NATURAL GAS IS SAFELY AND RESPONSIBLY PRODUCED IN 31 STATES ACROSS THE UNITED STATES, AND IT IS PUTTING AMERICANS TO WORK IN ALL 50 STATES. EXPLORE OUR INTERACTIVE MAP TO SEE HOW NATURAL GAS BENEFITS YOUR STATE.
$2.5 Million Gift Expands College’s Energy Programs in PA
From: ANGA Blog
From: ANGA Blog April 14, 2014
The Marcellus shale is bringing jobs and new opportunities to Pennsylvania.
For students at Lackawanna College in Scranton, PA, growing demand for experience in the natural gas and oil sector led to the creation of the School of Petroleum and Natural Gas, which offers associate degree programs in the field.
As the program expands into its fifth year, the school has announced that it has received a $2.5 million gift from Cabot Oil and Gas Corp.
As a strong industry partner, Cabot understands the need to train a skilled and reliable workforce to meet a greater number of jobs in Pennsylvania’s energy development sector.
By providing opportunities for local students to enter the field directly after college, Cabot is investing in a strong foundation for the high paying and long-term energy jobs that will define this region for years.
To learn more about the program and Cabot’s gift, watch Lackawanna College’s video announcement.
Gifts to continue programs like these are creating opportunity for local students. The impact is hard to miss.
As quoted in the video:
“The majority of people that you run into are local people that got trained here and now work [in the industry].”
Natural gas is creating more opportunities than ever before for homegrown success on every level.
ANGA Comments on Participation in the Energy Department’s Quadrennial Energy Review
From: ANGA Press Releases
From: ANGA Press Releases April 11, 2014
Background: Following is a statement by Marty Durbin, president and chief executive officer of America's Natural Gas Alliance, on ANGA’s participation in today’s public meeting on infrastructure resiliency and vulnerabilities as part of the Energy Department’s Quadrennial Energy Review. Click here to download ANGA’s written remarks.
"We were pleased to be asked to offer remarks at today’s public meeting on the Department of Energy’s Quadrennial Energy Review.”
“As President Obama and members of his cabinet have said, natural gas plays an essential role in our industrial and power generation sectors. We also have a unique opportunity to export natural gas to the benefit of our own economy and our friends around the globe.
“Shale abundance has transformed the energy possibilities of our nation. In just a handful of years, the United States has emerged as the world’s leading producer of natural gas. Indeed, a major vulnerability we face is not taking full advantage of what our abundant, domestic supplies of natural gas have to offer our nation’s economy, environment and energy security.
“The QER provides an opportunity to continue the progress made possible by our shale gas revolution. We must therefore ensure government policies and practices encourage further development of the resource, expand needed infrastructure and focus on reliable and innovative delivery mechanisms for the fuel supply.
“We look forward to being a constructive participant during the full public input process related to the development of the Quadrennial Energy Review.”
Public Information Website Enters Fourth Year of Successful Service
From: ANGA Blog
From: ANGA Blog April 11, 2014
Today, the website FracFocus.org marks its third anniversary providing the public with information about hydraulic fracturing.
FracFocus was Developed by the Groundwater Protection Council (GWPC) and the Interstate Oil and Gas Compact Commission (IOGCC) with the support of ANGA’s member companies and others in the natural gas community. It serves as a public registry of hydraulic fracturing fluids with information on a well-by-well basis for operations on both government and private lands.
In just three years, the website has grown substantially as companies prioritize transparency and the engaged public seeks information on natural gas development. FracFocus now lists the additives used in more than 68,000 wells from 615 individual natural gas development companies and has logged more than 796,000 total visits to its website.
As a testament to the website’s reputation as the go-to public information resource for natural gas development, 15 states either require or encourage operators to use FracFocus to disclose the additives used in hydraulic fracturing. An additional 10 states are now considering using FracFocus for this purpose.
FracFocus continues to be an instrumental tool for disclosure, by serving as a credible public resource offering transparency in communities in which our companies operate and further encouraging the safe and responsible development of America’s affordable, clean and abundant natural gas.
RT @DanWhitten: Government can help in the broader education on demonstrated safe production of #energy and role it plays, @martyjdurbin te…
From: @ANGAus April 11, 2014
SWN Energy Honors ‘Everyday Heroes’ in Pennsylvania
From: ANGA Blog
On Tuesday, five local volunteer fire departments in Bradford County, PA were honored for their service to the local community and each presented with $2,500 grants, all a part of SWN Energy’s Everyday Heroes Initiative. This is just one example of the work that all ANGA companies do in communities where their employees work and live.
