Shell considering giant floating LNG platform off BC Coast: Alberta Oil

Energy LNG  Link

Alberta Oil is reporting that Shell’s plans for a liquified natural gas export facility somewhere on the northern British Columbia coast will likely be a giant floating platform, similar to the platform planned for the coast of Western Australia.

Shell Canada sizes up LNG options offshore B.C.

Although costs, production volumes and timelines haven’t been worked out, industry observers like FirstEnergy Capital are speculating that Shell and its partners are considering building a floating LNG structure off B.C.’s coast. The Anglo-Dutch super-major knows a thing or two about floating LNG projects. In May, Shell received approval from the Australian government for its Prelude floating LNG project. Scheduled to start production in 2016, the Prelude structure will be located in the Browse basin off the coast of Western Australia

The length of the floating prelude platform, at  488 metres according to a diagram released by Shell and reprinted by Alberta Oil, would be longer than the height of the 446.5 metre Skypod/ Space Deck on the CN Tower and longer than the hieght of Kuala Lumpur’s Petronas Tower at 452 metres.  (The proportions in the Shell diagram of the CN Tower are not entirely accurate when compared to the information in the Wikipedia entry on the CN Tower)
518-tall_lng-thumb-500x454-517.jpg As reported in April by Alberta Oil Kitimat LNG faces Australian rivals the Western Australian development could rival Kitimat, a point that took up a lot of testimony at the June National Energy Board hearings into KM LNG’s application for an export licence.

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Links: Halibut controversy continues

Environment Fishery Links

Comox Valley Echo

Halibut decision tramples rights

>Larry Peterson
I am absolutely stinking mad.
DFO is going to close down recreational halibut fishing as of Sept. 5? This action is an attack on my rights as a taxpaying, law-abiding Canadian citizen.

Victoria Times Colonist

Halibut season end hurts communities

By Lanny Sawchuk, Oak Bay Marine Group

Last week’s announcement of a shutdown of recreational halibut fishing is terrible news for coastal communities.
Our company operates businesses on the coast, including sports fishing resorts and marinas. Several will be severely impacted by this closure. Our employees will soon be dealing with guests unable to fulfil their plans to fish halibut, guests who in many cases travelled from great distances, at great expense, to have that experience. We’re also dealing with cancellations. We’ll be cutting back staffing accordingly, resulting in a ripple effect of lost economic activity for communities.

Micro organisms played key roles in Exxon Valdez, BP cleanup: study

Environment Link

A study by the U.S. Lawrence Berkeley National Laboratory is reporting that microbes, mostly  bacteria, but also archaea (single cell organisms without a cell nucleus) and fungi, played key roles in mitigating both the Exxon Valdez oil spill in Alaska and the  BP Deep Ocean Horizon disaster in the Gulf of Mexico.

In a news release, Terry Hazen, microbial
ecologist with the Lawrence Berkeley National Laboratory (Berkeley Lab) says, “Responders to future oil spills would do well to mobilize as rapidly as
possible to determine both natural and enhanced microbial degradation
and what the best possible approach will be to minimize the risk and
impact of the spill on the environment.”

Hazen, who leads the Ecology Department and Center for Environmental
Biotechnology at Berkeley Lab’s Earth Sciences Division and  has studied
microbial activity at both spill sites, published the paper with colleagues in Environmental Science & Technology. The paper is titled “Oil biodegradation and bioremediation: A tale of the two worst spills in U. S. history.”

The authors say that hydrocarbons have been leaking into the marine environment for millions of years and so “a large and diverse number of microorganisms, including bacteria, archaea and fungi, have evolved the ability to utilize these petroleum hydrocarbons as sources of food and energy for growth.”

Such microorganisms are only a small part of a pre-spill microbial community in any given ecosystem. Hazen says in both the Exxon Valdez and the BP Deepwater Horizon spills, the surge in the presence of crude oil sparked a sudden and dramatic surge in the presence of oil-degrading microorganisms that began to feed on the spilled oil.

“In the case of the Exxon Valdez spill, nitrogen fertilizers were applied to speed up the rates of oil biodegradation,” Hazen says. “In the case of the BP Deepwater Horizon spill, dispersants, such as Corexit 9500, were used to increase the available surface area and, thus, potentially increase the rates of biodegradation,” he says.

According to the study, within a few weeks of the spill, about 25 to 30 per cent of the total
hydrocarbon in the oil originally stranded on Prince William Sound
shorelines had been degraded and by 1992, the length of shoreline still
containing any significant amount of oil was 6.4 miles, or about
1.3 per cent of the shoreline originally oiled in 1989.

