EXTRACTED: Daily News Clips 4/6/22
PIPELINE NEWS
Wall Street Journal: U.S. Wants More Oil From Canada but Not a New Pipeline to Bring It
Bloomberg: FERC Heads to Court to Defend Mountain Valley Pipeline Restart
Radio Iowa: Kaufmann defends plan for pipeline-related moratorium
Aberdeen News: Brown County seeks party status for Summit Carbon pipeline application
AgWeek: Carbon capture pipeline meeting set in Casselton
Moody County Enterprise: Community meeting held on CO2 pipeline
World Pipelines: TC Energy and Coastal GasLink celebrate historic equity agreement with Indigenous partners
Press release: Texas Pipeline Company Max Energy Announces Purchase of Southcross Gas Pipeline
WASHINGTON UPDATES
STATE UPDATES
Reuters: Alaska oilfield gas leak estimated at 7.2 million cubic feet
Bismarck Tribune: Mandan Refinery responds to chemical release; no indication of public threat
WyoFile: BLM whistleblower loses firing appeal in oilfield dispute
NM Political Report: When oil and gas wells stop producing, environmental impacts remain
EXTRACTION
Reuters: Exxon signals record quarterly profit from oil and gas prices
E&E News: Russia's War Rattles Global Pledge Against Methane
Reuters: Analysis: Alberta's ambitious carbon capture plans hang on Canada govt and shareholder support
Press release: Government of Canada Supports Emerging Clean Technologies in Alberta
Press release: Absolute Emissions From Canadian Oil Sands Are Set to Decline Within Next Few Years Even as Production Grows
S&P Global: Suncor divests from wind, solar in favor of hydrogen, renewable fuels in pursuit of net-zero
CLIMATE FINANCE
Washington Post: Big oil companies are using wartime profits to enrich investors, report says
E&E News: Another regulator tells big banks to account for climate
TODAY IN GREENWASHING
WHTM: Upper Allen Fire Dept. receives Energy Transfer grant
Press release: Energy Transfer Signs National Sponsorship With Carry The Load for Its 10th Annual National Relay
Press release: Windsor Fire & Rescue Awarded Grant of $5,000 from Enbridge Fueling Futures
OPINION
Forbes: Cancellation Of Keystone XL Comes Back To Haunt America
The Center Square: Whitmer, Biden in opposite directions for fuel-starved United States
The Hill: US doesn’t need to turn its back on climate to tackle rising energy demand
Colorado Sun: Suncor’s days of beguiling regulators and befouling our air at last may be numbered
PIPELINE NEWS
Wall Street Journal: U.S. Wants More Oil From Canada but Not a New Pipeline to Bring It
Timothy Puko and Vipal Monga, 4/5/22
“Biden administration officials are seeking ways to boost oil imports from Canada, people familiar with the situation say, but with one big caveat—they don’t want to resurrect the Keystone XL pipeline that President Biden effectively killed on his first day in office,” the Wall Street Journal reports. “The people said deliberations are in early stages and that no clear-cut solutions have emerged. Canada could export some more oil via rail, according to analysts and others familiar with the situation, and it could also pump more oil by increasing pressure on existing lines or by installing larger pipelines along permitted routes. Those options, however, offer limited potential because rail transport is expensive and existing pipelines are at or near capacity. Longer term, Canadian officials and oil-industry analysts say expanding the existing Keystone pipeline network would offer a bigger, more efficient solution… “Canada has ample reserves under its soil to meet U.S. demand, Kevin Birn, an analyst with S&P Global Commodity Insights, told the Journal. It just doesn’t have enough pipeline capacity to pump it here… “At the same time, White House officials tell the Journal Mr. Biden has no interest in reviving the Keystone XL pipeline project. They say that it couldn’t be completed in time to address today’s shortfall and that the president is still committed to reducing greenhouse gas emissions from fossil fuels over the long term. “While the U.S. continues to engage with a variety of producing countries to address the current supply imbalance we are seeing, the Keystone XL pipeline would have done little to nothing in addressing that supply,” a White House spokesman told the Journal.
