Port of Anchorage, CH2M Hill, Dave Harbour PhotoPORT OF ANCHORAGE. Yesterday, we were delighted to meet with management of one of Alaska's oldest, most reputable and largest employers: CH2M HILL.  (The company first helped secure the Port and City of Valdez in wake of the terrible earthquake and tsunami in 1964.)  

We discussed a wide range of CH2M HILL projects and commitments to Alaska and shall address more of those over time.  

One issue affecting Alaska oil and gas logistics is status of the developing Port of Anchorage.  Company spokesman, John Corsi gave us this statement.

 

Other News Today

Alberta premier talks oil, trade and pipeline at U.S. Chamber of Commerce event in Washington

By Meagan Fitzpatrick, CBC News Posted: Feb 04, 2015 5:08 PM ET Last Updated: Feb 04, 2015 5:26 PM ET

America is now the world’s #1 natural gas producer and will soon be #1 in oil. Now more than ever, abundant energy means abundant prosperity, opportunity and security for all Americans. Learn more at EnergyTomorrow.org.

Jim Clifton, Gallup, unemployment lies, Dave Harbour PhotoWhat CEO and Chairman Jim Clifton (NGP Photo) revealed in his blog Tuesday about how the Labor Department arrives at the monthly unemployment rate is no secret — including that Americans who have quit looking for work after four weeks are not included in the survey.  See video.

ANWR Facts Here

Fairbanks News Miner: Senate Special Committee on Energy hearing today on Alaska Industrial Development and Export Authority purchase of Fairbanks gas company.  See our IEP series here….

ADN: Peter Gruenstein Supports Senator Lisa Murkowski's Fight To Repeal Oil Export Ban

Obama's offshore drilling policies are a "shell game"

President Barack Obama's recent changes to offshore drilling policies are a "shell game" preventing oil companies from accessing billions of barrels of oil, according to The Washington Times editorial board. Red tape and tight restrictions on leasing federal lands for drilling have actually led to a 6% decline in domestic output in the last five years, the board notes, citing the American Petroleum Institute. Obama's move "puts the country's energy prospects in the hands of other and often unfriendly nations, unnecessarily increasing energy costs and preventing creation of American jobs," the board writes. The Washington Times (2/4)    

Michael Tadeo of the U.S. Senate Energy and Natural Resources Committee sends us this helpful note:

Just wanted to send this over from the Senate Joint Economic Committee. It’s a great primer on the importance of developing energy in the Arctic National Wildlife Refuge (ANWR).

This information is especially timely in response to President Obama’s announcement last month that he is unilaterally blocking Alaskans and the nation as a whole from realizing the benefits that would come from increased energy production in ANWR. 

It’s important to note that this primer puts the size of ANWR into perspective – especially the part of ANWR that would be used for energy development. ANWR is about the size of South Carolina and of the 1002 area of ANWR, where energy production would occur, only a small fraction, comparable to the size of Dulles Airport in Washington, D.C., would be used for energy production.  (SEE .PDF HERE)

February 3, 2015: From the Senate Energy And Natural Resources Committee

President Obama recently announced his intention to lock up millions of acres of land and vast energy resources in Alaska’s Arctic National Wildlife Refuge (ANWR) by designating the area as wilderness. While the Wilderness Act requires the President to obtain congressional approval for wilderness designation, the Department of the Interior is expected to begin managing ANWR as wilderness pursuant to its upcoming conservation plan. As a result, millions of acres of land and billions of barrels of recoverable oil will become off limits to legitimate development against the will of an overwhelming majority of Alaskans. Here are a few facts to consider:

1.       The federal government owns 60 percent of Alaska. Alaska contains 365 million acres of land. The federal government owns 222 million of those acres, or an area larger than the combined size of California, Oregon, and Washington State.

[1] The National Park Service and the U.S. Fish & Wildlife Service manage about half of the federal land for resource protection and wildlife conservation.[2]

2.       ANWR spans an area larger than many U.S. states. ANWR spans 19.2 million acres of land. That’s an area eight times larger than Yellowstone National Park or about the size of South Carolina.[3]

3.       Congress limited energy exploration to a small portion of ANWR. In 1980, Congress set aside 1.5 million acres of land on the north slope of ANWR for further study related to energy development. That small segment became known as the “1002 Area.”[4] It comprises only about 7 percent of ANWR.

4.       Developing oil in ANWR would impose only a small footprint. Under leading proposals for developing energy in ANWR, production and support facilities would require a footprint of only 2,000 acres within the 1002 Area.[5]That amounts to .01 percent of ANWR’s land area.

5.       ANWR contains a vast amount of oil resources. ANWR is believed to contain about 10.4 billion barrels of technically recoverable oil within the 1.5 million acres of the 1002 Area.[6] The Energy Information Administration (EIA) estimates that ANWR would produce around 1 million barrels of oil per day.[7]

6.       ANWR development is profitable even at today’s reduced prices. The EIA estimates that more than 80 percent of technically recoverable oil is commercially developable at an oil price under $40 per barrel.[8] That would value the oil resources in ANWR between $180 billion and $500 billion.[9]

7.       Opening ANWR would create tens of billions of dollars in new revenues. Tax and royalty revenues from leasing in ANWR would likely total between $90 and $190 billion over a 30-year production period.[10]

8.       Alaskans strongly support ANWR oil exploration. Tracking polls conducted over many years have demonstrated upwards of 78 percent support among Alaskans.[11]

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CH2M HILL REPORT

Yesterday, we were delighted to meet with management of one of Alaska's oldest, most reputable and largest employers: CH2M HILL.  (The company first helped secure the Port and City of Valdez in wake of the terrible earthquake and tsunami in 1964.) 

Port of Anchorage, CH2M Hill, Dave Harbour PhotoWe discussed a wide range of CH2M HILL projects and commitments to Alaska and shall address more of those over time.  

One issue affecting Alaska oil and gas logistics is status of the developing Port of Anchorage.

Spokesman John Corsi told us that his company, "…is approaching its one-year anniversary partnering with the Municipality of Anchorage and the Port of Anchorage on the Anchorage Port Modernization Project."

"During this timeframe," Corsi said, "our project team has led stakeholder outreach, resulting in the approval of the concept design by the Municipality to modernize the Port so it meets the current and future cargo demands of Alaska."

He added that, "The project will improve the reliability of the Port facilities and have a positive impact on the local and state economy. Project tasks are now being developed to move the modernization into the preliminary engineering phase, which will lead to procurement packages for design and construction. The project is on schedule, and CH2M HILL is looking forward to its successful completion."

-dh