Well Site Spill Protection: Impacts, Trends and Technologies for Preventing Releases to Water Sources

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Well Site Spill Protection: Impacts, Trends and Technologies for Preventing Releases to Water Sources Presented by: Tekla Taylor, R.G. and Archie Filshill, Ph.D. InterGEO Services, now a part of Golder Associates, Inc. tekla_taylor@golder.com; archie_filshill@golder.com Logo here

SHALE GAS IN THE NEWS 19 HEAD OF CATTLE DEAD FROM CHEMICAL EXPOSURE Shreveport Times April 29, 2009 SHELL FEELS HEAT IN KAROO SHALE GAS PLANS Business Day, 2011/02/09 REGULATION LAX AS GAS WELLS TAINTED WATER HITS RIVERS BRITISH AUTHORITIES SEE LINK BETWEEN FRACKING AND QUAKES Globe and Mail, Wednesday, June 1, 2011 FRANCE MULLS BAN ON SHALE EXPLORATION Wall Street Journal Tuesday, April 19, 2011 2

Groundwater Impacts Study by UT Austin Energy Institute (Feb. 2013) concluded: No direct connection between hydraulic fracturing and reports of groundwater contamination Many reports of contamination can be traced to above-ground spills or other mishandling of wastewater 3

Spills - Primary Causes Study by Chem Risk LLC on surface spills (presented at AIHce 2013): 343 new spills in Colorado in 2011 with 58 impacting groundwater. Tank battery systems represented a major point of origin for spills Equipment failure, including corrosion was a common cause of a spill Only 3 spills were reported as human error. 4

Compliance.and Perception The rate of environmental violations has steadily dropped as major energy companies have bought up smaller drillers, according to a Journal review of Pennsylvania Department of Environmental Protection inspection records for Marcellus operations from 2008 through 2012 Wall Street Journal, April 1, 2013 5

Spill Response Regulations Colorado Regulated by the Colorado Oil and Gas Conservation Commission Control and contain the spill immediately upon discovery to protect the environment; Investigate and clean up the spill as soon as practicable; Take additional action as directed by the COGCC to prevent or mitigate significant adverse environmental impacts and comply with state soil and ground water standards; Determine the cause of the spill and, to the extent practicable, implement measures to prevent similar spills in the future; Notify the COGCC as soon as practicable, but not more than 24 hours after discovery, if the spill impacts or threatens to impact any state water, residence or occupied structure, livestock, or public byway; Notify the COGCC within 10 days if the spill exceeds 210 gallons; Notify the COGCC within 24 hours if the spill exceeds 20 barrels; and Notify the surface owner as soon as practicable, but not more than 24 hours after discovery, if the spill is reportable to the COGCC. 6

Spill Response Regulations North Dakota Regulated by the North Dakota Industrial Commission (NDIC), through its Oil and Gas Division (OGD) Any spill or discharge of waste which may cause pollution of waters of the state must be reported immediately (Source NDAC 33-16- 02.1-11) The North Dakota Department of Health may require the owner or operator to Take immediate remedial measures Determine the extent of pollution to waters of the state Provide alternate water sources to water users impacted by the spill or accidental discharge Any other actions necessary to protect human health and the environment 7

Spill Response Regulations Texas Regulated by the Railroad Commission of Texas (RRC) The RRC serves as the lead agency for spills or discharges from all activities associated with the exploration, development, or production, including storage or pipeline transportation (excluding highway transport and refined product spills), of oil, gas, and geothermal resources pursuant to Texas Natural Resources Code 85.042, 91.101, and 91.601. Commission rules require all free-standing fluids to be picked up and properly disposed of Impacts to surface waters are reported to the Texas Commission on Environmental Quality (TCEQ) 8

Spill Response Regulations Pennsylvania Regulated by the Department of Environmental Protection (PaDEP) A spill or release causing or threatening pollution of the waters of this Commonwealth must be reported to the Department of Environmental Protection (Source Pa.Code 91.33(a) and 78.66(a)) Remediation of an area affected by a spill or release related to oil and gas operations is required 9

Geosynthetic Lining Systems Goal: To Prevent Soil, Surface Water and Groundwater Impacts 10

Applications of Lining Systems Spill containment on drill pads 11

Well Pad Construction Some designs include a geomembrane liner overlaid by a cushion geotextile and then topped with geocells or other specialty mat or cushioning product 12

Applications of Lining Systems Frac Water, Flowback, and Produced Water Impoundments Stormwater Control Drill Cutting Disposal 13

Mobile Impoundments Used when high water table is encountered Can be deconstructed and reused to reduce cost and to reduce ground disturbance 14

Geosynthetic Lining Systems PA Example FLOWBACK/ DRILL CUTTINGS CONTAINMENT Generally, a more robust lining system Centralized impoundments include a primary and a secondary Goal: containment To prevent liner, with a the detection migration system in between of contaminants. the two liners and groundwater monitoring wells On-lease surface impoundments do not require the above secondary containment and leak detection WELL PAD Many different well pad designs are used The minimum requirement is generally a single geomembrane or geosynthetic clay liner Other designs combine the two materials to form a composite liner 15

Pennsylvania Regulations for Lined Impoundments and Pits Pennsylvania regulation (PA 78.56) : Two (2) feet of freeboard should be maintained at all times The synthetic liner should have a coefficient of permeability of less than 1 x 10-10 cm/s The synthetic liner thickness should be greater than 0.75 mm (30 mils) The protective subbase should be greater than 150 mm (6 inches) thick The bottom of the pit should be at least 20 inches higher than the seasonal high groundwater table The pit or tank should be protected from third parties at all times 16

Engineering Perspective Minimum lining system requirements dictated by state agencies are not consistent. Also, within a single U.S. state, the lining system requirements may differ for pits or tanks containing freshwater or stormwater vs. potentially polluted sediments or liquid BMPs influencing liner system design and selection include: material strength (its resistance to tear and puncture), liner material compatibility with the contained medium, installation methods, quality control and inspection, and maintenance and repair procedures Common geomembrane liner materials are 40- or 60-mil LDPE or HDPE geomembranes Underlying geotextile or geocomposite design to prevent the formation of wales under the liner system and to provide puncture protection Subgrade soil stability and cover soil stability should always be evaluated, and may affect the selection of the liner 17

Contractor Perspective LOCATION, LOCATION, LOCATION! Sites conditions may be challenging Weather conditions need to be considered Quality control is critical: Nondestructive testing Destructive testing Leak Detection Survey cover soil stability should always be evaluated, and may affect the selection of the liner 18

Conclusions There is mounting evidence that impacts to groundwater are associated with surface activities and not caused by hydraulic fracturing There is increasing pressure from the public and regulators to control surface releases and minimize their impacts BMPs from other industries, such as solid waste can be applied Geosynthetics offer versatile and cost-effective solutions in lining systems to minimize the impact of shale gas drilling activities on the surrounding environment 19

Questions are welcome. Thank you for your interest. Presented by: Tekla Taylor, R.G. and Archie Filshill, Ph.D. InterGEO Services, now a part of Golder Associates, Inc. tekla_taylor@golder.com; archie_filshill@golder.com Logo here