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Alliance to Protect the Quoddy Region
from LNG Development

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"For much of the state of Maine, the environment is the economy"
                                           — US Senator Susan Collins, 2012 Jun 21



 

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about
Passamaquoddy Bay & LNG

2007 January


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2007
January
31
Declare Head Harbour Passage and West Isles an Emergency Marine Protected Area (Jan 27)
U.S. LNG picking up speed offshore, executive says
Bay residents oppose LNG [Letter to the editor] (Jan 18)
Off-shore LNG port approved (Jan 30)
Bell, Verga meet with Patrick to discuss LNG terminals (Jan 30)
Broadwater plan is too good to sink [Editorial]
No more Chicken Little [Editorial] (Jan 20)
Local officials attend closed-door LNG meeting (Jan 19)
Feds ignoring LNG perils, report says
Connecticut AG Demands No-Fly Zone For Proposed LNG Terminal (Jan 18)
Broadwater LNG Battle Intensifies (Jan 19)
Congressional delegation opposed to LNG terminal (Jan 15)
Officials weigh LNG bill
Judge rules out zoning to block LNG terminal (Jan 24)
$1B LNG plant to cut costs, up inventory (Jan 22)
Marathon and ConocoPhillips Apply for 2-Year Extension to Kenai LNG Exports [News Release] (Jan 19)
Public is engaged with LNG issue [Editorial] (Jan 30)
LNG application deadline pushed back (Jan 23)
California air agency sues state utility officials over LNG (Jan 24)
Long Beach energy project halted (Jan 23)
LNG grows more popular, but producers are wary (Jan 17)
30
Deadlines for filing intervenor status is now past
Province among groups filing for LNG intervenor status (Jan 26)
BEP to hold public hearing on proposal by Downeast LNG (Jan 26)
Pleasant Point offers deal to split LNG funds (Jan 26)
Selectmen place LNG petition on ballot at March town meeting (Jan 26)
Perry petition contests decision by selectmen on LNG meeting (Jan 26)
New partners for LNG project in Calais step forward (Jan 26)
Bill would allow for forming of tribal electric utility districts (Jan 26)
Neptune LNG Deepwater Port Project Receives Approval From U.S. Maritime Administration [News release]
LNG meeting: 'smacks of federal conspiracy'
Will Arnold's friends push hyperexpensive LNG? [Opinion column]
US may punish Shell for Iran deal (Jan 31)
29
Pleasant Point: New tribal chief optimistic about future (Jan 27)
'Underdog' LNG firm has high hopes for Calais site (Jan 23)
New Brunswick seeks a part in LNG case (Jan 16)
LNG terminal past the first hurdle
Group proposes new LNG ordinance
NAFTA Environmental Commission Rules Against Liquefied Natural Gas Facility On U.S.- Mexico Border [News Release]
Iran leader suggests OPEC style gas group with Russia
Iran Signs $10b LNG Deal with Repsol and Shell
Soaring to New Opportunities
23
Province seeks intervenor status (Jan 16)
Say something stupid [Editorial] (Jan 16)
Third LNG company applies to FERC [as intervenor] (Jan 19)
Eastport to file for intervenor status for both LNG proposals (Jan 12)
Questions about petition drive heat up selectmen's meeting (Jan 12)
Permit sought for gas pipeline expansion (Jan 12)
LNG intervenor filing deadlines drawing near (Jan 12)
13
Oil Companies Attack Legislation Aimed at Tax Incentives (Jan 12)
Crude Oil Falls Further, Gratifying Consumers More Than Investors (Jan 12)
Williams returns gas processing plant damaged by Rita to capacity (Jan 12)
County pledges to open up LNG files (Jan 8)
Ex-Calpine man looks to jump-start LNG (Jan 5)
Astoria seeks LNG action from county (Jan 3)
Lehman cuts 2007 gas price forecast 10% to $6.75/MMBtu (Jan 12)
Task force says proposed Baltimore-area LNG project a danger (Jan 10)
Russia Powers On (Jan 3)
Green Coast Related
NSP chooses Irish company to harness tides
12
LNG opponents meet minister
More representation sought in Perry's talks with Quoddy Bay (Dec 22)
Quoddy Bay, Downeast LNG file with FERC (Dec 22)
Broadwater under fire
Blumenthal: Coast Guard can't protect Broadwater
Dutch company options right to buy Exxon's Texas LNG plant
Alaska LNG rumor denied
Alaska groups will team up on gas line
Bush lifts moratorium
Qatar is coming of age…
11
Perry: Petitioners seek special LNG negotiating team
Mark Wren: With LNG, Maine ought to fight for fishermen’s rights [Op-ed column]
Don't break U.S. ties over LNG [Commentary]
Proposed LNG terminals would require another expansion of gas pipeline
Ship slices another endangered whale (Jan 3)
Fishing industry could get LNG aid
NSRWA: Talking about history, nature and adventure
Tension surrounds plan for natural gas terminal in LI Sound
Connecticut's Stake
Maryland General Assembly: New Democratic governor could mean new life for slots; LNG fight, round 2
Baltimore County, LNG firm face off in court
McMoRan LNG project approved off coast of Louisiana (Jan 5)
Garamendi vows active lieutenant governor role

Top

31 January 2007

U.S. LNG picking up speed offshore, executive says — Reuters

HOUSTON (Reuters) - U.S. approval of an offshore LNG import terminal near Boston kicks off a new phase in liquefied natural gas development, opening new opportunity in one of the biggest markets in the United States, an LNG executive said Wednesday.

