DECISION MEMO Steve Simpson and Associates, Inc. Simpson #114 & #116 Gas Well Project Compartment 106 USDA FOREST SERVICE REGION 8 NATIONAL FORESTS AND GRASSLANDS IN TEXAS SABINE NATIONAL FOREST ANGELINA/SABINE RANGER DISTRICT Tract S-2K-II, William Arledge Survey A-259 Sabine County, Texas DECISION I have decided to authorize the Surface Use Plan of Operations (SUPO) for Steve Simpson and Associates, Inc. to conduct surface operations associated with accessing, drilling, testing, completing, and producing the Simpson Well #116 and Simpson Unit Well #114 gas wells. This includes installation and construction of the associated access road and pipeline right-of-ways (ROW). The SUPO is a binding part of the Application for Permit to Drill authorized by the Bureau of Land Management (BLM). The location for the Simpson #116 and #114 gas wells and access road and pipeline ROWs is within administrative Compartment 106 on the Sabine National Forest, Sabine County, approximately 8 miles southeast of Hemphill, Texas. The Simpson #116 well location will be located on the east side of National Forest System Road (NFSR) 179 approximately 0.3 mile north of the Sabine County CCC road intersection. An access road 57 feet in length and 32 feet in width will connect the well pad to NFSR 179. The Simpson #114 well location is located adjacent to an existing power line ROW near the end of NFSR 179. An access road 882 feet in length and 32 feet in width would connect the well pad to NFSR 179. If the wells are successful, a pipeline will be installed for each well. The pipeline for the #116 well will be 2,100 feet in length and 10 feet in width and travel north and east adjacent to the NFSR 179 ROW to a connection with an existing pipeline that lies within the power line ROW. The pipeline for the #114 well will be 110 feet in length and 10 feet in width and travel west adjacent to the access road ROW and tie into an existing pipeline within the power line ROW. A Special Use Permit will be issued for the pipelines once they are installed. The total of the two projects covers an area of about 2.1 acres (well pads 1 acre, access roads 0.7 acre, and pipeline 0.4 acres) and will require removal of merchantable timber. Operations would occur on lease TXNM-121520 and would include the following performed by the Operator: Clearing and leveling of two 0.5 acre sites for the drill pads. Constructing approximately 57 feet of road to access the Simpson #116 well pad Constructing approximately 882 feet of road to access the Simpson #114 well pad. Moving in and rigging up drilling equipment. Steve Simpson and Associates Inc Simpson #114 & #116 Gas Well Project Page 1 of 5
Conducting drilling operations for approximately 3 weeks until the wells are drilled to the target horizon. Testing each well for production capability. Installing approximately 2210 feet of pipeline adjacent to NFSR 179 and access road ROWs (2,100 feet for Simpson #116 and 110 feet for Simpson #114). Issuing a Special Use Permit to authorize the pipeline after installation. Installation of production facilities including tank battery and compressor. Plugging of wells and rehabilitation of all disturbed areas if and when well is not producible. Reduction of well pad size to accommodate production and re-vegetation of reduced area. If the well proves to be potentially capable of production, Steve Simpson and Associates, Inc. would cement the casing in the well and prepare it for additional testing under applicable BLM and State requirements. Depending on results of production testing, production equipment could be installed on the well site or the well could be plugged and the site reclaimed. Exposed soil will be seeded, fertilized, and mulched (if needed) upon completion of approved work. To prevent the introduction and spread of Non Native Invasive Plant Species (NNIPS) to the project area during construction and rehabilitation efforts, only an agency approved seeding mixture will be used, straw or hay for mulching will be certified weed free and there will be follow up monitoring of the revegetation work for potential NNIPS. The monitoring and the follow up treatment for NNIPS will be completed in accordance to the 1996 Revised Land and Resource Management Plan for the National Forests and Grasslands in Texas (the Plan) and the 2008 Non Native Invasive Plant Species (NNIPS) Environmental Assessment (EA) for the National Forests and Grasslands in Texas. This project is categorically excluded from documentation in an environmental assessment (EA) or an environmental impact statement (EIS) for the following reasons (36 CFR 220.6 (a)): 1) Past projects, which are similar to the proposed action, have had no significant effects, individually or cumulatively, and no extraordinary circumstances exist in this proposal that might cause the action to have significant effects upon the human environment. 