Palin and the TransCanada deal. Is there anything more to this?

[kitkat65]

For background, read here.

http://journals.democraticunderground.com/McCamy%20Taylor/283

It seems Cheney went north to Alaska in the Spring of 2005 to discuss two oil pipeline projects and ANWR drilling with then governor Murkowski.

Murkowski loses office to Palin due to corruption scandal. Palin begins pursuing the TransCanada deal almost immediately.

It's interesting that she is picked for VP only a day after this deal is passed by Alaskan legislators.

And it seems the only way this deal can go forward is to get a permit from the Federal Energy Regulatory Commission.

Anybody out there with more information?


http://www.reuters.com/article/politicsNews/idUSN2750520720080828
Alaska governor signs natgas pipeline license bill
Wed Aug 27, 2008 9:04pm EDT
ANCHORAGE, Alaska (Reuters) - Gov. Sarah Palin on Wednesday signed a bill giving the state authority to award TransCanada Corp a license to build and operate a multibillion-dollar pipeline to ship natural gas from the North Slope.
The line, which the company estimates will cost $26 billion to build, would ship about 4 billion cubic feet of natural gas a day starting in 2018, according to TransCanada's plan.
Two big oil producers, BP and ConocoPhillips, are pushing a competing natural gas pipeline plan. But the license to TransCanada would ensure that the state would not negotiate with any other developer.
The bill, passed by the legislature in a special session, goes into effect in 90 days, after which state officials will have the power to officially award the license.

http://thepinkflamingo.blogharbor.com/blog/_archives/2008/7/23/3807197.html

The real story is the fact that new mommy Palin has started pushing an oil pipeline that makes mince-meat out of the Democrats in the US House & Senate.  She's managed to ram her pipeline through the Alaska House and it now heads to the state Senate.
"...The fate of a multibillion dollar pipeline that could unlock 4.5 billion cubic feet of North Slope gas reserves daily and power North American homes and businesses for decades now rests in the hands of 20 Alaska state senators. On Wednesday, the Alaska House of Representatives reaffirmed its Tuesday night vote to award an exclusive license to TransCanada Corp. (nyse: TRP - news - people ), which must move forward on federal permitting applications for the 1,715-mile pipeline estimated to cost between $26 billion and $30 billion.

This leaves the Senate to approve or reject the license by Aug. 2. Republican Senate President Lyda Green said her energy committee still has a few questions to pose, but she expects for the Senate to vote on Gov. Sarah Palin's license recommendation by late next week.

While the license in no way guarantees construction, it calls for TransCanada to move forward on a costly process of pursuing a federal certificate, but also with up to $500 million in state seed money. "We are not pursuing this project to spend a lot of our money and the state's money and just end up with a certificate," said TransCanada vice president Tony Palmer. "Our goal is to successfully get a certificate, successfully attract customers and successfully complete a project." As the debate on Capitol Hill over domestic natural gas and oil production grows increasingly divisive and partisan, Alaska's pipeline discussion is being closely watched...."


There’s this at

http://www.forbes.com/reuters/feeds/reuters/2008/09/04/2008-09-04T225039Z_01_N04422864_RTRIDST_0_USA-POLITICS-PALIN-PIPELINE.html

The vice presidential hopeful, in her speech Wednesday to the Republican National Convention, said she fought to bring about "the largest private-sector infrastructure project in North American history" to bolster America's energy security

*******

No construction can start on any pipeline until the Federal Energy Regulatory Commission grants a permit, said former Gov. Tony Knowles, a Democrat who served from 1994 to 2002 and then lost to Palin in 2006. He opposed granting TransCanada a state license.

"Some people think it was the right step. Other people didn't," he said. "But there's nobody who thinks that this has started construction of the pipeline. All it does is it identifies who the state is supporting to get the certificate from FERC."

********

http://thepinkflamingo.blogharbor.com/blog/_archives/2008/7/23/3807197.html

The real story is the fact that new mommy Palin has started pushing an oil pipeline that makes mince-meat out of the Democrats in the US House & Senate.  She's managed to ram her pipeline through the Alaska House and it now heads to the state Senate.
"...The fate of a multibillion dollar pipeline that could unlock 4.5 billion cubic feet of North Slope gas reserves daily and power North American homes and businesses for decades now rests in the hands of 20 Alaska state senators. On Wednesday, the Alaska House of Representatives reaffirmed its Tuesday night vote to award an exclusive license to TransCanada Corp. (nyse: TRP - news - people ), which must move forward on federal permitting applications for the 1,715-mile pipeline estimated to cost between $26 billion and $30 billion.

