Marcellus Shale advisory board members rack up violations

Published: Wednesday, April 27, 2011, 12:00 AM     Updated: Wednesday, April 27, 2011, 6:38 A By DONALD GILLILAND, The Patriot-News

Eight of the drilling companies with representatives on the Pennsylvania governor’s Marcellus Shale Advisory Commission were cited with environmental violations last year. One of them led the state in violations. All of them contributed to Gov. Tom Corbett’s campaign.  That lends some ammunition to environmentalists’ complaint that Corbett populated the commission henhouse with industry foxes favored for their largesse rather than careful business practices. Industry officials say the representatives bring valuable expertise and talent to the panel.

According to an analysis of violations from the Department of Environmental Protection conducted by Clean Water Action, an environmental group, the companies represented on the governor’s commission accounted for 42 percent of all drilling violations last year — 514 out of a total 1,227.  “It’s pretty shocking,” said Myron Arnowitt, Clean Water Action’s state director. “Some of the very worst companies are on the commission.”  With 174 violations, Chief Oil & Gas led the state last year; Chief’s vice president of government and regulatory affairs, Terry Bossert, sits on the commission. Attempts to contact Chief for comment Tuesday were unsuccessful. Chesapeake Energy had the third-highest number of violations at 132; Chesapeake’s vice president of government relations, Dave Spigelmyer, was appointed to the commission, but chose to step off prior to the beginning of its work.  Other companies with violations serving on the commission are: East Resources (74 violations), Exxon Mobil (66), Range Resources (32), Chevron (16), EQT (15) and Consol (5).  The violations range from administrative oversights to illegal discharge of industrial waste. About one in six wells had problems.

“We’re concerned that some of the folks on the commission are really part of the problem, and we don’t see how they’re going to be part of the solution,” Arnowitt said.

Companies represented on the commission also donated more than $790,000 to Corbett’s campaign, he said. Ray Walker of Range Resources is serving on the commission as the representative of the Marcellus Shale Coalition, an industry group he chairs.

“The commission’s objective is to develop a comprehensive, strategic proposal for the responsible and environmentally sound development of Marcellus Shale,” said the coalition’s spokesman, Travis Windle. “Having subject matter experts — like Ray Walker and others — whose understanding of these highly technical issues is second to none only makes sense.” Range is also widely recognized as one of the most environmentally responsible of all the companies drilling in Pennsylvania. It was Range that told DEP the state’s regulations had to change or its rivers would be destroyed.
That’s not good enough for Clean Water Action.  It’s one of 17 groups that plans to stage a rally outside the commission’s meeting at the Rachel Carson Building in Harrisburg at noon today. The groups are calling for the governor to disband the commission unless citizens groups are given seats at the table. “The rally is really to address the fact — from our perspective — [that] the makeup of the commission is not what it should be to address the problems Marcellus Shale drilling has brought to the state,” Arnowitt said.

Arnowitt was part of an April 13 meeting between environmental groups and both the governor’s energy executive and the DEP secretary. The groups were denied seats on the board, but the officials asked them to supply specific ideas of how to incorporate more public comment into the proceedings. That has not been done. “We’re still putting together ideas,” Arnowitt said. “We’re happy to talk more about how to include more input, but that’s a separate question.”

That disparity between public and private action is telling, said Chad Saylor, spokesman for Lt. Gov. Jim Cawley, who leads the commission.The proceedings are open and transparent, he said, and public comment is still welcome.


To read this article in full online, click here:

http://www.pennlive.com/midstate/index.ssf/2011/04/gas_panel_members_rack_up_viol.html



Advertisements

Video: Natural gas blow back in Bradford county

Frac fluid spills from well for 20 hours at Chesapeake site near Canton. Fluid flowed into a creek, a tributary of the Susquehanna. For more details, see

http://www.wnep.com/wnep-brad-leroy-gas-drillingemergency20110420,0,1884646.story

Do not discuss the chemicals – Lessons from the landman’s handbook

So, I’m posting this email I received from the RDA (responsible Drilling Alliance) out of Williamsport, PA because it is full of all the things that I’ve been certain of since the gas companies and their land men showed up, but now there is actually some proof. At least it is proof enough for me. I always encourage you all to educate yourselves and draw your own conclusions so if you’re just starting to feed your mind with gas drilling info you may want to take a few deep breaths before reading through this one.

