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Alaska considering stake in gas pipeline, liquefaction project: commissioner

Anchorage (Platts)–18Nov2013/530 pm EST/2230 GMT The Alaska state government is mulling the taking of a stake in a large natural gas pipeline and gas liquefaction project to meet the concerns of North Slope producers BP, ConocoPhillips and ExxonMobil and of pipeline developer TransCanada, Alaska’s natural resources commissioner said Monday. “It could solve a lot of problems for us and the project sponsors,” the commissioner, Joe Balash, said in an interview. With an estimated cost of $45 billion-$65 billion, the project is a major recommendation of a Black & Veatch study of North Slope royalty issues released Monday. “Direct state equity participation in the [gas] project can provide key benefits to the state including alignment of interests [among the parties], transparency through the midstream portion of the supply chain, facilitation of third-party access to the midstream and potentially improved state cash flows along with improved producer economics,” the consultants said […]

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US NRC to resume Yucca Mountain waste repository licensing review

Washington (Platts)–18Nov2013/410 pm EST/2110 GMT The commissioners of the US Nuclear Regulatory Commission ordered agency staff Monday to complete and publish a safety evaluation report on the proposed Yucca Mountain, Nevada, nuclear spent fuel and waste repository. “The Commission has also requested [Department of Energy] to prepare a supplemental environmental impact statement requested by the staff in order to complete [NRC’s] environmental review of the application,” NRC said in a statement Monday. The multi-volume safety evaluation report, or SER, reflects NRC staff’s assessment of the repository proposed for the site roughly 95 miles (about 153 km) outside Las Vegas and is considered in NRC’s determination of whether the facility would meet regulatory requirements. Volume 3 on the post-closure safety of a repository at Yucca Mountain is central to making that determination. The Nuclear Energy Institute, which represents the US nuclear power industry, was among those who have recommended that […]

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Biomass-based diesel production passes 2013 mandate in October: EPA

Houston (Platts)–18Nov2013/532 pm EST/2232 GMT US biomass-based diesel production production in October passed the federal mandate for full-year 2013, Environmental Protection Agency data showed Monday. Production through October was at 1.39 billion gallons, besting the Renewable Fuels Standard’s 1.28 billion-gallon target for the year. The remaining production throughout 2013 can be partially applied to this year’s ethanol mandate or advanced biofuel mandate, and to 2014’s mandates. Monthly biodiesel production was lower in October for just the third time in a record-breaking 2013, down 3.34 million gallons to 163.78 million gallons. US biomass-based diesel production has been spurred through the year by the return of the $1/gal biodiesel blending tax credit and a 10 cents/gal credit for agricultural biodiesel producers. –Jordan Godwin, [email protected] –Edited by Richard Rubin, [email protected]

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Oil Drillers Rush Back to the Gulf of Mexico

Page added on November 18, 2013 The Gulf of Mexico has been left for dead more than once over the past half-century. It’s now roaring back to life with at least 10 recent mega-discoveries that have renewed oil explorers’ enthusiasm for the region. Billions of dollars are being poured into new wells in the ultra-deep waters off Texas and Louisiana, fueling a resurrection that could set a production record this decade and complete a recovery from the worst offshore oil spill in U.S. history. In 2014, output from the deepest parts of the Gulf, where the water is more than 1,300 feet deep, will be equivalent to about 1.5 million barrels of oil a day, 15 percent more than this year, according to estimates by energy consultants Wood Mackenzie. By 2020, the firm says, the deepwater Gulf, which accounts for about half the Gulf’s 252,000 square miles of federal waters, is […]

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Peak Oil : A Look At “Peak Demand” # 6

IMGP0758               Peak oil demand is a provocative theory and would rely on some unanswered questions being met: namely on the  development of large-scale gas-fired trucks, rail and shipping vessels; the sustainability of the US shale boom; and policy action to support improved fuel-mileage and to phase out oil subsidies. [1]   DAMNED FACTS   A Citi Research report on so-called peak oil demand [ first post of this six-part series here ] has been drawing a lot of attention lately. Understandably: what could be bigger news for anyone concerned with climate change, energy security, etc.? The report comes out hot right from the start, suggesting ‘The End is Nigh’ and we are ‘Approaching a Tipping Point’ on global oil demand. Unfortunately, though, it’s less than persuasive. The first thing that ought to raise an eyebrow or two is how wildly Citi’s analysis […]

