EPA v. LOGSDON VALLEY OIL CO., INC.

Case summary

12/14/10 - CONSENT AGMT AND FINAL ORDER ISSUED, ASSESSING A PENALTY OF $8,500. ALLEGATIONS: RESPONDENT FAILED TO DEMONSTRATE THE MECHANICAL INTEGRITY OF THE FOLLOWING INJECTION WELLS EVERY 2 YEARS, OR TO PLUG AND ABANDON THEM: PAUL BUNNEL #1 - LAST MIT 12/14/14. GUINN #UA-3 - LAST MIT 1/26/90. THEREFORE, RESPONDENT VIOLATED 40 CFR 144.51(a), ITS PERMIT, AND THE SDWA BY FAILING TO TIMELY DEMONSTRATE THE MECHANICAL INTEGRITY OF THE SUBJECT INACTIVE WELLS OR PLUG AND ABANDON THEM ACCORDING TO AN EPA-APRPOVED PLUGGING AND ABANDONMENT PLAN. 40 CFR 144.11 PROHIBITS UNDERGROUND INJECTION THAT IS NOT AUTHORIZED BY RULE OR BY AN ISSUED PERMIT, AND PROHIBITS UNAUTHORIZED CONSTRUCTION OF AN UNDERGROUND INJECTION WELL. DURING INSPECTIONS ON MAY 24, 2010, AN EPA INSPECTOR DISCOVERED THAT NATURALLY OCCURRING KARST DEPRESSIONS OR SINKHOLES NEAR THE RESPONDENT'S OIL PRODUCTION FACILITIES WERE MODIFIED USING PIPES TO DIVERT THE FLUIDS FROM THE RESPONDENT'S BRINE TANKS INTO THE SINKHOLES. THEREFORE, RESPONDENT'S MODIFICATION TO THESE NATURALLY OCCURRING KARST DEPRESSIONS, FOR THE PURPOSE OF SUBSURFACE EMPLACEMENT OF FLUIDS, CLASSIFIES EACH OF THE DEPRESSIONS AS AN IMPROVED SINKHOLE. AN IMPROVED SINKHOLE IS A WELL AS PROVIDED IN 40 CFR 144.3. AS FURTHER PROVIDED IN 40 CFR 144.3, WELL INJECTION MEANS THE SUBSURFACE EMPLACEMENT OF FLUIDS THRU A WELL. THEREFORE, THESE IMPROVED SINKHOLES CONSTITUTE SHALLOW UNDERGROUND INJECTION WELLS. SINCE THESE SHALLOW UNDERGROUND INJECTION WELLS ARE NOT CLASS I, II, III, OR IV WELLS, THEY FALL INTO THE DEFINITION OF CLASS V WELLS. 40 CFR 144.11 PROHIBITS ANY UNDERGROUND INJECTION, OR CONSTRUCTION OF AN UNDERGROUND INJECTION WELL, THAT IS NOT AUTHORIZED BY RULE OR BY AN ISSUED PERMIT. NO AUTHORIZATION HAS BEEN GIVEN FOR THE UNDERGROUND INJECTION OF FLUIDS INTO ANY OF THE SUBJECT WELLS. NOR HAS A PERMIT BEEN ISSUED ALLOWING CONSTRUCTION OF THE SUBJECT WELLS. THEREFORE, RESPONDENT IS IN VIOLATION OF THE SDWA AND 40 CFR 144.11 FOR UNAUTHORIZED CONSTRUCTION OF, AND UNAUTHORIZED UNDERGROUND INJECTION INTO THESE CLASS V WELLS.

Defendants (1)

• LOGSDON VALLEY OIL CO., INC. (SB)Named in complaintNamed in settlement

Facilities (6)

• SECOND SINKHOLE NEAR PAYTON LEASE

  LAT/LONG: 37.19135 / -85.77898, HORSE CAVE, KY, 42749

  Registry ID: 110043252618

• FIRST SINKHOLE NEAR CARTER-CHANEY LEASE

  LAT/LONG: 37.19184 / -85.79022, HORSE CAVE, KY, 42749

  Registry ID: 110043252583

• GUINN #UA-3 UIC WELL

  LAT/LONG: 37.17534 / -85.78924, HORSE CAVE, KY, 42749

  Registry ID: 110043252574

• FIRST SINKHOLE NEAR PAYTON LEASE

  LAT/LONG: 37.79231 / -85.77648, HORSE CAVE, KY, 42749

  Registry ID: 110043252609

• SECOND SINKHOLE NEAR CARTER-CHANEY LEASE

  LAT/LONG: 37.118947 / -85.78750, HORSE CAVE, KY, 42749

  Registry ID: 110043252592

• PAUL BUNNEL #1 UIC WELL

  LAT/LONG: 37.24189 / -85.81119, HORSE CAVE, KY, 42749

  Registry ID: 110043252565

Statutes cited

• SDWA 1422/1423 — UIC Regulations Classes I - V

Enforcement conclusions (1)

• LOGSDON VALLEY OIL CO., INC.entered 2010-12-14

  Primary law: SDWA

  Federal penalty: $10,000

Timeline (4 milestones)

• 2010-12-14Final Order Issued
• 2010-12-14Complaint Filed/Proposed Order
• 2010-12-17Enforcement Action Data Entered
• 2011-02-03Enforcement Action Closed