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EOG Says U.S. Fracking Rule to Cost $1.5 Billion a Year

Bloomberg Businessweek -- The Obama administration’s plan to tighten regulation of hydraulic fracturing for natural gas on public land may cost more than 20 times U.S. estimates, energy companies and local governments said.

EOG Resources Inc., the top oil producer in a Texas shale formation, and officials from Wyoming and Utah cite a study by John Dunham and Associates that said it will cost $253,839 per well to meet the proposal for disclosing chemicals being used and certifying the well is isolated to avoid leaks. The Bureau of Land Management estimated costs at $11,833 per well.

“The proposed rule is unnecessary, excessive and requires actions that no state currently regulating oil and natural gas production deems necessary,” Eric Dille, government affairs director for Houston-based EOG, said ...

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Submitted Sep 08, 2012 By: BurntOrange

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remay Champion Author Houston Posts:6,963 Points:2,117,390 Joined:May 2006	Message Posted: Sep 10, 2012 7:36:47 AM Ignore remay Report Abuse Maybe the Bureau should do the work and CHARGE for it, since the know how much it will cost. 12K is a bargain compared to 254K.
jrs4125 Champion Author Indiana Posts:2,758 Points:591,745 Joined:Sep 2011	Message Posted: Sep 10, 2012 6:13:16 AM Ignore jrs4125 Report Abuse I don't think so.
drpepperTX Champion Author Texas Posts:8,945 Points:752,210 Joined:Apr 2011	Message Posted: Sep 9, 2012 3:31:55 PM Ignore drpepperTX Report Abuse @ ebill who says below that it's a fact that water is contaminated, you couldn't be more off base. I'll repeat my earlier post as obviously you have fallen victim to fear and paranoia. As more and more SCIENTIFIC studies are added to a growing list of studies showing the safety of hydraulic fracturing, the science denial crowd will overlook the science and continue to promote fear. Yelling "the water's on fire etc.". They'll continue to chant the thoroughly debunked claims of Josh Fox "Gasland" propaganda. No disclosure of fracturing fluid?? WRONG again... Just take at look around the site www.fracfocus.org, it's ALL right there for the world to see. And the latest from the purveyors of fear? Insurance!!! Aha, this will be the nail in the trackers coffin! Oh wait...."Fracking-related losses have never been a covered loss under personal or commercial lines policies." - Nationwide Insurance Co. So now it's water use eh? As each aspect of the witch hunt against oil and gas production is knocked down by science these yahoos will come up with something else out of the blue. Show me one state where oil and gas comapanies use more than a tiny fraction (far less than 1%) of the total water usage. While your at it show me a state that doesn't allow golf courses to use hundreds of times more water than drilling. You cannot, case closed. You see, there is a huge amount of deceiving information spouted out to the public about hydraulic fracturing, a decades-old technology. Those who spread this misinformation are mostly preying on the public's fears, with an ultimate goal of forcing state governments to succumb to that fear and prevent or even ban hydraulic fracturing. We need to make sure that the discussion is productive, and that any rules are legitimately conceived. Fact must be sEPArated from fiction. The most common claim talking point is that hydraulic fracturing contaminates ground water. This is baseless. Have you ever noticed that the critics who make that claim never provide concrete evidence? The reason for their omission? It is obvious why. After being used more than 1.2 million times there have been no confirmed cases of hydraulic fracturing contaminating water. None. Never. Ever. As EPA Administrator Lisa Jackson said in April of 2012, "In no case have we made a definitive determination that the fracking process has caused chemicals to enter groundwater." The three "smoking gun" cases that the anti-shale zealots were sinking their teeth into have proven false or based on very poor science. See Pavillion WY, Dimoch, PA, and Parker County, TX. The latest fear mongering is "climate change" thru methane emission from hydraulic fracturing. Once again SCIENTIFIC investigation has shown the EPA using numbers that are overblown by 50%. Oh and the "evil Halliburton Loophole" talking point! LOL, what a joke. This is the errant claim born out of the yellow journalism of "gasland", a proven fraudulent film by Josh Fox, that hydraulic fracturing is "exempt" from the Safe Drinking Water Act, thanks to an energy bill passed by Congress in 2005. The truth??? SDWA has been the law of the land for nearly 40 years, and at no point has it ever covered hydraulic fracturing. Why??? States already tightly and effectively regulate the process.
drpepperTX Champion Author Texas Posts:8,945 Points:752,210 Joined:Apr 2011	Message Posted: Sep 9, 2012 3:23:30 PM Ignore drpepperTX Report Abuse Yes TustiDad, the proprietary information is included, they are only relieved from stating the specific amount used, that is what is 'proprietary'. Just like Coca-Cola or any other recipe, all ingredients are known, only ratios are 'trade secret'.
