Hunt is on for More Natural Gas in Idaho

BOISE – The new owners of natural gas wells in western Idaho plan to spend more and drill more to find more gas in the state.

“This is exciting news for Idaho,” Snake River Oil and Gas President Richard Brown told the Idaho Statesman in a story published Saturday.  “This acquisition of the productive wells and the thousands of associated leased acres means we can expand our oil and gas exploration program, drill more wells, and bring major investments to the region and the state.”

The company is partnering with AM Idaho LLC, a subsidiary of Texas-based Alta Mesa Holdings.

The companies recently purchased the Idaho gas wells from Bridge Resources Corporation and its partner, Paramax Resources Ltd.  Those companies in 2010 produced what appear to be commercially viable natural gas wells after drilling 11 wells in Payette County.

The new owners plan to use advanced technology that allows geologic mapping of the region to find more natural gas. Continue reading

Controversial Oil/Gas Drilling Bill, HB 464, Signed into Law

Here’s a news item from the Associated Press: BOISE, Idaho ― Governor C.L. “Butch” Otter signed the bill restricting local control over the natural gas industry, putting the finishing touches to a measure that launched the Senate’s ethics investigation into Senator Monty Pearce.  The law, HB 464, went into effect Friday, forbidding local governments from enacting ordinances to prohibit gas drilling.  From now on, Idaho cities and counties can’t require exploration companies to secure conditional use permits for their projects.  Though the bill cleared the House and Senate on wide margins, it created a sensation in the 2012 Legislature when Democrats accused Pearce of not disclosing a conflict of interest.  Pearce has leased land to Snake River Oil and Gas, the company behind the bill.  He didn’t disclose his leases publicly until the final vote.  Wednesday, the Senate Ethics Committee dismissed the complaint.

(By Betsy Russell, Eye on Boise, The Spokesman Review)

Gasland Rancher John Fenton in Idaho

On Monday, March 19, in Weiser, and on Tuesday, March 20, in Fruitland, the Idaho Organizing Project of the Western Organization of Resource Councils and Oregon Rural Action hosted guest speaker John Fenton of Pavillion, Wyoming, the rancher and chair of the Pavillion Area Concerned Citizens featured in the Gasland documentary.  Throughout two informative evenings of free, public presentations, John talked about his and his neighbors’ personal experiences and their direct struggles against the negative aspects of living in the middle of oil and gas fracking development on their ranches and in their community.  See a brief video of John explaining how his peers organized themselves and recruited the U.S. Environmental Protection Agency for a seminal study of their ground water.

(Link provided by Liz Amason)

Idaho Senate Democrats Decry ‘Unpleasant Ordeal’ of Pearce Ethics Process

The Senate ethics investigation into Senator Monty Pearce is over – as a bipartisan committee voted unanimously to drop a conflict-of-interest complaint.

But the hard feelings linger.

In a news release this morning, Senate Democrats complain that they were saddled with an unreasonable burden of proof. They say they were told to prove that Pearce, R-New Plymouth, would derive direct and unusual financial benefit from oil and gas leases from the process.

Committee Republicans and Democrats closed the process with an agreement that potential conflicts should be disclosed sooner in the legislative process – not on the Senate floor, before a final vote on legislation, as Pearce did last week.

Read more: Idaho Senate Democrats Decry ‘Unpleasant Ordeal’ of Pearce Ethics Process

(By Kevin Richert, The Idaho Statesman)

House Bill 464 in the Idaho Senate

Controversial legislation fast-tracked by the Idaho Petroleum Council through the Idaho Legislature, House Bill 464 faced a gridlock 17 to 17 vote on the Senate floor last Friday, March 9, about whether it should be sent to the Amending order for language changes.  This industry-sponsored law would allow state agencies and commissions to pre-empt city and county control of natural gas development and would exempt associated wells from state regulations governing Class II injection wells, thus permitting disposal of hazardous drilling waste such as hydraulic fracturing (“fracking”) fluids.  In an unexpected turn of events, Lieutenant Governor Brad Little cast the deciding vote in favor of revisions (see the Boise Weekly article also on the WIRT website, Senate Deadlocks on Amending Gas Drilling Measure, Lieutenent Governor Casts Tie-Breaker. Continue reading

Imperial Gets Last of Kearl on Road

The foundation and underground services are in place at the first phase of the $8-billion Kearl Oil Sands project, seen in a recent aerial photo of the site north of Fort McMurray (Imperial Oil photo).

$11-billion plant on schedule to start up at year’s end

After months of delays, route changes, and extra work to disassemble huge oil sands modules sent from South Korea, the last loads are on the road to Imperial’s $10.9-billion Kearl project.

