FMC Commissioner Gives Keynote on Panama Canal

MarineLink.com
Friday, September 20, 2013
Commissioner Doyle: Photo in public domain

Commissioner William P. Doyle of the Federal Maritime Commission, has given the keynote address at the Eno Center for Transportation Forum on the Panama Canal entitled: Lessons Learned and Implications for World Commerce.  His comments on the future of the canal's LNG trade are also extracted below.

Commissioner Doyle noted that the Obama Administration, members of Congress and state and local officials support the tremendous economic, business, job-supporting, energy and transportation related opportunities the expanded Canal will bring to the United States.

The Commissioner also addressed:  The Administration’s efforts to expedite regulatory reviews of infrastructure projects, the Panama and Suez trade routes, recent progress on discussions for slot and transit fees associated with the expanded Canal, and LNG export potential through the Canal.  

Extract from the speech: LNG Exports — Preparing for the Expanded Canal
"I would like to provide an example of a new type of U.S. manufactured export product that could really benefit from the expansion of the Panama Canal.

Not long ago the United States was positioning itself to be the world’s largest importer of natural gas. In 2006 there were approximately 50 proposed liquefied natural gas (LNG) import projects in some stage of regulatory review. 20 The U.S. was on the verge of becoming ever more reliant on the Middle East for its natural gas.

That all changed in 2008 when the independent natural gas producers in the U.S. proved that abundant amounts of natural gas could be extracted and produced from shale basins in places like the Pennsylvania, Ohio and West Virginia. Indeed, these producers perfected the technique known as horizontal multistage hydraulic fracturing.

Today, the U.S. has not only slashed its imports of natural gas from overseas, but we are on the verge of becoming a major competitor on the supply-side of natural gas through our LNG exports.

The world’s largest market for liquefied natural gas is Asia. As it stands now, South Korea and Japan are the largest importers of LNG. In the coming years, China may be added to that list.

With the Dominion Cove Point decision issued by the Department of Energy last Wednesday, the Obama administration has now authorized 6.37 billion cubic feet of liquefied natural gas to be sold overseas. 24 Dominion, located in Maryland, is the first East Coast export project that has been approved and it is the closest terminal to Appalachia’s Marcellus and Utica shale formations.

Previously, the Energy Department approved conditional export licenses to three Gulf Coast terminals: Lake Charles, Louisiana project, as well as the Freeport LNG project on Quintana Island, Texas, and, in 2011, Houston-based Cheniere Energy’s Sabine Pass facility in southwest Louisiana.

How do we get the domestically produced natural gas into the export market?

Once the expanded Panama Canal opens, the distance to ship U.S. natural gas from the Gulf Coast of the United States to Asia will decrease by 9,000 miles. 25 Only 21 of the existing global fleet of 370 LNG tankers can currently fit through the Panama Canal. 26 None use the Canal.

However, more than 80 % of the tankers will be able to make the passage through the Canal once the widening is complete (Platou Consultants). 27 The U.S. will be competing with Australia, Russia, East Africa and the Middle East as a natural gas supplier for Asia. The development of U.S. natural gas resources, together with the Panama Canal Expansion, will have a transformative impact on the U.S. energy and transportation landscape, helping to improve our energy security while spurring economic development and job creation around the country."

The full speech is available at:
http://www.fmc.gov/commissioner_doyles_keynote_address_to_the_eno_center_for_transportations_forum_on_the_panama_canal/
 

Maritime Reporter August 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

China Passes New Pollution Law, Will Cap Coal Consumption

Legislators have approved amendments to China's 15-year-old air pollution law that grant the state new powers to punish offenders and create a legal framework to cap coal consumption,

Marad Celebrates Deployment of Maritime Fuel Cell Project

The U.S. Department of Transportation’s Maritime Administration (MARAD) today celebrated the launch of field trials for the first prototype hydrogen fuel cell

Gazprom, OMV Meet on Establishing Nord Stream JV

At a Meeting held at the Gazprom headquarters between Alexey Miller, Chairman of the Company's Management Committee and Rainer Seele, Chairman of the Executive Board of OMV,

Tanker Trends

Med Crude-Russian Urals Edges Lower in Med, Baltic

Russian Urals crude weakened in the Mediterranean and in the Baltic on Friday, while trading activity was limited ahead of a long holiday weekend in Britain, traders said.

Oil Plunge Deepens High-yield Gloom

US crude fell to a more than six-year low this week, clouding the picture for a high-yield energy sector that already faces a significant cull when credit lines are reevaluated in autumn.

Oil Soars in Biggest One-day Rally in Years

Oil rocketed as much as 10 percent higher on Thursday, posting its biggest one-day rally since 2009 as recovering equity markets and news of diminished crude supplies

LNG

Gazprom, OMV Meet on Establishing Nord Stream JV

At a Meeting held at the Gazprom headquarters between Alexey Miller, Chairman of the Company's Management Committee and Rainer Seele, Chairman of the Executive Board of OMV,

Volvo Penta Debuts Marine Gas Sterndrive Engines

Volvo Penta today unveiled its new family of next-generation 5.3L V8 gasoline engines for the marine sterndrive market in a press preview at the company’s Test Center in Suffolk, Va.

Oil Steadies as Equities Rally

Recovering stock markets boost oil prices; U.S. crude on track for first weekly gain in nine weeks. Oil prices steadied on Friday after bouncing back from six-and-a-half-year

Government Update

Iranian Ship, Crew Escape Captivity off Somali Coast

An Iranian fishing vessel and its crew have escaped after being held captive for five months by Somali fishermen, maritime piracy experts said on Friday, but it

Migrant Boat Sinks off Libya; 200 Feared Dead

A boat packed with mainly African migrants bound for Italy sank off the Libyan coast on Thursday and officials said up to 200 might have died. A security official in the western town of Zuwara,

Oil Steadies as Equities Rally

Recovering stock markets boost oil prices; U.S. crude on track for first weekly gain in nine weeks. Oil prices steadied on Friday after bouncing back from six-and-a-half-year

Logistics

Gazprom, OMV Meet on Establishing Nord Stream JV

At a Meeting held at the Gazprom headquarters between Alexey Miller, Chairman of the Company's Management Committee and Rainer Seele, Chairman of the Executive Board of OMV,

Migrant Boat Sinks off Libya; 200 Feared Dead

A boat packed with mainly African migrants bound for Italy sank off the Libyan coast on Thursday and officials said up to 200 might have died. A security official in the western town of Zuwara,

Oil Steadies as Equities Rally

Recovering stock markets boost oil prices; U.S. crude on track for first weekly gain in nine weeks. Oil prices steadied on Friday after bouncing back from six-and-a-half-year

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Salvage Ship Electronics Ship Repair Ship Simulators
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.3689 sec (3 req/sec)