TustinDad Champion Author Orange County Posts:4,281 Points:907,565 Joined:Feb 2008	Message Posted: Sep 9, 2012 1:25:43 PM Ignore TustinDad Report Abuse drpepperTX wrote: "No disclosure of fracturing fluid?? WRONG again... Just take at look around the site www.fracfocus.org, it's ALL right there for the world to see." But does that list disclose the proprietary chemicals that, by law, do not need to be disclosed? I kind of doubt that.
LetemEatCake Champion Author Oklahoma City Posts:5,596 Points:1,204,730 Joined:Mar 2008	Message Posted: Sep 8, 2012 11:55:59 PM Ignore LetemEatCake Report Abuse Malarkey! I think somebody is full of it! Disclosing the chemicals used in fracking costs virtually nothing! Other companies have already done that....did we hear any sum of money whined about? [Edited by: LetemEatCake at 9/9/2012 12:56:44 AM EST]
rjoeh Champion Author Michigan Posts:7,081 Points:2,470,065 Joined:Jun 2004	Message Posted: Sep 8, 2012 11:22:28 PM Ignore rjoeh Report Abuse Sounds normal for the Obama Administration to grossly under estimate costs to companies and individuals just like Obama Care.
judgemobile Champion Author Ohio Posts:7,570 Points:2,445,135 Joined:Nov 2005	Message Posted: Sep 8, 2012 11:09:18 PM Ignore judgemobile Report Abuse get the dang government out of the private sector--VOTE FOR ROMNEY AND RYAN.
rahcat Champion Author Grand Rapids Posts:2,468 Points:662,950 Joined:Jan 2010	Message Posted: Sep 8, 2012 11:07:28 PM Ignore rahcat Report Abuse Obama and the EPA.......Get out of the way!
tutaw Champion Author Kentucky Posts:3,600 Points:842,745 Joined:Sep 2008	Message Posted: Sep 8, 2012 11:02:13 PM Ignore tutaw Report Abuse ok
shores4now Champion Author Kentucky Posts:2,406 Points:523,800 Joined:Jul 2009	Message Posted: Sep 8, 2012 11:01:35 PM Ignore shores4now Report Abuse Ok
Beaveronparade Champion Author Hartford Posts:2,105 Points:635,050 Joined:Mar 2011	Message Posted: Sep 8, 2012 10:59:42 PM Ignore Beaveronparade Report Abuse Another reason for gas to go up?
Ahking Champion Author Orange County Posts:3,507 Points:603,450 Joined:May 2011	Message Posted: Sep 8, 2012 10:59:24 PM Ignore Ahking Report Abuse If they know what to buy, they can report without much effort unless there are unsavory substances. Safe guarding our water supply should be done in a preventive manner. When contamination is detected, it will be too late.
Number43 Champion Author Lexington Posts:8,697 Points:1,638,170 Joined:Oct 2008	Message Posted: Sep 8, 2012 10:57:06 PM Ignore Number43 Report Abuse Drill baby drill.
Number43 Champion Author Lexington Posts:8,697 Points:1,638,170 Joined:Oct 2008	Message Posted: Sep 8, 2012 10:56:34 PM Ignore Number43 Report Abuse The fools at the sierra club have taken over america.
nimpy Champion Author Indianapolis Posts:8,135 Points:1,701,105 Joined:Oct 2007	Message Posted: Sep 8, 2012 10:56:19 PM Ignore nimpy Report Abuse A reason to increase the price
Number43 Champion Author Lexington Posts:8,697 Points:1,638,170 Joined:Oct 2008	Message Posted: Sep 8, 2012 10:55:25 PM Ignore Number43 Report Abuse OBUMMER JUST CAN'T COUNT.
DustyHorse Champion Author Virginia Posts:6,085 Points:1,391,805 Joined:Oct 2008	Message Posted: Sep 8, 2012 10:54:33 PM Ignore DustyHorse Report Abuse The Obama administration hates all fossil fuels.
fenster66 Champion Author Pittsburgh Posts:3,350 Points:674,090 Joined:May 2011	Message Posted: Sep 8, 2012 10:53:57 PM Ignore fenster66 Report Abuse ok....
trytogetby All-Star Author Cincinnati Posts:864 Points:214,000 Joined:Apr 2012	Message Posted: Sep 8, 2012 10:52:29 PM Ignore trytogetby Report Abuse All righty then.
