UNITED STATES ENVIRONMENTAL I'ROTECTION AGENCY

REGION S

1595 Wynkoop Slrt:C!

DENVER, CO 80202-1129

Phone 800-227-8917

hllp://www.epa.gov/region08

MAY 16 2012

Ref: 8P-AR

CI-R'IIFIIoD MAIL -RFTUR RECEIPT REQUESTED & ELECTRONIC MAIL

fan) Lucero

EI-IS Coordinator

Enerplus Resources (USA) Corporation

950 17" Street, uite 220

Denver, Colorado 80202

RE: Request for Information Pertaining to Emissions

Control Equipmcnl at Oil and Gas Production Faciliti~s 011

the Fon Berthold Indian Reservation

Dl.."ar ~tr. L 1Il:cro.

As you know, the I:.nvironmental Protection Agency (EPA) is expediting the development of a

Reservation-specific Federal Implementation Plan (FIP) to establish federally enforceable requirements

to control volatile organic compound (VQC) emissions from oil and gas production activities (i.e.

storage tank and heater-treater emissions) within the exterior boundaries oflhe Fort Berthold Indian

Reservation (FGI R) in North Dakota. The EPA's action would require owners and operators of oil and

gas well production facilities to reduce VOCs released during the extraction and storage of hydrocarbOil

reservoir fluids prior to being transferred offsite for sale or treatment.

As pan ofOllr erlort to develop federally cnforccabk' rcqllir~mcnts under the FIP for oil and gas

prmhH:tion fhci]jti~s. th'" EPA is L'vuJuuting VOC L'll1ission control h.'chnologi~s L:mplo~\;.'d b~ 0pl'r<llilr"

on till' I BIR. I he: agL:llc)' b rcqul;.'sting information that will ~1J10W us to dCkrmirh: thL' i.l~soL'iat('J L'O~t

impacts of the propost:u cmission control rC4uirL:nll:llIs.

This information request pertains to Enerplus Resources Corporation's (EnerpJus's) operations on the

FBIR. Please submit the information requested below for Enerplus's oil and gas exploration and

production facilities located on the FBIR:

I. Please provide the average cost incllITed to develop a synthetic minor permit application for an

oil and gas exploration and production facility on the FBIR,

2. Please provide the average cost incurred on an annual basis for each ofthe following types of

control equipment:
a. A pit Flare capable of achieving 90% voe destruction efficiency;

b. A utility flare that is manufacturer certified for 98% voe destruction efficiency or compliant

with !.he requirements for such flarcs at 40 eFR 60.18(b):

c. An enclosed combustor that is manufacturer certified for 98% voe destruction efficiency:

d. An auto·ignition system that includes. an electronically controlled ignition device.

continuous recording de\ ice. malfunction alann. and remote notificmion system to ensure the

continued presencc of a pilot nmn~ during operation:

c, A continuous pilot flame s)stem that includes a thennocouplc. conlinuous recording dc\icc

malfunction nlarm. and remotc notification system 10 ensure the continucd presence ofa pilot

llame: and

r. A vapor recovery system (VRU) for capture and recovery ofstorage tank gases,

3. Please describe lhe source ofthe data and the methodology used in calculating items 2(a)

through 2(t). The average annual cost incurred should include, but is not limited to, the following

list of cost elements:

a. The total capital investment (TCI) cost. which includes but is not limited to. the capital cost

for the primary control device. auxiliary equipment and instrumentation. piping. perfonnancc

testing. associated utilities. engineering and systcm design. freight. site preparation.

foundation. construction and field expenses. installation. etc.:

b. I he operation and maintcnance (O&M) cost (equipment. pilot fuel. etc.):

c. The annualized labor costs such as salary and benefits associated with

monitoringlrecordkccpinglrcporting requirements and O&M activities: and

d. The annualized non·labor costs such as office supplies. vehicle costs. and infonnation

technology.

Cost clements for each type of control equipment should not overlap to avoid duplicative cost from

ncclunulating.

4. 1'01' each piece of equipment identified in 2(:1) through 2(1). please pro\ide lhe expected life ror

each component. Any costs associated with maintenance over the life of the unit should be

annualized and included as part of the annual O&M costs reported.

