For those of you who were not able to attend the meeting on Feb 5th:

Citizen Participation in South Monterey County,

By Susan Raycraft

On Saturday, February 5, Monterey County Supervisor Simon Salinas, County Planning Staff, BLM staff, a Western States Petroleum Association representative, citizen groups, and Planning Commissioner Chair Jay Brown, addressed a public meeting at Lockwood’s Community Center at Harden Square, responding to citizen concerns about the expanding oil and gas development in the Third District of Monterey County. The use of chemically injected deep formation hydraulic fracturing, or “fracking” of the Monterey Shale in Lockwood, Jolon, Old Jolon, San Antonio, Bryson-Hesperia, San Antonio Lake, and Hames Valley, was just one of many issues on which the Supervisor Salinas and Planning Director Mike Novo focused on in leading the discussion.

The citizens and public officials gathered are not opposed to drilling, per se; they are concerned about new methods which may be unregulated and potentially destructive over the long term. What citizens really want is for their elected officials to be good managers of the public good, and participating in meetings like Saturday’s is one way to help them do that. The approximately 75 attendees asked questions for over an hour, following presentations by the county and BLM Field Office Manager, Rick Cooper. Mr. Cooper revealed the location of pending lease sales in Hames and Lockwood and provided detailed information about owner-oil company relations on “split estate” parcels (those where one owner controls surface rights and the federal government controls mineral rights).

BLM is planning a lease sale of approximately 2600 acres in the Hames Valley, where Venoco has already been issued permits for exploratory wells using the chemically injected hydraulic fracking technique, a process that is distinct from the steam injected shallow well drilling common in San Ardo. Though BLM has never inquired of its lessees what kind of drilling is planned, as the wells are to be over 8,000 feet deep, they will of necessity use the deep well chemical injected fracking technology. In the past, the wells in Monterey County, especially in San Ardo, have all been what are considered shallow wells, utilizing conventional methods.

There was a great deal of discussion as to whose responsibility protecting water below the surface around any of the new wells actually is, and both agencies represented are working on clarification. Citizen concerns that the exemption of natural gas and oil drilling chemical injection fracking from provisions of the Federal Clean Water act and Safe Water Drinking Act, and hence oversight by the Environmental Protection Agency by the Bush-Cheney Energy Act of 2005 (called the Halliburton loophole), insures that no federal or state agency is authorized to monitor the water quality effects of chemical pressure fracking. The attending agencies conceded the situation was confused though efforts are being made to work around the loopholes to protect local water quality. Testing of local wellwater prior to expansion of fracking techniques was also of concern. At this point, the county is certain that at least one chemically injected fracking well is being drilled by Venoco, and nine more are on appeal by local groups in an appeal that will be heard in late March before the Planning Commission.

Many sides of the complex issues were discussed, including the reliance of Americans on oil to fuel their cars and homes, and the political expediency of reducing U.S. reliance back on imported oil. Concerns about use of large quantities of ground water depleting local aquifers, unknown mixtures of chemicals being injected deep into the shale underlying agriculture lands adjacent to our rivers and lakes, and how contaminated water is recycled and disposed of were all expressed. Unfortunately, a representative of Fort Hunter Liggett was not present and so how such drilling may or may not be done on Base lands was not clarified, though citizen groups are pursuing a clarification this month from the Base. At this time, all oil drilling is prohibited on the Monterey District of the US Forest Service.

A representative of major oil companies presented the industry viewpoint that fracking is safe for our type of deep shale, which differs from some of the areas of Colorado, Wyoming, Delaware, New York and Pennsylvania experiencing groundwater contamination from the process, as documented in the film, “Gasland.” All conceded that it is in the public interest to switch from reliance on foreign oil to other forms of fossil fuel, to enhance CAFE (fuel efficiency standards by an act of Congress) and to move toward use of more natural gas rather than coal or nuclear power. However, whether such gas can be withdrawn from the formations in our area safely without depleting or contaminating ground water aquifers, based on the very limited available science so far disclosed to the public, is unclear. A citizen asked why there wasn’t more attention to cleaner, non carbon releasing alternative energy sources, like solar and wind power, and to conservation, and to her question, Planner Novo responded that the county has some permits pending for alternative energy development.

All speakers answered the many questions that came from the floor in a round-robin that balanced opinion from industry experts and representatives and the planning staff and BLM. Everyone left with a clearer understanding of both the issues and the processes in place (or not) to address them. There are a number of undecided issues about regulation, such as whether pending BLM land leased for wells will include County permitting of well operations. The BLM Environmental Assessment of their upcoming sale, which is of parcels right above and upgradient from San Antonio Reservoir, should be available around April 1st. The BLM representative made it clear that Congressional action could be taken to protect at least parts of southern County from any future BLM related oil and gas development (such as the Pinnacles, lands near the Forest Service Monterey District, and Fort Hunter Liggett).

