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July 19, 2005

Twin natural gas wells proposed in Otsego, Montmorency

Pilot program could expand to other areas

By
Record-Eagle staff writer

      GAYLORD - Oil and gas industry leaders want to install a second well at Antrim Shale natural gas units in two northern Michigan counties and the proposed pilot program could be expanded to other areas, state officials said.
      The Michigan Oil and Gas Association filed a petition to allow a twin well within the required 80-acre spacing in Otsego and Montmorency counties, contending it would create a shorter production period and reduce environmental exposure and surface use.
      About 100 people attended a meeting last week with the state Department of Environmental Quality, many angry about what they described as greedy efforts to double the number of natural gas wells in the Antrim Shale.
      Environmental consultant Kevin Sagasser said the proposal would allow faster depletion of the resource. He said old pipelines and compression equipment were not built to handle that increased production, which could lead to more spills or leaks.
      Most of the 7,800 gas wells in northern Michigan were drilled years ago to collect minerals in the bottom layers of the Antrim formation. The proposed twin wells would collect gas from the formation's top layers and would be considered by the DEQ on a case-by-case basis.
      Ray Barnhart, a MOGA board member, said if the petition was not granted, oil and gas companies would build new well sites and infrastructure instead, resulting in more production areas. The only other option is to wait until lower levels are depleted before collecting from upper levels at the same well head.
      Members of the Upper Manistee River and Upper Au Sable River Preservation associations oppose the proposal. They cite lax DEQ monitoring, existing pollution and tardy cleanups. Others brought up health concerns tied to chemical gas releases.
      Jaime Long said after 22 years of living in Lewiston, in the heart of the natural gas zone that stretches across the state, she and her husband moved to Wolverine to escape that industry. Doctors diagnosed medical conditions for her that could be tied to hydrogen sulfide releases from existing wells, she said, including blindness, dizziness, chest pains and infections.
      Others at the meeting included mineral royalty or surface property owners and employees of the oil and gas industry.
      The official public hearing on twin wells will be scheduled within four to six weeks, said Harold R. Fitch, director of the DEQ Office of Geological Survey.
     
See Related Story:
      Oil & gas agency seeks to lift restrictions on 'twin wells' - June 28, 2005

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