Range Resources Must Repair Texas Gas-Well Leak, EPA Says
RRC has clearly stated that it is not responsible for the water issue in the Barnett. Appears to be the EPA looking for a test case with a new administrator in the region. In the marcellus, cog has to deal with a similar existing methane issue. Maybe it's time that these adminsitrators be held personally liable for actions proven to be incorrect that cost responsible companies money and market share. Hopefully, the new Congress will take a look look at the EPA
Even if one concedes the EPA's position, which I do not, the $16,000/day fine, which may be modified anyway, amounts to 3 cents per 1000 cf sold by RRC at $5.00 gas until the well is "fixed". Worst case, this is a minor cost of doing business.
RRC has a very good track record of responsible drilling with few complaints. Again, even if one concedes the EPA findings, this is likely a one-off event per hundreds of wells drilled.
This is about the EPA trying to stop fracing and their anti energy bias. They just look for an opportunity to get their nose under the tent. There was no reason for the EPA to be involved in this matter. They make a demand knowing that it will impact the stock price and market cap of RRC and stir up the enviornmental crowd-it's the way they operate.