TITLE SLIDE - REGULATON AND INSTITUTIONAL FAILURE - SELGA MARCH 11TH 2014
Thank you.
We need clean water, clean air and a clean green food supply. This means maintaining and keeping our
precious aquifers, soils and food protected from pollution, acidic leaching, mixing of aquifers, subsidence,
chemicals and to use our resources wisely.
CONSERVING NATURE
In 2012, a document by the South Australian Government was released entitled ‘CONSERVING NATURE
2012 – 2020. Page 20 ‘Drought conditions are likely to increase in frequency across many parts of South
Australia, as a consequence of climate change, particularly in agricultural areas. To this end, Australia’s
strategy for the National Reserve System recognizes and gives priority to increasing protection for areas
that support reliable surface waters and accessible ground water’.
I am a member of the Round Table For Unconventional Gas Projects in SA, the only agricultural advocate
who attends. The most memorable quote from one of the international speakers at the Round Table
regarding drill holes –“Australia isn’t a pin cushion yet like America”.
MAP OF AGRICULTURAL AREAS 2008
This is map of arable farmland in 2008. According to the Agricultural Commodity Statistics 2011, S.A.
has only 4.6% prime agricultural and cropping land outside of pastoral areas.
http://data.daff.gov.au/data/warehouse/agcstd9abcc002/agcstd9abcc0022011/ACS_2011_1.0.3.pdf
Water is very precious in South Australia, and is already under severe stress as prolonged dry periods
persist. In 2006, there was no recharge of any aquifer for the whole of the South East of South Australia.
MAP KINGSTON LIGNITE
The proposed Kingston Lignite project of Strike Energy Ltd., currently at the feasibility stage carries the
same risks whether it is gas or lignite. In 1979, Western Mining Corp. discovered poor quality lignite clay
N.E. of Kingston S.E., situated between the unconfined aquifer and the confined Dilwyn Aquifer.
PUMPING TEST RESULTS
In 1982, water pumping tests performed in the field by W.M.C. over a period of 8 days, were found to
significantly interfere with the artesian water in the area. There were serious errors in modelling mine dewatering and associated impacts. The normal rate of flow on several artesian bores was lowered and one
bore had to be pumped until it regained normal pressure. During the trial, the loss of pressure and
downward water leakage from the unconfined aquifer was evident. A major hydraulic connection between
the Mepunga and Dilwyn aquifers was revealed and Kingston’s water supply would have been at risk.
(United Farmers and Stockowners of South Australia Watchdog Committee of Kingston S.E.)
‘A submission to THE HONOURABLE THE MINISTER OF ENVIRONMENT AND PLANNING By the Kingston
Branch of the United Farmers and Stockowners of South Australia on The Kingston Lignite Project Draft
Environmental Impact Statement Researched by the Kingston UF & S Watchdog Committee’ 1983
SEA WATER INTRUSION RISK
There is evidence of a direct hydraulic connection of the Dilwyn aquifer to the sea. in the form of tidal
pressure effects. In recent years, bores had to be capped in the Donavan’s area near Mount Gambier,
because of over-allocation of water and seawater intrusion. A document recently released is called
“Preliminary Investigation of Seawater Intrusion into a Freshwater Coastal Aquifer: Lower South-East,
September 2012”
A question was asked at a Round Table regarding dewatering of both aquifers for the proposed Kingston
Lignite project, and where would the farmers get their water from. One of the company representatives
who prepares EIS reports replied “I can help Anne, we will compensate and cart water”. Is this the type of
answer we can expect if the aquifers are contaminated or there is major loss of pressure, through the
unwanted gas and mining projects for the SE.
CCS ACREAGE MAP
If the lignite project were to proceed, it would be in conjunction with underground storage of carbon
dioxide known as CCS. This map shows the CCS acreage off Robe, presently closed, but may be re-opened
with a bidder. Released by the Federal Government in 2009 in a document (2009 Release Areas Otway
Basin, Victoria
http://www.petroleum.pir.sa.sa.gov/au_data/assets/pdf_file/0011/34112/prospectivity_otway.pdf
SITES WILL BE CHOSEN
According to the www.co2crc.com.au/aboutccs/safety Cooperative Research Centre for greenhouse gas
technologies) “Sites will also be chosen to minimise any possibility of triggering seismic ie.(earthquake)
activity or reactivating any fault.”
At one round table, I challenged the Executive Director, Energy Resources DMITRE regarding the fault lines
in the South East. This is part of an email I received from him.
SLIDE OF BARRY’S LETTER
‘ It remains my personal view as an experienced geologist that the nature of faulting in this location is
interpretable to be less than perfect geologic circumstance for lowest cost and highly extensive CCS.
