DrumBeat: October 30, 2006

[Update by Leanan on 10/30/06 at 9:21 AM EDT]

Clinton Shills For Bad Energy Policy

Here's a clue for the semi-retired former president and policy wonk: Brazilian President Luiz Inacio "Lula" da Silva didn't celebrate the oil independence milestone out in an Amazon sugar field.

No, he smashed a champagne bottle on the spaceship-like deck of Brazil's vast P-50 oil rig in the Albacora Leste field in the deep blue Atlantic. Why? Brazil's oil independence had virtually nothing to do with its ethanol development. It came from drilling oil.

US biofuel subsidies questioned

"Under optimistic projections, it costs some $500 in federal and state subsidies to reduce one metric tonne of CO2-equivalent through the production and use of corn-based ethanol. That same amount of money could purchase more than 30 tonnes of CO2-equivalent offsets on the European Climate Exchange, or nearly 140 metric tonnes on the Chicago Climate Exchange," says the report's author, Doug Koplow.


Vinod Khosla: Part 3 - Don't Let the Big Oil Money Confuse You on Prop 87


E3 BioFuels to Launch First Closed-Loop Ethanol Plant in Mead, Nebraska

Dennis Langley, Chairman and CEO of E3 BioFuels, announces the Genesis plant will begin production in December 2006 at Mead, Nebraska, as the first-ever closed-loop system for distilling commercial quantities of ethanol using methane gas recaptured from cow manure, instead of fossil fuels. This virtually eliminates the need for fossil fuels in the production of ethanol.


Budgets Falling in Race to Fight Global Warming

In the private sector, studies show that energy companies have a long tradition of eschewing long-term technology quests because of the lack of short-term payoffs.

Still, more than four dozen scientists, economists, engineers and entrepreneurs interviewed by The New York Times said that unless the search for abundant non-polluting energy sources and systems became far more aggressive, the world would probably face dangerous warming and international strife as nations with growing energy demands compete for increasingly inadequate resources.

Most of these experts also say existing energy alternatives and improvements in energy efficiency are simply not enough.


Sceptics scorn climate report prediction of global chaos


Airlines fear brunt of penalties


Climate research center's oversight up for bidding


China Makes Friends in the Gulf: Quietly adroit diplomatic moves shore up China’s energy needs.


Egypt turns to Russia, China over nuclear energy

CAIRO -- Following a 20-year freeze, Egypt has turned to China and Russia for help in relaunching its civil nuclear program, a move that risks ruffling the feathers of its American ally, analysts say.


Gas-Hungry Europe Looks North to Norway

Faced with rising demand for energy and keen to reduce their dependency on Russian gas supplies, European countries are eyeing Norway's natural gas, available to the continent through a burgeoning web of pipelines.


Mexican Oil Experts and Heirs Address the Future

The face of anti-globalization in the energy sector in Mexico has reappeared in public statements by two prominent Mexican personages, former Pemex CEO Adrián Lajous and three-time Party of the Democratic Revolution (PRD) presidential candidate Cuauhtémoc Cárdenas.


U.S. Official Criticizes Russia-Germany Gas Pipeline

Germany’s big gas pipeline deal with Russia has been criticized by a U.S. official, in a sign of Washington’s mounting unease about Berlin’s ties with Moscow. Matthew Bryza, the U.S. deputy assistant secretary of state for the Caucasus and southern Europe, indicated that the Baltic Sea pipeline would deepen Europe’s dependence on Russian gas.


Nigerian villagers vacate two of four oil stations

PORT HARCOURT, Nigeria (Reuters) - Villagers in Nigeria's southern Rivers state have vacated two of four oil pumping stations they were occupying in a dispute with oil companies, a local community leader said on Monday.

In a separate incident, a source at Italian oil firm Agip, owned by oil and gas group Eni said community youths in neighboring Bayelsa state had invaded an oil pumping station at Clough Creek on Saturday night and were occupying it in a dispute with the company.


The Headline that Did Not Happen and the One that Did

In a world of no excess capacity in oil production and with a true equilibrium between supply and demand, headlines have had the day. Volatility should be expected in a margin business where one half of one percent of over or under supply, real or speculated, has caused even in more “normal” times a $5 to $10 swing in the price. Witness the oil price collapse of 1999 because of the Asian flu or the persistent $70 plus prices because of the ongoing Middle East wars.

But in just a couple of recent weeks, a headline that did not happen and a headline that did pushed the price of crude oil down from a high of over $75 to $60, a 20 percent reduction and a five-month low.


Available Now From Transition Culture - Energy Descent Pathways

It explores the possible synthesis of ideas and approaches that might underpin community-led responses to peak oil. It looks at possible links between addiction and our relationship to oil, as well as evaluating the range of scenarios put forward as to what might happen beyond the peak.


The Oil Crisis Started 30 Years Ago

It is customary to look for the critical year of oil production in absolute terms, but in the year 1970 or thereabouts there was another important "conjunction," to use an astrological metaphor. Global production will peak at some point in the early 21st century; it may have already done so, although the mendacious accounts of remaining reserves make exact dates impossible to determine precisely. Nevertheless, in many senses it is not 2005 or 2010 that is the critical date, but rather the early 1970s.


Wind power's payoff in Denmark

It's a global leader in the technology, and turbines are a common sight, but criticism and challenges persist.


How much wind power is too much?

Warren Frost, vice-president for operations and reliability at the Alberta Electric System Operator, said studies done over the past couple of years showed there can be problems when wind contributes more than about 10 per cent of the province's electricity — about 900 MW — because of the chance the wind could stop at any time.


Iran, Qatar Raise Natural Gas Output, Producing More Condensate

Iran, Qatar and Australia are increasing production of natural gas, raising supply of condensate, a by-product valued because of its suitability as a raw material to be processed into fuels.


OPEC may seek new step if oil stocks rise: Iran

TEHERAN - A senior Iranian oil official said on Sunday OPEC would need to consider a new step if a recently agreed production cut did not stem the rise in world crude stocks, according to the Oil Ministry’s official Web site.


Opec action considered key to oil outlook

Abu Dhabi: Opec's actions and price aspirations will be key to the price outlook for crude oil, says the latest report from Standard Chartered Bank.

It said that supplies are improving and demand growth has eased although it is still firm.


Exxon Mobil chief keeps hunting for more oil, lower costs and higher profits


Slow Food movement has global outreach