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British Columbia

Clark’s natural gas wealth fund a “fantasy”: think-tank — News1130 Radio, Vancouver, BC

VANCOUVER (NEWS1130) – The provincial government’s projection of riches from liquefied natural gas is “based on assumptions that are too good to be true,” according to a think-tank.

Premier Christy Clark’s projection for a $100 billion wealth fund from natural gas is a “fantasy” and the government is “rushing to get resources out of the ground regardless of the returns,” according to an analysis of the plan.

The Canadian Centre for Policy Alternatives says the massive fund “would take every best-case scenario to materialize.”

Oregon

Be wary of school-funding switcheroo on the coast [Opinion] — Statesman Journal, Salem, OR

One of the reasons given for the proposed sale and privatization of an invaluable public treasure like the Elliott State Forest is to raise funds to educate Oregon’s schoolchildren. Therefore, it may be of interest to all of Oregon that four rural taxing districts are on the brink of making a decision that will cost the State School Fund upwards of half a billion dollars over the next 20 years.

In January … Coos County citizens learned that many of these same proponents have decided the Jordan Cove spoils simply cannot be left to the vagaries of established property tax revenue distribution and management and have devised a scheme they call the Community Enhancement Plan (CEP). The CEP will divert the revenue into two private nonprofit organizations one ostensibly to provide extra funds to local schools and the other for economic development and waterfront revitalization.

There are several other components to this potentially billion-dollar privatization scheme and it has divided the county. State Senator Arnie Roblan, a retired educator and Representative Caddy McKeown a former school board member have urged local officials to approve this plan. Opponents have labeled it money laundering and consider it a scam to put self-appointed power brokers in control of public money without any accountability. Regardless of which side you are on, the CEP, if enacted, will impact all of Oregon.

United States

Report: Lack of pipelines in U.S. hinder shale gas revolution — LNG World News

The shale gas revolution in the United States has radically changed the country’s energy outlook and can provide for energy independence, new jobs and a manufacturing renaissance. However, none of this will occur until the country addresses the significant pipeline infrastructure gap that exists, according to a new report from global law firm White & Case LLP.

Webmaster's comment: Irony abounds:

1. Plentiful natural gas, not enough infrastructure to get it to market;
2. Plentful gas means lower prices and energy secuity, but the industry is trying hard to export as much of it as possible, meaning the domestic price will increase —and we'll run out of the resource sooner;
3. Plentyful natural gas means we'll continue to burn it and pollute the planet instead of concentrating the same financial resources and effort on renewables.

Northeast

Stopping Cove Point LNG project possible, residents say (Apr 25) — SoMdNews, MD

Next month, the Federal Energy Regulatory Commission will issue its Environmental Assessment for the proposed expansion project at Dominion Cove Point, and the Maryland Public Service Commission will decide on Dominion’s application for a generating facility at the plant. The next months and weeks are important for the Dominion liquefied natural gas export project, and concerned community members are gathering during the next several weeks to plan next steps and get more information.

Currently, the plant draws about 60,000 gallons per day from the Lower Patapsco but if approved, will be authorized to draw 235,000 from the Lower Patapsco aquifer, Frederick said. The Maryland Department of the Environment will conduct a study on how that level of usage will affect local water supply.

Sevilla said it is impossible to know how much water is in the aquifers and when it will run out, which is just one of the many uncertainties residents saw with the expansion. With a perceived potential effect on property values and concern about emergency preparedness, those at the meeting believe stopping the Cove Point expansion still is possible.

British Columbia

B.C. LNG Summit expulsion 'exploitation': Fort Nelson Mayor (Apr 24) — Huffington Post Canada

Last week, the Fort Nelson First Nation asked both parties to leave its LNG summit over the province's decision to change environment assessment rules for gas plants.

In an open letter, Bill Streeper, mayor of the Northern Rockies Regional Municipality, which includes Fort Nelson, said he understands the frustration of the aboriginal community but calls the expulsion a "knee-jerk" reaction.

"This town is 100 per cent depending on the LNG and the gas industry for its existence," Streeper said in a telephone interview Thursday.

"At a time when B.C. has said it wants to reset the relationship with First Nations as part of the LNG strategy, the province has acted in bad faith," [Fort Nelson First Nation Chief Sharleen Gail] said in a statement.

Environment Minister Mary Polak quickly reversed the decision after the Fort Nelson incident, saying government would consult with First Nations.

Webmaster's comment: Mayor Streeper appears to be a "jobs at the cost of First Nations" mayor. Northern Rockies Regional Municipality may want to consider replacing the mayor.

Most British Columbians want clean energy, not fossil fuels: poll (Apr 24) — Business Vancouver, Vancouver, BC

Despite efforts from Victoria to promote the liquefied natural gas industry, a new poll finds most British Columbians want to ditch fossil fuels in favour of clean energy alternatives.

…75% of respondents at least partially agreed B.C. could strengthen the economy if it embraced clean alternatives, according to the poll commissioned by Pembina Institute, Clean Energy Canada and the Pacific Institute for Climate Solutions.

“It certainly stands in contrast to what we’re hearing (from the province) in terms of the opportunities purely from fossil fuels,” [Pembina spokesman Kevin Suave said].

“It certainly stands in contrast to what we’re hearing (from the province) in terms of the opportunities purely from fossil fuels.”

Stopping the fossil fuel juggernaut in its tracks [Commentary] (Apr 25) — Vancouver Observer, Vancouver, BC

Will British Columbians be able to stand up against the Premier's "unbridled boosterism" of LNG and other fossil fuel?

British Columbia is currently facing an unprecedented fossil fuel juggernaut. Tar sands pipelines, Liquified Natural Gas (LNG) and the expanded fracking that goes with it, ramped up coal exports — it’s all coming at us at breakneck speed. It’s going to take an enormous social movement to stop them.

Broad public awareness of the threat posed by global climate change (hey, even the New York Times has ramped up the seriousness of their calls to action) is a big part of the reason there is already mass opposition to these fossil fuel mega-projects in this province. But much more is needed. Big Oil, Big Gas and Big Coal — and the governments, both provincial and federal, more or less beholden to them — are determined that the expansion of their industries will mark economic development in BC for decades to come.

The environmental movement in BC is in many ways very strong, particularly when it follows the leadership of First Nations defending their land, as is the case with the fierce opposition to the Enbridge pipeline. But for this movement to stop the juggernaut, it needs to be bigger, and more open, diverse and democratic.

United States

FERC approval could become 'regulatory black hole' for some proposed US LNG export projects — The Energy Collective

… LNG projects sited at an already existing (‘brownfield’) LNG terminal may hold a twofold advantage over their domestic competitors in the FERC approval process: an EIS as part of a previously granted approval in addition to a general first-mover advantage – see Sabine Pass LNG project – in the sense that only LNG projects down the processing queue will face the ‘indirect and/or cumulative effects’ assessment with potentially adverse implications. In addition, those ‘latecomer’ LNG projects are therefore far more exposed to successful legal challenges by environmental groups. And the FERC process – what looked like a bottleneck initially – may turn out to be a ‘regulatory black hole’ for them. We may see the early beginnings of environmental considerations in terms of global climate change and the upstream methane emissions setting an eventual limit on LNG exports and projects. In this context, Michael Oppenheimer, Professor of Geosciences and International Affairs at Princeton University, notes in an essay for the Scientific American Forum that President Obama’s ”methane strategy” constitutes “a first step toward comprehensive regulation [and that] this federal rule-making on methane leakage is in the interests of both the nation and the global climate system.” Better understanding of methane emissions will also determine whether natural gas remains President Obama’s best friend or joins the ranks of outcast coal. [Red & bold emphasis added.]

182,000 sign petitions against LNG exports, group says (Apr 24) — Ohio.com, OH

Washington, D.C. — Some 182,000 petitions have been delivered to the U.S. Senate to urge it to reject plans to dramatically expedite exports of liquefied natural gas (LNG). Escalating tensions between Ukraine and Russia have prompted some members of Congress to push to export LNG overseas, but doing so will lead to increased fracking in the United States, subjecting American communities to the public health, economic and environmental risks associated with the practice.

“Fracked gas is not a geopolitical bargaining chip, nor should American communities be sacrificed to the oil and gas industry’s quest to increase profits,” said Food & Water Watch Executive Director Wenonah Hauter. “Pushing to increase exports of gas flies in the face of industry claims that fracking will make the United States more energy independent, and since most of the gas will go to Asia where it can fetch the highest price, exports will only increase gas prices for American consumers.”

US natural gas stockpile low; price could spike next winter (Apr 28) — Bangor Daily News, Bangor, ME

NEW YORK — The United States faces a natural gas supply shortfall this year despite the country’s fracking boom, threatening more price spikes as energy companies struggle to replenish stockpiles drained to critically low levels after a brutal winter.

NEW YORK — The United States faces a natural gas supply shortfall this year despite the country’s fracking boom, threatening more price spikes as energy companies struggle to replenish stockpiles drained to critically low levels after a brutal winter.

The concerns center on a set of extraordinary circumstances: stocks are at 11-year lows; flat futures prices make it uneconomic for utilities to hold onto gas and burn it later, and a fractured network of pipelines means gas in big producing regions, including the country’s biggest Marcellus Shale play centered in Pennsylvania, is stranded away from storage caverns.

Later this year, 10 new pipelines with a cumulative capacity of about 3.4 billion cubic feet per day (bcfd), or nearly 5 percent of daily output, are due to come online, said Stephen Thumb, principal at Energy Ventures Analysis in Arlington, Virginia.

Eight pipelines with combined capacity of about 2.3 bcfd are scheduled to launch next year, he said.

Webmaster's comment: …So the industry wants to export as much of it as possible.

Pipeline capacity is the issue, not domestic supply. But, why isn't the US concentrating on eliminating issues like this by developing renewables?

Northeast

Dozens to greet Cuomo at LI fundraiser with simple message: Ban fracking now — Long Island Exchange, Long Island, NY

Local residents will also be calling on Cuomo to veto the Port Ambrose liquefied natural gas (LNG) facility currently being proposed for construction just off Long Island’s South Shore. The facility would pose a grave risk to Long Island’s environment and could increase the demand for fracking in New York State. [Red & bold emphasis added.]

