.The Texas Energy Report

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.The Texas Energy Report

Kinder Morgan Sees $1 Billion Write Down, Shows $637 Million Loss in 2Q

Kinder Morgan wrote down $1 billion in the second quarter, leaving it with an overall loss of $637 million.

That’s compared with a $518 million profit in 2Q last year.

The Houston pipeline and storage company announced quarterly earnings of $0.17 per share on Wednesday, missing the Zacks Consensus Estimate of $0.18 per share.


 

Chinese Pressure On Energy-Related Matters Contributed to Closing of Houston Embassy

July 22, 2020

A former CIA officer says the closing of the Chinese embassy in Houston is likely related to attempted manipulations in the energy industries as well as possible espionage related to manufacturing, electronics and other US businesses.

The embassy was abruptly ordered to close on Tuesday even as Houston TV stations reported that fire trucks were called to the embassy following complaints from neighbors of smoke coming from the building.

People in the embassy were reportedly burning documents in trash cans in the building’s courtyard.

Daniel Hoffman, a former senior executive Clandestine Services officer with the CIA who served three times as station chief overseas said on Wednesday that China also apparently used the consulate in Houston as a base to pressure and intimidate U.S. energy firms that were carrying out projects in the disputed areas of the South China Sea……
 

“Powering Forward” Energy Summit Features U.S. Under Secretary of Energy Mark Menezes, Texas Governor Greg Abbott and Industry CEOs: TXOGA

July 21, 2020

Austin – Today, more than 1,000 participants tuned in for the Texas Oil & Gas Association’s (TXOGA) virtual energy summit, Powering Forward – Texas Oil & Natural Gas, featuring United States Under Secretary of Energy Mark Menezes, Texas Governor Greg Abbott, Chairman and CEO of Plains All American Pipeline, L.P. Willie Chiang and Chairman and CEO of Chevron Corporation Michael K. Wirth.

Moderated by TXOGA President Todd Staples, the summit focused on the state of the Texas oil and natural gas industry, infrastructure and storage capacity and the outlook for the American energy sector.

In opening today’s summit, Texas Governor Greg Abbott said, “The oil and natural gas industry is indeed powering Texas forward. Investment, ingenuity and innovation have cemented the Lone Star State as the global energy leader – a position that ensures our future will remain bright.”

Under Secretary Menezes echoed the importance of the industry to the nation’s energy and economic security when he said, “The Department of Energy is committed to and investing in the state of Texas because we know the critical role oil and gas plays in ensuring affordable and reliable energy delivery, advancing our energy and national security, and strengthening communities.”

The summit continued with a conversation with Plains All American Chairman and CEO Willie Chiang, who discussed the importance of infrastructure as part of Texas’ economic recovery and growth. “Energy is critical to economic prosperity and national security, and energy infrastructure is the critical link. The ability to move product safely, reliably and responsibly across the state, the nation and the globe will encourage continued production in Texas, supporting jobs and ongoing business investment.”

The summit concluded with a discussion of the impact of the pandemic on the oil and natural gas industry with Chevron Chairman and CEO Mike Wirth. “The fundamental drivers of energy demand are intact. While there’s a dip right now, the longer term demand trend is still up,” said Wirth. “History says tough times don’t last, but tough people do. I think businesses will adapt and get even better in this environment. The industry will emerge stronger. I continue to be optimistic about the long term even as I’m realistic that the near term is likely to be a bit uneven until the economy finds a firm footing.”

Powering Forward – Texas Oil & Natural Gas will be available to view online tomorrow, July 22, 2020, on TXOGA’s website, www.txoga.org.

 

Presidential candidate Biden releases energy plan

By Alex Mills

 

July 15, 2020

Presidential candidate Joe Biden released his very ambitious, and expensive, energy plan this week. The cost is an estimated $2 trillion, and the 23-page plan does not have a word about where and how he plans to raise this massive amount of funds.

What is clear about the plan is it seeks an “equitable clean energy future” on the “path to achieve net-zero emissions” and “create millions of good-paying jobs that provide workers with the choice to join a union and bargain collectively with their employers.”

“Good-union jobs” are mentioned some 20 times as the plan discussed Biden’s new “clean energy economy” that “will make far-reaching investments” in the nation’s infrastructure (roads, bridges, and electricity), auto industry (improve battery storage in electric vehicles), public transportation (purchase more trains and buses powered by batteries/electricity), power (“move ambitiously to generate clean, American-made electricity”), strengthen building codes, agriculture (“create jobs in climate-smart agriculture”), and “environmental justice.”

There is only one mention of the oil and gas industry throughout the entire plan displayed on the Biden for President web page, and it refers to creating 250,000 jobs to plug abandoned oil and natural gas wells and coal mines. Most states with oil and gas production already have environmental remediation programs. For example, Texas established its plan in 1984 and spent $70 million last year on environmental remediation through the environment cleanup fee assessed on industry….
 

New Study of Eagle Ford Flaring 2012-15 Raises Concerns of South Texas Social Justice, Increased Risk of Early Births Nearby

July 15, 2020

A new California study suggests oil and gas flaring may cause an increased risk of preterm births in women living within 3 miles of wells, which raises racial and social justice concerns, according to researchers, who call for new policies and strategies for limiting the practice,…
 

Analysis: What Happened to Wilks’s Guy?; “Jim” Wright Won, “Beto” Didn’t for RRC

Lawyer is Democratic candidate for RRC…Billionaires’ candidate loses…Several candidates endorsed by President Trump did well in Texas

 

July 15, 2020

The name Jim Wright may work if you’re running for Railroad Commission of Texas, but “Beto” won’t, judging by the results of recent primaries like the one Tuesday night.

While some pundits credited James Wright‘s name similarity to that of legendary Texan and US Speaker of the House Jim Wright for winning the Republican Railroad Commission primary over incumbent Ryan Sitton, his experience as an oil field services and waste management company owner gave him energy industry credibility.

Sitton, an oil and gas engineer, had similar industry cred, while Chrysta Castaneda, Tuesday night’s winner, was the only one of the two Democrats who battled it out with any energy industry exposure — as a lawyer, she’s known for having helped oil legend T. Boone Pickens win a $145 million dollar award in a 2016 case.

She runs a Dallas-based law firm specializing in energy litigation…..
 

Castañeda Apparent RRC Dem Contender

With all votes reported, Glenn Rogers is the winner against the candidate backed by the fracing billionaire Wilks brothers Jon Francis by just 678 votes in Republican runoff for state House District 60 with 51.5%-48.5% as candidate

M. J. Hegar continues to lead Royce West 52%-48% in Democratic race for US senator

Pete Sessions continues to lead Renee Swann 54%-46% for state District 17 seat with 80% of vote reported

Sarah Eckhardt appears to go to a runoff with Eddie Rodriguez in special Texas Senate election to replace Kirk Watson 49.6% to 34%

Eddie Lucio Jr. appears to win over Sara Stapleton Barrera in state senate District 27 by 53.6% to 46.4% with 98% of votes

 

July 15, 2020 12:30 am

Chrysta Castañeda kept the lead all night and is the apparent winner of the Democratic runoff race against Roberto R. “Beto” Alonzo to run against Republican James Wright for the Railroad Commission of Texas‘ seat currently occupied by Republican Ryan Sitton.

With 93% of polling places reporting, Ms. Castañeda claims 565.979 votes at 62% versus Mr. Alonzo’s 347.614 votes at 37% according to the Texas Secretary of State’s office…………