WEBMASTER'S COMMENTS: Offshore means away from people, can be closer to the market, and can expand more easily.

Off-shore LNG port approved — The Boston Globe, Boston, MA

The approval was expected. Northeast Gateway, a similar project 7 miles off Gloucester, is expected to receive a decision in the next few weeks. At both sites, tankers would dock around the clock at underwater buoys to turn supercooled liquid back into a gas and pump it through pipes to New England homes and businesses. Neptune expects to be operational by 2009. (Jan 30)

Bell, Verga meet with Patrick to discuss LNG terminals — Gloucester Daily Times, Gloucester, MA

Gov. Deval Patrick met with local elected officials yesterday to hear how two proposals for liquefied natural gas terminals off Gloucester could affect the fishing industry and the city.

Former Gov. Mitt Romney approved the ports, proposed by Excelerate Energy and Suez Energy North America, on Dec. 19. Federal law gives the governor of the adjacent state veto power over deepwater liquefied natural gas ports. Both proponents and opponents of the project said last month Romney's approval removed the last substantial hurdle the projects face.

Patrick does not have the ability to undo Romney's decision. (Jan 30)

Broadwater plan is too good to sink [Editorial] — Newsday, New York, NY

Opponents of the project say the Coast Guard and FERC studies ignored public concerns. They have it backward: The federal agencies addressed legitimate worries; it's the opponents who are doing the ignoring, by rejecting the agencies' assurances.

WEBMASTER'S COMMENTS: "Federal agencies addressed legitimate worries"? The agencies don't take into account, for instance, the Society of International Gas Tanker and Terminal Operators (SIGTTO) best practices standards — the LNG industry's own standards.

No more Chicken Little [Editorial] — Newsday, New York, NY

Gov. Spitzer must get past the overheated rhetoric and rationally assess the need for the proposed Broadwater LNG terminal.

For those who are unsure, there is scant guidance on how to best evaluate Broadwater - a vacuum Spitzer has an obligation to fill. Perhaps Broadwater is the best way to meet the demand for clean-burning natural gas. But a case sufficiently convincing to blunt the formidable opposition to the project, which threatens to entangle it for years in litigation, has yet to be made.

And while LNG supplies are plentiful, they are also in demand, much like oil. Broadwater's operators would be competing with other nations for it. So the assumptions that it would be cheaper may not turn out to be correct. Less LNG was used in the United States in 2006 than in 2005, because Europe and Korea were willing to pay more for it. Construction was halted at one LNG terminal in Canada because its investors could not secure long-term contracts for the gas. [Bold emphasis added.] (Jan 21)

Local officials attend closed-door LNG meeting — The Providence Journal, Providence, RI

... officials of the very city that would host the facility boycotted yesterday’s meeting, after Mayor Edward M. Lambert Jr., the police chief and fire chief consulted on the matter. One city volunteer emergency-management official showed up, but later left, Lambert said, after learning that Fall River was not taking part. Lambert said invitations from the company to individual departments’ officials, such as the police chief, had not included notification to the mayor’s office.

“We have long agreed that there was no way to put together a viable security plan for that facility, and we communicated that many times to Weaver’s Cove,” said Lambert, who has staunchly opposed the project and made clear that city officials did not want to be, or appear, “co-opted” by the company. (Jan 19)

WEBMASTER'S COMMENTS: This is an example of the Emergency Response Plan being addressed only after FERC has issued the LNG company a permit.

Feds ignoring LNG perils, report says — East Haven Advertiser, Guilford , CT

HARTFORD — Federal officials have ignored critical environmental and safety issues surrounding a proposed $700 million liquefied natural gas facility for Long Island Sound, according to a Connecticut task force.

Connecticut AG Demands No-Fly Zone For Proposed LNG Terminal — The Aero-News Network, Winter Haven, FL

In a letter to the FAA Monday, Connecticut's Attorney General Richard Blumenthal Monday demanded the agency establish a no-fly zone around a proposed natural gas terminal to be established in the middle of Long Island Sound. Blumenthal says the agency has "completely ignored" threats from the air to the facility.

