News Articles
about
Passamaquoddy Bay & LNG

2008 December

U.S. District Court backs Safe Harbor decision — Energy Current, Houston, TX

WASHINGTON, D.C.: The U.S. District Court for the District of Columbia has dismissed a lawsuit filed by Atlantic Sea Island Group (ASIG) earlier this year.

ASIG filed the suit seeking a preliminary injunction staying a November 2007 decision by the U.S. Maritime Administration (MARAD) that would grant New Jersey "adjacent coastal state" designation as part of the federal review process for the proposed Safe Harbor Energy LNG deepwater terminal. (Dec 9)

The Alaskan Pipeline - A wolf in sheep's clothing? — CNW Group, Canada

"While construction of the Alaskan pipeline will likely have a positive impact on Canada's economy in the shorter term, once it is up and running it will make Alaska into a direct and effective competitor for Alberta and BC's natural gas industry," said Ralph Glass, VP Operations of AJM Petroleum Consultants. "Looking ahead, we have to consider the fact that the Alaskan pipeline will increase natural gas volumes into the US market. This could keep natural gas prices low in future years - low natural gas prices will have a significant impact on future drilling here in Canada."

"In light of the changes that will be inevitable with the completion of the Alaskan pipeline, this is the ideal time to begin aggressively pursuing an LNG and oil export terminal on BC's coast so Western Canadian hydrocarbons can gain access to world markets." [Red & bold emphasis added.]

Webmaster's comments: This is further evidence of the US and Canadian domestic natural gas glut.

Kitimat LNG retooled for export — Project Finance Magazine [Paid subscription required]

The developer of the Kitimat LNG facility has issued a request for expressions of interest in the project's equity, and terminal use or offtake contracts. Privately-held Galveston LNG has changed Kitimat from an import to export ... (Dec 9)

What part of 67% don't they get? [Editorial] — The Daily Astorian, Astoria, OR

Is the fix still in?

The cardinal rule of politics is: Don't surprise. Another important rule is: Don't pick a fight needlessly.

The Clatsop County Commission refuses to learn those lessons. The most recent example is the commission's failure to respond to a two-month-old inquiry from the state Department of Justice. The state asked a very simple question: Whether the Bradwood Landing Land Use Compatibility Statement is still valid since county voters passed the anti-LNG referendum in September. The county's counsel, Andy Jordan, drafted a response, but the commission hasn't approved its transmission to the state. (Dec 8)

Ore. AG-elect rounds out appointments — (AP) KDRV, OR

PORTLAND, Ore. -- Attorney General-elect John Kroger has completed his appointments with a warning he is likely to stir up a little controversy by playing an activist role when he takes office.

One of his new special counsels is Brent Foster, an environmental attorney who has been one of the strongest opponents of liquefied natural gas terminals in Oregon. (Dec 9)

Kroger: Setting himself up to be accountable [Blog] — The Oregonian, Portland, OR

If Foster sets an equally aggressive tone in office, Kroger is sure to win plaudits from environmentalists. But you can bet there will be pushback from the business community claiming that the state is driving out businesses in challenging economic times instead of working with them. Foster's first task appears to be aimed at fighting federal approval of a liquefied natural gas terminal at Bradwood Landing on the Columbia River. (Dec 9)

LNG foe earns state role — The Daily Astorian, Astoria, OR

Liquefied natural gas opponents got a boost Monday when Oregon's Attorney General-elect John Kroger announced his appointment of Columbia Riverkeeper Executive Director Brent Foster to his executive team at the Oregon Department of Justice. 

Foster said he's excited to help Kroger raise Oregon up as a national leader on environmental issues and enforce the state's rights in the LNG terminal siting process. 

"I don't think it should surprise anyone to know the (Oregon Department of Justice) is prepared to move forward and if necessary bring legal challenges to enforce the law," said Foster. "FERC is not above the law." [Red emphasis added.]

