Ky/Tenn Report

Volume 17, Number 7 July 2010

STATE PROPOSES RULE CHANGES - The staff of Water Pollution Control has drafted changes to the regulations that govern the oil and gas industry, which call for: higher plugging bonds, new regulations governing shut in wells, copies of leases and assignments to landowners required for drilling permits and other changes. The proposed new regulations are posted on the TOGA website at www.tennoil.com. All Tennessee operators are encouraged to study the changes and send comments to the TOGA office or attend the TOGA meeting, announced in the following news item.

TOGA TO MEET TO STUDY NEW REGS, FOR OAK RIDGE, JULY 26TH -- Jim Washburn, President, Tennessee Oil & Gas Association, has scheduled a meeting for 1:30 p.m, Monday, July 26th at the Oak Ridge Country Club, to review the proposed new oil and gas regulations and to draft TOGA's comments. Washburn explained that "Scott Gilbert, Bill Goodwin, Vicki Griffith and I met July 13 in Knoxville with Paul Schmierbach, Don Owens and Mike Burton, at which time they presented these new regulations and outlined their reasons for new regs. They have asked our association to review the changes and come back to them in August with our comments. We appreciate this opportunity and I encourage any operator, member of TOGA or not, to participate in this meeting in Oak Ridge. If you can't attend and have a comment, share it with me or any TOGA board member prior to the meeting."
The Water Pollution staff plans to have the proposed new regs ready for presentation to the Oil and Gas Board at its September meeting.

LAST CHANCE FOR ADS IN DIRECTORY - The inside and outside of the back page are available to anyone interested in advertising in the TOGA directory now being prepared. The cost is $200 for the outside cover and $150 for the inside, the deadline is July 30. Call Teresa at the TOGA office, 615-371-6137 for more info. And if you can still pay your 2010 dues and be included in the directory. But hurry.

RANGE RESOURCES TO DISCLOSE FRAC CHEMICALS - The growing chorus of misinformation from environmental groups regarding chemicals used in fracing has led Range Resources to disclose the chemicals it uses to frac Marcellus wells in Pennsylvania. Range said the purpose of the disclosure was to dispel concerns that chemicals added to fracture fluids are a risk. The fluid pumped into the wells a half mile to a mile below the groundwater is 99.8% water and sand, the company says. The chemicals are comparable to household chemicals in a very diluted form, according to Ray Walker, Range spokesman. Range reports that the less than one percent of the fluid being pumped into the well is chemicals, including sodium hydroxide, ethylene glycol, hydrochloric acid and benzalkonium chloride. Jan Jarrett, president of Citizens for Pennsylvania's Future, and environmental; advocacy group, applauded Range's disclosure program as a "step in the right direction"

UNIVERSAL TO SPONOR SEPTEMBER 9TH BOARD - Universal Well Service will sponsor the September 9th meeting of the Tennessee Oil & Gas Association, according to new-elected TOGA Board member, Lonnie Jeffers, of Universal. The meeting will be held Thursday September 9th in Oneida, at the old First Trust Bank building, now owned by Bill Ray. The focus of the meeting will dealing with spills and other emergencies. "This recent BP spill is a chilling reminder that spills do happen and we need to be prepared," said TOGA president Jim Washburn. "We will have one of spill trailers on site for inspection and we will review our emergency response plans during the meeting. Anyone interested in participating in a TOGA emergency response effort or has any suggestions on how to improve it, is encouraged to attend this meeting," he added. As always, there is a standing invitation for any member or guest to attend the association's board of director meetings.

FREE BIT WITH PURCHASE - Mark Goloby of TC Technologies bought a 3 7/8 inch work over bit at the TOGA convention during the auction. He is offering it free to the first TOGA member or guest, with the purchase of a remote monitoring solution. Great products and services! Check them out at www.tecechnologeez.com or call him at 713-252-1624.

