examples from frac presentation regulatory framework

$: Examples from frac presentation regulatory framework$
1/9/2014

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FRACTURINGREGULATORY FRAMEWORK

FRACTURING REGULATIONS


• Finally, a 51st state has been admitted to the union!

• Seriously, regulations regarding fracturing have been “evolving.”


• Fracturing has been done since 1940’s, so why the new regs?– Reaction to safety and environmental problems

– Reaction to quality of life problems (trucks, viewsheadimpact)

– Expansion of fracturing to vastly more area• Right thru the middle of town, instead of the middle of

nowhere



• Regulators have been caught flat-footed. Scanty existing regulatory framework.– In some cases, state oil and gas commissions have

been reluctant and slow to react

– Some of them have been outflanked by other state agencies, for example, agencies having jurisdiction over groundwater, or by local, regional and federal entities

– “Heads have rolled.”


LAWS VS. REGS

• Laws are passed by a legislative body– You could have a law instructing the

regulators to write new regs

• Regulations are written by a regulator– There is a review and comment period

– Then the regs are adopted and enforced• There is not a “comment period” after adoption,

they can just go ahead and enforce the regs

REGULATORY

TERMINOLOGY

• Incorporated by reference– Can give non-regulatory documents the force of regulations

– Reduces the amount of detail to be written and reviewed in the regs

• These excerpts from the Code of Federal Regulations applies to federal offshore wells (but not onshore wells)

• This section of 250.198 is eight pages long. Eighty-eight documents are incorporated by reference

REGULATION

Owner

Text Box

Slides excerpted from my upcoming class in Colombus, Ohio on Fracturing. (There are some slides left out, so the slides may not "flow" from one to the next).

$: Examples from frac presentation regulatory framework$
1/9/2014

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FRACTURING REGULATIONSUS FEDERAL & TRIBAL


• Complex issues, multiple federal agencies

• Two heavyweights:

• EPA – jurisdiction for environmental issues– But if you are exposed to chemical at work,

OSHA has jurisdiction

• BLM – jurisdiction on federally owned lands and some tribal lands– BLM is under the Department of the Interior

US FEDERAL & TRIBAL

FRACTURING REGULATIONSUS STATES

US STATES

• Example: Wyoming’s new regs

• Five major issues were addressed: 1. Groundwater protection

2. More detailed requirements for casing setting depths and cementing

3. Disclosure of well stimulation fluid chemical additives,

4. Provide information on pressures, frac height and length

5. Handling of frac flowback water


AGENCIES• Example:

• The Delaware River Basin Commission

– Federal/interstate agency

– Created in 1961 by federal legislation

– Manages the water resources in the Delaware River Basin.

– Commission:• Governors of the basin states

(Delaware, New Jersey, New York, and Pennsylvania)

• Commander of the U.S. Army Corps of Engineers North Atlantic Division

• Developing gas regulations for their jurisdiction

Owner

Text Box

Slides excerpted from my upcoming class in Colombus, Ohio on Fracturing. (There are some slides left out, so the slides may not "flow" from one to the next).

examples from frac presentation regulatory framework

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