[Federal Register Volume 75, Number 48 (Friday, March 12, 2010)]
[Notices]
[Pages 11838-11840]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-5289]
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DEPARTMENT OF AGRICULTURE
Forest Service
Huron-Manistee National Forests, Michigan, USA and State South
Branch 1-8 Well
AGENCY: Forest Service, USDA.
ACTION: Corrected Notice of Intent to prepare an Environmental Impact
Statement for the USA and State South Branch 1-8 well. The original
notice was published on 2/24/10.
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SUMMARY: The Huron-Manistee National Forests (Forest Service) and the
Bureau of Land Management (BLM), as a Cooperating Agency, will prepare
an environmental impact statement (EIS) to assess the environmental
impacts of an industry proposal to drill one exploratory natural gas
well, the USA & State South Branch 1-8 (SB 1-8) well, on National
Forest System lands. The EIS will also assess the impacts of
constructing necessary infrastructure, including production facility
and flowline, should the well be capable of producing hydrocarbons in
commercial quantities. This analysis will allow the agencies to make
their respective decisions on this proposal in accordance with federal
regulations.
DATES: Comments concerning the scope of the analysis must be received
by April 26, 2010. The Draft EIS is expected in December 2010 and the
Final EIS is expected by July 2011.
ADDRESSES: Send written comments to Lauri Hogeboom, Interdisciplinary
Team Leader, Huron-Manistee National Forests, 1755 S. Mitchell Street,
Cadillac, MI 49601; fax: 231-775-5551. Send electronic comments to:
[email protected].
FOR FURTHER INFORMATION CONTACT: Ken Arbogast, Huron-Manistee National
Forests; telephone: 231-775-2421; fax: 231-775-5551. See address above
under Addresses. Copies of documents may be requested at the same
address. Another means of obtaining information is to visit the Forest
Web page at http://www.fs.fed.us/r9/hmnf then click on ``Projects and
Planning'', then ``Mio projects'', and then ``USA and State South
Branch 1-8.''
Individuals who use telecommunication devices for the deaf (TTY)
may call 1-231-775-3183.
SUPPLEMENTARY INFORMATION:
Purpose and Need for Action
The purpose for action is to respond to the proponent's, Savoy
Energy, L.P.'s (Savoy), proposal to exercise its rights under Federal
leases to drill for, extract, remove and dispose of all the oil and gas
from leased lands. The Huron-Manistee National Forests (Forest Service)
and the Bureau of Land Management (BLM) received an Application for
Permit to Drill (APD), including a Surface Use Plan of Operation
(SUPO), from Savoy.
A response to the application is needed because Savoy has lawful
oil and gas rights to three state and three federal leases in a 640-
acre drilling unit and the Forest Supervisor (FS) and the Milwaukee
Field Office Manager (BLM) are required by regulation to evaluate and
decide upon operating plans received from industry for exploration and
development of federal leases. The agencies must ensure Savoy's
operating plan is consistent with the terms and stipulations of the
federal mineral leases, applicable laws and regulations, the Huron-
Manistee's Land and Resource Management Plan, and identify any
additional conditions needed to protect federal resources.
The BLM ultimately renders a decision on the APD, and the Forest
Service must review and decide upon the SUPO before the BLM can make
its APD decision.
Proposed Action
The Forest Service proposes to authorize Savoy to conduct surface
operations associated with accessing, drilling, testing, and completing
the USA and State South Branch 1-8 well, as described in the SUPO and
APD submitted to the BLM. The Forest Service would approve the SUPO for
the USA and State South Branch 1-8 Well.
The BLM proposes to authorize Savoy to conduct operations to drill,
test and complete the proposed exploratory well on the subject leases
and approve the APD submitted for this well.
The Forest Service and BLM authorization would include reasonable
and necessary mitigation to ensure Savoy's operations would be in
compliance with law, regulation, and policy.
Savoy holds six subsurface mineral leases included in a 640-acre
drilling unit in South Branch Township (T25N, R1W), Crawford County,
Michigan, Section 7: E \1/2\, Section 8: W \1/2\. This 640-acre
drilling unit includes three state and three federal oil and gas
leases. Savoy is proposing to drill directionally from National Forest
System lands within the boundaries of the Huron-Manistee National
Forests to the bottomhole located in Federal mineral lease MIES 50521,
approximately 2,200 feet northwest of the surface hole, and construct
associated infrastructure including a production facility and
[[Page 11839]]
flowline if Savoy determines the well could produce a commercial
product.
