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SHUTDOWN DAN A. HUGHES, Karen Dwyer, Ph.D., April 22, 2014
The breaking news about Dan A. Hughes illegally fracking the Collier - Hogan
well next to the Corkscrew Swamp Sanctuary cannot be ignored.
We now have documented evidence of the company's criminal wrongdoing.
They will do whatever it takes to extract oil—even break the law and
recklessly endanger our water, land, and air. They're goal is not to make
extraction SAFE, but to make it as inexpensive, expeditious, and profitable as
possible—even if it means using extreme extraction, in direct violation of
orders from the state.
To say we are outraged is an understatement. We find it almost beyond belief
that a Texas oil company can disregard rules and laws and engage in illegal and
untested extreme extraction in our vital watershed, either hoping they won't
get caught, on the one hand, or willing to pay the nominal fee, on the other
hand. This latest travesty, is exactly why it is so important to stop this new
type of Everglades dirty drilling in our watershed so near homes and city
water supplies. No amount of regulation can make it safe because the DEP
lacks the regulatory power to compel compliance—they're understaffed and.
overworked and crippled by legislation written by and for the oil industry. The
fines are so nominal industry is willing to break the law and add the fines.into
the total cost of drilling.
We urge the Commissioners to join us and 1) call on the DEP to permanently
shutdown Dan. A. Hughes for violating regulatory orders and recklessly
endangering our water supplies and wetlands. 2) Call on Governor Scott to
shut down all oil drilling operations, permitted and pending, by the Dan A.
Hughes Company. 3) Call on the EPA to deny the pending injection well permit
since Dan A. Hughes cannot be trusted to implement "industry best
practices"—as the company's criminal wrongdoing proves. 4) Call on Collier
Resources to distance themselves from Dan A. Hughes and their criminal
•
misconduct by breaking the land leases and stepping back from drilling. And .`
finally we urge the Commissioners to move forward with a ban on all extreme
extraction in Collier County. Now is the time.
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BCC meeting April 21, 2014
Commissioners, for the record my name is Jaime Duran-Pinzon and live at 4880 24th Ave SE,
Naples, FL 34117.
As you are probably aware, the Dan A Hughes Co. was fined and agreed to sign a consent
order with the FDEP for violating the terms of the permit on the Oil Well Collier Hogan 20-3H.
This company, together with the Collier Companies that own the mineral rights, have shown a
complete disregard for the laws of the State and the County and in my opinion cannot be trusted
to operate in good faith.
For the past year we have addressed this Board as well as the FDEP, The EPA, and others to
be ignored and labeled as hysterical as well as threatened, intimidated and bullied by the
Colliers.
Our faith in the willingness of our government officials to provide a safe and clean environment
has been severely eroded, what will you do now to begin restoring that faith?
For the record I would like to take this opportunity to officially propose that the name of Collier
County be changed. It is time to stop honoring the name of the family the pillaged the old
growth Cypress and is now squeezing the land, for the last drop of oil, before paving over it.
Thank you for listening.
Jaime Duran-Pinzon
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e//9
STATE OF FLORIDA
DEPARTMENT OF ENVIRONMENTAL PROTECTION
PERMITTEE: PERMIT No: 1349H PA No: 315034-001
Dan A. Hughes Company,L.P. WELL: 20-3H Collier-Hogan
208 E. Houston SECURITY: Single Bond No.RLB0014778
Beeville,TX 78102 PROJECT:Collier County Wildcat Well
FINAL ORDER
OIL&GAS WELL DRILLING PERMIT
FINDINGS OF FACT: Dan A. Hughes Company, L.P., filed a complete application on
November 8, 2012, with the Florida Department of Environmental Protection (the
Department) to drill the 20-3H Collier-Hogan well in Collier County, Florida. The
proposed exploratory well will be drilled within a non-routine drilling unit in accordance
with Rule 62C-26.004(6) Florida Administrative Code (F.A.C.). All of the mineral
ownership of the 428-acre drilling unit has been leased by the applicant The permittee
has provided all documentation required under Chapters 62C-25 through 62C-30, F.A.C.
The application was reviewed and deemed consistent with requirements of Sections
377.241, 377.242, and 377.243, Florida Statutes (F.S.), and implementing Chapters 62C-25
through 62C-30,F.A.C.
This permit authorizes the Dan A.Hughes Company,L.P., to drill a horizontal completion
targeting the Lower Sunniland Formation. The surface hole location (SHL) is 2116 feet
from the south line and 3,315 feet from the east line of Section 20, Township 47 South,
Range 28 East in Collier County. The proposed bottom hole location(PBHL) will be 1,342
feet from the south line and 2,003 feet from the west line of Section 21,Township 47 South,
Range 28 East. A new drilling pad will be constructed in a tomato field at the Hogan
Island Farm that is owned by the Barron Collier Company. The well site will be located
within the Big Cypress Swamp watershed,but there will be no wetlands impacts.
