q.. · th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~...

21
r .\ MINUTE ITEM This Calendar Item No . ..£Q.._ was approved as Minute Item · ·. No . .s::$l0 _by the State Lands Commission by a v9tp_ oj to 0 at its meeting. CALENDAR 1 TE:-1 20 3/22/84 iJ 4039i PRC 292C Livenick OF OFFSHORE EXPLORATORY DRi 1,Lli.'iC OPERATIOi\S m: •• ,, • 0 A 35 s 13 OP::RATOR: STATE OIL AND GAS LEASE PRC 2920.1 SANTA BARBARA COUNTY Shell CaU.fornld ''roducti on, Inc. P. 0. Box 11164 3akersfietd, CA 93389-1106 Attn: John Hal tect AREA, TYPE LA!ff, LOCAt 10(,: State Oil and Gds Lease PRC 1920.1 contains approximately 4,250 acres of submerged Lands LUCdCed in Santa Barbara Councy, Califon·.ia 'see Exhibit ''A"). LEASE INFORMATION: Scaca Oil and Gas Lease PRC 2920.1 was oTiginally lsJued co Shell Cil Company, now Shell CaJ1fornia Production. Inc. (SCP!) (50 percent) and to Standard Oii of California, now Chevron, USA. (50 percent), on July 19, 1962. The lease provided for an initial drilling term of years and a continuous drilling obliga:lon of no more than 120 days between wells. -1.- . C• .\1.g-IQAR PAOf!• l7l 592-f

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Page 1: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

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MINUTE ITEM

•This Calendar Item No . ..£Q.._ was approved as Minute Item

· ·. No . .s::$l0 _by the State Lands Commission by a v9tp_ oj ~ to 0 at its ~q­meeting.

CALENDAR 1 TE:-1

20 ~: 3/22/84 iJ 4039i PRC 292C Livenick

CONTI~UAfION OF OFFSHORE EXPLORATORY DRi 1,Lli.'iC OPERATIOi\S m:

•• ,,

• 0

• A 35

s 13

OP::RATOR:

STATE OIL AND GAS LEASE PRC 2920.1 SANTA BARBARA COUNTY

Shell CaU.fornld ''roducti on, Inc. P. 0. Box 11164 3akersfietd, CA 93389-1106 Attn: John Hal tect

AREA, TYPE LA!ff, A::~ LOCAt 10(,: State Oil and Gds Lease PRC 1920.1 contains approximately 4,250 acres of submerged Lands LUCdCed in Santa Barbara Councy, Califon·.ia 'see Exhibit ''A").

LEASE INFORMATION: Scaca Oil and Gas Lease PRC 2920.1 was oTiginally lsJued co Shell Cil Company, now Shell CaJ1fornia Production. Inc. (SCP!) (50 percent) and to Standard Oii of California, now Chevron, USA. (50 percent), on July 19, 1962. The lease provided for an initial drilling term of ~hree years and a continuous drilling obliga:lon of no more than 120 days between wells.

-1.- . C • .\1.g-IQAR PAOf!•

MINU~!>AGf

l7l 592-f

Page 2: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

CALD:DAR l'l'i'.M NO. 2 Q (~~TD)

srn::,1A~Y:

Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons at an average depth of approximately 1,828 m (6,000 feet) subsea. PRC 2920.1 has had as many as five wells produc~ng gas. Only one of these five wells is rresently potentially productive and the known productive reservoirs are believed to be nearly depleted. Since the initial drilling in the early 1960s, several other formations have proved productive in the Santa Barbara Channel. These format\ons have not been tested ln che Shell Molino Lease.

An Environmental Impact Report, certified by the State Lands CommLssion o~ December 16, 1930i addressed the environmental impac: of resumption of drilling operations on the lease and examined specific sites proposed for drilling a~ Lhac tlme. Resumption of drilling opera:lons was approved by the Commission after the environAental review, and SCPI has drilled and abandoned one exploratory well on PRC 2920.1 since :hat approval.

As operator of :he jointly-owned scate lease, SCPI proposes co cont:nue ics exploratory ac:LviCLes by drillLng up to chree exploratory ~ells at three of six selec~ed drill site locations. The proposed wel:s~tes are loca,ed about 3.2-4.0 k~ (~.0-2.5 miles) offshore at Molino in approximately 70-73 m (230-240 feet) of water. The wells will range in depth from approximately 5,000 to approximately 14,000 feec subsea. Each well will take about 120 days co dr1:1. By ~rilling from a jack-up drilling unit, th~ plan Ls to explore ~iocene and Eocene age objectives through the ~iatiiija formacion, below previous development in :he offshore 1iolino Field. SCP!' s proposal is for exploratory aclivi:1es only; upon confirma:ion of com­mercial:y via~le quancL~ies of hydrocarbons as a resul~ ot ~he drillinq and Les::1a acriv1ties, SCP1 mus~ prep~re a develop-ment and production plan, subject :o furcher

-2- r. CAL~RPAOE

MINUT'C ?AGf

Page 3: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

CALEi.;DAR ITEH NO. 2 Q CdbNTD)

env:ronmencal revi~w Jnd analvsis orior to consideration by ~he Seate.Land~ Commission.

OTHER PERTI~ENT INFORMATION: Pursuanc to the Commission's delegation of auchority and the Seate CE~ . .l. Guidelines (14 Cal. Adm. Code 15025), the staff has caused to be prepared a supplemental Environ­mental lmpacc Reporl (EIR) identified as EIR No. 354, Seate Clearinghouse ~o. 63110901. The documenc was circulated for public review and coinmern. pursuant to che provisions of the California Environmental Qualicv Ace (CEOA). The followLn~ significant ~nviron­me~cal irnpaccs were i<lencif l~<l in the El~. These are fol~owed by proposed changes, alLeracions, or permit conditions which should be required in or incorporated into the proposed proj~cL.

1. ~ogy

Impact: Geologic processes rhac cou1a result: in si1$nificanc envlronrenr:at fMpac':s are associated wiLh seisffiic iroundshaking. Ocher processes such as fault rupture, liquefaction, landsliding, curbidity currents, Lsunamis, gas-charged sediments: erosion, uplifc, and subsidence should noc produce significant impacts wichin the site environment.

Mitigation: Proper engineering desi~n, considering the maximum credible earthquake, is considered sufficient mitiga~ion.

2. ,(\IR QUALITY

Emissions associated with che prooosed resumpcion of drilling activities.by SCPI in the Molino field offshore Sanca Barbara Councy would occur in two phases: actual drilling activities and testing for recoverable quanrities of gas and/or oil. Drilling activ~ties will include movement and position­ing o~ the drilling unit (move-in), driilin~, casing, cementing and move-ou~. The majority

-3- CALWCAR-:-0€ ~ M1~"i'C?AG! ~

Page 4: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

CALE~·JDAR ITEM NO. 2 0 ( cci:ro)

of air emissions associated with crillin~ would occur either at the offshore drillin~ site or in an area beLween the offshore site and adjacent port areas (due to :ransit of support vessels and che drill rig). Emissions resulting from the Lescing of gas and1or oil woulld occur at the drilling unit. The emission levels asso~iaced with dri11ing accivicies would vary considerably, depending on che particular operation; however, emissions resulting from gas and/or oil testing would be relacively constant dur~ns the period of actual well flow.

