Download - Gastem USA Ross #1 Well
Gastem USA: Introducing an Industry
WHO: Orville Cole-Gastem USA,, Rich
Nyahay-Senior Geologist Gastem USA,
Meghan Leaver-Gastem Inc.,
Environmental Affairs, Aaron Sulkey-
Environmental Scientist Gastem USA,
Tiffany McGivern-Hydrology Intern
Gastem USA, Kelly Wright-Construction
Supervisor.
Independent - Thomas Byrnes, Hydro-
geologist, Strategic Environmental
WHAT: Natural Gas Exploration in New
York State
WHERE: Otsego, Delaware Counties,
New York State
WHEN: On-Going Exploration
Pro Environment and Pro Growth
Water Use; volume of water use, drainage issues(sediment load), aquifer baseline, chemicalintroduction and frac flowback disposal.
Impact to Community; Open dialogue, economicimplications and education.
Terrestrial Change; landscape ecology, logging,wildlife, access improvement, land use changes
Protection Policies and Procedures; Federal,Regional, State and Industry Best Practises
Accountability Structure
Federal: EPA
Regional: SRBC
State: NYSDEC
County: Department of Soil & Water Conservation & Emergency Services
Industry Standards: Gastem USA Best Practises
Regulatory Jurisdiction
The Environmental Protection Agency (EPA)– Regulates the operations of all effluent from Waste Treatment Facilities to Rivers & Streams.
The Susquehanna River Basin Commission (SRBC) controls the use of all fresh water surface and sub-surface in the basin which encompasses much of south central New York State, Pennsylvania and Delaware.
The New York Department of Environmental Conservation (NYSDEC) oversees the drill permitting, water management and site constructions and remediation
Gastem develops a preferred practice to work closely with County Representatives for the awareness sharing of local expertise for both groups.
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Baseline Water Quality Study
Tested all wells within a 1 mile radius of the
immediate site
Tiffany’s poster, pre drilling and post frac tests
evaluated water quality on 19 wells and 10
surface ponds and streams.
Results indicate that slight changes have
occurred from seasonal conditions and natural
unrelated condition changes.
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Residential Well Sampling Analysis List
Dissolved methane, propane and ethaneVolatile Organic Compounds (EPA Method 524 or 8260)
GlycolspH
Conductivity ChlorideAlkalinity
SulfateTotal Dissolved Solids
Total Suspended SolidsCalcium
MagnesiumSodium
PotassiumIron
ManganeseArsenicBarium
ChromiumLead
LithiumStrontium
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Natural Gas Drilling: Fact Sheet
Conductor was set through the glacial till to a
solid rock seat.
16 inch to 126’ and 10 inch to 138’
7 inch Surface Casing was set at 780’ and
cemented to surface. This is 95’ below the
deepest water well found within 2 miles.
4.5 inch casing to 4950’ cemented to surface.
H2O Management and Mitigation
All fluid hauling was monitored to ensure that the same volumes delivered to site were accounted including the 80,000 gallon frac job and subsequent disposal of 38,160 gals. of frac flowback fluid and 21,000 gals. of freshwater
Chemicals were finger printed and water analysis is scrutinizing local aquifers
SWPPP to mitigate potential sediment erosion
Drilling Fluids
NYSDEC permit reads « …All drilling fluids, fluids displaced
out of the well during cementing, and well water (collectively
the fluid) must be contained in a water-tight tank or container
and disposed of properly. »
Water and Disposal of Fluids
Disposal of 38,160 gallons of frac flowback fluid to Watertown facility in January 2010.
Full battery of tests and lab analysis from third party certified labs including testing for TDS, TSS, heavy metals and radioactivity testing
Baseline testing on all wells within 2 miles of the drill site (current government qualification is 2000 ft.)
