Sen. Lyman Hoffman Looks Ahead
Johanna Eurich, KYUK, December 26, 2018
“The other third rail that is going to receive a lot of attention is what are we going to do with the gas line. Over the last eight years, we spent over $1 billion in studies and working towards permits. So, we have the Alaska LNG line that I think we need to make sure we get permits for. We’re really close to that, and it’s going to take some $20 million in order to accomplish that.”
Our Take: Is the Senate planning to add money to the budget for Alaska LNG? Is the new Governor on board with this approach? Governor Walker’s final budget included $10 million for the project.
China says direct trade talks with U.S. in January, pledges more opening
Yawen Chen, Ryan Woo, Reuters, December 27, 2018
China and the United States have made plans for face-to-face consultations over trade in January, the Chinese commerce ministry said on Thursday, as the world’s two biggest economies advanced efforts to resolve a months-long trade war. Consultations through “intensive” telephone calls will continue in the meantime, Gao Feng, spokesman at the commerce ministry, told reporters, adding that talks have been steadily moving forward despite the Christmas break in the United States.
Only One Company in S & P’s 500 Energy Index is Up for the Year
Simon Casey, Bloomberg, December 26, 2018
In a measure of how badly U.S. energy equities have fared this year, only one company in Standard and Poor’s 500 Energy Index has posted a year-to-date gain. ConocoPhillips is up 3.9 percent this year through Monday’s close, while the other 29 members of the index are in negative territory.
American energy companies have spent billions of dollars in the past decade exploring for natural gas. But in parts of Texas and New Mexico, there is now so much of it that it is sometimes worthless. Some companies have even had to pay buyers to take it away. Shale drillers in the Permian Basin are producing vast amounts of gas as a byproduct of prospecting for oil. But there aren’t enough pipelines to take all the gas to market, causing some of it to become landlocked, and sending local prices into free fall.