Marcellus Shale

The Marcellus Shale – America's next super giant
Down in Texas the big gas companies are talking about northeast Pennsylvania and New York as the place to be. The Catskills and the Delaware River Valley sit on top of Marcellus Shale. Marcellus Shale lies under much of northern Appalachia 6,000 to 8,000 feet below the surface; the pores in the shale contain large quantities of natural gas. The shale layer becomes thicker from west to east beginning at about 50 feet in Ohio to more than 100 feet thick in central PA and NY. Geologists have known about the gas here for years but now with the new technologies of horizontal drilling and hydraulic fracturing, recovering the gas is now the big new "Shale Play" as the industry refers to it. We are seeing the "land men" knocking on doors to obtain gas leases for various companies, with Chesapeake leading the charge in our area (mostly the Delaware River Valley in PA, Sullivan and Delaware counties). Community groups are forming on both sides of the issue from landowner associations to better negotiate a lease to groups fighting drilling altogether.
Marcellus Shale Distribution Map
Source: Appalachian Fracture Systems, Modified from U.S. Geological Survey sources
Link to picture  as it appeared in Business First of Buffalo is here: http://buffalo.bizjournals.com/buffalo/stories/2008/02/11/story2.html?b=1202706000%5E1587557

What does this all mean to the average resident? It means that landowners, towns, counties and regional organizations have a very short time to come up to speed with all the issues involved with gas exploration. As a new "shale play" we don't have a history in this particular formation but we certainly have a history with gas exploration and the complexity of the issues involved. Here are a few topics we all need to look closer at:

•    Hydraulic Fracturing: "Fracking” as it is called within the industry involves injecting water, sand and special chemicals into the shale layer at extremely high pressure. This then separates the pores in the rock and the sand particles "hold" the cracks open so the gas can flow back to the drill bore. Some of the injected fluids remain trapped underground. A number of these fluids qualify as hazardous materials and carcinogens, and are toxic enough to contaminate groundwater resources. There are cases in the U.S. where hydraulic fracturing is the suspected source of impaired or polluted drinking water. In Alabama, Colorado, New Mexico, Virginia, West Virginia and Wyoming, incidents have been recorded by people who have gas wells near their homes. They have reported changes in water quality or quantity following fracturing operations. Most of these incidences involve coal-bed methane production, which is a much shallower drilling process, but it highlights how poorly the gas companies are protecting the communities they are working in.

The River Reporter in Narrowsburg, New York published on December 4, 2008 a comprehensive chart of the known chemicals in the hyrodfracking process:  Click here to read the article
Click on the graphic to see the entire chart in PDF format.

•    Regulatory Issues: After decades of deal making between government and the industry it has resulted in exemptions for the oil and gas companies from protections in the clean water act, the environmental response, compensation, and liability act (CERCLA also known as the Superfund law), the resource Conservation and recovery act, and the Safe Drinking Water Act.  Also, the gas industry is not covered by public right to know provisions, which mean companies can withhold information about the chemicals they use in the "fracking” process.

•    Pollution: The pollution from oil and gas exploration and production has involved known carcinogens, reproductive toxicants, and other toxic chemicals like arsenic, hydrogen sulfide, mercury and volatile organic compounds (VOCs) including benzene and xylene.
•     Fragmentation: The Catskills and adjacent lands in Pennsylvania contain some of the largest contiguous forest blocks east of the Mississippi River.  This area acts as an important species corridor between the Catskill Park, the Shawangunk Ridge, the Hudson Highlands and the Poconos. There are multiple species of either endangered or special concern and indicator species of healthy vibrant habitat found here.  The number of roads and increased heavy truck traffic and cleared swaths for pipelines to connect the drilling pads to the millennium pipeline will dissect these important forest blocks and corridor. Catskills Natural Gas Drilling Operation
•    Air and Noise Pollution:  Drilling for gas is a highly industrial undertaking which includes numerous truckloads of equipment, chemicals, sand and water along with generators, pumps, drilling rigs and hoists. All of which are running at all hours of the day producing noise and exhaust fumes.  When gas is found there can be a release of the various gases in the formation.