Since the beginning of the Everyday Heroes program in 2008, SWN has distributed more than $600,000 to police officers, fire fighters and emergency medical workers in their local communities. These grants are used to purchase a variety of equipment for improving operations and local services – from radios to life-saving medical equipment.
Hats off to the brave men and women of Bradford County’s volunteer fire departments, and thank you SWN for exemplifying our industry’s ongoing commitment to being good neighbors in the communities where we operate.
A 2013 Power Plant Year In Review
From: ANGA Blog
On Tuesday, EIA’s Today In Energy blog published an overview of power plant capacity additions in 2013 and how they break down among fuel sources.
Here’s what you need to know:
Lowest Energy Imports In 20 years? Thank Natural Gas
From: ANGA Blog
Russia, Saudi Arabia – the United States?
When you think of the world’s largest energy producers, you think of far off places – but in reality the U.S. is more energy secure than it has been in decades.
As reported by the Los Angeles Times, natural gas is more abundant and affordable than ever before, and the U.S. is forecasted to become the world’s top oil producer by 2015. Not surprisingly, our energy imports have dropped to the lowest levels in more than two decades. In the last year alone, America’s net imports dropped a whopping 20 percent, according to a report released by the U.S. Energy Information Administration. That means a whole lot of good for consumers.
Our domestic natural gas production is fueling greater security for Americans at home, which gives us the flexibility to focus on the environmental and economic benefits that come with it.
It’s a great time for energy in the U.S.
ANGA Statement on White House Methane Reduction Strategy
From: ANGA Press Releases
From: ANGA Press Releases March 28, 2014
Background: Following is a statement by Marty Durbin, President and Chief Executive Officer for America’s Natural Gas Alliance, responding to the methane reduction strategy released by the White House earlier today.
“The White House clearly acknowledges the substantial gains our industry has made through voluntary efforts and recognizes that states should continue to play a leading role in helping to achieve further reductions going forward. We appreciate that the administration has initiated a collaborative process and we look forward to being part of the solution to addressing methane emissions.
“Thanks to greater natural gas use, we have reduced energy-related emissions across the United States to 1994 levels. The natural gas community continues to invest in and refine operations to further reduce methane emissions. With an abundance of natural gas, there is significant opportunity to make further progress not just here but around the world, while also affordably meeting energy needs. And with that will come substantial economic and energy security benefits.
“The President has praised natural gas as a clean, affordable fuel for power generation, transportation and domestic manufacturing. We believe technology is available that will enable all parts of the natural gas supply chain to make strides in reducing emissions and we stand ready to advance our ongoing dialogue with the administration and all stakeholders involved in this effort.”
ANGA Comments on Natural Gas Export Hearings
From: ANGA Press Releases
From: ANGA Press Releases March 25, 2014
Background: Following is a statement by Marty Durbin, President and Chief Executive Officer for America’s Natural Gas Alliance on three congressional hearings this week focused on increasing LNG energy exports.
“The Administration should demonstrate its resolve to be a leading player in global energy markets by approving the pending applications to build LNG export terminals. Without a more efficient and timely approval process, the U.S. may be losing opportunities to participate in the growing global energy market and leaving behind the many economic, environmental and energy security benefits that natural gas offers. The bicameral and bipartisan support for accelerating this process is encouraging, and represents a chance for the U.S. to lead in the global call for reliable, affordable energy.
“Credible studies show that thanks to abundant supplies, America’s natural gas can be exported to global markets while maintaining stable domestic prices. Other studies have shown that producing and exporting natural gas for use in power generation leads to lower greenhouse gas emissions and, in the long run, helps lower our trade deficit.
“While we won’t be able to ‘turn the spigot’ and bring immediate energy to our allies around the globe, we can send a signal to the rest of the world that help is on the way. Doing nothing on natural gas exports, as some would prefer, would allow other countries with abundant natural gas to leap ahead of us in LNG export capacity and technologies. Forfeiting our competitive trade advantage is not an option.
“As we responsibly develop our abundant natural gas resources, the opportunities brought by exporting LNG add to the many benefits that come from engaging in a growing and competitive global energy market."
ANGA Statement on DOE Conditional Authorization of Jordan Cove LNG Export Terminal
From: ANGA Press Releases
From: ANGA Press Releases March 24, 2014
Background: Following is a comment from Frank Macchiarola, Executive Vice President for America’s Natural Gas Alliance on the Department of Energy’s (DOE) decision to conditionally authorize the Jordan Cove LNG Terminal in Oregon to export domestically produced natural gas.