SWPPP: Stormwater Pollution
Prevention Plan
“A plan required for major construction projects under the U.S. Environmental Protection Agency National Pollutant Discharge and Elimination System … The SWPPP is required to address measures to prevent erosion, sedimentation, and other potential discharges of pollutants to water bodies and wetlands”
Department of Transportation,
2008. http://www.1395-rt9-
study.com/glossary.html
Community and Public Disclosure
Publicly available lab results
Town hall sessions, including Town of Maryland official representatives, County Soil and Water Management and Emergency Response team / 911 first responders
Media, Environmental lobby groups and any number of Elected Officials have had access to our site
SWPPP: Ross #1
Minimise effluent
and sediment run-off
to the water
ecosystem
Constructed by a
certified hydro-
geologist in
adherence with
stipulated guidelines
Utica Flowback Results – Summary of Significant Detections
TDS – 6,460 mg/l
Chloride – 5,070 mg/l
Barium – 15.3 mg/l
Iron - 38.1 mg/l
Sodium – 2,600 mg/l
Strontium – 34.1 mg/l
Organic Compounds:
Toluene – 0.074 mg/l
Analysis
Groundwater or Drinking Water
Standard or Guidance Value
Well A
8/20/08
Well A
12/17/09
Well A
3/26/10
Calcium No standard 26 mg/l 27 mg/l 27 mg/l
Magnesium No standard 6.1 mg/l 5.9 mg/l 5.6 mg/l
Sodium 20 mg/l 37 mg/l 39 mg/l 40 mg/l
Potassium No standard 0.93 mg/l 0.57 mg/l 0.84 mg/l
Iron 300 µg/l Not Detected Not Detected Not Detected
Arsenic 25 µg/l Not Detected 1.9 µg/l Not Detected
Barium 1000 µg/l 64 µg/l 62 µg/l 60 µg/l
Chromium 50 µg/l Not Detected 6.6 µg/l Not Detected
Lead 15 µg/l Not Detected Not Detected Not Detected
Mercury 0.7 µg/l Not Detected Not Detected Not Detected
Strontium No Standard 570 ug/l 580 µg/l 540 µg/l
Chloride 250 mg/l 1.6 mg/l 1.1 mg/l 1.5 mg/l
Total Dissolved Solids 500 mg/l 230 mg/l 210 mg/l 190 mg/l
Volatile Organic Compounds
Standards vary by compound Not Detected Not Detected Not Detected
Dissolved Methane 10 mg/l Not Detected Not Detected Not Detected
Residential Well Sampling Results Summary – Well A
Laboratory Analysis
Groundwater or
Drinking Water
Standard or
Guidance Value
Well B
8/6/09
Well B 9/30/09 Well B 1/13/10 Well B 4/20/10
Calcium No standard 32 mg/l 31 mg/l 32 mg/l 33 mg/l
Magnesium No standard 8 mg/l 7.8 mg/l 8.0 mg/l 8.2 mg/l
Sodium 20 mg/l 26 mg/l 24 mg/l 25 mg/l 26 mg/l
Potassium No standard 0.68 mg/l 0.59 mg/l 0.73 mg/l 0.73 mg/l
Chloride 250 mg/l 2 mg/l 2 mg/l 2.5 mg/l 2.6 mg/l
Iron 300 µg/l 55 ug/l 64 ug/l 50 ug/l 59 ug/l
Lithium No standard 10 ug/l 8.4 ug/l 11 ug/l Not Analyzed
Manganese 300 µg/l 210 ug/l 230 ug/l Not Analyzed Not Analyzed
Arsenic 25 µg/l Not Detected Not Detected 1.6 ug/l Not Analyzed
Barium 1000 µg/l 1.9 µg/l 38 ug/l 40 ug/l 38 ug/l
Chromium 50 µg/l 11 µg/l Not Detected 3.9 ug/l Not Detected
Lead 25 µg/l Not Detected Not Analyzed Not Analyzed Not Detected
Strontium No standard 170 µg/l 170 ug/l 180 ug/l 170 ug/l
Sulfate 250 mg/l 6.6 mg/l Not Detected 5.7 mg/l 11 mg/l
Alkalinity No standard 160 mg/l 160 mg/l 170 mg/l 160 mg/l
Total Dissolved Solids 500 mg/l 220 mg/l 190 mg/l 162 mg/l 190 mg/l
Total Suspended Solids No standard Not Detected Not Detected Not Detected Not Detected
Dissolved Methane 10 mg/l Not Detected Not Detected Not Detected Not Detected
Residential Well Sampling Results Summary – Well B
GASTEM BEST PRACTISES
The result of New York Regulation,
specific conditions and local
opportunities and global experience
has allowed us to develop specific
practices that will be applied on all
future operations.
