Passamaquoddy Bay
Downeast LNG has one thing going for it — The Chronicle Herald, Halifax, NS
“I can’t see any need for new regas capacity,” says Calgary oil and gas analyst Andrew Potter with CIBC.
Freelance author Peter Morton should be embarrassed by his lack of competency in this article — it is rife with inaccuracies, listed here:
- Downeast LNG is not "the only one left" of three proposals in Passamaquoddy Bay. Two were not "abandoned." Calais LNG is still there, and filed to the FERC docket in February. Quoddy Bay LNG was dismissed (kicked out) by FERC for failing to answer technical questions — it was not "abandoned."
- LNG is not "compressed." It is stored and transported at what is essentially atmospheric pressure.
- Canaport LNG is not operating at about half its capacity. Throughout most of 2011 it operated at around 19%, and more recently has been operating at around 30% capacity.
- Morton misidentifies Robert Godfrey as "head of Save Passamaquoddy Bay 3-Nation Alliance," even though Godfrey is the researcher and webmaster, and indicated his identity to Morton only in those terms.
- Author Morton failed to include in his quote of SPB webmaster/researcher that Maine is expanding its natural gas pipeline distribution system to take advantage of plentiful natural gas supply in the state.
- The US Northeast is not "gas starved," as Morton claims. The two new LNG terminals offshore from Boston have been nearly idle since they went into service, due to lack of need. Canaport LNG has been operating at just a fraction of capacity, for the same reason. Dominion Cove Point LNG in Maryland nearly went out of service in 2011 due to lack of use, and is currently proposing to export LNG supplied from the natural gas-prolific and nearby Marcellus Shale field.
- The "latest energy trend" is not just to export LNG from the West Coast, as claimed — there are far more proposals to export from the US Gulf of Mexico and East Coast than from the West Coast of both the US and Canada.
- Morton malaprops regasification as "regeneration."
Maine
Lack of interest may threaten plans to bring natural gas into downtown Bucksport — Bangor Daily News, Bangor, ME
BUCKSPORT, Maine — A proposal to expand natural gas lines into downtown may not become reality unless more homeowners and businesses along the planned route sign up for service, a representative for the gas supplier said recently.
…Jon Kunz, marketing and sales manager for Bangor Gas, said only about 30 businesses, homeowners and other buildings along the route have expressed an interest in converting to natural gas. At present, the company is still about $100,000 short of the figure needed to move forward with the project, he said.
Kunz said his company is looking for more people and businesses to sign up to justify the expense of constructing the line.
Maine has plentiful availability of natural gas in the pipeline. The problem is the lack of distribution pipelines due to the high cost of costruction as compared to the financial return — the lack of profitability.
Newfoundland and Labrador
Nalcor has looked at natural gas; it won’t work, CEO says — The Telegram, St. John's, NL
Martin explained in painstaking detail why natural gas just won’t work for the province’s electricity needs, devoting two-thirds of his speech to the subject as he addressed the St. John’s Board of Trade.
[A] 2001 study determined that there just isn’t enough demand for electricity to make it worthwhile to build a pipeline.
Liquified natural gas is even more complicated, Martin said. It would need to be shipped here, which is expensive and tricky.
Gulf of Mexico
Shale finds boost LNG export plans (Feb 28) — The Advertiser, Lafayette, LA
“There is nobody who’s been as wrong about a trend as I’ve been,” [Charif Souki, the president and CEO of Cheniere Energy] told about 350 people attending the noon luncheon.
In the early to mid-2000s, he developed a plan to import liquefied natural gas at a terminal in Southwest Louisiana. Then the industry successfully accessed natural gas in shale plays across the nation, resulting in a natural gas boom.
Suddenly, the nation found itself with more natural gas than it needs and prices tumbled, making his import idea not such a good investment. [Red & bold emphasis added.]
Downeast LNG's Dean Girdis comes close to being "as wrong about a trend."
Plans for LNG plant unveiled (Feb 28) — KIII-TV, Corpus Christi, TX
Corpus Christi Liquefaction, LLC, a subsidiary of Cheniere Energy, Inc., invites all interested parties to attend an open house regarding the proposed Corpus Christi Liquefaction Project. The open house is an informal opportunity for you to learn more about the project. Representatives from Corpus Christi Liquefaction and the Federal Energy Regulatory Commission (FERC), the lead federal agency responsible for authorizing liquefied natural gas (LNG) facilities, will be on hand to answer questions regarding the project.
As with all FERC-required open houses, the project developer is under no obligation to tell the public the truth about the project.
Caribbean
FERC issues Notice of Intent to Prepare an EIS for Excelerate's Aguirre project — LNG Law Blog
Yesterday, FERC issued a Notice of Intent to Prepare an Environmental Impact Statement (EIS) for Excelerate Energy L.P.'s proposed Aguirre Offshore GasPort project, proposed to serve the existing onshore Puerto Rico Electric Power Authority's Central Aguirre Power Plant.
Trinidad & Tobago LNG exports to United States fall below Henry Hub price (Feb 28) — LNG Law Blog
Trinidad Express reported today that prices of LNG exports from Trinidad and Tobago to the US have fallen below the Henry Hub price level, potentially affecting the country's budget. However, Trinidad's Energy Minister Kevin Ramnarine told the newspaper that impact of relatively low gas prices in the United States on Trinidad's economy should be limited because most of Trinidad's LNG is shipped to customers in other countries around the world where prices are higher.
Trinidad and Tobago's energy minister previously announced that he anticipates LNG exports to the US to drop to zero, due to the burgeoning US domestic natural gas supply.
Trinidad and Tobago: Atlantic LNG re-certified as STOW company (Feb 28) — LNG World News
In its continuing drive to help raise safety standards in the local energy sector, LNG producer Atlantic was recently re-certified as a Safe To Work (STOW) company.
Alaska
USGS: Alaskan North Slope may hold up to 80 Tcf of shale gas (Feb 28) — LNG World News
Primarily due to economic and infrastructure considerations, production has never been attempted from these Alaska North Slope shales, which span most of the North Slope but are largely absent from the environmentally sensitive Arctic National Wildlife Refuge.
There is a large range of uncertainty associated with these assessment numbers, because of the uncertainty associated with estimation of undiscovered, continuous resources in source rocks from which no attempt has been made to produce oil or gas. However, the recent success of shale oil and shale gas development in the lower-48 states demonstrates the technical viability of such resources. Therefore, this new USGS assessment provides an estimate of potential resources that may be technically viable in this frontier region.
