Saturday, March 15, 2014

Fracking for Freedom (a post in progress)

I've intended to write this post for about a week or so. Basically, the unrest in Ukraine has given pro-fracking advocates an excuse to push for the United States to drill and frack for natural gas, convert it to liquid form (liquefied natural gas, or LNG) and export it to Europe in order to undermine Putin's control of natural gas supplies and routes to Europe. Some pro-frackers throw in criticism of Obama's supposed inaction for good measure. Fracking and exporting are neither cheap nor simple. Here I will post some links to articles and videos.

Fracking Ban Momentum Builds on Both Sides of the Atlantic.

At least twenty liquefication plants are proposed.

Krauthammer urges Obama to get tough with Putin and expedite 25 LNG plants in the process.

Sen. John Cornyn (R-TX) Joins Call for Natural Gas Exports in Response to Ukrainian Crisis.

The article mentions The Natural Gas Act of 1938.

The New York Times: U.S. Seeks to Reduce Ukraine's Reliance on Russia for Natural Gas.

The article notes that "Congressional Republicans have joined major oil and gas producers like ExxonMobil in urging the administration to speed up oil and natural gas exports. Although environmentalists, some Democrats and American manufacturing companies that depend on the competitive advantage of cheap domestic natural gas oppose the effort, they have fallen to the sidelines in the rush." It adds, "The United States does not yet export its natural gas. But the Energy Department has begun to issue permits to American companies to export natural gas starting in 2015. American companies have submitted 21 applications to build port facilities in the United States to export liquefied natural gas by tanker. The agency has approved six of the applications."

Though this isn't about fracking to export LNG, it is about the Ukraine. Orlov asks, Is Anyone Really in Control in Ukraine?

Fracking is not the only thing being pushed in the name of "national security" and "protecting our friends and allies." On Thursday, retired general James Jones (a former national security advisor in the Obama administration) testified before the Senate Foreign Relations Committee in favor of the Keystone XL pipeline. Rejecting it would make Putin's day, he says. Jones did not disclose his extensive industry ties before testifying. (FYI: There are no disclosure rules for hearing witnesses in the United States Senate.)

This is a C-SPAN video of the hearing.

17 March update: The idea that America can displace Russia as the provider of natural gas is not new, as Orlov points out in his blog post "Shale Gas: The View from Russia."

24 March update: The Nation: "How the Gas Lobby is Using the Crimea Crisis to Push Bad Policy and Make More Money."

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