Comparison of Air Emission Standards

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Cmparisn f Air Emissin Standards CSSD Perfrmance Standards (Issued August 19, 2013) and Pennsylvania General Plan Apprval and/r General Operating Permit BAQ-GPA/GP-5 GP-5 (Issued February 1, 2013). 1/14/2014 The Center fr Sustainable Shale Develpment (CSSD) is an independent nnprfit rganizatin based in Pittsburg, Pennsylvania. The Center prvides a frum fr a diverse grup f stakehlders t share expertise with the cmmn bjective f develping slutins and serving as a center f excellence fr shale gas develpment. CSSD s missin is t supprt cntinuus imprvement and innvative practices thrugh perfrmance standards and third-party certificatin. CSSD has develped initial perfrmance standards fr peratrs engaged in uncnventinal explratin, develpment, and gathering activities including site cnstructin, drilling, hydraulic fracturing and prductin in the Appalachian Basin. These standards represent cnsensus n what is achievable and prtective f human health and the envirnment. Bureau f Air quality f the Pennsylvania Department f Envirnmental Prtectin develped a General Permit, Pennsylvania General Plan Apprval and/r General Operating Permit BAQ-GPA/GP-5 GP-5 t authrize the cnstructin, mdificatin, and/r peratin f natural gas cmpressin and/r natural gas prcessing facilities. This dcument prvides a cmparisn f the requirements in air standards.

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 9 Reduced Emissins Cmpletins (REC) Exemptin Categry N. 38 1 Beginning n 1/1/14 direct all pipeline-quality gas during cmpletin f develpment wells and re-cmpletin r wrkver f any well int a pipeline fr sales. N venting allwed must be flared in accrdance with CSSD Perfrmance Standard N. 10. Acceptable reasns fr flaring lw cntent f flammable gas and safety reasns. Unacceptable reasns fr flaring i) lack f pipeline cnnectin except fr explratry r extensin wells; ii) inadequate water dispsal capacity; iii) inadequate r lack f flwback equipment r perating persnnel. Requires cmpliance with NSPS requirements in 40 CFR Part 60, Subpart OOOO. Beginning 10/15/12 - N venting allwed must capture and direct flwback emissins t a cmpletin cmbustin device, except in cnditins that may result in a fire hazard r explsin. Beginning n 1/1/15 direct all pipeline-quality gas during cmpletin f develpment wells and recmpletin r wrkver f any well int a pipeline fr sales. Open Flaring is nly allwed under the fllwing circumstances: used at explratin wells t determine whether il and/r gas exists in gelgical frmatins r t appraise the physical extent, reserves and likely prductin rate f an il r gas field. Flaring used fr repair, maintenance, emergency r safety purpses. Flaring used fr ther peratins at a wellhead r facility t cmply with 40 CFR Part 60, Subpart OOOO requirements. Enclsed cmbustin device including enclsed flare must be used fr all permanent flaring peratins at a wellhead r facility. These flaring peratins will be designed and perated in accrdance with the requirements f 40 CFR 60.18. VOC emissins less than 2.7 tpy VOCs frm facility are exempted. If 95% cntrl frm strage tanks is achieved, thse emissins are exempted. N de minimis emissin threshld per tank as allwed in NSPS Subpart OOOO. If the VOCs include HAPs, the HAP exemptin criteria in this paragraph will be met. Cmbined HAP emissins at the facility less than 1000 lbs f a single HAP r ne tn f a cmbinatin f HAPs in any cnsecutive 12-mnth perid. Nte: The abve highlights are nt explicitly included. 1 49 Pennsylvania s Air Quality Permit Exemptins 1

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 10 Flaring Raised/elevated flares r engineered cmbustin device with a reliable cntinuus ignitin surce. 98% destructin efficiency. Develpment well: flaring n mre than 14-days (fr life f well). Explratry/Extensin wells: Flaring n mre than 30-days (fr life f well). N visible emissins frm flares except fr perids nt t exceed a ttal f five minutes during any tw cnsecutive hurs. Exemptin Categry N. 38 2 Flaring during cmpletins as allwed by NSPS Subpart OOOO. Other requirements include the fllwing: Enclsed flare (Raised/elevated flares r engineered cmbustin device) must be used fr permanent installatins. All permanent enclsed flaring peratins must be designed and perated in accrdance with the requirements f 40 CFR 60.18. Open Flaring is nly allwed under the fllwing circumstances: Flaring used at explratin wells t determine whether il and/r gas exists in gelgical frmatins r t appraise the physical extent, reserves and likely prductin rate f an il r gas field. Flaring used fr repair, maintenance, emergency r safety purpses. Flaring used fr ther peratins at a wellhead r facility t cmply with 40 CFR Part 60, Subpart OOOO requirements. Opacity is limited t 20% r greater fr an aggregated 3 min perid in any 1 hur, but cannt be equal t r greater than 60% pacity at any time. Nte: Enclsed Flare infrmatin is missing. 2 Pennsylvania s Air Quality Permit Exemptins 2

