Fracking in California Gets New Approvals

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By Douglas A. McIntyre Published
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Fracking may be critical to increased U.S. oil production, but it is also one of the most controversial, widespread technologies in America. Repeatedly, critics of the practice have warned of environmental troubles and the possibility that the practice can cause earthquakes. However, fracking is critical to the economies of several states, led by North Dakota. Joining other states, California recently got approval to expand fracking in the state.

The Bureau of Land Management California Office underwrote a new study about the impact of fracking in the state. Most of the report supported energy company fracking activity. The study called the “Advanced Well Stimulation Technologies in California: An Independent Review of Scientific and Technical Information” was commissioned by the California Council on Science and Technology.

Among the findings:

Overall, in California, for industry practice of today, the direct environmental impacts of well stimulation practice appear to be relatively limited. If these well stimulation technologies enable a significant increase in production in the future, the primary impacts on California’s environment will likely be caused by the increase in production activities in general. Impacts of increased production will vary depending on whether this production occurs in existing production areas (both rural and urban), or in regions that have not previously been developed for oil and gas production — as well as on the nature of the ecosystems, geology, and groundwater in the vicinity.

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Not only were the effects on water limited:

Well stimulation technologies, as currently practiced in California, do not result in a significant increase in seismic hazard. The pressure increases from hydraulic fracturing are too small and too short in duration to be able to produce a felt, let alone damaging, earthquake. In California, only one minor, anomalous earthquake (which occurred in 1991) has been linked to hydraulic fracturing to date. In contrast, disposal of water produced from oil and gas operations into deep injection wells has caused felt seismic events in several states. Expanded oil production for any reason, including expanded use of hydraulic fracturing, would lead to increased volumes of produced water, which, if injected underground could increase seismic hazards.

Based on this research, California will join other states with economies that have substantially benefited from the practice.

READ ALSO: The 10 Most Oil-Rich States

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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