Michael Klare

Wed, 2012-11-21 05:00Steve Horn
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Second US Tar Sands Mine, Owned by Former ExxonMobil and Chevron Exec., Approved in Utah

MCW Enterprises Ltd., a Canada-based corporation, announced on Nov. 19 that it has received all necessary permits to streamline tar sands extraction at its Asphalt Ridge plant located in Vernal, Utah starting in December.

The announcement comes just weeks after U.S. Oil Sands Company received the first ever green light to extract tar sands south in the United States.

Recently changing its name from MCW Energy, MCW Enterprises Ltd. owns MCW Oil Sands Recovery LLC as a wholly owned subsidiary. The company's CEO, R. Gerald Bailey - often also referred to as Raymond Bailey or Jerry Bailey - is the former President of Exxon Arabian Gulf and also served as an Executive for Texaco (since purchased by Chevron) for 15 years.

MCW's website explains that its stake in the Asphalt Ridge is a “proven/probable resource of over 50+ million barrels of oil” and that it “is seeking other oil sands leases in Utah, which contains over 32 billion barrels of oil within 8 major deposits.” 

Bailey told Flahrety Financial News that he sees this first project as a crucible, or testing grounds, with the potential for more extraction to come down the road. 

“This is really going to be a technology play,” he stated. “I don't plan to build another Exxon out there in the desert.”

Mon, 2012-01-23 21:38Steve Horn
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Demise of Keystone XL Means More Bakken Shale Gas Flaring

Damned if we do, damned if we don't - this is the CliffsNotes version of the ongoing Keystone XL pipeline debate. President Barack Obama recently halted TransCanada's proposed Keystone XL tar sands pipeline project, which would bring tar sands crude, or dilluted bitumen (“dilbit”) from Alberta through the heart of the U.S., to Gulf Coast refineries near Port Arthur, Texas, where the oil would then be exported to the global market.

Most environmental organizations declared victory and suggest the Keystone XL pipeline is dead. Unfortunately, this is far from the case. Republican House Majority Leader John Boehner (R-OH) recently told The Hill he may attempt to rope the pipeline into the next payroll tax extension. Furthermore, a recent Congressional Research Services (CRSpaper said that under a little-used Consitutional clause, the two chambers of Congress, rather than the White House, could have the final say on the pipeline's ultimate destiny. CRS explained, 

[I]f Congress chose to assert its authority in the area of border crossing facilities, this would likely be considered within its Constitutionally enumerated authority to regulate foreign commerce.

Because the pipeline crosses the U.S.-Canada border, many thought that the U.S. State Department, and by extension the White House, had the final say in the manner. This may no longer be true.

On the other hand, even if the Keystone XL becomes a “pipe dream,” the grass isn't necessarily greener on the other side.

Thu, 2011-11-17 12:28Steve Horn
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ExxonMobil and Shell Stamp Huge Oil and Gas Deals in Iraq

Just a few weeks after President Barack Obama announced U.S. troops are “leaving” the war-torn country, ExxonMobil and Shell each announced major new oil and gas production agreements in Iraq.

On November 12, ExxonMobil signed an oil production deal with the Kurdish Regional Government to drill in Iraqi Kurdistan, located in northern Iraq. This comes on top of an existing oil deal it landed in 2009, to drill for oil in the West Qurna Field, located in southern Iraq.

The New York Times explained both deals:

Exxon and its partners agreed to invest $50 billion over seven years to increase output by about two million barrels of oil per day there, at West Qurna Phase 1, bringing more new oil to market than the United States currently produces in the Gulf of Mexico. Margins, though, are low. Kurdistan offers more lucrative production-sharing agreements, allowing the company to earn a larger share of revenues and to count more of the crude on its books, which helps boost stock prices.

Days later on November 15, Royal Dutch Shell signed a $17 billion natural gas production deal with the Iraqi government. Shell will utilize the natural gas by-product from oil produced at the West Qurna Field, the Rumaila Field, and the Az Zubair Field, and transform it into a usable product. “Shell said it would sell the gas to electrical utilities in Iraq, but that it may also eventually export some,” explained The New York Times.

Sun, 2011-09-25 12:13Steve Horn
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Pentagon Back to Tried and True PR Tactic - Greenwashing

The Pentagon public relations and propaganda machine is at it again. Working overtime to convince pundits and citizens of the benevolence of its “democracy spreading” missions abroad,  some notables have drank the kool-aid

In a recent article titled, “The military’s historic embrace of smart energy,” Grist's David Roberts wrote, 

The U.S. military's embrace of energy efficiency and renewable energy is going to be one of the great stories of the coming decade. It will be a story about technology, the changing face of warfare, geopolitics in the 21st century, and the struggle to change one of the world's largest bureaucracies…For decades, the lines of warfare on climate change and clean energy have been drearily familiar and amazingly resistant to change. If it follows through on its promises, the Department of Defense – the largest consumer of oil and electricity in America – has the potential to change all that.

Furthermore, in March 2010, the Center for American Progress penned a holistic report titled, “It’s Easy Being Green: The Pentagon Goes Green One Wedge at a Time.”

While a nice and hopeful sentiment, this flies in the face of both history, as well as present day reality of the Pentagon's activities abroad. A review, then, is in order.

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