Saturday, March 27, 2010

Catch up News Links

Here's some dibs and dabs of Alaska gas pipeline related links:

Cook Inlet needs $2.8B Transition into an IMPORTER of LNG - OUCH

The Concerned misses AGIA (HA!)

And this from Dermot Cole (LINK)

Big honking LNG deal somewhere other than Alaska (LINK) China spends $60B on LNG - Beats buying worthless US Bonds.

Rena Delbridge's take on Alaska losing the LNG game (LINK)

Every time I see an In-State gasline story I hear the faint sound of a bong bubbling (LINK). If an in state line solves in state gas needs that's nice - but the big money is in winning the game as a global competitor. To quote Kenny Powers "I do SPORTS. Not try to be the best at exercising"

Alaska: Confronting the Prospect of 6 Billion Barrels of Stranded Gas by Steve LeVine. Denali make the case against LNG.

Geopolitics of oil. You guessed it - China

Exxon-XTO, One step closer to tying the knot. There's gas in them there shales.

Delays for the Mac-D pipeline.

BP goes for the North Slope Heavy oil (The best use for stranded gas?)

Some hope for a gas powered future - Nuke Plant Delayed.

Alaskan Advocate - Bookmark this guy.

Saturday, March 13, 2010


Say it ain't so! AGIA a FLOP? Ted Stevens thinks the big pipeline to Canada is a no-go. (LINK). He favors the line to Valdez and LNG for the global market. Sometimes it's tough to see how big oil get get a decent rate of return on the big line to Alberta.

“I have now changed that position and now support the bullet line, but I think it should go to Kenai and I support the construction of the line to Valdez. I asked for the privilege of speaking to you to try to explain to Alaskans why I have so drastically changed my position. I think that these lines are needed not only for the needs of Alaska but I think we need to concentrate on processing as much of our gas as possible into LNG.”
I've made the point before that big oil needs gas for Canada to fuel tar sand projects, but marketing LNG to the Asian market is not a bad "Plan B".

In terms of scale and level of project difficulty think Trans Alaska Pipeline + Exxon's Papua New Guinea LNG Project.

In terms of global finance wouldn't be nice to reverse the flood of dollars headed to China? Instead of Canadians with a hand out for taxpayer AGIA cash why not do business with end users with funds to invest?

Now that Uncle Ted has said it - will anybody listen?

Monday, March 8, 2010

Proposed Regulations for Alaska Gas

Alaska Department of Natural Resources Division of Oil and Gas have published regulations aimed at setting values on Alaska gas for royalty purposes. See below:

The Proposed Regulation LINKS:

(11 AAC Royalty Election Under Alaska Gasline Inducement Act.)

(Gas 15 AAC Gas Production Tax Exemption under Alaska Gasline Inducement Act)


This chapter applies only to a person that qualifies for royalty inducements provided in AS 43.90.300, AS 43.90.310, AS 43.90.330 and this chapter, by acquiring firm transportation capacity in the first binding open season of the project described in 11 AAC 25.020, or that holds a voucher issued by the commissioners under AS 43.90.330 and this chapter. For these persons, it: (1) establishes a method that the person, if qualified, may elect to use in calculating the monthly value of the state’s royalty share of gas shipped in firm transportation capacity acquired through a commitment made as provided in 11 AAC 25.020(b); and (2) establishes terms that a person, if qualified, may elect to govern the state’s exercise of its right to switch between taking its royalty-in-value or in-kind for gas to be shipped in firm transportation capacity acquired through a commitment made as provided in 11 AAC 25.020(b).

More information available at the DNR DOG website (LINK)