Legislative Alert!
Tell Congress to Oppose the National Landscape Conservation System and National Heritage Areas
Senator Jeff Bingaman (D-NM), Chairman of the Senate Energy and Natural Resources Committee, will attempt to push an 11th hour omnibus public lands package through Congress during a lame duck session of Congress in mid-November. S. 3213 would put into law the National Landscape Conservation System (NLCS), restricting the development of energy resources on federal lands, creating more than 14 million acres of wilderness, and adding another layer of bureaucracy to public lands administration. The bill would also create a whole new Federal lands classification for National Heritage Areas that would extend National Park Service jurisdiction beyond national park and monument boundaries. IPAMS believes these will be another excuse for the BLM to delay permits, lengthen project-level NEPA processing, and deny oil and gas projects.
Tell Representative John Salazar that H.R. 7231 would harm energy development in the Rockies
Representatives Diana DeGette, John Salazar, and Maurice Hinchey have introduced H.R. 7231, which would repeal the exemption for hydraulic fracturing in the Safe Drinking Water Act. Repeal of the exemption is a priority for radical environmental groups, who are trying to make oil and gas development more difficult and expensive, despite the fact that fracing has been used for over 60 years and there are no documented cases of contamination to drinking water.
Please click here to tell Representatives DeGette and Salazar that there is no compelling reason to add another layer of regulation to oil and gas development, which is already subject to thousands of laws and regulations. We especially need emails from industry members in Rep. Salazar’s district, so if you have employees or contractors on the West Slope, please send this alert to them.
Also, we are conducting an informal survey of the use of fracing. Please let Kathleen Sgamma know an approximate percentage of your Rockies production that comes from wells that are fraced, as this information will help our advocacy efforts.
Legislative Preview
IPAMS Third Annual Legislative Preview will be Tuesday, December 9th at the Westin Tabor in Denver. Keynote speaker Michael Whatley, Vice President of the Consumer Energy Alliance, will discuss energy policy of the new administration and anticipated federal legislation that will affect our industry. As in past years, we will have panels of legislators and Governors’ staff for each state. Click here to view a draft agenda.
Also, please consider a sponsorship. Attached is a list of sponsorship opportunities.
The first 25 people who register will receive a complimentary IPAMS golf shirt.
IPAMS Meetings and Announcements
Lunch & Learn Series
November 18, 2008 at 12:00 p.m.
Steven Harris, Production and Completions Manager with Williams will discuss “Advances in Well Completion Techniques: The Evolution of Simultaneous Operations and Remote Hydraulic Fracturing.” As hydraulic fracturing has come into the sights of environmentalists and their allies in Congress, this presentation will be especially timely and relevant for all government affairs and communications staff.
This Lunch & Learn will be held at Williams Denver office, which is located at 1515 Arapahoe Street, Tower 3. (Enter on16th Street Mall side.) Participants should proceed to the 7th floor. There is no charge to attend Lunch & Learn, but seating is limited and we need a list of attendees for security purposes, so please register. Please bring a lunch. For more information, contact Jon Haubert.
IPAMS Banking and Finance Committee Discussion Event
December 9, 2008 at 7:30 a.m.
“How Did We Get Here and How Bad Will It Get?” - presented by Dr. Tucker Hart Adams. Dr. Adams will speak for us on December 9, 2009 at The Westin Tabor Center - Denver (1672 Lawrence Street), The Continental Ballroom - Mezzanine level - 3rd floor. Dr. Tucker Hart Adams, President of the Adams Group, Inc., will present her views on the Colorado Economy, and where we are heading from here. Tucker’s insights into the direction of the economy have been extremely insightful through the years. The event is $35 per person and includes breakfast.
Agenda:
7:30-8:00 a.m. - Coffee and Networking
8:00-9:00 a.m. - Speaker Presentation and Breakfast
Note: This event will be held in the Continental Ballroom on the Mezzanine level (3rd floor) of The Westin Tabor Center - Denver
Pricing:
IPAMS Members: $35.00 Non Members: $35.00
Please feel free to contact Becca Ness, bness@ipams.org or Andy Logan if you have questions.