Microorganisms also played a similar role in the Gulf of Mexico Deep Ocean Horizon disaster, despite major differences in the temperature, environment, ocean depth and length and type of spill, the study says.  Hazen and his research group were able to determine that indigenous
microbes, including a previously unknown species, degraded the oil plume
to virtually undetectable levels within a few weeks after the damaged
wellhead was sealed.

The study concludes that decisions as to whether to rely upon microbial oil biodegradation or whether to apply fertilizers, dispersants, detergents and/or/other chemicals used in environmental cleanup efforts, should be driven by risk and not just the presence of detectable hydrocarbons.

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“Call the Americans.” Canadian Coast Guard cutbacks now an issue in the US Senate

The Coast

The controversy over the Harper government’s cutbacks to Canadian Coast Guard resources on both west and east coasts  has now become an issue in the United States Senate.

While most of the media attention last week was on Newfoundland, where there are fears not only of moving the search coordination centre from the island to Trenton, and the possible privatization of the entire search and rescue service, the cutbacks on the northern coast of British Columbia have yet to become a national story, even though the conservative government is increasing its promotion of tanker traffic from Pacific ports.

Now the issue has come to attention of  Senator Maria Cantwell, a Washington Democrat, who is raising alarm bells in the Senate about the dangers of tanker traffic, the possibility of a spill and  the probable inadequacy of the Canadian response to any major shipping accident along the coast.

 


Cantwell’s main concern is upgrading the ability of the United States Coast Guard to respond to such an accident, “This is a major threat to our region,” Cantwell said at hearing on July 20 of the Senate  Oceans, Atmosphere, Fisheries, and Coast Guard Subcommittee. “It seems that Canada’s oil spill response plan in the Pacific Northwest is to call the Americans.  …Obviously any such spill in the narrow and heavily populated waters of the Puget Sound or Strait of Juan de Fuca would cause tens of billions of dollars in damage and impact millions of my constituents. … I think it deserves a very robust oil spill response plan.”

Cantwell  says she secured a commitment  from  Rear Admiral Paul F. Zukunft, Assistant Commandant for Marine Safety, Security and Stewardship for the United States Coast Guard, to have the U.S. Coast Guard perform an extensive analysis of cross-border readiness and ability to respond to potential spills given the potentially dramatic increase in oil tanker traffic along the U.S.-Canada maritime border off Washington state.

After the BP spill in the Gulf of Mexico, Cantwell pushed a bill through the U.S. Congress  that, strengthens oil spill protections for Puget Sound and other U.S. coastal waters. The bill, which was signed into law by President Barack Obama on October 15, 2010, includes  provisions that significantly enhance oil spill response and prevention to protect valuable coastal communities and their economies.

Cantwell’s news release  says

The legislation expands the oil spill response safety net from Puget Sound out to the entrance of the Strait of Juan de Fuca, ensuring that Puget Sound and the Strait of Juan de Fuca have spill response teams and equipment in place. The bill further reduces ship and tanker traffic in the Olympic Coast National Marine Sanctuary; enhances spill prevention efforts on vessels transporting oil; and establishes a stronger role for tribes.

Cantwell also fought to include a provision that requires tug escorts for double-hulled tankers in Prince William Sound. Approximately 600 oil tankers and 3,000 oil barges travel through Puget Sound’s fragile ecosystem annually, carrying about 15 billion gallons of oil to Washington’s five refineries. The Strait of Juan de Fuca also has significant outbound tanker traffic originating in Vancouver and carrying Canadian oil. Prior to the 2010 Coast Guard Reauthorization Bill, American industry only had to position oil spill response equipment in Puget Sound, leaving the busy shipping lane in the Strait of Juan de Fuca unprotected.

Cantwell’s provision extended the “high volume port area” designation west to Cape Flattery. As a result, oil spill response equipment, such as booms and barriers, are now prepositioned along the Strait, supplementing the response equipment already in place in Puget Sound.

An oil spill in waters in Washington state interior waterways could be devastating. According to the Washington State Department of Ecology, a major spill would have a significant impact on Washington state’s coastal economy, which employs 165,000 people and generates $10.8 billion. A spill would also severely hurt our export dependent economy because international shipping would likely be severely restricted. Washington state’s waters support a huge variety of animals and plants, including a number of endangered species, all which would be harmed by a spill.

