Obama Continues Emergency Re Russian Fissile Material

The White House

Message from the President on the Continuation of the National Emergency with Respect to Russian Highly Enriched Uranium

TO THE CONGRESS OF THE UNITED STATES:

Section 202(d) of the National Emergencies Act (50 U.S.C. 1622(d)) provides for the automatic termination of a national emergency unless, prior to the anniversary date of its declaration, the President publishes in the Federal Register and transmits to the Congress a notice stating that the emergency is to continue in effect beyond the anniversary date. In accordance with this provision, I have sent to the Federal Register for publication the enclosed notice stating that the emergency declared in Executive Order 13159 of June 21, 2000, with respect to the risk of nuclear proliferation created by the accumulation of a large volume of weapons-usable fissile material in the territory of the Russian Federation is to continue beyond June 21, 2010.

It remains a major national security goal of the United States to ensure that fissile material removed from Russian nuclear weapons pursuant to various arms control and disarmament agreements is dedicated to peaceful uses, subject to transparency measures, and protected from diversion to activities of proliferation concern. The accumulation of a large volume of weapons-usable fissile material in the territory of the Russian Federation continues to pose an unusual and extraordinary threat to the national security and foreign policy of the United States. For this reason, I have determined that it is necessary to continue the national emergency declared with respect to the risk of nuclear proliferation created by the accumulation of a large volume of weapons-usable fissile material in the territory of the Russian Federation and maintain in force these emergency authorities to respond to this threat.

BARACK OBAMA
THE WHITE HOUSE
June 17, 2010

Fort Foote Park Group Meets With Senator Barbara Mukulski

Rafiq Munir, Senator Mikulski, Norris McDonald , Joe Henson, Gloria Lawlah
Representatives from the Greater Fort Foote Area Recreational, Cultural, and Historical Council, Inc. (GFF) met with U.S. Senator Barbara Milkulski (D-MD) today to discuss how the community group can provide maintenance services and other enhancements to Fort Foote Park. GFF is seeking a cooperative agreement or memorandum of understanding (MOU) with the National Park Service (NPS) in order to provide landscaping services, weed control, structures, Potomac River coastline amenities and other enhancements. GFF seeks to provide improvements at the park so that more residents of Prince George's County can enjoy this scenic area. Rodman Cannons at the site provide a historical context for the push to provide private maintainance assistance for this park.

Joe Henson, former Maryland State Senator Gloria Lawlah (Maryland Secretary of Aging), Rafiq Munir and Norris McDonald met with Senator Mikulski to share their plans for Fort Foote Park. Senator Mikulski was accompanied by staff members Valerie Twanmoh, Deputy State Director and Nichelle D. Schoultz, Special Assistant to the Senator. Joe Henson is GFF president and Lawlah, Munir and McDonald are members of the board of directors.

The Merchant Marine Act of 1920 - "The Jones Act"

The Merchant Marine Act of 1920 (P.L. 66-261) is a United States Fedearl statute that regulates maritime commerce in U.S. waters and between U.S. ports. Section 27, also known as the Jones Act, deals with cabotage (i.e., coastal shipping) and requires that all goods transported by water between U.S. ports be carried in U.S.-flag ships, constructed in the United States, owned by U.S. citizens, and crewed by U.S. citizens and U.S. permanent residents. The purpose of the law is to support the U.S. merchant marine industry.

Requests for waivers of certain provisions of the act are reviewed by the United States Maritime Administration on a case-by-case basis. The Obama administartion has not seen any need to waive the Jones Act as part of the response to the oil disaster in the Gulf of Mexico. (Wiki, Deepwater Horizon Response)

Q4000 Drilling Platform & Schlumberger EverGreen Burner

The Q4000, left, owned by Helix, is a drilling platform that is being modified to burn oil from the BP Deepwater Horizon oil disaster. BP hopes to get the Q4000 to receive 5,000 to 10,000 barrels a day once it is fully operation. The primary colllection vessel at the site, the drill ship Discoverer Enteprise, has capacity to process 15,000 to 18,000 barrels daily.

The Q4000 will use Schlumberger's EverGreen burner, right, to flare off the siphoned oil, since the platform cannot process or store it. BP says it will use compressed air to make sure it burns cleanly.

The Evergreen burner turns a flow of oil and gas into a vapor that is pushed out its 12 nozzles.

Currently, about 15,000 barrels of oil a day are being siphoned via the cap to the drillship Discoverer Enterprise. The gas is burned, and the oil is eventually off-loaded to a tanker. Both the oil and the gas are being flared at the Q4000 rig.

The decision to burn as much as 10,000 barrels of day of crude has sparked concerns that workers and residents could be exposed to toxic fumes. Such a system has never been used before to dispose of so much oil in a cleanup effort. (The Bellingham Herald, 6/16/2010, Chron, 6/11/2010, Inhabit, 6/9/2010)

National Commission on Deepwater Horizon Oil Spill

The National Commission on the BP Deepwater Horizon Oil Spill and Offshore Drilling will be co-chaired by former Florida Sen. Bob Graham, left, and former federal Environmental Protection Agency chief William Reilly, right, who ran the agency during the Exxon spill.

The bipartisan Commission, established through Executive Order 13543 and signed by President Barrack Obama on May 21, 2010 , is tasked with providing recommendations on how we can prevent and mitigate the impact of any future spills that result from offshore drilling.

The spill commission's five other members appointed by the White House include:

• Frances Beinecke, president of the Natural Resources Defense Council, an environmental group. She has specialized in marine ecosystems and clean energy.

• Donald Boesch, president of the University of Maryland Center for Environmental Science. He is from Louisiana and is known for his research of the environmental effects of offshore energy development.

• Terry Garcia, a former National Oceanic and Atmospheric Administration assistant secretary who now serves as the executive vice president for mission programs at the National Geographic Society. He was NOAA's general counsel during the Exxon Valdez spill and led the implementation of the restoration plan for Prince William Sound and the Gulf of Mexico.

