North Carolina’s Shale Play: Not YetBy Ben Winikoff
Brief History
Unlike conventional natural gas and oil which has pooled and collected under a layer of impermeable rock, shale oil and gas is trapped within an impermeable source rock and cannot escape on its own.
USGS Assessments
These reserves are from ancient freshwater sources that formed during the Mesozoic period.
Much smaller than the Backken,Marcellus, and Barnett Shale
Source: USGS
1, 709 Billion cubic feet of Gas. In Surveyed NC Basins
Compare to: Marcellus Shale, 141 trillion cubic feet (TCF)
Roughly 10 billion dollars in Natural Gas Reserves in the state
Why a State Problem?
Lobbying groups have successfully carved out exemptions for natural gas
Source: http://www.americanprogress.org/issues/green/news/2011/06/03/9886/bringing-fracking-to-the-surface/
Pre-Drilling Standards
Baseline Water Data on Water QualityBiggest problem states face is lack of information about the water quality before drilling begins
Drilling Regulation Dispute: How to Deal
with Wastewater
Environmental Recovery
Preventing Cleanup Costs From Shifting to Taxpayers
- Bonding Requirements
- Spill Response or Contingency Plans
- Strict Liability
Side-By Side Comparison
Regulation Pennsylvania
Ohio BLM Winikoff
Pre-Drilling Water
Analysis
Waste Water Disposal ?
Underground
Treatment Facilities
ProtectionsBonds
Protection Plans
Strict Liability
Pennsylvania
✗Presumptive
Liability
✓
✗
✓
✓
✓
✗
Ohio
✓Mandatory
Testing
✓
✓
?
✓
✓
✗
BLM
✗
✗
✗
✗
✗
Winikoff
✓Mandatory
Testing
✓
✗
✗
✓
✓
✓