Air quality modeling was peformed for No2

, SO?, and o3 , considering the SCPI proposed drilling program and ocher recent ooerations. Particulate matter emissions were d~rived from the so2 projected impacts.

Impacc: The short-term (one-hour) worst-case impact forecast for nitrogen dioxide 5N0

2)

is estimated to be 0.28 ppm (53: ug/~ ) .

~itigdLion: Upon review of SBCAPCr Rule 2u::i.c, the DisLricc has deteru.ined that only 11itrogen oxides emissions need co be offsec for this projecc. The calculaced nitrogen oxide emissions produced a: the ris and by vessel serving che rig are 5C2 pounds per day. Rule 205.C requires a 1.2 ~o 1 offsec of the project emissions. To achieve the required reduction, a 1,100 horsepower intern~! combustion engine com­pressor at the SCPI tlolino gas plane will be repiaced ty an electric molar driven compressor and che two remaining internal combustion engine compressors will be retrofitted with catalytic converters. The resulting nitrogen oxide reduction would be 713 pounds per day (15 pounds per day more tr -~ required to meec Rule 205.C).

3. Oceanography/Hater Qualicy

Impact: SignLficant adverse i~pi=-s cou!~ resu1: from the sp~llase of oi~. Such impacts include reduc:!on ~n dissolved 0xveen c~ntenc of seaw3ter, reduction tn ii~ht t~ansmission and penetration, and creation of odors.

-4-. 0~' CAL~A PAQE-=-5 9 4 .

MINUTE PACI!

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CALENDAR I rEn ~w. 2 0 ( C~lTt') -- -011-spill cleanup accivities are parcial]y effucc1ve in removing spilled oil from the environment and thus reducinE che ,dverse effects of ch~ oil spill. Howeve~, che cleanup procedure itself can have adverse eff:ecLs.

:·1it. iga Lion: The i.mplementac ion o( c:..eanup ac.'E1vicies will consid::?r these poten:ial impacts and employ chose ~hich resulc in cne lease overall adverse imoacts of both oil-spill and cleanup. ·

'~. Marine Biol 03:i...

Impacc: The erea~es~ poten~ial :~pact ot the SCPI drilling progra~ would be expected to result from an ~pisodic lCat3Stropicl evenl such as a well blowout resultlna in gas discharge or an oil spill. Si,~e che exploratory wells are in coastal waters, the impact of an oil spill would nose likely pose the greatest threat to :he species-rich and biologically important intertidal and sha1low-wacer communities. Add~:tonally, the complicated and seasona~ly variable patterns of surface circ~laclon of coastal waLers would likely presunc containment problems if a spill occun·ed. The anticipated impact of a significant oil spill on the marine bLological communities near the Molino Field include: 1) considerable impact to incertidal communities due to the nearshore drilling location; 2) possible significant damage to subcidal communities due co reduced time for dispersion and dilutioH 1.d che spill; 3) possible s.i.gnificanr., buc unquantifiable, impact to kelp communities; 4) potential lethal and sublechal effects on olanktonic communities; 5) shorc-cerm dir~ct mortalities co fishes (but quick recovery of populations exp~cted); and 6) possible significant mortalicies :o marine birds, particularly, ?elagic birds.

\ .. • • .. " • l • f . ., . " .. . ~1~1gac1on: ~. c1ga~1on o~ Ol- ~~l-- impacts are related co :he effecciveness ,f oii spil: copcin~ency plans. These h~ve ~een aevetoped [or ~he oroposed cro~e:: and are suppie~ented wi:h federal, S:a:~, and iocai provisions for oil spi1: ~.e3nup.

\ 111 .. ,\

-5- CAJ..E.1-.~R ?All€ ·- S95 'LM-INU~•-:_?-AG-f~~--~~~--j

Page 6: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

CALcr:DAf, ITE~1 NO. 2 Q ( C~t:TD)

Ai'houe~ n0L idenc:fiad &s r si~nificant potentLa: imp~ct, Ln order Lo avoid potential conflicts w~ch fishing vessels, SCPI has agreed as a parL of J~S project thar supporc vessel transpor~aclon wil~ follow a course in open wacer beyond 30 fathoms of water depth from Pore Hueneme ~o the drillLng vessel.

The marine biological survey completed as pare of the environmental process has established that none of the areas surrounding Lhe six ~reposed drill sices include significant or endemic resources \vhich are uni cue Lo the ~lolino "transition zone" area. ·Also, oursuanc to a NPDES Permit issued to SCPI ln ~ovember 1983, dUthorizing the dischar~e of muds and cuctinss, a monlcor~ng program will be implemented ~o determine che extent to which benthic organisms may be adversely imoacced and able Lo re-colonize the areas aftected.by nucls anti cut~in~s discharges .

In response co concerns expressed throufh the environmental revle\ process re~arding pocencial conflicts wlth fishing vessels o~ ~ccivities, SCPl has agreed to incorporate, as 1 part of che project, the following: support vessels associaced with the projeGL will follow a course in open water beyond che 30-fathom bachvmetric contour from Port Hueneme to a ~oint opposite the dril!ing unit. The vessels would directly approach the drilling unit from offshore and then depart d~rectly from the drilling unit to the 30-fathom contour and remain outside chat co~cour co Port Hueneme.

The project ls situac~d on lands identified as possessing signifjcant environmental values pursuant to P.R.C. 6370.1, et seq. Cased on the staff's consultation wich the persons nominating such ia~ds and of che CEQA revLeW process ~c is s~aff's opinion chac the projec~, as oroposea, is conslstent wi~h 1cs use c;ass~f!ca:ion .

-6- 11 2

~ .

.\LE.NOAA PAO€

MtNUT'i! P4Ge 596

Page 7: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

CALE~lDAR lTEH NO. 2 0 ( Cdt·;TD)

s·r~\TlJTO;tY A~:D OTHI.:R REFERt.~:CES. A. P.~.~. Div. 6, Parts 1 and 2.

AB 884:

EXHI!HTS:

B. Cal. Adm. Code: Title 2, Civ. 3; Ticle 14, Div. 6.

10/28i84.

A. Location ~ap. ~. ElR Executive Summary.

IT IS RECO~~END~D THAT THE COHMlSSION:

1. CERTIFY THAT f\N EIR, NC. 354 (STATE CLEARH;GHCt:SC: NO. 8110901), WAS PREPARED FOR THIS PROJECT PGRSUANT TO THE PROVISIONS OF CEQA, AND THAT THE CO~MISSION HAS REVIE\VED AND CONSIDERED T4E I~FORHATIOl\ cm\TAINEI: THEREI~.

