ITED TA 

### ES ENVIRO ME TAL PROTECTlO REGIO 8 1595 WYNKOOP TRE T D VER, 

### 0 H0202-1129 Phone 800-227-8917 bttp://ww .cpa.go /region08

DOCKET 

### 0.: CAA-08-2011-0026 AGE CY 

## 2011 UG 29 

## : 17

Q P EN R • I Tn

..

R\;sp od 

### lit TTEROF:


### OMP Y ) ) ) ) ) ) ) )



### Pursuant t 40 

## c.r.R. '22.13(b 

### and 22.18, 

### ofEPA's onsolidated Rules orPractice, the 

### Consent Agreement 

### resolvingihis 

### matter i 

### hereby approvt:d and incorporated by referen e 

### into thi ]'il1al rdcr. The Rcspondcnt is h reby RD' RED to comply 

### with all oflhe term 

### orth
nscnt Agrccl11 nt, ITcctivc immediately 

### upon I' 

### c 

### ipt by 

### Rcsp ndent oftlli' , n' 

### nt Agreement 

### nd final 

### rdcr, This COLUt will ace pt the electronic filing ofthe 

### onsent Agreement 

### in this matter at this time, 

### how yer 

### the Parties are to tile 

### the origin 

### ICon ent Agreement' ithin 

### seven days of is. 

### u n c f 

### this rdel'.

The Parties are hereby ORDERED 

### to comply with all ofthe terms ofthi Order. 

### effective immediately upon 

### receipt by Parties of

### this Order.

SO ORDERED Till 

# c-:>6t-t!:t D.y 

### of

# auF----'2U II



### Elyana 

### R. in 

### Regional Judicial OnIcerADMINlSTRATIVE COMPLAINT 

### AND CONSENT AGREEMENT 

### ) ) ) ) UNlTED STATES ENVIRONMENTAL PROTECTION AGENC)201J 

## AUG 29 PH 3: /8 REGION 8 DocketNo. CAA-08-20U-0026

- '. 

### r,

! 

### f:'JllJ" V 

### ", l

l- ..., fOol 

### In the Matte[ 

### of:
QEP ENERGY COMPANY Respondent.

AUTHORITY

The United States Environmental Protection Agency, Region 8 (EPA or Complainant) is issuing this Administrative Complaint and Consent Agreement (Agreement) 10 QEP Energy Company (Respondent) pursuantto Sections 113(a)(3) and 113(dXI) ofthe Clean Air Act (CM orthe Act), 42 U.S.C. 

### § 7413(a)(3) and 

### §7413(dXI). The AdministratorofU,e EPA has the authority to cnter into this Agreementand thatauthority has been properly delegated to the undersigned EPA official.

A. STAnJTORY 

### AND REGULATORY BACKGROUND

I. On June 19, 1978, EPA promulgated the Prevention ofSignificantDeterioration (PSD) regulations pursuantto Subtitle 

### 1. Part Coftbe Act. 43 .Fed. Reg. 26403. EPA revised the PSD regulations on several occasioos including August 7, 1980 (45 Fed. Reg. 52676) and December 31,2002 (67 Fed. Reg. 80186). These regulations are codified at 40 C.F.R. Part 52.

2. Terms used in this Agreementthat are defined 

### in the Actor in regulatiotlS promulgated pursuanllo the Actshall 

### have the meanings assigned to them therein, unless otherwise provided 

### in this Agreement.

3. The emission sources to which this Agreement relates are in "Indian country" a.t:; defined at 18 U.S.C. 

### §1151. 

### Tbe locations 

### ofthe emission sources 

### are identified in Appendix A.

4. Sectioo 165(a) oftheAct, 42 U.S.C. 

### § 7475(a), and the PSD regulations implementing Part C a140 

### C.F.R. §52.21(a)(2)(iii), prohibitamajor stationary source from commencing construction or major modification of

### amajor stationary sourcc without

### apermitwhich states that the majorstationary source
or modiJieatioo would meet the requirements of40 C.F.R. 

### § 52.21 G) through (r).

5. 40 C.F.R. 

### § 52.2I(b)(5) defines a "stationary source" as, any bwlding, structure, r>eility orinstallation which emits ormay emitaregulated PSD pollutant

6. 40 C.!'.R. 