5. Please provide the average cost associated with the sale of recoverable product from a VRU.

Due to !.he expedited development of the FIP, your prompt cooperation is appreciated. We request that

this information be provided to the EPA within 14 calendar days of receipt as indicated by the earlier of

certified receipt or electronic email for !.his letter. Electronic submission is preferred. Please submit

) uur n.:sponse to Eric Wortman at \..ortman.eric '" epa.gO\·.

\\ l,.' request that a dul) authori7cd officer or agent of Fne-rplus certif) as lmc. accuratc. and complete th~

r~"p('lns~ t{lthis infonn3tion b) signing the enclosed talclllcnt of Certification (Attnchment A) and

n.·turning it with the response. Such ollicer or agent must have sufficient knowledge and authority to

make such representations on behalf of Encrplus.

Pursuant to 40 C.F.R. Part 2, Subpart B, Enerplus is entitled to assert a business confidentiality claim

covering any part of the submitted infonnation. Attachment B specifies the assertion and substantiation

requirements for business confidentiality claims. Failure 10 assert such a claim makes the submitted

2
information subject to public disclosure upon request and without IU11her notice to you. pursuant to the

Freedom of Infonnation ACl, 5 U.S.c. Section 552. Infonnation subject to a business confidentiality

claim may only be made available to the public in accordance with 40 C.F.R. ParI 2, Subpart B.

It is the EPA's understanding that the average emission control device cost daw for all of Encrplus's

l~\(:ilities on the FBIR will likely not be entitled to confidential trealment as opposed to specilic cost data

lor each facility. Jfyou do claim confidentiality. we reqlJest that yOll submit that portion ol'thc response

(only tbat specilic portion for which yOll are claiming confidential treatment) separately from all other

information.

Also enclosed with this Request for Information is a Small Business Regulatory Enforcement and

Fairness Act (SBREFA) information sheet (sec Attachment C).

The requirements of this letter are not subject to the Paperwork Reduction Act of 1980, 44 U.S.c. §3501

el seq.

lrth~ information requested in this letter has previollsly bel.'n submitted to the EPA. please kIllS J...lHm.

\\ L' appn.'L·iall.· ) Dur l:oopenllion in this Ill:UIL'!'. If)' OU 11<1\1..' an) qUl'sliuns pkasc l:onlacL !:ric \VnrLlll:lll.

ol'lll) Slnrr.:ll 3UJ·31 2-6649.

GJJ~ Carl Daly, Director

Air Program

Enclosures

3

@prinfed on Retycled Paper
Auachmenl A

STATEMENT Of CERTIfiCATION

I certify under penalty of law that I have personally examined and am familiar with the infonnation

submitted in this documcnt and nIl attachmcnts and that, bascd on my inquiry ofthose individuals

immediately responsible for obtaining infonnation. I believe that the infonnation is true, accurate, and

complete. I am aware that there are significant penalties for submitting false information. including the

possibilit) or fine or imprisonmcnt.

Signature

Title

Date
Alt:u.. hment B

Confidential Business Infornultion (CBI)

Assertion and Substantiation Requirements

I. Assertion Requirements

You may assert a business confidentiality claim covering all or part of the infonnation requested in the

attached letter, as provided in 40 C.F.R. §2.203(b). If portions of a document have CBI claims. then

please provide a redacted version that would remove any CBI infornlation. To make a confidentiality

claim. submil the requested information and indicate that you are making a claim of confidentiality. Any

document over which you make a claim of confidentiality should be marked by placing on or attaching

tu thl.: inlormatiol1. at thc timc it is sllbmined to U.S. EPA. a cover sheet. stamped or typed kgl'nJ. or

other suitable form of notice employing language such as "trade secret" or "proprietary" or "company

confidential" and a date if any when the information should no longer be treated as confidential.

Information covered by such a claim will be disclosed by the United States EnviroIUncntal Protection

Agency (U,S. EPA) only to the extent permitted and by means of the procedures set forth by Section

114(c) of the Clean Air Act (the Act), and 40 C.F.R. l'al12. Allegedly eonlidential portions ofotherw!,e

non-confidential documents should be clearly identitied. U.S. EPA will construe the failure to furnish a

confidentiality claim with your response to the attached lener as a waiver of that claim. and Ihe

information may be made available to the public withoLlt fun her notice to yOll.