2. FIND THAT THE FOLLOHH!G SIGNIFICANT EKVlRONr:E~TAL EFFECTS IDENT\FIED BY THE EIR WILL BE MITIGATED BY CHA~GES~ ALTERATIONS., OR PER:•1lT cmmITIONS WHICH HAVE SEE~ REGL1IRED FOR OR INCORPORATED iNTO THE PROPOSED PROJECT:

A. GE.OLOGY

E'iPACT: GEOLOGIC PROCESSES THAT COULD R~SOLT IN SIGNIFICANT ENVIPO~~ENTAL IMPACTS ARE ASSOCIATED WITH SEIS~lIC GROUND ~-10VE~·lENT.

FINDING: CHANGES OR ALTERATrm:s HAVE BE~N REQUIRED IN, OR INCORPORATED INTO, THE PROJECT WHICH AVOID OR SUBSTANTIALLY LESSEN THE SIGNIFICANT ENVIRC~~ENTAL EFFECT AS IDENTIFIED IN THE F!~AL EIR.

THE REGULATION OF DRILLING ACTIVITIES AND WELL CONSTRUCTION ARE ALSO ~ITHIN THE RESPONSIBILITY AND JCRIS~ICTION OF ANOTHER PUBLIC AGENCY IN ADDITION TO THE AGE~CY MAKl~G THE FI!:DIXG. SUCH CHANGES HAVE BEEN ADOPTEC, G& CAN AND SHOULD BE ADOPTED, BY SUCH CT~ER AGE~CY.

FACTS St:PP0RTI:~G rn:n~G: STAI:: LAYCS c.:u::~ 1 15:::.i.c:; kt.GOL..;·fl{j~!) t CAL. Af'::r~:. CODC, TITLE 2, GIVISIO~ 3, A~71CLL 3.2, SECTIOZXS 2125 THROUGH 212c 'f ?:,cvrrE FUR DRILLn:G OPERATIONS A~::' ?I::>E.LI~E CE.SIG~. A:~c CONSTRUCTim. A);:' ·:?Er, . .l.TI ;\

-7- C.U.E.NOAi\ ?AG£

MIOOT?PAG!

Page 8: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

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T~:sc ~EGULATIO~S A~C l~CORPORATED h~REI~ BY R~FERE~CE.

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IN A~DITION, T~E CALIFOR~!A DIVISION OF 01 L AND GAG HAS SI:!ILA~ P.EGUI ATORY R£SPONSIBILITY' AND AlJTHOP.!TY ov _~R t'RILLn;c ACTIVITIES AND WELL DESIG~, CO~STRUCTIO~ ,.;;;n OPERATION.

S. AIR GUALITY

H1PACT: SP.ORT-TI::R:·i i'iITRC.'IGEH OXIL'E E>ll::iSIONS ARE EXPCCT!::C TO EXCEED THE O:\E-rlOllR GALI f'OilNIA STA~,DARD.

FrNDWG: (A) cr:A:\GES o~ ALTERATivNS FIAVL'lrEEN REQUIRED FOP., OR INCORPORATED INTO, THE PROJECT ~HlCH AVOID OR SUBST.\i;TIALLY LESSEN THE SIG~IFICAXT E~VIRO~MENTAL EFFECT AS IDE~TIFIED

'

IN THE FINAL EIR; A~D (B) SUCk CHANGES OR ALTERATIONS ARE hIT~l~ THE RESPC~SIBILITY A~'o!' JU1USL'ICTION CF ANOTHEP. PUbLIC Al;El~CY AX!) mn THE .\GE;~CY :·.Ara::c r:-:r: FI~:DH:G. SUCH CHM;CES t'{AVE BEE~ .AfOPTCD BY SUCH OTHER AGENCY OR CAX ANC SHOULD liE ADOPTED BY SUCH OTHER AGENCY.

FACTS SCPPORTING FINDING: JURISDICTION AND Hu.a LATOHY AOTFIORITY OVER AIR ~llALITY IN THE LEASE AREA ~CSIDES ~ITH THE SANTA BARBARA COUNTY AIR POLLUTION CONTROL DISTRICT A~D THE AIR RESOURCES eOA~D. THE DISTRICT HAS AND E~FORCES RULES AN~ REGULATIONS APPLICABLE TO OIL Alm GAS PROJECTS I~ THE WATERS OF THE STATE OF CALIFORNIA. THESE RULES AND REGULATIONS REQUIRE Tr.E USE OF EEST AVAILABLE CONTROL TECHNOLOGY, TRADEOFFS OF EMISSIONS \.JHERE STA~mARDS ARE VIOLATED, AND OTHER APPLICABLE ~iEASURES.

THE EIR IDENTIFIES SEVERAL POTE~TIAL :lITIGATION MEASURES T:iAT TP.ESE AGE~CIES SHOt:LD CO~SIDER. T:iESE. I~CLLT:E:

,\) A :'aTROGE~\ OXILE E.'.ISSIC:·. -ZEDL:CTio.·· l?ROGR.A~1 AT THl:. ~t-!LLL . iCLl;.l GAS PU.~:T.

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CALENO:.R PAG€

MiNOTE PAC'~ ~ 5 9 8

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Page 9: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

CALl'..dDAR I TE.'I NO. 2 0 ( clNTD J

..:; ) r::·rA!~E t".lR COOLU:G A~··n PR[-!~JECTIC(; CHA.1BE~5 FO~~ Pf\L•:t\f..Y pu:..:.i. [~:cu.Es m: THE DRILLl:-JG !{!G. AS \'ELL AS TlJ:,ING OF THOSE El-'.Gi~·;:s.

C) SCRUB.8HiG OF ti2S GAS IF ::ECESSARY.

C. OCt:A::vGRAPHY /t·.-ATCK (CAL I TY

11iPACT: SIGNIFICANT ADVERSE I:·iP.\CTS COULD RESULT FRml THE SPILLAG£ (lf OIL. CLEANUP PROCEDURES CM\ l{A\'C AD\'E.~SE EFFECTS.

FI~DING: CHANGES on ALTERATI0~S HAVE Bt:.EN REGUIRED IN, OR I~CORPORATED INTO, THE PROJECT WHICH AVOID OR SUESTA~TIALLY LESS£N THE SIGNIFICANT E~JVIRON~1ENTAL EFFECTS AS IDENTIFIED I~ T~E FI~AL EIIL

FACTS SUPPORTING Fll\DING: POTENTIAL i·.EASU!U:.!> Tu :-!ITlGA'l t:. THESE D1PACTS ARE OF T\!O TYPES: ( 1) PREVENTI'.'E: AND (2) REACTIVE TO ANY PC~SIBLE ACCIDENT WHICH COULD RESULT IN THE DISCHARGE OF HY.D!.WCARBONS Il\TO THE ~-!ARINE ENVIRON~!ENT.