### § 52.21 (b)(I)(i)(b) defines a ''major stationary source" as, among otherthings, any stationary
source 

### thatcmits, orhas the potential to emit, 250 tons peryear ormore ofany regulated PSD poLlutant.

7. On July 1. 201 I, EPA promulgated final rules titled "Review 

### ofNew Sources and Modifications in 1ndian Country." (fribal Minor NSR Rule) 76 Fed. Reg. 38748-808 (July 1,2011) (to he codified at 40 C.F.R. Parts 49 and 51). The final rules are elfective 00 August 30, 2011. 76 Fed. Reg. at 38748. Once

### effective, the niles allow, amongother things, fora synthetic minor source permitto be issued to an otherwise major source that has taken nrestriction, enforceable as a legal and practical matter, so lhat

### the source's potential to emitis less than the amounts for major sources,
8. This proceeding is governed by

### the Consolidated Rilles ofPractice Governing the Administrative Assessment ofCivil Penalties, and the 

### Revocation, Tennination or Suspension ofPenuits 

### (Consolidated Rules) set forth at40 C.F.R. Part22. The U.S. DepartmentofJusticebas coucurred with EPARegion 8's request forauthorization to commence an administrative enforcementaction in 

### lhis matter.

9. This 

### Agreement is voluntarily entered into by the EPA and the Respondent for the purpose of simultaneously conunencing and concluding this matter, a'l 

### authorized by 40 C.F.R. § 22.13(b), amI executed pursuantto 40 C.F.R. § 

### 22.18(b)(2) and (3) ofthe Consolidated Rules.



### B. INTRODUCl'ORY PROVISIONS

1. 

### TIus Agreementaddresses aunique situation in thatthe Respondent is unable to obtain an effective synthetic minor sourcc pennit 

### from EPA prior to commencing construction because, pursuant to the new Tribal MinorNSRRule, the authority to issue such pennits begins Augusl30, 2011.

2. TItis Agreement is entered into by

### EPA and Respondent to settle alleged violations and allow Respondents to comply as expeditiously as possible with the requirements ofthe CAA, specifically PSD, ofcertainBakken FormationOil and Gas Emission Sources (emission sources) owned and/oroperated by Respondent, localed within the exteriorboundaries ofthe Fort Berthold Indian Reservation in

### North Dakotaas described in 

### Appendix A.

3. Respondent' admits thejurisdictional allegations in this Agreement butdoes not admitthe specific factual allegations orlegal conclusions made by the Complainantherein.

4. Respondent waives its rights to H 

### hearing before any tribWlai and to contestany issue oflaw or facl sel forth in this Agreement.

5. Complainantasserts that settlementoflhis matteris in 

### the public interest. Complainantand Respondent agree thatresolvingthis matter wiihout further litigation and without adjudication ofany issue offact or law is appropriate.

6. This Agreement, which i.ncludes Appendices A and B, upon incorporation into aFinal Order, applies to and is binding upon EPA and upon Respondenl, and Respondent's officers, directors, employees, agents. successors and assigns.

7. This Agreement contains all 

### teans ofthe settlementagreed to by

### the EPA and Respondent.

2C. ALLEGED VIOLATIONS



### I. Respondent is aTexas corporation and 

### theretore a "person" as defined in section 302(e) ofthe 

### eM. 42 U.S.C. § 

### 7602(e).

2. Respondent owns and/oroperates tJle 

### emission sourcesdescribed in 

### Appendix A.

3. Complainantalleges that Respondent violated the CAA by

### constructing each ofLhe major stationary
sources identified in Appendix A. Table A-I without first 

### obtaining a P"O pemlit pursuant to 40 C.F.R. § 

### 52.21.

D. REQUIREMENTS UNDER TillS AGREEMENT



### TheEPA and Respondent., by 

### theirundersigned representatives, bereby consent and agree as follows:

1. Pennitting

a Within oneyear oftbeeffective date ofthis Agreement, for 

### all Existing Emission Sources listed in 

### Appendix A. Table A-I, Respondent shall submit to EPA acornplete synthetic minor soutee permit application under EPA's Tribal M.hlOr NSR Rule. lfRespondent determines that an emission source was incorrectly u\cluded in Appendix A, Table A-I, it !nay notify EPA ofthat fact by October 14,2011. In this clrcwnstnnce, Paragraph F.13 below shaH apply. b. By October 1. 2011, Respondent shall submit to EPA a complete 

