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Governor Schweitzer Provides Input on Montana Coalbed Natural Gas Development
February 2, 2005
The Coalbed Natural Gas Alliance met with Montana’s Governor Brian Schweitzer in Billings recently to discuss coalbed natural gas production in Montana. CBNGA member companies present at the meeting included Yates Petroleum, Nance Petroleum (a subsidiary of St. Mary Land & Exploration), Fidelity Exploration & Production Company (a subsidiary of MDU Resources), and Marathon Oil Company. Also attending the meeting was a Big Horn County Commissioner and a Wyoming rancher who has experienced CBNG development on her land.

Bob Nance, CEO and President of Nance Petroleum, a Billings based energy developer offered an overview of Nance's acreage position and plans to develop in Montana in the near future. Bruce Williams, vice president of operations for Fidelity Exploration & Production Company, the only company currently producing CBNG in Montana, also offered an overview of their existing production and the revenue it creates for the state.

Schweitzer encouraged the companies to meet with various members of his cabinet. He stated, “I want to find ways to give a green light to coalbed natural gas development projects. These projects will provide jobs, economic benefits to the counties in which they are developed and to the state. The key is responsible development.”

Governor Schweitzer said he believes that coalbed natural gas can and should be developed in Montana. He pointed out that water issues associated with coalbed natural gas development in Montana should be handled on a site-specific basis and he reinforced the idea of a water toolkit approach. The toolkit allows operators, ranchers and farmers to use the water when it makes sense. In those areas where sodium levels are high, other mechanisms might be used such as lined pits, reinjection or reverse osmosis. By using the toolkit approach, the governor indicated that he believed that water resources would remain sustainable.

He also pointed out that once gas resources are developed, whether conventional or unconventional, Montana needs more transmission pipelines to transport the gas to marketplaces interested in buying the gas. “We set up the meeting to introduce our organization to the governor and to offer him and his administration access to accurate science,” remarked Karen Brown, CBNGA’s Coordinator. “We also wanted to learn what opportunities and challenges Governor Schweitzer sees regarding coalbed natural gas development in Montana.”

One other issue Governor Schweitzer discussed was reducing noxious weed growth, some of which may be tied to coalbed natural gas development. He said noxious weed growth in Montana has become a problem and asked developers to be active in reducing noxious weeds associated with CBNG development.

To learn more about coalbed natural gas development, visit the Coalbed Natural Gas Alliance website at www.cbnga.com or call toll free with questions to 888-601-4400.

The CBNGA’s mission is to inform and communicate accurate information as well as provide education about coalbed natural gas development primarily within the Powder River Basin. The CBNGA is composed of energy providers, businesses, ranchers, farmers and citizens throughout Montana and Wyoming who support responsible energy development.