( 1) PltEVENTATIVE: THE CALIFomaA Pt:BLIC 1d:.soOP.CJ:'.s coDE ANn THE col::-ass.IoN • s IMPLEMENTING REGULATIONS GOVER~ AND CONTROL OIL AND GAS ACTIVITIES O~ STATE LANDS, SPECIFICALLY, co~~ISSION REGULATIONS '' ... PERTAINS TO OIL AXC GAS DRILLING OPERATIONS ON STATE OIL AND GAS LEASES LOCATED ON STATE TIDE AND SUB~ERGED LANDS UNDER THE JURISDICTIO~ OF THE STATE LANDS C0:1~1ISSION, AND IS APPLICABLE TO OPERATIONS CON~UCTEI: FRm1 ~·!OBILE RIGS, FIXED OFFSHORE STRl1CTURES A~D UPLAND LOCATIONS SERVING THESE LEASES. 11

(2 CAL. ADMIN. CODE SECTION 2125(a)J THE SPECIFIC REFERENCES TO THE AD~I~ISTRA­TIVE :ODE ARE AS FOLLO\-iS: ( 1) ARTICLE 3. 2 -· OIL Ar:D GAS CRILLl~~G REGCLATIC~\S: ( 2) ARTICLE 3. 4 -OIL AND GAS r::'!{ILLr::c AXD l'KODUCTim: OPERATIOL;s: PCLL;:.·rrc~- CCXTROL. < T:ICSE PROVIS!Oi~S ..\P.2 LC..:-?.P".:?..:.i..:Er HE~~I~ JY ~EFERE~CEJ.

-9-

MIMJTe ?-'GI!

Page 10: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

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r:1E !{CGULATlO~:s AS A i:ODY s1maFIC A(lTLY I~ECCCE THE Ll~ELI:!OCD tW N:.-:Y POLLUTIO~: l~ClDC~T, i.e., AN OIL SPILL. I~ t~~1TIOY ro ENGn~EERl:\G ~tE~t.;ll'U:.~·;E~ITS ( ~Lo;:VjT rncVENTERS, ETC.), TRAl~I~G A~D SUPERVISION COl'PETE:\CY, I~SPECTIOi\ A~:D EQUIP~!E~T TESTH~G, ETC. , THE ~EGULATIONS REClllllE n'.E sue::ISSIOI\ M:D APPROVAL BY CO~li·!lSSim: STAFF OF "CRITICAL OPERATIONS A~D C'jRTAlL­Ll:.NT PLANS'' WHICH " ••• PROVIDE ADDI'fiONAL PRECAUTIONARY r!EASURES TO MINH'IZE THE LIKELIHOOD OF AN OIL SPILL lNCIDE~T RESULTI~G FRO~ OFFSHORE DRILLI~G AND PRODGCTIOl\ WELL \JOP,K DUR n:c ( 1) ADVERSE •;EATHE.R AND SEA co:-.nITIOi\S \·:HE:\ OIL SPILL co;\TAINt:Er:T AND RECOVERY E~lJIPt·:D:T' ~IATERIAL AND TECHNIQUES ARE IWT EFFECTIVE AND MARINE TRANSPORTATION IS SEVERELY rlAMPERED; AND ( 2) Thl:. TI:•IE TPAT OIL SPILL CONTAI~~C~T A~D RECOVERY EQUIPXEl~T, ~lATEl~IAL, ~·tA~PmlER, AND TRANSPlA~.TATIOl~ n!ERE.OF ARL ~:nT READILY AVAILA'3LE TO THE SITE OF uPL~ATlO~:." (2 CAL. AD':H: . CODE SECT10t: 2141) THE C0:!:.;1ss10:~ STAFF ~lLL CO~SULT WITH VA~IOUS SPECIAL I~TEREST GROUPS LNCLUDl~G LOCAL GOVER~~E~T, EJ:VIRO~i !ENT AL ISTS, FISl!I~G Il\DL!STRY AND THE OIL l~DUST~~ lN REVIEWIKG AND CERTIFYING THESE PLA~S FOR THE PROJECT AREA. REACT! VE: cm '.r!lSS ION REGULATIONS FUf<THER REQ01kt:. THE SUBMISSION AND APPROVAL BY THE STAFF OF THE COM~ISSION 0F AN OIL SPILL CONTINGENCY PLAN PRl1jR TO ANY DRILLING OR PRODUCTION ACTIVITIES. (2 CAL. ADHIN. CODE SECTIONS 2139 AND 2140) THESE REGULATIONS PROVIDE THAT SPECIFIC POLLUTIO~ CO~TROL AND REtIDVAL EQUIPMENT ARE REQUIRED TO BE m:SITE, BOTH AT MOBILE ONSHORE LOCATIONS. THE REGULATIONS STATE IN PERTINEL\T PART ti1AT. "EQUI P:·iENT ~='OR THE CONTROL ANP RE~.O\TAL OF LARGER OIL SPILLS SHALL ZE ~.AD:TAU~ED AT A;! OFFSHOP.E OR 0~SEl.'t~E LOCATIO~ ~EAR THS AREA OF LEASE OPERATIO~S ~:l{ERE DEPLOY~:G:T ,.\.'lD t~ESP0:.SE TO THE SPILL :;oULD PROVIDE Tr[ :.OST FI:A.SIBLE PROTECTlO~ 0F CCASTAL ~~SCURCZS. ALL

-10- lcALENOAR ?AGE 1 i El"] \MINUTl! PA.Gt! • _ _,6:;..Q· 0 \

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l:l~UIP:<E::T SEALL ilf~ n:sP'2CTt:C REGCLAl:\l 'I. A.~r.· SHALL Jt'.. : .t.E.TAL.t.:r i:. GOL~ CC•} !.'l rro~ FUR l:·iMEt;lATL t;SE. •11 2 CAL. AD~.r:,. CGi:.-l:. SECT10i\ 2140( b}. (TUCSE. Rr.GULATlO::s ARE INCORPORATED HEREI~ DY REFERE~CE.)

D. MARINE Hl0LOGY

U1PACT: THE Ci\EA.TE.ST POTE~TlAL r:·iPACT uF THE PROJECT t.iOULD RESULT FRC~: AN EPISODE (CATASTROPHIC) EVENT SUCH AS A WELL BLOW OUT RESULTl~G U~ GAS ClSCHA~:GE OR A~ OIL SPILL.

FH!CH:G: CHAt,~GES CR ALTERA'fl0}.S ~1\\'t: 111:.EiA Re.QUIRED u;' o.: n:coRPORATED INTO, THE PROJECT WHICH AVOID 0R SUBSTAt\TlALLY LESSEH THE SIG~HFlCA~T n.VIRO~:·£~~TAL EFFECTS AS UEt::TIFlEC n: THE rr~:AL E..IR.

fACTS SUPPORTING FI~DI~G: THE FACTS °SUFFURTfoG ·rnts Ft:Wf:,(.j OF !:ITIGATION ARE THE SA~E AS THOSE STATE~ A3CVE CONCERNING a~· SPILL !~PACTS or ~ATCR QUALITY. TttE ~RE THEREFORE E'~CORPORATED rlEREIN BY nEt~RENCE.

FH~D TµAT THiS PROJECT IS CCNSISTE~iT \·:ITH THE USE CLASSlFI­CATION DESIGNATED FOR THE LAND PURSUAi,;T TO P.:\.C.

SECTION 63i0. L AUTHORIZE THE PROPOSED CONTHWED 1::.XPLORATORY CRlLLING OPERATIONS ON STATE OIL AND GAS LEASE PRC 2920.1 I~ ACCORDANCE WITH THE TERMS AND CONDITIONS 0F THE LEASE AS AMENDED Ii.~ 1980 AND THE RULES AND REGULATim:s OF THE STATE LANDS COMNiSSION.

