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Meanwhile, PA DEP official “dispels myths” about HF, says fluids “can be found on the department’s website”

  • “Hydraulic fracturing, the target of Fox’s documentary, has been used for more than 60 years without any reported cases of groundwater contamination”
  • Top PA environmental official “dispelled myths that the DEP does not know what additives a company uses in the hydraulic fracturing”; “companies must submit a list of chemicals to the DEP, he said, adding that a list can be found on the department’s website

‘Shockumentary’ about groundwater harms the real environmentalism
By Mike Cantrell
Tulsa World

9/2/2010

Josh Fox and his shockumentary, “Gasland,” have done great disservice to the legitimate environmental movement that most of us embrace.

His film about the “dangerous contamination from hydraulic fracturing” is nothing but distortion. Every instance he so dramatically links to hydraulic fracturing has been investigated by appropriate state and federal authorities (including the Environmental Protection Agency) and found not connected to this procedure.

Of course the agenda of extremists like Fox (and the political environmental groups that fund his work) is to end the production and use of fossil fuels. The vast majority (more than 90 percent) of oil and natural gas still to be found and produced in America must be hydraulically fractured in order to be productive. So to end or seriously curtail the use of this procedure would deprive our country of the energy we need.

Hydraulic fracturing, the target of Fox’s documentary, has been used for more than 60 years without any reported cases of groundwater contamination.

The primary reason there have been no reported problems with groundwater contamination from fracturing through the years is that states have instituted a rigorous regulatory regimen.

It is Fox’s brand of politically motivated, environmental extremism that produces work that makes it a challenge for those of us who, day in and day out, strive to ensure we have the necessary safeguards in place to protect our environment with safe practices.

“Gasland” is so off-base that it will eventually be discredited. In the end, scientifically sound, proven, time-tested practices, and effective regulation will ensure that our groundwater is protected now – and for generations to come.

Officials, experts discuss Marcellus Shale issues at public forum
By Mark Hofmann
Daily Courier

September 2, 2010

Alan Eichler, environmental program manager with the Pennsylvania Department of Environmental Protection, discussed water quality, testing, disposal and DEP regulations.

Eichler dispelled myths that the DEP does not know what additives a company uses in the hydraulic fracturing or “fracking” process. The companies must submit a list of chemicals and their effects to the DEP, he said, adding that a list can be found on the department’s website, www.depweb.state.pa.us; click on “Oil and Gas,” then click on “Marcellus Shale” for that and other information.

Another myth was the 1,400 citations filed against the companies mean there were 1,400 spills. Eichler said one single incident can be a violation of several sections of law. He added that DEP has been citing the companies when violations have occurred and have tripled the size of their field employees as well as extended hours in evenings and weekends.

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Hope, Arkansas is the hometown of William Jefferson Clinton, our nation’s 42nd president. And while Little Rock may be the state’s capital, and largest city, the Natural State’s former governor Mike Huckabee also hails from the southwestern town of Hope.

But because of the tightly-regulated 60-year old energy stimulation technology called hydraulic fracturing – which has been safely used to enhance oil and natural gas production in the United States more than 1.1 million times without every impacted groundwater – there’s much more hope, genuine economic opportunity and job growth potentials flowing into Arkansas, and other regions of the country.

A quick history lesson, compliments of Southwestern Energy: “Southwestern Energy Company discovered the economic viability of the Fayetteville Shale and was the first company to drill and successfully produce its natural gas.”

This discovery, enabled by fracture stimulation coupled with advanced horizontal drilling technologies, “continues to help boost the economy,” says Arkansas’ Channel 11-THV. This from their recent story on the responsible development of the Fayetteville Shale:

Kathy Deck, an economist with the University of Arkansas, even says the Fayetteville Shale play provided a much-needed shot in the arm for the state when it needed it most. She says that while the shale has not developed as quickly as projected, the recession has had a lot to do with that, and that — going forward — the shale will continue to be an important part of the state’s economy.

The Arkansas Business Journal reports that this environmentally-sound development has been “A ‘Shot in the Arm’ to Economy”:

“You have to say, especially in Arkansas, the Fayetteville Shale Play provided a much-needed shot in the arm for the state when it needed it most,” said Kathy Deck, director of the Center for Business & Economic Research at the UA’s Sam M. Walton College of Business, which has twice attempted to project the shale play’s impact.

And despite the sluggishness that the national economy continues to experience, similar benefits are being experienced in other shale gas-producing states and regions of the country. In northwest Louisiana, where the development of the Haynesville Shale continues to safely hum along, KTBS-TV reports that the “Mansfield Economy Booms; Construction On Every Corner.” This from their story on this economic growth, which is a direct result of homegrown energy production:

Construction crews in Mansfield are hard at work with two new restaurants, two new hotels and a new bank.

Shelby Spurlock of Claiborne Parish says the Haynesville Shale is the reason she decided to open Cafe 171 in Mansfield. “It’s an ant bed of activity and we just wanted to come and join it,” said Spurlock while getting ready for Thursday’s grand opening.