“Do not discuss the chemicals”
Lessons from the landman’s handbook

The story of the “Landman’s Manual” hit the Internet with a flourish last week. Many of you may have seen this from other news sources and listservs.

First, a bit of background. The term landman refers to an agent hired by a gas company to negotiate with landowners in order to get a lease signed at the lowest possible price per acre, with the lowest possible royalty payments for any extracted gas.

John Trallo, an RDA member and resident of Sullivan County who has been tireless in his efforts to oppose the gas industry’s industrialization of PA, tells the story as it unfolded. Trallo writes:

“A few weeks ago, I received an email from a woman in Ohio regarding gas drilling. Apparently, someone had forwarded some emails and postings I sent out. The woman had expressed serious concerns about drilling, stemming from reports of problems in Pennsylvania, West Virginia, Arkansas, and Texas that included ground water contamination, reduction in air quality, public health and safety issues, and property devaluation. She told me about a “Landman’s Manual” that she acquired when it was dropped in her driveway after a landman had visited her trying to get her to sign a gas/oil lease. She was concerned about retaliation from the landman, and/or the company he represented, and was reluctant to distribute this to the press. I assured her that her identity would be protected, and that I would look the manual over. Based on my own experiences in dealing with landmen, the combined experience of many people I know, as well as industry reports such as the 2009 Certus Strategies report Managing Stakeholder and Community Resistance to the Marcellus Shale Gas Extraction Project” (delivered at the Pennsylvania Natural Gas Summit in 2009), I’ve no doubt that this document is genuine. I also contacted the company who dispatched the landman, but my calls were not returned.  I therefore decided to distribute the manual to the press, various community groups, and PA legislators.” 

The entire document is available at: http://www.greenlink.org/uploads/pdfs/OIL_TalkingPoints.pdf  

These are the highlights:

Don’t give them time to think: “It is critical to obtain a lease signature in the first meeting, or at least the agreement to sign and take the lease to a notary. Drive them to the notary if you have to.”
Avoid talking about the environment: “At any point in the pitch if talk turns to local issues, environmental hazards, etc.. a good way to re-direct the conversation is to re-engage over the nation’s energy needs and the desire to be oil self-reliant.”

Whatever you do, don’t let them talk about fracking: “Hydraulic Fracturing, ‘Fracking’ – This technique to develop gas resources is coming under scrutiny, both in the mainstream media with articles appearing in the New York Times, and even in Hollywood with the movie ‘Gasland’. Expect questions on this topic and be ready to diffuse land owner concerns.”

Really, really avoid talking about fracking: “If anyone knows about slick water fracturing, avoid the topic. DO NOT discuss the chemicals and other material used during slick water fracturing. The best strategy is to say that the chemical mixtures used are proprietary and are highly diluted with water when injected. Reassure landowners that no well contamination has ever been documented. Do not mention water contamination in Pennsylvania.”
Truck traffic is awesome: “Just tell landowners the more trucks, the more royalties. Money will normally deflect most arguments.”

So what if it’s noisy: “If pressed for details tell them we monitor noise to ensure it is approximately 80 db at 200 feet. They will likely not understand the details, and will not admit that the technical data means little to them. Do not compare it to anything tangible, like train noise or airplane noise. Stick with the numbers, they provide the truth but make it hard to understand the exact implication.”

Denial is a river in drilling country: “Some might ask how many wells will be in a square mile. Don’t answer that question. Most landowners will not realize that 10-20 wells can be placed in a square mile.”

Don’t worry about water: “Residential owners will not know that we pull water directly from the local aquifer.”

