HydrofrackingDiana Frank

Hydrofracking Affects Our Environment & Our Health

“I feel like one of the Indians who sold Manhattan for beads and baubles,” Dimock Resident (2010, Bloomberg News)

The following is a partial list of spills and accidents by the Oil and Gas Industry in Pennsylvania Counties.

Susquehanna County, Dimock TownshipJanuary 2008

Cabot Oil and Gas Household well explosion 20 wells drilled within 3/4 miles of the blast Groundwater polluted with methane leaked into well Pump in well house sparked causing the explosion Inspectors suspected that too much pressure in the mile-deep

wells or flaws in their cement-and-steel casings had opened a channel for the gas

Neighboring wells contaminated discolored and cloudy, fetid and foul tasting water.

Tests also showed high amounts of aluminum and iron (Legere, L. 2009).

September 2009 Cabot Oil and Gas 3 spills in nine days 8,000 gallons of fracking fluid spilled into Stephens Creek Fluid contained a liquid gel concentrate manufactured by

Halliburton MSDS for the proprietary product known as LGC-35 CBM

described it as a paraffinic solvent and polysaccharide, but did not disclose the materials in the gel or the quantity of carcinogenic substance.

Warning-substances have led to skin cancer in animals and "may cause headache, dizziness and other central nervous system effects" to anyone who breathes or swallows the fluids.

Possible causes for the spills: cracked pipes, failed seals DEP ordered operations halted until the issues were repaired.

(2009 Lustgarten, A.) Fine: $56,650 (2009 PR Newswire)

November 2009 15 families sue Cabot Oil & Gas to stop future drilling Goal is to set up a trust fund to cover medical care for residents

who say they have been made ill by pollutants. Health problems listed in the suit include neurological and

gastrointestinal problems

1

HydrofrackingDiana Frank

At least one resident’s blood tests showed toxic levels of the same metals found in the contaminated water. (2009, Lustgarten, A.)

2

HydrofrackingDiana Frank

December 2009 Contract workers at natural gas wells in Susquehanna County

test positive for using illegal drugs or alcohol on the job. Cabot Oil and Gas (2009, Burton, J.) Total fines this month $120,000 (2009, Federman).

February 2010 Documents released this month show that Halliburton and BJ

Services in 2008 admitted to using more than 807,000 gallons of diesel-based chemicals in fluids used for hydraulic fracturing.

Although exempt from the Safe Drinking Water Act, the oil & gas industry is still required to limit the amount of diesel used in fracturing, under a December 2003 agreement with the Environmental Protection Agency.

A report by the Environmental Working Group (EWG) found that single wells in New York State contain enough benzene and other toxins to contaminate the amount of water New York State uses in a day. (2010, Sheppard, K.)

When Congress exempted fracking from the Safe Water Drinking Act, it did not include the use of diesel oil, which contains chemicals that are highly toxic and/or cancer causing, including benzene, toluene, ethylbenzene and xylene. But the use of diesel is still common, and the companies’ own statements suggest that they are still using diesel. (EWG, 2010)

Even when drilling companies don’t use diesel, they rely on other petroleum based products that contain the same substances. Records obtained by EWG showed that although the use of alternative petroleum based fracking fluids are not regulated, some have up to 93 times as much benzene as diesel. (EWG, 2010)

September 2010 An environmental engineer tested the water in the Susquehanna

County community Three laboratories verified the results. The tests found industrial solvents like toluene and

ethylbenzene. MSDS Toluene (ATSDR) MSDS Ethylbenzene (ATSDR) DEP announces that Pennsylvania American Water Co. will

construct a 5.5-mile water main from its Lake Montrose water treatment plant to supply the affected Dimock residents with a reliable source of quality drinking water. (2010, Rubincam).

3

HydrofrackingDiana Frank

October 2010 Pennsylvania Department of Environmental Protection Secretary,

John Hanger committed to installing an $11.8 million public water line for at least 18 families whose water supplies have been contaminated by methane from natural gas drilling by Cabot Oil & Gas

He said the state will sue Cabot Oil and Gas Corp to recoup the cost. (2010, Legere, L.)

November 2010

The Pennsylvania Infrastructure Investment Authority, or PENNVEST, approved an $11.8 million grant and loan package for the Dimock water project, intending to recover the cost of the project from Cabot Oil & Gas. (2010, SQVN).

December 2010 19 Dimock residents will share $4.1 million that Cabot Oil and

Gas Co. will pay under a settlement negotiated by the Department of Environmental Protection.

