The Obama administration is still playing it cool with environmentalists. First it skirted the protracted battle over the Keystone XL pipeline, which could carry dirty tar sands oil from Canada to the American Gulf Coast. Now it’s facing opposition to proposed fracking regulations on tens of millions of acres of government land.
The Obama administration on Friday unveiled its first major standards for oil companies that frack on federal lands, including beefed-up safety measures to protect groundwater, prompting industry complaints they will be a barrier to growth.
Bottom Line: US Interior Secretary Ken Salazar is talking about a proposal to regulate oil and gas fracking on public lands, and while we haven’t seen a draft of this proposal yet, word is that it will emerge in the very near future. Analysis: US media reports coming out of Washington say that Salazar has told a House subcommittee that draft regulations on fracking on public lands are in the works and should be announced in the near-term future.
By Don Dion:
ExxonMobil Discloses Fracking Risk
ExxonMobil Corp (XOM), the largest publicly-traded energy company in the world, has agreed to disclose environmental risks associated with hydraulic fracturing.
While clamping down on coal emissions with their new initiative to address climate change, it looks like the Obama administration is embracing natural gas extraction instead. That means fracking, the controversial recovery method that's driving America's natural gas boom, will continue.
WASHINGTON (Reuters) - The Obama administration unveiled long-awaited rules on Friday to bolster oversight of so-called "fracking" on public lands, seeking to allay concerns over the technology that has spurred a U.S. boom in shale gas drilling. The Interior Department proposal would require that companies obtain government approval to use hydraulic fracturing, or fracking, in drilling for natural gas on federal lands. The rules would not affect drilling on private land, where the bulk of shale exploration is taking place. ...
Halliburton Co. and Baker Hughes Inc., the oilfield-services companies that agreed to merge in November, reported higher earnings for the last quarter of 2014 as they prepare for a downturn in the industry.
Last year the Bureau of Land Management (BLM), part of the Department of the Interior, released a draft rule to govern hydraulic fracturing on public lands, but it was so heavily criticised by Republicans and drilling companies that Obama’s administration had to withdraw the proposal and return to the drawing board.Fracking is used for about 90% of all wells on public lands, so this set of regulations is due to affect a lot of companies.
A proposal to ban new hydraulic fracturing operations in the European Union was rejected by members of the European Parliament. Natural gas production among member states is set to decline as demand continues to grow, lawmakers said.