Wyoming

Williams fire 'still burning' in Wyoming — Upstreamonline.com

Williams Partners has allowed area residents to return to Opal, Wyoming following an explosion and fire at a gas-processing plant there, but the flames were not yet extinguished Friday morning, reports said.

A Williams spokesman on-scene told Reuters that the company was still working to isolate the fire to its source.

As of a Thursday update, the gas giant said that no cause had yet been determined but it continued to investigate along with authorities. [Red, yellow & bold emphasis added.]

Wyoming explosion: Natural gas purification plant rocked (Apr 24) — The Christian Science Monitor

Residents and emergency crews were waiting for a fire to burn itself out after an explosion at a natural gas processing plant in a small town in southwestern Wyoming.

The explosion occurred in a cryogenic processing tower, which chills unrefined natural gas to remove impurities. [Red, yellow & bold emphasis added.]

Explosion shuts large natural gas processing plant in Wyoming (Apr 23) — Reuters

An explosion on Wednesday shut a natural gas-processing plant in Wyoming that can churn out about 2 percent of the daily U.S. gas supply, and a nearby town was evacuated though no injuries were reported.

The blast at the Williams Companies Inc plant in Opal, Wyoming, touched off a fire that was still burning several hours later, company spokeswoman Michele Swaner said.

The explosion, at least the second safety incident suffered by Williams Companies in the last few weeks, could affect prices on Thursday when the market starts trading for gas to be delivered on Friday.

On March 31, a pipeline within its liquefied natural gas facility in Washington exploded and shrapnel from the blast caused a leak in one of two liquefied natural gas tanks, prompting evacuation orders near the plant outside the rural town of Plymouth.

On April 7, a Williams unit said that a gas gathering pipeline in West Virginia caught fire.

Williams operates two natural gas processing plants in Wyoming which remove liquids and other impurities from natural gas to allow it to be transported in large pipelines. [Red, yellow & bold emphasis added.]

Webmaster's comment: What does this tell us about PHMSA and FERC safety inspections? …and about Williams Companies' safety culture?

Washington & Oregon

Natural gas accidents in Portland, the West don't prompt broad review of Williams Companies — The Oregonian, Portland, OR

Federal and state regulators say they have no plans to initiate a broader safety investigation into the gas pipeline and processing operations of Williams Companies, Inc., despite a spate of accidents in western states during the last several months.

The latest incident was an explosion and fire at a Williams gas processing facility in Opal, Wyo.

Last month, an explosion at a Williams gas facility in Plymouth, Wash., injured five workers and prompted the evacuation of hundreds of nearby residents and workers. Shrapnel from the explosion pierced a liquefied natural gas storage tank. A leak in the tank was eventually stanched, but neither Williams nor its federal regulator, the Pipeline and Hazardous Materials Administration, has explained the cause of the explosion.

Williams also experienced repeated equipment failures this spring at a gas transfer station on Sauvie Island that serves customers on the west side of Portland. Those breakdowns prompted at least three emergency releases of gas to relieve pressure in a pipeline, causing emergency responders in one case to evacuate nearby residents and close a school.

The company did not notify neighbors or proactively communicate with them about the ongoing problem at the facility for two months, despite repeated gas releases. Federal safety inspectors did not visit the facility until repeated phone calls from The Oregonian and Sen. Ron Wyden, D-Ore., prompted the agency to deputize state regulators to inspect the facility.

The federal pipeline regulator is widely seen as understaffed for the size and scope of its responsibilities. The agency recently offered voluntary buyouts to almost 10 percent of its staff, though Hill said the buyouts were designed to “manage attrition and do succession planning to retain skills we need.”

Webmaster's comment: Surprise! There will be no investigation of one of the largest natural gas-related companies in the country, that's having repeated serious incidents, because…well…there's no danger to the public…right?

New England

Connecticut, federal officials discuss need for more natural gas — West Hartford News, West Hartford, CT

[Connecticut Gov. Dannel P. Malloy] has cast Connecticut’s lot with those who believe a large-scale expansion of the natural gas transmission network is in order. At end of last year, he joined with the five other governors in the region to call for expanding the natural gas infrastructure.

US energy officials to review New England policy (Apr 21) — WCSH, Portland, ME

Ernest Moniz, U.S. secretary of energy, is meeting Monday with state officials in Providence, R.I., and Hartford.

The federal review was ordered by President Barack Obama to develop a strategy for public works needed to transport, store and deliver energy to consumers. The meetings are open to the public.

Federal and state energy officials say they'll examine constraints in New England and regional approaches to solving the problems.

Northeast

The next Keystone? Natural gas project draws environmentalist ire — Fox News

"Everybody in the U.S. economy will suffer from gas exports according to the U.S. Department of Energy, except for one industry -- and that's the gas industry, which will make lots and lots of money," Chesapeake Climate Action Network's Mike Tidwell told Fox News in an interview.

Further, environmentalists raise concerns that Cove Point would be used to ship out gas extracted through a controversial process known as fracking. The Chesapeake group and others recently wrote to President Obama blasting the Cove Point project.

Errant methane plumes detected over Marcellus wells (Apr 21) — Cronell Chronicle, Cornell University, Ithaca, NY

Using an airplane to detect greenhouse gas emissions from freshly drilled shale gas wells in Pennsylvania’s Marcellus basin, Cornell and Purdue scientists have found that leaked methane is a tougher problem – between a hundred- and a thousandfold – than previously thought, according to a study published April 14 in the Proceedings of the National Academy of Sciences.

At some wells in preproduction, the scientists detected 2 to 14 grams of leaking methane per second, per square kilometer. And much to their surprise, they found 34 grams of methane leaking per second, per square kilometer, at seven well pads in the drilling phase. That’s two to three orders of magnitude more leaked methane than the U.S. Environmental Protection Agency estimates for these wells.

The study, “Toward a Better Understanding and Quantification of Methane Emissions from Shale Gas Development,” was co-authored with Cornell’s Bob Howarth, the David R. Atkinson Professor of Ecology and Environmental Biology; Anthony Ingraffea, the Dwight C. Baum Professorship in Engineering; and Renee Santoro, of Physicians, Scientists and Engineers for Healthy Energy, Ithaca. Purdue’s Dana R. Coulton and Paul Shepson were the lead authors. [Red & bold emphasis added.]

Concerned about climate change? Take action to stop Cove Point — The Nation, New York, NY

You've heard of Keystone XL but have you heard of Cove Point? While it hasn't garnered the same amount of attention as the infamous pipeline, the proposed $3.8 billion liquid natural gas (LNG) export facility would do serious damage to the local environment and could put the United States on the path to massively increasing our greenhouse gas emissions.

The proposed Cove Point export facility in southern Maryland just fifty miles from the White House would turn natural gas into a liquid to be sent overseas. Much of that natural gas would be obtained through fracking, giving companies a huge incentive to expand the dangerous practice. Furthermore, while natural gas has been sold as a clean alternative to coal, the facility at Cove Point would trigger more planet-heating pollution than all seven of Maryland's coal plants combined. Finally, while its proponents no doubt want to paint Cove Point as a potential boon for the economy, only the gas industry stands to profit; a recent study commissioned by the Department of Energy found that exporting US gas would raise the price here at home by as much as 27 percent.

Gulf of Mexico

The State of Texas: April 22, 2014 (Apr 22) — Texas Monthly, Austin, TX

The New Company Town — If a town is simply one big natural gas facility, is it still a town? The Houston Chronicle takes an in-depth look (subscription required) at Quintana, an island community an hour south of Houston whose few dozen citizens have been fighting the Freeport LNG and its conspicuous natural gas facility for more than a decade. "As Freeport LNG planned its expansion last year, it made the unusual [$225,000] offer to every homeowner," reports Ryan Holeywell. … There are hold-outs against the company's generous offers and 56 of the town's 66 registered voters have signed a petition urging the Federal Energy Regulatory Commission to deny construction permits.… [Red & bold emphasis added.]

Alaska

Alaska to invest in LNG project — Oilprice.com

The Alaskan State Legislature passed legislation on April 20 that will see the state join a partnership with oil producers on the North Slope to build a pipeline and liquefied natural gas export terminal.

Plans involve the construction of an 800-mile pipeline that will connect gas fields to an LNG export facility. A 42-inch pipeline will be used that will allow enough gas to both meet the state’s needs and allow for some to be exported.

Construction will not begin immediately on the pipeline, which comes with a steep price tag estimated at between $45 and $65 billion. More studies are planned to refine costs and finalize engineering details.

The project is not expected to come online until 2024 at the earliest, at which point it is expected to be able to produce 16 million to 18 million tonnes of LNG per year.

British Columbia

Defiant northern Chief galvanizes BC First Nations against Premier's LNG plans (Apr 22) — Vancouver Observer, Vancouver, BC

The “Fort Nelson incident” has united First Nations against speedy approvals of a $78 billion industry – potentially “destabilizing” the Premier's entire strategy.

The actions of a young, tough-talking First Nations leader in northeast B.C. last week, that sparked the embarrassing reversal of a cabinet decision to fast-track natural gas plants, appears to be rallying province-wide Aboriginal opposition to Liquified Natural Gas plans.

The video-captured incident, uploaded to YouTube, is now being seized by First Nations leaders across B.C. to tell Premier Christy Clark to slow down her LNG plans and respect Aboriginal land and environmental concerns, or risk seeing her entire LNG economic strategy – worth $78 billion – go up in smoke.

Canada pushes whales aside to green light oil pipeline (Apr 21) — Seattle PI, Seattle, WA

[This article also appears under the Canada heading, below.]

A quiet announcement in the Canadian Gazette has removed a large, water-breaching marine obstacle from the path of a pipeline and oil super port that Canada’s government wants to build on the north coast of British Columbia.

The government has stripped the North Pacific humpback whale of its “threatened” status under Canada’s Species At Risk Act (SARA).