This leaves the Senate to approve or reject the license by Aug. 2. Republican Senate President Lyda Green said her energy committee still has a few questions to pose, but she expects for the Senate to vote on Gov. Sarah Palin's license recommendation by late next week.

While the license in no way guarantees construction, it calls for TransCanada to move forward on a costly process of pursuing a federal certificate, but also with up to $500 million in state seed money. "We are not pursuing this project to spend a lot of our money and the state's money and just end up with a certificate," said TransCanada vice president Tony Palmer. "Our goal is to successfully get a certificate, successfully attract customers and successfully complete a project." As the debate on Capitol Hill over domestic natural gas and oil production grows increasingly divisive and partisan, Alaska's pipeline discussion is being closely watched...."

[kitkat65]

1. Anyone?

[EC]

2. All I read is that the Alaskans are angry because she had

promised while running for Governor that the pipeline would run down through Alaska to put Alaskans to work instead of through Canada...

[kitkat65]

3. It also seems they're pissed because they're paying all that money without anything

very concrete behind it. It seems all that money is for just for researching the possibility of a pipeline.

[McCamy Taylor]

4. Someone needs to break down her campaign donors from 2006.

http://www.followthemoney.org/

Telling us that most of her 1 million came from individuals does not tell us if a certain lobbyist helped to raise that million or if the funds came in big chunks from a certain industry.

http://www.alternet.org/election08/97207/sarah_palin%27s_big,_sleazy_safari/

This alternet site makes her sound like a tool of mining, oil, gas etc. so I am guessing she was funded by the usual players. Would be interesting to see which companies funded her. I do not know if any internet site breaks down state races by companies.

[McCamy Taylor]

5. Lobbyist from TransCanada was on Palin's gas pipeline team.

http://www.democrats.org/a/2008/09/sarah_palin_spe.php

Palin's Oil & Gas Appointee Is Former Lobbyist for TransCanada. "Marty Rutherford, who leads Gov. Sarah Palin's gas pipeline team, made $40,200 in 2003 while consulting in Juneau for a pipeline subsidiary of TransCanada. TransCanada is one of the companies bidding for a state license to build a pipeline to carry gas to market from Alaska's North Slope. It's not a disqualifier, but the past connection deserves a second thought."

http://www.dailygotham.com/blog/dan_jacoby/the_real_sarah_palin

She appointed Marty Rutherford, a former TransCanada (oil & gas co.) lobbyist, to run her gas pipeline project.
That ethics reform bill? It came because to Veco (an oil co.) executives were convicted of bribing lawmakers. Guess where she got a lot of campaign funding when running for Lt. Governor -- yup, Veco.
Since becoming governor, in just two years, Palin has asked for $589 million in federal pork.
In July, the state legislature voted unanimously to fund an investigation into the abuse of power regarding her firing of the Public Safety Commissioner because he wouldn't fire her former brother-in-law.
She is in bed with Big Oil -- when running for governor in 2006, she took $13,000 from oil industry lobbyists (that's a lot in Alaska).
She has vetoed $20 million spending projects for wind energy -- twice.

So it looks like she came into office in bed with VECO and Big Oil, the usual suspects, but when she started working on the gas pipeline, TransCanada had already bought her out, because she put a TransCanada lobbyist in charge of the project (meaning that they were assured the contract).

[McCamy Taylor]

6. This story is one to watch. The TransCanada lobbyist tries to revoke the competitions

oil and gas leases on the Northern Slopes of Alaska as almost her first act upon taking office. This is a bit like having the fox guard the hen house. For those who have not read my journal, TransCanada needs to boot these companies off the land to build their gas pipeline. And of course, there may be other companies that want the leases...

http://www.facebook.com/topic.php?uid=15704546335&topic=5106

Friday, Dec. 29, 2006

Palin's acting commissioner of the Department of Natural Resources, Marty Rutherford, affirmed a decision to terminate the Point Thomson oil and gas unit for failure to produce.

[Catherine Vincent]

7. TransCanada? Hmm...

[McCamy Taylor]

8. TransCanada got their own day and time slot with Dick Cheney in his secret meetings

just like Exxon, Conoco BP and the big boys. Everyone else from Canada had to come in together. That means that they had secret talks.

http://www.washingtonpost.com/wp-srv/politics/documents/cheney_energy_task_force.html

[McCamy Taylor]

13. More on Dick Cheney's interference. He tried to help Stevens

who is now under indictment for his VECO bribes. Then the last gov. tried to cut a deal with BP and Conoco. Now Palin has cut a deal with TransCanada.

http://www.alaskadispatch.com/index.php?view=article&catid=1%3Atalk-of-the-tundra&id=55%3Atrumped-charges-or-business-as-usual&tmpl=component&print=1&page=&option=com_content&Itemid=12

Did Stevens do business with the wrong pipeline builder? Did Cheney decide that he wanted TransCanada to get the business?