### synthetic minor source 

### permit application forNew Emission Sources listed in Appendix A, Table A-2 

### that wiU commence 

### eonslnletionduring the period starting August 31, 20II, and ending December31, 20I!.
c. ByNovember 1,2011, Respondent shall submit to EPA a complete synthetic minor source pennil 

### application for 

### New Emission Sources listed 

### in Appendix A, Table A-3 lhat will
commence construction

### during the period starting 

### January 1,2012, 

### WId ending March 31, 

### 2012. d. By January 1,2012, Respondent shall submit to EPA a complete synthetic minor source penni! application for New Emission Sources listed 

### in Appendix A, Table A-4 tbat will commence 

### constructionduring the period Slarting April 1,2012,and ending June 30, 2012.
c. Anyemission sources for whicb construction will commence after June 3D, 2012, arc not subject 

### to this Agreement nnd Respondent must oblain an effeetive synthetic minor source

### pcrmilfrom EPA or

### comply with 

### the provisions of40 C.r-.R. § 52.21 prior to commencing construction. 

### f. [oC!USiOD ofan emission source listed 

### in Appendix AI Table A-2, 

### A-3 or A-4 docs nol preclude Respondent from commencing construction of

### that emission source after the date specified 

### in the relevant

### Paragraph D.l.b,c, and d above. However, all 

### such emission sources 

### mustcommence construction priorto June 30, 2012. g. lfthosc emission sources listed in Appendix A. Tables A-2, A-3, and/orA-4 do not commence construction by June 30, 2012, then they are thereforeDot subject to Section 0 ofthis Agreement.



### 32. Control Requirements

a. For

### all Existing Emission Sources listed in Appendi.x A, TableA·l, the Respondent**~halJ** comply with.the requirements ofAppendix 

### B by no later

### thanDecember 1,201 1. b. For all New Emission Sources listed in Appendix A, Tables A·2, A-3, and A-4 the Respondent shaU comply with the requirements ofAppendix B UpOD start-up ofproduction. Emission
sources thatreceive an effective synthetic minor sourcepennitbefore commencing construction
are not subjectto the requirements ofthis Agreement.

3. Nolillcation Respondent shaU notify the EPA on the last business 

### day ofeach month of

### aJIofthe emission
sources subject to this Agreement that commence construction in 

### the previous month. Respondent 

### shall also notify the EPA whetherthose emission sources are meeting the control requirements as requiredby Appendix 

### Band whetherthey 

### havereceived 

### an effective 

### synthetic minor 

### source penniL This notice sball also include a listofemissions sources thatare removing a98% control deviceand using a 90% control device 

### as outlined in Appendix B.



### Unless otherwise- specified bercin, wbeneverRespondent's notification, submissions, or communication are required bythis Agreement, 

### they shall be made electronically ormailed 

### to the following; Cymhia J. Reynolds, Director U.S. EPA Region 8 (8ENF-AT) Air & Toxics Technical EnforcementProgram 1595 Wynkoop St. Dcnver, CD 80208-1129 revnolds.cynthia@epa.gov



### E. CIVD..PENALTY

t. Pursuant to an 

### analysis ofthe facts and circumstances ofthis case with the statutory factors described in seclion 113(d)(1)(B) ofthe CAA, 43 U.S.C. §7413(d)( 1 )(8), EPA has determined that an appropriate civil penalty to settle this action is the amount of$3,OOO peremission source listed in AppendixA 

### tor a totalof$38I,OOO.

2. Respondent consents to the issuance 

### oia Final Order and consents 

### for the purpose ofsettlementto the paymentofthe civil penalty 

### in the mannerdescribed below in this paragraph:

a.. Paymentis due 

### within90 calendardays from 

### the date ofthe Final Order, to be issued by the EPA's Regional Judicial Officer, tbat adopts this Administrative Complaint nnd 