• Cherry Murray, dean of the Harvard School of Engineering and Applied Sciences.

• Fran Ulmer, University of Alaska Anchorage Chancellor. She was Alaska's lieutenant governor from 1994 to 2002 and served in the state House of Representatives from 1987 to 1994 as a Democrat. She ran for governor in 2002 but lost to Frank Murkowski. She is a former Juneau mayor and has worked on national commissions working on climate change, election reform and fisheries issues.

(Anchorage Daily News, 6/15/2010, The White House)

Remarks by the President to the Nation on the BP Oil Spill

The White House
June 15, 2010
Oval Office
8:01 P.M. EDT

Excerpt

You know, for generations, men and women who call this region home have made their living from the water. That living is now in jeopardy. I’ve talked to shrimpers and fishermen who don’t know how they’re going to support their families this year. I’ve seen empty docks and restaurants with fewer customers -– even in areas where the beaches are not yet affected. I’ve talked to owners of shops and hotels who wonder when the tourists might start coming back. The sadness and the anger they feel is not just about the money they’ve lost. It’s about a wrenching anxiety that their way of life may be lost.

I refuse to let that happen.

(The White House - Full Statement)

BP & White House Agree To $20 Billion Escrow Account

BP Agrees to Account to Handle Claims

BP Chief Executive Officer Tony Hayward and BP America Chairman Lamar McKay, left, and BP Chairman Carl-Henric Svanberg, right, arrive at the White House today for a meeting with President Barack Obama. BP and the Obama administration reached a tentative agreement during the meeting under which the oil company will place $20 billion in an escrow account to pay claims stemming from the spill in the Gulf of Mexico. The fund will be administered by Ken Feinberg, who oversaw the compensation fund for victims of the Sept. 11, 2001, terror attacks. (Wash Post, 6/16/2010)

President Barack Obama and Vice President Joe Biden meet with BP executives in the Roosevelt Room of the White House, June 16, 2010, to discuss the BP oil spill in the Gulf of Mexico. Pictured, from left, are BP CEO Tony Hayward, BP Chairman Carl-Henric Svanberg, BP General Counsel Rupert Bondy, BP Managing Director Robert Dudley, Senior Advisor Valerie Jarrett, Labor Secretary Hilda Solis, Attorney General Eric Holder, and Homeland Security Secretary Janet Napolitano. (Official White House Photo by Pete Souza)

Radioactivity Level Increased at Chinese Nuclear Plant

Daya Bay Nuclear Power Plant in China Visited by Center Staff in 2007

The Hong Kong government has reported that "a very small leakage" occurred on May 23 at the Guangdong Daya Bay nuclear power station, which is located close to Hong Kong and the mainland Chinese metropolis of Shenzhen. Hong Kong's CLP Group holds a 25% stake in the plant. CLP Holdings Ltd., a Hong Kong-listed entity also known as China Light & Power, confirmed there was a "small increase" in radioactive iodine and noble gases in the reactor's cooling water but that the radioactivity level has remained stable in the past two weeks.

There have been no safety issues with China's 11 nuclear plants. The Daya Bay power plant, commissioned in 1994, was the first commercial nuclear power station in mainland China. The plant produces around 14 billion kilowatt hours of electricity a year, 70% of which is imported into Hong Kong. China's Guangdong Nuclear Investment Co. holds a 75% stake in the project.

Center President Norris McDonald and Center Vice President Derry Bigby toured the Daya Bay nuclear power station in 2007. They were accompanied by Center China Office Director Zhang Xiaoping.

Lingao nuclear power station in background

Daya Bay in Background

Containment Dome being readied
Daya Bay Nuclear Power Station has two reactors and construction began on August 7, 1987: Unit 1 (944 MWe) began power operations on August 31, 1993 and Unit 2 (944 MWe) began power operations on February 2, 1994. The reactors were designed and built by the French national company, Framatome (with Chinese participation). Daya Bay Nuclear Power Station has two 984 MWe pressurized-water reactor units at a cost of 4 billion US dollars. Lingao Nuclear Power Station is equipped with two 938 MWe PWR, with two additional reactors being brought on line (one under construction - see dome at left - and plans for one more). (More on China Trip, WSJ, 6/15/2010)

NRC Approves New Uranium Enrichment Facility

URENCO inaugurated its URENCO USA/LES enrichment facility in Eunice, New Mexico on June 2 and received NRC authorization to begin operating on June 10. This first time centrifuge technology has been used in the U.S. to supply enriched uranium to the civilian nuclear industry. When fully operational, the facility will produce sufficient enriched uranium for nuclear fuel to supply approximately 10% of the electricity needs for the US.

The facility is operated by URENCO USA/LES, a US subsidiary of URENCO Ltd. In August 2006, groundbreaking took place for the first nuclear facility to receive a joint construction and operational licence.

URENCO USA aerial shot, May 2010

URENCO USA/LES LES, LLC is a wholly-owned subsidiary of URENCO Ltd. The URENCO USA, New Mexico plant is the nation’s most advanced uranium enrichment facility and will provide a secure domestic enrichment fuel supply source to US nuclear energy companies for many years to come.

The URENCO Group URENCO is an independent international energy and technology group with its head office based in Marlow in the United Kingdom. URENCO operates facilities in Germany, the Netherlands, the United Kingdom and New Mexico in the United States. It Currently URENCO fulfils around 25% of the global enrichment market, and aims to establish itself as the leading global supplier of enrichment and enrichment technology.

Deepwater Development Systems in the Gulf of Mexico

Basic options used in constructing the Gulf's deepwater permanent production platforms.


Fixed Platform (FP) consists of a jacket (a tall vertical section made of tubular steel members supported by piles driven into the seabed) with a deck placed on top, providing space for crew quarters, a drilling rig, and production facilities. The fixed platform is economically feasible for installation in water depths up to 1,500 feet.