“The decision removed a major legal hurdle that the environmental group Ecojustice said stood in the way of the $7.9 billion Northern Gateway Pipeline project that would bring 550,000 barrels of diluted bitumen crude from Alberta to Kitimat.” [Red & bold emphasis added.]

Key native group in Northern B.C. threatens to stop talks on pipelines (Apr 21) — The Globe and Mail, Toronto, ON

Another crack has appeared in the government’s energy strategy, with a key native group in northern B.C. threatening “to stop discussions [regarding] any and all proposed pipeline development” in their territory.

The Gitxsan Hereditary Chiefs, whose traditional lands near Hazelton lie in the path of several proposed oil and gas pipelines, say they will block those projects unless the government withdraws controversial treaty deals offered to two neighbouring bands.

The declaration comes just days after government officials were kicked out of an aboriginal LNG conference in Fort Nelson. The ejection, made to protest regulatory changes that would have exempted gas plants from environmental assessment, shocked the government, which promptly rescinded the changes. The event raised doubts about the province’s ability to win aboriginal support for an energy corridor across northern B.C.

“The Crown is still running roughshod over our rights. And you can see that all across the North with respect to the energy corridor,” she said.

LNG feedback highlights air quality concerns (Apr 21) — The Chief, Squamish, BC

Late last month, the proponents of the Woodfibre LNG project unveiled their community consultation summary report outlining feedback from a series of meetings in February. Four-hundred and forty-nine people attended either the open houses, group sessions or emailed the company. A total of 142 comment submissions were received in the first round of consultation.

What topped the feedback was comments stating they didn’t want the LNG plant to be built at all. Out of the 142 submissions, 129 voiced their opposition to the project. [Red & bold emphasis added.]

First Nations’ LNG fight takes wing on an eagle’s feather (Apr 20) — The Globe and Mail, Toronto, ON

Sharleen Gale, the young Fort Nelson chief who shook the government last week when she kicked its officials out of an energy conference, knew a showdown was coming and she’d have to be strong.

That’s why she held the sacred eagle feather in her hands when she took the podium at the BC First Nations LNG Summit and – with representatives from about 60 bands and major industry players looking on – told government delegates to get out.

As the stunned officials from Victoria walked out, drums and native chants ringing in their ears, Chief Gale stood at the podium with the eagle feather held defiantly over her head.

The crisis was triggered by a decision the government made weeks earlier – but which people didn’t learn about until Tuesday, while the conference was under way.

Chief Gale became incensed when she learned the government, without any public consultation, had amended the Reviewable Projects Regulation to exempt sweet natural gas processing plants from environmental assessment. The change meant gas plants could be built without any regard for First Nations’ concerns about the environment. [Red & bold emphasis added.]

Canada

Canada pushes whales aside to green light oil pipeline (Apr 21) — Seattle PI, Seattle, WA

[This article also appears under the British Columbia heading, above.]

A quiet announcement in the Canadian Gazette has removed a large, water-breaching marine obstacle from the path of a pipeline and oil super port that Canada’s government wants to build on the north coast of British Columbia.

The government has stripped the North Pacific humpback whale of its “threatened” status under Canada’s Species At Risk Act (SARA).

“The decision removed a major legal hurdle that the environmental group Ecojustice said stood in the way of the $7.9 billion Northern Gateway Pipeline project that would bring 550,000 barrels of diluted bitumen crude from Alberta to Kitimat.” [Red & bold emphasis added.]

North America

‘Jobs vs. the Environment’: How to counter this divisive big lie — The Nation, New York, NY

One starting point for that story is to recognize the common interest both in human survival and in sustainable livelihoods. To paraphrase Abraham Lincoln, if God had intended some people to fight just for the environment and others to fight just for the economy, he would have made some people who could live without money and others who could live without water and air. There are not two groups of people, environmentalists and workers. We all need a livelihood and we all need a livable planet to live on. If we don’t address both, we’ll starve together while we’re waiting to fry together.

Within such a common frame it becomes easier to build alliances around specific issues in the real world. For example, through the Roundtable on Climate and Jobs, Connecticut unions joined with environmental, religious and community groups to fight for renewable energy standards that create local jobs and reduce pollution by shifting from fossil fuels to renewables, energy efficiency and conservation. Elsewhere, workers in the transportation industry have joined with environmentalists to advocate shifting from private to public transportation—something that would create large numbers of skilled jobs, greatly reduce greenhouse gasses and local pollution, and save money for consumers.

[E]nvironmental protection would produce millions of new jobs and expansion of jobs would protect the environment. Such a program provides common ground on which both labor and environmentalists can stand. [Red & bold emphasis added.]

Northeast

The IRS could be the key to fueling America's LNG export boom — The Motley Fool

[This article also appears under the United States heading, below.]

Most Americans paid more in taxes this year. However, thanks to a special tax loophole, energy companies building natural gas export terminals could end up paying no taxes when those facilities come online. That's because a company like Cheniere Energy can put its Sabine Pass LNG export facility into Cheniere Energy Partners, L.P., which is a master limited partnership. Because Cheniere Energy Partners is an MLP, it is a tax-advantaged entity in that it pays no corporate tax, which enables its investors to really reap big profits.

Dominion Resources, on the other hand, is already one step ahead of Sempra as it has already filed to take its MLP public. Dominion Midstream Partners will own a preferred equity interest in Cove Point LNG. The current plan is to use the MLP tax advantage to raise about $400 million from investors to jump-start construction of Cove Point. While that's a small fraction of the proposed $3.8 billion investment to add natural gas liquefaction and export facilities to the existing site, the IPO isn't likely to be the only time Dominion will use its MLP to raise equity capital for this project.[Red & bold emphasis added.]

Webmaster's comment: Big energy just doesn't make enough money exporting America's energy future, so we waive their corporate taxes.

Southeast

LNG terminal in Pascagoula poised to be a player if boom hits (Apr 19) — The Sun Herald, Gulfport, MS

The $1.1 billion Gulf LNG terminal opened near the Bayou Casotte Ship Channel in 2011 to import liquefied natural gas.

But the market changed as U.S. gas production has jumped in recent years and there has been no need for imports.

Now the profit is in exporting. [Red & bold emphasis added.]

Webmaster's comment: The natural gas market had already reversed when Gulf LNG cut its grand opening ribbon. At that ceremony Mississippi Governor Haley Barbour bragged about how Gulf LNG would lower the cost of natural gas to US consumers. He had to know he was lying. Other than commissioning cargoes, Gulf LNG has never received an LNG shipment.

Caribbean

Mystery surrounds Energy World Corporation's coup in Jamaica (Apr 21) — The Sydney Morning Herald, Sydney, Australia

Last week [Energy World Corporation chairman Stewart Elliott and his trusty finance man Brian Allen] pulled off another coup. They managed to swing a mandate from the government of Jamaica to build and operate a 360-megawatt power station.

You have to hand it to the lads. They didn't bother with the finicky process of submitting a proposal to Jamaica's Office of Utilities Regulation along with the other bidders. They lodged their bid late, and straight to cabinet, causing quite an outcry in the Caribbean island. ''Highly irregular,'' said Opposition Leader Gregory Mair.

No matter that EWC has a sharemarket value of $520 million, no matter that it has made a raft of fanciful claims over the years about building LNG facilities which have never come to fruition, EWC didn't win the tender, EWI did.

Otherwise it remains shrouded in mystery. There is no public evidence it is a ''pioneer of modular LNG development'' as purported on EWC's website, nor of its 25-year track record in building power stations. There were reports on internet news services that EWI was constructing a $US1.35 billion ($1.44 billion) port and LNG terminal in Colombo, Sri Lanka, but they proved hard to verify. Even a phone number proved elusive. [Red & bold emphasis added.]

British Columbia

Methane warning for Enviro Minister: LNG development challenge is greenhouse gas 21 times more powerful than CO2 — The Province, Vancouver, BC

VANCOUVER — British Columbia Environment Ministry staff have warned their minister that the province’s dreamed-of liquefied natural gas industry poses some big challenges with greenhouse gas emissions.

“Methane emissions are a particular concern since they have a global warming impact 21 times higher than carbon dioxide,” said one July briefing note.

But emissions remain a hurdle for the provinces, which has legislated targets for reductions. Legislation dictates that emissions are to be reduced by at least a third below 2007 levels by 2020.

B.C. has been underestimating the impact of methane, said Tom Pedersen, executive director of the Pacific Institute for Climate Solutions, a collaboration between the University of Victoria, Simon Fraser University, the University of British Columbia and the University of Northern British Columbia.

United States

The IRS could be the key to fueling America's LNG export boom — The Motley Fool

[This article also appears under the Northeast heading, above.]

Most Americans paid more in taxes this year. However, thanks to a special tax loophole, energy companies building natural gas export terminals could end up paying no taxes when those facilities come online. That's because a company like Cheniere Energy can put its Sabine Pass LNG export facility into Cheniere Energy Partners, L.P., which is a master limited partnership. Because Cheniere Energy Partners is an MLP, it is a tax-advantaged entity in that it pays no corporate tax, which enables its investors to really reap big profits.

Dominion Resources, on the other hand, is already one step ahead of Sempra as it has already filed to take its MLP public. Dominion Midstream Partners will own a preferred equity interest in Cove Point LNG. The current plan is to use the MLP tax advantage to raise about $400 million from investors to jump-start construction of Cove Point. While that's a small fraction of the proposed $3.8 billion investment to add natural gas liquefaction and export facilities to the existing site, the IPO isn't likely to be the only time Dominion will use its MLP to raise equity capital for this project.[Red & bold emphasis added.]

Webmaster's comment: Big energy just doesn't make enough money exporting America's energy future, so we waive their corporate taxes.

British Columbia

Gitxsan step up debate by bringing in natural gas — Terrace Standard, Terrace, BC

A northwest First Nation is accelerating its dispute with the federal and provincial governments over lands to be assigned to other First Nations as part of treaty deals by threatening to stop talking to natural gas pipeline companies.

