Monday, November 5, 2012

State Will Close, Cap 6 Marion Gas Wells

The Utah Division of Oil, Gas and Mining is pulling the bonds on six of seven Marion Energy natural gas wells around Clear Creek and will close and cap them.

The seventh well in question may be kept in company hands if Marion Energy can demonstrate compliance, according to DOGM associate director John Rogers.

The wells to be capped have not been operating for some time, Rogers explained. Operators must produce and regularly test the mechanical integrity of their equipment or lose the privilege of operating.

Rogers said the abandonment and capping will be put out for bid.

Marion Energy also has wells in the Kenilworth area that are not affected by the closure decision.

In 2011, the company was called before the Carbon County Planning and Zoning Commission because of a leak in "production water" that caused some water from gas wells to flow into a tributary of of Scofield Reservoir.

Gas production regionally has been slow because of a glut of supply on the world markets. Sun Advocate