Peninsula Clarion OpEd by Mike Chenault (NGP Photo) . I’ve been involved in state politics for 14 years, and I have to say, the progress the Legislature and Governor Sean Parnell (NGP Photo) have made together in the last 2 years is a real highlight. We’re farther than ever getting a big gasline built. I’ve never seen all the necessary parties aligned like they are today. They’re spending money, committing hundreds of millions more, signing agreements, running field programs, and applying for federal permits. Alaska, this is real work, not just a pipe dream. This is reliable, affordable gas to Alaskans — and gas to overseas markets, putting revenue into our state treasury.
As the production of oil and gas in New Mexico continues to grow, finding a way of getting those resources to market is a major question for the industry. Johnny R. Johnson, managing director of the New Mexico Trucking Association, is also a member of the Consumer Energy Alliance and deals with that issue on a daily basis.
KWGS-FM (Public Radio Tulsa): News Radio * Natalie Joubert Interview
Tulsa, Oklahoma’s National Public Radio station runs story on low gas prices in the metro area and across the nation, interviewing Natalie Joubert regarding the trend and when she believes it may change.
Natural Gas Now: Energy Day in Houston, Education in Pennsylvania *CEA Mention
A trip to Houston to participate in “Energy Day” fills attendees with ideas for building a foundation for expanded energy education in Pennsylvania.
New York Times: Economists See Limited Gains in GOP Plan
Anticipating a takeover of Congress, Republicans have assembled an economic agenda that reflects their small-government, antiregulation philosophy, but also suggests internal divisions that could hinder a united front against President Obama — much as happened in the 1990s, when a Republican-led Congress confronted President Bill Clinton. The proposals would mainly benefit energy industries, reduce taxes and regulations for businesses generally, and continue the attack on the Affordable Care Act. It is a mix that leaves many economists, including several conservatives, underwhelmed.
Investor’s Business Daily: If GOP Wins Congress, What Are Its 2015 Priorities?
There is no Republican Contract with America in 2014 or plan for the first 100 days if the party can regain control of Congress. For the most part, the GOP has been content to turn the battle for the Senate into a referendum on President Obama, while Democratic candidates have tried their best to distance themselves from the White House
Great Falls Tribune: There's hope: Just 11 days 'til Election Day
Congressional debates are done, and it’s only 11 days until the Nov. 4 general election in Montana. But it makes for a strange election when ballots go out nearly a month before Election Day. Is this really the best way to run an election?
One News Now: On campaign trail, can Keystone controversy at least get lip service?
The Keystone XL pipeline is not seen as having an impact on this year's mid-term elections, and depending on the people you ask, that's okay.
Fuel Fix: Oil producers unite to lobby for crude exports
The nation’s largest independent oil companies are banding together to lobby for the right to export crude around the world.
Bloomberg: U.S. Oil Seen as Buffer for Global Prices and Supply
U.S. oil output is buffering global crude prices and critical to the world’s supply balance amid the threat of disruptions, even as a ban on domestic exports remains in place, Energy Secretary Ernest Moniz said.
Washington Times: Shale booming despite liberal protestations
The U.S. oil and gas industry is thriving despite efforts by the Obama administration and liberal environmental groups to undermine fossil fuel development and production, according to a Senate report released Thursday.
The Hil : More shale oil means lower gasoline prices
Naysayers said it was almost impossible to produce enough U.S. oil to significantly lower gasoline prices. But surging oil production from the shale oil formations of Texas, North Dakota and now Ohio have put that argument to bed.
Wall Street Journal: The Oil Price Swoon Won’t Stop the Shale Boom
With oil prices sliding, energy investors are worried, while Saudi Arabia and Russia no doubt hope, that low prices will cap America’s boom in shale-oil production. Green-energy types sit by, happy to see turmoil in the fossil-fuel sector. True enough, sellers of any product prefer high prices to low; but the current slump sets the stage for what I call America’s shale boom 2.0.
Daily Caller: Report Details How WH, Enviros Conspiring to Stop Energy Boom
President Obama has long been touting the U.S. oil and natural gas boom as the product of his administration’s “all of the above” energy plan. But a new report from Senate Republicans claims the White House supports oil and gas drilling publicly while partnering behind the scenes with eco-activists to regulate it out of existence.
Washington Post: Gas prices are tumbling, that’s not necessarily a good thing
This growth in U.S. tight oil — a light crude that is trapped in dense, hard-to-reach rock — has come on fast. It only really got going around 2008, launched by advances in horizontal drilling and hydraulic fracturing, or fracking — the same technology that created the shale gas boom.