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania Diesel Nnrad Drilling Rig Engines 11 States including Pennsylvania are precluded frm establishing any emissins limitatins ther than thse Meet EPA Tier 2 standards by March required by 40 CFR Part 89. 20, 2013. 25% f wner/peratr engine utilizatin (hp) meeting EPA Tier 4 standards fr PM by March 20, 2015. Nn-rad engines are exempt frm permitting requirements under Exemptin Categry N. 38. 3 All nn-rad engines must cmply with federal emissin standards fund in 40 CFR Part 89, Subpart B r 40 CFR Part 1039, Subpart B based upn the engine s mdel year. 75% f wner/peratr engine utilizatin (hp) meeting EPA Tier 4 standards fr PM by September 24, 2015. Only ultra-lw sulfur diesel fuel will be available. 95% f wner/peratr engine utilizatin meeting EPA Tier 4 standards fr PM by September 24, 2016. Use ultra-lw sulfur diesel (15ppm f sulfur) at all times. Nte: State preemptin is included in the ftnte. 3 Pennsylvania s Air Quality Permit Exemptins 3

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 11.1 Diesel Nnrad Fracturing Pump Engines Meet EPA Tier 2 standards by March 20, 2014. 25% f wner/peratr engine utilizatin (hp) meeting EPA Tier 4 standards fr PM by September 24, 2015/ March 20, 2016. 75% f wner/peratr engine utilizatin (hp) meeting EPA Tier 4 standards fr PM by September 24, 2016. States including Pennsylvania are precluded frm establishing any emissins limitatins ther than thse required by 40 CFR Part 89. Nn-rad engines are exempt frm permitting requirements under Exemptin Categry N. 38. All nn-rad engines must cmply with federal emissin standards fund in 40 CFR Part 89, Subpart B r 40 CFR Part 1039, Subpart B based upn the engine s mdel year. Only ultra-lw sulfur diesel fuel will be available. 95% f wner/peratr engine utilizatin meeting EPA Tier 4 standards fr PM by September 24, 2017. Use ultra-lw sulfur diesel (15ppm f sulfur) at all times. Nte: State preemptin is included in the ftnte. 4

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 11.2 Diesel Heavy-Duty Vehicle Fracturing Pump Engines 50% f engines meeting EPA 2007 and Later Mdel Year Highway Heavy-Duty Vehicles and Engines emissins standards fr PM by September24, 2017. 80% f engines meeting EPA 2007 and Later Mdel Year Highway Heavy-Duty Vehicles and Engines emissins standards fr PM by September 24, 2014. States including Pennsylvania are precluded frm establishing any emissins limitatins ther than thse required by 40 CFR Part 86. Heavy duty vehicle engines are exempt frm permitting requirements under Exemptin Categry N. 38. All Heavy Duty vehicle engines must cmply with federal emissin standards fund in 40 CFR Part 86. Only ultra-lw sulfur diesel fuel will be available. Use ultra-lw sulfur diesel (15ppm f sulfur) at all times. Nte: State preemptin is included in the ftnte. 5

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 12 Existing Cmpressr Engines By March 20, 2014 1.5 g/hphr NOx emissin limitatin fr existing cmpressr engines greater than 100 hp. Previus Exemptin Categry N. 38 Existing cmpressr engines (thse installed prir t August 10, 2013) exempt frm any permitting r emissin limitatin requirements if less than 100 hp. Previus GP-5 CO Nne VOC Nne Prir t February 2013 - cmpressr engines greater than r equal t 100 hp and less than 1500 hp were subject t the previus GP-5 emissins limitatins: 2.0 g/hp-hr NOx. 2.0 g/hp-hr CO. 2.0 g/hp-hr VOCs. Emissin test results indicate that the existing cmpressr engines authrized under the previus GP-5 are generally meeting the CCSD perfrmance standard f 1.5 g/bhp-hr f NOx. 4 4 Emissin Test Results 6