“We welcome the Department’s decision to conditionally approve the authorization of the Jordan Cove LNG Terminal. As numerous studies have shown, the export of natural gas can bring reliable, affordable energy to our allies around the globe and to developing nations. Thanks to the greater use of natural gas here at home, we have seen emissions levels from power generation fall to levels not seen since 1994. This is a tangible benefit that we can share with other nations through natural gas exports. In addition, the export of natural gas will support American jobs, spur innovation and help equalize our trade balance.
“We face the important choice of whether to take action to improve our energy and economic security, or recede and let other nations pass us by. That is why we would prefer a process that expedites DOE export approval and welcome the broad support in Congress for such a policy, a policy that will allow companies in the U.S. to seize this opportunity and compete globally. Experts across the spectrum agree that advancing exports is the right path forward, so now is the time to lead.
On Question of LNG Exports, Time to Act is Now
From: ANGA Blog
From: ANGA Blog March 24, 2014
The U.S. is at a crossroads.
Abundant and affordable natural gas has given the U.S. an incredible advantage on the global energy stage. With generations of supply, America outpaces Russia and Saudi Arabia as the largest producer of natural gas in the world.
We should act now to ensure our LNG can be exported to our key strategic allies while creating jobs at home.
In addition to helping our friends in Europe and Asia, exports can bring abundant supplies of natural gas to developing nations. Access to clean and affordable energy is a key element in raising living standards around the world.
A consensus is growing around LNG exports, and here are just some of the comments calling for action:
“The U.S. oil and gas revolution has handed President Obama a powerful policy tool, and one way to wield it would be for the Energy Department to approve immediately the 25 applications for liquefied natural gas (LNG) export terminals."
Debate has raged over whether the United States can fight Vladimir Putin on the Russian president’s most favorable ground: energy politics. It can, and it should, particularly because there’s an obvious path forward that coincides with the United States’ — indeed, the world’s — economic interests. That path is lifting irrational restrictions on exports and making it easier to build natural gas export terminals.
“[The] United States — now nearly energy independent — could export liquefied natural gas to both Europe and Asia. There are many good reasons for this. The USA has 100 years to 120 years of proven reserves and could significantly boost its economy with the billions of dollars a year that would pour in from a significant export program.
The specter of Putin using natural gas spigots as a way to dominate Ukraine, while keeping other nations at bay, is all the more reason to get going.”
“Let’s not allow more time to waste in a bureaucratic morass. Ukraine is unlikely to be the last time we witness a crisis where U.S. energy exports could be beneficial. The time is ripe for the U.S. to make necessary changes to our export policies so both our citizens and allies are able to benefit from our strategic advantage in the future.”
“In response to Mr. Putin's aggression in Ukraine, President Obama should announce a series of steps that will dramatically expand production of American-made energy, beginning with lifting this de facto ban on exports of U.S.-produced liquefied natural gas. Taking this step would also create American jobs and lower prices for our consumers and small businesses when coupled with other moves that would bolster energy production in North America. These include construction of the Keystone XL oil pipeline, ending the Obama administration's embargo on our supplies of oil and gas from federal lands and waters, and halting the effort to take coal out of America's electricity generation mix.”
“Those restrictions on exports were born, as was the Department of Energy and the Strategic Petroleum Reserve, on oil disruptions,” Mr. Moniz said in remarks to reporters at the Platts Global Energy Outlook forum in New York on Thursday. “There are lots of issues in the energy space that deserve some new analysis and examination in the context of what is now an energy world that is no longer like the 1970s.”
Read more and see why we support LNG exports: http://anga.us/issues-and-policy/lng-exports
Energy Boom a Boon for U.S. Cities, Says Mayors Report
From: ANGA Blog
From: ANGA Blog March 21, 2014
Head to cities like Houston and Pittsburgh lately and you’ll notice a growing trend- business is booming thanks to natural gas.
According to an IHS reportout this week commissioned by the U.S. Conference of Mayors, the surge in domestic natural gas and oil production is delivering huge dividends for U.S. manufacturing- through more affordable energy and industrial feedstock and greater demand for manufactured pipeline and equipment.
Between just 2010 and 2012, energy-intensive manufacturing spurred by the shale boom added nearly 200,000 jobs and increased sales by $124 billion in the nation's metropolitan areas. The report predicts that energy-intensive manufacturing employment will increase more than one percent annually nationwide through 2020, with 72 percent of those jobs going to major metropolitan areas.
