compact marked the
first time in our nation's history that the federal government and a
group of states joined together as equal partners in a river basin
planning, development, and regulatory agency.
Additional information, including the complete supplemental
determination, can be found on the commission's web site at www.drbc.net.
EXPLORATORY WELLS
WEST TRENTON, N.J. (June 14) - Delaware River Basin Commission (DRBC)
Executive Director Carol R. Collier today announced that she has
supplemented her May 19, 2009 determination to include natural gas
exploratory wells.
"My 2009 determination that sponsors of natural gas extraction projects
in shale formations must obtain commission approval before commencing
such projects expressly did not cover wells intended solely for
exploratory purposes," Collier said. "Today, I am extending the
provisions of my 2009 determination to include exploratory wells,
subject to reservations for exploratory well projects already approved
by the states on or before June 14, 2010."
By this supplemental determination, all natural gas well project
sponsors, including the sponsors of natural gas well projects intended
solely for exploratory purposes, must first apply for and obtain
commission approval before commencing any natural gas well project for
the production from or exploration of shale formations within the
drainage area of Special Protection Waters in the Delaware River Basin.
"For the purpose of this determination, any natural gas well drilled in
or through shale is assumed to be targeting a shale formation and is
subject to this determination, unless the project sponsor proves
otherwise," Collier added. All other aspects of the 2009 determination
remain in effect.
Today's action recognizes the risks to water resources, including ground
and surface water that the land disturbance and drilling activities
inherent in any shale gas well pose. "In light of the commission's May
5, 2010 decision to finalize natural gas regulations before considering
project approvals, this supplemental determination removes any
regulatory incentive for project sponsors to classify their wells as
exploratory wells and install them without DRBC review before the
commission's natural gas regulations are in place," Collier said. "It
thus supports the commission's goal that exploratory wells do not serve
as a source of degradation of the commission's Special Protection
Waters."
"Where entities have invested in exploratory well projects in reliance
on my May 2009 determination and information from DRBC staff, there are
countervailing considerations that favor allowing these projects to move
ahead," Collier stated in her supplemental determination. "I am informed
that since May of 2009, Pennsylvania has issued a limited number of
natural gas well drilling permits within the Delaware River Basin
targeting shale formations, while New York State has not issued any
natural gas well permits targeting shales in the basin since that date.
In contrast to the thousands of wells projected to be installed in the
basin over the next several years, the risk to basin waters posed by
only the wells approved by Pennsylvania since May 2009 are comparatively
small. Not only are these wells subject to state regulation as to their
construction and operation, but they continue to require commission
approval before they can be fractured or otherwise modified for natural
gas production. In light of these existing safeguards and the
investment-backed expectations of the sponsors of these projects, this
supplemental determination does not prohibit any exploratory natural gas
well project from proceeding if the applicant has obtained a state
natural gas well permit for the project on or before June 14, 2010."
Most of the shale formations that may be subject to horizontal drilling
and hydraulic fracturing techniques requiring large volumes of water in
the basin are located within the drainage area to DRBC's designated
Special Protection Waters (SPW). The commission's SPW program is
designed to prevent degradation in streams and rivers considered to have
exceptionally high scenic, recreational, ecological, and/or water supply
values through stricter control of wastewater discharges, non-point
pollution control, and reporting requirements. Coverage of the DRBC's
SPW anti-degradation regulations includes the 197-mile non-tidal
Delaware River from Hancock, N.Y. south to Trenton, N.J. and the land
draining to this stretch.
Any person adversely affected by this action may request a hearing by
submitting a request in writing to the commission secretary within 30
days of the date of this supplemental determination in accordance with
the DRBC's Rules of Practice and Procedure.
The DRBC was formed by compact in 1961 through legislation signed into
law by President John F. Kennedy and the governors of the four basin
states with land draining to the Delaware River (Delaware, New Jersey,
New York, and Pennsylvania). The passage of this compact marked the
first time in our nation's history that the federal government and a
group of states joined together as equal partners in a river basin
planning, development, and regulatory agency.
Additional information, including the complete supplemental
determination, can be found on the commission's web site at www.drbc.net.
