Fremont firm to build huge solar plant at Oman oil field
By David R. Baker, July 8, 2015 4:57pm
GlassPoint Solar’s pilot plant in Oman. The company uses solar power to generate steam, which is then pumped into oil fields to squeeze out more petroleum. Photo: GlassPoint Solar Photo: GlassPoint Solar
Solar power and fossil fuels tend to be viewed as natural enemies.
But on Wednesday, a Fremont company signed a deal to build a massive solar power plant in the Omani desert, creating steam to squeeze petroleum out of an aging oil field.
GlassPoint Solar’s new plant — named Miraah, or “mirror” in Arabic — will be by far the largest facility of its kind in the world, generating 1,021 megawatts of thermal energy. For comparison, a single reactor at California’s Diablo Canyon nuclear plant generates about 3,400 thermal megawatts.
The plant will help Petroleum Development Oman, the country’s largest oil producer, wrest thick and viscous crude from the Amal oil field. Pumping steam underground lowers the viscosity of the oil, making it easier to extract.
The practice, which is common in California, typically requires burning large amounts of natural gas to generate the steam. Oman, however, doesn’t have big gas reserves of its own. GlassPoint’s solar plant, covering more than a square mile, will save 5.6 trillion British thermal units of gas each year. Used in a power plant, the same amount of gas could produce enough electricity for 209,000 people in Oman.
“The use of solar for oil recovery is a long-term strategic solution to develop (the Oman oil company’s) viscous oil portfolio and reduce consumption of valuable natural gas, which is needed elsewhere to diversify Oman’s economy and create economic growth,” said Raoul Restucci, the oil company’s managing director.
Neither company disclosed the project’s cost Wednesday.
Founded in 2008, GlassPoint uses a variation on the same solar thermal technology that has been generating electricity at power plants in Southern California for decades.
Instead of solar panels, the company employs curved troughs of mirrors to focus sunlight on a tube filled with water. The superheated water generates steam.
The troughs are light enough that a strong breeze could knock them out of focus. So GlassPoint plants the troughs inside a greenhouse made of glass. Automated washing machines on the roof clear off grime — a key feature in a country, such as Oman, that’s prone to dust storms.
GlassPoint already built a small plant in Oman to demonstrate the idea. But the Miraah project will be more than 100 times larger, consisting of 36 greenhouse modules.
“The oil and gas industry is the next major market for solar energy,” said GlassPoint CEO Rod MacGregor. Indeed, one of the company’s early investors was Royal Dutch Shell.
* 150+ w/dozens occupying the tracks in Ticonderoga to #StopOilTrains.
* Four arrested blockading VT fracked gas pipeline construction.
* TWAC still locked down to CNG truck on way to IP mill.
About 30 protesters disrupted work at a Vermont Gas Systems construction site in Williston on Tuesday morning.
Four protesters were arrested on suspicion that they unlawfully trespassed to stop work at the construction site, said Williston police Chief Todd Shepard. Williston police had given protesters until 7 a.m. to move.
Vermont State Police, Essex police and South Burlington police were also on scene. Shepard said about 14 law enforcement representatives had arrived by the end of the protest.
Thomas Buckley, 34, of Westford and Martha Waterman, 25, of Charlotte chained themselves together across a ditch digging machine. Avery Pittman, 25, of Burlington was later also chained to Waterman.
Buckley, Waterman and Pittman were taken into custody before 9 a.m. Grayson Flory, 28, of Los Angeles was also arrested after refusing to leave the site at 310 Hurricane Lane.
All protesters arrested were carried from the site by law enforcement, but they did not actively resist arrest otherwise, Shepard said.
Each protester has been released from police custody and issued a citation to appear on Thursday in Vermont Superior Court in Burlington, Shepard said.
Occupation of the Tracks
Flotilla
fromRising Tide Vermont: More than a hundred people converged in Ticonderoga, NY today for a flotilla and symbolic blockade to #StopOilTrains.