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 12.1 New Lean-Burn Cmpressr Engines Emissins limitatins fr new, purchased, replacement, recnstructed, r relcated lean-burn engines greater than 100 hp: 0.5 g/hp-hr NOx. 2.0 g/hp-hr CO. 0.7 g/hp-hr VOCs. Frmaldehyde Nne HAPS N facility wide limit Exemptin Categry N. 38 (Cmpressr Engines at the Wellpad) 5 Cmpressr engines at the wellpad (thse installed n r after August 10, 2013) are exempt frm permitting requirements prvided that: NOx emissins frm statinary internal cmbustin engines at the wells, and wellheads are less than 100 lbs/hr, 1000 lbs/day, 2.75 tns per zne seasn (May 1 t September 30); and 6.6. tns per year n a 12- mnth rlling basis. VOC emissins frm facility is less than 2.7 tpy, VOC frm facility is exempted. If the VOCs include HAPs, the HAP exemptin criteria in this paragraph will be met. Cmbined HAP emissins at the facility less than 1000 lbs f a single HAP r ne tn f a cmbinatin f HAPs in any cnsecutive 12-mnth perid. GP-5 (Cmpressr Engines at Natural Gas Cmpressin and/r Prcessing Facilities) (Feb. 2013) The facility emissins are limited t nn-majr emissin threshlds. (Synthetic Minr) 6 Natural gas fired lean burn engines less than r equal t 100 hp: 7 2.0 g/hp-hr fr NOx. 2.0 g/hp-hr fr CO. Natural gas lean burn engines greater than 100 hp and less than r equal t 500 hp: 8 1.0 g/hp-hr fr NOx. 2.0 g/hp-hr fr CO 0.7 g/hp-hr fr nn-methane/nn-ethane hydrcarbns (except frmaldehyde). Natural gas lean burn engines greater than 500 hp: 9 0.5 g/hp-hr fr NOx. 93% reductin fr CO. 0.25 g/hp-hr fr nn-methane/nn-ethane hydrcarbns (except frmaldehyde). 0.05 g/hp-hr fr frmaldehyde. 5 Pennsylvania s Air Quality Permit Exemptins 6 A synthetic minr permit restricts the facility s actual emissins t less than any f the majr facility threshlds n a 12-mnth rlling basis. Individual surces at the facility cannt exceed any surce specific emissin limitatin included in the GP-5. This prvisin allws the cmpanies t use lwer emitting equipment and prcess mre gas resulting in lwer emissins per unit f natural gas prcessed. This prvisin als maximizes the gas prcessed at ne facility which shuld ultimately result in fewer facilities and a smaller peratinal ftprint fr a cmpany. 7 Pennsylvania s GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities, Sectin B 8 Pennsylvania s GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities, Sectin B 9 Pennsylvania s GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities, Sectin B Nte: Synthetic Minr infrmatin is missing. 7

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 12.2 New Rich-Burn Cmpressr Engines Exemptin Categry N. 38 (Cmpressr Engines at the Wellpad) 10 Emissins limitatins fr new, purchased, replacement, recnstructed, r relcated rich-burn engines greater than 100 hp: 0.3 g/hp-hr NOx. 2.0 g/hp-hr CO. 0.7 g/hp-hr VOCSs. Frmaldehyde - Nne Cmpressr engines at the wellpad (thse installed n r after August 10, 2013) exempt frm permitting where: NOx emissins frm statinary internal cmbustin engines at the wells, and wellheads are less than 100 lbs/hr, 1000 lbs/day, 2.75 tns per zne seasn (May 1 t September 30); and 6.6 tns per year n a 12- mnth rlling basis. VOC emissins less than 2.7 tpy, VOCs frm facility are exempted. If the VOCs include HAPs, the HAP exemptin criteria in this paragraph will be met. Cmbined HAP emissins at the facility less than 1000 lbs f a single HAP r ne tn f a cmbinatin f HAPs in any cnsecutive 12-mnth perid. Cverage under GP-5 (Cmpressr Engines at Natural Gas Cmpressin and/r Prcessing Facilities) (Feb. 2013) The facility emissins are limited t nn-majr emissin threshlds. (Synthetic Minr) 11 Natural gas fired rich burn engines less than r equal t 100 hp: 12 2.0 g/hp-hr NOx. 2.0 g/hp-hr CO. Natural gas rich burn engines greater than 100 hp and less than r equal t 500 hp: 13 0.25 g/hp-hr NOx. 0.30 g/hp-hr CO; 0.2 g/hp-hr fr nn-methane/nn-ethane hydrcarbns (except frmaldehyde). Natural gas rich burn engines greater than 500 hp: 14 0.20 g/hp-hr NOx. 0.30 g/hp-hr CO. 0.20 g/hp-hr fr nn-methane/nn-ethane hydrcarbns (except frmaldehyde). 76% reductin fr frmaldehyde. 10 Pennsylvania s Air Quality Permit Exemptins 11 A synthetic minr permit restricts the facility s actual emissins t less than any f the majr facility threshlds n a 12-mnth rlling basis. Individual surces at the facility cannt exceed any surce specific emissin limitatin included in the GP-5. This prvisin allws the cmpanies t use lwer emitting equipment and prcess mre gas resulting in lwer emissins per unit f natural gas prcessed. This prvisin als maximizes the gas prcessed at ne facility which shuld ultimately result in fewer facilities and a smaller peratinal ftprint fr a cmpany. 12 Pennsylvania s GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities, Sectin B 13 Pennsylvania s GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities, Sectin B 14 Pennsylvania s GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities, Sectin B Nte: Synthetic Minr infrmatin is missing. 8