British Columbia
Natural gas glut hits home for those in northern B.C. (Feb 28) — Calgary Herald, Calgary, AB
Over-supply and unseasonably low demand have major energy companies like Talisman and Encana announcing cuts in production, and already Fort St. John-area service companies are feeling the pinch.
[T]he Montney is rich with what is referred to as wet gas, a mixture of liquids from oil to butane, which, Mohr said, makes the wells more profitable than dry gas wells.
“You can produce some of those liquids-rich shales at very low natural gas prices and still be quite profitable,” she said.
Canada
Get Canada’s energy to Asia [Opinion column] (Feb 27) — Financial Post, Don Mills, ON
Canadian natural gas, “trapped” in the North American market, is currently trading under $3 per million cubic feet (mcf), whereas today’s natural gas price in Japan net of LNG processing and shipping costs is around $13 per mcf. The price-arbitrage potential of up to $10 per mcf to Canadian producers if we had access to Asian markets for our gas would bring billions of dollars of additional income to Canada, given our daily gas production potential.
Canada faces the twin challenges of discounted prices for its oil and gas exports to the U.S. marketplace today, and declining future U.S. demand for our oil and gas exports. In contrast, Canada has the capacity to expand substantially our unconventional oil and gas production over the next several decades, contributing appreciably to real GDP growth and incomes in Canada, provided there is rising demand to purchase our increasing supply. Security of energy demand is a real and present issue for Canada’s long-term economic prospects.
United States
Securing certain dangerous cargoes (Winter 2011–2012) — Proceedings, US Coast Guard
The following link will download a PDF file (103 MB) — SPB webmaster
[T]he Coast Guard identifies bulk CDC transits, transfers, and storage as one of the highest daily security risks on U.S. waterways and has embarked on a risk-based approach to CDC security. This strategic and tactical approach considers the reality of limited federal resources against the significant consequences of a successful terrorist to ultimately establish and manage an acceptable CDC security risk. Primary to this approach is developing a national certain dangerous cargoes security strategy and implementation plan that spans the security spectrum from awareness, prevention, and protection to response and recovery.
CDCs Defined
Certain dangerous cargoes [CDCs] are defined in 33 CFR 160.204 as products having chemical properties such as toxicity, flammability, and reactivity that, if released, could produce devastating consequences on surrounding cities/towns, and/or critical infrastructure and key resources.
While the regulation includes more commodities than the ones specifically noted below, the following are considered the most hazardous (generally when carried in bulk), and are the ones on which the Coast Guard currently focuses to reduce their vulnerability to attack:
RESPONSE: Dynamically assess the potential consequences of intentional attacks and mitigate, through coordinated response, the impact of a successful attack. This goal focuses on the first part of the “consequence” element of the risk equation, allowing the sector commanders to assess USCG and community response preparedness and appropriately allocate USCG resources. [Red & bold emphasis added.]
"Community response preparedness" in Passamaquoddy Bay is impossible to achieve, since Canadian communities will not participate in establishing preparedness, disqualifying Downeast LNG's project from receiving LNG.
The misfortune of having shale gas — iStockAnalyst.com
Almost 90 percent of the natural gas consumption in the United States in 2010 was produced domestically, according to Energy Information Administration (EIA). Thus, the supply of natural gas is not as dependent on foreign producers as is the supply of crude oil, and the distribution system is less subject to interruption.
The availability of large quantities of shale gas should enable the United States to consume a predominantly domestic supply of gas for many years and produce more natural gas than it consumes.
[T]hough shale gas reserves will give the US economy a cyclical advantage compared to its current position, the economic incentives for US firms to pursue energy efficiency are likely to be less than they are in those countries with fewer energy resources. [Red & bold emphasis added.]
U.S. energy story no one's telling — Stockhouse
As you know, new technologies have "unlocked" massive amounts of natural gas right here in the U.S. These resources are so enormous we're now the "Saudi Arabia of natural gas." Within a few short years, we'll be exporting liquefied natural gas (LNG). We'll see thousands of trucks converted to run on natural gas. And hundreds of natural gas-gas stations will pop up all across the U.S. [Red & bold emphasis added.]
Maine
Capitol for a Day: Madison (Feb 24) — The Portland Press Herald, Portland, ME
LePage gets questions ranging from a natural gas line to public funding of religious schools.
Madison residents are considering whether the town should borrow $72 million to start its own natural gas company. Meanwhile, Kennebec Valley Gas is proposing a pipeline from Richmond to Madison.
Natural gas is in ample supply in Maine. Low or negative profit is the inhibitor preventing availability in small rural communities.
Northeast
Weaver's Cove project is gone but LNG fight goes on - AG Kilmartin seeking to prevent future terminals near RI [Press release] — Rhode Island Government
The controversial Weaver's Cove LNG terminal project was abandoned over a year ago, in June 2011, but Rhode Island Attorney General Peter F. Kilmartin continues his effort by seeking standards that would help prevent such a project in the future.
..."USDOT has continually failed to establish minimum safety standards for determining the location of LNG facilities and has only established minimum federal safety standards for the design of those facilities. We seek to correct this to prevent another unsuitable proposal like Weaver's Cove in the future."
AGs seek to fend off LNG’s return (Feb 24) — East Bay RI, Bristol, RI
[Rhode Island Attorney General Peter F. Kilmartin] said that “USDOT has continually failed to establish minimum safety standards for determining the location of LNG facilities and has only established minimum federal safety standards for the design of those facilities. We seek to correct this to prevent another unsuitable proposal like Weaver’s Cove in the future.”
FERC vacates authorization for Crown Landing LNG project (Feb 24) — LNG Law Blog
Yesterday, FERC issued an order vacating the authorization and certificate the Commission previously issued for the Crown Landing LNG import and regasification project. This order, available in FERC's eLibrary under Docket No. CP04-411, also vacates the authorization for pipeline infrastructure associated with the Crown Landing LNG project. [Red & bold emphasis added.]
Hess Energy, the owner of the Crown Landing LNG terminal project, had previously withdrawn from the project (see Save Passamaquoddy Bay's January 8th announcement on this topic).
Gulf of Mexico
Cheniere: Sabine 1,2 train construction start in H1 2012 (USA) (Feb 24) — LNG World News
Cheniere is advancing towards making a final investment decision on the first two liquefaction trains, which is subject, but not limited to, obtaining regulatory approval from the Federal Energy Regulatory Commission (FERC) and obtaining financing. Cheniere estimates that the costs to construct the first two liquefaction trains will be approximately $4.5 billion to $5.0 billion, before financing costs. The company expects to finance the first two liquefaction trains with a combination of debt and equity. Construction is expected to commence in the first half of 2012.
