American Oil and Gas Reporter - October 2015 - 107

ConventionSection: Oklahoma Independent Petroleum Association
levels, are making it increasingly difficult
for OIPA members to conduct business
and are forcing some to curtail production,
a difficult proposition in the face of lower
crude oil prices, Terry relates. "The timing
could not be worse, especially because
the area is in the middle of the Mississippian play," he says. "They are handling a
lot of water, so it is imperative that they
have good disposal wells. Some members
have said the restrictions could put them
out of business, so in some cases the
impact is severe. In other cases, if operators
have enough infrastructure and their disposal wells are connected by pipeline,
they can shift volumes around to other
wells without the disposal restrictions."
Throughout the difficulties, the OCC
has been sympathetic to producers' plights
and has worked closely with industry
representatives, says Terry, a member of
Governor Mary Fallin's Coordinating
Council on Seismic Activity, chaired by
Secretary of Energy and Environment
Michael Teague.
"Even though it hurts, I have heard
very few indications that members cannot
do this," Terry imparts. "As long as the
commission is reasonable and communicative, informing us about its thinking,
nobody is more interested in finding a
solution than we are," Terry assesses.
"The industry has supplied the Oklahoma
Geological Survey with new fault maps.
It simply lacked good information, and
without that it is hard to find solutions.
"We have complied voluntarily with
plugging back some of the Arbuckle wells
too close to the basement rock and now
by even cutting back volumes," he continues. "It has been a very collaborative
process and producers have complied with
everything asked of them. I think that will
continue until we find a solution."
Under OCC directions, disposal well
operators since March have spent more
than $35 million to adjust well depths
with the aim of reducing the potential
risk of contributing to seismic activity,
McDougall points out. But specific areas'
disposal volume restrictions hit much
harder by limiting production, he says.
Seeking Solutions
"Oklahoma's oil and gas industry is
actively working with the state's leading
scientists and regulators to help gain
insight about seismicity," McDougall
says. "The industry voluntarily has spent
another $35 million on collecting valuable
seismic data that can help provide answers.

OIPA, our member companies, and the
oil and gas industry as a whole support
the continued study of Oklahoma's increased seismic activity and its possible
relation to increased seismicity in the
state."
A.J. Ferate, OIPA's vice president of
regulatory affairs, adds that the OCC is
working to balance all concerns, but the
decision to reduce injection volumes 30
percent below 2012 levels for as many
as 18 wells is substantial for wells in
which operators have conducted business
within permit requirements.
"Some of these wells did not exist in
2012, so that is a problem, but they
actually have allowed for those to continue
to inject at some of their latest rates,"
Ferate says. "But I have information on
one well that in 2012 injected 561,000
barrels. With the reduction, that goes
down to 316,000 barrels. That is a large
amount."
Some companies may opt to truck
water elsewhere, despite the expense, he
says. For others, plugging wells may be
the only alternative, Ferate says.
During the legislative interim, state
lawmakers are conducting two studies,

including one led by House Energy and
Natural Resources Committee Chairman
Weldon Watson, R-Tulsa. The studies
will examine regulatory reform and consider how injection wells work, how they
might contribute to seismic activity, and
measures to address it, Roller says. Despite
the studies, a legislative fix may not feasible, he suggests.
"There is a public outcry from those
who want to make a political statement
that should not inject any more water,
but impose a moratorium," he says. "They
do not understand the impact. In the end,
it will be difficult to pass a law without
some sound science to establish the proper
solution."
OIPA also continues to seek a compromise among members over possible
well spacing legislation that may allow
for longer laterals in areas with legacy
production, Terry reports.
"The object is for all parties to get together and come up with a solution," he
says. "Everyone may not be happy, but
perhaps we can come up with solution
that will allow longer laterals to be drilled
in Oklahoma, while at the same time
protecting everybody's interests."
❒