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 13 Strage Vessels Exemptin Categry N. 38 15 : By Octber 15, 2013 all existing r new individual strage vessels at the wellpad with VOC emissins equal t r greater than 6 tpy must install cntrls t achieve at least a 95% reductin in VOC emissins. VOC emissins less than 2.7 tpy frm the facility are exempted. If 95% cntrl frm strage tanks is dcumented, thse emissins are exempted. N de minimis emissin threshld per tank as allwed in NSPS Subpart OOOO. If the VOCs include HAPs, the HAP exemptin criteria in this paragraph will be met. Cmbined HAP emissins at the facility less than 1000 lbs f a single HAP r ne tn f a cmbinatin f HAPs in any cnsecutive 12-mnth perid. Cmpliance with abve criteria ensures cmpliance with NSPS Subpart OOOO. 15 Pennsylvania s Air Quality Permit Exemptins 9

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 14.1 Rd Packing at Reciprcating Cmpressrs GP-5/ NSPS Subpart OOOO Change rd packing at all reciprcating cmpressrs (bth existing and new), including thse at the wellhead, either every 26,000 hurs f peratin r after 36 mnths. New reciprcating cmpressrs (thse installed after August 23, 2011) change rd packing either every 26,000 hurs f peratin r every 36 mnths as well as new reciprcating cmpressrs. 16 Reciprcating cmpressrs lcated at a well site r an adjacent well site and servicing mre than ne well site are excluded frm this requirement. 17 16 40 C.F.R. 60.5385(a) Nte: This shuld be rewrded t indicate that n additinal state specific requirements ther than NSPS Subpart OOOO. 17 40 C.F.R. 60.5365(c) 10

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 14.2 Pneumatic Cntrllers GP-5/ NSPS Subpart OOOO By Octber 15, 2013, pneumatic cntrllers (bth existing and new): Lw bleed, with a natural gas bleed rate limit f 6.0 scfh r less. New pneumatic cntrllers (thse cnstructed (installed), mdified r recnstructed n r after Octber 15, 2013) lcated between the wellhead and a natural gas prcessing plant: bleed rate f 6.0 scfh r less. 18 Exceptin t 6.0 scfh bleed rate where use f a greater bleed rate is required based n functinal needs, including respnse time, safety and psitive actuatin. 19 Zer bleed when electricity (3-phase electrical pwer) is n-site. Nte: GP-5 explicitly requires cmpliance with NSPS Subpart OOOO. 18 40 C.F.R. 60.5390(c)(1) 19 40 C.F.R. 60.5390(a) 11

20 Pennsylvania s GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities, Sectin D 12 CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 14.3 Centrifugal Cmpressrs GP-5 -Natural Gas Cmpressin and/r Prcessing Facilities New centrifugal cmpressrs may nt cntain wet il seals. Replace wrn ut wet seals n existing centrifugal cmpressrs with dry seals. Cmpliance with NSPS Subpart OOOO requirements fr centrifugal cmpressrs. 20 Reduce VOC emissins frm each centrifugal cmpressr wet seal fluid degassing system by 95.0 percent r greater. If a cntrl device is used t reduce emissins, yu must equip the wet seal fluid degassing system with a cver that meets the requirements f 60.5411(b), that is cnnected thrugh a clsed vent system that meets the requirements f 60.5411(a) and ruted t a cntrl device that meets the cnditins specified in 60.5412(a), (b) and (c). As an alternative t ruting the clsed vent system t a cntrl device, yu may rute the clsed vent system t a prcess.