Fire at Louisiana natural-gas plant Is under control, KATC says (Feb 24) — Bloomberg Businessweek
Feb. 24 (Bloomberg) -- A fire broke out at the CDM Max LLC natural-gas processing plant in Acadia Parish, Louisiana, after an explosion today, injuring one man, according to a report by KATC Channel 3 in Lafayette.
The fire at the Basile plant is under control and the state police is allowing it to burn out, according to the report. The man suffered burns to his upper body and is in stable condition after being airlifted to a local hospital, according to katc.com, the station’s website.
CDM Max is a subsidiary of Plains All American Pipeline LP in Houston. The Basile plant straddles the Pine Prairie Energy Center header system accessing liquefied natural gas imports and is connected to pipelines serving the region, according to the company’s website. [Red emphasis added.]
Just as with a large LNG-release conflagration, such fires cannot be extinguished.
Alaska
Gassy Alaska could have even more gas: USGS (Feb 24) — Calgary Herald, Calgary, AB
The United States Geological Survey revealed the state could have at least three times more recoverable gas than previously estimated, thanks to its vast shale.
Problem is, there is no pipeline to get all the gas to markets, either in North America or globally. Asian buyers of liquefied natural gas are paying huge premiums to North American gas prices, with Japan leading the way due to last year’s tsunami that knocked out nuclear power generation (last November, LNG prices in Japan reportedly hit a high of $16.96 per million British thermal units).
British Columbia
BC's great gas rush: Past as prologue in Province's resource sector — Pacific Free Press, BC
The Great Natural Gas Footrace: Where have we seen this before?
In approaching the topic, I concluded that we are still – like it or not – mired in the old economy, especially when one considers our provincial government’s fixation on rushing British Columbia’s finite fossil fuel resources for export to Asian markets. Where have we seen this before?
The need to change how we manage our publicly owned natural assets is obvious when you look at the stresses and strains that our northern forests, water resources and water-derived hydroelectricity sources are under as natural gas developments in the northeast of the province accelerate. The most necessary changes lie in ratcheting down how much we extract and paying a lot more attention to our critically important water resources, which are the foundation of a healthy environment and economy.
Much like Clark and Coleman are doing now with our gas resources, previous premiers and forests ministers have done with our forest resources. Footraces were embraced as the solution to the challenges posed by the mountain pine beetle. The end results were wholesale, quite indiscriminate rushes to “salvage” log as much forest as possible, with little regard for the diversity and complexity of the forests being logged.
This is a strategy? [Op-ed column] (Feb 24) — Kitimat Sentinel, Kitimat, BC
On the bright side, what we do know, based on Clark’s earlier statements to the Northern Sentinel and the Energy ministry’s clarifications, is that BC Hydro can meet the power demands of the KM LNG first phase and BC LNG Co-op projects.
Beyond that, there is clearly a problem - the province doesn’t currently have the power needed to run any other LNG plants.
B.C. to extend $120-million oil, gas credits (Feb 24) — The Vancouver Sun, Vancouver, BC
The government expects this instalment of the program, which has been in effect since 2004, to foster development of liquefied natural gas plants at Kitimat, and a pipeline opening the gas fields in the province's northeast to new markets in Asia.
[Travis Davies, of the Canadian Association of Petroleum Producers,] said oil and gas activity in B.C. has remained relatively robust because of the potential for a liquefied natural gas pipeline to Kitimat and development of LNG terminals there.
Energy billions passing Canada by (Feb 24) — Edmonton Journal, Edmonton, AB
While the stage is set for Canada to stake out a long-term role in meeting Asia's growing energy needs, the window of opportunity is narrowing rapidly.
[Canadian LNG export players are] knocking heads with each other in a bid to secure supplies. According to CIBC World Markets, producers have thus far locked up less than a third of the 57 trillion cubic feet (Tcf) of reserves they'll need to support their ambitious export plans.
United States
Push to export natural gas could threaten U.S. energy security (Feb 24) — Forbes
Of course, exports could ease the U.S. trade deficit and stimulate job growth. But as the science accumulates, concerns grow about fracking’s contribution to water pollution (National Academy of Sciences, Human and Ecological Risk Assessment), air pollution, and earthquakes. If all factors are weighed and not externalized, the cost-benefit analysis of LNG export terminals may turn out to be unfavorable.
Advisory reminds pipeline operators about post-incident testing (Feb 24) — Occupational Health & Safety
The Pipeline and Hazardous Materials Safety Administration issued the new bulletin in response to NTSB's report on the San Bruno, Calif., explosion.
A new advisory bulletin from the Pipeline and Hazardous Materials Safety Administration reminds operators of pipelines and liquefied natural gas (LNG) facilities to conduct post-accident drug and alcohol tests of covered employees. Advisory Bulletin ADB-2012-02 explains who qualifies as "covered employees" and also notes that the term "accident" includes both "incidents" reportable under 49 CFR Part 191 regulations and "accidents" reportable under Part 195. [Red emphasis added.]
Mexico
TransCanada to extend Tamazunchale natural gas pipeline in Mexico (Feb 24) — Oil & Gas Journal
The company last year finished work on it 310-km Guadalajara Pipeline, delivering gas from an LNG regasification terminal near Manzanillo on Mexico’s Pacific Coast to Guadalajara and also underpinned by a 25-year CFE contract (OGJ Online, May 7, 2009).
Northeast US
Shell, BP eye Cove Point LNG - report — Fox Business
LONDON – European oil majors Royal Dutch Shell PLC, BP PLC and Statoil ASA have had preliminary talks with Dominion Inc. about exporting natural gas from its proposed liquefaction facility at Cove Point, Maryland, industry journal Upstream reports on its website Thursday.
Dominion is among the firms leading efforts to export cheap and abundant U.S. gas to higher value markets in Asia and Europe. The company plans to turn the Cove import facility into a liquification plant and is seeking U.S. government permission to export up to 1 billion cubic feet of natural gas per day for 25 years.
Gulf of Mexico
DOE sets comment and intervention deadline for Cameron LNG export application proceeding — LNG Law Blog
The U.S. Department of Energy (DOE) has set April 23, 2012, as the deadline for public comments and interventions in the Cameron LNG export application proceeding for non-free trade agreement countries.
Alaska
January strained gas supplies but help's coming (Feb 11) — Anchorage Daily News, Anchorage, AK
Let me recap the problem: Our supply of gas in Southcentral Alaska is running down. In a serious cold snap the system is stretched thin and any equipment malfunction, like a compressor failure, could endanger the sole source of our heating and a big part of our power generation.
