University Lands FY22 Annual Report

ENVIRONMENTAL STEWARDSHIP

In order to fulfill University Lands’ mission to manage the resources of the PUF Lands for the long-term benefit of Texans, UL must employ assertive and proactive environmental management.

UL assesses and evaluates the risks of all commercial activity occurring on the Lands, including oil and gas development, renewable energy development, pipeline construction, ranching, retail, and industrial processes. The staff works to identify best practices and requires that these best practices be implemented by the companies doing business on PUF Lands. UL continues to facilitate communications and compliance through its relationships with regulatory agencies that include the Texas Commission on Environmental Quality, Railroad Commission of Texas, Environmental Protection Agency, Texas Parks and Wildlife, Natural Resources Conservation Service, and U.S. Fish & Wildlife Service. UL staff coordinates and monitors the multiple uses of the Lands by performing inspections and overseeing prescribed corrective actions. All construction was and continues to be monitored to ensure cooperative co-existence for all users of acreage.

WELL PLUGGING

SOIL & GROUNDWATER

Oil & Gas Well Plugging UL terminates unproductive oil and gas leases and issues lease restoration requirements described in restoration demand letters to the lessee. UL ensures oil and gas wells on the terminated leases are plugged and abandoned in a timely manner according to regulations of the Railroad Commission of Texas. Proper plugging procedures ensure protection of usable quality groundwater resources on UL. Water Well Plugging UL maintains a water-well inventory of all water wells owned by our O&G and grazing lessees. UL ensures that water wells no longer beneficial to the well owner are plugged in compliance with the technical requirements of the Texas Administrative Code by a water well driller licensed by the State of Texas. Proper plugging procedures ensure protection of usable quality groundwater resources on UL.

All spills, leaks or releases of crude oil, condensate, or produced water are reported to UL and to regulatory agencies. Our staff geologists provide remedial guidance and field oversight, ensuring remediation is completed in a thorough and timely manner. UL staff geologists require remedial standards exceeding or equivalent to regulatory requirements and provide final determination of completed remediation. UL range management specialists reclaim abandoned caliche (borrow) pits by grading pit walls to an erosion-resistant gentle slope, reseeding, and returning to pastureland. UL issues restoration demand letters for surface leases that have expired or terminated and monitors clean-up activity to ensure the lease premises are reclaimed and returned to pastureland.

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