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Northern Gas Pipelines is your public service 1-stop-shop for Alaska and Canadian Arctic energy commentary, news, history, projects and people. It is informal and rich with new information, updated daily. Here is the most timely and complete Arctic gas pipeline and northern energy archive available anywhere—used by media, academia, government and industry officials throughout the world. Northern Gas Pipelines may be the oldest Alaska blog; we invite readers to suggest others existing before 2001.

 

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1-29-15 Shell To Explore Chukchi Sea This Summer!

29 January 2015 10:06am

Shell Plans To Explore The Chukchi This Summer!


Dan Fause, ASAP, Alaska Gasline Development Corporation, AGDC, Photo by Dave HarbourRelated Photo Cutline, Journal of Commerce, by Tim Bradner.  Alaska Gasline Development Corp. President Dan Fauske (NGP Photo) said the change in the Alaska Stand Alone Pipeline project to increase the capacity to a 36-inch diameter and use high-strength steel could allow up to 2.6 billion cubic feet per day to be shipped. That improves the economics of the project compared to previous restrictions that limited it to no more than 500 million cubic feet per day.  (Bradner's is one of the most informative, thorough, readable gas pipeline updates we have seen.  Kudos!  -dh)

Journal of Commerce by Tim Bradner.  A year ago there was a lot of complaining about state money being wasted on the Alaska Stand Alone Pipeline project, the little brother to the big North Slope gas pipeline project.  ... But a funny thing has happened. The project has morphed. Little Brother pipeline isn’t little anymore. It has grown up.


Video: Today, U.S. Senator John Barrasso discussed the LNG Permitting Certainty and Transparency Act (S. 33), that will speed up the approval process for exports of liquefied natural gas (LNG) to countries which do not have free trade agreements with the United States.  Additionally, the U.S. Chamber of Commerce and the American Petroleum Institute issued letters of support for S. 33 in advance of today’s hearing.   


Calgary Herald by Dan Healing.  A consortium including Calgary-based midstream and energy firm Altagas Ltd. has taken possession of the proposed Douglas Channel LNG project through a plan of arrangement that ends a Companies’ Creditors Arrangement Act process.   (Alaskans will note the consortium includes investors from Asian and European market areas.  -dh)

Shell Gears Up For 2015 Chukchi Exploration Season!

World Energy News by Joseph Keefe.  Oil major Shell wants to revive its Arctic oil drilling programme this year after a near two-year suspension, angering environmentalists who say the risk of an oil spill is too high.

Robert Dillon, U.S. Senate Energy and Natural Resources Committee, Shell to Drill Chukchi 2015, Dave Harbour PhotoRobert Dillon (NGP Photo) of the Senate Energy and Natural Resources Committee reports this afternoon that, "Shell CEO Ben van Beurden today told a conference in London that Shell would drill in Alaska’s Chukchi Sea this summer.

(Photo: Shell), ocs drilling platform"Shell has invested nearly $6 billion in leases and exploration in the Chukchi and Beaufort seas off Alaska’s northern coast," Dillon said.  "The Arctic holds 13 percent of the world’s undiscovered oil reserves, and 30 percent of undiscovered natural gas deposits, so the potential for Alaska is immense. Arctic waters off Alaska’s northern coast contain an estimated 30 billion barrels of oil and 221 trillion cubic feet of natural gas, according to the federal government."

Dillon said the resources are "critically important to the nation, state and continued operations of the Trans Alaska Pipeline System (TAPS)" in terms of domestic oil supply and jobs. 

Shell aims to restart Arctic drilling this year – CEO (Reuters)

LONDON Thu Jan 29, 2015 5:25am EST

Jan 29 (Reuters) - Royal Dutch Shell is planning to restart oil drilling in the Arctic this year, Chief Executive Ben van Beurden said on Thursday.

The oil company suspended its Alaskan drilling programme in 2014 to rein in costs and in the face of fierce environmental opposition.

Van Beurden said he aimed to restart the campaign this year, pending approval of the necessary permits and the conclusion of various legal challenges.

"Yes, we are minded to drill in the Chukchi Sea," he told reporters at a conference in London.


 

Categories:

1-16-15

16 January 2015 2:48am

Caution:  We would urge our Arctic oriented readers to carefully follow this BSEE Arctic/General OCS Research Plan, for if contracts are given to organizations or professors that are predisposed to be agenda driven, the results may be less than scientific, less than objective.  In short, one hopes we can avoid the situation wherein a Federal Administration sells leases, then does everything in its power to nullify action--at considerable expense to leaseholders and consumers.  -dh


 

But hold on....  Bradner has an update for this story.  

