80_FR_48417 80 FR 48262 - Oil and Natural Gas Sector: Definitions of Low Pressure Gas Well and Storage Vessel

80 FR 48262 - Oil and Natural Gas Sector: Definitions of Low Pressure Gas Well and Storage Vessel

ENVIRONMENTAL PROTECTION AGENCY

Federal Register Volume 80, Issue 155 (August 12, 2015)

Page Range48262-48268
FR Document2015-19733

This action finalizes amendments to new source performance standards (NSPS) for the Oil and Natural Gas Sector. On March 23, 2015, the Environmental Protection Agency (EPA) re-proposed its definition of ``low pressure gas well'' for notice and comment to correct a procedural defect with its prior rulemaking that included this definition. The EPA also proposed to amend the NSPS to remove provisions concerning storage vessels connected or installed in parallel and to revise the definition of ``storage vessel.'' This action finalizes the definition of ``low pressure gas well'' and the amendments to the storage vessel provisions.

Federal Register, Volume 80 Issue 155 (Wednesday, August 12, 2015)
[Federal Register Volume 80, Number 155 (Wednesday, August 12, 2015)]
[Rules and Regulations]
[Pages 48262-48268]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-19733]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 60

[EPA-HQ-OAR-2010-0505; FRL-9931-76-OAR]
RIN 2060-AS49


Oil and Natural Gas Sector: Definitions of Low Pressure Gas Well 
and Storage Vessel

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: This action finalizes amendments to new source performance 
standards (NSPS) for the Oil and Natural Gas Sector. On March 23, 2015, 
the Environmental Protection Agency (EPA) re-proposed its definition of 
``low pressure gas well'' for notice and comment to correct a 
procedural defect with its prior rulemaking that included this 
definition. The EPA also proposed to amend the NSPS to remove 
provisions concerning storage vessels connected or installed in 
parallel and to revise the definition of ``storage vessel.'' This 
action finalizes the definition of ``low pressure gas well'' and the 
amendments to the storage vessel provisions.

DATES: The final rule is effective on August 12, 2015.

ADDRESSES: The EPA has established a docket for this rulemaking under 
Docket ID Number EPA-HQ-OAR-2010-0505. All documents in the docket are 
listed in the www.regulations.gov index. Although listed in the index, 
some information is not publicly available, e.g., confidential business 
information or other information whose disclosure is restricted by 
statute. Certain other material, such as copyrighted material, is not 
placed on the Internet and will be publicly available only in hard 
copy. Publicly available docket materials are available either 
electronically in regulations.gov or in hard copy at the EPA Docket 
Center, EPA WJC West Building, Room 3334, 1301 Constitution Ave. NW., 
Washington, DC. The Public Reading Room is open from 8:30 a.m. to 4:30 
p.m., Monday through Friday, excluding legal holidays. The telephone 
number for the Public Reading Room is (202) 566-1744, and the telephone 
number for the EPA Docket Center is (202) 566-1742.

FOR FURTHER INFORMATION CONTACT: For further information on this 
action, contact Mr. Matthew Witosky, Sector Policies and Programs 
Division (E143-05), Office of Air Quality Planning and Standards, 
Environmental Protection Agency, Research Triangle Park, North Carolina 
27711, telephone number: (919) 541-2865; facsimile number: (919) 541-
3470; email address: [email protected]. For further information 
on the EPA's Oil and Natural Gas Sector regulatory program for air, 
contact Mr. Bruce Moore, Sector Policies and Programs Division (E143-
05), Office of Air Quality Planning and Standards, Environmental 
Protection Agency, Research Triangle Park, North Carolina 27711, 
telephone number: (919) 541-5460; facsimile number: (919) 541-3470; 
email address: [email protected].

SUPPLEMENTARY INFORMATION: 

I. General Information

A. Does this reconsideration action apply to me?

    Categories and entities potentially affected by this action 
include:

[[Page 48263]]



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           Category             NAICS code \1\                   Examples of regulated entities
----------------------------------------------------------------------------------------------------------------
Industry......................          211111  Crude Petroleum and Natural Gas Extraction.
                                        211112  Natural Gas Extraction.
                                        221210  Natural Gas Distribution.
                                        486110  Pipeline Distribution of Crude Oil.
                                        486210  Pipeline Transportation of Natural Gas.
Federal government............  ..............  Not affected.
State/local/tribal government.  ..............  Not affected.
----------------------------------------------------------------------------------------------------------------
\1\ North American Industry Classification System.

    This table is not intended to be exhaustive, but rather provides a 
guide for readers regarding entities likely to be affected by this 
action. If you have any questions regarding the applicability of this 
action to a particular entity, consult either the air permitting 
authority for the entity or your EPA regional representative as listed 
in 40 CFR 60.4 (General Provisions).

B. How do I obtain a copy of this document and other related 
information?

    In addition to being available in the docket, an electronic copy of 
this action is available on the World Wide Web (WWW). Following 
signature by the EPA Administrator, a copy of this proposed action will 
be posted at the following address: http://www.epa.gov/airquality/oilandgas/actions.html.

C. Judicial Review

    Under section 307(b)(1) of the Clean Air Act (CAA), judicial review 
of this final rule is available only by filing a petition for review in 
the United States Court of Appeals for the District of Columbia Circuit 
by October 13, 2015. Under section 307(d)(7)(B) of the CAA, only an 
objection to this final rule that was raised with reasonable 
specificity during the period for public comment can be raised during 
judicial review. Moreover, under section 307(b)(2) of the CAA, the 
requirements established in this final rule may not be challenged 
separately in any civil or criminal proceedings brought by the EPA to 
enforce these requirements. Section 307(d)(7)(B) of the CAA further 
provides that ``[o]nly an objection to a rule or procedure which was 
raised with reasonable specificity during the period for public comment 
(including any public hearing) may be raised during judicial review.'' 
This section also provides a mechanism for us to convene a proceeding 
for reconsideration, ``[i]f the person raising an objection can 
demonstrate to the EPA that it was impracticable to raise such 
objection within the period for public comment (but within the time 
specified for judicial review) and if such objection is of central 
relevance to the outcome of the rule.'' Any person seeking to make such 
a demonstration to us should submit a Petition for Reconsideration to 
the EPA, Room 3000, EPA WJC West Building, 1200 Pennsylvania Ave. NW., 
Washington, DC 20460, with a copy to both the person(s) listed in the 
preceding FOR FURTHER INFORMATION CONTACT section, and the Associate 
General Counsel for the Air and Radiation Law Office, Office of General 
Counsel (Mail Code 2344A), U.S. EPA, 1200 Pennsylvania Ave. NW., 
Washington, DC 20460.

II. Background

A. Low Pressure Gas Wells

    On August 23, 2011 (76 FR 52758), the EPA proposed the Oil and 
Natural Gas Sector NSPS (40 CFR part 60, subpart OOOO). Among the 
elements of the proposed rule were provisions for reduced emission 
completion (REC), also known as ``green completion'' of hydraulically 
fractured gas wells. In the proposal, the EPA solicited comment on 
situations where conducting a REC would be infeasible. Several 
commenters highlighted technical issues that prevent the implementation 
of a REC on what they referred to as ``low pressure'' gas wells because 
of the lack of the necessary reservoir pressure to flow at rates 
appropriate for the transportation of solids and liquids from a 
hydraulically fractured gas well completion against additional 
backpressure which would be caused by the REC equipment. Based on our 
analysis of the public comments received, we determined that there are 
certain wells where a REC is technically infeasible because of the 
characteristics of the reservoir and the well depth that will not allow 
the flowback to overcome the gathering system pressure due to the 
additional backpressure imposed by the REC surface equipment.
    On August 16, 2012, the EPA published the final NSPS (77 FR 49490). 
Under the 2012 NSPS, a REC is not required for well completions of low 
pressure gas wells. Rather, the 2012 final NSPS requires at 40 CFR 
60.5375(f) that well completions of low pressure gas wells using 
hydraulic fracturing meet the requirements for combustion of flowback 
emissions and to the general duty to safely maximize resource recovery 
and minimize releases to the atmosphere required under 40 CFR 
60.5375(a)(4).
    The 2012 NSPS includes a definition of ``low pressure gas well'' 
that is based on a mathematical formula that takes into account a 
well's depth, reservoir pressure, and flow line pressure. Section 
60.5430 defines low pressure gas well as ``a well with reservoir 
pressure and vertical well depth such that 0.445 times the reservoir 
pressure (in psia) minus 0.038 times the vertical well depth (in feet) 
minus 67.578 psia is less than the flow line pressure at the sales 
meter.''
    Following publication of the 2012 NSPS, a group of petitioners, led 
by the Independent Petroleum Association of America (IPAA), 
representing independent oil and natural gas owners and operators, 
submitted a joint petition for administrative reconsideration of the 
rule. The petitioners questioned the technical merits of the low 
pressure well definition and asserted that the public had not had an 
opportunity to comment on the definition because it was added in the 
final rule.\1\
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    \1\ Letter from James D. Elliott, Spilman, Thomas & Battle PLLC, 
to Lisa P. Jackson, EPA Administrator, October 15, 2012; Petition 
for Administrative Reconsideration of Final Rule ``Oil and Natural 
Gas Sector: New Source Performance Standards and National Emission 
Standards for Hazardous Air Pollutants Reviews,'' 77 FR 49490 
(August 16, 2012).
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    On March 24, 2014, the petitioners submitted to the EPA a suggested 
alternative definition \2\ for consideration. The petitioners' 
definition is based on the fresh water hydrostatic gradient of 0.433 
pounds per square inch per foot (psi/ft). The petitioners assert that 
this approach is straightforward and has been recognized for many years 
in the oil and natural gas industry and by governmental agencies and 
professional organizations. As expressed in the paper submitted by the

[[Page 48264]]

petitioners, the alternative definition for consideration by the EPA, 
as stated by the petitioners, would be ``a well where the field 
pressure is less than 0.433 times the vertical depth of the deepest 
target reservoir and the flow-back period will be less than three days 
in duration.''
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    \2\ Email from James D. Elliott, Spilman, Thomas & Battle PLLC, 
to Bruce Moore, EPA, March 24, 2014.
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    On July 17, 2014, the EPA proposed clarifying amendments to the gas 
well completion provisions of the NSPS. In the July proposal, we re-
proposed the definition of ``low pressure gas well'' for notice and 
comment. We also discussed the alternative definition provided by the 
IPAA. Specifically, we expressed concern that the IPAA alternative 
definition is too simplistic and may not adequately account for the 
parameters that must be considered when determining whether a REC would 
be feasible for a given hydraulically fractured gas well. We expressed 
disagreement with the petitioners' assertion that the EPA definition is 
too complicated and that it would pose difficulty or hardship for 
smaller operators. However, we agreed with the petitioners that the 
public should have been provided an opportunity to comment on the 2012 
definition of ``low pressure gas well,'' and we, therefore, re-proposed 
the 2012 definition for notice and comment. In addition, we solicited 
comment on the alternative definition suggested by the petitioners.
    On August 18, 2014, prior to the close of the public comment period 
for the July 17, 2014, proposal, the IPAA, on behalf of the independent 
oil and natural gas owner and operator petitioners, submitted a comment 
to the EPA via the email address to the Air and Radiation Docket 
provided in the proposed rule.
    The EPA published final amendments in the Federal Register at 79 FR 
79018 on December 31, 2014, which finalized the definition of ``low 
pressure gas well'' unchanged from the 2012 definition. Subsequent to 
the December 31, 2014, publication of the final amendments, the EPA 
became aware that the comment submitted by the IPAA was not made part 
of the record in the docket and, thus, was not available to be 
considered by the EPA in its decision-making process prior to 
finalizing the amendments. On March 23, 2015 (80 FR 15180), the EPA re-
proposed the definition of ``low pressure gas well'', and took comment 
on IPAA's alternative definition to correct the procedural defect.