[John Hritko Jr., senior vice president of Broadwater] said no-fly zones are not in place at the Millstone or Indian Point nuclear plants, and quoted the draft document as stating: "the FAA generally does not establish no-fly zones around energy facilities such as oil or petroleum product storage tank areas, oil platforms or nuclear plants." (Jan 18)

Broadwater LNG Battle Intensifies — Westport News, Westport, CT

Under the proposal, Broadwater would moor a 1,200-foot-long vessel nine miles from Long Island and about 11 miles from Branford. Tankers carrying super-cooled LNG from abroad would off-load at the terminal, which would heat the LNG back to a gaseous state and send a billion cubic feet per day through a pipeline running along the floor of the Long Island Sound.

[Bryan Lee, the director of press services for FERC, in a recent letter sent to a Fairfield County paper] stated that Congress, in the Energy Policy Act of 2005, did not alter the important role of state authorities in reviewing proposed liquefied natural gas terminals and other natural gas facilities. "In the case of the proposed Broadwater project, Connecticut has as much authority today as it did prior to the passage of the Energy Policy Act last year," he said.

Cynics and critics question if this is deceptive since, if Connecticut had no authority before, then the same authority today doesn't amount to very much. [Bold emphasis added.] (Jan 19)

WEBMASTER'S COMMENTS: Note the size of the LNG vessel: 1,200 feet long.

Congressional delegation opposed to LNG terminal — The Advocate, Stamford, CT

HARTFORD, Conn. -- Connecticut's entire congressional delegation has gone on record as opposing a liquefied natural gas terminal being proposed for Long Island Sound. (Jan 15)

Judge rules out zoning to block LNG terminal — The Baltimore Sun, Baltimore, MD

The council had passed a zoning ordinance in June prohibiting LNG facilities from being built within five miles of a home, in the wake of the plan by AES Corp. to build a LNG terminal on Sparrows Point, less than two miles from the historically black neighborhood of Turners Station. AES filed its lawsuit against the county in September, challenging the legality of the June zoning law.

Baltimore County officials say they are more optimistic about the legal footing of the LNG bill introduced last week. (Jan 24)

$1B LNG plant to cut costs, up inventory — City Business, New Orleans, LA

New Orleans-based McMoRan Exploration Co. recently received federal approval to build a $1-billion liquefied natural gas terminal 16 miles east of the Mississippi River capable of processing 10 percent of the nation’s daily demand of 31 billion cubic feet.

Borne said the chemical industry uses natural gas like a “baker uses flour” to produce plastics, paints, pharmaceuticals, detergents, fertilizers and even aspirin.

Instead of forcing natural gas vessels to tread water for weeks waiting for favorable commodity prices, the LNG hub is capable of regasifying up to 1.6 billion cubic feet of liquid natural gas a day and storing 2.8 billion cubic feet of LNG in offshore underwater salt caverns. [Bold emphasis added.] (Jan 22)

Marathon and ConocoPhillips Apply for 2-Year Extension to Kenai LNG Exports [News Release] — PR Newswire

ANCHORAGE, Alaska, Jan. 19 /PRNewswire-FirstCall/ -- Marathon Oil Corporation and ConocoPhillips today announced the companies have jointly filed for a 2-year extension of the Kenai Liquefied Natural Gas (LNG) facility's export license with the U.S. Department of Energy. The current license ends March 31, 2009 and this application would extend the export license thru March 31, 2011.

The Kenai LNG facility, located in Nikiski, Alaska, is the only LNG export plant in North America. (Jan 19)

LNG application deadline pushed back — The World, Coos Bay, OR

The tangles of government bureaucracy and information sharing have delayed the application process for a liquefied natural gas import terminal in Coos County. (Jan 23)

Long Beach energy project halted — Los Angeles Times, Los Angeles, CA

After four years of scrutiny, Long Beach officials Monday pulled the plug on a controversial energy project that promised an abundant new source of clean-burning liquefied natural gas for California but posed insurmountable safety concerns.

In a unanimous vote, the Long Beach Board of Harbor Commissioners decided to end an environmental review of the project that was launched more than two years ago but had slipped far behind schedule. The action effectively terminates the effort by the port and a partnership of Mitsubishi Corp. and ConocoPhillips to build a $700-million liquefied natural gas plant inside the busiest cargo port in the nation. (Jan 23)

Top

30 January 2007

Deadlines for filing intervenor status is now past — Saint Croix Courier, St. Stephen, NB

"Our message: act now, not later. The communities of Charlotte County cannot sustain their efforts to oppose these projects indefinitely, particularly in the face of two FERC reviews underway now and a third one on the way. This issue is not going away — and neither are we."

