EXCO Resources to Pay Penalty for Safe Drinking Water Act Violations in Clearfield County, Pa.

(PHILADELPHIA - April 12, 2012) The E.P.A. today announced a settlement with EXCO Resources (PA), LLC (EXCO) for violations of the federal law designed to protect underground sources of drinking water. The violations occurred at the company's brine disposal well located at Brady Field in Bell Township, Clearfield County, Pa.

Under the terms of the Consent Arrangement with EPA, EXCO is required to pay a civil penalty of $159,624 and comply with the conditions of its underground injection control permit. The company must also rework the well in accordance with an EPA-approved project to comply with federal mechanical integrity requirements for brine disposal wells, which require multiple levels of protection to prevent contamination of underground sources of drinking water.

According to information provided by the company in response to a September 2011 information request from EPA, the disposal well failed mechanical integrity sometime in early April 2011. The company failed to notify E.P.A. in a timely manner as required by law, and continued to inject brine into the well through August 2011.

The Arrangement resolved violations of federal Underground Injection Control (UIC) regulations issued under the Safe Drinking Water Act. The order was finalized on March 30, following a 40 day public review period.

As part of the settlement, EXCO has begun reworking the well following approval of the project by EPA. E.P.A. technical staff has been actively working with the company to address the violations, and to ensure that the company is taking proper measures to rework the well.

For more information about EPA's UIC program, visit: http://water.epa.gov/type/groundwater/uic/index.cfm.

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