ADDENDUM TO ENVIRONMENTAL REVIEW DOCUMENTS CONCERNING EXPORTS OF NATURAL GAS FROM THE UNITED STATES   AUGUST 2014 U.S. DEPARTMENT OF ENERGY This page intentionally left blank. ADDENDUM TO ENVIRONMENTAL REVIEW DOCUMENTS CONCERNING EXPORTS OF NATURAL GAS FROM THE UNITED STATES August 2014 This page intentionally left blank. Table of Contents List of Tables ............................................................................................................................................... I List of Figures ............................................................................................................................................. II List of Acronyms and Abbreviations ...................................................................................................... IV Introduction ................................................................................................................................................. 1 Purpose 3 Public Comments 3 Unconventional Natural Gas Production Activities in the United States 4 Water Resources ....................................................................................................................................... 10 Water Quantity 10 Water Quality 13 Construction 13 Drilling 13 Hydraulic Fracturing Fluids 14 Flowback and Produced Waters 18 Conclusions 19 Air Quality ................................................................................................................................................. 20 Regulations 20 Emission Components and Sources 22 Conclusions 32 Greenhouse Gas Emissions from Upstream Natural Gas Industry ..................................................... 33 GHGs Associated with Upstream Natural Gas Industry 35 Sources of Emissions 36 Phases of Industry Activity and GHG Sources 37 Estimates of GHG Emissions 40 Projections of Future GHG Emissions 42 Regulatory Issues 43 Conclusions 44 Induced Seismicity Associated with Unconventional Gas and Oil Activities ...................................... 45 Seismicity 46 Causes of Induced Seismicity Associated with Oil and Gas Industry Activities 49 Industry Practices and Regulations 52 Opportunity for Harm 54 Assessment of Environmental Impacts 55 Land Use Impacts ..................................................................................................................................... 56 Description of Disturbances 57 Traffic and Roadway Impacts 66 References .................................................................................................................................................. 69 Appendix A: Calculations from Greenhouse Gas Section ..................................................................... 78 Appendix B: Public Comments ................................................................................................................ 79 Air Quality 81 Greenhouse Gases 85 Induced Seismicity 93 Land Use 98 Water Resources 106 General, Document, or Procedural Comments 117 Out of Scope 132 Acronyms Used in Summary Tables ..................................................................................................... 151 List of Tables Table 1: U.S. Natural Gas Production by Source (Trillion scf) .................................................................... 6 Table 2: Water Intensity .............................................................................................................................. 11 Table 3: Water Usage in Shale Gas Regions .............................................................................................. 12 Table 4: Representative List of Fracking Fluids ......................................................................................... 14 Table 5: U.S. Oil- and Gas-Producing State-by-State Comparison of Hydraulic Fracturing Chemical Disclosure Regulations ......................................................................................................................... 16 Table 6: Source Categories of Airborne Emissions from Upstream Natural Gas Activities ...................... 23 Table 7: GHG Emissions from Upstream U.S. Natural Gas Systems in Year 2012 ................................... 33 Table 8: GHG Emissions Expressed as Percent of Natural Gas Production in Year 2012 ......................... 34 Table 9: U.S. Emissions of GHGs from Upstream Natural Gas Systems in 2012 (TgCO -e or MMt CO e) ...................................................................................................................... 40 2 2 Table 10: Comparison of Leakage Rates from Upstream U.S. Natural Gas Industry ................................ 41 Table 11: Modified Mercalli Intensity vs. Richter Scale ............................................................................ 46 Table 12: Comparison of Induced Seismicity Associated with Energy Resource Activities in the U.S. ... 48 Table 13: Attributes of Major Shale Gas Plays in the United States .......................................................... 54 Table 14: Comparison of Land Use for Different Fuel and Power Plant Types ......................................... 56 Table 15: Truck Traffic Expected Throughout Typical Unconventional Marcellus Shale Gas Well Development ........................................................................................................................................ 