We've known about this for some time and there have been some narrow escapes in the past, although until recently we had the Kenai natural gas liquefaction or LNG plant as a backup. Several times in years past the plant operator, Conoco Phillips, stopped making LNG for export during cold weather and shifted its gas to the utilities.
This winter we don't have the LNG backup (the plant is mothballed), and a gas storage facility now under construction near Kenai won't be ready until next winter. For now we're in a kind of limbo.
This is an example of selling one's energy future; although, Alaska has narrowly escaped a bullet this winter. Plus, more Alaska natural gas supply is coming online — enough, even, that the ConocoPhillips LNG export terminal will be back to exporting again late this year — continuing to export Alaska's energy future.
British Columbia
Transport Canada gives Enbridge nod for supertanker route — CTV News
The Gateway project would bring a total of 250 new vessels a year. Proposed new natural gas terminals could bring that total to 415 “additional oil tankers, liquefied natural gas carriers and bulk carriers calling at Kitimat, or 830 additional transits of the waterways,” Transport Canada found.
Comparing two carbon bombs: Liquid Natural Gas plants vs. Enbridge pipeline (Feb 9) — Rabble.ca
With the spotlight on the federal government's aggressive push to export tar sands bitumen via the Enbridge Northern Gateway pipeline to Kitimat, and from there by tanker on to China, the B.C. government reclaimed some attention on the energy file when it released its Natural Gas Strategy last week. With lots of glossy pages, but little detailed content, it is reflective of Premier Clark's signature style. The short of it is that shale gas from B.C.'s Northeast is to be pipelined to Kitimat and loaded onto tankers in liquid form (LNG) to be exported to China. Between LNG and Enbridge, little Kitimat is poised to become an export platform for the two most environmentally controversial practices of the oil and gas industry -- shale gas and tar sands extraction -- all to appease the endless appetite for energy coming from the curious blend of totalitarian police state and unbridled capitalism that is modern China.
United States
Continued growth in shale gas and offshore drilling and production throughout the US — Engineer Live, London, England, UK
US shale gas development – in particular liquid rich plays – are set to enjoy years of growth with production estimated to reach 30 billion cubic feet per day (Bcf/d) by 2020, according to a US energy sector report from EIC Consult, the market research and consultancy arm of the Energy Industries Council (EIC).
According to the report, shale gas development will continue to progress with liquid rich plays the main targets, due to low gas prices and high oil prices. Daily production from shale gas increased from one billion cubic feet per day (Bcf/d) in 2003, to almost 20 Bcf/d by mid-2011 and could reach 30 Bcf/d by 2020, the report estimates.
Natural gas boom won’t stall U.S. renewables — The Energy Collective
[W]hile fracking to unlock America’s shale gas reserves poses a near-term threat to the rate of utility-scale renewable energy development, it offers significantly lower risk to growth of domestic renewable energy just a few years out.
That’s in part because natural gas faces significant upward pricing pressure. Increased regulation, long-term underperformance of production wells, and higher-priced drilling leases all should push prices up on the supply side. On the demand side, increased use of compressed natural gas in vehicles, exporting of liquefied natural gas, and, most significantly, increased natural gas demand for electrical generation, replacing coal, also should elevate prices.
Natural gas outlook: Re-exports of LNG grew in 2011 — Drovers Cattle Network
A total of 53.4 billion cubic feet (Bcf) were re-exported in 2011, compared to 32.9 Bcf in 2010. Re-exports of foreign-sourced LNG from U.S. LNG terminals exceeded 12 Bcf in January 2011, equivalent to about 30 percent of U.S. LNG import volumes during that month. There are currently three U.S. LNG terminals that have been granted Federal approval to re-export LNG: Freeport in Texas, and Sabine Pass and Cameron in Louisiana.
Chesapeake Energy and Westport Innovations look to benefit from evolving natural gas market [Press release] — MarketWatch
According to an energy sector report from EIC Consult, the rise in shale gas development has led to a number of Liquefied Natural Gas (LNG) terminals being converted from import to export terminals and LNG exports doubling between 2009 and 2011. By July 2011, imports were down 44 percent year-on-year, according to Reuters, with imports at the lowest monthly level since December 2002. At the same time exports almost doubled from 33.355 Bcf (billion cubic feet) in 2009 to 64.793 Bcf in 2010 - a result of the re-exportation of LNG imports. [Red & bold emphasis added.]
North America
North American natural gas production to rise even as spending falls — Financial Post, Don Mills, ON
It has come to this: Even though natural-gas spending in North America is estimated to decline by 40% and gas well drilling is set to fall by 50% in North America in 2012, ratings agency Moody’s expects overall natural-gas production to rise over 2011 figures.
The glut has resulted in an embarrassment of riches across North America, bringing natural-gas prices to their lowest point in a decade, but leaving some producers out of the boom. [Red & bold emphasis added.]
The great gas debate — Climate Spectator
The gas industry has promoted shifting to gas as the panacea to cut greenhouse gas emissions. A recent study by climate specialist Tom Wigley has challenged this. Wigley uses a climate model to explore the year-by-year warming effects of replacing half of global coal use with gas by 2050 (phased in at 1.25 per cent additional coal replacement each year to 2050). He includes a range of options for methane leakage from gas production from zero to ten per cent. This provides some interesting insights.
...
Second is the impact of increasing gas consumption, which depends on how much methane leaks during production, the amount and type(s) of energy used for processing, liquefaction and regasification (if sold as LNG), transport, and the efficiency of gas usage compared with the coal it replaces. Wigley assumes all extra gas is used at 60 per cent efficiency to produce electricity that replaces 32 per cent efficient coal-fired electricity. He ignores LNG (liquified natural gas) production and transport (which, according to the Worley Parsons industry study data adds 22 per cent to gas CO2 emissions). So Wigley’s assumptions are generous to gas.
Gulf of Mexico
FERC to conduct onsite environmental review for proposed Corpus Christi LNG Liquefaction project — LNG Law Blog
FERC announced yesterday that its staff will "examine the proposed [Corpus Christi] liquefied natural gas terminal site and pipeline route" on February 28, 2012, in order to "assist staff in completing its comparative evaluation of environmental impacts of the proposed projects." FERC staff will also attend the open house hosted by Corpus Christi LNG project developers later that evening.
British Columbia
LNG and Pacific Trail Pipeline a go — Vanderhoof Omineca Express, Vanderhoof, BC
Vanderhoof council meeting February 13, saw presentations to mayor and council. The Apache Corp presentation was by Marc Douglas, describing the Pacific Trail Pipeline. His update was in regards to their proposed underground liquid natural gas (LNG) pipeline that will start north of Prince George and go due west to Kitimat to an LNG holding facility and shipping terminal.