### Consent Agreement. lfthe due date falls 

### on aweekend or legal federal holiday, then the due date

4

### becomes the next business day. The date the payment is madc is considered to be

### the dute processed by theBank described below. Pa.yments received by 11 :00AMare processed on the next 

### business day.

b. Thepayment shall be madeby remitting acashier"s orcertified check, including the name and 

### docket number of

### this 

### case, for the calcuJated tUDount, payableto "Treasurer. United States of America,." to:
CHECK PAYMENT: US 

### Environmental Protection Agency Fines

### and Penahies Cincinnati Finance Center PO Box 979077 SI. Louis, MO 63197-9000

OVERNIGHT MAIL: 

### U

.. Bank 1005 Convention Plaza Mail Stalion SL-MO-C2GL SI. Louis, MO 63101 

### Contact: NataliePearson 314-418-4087

WIRETRANSFER: Wire Transfers should be directedto the Federnl Reserve BankofNew York 

### Federal Reserve Bankof New York ABA 021 030004 Aceount 680I0727 SWlFT address = 

### FRNYUS33 33 Liberty Street New York, NY 10045 

### FieldTag4200 oflhe Fedwire messageshould read 

### AD 6801727 Environmental Protection Ageucy


### ACH (also known as REX orremittanceexpress): Automated Clearinghouse(ACH) for receiving US cwrency PNC Bank 

### 808 17lJl 

### Street, NW Washingtou, DC 20074 ContactB Jesse White 301-887-6548 ABA = 

### 051036706, TrallSlletionCode 22- checking 

### Environmental ProtccLioIl Agency, Account310006, CTX Fonnat


# s

### ON-LINE PAYMENT: Thereis now an On Line Payment Option, available through the Dept. ofTreasury. Tbis payment option
can be accessed from the information below: www.pay.gov
Enter sfa 1.1 in me searcb field Open form and completerequired fields.

Acopy oflbe check, orwire 

### ttansfer, sbaU be sent simultaneouslyto:
Alexis North (8ENF-A1') 

### U.S. EPA Region 

### 8 

### Technical EnforcementProgram 1595 Wynkoop St. 

### Dcnver, CO 80202·1129 

### and Tina Artemis 

### Region.1 Hearing Clerk (8RC) 

### U.S. EPA Region 

### 8 1595 Wynkoop St. 

### Denver, CO 80202-1129

c. Payment oflhe penalty in this manner does not relieve Respondent arits Obligation to comply with 

### the requirements ofthe CAA and its rcguJations.

F. GENERAL PROVI IONS

1. The emissions controls required in Appendix 0 wIder this Agreement shall be considered ·'fcdera.lly 

### enforceable"**and~** ilS 

### applicable, "legally and practicably enforceable" for purposes ofcaJculating the potential to emit for the emission sources covered underthis Agreement.

2. FaiJurc by Respondent to Limelyapply for. and ultimately obtain, the syntheticminorpermit for any emission source identified in 

### this Agreemenl orto comply with 

### the requirements ofSection 0 

### and Appendix B shall render any release or salisfilction ofliability afforded underthis Agreement null and void as to thatsource.
J. 

### Nothing in 

### this Agreement sbaU be construed as a waiverby the EPA or any other federal entity Dfits aulhority lO seek costs orany appropriate penalty associated wilh any collection action instituted as a resultofRespondent's faiJure 10perfonnpursuant to the tcnns ofthis Agreement

4. Once

### the Respondent has received asyntheticminor sourcepermit from EPA for the emission source identified i.n Appendix A. 

### IUld thatpermit hus become co-cctive, the tenns oflhnt pcnnit

### supersede this Agreement

5. For all Existing Emission Sources listed in Appendix A, 

### Table A·t. 

### Respondent's submission ofa complete synthetic minor sourcepennit application 

### will constitule compliance with the relevant

# eM provisions 

### during the period 

### ofUris 

### Agreement.

6

### 6. For all New Emission Sources listed in Appendix A, TablcsA·2, A-3, and A-4, compliance with 

### the relevant

## eAAprovisions requires thatRespondent; a)obtains an effective synthetic minor source pennit; b) is subject to an EPA approved Federal Implementation Plan which allows for apermit

### by rulej orc) complies 

### willi anew EPA 

### applicable CAA 

### regulation 

### thatremoves 

### them from PSD applicability.

7. Notwithstanding the tenns oftb.is Agreement, the Respondent must meet any otherapplicable requirements ofthe Act or its implementing regulations.