The procedure calls for the operator to drill a pilot hole to a total vertical depth (TVD) of
13,500 feet [13,500 feet measured depth (MD)], to evaluate the geology. If the permittee
chooses to continue drilling operations, the bottom of the pilot hole will be plugged back
with cement and then kicked off at 11,187 feet TVD (11,187 feet MD) to directional drill a 8
1 inch hole with a steerable assembly while building angle. After reaching 11,836 feet
TVD (12,000 ft MD) 7 5/8 inch casing will be set in the hole and cemented it in place.
After setting casing the procedure calls for drilling a 6 1 inch open hole until obtaining an
inclination angle of 90 degrees at the landing point at a depth of 11,903 TVD (12,312 feet
MD). At this depth the well will be completed drilling horizontally 4,588 feet to the
proposed bottom hole location at 11,903 TVD (16,900 MD) in the targeted pay zone of the
Lower Sunniland Formation.
Dan A. Hughes Company, L.P.
FDEP Drilling Permit No. 1349H
Page 3 of 7
4. By accepting this permit, the permittee agrees to conduct all operations in accordance
with this permit and the application upon which it is based, Chapter 377, F.S., and
Chapters 62C-25 through 62C-30,F.A.C.
5. The permittee shall notify the Ft Myers Oil and Gas Field Office at(239) 344-5721 not
less than twenty-four hours prior to starting work and thereafter as directed.
6. The permittee shall file Form 8 (Well Record)within 30 days after reaching total depth,
Form 9 (Well Completion Report) within 30 days after testing the well, a directional
survey within 30 days after logging the well,and Form 16 (Plugging Report)within 30
days after plugging the well. Geophysical well logs, mud logs, samples, core chips,
laboratory core analysis reports, etc., must be submitted to the Oil and Gas Section
within 30 days after reaching total depth.
7. Any violation of these permit conditions may result in the suspension or revocation of
this permit pursuant to Section 120.60, F.S., or may result in penalties, pursuant to
Sections 379.407,377.37,and 403.121,F.S.
8. The additional data derived from this well shall be used to refine existing prospect
interpretations and shall provide the basis for determining whether additional field
wells, special field rules, or field unitization will be necessary.
9. If additional wells are necessary before adopting special field rules or unitizing the
field, commercial production from this well may be governed by allowables to be
set by the Department or the distributable royalty interest shall be escrowed until
such rules are adopted or unitization proceedings, as outlined in Section 377.28(4),
F.S.,are completed.
10. If unitization is required pursuant to Section 377.28, F.S., to prevent waste and
protect the coequal and correlative rights of all potentially impacted parties, the
operator shall begin unitization proceedings within 60 days after testing is
completed, in which case commercial production may be restricted or distributable
interests escrowed until a unitization package is approved by the Department This
drilling unit shall be included within the field limits. Any additional areas
subsequently included within the field shall be defined on the basis of not less than
quarter-quarter-quarter sections (square blocks of approximately 10 acres) and shall
include all blocks below which the oil pool is projected.
11. During the period between well testing and adoption of special field rules or field
unitization in accordance with Section 377.28, F.S., the operator shall be allowed to
produce the well but shall escrow all undistributed mineral interests' funds for the
As stated on the GENERAL PERMIT CONDITIONS number Three. The County has the right to
place ordinances that the oil and gas industry must follow.
3. Issuance of this permit does not relieve the permittee of the responsibility to comply
with all applicable federal, state, county, municipal, and special district laws,
ordinances and rules, nor is the permittee relieved of the responsibility to obtain any
licenses or permits which may be required by federal, state, county, municipal, or
special district laws.
We asked you to implement ordinances to protect the residents of this county, Both Collier
Companies and the Dan A. Hughes Company were on record that they would not frack. We
asked that an ordinance be passed to make sure this would not happen. Now the people of
Golden Gate Estates are wondering, what is in our water.An independent company must test
the groundwater. This happened Jan. 1st„ and the FDEP released the statement April 18th. We
will never know what chemicals they used and exposed the residents to because Dan A Hughes
has confidentiality.
What do we have?
Worry....trying to get the FDEP, EPA and the Commissioners to ensure a safe environment for
all.
Look at the big picture and the future .
