|
Northern Gas Pipelines, (Alaska Gas Pipeline, Denali - The Alaska Gas Pipeline, Mackenzie Valley Gas Pipeline, Alaska Highway Gas Pipeline, Northern Route Gas Pipeline, Arctic Gas, LNG, GTL) is your public service, objective, unbiased 1-stop-shop for Arctic gas pipeline projects and people, informal and rich with new information, updated 30 times weekly and best Northern Oil & Gas Industry Links on the Internet. Find AAGPC, AAGSC, ANGTL, ANNGTC, ANGDA, ANS, APG, APWG, ANGTA, ANGTS, AGPPT, ANWR, ARC, CARC, CAGPL, CAGSL, FPC, FERC, GTL, IAEE, LNG, NEB, NPA, TAGS, TAPS, NARUC, IOGCC, CONSUMER ENERGY ALLIANCE, AOGA,AOGCC, RCA and more... 2009 LINKS: FERC Reports to Congress, 1, 2, 3, 4, 5, 6, 7....; USGS Arctic Gas Estimates; MMS hearings: RDC, Our NGP, AJOC, DH, ADN, KTUU; Enstar Bullet Line: Map and News Links; ANGDA; Alaska Energy Forum; Prosperity Alaska 2008 LINKS: Shell Alaska OCS Study; Mackenzie Gas Project EIS; Join the Alaska Gas Pipeline Blog Discussion; Governor Sarah Palin's AGIA Links; 2007 ACES tax bill links; Department of Revenue 2007 ACES tax documents; 2007 ACES tax Presentations; 2007 ACES tax news; Alaska Gas Pipeline Training and Jobs; Gas Pipeline and Economic Development; Andrew Halcro; Bjørn Lomborg; FERC's Natural Gas Website LinksWASHINGTON: Alaska Natural Gas Pipeline Act; History of H.R. 4; DOE Energy Bill Position, 6-02; Daschle-Bingaman Energy Bill (Alaska, Sec. 1236 & tax credit, Sec. 2503 & H.R. 4 Conferees), Tax Credit; See amendments, "Energy Policy Act of 2002"; "Alaska Natural Gas Pipeline Act of 2001 (Draft)" & Background Paper, 8-9-01;Alaska Legislature Joint Committee position; Governor's position; Governor's 10-Point Plan; Anadarko Analysis; U.S. Senate Energy Committee Testimony, 10-2-01 - text version; U.S. Senate Energy Committee Testimony, 9-14-00; Report on the Alaska Natural Gas Transportation Act of 1971, prepared by staff of the Federal Energy Regulatory Commission, 1-18-01 ALASKA: 1-23-03, Governor Frank Murkowski's State of the State Speech; 2002 DRAFT Recommendations to 2003 Legislature; '02 Alaska Legislation; Alaska Highway Natural Gas Pipeline Policy Council; Joint Legislative Gas Pipeline Committee; 9-01 Alaska Models: Canadian Routes, LNG, GTL; HR 4 Story; Cook Inlet Supply-Demand Report: AEDC; Commonwealth North Investigation & Our Article; Report: Backbone; Legislature Contacts; State Gas Pipeline Financing Study; 5-02 Alaska Producer Update; Kenai: "Oil & Gas Industry Issues and Activities Report, 11-02"; Alaska Oil & Gas Tax Structure; 2-27-02 Royalty Sale Background; Alaska Gas Pipeline Office opens, 7-01, and closes, 5-02; Betty Galbraith's 1997-1998 Chronology. Our copy. CANADA: 1-10-03, "Arctic Gas Pipeline Construction Impacts On Northern Transp."-Transport Canada-PROLOG Canada Inc.-The Van Horne Institute;Hill Times Reports, 8-30-02; 9-30-02, Cons. Info. Requirements; CBC Archives, Berger Commission; GNWT Economic Impact Study, 5-13-02; GNWT-Purvin & Gertz Study, 5-8-02; Alberta-Alaska MOU 6-02; Draft Pan- Northern Protocol for Oil and Gas Development; Yukon Government Economic Effects: 4-02 & PPT; Gas Pipeline Cooperation Plan Draft & Mackenzie Valley Environmental Impact Review Board; Mackenzie Valley Pipeline MOU Draft, 6-01; FirstEnergy Analysis: 10-19-01; Integrated Delta Studies; National Post on Mackenzie Pipeline, 1-02;Northern Pipeline Act; Haida Nation v. British Columbia; Indian Claims Commission; Skeena Cellulose decision -- aboriginal consultations required, 12-02; Misc. Pipeline Studies '02 COMPANIES: Alaska Gas Producers Pipeline Team Newsletter, 7-27-01; APG Newsletter: 5-02, 7-02 & 9-02; ArctiGas NEB PIP Filing Background; NRGPC Newsletter: Fall-02; 4-02 ArctiGas Reduces Field Work; BP's Natural Gas Page; Enbridge Perspective; Foothills Perspective; Williams Perspective; YPC Perspective, 7-02 MEDIA REFERENCE: Alaska Journal of Commerce; Alaska Inc. Magazine; Anchorage Daily News; Canadian Broadcasting Corporation; Fairbanks Daily News Miner, Juneau Empire; Northern News Services; Oil & Gas Reporter; Petroleum News Alaska; Whitehorse Star, etc. EXTENDED CONFERENCE NEWS: Alaska Support Industry Alliance, Anchorage Chamber of Commerce, Canadian Institute, Insight Information, Inuvik Petroleum Shows, International Association of Energy Economists, Resource Development Council for Alaska, Ziff Energy Group
|
Northern Gas Pipelines: Please scroll down for January 2009 news
Here are some photos of the 1-23-09 Alliance Meeting! *
Volcano Preparation Here!
1-31& 2-1-09.
FNM. Gov. Sarah Palin said she will introduce legislation in
February enabling Enstar Natural Gas Company to move ahead on plans to build a
gas “bullet line” linking the North Slope and Southcentral. Anadarko is
drilling at the Gubik field on the south side of the North Slope. The
company is in its second exploration season with two rigs at work, spokesman
Mark Hanley confirmed. Palin’s legislation will ease state regulatory
and permitting issues related to Enstar’s plans, said Joe Balash, special
assistant to the governor. “Our priority is getting a large-diameter line
to commercialize Alaska North Slope gas and ensure that Alaskans then have
access to it,” Balash said. “If the timing is such that it is too far off to
meet the needs of Alaskans, then a smaller in-state line is desirable,
preferable. We support that, and we would look first to the private sector to
provide that.” ... Enstar spokesman Curtis Thayer said the utility
has outlined some issues to the administration, but does not know what the
legislation will specify.
