AGIA

4-15-13

15 April 2013 6:22pm

Sean Parnell, Alaska, Governor, ACES, oil tax reform, Photo by Dave HarbourFrom Governor Parnell's Office.  Following the close of the first session of the 28th Alaska Legislature, Governor Sean Parnell (NGP Photo) today thanked legislators and highlighted the successful passage of many of his key priorities to improve Alaska. Reforming Alaska’s oil tax structure, providing cheaper energy to Interior and rural communities, reducing payroll tax increases, exercising fiscal restraint, and protecting Alaskan families led the governor’s agenda this session.

Alaska’s Oil Production Comeback
 
"After thoughtful analysis and debate, legislators passed Senate Bill 21", a statement from his office said today, "Governor Parnell’s bill to create a prosperous future for Alaskans though increased production. This legislation simplifies Alaska’s oil tax structure and provides the right balance for Alaskans at both high and low oil prices. Senate Bill 21 significantly improves Alaska’s competitive standing."
 
“This session, we took major steps to grow our economy and create opportunities for Alaskans,” Governor Parnell said. “Senate Bill 21 sets the course for an oil production comeback on the North Slope. I thank the many Alaskans from across the state who made their voices heard and testified on the importance of oil tax reform and what it means to their future.”
 
The Legislature also passed the governor’s permitting legislation. House Bill 129 and Senate Bill 27 will give Alaskans more say over the permitting process.
 
Interior Energy Plan
 
Additionally, the Legislature passed the governor’s Interior Energy Plan, which will provide cheaper energy to the Interior and Alaska’s road and river communities. Senate Bill 23 puts in place a financing package for natural gas liquefaction on the North Slope and a distribution system, in conjunction with private sector financing. 
Last week, Parnell complimented the Legislature on passage of gas pipeline legislation.  “Alaskans have had to wait too long to get their gas,” Governor Parnell said. “I commend Representative Hawker and Speaker Chenault for spearheading this legislation to get Alaska’s gas to Alaskans first, then to markets beyond.”
 
Categories:

3-8-13

08 March 2013 7:50am

Lisa Murkowski, US Senator Lisa Murkowski, Sally Jewell, Interior Department, secretary, King Cove, ANWR, NPRAYesterday, U.S. Sen. Lisa Murkowski (NGP Photo), questioned the nominee to be the next Secretary of the Interior, Sally Jewell, about her commitment to return balance to the various missions of the department.  "Balance" would include recognizing importance of energy development, multiple use and consideration for the livelihoods and safety of citizens.  See her full opening statement here, and the full video of the hearing here.

Instate Gasline Competition
by 
Dave Harbour
 
In the 1970's powerful energy consortia fought over Arctic gas pipeline routes tapping Alaska North Slope (ANS) and Canadian Mackenzie Delta gas reserves.  Hundreds of millions of dollars of gas pipeline investment was written off as natural gas prices fizzled in the early 80s.
 
Until gas prices began to show recovery a decade ago, the great gasline competition lay in dormancy.  Then, with rising prices, other consortia took shape and competition began anew between ANS Gas producers and TransCanada, -- all of whom are veterans of the 1970s-era gas wars.
 
Just as competing parties began to coordinate their efforts to move Alaska gas south, prices again began to falter as the new, oil & gas shale phenomenon erupted almost out of nowhere: another game changer that stopped big, Arctic gasline project planning in its tracks.
 
Now, gas producers are looking more seriously at foreign markets that import LNG rather than US markets whose natural gas appetite is being fully satisfied by Canadian and Lower 48 domestic production.

A big, export gas project, which could provide royalties and taxes to Alaska, must also be understood in context of  today’s Alaska in-state gas competition.    (Continued on Monday....)


Valdez Star by  Lee Revis.   ...    Taylor Bickford of public relations firm Strategies 360 has also begun preliminary work for the city (Valdez). Bickford gave the council a briefing on a community meeting in Seward he attended that was hosted by members of the ASAP project team.
 
“There was quite a bit of misinformation that was put out,” Bickford told city officials.
 
His criticisms of the ASAP presentation included, but was not limited to, what he described as giving the impression to attendees that the ASAP line was actually in full-swing, and virtually unstoppable; glossed over the fact that prices for many Alaskans purchasing the gas would actually cost more than current supplies; and giving the impression the MVP project is not actually feasible. He also said Valdez as a city was portrayed as greedy.
 
