The Santa Barbara County Planning Commission appeared ready to reject a plan by Pacific Coast Energy Company LP to expand oil production in the Orcutt Hills.
The vote against the project was 3-2, with commissioners Daniel Blough and Larry Ferini opposed.
The commission directed county staff to come back with findings for denial at its July 13 meeting.
The project would expand PCEC’s existing well diatomite cyclic-steaming oil production and result in 192 cyclic steamed wells total.
It proposes an additional 96 new production wells and up to 48 “replacement” wells at alternate locations on approved well sites if any of the diatomite wells prove to be uneconomic.
PCEC current operations include 96 diatomite cyclic-steamed wells, of which 82 are active, 11 are idle and three have been abandoned.
PCEC consultants provided information on the environmental impacts on endangered plant and animal species near the oil pods.
“We believe we have designed a project that has minimal environment impact and maximum benefits,” said Randall Breitenbach, chief executive officer and the chairman of PCEC’s board of directors. “We have been able to design a project that makes use of the current surface. In every sense of the word this project is the best it can possibly be in this industry.”
Protecting the endangered rare evergreen shrub Yerba Santa has been a concern.
Heather Clayton, a botanist with Chambers Group’s Inc. in Orange County, said the plant is not being negatively affected by oil structures. She said the Lompoc Yerba Santa is thriving on Orcutt Hill and grows primarily in areas of disturbance.
“The plant likes the open area and well-drained sand,” Clayton said. “It is existing on site. Even with these long-going operations, much of the maintenance activities and disturbances have allowed it to still exist.”
The project includes some consideration of the vulnerable mole salamander, and prohibits surface activities within a 2,200-foot buffer around known and potential California tiger salamander ponds.
David Wolff, a principal ecologist with Sage Institute, said the lack of upland habitat elements brings a low likelihood for the animal near three proposed well pods.
“The proposed project doesn’t support any breeding ponds suitable for the (salamander),” Wolff said. “There wouldn’t be any construction impact on the CTS at those (three) locations.”
Breitenbach said the project will generate investment, tax revenue and economic activity for the county. The project description states it will promote a strong local economy by increasing employment in the region and by investing $100 million in local oil field development.
“This is not just about oil,” said Commissioner C. Michael Cooney. “It’s about jobs and money coming into the county.”
Cooney was unsure if the potential risks outweigh the benefits.
The estimated crude oil production from the field after the new additions would total 3,600 barrels per day, according to the project description.
The new wells operation and equipment would rely on existing infrastructures. The project would not require any additional buildings, roads, processing facilities or steam generators.
The proposed project site consists of approximately 285 acres located on PCEC’s 4,025-acre property known as the Newlove Lease on the Orcutt Hill production field. The fenced and gated oil development would be placed on approximately three acres of the 285-acre site.
Numerous public comments were submitted. A letter from the Environmental Defense Center dated June 27, 2016, raised comments concerning the adequacy of the project environmental impact. report
PCEC has filed a Spill Prevention Control and Countermeasure Plan, which contains operating procedures to prevent oil spills, control measures to prevent a spill from reaching waters, along with countermeasures to contain, clean up and reduce the effects of an oil spill.
Each well is forecasted to take approximately 6-10 days to complete with drill crews operating 24 hours a day, according the project description. The drilling schedule for each well includes assembly, drilling, and de-mobilization activities with 12-19 months required to drill the new wells.
Third District Commissioner Marell Brooks applauded PCEC for running a good operation and company, however, she said the future impacts are vague.
“I’m going to look at the evidence that I have and all the public comments,” Brooks said. “We heard the word ‘unpredictable’ regarding the true benefits. I’m trying to use evidence on what is certain.”
— Noozhawk staff writer Brooke Holland can be reached at bholland@noozhawk.com. Follow Noozhawk on Twitter: @noozhawk, @NoozhawkNews and @NoozhawkBiz. Connect with Noozhawk on Facebook.