1 -30-09.
PNA by Eric Lidji (NGP Photo). The new rallying cry in Alaska
is "first gas in 5 years". Enstar
believes the circumstances have changed since summer. In its ongoing search for
supplies, the company is finding it harder to get long-term contracts, according
to George Schreiber, president and CEO of Continental Energy Systems,
Enstar’s parent company. “Our thinking has changed dramatically. We’re
going to have to get gas from the north to bring south because gas in the inlet
is just not there,” Schreiber told the committee. (Commentary:
Actually, sufficient gas is in the Inlet for the near and medium terms
but the Regulatory Commission of Alaska {RCA} has tried unsuccessfully to
manipulate the prices lower by disapproving Enstar-producer gas supply
agreements in 2006 and 2008, absent complex and unattained conditions. The
RCA's (well intended, I am sure) elevation of the price value over the supply
value has resulted in Enstar having insufficient medium term gas supplies for
businesses and citizens. The attempted RCA price manipulation has
perverted the market, causing Enstar to seek gas from the North Slope or via LNG
imports--alternatives that would appear to be far more costly than the
commission-rejected Henry Hub based contracts {although in the long term, Enstar
would have to explore these more expensive sources absent more successful Cook
Inlet gas exploration which, ironically, the RCA's decisions have discouraged}.
The RCA's proscription puts all parties in quite a box. Enstar could bring
to the RCA for approval, North Slope Gas Supply Agreements which cost ratepayers
more than the rejected Cook Inlet Agreements would have cost (i.e. Henry Hub
pricing plus transportation, etc.). How will commissioners confront the
paradox they have created--especially when they apparently believe there is
sufficient gas in the Inlet at a lower price {i.e. ex ANS transportation}?
When Chugach Electric Association brings the commission new gas supply
agreements in the next year or so, will the commission reject those, too?
Chugach and other electric cooperatives could bring the commission for approval
power purchase agreements stemming from the Fire Island Wind Generation project.
If the Btu equivalent power is more costly than the BTUs produced from gas fired
generation at the Beluga power plant, the commission could be forced to either
disapprove the agreements or construct creative language justifying the higher
cost BTUs to ratepayers {i.e. because of undefined 'alternative energy' values,
etc.?} All of the above demonstrates why it is best to regulate as lightly
as possible, especially when the established regulatory precedent is to
minimally interfere with negotiated provisions of gas and power supply
agreements. If you
are a new reader, be aware that the author invites additions or corrections to
all commentary. If we have a fact wrong, we will make a correction as soon
as you contact us,
here.
-dh) *
FNM by Rena Delbridge. Fairbanks Natural Gas president Dan
Britton is asking legislators to buy into a $250 million plan that would
allow his company to truck liquefied natural gas from the North Slope to
Fairbanks. (No. -dh) *
ADN
by Sean Cockerham. Bethel Democratic Sen.
Lyman Ho ffman
plans to introduce a bill as soon as today to cap the cost of heating oil at $3
a gallon. The state would pick up the tab for any cost over that. (No.
-dh) * (Our readers
should be aware of this product. -dh)
Hello Dave, Below you will find a link to our Arctic Pipeline Engineering
Toolbox that contains all the products government departments, engineering and
pipeline companies will need to carry out work on the future Alaska Natural Gas
Pipeline. Our fourteen-volume Engineering Library, Database Library, and Data
Module Library have undergone an extensive review by a Pipeline Research Council
International (PRCI) panel of experts and subsequently have earned prestigious
endorsements by PRCI. Technical Toolboxes Inc. (TTI) has acquired the rights to
market and sell our products internationally. If you or your colleagues have any
questions or need additional information, please do not hesitate to call me.
Best Regards for 2009. Dr. Les White (PEC Photo-l), Principal
Permafrost Scientist, Permafrost Environmental Consulting, 27 Lindenlea Road,
Suite 103, Ottawa, K1M-1A9, Ontario Canada, Direct Telephone 613-746-4422,
www.permafrost.ca. *
KTNA
Radio, Talkeetna, Alaska, by Sue Deyoe.
The
Alaska Energy Authority has released its final report on the analysis of
combining all railbelt energy utilities into one electrical authority. The
study looks at the feasibility of combining all 6 railbelt utilities into one
entity called the Railbelt Electrical Grid Authority, whose purpose would be to
manage and dispatch electric power to all consumers on the grid. Currently
there are 4 utility cooperatives and 2 municipal utilities providing electric
power to consumers and businesses. (See our 1-17-09 story, below.)
1 -29-09.
The Alaska Support Industry Alliance sent this letter to Alaska Department
of Natural R esources
Commissioner Tom Irwin, on behalf of its over 450 members representing
more than 35,000 employees. The letter congratulates Irwin on his decision
to allow ExxonMobil Corporation to drill wells this winter at Point Thomson.
(This whole affair begs comment but readers will find enough public
opinion elsewhere which fully explores the history and analysis of the issue.
See related stories below. -dh) *
The
Oil Drum. It's a couple years old but here's a good history of the
Mackenzie Valley Pi peline project. *
Daily
Commercial News. TransCanada Corp. Vice President Tony Palmer
is leading the company’s effort to build a multi-billion dollar Alaska gas
pipeline. *
Is Alaska's Mount Redoubt about to blow its stack?
Some geologists think so. Our good friend, gas pipeline supporting
realtor Margaret Nelson, gave us
this
good volcano preparation link and will provide outstanding real estate
support to those who call (907) 346-1921. *
FNM. Gov. Sarah Palin has a new legislative director. He's
former ConocoPhillips lobbyist Jerry Gallagher and he's Palins' fourth
director since she took office December 2006.
1 -2 8 -09.
