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Risk Based Data Management System (RBDMS) and Cost Effective Regulatory Approaches (CERA) Related to Hydraulic Fracturing and Geologic Sequestration of CO2 Last Reviewed 10/31/2011

DE-FE0000880

Goal
The goal of this project is to enhance the Risk Based Data Management System (RBDMS) by adding new components relevant to environmental topics associated with hydraulic fracturing, and by management of myriad data regarding oil and natural gas well histories, brine disposal, production, enhanced recovery, reporting, stripper wells, and other operations to enhance the protection of ground water resources. A regulatory and data needs assessment for CO2 geosequestration will also be developed.

Performer
Ground Water Protection Council (GWPC), Oklahoma City, OK 73142-3019

Background
The Ground Water Protection Council’s RBDMS program is now an integral tool in 22 oil and natural gas producing states for managing oil and gas activities, and evaluating the risk to source water posed by operations. The relationship between the availability of water, and the development and use of energy point to the need for better strategies to assure that both resources will remain available even as their demand increases substantially in the coming years. The implementation of resource management processes and programs will be critical tools in assuring the continued viability of water and energy resources. Today, there exists a sufficient critical mass of water quality (and quantity) data to allow an order of magnitude increase with regard to modeling alternatives for water management. Through existing and enhanced RBDMS analytical capabilities, GWPC shall develop a Web-based GIS model to assess water management options.

RBDMS will be enhanced to allow more efficient data transfer (performance, speed, reliability and security) between state agencies and industry operators. The system will be installed in Pennsylvania and updates will be conducted in Oklahoma and Illinois. Electronic reporting and permitting applications will allow oil and natural gas operators to report production and underground injection data directly to state agencies and automate portions of the oil and natural gas well permitting process. These applications will be installed or enhanced in Colorado, Mississippi, and Pennsylvania. Through existing and enhanced RBDMS analytical capabilities, GWPC will develop a Web-based GIS model to assess water management options in Ohio. Finally, they will conduct a needs assessment of the functionality required to incorporate regulatory aspects related to geo-sequestration of carbon dioxide and hydraulic fracturing within RBDMS.

Potential Impacts
The results of this project will enhance the RBDMS to allow more efficient data transfer (performance, speed, reliability, and security) between state agencies and industry operators. The resulting HF module will be a valuable decision-making aid to assess the potential impacts of HF on the environment and determine whether contamination incidents result from HF or other activities. Its uses also will extend to assisting with future review of proposals for downspacing, reduced setbacks, or infill drilling in shale production units.

Accomplishments
In April 2011, the hydraulic fracturing website FracFocus ( www.Fracfocus.org [external site]) was launched to the public. As of October 17, 2011, the FracFocus website has 68 participating companies. Information on over 5500 wells has been uploaded. Since the website launched in April 2011, it has received over 87000 visits. States with the most recorded wells include Texas, Colorado, Pennsylvania and Arkansas.

The Council of State Governments has presented the Innovation Award for Natural Resources to the Colorado Gas Conservation Commission (COGCC) for the eForm permitting system. The Colorado eForms system was developed by the COGCC and the Ground Water Protection Council (GWPC) with DOE funding and its implementation has reduced permit processing time by allowing oil and gas operators to complete regulatory forms online. The permitting process has been streamlined as regulatory agencies can simultaneously review permits and the public is able to view and comment on applications. The eForm system is also utilized in Nebraska and Alabama and is being considered for implementation in Pennsylvania, Kentucky and Montana.

The website being developed by the GWPC and the Interstate Oil and Gas Compact Commission to provide information about chemicals used in hydraulic fracturing has received endorsements from the American Petroleum Institute, America's National Gas Alliance, the Independent Petroleum Association of America and the American Exploration and Production Council. The registry will provide public information about well locations and the specific chemicals used during fracturing. Information about the hydraulic fracturing process will also be available on the website. The website will become a central location for operators to voluntarily provide a list of chemicals utilized during hydraulic fracturing. Contact information for state oil, gas and water quality staff is available. The portion of the website used by companies to upload the chemical data was developed under this project. The website may also be linked to the RBDMS through the states that may adopt the Chemical Registry as a standard for reporting.