What radioactivity?: “ENSURE you tell the landowner that we use NO RADIOACTIVE materials. The radioactivity comes from natural sources in the ground and is released by the process, but don’t tell them this. Most landowners will not know.”

The value of your home is not important: “Multiple studies have shown that property values decrease for land with oil and gas leases on the property. Avoid this topic. Some major banks have stopped issuing mortgages on properties with leases for mineral and oil/gas rights, including Wells Fargo, Bank of America, and other large financial institutions. This is a no-win discussion point. ”

Did I mention to avoid fracking?: “The overall plan is to drill exploratory wells, and then use more advanced techniques to get at the small oil pockets we find. This will require multiple well heads, where we pump in a high volume of water and chemicals, in much the same manner as in the fracking process. DO NOT DISCUSS this point. We want no correlation between fracking and enhanced oil recovery processes.”

Whatever you do, don’t talk to women: “Men are more likely to sign than women. Men don’t like to believe that you know more than they do, so they are also less likely to ask questions. In the state of Ohio, the husband can sign the lease without spousal permission. Go that route if required. Tell them it is their decision. Write the lease agreement with only the husband’s name on the paperwork. This will make it more likely that they will sign alone. Men are also more conservative, and more likely to want oil and energy independence. Women will have more concern for the environment and will challenge you more often. Knowing who to approach can seal the sale.”

Still not willing to sign?: “Tell the landowner that all their neighbors have signed. Even if the neighbors have not, this often will push an undecided landowner in favor of signing.”


PennFuture workshop: Gas and Our Water

Gas and Our Water:

Legal tools for watershed advocates dealing with

drilling in the Marcellus Shale

Saturday, April 16

King’s College, Wilkes-Barre

This workshop will give grassroots conservation and watershed groups, concerned citizens and volunteers the legal tools necessary to protect our water and ensure Marcellus Shale gas drilling is done responsibly. Hear from leading environmental attorneys on land use and zoning, permits, wastewater issues, and enforcement of our clean water laws and regulations. Find out how to participate in the permitting process and to get decision-makers to listen to you.

Specific topics include:

* Wastewater and stormwater permits and permit appeals;

* Clean water enforcement; and

* Land use and zoning – Planning a boom

 

Space is limited – Register today

3 CLE credits available

Breakfast and materials included

 

The cost of the workshop is FREE to PennFuture members and students with ID; $10 for non-members. Free parking.

Space is limited and registration is required; register online today or by calling 717-214-7920.

A draft agenda will be available soon.

Date: Saturday, April 16, 2011

Time: 8:00 AM – 12:00 PM

Location:

King’s College -Burke Auditorium

133 North River Street

Wilkes-Barre, PA 18711

If you’d like to attend this event you can purchase tickets online by clicking here:

http://my.pennfuture.org/site/Calendar?view=Detail&id=107422&autologin=true&AddInterest=1261

Marcellus Shale Advisory Commission challenged on environmental issues at first meeting

Alright, I apologize up front for this being rather lengthy but I really feel that the information being provided here and the comments below are worth reading through slowly and considering carefully when trying to figure out which side of this debate you want to fall on. I know many of you already have your minds made up and any of you who are living in areas where the drilling is heavy know this is not all coming up roses the way they keep telling us it is or will be.

Published: Friday, March 25, 2011, 6:44 PM     Updated: Friday, March 25, 2011, 7:05 PM