Alaska Attorney General Craig Richards ... said in a Jan. 14 interview with the Journal that the current requirement keeps too much information from the public and that a new policy is being developed that will allow more open discussion of AK LNG issues in public while protecting certain private information

Alaska Journal of Commerce by Tim Bradner.  The state’s political and resource communities are still buzzing about Gov. Bill Walker’s sudden firing Jan. 6 of three Alaska Gasline Development Corp. board members and his order that new board members not sign confidentiality pledges.

Apache Cuts This Week.  WSJ by Lynn Cook.  Apache Corp. is laying off as many as 250 employees this week in one of the first major workforce cuts at an American oil producer since crude prices began to plunge last summer.  

Washington Times.   BP has announced it will cut an estimated 200 staff jobs and another 100 contracting jobs in light of falling oil prices.

 

The Houston-based energy company, one of the biggest in the U.S., pumps oil and gas in places from Texas to Egypt and employs about 5,000 ...

 

(including Alaska, we might add. -dh)


 

Keystone XL Week's End Commentary

by

James R. Halloran

Independent Energy Analyst

James Halloran, Independent Energy Analyst, Keystone XL, Halloran File PhotoWe have made it clear that our position is that Keystone XL will not be constructed, at least the five feet of pipeline that would cross the border. The basic weapon that will doom it is time. Its opponents will drag out the approval process until TransCanada gives up. The combination of litigation in multiple courts and dithering by Obama and his minions will drag out the process for years to come.

Much has been written about the Nebraska Supreme Court supposedly clearing the way for Obama acolytes to back into a four-corner stall. But according to Washington Analysis (below), Nebraska may be able to baby-sit the proposal for some additional time. Read the explanation below.

(Follow-up material coming....)

Categories:

1-14-15

14 January 2015 8:14am

Forbes by Brigham A. McCown.  The recent free-fall of crude oil prices has affected markets across the globe. Energy companies have responded by scaling back investments as their available capital shrinks. In British Columbia, delays are hampering the Pacific Northwest LNG project. Likewise, in Texas, a liquefaction project has been suspended off its coast by Excelerate Energy. Yet, meanwhile, Alaska is moving forward on an ambitious infrastructure project to develop and export its North Slope gas reserves.  


The right hand column is undergoing construction and will be visible soon.  -dh

Categories:

11-7-14 Alaska Governor Acts On Gasline And Legislators React - President Makes Preemptive Attack On Keystone XL

07 January 2015 9:07am

See Our Earlier Commentary: "Is Alaska Beginning A New Year Of Accomplishment or Acrimony?" (Other references)


Alaska Governor Bill Walker, Photo by Dave Harbour, AGDCADN by Dermot Cole.  Gov. Bill Walker (NGP Photo) took a major step toward revising the way the state is dealing with a proposed gas pipeline by removing three members of the Alaska Gasline Development Corp. board and instructing two commissioners not to sign a secrecy pledge proposed by the Parnell administration. (Comment: We do not know enough about all the circumstances to comment on the rightness or wrongness of the Governor's action or legislative reactions.  We do observe that decision makers in a time of fiscal crisis would probably be well advised to bend over backwards to be cordial and considerate in their interactions.  The fiscal challenge descending upon Alaska and her citizens will be difficult enough to confront with a united team and much harder to resolve successfully if we are divided.  -dh)

*   *   *

Mike Hawker, Alaska Gasline Development Corporation, Governor fires board, Photo by Dave HarbourMike Chenault, Speaker of the House, Alaska Gasline Development Corporation, Governor fires board, Mike Hawker, Photo by Dave Harbour

The legislators who 
sponsored the bill creating the Alaska ​Gasline Development Corporation (AGDC) today released statements in light of Governor Bill Walker’s action firing three board members and ordering his appointees to not participate in the confidentiality process.  Alaska Speaker of the House Mike Chenault, (NGP Photo-Right), and Rep. Mike Hawker, (NGP Photo), believe the three key AGDC board members were critical in ... (Read more here)
*     *     *
Brad Keithley, Alaska Gasline Development Corporation, AGDC, Governor Bill Walker, Fire Board Members, Photo by Dave HarbourOil and gas attorney Brad Keithley (NGP Photo) reacts to AGDC on his Facebook Page and to general spending issues on his blog, here.  "Wrong direction. Alaska is part owner of a commercial enterprise competing in a very challenging environment. You and I wouldn't disclose our commercial strategy in our businesses; neither should the state. And you and I would want all hands important to the success of our business in the information loop; we wouldn't want to blind key players by keeping them in the dark about our strategy. Neither should the state. Taking this position on confidentiality is two significant steps backward in the success of this venture. Treat it like the Permanent Fund (which regularly enters into confidentiality agreements) and give the LNG project the tools necessary to be successful."   http://ow.ly/GWUwe

Calgary Herald by Stephen Ewart.  