Pick your industry - Steel, plastics, chemicals, machinery- all are benefiting from our domestic energy boom. And lower costs thanks to shale gas paired with our highly skilled city populations are making the U.S. the most sought after destination in the world for international manufacturers.
Take for example, Methanex, one of the world’s largest methanol suppliers. Earlier this year, they announced that it would move one of their plants from Chile to Louisiana. There they will gain access to affordable domestic reserves of natural gas, where the company can produce methanol at a competitive price.
Want to learn more about what natural gas is doing for your city? Click here to read the full report.
ANGA Comments on Efforts by Some Groups to Stop Natural Gas Use
From: ANGA Press Releases
From: ANGA Press Releases March 18, 2014
Background: Following is a statement by Frank Macchiarola, executive vice president for America's Natural Gas Alliance, on the opposition of Bill McKibben and Michael Brune to natural gas.
“Messers McKibben and Brune are wrong in their approach to energy. It’s not surprising that they oppose exports because they oppose all natural gas, and have stated clearly that their goal is to keep natural gas in the ground. Their approach would not only halt economic growth and job creation, but by turning their backs on the use of natural gas in power generation and transportation, they end up impeding the very thing they are advocating for, progress toward a cleaner environment.
“Thanks in large part to greater use of natural gas in power generation, the United States has dropped to 1994 levels of carbon emissions and has lowered emissions of mercury, SOx and NOx. It is commonly recognized that greater natural gas use is an answer to both GDP growth and greenhouse gas emissions reductions.
“From President Obama on down, the decision is not whether we can produce our abundant and affordable natural gas safely and responsibly – we are doing that now – but instead, how can we best put it to use for our environment, our economy and our national security."
Natural Gas Delivers For America
From: ANGA Blog
From: ANGA Blog March 18, 2014
Across the country, businesses, government agencies and other organizations that operate vehicle fleets turn to natural gas vehicles (NGVs) for their transportation needs. Natural gas is one of the cleanest, most affordable fuels available today, and vehicle makers offer more NGVs every year.
UPS, the world’s largest package-delivery and logistics company, operates one of the nation’s largest NGV fleets. Its iconic brown delivery trucks are instantly recognizable, but what many people don’t know is that UPS is truly committed to the environment. The company has used alternative-fuel vehicles including NGVs to transport packages for years, and in 2014 most of the new tractor-trailers UPS puts on the road will be powered by natural gas.
Longtime employee J.D. Baker, who works at the UPS facility in Ontario, California – one of the first UPS facilities to adopt NGVs -- says their NGVs are reliable, get great mileage and provide plenty of power on the region’s notorious mountain roads like The Grapevine and the Tejon Pass.
“They’re also a great conversation piece,” J.D. told us. “People in the community see ‘Natural Gas Vehicle’ on the side and ask us about it.”
By using more natural gas, UPS reduces emissions, while taking advantage of an affordable fuel that powers a massive delivery fleet traveling thousands of miles every week.
In this video, J.D. explains why he’s proud of his company’s commitment to the environment as well as the communities it serves and how NGVs are an important way of showing that commitment.
Using natural gas to deliver for America? That’s something to think about. For more information about the positive impact of natural gas, visit www.thinkaboutit.org.
Celebrating International Women’s Day
From: ANGA Blog
From: ANGA Blog March 7, 2014
As the natural gas industry has grown, we’re proud of the strength and growing diversity of our workforce. Women are a growing presence in the natural gas industry, and play a critical role in securing our energy future.
Tomorrow, as the world celebrates International Women’s Day, ANGA shares its gratitude for the truly dedicated women we’re proud to have working alongside us, and the skill and professionalism they bring to our work.
They are managers and engineers, working in the field and behind the scenes to get the job done and help fuel America’s energy needs.
Take a moment to watch our video highlighting the work of just some of the women working in the field today:
Like Jamie, a completions engineer who manages operations for over 600 natural gas sites in Texas, the women of our industry are committed to the task at hand.
According to the latest IHS projections, job opportunities for women as petroleum engineers, managers, and professionals are expected to grow by almost 70,000 from 2010-2030. It’s a powerful trend.
From all of us at ANGA, we couldn’t do it without you – thank you.