Additional $500,000 to Reimburse DEP for Investigative Costs; DEP to Drop Montrose Water Line Plan (DEPA, 2010)

“Gas Industry representatives say methane contamination incidents are statistically insignificant, considering that

452,000 wells produced gas in the United States last year. They also point out that methane is common in nature and can leak into water from biological processes like rotting plants.”

(2009, Lustgarten)

Cabot Oil & Gas Profits

2009Revenue: $879.3 millionGross Income: $622.83 million

2008Revenue: $946 millionGross Income: $655.76 million

Executives and Annual Compensation

2010

CEO, Chairman of the Board, President, Director Dan Dinges: $3.06 million

CFO, Vice President Scott Schroeder: $1.25 million

4

HydrofrackingDiana Frank

Divisional Vice President Jeffery W. Hutton: $679,402

Divisional Vice President, General Counsel J. Scott Arnold: $878,825

Vice President of Marketing Jeffery W. Hutton: $1.1 million. (nd Sourcewatch)

Lycoming County, Penn Township April 2010

Stallion Oilfield Services found to be operating a fracking water transfer station without a permit.

Fine: $6500 DEP inspectors also found a 450-square foot area where fracking

water had spilled onto the ground. Soil samples showed high levels of chlorides and barium, which are common constituents of fracking water. (2010, DEP)

November 22, 2010 XTO Energy, a subsidiary of Exxon Mobil under investigation by

the (DEP) after a 13,000 gallon hydraulic fracturing fluid spill at XTO Energy's natural gas drilling site in Penn Township, Lycoming County, PA.

The spill was first discovered last week by a DEP inspector who found a valve had been left open on a 21,000-gallon fracking fluid tank, discharging fluid off the well pad into local waterways, threatening a nearby cattle herd that had to be fenced off from the contaminated pasture.  Exxon/XTO has not provided an explanation on why the valve was left open.

The DEP investigator was able to turn off the valve. Subsidiaries of Sugar Run Creek and 2 private wells are also

being tested. DEP inspectors have collected samples of nearby soil samples

and surface water. Initial field meter readings showed elevated levels of conductivity and salinity in the spring and unnamed tributary. Conductivity measures water’s ability to carry an electric current, while salinity measures the dissolved salt content in water. Elevated levels of both are indications that spilled fracking fluid is present.

A fence was erected to keep neighboring cattle from reaching the contaminated site. (2010, Coudynews.com)

Bradford County, Armenia Township PA

November 2010 Talisman Energy USA Inc spilled used natural gas drilling fluids at

a gas well pad in Armenia Township, Bradford County, that polluted a waterway.

Hydraulic fracturing flowback fluid that returns to the surface after fracking was spilled.

5

HydrofrackingDiana Frank

Between 4,200 to 6,300 gallons of fluid spilled when a pump failed and sand collected in a valve.

The fluids flowed toward a wetland and a small amount discharged to a tributary of Webier Creek, which drains into the upper reaches of the Tioga River, a cold water fishery.

Fine: $15,506 (2010 DEP) Tioga County, Ward Township PA State Forest Land

January 2011 A valve, which should have been closed during the hydraulic

fracturing operation, was left open causing another valve to fail. Approximately 21,000 gallons -- of fracking fluid and flowback

water was released. A 20-foot by 2-foot gash was torn in the synthetic liner

surrounding the well during the incident. (2011, Aaron, G.)

Washington County, Hopewell Township PA

December 2009 (discovered) Atlas Resources LLC is responsible for a spill of hydraulic

fracturing fluids into a tributary of a creek called Dunkle Run. An unknown quantity of fluid spilled into a tributary of Dunkle

Run. Dunkle Run is a “high-quality” watershed according to the DEP. Atlas corrected the problem but did not report it to DEP. Fine: $97,350 (2010, PRNewswire)

Washington County police report drilling worker Justin Franklin, 21, was arrested after investigators said he hit a person with a glass at a TGI Friday’s restaurant in South Strabane Township.

Loyd Ray, 47, was arrested and charged with aggravated assault after police said he shot a co-worker.

A man from Texas walked inside a Washington County Walmart and went into the Northeast Savings Bank and joked he was going to rob the bank,

A man from Louisiana died due to an illegal drug overdose. (2010, WXPI)

February 2011 A flash fire occurred, igniting natural gas liquids storage tanks on

the Chesapeake Appalachia, LLC, Powers well site. The fire burned for three hours. Three contract workers were burned in the incident (2011,

Brandolph & Hasch).