City Alderman Troy Terrell says the Haynesville Shale has given Mansfield one of the biggest economic boosts in the state. “In the next two years, Mansfield won’t even look the same, ” said Terrell while standing at one of many construction sites.

Terrell says the economic boom has lead to several new roads. The city recently spent 10-million dollars on a new sewer and water system. City leaders say the new system will bring even more businesses and jobs.

Who said we don’t build things in American anymore? But wait, the news gets better.

While this days of service in the U.S. Congress are counting down, true to form, Sen. Arlen Specter is not mailing it in. Specter, a Pennsylvania Democrat-turned Republican-turned-Democrat, understands that the responsible development of the Commonwealth’s Marcellus Shale reserves is a true game-changer for the region’s economy, its workforce, and for our nation’s energy security. The Williamsport Sun-Gazette reports this yesterday:

U.S. Sen. Arlen Specter, D-Philadelphia, sees great economic potential for the local area from the Marcellus Shale and believes the gas industry can help ensure drilling does not adversely impact the environment.

Natural gas, he noted, represents a bridge between fossil fuels and renewable energy resources.

If we find a way to free ourselves from OPEC oil, that would be great,” he said. “It will be an economic opportunity for Williamsport.”

Speaking of the local area, workforce training programs continue to spud across Pennsylvania, helping to equip men and women from the region with the tools, skill sets, and know-how they will need to contribute to the responsible development of the Marcellus Shale’s abundant, clean-burning natural gas reserves. This from yesterday’s Scranton Times-Tribune:

With the hope of landing a high-paying, stable job in the burgeoning natural gas industry, 24 men embarked Monday on their first industry course at Lackawanna College in New Milford.

Larry Milliken, the course instructor, spent his career working in the industry all over the country from exploration and mineral development to working as an oil and gas “land man.” “(Lackawanna College) set up this program to help people from this area find a career in the natural gas industry,” Mr. Milliken said. “It’s a diverse background of people and ages coming into this class.”

Joshua Houck, 26, of Great Bend, said his curiosity about the natural gas industry motivated him to take the class. “I’m going to try to get a good job afterward,” he said.

Al Bisner, 28, of New Milford, said he returned to the Susquehanna County area after serving in the Army. Mr. Bisner has spent his working career self-employed in the plumbing and heating field but decided he could make more money working for the gas industry. He said he is worried about the rural area becoming more like a “big city” but figured natural gas development is here to stay and wanted “to get in on the ground floor.”

Toward the end of the first session, Mr. Milliken said to the class, “You, your kids and even their kids will be able to make careers in the natural gas industry.”

Think of that: careers – not jobs – in the natural gas industry. You see, our industry is committed to being good neighbors, citizens, partners, friends and ultimately stewards of the environment.

But despite hydraulic fracturing’s long and clear record of environmental safety, some remain fully committed to stopping the use of this technology, and therefore the benefits that it’s making possible for America, especially in small, rural communities where economic opportunity is desperately needed. But supporters of responsible domestic energy production continue to speak out. This from Norwich, NY’s Evening Sun:

Greene businessman Enzo Olivieri warns that a moratorium on natural gas drilling in New York would kill everyone’s hopes for new jobs, and the anti-drillers pushing for it will ultimately succeed because they have deeper pockets.

“That’s what it all boils down to. They, who for the most part come from downstate, have more money than we do up here, so they’re more powerful,” he said.

Olivieri’s exasperation was recently relayed in a phone call to The Evening Sun after the New York State Senate voted Aug. 3 to impose a nine-month moratorium on the controversial high water volume horizontal drilling technique, called hydraulic fracturing. The restaurant owner and real estate developer said he fears that the promise of economic recovery in the area and throughout upstate New York may now simply “wash downstate along with the region’s water.”

Referring to New York City-based protesters who want to ban drilling, he said, “They are the first to use our resources, our water and our crops, and not pay the adequate amount for it. Now they want to take our jobs away?”

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30.August.2010adminNo Comments

A couple months now removed from the splashy premiere of Josh Fox’s GasLand on HBO, the network appears to be once again ramping up its PR and booking machine associated with selling the on-demand version of the film – with Fox traveling all across the country to hold additional screenings and snapping up follow-up media interviews wherever he goes.

So as Fox and Co. continue their campaign to create an alternate history with respect to a commonly used energy technology that is, in a modern context, responsible for transforming the energy outlook of the United States and the world, we here at EID continue to do what we can to balance their facts fiction with objective facts. Here’s a brief update of what’s been going down recently.

