Second crude pipeline spill in Montana wreaks havoc on Yellowstone River

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 Second crude pipeline spill in Montana wreaks havoc on Yellowstone River
Second crude pipeline spill in Montana wreaks havoc on Yellowstone River

By Nate Schweber

Environmental damage from recent oil leak ranges from contaminated water supply to polluted farmland

GLENDIVE, Montana — When an oil pipeline burst in July 2011 and poured 63,000 gallons of crude into the Yellowstone River 200 miles upstream from Dena Hoff’s farm of wheat, beans and corn on the Great Plains in Glendive, she felt disgusted.

When it happened again Saturday, she felt terror. This pipeline breach was underneath the Yellowstone River, just a few feet from her sheep pasture. The new spill poured out some 50,000 gallons of crude oil. Leaders of this small riverside farming and ranching community in northeastern Montana warned residents not to drink their tap water, because benzene, a carcinogen, was found in the municipal water system. Oil slicked the river for dozens of miles, almost to the border with North…

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Koch Brothers Are Principal Stakeholders in Canadian Tar Sands

“The biggest lease holder in Canada’s oil sands isn’t Exxon Mobil or Chevron. It’s the Koch brothers.” via the Washington Post.

David Koch, executive vice president of Koch Industries (AP Photo/Mark Lennihan)

You might expect the biggest lease owner in Canada’s oil sands, or tar sands, to be one of the international oil giants, like Exxon Mobil or Royal Dutch Shell. But that isn’t the case. The biggest lease holder in the northern Alberta oil sands is a subsidiary of Koch Industries, the privately-owned cornerstone of the fortune of conservative Koch brothers Charles and David.

The Koch Industries subsidiary holds leases on 1.1 million acres — an area nearly the size of Delaware — in the oil sands region of Alberta, Canada, according to an activist group that studied Alberta provincial records. The Post confirmed the group’s findings with Alberta Energy, the provincial government’s ministry of energy. Separately, industry sources familiar with oil sands leases said Koch’s lease holdings could be closer to two million acres. The companies with the next biggest net acreage positions in oil sands leases are Conoco Phillips and Shell, both close behind.

What is Koch Industries doing there? The company wouldn’t comment on its holdings or strategy, but it appears to be a long-term investment that could produce tens of thousands of barrels of the region’s thick brand of crude oil in the next three years and perhaps hundreds of thousands of barrels a few years after that.

The finding about the Koch acreage is likely to inflame the already contentious debate about the Keystone XL Pipeline and spur activists and environmentalists seeking to slow or stop planned expansions of production from the northern Alberta oil sands, or tar sands. Environmental groups have already made opposing the pipeline their leading cause this spring and Senate Majority Leader Harry Reid has called the Koch brothers Charles and David “un-American” and “shadowy billionaires.”

The link between Koch and Keystone XL is, however, indirect at best. Koch’s oil production in northern Alberta is “negligible,” according to industry sources and quarterly publications of the provincial government. Moreover, Koch has not reserved any space in the Keystone XL pipeline, a process that usually takes place before a pipeline is built. The pipeline also does not run anywhere near Koch’s refining facilities. And TransCanada, owner of the Keystone routes, says Koch is not expected to be one of the pipeline’s customers.

Read more at the Washington Post

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Elizabeth Warren Comes Down Hard Against Global Warming, Separates Herself From Hillary Clinton On Climate Change

United States Senator Elizabeth Warren
By Consumer Financial Protection Bureau (Community Banks Roundtable) [Public domain], via Wikimedia Commons

On Friday, December 20th, Democratic U.S. Senator Elizabeth Warren finally separated herself clearly from former U.S. Secretary of State Hillary Clinton, regarding the issue of climate change and global warming. Here is the story:TransCanada Corporation wants to build the Keystone XL Pipeline to carry oil from Alberta Canada’s tar sands to two refineries owned by Koch Industries near the Texas Gulf Coast, for export to Europe; and Hillary Clinton has helped to make that happen, but Elizabeth Warren has now taken the opposite side.