As meeting Chair Susan Raycraft expressed in her Introduction, “It is only through thoughtful consideration of options that we can prepare for responsible action.” Many people, including the spokespersons for the county, BLM and the oil industry thanked the meeting’s organizers, a loose coalition of concerned local people linked mainly by email who came together as HOLD (Halt Oil Lease Drilling) to organize the gathering and create a forum for education and discussion on issues that affect us all. The group now plans to seek citizen involvement in formation of a South Monterey County Citizen’s Planning Association, modeled after the every effective CPA in Santa Barbara County. The goal will be to broaden public participation in ALL issues affecting the public.

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CAPTION FOR PHOTO: The serious looks on the faces of BLM Hollister Field Office Mgr. Rick Cooper, Monterey County Supervisor Simon Salinas, Planning Director Mike Novo, Planning Commissioner Jay Brown, HOLD spokesperson Steve Craig, Dave Smyser of Western States Petroleum Association, and Panel Moderator Fred Kenyon (standing) suggest the gravity of the issues, and the depth of the discussion held at Saturday’s meeting in Lockwood.

NYTimes Article on Fracking & Earthquates published yesterday!

Below, I have reproduced an article about fracking in Monterey County in the current issue of the Oil & Gas Journal that a member of HOLD sent out. I also have a map of the Salinas Valley Aquifer that a concerned bigsurkate reader sent me. Should we be worried? Should all those who eat from the Salad Bowl of the World be worried? I think so.

Here is an article in the current issue of Gas & Oil Journal, which can be found online here: Oil & Gas Journal

“Jan 24, 2011

Alan Petzet
Chief Editor-Exploration

The under explored Miocene Monterey formation is easily the largest
shale oil play in the US with more than 3 billion bbl proved so far,
said Timothy Marquez, chairman and chief executive officer, Venoco
Inc., Denver.

Venoco doesn’t expect the Miocene to be as good onshore as it has been
offshore in the Santa Barbara Channel South Ellwood field, for
example, where estimated ultimate recoveries range as high as 12
million bbl/well and average 5 million bbl/well. About 11,000 wells
have tested the Monterey onshore in the last 50 years, Marquez said.

The undeserved reputation of California as a difficult place to do
business may have kept many exploration and production companies from
entering the state, but that appears to be changing, Marquez said.
Most drilling has been to shallower zones, more than 200,000 wells
have been drilled, and major oil companies control 78% of the
production in California, he added.

Characteristics of the naturally fractured Monterey formation compare
favorably with those of most other US shale plays, he noted. Even in
North Shafter field in the San Joaquin basin, where Monterey quality
isn’t as good, Venoco drew encouragement because numerous wells have
cumulative production of 400,000 bbl of oil 20 years after completion
with older technology.

Venoco drilled 11 Monterey wells last year. It plans to drill 22
development and 11 evaluation wells in 2011, focusing on the San
Joaquin and Santa Maria basins and the Salinas Valley, and 50 wells in
2012.

Venoco and Occidental Petroleum Corp. should receive final data in the
third quarter of 2011 from a 520,000-acre 3D seismic survey shot last
year in the San Joaquin basin, the state’s largest 3D shoot ever. The
data will help in planning horizontal wells, Marquez said.

The company has drilled its first two Monterey horizontal wells in the
Santa Maria basin and awaits four-stage fracs expected in a few weeks
to test that technology vs. acid treatments that have worked well in
the Monterey elsewhere. It is also drilling a horizontal Monterey well
in the Salinas Valley. Most of the company’s leases have 10-year
primary terms.

Marquez urged the industry to focus on EURs rather than initial
potential flow rates in reporting Monterey results.

Venoco, without an announcement, sold its small interest in Cat Canyon
field in the Santa Maria basin in the 2010 fourth quarter as being
fairly depleted in the Monterey, Marquez said.”

And here is the link for the aquifer map and discussion about the geological properties of the Salinas Valley: Salinas Valley Aquifer

Finally, here is the position of the BLM on the drilling on their land, courtesy of Steve Craig of the Ventana Trust:

“BLM appears not to be in the position to take responsibility for any
hydraulic fracking decsion-making at all. Their discretion is
superficial only, quite literally. The issue moves to the Division of
Gas and Geothermal Resources (DOGGR). DOGGR is a state agency
(website: http://www.conservation.ca.gov/dog/Pages/index.aspx). We will see how the state and federal regs are interpreted. Fracking may in essence be unregulated as to water and air quality impacts if a
federal pre-emption of state rules is invoked by the drillers.

