LNG: Just Another Dirty Fossil Fuel – YouTube
January 29, 2016
Most U.S. LNG projects won’t cross the finish line, new study says – Fuel Fix
July 15, 2015
Most U.S. LNG projects won’t cross the finish line, new study says – Fuel Fix.
Most of the proposed U.S. liquefied natural gas export projects won’t get built amid stiffening competition from foreign competitors who will flood the market with the supercooled gas as demand begins to slow, a new study finds.
Five U.S. LNG projects already under construction, including Cheniere’s two terminals in Louisiana and Corpus Christi, will cross the finish line, but beyond that, construction appears “increasingly unlikely” for the remaining proposals, according to the latest study unveiled Tuesdayby a task force of natural gas experts assembled by the Brookings Institution, a Washington D.C.-based thinktank.
It’s the latest report to raise doubts about the flurry of multi-billion dollar proposals announced in recent years that would soak up vast supplies of cheap U.S. natural gas destined for markets in Asia.
“We believe it will be increasingly difficult to finance new LNG projects, due to high upfront costs in combination with a substantial number of uncertainties which influence supply and demand,” the report said.
Developers have been rolling out proposals on the assumptions that U.S. natural gas prices will remain at record low levels while LNG prices in Asia and Europe remain high, offering North American exporters attractive margins. Developers also placed bets that U.S. LNG, which is linked to natural gas prices, would allow them to hold a competitive edge over foreign suppliers, whose LNG is tied to crude prices, which were relatively high until they began falling late last year.
The report found that there are flaws in those assumptions that call into question whether U.S. LNG projects will be successful.
“While the projected number of North American LNG export facilities is massive, closer examination of the projects’ financial realities offer a more nuanced story,” the report stated.
U.S. natural gas prices are expected to rise slowly, which could undercut the competitive advantage of U.S. LNG exports unless developers figure out cheaper ways to liquefy, transport and re-heat the gas. Natural gas faces stiffer competition from other competing fuel sources, such as cheap coal and renewables, and that waning demand makes it increasingly difficult for North American LNG projects to turn a profit, the report found. And collapsing crude prices gave a fresh advantage to rival oil-linked LNG projects in other countries.
With international oil price hovering just under $60 per barrel, Australia is more competitive than U.S. exporters when it comes to supplying LNG to lucrative and high-demand Asian markets, the report found.
U.S. projects are “poised to compete favorably” in the global marketplace because they’re cheaper to build, particularly the so-called “brownfield” projects that call for converting import terminals into export facilities. Developers also have access to cheaper energy and “significant skilled labor at a reasonable cost” compared to other countries.
But swelling demand for materials and labor could erode the U.S. advantage at a time when falling oil prices are making foreign projects more attractive, the report found.
“Given all these uncertainties, possible constraints and the fact that a significant amount of projects are permeating the market in the coming years, it may be increasingly difficult to finance projects going forward,” the report said.
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You might know that Brookings is a conservative leaning think-tank.
After a quick search, I found the below linked report at their site, which may be the one being written about in the above report from Fuel Fix (what a lovely name!)
http://www.brookings.edu/research/papers/2015/07/us-natural-gas-exports
This could be useful to those fighting pipeline build-out.
Cecile
Cécile Lawrence, Ph.D., J.D.
NY Fuel taxes
November 10, 2013
No road tax on LNG/CNG
local CNG stations/prices http://www.cngprices.com/station_map.php
Small LnG plants could have big market impacts
October 29, 2013
www.platts.com/IM.Platts.Content/Downloads/externalmedia/26Nov12IE.pdf.
Sometime next year, if all goes according to plan, an ordinary tractor-trailer rig will pull up to an oil and gas drilling pad in a US shale play that is flaring a lot of gas because it is not close to any pipelines
or other gas-gathering infrastructure. In the span of just a few hours or at most a few days, workers will set up a uniquely small liquefied natural gas plant on that drilling pad that fits entirely within the confines of that 53-foot-long rubber-tired trailer. This plant will allow the drilling company to convert the flared gas to LNG right on site, as well as separate out the even more valuable butane, propane and other natural gas liquids (NGLs).
