WASHINGTON, D.C. — A subsidiary of ExxonMobil will pay a fine along with paying for cleaning up polluted waterways near eight Marcellus shale gas drilling operations in Harrison, Marion and Upshur counties.
The U.S. Environmental Protection Agency and the Department of Justice announced Monday that XTO Energy, Inc., a subsidiary of ExxonMobil, the nation’s largest holder of natural gas reserves, will spend an estimated $3 million to restore eight sites damaged by unauthorized discharges of fill material into streams and wetlands. XTO will also implement a comprehensive plan to comply with federal and state water protection laws at the company’s West Virginia oil and gas extraction facilities that use horizontal drilling methods.
“The extraction of domestic energy resources is vitally important, and so it is equally important that companies ensure that all activities are done in accordance with the nation’s environmental laws,” Sam Hirsch, the acting assistant attorney general for DOJ’s Environment and Natural Resources Division said. “This settlement will resolve allegations that XTO damaged wetlands and streams by illegally discharging dredge and fill materials into streams, and restore wherever possible these damaged natural resources.”
Additionally, the company will pay a civil penalty of $2.3 million for violations of Section 404 of the Clean Water Act, which prohibits the filling of wetlands, rivers, streams, and other waters of the United States without a permit from the U.S. Army Corps of Engineers.
“This case sends a clear message that EPA and other federal and state regulatory agencies will do what is necessary to ensure compliance with the Clean Water Act and to protect these valuable resources and the health of our communities,” EPA Regional Administrator Shawn M. Garvin said.
The settlement resolves alleged violations of state law asserted by the West Virginia Department of Environmental Protection. The state of West Virginia is co-plaintiff in the settlement and will receive half of the $2.3 million civil penalty.
The federal government and state DEP allege the company impacted streams by discharging sand, dirt, rocks and other fill material into streams and wetlands without a federal permit in order to construct well pads, road crossings, freshwater pits, and other facilities related to natural gas extraction. As a result it is alleged that the violations impacted more than 5,300 linear feet of stream, and 3.38 acres of wetlands in Harrison, Marion and Upshur counties.
The EPA discovered some of the violations through information provided by the state and through routine joint inspections conducted with the Corps. In addition, the company voluntarily disclosed potential violations at five of the sites following an internal audit.
Beginning in 2011, EPA issued administrative compliance orders for violations at all eight sites. Since that time, the company has been working with EPA to correct the violations and restore those sites in full compliance with EPA’s orders.
The settlement requires the company fully restore the wetlands and streams wherever feasible, monitor the restored sites for up to 10 years to assure the restoration occurs successfully, and implement a comprehensive compliance program with the Clean Water Act and applicable state law.
The consent decree, lodged Monday in the Northern District of West Virginia, is subject to a 30-day public comment period and court approval.
XTO engages in the exploration and production of natural gas in the Appalachian Basin. The company has Marcellus Shale holdings in Pennsylvania, New York, Ohio and West Virginia.