CNX fined for 2019 shale gas blowout
CNX Gas Co. LLC has agreed to pay a $175,000 fine to settle violations related to a January 2019 Utica Shale gas well blowout in Washington Township, Westmoreland County.
The very visible well drilling failure allowed gas from the Utica Shale well to flow into nine nearby shallower gas wells, causing the Cecilbased company to burn off or “flare” gas from them all to alleviate pressure at the wells.
The state Department of Environmental Protection said in a Thursday announcement of the consent order and agreement with CNX that the blowout at the company’s Shaw 1G Utica well was likely caused by cracks in the well’s “casing,” a concrete sheath around the well pipe that extends underground to prevent gas from the well from contaminating shallower groundwater, rock and soil formations and nearby wells.
DEP Secretary Patrick McDonnell said in the release that the department’s investigation and determination of cause will help improve drilling practices to better protect the environment.
“As technology changes, DEP works within our regulatory framework to update regulations, but also issues technical guidance and engages in work groups with various industries to constantly improve and uphold our mission,” Mr. McDonnell stated.
According to the state department’s release, CNX was performing hydrological fracturing or “fracking” on the Shaw well on Jan. 26, when an unexpected loss of pressure caused the uncontrolled flow of gas into shallower geologic formations and the nine nearby wells.
CNX temporarily flared the wells to relieve gas pressure but didn’t regain control of the Shaw well until Feb. 4, when, the DEP said, it stopped the vertical flow of gas by pumping heavy mud into the wellbore, also referred to as “killing the well.”
According to the DEP, CNX failed to use strong enough casing and other safety measures to prevent blowouts, failed to maintain well integrity and vented gas into the atmosphere.
The nine conventional wells returned to normal operating pressures, and the DEP said no spills or releases of fluids to the surface were observed or reported as a result of the incident.
CNX’s investigation concluded, according to the DEP, which concurred, that stress cracks in the Shaw well casing “most likely caused the incident.”
The DEP stated that the company now uses well casings that are less susceptible to cracking in all of its newer Utica and Marcellus shale wells, and has retrofitted all of its wells where the old, more brittle casings were used.
Brian Aiello, a CNX spokesman, said the company worked with the DEP, the Municipal Authority of Westmoreland County and local stakeholders to respond to the well problem with no injuries or adverse environmental impacts.
“The collaborative nature of the investigation into this matter yielded results that will further continuous improvement and innovation in CNX’s operations and that of the entire industry,” Mr. Aiello said in an email response to questions.
The state said the Shaw well is plugged to a depth of approximately 2,000 feet, allowing the company to control gas flows and pressure in the shallow conventional wells.
CNX intends to frack the three remaining wells on the Shaw pad, the DEP said, but noted that the consent order requires the company to “maintain control of the Shaw 1G Utica well at all times, report flow increases greater than 5,000 cubic feet per day, and submit a corrective action plan to DEP in the event of flow increases.”
The company is also required to monitor pressures at the nine conventional gas wells affected by the original incident at least once every day during the fracking of the other Utica wells and to report pressure changes to
DEP. The company must conduct quarterly inspections of the original Shaw well for five years or until CNX completes plugging of the well.
The $175,000 civil penalty will be deposited in the state’s Oil and Gas Fund, which provides money for plugging abandoned wells.
Mariner East fine
Also Thursday, the DEP announced it has assessed Sunoco Pipeline LP a $355,636 penalty for discharging drilling fluids into rivers and streams during the construction of the Mariner East 2 pipeline in Berks, Blair, Cambria, Cumberland, Delaware, Lebanon, Washington and Westmoreland counties.
The violations took place between August 2018 and April 2019, and the penalty was part of a “Consent Assessment of Civil Penalty” signed earlier this month.
The DEP said Sunoco’s horizontal drilling activities under rivers and creeks caused drilling fluid discharges into Piney Creek in Blair County; tributaries and wetlands connected to Hinckston Run, Stewart Run and Little Conemaugh Creek in Cambria County; Letort Run and wetlands and tributaries to the Yellow Breeches Creek in Cumberland County; a tributary to Chester Creek in Delaware County; Snitz Creek in Lebanon County; a tributary to Peters Creek in Washington County; and a tributary to the Conemaugh River in Westmoreland County.
The DEP stated that a portion of the civil penalty, $5,912, will be paid to the county conservation districts to cover investigation costs. The remaining penalty, $349,724, will be paid to the state Clean Water Fund.