Anadarko reaches Fort Lupton needy with heating help
Energy Outreach Colorado has partnered with Anadarko Petroleum Corporation on a home energy program to help limited-income families and seniors in Weld County with their electric bills and energy efficiency needs, according to anews release. Anadarko will provide support for approximately 25 Fort Lupton households through energy bill payment assistance, as well as a free home energy efficiency kit and energy-efficiency education, the release stated.
Fort Lupton is about 40 miles south of Greeley along U.S. 85 and is in the heart of Colorado’s most prolific oi land gas development area, the Wattenberg Field. As the largest producer in the Wattenberg Field, Anadarko has invested approximately $8 billion since 2007 in Colorado and employs more than 1,500 people with offices in Denver, Evans and Platteville, the release stated.
“Access to affordable and reliable energy is essential for all of us and often something that’s taken for granted,” said Craig Walters, vice president of operations for Anadarko in the release. “Our employees play a vital role in the cities and towns where we live and work, and we are grateful for the opportunity to support the Affordable Energy Program in Fort Lupton, helping our neighbors and making our communities stronger.”
Anadarko also will fund EOC’s Energy Team to meet individually with participating households to install energy efficiency measures, discuss energy-saving behaviors and track energy consumption. EOC hopes to initiate similar programs in other parts of Colorado, the release stated.
“We are excited to partner with Anadarko in support of Fort Lupton’s most vulnerable households in keeping up with their energy bills and reducing their energy costs,” said Enrique Hernandez, EOC’s energy assistance manager in the release. “By providing such comprehensive services, we hope to see these families gain the ability to move beyond needing financial assistance to keep up with their energy bills.”
Energy Outreach Colorado is the only independent, nonprofit organization in the state raising money to help limited income Coloradans afford home energy through energy bill payment assistance, emergency home heating repair, and energy efficiency upgrades for affordable housing and non-profit facilities, the release stated.
Baker Hughes lays off 114
The Brighton office of Baker Hughes laid off 114 workers in August as part of cost-cutting in a slumping oil and gas economy.
The company, which has more than 460 employees in Colorado and a hub in Brighton at the base of the Denver-Julesburg Basin in south Weld County, made the layoffs quietly on Aug. 12.
According to a required notice filed by Baker Hughes with the state Department of Labor and Employment, the company laid off 80 field operators, 11 field specialists, eight field engineers, a handful of mechanics and a smattering of administrative and field personnel.
Company spokeswoman Melanie Kania issued the following prepared statement:
“With market conditions remaining challenging, we have taken decisive actions to reduce our cost structure companywide while remaining focused on strengthening our revenue. Throughout 2015, we have lowered spending across the business, closed or consolidated facilities and made the difficult decision to reduce our workforce. We’ve made efforts to minimize reductions through alternative cost-cutting measures when possible, and all impacted employees will be eligible for severance benefits.”
According to the notice it filed with the state, Baker Hughes laid people off with 60 days of pay, with benefits extending for three months.
Baker Hughes has been in a merger deal with Halliburton for months. Antitrust regulators are sorting out details. Halliburton has proposed to buy out the company in a $34.6 billion deal. Halliburton has a field office in Fort Lupton, just up the road from Brighton.
Layoffs have been announced intermittently for months another bigger players, such as Halliburton. Noble Energy, too, has sent more than 100 people home form its Denver offices, and 20 from its Greeley headquarters in recent months.
The slump is due to a worldwide glut of oil, which has driven prices down. All expectations are for the downturn to last through the end of the year, and slowly pick back up in 2016.
Officials at the city of Brighton did not return calls for comment.
Former state legislator joins LEAP
Fort Collins resident and former State Rep. Ken Summers has been selected as the new co-chairman for the Larimer Energy Action Project. Summers will replace former State Rep. B.J. Nikkel, who founded and served the organization since 2013.
