Brennan Weintraub - Research Assistant
Jackie Schweichler - Education Programs Coordinator
The following information is an update of recent local,
state, national, and international legal developments relevant to shale gas.
Federal Lands: BLM Issues Final Rule for Oil and Gas
Waste Prevention
On September 18, 2018, the U.S. Bureau of Land Management (BLM)
issued a
final rule detailing changes in the way the agency intends to regulate the
prevention of methane emissions in oil and gas production on the land that it
oversees. The new rule is entitled, Waste Prevention, Production
Subject to Royalties, and Resource Conservation; Rescission or Revision of Certain Requirements. The new rule would
undo many of the changes promulgated in the 2016 Waste Prevention rule, which created requirements for several aspects of oil and gas
production, including waste minimization. The agency stated that there
was some overlap of BLM rules with the already-existing rules of several states
and tribes.
In response, on September 18, 2018, California and New
Mexico
filed a complaint in the U.S. District Court for the Northern District of
California against BLM (State of California, et al., v. Ryan Zinke, et al.,
3:18-cv-05712). The states allege that in promulgating this final rule,
BLM has violated the Administrative Procedure Act, the Mineral Leasing Act, and
the National Environmental Policy Act. Specifically, the complaint says
the BLM is repealing the 2016 rule without offering a reasoned explanation for
the contradictory decision.
Pipelines: FERC Re-Issues Permits for Atlantic Coast
Pipeline in North Carolina and West Virginia
On September 17, 2018, the Federal Energy Regulatory
Commission
re-issued two permits for the Atlantic Coast Pipeline, which will allow
construction to resume in North Carolina and West Virginia. The permits had
previously been revoked in response to an August ruling by the U.S.
Court of Appeals for the Fourth Circuit, which found that construction may
adversely affect protected species in the region. The permits are being
re-issued in light of a revised Biological Opinion submitted by the U.S. Fish
and Wildlife Service. The revised Biological Opinion includes a modified
Incidental Take Statement for the pipeline. In addition, the National Park
Service issued a new right-of-way permit for the Blue Ridge Parkway
crossing. The pipeline, when
completed, will carry natural gas six hundred miles from West Virginia to
eastern North Carolina.
Federal Lands: Interior Department Panel Recommends
Changes in Royalties from Public Oil and Gas
On September 13, 2018, the
Royalty Policy Committee recommended
changes to the formula used to calculate oil and gas royalties for publicly
owned land. The committee was formed last year by Interior Secretary Ryan
Zinke in order to advise on current issues relating to the fair market value
for resources on federal and Indian lands. The proposed changes would
allow companies to calculate royalties based either on the amount they were
paid for the oil and gas they produced or based on the quality and quantity of
gas produced.
Pipelines: Temporary Stay of Construction Issued to
Mountain Valley Pipeline for Water Crossing
On September 18, 2018, the Summers and Monroe County Circuit
Court
issued a temporary stay of the Mountain Valley pipeline (MVP) construction
for a river crossing. The Greenbrier
River Watershed Association, and the Indian Creek Watershed Association
petitioned the court requesting a stay of the river-crossing permit out of
concern that construction would be completed before their case could be heard.
Currently, MVP is planned for construction through the Greenbrier River
in Pence Springs. The petitioners argue
that the permit does not comply with the Natural Streams Prevention Act.
From the National Oil & Gas Law Experts:
Charles Sartain, What
They're Saying About the EPA's Methane Rule, Gray Reed (September 19,
2018)
Pennsylvania Notices
Upcoming Meetings: Senate Environmental Resources &
Energy meeting (September 25, 2018)
Public
Hearing: regarding application from Penneco to authorize oil and gas
waste disposal in Allegheny County (October 1, 2018)
Permit
Appeal: On September 22, 2018, Lower Susquehanna Riverkeeper
Association, et al., appeals NPDES permit issued to Brunner Island, LLC for
York County facility
Follow us on Twitter at PSU Ag & Shale Law (@AgShaleLaw) to receive
ShaleLaw HotLinks:
“USA
is again the world’s largest crude producer” - Oil & Gas 360
“New
review shows oil and gas debt at lowest levels since late 2014” - Houston
Chronicle
“Energy
Department warns that oil drillers are leaving Texas amid pipeline woes” -
Washington Examiner
Connect with us on Facebook! Every week
we will post the CASL Ledger which details all our publications and activities
from the week.
This week we published two new Shale Law in the Spotlight
articles: UPDATE:
Overview and Timeline of Legal Developments Relating to the Keystone XL
Pipeline and Pennsylvania
Environmental Quality Board Proposes Increase in Unconventional Well Permit
Application Fee.
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can always be found on our Libsyn page, iTunes, Spotify, or Stitcher.
Check the September
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