 Pittsburgh, PA (Aug. 27)

This past weekend, with the help of local anti-energy activist and Pittsburgh councilman Doug Shields, Fox was on hand for a public screening of GasLand in Frick Park – a 600-acre spot in the heart of Pittsburgh created in 1919 thanks to a $2 million grant from Henry Clay Frick. In case you were wondering, Frick was a Pittsburgh native who made his living in the coal and steel business (Frick and Andrew Carnegie merged companies to create what is today known as U.S. Steel – a huge supporter of the Marcellus). Here’s how our friends over at the Marcellus Shale Coalition responded to the Fox visit:

 “…key technologies needed to seize on the opportunities of the Marcellus have been around for a long time, and are aggressively regulated by DEP. Maybe that’s why Secretary Hanger, the state’s top environmental watchdog, took such exception to Josh Fox’s distortions in GasLand, calling him a ‘propagandist,’ and suggesting the film is ‘a deliberately false presentation for dramatic effect.’” (WTAE-TV, Pittsburgh)

 Aspen, CO (Aug. 26)

Of course, before he got to Pittsburgh, Fox was making his way around friendly Aspen, Colo. – holding a screening/rally/séance at the Wheeler Opera House in town. Wondering who this “Wheeler” fellow is? Well, he too made a few bucks in the mining industry. And like Frick, he had the community in mind when he built the building that is today the Wheeling Opera House. Following this screening, Lee Fuller, the executive director of EID set the record straight on hydraulic fracturing in the Glenwood Springs Post Independent:

 Your readers should understand that hydraulic fracturing has been safely used nationwide over 1.1 million times since it first came into commercial use in 1949. It’s a technology that has never contaminated groundwater, a fact reinforced by top EPA officials as recently as this year. Colorado’s top oil and gas regulator, David Neslin, also confirms “there has been no verified instance of harm to groundwater caused by hydraulic fracturing in Colorado.”

 And while Fox claims that “a huge array of chemicals” are used in the fracturing process, the truth is these fluids are composed almost entirely of water and sand — with a small portion of additives (0.05 percent of the mix) used to kill bacteria and reduce friction. These additives can be commonly found in one’s kitchen cupboard and in every day food products, and a list of these are required by federal law to be available at every well site in the nation. And in Colorado, state regulations mandate that operators maintain a precise chemical inventory for each and every well.

 Lander and Pinedale, WY (Aug. 5 and 6)

Earlier this month, Fox made two stops in Wyoming, one in the small town of Lander, the other in Pinedale. Once again, EID took to the pages of the local papers to set the record straight – no easy task in 250 words or less. Here’s what EID ended up placing in the Sublette Examiner and Pinedale Roundup:

 From the Sublette Examiner:

To watch the “GasLand” documentary is to better understand how it only takes a few well-placed distortions and some nifty intellectual sleight-of-hand to completely rewrite the history on an energy technology known as hydraulic fracturing, which has been used for more than 60 years, not just for the purpose of developing oil and gas wells but to tap geothermal deposits, drill water wells and even by EPA to clean-up Superfund sites… Of course, none of that history comes through in “GasLand.” Earlier this summer, Energy In Depth issued a 4,000-word, point-by-point rebuttal of some of the film’s more specious and sensational claims, and that document remains available on our Web site –energyindepth.org. Watch the film as many times as you like. But don’t think for a second you’re getting the whole truth – not without reading our rebuttal first.

 Two days later, the Pinedale Roundup:

I didn’t have the chance to attend the viewing of GasLand at the Pinedale library this past Friday night, but one hopes for accuracy’s sake the film was screened in the “fiction and fantasy” section of the building…Let’s start with the fiction: A commonly used energy technology called hydraulic fracturing is responsible for flammable faucets all throughout the west? Not according to government scientists who collected the water, tested the samples and concluded that methane in the water had nothing at all to do with oil and gas development. Natural gas exploration caused a massive fish kill in Dunkard Creek in Pennsylvania? Not according to the EPA, which issued a report this year identifying water discharges from coal mines as the culprit in that case. The pronghorn antelope is an endangered species in Wyoming? Someone should tell that to Game and Fish – if that were true, maybe there shouldn’t be a hunting season for it.

 Of course, EID doesn’t have HBO’s kind of money – so responding to every GasLand showing might prove to be a bit tough. But we’re certainly going to try. Should you hear of a screening in your neighborhood/county, give us a heads up, we’ll do our best to separate the facts from fiction.

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The positive and overwhelming economic and energy security benefits enabled by hydraulic fracturing – a tightly regulated 60-year old energy stimulation technology – continue to be realized across the nation. These benefits – affordable supplies of reliable homegrown energy and thousands of good-paying jobs – are a reality in major energy-producing states, particularly North Dakota and Texas.

And while New York was the birthplace of natural gas production, a de facto ban on Marcellus Shale production through the use of 21st century horizontal drilling technology continues to deny landowners their right to responsibly develop privately-owned, clean-burning, job-creating resources.

Facts are stubborn things, as they say. So for your edification, here are a few about fracturing.

In a Fort Worth Business Press column today, Bruce Vincent, chairman of the Independent Petroleum Association of American (IPAA) and president of Swift Energy, underscores the critical role that fracture stimulation has played, and continues to play, in safely producing homegrown, job-creating energy oil and natural gas resources over the past 60 years. Here are key excerpts from Vincent’s column, which speaks directly to the devastating consequences that bills like the FRAC Act would introduce to American consumers:

This process is tightly regulated by energy-producing states, and is subject to a host of federal laws and regulations as well. In fact, federal law mandates that these fluids – which as stated, are made up of more than 99.5 percent water and sand – be disclosed at every single well-site. Many states even provide these lists online.

