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Coalbed Natural Gas Alliance
CBNG development is regulated by a variety of state and federal agencies.
coalbed natural gas regulation


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WWAB Update
Due to the extremely significant impact landowners and livestock producers had on this Ag Use Policy process, the Wyoming Department of Environmental Quality (WDEQ) told the Water and Waste Advisory Board (WWAB) that they agreed to keep in place the current livestock water quality standards for produced water from oil and gas operations.
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Regulatory Agencies
Coalbed natural gas is a highly regulated industry with permitting and oversight from several different agencies. The Coalbed Natural Gas Alliance has provided a listing of the regulatory agencies involved in coalbed natural gas development complete with addresses, phone numbers and links to their websites.
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Permitting
Wyoming
There is an array of regulations in place in Wyoming to oversee the production of every phase of coalbed natural gas, with many agencies - state and federal - involved. The WOGCC regulates the placement of wells and have their set of permits. Since water is produced and must be dealt with, it needs its own collection of permits from Wyoming's Department of Environmental Quality (WDEQ). If the CBNG is on federal land, the BLM issues permits for drilling. In addition, the Wyoming State Engineer's office (SEO), Army Corps of Engineers and more are involved in the process of producing coalbed natural gas. LEARN MORE

Montana
Montana, as in Wyoming, there is a variety of regulations in place to oversee all phases of CBNG production with many state and federal agencies involved. The Montana Board of Oil and Gas Conservation (MBOGC) regulates the placement of wells with their own set of permits and issues permits for the pits or impoundments where CBNG water is discharged. If that produced water is to be utilized for irrigation, stock water, industrial use, etc., a beneficial use permit from the Montana Department of Natural Resources is required. If the CBNG-produced water is to be discharged into waters of the state, a National Pollutant Discharge Elimination System (NPDES) permit is required from Montana Department of Environmental Quality. Montana has recently adopted numeric standards for sodium and salinity for the Tongue River, Powder River and Rosebud Creek.

In addition, the Montana Department of Natural Resources, Army Corps of Engineers and more are involved in the process of producing coalbed natural gas.
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Water
Most water that is produced from a coalbed natural gas well is discharged into drainages including ponds, reservoirs or stock tanks. Surface owner agreements generally include the subject of discharge water and its uses. Coalbed natural gas water in its unaltered state usually meets or exceeds the Wyoming and Montana Department of Environmental Quality's surface water quality standards. The Federal Safe Drinking Water Act and Environmental Protection Agency (EPA) guidance is the basis for determining Wyoming and Montana's water quality standards where drinking water is protected. The Clean Water Act and EPA guidance determine Wyoming and Montana's other standards for protection of other uses of surface water including aquatic life, agriculture, irrigation and recreation.

In Wyoming, since every coalbed natural gas well must be permitted as both a gas well and a water well, the operator must obtain permits from the Wyoming Oil and Gas Conservation Commission (WOGCC) or the Bureau of Land Management (BLM) and the State Engineer's Office (SEO). Water discharges are permitted with the Wyoming Department of Environmental Quality (WDEQ).
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Habitat
The coalbed natural gas industry understands the importance of wildlife both to the economy and the "sense of place" in the Powder River Basin. Operators have been active in finding ways to mitigate their impact, as well as working with wildlife groups, including Wyoming Game and Fish and Montana Department of Fish, Wildlife and Parks personnel, to enhance habitat.
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Air Quality
Emissions from compressors, venting of gas and dust are all air quality issues being dealt with by coalbed natural gas producers. Regulations exist to safeguard the air.
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EIS
The Powder River Basin Oil and Gas Environmental Impact Statement and the Montana Statewide Oil and Gas Environmental Impact Statement from the Bureau of Land Management (BLM) and other state agencies are good examples of commendable government responsibility and accountability. During the EIS process, the BLM offered the public a prospective look at major energy development on federal, state and private lands, as required by law, in the Powder River Basin of northeast Wyoming and southeast Montana. They have provided the scope of the project, have analyzed the foreseeable impacts and have responded to public comment about their work.
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