--> Environmental Concerns in Oil-Field Areas During Property Transfer, by Jon R. Lovegreen; #91024 (1989)
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Environmental Concerns in Oil-Field Areas During Property Transfer

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As oil-field land is being taken out of production and sold, sensitivity to the environmental issues associated with these areas is increasing. This sensitivity is related primarily to liability for environmentally degraded ("contaminated") areas, and costs to remediate soil and/or ground water.

Sources of oil-field degradation include oil wells, pumps and related pumping equipment, "ratholes," pipelines, sumps, disposal or landfill areas, above-ground storage tanks and related bermed areas, underground storage tanks, transformers, and dust-control practices.

A variety of compounds encountered in these source areas are considered hazardous wastes according to state or federal guidelines. These compounds include heavy metals (found primarily in drilling muds, sumps, and around wells), PCBs (found in transformers and oil used for dust control), refined petroleum products (gasoline, jet fuel, diesel, etc, found primarily near pipelines, above-ground and underground storage tanks, and pumping equipment), aromatic and/or aliphatic hydrocarbons (benzene, toluene, xylenes, and ethylbenzene), and chlorinated compounds (trichloroethylene and other solvents in equipment maintenance areas).

Buyers and sellers need to investigate the extent of degradation before a property transfer involving oil-field land is completed. Techniques used for this investigation include reviewing past uses for the property, and geophysics, soil gas, cone penetrometer, hydropunch, drilling, soil sample, well monitoring, piezometer and/or well point installation, water sample, and laboratory analyses.

Following site investigation, remediation can include landfarming, bioremediation, fixation, incineration, and disposal at landfill facilities. In California, remediation costs typically range form $50/yd3 to $450/yd3 (approximate all-inclusive costs).

AAPG Search and Discovery Article #91024©1989 AAPG Pacific Section, May 10-12, 1989, Palm Springs, California.