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<BODY><DOC><PRE>[Federal Register: February 24, 2010 (Volume 75, Number =
36)]
[Notices]              =20
[Page 8297-8299]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr24fe10-28]                        =20

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DEPARTMENT OF AGRICULTURE

Forest Service

=20
Huron-Manistee National Forests, Michigan, USA and State South=20
Branch 1-8 Well

AGENCY: Forest Service, USDA.

ACTION: Notice of intent to prepare an environmental impact statement.

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SUMMARY: The Huron-Manistee National Forests (Forest Service) and the=20
Bureau of Land Management (BLM) as a Cooperating Agency will prepare an=20
environmental impact statement (ETS) to assess the environmental=20
impacts of an industry proposal to drill one exploratory natural gas=20
well (the USA &amp; State South Branch 1-8 (SB 1-8) well) on National=20
Forest System lands. The EIS will also assess the impacts of=20
constructing necessary infrastructure including production facility and=20
flowline, to develop the well should it be capable of producing=20
hydrocarbons in commercial quantities. This analysis will allow the=20
agencies to make their respective decisions on this proposal in=20
accordance with Federal regulations.

DATES: Comments concerning the scope of the analysis must be received=20
by April 12, 2010. The draft environmental impact statement is expected=20
in December, 2010 and the final environmental impact statement is=20
expected by July 2011.

ADDRESSES: Send written comments to Lauri Hogeboom, Interdisciplinary=20
Team Leader, Huron-Manistee National Forests, 1755 S. Mitchell Street,=20
Cadillac, MI, 49601; fax: 231-775-5551. Send electronic comments to:=20
<A =
href=3D"mailto:comments-eastern-huron-manistee@fs.fed.us">comments-easter=
n-huron-manistee@fs.fed.us</A>.

FOR FURTHER INFORMATION CONTACT: Ken Arbogast, Huron-Manistee National=20
Forests; telephone: 231-775-2421; fax: 231-775-5551. See address above=20
under Addresses. Copies of documents may be requested at the same=20
address. Another means of obtaining information is to visit the Forest=20
Web page at <A =
href=3D"http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=3Dleavin=
gFR.html&amp;log=3Dlinklog&amp;to=3Dhttp://www.fs.fed.us/r9/hmnf">http://=
frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=3DleavingFR.html&amp;lo=
g=3Dlinklog&amp;to=3Dhttp://www.fs.fed.us/r9/hmnf</A> then click on =
``Project and=20
Planning,'' then ``Mio District,'' and then ``USA and State South=20
Branch 1-8.'' Individuals who use telecommunication devices for the=20
deaf (TTY) may call 1-231-775-3183.

SUPPLEMENTARY INFORMATION:

Purpose and Need for Action

    The purpose for action is to respond to the proponent, Savoy=20
Energy, LP's (Savoy) proposal to exercise its rights under Federal=20
leases to drill for, extract, remove and dispose of all the oil and gas=20
from leased lands. The Huron-

[[Page 8298]]

Manistee National Forests (Forest Service) and the Bureau of Land=20
Management (BLM) received an Application for Permit to Drill (APD)=20
including a Surface Use Plan of Operation (SUPO) from Savoy.
    A response to the application is needed because Savoy has lawful=20
oil and gas rights to three State and three Federal leases in a 640=20
acre drilling unit and the Forest Supervisor (FS) and the Milwaukee=20
Field Office Manager (BLM) are required by regulation to evaluate and=20
decide upon operating plans received from industry for exploration and=20
development of Federal leases. The agencies must ensure Savoy's=20
operating plan is consistent with the terms and stipulations of the=20
Federal mineral leases, applicable laws and regulations, the Huron-
Manistee's Land and Resource Management Plan, and identify any=20
additional conditions needed to protect Federal resources.
    The BLM ultimately renders a decision on the APD, and the Forest=20
Service must review and decide upon the SUPO before the BLM can make=20
its APD decision.