ADN. The state has reversed itself and is allowing Exxon Mobil Corp.
to drill wells this winter at t he
Point Thomson oil and gas
field. The
decision today by Tom Irwin
(SOA Photo-l). state natural resources
commissioner, allows development of a new North Slope oil and gas field, one
that some say is needed to justify construction of a multibillion-dollar natural
gas pipeline. *
Andrew Halcro Blog (NGP Photo-r). It is one of those
conflicting moments where you don't know whether to cheer "hurray" or yell
"it's about *#$%&!@ time." The Department of Natural Resources announced it was
backing down from Exxon and allowing them to begin drilling in Point Thomson
after wasting both time and money on a legal fight that was doomed from the
beginn ing. In a brief pres s release issued late Tuesday afternoon, DNR
Commissioner Tom Irwin stated that he "authorized the
pro cessing of permits.... (Also see:
Tony Hopfinger's -NGP Photo-l lower -
Alaska Dispatch and Dan Fagan's -NGP
Photo-r lower -
Alaska
Standard) *
Canadian Press. Mo geted for the Mackenzie Valley Gas
Pipeline regulatory process....
*
Geology.com includes another link to the Reuters story of the message coming
from last Friday's Alliance meeting. *
Rush Limbaugh.
Let's go drill for some oil. * Fairbanks
Daily News Miner. Gov. Sarah Palin has a new
legislative director. He's former ConocoPhillips lobbyist Jerry
Gallagher and he's Palins' fourth director since she took office
December 2006.
1-27-09. KTOO Gavel to Gavel AUDIO.
House Special Committee on Energy (Steve Haagenson) &
Senate Resources
Committee (Bud Fackrell {NGP
Photo-l}
and Tony Palmer { NGP Photo-r})
- 1/27/09 1:12 pm- 1/27/09 3:02 pm
*
APRN.
Story on last Friday's conference, particularly Brian Frank's comments
and respon ding
comments from TransCanada's Tony Palmer
. An
official with BP last week said the national economy and low energy prices in
the continental U.S. are lowering the chances for the Denali Gas Pipeline
project his company and ConocoPhillips have announced. The “Denali” plan is in
competition with TransCanada’s project, created in partnership with the State.
TransCanada says it’s still confident in its project.
*
Juneau E by Anne Sutton. TransCanada Corp. Vice
President Tony Palmer, who is leading the company's effort to build a
multibillion dollar Alaska gas pipeline, said the project is moving forward as
planned despite the economic downturn that has depressed energy demand and
prices. On Friday, top energy analysts in Anchorage delivered a grim
overview of gas markets to the Alaska Support Industry Alliance, representing
industry interests. (See our several stories below.) They said the
economic conditions are hammering industries that use natural gas, and that's
driving demand and prices down. Palmer said the gloomy forecasts are not
impeding progress as the company moves forward to open season. That's when
shippers will bid for space in the pipeline.
*
KTUU by Lori Tipton.
"We will be continuing to focus on low cost for
this project, keeping the tolls under $3, schedule and attracting customers,"
said Tony Palmer, a vice president for TransCanada.
"I think 2009 is a very important year for this
project," said Denali President Bud Fackrell.
"That will put us in a position to conduct an open season and give the shippers
confidence that we understand the risks and uncertainties of the project."
*
CEA.
“By further restricting access to the abundant, domestic, and clean natural gas
in the Intermountain West, the U.S. Senate is sending a clear message to
President Obama and to the American people— ‘We have no interest in
increasing energy security and reducing our carbon footprint,” said Marc W.
Smith, IPAMS Executive Director.
1 -26-09.
Commissioner Emil Notti (NGP Phot o-r,
7-07), Alaska's Department of Commerce, Community & Economic Development, will
discuss industry trends and resources available to
Notti is known as 'Father of the Alaska Native
Claims Settlement Act movement', and will presumably touch on rural Alaska
energy challenges. *
FNM (AP), re: Friday's Alliance Conference. *
D Three Technology Blog (More on Friday's Meet Alaska Alliance
Conference. *
The Steel Guru gives another report based on Yereth Rosen's
Reuters story (below), quoting Brian Frank and Drue
Pearce (NGP Photo), the
Federal Pipeline Coordinator. *
ADN
by Erika Bolstad on federal stimulus plan effect on Alaska.
*
ADN, By
George Bryson. Will Cook Inlet wind power supplement
electricity powered by natural gas? Who will buy it?
*
Blog Talk Radio by Andrew Halcro. For those of us who
have been keeping tabs on the Palin administration's efforts to secure
commitments for the construction of a natural gas pipeline, we've been yelling
at the characters for almost two years. *
FNM by Betty Mills. Incoming Transportation Secretary
Ray LaHood pledged to consider some $2 billion in road and
infrastructure projects that are needed before the Alaska
natural gas pipeline
can be built. At his Senate confirmation hearing, LaHood responded to
questions from Senator Mark Begich about the projects that are
necessary before the gas line can move forward. LaHood said if the projects “are
ready to go,” they could be included in the economic stimulus package.
Begich replied, “They are all ready. We will talk.” And Interior Secretary
Ken Salazar promised both senators he will visit Alaska as soon
as possible to get a first-hand look at the millions of acres controlled by the
federal government in the state. *
This ADN Compass piece was written by
author Bob Bell (NGP Photo),
a highly
respected, major gas pipeline contractor, member of the Alaska Board of Game
and a former member of the Anchorage Assembly.
1 -24 -09
(Weekend).
ADN by Wesley Loy (NGP Photo-l). The global economic
crisis has dashed demand for natural
gas, dimming chances for an Alaska gas pipeline, a top market analyst said
Friday. "It's certainly going to be taken off the urgent list," said
Ed Kelly, a Houston-based vice president with the global energy
consulting firm Wood Mackenzie. The recession and credit crunch have
hammered industries that use natural gas, depressing demand and prices, said
Kelly and Brian Frank (NGP Photo-r), president of BP's gas
marketing company. *
FNM by Dermot Cole. There is broad agreement
among the Fairbanksans that the timing of the proposed 48-inch Alaska Highway
projects remains uncertain enough that it makes sense to consider other plans if
we are to start switching from fuel oil to natural gas within the next 10 years.
*
Reuters by Yereth Rosen. It's not a pretty
story right now in terms of North American natural gas markets," Brian
Frank, president of BP Energy Co and BP's North America Gas and Power,
said at the annual conference held by the Alaska Support Industry Alliance.