(Comment: we struggle to understand how the above "impressions" are evidence of "misinformation".  -dh)

Leslye Langla, AGDC, Alaska Gasline Development Corporation, Bullet Line, Seward, Valdez

Seward Phoenix Log by Heidi Zemach.  A spokesperson for the Alaska Gasline Development Corp. gave a compelling argument in Seward Feb. 26 for the proposed Alaska Stand Alone Gas Pipeline and its positive implications for Seward. The in-state pipeline project, dubbed ASAP, is currently in its design and engineering phase and is sometimes referred to as the “bullet line.’ ...  The pipeline would require more than 337,000 tons of steel which could potentially be shipped through the port of Seward, said AGDC spokesperson Leslye Langla (NGP Photo). They’re seeking a year-round, ice-free harbor with a friendly environment. Several other Alaska ports also are interested in this aspect of the project, she added.

Col Dave Harbour, Colonel Dave Harbour, American Wild Turkey Federation, Sports Afield, Turkey Call, Advanced Wild Turkey Hunting and World Records, Hunting the American Wild Turkey

 

Point of Personal Privilege, another accolade for your author's father: The Sultan of Turkey Slams: Colonel Dave Harbour ... 

 

 

 

 

 

 


Huffpost British Columbia.  Premier Christy Clark says she has been working with B.C. media mogul David Black on his proposal to build a massive oil refinery near Kitimat on the north coast.


See the Video: Yesterday's presentation to the Resource Development Council for Alaska on the Endangered Species Act in Alaska by Geoffrey Haskett, Regional Director, U.S. Fish and Wildlife Service.


 

 

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1-30-13 Helping our readers access the 'whole story' as they consider decisions....

30 January 2013 6:21pm

Calgary Herald by Don Braid.  When Energy Minister Ken Hughes talks about the oilsands Thursday in Vancouver, he’ll have a message for our coastal cousins: “Not all roads lead through British Columbia.”  Translation: If B.C. won’t transport bitumen, Alberta will find somebody who’s glad to do it.  *****  Hughes says he’s interested in a plan to ship oil across Yukon to the Alaskan port at Valdez. He may have an announcement on that matter on Thursday.  “The pipeline there is only 50 per cent full and declining in volume,” he says. “Valdez has a deepwater port, it has a refinery, it has storage capacity.”  (See our earlier reference to this story, thanks to Diane Francis!)

Comment:  Yesterday, Consumer Energy Alliance-Alaska President

Fairbanks News Miner, by Dermot Cole.  

In the oil tax debate in Alaska, the things that are not said are just as important as the things that are said.

On Thursday, Barry Pulliam, a consultant to the Parnell administration, gave a detailed and valuable presentation in Juneau on the Alaska tax system and the plan by the Parnell administration to cut taxes by a billion or more dollars per year.
Steve Pratt  (NGP Photo) provided Steve Pratt, Consumer Energy Alliance, Senate Select Committee on TAPS Throughput, ACES, Oil Taxes, Tax Reform, Alaska, Dave Harbour Phototestimony to the Special Senate Committee on Trans Alaska Pipeline System (TAPS) Throughput.  This testimony is typical of those seeking to balance long term needs of this and future generations with today's political realities.  -dh
 
Thank you, Chairmen for allowing public comment on tax reform.  My name is Steve Pratt, Executive Director of Consumer Energy Alaska, a regional chapter affiliated with the national Consumer Energy Alliance.  We believe there are several reasons why we need to look at tax code revisions:
 
Business and residential consumers of energy have a direct interest in consuming competitively priced energy supplied from domestic sources, and also have a direct interest in robust overall economic activity to maintain livelihoods.
 
30% of Alaskans are dependent upon oil and gas exploration and development for employment.
 
Oil production has declined from a peak of over 2 million barrels a day to a little over 500 thousand barrels a day and is in freefall at the rate of 5 - 7% per year during times of increasing oil prices.   (Entire Testimony Here)
 
Q. Why Do We Reprint This Release?
A.  We pay attention to the news announcement below, expecting it to be overlooked by many of Alaska's news media.  Jake Adams is one of Alaska's most qualified leaders.  The Arctic Policy Commission will play a key role in energy development.  No one is more qualified than Adams to negotiate the tensions existing between the need for environmental protection, subsistence values and the economic health ofrural and urban Alaskans.  The North Slope Borough mayor and Speaker of the House are to be congratulated on this selection.   
 
