Bell Acres Marcellus Shale Forum Attracts Large Crowd

Several hands shot into the air Thursday night when Alan Eichler asked who among the more than 120 people gathered inside the Big Sewickley Creek Thursday night relies on a private water supply.

Eichler went on to explain that it was up to the Marcellus Shale drilling companies -- not property owners -- to carry the burden of proof should a problem with a resident's water supply occur within 1,000 feet near a gas well.

“The gas operator has to prove he didn’t cause the problems,” said Eichler, manager of the Oil and Gas program for the southwest region of the Department of Environmental Protection.

Eichler was one of six industry, environmental and legal representatives to speak to a standing-room-only crowd in the fire hall about the Marcellus Shale drilling boom in Pennsylvania.

Natural gas drilling and the environmental impact have become hot-button issues, not only in the area but across the commonwealth, where gas companies are lining up for drilling permits at high numbers.

Eichler said thousands of permits have been issued to companies within the past two years, compared with five issued in 2005 and 23 in 2006. By law, he said, the DEP must issue a permit within 45 days.

The three-hour informational session wasn’t held to debate the merits of Marcellus Shale, said John Walliser, the event moderator and vice president of legal and governmental affairs for the Pennsylvania Environmental Council.

Walliser, of Bell Acres, told the crowd that the purpose of the forum  was to obtain first-hand knowledge about the industry to become better informed.

Following two hours of presentations, the panel fielded questions, which ranged from the potential impact on the environment to who is ultimately responsible for the well once the drilling ends.

Audience members included local officials from area municipalities that are dealing with the drilling issue. Many who attended were interested in learning more about the potential for contamination during “fracking,” the process of cracking the shale rock so that natural gas can flow freely. 

Extracting gas mainly involves horizontal drilling and requires large amounts of water mixed with sand and other components to help “fracture” the shale under high pressure, Eichler said. Because a mixture of chemicals is used in the process, the water used must be sent to a treatment facility to remove the heavy metals and chemicals. Pennsylvania doesn't have many disposal facilities that are capable of that task, so fracking fluids are typically sent to Ohio, Eichler said.

Eichler explained to the crowd that Pennsylvania at the end of the 1800s was one of the leading oil producers in the world, and that Marcellus Shale has put the state at the forefront of another energy boom.

“Whether you like it or not, Pennsylvania is now back on the map in terms of energy production,” Eichler said. 

Eichler spoke about pipelines, wells, drilling, permits, environmental issues and the DEP’s overall role as an enforcement agency, including performing inspections and sending violation notices. He showed the audience photos, including a tank that exploded last year in Indiana Township while welders were attempting to make repairs. Two workers were killed and the damaged well caught  fire, he said. 

“We are dealing here with a substance that burns and explodes, I mean, that’s what natural gas does,” Eichler said.

Tom Butz, attorney with Smith-Butz LLC, spoke about tax and estate planning, while his partner, John Smith, spoke about estate planning, determining property ownership, and how owners can protect their rights while negotiating with companies seeking their signature on an oil and gas lease.

Smith said most landowners are interested in how much money they’ll make, but every company has a different lease, terms and selling points. The most important part is protecting yourself, he said.

“They’re all a little different. Of course (leases are ) not drafted in your favor. You have to try to get what you can,” he said.

Smith is at the forefront of oil and gas lease negotiations, zoning regulations and drilling activities. He is special counsel for Mt. Pleasant Township and is the solicitor of Cecil Township, where drilling activities are taking place and where one of the largest natural gas companies, Range Resources, is headquartered.

Other panelists included Bob Fargo of Geo Resource Groupand Veronica Coptis of the Mountain Watershed Association.

Fargo said drilling sites are essentially "industrial" sites. With so much activity involving transfering chemicals and truck traffic, he said, "drips, leaks, spills, they just happen."

"There's no way around it. They're going to happen, and that’s where the real problems come in,” he said. 

While supporters say drilling for gas is cheaper and safer for the environment than coal or oil, companies are being cited for violations.

Coptis said 565 violations were issued at Marcellus well sites in the first six months of 2010. About 1 in 7 sites violated regulations, she said. This year, she said 313 violations have been issued in the past four months.

“And this is occurring frequently in more rural areas where they have a  hard time getting caught,” she said.

Coptis urged residents to become citizen watchdogs over the industry and to call their local legislators to voice their opinions.

Gov. Tom Corbett has formed a Marcellus Shale Advisory Commissionthat will examine the issue, with a July deadline to make recommendations. At the same time, Eicher said, the state Senate has two related packages of bills in the works. Eicher said legislation has been introduced in the state General Assembly to put a severance tax on drilling.

Smith said drilling can affect the value of a home and mortgage qualifications. He drew gasps from the crowd when he said that a drilling operation was required to be only 200 feet from a house and 300 feet from a neighboring property line.

“Be mindful when you sign these leases,” Smith said.

Pam Hardy of , who attended with her husband, said she was pleased with how informed the panel was and "definitely" felt they learned something.

"We learned how extremely dangerous this process can be," Hardy said.

Russell Walker, 48, of Bell Acres, said he owns 10 acres of property -- enough land that could  be used for drilling. But he also said he  has children, his family uses well water, and his property borders the Big Sewickley Creek.

Walker said he’s been reading up on the issue with an open mind and came to the forum because he wanted to learn more.

“I appreciate nature,” Walker said. “I came just to get a general perspective.”

Walker said when he thinks of how drilling was handled in the past, he believes  better control over today's processes is needed.

“I think Pennsylvania has to look at how they let them dispose of the fracking water,” Walker said.

Diane Abell, who was part of the committee of representatives from local organizations that planned the forum, said she was pleased with the turnout.

"I think it went well," Abel said. "… I think they opened a lot of eyes."