“All major provincial and federal permits are in place,” to begin constructing the line, Douglas informed council.
Mitsubishi accelerating analysis of Canadian LNG export projects — LNG Law Blog
Mitsubishi Corporation told Platts yesterday that it plans to accelerate its feasibility analysis of the proposed Canadian LNG export projects. This statement follows Mitsubishi's investment in Encana Corporation's Cutback Ridge gas play in northern British Columbia.
Canada: Oh Canada - Significant developments in Canadian energy - January 2012 — Mondaq
BC LNG received approval from the National Energy Board for a license to export LNG near Kitimat, British Columbia. The license is the second of its kind, following on the heels of the license granted to Kitimat LNG last year, and will permit the export of 36 million tonnes of LNG over 20 years, with a maximum of up to 1.8 million tonnes of LNG per year. The project, currently comprised of 13 members, will operate as a cooperative made up of LNG buyers, marketers and natural gas producers who will bid to purchase LNG or provide natural gas to be liquefied.
Slow and easy will win energy race (Feb 14) — The Vancouver Sun, Vancouver, BC
What neither Clark nor Coleman seems [sic] keen to talk about is just how much stress B.C.’s water resources and hydroelectric network will be under to fuel several proposed LNG terminals on our coast.
Six companies or consortiums are eyeing gas exports from B.C., most recently British natural gas giant BG Group PLC, which is kicking the tires in Prince Rupert. Their power demands combined would swallow at least one-quarter of B.C.’s projected hydroelectric supply in 2016.
Oregon
Oregon Senator wants larger role for state in LNG export proceedings — LNG Law Blog
Senator Jeff Merkley (D-Ore.) told a town hall meeting yesterday that he believes Oregon should have a larger role in the permitting process for LNG projects. KCBY.com provides further coverage.
United States
UPDATE 1-Japan wants to seal U.S. LNG import deal in spring -media — Reuters
TOKYO, Feb 22 (Reuters) - Japan is hoping to reach an agreement to import liquefied natural gas (LNG) from U.S. projects in Louisiana and Maryland at a bilateral summit meeting slated for this spring, the Yomiuri newspaper said on Wednesday.
Record U.S. natural gas production, thanks to new drilling techniques, has led to a series of rival export proposals all hoping to sell LNG to higher paying, thirsty markets in Asia and Europe.
Govt in talks with U.S. to import natural gas (Feb 23) — The Daily Yomiuri, Japan
The government has asked the U.S. government to grant permission for the export of liquefied natural gas (LNG) produced in the United States to Japan, according to sources.
U.S. production of natural gas is on the rise thanks to technological advances. The two states' projects are projected to result in exports of 17 million tons of LNG a year.
Japan in talks with U.S. to import LNG: report — MarketWatch
Fujimura said at a news conference that the expansion of shale gas production has lowered prices for natural gas in the U.S. market and he voiced the hope that imports from North America would ensure Japan a "stable supply of natural gas."
"It is true that we are lobbying the U.S. (on our LNG imports) at various levels, and Japan would like to proactively promote imports of natural gas from North America," the chief Cabinet secretary said.
Exporting natural gas will be good for America [Opinion column] — The Hill, Washington, DC
American consumers and businesses are currently reaping a windfall from the lowest natural gas prices in years. Cheap gas has reduced heating and electric bills for millions of households, while industries using natural gas as a feedstock or boiler fuel have realized huge production cost savings. But at the same time $2.50 gas at the wellhead has caused many drilling companies to reduce production and move their rigs to more profitable oil plays. Simply put, the current price for natural gas is too low to sustain the pace of drilling and production that has occurred in recent years.
As with all commodities, the price of natural gas is determined by supply and demand. Today the supply is abundant, a consequence of the shale gas revolution, while demand is muted due to a sluggish economy and relatively mild winter. Because of America’s large and growing reserves of natural gas, potential supply will exceed anticipated domestic demand for many years to come. [Red, brown & bold emphasis added.]
Oil, natural gas, and gasoline prices certainly do not follow the assertion that all commoditiy pricing is a function of supply and demand.
Natural gas production has continued to soar — and is projected to do so for years — despite low prices and low demand. Natural gas is frequently a byproduct of drilling for oil and drilling for "heavy" hydrocarbon fuels such as propane. Sometimes, natural gas is produced at essentially no cost to the driller.
Pricing is frequently a function of the mood of the market — or of market manipulation — not of actual supply and demand.
Fitch U.S. natural gas exports face long-term challenges (Feb 14) — OilVoice
The combination of shale gas reserves and weak economy has pushed prices to a level approaching the marginal cost of production. We expect the recent low prices for natural gas to continue, as supply should remain high. The U.S. Energy Information Administration projects shale gas production to increase from 5.0 trillion cubic feet in 2010 to 13.6 trillion cubic feet in 2035. We also expect the Department of Energy to continue to grant licenses to construct or reconfigure LNG terminal facilities to increase the volume of exportable resources. However, several risks have been identified in this scenario that could disrupt this expansion and the securities funding them.
North America
Can North America become bigger than Qatar as the World's leading LNG exporter? [Press release] — Bradenton Herald, Bradenton, FL
Cheniere's latest SpA with KOGAS has once again launched North America into the headlines. Jean Abiteboul, President, Cheniere Supply & Marketing, will be giving a keynote presentation at the LNG Export Forum North America in Houston on the 16 - 18 May 2012, and will also give updates on the Sabine Pass - the launch of the first US LNG export terminal.
Passamaquoddy Bay
Save Passamaquoddy Bay renews call for dismissal of Calais LNG project (Feb 20) — LNG Law Blog
Save Passamaquoddy Bay has again asked FERC to dismiss the application of Calais LNG to construct and operate an LNG import terminal, stating that the project does not have adequate financing nor control over the proposed project site. [Red & bold emphasis added.]
Calais LNG does not have legal standing to remain in the FERC permitting process.
US East Coast
FERC ALJ grants request to suspend schedule for Cove Point LNG rate case (Feb 20) — LNG Law Blog
Curtis L. Wagner, Jr., chief administrative law judge (ALJ) for FERC, has granted a request to continue the suspension of the Cove Point LNG rate case to allow the parties to continue their settlement negotiations until March 16, 2012. The parties must file a status report if there is no settlement in writing by the deadline.
Gulf of Mexico
Open house planned for Cheniere LNG Corpus Christi Bay project (Feb 20) — Corpus Christi Caller-Times, Corpus Christi, TX
Meeting with be Tuesday, Feb. 28 at Portland Community Center
PORTLAND — Cheniere Energy's subsidiary, Corpus Christi Liquefaction, has scheduled an open house to answer community questions about plans to build a liquefied natural gas terminal along the La Quinta Channel in San Patricio County.