DOGGR only works a few days a week due to furlough requirements, soon to be increased, and I think we will find they cannot enforce Clean Water Act, Safe Water Drinking Act, and Clean Air Act due to
exemptions in the Bush-Cheney-Halliburton 2005 energy bill. I should have an answer on that issue within a week.
Steve [Craig, Ventana Trust]

From the BLM:

Steve,

As noted earlier, I’m not the minerals specialist, but it is my job to help the public understand how oil and gas is regulated by BLM and the State of California.

Of course, the many layers of government can be confusing, but generally BLM is only responsible for the effects of energy development on the surface; whereas the State of California Department of Conservation’s Division of Oil and Gas is responsible for regulating all the activities that take place underground (i.e. subsurface).

In other words, the California Division of Oil and Gas (CDOG) has strict regulations for oil and gas drilling in California (including the use of hydraulic fracturing technology) that are not within the jurisdiction of BLM, so we can only analyze the associated issues/concerns (i.e. water quality) based on information that’s available at the leasing stage.

Anyway, here’s a link to the CDOG website that describes rules and
regulations for oil and gas drilling in California (which happen to be much more strict than the federal standards!):

Department of Oil & Gas regulations

regards,

Sky Painter Murphy
BLM Hollister Field Office

And there you have it – or at least some of it. I will continue to keep all of us as informed and aware as I can, but contributions always appreciated. Don’t forget the meeting on Feb. 5th. I will post a reminder closer to the date.

HOLD (Halt Oil Lease Drilling) has been sending me emails for a while, and today, I decided I finally needed to share with interested readers some of what is going on directly behind the Santa Lucia Mtns. from us.

I have seen a number of specials and reports on this concept of “fracking” technology, and it is very controversial, potentially deadly to humans, animals, and the environment, and has been temporarily halted in the state of New York. If you are not familiar with it, google it and read up. It is frightening. Yet, that is what one company is proposing to do on lands leased from the BLM here in Monterey County.

If you’ve never heard of fracking, here is a very recent informative article, with an environmental slant, that also includes a video demonstrating just one of the concerns of this process:
Fracking Information

Filmmaker Josh Fox has released the highly acclaimed film Gasland about the fracking process. Fox was approached about leasing his land for drilling and set out to explore the Halliburton-developed technology and its environmental and social impacts. The film won a Special Jury Prize at the 2010 Sundance Film festival, and will be running on HBO through 2012. You can get information about the movie, the action one can take and a wealth of information at the website: Gasland, the Movie

HOLD held a meeting in Lockwood on Saturday, Dec. 4th, and this is a portion of what the organizers of HOLD sent me:

“Approximately 30 people attended a public discussion on the issue of oil drilling in the Hames and San Antonio Valleys, where new techniques of deep horizontal drilling and fracking have made heretofore economically unfeasible resources a focus of development by a major oil company. The meeting was convened by the local citizen’s group HOLD.

Steve Craig of the Ventana Conservation and Land Trust discussed his dealings with Monterey County and Venoco, the company behind the expansion, which potentially targets over 6,000 acres in private and BLM stewardship.

His group appealed a decision on this issue and has a hearing scheduled for next week before the Monterey County Board of Supervisors (Planning Commission?). He received a call from a Venoco representative yesterday stating the company will ask the county to go ahead with the EIR (at the company’s expense), rather than accept the county staff’s recommendation that a consultant be hired to assess whether an EIR is necessary. [What may actually be on the agenda is whether or not to waive the appeal fee for Craig’s group, with the EIR concerns delayed for further reports and/or action.]

The local Monterey shale is basically the same as that on the East Coast where these practices have been used for long enough to have a cursory idea of their environmental impacts.

No one knows about long term effects, such as in our case, being only 8 miles from the Pacific Ocean, salt water intrusion into deep layers of the earth newly disturbed by these invasive techniques of mineral extraction.

Craig pointed out that the US Forest Service did an extensive study and has totally rejected any further drilling on the public lands under their stewardship in Monterey County, and that Fort Hunter Liggett is dramatically expanding its water delivery system to accommodate planned expansion. BLM (Bureau of Land Management) will release its Environmental Impact Statement on the issue soon.

If you would like to review the Monterey County Planning Commision Staff Reports and Exhibits for the December 8, 2010 meeting, go to

http://www.co.monterey.ca.us/planning/major/Venoco/PC_Staff_Rpt_and_Exh_for_120810/Venoco_PC_Staff_Report_and_Exhibits_for_120810.htm

Educate yourself, and then express your educated opinion about the use of “fracking” in Monterey County to anyone who will listen, but particularly for those who won’t. I don’t think it will happen, but I’d rather be knowledgeable, and follow this issue here in Monterey County or any neighboring county, ready to take action, then to suddenly learn it has been implemented while I was living in ignorance.

There are many important environmental issues that need to be addressed, but I can’t think of anything more important than the permanent and irreversible damage to our water systems. It is basic survival. Get informed, and get active.