LNG opponent Foster gets job in new AG's office — The Hillsboro Argus, Hillsboro, OR

Kroger appoints Riverkeeper director as special counsel for environmental issues

One of the leaders of the fight against proposed natural gas development in northwest Oregon is joining the Oregon Department of Justice as a special counsel.

Brent Foster, executive director of Columbia Riverkeeper, has been one of the public faces of the fight against liquefied gas terminals proposed for the Oregon Coast, and compressed gas pipelines that would deliver that fuel inland.

Peter Hansen, CEO of terminal and pipeline developer Oregon LNG, said he respected Foster for his demeanor in working with the companies proposing the gas projects.

"He's been a professional and worthy adversary, and we wish him well," Hansen said. [Red emphasis added.] (Dec 9)

New Oregon attorney general picks activists for executive team — OregonLive.com

They're not quiet types. They include two activists as special counsels: an environmental attorney who has been one of the strongest opponents of liquefied natural gas terminals in the state, and an elections-law attorney with public employee unions among her top clients. (Dec 8)

State says Oregon LNG has control of site shell company for NorthernStar claimed it had an interest in part of peninsula planned for terminal — The Hillsboro Argus, Hillsboro, OR

NorthernStar is the developer of the proposed Bradwood Landing LNG terminal, on the Columbia River east of Astoria. The Federal Energy Regulatory Commission has approved that project but may revisit its approval next year.

In October, Pinnacle Long, a shell company for NorthernStar, claimed that it has co-tenancy claims on land that would be impacted by the proposed Oregon LNG terminal.

The Department of State Lands, the other tenant of the lands in question, disagreed with that assessment. (Dec 9)

Liquified natural gas terminal would undercut green economy [Op-ed column] — The Hillsboro Argus, Hillsboro, OR

It is unfortunate that the Oregon AFL-CIO's president, Tom Chamberlain, confuses short-term, temporary jobs with the very real opportunities that Oregon is presented with as solar power, wind energy and energy efficiency start to replace costly fossil fuels to make the state's economy strong.

New discoveries of natural gas all across North America have flooded the regional pipelines that supply the entire nation, making LNG imports obsolete.

Chamberlain picks up Northwest Natural's claim that Bradwood Landing would save its customers more than $400 million over 20 years versus other supply options. That figure ignores the fact that LNG is priced according to world demand, which is three times the price of U.S. natural gas. (Dec 8)

Webmaster's comments: The world price of LNG, depending on the day and circumstances, ranges somewhere between twice and triple the cost of domestic natural gas.

 Spain's Iberdrola eyes U.S. LNG import capacity — (Reuters) Interactive Investor

BARCELONA, Dec 10 (Reuters) - Spain's Iberdrola is looking at securing capacity to import liquefied natural gas into the United States as part of its international expansion plans, Jose Simon, director of gas supply at the company said on Wednesday. 

Webmaster's comments: Iberdrola obviously hasn't studied the US domestic natural gas glut.

Global LNG supply to surge to 2012, crunch later-BG — (Thompson Financial News/Reuters) Forbes

BARCELONA, Dec 10 (Reuters) - A 50-percent surge in global liquefied natural gas production capacity over the next three years, at a time of shaky demand, may make for a buyers market in LNG for a few years but the supply crunch will return later, an executive from BG Group plc said on Wednesday.

BG, one of the world's leading LNG companies, estimates that about 14 million tonnes of the super-chilled gas will be sent from the Atlantic basin to Asia in 2008, double the amount sent to Asian buyers in 2007. [Red & bold emphasis added.]

Challenges to Globalizing Natural Gas — Council on Foreign Relations

Some experts predict LNG will take a growing share of the natural gas trade but note that natural gas markets will likely remain overwhelmingly regional.

Unlike oil, natural gas production is not dominated by the places with the largest natural gas reserves. Iran and Qatar have the second- and third-largest reserves after Russia, but both provide only a small fraction of the world's total production--neither country ranks in the top ten global producers. Nearly half of all production takes place in Russia, the United States, and Canada--with U.S. and Russian production dominating.