8. Respondent agrees tbat for any emission source operated without the controls required by this Agreement, exceptfor instances ofmalfunctioll, Respondent is in violation ofthis Agreement. Malfunction shall 

### be defined as any sudden, in.frequent, and notreasonably preventable failure ofair pollution control equipment, process equipment, or a

### process to operate in a 

### normal or usual 

### manner, caused by circumstances entirelybeyond the control ofthe owner oroperator, but shall not include failures that arc causcd in 

### whole or 

### in part by poor maintenance or careless operation.

9. Respondentagrees thatany emission source whose actual emissions have exceeded 250 tons peryear is nol covered by this Agreement, including any emission somee listed 

### by the Respondentin Appendix A.



### 1.0. Each undersigned representative ofllie 

### EPA and Respondents (parties) to this Agreementcertifies that be or she is fully authorized by the Party representedto bind the Party to the terms and conditions ofthis Agreement and to execute and legally bind that Party to th.is Agreement.

ll. The Parties agree to submitthis Agreementto the Regional Judicial Officer, with arequest tl18t 

### it be 

### incorporated into a 

### Final Order.

12. The lenns, conditions, and compliance requirements ofthis Agreementmay notbe modified oramended except upon the wrinen agreementofboth parlies, and approval ofa Regional Judicial Officer.



### 13. lfthe RC5pondcnt., pursuant to Pamgraph D.I.a, above, wishes to amend the list ofemission 

### SOurces in Appendix. A, Table A-I, it 

### shall submitthose suggested changes to EPA for approval. lfEPA agrees witb the suggested changes, the Parties will submit an amended Agreementto the Regional Judicial Officcr for incorporation into a revisedFinal Order.



### 14. loe effective date ofthis Agreement is 

### the date thatthe Final Order is 

### signed 

### by the Regional Judicial 

### Officer.

15. This Agreement, upon incorporationiuto a Final Orderby the Regional Judicial Officerand full satisfaction

### by theParuesl 

### shall be acomplete, full and final settlement ofthe violations alleged 

### in this Agreement.


### 16. Each 

### Party shall bearits own costs and attorneys fees 

### in connection with all. 

### issues associated with this Agreement.
7t: 

# /h.+ .11 UNITED STAT ENVTRO MENTAL 

### PROTECTION AGENCY REGION 8, Complainant.

/fU1UCC:WM. Gayd s11

AssistantRegional dministrator Office ofEnforc m nt o:mpliance and Environmental Justice

P ROY MP 

### Y Respondent.

y: (

....

. B. tanley 

### PresidentAPPENDIX A EM15SIO SOURCEINVENTORY

TABLE A·l: Existing Emission Sources (commented c(lnstructlon by August 30 2011) 

# .

Wen Site casing H**~d** [rank Baltl!ry SOURCE Comple 11 COntrol! dor ( n,he-dlU**iT~k** 8attery Control O.,v1Ce ,oENT'FICAnON IJllltudl.' Longftude SEOlON TOWNSHIP RANGE**D~ c..Plu~d**  cor'luoldmtl! (ontroloevice tnstall date

