Showing posts with label methane. Show all posts
Showing posts with label methane. Show all posts

Saturday, January 25, 2014

Solutions to H20 pollution elude officials in Cabot gas field Five years after blast, Pa officials continue tests in Dimock

Five years after the explosion of Norma Fiorentino’s water well signaled all was not well in Cabot’s Marcellus shale gas operation in northeast Pennsylvania, state environmental officials are still trying to gauge the impacts of drilling on the water supplies of local residents.

The agency is scheduling another round of tests to see whether methane levels in Dimock water wells are safe, Colleen Connolly, a spokeswoman for the Department of Environmental Protection, confirmed this week. It's the latest step in an investigation that literally began with a bang on New Year's Day, 2009. The explosion of the Fiorentino well prompted an investigation by the DEP that concluded water wells serving at least 19 homes contained explosive levels of natural gas that had migrated underground from Cabot’s nearby drilling operations.  Since then, dozens of water wells in Susquehanna County have been taken off line due to methane contamination.

Some of the Dimock residents agreed to a settlement with Cabot, negotiated by the DEP, that compensated the parties with payments worth twice the assessed value of their properties, and systems to filter their water. Others have held out. They believe the systems, which require maintenance, are not an effective answer to the problem and do not filter other harmful chemicals associated with drilling. The settlement was finalized in 2010 under DEP Secretary John Hanger (now a gubernatorial candidate).  Hanger, who headed Governor Ed Rendell’s DEP, had originally pushed for an $11 million infrastructure project, to be paid for by Cabot, to restore fresh water to the residents. Cabot opposed the plan for a water line, and the administration withdrew it soon after Tom Corbett, an industry supporter, was elected governor.

Although Cabot continues to develop the Marcellus Shale throughout Susquehanna County, the DEP has banned the company from drilling within a 9-square mile area around Carter Road until it fixes an unremitting methane problem there.

Working with the settlement as a blueprint, Cabot has restored water to some but not all homes through special filtration systems or bottled water. But problem areas persist. Several polluted homes have been abandoned, including two on Carter Road bought by Cabot. The company bought 1101 Carter Road, once home to outspoken fracking activists Craig and Julie Sautner, and demolished the ranch house last year. It then sold the vacant parcel to a neighbor for a fraction of the purchase price, with a condition written in the deed that no residence could ever be built there. Late last year, Cabot bought the home of Mike Ely, on the south end of Carter Road, although the company has not answered questions about its plans for the contaminated property.

Several other homes in the area remain vacant after having been sold to other parties, reportedly for interest in mineral rights. Three vacant homes happen to be near Cabot’s failed Costello gas well, which officials have indentified as a possible source of methane pollution.  This week, Connolly reiterated that the Costello well, near the intersection of the south end of Carter Road and State Route 3023, was “unviable” and “”remedial work is continuing at the gas well, and Cabot and DEP continue to evaluate results at the water wells.”  In addition to fluctuating methane levels, previous tests have shown levels of iron and manganese that were elevated but within standards in some water samples. Elevated levels of these elements are “not uncommon during gas migration,” she reported.

Before Cabot can resume drilling in the banned zone, Connolly said, the company must “demonstrate compliance” with the 2010 Consent order. “We have scheduled another round of testing to determine whether the gas migration event has ceased,” she added. Connolly could not immediately say how many homes will be included in the sampling collection. Sources in the field told me that the DEP plans to test all 19 homes listed in the consent agreement, but that the agency has not been granted access to all the homes.

As I have found with many stories about shale gas, a central problem is a lack of information. Some of this is because state regulators, dependent on updates from companies that are exempt from many disclosure laws, are still trying to figure out exactly what is going on. And some of it is due to the fact that companies are reluctant to share certain information that casts operations in a negative light. This is all complicated by some residents who feel what is happening on their property is their business, others who want to show the world what they want the world to see, and still others working in good faith to expose and understand problems with the intention of making things better. In short the problem is cast in a muddle of projections from stakeholders with widely divergent interests and ideological footing. Chief among these is Cabot, which possesses the facts about what is happening at its restricted sites and underground, test results, along with rights to the land under question.

In addition to speaking with Connolly and people in the field, I have called and emailed Cabot spokesman George Stark over a period of months for an update. Here is one of my email queries from Dec. 10. 2013:

Hi George,
I’m following up on Cabot’s recent purchase of Mike Ely’s property on Carter Road and have some questions related to that:
Why did Cabot buy the property? 
What plans does the company have for it?  
What is the status of the nearby Costello well? Is it all fixed?
Does the company expect to be able to resume development in the 9-square mile “no drill zone”?
Also, a question related to the former Sautner property now owned by the Mayes: Why did Cabot forever prohibit building a home on the property as part of the land covenant?
 Here is Stark’s response, which came a month later, on Jan. 9, after I left several phone messages:
Tom,
Got your message yesterday about the former Ely property. 
Cabot entered into a private business transaction with the prior owner of the property. The sale was agreed to by both parties and we are now the current owners. 
George

Trying to apply his answer to the questions at hand in any meaningful way was fruitless, so I emailed Stark again:

Hi George 
Thanks for responding. But your statement does not answer any of my questions. Here they are again: 
Why did Cabot buy the property? 
What plans does the company have for it? 
What is the status of the nearby Costello well? Is it all fixed? 
Does the company expect to be able to resume development in the 9-square mile “no drill zone”? 
Also, a question related to the former Sautner property now owned by the Mayes: Why did Cabot forever prohibit building a home on the property as part of the land covenant?

That was January 9. Since then I have also left voicemails. I am still waiting for a reply. If Stark’s response, or lack of a response, has any journalistic value in the meantime, it illustrates how some companies deal with these kinds of unpleasant questions. They ignore them, or offer a statement of fact that appears to be authoritative but is actually irrelevant.

There are people on all sides of the debate over the merits and risks of shale gas development who share a sense or frustration over lack of information. A group of drilling proponents called Dimock Proud has been especially critical of the DEP for implementing the no-drilling zone in Dimock without engaging all the people who live there, including those eager to see shale gas development proceed. In their view, the DEP has been operating too much out of the public eye. The group represents people who are in position to make money when Cabot drills on their property. The Dimock Proud web site features letters to the DEP complaining that the agency has ignored their requests for information -- specicially, explanations of the no drill zone around the problem wells and why the ban applies to people in the 9-square mile area who want to see their shale gas developed. The group stresses this compaint:

Dimock landowners have written you countless letters, signed petitions that we sent to you, and absolutely begged you to let us out of that arbitrary 9-square miles. You did nothing! You didn’t even acknowledge receipt of the petitions.

The controversy over drilling and fracking in Dimock is one of many in countless communities in dozens of developing shale gas basins across the country. Some problems are unique and some universal. But Dimock, just across the border of New York State, was one of the first where the media spotlight focused intensely on the gas boom that is transforming the country. And given the persistence of problems there, it's where it might also shine the longest.


Friday, November 22, 2013

Cabot buys second polluted residential property in Dimock 12-acre parcel on Carter Road flanked by faulty gas wells


The former Mike Ely propety, now owned by Cabot
Cabot Oil & Gas has closed a deal for a second residential property affected by chronic methane pollution in the heart of its prolific gas operations in Susquehanna County, Pennsylvania.

