MARYLAND’S APPROACH TO POTENTIAL NATURAL GAS DEVELOPMENT AND HIGH-VOLUME HYDRAULIC FRACTURING OF THE MARCELLUS SHALE

Maryland (MD), with less than 2% of the total Marcellus play, has yet to experience high-volume hydraulic fracturing (HVHF). A vigorous debate about potential future HVHF is taking place, particularly in the two westernmost MD counties that contain Marcellus Shale. Governor O’Malley charged the state to develop a “gold standard” of regulation and monitoring that would inform whether HVHF can proceed without undue risk, and through an executive order (EO) in 2011 he established an advisory commission (AdCom).

Western MD is part of the Appalachian Plateau, with historical conventional gas production from the Oriskany Sandstone. While the Oriskany is nearly played out, one historical reservoir serves as a gas storage field with a 17 Bcf capacity (about 0.5% of the total US storage capacity; USEIA, 2008).

MD’s AdCom is charged with assisting policy makers and regulators in determining whether gas production from the Marcellus Shale (and, presumably, the Utica Shale) might be carried out without unacceptably impacting the environment, natural resources, safety and public health. The AdCom serves as a consultative body to the Department of Natural Resources (DNR) and the Department of the Environment (MDE) as those Departments prepare the recommendations called for in the Governor’s EO. The AdCom addresses potential legislation and has supported bills to provide financial assurances if gas development proceeds, and to require the registration of landmen. The AdCom is weighing whether MD should require comprehensive gas development planning as an alternative to siting well pads and associated infrastructure one at a time. Special studies on best practices for shale gas development, economic impacts, and public health consequences have been initiated to support the AdCom’s work.

Because no HVHF has yet been allowed, MD has the opportunity to establish baseline environmental datasets. In many other states a lack of baseline data has hampered scientific efforts to assess the short-term effects of HVHF. DNR and MDE are collecting data on groundwater (particularly methane concentration and isotopic ratio), stream health, surface water and air quality in western MD. Several new monitoring wells are being emplaced with a goal of better understanding the fractured rock ground water hydrogeology in western MD.