J-16-60 47.7"751S 102.505592 31 150 92 6/1{2010 apn,red lIfound :flare 'P.Jound Oltflare 11/01/11 1-16-61: 41.747291 -102.365626 6 149 92**9/~{20lD** caJltlJred**'ltroutld~** tllll"" rumsnd olilliire 09/18/11 2-16-6E 47.74735S -102.366303 6 149 92 9/19/2010 C3lltU'eO gfound tlliire ground pltflare 09}18/11 1-4-51 47.587337 -102.435301 5 147 92 6/23f2011 ttlnlfoned KrOund Il.ite ,round ptl flare 11/14/11 2-4-5J 47.587386 -102.434169 5 147 92 7/5/20'11 controlled Rround p I flare KJ'ound pit flare 11/14/11 1-3-1SC 47.816000 -102.249930 18 150 90 10/7f2009 captured ,round pitflare &found pitflare 09/28/11 1-14-4C 47.833951 -102.204545 4 150 90 9/21{2010 aptured 'Rround pit flare Eround pillfare 10/24/11 1l-l3-181; 41.804898 -102.251996 18 150 91 5/7f2010 Cllptured ground pitflare ,round ph flare 10/1S/11 1-4-8F 47.145836 -102.232235 8 149 90 12/17/2009 captured Rround ollllare around oil flare 10/14/11 1-1-'32C 47.n4689 -102.216086 32 150 90 2/6/2011 aptured Rround pit flare ground pitflare 10/08/11 l-l6-32C 47.761611 -102,116617 32 150 90 3/18f2011 caDl1,1re(l Rround alt flare RrOtIl1d ott flare 10/05/11 L-ll-18C 47.80S4A6 -10".251996 18 150 90 11/21/2.010 captlJrct! £round lilt Rare ground pit flare 10/21/11 2-16-3.2C 47.761725 -102,216617 32**~49** 90 S/30!2011 c;aph,ircd ground pit Rare ground pitlIare 10/05/11 1-8-29C 47.783313 -t02.215975 29 150 90 S/19/2011 c;aplUred wound pit flarl! ground ph: flare 10/12/11 1-4-23 47.945988 -102.44906"3 35 152 92 6/l{2010 allfured Braundpitflare ground pitlIare Ul30/11 1-4-21 47.965055 -102.451226 27 152 92 3/30{20U c;aptl,lred ground p**fl~!e** ground pltflare Ul30/11 1-7-6F 47.755261 -102.245428 6 149 91 S/30/20J1 Glplured Ilfound oi flare .f[round pil flare 09/25/11 1-16-328 41761652 -102.3413555 32 149 91 10/:/2011 captured vOUlIdplt <lre ground pJt are 09/15/11 l-l6-3ZB "l1.761n7 -102-34!555 32 149 91 1.0/1/2011 apturetl uoundpi are grol,lnd pet liar>! 09/15/11 3-16-328 047.761883 -102.343555 32 150 91 1011,/2.Q11 capwrell Rrooodpi oil! ground pIt ",e 09/15/11 4-16-328 47.761766 -102.343.555 32 150 91 10/1/2Dll QlItured uoumlPlt are I!round lilt are 09/15/11 1-15-6f**47.741~5** -102.242185 6 150 90 8/27J1Dll aplured groundprt :lire ground pllllare 08/24/11**2-15-6~** 47.747045 -102.24-2357 6 150 90 9}8{2011 aDll,lred It"QtII\d lilt**~I!** aroun!! pitR.re 08/24}U

b 31 201 ) be Iss TABLE A-2: New Em Ion Sourc.es commenting construction tween August 31, 2011 and Decem ler

.. 1

&peeled SOURCE COmmence IDENTlFICAnON SECTION TOWNSHIP RANGE Construction Date t-6-32G 32 148 92 12/15/11 2-6-32G 32 148 92 12/15/11 l-ll-BC 18 150 90 11/15/11 l-ll-8e 18 150 90 11/15/11 Z-8-6E 6 149 91 l!/15/11 t-8-6f 6 149 91 U/15/11 2-t·5F 5 149 90 11/15/11 lot-Sf 5 149 90 11/15/11



### 'ITA.BlE A-3: New EmIssion Sources (commencIng construction between January 1, IOU and March 31, IOU)

3/11/12 3/11112 J 11 12 ]/11/12 0]/15/12 03/15/12 

### .m 

# In"'''' 03/31112 03/]1/12 00131/12 

# " 

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# " '" " '" OJ 

# " " " '" " " 

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# " " " El¢Ie(ltd Comme"ce RANGE COMtruetion**O~le** 11/12 1/11/11 1/11/12 2/u/12 2/11/12 >lUlU >lUlU 2!U 12 3. 11 12 3/11/12 ]/11/12 

# ". ".

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# " " semON SOURCE IDENTlflCAOON 2·16-J4 H&-3.6 t-I6-36 6-16-318 2-16-31& 1-12-SH 1-16-318 ]..l6-Sf 4-15--318 i-16-SF 1·16-J111 4-16-31G H2·SH 5-16-318 2-16-5F 3-16-]18 2-16-31G m.t6-]1B 3·1&-31G !H&-]llJ 1-1o-31G 1·1&-316TABLE A-4: New Emission 50un;e$ (commencing construction betwt>en April!, 2012 and June 30, 20121