B. Storage Vessels Connected in Parallel

    In the December 31, 2014, final rule, the EPA finalized amendments 
to the NSPS to address, among other issues, the affected facility 
status of storage vessel affected facilities. The final action included 
amendments related to storage vessels ``connected in parallel'' or 
``installed in parallel.'' As we explained in the final rule preamble 
(79 FR 79027), ``Although we believe it is an unlikely occurrence, we 
note that, when two or more storage vessels receive liquids in 
parallel, the total throughput is shared between or among the parallel 
vessels and, in turn, this causes the PTE of each vessel to be a 
fraction of the total PTE.'' To address such isolated occurrences where 
storage vessels are installed or connected to reduce the potential to 
emit (PTE) and, therefore, avoid being subject to 40 CFR part 60, 
subpart OOOO, we amended the NSPS to address situations in which two or 
more storage vessels could be installed or connected in parallel which 
could, in some cases, lower the PTE of the individual storage vessels 
to levels below the 6 tons per year (tpy) applicability threshold 
provided in 40 CFR 60.5365(e). Specifically, we amended 40 CFR 
60.5365(e)(4) to provide that a storage vessel that is being placed 
into service, and is connected in parallel with a storage vessel 
affected facility, is immediately subject to the same requirements as 
the affected facility with which it is being connected in parallel. We 
also amended the definitions for ``returned to service'' and ``storage 
vessel'' in 40 CFR 60.5430 to provide that two or more storage vessels 
connected in parallel are considered equivalent to a single storage 
vessel with throughput equal to the total throughput of the storage 
vessels connected in parallel.
    Following publication of the December 2014 final rule, we became 
aware that the terms ``connected in parallel'' and ``installed in 
parallel'' inadvertently included storage vessels beyond those we 
attempted to address as described above. On February 19, 2015, the Gas 
Processors Association (GPA) submitted a petition for administrative 
reconsideration of the December 31, 2014, amendments. The GPA asserted 
that ``it is quite common for multiple storage vessels to be situated 
next to each other and connected in parallel. Sometimes the storage 
vessels are operated in parallel, sometimes they are operated in 
series, and sometimes they are operated one-at-a-time with the 
connecting valves closed.'' The GPA further asserted that this 
configuration has existed for decades and that ``this language 
potentially has large impacts to how our members evaluate affected 
facility status.'' For the reasons discussed above, we proposed to 
remove the regulatory provisions relative to storage vessels 
``installed in parallel'' or ``connected in parallel.''

III. Summary of Final Amendments

    This section presents a summary of the provisions of the final 
action with brief explanations where appropriate. In some cases, 
additional detailed discussions are provided in section IV and V of 
this preamble, as well as the Response to Comment document. The final 
amendments include revisions to certain reconsidered aspects of the 
2012 NSPS as follows: (1) Definition of ``low pressure gas well''; (2) 
definition of ``returned to service''; (3) definition of ``storage 
vessel''; (4) revision of 40 CFR 60.5365(e)(4) to remove the phrases 
``or is installed in parallel with any storage vessel affected 
facility,'' and ``or with which it is installed in parallel.''

A. Low Pressure Gas Wells

    The EPA is finalizing its definition of ``low pressure gas well.'' 
For the purposes of 40 CFR part 60, subpart OOOO, our definition of low 
pressure gas well is for a singular purpose--to identify the wells that 
cannot implement a REC because of a lack of necessary reservoir 
pressure to flow gas at rates appropriate for the transportation of 
solids and liquids from a hydraulically fractured gas well against 
additional backpressure that would be caused by the REC equipment, 
thereby making a REC infeasible (80 FR 15182).
    In response to comments, we are amending the definition of ``low 
pressure gas well'' in this final action by changing ``vertical depth'' 
to ``true vertical depth.'' This change more accurately reflects our 
intent when formulating the definition of ``low pressure gas well.''

B. Storage Vessels Connected in Parallel

    The EPA is revising the definition of ``storage vessel'' to remove 
references to ``connected in parallel'' and ``installed in parallel'' 
from the current definition, and making associated changes to 40 CFR 
60.5365(e)(4). We are not making any changes to the proposed definition 
of ``storage vessel.''

IV. Significant Changes Since Proposal

    There is only one significant change since proposal, which is to 
refer to ``true vertical depth'' (instead of ``vertical depth'') in the 
definition of ``low pressure gas well.'' Several commenters took issue 
that the proposal definition of ``low pressure gas well'' does not take 
into account the ``true vertical depth'' of the well, as the ``vertical 
depth'' of the

[[Page 48265]]

well can overstate actual vertical depth because well bores may not be 
absolutely vertical. The commenters concluded that measured vertical 
depth often exceeds the true vertical depth of a well bore. The 
commenters believe this is an important distinction, especially for 
directional or horizontal wells, that should be clarified in the 
definition.
    We agree with the commenters that ``true vertical depth'' is more 
accurate terminology that better represents our intent. In light of the 
above considerations, we are amending the definition of ``low pressure 
gas well'' in this action by changing ``vertical depth'' to ``true 
vertical depth.''

V. Summary of Significant Comments and Responses

    This section summarizes the significant comments on our proposed 
amendments and our responses.

A. Definition of ``Low Pressure Gas Well''

    Comment: One commenter noted that the EPA's defense of the low 
pressure well definition focuses on the level of burden the definition 
imposes on the industry. The commenter contended that the EPA is 
missing the point with this response. The commenter contended that 
their concern is not the hardship imposed by the calculation required 
by the definition but rather that the definition does not accurately 
depict what historically has been considered to be a low pressure gas 
well. Thus, according to the commenter, the current definition would 
require RECs to be performed on marginally cost-effective wells.
    Response: In the 2012 rulemaking, EPA concluded that the BSER for 
well completion was a combination of REC and combustion; however, in 
response to comment that REC is not technically feasible for ``low 
pressure gas wells'' due to the inability of such wells to attain a gas 
velocity sufficient to clean up the well when flowing against the 
backpressure imposed by the surface equipment and the flow line 
pressure, the EPA exempted ``low pressure gas wells'' from REC in the 
2012 NSPS. The EPA subsequently re-proposed its ``low pressure gas 
well'' definition in response to an administrative petition that notice 
or an opportunity to comment was not provided for the EPA's 2012 
definition of ``low pressure gas well.'' However, rather than 
commenting on parameters for defining ``technical infeasibility'' to 
implement REC, the commenter asks the EPA to consider other burdens and 
hardships in defining ``low pressure wells.'' In the 2015 re-proposal 
of the ``low pressure gas well'' definition, the EPA did not propose or 
otherwise contempt exempting well completions from performing REC for 
reasons beyond technical infeasibility. This request is thus beyond the 
purpose and scope of this re-proposal, which is to provide a low 
pressure well definition that would accurately describe wells for which 
REC is technically infeasible due to low pressure and, therefore, 
exempt from the REC requirements under 40 CFR part 60, subpart OOOO.
    Comment: Several commenters expressed support for the alternative 
definition of ``low pressure gas well'' provided by IPAA as being more 
representative of current industry practice of defining these wells.
    According to one commenter, the alternative definition is based on 
the fresh water gradient, is widely used in industry, and appropriately 
describes the well conditions where installation of REC equipment is 
impractical. The commenter stated that the fresh water gradient (i.e., 
0.433 psi/ft or 8.33 pounds(lbs)/gallon (gal) x 0.052 x True Vertical 
Depth (TVD)) represents normally pressured wells based on the 
hydrostatic overhead pressure of fresh water that increases linearly 
with TVD. If reservoir pressure is less than the hydrostatic pressure 
of water, the well will not flow on its own because of the overhead 
pressure of fracture fluids in the wellbore that will be higher than 
the reservoir pressure which may make REC equipment impractical. The 
commenter added that whether a well's productive reservoir pressure is 
above or below the water gradient may be readily confirmed by reading 
offset reservoir pressure data in the development field or by 
evaluating certain wireline well logs that may be run after drilling a 
well before well completion begins.
    Another commenter stated that the EPA's current definition does not 
accurately define what industry has historically defined and recognized 
as a low pressure well. According to the commenter, because EPA's 
definition does not accurately delineate low pressure wells, the 
current definition will subject a subset of wells to RECs where the 
operation of a separator is not physically possible, thereby making the 
wells uneconomical as a result of being subject to REC requirements. 
The commenter included a table showing the values calculated using the 
EPA's definition for various well depths and flow line pressures. 
According to the commenter, the alternate definition would classify all 
of the values in the table as a low pressure well, while the EPA's 
definition would only consider about a quarter of the wells as low 
pressure.
    The commenter further stated that the permeability of the reservoir 
and other reservoir characteristics play a critical role in determining 
when a well is low pressure well or under-pressured. In addition to 
overcoming the hydrostatic pressure and sale line pressure, the 
separator necessary for the REC adds to the pressure which must be 
overcome for gas to flow from the reservoir. The commenter stated that 
the separator pressure is arguably the controlling parameter on when a 
REC is feasible versus the sales line pressure. Unlike the sales line 
pressure, which is easily known, the commenter contended that the 
separator pressure can vary greatly depending on gas and liquid rates, 
liquid composition, and equipment limitations. The commenter pointed 
out that the EPA's definition does not take separator pressure into 
account, thereby making the definition overly conservative. The 
commenter admitted that the alternative definition does not contain an 
adjustment for separator pressure either, but the definition is more 
accurate and is inclusive of wells recognized by the industry as ``low 
pressure.''
    In addition to the pressure associated with the separator, the 
commenter stated that in order for a separator to function, there must 
be a sufficient volume of gas (at appropriate pressure) to lift the 
associated liquids and overcome the pressure of the separator. The 
commenter added that if that gas rate is not achieved, the well will 
load up and a REC will not be possible. According to the commenter, the 
gas rate necessary for a REC varies based on reservoir pressure and 
casing/tubing diameter. The commenter provided a graph of Coleman 
curves to illustrate this point, which illustrates that as the pressure 
and casing diameter increase, so must the gas rate.
    Response: The EPA believes that the alternative definition of ``low 
pressure gas well,'' based only on fresh water gradient, may not 
adequately account for the parameters that must be taken into account 
when determining whether a REC would be feasible for a given 
hydraulically fractured gas well. We believe that, to determine whether 
the flowback gas has sufficient pressure to flow into a flow line, it 
is necessary to account for reservoir pressure, well depth, and flow 
line pressure. In addition, it is important for any such determination 
to take into account pressure losses in the surface equipment used to 
perform the REC. The EPA's definition in the proposed rule was 
developed to account for these factors.

