EOG Resources and its contractor, C.C. Forbes, utilized untrained personnel and failed to use proper well control procedures, resulting in the natural gas well blowout on June 3 in Clearfield County, Pa. That allows natural gas and wastewater to escape uncontrollably for 16 hours, according to an independent investigation released July 13 by the Pennsylvania Department of Environmental Protection (DEP).
"The blowout in Clearfield County was caused by EOG Resources and its failure to have proper barriers in place. This incident was preventable and should never have occurred," said DEP Secretary John Hanger, who added that EOG Resources has been ordered to take nine corrective actions; C.C. Forbes ordered to take six corrective actions and both companies were fined more than $400,000, collectively.
EOG and C.C. Forbes lost control of the well while performing post-fracturing well cleanout activities. Following a 40-day suspension of operations in Pennsylvania, EOG Resources and C.C. Forbes were permitted to resume all well completion activities. EOG Resources, formerly known as Enron, operates approximately 297 active wells in Pennsylvania, 139 of which are in the Marcellus Shale formation.
Petroleum engineer John Vittitow, whom DEP hired to investigate all aspects of EOG's drilling operations, compiled the report. Vittitow's investigation was conducted alongside, but independently of, DEP's investigation.
"Make no mistake, this could have been a catastrophic incident," Hanger said. "Had the gas blowing out of this well ignited, the human cost would have been tragic, and had an explosion allowed this well to discharge wastewater for days or weeks, the environmental damage would have been significant."
In light of the investigation's findings, Hanger said his agency has written each company drilling into the Marcellus Shale to ensure they understand proper well construction and emergency notification procedures. The letter stated that:
The fines assessed to EOG Resources and C.C. Forbes—for $353,400 and $46,600, respectively—will cover the cost of DEP's response to the incident and the investigation. In addition to the financial penalties, DEP ordered EOG Resources to implement practices and take nine corrective actions to avoid a repeat of this incident. C.C. Forbes was ordered to implement similar practices and to take six corrective actions.
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