Others may reach an alternative conclusion, but I was unsurprised no bids were lodged.’ Barry A Goldstein
If the faults are a problem for CCS, then surely they are a bigger problem for invasive, high volume, high
pressure, multi-stage’ slick water fracture stimulation, which has only been used since 2002, not 60 years
as has been reported in the media. Both coal seam gas and shale gas projects carry exactly the same
environmental and health issues.
http://cooper.edu/isd/projects/energy/natural-gas/hydro-fracking
DMITRE is issuer of licenses, the promoter of mining and gas, and is also the regulator. I believe this is a
conflict of interest. I will now demonstrate institutional failure in South Australia. Beach and DMITRE
indicate there have been no problems in the SE with exploration – now for some revelations.
At the Round Table in December last year, I asked a panel how many years the life of a well is. I did not
receive a sensible answer. I will be tabling letters of evidence as I do not have enough time to go through
them, as well as information sheets on aspects I can’t cover today.
Beach Energy, as I understand, was involved with seismic surveys in the SE in the 1960’s which covered
extensive distances. I recently visited a property near Robe. A number of holes, set distances apart and
approximately 15 metres deep were drilled and left uncased. (pick up wire) Detonator wire left on the
property, such as this, was used to connect the holes and place down 5 pounds of explosive geofex.
According to a government document ‘South Australia – Victoria Border Zone Ground Water Investigation:
Results of Pumping Test Program’ 2011/23, “Vertical flow between the two aquifers Tertiary Limestone
Aquifer and the Tertiary Confined Sand Aquifer is likely to be significant, however this is not well
understood.” ‘….the rate of vertical recharge could not be quantified’ could not be measured. I wonder
what sort of role and damage this type of seismic surveying had on opening up un-natural pathways
between the aquifers?
PICTURE OF NULTY’S DRILL HOLE
Here is Nulty’s drill hole put in by WMC 30 years ago. Subsidence occurred down the side of the nondecommissioned casing for 20 metres to the unconfined aquifer, possibly as the result of the aquifer water
dropping, creating a roof above the water and a weak spot next to the casing. It is not the only instance in
the SE. As recalled by a Robe land owner, a petroleum company sunk 2 wells 100 feet deep, which were
never de-commissioned – it seems to be a common occurrence from what I am discovering. One of these
drill holes had subsidence, as I understand, 12 months after being abandoned. It was 2 metres across and
2/3rds of a metre deep.
Beach Petroleum, as I understand, drilled two oil exploration wells by Lake George, in the vicinity of faultlines and at the same time, explosives were used to widen Drain M. As the result of part or all of this
cocktail mix, as I understand, connectivity between the aquifers were shaken and fractured, causing salt
water to invade the fresh aquifer water. I understand that today no fresh water bores are found in the
area and fresh water had to be piped from 2 miles away. There was no compensation from the mining
company. No problems in the SE!!!!
http://www.pir.sa.gov.au/__data/assets/pdf_file/0008/27296/vol1_Otway_Basin-3.pdf
[MS EXCEL] Sheet 1
... 4, Acacia Grove 1, Open File, Cooper Energy NL, PEL, 100, 4/19/04, 5/9/04, Exploration,
Oil Shows, Abandoned, Cooper/Eromanga, 2724.000, 48.850, 27 08 18.032, 140 ...
www.pir.sa.gov.au/__data/assets/file/0020/43526/sa_wells_info.xls - 2014-02-03 - T
Version
PICTURE LIQUEFACTION ROBE
Mr Sprigg of Beach Petroleum and others recorded stranding of coastal bitumen in the SE of SA and
Western Victoria following offshore earthquakes. The state’s biggest earthquake occurred in 1897,
northwest of Beachport, magnitude 6.5, liquefaction occurring and with massive damage. Another, 5.6,
occurred in the same area in 1949. In a document, it is stated that in the Western Otway Basin, submarine
gas seeps are commonly associated with major faults that pierce the Tertiary cover sequence. Therefore, it
appears that these fault zones may be acting as pathways for the escape of gas from deeply buried
Cretaceous rocks.
http://digital.library.adelaide.edu.au/dspace/bitstream/2440/48539/10/02chapter1.pdf by D PADLEY - 1995
http://www.pir.sa.gov.au/__data/assets/pdf_file/0020/10829/rb1995_047_earthquakes.pdf
In another document it is stated ‘The influence of this event on structures and fault planes is very
important for hydrocarbon (coal, gas oil) exploration with unfavourably oriented faults being prone to
reactivation and leakage. Continuity of this stress field to the present day is validated by the persistence of
significant earthquake activity, particularly in the Beachport High area, the site of the most intense
structural inversion mapped in the SA border of the basin.’
