Michael A. Skiffington
Policy and Planning Manager
Virginia Department of Mines, Minerals and Energy
League of Women Voters
Richmond, VA – October 27, 2016
DA = Administration
DE = Energy
DGMR = Geology
DGO = Gas & Oil
DM = Mine Safety
DMM=Mineral Mining
DMLR= Mined Land
Reclamation
We enhance the development and
conservation of energy and mineral
resources in a safe and
environmentally sound manner to
support a more productive
economy.

Goal 1:
◦ Provide for safe and environmentally sound mineral
and energy resource production.

Goal 2:
◦ Encourage economic development through our
customers’ wise management of Virginia’s
resources.

Goal 3:
◦ Enable DMME personnel to perform at their full
potential.
Annual Gas Production Trend
(Bcf)
160.0
150.7
140.0
112.1
120.0
100.0
80.0
54.5
60.0
40.0
20.0
0.0
14.9
71.5
85.8
127.6
Producing Wells
9,000
7,781
8,000
7,000
6,426
6,000
5,023
5,000
4,000
2,906
3,000
2,000
1,000
0
886
1,656
8,113
140
120
Conventional
100
CBM
80
60
40
61
91
6
6
39
20
0
82
106 111 115
1
1
3
4
1
5
12
6
6
7
6
6
5


Involves the use of pressurized liquids or
gases such as nitrogen to stimulate or
fracture rock formations to release the
natural gas or oil.
The composition and volume of fluids used
depend on many geological factors.



Sand is often pumped in with the fluids to
help prop the fractures open.
Fracturing, along with horizontal drilling, has
made previously inaccessible natural gas and
petroleum resources producible in economic
quantities.
The application of these technologies has
greatly expanded U.S. oil and natural gas
production over the past ten years.



Technique has been utilized in the
Commonwealth since the 1960s.
Over 8,000 wells have been fracked in
Southwest Virginia.
There have been no documented instances of
surface or groundwater degradation from
fracking in Virginia.



Hydraulically fracked wells in Virginia typically
require 0-300,000 gallons of water.
Increasingly, operators are utilizing nitrogenbased foam to frack wells.
By contrast, fracked wells in the Marcellus
shale can use 4-5 million gallons of water.


A comprehensive re-write of the regulations
began in 2007 and was completed in 2013.
In the fall of 2013, DMME initiated a new
regulatory action to review its requirements for
drilling.
◦ Chemical disclosure requirements
◦ Review of selected industry best practices
◦ Review to determine if additional requirements are
necessary for different regions of the Commonwealth



The Notice of Intended Regulatory Action was
published on January 13, 2014.
DMME received over 200 comments during
the 30 day public comment period.
These comments supported disclosure of
ingredients used in fracturing process.


DMME formed a Regulatory Advisory Panel
(RAP) to offer recommendations in selected
areas.
Wide variety of stakeholders involved.
◦
◦
◦
◦
◦
DEQ
DGIF
Local government
Environmental community
Gas Industry


Six meetings were held between June 2014
and January 2015
Public meetings across the Commonwealth
◦ Three in Richmond
◦ Two in Southwest Virginia (Abingdon, Lebanon)
◦ One in King George County (Dahlgren)

The RAP offered 14 recommendations
addressing the following areas:
◦ Chemical disclosure
◦ Groundwater protection
◦ Well integrity
◦ Drilling in different regions of the Commonwealth


All 14 recommendations have been
incorporated.
Additionally, the proposed regulations
codified an existing Memorandum of
Agreement between DMME and DEQ related
to potential future activity in Tidewater.



Draft proposed regulations were submitted
for executive branch review in April 2015.
Proposed regulations were published in
October 2015.
60 day comment period opened.

DMME held three hearings to accept public
comment.
◦ Richmond
◦ Lebanon
◦ Dahlgren

DMME received over 1,000 comments during
the comment period.

Final regulations are currently under
executive branch review.
◦ Department of Planning and Budget
◦ Secretary of Commerce and Trade
◦ Governor’s Office


Once approved by the Governor’s Office, the
final regulation will be published in the
Register.
Becomes effective after a 30 day final
adoption period.
ON FACEBOOK
WWW.FACEBOOK.COM/VADMME
ON TWITTER
WWW.TWITTER.COM/DMMEVA
Michael A. Skiffington
DMME Policy and Planning Manager
804.692.3212
[email protected]
http://dmme.virginia.gov
http://dmme.virginia.gov/DGO/RegulatoryActi
on.shtml