*
Alaska Cool Blogs. “This is not a beautiful story now about the
North American natural gas markets”, Brian Frank, President of
BP Energy and BP North America Gas and Power, said at the annual conference of
industry support Alaska Alliance.
(We will provide more stories and photos on the Alaska Support
Industry Alliance Meet Alaska Conference coming this weekend. Tune in!
-dh) *
PNA
by Gary Park. The
Mackenzie
Gas Project is alive and kicking again, brought to life by word that the
Canadian government has made a formal offer of financial support and is eager to
work with the Obama administration on a joint strategy for developing Arctic gas
in Alaska and Canada. Just when hopes for the MGP seemed to be crumbling,
Environment Minister Jim Prentice, the cabinet minister
responsible for northern pipeline development, issued a statement Jan. 19 that a
proposal has been delivered to the MGP proponents.
(See our
several story links and editorial comments on this development over the past
week, below. -dh) 1 -23-09.
DNR
PR Mark Myers Appointment 012209.doc (This is the State Pipeline
Coordinator position created u nder
the AGIA legislation.
Mark just completed his federal appointment with the Bush Administration as
Director of the USGS. NGP Photo, 5-9-01 -dh). *
KTUU. Faced with a revenue shortfall
that could top $1 billion, Gov. Sarah Palin (State Photo)
announced a state hiring freeze and other
belt-tightening measures as she delivered her third State of the State address
Thursday evening. ...
The governor signaled that
she's ready to move forward, and the natural gas pipeline is still her main
priority. "Now with the big line, every enterprise, every great thing
worth doing involves challenges," Palin said. "But we can be confident in this
enterprise because it's founded on the fundamental interests of our state and
nation." Palin said she'll push to get an in-state gas pipeline going in
the next five years and promote alternative energy. But the governor's
speech did not give specifics on how that energy would be developed. (Other:
Andrew Halcro Blog;
Carlos Echevarria Blog,
Fort Mill, S.C. Times,
full text. ) *
ALLIANCE. Today's speaker line up includes Brian Frank
(Photo-l), Presi dent
of
BP
Energy Company, North American Gas & Power, Econ omist Scott Goldsmith
(NGP Photo-r) and Con oco Phillips' President and COO, John Carrig.
* PNA via
ADN, by
Eric Lidji. Enstar's
pipeline would cost close to $3.8 billion, company spokesman Curtis
Thayer said in a recent presentation to the Resource Development
Council. The company just got a sizable financial commitment -- up to $1 billion
-- from Lindsay Goldberg, the private-equity firm that owns
Enstar's parent company, Semco Energy.
*
Your Oil and Gas News. "Canada's federal government has offered
financial support for the Mackenzie gas pipeline, a multibillion-dollar project
that has been held back by regulatory delays and cost overruns.
(See
CBC News Blog, and our 1-21-09 story and editorial comment below. This
continues to be the most under reported gas pipeline news item in Alaska.
-dh) *
Bradner Report: Southcentral Gas Supply. *
Element 22 on Alaska's 50th Anniversary and other facts all good gas
pipeline followers should know. 1 -22-09. FERC Agenda Item: C-5, ConocoPhillips Alaska Natural Gas Corp. and Marathon
Oil Co., Docket No. CP09-34-000. On April 19, 1967, the Commission authorized
Phillips and Marathon to export LNG from a proposed terminal in Kenai, Alaska.
In this order, the Commission concluded that the public interest requires that
the Kenai facility be subject to the same reporting and inspection requirements
under section 3 of the Natural Gas Act that are routinely applied to every other
operational LNG terminal. The Commission directed ConocoPhillips Alaska Natural
Gas Corp. and Marathon Oil Co., Kenai’s join ply
with these requirements. *
News Miner by Rena Delbridge. ...Enstar and Alaska
Natural Gas Development Authority officials said they are moving on separately
with plans for natural gas lines that could offer an alternative energy source
to Fairbanks. ...Sen. Lesil McGuire, R-Anchorage,
said the news was a surprise and a disappointment.... Gov.
Sarah Palin announced in July a public-private partnership between the
two entities, with a goal of getting natural gas to Fairbanks quickly. ...
At the hearing, ANGDA executive director Harold Heinze emphasized progress made
in field work and environmental studies. ... Meanwhile Rep. Jay Ramras
(NGP Photo-l), R-Fairbanks, introduced a series of legislation addressing
statewide energy. 1 -21-09. Enstar Chairman
George A. Schreiber, Jr.
demonstrates that Southcentral Alaska would have a more secure supply of
natural gas at a reasonable price had APL 5 been approved. See Harbour
Dissent #1. Dissent
#2.
*
Toronto
Star. (Also, see our editorial comment and news sources below, 1-20-09.) Canada's
federal government has offered financial support for the Mackenzie gas pipeline,
a multibillion-dollar project that has been held back by regulatory delays and
cost overruns. Jim Prentice, the federal minister in
charge of pipelines, would not disclose Monday how much federal money is on the
table, telling
reporters that formal negotiations are still under way. "I'm not going to
negotiate through the media, but it is a reasonable offer we've put forward,"
said Prentice, who is also the federal environment minister.
*
Financial Post by Claudia Cattaneo. Tiny MGM Energy
Corp., the only oil and gas company still drilling in the Mackenzie Delta, said
Tuesday it has made its first major natural gas discovery in the Arctic.
In a news release, MGM said its Ellice J-27 well encountered a number of zones
that contain natural gas. "Based on information obtained while drilling
and subsequent logging, testing will be completed on two of these zones," the
company said. "It is expected that testing will be sufficient to gain regulatory
approval of a significant discovery license to encompass all prospective
reservoirs." A resource estimate for the well, located onshore
175-kilometres Northwest of Inuvik near the Beaufort Sea, will be available next
month after completion of a production test, said president Henry Sykes.
MGM was launched by Calgary oilman Clay Riddell (Photo)
about two years ago to explore and assemble lands left behind by bigger
companies discouraged by the lack of progress of the Mackenzie Valley Pipeline.
*
FMC. Indian and Northern Affairs Canada is planning to issue a call
for bids for Crown Reserve land in Nunavut in February 2009. A nine year
exploration license will be issued in a subsequent call for bids. This nine year
exploration license will be for two consecutive periods of six and three years
each. The nomination deadline is set for January 28th, 2009.
