I do not believe disposal wells have a dang thing to do with the earth quakes in Oklahoma if that were true the Permian Basin would have earth quakes also - none to date
SandRidge Energy’s (NYSE:SD) most important assets are at the epicenter of Oklahoma’s earthquake problem, which combined with SD's precarious financial position could cause the company to become insolvent if regulators shut down its disposal wells, according to an AP analysis.
SD is the only independent, publicly traded driller that does not own a major stake in other oil and gas formations, and its cash crunch prevents it from moving operations to another region, the report says.
Disposal wells that inject wastewater byproducts into lower rock layers are a key to making the Mississippi Lime play economical, and one in six wells Oklahoma regulators have placed under a microscope belongs to SD, accounting for nearly 85% of the company’s 125 active disposal sites.
Other drillers including Devon Energy (NYSE:DVN) and Chesapeake Energy (NYSE:CHK) also operate dozens of disposal wells in the area regulators and state geologists are examining, but the other companies have less to fear because each has assets around the U.S., the report says.
Snow on a Texas night at my house rare but beautiful-God Bless America
