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.”


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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

Corbett names pick for Conservation and Natural Resources

Wednesday, March 23, 2011

By Laura Olson and Don Hopey, Pittsburgh Post-Gazette

HARRISBURG – Gov. Tom Corbett announced his pick for one of two remaining cabinet posts this afternoon, selecting Richard J. Allan to head the Department of Conservation and Natural Resources.

Mr. Allan, 57, has spent his career working in scrap recycling. His family operates Allan Industries, a metal recycling facility, in Wilkes-Barre, and he has run his own energy consulting firm since 2005. The Cumberland County resident also is an executive director for the PA Institute of Scrap Recycling Industries, and serves on the board of the Pennsylvania Environmental Council. He earned his bachelor’s degree in environmental sciences and biology from Wilkes University in Wilkes-Barre.

The conservation agency has gained attention for its oversight of the growing number of Marcellus Shale gas wells being drilled on state forestland. Cuts in DCNR funding in recent budgets have shrunk the department’s resources for drilling oversight, state park operations and forest management.

“Richard Allan is a proven leader and commands a wealth of knowledge and experience in environmental and energy issues,” said Mr. Corbett in a news release. “I am confident that his abilities and background will be a tremendous benefit to DCNR, especially during this critical time in the agency’s history.”

Mr. Allan is the nephew of Pat Solano, former Luzerne County Republican chairman and a power broker in the state’s northeastern GOP politics. His wife, Patricia, was recently named policy director for the Department of Environmental Protection. He contributed $2,150 to Mr. Corbett during the last campaign cycle, according to the Department of State’s campaign finance database. He also was a member of Mr. Corbett’s transition team for energy and environmental issues.

The department has been run by Acting Secretary Cindy Dunn, formerly a deputy secretary for the agency, since the Corbett administration took over in January. The remaining department without an announced secretary is Labor and Industry. Mr. Corbett said earlier this month that he had made offers to candidates for both of the unfilled positions.

Below are comments from Anne with the Responsible Drilling Alliance (RDA). Definitely some things to think about and be concerned with.

COMMENTS:

I have highlighted parts of the above text in bold for emphasis.

Mr. Allan brings to the post of head of PA’s Department of Conservation & Natural Resources (DCNR) an unusual background. Only time will tell whether one whose career has been in scrap recycling understands the depth and breadth of environmental issues facing Pennsylvania – particularly issues regarding deep shale natural gas extraction, processing and transmission.

Mr. Allan would be wise to listen carefully to DCNR’s experienced staffers, particularly its scientists and attorneys, whose training and daily work experience in environmental areas is more recent than Mr. Allan’s bachelors degree.

Besides the issue of adequate background for an understanding of PA’s environmental complexities, there are some other areas of potential concern. There’s the obvious one of whether campaign contributions, family and political connections fostered a political appointment. And, there are questions about Mr. Allan’s status within Allan Industries, including whether he continues to profit from this corporation and whether its activities are regulated by either DCNR, which he will head or PA DEP, where his wife holds a key position.

More important, however, is how this appointment may affect the relationships among regulatory agencies. When considering the long term and critically important connection that DCNR has had with PA’s Department of Environmental Protection (PA DEP), some may question the appropriateness of having DCNR’s head coming from the same household as PA DEP’s Policy Director. Both agencies have working relationships in such crucial areas as permit reviews. With budget cuts and mandates for expedited permit reviews coming from the new Governor, one can only hope that concerns of potential conflicts of interest will not materialize and DCNR’s role will not be further marginalized than it has been to date from its severe budget cuts.

Anne

Marcellus Shale Drilling – Avenues for Action: Regional advocacy workshops

See the below message from Penn Futures. Register today! Pre-registration is required.

As drilling for natural gas in the Marcellus Shale continues in our region and across Pennsylvania, PennFuture, Clean Water Action, PennEnvironment, Pennsylvania Sierra Club, Responsible Drilling Alliance and EARTHWORKS are holding an invitation-only strategy session to discuss the avenues and opportunities for action in 2011.

At these sessions, you will:

* Hear from top environmental advocates about the political landscape in 2011.

* Review the legislative avenues for action at the state and federal levels.

* Learn more about drilling on state lands, the drilling tax, protections of our water, bonding, enforcement, and other issues confronting Pennsylvania.

* Learn more about wastewater treatment, compressor stations, municipal zoning authority, and the issues facing your local community.

* Find out how to be involved in local citizen monitoring and visual assessment efforts.

The events are free, but pre-registration is required.

We can’t do this without you! Join us at an event near you!

RSVP for March 19, 2011

1 a.m. to 1 p.m.

Lycoming College

Jane Schultz Room

700 College Place

Williamsport, PA 17701

RSVP for March 26, 2011

1 p.m. to 4 p.m.

Jewish Community Center of Greater Pittsburgh

Katz Performing Arts Center

5738 Forbes Avenue

Pittsburgh, PA 15217

RSVP for April 2, 2011

10 a.m. to 1p.m.

NIER Institute

1600 Plank Road

Mayfield, PA 18433

 

Marcellus Hearing in Williamsport, PA

Anne Harris Katz attended the four-hour hearing on Marcellus gas impacts two days ago, in Williamsport.  Here are her comments:

“I was in the audience for the entirety of this hearing, the content of which is covered in the two articles below. Of all the public events I have attended on Marcellus Shale impacts, this one had the most balance among the perspectives of industry, regulators, and groups concerned about protecting the environment and economy.

