ADN Commentary by Tim Bradner (NGP Photo). It’s been months since Alaskans voted to retain the new oil production tax system, but we still hear grumbling that this was a big giveaway to industry.
Time to pound a stake into this zombie.
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Bloomberg by Jeremy Van Loon. Alberta is in discussions with Alaska about shipping oil-sands crude through the U.S. state to the Pacific as approval for the southbound Keystone XL pipeline languishes in Washington. The Alaska plan would involve constructing a pipeline along the Mackenzie River valley and then west to existing ports on the U.S. coast, Alberta Premier Jim Prentice said Friday in an interview at Bloomberg’s headquarters in New York. Alaskan ports have been staging points for maritime crude shipments for decades. SEE OUR 11-20-12 LINK TO THE REPORT BY DIANE SANDS WHICH ORIGINALLY BROKE THIS STORY. -DH |
Our state government is facing staggering reductions in revenue — about 50 percent from last year — because crude oil prices have dropped through the floor. Our state finances about 90 percent of its budget with oil money. We’re now looking at a deficit of $3.5 billion but that could grow by the end of the fiscal year on June 30.
Next year looks to have a similar deficit. Luckily, we have big savings accounts to ride us through this.
But the fact is that the deficit would have been a lot worse had the Legislature not made the oil tax change. Sen. Peter Micciche, R-Kenai, says that had the old tax remained on the books there would be $1 billion less revenue last year and this year. More here….
Today's relevant energy links from the Alaska gas pipeline office of the Federal Coordinator:
- Proposed gas pipeline to Petronas LNG plant in B.C. now at 560 miles
- LNG hopefuls urge Canada to allow accelerated depreciation
- Eastern Canada LNG projects lack local gas supply — and pipelines
- Japan reportedly ready to restart nuclear reactor early summer
- Tokyo Electric, Chubu may combine power plants under joint venture
- Yamal LNG nears 25% completion mark, energy ministry says
- Most of Gazprom’s LNG from Yamal will go to Europe, South America
- First passenger flight lands at new airport to serve Yamal LNG
- Falling LNG price in Asia cuts into European re-export trade
- Cheaper LNG prices in Asia send more cargoes to U.K.
- Lack of cargoes hits short-term LNG charters
- Ichthys LNG still on target to start production December 2016
- China’s oil and gas companies pull back on deals
- Low-cost gas will help U.S. petrochemicals industry retain advantage
- B.C. developer completes purchase of land for LNG project
- TransCanada plans to join oil-by-rail business
- Rail-to-marine oil terminals proposed for Washington coast
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