Truth and Consequences: Commodity Prices and the Capital Crunch
December 11, 2008 at 3:00 p.m. (Reception to follow)
A panel discussion on the impacts and industry response to falling oil and gas prices and tightening credit on December 11, 2008 at the Westin Tabor Center (1672 Lawrence Street)
Agenda:
*Jim Power (Cordillera) - Panel Moderator
*Ward Polzin (Tudor, Pickering and Holt) - Commodity Prices and Public Equity Markets
*John Cleveland (SBE) - Private Equity Financing
*Mark Thompson (US Bank) - Bank Financing
*Rob Bayless (Robert L. Bayless Producer) - Independent Perspective
*TBD - Pipelines
*TBD - Service Company Reaction
The cost is $50 for members and $55 for non-members. Sponsorship opportunities are available. Please contact Becca Ness at bness@ipams.org with any questions or concerns.
Other Upcoming Meetings
* Wyoming Basin Advisors Network Meeting - November 18th, 10:30 a.m.
* Bi-Weekly Air Quality Projects Meeting - November 18th, 3:00 p.m. (teleconference only)
* Colorado Basin Advisors Network Meeting - November 19th, 10:00 a.m.
* Communications Committee Meeting - November 20th, 9 a.m. (Rescheduled from November 13th)
* New Mexico Basin Advisors Network Meeting - November 20th, 10:00 a.m.
* Wildlife Committee Meeting - November 20th, 2:30 p.m.
* Tax Committee Meeting - November 21st, 1:30 p.m.
* Montana Basin Advisors Network Meeting - December 1st, 1:00 p.m.
Agendas are available for upcoming meetings at http://www.ipams.org/advocacy/.
All meetings unless otherwise indicated are Mountain time and at IPAMS and via teleconference.
Visit ipams.org for the latest news affecting the Intermountain West’s oil and natural gas industry. Headlines are updated daily from local, national and international news sources.
The West
Natural gas glut still holds sway in Rockies
November 08, 2008
Keith O. Rattie is president, chairman and CEO of Questar Corp., which has large oil and natural gas holdings in Wyoming and throughout the Rockies. (Casper Star-Tribune)
Colorado
Requirement brings in $1 million from drilling
November 13, 2008
A new requirement was slipped into a $555-billion spending bill late last year, and so far it has brought in more than $1 million to the government from drilling activity in northwest Colorado. (Glenwood Springs Post Independent)
Roan plateau highlights first Rifle, Colorado Chamber energy briefing
November 13, 2008
The federal mineral leasing process and the number of acres the Bureau of Land Management has leased on the Roan plateau was the subject of the first of a series of quarterly “energy briefing” meetings last month, sponsored by the Rifle, Colo. Area Chamber of Commerce. (The Citizen Telegram)
Energy companies keep busy in Mesa County
November 13, 2008
GRAND JUNCTION - Despite the recent discovery of two veritable oceans of natural gas in the Pennsylvania and Louisiana regions, natural gas drilling in western Colorado continues to move at a strong and stable clip… (Grand Junction Free Press)
Feds urged to delay final Colorado oil shale regulations
November 08, 2008
Colorado officials say an analysis of the effects of commercial oil shale development in the Rockies is “greatly deficient” and that the federal government should hold off on final regulations instead of issuing them before year’s end as planned. (Associated Press )
One more go-round for Ritter on oil, gas
November 08, 2008
All of a sudden, the second week of December looms large for Gov. Bill Ritter. That’s the week Colorado’s oil and gas commissioners give final consideration to new rules for energy drilling that offer further protection for the environment, wildlife and impacted communities. (Rocky Mountain News)
The BLM’s Grand Junction Field Office is engaged in scoping for their Resource Management Plan covering Mesa and parts of Garfield Counties. They are accepting public comments through January 9th. Open houses will be held from 5:00 - 7:00 pm on the following days:
1) Dec. 2: Whitewater/Kannah room at Two Rivers Convention Center, 159 Main St., Grand Junction;
2) Dec. 3, Grand Center, 182 N 500 W, Moab, Utah; and
3) Dec. 4, Collbran Auditorium, 102 Main St., Collbran.
