Oil, Gas Companies Lobby White House To Block Hydraulic Fracturing RuleSource: Bloomberg BNA | 21 October 2014
Representatives of ExxonMobil., Halliburton, Chesapeake Energy, and other oil and gas producers met with White House officials and urged them to not to proceed with a final rule to regulate hydraulic fracturing on federal and Indian lands, online meeting records show.
The rule, which was proposed by the Interior Department’s Bureau of Land Management and is being vetted by the White House Office of Management and Budget (OMB), will have a significant impacts on the industry, and its effects have not been adequately analyzed, according to an American Petroleum Institute handout distributed at the meeting.
“The BLM rule adds an unnecessary and duplicative layer of regulation on top of the already strong and stringent state regulation of hydraulic fracturing,” the document said. “This added layer will increase costs, delay permitting, and will slow domestic energy production, all at the expense of the American taxpayer.”
The meeting, which was requested by the API and held 6 October, also included representatives from Hess, Devon Energy, Occidental Petroleum, and Marathon Oil, as well as officials from the White House Council on Environmental Quality, Interior Department, and the Office of Management and Budget, according to meeting records.
The rule (RIN 1004-AE26) has been in the works since 2012 after increased use of hydraulic fracturing stoked fears of water pollution from oil and gas development. The regulation will focus on wellbore integrity, fracturing fluid chemical disclosure, and issues related to flowback water, which is the water that comes out of a well along with oil or natural gas.
The rule has been under review at OMB since late August.