Lieutenant Governor Jim Cawley opened the first meeting of the Marcellus Shale Advisory Commission Friday with an idyllic vision of what Pennsylvania could become in 20 or 30 years “if we make the right decisions today.” Brain-drain” and “rust belt” would be phrases of the past. “Tens of thousands” of people would be working in the natural gas industry, “and thousands more working in related industries like water purification.” There would be “open spaces and family farms that have passed from generation to generation because foreclosure was avoided today.” Cawley’s vision was reitterated by most of the other commission members, whose introductory remarks were punctuated with two mantras: “we need to do this right” and “we need to find science-based and fact-based solutions to environmental issues.”
Even the environmental members of the commission echoed those sentiments. With one exeption. The Chesapeake Bay Foundation stepped up with a list of specific environmental concerns …. “CBF would like to draw attention to the fact that Pennsylvania’s recently crafted Watershed Implementation Plan for the Chesapeake Bay total maximum daily load does not currently account for the cumulative increases in the nitrogen, phosphorous and sediment loads generated by the natural gas industry, an omission that will need to be addressed,” said staff attorney LeeAnn Murray. “CBF also notes that DEP currently reviews permits for gas extraction on a permit by permit basis without viewing the potential comprehensive cumulative impacts resulting from increases in sediment loads from erosion and post-construction runoff from roads, wellpads, pipelines and other infrastructure.” “It is issues like these that we believe may have an impact on water quality,” she said, “and with recent scientific studies indicating that water quality is affected by gas extraction activities we hope to discuss methods of reducing such impacts.” … She said the foundation is “looking forward to discussing topics involving: shallow gas migration, the ultimate fate and risk of contamination from frackwater, documentation and tracking of waste products, inadequate bonding laws, setbacks, fines, well pads siting issues, floodplain concerns, an exploration of alternative fracking methodologies that may have less environmental and health impacts and a funding source…whether a fee, assessment or, tax, which compensates PA for the extraction of a natural resource and allows citizens of the Commonwealth to utilize the money for local impacts and environmental improvements.” Murray was by no means the only commission member to address environmental concerns, but the Chesapeake Bay Foundation representative was the only person at the table willing to jostle Gov. Corbett’s apple cart from the start.
Outside the meeting, representatives of more activist environmental groups complained about not being appointed to the commission. Even the Chesapeake Bay Foundation, which works to clean up the water flowing into the world’s largest estuary, “is not involved in shale issues up to the eyeballs like the rest of us,” said Nathan Sooy of Clean Water Action. But it appears — at least at the moment — that the activist environmentalists do trust the Chesapeake Bay Foundation to be a torch bearer for their concerns. “They have a perspective to this that’s a lot bigger than Pennsylvania,” said Virginia Cody, an activist from Wyoming County. But the foundation has not been given one of the leading roles in the “working groups” expected to do most of the work between now and July, when the commission is supposed to give the governor its recommendations.
Lt. Gov. Cawley appointed Michael Krancer, Acting Secretary of DEP, as chair of the working group on “public health, safety and environmental protection; vice-chair is Cynthia Carrow of the Western Pennsylvania Conservancy.
When asked about the industry-leaning make-up of the commission after the meeting, Cawley said, “This really isn’t about the make-up of the commission, but the information we get. I suspect and hope we will hear even more from environmentalists.” When asked if there would be an opportunity for the public to at least observe or listen to the meetings of the working groups, Cawley said, “I’m sure.
To read this article online an access the links within the text, click here:

http://www.pennlive.com/midstate/index.ssf/2011/03/marcellus_shale_advisory_commi_1.html

Below are comments and thoughts from Anne with the Responsible Drilling Alliance (RDA). Please take the time to read through this, especially if these issues are new to you.

COMMENTS: About the above article, take with lots of salt grains.   I highlighted some specific sections and will comment on these here.

(1) Consider this comment: “Brain-drain” and “rust belt” would be phrases of the past. “Tens of thousands” of people would be working in the natural gas industry, “and thousands more working in related industries like water purification.” There would be “open spaces and family farms that have passed from generation to generation because foreclosure was avoided today.”
If the Governor cuts support for PA’s educational institutions, just how does that stave off the brain drain?

As I said in past messages to this email list concerning jobs: the gas industry is hiring retired members of the region’s governmental and regulatory agency elite – or in some cases not waiting that long and just hiring them away from those jobs. That’s not bringing new jobs to those who need them. So far the majority of the newly-hired from the ranks of the non-retired unemployed are not family-friendly jobs. Because of overtime pay for working long shifts and/or having no days off within a week, the take home money may be family-sustaining. But the worker doesn’t get quality time to spend with his/her family.