Compliant Tower (CT) consists of a narrow, flexible tower and a piled foundation that can support a conventional deck for drilling and production operations. Unlike the fixed platform, the compliant tower withstands large lateral forces by sustaining significant lateral deflections, and is usually used in water depths between 1,000 and 2,000 feet.

Tension Leg Platform (TLP) consists of a floating structure held in place by vertical, tensioned tendons connected to the sea floor by pile-secured templates. Tensioned tendons provide for the use of a TLP in a broad water depth range with limited vertical motion. The larger TLP's have been successfully deployed in water depths approaching 4,000 feet.

Mini-Tension Leg Platform (Mini-TLP) is a floating mini-tension leg platform of relatively low cost developed for production of smaller deepwater reserves which would be uneconomic to produce using more conventional deepwater production systems. It can also be used as a utility, satellite, or early production platform for larger deepwater discoveries. The world's first Mini-TLP was installed in the Gulf of Mexico in 1998.

SPAR Platform (SPAR) consists of a large diameter single vertical cylinder supporting a deck. It has a typical fixed platform topside (surface deck with drilling and production equipment), three types of risers (production, drilling, and export), and a hull which is moored using a taut caternary system of six to twenty lines anchored into the seafloor. SPAR's are presently used in water depths up to 3,000 feet, although existing technology can extend its use to water depths as great as 7,500 feet.

Floating Production System (FPS) consists of a semi-submersible unit which is equipped with drilling and production equipment. It is anchored in place with wire rope and chain, or can be dynamically positioned using rotating thrusters. Production from subsea wells is transported to the surface deck through production risers designed to accommodate platform motion. The FPS can be used in a range of water depths from 600 to 7,500 feet.

Subsea System (SS) ranges from single subsea wells producing to a nearby platform, FPS, or TLP to multiple wells producing through a manifold and pipeline system to a distant production facility. These systems are presently used in water depths greater than 5,000 feet.

Floating Production, Storage & Offloading System (FPSO) consists of a large tanker type vessel moored to the seafloor. An FPSO is designed to process and stow production from nearby subsea wells and to periodically offload the stored oil to a smaller shuttle tanker. The shuttle tanker then transports the oil to an onshore facility for further processing. An FPSO may be suited for marginally economic fields located in remote deepwater areas where a pipeline infrastructure does not exist. Currently, there are no FPSO's approved for use in the Gulf of Mexico.

(MMS)

House Energy & Commerce Committee BP Investigation

MEMORANDUM
May 25, 2010
To: Members of the Subcommittee on Oversight and Investigations
Fr: Chairmen Henry A. Waxman and Bart Stupak, left, Chair of Subcommittee
Re: "Key Questions Arising from Inquiry into the Deepwater Horizon Gulf of Mexico Oil Spill"

According to BP there were three flow indicators from the well before the explosion. One was 51 minutes before the explosion when more fluid began flowing out of the well than was being pumped in. Another flow indicator was 41 minutes before the explosion when the pump was shut down for a "sheen" test, yet the well continued to flow instead of stopping and drill pipe pressure also unexpectedly increased. Then, 18 minutes before the explosion, abnormal pressures and mud returns were observed and the pump was abruptly shut down. The data suggests that the crew may have attempted mechanical interventions at that point to control the pressure, but soon after, the flow out and pressure increased dramatically and the explosion took place.

Further, BP’s preliminary findings indicate that there were other events in the 24 hours before the explosion that require further inquiry. As early as 5:05 p.m., almost 5 hours before the explosion, an unexpected loss of fluid was observed in the riser pipe, suggesting that there were leaks in the annular preventer in the BOP. Four hours before the explosion, during efforts to begin negative pressure testing, the system gained 15 barrels of liquid instead of the 5 barrels that were expected, leading to the possibility that there was an "influx from the well."

A cementer witness stated that the "well continued to flow and spurted." Having received an unacceptable result from conducting the negative pressure test through the drill pipe, the pressure test was then moved to the kill line where a volume of fluid came out when the line was opened. The kill line was then closed and the procedure was discussed; during this time, pressure began to build in the system to 1400 psi. At this point, the line was opened and pressure on the kill line was bled to 0 psi, while pressure on the drill pipe remained at 1400 psi. BP’s investigator indicated that a "fundamental mistake" may have been made here because this was an "indicator of a very large abnormality." The kill line then was monitored and by 7:55 p.m. the rig team was "satisfied that [the] test [was] successful." At that time, the rig started displacing the remaining fluids with seawater, leading to the three flow indicators described above.

Several concerns identified by BP relate to the cementing process. Cement work that was supposed to hold back hydrocarbons failed, allowing the hydrocarbons into the well bore. The float collar used in the cementing process did not initially operate as intended and required 9 attempts with higher than usual pressures to function properly. Moreover, the float test performed after cementing may not have been definitive, leading to concern that there may have been contamination of the cement due to density differences between the cement and the drilling mud.

In addition, key questions exist about whether proper procedures were followed for critical activities throughout the day. Negative pressure testing was initially done on the drill pipe rather than the kill line, even though the drill plan specified that it would be done on the kill line. After anomalous results, the negative pressure testing was conducted on the kill line and ultimately accepted. Evidence suggests that spacer fluid used during the displacement of drilling fluid with seawater did not rise above the BOP to the level required by the drilling plan; this increased pressure in the drill pipe and may have interfered with later pressure testing. In addition, the method of displacing the drilling mud with seawater may have interfered with the monitoring of the flow levels from the well because the mud was transferred to another boat instead of measured in the mud pits. Moreover, mudloggers were not informed when the offloading of drilling mud to the other boat was stopped.

Several concerns about the blowout preventer were identified by BP including the failure of its emergency disconnect system (EDS), the failure of its automated mode function or deadman switch, the failure of the BOP’s shearing functions, and the failure of the remote operated vehicle interventions. The BP investigation has also raised concerns about the maintenance history, modification, inspection, and testing of the BOP.