The Texas-based company paid Michael Ely $140,000 for the 12-acre property that includes a doublewide modular home, according to records filed in Susquehanna County Courthouse Wednesday.  The property – now vacant -- borders the intersection of the south end of Carter Road with State Route 3023 in Dimock Township.

The state Department of Environmental Protection has identified at least two malfunctioning gas wells operated by Cabot bordering the property, including the Gesford 3 well, several hundred yards to the north off Carter Road, and the Costello 1 well, just to the south off Route 3023.

Cabot demolished the former Sautner in September 
The agency has forbidden Cabot to drill more wells in a nine-square mile area around the intersection until the company resolves problems with these and other shale gas wells that – according to the DEP inspectors – are causing methane pollution.

The former Ely property sits less than a mile south from another polluted residential property on Carter Road that Cabot bought for $140,000 from Craig and Julie Sautner last year. Cabot demolished the three-bedroom ranch in September and sold the empty lot to a neighbor for $4,000. The new deed includes a clause – called a land covenant -- that forbids residential dwellings on the property.

Cabot bought both the Sautner and Ely properties through a subsidiary called Susquehanna Real Estate 1 Corp.

Ely ancestral home across from Cabot's newly acquired lot
The former property of Mike Ely is part of a larger swath owned by generations of the Ely family since 1858. Bill Ely, Mike’s father, lives in the family’s large ancestral colonial home near the banks of Burdick Creek, which runs under a bridge connecting Carter Road with Route 3023. Bill Ely and his wife, Sheila, are among families in the area that depend on bottled water. Bill told me he has no intention of selling his 19th century house to the company, even though his water is not drinkable.

“I’m not leaving” Ely said Thursday. “My family’s been in this home for generations.”

Susquehanna County and operations centered in Dimock have been the source of both boon and bane for Cabot, which in 2013 was the second largest natural gas producer in Pennsylvania behind Chesapeake Energy. In the first half of the year, Cabot had 15 of the top producing wells in the state concentrated in its leasehold in Susquehanna County – an area experts call a “sweet spot” for Marcellus Shale production. But production has been beset by problems. Both Mike and Bill Ely were among more than 30 families in the area that settled a law suit with Cabot for damages related to water pollution for an undisclosed amount in 2012. The controversy continues, as Cabot, under the watch of the DEP, attempts to fix problems that have prevented it from drilling any new wells in a 9-square-mile region around the Carter Road area. Some of the gas wells have been plugged or shut down, so residents living over them have seen royalty payments dwindle.

Hazards found in some residential water wells include methane, arsenic, bacteria, and various heavy metals that occur naturally. Methane can make water flammable and pose risks of explosion in wellheads and enclosed spaces. Arsenic, heavy metals, and bacteria can cause illness. Drilling can open pathways that allow contaminants to move through the ground, but the extent to which this happens is open to scientific and legal interpretation. Cabot continues to challenge the DEP findings publically with claims the contaminates are a result of naturally-occurring phenomenon.

The DEP began investigating problems in the region after a residential water well on the north end of Carter Road exploded at the home of Norma Fiorentino on January 1, 2009, shortly after Cabot began ramping up operations to produce gas from the Marcellus Shale with the controversial practice of horizontal drilling and high volume hydraulic fracturing. Since then, the area has been the focus of a national controversy over the impacts of shale gas development on residential communities.

During my visit to the area this week, I noticed that a service rig at the Costello gas well had been removed. George Stark, a spokesman for Cabot, was not immediately available for comment about recent developments. Stark told me in September that the rig, which has been at the site for months, allowed crews to “monitor” the casing of the gas well, which appeared sound.

DEP officials explained it differently. They had not pinpointed a source for the problems affecting three homes near the well, including the Ely properties. But they had determined that the suspect Costello gas well was "unviable" and would have to be plugged. In an email response to my query earlier this fall, DEP spokeswoman Colleen Connolly reported that Cabot was ”continuing remedial efforts” at the Costello gas well and “evaluating the effectiveness” of the work.  Methane levels were fluctuating, she said. Additionally, tests had shown levels of iron and manganese that were elevated but within standards in some water samples. Elevated levels of these elements are “not uncommon during gas migration,” she reported.

Update 5:25 p.m. EST. In response to my request for an update this week, Connolly said in an email this afternoon that “remediation work” is continuing on the Costello 1 well.  But the department’s characterization of the status of the well remains vague. In Connolly’s words, the well is "essentially unviable," but DEP officials are "not aware of the gas well having been officially plugged.”


Tuesday, October 22, 2013

The razing of 1101 Carter Road: The rest of the story… Land “covenant” in deed forbids “human habitation”

The Sautner home became focus of the antifracking movement
PHOTO JAMES PITARRESI 
When I last visited Carter Road, a contractor for Cabot Oil & Gas was demolishing the former home of Craig and Julie Sautner, the anti-fracking activists who had relinquished their three-bedroom ranch as part of a settlement with the Texas drilling company. This was part of a larger dilemma in their hometown of Dimock, Pennsylvania, where the Sautner’s water well was polluted by nearby Cabot drilling operations, according to records from the state Department of Environmental Protection. It’s a charge that Cabot has denied publically and settled privately – with the Sautners and dozens of other plaintiffs.

The Sautner property – adorned with anti-fracking posters and inhabited by some of the most vocal and visible of fracking critics -- had become a particular symbol of the tensions that divided the community. Julie and Craig were featured in various high-profile accounts of the conflict as either victims, heroes or phonies. The aquifer that provided water to their home on 1101 Carter Road, and to 64 other homes in
EPA tecs sample water at Sautner home in 2012
Photo: JAMES PITARRESI
the area, was the focus of a controversial EPA investigation that found pollution at levels posing safety threats in 8 percent of the wells. Instead of making recommendations, the federal agency deferred to the industry’s solution, approved by the state, which was to deliver water in bottles and tanks to affected homes and provide filtrations systems. The Sautners and some other residents found those measures ineffective, and they unsuccessfully pursued a water line from the nearby village of Montrose – a measure that would have cost Cabot more than $11 million.  (A more full account of that story here.)

As part of an eventual settlement, the Sautners sold their property to a Cabot subsidiary for $167,500. Cabot demolished the vacant house, company spokesman George Stark told me after my visit last month, because the company was planning to sell the property, and it was more marketable without the
structure. Yet that answer doesn’t square with information on a deed that has since been filed in the Susquehanna County Court House in Montrose. After demolishing the house, Cabot sold the 3.3 acre parcel to Tim and Debbie Maye – owners of an adjoining property -- for $4,000. (Perhaps the absence of the house is an asset to Cabot, which retained the mineral rights on the Sautner acreage, although it’s worth noting that the DEP has forbid the company to drill in the area until it resolves the persistent problem of methane seeping into some water supplies in nine square miles around Carter Road. It's also worth noting that the Mayes have a history with Cabot that's antithetical to the Sautner's. The Mayes, who were once critical of the company, became shale gas supporters after they settled pollution claims of their own )

The most striking aspect of the sale, however, is this: The new owners of 1101 Carter Road are bound by certain conditions set forth in the deed, in parlance that may fairly be described as epic. It forbids a “residence or dwelling for human habitation” on the land. The time frame for this and other restrictions is “forever,” to be observed by future generations as “covenants running with the land.”