Commentary: Preemption of Due Process and Erosion of the Rule of Law.

We have seen the current, Administration consistently erode the rule of law.

The EPA has acted to preemptively kill an Alaska mining project, on valid Alaska state leased ground, before the proponents filed for the first permit, on the basis of an EPA-imagined development scenario, before any public hearings, findings of fact or legal record could be assembled.  

This is a horrible infringement on America's constitutional protection of due process and the rule of law which it protects.

The precedent the EPA is trying to establish could provide hostile federal agencies with a new tool for stopping state, municipal, agricultural, recreational, mining, commercial fishing, manufacturing, transportation, home building projects on federal, state, municipal or private land...anywhere, anytime.

Similarly, the Administration has sought, unsuccessfully, to block development in Alaska by proclaiming vast areas should be protected for certain species when the populations of those species are increasing (i.e. Steller Sea Lion, Polar Bear.)

Other federal abuses abound and also work against a predictable and protected due process, though they are more subtle (See "Conversation With Ibrahim",  Fuel StandardsArmed EPA Hits Alaska)

In the case of Keystone, the President has blocked State Department approval of the project following valid, due processes which cleared the project.

Now, when the Congress seems poised to introduce Keystone enabling legislation, the President announces intent to veto any such legislation.  This is more clear and present evidence of willful disdain for the spirit if not the precise definition of due process.

Through such action in the energy business, together with evidence in other federal jurisdictions (i.e. Overreaching Executive Orders, Justice Department-selective enforcement, IRS-targeting non-profits, State Department-Benghazi, etc.), one must conclude the country is dangerously close to losing constitutional freedom and the rule of law reputation for which it was once so well regarded.

Energy company shareholders are among the most affected by a dilution of due process when the rule of law is replaced by rule of men with political agendas.

-dh

The White House warned Tuesday that U.S. President Barack Obama would veto a new Congressional bill to have the Keystone XL pipeline built arguing there is a well-established process to review the controversial cross-border project.

Almost seven years after filing its application for a 830,000 barrel a day oil pipeline, TransCanada chief executive Russ Girling expressed exasperation over the latest setback.

“The review process for Keystone XL has been anything but well-established. We are well over the six-year mark reviewing the final phase of Keystone with seemingly no end in sight,” Girling said in a statement after...  (More here)


Canadian Press/Global News. Jim Prentice, Alberta, Premier, Keystone XL, pipeline, Photo by Dave Harbour Alberta’s premier remains hopeful about the Keystone XL pipeline despite word that U.S. President Barack Obama may veto the project.  Prentice says he will travel to Washington within the next month to let people know that Keystone is in the best interests of Canadians and Americans alike.

Jim Prentice (NGP Photo) says there is broad public and political support in the United States for the pipeline that would carry Alberta bitumen to the U.S. Gulf Coast.


Globe & Mail.  Quebec’s energy regulator is giving the thumbs-up to TransCanada Corp.’s Energy East pipeline, calling the plan “desirable.”

The $12-billion pipeline between Alberta and New Brunswick aims to connect western crude with eastern refineries and new markets across the Atlantic.

It would make use of under-used natural gas pipe already in the ground for about two thirds of the way, with new pipe being constructed in Quebec and New Brunswick.


The Alaska Gasline Development Corporation today released statements in light of Governor Bill Walker’s action firing three board members and ordering his appointees to not participate in the confidentiality process.
 
Alaska Speaker of the House Mike Chenault, (NGP Photo-above), and Rep. Mike Hawker, (NGP Photo-above), believe the
three key AGDC board members were critical in advancing a natural gas commercialization project, and brought valuable perspective and acumen to the Board. AGDC was designed to bring gas to Alaskans and more revenue to the state via its Alaska Stand Alone Pipeline (ASAP) project working parallel to the AK LNG project, which it was facilitating for the State.
 
“I spoke to Gov. Walker after hearing that he had fired AGDC board members Dick Rabinow, Drue Pearce, and Al Bolea,” said Chenault. “The governor certainly has the power to do that; the Legislature granted the governor that power in House Bill 4, which created and directed AGDC. I’m disappointed that Gov. Walker has chosen to eliminate these board members, who have proven their worth and commitment to Alaska in the progress made already.
 