*
Governor
Sarah Palin. “I am dismayed that legislation has again been
introduced in Congress to prohibit forever oil and gas development in the most
promising unexplored petroleum province in North America – the coastal plain of
ANWR, in Alaska. *
Oil & Gas Online. Norex Energy recently announced that the Company
will acquire petroleum related assets in Alberta, Canada that include a 49%
interest in a natural gas processing and compression facility; natural gas
pipeline, additional infrastructure and certain lands associated to the
infrastructure. This project has been found to have the potential to contain
over 8 BCF of natural gas. The Company also has the option to obtain the
remaining 51% interest from the owner over a two-year period.
(Ralph Claussner, P. Eng. |
Director, President & CEO)
1 -20-09. (The following is important news impacting,
among other things, control of the High Arctic. It could also influence a
U.S. decision to become more directly involved in construction of the Alaska gas
pipeline. -dh) *
National Post by Claudia Cattaneo and Carrie
Tait . The federal government has made a financial offer to
support the Mackenzie Valley Pipeline, potentially removing one of the key
stumbling
blocks to the long-stalled Arctic natural gas project. Environment
minister Jim Prentice (NGP Photo, 3-07, Calgary Arctic Gas Conference)
told reporters Monday the fiscal deal is not part of Ottawa's economic stimulus
package expected in next week's budget, but is aimed at stoking the northern
economy, enhancing Canada's energy security and protecting Arctic sovereignty.
(Other stories: Eating Stock, 247
Wall Street,
Scandinavian Oil and Gas,
Scandoil Blog.
* NNS
by Guy Quenneville.
The year 2008 began and ended with the Joint Review Panel (JRP) and
its ongoing assessment of the environmental and socio-economic impact of the
long-delayed Mackenzie Gas Pipeline, an event on which the hopes of the Northern
oil and gas industry continues to rest.
1 -19-09.
ADN by Sean Cockerham. "My focus is going to be on energy
and making sure that Alaskans have access to their resources. In-state gas is
top priority for me," Governor Sarah Palin said in an interview
last week. *
PNA by Kristen Nelson.
ExxonMobil
is continuing to develop its initial drilling plan for
Point Thomson
— although the Alaska Department of Natural Resources has terminated the unit
and the leases — and that plan now includes nine wells, up from the initial
five-well plan the company presented to DNR last year.
*
Andrew Halcro Blog (NGP Photo, 11-08). Last week in downtown
Anchorage, oil
&
gas contractors who employ hundreds of working Alaskans, paraded through a state
hearing room , testifying on the stand about the work they were doing for Exxon
Mobil up at Point Thomson. The hearing, which lasted all week, was a final
administrative appeal in trying to persuade DNR Commissioner Tom
Irwin and DNR Manager Nan Thompson that they wrongly
canceled leases in the North Slope oil and gas field that is critical to
Alaska's natural gas pipeline hopes.
(Photo: NGP Photo, Point Thomson Hearing, 3-3-08)
. *
ADN by Wendy King. For more than 40 years, Conoco
Phillips and its predecessor companies have proudly provided jobs, state revenue
and a wide variety of charitable contributions that have made a positive
difference in the lives of Alaskans. *
ADN by Pete Slaiby. Shell Welcomes Dialogue
About Safe Offshore Drilling. *
ADN
Editorial. The Healy "clean" coal plant is one of state government's
biggest economic development boondoggles, so it's tempting to cheer the news
that the state might actually get $50 million for the long-mothballed electrical
project. 1 -17-09.
G over nor
Sarah Palin (Photo-r with Press Secretary Bill McAllister)
released an energy
document at a press conference with h elp
from the document's principle architect, Energy Coordinator Steve Haagenson
(Photo-l with Special Assistant to the
Governor Joe Balash, and Alaska
Energy Authority Chairman Pat Galvin (also, Commissioner of Revenue),
looking on.
(Listen) The document is entitled, "Alaska Energy - a first step toward
energy independence." The focus of the this Palin/Haagenson "first
step" document appears to be providing communities with ideas about how they can
improve conservation and efficiency ("the
low
hanging fruit") and locally harvested energy sources in combination with
government support for some proposed, local programs. Palin (Photo-l, with
Deputy Press Secretary Sharon Leighow) said there is no silver bullet for
solving Alaska's energy challenges but that new infrastructure supported by
ratepayers could achieve a goal of 50%
reliance on renewable energy by 2025. Palin said that the State will not
leave any
community without the ability to resolve its energy needs. Haagenson (NGP Photo-r) emphasized that "renewable energy
will be the key". Balash discussed one of the Administration's
initiatives, establishment of a "new, robust" Railbelt Energy Corporation whose
mission would be to assure electric reliability and "postage stamp" rates.
When the author questioned him, he indicated it is yet to be decided whether to
use legislative mandate or regulatory adjudication to set postage stamp rates (a
complex and sometimes contentious process whereby ratepayers in low cost areas
subsidize ratepayers in high cost areas to achieve rate parity.)
The c orporation's
utility members, according to Haagenson, would cooperatively determine the best
sources of electric en ergy, whether they be
from hydroelectric, geothermal or other sources. Another means for
achieving the 50% reliance on renewable energy goal is the research provided in
the document, data that is categorized by State House District, State Senate
District, by community and by Native Corporation area. The data includes a
community description, analysis of its current energy challenges, potential
upgrades to the local power source and suggested alternative resources.
Still another means for achieving the
renewable goal will be a state grant program. The Administration plans to
provide $100 million in energy project grants following a three-stage review
process.
The "Community Energy Meter concept (Chart-l) is quite creative, allowing for a
"quick comparison between energy options based on a range of future crude oil
prices for each community in the state.
(See
ADN
article covering press conference, by Dan Joling, and a
.pdf of the "first step" doc ument.
See Leyla Santiago's (NGP Photo, 11-1-08) excellent,
KTUU
video piece here, and
Corey Allen-Young 's
piece for
KTVA here. An unofficial KTUU poll found public support for the
Governor's 50% reliance on renewables by a ratio of 63% to 37%.) Of
course, the 900 lb. gorilla in the room Friday was the unidentified, sustainable
gas supply for Southcentral Alaska and its future origin: from Cook Inlet or
Alaska's North Slope, a subject left for more analysis on another day.
