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U.S.

REGULATIONSAPPLICABLETO
UNCONVENTIONALOIL&GAS
DEVELOPMENT
AReviewofKeyTechnicalStandards,U.S.Regulations,
andStateLaws

AUGUST2014
GEORGEMATHES,P.E.,M.S.
SeniorVicePresident,TrihydroCorporation
gmathes@trihydro.com
AGENDA
A ReviewofRecentExpansionofUpstreamOil
andGaswithintheU.S.
OverviewofFederalRegulations
TechnicalStandards
StateApproachesandLaws
KeyEmergingRegulationsandIssues
UNCONVENTIALOIL&GASPLAYS
WITHINTHEUNITEDSTATES
U.S.ENERGYOUTLOOKFORGAS
NaturalGasProduction
(trillioncubicfeet)
EIAAnnualEnergyOutlook2014
U.S.ENERGYOUTLOOKFOROIL
DomesticCrudeOilProductionbySource
(millionbarrelsperday)
EIAAnnualEnergyOutlook2014
NETSTATISTICSFORU.S.ENERGY

U.S.OilProduction
NetImportofU.S.Petroleum
(millionbarrels/day)
EIAAnnualEnergyOutlook2014 (percent)
EIAAnnualEnergyOutlook2014
NETSTATISTICSFORU.S.ENERGY

U.S.EnergyGenerationbyFuel OverallEnergyUsebyFuel
(trillionkillowatthours) (quadrillionBtu)
EIAAnnualEnergyOutlook2014 EIAAnnualEnergyOutlook2014
KEYFEDERALREGULATIONS
CleanWaterAct
CleanAirAct
SafeDrinkingWaterAct
NationalEnvironmentalPolicyAct
ResourceConservationand
RecoveryAct
EmergencyPlanningand
CommunityRighttoKnowAct
EndangeredSpeciesAct
OccupationalSafetyandHealthAct
EMERGINGTECHNICALSTANDARDS
AMERICANPETROLEUMINSTITUTE(API)
HF1,HydraulicFracturingOperations WellConstructionand
IntegrityGuidelines,1stEdition,October2009
Bulletin1003,CommunityEngagementGuidelines,July2014
HF2,WaterManagementAssociatedwithHydraulicFracturing,
1st Edition,June2010
HF3,PracticesforMitigatingSurfaceImpactsAssociatedwith
HydraulicFracturing,1stEdition,January2011
51R,EnvironmentalProtectionforOnshoreOilandGas
ProductionOperationsandLeases,1stEdition,July2009
652,IsolatingPotentialFlowZonesDuringWellConstruction,2nd
Edition,December2010
EMERGINGTECHNICALSTANDARDS
AMERICANSOCIETYFORTESTINGANDMATERIALS
WK42803NewGuideforDataManagementandReporting
AssociatedwithOilandGasDevelopmentIncludingHydraulic
Fracturing
WK42923NewGuideforStandardGuideforSamplingand
AnalysisofPrivateWaterSupplyWellsinAreasofHydraulic
Fracturing
WK44896NewTestMethodforDeterminingtheCrush
ResistanceofMaterialsUsedasProppants inHydraulic
FracturingofSubsurfaceFormations
WK45774NewTestMethodforDeterminationofRelative
StrengthbyCrushResistanceofNaturalSand,ResinCoated
Sand,Ceramicandothermanufacturedmaterialsusedas
Proppants inthehydraulicfracturingandgravelpacking
operations.
EMERGINGSTATEREGULATIONS

NationalConferenceofStateLegislatures;July22,2014
EMERGINGSTATEREGULATIONS

Chemical Taxes/ Water


Disclosure Revenue Quality

Water Setback
WellSpacing
Withdrawls Locations

Surface/ Mechanical Wastewater


LandUse Integrity Management
EMERGINGSTATEREGULATIONS
CHEMICALDISCLOSURE

NationalConferenceofStateLegislatures;July22,2014
EMERGINGSTATEREGULATIONS
WATERWITHDRAWLANDQUALITY

NationalConferenceofStateLegislatures;July22,2014
EMERGINGSTATEREGULATIONS
OTHERS...

MechanicalIntegrity WastewaterTreatment
SetbackDistances AirRegulations
Testing &Disposal
NewYorkproposing Iowapassedmore Typicallymore ColoradoRegulation7
nowellswithin10 stringent governedby RequiresLDAR
milesofpublicwater requirements geographyand WyomingConsidering
supply Illinoisintroduced economics FlareLimitations
Pennsylvania newlegislation Somestates NorthDakota
proposingnowells Manystatesalready restrictinghaulingof ConsideringFlare
within2,500feetof havestrictprotocols materials Limitations
communitywater inplace StandardsforUICor ManyAirRegulations
supply treatment/discharge Comingoutat
Coloradodiscussed alreadyinplace National(ratherthan
nowellswithin500 State)Level
1,000feetof
residence
RECENTREGULATIONSANDTOPICSOF
INTEREST
PrimarilytargetsVOCemissions
Greencompletionsandcontrols
NSPSSubpartOOOO
GasPlants tighterLDARrequirements
Oil&GasProduction compressors,controllers,andstoragevessels
RequiresreportingforCH4,CO2,andN20
GHGMRRSubpartW Testing,sourcecounting,datacapture,emissionfactures
Bestavailablemonitoringmethods(BAMM)

U.S.hasregulationsprotectingwetlands
WetlandsbasedupondeterminationofwatersoftheU.S.(originally
Wetlands definedasnavigable)
Proposedrulefurtherexpandsdefinitionofnavigabletoinclude
significantnexus

DiscussedforlistingasaThreatenedspecies
Multitudeofstakeholdersworkingproactivelytopreventlisting
SageGrouse
Primaryeffortsincludeconservationandhabitatrestorationand
enhancement
QUESTIONS?
Q GeorgeMathes,P.E.
SeniorVicePresident
gmathes@trihydro.com

1252CommerceDrive
Laramie,Wyoming82070
3077457474
www.Trihydro.com

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