Bloomberg: FERC Heads to Court to Defend Mountain Valley Pipeline Restart
4/6/22
“The Federal Energy Regulatory Commission will defend allowing the Mountain Valley Pipeline to continue some construction, despite allegations the agency failed to consider the project’s necessity, in oral arguments before the D.C. Circuit on Thursday,” Bloomberg reports. “Environmental groups took FERC to court after it granted the pipeline’s request in 2020 to resume work on parts of the project where it has valid permits. FERC said it didn’t need to complete additional environmental review, because it wasn’t making substantial changes to the project proposal. The commission said pipeline construction and restoration was in the best interest of the environment and landowners. Even though some permits were later invalidated, the commission was still empowered to allow construction generally, the agency told the U.S. Court of Appeals for the D.C. Circuit. The Sierra Club, Appalachian Voices, and four other environmental groups told the court that the pipeline’s erosion and sediment controls were “proven woefully inadequate in practice.” FERC’s approval violated a requirement that MVP have all federal authorizations in place before starting construction, the groups argue… “The environmental groups argue FERC ignored evidence showing the pipeline is no longer needed. The entity that holds the majority of the capacity contracts says it wants to get out of the contracts, the groups say… “Carolyn Elefant, an attorney with her own energy practice who started her career at FERC, told Bloomberg Law that a decision in favor of FERC would be “business as usual.” But a ruling in the Sierra Club’s favor “could be very significant.” “Companies that embark on a project would need to be very confident that they could finish within two years, since if circumstances were to change, they might not be able to get an extension,” she told Bloomberg.
Radio Iowa: Kaufmann defends plan for pipeline-related moratorium
O. KAY HENDERSON, 4/5/22
“A key House member says now is the time to pass a moratorium to prevent developers from seeking government condemnation of land along proposed carbon pipeline routes before February 1, 2023,” Radio Iowa reports. “Republican Senator Dennis Guth of Klemme recently said the plan does absolutely nothing because the Iowa Utilities Board process for eminent domain wouldn’t start before next February anyway. Republican Representative Bobby Kaufmann of Wilton disagrees… “Guth has indicated he’s been assured by the chair of the Iowa Utilities Board that the rules for seeking eminent domain would stretch the process out well into next year. Kaufmann said the point of the House proposal is to address the fears of property owners who do not want the pipelines to pass through their land or feel pressured to sign leases with the developers. “Landowners who don’t believe what Senator Guth says about the IUB timeline. They don’t believe what I say about the IUB timeline. They don’t believe what the pipeline companies say about the IUB timeline,” Kaufmann told Radio Iowa. “They believe that once we leave, the playing field changes, so putting a moratorium on eminent domain until we’re back is a very impactful thing.” Kaufmann told Radio Iowa the moratorium — which would be in effect while the legislature is not in session — is designed to send a message to the pipeline developers, too. “To pass pipeline legislation regarding eminent domain is a message to the pipeline companies that we have an expectation as a legislature for you to negotiate fairly,” Kaufmann told Radio Iowa..
Aberdeen News: Brown County seeks party status for Summit Carbon pipeline application
Elisa Sand, 4/6/22
“Brown County has joined a long list of people and communities who have applied for party status in connection to the Summit Carbon Solutions pipeline application with the Public Utilities Commission,” the Aberdeen News reports. “County Commissioners unanimously approved the motion Tuesday at the board's regular meeting, after once again receiving multiple comments from residents who are opposed to the project. Friday is the deadline to be added as a party. Commissioners join Edmunds, Spink and Hand counties, which have already been approved as parties as well as McPherson County, which also approved a motion to file for party status on Tuesday, according to McPherson County Auditor Lindley Howard. The city of Leola has also applied for party status… “Residents expressed a variety of concerns. Former Emergency Management Director Freddie Robinson asked commissioners how emergency responders are expected to prepare for the potential of a line break, when that break will release a cloud of gas that could kill people and animals in the immediate area… “In making the motion to file for party status, Commissioner Dennis Feickert cited concerns about the safety of the county, emergency services, the impact this project will have on county land valuations and planning and zoning issues… “Commissioner Doug Fjeldheim also asked if the county's zoning regulations would apply if this is a federally backed contract. Aldentaler said the county's zoning regulations could be pre-empted by federal regulations, which may allow the pipeline closer than local zoning ordinances allow. The county could pursue civil remedies if there are zoning violations, he said, but there isn't a violation until the pipe is in the ground.”
AgWeek: Carbon capture pipeline meeting set in Casselton
Jeff Beach, 4/5/22
‘An organizational meeting for landowners in the path of a planned carbon capture pipeline is set for Thursday, April 7 in Casselton,” AgWeek reports. “The Dakota Resource Council is organizing the meeting from 7 to 9 p.m. Thursday at the Veterans Memorial Auditorium, 702 First St. N. in Casselton. The agenda listed by the council includes safety concerns for the hazardous material, organizing strategy and legal options. Joining the meeting by Zoom will be Brian Jorde, an attorney with Domina Law in Nebraska, a firm that represents landowners concerned about the controversial pipeline and the potential use of eminent domain to obtain right-of-way… “Summit will need to file for permits with the North Dakota Public Service Commission for the pipeline and the North Dakota Industrial Commission for the storage site… “While liquid carbon dioxide can be used for enhanced oil recovery, Summit has said that is not in its business plan.”