Province among groups filing for LNG intervenor status — The Quoddy Tides, Eastport, ME

Among those filing for intervenor status, as of January 23:
  • Province of New Brunswick
  • U.S. Department of the Interior
  • U.S. Fish and Wildlife Service
  • Maine State Planning Office
  • Maine Public Utilities Commission
  • City of Eastport
  • Eastport Port Authority
  • City of Calais
  • Roosevelt Campobello International Park
  • Save Passamaquoddy Bay Canada
  • Save Passamaquoddy Bay U.S.
  • Nulankeyutmonen Nkihtahkomikumon
  • Sierra Club of Canada
  • Union of New Brunswick Indians
  • Atlantic Salmon Federation
  • Huntsman Marine Science Centre
  • St. Croix Estuary Project
  • Passamaquoddy Lobstermen Association
  • Repsol Energy North America Corporation
  • Maritimes & Northeast Pipeline
  • Mill River Pipeline
  • Mobil Natural Gas
  • North East Energy Development Company
  • Weaver's Cove Energy
  • Downeast LNG
  • KeySpan Delivery Companies
  • Numerous individuals
Others filing just for Quoddy Bay, so far, are:
  • City of Methuen
  • Native American Holdings
  • Perry Improvement Association
  • Portland Natural Gas Transmission System
  • Downeast LNG
Only filing for Downeast LNG, so far, are:
  • Passamaquoddy Tribe
  • Humane Society of U.S. Wildlife Land Trust
  • Quoddy Bay LNG
  • Bear Creek Investments
(Jan 26)

BEP to hold public hearing on proposal by Downeast LNG — The Quoddy Tides, Eastport, ME

The Maine Board of Environmental Protection (BEP) will be holding public hearings on liquefied natural gas (LNG) facility proposals in Washington County later this year. At its January 18 meeting, the board decided to assume jurisdiction of the Downeast LNG application, and it is expected that the board will also assume jurisdiction of the Quoddy Bay LNG application once it is filed.

Those seeking to be intervenors have to file a petition, which must be received by the board no later than Friday, February 9. Petitions should be addressed to: Virginia Plummer, chair, Board of Environmental Protection, 17 State House Station, Augusta, ME 04333. They may be faxed to (207) 287-2814. Questions about the petitions should be directed to Cynthia Bertocci at (207) 287-2452. The board will consider petitions to intervene at its March 1 meeting. (Jan 26)

Pleasant Point offers deal to split LNG funds — The Quoddy Tides, Eastport, ME

"They're holding us hostage until we coerce the other reservation to sign on the dotted line. That's the type of company they are," says Richard Doyle, the Passamaquoddy chief at Pleasant Point, of Quoddy Bay LNG, since the company is not making any lease payments until the tax agreement is signed by the joint tribal council.

[Indian Township Tribal Councillor Wayne Newell] believes that, since the land is owned by all tribal members, the profits should be shared, but he agrees with Doyle's assessment on the risks. "They have to live with it, but we don't here," observes the Indian Township councillor. (Jan 26)

Selectmen place LNG petition on ballot at March town meeting — The Quoddy Tides, Eastport, ME

[Perry Selectman Jeanne Guisinger] proceeded to make a counter motion and read from a prepared statement, asking that the board of selectmen "honor the petition presented at the meeting of January 8, 2007, that was signed by 142 registered voters in Perry. The petition requested an open town meeting to discuss passing an article establishing a special, representative committee for the town's negotiations with Quoddy Bay LNG." (Jan 26)

Perry petition contests decision by selectmen on LNG meeting — The Quoddy Tides, Eastport, ME

Two days following the January 22 selectmen's meeting, a group of Perry residents filed a petition that would override a decision made by the majority of selectmen and allows the citizens to call a special town meeting to decide on setting up a representative group to participate in discussions with Quoddy Bay LNG on a possible agreement with the town.

New partners for LNG project in Calais step forward — The Quoddy Tides, Eastport, ME

"The LNG industry's own safety standards preclude LNG terminals and LNG ships in Passamaquoddy Bay. Add to that, this Calais proposal suggests placing their operation next to a major international historic site, near a public recreation area, in a narrow tributary of the bay, in waters that are part of the first international historic waterway system, in the transit route of vessels going to New Brunswick's Bayside port and near the eighth busiest border crossing in the U.S.," says Godfrey. "Most of all, Canada has said 'no' to LNG in Passamaquoddy Bay at the local, provincial and national level. With Canada providing such a huge trade market for Calais, it is surprising that Calais leadership feels this project is worth the time, effort and funds that will be expended to even explore this risky proposal. It is also strange that anyone would say they support such a proposal before they had heard a presentation, learned the background of the possible developer and investigated all of the economic, safety and environmental issues that are so clearly raised in the Whole Bay Study commissioned last year by Save Passamaquoddy Bay." (Jan 26)

WEBMASTER'S COMMENTS: The North East Energy LNG Red Beach project location has the same hazards that are warned against by the Society of International Gas Tanker and Terminal Operators (see Webmaster's Comments for "New Brunswick seeks a part in LNG case," below). The hazards that apply to the proposed Red Beach location are even more numerous than the other two proposed LNG project locations.