In a release issued April 17, the Gitxsan say the two governments have no business providing lands they claim to the Kitselas and Kitsumkalum, two Tsimshian First Nations. They’ve given the two governments until June 21 to withdraw the offer of the lands that will make up final treaties for the Kitselas and Kitsumkalum.

“These offers by both governments are unconscionable and without proper notice to the affected Gitxsan Simgiigyet [Chiefs],” said Gitxsan negotiator Bev Clifton Percival.

Editorial: Make decisions out in the open — Time Colonist, Victoria, BC

On Monday, the cabinet quietly passed an order-in-council that would have exempted almost all natural-gas production in the province from automatic environmental reviews. The amendment to the Reviewable Projects Regulation would have also made changes to the assessment process for ski and all-season resorts.

Environmental issues are huge in B.C., and often controversial, so it’s understandable that politicians would like to avoid making a fuss. But it doesn’t help if it looks as if changes are being made on the sly.

The response from First Nations was more than words — provincial officials were kicked out of a First Nations forum on liquefied natural gas in Fort Nelson Wednesday.

On the same day, Polak announced a complete turnaround on the decision and apologized for not having discussions with First Nations on the issue. [Red & bold emphasis added.]

Webmaster's comment: The BC Cabinet owes all BC-ers an apology.

Northeast

Cove Point residents share unease over LNG — SoMdNews.com

“No other facilities have 60-foot walls,” he said. “We will be an experiment.” [Red & bold emphasis added.]

Webmaster's comment: There are 60-foot-tall vapor fences proposed — twice as high as being proposed by Downeast LNG.

Assemblyman says no to proposed LNG port off Rockaway (USA) — DredgingToday.com

Assemblyman Phil Goldfeder (D-Rockaway) together with dozens of his colleagues sent a letter urging Governor Cuomo to strongly oppose the “Port Ambrose” project, a proposed deep-water port facility for liquefied natural gas, based roughly 19 miles off the New York shore.

Alaska

Gas exports to restart (Apr 20) — Petroleum News, Anchorage, AK

DOE issues new export license for ConocoPhillips Kenai Peninsula LNG facility

The U.S. Department of Energy has authorized the renewal of a license for the export of liquefied natural gas from ConocoPhillips’ LNG facility at Nikiski on the Kenai Peninsula to countries that do not have free-trade agreements with the Unites States, ConocoPhillips said April 14. In February the agency issued a similar license for the export of LNG to countries that do have U.S. free-trade agreements. Both licenses run for a period of two years and, individually or in combination, allow for the export of up to 40 billion cubic feet per day of gas.

ConocoPhillips says that, with the licenses having now been issued, it plans to resume LNG exports from the Cook Inlet basin in the spring. The licenses allow the company to export both its own gas and gas that it is shipping for other entities.

Given a recent debate about potential shortages of Southcentral utility gas from the Cook Inlet basin, it may appear counter-intuitive to see the authorization of gas exports from the basin. Indeed, in early 2013 ConocoPhillips, citing uncertainty in the local gas market, mothballed the Nikiski LNG plant when a previous export license expired. [Red & bold emphasis added.]

Webmaster's comment: Despite new natural gas production in the area, ConocoPhillips will be exporting that part of Alaska's natural gas future. If Alaska does not move to renewable energy, it will eventually find itself running out of heating fuel once more.

British Columbia

BC reverses environmental LNG rules (Apr 17) — Resource Investing News, Vancouver, BC

The Vancouver Sun reported that a government decision to exempt 99 percent of provincially produced natural gas from environmental assessment was reversed by the Liberal government and British Columbia Environment Minister Mary Polak on Wednesday. Had the order been passed, natural gas plants producing “sweet” gas would not have had to automatically undergo environmental assessment. [Red & bold emphasis added.]

B.C. kills mandatory environmental review for natural gas, ski resort projects (Apr 15) — Huffington Post Canada

The Orders -- passed without public consultation -- include changes to the Reviewable Projects Regulation under the provincial Environmental Assessment Act, which eliminates mandatory environmental review of new and/or modified natural gas and ski facilities.

"Environmental assessments are supposed to allow the public and regulators to better understand and avoid potential risks. Removing the requirement for an environmental review is not in the public interest." [Brown & bold emphasis added.]

Oregon

Editorial: Local activism remains an important check in the LNG-permitting process (Mar 31) — The Daily Astorian, Astoria, OR

…LNG exports merely perpetuate a corporate-driven “business as usual” attitude, when we should be conserving U.S. energy while avidly pursuing alternatives. Sadly, in a nation where the oil and gas industry warps the outcome of congressional elections and lawmaking, there is scant reason to expect change. [Red & bold emphasis added.]

Passamaquoddy Bay

Coast Guard, RCMP agree to joint patrols (Apr 11) — The Quoddy Tides, Eastport, ME

A new agreement between the U.S. and Canada will allow the U.S. Coast Guard and the Royal Canadian Mounted Police to jointly carry out law enforcement operations in the St. Croix River and the Bay of Fundy. The agreement was signed on April 8 at Coast Guard Station Eastport by U.S. Coast Guard Rear Admiral Dan Abel, commander of the U.S. 1st Coast Guard District, and Assistant Commissioner Roger Brown, commanding officer of the RCMP J Division.

The intent of the agreement is "to deal with the criminal element," says Brown, and not to place a limitation on cross-border traffic. The RCMP and Coast Guard will not be looking at territorial disputes, such as the Grey Zone around Machias Seal Island, or seeking to stop vessels under innocent passage through Canadian waters to reach the U.S. waters around Eastport and Passamaquoddy Bay. While the U.S. government's position is that vessels have a non-suspendable right of innocent passage through Head Harbour Passage, the Canadian government maintains that the waters are internal Canadian waters over which it has control. The dispute has flared up during debates over the Pittston oil refinery proposal for Eastport and the liquefied natural gas (LNG) proposals for Passamaquoddy Bay.

Save Passamaquoddy Bay has already called on Canada to publicly announce that it will not cooperate in the Shiprider program related to LNG ships potentially going through Head Harbour Passage to the proposed Downeast LNG terminal in Robbinston. [Red, yellow & bold emphasis added.]

Webmaster's comment: It is instructive to note that Canada has the right under NAFTA to prevent LNG traffic in Head Harbour Passage. NAFTA is a treaty to which the US and Canada have both agreed. On the other hand, the US is not a party to the UNCLOS treaty that codifies innocent passage for treaty members; thus, the US has no rights under that treaty. Even if the subject waterway were determined to be coastal waters rather than internal waters, Canada would still have the right to declare LNG traffic there non-innocent. The net result is that the US claim of LNG innocent passage is baseless, and the US has no legal standing in international court to challenge Canada on the issue..

Maine & New England

Angus King, other New England senators call for investigation into high natural gas prices (Mar 27) — Bangor Daily News, Bangor, ME

Six New England senators, including Maine Independent Angus King, have called on federal regulators to investigate this winter’s high natural gas prices to ensure that markets functioned properly and that prices were not increased by speculation or manipulation.

In a letter sent Tuesday night to the Federal Energy Regulatory Commission (FERC), Shaheen joined senators Ed Markey (D-Mass), Jack Reed (D-R.I)., Sheldon Whitehouse (D-R.I.), Richard Blumenthal (D-Conn.) and Angus King (I-Maine) in urging the commission to investigate what happened and suggest remedies.

“This shift [the shift to greater natural gas use in New England power generation], coupled with limited pipeline capacity, has contributed in part to the recent increases in spot prices for businesses. Recognizing this trend, New England’s governors recently committed to cooperate on the need to increase natural gas pipeline capacity in the region,” states the letter. [Red & bold emphasis added.]

Huhtamaki in Waterville, Fairfield connects to natural gas (Apr 10) — Morning Sentinel, Waterville, ME

Fairfield is the fifth community in central Maine after Augusta, Gardiner, Hallowell and Waterville to hook up to the 85-mile gasline up the Kennebec River valley.

McMullin said that Huhtamaki had been using liquefied natural gas before switching to pipeline gas under Summit Natural Gas, and the savings have made the manufacturing company more competitive in gaining business and hiring more people. [Red & bold emphasis added.]

Webmaster's comment: Domestic natural gas is cheaper than LNG.

Northeast & Southeast

Long Island protesters to send anti-fracking message to Cuomo at McCarthy event (Mar 31) — Examiner.com

The protesters will remind the governor and his supporters of steadfast and growing opposition to fracking and call on Cuomo to to ban the process of hydraulic fracturing to extract natural gas from shale and veto a plan to build "a dangerous and unnecessary" liquefied natural gas terminal, the Port Ambrose LNG terminal, just off Long Island’s South Shore.

As fracking and natural gas operations have expanded in other states, they have increasingly been accompanied by serious disasters and emergencies. Just weeks ago in Pennsylvania, a natural gas well exploded, killing a worker, shaking homes, sparking a fire that burned for four days, and emitting gas into the atmosphere. In July in West Virginia, a fracking explosion injured at least five people and led to state and federal investigations.

Cove Point and climate change [Blog] (Apr 10) — The Hill, Washington, DC

Maryland small businesses can see the handwriting on the wall: Climate change is going to have a real impact on their bottom lines. That is one reason why 50 small businesses and business associations submitted a letter last week to the Maryland Public Service Commission in opposition to the proposed liquefied natural gas (LNG) project in Cove Point, Md.

Many Maryland small businesses concerned about climate change oppose further reliance on fossil fuels, the destructive impacts of natural gas ‘fracking,’ and projects that make Americans pay the costs for energy we don’t even use since Cove Point LNG is intended for export markets.

Savvy business people understand that the mega-energy companies will rake in the profits from Cove Point, not communities and local business. Studies have found that renewable energy produces more jobs than do fossil fuels per unit of energy delivered. Community-based businesses in our state know that what good for their neighborhoods is good for business – and that’s a big “yes” for more renewable energy and a big “no” for Cove Point LNG. [Red & bold emphasis added.]