-11-

Page 12: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

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Location ~·I?p

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CA.LENl_)Afl PAGE

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Page 13: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

"

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E\HIBIT B

EXECUTIVE SUMMAHY

A. •\GENCY .JURISDIC";TION

This supplcmcnt.i! r:nv .ronmcntnl lmpac t Report <EIR) has been prep'lred under

a contra<'lunl ogrcernent 1\·1th the Stnte Lands Commi:>:.ion (SLC) utWzrng t.he State EIR

Guidelines implerner.ting t~1e Californiu Env1ronmcnt•1l Quality Act (CEQA} of l!l70,

(with Atncridments, I J83). The project, as proposed, involves actions solely on State

Tidelands n11d th.:?rcforc the SLC is acting ns Lead A·jency. It adcresses the environ­

mental impucts of e11.;ilurutory drilling operations proi:osed by Shel: Califo::nia Produc­

tion Inc. {Sr"PI) on State Oil ~nd Gas I..P.~1s~ PRC 2920.1, l\ioHno Field, offshore Santa

Barbara County.

n. PROJECT DESCRIPTION

Utilizing a mobile jack-up drilling unit, SCPl :s proposing to continue explora­

tory drilling operations nith!n State Oil nnd Gas Lease PRC ~92'>.1. No production

operations arc prcpos~d .'!S part of this project. If co11mercial quantities of hydrocar­

bons arc dbcover' d as u result of the drilling ?rogram, the SLC will require a develop­

ment and prodllction plan und extensive envir-onmeuial review and analysis prior to

approval of the plan.

The prirn..iry objective of the SCPI exploratory program is the determination of

the existence of ecc11orni.::.illy recovernbla oil and/or nattir..il gas supplies from the

gt:ologie forrr.ations n.ut underlie tl1e project area. Dr;lling operations are expected to

rf'quire 126 days/ .veil. Thus, total project d~1ration would be appro:-:1.natcly 373 days

as:mming that the th1·ce (3) proposed wells are drilled consecutivety. All three wells

will be tested for natural gas and/or crude oil.

SCP! proposes to install, maintain and test blo\\out prevention (BOP) systems to

assure well control throu~hout lhe project period. O!l·-contamin.i.teu drilling muds and

cuttings will be transported to .:;hore for disposal 11t th~ Casmalia or othe~· appropriate

di:-;pol'.'11 site; non-contAminntec muds und 011-frce and cleuned cu!trng.; will be dis­

charged to the ocean in a.ccl.)rd:.incc with National PoilvtHnt Dischnri;e Elimination Sys­

tem (NPOES) perinit requirements.

\foll testing ~"P.l he pt:;rfcrmcd in order to d~Jterminc no~" and composit:on

charnctcri:>tic5 of the hydr.-1cnro0n reservoir and to J~tern11ne 1f a subsca wellhead or

plc,tform type of com[>lct1on is fo:isible. lJp to 2·1 hour:> of flnrn1g the produced gos to

tit! ntrnosphere mnv be rcquir-:-d for enc:1 well. Totnl fluring will not exceed 35

million cu:i: .. f~1>l (11MCF)per well. This flaring will be performed in accordonce with

C'C: 1

CALENO~.R PAO~

Ml~'UT! PAGf

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Page 14: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

' J

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·•

procedures approved hy the Sontn Barbara Air Pollution Control Distl'ic.'t. In ndditbn,

oil production from zones tested is nnticipated to be appro:<irnnt.~ly 2000 - 30110 barrels

of liquid (water and oil mi:<ture) per d11.y from ea.ch well. A totnl pr(lduction of npproxi­

rnately 350 burrel.;/wl.?ll of oil condensate is expected while testing the i\lntilij11. For11rn-.

ti on. SCP[ has developed contingency plans for iJOtential oil spill und hydrogen sulfide

gas. Critical ope:-ntions and cl!rtailmci1t plans hnvc also been developed which id~r.tify various critical operations and specify the conditior.s under which such opcrutions W·'.>Uld

not be started. C. ENVIRO\'BlENTAL IMPACTS/MITlGATIO~

1. GeolCX?:V Geologic proc~sscs that could result in significant environ~nE:ntul

impacts are asscciated with seismic groundshaking. Other processes such as fault rup­

ture, liquefaction, landsliding, turbidity currents, tsunr..mis, gas-~hargcd sediments, ero­

sion, uplift, and subsidence should not produce significant impacts within the site envi­

ronment. A 7 .5 magnitude event on the Santa Ynez fault: located about 9.!l km

(6.2 miles) from the site, and a 5.9 magnitude qual.:e on t!le southern frontal fault of the

Molino trend \'V.)Uld be c.apable of producing gri;und ac~elerc>tions at the site on the

order of O..t to 0.7 g and would probably have the greatest effeet on the site. Proper

engineering design, considering the maximum credible earthquake, is considered suffi-

cient mitigation.

2. Air Qualit_y Emissions associated with tile proposed resumption of drillin£" a<.'tivities

by SCPI in the ;'ilolino. field of"shore Santa Barbara County wcu;d occur in two phnses -

actual drilliflg activities and ti;sting for recoverable quantities of gas nnd/or oil. Drill­

ing activiti·~; would include movement und positioning of the drilling unit (move-in),

drillipg, c11si1 '{, cementing and move-out. Th~ majority of air emissions associated with

drilling would occur either at. the offshore drilling site or in an area between the off­

shore site and th~ Jl<ljacent port areas (due to transit of thr support v~ssels and the

drilling rig). Emission'i l'esultrng from the testin~ of gn:> and; )roil wouid occur ut tile

drilling unit. The emission levels ~1ssociated with drilling activities wc,uld vary ci:nsid­

erably, dcpendigg on the operation; however, ernissions resulting frnm ::;a:; and/or oil

testing would he rclutlvcly conslllnt during the period of t1cltw1 wcU ilow.

Air quality model!r:g wns perforrrcd for ~o2 , 80~, nnd 01.1i:1e: (0:l)' con­

sidering the SCP! proposed ·..lrilling progrom und ot'1cr rccer.t opcrutions (sp1!<'ificnlly

ES-2

CALENOAA PAOf

MINUTE PAGE

20 604

Page 15: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

tho~c of Phillips nrnl EXXON). Particulate m.1ttcr crnissions for SCPI proposed activi­

tiP_c; anrl Phillips octivities were almost idcnticnl to the s02 emissions for the same

cquiprnl"nt nnd activity, and thus particulate levels for SCP!'s opcrntion are derived

from the so2 predicted impacts.