“It’s going to be hard to replace the 60 years of knowledge that these three board members bring – and in particular, the expertise of Dick Rabinow, who is the only board member to have actual gasline construction experience under his belt.
 
“My greatest concern is what delay is this action going to cost the AK LNG and ASAP projects? With a substantial turnover in leadership, how much longer will Alaskans wait for natural gas?”
 
“I am disappointed in the Governor's action gutting the top quality board that was working diligently for Alaska,” said Hawker. “I’m deeply concerned that this signals a wholesale change of course for Gov. Walker on gas commercialization. An overwhelming majority of legislators approved creation of AGDC, and of its mission, which is clear in law – to pursue a natural gas project that delivers gas to Alaskans first,
then to markets beyond.
 
“In creating AGDC, the Legislature carefully weighed the need for confidentiality in some issues with the need for public accountability. The legislature struck a balance between transparency to Alaskans, and the need to protect commercially sensitive information, third-party private company information, and information that, if known, could adversely impact the price Alaskans receive for its gas.
 
“I, too, am gravely concerned that this action by Gov. Walker will result in significant delays to the AK LNG and ASAP projects. All the key business agreements crafted by the State under confidentiality agreements will, by law, be brought back to the legislature for a fully transparent, public vetting and approval.”

TODAY'S Energy In Depth News Links:

Weds., January 7, 2015 

  • EID-National: API’s State of American Energy address and report underscore bright future ahead – if policy-makers do their job (1/6)
  • EID-Illinois: Unlike New York, Illinois is helping its economically challenged regions by moving forward with shale (1/6)
  • Guest post from BakerHostetler: Cuomo’s decision on HF doesn’t appear to be based on science – or the law (1/6)

NATIONAL

API chief focuses on oil exports, KXL in annual addressE&E News (subs. req’d). Throughout his remarks, Gerard touched many times on the need to move forward in approving construction of the Keystone XL pipeline from Canada. Describing that approval as "low-hanging fruit," he expressed disappointment at news that the White House said it would likely veto a KXL approval bill introduced yesterday by Sens. John Hoeven (R-N.D.) and Joe Manchin (D-W.Va.). "The American public is frustrated and confused by this indecision," Gerard said. "They say to themselves, 'Wait a minute, there's 42,000 jobs here and we can't make a simple decision?' So, longer-term, I believe Keystone is ultimately going to get done."
 
Democrats must respect the power of oil and gasHouston Chronicle, op-ed. Oil and gas is no longer a game reserved for Texas wildcatters. Shale can be found easily in blue states and red states, and politicians all along the aisle should have trouble finding bad news in fracking's gifts of job growth, affordable fuel and strength abroad.
 
Industry benefits from transparency about HF fluidsThe Oklahoman, op-ed. Baker Hughes, an energy firm in Houston, is about to make history. It just pledged to disclose the chemical makeup of its hydraulic fracturing fluid. Fracking fluids are safe. And the public deserves to know what goes into them. That’s why I firmly support fracking disclosure laws.
 
Oil prices will recover, but market could behave chaoticallyHouston Chronicle. In a balanced market, however, the oil industry simply cannot produce all of oil the world needs for $50 a barrel or less. That's the good news for Houston, but the bad news is that companies will be under intense pressure to produce oil as cheaply as possible because, since November's OPEC meeting, the world lacks a regulator, or swing producer, to stabilize the market. If left to its own devices, the invisible hand of the market will be stirring a pot of chaos in 2015.
 
U.S. oil production will be falling by end of 2015Reuters, column. In the short term, U.S. oil production is set to continue rising because there is still a backlog of wells waiting for fracturing crews and completion after the record drilling during the first ten months of 2014. In North Dakota, for example, there were around 650 wells waiting on completion services at the end of October 2014 because drillers had outpaced completion crews, according to the state's Department of Mineral Resources.
 
Low oil prices leave U.S. shale players cautiousUPI. Energy companies working in U.S. shale basins announced plans to trim capital programs for 2015 because of the steep decline in oil prices. The price for West Texas Intermediate crude oil, the U.S. benchmark, dipped below the $50 mark for the first time in more than five years Monday. Globally, oil prices have lost half of their value since mid-June 2014, forcing major oil and gas companies to cut back on spending for this year.

INTERNATIONAL

Anti-Cuadrilla group's leaflet misleading, says watchdogThe Independent. In a setback for the anti-fracking lobby, the Advertising Standards Authority (ASA) found that sections of the leaflet from the Residents Action On Fylde Fracking (Raff) protest group misinterpreted scientific data around shale gas extraction and exaggerated the size and scale of planned fracking operations in the region.
 