Application filed to deliver additional pipeline volumes to Elba Island LNG export terminal (Mar 24) — LNG Law Blog

Elba Express filed an application with FERC to construct compression facilities to transport additional pipeline delivery volumes from its interconnections with Transcontinental Gas Pipe Line in Georgia and South Carolina to the proposed Elba Island LNG export terminal near Savannah, Ga. [Red & bold emphasis added.]

USA: Four LNG Cargoes Imported in Jan (Apr 14) — LNG World News

Three cargoes were shipped from Trinidad and Tobago, and one from Yemen. The Everett LNG terminal received three cargoes while one cargo docked at the Elba Island terminal in January.

There have been no exports of LNG from the United States in 2014.

Caribbean

PHMSA OKs EcoEléctrica’s design spill criteria for LNG pipeline (Apr 10) — LNG Law Blog

The U.S. Pipeline and Hazardous Materials Administration [PHMSA] has filed a letter with FERC stating that it has no objection to EcoEléctrica’s methodology for determining the single accidental leakage sources used to establish design spill criteria for the siting of EcoEléctrica’s LNG Pipeline Project in compliance with PHMSA’s pipeline safety regulations. The pipeline project will interconnect EcoEléctrica’s LNG import terminal in Peñuelas, Puerto Rico to a non-jurisdictional LNG truck loading facility that would be utilized to supply LNG to large end-users in Puerto Rico.

Excelerate Energy and PREPA sign definitive agreements for the Aguirre Offshore GasPort project (Apr 8) — LNG Law Blog

Globe Newswire reports that Excelerate Energy and the Puerto Rico Electric Power Authority (PREPA) have executed definitive agreements for the procurement, construction and operation of the Aguirre Offshore GasPort terminal, proposed for the south coast of Puerto Rico. According to the press release, the agreements include the provision of one of Excelerate’s floating storage and regasification units (FSRU) specifically designed to provide closed-loop regasification services, together with the design, construction and operation of an offshore terminal for the berthing of the FSRU and the reception and transfer of LNG from a wide array of LNG carriers. Pending FERC approval of the project, construction is expected to begin the fourth quarter of 2014.

Gulf of Mexico

Trunkline LNG files application to convert FERC jurisdiction over LNG terminal from Section 7 to Section 3 (Apr 4) — LNG Law Blog

[Trunkline has applied to abandon its Lake Chales LNG import terminal — the terminal now-defunct Quoddy Bay LNG used as a model facility to attract Passamaquoddy Bay-area supporters. —SPB webmaster]

Concurrent with its filing of an application to construct LNG liquefaction and export terminal facilities, Trunkline LNG Company filed an application with FERC to abandon the Lake Charles LNG import terminal facilities certificated under Natural Gas Act (NGA) Section 7(c), and its FERC gas tariff and the services provided thereunder. Trunkline requests that FERC exercise jurisdiction over the entire Lake Charles LNG import and export terminal facilities and services under NGA Section 3 which, according to the application, provides that FERC is prohibited from denying an application for an LNG terminal based on the fact that the applicant intends to use the facility exclusively or partially for its own gas and is also prohibited from conditioning an order approving an LNG terminal on: (1) a requirement that the terminal offer service to any party other than the applicant, (2) any regulation of rates, terms and conditions of service, or (3) a requirement to file schedules or contracts related to the rates, terms and conditions of service with FERC.

Alaska

ConocoPhillips to reopen Kenai LNG plant, resume exports — Juneau Empire, Juneau, AK

ConocoPhillips is restarting its liquefied natural gas plant on the Kenai Peninsula and will resume shipments of LNG in May, the company announced April 14. Five shipments are planned this year, ConocoPhillips spokeswoman Amy Burnett said.

The announcement came as the U.S. Department of Energy issued its approval of exports, also on Monday. DOE authorized the shipment of 40 billion cubic feet of gas over two years.

Exports were stopped in 2012 because of shortages of natural gas in Cook Inlet fields. The gas supply situation has now improved due to new drilling to the point that a surplus would be available for export during summer.

Webmaster's comment: There previously was a panic to import LNG since all available area domestic natural gas supplies had been exported — they exported their energy future, then planned on importing. So, guess what they are doing now? Exporting their energy future.

Washington & Oregon

Blast at Washington LNG site raises alarm on natural gas safety (Apr 10) — Claims Journal

Energy industry experts and opponents of new LNG plants alike said it may spur debate about safe handling of gas for cities increasingly reliant on the clean-burning fuel. At least a dozen new U.S. LNG export facilities are seeking government approval, and some have faced opposition on safety grounds.

“This type of event raises the public’s awareness that we’re dealing with a combustible commodity,” said Teri Viswanath, a natural gas market strategist at BNP Paribas in New York. “We take a lot of precautions in the industry to avoid them, but they do infrequently occur.”

The blast in Washington came a day after utility PG&E Corp was hit with federal criminal charges for alleged safety lapses in a deadly 2010 gas pipeline explosion in California, and weeks after a building in Manhattan was razed by a natural gas explosion, killing eight.

What exporting LNG from Oregon's south coast could mean for the environment (Apr 10) — JPR (Jefferson Public Radio), Ashland, OR

Energy regulators’ first-draft assessment of the Jordan Cove Energy Project’s environmental impact is expected out this spring. That would come on the heels of the approval in March of a permit to export liquefied natural gas (LNG) to countries like China and India.

As a final decision moves closer, here’s a primer on the Jordan Cove Energy Project, from its starting point at an existing gas pipeline in south-central Oregon to the port city of Coos Bay, where ships would load up with LNG bound for Asian markets.

At Issue:

• Salmon Habitat
• Pipeline Ruptures and 'Frackouts'
• Private Property Rights
• Building on a Sand Spit
• Dredging

Canada

Summary of US LNG export projects + Summary of Canadian LNG export projects — Pan EurAsian Enterprises

[This item also appears under the United States heading, below.]

[A table of US and Canadian LNG export projects are provided.]

United States

Squandering America's gas bonanza (Apr 8) — Journal of Energy Security

Comparing the cost per energy source on a heat content basis reveals the degree of the missed economic opportunity of our current utilization of shale gas. The spot price of one million British thermal units (mmbtu) derived from natural gas is about $4.30. The price of US coal is more or less the same. At current oil prices the price of 1 mmbtu derived from oil is roughly $17. This means that from a pure economic standpoint the arbitrage opportunity of replacing coal with natural gas is zero while that of replacing oil with natural gas is $12.7 per mmbtu. Put it differently, at current oil and gas prices the 3.5 trillion cubic feet of gas that the Energy Information Administration assumes the US will be exporting annually as LNG starting next decade is worth $15 billion. If this amount of gas stayed in the US and were used to power cars and trucks it would have displaced, depending on the technology, between 3 and 4 million barrels of oil a day, eliminating oil imports at the cost of $100-$150 billion a year. Instead, the US will be exporting this $15 billion worth of energy only to import an equivalent amount of energy at up to ten times the cost. [Red & bold emphasis added.]

Webmaster's comment: It is all about profits for the oil and gas industry, not what is best for America and Americans.

Ohio geologists link small earthquakes to fracking (Apr 11) — CBS News

COLUMBUS, Ohio -- State geologists in Ohio have for the first time linked earthquakes in a geologic formation deep under the Appalachians to gas drilling, leading the state to issue new permit conditions in certain areas that are among the nation's strictest.

A state investigation of five small tremors in the Youngstown area, in the Appalachian foothills, last month has found the high-pressure injection of sand and water that accompanies hydraulic fracturing, or fracking, in the Utica Shale may have increased pressure on a small, unknown fault, said State Oil & Gas Chief Rick Simmers. He called the link "probable."

While earlier studies had linked earthquakes in the same region to deep-injection wells used for disposal of fracking wastewater, this marks the first time tremors have been tied directly to fracking, Simmers said. Five seismic events in March were all part of what was considered a single event and couldn't be easily felt by people.

Summary of US LNG export projects + Summary of Canadian LNG export projects — Pan EurAsian Enterprises

[This item also appears under the Canada heading, above.]

[A table of US and Canadian LNG export projects are provided.]

Mexico

Mexico bets $1.4 billion on Asian markets: Pemex (Apr 10) — Platts

Mexico plans to build a $1.4 billion "energy corridor" between the Gulf Coast and the Pacific, state energy company Pemex said Thursday, in what appears to be part of a drive to reduce the country's dependence on the US market.

Pemex said the strategy is based on linking the nation's concentration of oil and gas production on the Gulf Coast with potential markets in Asia, Central and South America.

"This strategy will permit fuel exports to the Far East, in order to capitalize on the existing price differentials between North America and the markets in Asia," it said.

Mexican crude exports to the United States have fallen by 43% over the last decade.

Webmaster's comment: Even energy-poor Mexico has gone energy-export bonkers.

Washington & Oregon

Concerns raised about Plymouth evacuation — Tri-City Herald, Kennewick, WA

PLYMOUTH -- Reactions were mixed at a Tuesday town hall meeting in Plymouth about the evacuation process following last week's explosion at a natural gas facility.

Some residents who attended expressed concern there wasn't an efficient plan in place to get residents out and not enough information was released by officials.

"I feel like (Williams officials) are doing their best," he said. "But it leaves me with questions about such a big plant and big corporation, and why warning devices aren't installed."

Webmaster's comment: No public warning system is in place! What does that tell you about FERC's concern for public safety when permitting LNG facilities?

Cause of blast at natural gas facility still unknown — Union-Bulletin, Walla Walla, WA

Officials still do not know what exactly caused the blast. At this point, the investigation is focused on a vessel at the plant designed to remove carbon dioxide from natural gas prior to it being liquefied at minus 260 degrees.

About 65 people attended the meeting at the Plymouth fire hall, with concerns ranging from the plant’s safety record to the emergency response. A three-member panel consisted of Ed Brewer, vice president and general manager of Northwest Pipeline; Barry Orgill, director of operations at the Williams Companies; and Von Studor, manager of the Plymouth facility.

Crews are now in the process of transferring liquefied natural gas from the ruptured tank into the second tank, Studor said, which will allow them to fully assess the damage.

The liquefied natural gas facility does have its own alarm, Studor said, but it is not always heard throughout the community. One resident asked if is possible to install a larger warning system to let people across the area know when something is wrong.