[[Page 48266]]

    The EPA agrees that there must be a sufficient volumetric flow of 
gas (caused by adequate reservoir pressure) to lift the associated 
liquids and overcome the pressure of the separator, enabling the gas to 
be collected (i.e., enter the flow line). However, the EPA disagrees 
that the current definition, which we re-proposed for notice and 
comment, does not take into account the additional backpressure caused 
by the REC equipment, including a separator. The model uses an energy 
balance to determine the pressure drop based on the calculated 
velocity, and then the model accounts for pressure losses caused by REC 
equipment, including the separator. The result of the model is a 
prediction of the pressure of the flowback gas immediately before it 
enters the flow line. The result can be compared to the actual flow 
line pressure available to the well. For wells with insufficient 
pressure to produce into the flow line, as predicted using the EPA 
equation, combustion must be used to control emissions. For wells with 
sufficient pressure to produce into the flow line, gas capture in 
combination with combustion must be used to control emissions.
    According to some of the commenters, the EPA's definition of low 
pressure gas well should be revised because it does not comport with 
what the industry has historically considered to be a low pressure gas 
well. We are not making a determination on the similarity of the two 
definitions because we do not believe that the two must be the same for 
purposes of the Oil and Gas NSPS. The EPA has provided a definition of 
``low pressure gas well'' in the NSPS in order to designate a class of 
wells where a REC is not technically feasible. Our definition of ``low 
pressure gas well'' in the NSPS is for a singular purpose--to identify 
the wells that cannot implement a REC because of a lack of necessary 
reservoir pressure to flow gas at rates appropriate for the 
transportation of solids and liquids from a hydraulically fractured gas 
well during flowback against additional backpressure which would be 
caused by the REC equipment, thereby making a REC technically 
infeasible (80 FR 15182). To the extent that the industry definition is 
different from the EPA definition, the industry likely defines a 
particular well as being low pressure for a variety of reasons.\3\ As 
such, it is not clear that a REC is not technically infeasible for all 
of the wells that the industry has historically considered to be ``low 
pressure wells.''
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    \3\ ``USEPA's proposed low pressure well definition forces 
controls on a segment of the industry that have no or minimal 
beneficial impact on the environment while imposing significant 
additional costs that will make drilling and operating such wells 
uneconomical.'' (James Elliott, Spilman Thomas & Battle, PLLC, on 
behalf of Independent Petroleum Association of America et al., 
August 8, 2014)
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B. Revisions to the Alternate Definition

    Comment: One commenter stated that the alternative definition 
should also be clarified to state ``where field reservoir pressure is 
less than 0.433 times the true vertical depth of the reservoir.'' 
According to the commenter, referring to reservoir pressure adds 
clarity and true vertical depth is a well-known standard term in the 
industry to differentiate from ``measured depth,'' where measured depth 
is the length of the well. The commenters stated this is an important 
distinction, especially for directional or horizontal wells, that 
should be clarified in the low pressure well definition.
    Another commenter similarly suggested that instead of defining the 
term ``low pressure gas well'' in terms of the ``vertical depth'' of 
the deepest target reservoir, it should instead by defined in terms of 
the ``true vertical depth.'' The commenter cited to the Schlumberger 
online Oil Field Glossary, which defines ``true vertical depth'' as 
follows:
    The vertical distance from a point in the well (usually the current 
or final depth) to a point at the surface, usually the elevation of the 
rotary kelly bushing (RKB). This is one of two primary depth 
measurements used by the drillers, the other being measured depth. TVD 
is important in determining bottomhole pressures, which are caused in 
part by the hydrostatic head of fluid in the wellbore. For this 
calculation, measured depth is irrelevant and TVD must be used. For 
most other operations, the driller is interested in the length of the 
hole or how much pipe will fit into the hole. For those measurements, 
measured depth, not TVD, is used. While the drilling crew should be 
careful to designate which measurement they are referring to, if no 
designation is used, they are usually referring to measured depth. Note 
that measured depth, due to intentional or unintentional curves in the 
wellbore, is always longer than true vertical depth.
    The commenter stated that it would be better to use ``true vertical 
depth'' because the measured vertical depth can overstate actual 
vertical depth because well bores may not be absolutely vertical. Thus, 
measured vertical depth often exceeds the true vertical depth of a well 
bore.
    One commenter stated that the IPAA's proposed definition for ``low 
pressure well'' was based on the weight of fresh water (8.33 lbs/gal) 
which is stacked on top of itself, and is known as hydrostatic 
pressure. Converting the density of fresh water to a pressure gradient 
results in 8.33 lb/gal being equal to 0.433 psi/ft. Therefore, the 
pressure of fresh water in the well bore is 0.433 psi/ft times the 
vertical well depth.
    The commenter added that in reality, the fluid flowing to the 
surface could be fresh water, re-used hydraulic fracturing water, re-
used, produced water, or a mixture. Additionally, in the beginning of 
the operation, the commenter stated that initial fluids flowing to the 
surface are essentially the fracturing fluids put down hole. At the end 
of the operation, the fluids flowing to the surface will mainly consist 
of reservoir fluids, and the water will be more of a brine water and 
not fresh water. The commenter added that brine water has a greater 
density, and more reservoir pressure will be required to lift the fluid 
to the surface. The commenter contended that the use of a fresh water 
gradient of 0.433 psi/ft should be used to keep the definition 
conservative and simple.
    As an alternative, or in addition, to a fresh water gradient, the 
commenter recommended that the density of brine water influenced by 
sand or proppant should be used to more accurately reflect the pressure 
of the water column in the well bore. The commenter pointed out that 
the EPA appears to have utilized a gradient of 0.4645 psi/ft in the 
``Lessons Learned from Natural Gas STAR Partners; Reduced Emissions 
Completions for Hydraulically Fractured Natural Gas Wells'' paper 
developed as a part of the EPA's Natural Gas STAR Program. The 
commenter stated that this is evidenced by the gradients listed in 
Exhibit 5 of the paper. Additionally, to perform a REC, the commenter 
contended that the downhole reservoir pressure must be sufficient 
enough to lift the hydraulic fracturing fluid to the surface and 
through the separation equipment and piping, with the resulting gas 
still having enough backpressure for it to get into the natural gas 
gathering line. According to the commenter, to combust flowback 
emissions the downhole reservoir pressure must be sufficient enough to 
lift the hydraulic fracturing fluid to the surface and through the 
separation equipment and piping, with the resulting gas still having 
enough backpressure to flow to a flare or enclosed combustion device.
    To reflect these realities, the commenter proposed that no emission

[[Page 48267]]

control be required when the following scenario exists:

    A well where the reservoir pressure is less than 0.4645 times 
the vertical depth of the deepest target reservoir.

    At reservoir pressures below this value, the commenter contends 
that insufficient pressure exists for any gas to flow to a flare, 
enclosed combustion device or the process. Consequently, the commenter 
proposes that combustion through a flare or enclosed combustion device 
be required when the following scenario exists:

    A well where the reservoir pressure is less than 0.4645 times 
the vertical depth of the deepest target reservoir plus the 
gathering or sales line pressure.

    At reservoir pressures less than the sum of the water column 
pressure and the sales line pressure, the commenter contended that the 
recovered gas will not naturally flow into the sales line. The 
commenter stated that the proposed rule does not require compression of 
recovered gas into the sales line. The commenter further states that 
the EPA has recognized this type of simpler approach in estimating the 
level of pressure necessary for recovered gas to flow into a gathering 
or sales line in their Gas STAR document cited above. In this Gas STAR 
paper, a table (Exhibit 5) is provided that shows the pressures 
necessary for various well depths. For instance, the commenter pointed 
out that the document indicates that the reservoir pressure necessary 
to flow recovered gas into a sales line for a 10,000-foot well would be 
4,645 psig plus the sales line pressure.
    Response: We agree with the commenters that ``true vertical depth'' 
is more accurate terminology that better represents our intent. 
Although we are not adopting the alternative definitions for the 
reasons presented above, we are amending the current definition of low 
pressure gas well to include ``true vertical depth.''

C. Storage Vessel Requirements

    Comment: One commenter acknowledged the EPA's proposal to remove 
provisions relating to storage vessels ``installed in parallel'' or 
``connected in parallel'' because these provisions ``inadvertently'' 
encompassed storage vessels the Agency did not intend to address. 
However, the commenter contended that the EPA does not identify those 
vessels that it believes were inadvertently covered in the December 
2014 rule, nor does it propose alternative regulatory language that 
would ensure adequate control measures for vessels connected or 
installed in parallel that were intended to be covered under the 
December 2014 rule.
    Given that storage vessels, including those installed or connected 
in parallel, can be significant sources of emissions, the commenter 
opposed the EPA's proposal to simply remove any provisions addressing 
these vessels. Instead of removing all provisions regarding vessels 
installed or connected in parallel, as the Agency proposed, the 
commenter urged the EPA to instead clarify its existing requirements 
for such vessels. The commenter suggested that the EPA could, for 
instance, clarify that pollution control measures apply to storage 
vessels operated in parallel in the relevant regulatory provisions 
addressing storage vessel affected facilities and the definitions of 
``returned to service'' and ``storage vessel.''
    Response: The change to the definition of ``storage vessel'' is 
intended to preserve the original basis on individual storage vessels 
to determine affected facility status, while addressing the potential 
situation where the flow of crude oil, condensate, intermediate 
hydrocarbon liquids, or produced water is divided into two or more 
tanks operated in parallel (i.e., sharing the emissions at the 
correlated fraction of what a single tank would emit). Through comments 
submitted on the March 2015 proposed rule, the public has informed us 
that many storage vessels that are configured in parallel may not be 
operated or constructed to divide their potential to emit continuously, 
if ever. The EPA has now reconsidered our attempt to include storage 
vessels connected in parallel to address the specific situation 
resulting in circumvention. We believe that we do not have sufficient 
data to evaluate the scope of storage vessels that would fall under the 
amended definition and for which we did not intend to cover.
    We believe that we have sufficient provisions under the General 
Provisions at 40 CFR 60.12 ``Circumvention'' to address the specific 
situation where storage vessels are divided into smaller tanks to avoid 
applicability of the rule and which was our intent with the previous 
amended definition. Therefore, we do not believe that our reverting to 
the prior definition of ``storage vessel'' will affect our ability to 
ensure control of these storage vessels. Consequently, as proposed, we 
are finalizing the removal of provisions made in the 2014 amendment 
relating to storage vessels ``installed in parallel'' or ``connected in 
parallel.''

V. Statutory and Executive Order Reviews

    Additional information about these statutes and Executive Orders 
can be found at http://www2.epa.gov/laws-regulations/laws-and-executive-orders.

A. Executive Order 12866: Regulatory Planning and Review and Executive 
Order 13563: Improving Regulation and Regulatory Review

    This action is not a significant regulatory action and was, 
therefore, not submitted to the Office of Management and Budget (OMB) 
for review.

B. Paperwork Reduction Act (PRA)

    This action does not impose an information collection burden under 
the PRA. OMB has previously approved the information collection 
requirements contained in the existing regulations and has assigned OMB 
control number 2060-0673. This action does not change the information 
collection requirements previously finalized and, as a result, does not 
impose any additional burden on industry.