Using funding provided by DOE, GWPC has developed and released "An Assessment of State Needs for Regulating Geologic Sequestration of Carbon Dioxide" [PDF-external site-GWPC]. This report outlines the development of state regulations regarding large-scale geosequestration activities, and details areas that need to be addressed for efficient and effective regulation, including state primacy delegation, staffing and funding, data management systems, public outreach, and training programs.

GWPC has developed the HF module for Ohio, Pennsylvania, and Colorado. In Ohio the module is being used to track the chemicals used in fracking along with well location. Pennsylvania uses the module to track frac water, flowback water, and chemicals. Once a database is constructed, the module will be used for Internet e-reporting in Pennsylvania. In Colorado, the oil and gas agency tracks water quality from frac jobs along with well information. Operators will be able to report frac chemicals, but this is not required in Colorado. An RBDMS Inspection Module has also been created for Colorado and is planned for release in Summer 2011. The 2010/2011 RBDMS Annual Report has been posted at www.rbdmsonline.org [external site].

GWPC hosted 415 attendees and 200 presenters at the 2010 Water/Energy Symposium and GWPC Annual Forum co-sponsored by DOE from September 26–29 in Pittsburgh, PA. The public was invited to a workshop on Water Issues and Solutions Associated with Hydraulic Fracturing (HF) where several extramural NETL research projects were presented that addressed shale gas produced water treatment and re-use technologies. The topics discussed during the meeting included CO2 geo-sequestration, state water regulations related to Marcellus shale gas drilling activities, surface and groundwater availability and quality, the EPA Drinking Water/HF Study, and water consumption during conventional and emerging energy production.

An RBDMS water quality module has been developed and is being beta tested by the Ohio Department of Natural Resources (DNR) who has imported water monitoring data. The module will also be developed for use in Pennsylvania. The RBDMS wellbore schematic utility has been developed and the working model is available at http://wellbore.troywebconsulting.com/. Training on the wellbore utility was conducted at the fall 2010 RBDMS training meeting. RBDMS.net has been finalized in Mississippi and entity bond and well modules are being developed for use in Oklahoma. All presentations, help files, and documentation are posted at www.rbdmsonline.org [external site].

A needs assessment questionnaire on CO2 geo-sequestration was sent to 53 state agencies and 20 responses were received. Follow-up interviews with six selected states were conducted. GWPC drafted the RBDMS geo-sequestration module needs assessment document, which has been sent to six project states for feedback. GWPC has also been involved in discussions and received feedback from federal and interstate agencies. Three sessions on geo-sequestration were presented at the 2010 GWPC Underground Injection Control (UIC) meeting.

The Project Advisory Committee (PAC) was formed and held its first meeting in fall of 2009. The RBDMS hydraulic fracturing (HF) module requirements were outlined and the PAC identified the submittal of completion and stimulation reports as the most important component for HF module development. GWPC included feedback they received from states at the 2010 RBDMS spring training meeting into the HF module needs assessment document. The document has been finalized but may be updated as state regulations change. Colorado has been selected as the pilot state and now accepts electronic completion reports.

Current Status (October 2011)
The Ground Water Protection Council (GWPC) is in discussions with the Pennsylvania Department of Environmental Protection (PADEP) to develop an electronic reporting system for chemical use associated with Marcellus shale gas development. The Pennsylvania legislature is considering regulations that would require companies to disclose to the state any chemicals used in hydraulic fracturing operations.

GWPC continues development of the HF module programming for implementation in Ohio, Oklahoma and Colorado. The HF module will receive updates as HF tracking requirements are outlined. The CO2 geo-sequestration needs assessment document will be revised and finalized based on stakeholders' comments. Electronic reporting of completion reports is being tested in Colorado. Electronic permitting will be extended to other states. An initial assessment has been made in regard to Pennsylvania’s needs for RBDMS Water applications. Arkansas is installing the RBDMS data mining application.

Project Start: October 1, 2009
Project End: September 30, 2012

DOE Contribution: $3,837,896
Performer Contribution: $959,474

Contact Information:
NETL - Sandy McSurdy (sandra.mcsurdy@netl.doe.gov or 412-386-4533)
Ground Water Protection Council (GWPC) - Paul Jehn (pauljehn@roadrunner or 208-892-1400)
If you are unable to reach the above personnel, please contact the content manager.

Additional Information:

GWPC Risk Based Data Management System website [external site]

January 2010 Kick-off Presentation [PDF-1.22]