LEASING OPPORTUNITIES- Ronald Myers, Green County, interested in leasing. Call: 423-483-1918. Bert Johnson, Kingsport has a couple of farms in East Tennessee that he would be interested in leasing for drilling. Call: 423-246-1998. David Green has Tennessee property with a shut in gas well and no activity around his area. He can be reached at: 931-801-8556.

BRINE AVAILABLE - Kevin Gaus has a client in middle Tennessee that produces water with 25% sodium chloride at the rate of nearly a million gallons a year. Call: 314-814-4549.

TENNESSEE JUNE PERMITS: Overton County: TN-K Energy Group, Inc., Ernest Dishman #1, 2500, Livingston; Overton Oil & Gas, Charles & Lynda Anderson #5, 2000'; Cosolidated Oil & Gas Corp, Doris & Amy Cooper, #2, 2000'; Able Oil Company, Inc., Barry Johnson #8, 2000', Alpine/ Pickett County: Rome Oil Development Corp.,1850; Riverside Oil & Gas, Donna King #2, 2000'; Duncan Drilling Company, Joe Huddleston #1, 2000', Moodyville; Hornet Oil & Gas Corp, Ronnie Tompkins #1, 2500, Alpine/

KENTUCKY JUNE PERMITS: Barren County: Cornell, Mark, Cash, David,#1, # 2, Leipers Ls/ Bell County: Anderson Oil, LTD, Knuckles, W R Heirs, 5, Devonian, Lower Part/ Bell County: Vinland Energy Operations, LLC, Gatliff Coal Company/Appalachian Royalty Trus, Lewis Heirs 1, Clinton Sh/ Clinton County: Conner Jr, E B, Sevier, Collins, 120; Hornet Oil & Gas Corporation, Sawyers, Jimmy, 1-A, 2-A; Jarvis Drlg, Inc, Jarvis Drilling, Dicken 5-A; Steve Burchett Oil Co, Lee, Ivan, St-7; Maupin, Jean, St-21, St-22; Boles, Robert, St-27, St-28, Knox Gp/ Cumberland County: B & J Oil Co, Inc, Flowers, Dee, 1l, 5r, 6r; CDX Exploration, Inc, Shearer, Deborah Et Al, 2-Cdx; Humphrey, Carl, 1; Judd, Harlan E Jr, 2; Humphrey, Michael, 7-Cdx; Hart Oil, LLC, Chowning, Chat, 15; Wilson, Bruce Oil Inc, Holman, Grady, B-C2, Knox Gp/ Harlan County: NGAS Production Company (NGAS), Kentucky River Properties, LLC, Dpi 1292, Huron Mbr, Ohio Sh/ Knox County: Amwes Exploration, LLC, Napier, Albert & Emily Et Al, 2; Craft, Jack Et Al, 4, Pennsylvanian System; Rockcastle Energy Inc, Baker, Georgia, 1, Murfreesboro/ Letcher County: Eqt Production Company, Eqt Production Co, 567734, Huron Mbr, Ohio Sh, 567735, 570653, Cleveland Mbr, Ohio Sh; Quality Natural Gas, LLC, Roark, Kevin & Ashley Et Al, 2176, Maxon Sd/ Monroe County: Fossil Energy, Inc, Ryherd, Charles, 1; Emmert, Elizabeth Et Al, 1, Sunnybrook/ Wayne County: Commonwealth Forest Management, Inc, Smith, Harold, 1, 2, Fort Payne Fm/

The Ky/Tenn Report is published monthly and distributed at no cost to oil and gas operators in Tennessee and Southern Kentucky. It is owned and operated by W.D. Goodwin, Inc., The editor is Bill Goodwin, e-mail: tmdbill@aol.com it is the official publication of the Tennessee Oil & Gas Association, 750 Old Hickory Blvd, #150-2, Brentwood, TN, 37027. Phone 615.371.6137, Fax 615.599-1806. Web site: www.tennoil.com.

KY/TENN REPORT
750 OLD HICKORY BLVD, #150-2
BRENTWOOD, TN 37027