.@jiminhofe & @SenCarlLevin believe that #NGVs are the future of U.S. transportation - http://t.co/3KXy0hVy21
CERAWeek 2014 Liveblog
From: ANGA Blog
From: ANGA Blog February 27, 2014
Bookmark this page and join us at 3:45 pm CST on Tuesday, March 4 as we begin liveblogging CERAWeek 2014 from Houston, TX. We promise bring you up-to-the-minute coverage of natural gas news from the many panels, briefings and keynotes at one of the world's largest energy conferences. If you're on Twitter, be sure to follow @ANGAus and the #CERAWeek conversation. Here's an initial schedule of what we plan to cover:
Tuesday, March 4
Wednesday, March 5
Thursday, March 6
Doug Lawler, President & CEO, Chesapeake Energy highlights focus on efficient capture to extend resource plays.
Lawler: Shale gas accounts for more than 40% of U.S. marketed production. Marcellus Shale is producing more than 2x the next highest producing shale play.
Lawler: Independents are driving shale growth in the U.S.
Russ Girling, President & CEO, TransCanada Corporation: North America is going to need a lot of energy infrastructure - more than $2 trillion for gas.
Girling: We can produce natural gas at economic prices that will sustain businesses through their economic cycles.
Javier Gutiérrez, President, Ecopetrol: You must be a part of the community where you want to develop your project. You must be transparent and develop trust.
Lawler: Technology and efficiency gains will result in continued opportunities for upstream development.
Dave McCurdy, President & CEO, American Gas Association: Natural gas is a foundation fuel that will be here for decades.
McCurdy: Most of the policies that we deal with are pre-shale. They were designed during a time of natural gas scarcity.
Keith White, VP, Business Development & Energy Supply, NW Natural: We're at an inflection point for natural gas demand.
Andrew Sunderman, Chief Financial Officer, Direct Energy: Only about 40% of the customers in Connecticut have access to natural gas. We believe it is essential to remove barriers to access.
Sunderman addresses the need to improve access to natural gas in the Northeast.
Colette Honorable, President, NARUC: Gas is more than a bridge fuel. This is a story we should be proud of, and it's a story that I'm happy to share.
Honorable is outlining the extensive investment that has gone into upgrading and replacing the extensive natural gas pipeline system.
Honorable: It's an exciting time in the [natural gas] industry. I can tell you natural gas is greatly embraced in Arkansas. The Fayetteville Shale is the 7th most prolific shale in the U.S. We support a strong role for natural gas in the fuel mix, but we also support a diverse mix. We strive to ensure that our regulators are equipped with the tools they need.
Paula Gant, Deputy Assistant Secretary, Oil & Natural Gas, U.S. Department of Energy: Thrilled to be part of an Administration that understands the opportunity of natural gas. The President has called natural gas out in his last three State of the Unions.
Gant: There's a tremendous opportunity with natural gas from an economic, environmental and national security perspective. We are the envy of the world.
Gant: We have an opportunity to reduce our GHG emissions while strengthening our economy.
Gant: We're seeing increased rig productivity and that's a result of technological innovation. We continue to apply technology and innovation in ways that outpace our expectations.
Gant: The enhanced security of others improves our national security.
Gant: We have a regional diversity of this resource. Traditional natural gas consumers are now natural gas producers. Utica is an example of a new energy resource in a region that hasn't typically produced its own energy.
Bob Ineson, Managing Director, North American Natural Gas, IHS: IHS expects natural gas demand to increase 4 bcf/day per year on average from 2015 through 2021. The question for the panel is: will supply investment come in time?
Iain McIntosh, VP US Lands Ops, Baker Hughes: We putting more focus on the data gathered during the drilling phase. Data will ensure that we complete wells in the right way. Studies from the Eagle Ford Shale show that placing fracture stages in the right place could yield as much as 25% higher yields.
William Maloney, EVP Development and Production North America, Statoil: "Obviously, yes - America can meet the coming demand surge."
Maloney: Natural gas rig count is down 25%, yet production is up. Advancements in drilling techniques will increase efficiencies, while technology will continue to drive down the cost of development.
William Lawson, VP of Corporate Development, The Williams Companies: "Absolutely, yes" we will have enough supply to meet the demand surge. The critical component will be infrastructure.
Lawson: We've invested $6B in pipeline, gathering in the Northeast to help natural gas get to demand markets.
Lawson: NGLs have been providing producers an extra margin to make projects more attractive; however, infrastructure is still needed to get those products to the main markets.
Lawson: We're now giving our pipelines North to South capability to take Marcellus gas to the Southeast.
Lawson: The narrative for North America has changed. Today, given abundance of NGLs and ethane, you can see a long-term sustained advantage over other regions of the world that rely on naphtha.
Secretary Moniz talks about Obama Administration's "All of the Above" energy strategy, which is creating jobs and reducing emissions. Key part of the "All of the Above" strategy is natural gas.