“We’ll consider something like that,” Studor said. “That could be a good tool.”

Webmaster's comment: A warning system "could be" a good tool? Where has FERC and PHMSA been on this issue?

Firefighters on gas leak: "Safety and confidence continues to increase" (Apr 1) — KEPR-TV, Pasco, WA

The number of emergency response workers was cut by about a quarter. First responders still cycled in and out of the plant all day Tuesday, escorting gas workers to assess damage to the giant leaking tank: an arduous process.

While crews were able to put out a fire at the plant late Monday night, we still don't know exactly what cased the explosion in the pipeline in the first place. A voluntary evacuation is no longer in effect, a sign that the danger has subsided.

Earlier in the day on Tuesday, people were asked to sign a waiver if they chose to go back into the evacuation zone. It acknowledged the safety risk of going against the evacuation advice. [Red, yellow & bold emphasis added.]

Passamaquoddy Bay, Bay of Fundy & Gulf of Maine

RCMP, U.S. Coast Guard sign Shiprider agreement — CBC News

Canada and the U.S. signed an agreement Tuesday that removes the international maritime boundary as a barrier to law enforcement.

The Eastern Region International Cross-Border Maritime Law Enforcement Operations, also known as Shiprider, gives the U.S. Coast Guard and the RCMP the power to board ships and make arrests, whether in Canadian or American waters.

The deal includes protocols, such as U.S. boats not being able to mount a preemptive armed patrol of the Canadian coast. But ships [armed Shiprider boats] can cross [to the other country] if intelligence points to crimes, such as human and drug smuggling, even terrorism.

This is the third Shiprider agreement between Canada and the U.S. There are also ones in place for parts of the Pacific Ocean and in the Great Lakes. [Red emphasis added.]

Webmaster's comment: This agreement was signed today at 11 am ET at the Eastport Coast Guard station. For more, see the US Coast Guard media advisary announcing the event.

Washington & Oregon

Plant explosion investigation focuses on pressure vessel — Tri-City Herald, Kennewick, WA

Officials investigating the cause of an explosion last week at a liquefied natural gas storage facility in Plymouth are looking into whether a pressure vessel may have failed.

All the injured have been treated and released from the hospital, including one man who suffered burns to his hands and face.

The blast damaged several buildings at the plant, including a control room and mechanic shop, officials said. Piping and yard valves were also damaged. [Red, yellow & bold emphasis added.]

Webmaster's comment: Piping was damaged, causing LNG to fountain out for over 24 hours. Valves were damaged, perhaps the reason the piping LNG release could not be shut off before an entire day passed.

This demonstrates a serious flaw in USDOT PHMSA and FERC permitting; PHMSA vapor dispersion modeling assumes that valves can be shut off within 10 minutes of an LNG release. That clearly was not the case with this incident.

UPDATE 2: Cause of Plymouth LNG Explosion Still Not Known — LNG World News

A preliminary assessment of the approximately 80-acre facility shows damage to equipment including piping, yard valves and one of the facility’s two LNG tanks. Personnel and authorities are assessing the extent of damage to the tank and have determined it is secure. The company is starting the process to transfer the LNG in the tank to the adjacent undamaged tank. Damage also occurred to several structures on site, including the control room and mechanic shop.

“Although the cause of the incident will not be known until the investigation is complete, at this point the investigation is focused on a failed pressure vessel that removes carbon dioxide from the gas prior to its being liquefied. Neither the full extent of the damage nor plan for repairs is known at this time. Williams Partners’ Northwest Pipeline natural-gas transmission system is operating; there are currently no interruptions to customers,” Williams added. [Red, yellow & bold emphasis added.]

Plymouth meeting to answer questions about gas plant explosion (Apr 7) — East Oregonian, Pendleton, OR

A public meeting is scheduled for 6:30 p.m. Tuesday to answer questions about the recent fire and explosion at a liquefied natural gas plant outside Plymouth, Wash.

Representatives from the Williams Companies, Northwest Pipeline and local first responders will be on hand at the Plymouth fire house, located on the corner of Third Avenue and Nunn Street. [Red, yellow & bold emphasis added.]

Hawaii

Hawaii Gas starts shipping liquefied natural gas to Honolulu facility (Apr 7) — Pacific Business News, Honolulu, HI

Hawaii Gas, which sees LNG as an important step in achieving lower energy costs, took in its first shipment of the fuel last week in a 40-foot container that was transported on a conventional container ship from the West Coast.

“We’re working with multiple suppliers,” Hawaii Gas President and CEO Alicia Moy told PBN recently, although she declined to specify which supplier is brining the LNG in or exactly where it is shipping the fuel from. “It’s been a long road [and] we’re excited about it. It will mean so much to the state if we can bring it in large quantities.”

Webmaster's comment: These LNG shipments are in relatively small containers on container ships, rather than in LNG supertankers such as proposed by Downeast LNG. FERC determined that the Honolulu port receiving the cargo does not constitute an LNG import "terminal"; thus, no FERC LNG terminal permit was required.

Liquefied natural gas arrives in Honolulu (Apr 7) — Hawaii News Now, KGMB-TV & KHNL-TV, Honolulu, HI

HONOLULU (HawaiiNewsNow) - Hawaii Gas' first shipment of liquefied natural gas, or LNG, has arrived. While the contents of the 10,000 gallon tank meet approximately 1/8th of the daily output, the implications are far greater.

"To do any more than this we need to go back and seek commission approval, which we'll do I hope during 2014…about how we might scale this project up, and then start to have a significant impact on the cost of energy in Hawaii" added Joe Boivin, Senior Vice President of Business Development and Corporate Affairs for Hawaii Gas.

Atlantic Canada

Husky Energy Inc eyes Atlantic Canada LNG project to export to Europe, Indonesia (Apr 3) — The Province, Vancouver, BC

TORONTO • Husky Energy Inc. is mulling a liquefied natural gas project in Canada’s Atlantic Coast amid interest from European countries looking to diversify their natural gas supplies away from Russia.

Pieridae Energy Ltd. has also proposed an LNG export project in the Atlantic, while Spain’s Repsol YPF SA is eyeing different uses for its Canaport LNG import terminal in Saint John, N.B. [Red & bold emphasis added.]

Northeast

US gas producers ask: Will a change of direction do them good? (Apr 3) — Platts

The Northeast US, traditionally a large consumer of natural gas, is now also a major supplier thanks to the prolific Marcellus and Utica shale plays. T.L. Hamilton, associate editor for gas, discusses how three pipeline projects intended to move gas toward the Southeast could herald a growing focus on market optionality as producers in the Northeast search for new markets. [Red & bold emphasis added.]

Washington & Oregon

Blast at U.S. LNG site casts spotlight on natural gas safety (Apr 6) — Reuters

(Reuters) - An unexplained blast this week at a liquefied natural gas (LNG) facility in rural Washington state, which injured workers, forced an evacuation and raised alarm about a potentially large second explosion, could focus attention on the risk of storing massive gas supplies near population centers.

The flying debris pierced the double walls of a 134-foot LNG tank on site, causing leaks. Five workers were injured, and local responders warned that vapors from the leaks could trigger a more devastating, second explosion. A county fire department spokesman said authorities were concerned a second blast could level a 0.75 mile "lethal zone" around the plant.

The blast in Washington came a day after utility PG&E Corp was hit with federal criminal charges for alleged safety lapses in a deadly 2010 gas pipeline explosion in California, and weeks after a building in Manhattan was razed by a natural gas explosion, killing eight.

"While notable, the Plymouth event was not especially severe," Maloney said. "But, when you are dealing with very low frequency events, even for an event of limited severity, one data point has the potential to really change statistics." [Red, yellow & bold emphasis added.]

UPDATE 1: Experts Conducting Investigation at Plymouth LNG Facility (Apr 3) — LNG World News

A preliminary assessment of the approximately 80-acre facility shows damage to equipment including piping, yard valves, a compressor station and an LNG tank. Personnel and authorities are assessing the extent of damage to the tank and have determined it is secure and not leaking. Damage also occurred to several structures on site including the control room and mechanic shop; access to buildings is limited pending clearance by structural experts, Williams said.

Although the cause of the March 31 explosion will not be known until the investigation is complete, preliminary evidence indicates that it originated within the fence line of the facility to the west of the LNG tanks in the central portion of the facility.… [Red, yellow & bold emphasis added.]

New England

LNG official says no need to build pipeline — New Hampshire Union Leader, Manchester, NH

The president of New England’s largest distributor of liquefied natural gas says the region’s governors are barking up the wrong tree in calling for a ratepayer-funded pipeline to expand the flow of natural gas into the six states.

Pipeline capacity is really only a problem during the 15 to 40 coldest days of the year, and could be addressed by deliveries of LNG to power plants fueled by natural gas, says Francis J. Katulak, CEO of GDF Suez, which operates the Distrigas terminal in Everett, Mass.

[“Options for Serving New England Natural Gas Demand,” commissioned by GDF Suez and completed late last year] documents that pipeline capacity into New England is sufficient except for an average of 30 days each year, during which time “incremental LNG imports at Distrigas appear to be the most cost-effective solution.”

While Marcellus-area gas is attractively priced, the report notes, a new pipeline to connect New England to the Marcellus Shale would cost about $2 billion.

Webmaster's comment: What a bunch of hooey from a company that has a vested interest in imported LNG. He ignores Maritime and Northeast Pipeline's plan to reverse direction of flow and expand, and demand from two proposed LNG export projects in Nova Scotia. Those projects would rely on US natural gas for two-thirds of the LNG they would export.

Washington & Oregon

Liquid natural gas [sic] blast threw fragments of steel 300 yards — The Bend Bulletin, Bend OR

Photo: Bob Brawdy / Tri-City Herald via The Associated Press
The red circle and red oval marking vapor were added by Save Passamaquoddy Bay.
View larger version on The Bulletin website. (View alternate larger version on SPB website.)