Z51Corvette Champion Author Austin Posts:8,485 Points:1,671,170 Joined:Jan 2008	Message Posted: Sep 8, 2012 10:52:09 PM Ignore Z51Corvette Report Abuse More political rhetoric to make it difficult to produce a product. Liberal Democrats don't care how much it costs the American taxpayer... Truly!!! Don't drink the Tree Huggers and Socialist's Kool Aid!
nigelb Champion Author Virginia Posts:8,454 Points:1,390,780 Joined:Feb 2008	Message Posted: Sep 8, 2012 10:51:53 PM Ignore nigelb Report Abuse Fracking need to be closely monitored if we have any chance to keep our water clean.
96sc1 Champion Author El Paso Posts:8,517 Points:1,367,440 Joined:Mar 2008	Message Posted: Sep 8, 2012 10:51:50 PM Ignore 96sc1 Report Abuse Only 20 times U.S. estimates? Not a record.
Red7002011 Champion Author Mississippi Posts:3,332 Points:668,720 Joined:Jul 2011	Message Posted: Sep 8, 2012 10:51:09 PM Ignore Red7002011 Report Abuse Really!
SalukiCO Sophomore Author Colorado Springs Posts:199 Points:242,545 Joined:Jun 2012	Message Posted: Sep 8, 2012 10:50:43 PM Ignore SalukiCO Report Abuse Oh well. Don't expect them to stop. They will just ignore it and pay a $12 fine.
rf6480 Champion Author Miami Posts:1,534 Points:547,355 Joined:Mar 2011	Message Posted: Sep 8, 2012 10:50:19 PM Ignore rf6480 Report Abuse more regs to cost both in taxes and jobs
jrsva Champion Author Virginia Posts:9,852 Points:1,613,000 Joined:Jan 2006	Message Posted: Sep 8, 2012 10:49:05 PM Ignore jrsva Report Abuse Studies underwritten by the oil and gas industry claim that it will be too expensive to do the job carefully and safely. Does this surprise anyone? Disclosing the chemicals used and assuring that the well bore is properly sealed to prevent leakage into groundwater are basic, minimal requirements.
rozellep2 Sophomore Author Illinois Posts:105 Points:574,075 Joined:Aug 2005	Message Posted: Sep 8, 2012 10:46:46 PM Ignore rozellep2 Report Abuse mmm
boldrph Champion Author Topeka Posts:18,376 Points:3,451,640 Joined:Oct 2002	Message Posted: Sep 8, 2012 10:45:24 PM Ignore boldrph Report Abuse industry shill
mfeldstein Champion Author Ottawa Posts:8,171 Points:1,930,480 Joined:Feb 2007	Message Posted: Sep 8, 2012 10:45:16 PM Ignore mfeldstein Report Abuse Good. Obama being the man he is, I'm sure he'll give all of this revenue to the poor.
Blue48 Champion Author Illinois Posts:7,305 Points:1,637,945 Joined:Feb 2007	Message Posted: Sep 8, 2012 10:42:10 PM Ignore Blue48 Report Abuse OK!
RoadKing95 Champion Author San Jose Posts:20,554 Points:3,603,240 Joined:May 2003	Message Posted: Sep 8, 2012 10:41:46 PM Ignore RoadKing95 Report Abuse Hmmm. Do I trust what Enron has to say? Do you? Sounds self serving to me. But I'm sure Romneyhood would buy into it.
goldrose1 Champion Author Cleveland Posts:10,941 Points:1,925,580 Joined:Feb 2005	Message Posted: Sep 8, 2012 10:40:09 PM Ignore goldrose1 Report Abuse We need water on surface, not pumped underground. Sure that influenced this year's drought.
toadNY Champion Author Albany Posts:7,042 Points:1,513,150 Joined:Apr 2008	Message Posted: Sep 8, 2012 10:33:25 PM Ignore toadNY Report Abuse Do You eibli? Do you know All the real Fact's? I know I don't.
skyking19 Champion Author Little Rock Posts:2,001 Points:1,698,940 Joined:Jan 2007	Message Posted: Sep 8, 2012 10:32:37 PM Ignore skyking19 Report Abuse Get out and VOTE!