The articles in the Williamsport Sun-Gazette do a reasonable job covering the approximately four hours of testimony and Q & A between testifiers and legislators. There was not time for questions or comments from the audience, but the legislators asked good questions and made useful comments. I take issue with referring to what went on in this event as a “lively debate”. This was a public hearing at which formal testimony was taken. In my estimation it was not a debate. It would be helpful for those who could not attend to have access to a transcript of everything said. ”   AHK


Here are the two links to the articles on the Sun Gazette that she mentions.

Gas industry’s potential impact on the environment discussed at public hearing

http://www.sungazette.com/page/content.detail/id/542033.html?nav=5011


Impact on bay cleanup not known

http://www.sungazette.com/page/content.detail/id/542034.html?nav=5011

Gas drilling using best management practices

From the Resposible Drilling Alliance:
The Texas Oil and Gas Accountability Project has published a best management practices guide for their state’s oil and gas development. This could be a model for state’s newly under pressure for unconventional shale drilling – like Pennsylvania, New York and West Virginia.
According to this guide,

“The challenge facing Texas now is not whether to increase fossil fuel production — energy companies are already on a record-setting pace as they accelerate development.
Rather, the challenge facing us today is how to protect our landowner rights, clean water, air and public health in the face of rapid energy development…


To read the article , click here:

http://earthworksaction.org/publications.cfm?pubID=444

To read the publication on best oil & gas development practices in Texas, click here: http://earthworksaction.org/pubs/Drill_Right_Texas_FINAL.pdf

RDA info and meeting places/times

Stop the Department of Environmental Protection (DEP) from caving in to mining and gas industry pressure. These industries would like to transfer the water quality of the Susquehanna River to their bottom line by using it as an inexpensive dump for their salt and chemically laden waste water.

Attend the hearing on Wednesday 16th at 5:00, DEP’s office in the Old Grit Building at 3rd and William Street, Williamsport. Your attendance will support DEP’s own research which has lead to a good proposed strategy for new TDS discharges. Without public support, DEP may be forced to retreat from its own recommendations.
BACKGROUND
Last April DEP published a strategy to protect Pennsylvania Rivers from becoming too saline by greatly limiting the amount of Total Dissolved Solids (TDS) in NEW discharges into the rivers.
This strategy came after critical conditions appeared in the Monongahela River Basin due to mining and gas industry discharges. Gas drilling waste water, which is extraordinarily high in TDS, put the already stressed river over the limit for potable water withdraw.  Bromines from gas industry waste water react with disinfectants used in water plants to produce carcinogenic secondary chemicals.  The result was a drinking water health advisory issued to thousands of water users.
This September, forty three miles of Dunkard Creek, which stitches back and forth across the boarders of Pennsylvania and West Virginia, experienced a massive fish kill. The culprit, which wiped out almost all animal life in the stream, was toxins produced by an invasive algae which can only thrive in brackish water.
Below are some excerpts from DEP’s preamble to the hearing. Link to complete document here.     http://pabulletin.com/secure/data/vol39/39-45/2065.html

“Total dissolved solids (TDS) is comprised of inorganic salts, organic matter and other dissolved materials in water.”

“TDS causes toxicity to water bodies through increases in salinity, changes in the ionic composition of the water, and toxicity of individual ions.”

“Several studies on the potential impacts to aquatic life from these large TDS discharges were also conducted on major tributaries flowing into the Monongahela River in Greene County, PA. Each of these studies documents the adverse effects of discharges of TDS, sulfates and chlorides on the aquatic communities in these receiving streams. The former concludes that there is a high abundance of halophilic (salt-loving) organisms downstream from the discharges of TDS and chlorides and a clear transition of fresh water organisms to brackish water organisms in the receiving stream from points above the discharge to points below. It is evident from this study that increases in salinity have caused a shift in biotic communities.

The Monongahela River Watershed is being adversely impacted by TDS discharges and many points in the watershed are already impaired, with TDS, sulfates and chlorides as the cause.

In addition, watershed analyses conducted by the Department (DEP) of the West Branch of the Susquehanna River and the Moshannon River Watersheds have documented that they are also severely limited in the capacity to assimilate new loads of TDS and sulfates.”

You are needed. Attend the hearing to support DEP’s proposed strategy, based on good science, for protecting Pennsylvania’s waterway.
To speak at the hearing call 717-787-4526 to register.

J. Public Hearings

The Board will hold four public hearings for the purpose of accepting comments on this proposal. The hearings will be held at 5 p.m. on the following dates:

December 14, 2009
5 p.m.
Cranberry Township Municipal  Building
2525 Rochester Road
Cranberry Township, PA 16066-6499
December 15, 2009
5 p.m.
Department of Environmental  Protection
Cambria District Office
286 Industrial Park Road
Ebensburg, PA 15931
December 16, 2009
5 p.m.
Department of Environmental Protection
Northcentral Regional Office
Goddard Conference Room
208 West Third Street,
Suite 101
Williamsport, PA 17701-6448
December 17, 2009
5 p.m.
Lehigh County Government Center
17 S. 7th Street
Allentown, PA 18101
responsible drilling alliance