EPA v. CNB CORP.; TAFFY OIL FIELD - AKA - WATERFLOOD PROJECT

Case summary

NATURE OF THE CASE: CNB CORP IS THE OWNER/OPERATOR OF A PRODUCTION OIL FIELD W/ENHANCED RECOVERY BY WATERFLOOD LOCA- TED IN OHIO COUNTY, NEAR OWENSBORO, KY.. THE FIELD, KNOWN AS THE TAFFY OIL FIELD, CONSISTS OF 26 LEASES, 2600 ACRES & 17 TANK BATTERIES EACH W/AN OIL/WATER SEPARATOR & BRINE PIT. THE FIELD HAS IN EXCESS OF 700 DRILLED WELLS W/APPROXIMATELY 386 ACTIVE OIL PRODUCTION & WATER INJECTION WELLS. THE FIELD HAS NOT BEEN PRODUCED IN SEVERAL MONTHS DUE TO FINANCIAL PRO BLEMS WHICH RESULTED IN LOSS OF ELECTRICAL SERVICE TO THE WELL PUMPS ON OCTOBER 10, 1985. PRESSURE FROM THE PREVIOUS INJECTION ACTIVITY IN THE OIL BEARING FORMATION IS SO GREAT AS TO FORCEBOTH OIL & BRINE TO FLOW FROM SEVERAL OF THE WELL HEADS INTO THE TRIBUTARIES LEADING TO THE ROUGH RIVER & FLOWING ULTIMATELY TO THE MISSISSIPPI RIVER. (A) IMMEDIATE CESSATION OF SURFACE WATER DISCHARGES & IMPLE- MENTATION OF AN ADEQUATE SPCC PLAN. (B) SURVEY OF AFFECTED WATER SUPPLY WELLS IN THE AREA FOLLOW ED BY AN ALTERNATIVE WATER SUPPLY BEING FURNISHED AT COMPANY EXPENSE TO AFFECTED USERS IN THE TAFFY OIL FIELD AREA. (C) SUBMITTAL OF A CURRENT KPDES PERMIT APPLICATION. (D) START UP OF PUMPING OPERATIONS TO DECREASE PRESSURE RE- GIME & MINIMIZE MIGRATION OF FLUIDS PROVIDED BRINE DISPOSAL IS PROPER. (E) NO INJECTION W/OUT UIC PERMITS. (F) MONE- TARY DAMAGES FOR VIOLATION OF CWA AND SDWA. NATIONAL OR PRECEDENTIAL ISSUES: THESE ISSUES ARE OF 1ST IMPRESSION IN THE NATION UNDER THE JOINT EFFORTS OF THE NPDES & UIC PROGRAMS IN ADDRESSING THESE TYPES OF VIOLATIONS IN THE OIL EXPLORATION INDUSTRY. ADDITIONALLY, THIS IS THE FIRST CASE OF CONTAMINATION TO ARISE UNDER THE SDWA. THE AT- TENTION OF ALL OIL FIELD OPERATORS IN THE COMMONWEALTH OF KY & IN REGION IV WILL BE FOCUSED ON THE OUTCOME OF THIS CASE & IT WELL DEVELOP THE PRECADENT FOR OTHER LARGER FIELD REFERR- ALS.

Defendants (2)

• CNB CORP. - OWNERNamed in complaint
• HODGES, J.R.- OPERATORNamed in complaint

Facilities (1)

• TAFFY OIL FIELD AKA WATERFLOOD

  HWY 1414 ROUGHT RIV & TAFFY RD, OWENSBORO, KY, 42301

  Registry ID: 110010619624

Statutes cited

• CWA 402 — Clean Water Act
• SDWA 1422 — Safe Drinking Water Act
• CWA 309 — Violation of Existing AO
• CWA 301 — NPDES Discharge without a Permit
• SDWA 1423 — Safe Drinking Water Act

Timeline (6 milestones)

• 1986-09-22Referred To Headquarters
• 1986-11-03Referred To Dept Of Justice
• 1987-05-27Referred TO U.S. Attorney
• 1987-06-04Complaint Filed With Court
• 1989-05-22Concluded
• 1989-05-22Enforcement Action Closed