BASELINE WATER QUALITY SAMPLING IN SHALE GAS EXPLORATION AND PRODUCTION AREAS



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BASELINE WATER QUALITY SAMPLING IN SHALE GAS EXPLORATION AND PRODUCTION AREAS 1

Scott Haas, Debby McElreath and Mark Hollingsworth Chesapeake Operating, Inc., Oklahoma City, OK and SAIC Presented at GWPC 2012 Annual Forum Nashville, TN September 24, 2012

CURRENT BASELINE WATER QUALITY PROGRAM CONCEPTS Baseline sampling is considered a keystone in our prevention measures to protect drinking water supplies Risk management tool to decrease overall risk Chesapeake has experience in the collection of over 34,000 baseline samples. Dissolved methane has been detected in 25 percent of all baseline samples Significant baseline sampling programs in West Virginia, Ohio, Pennsylvania, Colorado, Wyoming, and North Dakota Methane detections have been found in Arkansas, Kansas, Louisiana, New York, Ohio, Pennsylvania, West Virginia, Colorado, Wyoming, Texas, and North Dakota Highest and most widespread concentrations have been found in Louisiana, Pennsylvania, and Ohio 3

CURRENT BASELINE WATER QUALITY PROGRAM CONCEPTS Water Quality Analysis (pre-drill) using independent environmental consultants (sampling) and analytical laboratories (testing) based on written program documents and procedures Clarifies expectations for consultants and laboratories On-going communications between all consultants and laboratories involved in the program Consistency of sampling procedures Increased comparability of data between consultants and laboratories Field and laboratory auditing conducted by CHK 4

CURRENT BASELINE PROGRAM COMPONENTS Regulatory Components Variety of Regulatory Programs (following list is not all inclusive, examples only) Pennsylvania, pre-drill optional but required participation by operator to maintain legal status. 2500 ft. radius; single pre-drill required. West Virginia, one pre-drill required within 1500 ft. with expansion to 2000 ft. if no well found, or when requested by any resident within 1,000 ft. Ohio, Senate Bill 315, pre-drill 1500 ft. all areas; 300 ft. of pad in urbanized areas or as requested by director. Single pre-drill required. Colorado, specific areas required, pre-drill and post-drill requirements, 2500 ft. sampling radius, Texas, special requirements in certain cities e.g. Grand Prairie, Hurst, Lakeside. Wyoming no formal program. North Dakota no formal program. Kansas no formal program. Arkansas no formal program. Oklahoma no formal program. Pre-drill sampling is recommended by the MSC 5

CURRENT BASELINE PROGRAM COMPONENTS Independent Consultants Identify private water sources Coordinate water sampling survey form delivery Critical element in assisting to identify potential sources of variability, e.g. use prior to sampling Schedule sampling times with residents/landowners, conduct sampling, and follow-up contact Photo documentation during sampling can prove to be a most critical element Field notes, site sketch and field activities documentation specific timeframes for conversion to electronic form Verification of multiple contacts and adequate documentation of refusals for testing Coordinate delivery of results to landowners & state agencies (where required) Assist in Public Outreach Meetings in local community groups 6

CURRENT BASELINE PROGRAM COMPONENTS Independent Analytical Laboratories Analyze for specific indicator parameters to establish general water quality Use scientifically validated methods for testing groundwater and surface water Data Internally Stored in EQuIS Format Able to utilize data for statistical reports Readily access data for complaints or other uses 7

WATER TESTING PARAMETERS AND LANDOWNER REPORTS Chesapeake Standard Baseline Parameters Field Screening: ph, Temperature, Specific Conductance, DO, Turbidity, Eh, Hydrogen Sulfide, GE/FID/PID and LEL readings, General Chemistry: ph, Specific Conductance, Turbidity, Chloride, Sulfate, Bromide, Carbonate Alkalinity, Bicarbonate Alkalinity, MBAS, TDS, and TSS Total Metals: Ag, As, Ba, Ca, Cd, Cr, Fe, Hg, Li, K, Mg, Mn, Na, Pb, S, Se, and Sr Dissolved Metals: Fe and Mn, if field turbidity exceeds 10 NTU Organics: BTEX, O&G (HEM), and Dissolved Light Gases (C 1 -C 3 ) Rush dissolved light gas results if field LEL reading is greater than 10% or sample is effervescent Isotopic Methane: if dissolved methane exceeds 20 mg/l Some states have a lower threshold of 1 to 2 mg/l 8