C. Regulatory Flexibility Act (RFA)

    I certify that this action will not have a significant economic 
impact on a substantial number of small entities under the RFA. This 
action will not impose any requirements on small entities. This action 
is a reconsideration of an existing rule and imposes no new impacts or 
costs.

D. Unfunded Mandates Reform Act (UMRA)

    This action does not contain any unfunded mandate as described in 
UMRA, 2 U.S.C. 1531-1538, and does not significantly or uniquely affect 
small governments. The action imposes no enforceable duty on any state, 
local, or tribal governments or the private sector.

E. Executive Order 13132: Federalism

    This action does not have federalism implications. It will not have 
substantial direct effects on the states, on the relationship between 
the national government and the states, or on the distribution of power 
and responsibilities among the various levels of government.

F. Executive Order 13175: Consultation and Coordination With Indian 
Tribal Governments

    This action does not have tribal implications as specified in 
Executive Order 13175. This action is a reconsideration of an existing 
rule and imposes no new impacts or costs. Thus, Executive Order 13175 
does not apply to this action.

[[Page 48268]]

G. Executive Order 13045: Protection of Children From Environmental 
Health Risks and Safety Risks

    The EPA interprets Executive Order 13045 as applying only to those 
regulatory actions that concern environmental health or safety risks 
that the EPA has reason to believe may disproportionately affect 
children, per the definition of ``covered regulatory action'' in 
section 2-202 of the Executive Order. This action is not subject to 
Executive Order 13045 because it does not concern an environmental 
health risk or safety risk.

H. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use

    This action is not subject to Executive Order 13211 because it is 
not a significant regulatory action under Executive Order 12866.

I. National Technology Transfer and Advancement Act (NTTAA)

    This rulemaking does not involve technical standards.

J. Executive Order 12898: Federal Actions To Address Environmental 
Justice in Minority Populations and Low-Income Populations

    The EPA believes the human health or environmental risk addressed 
by this action will not have potential disproportionately high and 
adverse human health or environmental effects on minority, low-income, 
or indigenous populations because it does not affect the level of 
protection provided to human health or the environment. This action is 
a reconsideration of an existing rule and imposes no new impacts or 
costs.

K. Congressional Review Act (CRA)

    This action is subject to the CRA, and the EPA will submit a rule 
report to each House of the Congress and to the Comptroller General of 
the United States. This action is not a ``major rule'' as defined by 5 
U.S.C. 804(2).

List of Subjects in 40 CFR Part 60

    Administrative practice and procedure, Air pollution control, 
Environmental protection, Intergovernmental relations, Reporting and 
recordkeeping.

    Dated: July 31, 2015.
Gina McCarthy,
Administrator.

    For the reasons set out in the preamble, title 40, chapter I of the 
Code of Federal Regulations is amended as follows:

PART 60--STANDARDS OF PERFORMANCE FOR NEW STATIONARY SOURCES

0
1. The authority citation for part 60 continues to read as follows:

    Authority:  42 U.S.C. 7401, et seq.

Subpart OOOO--Standards of Performance for Crude Oil and Natural 
Gas Production, Transmission, and Distribution

0
2. Section 60.5365(e)(4) is revised to read as follows:


Sec.  60.5365   Am I subject to this subpart?

* * * * *
    (e) * * *
    (4) For each new, reconstructed, or modified storage vessel with 
startup, startup of production, or which is returned to service, 
affected facility status is determined as follows: If a storage vessel 
is reconnected to the original source of liquids or is used to replace 
any storage vessel affected facility, it is a storage vessel affected 
facility subject to the same requirements as before being removed from 
service, or applicable to the storage vessel affected facility being 
replaced, immediately upon startup, startup of production, or return to 
service.
* * * * *

0
3. Section 60.5430 is amended by revising the definitions for ``Low 
pressure gas well,'' ``Returned to service,'' and the first three 
sentences in the introductory text of ``Storage vessel'' to read as 
follows:


Sec.  60.5430  What definitions apply to this subpart?

* * * * *
    Low pressure gas well means a well with reservoir pressure and 
vertical well depth such that 0.445 times the reservoir pressure (in 
psia) minus 0.038 times the true vertical well depth (in feet) minus 
67.578 psia is less than the flow line pressure at the sales meter.
* * * * *
    Returned to service means that a Group 1 or Group 2 storage vessel 
affected facility that was removed from service has been:
    (1) Reconnected to the original source of liquids or has been used 
to replace any storage vessel affected facility; or
    (2) Installed in any location covered by this subpart and 
introduced with crude oil, condensate, intermediate hydrocarbon liquids 
or produced water.
* * * * *
    Storage vessel means a tank or other vessel that contains an 
accumulation of crude oil, condensate, intermediate hydrocarbon 
liquids, or produced water, and that is constructed primarily of 
nonearthen materials (such as wood, concrete, steel, fiberglass, or 
plastic) which provide structural support. A well completion vessel 
that receives recovered liquids from a well after startup of production 
following flowback for a period which exceeds 60 days is considered a 
storage vessel under this subpart. A tank or other vessel shall not be 
considered a storage vessel if it has been removed from service in 
accordance with the requirements of Sec.  60.5395(f) until such time as 
such tank or other vessel has been returned to service. * * *
* * * * *
[FR Doc. 2015-19733 Filed 8-11-15; 8:45 am]
 BILLING CODE 6560-50-P



                                                48262              Federal Register / Vol. 80, No. 155 / Wednesday, August 12, 2015 / Rules and Regulations

                                                the U.S. House of Representatives, and                    be challenged later in proceedings to                       Authority: 42.U.S.C. 7401 et seq.
                                                the Comptroller General of the United                     enforce its requirements. See section
                                                States prior to publication of the rule in                307(b)(2).                                              Subpart K—Florida
                                                the Federal Register. A major rule
                                                                                                          List of Subjects in 40 CFR Part 52                      ■  2. Section 52.520(c) is amended under
                                                cannot take effect until 60 days after it
                                                is published in the Federal Register.                       Environmental protection, Air                         Chapter 62–252 by:
                                                This action is not a ‘‘major rule’’ as                    pollution control, Incorporation by
                                                                                                                                                                  ■ a. Removing the entries for ‘‘62–252–
                                                defined by 5 U.S.C. 804(2).                               reference, Ozone, Reporting and
                                                                                                                                                                  .100,’’ ‘‘62–252–.200,’’ ‘‘62–252–.400,’’
                                                   Under section 307(b)(1) of the CAA,                    recordkeeping requirements, Volatile
                                                                                                                                                                  ‘‘62–252–.500,’’ ‘‘62–252–.800’’, and
                                                petitions for judicial review of this                     organic compounds.
                                                                                                                                                                  ‘‘62–252–.900’’ and
                                                action must be filed in the United States                   Dated: July 30, 2015.
                                                                                                                                                                  ■ b. Revising the entry for ‘‘62–252–
                                                Court of Appeals for the appropriate                      Heather McTeer Toney,
                                                circuit by October 13, 2015. Filing a                                                                             .300.’’
                                                                                                          Regional Administrator, Region 4.
                                                petition for reconsideration by the                                                                                  The revision reads as follows:
                                                                                                               40 CFR part 52 is amended as follows:
                                                Administrator of this final rule does not
                                                affect the finality of this action for the                                                                        § 52.520    Identification of plan.
                                                                                                          PART 52—APPROVAL AND
                                                purposes of judicial review nor does it                   PROMULGATION OF                                         *       *    *           *   *
                                                extend the time within which a petition                   IMPLEMENTATION PLANS                                        (c) * * *
                                                for judicial review may be filed, and
                                                shall not postpone the effectiveness of                   ■ 1. The authority citation for part 52
                                                such rule or action. This action may not                  continues to read as follows:

                                                                                                         EPA-APPROVED FLORIDA REGULATIONS
                                                     State citation                                                               State effective
                                                                                               Title/subject                                                EPA approval date                      Explanation
                                                       (Section)                                                                       date


                                                        *                          *                *                                *                       *                        *                   *
                                                62–252.300 ...............   Gasoline Dispensing Facilities Stage I                      5/1/2015     8/12/2015 [Insert    citation       of
                                                                              Vapor Recovery.                                                           publication].

                                                           *                        *                         *                      *                       *                        *                   *



                                                *      *       *       *      *                           connected or installed in parallel and to               number for the EPA Docket Center is
                                                [FR Doc. 2015–19721 Filed 8–11–15; 8:45 am]               revise the definition of ‘‘storage vessel.’’            (202) 566–1742.
                                                BILLING CODE 6560–50–P                                    This action finalizes the definition of                 FOR FURTHER INFORMATION CONTACT:     For
                                                                                                          ‘‘low pressure gas well’’ and the                       further information on this action,
                                                                                                          amendments to the storage vessel                        contact Mr. Matthew Witosky, Sector
                                                ENVIRONMENTAL PROTECTION                                  provisions.
                                                AGENCY                                                                                                            Policies and Programs Division (E143–
                                                                                                          DATES: The final rule is effective on                   05), Office of Air Quality Planning and
                                                40 CFR Part 60                                            August 12, 2015.                                        Standards, Environmental Protection
                                                                                                          ADDRESSES: The EPA has established a                    Agency, Research Triangle Park, North
                                                [EPA–HQ–OAR–2010–0505; FRL–9931–76–                       docket for this rulemaking under Docket                 Carolina 27711, telephone number:
                                                OAR]
                                                                                                          ID Number EPA–HQ–OAR–2010–0505.                         (919) 541–2865; facsimile number: (919)
                                                RIN 2060–AS49                                             All documents in the docket are listed                  541–3470; email address:
                                                                                                          in the www.regulations.gov index.                       witosky.matthew@epa.gov. For further
                                                Oil and Natural Gas Sector: Definitions                   Although listed in the index, some                      information on the EPA’s Oil and
                                                of Low Pressure Gas Well and Storage                      information is not publicly available,                  Natural Gas Sector regulatory program
                                                Vessel                                                    e.g., confidential business information                 for air, contact Mr. Bruce Moore, Sector
                                                AGENCY:  Environmental Protection                         or other information whose disclosure is                Policies and Programs Division (E143–
                                                Agency (EPA).                                             restricted by statute. Certain other                    05), Office of Air Quality Planning and
                                                ACTION: Final rule.                                       material, such as copyrighted material,                 Standards, Environmental Protection
                                                                                                          is not placed on the Internet and will be               Agency, Research Triangle Park, North
                                                SUMMARY:   This action finalizes                          publicly available only in hard copy.                   Carolina 27711, telephone number:
                                                amendments to new source performance                      Publicly available docket materials are                 (919) 541–5460; facsimile number: (919)
                                                standards (NSPS) for the Oil and                          available either electronically in                      541–3470; email address: moore.bruce@
                                                Natural Gas Sector. On March 23, 2015,                    regulations.gov or in hard copy at the                  epa.gov.
                                                the Environmental Protection Agency                       EPA Docket Center, EPA WJC West                         SUPPLEMENTARY INFORMATION:
                                                (EPA) re-proposed its definition of ‘‘low                 Building, Room 3334, 1301 Constitution
                                                pressure gas well’’ for notice and                        Ave. NW., Washington, DC. The Public                    I. General Information
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                                                comment to correct a procedural defect                    Reading Room is open from 8:30 a.m. to                  A. Does this reconsideration action
                                                with its prior rulemaking that included                   4:30 p.m., Monday through Friday,                       apply to me?
                                                this definition. The EPA also proposed                    excluding legal holidays. The telephone
                                                to amend the NSPS to remove                               number for the Public Reading Room is                      Categories and entities potentially
                                                provisions concerning storage vessels                     (202) 566–1744, and the telephone                       affected by this action include:




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                                                                     Federal Register / Vol. 80, No. 155 / Wednesday, August 12, 2015 / Rules and Regulations                                                                                48263

                                                                                                                                                                         NAICS
                                                                                                Category                                                                                                Examples of regulated entities
                                                                                                                                                                         code 1

                                                Industry .......................................................................................................               211111         Crude Petroleum and Natural Gas Extraction.
                                                                                                                                                                               211112         Natural Gas Extraction.
                                                                                                                                                                               221210         Natural Gas Distribution.
                                                                                                                                                                               486110         Pipeline Distribution of Crude Oil.
                                                                                                                                                                               486210         Pipeline Transportation of Natural Gas.
                                                Federal government ...................................................................................             ........................   Not affected.
                                                State/local/tribal government ......................................................................               ........................   Not affected.
                                                   1 North    American Industry Classification System.