Summers served House District 22 in Jefferson County for six years. During his legislative tenure he served on the education committee, local government committee and as the chairman of the health and environment committee. His legislative efforts were recognized by many organizations including the Colorado Nonprofit Association (Legislator of the Year) and the Colorado Medical Society, which granted him their highest recognition, “The Protector of the Patient” Award, according to the news release.
Summers’ wife Debbie (a hospice nurse) is a native of Fort Collins and has family roots in area going back 50 years. Summers’ sister-in-law Sue Schmidt was a first grade teacher in the Poudre School District for over 30 years.
“I have watched the growth of Fort Collins and Larimer County for more than 40 years and am pleased to be a part of a group of community leaders and concerned citizens who want to advance the economic well being and quality of life in our community through ensuring citizens have fact-based, scientific information on the importance of the energy industry in all of its forms”, Summers said in the release.
Outgoing Co-Chairman B.J. Nikkel said, “As the chairman for the Colorado House of Representatives Health and Environment Committee, Ken was involved with all types of public health issues, especially those related to air and water quality. His familiarity with Colorado health standards, the regulatory process and the safeguards we have in place, along with his family ties here, make him a natural fit for continuing the discussion about responsible energy development with Larimer County residents.”
Community business leader and Fort Collins Realtor Jeffrey Martin will continue to serve as LEAP Co-Chair along with Summers to underscore the bipartisan nature of LEAP in educating citizens so they understand the implications of placing bans on energy. “I am excited to have the opportunity to work with Rep. Summers. He is a huge asset to our state and his history serving the citizens of Colorado is truly amazing”, Martin said.
Larimer Energy Action Project (LEAP) advocates for growing our economy and jobs while protecting the environment and natural beauty of Colorado through responsible energy policies, including an “all of the above energy strategy,” inclusive to both traditional and alternative energy which are all part of a sound, long-term energy plan for Larimer County and Colorado.
Colo. Attorney General Cynthia Coffman takes legal action to halt EPA’s Clean Power Plan
DENVER — Colorado Attorney General Cynthia Coffman will join a multi-state legal challenge to the Clean Power Plan, also called the 111(d) rule, which was issued by the federal Environmental Protection Agency on Aug. 3.
“The rule is an unprecedented attempt to expand the federal government’s regulatory control over the states’ energy economy,” Coffman said in the release. “The EPA appears unwilling to accept limits set by Congress in the Clean Air Act and instead is pushing its agenda forward through regulatory rewrites that overreach its legal authority.”
The case will be filed in the United States Court of Appeals in the District of Columbia when the federal government formally publishes the rule in the Federal Register. The federal government has not stated when that publication will occur.
“There are immensely important legal questions at issue regarding the EPA’s sweeping new regulation. The face of Colorado’s economy could be forever changed and that will be reflected in lost jobs, higher utility rates, and an altered energy industry,” said Coffman in the release. “Before untold sums of public and private monies are spent on compliance with the Clean Power Plan, we need to settle the matter of whether it is even legal.”
NREL signs agreement with China’s national utility
Representatives of the Energy Department’s National Renewable Energy Laboratory and China’s State Grid Energy Research Institute on Sept. 11 signed a first-ever memorandum of understanding between the two organizations.
The State Grid Energy Research Institute, located in Beijing, is a subsidiary of China’s national utility, State Grid Corporation of China. China has announced plans to strengthen its national grid so it can more effectively deliver electricity generated by both conventional and renewable methods, according to a news release.
“Clean energy isn’t solely a concern of the United States,” said Dan Arvizu, director of NREL, in the release. “It’s something that affects the entire planet, so it’s important to have researchers in China and other countries addressing the problems of supplying power from renewable energy.”
The agreement between the NREL and SGERI lays out a general framework for coordination between the two organizations, and is intended to spark discussions for creating more specific R&D collaborations in the future.
The scope of the agreement includes research project coordination, energy systems integration, power market design, site visits, and personnel exchanges. The agreement could result in the two organizations partnering to inform policymakers about energy and sustainable development, the release stated.
