Keystoned! Why I Love To Blog -- Reason # 84 -- April 25, 2016

Had I not been blogging for the past nine years, most likely I would not have paid attention to this story. Through RBN Energy I learned about the Constitution natural gas pipeline, and then on April 19, 2016, we learned that Bernie Sanders wanted this pipeline project keystoned. And today we learn he got his wish.

Keystoned! Bernie Sanders got his wish. New York state denies permit for the Constitution natural gas pipeline. 

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LNG Exports

This story has been told very, very well by RBN Energy over the past couple of years. Mark Perry now provides another nice summary. If the folks in New England and New York state don't want natural gas from the US, "we" can always ship it overseas. From Mark Perry:

Thanks to the shale revolution, the United States is now on its way to becoming a major exporter of liquefied natural gas (LNG). In February, two LNG cargoes left Cheniere’s Sabine Pass export terminal in Louisiana for Brazil and India.

And these are just the first LNG shipments. With five U.S. LNG terminals under construction with a combined export capacity of roughly 10 billion cubic feet per day, many more LNG shipments are on the horizon. After all the export facilities become operational, the United States will become the third largest liquefaction capacity holder in the world after Australia and Qatar.

No matter how you view a new era of LNG exports — whether looked at from its impact on the U.S. economy, our commitment to free trade, the energy security of our allies, or the potential for a significant reduction in carbon emissions as gas replaces coal in electricity production — the results will be positive and beneficial.

How times have changed. Less than a decade ago, energy analysts thought the U.S. was destined to become one of the world’s largest LNG importers. At the time, domestic gas production couldn’t keep up with demand.

The shale revolution, however, has been a game-changer. To be sure, there are those who have yet to grasp the consequences of this change. Studies from the U.S. Department of Energy as well as various think tanks show LNG exports as economically beneficial to the nation, not only providing thousands of construction jobs, but incentives for increased domestic gas production. All of this promises to be a boon to gas producers, rig hands, royalty owners and energy-rich states like Pennsylvania and Texas. Meanwhile, the notion that the price of natural gas might spiral upward as exports grow has been debunked.

By the way, ever wonder who is financing all those efforts to have fracking banned in the US? This doesn't take a degree in rocket science.