Proposed Action

    The Forest Service proposes to authorize Savoy to conduct surface=20
operations associated with accessing, drilling, testing, and completing=20
the USA and State South Branch 1-8 Well, as described in detail under=20
Alternative 2: The Proposed Action and described in the Surface Use=20
Plan of Operations (SUPO) and Application for Permit to Drill (APD)=20
submitted to the BLM. The Forest Service would approve the Surface Use=20
Plan of Operations for the USA and State South Branch 1-8 Well.
    The BLM proposes to authorize Savoy to conduct operations to drill=20
test and complete the proposed exploratory well on the subject leases=20
and approve the APD submitted for this well.
    The Forest Service and BLM authorization would include reasonable=20
and necessary mitigation to ensure Savoy's operations would be in=20
compliance with law, regulation, and policy.
    Savoy holds six subsurface mineral leases included in a 640 acre=20
drilling unit in South Branch Township (T25N, R1W), Crawford County,=20
Michigan, Section 7 E \1/2\, Section 8 W \1/2\. This 640 acre drilling=20
unit includes three State and three Federal oil and gas leases. Savoy=20
is proposing to drill directionally from National Forest System lands=20
within the boundaries of the Huron-Manistee National Forests to the=20
bottomhole located in Federal mineral lease MIES 50521 approximately=20
2,200 feet NW of the surface hole and construct associated=20
infrastructure including a production facility and flowline if Savoy=20
determines the well could produce a commercial product.
    Savoy's proposal includes: Leveling of the well pad (approximately=20
3.5 acres) for the drilling rig, equipment, and pit, including some=20
minor cut and fill using a bulldozer to level the surface. It also=20
includes the use, reconstruction and maintenance of existing roads for=20
year-round access, including snow plowing along portions of River Lake=20
Road (aka Hickey Creek Road), FSR 4209 (Mason Chapel Road), and FSR=20
4208, to access the well site; construction and maintenance of 50 feet=20
of new road, 14 feet wide with three feet of clearing on each side of=20
the new road (approximately 0.05 acre of disturbance) to access the=20
well pad from FSR 4208; and drilling a water well at the well pad site=20
to provide water for drilling and future well maintenance, if needed.=20
Following these activities drilling equipment would be moved in and=20
rigged up.
    Drilling and well completion would be expected to take 45 days.=20
Drilling operations would be restricted to a time period of December 1=20
to April 15. The well pad would be approximately 3.5 acres in size.=20
Standard and accepted drilling techniques and practices would be used=20
and must comply with mininum operating standards approved by Michigan=20
Department of Natural Resouces and Environment and the BLM. This=20
includes a casing program, pressure control equipment, and proposed=20
drilling fluids program. Hazardous materials, including stimulation and=20
completion fluids, would be contained in steel tanks and disposed of by=20
a licensed waste hauler.
    Additional actions proposed if the well is productive include:=20
construction of a production facility located in SE, Section 9, T25N,=20
Ri W, (approximately 1.5 miles from the well pad) on approximately 2.0=20
acres, including intallation of a gas/water separator, oil and brine=20
tanks, dehydrator, compressor, volume bottle, and measurement=20
(monitoring) equipment; installation of flowlines from the well site to=20
the production facility site, buried along side the road bed and a=20
pipeline to the Michigan Consolidated Gas transmission line, totaling=20
approximately 1.7 miles, and reclamation of the well pad, following=20
drilling and completion, leaving \1/3\ acre used for well operations.
    If the well is not capable of commercial production, the operator=20
plug and abandon the well under applicable State and BLM rules.=20
Reclamation of the site according to the reclamation plan included with=20
the SUPO would occur within six months of completion of well plugging.=20
This would include: Recontouring and stabilizing all excavations,=20
topsoil removed during leveling will be spread evenly over the site=20
except the roads; the site would be seeded with a Forest Service=20
approved mix; the flowline route would be restored and the 50 foot=20
access road would be obliterated.
    Michigan Department of Natural Resources and Environment's Water=20
Management Practices on Forest Land will be used to manage the roads.=20
Additionally, prior to reconstructing FSR 4209, approximately 150 feet=20
of silt fence would be placed per FS direction adjacent to the south=20
side of the road for wetland protection.
    The operator would maintain a dike around the condensate and brine=20
tanks at the production facility of sufficient size and height so as to=20
contain 150% of the total capacity of the tanks.
    The width of the reconstucted roads would not exceed 14 feet. An=20
additional 3 feet of clearing would be done on each side of the road.=20
Clearing width would not exceed 20 feet.
    Soil disturbed with the placement of the flowline/pipeline would be=20
seeded with mix specified by the Forest Service.
    Roads into the well pad and production facility would be gated and=20
locked.
    Road design and construction would take into account visual=20
quality.
    Minimization of noise is to be emphasized during drilling,=20
completion, and production operations. Hospital-type engine mufflers=20
would be used on drilling, completion, and work over rigs, mud pumps,=20
and compressors. No pumps or motors would be placed on the surface of=20
the well or at the well site. The total sound level for the production=20
facility would not exceed 36 dBA at 1,320 feet if more than one well is=20
being processed. If the production facility is processing gas from one=20
well, the sound level would not exceed 33 dBA at 1,320 feet. The=20
production facility would be constructed to meet these sound levels.
    Off-road equipment would be inspected by a Forest Service=20
representative and washed if needed to prevent introduction of non-
native invasive plants that are not already present in the project=20
area.
    Protection will be provided for Endangered, Threatened and=20
Sensitive Species in accordance with law, regulation and policy.
    The Forest Service, the BLM, and MDNRE will coordinate inspections=20
to ensure compliance with requirements.

[[Page 8299]]

Possible Alternatives

    No Action alternative: The Forest Service would not approve the=20
SUPO and br the BLM would not approve the APD. Current direction would=20
continue to guide management of the project area. The USA and State=20
South Branch 1-8 well would not be drilled, no flow lines would be=20
installed, and no production facility would be constructed.
    Alternative 2: Modification of Savoy's Proposal--The Forest Service=20
would approve the SUPO and the BLM would approve the APD subject to=20
additional conditions of approval necessary for resource protection.=20
Alternative 2 would be the same as the proposed action except with=20
additional conditions of approval to the SUPO and APD based on=20
mitigation developed to respond to the issues raised.