Goody2317 All-Star Author Wilmington Posts:680 Points:619,255 Joined:Jun 2008	Message Posted: Sep 8, 2012 10:32:14 PM Ignore Goody2317 Report Abuse Ok.
mcmonsta Champion Author Honolulu Posts:3,227 Points:818,545 Joined:Sep 2009	Message Posted: Sep 8, 2012 10:32:07 PM Ignore mcmonsta Report Abuse again its who pays for the study and what they base it on.
mrinmoyd Champion Author Illinois Posts:1,095 Points:364,525 Joined:Jun 2011	Message Posted: Sep 8, 2012 10:31:51 PM Ignore mrinmoyd Report Abuse change it
SammyAdams Champion Author Tallahassee Posts:3,054 Points:792,745 Joined:Nov 2010	Message Posted: Sep 8, 2012 10:31:49 PM Ignore SammyAdams Report Abuse To: EnergyEngineer Re: Message Post: Sep 8, 2012 10:13:32 PM (Printed below) "It's either we get our energy from this country or we continue sending 700 billions dollars a year overseas for energy. The government wants energy to come out of thin air, they also want to make doing business in America impossible. It isn't that hard for corporations to set up shop in other countries to escape the bureaucracy that is the U.S. government, until people realize this this country will continue on a downward slope." ============================================================== That seems to be the plan, EnergyEngineer. BO is on a deliberate quest to destroy the American middle class which is evident in every policy that his administration advances. Note from the article: "The proposed rule is unnecessary, excessive and requires actions that no state currently regulating oil and natural gas production deems necessary . . " The STATE is where the authority for any regulation should emanate, NOT BO, NOT the EPA, NOT any agency within the Federal government, but the various states have the reserved authority to determine what is best for their citizens. Many states are asserting this authority on a myriad of issues and 2013 will be a test to see if we can survive as a nation. Get involved with the TenthAmendmentCenter.com and be a part of a REAL CHANGE.
papa56NC All-Star Author North Carolina Posts:725 Points:142,760 Joined:Apr 2012	Message Posted: Sep 8, 2012 10:31:44 PM Ignore papa56NC Report Abuse Come on now
serrog Champion Author Nova Scotia Posts:5,564 Points:1,512,130 Joined:Oct 2008	Message Posted: Sep 8, 2012 10:31:31 PM Ignore serrog Report Abuse Cheap if you lose your water
bonzoonfmb Champion Author Florida Posts:1,782 Points:644,585 Joined:Feb 2010	Message Posted: Sep 8, 2012 10:29:57 PM Ignore bonzoonfmb Report Abuse Let the states handle their own regulations.
nsdp Champion Author San Antonio Posts:1,117 Points:47,315 Joined:Jun 2012	Message Posted: Sep 8, 2012 10:22:53 PM Ignore nsdp Report Abuse I would take this with a large bit of salt. Remember EOG was originally ENRON Oil &Gas. As to drilling costs the extra cost will be minimal if they do it right the first time and don't cut corners. This is just like the old Amoco hands I worked with cutting corners on safety. BP bought Amoco and old Amoco employees were in charge of drilling Macondo and the "BP" refinery fire at Texas City. No wonder they are complaining they will have to do things right.
carloco75 Champion Author Richmond Posts:3,716 Points:600,365 Joined:Oct 2010	Message Posted: Sep 8, 2012 10:22:28 PM Ignore carloco75 Report Abuse That's all...
geoutpb Champion Author Midland Odessa Posts:4,623 Points:1,066,310 Joined:Dec 2006	Message Posted: Sep 8, 2012 10:22:16 PM Ignore geoutpb Report Abuse Oil will only have to sale for more.
WeasleyOC Champion Author Orange County Posts:3,149 Points:802,325 Joined:Jul 2008	Message Posted: Sep 8, 2012 10:17:32 PM Ignore WeasleyOC Report Abuse Obummer invoked in this?
MadTraveler Champion Author Idaho Posts:2,082 Points:572,100 Joined:Nov 2009	Message Posted: Sep 8, 2012 10:15:39 PM Ignore MadTraveler Report Abuse Leave it to government to screw us over and over again.
mrbee Champion Author Little Rock Posts:3,754 Points:2,465,980 Joined:Oct 2005	Message Posted: Sep 8, 2012 10:12:46 PM Ignore mrbee Report Abuse We really need change.
BoerneWatch Champion Author San Antonio Posts:15,541 Points:2,453,940 Joined:Oct 2005	Message Posted: Sep 8, 2012 10:09:35 PM Ignore BoerneWatch Report Abuse No, no, NOOOO!!! Get the feds out of my state's ground. Fire that Marxist! Let him and Jimmy Carter build some homes for humanity together.
planoiceman Champion Author Dallas Posts:3,278 Points:477,070 Joined:May 2011	Message Posted: Sep 8, 2012 10:07:59 PM Ignore planoiceman Report Abuse Obama increasing costs again? What a surprise. If you haven't seen the movie "2016: Obama's America", go see it. It explains a lot about our current president and what we could seein the next 4 years.