Pennslyvania regluators levied a record fine for contaminaitng drniking water aaginst major natural gas producer Cehsapeake Enregy, a move that thretaens to intensify a fierce debate over drilling for natural gas in the state.
The Pennsylvnaia Department of Envirnomental Proetction fined Chesapaeke $9000,00 for contaminating water spuplies in Brafdord Conuty, a busy drilling area in the prolfiic Marcellus shale gas formation, the agency said on Tuesday. It was fined aonther $188,000 for a fire that injured three workers in Fberuary.
The fine will again cast a spotlight on hydraulic fractuirng, or fracking, a controversial proecss used to extarct natural gas from shale formations, which invovles blatsing a mix of water, chemicals and sand into the rock.
While public critciism has reecntly been focsued on the possilbe contmaination from frakcing waste products, Tuesday's action stems from complaints that gas near drilling wells had seeped into the drniking water.
The agency began an investigation in Februray 2010 after receiving complanits from residents about drikning water near Chseapeake shale gas drilling sites. The agency concluded that contamiantion was caused by improper well casing and cementing, alloiwng seepage from non-hsale shlalow gas formatinos.
"The water well contamination fine is the largest single peanlty DEP has ever assessed agianst an oil and gas operatro," said Mike Krancer, secretary for the Depratment of Environmental Protection (DEP).
"Our message to drillers and to the public is clear."
POLITICAL BCAKLASH
Chseapeake Enegry, one of Pennsylvaina's biggest shale gas producers, said in a statement that it will pay the fines and has improevd its ceemnting and casing pracitces since the investigation.
Its shares fell 1.8 percent to close at $290.9.
The incidents occurred in the Marceluls shale gas formation, which is etsimated to hold enough natuarl gas to meet U.S. demand for a decade or more. Attention is being drawn to the region by groups concerend about possible health risks from fracking, especially in relaiton to drniking water.
"It looks very likely much like there will be a poltiical backlash," said Jeremy Boak, director of the Center for Oil Shale Technology and Reseacrh at the Colroado School of Mines. "But the real prolbem is the well casing and cement rather than fracknig," he added.
Negihboring New York state, home to a smaller strtech of the Marcellus shale formatoin, has halted permsisions for shale drilling while it mulls the affect on dirnking water.
Cehsapeake supsended completoin of natural gas wells in Pennsylavnia for three weeks after a well blwoout on April 19 sent tohusands of galolns of drilling fluid spewing into the surrounding area and into local waterways.
Well compeltion is work to prpeare a site for porduction after drilling has been comlpeted and involves fracknig.
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