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August 16 2012

17:12

Tsunami Debris Strains Budgets and Patience

States along the Pacific Coast worry that vast amounts of trash will wash up and are concerned about invasive species.

April 26 2012

11:39

Mine Markers Threaten Birds Out West

A cooperative effort is under way to remove PVC pipes that claim the lives of millions of birds each year in the western United States.
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December 09 2011

18:34

Another LNG Deal Inked, Fracking Export Bonanza Continues

On December 7, the Federal Energy Regulatory Commision (FERC) granted a 30-year license to Jordan Cove LNG (liquefied natural gas), located in Coos Bay, Oregon, to transform its existing import terminal license into an export terminal license. It would be the first LNG export terminal on the west coast of the U.S., with multiple LNG export terminals also in the negotiation phase, set to be located on the west coast in Kitimat, British Columbia.

KMTR-TV explains where the unconventional gas, procured via the toxic fracking process explained thoroughly in DeSmogBlog's "Fracking the Future: How Unconventional Gas Threatens our Water, Health, and Climate," will come from for Jordan Cove:

Construction of the Ruby Pipeline has brought gas from Wyoming to Southern Oregon, where it is sent to California. Construction of a new pipeline would link Ruby with Jordan Cove.

El Paso Natural Gas, a subsidiary of El Paso Corporation, owns the Ruby Pipeline. "Ruby is a 680-mile, 42-inch interstate natural gas pipeline," according to its website.

The pipeline that KMTR-TV is referring to, which would link Ruby with Jordan Cove, is called the Pacific Connector Pipeline, and is proposed to be a "234-mile, 36-inch diameter pipeline," according to its website

Wyoming is home to the Niobrara Shale basin, which the Environmental Protection Agency recently revealed as a site of groundwater contamination linked to the fracking process.

LNG from Jordan Cove LNG will be exported to the Asian market, which is willing to pay three times more for the fracked gas than the domestic market. In a September interview with the business journal Platts, Jordan Cove LNG project manager Robert Braddock stated the rationale behind converting Jordan Cove into an export terminal: "we would have certainly much closer access to the Asian markets."

This is but a small piece of a much bigger, broader picture of foreign-based multinational corporations investing in U.S. shale operations in order to benefit from the export potential. This will mean higher prices for U.S. consumers, despite industry claims to champion U.S. energy independence and "affordable" energy.

A Foreign Flurry to Profit from U.S.-Based Shale Gas

Two important investigative reports on the subject came out recently, one by Food and Water Watch and another by the Pittsburgh Tribune-Review. Both of the reports show that, contrary to the claims made by the oil and gas industry that fracking for unconventional energy will "boost local economies," fracking is increasingly revealing itself as a boon for huge multinational corporations, often not even based in North America, but in foreign locales.

"Foreign investment poured into American gas and oil shale fields through three quarters of 2011, amounting to $24.5 billion of the total $39.9 billion in deals," revealed the Tribune-Review

Furthermore, as DeSmogBlog previously revealed, the Federal Energy Regulatory Commission (FERC) has approved two LNG export deals, both in Sabine Pass, Texas, with many many more FERC deals in the middle of the approval process.

The map below, produced by the Tribune-Review, best portrays who stands to gain from the North American fracking boom happening in every crevice of the United States. "Boosting the local economy"? As can be seen quite clearly, this is merely a pipe dream.

November 18 2011

13:15

ExxonMobil and Shell Eyeing North American LNG Export Deals

Yesterday, LNG World News reported that ExxonMobil Vice President Andrew Swiger announced, at a conference hosted by Bank of America Merrill Lynch, that it was actively seeking LNG (liquefied natural gas) export terminals throughout North America, including, but not limited to, in British Columbia and on the Gulf Coast.

In terms of exports from North America, whether it is the Gulf Coast or whether it is Western Canada, it’s something we’re actively looking at,” said Swiger.

So, where are these prospective export terminals located, what are the key pipelines carrying the unconventional gas produced from shale basins, and what are the key shale basins in the mix? Hold tight for an explanation.

Golden Pass LNG Terminal and Golden Pass Pipeline

The LNG World News article explains that ExxonMobil "has a stake in the Golden Pass LNG Terminal in Texas," but does not explain exactly what the "stake" is.

A bit of research shows that ExxonMobil is a 17.6% stakeholder in the Golden Pass LNG Terminal, according to a March 2011 article publshed by Platts. It is co-owned by ConocoPhillips and Qatar Petroleum, who own a 12.4% and 70% stake in Golden Pass LNG, respectively.

Golden Pass LNG is stationed in Sabine Pass, TX, located on the Gulf Coast on the Texas-Louisiana border, which is in close proximity to Cheniere's Sabine Pass LNG export terminal, a terminal which has been written about in-depth by DeSmogBlog.