In commercial use since 1949, hydraulic fracturing has been – and continues to be – the linchpin to American oil and natural gas production. With surgical-like precision, using high-pressure fluids made up of more than 99.5 percent water and sand, with a small percentage of everyday additives used to kill bacteria and reduce wellbore friction, fracturing stimulates oil and gas production thousands of feet below ground, allowing increased amounts of energy to be produced.

But is it safe, and what steps do producers take to ensure groundwater protection? The short answer: yes, and many.

Unfortunately, some members of Congress believe that they know better than Texas, and that Washington bureaucrats ought to regulate fracturing, rather than individual energy-producing states who understand the geology best and have amassed an impressive track record of overseeing this critical technology. These advocates say their legislation is about disclosure of fracturing fluids. At its core, though, these efforts are aimed at stopping fracturing altogether, which would significantly blunt the positive economic growth and job creation in Texas, as well as in other energy-producing states, and ultimately, increase the cost of energy for America.

More than 1,500 miles away from Ft. Worth, in bucolic Syracuse, NY, folks are also talking about fracturing’s long and clear record of environmental safety and effectiveness. In yesterday’s Syracuse Post-Standard, Alfred Station, NY-native Chris Kulander – who holds a Ph.D. in geophysics with a focus on petroleum seismology – write this about fracture stimulation, and the benefits this proven technology stands to help generate through responsibly developing New York’s portion of the Marcellus Shale:

No evidence directly connects injection of fracking fluid into shale with aquifer contamination. In 2004, the U.S. Environmental Protection Agency released a study finding no confirmed instances of drinking water contamination by fracking fluids in the ground. This finding is not surprising, as fracking fluid is pumped through heavy steel pipe surrounded by a concrete liner to formations thousands of feet below aquifers.

Fracking has made production from the Marcellus Shale possible and created thousands of jobs.

An unfortunate push exists in New York to ban all fracking, purportedly until the technology can be “proven” safe, and to require federal oversight of fracking.

While a responsive state regulatory framework and vigorous, impartial enforcement of those regulations are necessary, draconian measures such as rolling moratoriums or federal oversight of fracking are not. New York is well able to regulate fracking while at the same time allowing development of natural gas and enjoying the jobs and revenue it brings.

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25.August.2010adminNo Comments


Hosts two-day Global Shale Gas Initiative Conference in Washington this week

We’re familiar with names like Barnett, Bakken and Marcellus – but what about Silurian or Changbei? Read up on them, because not too long from now, it’s a good bet we’ll be hearing a lot more about these here in the US. Thanks to the good work of the folks over at the State Department, shale gas went global this week – and below, we recap the event in case you weren’t able to attend. Following are select excerpts of a press conference held earlier this week where David L. Goldwyn, Coordinator for International Energy Affairs at the State Department, runs through what went down:

On the Global Shale Gas Initiative Conference and Countries that Participated:

We’re up to 20 countries and 10 federal entities, as well as state and local regulators. The reason we’re doing this is it’s part of the State Department’s effort to promote global energy security and climate security around the world. The U.S. shale gas phenomenon has transformed global energy markets. Because we have discovered and we have the technology to develop efficiently large quantities of gas from shale, global prices of liquefied natural gas have decreased. Gas has become cheaper. Gas is now competitive with coal on a BTU basis, which means that countries that might use coal can now not make an economic choice, but on a competitive basis choose gas for their next level of power generation.

On Shale’s Role in Providing Energy Security and Affordability Around the Globe:

[T]his has been a terrific boon for ourselves and for global energy security, and other countries want to replicate this process. And we wish them the best in doing this, but there are a lot of things that governments need to know in order to develop shale gas safely and efficiently. And that’s why we organized a regulatory conference where we could teach them what they need to know. Now, their motivation and our motivation as the State Department to engage on this issue should be clear for foreign policy and energy security reasons. Countries around the world need diversity of energy supply. There are countries with millions of people – in fact, tens and some hundreds of millions of people – without access to electricity services. They need a feedstock and they need it for base load energy.

State and Federal Regulations, Safety, Environment:

[W]e have, in our country, an umbrella of laws and regulations that makes sure this is done safely and efficiently. We have federal regulation of air and water. We have state regulation of land use and water. We have the capacity to monitor and to regulate. And even then, there’s the need for enforcement… We’ve also had a representative from the Groundwater Protection Council, and this is an association of state regulators, because in our country, it’s really the states that are on the front lines of safe drinking water regulation. In 33 states, the state leads or co-partners with the Environmental Protection Agency. So we’ve spent a lot of time talking about water, because water is scarce in a lot of these countries.