The company can then truck both of those commodities to market, or even use some of the LNG to fuel drilling rigs in that same shale play that have been consmall LnG plants could have big market impacts
verted to run on LNG instead of diesel. At least that’s the plan for DresserRand, a Houston-based company that designs and builds compressors, turbines and a host of other heavy equipment and engineering solutions for the oil, gas and power sectors in the US and abroad. Dresser-Rand recently signed a licensing agreement that allows it to manufacture and sell a newly developed type of LNG plant that is much smaller and more mobile than any other liquefaction technology on market. Brad Dickson, Dresser-Rand’s vice president and chief marketing officer, says the technology will allow exploration & development companies to capture and monetize gas and the more valuable NGLs that they are currently flaring off in remote locations that do not have. . .
The 2013 proposed LNG regulations refer repeatedly to the 2011 NYSERDA study, except that NYSERDA did not do the study but contracted it out to Expansion Energy. And it is pretty much the ONLY study cited and it is Industry propaganda, along with the press release and the write up on the DEC site about LNG regs.
Sandra’s thirty days covers all this outrage with her Saturday, Sunday and this week’s comments – she gives great background.
http://www.thirtydaysoffrackingregs.com/oct26.php Look at the posts since Saturday…all about Expansion Energy.
So the article below shows the crystal clear conflict that could not be a more shining example of collusion with industry.
LNG expansion in NY–regulations
October 17, 2013
DEC has Quietly Proposed New, Weak Rules for LNG Facilities
The Public Comment Period ends November 4
Come learn: * how to submit comments * what points to make in your comments
Keith Schue with Sandra Steingraber
and the “Return of 30 Days” Website
When: Wednesday, Oct. 23, 7 pm Where: First Unitarian Church, Ithaca 306 N. Aurora Street, on the NW Corner with E. Buffalo
Map:
http://unitarian.ithaca.ny.us/Newcomers/How-to-find-us Reception: Enjoy homemade snacks and conversation following the program More Info: Sandy Podulka, email: sgp4@cornell.edu
Background: Despite a moratorium on high-volume hydraulic fracturing, the New York Department of Conservation (DEC) is quickly and quietly trying to adopt new rules for Liquefied Natural Gas (LNG) facilities that would pave the way for fracking, threaten communities, and make us more dependent on fossil fuel. We must fight this new threat!
Keith Schue and Sandra Steingraber have scrutinized the regulations. They will present their analyses of the weaknesses and provide fodder for your comments to DEC.
The new permitting regulations (6 NYCRR 570) allow a wide range of LNG facilities, including: – LNG import/export terminals – peak-shaving plants that produce/store/vaporize LNG – regional LNG production facilities – LNG production at natural gas wells – LNG production at facilities with access to a natural gas pipeline, and – LNG fueling facilities without on-site production of LNG
The so-called regulations provide: –no setbacks from homes or businesses –no restrictions on noise –no requirement to follow local ordinances and zoning regulations –no limits on emissions of air pollutants, such as methane –no rules to monitor or report air pollution emissions –no limits on environmental damage allowed by the facilities
Furthermore, the companies don’t have to post bonds to cover the costs of accidents to the environment, people, or property, or to close the facilities when they are no longer of use. This leaves the taxpayers to foot the bill.
More Information on Commenting:
DEC web page with info on how to submit comments: http://www.dec.ny.gov/regulations/93069.html
Wiki-page by Chip Northrup and Keith Shue, on what comments to make: http://www.sourcewatch.org/index.php/New_York_LNG_regulations The Return of 30 Days: Infrastructure Regs: http://www.thirtydaysoffrackingregs.com/index.php –web page by Sandra Steingraber giving background on a different comment to make each day between now and Nov. 4
Syracuse Frackdown: Rally Against Fracking Infrastructure at DEC Meeting
The NYS DEC is considering regulations and permits for proposed Liquefied Natural Gas (LNG) facilities in New York State. This is just one example of a massive fracking infrastructure build out in the state. Nat Gas pipelines, compressor stations, wastewater treatment, powerplant conversions, the LPG storage facility in Seneca Lake and now LNG export facilities are in the works and are all a part of the attempt to bring fracking into the state.