 

Mead Treadwell, Lieutenant Governor, Alaska, Arctic Policy, Dave Harbour Photo

 
 
Those contemplating any Arctic development would be well advised to seek the counsel of both Treadwell and Adams, among others.  -dh

NSB CAO Jacob Adams, Sr. Appointed to Arctic Policy Commission 
 
North Slope Borough Alaska North Slope Borough Mayor Charlotte Brower, Jake Adams, Arctic Policy Commission, Dave Harbour PhotoMayor Charlotte Brower (NGP Photo) today congratulated her CAO, Jacob Anaġi Adams for his appointment by House Speaker Mike Chenault Alaska House of Representatives, Speaker of the House, Mike Chenault, Photo by Dave Harbour, Arctic Policy Commission, Jake Adams, Charlotte Brower(NGP Photo) as an alternate member to the Alaska Arctic Policy Commission.  
 
“Jacob is a recognized and respected leader throughout the Arctic, and all of us at the North Slope Borough are thrilled. My sincere thanks and appreciation go out to Speaker Chenault for this appointment and for recognizing the important role the North Slope Borough will play in developing an Arctic Policy.”  Mayor Brower added, "The North Slope of Alaska is what qualifies the United States as an Arctic Nation, and the people of our region look forward to being part of the process."  
 
The Alaska Arctic Policy Commission was created by the Alaska Legislature in 2012 with the passage of House Concurrent Resolution 23. During the next two years the Commission will meet to provide policy recommendations regarding Arctic policy, and will deliver a final report to the Alaska legislature by January 30, 2015.  
 
Mr. Adams was involved with both the North Slope Borough and the Arctic Slope Regional  Corporation even before their incorporations in 1972, and has remained an active leader in each ever since – spanning a period of more than 40 years. Adams currently serves as the Chief Administrative Officer of the NSB providing leadership and direction to the administration and policies of Mayor Charlotte Brower. Jacob has previously served the NSB as mayor and Assembly president.  
 
Mr. Adams also served the North Slope Region as president and CEO of Arctic Slope Regional 
Corporation from 1983 until 2006. Adams is still an integral component of the Corporation’s leadership through his ongoing service as a member of their board of directors.  
 
Adams has also served as Mayor of the City of Barrow and member of the Barrow City Council. Born and raised in a community of subsistence hunters and whalers, Adams was instrumental in forming the Alaska Eskimo Whaling Commission, where he served as chairman. He is a current member of the Barrow Whaling Captains Association and a volunteer for Barrow Search & Rescue. 
 
Mr. Adams is from Barrow, Alaska. He is married to Lucille Hopson and they have six children, 18 
grandchildren and one great-grandchild.
ALERT:  Our friends at Resource Development Council for Alaska remind us that the Alaska Oil Tax and Investment Climate hearings being held by the Alaska Legislature began yesterday (see above testimony) and continue on Thursday.  RDC urges citizens to present brief testimony urging the legislature to make policy changes this session to attract new investment and increase North Slope production.
 
 "For additional information on the hearings and why the time is now for the
legislature to act," the organization says, "please see RDC's Action Alert at: http://www.akrdc.org/alerts/2013/tapsthroughputalert.html"

Here are some recent video statements by legislative leaders on oil and gas policy:
 
 
*Rep. Hawker (NGP Photo) Discusses Natural Mike Hawker, Alaska State Legislature, Oil Taxes, ACES, Dave Harbour PhotoGas Solutions for Alaska  http://www.housemajority.org/press.php?p=media&id=20&leg=28

*Rep. Mike Hawker (NGP Photo) on Cook Inlet Natural Gas http://www.housemajority.org/press.php?p=media&id=21&leg=28Lance Pruitt, Alaska Legislature, ACES, Oil Tax Reform, Photo by Dave Harbour, Mike Hawker

* Majority Leader Lance Pruitt (NGP Photo) Discusses Oil Taxes  http://www.housemajority.org/press.php?p=media&id=19&leg=28

Research and Markets: 2013 Directory of China's Natural Gas Pipelines - Details of 2182 ....


