The tens of millions of dollars in federal infrastructure funds flowing into Louisiana have led to the capping of more than 500 orphaned oil wells in the first half of the year – a record the governor says will be transformational for the state’s environment.
A $25 million initial grant from the Bipartisan Infrastructure Law, in addition to $12.7 million in BIL money from the U.S. Fish and Wildlife Service, funded the efforts to plug 519 wells since mid-January, Gov. John Bel Edwards and the state Department of Natural Resources secretary said earlier this month.
“We had hoped the BIL funding would allow us to plug about double the average number of wells our state (Oilfield Site Restoration) program has plugged in recent years, which is around 160, but we’ve more than tripled that with about two months to go on the grant funding,” DNR Secretary Tom Harris said in a prepared statement.
Louisiana had 4,588 orphaned oil and gas wells as of last year, according to Boston University’s Institute for Global Stability. Such wells, which lack a responsive operator due to a company going out of business or being unable or unwilling to comply with state regulations, can emit methane and other harmful greenhouse gases into the air, according to the institute. Such wells can also leach contaminants into nearby water tables or soils.
Methane has been trickling out of scores of such orphaned wells in Louisiana, with a cumulative impact that adds up to a serious environmental problem, according the the DNR spokesman, Patrick Courreges. The state is also working with Louisiana State University on establishing protocols for methane and water quality testing as the infrastructure program evolves, Courreges said.
“We’re pretty confident that as this program goes on we will participate in the later rounds of this funding,” he told the Louisiana Record.
The number of such orphaned wells can rise when energy prices drop, placing financial stress on players in the oil and gas industry, according to Courreges.
Having a high number of orphaned wells can also create safety issues on properties and prevent the lands from being transitioned to a productive use, such as recreation, the Institute for Global Stability reports.