2) This proposal is consistent with and similar to the categories of action which may be excluded from documentation in an EIS or an EA as described in (36 CFR 220.6 (e)(17)). No floodplains, wetlands, municipal watersheds, congressionally designated areas, inventoried or potential roadless areas, or research projects are involved in the proposed project area (36 CFR 220.6 (b)). I have considered the effect of this project on climate change, as well as the effect of climate change on this project. Any resulting greenhouse gas emission would not be measurable on a global scale. As indicated by the project specific biological evaluation (BE #07-10-14), the proposed action has a determination of no effects on any federally listed or proposed threatened and endangered species. As for Regional Forester s Sensitive Species, the proposed action has a determination of may impact individuals, but not likely to cause a trend toward federal listing, or loss of viability on Sabine fencing crayfish and no impacts on any other Region 8 sensitive species. This Biological Evaluation is based upon the best available science, including Steve Simpson and Associates Inc Simpson #114 & #116 Gas Well Project Page 2 of 5
peer-reviewed scientific literature, state and federal agency reports and management input, discussions with scientists and other professionals, and ground-based observations. As indicated in the Heritage Resources Survey project titled A Cultural Resource Survey of Steve Simpson and Associates Simpson well #114 and Simpson well # Wells, Access Road, and Pipeline Sabine County Texas, the proposed action will have no effect on heritage resources (sites) that are eligible for the National Register of Historic Places (NRHP) or on any other site that has not been evaluated for NRHP eligibility. The State Historical Preservation Officer (SHPO) concurred with this report on July 26, 2011. In accordance with the requirements of the National Historic Preservation Act of 1966 (NHPA), Executive Order 13007, the American Indian Religious Freedom Act (AIRFA), and others, consultation with the Caddo Nation of Oklahoma and The Alabama-Coushatta Tribe of Texas has been conducted and has identified no concerns. Visual resources will be minimally impacted. The effects on water quality will range from minimal to no effect during the life of this project. In relation to air quality, the proposed actions will not cause the National Ambient Air Quality Standards or Class II Areas to be violated. PUBLIC INVOLVEMENT A scoping letter was mailed to the current list of potentially interested or affected parties on October 12, 2010. This project was originally denoted as Steve Simpson and Associates Inc Simpson #114 & #116 Gas Well Project on the Schedule of Proposed Actions. Four responses were received during the scoping period. The first response was from an archeologist requesting that archeological surveys be conducted for all proposed activities. The Forest Service complies with Section 106 of the National Historic Preservation Act. This area was ground surveyed, researched, and a report was submitted to the State Historical Preservation Officer for concurrence and submitted to the Tribal contacts for their input before a decision on this project was made. The second and third responses were from Tribal contacts that had no objection to the project. The fourth response was from Stine Timber Management, Inc. with the following concerns: 1. Transportation/Traffic Safety. a. Comment: Construct to Level C standard those roads classified as Level B and temporary that will serve the transportation needs of the planned pad site locations Response: Currently, approximately 0.65 miles of National Forest System Road (NFSR) 179 which accesses the proposed well pads is a level C road which means it has a gravel surface and is maintained for passenger cars. The road is open continuously. The remaining 1.05 miles of this road has a natural surface and is open intermittently. It is not maintained for passenger cars and is not open to the public. The US Forest Service maintains both categories of NFSR 179. The oil and gas company proposing these wells will meet with the district engineer/road technician and develop a road permit requiring the company to maintain the road for the life of the well to support the weight and type of use that is proposed on the road. This will be to Forest Service standards and will be attached to the special use permit. Steve Simpson and Associates Inc Simpson #114 & #116 Gas Well Project Page 3 of 5