The sale, first reported this week by Laura Legere for State Impact, represents a kind of denouement to a story that I have been following for years while reporting for the Press & Sun Bulletin, in writing Under the Surface, and for this blog. The Sautners were initially enthusiastic and expectant supporters of shale gas development when the landman convinced them to lease their mineral rights in 2008. Their story, and the story of more than dozens others affected by Cabot’s operations, captures a complication that belies a common industry pitch:  Everyone’s a winner with shale gas development. Landowers get royalties, others get jobs, and there is cheap abundant energy for all. Claims of water contamination are exaggerated, fabricated, or trumped up by overreaching regulators.

In reality, there are economic winners and losers, as well as substantial environmental risks and trade-offs. The risks and trade-offs are hard to quantify because the industry is exempt from reporting requirements to disclose what it puts into the ground to stimulate wells, and what comes out. Whether you find this acceptable is likely to depend on whether you trust the industry more than government, your tolerance for mineral extraction in places you care about, and your belief in the wisdom of investing heavily in a fossil based energy system to meet 21st century challenges.

We know this: In some places gas is flowing, and with it, economic bounty to a mix of parties. But we also know this, like most things in life, is a circumstantial and transitory condition. The reality of the matter is that it often takes teams of bankers, lawyers, real estate agents, insurance actuaries, and regulators to sort it all out while being mindful of split estates, law suites, lease language, liabilities, and policy that can cut both ways depending on the proficiency and determination of various stakeholders. In the end, the example on 1101 Carter Road left a new land “covenant” forbidding “human habitation” at a place once called home by the Sautners.

Saturday, September 21, 2013

Will NY natural gas future break from problems of its past? DEC lacks funds to plug tens of thousands of leaky wells

Discharge from this abandoned well killed an acre of vegetation in Oneida County
The debate over natural gas development in New York has mostly been about the future. But residents living over New York’s abundant gas reserves must also figure out what to do about the past.

Regulators estimate there are 57,000 abandoned and orphan oil and gas wells statewide – many of them leaking. Of these, the state has listed 4,722 as a priority due to health and safety risks, but lacks funding to plug them. Wells tend to leak over time as casings deteriorate, raising risks of explosions and providing conduits for water contamination from methane, brine, arsenic and other pollution. The problem is summed up in this 2002 report from the New York Department of Environmental Conservation: “Abandoned wells can leak oil, gas and brine. They can contaminate groundwater and surface water, kill vegetation and cause safety and health problems. Underground leaks may go undetected for years before their damage is discovered.”

It’s a warning supported by facts in New York and neighboring shale gas states, where problems have ranged from drinking water pollution to fatal explosions. (More on that in a bit.)  Unlike many industrial hazards, abandoned wells lurk in unexpected places. (Map here.) They have been found at playgrounds and parking lots, inside buildings, in wetlands, underwater in creeks and ponds, in wooded and brushy areas and in residential yards, according to DEC records. DEC staff discovers more of them every year during scheduled inspections or while investigating complaints. The most threatening cases go on the state’s priority list to be plugged “whenever funds become available.”

So far, funds have not become available, even as the state considers plans to begin permitting new drilling on an unprecedented scale for operators targeting the Marcellus and Utica shales, extending under most of upstate New York.

The abandonment problem is rooted in the economics and regulation of gas production. As wells age and production declines, they become maintenance liabilities, which encourages their sale to whomever will buy them -- typically smaller, less established firms or even homeowners. In the end, the parties left holding them often drop them from their books or go bankrupt.

Theodore Loukides, head of the Oil & Gas Compliance and Enforcement Section for the DEC, issued a bulletin earlier this year notifying operators that “given the state of awareness surrounding energy development, the plugging of legacy wells will likely remain a high-profile issue of years to come.” In the bulletin, published in a newsletter for the Independent Oil & Gas Association of New York, he asked operators for input on plugging, and new initiatives focusing on waste, bulk storage, spills, and proper submittal of annual reports.

DEC spokesman Peter Constantakes didn’t return calls or emails about the subject this week. Yet the “state of awareness” that Loukides delicately mentions is due to the contentious issue of whether Governor Andrew Cuomo will finalize permitting guidelines for high volume hydraulic fracturing necessary to explore and produce the Marcellus and Utica shales, which collectively run under a good part of upstate New York. Since shale gas became a major political issue in 2008, the legacy of “old oil fields” is something you rarely, if ever, hear DEC officials talk about publically, even though the problem has been neatly summarized in prior studies and annual reports.

The 1995 annual report for the Minerals Resources Division was explicit in this warning ,which was repeated verbatim almost a decade later in a 2003 report commissioned by the state Energy and Research Development Authority:
One of the biggest challenges facing the oil and gas regulatory program is the growing liability of idle and abandoned wells. In most cases financial security, even for operators in compliance with current regulations, does not provide sufficient funding to plug the covered wells. When operators default on their tax bills and counties foreclose on properties that contain unplugged wells, those wells become a liability for local taxpayers. This is not a hypothetical worst-case scenario, but reflect current events already happening in the counties. We need a creative approach to develop new solutions to this problem, and hope to productively work together with all stakeholders in this effort.

Fixing the problem will require significant regulatory reform, according to Ron Bishop, a professor of chemistry and bio chemistry at SUNY Oneonta who has been studying the orphan well issue in New York. In a white paper for a land preservation group called Sustainable Otsego, Bishop explains:

Unless the state of New York does something to dramatically alter the long-standing culture of neglect, we can reasonably expect oil and gas industry operators to ignore any new standards just as they systematically ignore existing standards today. 

The problem extends from the pre-regulatory era to current times. It’s common practice for larger operators to sell off wells near the end of their life cycle to smaller firms with less capitol. The sale provides the seller with a better financial outcome than holding onto the dwindling returns and provides a buyer – typically one with limited capital -- a well that it doesn’t have to drill. Bishop cites this explanation from Lou Allstadt, a former senior executive with Mobile Oil:

The original company uses the cash to finance new investments. The buying company operates with lower costs because they spend less on maintenance and safety items and they have fewer well-qualified people to pay. The chain may end there or continue through smaller and ever lower cost operators who do no preventive maintenance at all, do the bare minimum of repairs to keep the well going and eventually walk away, maybe after plugging the hole as cheaply as possible and maybe not plugging at all. The smaller companies often operate each well or group of wells under a separate corporate entity that is always stripped of cash, so if something goes wrong there are no assets to pay off claims. Not all small operators will do this, but it happens. 

Shale gas wells are more prone to this outcome than yesterday’s conventional wells because production from shale, known as tight gas, tends to taper more quickly than conventional wells, according to Bishop.

Now for more on the legacy of problems in New York and Pennsylvania: A starting point is in 2008. The first wave of aggressive shale gas prospecting in New York raised many questions with residents, and DEC staffers staged informational meetings at town halls throughout the Southern Tier to address them. Officials from the Minerals Resources Division pitched shale gas as a clean, problem free and well-regulated industry. They avoided mention of the tens of thousands of orphan wells that in fact represented a serious, chronic, and concrete problem.

Around this time Walter Hang, an environmental researcher, began uncovering a history of neglect that undermined the DEC’s message and sowed early seeds of public doubt about the transparency of both the industry and those who oversee it. Hang is president of Toxics Targeting, a firm that identifies and tracks pollution liabilities for developers and municipalities.