Regarding open spaces and family farms, consider what family would want to remain on their land  – much less farm it – if the gas industry ruins their source(s) of fresh water. Some of those who have leased large farms for drilling have said, should their wells become contaminated, they will take their royalty money and move away. That’s one way to maintain open spaces. But I don’t think that’s what the Governor intended when he mentioned maintaining open spaces.

(3) Consider the comment: “we need to find science-based and fact-based solutions to environmental issues.”
Without unbiased scientists on the Commission, the likelihood of getting unbiased science to use in decision-making is close to zero. See below my comment about the one professional scientist on the Commission – Terry Engelder. He’s a legitimate geologist with a credible academic track record of relevant research and publications. BUT, and this is a really big “but” – he should not be considered unbiased regarding Marcellus Shale matters because of his public statements and his funding sources.

The Commission needs more scientists – those without industry ties and those with expertise in environmental and health science. One industry-funded geologist is not enough for any good scientific input from this commission.  It’s a good thing that the representative from the Chesapeake Bay Foundation spoke up for the need to assess comprehensive and cumulative impacts. That’s something any good scientist would say right out of the gate. However, looking at impacts comprehensively and cumulatively should not be limited only to erosion and sedimentation issues.


(4) Here’s something to keep in mind about Michael Krancer, the chair of the working group on public health, safety and environmental protection – who also happens to be the acting head of DEP. His contribution to Mr. Corbett’s campaign for Governor and the Republican party was in excess of $200,000 (see: http://www.followthemoney.org/database/StateGlance/contributor.phtml?d=22286044). Money buys influence and power.


(5) Don’t forget what constituencies make up the Marcellus Shale Advisory Commission. Here’s a copy of what I said in a previous email about this group. The subject heading from that email is: “Governor Corbett creates system to marginalize regulatory control over gas drilling – putting big business interests over public’s protection”, dated 3/13/11. I have added additional information below.


Commission members

Boldface type indicate members with business and/or gas industry ties that I know of (14). Underlined names are those who represent organizations with at least some environmental focus (4). DEP is not considered an environmental organization; it is a regulatory agency. There is only one scientist on this commission, Terry Engelder, who acknowledges receiving funding from the gas industry and has repeatedly supported the benefits of drilling, minimizing environmental impacts. Important environmentally-protective regulatory agencies noticeably absent from this commission are  Department of Conservation and Natural Resources and PA Fish & Boat Commission. It’s also noteworthy that there are several Corbett appointees to state positions, such as Patrick Henderson, Governor’s Energy Executive and Mike Krancer, Acting Secretary of DEP (see #4 above). One would expect these individuals to support the Governor’s perspectives.

Terry Pegula, who has no affiliation listed for him, used to own East Resources (a major drilling company in the Marcellus Shale). Pegula sold East to a Dutch Company – Royal Dutch Shell – but he’s still listed as an employee of East. Campaign contribution records show Mr. Pegula donated $100,500 to Governor Corbett’s campaign, and his wife, listed as an employee of East Resources (parent company Royal Dutch Shell) donated $180,500 to the campaign. For details, see:
and the links within this page:

It’s also noteworthy that Mr. Pegula has donated millions to Penn State and has been quoted when asked what the would tell Penn State Students: “

I would tell students that this contribution could be just the tip of the iceberg, the first of many such gifts, if the development of the Marcellus Shale is allowed to proceed”(see:http://onwardstate.com/2010/09/18/pegula-marcellus-shale-development-good-for-students/). Studies touting the economic benefits from Marcellus Shale development that have been published under the aegis of Penn State and/or by Penn State faculty, have come under fire for inadequate data leading to faulty conclusions. See the following sites:

(2) Critique: (“Penn State Admits Gas Study Flaws”): http://www.northcentralpa.com/article/penn-state-admits-gas-study-flaws


It has also been said such publications from Penn State should be considered in the light of institutional bias toward the natural gas industry. If only the contributions from Mr. Pegula are considered here, there is certainly evidence that this could be the case.


Anne