For nitrogen oxides, the predicted unnual impact of SCPl's proposed

acti~ity is 2 ug/m 3. The annual cumulative i npact is predicted to be 5 ug/m3, occur­

ring nt receptor 3 c~.ee rigure 4-1 for location of receptor 3). Even when combined wi~h

an N02

bttckground value of 19 ug/m 3 {5 ... 19 = '.!4 ug1 m3), this impact is well below the

annual.standard of 100 ug/m 0•

The short-term {I -hour) worst-case 1mpa.ct forecast for nitrogen diox­

ide is estimated to be 0.28 ppm (535 ug/m\ consisting oi fl.17 ppm oi generated NO., "'

and 0.11 ppm of background N02. This resultant le·1el is greater than the 1-hour Cali-

fornia standnrd for N02 of 0.25 ppm (-l'lO ug/rr.3). :\'litigation measures will be provided

for this impact.

Impacts of so2 were predicted to b.:! minimal. The predicted concen­

trntion of 59 ug/m 3 for the worst-case hourly averaging period, respectively, a11d

4 ug/m 3 for th~ 24 -hour averaging time would both be well bek w the applicable Cali­

fornia standards cf l310 ug/m 3 1-hour, and i:n ug/m 3 over 24 hours. The F~dera! 'l

24-hour standard of 365 ug/m" would also be met.

'l'he predicted TSP impacts resulting from the SCP! operation are pre­

dicted to be well below the applicable stand: rd. The '.!4-hour av ~rage imiJact would be

similar in concentration to the so2 impact, less than 1 ug/m 3, \Jhich is well below the

California standar,i of 100 ug/mJ. The predicted annual TSP imract would be even less

than the 24-hour predicted impact which is .vell b·Jlow the state and federal standards

of llO ug/m 3 and 75 ug/m 3, respectively.

The predicted t-hollr maximum concentration of ozone with the addi­

tion of SCPI's acti1:itics is 124 ug/m3• The 1~4 ug/m 3 impact is less than the maximum

1-hour nntiona.l :>tnndnrd of 240 ug/m 3 and the California oxidant standard of

200 ug/m 3, so no cxcecdances are predicted due to 5CPl's propos·~d activity.

The primary mitigntion measure will be a nitrogen oxide emission

reduction proi;rnm nt the SCPI "1olino G11s Pl~rnt. iJpon [·evicw d SBAPCD Rule ~05.C,

the distri:!t lms. ddermined th:tt only n1tro;;cn ox des cmbsions need to be offset for

this project. The ·~nlculHtcJ nilrOt~en oxide e1n1:;si~1ns prl1(hl('cd ·1t the rig und by vc~~el

serving the rig nrc 532 pounds per dny. Ruic ~O~.C requires n 1.2 tot offset of the

project embsionc:;, To ucllicvc the required reduction, a 110~ horsepower intcrm1l

ES-3 CALENDAR PAGE

MINUTE PAG!

1L1 605

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Page 16: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

••

combugtion engine compressor will be r~placcd by an·clectric motor driven comprL'"sor

nnd the two remain inf{ internal combustion -<:ngine compressors will he fit lt'd with cntn­

lytic converters. The rest.: Hing nitrogen oxide reduction will be 7 \ 3 pounds por dny

(15 pounds per day more thaa rcqui:-ed to meet Rule 205.<;).

3. Oceanog_r~tw/Watcr QuolitJ: Oceanoe;r1.lphic parameters of the Molin') area are not expected to be

significantly impacted by the propo~ed exploratory program. The physical behnvior of

currents, tides, and waves in the project area will not be affected.

Impact~ to water quality will occur from discharges of drilling muds un<l

cuttings, ther1nal discharges, 11nd discharge of wastewa'.e::rs. However, these impactfl

have been determined to be minor in nature. :\1ore si~nificant are the impacts that c<Juld result from the sp1\l1.1ge of

oil. Such impacts include reduction in dls:.olved oxygen content of seawnter, rL'duction

in light trensmigs1on and penetration, and creation of odors. Oil-spill cleanup m•tivities

ere partially effective in rem1.wing <:pilled oil from the environment and thus reducing

the adverse effocts of the oil spill. However, the cleanup procedure itself cnn have

adverse effect:>. 'l'l!e 1mp!ementation of cleanup activiti~s should consMcr thc"e poten­

tial impuc~s and employ tnosc which result in the least l)Verall ndverse impacts of both

oil-spi}l and cleanup •

4. Marinu !Jiolo~v Potential impacts of the proposed exploratory program can be scpa-

rn ted in to those resulting frorn routine (cvy-to··day) uct~v itics ussochl t.ed with dr iJling,

testin,~, end 1·ccovery, and those du.:! to a catastrophic event such as a well blowout or

oil spill. Organisms inhabiting the bcnthic environment near the proposed well ~ite will

be subjected to the g1·eatest impacts from day-to-day operations sirice thr~ drilling unit

fo~tings will cover ovur tlbout 10'3 m2 of bottom habitat, and til:~ disch1~rf.c oi muds und

cuttings wi!l cove\' over additional bottom areas. The effects of bottom covcr11t~C is not

expected to be ~igniflcnnt s1;1cc the mnterial discharged ::-; s1milnr in particle size to the

existi11g environment and benthic 01·ga11isms would be able to mi1;ratc through il or to

recolonize it. However, SCPi has'msrecd to conciuct u bcnthic 1110111tortnt{ proi;rnm and

at~cmpt to document chnnges in tbe ~cnthic community brought Hl>out hy drilling nctiv-

itics. Clearly, the r,reatcst potcntinl imptlct of the SCP! drilling pror,rnm

wo.1ld b·? e~:pi:!ct8d to result from nn ~pisodic (el\tastropic) event such as n well hlowout

resultin:; in ~;tis discharge or an oil spill. Since the exploratory wells 11rc in con8tttl

ES-4

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CALENDAR p,\GE,

MINUTI: PAGI!

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Page 17: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

~·mt~:-~, tho i1npu<!l of nn v1l spill would .nost likely pose the Greatest threat to the

spt>dcs-rich ur:d b1ogrJj{r1..pllic"\lly import.int intertirlal un<l shallow-water communities.

Arklition1tll:; 1 the <'ornpl.~~d ·d .llJd "m:.on11bly vn.ri~ble,(.•attcl'll . ., of surface circulation of

cc,•1stnl w11ter:> would likely prcs ... H1t contninrm:nt problem:.; if u spill occurred. The

anticiputcd i•:ipnct of u :,1.,;nificant oil spill on the marine biologicul communities near

the \1olino E'iel<l incl11dr.: 1) considerable impact to intertidal commumtl~s due to the

nc11r· ore drilling loc!ltion, 2) possible significnnt damage to subtidal commumties due

to reduec>d time for dbpersion and dilution of the ~.pil!, 3) possible significant, but

unquant1finble, impact to kelp communities, 4) potential lethal and subletht:tl effects on

planktonic communit1c:;, 5) ~!1ort-term direct mortaliti;)s to fishe., but quick recovery of

populations cxt)cctad1 und 6) pm;siblc :>iJnificant mortalities to marine birds particularly

pelagic birds.

Mitigation of oil spill impacb are related to the effectivenE.ss of oil

spill contingency pluns. These have bee11 developed fvr the proposed projoct and are

supplernc'ntecl with federal, state, and lQCfJl provisions for oil spill cle~nup.

