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Canadian Ambassador Reiterates Canada's Opposition to LNG Vessel Traffic Through Head Harbour Passage
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February 5, 2010
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In a letter to FERC Chairman Jon Wellinghoff responding to the recently filed application of Calais LNG, the new Canadian Ambassador to the United States, Gary Doer, reiterated the Canadian federal government's position that it will not permit LNG vessels to transit through Canadian waters in Passamaquoddy Bay or Head Harbour Passage. Ambassador Doer's letter notes that since U.S. federal agencies have concluded that LNG vessel traffic through these waterways requires collaboration with Canadian authorities and Canada will not permit these activities, FERC "may ... wish to advise project proponents that they should consider withdrawing their applications." Further details are available in the Telegraph-Journal.
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Recently Appointed Commissioner Says FERC Should Focus on Safety, Environmental Impacts When Evaluating LNG Terminal Applications
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February 5, 2010
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Speaking to Platts LNG Daily, recently appointed FERC Commissioner John Norris indicated that the agency should focus on safety and environmental impacts in evaluating LNG terminal applications and allow the market to decide whether a facility is eventually built. Commissioner Norris also noted that FERC should not support one energy source at the expense of others, but rather encourage a diverse U.S. energy portfolio. [Subscription required]
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European LNG Headlines
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February 5, 2010
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- Polish LNG Company Gets Three Offers to Build LNG Port (Wall Street Journal) [Subscription required]
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Town Near Everett Terminal Plans Increased Security Measures During LNG Vessel Transits
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February 5, 2010
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In advance of scheduled LNG vessel transits from Yemen to the Everett LNG regasification terminal, Revere, Mass., officials are planning additional security measures to protect other tanker traffic. Read more in the Daily Item (Lynn, Mass.).
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R.I. Town Adopts Resolution Opposing Weaver's Cove LNG Project
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February 4, 2010
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At its meeting this week, the Jamestown Town Council adopted a resolution opposing the Weaver's Cove LNG project. Read more in the Jamestown Press.
Separately, the Rhode Island Department of Environmental Management (RIDEM) has informed Weaver's Cove that it must obtain a RIDEM water quality certification and dredging permit prior to any construction activities associated with the Weaver's Cove LNG project. RIDEM's letter is available in the FERC eLibrary under Docket No. CP04-36.
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European LNG Headlines
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February 4, 2010
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- IEA Slams Italy for LNG, Other Infrastructure Delays (Platts LNG Daily) [Subscription required]
- New Power Plant to Keep Dragon LNG Terminal Supplied (Milford Mercury)
- Bulgaria, Turkey to Cooperate on Possible Liquefaction Project (Platts LNG Daily) [Subscription required]
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Mass. Governor Satisfied with Security Procedures for Yemeni LNG Deliveries to Everett Terminal
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February 4, 2010
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Governor Deval Patrick (D-Mass.) told WHDH News that he is satisfied with the security precautions that will be taken when vessels deliver Yemeni LNG cargos to the Everett LNG import facility near Boston.
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U.S. District Court Judge Adopts Magistrate's Recommendations in Favor of Oregon LNG
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February 3, 2010
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Last week U.S. District Court Judge Michael Mosman adopted the recommendations of a federal magistrate in resolving a dispute between Oregon LNG and the Port of Astoria. The opinion, available in the PACER system under Docket No. CV 09-847-JE, concludes that Oregon LNG properly exercised its option to extend a sublease with the Port of Astoria, which must now extend the underlying lease from the State. For additional coverage, see the Daily Astorian.
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R.I. Attorney General Criticizes Weaver's Cove LNG Project at State Senate Hearing
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February 3, 2010
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Rhode Island Attorney General Patrick Lynch (D) testified yesterday before a special state senate task force created to investigate the Weaver's Cove LNG import project. Lynch testified that efforts and resources needed to secure the affected waterways during LNG vessel transit were too expensive. Two other public officials testified before the task force as well. Read more in the Providence Journal.
Separately, Weaver's Cove Energy submitted a letter to the U.S. Pipeline and Hazardous Material Safety Administration (PHMSA) seeking a meeting to address any outstanding questions the agency may have regarding the proposed LNG import project. The letter is available in the FERC eLibrary under Docket No. CP04-36.