On Groundwater Protection, Hydraulic Fracturing:

[S]afe water and safe regulation plays a huge part in our discussions. It’s really one of the main reasons that we held the conference in the first place. And while hundreds of thousands of wells have been drilled successfully in the United States so far, the lesson that we want all these countries to understand is that you have to have technically competent people operating and you have to have laws and regulations in place first. We have safe – we have safe – Clean Air Act. We have safe drinking acts. We have rules about where you can drill. We have rules about what sort of casings you have to have. And so, if done responsibly, it can be done safely, but these countries need to know you need laws and regulations in place first. I wouldn’t paint the development with a broad brush.

On the Overall Success of the first Global Shale Gas Initiative Conference:

The bottom line is that we’ve had a really successful conference, because these countries have a lot of questions. People are enthusiastic, but they’re careful. There’s a lot that they need to know and there’s a lot they need to stand up in terms of regulatory capacity before they’re ready to engage in this. And so from our point of view, this has been a big success. We want people to have rational expectations about what they have. We want them to understand that it takes not just good commercial terms but really good government and good governance in order to make sure this is done safely. So it’s another of the examples of our using smart power or creative diplomacy to try and improve energy security, but to help countries learn what they need to know.

NOTE: Click HERE for a full transcript and video of Mr. Goldwyn’s press conference from earlier this week.

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American heroes walk among us in our communities and neighborhoods each and every day. They put others selflessly before themselves, rarely seeking the credit or recognition they rightfully deserve for their graceful acts of goodness and service to others.

Hundreds of thousands of hard-working men and women across the nation work dutifully each day to safely produce and deliver homegrown oil and natural gas reserves to American consumers in the form of affordable, stable and reliable energy needed to grow our economy and to strengthen our nation.

These are rig-hands, roustabouts, and hydraulic fracturing experts — they’re our friends, family members and neighbors. And because of a selfless act of bravery this week, we can add one more classification to that list: citizen first responder, and American hero.

After completing a day’s work in Pennsylvania’s portion of the Marcellus Shale earlier this week, Billy Watts — a Cudd Energy Services employee — was on his way home to New York when he noticed a house that “was burning like crazy.” And while Mr. Watts may be fairly new to the area, he’s as good a neighbor as one could ask for. The Elmira Star-Gazette reports this under the headline “Newcomer to Elmira area helps rescue woman, pet from house fire”:

Billy Watts, who turned 37 Monday, was driving home on South Broadway from Troy at about 6 p.m. when he saw black smoke in the air. Watts, a hydrofracturing operator for Cudd Energy Services in Pennsylvania, pulled over and helped a volunteer firefighter at the scene before any fire trucks arrived.

A gas industry worker who recently moved to Wellsburg from Oklahoma got an unusual opportunity on his birthday Monday: the chance to save a life.

The pair went down the hill toward the burning home at 2726 South Broadway and saw a woman who looked to be in her 70s, Watts said.

“She was bent over the fence and couldn’t get out, couldn’t breathe.” A dog was with her, he said. Watts and the firefighter helped the woman and dog get away from the house. … Watts said he breathed in some smoke and felt congested from it, but otherwise he was fine. “It’s important for people to stop and try to help out,” Watts said, noting that other bystanders came by.

Sure, Mr. Watts recently moved to New York’s southern tier from Oklahoma to help safely and responsibly deliver clean-burning, job-creating natural gas from the Mighty Marcellus. But this selfless act of heroism underscores how committed our industry is to being good neighbors and partners. We should all take pause in Mr. Watts’ statement about this incident: “It’s important for people to stop and try to help out.”

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State Dept. forum seeks to export promise and potential of shale gas to markets around the world – but will Administration apply same lessons, encouragement here at home?

Col. Edwin Drake is widely credited with developing the world’s first commercial oil well in Titusville, Pennsylvania in 1859. But here’s something you might not have known about the guy: He wasn’t actually a colonel.

Here’s something else: According to Chinese and Polish historians, Drake didn’t actually drill the first oil well either. In Poland, that honor rests with Ignacy ?ukasiewicz, who described his discovery in 1854 as the advent of a “new branch of industry which shall bear plentiful fruit.” Of course, from China’s perspective, both Drake and ?ukasiewicz arrived on the scene about 1,500 years too late. In their record books, 4th century monks are credited with developing the first-ever oil well, employing cutting-edge technology in the form of bamboo shoots to produce the oil needed to heat water from which deposits of salt could be distilled. Turns out even back then Chinese food had plenty of salt.

But while friendly disagreements may persist when it comes to assigning credit and location for the discovery of oil, when it comes to the discovery of clean-burning natural gas from shale, no ambiguity exists: We found it. And much more important: We invested the time, talent and resources in developing the technologies needed to make its production possible. The upshot? A veritable shale gas “revolution” taking place right here, right now, all across America — with hundreds of thousands of jobs and billions in state, local and federal revenue currently being generated in its wake.