Catskills Natural Gas Drilling Operation aeriel view

•    Normally Occurring Radioactive Material (NORMS): NORMS are found in many geological formations and can be brought to the surface on drilling equipment and in fluids.  Once at the surface it can accumulate as sediments in holding tanks and ponds.  This is an issue in the Barnett Shale, which are not the same rock.  However, NORMS occur in NY at higher levels than in PA and have not been tested in the eastern part of the state.
•    Development: Increased development in other rural areas of the country where there are productive Gas fields has resulted in large influxes of industry workers which will have multiple impacts to the respective communities.
•    New York City's Watershed: On August 6, 2008 New York City officials demanded a ban on natural gas drilling near upstate reservoirs because they fear the drilling could contaminate the city's drinking water.
The Ashokan Reservoir is part of the city's Catskill water supply system. (Credit: Jim McKnight/AP Photo)
The Ashokan Reservoir is part of the city's Catskill water supply system. (Credit: Jim McKnight/AP Photo)
They've asked the state Department of Environmental Protection to establish a one-mile protective perimeter around each of the city's six major Catskill reservoirs and connecting infrastructure -- a buffer that would put at least half a million acres off-limits to drilling. They also want to wrest more regulatory control from Albany.  New York is one of just four major cities in the United States with a special permit allowing its drinking water to go unfiltered, and that pristine water comes from a network of reservoirs and rivers in five upstate counties. If the special permit was revoked, the city would have to build a treatment facility that could cost nearly $10 billion, said Walter Mugden, a senior official at the U.S. Environmental Protection Agency. That's roughly what the state estimated it would earn from gas development over the next decade. In a letter (PDF) from the city Department of Environmental Protection to state officials, obtained by ProPublica, commissioner Emily Lloyd said she was not satisfied with the state's assurances that the environment would be protected from drilling in the Marcellus Shale, a layer of rock that dives up to 9,000 feet below much of the Appalachian east, including south central New York state and the 2000-square-mile watershed. 
Find out more at Propublica from Investigative Journalist Abrahm Lustgarten here

There are some excellent web sites out there covering these issues more in depth such as The Oil and Gas accountability project By Earthworks www.ogap.org. A very important document they have produced is Oil and Gas at Your Door? A landowner’s guide to oil and gas development.
Another great document put out by the Natural Resources Defense Council is: NRDC Natural Gas Drilling Fact Sheet:  Drillng Down:  Protecting Western Communities from the Health and Environmental Effects of Oil and Gas Production.  (October, 2007 PDF)
 Most of the National groups have information on this topic especially concerning public land and the Sierra Club's Atlantic Chapter and Trout Unlimited are actively involved in the issue here in the Catskills.
There are many community groups throughout the country faced with gas drilling that have websites.  Here are two for example that offer valuable information; FWCANDO.ORG from Fort Worth Texas, which is in the Barnett shale Similar to Marcellus and Damascus Citizens for Sustainability at www.DamascusCitizens.org an organization based in Damascus PA dedicated to "preventing the dire effects of gas well drilling, such as polluted drinking water, carcinogens in the farmland and food chain, torn-up roads, risk of gas fires, plummeting real estate values, and screeching noise polution."

In the Catskills there are a number of groups that are now working on the gas drilling issue.
Catskill Citizens for Safe Energy is a newly formed grassroots organization specifically focused on the gas drilling issue and keep a calendar of important events related to drilling of the Catskills.

The Delaware Riverkeeper and the Hudson Riverkeeper are closely monitoring and informing the public about gas drilling and it's potential impacts on there respective wathersheds.