Yesterday marked the second anniversary of the Lac-Megantic oil train disaster, in which a train carrying fracked oil exploded and leveled the small Quebec town, killing 47 people.
In the so-called Champlain valley, tens of millions of gallons of fracked oil are transported annually along the lake, and industry is making plans to start bringing tar sands through.
TWAC Throws Down
fromRising Tide Vermont: “Our friends at the Trans and/or Women’s Action Camp (TWAC) also stopped a truck on its way to deliver compressed fracked natural gas to International Paper. One person has locked their body to the back of the truck preventing it from making a delivery. Fracked gas by truck is just as dirty and dangerous as fracked gas in a pipeline!”
(TWAC is a group of activists who identify as Trans*, Transgender, Genderqueer, and Gender non-conforming as well as anyone who identifies as a woman regardless of whether they were assigned female at birth)
Released from Jail!!!
The four people who were arrested this morning blocking the construction of the fracked gas pipeline have all been released. Please share and donate to our legal fund to support this fierce escalation of resistance against extreme energy! Donate to our legal fund at: http://bit.ly/J7legal
Cost of Doing Business? Oil Companies Agree To Pay For Some of Lac-Megantic Damages, But Not to Solve the Real Problems
By Justin Mikulka, June 21, 2015 – 05:58
Image credit: Wikimedia
Although insisting the industry is not to blame, several of the oil companies involved in the fatal Lac-Megantic oil train accident in 2013 have agreed to contribute to a fund to compensate the families of the 47 victims in that accident.
The Wall Street Journal reported recently that oil companies Shell, ConocoPhillips, Marathon and Irving have all agreed to contribute to the fund to avoid future litigation, along with General Electric and the Canadian government. While the actual amounts contributed by most companies involved are not available, the total fund is reportedly at $345 million. That sounds like a lot of money but still is less than the $400 million retirement package for Exxon’s last CEO, for example.
Canadian Pacific Railway Ltd. hasn’t agreed to the settlement, according to the Bangor Daily News, which reports that the judge in the case has delayed his decision on the settlement. Canadian Pacific has asked the court to shield it from future litigation and challenged the Quebec provincial court’s jurisdiction.
It is no surprise that oil companies would prefer to pay fines of tens of millions of dollars to avoid future litigation as well as duck responsibility for the full cost of the cleanup. Rebuilding the destroyed Lac Megantic property is expected to take as long as eight years and as much as $2.7 billion.
This approach has proven successful for the oil and rail industry in the past. In 2009, when a Canadian National (CN) ethanol train derailed in Cherry Valley, Illinois resulting in a fire and the death of one woman and injury to several others, the railroad paid the surviving family members $36 million.
The National Transportation Safety Board laid some of the blame for that tragedy on the “inadequate design of the tank cars, which made them subject to damage and catastrophic loss of hazardous materials during the derailment.”
But CN just paid the $36 million and the industry kept using the same inadequate DOT-111 tank cars to move ethanol and crude oil. It was the DOT-111 tank cars that were involved in the Lac-Megantic accident four years later, and the same tank cars that the oil industry is currently fighting to keep on the rails as long as possible.
There is no question it is far more profitable for the oil and rail industries to continue to use unsafe rail tank cars and to just pay off the families of the victims or for environmental damages from oil spills after any accidents than to invest in safer tank cars.
Canadian National has had two oil train derailments already in 2015 which the company reports have cost it $40 million. However, CN still reported over $700 million in net income for just the first quarter of 2015.
Business as usual in the oil-by-rail industry is highly profitable. Which is why the oil and rail industries are fighting against any safety measures that would require investment and cut into profits.
After the faulty tank cars, the two other issues the oil industry has fought against are modernized braking systems and removing the volatile and explosive natural gas liquids from the oil itself via stabilization.
Both of these proven safety measures would cost the industry billions of dollars to implement. So they haven’t done anything. It is far more profitable to live with the consequences of some accidents and make relatively small payouts to avoid lawsuits than it is to invest in safe alternatives.