EQT's Utica Well Hints At Bigger Appalachian Play
PITTSBURGH-Record-high production from EQT Corp.'s first deep West
Virginia Utica Shale well suggests the
Appalachian region may hold even more
gas than previously thought.
According to the corporation, the well
flowed 72.9 million cubic feet of gas a
day during its 24-hour initial production.
"To the best of our knowledge, this is
the highest reported initial production of
any Utica well," Vice President of Exploration and Production Steven Schlot-

terbeck is quoted in published reports.
EQT says the well was drilled from a
Marcellus Shale pad with a 3,221-foot
horizontal lateral, and it utilized 18 fracture
stages.
The company proposes that these well
results lend credence to the theory that
the dry gas core of the Utica extends beyond southeastern Ohio and beneath portions of the Marcellus Shale in neighboring
West Virginia.
❒

STUFFING BOX LEAK DETECTORS
A beneficial part of lease automation
OIL: Too valuable to spill - Too costly to clean up!

U.S. Patent
No. 5,148,699

Call 1-800-492-4393
for Azure's solution
and mention this
ad for a discount.
19 years and counting!
OCTOBER 2015 107



American Oil and Gas Reporter - October 2015

Table of Contents for the Digital Edition of American Oil and Gas Reporter - October 2015

Contents
American Oil and Gas Reporter - October 2015 - Cover1
American Oil and Gas Reporter - October 2015 - Cover2
American Oil and Gas Reporter - October 2015 - 3
American Oil and Gas Reporter - October 2015 - 4
American Oil and Gas Reporter - October 2015 - Contents
American Oil and Gas Reporter - October 2015 - 6
American Oil and Gas Reporter - October 2015 - 7
American Oil and Gas Reporter - October 2015 - 8
American Oil and Gas Reporter - October 2015 - 9
American Oil and Gas Reporter - October 2015 - 10
American Oil and Gas Reporter - October 2015 - 11
American Oil and Gas Reporter - October 2015 - 12
American Oil and Gas Reporter - October 2015 - 13
American Oil and Gas Reporter - October 2015 - 14
American Oil and Gas Reporter - October 2015 - 15
American Oil and Gas Reporter - October 2015 - 16
American Oil and Gas Reporter - October 2015 - 17
American Oil and Gas Reporter - October 2015 - 18
American Oil and Gas Reporter - October 2015 - 19
American Oil and Gas Reporter - October 2015 - 20
American Oil and Gas Reporter - October 2015 - 21
American Oil and Gas Reporter - October 2015 - 22
American Oil and Gas Reporter - October 2015 - 23
American Oil and Gas Reporter - October 2015 - 24
American Oil and Gas Reporter - October 2015 - 25
American Oil and Gas Reporter - October 2015 - 26
American Oil and Gas Reporter - October 2015 - 27
American Oil and Gas Reporter - October 2015 - 28
American Oil and Gas Reporter - October 2015 - 29
American Oil and Gas Reporter - October 2015 - 30
American Oil and Gas Reporter - October 2015 - 31
American Oil and Gas Reporter - October 2015 - 32
American Oil and Gas Reporter - October 2015 - 33
American Oil and Gas Reporter - October 2015 - 34
American Oil and Gas Reporter - October 2015 - 35
American Oil and Gas Reporter - October 2015 - 36
American Oil and Gas Reporter - October 2015 - 37
American Oil and Gas Reporter - October 2015 - 38
American Oil and Gas Reporter - October 2015 - 39
American Oil and Gas Reporter - October 2015 - 40
American Oil and Gas Reporter - October 2015 - 41
American Oil and Gas Reporter - October 2015 - 42
American Oil and Gas Reporter - October 2015 - 43
American Oil and Gas Reporter - October 2015 - 44
American Oil and Gas Reporter - October 2015 - 45
American Oil and Gas Reporter - October 2015 - 46
American Oil and Gas Reporter - October 2015 - 47
American Oil and Gas Reporter - October 2015 - 48
American Oil and Gas Reporter - October 2015 - 49
American Oil and Gas Reporter - October 2015 - 50
American Oil and Gas Reporter - October 2015 - 51
American Oil and Gas Reporter - October 2015 - 52
American Oil and Gas Reporter - October 2015 - 53
American Oil and Gas Reporter - October 2015 - 54
American Oil and Gas Reporter - October 2015 - 55
American Oil and Gas Reporter - October 2015 - 56
American Oil and Gas Reporter - October 2015 - 57
American Oil and Gas Reporter - October 2015 - 58
American Oil and Gas Reporter - October 2015 - 59
American Oil and Gas Reporter - October 2015 - 60
American Oil and Gas Reporter - October 2015 - 61
American Oil and Gas Reporter - October 2015 - 62
American Oil and Gas Reporter - October 2015 - 63
American Oil and Gas Reporter - October 2015 - 64
American Oil and Gas Reporter - October 2015 - 65
American Oil and Gas Reporter - October 2015 - 66
American Oil and Gas Reporter - October 2015 - 67
American Oil and Gas Reporter - October 2015 - 68
