Reported by Staff

DENVER — Three  energy companies operating on Colorado’s Western Slope have agreed to pay a total of $680,000 in penalty settlements for stormwater violations in early 2008 related to their oil and gas activities on the Roan Plateau near the town of Parachute.

According to the settlement details announced by the Colorado Department of Public Health and Environment yesterday, Enterprise Products Operating, LLC will pay $182,000, Berry Petroleum Company $150,000 and Marathon Oil Company $98,000.  All the money will go into the state’s Water Quality Improvement Fund.

“These penalty monies will be used to provide grants for the improvement of water quality in the impacted communities; for the planning, design and construction of stormwater and domestic wastewater treatment facilities; and for nonfederal matching funds for non-point source (pollution) projects,” Martha Rudolph, the department’s director of environmental programs, said in the news release.

Berry also agreed to donate another $100,000 for the U.S. Geological Survey’s Common Data Repository and Water Resource Assessment project for the Piceance Basin, and $150,000 to hire a contractor to perform water quality data collection from streams and springs on the Roan Plateau, in areas where little or no water quality data exists.

The violations occurred in an under regulated by the state and does not include any part of the 55,000 acres that the BLM leased for oil and gas development on the Roan Plateau northwest of Rifle last year.

The proposed settlement is subject to a 30-day public comment period takes place before the proposed settlement goes into effect. More information can be found at this link: www.cdphe.state.co.us/wq/enforcement/2009/2009Stormwater/Stormwater09.html

According to the State, the companies did not meet the stormwater permit requirements to implement “best management” practices for pollution prevention, and to develop effective stormwater management plans. The energy companies agreed to the settlements while not  admitting to any of the state’s factual or legal determinations regarding the violations.

Berry contended in its settlement document that the company had followed best-management practices, including installing culverts and sediment ponds. It also said it knew of no water quality standard violations in Parachute Creek or other environmental harm resulting from its drilling project.