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Environment

Energy Companies Try New Methods To Address Hydraulic Fracturing Complaints

Source: The Wall Street Journal | 19 May 2014

Thanks to hydraulic fracturing—a technology that uses water, chemicals and sand to unlock oil and gas trapped in dense underground rocks—communities from Pennsylvania to North Dakota are experiencing a boom in energy production. But the industry is facing more intense pressure from communities and environmentalists over its role in increased air and water pollution.

In response, energy companies are pioneering new technologies to curb some of hydraulic fracturing’s worst offenses. They are coming up with ways to cut methane seepage from their equipment, use excess gas that previously had been burned as waste to fuel drilling rigs, and put huge volumes of wastewater from hydraulic fracturing to work on new wells.

The efforts have even won some tentative plaudits from environmentalists. Mark Brownstein, who leads the Environmental Defense Fund’s efforts on natural gas, says companies should be required to do more to keep air and water clean. But he says there are some promising signs that companies are trying new things and revising certain processes, if only because they’ve realized it’s in their best interest.

“With the right technology, the right management practices, and the right regulations properly enforced,” he said, “there are things we can do to reduce the risks that are associated with unconventional oil and gas development.”

CEA Dispels Misconceptions Around Shale’s Environmental Impact

Source: Rigzone | 6 May 2014

Hydraulic fracturing, a technology that has been around for decades, has allowed the oil and gas industry to explore and produce the United States’ shale resources. To date, 26 states have active shale developments or potential shale developments; this development has reversed previous declines in U.S. oil and gas production, positioning the United States as a potential exporter of liquefied natural gas and as a significant oil producer, said David Holt, president of the Houston-based Consumer Energy Alliance.

However, the rise in shale activity has been accompanied by a proliferation of groups giving a one-sided view of hydraulic fracturing as an “untested technology.” While development of US shale resources should move forward, the oil and gas industry needs to ensure that hydraulic fracturing is done safely and in an environmentally responsible manner, Holt said. CEA, a nationwide association that represents interests ranging from academia and organized labor to energy producers, environmental conservation, agricultural, and manufacturing, is redoubling efforts to educate Americans across the United States on how environmentally responsible oil and gas development can benefit local communities in terms of job creation and economic growth.

“If we can play a role in getting that story out to local officials, groups, and the public and get a balanced discussion, we’re doing a service,” Holt said.

National Research Council Suggests Comprehensive Program To Address Arctic Oil Spill Risk

Source: The Hill | 23 April 2014

The United States is not prepared for oil drilling in the increasingly accessible Arctic waters, according to a new report by the National Research Council.

The report, released on 22 April, found that safety resources and oil response tools are not adequate. The absence of personnel, equipment, communication, and overall infrastructure create a “significant liability” in the event of a large oil spill.

With a changing climate, the research council said, additional research must be conducted to determine the best response options that will leave the least adverse impact on the fragile Arctic environment.

Given the wide range of conditions, unlike others U.S. companies and federal response teams have encountered elsewhere, the report states that no single technique may apply in all spill situations.

The US Coast Guard should bulk up its presence and performance in the Arctic, the report states. It added that the Coast Guard should also expand its bilateral agreement with Russia to include Arctic spill scenarios.

Work between Russia and the United States may be on hold given the recent Ukraine crisis, experts say, but work can still be done at the research level.

The 199-page report, which goes on to detail a number of challenges for responding to oil spills in the remote, harsh terrain of the Arctic, was requested and funded by the Bureau of Safety and Environmental Enforcement, the American Petroleum Institute, and other federal agencies.

Read the full story here.

Marcellus Shale Coalition President Stresses Importance of Earth Day

Source: Marcellus Shale Coalition | 22 April 2014

In recognition of Earth Day, Marcellus Shale Coalition (MSC) president Dave Spigelmyer issued the following statement.

“To shale producers and the robust supply chain that supports this development, who are focused squarely on environmental and workforce safety, every day is Earth Day. Our industry goes to work each day, knowing it is crucial that our tightly regulated operations are conducted with the highest respect for our environment and the communities where we are privileged to work.

