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Former Energy Secretary, "It remains to be seen how it will handle a number of issues. "It is hard to tell how realistic it will be on issues such as fracking and renewable fuels standards, which are big questions. "The jury is still out on whether the EPA still needs to reform its role in a way that is reasonable and that takes into account all sides of the equation, including economic growth and a strong economy." –EnergyBiz, by Ken Silverstein This Friday morning, Alaskans know the jury is not still out on the subject of federal overreach! JUNEAU, Alaska (AP) – The U.S. Forest Service plans to take a portion of the timber payments it has promised or paid out to 22 states, citing federal budget cuts. … Earlier this year, (Forest Service chief, Thomas) Tidwell sent letters to 41 states, asking for the return of $17.9 mi llion in timber payments used to pay for schools, roads, search and rescue operations in rural counties and conservation projects. "We regret having to take this action, but we have no alternative under sequestration," Tidwell said in his letter to Alaska Gov. Sean Parnell, dated March 19. Alaska was given the option of having about $826,000 the state had received or expected under the act reduced from its so-called "Title II funds," for habitat improvement and other projects, or getting a bill for the money that had already been paid out under other sections of the act. Parnell refused, saying there was no basis in law for the request. …. |
Spencer Abraham (EPA Chief Gina McCarthy will visit Alaska to highlight climate action plan and tour Bristol Bay (Scroll down for details.)
Commentary: We caution Administrator McCarthy that American Citizens expect regulatory agencies to support and not obstruct the 'Rule of Law'. One of the underlying principles of a country of laws, is strict adherence to 'due process'. Here is our earlier editorial on that subject.
We also note from this Mining News story, that Canada's leader comes North in search of economic development, jobs and national security, while America's Administration seeks ways to stop development, curtail job growth and weaken national defense.
Hopefully, Administrator McCarthy will change that pattern when she returns to Washington and decides whether to continue a strategy that emasculates "due process" or to reconsider the dangerous path her predecessor began.
That process, creating a watershed assessment of an imaginary project as pretext for stopping a lawful permitting process on state lands, is wrong.
No matter whether one supports a given project or not, the public interest is best served when due process is respected and decisions are made based on an objective, legal record. -dh
(See our further commentary below.)
Release Date TODAY: 08/22/2013
Contact Information: Marianne Holsman, EPA Public Affairs, 206-553-1237, holsman.marianne@epa.gov
RELEASE DATE: August 22, 2013
WHAT: U.S. Environmental Protection Agency Administrator Gina McCarthy will travel to Alaska next week to highlight the President’s commitment to addressing climate change and its impact on the state.
Administrator McCarthy plans to visit the Portage Glacier near Anchorage to survey the effects of climate change on the region.
McCarthy is also scheduled to visit the Bristol Bay watershed where she will meet with tribes, industry representatives, fishermen, and other stakeholders in the area.
McCarthy will also visit Fairbanks to discuss ongoing air quality issues facing the community. More details are being finalized and will be released shortly.
EPA MEDIA OPPORTUNITIES (final times tbd):
- Portage Glacier Tour
When: Monday, August 26
Where: Girdwood, AlaskaTour of Fairbanks
When: Wednesday, August 28
Where: Fairbanks, Alaska
NOTE: Media interested in attending events should contact Marianne Holsman at 206-553-1237,holsman.marianne@epa.gov.
Our further commentary: As in this case, energy news often affects those who support and sponsor this public service web page.
Our position on energy related issues has been unchanged since this project began a decade ago. We completely support responsible and lawful resource development of Alaska lands as a birthright conferred by the Constitutions of the United States and Alaska, by the Alaska Statehood Act and by the votes of the people — which completed the compact existing between the United States and Alaska's people.
Over and above natural resource issues themselves, as former member of a regulatory agency, your author is especially protective of the concept and practice of 'due process', as is further elaborated in these pages.
Regardless of how one reacts to news of a given natural resources project, respect should always be given due process. If due process can be slighted by bureaucratic will and fiat, affecting one project, it can be used to affect all projects. Today it can affect mining while tomorrow violations of due process can affect energy, timber, commercial fishing, farming, recreation and other human endeavors. When malpractice of due process approaches, tyranny accompanies it.
We should all be be as prepared to guard due process as we are to defend our families against intruders.