Pka~L' ~l:grl·gull.' p...·rsonJJl'l. mL·dintl and similar li!L:s from yuur n.:spons~s and in\.'lud.: lhal inll.lI'Inutiol1

un st:parale shcet(s) marked as "Personal Privacy Information" given that disclosure or sw..:h inf(lrlllation

to the g~neral public muy constitute an invasion or privacy.

2. Substantiation Requirements

All confidentiality claims are subject to U.S, EPA verification and must be made in accordance with 40

C.F.R. §2.208 which provides in part that you satisfactorily show that you have taken reasonable

measures to protect the confidentiality of the information and that you intend to continue to do so: and

that the information is not and has not been reasonably obtainable by legitimate means without your

consent.

As I.:xplaincd abovC'. iryou assert a CUI claim in responding to Ihl' attached letter. please sped!) which

portions or the information you consider confidenlial. You must be spccific by pnge, pnragntph••1Ilt!

Sl~ntcncc whcn idcntifying the information subjcct 10 your claim. Any information not specitically

identified as subject to contidentiality claim may be disclosed to the public and a requestor without

further notice to you. ror each ilem or class of information that you identify as being subject to CBI.

please answer the following questions. giving as much detail as possible:

a. For what period of time do you request that the information be maintained as confidentinl. e.g..

until a certain date. until the occurrence or a speci fi~d event. or pennancntly? Irthl.' OCCUITl'ncc

ora specilic l..'vcnt will create thl..' n~eJ tor confidt:ntiality. pleas...· spceil'~ that ~\'l..'nt.

b. Intormaliun sllbmittcd to U.S. EPA becomes stale over tim~. Why should Ihe inlormation yOll

claim as conl"idenlial be prolecled for the time period specified in your answer to question #1?

c. What measures have you taken to protect the intormation claimed as confidentiaJ? Have you

disclosed the infonnation to anyone other than a governmental body or someone who is bound
by an agreement not to disclose the infornlation further? Ifso. why should the information still

be considered confidential?

d. Is the infonnation contained in any publicly available material such as the Internet. publicly

available databa~cs. promotional publications. annual reports. or aniclcs? Is there any means by

\\hich a mcmbl'r of the puhlic could obtain access to the infornlation? l!ii the infomlation ofa

~lnd that ) all \\ould cU3tomaril~ not rcli,~usc to thc public?

..... Ila'i all~ gO\ cmmcllial bod) made a dctcrmination as 10 the confidcnliality of Ihe information'.) II

so. please attach a copy of the determination.

r. For each category ofinfonnation claimed as confidential, explain with specificity why release of

the information is likely to cause substantial haml to your competitive position. Explain the

specific nature ofthose harmful effects. why they should be viewed as substantial, and the causal

relationship between disclosure and such harmful effects. How could your competitors make use

of this infornlatiol1 to your detriment?

g. Do you assenlhat the infonnation is submitted on a voluntary or a mandatory basis? Please

e'\plainlhe rcason for ~our assenion. If you nssen thai the infornlation is \-olulltaril~ suhmittcd

information. explain \\hether and \\h) disclosure (lfthe infomlalion \\ould tend to lesscllthc

3\silabilit) to l .S. EPA ofsimilar infonllatioll in the future.

h. Any other issue yOli deem relevant (including. ifpeninent reasons why you believe that the

information you claim to be CBl is not emission or emuenl data.)

Please notc lhat emission data. provided under Section 114 of the Act. 42 U..C. § 7414, is not entitled

to conlidelltialtreatment under 40 C.F.R. Part 2. "Emission data" means. with reference to any source of

emission OrallY substance into the air.

Inl(lI'lllatiolll1eCessar'} to determine the identity. amount. frequency. concentration. or other

characteristics (to the extent related to air quality) of any emission which has been emitted by the source

((If or any pollutant resulting from any emission by the sOllrce). or any combination of the foregoing:

a. Information neccssary to determine the identity. amount, frequency, concentration, or other

characteristics (to the extent related to air quality) ofthe emissions which, under an applicable

standard or limitation, the source was authorized 10 emit (including. to the extent necessary for

such purposes. a description of the manner and rate of operation ofthe source); and

b. A general description ofthe location andlor nalure of the source to the extent necessary 10

identif~ the source and 10 distinguish it from other sources (including. to th~ extent necessary for

such purposes. a de~crirlion of the dc\ icc. installation. or opcratifln constituting the soureel...W

CI·.R.** ..10 l(a)(2)(i)(i\). (13) and (n

I mission data includes. but is not limited to. service records stating the amount ofrefrigeram added to a

unit or reclaimed from a unit.

