American Oil and Gas Reporter - February 2015 - 125

ConventionSection: Illinois Oil & Gas Association

Illinois Waiting On Rules,
New Administration
By Corinne Westeman
EVANSVILLE, IN.-When prospective
buyers are uncertain about an item's quality, many will walk away and say, "It's
not worth the trouble."
Oil and gas industry leaders in the
Illinois Basin hope that, despite the ongoing concern over long-disputed hydraulic fracturing regulations, prospective
producers still think it is worth their
while to develop the basin's potential resource plays.
The Illinois Oil & Gas Association
has been working with legislators and
environmental groups for more than four
years to develop high volume hydraulic
fracturing (HVHF) regulations that all
parties deem acceptable. However, an
advocacy group is seeking a permanent
injunction against the fracturing rules.
Illinois Attorney General Lisa Madigan
has asked the Madison County, Il., judge
to dismiss the case, the association says.
IOGA Executive Director Brad
Richards says members will hear the
latest on the issue at the association's annual convention and trade show, March
5-6 at The Centre in Evansville. However,
as of late January, the plaintiffs in the
lawsuit-landowners who live in areas
with little to no drilling activity-have
protested the rules on several grounds.
"One complaint alleges there was not
an adequate public comment period,"
Richards details. "But, there was an extensive comment period for the HVHF
rules-one of the longest and most active
in our state's history. More than 39,000
comments were submitted, many of which
were 'robo-comments.'"
The advocacy group SAFE (Southern
Illinoisans against Fracturing our Environment), filed a lawsuit against the
Illinois Department of Natural Resources,
Richards recounts. The group also alleged
the department had not considered scientific studies.
In addition, Richards says, the plaintiffs
contend the rules fail to address groundwater contamination or seismicity. "The
groups, essentially, are grasping at straws.
They had to file the suit under the name

IOGA Annual Meeting - Evansville, In.
Wednesday, March 4

Friday, March 6

9 a.m. Petroleum Technology Transfer Council Preconvention Workshop, The Centre
Old National Events Plaza
3 p.m. Exhibitor Setup

7:30 a.m. Coffee and Doughnut Bar, Exhibit
Hall, Old National Events Plaza
Provided by IOGA
9 a.m.-Noon Trade Show Open, Exhibit
Hall
8:30-9 a.m. General Interest Session, Locust
Rooms
"Safeland Training Opportunities," Illinois
Eastern Community Colleges
9-10:30 a.m. Engineering Committee Session, Locust Rooms
"How Telemetry can Maximize Oil Production and Increase Operational Efficiency," Troy Edwards, Rugged Telemetry
"Unconventional Conventional: New Tools,
Old Problems," Jim Brooker, Brookston
Resources
10:20 a.m. Break
10:45 a.m.-Noon Legal & Legislative Committee Session, Locust Rooms
"IDNR Update," Mike Makowski, Illinois
Department of Natural Resouirces Department of Oil & Gas Resource Management
"Recent Industry Issues," Craig R. Hedin,
Gesell's Pump Sales & Service Inc.
Noon Wildcatter Luncheon & Annual Award
Program, Ballroom
Presiding: IOGA President Todd Shulman
Award Presentations: Petroleum Professional of the Year, Petroleum Professional
Woman of the Year, Service Person of
the Year, Lifetime Achievement, Wildcatter of the Year

Thursday, March 5
8:30 a.m. Registration, Old National Events
Plaza
9 a.m.-5 p.m. Trade Show Open, Exhibit
Hall A&B
10 a.m. Tri-State Professional Landman's
Association Meeting, Walnut A&D
Presiding, AAPL President Roger Soape
10 a.m. IOGA Annual Meeting, Locust
Rooms
Presiding, IOGA President Todd Shulman
11:35 a.m. Lunch, Exhibit Hall
1-3 p.m. General Interest Session, Walnut
Rooms
"AAPL Presidential Address," Roger Soape
"The Hydraulic Fracturing Ban in New
York," Independent Oil & Gas Association
of New York Executive Director Brad Gill
"Oil Markets Report," Metolius Capital
3 p.m. Break
3:15-5 p.m. Geologic Committee Session,
Walnut Rooms
"Importance of Core Analysis in Resource
Plays," Rich Snyder, Chesapeake Energy
"Re-Evaluating the Trenton Exploration
Strategies on Illinois' LaSalle Anticline,"
Consulting Geologist James E. Blumthal
5-6 p.m. Social Hour, Exhibit Hall
Hosted Bar, Courtesy of Meeting Sponsors
6 p.m. Evening Banquet, Ballroom
Entertainment: Kenny Rogers, Victory
Theatre

of someone who does not even own land
in Illinois," he notes. "SAFE filed the
suit in Madison County-an area east of
St. Louis that is known for its sympathetic
court system. It's shopping around for a
sympathetic judge who will listen. Fortunately, the group has not yet found
one.
"The rules have taken effect already,
but dragging this up again makes it uncertain for any companies to which the
rules will apply," Richards continues.
"Some companies are preparing to file
for HVHF permits, but I think they will
be more confident if we can put the

whole issue to bed."
To qualify for HVHF permits, Richards
says companies must register with the
state so the authorities can make sure the
operators are "upstanding citizens," and
ensure they have no serious violations
regarding hydraulic fracturing. Then,
companies must wait 30 days between
registration and permitting.
Richards claims some Illinois producers
are preparing to apply, but no permits
had been issued by mid-January.
"I am confident, despite the lengthy
HVHF rule negotiations and the market
shift," he comments. "I believe there are
FEBRUARY 2015 125



American Oil and Gas Reporter - February 2015

Table of Contents for the Digital Edition of American Oil and Gas Reporter - February 2015

Contents
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American Oil and Gas Reporter - February 2015 - Contents
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American Oil and Gas Reporter - February 2015 - Cover3
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