Montana
State OKs stricter oil, gas regulations for Front
November 11, 2008
The state Department of Natural Resources and Conservation has approved tougher rules for oil and gas exploration on the Rocky Mountain Front as it prepares to lease several tracts in that area next month. (Great Falls Tribune)
BLM plan institutes more safeguards for development of Mont. resources
November 07, 2008
The Bureau of Land Management will institute new safeguards for coalbed methane development in Montana but will not allow any comments on the final plans, the agency announced today. (E & E News)
New Mexico
Groups sue BLM over air quality in N.M.
November 13, 2008
Two environmental groups are suing the Bureau of Land Management, alleging that the federal agency has failed to curb ozone levels and safeguard air quality in northwestern New Mexico from oil and gas industry emissions. (Associated Press)
North Dakota
No reason to worry about oil prices - yet
November 12, 2008
Declining oil prices have furrowed the brow of many concerned about the “oil boom” still in its formative stages in northwest North Dakota. (Minot Daily News)
Gas company proposes pipeline from Stanley to Towner
November 11, 2008
A natural gas company is proposing to build a pipeline that will open a new market and possibly improve the price for gas coming from the Bakken formation. (Minot Daily News)
North Dakota oil boom started in a wheat field
November 10, 2008
Cliff Iverson still rises before dawn every morning, although he doesn’t have to. He still grows durum wheat on his farm, though he can afford not to. When his 51-year-old cab-less combine wears out, he’ll consider retiring. (Associated Press)
Town sitting on potential oil jackpot
November 09, 2008
In this tiny reservation town a hundred miles from the Canadian border where temperatures once hit 60-below zero, a Southern twang is sometimes heard over the din at the local diner and there is talk of Texas tea beneath the streets. (Forbes)
Utah
Oil-shale projects are going ahead in Utah - for now
November 13, 2008
The falling crude-oil prices of recent weeks will have little impact on the current oil-shale and tar-sands boom going on in eastern Utah… (Deseret News)
Drill fans fear ‘change’
November 12, 2008
A plan by President-elect Barack Obama’s transition team to halt oil and gas drilling near Utah’s national parks already has the local “Drill, baby, drill!” crowd concerned. (Denver Daily News)
Obama Aide: No Decisions on Changing Bush Orders
November 11, 2008
President-elect Barack Obama’s team cautioned on Monday he had not yet decided whether to reverse executive orders on topics such as stem cell research and oil drilling imposed by President George W. Bush. (Reuters)
Diversifying the Basin economy through energy
November 07, 2008
How do you fuel a diverse economy when it’s fuel that drives the local economy? Economists say that the key to a sustainable economy is a diverse economy, one that relies on broad-based activity… (Vernal Express)
U.S. to Open Public Land Near Parks for Drilling
November 08, 2008
The Bureau of Land Management has expanded its oil and gas lease program in eastern Utah to include tens of thousands of acres on or near the boundaries of three national parks, according to revised maps published this week. (New York Times)
Records of Decision are finally available for five of the Six Utah RMPs - Vernal, Price, Moab, Richfield and Kanab. Links for all the RODs are available at http://www.blm.gov/ut/st/en/info/newsroom/2008/october/blm__new_resource.html.