Not yet, anyway. But an event organized by the U.S. Department of State earlier this week sought to begin the process of changing all that. Presided over by David Goldwyn, State’s coordinator for International Energy Affairs, the two-day Global Shale Gas Initiative Conference held in Washington on Monday and Tuesday brought together representatives from 20 countries (including the United States) to share news, views and technical insights related to the business of producing natural gas from shale. What interest does the State Department have in promoting a phenomenon like that? Mr. Goldwyn took on this question directly in his opening remarks:

[O]ur motivation as the State Department to engage on this issue should be clear for foreign policy and energy security reasons. Countries around the world need diversity of energy supply. There are countries with millions of people – in fact, tens and some hundreds of millions of people – without access to electricity services. They need a feedstock and they need it for base load energy. …So it’s understandable that they want to develop shale gas, but we have, in our country, an umbrella of laws and regulations that makes sure this is done safely and efficiently.

But just as no two shale plays are exactly the same, no one nation holds the exclusive rights to producing abundant resources from shale that underlies its land. Just about everybody’s got the stuff, geologists tell us. But not everyone has access to the best and most innovative technologies needed to convert the opportunity of shale into the reality of a stronger economy, a cleaner environment, and a higher standard of living for all who call that country home.

Of course, this conference didn’t exactly come out of left field; according to the White House, the president and his administration continue to be actively involved in spreading the good news of shale gas far and near, even using it as a tool of diplomatic engagement in promoting a clean, sustainable and growth-oriented energy future for some of our closest and most important trading allies across the globe. Back in November, the White House described its efforts to export the promise and potential of shale to our friends in China in the following way:

[The] Shale Gas Initiative will allow the U.S. and China to use experience gained in the United States to assess China’s shale gas potential, promote environmentally-sustainable development of shale gas resources, conduct joint technical studies to accelerate development of shale gas resources in China, and promote shale gas investment in China through the U.S.-China Oil and Gas Industry Forum, study tours, and workshops.

According to Reuters, the Chinese have been more than happy to accept our insight and technical advice in this space, with the country just last week launching a national shale gas research center and announcing a series of goals that include: 1) finding one trillion cubic meters of shale gas, 2) building 15-30 billion cubic meters of production capacity, and 3) ultimately using shale to meet as much as 12 percent of China’s total natural gas demand by 2020. Don’t think they can get there? Smart money says not to bet against them. According to reports, China’s total shale gas potential may soon be measured in quadrillions of cubic feet, not trillions. All they need is the technology and infrastructure to bring these resources to market.

Same goes for our friends in Poland, who view the prospect of shale gas development as a national security imperative more than anything else. You see, as it currently stands, a large portion of the natural gas upon which the Polish economy depends is piped in each day from Russia – and it doesn’t take a Ph.D. candidate in European history to understand the tensions and uncertainties inherent in that arrangement.

Earlier this month, the first-ever application of hydraulic fracturing technology was introduced at the Markowola-1 exploratory well in Kozienice, Poland. How much natural gas will they find? No one can say for certain. But according to one report from Wood Mackenzie, the Polish people may have more than 47 trillion cubic feet of recoverable natural gas trapped in shale deposits beneath their feet – or nearly half the entire proven natural gas reserves in Europe. Who’s laughing now, right Poland?

The story, of course, goes on and on from there: South Africa’s got lots of shale potential; so too does Sweden, Mexico, Canada, Australia, Morocco, Pakistan, India and Armenia – just to name a few. But while the depths and temperatures and technical requirements will vary from play to play to play – one thing will always remain constant: the continued need to use cutting-edge fracturing technology to tap into resources that would be too deep, too diffuse and too difficult to get at otherwise.

As was made clear in Washington this week, the U.S. government understands this reality – at least in an international context. Left to be determined is whether it will apply these same lessons to shale gas exploration here in the United States. Let’s promote shale gas globally, but let’s act locally on it as well. That was the message delivered by the State Department in Washington this week. Any chance the good folks over at EPA heard it?

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20.August.2010adminNo Comments



EPA’s Fracking Hysteria

Forbes.com

Dr. Michael Economides
Aug. 20 2010

  • Though activist campaigns are garnering increasing public interest in the fracking process, two points remain unchanged: its decades-long safety record and its role in America’s prosperity
  • Environmental and health studies have been conducted for years showing no linkage between fracking and drinking water contamination

After postponing a hydraulic fracturing (aka “fracking”) hearing slated for upstate New York last week, EPA is planning a new event which reports suggest could turn into a full two-day spectacle sometime in September. Though activist campaigns are garnering increasing public interest in the fracking process, two points remain unchanged: its decades-long safety record and its role in America’s prosperity/ So why all the hype and fervor over a reliable technique that has been around since 1947?

For those that don’t know, fracking is a technique which uses water pressure to create fractures in rock that allows extraction of oil and natural gas. Those who work in the energy industry are rightfully worried that efforts to curb this critical process will also eliminate their jobs. As high unemployment persists — over 7.7 million US jobs lost since the recession began in December 2007 — and the economy struggles to rebound, development of America’s natural gas resources is bringing new investments to communities across the country. In addition to the economic benefits, it is also essential in providing America clean natural gas which fuels public transportation and helps reduce greenhouse gas emissions. Developing jobs and clean sources of energy are just some of the reasons people are so passionately supportive of hydraulic fracturing.