Cantwell says she was successful in protecting a tanker ban in Puget Sound.  Former  Alaskan Repuiblican Senator Ted Stevens attempted to overturn the then 28-year-old protections authored by former Senator Warren Magnuson limiting oil tanker traffic in the Puget Sound. In 1977, Senator Warren Magnuson had the foresight to recognize the great risk that oil supertankers would have on the waters of Puget Sound. He put his findings into law and essentially banned supertankers in the Puget Sound by prohibiting the expansion of oil terminals in Puget Sound.

Enbridge, environmentalists agree

The inadequate Canadian Coast Guard resources in the Pacific region bring rare agreement between Enbridge which wants to build the controversial Northern Gateway pipeline and the project’s environmental opponents.

While Enbridge maintains that safety systems it plans would make a tanker accident a rare event, when officials were questioned at last September’s public meeting in Kitimat, they said Enbridge was worried about Coast Guard resources on the west coast.   They said that Enbridge’s emergency planning scenarios call for it to take 72 hours for the Canadian Coast Guard to respond with its meagre equipment from Victoria and Vancouver to a tanker accident in Douglas Channel.  The Enbridge team admitted under questioning from the audience that the company would urge to Canadian government to call on US Coast Guard resources from Alaska and as far away as California in the event of a major spill, confirming Sen. Cantwell’s statement to the subcommittee that Canada would “Call the Americans.”

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Rex Murphy’s rant on search and rescue cutbacks: National Post

Link The Coast

Rex Murphy: A decision so dumb, only a government would make it

Rex Murphy, writing in The National Post is fully justified in his rant Saturday against more search and rescue cutbacks in Newfoundland by the Harper government. Since it involves his beloved “Rock,” my former colleague is at his rhetorical best (and as the northwest knows the BC coast faces equally dumb cutbacks here)

Scarcely had Mr. Harper captured the PM’s job again, this time as a
majority leader in the last election, when one of his ministers came out
with the equally ludicrous decision to move search-and-rescue
operations: Last week, it was announced that the co-ordination centre in
St. John’s (along with one in Quebec City) was slated for termination,
with services relocated to Halifax and Trenton, Ont.

And according to reports circulating this week, the Department of
National Defence’s search-and-rescue services might soon be privatized.
(Currently, the job is done in partnership between DND and the Coast
Guard, which is overseen by the Department of Fisheries and Oceans). If
that happens, there’s no telling where the services would be relocated.

What is in the air in Ottawa? How do such absurd notions take root in
the federal mind? Would they ever take similar steps in regard to, say,
the regulation of Lake Ontario shipping?

Search and Rescue is not some toy service. It concerns life and
death. And considering the tragedies that fret the history of the
province over the centuries, this would not only be a wrong decision,
but an offensive one, as well.

Rex is certainly right on this issue, but wrong about the weather, when he says about Newfoundland being special:

Newfoundland is unique. It stands alone, shrouded in impenetrable mists and answering to the rhythms of its own weather gods. Newfoundland weather is not a little like the world of subatomic physics; a buzz of random and paradoxical probabilities, a thing that may be observed but not measured or, contrariwise, measured but not observed, and not either, ever, from Halifax. It is a wonder and a despair.

The weather along the BC coast has been shrouded in impenetrable mists for most of this summer (if you can call it summer).

The decision by Coast Guard bureaucrats  to replace the (70 foot, 21 metre) Point Henry in Prince Rupert with a smaller, (47 foot, 14 metre) open motor life boat and the similar move in Campbell River replace the Point Race was protested up and down the coast, and almost cost Vancouver Island North MP John Duncan his seat in the May election. Duncan, of course, is  toeing the Conservative party line now that he is safely back in the Commons.

The decisions on both coasts are equally dumb. The ocean is as dangerous in Newfoundland as on the BC coast.

 But Rex spoils his rant with his own dumb ideological conclusion:

My only explanation is that it serves to illustrate this unshakeable
axiom: Some decisions are so dumb that only governments can make them.

Northwest BC has had been the victim of many really dumb decisions by the private, corporate sector over the years and those dumb decisions are responsible for the economic decline of the region (with no help from government). The difference should be that government decisions may be influenced and changed by the electorate.  There are no checks or balances on corporate decisions.

So if Rex is right and search and rescue is privatized, becomes some sort of  for-profit venture, what dumb decisions are we going to hear from the CEO of SARCAN LLC? Checking someone’s credit score before launching a rescue?

