Proposal

Industry Brief

A proposal to cut down on flared associated natural gas supplies in the Bakken was rejected by the North Dakota Senate Wednesday on a 34-13 vote. The measure (SB 2315) by Sen. Tim Mathern would have eliminated any hardship exemptions to the state’s ban after a year. Viewed as one of the toughest proposals to combat flaring yet, SB 2315 was strongly opposed by the industry, led by the North Dakota Petroleum Council (see Shale Daily, Feb. 12). State officials increasingly have worried about flaring, which has stayed above 30%, but below a September 2011 record of 36%. Senators opposing the measure urged patience in letting the industry address the problem. Even with the ability to flare gas for a year without paying taxes or royalties, and beyond that to seek hardship status for extending the practice, some operators are trying to find uses for the gas, including using it to produce electricity to run hydraulic fracturing equipment, and to produce fertilizer (see Shale Daily, Dec. 26, 2012).

February 15, 2013

FERC OKs ISO-NE Plan to Aid Winter Gas-Fired Power

FERC has approved ISO New England’s (ISO-NE) proposal to share real-time information on natural gas-fired power generation resources with interstate gas pipeline operators in order to head off concerns about unreliable generation dispatch.

January 28, 2013

FERC Okays ISO-NE Plan to Aid Winter Gas-Fired Power

FERC has approved ISO New England’s (ISO-NE) proposal to share real-time information on natural gas-fired power generation resources with interstate gas pipeline operators in order to head off concerns about unreliable generation dispatch.

January 25, 2013

BLM Utah Office Prepares for Spring Lease Sale

A Utah field office for the federal Bureau of Land Management (BLM) has begun seeking public comment on its environmental assessment (EA) of a proposal to offer 12 parcels totaling more than 14,000 acres for oil/natural gas leases in May 2013.

December 26, 2012

Volume of Comments Pushes Fracking Rule to 2013

Don’t expect the Department of Interior to come out with a final rule addressing hydraulic fracturing (fracking) on public lands before the end of the year, said an official representing exploration and production interests in the West.

December 14, 2012

BLM Sells 15 Parcels in Utah Lease Sale

The Bureau of Land Management (BLM) said Tuesday it sold 13 of 16 available parcels in an oil and natural gas lease sale in the Green River District in east-central Utah.

November 15, 2012

Kennebec Valley Pipeline Battle Moves to Maine Courtroom

A legal battle over a Maine Natural Gas (MNG) proposal to build an 80-mile-long natural gas pipeline to Maine’s state capital and the surrounding Kennebec Valley has taken another turn with a lawsuit filed by MNG, which claims a competitor’s previously successful challenge to the project was filed too late.

October 18, 2012

Industry Brief

The Railroad Commission of Texas (RRC) is proposing to amend its rules relating to water protection to allow for a wider variety of recycling activities. The existing rules contemplate two categories of commercial recycling facilities: mobile and stationary. Since adoption of the rules in 2006, RRC has received an increasing number of applications for permits for facilities that fit neither category. Therefore, RRC proposed to create a third category: a semi-mobile commercial recycling facility. It proposes to authorize on-lease, non-commercial recycling of produced water and/or hydraulic fracturing (fracking) flowback fluid, and to clarify requirements for off-lease or centralized noncommercial recycling of produced water and/or fracking flowback fluid. It also proposes to amend the definition of “fresh makeup water pit” to allow use of such a pit in conjunction with fracking of an oil or gas well for the storage of fresh water or treated fracking flowback fluid used to make up fracking fluid for use in a new well. The changes are intended to reduce the demand for fresh water for fracking. The proposal was recently published in the Texas Register.

October 5, 2012

Creole Trail Pipeline Expansion Gets Environmental OK

FERC Tuesday issued a favorable environmental assessment (EA) of Creole Trail Pipeline Co. LP’s proposal to modify its system to accommodate the delivery of raw gas to a liquefaction project that Cheniere Energy affiliates Sabine Pass LNG and Sabine Pass Liquefaction are planning to build at the existing import terminal in Cameron Parish, LA.

September 19, 2012

Japan Planning to Phase Out Nuclear Power by 2030s

Japanese government officials on Friday announced a proposal to phase out nuclear power by the late 2030s, a major policy shift that ensures the country will need to rely on imported energy and could secure its position as the world’s biggest importer of liquefied natural gas (LNG).

September 18, 2012