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GEOLOGY / MINERALS
Geology is the study of the earth, the materials of which it is comprised
and the processes that have acted upon it through time. The area of the
earth we now call Pennsylvania has undergone tremendous geologic transformation
including multiple mountain-building events, generating regional faulting
and folding of strata, and at least two recent episodes of continental
glaciation, which shaped the landscape in the northeastern and northwestern
corners of the state.
The geologic history of Pennsylvania is as fascinating as it is complex.
However the complexity of the subject makes it impossible to discus in
detail here. The best place to start is in the individual district plans
or the web site for the Pennsylvania Geologic Survey at http://www.dcnr.state.pa.us/topogeo/index.htm,
or the U.S. Geologic Survey at, http://www.usgs.gov/.
The Bureau of Forestry endorses and follows the concept of Ecosystem
management of the publicly owned lands under its management. All oil,
gas and mineral operations that involve DCNR-owned lands, where the Commonwealth
is the fee owner of the subsurface rights, are conducted in accordance
with sound conservation practices. Exploration and development of these
oil, gas and mineral resources are conducted in a manner fully compatible
with the other uses and values of our public lands including timber, recreation,
fauna, flora, and water resource management.
It is the responsibility of the geologists in the Minerals Section to
administer the oil, gas, groundwater and hard minerals program on State
Forest lands. This includes resource evaluations as well as overseeing
the leasing, exploration and production activities of lessee operators.
The income and leasing history on State Forest lands since 1947 is summarized
in the following table and charts.
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Few if any well locations were documented prior to 1955 when it became
mandatory to register well locations. Records do exist for over 1300 well
locations which are known to exist on state forest lands. Of these some
locations may have been abandond before any development occurred (the
drilling site was probably moved after the permit was issued and a new
permit issued for the new location).
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| Goal 1: |
To manage the geologic features,
oil gas, gas storage and hard minerals in a cost- effective and efficient
manner and in the greatest benefit of the people of the commonwealth.
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Objectives:
- To manage and conserve unusual or exemplary geologic features
for the study and enjoyment of the people of the Commonwealth.
- To ensure that all oil, gas, gas storage and hard mineral operations
on State Forest lands are conducted in the best interests of the
Commonwealth.
- To lease the oil, gas, gas storage and hard minerals managed
by Bureau of Forestry on State Forest lands if their extraction
does not result in the permanent degradation of the other forest
resources.
- To coordinate the use and development of the mineral resource
to minimize adverse impact on the other forest resources.
- To provide economic benefit to communities neighboring state
forest lands and the commonwealth
- To discontinue offering for lease shallow gas reserves
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| Goal 2: |
To serve as a public hard minerals
reserve for the future needs of the Commonwealth.
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Objectives:
- Retain virgin coal and other hard minerals as reserves.
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| Goal 3: |
To increase the Bureau of Forestry's
control over oil, gas and minerals operations where the Commonwealth
is not the owner of the fee oil, gas and hard mineral rights.
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Objectives:
- On forest lands where the Commonwealth does not own the subsurface
rights in fee, the bureau will make every effort to obtain a bonded
Surface Use Agreement from the operator to protect the surface
environmental resources.
- Obtain, where possible, controlling mineral, gas, oil, or coal
rights on all State Forest lands where those rights are outstanding.
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| Goal 4: |
To mitigate damage done by past
oil, gas and mineral extraction activities.
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Objectives:
- Eliminate public-safety hazards and public nuisances, resulting
from past oil, gas and mineral extraction, which were acquired
along with State Forest lands.
- Eliminate environmental hazards and repair environmental damage,
resulting from past oil, gas and mineral extraction, which were
acquired along with State Forest lands.
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The purpose of these guidelines is to regulate and coordinate the use
and future development of oil, gas and minerals on State Forest land.
The Bureau of Forestry endorses and follows the concept of multiple resource
management of the publicly owned lands under its control. All oil, gas
and mineral operations that involve state-owned lands are conducted in
accordance with wise conservation practices.
Ecosystem management often involves two or more compatible functions
to be carried on simultaneously. The bureau believes that this will provide
the greatest benefit to the greatest number of people by allowing the
recovery of oil, gas and hard mineral resources. Exploration and development
of these natural resources, when properly conducted, is fully compatible
with the many other uses of public lands including timber extraction,
recreation, fauna and flora preservation and watershed management.