As of now, Golden Pass is an import terminal, and "is among the largest LNG import facilities worldwide, with the capacity to import 15.6 million metric tons of LNG annually," explains LNG World News. But many import facilities have turned into export facilities, including the Jordan Cove LNG terminal in Coos Bay, Oregon, the Dominion Cove LNG terminal in Lusby, Maryland, and Kitimat LNG terminal in Kitimat, British Columbia. Gas corporations often execute the bait-and-switch, transforming what were originally import terminals into export terminals.

If history repeats itself, which is highly likely based on this latest report from LNG World News, then the Golden Pass LNG Terminal could soon be transformed into an export terminal, making it export terminal number two in Sabine Pass.

It appears for now that the gas would come from the shale basins surrounding Sabine Pass, meaning the Barnett Shale, the Eagle Ford Shale, the Haynesville Shale, and the Fayetteville Shale, and flow out these respective shale basins via an extensive pipeline system, to the key Golden Pass and Sabine Pass hubs. 

For example, Golden Pass also owns Golden Pass Pipeline, which runs from the Haynesville Shale down to the Golden Pass LNG terminal.

Horn River Basin Shale and Pacific Trail Pipelines

LNG World News' article also mentions that ExxonMobil "has 340,000 shale gas acres in Western Canada’s Horn River Basin." The Horn River Shale Basin is located in northeastern British Columbia and sits on 250 trillion cubic feet of unconventional gas, producred through the toxic hydraulic fracturing, or fracking process. 

Assuming ExxonMobil holds true to the pronouncement made by Swiger, much of the gas produced in the Horn River Basin will flow westward to Kitimat LNG export terminal, which ships gas to the Asian market. 

One of these facilities is co-owned by EOG Resources (EOG), EnCana Corporation (EnCana), and Apache Corporation (Apache). In October 2011, Canada’s National Energy Board, the Canadian equivalent to the U.S. Federal Energy Regulatory Commission, granted Kitimat LNG a 20-year Export Licence to serve international markets. The Pacific Trail Pipelines connect the Horn River Basin to the Kitimat LNG facility and are also co-owned by EOG, EnCana, and Apache. 

Another key LNG export terminal in the works will be co-owned by Shell, Korea Gas Corporation, China National Petroleum Corporation, and Mitsubishi Corporation.

The Globe and Mail explained the looming deal, writing

Shell is examining plans for a 3.6 billion cubic feet a day project, which would be among the largest under consideration in the world…Kitimat LNG intends to build a 700-million cubic foot facility first, at a cost greater than $5-billion, but has received an export licence that allows it to double that. The partnership intends to make a final investment decision early next year, but is already spending several hundred million dollars to terrace the sloped site of the intended terminal, the first step in construction.

A pipeline arrangement paralleling the EOG, EnCana, Apache agreement will likely follow the Shell export deal announcement, carrying gas fracked from the Horn River Shale Basin to Kitimat, in order to be exported, in the form of LNG, to the profitable Asian market. 

North American Export Market a Huge Racket

As is now perfectly clear and has been made clear by DeSmogBlog on multiple occasions, not only is the unconventional gas industry unconcerned with the "domestic consumption" of gas for "national security" purposes, but perhaps even more importantly, two of the largest fossil fuel corporations in the world, Shell and ExxonMobil, are now in the fray of the export game.

Deals of this nature will likely proliferate as time progresses, with what has been coined the "one-percent" by the Occupy Wall Street movement, standing with the most to gain from them.

March 12 2011

02:48

Do We Get Tsunamis Yet?

A geophysicist in California hopes that images of the devastation in Japan will galvanize the West Coast to prepare for such an episode.

October 29 2010

14:17

Wind Power Growth Slows to 2007 Levels

The American Wind Energy Association reports the slowest quarter since 2007, adding just 395 megawatts of wind power capacity.

August 18 2010

15:37

August 06 2010

04:02

An Invader: Engineered Canola

Critics of biotech crops might conceivably point to ithe canola phenomenon as an example of how hard it is to stop the spread of "gene pollution.''

February 12 2010

16:01

Oregon to Reduce Clean Energy Incentives

Oregon's House of Representatives Wednesday passed a bill that will rein in a business energy tax credit that was designed to help strengthen the city's renewable energy industry.

December 10 2009

17:08

$1.4 Billion Oregon Wind Deal Announced

General Electric will supply wind turbines to what it says will be the nation's wind farm in Oregon, in a deal announced on Tuesday.

December 04 2009

18:46

Oregon Wave Power Project Advances

On Friday, New Jersey-based Ocean Power Technologies announced that it has contracted with an Oregon company to start building what it hopes will become a 10-buoy test system in the waters off Reedsport, Ore.

November 27 2009

18:34

Report Outlines Best Practices for Connecting Renewables to the Grid

A new report on state renewable energy regulations gives California, Colorado, New Jersey and Oregon top marks and failing grades for Georgia, Idaho and Texas.
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