[Federal Register Volume 63, Number 119 (Monday, June 22, 1998)]
[Notices]
[Pages 33966-33968]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-16537]


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NUCLEAR REGULATORY COMMISSION

[Texas License L03835]


ProTechnics International, Inc.--Houston, TX: Field Flood Tracer 
Study; Finding of No Significant Impact and Notice of Opportunity for a 
Hearing

    The U.S. Nuclear Regulatory Commission is considering authorizing 
ProTechnics International, Inc. (ProTechnics) to conduct a field flood 
tracer study in an oil reservoir located at the Green Valley Unit, 
Noble County, Oklahoma near Stillwater, Oklahoma.

Environmental Assessment

Identificiation of the Proposed Action

    The proposed action is authorizing ProTechnics to conduct a field 
flood tracer study using hydrogen-3 in an oil reservoir located at the 
Green Valley Unit, Noble County, Oklahoma, near the town of Stillwater, 
Oklahoma. ProTechnics, with offices in Houston, Texas, is authorized by 
the State of Texas License L03835, to conduct field flood tracer 
activities in oil and gas reservoirs at temporary jobsites within that 
State. NRC's regulations in 10 CFR 150.20, ``Reciprocity--Recognition 
of Agreement State Licenses,'' states, in part, ``* * * any person 
holding a specific license from an Agreement State where the licensee 
maintains an office for directing the licensed activity * * * is 
granted a general license to conduct the same activity in * * * Non-
Agreement States * * * [provided] the specific Agreement State license 
[does not] limit the authorized activity to a specific installation or 
location.'' Because the Texas license authorizes ProTechnics to use the 
requested radioisotopes in field flood tracer studies at temporary 
jobsites, ProTechnics qualifies for the general license. Paragraph 
(b)(1) of 10 CFR Part 150.20 further states, ``* * *[any person] shall 
* * * before engaging in each activity * * * file an NRC Form-241, 
``Report of Proposed Activities in Non-Agreement States'' * * * ``with 
NRC. ProTechnics met this requirement with a submission dated April 22, 
1998.
    On January 13, 1997 (62 FR 1662), NRC published a final rule in the 
Federal Register amending 10 CFR 150.20. The amendment, primarily 
intended to clarify requirements concerning activities conducted at 
areas of exclusive federal jurisdiction with Agreement States, also 
revised 10 CFR 150.20(b) to make clear that licensees operating 
pursuant to the rule must comply with all NRC regulations applicable to 
materials licensees. 10 CFR Part 51 specifies the environmental 
protection regulations applicable to NRC's licensing activities and 
implements section 102(2) of the National Environmental Policy Act of 
1969, as amended. Section 51.21 provides that all licensing actions 
require an environmental assessment except those identified in 10 CFR 
51.20 as requiring an environmental impact statement or those 
identified in 10 CFR 51.22(c) as categorical exclusions. The sue of 
radioactive tracers in field flood studies is not identified in either 
section. Therefore, an environmental assessment must be prepared. 
Paragraph 51.60(b)(1)(vi) requires that an applicant

[[Page 33967]]

submit an environmental report with any request for use of radioactive 
tracers in field flood studies. ProTechnics submitted an environmental 
report in a letter dated April 1, 1998.

The Need for the Proposed Action

    The action is to determine if the licensee's request to perform 
activities under the general license should be approved or denied. 
Field flood tracer studies are conducted in conjunction with enhanced 
recovery of oil and natural gas, commonly referred to as enhanced oil 
recovery (EOR).
    The oil from a producing well in a new reservoir initially flows 
because of the pressure exerted by water and gas in the reservoir. As 
oil production continues the reservoir pressure declines unless fluids 
are injected into the reservoir to maintain the pressure. The average 
recovery from primary production, with and without pressure 
maintenance, is 20 to 30 percent of the original oil in place. Oil 
production can be increased through a secondary recovery technique 
called waterflooding, which is the injection of water through injection 
wells to push the oil toward production wells. Further enhancements in 
oil production may occur with the use of so-called tertiary recovery 
methods in which steam, sulfactants (soaps), or other compounds or 
gases are injected into the reservoir.
    Radioactive tracers are used to define the movement of liquids or 
gases injected into an oil and gas reservoir to enhance recovery and to 
monitor reservoir performance. The water-soluble or gaseous tracer is 
introduced into a reservoir with the injected fluid. Both radioactive 
and nonradioactive tracers may be used. The tracer is placed in the 
injection well, where it is diluted and swept into the reservoir by 
injection liquid or gas. The diluted tracer is subsequently recovered 
at production wells and is monitored by sampling the recovered fluids.
    In evaluating reservoir performance, it is desirable to determine 
the source of the injected fluid being collected at a production well. 
It is frequently desirable, therefore, to employ several tracers, using 
a different tracer in each of a number of injection wells.