2
You bear the burden ofsubstantiating your confidentialily claim. Conclusory allegations will be given

lillie or no weight in the delermination. In subslanlialing ~our CBI c1aim{s). U.S. EPA rC'quir~~ thi.ll ~nu

10 brackcl nlllc:o<t so daimcd nnd m[lr~ it "(,BI". Inlonn:Hioll so dcsign:ul..'d \\illlx' disclosl.'d b) l .S

LPA onI) to thl: '"''\tt.'nl :Il1u\\~d b). ami b) means ofthl..' procedures sl..'1lonh in. -10 C.f.R. Pun 2.

Subpart B.lf)ou fail 10 claim the inform3lion as conlidcmial. it may be made u",ilabll' to the public

\\ ilhout further notice [0 you.

3
SEPA United Stat..

Enyironment81 Protection

Agency

Attachment C

Office of Enforcement and Compliance AlUurance (2201A)

EPA 3OG-F-03-001 May 2003

u. S. EPA Small Business Resources

I

f you own a small business, the United States Environmental Protection Agency (EPA) offers

a variety of compliance assistance and lools 10 assist you in complying with federal and state

environmental laws. These resources can help you understand your environmental obligations, Improve

compliance and find cost-effective ways to comply Ihrough the use of pollution prevention and other

Innovative ted1no1ogies.

Hotllnes, Helpllnes and

Clearinghouses

EPA sponsors apprO)(lmaloly 89lroe hoIUnes and clearing·

houses thai provide convenient assistance regarding

8I'lvu't)r'fT,ental requirements.

The National Environmental Compliance AssIstance

Cklarlnghouse provkles qutek aceesslo compliance

assistance tools, contacts. and planned activities from !he

U.S. EPA. states, and Other compliance assistance

providers: httpJIwww.epa.govldeamghouse

Pollution Prevention Clearlnghouae

htIP:/twww.epa.gOll/opptintrllibrary/pplclnde)(.htm

EPA's Small BUllneas Ombudsmen Hotline can

pfOv'de a Itsl 01 all the hot lines and assIst In dete,-

mlnlnglhe hOlline best meellng your needs

(800)368 5888

Emergency Planning and Community Right-To-Know Act

(800) 424-9346

Nalional Response Cenler (to reportoll and hazardous

substance spills)

(6001424-M02

ToxlesSubstances and Asbestos Informallon

(202)S54-14()4

salli Drinking WatOf

(800)4264791

Stl1ltospheric Ozone and Refrigerants information

(800) 296-1996

Clean Air TechnolOgy Center

(919) 541.QBOO

Wedands HelplWle

(800) 832-7828

EPA Websltes

EPAhas severallnlernetaites thaI provide useftJI compliance assislance information and maleriels for small

businesses. If you don't have aCCllSS to tho Intemet at

your business, many public libraries provide access to the

Internet al mInimal or no cost.

EPA's Home Page

hllD:I/Y.ww.epe.gov

Small Business Assistance Program

ht\fJ:/Iwww,epa.govIltMbep

Office 01 Enforcement and Compliance Assurance

hno:/Iwww eoa gov1compliance

Compliance Assistance Home Page

htlpJfwww.epa.govlcompilanceiasslSlance

Oflice 01 Regulatory Enforcement

hltp:Jlwww.epa.goytcomplianoeJclvMnde)(.htmI

Office 01 Slle Remediation Enforcement

hrtpJIwww.epa.gov/compilancelcleanup

Innoyatlve Progrems for EnYlronm«ltel Perlormance

htlpJtwww.epa.govIpertners

Small Business Ombudsman

www.sba.gcN/ombudsman

Ofltce of Enforcement and Compliance AsslOrance. httpJ/wwwepa goy/compliance

6''''- __-.,..c;............. _ .... _ .... _
u.s. EPA SMALL BUSINESS RESOURCES

Compliance Assistance Centers

In partnership wilh industry. universities. and othertederal

and state agencies, EPA has established national Compli.