Junior explorer pulls plug on UkraineUPI. The economic climate in Ukraine is no longer conducive to continue investing in shale natural gas opportunities, producer JKX Oil & Gas said Wednesday. "The board of JKX has decided that the combination of Ukrainian Government-imposed restrictions on selling its gas to industrial clients and the punitive rate of gas production tax requires the company to suspend its planned 2015 capital investment program in Ukraine until the economic parameters for investment improve," it said in a statement.
 
Protests Hit Southern Algeria Over ShaleAssociated Press. Protests in Algeria's remote and sparsely populated south over efforts to exploit the country's vast shale gas reserves spread to the regional capital Tuesday, the state news agency reported.

CALIFORNIA

New report calls for better oversight of injection wellsBakersfield Californian. In a report with strong implications for Kern County's oil industry, an environmental activist group called Tuesday for changing the process for exempting aquifers from federal groundwater protections. An oil industry trade group, the California Independent Petroleum Association, was dismissive of the report, noting there is no evidence of waste being injected into drinking water supplies.
 
COLORADO

5 things to know as the Colorado legislative session beginsAssociated Press. Colorado lawmakers begin the 2015 session on Wednesday. Here's a weekly look at what's coming up: Fracking - Another big debate involves whether any new regulations are needed over hydraulic fracturing, or fracking. Gov. John Hickenlooper assembled a task force to look at how to settle land-use clashes among homeowners, local governments, and the energy industry. The task force's charge is to give lawmakers recommendations, but whether anything happens remains to be seen.
 
Windsor braces for industry slowdownThe Coloradoan. While many Northern Colorado residents are enjoying the country’s falling gas prices, Windsor officials say the anticipated slowdown in tax revenue from oil and gas companies will hamper them this year. Those companies will likely scale back their operations around Windsor, Town Manager Kelly Arnold said during a work session Monday. Fracking activity in the area may not pick back up until 2016.
 
What new fines would have meant in Windsor spillThe Coloradoan. An oil and gas operator who spilled 7,500 gallons into the Poudre River last year would have faced 15 times the financial penalty under a new fine structure passed this week. The Colorado Oil and Gas Conservation Commission approved a maximum penalty of $15,000 a day for "the most egregious violations" in a Monday hearing — up from a previous maximum fine of $1,000 per day. 
 
LOUISIANA

Oil price plunge imperils La. jobs — but when? The Advertiser. In Louisiana, initial claims for unemployment insurance in mining — many oil and gas jobs are recorded as mining — totaled 227 in December, higher than in any previous month but not much higher than claims recorded in January 2014. Guarisco said oil and gas employment appeared to remain robust in December, as many oil and gas jobs must be done no matter the price per barrel.

Denton anti-HF activists to make appearances in St. Tammany ParishTimes-Picayune. Two people whose efforts helped enact a ban on fracking in Denton, Texas, will be in St. Tammany Parish this weekend for a party and a symposium about hydraulic fracturing. The citizens group Tammany Together is putting on the events. 
 
NORTHEAST

Penn students jump into the shale fray with a new technologyNPR. One of the pressing questions regarding fracking is whether or not the chemicals used to help pry the gas from tight rock formations like the Marcellus Shale leaks or migrates to drinking water supplies. Imagine if you could determine whether fracking caused ground water contamination using a thin strip of single carbon atoms. That’s what two seniors studying at both the University of Pennsylvania’s Wharton school and its bioengineering department, are trying to do. Teddy Guenin and Ashwin Amurther are finalists for a $5000 prize through the University.
 
Analyst predicts gasoline rebound despite oil's plungeTribune-Review. Gasoline prices likely will rebound over the next few months and rise above $3 per gallon by May, despite the continuing drop in global oil prices, a national analyst predicted Tuesday. Oil prices driving much of the pump price dropped by half because of increased supply from shale producers, tepid global demand and a decision by exporters such as those in the OPEC cartel to push prices down by maintaining production.
 
US Forest Service accepting comments on Va. pipeline pathAssociated Press. Friday's the deadline to comment on a proposed natural gas pipeline whose route includes the George Washington National Forest. The multi-billion-dollar pipeline is proposed by Dominion Resources and other energy companies. It would run from West Virginia, through Virginia and into North Carolina. The proposed $5 billion, 550-mile pipeline would transport natural gas collected through hydraulic fracturing, or fracking, from Pennsylvania, Ohio and West Virginia.
 