Wyoming
BLM seeks views as it starts work on land plan
November 13, 2008
Cody area residents met Wednesday with specialists from the U.S. Bureau of Land Management, one of a series of meetings across the Bighorn Basin aimed at gathering public input on how the agency should manage public lands over the next two decades. (Gazette Wyoming Bureau)
BLM’s plan for basin open to public review
November 12, 2008
The Bureau of Land Management’s proposed new management plan for the Powder River Basin kicks off in a few weeks with a series of public meetings where residents can tell the BLM what they think are important issues to consider in the new plan. (Gillette News Record)
Water forum, meetings set
November 11, 2008
Communities large and small in southwest Wyoming’s Green River Basin are facing increasing pressures from nearby oil and gas development, years of drought and predictions of continued population growth. (Casper Star-Tribune)
Public lands management of particular concern to Cowboy State
November 08, 2008
A U.S. president can often have a direct impact on the lives and livelihoods of Cowboy State residents. And a president’s cabinet has more direct sway in Wyoming, in some respects, than in most other states. (Casper Star-Tribune)
Washington Watch
Obama EPA adviser finds ’serious concerns’ with Dingell-Boucher bill
November 13, 2008
One of President-elect Barack Obama’s top environmental transition aides raised “serious concerns” about a draft global warming bill released last month by two powerful House Democrats… (E & E News)
Dingell dominates airwaves in fight for Energy and Commerce chairmanship
November 12, 2008
In the battle for the gavel of the House Energy and Commerce Committee, one side is doing most of the talking. Rep. John Dingell (D-Mich.), the current committee chairman, is waging a full-scale publicity campaign against his challenger, Rep. Henry Waxman (D-Calif.)… (E & E News)
Gas industry officials praise selection of Emanuel as staff chief
November 12, 2008
US President-elect Barack Obama’s selection of Rahm Emanuel to serve as chief of staff for the Illinois senator’s incoming administration likely bodes well for the future of the natural gas industry, sources said Wednesday. (Platts)
New Administration Would Risk Backlash With Gas-Drilling Reversal
November 11, 2008
President-elect Barack Obama risks a political backlash and legal battles if he tries to reverse moves by President George W. Bush… (Wall Street Journal)
Media Watch
Editorial: Congress needs to act on public lands package
November 13, 2008
Congress is already focusing on the new session that will convene next year, and what the Democratic majorities in both houses might accomplish with President-elect Barack Obama in the White House. (Casper Star-Tribune)
Editorial: When it comes to natural resources, all sides deserve seats at the table
November 12, 2008
We aren’t grabbing pompoms to join the cheer “Drill Baby Drill” started at the Republican National Convention by former Maryland Lt. Gov. Michael Steele, but we do think the state’s oil and gas industry needs to be at the table for discussions about how to develop or preserve our state’s natural resources. (Great Falls Tribune)
Editorial: Rein in oil shale
November 11, 2008
We have just one word for President Bush’s Interior Department, in language the Texan should understand: Whoa!The mad rush at Interior to get rules in place for the development of oil shale in Utah, Wyoming and Colorado is unnecessary and potentially dangerous… (Salt Lake Tribune)
Editorial: Drilling in Utah
November 10, 2008
Utah, as usual, got little personal attention from either presidential candidate during the 2008 campaign. No doubt it seems to both parties a waste of time, given that Utah is one of the reddest states in the union with nothing to indicate any move toward blue or even purple. (The Salt Lake Tribune)
Editorial: Severance-tax highways
November 10, 2008
Colorado voters made it abundantly clear last week they didn’t like either of two measures that would have changed the state’s severance tax. However, with a serious crunch coming in highway funding, the state needs to take another look at the severance tax… (The Daily Sentinel)
Editorial: Interior Dept. needs balance
November 08, 2008
Candidate Barack Obama didn’t address Western issues in any serious way while on the campaign trail, but President-elect Obama will significantly impact the management of the vast public lands on which we Westerners so rely. (Denver Post)
Environment and Wildlife
Local BLM office clarifies rules on seasonal closures exceptions
November 13, 2008
The Bureau of Land Management’s Farmington field office recently updated and clarified its policy for considering oil and gas industry requests to be excepted from seasonal closures. (Daily Times)
Consultant warns about methane in water wells south of Silt and Rifle
November 11, 2008
An analysis of about 700 water samples from 100 water wells and other water sources south of Silt and Rifle show an increasing presence of methane, according to a consultant who reviewed the data. (Glenwood Springs Post Independent)
BLM defers drilling leases
November 11, 2008
The Town of Norwood and the county’s pleas have been answered - this time. The Bureau of Land Management decided last week to defer the leasing of several hundred acres within the Town of Norwood’s proposed watershed protection area. (Telluride News)
Drilling emissions could be a potential problem for GarCo
November 10, 2008
The high levels of oil and gas production in Garfield County may be poisoning the air and water in the region, but there isn’t enough scientific information to know for sure. (Aspen Daily News)
Wildlife land plans raise doubts
November 10, 2008
The proposed rule to manage Colorado’s 4.1 million acres of roadless forests raises “potentially higher risks” for wildlife and fisheries, according to a federal analysis. (Denver Post)
More drilling sought in state wildlife area
November 09, 2008
Orion Energy Partners has found enough natural gas from an exploratory well in the Garfield Creek State Wildlife Area that it is considering three more well pads there, Colorado Division of Wildlife spokesman Randy Hampton said. (Pueblo Chieftain)
Technology and Alternative & Renewable Energy
Meltdown 101: The economy and alternative energy
November 12, 2008
This summer, alternative energy was looking like it was poised for a phenomenal 2009. With oil trading around $147 a barrel, why wouldn’t consumers and business turn to something other than the status quo? (Associated Press)
Pickens Delays His Wind Farm Plan
November 12, 2008
The former oilman T. Boone Pickens said Tuesday that he was delaying his wind power ambitions. (New York Times)
Companies join forces on oil shale
November 12, 2008
One of the companies working on research-and-development oil shale leases in northwest Colorado will work with an international oil-field services company to characterize the lease. American Shale Oil entered into… (The Daily Sentinel)
Can Fossil Fuels Get More Efficient With Solar Thermal?