Savoy's proposal includes: Leveling of the well pad (approximately
3.5 acres) for the drilling rig, equipment, and pit, including some
minor cut and fill. It also includes the use, reconstruction and
maintenance of portions of existing roads for year-round access,
including snow plowing along a section of River Lake Road (aka Hickey
Creek Road), a section of FSR 4209 (road which ends at the Mason
Chapel), and a section of FSR 4208 to access the well site;
construction and maintenance of 50 feet of new road off FSR 4208, 14
feet wide with three feet of clearing on each side (approximately 0.05
acre of disturbance) to access the well pad; and drilling a water well
at the well pad site to provide water for drilling and future well
maintenance, if needed. Following these activities drilling equipment
would be moved in and rigged up.
Drilling and well completion would be expected to take 45 days.
Drilling operations would be restricted to a time period between
December 1 and April 15. The well pad would be approximately 3.5 acres
in size. Standard and accepted drilling techniques and practices would
be used and must comply with minimum operating standards approved by
Michigan Department of Natural Resources and Environment (MDNRE) and
the BLM. These standards address the casing program, pressure control
equipment, H2S contingency plans, and proposed drilling fluids program.
Hazardous materials, including stimulation and completion fluids, would
be contained in steel tanks and disposed of by a licensed waste hauler.
Additional actions proposed, if the well is productive, include:
Construction of a production facility located in SE, Section 9, T25N,
R1W (approximately 1.5 miles from the well pad) on approximately 2.0
acres, including installation of a gas/water separator, condensate (if
needed) and brine tanks, dehydrator, compressor, volume bottle, and
measurement (monitoring) equipment; installation of flowlines from the
well site to the production facility site, buried alongside the
roadbed, and a pipeline to the Michigan Consolidated Gas transmission
line, totaling approximately 1.7 miles. Reclamation of a portion of the
well pad would occur following drilling and completion, leaving
approximately \1/3\ acre to be used for well operations.
If the well is not capable of commercial production, the operator
would plug and abandon the well under applicable State and BLM rules
and regulations. Reclamation of the site, according to the reclamation
plan included with the SUPO, would occur within six months of
completion of well plugging. This would include: Recontouring and
stabilizing all excavations, spreading of topsoil reserved during site
construction over the disturbed well pad area, and seeding with a
Forest Service approved mix. The flowline route would be restored and
the 50-foot length of new access road would be obliterated.
MDNRE's Water Quality Management Practices on Forest Land and the
BLM/Forest Service's Surface Operating Standards and Guidelines for Oil
and Gas Exploration and Development will be used to manage the roads.
Additionally, prior to reconstructing FSR 4209, approximately 150 feet
of silt fence would be placed per Forest Service direction adjacent to
the south side of the road for wetland protection.
The operator would maintain a dike around the condensate and brine
tanks at the production facility of sufficient size and height so as to
contain 150% of the total capacity of the tanks.
The width of the reconstructed roads would not exceed 14 feet. An
additional three feet of clearing would be done on each side of the
road. Clearing width would not exceed 20 feet.
Soil disturbed with the placement of the flowline/pipeline would be
seeded with a seed mix specified by the Forest Service.
Roads into the well pad and production facility would be gated and
locked.
Road design and construction would take into account visual
quality.
Minimization of noise is to be emphasized during drilling,
completion, and production operations. Hospital-type engine mufflers
would be used on drilling, completion, and workover rigs, and on mud
pumps and compressors. No pumps or motors would be placed on the
surface of the well or at the well site during the production phase. If
the production facility is processing gas from one well, the sound
level would not exceed 33 dBA at 1,320 feet. If more than one well is
produced from the proposed facility, the total sound level for the
production facility would not exceed 36 dBA at 1,320 feet. The
production facility would be constructed to meet these sound levels.
Off-road equipment would be inspected by a Forest Service
representative and washed if needed to prevent introduction of non-
native invasive plants that are not already present in the project
area.
Protection will be provided for Endangered, Threatened and
Sensitive Species in accordance with law, regulation and policy.
The Forest Service, the BLM, and MDNRE will coordinate inspections
to ensure compliance with requirements.
Possible Alternatives to the Proposed Action
No Action Alternative: The Forest Service would not approve the
SUPO and/or the BLM would not approve the APD. Current direction would
continue to guide management of the project area. The SB 1-8 well would
not be drilled, no flowlines would be installed, and no production
facility would be constructed.
