Tuesday, July 17, 2018
The Schuyler County Legislature in New York is no longer supporting the proposed Finger Lakes LPG storage facility project, known as Stagecoach, local media report. The proposal by Crestwood Midstream Partners (Houston) calls for storage of propane in underground salt caverns. The full legislature unanimously approved a resolution withdrawing its backing, support it first issued in 2014 and again in 2016.
The move came after Crestwood issued a letter to the state Department of Environmental Conservation (DEC) stating that testing performed in some of the salt caverns revealed fractures in some areas. The company requested that DEC place its review of the project on hold pending additional testing. Schuyler County Legislature chairman Dennis Fagan said he was doubtful the panel would revisit the matter. “We would need a thorough understanding of the recent well communication issue, together with convincing arguments from DEC that moving forward with the project is fully safe. I think the more likely scenario will be a denial by DEC of the permit request.” A permit application for the storage project has been before the agency since 2009.
Crestwood in its letter to DEC indicated that a solution mining well that was recently drilled showed some “communication” with other wells. The scope of the Stagecoach project was scaled back by Crestwood in August 2016, eliminating butane storage along with rail and truck moving product in and out of the facility. The project has faced fierce opposition since its inception from local municipalities, citizens groups, and property owners.
(SOURCE: The Weekly Propane Newsletter, July 16, 2018)
The move came after Crestwood issued a letter to the state Department of Environmental Conservation (DEC) stating that testing performed in some of the salt caverns revealed fractures in some areas. The company requested that DEC place its review of the project on hold pending additional testing. Schuyler County Legislature chairman Dennis Fagan said he was doubtful the panel would revisit the matter. “We would need a thorough understanding of the recent well communication issue, together with convincing arguments from DEC that moving forward with the project is fully safe. I think the more likely scenario will be a denial by DEC of the permit request.” A permit application for the storage project has been before the agency since 2009.
Crestwood in its letter to DEC indicated that a solution mining well that was recently drilled showed some “communication” with other wells. The scope of the Stagecoach project was scaled back by Crestwood in August 2016, eliminating butane storage along with rail and truck moving product in and out of the facility. The project has faced fierce opposition since its inception from local municipalities, citizens groups, and property owners.
(SOURCE: The Weekly Propane Newsletter, July 16, 2018)
