The FERC denied the Jordan Cove Project on March 11.
The Federal Energy Regulatory Commission (FERC) denied an application by Pacific Connector to construct and operate a 232-mile pipeline, which would have completed the supply chain of natural gas from the Piceance Basin in western Colorado, to Jordan Cove in Coos Bay, Oregon. With the denial of the pipeline project, the FERC also denied the related application by Jordan Cove LNG to construct and operate the proposed $5.3 billion gas export facility known as the Jordan Cove Project. Veresen, Inc., is the project’s principal contractor with plans to build a terminal to export liquefied natural gas (LNG) to Asia. Jordan Cove’s initial design plan projects a capacity of 6 million metric tons of natural gas per year.
To sum up the ruling, the Commission found “little or no evidence of need” to justify giving Pacific Connector the power of eminent domain over Oregon private property owners along the proposed pipeline route so they denied the pipeline. And because they denied the pipeline they denied the Jordan Cove LNG facility.
However the FERC left the door open for reconsideration of the project if the developers could prove there’s a global market for LNG.
On March 23, The Daily Sentinel reported that in a preliminary agreement with Veresen, the newly-hatched Japanese company JERA had tentatively agreed to purchase 1.5 million tons of LNG per year.
Citizens Against LNG response:
Jody McCaffree, executive director of the project opponent Citizens Against LNG, said by email Tuesday that she hadn’t had time to closely look at the JERA announcement, “but knowing the permitting, landowner, environmental and safety issues that Jordan Cove has not yet overcome after 12 years of scheming and trying, I would question anyone who would think that this is a viable project.
“Just wait until JERA does their own research. The Veresen news release states that this is just a ‘preliminary agreement.’ Enough said right there. JERA best be paying attention or they could be in for Hard Times in Paradise. The Jordan Cove project is one of the worst-sited LNG export proposals out there. Best to run, run away as fast as they can.”
On April 9, The Daily Sentinel reported a second preliminary agreement in which ITOCHU Corp. would tentatively purchase another 1.5 million tons of LNG per year.
Oregon private landowner’s response:
Stacey McLaughlin lives in Round Prairie, Oregon, and said more than a mile of the proposed pipeline would cross her land. She said by email that she finds it suspect that neither Veresen nor Williams, a partner in the pipeline project, had contracts or potential agreements a day before the regulatory commission’s denial of Jordan Cove.
“Now a few weeks later they are touting contracts FERC asked them to produce for more than two years, and they had 10 years to secure them. Frankly, Veresen has nothing more than they had on March 11 when FERC denied the project. These are preliminary conversations and they are throwing around the term contract and agreement rather loosely; where are the negotiated prices?”
She speculated that the Japanese firms are agreeing to handshake deals to keep Veresen in the game and help keep the prices low for exported gas.
“Veresen is throwing FERC a bone,” McLaughlin said.
She added, “It is fundamentally wrong that our American dream can be sacrificed through eminent domain so foreign companies can profit from our struggle. I do not understand any rationale that suggests a temporary paycheck for a laborer from California or a pipe fitter from Colorado is more valuable than our 40 years of hard work; trust me, we will do whatever it takes to protect our home.”
Because it’s an election year and all, natural gas proponents are keeping the Jordan Cove Project on life support through media propaganda and touting its viability. And politicians are at each others’ throats like a pack of zombies.
… Hickenlooper should “get (his) rear end up there get it worked out” with Oregon officials, Scott said. “I’ll pay for the plane ticket if he wants to go” …
… Hickenlooper ought not be alone in seeking support in Oregon, Scott said, calling for legislators from both states to come together as well in support of the project.
Guv exhorts feds to revisit Jordan Cove
Sen. Ray Scott takes the credit for Hickenlooper writing letter
Colorado Gov. John Hickenlooper has asked the Federal Energy Regulatory Commission to reconsider its rejection of the Jordan Cove and Pacific Connector Pipeline Project sought by Western Slope energy companies.
Hickenlooper wrote to the commission on Monday, the deadline to seek a reconsideration, citing the agreements between the project and two customers in Japan, which would buy natural gas from northwest Colorado’s Piceance Basin …
… Jordan Cove and its associated pipeline are “the only (liquefied natural gas) facility on the West Coast that would directly link Colorado to new energy markets,” Hickenlooper wrote to regulatory commission Chairman Norman C. Bay.
“It is important for shippers and domestic natural gas producers to continue to access markets for natural gas, including the Asian Pacific countries which comprise the fastest growing liquefied natural gas (LNG) market in the world,” Hickenlooper wrote …
… The West Slope Colorado Oil and Gas Association praised Hickenlooper’s “decisive leadership” in writing to the regulatory commission and in representing the state in Asia.
Hickenlooper carried a message that “Colorado is open and unlocked for business and that Jordan Cove is a critical storefront,” the organization said …
The propaganda is spreading in the Colorado media and the chatter is growing at town and county board meetings. And this is silly season, when lies become headlines. It’s time for Coloradans to respond to all of this cheap talk.
The elected officials and organizations listed below are supporters of the Jordan Cove Project, a private land grab for the economic benefit of corporations to ship energy resources overseas.
Jordan Cove’s walking dead —
U.S. Senators: John Barrasso, Cory Gardner, Mike Enzi, Orrin Hatch, Mike Lee, Michael Bennet
U.S. House of Representatives: Cynthia Lummis, Scott Tipton, Doug Lamborn, Mike Coffman, Rob Bishop, Chris Stewart, Jason Chaffetz, Ken Buck, Mia Love
Colorado Governor John Hickenlooper
Colorado Senators: Ray Scott, Randy Baumgardner
Colorado Representatives: Yeullin Willett, Dan Thurlow, Bob Rankin
Garfield County Commissioners: John Martin, Tom Jankovsky, Mike Samson
Mesa County Commissioners: Scott McInnis, John Justman, Rose Pugliese
Rio Blanco County Commissioners: Jeff Eskelson, Shawn Bolton, Jon Hill
Aron Diaz, Town of Silt Trustee and Republican candidate for Garfield County Commissioner
Phyllis Norris, Mayor of Grand Junction
AGNC – Associated Governments of Northwestern Colorado
WSCOGA – West Slope Colorado Oil & Gas Association
Grand Junction Chamber of Commerce
Grand Junction Economic Partnership
Coldwell Banker Commercial Prime Properties
Oil & gas operators: FRAM, Caerus, Encana, Genesis Gas and Oil, Gunnison Energy, Laramie Energy, SG Interests, Shear Inc., Ursa