The Environmental Protection Agency (EPA) issued measures for using diesel in hydraulic fracturing, setting standards it said could be adopted by states to govern a process that has spurred the boom in natural gas production.
While drillers say diesel has mostly been phased out of the process called fracing, they sought to block the EPA’s criteria, saying it could lead to greater federal oversight and delays in getting permits.
The agency, in a statement Feb. 11, said the standards rely on state and industry best practices, and are part of its efforts to ensure “responsible development” of gas trapped in shale. Among other measures, the EPA is recommending baseline and follow-up testing of water sources near drilling sites.
States “updating regulations for hydraulic fracturing may find the recommendations useful in improving the protection of underground sources of drinking water and public health more broadly,” the agency said in a document explaining the new standards.
In 2005, Congress exempted fracing, in which water, sand and chemicals are shot underground to free gas or oil trapped in underground rock formations, from the requirements of the Safe Drinking Water Act. That exemption was labeled the “Halliburton loophole” by health advocates, referring to Halliburton Co., the largest provider of fracing services, led by Richard Cheney before he was elected vice president in 2000.
The law specified that the EPA retained oversight of fracing if diesel was among ingredients being used, and environmental groups say drillers add the substance to fluids they inject to crack rock and free trapped gas, without applying for the necessary permits.
Diesel is typically used when the underground rock or clay has a tendency to absorb water, according to a report by Democrats on the House Energy and Commerce Committee. That report is outdated, and companies are no longer using diesel, according to industry groups.
Recommended Reading
Analyst: Exxon Mobil, Pioneer Deal Close Likely ‘Imminent’
2024-05-01 - With approval from the Federal Trade Commission, Exxon Mobil could close its $59.5 million acquisition of Pioneer Natural Resources after more than six months of review.
Oil, Gas Production Fee Set to Hit Colorado Producers
2024-05-01 - The deal reached this week will eliminate several proposed ballot measures targeting the fossil fuel industry ahead of this year's election, including one that would have halted drilling in summer months.
Guyana’s Stabroek Boosts Production as Chevron Watches, Waits
2024-04-25 - Chevron Corp.’s planned $53 billion acquisition of Hess Corp. could potentially close in 2025, but in the meantime, the California-based energy giant is in a “read only” mode as an Exxon Mobil-led consortium boosts Guyana production.
US Interior Department Releases Offshore Wind Lease Schedule
2024-04-24 - The U.S. Interior Department’s schedule includes up to a dozen lease sales through 2028 for offshore wind, compared to three for oil and gas lease sales through 2029.
Utah’s Ute Tribe Demands FTC Allow XCL-Altamont Deal
2024-04-24 - More than 90% of the Utah Ute tribe’s income is from energy development on its 4.5-million-acre reservation and the tribe says XCL Resources’ bid to buy Altamont Energy shouldn’t be blocked.