Hang and others who tried to quantify and characterize the problem had tough going, due to a records system that was decentralized, archaic, and often incomplete with files scattered among disparate government offices, private companies, and court rooms. Still, Hang culled 270 records documenting mishaps —some from newspaper clippings, dossiers at health departments, complaints filed with elected officials, and some showing up on the DEC’s database for spills. Many of the problems -- including fires, blow-outs, methane migration, and spills relating to wells or infrastructure –- remained unresolved and partially documented.

Hang’s analysis, which I wrote about in a series of reports for the Press & Sun-Bulletin and later in Under the Surface, drew sharp criticism from industry and regulators who dismissed it as overblown.  A few hundred cases, they said, represents a negligible proportion of the tens of thousands of wells drilled through New York’s history. Still, the cases were troubling then and they are troubling now, mostly because they represent a subset of a greater number of problems that will remain unknown without a reliable and comprehensive system to document them.

In matters of transparency, the oil and gas industry operates mostly on its own terms.  It works on private land under contract with landowners. Chemicals pumped into wells are exempt from the Safe Drinking Water Act, and waste that comes out is exempt from federal hazardous waste laws. The absence of a federal regulatory baseline in these two critical areas leaves a lot of grey area.

And it gets greyer. The DEC, like other states, adopts a laissez-faire approach to much of its oversight.  Agency’s are understaffed and rely primarily on paperwork submitted by operators. Complaints involving water contamination are often settled privately between leaseholder and drillers, and they often end with non-disclosure agreements that eliminate any public paper trail.

William T. Boria, a water resources specialist at the Chautauqua County Health Department, was frustrated by this very approach.  He reported his agency had received more than 140 complaints related to water pollution or gas migration associated with nearby drilling operations. “Those complaints that were recorded are probably just a fraction of the actual problems that occurred,” he stated in a 2004 memo summarizing the issue. For fifty-three of those cases filed from 1983 to 2008, county health officials tabulated an informational spreadsheet that cited methane migration, brine pollution, and at least one home evacuation resulting from a water well explosion. “A representative I spoke with from the Division of Minerals [of the DEC] insists that the potential for drinking water contamination by oil and gas drilling is almost nonexistent,” Boria wrote in his memo to a party whose name was redacted. “However, this department has investigated numerous complaints of potential contamination problems resulting from oil and gas drilling.”

The problem is worse in Pennsylvania, where 200,000 or more abandoned wells are more or less hidden under the landscape. In September, 2009, the DEP compiled a draft of known cases where methane leaked from abandoned or working wells.  According to the briefing, methane migration from gas drilling, had “caused or contributed to” at least six explosions that killed four people and injured three others over the course of the decade preceding full-scale Marcellus development. The threat of explosions had forced 20 families from their homes, sometimes for months. At least 25 other families have had to deal with the shut-off of utility service or the installation of venting systems in their homes. At least 60 water wells (including three municipal supplies) had been contaminated.

What does this mean for the future? It’s hard to know where to start, but focusing on the cost of the problem is a good place. Plugging a single well can cost between $5,000 and $50,000, according to estimates from the DEC. That means the bill for dealing wells on New York’s priority list alone would cost between $24 million and $236 million. In economic terms, this cost is “externalized,” which means that it is not borne by businesses or their consumer. Rather, it’s falls to taxpayers, or comes at the expense of public health and safety.

In many ways the orphan well legacy is similar to the abandoned mine legacy that continues to foul water and create public hazards in Pennsylvania and other states, and it’s a manifestation of an important aspect of the extraction industry overall. Coal, natural gas, and oil provide modern-day comforts beyond historical comparison. As energy consumers, we should embrace a moral obligation to understand where our energy comes from and at what cost as we evaluate tradeoffs.

Monday, September 16, 2013

New study: EPA on target with estimates of methane leaks PNAS offers latest contribution to controversial field

(Updated Sept. 17 with statement from Cathles and link to Dot Earth post. Updated Sept. 18 with link and reference to Steve Horn’s report of industry connections to the study.)

The latest in a string of studies gauging the volume and impact of methane leaks from shale gas development supports the validity of current estimates by the federal government to direct policy.

The peer review study released Monday afternoon by the Proceedings of the National Academies of Science reports direct measurements of methane emissions at 190 onshore natural gas sites in the United States. The report found:

Total emissions estimated based on measurements in this work (2,300 Gg) are comparable with the most recent EPA national GHG inventory (2,545 Gg) in the 2011 inventory, released in April 2013.

The PNAS study represents a collaboration between the industry, the Environmental Defense Fund, and academic teams from the University of Texas, Arizona State, Temple, Berkley and other institutions. It found that lower-than-expected leaks at specific shale gas well sites were largely offset by greater-than-expected leaks elsewhere in the gas processing and transmission system:

The measurements indicate that well completion emissions are lower than previously estimated; the data also show emissions from pneumatic controllers and equipment leaks are higher than Environmental Protection Agency (EPA) national emission Q:8 projections. Estimates of total emissions are similar to the most recent EPA national inventory of methane emissions from natural gas production.

The report will surely stimulate controversy on the critical issue of whether natural gas is an effective means to transition away from energy sources that exacerbate climate change, and whether the federal government is armed with enough information to oversee the industry. Natural gas burns cleaner than coal, with less carbon and virtually no particulate matter and other toxic pollutants, such as mercury. But methane is a potent greenhouse gas, especially over the short term. (Oil and natural gas production also releases hazardous air pollutants  -- HAPs --  and volatile organic compounds -- VOCs -- which are not the focus of the study.)

To help inform policy, scientists are making new efforts to gauge how much unaccounted methane leaks into the air at wells, pipelines and processing stations, and what the impact is. According the PNAS study:

These measurements will help inform policymakers, researchers, and industry, providing information about some of the sources of methane emissions from the production of natural gas, and will better inform and advance national and international scientific and policy discussions with respect to natural gas development and use.

(Questions related to the industry’s impact on air are distinct from policy issues related to water pollution. The natural gas industry is exempt from federal laws that govern chemicals injected into the ground, and how the waste that flows back from wells is handled and disposed of.)

The PNAS study is one of several that have emerged in the last two years in the wake of a paper by Robert Howarth and Anthony Ingraffea that found natural gas is not as clean-burning as advertised. Howarth, a climate scientist at Cornell University, has been involved in the discussion of methane’s impact on air since it became a pressing national issue with the advent of the domestic shale gas boom enabled by horizontal drilling and high volume fracking. Howarth and his Cornell colleague Tony Ingraffea essentially kick-started the debate in 2010 when they published a controversial paper challenging conventional wisdom that natural gas production was less of a warming threat than coal.

The topic was again in the news earlier this year when a study by the National Oceanic and Atmospheric Administration in the Uinta Basin in Utah suggested that benefits of natural gas production were offset by excessive methane leaks in the system. Climate change reporter and author Andrew Revkin offers an excellent history of the discussion – along with comments and reaction from academic stakeholders on both sides of the debate -- in his recent post for New York Times Dot Earth.

Howarth characterized the findings in the PNAS paper as representing a “best case scenario” of methane leakage because the measurements were taken only at places where industry allowed access for researchers. By comparison, the Utah study was derived from observations and measurements collected by equipment on planes that flew over broad areas, rather than relying on access to individual sites granted by industry.

The PNAS paper “is not representative of what industry is actually doing, but what it wants to be,” Howarth said. Still, he added, the study is an important addition to the small but growing body of knowledge on the extent and impact of methane leaks.  “It’s a new science, and I’m impressed with what they have been able to do in this short time frame,” he said.

