Contamination suspends Cabot's Pa. gas drilling

Pennsylvania environmental regulators on Thursday banned an energy company from drilling in the state until it plugs three natural gas wells believed to have contaminated the drinking water supplies of 14 homes.

The Department of Environmental Protection said Houston-based Cabot Oil & Gas Corp. has failed to abide by the terms of a November 2009 agreement to clean up the contamination in Dimock Township in northeastern Pennsylvania's Susquehanna County, where residents say their wells have been polluted by methane gas and other contaminants.

DEP said Cabot has already paid a $240,000 fine and must pay $30,000 per month beginning in May until the company meets its obligations.

"We're very upset with Cabot," state Environmental Secretary John Hanger told The Associated Press. "The conduct, whether it's willful or unintentional, is completely unacceptable."

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