Other Issues

6

HydrofrackingDiana Frank

JobsWorkers on the wells are mostly from out of state and non-union. (2010, Leger)

7

HydrofrackingDiana Frank

CommunitySome residents are becoming wealthy from leasing the land and royalties, while others who live on the land but do not own enough to lease or choose not to lease are having their wells polluted and their homes value destroyed. (2010, Hargreaves, S)

Violations are not being reportedA report by the Pennsylvania Land Trust Association released in August 2010, says that the state of Pennsylvania has identified 1,435 violations by 43 Marcellus Shale drilling companies since January 2008. It includes 952 that were identified as “having or likely to have an impact on the environment.” These numbers do not include violations incurred by wastewater haulers. According to the Association, in June 2010 there was a 3-day enforcement blitz by the DEP resulting in 669 traffic citations and 818 written warnings that were issued to trucks hauling Marcellus Shale drilling wastewater. (2010, PA Land Trust). Appendix C

Inadequate OversightThe DEP reports that there in May 2010 there were 120,000 active oil and gas wells in Pennsylvania. As of May 2010, there were thirty DEP agents assigned to oil and gas operations. (2010, Lee, S.).

Clean Water CrisisFreshwater is already a scarce resource. According to a UNESCO Science Report, “Over 70 percent of the surface of the Earth is covered by water, but only 2.5 percent is fresh water. The rest is salt water contained in the oceans. And of the already small proportion of freshwater, only 1 percent - less than 0.007 percent of all the water in the world - is easily accessible. This is the water found in lakes, rivers, reservoirs and those underground sources that are shallow enough to be tapped at an affordable cost. Only this amount is renewed regularly by rain and snowfall, and therefore available on a sustainable basis.” (UNESCO) Pollution. Industry returns most of the water it uses to rivers and lakes, but it is often contaminated. Much of the water draining from irrigation usually contains fertilizers and pesticides that pollute groundwater sources and rivers.(2009, Hopey, D.)

• Acting DEP Secretary John Hanger High admitted that total dissolved solids (TDS) in industrial wastewater have been a problem in the Monongahela River and could be a problem state wide.

8

HydrofrackingDiana Frank

• In the Fall of 2008 incompletely treated gas well drilling brine fouled drinking water from the Monongahela River in Pennsylvania.

• Drinking water treatment facilities are not equipped to treat chlorides and sulfates, components of TDS. (2009, Kasey, P)

9

HydrofrackingDiana Frank

Where was the EPA when we needed them?

• 1980s. Congress first considered whether to regulate more closely the handling of wastes from oil and gas drilling.

• E.P.A. researchers concluded that some of the drillers’ waste was hazardous and should be tightly controlled.

• Some of these recommendations were eliminated in the final report to Congress in 1987.

• “It was like the science didn’t matter,” Carla Greathouse, the author of the 1987 report said “The industry was going to get what it wanted, and we were not supposed to stand in the way.”

• E.P.A. officials said her findings were altered because of pressure from the Office of Legal Counsel of the White House under Ronald Reagan.

• 2010. The EPA planned to call for a moratorium on hydrofracking in the New York City watershed but that information was removed from the publicly released letter sent to New York.

• The EPA dropped plans to study radioactivity in drilling wastewater being discharged by treatment plants into rivers upstream from drinking water intake plants. Congress members from drilling states have pressured the agency to keep the focus of the new study narrow.

• The E.P.A. also studied hydrofracking in 2004, when Congress considered whether the process should be regulated by the Safe Drinking Water Act.

• A draft of the study mentioned potentially dangerous levels of contamination in hydrofracking fluids and the possibility of contaminating an aquifer. The final version not only left out the concerns but stated that hydrofracking “poses little or no threat to drinking water.”

• After the study was released, an E.P.A. whistleblower said the agency had been strongly influenced by industry and political pressure. (2011, Urbina).

Public Health Issues

Air Pollution, Carcinogens & Endocrine DisruptersDiesel fueled equipment necessary to the operation emit

volatile organic compounds (VOC’s.) These compounds mix with nitrogen oxides to produce ground-level ozone that can burn the lungs. If exposed for long periods this can lead to chronic obstructive pulmonary disease (COPD) Ground level ozone is most damaging to children, active adults and the elderly. It also hurts plant life. The enclosed report, Natural Gas Operations from a Public Health Perspective was compiled by The Endocrine Disruption Exchange which also states that “Upon closure every pit has the potential to become a superfund site” because the produced water filled with chemicals is injected back into the

10

HydrofrackingDiana Frank

earth. This polluted water threatens our water supplies which in turn affects our food sources.

