Earthquakes push Texas oil regulator to take more action

The Texas Railroad Commission (RRC), the state’s regulator for the oil and gas industry, has designated an area around Stanton, Texas, as a seismic response area (SRA) after a series of earthquakes rocked the area.

The area in the Permian Basin is home to 72 brine disposal wells (Fig. 1). The Regional Research Center has linked these wells to several seismic events, including the 4.2-magnitude earthquake on December 31, 2020 and the December 28, 2021 earthquake with a magnitude of 4.6.

According to B3 Insights, a water management and data analytics company, the Stanton SRA is allowed to reinject 9.88 million bopd. Of the 72 injection wells in the SRA, 35 are active and process approximately 273,000 b/d. Fourteen of these wells are deep handling approximately 197,000 barrels per day. Six of them are less than 4 years old and represent approximately 220,000 b/d.

Deep wells may be the problem, according to an RRC analysis of another SRA area near Gardendale, Texas. Laura Caper, President and CEO, said, “Although operators appear to gravitate toward deep injection at solid waste disposal sites, particularly due to the highly pressurized nature of the San Andreas formation, the Texas Regional Resettlement Center attributed seismic activity at Gardendale SRA to a deep injection. From CAP Resources, in a LinkedIn post.

With the appointment of the Stanton SRA, operators in the region have 90 days to come up with a solution. Solutions for brine produced other than re-injection include recycling and trucking or piping to other storage areas.

“We expect continued seismic activity in the area to ramp up demand for nearby commercial and non-commercial recycling facilities,” Capper wrote.

The RRC considers the response plan to be successful if no earthquakes of magnitude 3.5 or greater are recorded in the 18 months after the plan was developed. The RRC said it will monitor the area through public data and is ready to implement its seismic action plan if the industry does not provide a coordinated response.

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