IRA Louisiana Federal Projects

Marginal Well Methane Reduction

The State of Louisiana has received $15,661,335 in grant funding available under the Marginal Well Methane Reduction Grant.  This Marginal Well Grant funding, along with the additional IRA funding, provides historic opportunities for Louisiana to continue to provide jobs, safeguard the environment, and safely plug oil and gas wells.

Activities to be performed under this grant include: 1) plugging, remediation, and reclamation of marginal wells and removing associated infrastructure on State or privately owned lands; 2) creation of a Marginal Well ranking system for those wells in the project to include methane monitoring and disparate impacts on disadvantaged communities; 3) creating and maintaining a public website containing information on the use of the grant; 4) developing and implementing a protocol to measure and track (i) emissions of methane and other gases associated with marginal wells and (ii) contamination of groundwater or surface water associated with marginal wells; and/or (5) establishing training programs for the displaced energy workforce and for disadvantaged communities to verify there are opportunities to become qualified for jobs associated with plugging and restoring marginal well sites. 

Marginal Well Sites -

There are approximately 20,295 marginal wells in the state of Louisiana.  Those wells are spread out across three districts; Monroe, Shreveport, and Lafayette. 

 

Future Grant Planning –

The Department of Energy and Natural Resources plans to develop a bidding method for this grant in the upcoming months.  The DENR plans to leverage its learnings from the Initial Infrastructure and Jobs Act Grant to develop a successful bidding method and project plan for the Marginal Wells Grant.  Additionally, the DENR plans to work with Louisiana organizations to develop an outreach system for operators and stakeholders in the state. 

The measurement of methane prior to abandonment is a key component of this grant.  The DENR will build on its methane measurement learnings and resources from the Initial Infrastructure and Jobs Act Grant.

 

 

Link to Department of Energy Methane Reductions Program:

https://netl.doe.gov/methane-emissions-reduction-program

Link to Award from Department of Energy:

https://netl.doe.gov/project-information?p=FE0032429