Lawrence Cathles, a colleague of Howarth at Cornell who argues the climate gains from natural gas development outweigh the losses, said it was not feasible that industry could hide or disguise the volume of methane emissions. “Actually, we will know immediately, and in plenty of time to do something about it, if industry is deceiving us,” he said in a statement that can be viewed here. “In order for methane to contribute to greenhouse warming it must increase dramatically in its atmospheric concentration, and this will be easy to notice.

As expected, industry's ties and involvement with the study were immediately challenged by critics upon its release. The Public Accountability Initiative, a watchdog group, issued this statement:

The failure to disclose the significant conflict of interest of one of the authors, Jennifer Miskimins, appears to constitute a violation of PNAS's conflict of interest policy. Miskimins is listed as a professor at Colorado School of Mines in the article, but has been an employee of Barree Consulting, an oil and gas consultancy offering fracking services, since 2012 -- prior to the submission of the study to PNAS. 
The disclosure failure may warrant an erratum or possible sanctions on the authors of the study, according to PNAS rules. PNAS's conflict of interest policy is here: http://www.pnas.org/site/authors/coi.xhtml
A day after this assessment, Steve Horn, writing for DeSmog Blog, reported that nine members of the 11-person steering committee overseeing the study have direct ties to industry interests. You can find the list and the rest of Horn's post here.

Friday, September 13, 2013

Cabot demolishes home central to Dimock water dispute Methane problems persist in 9-square mile no-drilling zone

The Sautner home became focus of the antifracking movement
PHOTO JAMES PITARRESI 
Cabot Oil & Gas executives may have ongoing problems with operations in Dimock Pennsylvania, but the status of water quality at 1101 Carter Road is no longer one of them.

After years of controversy, Cabot last year paid an undisclosed amount to owners of that property, Craig and Julie Sautner, to settle claims that drilling contaminated their water well. As part of the deal, Cabot acquired the 3.6-acre property, the status of which remained a matter of speculation until last week when flatbeds unloaded a demolition excavator and multiple dumpsters in the driveway of the vacant home.

The arrival of the demolition crew marked a concluding chapter of a conflict that began in September, 2008, when the Sautner’s water suddenly went bad after Cabot crews drilled a nearby gas well into the Marcellus Shale. Under oversight by the Pennsylvania Department of Environmental Protection, Cabot attempted to restore the Sautner’s water with a system of filters and tanks, which took up a substantial part of the basement. The system proved ineffective, and the company began delivering bottled water to the house.

Since then, the three bedroom ranch, sitting tidy and plumb under a canopy of maple trees off the bucolic dirt road, has become a symbol of the anti-fracking movement in the heart of Cabot’s most prolific well field.

EPA investigation begins at Sautner home in Jan. 2012
PHOTO JAMES PITARRESI 
As drilling intensified in the area, Cabot began dealing with similar water complaints at dozens of other homes in the Carter Road area. After investigating the complaints, the DEP held Cabot drilling operations into the Marcellus Shale responsible for methane contamination in 18 water wells, and eventually ordered the company to install an $11 million pipeline to deliver water to the homes. Cabot resisted, and the DEP’s order caused a political fracas that split the community. A group of residents, including those receiving royalty payments and other compensation from the company, sided with the industry and characterized those demanding the water line as malcontents. Plans for the water line were dropped after Tom Corbett, a gas drilling proponent, was elected governor in 2010. But the DEP continued to enforce a ban on drilling in a 9-square mile area around Carter Road where problems persisted.  The primary constituents affecting the wells – methane, arsenic, barium and other metals -- are naturally occurring, and also a product of drilling.

My coverage of this story for the Press & Sun-Bulletin, and later in writing Under the Surface and posts for this blog, brought me into the Saunter’s home on several occasions. The house, with three bathrooms and a finished basement, was fairly new and well kept. A barn-star adorned unblemished vinyl siding next to the garage entrance, and America the Beautiful was inscribed in a silvery stencil on the wall opposite the entrance in the main foyer. The interior decor reflected the Sautner’s fondness for wall art and country nick knacks, carefully arranged, along with framed photos of the Sautner’s teenage children – Cody and Kelly -- and their various pets, including Emmi, an overprotective Chihuahua that had to be contained when visitors arrived.

Cabot contractors demolish the former Sautner property
PHOTO TOM WILBER
The home drew national media attention in 2012, when the federal Environmental Protection Agency, assessing data compiled by Cabot and the DEP, determined that the aquifer feeding the Sautner’s well and other homes in the area showed hazardous levels of pollution. Richard Fetzer, the EPA’s site coordinator, summed it up this way in an internal memo on Jan. 19, 2012: “What is clear is that this data strongly suggests that hazardous substances have been released and are present in some home wells at levels that may present a public health concern.”

The federal agency began it’s own series of tests, and found arsenic, barium, manganese, chromium, and methane in five of 61 wells at levels “that could propose a health concern.” The agency determined no follow up was necessary, however, because residents of affected homes had been notified and polluted wells were taken off line or equipped with filters. The contamination -- in roughly 8 percent of the wells tested -- was from naturally occurring compounds that are also used in or associated with drilling operations, which can exacerbate existing problems or introduce new ones.

Frustrated that Cabot avoided accountability for the problem, the Sautners emerged as dedicated and nationally visible critics of the industry with a degree of animosity that grew with each passing year. They filled their yard and garden with anti-fracking posters, and jugs of brown water. They appeared on television and radio shows and were featured at anti-fracking rallies and concerts, typically carrying the water jugs that became something of a trademark of the movement. Notably, the Sautner’s story was featured in Gasland, the Emmy-award winning film by Josh Fox that premiered on HBO in 2010, and which was largely responsible for inspiring the anti-fracking movement.

The Sautner’s approach -- blunt, antagonistic, and sustained – was eventually met by counter attacks from Cabot and gas supporters, both locally and nationally, determined to discredit their claims. While Josh Fox portrayed the Sautners as victims-turned-activists in Gasland, filmmaker Phelim McAleer, from Ireland, depicted them in his film Frack Nation as self-serving and exploitive phonies. (My reviews of both films can be found here.)

A new message at 1101 Carter Road
PHOTO TOM WILBER
The story is complicated by water quality tests that show different things at different times to different parties, and a settlement with Cabot that forbids parties to talk about the case. We know that, while the Sautner home apparently passed spec when the EPA took samples in January, 2012, it had a documented history of pollution prior to that. We also know that the EPA confirmed water problems at five homes. And we know that, in addition to whatever other terms the Sautners settled with Cabot, they received  $167,500 for their property; and it struck me as newsworthy when I heard that contractors working for Cabot had arrived last week to demolish the home.

I placed a call to Cabot spokesman George Stark, who told me that the company had a potential buyer for the land and that it was more marketable without the house.  Stark said he did not know if the land would be developed, and could not offer other details.

An obvious line of thinking, reflected on anti-fracking list serves, is this: With no home, there is no well, and with no well, there is no liability related to water pollution, at least at 1101 Carter Road. But water pollution at other homes continues to plague the company. Regulators are now focusing on methane pollution in three water wells about a mile south of the Sautner home, where Carter Road tees into State Route 3023. The DEP has indentified Cabot’s Costello gas well at this location as the primary suspect.