In 2013, the year of the Lac-Megantic disaster, the big five oil companies made $93 billion in profits. Fines and settlements like those resulting from oil train disasters or deadly refinery accidents are simply a cost of doing business. And for these companies, it turns out to be a very small cost when compared to the profits.
In a forum on rail safety held in Albany, NY this month, emergency first responders from three oil train accidents (Lac-Megantic, Lynchburg, Virginia and Galena, Illinois) recounted their experiences dealing with oil train fires and explosions. While offering excellent insights to the risks involved with oil-by-rail, there also was insight into how the rail companies responded once the accidents occurred.
For both the Lynchburg and Galena accidents, it was noted that the rail companies were on the scene almost immediately. And they rebuilt the tracks and got them back in operation as soon as possible because in Galena, rail downtime was costing the company $1 million an hour. When money is at stake, the rail companies jump into action.
Did the rail company jump into action the day before the Lynchburg rail accident when an inspection revealed a defect in the track in Lynchburg? No.
At the forum in Albany, Lynchburg Battalion Chief Robert Lipscomb summed up the situation nicely.
“You got to remember their business is making money. Our business is taking care of emergencies. So sometimes those two don’t line up exactly right,” Lipscomb said.
When your business is making money, it is much easier to accomplish your goals by lobbying regulators to ensure weak regulations and paying out meaningless fines when something goes wrong than to invest in safety.
The oil trains will return to Lac-Megantic in 2016, with the same inadequate tank cars and 19th century braking systems. And they will be full of unstabilized, dangerous and very profitable oil.
Battle Over New Oil Train Standards Pits Safety Against Cost
By David Schaper, June 19, 2015 3:30 AM ET
A train carrying crude oil derailed in Mount Carbon, W.Va., in February, causing a large fire that forced hundreds of people to evacuate their homes. Steven Wayne Rotsch/Office of the Gov. of West Virginia/AP
The federal government’s new rules aimed at preventing explosive oil train derailments are sparking a backlash from all sides.
The railroads, oil producers and shippers say some of the new safety requirements are unproven and too costly, yet some safety advocates and environmental groups say the regulations aren’t strict enough and still leave too many people at risk.
Since February, five trains carrying North Dakota Bakken crude oil have derailed and exploded into flames in the U.S. and Canada. No one was hurt in the incidents in Mount Carbon, W.Va., and Northern Ontario in February; in Galena, Ill., and Northern Ontario in March, and in Heimdal, N.D., in May.
Stephanie Bilenko of La Grange, Ill. (from left), Paul Berland of suburban Elgin and Dr. Lora Chamberlain of Chicago, are members of a group urging more stringent rules for the oil-carrying trains. David Schaper
But each of those fiery train wrecks occurred in lightly populated areas. Scores of oil trains also travel through dense cities, particularly Chicago, the nation’s railroad hub.
According to state records and published reports, about 40 or more trains carrying Bakken crude roll through the city each week on just the BNSF Railway’s tracks alone. Those trains pass right by apartment buildings, homes, businesses and even schools.
“Well just imagine the carnage,” said Christina Martinez. She was standing alongside the BNSF tracks in Chicago’s Pilsen neighborhood as a long train of black tank cars slowly rolled by, right across the street from St. Procopius, the Catholic elementary school her six-year-old attends.
“Just the other day they were playing soccer at my son’s school on Saturday and I saw the train go by and it had the ‘1267’, the red marking,” Martinez said, referring to the red, diamond-shaped placards on railroad tank cars that indicates their contents. The number 1267 signifies crude oil. “And I was like, ‘Oh my God.’ Can you imagine if it would derail and explode right here while these kids are playing soccer and all the people around there?”
New federal rules require stronger tank cars, with thicker shells and higher front and back safety shields for shipping crude oil and other flammable liquids. Older, weaker models that more easily rupture will have to be retrofitted or replaced within three to five years. But Martinez and others wanted rules limiting the volatility of what’s going into those tank cars, too.