[The large inverted white triangle on the 137 ft-tall LNG storage tank may be frost that formed due to lost perlite* insulation that poured out from between the tank's inner and outer walls when the outer wall was punctured by the nearby explosion. The puncture is at the bottom of the triangle. White vapor can be seen emanating horizontally to the right from the puncture (puncture and vapor maked in the photograph by red oval). Since that vapor is not dropping to ground level, it may simply be water vapor in the air — rather than LNG vapor — that has been chilled by the tank's exposed uninsulated -260°F/-160°C inner wall.

[On the other hand, the white area seen at the left bottom edge of the storage tank is escaping LNG and associated vapor (marked in photograph by red cicle). The LNG and associated vapor are falling to the ground since LNG vapor is heavier than air until it heats up by 100°F. —SPB webmaster]

[* Perlite is a whitish-colored non-flammable ore that, when heated sufficiently, pops much like popcorn. Due to the resulting void within each perlite particle, it makes a very effective insulator. —SPB webmaster]

The Monday blast inside a processing plant at the Williams Northwest Pipeline LNG storage facility outside Plymouth, Wash., injured five people, and left a big gash in the side of an LNG storage tank.

LNG leaking out of the bottom of the tank through a pipe of less than one inch in diameter was stopped Tuesday afternoon when crews were able to shut off a valve, Benton County District Fire Chief Rolland Watts said. Vaporized gas was still leaking from a gash in the outer wall of the 1.2 billion cubic foot storage tank, and blowing away on the wind, presenting little danger. Major piping is all underground and was not damaged.

Swaner said the facility remains offline, and workers have not determined yet whether the stainless steel inner wall of the LNG tank was breached.

Webmaster's comment: This article's headline is misleading. It was natural gas, not LNG, that caused the explosion. The explosion ruptured the LNG tank, resulting in LNG leaking; however, the resulting LNG vapor did not ignite.

It took over 24 hours to shut off the valve to the leaking LNG pipe shown in the photograph. As in Downeast LNG's case, PHMSA regulations require design spill modeling for a mere 10-minute release from an LNG pipe leak — a mere fraction of the actual release time experienced in this incident.

Leak stopped at Plymouth plant, crews to assess damage (Apr 2) — Tri-City Herald, Kennewick, WA

PLYMOUTH — Natural gas is no longer leaking from the base of a storage tank at the 80-acre Plymouth facility rocked by an explosion earlier this week, officials said Wednesday.

Shrapnel from the explosion punctured holes at the base and near the top of the tank, officials said. Several buildings at the facility were also damaged, including a control room, a compression station and a mechanic shop.

Washington & Oregon

Washington gas blast threw metal pieces 300 yards — (AP) ABC News

Authorities said Wednesday the explosion that hit a liquefied natural gas storage facility in Eastern Washington earlier this week threw 250-pound pieces of steel up to 300 yards through the air.

Benton County sheriff's Deputy Joe Lusignan said Tuesday that it was "a little bit of a miracle" that no one was killed.

"It was an extremely powerful explosion, the initial explosion," he said. "Fortunately we didn't have any subsequent ones after that."

The Monday blast inside a processing plant at the Williams Northwest Pipeline LNG storage facility outside Plymouth, Wash., injured five people, and left a big gash in the side of an LNG storage tank.

Some of the debris flew more than 100 yards and damaged the tracks of the main rail line on the Washington side of the Columbia River. Burlington Northern Santa Fe spokesman Gus Melonas said more than 40 trains were delayed until the repairs were completed Tuesday afternoon and normal traffic was restored.

LNG leaking out of the bottom of the tank through a pipe of less than one inch in diameter was stopped Tuesday afternoon when crews were able to shut off a valve, Benton County District Fire Chief Rolland Watts said. Vaporized gas was still leaking from a gash in the outer wall of the 1.2 billion cubic foot storage tank, and blowing away on the wind, presenting little danger. Major piping is all underground and was not damaged. [Red, yellow & bold emphasis added.]

Leak stopped at Plymouth plant, crews to assess damage — The Bellingham Herald, Bellingham, WA

PLYMOUTH — Crews got natural gas to stop leaking from the base of a storage tank at the Plymouth plant, officials said Wednesday.

Nontoxic vapors continue to seep out of a hole closer to the top of the tank, Swaner said. Crews are working to get that leak stopped.

Swaner confirmed all five people injured during the incident were employees of the plant. She said one man still remains in a Portland hospital. He has burns to his face and hands.

“We are going to have to drain material from the tank that is leaking into the other tank,” Swaner said. “That will take some time. We will assess the tank after.” [Red, yellow & bold emphasis added.]

Fire's out, officials seek clues in natural gas facility blast — KATU, Portland, OR

Lusignan said gas continued to leak from the damaged tank, but it was being dissipated by the wind. He said the tank was punctured twice.

He also said residents may notice perlite, a dust-like substance that is similar to sand, in the air. It is nontoxic but it can be an irritant. He said it is from insulation that had been between the two layers of the tank.

A number of experts on Tuesday were investigating the cause of the explosion. They were an engineer from the Washington Utilities and Transportation Commission, an inspector from the U.S. Department of Transportation's Pipeline and Hazardous Materials Administration, and an officer from the Washington Department of Labor and Industries, Lykken said.

The facility is the only one of its kind in Washington that is manufacturing liquefied natural gas, Lykken said. Oregon has a similar facility along the Columbia river west of Portland. [Red, yellow & bold emphasis added.]

Residents return home after US LNG leak — Upstreamonline.com

The leak posed a risk of another explosion, emergency personnel said.

Spokeswoman Michele Swaner told Reuters that early results of the investigation suggest the explosion had occurred in or around the site's control room building, which contains electrical equipment.

Emergency responders told the news wire that the explosion occurred in a "processing vessel" next to the control building. There has been no indication of foul play. [Red, yellow & bold emphasis added.]

Washington state LNG plant all clear after blast — The Maritime Executive

The evacuation stemmed from concerns that ongoing leaks from one of two 134-foot tall tanks at the site, whose walls were breached by shrapnel from Monday's blast, could prompt a second, stronger explosion.

Michele Swaner, a spokeswoman for Tulsa, Oklahoma-based Williams, said on Wednesday that an investigation still underway showed the explosion on Monday had occurred in or around the site's control room building. The control room contains electrical equipment, she said.

[O]n Wednesday, responders said they had pinpointed the explosion to a "processing vessel" next to the control building. It was not clear what the vessel contained.

The explosion "did send shrapnel across the site that penetrated the storage tank and caused damage in many locations, including the operations building," said Jeff Ripley, captain at one of the Benton County fire districts.

The Williams site is known as a natural gas peak-shaving facility, which stores gas in super-cooled liquefied form to augment pipeline gas deliveries in times of peak demand.

On Monday, leaking LNG froze the ground before evaporating into the atmosphere, Swaner said. Workers then turned the valves to shut off one leak and patched the other. The storage tanks are double walled and a layer of volcanic glass [perlite] is used as insulation between the walls. [Red, yellow & bold emphasis added.]

Officials seek clues in natural gas processing facility blast (Interactive Map) — PennEnergy

State and federal regulators looking for what caused an explosion at a liquefied natural gas facility on the Washington-Oregon border (interactive map below) began interviewing injured workers Tuesday as an evacuation order covering hundreds of nearby residents was lifted.

Some gas continued to leak from the tank a day later, but it was being dissipated by the wind, Lusignan said.

The outer wall of the damaged tank was visibly punctured, allowing white insulation to drain out onto the ground, but it's still unclear if the inner wall was affected, said David Lykken, pipeline safety director for the Washington Utilities and Transportation Commission. The natural gas inside the tank is supercooled to a liquid, but is not pressurized, and the top layer is normally in a gaseous state.

LNG blast raises concerns about St. Johns plant — KGW-TV, Portland, OR

PORTLAND -- There are about a hundred liquefied natural gas plants nationwide like the one near Plymouth, Wash. that had an explosion Monday. Many people are unaware that one of those is in Portland, less than a mile from homes and businesses.

It sits just across the river from the St. Johns community, on ground that state geologists say in the event of an earthquake could slide into the river. [Red, yellow & bold emphasis added.]

What does the Plymouth explosion mean for LNG proposals? (Apr 1) — KUOW.org, Seattle, WA

The explosion quickly drew the attention of opponents to LNG export projects on the Oregon Coast. One project, Jordan Cove, is proposed for Coos Bay on the South Coast. The other, Oregon LNG, would be built in Warrenton near the mouth of the Columbia River.

Ted Gleichman, who chairs LNG committee for the Oregon chapter of the Sierra Club, said the explosion in Plymouth should concern regulators and people who live near proposed export terminals.

Passamaquoddy Bay

Pipe explodes at natural gas facility in Washington state (Mar 31) — Bangor Daily News, Bangor, ME

[This article also appears under the Washington & Oregon heading, below.]

A pipeline within a liquefied natural gas facility exploded in a rural area of Washington state Monday and emergency workers continued to work into the evening to minimize the risk of further blasts from a leaking storage tank.

Shrapnel from the explosion within the Williams Cos. Inc. facility caused a leak in one of two LNG storage tanks at the site near Plymouth in southeastern Washington, said Joe Lusignan, a spokesman for the Benton County sheriff’s office.

Five workers were injured by the blast, he said. One worker was burned; four were hit by debris and taken to local hospitals, he said.

Williams spokeswoman Michele Swaner said the company is investigating. The cause of the explosion has not been determined. Emergency responders evacuated workers and residents in a 2-mile radius, officials said.

An earlier fire at the site has been extinguished, but Lusignan said an ongoing gas leak could still ignite. Responders said they were containing liquid leaking from the tank.

Webmaster's comment: Each of the proposed Downeast LNG storage tanks would contain nearly five times the volume of the Williams storage tanks in Washington state. The Downeast LNG tanks would hold 160,000 m³ of LNG, while the ruptured tank in Washington maximum capacity is 1.2 bcf (33,980 m³).

Gulf of Mexico

U.S. review of LNG export plant should weigh shale gas impact -EPA — Reuters

The U.S. environmental regulator has raised concerns that a federal review of Sempra Energy's proposed liquefied natural gas export project did not include an assessment of the potential effects of more natural gas drilling.