Moody County Enterprise: Community meeting held on CO2 pipeline
4/5/22
“Dozens of area landowners, farmers and other concerned citizens met this past weekend to learn more about the proposed Heartland Greenway C02 pipeline that is slated to run through Moody County,” the Moody County Enterprise reports. “The proposed Heartland Greenway line would run south through Moody County, originating at the Valero Ethanol Plant in Aurora… “That is, if the line gets approved by the state Public Utilities Commission. Currently, Heartland Greenway has not officially filed paperwork to build in the state, but the expectation is that it will happen later this summer or early this fall, company officials tell the Moody County Enterprise.”
World Pipelines: TC Energy and Coastal GasLink celebrate historic equity agreement with Indigenous partners
Sara Simper, 4/5/22
“Coastal GasLink is proud to announce that TC Energy has signed option agreements to sell a 10% equity interest in Coastal GasLink. The opportunity was made available to all 20 Indigenous communities holding existing agreements with Coastal GasLink and is an important step on the path to true partnership through equity ownership in the project,” World Pipelines reports. “The finalisation of the option agreements represents a historic milestone in our desire to participate as equity owners in Coastal GasLink. For many, this marks the first time that our Nations have been included as owners in a major natural resource project that is crossing our territories,” states Chief Corrina Leween of the Cheslatta Carrier Nation, and member of the CGL First Nations Limited Partnership Management Committee. Coastal GasLink’s Indigenous partners have been instrumental in the construction of the company. Since construction began, Coastal GasLink have had hundreds of key roles held by local Indigenous people, and over CAN$1 billion in project contracts have been awarded to local Indigenous businesses. In 2021 alone, Coastal GasLink invested over CAN$550 000 in local Indigenous communities to support community initiatives, skills training and education.”
Press release: Texas Pipeline Company Max Energy Announces Purchase of Southcross Gas Pipeline
4/4/22
“Texas pipeline company Max Energy continues to make moves as it today announced the purchase of the Upper Gulf Coast Pipeline System from Southcross Gulf Coast Transmission, Ltd. Southcross Gas Pipeline system. This purchase will add another 328 miles of existing pipeline to the impressive collection of transportation, terminaling, and loading infrastructure Max is putting together on the Texas Gulf Coast… “Max Energy will immediately begin work on converting segment of the pipeline to crude operations. Before the end of the year, Max plans to have completed an interconnect with the Grey Oak Pipeline and the Victoria Express Pipeline, which will further expand access to growing crude production from the Permian and Eagle Ford basins. Max is also developing plans to connect its growing pipeline system to both the Houston and Corpus Christi markets. This will provide customers with more options for crude movements…And, Max will continue to develop all assets within the commitments of maintaining a carbon-neutral export facility.”
WASHINGTON UPDATES
E&E News: Cantwell mulls Enron-like transparency mandates for petroleum
Jeremy Dillon, 4/6/22
“The congressional fight over high energy prices may give lawmakers an opening to introduce Enron-like transparency reforms into how the federal government monitors the trade of large transactions of petroleum products, according to a leading senator heading Democrats’ response to recent price spikes,” E&E News reports. “Senate Commerce, Science and Transportation Chair Maria Cantwell (D-Wash.) said yesterday during a hearing on alleged oil market manipulation that she is crafting legislation that would extend additional authorities to the Federal Trade Commission to enable stronger responses to potential market manipulation in the spot petroleum markets. Such an effort would look to match similar authorities granted to the Federal Energy Regulatory Commission in the 2000s in the aftermath of the Enron scandal, which exposed accounting and market fraud in the electricity and natural gas markets. Those powers have resulted in over $1 billion in fines since they were put in place… “Cantwell said an “opaqueness” hangs over the market transparency of the price of refined petroleum products in between its stages of the price of crude oil and the price of gasoline at the pump… “The accusations stem, the lawmakers said, from the slow price response for gasoline prices to match declining global crude oil markets, even though prices rose rapidly in response to price spikes last month. Known as the “rocket and feather” phenomenon, the concept has angered Democrats for exposing consumers to extended high prices, even as the White House readies actions to lower prices.”