Modification of Savoy's Proposal Alternative: The Forest Service
would approve the SUPO and the BLM would approve the APD subject to
additional conditions of approval based on mitigation developed in
response to issues raised during the public scoping period.
Lead and Cooperating Agencies
The BLM and the Forest Service entered into a Memorandum of
Understanding (MOU) in April 2006 ``to establish procedures for the
coordinated administration of oil and gas operations on Federal leases
within the National Forest System (NFS).'' The MOU identifies the
responsibilities of the agencies to provide efficient, effective
adherence to rules and regulations for each. Specifically, the MOU
states,
``IIIA3. * * * the Forest Service has the full responsibility
and authority to approve and regulate all surface-disturbing
activities associated with oil and gas exploration and development
through analysis and approval of the SUPO component of an APD.''
``VB1. * * * Forest Service will: Serve as lead agency for oil and
gas * * * environmental analyses required for APDs * * *.'' ``IIIA2.
The BLM has the authority and responsibility to provide final
approval of all APDs, including those for operations on Federal
leases on NFS lands * * *. The BLM has the authority and
responsibility to regulate all down-hole operations and directly
related surface activities and use, and provide approval of the
drilling plan and final approval of the APD on NFS lands.''
This MOU is consistent with the NEPA regulations, 40 CFR 1501.5
Lead Agency and 1501.6 Cooperating Agencies, identifying the Forest
Service as the lead agency and the BLM as the cooperating agency.
Responsible Official for Lead Agency
Barry Paulson, Forest Supervisor, Huron-Manistee National Forests,
1755 S. Mitchell Street, Cadillac, MI 49601.
[[Page 11840]]
Responsible Official for Cooperating Agency
Mark Storzer, Field Manager, Bureau of Land Management, Milwaukee
Field Office, 626 E. Wisconsin Ave. Suite 200, Milwaukee, WI 53202-
4617.
Nature of Decision To Be Made
The Forest Supervisor of the Huron-Manistee National Forests will
issue a decision on whether to approve, approve subject to specified
conditions, or disapprove for stated reasons the proposed SUPO for
development of the SB 1-8 well and construction and operation of the
flowline/pipeline and production facilities. Similarly, the BLM Field
Manager in Milwaukee will issue a decision on whether to approve the
APD as submitted, approve subject to appropriate modifications or
conditions, or disapprove for stated reasons.
Preliminary Issues
We expect issues to include possible effects of noise, odor and
changes to the visual quality from the project for anglers and visitors
to the Semi-Primitive Nonmotorized Area and Mason Tract, as well as the
possible effects of the project on tourism in the county.
Permits and Licenses Required
Savoy will be required to obtain a State permit for drilling from
the MDNRE.
Scoping Process
This Notice of Intent initiates the scoping process, which guides
the development of the Environmental Impact Statement. The Forest
Service plans to scope for information by contacting persons and
organizations interested or potentially affected by the proposed action
through mailings, public announcements, and personal contacts.
It is important that reviewers provide their comments at such times
and in such manner that they are useful to the agency's preparation of
the EIS. Therefore, comments should be provided prior to the close of
the comment period and should clearly articulate the reviewer's
concerns and contentions. The submission of timely and specific
comments can affect a reviewer's ability to participate in subsequent
administrative appeal or judicial review.
We are especially interested in information that might identify a
specific undesired result of implementing the proposed action. Comments
will be used to help formulate alternatives to the proposed action.
Please make your written comments as specific as possible, as they
relate to the proposed action, and include your name, address, and if
possible, telephone number and e-mail address.
Comments received in response to this solicitation, including names
and addresses of those who comment, will be considered part of the
public record on this proposed action and will be available for public
inspection. Comments submitted anonymously will be accepted and
considered; however, those who submit anonymous comments will not have
standing to appeal the subsequent decisions under 36 CFR Part 215.
Additionally, pursuant to 7 CFR 1.27(d), any persons may request the
agency to withhold a submission from the public record by showing how
the Freedom of Information Act (FOIA) permits such confidentiality.
Persons requesting such confidentiality should be aware that, under
FOIA, confidentiality may be granted in only very limited
circumstances, such as to protect trade secrets. The Forest Service
will inform the requester of the agency's decision regarding the
request for confidentiality and, should the request be denied, return
the submission and notify the requester that the comments may be
resubmitted with or without name and address within 90 days.
Dated: March 5, 2010.
Barry Paulson,
Forest Supervisor.
[FR Doc. 2010-5289 Filed 3-11-10; 8:45 am]
BILLING CODE 3410-11-M