Representatives from Corpus Christi Liquefaction and the Federal Energy Regulatory Commission — the chief agency which must authorize the project — will be available between 5 p.m. and 8 p.m. Tuesday, Feb. 28 at the Portland Community Center, 2000 Billy G. Webb Drive, in Portland.
FERC asks Cameron LNG for additional vapor dispersion analysis for BOG project (Feb 20) — LNG Law Blog
FERC has requested additional information regarding natural gas vapor dispersion modeling for the Cameron LNG boil-off gas project.
Sabine Pass LNG supplements previous submission to FERC on air emissions (Feb 20) — LNG Law Blog
Sabine Pass LNG has filed a supplemental response with FERC regarding the expected air emissions from the company's proposed LNG liquefaction and export project. This filing addresses sulfur removal equipment that is included in the project design.
Separately, FERC Chairman Jon Wellinghoff responded to a letter from U.S. Sen. Mary Landrieu (D-La.) regarding the Sabine Pass LNG export project, stating that "the project is being processed as thoroughly and as expeditiously as possible in order to arrive at a well-reasoned, timely decision."
USA: Sabine Pass LNG gets cargo — LNG World News
The U.S. Sabine Pass liquefied natural gas terminal received an LNG cargo yesterday, according to shipping data.
The Arctic Spirit, owned by Teekay LNG, has a capacity of 87.305 cbm.
Caribbean
Editorial - Energy too critical for a stand-off (Feb 19) — The Gleaner, Kingston, Jamaica, West Indies
...JPS has the go-ahead for a natural-gas-powered plant predicated on a top price for liquefied natural gas (LNG) of US$12 per one million British thermal unit (a measure of energy) equivalent, against the US$17 and US$24 the company now pays for oil. Additionally, the new facility - generating nearly half of Jamaica's peak electricity - would use the fuel with far greater efficiency than the existing old plants.
Government committed to LNG project - Paulwell (Feb 15) — Jamaica Information Service, Government of Jamaica
“We know that LNG is a relatively clean, environmentally friendly option that provides tremendous opportunity for efficiency improvement and cost reduction. In this regard, the government is committed to implementing the LNG project, and we are doing everything to ensure that the project is properly structured commercially, and that the appropriate policy and regulatory frameworks are in place,” he explained.
Research and Markets: Trinidad & Tobago Oil and Gas Report Q1 2012 - LNG sector faces an uncertain future [Press release] — BusinessWire
BMI View: Trinidad & Tobago's vital LNG sector faces an uncertain future. The industry was largely developed to deliver gas to the US market, which at the time was expected to be subject to an ever-rising import requirement.
The proliferation of gas production from shale formations across the US, however, has dramatically reduced the need for imports and T&T has been forced to look for new export destinations in an increasingly crowded global LNG market. Oil production is forecast to decline as the country struggles to attract interest in new deepwater exploration.
Alaska
LNG exports may not be the answer (Feb 16) — Juneau Empire, Juneau, AK
Experts warn against high expectations for Asian marketplace
As China develops, it is becoming a huge market for natural gas, but the country is also aggressively developing its own reserves and making investments in technology and resources elsewhere, [said Pedro van Meurs, an industry consultant located in the Bahamas].
“Don’t count on China as an export market 10 years from now,” van Meurs said.
Federal Pipeline Coordinator Larry Persily has been cautioning against getting hopes too high for LNG exports.
“Alaskans shouldn’t get too euphoric that LNG to Asia is the no-risk holy grail” for finally marketing Alaska’s natural gas, Persily said.
British Columbia
Mitsubishi to invest in shale gas play supplying LNG export projects on Canada's west coast (Feb 20) — LNG Law Blog
Encana Corp. has announced that it will sell a 40% ownership stake in the Cutback Ridge shale gas play to Mitsubishi Corp. for $2.9 billion. According to the Vancouver Sun, an official with Mitsubishi said that one reason the company invested in these gas assets was to further its plans for LNG exports from western Canada.
Co-op receives licence to export (Feb 20) — Journal of Commerce, Western Canada
The joint venture has been authorized by the National Energy Board to export 36 million tonnes of LNG, over a 20 year period.
BC LNG is planning to construct and operate a liquefied natural gas export terminal at Bish Cove near the Port of Kitimat.
BC LNG’s export proposal is unique because the operating model involves the company liquefying gas for members of a co-operative, which is comprised of natural gas producers, marketers and LNG buyers.
There are currently 13 parties in the cooperative and additional members may join upon request.
Premier unveils LNG power plan (Feb 17) — Kitimat Sentinel, Kitimat, BC
With the potential surge in LNG exports from Kitimat and the problem of a potential shortage of power to run them all, premier Christy Clark announced the Liberal government’s natural gas strategy on February 3.
[T]he current policy which required BC Hydro to have sufficient sources of power to handle a worst case scenario drought year, the utility would now only have to meet average year requirements. ... Clark hedged saying the intention was that the LNG industry would be powered “primarily” by clean sources of power.
The press release also raised an issue not touched on by Clark: “Proponents will be required to make capital investments towards new infrastructure needed to power LNG operations.”
Political showdown looms for Site C (Feb 16) — The Vancouver Sun, Vancouver, BC
"Powering the second phase of the current Shell [LNG export] proposal would require 100 per cent of the power that could be produced by Site C. So, it's a very energy intensive process."
[I]f enough renewable power were not forthcoming, LNG terminals might be forced into heavier reliance on gas-fired turbines.
That, in turn, would compromise the government's green-house gas-reduction targets.
Canada: British Columbia’s LNG strategy (Feb 15) — Mondaq
The LNG Strategy details B.C.'s commitment to LNG exports and outlines the critical priorities that will guide the development of this new industry:
Balance risks with LNG gains (Feb 7) — Times Colonist, Victoria, BC
No megaproject comes without a cost, and the big one that was stressed last week was that the province would have to abandon its dream of self-sufficiency in electrical energy by 2016, even in the drought years when there is not enough water to run our dams at full capacity.
Canada's LNG projects may spark merger boom - analyst (Feb 6) — Reuters
Feb 6 (Reuters) - A handful of liquefied natural gas export facilities proposed for Canada's Pacific Coast could spark a round of acquisitions and new joint ventures as the projects' backers look to secure sufficient natural gas supplies to fill their facilities, an analyst said on Monday.
"There is no logic at all to seeing three to five facilities built with three to five independent pipelines," [said Andrew Potter, an analyst at CIBC World Markets].