BP's Deepwater Horizon Oil Spill: Pounds Per Square Inch

From The Oil Drum [Donate to them: because they are a respected source of information]

Fluid (oil and gas) will only move from one place to another if something is pushing it. For the fluid in the reservoir under the Gulf, this force pushing the oil out is the difference in pressure between the oil in the rock, and the pressure in the well. The pressure of the oil in the rock is 12,000 psi. When the well was drilled the pressure of the mud that filled the well was over 13,000 psi and no oil moved into the well. Just before the disaster the fluid in the well was changed from mud to seawater. This lowered the pressure of the fluid in the well below that of the fluid in the rock, a differential pressure now existed, and where there was a passage through which the oil and gas could flow, and they did.

The question has always been – how much? Gas flows more easily through cracks than oil, and the disaster was first evident when leaking gas reached the drilling rig, and then ignited. The BOP then, at least partially, functioned. After the rig sank, the riser also sank, bending the pipe just above the BOP. A couple of days later the flow was suggested at about 1,000 bd, and this then escalated to 5,000 bd. As cameras began to publicly monitor the outlet of the riser the estimates started to grow the flow out of the riser was estimated to be around 8,000 bd, with allowance for leaks, the overall flow was estimated to be perhaps 12,000 bd. Once the broken part of the riser was removed and a cap placed over the well, a significant portion of the escaping oil was captured and could then be measured as it flowed into the surface vessel recovering it. Those values are currently at around 15,500 bd. BP is currently planning on additional capture this week of up to another 10,000 bd, and preparing for a worst case scenario with a flow rate of 80,000 bd.

"The Oil Drum" is published by the Institute for the Study of Energy and Our Future (ISEOF), a 501(c)(3) non-profit corporation.

Obama Appoints Michael R. Bromwich to Head MMS

President Barack Obama has appointed Michael R. Bromwich, left, to head the Minerals Management Service (MMS). The appointment does not require Senate confirmation. Bromwich will reorganize the MMS to eliminate conflicts among the different missions of the agency which include establishing safety standards, regulating industry compliance, and collecting royalties.

Secretary Salazar has announced plans to split MMS into three new divisions – the Bureau of Ocean Energy Management, the Bureau of Safety and Environmental Enforcement, and the Office of Natural Resources Revenue – the most significant in a series of Interior Department reforms launched since January 2009.

Bromwich is a former Assistant U.S. Attorney and Justice Department Inspector General. He is currently a litigation partner in the Washington, D.C., and New York offices of Fried Frank where he heads the firm's Internal Investigations, Compliance and Monitoring practice group.
Prior to joining the law firm, Bromwich served as Inspector General for the Department of Justice from 1994 - 1999. Before his appointment as Inspector General, Mr. Bromwich served as a federal prosecutor in the U.S. Attorney’s Office for the Southern District of New York and as Associate Counsel in the Office of Independent Counsel for Iran-Contra.

Bromwich received his law degree from the Harvard Law School in 1980 and a master’s degree in Public Policy from Harvard’s John F. Kennedy School of Government the same year. He received his undergraduate degree, summa cum laude, from Harvard College in 1976. (The White House)

Active Leases: MMS Gulf of Mexico: Outer Continental Shelf

Gulf of Mexico Region Lease Map

(MMS as of May 18, 2010)

Current Deepwater Activity

Operator / Lease Prospect Name / Rig Name / Water Depth (feet)
Monday, June 14, 2010

1) Shell Offshore Inc. / NOBLE DANNY ADKINS / Tobago / 9,627
2) Shell Offshore Inc. / H&P 205 / Great White / 7,814
3) Statoil Gulf of Mexico LLC / MAERSK DEVELOPER / Tucker / 6,667
4) Noble Energy, Inc. / ENSCO 8501 / Santa cruz / 6,500
5) Eni US Operating Co. Inc. / T.O. MARIANAS / Triton (mc) / 5,376
6) Anadarko Petroleum Corporation / ENSCO 8500 / Red hawk / 5,334
7) Shell Offshore Inc. / T.O. DEEPWATER NAUTILUS / Mensa / 5,292
8) BP Exploration & Production Inc. / T.O. DEVELOPMENT DRILLER III / MACONDO / 5,159
9) BP Exploration & Production Inc. / GSF DEVELOPMENT DRILLER II / MACONDO / 5,132
10) Exxon Mobil Corporation AC / NABORS MODS 201 / Hoover /4,804
11) Shell Offshore Inc. / NOBLE JIM THOMPSON / Vito / 4,038
12) Shell Offshore Inc. / H&P 204 / Princess / 3,797
13) Anadarko Petroleum Corporation / T.O. DISCOVERER SPIRIT / Nansen / 3,681
14) Murphy Exploration & Production Company / NABORS MODS 200 / Front runner / 3,350
15) Shell Offshore Inc. / FRONTIER DRILLER / Glider / 3,243
16) Anadarko Petroleum Corporation / NABORS MODS RIG 150 / Gunnison / 3,152
17) Shell Offshore Inc. / AUGER / Auger / 2,862
18) Noble Energy, Inc. / OLYMPIC INTERVENTION IV / Lost ark south / 2,722
19) LLOG Exploration Offshore, Inc. / NOBLE LORRIS BOUZIGARD / Appaloosa / 2,642
20) Newfield Exploration Company / DIAMOND OCEAN VICTORY / Pyranees / 2,095
21) StatoilHydro USA E&P, Inc. / T. O. DISCOVERER AMERICAS / Krakatoa / 2,036
22) Walter Oil & Gas Corporation / DIAMOND OCEAN VOYAGER / Hummingbird / 1,183
23) Stone Energy Corporation / H&P 206 / Amberjack / 1,030
24) Shell Offshore Inc. / COIL TUBING UNIT / Boxer / 750

Total Deep Water Prospects with Drilling/WO Activity: 24

(MMS)

ESIS, Inc Processes Deepwater Horizon Claims for BP

ESIS, Inc. (ESIS) ESIS was selected by BP to process claims and is currently working at BP's direction to administer claims associated with the Deepwater Horizon incident. ESIS is processing claims according to BP's guidelines as overseen by the U.S. Coast Guard in compliance with the Oil Pollution Act of 1990. ESIS, Inc. (ESIS), a risk management services company and is part of ACE USA, the U.S.-based retail operating division of the ACE Group, headed by ACE Limited (NYSE: ACE).