Environmental Impacts of the Proposed Action

    NRC published NUREG/CR-3467, ``Environmental Assessment of the Use 
of Radionuclides as Tracers in the Enhanced Recovery of Oil and Gas'' 
In November 1983. This generic environmental assessment (EA) evaluated 
the use of 16 different radioisotopes, used in certain activity ranges, 
as interwell tracers in field flooding for EOR operations. A typical 
operation using radioisotopes for interwell tracing was analyzed from 
the standpoint of three stages of operation: aboveground, subsurface, 
and recovery and disposal. Doses to workers who handle radioactive 
tracers and to members of the public were estimated for normal and 
accidental exposure scenarios. For the isotope ProTechnics requested 
authorization to use. NUREG/CR-3467 analyzed the use of up to 30 curies 
of hydrogen-3. The ProTechnics submittal only requests authorization to 
use up to 2 curies of hydrogen-3, well within the bounds of the generic 
assessment. The NUREG estimated the national radiological impact on the 
use of radioisotopes as interwell tracers in EOR projects to be a 
collective dose equivalent of less than 16 man-rem/yr. Accidental 
exposures were estimated to contribute little to the total. The 
ProTechnics proposal, which only includes one radioisotope and only a 
small percentage of the total activity evaluated in the NUREG for that 
radioisotope, will result in a lower collective dose equivalent.

Alternatives

    Denial of ProTechnics request is a possible alternative to the 
proposed action. This would avoid any of the environmental impacts 
associated with the use of radioactive tracers. However, the proposed 
action is nevertheless reasonable because its environmental impacts are 
so small and it will provide benefits such as assisting to meet U.S. 
energy needs.

Agencies and Persons Consulted

    Ms. Pam Bishop of the State of Oklahoma, Department of 
Environmental Quality (DEQ), was contacted on June 2, 1998, to discuss 
ProTechnics field flood tracer study reciprocity request and its 
potential environmental impacts. In a letter dated June 8, 1998, Ms. 
Bishop indicated that the DEQ had no objections to the tracer study.

Conclusion

    The NRC staff concludes that the environmental impacts associated 
with ProTechnics proposed request to conduct a field flood tracer study 
using hydrogen-3 in an oil reservoir located at the Green Valley Unit, 
Noble County, Oklahoma, are expected to be significant.

Finding of No Significant Impact

    The Commission previously prepared an EA related to the use of 
certain quantities of radionuclides as tracers in field flood 
operations for the enhanced recovery of oil and gas. On the basis of 
the assessment, the Commission concluded that environmental impacts 
that would be created by such actions would not be significant and do 
not warrant the preparation of an Environmental Impact Statement. 
Because ProTechnics' request is within the bounds of that EA, it has 
been determined that a Finding of No Significant Impact is appropriate.
    The generic EA is made available as NUREG/CR-3467. Copies of NUREG/
CR-3467 may be purchased from the Superintendent of Documents, U.S. 
Government Printing Office, P.O. Box 37082, Washington, DC 20402-9328. 
Copies are also available from the National Technical Information 
Service, 5285 Port Royal Road, Springfield, VA 22161. A copy and 
ProTechnics' submittal are also available for inspection and copying 
for a fee in the NRC Public Document Room, 2120 L Street, NW. (Lower 
Level), Washington, DC 20555-0001.

Opportunity for a Hearing

    Any person whose interest may be affected by the approval of this 
action may file a request for a hearing. Any request for hearing must 
be filed with the Office of the Secretary, U.S. Nuclear Regulatory 
Commission, Washington, DC 20555, within 30 days of the publication of 
this notice in the Federal Register, be served on the NRC staff 
(Executive Director for Operations, One White Flint North, 11555 
Rockville Pike, Rockville, Maryland 20852), and on the licensee 
(ProTechnics International, Inc., 1160 Dairy Ashford, Suite 444, 
Houston, TX 77079); and must comply with the requirements for 
requesting a hearing set forth in the Commission's regulations, 10 CFR 
Part 2, Subpart L, ``Information Hearing Procedures for Adjudications 
in Materials Licensing Proceedings.''
    These requirements, which the request must address in detail, are:
    1. The interest of the rquestor in the proceeding;
    2. How that interest may be affected by the results of the 
proceeding (including the reasons why the requestor should be permitted 
a hearing);
    3. The requestor's areas of concern about the licensing activity 
that is the subject matter of the proceeding; and
    4. The circumstances establishing that the request for hearing is 
timely--that is, filed within 30 days of the date of this notice.
    In addressing how the requestor's interest may be affected by the 
proceeding, the request should describe

[[Page 33968]]

the nature of the requestor's right under the Atomic Energy Act of 
1954, as amended, to be made a party to the proceeding; the nature and 
extent of the requestor's property, financial, or other (i.e., health, 
safety) interest in the proceeding; and the possible effect of any 
order that may be entered in the proceeding upon the requestor's 
interest.

    Dated at Rockville, Maryland, this 16th day of June, 1998.

    For the Nuclear Regulatory Commission.
Stevens L. Baggett,
Acting Chief, Materials Safety Branch, Division of Industrial and 
Medical Nuclear Safety, Office of Nuclear Material Safety and 
Safeguards.
[FR Doc. 98-16537 Filed 6-19-98; 8:45 am]
BILLING CODE 7590-01-M