More weekend editorial material to come.... -dh
Shirt Tails Blog quoting Perma Frost Media re: the Mackenzie Valley Pipeline
Project: "We have been studied, consulted, insulted, regulated,
stimulated, encouraged, rejected, dejected and abandoned. It is hard to
imagine where else a group of the population could have been more engaged in the
study of progress without ever experiencing progress. Before oil and gas,
the average Northern family of five was said to be mom, dad, two children and an
anthropologist. Then it became mom, dad, two children and a consultant,
and finally mom, dad, two children and a southern environmental lawyer."
*
EU Observer by
Elitsa Vucheva. The EU has welcomed the idea of a gas mini-summit
in Moscow this weekend. But Russian supplies are unlikely to resume before the
meeting, while experts say it will take "several" more days for gas to reach the
EU even if there is an accord. The EU on Thursday (15 January) agreed to
send energy commissioner Andris Piebalgs and Czech energy minister
Martin Riman for a "high-level meeting" in Moscow on Saturday, if Russian
and Ukrainian delegates are to be "fully mandated to find a lasting solution."
Russian President Dmitry Medvedev on Wednesday proposed holding the
event, also inviting the leaders of any affected EU states. 1-16-09.
FDNM. The heirs of a Native family are finally being heard on a
long-standing legal complaint that the federal government is allowing BP to use
the family’s North Slope land for purposes outside of a lease agreement. A
federal judge’s interpretation of authorized uses has prompted the Bureau of
Indian Affairs to put the oil company on notice. BP must stop activities on land
leased from the Andrew Oenga family or face further action, such as
cancellation of the lease. “Operation of wells directed into the Lisburne
Participating Area is unauthorized activity ... being conducting in violation of
the lease,” states the Jan. 8 letter from BIA Alaska regional director Niles
Cesar. “BP and its contractual partners are hereby directed to immediately
cease utilizing the leased premises to produce oil or gas from the Lisburne
Participating Area.” BP spokesman Steve Reinhart said the company
is carefully reviewing the BIA letter and will respond later.
* The latest developments in the Alaskan
natural gas pipeline project will headline the fifth annual Pipeline
Opportunities Conference March 11, 2009 at the George R. Brown Convention
Center in Houston. Jeff Share, conference chairman and editor of
Pi peline & Gas J ournal, said executives from TransCanada Pipelines and the
Alaskan Natural Gas Development Authority (ANGDA) will discuss the status of
their projects while top officials of Gov. Sarah Palin’s administration
and the Office of Federal Coordinator will provide the latest news from the
state and federal governmen ts. *
Andrew Halcro Blog (9-25-08 NGP Photo-r). (1/15/09)
Last week we reported
on
a pending deal
being pushed by the Palin administration that had all the signs of a
questionable deal being driven by politics and insider payoffs. Today
Governor Sarah Palin announced that her administration had come to a
tentative agreement to sell the Healy Clean Coal Plant to the Golden Valley
Electric Association after ten years of legal fighting which saw the state file
suit against GVEA in 2005 for $167 million.
*
ADN by Wesley Loy (10-15-02 NGP Photo-l). The state will sell
the "clean coal" power plant at Healy to a Fairbanks electric utility for $50
million, settling years of legal wrangling over an expensive white elephant
that's sat idle since 2000. ... A second utility, Homer Electric
Association, has agreed to buy half the power from the plant. "Overall,
years of conflict have been set aside," said state Revenue Commissioner
Patrick Galvin, who helped negotiate the sale as chairman of the AIDEA
board. The three-way deal will take a few months to close -- likely in
July or August. After that, it could take 18 to 24 months to get the plant up
and running, said Brian Newton, Golden Valley president. The sale
is expected to settle a lawsuit between AIDEA and Golden Valley, which sued and
countersued over the fate of the plant. On Wednesday, however, Golden
Valley board chairman Bill Nordmark said buying the coal-fired plant now
gives Golden Valley a vital alternative to expensive oil for generating
electricity. *
FDNM, by . Golden Valley spokeswoman Corinne Bradish said
the plant could be operating within 12 to 18 months.
*
ADN.
Alaska North Slope Spill. *
ADN.
As ice disappears from Alaska's arctic waters, North Pacific fishing fleets may
be tempted to push into the newly opening area, seeking whatever fish they might
find. But nobody knows very much about the region's marine environment, how the
arctic warming trend is changing it, and what damage, if any, commercial fishing
might inflict. * The Canadian Press by
Bob Weber.
The Harper government must trade "empty rhetoric" for big spending on the
Arctic to protect Canada's northern sovereignty from U.S. President George W.
Bush's bold ambitions in the north, the premier of the Northwest Territories
said Tuesday. *
Calgary Herald, The White House formally released the text of a sweeping new
directive on the Arctic, two years in the making, just eight days before
Barack Obama is to be sworn in as the 44th U.S. president. Key
elements of Bush's policy challenge the ambitious Arctic sovereignty agenda put
forth by Prime Minister Stephen Harper that includes bolstering Canada's
military presence and fostering economic and social development. 1-15-09.
ADN
by Tom Kizzia. HOMER -- Jean Keene (NGP Photos, 6-18-01),
the 85-year-old "Eagle Lady" whose f eeding
program draws hundreds of bald eagles and scores of nature photographers to the
Homer Spit each winter, died Tuesday evening in her Spit home. (Jean
was a longtime friend. While President of the American Bald Eagle
Foundation, I arranged support for her winter Eagle feeding efforts from the
Foundation, the Homer Chamber of Commerce and the Anchorage Chamber.
Thousands of friends will deeply miss Jean's presence on this earth and her
absence will impact winter survival of Katchemak Bay Eagles, especially those
which are old or injured. -dh) *
See yesterday's ADN editorial on 'global warming'. Monday, the Anchorage
Chamber of Commerce got a briefing that might be listed under the heading of
"What a difference an election makes." Local attorney Heather Grahame
told the business group's weekly luncheon that the new Congress and the new
president will push major new laws to reduce greenhouse gas pollution. She urged
Alaska businesses to think about getting ready for the coming change.
