An Update on DENR’s Shale Gas Study Evan Kane NC Department of Environment & Natural Resources Division of Water Quality

Onshore Natural Gas in NC – Who Knew? From Reid, J.C. and R.C. Milici. 2008. “Hydrocarbon Source Rocks in the Deep River and Dan River Triassic Basins, North Carolina”

Reid, J.C. and R.C. Milici. 2008. “Hydrocarbon Source Rocks in the Deep River and Dan River Triassic Basins, North Carolina”

(from NCGS Information Circular 36)

Dan River Basin Deep River Basin with modifications by the Nicholas Institute

Session Law 2011-276 (H242) Increases bonding and fees for oil & gas wells Adds minimum landowner protections for leases Directs DENR to study and report on shale gas development potential and its potential impacts

Session Law 2011-276 (H242) Required study components: Oil and gas reserves in the Triassic Basins Methods of exploration and extraction of oil and gas Potential impacts on infrastructure and water resources Potential environmental impacts Potential oversight and administrative issues associated with a regulatory program

Session Law 2011-276 (H242) Required study components (continued): Potential economic impacts Potential social impacts Consumer protection and legal issues Public hearings Deadline: May 1, 2012

Study Status Interdivisional team Outline revised based on public comments USGS Well inventory Pennsylvania trip DENR’s draft study report to be released in March Public comment and meetings in last two weeks of March March 20 – Sanford March 27 – Chapel Hill

strongerinc.org

Well Construction

Water Supply

Wastewater Management

Wastewater Management

Wastewater Management

Stormwater & Spills

Stormwater & Spills

Stormwater & Spills

Other considerations Chemical Disclosure Waste characterization Learning curves for both industry and regulators Workload & Staffing

More Information Web: www.ncdenr.gov – “Shale Gas” tab Trina Ozer – Study Coordinator trina.ozer@ncdenr.gov 919-707-8605 Evan Kane – DWQ Lead evan.kane@ncdenr.gov 919-807-6461