 CEA Ak Testimony

Special Senate Committee on TAPS Throughput
January 29, 2013
 
Thank you, Chairmen for allowing public comment on tax reform.  My name is Steve Pratt, Executive Director of Consumer Energy Alaska, a regional chapter affiliated with the national Consumer Energy Alliance.  We believe there are several reasons why we need to look at tax code revisions:
 
Business and residential consumers of energy have a direct interest in consuming competitively priced energy supplied from domestic sources, and also have a direct interest in robust overall economic activity to maintain livelihoods.
 
30% of Alaskans are dependent upon oil and gas exploration and development for employment.
 
 
Oil production has declined from a peak of over 2 million barrels a day to a little over 500 thousand barrels a day and is in freefall at the rate of 5 - 7% per year during times of increasing oil prices. 
 
Alaska is capable of providing a great deal more of total domestic oil production in the United States.
 
Alaska’s abundant natural resources and oil production are vital to the energy security of the entire nation as well as the state.
 
New exploratory and development drilling is both a risky enterprise and necessary to stem the decline in Alaska oil production.
 
New oil exploration and development in Alaska needs to compete globally for investment dollars.
 
The rates and progressivity structure of Alaska’s current tax regime provide a disincentive to attracting risk capital to the state as evidenced by declining production during times of high oil prices.  Increased prices have resulted in substantial increases in oil production in other locations around the United States, but not in Alaska, and not because more oil is not available.
 
Increased investment through increased global competitiveness will enhance Alaska’s ability to fulfill its constitutional mandate to develop natural resources for the maximum benefit of the people.
 
Alaska’s remoteness from the markets, Arctic climate, high labor and logistical costs argue for a more competitive tax and regulatory structure.
 
Consumer Energy Alliance – Alaska is in favor of the Alaska State Legislature reviewing and approving revisions to the Alaska Tax Code that would improve the investment climate in Alaska. 
 
Something is terribly wrong and I thank you for taking on the task, with the Governor, of coming up with useful changes.

 

Categories:

12-21-12

21 December 2012 1:07pm

Alex DeMarban, Alaska Dispatch, Photo by Dave Harbour

Some Projects Seem More Lively Than Others As This Year Ends

Fairbanks News Miner by Matt Buxton.  The Alaska Gasline Development Corp. on Thursday unveiled a reworked version of its in-state natural gas pipeline that provides lower prices for Fairbanks and communities along the proposed route from Prudhoe Bay to Southcentral. An earlier version of the project faltered during the 2012 legislative session. The revised proposal drops costly processing facilities for natural gas liquids. The liquids are no longer as profitable because the market is awash, thanks to the Lower 48 oil boom.  ***  Alaska Dispatch by Alex DeMarban (NGP Photo).  ...pipeline giant TransCanada Corp. is shutting down its project office in Whitehorse, the capital of Canada's Yukon territory, another sign that current plans for a highway route delivering North Slope natural gas to the Lower 48 are dead.


John Norman, Commissioner, Alaska Oil and Gas Conservation Commission, AOGCC, IOGCC, Hydraulic fracturing, fraking, fracking, oil shale, gas shale, Alaska North Slope, Photo by Dave HarbourAlaska Oil and Gas Conservation Commissioner John Norman (NGP Photo) issued a notice yesterday of the AOGCC's intent to adopt regulation changes dealing with hydraulic fracturing.  

 (See related national stories below.  -dh)

 Energy and Capital by Brianna Panzica.   One by one, states across the U.S. have said “yay” or “nay” to fracking.  In Texas and North Dakota, it was a resounding yes... and ... North Dakota has the lowest unemployment rate in the nation, experiencing a bona fide black gold rush.  Vermont firmly said no, banning the practice for good. Of course, there isn't any significant shale located under Vermont, so few tears were shed.  Other states have been on the fence.  (More on fracking, below, right)

On the one hand we have, from IHS, a new, positive report on the economic effect of shale energy:  The economic benefits of unconventional oil and natural gas development exist in the states where the resources are produced as well as the states benefiting from the oil and gas supply chain reaching across the country. The IHS State-level Report on the economic impact of unconventional oil and gas indicates that unconventional activity contributes over 1.7 million jobs...growing to 3 million jobs by the end of the decade while generating $63 billion and $113 billion in annual government revenues (this year and in 2020) respectively. For states involved in unconventional oil and gas production, the largest economic contributions come from Texas and Pennsylvania. The top non-producing states - New York and Illinois - with little or no unconventional oil and gas production, are nonetheless seeing large economic contributions by producing the critical goods and services vital to the oil and gas supply chain.

