March 31, 2024
Shale Law Weekly Review—Week of April 1, 2024
Wildlife Habitat: Bureau of Land Management Proposes Changes to Sage-Grouse Conservation and Management ⚡
On March 14, 2024, the Bureau of Land Management (BLM) announced it was proposing to “strengthen greater sage-grouse conservation and management on public lands,” which spans across eleven western states, including California, Colorado, Idaho, Montana, Nevada, North Dakota, Oregon, South Dakota, Utah, Washington, and Wyoming. BLM subsequently published a Notice of Availability of the Draft Resource Management Plan Amendment and Environmental Impact Statement for Greater Sage-Grouse Rangewide Planning, 89 Fed. Reg. 18,963 (March 15, 2024). The Draft EIS considers six alternatives, noting Alternative 5 as the “preferred alternative.” Alternative 5 proposes a tailored science-based approach that refines habitat management areas and permits more flexible resource development, including oil and gas in Wyoming. This alternative also prioritizes compensatory mitigation for impacts on Sage-Grouse habitats and introduces adaptable measures for managing wind, solar, and rights-of-way projects. The comment deadline is June 13, 2024, and comments can be submitted here.
Water Use: Thirty Shale Gas Well Pads Approved by Susquehanna River Basin Commission Across Several Counties
On Saturday, March 16, 2024, the Susquehanna River Basin Commission (SRBC) published a list of projects approved for the consumptive use of water from January 1, 2024, to January 31, 2024. All thirty projects that received water source approval are natural gas well pads located in the counties of Bradford, Clearfield, Lycoming, Sullivan, Susquehanna, Tioga, and Wyoming. According to the notice, the SRBC follows the standards for consumptive uses of water found under 18 CFR 806.22(f) to determine whether a natural gas project is permitted to use water for onsite drilling or hydrofracturing.
International Development: Peruvian Court Issues Ruling Granting the Marañón River Certain Intrinsic Rights
On March 15, 2024, the Peruvian Mixed Court in the City of Nauta issued a ruling granting the Marañón River certain intrinsic rights. The Court acknowledged that the river maintains “intrinsic value” and certain rights, such as that to exist, ecological flow, restoration, freedom from pollution, to fulfill its intended ecological functions and, notably, representation. The Court noted that certain interest groups could act as “guardians, defenders and representatives” of the river before courts and other governmental bodies. The Marañón River provides communities in Loreto with fresh drinking water and was polluted by several local oil and gas pipelines. The Huaynakana Kamatahuara Kana Federation, a Peruvian ingenious persons’ interest group, initiated the case against Peruvian water and environmental government agencies. More information about the ruling and background on the issue can be found on the websites of Inside Climate News and Common Dreams.
State Regulation: DEP Issues Water Contamination Violation to Blackhill Energy, LLC
On February 8, 2024, the Pennsylvania Department of Environmental Protection (DEP) issued a notice of violation to Blackhill Energy, LLC regarding a June 2022 water supply contamination in Springfield Township, Bradford County, PA. The notice states that while drilling at the four active wells at Jackson A South Well Pad, Blackhill failed to prevent shale gas from migrating into groundwater in violation of the 2012 Oil and Gas Act and Clean Streams Law. The groundwater then contaminated three nearby private water supplies, each of which were found to have high levels of dissolved methane & a showing of combustible gas. The DEP previously sent Blackhill Notices of Presumption outlining their responsibility for replacing or restoring the affected water supplies. Blackhill began remedial work at the wells in January 2024, and per the violation, had until March 10, 2024, to provide the DEP with information regarding the inquiry into the gas migration, correction of the violations, and preventative measures adopted to prevent reoccurrence.
State Regulation: CNX Gas Company LLC Receives DEP Violation for Unauthorized Water Withdrawal
On March 8, 2024, the Pennsylvania Department of Environmental Protection (DEP) issued a notice of violation to CNX Gas Company LLC for failure to conduct water withdrawal in accordance with their DEP approved water management plan. CNX improperly withdrew 28,000 gallons of water in April 2023 from Greene County, Pennsylvania, and over 1.8 million gallons between June and August 2023 from Washington County, PA. CNX used this water to support shale gas fracking, and in doing so violated several Pennsylvania environmental statutes including the Clean Streams Law and the 2012 Oil and Gas Act. While the DEP did note that the violations had been corrected, the notice required CNX to explain why they made the unauthorized withdrawals and explain current procedures they have in place to prevent reoccurrence.
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CENTER PROGRAMS & RESOURCES
Understanding Agricultural Law – A free monthly Zoom webinar series for all agricultural and rural business advisors. One hour of substantive CLE credit available for Pennsylvania-licensed attorneys at no charge. Recordings and materials from the series, more information, and registration available here.
- April 26, 2024, 12:00 – 1:00 pm (ET). Understanding the Basics of Producer Protections for Buyer Default. (Register)
On Tuesday, April 16, 2024, from 12 noon–1:00 ET, the Penn State Center for Agricultural and Shale Law will conduct the latest installment in its Quarterly Dairy Legal Webinar series. Each quarter’s free one-hour webinar covers the legal and regulatory developments in the U.S. dairy industry from the preceding quarter, as well as including an in-depth look at a single focus topic of law, regulation, or government policy of interest to dairy professionals of all kinds.
