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Coal’s Decline Hits Hardest in the Mines of Kentucky

Since he was laid off from his mining job in January, William Hensley’s life has been upended. Days after he lost his position, Mr. Hensley, 50 years old, said he was diagnosed with black lung disease. The bank soon took back his 2012 Chevy Suburban, after he was unable to make the $600 monthly payments. He can no longer afford health insurance and has drawn down all but $5,000 he had in a 401(k) retirement plan to pay for another vehicle and living expenses. Mr. Hensley, who is raising his 12-year-old granddaughter with his wife, went from making $82,000 a year as an underground foreman to collecting about $15,000 in unemployment benefits this year. But that aid is set to run out in December and mining jobs are scarce. “This is the worst I’ve ever seen it,” said Mr. Hensley, who has spent 32 years of his life […]

Posted On : Published By : Tom Whipple
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Mississippi River Still Shut After Fuel Spill; Few Boats Delayed

The Mississippi River remained closed to navigation along an eight-mile stretch near Le Claire, Iowa, on Tuesday after a boat containing up to 100,000 gallons of diesel fuel and lube oil struck a submerged object and sank late on Monday, the U.S. Coast Guard said. One northbound towboat with no barges and two southbound tow boats pushing a total of 25 barges were waiting at midmorning on Tuesday to pass through the closed section from river mile marker 493 to 501, about 15 miles upriver from Davenport. Officials have deployed nearly 3,000 feet of boom to contain any fuel leaking from the sunken boat. “The boom is still around the vessel, partially submerged. The Army Corps of Engineers is still assessing to see when the river could be reopened,” said Coast Guard spokesman Chief Petty Officer Bobby Nash. U.S. grain shippers rely on the […]

Posted On : Published By : Tom Whipple
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Natural Gas Production in Northeast Reduces Need from Other Regions

The Energy Information Administration (EIA) recently released a report based on natural gas production in the northeast and the effects on the region’s gas inflow, reported the Penn State Extension. Compared to 2008 natural gas records, production in the northeast has increased almost six-fold to 12.3 billion cubic feet (Bcf) per day in 2013.  This upward trend has been reflected in lower prices and an increased natural gas supply.  Natural gas use in power generation continues to increase, and the inflow of natural gas from other regions, such as the southwest, eastern Canada and from the Midcontinent region, has been declining. There has been a 60 percent drop in natural gas inflows for the first nine months of the year, compared to 2008 inflows.  Despite a 56 percent decrease in net inflow from the Southeast in this period, approximately three-quarters of the gas […]

Posted On : Published By : Tom Whipple
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Wind Farms Are Expensive, Subsidies Are Uncertain, Plans Are Being Curtailed

LONDON—A major European utility said Tuesday it would scrap a wind farm that was due to become the largest offshore wind project ever built, a sign of the struggles of the industry to attract investment needed to overcome huge costs and technical challenges. The Atlantic Array, in the Bristol Channel off the west coast of England, could have generated up to 1,200 megawatts of electricity, almost twice as much as the largest farm already operating in U.K. waters. But RWE said on Tuesday that continuing with the project faced problems that were “prohibitive in current market conditions.” RWE’s decision highlights the central difficulty in achieving Europe’s ambitious wind targets. Huge plans are in place, but few investors are willing to stake the billions needed to build them, in an environment where government subsidy is essential but uncertain and costs can skyrocket. The U.K. has pioneered offshore wind power, maximizing […]

Posted On : Published By : Tom Whipple
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Euro Parliament Transport Committee backs draft directive mandating expansion of alternative fuel stations

Euro Parliament Transport Committee backs draft directive mandating expansion of alternative fuel stations; grandfathering CHAdeMO Altfuelstations Minimum number of publicly-accessible recharging points for electric vehicles in each member state. Click to enlarge. EU member states would have to ensure that specified numbers of publicly-available electric vehicle recharging points and hydrogen and natural gas stations are built by 2020, under a draft directive endorsed by the Transport and Tourism Committee of the European Parliament on Tuesday. The draft rules aim to reduce dependence on oil and boost take-up of alternative fuels, so as to help achieve a 60% cut in greenhouse gas emissions from transport by 2050. Private sector players should play a leading role in developing this infrastructure, but member states should provide tax and public procurement incentives for them to do so, say the members of Parliament (MEPs). The directive specifies that: A minimum number of recharging points […]

