Texas weighs earthquake restrictions on 72 more oil-related well permits | WSAU News / Talk 550 AM 99.9 FM

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by Liz Hampton

(Reuters) – A new area under surveillance by the Texas Petroleum Regulatory Authority may affect wells responsible for removing about 270,000 barrels per day of brine from oil and gas operations, according to data and analytics firm B3 Insight.

This month, regulators classified a patch of the Permian Basin as a “Seismic Response Area” (SRA) after a 4.2-magnitude earthquake struck 11 miles north of Stanton, Texas. Regulators previously designated two other types of special protected areas in the wake of increased tremors in the largest oil-producing region in the United States.

In December, regulators suspended permits for 33 disposal wells in four oil-producing counties around Midland, Texas.

The embargo has prompted oil producers in West Texas to look for ways to reduce wastewater injections that could raise costs. Solutions include recycling wastewater or pipes and trucking it to another location.

The newly designated area, called the Stanton SRA, affects 72 disposal wells, 35 of which are active and handle approximately 273,000 barrels per day of water, according to an analysis from B3. About 74% of these wells are used for deep disposal, which represents about 197,000 barrels per day of brine for disposal.

The Texas Railroad Commission (RRC), which regulates the state’s oil and gas industry, said it will work with operators to develop a seismic risk reduction plan in that area, with the goal of eliminating earthquakes of magnitude 3.5 or higher after 18 months. The initiative.

This approach mimics an approach used in North Culberson-Reeves SRA, near New Mexico. The operators there have until February 22 to develop an earthquake mitigation plan or the regional rehabilitation center will implement its own measures.

(Reporting by Liz Hampton in Denver; Editing by David Gregorio)

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