Politico: FERC’S DOLLAR ASK
Matthew Choi, 4/5/22
“FERC is hoping to bolster its community engagement work with a $44 million budget boost. The self-funded agency is asking Congress to sign off on its fiscal 2023 budget that would total $508.4 million for the commission and includes more hires centered on environmental justice work and funding for the Office of Public Participation. The commission hopes to hire 43 full-time employees and raise staff pay 4.6 percent
STATE UPDATES
Reuters: Alaska oilfield gas leak estimated at 7.2 million cubic feet
By Yereth Rosen, 4/5/22
“More than 7.2 million cubic feet of natural gas escaped in a leak at a key Alaskan oilfield, forcing workers to evacuate and cutting production last month, operator ConocoPhillips and a state regulatory agency told Reuters. “ConocoPhillips (COP.N) is working to seal off the leak at its Alpine field, the Alaska Oil and Gas Conservation Commission said in a report, as it determined the gas volume lost in the leak discovered a month ago that brought a cut in oil output… “As site remediation work continues, Conoco said it was placing cement in multiple steps to isolate the shallow geologic formation identified as the source of the gas. Then it will plug the source, the company said on its incident website… “Discovery of the leak led to the temporary evacuation of about 300 of the roughly 400 workers at the field.”
Bismarck Tribune: Mandan Refinery responds to chemical release; no indication of public threat
AMY R. SISK, 4/4/22
“Emergency and refinery officials responded Monday morning to a chemical release at the Mandan Refinery that prompted an evacuation of some workers until the issue was resolved,” the Bismarck Tribune reports. “The North Dakota Department of Environmental Quality confirmed a release of hydrofluoric acid, which the oil refinery operator said began around 8 a.m. Marathon Petroleum did not know how much of the chemical was released but said it was taking steps to monitor air quality and that there "is no indication of community impact." “...Workers were seen walking back toward the refinery midmorning. Marathon said no injuries had been reported and that it would conduct an investigation to determine the incident's cause. "The top priorities at this time are to ensure the safety of responders, the community and to limit environmental impact," Marathon said… “The Department of Environmental Quality has an ambient air quality monitor in Bismarck, but it would not detect hydrofluoric acid, Pfaff told the Tribune… “Hydrofluoric acid is used extensively in oil refining and other industrial processes, according to the National Institute for Occupational Safety and Health. The substance "is considered a weak acid but is still extremely harmful due to its ability to penetrate tissue," according to the institute. Breathing in the chemical can irritate the eyes, nose and respiratory tract, and skin contact can cause burns and be fatal in some cases, according to the U.S. Centers for Disease Control and Prevention. The severity of a person's reaction depends on the amount and length of exposure.”
WyoFile: BLM whistleblower loses firing appeal in oilfield dispute
Angus M. Thuermer Jr., 4/5/22
“A federal administrative judge has rejected an appeal by a whistleblower who claims he was fired from his federal job after advocating for migrating birds at a huge Wyoming gas- and oilfield, the whistleblower’s attorney said Monday,” WyoFile reports. “...Loewen testified about how he raised worries about migrating and nesting raptors while reviewing the 5,000-well Converse County Oil and Gas Project. PEER said he was fired for doing his job. Loewen’s supervisor said the former BLM employee failed to perform a variety of duties, leaving her no option but to terminate him. At issue are some 1,500 non-eagle raptor nests sites for ferruginous hawks, kestrels, owls and other birds. Development is supposed to be held at bay when birds mate and fledge their chicks, PEER stated. Instead, BLM waived protection for 98 raptor nesting sites for a year, with more waivers possible. Critics panned BLM for its plan, including the Wyoming Game and Fish Department, which said the federal agency had chosen a development option “most impactful” to wildlife. The appeal contended that Loewen was forced to kowtow to Trump-administration desires to advance oil and gas development regardless of some environmental impacts… “But Loewen’s supervisor, Jennifer Fleuret McConchie, laid out how she believed Loewen’s work fell short… Among other things, “he had failed to follow my instructions on several occasions,” she said at the hearing. “He was unable to understand his role. I proposed removal. There were no other options.”