Bill would allow for forming of tribal electric utility districts — The Quoddy Tides, Eastport, ME

Both [Pleasant Point Chief Rick Doyle] and Passamaquoddy Rep. Donald Soctomah, a co-sponsor of the bill, are not aware of any consideration to use the proposed utility district as a vehicle for the co-generation of electricity related to the Quoddy Bay LNG project. According to Brian Smith, project manager for Quoddy Bay LNG, co-generation of electricity at natural gas facilities is common, and it's possible one might develop at the Quoddy Bay site if the project proceeds. However, he adds, "We haven't looked at partnering with the tribe" for co-generation. (Jan 26)

Neptune LNG Deepwater Port Project Receives Approval From U.S. Maritime Administration [News release] — PR Newswire

BOSTON, Jan. 30 /PRNewswire/ -- SUEZ Energy North America's subsidiary, Neptune LNG LLC, today announced that the U.S. Maritime Administration has decided to issue a deepwater port license to the company to build, own, and operate the Neptune offshore LNG delivery system in Massachusetts Bay. Neptune is the first offshore LNG project on the United States' East Coast to reach this milestone.

The Neptune project is being developed to provide between 400 and 750 million cubic feet of natural gas per day -- enough to serve 1.5 million to 3 million homes daily. By increasing supply to the region, the Neptune project will help ensure that homes in Massachusetts and the other New England states have heat when the weather is cold and electricity year round.

The LNG carriers will be moored at the proposed deepwater port by means of a submerged unloading buoy system consisting of two buoys. An LNG ship will typically be moored for four to eight days while unloading its LNG cargo, depending on market demand. The two separate buoys will ensure that natural gas can be delivered in a continuous flow by having a brief overlap between arriving and departing LNG carriers.

WEBMASTER'S COMMENTS: Offshore, away from people, near the market — and permitted!

Will Arnold's friends push hyperexpensive LNG? [Opinion column] — The Daily Independent, Ridgecrest, CA

Even as they deny making any effort to influence him, two of the closest friends and associates of Gov. Arnold Schwarzenegger now are linked via their law firm to attempts at bringing superexpensive liquefied natural gas (LNG) to California via a terminal planned for construction 14 miles off the coast of Ventura County.

Top

29 January 2007

Pleasant Point: New tribal chief optimistic about future — Bangor Daily News, Bangor, ME

"I think we as a community need to come to grips with the LNG project," [Chief Doyle] said. "My own take on it is that the process by which it was brought to us was not the tribal process but was something that was rushed through." (Jan 27)

'Underdog' LNG firm has high hopes for Calais site — Bangor Daily News, Bangor, ME

"It is especially surprising that Rep. Emery has proceeded alone in this since when asked last year if LNG was such a great idea why he didn't propose it for his home community of Cutler, he answered ‘the lobstermen would never allow it.’ One wonders why Rep. Emery feels the fishermen in Passamaquoddy Bay and Cobscook Bay are less important." (Jan 23)

WEBMASTER'S COMMENTS: The North East Energy LNG Red Beach project is subject to the same hazards that are warned against in Passamaquoddy Bay and the Saint Croix River by the Society of International Gas Tanker and Terminal Operators (see Webmaster's Comments for "New Brunswick seeks a part in LNG case," below).

New Brunswick seeks a part in LNG case — Bangor Daily News, Bangor, ME

"The government has provincial interests that it wants to make sure are part of the proceedings," said Gisele Regimbal, director of communications for the department. "As an intervenor, we will be going in and presenting those interests — the environmental, the safety and security, the economic interests — that we have with respect to these projects." (Jan 16)

WEBMASTER'S COMMENTS: The LNG industry, itself, in its best-practices standards published by the Society of International Gas Tanker and Terminal Operators (SIGTTO), warns against locating LNG piers within — and transiting LNG vessels through — the conditions present in the approaches to and within Passamaquoddy Bay. Despite LNG developers' wishes to the contrary, Canadian Federal, Provincial, Municipal, and Public opposition to these projects is consistent with the LNG-industry's own site selection safety standards. (Read the FERC docket entries referring to approximately 30 SIGTTO references warning against siting LNG facilities in the conditions present in Passamaquoddy Bay and approaches that the local LNG projects would present: Quoddy Bay LNG, and Downeast LNG.)

LNG terminal past the first hurdle — The Packet, Clarenville, NL

According to the company the terminal will provide low-cost, high availability LNG transshipment and storage services to the northeastern United States (U.S.) and Canadian LNG importers and providers. It will also provide facilities for LNG cargo transfer, temporary vessel-based LNG storage and a lay-up site for in-transit LNG carriers. The terminal will also include land-based storage opportunities for reloading of smaller or specialized LNG carriers and for customers with peak-use requirements or seasonal needs.

Group proposes new LNG ordinance — The Herald News, Fall River, MA

The amendment states, "no tank in excess of 5,000 gallons or any other structure shall be constructed for the purpose of liquefying, storing, processing, vaporizing, transporting, transferring or handling propane or natural gas without first obtaining a license from the City Council. Before issuing such license, both the fire and police chiefs of the city and the Massachusetts Emergency Management Agency shall review the safety plan, security plan, emergency response plan, fire protection plan and evacuation plan of the proposed facility and provide a written formal assessment of the adequacy and effectiveness of such plans to the City Council."

