MARCELLUS SHALE
The Marcellus Shale is a geological formation found under Pennsylvania, New York, and West Virginia between 5,000 and 8,000 feet below the surface of the ground. The formation is estimated to hold 500 trillion cubic feet of natural gas; enough to power the United States for decades. This fossil fuel resource possesses enormous opportunities, but perhaps even more environmental, public health, economic, and social challenges. Senator Ferlo has been on the front lines of the battle to contain these risks and has introduced Senate Bill 680 to address many of the industry’s impacts. In addition, Senator Ferlo continues to believe that a moratorium on drilling would do the Commonwealth well, giving our state and local elected officials an opportunity to update statutes, regulations, and ordinances to protect the public and the environment. Ferlo have introduced Senate Bill 906 to enact a two year moratorium and create a study commission to make recommendations on improvements to our state laws.
WHAT IS THE MARCELLUS SHALE
The Marcellus Shale is an underground rock formation that dates back to the Devonian Age, 350-415 million years ago. It can get up to 9,000 feet deep, and is bigger than the state of Florida (54,000 square miles). Pennsylvania has the biggest portion, with portions also in 3 other states. The Marcellus Shale is only one geologic formation that processes natural gas and will be the subject of debate over the coming decades. Other formations, such as the Utica Formation, also have gas fields and will be drilled for similar resources.
NATURAL GAS DRILLING IN PENNSYLVANIA
Natural gas drilling has been happening in PA since 1859, and over 350,000 oil and gas wells have been drilled here. But the current oil and gas industry “play” on the Marcellus Shale is like nothing we have seen. Thickness of the shale in PA, a new drilling procedure, and rising natural gas prices are some of the reasons for the oil and gas interest in PA – Southwest, North central, and Northeastern areas especially.
WHAT IS HYDRAULIC FRACTURING
After a Marcellus Shale gas well is drilled and secured with cement and steel, a mixture of one to five million gallons of water, sand, and chemicals is pumped into the well at a high pressure in order to crack or fracture the shale. This new procedure, “hydraulic fracturing” or “fracking,” is needed to remove natural gas from the Marcellus Shale. Our state Department of Environmental Protection (DEP) enforces rules for “fracking” because it is a dangerous industrial process that can cause pollution of the air and water. Of course, our rules can always improve, and are sometimes broken.
PROPERTY RIGHTS & LEASING TO DRILLERS
Property rights include surface rights (above ground) and mineral rights (underground). For example, a landowner can own surface rights, mineral rights, or both. And of course, drilling companies need to lease or own properties where they are drilling. So if you are a home or land owner, a drilling company might be interested in leasing your property to set up a drill-rig above ground, or to drill below. However, if you are not sure about your rights, or have been approached by a drilling company representative or “landman,” please take the following steps: go to the county Recorder of Deeds office to better understand your rights; contact an attorney that is familiar with property rights, as well as oil and gas law. Some property owners have negotiated fairly protective lease agreements with drilling companies, but others haven’t, putting their property value and quality of life at serious risk. Key questions to ask include:
- What type of lease agreement – surface or mineral rights, or both?
- What are my up-front payment amounts and royalty rates?
- What are the potential long-term impacts to my property-value?
- Am I part of a larger “unit” of properties that includes my neighbors?
- What are the potential detrimental impacts to my neighbors who do not have leases?
- Will you pay to have my soil and/or water well tested for chemicals prior to drilling?
Suggested Resource:
1) EarthWorks, Oil and Gas Accountability Project: www.earthworks.org, 315.677.4111
SEVERANCE TAX
Currently, Pennsylvania is the only major gas-drilling state without a severance tax, which comes at a huge price to state agencies and local governments. It would be irresponsible of legislators to continue passing the tax burden of the oil and gas industry onto residents and working people. Corporations that are making big profits need to pay their fair share back to the state agencies and local governments that allow and support their profit-making activities.
Suggested Resources:
1) The Pennsylvania Budget and Policy Center:
http://pennbpc.org/severance-tax, 717-255-7156
2) Contact your state Senator and Representative
PENNSYLVANIA GAS DRILLING REGULATIONS
Oil and gas exploration is regulated under state oil and gas laws (Oil and Gas Act, Coal and Gas Resource Coordination Act, and Oil and Gas Conservation Law), and environmental protection laws (Clean Streams Law, the Dam Safety and Encroachments Act, the Solid Waste Management Act, and the Water Resources Planning Act). While enforcement is primarily the responsibility of the PA Department of Environmental Protection (DEP), and their Bureau of Oil and Gas Management, residents and local governments should be active in designing zoning ordinances and tracking the industry as it develops a presence in our communities.
Suggested Resources:
1) Federal Environmental Protection Agency (EPA) – Eyes on Drilling: www.eyesondrilling@epa.gov, 1.877.919.4372,
2) PA Department of Environmental Protection (DEP): www.dep.state.pa.us, or call your regional office
ADDITIONAL RESOURCES AND INFORMATION
Senator Ferlo has prepared an “Emergency Contacts for Gas Fields Residents” postcard that you can keep close at hand in the event of an accident at a well site or on the roads. Please report any incidents immediately by calling 9-1-1 and the relevant local, state, and federal authorities.
- CLICK HERE to view the Emergency Contacts Postcard: Know Your Rights – Know Where to Turn
Common Cause released a comprehensive report of the power of the fracking industry on federal and Pennsylvania government in November 2011.
- CLICK HERE to read this compelling report: Deep Drilling, Deep Pockets