The company proposes a facility that would accept "produced water" from oil and gas drilling operations. According to the company's plan, oil would be separated from the water and stored in holding tanks for later sale to refiners. The resulting briny water would then be pumped into seven large, shallow, membrane-lined holding ponds for treatment by evaporation.

The proposed facility would be operated by Wells Gulch Evap, Inc. The company's contact person is listed as Jim Harker of Lincoln.

Their plan received a recommended approval from the Delta County Planning Commission on June 25. The Board of County Commissioners held a public hearing on Monday and tabled consideration the company's specific development application until July 13.

The company is negotiating to buy a 124-acre site that currently is used as winter sheep range. At final build-out, the seven membrane-lined evaporation ponds ranging from 2.5 to nine acres in size would cover 40 acres and have a total holding capacity of 64.2 million gallons.

The company's specific development application to the county states, "The site will accept exploration and production (EP) water from oil and gas drilling operations. Drilling mud and cuttings will not be accepted at this site."

EP water, also known as produced water, contains high levels of minerals, salts and other chemicals classified as "non-hazardous."

The company would accept EP water from around the Rocky Mountain region. There are two other EP water sites operating in the region; one at Cisco, Utah, and another at Baggs, Wyo.

A facility in Garfield County has been closed. The Black Mountain facility near DeBeque had severe operational problems and was forced to close by the Mesa County Commissioners.

The Wells Gulch Evap Inc's documents state, "Treatment will consist of evaporation and will result in segregation of oil, salt, and water from the initial waste stream." Inspection procedures will be in place intended prevent hazardous materials from entering the facility.

Patricia Gelatt, acting West Slope supervisor for the BLM stated that, "Disposal method (of the resulting) sediments is uncertain at this time. This may create an unacceptable, long-term liability for the county."

The EP water handled at the site would be classified as a non-hazardous solid waste, the company says. According to the company's regulatory filings, "Wastes accepted at this facility include drilling fluids, produced waters and other waters associated with the exploration, development or production of crude oil, natural gas, or geothermal energy. Wastes accepted at this facility will be defined as solid waste."

Ponds will be fenced, and water in them will not contain oil, so danger to water foul is minimal, said Scott Myers of EnviroGroup, a Centennial-based consulting firm that is working on the project. The BLM's Gelatt recommended that ponds be "netted" to prevent entry of migratory birds.

The company's design and operation plan, available for public inspection at the county planning department, details numerous specifications including design, construction, operations, closure procedures, and post-closure monitoring. Myers told the county commissioners the facility would be constructed to operate a minimum of ten years.

The first phase of facility construction would include two evaporation ponds, a load-out facility, an oil/water separating unit, and holding tanks for separated oil that later will be sold to refiners.

The facility will bring an estimated 20 tanker trucks per day to the intersection of Wells Gulch Road and Highway 50 at Dominguez Canyon Road. Harker Holdings operations officer Heather Vanover told the county commissioners that when the phased construction plan reaches full capacity, up to 100 trucks per day will be transporting produced water to the facility. At peak activity the facility would accept tankers around the clock.

The operators promise to upgrade and maintain the county's Well's Gulch Road, and have pledged to make other improvements to Highway 50 as truck volumes increase.

Presence of a federally listed threatened species, the Colorado hookless cactus, in the area is a concern to the BLM. The cactus is considered sensitive to airborne road dust raised by truck traffic. Chip sealing of the road may be required if the cactus is found within 200 yards of the right-of-way. Proposed improvements to Wells Gulch Road will expand it to two, 12-foot-wide, chip-sealed traffic lanes to the facility entrance.

Access improvements, signage, and an acceleration lane northbound are planned at the Highway 50 intersection, constructed with CDOT approval and specifications, the company says.

The facility needs to get final approvals from the county and state before sale of the 124 acres can go forward.

Delta County's local government designee for oil and gas issues Bruce Bertram said if approved and built, the Wells Gulch facility will adhere to the state's strict new regulations on oil and gas operations. Those new regulations include lining the evaporation ponds, testing, and on-site monitoring. Myers of EnviroGroup said the ponds will have a triple membrane lining with inter-membrane pumping systems installed to prevent leaking on- or off-site. Monitoring wells will also be installed. Myers said the company's plans far exceed construction requirements currently in effect for the project.

The facility will be governed by state regulations, but the county has been advised to make its own "direct, unlimited access to the facility" a condition of specific development approval.

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