Jerry Birnbaum, president of the consulting firm Energy Research Associates, says no one really knows the true costs for LNG projects right now. "LNG may be very expensive to produce right now," says EIA analyst Damien Gaul. [Red emphasis added.] (Dec 8)

Neighbours clash over LNG proposal — Telegraph-Journal, Saint John, NB

As [Fundy Baykeeper David Thompson] spoke, many people got up and walked around, talking to each other instead of listening, and others heckled him, screaming "your five minutes is up." (Dec 6)

Webmaster's comments: FERC abets intimidation by hecklers and disruptive behavior, by not enforcing decorum, thus reducing the likelihood that all concerns will be heard — contrary to the purpose of FERC's Scoping Sessions and the public interest.

Public airs LNG concerns — Bangor Daily News, Bangor, ME

Among those who expressed opposition to the facility, Joan Livingstone of Calais questioned the reliability of the project’s financial backing. Calais LNG has said it has backing from the financial firm Goldman Sachs, which has been hit hard in the international economic crisis.

“I am wondering what kind of financing Goldman Sachs is providing and how firm it is,” she said. (Dec 6)

Webmaster's comments: Why did the Bangor Daily News omit reporting the inappropriate behavior of some attendees at this event?

Groups denounce N.J. governor's support of LNG ports — Energy Current, Houston, TX

ASBURY PARK, N.J.: Over 30 organizations from throughout the region released a letter this week denouncing New Jersey Gov. Jon Corzine's support for liquefied natural gas (LNG) ports which is included in his recently released Energy Master Plan for the state.  Three offshore facilities to import LNG are proposed off the New Jersey/New York coast.  (Dec 5)

Regulators give environmental OK to LNG plant — (AP) HometownAnnapolis.com, Annapolis, MD

The environmental impact statement issued Friday by FERC staff clears the way for the five-member commission to vote on whether to approve the project.

AES Corp. wants to build the terminal at the old Bethlehem Steel shipyard at Sparrows Point.

State and local elected officials are virtually united in their opposition to the terminal, saying it would be a target for terrorists and put nearby residents at risk. The terminal would be less than two miles from residential neighborhoods. 

Webmaster's comments: FERC is once again flouting LNG industry standards, subjecting civilians to government-defined LNG Hazard Zones.

Feds give green light to LNG plant —  The Examiner, Baltimore, MD

Baltimore County Executive Jim Smith said he is considering contacting President-elect Barack Obama and his Secretary of Commerce nominee, New Mexico Governor Bill Richardson, to ask that they review the Sparrows Point and other proposed LNG facilities.

U.S. Rep. Dutch Ruppersberger complained that AES  expects Maryland to foot the bill for security measures. (Dec 6)

New vessel speed regulations for U.S. East Coast ports  — The Maritime Executive, Fort Lauderdale, FL

Beginning December 9, 2008, all vessels 65 feet (19.8 m) or greater in overall length subject to the jurisdiction of the United States or entering or departing a port or place under the jurisdiction of the United States will be subject to a 10 knot (over ground) speed restriction at certain times of the year in certain locations along the eastern seaboard of the United States. The regulation, issued by the National Oceanic and Atmospheric Administration (NOAA), is designed to protect North Atlantic right whales. (Dec 4)

Yamhill group tells officials to oppose LNG lines — (AP) KGW-TV, Portland, OR 

A committee appointed to study proposals for two liquefied natural gas pipelines will advise Yamhill County's commissioners to oppose them.

Steve Wick of Gaston, the chairman, says the group is sending commissioners a two-page resolution. The pipelines proposed from coastal plants have raised concern or opposition among landowners. 

Webmaster's comments: The headline and story refer to "LNG pipelines"; however, that's misleading. They're actually LNG-source natural gas pipelines.

A Lose-Lose for Oregon LNG — iStock Analysis, Salem, OR

Major state figures, including the state's Democratic governor, Ted Kulongoski and Democratic U.S. Sen. Ron Wyden oppose the project. So does Washington Gov. Christine Gregoire, noting that the pipeline needed to move natural gas inland from Bradwood would traverse terrain in and around Vancouver, Wash.

