Colo. workers take aim at proposed oil, gas rules (Halliburton)

Date : 06/11/2008 @ 4:46PM
Source : TFN
Stock : Halliburton Co (HAL)
Quote : 44.51  -1.17 (-2.56%) @ 8:00PM
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Colo. workers take aim at proposed oil, gas rules (Halliburton)

        GRAND JUNCTION, Colo. (AP) - Western Coloradans are warning that a proposed
overhaul of state oil and gas regulations will hurt the industry responsible for
the region's economic boom.
    Oil and gas workers were among the crowd of nearly 2,000 people in Grand
Junction on Tuesday for a public hearing on new rules for oil and gas
development.
    Another public hearing is set for June 23 in Denver.
    The rules would implement two laws passed by the Legislature last year to
give more weight to public health, wildlife and environmental concerns when
making decisions about oil and gas development.
    The industry says the rules would dampen companies' interest in Colorado.
    Many in the crowd at the Grand Junction convention center echoed those
concerns while speaking to members of the Colorado Oil and Gas Conservation
Commission. Although record natural gas drilling is occurring across the state,
development is expanding quickly in western Colorado.
    Workers wore stickers saying "Don't rule us out" and "Oil and Gas feeds my
family."
    The first 20 speakers at the hearing criticized the proposed rules, with
each one earning a round of applause from the largely pro-industry group.
    "This committee will be pulling food out of the mouths of children," said
Doug Chapman, a local Halliburton Co. employee. "You will be pulling money out
of the babies' (bank) accounts."
    Dave Neslin, acting director of the oil and gas commission, the main
regulatory body, acknowledged the industry's importance to western Colorado,
which he called the "epicenter of the current energy boom." He added, though,
that approval of the new rules won't be based on a "popularity contest."
    "Change brings fear," Neslin said. "We are proposing several changes. We
need to work through that concern."
    Opponents referred to proposed drilling restrictions to protect wildlife as
a moratorium. The rules would impose drilling restrictions of up to 90 days to
protect wildlife during mating and birthing seasons.
    But state officials have said companies can avoid the restrictions if they
consult with the Colorado Division of Wildlife and regulators on alternative
mitigation on a well-by-well basis or through a comprehensive development plan
covering a large area.
    Neslin said companies can also avoid the restrictions by limiting their
density through directional drilling. That involves drilling multiple wells from
one pad by angling the bit to reach farther.
    The commission will hold more hearings and take testimony from the industry
and others. It plans to adopt the new rules by mid-August.
    
Copyright 2008 Associated Press. All rights reserved. This material may not be
published, broadcast, rewritten, or redistributed.
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