Secretary of State Clinton, whose friend and former staffer Paul Elliot is a lobbyist for TransCanada, had worked behind the scenes to ease the way for commercial exploitation of this, the world’s highest-carbon-emitting oil, 53% of which oil is owned by America’s Koch Brothers. (Koch Industries owns 63% of the tar sands, and the Koch brothers own 86% of Koch Industries; Elaine Marshall, who is the widow of the son of the deceased Koch partner J. Howard Marshall, owns the remaining 14% of Koch Iindustries.)

David Goldwyn, who “served as Secretary of State Hillary Clinton’s Special Envoy and Coordinator for International Energy Affairs,” is yet another lobbyist for TransCanada. So, TransCanada has two of Hillary’s friends working for them. Misters Elliot and Goldwyn thus worked intimately with Hillary’s people to guide them on selecting a petroleum industry contractor (not an environmental firm, much less any governmental agency) to prepare the required environmental impact statement for this proposed pipeline.

Hillary Clinton as the Secretary of State had already displayed a record of carrying out the policies that were being promoted by her lobbyist friends, when she did everything possible, early in President Obama’s first term, to support U.S. funding for the fascist junta in Honduras that perpetrated a coup d’etat on 28 June 2009 overthrowing that nation’s popular progressive democratically elected President, and who then installed their own regime, and promptly placed their country into a continuing violent terror that caused Honduras ever since to be the nation with the highest murder rate in the world. Hillary’s lobbyist friend in that particular matter was Lanny Davis, who also is an occasional Fox News contributor.

Secretary Clinton’s State Department thus allowed the environmental impact statement on the proposed Keystone XL Pipeline to be performed by a petroleum industry contractor that was chosen by the company that was proposing to build and own the pipeline, TransCanada. That contractor had no climatologist, and their resulting report failed even at its basic job of estimating the number of degrees by which the Earth’s climate would be additionally heated if this pipeline is built and operated. Their report ignored that question, and instead evaluated the impact that climate change would have on the pipeline, which was estimated to be none.

President Obama himself is now trying to force the European Union to relax their anti-global-warming regulations so as to permit them to import the Kochs’ dirty oil. His agent in this effort is his new U.S. Trade Representative, Michael Froman, from Wall Street.

But on December 20th, Senator Warren signed onto a letter criticizing the Obama Administration’s apparent effort to force the European Union to agree to purchase this oil. As the Huffington Post’s Kate Sheppard reported, “Six senators and 16 House members, all Democrats, wrote a letter to Froman on Friday asking him to elaborate on his position on the matter. ‘If these reports are accurate, USTR’s [the U.S. Trade Representative’s] actions could undercut the EU’s commendable goal of reducing greenhouse gas emissions in its transportation sectors,” these 22 Democratic lawmakers wrote.

Read more at the Huffington Post

Alberta Government Quietly Funded Researchers Behind ‘Independent’ Report Boosting Keystone XL

An aerial view of crude oil production in Alberta, Canada. (Flickr, Howl Arts Collective)

Before the State Department released its controversial Environmental Impact Study last week, a consulting firm called IHS CERA primed the news media by releasing its own study last year claiming that the Keystone XL wouldn’t make a substantial difference in emissions. The report was released as an “independent” study. TheNation.com filed a Freedom of Information and Protection of Privacy Act request to the Alberta government, and found that taxpayers in Canada paid IHS CERA hundreds of thousands of dollars.

The heavily redacted contract, a version of which can be found here, provides $325,000 from the government of Alberta to IHS CERA. In addition, public budget documents from Alberta reveal that taxpayers in Canada have provided IHS with more than $545,426 in payments over the last year for energy-related work.

The Alberta government has been one of the most aggressive proponents of the pipeline. Last year, Alberta retained two DC lobbying firms with strong ties to Secretary of State John Kerry, Mehlman Vogel Castagnetti and Rasky Baerlein Strategic Communications, to push for speedy approval of the Keystone XL.

Echoing the State Department EIS released last week, the IHS CERA claimed that even without the Keystone XL, Canadian oil sands would be developed by other means. “Even if the Keystone XL pipeline does not move forward, we do not expect a material change to oil sands production growth,” claims the authors.

However, assessments of the market by Toronto-Dominion Bank, Royal Bank of Canada, Deloitte, Goldman Sachs and other leading financial analysts have found that the Keystone XL is critical for the development of the high-carbon oil sands market.

Read more at The Nation

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