“One resident of Dimock told us she saw an oil/gas company truck with a tanker (presumably full of flowback) with a hose draining into the filling tank of an abandoned gas station.” (2010, Lee)

While a few landowners are benefiting from hydrofracking, for most of us it’s another straw that can potentially break the camels back. We have no national health care, unemployment is officially at 8.8 percent but the real unemployment rate is double that. Many people have lost not only their jobs but their homes in the past few years. In the meantime many corporations pay no taxes or like GE receives tax rebates while teachers and other public employees are threatened with layoffs.

What can be done? At the minimum, a retroactive tax on the drilling should be

imposed taking into consideration the lack of personal responsibility the drillers, haulers and workers have exhibited so far.

The DEP should begin hiring and training enough employees to police the industry.

A Medical Superfund should be set up for all possible victims of the pollution from this operation.

No fracking fluid should be injected back into the ground to pollute the aquifer. Several companies exist that claim to be able to clean produced water. If the cost of cleaning the water is prohibitive or if the amount of energy used to clean the produced water equals or exceeds the cost of extracting the gas, perhaps the drilling should stop.

The American people have picked up the cost of cleaning up after industry for long enough. Many Pennsylvanians have died from black lung and asbestosis acquired from years of working in mines and mills. Many others have died from secondary exposure. It’s time for industry to pull itself up by its bootstraps and take responsibility for its actions.

Diana FrankApril 2011

11

HydrofrackingDiana Frank

Aaron, G. (2011, March 12). Strictly Business: Anatomy of a fracking well blowout. Stargazette.com retrieved from

http://www.stargazette.com/article/20110312/BUSINESS/303120003/Strictl y-Business-Anatomy-fracking-well-blowout

ATSDR Agency for Toxic Substances and Disease Registry retrieved from http://www.atsdr.cdc.gov/substances/toxsubstance.asp?toxid=29

Bloomberg News (2010, June 1) Opponents of shale gas extraction fear environmental effects Retrieved from

http://www.pittsburghlive.com/x/pittsburghtrib/business/s_683844.html#ix zz1IZhWvf7M

Brandolph, A. & Hasch, M. (2011, February 24). Three burned at Marcellus shale drilling site near Avella Pittsburgh Tribune Review retrieved from

http://www.pittsburghlive.com/x/pittsburghtrib/news/s_724408.html

Burton, J. (2009, December 12). Cabot workers fail drug tests Employees at gas wells tested positive. The Times-Tribune. retrieved from http://thetimes- tribune.com/cabot-workers-fail- drug-tests-employees-at-gas-wells-tested- positive- 1.479805#axzz1IZk66RCz

CoudyNews.com (2010, November 22) DEP Investigating Lycoming County Fracking Fluid Spill. Retrieved from http://coudynews.com/news/dep- investigating-lycoming- county-fracking-fluid-spill/

DEP (2010, December 16). Dimock Residents to Share $4.1 Million, Receive Gas Mitigation Systems Under DEP-Negotiated Settlement with Cabot Oil and Gas. Retrieved from

12

HydrofrackingDiana Frankhttp://www.portal.state.pa.us/portal/server.pt/community/newsroom/1428 7?id=15595&typeid=1

DEP (2010, April 23). DEP Fines Stallion for Illegally Transferring Fracking Water

Retrieved from http://www.northcentralpa.com/article/dep-fines-stallion- illegally-transferring-fracking-water

DEP (2010, August 2) DEP Fines Talisman Energy USA for Bradford County Drilling Wastewater Spill, Polluting Nearby Water Resource retrieved from

http://www.portal.state.pa.us/portal/server.pt/community/newsroom/1428 7?id=13249&typeid=1

13

HydrofrackingDiana Frank

Environmental Working Group (2010, January 19.) Fractured Logic: The Peril in “Fracking” Chemicals retrieved from

http://www.ewg.org/agmag/2010/01/fractured-logic-the-peril-in- %E2%80%9Cfracking%E2%80%9D-chemicals/

Federman, A. (2009, December 2.) Cabot oil & Gas faces lawsuit in Marcellus drilling. Earth Island Journal. Reterieved from

http://www.alternet.org/water/144162/cabot_oil_and_gas_faces_lawsuit_in_ marcellus_drilling/

