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ExxonMobil and Shell Eyeing North American LNG Export Deals

Yesterday, LNG World News reported that ExxonMobil Vice President Andrew Swiger announced, at a conference hosted by Bank of America Merrill Lynch, that it was actively seeking LNG (liquefied natural gas) export terminals throughout North America, including, but not limited to, in British Columbia and on the Gulf Coast.

In terms of exports from North America, whether it is the Gulf Coast or whether it is Western Canada, it’s something we’re actively looking at,” said Swiger.

So, where are these prospective export terminals located, what are the key pipelines carrying the unconventional gas produced from shale basins, and what are the key shale basins in the mix? Hold tight for an explanation.

Golden Pass LNG Terminal and Golden Pass Pipeline

The LNG World News article explains that ExxonMobil "has a stake in the Golden Pass LNG Terminal in Texas," but does not explain exactly what the "stake" is.

A bit of research shows that ExxonMobil is a 17.6% stakeholder in the Golden Pass LNG Terminal, according to a March 2011 article publshed by Platts. It is co-owned by ConocoPhillips and Qatar Petroleum, who own a 12.4% and 70% stake in Golden Pass LNG, respectively.


Read more: ExxonMobil and Shell Eyeing North American LNG Export Deals



Gas Industry Geologists - Not Doctors - Decide If Water Is "Safe" in Alberta Fracking Contamination Cases

Water contamination is at the heart of the fracking debate. Gas companies and their well-funded industry support groups (still) adamantly contend that ‘there are no proven instances of drinking water contamination due to fracking.’ But as Chris Mooney recently wrote about in the Scientific American, and as DeSmogBlog pointed out in our featured report Fracking the Future – this argument is based more on semantics and sly avoidance tactics than scientific evidence, or personal experience for that matter. But in Alberta the oil and gas industry’s ability to deny responsibility for instances of water contamination may be related to an even greater systemic flaw – one which leaves the final verdict in the hands of industry representatives.

In Alberta, landowners who suspect their water is contaminated by gas drilling activity are directed to contact Alberta Environment (AENV), the provincial body that oversees the Water Act, and has just recently been renamed the Ministry of Environment and Water “to emphasize the importance of protecting one of Alberta’s greatest resources.”

AENV responds to complaints in tandem with the province’s oil and gas regulator, the Energy Resources Conservation Board (ERCB), previously the Energy and Utilities Board (EUB).  Upon the event of suspected water contamination, ERCB provides AENV with relevant information about the producing well, including which company it belongs to.  AENV then contacts the company who is directed to “conduct an investigation or hydrogeology study, using a qualified professional.”

Read more: Gas Industry Geologists - Not Doctors - Decide If Water Is "Safe" in Alberta Fracking Contamination Cases



Massive Natural Gas Export Deal Inked by BG Group, So Much for Industry's "Domestic Energy" Claims

The natural gas industry's favorite public relations ploy about the necessity of hydraulic fracturing (fracking), the process through which "clean natural gas" is now procured, is that the patriotic gas industry is championing the shale gas boom for domestic consumption and for "national security purposes." We now know definitively that this is pure propaganda.

Enter the smoking gun, a 20-year $8 billion agreement signed between BG Group, short for British Gas Group, and Houston-based Cheniere Energy.

The deal calls for BG Gas to export liquefied natural gas, or LNG (natural gas that has been converted temporarily to liquid form for ease of storage or transport), from Cheniere's Sabine Pass LNG export terminal, located on the Gulf Coast in Louisiana, out to the highly profitable global market, chiefly in Asia and Europe. 

Reuters referred to the deal as "a new chapter in the shale gas revolution that has redefined global markets."

The Wall Street Journal reports that BG is thrilled that it will now be able to "buy gas comparatively cheaply and sell it for much higher prices in Europe and Asia." The deal is just the beginning of a huge industry rush to export U.S. gas, according to the paper:

 Energy companies in the U.S., Canada and Australia are planning or have already begun building more than a dozen projects to liquefy and export natural gas as they seek to capitalize on growing demand for liquid-gas imports. Asia is the hottest market: its demand for liquefied gas is expected to grow 68% between 2010 and 2020, according to advisory firm Poten & Partners.