5. M"'rine Historv/Archa~olcgy

Three !:>ottom surface anomalies in the area of propcsed well sites were

i1l'!estignted for possit.le hi:;toric signif1cunce. This wa5 acco:nplis:1ed by dir~ct 1Jbser­

vution from u manned submersible vessel which virleo~Jped' euch <?.nomaly. Results of

this survey showed thu l the anomalies .vcrc likely to be anchor scurs and did not have

any historical or arehaeolcgical significance.

Ii. Socioeeonomics

No si{;i'dficant impacts are expected to occur to the existing socioeco­

nomic structure 1\S a rt:isult of the explorntory project. Significant impacts on fishing

and kelp harvesting activrties would occur as a result of an accidential oil spill.

Impactr. related to oil 3pills would be significantly lessened or alleviated by the .am­cient implcmcotntion 1)f SCPl's Oil Si. :u Contingency Plan for the project leasehold

(refer to Section 5, Oil .Spill Contingency Planning).

7. Relevant Constnl PoHcics and Re!!uln tlons

The proposed project will us~ existing onshore support facilities at Port

llu':?neme for tlle duration of the project. Staging of equipment and personnel wou!c

continue at Port Hueneme with no modificutions required to 1~Cl.!1.Hnmc".iate the project.

The proposed cxplorutory program entails :-io on~hore tlctivities or jeo;elopment. Conse­

quently, no onshore polic!y cod lie ts or l11nd use impacts nr-c ant icipu ::ed .

· CALENDAR PAGE

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Page 18: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

. The project's ccmpliuncc with co1u,tul polici% both onshore nn<I off­

sh.,:,rc is primnrily c..:ntcrc<: t:rc..und the i.:;.~uunce of 11 co1Jstv.l clcvclopm\;nt p•;rrnit b; the

Cnlifornln Com:tal Cu:r·mi~:.io11. The r;rnnting of .1 coa. tat development p-:?rmil •.<will he

cvall1ntcd m re?l.ut1011 to the projeet's conformuncc. wit.1 the pol:~ies c;(!t forth in the

Califo~nia Coust1,I .\ct. Dd1..t1led arw lysis in Sec tio11 4. 7 sl:ows co:npl wncc with ~!!I

rele•1nnt policies.

8. Visual Tfosources

Althou.;h thd project would temporarily impact with the constnl vicw­

shed, it would r.ot generate c lori;;-term s1,;11ificant impact. Thus, tht: project doc~ meet

the long-rang-e pclicie~ of Se-:!tion J0251. Short-term visual impacts would be '~·"=Pcri­

enced to the greatest Ce{;rce during the June, July nnd A:1gi.Jst tourist season.

As lhE propo:.ed proje.:-t would not produce any significant or long­

lasting vis~ul imp1;.ct .J~ri11J normal oper:1tion.:;, no mitii;nt1on measure:> are co11;,idcrcd

ne<!eS":>ary. Viowever, a11 oi! si;lll would temporarily dci;rac!e the aesthetic qunlities of

the local ~oll:>t!ine. .::-ont;ngency plans to p!·cvent oil from reaching the ~horcllnc nre

discussed in Sl.lction f,,

9. .!.!n:ine Tr!l[fic nm.I Navigation

~'he potcntiai ior accidents between the temoornry tll'illi11g ve~->cl nnd

com mere ial vc.~seb is ex tremcly small, prim:1r1ly j..ie t1) the: loca tl0n of t.hc prcpo:.r!.:i

wells. The pr:>pos.:(! e~.p~vr .... :ory drilling c.:-ea is ·appro~:i:.1stcly t~.7 km (8.'.i mile~) north

of the northbound !une of tt.e Santa Bc.rbarn Channel Vc:-.se! T:affic Scpar.1~ion Schern~

(VTSS). Givc.:n that ccmrner1~iul vessels should never s~ray 11'C1!'e t!'lan i .n km (l mi!P.l

outside of the VTSS l111es, t:ie probability of a ves.-el rain.·ning P. drilling vessel if

extr.emely low. A po.entia: trnffic hazard exists due to vcs~c:ls .:nk11:ig nnd exiting the

Gf'tty Gaviota marine tci1ni:i11J. loccted npproxirnately 3 mi1es west of PRC 2920.1.

Ve::;sel::. calling nt G~tty <111viot..1 urc required to follow a direct cour~e to ~rnrl frocn •11e

VTSS and should hnvc r.o pro!1k'll nvoidini:; the lease arc1t in clear wcutlter. In adverse

wenthcr, v1:.:;scls urc d1rect•:!d to npproach under constunt rudio contnd or not at nil,

thus minimizing- pote:1t!ill conilicts.

The drilling vc:?ssel is not expected to sigmiicer.tty impact recrcntionul

bo.<tting or fishiniJ since the P.rP.u b not generally used fur corn.n•.r..::i1.1l fishing and the

harbor ut Santa Rftrbarc. i:; so;ne -13 km (27 111iles) awuy.

Overall, the.' imp11ct of the proposed proj'.'<'l on nwl'ine trnffic and nnvi­

gil.tion nrc m11:1mal w:,: do not u;,:ipcn:- to prc:,~nt unacecptnblc :ncrcuses 111 !'t!"ks nss1)Ci-

ntcd witl • ~in.r mur1:ic 11cth ities in the project area. liowcvcr, there arc u nu111hcr

ES-6 /

CALENDAR PAGE

MINUTE PAGI!

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Page 19: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

of 11clio11~ whicli ~ould r~1rth1!r rc1!11<'c risk~. T!1~ .. c 111'•? prlmnril; in the form of 11dvance

\•111rninl:!• ~.o rn11rint~ vcs;-.vl opcrntors, includ:n!; fr;h1'r1:1an whi1• 1 SCP! intends to do.

I), Ai/rEHNNl'lV~ OF.THE PROP0~t:D £· 1lOJE<:T ------- .. -Altcrnutiv•.:'" to the proposed e:·.t>lorntory pM:.p·.J.m in.,.·!uce w1thdruw2l or denial

of the project applh.!<Jt!o:l (''no proj1:1.!t"), ~ela.:,· of t~1e action~ inocifications to the pro-.

posed drllling mctt,'.'.>ds, altcrnc!tive drilling !ocRtions or dhil•i11g of less ~han thret'

exploratory wells.

Elimination of the project ?=-~;:iosal would r.!sult in comr,lcte absence of an:;

environr:1entul Lnpa..!t<:. detuiled in Section 4 of this dC;cument. HoNever, t11e project

envitons would continue to be :nodif1~d by natura! pftocesses, along with c·Jrrent adja­

cent hydrocarbon exploration activities nnd uses.

