Pa. fines driller $1.1 million over contamination, fire

2012-03-30 00:54:36

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HARRISBURG -- State environmental officials have issued a nearly $1.1 million fine against Chesapeake Energy for water contamination in Bradford County and a February fire at its Avella site.

According to a news release from the agency, Chesapeake will pay a $900,000 penalty for contaminating private water supplies in Bradford, due to improper well casing. Of that figure, $200,000 will go to the Department of Environmental Protection's well-plugging fund.

Another $188,000 was assessed for the Avella tank fire that injured three workers. Two of those workers, who suffered burns, have since sued Chesapeake and two other companies working at the site.

DEP Secretary Michael Krancer said in a statement that the fine was the largest single penalty for an oil or gas driller, and that the Avella fine was the highest they could assess under current law.

"It is important to me and to this administration that natural gas drillers are stewards of the environment, take very seriously their responsibilities to comply with our regulations, and that their actions do not risk public health and safety or the environment," Mr. Krancer said.

The announcement of the fine comes after Chesapeake officials said Friday that they would resume hydraulic fracturing and other drilling activities in Pennsylvania. The company had halted those activities after its April 19 blowout in Leroy Township, during which thousands of gallons of briny wastewater flowed off the wellpad and some into a nearby creek.

The release from DEP regarding the fine did not mention that incident specifically but said the agency investigated private well-water complaints from residents in five Bradford County towns near Chesapeake shale drilling sites. They determined that gas from shallow, non-shale formations had migrated into the drinking water supplies of 16 families.

DEP's action against Chesapeake also follows criticism from state environmental groups against the agency for assessing fewer fines and violations during the first quarter of the year than during the same period last year.

Laura Olson: lolson@post-gazette.com or 717-787-4254.
First Published May 17, 2011 12:03 pm
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