“The results of this deeply shared commitment are clear. Today, CO2 emissions in the United States are lower than they have been in 20 years because of the increased natural gas production and use. Leveraging industry-leading technologies, all within a rigorous regulatory framework, our member companies’ collective work is enhancing our environment and making a positive difference across Pennsylvania and the country.

“Earth Day is a reminder that we all have a part to play in protecting and enhancing our environment today and for generations to come. For our industry, continuous improvement is a matter of course. Our commitment to responsibly develop these abundant, clean-burning resources has never been stronger.”

EPA Considers Making Oil and Gas Industry Report Under Toxic Release Inventory

Source: EHS Journal | 22 April 2014

In January, 16 environmental advocacy and grassroots organizations filed a supplement to a petition with the US Environmental Protection Agency (EPA) to add the oil and gas extraction industry to the list of facilities required to report under the Toxic Release Inventory (TRI). Historically, the oil and gas extraction industry was excluded from reporting under TRI. While this industry reports releases under other pollutant release and transfer programs in other countries, such as the Canadian National Pollutant Release Inventory and the European Pollutant Release and Transport Register, it is uncertain whether the EPA will require this industry to report under TRI in the United States. As the EPA considers the petition, there are critical steps the oil and gas industry can take to ensure compliance in the event that the new rule is passed. Specifically, facilities could begin building systems to accurately calculate and track pollutant release and transfer data.

Coast Guard Says Gulf Cleanup Efforts Are Far From Over

Source: Fuel Fix | 21 April 2014

The Coast Guard is crying foul at BP’s statement this week that active cleanup efforts to remove oil along the Gulf Coast shorelines have ended.

While BP claims it has reached a “milestone” in the cleanup process, the Coast Guard says it’s “far from over.”

The semantic squabble began late 15 April after the Coast Guard changed the way it is handling 3 miles of Louisiana coastline where oil consistently turns up.

The Coast Guard opened case files with the National Response Center (NRC) to address reports of oil in those regions, moving the case from the specifically tasked Gulf Incident Management Team that has overseen the cleanup, said Petty Officer First Class Michael Anderson, a spokesman for the management team.

“From the Coast Guard’s point of view, we’re still doing active cleanup operations,” Anderson said. “We’ve had about 1,000 NRC reports across the Gulf Coast in the last 6 months, and those triggered cleanup efforts.”

The Coast Guard said it is beginning routine inspections 17 April and expects continue to clean up the shores, and that moving the cases to the National Response Center is standard procedure in spill cases.

Study Identifies Shale Well Pads With High Methane Emissions

Source: Shale Energy Insider | 16 April 2014

High levels of the greenhouse gas methane were found above shale gas wells at a production point not thought to be an important emissions source, according to a study jointly led by Purdue and Cornell universities. The findings could have implications for the evaluation of the environmental impacts from natural gas production.

The study, which is one of only a few to use a so-called “top down” approach that measures methane gas levels in the air above wells, identified seven individual well pads with high emission levels and established their stage in the shale-gas development process.

The high-emitting wells made up less than 1% of the total number of wells in the area and were all found to be in the drilling stage, a preproduction stage not previously associated with significant emissions.

EPA Reports Falling Levels of Greenhouse Gas Emissions

Source: EPA | 15 April 2014

The US Environmental Protection Agency EPA released its annual report called the Inventory of U.S. Greenhouse Gas Emissions and Sinks (Inventory) on 15 April. This report tracks total annual US emissions and removals by source, economic sector, and greenhouse gas going back to 1990 up to 2012. The EPA uses national energy data, data on national agricultural activities, and other national statistics to provide a comprehensive accounting of total greenhouse gas emissions for all man-made sources in the United States. The EPA also collects greenhouse gas emissions data from individual facilities and suppliers of certain fossil fuels and industrial gases through the Greenhouse Gas Reporting Program.