NREL is the U.S. Department of Energy’s primary national laboratory for renewable energy and energy efficiency research and development. NREL is operated for the Energy Department by The Alliance for Sustainable Energy, LLC.
Lithium Ion battery market for vehicles expected to reach $30.6 billion in 2024
A new report from Navigant Research states the global market for lithium ion (Li-ion) batteries for automotive applications will increase through 2024, according to a news release.
As automotive manufacturers continue efforts to produce more electric vehicles, the amount of vehicles using Li-ion batteries for onboard energy storage is increasing. The technology’s future is expected to be secure, and automakers are now focusing on how they can reduce costs while increasing energy density and vehicle range, according to the release.
According to Navigant Research, the global market for Li-ion batteries for vehicles is expected to grow to $30.6 billion in 2024 from $7.8 billion in 2015.
“The push by automotive original equipment manufacturers (OEMs) and battery manufacturers to continually reduce battery pack costs continues,” said William Tokash, senior research analyst with Navigant Research in the release. “This effort, led by improving battery manufacturing processes and maturing supply chains, is anticipated to yield a market driven by battery electric vehicles, where both large and small capacity Li-ion battery-pack-equipped vehicles have markedly improved driving ranges.”
When designing electric or electrically assisted powertrains, OEMs tailor their approach to each model, factoring in economy, vehicle range, driver experience, and performance, according to the report. This approach, along with anticipated decreases in Li-ion battery costs, is expected to create a battery electric vehicle market driven primarily by premium BEVs with long ranges and more affordable BEVs with higher ranges.
The report, Advanced Energy Storage for Automotive Applications, provides a detailed examination of the growing market for automotive Li-ion batteries, including profiles of the leading Li-ion battery manufacturers, systems integrators, and vehicle OEMs. The study assesses the relative sizes of the battery markets for different vehicle types, as well as vehicle roadmaps and projected sales for BEVs, plug-in hybrid electric vehicles, hybrid electric vehicles, and stop-start vehicles. Global market forecasts for capacity and revenue from automotive Li-ion batteries, segmented by vehicle type and region, extend through 2024. The report also includes a review of the different Li-ion battery chemistries and competing energy storage technologies, such as ultracapacitors and NiMH batteries. An Executive Summary of the report is available for free download on the Navigant Research website.
Encana to sell its Haynesville natural gas assets
Encana Oil & Gas (USA) Inc., will pull out of Louisiana with an $850 million deal to sell its Haynesville natural gas assets to GEP Haynesville, LLC (GeoSouthern for $850 million, according to a news release.
In addition, through the transfer of current and future obligations, the release stated, Encana will reduce its gathering and midstream commitments, which will be substantially complete through 2020, by approximately $480 million on an undiscounted basis. Further, Encana will transport and market GeoSouthern’s Haynesville production on a fee for service basis for the next five years, the release stated.
Encana will use the total cash consideration to reduce its net debt, further strengthening its balance sheet.
Encana reports that over 80 percent of 2015 capital will be invested in the company’s four most strategic assets in the Permian, Eagle Ford, Duvernay and Montney. During the first half of 2015, Encana’s Haynesville assets produced an average 217 mmcf/d, contributed approximately 9 percent to companywide production and less than 2.5 percent to Encana’s first half operating cash flow, excluding hedges.
“This is another step in advancing our strategy. By further focusing our portfolio, we are making Encana more efficient as we proceed through the second half of 2015 and into 2016,” said Doug Suttles, Encana President & CEO, in the release. “This transaction delivers significant proceeds that we’ll use to strengthen our balance sheet. In addition, it eliminates our midstream commitments in the Haynesville and captures ongoing revenue upside through a gas marketing arrangement. I’d like to congratulate GeoSouthern on securing a high-quality natural gas asset along with a talented, safety-conscious field staff.”