ance AssistallCe Canters that provide Intemet and 'iaxback"

assistallCe services fOf several industries wim many small

buslnesses. The fOllOwing Compliance AsslslallCe Cenlers

can be accossed through the Center's gateway al htlpJI

www.assistancecenters.nelorbycaliingthephonenumbers

belOw and atlheir respective websites:

Metal Finishing

(l-8Q().AT·NMFRC or 'NWW.nmfrc.org)

Printing

(1-888-USPNEAC or www.pneac.org)

Automotive Service and Repair

(1 ·888-GRN-UNK or www.ccar-greenlink,org)

Agriculture

(1.a88-663-2155 or W\vw,epa gov/agnculturc)

Printed Wiring Board Manufacturing

(1- 734·995-491 1 or wwwpwbrc.org)

The Chemical Industry

(1-800-672·6048 or www.chemaliiancQ.org)

The Transportation Industry

(1 -688-459-0656 or WI'M'.lransource.org)

The Paints and Coatings Center

(1-800-286-6372 or www.painlcenter.org)

Three new centers are under development for the auto

salvage sector. the construction Industry. and U.S_ Mexican bOrder waste Issues.

State Agencies

Many state agencies have established compliance assistance programs that provide on-sile and other types of

assistance. Contact your local state environmentai agency

for more Information. For assistance in reaching state

agencies. calt EPA's Small Business Ombudsman at

(800)'368-5888 or vlsitlhe Small Business Environmental

Homepage at hl1p:llwww.smallbiz-envlroweb.orglSlate.htmL

Compliance Incentives

EPA provides incenfives 'or environmental compliance. By

partiCipating In compliance assistance programs or

voluntarily diSclOSing and promptly correcting VlolAlions

businesses may be eligible for penalty waivers or reductions EPA has two poliCies thai pOlentlally apply to small

buslnessos The Audit Policy (hUp.;lwww,epa,govlcomplenceflncenllveslaudltmgj and Ine Small Business Policy

(hnp:flwww.epa.gov!compliancelincentlvaslsmallbusiness)

These do not apply if an enforcement action has already

been initiated.

Commenting on Federal Enforcement

Actions and Compliance Activities

The Small Business Regulatory En'orcement Fairness Act

(SBAEFA) established an ombudsman ("SBREFAOmbudsman") and 10 Regional Fairness Boards to receive comments

from small businesses about federal agency enforcement

actions. The SBREFA Ombudsman will annually rafe each

agency's responsiveness to small businesses. If you believe

that you fall within the Small Business Administration's

dellnJIion of a small business (based on your Nonh American

Industry Classification System (NAICS) designation, numbel

ot employees or annual receipts. defined a113 C.F.R.

121.201: In most cases, this means a bu~ness With 500 Of

fewer employees). and wish to comment on federal enforcemont and compliance activities. calilhe SBREFA

OmbUdsman's tOIl-free number at 1-888-REG-FAIR (t ·8BB·

734·3247)

Every sn1<l1l DUSlness thai IS 1~le subject of dn entorcemmlt

or compliance aClion IS entitled to comment on the

Agency's actions Without tear of retaliation EPA

employees are prOhibited from uSing entorcemenl or any

other means of retaliation against any member of the

regulated community because the regulated community

previously commented on Its activities

Your Duty to Comply

It you receive compliance assistance or submit comments

to the SBREFAOmbudsman or Raglonal Fairness Boards.

you 51111 have the dUty to comply with the law. Including

prOViding timely responses to EPA informatIon requests.

administrative or Civil complaints. other enforcement

actions or communications The assistance In/ormation

and comment processes do not give you any new rightS or

defenses in any enforcement action These processes

also do not affect EPA's obligation to protect public health

or thc environment under any of the environmental slatutes

it enforces. including the righlto take emergency remedial

or emergency response actions when appropriate. Those

deciSions will be based on the lacts in each situation. The

SBREFAOmbudsman and Fairness Boards do not

participate in resolving EPA's enforcement actions Also

remember that to preserve your (lgnts. you need 10 comply

with ali rules governing the enlorcement process

EPA /s disseminating this Information to you

without making 8 determination that yourbusiness

or organization Is a small bus/ness as defined by

Section 222 of the Small Business Regulatory

Enforcement Fairness Act (SBREFA) or relsted

provisions.