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News Analysis: U.S. Shale Gas Plays Discouraging Construction of New LNG Terminals
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February 3, 2010
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An analysis published by NASDAQ concludes that the increased availability of natural gas from U.S. shale plays is discouraging LNG project developers from building new regasification terminals, even if the projects have been approved by U.S. regulators.
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U.S. Coast Guard to Allow Vessels from Yemen to Deliver LNG to Everett Terminal
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February 3, 2010
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The U.S. Coast Guard said yesterday that it will permit vessels carrying LNG sourced from Yemen to deliver their cargos to the Everett regasification terminal near Boston. Coast Guard Captain of the Port John Healey said that Everett terminal owner Distrigas will provide additional security measures for ships arriving from Yemen. He also noted that the Coast Guard will review each vessel as it approaches Boston Harbor and reserves the right to deny entry for certain vessels. Boston Mayor Thomas Menino (D) and other public officials criticized the decision. The Boston Globe offers further details.
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Oregon Congressional Primary Candidate Opposed to LNG Import Projects
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February 2, 2010
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David Robinson, a candidate in the Democratic Party's congressional primary in Oregon, says he does not believe Oregon needs LNG import projects to meet the state's demand for natural gas. The Daily Astorian provides further coverage.
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Editorial: Canadian Government's Position on LNG Vessel Traffic "Reasonable"
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February 2, 2010
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An editorial carried by the Telegraph-Journal argues that the Canadian federal government's opposition to LNG vessel traffic in the Canadian waters of Head Harbour Passage and Passamaquoddy Bay is "reasonable" and based on "readily verifiable arguments."
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ExxonMobil: Golden Pass LNG Terminal to Come Online in Second Half 2010
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February 2, 2010
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During a conference call yesterday an executive with ExxonMobil said that the company expects the Golden Pass LNG import terminal to come online in the second half of 2010. According to Upstream Online [subscription required], the executive said he anticipates the first deliveries of LNG "in the coming weeks."
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New Brunswick Argues Calais LNG Application Should Be Rejected by FERC
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February 1, 2010
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In a motion to reject and additional comments filed with FERC last week, the Province of New Brunswick argued that the Commission should reject Calais LNG's application to build and operate an LNG terminal and associated pipeline for failure to provide all required information. The Province asserts that the application does not address cumulative impacts from both the Calais and Downeast LNG projects, does not adequately account for the risk of an accidental LNG release, and does not sufficiently address the effects on two parks along the proposed LNG transit route. The Province also highlights that Calais completely fails to acknowledge that the Canadian federal government has unequivocally made clear that it will not permit LNG vessels to transit through the Canadian waters of Head Harbour Passage and Passamaquoddy Bay. The Province's filing is available in the FERC eLibrary under Docket No. CP10-31. The Telegraph-Journal offers additional coverage.
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Opponents of Bradwood Landing LNG Project File Brief with Ninth Circuit
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January 29, 2010
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A number of non-profit groups filed a brief with the U.S. Court of Appeals for the Ninth Circuit this week arguing that FERC did not adequately assess the environmental impacts of the Bradwood Landing LNG project on local resources and that the local energy market does not require LNG imports. The groups ask the court to vacate FERC's order authorizing construction of the terminal and its associated pipeline. The brief is available in the PACER system under Docket No. 09-70269. The Forest Grove News-Times provides further details.
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European LNG Headlines
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January 29, 2010
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- Azerbaijan to Explore Georgia Liquefaction Plan (Platts LNG Daily) [Subscription required]
- Adriatic LNG Clarifies Number of Available Third-Party Berthing Slots This Year (Platts LNG Daily) [Subscription required]
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California State Senate Passes Bill on Future LNG Proposals
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January 29, 2010
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Yesterday the California State Senate passed a bill, SB 376, that would require future LNG project applicants to certify that they have consulted with the U.S. Department of Defense and to conduct a full life-cycle analysis of the greenhouse gas emissions associated with the LNG project. The Ventura County Star offers additional coverage.
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Golden Pass LNG Terminal Expecting Commissioning Cargo in August or September
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January 29, 2010
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Platts LNG Daily [subscription required] reports that Golden Pass LNG expects to receive its first commissioning cargo in August or September of 2010.