Encana’s Haynesville natural gas assets include approximately 112,000 net acres of leasehold, plus additional fee mineral lands. Collectively, they represent Encana’s total position in northern Louisiana. Encana operates approximately 300 wells in the area. Estimated year-end 2014 proved reserves were 720 billion cubic feet equivalent of natural gas.
The sale of Encana’s Haynesville assets is subject to normal closing conditions and is expected to close in the fourth quarter of 2015 with an effective date of January 1, 2015.
Jefferies LLC, Credit Suisse and Gordon Arata McCollam Duplantis & Eagan, LLC advised Encana on the transaction. GeoSouthern was advised by Kirkland & Ellis and Thompson & Knight.
Synergy Resources bulks up with four new people, added acreage and a Denver office
Synergy Resource in August added four new people and opened a corporate office at 1625 Broadway, Suite 300, in Denver to flesh out its continued growth pattern. But it didn’t stop there. The company in September put down $78 million to buy acreage from KB Kauffman Co., Inc, to boost its asset base. The company announced it would buy leasehold rights to 4,300 net acres in the Wattenberg Field and non-operated working interests in 25 gross (approximately five net) horizontal wells. The assets, the company reported, produce roughly 1,200 barrels of oil equivalent per day. The purchase price of the assets is comprised of $35 million in cash and approximately 4.4 million shares of Synergy common stock, subject to closing adjustments, the release stated. The transaction has an effective date of September 1, 2015 and is expected to close on or before Oct. 30.
“The assets purchased in the Kauffman transaction are located in the core of the Wattenberg Field where we have existing leases and production that fit nicely into our operational footprint, said company President, Lynn Peterson in a news release. “Our focus remains on aggregating assets in the Wattenberg where we are achieving increasing efficiency rates in our drilling and completion activities. We are in the fortunate position of having both operational and financial flexibility, which enables us to allocate capital expenditures when we deem it is prudent.”
In previous company news, Peterson said having a Denver presence would help the company attract talented people. The company added James Henderson, Mike Eberhard, Cathleen Osborn and Barry Myhr to its ranks.
–Henderson will serve as executive vice president of finance and chief financial officer. Henderson is the former CFO of Kodiak Oil and Gas Corp. and he brings more than 25 years of oil and gas industry financial reporting and management experience to the company. Prior to Henderson’s time at Kodiak, he spent 17 years at Western Gas Resources and its successor, Anadarko Petroleum Corp. He holds a bachelor’s degree in accounting from Texas Tech University and a Master of Business Administration degree from Regis University in Denver.
–Osborn will serve as vice president general counsel. She is a corporate attorney with nearly 30 years of experience working in the oil and gas industry. Most recently she was in-house counsel for Whiting Petroleum and prior to that, Kodiak Oil & Gas. Ms. Osborn received her J. D., University of Denver School of Law.
–Eberhard will serve as vice president of completions. Eberhard is a petroleum engineer with more than 30 years of experience including management positions with Anadarko and Halliburton. Eberhard has spent the past four years as completion manager at Anadarko, overseeing completion operations in the Wattenberg Field in Colorado. Prior to that he spent nearly 30 years with Halliburton, 10 as technical manager and 20 years in other managerial, technical, and sales positions. Eberhard holds a bachelor’s of science in mechanical engineering from Montana State and is an active member of the Society of Petroleum Engineers.
–Myhr will serve as business development land manager. Myhr has 15 years of experience in managing land assets in the DJ Basin. The past eight years he has held the position of land negotiator/supervisor for Noble Energy Inc. and prior to that time was with Patina Oil and Gas Corporation, which was acquired by Noble Energy. Myhr has a Bachelor of Science degree. from the University of Colorado in the College of Finance and Business and is a certified professional landman.
Dinosaur Trail and Shale Ridges master leasing plans finalized The Bureau of Land Management has completed the Dinosaur Trail and Shale Ridges and Canyons Master Leasing Plans in northwest Colorado. The plans are in place to provide a management framework that balances the development of more than 3 million acres of federal mineral estate with protection for natural resources, cultural properties and special areas, according to a news release.