- April 16, 2024, 12:00 – 1:00 pm (ET). April 2024 Quarterly Dairy Legal Webinar: Overview of U.S. State Milk Pricing Systems. (Register)
Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks
Berkeley plans to repeal first US gas ban (E&E News)
US natgas rig count falls to lowest since January 2022 – Baker Hughes (Reuters)
US gas producers shrug off low prices, bet on LNG boom (Reuters)
US EPA rule would impact gas pipelines; PJM stakeholders pursuing power-gas coordination (S&P Global)
16 Republican AGs sue Biden administration over LNG exports pause (The Hill)
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Penn State Farmland Energy Legal Podcast: Listen to the latest episode here.
Oil & Gas Law & Policy Resources:
Bloomberg, NATO Makes Its Wartime Debut As a Climate Tech Investor (March 26, 2024)
Energy Connects, ADNOC Distribution shareholders approve new five-year dividend policy (March 28, 2024)
Energy Connects, ADNOC announces first production from Belbazem Offshore Block (March 28, 2024)
Sartain, Floating Beats Fixed in Another Royalty Dispute (March 28, 2024)
Bloomberg, Exxon, Cnooc Merge Guyana Arbitration Claims Against Chevron (March 28, 2024)
FEDERAL ACTIONS—EXECUTIVE & LEGISLATIVE
U.S. DEPARTMENT OF ENERGY PRESS RELEASES
Biden-Harris Administration Invests $22 Million to Improve Siting and Permitting for Large-Scale Renewable Energy and Energy Storage (March 25, 2024)
DOE and DOL Announce New Effort to Support and Expand America’s Battery Workforce (March 26, 2024)
Biden-Harris Administration Announces $1.5 Billion Conditional Commitment to Holtec Palisades to Support Recommission of Michigan Nuclear Power Plant (March 27, 2024)
Biden-Harris Administration Announces $62 Million to Lower Battery Recycling Costs Across the Nation (March 28, 2024)
U.S. ENVIRONMENTAL PROTECTION AGENCY PRESS RELEASES
EPA visits Halfmoon Creek Watershed in Centre County, PA to learn more about local conservation efforts, water quality improvements (March 27, 2024)
EPA Announces 2024 ENERGY STAR Awards for Outstanding Contributions to Energy Efficiency and a Clean Future (March 26, 2024)
EPA enforcement action leads to settlement with school bus transportation company for alleged Clean Air Act violations (March 26, 2024)
EPA Administrator Regan and USAID Administrator Power Formalize Partnership to Advance Environmental Protection Around the World (March 26, 2024)
EPA Regional Administrator kicks off 2024 Pennsylvania Brownfields Conference in State College, PA (March 26, 2024)
FEDERAL EXECUTIVE AGENCIES (Federal Register March 23– March 29, 2024)
Environmental Protection Agency
89 FR 21970: Rule; “Asbestos Part 1; Chrysotile Asbestos; Regulation of Certain Conditions of Use Under the Toxic Substances Control Act (TSCA)” (March 28, 2024)
89 FR 21924: Rule “Clean Water Act Hazardous Substance Facility Response Plans” (March 28, 2024)
Federal Energy Regulatory Commission
89 FR 21503: Notice “Project-Area Wage Standards in the Labor Cost Component of Cost-of-Service Rates” (March 28, 2024)
Energy Department
89 FR 22139: Notice: “National Petroleum Council Meeting” (March 29, 2024)
89 FR 22041: Rule: “Petroleum-Equivalent Fuel Economy Calculation” (March 29, 2024)
Pipeline and Hazardous Materials Safety Administration
89 FR 20751: Notice, Comments Close 5/24/24: “Pipeline Safety: Information Collection Activities: Mitigation of Ruptures on Onshore Gas Transmission and Gathering, Hazardous Liquid, and Carbon Dioxide Pipeline Segments Using Rupture-Mitigation Valves or Alternative Equivalent Technologies and Blending of Hydrogen Gas and Natural Gas Within Gas Pipelines” (March 25, 2024)
Other Agencies
89 FR 20946: Notice; “Taking and Importing Marine Mammals; Taking Marine Mammals Incidental to Geophysical Surveys Related to Oil and Gas Activities in the Gulf of Mexico” (March 26, 2024)
STATE ACTIONS—EXECUTIVE & LEGISLATIVE
PENNSYLVANIA EXECUTIVE AGENCIES (Pa. Bulletin Vol. 54, No. 13 – March 30, 2024)
Department of Environmental Protection
54 Pa.B. 1799: Notice: “Environmental Assessment Approvals for PENNVEST Funding Consideration”
54 Pa.B. 1688: Notices: “Applications, Actions and Special Notices”
Pennsylvania Public Utility Commission
54 Pa.B. 1668: Proposed Rulemaking: “Distributed Energy Resources Participation in Wholesale Markets; Docket No. L-2023-3044115; Fiscal Note # 57-346; Advance Notice of Proposed Rulemaking”
54 Pa.B. 1803: Notices: “Service of Notice of Motor Carrier Applications”
Pennsylvania Legislature
HB 491 “An Act providing for energy efficiency and conservation plans with inclusion of mechanical insulation.” Removed from table [House] (March 27, 2024)
Written by:
Kendal Ashman, Research Assistant
Kole Zellers, Research Assistant
Dillon Lightfoot, Research Assistant
Jasmine Gunning, Research Assistant
Sergio Porras, Research Assistant
Jackie Schweichler, Staff Attorney