Read more: Massive Natural Gas Export Deal Inked by BG Group, So Much for Industry's "Domestic Energy" Claims



World's Biggest Fracking Operations: CBC Covers the Shale Gas Boom in BC

Yesterday the Canadian Broadcast Corporation (CBC) announced their investigative series on fracking in British Columbia. The feature report will cover the rise of the shale boom in the province’s remote northeast corner. The CBC radio report, called Cornering Gas, presents an opportunity for people to voice their concerns about the controversial fracking process and take part in the growing debate over BC’s role in the country’s energy future.

As the CBC reports, shale gas in BC has ballooned into a multi-billion-dollar industry and is expected to transform the province’s remote regions into bustling boom towns. CBC host Robert Boane and reporter Betsy Trumpener traveled to Fort Nelson to conduct interviews within a 'boom no bust' atmosphere. Fort Nelson, a town of 4000, is expected to triple in size. 

Two of Canada’s most plentiful shale gas deposits are in the area where some of the largest fracking operations in the world are taking place. Kerry Guy, speaking on behalf of the Canadian Association of Petroleum Producers (CAPP), told the CBC they currently estimate more than a century’s worth of shale gas in the region.

But the shale gas boom in BC has brought a lot more in its wake than just short-term economic opportunity.


Read more: World's Biggest Fracking Operations: CBC Covers the Shale Gas Boom in BC



New West Partnership Includes CAPP Lobbyists in Fracking Policy Development

The British Columbia Ministry of Energy was designated a “lead agency” in a backroom collaboration with Alberta and Saskatchewan to address water concerns for the province’s rapidly expanding shale gas industry. The New West Partnership, an undisclosed collaboration between Canada's three western provinces to expedite shale gas extraction, has held four secret meetings since July 2011 to discuss water issues related to fracking, according to a leaked briefing note, released today by the BC Tap Water Alliance (BCTWA).

The leaked document, including an attached directive, outlines the group’s strategies to streamline gas production across the West while minimizing public and stakeholder involvement. The partnership project, which is aimed to design streamlined policy regarding gas extraction including the controversial technique fracking, is also posed to curtail public concern with “proactive” public relations campaigns that will respond to the “ill-informed campaigns” of environmental NGOs, public media and local communities. 

The Project Charter outlines the New West Partnership’s intentions to manage public opinion with ‘consistent messages’ regarding environmental concerns which are “potentially problematic” for shale gas development. Despite the group’s pretense to stakeholder transparency and “enhanced communication,” the only external body consulted so far is Canada’s largest oil and gas lobby, the Canadian Association of Petroleum Producers (CAPP). According to the BCTWA press release, the internal meetings held by provincial regulators and government officials included three unregistered lobbyists representing CAPP, prompting a complaint from the Alberta Federation of Labour.  

Read more: New West Partnership Includes CAPP Lobbyists in Fracking Policy Development



Gas Fracking War In British Columbia’s Wildlands

Independent Members of the Legislative Assembly (MLA) in British Columbia are calling upon Premier Christy Clark to launch a comprehensive investigation into hydraulic fracturing. This demand comes late in the game, some say, after the world’s largest fracking operations have already taken place in the remote and pristine wilds of the province.

BC’s two Independent MLAs, Bob Simpson and Vicki Huntington, are not alone in their request for a full examination of the human and environmental health implications of the province’s unconventional gas resources. Supporting the appeal are numerous citizen and environmental groups, journalists, and First Nation’s representatives. They believe the rapid development of gas in BC’s north is taking place without consideration of the costs to public health and safety.


Read more: Gas Fracking War In British Columbia’s Wildlands



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Democracy is utterly dependent upon an electorate that is accurately informed. In promoting climate change denial (and often denying their responsibility for doing so) industry has done more than endanger the environment. It has undermined democracy.

There is a vast difference between putting forth a point of view, honestly held, and intentionally sowing the seeds of confusion. Free speech does not include the right to deceive. Deception is not a point of view. And the right to disagree does not include a right to intentionally subvert the public awareness.

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