Texas regulators have raised alarms about the impact of wastewater from fracking in the Permian Basin, the largest oil-producing area in the U.S. They warn that this wastewater is causing a significant rise in underground pressure, which could threaten crude oil production and harm the environment.
The Permian Basin generates millions of gallons of wastewater mixed with chemicals during shale oil extraction. This wastewater is often injected back into the ground. For years, landowners and environmental activists have claimed that this practice leads to toxic leaks. Now, the Railroad Commission of Texas, which oversees oil and gas operations, is acknowledging these concerns and is starting to impose new restrictions that could increase production costs for oil companies.
Major oil companies like Chevron, BP, and Coterra Energy have received notifications regarding the pressure problems from the Railroad Commission. The commission has been sending these warnings to companies looking to establish new wastewater disposal wells.
Five years ago, producers began injecting wastewater into shallower rock formations after deeper injections were linked to earthquakes. However, the volume of wastewater has increased to the point where it is causing leaks and ground swelling, which could contaminate drinking water for people and livestock.
The new restrictions could force producers to transport wastewater over longer distances, recycle more, or spend money on cleanup efforts. These added costs come at a time when oil prices are low, and drilling sites are becoming scarcer, despite efforts to boost U.S. energy production.
The commission has updated its communications to reflect the seriousness of the situation. It now states that injecting wastewater into certain rock formations has led to widespread increases in pressure that could endanger both mineral and freshwater resources in Texas. They have observed various issues, including drilling hazards and seismic activity.
Starting next month, the Railroad Commission will limit water-pressure levels due to the physical constraints of disposal sites. Operators will also need to examine old or unplugged oil wells located within half a mile of these disposal sites, doubling the previous requirement.
While representatives from BP and Coterra did not comment, Chevron expressed support for the new regulations, stating that they are committed to managing wastewater responsibly. The company uses recycled and brackish water for its fracking operations and is exploring ways to treat produced fluids for reuse.
The Permian Basin’s oil production has surged over the last decade, reaching about 6.7 million barrels per day. For every barrel of crude oil produced, three to five barrels of wastewater are generated, which contains high levels of salt and toxic materials, making underground disposal the most cost-effective option.
The shallow disposal zones are designed to absorb water, but the area’s long history of oil production has left them riddled with old well bores. Increased pressure is causing fluids to break through to active drilling areas and older wells that were not properly sealed.
Recently, Coterra had to stop some oil production after wastewater leaked into its wells. They are currently working on remediation but did not provide a timeline for completion.
Sarah Stogner, the district attorney for three West Texas counties, has been vocal about the rising pressure in the area since 2021, when oil and gas started leaking from old wells. She has called attention to these so-called "zombie wells," which have been dormant for years but are now showing signs of pressure.
Stogner believes the new regulations reflect a growing acknowledgment of the serious issues related to wastewater disposal in the Permian Basin. She hopes this recognition will lead to more attention and action on the matter.