NM Political Report: When oil and gas wells stop producing, environmental impacts remain
By Hannah Grover, 4/5/22
“Throughout New Mexico, there are thousands of oil and gas wells that have not produced in years but remain unplugged,” according to NM Political Report. “...Environmental advocates have identified hundreds of wells, as well as associated infrastructure, in this field that have not produced in years. Some of these sites are contributing to environmental degradation. This includes leaking methane from a separator tank, overflowing tanks leading to puddles of thick black liquid on the ground and leaking chemicals from containers. Jeremy Nichols, the director of the climate and energy program for WildEarth Guardians, called these wells “zombie wells.” “It’s really shameful what’s going on here,” he told the Report. Last summer, WildEarth Guardians sent a notice of intent to sue to the New Mexico Oil Conservation Division in an attempt to force operators or the OCD to plug these inactive wells, including wells on federal lands. Since then, Nichols told the Report the group has had discussions with the OCD and is still evaluating its next steps. Once a well on BLM lands is classified as orphaned, OCD Director Adrienne Sandoval told the Report the state works with the BLM to plug it. Sandoval told the Report the OCD relies on a federal grant program for plugging of wells on federal land… “But before the OCD can step in and work to get the wells plugged, the BLM must classify them as orphaned and request that they be plugged… “Sandoval told the Report the OCD plugs 30 to 50 orphaned wells a year and the number of wells that can be plugged in a year depends on funding available.
EXTRACTION
Reuters: Exxon signals record quarterly profit from oil and gas prices
By Sabrina Valle, 4/4/22
“Exxon Mobil Corp (XOM.N) on Monday said its first-quarter results could top a seven-year quarterly record, with operating profits from pumping oil and gas alone of up to $9.3 billion,” Reuters reports. “A snapshot of the largest U.S. oil company's quarter ended March 31 showed operating profits from oil and gas, its biggest unit, could jump by as much as $2.7 billion over the prior quarter's $6.6 billion… “Exxon shares, which have jumped 36% year to date, rose slightly on Monday to $83.16… “The blockbuster oil and gas profits offer a preview of what lies ahead for other firms' oil earnings. Such results could strengthen calls by U.S. and European Union lawmakers for windfall profit taxes on energy companies.”
E&E News: Russia's War Rattles Global Pledge Against Methane
Sara Schonhardt, 4/5/22
“Europe’s rush to end its dependence on Russian gas imports has brought about a pivotal moment in the global climate fight. One possible outcome: It could motivate policymakers to transition faster to clean energy — as many have promised. Another, more worrisome possibility: It could threaten efforts to quickly reduce emissions of methane, one of the world’s most potent planet-warming gases,” E&E News reports. “A key question for Europe is how long its leaders will prioritize energy security over climate considerations. For the United States, the big question is whether American producers will reduce their emissions as they rush to accelerate shipments of liquefied natural gas (LNG). And for other world leaders the question is how they will respond to events that have shaken global energy markets… “According to the International Energy Agency, nearly all of the options for reducing emissions from oil and gas operations globally could be done at no net cost given the spike in gas prices over the past year. ‘This is one of the rare situations where there is an opportunity to both meet new primary energy demand and do something good for the climate at the same time,’ Matt Watson, vice president of the energy program in North America at the Environmental Defense Fund, told E&E.
Reuters: Analysis: Alberta's ambitious carbon capture plans hang on Canada govt and shareholder support
By Nia Williams and Alexander Schummer, 4/5/22
“Canada's highest-polluting province Alberta is moving forward on building a broad carbon capture and storage (CCS) industry, but progress still hinges on government funding and heavy emitters being willing to invest in the costly technology,” Reuters reports. “If successful, Alberta's CCS strategy could unlock billions of dollars in investment from global corporations aiming to hit net-zero emissions by 2050, like chemical maker Dow Inc (DOW.N) and hydrogen producer Air Products (APD.N). The province last week picked six proposals from firms including Enbridge (ENB.TO) and Shell (SHEL.L) to explore developing open-access carbon storage hubs in the Edmonton region. The hubs would have capacity to store around 20% of oil-rich Alberta's total emissions, according to National Bank analysts. But developing carbon storage is just one part of the equation. Heavy industrial emitters also have to invest in the technology needed to capture carbon and transport it to storage sites, a costly process that does not make money for polluters. Canada's highest-emitting industry, the oil and gas sector, has been pushing for a federal tax credit to cover as much as 75% of the upfront costs, even as producers enjoy record free cash flow from surging crude prices. "These are very large-scale, capital-intensive projects," Mark Demchuk, national director of the International CCS Knowledge Centre, told Reuters. "Operating sustainably is important to shareholders, but return on capital invested is a pretty critical component." “...In Canada, companies are calculating in the long-term investing in CCS will prove cheaper than paying rising federal carbon taxes, set to climb to C$170 a ton by 2030 from C$50 now.”