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Kitimat LNG May Use Panama Canal Once Canal's Expansion is Complete
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January 29, 2010
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Bloomberg reports that Kitimat LNG may use the Panama Canal to sell LNG to customers in the Atlantic Basin once the expansion of the canal is completed. Citing TradeWinds, Bloomberg reports that when the expansion is complete in 2014, 80% of the global LNG fleet will be able to use the canal.
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AGA Chairman: U.S. Not Likely to Become a Major LNG Exporter
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January 28, 2010
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Robert Skaggs, the chairman of the American Gas Association, told a gathering sponsored by the New York Society of Security Analysts yesterday that he does not expect LNG exports from the United States to increase dramatically in the coming years. Skaggs expects natural gas produced in the major U.S. shale plays to find markets in North America. Platts LNG Daily provides further coverage. [Subscription required]
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FERC Planning On-Site Inspection of Lake Charles LNG Facility
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January 28, 2010
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FERC is planning an on-site inspection of the Lake Charles LNG import facility on March 23-24, 2010. This inspection will serve as the Commission's annual post-certification review of the facility. FERC's notice of the inspection and request for information from Trunkline LNG is available in the Commission's eLibrary under Docket No. CP74-138.
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FERC Chairman Says Carbon Emissions from Upstream Production and LNG Transport Should Be Accounted for in Environmental Review
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January 28, 2010
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Speaking at an event in Portland, Ore., FERC Chairman Jon Wellinghoff said that he believes life cycle greenhouse gas emissions of LNG, including GHG emissions from production and transport via vessel, should be included in the environmental review of LNG regasification terminals proposed in the United States. Chairman Wellinghoff also noted that FERC does not have the authority to make an affirmative policy decision over whether a company should be allowed to export LNG, but that the Commission can regulate the operational and environmental impacts of LNG export projects. Read more in the Daily Astorian.
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European LNG Headlines
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January 28, 2010
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- Total Silent Over Dunkirk LNG Terminal Talk (Lloyd's List) [Subscription required]
- LNG Helps Reduce UK Winter Gas Prices: Traders (Platts LNG Daily) [Subscription required]
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Maryland Dept. of Environment Requests Summary Judgment in Suit Over AES Sparrows Point LNG
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January 27, 2010
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Late last week the Maryland Department of Environment (MDE) submitted a motion for summary judgment in its law suit against the U.S. Department of Commerce over Commerce's decision to overrule the state's determination that the AES Sparrows Point LNG project was inconsistent with Maryland's federally approved Coastal Zone Management Program. MDE argues that Commerce's decision in this instance was "arbitrary and capricious" and that the information in the record does not support Commerce's decision. The motion and associated documents are available in the PACER system under Docket No. 1:09-cv-01208. Energy Law360 also offers additional coverage.
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CLNG Op-Ed: LNG Industry Committed to Safety and Security
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January 27, 2010
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Responding to a previous op-ed piece, Bill Cooper, President of the Center for Liquefied Natural Gas, writes in today's Boston Globe that "[t]he security regime surrounding LNG shipments is the most robust of any cargo imported into the United States." Cooper asserts that the proposed deliveries of LNG to the Everett LNG facility sourced from Yemen will undergo stringent security screenings before the LNG vessels arrive in U.S. waters.
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Rhode Island Environmental Agency Continues Opposition to Weaver's Cove LNG
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January 27, 2010
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The Providence Journal reports that the Rhode Island Department of Environmental Management (DEM) is continuing its opposition to the planned Weaver's Cove LNG import facility. The DEM has denied two applications submitted by Weaver's Cove and is defending both denials in state and federal court.
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Environmental Consultancy Sues Quoddy Bay LNG
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January 26, 2010
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TRC Environmental Corporation, an environmental consulting firm, has filed a complaint in the U.S. District Court for the Western District of Oklahoma against Quoddy Bay LNG alleging unpaid bills of more than $1.2 million. The complaint and associated documents are available in the PACER system [subscription required] under Docket No. 5:2010cv00062. This is the second lawsuit over unpaid invoices filed by a consulting firm against Quoddy Bay LNG. WABI offers additional coverage.
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