Mon, 2014-08-25 13:58Farron Cousins
Farron Cousins's picture

BP Wins Big In Offshore Oil Drilling Lease Auction

For all of his administration’s tough talk on protecting our environment, President Obama doesn’t seem to have any problem increasing the nation’s dependence on dirty energy.  Earlier this year, the Obama administration announced plans to open up an astounding 112 million acres of the Gulf of Mexico for oil and gas exploration, setting a bidding war in motion for some of the worst environmental offenders in America.

It should come as no surprise then to find out that the big winner in the lease auction earlier this month was BP, the main culprit behind the 2010 Deepwater Horizon oil rig explosion and oil leak in the Gulf of Mexico. 

The Bureau of Ocean Energy Management (BOEM) put 21.6 million acres up for auction, with area blocks ranging everywhere from 9 miles offshore, to 250 miles offshore.  Overall, the auction brought in close to $110 million, with as much as 90 million acres still waiting to be auctioned off.

BP bid on a total of 31 lots, and was successful in winning 27 of those lots, more than any other energy company.  The company had previously been barred from bidding on new oil and gas exploration leases following the 2010 Macondo well blowout, but that ban was lifted in March of this year.

Many of the areas that the company won are for deepwater exploration, an unpleasant scenario for areas of the Gulf Coast still reeling from the company’s 2010 disaster.

But the British oil giant BP plc has very little to fear with their new leases, even if another blowout were to occur, and that’s the part of the story that has been routinely missed by the media. 

Sun, 2014-08-24 18:09Steve Horn
Steve Horn's picture

Koch-Tied Roots of Senator Vitter's Green Billionaires Club Environmental Attack Report

A DeSmogBlog investigation reveals that Kristina Moore, the Senate staffer listed as the author of U.S. Sen. David Vitter's (R-La.) “green billionaire's club” report published by the Senate Environment and Public Works Committee (EPW) on July 30, has career roots tracing back to the Koch Brothers' right-wing machine.

Metadata from Vitter's green billionaire's club report shows Moore's name as the author, though it remains unclear whether or not she authored it alone. Moore did not respond to a question about her authorship sent via email.

During a July 30 presentation of the report given to conservative transparency advocacy group Cause of Action, Vitter thanked Moore and several other staffers for their help putting together the 92-page document.

Moore — EPW's senior counsel for oversight and investigations — went to law school at George Mason University School of Law, graduating in 2007. David and Charles Koch both serve as major donors to George Mason University and also endow George Mason's Mercatus Center, where Charles sits on the Board of Directors

Kristina Moore Vitter
Kristina Moore; Photo Credit: Bertelsmann Foundation

While attending law school, Moore concurrently worked as chief of staff for former U.S. Rep. Tom Davis (R-Va.), according to financial disclosure documents obtained by DeSmogBlog.

As a Davis staffer, Kristina Moore (then Kristina Husar), attended two Mercatus Center-sponsored retreats in 2006 and 2007, held in Richmond, Va. and Willamsburg, Va., respectively.

Thu, 2014-08-21 14:00Graham Readfearn
Graham Readfearn's picture

Advertising Watchdog Says Peabody Energy 'Clean Coal' Advert Was Misleading

CLEAN COAL, it's the two-word catch phrase the coal industry has used for years as it tries to convince the world its climate changing energy source has a future.

While the term “clean coal” is rightly met with ridicule and derision by many, up until this week it has been allowed to stand — at least in the world of advertising.

But now the UK’s advertising authorities have told Peabody Energy that it can no longer freely dangle its “clean coal” mythology in front of consumers without explaining itself.

The advert, devised by global PR agency Burson-Marsteller, claimed that Peabody was using “today’s clean coal technologies” to “improve emissions”.

In an adjudication, the Advertising Standards Authority said:

Notwithstanding the fact that “clean coal” had a meaning within the energy sector, we considered that without further information, and particularly when followed by another reference to “clean, modern energy”, consumers were likely to interpret the word ”clean” as an absolute claim meaning that “clean coal” processes did not produce CO2 or other emissions. We therefore concluded that the ad was misleading.