American Oil and Gas Reporter - October 2015 - 69
American Oil and Gas Reporter - October 2015 - 70
American Oil and Gas Reporter - October 2015 - 71
American Oil and Gas Reporter - October 2015 - 72
American Oil and Gas Reporter - October 2015 - 73
American Oil and Gas Reporter - October 2015 - 74
American Oil and Gas Reporter - October 2015 - 75
American Oil and Gas Reporter - October 2015 - 76
American Oil and Gas Reporter - October 2015 - 77
American Oil and Gas Reporter - October 2015 - 78
American Oil and Gas Reporter - October 2015 - 79
American Oil and Gas Reporter - October 2015 - 80
American Oil and Gas Reporter - October 2015 - 81
American Oil and Gas Reporter - October 2015 - 82
American Oil and Gas Reporter - October 2015 - 83
American Oil and Gas Reporter - October 2015 - 84
American Oil and Gas Reporter - October 2015 - 85
American Oil and Gas Reporter - October 2015 - 86
American Oil and Gas Reporter - October 2015 - 87
American Oil and Gas Reporter - October 2015 - 88
American Oil and Gas Reporter - October 2015 - 89
American Oil and Gas Reporter - October 2015 - 90
American Oil and Gas Reporter - October 2015 - 91
American Oil and Gas Reporter - October 2015 - 92
American Oil and Gas Reporter - October 2015 - 93
American Oil and Gas Reporter - October 2015 - 94
American Oil and Gas Reporter - October 2015 - 95
American Oil and Gas Reporter - October 2015 - 96
American Oil and Gas Reporter - October 2015 - 97
American Oil and Gas Reporter - October 2015 - 98
American Oil and Gas Reporter - October 2015 - 99
American Oil and Gas Reporter - October 2015 - 100
American Oil and Gas Reporter - October 2015 - 101
American Oil and Gas Reporter - October 2015 - 102
American Oil and Gas Reporter - October 2015 - 103
American Oil and Gas Reporter - October 2015 - 104
American Oil and Gas Reporter - October 2015 - 105
American Oil and Gas Reporter - October 2015 - 106
American Oil and Gas Reporter - October 2015 - 107
American Oil and Gas Reporter - October 2015 - 108
American Oil and Gas Reporter - October 2015 - 109
American Oil and Gas Reporter - October 2015 - 110
American Oil and Gas Reporter - October 2015 - 111
American Oil and Gas Reporter - October 2015 - 112
American Oil and Gas Reporter - October 2015 - 113
American Oil and Gas Reporter - October 2015 - 114
American Oil and Gas Reporter - October 2015 - 115
American Oil and Gas Reporter - October 2015 - 116
American Oil and Gas Reporter - October 2015 - 117
American Oil and Gas Reporter - October 2015 - 118
American Oil and Gas Reporter - October 2015 - 119
American Oil and Gas Reporter - October 2015 - 120
American Oil and Gas Reporter - October 2015 - 121
American Oil and Gas Reporter - October 2015 - 122
American Oil and Gas Reporter - October 2015 - 123
American Oil and Gas Reporter - October 2015 - 124
American Oil and Gas Reporter - October 2015 - 125
American Oil and Gas Reporter - October 2015 - 126
American Oil and Gas Reporter - October 2015 - 127
American Oil and Gas Reporter - October 2015 - 128
American Oil and Gas Reporter - October 2015 - 129
American Oil and Gas Reporter - October 2015 - 130
American Oil and Gas Reporter - October 2015 - 131
American Oil and Gas Reporter - October 2015 - 132
American Oil and Gas Reporter - October 2015 - 133
American Oil and Gas Reporter - October 2015 - 134
American Oil and Gas Reporter - October 2015 - 135
American Oil and Gas Reporter - October 2015 - 136
American Oil and Gas Reporter - October 2015 - 137
American Oil and Gas Reporter - October 2015 - 138
American Oil and Gas Reporter - October 2015 - 139
American Oil and Gas Reporter - October 2015 - 140
American Oil and Gas Reporter - October 2015 - 141
American Oil and Gas Reporter - October 2015 - 142
American Oil and Gas Reporter - October 2015 - 143
American Oil and Gas Reporter - October 2015 - 144
American Oil and Gas Reporter - October 2015 - 145
American Oil and Gas Reporter - October 2015 - 146
American Oil and Gas Reporter - October 2015 - 147
American Oil and Gas Reporter - October 2015 - 148
American Oil and Gas Reporter - October 2015 - 149
American Oil and Gas Reporter - October 2015 - 150
American Oil and Gas Reporter - October 2015 - 151
American Oil and Gas Reporter - October 2015 - 152
American Oil and Gas Reporter - October 2015 - 153
American Oil and Gas Reporter - October 2015 - 154
American Oil and Gas Reporter - October 2015 - 155
American Oil and Gas Reporter - October 2015 - 156
American Oil and Gas Reporter - October 2015 - 157
American Oil and Gas Reporter - October 2015 - 158
American Oil and Gas Reporter - October 2015 - 159
American Oil and Gas Reporter - October 2015 - 160