[McCamy Taylor]

9. Keep in mind that THIS is what TransCanada really wants--KEYSTONE

their great big fat oil pipeline from Alberta through the Dakotas all the way down to Port Arthur where Conoco-Phillips will help them refine their dirty oilsands crude.

http://www.bismarcktribune.com/articles/2008/08/09/news/state/161941.txt

As this article points out, Bush-Cheney love the deal---and the people whose lands have been seized hate it. There is now a law suit to stop KEYSTONE. I believe that this is why Sarah Palin was handed to John McCain to be the VP.

The problems with the KEYSTONE plan, besides the pipeline mess, are many. Canadians hate it.

http://www.tarsandswatch.org/tags/energy-security?page=3

And it makes no economic sense for us. It is very expensive to extract the stuff. For Alberta and TransCandada/ConocoPhilips to make a profit- U.S. oil consumption must remain at its current high level and gas prices must remain high---but this combo is bad for the economy and the environment. If consumption goes down but prices remain high then we will be able to use cleaner oil from elsewhere and Alberta loses out. If prices drop then it is no longer profitable to use the crap oil.

So, TransCanada and ConocoPhilips need John McCain .

[McCamy Taylor]

10. TransCanada's plans and recent acquisitions include...

http://mergertalk.blogspot.com/2008/02/transcanada-corporation-mulling.html

TransCanada Corporation, the Canadian energy services firm, stated in its annual report released on 27 February that it will consider using buys for growth.
The company stated that it is pursuing the development of greenfield and brownfield pipeline projects to grow its North American pipeline and related infrastructure business, which includes frontier natural gas pipeline projects such as the Mackenzie Gas Pipeline (MGP) and the Alaska Pipeline as well as crude oil pipeline projects to meet the growing demand for transportation of Alberta oilsands production.
The company stated that other possible avenues of growth include the following: "acquiring synergistic natural gas transmission assets that complement TransCanada’s existing core regions; acquiring partners’ interests in associated pipelines to enhance strategic control, profitability and value; and acquiring stand-alone gas transmission enterprises in new regions of North America where critical mass and solid competitive advantage can be established".
The company stated that, in addition, it is also pursuing the development of natural gas pipeline infrastructure and associated LNG regasification terminals in Mexico and aims to grow pipeline earnings from PipeLines LP through acquisitions and organic growth.
The company reported CAD 1.22bn (USD 1.25bn) in net income from continuing operations for the year ended 31 December 2007.

http://www.transcanada.com/company/acquisitions.html

Acquisitions up to 2005 most recently in New England.

http://www.transcanada.com/news/2007_news/20070222.html

2007

CALGARY, Alberta – February 22, 2007 – TransCanada Corporation (TSX: TRP) (NYSE:TRP) (TransCanada) today announced it has closed the acquisition of American Natural Resources Company and ANR Storage Company (collectively, ANR) and an additional 3.55 per cent interest in Great Lakes Gas Transmission Limited Partnership (Great Lakes) from El Paso Corporation. The total purchase price is US$3.4 billion, subject to certain post closing adjustments, and includes US$488 million of assumed debt.

“With the acquisition of ANR, TransCanada’s wholly owned natural gas pipeline network extends more than 59,000 kilometres and offers our customers unparalleled connections from traditional and emerging supply basins to growing North American markets,” said Hal Kvisle, TransCanada’s chief executive officer. “By acquiring more than 230 billion cubic feet of natural gas storage capacity, TransCanada has interests in approximately 360 billion cubic feet of storage capacity, making us one of North America’s largest gas storage operators.”

These high quality, regulated assets are a strong fit with TransCanada’s existing North American portfolio, and strengthen our position as a leader in the North American gas transmission business. The assets are expected to deliver significant value for shareholders. TransCanada expects the acquisition to be accretive to earnings in 2007.

http://www.scandoil.com/moxie-bm2/financial/stock_news/transcanada-closes-ravenswood-generating-station-a.shtml

Move into NYC electricity generating market

http://www.reuters.com/article/mergersNews/idUSN0343835320080903

A gas pipeline from Wyoming to Dakota (where it can then go to Chicago) Man these guys plan to be the only natural gas suppliers in the US.