The principle is the same. -dh
Today's Energy In Depth Links:
NATIONAL
Independents see problems in BLM’s proposed frac rule. Oil and Gas Journal. Our federal system has vested the states with the authority to ensure that development of energy sources is safe and responsible,” IPAA Pres. Barry Russell maintained. “Together with state regulators and local environmental groups, the US oil and gas industry has secured the great benefits of the shale revolution, while protecting the environment and strengthening local communities,” he said, adding, “The US Department of the Interior should not be in the business of undermining this progress.” NOTE: IPAA and the Western Energy Alliance’s joint comments also featured in Politico, Upstream Online, E&E News (sub req’d), and Rigzone.
Proposed drilling rules draw commentary. Houston Chronicle/Fuel Fix. The bureau “should recognize that states are already regulating hydraulic fracturing admirably,” said the Western Energy Alliance and Independent Petroleum Association of America, in joint comments. “The only imperative to adopt this rule is an arbitrary desire ‘to do something.’” Barry Russell, president of the association, said the extra costs would “discourage independent producers from exploring for natural gas and oil on federal lands.”
The Weekly Oil & Gas Follies. Forbes, EID’s David Blackmon. Even California Gov. Jerry Brown (D), a long-time booster of clean energy and climate action, is open to fracking. But as anti-fracking activism heats up around the country, pro-fracking Dems might find themselves increasingly at odds with their base. As we near 2016, any Democrat who wants to replace Obama might have to start singing a different tune.
Founding Father of the Shale Boom Says the Best is Yet to Come. Wall Street Journal. Hans Helmerich, who announced this week that he is retiring as CEO of Helmerich & Payne Inc. next year, is widely credited with developing a new generation of drilling rigs that have helped make the U.S. energy boom possible.
Efficiency continues to be blessing and curse in oil field services. E&E News (sub. req’d). In its latest PumpingIQ market conditions assessment, Houston-based PacWest Consulting Partners says more favorable pricing in the oil patch for third-party contractors is still difficult because companies have gotten very good at performing hydraulic fractures and well completion jobs.
BofA, Bernstein reduce US gas price outlook, blame Marcellus Shale. Platts. Two investment firms reduced their expectations for US natural gas prices Thursday, both saying production from the Marcellus Shale is increasing the size of the glut in an already crowded market. "The Marcellus is a monster and production keeps on growing," Bank of America's commodities team said in a note to clients.
INTERNATIONAL
Poland's shale drive will transform Europe. The Telegraph, Column. Outsiders can only watch bemused, puzzled why an elected government that is committed to shale, and is backed by the people, cannot bring its bureaucrats to heel and draft a coherent text. One presumes that Polish democracy will prevail in the end. If so, it is a fair bet that Poland will be Continental Europe's fracking power by the early 2020s, with enormous consequences. (More to follow…click below)
S.Africa aims to start shale gas exploration by April. Fox News. South Africa may start exploration for shale gas before elections in April next year, the trade minister said Thursday.
Resource Update Vindicates Rampart Position on North Slope Shale. Rigzone. Australia-based Rampart Energy Ltd. reported Thursday that it and partner Royale Energy’s acreage on Alaska’s North Slope is estimated to hold between .8 billion barrels and 9.5 billion barrels of original oil in place.
India to announce shale gas policy in two weeks. Platts. India has finalized its shale gas policy and it is likely to be taken to the cabinet for clearance in the next two weeks, oil secretary Vivek Rae told reporters on the sidelines of an industry event in Mumbai Thursday.
Why even shale may not reignite a flagging green movement. The Economist. At Balcombe two groups set up camp: a national movement of anti-fracking groups from areas that may be affected by shale gas exploration—NIMBYs, in short—and a larger coalition of environmentalists and anti-capitalists called “No Dash for Gas”.
PetroChina sees shale accounting for one-fifth of gas output. Platts. Chinese state-owned PetroChina expects shale gas to ultimately account for about 20% of its total gas production and is now progressing plans to accelerate its domestic resources.
IMI boosted by shale gas boom. Financial Times. Shares in IMI continued their recent upward momentum after the Birmingham-based manufacturer reported solid interim numbers and offered a rosy outlook for 2014.
CALIFORNIA
Calif. urges tougher BLM rule, cites fears on Monterey Shale. E&E News (sub. req’d). A group of 14 state senators and Assembly members signed a letter to BLM that calls for expanding the draft regulation beyond fracking. The lawmakers said that the government needs also to monitor other forms of well stimulation like acidization, where hydrochloric or hydrofluoric acid is injected into shale to allow oil to flow.