None of that matters much either to the current Federal Energy Regulatory Commission, whose five members all are appointees of President Bush, or to NorthernStar. Exactly one day after Clatsop County voted down Bradwood via a local ballot proposition, FERC gave tentative approval to the LNG plant, most of whose product would end up in California.

LNG opponents clash with county — The Daily Astorian, Astoria, OR

Two liquefied natural gas opponents were escorted from the Clatsop County Board of Commissioners meeting Wednesday after making vocal outbursts.

Their protests came as county leaders responded to an inquiry from the Oregon Department of Justice about where the Bradwood Landing LNG project issue stands after the overwhelming vote against running pipelines through park lands back in September. The inquiry follows approval of the Bradwood project by the Federal Energy Regulatory Commission, which has since agreed to take more time to review state objections to the project.

The news that the county had delayed its response to the state further inflamed LNG opponents. Also unanswered is the question of how NorthernStar, the LNG company, will pipe gas from Bradwood Landing to Kelso, Wash., if it cannot put pipes under park lands. (Dec 4)

Webmaster's comments: Regardless of the people's frustration at their county officials, the uncivil behavior demonstrated was inappropriate and counter-productive to their purpose. 

State files complaint on proposed terminal — OregonianLive.com

Gov. Ted Kulongoski and his natural resources agencies are going back to the mat with federal energy regulators over the permit process for another proposed liquefied natural gas terminal, this one in Coos Bay.

The state has made similar complaints about the proposed Bradwood Landing LNG terminal, accusing regulators of rubber-stamping the project, located east of Astoria on the Columbia River.

O&G Industry's New Year's Wish for Washington: ˜Do No Harm,' NGI Reports — iStock Analyst, Salem, OR

Rep. Timothy Bishop (D-NY) introduced a bill (HR 6720) this year to establish a commission to consider changing the approval and siting process for gas pipelines, potentially taking the authority away from the Federal Energy Regulatory Commission and putting it in state and regional hands, as is currently done with electric transmission lines.

The original target of the House bill was liquefied natural gas (LNG) facilities, but in their "zeal" to block LNG, Bishop and the bill's cosponsors are attempting to alter the siting and approval process for gas pipelines and storage, according to Edwards. (Dec 5)

United States: President-elect Barack Obama’s energy and environmental policies — Mondaq

The Obama-Biden Energy Plan calls for the creation of a process for early identification of infrastructure obstacles or possible federal permitting process delays to drilling in Bakken Shale in Montana and North Dakota, unconventional natural gas supplies in the Barnett Shale formation in Texas and the Fayetteville Shale in Arkansas, and the National Petroleum Reserve in Alaska. (Dec 1)

Webmaster's comments: Even President-elect Obama advocates exploiting the vast supply of domestic natural gas, mooting the need for importing LNG in Passamaquoddy Bay.

Liquefied natural gas (LNG) — America’s new energy resource? [Blog] — Bizmology

When I was young, my imagination was captured by the wonderful TARDIS machine of TV’s Dr. Who. (For the uninitiated, TARDIS — for Time and Relative Dimensions in Space — was, on the outside, a police phone booth in which two or three people could fit. But the interior was that of a cathedral size spaceship). So small on the outside, so huge on the inside.

Like the TARDIS, LNG is a fantastic idea. Maybe too fantastic. (Dec 4)

World LNG output may rise at slowest pace in 28 years — Tehran Times, Tehran, Iran

SINGAPORE (Bloomberg) -- Liquefied natural gas production may increase at the slowest pace in 28 years because of equipment breakdowns, reduced gas supplies and delays in new projects, a London-based consultant said.

The output growth estimate for this year is “the lowest since 1980-81 when LNG output fell after the collapse of Algeria- U.S. LNG trade,” Flower said. Production rose 0.4 percent in the first nine months compared with a year earlier, he said, citing data from importing nations.  (Dec 3)