Shale is proving beneficialThe Star Democrat, LTE. In her guest comment, “Fracking may prove to be harmful to public’s health,” Rebecca Rehr presents the potential hazards of hydraulic fracturing without balancing them with the benefits. Of course there are health and environmental hazards to extracting oil and gas from tight shale and other rock formations. However, horizontal drilling and fracking have dramatically increased U.S. production of oil and gas, leading to benefits both here and globally.
 
Natural Gas Price Plummets, But Tax Still a Wolf PriorityPhiladelphia Magazine. States that depend on energy resources to power their economies and budgets are tightening their belts as the prices of oil and natural gas fall, but that won’t — and maybe shouldn’t — stand in the way of a new fracking tax in Pennsylvania, officials say.

OHIO

Natural-gas home-heating rates low for JanuaryCleveland Plain Dealer. Cold January weather has arrived, but rates for natural gas have fallen. Both Dominion East Ohio and Columbia Gas of Ohio are posting standard rates that are lower than those in December and lower than year-ago January prices.
 
Small earthquakes in Mahoning CountyAkron Beacon Journal. Shawn Bennett, of the Ohio Oil and Gas Association, said, “There is no reason for hysteria” regarding the new report. Ohio is working closely with researchers in other states on how “best to mitigate such events from happening in the future,” he said. NOTE: Houston Chronicle/Fuel Fixalso reports.

TEXAS

4 mild earthquakes startle North Texas; no damage reportedExpress-News. Four small earthquakes have rattled North Texas hours apart. No damage was reported from Tuesday temblors. The U.S. Geological Service plotted the epicenters of the four quakes to northeast Irving, a Dallas suburb. At least two could be felt throughout the Dallas-Fort Worth area.
 
Low gas prices means job lossesKENS5. The output of the Eagle Ford Shale, recently slipped for the first time in more than a year. The state reports production at the shale dropped by about 2,000 barrels in December. A local economics professor from UTSA said cheap gas prices could mean job losses since a significant part of the economy is driven by oil and gas production.


Other references "A Deal Is A Deal", etc.:

Do we want to be a place where "A Deal Is A Deal?" (Reference 12345)
Did we elect a Governor and Legislature to solve problems or throw darts at each other (Today's KFQD; pls. advance to Harbour interview: 1520 - 2630)
Categories:

1-1-15 The New Year Begins!

01 January 2015 2:52pm

Tim Bradner, Alaska Journal of Commerce, Photo by Dave HarbourBill Walker, Governor, Alaska, budget cuts, Photo by Dave HarbourAlaska Journal of Commerce by Tim Bradner (NGP Photo-L).

 

Gov. Bill Walker (NGP Photo, above) and his new administration are still settling in as state legislators are packing up to head to Juneau for the 2015 session.

Mike Chenault, Speaker of the House, Alaska, budget, Dave Harbour PhotoKeven Meyer, Alaska State Senate, Senate President, ConocoPhillips, Photo by Dave Harbour

The annual political poker game begins Jan. 20 when the state Legislature convenes.

 

Walker will be at the table. So will House Speaker Mike Chenault (NGP Photo-Far R)​; Senate President Kevin Meyer (NGP Photo-R)​; House Democratic Minority Leader Chris Berta Gardner, Alaska State Senate, Senate Minority Leader, State Budget, Democrat, Anchorage, Photo by Dave HarbourChris Tuck, House Minority Leader, Alaska State House of Representatives, Alaska State Legislature, State Budget, Photo by Dave HarbourTuck (NGP Photo-R)​; and Senate Democratic Minority Leader Berta Gardner (NGP Photo)​.

 


Alaska Dispatch/AP by James MacPherson.  

Forget South Dakota. North Dakota's most similar sister state these days is some 2,000 miles away.

Alaska and North Dakota — which once had little more in common than wintry weather and elbow room — have for the past several years been locked in a state sibling rivalry ....

"It shocks me how much we have in common with Alaska, and it's not just the cold," said Kevin Iverson, manager of ....

North Dakota is bettering Alaska on crude production and the number of residents now....  The United States' unlikely economic darling that is North Dakota comes in contrast to slipping crude production on The Last Frontier.

...North Dakota recaptured the 47th most populous state from Alaska, which .... North Dakota had an estimated 739,482 residents in 2014, up more ....