SOURCE 100000FICAnON 2-4-26E 1-4·26£ 2-13·26£ 3-13-26E -=--l)·26E 5-U-Z6E &-1l-26E 7·13-26E 8-13-26E 9-U-26E lo-13·26E 11-l3-26£ ll·U-26E**2·.s-2~** 1·27A lo-5-1OE 3-5-3K 4·5-lor 4·1·28G 2·5-J:JC 75-IOE 3-1-286 .<-·ll-4E H'·1JC I-S-IOE 2-1-286 g..S-IOE: 1-12-<1[ 1·1·28G 3-5-10( U·5-WE &-S-IDE: 1-4-1SE I·S-llF 2-4-3SE U-S-1O£. 4-<1-]SE S-S-IOE S-4.-l5E 1·4·26G 

## "cno' TOWNSHIP 

# ,. 

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# " " " " 10 

# " 10 

# " " 10 

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""""""" RANGE CooltructlonD.le 149 91 04/15/12 WJ 91 05/15/12 149 91 1S/12 16 91 0!>/15/1l 149 91 0S/15/12 1'9 91 OS/lS 12 149 91 0S/15/1l 149 91 0 15/12 149 91 0S/15/l1 149 91 05/15/12 149 91 05/15/ll 149 !H 05115/12 1"9 91 OS/IS 12 LSO 90 06/15/12 ISO 92 06/15/12 149 91 06/1S/12 150 90 06/IS/12 149 91 06115 2 1"8 92 06/15/12 150 90 IS 2 149 91 06/15/n 1"8 92 OWlS/n 149 91 06/15/12 LSO 90 06/15 12 U9 91 0Ei/l5/U lQ 92 06/15/12 1"9 91 06/15/12 1t9 91 06/1S/11 148 92 06/15/12 149 91 OEi/15/U 149 91 OEi/15/U 1"9 91 D6/lS/12 U9 91 06/15/12 148 90 06/15 12 149 91 06/15/12 149 91 06/15/12 U9 91 06/15/12 149 91 06 15/11 1"9 91 15/12 IQ 92 06/15/12

IITABLE A-4 conunued up,,'" 

# ""'''' (ommenUi 100000flUlnoN 

# ,,,n,,,, UlWHSHIP 

# ....., CDnlitnKtion DIOI'" a-....1OE 

# '" '" 

# " 6/29/12 14.'1'>E 

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# " '" "**6~/12** !l-13·3D 3 

# ... " 6/2912 10.-13-30 

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### 1:'-

### APPENDIXB

EMISSION CONTROLREQULREMENTS

A. Applicability
These requirements apply to existing and new emission sources associated with oil production from the Bakken Fonnation on the Fort Berthold Indilln Reservation in North Dakol<1 and target the control ofcasinghead gas emissions (also known as treater gas) and emissions from oil and produced wnter storage tanks (tanks).

B. Control Requirements

All casinghead gas and tank emissions must be controlled or captured upon start ofproduction. If gas gathering infrastructure is in place, casinghead gas shall be routed [0 II gas gathering pipeline as soon as practicable. When a pipeline is not available, casinghead gas is required to be routed to II control system or device in the Control System 

### List below. The Control System List also applit:s to emissions from oil and produced water storage tanks. Capture or control devices shaJl be operated at all times when emissions may be vented to them.

The owner/operator shall maintain and operate all nir pollution control equipment, and all**~quipment** employed to cOlltain and collect vapors and transport them to the emission control system or device, in accordance with the manufacturer's recommcmlations and in a manner consistent with good air pollution control practice for minimizing emissions.

Control System List

1. A ground pit nare (including, but/lot limited to pit flures, shop buill flures or other similar oilfield typeflares) orother 90% or greater ORE device. Ifa ground pit flare is utilized, a 90% ORE \0 be assumed, This is considered the minimum level orcomrol for U!nk und treater gas emissions at all times.