To date, ESIS has more than 500 claims professionals in 31 field offices in Alabama, Florida, Louisiana, and Mississippi. ESIS uses licensed claims professionals where required.

Founded in 1953 and based in Philadelphia, ESIS offers a range of claims and risk management related services. One of their specialties is catastrophe services, where they have administered claims at more than 170 catastrophes, ranging from other petrochemical incidents such as pipeline leaks and breaks to product recalls.

Specific questions on claims data and guidelines should be addressed to the BP Claims Press Office at either 281 366-6965 or 281 366-0265.

To file a claim, call the Deepwater Horizon response hotline at 1 800 440-0858.

Thirty one dedicated field offices have been established throughout the Gulf region, and more than 500 dedicated processors are on-site in Louisiana, Alabama, Mississippi, and Florida.

Types of claims being administered include property damage, loss of income, business interruption, and/or bodily injury. Filing a claim is free and can be done in three ways:

1. Call 1 800 440-0858. 120 telephone operators are answering calls.
2. File a claim online at www.bp.com/claims.
3. Mail a claim to ESIS, PO Box 17160, Wilmington, DE 19850.

A claim number is assigned, and an adjuster will contact the claimant to verify claim information and explain what documentation is needed to process the claim. The claimant can then fax or bring the documentation to meet with an adjuster at a field office location convenient to him/her. Generally, documentation needed will include:

o Individual loss of income or business interruption claim documentation, such as tax records, trip tickets, wage loss statements, deposit slips, boat registrations, or copies of a current fishing license. Commercial economic loss claims may require additional business specific records.
o Loss of rental claims can include prior occupancy rates, cancellations, tax records, and bookkeeping records.
o Property damage claims can require photographs and replacement or cleaning receipts. Larger property damage claims may require on-site inspection by a claims processor.
o Bodily injury claims will be evaluated on a case-by-case basis. Claimants will need to provide medical records, medical bills, or pharmacy records to support the claim.

Upon verification of claim documentation, the adjuster will explain how and when claim payments will be made. For more information, please visit www.bp.com/claims.

Remarks By President Obama on 4th Trip to Gulf Area

Remarks After Touring Theodore Staging Facility, Theodore, Alabama: June 14

Excerpt

"Now, what I've heard from a number of local officials during my trip today is what I’ve heard from folks on each of the four visits that I’ve made to this region since the Deepwater Horizon explosion happened in April. There’s a sense that this disaster is not only threatening our fishermen and our shrimpers and our oystermen, not only affecting potentially precious marshes and wetlands and estuaries and waters that are part of what makes the Gulf Coast so special -- there’s also a fear that it can have a long-term impact on a way of life that has been passed on for generations."

Remarks After a Roundtable Meeting with Local Residents in Gulfport, Mississippi: June 14

Chimney’s Restaurant
Gulfport, Mississippi

Excerpt

"So we are going to be working with business owners like this, with governors and mayors to make sure that they are made whole as a consequence of this crisis. But we also want to make sure that we are in this for the long haul. And the full effects of this may not be known immediately. They may not be known three months from now and may not be fully known for another six months or a year. We just want to make sure we got structure in place so that people like Missy and George are adequately dealt with."

Remarks at a Gulf Coast Briefing in Gulfport, Mississippi
Coast Guard Station Gulfport

Excerpt

"We also talked about claims to make sure that people here in Mississippi, but throughout the region, are going to be adequately compensated for the damages and the losses that they are experiencing right now. There are still problems with them...The last point I’m going to make, and this is something that’s been repeatedly emphasized, here in Mississippi -- but it’s true in Florida, it’s true in Alabama and it’s true in portions of Louisiana -- there’s still a lot of opportunity for visitors to come down here, a lot of beaches that are not yet affected or will not be affected."

The White House

Bonn Climate Talks Produce Working Document

The thirty-second sessions of the United Nations Framework Convention on Climate Change (UNFCCC) Convention subsidiary bodies took place from Monday 31 May to Friday, June 11, 2010. The venue for the meetings was the Hotel Maritim in Bonn, Germany. The progress made during the two weeks opens the way to deliver the full package of operational measures for consideration, and hopefully passage, in Cancún in December. The draft document puts forward a range of goals for cutting greenhouse gases, including slashing emissions by as much as 85 percent by 2050 compared with 1990 levels, and includes objectives for climate aid and deforestation.

The next round of talks in Bonn in August will address how to share the burden, where to place priorities and the legal status of the post-2012 treaty. The Cancun climate conference will hopefully produce a new international agreement to continue with the goals of the Kyoto Protocol. The final international meeting to adopt a new treat will be in Johannesburg in December 2011. The Kyoto Protocol expires in 2012. (Terra Daily, 6/11/2010)

Events at the Bonn Climate Talks

Oil-soaked Brown Pelican

Gulf Oil Disaster Congressional Hearings

There are nine hearings.

1) House Energy and Commerce Subcommittee on Energy and Environment: Oil Majors CEO's Discuss America's Energy Future – BP's Lamar McKay along with Rex Tillerson of ExxonMobil, Chevron CEO John Watson, ConocoPhillips chief James Mulva and Shell President Marvin Odum for a hearing entitled "Drilling Down On America's Energy Future: Safety, Security And Clean Energy. Tues June 15 at 9:30 a.m.

