Oil and Gas Lawyer Blog

I ran across this article from the Miami Herald: “Colorado’s new drilling rules seen as making an impact in Texas.” Colorado recently adopted tough air emissions rules applicable to the oil and gas exploration, production and transportation industries, intended to reduce emissions of methane. Those rules were adopted in collaboration with oil companies active in Colorado, and were supported by Anadarko, DCP Midstream, EnCana, and Noble Energy.  According to the article, several companies have approached the Environmental Defense Fund expressing interest in getting Colorado’s rules adopted in Texas. Jim Marston, VP at EDF, said that “The companies are often ahead of the Texas state government” on environmental issues.

Texas regulators often tout Texas as the nation’s leader in oil and gas regulation. Recently, the Texas Railroad Commission, which regulates oil and gas in Texas, has been having to play catch-up. It only recently hired a seismologist to study seismic activity caused by wastewater injection and has not yet agreed that injection is a cause or earthquakes near injection wells. Last year, the RRC adopted tougher casing regulations in response to concerns about possible groundwater contamination from drilling and completion operations. The Texas Commission on Environmental Quality, the agency that regulates air emissions, has increased its monitoring of air emissions from oil and gas operations, particularly in the Barnett Shale, in response to complaints and concerns raised in and around Fort Worth.

Colorado’s new rules are an effort to significantly reduce methane emissions from oil and gas facilities by requiring better emissions controls, better detection and faster fixing of leaks. Methane is a powerful greenhouse gas, and capturing fugitive emissions of methane also saves money for the companies and their royalty owners. EDF recently commissioned a study by ICF International to quantify the cost and savings of reducing methane emissions. The study found that industry could cut methane emissions by 40 percent below projected 2018 levels at an average annual cost of less than one cent per mcf of produced natural gas by adopting available emissions-control technologies and better leak-detection practices. The practices would have the additional benefit of reducing emissions of volatile organic compounds and other hazardous air pollutants.

National Geographic has started a website called The Great Energy Challenge that provides a wealth of information about energy and the environment. “The Great Energy Challenge convenes and engages influential citizens and key energy stakeholders in solutions-based thinking and dialogue about our shared energy future.” Multiple articles from distinguished scientists provide education, explore innovative technologies, and seek to engage the public in a meaningful way about our energy future. Its home page is here.

Here is a good article discussing five innovative technologies for cleaner shale energy production and transportation, including water-free fracing, using recycled water or brackish water for fracing, using natural gas instead of diesel fuel to power drilling and completion, and efforts to reduce methane emissions in exploration, production and transportation of natural gas.

Here is a quiz to see how much you know about water and energy. Did you know that it takes 2.8 to 6.6 gallons of water to refine one gallon of gasoline? That it takes 780 gallons of water to produce one gallon or corn ethanol?