Enough Land Leased for 20 Oil Wells in Residential and School Areas in Scio TwpCOFBY

CITIZENS FOR OIL-FREE BACKYARDS 

2531 Jackson Ave., #211
Ann Arbor, MI 48103
734-821-6888
oilfreebackyards.org
Press contact: Laura Robinson 734-929-8229 

March 25, 2015 

FOR IMMEDIATE RELEASE 

RECORDED LEASES MOVE INTO RESIDENTIAL AND SCHOOL AREAS IN SCIO TOWNSHIP;
ENOUGH LAND NOW LEASED FOR 20 OIL WELLS 

In our ongoing monitoring of oil and gas leases in Washtenaw County, COFBY has found that 62 new oil and gas leases comprising a total of 582.75 acres have recently been recorded by West Bay Exploration in Scio Township. This more than doubles the amount of land in previously recorded leases for oil and gas exploration and development in the township. These numbers represent only recorded leases, and thus there are likely others that have not yet been recorded. Scio Township recently extended its moratorium on oil and gas exploration and development until June 4. 

Importantly, these new leases allow drilling rigs and wells directly abutting areas zoned for single-family residential use, and one lease allows subsurface development inside a residential subdivision—the first recorded lease in Scio Township in a residentially zoned area. In addition, surface development leases (i.e., those allowing rigs, wells, and associated facilities) have been signed 525 feet from an elementary school, directly on a tributary to the Huron River, near areas typified by residences but not zoned residential, and closer than ever before to the Huron River itself. 

Oil and gas companies typically record leases prior to applying for drilling permits, or to transfer mineral rights to other oil and gas companies. Most of the leases recently recorded were signed over nine months ago. According to typical MDEQ well-spacing guidelines for this area and based on the pattern of the recorded leases, up to 20 oil wells on 40-acre drilling units could be drilled on the total number of acres (1062.75) now leased in Scio Township. Of these 20 drilling units, 9 are already fully leased and could begin to be used without compulsory pooling of additional unleased acreage, and 11 more would require some compulsory pooling to establish a 40-acre drilling unit. Based on new MDEQ compulsory pooling regulations, effective March 11, 2015, a well may be completed in a drilling unit that is not fully leased as long as a company has engaged in a “good-faith effort” to lease all the land in the drilling unit. 

Residential areas affected by these leases include the following: (1) Marshall Road between Zeeb and Egeler; (2) north and east of West Delhi and Miller Road, allowing drilling within 300 feet of residences on Miller Rd and directly behind the Downs subdivision on East Delhi Road; (3) R-1 residentially zoned area north of Pratt Road between Zeeb and West Delhi Rd., an area of subdivisions containing 120 single-family dwellings, allowing drilling within 300 feet of residences (4) north of Dexter-Ann Arbor Rd between Morrison and Zeeb, allowing drilling within 1450 feet of the Huron River; and (5) north of Miller Rd between East Delhi and North Wagner, with a Huron River tributary passing directly through the leased area and directly abutting R-1 zoned residential areas containing 172 single-family dwellings.

“As expected, now that spring has arrived, West Bay is making its unwelcome presence known in Scio once again,” states Laura Robinson, President of COFBY. “The extent of the recorded leases is immense and gravely concerning for the township and its residents, as Scio lies in a band of potential oil and gas reserves stretching over the county. We hear about stories circulating in the community about how some residents felt pressured or coerced into signing leases, and how there are regrets. What we’re looking at now is the incursion of the industry into and directly next to areas that are zoned residential in Scio—not simply used, planned, or typified by residences as was the case with the Wing well of last summer. We’re looking at noise, air pollution, heavy truck traffic, and potential contamination being allowed 525 feet from schoolchildren. We’re looking at a Huron River tributary, leading to Ann Arbor’s water supply, running directly through leased land. And it’s all allowed under current state law. In short, what we’re looking at is the groundwork being laid for an oil field. It’s a scenario faced by many communities that should be able to protect the health, safety, and welfare, as well as the quality of life, of their residents, and be able to plan their communities as they see fit, but who are prohibited from doing so. It’s unsafe and unfair to Michigan citizens, it’s unfair to Scio and to other Michigan townships, and it needs to change—now. Townships are doing all they can. It’s time for state legislators to address local control, setbacks, and the preservation of individuals’ rights to invest in their home purchases.”