Actions:
- Maintain overall control, in the hands of the district forester,
of on-site oil, gas and mineral activities, as provided for in lease
agreements.
- Develop a spatial database and map exemplary geologic features.
- Keep the district foresters informed of proposed oil, gas and mineral
activities on State Forest lands in their districts for their review
and input.
- Ensure that the provisions of any leases and other agreements adequately
protect the best interests of the Commonwealth and the safety of State
Forest users. 2002
Standard Oil and Gas Lease (Adobe PDF - 76 Kb)
- Develop a spatial database and map of tracts where the commonwealth
does not own subsurface oil, gas and mineral rights.
- Research outstanding subsurface ownership, and locate the present
owners of the subsurface rights.
- Prioritize the acquisition of the outstanding ownership rights on
State Forest lands based upon the potential to provide the greatest
social and ecological benefit, and by availability.
- Identify potential funding sources to be used to acquire outstanding
subsurface rights on State Forest lands.
- Locate, document and prioritize for mitigation, problems related to
oil, gas and mineral extraction, such as acid mine drainage (AMD), using
public safety and environmental protection as criteria.
Upon initiation of any minerals project, a project review, as detailed
in the Overview section of this plan, must
be completed.
See also: Ecological Considerations
Actions:
- Include baseline geologic information for each state forest within
the State Forest Resource Management Plans.
- Cooperate with the Bureau of Topographic and Geologic Survey in updating
geologic information pertaining to the state forests.
- Provide the district forester with a copy of all leases for review
and approval of proposed mineral, oil or gas operations within that
district prior to advertising for bidding. Guidelines
for administrating oil and gas leases (Adobe PDF - 998 Kb).
- Update the Minerals Handbook as a comprehensive set of guidelines
dealing with all minerals issues on State Forest lands.
All oil, gas and mineral leasing activity on State Forest land will be
managed by some form of an agreement, most often a lease, which outlines
in detail the limits, conditions and specific problems for the site to
be leased. On State Forest lands, where the Commonwealth does not own
the subsurface oil, gas or minerals rights, the department will make every
effort to obtain a bonded Surface Use Agreement from the owners or lessees
of those rights, if the owner indicates its intention to operate on State
Forest land.
Actions:
- The Minerals Section of the Bureau of Forestry will maintain overall
responsibility for preparing and managing lease agreements for oil,
gas, gas storage and minerals, as well as providing technical support
for DCNR in all related matters.
- The Minerals Section will provide technical advise covering the exploration
and extraction of oil, gas and minerals and the development of gas storage.
- Ensure that all lessees are held to the same high standards set forth
in our oil and gas, gas storage and mineral development leases by enforcing
the terms and provisions of the leases with impartiality.
- Maintain, update and if necessary, strengthen lease provisions that
provide protection to State Forest lands. Particularly important is
the protection afforded by an adequate bond provision, when fairly and
uniformly applied, including the resolve to execute upon said security
in the event of failure to perform or breach of contract.
- Use up-to-date rental and royalty rates for all leases and agreements.
- The Minerals Section will proactively represent the Commonwealth,
as the landowner, in matters dealing with the lessee and any regulatory
agency.
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The Department of Conservation and Natural Resources, and its predecessor
agencies, has for decades maintained a policy prohibiting, under most
circumstances, the surface mining of virgin coal or other hard minerals
on State Forest lands where the Commonwealth owns the minerals and the
right of surface support beneath its surface. However, on State Forest
lands that have been previously mined, but not reclaimed to modern standards
prior to purchase by the Commonwealth, which still contain some mineable
coal or hard minerals, and are in need of restoration or acid mine drainage
abatement, the department will consider the leasing of this lands for
remining provided that all disturbed lands are restored and revegetated
to present-day standards.
The department, under existing statutes, has the right to enter into
such agreements without a competitive bidding process to permit the mining
of small isolated blocks of virgin coal on State Forest land where mining
is taking place on private lands adjoining the state land. These small
isolated blocks of coal are best removed under a single mining operation,
which may reduce the chance of environmental damage.
Actions:
- Consider entering into surface mining agreements with the private
owners of adjacent mineral rights for the removal of isolated blocks
of virgin coal or other hard minerals, as provided for by statute.
- Identify potential funding sources and partners to assist in mitigation
activities on existing abandoned mine sites on State Forest lands.
