Planned Encana USA developments in Wyoming
July 17, 2012
Editor's Note: Below is information Encana USA released on July 17th about their plans for natural gas developments in Wyoming.
Encana USA release, Tuesday, July 17, 2012
Encana USA has submitted plans to the federal government for two significant natural gas developments in Wyoming – the Normally Pressured Lance (NPL) field adjacent to the Jonah field in southwest Wyoming and the Moneta Divide field in Fremont and Natrona counties. These plans are undergoing federal reviews that include the drafting of Environmental Impact Statements by the Bureau of Land Management (BLM). Timely approvals of Encana USA's plans of development by the BLM are important to Wyoming's economy.
Federal approval of the plan to drill a maximum of 3,500 wells over 10 years in the proposed NPL field is expected to allow for efficient operational planning as drilling in Jonah winds down. While the Jonah Field will produce natural gas for decades, drilling of new wells in Jonah is expected to be complete in the next three to five years.
In April of 2012, Encana USA entered into an Earning and Development Agreement with Exaro Energy III LLC, which provides funding to continue planned development drilling in the play. This investment is expected to provide stability for Encana USA's drilling program in Jonah and the jobs it provides for Wyoming people and communities.
The Moneta Divide project area will expand existing Encana USA operations situated in Fremont and Natrona counties. About three-quarters of the leased acreage are on BLM or state-owned lands. Wyoming's economy will benefit by keeping drilling rigs and jobs active in Wyoming instead of ending up in other plays out-of-state.
Energy development is a competitive marketplace. Drilling rigs, if they’re not at work in Wyoming, will end up in other plays out of state. Responsible energy production provides steady jobs and important tax revenues for the people of Wyoming. Timely approval of Encana USA's plans in the Moneta Divide and NPL projects will ensure those benefits are available to Wyoming communities for years to come.
Discussions with neighbors
Encana USA is working to engage community members through a series of discussions about the pending NPL natural gas development.
At an Air Quality Discussion in January, and a Water Quality Discussion in April, representatives from Encana spoke with community members at open public meetings about the thoughts and concerns of the community about the impacts of energy development.
At the January discussion on air quality, Mike Cugnetti, Encana USA's EHS Lead Air Compliance representative, spoke of ways the company is working to enforce its own ozone compliance plan. Steps taken by Encana include converting rigs to run on natural gas, locally controlling emissions and consolidating facilities to central delivery points.
At the April discussion on water quality, Encana USA representatives spoke about the importance of open lines of communication with the community. Steps Encana USA is taking to protect water quality were also discussed, including efforts brought about by the work of the Operator Committed Practices (OCP) Committee; a group of 16 area residents empowered to make recommendations to the company regarding the NPL development. These steps include commitments to work closely with permittees to locate new water wells and to continue annual groundwater monitoring in the NPL.
A full listing of the 151 recommendations made by the OCP Committee can be found here:
Encana in Wyoming
Natural gas production in Wyoming by Encana Oil and Gas (USA) Inc. creates stable jobs and important tax revenues. In 2011, the Wyoming tax revenue generated by Encana USA was $241.3 million, and operations in Wyoming generated an additional $72.7 million in federal tax revenue. More than 900 people work on behalf of Encana USA in Wyoming. Beyond its positive economic impact on Wyoming communities, Encana USA works hard to be a good neighbor. Encana USA's Community Investment Program contributed $1.127 million in 148 grants in Wyoming in 2011. These grants strengthen Wyoming communities and non-profit programs in six key areas - environment, education, family and community wellness, sport and recreation and community enhancement.
Contact: Encana Oil and Gas (USA), Inc., 83 Luman Road, PO Box 2060, Pinedale, WY 82941