Reuters: California getting more Bakken crude by barge than rail
Shipments of Bakken crude oil from North Dakota to California by barge have quietly overtaken those by train for the first time, showing how the state's isolated refiners are using any means necessary to tap into the nation's shale oil boom.
Bloomberg: U.S. Energy Exports to Top Imports by 2025, WoodMac Says
U.S. companies will export more energy than they import by 2025 as shale oil and gas production keeps climbing and the transportation sector becomes more efficient, Wood Mackenzie Ltd. said in a note today.
The Washington Times: Fracking industry booming despite liberal protestations
The U.S. oil and gas industry is thriving despite efforts by the Obama administration and liberal environmental groups to undermine fossil fuel development and production, according to a Senate report released Thursday.
National Review Online: Not Just a Fracking Ban
Under the guise of an anti-fracking initiative, environmental groups in two California counties have sneaked into a ballot measure language that would impose sweeping restrictions on the entire energy sector, banning even conventional oil- and gas-production methods that do not involve fracking and have been safely used for decades.
Wall Street Journal: The ‘Colorado Model’ Goes Thud
Mr. Udall ran as an independent yet says he’d vote for ObamaCare again. He claims to be a “best of the above” energy guy, but he refused to endorse the popular Keystone XL pipeline and only belatedly came out against anti-fracking ballot initiatives that have crippled a new mainstay of the Colorado economy.
Boulder Weekly: Is the way the State handles oil & gas complaints criminal?
Among the pieces of information she was given, she says, was that all of the ingredients for fracking fluid can be found in a grocery store, which, given ammonia and rat poison can be found at the grocery store, she calls a ridiculous argument.
ABC Denver: Hickenlooper, Beauprez trade barbs in gubernatorial debate
After a late arrival on-stage for Governor Hickenlooper, both men shook hands and began with the topic of fracking and related ballot initiatives that were killed this past summer.
Innovation Trail: Cuomo says fracking study will be out by year's end
During Wednesday’s only gubernatorial debate, Governor Cuomo said that the long awaited health review on potential dangers of hydrofracking will be completed by the end of the year.
Pittsburgh Business Times: Corbett signs bill requiring House, Senate OKs on carbon emissions plan
Gov. Tom Corbett has signed into law a bill requiring both the state House and Senate approve Pennsylvania's forthcoming plan for reducing carbon dioxide emissions.
Tribune Review: Penn Twp. board OKs HF regulations
Under new regulations that now are in effect in Penn Township, Marcellus shale drilling rigs and fracking ponds are banned from residential and commercial areas — but companies are allowed to conduct horizontal drilling across almost all of the township.
Meadville Tribune: Shale key issue in race for governor
Drillers seriously started fracking in Pennsylvania seven years ago, launching a swell in natural gas production that also tapped new sources of cash for the state.
WV Gazette: Marcellus jobs report needs work, state researcher says
A legislatively mandated survey meant to measure whether West Virginia residents are getting the jobs created by the Marcellus Shale natural gas boom needs a lot of work if it’s going to give a solid answer on the issue, according to the state researcher who does the study.
Bloomberg BNA: Opponents Plan to File Lawsuits If Texas City Passes Measure to Ban Fracking
The residents of Denton, Texas, will vote on a ballot measure Nov. 4 that would ban hydraulic fracturing within the city limits, but the debate on the oil and gas drilling practice probably won't end on election night.
Dallas Morning News: Hydraulic fracturing as technological game changer?
When combined with the technique of drilling wells horizontally – not vertically – fracking as it is known has revolutionized the U.S. oil and gas sector. But does it count as a technological breakthrough on the order of the microchip or the refrigerator?
Alaska Dispatch News: Begich, Sullivan spar over natural resources in US Senate debate
Democratic U.S. Sen. Mark Begich and Republican opponent Dan Sullivan took their typical campaign themes to a new venue on Thursday, as the two squared off at a natural resources-focused debate sponsored by groups representing the mining, timber and oil industries, among others.
Politico Pro: EPA Asks Court to Toss Murry Lawsuit Over Climate Regs
EPA has asked the U.S. Court of Appeals for the D.C. Circuit to toss a case over its proposed greenhouse gas rule for existing power plants, arguing that the rule won't be ripe for judicial review until the final regulation is issued next year. EPA is taking public comment on every issue that coal company Murray Energy raised in the case and hasn't yet had an opportunity to respond, the agency wrote. If the court reviewed the rule now, it would deprive others the opportunity to weigh in on the rule, EPA said. The agency also pointed to two recent court decisions to dismiss cases brought against EPA's proposed greenhouse gas rule for new power plants.