2) House Natural Resources Subcommittee on Insular Affairs, Oceans and Wildlife: Limits of Ocean Science and Data – examines ocean science and data limits - the hearing will explore whether NOAA and Fish and Wildlife Service (FWS) have the resources to respond. The hearing is Part 4 of a 7-part Deepwater series (see below for Thursday's installment). The first panel includes Acting NOAA Assistant Administrator David Kennedy, U.S. Geological Survey Director Marcia McNutt, and Merv Fingas of the National Research Council's Committee on Oil in the Sea. Panel 2 features five academic specialists in marine and environmental sciences. Tues June 15 10:00 a.m.

3) Senate Health, Education, Labor and Pensions Committee: Full committee hearing on evaluating the health impacts of the Gulf of Mexico oil spill. This and the House hearing will focus on the use of chemical dispersants potential health risks to cleanup workers, fishermen and other Gulf Coast residents. Tues June 15 2:30 p.m.

4) House Energy and Commerce Subcommittee on Health: Examines HHS Response – holds a hearing on Health and Human Services' actions to identify and address health effects of the BP oil spill. Wednesday June 16 at 2:00 p.m.

5) Senate Homeland's Federal Financial Management, Government Information, Federal Services, and International Security Subcommittee holds a hearing on looking at the financing of recovery from the Gulf of Mexico oil spill. Witnesses include BP's Darryl Willis, Transocean's Steve Newman, Craig Bennett of the U.S. Coast Guard's National Pollution Funds Center and Susan Fleming, director of physical infrastructure issues of the Government Accountability Office. Wednesday June 16 at 3:00 p.m.

6) House Natural Resources Committee's panel on Energy and Mineral Resources: MMS Regulatory Effectiveness Reviewed – will hold a hearing looking at the record of the Minerals Management Service and current regulations. The hearing is part 5 of 7. Thursday June 17 at 10:00 a.m.

7) House Energy and Commerce Subcommittee on Oversight and Investigations: will host BP CEO Tony Hayward on Thursday at 10:00 a.m.

8) House Transportation Looks at Foreign Vessels – The House Transportation and Infrastructure Subcommittee on Coast Guard and Maritime Transportation convenes Thursday at 2 p.m. to investigate foreign vessel operations in the U.S. exclusive economic zone. The hearing will look at foreign-flagged vessels and the what role they may play

9) Senate Small Business Committee: To look at Assistance for Gulf Small Businesses –to explore the evaluation process of small business proposals for oil spill cleanup efforts. Thursday June 17 at 10:00 a.m.

(Source: Frank Maisano)

Gulf of Mexico Disaster By The Numbers

QUICK FACTS
June 10, 2010

$3,500,000,000: Cost of cleanup of Exxon Valdez spill, with another $5 billion in lawsuits and settlements.

$2,400,000,000: Estimated annual economic impact of Louisiana seafood production.

37,691,000: Gallons spilled (day 51) based on high range of government estimates.

11,000,000: Number of gallons spilled by Exxon Valdez.

3,645,000: Gallons collected from Deepwater Horizon Oil Spill site as of June 9, 2010.

30,000: Number of claims made to BP (through contractor ECIS) by individuals and businesses for lost income or damages.

19,000: Number of claims paid by BP (through contractor ECIS) to individuals and businesses for lost income or damages.

19,000: Estimated barrels of oil per day (12,000 - 19,000) shooting out of 2 leaks the bent and broken pipes at the Deepwater Horizon Oil Spill site.

18,000: Number of checks issued by BP as of June 7, 2010, totaling $49 million. Average $2,720 per check.

1,900: Number of people employed in Louisiana in the frozen fish and seafood industries. 2,300 people are employed in the seafood canning industry. This totals 25% of the food manufacturing industry in Louisiana (17,000 people).

1,500: Number of Coast Guard reservists mobilized and moved to positions in Louisiana and elsewhere on the Gulf Coast as part of President Barack Obama’s promise to triple the manpower fighting the Deepwater Horizon oil release.

700: Number of individuals hired by ECIS operating in 25 offices on the Gulf Coast by BP contractor, ECIS to handle individual and business lost income or damages claims.

400: Number of species that live in the Louisiana’s islands and marshlands, including gulls, pelicans, roseate spoonbills, egrets, terns, and blue herons.

322: Number of sea turtles pulled out of the Gulf since the oil spill began. 50 were alive; 272 were dead, and 3 have been released, according to the Unified Area Command compilation from various sources.

134: Number of years P&J Oyster Company has been in business. As of June 10, 2010, company has shut down shucking operations.

80%: Business volume decrease at Bridge Side Marina in Grad Isle, Louisiana, owned by Buggie Vegas.

67: Number of oil spill workers treated since May 31, according to West Jefferson Medical Center, which has a first aid tent at Grand Isle. 98% of the workers seeking aid are because of the heat. 105 -110 is the Heat Index reported by the National Weather Service in Grand Isle.

42: Number of gallons in one barrel of oil.

21: Total number of payment of more than $5,000 paid by BP to Louisiana individuals or businesses.

17: Number of the deepwater drilling rigs in Louisiana waters that have pulled up their drills in the first week of the moratorium.

11: Number of men who died in the explosion on April 20, 2010 at the BP.

5: Species of Gulf sea turtles that face grave danger due to oil spill. All of the gulf sea-turtle species are already endangered because the oil spill threatens their population at every state of life, according to Oceana, an international organization for ocean conservation.

3: Number of the 6,100 claims paid by BP in Louisiana larger than $5,000, according to Curt Eysink, executive director of the Louisiana Workforce Commission.

0: Number of the 6,100 claims paid by BP in Louisiana larger than $10,000, according to Curt Eysink, executive director of the Louisiana Workforce Commission.

(Communities Living On The Horizon, Louisiana Justice Institute: Quick Facts About the Spill)

Jordan Wants To Build Commercial Nuclear Power Plants

There are no operating commercial nuclear power plants in the Middle East. Iran's Bushehr plant could come online soon if the Israelis do not bomb it. India has 8 commercial nuclear plants and India has 8 commercial nuclear power plants.