NAFTA Environmental Commission Rules Against Liquefied Natural Gas Facility On U.S.- Mexico Border [News Release] — E-Wire

SAN DIEGO, CALIFORNIA, Jan. 29 -/E-Wire/ — The Secretariat of the Commission for Environmental Cooperation, a tri-national commission set up under the North American Free Trade Agreement, announced January 25th that it was rejecting a request by Mexico to suspend an investigation into whether the country violated its own laws in approving a proposed liquefied natural gas (LNG) facility next to a biodiversity hotspot on the U.S. border.

In 2005, U.S. and Mexican conservation organizations filed a formal petition with the NAFTA Commission to challenge the Mexican government's granting of permits to Chevron to build the LNG terminal just 600 yards from the Coronado Islands. The islands, located 11 miles south of the U.S. border, provide critical nesting habitat for six threatened or endangered seabird species and 10 other species of plants and animals found nowhere else in the world.

Iran leader suggests OPEC style gas group with Russia — Union Tribune, San Diego, CA

“Iran and Russia can establish the structure for an organisation of gas cooperation like OPEC as half of the world's gas reserves are in Russia and Iran,” [Iranian Supreme Leader Ayatollah Ali Khamenei] was quoted by state television as saying.

Russia and Iran are the world's No. 1 and No. 2 holders of gas reserves respectively. Iran's reserves are estimated at 940 trillion cubic feet or more and Russia's is estimated to hold between 1,680 trillion to 2,360 trillion cubic feet.

Iran Signs $10b LNG Deal with Repsol and Shell — FARS News Agency, Iran

A deal would be a blow to Washington, which in addition to barring US investment in Iran, has been stepping up pressure on non-US firms to refrain from investing in Iran.

Under the deal, Shell and Repsol would each take a 25 per cent stake in the project to produce 16 million tons a year of LNG, super-cooled natural gas that can be transported on tankers.

Soaring to New Opportunities — EnergyCentral.com

An LNG tanker spends about $12 million a year or more propelling itself across the oceans. Utilities buying LNG would benefit if LNG transportation costs can be cut by one-fifth.

Top

23 January 2007

Province seeks intervenor status — Saint Croix Courier, St. Stephen, NB

Only parties to the proceeding can ask for court review of Commission orders in the proceeding. The Province will be acting on legal advice from a U.S.law firm with LNG regulatory expertise. (Jan 16)

Say something stupid [Editorial] — Saint Croix Courier, St. Stephen, NB

For once, you'd like to see a belligerent, bloody-minded government. (Jan 16)

Third LNG company applies to FERC [as intervenor] — Saint Croix Courier, St. Stephen, NB

The third liquefied natural gas (LNG) company hoping to build a terminal facility in Maine has filed for intervener status in Quoddy Bay LLC's application to the Federal Energy Regulatory Commission (FERC) for an LNG project in Passamaquoddy Bay. (Jan 19)

Questions about petition drive heat up selectmen's meeting — The Quoddy Tides, Eastport, ME

The petition asks the town to require selectmen "to conduct all future discussions and correspondence by them regarding the potential citing of any liquefied natural gas facilities in Perry, including discussions and correspondence with the town's attorneys and with representatives from Quoddy Bay LNG, only after notice to and participation with full voting rights by a special negotiating committee to be made up of members of the Perry community." (Jan 12)

Permit sought for gas pipeline expansion — The Quoddy Tides, Eastport, ME

The new work will allow Maritimes & Northeast to accept and transport new natural gas supplies to New England markets. (Jan 12)

WEBMASTER'S COMMENTS: This expansion is to accommodate natural gas from the Canaport LNG project in Saint John, New Brunswick, and is unrelated to the Quoddy Bay LNG and Downeast LNG proposals. Those two projects would each require another expansion of the Maritimes & Northeast Pipeline.

LNG intervenor filing deadlines drawing near — The Quoddy Tides, Eastport, ME

The deadlines to file for intervenor status and to file comments with the Federal Energy Regulatory Commission (FERC) for two proposed liquefied natural gas (LNG) projects on Passamaquoddy Bay are quickly approaching. For the Quoddy Bay LNG project at Split Rock, Pleasant Point, the deadline is Tuesday, January 16; for Downeast LNG it is Monday, January 22. (Jan 12)

WEBMASTER'S COMMENTS: Motion to Intervene deadlines have now passed, although one can still file a "Motion to Intervene Out of Time," which is a request for FERC to accept a late filing for intervenor status. Such a request must provide justification for being late.

Top

13 January 2007

Oil Companies Attack Legislation Aimed at Tax Incentives — New York Times, New York, NY

WASHINGTON, Jan. 12 — The nation’s oil and gas companies, hoping to fend off an attack by Congress on their tax breaks and subsidies, angrily denounced an effort by House Democratic leaders Friday that would repeal billions of dollars worth of incentives and plow the money into renewable energy projects.