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KM LNG hearings wrap with concerns over conditions

Energy

The National Energy Board hearings into the application from KM LNG for an export licence to ship liquified natural gas to Asia through Kitimat wrapped up in Calgary Thursday, with the main participants expressing concerns over conditions on the licence proposed by the NEB.

The board panel reserved its decision. No date was given for a possible decision. Unlike the earlier hearings  in June which were held in Kitimat, the Phase 2 hearings were held in Calgary and only available to residents of Kitimat by audio webcast

On July 6 and July 8, the board panel issued a list of 12 proposed conditions on the export licence.  (The concerns of the Kitimat Rod and Gun were not among the 12. See story here)

Among the conditions the NEB wants to impose are a detailed reporting requirement that would include the name of  the LNG tankers loading the natural gas, the quantity of gas and the revenue in Canadian dollars as well as the sales contracts KM LNG may sign with its Asian customers.

Those proposed conditions brought strenuous objections from the proponents of the project, voiced by lead counsel Gordon Nettleton and echoed by other lawyers, saying that the conditions could actually scuttle the entire project. That is because Asian buyers, whether private companies or sovereign (government) agencies, place much stricter emphasis on confidentiality of the agreements than in North America. The lawyers warned that the potential Asian customers could walk away from any deals in favour of less regulated vendors in other countries if the NEB insists on full disclosure, especially if the details could be made public either through the Access to Information Act or by NEB procedures and policies.

Nettleton and the other lawyers recommended a compromise where  KM LNG would disclose to the board the total exports each quarter, the aggregate value in Canadian dollars for each quarter,  the “heating value” of the aggregate and export totals by destination country.

The lawyers also objected strenuously to conditions proposed to cover environmental and social effects of building the Kitimat LNG terminal  and the associated Pacific Trails pipeline.

These include filing a Marine Mammal Protection Plan and answer how KM LNG  would react to any potential effects on marine mammals of the ships passing up and down Douglas Channel and the BC Coast. 

One of the lawyers for the energy companies wondered why the board panel was interested in the shipping issues.”That’s what shps do, they use
existing shipping lanes,” he said. “Ships do not need permisson [now] to go up
Douglas Channel.  [This issue] has been examined bythe appropraite
authorites arnd should be accepted by the board without conditions.”

Other conditions wanted reports on potential effects and probable mitigation efforts for marine mammals, birds, fish and fish habitat, “listed fish and wildlife species,” vessel wake, ballast and bilge water management, fisheries and “First Nations traditional use activities.”

The lawyers mainly objected on legal grounds, since under the hearings for an export licence, (unlike a facility hearing like the Enbridge Joint Review panel)  the board is not supposed to be concerned about environmental issues.  There were also long, legal arguments whether the pipelines from the shale gas fields to Kitimat where “directly connected” under the legal definition used in the Canadian energy industry. The lawyers also argued that the environmental and social issues addressed in the NEB’s proposed conditions would be covered in parallel investigations by other government agencies, such as a Transport Canada review of the shipping plans for Douglas Channel,

At the same time, all parties pledged that they would be “good corporate citizens” in their undertakings to work with the Haisla First Nation and other residents of the Kitimat region and to respect the local environment.

NEB proposed conditions 1 – 9

A33_-_Letter_to_All_Parties_Phase_II_Update_and_Possible_Licence_Conditions_-_A2A2V5.pdf

NEB proposed conditions 10 – 12

A34_-_Letter_-_Possible_Export_Licence_Conditions-Environment_and_Socio-Economic_Matters_-_A2A3T7_.pdf

Kitimat LNG hearings to resume in Calgary July 13

The KM LNG (also known as Kitimat LNG) hearings for an export licence will resume before a National Energy Board panel in Calgary on Wednesday July 13, and run to Friday,  July 15, the NEB has announced on its website.

This phase of the hearing will consider “the potential environmental effects of the proposed exportation and any social effects that would be directly related to those environmental effects, including any such effects to aboriginal interests”, and “consultation with the public and aboriginal peoples.” 
 But it appears that the NEB is using its procedures to block consultation with some “aboriginal peoples,” the Coast First Nations. In a letter on its website, the NEB says that an early June submission from Art Sterritt,the Executive Director of the Coast First Nations came too late, since the deadline for submissions was April 26. That means the First Nations group must present a motion before the board panel asking to be heard.

Loss of Coast Guard cutters brings supertankers to the forefront: Courier-Islander

Courier-Islander

The imminent loss of the Coast Guard cutters Point Henry and Point Race is solidifying opposition to proposed super tanker traffic on the coast, says NDP MP Nathan Cullen and the Living Oceans Society.