Alaska lost more than ....  (Read more)

Categories:

12-19-14 Chevron Exits 'Economically Uncertain' Arctic OCS - Regulators Question Alaska's Arctic Gas Project

18 December 2014 9:19am

Pedro van Meurs, Mexico, National Hydrocarbon Commission, perms for shallow water bidding, bid conditions, model contract, J. Jay Park, joint commentary, free download, Photo by Dave Harbour

Contact: 

Pedro van Meurs
President, Van Meurs Corporation
PO Box CR-56766 # 1261
Nassau, Bahamas
Phone: 1.242.324.4438
Fax: 1.242.324.4439
E-mail: info@vanmeurs.org

On December 11, 2014, the National Hydrocarbon Commission of Mexico announced the proposed terms for the shallow water bidding round, consisting of the Bid Conditions and the Model Contract.  Our friend, Pedro van Meurs (NGP Photo), along with J. Jay Park, Q.C., prepared a joint commentary on both these documents. This report is available for free to interested parties.  Click Here to download the document.

TODAY'S CEA ENERGY LINKS


BP's Alaska Hire rate continues to exceed 80%, and spending with Alaska companies is 81% of total in-state spending, according to its 2014 Alaska Hire report.   BP Publishes Alaska Hire each year to focus on education, training and mentoring programs that are designed to bring more Alaskans into the oil and gas industry. Readers may access Alaska Hire here

Reuters (Reporting by Scott Haggett; Editing by Cynthia Osterman)​     - Chevron Corp said on Wednesday a plan to drill for oil in the Beaufort Sea in Canada's Arctic is on hold indefinitely ....   In a letter to Canada's National Energy Board, the company withdrew from a hearing into Arctic drilling rules because....  (More)


REGULATORS QUESTION ALASKA LNG PRELIMINARY PLANS (From Office of the Federal Coordinator)

In their first feedback on Alaska LNG's preliminary construction plans, federal and state agencies raised dozens of questions and issues they want to make sure are covered as the project sponsors progress with design and environmental analysis.

Alaska LNG Project, Map, Prudhoe Bay, Natural Gas, Tokyo Gas, Korea, Japan, Taiwan, China, pipe, cryogenic, DOE, export, state ownership, Photo Courtesy OFCThe agencies on Dec. 11 asked the project sponsors for more information about where they plan to get construction gravel, how they plan to lay a pipeline across Cook Inlet and what kind of wear and tear state roads and bridges would endure as tons of materials move across Alaska during construction.

The requests for more information were expected as the sponsors are in the early stages of their design, route selection and construction planning for the LNG export project.

Read more >                                  


Today's Consumer Energy Alliance Energy Links:

Downstream Today: Keystone XL: Oil, Gas Industry Awaits Fate of the Pipeline's Final Phase.  

David Holt, Consumer Energy Alliance, Keystone, State Department, Environmental, Dave Harbour PhotoIf oil sands from Canada will make it to the market whether the pipeline is built or not, then moving the product through a pipeline would not only produce fewer emissions than transporting it using other methods, such as rail or truck, but it would also be safer than other methods of transport, according to the President of the Consumer Energy Alliance, David Holt (NGP Photo), during a broadcast of Houston Public Radio.

“Pipelines are an order of magnitude safer and more environmentally responsible than any other mode of transportation for crude and natural gas. Whether or not we permit the Keystone pipeline, the crude oil in Canada is going to be produced. In the State Department’s own report, they said that without Keystone, the emissions impact to ship that [Alberta oil sands] to the east and the west, and to take it to China and elsewhere, could be a 600 percent increase in emissions,” Holt said.

 
New York Times: Cuomo Bans HF
Gov. Andrew M. Cuomo’s administration announced on Wednesday that it would ban hydraulic fracturing in New York State because of concerns over health risks, ending years of debate over a method of extracting natural gas.
 
Reuters: NY unlikely to face lawsuits over shale ban, experts say
When Governor Andrew Cuomo announced a ban on fracking in New York on Wednesday, he predicted "a ton of lawsuits" against the state. But that is unlikely as the end of a drilling boom has left the industry in no mood for a fight, industry experts and lawyers said.
 
Associated Press: McConnell Wants to Stop Coal Rules
Incoming Senate Majority Leader Mitch McConnell, R-Ky., pledged on Wednesday to do all he can to stop President Barack Obama's coal plant regulations, saying a White House "crusade" has devastated his state's economy.
 
SNL: House Republicans slam EPA carbon rule for existing plants as 'unrealistic'
The Republican majority on the U.S. House Energy and Commerce Committee contends the EPA's draft carbon dioxide regulation is illegal under the Clean Air Act and that the proposal's goals are "unrealistic."
 
Reuters: Chevron cancels Canadian Arctic drilling as oil prices slide
Chevron Corp is putting a plan to drill for oil in the Beaufort Sea in Canada's Arctic on hold indefinitely because of what it called "economic uncertainty in the industry" as oil prices fall.
 