                                                   This table is not intended to be                                        of central relevance to the outcome of                                  gas wells using hydraulic fracturing
                                                exhaustive, but rather provides a guide                                    the rule.’’ Any person seeking to make                                  meet the requirements for combustion of
                                                for readers regarding entities likely to be                                such a demonstration to us should                                       flowback emissions and to the general
                                                affected by this action. If you have any                                   submit a Petition for Reconsideration to                                duty to safely maximize resource
                                                questions regarding the applicability of                                   the EPA, Room 3000, EPA WJC West                                        recovery and minimize releases to the
                                                this action to a particular entity, consult                                Building, 1200 Pennsylvania Ave. NW.,                                   atmosphere required under 40 CFR
                                                either the air permitting authority for                                    Washington, DC 20460, with a copy to                                    60.5375(a)(4).
                                                the entity or your EPA regional                                            both the person(s) listed in the                                           The 2012 NSPS includes a definition
                                                representative as listed in 40 CFR 60.4                                    preceding FOR FURTHER INFORMATION                                       of ‘‘low pressure gas well’’ that is based
                                                (General Provisions).                                                      CONTACT section, and the Associate                                      on a mathematical formula that takes
                                                                                                                           General Counsel for the Air and                                         into account a well’s depth, reservoir
                                                B. How do I obtain a copy of this                                          Radiation Law Office, Office of General                                 pressure, and flow line pressure.
                                                document and other related                                                 Counsel (Mail Code 2344A), U.S. EPA,                                    Section 60.5430 defines low pressure
                                                information?                                                               1200 Pennsylvania Ave. NW.,                                             gas well as ‘‘a well with reservoir
                                                   In addition to being available in the                                   Washington, DC 20460.                                                   pressure and vertical well depth such
                                                docket, an electronic copy of this action                                  II. Background                                                          that 0.445 times the reservoir pressure
                                                is available on the World Wide Web                                                                                                                 (in psia) minus 0.038 times the vertical
                                                (WWW). Following signature by the                                          A. Low Pressure Gas Wells                                               well depth (in feet) minus 67.578 psia
                                                EPA Administrator, a copy of this                                             On August 23, 2011 (76 FR 52758),                                    is less than the flow line pressure at the
                                                proposed action will be posted at the                                      the EPA proposed the Oil and Natural                                    sales meter.’’
                                                following address: http://www.epa.gov/                                     Gas Sector NSPS (40 CFR part 60,                                           Following publication of the 2012
                                                airquality/oilandgas/actions.html.                                         subpart OOOO). Among the elements of                                    NSPS, a group of petitioners, led by the
                                                                                                                           the proposed rule were provisions for                                   Independent Petroleum Association of
                                                C. Judicial Review                                                                                                                                 America (IPAA), representing
                                                                                                                           reduced emission completion (REC),
                                                   Under section 307(b)(1) of the Clean                                    also known as ‘‘green completion’’ of                                   independent oil and natural gas owners
                                                Air Act (CAA), judicial review of this                                     hydraulically fractured gas wells. In the                               and operators, submitted a joint petition
                                                final rule is available only by filing a                                   proposal, the EPA solicited comment on                                  for administrative reconsideration of the
                                                petition for review in the United States                                   situations where conducting a REC                                       rule. The petitioners questioned the
                                                Court of Appeals for the District of                                       would be infeasible. Several                                            technical merits of the low pressure
                                                Columbia Circuit by October 13, 2015.                                      commenters highlighted technical                                        well definition and asserted that the
                                                Under section 307(d)(7)(B) of the CAA,                                     issues that prevent the implementation                                  public had not had an opportunity to
                                                only an objection to this final rule that                                  of a REC on what they referred to as                                    comment on the definition because it
                                                was raised with reasonable specificity                                     ‘‘low pressure’’ gas wells because of the                               was added in the final rule.1
                                                during the period for public comment                                       lack of the necessary reservoir pressure                                   On March 24, 2014, the petitioners
                                                can be raised during judicial review.                                      to flow at rates appropriate for the                                    submitted to the EPA a suggested
                                                Moreover, under section 307(b)(2) of the                                   transportation of solids and liquids from                               alternative definition 2 for
                                                CAA, the requirements established in                                       a hydraulically fractured gas well                                      consideration. The petitioners’
                                                this final rule may not be challenged                                      completion against additional                                           definition is based on the fresh water
                                                separately in any civil or criminal                                        backpressure which would be caused by                                   hydrostatic gradient of 0.433 pounds per
                                                proceedings brought by the EPA to                                          the REC equipment. Based on our                                         square inch per foot (psi/ft). The
                                                enforce these requirements. Section                                        analysis of the public comments                                         petitioners assert that this approach is
                                                307(d)(7)(B) of the CAA further provides                                   received, we determined that there are                                  straightforward and has been recognized
                                                that ‘‘[o]nly an objection to a rule or                                    certain wells where a REC is technically                                for many years in the oil and natural gas
                                                procedure which was raised with                                            infeasible because of the characteristics                               industry and by governmental agencies
                                                reasonable specificity during the period                                   of the reservoir and the well depth that                                and professional organizations. As
                                                for public comment (including any                                          will not allow the flowback to overcome                                 expressed in the paper submitted by the
                                                public hearing) may be raised during                                       the gathering system pressure due to the
                                                judicial review.’’ This section also                                       additional backpressure imposed by the                                    1 Letter from James D. Elliott, Spilman, Thomas

                                                provides a mechanism for us to convene                                                                                                             & Battle PLLC, to Lisa P. Jackson, EPA
                                                                                                                           REC surface equipment.
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                                                                                                                                                                                                   Administrator, October 15, 2012; Petition for
                                                a proceeding for reconsideration, ‘‘[i]f                                      On August 16, 2012, the EPA                                          Administrative Reconsideration of Final Rule ‘‘Oil
                                                the person raising an objection can                                        published the final NSPS (77 FR 49490).                                 and Natural Gas Sector: New Source Performance
                                                demonstrate to the EPA that it was                                         Under the 2012 NSPS, a REC is not                                       Standards and National Emission Standards for
                                                impracticable to raise such objection                                      required for well completions of low                                    Hazardous Air Pollutants Reviews,’’ 77 FR 49490
                                                                                                                                                                                                   (August 16, 2012).
                                                within the period for public comment                                       pressure gas wells. Rather, the 2012                                      2 Email from James D. Elliott, Spilman, Thomas
                                                (but within the time specified for                                         final NSPS requires at 40 CFR 60.5375(f)                                & Battle PLLC, to Bruce Moore, EPA, March 24,
                                                judicial review) and if such objection is                                  that well completions of low pressure                                   2014.



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                                                48264            Federal Register / Vol. 80, No. 155 / Wednesday, August 12, 2015 / Rules and Regulations