Lead and Cooperating Agencies

    The BLM and the Forest Service entered into an Memorandum of=20
Understanding (MOU) in April 2006 ``to establish procedures for the=20
coordinated dministration of oil and gas operations on Federal leases=20
within the National Forest System (NFS).'' The MOU identifies the=20
responsibilities of the agencies to provide efficient, effective=20
adherence to rules and regulations for each. Specifically, the MOU=20
states,

    ``111A3. `* * * the Forest Service has the full responsibility=20
and authority to approve and regulate all suface -disturbing=20
activities associated with oil and gas exploration and development=20
through analysis and approval of the SUPO component of an APD.' ''=20
VB] Forest Service will: Serve as lead agency for oil and gas * * *=20
environmental analyses required for APD: * * *''
    ``111A2. The BLM has the authority and responsibility to provide=20
final approval of all APDs, including those for operations on=20
Federals leases on NFS lands * * * The BLM has the authority and=20
responsibility to regulate all down-hole operations and directly=20
related surface activities and use, and provide approval of the=20
drilling plan and final approval of the APD on NFS lands.''

    This MOU is consistent with the NEPA regulations, 40 CFR 1501.5=20
Lead Agency and 1501.6 Cooperating Agencies, identifying the Forest=20
Service as the lead agency and the BLM as the cooperating agency.

Responsible Official for Lead Agency

    Barry Paulson, Forest Supervisor, Huron-Manistee National Forests,=20
1755 S. Mitchell Street, Cadillac, MI 49601.

Responsible Official for Cooperating Agency

    Mark Storzer, Field Manager, Bureau of Land Management, Milwaukee=20
Field Office, 626 E Wisconsin Ave. Suite 200, Milwaukee, WI 53202-46=20
17.

Nature of Decision To Be Made

    The Forest Supervisor of the Huron-Manistee National Forests will=20
issue a decision on whether to approve, approve subject to specified=20
conditions, or disapprove for stated reasons, the proposed Surface Use=20
Plan of Operations or development of the well and construction and=20
operation of the flowline/pipeline and production facilities.=20
Similarly, the BLM Field Manager in Milwaukee will issue a decision on=20
whether to approve the Application for Permit to Drill as submitted,=20
approve subject to appropriate modifications or conditions, or=20
disapprove for stated reasons.

Preliminary Issues

    We expect issues to include possible effects of noise, odor and=20
changes to the visual quality from the project on anglers and visitors=20
to the Semi-Primitive Nonmotorized area and Mason Tract, as well as the=20
possible effects of the project on tourism in the county.

Permits and Licenses Required

    Savoy will be required to obtain a State permit for drilling from=20
the Michigan Department of Natural Resources and Environment.

Scoping Process

    This notice of intent initiates the scoping process, which guides=20
the development of the environmental impact statement. The Forest=20
Service plans to scope for information by contacting persons and=20
organizations interested or potentially affected by the proposed action=20
by using mailings, public announcements, and personal contacts.
    It is important that reviewers provide their comments at such times=20
and in such manner that they are useful to the agency's preparation of=20
the environmental impact statement. Therefore, comments should be=20
provided prior to the close of the comment period and should clearly=20
articulate the reviewer's concerns and contentions. The submission of=20
timely and specific comments can affect a reviewer's ability to=20
participate in subsequent administrative appeal or judicial review.
    We are especially interested in information that might identify a=20
specific undesired result of implementing the proposed action. Comments=20
will be used to help formulate alternatives to the proposed action.=20
Please make your written comments as specific as possible as they=20
relate to the proposed action, and include your name, address, and if=20
possible, telephone number and e-mail address.
    Comments received in response to this solicitation, including names=20
and addresses of those who comment, will be considered part of the=20
public record on this proposed action and will be available for public=20
inspection. Comments submitted anonymously will be accepted and=20
considered; however, those who submit anonymous comments will not have=20
standing to appeal the subsequent decisions under 36 CFR part 215.=20
Additionally, pursuant to 7 CFR 1.27(d), any persons may request the=20
agency to withhold a submission from the public record by showing how=20
the FOIA (Freedom of Information Act) permits such confidentiality.=20
Persons requesting such confidentiality should be aware that under FOIA=20
confidentiality may be granted in only very limited circumstances, such=20
as to protect trade secrets. The Forest Service will inform the=20
requester of the agency's decision regarding the request for=20
confidentiality and, should the request be denied, return the=20
submission and notify the requester that the comments may be=20
resubmitted with or without name and address within 90 days.

    Dated: February 16, 2010.
Barry Paulson,
Forest Supervisor.
[FR Doc. 2010-3587 Filed 2-23-10; 8:45 am]
BILLING CODE 3410-11-M

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