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Northern Gas Pipelines Update Feb. 10-11, 2012


Keystone contractor did not pose conflict of interest, IG says - Washington Post, Juliet Eilperin - The firm the State Department hired to conduct an environmental assessment of a controversial oil pipeline project did not pose a conflict of interest, the agency’s inspector general concluded in a report released Thursday.
Provinces must seek new markets for natural gas - The Globe and Mail, David Campbell - Without new markets, ambitious provincial plans from British Columbia to New Brunswick to benefit from shale gas will be have to be put back on the shelf.
Rick Perry rips Keystone rejectionCnews, Brynn Weese - "The union members that are supportive of this president ought to be up in arms that he's killing jobs in America by not allowing this Keystone pipeline to go through."
Alaska lawmakers head for DC to lobby for ANWR drilling - The News Tribune, Lisa Demer - A contingent of state representatives including House Speaker Mike Chenault are missing several days of the legislative session next week to head to Washington, D.C., and make a pitch -- once again -- for oil drilling in the Arctic National Wildlife Refuge.
Room in pipeline, but . . . - Petroleum News, Kristen Nelson - Facilities are designed to handle the field they’re built for, Walsh said. Over time the oil volume declines but the volumes of gas and water coming to the surface with the oil increase.


ADN by Becky Bohrer, AP.  A state House resolution calls on the federal government to properly plug and reclaim the sites of Charisse Millett, Alaska State Legislature, ANWR, Cathy Foerster, AOGCC, Photo by Dave Harbourso-called legacy wells within the National Petroleum Reserve-Alaska. The government drilled nearly 140  drilled nearly 140 wells in the reserve as part of an exploratory oil and gas program between 1944 and 1981....   The U.S. Bureau of Land Management oversees the abandoned wells.  The resolution says just seven wells have been properly plugged and reclaimed.  ...
  Rep. Charisse Millett (NGP Photo), R-Anchorage, the resolution's primary sponsor, said the wells threaten the Arctic ecosystem. But she told the House Resources Cathy Foerster, orphan wells, abandoned blm oil wells, IOGCC, ANWR, AOGCC, Photo by Dave HarbourCommittee this week that the state can't tell the federal government what to do, hence the resolution. Nearly the entire Alaska House has signed on in support of the measure.  
BLM-Alaska Deputy State Director Ted Murphy testified that the agency in Alaska gets just $1 million for legacy wells.  He and Cathy Foerster (NGP Photo), a commissioner with the Oil and Gas Conservation Commission, said collaboration is important for moving ahead.  But Foerster didn't hold back in her frustration, pointing out what she called the hypocrisy of the federal government in wanting to protect the Arctic National Wildlife Refuge while leaving a mess at the petroleum reserve.  She showed pictures of rusting barrels that she said were taken by BLM. She said BLM claims to have an insufficient budget to clean up the barrels but had the money for the helicopter to go out to photograph the barrels and for BLM to write a report.


Gov: Senate bill an oil tax increase; senator cites drafting error, says that's not the intent - The Republic, Becky Borher - Gov. Sean Parnell says the oil tax bill unveiled in the Senate Wednesday represents a tax increase. Technically, he's right. But Sen. Bert Stedman says that was never the intent.
Canada, China sign investment, energy agreements - Bloomberg Business Week, Gillian Wong - Canada and China expanded cooperation Wednesday with agreements to boost bilateral investment and promote energy exports to China as Ottawa seeks to diversify its oil sales.
Alaska Senate committee begins pipeline lawsuit reviewFairbanks Daily News – Miner, Matt Buxton - The decision by Superior Court Judge Sharon Gleason in Anchorage raised the value of the pipeline for 2007 through 2009 by as much as $4.3 billion. She wrote that the remaining reserves on the North Slope are substantial enough to extend the life of the pipeline many years past what oil companies claim.
U.S. Sen. Maria Cantwell helps kill latest Arctic drilling plan - The News Tribune, Rob Hotakainen - The Washington Democrat and member of the Senate Finance Committee raised objections Tuesday when Utah GOP Sen. Orrin Hatch offered a plan that would have allowed drilling rigs into the refuge and protected waters off the coast of Florida and southern California
Council considers how to pay to get natural gasHomer News, Michael Armstrong - If the city can show a commitment to building a natural gas distribution system, it might convince Gov. Sean Parnell the city has "skin in the game," the phrase Parnell used in suggesting he might approve the gas line if he sees the city putting up part of the cost.
Senator Tom Wagoner offered an alternate viewpoint on the lifetime of the TransAlaskan Pipeline System (TAPS) in testimony before the Senate Resources Committee Thursday.  Brad Keithley gave a 45 minute presentation countering the four and a half hours of testimony earlier in the week. Keithley’s point is that the issue is not the lifetime of TAPS but what is moving through it. Readers can find the press release at Senator Wagoner’s web site.  -ed



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