Moniz: A skilled workforce is essential to taking full advantage of our nation's energy opportunities.
Moniz: (On transition from energy shortage to abundance) We were always an energy powerhouse, but oil imports created the impression that we were dependent on foreign energy sources. We have to temper this discussion.
Moniz: Even as we pursue low-carbon energy sources, we will still rely on oil and gas.
Moniz: Gas production has led directly to reduced CO2 emissions.
Moniz: As you know we have approved 1 license for LNG export, and the expectation is that exports will begin at the end of 2015. The current LNG Export process, as currently authorized, doesn't give us the ability to determine where the cargo goes. DOE has given 5 conditional approvals to LNG export applications, but these must now go through FERC's process.
Fred Krupp, Environmental Defense Fund: We live in a real world, and in that real world the U.S. produces 28 Tcf/year. It's not should we use natural gas or should we use solar. We're going to use a lot of natural gas for electricity and manufacturing. And as wonderful as the economic benefits are, we shouldn't ask neighbors of development to give up clean air and water.
Marvin Odum, President, Shell Oil Company: It's all about transparency, facts and science.
Odum: The natural gas industry is getting very good at collecting and recycling water so that less is used.
Odum: It's easy to say it's about doing it right, but doing it right has to be driven by cost-effective solutions. There's real stress around the cost of developing shale resources. The interesting thing is that we're finding new ways to do things better from an environmental standpoint, which fit into that picture.
Gov. John Hickenlooper: Colorado has $30 billion per year in oil and gas production and more than 110,000 industry-supported jobs.
Gov. Hickenlooper: If a local-control ballot initiative were to pass, you would create a lot of uncertainty in the Colorado business community. Investments would go to other states.
Colin Parfitt, President Supply and Trading, Chevron Corporation: In 2012 Chevron processed more than 5 Bcf/day. The United States and Canada are uniquely positioned to take advantage of their natural gas resources.
Parfitt: We have the technology, expertise, regulatory and transportation systems to take advantage of conventional and unconventional resources.
Parfitt: Shale gas is the fastest growing source of natural gas in the United States. It's supporting power generation, the steel production and a resurgent petrochemical industry.
Lamar McKay, Chief Executive, Upstream, BP Plc: The resource base in the United States for gas and oil is immense.
Gregory Ebel, President & CEO, Spectra Energy: How do we get to the nuts and bolts of bringing the new natural gas supply to market?
Ebel: In the next dozen years we're going to need to invest nearly $1 trillion in infrastructure. There's an inherent lag between production ramping up and infrastructure. There's an imposed lag when you consider the permitting process.
Ebel: Having long-term relationships and political support from Gov. Christie, Gov. Cuomo and Mayor Bloomberg was critical to getting (Spectra's) pipeline into Manhattan.
Future of Natural Gas to Highlight Discussions at 2014 CERAWeek Conference
From: ANGA Blog
From: ANGA Blog February 27, 2014
The benefits of natural gas for our economy, environment and energy security are profound. Yet, there is much more potential for natural gas to be used across sectors in the U.S., and the world. Next week, the future for natural gas and its potential will be the focus of numerous panels and other programming at the CERAWeek 2014 conference.
Held annually in Houston, CERAWeek draws the “who’s who” in the world of energy – from academia, government and industry - to discuss the advances and achievements in energy and to look at what challenges lie ahead. There also will be discussions and speeches about new and emerging ideas developing and using energy more efficiently and affordably. Natural gas will lead the day on March 5, and it promises to be a day full of valuable high-level, forward-looking conversations.
In advance of this year’s conference, ANGA’s President & CEO Marty Durbin previews some possible takeaways. The agenda will include wide-ranging conversations about: natural gas exports; development techniques, and industry innovation; stability of supply and pricing, and; increasing the use of natural gas in transportation.
In addition, Marty will be speaking at CERAWeek on a panel focused on Texas and how it will structure its power market in the wake of renewed exploration and development of its oil and natural gas supplies. Also, ANGA’s member companies will have a big presence this year, with representatives from Anadarko, BHP Billiton and Chesapeake Energy participating in key programming throughout the week.
Look for more updates next week as CERAWeek 2014 kicks off and follow @ANGAus on Twitter where we’ll be covering much of the discussion on natural gas. We’ll see you in Houston.