The Kingdom of Jordan wants to build nuclear power plants and is negotiating a nuclear-cooperation agreement that would allow American firms to export nuclear components and know-how. The U.S. is demanding that Jordan not produce its own nuclear fuel. Jordan is allowed to produce its own nuclear fuel as a signatory to the United Nations Nonproliferation Treaty (NPT) and is reluctant to surrender that right. Jordan recently discovered big deposits of uranium ore. The discovery outside of Amman was made in 2007 and the deposit is estimated to be at least 65,000 tons of uranium ore.

Jordan is 95% dependent on imported oil and has among the world's smallest reserves of potable water. The Center promotes utilizing commercial nuclear power for desalination. Jordan hopes to use its projected four nuclear power plants to begin exporting electricity to neighbors including Iraq and Syria by 2030 and to commercially mine and export uranium. The Jordan Atomic Energy Commission is located in Amman, the capital of Jordan.

Jordan's King Abdulla
The U.S. prefers that Jordan would not process any nuclear fuel itself, but could still produce and export electricity by buying the fuel for its reactors on the international market. U.S. officials argue if Jordan doesn't surrender its rights to produce fuel, it raises proliferation risks. Countries with the complete nuclear fuel cycle—from mining uranium to processing it into fuel—can convert their civilian plants for military applications. Such fears could hamstring Washington's ability to win necessary Congressional approval for a nuclear cooperation agreement with Jordan. Last year, Congress approved a similar deal with the United Arab Emirates only after the country agreed to buy its nuclear fuel overseas. Under terms of the U.S. agreement, Jordan could mine the ore but not convert it into fuel for nuclear power. Jordan could pursue its nuclear ambitions without the U.S., but would face steep diplomatic and financial hurdles.

The U.S. is a member of the Nuclear Suppliers Group, a Vienna-based body aimed at controlling the flow of nuclear technologies internationally. Many reactors from France, Japan and Canada contain significant U.S. components and would require Washington's approval for a sale. (WSJ, 6/12/2010, Power Plants Around the World)

Relief Wells

Click on image to enlarge
A drilling rig drills a relief well or second well to intersect the original, flowing well as deeply as possible. A specialized heavy liquid is then pumped into the flowing well to bring it under control. This liquid is denser than oil and so exerts pressure (known as hydrostatic pressure) to stem the flow of oil.

Once the flow is stopped, the well can be returned to a safe condition. Drilling a well of this nature presents many technical challenges to ensure that the flowing well is intersected in the right position and that the fluid pumping operations are effective.

The Obama administration insisted that BP drill a second relief well in case there were problems with the first well. It is anticipated that the wells will be completed sometime in August or September. Relief wells of this type usually work, but critics state that there is no guarantee that the relief wells will work. The Center is recommending that two relief wells should be included with drilling at the 33 pending deepwater wells currently under a 6-month stop-work moratorium. The moratorium should be lifted. The Center opposes expanded offshore drilling. (BP)

Center Establishes Criteria for Hydraulic Fracturing

Center Criteria for Evaluating Hydraulic Fracturing Projects

The Center has developed criteria for evaluating hydraulic fracturing projects.

The Center utilizes each criterion, combined with development project criteria, in determining whether it will support specific fracking projects.

1) Project not within 5 miles of a community underground or surface drinking water source.

2) Project is within 5 miles of a community underground or surface drinking water source.

3) Property owners dependent upon ground or surface water drinking supplies in 5 mile zone sign support letter for project.

4) Offer free well testing to any well owner within the 5 mile zone.

5) Publish U.S. Geological Survey (USGS) aquifer information.

6) Disclose chemical constituents (but not proprietary chemical formulas) used in fracturing process.

7) Voluntary agreement posted on corporate governance to disclose proprietary chemical formulas or specific chemical identity to physician in the event of a medical emergency (with appropriate confidentiality protections).

8) Utilize less toxic or nontoxic substitute chemicals.

9) Complete containment of all drilling wastes within flowback water handled at the well pad.

10) Reasonable buffer between well pad and flowback containment and any surface water body.

In addition to these criteria specifically targeted to hydraulic fracturing projects, the Center also has general criteria for supporting or opposing development projects.

Center Criteria For Supporting or Opposing Development Projects

1. Is the project environmentally damaging?
2. If the project is environmentally damaging, is the damage significant?
3. Does the project promote sprawl?
4. Does the project harm vulnerable communities?
5. Is the project outside of a smart growth area?
6. Does the project cause economic disadvantage or have any negative or biased economic consequences?
7. Are there many environmentally damaging projects in the area?
8. Do the majority of residents in the region oppose the project?
9. Does the political decision-making body oppose the project?
10. Do environmental groups oppose the project?

The project is eligible for Center support if seven of the ten questions receive a 'no' answer.

Ambit Energy

Ambit Energy was founded in early 2006 by Jere Thompson and Chris Chambless as a retail energy company specializing in electricity and natural gas. In certain deregulated energy markets, they compete with the indigineous utility company by providing a cheaper energy unit rate.

In 2008, Ambit states that it recorded revenues of almost $200 million and nearly $325 million in 2009. Today, their existing customer relationships are managed by a well-trained, US-based Customer Care center. BlueNet manages all aspects of the customer life-cycle, from the utility transactions that take place between customers and transmission providers to web-based account management tools, to billing and collections.

The Center supports competition in the utility marketplace and discovered Ambit
Energy through one of its marketing consultants, Brenton C. Miller. Feel free to contact Mr. Miller if you are interested in alternative electricity or natural gas service. He can be reached at (240) 997-3566.

Obama Should Lift Moratorium on 33 Deepwater Rigs in Gulf

The Center opposes expanded offshore oil and gas drilling.