Another Kitimat LNG project receives LNG export license (Feb 3) — Oil & Gas Journal
The license authorizes BC LNG to export 36 million tonnes of LNG, equivalent to about 47.9 billion cu m of natural gas, over 20 years. The maximum quantity allowed for export will be 1.8 million tonnes/year of LNG, or about 2.4 billion cu m of natural gas.
Liquefied natural gas producers turn to Asia (Feb 1) — The Globe and Mail, Toronto, ON
Faced with the prospect of a long-term glut of gas and low prices in North America, producers in western Canada have more incentive than ever to build liquefied natural gas terminals on the west coast to allow exports into the premium-priced Asian market.
With the current glut of gas expected to persist for the next decade, companies in North America are scrambling to build LNG export terminals, with four proposals in western Canada and eight in the United States. While not all of them will get built, Mr. Potter forecasts LNG exports from North America to overseas markets will hit 8 billion cubic feet per day by 2020 – a figure roughly equivalent to Canada’s current exports to the United States. [Red & bold emphasis added.]
Oregon
Editorial: Question of property rights (Feb 18) — The Register-Guard, Eugene, OR
Bill would restrict use of eminent domain on LNG
DeFazio’s proposal would not prohibit LNG exports, or even the construction of terminals such as the proposed Jordan Cove project in Coos Bay. But it could accomplish the same results by allowing property owners to refuse to sell their land to companies building the pipelines that carry gas to LNG export terminals.
DeFazio noted that the U.S. Constitution clearly limits the exercise of the power of eminent domain to serve a public need. He questioned how the public interest would be served by natural gas exports that could drive up domestic gas prices, hurting utilities and industries that have an interest in keeping U.S. gas prices at their current low levels.
The move to LNG exports also underscores the need for Congress to revisit the 2005 federal energy bill that pre-empted state authority for licensing LNG terminals and handed that power to federal energy regulators.
United States
Congress votes down amendment banning LNG exports (Feb 20) — LNG Law Blog
The U.S. Congress rejected an amendment to a bill expanding oil and gas exploration that would restrict exports of natural gas. The amendment, proposed by Rep. Ed Markey (D-Mass.), would have prohibited the export of natural gas produced from leases issued pursuant to the underlying bill. The text of the amendment is available in the Congressional Record on page H825.
Debate surrounds race to export America's natural gas — InsideClimate News
Some U.S. manufacturers, utilities and consumer advocates worry exporting gas will drive up electricity prices and deepen reliance on coal.
Energy companies are honing plans to export natural gas faster than President Obama can call the United States the "Saudi Arabia of natural gas," and that's raising new questions about the country's energy policies.
"We have a natural gas supply which is literally coming out of our ears for 50 years," [energy economist] Herberg said. [Red & bold emphasis added.]
Is this recovery? (Feb 20) — UPI
Six years ago, the Department of Energy reckoned that the United States had fewer than 10 years reserves of natural gas. Now it reckons the country has well more than 100 years and the liquefied natural gas terminals that were being built to import the stuff are being re-engineered to export it instead. The first $5 billion contract to export U.S. natural gas (to Britain) has already been signed. [Red & bold emphasis added.]
Shale gas production continues to dominate US upstream market & Gulf of Mexico sees renewed activity, according to latest report from EIC Consult [Press release] (Feb 20) — OilVoice
US shale gas development – in particular liquid rich plays – are set to enjoy years of growth with production estimated to reach 30 billion cubic feet per day (Bcf/d) by 2020, according to a US energy sector report from EIC Consult, the market research and consultancy arm of the Energy Industries Council (EIC). The report also predicts that, despite much publicized opposition, the comprehensive or prohibitive regulation of shale gas in the future remains unlikely, due to the number of jobs created and taxes generated.
Total CEO says US will not become major LNG exporter (Feb 20) — Platts
The head of France's Total, Christophe de Margerie, said Monday he did not see a major LNG export business developing in the US because of the political desire to keep domestic gas prices low.
Domestic gas prices in the US are currently at record low levels of around $2.60/MMBtu, which has been cited as one reason for the US' current economic recovery. [Red & bold emphasis added.]
Former FERC Commissioner Spitzer weighs in on LNG export debate (Feb 15) — Environment & Energy Daily
Marc Spitzer: Well, there are multiple issues, and of course, my former colleagues at FERC ultimately are called upon to approve, based on an application, export terminals. FERC has approved a number of import terminals. Those are regasification facilities. The process is not as complex for taking LNG that's imported into the U.S. in liquefied form and gasifying it for distribution throughout the United States. The process of what they call liquefaction trains is much more complex, because then take natural gas produced in the United States and liquefy it and then store it for ultimate export, and so the liquefaction process I understand is four to six times as expensive as a regasification terminal. And of course, those import terminals that were built, there's no importing of natural gas because the price, again, has flipped, and the economics are upside down, the economics of these projects are upside down. So the entities are seeking to somehow recapture or monetize their investment by converting the import terminals into export terminals, and that's -- the fascinating aspect of the environmental issue is an interest by some environmentalists in moving away from generation of electricity through coal, which is approximately 48 percent of the power generated in the U.S., through coal-fired generation, to move that more towards natural gas. But then the environmental community is concerned about the environmental impacts of shale production. So it's sort of a catch-22. Similarly, the producers of natural gas, they have a glut of supply. Their processes have become so efficient they've almost become victims of their own success, in a way, and that the efficiency has led to more supply than they can handle. So they're looking for a way to increase demand for natural gas. [Red & bold emphasis added.]
Anti-LNG-Export Train Gains Steam
[Red bold emphasis added.]
Anti-LNG export train sounding louder (Feb 15) — Press Action
The movement to stop the export of domestically produced natural gas in the United States continues to gain momentum, as Rep. Edward Markey, D-Mass., introduced two pieces of legislation this week that would limit the ability of companies to ship liquefied natural gas overseas.
“The administration is trying to have it both ways—arguing that we need to drill everywhere because we don’t have adequate energy supplies, while finding that we have so much energy that big oil companies can export it overseas and keep prices here at home higher than they would otherwise be,” Wyden wrote in a September 2008 letter to then Energy Secretary Samuel Bodman.
Among environmentalists, the Sierra Club has come out strongly against LNG exports. The group has moved away from its pro-natural gas stance and is now aggressively campaigning against LNG exports. The environmental group has come under fire recently in response to the $26 million in donations it accepted from Chesapeake Energy CEO Aubrey McClendon and other people associated with the natural gas producer.