The House bill would punish companies that refuse to change their leases by either charging them a “conservation fee” of $9 for each barrel of oil they produce or prohibiting them from acquiring any additional leases in federal waters.

“The American people are owed a fair value for the resources they own,” said Representative Nick J. Rahall, Democrat of West Virginia and chairman of the House Natural Resources Committee. (Jan 12)

Crude Oil Falls Further, Gratifying Consumers More Than Investors — New York Times, New York, NY

...natural gas futures fell more than 6 percent amid an easing of demand and ample supplies. (Jan 12)

Williams returns gas processing plant damaged by Rita to capacity — Platts

Williams on Friday said it had restored the Cameron Meadows natural gas processing plant in southern Louisiana to its full design capacity of 500,000 Mcf/d. (Jan 12)

County pledges to open up LNG files — The Daily Astorian, Astoria, OR

The Community Development Department has provided copies of the company's applications and supporting documents to public libraries in Astoria, Seaside, Warrenton, Clatskanie and Cathlamet, Wash. In addition, a copy is placed at Knappa High School. The documents are also posted on the county Web site at www.co.clatsop.or.us (Jan 8)

Ex-Calpine man looks to jump-start LNG — The Daily Astorian, Astoria, OR

Leucadia is replacing the bankrupt Calpine as one of five companies looking to put LNG import terminals in Oregon. Four terminals have been proposed on the Columbia River, and a fifth is in Coos Bay.

The need for other LNG projects to take their tankers past downtown Astoria is the "800-pound gorilla in the room," said Hansen. (Jan 5)

Astoria seeks LNG action from county — The Daily Astorian, Astoria, OR

Concerned about the safety of Astoria residents if a liquefied natural gas terminal is sited at Bradwood Landing, upriver from Astoria, the city will send a letter to Clatsop County Administrator Scott Derickson today, asking the county to consider hiring a professional to evaluate public safety issues associated with LNG facilities and help come up with a way to respond in an emergency. (Jan 3)

Lehman cuts 2007 gas price forecast 10% to $6.75/MMBtu — Platts

"Adjusting the October storage data for the colder weather implies that last week's storage withdrawal should have been roughly 2 Bcf/d stronger than the 7 Bcf/d that was reported," Driscoll said. (Jan 12)

Task force says proposed Baltimore-area LNG project a danger — Platts

"Economically distressed communities that surround the proposed facility have for generations borne the brunt of environmental pollution in the Sparrows Point area," the report said.

The citizens group went on to say the LNG project "is not compatible" with other industrial activity in the area, "and that the facility poses a significant risk to health, safety and quality of life to a community that has already borne more than its share of such impacts." (Jan 10)

Russia Powers On — BSR News, Boseman, MT

Gazprom is doing a good job of throwing its weight around, but it may be setting the stage for something more lucrative. As recently as November 14, 2006, Putin stated that Russia is not interested in creating a global natural gas cartel, along the lines of OPEC. That may be true, but there are hints that he is not completely opposed to such an idea. A group known as the Gas Exporting Countries Forum (GECF) claims 15 members, including Russia, which control nearly 75% of the world's natural gas reserves and over 40% of global natural gas production. GECF has no permanent office, no permanent staff, and no web site; it meets only occasionally and discusses mostly technical issues -- so far. But the foundation is there to jump-start a cartel. Natural gas and LNG are typically sold on long-term fixed-price contracts, but as a spot market in LNG develops, it doesn't take much imagination to visualize an OPEC-like cartel that sets natural gas prices based on LNG spot prices. Such a cartel would affect Asia and the United States as well as Europe, and would be the logical next step after Russia gains control of the European natural gas markets. (Jan 3)

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12 January 2007

LNG opponents meet minister — Saint Croix Courier, St. Stephen, NB

"Today's meeting, I think, assured us that the federal government is 100 percent behind stopping LNG in Passamaquoddy Bay."

More representation sought in Perry's talks with Quoddy Bay — The Quoddy Tides, Eastport, ME

"I object to be excluded from the discussions for a proposed agreement between the company and the town of Perry." (Dec 22)

Quoddy Bay, Downeast LNG file with FERC — The Quoddy Tides, Eastport, ME

There are five existing LNG terminals in the U.S., and 16 more terminals have been approved by FERC. Presently 12 LNG proposals are pending before FERC, with about 40 proposals either pending or being discussed by the LNG industry for North America. According to FERC's website, even if an LNG terminal receives all federal and state approvals, "it still must meet complicated global issues surrounding financing, gas supply and market conditions. Many industry analysts predict that only 12 of the 40 LNG terminals being considered will ever be built." (Dec 22)

Blumenthal: Coast Guard can't protect Broadwater — East Haven Advertiser, Guilford, CT

EAST HAVEN — The U.S. Coast Guard's lacking the resources to protect the proposed Broadwater Energy liquefied natural gas plant, should it be built 10 miles offshore, is reason enough to reject it, state Attorney General Richard Blumenthal said Tuesday.