The key findings of the 1990-2012 U.S. Inventory include:

  • In 2012, US greenhouse gas emissions totaled 6,526 million metric tons CO2 Eq.
  • US emissions decreased by 3.4% from 2011 to 2012. Recent trends can be attributed to multiple factors including reduced emissions from electricity generation, improvements in fuel efficiency in vehicles with reductions in miles traveled, and year-to-year changes in the prevailing weather.
  • Greenhouse gas emissions in 2012 were 10% below 2005 levels.

 

Scientist Urges More Distance Between Water Wells, Drilling Rigs

Source: The Baltimore Sun | 15 April 2014

Maryland regulators are weighing some of the strictest limits in the country on shale gas drilling, but a scientist suggested on 14 April that they still may not go far enough to protect drinking water wells from contamination by methane leaking from drilling sites.

Gas drilling rigs would generally have to be at least 2,000 ft from public or private water wells under rules being considered by the Maryland Department of the Environment, officials said on 14 April during a meeting of the governor’s advisory commission on the issue.

But Avner Vengosh, a researcher at Duke University, told commission members that studies he and his colleagues have done in states bordering Maryland and elsewhere found that domestic water wells were more likely to be fouled with potentially explosive levels of methane gas if they were within 1 km—3,280 ft—of a drilling rig. Water wells farther away rarely had problems, he said.

ExxonMobil Releases Reports on Managing Climate Risk

Source: ExxonMobil | 11 April 2014

All energy sources, including carbon-based fuels, are necessary to meet future global energy demand growth as society manages the risks of climate change, ExxonMobil said in two reports to shareholders outlining the company’s business planning and risk-assessment practices.

“Our analysis and those of independent agencies confirms our long-standing view that all viable energy sources will be essential to meet increasing demand growth that accompanies expanding economies and rising living standards,” said William Colton, ExxonMobil’s vice president of corporate strategic planning.

“It is equally essential that society manages the risk of climate change by increasing energy efficiency and by investing in research into technologies to reduce greenhouse gas emissions.”

The reports to shareholders outline how the company plans capital expenditures, assesses and plans for policies limiting greenhouse gas emissions, and works to reduce emissions. They also include information such as distribution of reserves by asset location and type.

 

Shell Joins Fight Against Climate Change

Source: The Hill | 11 April 2014

Oil giant Royal Dutch Shell is supporting strong cuts to greenhouse gas emissions.

Shell signed a nonbinding document, called the Trillion Tonne Communique, along with 70 other companies such as Adidas and Unilever, which calls for ambitious timelines to bring global greenhouse gas emissions to “net zero” by the end of the century.

“We recognize that over the long term, net global emissions must trend toward zero. Both of our New Lens Scenarios show that this objective can be realized by the end of this century, but not without action by governments to stimulate changes in the energy system and considerable deployment of carbon capture and storage,” a spokesman for Shell said.

The communique is sponsored by the Prince of Wales’ Corporate Leaders Group, which brings business leaders from across the globe together to address climate change.

Statoil Uses New Oil-Sands Technology Amid Rising Carbon Dioxide

Source: Bloomberg | 10 April 2014

Statoil expects to decrease carbon-dioxide emissions per barrel from its Canadian oil-sands projects by 20% within 6 years, responding to environmental criticism of the crude production method.

Statoil’s division in Alberta produces bitumen, a sticky form of oil that’s softened before extraction with steam created in natural-gas-powered generators. Norway’s biggest energy producer said yesterday that carbon intensity from its oil-sands operations rose 25% from a year earlier to 69.7 kg of carbon dioxide per barrel.

Statoil is applying solvents to its steam-assisted techniques and will use valves to better direct steam to areas that need it, Staale Tungesvik, president of Canadian operations, said. The Stavanger-based company also is considering different drilling techniques and more efficient water-recycling processes.

“The difference between oil sands and conventional oil production is that we use gas to heat water to create steam, so the footprint of COis very much out of the generation of steam,” Tungesvik said. “We believe that we have identified technologies that will help us reach our target of reducing CO2 intensity by 20% by 2020.”