Friday, January 6, 2012

North Dakota, One of Two States Denied ObamaCare Waivers; 623,000 Union Members Granted Waivers

Link here: North Dakota denied ObamaCare waiver.
Add two states to the Obamacare waiver denial list that already includes Delaware and N. Dakota. Hey, not everybody can with the Lucky Lottery.

Don’t assume too quickly that “GOP guvs = no state waiver,” because Nevada, Wisconsin, Maine and Iowa have gotten waivers, and they have GOP Governors. It’s possible the administration’s goal with these state waivers isn’t to punish or not punish political opponents as much as attempting to avoid making the economy even worse too soon — after all, there’s an election just around the corner. As a result, they’ll approve some waivers and deny just enough to avoid making it a de facto blanket admission that Obamacare is a horrible idea, especially with the Supreme Court readying to hear the case.

The real red flag isn’t who was denied or approved, but that states are clamoring for waivers at all from something that purportedly will improve the quality of everyone’s life. If it’s this painful on the front end, what’s it going to be like at the back end? Probably like most back ends.
Meanwhile, labor unions representing 543,812 members granted waivers.
Labor unions continued to receive the overwhelming majority of waivers from the president’s health care reform law since the Obama administration tightened application rules last summer.

Documents released in a classic Friday afternoon news dump show that labor unions representing 543,812 workers received waivers from President Barack Obama‘s signature legislation since June 17, 2011.

By contrast, private employers with a total of 69,813 employees, many of whom work for small businesses, were granted waivers.

The Department of Health and Human Services revised the rules governing applications for health reform waivers June 17, 2011, amid a steady stream of controversial news reports, including The Daily Caller’s story that nearly 20 percent of last May’s waivers went to businesses in House Minority Leader Nancy Pelosi’s district in California.
Did you expect something different?

Mideast, Iran, the Strait of Hormuz -- This Should Be Interesting

Link here.
Western powers this week readied a contingency plan to tap a record volume from emergency stockpiles to replace nearly all the Gulf oil that would be lost if Iran blocks the Strait of Hormuz, industry sources and diplomats told Reuters.

They said senior executives of the International Energy Agency (IEA), which advises 28 oil consuming countries, discussed on Thursday an existing plan to release up to 14 million barrels per day (bpd) of government-owned oil stored in the United States, Europe, Japan and other importers.

Action on this scale would be more than five times the size of the biggest release in the agency's history -- made in response to Iraq's 1990 invasion of Kuwait.
NDIC Director, Lynn Helms, says if the strait is closed, he will authorize maximum production from all Bakken fields. Just joking. I have not seen any press report from Mr Helms regarding the situation in the Mideast. 

I assume The Dickinson Press will have a story about the dangers of railroad crossings in western North Dakota if the strait is closed and the US Navy starts firing Tomahawk missiles to provide top cover for Israeli long-range bombers headed for Iran.

EPP, Enbridge Begin Seaway Pipeline Open Season

Link here.

Data points:
  • Enterprise Products Partners (EPP) and Enbridge to build new pipeline from EPP's Houston-area ECHO terminal to Port Arthur, TX
  • EPP and Enbridge soliciting commitments for an expansion of ENB's Seaway crude oil pipelien
  • an initial 150,000 bopd on the reversed Seaway pipeline could be available by 2Q12
  • pump station additions, etc., could increase capacity to 400,00 bopd if warranted
  • EPP and ENB each own 50% interest in the Seaway pipeline system; EPP is operator
  • the new pipeline from EPP's ECHO crude oil terminal SE of Houston to the Port Arthur-Beaumont refining center is 85 miles long; will give shippers access to heavy refining; the line should be up and running in 1Q14
Cool.

Enbridge Gets Canadian Government Approval for Bakken Crude Oil Pipeline

Link here.
Enbridge Bakken Pipeline Co. Inc. was granted approval from Canada’s National Energy Board for its Bakken Pipeline project’s Canada application, which outlines the construction and operation of a 123.4-km pipeline and a new pump station that will transport crude oil from Steelman, Sask., to Enterprise Pipeline Inc.’s Mainline in Cromer, Man. The project will link Bakken and Three Forks crude production to Eastern Canadian and US Midwest markets.

Enbridge Bakken expects the Bakken Pipeline to enter service in early 2013 at a cost of $180.1 million.
Cool.

In same story, it was noted:
Enbridge Energy Partners LP in December announced plans to expand its Berthold rail terminal capacity in the North Dakota portion of the Bakken formation by 80,000 b/d, including a rail car loading facility to accommodate the additional volume.

Six (6) New Permits -- Is Northeast of Minot Going to Start Getting Active? -- The Bakken, North Dakota, USA

Updates

February 15, 2012: Ballard has a rig on site:
  • 22051, ROS, Ballard Petroleum Backes 23-4, wildcat, just west of the Glenburn oil field, north of Minot, North Dakota;
Original Post
Daily activity report, January 6, 2012:

Operators: Zenergy, CLR, BR, Ballard Petroleum Holdings, Denbury Onshore, and GMX Resources

Fields: Siverston, Rattlesnake Point, Little Knife

Ballard Petroleum Holdings has a wildcat near the Glenburn oil field north east of Minot; probably targeting the Madison formation

GMX Resources has a wildcat in Billings County.

There are two interesting operator transfers reported today:
Two wells were released from "tight hole" status; both were completed, including this one:
  • 19967, 809, Whiting, Talkington 21-30TFH, Stark County
Under the "very strange" category, six producing wells were completed (three EOG wells; three WLL wells) and not one of them reported an IP. Very strange.