- Jun 29, 2007
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What is this 'great wealth of experience' by Sarah Palin in standing up to Big Oil?
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Friday, Sept 05
More background on the $500+ million State of Alaska payment to TransCanada for pipeline 'permitting & preliminary work'. There is no requirement that TransCanada build the pipeline in Palin's 'Plan'. As a matter of fact the producers of the natural gas (primarily Exxon, Conoco and BP) have no interest in using it and Conoco/BP has proposed building their own gasline. Project Map for the Palin Plan
The dang leftist media
has started looking at the pipeline in articles today - (if you consider Reuters leftist media)
Alaska gas project hailed by Palin still embryonic
A look at alternatives - including a trans-Alaska pipeline with LNG Terminal. Here is a map of the 'Trans-Alaska' pipeline which currently exists. Alternatives have been proposed that would utilize the existing route and construct an LNG terminal. Congress has approved $18 billion in guaranteed financing to Alaska for the projects.
Fast-developing LNG market could be killing Alaska pipeline
(April, 2007)
Apparently this project by the Alaska Gasline Port Authority (AGPA) for a trans-Alaska pipeline and LNG terminal port was 'spec-ed' out by Governor Palin's proposal. ....
Alaska Legislature?s consultants deem Port Authority LNG project viable and beneficial to State and Producers (pdf)
(August, 2006)
So .... before Governor Palin 'stood up' to Big Oil, the proposed TransCanada pipeline by former Governor Murkowski was shot down twice by the Alaska State Legislature.
And it seems all is not 'happy-happy joy-joy' with Palin's 'exclusivity' deal for the TransCanada gasline ....
Federal Energy Regulatory Commission: Progress Made in Licensing and Constructing the Alaska Natural Gas Pipeline Report to Congress, pg 3
The lawyers are going to love this one. Palin's plan gives $500+ million in inducements and 'exclusivity' to TransCanada with no guarantee that the pipeline will be built. The gas suppliers had a previous project that was shot down because the former Governor was a crook and have no desire to use the TransCanada pipeline AND the intra-state project which is most effective and efficient, cheaper, and will get the natural gas to market more quickly was shot down by the Guv (not to mention shooting down the new proposal by the suppliers for a gasline?).
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OP
The previous governor had negotiated a deal with the North Slope natural gas producers to build a pipe from Prudhoe Bay to the Alberta Connection in Canada and on to the Lower 48. In exchange for the construction of the natural gas pipeline the state would have reduced their taxes by 5%.
Alaska gets tough on Big Oil?
A faceoff between Alaska's governor and giant oil companies may scuttle plans to build a $25 billion natural gas pipeline
Palin nixed the deal with the North Slope gas producers - and 'opened' the bidding process. One company, TransCanada, submitted a bid and is receiving a $500 million subsidy for pre-engineering with no guarantee the 1,715-mile pipeline will be built. The deal with TransCanada includes other incentives, such as a coordinator to speed up permits, in exchange for TransCanada doing its best to secure the North Slope gas producers as customers.
Get this. BP and Conoco are partners on a new joint venture called Denali. The oil companies did not apply for the state license and $500 million subsidy. They are doing pre-engineering on their own North Slope pipeline project and the implication is that lawsuits will fly if the State of Alaska shows favoritism in the pre-construction and permitting process, both on the State and Federal level.
BP, Conoco Phillips and Exxon Mobil -- which control most of the Slope's prodigious 35 trillion cubic feet of gas reserves -- opposed the TransCanada license awarded by the Guv and the State of Alaska.
TransCanada gets Senate's OK
Ooops. I guess the Guv missed that one.
btw - - The U.S. Congress has already approved $18 billion in loan guarantees for the North Slope pipeline project which some have estimated to cost more than $30 billion. Best guesstimate for the pipeline actually moving natural gas is 2018, pending lawsuits and all that ...
That's the real story, fellow ATers. Look out for the 'spin'.
While I applaud Sarah Palin's efforts at cleaning out the corrupt politician on the Oil & Gas Commission in Alaska (here is the complete story), each of the state's members of U.S. Congress is under scrutiny for ethical lapses or illegal conduct. And from what I have read as many as 10% of the State's legislators are also under investigation. Apparently you can't throw a rock (if your arm is strong enough
) without hitting a crooked pol in Alaska.
My concern is that a political campaign is branding it's party 'Country First', spinning the resume of it's VP candidate for political gain, and screaming 'Sexism' when folks point out their lack of due diligence.