Monterey Shale and the Future of California. Fox and Hounds Daily, What has pushed the debate to the forefront is the recent estimate that California’s Monterey Shale formation could be home to 15 billion barrels of crude, about two-thirds of all the shale oil in the United States. Governor Jerry Brown has signaled that he would like to enhance California’s oil production as long as the environment is safeguarded. He has asked the question: Do we want to get oil from Venezuela or from 100 miles away?
HF bill leaves Sierra Club unsatisfied. E&E News (sub. req’d). Paul Deiro, a lobbyist for the Western States Petroleum Association, an industry group, cautioned that the bill is already too broad. He said it "goes well beyond hydraulic fracturing" by requiring disclosures for other well stimulation techniques such as acid injections
California Committee Delays Acting on HF Regulation Bill. Valley Public Radio. Theo Pahos with the California Independent Petroleum Association says the bill is too broad in its current form. “We think work still needs to be done to narrow the bill and make it so we can operate within its parameters and continue to do what we do.” The bill has cleared the Senate. It is now in the Assembly Appropriations Committee, which has delayed action on it.
HF protesters target Pavley. Simi Valley Acorn. Despite her support for environmental causes, state Sen. Fran Pavley was the target last week of anti-fracking protesters who feel the Calabasas Democrat hasn’t done enough to keep the controversial oil and natural gas collecting practice under control.
COLORADO
Colorado congressman embroiled in HF dispute. The Coloradoan. Colorado congressman who complained about a fracking rig next to his vacation property says he got no preferential treatment from state regulators who fined the drilling company. In fact, Democratic Rep. Jared Polis says the $26,000 fine for improper drilling near his northern Colorado land wasn’t steep enough.
Lafayette hears arguments over HF ban ballot issue challenge. Daily Camera. The question of what trumps what — state law or Lafayette's home rule charter — will be at the center of a decision the city clerk will make about the validity of petitions signed by more than 2,000 voters this summer to place a measure banning new oil and gas drilling on the November ballot.
Firms tout oxidation system for clean water. Northern Colorado Business Report. The technology could improve treatment of industrial wastewater, such as that produced during fracking, allowing that wastewater to be reused and reducing the need for more fresh water.
IOWA
Northeast Iowa pulled into debate on HF. Shreveport Times. There is no fracking for oil or gas in Iowa, but the state is home to one of the nation’s largest deposits of silica sand used in fracking. The sand is in high demand, so mining companies have scouted the Midwest for new spots to dig.
MICHIGAN
Michigan's manufacturing resurgence. The Detroit News, Editorial. The U.S. also claims more competitive energy prices thanks to its recent fracking boom, opening vast new oil and gas reserves and its cheap coal, nuclear, and natural gas-driven utilities. Low energy costs are attracting firms from Europe, where industrial electricity costs can be 50 percent higher than in the U.S.
Conservation group offers water testing help to Northern Michigan. Petoskey News-Review. Ahead of potential natural gas drilling in Northern Michigan, Freshwater Future, a Petoskey-based nonprofit conservation group, is rolling out a program that will allow homeowners to test their well water.
NORTH DAKOTA
State officials flag sites jeopardized by oil drilling. E&E News (sub. req’d). North Dakota officials have compiled a list of 40 historic and environmental sites endangered by the state's rapid increase in oil drilling activity. The list took two years to compile and includes grasslands and wildlife areas in the state's western oil patch, according to Karlene Fine, director of the North Dakota Industrial Commission.
NORTHEAST
Pro- and anti-HF groups plan show for Obama. Associated Press. Supporters and opponents of natural gas drilling using high-volume hydraulic fracturing, or fracking, plan to put on a show for President Obama when his tour bus rolls into Binghamton.
BofA, Bernstein reduce US gas price outlook due to growth in Marcellus Shale. Platts. Two investment firms reduced their expectations for US natural gas prices Thursday, both saying production from the Marcellus Shale is increasing the size of the glut in an already crowded market. "The Marcellus is a monster and production keeps on growing," Bank of America's commodities team said in a note to clients.