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Resolution to Ban Hydraulic and Acid Fracturing in Collier County
WHEREAS, hydraulic and acid fracturing (fracking and acidizing) involves the use of
chemicals and hazardous materials during construction, drilling, hydraulic fracturing, gas
production and delivery, well maintenance, and workover operations; and
WHEREAS, hydraulic fracturing of underground geologic formations is often
accomplished by injecting a complex mix of fluids and chemicals, including large
volumes of water, on average 4.5 million gallons per well, under very high pressure to
create fractures in gas bearing geologic formations; and the water used is contaminated
forever; and
WHEREAS, many of the chemical constituents injected during hydraulic fracturing have
documented adverse health effects and/or adverse environmental impacts, for example,
60%of those chemicals can harm the brain and nervous system, 30% are suspected
carcinogens, and 30% are developmental toxicants; and
WHEREAS, there have been more than a 1,000 documented cases of water
contamination near fracking sites; some people who live near these sites can now light
their drinking water on fire; and
WHEREAS, wastewater from fracking can contain radioactive elements and has been
discharged into rivers that supply drinking water for millions, according to the New York
Times; and
WHEREAS, use of these hydraulic fracturing mixes exposed adjacent land and surface
waters to the risk of contamination through open pit storage, truck transport on roadways,
and activities during well development; and
WHEREAS,the pollution of water caused by fracking threatens the long term economic
well being of communities, as businesses and consumers depend on clean drinking water;
and
WHEREAS, in 2005, as part of the federal Energy Policy Act and over objections of
health care, scientific, environmental, and conservation communities, regulation of
hydraulic fracturing fluids under the Safe Drinking Water Act by the Environmental
Protection Agency was exempted, thereby allowing oil and gas companies to use these
substances without federal oversight or standards; and
WHEREAS fracking enjoys exemptions from nearly all major federal environmental
statutes, not only the Safe Drinking Water Act, but also the Clean Water Act, Clean Air
Act, the Resource and Conservation and Recovery Act,the National Environmental
Policy Act, the Comprehensive Environmental Response, Compensation and Liability
Act, the Emergency Planning and Community Right-to-Know Act to name only a few;
and
0 b,i i CC APAtt
WHEREAS, the oil and gas industry is not required by federal law to publicly disclose
chemical formulas of hydraulic fracturing fluids so that this information is publicly
unavailable for health and safety purposes; and
WHEREAS, Former President George W. Bush's EPA point person on water now admits
fracking should never have been exempted from regulation; and
WHEREAS, the Fracturing Responsibility and Awareness of Chemicals Act("FRAC
Act"), which is currently pending in Congress, would repeal the fracking exemption to
the Safe Drinking Water Act and require disclosure of chemicals used in fracking; and
WHEREAS, the Bringing Reductions to Energy's Airborne Toxic Health Effects Act
("BREATHE Act"), which is currently pending in Congress would repeal the exception
to the Clean Air Act for aggregation of emissions from oil and gas development sources;
WHEREAS, the wise stewardship of our natural resources involves protection of Collier
County water supplies and water resources for generations to come; and
WHEREAS, protection of Collier County water supplies and resources is better
accomplished by prevention of contamination and environmental degradation, rather than
. attempting to cleaning up contamination and restoring degraded environments after the
fact;
NOW, THEREFORE, BE IT RESOLVED, that on the day of 2014, Collier
County supports a statewide and national ban on hydraulic and acid fracturing; and
BE IT FURTHER RESOLVED, that Collier County supports,the FRAC Act and
BREATHE Act;
AND BE IT FURTHER RESOLVED that Collier County will send a letter to our state
and federal legislators calling for a ban on fracking and for them to co-sponsor the FRAC
Act, H.R. 1084/ S. 587, and BREATHE Act, H.R. 1204,
NOW, THEREFORE, BE IT ORDAINED, that hydraulic and acid fracturing is
prohibited within Collier County.
PASSED, APPROVED, AND EFFECTIVE on this day of , 2014.
ATTEST:
•
•
1OC.
OL\.tea_'aO\y
EXECUTIVE SUMMARY Add-On Agenda Item - BCC 4-22-14
Recommendation to direct the Collier County Attorney, supported by staff, to file a
challenge to Consent Order(OGC File No. 14-0012) entered into on April 8,2014 between
the State of Florida Department of Environmental Protection (FDEP) and the Dan A.
Hughes Company,L.P. regarding oil and gas well operations at the Collier-Hogan 20-3H
Well(Permit No. 134911).
Challenge to request the Consent Order be modified to require additional
provisions for oversight, safeguards, and monitoring to protect the environment and insure
the health, safety, and welfare of the citizens of Collier County.
Challenge to further request a protocol be established from FDEP that improves
communication and coordination between the agencies regulating the Oil and Gas Program
and Collier County local government, and that copies be provided to Collier County of all
application packages for future oil and gas exploration,production wells, and class II
injection wells, as well as all permit related correspondence, additional submittals, meeting
minutes, and agency action.