Bloomberg: U.S. Talking Oil Exports Just When World Needs It Least
The U.S. Congress is talking about allowing unfettered oil exports for the first time in almost four decades. Its timing couldn’t be worse.
 
Bloomberg Businessweek: TransCanada’s Keystone Fight Turns to Exports on Oil Glut
Russ Girling’s Keystone XL saga is taking a new twist with a global glut of cheap oil. Americans, including President Barack Obama, are increasingly questioning whether the pipeline is needed or if it will just be a corridor for Canadian oil-sands crude to reach China. Girling’s answer is that the U.S. isn’t weaning itself off foreign oil anytime soon and that Gulf Coast refineries will be the buyers, not Asia.
 
The Denver Post: Tilting the Keystone
Being an ardent opponent of the Keystone XL project in rural Colorado isn't a popular position. The vision for this 21st century pipeline has been sold as a necessary component of our energy challenges and a massive job creator. Unfortunately, the pipeline is neither, and would be better characterized through the lens of American rural landscapes as an assault as opposed to an asset.
 
KMTV: Fight over Keystone XL continues, landowners vow to fight until very end
TransCanada has until mid January to acquire the land needed to build the Keystone XL Pipeline through Nebraska. A new offer from the company is on the table for landowners.
 
Fresno Bee: Plunging oil prices are good for us, bad for Putin
Plunging gas prices are a gift in more ways than one. They mean more cash in people’s pockets during the holiday shopping season, so hopefully local retail will get a boost. They will soften the blow next month for any price spike when fuels come under California’s cap-and-trade system to combat climate change.
 
CBS 4 News: Falling Gas Prices Could Harm Colorado’s O&G Industry
While prices at the pump are pleasing to many drivers so far this holiday season, the plummeting prices of oil are a bit concerning for Colorado’s oil and gas industry. Coloradans are paying an average of $2.52 per gallon. That’s 54 cents less than a year ago when it was $3.06. “Colorado has had a significant increase in production. At these prices I’m not sure that will continue,” said Stan Dempsey, president of the Colorado Petroleum Association.
 
Associated Press: Colorado drillers warn of closures with fines
Colorado oil and gas industry leaders say new fines for rule violations could lead in some cases to companies shutting down or curtailing operations. An attorney for the Colorado Oil and Gas Association industry group told regulators penalties should be waived for minor infractions.
 
News & Observer: NC Rules Review Commission approves HF standards
North Carolina’s proposed fracking safety standards sailed through a rules reviewWednesday despite a staff attorney’s warning that several rules failed to meet state standards and should be put out for public hearing. The Rules Review Commission’s approval means the fracking rules won’t be delayed by several months for extra reviews and hearings. Instead, the rules, written by the Mining and Energy Commission, are now headed to the state legislature, which is expected to lift North Carolina’s fracking moratorium in a matter of months.
 
Baltimore Sun: Shale ban in NY prompts calls for MD to follow suit
With New York's governor banning hydraulic fracturing for natural gas in that state, environmental groups are calling on Maryland's lawmakers to follow suit. New York Gov. Andrew Cuomo ended six years of study in that state and sided with his top advisers in deciding the potential environmental and health risks of "fracking," as it's commonly known, were too great to allow it to go forward there.
 
Lancaster Online: Home heating costs are down
Lancaster County residents should get some relief on their heating bills this season — unless there’s a repeat of last winter’s deep freeze. The administration estimated in its winter report on winter fuels that the decline in average price for some heating sources also will contribute to savings.
 
WOAI: Eagle Ford Production Strong--Won’t be Killed by Saudi Moves
The plummeting price of oil has not yet begun affecting drilling in the Eagle Ford shale south of San Antonio, an investigation by News Radio 1200 WOAI's Michael Board has concluded.  Benchmark West Texas Crude fell nearly a dollar again on Tuesday to settle at $55.05 a barrel. That's down from $116 in April, and $110 as recently as June.
 
Dallas Morning News: Lawmaker files bill to discourage cities from passing HF bans
Rep. Phil King, R-Weatherford, proposed on Wednesday a bill that would require cities to make up for any revenue lost as a result of passing a municipal oil and gas ordinance–a requirement that could dissuade cash-strapped cities from considering or approving some local regulations.
 
Express-News: 500+ rigs may shut down as oil slides, analysts say
As many as 550 drilling rigs may have to sit on the sidelines of U.S. shale oil patches over the next few months, analysts say, as oil prices have folded nearly in half since this summer. The projections come a few days after Texas drilling rigs led the nation in a 1.4 percent weekly decline in the U.S. active rig count, according to oil-field services firm Baker Hughes.

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