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Friday, Sept 05
More background on the $500+ million State of Alaska payment to TransCanada for pipeline 'permitting & preliminary work'. There is no requirement that TransCanada build the pipeline in Palin's 'Plan'. As a matter of fact the producers of the natural gas (primarily Exxon, Conoco and BP) have no interest in using it and Conoco/BP has proposed building their own gasline. Project Map for the Palin Plan
The dang leftist media
Alaska gas project hailed by Palin still embryonic
A long-delayed natural gas pipeline championed by Gov. Sarah Palin that would carry supplies from Alaska to Canada and then to the lower 48 states exists in concept only and is years away from fruition.
The vice presidential hopeful, in her speech Wednesday to the Republican National Convention, said she fought to bring about "the largest private-sector infrastructure project in North American history" to bolster America's energy security.
"And when that deal was struck, we began a nearly $40 billion natural gas pipeline to help lead America to energy independence," Palin said.
Palin's state legislation entitles TransCanada to up to $500 million in subsidies for planning work, and it bars the state from striking a different deal with any other party.
A look at alternatives - including a trans-Alaska pipeline with LNG Terminal. Here is a map of the 'Trans-Alaska' pipeline which currently exists. Alternatives have been proposed that would utilize the existing route and construct an LNG terminal. Congress has approved $18 billion in guaranteed financing to Alaska for the projects.
Fast-developing LNG market could be killing Alaska pipeline
(April, 2007)
...US policymakers for years have yearned to see an Alaska gas pipeline built to unlock massive supplies of North Slope natural gas. But Feygin suggested that the window of opportunity may have closed because future US demand can likely be met more cheaply by importing liquefied natural gas (LNG) into the dozens of terminals now being built on the US coastline. ...
Federal Energy Regulatory Commission Chairman Joseph Kelliher has warned Congress in recent months that more delays in building the Alaska pipeline could render the project uneconomic, citing the commercial threat of increased LNG imports.
But Feygin suggested it may already be too late. "The short answer is... we don't see the likelihood of an Alaska gas pipeline before 2018 or 2020, if then ....
What's more, said Feygin, LNG supplies can be more flexibly deployed -- shipped to any number of LNG terminals around the country -- than any gas shipped into the United States via an Alaska pipeline. The Alaska gas pipeline (TransCanada) would flow all its gas to natural gas hubs near Chicago that are already well supplied by gas imported from Canada.
"There's no shortage of gas going into Chicago," Feygin said
Apparently this project by the Alaska Gasline Port Authority (AGPA) for a trans-Alaska pipeline and LNG terminal port was 'spec-ed' out by Governor Palin's proposal. ....
Alaska Legislature?s consultants deem Port Authority LNG project viable and beneficial to State and Producers (pdf)
(August, 2006)
....
The LNG project requires approximately four years to construct and would include an 800-mile gasline from Prudhoe Bay to Valdez where the gas would be liquefied for shipment on Jones Act compliant LNG tankers to the North American west coast. It would be built to accommodate an extension to Canada for the producers? project. To assist the highway project, the Port Authority has proposed to pre-build a larger capacity
line from Prudhoe to Delta Junction. The project would also accommodate spur lines for in state gas usage.....
The Alaska Gasline Port Authority was created in 1999 by the Fairbanks North Star Borough, the City of Valdez, and the North Slope Borough. Its objective was to obtain tax exempt status in order to provide an economic advantage for commercializing Alaska?s gas. The Internal Revenue Service issued a ruling in 2000 certifying its tax exempt status. AGPA is negotiating with six North American west coast LNG receiving terminals, including Sempra Energy?s Costa Azul terminal under construction in Baja, Mexico and Kittimat LNG, Inc.?s terminal in British Columbia, Canada, scheduled to begin construction this fall. Bechtel Engineering has contributed 55,000 man-hours on a detailed engineering study for the project ..... The project is also eligible to apply for up to $18 billion in federal loan guarantees .....
The Alaska/Canadian highway project (TransCanada), as proposed by Governor Murkowski, and the oil producers would require substantial oil tax and other concessions. Critics also raise constitutional and antitrust issues and Canadian officials have indicated that the contract cannot proceed without some Canadian ownership. Despite Murkowski having called the legislature back into two special sessions, the contract has failed to win legislative approval. On August 22, Murkowski was defeated by former City of Wasilla Mayor Sarah Palin for the Republican party?s gubernatorial nomination.