Yet, some activist groups are singling out the technique in a scramble to blame corporations for poisoning our drinking water. While the fracking process uses chemicals, these claims are unfounded to say the least. The ingredients used in hydraulic fracturing include a small dose of chemicals (0.5%) mixed with water and sand (99.5%). Environmental and health studies have been conducted for years showing no linkage between fracking and drinking water contamination. In a 2004 comprehensive report conducted by EPA itself, federal researchers concluded:

In its review of incidents of drinking water well contamination believed to be associated with hydraulic fracturing, EPA found no confirmed cases that are linked to fracturing fluid injection into CBM wells or subsequent underground movement of fracturing fluids. Further, although thousands of CBM wells are fractured annually, EPA did not find confirmed evidence that drinking water wells have been contaminated by hydraulic fracturing fluid injection into CBM wells.

If the EPA study were not enough to vindicate the fracking process, common sense should. Natural gas formations are thousands of feet below drinking water aquifers so for contamination to occur the fracking solution would have to move through multiple layers of rocks. This would only happen however if the rocks were extremely porous, yet if this were the case the natural gas reservoir would have never existed in the first place. The natural gas would have leaked naturally to the surface over the course of millions of years.

As our officials in Washington monitor the upcoming EPA public hearing let’s hope the scare tactics and rhetoric don’t drowned out the facts and the preponderance of evidence supporting the fracking process. Regrettably as people across America are looking for jobs and struggling to put food on the table, the manufactured controversy surrounding fracking will likely continue. With any luck the unsubstantiated claims by the environmental lobby will not keep us from utilizing our clean natural gas resources or develop a vibrant energy economy here at home.

Economides is among America’s leading energy analysts. A consultant, educator, and PhD petroleum engineer, Economides has done technical and managerial work in more than 70 countries and is a professor at the University of Houston.

NOTE: Click HERE to view this column online.


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Graphic: What’s In Frac Fluids?

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Blog Title: Lorem Ipsum Dolor Sit Amet

The responsible development of clean-burning natural gas from the Marcellus Shale formation – enabled by hydraulic fracture stimulation technologies, coupled with advancements in horizontal drilling – continues to be an boon throughout much of Appalachia, where small, rural communities and towns have not experienced genuine, lasting economic growth and prosperity for quite some time. But that’s all changing now thanks to these technologies, which can safely and effectively reach the Marcellus’ abundant, homegrown, job-creating natural gas reserves.

And while some continue to oppose this environmentally-proven and tightly regulated development, and the tens of thousands of good-paying jobs this production is helping to create at a time when economic opportunity is dire, it’s clear that folks throughout the Rust Belt agree that this is a good thing, and that it can – and must – be done responsibly.

Energy production companies, including Chesapeake Energy, continue to hire throughout the region, holding forums for those interested in joining our fight for a more secure energy future and more stable energy prices for American families, seniors and consumers.

Under the headline “Hundreds Want Gas Drilling Jobs,” the Wheeling Intelligencer reports that “For neighbors Shawn Long and Eric Westbrook of Middlebourne, who arrived before 10 a.m. and waited more than an hour to get through the door, the chance for new employment in the Ohio Valley is welcome.”

One attendee at the recent Chesapeake Energy open house said that “This is a great opportunity for around here,” adding that “this (the gas industry) is one of the only things around here. It’s a good thing they (Chesapeake) are here.” Another individual seeking employment noted that “It’s this or the coal mine. I’ve got two kids and a wife I have to take care of,” add that “Any new full-time employment in this area is great.”

We report, you decide — as they say.


Hundreds in WV, Throughout the
Rust Belt Want Gas Drilling Jobs

… While a Few Use Distortions
to Stop Responsible Gas Development, Job Growth

(Hundreds Want Gas Drilling Jobs; Wheeling Intelligencer, 8/19/10)

(“Protest” in Pittsburgh, Pa.; 8/18/10)

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Blog Title: Lorem Ipsum Dolor Sit Amet

Just The Facts: University of Pitt. Prof. Sets the Record Straight on Hydraulic Fracturing
Positive benefits created by fracture stimulation technology continue to pour in from coast to coast

In an interview with KDKA radio’s Mike Pintet, Professor Radisav Vidic of the University of Pittsburgh’s Department of Civil and Environmental Engineering, sets the record straight on hydraulic fracturing – the 60 year-old energy stimulation technology that has been safely used to produced domestic oil and gas over 1.1 million times. Dr. Vidic, who holds a Ph.D. in environmental engineering, underscores hydraulic fracturing’s tight regulations and long and clear record of environmental safety.

On Hydraulic Fracturing’s Clear, Long Record of Protecting Groundwater: “There hasn’t been any proven case”

  • There hasn’t been any proven case that shows that the hydraulic fracturing itself causes contamination to groundwater. First of all, the well casing — the way it’s designed to be used — there’s multiple barriers there through the aquifer so there’s really no communication between the material that’s injected into the well and a groundwater aquifer. … This water is injected at a 8,000 feet depth so the chances of this water coming up all the way to the surface is very small simply.”