"We'll go to court if necessary. The security threat cannot be addressed by a Coast Guard that lacks the ships" and other resources, Blumenthal said at a press conference, flanked by a bipartisan group of state and local officials and a representative of Save the Sound.

Alaska LNG rumor denied — Petroleum News, Anchorage, AK

The biggest customer for liquefied natural gas coming from Nikiski’s LNG plant may be looking for other sources of supply after March 2009. That’s when the aging plant will need a new export license from the U.S. Department of Energy to keep sending its product to Japan.

A Jan. 9 report in Japan’s top financial newspaper, Nihon Keizai Shimbun, said Tokyo Electric Power Co. had decided not to renew its contract with the ConocoPhillips-Marathon joint venture, or another smaller contract with Indonesia. The report said Tepco believed reserves for the two LNG producers were close to being exhausted.

Bush lifts moratorium — Petroleum News, Anchorage, AK

In a not entirely unexpected move on Jan. 9 President Bush lifted the moratorium on oil and gas leasing in the North Aleutian planning area, an area that includes the outer continental shelf of Alaska’s Bristol Bay and the southeastern corner of the Bering Sea. The president’s action should enable the U.S. Minerals Management Service to include two North Aleutian lease sales in its 2007 to 2012 leasing program.

In addition to Bristol Bay’s fish habitat, the region supports marine mammals such as the walrus, harbor seal and sea otter, as well as endangered species including stellar sea lions, humpback whales, fin whales and right whales.

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11 January 2007

Perry: Petitioners seek special LNG negotiating team — Bangor Daily News, Bangor, ME

The Perry Board of Selectmen Monday night accepted a petition signed by 142 residents that would allow a vote to create a special Quoddy Bay LNG negotiating team.

Jeanne Guisinger, who is also a selectman, presented the petition but said Tuesday that she was disappointed.

"It will not be discussed and decided in an open town meeting as we requested," Guisinger said.

Mark Wren: With LNG, Maine ought to fight for fishermen’s rights [Op-ed column] — Bangor Daily News, Bangor, ME

These developers need to be held accountable for the future of this bay. With or without help from the state government, the towns chosen as sites for LNG need to take the responsibility that appropriate compensation is made by the LNG companies for the jobs that will be lost in the bay on both sides of the border. Please wake up people; this really is the big picture.

Proposed LNG terminals would require another expansion of gas pipeline — Village Soup, Waldo County, ME

“Although M&NE is not proposing to construct these facilities and does not have an application before the FERC … an analysis of the impacts of these facilities will be included in the [environmental impact statement] being prepared for the Quoddy Bay LNG facility.”

Krueger said Saturday that a major LNG terminal has been proposed for Massachusetts. He said it would make more sense to deliver the gas there — close to where it will be used — rather than expanding the pipeline for hundreds of miles in Maine. [Bold emphasis added.]

Ship slices another endangered whale — LifeScience.com

On Dec. 30, researchers spotted the latest dead whale about 10 miles east of Brunswick, Georgia, and towed it to shore. It was a juvenile, more than 40 feet long. (Jan 3)

NSRWA: Talking about history, nature and adventure — Norwell Mariner, Marshfield, MA

[Dr. David Wiley, research coordinator for the Stellwagen Bank National Marine Sanctuary] will also discuss projects to shift the shipping lanes through the sanctuary to reduce the risk of ship strike and the implications of proposals to site offshore LNG terminals near the sanctuary’s border.

Tension surrounds plan for natural gas terminal in LI Sound — The Advocate, Stamford, CT

SMITHTOWN, N.Y. -- It would be about as long as the Queen Mary 2 ocean liner and would supply enough natural gas to heat 4 million homes a year.

And it would be right in the middle of Long Island Sound, halfway between densely populated areas of New York and Connecticut.

Connecticut's Stake — The Day, New London, CT

Connecticut has made it resoundingly clear that even though the proposed Broadwater liquefied natural gas terminal will be in New York territorial waters, this state has both a large stake in the outcome of the matter and serious questions about the proposal that require clear answers from federal regulators.

The governor demanded and the state is entitled to influence FERC's decision. Connecticut and New York are jointly responsible under law for protecting Long Island Sound, and collaborate in confronting pollution and other threats to the well-being of the Sound. They arguably get little help or encouragement from the federal government.

Under federal energy law, Washington has launched a veritable derby, as one critic referred to it, of competition to build LNG facilities. The region may need cheap natural gas, but not in the quantities proposed by energy companies in the Northeast. [Bold emphasis added.]

Maryland General Assembly: New Democratic governor could mean new life for slots — Dundalk Eagle, Dundalk, MD

LNG fight, Round 2

The bill will again try to stop the LNG facility by putting limits on the amount of dredging that can be done, and restricting how close the plant can be to nearby homes.

Garamendi vows active lieutenant governor role — Ventura County Star, Ventura, CA

"Call me a concerned skeptic on LNG," Garamendi said, taking care not to commit his vote in advance on any single question.

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