*
Now see this entry by this balanced, global warming website. The
reality is that much of this talk is about weather and not about climate. It is
not possible to measure climate within a couple year span. It takes much longer
than that to eliminate the various highs and lows from the trend so most
climatologists suggest
5-10 years (or longer) before anything is really called climate. To
make matters worse, even the weather may not be the major influence on the
arctic ice -
it may be the ocean currents which probably have no relationship to global
warming. *
Mike Flynn, the vice president in charge
of arctic development for Exx onMobil
Development Co., has joined the list of top industry executives scheduled to
speak at the Alaska Support Industry Alliance’s annual Meet Alaska energy
conference on Friday, Jan. 23. He joins top executives from
ConocoPhillips, BP, Pioneer Natural Resources and Talisman Energy, as well as
senior officials from the international oil and gas consulting firm Wood
Mackenzie, the Business Roundtable and the University of Alaska’s Institute of
Social & Economic Research.
Meet Alaska also will feature a
special segment on the challenges of drilling at the Point Thomson and
Liberty projects by local officials from Parker Drilling and Nabors Alaska
Drilling. There’s still time to
register for Alaska’s premier energy conference … but not much! Seating is
limited, and in just 8 days, pre-registration will close. In order to guarantee
a seat,
register today!
* See Curtis Thayer's
Enstar Presentation at RDC in conjunction with author's earlier presentation
on
South Central Alaska's energy status. 1-14-09.
Radio Kenai Blog. I’ll tell you right now that I am really wondering
what is going on with the proposed $30 billion + natural gas pipeline from
Alaska’s north slope to markets in Canada. 1-13-09.
World Zoo Today. Eight of the 13 Canadian
polar bear sub-populations are either depleted or showing significant signs
of stress, and future reduction of sea-ice in the Arctic could result in a loss
of two-thirds of the world’s
polar bears within 50 years. These facts form the backdrop to Friday’s
federal Environment Minister’s National Roundtable on
Polar Bears which presents a critical opportunity to ensure that
Canada implements strong new measures to protect
polar bears for their long-term survival. *
Heading Right. ...the Palin administration is reportedly close to a
deal that would have AIDEA, the state's economic development arm, basically give
away the $300 million clean coal plant completed in 1999 to GVEA, the very same
utility which backed out of paying for the plant and cheated the state out of
tens of millions. 1-12-09.
Financial Post by Claudia Cattano (NGP Photo). It's not
inconceivable that the Mackenzie
natural gas pipeline could be earmarked in the coming federal budget as a
national infrastructure project to stimulate the economy, due to its potential
for generating jobs in the North and across Canada, re-enforcing Canada's
sovereignty in the Arctic while supplying secure and green energy to Canadians. 1-10-09. Going down now for Regulatory Commission of
Alaska Public Meeting on Southcentral Alaska gas supply. Story to follow.
Come on down!
https://rca.alaska.gov/RCAWeb/NewsItems/NewsItemDetails.aspx?id=ebda69ca-9eea-4bb6-8546-314d1a359f84
cinematic. 1-9-09.
Story coming on yesterday's Alliance Meeting presentation by Alaska DOE
executive.... :
ANS Gas Hydrates. *
WILLIWAW BLOG. The decision by BP and Conoco Phillips to build a
pipeline to take North Slope NG to Canada is a definite change of heart for two
out of the three Producers on the North Slope. *
BBC
News. "It will take at least three days," to get the whole system
functioning again, EU energy spokesman Ferran Terradellas said.
More than 15 countries have been hit by the shutdown of Russian supplies.
1-8-09. Ye sterday
I received an email from the FERC indicating that my friend, Chairman Joseph
T.
Kelliher (Photo-l, with author, 11-06), will be leaving the commission
early. He said in a formal announcement, "Today I announce my intention to
step down as chairman of the Federal Energy Regulatory Commission (FERC),
effective January 20, 2009. Although my term as commissioner does not end until
2012, I will also immediately begin to recuse myself from FERC business, as I
explore other career opportunities." *
ADN.
Vern McCorkle (Photo-r) died this week in Anchorage. In the
mid-1980s, when Vern and his fellow Alaska Business Monthly owners needed help,
I came on board for about six months as acting publisher. Vern once
honored me with an editorial (Here).
A year ago Vern asked me to help M/C an Anchorage Chamber of Commerce program
with him. Working with and knowing Vern, Jim Martin, and his
other associates for many years has enriched those of us who have been graced to
know them. -dh *
ADN by Wesley Loy. A judge has turned back a state effort to
kill an Exxon Mobil Corp. lawsuit seeking a drilling permit for the disputed
Point Thomson oil and gas field *
Montreal
Environment. Almost half century in the making, the Macken zie
Valley natural gas project (Map-r) has almost run its course. ... As
of January 2009, the Deh Cho Nation (Map-below left) has not come to an
agreement concerning the settlement of their traditional lands. In a resolution
on the Deh Cho Process in June 2008, the Deh Cho Nation has unanimously approved
that the implementation of the Land Use Plan is their “highest negotiation
priority” and subsequent self-governance and land claim agreements will be
pursued “once Canada has approved and agreed to implement the Land Use Plan, and
comply with their commitments under the Interim Measures Agreement.” It remains
to be seen in December 2009, if the Deh Cho Nation has enough leverage to stall
the Mackenzie Gas Project and get the agreement they hope for or if the federal
gover nment
gains enough support form investors to push the Deh Cho into signing a final
agreement on the government’s terms. (See 'In House Counsel' report below.
-dh) 1-7-09.
HOUSTON –
Lamar McKay (Photo) has been appointed Chairman and President of BP A merica,
Inc. and will serve as BP’s chief representative in the United States. He will
succeed Robert A. (Bob) Malone who has elected to retire after 34 years
with the company. Commenting on the change, BP Chief Executive Officer
Tony Hayward said: “Bob Malone has made an extraordinary difference during
his tenure at BP America and during his long career with BP."
*
PNA via ADN by Eric Lidji. Most of the owners of the
trans-Alaska oil pipeline are now accounted for in a new round of requests to
increase shipping rates on crude oil delivered to markets within Alaska.
*
PNA via ADN. Harold Heinze, chief executive of ANGDA, believes
time is of the essence for his spur line project. He pleaded his case to the
Palin administration during budget deliberations this fall.
*
Your
Industry News. (Also, see Robert Hornal story below.) Two
of three agencies that created the panel to review the proposed Mackenzie Valley
natural gas pipeline in the Northwest Territories are now pushing the panel to
speed up the timeline for releasing its findings this year.