Finally, here is a (rosy) overview of TransCanada's many projects and profits from MSNBC.

http://news.moneycentral.msn.com/ticker/article.aspx?symbol=US:TRP&feed=MW&date=20080731&id=8967201

Recall that not all financial analysts are convinced that the Alaska gas pipeline is a great deal for the company. However, the oil pipeline looks like a surer thing--if they can get around those pesky lawsuits. And also not that they have appealed to the feds because the state of NY is not allowing them to build a project. There are a lot of favors that TransCanada wants from the feds, which might explain why their lobbyist had bundlers with all the major presidential candidates except Obama.

This company looks to me like one that plans to move into the U.S. is a very big way--bringing its greenhouse gas producing oilsands oil with it.

The approximately US$7 billion Keystone Gulf Coast expansion project was announced, that is expected to provide additional capacity in 2012 of 500,000 barrels per day (bbl/d) from western Canada to the U.S. Gulf Coast, near existing terminals in Port Arthur, Texas. Keystone is a 50/50 partnership between TransCanada and ConocoPhillips. Construction of the facilities is anticipated to commence in 2010 following the receipt of the necessary regulatory approvals. When completed, the expansion will increase the commercial design of the Keystone pipeline system from 590,000 bbl/d to approximately 1.1 million bbl/d. Keystone has secured long-term commitments for approximately 830,000 bbl/d for an average term of 18 years.

Construction began on the initial phase of the Keystone pipeline including facilities in Canada and the U.S., which will transport 590,000 bbl/d of crude oil from Hardisty, Alberta to U.S. Midwest markets. Deliveries to Wood River and Patoka, Illinois are expected to commence in late 2009, with deliveries to Cushing, Oklahoma anticipated in late 2010. The initial phase is expected to cost approximately US$5.2 billion.

[McCamy Taylor]

11. US mayors pass resolution calling for banning of oilsands oil

http://www.oilweek.com/news.asp?ID=16986

Jun 23, 2008 5:00:00 PM MST
U.S. mayors pass resolution urging cities not use oilsands derived fuel (US-Mayors-Oilsands)



Mayors in the United States have joined the fight to reduce the use of gasoline made with oil from Alberta´s oilsands.

A resolution passed Monday at their annual conference in Miami urges mayors to forbid the use of oilsands-derived gasoline in municipal vehicles.

"The hope of the resolution was that we would support federal legislation that prohibits governments from using fuel substitutes that are worse than the ones that we´re trying to substitute for," said Mayor Kitty Piercy of Eugene, Ore., the resolution´s main sponsor.

It was co-sponsored by a group of mayors from communities as large as San Francisco and as small as Waukesha, Wis.

They took direct aim at Alberta´s oilsands in the text, saying "the production of tarsands oil from Canada emits approximately three times the carbon dioxide pollution per barrel as does conventional oil."

The resolution also charges oilsands development "significantly damages Canada´s boreal forest system."

[McCamy Taylor]

12. Canada threatens to take its oil elsewhere after Obama sides with the mayors....

http://www.nationalpost.com/opinion/columnists/story.html?id=611010

Read about how tough talking Canadian oilmen say that they will just load their dirty oilsands oil on tankers and ship it to countries that want it.

The problem is, who is going to want it when it costs so much to process and is so filthy? Part of the reason it is economical here is because it is drilled on this continent and can be shipped in pipes. And the U.S. has had lax environmental standards.

Plus, TransCanada's KEYSTONE project will suffer if Obama becomes president.

[McCamy Taylor]

14. Next big question: Why does TransCanada need $500 million in cash NOW?

This is the question that no one in Alaska could ever answer (to my satisfaction, anyway). If TransCanada is such a fine company and this is such a great project, why are they demanding $500 million or (as I like to think of it) half a billion up front. This sounds really screwy to me.

Can any one else comment? Do companies which are investing in projects like this ordinarily demand that the states fork up the capital for it?

You must consider the Enron possibility. TransCanada is overextended with its KEYSTONE deal---which has now run into snags such as the lawsuit---and it needs cash and lots of it to pay U.S. court costs.

So, if anyone has any accouting/legal expertise, I would suggest trying to get a feel for how much that stuff is costing TransCanada. Try to find out how their finances really stand right now. Are they strapped for cash? Are their lawyers getting paid?

These guys have been buying, buying and buying and building, building and building, but what exactly are they selling?

Also, have any executives quit lately or sold any stock.

There are Enron hints all over this company.