Georgetown University: EPA Head Gina McCarthy to Speak at Georgetown Friday
Administrator Gina McCarthy will speak on the future of energy and the environment at Georgetown’s 2014 LEAD Conference Oct. 24.
Parnell, Walker continue to trade blows over Fairbanks' high energy prices. Fairbanks Daily News-Miner.
Sean Parnell's campaign fired back at independent gubernatorial candidate Bill ... 30 years to deliver on a natural gas pipeline and has utterly failed,” Wright said. ... If he'd taken action, Fairbanks might have been getting gas today.”.
Pipeline Hopes Spring Eternal
CBC News. Premier Brian Gallant will use a four-day trip to Alberta to meet with business and political leaders to show his new government’s support for the Energy East pipeline.
Gallant and Energy Minister Donald Arseneault will leave for Alberta on Sunday and he will meet with Premier Jim Prentice, TransCanada Corp. officials and spend time drumming up possible investment opportunities
The Calgary Herald provides a report by the Canadian Press' Ross Marowitz this morning describing opposition in Quebec originating from the province's largest gas distributor, Gaz Metro to TransCanada's Energy East pipeline project.
U.S. and Canadian energy companies employ best practices in the world for exploration, development transportation and distribution, refining and marketing of oil and gas. Complex as it is, our companies can easily design, build and operate state-of-art facilities. Those facilities produce wealth for our countries, our companies, our citizens and an economic platform for the coming generations.
No, building facilities is easy compared with the political and regulatory challenges.
In the U.S., politics almost 4 decades ago caused the two governments to choose an Alaska Highway route for moving Alaskan and Mackenzie Delta gas to market. The less politically popular Arctic Gas project, a 27-member consortium at its zenith, would have done the job more efficiently. TransCanada was one of its principle members. The politically chosen project was never built.
In mid-1973, Vice President Spiro Agnew provided the final, tie-breaking U.S. Senate vote that allowed construction of the trans Alaska oil pipeline to begin. Imagine how history would have changed had the politicians erred by one vote--sending that project to the scrap heap.
Now, one witnesses support from the American people, from affected states and even from the U.S. State Department for building TransCanada's Keystone XL pipeline, creating thousands of jobs and increasing the North American supply of crude oil. That which is exported provides valuable foreign exchange and less dependency for crude oil on less friendly regimes. But the White House refuses to allow the international project to go forward for purely political reasons: his environmental activist friends oppose it.
Imagine how history without this pipeline will affect the wealth of citizens, companies, states and the national economies of Canada and the United States. Imagine this being done by an administration presiding over an accumulated deficit now approaching the unfathomable level of $18 trillion, a debt per taxpayer of plus or minus $153,000. Not to mention national defense implications and an injured relationship between two of the world's greatest friends and trading partners.
While the Keystone XL pipeline proponent, TransCanada, awaits final word from the U.S. on that project it is furiously seeking to create another outlet for prolific Alberta oil sands production and make best use of an underused gas pipeline.
We made reference, yesterday, to the $12 billion Energy East project, designed to convert a natural gas pipeline with spare (i.e. unused) capacity into a fully used oil line.
Marowitz noted in his report that it, "...would be one of the biggest infrastructure projects in Canadian history, crossing six provinces and traversing 4,600 kilometres in total. Roughly two-thirds of it would make use of underused natural gas pipe that's already in the ground, with new pipe being built through Quebec and New Brunswick. The idea is to connect oilsands crude to eastern refineries and to export some of the oil by tanker."
He concludes with a Deloitte study conclusion that the gas to oil pipe conversion, "...will boost the Canadian GDP by $35 billion over 20 years, add $10 billion in taxes, support 10,000 jobs and help eastern refineries.
When TransCanada files its application to proceed with the National Energy Board (i.e. NEB, Canada's counterpart to the U.S. Federal Energy Regulatory Commission, or FERC) Gaz Metro is likely to file in opposition to the project, partly on the basis that the underused TransCanada gas line currently provides the extra gas needed during high demand, winter months. One can envision a protracted, contested TransCanada application that can cause delay, raise costs and reduce value to taxpayers and ratepayers alike. We would hope Gaz Metro, on behalf of its consumers, would work out a private compromise with TransCanada that would be mutually acceptable. We would hope, too, that TransCanada would be flexible enough to join in a cooperative effort to resolve differences around a bargaining table rather than before an expensive and unpredictable regulatory, tribunal. Just look at the NEB's propensity to attach unpredictable and costly "conditions" to application approvals that could cause significant angst and expense for project proponents (e.g. Just 'Google', "conditions NEB pipeline").