66 I List of Figures Figure 1: Natural Gas Production by Source (1990-2040) in Trillion Cubic Feet ........................................ 5 Figure 2: Approximate Locations of Current Producing Gas Shales and Prospective Shales ...................... 6 Figure 3: Location of Currently Active Areas for Tight Sand Development and Production ...................... 7 Figure 4: Location of Currently Active Areas for Coalbed Development and Production ........................... 8 Figure 5: General Timeline Associated with Phases of Shale Gas Development ......................................... 9 Figure 6: Flaring a Well in Pennsylvania .................................................................................................... 21 Figure 7: Examples of Air Emissions Sources Related to Oil and Gas Activities ...................................... 24 Figure 8: National Map Showing Ozone Nonattainment Areas Superimposed on Major Shale Gas Basins ................................................................................................................................................... 29 Figure 9: Dallas-Fort Worth Ozone Nonattainment Area (red outline) Superimposed on Map of Area Oil and Gas Wells from the Barnett Shale Play ................................................................................... 30 Figure 10: Relative Impact of Various Greenhouse Gases ......................................................................... 35 Figure 11: Detailed GHG Results for Marcellus Shale Natural Gas Extraction, Processing, and Transport .............................................................................................................................................. 39 Figure 12: Upstream GHG Emissions from Shale Gas by Life Cycle Stage .............................................. 42 Figure 13: Lower 48 States’ Shale Plays .................................................................................................... 45 Figure 14: Seismic Risks from Natural Earthquakes, as Estimated for the United States .......................... 47 Figure 15: Geographic Locations of Earthquakes Believed to Result from Gas and Oil Industry Practices................................................................................................................................................ 49 Figure 16: Cumulative Count of Earthquakes with Magnitude >= 3.0 in Central and Eastern United States, 1970-2013 ..................................................................................................................... 50 Figure 17: Lower 48 States’ Conventional Gas Plays ................................................................................ 53 Figure 18: Example of Well Pad Development in a Wooded Location ...................................................... 57 Figure 19: Example Well Pad in Pennsylvania ........................................................................................... 58 Figure 20: Example of Eastern U.S. Natural Gas Pipeline Construction .................................................... 60 Figure 21: Typical Pipeline Right-of-Way Cross-Section .......................................................................... 60 Figure 22: Examples of Natural Gas Compressor Stations ......................................................................... 60 Figure 23: Typical Construction Staging and Equipment Areas ................................................................ 61 Figure 24: Pipe Storage Facility in Pennsylvania ....................................................................................... 62 Figure 25: The Effect of Landscape Disturbance on Non-Forest Habitat (Wyoming, USA) ..................... 63 Figure 26: Aerial Picture of Gas Development Near Odessa, Texas .......................................................... 63 Figure 27: Example of Eastern Shale Gas Viewshed Alteration ................................................................ 65 Figure 28: NPR – Satellite Imagery of Bakken Shale/Oil Play Area (January 2013) ................................ 65 II This page intentionally left blank. III List of Acronyms and Abbreviations Acronym/Abbreviation Definition API American Petroleum Institute BACT Best Available Control Technology BLM Bureau of Land Management BTEX Benzene, Toluene, Ethylbenzene, and Xylenes Btu British thermal units C2ES Center for Climate and Energy Solutions CBM Coalbed Methane CCS Carbon Capture and Storage CEQ Council on Environmental Quality CH Methane 4 CO Carbon Monoxide CO Carbon Dioxide 2 CO e Carbon Dioxide-Equivalent 2 CWA Clean Water Act DCNR Department of Conservation and Natural Resources DEQ Department of Environmental Quality DOE U.S. Department of Energy EGR Enhanced Gas Recovery EIA U.S. Energy Information Administration EIS Environmental Impact Statement EOR Enhanced Oil Recovery EPA U.S. Environmental Protection Agency FE Office of Fossil Energy FERC Federal Energy Regulatory Commission FTA Free Trade Agreement GHG Greenhouse Gas GWP Global Warming Potential GWPC Ground Water Protection Council H S Hydrogen Sulfide 2 HAPs Hazardous Air Pollutants HNO Nitrous Acid 2 HNO Nitric Acid 3 IPCC Intergovernmental Panel on Climate Change LAER Lowest Achievable Emissions Rate LNG Liquefied Natural Gas M Moment Magnitude Scale MMI Modified Mercalli Intensity MMt Million Metric Tons N Nitrogen Gas 2 N O Nitrous Oxide 2 NAAQS National Ambient Air Quality Standards NEPA National Environmental Policy Act IV