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The Coming Bust of the Great Bakken Oil Field

California_Gold_Production There has been a lot of Fanfare on the huge increase of oil production coming from the Bakken Field located in North Dakota.  There are many stories of people moving to the state to take advantage of the new OIL BOOM.  It seems like everyone is going there to start a new life and make it rich in one of the coldest areas in the United States. However, with all BOOMS, comes the inevitable BUST.  This was true shown by the famous example of the 1800′s California gold rush: According to the article, “The Bakken Boom: The Modern Day Gold Rush” : Despite the low productivity of the labor-intensive process of gold panning, annual production grew from just over 1,400 ounces in 1848 to more than 3.9 million ounces by 1852. To put this into perspective, prior to 1848, cumulative U.S. gold production amounted to just over 1 […]

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Retail Gasoline in U.S. Rises From 33-Month Low on Plant Upsets

Gasoline at U.S. pumps gained for the first time in four weeks, rebounding from a 33-month low, as a fire at Citgo Petroleum Corp.’s refinery in Illinois lifted prices in the Midwest. Regular, unleaded gasoline at filling stations increased 2.5 cents from a week earlier to $3.219 a gallon, rising from the lowest level since Feb. 21, 2011, the Energy Information Administration said on its website yesterday. Prices are about 6 percent below year-earlier levels. The biggest gain was in the Midwest, where prices climbed by more than 5 cents to $3.126. U.S. retail gasoline has declined nine out of the past 11 weeks as refiners restored plant operations after seasonal maintenance and produced a record amount of the motor fuel amid lower crude prices. Pump prices rose the past week after an Oct. 23 fire at Citgo’s Lemont refinery and shutdowns at plants that supply fuel to the […]

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Colorado to Tighten Drilling Rules

Colorado unveiled new measures to reduce airborne emissions from oil and natural-gas operations amid worries by state residents that increased drilling would hurt the environment or their health. Gov. John Hickenlooper, a Democrat, unveiled the new rules on Monday, less than two weeks after four communities voted to halt hydraulic fracturing, or fracking. “Natural gas is a crucial part of this country’s future, but we need to address the anxieties and concerns of the public,” Mr. Hickenlooper said in an interview. “People want clean air and clean water where they live, and that is a legitimate expectation.” The state’s proposed rules include first-in-the-nation regulations to force energy companies to reduce the emission of methane, a greenhouse gas linked to global warming that is the major ingredient in natural gas. The rules also attempt to cut emissions of volatile organic compounds, which some scientists say raise ozone levels and contain […]

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Survey: Support for Fracking Is on the Rise

More The often controversial practice of hydraulic fracturing appears to be gaining acceptance, according to a new survey released Monday. The survey, conducted by the Robert Morris University Polling Institute, showed that of the people who had an opinion about fracking one way or the other, 56 percent supported it, while 44 percent were against it. Support among those whose who supported it remained constant even for fracking within the locality where they lived. When those who were polled received information about fracking in presentations from environmental and energy groups, the number who strongly supported fracking was 42 percent, compared with 33 percent somewhat or strongly against it. The remaining 25 percent were not sure how they felt about fracking. Of those with an opinion of fracking, 80 percent believe the practice has the potential to help the country’s economy, and 74 percent said fracking is helping the country […]

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EU, Ukraine Close In on Natural-Gas Deal

The European Union is closing in on a deal that would allow Ukraine to get natural gas from sources to the West rather than from Russia, people familiar with the matter said. Such a move could ease the way for the former Soviet republic to pursue closer economic links with Europe, despite threats of retaliation from the Kremlin. The prospective natural gas deal comes 10 days before leaders of the 28-nation EU and its eastern neighbors meet in Vilnius, Lithuania. The centerpiece of the summit is intended to be a sweeping trade and political deal between Brussels and Kiev, but the signing has been in doubt because of a number of issues, including the fate of the jailed former prime minister Yulia Tymoshenko. Ukraine’s parliament meets again Tuesday to consider a solution to the EU’s demand that she be freed and allowed to go abroad for medical treatment. Meanwhile, […]

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