2. A vapor recovery unit or oil stabilizer that is designed and operated to reduce the mass content of

# voe and total hazardous air pollutant (HAl») emissions in the vapors vented to the device by at least 95% by weight.
3, An enclosed combustion device appropriately sized for the site's operating parameters and for whieh the manufacturer represents will achieve a destruction efficiency ofat least 95% of the VOCs with respect to the volumetric flow and BTU content ofthe site's waste 

### gas stream. An enclosed combustion device is operated including. but not limited to the following:

• This device should 

### be operated with no visible emissions except for periods not to exceed a total of5 minutes during nny 2 consecutive hours; Method 22 of40 CFR Appendix A shall be used to determine the compliance with this visible emission prOVISIon,

13• Owner/opcrJtor shall install an appropriate. reliable temperature scnsorltransrniucr that indicates continuous ignition ofthe pilot flame on the control device. The sensor/transmitter will be connected to the site's Supervisory Control and Dam Acquisition (SCADA) System. The SCADA system will record temperature readings al ::I specified frequency and will be programmed to trigger an alarm iftemperatures outside ofa pre-programmed range are detected. For the purpose ofthis paragraph, "continuous" monitoring equipment shall measure and record values at least once every hour.

4. A utility flare (using an open flame without enclosure) that is designed and operated to reduce the mass content ofvOC and total HAP cmissions in the vapors vented to the device by at least 98% by weight. Autility flare is any flarc that is designed and operated in accordance with the requirements of40 C.F.R § 60.18. Requirements of40 C.F.R § 60.18 include. but 

### arc not**limit~d** to the rOJluwing:

• Flare shall be designed and operated with no visible emissions except for periods nOl to exceed atotal of5 minutes during any 2 oonsecutive hours: Method 22 of40 CFR Appendix A shall be used to determine the compliance with this visible emission provision;

• Flare ,shall be operated with a Aame present at all limes;

• An owner/operator has the choiceoradhering to either the heat content specifications in paragraph 40 C.F.R. § 60. I8(c)(3)(ii) and the maximum tip velocity specifications in paragrllph (c)(4) or adhering to the. requirements in 40 C.F.R. 

### § 60.18(c)(3)(i);

• Flares used to comply with this section shall be steam-assisted, air-assisted or nonassistcd;

• Owners/operators offlares shall monitor the control devices to ensure thatthey are operated and maintained in confonnancc with their designs;

• The presence ofa flare pilot flame shaH be monitored using a thennocouple or any otherequivalent device to detect the presence ofn flame. Continuous checks by un operator to verify the existence ofa visible flame or to verify proper operation ofthe igniter may be used in lieu ofa physical device. For the purpose orthis paragmph, "continuous" monitoring equipment shall measure and record values at least once every hour.

• For safety und air pollution control purposes: each flare mustbe equipped and operated with an automatic ignitor or a continuous burning pilot, which must be maintained in good working order. This is required even ifthe flare is used for emergency purposes only.

5. Control devices otherthan those listed above may be utilized upon approval from the EPA.

C. Recordkccping Requirements

I. Owner/operator shull maintain control device temperature logs for three )'ears.

14

### CERTIfICATE OfSERVICE

The undersigned ccniJies that the original 

### orthc <)lulched 

### ORJ>ER GRANTrNG 

### ELECTlWNIC FILING OF CONSENT AGREEMENT AND FINAL ORDER in the matterofQEl' ENERGY COMI'ANY, DOCKET NO.: CAA-08-2011-0026, was filed with the Regional ffearing Clerk on August 29, 20II.

Further. the undersigned certifies thm a true and correct copy ofthe document was 

### delivered 10 

### Jim Eppers. EnJbrcemcnl Anomey. U.

. EPA

- Region S. 1595 Wynkoop Street Denver. CO 80202·1129. True and correct copies ofthe aforementioned documents were 

### plnccd in the United Stutes mail all 

### August 29, 21011. to:


### Eric L. Dady Vice-President & 

### General Counsel QEI' Resources, Inc. 1050 17'" Street. Suite 500 Dellver. Co 80265

And cmailed to:

Elizabeth Whitsel 

### U. S. Environmental Protection Agency Cincinnati finance Center 

### 26 W. 

### Martin Luther King Drive (MS-0002) CincinmHi. Ohio 45268



### AugUSl 29, 201 1

# ~~ Tina Artemjs 

### PamlcgallRcgionaJ IIc.:aring Clerk