Additional change(s) to the Consent Order as deemed appropriate by the Board.
OBJECTIVE: For the BCC to provide direction to staff in response to newly available
information and documents, and reported developments regarding oil and gas operations in
Collier County, including the utilization of unpermitted practices new to SW Florida and
violation(s) of FDEP regulations.
CONSIDERATIONS: News articles were published on Friday, April 18th after 5:00pm, and
supporting documents released, regarding FDEP action against Dan A Hughes Company, L.P.
related to oil well operations at the Collier-Hogan 20-3H Well (FDEP permit 1349H) located
north and west of the intersection of Everglades Blvd and Immokalee Road.
A Cease-and-Desist Order was issued by FDEP to Dan A Hughes Company, L.P.,
requiring the cessation of all operations on December 31, 2013. The Cease and Desist Order was
followed by a Consent Order dated 04-08-14. Copies of both documents are attached.
There has been substantial concern expressed by citizens of Collier County and
beyond regarding oil and gas extraction proposals and operations in eastern Collier County and
the greater Big Cypress and Everglades area. Initially, concerns were expressed by residents of
Golden Gate Estates in the vicinity of 24th Ave NE adjacent to nearby lands where an oil well
has been proposed and an Oil Exploration Permit has been applied for at FDEP. The citizen's
initial encounter related to the potential oil well was a safety/disaster preparedness related letter
from the applicant's permitting consultant that sparked fear and anxiety among recipients and
nearby residents. Numerous advocacy groups have become engaged. Additional oil and gas
exploration and extraction sites have come under scrutiny.
The Florida Oil and Gas Program and related activities are regulated by Federal and
State agencies, primarily the Florida Department of Environmental Protection (FDEP), and the
South Florida Water Management District (SFWMD). Despite its lack of authority, Collier
County has supported and publicized public information meetings and distributed printed
materials, to forward information and answer inquiries. Administrative challenges have been
filed with FDEP and SFWMD by numerous parties. In response, and as part of the review and
public input process, in March, several public hearings were conducted by FDEP and the US
Environmental Protection Agency (EPA) in local venues. To date, citizen concerns regarding
the Florida Oil and Gas Program in Collier County persist, and inconsistencies between
disseminated information and applied oil well drilling practices and administration conducted by
FDEP, SFWMD, land owner Collier Resources, the drilling contractor Dan A. Hughes
Company, L.P., and citizens remain unresolved.
Failure to disclose newly released FDEP Orders and administrative action during recent public
meetings and hearings has further eroded public confidence in the Florida Oil and Gas Program,
regulatory agencies FDEP and SFWMD, and by association, Collier County local government.
Time Sensitivity: For the Collier BCC to file a challenge to the FDEP Consent Order as a party
of substantial interest, a petition for an administrative hearing must be filed with and received by
FDEP within 21 days of the original Consent Order, that date being on or before Tuesday,
April 29th,2014.
FISCAL IMPACT: Staff Time/minimal additional
LEGAL CONSIDERATIONS: None
GROWTH MANAGEMENT IMPACT: None
RECOMMENDATION: Recommendation to direct the Collier County Attorney, supported by
staff, to file a challenge to Consent Order(OGC File No. 14-0012) entered into on April 8, 2014
between the State of Florida Department of Environmental Protection(FDEP) and the Dan A.
Hughes Company, L.P. regarding oil and gas well operations at the Collier-Hogan 20-3H Well
(Permit No. 1349H).
Challenge to request the Consent Order be modified to require additional provisions for
oversight, safeguards, and monitoring to protect the environment and insure the health, safety,
and welfare of the citizens of Collier County.
Challenge to further request a protocol be established from FDEP that improves
communication and coordination between the agencies regulating the Oil and Gas Program and
Collier County local government, and that copies be provided to Collier County of all application
packages for future oil and gas exploration,production wells, and class II injection wells, as well
as all permit related correspondence, additional submittals, meeting minutes, and agency action.
Additional change(s)to the Consent Order as deemed appropriate by the Board.
PREPARED BY: Commissioner Tim Nance
AGENDA DATE: April 22,2014—Add-on Agenda Item
(5) Attachments:
• FDEP vs. Dan A Hughes Company, L.P. Consent Order dated 4-8-14
• FDEP Well 20-3H Collier Hogan—Cease and Desist Order dated 12-31-13
• FDEP Statement regarding Consent Order with Dan A. Hughes Company, L.P. —4-18-14
• Newspaper articles published in the Ft. Myers News Press and the Naples Daily News -
for reference only
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