WATER TESTING PARAMETERS & LANDOWNER REPORTS Chesapeake Resident Package Full Copy of Analytical Laboratory Report How to Read Your Laboratory Report Fact Sheet Frequently Asked Questions (FAQs) Methane Fact Sheets (when dissolved methane is detected) 9

WATER SOURCES & SAMPLING RADIUS Water Sources utilized for household purposes: Bathing Washing Drinking Cooking Other household uses Sampling Radius: One thousand feet (1000 ) from well pad (surface hole) location or state regulatory requirement, whichever is greater Some areas radius is extended (4,000 ) based on location and available water sources 10

BASELINE WATER SAMPLING POINT Sample Collection Point: Non-invasive sampling Dissolved gases should be collected under water head Water Line from Water Well or Spring: Sample point/spigot at well head or prior to treatment/pressure tank Base of pressure tank Sink tap Springs: end of the pipe, outlet, or from cistern/water collection system Surface water: mid-depth from center of water source 11

BENEFITS OF PRE-DRILL SAMPLING & TESTING Better understanding of general water quality in immediate area Water well records obtained during baseline sampling surveys may be incomplete in counties where records are poorly kept Landowner knowledge of water quality is documented in Water Sampling Survey Help identify areas of pre-existing poor water quality 12

BENEFITS OF PRE-DRILL SAMPLING & TESTING Helps establish a baseline of water quality if a complaint is made Use in addition to a timeline for events prior to the complaint Additional data can be gleaned from mud logger data, area data compilations, and evaluation of other possible sources (e.g., legacy wells, etc.) 13

BENEFITS OF PRE-DRILL SAMPLING & TESTING Landowners receive a full analytical report documenting their water quality Provide educational fact sheets to assist landowners in understanding their resident package. Many landowners do not know even the depth of their well Help educate the general public in localized town hall meetings Helps to overcome public perceptions Presents baseline data findings for the general area One-on-one sessions are made available 14

SPECIAL WELL STUDY VARIABILITY IN WATER QUALITY DATA Special year long study of 12 water wells monitored for natural groundwater quality changes. Observations from data collected Water quality data varies naturally and occurs over a range (not a single unique value) Single baseline data should be used with care 15

SPECIAL WELL STUDY SITE 1 16

SPECIAL WELL STUDY SITE 1 17

SPECIAL WELL STUDY SITE 1 18

SPECIAL WELL STUDY SITE 1 19

SPECIAL WELL STUDY SITE 1 20

SPECIAL WELL STUDY SITE 1 21

SPECIAL WELL STUDY SITE 1 22

SPECIAL WELL STUDY SITE 1 23

LESSONS LEARNED Operator s program document must be written Photo documentation is critical Consultants must act as the eyes for the operator at each site being sampled Photos of wellhead, sample point and any special or unusual conditions noted 24

LESSONS LEARNED Document all attempts to provide testing Consultant must document all written and oral contact with well owner to offer water sampling in order to establish due diligence All refusals must be clearly documented 25

LESSONS LEARNED Dissolved methane sampling and analyses require careful consideration Lack of consensus on sampling method for dissolved methane Trained sampling crews use the same sample collection procedure so that sampling bias is consistent Marcellus Shale Coalition has developed Recommended Practices which provide a sampling method which is a consensus guideline for use in the Marcellus shale 26

LESSONS LEARNED Dissolved methane analyses and isotopic methane analysis are not silver bullets Multiple lines of evidence are necessary due to the complexity of the issue Mud gas data, geological data, area groundwater quality data When moving into a new operational area, may need to conduct more isotopic analyses, Especially if there is little to no data available for groundwater in the area 27

QUESTIONS? debby.mcelreath@chk.com scott.a.haas@saic.com