 But Vancouver Island North MP John Duncan, who referred to the replacement boats as “less capable” in the past, continues to support replacement of the Point Race and Point Henry this week. 

 The 47-foot motor lifeboat CCGS Cape Palmerston is to be officially named and dedicated to service in Campbell River next Thursday, replacing the 70-foot Point Race. Ceremonies to replace Prince Rupert’s Point Henry with the CCGS Cape Dauphin are slated for July 26.

Here’s how the Enbridge hearings will proceed

387-Jointreviewbriefing_June_16_2011.jpg

Staff of the Northern Gateway Joint Review panel explain the hearing process to residents of Kitimat at Riverlodge Recreation Centre, June 16, 2011.  (Robin Rowland/Northwest Coast Energy News)


It will take more than year for the Enbridge Northern Gateway Joint Review Panel to complete hearings and taking evidence before it even begins to consider a decision whether or not to approve the controversial pipeline proposal. 

Even then, the worries of the residents of northwest of British Columbia will be only one factor in the panel’s decision. 
The Joint Review panel information town hall reached Kitimat on the afternoon of Thursday, June 16. One of the information sheets handed out at the town hall explained the Joint Review Panel this way: 
 In deciding if the Project is in the public interest, the Panel will consider whether Canadians would be better or worse off if the Project was approved. The public interest includes all Canadians and refers to a balance of economic, environmental and social considerations that change as society’s values and preferences evolve over time. 
(Emphasis in original)
 Here is a summary of how the process will work: 
This summer, those who wish to formally participate in the hearing process must register with the panel.
 For those who wish full intervenor status, the deadline to apply is July 14, 2011.
For those who wish to make oral statements in the community round of hearings, the deadline to apply is October 6, 2011. 
Those formal intervenors who wish to request information from Northern Gateway have two deadlines. August 25, 2011 is the deadline for the first round, after which Northern Gateway must respond by October 6. The intervenors then can ask Northern Gateway a second set of questions, with a deadline of November 3, 2011. Northern Gateway must respond by November 24, 2011. 
The deadline for intervenors to file written evidence with the panel is December 22, 2011.
Community hearings
 On January 10, 2012, the Joint Panel will begin the “community hearings” phase where anyone who met the registration deadline, either as an intervenor or a community participant, can make a presentation to the panel. 
 These community hearings will be held across northern BC and Alberta, along the route of the pipeline and down the coast, with, sources say, a significant session slated for Kitimat.
The community hearings are expected to take several weeks.
 Those who made oral comments to the panel then have until March 13, 2012 to file follow up letters. 
Final hearings
 The community hearings are then followed by another round of filing by the intervenors and government participants.
 On June 16, 2012 the Joint Review Panel will then open the more formal “final hearings” at a location to be determined. 
 Around the same time, the Joint Review Panel must prepare an environmental assessment report that will be submitted to the Minister of the Environment. 
Again, according to the handout material, there is a caveat in the panel’s mandate 
 The significance of any negative environmental and socio-economic effect is only determined after considering the actions that are proposed to prevent or reduce the effects.  (Emphasis in the original)
 In other words, as those who have attended Enbridge’s briefing sessions know, the company has outlined a whole series of safety measures, for example, adding navigation aides to Douglas Channel and parts of the coast.
If the environmental movement wishes to challenge the voluminous reports, likely costing millions of dollars that Enbridge has already filed as part of its application to the Joint Review Panel,  the environmental concerns will have to be backed up with solid and expensive expert evidence.
 Once the Minister of the Environment has the environmental assessment, the government then responds: 
The government response will set out whether the Government of Canada agrees or disagrees with the conclusions and recommendations made the Panel by the panel regarding the potential environmental and socio-economic affects of the Project. The Governor-in-Council [ the federal cabinet] must approve the government response. This approved response will be made available to the public.
The decision
 After it hears the government response on the environment, the panel makes its decision,  whether or not the project can proceed. 
The Panel will issue its Reason for Decision which will include a decision whether or not the Project is in the Canadian public interest.

If the Panel decides the Project can proceed, its Reasons for Decision will include conditions that Northern Gateway must meet before, during and after the construction of the Project.

If the Panel decides that the Project should proceed, the Panel will send its decision to the Governor in Council who can either accept or reject the decision but cannot modify it.

The Governor in Council means the federal cabinet, so the final decision will rest with Prime Minister Stephen Harper.

388-gatewaymap.jpg

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