                                                petitioners, the alternative definition for             the affected facility status of storage               above, we proposed to remove the
                                                consideration by the EPA, as stated by                  vessel affected facilities. The final                 regulatory provisions relative to storage
                                                the petitioners, would be ‘‘a well where                action included amendments related to                 vessels ‘‘installed in parallel’’ or
                                                the field pressure is less than 0.433                   storage vessels ‘‘connected in parallel’’             ‘‘connected in parallel.’’
                                                times the vertical depth of the deepest                 or ‘‘installed in parallel.’’ As we
                                                                                                                                                              III. Summary of Final Amendments
                                                target reservoir and the flow-back period               explained in the final rule preamble (79
                                                will be less than three days in                         FR 79027), ‘‘Although we believe it is an                This section presents a summary of
                                                duration.’’                                             unlikely occurrence, we note that, when               the provisions of the final action with
                                                   On July 17, 2014, the EPA proposed                   two or more storage vessels receive                   brief explanations where appropriate. In
                                                clarifying amendments to the gas well                   liquids in parallel, the total throughput             some cases, additional detailed
                                                completion provisions of the NSPS. In                   is shared between or among the parallel               discussions are provided in section IV
                                                the July proposal, we re-proposed the                   vessels and, in turn, this causes the PTE             and V of this preamble, as well as the
                                                definition of ‘‘low pressure gas well’’ for             of each vessel to be a fraction of the total          Response to Comment document. The
                                                notice and comment. We also discussed                   PTE.’’ To address such isolated                       final amendments include revisions to
                                                the alternative definition provided by                  occurrences where storage vessels are                 certain reconsidered aspects of the 2012
                                                the IPAA. Specifically, we expressed                    installed or connected to reduce the                  NSPS as follows: (1) Definition of ‘‘low
                                                concern that the IPAA alternative                       potential to emit (PTE) and, therefore,               pressure gas well’’; (2) definition of
                                                definition is too simplistic and may not                avoid being subject to 40 CFR part 60,                ‘‘returned to service’’; (3) definition of
                                                adequately account for the parameters                   subpart OOOO, we amended the NSPS                     ‘‘storage vessel’’; (4) revision of 40 CFR
                                                that must be considered when                            to address situations in which two or                 60.5365(e)(4) to remove the phrases ‘‘or
                                                determining whether a REC would be                      more storage vessels could be installed               is installed in parallel with any storage
                                                feasible for a given hydraulically                      or connected in parallel which could, in              vessel affected facility,’’ and ‘‘or with
                                                fractured gas well. We expressed                        some cases, lower the PTE of the                      which it is installed in parallel.’’
                                                disagreement with the petitioners’                      individual storage vessels to levels
                                                assertion that the EPA definition is too                                                                      A. Low Pressure Gas Wells
                                                                                                        below the 6 tons per year (tpy)
                                                complicated and that it would pose                      applicability threshold provided in 40                   The EPA is finalizing its definition of
                                                difficulty or hardship for smaller                      CFR 60.5365(e). Specifically, we                      ‘‘low pressure gas well.’’ For the
                                                operators. However, we agreed with the                  amended 40 CFR 60.5365(e)(4) to                       purposes of 40 CFR part 60, subpart
                                                petitioners that the public should have                 provide that a storage vessel that is                 OOOO, our definition of low pressure
                                                been provided an opportunity to                         being placed into service, and is                     gas well is for a singular purpose—to
                                                comment on the 2012 definition of ‘‘low                 connected in parallel with a storage                  identify the wells that cannot
                                                pressure gas well,’’ and we, therefore,                 vessel affected facility, is immediately              implement a REC because of a lack of
                                                re-proposed the 2012 definition for                     subject to the same requirements as the               necessary reservoir pressure to flow gas
                                                notice and comment. In addition, we                     affected facility with which it is being              at rates appropriate for the
                                                solicited comment on the alternative                    connected in parallel. We also amended                transportation of solids and liquids from
                                                definition suggested by the petitioners.                the definitions for ‘‘returned to service’’           a hydraulically fractured gas well
                                                   On August 18, 2014, prior to the close                                                                     against additional backpressure that
                                                                                                        and ‘‘storage vessel’’ in 40 CFR 60.5430
                                                of the public comment period for the                                                                          would be caused by the REC equipment,
                                                                                                        to provide that two or more storage
                                                July 17, 2014, proposal, the IPAA, on                                                                         thereby making a REC infeasible (80 FR
                                                                                                        vessels connected in parallel are
                                                behalf of the independent oil and                                                                             15182).
                                                                                                        considered equivalent to a single storage
                                                natural gas owner and operator                                                                                   In response to comments, we are
                                                                                                        vessel with throughput equal to the total
                                                petitioners, submitted a comment to the                                                                       amending the definition of ‘‘low
                                                                                                        throughput of the storage vessels
                                                EPA via the email address to the Air and                                                                      pressure gas well’’ in this final action by
                                                                                                        connected in parallel.
                                                Radiation Docket provided in the                                                                              changing ‘‘vertical depth’’ to ‘‘true
                                                proposed rule.                                             Following publication of the                       vertical depth.’’ This change more
                                                   The EPA published final amendments                   December 2014 final rule, we became                   accurately reflects our intent when
                                                in the Federal Register at 79 FR 79018                  aware that the terms ‘‘connected in                   formulating the definition of ‘‘low
                                                on December 31, 2014, which finalized                   parallel’’ and ‘‘installed in parallel’’              pressure gas well.’’
                                                the definition of ‘‘low pressure gas                    inadvertently included storage vessels
                                                well’’ unchanged from the 2012                          beyond those we attempted to address                  B. Storage Vessels Connected in Parallel
                                                definition. Subsequent to the December                  as described above. On February 19,                      The EPA is revising the definition of
                                                31, 2014, publication of the final                      2015, the Gas Processors Association                  ‘‘storage vessel’’ to remove references to
                                                amendments, the EPA became aware                        (GPA) submitted a petition for                        ‘‘connected in parallel’’ and ‘‘installed
                                                that the comment submitted by the                       administrative reconsideration of the                 in parallel’’ from the current definition,
                                                IPAA was not made part of the record                    December 31, 2014, amendments. The                    and making associated changes to 40
                                                in the docket and, thus, was not                        GPA asserted that ‘‘it is quite common                CFR 60.5365(e)(4). We are not making
                                                available to be considered by the EPA in                for multiple storage vessels to be                    any changes to the proposed definition
                                                its decision-making process prior to                    situated next to each other and                       of ‘‘storage vessel.’’
                                                finalizing the amendments. On March                     connected in parallel. Sometimes the
                                                                                                        storage vessels are operated in parallel,             IV. Significant Changes Since Proposal
                                                23, 2015 (80 FR 15180), the EPA re-
                                                proposed the definition of ‘‘low                        sometimes they are operated in series,                   There is only one significant change
                                                pressure gas well’’, and took comment                   and sometimes they are operated one-at-               since proposal, which is to refer to ‘‘true
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                                                on IPAA’s alternative definition to                     a-time with the connecting valves                     vertical depth’’ (instead of ‘‘vertical
                                                correct the procedural defect.                          closed.’’ The GPA further asserted that               depth’’) in the definition of ‘‘low
                                                                                                        this configuration has existed for                    pressure gas well.’’ Several commenters
                                                B. Storage Vessels Connected in Parallel                decades and that ‘‘this language                      took issue that the proposal definition of
                                                  In the December 31, 2014, final rule,                 potentially has large impacts to how our              ‘‘low pressure gas well’’ does not take
                                                the EPA finalized amendments to the                     members evaluate affected facility                    into account the ‘‘true vertical depth’’ of
                                                NSPS to address, among other issues,                    status.’’ For the reasons discussed                   the well, as the ‘‘vertical depth’’ of the


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                                                                 Federal Register / Vol. 80, No. 155 / Wednesday, August 12, 2015 / Rules and Regulations                                      48265

                                                well can overstate actual vertical depth                2015 re-proposal of the ‘‘low pressure                about a quarter of the wells as low
                                                because well bores may not be                           gas well’’ definition, the EPA did not                pressure.
                                                absolutely vertical. The commenters                     propose or otherwise contempt                            The commenter further stated that the
                                                concluded that measured vertical depth                  exempting well completions from                       permeability of the reservoir and other
                                                often exceeds the true vertical depth of                performing REC for reasons beyond                     reservoir characteristics play a critical
                                                a well bore. The commenters believe                     technical infeasibility. This request is              role in determining when a well is low
                                                this is an important distinction,                       thus beyond the purpose and scope of                  pressure well or under-pressured. In
                                                especially for directional or horizontal                this re-proposal, which is to provide a               addition to overcoming the hydrostatic
                                                wells, that should be clarified in the                  low pressure well definition that would               pressure and sale line pressure, the
                                                definition.                                             accurately describe wells for which REC               separator necessary for the REC adds to
                                                   We agree with the commenters that                    is technically infeasible due to low                  the pressure which must be overcome
                                                ‘‘true vertical depth’’ is more accurate                pressure and, therefore, exempt from the              for gas to flow from the reservoir. The
                                                terminology that better represents our                  REC requirements under 40 CFR part 60,                commenter stated that the separator
                                                intent. In light of the above                           subpart OOOO.                                         pressure is arguably the controlling
                                                considerations, we are amending the                        Comment: Several commenters                        parameter on when a REC is feasible
                                                definition of ‘‘low pressure gas well’’ in              expressed support for the alternative                 versus the sales line pressure. Unlike
                                                this action by changing ‘‘vertical depth’’              definition of ‘‘low pressure gas well’’               the sales line pressure, which is easily
                                                to ‘‘true vertical depth.’’                             provided by IPAA as being more                        known, the commenter contended that
                                                                                                        representative of current industry                    the separator pressure can vary greatly
                                                V. Summary of Significant Comments
                                                                                                        practice of defining these wells.                     depending on gas and liquid rates,
                                                and Responses                                              According to one commenter, the                    liquid composition, and equipment
                                                  This section summarizes the                           alternative definition is based on the                limitations. The commenter pointed out
                                                significant comments on our proposed                    fresh water gradient, is widely used in               that the EPA’s definition does not take
                                                amendments and our responses.                           industry, and appropriately describes                 separator pressure into account, thereby
                                                A. Definition of ‘‘Low Pressure Gas                     the well conditions where installation of             making the definition overly
                                                Well’’                                                  REC equipment is impractical. The                     conservative. The commenter admitted
                                                                                                        commenter stated that the fresh water                 that the alternative definition does not
                                                   Comment: One commenter noted that                    gradient (i.e., 0.433 psi/ft or 8.33                  contain an adjustment for separator
                                                the EPA’s defense of the low pressure                   pounds(lbs)/gallon (gal) × 0.052 × True               pressure either, but the definition is
                                                well definition focuses on the level of                 Vertical Depth (TVD)) represents                      more accurate and is inclusive of wells
                                                burden the definition imposes on the                    normally pressured wells based on the                 recognized by the industry as ‘‘low
                                                industry. The commenter contended                       hydrostatic overhead pressure of fresh                pressure.’’
                                                that the EPA is missing the point with                  water that increases linearly with TVD.                  In addition to the pressure associated
                                                this response. The commenter                            If reservoir pressure is less than the                with the separator, the commenter
                                                contended that their concern is not the                 hydrostatic pressure of water, the well               stated that in order for a separator to
                                                hardship imposed by the calculation                     will not flow on its own because of the               function, there must be a sufficient
                                                required by the definition but rather that              overhead pressure of fracture fluids in               volume of gas (at appropriate pressure)
                                                the definition does not accurately depict               the wellbore that will be higher than the             to lift the associated liquids and
                                                what historically has been considered to                reservoir pressure which may make REC                 overcome the pressure of the separator.
                                                be a low pressure gas well. Thus,                       equipment impractical. The commenter                  The commenter added that if that gas
                                                according to the commenter, the current                 added that whether a well’s productive                rate is not achieved, the well will load
                                                definition would require RECs to be                     reservoir pressure is above or below the              up and a REC will not be possible.
                                                performed on marginally cost-effective                  water gradient may be readily confirmed               According to the commenter, the gas
                                                wells.                                                  by reading offset reservoir pressure data             rate necessary for a REC varies based on
                                                   Response: In the 2012 rulemaking,                    in the development field or by                        reservoir pressure and casing/tubing
                                                EPA concluded that the BSER for well                    evaluating certain wireline well logs                 diameter. The commenter provided a
                                                completion was a combination of REC                     that may be run after drilling a well                 graph of Coleman curves to illustrate
                                                and combustion; however, in response                    before well completion begins.                        this point, which illustrates that as the
                                                to comment that REC is not technically                     Another commenter stated that the                  pressure and casing diameter increase,
                                                feasible for ‘‘low pressure gas wells’’                 EPA’s current definition does not                     so must the gas rate.
                                                due to the inability of such wells to                   accurately define what industry has                      Response: The EPA believes that the
                                                attain a gas velocity sufficient to clean               historically defined and recognized as a              alternative definition of ‘‘low pressure
                                                up the well when flowing against the                    low pressure well. According to the                   gas well,’’ based only on fresh water
                                                backpressure imposed by the surface                     commenter, because EPA’s definition                   gradient, may not adequately account
                                                equipment and the flow line pressure,                   does not accurately delineate low                     for the parameters that must be taken
                                                the EPA exempted ‘‘low pressure gas                     pressure wells, the current definition                into account when determining whether
                                                wells’’ from REC in the 2012 NSPS. The                  will subject a subset of wells to RECs                a REC would be feasible for a given
                                                EPA subsequently re-proposed its ‘‘low                  where the operation of a separator is not             hydraulically fractured gas well. We
                                                pressure gas well’’ definition in                       physically possible, thereby making the               believe that, to determine whether the
                                                response to an administrative petition                  wells uneconomical as a result of being               flowback gas has sufficient pressure to
                                                that notice or an opportunity to                        subject to REC requirements. The                      flow into a flow line, it is necessary to
                                                comment was not provided for the                        commenter included a table showing                    account for reservoir pressure, well
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                                                EPA’s 2012 definition of ‘‘low pressure                 the values calculated using the EPA’s                 depth, and flow line pressure. In
                                                gas well.’’ However, rather than                        definition for various well depths and                addition, it is important for any such
                                                commenting on parameters for defining                   flow line pressures. According to the                 determination to take into account
                                                ‘‘technical infeasibility’’ to implement                commenter, the alternate definition                   pressure losses in the surface equipment
                                                REC, the commenter asks the EPA to                      would classify all of the values in the               used to perform the REC. The EPA’s
                                                consider other burdens and hardships in                 table as a low pressure well, while the               definition in the proposed rule was
                                                defining ‘‘low pressure wells.’’ In the                 EPA’s definition would only consider                  developed to account for these factors.


