A Wyoming-based company is hoping to deepen its well in the Uintas and continue oil exploration.
Double Eagle Petroleum is still several years away from new drilling operations in the Uintas, according to Vice Chairman Steve Degenfelder. The company first wants to conduct geophysical testing and complete the permitting process.
“We drilled a 13,000 foot well one mile away from the Christmas Meadows campground in 2007,” said Degenfelder. “We did not find any oil, but we found that we were on top of a promising oil structure and needed to drill deeper.”
Degenfelder added the company began the permitting process to drill in the area in 1982. They conducted two Environmental Impact Studies in 1994 and 2007 and will be completing another one before drilling deeper.
“We are investing multimillions of dollars into this project and want to make sure we can develop the field if oil is found. It is a very large target, but the area has its geological challenges,” he said.
Double Eagle still has a lease on the land to do exploration drilling, according to Uinta Wasatch Cache National Forest Deputy Supervisor Cheryl Probert. The company plans on using directional drilling to reduce the number of well sites needed.
“During every step of the process we analyze the impact the drilling is having on the forest and try to mitigate the effects on recreation and wildlife by moving the well or road locations,” Probert said.
There are currently 11 active oil wells in the Uintas.
The well is located on U.S. Forest Service land, but according to Summit County Council Chair Chris Robinson, it could have a monetary impact on the county.
“We would get a portion of the profits from the oil well through property taxes,” said Robinson. “The money could benefit our schools.”
The county does not get the final say in whether or not additional drilling is approved, but Robinson said the council, and residents, will be able to give input when Double Eagle submits a plan.
“It is a difficult place to drill and requires a long permitting process,” said Robinson. “They must want to drill there really badly because this is not low hanging fruit.”
The forest service is currently working with Double Eagle on an informal proposal to decide the best locations for additional wells and roads. Probert said once they decide on appropriate locations that do not disrupt the endangered species in the area or the view shed, the formal process will begin, including a series of public hearings.
According to recently released data from the Utah Department of Natural Resources, for the first time in Utah’s history there are more than 10,000 producing oil and gas wells in the state. In 2010, the production value of the oil and gas in the state was $3.4 billion dollars.