Posted On : Published By : Tom Whipple
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Why Forecasts of a World Without Carbon-Based Fuel Are Delusional Pt 1

While the US continues to engage in a delusional energy “debate” about whether we will continue to burn coal and whether natural gas is a panacea, China is struggling to acquire and deploy of energy resources to support its economic growth targets. China has an environment versus growth problem .    Already China is the #1 importer of oil in the world. That‘s right.  China imports more oil than the United States.     The US can hold its energy consumption below GDP growth through increased energy efficiency (technological improvements) and because our economy is more “services based” than China’s.   China on the other hand has to continue to consume more energy, particularly oil. The emerging and growing middle class there wants to buy cars, as is typical when annual GDP per capital hits $10,000-20,000 per year.  With 4X the population of the […]

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Robert Rapier: Oil Sands and the Environment – Part II

Today I continue coverage of my recent visit to the Athabasca oil sands near Fort McMurray, Alberta. I was there as a guest of the Canadian government, which hosts annual tours for small groups of journalists and energy analysts. I will be covering multiple aspects of oil sands production in a series of posts. In last week’s post — Oil Sands and the Environment – Part I — I discussed greenhouse gas emissions, impacts on wildlife, and I touched upon water usage. I also detailed some of the work of Pembina Institute (PI), which is working to improve the environmental conditions as the oil sands are developed. Today’s article will discuss the tailings ponds, water consumption, impacts to water quality, and impacts to indigenous people. Tailings Ponds There are two primary ways of extracting bitumen from the oil sands. In situ production […]

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World agricultural output continues to rise, despite predictions of decline

Many say agricultural output is headed for decline, but 2013 continues a 50-year rise. The year 2013 has been a great year for global agriculture. Record world production of rice and healthy production of wheat and corn produced strong harvests across the world. These gains were achieved despite continuing predictions that world agricultural output is headed for a decline. The US Department of Agriculture (USDA) reports that world rice harvests for 2012/2013 were a record 469 million metric tons. Corn and wheat harvests were also strong, following record harvests for both grains during the 2011/2012 season. The USDA is now projecting world record harvests for corn, wheat, and rice for 2013/2014. These numbers cap a 50-year trend of remarkable growth in world grain production. Since 1960, global wheat and rice production has tripled, and corn production is almost five times higher. For decades, […]

Posted On : Published By : Tom Whipple
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Oil Futures Mixed on Skepticism Over Iran Deal

Oil futures are mixed in Asian hours Tuesday, as skepticism about Iran’s surprise interim nuclear accord with six world powers set in, damping expectations of a quick boost in global crude-oil supply. On the New York Mercantile Exchange, light, sweet crude futures for delivery in January traded at $94.54 a barrel at 0621 GMT, up $0.45 in the Globex electronic session. January Brent crude on London’s ICE Futures exchange fell $0.14 to $110.86 a barrel. On Monday, crude-oil prices were volatile with Nymex crude oil prices falling as much as $1.76 intraday before settling 75 cents lower at $94.09/bbl . Brent crude oil prices fell as much as $3 before settling 5 cents lower at $111/bbl. The late recovery in prices Monday “suggested that the initial plunge was a mere speculative knee-jerk reaction,” said OCBC Bank in a note. The Singapore-based bank said lingering supply risk […]

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WTI Rebounds After Biggest Drop in Week as Supplies Seen Falling

West Texas Intermediate rebounded after the biggest drop in a week amid speculation that crude supplies shrank for the first time in more than two months in the U.S., the world’s biggest oil consumer. Futures advanced as much as 0.6 percent in New York. U.S. crude stockpiles slid by 300,000 barrels in the week ended Nov. 22, the first decline in 10 weeks, according to a Bloomberg News survey before an Energy Information Administration report tomorrow. Oil prices fell yesterday after Iran and world powers reached an interim agreement to restrict the Persian Gulf nation’s nuclear program. “Demand is slowly starting to occur but there’s still a long way to go,” said Jonathan Barratt , the chief executive officer of Barratt’s Bulletin in Sydney who predicts investors may sell WTI contracts at about $95.50 a barrel. “The sell-off yesterday was a little bit overdone, and that’s why we saw […]

Posted On : Published By : Tom Whipple