Stark said that a service rig, which has been at the site for months, allows crews to “monitor” the casing of the gas well, which appears sound.

DEP officials explained it differently. They have not pinpointed a source, according to a recent report in the Scranton Times Tribune quoting DEP spokeswoman Colleen Connolly. But they have determined that the suspect gas well is "unviable" and will have to be plugged. In an email response to my query, Connolly reported that Cabot is ”continuing remedial efforts” at the Costello gas well and “evaluating the effectiveness” of the work.  Methane levels are fluctuating, she said. Additionally, tests have shown levels of iron and manganese that were elevated but within standards in some water samples. Elevated levels of these elements is “not uncommon during gas migration,” she reported.

New and substantial research shows that methane migration from shale gas development is not an isolated problem. A recent study published by the Proceedings of the National Academy of Sciences shows that methane concentrations to be, on average, six times higher for homes with water supplies a kilometer or less from Marcellus Shale gas wells. Ethane, another component of natural gas, averaged 23 times higher for homes within a kilometer from natural gas wells.

The Sautners were not on hand to see the demolition of their former home. After the settlement last year, they moved away – first to Ithaca New York, and later to Tennessee. The new owner, not surprisingly, had removed all the anti-fracking signs in the yard and replaced them with a single blue placard that read “Dimock Proud! Where the water IS clean and the people are friendly.”

The excavator raised its boom and swung it toward the side of the garage. It came to an abrupt stop just before impact. The operator then raised the talons of the bucket to the top of the garage, and guided them in a slow arch, peeling back a swath of roof. The machine began biting into the asphalt tiles, roof boards and rafters. Within an hour, the two-car garage was mostly gone, and the machine continued chewing apart the house and packing wads of siding, insulation, wiring and splintered timber into dumpsters. By the end of the next day, all traces of the house were gone, except the foundation, which was filled in shortly thereafter.

The Sautners are bound by the non-disclosure clause from discussing the Cabot settlement or the water issue. But Craig Sautner did offer this about the demolition: “Their (Cabot’s) actions speak louder than words. There is nothing that I can say that tells the story any better than what they did.”

Time will tell whether 1101 Carter Road remains an uninhabited part of Cabot’s oil patch. The company, meanwhile, is staking much of its future on the gas field in northern Pennsylvania. According to Richard Zeits, reporting for the financial website Seeking Alpha, Cabot officials anticipate at least 3,000 future drilling sites on several hundred thousand acres in Susquehanna County. Yet at the heart of this area, where it all began, the future of the nine-square mile no-drill zone remains awkwardly bound to its legacy of water issues.

Note: This video of the demolition was taken by Vera Scroggins, an anti-fracking activist who lives in Susquehanna County.







Sunday, August 11, 2013

Records add context to EPA’s aborted Dimock mission Letter from federal hazmat chief shows focus on Cabot

EPA officials begin investigation in Dimock in January 2012
PHOTO BY JAMES PITARRESI
More records are coming to light that show the EPA ended its investigation last year into the impact on fracking on Dimock water wells in the face of political pressure.

After finding arsenic, barium, manganese, chromium, and methane in wells at levels “that could propose a health concern” the agency declared no follow up was required because residents of affected homes had been notified and polluted wells were taken off line or equipped with filters. The contamination -- in roughly 8 percent of 61 wells tested -- was from naturally occurring compounds that are also used in or associated with drilling operations, which can exacerbate existing problems or introduce new ones.

The issue – one of national policy (or not) -- is recently getting the attention it deserves. Last month Neela Barnerjee of the LA Times reported that an internal EPA power point presentation showed that agency staff warned that methane pollution in Dimock was a likely result of shale gas operations that can cause long-term damage to aquifers. On this blog, I have reported that the EPA quietly turned the results of its investigation over to a sister agency called the Agency for Toxic Substances and Disease Registry, where the outcome faces an uncertain fate. The ATSDR lacks the enforcement muscle of the EPA, has a relatively small budget and staff, and is notoriously slow.

But there’s more to it, and much of the back-story can be found in a series of internal correspondence and documentation uncovered through a freedom of information request by Laura Legere, of the Scranton Times Union. These memos and others now available on line show EPA officials were urgently concerned about pollution documented in Cabot’s own testing of the water, as well as files kept by Pennsylvania Department of Environmental Protection. This was the starting point of the EPA investigation, which intended to “characterize” conditions that were causing disconcerting test results.

A memo dated Dec. 7. 2011 (date corrected from original post) from Jon Capacasa, director of the EPA’s Water Protection Division, captures the urgency of the EPA’s request to the ATSDR to evaluate the health risk of chemicals already documented by Cabot and the DEP.

We believe that the private wells in and around the Dimock area have been negatively impacted by the Cabot natural gas drilling process as evidenced by the presence of methane, butane, propane, ethane, ethene, etc., related gas compounds and also the presence of high concentrations of secondary contaminants like aluminum, iron, manganese, etc. 
We have recently received additional data identifying additional organic chemicals Butyl benzyl phthalate, Triethylene Glycol and 2 Methoxyethanol among others....
This is an urgent matter to the Agency so completion of your review within the next two months is requested.

While EPA staff found the matter urgent, they also noted that test results were not produced by the agency itself. To get their own data, staffers were mindful about overstepping the agency’s jurisdictional boundaries, which are limited due to fracking industry’s exemptions from the Safe Drinking Water Act and the Resource Conservation and Recovery Act. In justifying the Dimock investigation, the EPA recognized the issue to be “nationally significant and precedent setting” under the federal Superfund law, as detailed in this Jan. 19, 2012 scoping memo from site coordinater Richard Fetzer.

EPA routinely acts under CERCLA [superfund] to protect public health first while it acts to further define contamination. …
Because the action appears to be nationally significant and/or precedent-setting, the Region will continue to coordinate closely with Headquarters. EPA also will maintain coordination and communications with the PADEP. In taking this action, EPA is aware of and has considered the potential applicability of the natural gas exclusion under CERCLA, the Bensten Amendment under the Resource Conservation and Recovery Act (RCRA) and the exclusion to the definition of the “underground injection” under the Safe Drinking Water Act (SDWA). EPA has concluded that this action is appropriate under CERCLA at this time.

The original scope of work, which was later dropped, included determining the source of pollution. In a letter dated Jan. 6, 2012 notifying Cabot attorney Kevin Cunningham of the investigation and a request for records, EPA’s hazardous cleanup director Ronald Borsellino stated the agency was “investigating the source, extent and nature of a release or threatened release of hazardous substances” related to the company’s operations.

Fetzer’s Jan. 29 internal memo sumed it up this way:

What is clear is that this data strongly suggests that hazardous substances have been released and are present in some home well at levels that may present a public health concern. 
Current data does show arsenic and manganese at higher levels than may be typically found in post drilling samples.  Since arsenic and manganese are naturally occurring substances, EPA’s assessment will include comparison of background concentrations present. 

All this qualification, of course, was partly the product of due diligence by the EPA to make its investigation withstand the expected pushback from the state and the industry and to make a case for involvement under Superfund.

States generally are protective of their jurisdiction over shale gas, and this is a critical piece of context. The EPA was conducting a similar investigation in Pavillion, Wyoming, where it found evidence that shale gas development polluted water wells of homes on the Wind River Reservation. Predictably, the agency faced a hostile reception by Wyoming Gov. Matt Mead, a shale gas proponent who characterized the federal action as an example of regulatory overreach. (The EPA recently aborted its plans for a peer reviewed study of its work in Pavillion and turned the investigation over to the state.) The EPA faced a similar reaction from Pennsylvania state officials.