*
National Post. The irony is that the Keynesian idea of countercyclical
macroeconomic action by governments is often associated with great public works
--dams, highways, rural electrification, basically anything that puts a shovel
in somebody's hand. But in truth, tax breaks can be the fastest way for the
government to inject cash into the economy; they stimulate the kind of spending
the market chooses as opposed to some bureaucrat's middle-of-nowhere monument;
and they are easily customized for progressivity or for maximum macro impact.
*
In
House Counsel (This is an important history to review for any
northern pipeliner; it is a subject about which we have extensively reported
here over the years. -dh) In northern Alberta, the Lubicon
Lake Indian Nation has teamed up with Amnesty International to try to halt the
construction of a 185-mile natural gas pipeline by TransCanada Corp., a Calgary
energy company. While the Alberta Utilities Commission approved the pipeline
last October, the Lubicon community has claimed that traditional activities such
as hunting and trapping will be compromised by the industrial activity that the
pipeline will bring. Line Lacasse, senior legal counsel for
TransCanada, did not talk specifically about the pipeline. But she says that
it's difficult for companies to carry out their responsibilities "and see that
your project is being challenged because there is a land claim that's
outstanding, or the First Nations are not satisfied with the consultation taken
by the Crown." Another proposed pipeline, by Enbridge Inc., was the target
of protests by First Nation communities in Saskatchewan last September. The
1,000-mile oil pipeline would stretch from Alberta to Wisconsin. An Enbridge
spokeswoman declined comment. Some projects get tied up in court. Eight
years ago the Kwadacha First Nation filed suit against BC Hydro, claiming that
the community's lands had been damaged by one of the company's reservoirs in
British Columbia. BC Hydro finally reached a settlement with the Kwadacha, which
ratified the agreement in October. The community will receive a one-time payment
of $12 million, as well as annual payments of about $1.2 million. No
Canadian project has had more setbacks than the Mackenzie Valley gas pipeline.
First proposed in the early 1970s, the $13 billion, 750-mile pipeline would
deliver natural gas from northern Canada to the rest of the country and the
United States. The project has been opposed by a number of Aboriginal
communities which would be affected by it. In 1977 a judge proposed a ten-year
moratorium so that the Aboriginal land claims could be settled. But the delay
turned out to be even longer, and planning on the pipeline didn't resume until
earlier this decade. The companies involved in the project -- including
TransCanada -- have since signed agreements with several Aboriginal communities,
some of which will be able to acquire a one-third interest in the pipeline.
With some possible exceptions -- like the proposed Mackenzie Valley gas
pipeline, now inexplicably mired in regulatory hell at a time when the jobs
would be most welcome -- there are few attractive opportunities for government
to get the same bang for the buck by acting on the infrastructure front.
1-6-09. ADN
by Wesley Loy. Flint Hills, part of Kansas-based Koch Industries
Inc., has indicated its aging refinery is struggling financially because of last
year's record high prices for crude oil used to make such products as jet fuel,
heating oil and gasoline. *
CBC. Two of three agencies that created the panel to review the
proposed Mackenzie Valley
natural
gas pipeline in the Northwest Territories are now pushing the panel to speed up
the timeline for releasing its findings this year. The Joint Review Panel,
which was created in 2004 to evaluate the environmental and socio-economic
impacts of the proposed Mackenzie Gas Project, announced last month that it
would release its report in December 2009. But in a letter to panel
chairman Robert Hornal (Photo), obtained by CBC News, the chairmen of
both the Mackenzie Valley Environmental Review Board and the Inuvialuit Game
Council say the December deadline is "not acceptable." Instead, Rick
Edjericon and Frank Pokiak demanded that the Joint Review Panel
release its decision on the pipeline by the end of March, with the full text of
its report to follow five months later. (Similar Story:
Eon Heating and Cooling.) 1-5-09.
The Independent Speaks. Palin seems to be struggling a tad as
governor. The AGIA-backed gas pipeline that is contracted to Trans-Canada is no
closer to being built than it was a year ago and the competing Denali Project by
the major oil and gas producers is making great strides in surveying not only in
Alaska but is gearing up for summer work in Canada. 1-4-09.
LA Times, by Megan Stack. Reporting from Moscow -- Fuel
delivery to four European countries fell below normal Saturday as Russia's state
gas monopoly withheld natural gas from neighboring Ukraine for the third
consecutive day.
Russian President Dmitry Medvedev on Saturday approved Gazprom's plan to
sue Ukraine for failing to keep proper levels of gas moving through its
pipelines to the rest of Europe, the company announced.
Ukraine says Russia is at fault for failing to provide enough gas to keep
the pipeline system running smoothly. Ukraine's pro-Western president has
enraged Moscow, where officials still regard Ukraine as part of Russia's sphere
of influence, by pushing for NATO membership. Relations were also tarnished by
Russia's war last year with Georgia, which cranked up tensions between Moscow
and Washington -- and, by extension, Western-leaning governments among the
former Soviet states. (Note: Every day, it seems that Russia takes
more steps to weaken our confidence that it will one day soon take a respected
seat at the table of free nations having in common a belief in the rule of
law. dh) 1-2-09. The Alaska Natural Gas Development Authority today
announced that the Beluga to Fairbanks (B2F) Natural Gas Pipeline is posted for
the Environmental Impact Statement (EIS) process. The B2F EIS website is up and
running and we can find it here. ANGDA says the B2F
project description is posted on the website and attachments, tables and figures
will be added on approximately January 12, 2009. 1-1-09. Happy New Year!!!!!!
Previous Month and News Archives May Be Found Here!
|
Upcoming Conferences: IOGCC, 5/11 -13; Newspaper Front Pages--WORLDWIDE Our view of South Central Alaska's imminent Energy Crisis Founding Publisher's 2002 Editorials and 2001; magazine & newspaper articles; Seattle Chamber of Commerce Speech, 5-8-02, CBC Interview
|
Yours is visit # to this website. Site planning: September 2000 - Site construction initiated: January 1, 2001 - Site uploaded to Internet: March 31, 2001 - Founding publisher, 09-00/1-03 and 3-08/present © 2001-2002-2003-2004-2005-2006-2007-2008-2009 Northern Gas Pipelines Web pages herein are protected by the Copyright laws of the United States of America and the Internet Copyright Act. This Website is provided as a public service. |