ANGA Statement on Tax Reform Proposal from Chairman Dave Camp
From: ANGA Press Releases
From: ANGA Press Releases February 27, 2014
Background: Following is a statement by Dan Whitten, senior director of communications for America’s Natural Gas Alliance (ANGA) on the proposal by House Ways and Means Committee Chair Dave Camp Baucus (R-MI) to reform America’s tax code.
“Chairman Camp’s proposal takes the first step toward a broad conversation on reforming America’s tax code. While we have several misgivings about the impact of the broader proposal on our members and our industry allies, this plan appears to recognize the importance of the current treatment of intangible drilling costs. As work continues on this plan we will engage with members of Congress in both parties to see that the difficult task of tax reform promotes a structure that allows our industry to continue job growth and drive the manufacturing renaissance our nation now enjoys.”
Getting in the Maine Line
From: ANGA Blog
From: ANGA Blog February 25, 2014
When you have something good, it’s easy to take it for granted. And if you currently live in a home with natural gas heating then this statement often rings true. But the reaction that some Maine residents are having to the prospect of getting natural gas heating for the first time serves as a good reminder of just how good life with natural gas can be.
The Portland Press Herald reports that Summit Natural Gas is preparing to break ground on a new pipeline that will connect homes and businesses in Cumberland, Yarmouth and Falmouth to natural gas. While the project won’t be complete until 2017, Summit Natural Gas has already signed more than 250 households and 25 businesses. They expect this to grow to 1,400 households and 350 businesses by the end of the year.
What’s got them so excited? Information provided by the Town of Cumberland shows that a homeowner who burns 850 gallons of oil in a year could save $1,130 by using natural gas instead. The Portland Press Herald cites an example of three schools that are slated to convert to natural gas by this fall and will save a total of about $163,000 each year. Take that to the bank.
This excitement comes at an interesting time for natural gas with a historically cold winter raising questions about price stability. But the fact remains that despite having the 10th coldest January on record and the highest amount of natural gas consumed, benchmark prices remained at $6 or less; compare this to the $7-13 range that we frequently experienced before the shale revolution. There should be no question that converting to natural gas for home heating delivers economic benefits relative to the other options out there. And the folks who live in Maine can’t wait to see the benefits.
Addressing "Methane Leaks from North American Natural Gas Systems"
From: ANGA Blog
From: ANGA Blog February 21, 2014
Over the last week, members of the energy and environment press have been aflutter about methane. This comes in response to the release of a paper titled “Methane Leaks from North American Natural Gas Systems” in Science Magazine, whose primary claim is that there are higher-than-expected methane emissions.
It’s unfortunate that one reported finding - that there is little to no climate benefit from switching vehicles from diesel to natural gas – is not based on the paper’s data and conclusion. Brandt relies on a 2012 Proceedings of the National Academy of Sciences paper that uses an uncharacteristically low estimate of engine efficiency. The Council on Foreign Relations’ Michael Levi does a good job putting this claim into context, which you can read here.
The paper’s authors outline a number of causes for uncertainty, and so we outline them here:
Some of the news coverage is perpetuating a straw-man argument by limiting the benefits of using natural gas to reduced greenhouse gas (GHG) emissions. While lower GHG emissions are one benefit of using natural gas, it is not the only one. Growing use of natural gas in the power and transportation sectors is helping cut hazardous emissions, increase our nation’s energy security and saving consumers money.
Despite the uncertainty surrounding the emission sources of methane, this paper makes two positive observations. The first is that this greater-than-expected methane emissions are “unlikely to be large enough to negate climate benefits of coal-to-[natural gas] substitution.” The second is that hydraulic fracturing is unlikely to be a dominant contributor to total emissions.
There is no doubt that more information is needed to identify the sources of methane emissions, and to limit emissions during the natural gas development process. It is encouraging that early EPA data shows progress as the industry reduces its environmental footprint. As emissions capturing technology and so-called “green completions” are implemented across the country, we believe this downward trend will continue.
Tennessee Valley Authority to Build New Gas Plant to Replace Two Coal Plants
From: ANGA Blog
From: ANGA Blog February 19, 2014
The Tennessee Valley Authority has announced plans to build a $1 billion combined cycle natural gas plant in Western Kentucky that will be completed within three years. The 1,000 megawatt facility will replace two of the TVA’s oldest coal plants.
“It’s a big deal to build something of that magnitude,” TVA board member Pete Mahurin of Bowling Green, Ky., told the AP.
According to Black & Veatch, the average combined cycle natural gas plant is approximately 39 percent more efficient than the oldest 50 percent of existing coal generation capacity-and 58 percent more efficient than the oldest 10 percent of coal-fired plants.