On Hydraulic Fracturing Fluid Disclosure: “Go on the DEP’s website”

  • You can go on the DEP website, and there is a list chemicals that are being used in hydro fracturing operation. This list contains a total of I think about 78 chemicals. But you have to understand not all of them are used on every well, every time. This is a list of all the chemicals that are ever being used in the hydrofracturing operation. A subset of those chemicals are used on each well depending on which company is doing it and what is their technology, and approach to hydro fracturing the well. The industry is required to disclose this information, and the DEP has a list of all the chemicals that are being used for hydro fracturing operations.”

On GasLand Claims About Flaming Faucets: “It’s not caused by drilling”

  • It’s not caused by the drilling, it’s caused by the methane that’s coming from some place.”

What are others saying about domestic oil and natural gas production enabled by hydraulic fracturing? We’re glad you asked.

  • Without fracture stimulation, ND’s economic boon wouldn’t be happening: “Hydraulic fracturing — or frac’ing — also is used for natural gas, and it’s controversial. The fluid is mostly water, but it also contains about one-half percent chemicals. Despite industry assurances, environmental groups worry frac’ing is polluting groundwater, and they want more regulation. Some even want an outright ban. But without this technology, the boom in North Dakota wouldn’t be happening.” (NRP, 8/18/10)
  • Hydraulic fracturing helping to create hundreds of jobs in rural Pa.: “New York State lawmakers made a grand show of Pennsylvania’s Marcellus Shale gas drilling procedures last week. They held our state up as an example of what not to do in a recession and inferred the state is selling its environment out so that it can generate the economy the gas drilling brings. To our friends to the north we would say that sword holds a double edge. … This past week the Sun-Gazette reported on the rapid growth of the cement mixing Halliburton plant off Route 405 in Clinton Township, where ground was broken a year ago. By year’s end there will be about 100 jobs, and there are projections that the plant will eventually employ 400 people. Plants with 400 jobs especially new ones aren’t plentiful in our region. (Williamsport Sun-Gazette Editorial, 8/15/10)
  • Shale drilling could become an economic gusher for Michigan: “The $1.2 billion-a-year oil and gas industry is a modest player in Michigan’s economy, but the situation could change because the shale-rich Great Lakes State could be sitting atop the next in-demand natural resource, experts said. Advances in technology and $3-a-gallon gasoline have made deep-seated shale oil more accessible and desirable, they said. … The industry’s fortunes took a turn for the better when the state sold $178 million in leasing fees in a single auction in May. That equaled the total amount of money the state has collected in leasing fees since the 1920s, a telltale sign that interest in shale drilling is heating up. (Detroit News, 8/18/10)
  • Roustabouts wanted as companies rush to drill for gas: “Workers looking for jobs in the region’s booming natural gas industry may try their hand as a “roustabouts” — general laborers who work physically grueling 12-hour shifts for 14 consecutive days in all kinds of weather to build and remove drilling pads and assist production. “It’s demanding labor, working long stretches without days off. You have to be ready to do quality work and do it a long time. Once they start production, they don’t stop,” said Richard Guenther, an employee relations specialist with Chesapeake Energy Corp. in Mt. Morris, Greene County. Pay can range from $10 to $20 an hour, plus overtime. (Tribune-Review, 8/18/10)
  • 1 million wells have been fractured without a single case of documented harm to groundwater: “Water is mixed with sand and some chemicals and then pumped at high pressure into the well bore to shatter the Bakken shale formation, which can be as hard as a driveway. The “fracking” creates fissures that free up trapped oil and natural gas to flow up to the well bore. … Increasingly refined hydraulic fracturing and horizontal drilling techniques have doubled Montana’s oil-and-gas production, Richmond said. In the United States, approximately 35,000 wells are “fracked” each year and 1 million wells have been developed without documented harm to groundwater, he said. … Oil in the Bakken lies well below groundwater supplies. (Billings Gazette, 8/14/10)
  • Marcellus Shale’s economic impact is growing: “Marcellus Shale drilling is still in its infancy in West Virginia, but the industry is already contributing millions of dollars to the state’s economy. It may be awhile before the gas industry’s economic impact rivals that of coal in West Virginia. Mike Shaver, clad in a hard hat and muddy boots, surveys a gas drilling rig on a site in Upshur County. As a crew drills towards the Marcellus Shale, a pipe pumps water and dirt out of the hole in the earth and into a huge pit of muddy, rock-filled water. Shaver looks at the water, trying to determine how much farther the drill has to go before reaching shale gas. (Huntington Herald Dispatch, 8/14/10)
  • Fracturing enabling a “transformative opportunity”, says. fmr. Gov. Ridge: “Former Gov. Tom Ridge this afternoon called Marcellus Shale gas production a “transformative opportunity” for Pennsylvania during an appearance Downtown in his new role as a strategic adviser to an industry group. Still dressed in the jeans and checkered shirt that he wore to inspect production operations in Washington County earlier in the day, Mr. Ridge hailed the industry’s economic potential but also stressed the need to manage environmental concerns. (Pittsburgh Post-Gazette, 8/17/10)
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