DAQ-2025-001043

1
DAQC-PBR102120001-25
Site ID 102120 (B1)
MEMORANDUM

TO: FILE – SCOUT ENERGY MANAGEMENT LLC – Monument Federal 24-17-9-16

THROUGH: Rik Ombach, Minor Source Oil and Gas Section Manager

FROM: Chris Jensen, Environmental Scientist

DATE: February 18, 2025

SUBJECT: OIL AND GAS PERMIT-BY-RULE EVALUATION

INSPECTION DATE: January 22, 2025

SOURCE LOCATION: Lat: 40.0254364 Long: -110.1456528
Duchesne County

Business Office:
Scout Energy Management, LLC
13800 Montfort Drive, Suite 100
Dallas, TX 75240

SOURCE TYPE: Disposal Facility/Water Injection
API: 4301331682

SOURCE CONTACTS: Chris Breitling, Corporate Environmental Contact
Phone: [phone], Email: [e-mail]
Kevan Stevens, Field Contact
Phone: [phone], Email: [e-mail]

OPERATING STATUS: Operating

PROCESS DESCRIPTION: Produced water is brought here for disposal and enhanced
recovery by underground pipeline. The water is reinjected to
flood a producing formation

APPLICABLE REGULATIONS: Utah Administrative Code (UAC) R307-500 Series for the Oil
and Gas Industry, and UAC R307-201: Emission Standards:
General Emission Standards; and UAC R307-150: Emission
Inventories.

SOURCE EVALUATION: Site Type: PBR-Uncontrolled
No Flare Controls,
DOGM current 12 month rolling production is: 0 BBLs.
Utah Statute R307-506 requires a source with throughput
greater than 8,000 BBLs to have controls.

REGISTERED EQUIPMENT: Pneumatic controller

# - $ . ) . )
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General Provisions

Visible emissions are within the following opacity limits: VOC Control Devices and Gasoline engines 0%, Diesel engines 20%, Natural Gas Engines and Boilers, Treater burners & Tank burners 10%, Mobile source dust 10%. [R307-201-3] In Compliance. No visible emissions were detected by use of the USEPA Method 9. VOC emissions are, at all times, minimized as reasonably practicable by equipment design, maintenance and operation practices. [R307-501-4(1)] In Compliance. The expected components were found installed. The DAQ observed the installation for a cycle and it seems to be operating as expected. The source was surveyed by AVO and with an OGI camera and was found to be well-kept with no visible or fugitive emissions. All natural gas-driven pneumatic controllers are in compliance with 40CFR 60.5390 or 60.5390a as applicable. Tagging and record keeping requirements are not required. [R307-502-4] In Compliance. The natural gas-driven pneumatic controller at this source are not continuous bleed but are low-bleed or snap acting. Oil and Gas Industry Registration Requirement The source is registered with the DAQ. [R307-505-3(3)] Out of Compliance. At the time of inspection this source was not registered with the DAQ Registration has been updated within 30 days of a company name change, removal or addition of control devices, or termination of operations. [R307-505-3(3)] Out of Compliance. This well was sold to Scout Energy approximately a year ago. Scout did not ensure the registrations by Ovintiv USA were correct or complete.
PREVIOUS ENFORCEMENT
ACTIONS: None in the past 5 years.

COMPLIANCE STATUS &
RECOMMENDATIONS: Out of Compliance. The source was surveyed by AVO and with
an OGI camera and was found to be well-kept with no visible or
fugitive emissions. This is a water injection well for enhanced
recovery. The only possible emissions sources are a wall heater
and the fuel supply piping and a pneumatic control. The source
was not permitted with UDAQ. UDAQ did a map spatial
analysis to expose other water injection wells that may have also
not been registered. Scout quickly went through the list and
permitted all that were not in error. No enforcement action is
recommended.

RECOMMENDATION FOR
NEXT INSPECTION: The DAQ has no recommendations for the next inspector other
than what are customary. The DAQ was joined by Scout
personnel during the site inspection.

RECOMMENDATIONS FOR NSR: None

ATTACHMENTS: Email