Under Volcanism, I quote ‘This tectonic phase represents a risk to petroleum exploration by introducing
magmatic CO2 into the sedimentary sequence…..’
http://www.misa.net.au/__data/assets/pdf_file/0013/40432/pgsa1_v2_chapter_5.pdf
Chapter 5 Structural and Tectonic Setting by Jensen-Schmidt, CD Cockshell and PJ Boult
FLOATING WELL HEAD
This is a picture of a floating well head after heavy rains, in Boundary Creek, Victoria on PRL 2. Ask Beach
Energy and Lakes Oil about this.
http://www.lakesoil.com.au/index.php/reports-and-announcements/item/quarterly-activities-andcashflow-report-september-2013?category_id=8
The 2008 Gippsland Coastal Board reported that land subsidence has occurred over 40 years because of
the extraction of underground water, oil and natural gas resulting in a relatively rapid collapse
(compaction) of underlying strata.
http://www.gcb.vic.gov.au/sealevelrise/sealevelrisefinaltext.pdf
There is much documented evidence that earthquakes and fault lines are pathways for contaminants
including methane, highly carcinogenic benzene, other volatile organic compounds and naturally occurring
radioactive materials. A committee of the Massachusetts Statehouse has approved a bill, imposing a ten
year ban on fracking for natural gas after a wave of earthquakes in Texas. It is waiting to be signed off.
Fracking has been blamed for a number of earthquakes around the world, including Holland, the USA and
other countries.
http://rt.com/usa/fracking-texas-activists-concerned-510/
PENOLA DRILL RIG
At the Round Table last December, Barry Goldstein stated that ‘not a drill goes into the ground until all the
neighbours are notified”. I have signed letters from residents to say that this is not the case. In fact the
family that lives closest to the drill rig had no idea until at Christmas when a road and pad were being
installed. Once the rig went up, they had to do their own investigations. Noise levels and bright lights are
disturbing the family. Also, I understand very placid cows are being affected adjacent to the drilling. Now if
anyone enters their paddock, they bolt and then keep looking at the rig.
In the Taranaki area of New Zealand, where fracture stimulation is taking place on prime agricultural land,
a process called ‘land farming’ of oil and gas drilling waste is spread across farming land where it is covered
and pastured. It was costing Fonterra $80,000 per year to test the milk from these areas for contaminants.
Fonterra no longer accept milk from these areas.
http://www.stuff.co.nz/taranaki-daily-news/business/8817459/Fonterra-to-halt-future-landfarmcollections
PANAX COMBINED PICTURES BEFORE AND AFTER
30th January the Stock Journal had a picture of Tony Beck in front of flow back mud at the Panax
Geothermal site. Then came the big cover-up clean-up also on 30th January, as reported in the RAYA
quarterly report. You can see one of the ponds on the right with severe algal bloom. The pictures speak
for themselves. How much pollution went down through the soil, because of the liner breaking down?
What happened to the pond water? The drilling mud, I assume to be filled with radionuclides, heavy
metals etc. went through various SE towns on a hot day, to be left in Telford’s Quarry as I understand,
which is near the Blue Lake. How much contamination occurred on the way from the dust and how much
further pollution will occur?
Stock and Station agents have been quoted as saying that they can’t source cattle from certain areas of the
Darling Downs i.e. CSG areas, if they go direct to the abbatoir – They can only buy from these areas if they
go to the domestic market or feedlots. How will farmers in the SE feel when they fill out the national
vendor declaration to say their stock has been near contamination caused as the result of gas wells – it will
happen and it has in other places.
http://asx.thebull.com.au/news-history?S=RYG&E=ASX
download quarterly activies and cash flow report
PICTURE FROM EYRE IRON AUDIT
On Eyre Peninsula, farmers forced DMITRE to do an audit on Eyre Iron. They only looked at 136 of the 406
drill holes. 109 were non compliant. As I understand, the remaining 270 were never audited.
http://www.tbrara.com.au/wp-content/uploads/SOS-Fusion-Project-Audit-Release-Part-A.pdf
PICTURE OF COOPER BASIN IN FLOOD
Here are pictures of a gas production area in the Cooper Basin in flood. Will we ever know how much
water leached out of the ponds as a result.
BEACHPORT EAST 1 LEAKING
Here is a picture of leaking Beachport East 1. This was drilled to 1.4 km in 1973. Only cased to 610 m. It
was abandoned but not backfilled. The valve has probably been left open for years.
http://nremap.nre.vic.gov.au/Website/hlinks/mpd/dbmap_html/well/beachporteast1.htm
CONTAMINATION OF AQUIFER IN NSW
A $1500 fine was issued to SANTOS when its joint venture partner, Eastern Star Gas allowed water to seep
from one of its CSG water holding ponds into a shallow aquifer. The aquifer was damaged beyond repair.