To put that another way, for the oldest power-generating facilities, you need to burn 60% more coal to generate equivalent power to what you can produce with cleaner and more efficient natural gas.
The TVA’s decision is great news for its 9 million consumers in Tennessee, Alabama, Mississippi, Kentucky, Georgia, North Carolina and Virginia. But it’s also great news for the rest of us, when you consider that natural gas burns cleaner than the dominant energy source for power generation with 80 percent fewer nitrogen oxide emissions, and virtually no sulfur dioxide, mercury or particulate pollution. That means cleaner air for us all. We at ANGA have been actively engaged with TVA stakeholders for more than three years to talk with them about the benefits of using more natural gas for power generation. We are pleased that once it considered the stability of price and abundance of supply, TVA chose to put its confidence in natural gas.
Bringing the Heat: ANGA CEO Talks Extreme Weather, Stable Natural Gas
From: ANGA Blog
From: ANGA Blog February 14, 2014
As the East Coast is once again blanketed in snow and ice, the conversation is again turning to extreme weather and energy and heating costs. In this video, ANGA President and CEO Marty Durbin explains how U.S. natural gas abundance is stabilizing prices for consumers, while record cold weather and energy demand shows the importance of expanding pipeline infrastructure in the gas-rich Northeast.
Bottom line: In the new era of shale gas abundance, abundant supplies of this resource—found in 31 states across the nation—ensure there is plenty of natural gas supply to meet consumers’ and businesses’ rising demand for heat and electricity.
The “soaring” prices referenced by the media (and competing energy sources) remain in the low $5/mmbtu range. That’s compared to prices in the pre-shale era that hit $10 during the extreme winter of 2000-2001 and $13 during the 2008 hurricane season. And, at wholesale prices of $5.50/mmbtu, natural gas continues to offer the lowest levelized cost of electricity among all energy sources.
With plenty of natural gas supply, the issue facing the Northeast is a shortage of pipeline infrastructure to allow the region to take full advantage of its own vast Marcellus Shale resource. The good news for the future? We’ve seen $1.5 billion invested in pipeline in the region in each of the last two years, with similar annual investment levels projected this year and next year.
As Durbin notes, individual contract arrangements also impact the wholesale prices paid by power generators and LDCs alike. For that reason, many large natural gas customers are electing to pursue long-term contracts that lock-in stable, attractive prices and avoid the more price-sensitive spot market.
In the pre-shale era, natural gas supplies—and thus, prices—were vulnerable to extreme weather. At the time, for example, much of our natural gas resource was located offshore in the Gulf of Mexico and could be disrupted during hurricane season. But thanks to innovations in onshore production and the geographical diversity of shale gas, natural gas supplies are far more abundant and geographically diverse. The result? Affordable heat and energy for natural gas customers for decades to come.
ANGA Announces Frank J. Macchiarola as Executive Vice President
From: ANGA Press Releases
From: ANGA Press Releases February 12, 2014
ANGA President and Chief Executive Officer Marty Durbin today announced that Frank J. Macchiarola has been named ANGA’s Executive Vice President, Government Affairs.
In this capacity, Macchiarola will strategically integrate ANGA’s federal and state government affairs activities with its broader advocacy resources – communications, market development and research/policy analysis. His first day at ANGA will be March 17, 2014.
“Frank brings a trusted, experienced hand to ANGA. He will help execute our mission to promote greater use of abundant, domestic and affordable natural gas,” said Durbin. “Frank understands the economic, environmental and security benefits of natural gas, and his experience with complex national policy issues – from energy to health care – will bring great value to our team.”
Macchiarola joins ANGA from the law firm of Bracewell & Giuliani LLP where, as partner in the policy resolution group, he advised clients on energy legislation and policy along with healthcare, education and labor issues. Prior to his time at Bracewell, Macchiarola was Minority Staff Director for the Senate Health, Education, Labor and Pensions Committee (HELP) under then-Ranking Member Sen. Mike Enzi (R-WY). He also previously served as both Majority and Minority Staff Director and Counsel to Sen. Pete V. Domenici (R-NM) in his role as Chairman of the Senate Energy and Natural Resources Committee.
“It is an exciting time for American natural gas and it is a real privilege to lead ANGA’s advocacy efforts to advance the greater use of this clean domestic energy source,” said Macchiarola. “I look forward to representing ANGA’s members in their essential role in energy policy discussions affecting natural gas use, development and production.”
Macchiarola earned his J.D. from New York University School of Law and a B.A. from the College of the Holy Cross.