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                                                48266            Federal Register / Vol. 80, No. 155 / Wednesday, August 12, 2015 / Rules and Regulations

                                                   The EPA agrees that there must be a                  clear that a REC is not technically                      One commenter stated that the IPAA’s
                                                sufficient volumetric flow of gas (caused               infeasible for all of the wells that the              proposed definition for ‘‘low pressure
                                                by adequate reservoir pressure) to lift                 industry has historically considered to               well’’ was based on the weight of fresh
                                                the associated liquids and overcome the                 be ‘‘low pressure wells.’’                            water (8.33 lbs/gal) which is stacked on
                                                pressure of the separator, enabling the                                                                       top of itself, and is known as hydrostatic
                                                gas to be collected (i.e., enter the flow               B. Revisions to the Alternate Definition
                                                                                                                                                              pressure. Converting the density of fresh
                                                line). However, the EPA disagrees that                    Comment: One commenter stated that                  water to a pressure gradient results in
                                                the current definition, which we re-                    the alternative definition should also be             8.33 lb/gal being equal to 0.433 psi/ft.
                                                proposed for notice and comment, does                   clarified to state ‘‘where field reservoir            Therefore, the pressure of fresh water in
                                                not take into account the additional                    pressure is less than 0.433 times the true            the well bore is 0.433 psi/ft times the
                                                backpressure caused by the REC                          vertical depth of the reservoir.’’                    vertical well depth.
                                                equipment, including a separator. The                   According to the commenter, referring                    The commenter added that in reality,
                                                model uses an energy balance to                         to reservoir pressure adds clarity and                the fluid flowing to the surface could be
                                                determine the pressure drop based on                    true vertical depth is a well-known                   fresh water, re-used hydraulic fracturing
                                                the calculated velocity, and then the                   standard term in the industry to                      water, re-used, produced water, or a
                                                model accounts for pressure losses                      differentiate from ‘‘measured depth,’’                mixture. Additionally, in the beginning
                                                caused by REC equipment, including                      where measured depth is the length of                 of the operation, the commenter stated
                                                the separator. The result of the model is               the well. The commenters stated this is               that initial fluids flowing to the surface
                                                a prediction of the pressure of the                     an important distinction, especially for              are essentially the fracturing fluids put
                                                flowback gas immediately before it                      directional or horizontal wells, that                 down hole. At the end of the operation,
                                                enters the flow line. The result can be                 should be clarified in the low pressure               the fluids flowing to the surface will
                                                compared to the actual flow line                        well definition.                                      mainly consist of reservoir fluids, and
                                                pressure available to the well. For wells                 Another commenter similarly                         the water will be more of a brine water
                                                with insufficient pressure to produce                   suggested that instead of defining the                and not fresh water. The commenter
                                                into the flow line, as predicted using the              term ‘‘low pressure gas well’’ in terms               added that brine water has a greater
                                                EPA equation, combustion must be used                   of the ‘‘vertical depth’’ of the deepest              density, and more reservoir pressure
                                                to control emissions. For wells with                    target reservoir, it should instead by                will be required to lift the fluid to the
                                                sufficient pressure to produce into the                 defined in terms of the ‘‘true vertical               surface. The commenter contended that
                                                flow line, gas capture in combination                   depth.’’ The commenter cited to the                   the use of a fresh water gradient of 0.433
                                                with combustion must be used to                         Schlumberger online Oil Field Glossary,               psi/ft should be used to keep the
                                                control emissions.                                      which defines ‘‘true vertical depth’’ as              definition conservative and simple.
                                                   According to some of the commenters,
                                                                                                        follows:                                                 As an alternative, or in addition, to a
                                                the EPA’s definition of low pressure gas
                                                                                                          The vertical distance from a point in               fresh water gradient, the commenter
                                                well should be revised because it does
                                                                                                        the well (usually the current or final                recommended that the density of brine
                                                not comport with what the industry has
                                                historically considered to be a low                     depth) to a point at the surface, usually             water influenced by sand or proppant
                                                pressure gas well. We are not making a                  the elevation of the rotary kelly bushing             should be used to more accurately
                                                determination on the similarity of the                  (RKB). This is one of two primary depth               reflect the pressure of the water column
                                                two definitions because we do not                       measurements used by the drillers, the                in the well bore. The commenter
                                                believe that the two must be the same                   other being measured depth. TVD is                    pointed out that the EPA appears to
                                                for purposes of the Oil and Gas NSPS.                   important in determining bottomhole                   have utilized a gradient of 0.4645 psi/
                                                The EPA has provided a definition of                    pressures, which are caused in part by                ft in the ‘‘Lessons Learned from Natural
                                                ‘‘low pressure gas well’’ in the NSPS in                the hydrostatic head of fluid in the                  Gas STAR Partners; Reduced Emissions
                                                order to designate a class of wells where               wellbore. For this calculation, measured              Completions for Hydraulically
                                                a REC is not technically feasible. Our                  depth is irrelevant and TVD must be                   Fractured Natural Gas Wells’’ paper
                                                definition of ‘‘low pressure gas well’’ in              used. For most other operations, the                  developed as a part of the EPA’s Natural
                                                the NSPS is for a singular purpose—to                   driller is interested in the length of the            Gas STAR Program. The commenter
                                                identify the wells that cannot                          hole or how much pipe will fit into the               stated that this is evidenced by the
                                                implement a REC because of a lack of                    hole. For those measurements,                         gradients listed in Exhibit 5 of the
                                                necessary reservoir pressure to flow gas                measured depth, not TVD, is used.                     paper. Additionally, to perform a REC,
                                                at rates appropriate for the                            While the drilling crew should be                     the commenter contended that the
                                                transportation of solids and liquids from               careful to designate which measurement                downhole reservoir pressure must be
                                                a hydraulically fractured gas well                      they are referring to, if no designation is           sufficient enough to lift the hydraulic
                                                during flowback against additional                      used, they are usually referring to                   fracturing fluid to the surface and
                                                backpressure which would be caused by                   measured depth. Note that measured                    through the separation equipment and
                                                the REC equipment, thereby making a                     depth, due to intentional or                          piping, with the resulting gas still
                                                REC technically infeasible (80 FR                       unintentional curves in the wellbore, is              having enough backpressure for it to get
                                                15182). To the extent that the industry                 always longer than true vertical depth.               into the natural gas gathering line.
                                                definition is different from the EPA                      The commenter stated that it would                  According to the commenter, to
                                                definition, the industry likely defines a               be better to use ‘‘true vertical depth’’              combust flowback emissions the
                                                particular well as being low pressure for               because the measured vertical depth can               downhole reservoir pressure must be
                                                a variety of reasons.3 As such, it is not               overstate actual vertical depth because               sufficient enough to lift the hydraulic
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                                                                                                        well bores may not be absolutely                      fracturing fluid to the surface and
                                                  3 ‘‘USEPA’s proposed low pressure well                vertical. Thus, measured vertical depth               through the separation equipment and
                                                definition forces controls on a segment of the          often exceeds the true vertical depth of              piping, with the resulting gas still
                                                industry that have no or minimal beneficial impact      a well bore.                                          having enough backpressure to flow to
                                                on the environment while imposing significant                                                                 a flare or enclosed combustion device.
                                                additional costs that will make drilling and
                                                operating such wells uneconomical.’’ (James Elliott,    Independent Petroleum Association of America et          To reflect these realities, the
                                                Spilman Thomas & Battle, PLLC, on behalf of             al., August 8, 2014)                                  commenter proposed that no emission


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                                                                 Federal Register / Vol. 80, No. 155 / Wednesday, August 12, 2015 / Rules and Regulations                                        48267