November 11, 2008
Can the fossil fuel industry benefit from clean power? It’s a question that Palo Alto, Calif.’s Electric Power Research Institute is trying to answer… (New York Times)
Investors give $15.5 million to CSU spinoff to build facility that will turn algae into oil
November 12, 2008
A 3-year-old Colorado State University spinoff that makes fuel by squeezing green, slimy algae is set to showcase its research on a commercial scale. (Rocky Mountain News)
Bigger Oil: Should Wind Power Be Next on Big Oil’s Investment Agenda?
November 11, 2008
One key instrument for backing wind farms has been the federal production tax credit. Financial backers pony up money to a developer and get a nice tax break in return when the turbines start turning. But turmoil on Wall Street has upended this market. (Wall Street Journal)
CO2-EOR Carbon Management Workshop and CO2 Flooding Technical Conference
Houston, December 8-10 & Midland, December 10-12.
Click here for more detailed information, agenda, registration and venue.
Markets
Oil slips to $59 on global growth pessimism
November 12, 2008
Oil prices slipped to $59 a barrel Wednesday as investors grappled with the prospect that global growth next year will slow more than originally feared, cutting demand for gasoline and other crude products. (Associated Press)
EIA: 2008 US Marketed Natural Gas Output Seen Rising 6%
November 12 2008
Total U.S. marketed natural-gas production is expected to rise 6% to 58.5 billion cubic feet a day in 2008, and rise another 2% next year, boosted by a boom in production from so-called unconventional resources… (Dow Jones)
Industry News and Events
World Needs a Kuwait a Year to Meet Demand, IEA Says (Update1)
November 12, 2008
The world must find an extra 64 million barrels a day of oil production by 2030, equivalent to replacing Kuwait’s output every year, to meet demand growth and counter the decline of existing fields, the International Energy Agency said. (Bloomberg) )
Williston Basin estimate updated
November 11, 2008
The government estimates about 200 million barrels of oil can be recovered in the Williston Basin, which includes parts of the Dakotas and Montana, using current technology. (Associated Press)
Providing oil for the US
November 10, 2008
Four billion barrels, that’s how much oil is estimated to be in the Bakken formation. It’s enough to supply the US for about 50 years and much of it is coming from North Dakota. (W Day 6 news)
9th ANNUAL UNCONVENTIONAL GAS AND COALBED METHANE CONFERENCE
Denver, November 20-21, 2008
This unique Insight event is devoted to a balanced treatment of the myriad of technical, business, financial, legal and regulatory issues affecting development. Attending this forum will allow you to keep abreast of the latest in technology, updates on domestic & international activities, and other ideas driving the expansion of CBM and unconventional gas production. Learn from speakers and take the opportunity to interact with industry leaders, regulators, and government officials.
Click here for more information and to register.
Visit www.ipams.org for latest industry news and events
Content Policy
Materials contained herein are a summary of industry related issues and are for the edification of IPAMS members only. Contents do not reflect official comments or positions of IPAMS. Attribution of Wildcatter Weekly contents for publication without IPAMS consent is prohibited. NOTE: In accordance with Title 17 U.S.C. section 107, any copyrighted material herein is distributed without profit or payment to those who have expressed a prior interest in receiving this information for non-profit research and educational purposes only.