“These West Slope areas provide some of the nation’s best recreation and big game habitat, so we took a larger, landscape level look at development on these important public lands,” said BLM Colorado State Director Ruth Welch in the release. “The Dinosaur Trail MLP will provide protection to the area around Dinosaur National Monument while still allowing for responsible energy development in the Piceance Basin. The Shale Ridges and Canyons MLP will help bring closure to conflicts surrounding energy development in the scenic landscapes north of Grand Junction.”
The MLPs were completed as part of the Grand Junction Resource Management Plan, and the White River Field Office Oil and Gas Amendment, the release stated.
The BLM launched a series of MLPs in May 2010 as part of a sweeping oil and gas leasing reform. The plans establish a framework for future oil and gas development in a given planning area with important resource values. MLPs facilitate the responsible exploration and development of oil and gas resources while ensuring protection of an area’s resources and resource uses, the release stated.
“It’s absolutely critical that we manage these public lands in a way that makes sense now and into the future,” Welch said in the release. “These balanced plans provide opportunities for energy and mineral development, as well as protection for natural resources, Native American cultural sites and special areas. We can reduce conflicts between resource extraction and natural resource conservation to benefit both.”
The Dinosaur Trail MLP, a key part of the White River RMP Amendment, is an effort to reduce resource conflicts and impacts to the Dinosaur National Monument, as well as other nearby resources from oil and gas development, the release stated. The MLP provides direction for leasing and development on 357,800 acres of federal minerals in the northwest corner of the field office. The MLP includes specific stipulations to minimize visual and noise impacts to sensitive resources near Dinosaur National Monument, the release stated.
The Approved RMP Amendment addresses oil and gas development for the 1.7 million acres of leasable federal minerals managed by the White River Field Office, and guides oil and gas development in Colorado’s Piceance Basin for the next 20 years, the release stated. The Amendment is not a complete RMP Revision and is specific to oil and gas development.. The amendment also ensures that more than 137,000 acres of land with wilderness characteristics will be protected, in addition to the 82,800 acres already designated as Wilderness Study Areas in the planning area.
The majority of minerals administered by the White River Field Office have already been leased for oil and gas development. The RMP Amendment offers an incentive-based approach for existing leases to minimize the amount of surface disturbance and disruption to wildlife, the release stated.
In addition to the environmental measures, the BLM also looked at the economic impacts associated with the potential development of 15,040 oil and gas wells drilled on 1,100 well pads over the next 20 years. Development at that level would lead to a net increase of more than 5,340 jobs in northwestern Colorado. The Record of Decision and Approved RMP Amendment can be found at: http://www.blm.gov/co/st/en/fo/wrfo.html.
The 700,900-acre Shale Ridges and Canyons MLP is designed to improve environmental protection of important natural resources while aiding in the orderly leasing and balanced energy development. The MLP includes measures to minimize impacts to wildlife and visual resources and to protect two Wilderness Study Areas and six Areas of Critical Environmental Concern. Approximately 70 percent of the lands in the MLP area have already been leased.
The Grand Junction RMP provides a framework to guide management on more than one million surface acres and 1.2 million subsurface acres. The updated RMP includes managing five areas for specific recreational opportunities, including the Grand Valley Off-Highway Vehicle Special Recreation Management Area for cross-country riding and adventure. The Approved RMP also identifies travel management decisions for approximately 4,000 miles of routes. Approximately 2,576 miles of routes — 64 percent — will remain open to motorized travel. Nearly 80 percent of the public lands in the planning area will be accessible within one mile of a motorized route.
The BLM estimates that the approved RMP for Grand Junction Field Office supports decisions that could create nearly 7,500 jobs by 2029 in livestock grazing, recreation and energy development, the release stated. The Approved Grand Junction RMP and Record of Decision can be found at: http://www.blm.gov/co/st/en/fo/gjfo.html
This article was from Greeley Tribune, Colo. and was legally licensed through the NewsCred publisher network.