                                                control be required when the following                  to be covered under the December 2014                 V. Statutory and Executive Order
                                                scenario exists:                                        rule.                                                 Reviews
                                                  A well where the reservoir pressure is less              Given that storage vessels, including                Additional information about these
                                                than 0.4645 times the vertical depth of the             those installed or connected in parallel,             statutes and Executive Orders can be
                                                deepest target reservoir.                               can be significant sources of emissions,              found at http://www2.epa.gov/laws-
                                                  At reservoir pressures below this                     the commenter opposed the EPA’s                       regulations/laws-and-executive-orders.
                                                value, the commenter contends that                      proposal to simply remove any                         A. Executive Order 12866: Regulatory
                                                insufficient pressure exists for any gas                provisions addressing these vessels.                  Planning and Review and Executive
                                                to flow to a flare, enclosed combustion                 Instead of removing all provisions                    Order 13563: Improving Regulation and
                                                device or the process. Consequently, the                regarding vessels installed or connected              Regulatory Review
                                                commenter proposes that combustion                      in parallel, as the Agency proposed, the
                                                through a flare or enclosed combustion                  commenter urged the EPA to instead                      This action is not a significant
                                                device be required when the following                   clarify its existing requirements for such            regulatory action and was, therefore, not
                                                scenario exists:                                        vessels. The commenter suggested that                 submitted to the Office of Management
                                                  A well where the reservoir pressure is less           the EPA could, for instance, clarify that             and Budget (OMB) for review.
                                                than 0.4645 times the vertical depth of the             pollution control measures apply to                   B. Paperwork Reduction Act (PRA)
                                                deepest target reservoir plus the gathering or          storage vessels operated in parallel in
                                                sales line pressure.                                                                                            This action does not impose an
                                                                                                        the relevant regulatory provisions
                                                                                                                                                              information collection burden under the
                                                   At reservoir pressures less than the                 addressing storage vessel affected                    PRA. OMB has previously approved the
                                                sum of the water column pressure and                    facilities and the definitions of                     information collection requirements
                                                the sales line pressure, the commenter                  ‘‘returned to service’’ and ‘‘storage                 contained in the existing regulations
                                                contended that the recovered gas will                   vessel.’’                                             and has assigned OMB control number
                                                not naturally flow into the sales line.                    Response: The change to the                        2060–0673. This action does not change
                                                The commenter stated that the proposed                  definition of ‘‘storage vessel’’ is                   the information collection requirements
                                                rule does not require compression of                    intended to preserve the original basis               previously finalized and, as a result,
                                                recovered gas into the sales line. The                  on individual storage vessels to                      does not impose any additional burden
                                                commenter further states that the EPA                   determine affected facility status, while             on industry.
                                                has recognized this type of simpler                     addressing the potential situation where
                                                approach in estimating the level of                                                                           C. Regulatory Flexibility Act (RFA)
                                                                                                        the flow of crude oil, condensate,
                                                pressure necessary for recovered gas to                 intermediate hydrocarbon liquids, or                     I certify that this action will not have
                                                flow into a gathering or sales line in                  produced water is divided into two or                 a significant economic impact on a
                                                their Gas STAR document cited above.                    more tanks operated in parallel (i.e.,                substantial number of small entities
                                                In this Gas STAR paper, a table (Exhibit                sharing the emissions at the correlated               under the RFA. This action will not
                                                5) is provided that shows the pressures                 fraction of what a single tank would                  impose any requirements on small
                                                necessary for various well depths. For                  emit). Through comments submitted on                  entities. This action is a reconsideration
                                                instance, the commenter pointed out                     the March 2015 proposed rule, the                     of an existing rule and imposes no new
                                                that the document indicates that the                    public has informed us that many                      impacts or costs.
                                                reservoir pressure necessary to flow                    storage vessels that are configured in
                                                recovered gas into a sales line for a                                                                         D. Unfunded Mandates Reform Act
                                                                                                        parallel may not be operated or                       (UMRA)
                                                10,000-foot well would be 4,645 psig                    constructed to divide their potential to
                                                plus the sales line pressure.                           emit continuously, if ever. The EPA has                  This action does not contain any
                                                   Response: We agree with the                                                                                unfunded mandate as described in
                                                                                                        now reconsidered our attempt to
                                                commenters that ‘‘true vertical depth’’ is                                                                    UMRA, 2 U.S.C. 1531–1538, and does
                                                                                                        include storage vessels connected in
                                                more accurate terminology that better                                                                         not significantly or uniquely affect small
                                                                                                        parallel to address the specific situation
                                                represents our intent. Although we are                                                                        governments. The action imposes no
                                                                                                        resulting in circumvention. We believe
                                                not adopting the alternative definitions                                                                      enforceable duty on any state, local, or
                                                                                                        that we do not have sufficient data to
                                                for the reasons presented above, we are                                                                       tribal governments or the private sector.
                                                                                                        evaluate the scope of storage vessels that
                                                amending the current definition of low
                                                                                                        would fall under the amended                          E. Executive Order 13132: Federalism
                                                pressure gas well to include ‘‘true
                                                                                                        definition and for which we did not
                                                vertical depth.’’                                                                                               This action does not have federalism
                                                                                                        intend to cover.
                                                                                                                                                              implications. It will not have substantial
                                                C. Storage Vessel Requirements                             We believe that we have sufficient                 direct effects on the states, on the
                                                   Comment: One commenter                               provisions under the General Provisions               relationship between the national
                                                acknowledged the EPA’s proposal to                      at 40 CFR 60.12 ‘‘Circumvention’’ to                  government and the states, or on the
                                                remove provisions relating to storage                   address the specific situation where                  distribution of power and
                                                vessels ‘‘installed in parallel’’ or                    storage vessels are divided into smaller              responsibilities among the various
                                                ‘‘connected in parallel’’ because these                 tanks to avoid applicability of the rule              levels of government.
                                                provisions ‘‘inadvertently’’                            and which was our intent with the
                                                encompassed storage vessels the Agency                  previous amended definition. Therefore,               F. Executive Order 13175: Consultation
                                                did not intend to address. However, the                 we do not believe that our reverting to               and Coordination With Indian Tribal
                                                commenter contended that the EPA                        the prior definition of ‘‘storage vessel’’            Governments
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                                                does not identify those vessels that it                 will affect our ability to ensure control               This action does not have tribal
                                                believes were inadvertently covered in                  of these storage vessels. Consequently,               implications as specified in Executive
                                                the December 2014 rule, nor does it                     as proposed, we are finalizing the                    Order 13175. This action is a
                                                propose alternative regulatory language                 removal of provisions made in the 2014                reconsideration of an existing rule and
                                                that would ensure adequate control                      amendment relating to storage vessels                 imposes no new impacts or costs. Thus,
                                                measures for vessels connected or                       ‘‘installed in parallel’’ or ‘‘connected in           Executive Order 13175 does not apply
                                                installed in parallel that were intended                parallel.’’                                           to this action.


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                                                48268            Federal Register / Vol. 80, No. 155 / Wednesday, August 12, 2015 / Rules and Regulations

                                                G. Executive Order 13045: Protection of                 PART 60—STANDARDS OF                                  and that is constructed primarily of
                                                Children From Environmental Health                      PERFORMANCE FOR NEW                                   nonearthen materials (such as wood,
                                                Risks and Safety Risks                                  STATIONARY SOURCES                                    concrete, steel, fiberglass, or plastic)
                                                  The EPA interprets Executive Order                                                                          which provide structural support. A
                                                                                                        ■ 1. The authority citation for part 60               well completion vessel that receives
                                                13045 as applying only to those
                                                                                                        continues to read as follows:                         recovered liquids from a well after
                                                regulatory actions that concern
                                                environmental health or safety risks that                   Authority: 42 U.S.C. 7401, et seq.                startup of production following
                                                the EPA has reason to believe may                                                                             flowback for a period which exceeds 60
                                                disproportionately affect children, per                 Subpart OOOO—Standards of                             days is considered a storage vessel
                                                the definition of ‘‘covered regulatory                  Performance for Crude Oil and Natural                 under this subpart. A tank or other
                                                action’’ in section 2–202 of the                        Gas Production, Transmission, and                     vessel shall not be considered a storage
                                                Executive Order. This action is not                     Distribution                                          vessel if it has been removed from
                                                subject to Executive Order 13045                                                                              service in accordance with the
                                                                                                        ■ 2. Section 60.5365(e)(4) is revised to              requirements of § 60.5395(f) until such
                                                because it does not concern an                          read as follows:
                                                environmental health risk or safety risk.                                                                     time as such tank or other vessel has
                                                                                                        § 60.5365    Am I subject to this subpart?            been returned to service. * * *
                                                H. Executive Order 13211: Actions                                                                             *     *      *     *    *
                                                Concerning Regulations That                             *      *      *      *    *
                                                                                                          (e) * * *                                           [FR Doc. 2015–19733 Filed 8–11–15; 8:45 am]
                                                Significantly Affect Energy Supply,                       (4) For each new, reconstructed, or                 BILLING CODE 6560–50–P
                                                Distribution, or Use                                    modified storage vessel with startup,
                                                  This action is not subject to Executive               startup of production, or which is
                                                Order 13211 because it is not a                         returned to service, affected facility                DEPARTMENT OF HEALTH AND
                                                significant regulatory action under                     status is determined as follows: If a                 HUMAN SERVICES
                                                Executive Order 12866.                                  storage vessel is reconnected to the
                                                                                                        original source of liquids or is used to              42 CFR Part 84
                                                I. National Technology Transfer and
                                                Advancement Act (NTTAA)                                 replace any storage vessel affected                   [Docket Number CDC–2015–0004; NIOSH–
                                                                                                        facility, it is a storage vessel affected             280]
                                                   This rulemaking does not involve                     facility subject to the same requirements
                                                technical standards.                                    as before being removed from service, or              RIN 0920–AA60
                                                J. Executive Order 12898: Federal                       applicable to the storage vessel affected
                                                                                                        facility being replaced, immediately                  Closed-Circuit Escape Respirators;
                                                Actions To Address Environmental                                                                              Extension of Transition Period
                                                Justice in Minority Populations and                     upon startup, startup of production, or
                                                Low-Income Populations                                  return to service.                                    AGENCY:  Centers for Disease Control and
                                                   The EPA believes the human health or                 *      *      *      *    *                           Prevention, HHS.
                                                environmental risk addressed by this                    ■ 3. Section 60.5430 is amended by                    ACTION: Final rule.
                                                action will not have potential                          revising the definitions for ‘‘Low
                                                disproportionately high and adverse                     pressure gas well,’’ ‘‘Returned to                    SUMMARY:    In March 2012, the
                                                human health or environmental effects                   service,’’ and the first three sentences in           Department of Health and Human
                                                on minority, low-income, or indigenous                  the introductory text of ‘‘Storage vessel’’           Services (HHS) published a final rule
                                                populations because it does not affect                  to read as follows:                                   establishing a new standard for the
                                                the level of protection provided to                                                                           certification of closed-circuit escape
                                                                                                        § 60.5430    What definitions apply to this           respirators (CCERs) by the National
                                                human health or the environment. This                   subpart?
                                                action is a reconsideration of an existing                                                                    Institute for Occupational Safety and
                                                                                                        *      *     *     *     *                            Health (NIOSH) within the Centers for
                                                rule and imposes no new impacts or                         Low pressure gas well means a well
                                                costs.                                                                                                        Disease Control and Prevention (CDC).
                                                                                                        with reservoir pressure and vertical well             The new standard was originally
                                                K. Congressional Review Act (CRA)                       depth such that 0.445 times the                       designed to take effect over a 3-year
                                                                                                        reservoir pressure (in psia) minus 0.038              transition period. HHS has determined
                                                  This action is subject to the CRA, and
                                                                                                        times the true vertical well depth (in                that extending the concluding date for
                                                the EPA will submit a rule report to
                                                                                                        feet) minus 67.578 psia is less than the              the transition is necessary to allow
                                                each House of the Congress and to the
                                                                                                        flow line pressure at the sales meter.                sufficient time for respirator
                                                Comptroller General of the United
                                                States. This action is not a ‘‘major rule’’             *      *     *     *     *                            manufacturers to meet the demands of
                                                as defined by 5 U.S.C. 804(2).                             Returned to service means that a                   the mining, maritime, railroad and other
                                                                                                        Group 1 or Group 2 storage vessel                     industries. Pursuant to this final action,
                                                List of Subjects in 40 CFR Part 60                      affected facility that was removed from               NIOSH extends the phase-in period
                                                  Administrative practice and                           service has been:                                     until 1 year after the date that the first
                                                procedure, Air pollution control,                          (1) Reconnected to the original source             approval is granted to certain CCER
                                                Environmental protection,                               of liquids or has been used to replace                models.
                                                Intergovernmental relations, Reporting                  any storage vessel affected facility; or
                                                                                                           (2) Installed in any location covered              DATES: This rule is effective on August
                                                and recordkeeping.                                                                                            12, 2015.
                                                                                                        by this subpart and introduced with
mstockstill on DSK4VPTVN1PROD with RULES




                                                  Dated: July 31, 2015.                                 crude oil, condensate, intermediate                   FOR FURTHER INFORMATION CONTACT:
                                                Gina McCarthy,                                          hydrocarbon liquids or produced water.                Rachel Weiss, Program Analyst; 1090
                                                Administrator.                                          *      *     *     *     *                            Tusculum Avenue, MS: C–46,
                                                  For the reasons set out in the                           Storage vessel means a tank or other               Cincinnati, OH 45226; telephone (855)
                                                preamble, title 40, chapter I of the Code               vessel that contains an accumulation of               818–1629 (this is a toll-free number);
                                                of Federal Regulations is amended as                    crude oil, condensate, intermediate                   email NIOSHregs@cdc.gov.
                                                follows:                                                hydrocarbon liquids, or produced water,               SUPPLEMENTARY INFORMATION:



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Document Created: 2016-09-27 22:27:06
Document Modified: 2016-09-27 22:27:06
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesThe final rule is effective on August 12, 2015.
ContactFor further information on this action, contact Mr. Matthew Witosky, Sector Policies and Programs Division (E143-05), Office of Air Quality Planning and Standards, Environmental Protection Agency, Research Triangle Park, North Carolina 27711, telephone number: (919) 541-2865; facsimile number: (919) 541-
FR Citation80 FR 48262 
RIN Number2060-AS49
CFR AssociatedAdministrative Practice and Procedure; Air Pollution Control; Environmental Protection; Intergovernmental Relations and Reporting and Recordkeeping

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