Saturday, September 17, 2011

Japan Wants USA LNG

I wonder if LNG hawk Bill Walker is on a plane to sell his idea of Valdez LNG to the Japanese?  From Bloomberg (LINK):

Japan’s senior vice minister of trade and industry, Seishu Makino, asked U.S. Energy Secretary Steven Chu at a meeting yesterday in San Francisco to increase LNG exports, Akinobu Yoshikawa, deputy manager for the Petroleum and Natural Gas Division, told reporters today in Tokyo.
“I believe we gained the U.S.’s understanding to some extent,” said Yoshikawa. “We can’t buy LNG from the U.S. unless the Department of Energy approves LNG plant owners to export. There is one plant that recently won the approval and there are two others in progress.
Japan is a motivated buyer, a long term customer, they can make X120 pipe - where's the photos of the happy Alaskan trade delegation to Japan? Come on guys - time to get your head in the game.

The only good news in the story is that Gulf Coast LNG exports to Japan will sponge up cheap shale gas and improve to overall prospects for any North American gas project.

Friday, September 16, 2011

Larry Persily - "Don't Read the BLOGS!"

LOL Larry! At the 14:45 minute mark of "The Alaska Report September 2011" Federal Coordinator Larry Persily advises Senator Mark Begich "Don't read the blogs"

Come on Larry - I try to keep it factual and on topic.  Aside from that comment I enjoyed the interview.  Thanks Senator Begich, and thanks Larry.

Sasol GTL

Sasol has plans to pursue a Gas to Liquids (GTL) project on the Gulf Coast. (LINK).  Chesapeake has been saying GTL will sponge up the shale gas glut (LINK- see page 10).  Looks like they may be right.

Quote from the DownStream Today article:

Sasol Ltd. (SOL.JO, SSL), a chemical company long known for squeezing motor fuel out of coal, is now turning its sights on the glut of natural gas in the U.S.South Africa-based Sasol on Tuesday announced plans to build a plant, at a cost of as much as $10 billion, that would convert natural gas into diesel.

Sasol's board last week approved an 18-month feasibility study for the project, which would be constructed on land adjacent to Sasol's existing chemical facility in Louisiana.If given the final go-ahead, the plant would be the first in the U.S. to use so-called gas-to-liquids technology. Once seen as far-fetched and futuristic, the technology has gained traction in recent years as the discovery of gas supplies has outpaced that of oil.
 Anything that increases demand for lower 48 gas helps Alaska in the long run.  18 months seems like a long time for a study, but I still look forward to approval for projects like this.

Saturday, September 3, 2011

Alaska Gas Pipeline - PHMSA

The DOT is seeking proposals for work on the Alaska Gas Pipeline (LINK)

The U.S. Department of Transportation (DOT), Pipeline and Hazardous Materials Safety Administration (PHMSA) are seeking proposals from qualified contractors for a program titled "Alaska Gas Pipeline." PHMSA anticipates awarding up to three (3) Indefinite Delivery, Indefinite Quantity (IDIQs) for a period of one (1) base year and three (3) option years with a total maximum shared ceiling of $4.5 million. The purpose of this RFP is to find contractors who can provide assistance in the following program areas:

A. Materials
B. Construction
C. Environmental
The contract is for only $4.5 million, but it is a start.