On Jan 5, 2012, (then) Pennsylvania DEP director Michael Krancer wrote to EPA Regional Administrator Shawn Gravin, citing Wyoming Governor Mead’s criticism of the EPA’s investigation in Pavillion. In Krancer’s words, that criticism involved:

the technical, scientific and cooperation shortcomings of EPA’s activities with respect to that state regarding Pavilion and there is no need here to catalogue those in his [Mead's] letter. Suffice it to say that we hope the EPA’s efforts here not be marked by the same rush to conclusions and other deficiencies here as it was and continues to be in respect to the Pavilion matter. . I ask that your efforts be guided by sound science and law rather than emotion and publicity.

Krancer copied a group of Pennsylvania legislators on his letter.

All this correspondence shows how the EPA was in a defensive position from the get go, even though its tests later affirmed a persistent problem with arsenic and methane in some wells. In one well, EPA tests found arsenic at nine times the federal safety standards, prompting the agency to call for an alternative source of water  because the levels posed “significant threat to the residents health,” according to an internal memo from Dennis Carney of EPA’s region 3 to his colleagues. (The name of the well's owner was redacted in the file.)

But there is still a missing piece: Why did the agency suddenly drop its investigation without accounting for the source of pollution in Dimock or characterizing the broader groundwater conditions, as it set out to do? The answer has something to do with jurisdictional limits due to the exemptions from federal law. But an overriding element involves Obama’s campaign platform for a second term, when the president was publically and enthusiastically pitching the merits of shale gas and portraying himself as an industry ally. As the campaign heated up in 2012, the EPA investigation could have backfired if held up in the hands of his opponents as evidence that the president is a regulatory zealot. In fact, Cabot Oil & Gas president Dan Dinges wasted no time exploiting this angle in an open letter -- shortly after the company was put on notice by the EPA – which was promptly featured in a report by Mark Drajem for Bloomberg:

EPA’s actions in Dimock appear to undercut the president’s stated commitment to this important resource,” Chief Executive Officer Dan Dinges wrote today in a letter to EPA Administrator Lisa Jackson. “EPA’s approach has caused confusion that undermines important policy goals of the United States to ensure safe, reliable, secure and clean energy sources from domestic natural gas.
The EPA said Jan. 19 that it would deliver water to four families in Dimock, where residents say their water has been contaminated during hydraulic fracturing by Cabot. The EPA will also test water at 60 homes to assess whether any residents are being exposed to hazardous substances, the agency said.
Dinges, who also is Cabot’s chairman, said today that the company provided more than 10,000 pages of data to the EPA and there is “no credible evidence” that the water needs further analysis by the federal agency. 
“It appears as though the EPA’s decision is politically motivated and not based on a legitimate desire to address environmental concerns,” the company said in a statement issued with Dinges’s letter.

Dinges was clearly hitting effective buttons. In the world we live in, politics in addition to science is an element of policy making. And here is an example where the direction of science was driven by political forces and interpretations.


Wednesday, May 15, 2013

Efforts to test Marcellus in upstate NY produces leaky well Carrizo crews on site to fix casing problem in Owego

Service rig at leaky Marcellus well in Town of Owego NY
Photo provided 
A Houston company’s pioneering venture into the Marcellus Shale in upstate New York has produced a leaky gas well that the company is trying to fix before abandoning the project or turning it over to another company.

A service crew is now working on the Wetterling Well in the Town of Owego after state inspectors found gas leaking from the ground between the bedrock and the cement casing last fall. Carrizo Oil and Gas drilled the vertical well in October to test the Marcellus Shale. The formation, one of the largest gas reserves in the world, runs from upstate New York through Pennsylvania and into parts of Ohio, West Virginia, and Maryland. Carrizo began the project in the Town of Owego even though New York state is not issuing permits for the kind of horizontal drilling and high volume hydraulic fracturing necessary for commercial production. The permitting moratorium is tied to a review of health and environmental impacts by the state Department of Environmental Conservation, now in its fifth year, and a growing protest movement against shale gas development in New York state.

Problems were first confirmed at the Wetterling well on Oct. 25, according to DEC records, when an inspector, responding to updates from company representatives, found levels of combustible gas leaking from the well bore. The leak averaged about 20 cubic feet per day and was coming from somewhere between the cement casing and the ground – an area known as the annulus.  According to the records, a company representative asked the agency last fall if it would be “OK to abandon the well with a vent pipe.”

The DEC inspector, who is not identified by name on paperwork released in response to a Freedom of Information Request to an area resident, reported in notes:

I told him that I did not know and the New York has no specific guidelines about the matter. I went on to say that I have seen other companies re-entering wells of their own accord to fix small leaks. We agreed to continue monitoring the well and that Carrizo would submit an interim plugging report…

The DEC is updating regulations for shale gas as part of the environmental review, called the Supplemental Generic Environmental Impact Statement (SGEIS). In February and March, officials said they expected the report to be issued within weeks. More recently they have said there is no timetable for its completion.

Under current rules, New York state gas well inspectors have broad discretion in interpreting conditions and tailoring enforcement efforts for a given permit. The leak at the Wetterling well was allowed to continue over the winter, before the company began work to fix the problem this spring.

Richard Hunter, vice president of Investor Relations for Carrizo, confirmed that a service crew had set up a rig at the Wetterling site to attempt to locate exactly where gas was leaking from. Hunter explained that crews inserted audio equipment into the hole to listen for the leak – similar to listening for a leak in an inner tube. When they locate the spot, he said, they will “squeeze in more cement” to plug the void between the casing and the ground.

Methane leaks, and the extent to which they are disclosed, have caused major problems for the industry’s image in Pennsylvania. Chronic problems in Dimock, Pa. became a showcase for the anti-fracking movement after methane leaked from production wells into an aquifer used by area residents. The problem became apparent after one water well exploded in 2009, leading to greater public awareness of risks related to shale gas development. The Pennsylvania Department of Environmental Protection has documented dozens of other cases of methane leaks from gas development, some of them fatal.

Industry officials say problems with methane migration from drilling are exaggerated, and point out that methane can leak into water naturally.

Hunter said the Owego well was drilled as part of a contract with a company that sold assets to Carrizo.  From the beginning, Carrizo planned to plug and abandon the well after testing it, Hunter said, although it could be an asset in future business deals. Carrizo is not likely to pursue development in New York given the regulatory uncertainty, he said. But another company might.

 “The thickness, rock quality and everything in the well was very encouraging, and the same kind of thing we are seeing in West Virginia where we are having success,” Hunter said.

Note: Area resident Gerri Wiley provided records obtained by the Freedom of Information Law from the DEC and a photograph for this report. Sue Heavenrich also reported on the well today on her blog, The Marcellus Effect 

Friday, May 10, 2013

Reporting of shale gas story influenced by Internet trends PR, advocacy, fill niche as journalistic void grows


This post considers the latest news about methane migration in Pennsylvania. But to tell that story, I first have to tell another story.

