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February 13, 2015
February 13 2015
Energy needs beyond electrical and Alaskan Petroleum Development:
P. 101 in atlas emphasizing non-electrical importance of energy sources.
No local resources of gas or oil; modest coal.
Use of gas & oil:
gas: residential, industrial & commercial markets.
oil: mfg. into: gasoline, heating oil, kerosene, and diesel fuel, plus many other smaller product markets.
local reliance in oil on imported supplies
PNW: Roughly self sufficiency in refining capacity
But, West Coast with long-run excess crude oil supplies.
California
Interior: AZ/NM
Pipeline structure to east.
Sources: Interior- S Idaho, Montana
E. Wn.
W. Wn, W Oregon:
N. Sound refineries: Anacortes, Ferndale
Olympic Pipeline
truck & barge distribution
Canadian situation: Alberta resources
Historic movements of Alberta oil to PNW;
Gas from Canada to PNW.
Canadian reconsideration of exports: early 1970's.
cutting off PNW crude oil supplies.
Natural gas continued to be exported to the U.S. from Alberta
Discoveries in Ak....
A new era in Alaskan development:
after early Russian dominated settlement, then fisheries, then WWII, forest products, recent fishery developments, then oil & gas.
Today, Alaska has passed Wyoming, N. Dakota, Vermont in population, about 735,132 in 2013, or a little larger than the size of the City of Seattle. Energy related developments have propelled much of this, mostly with settlement located near Anchorage.
Alaskan capability:
Cook Inlet.
Years ago produced 200,000 bbls/day refining, most in Alaskan use, but exports of LNG to Asia and California. By the year 2010 this had fallen to about 10,000 bbls/day.
PrudoeBay
Discoveries lead to TAPS, but this was highly controversial: Battle over route, technology, lead to suspension of NEPA by Congress, but with special stipulations. No foreign export of the oil. Then, construction of TAPS, but no solution for natural gas.
(Powerpoint graphics of production history). Production now down to 600,000 bbls. Per day, from a peak of 2,000,000 bbls. Per day.
Canadian resources: MacKenzie River Delta.
still the problem of the gas, reinjection, problems related to it in LR in recovering oil field potential. Still being debated. Options for gas:
PrudoeBay to Valdez
Prudoe-Bay to Fairbanks & east to Yukon/Alberta
Prudoe-Bay-East to MacKenzie & S. to Alberta.
**** The current role of ANWAR, and battle over it. Obama’s current proposal to make part of it Wilderness.
Linked problem of transfer in the U.S., from w-coast to markets.
P.S./W.Coast options on movement of oil:
OlyPeninsula - BN route
N Sound - BN routes
SE AK/N BC - interior BC/ Alberta routes
Tanker only (current)
the latter has lead to swaps with Japan and other Asian consumers.
Recently Congress has allowed Alaskan crude to be sold on world markets, to help generate more revenue for the state of Alaska.
Periodic revival of Trans-Mountain proposal.
Concerns: spills, other low grade impacts, few jobs for environmental risk.....
Current proposals for Natural Gas movement from Alaska through Canada, or a LNG facility at Valdez.
The Alaska Natural Gas Pipeline Project – Recently under analysis by the Federal Energy Regulatory Commission, which would support construction of the TransCanada Alaska Company natural gas pipeline, from PrudoeBay to the Alaska-Yukon border. No bidders were found for the gas for this proposal, given the current low price of gas and the development of supplies in regions such as North Dakota. So, currently the TransCanada proposal is dead.
However, a proposal to build a natural gas pipeline to Cook Inlet, where it would be liquefied and then exported is under consideration by the State of Alaska legislature. If this gas were exported, it would require federal approval.