“State agencies are on the forefront of oil and gas regulation and are diligently working to address the safety and environmental issues surrounding modern energy development. Knowing how to best mitigate and manage the risk of induced seismic events requires multidisciplinary scientific understanding that often reaches beyond the domain expertise of any individual state agency or regulatory body. ExxonMobil’s technical leadership alongside the contributions of academia, environmental stakeholders and regulators provides a valuable contribution in helping States First develop a guide for regulators that is grounded in the best available science.” Mike Paque Executive director, Groundwater Protection Council
We support risk management and mitigation approaches that consider various mitigation methods for the relative risks in a given context, including the assessment of factors such as fluid volumes, formation character, tectonic setting, operating experience and local construction standards. For example, at XTO Energy, we follow a disciplined injection well siting protocol, which uses available data, including federal, state or internal seismic information, to conduct a risk assessment prior to siting a disposal well. Some government agencies mitigate seismicity risk during development with operational “traffic light” systems. at universities, cooperating with governmental agencies and conducting our own research, we are contributing to developing a better understanding of seismicity. We believe having a science-based risk management approach is an essential foundation for evaluating events and avoiding adverse effects of seismicity. In addition, ExxonMobil has been strengthening our risk management systems related to this challenge and proactively sharing our findings with local communities, academia and regulators. In 2015, ExxonMobil provided technical leadership to States First — a multi-state initiative aimed at facilitating innovative regulatory solutions for oil and natural gas producing states — for its induced seismicity working group’s primer on potential injection-induced seismicity associated with oil and gas development. Specifically, the primer provides guidance on evaluating risks associated with induced seismicity from wastewater disposal wells and helps regulatory agencies develop strategies for managing and mitigating risks. Research findings for the primer indicate that risk management, risk mitigation and response strategies are most effective when specific local geologic conditions and operational situations are considered. Accordingly, the primer does not recommend specific policies, emphasizing that a one-size fits all regulatory scheme would not be flexible enough to account for area-specific risks and concerns. We believe it is important to gain a better understanding of all types and sources of seismic activity. By supporting research
Wastewater management ExxonMobil responsibly manages process wastewater and produced water from our operations, and we proactively look for opportunities to address any potential water quality issues. For our Upstream projects, our Water Management Standard outlines minimum expected environmental performance and mitigation measures. This Standard establishes the planning and design basis for reducing impacts to surface waters, groundwaters, estuarine and marine waters as well as to the associated habitats and users, from a use or consumption viewpoint as well as with regard to discharge quality. Produced water, a byproduct of upstream oil and gas operations, is typically managed onshore by injection into deep underground reservoirs. For offshore production facilities, produced water is managed by re-injection into an associated reservoir or treatment and discharge into the marine environment in accordance with applicable regulatory requirements. From 2014 to 2015, ExxonMobil conducted a series of sampling and modeling initiatives in Australia to evaluate how produced water discharges might interact with the local marine environment. The results showed the amount by which the concentration of discharge constituents vary day-to-day and the way discharges mix in the sea with the surrounding currents. These factors are critical to understanding the overall environmental impacts of the discharges. The study will continue in 2016. Seismicity The topic of induced seismicity has gained more attention over the past few years. In some instances, due to unique geologic conditions, oil and gas operations may trigger seismic activity. Such operations may include reservoir depletion, wastewater disposal injection and in rare situations, hydraulic fracturing. We recognize the issue of oil and gas operations inducing seismicity is a matter of public concern. No matter the cause — natural or human induced — local communities have concerns about seismic activity in their area.
Potential injection-induced seismicity associated with oil and gas development: A primer on technical and regulatory considerations informing risk management and mitigation
Environmental performance exxonmobil.com/citizenship
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