Press release: Government of Canada Supports Emerging Clean Technologies in Alberta
4/4/22
“The Government of Canada is making investments to enhance Canada’s competitive advantage, diversify market opportunities, create good middle-class jobs and achieve our emissions reduction targets. Today, the Honourable Jonathan Wilkinson, Minister of Natural Resources Canada, announced a combined investment of over $7.5 million to four organizations in Alberta that are advancing emerging clean technologies to grow our economy and help Canada meet its environmental targets. These projects include: $3,000,000 to Suncor Energy Inc. in Fort McMurray, Alberta, to demonstrate the effectiveness of the Permanent Aquatic Storage Structure to accelerate the dewatering and removal of contaminants in fluid tailings and, combined with watershed design, to create a self-sustaining boreal pit lake ecosystem; $2,000,000 to Cenovus Energy Inc. in Calgary, Alberta, to demonstrate the effectiveness of a partial-upgrading process which is intended to reduce diluent use and the greenhouse gas emissions related to crude transportation… “Federal funding was provided through the Clean Growth Program, a $155-million investment in clean technology research, development and demonstration projects in three Canadian sectors: energy, mining and forestry. The program launched in 2017–18 and sunsets this year.”
Press release: Absolute Emissions From Canadian Oil Sands Are Set to Decline Within Next Few Years Even as Production Grows
4/5/22
“By the middle of this decade greenhouse gas (GHG) emissions from Canadian oil sands production should be in decline even as production continues to grow, according to a new comprehensive report by S&P Global Commodity Insights that takes into account current technology trends and production growth... “Immediate pressure on absolute emissions to rise is expected in the short-term prior to that point. Absolute emissions are then expected to begin to decline from a level between 87-89 MMtCO2e, even as production rises by more than 600,000 barrels per day during the same period (2020 to 2025)... “From 2020 to 2035, S&P Global Commodity Insights projects GHG intensity of the Canadian oil sands could decline from 20-28% with some segments seeing much more dramatic reductions. Meanwhile, production growth in the study was projected to increase by more than 800,000 to 1.2 million barrels per day during this period. Most of that growth is expected to occur by 2025. Efficiency improvements, including higher facility utilization rates as well as the roll-out and ramp-up of newer, less GHG-intensive operations have been leading contributors to past intensity reductions. These factors are expected to continue to play a role in future. However, carbon capture and storage as well as what S&P Global Commodity Insights is calling steam displacement technologies have the potential to result in more dramatic reductions. "Although it can take time to be developed, carbon capture and storage is a wildcard when we look at technologies that can really make a difference for large industrial scale emitters like in the oil sands," Birn said.
S&P Global: Suncor divests from wind, solar in favor of hydrogen, renewable fuels in pursuit of net-zero
Brandon Mulder, 4/5/22
“Suncor Energy, Canada's largest oil sands producer, is ditching its wind and solar investments and shifting its focus to hydrogen and renewable fuels in pursuit of its commitment to net-zero by 2050, the company said April 4,” S&P Global reports. “According to its announcement, the shift focuses the company's net-zero efforts on "areas that are complementary to its base business," which is extracting and refining crude oil from its oil sands operations… “Part of the company's new hydrogen strategy includes a project it announced last year, in partnership with ATCO, which would produce more than 300,000 mt/year of clean hydrogen produced using carbon capture technologies with a 90% capture rate. Most of that hydrogen, 65%, would be used to power and reduce emissions of Suncor's existing refinery operations in Alberta. Another 20% could be used in Alberta's natural gas grid, the company said… “But the oil field's largest producers have said that the oil sands' increased production of carbon-intensive crude must be coupled with emission-reduction efforts if production is to continue ramping up. Last year, Suncor and five other leading Canadian oil producers formed the Oil Sands Pathways to Net Zero Alliance for net-zero emissions by 2050. That ambition will largely rely on carbon capture and storage technology and the Alberta CCS hub within which all emissions from oil sands production could be stored.”