TransCanada is also the big-inch gas pipeline member of the Alaska LNG Project consortium attempting to build a pipeline/LNG project designed to transport long-stranded Alaska North Slope Gas to Asian markets. This is the most feasible concept now that the gas shale phenomenon has precluded the need for Mackenzie Valley and Alaska Highway gas pipelines (i.e. In both projects, TransCanada played a leading role).
One can imagine the tension that must exist in the TransCanada board room with three world class pipeline projects all teetering between approval and rejection amid tumultuous world tensions in a volatile regulatory, political, price, supply and demand environment!
If none of the three projects moves forward, that will be a big problem for shareholders since so much development cost will be written off and/or shared with existing pipeline ratepayers.
If all three projects were to receive market place and political and regulatory approvals, that in and of itself would be a huge challenge for TransCanada to manage in the coming decade.
Management of multiple mega projects poses a huge variety of challenges, including but not limited to: 1) transitioning from a baby boomer, experienced pipeline workforce to a vast generation of new workers; 2) giving existing pipeline maintenance, marketing and construction adequate attention; 3) convincing Alaska partners and other project stakeholders that it has the resources to manage all the projects in a somewhat similar timeframe; 4) conducting three world class stakeholder engagement programs both prior to, during and following construction; and 5) managing state, provincial and federal regulatory filings and disputes in both countries and across many states and provinces; and 6) dealing with limited, worldwide big inch pipe manufacturing and other logistical capabilities.
Having worked with and known TransCanada for a long time, we believe that if any company is capable of absorbing such multiple challenges, it is TransCanada.
That said, one hopes -- for the sake of North American economies -- that all three projects are successful and that TransCanada can successfully and efficiently build and operate them.
One also hopes that these three projects will 1) moderate world tensions in Europe, where new, North American energy might take the edge off of Russian energy blackmail/bribery; 2) free Alaska stranded gas while filling an Asian demand from a secure and diversified, North American source; and 3) enable the United States and Canada to reaffirm their historical relationship as each others' largest trading partner and best friend.
While hope is not a strategy, one cannot resist the belief that hope does, indeed, spring eternal and will win in the end.
In an Alaska Dispatch interview, Governor Sean Parnell (NGP Photo) said, "With the passage of SB 138 earlier this year, we are taking steps toward construction of a natural gas pipeline.
"Federal applications have been submitted, and my administration is now working with potential buyers in Japan. My administration continues to identify various financing mechanisms for the state's portion of this project; thanks to our solid credit rating, we have options." Read more here.
10-10-14 "Interesting Moments" From Our Video Archives - Alaska's Congressional Delegation Unites On LNG
The Alliance's Rebecca Logan writes, "Great presentation yesterday morning by Greg Lalicker from Hilcorp! Over 200 folks in attendance!!" We are pleased to attach that presentation for your review. -dh
We know two Members of Alaska's Congressional Delegation who oppose President Obama's irresponsible use of Executive Orders and EPA's preemptive blockage of projects which destroys the concept of "due process" and "Rule of Law".
Here, the President has, by fiat, created the "San Gabriel National Monument", without public input. We would hope that our Democrat Senator, Mark Begich (NGP Photo), could prevail on the President -- along with his Republican colleagues -- to avoid such unilateral actions which we could otherwise see repeated before 2016 in Alaska and other resource rich states. -dh
Senate Energy Committee Communications Guru Robert Dillon writes us that, "The Wall Street Journal opinion page yesterday took the Obama administration to the woodshed for failing to take advantage of the historic opportunity to improve our security and economy by strengthening energy ties with Canada and Mexico."
In a violent, disordered world, the disagreements among the U.S., Canada and Mexico are minor. The benefits of uniting the economies of these three huge, peaceful nations are real. But it will require a U.S. presidential candidate with some of Prime Minister Harper’s vision to make it happen.
Amateur Hour Energy Videos For Our Readers and For Our Archives (Along With Hundreds of Thousands of Research Documents, Presentations, Maps, News Items and Editorials: Google Search Our Archives, Upper Right Column.)
In reviewing our "amateur hour" You Tube Channel, we encounter some “Interesting Moments” in Northern Energy history. Your author recorded these moments, over the years, either 1) to post on his northerngaspipelines.com webpage, or 2) as research for articles, or (3 as requested raw footage for other news/video producers. These links will become a part of the Northern Gas Pipelines archives. Other tapes preserved on this channel are more personal in nature or deal with other than energy subjects. None of our videos pretend to be professionally filmed. Enjoy!
Warren Buffett Congratulates Governor Sarah Palin (Then, not now....)