- Use remaining mineral reserves as an inducement for mining operators
to re-mine damaged sites, reclaiming both old and new strippings to
present-day reclamation standards.
- Permits will continue to be written to individuals for mountain stone
on a site-specific basis, as established by the district forester.
- Where demand is high, the district forester will establish designated
stone-gathering sites. An environmental review will be completed for
each site.
The authority to lease State Forest land for oil and gas exploration
and development is found in Act 18 of 1995 as was noted in the Lease Agreements
section of this plan.
See also: DCNR
Gas Leasing FAQ's (Adobe PDF - 40 Kb)
Actions:
- Use a fair and reasonable withdrawal rate rather than a flat rate
for determining gas storage rental income rates.
- Continue to audit natural gas and oil production and royalty records
of all oil and gas lessees on State Forest lands.
- Continue to evaluate, and change when appropriate, the department's
standard oil and gas and gas storage leases, with an eye toward ensuring
that the provisions adequately safeguard the forest environment and
protect the Commonwealth's financial interests. 2002
Standard Oil and Gas Lease (Adobe PDF - 76 Kb)
- Provide for the maintenance and restoration of well sites, pipelines,
access roads, or other disturbances to limit the hazard and impact on
other users or resources. See also Stipulations
for Protection and Conservation of State Forest and Park Lands (Adobe
PDF - 85 Kb) and Oil
and Gas Lease Access Road Specifications for State Forest Lands
(Adobe PDF - 20 Kb)
Insure that all abandon oil and gas wells are properly plugged, and the
sites retired to modern standards
Actions:
- Identify and locate on a map all unrestored abandoned oil and gas
and mineral sites, pipeline rights-of-way, access roads and other operational
sites on State Forest lands.
- Arrange to properly restore these sites to current Bureau of Forestry
standards.
Gas storage rights are not included in the department's oil and gas lease.
They are usually negotiated at a later date (after primary gas production
has been depleted) under a separate lease agreement, but not necessarily
with the original operator of the primary production. State Park land
and Bureau of Forestry Wild and Natural Areas may also be leased for gas
storage, so long as new wells or other surface disturbance are not required
to develop the gas storage field under the state park or the wild and
natural areas.
Actions:
- Renegotiate leases, at the time of renewal, for rates that are in
keeping with fair market value.
- Monitor surface conditions to prevent unnecessary surface disturbance.
- Encourage the use of existing rights-of-way, well pads, and other
facilities rather than allowing new disturbance.
The extraction of oil, gas and minerals from within designated municipal
watersheds located on State Forest lands may be permitted. However, this
extraction must be reviewed on a site-specific and case-by-case basis.
Actions:
- Continue the policy of requiring a case-by-case review for the exploration
or development activities on the surface of municipal watersheds. Whenever
possible, the bureau should consider issuing a nondevelopment lease
for oil and gas exploration and production within municipal watersheds,
which would allow for directional drilling from adjacent lands.
No surface disturbance will be permitted in wild or natural areas. This
means State Forest Wild and Natural Areas will be excluded from all surface
activity, including seismic surveys, road, pipeline and well-site construction.
Directional drilling will be allowed beneath the wild and natural areas
to develop the oil and gas reserves from sites not in the natural or wild
area, but no surface disturbance related to oil and gas activity will
be permitted in the wild and natural areas. These restrictions are not
subject to waivers.
Actions:
- Continue the policy of not allowing surface disturbance from exploration
or development activities on State Forest Wild and Natural Areas. Leasing
for oil and gas extraction under these areas will be by nondevelopment
lease, which would only allow for the extraction of these resources
by directional drilling from adjacent lands.
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Monitoring of the oil, gas and minerals activities on State Forest land
will include:
- Site inspections.
- Contracting for auditing of oil and gas volumes and revenues.
- Internal program review.
- Area of state forest land under mineral lease.
- Amount of disturbed land resulting from mineral activities.
- The rate of depletion of known reserves.
- Percent of state forest land where the Commonwealth owns the mineral
rights.
- Revenue from oil and gas program.
- Identify future oil and gas trends in Pennsylvania that may impact
State Forest lands.
- Determine the cost to acquire the outstanding oil, gas and mineral
rights under State Forest lands.
- Effects of mineral development on forest fragmentation.
- Cumulative environmental effects of oil and gas activities.
- Market analysis to determine the benefits gained or lost by deferring
mineral development to some future date.
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