Deferring ai•tion on the proposed project \'.Ollld •• ~ult in a delay, and not miti­

gntion, of nli rcltttc.d impacts, both positive end negative !n nature, unless significant

technological chang~s occur in the interim. Ii e:-:ploration led to the commercial

e:< traC'tion rJf t11e 1..: .ourc·:?5, postponeme1 t l!ould 1 es.1!t in an increase ir. consumption of

ot~er fuels (ex., co1d) with ~1n associuted increc.se in air µo:h:tant emissions due to the

composition.II and c.ombt.stion c~nractcr1 ... ti;s of tl !: iuel. Such ~miss!ons would not

occur in the c;tudy a~1.tt, howe·1e~, and •ire cor • .sicer{.J minor. Also,. postponement of the

action would not facilitate.: the acqui.;ition of know:eJ,5e concerning the proven and

str.1teg!c reserves of the icasa and woul<l reduC'~ coll1i.;etit1vP. opportunities.

S-:?lecting alternnti\'e (frilling loc1!!ior.s withi.1 the subject lease tract would not

suhstnntiall; alter pro;ect :m!=-acts, unless prtil.!Uld:- drillin.s si~e-specific impacts were

to be avoid(•(;, Howcv.~r, the ?Mtkmlur ".lri1li,1g s1t1:s proposed were selected on the

basis of soph isticatc: i anal.:ses H-'> off erin~~ the I: ~st prospect., ! or successful e:.;ploraticn,

and anulyscs conducted for thb sup~lcm,rmtnl EIR t.ave no~ rev.::aled any s;gn1ficant

impact~ :nb l could t c ~voided by employing: ll.lt~mttt!vc ;;ites.

Ori! ing of le.">3 than three wells mny provide a less than desirable samp!ing 0(

the lea<-ot.?'s hydrc .. ar:,on potential. This alte.:-nuti\'e tn1.y .-edu..!e the impacts described m

~ection 4 to some degree, p::trticulurly air qunlity.

Onshore disposal vf all muds and cmtings (J.s nn alternutiv~ to ocean discharge

of uncontP.minated :nJ<i.> 'Ji1d cu:tir.gs and 0ns 110rc Jisposnl only of oil-conts.mrnated

.11ntcri11Lc;) would avoid any potential impnc~.::. of the~e dbcht:rg~s on biota and water

qunlity. llowcvP.r, 01.sh.:>i•? disposal would pose p.::tt:.itiltl im;mc•t<., related to onshore ilnd

off short~ w,\stc tr11n :p 1:.irt ind lrnndling, incrl.?tt.::.c..i ~lir p..:·llulHt1t emissions from barging

'!lid tt·uclc l111ulin1j, iricr••m .. ;d :ucl usngc, ir1crcn~ed marine V<!.s:.~l u·affic und increased

110rt <:oni;c~tion.

ES-l

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••

I::.. GR0WTH-1Nnyr:i'~Q. f'..1f_"\f''f~: OF ·r:tit:: PROf'O!)fW PHf::JF~c·r

1 he proposed c:~plor1t~1.·ry prr,i:;rnm will 1:11t result iii ~'~I-,:fi:•.-111( growth-inducing

impacts rcl1ttcd to u~e id~!lill I 1<~u~1r.io of rccovcrnt:ic hyrl,.01. 1ir~ion '."• so1m:c::. bcC'n11sc the

project would i:wolvc ver:t little: if any, popul'1.tion in-rni..;r.1lion. Pot 'ntiul gro.-:th

inducement {mdividuolly or cumuluti•1ely) from po.>-:ibl•.; fL,lUM propo: .. '.lb ~or petroleum

explor·ntion/produ<!lic.111 by SCP!, by other ks.,ecs of Stutc Till.:!ands oii r1rd gns lenses,

and/or by lessees off eueml trnct::.. in the San tu Berbarn Channel will be adckessed in the

environmental review process specific to eech of these propos-cd projects.

F. UNAVOIDABLE ADVERSE l'1IPACTS

~navoidable irn!">acts will be lc-calized m scale and w!!l iast only as long ns the

project (approximately J7J days). The unavoidable impacts &re tlS follows:

1. The project as proposed wHl result in the USI? d ~t..1bstantii: I 11rnount:> of

iuel per dey by the d:-illing unit, with adJitional fuel necessary to power

support ve5sels. However, the poter1tial :or di.;covery and <'':traction of

future l1ydrocarbons could p.1tentially and indirectly rnitigntc this short­

t.<?rm impact.

2. Tl"le prc_iect as pr0p0sed would potential:y expo5c the drl'~ing cre\11 or

the d1·1l~ rig to vibratory .~round motion \\hich is the 1.1nly ,;ec.\ogic ha.1,.­

urd tha:. mi~ht prc~uee .:-igmficant im;?e.cts r:::quiri.1g rr.itit=ntion. How­

ever, th~ applicai.icn of pre.per engineerir.p: dc:-1gn, consirlcri1g the mo~:­

im11m credible earthquake, should provid:? suf~icient mitig'f1tion of lflis

impact.

3. In the ev~nt of an accidental 0il spill, habitat for :narme plants and

animals could be Sl:~.stantiully dimi11ished. 3ince the exploratory we!ls

are in coastal wat~rs, tbe impact of ~-..n oil spill w.'.luld pose the grcute.st

threat t.:- the species-rich and !'1togeogrr,ph1c:illy 1mriort:u1t intertidal

and shallJw-water communitie». Addiliornlly, the complic:1tcd und s-:11-

sonally variable pattern~ of ~urfnce cil·cul..ition of constal •\'Iller:; ... :ot!ld

likely present containment ?roblems if n Sf;,ll occurred. :'vlitigu ti011 of

the~;e impacts will be pro"JideJ by the pr»pi>r ~.::>it;n Hnc1 operu ti on of

blowout t>rcv~ntion •'.!quipm~nt, ndequate tr~ '.11'tg vf dril:in;~ p~rsonnel in

emer1~cnl'.'y iJroccdttrcs. Further, and assuming un ~l•!lt:nl <i:se!ll!rg·c of

oil into the mnrine cnv1runment, the 11pplic•11lion of oil s~ili co:it1dnmc11t

nnd clcur:up ccntin~i:-ncy plans specified in Sc~tiun ;-; 1rnci Appendix:\ of

this document wit: ser1Je ns addttiol'lal mit:;Jatio11 of i•npac·ts. However,

ES-8 c 162 ~o -r:il.

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Page 21: Q.. · Th1.,• i1olino na-cural ~as field, discovered and initially developed during 1962 a~~ 19h3, currently produces gas from the Miocene Vaqueros and Oligocene Sespe formaci.ons

ns noted in Sccfo'n 4.4, complct~ pro tee lion of marine orgnni:>ms and

habitat from hydNcarbort contaminntion is not. possible. Project discharges of unconteminntcd drilling muds and cuttings,

treated scwnge nnrl cooling water would Mve n minor, localized and

temporary impact on water quality, chemical ocennogra::>hy and marine

biota. Onshore disposal of muds End cuttings would mitigate cnsite

impacts of rlisposal but would create new impacts in the transport and

hunrlling of the wastes und their onshore disposal. Other mitig11tion

measures for onsite disposal include udhercnce to Nntionel Pollutant

Di$chargc Elimination System (NPDES) permit requi.ements whi~h wcH1ld require SCPI to monitor benthic envkonments in the ~toimo field

to document changes to the benthic organisms .

ES-9

CALENO~RPAG€ ~~ 1-.M-INU_T_E-PA_G_~---~