N. CSSD Perfrmance Standard Pennsylvania 14.4 Directed Inspectin and Maintenance Prgram Exemptin Categry N. 38 21 CSSD Perfrmance Standards and Pennsylvania Regulatry Standards By March 20, 2014 implement a directed inspectin and maintenance prgram (DI&M) fr equipment leaks frm all existing and new valves, pump seals, flanges, cmpressr seals, pressure relief valves, pen-ended lines, tanks and ther prcess and peratin cmpnents that result in fugitive emissins. Perfrm a leak detectin and repair (LDAR) prgram within 60 days after the well is put int prductin and annually thereafter. Use f ptical gas imaging camera (such as FLIR) r gas leak detectr. Cnduct n valves, flanges, cnnectrs, strage vessels/strage tanks, and cmpressr seals. If leak is discvered repair within in 15 days unless facility shutdwn is required r rdering replacement parts are necessary fr the repair. Mnitred by a weekly visual, auditry, and lfactry check. Yearly mechanical r instrument check t detect leaks. Repair detected significant leaks in a timely manner. N leak repair quantificatin N FLIR r gas detectr Upn written request dcumenting justificatin DEP may grant extensin fr leak detectin deadlines r repairs. A leak is cnsidered repaired if ne f the fllwing can be demnstrated: N detectable emissins cnsistent with EPA Methd 21 specified in 40 CFR Part 60, Appendix A A cncentratin f 2.5% methane r less using a gas leak detectr and a VOC cncentratin f 500 ppm r less N visible leak image when using an ptical gas imaging camera N bubbling at leak interface using a sap slutin bubble test specified in EPA Methd 21 Any ther methd apprved in writing by the Department GP-5 LDAR Prgram at a minimum, n a mnthly basis perfrm a leak detectin and repair prgram that includes audible, visual, and lfactry ( AVO ) inspectins. within 180 days after initial startup and at a minimum n a quarterly basis, use frward lking infrared ( FLIR ) cameras r ther leak detectin mnitring devices apprved by the Department fr the detectin f fugitive leaks. The Department may grant an extensin fr the use f FLIR camera upn receiving a written request that dcuments the justificatin. repair detected leaks as sn as pssible but n later than 15 days after the leak is detected 21 Pennsylvania s Air Quality Permit Exemptins Nte: Missing Gp-5 LDAR Prgram infrmatin. 13

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 14.5 Well-bre freeze-up emissins Facility VOC emissins exceeding 2.7 tpy may require Plan Apprval (case-by-case BAT). Eliminate VOC emissins assciated with the preventin f well-bre freeze-up (nly de minimis emissins are permitted). 14.6 Blwdwn emissins Facility VOC emissins exceeding 2.7 tpy may require Plan Apprval (case-by-case BAT). Existing and new cmpressrs are required t be pressurized when they are ff-line fr peratinal reasns in rder t reduce blwdwn emissins. 14

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 15.1 15.2 Truck Emissin Requirements By March 20, 2014-80% f all trucks used t transprt fresh water r well flwback water must meet U.S. EPA s Final Emissin Standards fr 2007 and Later Mdel Year Highway Heavy-Duty Vehicles and Engines fr particulate matter (PM) emissins. States including Pennsylvania are precluded frm establishing any emissins limitatins ther than thse required by 40 CFR Part 86. Heavy duty vehicle engines are exempt frm permitting requirements under Exemptin Categry N. 38. All nn-rad engines must cmply with federal emissin standards fund in 40 CFR Part 86. Only ultra-lw sulfur diesel fuel will be available. By September 24, 2015-95% f all trucks used t transprt fresh water r well flwback water must meet U.S. EPA s Final Emissin Standards fr 2007 and Later Mdel Year Highway Heavy-Duty Vehicles and Engines fr particulate matter (PM) emissins. Truck Lad-ut Emissins: Nne Exemptin Categry N. 38 requires cmpliance with 95% VOC reductin requirements f ther equipment such as tanker truck lad-uts, cnsistent with 60.5413 r alternate test methds as apprved by the Department. Nte: State preemptin is included in the ftnte. Requirements fr Truck Lad-ut Emissins nt included. 15

CSSD Perfrmance Standards and Pennsylvania Regulatry Standards N. CSSD Perfrmance Standard Pennsylvania 15.3 Truck Idling and Fuel Requirements 15.4 All n-rad vehicles and equipment - limit unnecessary idling t 5 minutes, r abide by applicable lcal r state laws if they are mre stringent. All n-rad and nn-rad vehicles and equipment -use Ultra-Lw Sulfur Diesel fuel (15 ppm f sulfur) at all times. Mtr vehicles with grss weight f 10,001 lbs r mre 5 minute idling limit in any cntinuus 60- minute perid. 22 Only ultra-lw sulfur diesel fuel is available 22 35 P.S. 4603(a) 16