- Lt. Gov. (Now, Governor) Phil Bryant Discusses States’ Rights
- Governor Sean Parnell Discusses National Energy Policy
- Governor Sean Parnell Summit With Chairman Wu Bangguo
- Andrew Halcro: Alaska Gas Pipeline
- Oilfield Worker Ron Barks On Government Energy Policy
Here are some other unedited videos on our VIMEO channel:
- Senator Lisa Murkowski On The Federal “Assault On Alaska”
- Governor Jay Hammond And Legislature Define ‘Fair Share’ Of Petroleum Revenue
- Dave Harbour On Value Of Calgary Arctic Gas Symposium
Alaska Delegation Letter To DOE
Alaska Delegation Urges DOE to Approve Alaska LNG Export Application
U.S. Sens. Lisa Murkowski, (NGP Photo), Senator Mark Begich (NGP Photo) and Congressman Don Young, R-Alaska, last week called on the Department of Energy to expeditiously approve a liquefied natural gas (LNG) export license to ensure Alaska’s stranded natural gas resources reach market.
In a letter sent to Director of the Division of Natural Gas Regulatory Activities John Anderson, the delegation detailed the Alaska LNG Project’s plans to export LNG to both free-trade agreement (FTA) and non-free trade Agreement (non-FTA) countries, as well as its importance to the state’s future.
“The Alaska LNG Project would be the largest integrated natural gas, LNG project of its kind ever designed and constructed, with an estimated cost of $45 billion to $65 billion,” the delegation wrote. “No other single project is as important to Alaska’s economic future as this massive infrastructure project.”
The developers of the Alaska LNG Project – Exxon Mobil, ConocoPhillips, BP, and the pipeline company TransCanada – are seeking a license to export 2.5 billion cubic feet of natural gas a day for 30 years. To date, the largest volume of LNG approved for export by DOE was 2.2 Bcf a day for the Sabine Pass project in Louisiana. DOE has also typically approved licenses for 20 years.
“This is an important project for the future of the state’s economy and it’s important that DOE officials move quickly to approve it as they have all other export projects from Alaska,” Murkowski said. “I’m committed to doing everything I can at the federal level to push it across the finish line.”
“This is another good step get this critical project moving, and I am glad to stand together with the rest of the delegation,” said Begich. “This natural gas project is good for Alaska’s economy and will create jobs, not to mention the Alaska LNG Project would provide Alaskans significant state revenue, thousands of high-paying construction and operational jobs, and access to low-cost energy.”
“The Alaska LNG Project is a long time coming, and I’m pleased that a united congressional delegation is working to remove federal barriers to bring our tremendous natural gas resources to market,” said Young. “Projects such as this will encourage Alaska’s prosperity by ensuring well-paying jobs for our citizens and added revenue for our state, all while continuing Alaska’s role in meeting the energy needs of the 21st Century.”
The delegation pointed out that DOE has previously acknowledged that treatment of LNG export applications in Alaska will necessarily differ from lower 48 applications, and that a presidential finding from 1988 stating that exports of LNG from Alaska “will not diminish the total quantity or quality nor increase the total price of energy available to the United States” is valid and applicable to the Alaska LNG Project application.
“We believe that the export authorization sought by the Alaska LNG Project is fully consistent with both the public interest of Alaska and the nation,” the delegation wrote. “As the Alaska Congressional Delegation, we write to request that you approve this application expeditiously.”
Alaska LNG team in place - 10/05/2014 (Full story) Three project offices for the Alaska LNG Project — in Anchorage, Houston and Calgary — are up and running, legislators were told Sept. 29 in Anchorage at the first public update on the project since enabling legislation was signed into law in May. Steve Butt, overall manager for the Alaska LNG
- Guide to Alaska natural gas projects - 10/05/2014 Pipeline to Southcentral A 737-mile, 36-inch buried pipeline from the Prudhoe Bay field on Alaska's North Slope to the Big Lake area north of Anchorage. From there, the gas could flow to consumers, utilities and other industry via the local distribution pipelines of ENSTAR Natural Gas Co. The pipeli....
- CIPL to replace west side pipe section - 10/05/2014 Cook Inlet Pipe Line Co. has applied to the U.S. Army Corps of Engineers for work required to replace a 6,000-foot section of the crude oil pipeline which runs along the west side of Cook Inlet. CIPL, owned by Hilcorp subsidiary Harvest Alaska, needs Corps authority for a temporary gravel pad to su....
- Cook Inlet Energy to drill gas prospect - 10/05/2014 Cook Inlet Energy LLC is planning to drill an exploratory well on its Kahiltna natural gas prospect in the Susitna basin. The Anchorage-based company lays out the project in a plan of operations filed recently with the Alaska Division of Oil and Gas. Cook Inlet Energy holds exploration licenses on e....