b. Comment: Sign and enforce traffic safety requirements. Response: Any person or entity operating on National Forest System land is subject to the federal, state, and county traffic rules in place for that area, including seed limits. These rules are enforced by federal, state and county law enforcement agents. The FS is continuously working on road signage. 2. Soil and Water a. Comment: Protect streams adjacent to pad sites from drilling residue spills. Response: Before the pad is built, the FS meets with the well owner and they work together to lay out the well pad avoiding streamside protection zones and 100-year floodplains as defined in the Amended National Forests and Grasslands in Texas Forest Plan (the Plan). A trench is built around the drilling rig and associated equipment. Any runoff from the rig or equipment including spill and rainwater is collected in the lined trench and funneled into a holding tank and hauled off to an approved disposal site. The well pad is designed to have a gentle slope so that rainwater will run off the site. Silt fences, hale bales, or other material is placed where the runoff occurs to capture any silt. On all these operations, operators are required to follow Forest Service standards and guidelines. b. Comment: Seed with native wildlife mix and fertilize pipeline locations. Response: Exposed soil is fertilized and seeded with native or non persistent forbes and grasses. c. Comment: Construct waterbar placement as determined by percent slope stands in the Forest Plan d. Comment: Protect any spring locations with buffer widths as specified in the Forest Plan. Response to c and d: These requirements are part of the special use permit. e. Comment: Prohibit land farming. Response: Land farming has not been requested and is not part of the permit. f. Comment: Use the Schlumberger Green slurry system or equivalent for hydraulic fracturing in order to protect all waters resource from migration and residual effects of toxic hydraulic fluids. Response: The Forest Service can suggest that oil and gas operators use or consider using a certain system for hydraulic fracturing. However, The Forest Service does not have jurisdiction of the subsurface drilling program, only the Texas Railroad Commission or the Bureau of Land Management can set requirements on fracturing programs. 3. Timber a. Comment: Determine damage value of future growth of forested acres lost to the construction of pad sites, pipelines, and access roads and apply to the Special Use Permit and Conditions of Approval. b. Comment: Sell timber for site clearings at rates incorporating the highest plus market adjustment or the lowest negative adjustment by product/species within the prior 6 month period. Response to a and b: Currently the Forest Service sells the wood at the current market value. Steve Simpson and Associates Inc Simpson #114 & #116 Gas Well Project Page 4 of 5
The public and internal scoping did not lead to any information that would result in a change of the project Decision. Documentation of public involvement is on file at the District Office on State Highway 21 just east of Milam, Texas. FINDING REQUIRED BY OTHER LAWS This project is consistent with the management direction, including standards and guidelines, in the Plan as amended. IMPLEMENTATION Implementation of this decision may begin on or after the date of the signature of the Deciding Official below. ADMINISTRATIVE REVIEW OR APPEAL OPPORTUNITIES This action is not subject to appeal pursuant to 36 CFR 215.12(f). For further information on this decision contact, Lynn Jackson at (409) 625-1940 or Holly Erimias, 2221 N. Raguet, Lufkin, Texas 75904, (936) 639-8598. Signature: /s/ Lynn Jackson LYNN JACKSON Angelina/Sabine District Ranger Sabine National Forest 5050 Highway 21 East Hemphill, TX 75948 8/3/2011 Date The U.S. Department of Agriculture (USDA) prohibits discrimination in all its programs and activities on the basis of race, color, national origin, age, disability, and where applicable, sex, marital status, familial status, parental status, religion, sexual orientation, genetic information, political beliefs, reprisal, or because all or a part of an individual's income is derived from any public assistance program. (Not all prohibited bases apply to all programs.) Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact USDA's TARGET Center at (202) 720-2600 (voice and TDD). To file a complaint of discrimination write to USDA, Director, Office of Civil Rights, 1400 Independence Avenue, S.W., Washington, D.C. 20250-9410 or call (800) 795-3272 (voice) or 202) 720-6382 (TDD). USDA is an equal opportunity provider and employer. Steve Simpson and Associates Inc Simpson #114 & #116 Gas Well Project Page 5 of 5