The Environmental Protection Agency issued its finding earlier this month. It urged the Federal Energy Regulatory Commission to weigh indirect greenhouse gas emissions and other environmental effects that would flow from the increase in gas drilling needed to support exports from the Cameron plant in Louisiana. [Red & bold emphasis added.]

British Columbia

Steelhead looks at New B.C. LNG export terminal (Mar 31) — Business Vancouver, Vancouver, BC

Another LNG facility will be proposed for the B.C. coast by Steelhead LNG Corp., and the company hopes to file an export licence soon.

"We are looking at more than one site. We’re looking at both floating LNG facilities, as well as a land-based facility."

British Columbia premier uncertain about pipeline, LNG projects (Mar 31) — Reuters

It is impossible to say whether the Northern Gateway oil pipeline or liquefied natural gas projects will go ahead in the near future, British Columbia Premier Christy Clark said on Monday.

The pipeline is fiercely opposed by environmentalists who fear the risk of a spill and the potential for the pipeline to speed the development of Alberta's oil sands. Many of the aboriginal groups, known as First Nations, who live near the proposed route are also fighting to block it.

The federal and British Columbia governments signed labor agreements on Monday which they said would help the LNG plans move forward.

Washington & Oregon

5 hurt in natural gas explosion, many evacuated — KGW-TV, Portland, OR

Officials said the blast likely happened in a pump house at the Williams Northwest Pipeline natural gas facility. The explosion sent a mushroom-shaped cloud towering into the air around 8:30 a.m. and shook nearby homes.

Shrapnel from the blast punctured a liquefied natural gas tank. On Monday afternoon, white gas vapors could be seen seeping out of the tank.

Webmaster's comment: The LNG tank leaked for several hours, beginning around 8:30 am, and lasting at least 24 hours, according to the KGW-TV video, below. This impugns PHMSA's terminal vapor dispersion Exclusion Zone regulation that requires mathematical modeling for a mere 10 minutes! Physics and reality do not magically stop a mere ten minutes after an LNG incident. Downeast LNG's vapor dispersion modeling indicated that the vapor cloud reached the top of the proposed vapor barrier (fence) at exactly 10 minutes after the beginning of the release. That means the vapor would pour over the barrier during the following minute.

The video shows the remains of the destroyed pump house and multiple leaks in the LNG storage tank. There is a blanket of LNG vapor on the ground around the tank, as well as a higher vapor cloud, floating away from another rupture in the tank.

Blast fuels concerns about Ore. LNG terminal — KGW-TV, Portland, OR

Williams' LNG pump building damage and remaining fire from explosion. The same blown-out building's relationship to the LNG storage tank can be seen in the more distant image to the right.	Williams' LNG storage tank was ruptured and leaking in at least two places. SPB has added red circles around punctured areas. White LNG vapor[1] can be seen emanating from the punctures. The left-hand leak of LNG or LNG vapor is spilling out and falling to the ground. The white area at the base of the tank may contain some insulation that leaked out from between layers of the tank, but certainly contains at least some LNG and/or LNG vapor and possibly frost.
Although LNG is colorless, when released from containment it causes moisture in the surrounding air to condensate into a fog, giving a white appearance. Wind is pushing both the ground-hugging LNG/vapor and the air-borne vapor to the right. Both images are screen grabs from the KGW-TV video provided in the station's online news article linked above.

PLYMOUTH, Wash. – An explosion that injured five people Monday at a liquefied natural gas facility in Plymouth, Wash. has fueled concerns about a proposed LNG terminal in Oregon.

A company called Oregon LNG is awaiting federal approval to build a natural gas plant in Warrenton, at the mouth of the Columbia River.

The plant would store and ship up to 9.6 million tons of liquefied natural gas per year. It would be six times bigger than the one in Plymouth, according to the group Columbia Riverkeeper.

The organization is strongly against the plan, saying it's not safe for the people of Warrenton or nearby Astoria. LNG plants should be built in very remote areas, said Columbia Riverkeeper spokesman Dan Serres. [Red, yellow & bold emphasis added.]

Webmaster's comment: The video states that the LNG storage tank was leaking a full 24 hours after the explosion that pierced the tank, impugning PHMSA's terminal vapor dispersion Exclusion Zone mathematical modeling that accounts for LNG releases of a mere 10 minutes! Physics and reality do not magically stop a mere ten minutes after an LNG incident. Downeast LNG's vapor dispersion modeling indicated that the vapor cloud reached the top of the proposed vapor barrier (fence) at exactly 10 minutes after the beginning of the release. That means the vapor would pour over the barrier during the following minute, providing no hazard data for a release that continued for 24 hours, such as happened with the Williams Northeast Pipeline storage facility.

AM update on yesterday's natural gas explosion — KVEW-TV, Kennewick, WA

Workers are continuing the response to the aftermath of the leaking liquefied natural gas storage facility in Plymouth, WA. Late last evening, crews entered the plant site and were able to verify that the earlier work had decreased flames. They were able to verify the effectiveness of the work done during the previous entry, to secure other areas of the facility, and confirm that fires were out.

The work plan for today will include further efforts to identify and resolve any remaining leaks from damaged piping and prepare to deal with the issues posed by the damaged storage tank. The tank was estimated to be holding about 7,000,000 gallons of liquefied natural gas when it was punctured by debris from an explosion. The cause of the explosion has not yet been determined. Liquefied natural gas poses a personal health risk including nausea and difficulty breathing. It is also a volatile explosive. [Red, yellow & bold emphasis added.]

Officials shrink evacuation zone after blast at Washington LNG plant — Reuters

An evacuation zone around a damaged liquefied natural gas facility in Washington state was scaled down late Monday following an earlier explosion as there was a reduced risk of another blast from a leaking storage tank, an official said on Tuesday.

A pipeline explosion at 8:22 a.m. Pacific time (1522 GMT) Monday at Williams Cos Inc's LNG facility near the town of Plymouth in rural southeastern Washington state had hurt five workers and sent shrapnel into one of two storage tanks at the site, according to Benton County emergency responders.

"Liquefied natural gas poses a personal health risk including nausea and difficulty breathing and it is also a volatile explosive," [Richland, Washington's County Emergency Management representative Brian Calver] said. [Red, yellow & bold emphasis added.]

Webmaster's comment: LNG developers such as Downeast LNG's Dean Girdis want the public to believe LNG poses little health and safety risk, and that it cannot burn or explode. While that is literally true when in confinement, the moment LNG is release from confinement, the resulting vapor cloud forms a flammable edge, and if the vapor enters confinement — such as beneath a vehicle, through a window into a room, down a storm sewer, under a pier, etc. — it can explode.

Washington state to investigate explosion at LNG plant (Mar 31) — OPB (Oregon Public Broadcasting), OR

State and federal pipeline safety investigators have been dispatched to the site of an explosion and fire at a liquefied natural gas storage facility in southeastern Washington.

“It’s far too early to know whether this was a failure of a piping material or some human error as far as operations go, so it’s way too early but we’ll be asking all those questions.”

The LNG storage facility at Plymouth, Wash., was inspected last fall and no safety violations were found. [Red, yellow & bold emphasis added.]

Pipe explodes at natural gas facility in Washington state (Mar 31) — Bangor Daily News, Bangor, ME

[This article also appears under the Passamaquoddy Bay heading, above.]

A pipeline within a liquefied natural gas facility exploded in a rural area of Washington state Monday and emergency workers continued to work into the evening to minimize the risk of further blasts from a leaking storage tank.

Shrapnel from the explosion within the Williams Cos. Inc. facility caused a leak in one of two LNG storage tanks at the site near Plymouth in southeastern Washington, said Joe Lusignan, a spokesman for the Benton County sheriff’s office.

Five workers were injured by the blast, he said. One worker was burned; four were hit by debris and taken to local hospitals, he said.

Williams spokeswoman Michele Swaner said the company is investigating. The cause of the explosion has not been determined. Emergency responders evacuated workers and residents in a 2-mile radius, officials said.

An earlier fire at the site has been extinguished, but Lusignan said an ongoing gas leak could still ignite. Responders said they were containing liquid leaking from the tank.

Webmaster's comment: Each of the proposed Downeast LNG storage tanks would contain nearly five times the volume of the Williams storage tanks in Washington state. The Downeast LNG tanks would hold 160,000 m³ of LNG, while the ruptured tank in Washington maximum capacity is 1.2 bcf (33,980 m³).

Explosion at Wash. LNG facility raises questions about terminal near Warrenton — KATU, Portland, OR

“It's too much risk to pose to that kind of community,” [Columbia Riverkeeper Dan Seres] says, “So what we're asking the state to do is to really fully assess this risk. I mean they had to evacuate a two-mile radius around that facility in Plymouth - a facility that's much smaller than the Oregon LNG project.”

Two tanks at the proposed Warrenton facility would hold about six times the amount of liquid natural gas that the tanks at Plymouth do - 6.8 billion cubic feet. [Red & bold emphasis added.]

Jordan Cove silent on Wash. LNG facility explosion — The World, Coos Bay, OR

Jordan Cove Energy Project officials are zipping their lips following an explosion at a liquefied natural gas facility in Plymouth, Wash. yesterday.

Williams owns the Washington LNG facility, Northwest Pipeline, where five were injured and hundreds evacuated following an explosion and fire Monday morning.

Veresen Inc. and Williams each own half of the proposed Pacific Connector Gas Pipeline, which would feed natural gas from Malin, Ore. to Coos Bay should Jordan Cove get federal approval. [Red & bold emphasis added.]

United States

API: Industry to continue to reduce methane emissions without new regulations — LNG World News

Industry is substantially reducing methane emissions from oil and natural gas production through its own leadership and investments, and new regulations would place unnecessary burdens on the development of America’s natural gas, API Director of Regulatory and Scientific Affairs Howard Feldman said in reaction to the climate action plan released by the White House. [Brown & bold emphasis added.]

Webmaster's comment: This could be the natural gas industry's April Fool's joke on America.