Analysis: Global LNG suppliers planning for possible U.S. LNG exports (Feb 15) — LNG Law Blog
An analysis carried in World Gas Intelligence reports that some LNG suppliers around the world, particularly in Qatar, may re-evaluate their price models for LNG sales to Asian consumers if the United States begins to export LNG to Asia. Specifically, the piece suggests that the LNG suppliers are planning for price structures less strongly linked to the Japanese crude oil index used for traditional LNG contracts. [Subscription required]
...Meaning, the Asian LNG price will drop, generating lower returns for new or converted US LNG exporter terminals — making US LNG exports less viable.
sources such as solar.
US LNG export projects bring long-term risk (Feb 14) — Hydrocarbon Processing
Favorable margins for US liquefied natural gas (LNG) exports may not be sustainable and could set up long-term risks for infrastructure projects, according to a new report.
Fitch expects the recent low prices for natural gas to continue, since supply should remain high.
Should discoveries of nonconventional natural gas flourish [in nearby China], the combination of low labor costs and small shipping cost due to the proximity of these countries could lessen the traffic at US marine terminals constructed to export natural gas.
Congressman proposes legislation to limit LNG exports (Feb 15) — LNG Law Blog
Congressman Ed Markey (D-Mass.) introduced two bills yesterday that would limit LNG exports from the United States. The first would require that any natural gas produced from federal lands would have to be sold to domestic consumers. The second would prohibit FERC, until the year 2025, both from approving applications to site, construct, expand, or operate an LNG terminal to export LNG and from amending an existing FERC authorization to permit modification of an existing LNG terminal in a way that would allow the terminal to export LNG.
C. Boyden Gray, a former U.S. ambassador to the European Union, told the Natural Gas Roundtable yesterday that he does not support the bills restricting LNG exports from the United States, suggesting that LNG exports could benefit the United States’ foreign trade deficit. Read more in Platts LNG Daily. [Subscription required]
How about a hefty tax on exporting US LNG, dedicated to subsidizing renewable energy?
California Congressman opposes efforts to limit LNG exports from the United States (Feb 14) — LNG Law Blog
Congressman Darrell Issa (R-Cal.) told E&E Daily after a field hearing of the U.S. House Committee on Oversight and Government Reform that he would oppose efforts in Congress to restrict LNG exports from the United States. Also speaking at the hearing, Cheniere Energy CEO Charif Souki argued that federal agencies that regulate LNG exports should coordinate their efforts and adjust their regulations to "keep pace with the growth America is experiencing in its oil and gas fields."
US carefully mulls whether to okay LNG exports-Chu (Feb 16) — Reuters
Advances in drilling techniques have unlocked the nation's vast shale gas reserves, but U.S. demand has not kept up with rapidly expanding gas output.
Plentiful gas supplies have transformed the U.S. energy picture, leading companies to pursue LNG export opportunities, when just a few years ago industry was preparing to import LNG.
Some lawmakers have said they are worried that LNG exports could raise prices for U.S. households and hurt manufacturing industries that rely on natural gas.
U.S. seen as possible LNG hub, but challenges remain (Feb 17) — Rigzone
Pipeline capacity in the U.S. also presents an issue for LNG exports, as most pipeline capacity is already contracted to utilities. Pipelines near the Cove Point, Md. LNG facility are already contracted to Marcellus producers, while the Freeport LNG facility in Texas is only connected to intra-state pipelines. Significant infrastructure will be required for most liquefaction projects proposed in the U.S.
Most existing pipeline infrastructure is also set up to move gas north from the Gulf Coast; reversing pipeline flow will be needed to bring gas to Sabine Pass, which will require changes in hydraulics. Multiple LNG export terminals also will be competing for supplies in the U.S.
More than one speaker remarked on the existing outlook for U.S. natural and contrasted it to forecasts made in the mid-2000s that the U.S. would require significant levels of LNG imports to meet domestic gas demand. Even current forecasts for the global LNG market may not be entirely accurate, due not only to known unknowns such as nuclear power demand, but the unknown unknowns, such as the development of hydrates and renewable energy
Deloitte analysis predicts small impact on domestic gas prices from U.S. LNG exports (Feb 17) — LNG Law Blog
An analysis produced by the Deloitte Center for Energy Solutions predicts that LNG exports from the United States of 6 Bcf/d could cause the price of gas to rise by $0.12 per million Btu between 2016 and 2035, an increase of approximately 1.7% over the projected natural gas price for this period.
Freeport Liquefaction project gets FEED contract (Feb 17) — Oil & Gas Journal
Within the three-train design, the joint venture will develop a fixed-price, fixed-schedule proposal for both a one-train initial development and a two-train initial development. This approach will allow Freeport LNG to choose the optimum size of the initial phase of the project “based upon customer demand and financing considerations,” according to the announcement.
Analyst expects Cheniere will secure financing for LNG liquefaction project (Feb 17) — LNG Law Blog
Speaking yesterday in Houston, an analyst with Societe Generale said that he expects that Cheniere will be able to secure adequate financing from banks to build the company's planned LNG liquefaction project at the Sabine Pass LNG terminal. Read more in Platts LNG Daily [subscription required].
Petronet in talks with Cheniere for long-term LNG supplies (Feb 15) — Bloomberg
Petronet LNG Ltd. (PLNG), India’s biggest importer of liquefied natural gas, is in talks with suppliers in the U.S., including Cheniere Energy Partners LP, which has sold almost 90 percent of the annual export capacity it’s developing.
TransCanada pursues involvement in Alaska LNG export project (Feb 16) — LNG Law Blog
A TransCanada official said yesterday that his company is interested in building a pipeline that would transport natural gas from Alaska's North Slope to a possible LNG liquefaction facility in southern Alaska. Platts LNG Daily [subscription required] provides further coverage.
Gazprom sees U.S. exporting LNG in decade, downplays competition (Feb 17) — Bloomberg Businessweek
The U.S. has overtaken Russia as the largest gas producer, using hydraulic fracturing, or fracking, and horizontal drilling to pump fuel from shale beds. Rising production has driven down prices, cut shipments to the U.S. and prompted owners of import terminals to study switching to liquefied natural gas exports.
Calais LNG Project Company, LLC submitted a response to FERC's information request regarding the project’s financing, site control, and compliance with exclusion zone regulations promulgated by the U.S. Pipeline and Hazardous Materials Safety Administration. The response is available in FERC's eLibrary under Docket No. CP10-32.
Having failed the deadline to provide FERC with a schedule for reestablishing financial capacity and title, right, or interest in its project site, Calais LNG's Arthur Gelber clumsily tapdances around any hope of acquiring that status by making yet one more hollow promise. In addition, Gelber presents a questionable argument that Calais LNG's vapor and thermal radiation exclusion zones comply with regulations.
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