1919
Recommended Best Practices
Gastem has experience across North Americaand has proposed operations formulas thatalign with the exploratory nature of our workin NYS. We have used a minimum of 1 mileradius for baseline test water analysis ofsurface stream, ponds and private water wells.
Our water analysis procedures will end in theimmediate area of our work sites after a oneyear clean bill of health which is currently thesituation in the area of the Ross well site.
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Aquifer Protections
Gastem recognizes the NYSDEC requirement
for a bond log and maintains a company policy
to cement all casing to surface unless there is a
clear reason for alternative actions.
Usable aquifer have been detected within a
few feet of hydrocarbon sources in Otsego
County. This example is not shale gas so we
agree that caution is necessary throughout the
industry21
Terrestrial
NYSDEC permit reads « If any archeological or structural remains are encountered during site construction operations, the permittee must immediately cease, or cause to cease, all work and notify the Albany Mineral Resources office. Work shall not resume until written permission to do so has been received from the Department. »
Innovation in Land Use
• Beneficial Use
Determination (BUD)
study in conjunction with
local academic institutions
Currently sponsoring a
$20,000 study at Colgate
University to evaluate drill
cuttings to replace liming
agent for agriculture.
• We will develop well sites
with reusable matting
materials to reduce surface
disturbances. The matting
will be appled for all
temporary work space.
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Industry Employment Potential
*The gas industry-funded report issued last year by Penn
State's College of Earth and Mineral Sciences concluded
that the natural gas industry created more than 29,000
jobs in Pennsylvania in 2008 and 48,000 jobs in 2009.
Next year, the study estimates 111,000 new jobs will be
created as a result of Marcellus Shale-related industry.
A new industry will require at least a two year training
cycle with continuous activity to develop the industry in a
safe manner for new workers.
Development of education programs with BOCES and
local training is starting.
*Reference –June 30, 2010 – Scranton Times-Tribune - DAVID FALCHEK
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Current Employment & Local
Initiatives Gastem USA employs a Geologist from Cobbleskill, NY
We recently hired a Environmental Scientist graduate from SUNY
Oneonta and continue to have a Hydrology Student interning with
us from Little Falls, New York.
We currently have a contract worth $90,000 to a local
supplies for Hemlock matting that will fill 40% of our
projected needs for 2010 pending drilling approvals.
Colgate University is analyzing drill cuttings for chemical
content prior to a planned field test with SUNY Morrisville
to test high ph drill cuttings as a replacement for liming
on local agriculture land.
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Our Local Contractor Report
A few of the Contractors and Suppliers from the area;
Ken Ross Construction
Barber & Deline
Bruce Hall True Value
Lawson Surveying
Seward Construction
Town of Worcester (Water Supply)
Town or Maryland (Road Access)
Swatling Lumber
Riccelli Trucking
MOSA
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Development requires Evolution
The opportunity to develop a strong new Industry in New
York State currently exists. The local Banks, education
institutions including BOCES, SUNY Oneonta,Hartwick,
Colgate, SUNY Morrisville and the STEM Education
Coalition have all visited our well site or we are
participating with them in focused projects.
We are currently working with County staff and hope to
expect to continue with initiatives that will develop a
water well registry and standards on road use and road
bonds.
Natural Gas Leases in Otsego
County Gastem USA – 150 Leases
Atlas Energy – 50+ Leases
Whitmar & Lenape - ?
Worcester Land Association – 240 Families on 26,000 acres (1000 acres in
Delaware County)
Tri-Cities Land Coalition Maryland -16,000 acres = 134 Families
Unadilla - Otego – 29,000 acres – 320 members