Hargreaves, S. (2010, October 26). Gas Boom Mints Instant Millionaires. CNN Money. Retrieved from http://finance.yahoo.com/loans/article/111118/gas- boom- mints-instant-millionaires?mod=career- selfemployment&cmtnav=/mwphucmtgetnojspage/headcontent/main/11111 8//date/asc/1/0

Hopey, D, (2009, August 8). Monongahela River water leaving bad taste but is safe to drink. Pittsburgh Post-Gazzette retrieved from http://www.post- gazette.com/pg/09220/989472-114.stm

Kasey, P. (2009, April 17). Pennsylvania Sets New Limits on Total Dissolved Solids in Rivers, Including Monongahela. The State Journal. Retrieved from http://statejournal.com/story.cfm?func=viewstory&storyid=56983

Lee, S. (2010, May 22). Who Does the Law Protect? The Problems the Regulations Allow. Retrieved from http://pafrombelow.info/content/who- does-law-

protect- problems- regulations-allow

Legere, L (2010, October 26). Nearly a year after a water well explosion, Dimock Twp. residents thirst for gas-well fix, Times-Tribune Retreived from http://thetimes-tribune.com/news/nearly-a-year-after-a-water-well- explosion-dimock-twp-residents- thirst-for-gas-well-fix- 1.365743#axzz1IZk66RCz

Legere, L. (2010, October 1). DEP pledges public water for Dimock. Gas Drilling Awareness for Cortland County. Retrieved from

http://gdacc.wordpress.com/2010/10/29/test-find-gas-contaminants-in- dimmock-wells/

Legere, L. (2010, September 17). Unions say they are left out of Marcellus Shale jobs. The Times-Tribune.com. Retrieved from http://thetimes- tribune.com/news/unions-say-they-are-left-out-of- marcellus-shale-jobs- .1016240#axzz1IZk66RCz

14

HydrofrackingDiana Frank

Lustgarten, A. (2009, September 21) Frack Fluid Spill in Dimock Contaminates Stream, Killing Fish, ProPublica Retrieved from

http://www.propublica.org/article/frack-fluid-spill-in-dimock-contaminates- stream-killing-fish-921

Lustgarten, A. (2009, April 26). The Next Page: Gas, gas everywhere -- but will water be fit to drink?. Pittsburgh Post-Gazette. Retrieved from http://www.post- gazette.com/pg/09116/965379-109.stm

Lustgarten, A. (2009, November 20) Pa. Residents Sue Gas Driller for Contamination, Health Concerns, ProPublica retrieved from http://www.propublica.org/article/pa-residents-sue-gas-

driller-for- contamination-health-concerns-1120

Pennsylvania Land Trust Association (2010, August 2). Retrieved from

http://wearecentralpa.com/images/Multi_Media/wearecentralpa/nxd_medi a/dox/pdf/2010_08/Marcellus%20Shale%20Drilling %20Infractions.pdf

PR Newswire (2009, October 22). Pennsylvania DEP Fines Cabot Oil and Gas Corp. $56,650 for Susquehanna County Spills retrieved from

http://www.prnewswire.com/news-releases/pennsylvania-dep-fines-cabot- oil-and-gas-corp-56650-for-susquehanna- county-spills-65589387.html

PR Newswire (2010, August 17). PA DEP Fines Atlas Resources for Drilling Wastewater Spill in Washington County retrieved from

http://www.prnewswire.com/news-releases/pa-dep-fines-atlas-resources- for-drilling-wastewater-spill-in- washington-county-100888514.html

Rubinkam, M. (2010, September 17). Report: Fracking Chemicals in Dimock water wells. The Express retrieved from

http://www.lockhaven.com/page/content.detail/id/525654/Report-- Fracking-chemicals-in-Dimock-water-wells.html?nav=5009

Sourcewatch retrieved from http://www.sourcewatch.org/index.php?title=Cabot_Oil_and_Gas

15

HydrofrackingDiana FrankSQVN (2010, December 16). Dimock Residents to Share $4.1 MillionUnder DEP-Negotiated Settlement with Cabot Oil and Gas retrieved from http://www.sqvnews.org/Economy/story/2010-12-16_09_15_45

Urbina, I. (2011, March 3.) Pressure Limits Efforts to Police Drilling for Gas The New York Times retrieved from

http://www.nytimes.com/2011/03/04/us/04gas.html?_r=1&pagewanted=a ll

WXPI (2010, June 25) Marcellus Shale Workers Accused Of Committing Several Crimes retrieved from http://www.wpxi.com/news/24044929/detail.html

16