**
all photo's above courtesy of the New York Times**


** The Marcellus shale maps, horizontal well art, photomicrograph and image captions below are used with permission of Geology.com. Do not reproduce, reprint or otherwise use this content without permission from Geology.com. **

map of the Marcellus Shale thickness
Thickness map of the Marcellus Shale. Modified after: United States Geological Survey, Open-File Report 2006-1237, Assessment of Appalachian Basin oil and gas resources: Devonian Shale-Middle and Upper Paleozoic Total Petroleum System, by Robert Milici and Christopher Swezey.
map of the Marcellus Shale depth
This map shows the approximate depth to the base of the Marcellus Shale. It was prepared using the map by by Robert Milici and Christopher Swezey above and plotting depth-to-Marcellus contours published by Wallace de Witt and others, 1993, United States Department of Energy Report: The Atlas of Major Appalachian Gas Plays.
horizontal well in the Marcellus Formation
Wells drilled into the Marcellus employ two technologies that are relatively new in the Appalachian Basin. One is horizontal drilling, in which a vertical well is deviated to horizontal so that it will penetrate a maximum number of vertical rock fractures. The second is "hydrofracing" in which a portion of the well is sealed off and water is pumped in to produce a pressure that is high enough to fracture the surrounding rock. The result is a highly fractured reservoir that is penetrated by a long length of well bore.
photomicrograph of the Marcellus Shale
Photomicrograph of a polished section of Marcellus Shale in reflected light. The gold particles are pyrite grains which are common in organic-rich rocks. The large brown elongated body is a compressed plant spore with a few pyrite grains in the central cavity. The remainder of the rock is a clay matrix with a heavy brown organic stain.The width of this image spans about 0.2 millimeter of the shale.

THE MILLENNIUM PIPELINE
The 182-mile Millennium Pipeline was approved late last year by federal regulators and workers have begun laying pipes.  When it's done, the line will run from Corning in Steuben County across New York's Southern Tier and down the western side of Sullivan and Orange counties, ending at Ramapo in Rockland County. It will replace a 10-inch pipeline owned by Columbia Gas with a 30-inch line. The project is expected to be completed late next year, when the line will begin supplying natural gas to utilities along its route.

A 12-mile section of the 30-inch natural gas pipeline is being installed from Tuxedo to Ramapo in Rockland County. Later this summer, about three miles will be installed in the Mongaup area of Sullivan County.

Millennium Pipeline is comprised of 182 miles of 30-inch diameter steel pipeline and related 15,000 horsepower compressor station capable of transporting up to 525,000 dekatherms per day of natural gas.

The balance of the pipeline will be built next year.

The pipeline will be the main outlet for all of the natural gas drilling in the Delaware River Valley and the Catskills.

Millennium Phase 1 will include the 186-mile section of Millennium from Corning, N.Y., to Ramapo, N.Y. This section replaces and upgrades an existing Columbia Gas Transmission natural gas pipeline:

Visit the New York State Landmarks website for an excellent photo journal of the Pipeline coming through Binghamton, New York in the Summer of 2008.  Click here to see the online gallery



Diagram of the Marc I Hub Line (Graphic: Business Wire).  The above grapic shows the various natural gas pipelines and hub lines that criss cross the Marcellus Shale formation in our area.  Click on the picture above for a larger version courtesy of Business Wire.

 

Other regions …

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Other Natural Gas Transportation Topics: 
Interstate - Pipeline systems that cross one or more States
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Network Design - Basic concepts and parameters
Pipeline Capacity & Usage
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Pipeline Development & Expansion 
U.S./Canada/Mexico Import & Export Locations

Northeast Region Natural Gas Pipeline Network Natural Gas Pipelines in the Northeast


New York State State Land Oil and Gas Leasing

The New York State Department of Environmental Conservation is authorized under Article 23, Title 11 of the Environmental Conservation Law to lease state lands for oil and gas exploration and development and for underground gas storage. State park lands, including the Adirondack and Catskill Forest Preserves, lands under the waters of Lake Ontario and certain other lands are excluded from leasing. The Department is not authorized to lease lands under Lake Erie for oil development. Leasing of state lands has occurred since the 1930s.

The Division of Mineral Resources acts as the leasing agent for large tracts of state land, working with the state surface managers to identify areas suitable for leasing and to develop area-specific special conditions and stipulations to provide for exploration and development in a safe, environmentally sound manner consistent with surface management objectives. The Division also leases small tracts of state lands non-competitively when oil or gas will be drained from the lands and for gas storage. The Department does not regulate leases on private lands, but does provide information in the Landowner's Guide to Oil and Gas Leasing brochure.