Frack Action, New Yorkers Against Fracking, Physicians Scientists & Engineers for Healthy Energy, and ShaleShockCNY called a press conference and rally ahead of the DEC’s information session on DEC’s proposed permitting program for the siting, construction, and operation of Liquefied Natural Gas (LNG) facilities. The DEC public meeting and the press conference were had at the New York State Fairgrounds in Syracuse, NY on October 16, 2013. This event was also a part of the Global Frackdown, a global day (and week) of action against fracking. Learn more here: http://www.globalfrackdown.org/
Speaking at the press conference were Renee Vogelsang of Frack Action; Keith Schue (5:18), a former engineer with experience in policy and regulatory review; Mary Menapace (13:11), a nurse at Upstate Medical; active with ShaleShockCNY; Dr. Sandra Steingraber (16:20), internationally acclaimed author, biologist, and distinguished school in residence at Ithaca College; Joe Heath (22:01), General Counsel for the Onondaga Nation, affiliated with many grassroots organizations in the region including Stop the I-81 Pipeline.
Background:
There has been a de facto moratorium on LNG facilities since a catastrophic LNG blast on Staten Island over 40 years ago that killed 37 workers. Construction of new LNG facilities was expressly prohibited statewide by law after that explosion, but except in New York City, where a moratorium remains in effect until 2015, the legislative prohibition on LNG facilities ended in 1999. However, a “de facto” statewide ban still exists because DEC has not yet established a permitting program.
DEC’s rule making must be in accord with New York Environmental Conservation Law ECL Article 23 Title 17 for Liquified Natural and Petroleum Gas. DEC’s proposed rules are woefully inadequate and fail to address what is mandated for rule making. For details of these severe short comings, see New York LNG regulations on SourceWatch.org. To learn and respond with pubic comments on DEC’s LNG rules, as well as the related FERC (federal) review on Natural Gas Storage), and the Post Ambrose Liquified Natural Gas (LNG) port near the entrance to New York Harbor, check out “The Return of 30 Days: The Infrastructure Regs” thirtydaysoffrackingregs.com.
DEC will be holding a second information session followed by a public hearing in Albany on October 30. Details below:
From the DEC website: “Notice is hereby given that the New York State Department of Environmental Conservation (NYS DEC) is proposing to adopt 6 NYCRR Part 570 to implement a permitting program for the siting, construction, and operation of Liquefied Natural Gas (LNG) facilities in New York State (NYS). LNG facilities are those that either store LNG in a tank system or convert LNG into natural gas through vaporization. The two types of facilities that NYS DEC expects to permit most frequently include facilities to fuel trucks and facilities that store LNG as a backup heating fuel.”
Read More from DEC: http://www.dec.ny.gov/enb/20130911_not0.html
Public Meetings: NYS DEC will conduct public information meetings to present the proposed regulations and respond to questions prior to the public hearing- 10/30 at DEC HQ in Albany.
Date: Wednesday, October 16, 2013 Time: 1:00 p.m. – 3:00 p.m. Location: New York State Fairgrounds 581 State Fair Blvd, Martha Eddy Room Syracuse, NY
Date: Wednesday, October 30, 2013 Time: 10:00 a.m. – 12:00 p.m. Location: NYS DEC – Central Office 625 Broadway, Room 129 Albany, NY
Public Hearing: A legislative public hearing to receive public comment about the proposed rule making will be held as follows:
Date: Wednesday, October 30, 2013 Time: 2:00 p.m. Location: NYS DEC – Central Office 625 Broadway, Room 129 Albany, NY
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Link to the post: http://www.shaleshockmedia.org/2013/10/17/syracuse-frackdown-rally-against-fracking-infrastructure-at-dec-meeting/
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Link to Shaleshock Media: http://www.shaleshockmedia.org
GDACC 