The EPA chief environmental regulator Mark Gifford, confirmed the contamination included uranium levels
20 times higher than safe drinking water guidelines, lead, aluminium, arsenic, barium, boron and nickel, all
at elevated levels above livestock, irrigation and health guidelines.
http://www.smh.com.au/environment/santos-coal-seam-gas-project-contaminates-aquifer-2014030734csb.html
SMELL OF SULPHUR
Last week, Neil Copping reported a very strong rotten egg smell extending across his paddocks. It is
possibly hydrogen sulphide. The smell appears to come from the holding pond. Accompanying the sulphur
smell usually includes other dangerous volatile organic compounds. This toxic air pollution does not come
under the regulation of the Environmental Protection Authority, but DMITRE while at the exploration
stage. This is unbelievable. Neil’s boundary fence is 60 metres from the rig, and he was not told anything
by Beach Energy until after a platform had gone up for the rig.
TOXIC RAIN
There has been toxic rain occurring around Tara. It is described as an oily substance. Today tonight took
samples from a rainwater tank. They contained lead at 10 x above safe levels, arsenic,and benzene which
are carcinogens, toluene, cadmium, lead, zinc, copper, and chromium. Thousands of tonnes of toxic
chemicals have been released into the environment where these people are living.
http://au.news.yahoo.com/video/watch/19903282/aussies-against-fracking/
HEALTH
I understand that around 75,000 litres of chemicals per horizontally fracked well are used. Only 2 0f the
23 most commonly used fracture stimulation chemicals have been assessed by the National Industrial
Chemicals Notification and Assessment Scheme, and neither of these have been specifically assessed in
fracking.
I have not got enough time to go into this today. BTEX chemicals are mobilized as the result of fracture
stimulation. These include Benzene, Toluene, Ethylbenzene and Xylene. Short term effects include
dizziness, headaches, loss of co-ordination, respiratory distress and others. Long term effects include
kidney, liver and blood system damage. Benzene increases the risk of leukaemia and non-Hodgkin’s
lymphoma. The Australian drinking water guidelines for benzene state that ‘no safe concentration for
benzene in drinking water can be confidently set. The guideline is set below the detection at 1 ppb (the
equivalent of a drop of water in a swimming pool. US researches have found an association between
exposure to benzene and birth defects.
http://www.ntn.org.au/wp/wp-content/uploads/2013/12/CSG-Health-Impacts-Dr-W-Somerville.pdf
I suggest you read ‘Symptomatology of a Gas Field’.
http://www.ntn.org.au/stop-csg/no-clean-bill-of-health-for-csg
As a community, we should be allowed to demand that Beach Energy be required to supply a list of all
chemicals used at the Penola Drill site. All material safety data sheets must be included in public disclosure.
BRIAN’S LETTER
My friend, Brian Jefferies, AM, well known in the sheep industry, visited a property in Chile in 2012. The
owner and Brian visited an area of the property where gas was being extracted. 12 dead pregnant ewes
were found 200 metres from contaminated water. Brian attended the autopsy and the blood was
extremely pale and stank of hydrogen sulphide assumed to be mixed in with methane.
According to a survey on leaking wells in the Pennsylvania Marcellus shale play based on violations issued
by the DEP (Dept. Environmental Protection), 6% of wells fail in the first year and the numbers climb as the
wells age each year.
http://www.marcellus-shale.us/pdf/Violations_Jan-to-6-18-10_DEP.pdf
I believe there is institutional failure in regard to inconsistency of data, (could not find documents re WMC,
and took a while to find documents re Nulty’s well) lack of auditing and supervision of current exploration
wells across SA, and lack of care to ensure proper de-commissioning of past wells. I believe govt. policy
should include exemption of mining and petroleum licences on prime agricultural land to ensure clean air,
clean an adequate supply of clean water and clean green food is sustained for future generations.
http://www.pir.sa.gov.au/__data/assets/pdf_file/0019/27406/downhole_risks.pdf
Http://vimeo.com/39707060 Ingraffea on well integrity
http://www.marcellus-shale.us see what has happened already in Marcellus Shale
http://www.psehealthyenergy.org/data/PSE__CementFailureCausesRateAnalaysis_Oct_2012_Ingraffea.pdf
http://www.thenation.com/article/171504/fracking-our-food-supply#
http://www.smh.com.au/environment/santos-coal-seam-gas-project-contaminates-aquifer-20140307-34csb.html
http://dea.org.au/news/article/media-release-doctors-alarmed-by-water-contamination-from-unconventional-ga