In 2010, the number of public relations specialists in the U.S. had risen to an all time high of 320,000. By contrast, the number of reporters had fallen to a low of 58,500. The fantastic trajectory of the PR business will hold strong at least through 2020 with a 21 percent growth curve, according to Statistics at the Department of Labor. Over the next decade, the number of new PR jobs alone will exceed the payroll of the entire news industry.

For professional reporters and those who value their vocational contributions to society, it’s only going to get worse. The reporting payroll is projected to decline by another 6 percent by 2020. That means the public will be receiving more information billed as news that has been shaped, spun, or fabricated by professionals working within the narrow parameters of particular corporate interests. This growing rubric of the Fourth Estate will use the traditional tools – press releases and phone calls -- to leverage stories into news outlets. It also has at its disposal Facebook, Blogger, and Twitter – powerful tools to bypass the working press altogether.

At the same time free content on the Internet has eroded the number of staff writers and newscasters and lent traction to corporate interests, it has given rise to a volunteer corps of citizen journalists, muckrakers, and filmmakers. Josh Fox and Michael Moore have become role models for a new breed of advocacy journalists who, once merely consumers in the Market Place of Ideas, now have new access as vendors via social networks. By way of example, I have written about Vera Scroggins, an amateur videographer who lugs equipment over hill and dale, into town and country, recording municipal meetings, toxic spills, and interviews with residents. She filmed operations of shale gas operators that were beyond the wherewithal of the sparse professional reporting staff in rural northern Pennsylvania, and posted footage on the Internet, providing a repository of information otherwise unavailable. Participation of people like Vera is a good thing. It’s empowered the populous by giving everybody a voice -- access to the public stump in the square, and the ability to share information.

But it comes with a cost. The indy and PR news sources that thrive on the Internet are a welcome boon to free speech, but they also tend to undermine the traditional free press, which is unable to generate on-line revenue sources needed to sustain professional reporting. Beyond that economic consideration, there is the matter of content: Independent news largely comes unfiltered for noise, bias, and confusion. When newspaper reporters get a fact wrong, large or small, they are called on it. If necessary, corrections are issued, and their frequency is considered in a reporter’s annual performance evaluation. Additionally, reporters’ work has to pass muster with a staff of editors. These editors undoubtedly have varying political views, but they are all professionally committed to serving the expectations of a diverse readership. Editorial staff is separate from the news staff, both in the physical segregation of office space and in clearly defined roles.

As the public turns to free content on the Internet at the expense of paid content by professional reporters, the type of credibility and checks and balances that professional journalists have traditionally brought to the public are disappearing. The depth of reporting, and the newspaper’s traditional role as advocate for open government and transparency in matters of public interest are also suffering with the decline of revenue available for investigative journalism. It’s not just about the revenue, it’s about the source of revenue – from an independent readership and viewers – that makes the press such an effective watchdog.

Now for the other part of this story.

The gas industry claims that drilling is not a public health threat, and that fracking fluid is harmless. In support of these claims it cites lack of evidence tying operations to pollution and illness. What’s missing is full disclosure. The industry operates on private property without the level of regulatory oversight that other industries face. (It is exempt from both federal Safe Drinking Water Act and  hazardous waste laws that require disclosure of what goes into and what comes out of the ground.) When something goes wrong, it is often a matter between the company and the homeowner to resolve. When legal pressure necessitates, the industry can make the problem go away with settlements that contain non-disclosure clauses.

A recent example came to light with a personal injury claim against Range Resources and other operators by a family in Mt. Pleasant Township, Pa. Range Resources agreed to pay the Hallowich family $750,000 to settle a lawsuit for personal injury damages related to operations near their home. The case was settled by the parties in 2011, no official complaint was filed, and the records were sealed.  

We only know this because the Pittsburgh Post-Gazette and the Washington Observer-Reporter filed and won a suit to get the records unsealed. The unsealed documents also revealed that the PA Department of Environmental Protection did not maintain records of an investigation into a complaint about water contamination at a neighboring property, and that the investigator, Mark Kiel, soon left the agency to work for the gas drilling company he had been investigating. For every case that gets unsealed, there are hundreds, if not thousands of cases sealed in documents that are never opened because their public relevance goes unchallenged, and that’s largely because mainstream media outlets have fewer resources to do that then they did in the golden age of investigative journalism.

Meanwhile, both the DEP and gas companies are able to keep matters of public interest unfolding in Susquehanna County from full public view. Last week, the DEP issued a brief statement that exonerated gas company WPX of causing methane pollution in three wells in the Township of Franklin Forks. Yet the agency is not releasing any results related to the investigation or to its conclusions. It is known that the Franklin Forks area and the nearby Salt Springs State Park contain rich methane reservoirs in both deep and shallow formations (hence the attractiveness of the area to petroleum operators). Although the DEP released its conclusions that the gas affecting the water wells was not from nearby gas wells or production zones being tapped by WPX, it did not explain the source or course of pollution at concentrations five times greater than the threshold for explosion risks.

It’s been a high-visibility case dominated by interest groups. Yoko Ono and other celebrities supporting anti-fracking groups visited the site in January to press their case against allowing fracking in neighboring New York state. On the other side of the fence, the industry group Energy In Depth issued a press release titled “DEP Debunks Methane Claims in Franklin Township,” which seized on the conclusion of the DEP investigation as proof that the industry is being vilified. Meanwhile, the landowner of one of the affected wells – the Manning family – is suing WPX for the pollution. Given the trend, it would be unsurprising if this gets settled behind closed doors.

Franklin Forks may have been less of a story if not for events that have unfolded in Dimock Township, about a dozen miles to the south. More than four years after the explosion of a residential water well called attention to the problem, the DEP is still investigating recurring water pollution problems in the middle of a gas field being developed by Cabot Oil & Gas. Wells providing water to several dozen homes have been taken off line or fitted with filtration equipment to remove gas and other pollution since the water well of Norma Fiorentino exploded on New Year’s Day, 2009. Under the Rendell administration, the DEP cited Cabot for various violations related to the problems.

Now Governor Tom Corbett’s DEP is investigating cases involving two homes in an area where the agency has banned drilling of new wells in the wake of chronic water problems. Recent tests showed dangerous levels of methane flowing into residential water wells near the junction of Carter Road and State Route 3023. Yet the problem, in the eyes of the DEP, remains elusive.  “We are slowly getting some test results back,” DEP spokeswoman Colleen Connolly said. “However  - as per our attorney, DEP does not share test results from private water wells with anyone but the private well owner.”

To be clear, the agency has a policy of releasing incomplete data to homeowners, a policy that has produced much criticism but little action. Officials justify the long-standing practice of excluding some fields as a sound method to filter noise from relevant data. Critics argue that the agency cherry picks the data, and the unreleased fields might be useful indicators of drilling contamination and other problems. Moreover, homeowners have a right to all results of water quality tests that can flag health risks.

The fight over the cause and consequences of methane seeping into private water wells in Susquehanna County is one example of an issue that could stand a little more legal leverage from professional news outlets. While some outlets, including the Scranton Times-Tribune, do what they can with declining resources to report the story, readers would be well served by a legal challenge to the DEP’s refusal to release ground water analysis paid for by tax-payer money concerning matters of overwhelming public interest. News outlets, of course, have to choose their battles and they have less discretion than ever as their revenues fall. In the meantime, we do our best with half-page press releases issued by regulatory agencies, rhetoric from talking heads for or against fracking, or hyperbolic “I told you so” by PR firms and activists representing stakeholders.