At the end of 2007, DEC administered 106 leases on 83,021 acres of state land in Allegany, Broome, Cattaraugus, Cayuga, Chautauqua, Chemung, Cortland, Erie, Ontario, Schuyler, Seneca, Steuben, Tioga, and Tompkins Counties.

Revenue from oil and gas leases are deposited as follows:

  • General Fund for State Reforestation and Multiple Use Areas
  • Conservation Fund for Wildlife Management Areas
  • Through DEC exchange account to the appropriate other state agency

Information from the DEC website here:
http://www.dec.ny.gov/energy/1528.html



New York State Oil and Gas, Mining And Reclamation Laws

The policy statements for the Mined Land Reclamation Law and the Oil, Gas and Solution Mining Law are posted on this site. Complete text of both laws can be found at the New York State Legislation website. From this opening page select the link "Laws of New York", then choose "ENV" for Environmental Conservation Law, then pick Article 23 or Article 71 and the relevant Title.

Article 23 - Mineral Resources

Title 1 - (23-0101 - 23-0102) Definitions
Title 3 - (23-0301 - 23-0313) General Provisions
Title 5 - (23-0501 - 23-0503) Well Permits and Well Spacing in Oil and Natural Gas Pools and Fields
Title 7 - (23-0701) Voluntary Integration and Unitization in Oil and Natural Gas Pools and Fields
Title 9 - (23-0901) Compulsory Integration and Unitization in Oil and Natural Gas Pools and Fields
Title 11 - (23-1101 - 23-1103) Leases for Production and Storage of Oil and Gas on State Lands
Title 13 - (23-1301 - 23-1307) Underground Storage of Gas
Title 17 - (23-1701 - 23-1727) Liquefied Natural And Petroleum Gas
Title 19 - (23-1901 - 23-1903) Oil, Gas and Solution Mining Regulation and Reclamation Fee
Title 21 - (23-2101) Interstate Compact to Conserve Oil and Gas
Title 23 - (23-2301 - 23-2311) Rerefining of Used Oil
Title 24 - (23-2401 - 23-2402) New York State Oil Energy Conservation Program
Title 27 - (23-2701 - 23-2723) New York State Mined Land Reclamation Law

Article 71 - Enforcement

Title 13 - (71-1301 - 71-1311) Enforcement of Article 23

Information Sources

For Release: IMMEDIATE                                                                               Contact: Yancey Roy

Monday, October 6, 2008                                                                                          (518) 402-8000

DEC ANNOUNCES PUBLIC HEARINGS

PUBLIC MEETINGS SET FOR DEVELOPING SCOPE OF ENVIRONMENTAL REVIEW FOR HORIZONTAL DRILLING IN THE MARCELLUS SHALE
Sessions in the Catskills and Southern Tier in November and December

    As a first step in analyzing the potential environmental impacts of high-volume hydraulic fracturing of horizontal wells in New York’s natural gas-bearing Marcellus and Utica shale formations, the New York State Department of Environmental Conservation (DEC) has issued a draft scoping document outlining the issues to be covered in the analysis.

In the document, DEC delineates a number of factors it has proposed to be included in the analysis. The public is invited to comment on the scope at six meetings scheduled to be held throughout the Southern Tier and Catskills in November and early December, and to submit written comments.

DEC Commissioner Pete Grannis pointed out that the purpose of the scoping meetings is to make certain the public has the opportunity to review issues to be included in the environmental review of proposed  horizontal drilling operations in the Marcellus and Utica formations.

“This is just the first step in what will be a careful process designed to look at environmental issues unique to the high-volume hydraulic fracturing of horizontal wells in these deep rock layers,” Commissioner Grannis said.

The prospective region for the Marcellus and Utica shale formations has been roughly described as an area extending from Chautauqua County eastward to Greene, Ulster and Sullivan counties.

Although there is a Generic Environmental Impact Statement (GEIS) covering gas and oil drilling in New York State generally, the State has determined that a Supplement to the GEIS is needed in order to address issues related to the large volumes of water required to “hydrofracture” the shale to release the gas. Among other topics, the draft scope proposes that the Supplement address water-management issues and the composition of drilling fluids added to the water to assist the fracturing process.