The ASA said that the complainant, environment group WWF, had argued the term “clean coal” was misleading and that it “implied that the advertiser's impact on the environment was less damaging than was actually the case”.

Thu, 2014-08-21 12:26Steve Horn
Steve Horn's picture

After Oregon Rejects Coal Export Plan, Long Beach Votes to Export Coal and PetKoch

Just a day after the Oregon Department of State Lands shot down a proposal to export 8.8 million tons per year of coal to Asia from the Port of Morrow in Boardman, Oregon, the Long Beach City Council achieved the opposite.

In a 9-0 vote, the Council voted “yay” to export both coal and petroleum coke (petcoke, a tar sands by-product) to the global market — namely Asia — out of Pier G to the tune of 1.7 million tons per year. Some have decried petcoke as “dirtier than the dirtiest fuel.“ 

More specifically, the Council determined that doing an environmental impact statement before shipping the coal and petcoke abroad was not even necessary. 

decision originally made in June and then appealed by Earthjustice on behalf of the Sierra Club, Natural Resources Defense Council (NRDC) and Communities for a Better Environment, the Council shot down the appeal at an August 19 hearing

“We are very disappointed about the decision, but that does not diminish the amazing victory in Oregon,” Earthjustice attorney Adrian Martinez said in a statement provided to DeSmogBlog via email. “The decision in Long Beach just highlights the grasp that the fossil fuel industry has on the City's leaders.”

The Earthjustice legal challenge and the the subsequent August 19 hearing was not about banning coal or petcoke exports. Rather, Earthjustice and its clients requested that the City of Long Beach do an environmental impact statement for two companies given contracts to export the commodities for 15-20 years.

One of those companies, Oxbow Carbon, is owned by the “Other Koch Brother,” William “Bill” Koch. Like his brothers David and Charles Koch, he has made a fortune on the U.S. petcoke storage and export boom. Also like his brothers, he is a major donor to the Republican Party.

Thu, 2014-08-21 09:32Justin Mikulka
Justin Mikulka's picture

All Aboard! Tar Sands Bitumen by Rail Set to Eclipse Pipelines Like Keystone XL

“Rail can get you just about anywhere. It's like the Harry Potter stairway. You get on the stairs at one end and they move to wherever you need to go. That's the beauty of the railway. You get on at one end here, with your bitumen or dilbit, and then you can end up in different places depending on what are the best markets.”

That quote is from Pete Sametz, president of Connacher Oil and Gas, speaking to the Daily Oil Bulletin about the appeal of moving tar sands oil by rail. And Sametz isn’t alone in his enthusiasm for rail transportation options for bitumen. 

At the Canadian Institute's North American Pipeline Symposium in June, Randy Meyer of Canadian National railway, told the conference how this situation appeared to him. 

“It's kind of amusing when I read in the paper that there's this angst and gnashing of teeth about Keystone and I'm going, 'My goodness, we're already there.' We can go there and we are. We are shipping product there.

The reality is that tar sands bitumen transport is so well-suited for rail over pipelines that it is now cheaper to move tar sands bitumen by rail than it is by pipeline. If you're a tar sands industry executive, this is your light-bulb moment: Who needs the Keystone XL headache when you can bypass the controversy entirely using existing rail lines? 

Aside from the magical Harry Potter flexibility of rail compared to pipelines, rail also offers the option of moving bitumen without having to dilute it, as is required for pipelines, which makes it cheaper as explained by Randy Meyer. 

“We did a study where we took the American Association of Railway's published rates, which averaged out all the traffic that moves and all its products. That average … is about 16 per cent less than pipeline costs.”

This reality and the recent revelations that the impact of the tar sands oil will be much greater than initially predicted, present a grim picture for the environment, although apparently an amusing and exciting one for oil and rail executives. Companies like Grizzly Oil Sands outline their plans on their website. 

Pages

Subscribe to DeSmogBlog