So .... before Governor Palin 'stood up' to Big Oil, the proposed TransCanada pipeline by former Governor Murkowski was shot down twice by the Alaska State Legislature.
And it seems all is not 'happy-happy joy-joy' with Palin's 'exclusivity' deal for the TransCanada gasline ....
Federal Energy Regulatory Commission: Progress Made in Licensing and Constructing the Alaska Natural Gas Pipeline Report to Congress, pg 3
There have been further developments with respect to two of the proposals that were not selected.
In an exchange of letters between Governor Palin and Conoco, the state took the position that the objectives of AGIA process had to be firmly adhered to, and Conoco indicated its disappointment that the state would not consider its proposal.
The Port Authority, the sponsors of a pipeline solely within the State of Alaska to supply a liquefied natural gas (LNG) export terminal and southern Alaskan markets, has asked Alaskan officials for reconsideration of their determination that its proposal was incomplete, but this request was not granted.
The lawyers are going to love this one. Palin's plan gives $500+ million in inducements and 'exclusivity' to TransCanada with no guarantee that the pipeline will be built. The gas suppliers had a previous project that was shot down because the former Governor was a crook and have no desire to use the TransCanada pipeline AND the intra-state project which is most effective and efficient, cheaper, and will get the natural gas to market more quickly was shot down by the Guv (not to mention shooting down the new proposal by the suppliers for a gasline?).
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
OP
The previous governor had negotiated a deal with the North Slope natural gas producers to build a pipe from Prudhoe Bay to the Alberta Connection in Canada and on to the Lower 48. In exchange for the construction of the natural gas pipeline the state would have reduced their taxes by 5%.
Alaska gets tough on Big Oil?
A faceoff between Alaska's governor and giant oil companies may scuttle plans to build a $25 billion natural gas pipeline
Palin nixed the deal with the North Slope gas producers - and 'opened' the bidding process. One company, TransCanada, submitted a bid and is receiving a $500 million subsidy for pre-engineering with no guarantee the 1,715-mile pipeline will be built. The deal with TransCanada includes other incentives, such as a coordinator to speed up permits, in exchange for TransCanada doing its best to secure the North Slope gas producers as customers.
Get this. BP and Conoco are partners on a new joint venture called Denali. The oil companies did not apply for the state license and $500 million subsidy. They are doing pre-engineering on their own North Slope pipeline project and the implication is that lawsuits will fly if the State of Alaska shows favoritism in the pre-construction and permitting process, both on the State and Federal level.
BP, Conoco Phillips and Exxon Mobil -- which control most of the Slope's prodigious 35 trillion cubic feet of gas reserves -- opposed the TransCanada license awarded by the Guv and the State of Alaska.
TransCanada gets Senate's OK
... Palin, who needed overwhelming support from Democrats to win the TransCanada vote, said in her press conference that the state never before had "commitments to build this line. Now we do."
That's incorrect.
TransCanada has not promised to actually build the gas line, one of the state's grandest and most frustrated economic development dreams.
The state license, awarded under the Alaska Gasline Inducement Act, or AGIA, which the Legislature passed at Palin's request last year, is not a construction contract and does not guarantee a pipeline will be built .....
Opponents said licensing TransCanada might only lead to years more delay. They said the license doesn't require construction, could expose the state to lawsuits, likely will waste the state's money, and ignores the key question of how much the state will tax gas production -- a major sticking point BP, Conoco and Exxon want settled before they sign contracts to ship gas on TransCanada's or anyone else's pipeline.
"I did not hear a clear endorsement of this concept," said Sen. Charlie Huggins, R-Wasilla, one of the five senators voting no on the TransCanada license.
Ooops. I guess the Guv missed that one.
btw - - The U.S. Congress has already approved $18 billion in loan guarantees for the North Slope pipeline project which some have estimated to cost more than $30 billion. Best guesstimate for the pipeline actually moving natural gas is 2018, pending lawsuits and all that ...
That's the real story, fellow ATers. Look out for the 'spin'.
While I applaud Sarah Palin's efforts at cleaning out the corrupt politician on the Oil & Gas Commission in Alaska (here is the complete story), each of the state's members of U.S. Congress is under scrutiny for ethical lapses or illegal conduct. And from what I have read as many as 10% of the State's legislators are also under investigation. Apparently you can't throw a rock (if your arm is strong enough
My concern is that a political campaign is branding it's party 'Country First', spinning the resume of it's VP candidate for political gain, and screaming 'Sexism' when folks point out their lack of due diligence.