“Horizontal drilling is not new. Hydraulic fracturing is not new. And drilling into the Marcellus Shale is not new,” Commissioner Grannis said. “But the drilling operations proposed involve all three of these elements, along with greatly increased water use. This review is designed to ensure that if the drilling goes forward, it takes place in the most environmentally responsible way possible.”
(MORE)
The GEIS was issued in 1992 and it covered hydraulic fracturing, a practice that has been used for more than 50 years in New York for releasing oil and gas trapped in otherwise impermeable geological strata. At the time the GEIS was developed, most drilling operations required less than 100,000 gallons of water per well for hydraulic fracturing. Because of the depth and geologic characteristics of the Marcellus Shale, greater volumes of water are necessary to tap into the gas reserves, likely more than 1 million gallons per well.

“The other major difference,” Commissioner Grannis said, “is that we are anticipating a large demand for drilling permits in parts of the state that historically have not seen much oil and gas drilling.”

While there are about 13,000 oil and gas wells operating statewide, these tend to be clustered in Western New York and the Southern Tier.

Following the public meetings, DEC will review the comments and produce the final scope, which will outline the factors that must be included in the Supplement to the GEIS. DEC hopes to complete a draft Supplement by next spring, a process that also will provide opportunities for the public to provide input.

A schedule of the public hearings will be available on DEC’s Marcellus Shale web page (http://www.dec.ny.gov/energy/46288.html) and through the Environmental Notice Bulletin. Tentatively, meetings are planned for
-- Allegany (Cattaraugus County), Nov. 6.
-- Bath (Steuben County), Nov. 12.
-- Elmira (Chemung County), Nov. 13.
-- Binghamton (Broome County), Nov. 17.
-- Oneonta (Otsego County), Dec. 2.
-- Loch Sheldrake (Sullivan County Community College), Dec. 4.

DEC is awaiting confirmation about times and venues with host communities; details will be announced as soon as they are confirmed.

The draft scope is available at: http://www.dec.ny.gov/energy/47554.html. Detailed instructions for submitting written comments are included in the scope.

###
08-215

Marcellus shale Web site launched by DEC
08/28/08

New York State Department of Environmental Conservation (DEC) has launched a new Web page designed to provide details about drilling processes, leasing, federal and state laws, links to relevant sites, and the upcoming review of potential environmental impacts. The new page can be found at: http://www.dec.ny.gov/energy/46288.html#Information.

 
United States Geological Survey Fact Sheet 009-03:

USGS Assessment of Undiscovered Oil and Gas Resources of the Appalachian Basin Province, 2002

United States Geological Survey, Open-File Report 2005-1268

:
Assessment of Undiscovered Natural Gas Resources in Devonian Black Shales, Appalachian Basin, Eastern U.S.A.

NEWS AND RESOURCES:

Propublica, August 6, 2008: Fractured Relations—New York City Sees Drilling as Threat to Its Water Supply

The Daily Star, August 2, 2008: More Than 1,500 Sign Gas Leases

Binghamton Press & Sun Bulletin, July 18, 2008
:  Drilling Regulations May Be Needed, Protecting Water Quality Crucial Says Governor's Aid

New York Times Article June 29, 2008:  Our Towns: Gas Driller in Race for Hearts and Land, by Peter Applebome

Mid-Hudson News Network:  NY, PA share common concern over gas drililng, May 22, 2008

Associated Press:  Landowners Getting Trampled in Gas Rights Rush, May 28, 2008

Shale Gas: Focus on th Marcellus Shale:  Oil & Gas Accountability Project's latest report on the Marcellus Shale and drilling for natural gas in NY and PA.