On the other hand, we have the EPA hurriedly releasing an unfinished study.  Even though there is no credible evidence of hydraulic fracturing affecting the potable aquifer, and even though the states have effectively regulated hydraulic fracturing for decades, the EPA wants to "ensure...safely and responsibly".   -dh
Q.  Why do we cover some mining issues?  A.  Because the environmentalists, EPA and other regulatory agencies use similar anti-development techniques to stop or delay mining projects as they do energy projects.  For example, we fear that should the EPA get away with overstepping its authority and stopping Alaska's proposed Pebble Mine project before filing for permits, it would be setting a precedent for violating due process.  It would undermine America's rule of law.  The EPA action in this case is especially egregious in that the proposed project would occur on State lands of Alaska, in an area designated for mining leases.  Below is a communication we received today relating to the environmental preparations Pebble managers are undertaking before even filing for the first permit.  Merry Christmas, Dear Readers!  -dh

Greetings,
 
We’re pleased to inform you that the KTOO video coverage of the Keystone Center’s Independent Science Panels is now available on our website.  The science panels were convened in October to review the Pebble Partnership’s environmental and socioeconomic baseline studies.
Our website also includes the PowerPoint presentations given by Pebble consultants and panel members, and the results of a follow up survey of people who registered for the panels. We are compiling an independent report on the recommendations from the science panels and hope to release the report in early 2013.  
Finally,  the Keystone Center is planning an additional independent science panel that will review Pebble’s baseline studies on wetlands, vegetation, wildlife and endangered species. We hope to hold the 2-day panel in April at a location in the Bristol Bay watershed. Details will follow.
Thank you for your continued interest in the Keystone Center’s science panels and please feel free to contact us.
Best Wishes and Happy Holidays,
TB
Todd Bryan, Ph.D.
Senior Associate
The Keystone Center
4580 Broadway, #230
Boulder, CO 80304
Tel: 303-468-8864
www.keystone.org
Cell: 303-440-8190
Anchorage: 907-868-3476

 

 

Categories:

11-12-12

12 November 2012 4:37am

Petroleum News Alaska by Eric Lidji (NGP Photo).  The public corporation of the state is currently conducting due diligence to determine whether it should build, own and operate a 4.5-mile access road connecting the existing Tarn road to the Mustang field, as well as a production pad at the development site.   After announcing a 40 million barrel discovery earlier this year, the small independent Brooks Range Petroleum Corp. is working to bring the Mustang field online by 2014.


 Consumer Energy Alliance Weekly Report


Your Alaska Link hosts Doreen Lorenz and Mark Colveccio interview Dan Fauske (NGP Photo), CEO of the Alaska Gasline Development Authority (AGDC), Dan Fauske, AGDC, Alaska Gasline Development Corporation, AGIA, Photo by Dave Harbouralso referred to as the As Soon As Possible (ASAP) project.  See video: 


Petroleum News Alaska by Eric Lidji.  Almost a decade after regulators gave the utility permission to set its rates at will, an economist representing the state Attorney General’s office believes state regulators should once again subject Fairbanks Natural Gas LLC to traditional rate regulation.  “The rationale for FNG’s economic exemption is negated by its pricing behavior,” economist Christina Klein wrote in testimony to the Regulatory Commission of Alaska.  

 
 
 
 
 

 

 

Categories:

11-3-12

03 November 2012 12:48pm

For our Oil & Gas Journal subscribers: 

ALASKA IN-STATE PIPELINE—1: STUDY CONFIRMS FEASIBILITY OF IN-STATE ALASKAN GAS PIPELINE ...   Zhenhua Rui Independent Project Analysis Inc. USA Ashburn, Va. Construction of an Alaska in-state natural gas pipeline is feasible at any of three flow rate scenarios: 500 MMcfd, 750 MMcfd, and 1,000 MMcfd. Selection of a particular rate depends on specific conditions and perspectives, but the results of the study underlying this article show that building an Alaska in-state gas pipeline is reasonable for all three, assuming a 30-year operating life. This first in a two-part series of articles examines the factors influencing construction of an Alaskan in-state gas pipeline and the form such a project might eventually take. The second part will assess capital costs before discussing the m...


 

 

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