CLIMATE FINANCE
Washington Post: Big oil companies are using wartime profits to enrich investors, report says
Maxine Joselow, 4/5/22
“The nation's biggest oil and gas companies have significantly increased stock buybacks and dividends since Russia invaded Ukraine in late February, raising questions about whether the firms are using wartime profits to enrich investors instead of curbing Americans' pain at the pump, three liberal advocacy groups write in a new report shared exclusively with the Washington Post. “.The report released today by Friends of the Earth, Public Citizen and BailoutWatch turns up the heat on the fossil fuel industry ahead of two high-profile congressional hearings this week, when Democrats plan to scrutinize the industry's windfall profits amid rising crude prices sparked by the war in Ukraine. The three groups looked at Securities and Exchange Commission filings and public statements from the 20 largest U.S.-headquartered oil and gas companies, including Chevron, ConocoPhillips, Devon Energy, EOG Resources and ExxonMobil. The groups' analysis focused on buybacks, which often raise a company's stock price, rewarding its shareholders. Critics say that buybacks inflate executive compensation while doing nothing to improve a company's products and services. The groups also examined dividends, the quarterly payments that investors receive for owning shares. The main findings: In January and February, seven companies' boards authorized their corporate treasuries to buy back and retire $24.35 billion in stock — a 15 percent increase over all of the buybacks authorized in 2021. Six of those decisions came in February, after fears of Russian aggression against Ukraine lifted stock prices. In total, the 20 companies announced $45.6 billion in stock buybacks since the start of 2021… “This is a master class in war profiteering. Humanitarian disaster and consumer pain are being turned into Wall Street profits in real time,” Lukas Ross, program manager at Friends of the Earth and co-author of the report, told the Post.
E&E News: Another regulator tells big banks to account for climate
Avery Ellfeldt, 4/1/22
“A second federal banking regulator has published draft guidance that lays out how major lenders should handle the threats they face from climate change,” E&E News reports. “The Federal Deposit Insurance Corp. said this week that it expects banks with more than $100 billion in assets to take steps to assess and limit their exposure to extreme weather events and the clean energy transition. In its draft guidance, the FDIC outlined what banks should do. Among the recommended steps: Ensure boards and executives are climate-risk savvy, consider global warming when forging business strategies, and develop processes to both identify and curb their financial vulnerabilities in a warming world. Examples of ways banks could do so include producing heat maps and “climate risk dashboards” and conducting climate scenario analysis. “Climate-related financial risks pose a clear and significant risk to the U.S. financial system and, if unmitigated, may pose a near-term threat to safe and sound banking and financial stability,” noted the FDIC in the document, which was published Wednesday. “Weaknesses in how institutions identify, measure, monitor, and control the physical and transition risks associated with a changing climate could adversely affect a financial institution’s safety and soundness, as well as the overall financial system,” it added.
TODAY IN GREENWASHING
WHTM: Upper Allen Fire Dept. receives Energy Transfer grant
Avery Van Etten, 4/5/22
“The Upper Allen Township Fire Department accepted a grant for over $17,000 from Energy Transfer and its First Responder Fund. The money will be used for new fire fighting equipment,” WHTM reports. “The grant we put in will purchase five sets of turnout gear. Turnout gear is getting very expensive, we have to replace our turnout gear every ten years,” Upper Allen Township Fire Department Chief Tom Shumberger told WHTM. Energy Transfer distributes around $1 million to first responders each year.”
Press release: Energy Transfer Signs National Sponsorship With Carry The Load for Its 10th Annual National Relay
4/5/22
“Energy Transfer (NYSE: ET) announced today it has signed on as a national sponsor of this year’s Carry The Load 10th Annual National Relay that honors the sacrifices of our nation’s military, veterans, first responders and their families… “Energy Transfer’s sponsorship will help support the busses that travel with the national relay teams… “Supporting our veterans, first responders and their families is incredibly important to Energy Transfer and our employees,” said Mackie McCrea, co-CEO, Energy Transfer. “We are honored to partner with Carry The Load because of their commitment to honor those who served, and remember those who made the ultimate sacrifice for our freedom.”
Press release: Windsor Fire & Rescue Awarded Grant of $5,000 from Enbridge Fueling Futures
4/5/22
“Windsor Fire & Rescue Services has been awarded a $5,000 grant from the Enbridge Fueling Futures program. The grant will assist Windsor Fire with training and development programs for their fire prevention division… “This collaboration with Enbridge Fueling Futures and Windsor Fire & Rescue Services helps to ensure that our citizens are provided with a high level of professional support and customer service. Together we are energizing communities through initiatives that strengthen the safety, vibrancy and sustainability of Windsor-Essex. Enbridge is proud to support local priorities that make positive and lasting impacts in our communities.”
