Shale Law Weekly Review
The following information is an update of recent local, state, national and international legal developments relevant to shale gas. Subscribe for updates.
Shale Law Weekly Review – May 18, 2020
National Energy Policy/LNG Exports: Department of Energy Issues Proposed Rule for Changes to NEPA Implementing Procedures
On May 1, 2020, the U.S. Department of Energy (DOE) issued a Notice of Proposed Rulemaking for changes to the Department’s National Environmental Policy Act (NEPA) implementing procedures. The proposed rule states that DOE intends to amend its policies regarding NEPA review of certain imports and exports under the Natural Gas Act. DOE is proposing changes to its procedures based on the legal principle found in Pub. Citizen and Sierra Club that NEPA review does not include review of environmental effects that an agency has no discretion over. See Dep’t […]
Shale Law Weekly Review – May 12, 2020
Water Quality: Supreme Court Vacates Kinder Morgan Pipeline Spill Case in Light of Recent Clean Water Act Decision
On May 4, 2020, the U.S. Supreme Court ordered that a Kinder Morgan pipeline leak case be vacated and remanded in light of a recent Clean Water Act decision (Kinder Morgan Energy Partners, L.P. v. Upstate Forever and Savannah Riverkeeper, No. 18-268). The case was remanded to the U.S. Court of Appeals for the Fourth Circuit following the Supreme Court’s recent decision in County of Maui v. Hawaii Wildlife Fund, 590 U. S. ___ (2020). In 2014, Kinder Morgan’s Plantation pipeline ruptured and leaked 370,000 […]
Shale Law Weekly Review – May 4, 2020
Pipelines: Federal District Court Denies Stay Regarding Keystone XL Pipeline Permit Decision
On April 28, 2020, the U.S. District Court for the District of Montana denied a request to stay an April 15, 2020, order issued by the court to vacate a Nationwide Permit 12 (NWP) for the Keystone XL pipeline. (Northern Plains Resource Council v. U.S. Army Corps of Engineers, No. CV-19-44-GF-BMM). The U.S. Army Corps of Engineers filed the request for partial stay pending appeal of the case and requested an expedited briefing on the issue. (order p. 1). The Corps specifically requested that paragraphs five and six of the April 15th […]
Shale Law Weekly Review – April 27, 2020
Production and Operation: Oklahoma Corporation Commission Approves Emergency Order Allowing Oil Producers to Shut-in Wells in Response to COVID-19
On April 22, 2020, the Oklahoma Corporation Commission announced approval of an emergency order allowing oil producers to shut-in or reduce production of oil wells for the prevention of waste. The order was approved in response to a request from LPD Energy Company LLC seeking to prevent waste by stopping or reducing oil production without impacting the company’s lease agreement. The request stated that due to a decline in demand and oversupply from COVID-19 circumstances, LPD is losing $200,000 per month by producing “economically […]
Shale Law Weekly Review – April 21, 2020
LNG Infrastructure: Texas Environmental Commission Grants Air Permit for Annova LNG Facility
On April 8, 2020, the Texas Commission on Environmental Quality granted an air quality permit for Annova’s liquified natural gas (LNG) common infrastructure facility. The Commission approved the permit during an online meeting (item called 1:09:13). The Commission received nine requests for hearing on the matter. Two of the requests failed to submit timely comments and were thus denied on statutory procedural grounds. The Commission stated that the remaining seven requesters lived too far from the proposed site for the air quality to affect them differently than the general […]
Shale Law Weekly Review – April 14, 2020
Biofuels: Court of Appeals Denies Request for Rehearing on Renewable Fuel Standard Exemptions
On April 7, 2020, the U.S. Court of Appeals for the Tenth Circuit denied a request for rehearing from small oil refineries regarding renewable fuel standard exemptions. (NCGA news release, Renewable Fuels Association v. EPA, No. 18-9533). The request was filed in response to a January 2020 ruling by the court that vacated the Environmental Protection Agency’s (EPA) extension of renewable fuel standard exemptions to three small oil refineries. (Jan. Order, pg. 99). EPA issued a news release stating that it planned to implement the court’s January decision once […]
Shale Law Weekly Review – April 7, 2020
National Energy Policy/Public Health: EPA Announces Temporary Policy Change for Environmental Compliance Obligations Amid Covid-19
On March 26, 2020, the U.S. Environmental Protection Agency (EPA) announced a temporary policy change for environmental compliance obligations amid the Covid-19 outbreak. EPA recognized that many firms under environmental compliance obligations may have had changing circumstances due to Covid-19 social distancing protocols that restrict the ability to continue with normal business operations. The policy’s scope is intended to address staff shortages that may affect laboratory services, reporting and emissions requirements, or management of hazardous waste and drinking water. EPA outlined enforcement discretion for civil violations in […]
Shale Law Weekly Review – March 23, 2020
Federal Lands: Ohio District Court Rules that Wayne National Forest Leasing Decisions Failed to Account for Impacts of Hydraulic Fracturing
On March 13, 2020, the U.S. District Court for the Southern District of Ohio ruled that the decision to lease land for mineral extraction in the Wayne National Forest (Forest) failed to account for the impacts of hydraulic fracturing. (Center for Biological Diversity v. U.S. Forest Service, No. 2:17-cv-372). In October 2016, the Bureau of Land Management (BLM) issued an Environmental Assessment with a Finding of No Significant Impact on lands proposed for leasing in the Marietta Unit of the Forest. In […]
Shale Law Weekly Review – March 16, 2020
LNG Infrastructure: FERC Issues Final Environmental Impact Statement for Alaska LNG Project
On March 6, 2020, The Federal Energy Regulatory Commission issued a Final Environmental Impact Statement (EIS) for the Alaska LNG Project (Project). The Final EIS concluded that the project would cause some impacts to the environment that could be reduced or mitigated through various proposed measures. However, FERC found that some permanent impacts of the Project would be significant and adverse to permafrost, wetlands, and forests in Alaska’s North Slope area. The project would also likely adversely affect six federally listed species: the spectacled eider, polar bear, bearded seal, Cook […]
Shale Law Weekly Review – March 9, 2020
Production and Operation: Pennsylvania Quarterly Natural Gas Report Shows Continued Increase in Production
On February 26, 2020, the Pennsylvania Independent Fiscal Office released the Natural Gas Production Report for the fourth quarter of 2019. While the report shows an overall increase in production from the fourth quarter in 2018, the 7.6 percent increase equates to the “lowest growth rate in over two years.” More specific data shows that all of the growth comes from wells that were spudded in 2018. The number of horizontal wells increased by 8.3 percent in the last year, and horizontal production increased by 26.8 percent in […]