We support the current offshore oil and gas infrastructure, but are recommending a new saftety practice for deepwater wells: drilling two relief wells at each deep well site.

President Obama's 6-month moratorium on deepwater drilling on the Outer Continental Shelf affects 33 oil rigs that had "previously satisfied the rigors" of the Minerals Management Service's permitting process. The drilling moratorium was a response to BP's catastrophic oil spill in the Gulf of Mexico. President Obama should incorporate our proposal under current guidelines for offshore drilling as a cost of doing business. The two relief wells at each site will provide quintuple protection: 1) blowout preventer, 2) ram shear, 3) cement seal, 4) relief well, & 5) relief well. Oil workers in the Gulf should not be thrown out of work, which will only exacerbate the Louisiana's economy that will be significantly weakened by the oil spill disaster.

Moreover, the moratorium is based on claims that Secretary Salazar's report, which does not contain any facts, data, analysis or risk assessment concerning why he imposed the moratorium. All of the political leaders and most of the businesses, including seafood, support ending the moratorium. The moratium is simply a reaction to the Deepwater Horizon disaster. Again, our proposal solves the deepwater blowout problem in advance.

The oil industry employs roughly 58,000 workers in Louisiana, and its total of 260,000 oil-related jobs accounts for roughly 17 percent - one of every six jobs - in Louisiana, the state estimates. (Courthouse News Service, 6/11/2010)

Natural Gas Spill in Gulf of Mexico

PRESIDENT'S CORNER

By Norris McDonald

Oil is getting all of the attention in the Gulf spill, but there is a significant amount of natural gas spilling out of that pipe too. Let's use an estimate (and there are all kinds of estimates) of a 3000:1 gas to oil ratio at the well. That is 3000 cubic feet of gas for every barrel of oil. Estimates of the amount of oil leaking into the gulf are 25,000 to 70,000 barrels. There are 5.64 cubic feet of gas per barrel (Society of Petroleum Engineers). So that would mean there are 13.3 to 37.2 million "barrels" (barrels of oil equivalent) of gas being released each day.

When methane is released into the gulf it goes into solution and in the deep ocean. In natural processes, methane gas escapes from ocean floor fossil deposits and about half of that quantity is dissolved into the ocean water, however, the other half of the quantity is thought to escape into the Earth's atmosphere.

Natural gas (methane) (CH4) is a greenhouse gas that remains in the atmosphere for approximately 9-15 years. Methane is over 20 times more effective in trapping heat in the atmosphere than carbon dioxide (CO2) over a 100-year period and is emitted from a variety of natural and human-influenced sources (EPA).

Also, as was observed during the Deepwater Horizon containment dome capping attempt, methane mixed directly with water to form methane hydrates that blocked the funnel. Methane clathrate, also called methane hydrate, methane ice or "fire ice" is a large amount of methane trapped within a crystal structure of water, forming a solid similar to ice.

Who knows the permutations of the methane when combined with crude oil and dispersant. One thing is sure, the spill is emitting signifcant new amounts of methane into the atmosphere and ocean. Not to be picky, but will there be a penalty against Great Britain under its Kyoto Protocol emissions allowance?

Bottom line. Plug the leak as soon as humanly possible.

(Innereye, 5/18/2010, Softpedia, Wiki)

Senator Lugar Introduces Practical Energy & Climate Plan

U.S. Senator Richard G. Lugar introduced his Practical Energy and Climate Plan Act of 2010, S. 3464 at a press conference on June 9, 2010.

The bill

The updated outline

The two-page summary

Bill analysis

Press conference video

Energy Secretary Chu's letter

Senator Lugar's energy bill is not cap and trade. It focuses on saving people money on their energy bills, reducing foreign oil dependency, improving industrial competitiveness, diversifying energy choices, and better using domestic fossil fuel resources.

Senator Lugar's legislation will:

Reduce our foreign oil dependency;
Save Americans money on their energy bills;
Improve our industrial competitiveness;
Invest in cleaner and more diverse energy choices; and
Better use our domestic fossil fuel resources.

The plan reflects both Republican and Democratic proposals and will generate the following savings by 2030:

Cut foreign oil dependence by nearly 40 percent;
Decrease national energy consumption by 11 percent;
Reduce average household electric bills by 15 percent; and
Cut greenhouse gas emissions by 20 percent, or about 1.6 billion metric tons - the equivalent of taking more than 240 million cars off our highways.

Office of Senater Lugar

President Obama Meets With Business Leaders on Energy

President Obama met with business leaders and energy experts today to discuss energy reform. The guests included:

- Bill Gates of Microsoft
- Jeff Immelt of GE
- Ursula Burns of Xerox
- John Doerr of Kleiner Perkins
- Charles Holliday of Bank of America (chairman of the board) and DuPont
- Tim Solso of Cummins
- Jason Grumet of the Bipartisan Policy Center
- Hal Harvey of the ClimateWorks Foundation

The business leaders formed the American Energy Innovation Council (AEIC) to urge the United States to triple the research funding into clean energy like biofuels and car batteries to $16 billion per year, from $5 billion now. A report released AEIC today called for the increase in spending and the creation of an independent National Energy Strategy Board to coordinate federal energy research. The report also has three other recommendations:

1) Creating centers of excellence in energy innovation;

2) Increasing funding for the Energy Department's Advanced Research Projects Agency-Energy, which encourages "out-of-the-box" transformational energy research; and

3) Establishing a program for large-scale demonstration projects.

The business group was not endorsing any specific energy legislation, but wants the government to put a price on emitting greenhouse gases. (WSJ, 6/10/2010, Reuters, 6/10/2010)

Senate Votes Against Murkowski 'Disapproval Resolution'

The U.S. Senate voted 53-47 against Republican Alaska Senator Lisa Murkowski's 'Disapproval Resolution,' which would have stripped the U.S. Environmental Protection Agency of its authority to regulate greenhouse gases.

The Center opposed the resolution.