Delaware Riverkeeper: Natural Gas Drilling and Production Fact Sheet, June, 2008

Article In The Times Herald Record: The Search for Natural Gas: Western Sullivan Might Contain Vast Reserves, April 14, 2008

Article In The New York Times:  There's Gas in Those Hills, April 8, 2008

Article #1 In The River Reporter: A Primer on Gas Well Gold Rush: From the Marcellus Shale to Horizontal Drilling, February 28 - March 5, 2008

Article #2 In The River Reporter:  Western PA Landowners Regret Deep Gas Wells Deals:  Gasses Bubbling Out of the Ground and Into Drinking Wells and Ponds, April 10 - April 16, 2008

Editorial In The River Reporter:  "?Nor Any Drop to Drink", April 10 - April 16, 2008

WNYC Radio: Natural Gas Could Transform Sullivan County, April 15, 2008

Elmira Star Gazette:  Owners Have Way To Fight Landmen, March 30,2008

Times Herald Record
:  Drilling in Sullivan Raises Many Issues, May 9, 2008

The New York Times Magazine
: Drilling for Defeat, May 18, 2008

Energy Information Administration
: Natural Gas Pipelines in the Northeast Region, 2008
Landowner Option Guide:  Answers to what happens if a lease is not signed, and options
Powder River Basin Resource Council:  Committed to the preservation and enrichment of Wyoming's agricultural heritage and rural lifestyle.  The conservation of Wyoming's unique land, mineral, water, and clean air resources consistent with responsible use of those resources to sustain the livelihood of present and future generations.  The education and empowerment of Wyoming's citizens to raise a coherent voice in the decisions that will impact their environment and lifestyle.
Western Colorado Congress and Grand Valley Citizen's Alliance:  Western Colorado Congress (WCC) is a grassroots, democratic organization dedicated to challenging injustice by organizing people to increase their power over decisions that affect their lives. WCC's community groups and members work together to create healthy, sustainable communities, social and economic justice, environmental stewardship and a truly democratic society
New York Times Article:  The Light is Green, and Yellow, on Drilling. July 27, 2008

The New York State Bill A10526 That Amends the Current State Laws That Regulate Natural Gas Drilling In The State
The bill has been signed by Governor Patterson.
Read the final Summary of the Bill A10526 that passed both the House and Senate
Read the Text of Bill A10526

POST YOUR VIEWER COMMENTS BELOW

The noise pollution has

The noise pollution has started to be a serious problem. People come home tired from a hard day at work and they have to hear that noise until they can finally relax and go to bed. Families with small kids have to take up the noise all day long. The kids are crying and everyone is generally frustrated.
_____________
Tucson Real Estate Agent

Landowner Testimonial of Natural Gas Drilling Impacts

Testimonial from May 2008 Landowner in Washington County PA on the negative impacts natural gas drilling has had on his property, including polluting his water killing his fish and dishonest negotiations by the landmen.
From The Damascus Citizens for Sustainability http://www.damascuscitizens.org

Gas Drilling Impacts in Washington County PA |Damascus Citizens

Video interview with residents in Washington County, PA who have natural gas drilling on their property. Courtesy of Damascus Citizens for Sustainability. http://www.damascuscitizens.org

Horizontal drilling for natural gas

There is currently legislation under review in NYS Assembly (bill A10526) (and paralell in Senate) to essentially enable the deep horizontal drilling (and associated fracturing) to be readily permitted. The 2005 NYS oil and gas legislation did not clearly address horizontal drilling. Such drilling is essential for the most cost-effective capture of gas in the Marcellus. Th Oil/Gas lobbies have been weighing in on the legislation and the Farm Bureau has been watching. However, I am not aware of any "citizens" groups involved. The legislation is being pushed pretty hard and fast and as written will become effective immediately. I believe that it should be slowed down so that reasonably concerned individuals can have time to understand, reflect, and consider the many complex implications. In my checking around in the Broome and Cortland county area I am not finding any degree of knowledge or concern about this. It is completely clear that once this legislation passes the O&G Cos will have a green lite to rock and roll. I believe A10526 is flying largely under the radar and is moving way to fast. As best I can tell, the DEC is the only monitoring agency and they are seriously understaffed. Given the likely large number of drillings coming soon, there will be little or no substantive macro environmental protection. Lobbying to first slow down A10526 into at least the next legislative session (this one ends around June 15), and then understanding and lobbying for appropriate structuring so that there is as much environmental protection as possible is critical. Stan Scobie Binghamton, NY

The Threat of Natural Gas Drilling in The Catskills Video

Thanks for video ;)

Thanks for video ;)