American Oil and Gas Reporter - October 2015 - 161
American Oil and Gas Reporter - October 2015 - 162
American Oil and Gas Reporter - October 2015 - 163
American Oil and Gas Reporter - October 2015 - 164
American Oil and Gas Reporter - October 2015 - 165
American Oil and Gas Reporter - October 2015 - 166
American Oil and Gas Reporter - October 2015 - 167
American Oil and Gas Reporter - October 2015 - 168
American Oil and Gas Reporter - October 2015 - 169
American Oil and Gas Reporter - October 2015 - 170
American Oil and Gas Reporter - October 2015 - Cover3
American Oil and Gas Reporter - October 2015 - Cover4
http://staging.nxtbook.com/nxtbooks/aogr/201702/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201701/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201612/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201611/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201610/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/pbios2016_programguide/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201609/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201608/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201607/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201606/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201605/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201604/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201603/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201602/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201601/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201512/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201511/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201510/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201509/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201508/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201507/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201506/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201505/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201504/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201503/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201502/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201501/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201412/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201411/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201410/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201409/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/pbios2014_programguide/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201408/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201407/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201406/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201405/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201404/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201403/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201402/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201401/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201312/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201311/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201310/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201309/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201308/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201307/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201306/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201305/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201304/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201303/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201302/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201301/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201212/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201211/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201210/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201209/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/2012_pbios/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201208/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201207/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201206/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201205/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201204/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201203/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201202/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201201/stage.php
http://staging.nxtbook.com/nxtbooks/demo/aogr_clone/stage.php
http://staging.nxtbook.com/nxtbooks/aogr/201112/stage.php
https://www.nxtbookmedia.com