The final shipment of 33 modules left the Port of Lewiston, Idaho, last week on the way to Edmonton, where they will be reassembled and sent to Fort McMurray.

Meanwhile, about half of the 205 imported modules remain at the Port of Pasco, midway between Lewiston and the Port of Vancouver, Washington.  The Korean units represent about 20 percent of the modules needed for the vast Kearl project.  Almost all of the remainder were constructed in Edmonton-area yards, primarily in Nisku.

The Pasco modules are being disassembled and sent off in batches of two or three shipments twice a week, following a four-lane highway to Spokane, Washington, and Butte, Montana, then north to Alberta on a route that will take them east of Calgary.

“We’ve been moving multiple loads but on fewer nights,” said spokesman Pius Rolheiser.  Imperial has day park locations along the route.

Kearl is scheduled to start up at the end of this year with work now about 90 percent complete.

…Depending on weather and permits, all Pasco modules will be at Kearl by the summer.

…Imperial won’t be building an upgrader at Kearl but is using a patented paraffinic froth treatment system to produce a solids-free bitumen that will be blended with diluent and shipped by pipeline to North American refineries.

…A key feature of Imperial’s plan is to ship the Kearl diluted bitumen on the proposed 500,000 barrels-per-day TransCanada Keystone XL pipeline, which has become a hot political issue in the U.S.

Read more: Imperial Gets Last of Kearl on Road

(By Dave Cooper, Edmonton Journal)

Senate Deadlocks on Amending Gas Drilling Measure, Lieutenant Governor Casts Tie-Breaker

The debate over local control when it comes to Idaho’s burgeoning gas exploration made its way to the floor of the Idaho Senate Friday morning.

What started as a series of speeches promoting the benefits of oil and gas exploration evolved into a robust debate of how much input Idaho cities and counties should have in determining where, or even if, oil and gas wells should be allowed.

“I want the oil and gas industry to succeed and move forward, but I also have grave reservations about this bill,” said Rupert Republican Sen. Dean Cameron, referring to House Bill 464, which would give ultimate authority on permits for oil and gas drilling to the state, trumping local oversight. “I have received a good deal of correspondence from our counties that are expressing their concerns.”

Read more: Senate Deadlocks on Amending Gas Drilling Measure, Lieutenant Governor Casts Tie-Breaker

(By George Prentice, Boise Weekly)

Lakotas and Idahoans Forming Human Roadblocks

Debra White Plume: “If you don’t see the importance of the Lakotas and the Idahoans forming human roadblocks against tar sands contracted trucks in this nation’s heartland, know that those people are putting their lives on the line for this nation’s water and food security.  With all the folks freaking out over foreign terrorists poisoning our food and water supplies in this country, the real threat to our nation’s homeland security is a threat to the water supplies of this nation’s heartland, which produces the bulk of the food you eat throughout the year.”

Flashpoints Interview of Cass Davis and Jim Prall

On Wednesday evening, March 7, two of the four valiant activists who risked arrest or were jailed by police on Sunday, March 4, for peacefully blocking megaload parts of an Alberta tar sands upgrader plant moving through Moscow, Idaho, talked with Flashpoints host Dennis Bernstein.  Listen to the first 17:52 minutes of this radio program as Cass Davis and Jim Prall describe tar sands devastation, political corruption, Idaho’s megaload dilemma, Wild Idaho Rising Tide’s anti-megaload campaign, and protesters’ civil disobedience on KPFA Free Speech Radio in Berkeley.

Senate Resources Committee Approves Drilling Ordinance Pre-emption Law

House Bill 464 passed the Senate Resources and Environment Committee on Friday, March 2, with a 6 to 3 vote after three and a half hours of discussion and testimony extended from a similar Wednesday, February 29, hearing.  Deviously crafted and promoted by the Idaho Petroleum Council, the proposed bill bypasses state rulemaking processes and limits city, county, and local jurisdictional control of natural gas drilling operations, including hydraulic fracturing, or “fracking,” practices.  It also would exempt all natural gas wells from state regulations for injection wells, thus allowing disposal of hazardous fracking fluids underground, where they could endanger community and private drinking water.  Five other oil and natural gas laws were also recommended as “do pass” measures by the seven Republican and two Democrat committee members.  Listen to between 13:11 and 6:21 of the Monday, March 5, Evening Report, Two Megaload Blockers Arrested, on KRFP Radio Free Moscow for a description of this legislation and its testimony and deliberations, Senate Resources Committee Approves Drilling Ordinance Pre-emption Law.