Questions on potential of PGW plant to export gas. Philadelphia Inquirer. A Philadelphia Gas Works consultant said it "may be feasible" to convert the city-owned utility's Port Richmond liquefied natural gas plant to export Marcellus Shale gas by sea.
Business partners strike shale gold through dry rubs and smoke. Pittsburgh Business Times. Benefiting from the Marcellus Shale boom in the region doesn’t necessarily mean a company must be pulling the gas out of the ground or even in the vast supply chain surrounding a well. For Dave Brown and his business partner Ryan Courter, reaping the benefit of the natural gas boom is coming from dry rubs, smoke and sauce.
County gas wells see 66 percent increase. The Cranberry Eagle. Natural gas from 108 Marcellus Shale wells in Butler County has resulted in a 66 percent increase in production in the first half of the year from the same period a year earlier.
Obama To Visit Scranton for Higher Ed Talk With HF In The Background. StateImpact PA. President Barack Obama is heading to Scranton tomorrow to talk about higher education, but the elephant in the gymnasium at Lackawanna College will be fracking.
Funding secured for gas midstream processing. Tribune Chronicle. A joint partnership working to bring more natural gas processing ability to the Utica Shale said it has secured $800 million in credit that can be expanded to $1 billion in the future.
Vacant Positions in Marcellus/Utica Shale Regions Hard to Fill. Rigzone. Engineering positions continue to be a challenge to fill in the Marcellus and Utica shale regions, reported the Marcellus Shale Coalition, (MSC) a gas drilling industry trade group. The organization released its annual workforce survey Wednesday, which found that one of the most difficult positions to fill in 2012 were in professional fields, around 49 percent. NOTE: E&E News (sub. req’d) also reports.
Mixed Jobs Reports Emerge in Pennsylvania, Ohio. NGI Shale Daily (sub. req’d). Nearly all of the workers hired by the natural gas industry for jobs in the Marcellus and Utica shales in 2012 were residents of states in the region, according to a workforce survey conducted by the Marcellus Shale Coalition (MSC). Meanwhile, researchers at Cleveland State University (CSU) found total employment growth in Ohio counties with significant shale resources is lagging behind sales activity, adding that job growth is hindered by several forces, including the price of natural gas liquids (NGL).
Opponents of Drilling in Loyalsock State Forest Deliver Petitions. StateImpact PA. Opponents of expanding natural gas drilling in the Loyalsock State Forest continue to pressure the Corbett administration. Today a small group of environmental advocates held a press conference at the Capitol and delivered thousands of petitions to Governor Corbett’s office.
OHIO
Drilling boosts spending in Ohio. E&E News (sub. req’d). Oil and gas development in Ohio's resource-rich Utica Shale has been a boon for local businesses, causing big spending boosts in the state's eastern tier.
Ohio shale gas still not creating promised jobs. Plain Dealer. Future job growth will depend on whether Ohio's shale wells produce "natural gas liquids," or NGLs, which are used by industry and whether the price of "dry gas" used for heating, power production and manufacturing increases beyond the current prices, which are below $5 per 1,000 cubic feet, Hill and Kinahan reason.
TEXAS
Eagle Ford crude production jumps over year. Bloomberg. Oil production in Texas’s Eagle Ford shale formation rose 60 percent in June from the same month the year before. The nine fields that make up the majority of Eagle Ford yielded 617,884 barrels of crude a day, according to preliminary data released by the Texas Railroad Commission, which oversees oil and gas drilling in the state. The fields produced 386,763 barrels daily in June 2012.
Area industrial growth. San Antonio Express-News. San Antonio's commercial real estate market continues to log gains as demand for premium space grows and inventory tightens. Each market — industrial, office and retail — saw tenants taking up more space in the second quarter. But the industrial sector, fueled mostly by oil-and-gas activity in the Eagle Ford Shale, saw the biggest surge, according to data from NAI REOC San Antonio, a commercial real estate firm.
Research discovers how to reuse hydraulic fracturing water. KXII-TV. Normally, water used for hydraulic fracturing would go straight down a disposal well, but David Burnett–a petroleum engineering professor at Texas A& M– has found a way not to throw it down the drain: clean it.
ZaZa Energy to use stock proceeds for Eagle Ford East acreage. San Antonio Business Journal. Todd A. Brooks, president and CEO of ZaZa Energy Corp., has purchased 1.5 million shares of the Eagle Ford-focused oil and gas company’s common stock, according to a securities filing.
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