More fines in Marcellus: Cabot pays for alleged casing violations.
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Cabot pays more fines in Pennsylvania
US independent Cabot Oil and Gas has agreed to pay $120,000 in civil penalties to the Pennsylvania Department of Environmental Protection (DEP) for alleged violations in casing wells that led to drinking water contamination.
The DEP began looking into allegations of water contamination with methane after an explosion at a water well pit in Susquehanna County, Pennsylvania in the Marcellus Shale play.
The investigation found contamination in 13 wells and also found failed cementing and casing in Cabot wells that were allowing gas to vent into non-producing zones.
Ten of the wells were within 1000 feet or less of a Cabot well.
Cabot spokesman Ken Komoroski said the exact cause of the methane contamination is still under investigation and Cabot’s payment of the civil penalty is not an admission of guilt on the part of the company.
“It’s a settlement of department claims and allegations of violations,” he told UpstreamOnine in a phone interview.
“The department made the determination that casing and cementing was inadequate and rather than argue or debate that point Cabot will address every situation that was identified.”
For most of the year Cabot was the only operator in the area, Komoroski said.
In addition to the civil penalty, Cabot must submit drilling and casing plans to the DEP for evaluation prior to drilling.
Komoroski said the additional steps will not slow Cabot operations or increase costs.
It is the second set of fines Cabot has faced for its operations in Susquehanna County.
Last month, Cabot was fined $56,650 for spilling a combined 8000 gallons of hydraulic fracturing fluid at a location in the same area.