OPINION
Forbes: Cancellation Of Keystone XL Comes Back To Haunt America
David Blackmon, 4/5/22
“The Wall Street Journal carried a report on Tuesday detailing meetings between officials of the U.S. and Canadian governments focused on finding ways to increase Canada’s exports of crude oil into the United States as gasoline and diesel prices continue to rise. To no one’s surprise, the Journal quotes sources as saying that “deliberations are in early stages and that no clear-cut solutions have emerged,” David Blackmon writes for Forbes. “...But, of course, the cancellation of TC Energy’s multi-billion dollar investment in exactly such a pipeline - the northern extension of the Keystone XL system - became one of President Biden’s first acts in office on January 20, 2021. Thus, those involved in the discussion are left to choose among an array of bad and impractical options: Bring more oil in by trains or trucks, both of which are more polluting and less safe than pipelines, or trying to figure out how to bring more in on other, older lines already operating at or near full capacity… “If President Biden and his advisors truly want to improve the ability for Canada to import more oil into the U.S., how about invoking the Defense Production Act as a means of expediting the build-out of the remainder of the Keystone XL system? Maybe even provide some subsidy dollars to make up for a portion of the huge losses TC Energy incurred when its’ cross-border permit was cancelled without cause.”
The Center Square: Whitmer, Biden in opposite directions for fuel-starved United States
Bruce Walker, 4/5/22
“President Joe Biden may be preparing to make a big ask of the United States' neighbor to the north, and if he does it will run contrary to the agenda of Michigan Gov. Gretchen Whitmer and her administration,” Bruce Walker writes for The Center Square. “According to Tuesday's Wall Street Journal, the first-term Democratic president is considering asking Canada to boost its oil exports to the United States. However, the president halted construction of the Keystone XL Pipeline on his first day of office. XL would've have transported 830,000 barrels of Canadian crude from Alberta to Nebraska each day. In the meantime, the Michigan governor and Attorney General Dana Nessel – both Democrats like Biden – have been working in the courts to permanently shut down a five-mile portion of the Enbridge Line 5 pipeline which ships 540,000 barrels of Canadian hydrocarbons daily across a five-mile section of the Straits of Mackinac lakebed… “Facing the reality of rising oil prices, the president previously asked Venezuela and Saudi Arabia to increase oil exports to the United States. The WSJ notes the Biden administration will ask the Canadian oil producers to transport the hydrocarbons via rail cars and existing pipelines rather than rebooting the XL project.”
The Hill: US doesn’t need to turn its back on climate to tackle rising energy demand
Abigail Dillen is the president of Earthjustice, a nonprofit public interest environmental law organization, 4/5/22
“A transition to renewable energy that is both fast and fair is eminently possible,” Abigail Dillen writes for The Hill. “In the U.S. alone, we already have almost all the technologies we need for a 100 percent transition to clean energy by 2035, with much of that transition completed by 2030….”By now, it is widely understood that the obstacles we face are neither technical nor economic, but social and political. By invoking the Defense Production Act, the Biden administration is now poised to ensure a sustainable supply chain for the critical minerals we need to cut climate emissions, electrify our transportation sector and transition to clean energy. As we navigate what remains of this crucial, make-or-break decade of the 2020s, the administration must undertake every effort to ensure that in our transition to clean energy we do not shift the burden of energy production from one community to another… “In addition, making this critical time of transition fast and fair while also increasing new fossil-fuel infrastructure is not possible… “Sending and rerouting existing LNG supply to Europe is reasonable and humane. But building out new LNG infrastructure is the wrong choice — it can be neither fast nor fair… “While we provide immediate assistance to Europe, rapid U.S. investment in a fast and fair transition to clean energy, with the urgency of war-time production demands, is thelong-term path forward. Our collective transformation must start now. Entrenching fossil fuel dependence is the wrong choice. This moment is critical, and the stakes are high.”
Colorado Sun: Suncor’s days of beguiling regulators and befouling our air at last may be numbered
Diane Carman, 4/3/22
“There’s a new sheriff in town and, unlike the friendly folks at the Colorado Department of Public Health and the Environment, she’s not here just to make nice with environmental outlaws,” Diane Carman writes for the Colorado Sun. “When former Colorado House Speaker KC Becker was named administrator of the Environmental Protection Agency’s Region 8 office last fall, she promised to further the Biden agenda to “address climate change, repair aging water infrastructure and drive down methane emissions.” Last month, she gave a master class in just how that is done. After years of signing off on toxic emission levels that violate the Clean Air Act, the EPA overruled CDPHE’s decision to allow the Suncor refinery in Commerce City once again to continue flaring excess gas without adequately monitoring its emissions. It was a stunning recognition of a glaring injustice. What Suncor has done for decades is dump toxic chemicals into the air across Denver and into the homes and the bodies of people living nearby, specifically in the neighborhoods of Globeville and Elyria-Swansea, all with the official blessing of CDPHE and previous EPA administrations… “It’s past time for Suncor to start operating lawfully and stop forcing the community to shoulder the burden of its production costs so its shareholders can rake in higher profits.”