Conrad, MT – The Pondera County Commissioners filed litigation against the Environmental Protection Agency on Friday, June 12th challenging the agency’s decision to exempt a portion of the Madison Aquifer in the county from protections under the Safe Drinking Water Act. The exemption and corresponding permits will allow Montana Renewables, a Great Falls-based biofuels company, to truck high strength industrial wastewater from its refinery in Great Falls and inject it into the Madison Aquifer via two retired oil and gas wells about 7 miles southwest of the town of Valier. 

The Madison Aquifer Coalition (an affiliation of local landowners and county residents), the Golden Triangle Resource Council, and Glacier-Two Medicine Alliance joined Pondera County in filing the suit, with Earthjustice and the Western Environmental Law Center as legal representatives. 

The groups contend that the EPA erred when it determined that the industrial wastewater will not contaminate shallower aquifers that currently serve as sources of drinking or agricultural water, or that the exempted portion of the Madison Aquifer could never be a viable source of drinking water in the future. 

“The EPA relied on an outdated model and wildly inaccurate assumptions about the geology, water quality, and economic viability of the Madison Aquifer as a source of drinking water in reaching its short-sighted decision to permit Montana Renewables to pollute this aquifer,” said Zane Drishinski, Pondera County Commissioner, farmer and rancher. “Rural communities across central Montana increasingly rely on deeper and deeper aquifers like the Madison for their water supply and the Commission simply wants to preserve the ability for people in our county to safely do so as well.” 

A prolonged recent drought, coupled with climate prediction models that indicate reduced precipitation for this part of Montana in the future, has ranchers like Lisa Schmidt worried. 

“My whole livelihood, like most of my neighbors, depends on access to clean water,” said Lisa Schmidt, a member of the Madison Aquifer Coalition who operates a 131-year-old sheep and cattle ranch. “Every year that water is getting less and less reliable. It makes no sense to me to put our fragile water supplies at further risk by injecting industrial wastewater into the Madison Aquifer.” 

The EPA issued the aquifer exemption last month, along with two permits to the well owner, Montalban Oil and Gas Operations, to explicitly allow Montana Renewables to inject upwards of 232,000 gallons of industrial wastewater per day into the Madison Aquifer. The industrial wastewater, a byproduct of the manufacture of transportation biofuels like “renewable biodiesel” or “sustainable aviation fuel,” is currently being shipped out of state as it is too contaminated to be accepted for treatment by the City of Great Falls wastewater treatment facility.  

“Clean water is essential to our farming and ranching economy and our quality of life in Pondera County,” said Jim Morren, Pondera County Commissioner. “The EPA’s short-sighted decision is particularly frustrating because a common-sense alternative exists, a solution that does not put farmers, ranchers, and rural residents’ water at risk, and that solution is treatment.” 

In 2024, Montana Renewables received a $1.67 billion loan guarantee from the U.S. Department of Energy to expand its production of biofuels. The agreement included financing and direction for Montana Renewables to build a wastewater treatment facility at its Great Falls refinery. In July 2025, Montana Renewables publicly committed to building that treatment facility. Despite this commitment, the company has refused to rule out the disposal of wastewater via underground injection in Pondera County. 

“The initial exemption was right at the bottom of each well,” said Millie Whalen of Golden Triangle Resource Council. “When we and others pointed out all the reasons why the injected wastewater would likely not stay there, such as natural cracks characteristic of karstic formations, improperly sealed wells that dot the landscape, injection pressure, and the EPA’s own acknowledgement of hydrological connections, the EPA simply made the exemption bigger rather than take the close look required.” 

The County and other groups involved in today’s filing have been fighting the underground injection for nearly 2.5 years. Throughout that time, the Pondera County Sanitarian and Board of Health have repeatedly asked for wastewater samples from Montana Renewables, only to be rebuffed.  

“At the initial public meeting in January 2024, Montana Renewables CEO Bruce Fleming claimed the wastewater was so clean you could drink it,” Corrine Rose, Pondera County Sanitarian recalled. “Yet they refuse to provide the County with a sample, and the lab results they provided the EPA indicate this wastewater is nasty stuff. Before any of this high strength industrial wastewater is dumped in our aquifer, we want to see the EPA require more transparency, testing and monitoring.”

The delivery of the wastewater would require several dozens of trucks a day traversing rural ranch roads, creating potential hazards for county infrastructure, public safety, and local wildlife.

“The wells are situated near Dupuyer Creek which provides important habitat and a dispersal corridor for grizzly bears,” said Peter Metcalf, executive director of Glacier-Two Medicine Alliance, an East Glacier-based conservation organization focused on protecting local public lands, waters and wildlife. “In addition to impacts to clean water, this ill-conceived project could have real effects on grizzly bears and other fish and wildlife in the area, all of which could be avoided by treating the wastewater on site.” 

“We are deeply disappointed in the EPA for not protecting our rural community and our water and with Montana Renewables for trying to foist their wastewater on us when an attainable alternative exists,” said Tom Kuka, Pondera County Commissioner, rancher and Blackfeet tribal member. “We are simply asking the court to invalidate this aquifer exemption and for Montana Renewables to be a good neighbor and treat its wastewater.”