Oil from North Dakota has a highly combustible mix of natural gases including butane, methane and propane. The state requires the conditioning of the gas and oil at the wellhead so the vapor pressure is below 13.7 pounds per square inch before it’s shipped. But even at that level, oil from derailed tank cars has exploded into flames.
And many safety advocates had hoped federal regulators would require conditioning to lower the vapor pressure even more.
“We don’t want these bomb trains going through our neighborhood,” said Lora Chamberlain of the group Chicagoland Oil by Rail. “Degasify the stuff. And so we’re really, really upset at the feds, the Department of Transportation, for not addressing this in these new rules.”
Oil trains sit idle on the BNSF Railway’s tracks in Chicago’s Pilsen neighborhood. David Schaper/NPR
Others criticize the rules for giving shippers three to five years to either strengthen or replace the weakest tank cars.
“The rules won’t take effect for many years,” said Paul Berland, who lives near busy railroad tracks in suburban Elgin. “They’re still playing Russian roulette with our communities.”
A coalition of environmental groups — including Earthjustice, ForestEthics and the Sierra Club — sued, alleging that loopholes could allow some dangerous tank cars to remain on the tracks for up to a decade.
“I don’t think our federal regulators did the job that they needed to do here; I think they wimped out, as it were,” said Tom Weisner, mayor of Aurora, Ill., a city of 200,000 about 40 miles west of Chicago that has seen a dramatic increase in oil trains rumbling through it.
Weisner is upset the new rules provide exemptions to trains with fewer than 20 contiguous tank cars of a flammable liquid, such as oil, and for trains with fewer than 35 such tank cars in total.
“They’ve left a hole in the regulations that you could drive a freight train through,” Weisner said.
At the same time, an oil industry group is challenging the new regulations in court, too, arguing that manufacturers won’t be able to build and retrofit tank cars fast enough to meet the requirements.
The railroad industry is also taking action against the new crude-by-rail rules, filing an appeal of the new rules with the Department of Transportation.
In a statement, Association of American Railroads spokesman Ed Greenberg said: “It is the AAR’s position the rule, while a good start, does not sufficiently advance safety and fails to fully address ongoing concerns of the freight rail industry and the general public. The AAR is urging the DOT to close the gap in the rule that allows shippers to continue using tank cars not meeting new design specifications, to remove the ECP brake requirement, and to enhance thermal protection by requiring a thermal blanket as part of new tank car safety design standards.”
AAR’s President Ed Hamberger discussed the problems the railroads have with the new rules in an interview with NPR prior to filing the appeal. “The one that we have real problems with is requiring something called ECP brakes — electronically controlled pneumatic brakes,” he said, adding the new braking system that the federal government is mandating is unproven.
“[DOT does] not claim that ECP brakes would prevent one accident,” Hamberger said. “Their entire safety case is based on the fact that ECP brakes are applied a little bit more quickly than the current system.”
Acting Federal Railroad Administrator Sarah Feinberg disagreed. “It’s not unproven at all,” she said, noting that the railroads say ECP brakes could cost nearly $10,000 per tank car.
“I do understand that the railroad industry views it as costly,” Feinberg adds. “I don’t think it’s particularly costly, especially when you compare it to the cost of a really significant incident with a train carrying this product.”
“We’re talking about unit trains, 70 or more cars, that are transporting an incredibly volatile and flammable substance through towns like Chicago, Philadelphia,” Feinberg continues. “I want those trains to have a really good braking system. I don’t want to get into an argument with the rail industry that it’s too expensive. I want people along rail lines to be protected.”
Feinberg said her agency is still studying whether to regulate the volatility of crude, but some in Congress don’t think this safety matter can wait.
“The new DOT rule is just like saying let the oil trains roll,” U.S. Sen. Maria Cantwell, D-Wash., said in a statement. “It does nothing to address explosive volatility, very little to address the threat of rail car punctures, and is too slow on the removal of the most dangerous cars.”
Cantwell is sponsoring legislation to force oil producers to reduce the crude’s volatility to make it less explosive, before shipping it on the nation’s rails.
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