Unconventional Oil – A Bad Investment
Try as they might, tar sands and oil shale will never be profitable without using massive amounts of public money to prop up their business models. With low oil prices and a very risky political climate, these upstart companies are having an impossible time securing investors to move forward with their projects.
We are winning, slowly, determinedly, and with lots of fun, by creating a risky business atmosphere for these foolish ventures. Lawsuits slow the process, direct action slows the progress, oil prices fluctuate, and now–with the recent announcement by US Oil Sands that they are drastically slowing down construction of the PR Springs tar sands mine–we have some room to breathe.
But, while the companies lay off workers and bide their time, leaving vast areas in the process of being strip mined, they are also working in our County Governments, in UDOT, with SITLA, and with the CIB to take millions of dollars of public money and spend it on infrastructure that these failing startup companies need. Right now, we need to challenge all of these institutions. We need our money to go towards locally driven, community controlled alternative energy projects, public transportation, and food security, not wasted on a dying, speculative industry that would change our climate beyond imagination.
Tar Sands and Oil Shale Projects on hold or significantly slowed due to “bust”:
Ambre Energy Oil Shale – Colorado (sold to Red leaf Resources and now on hold)
What they’re up to the in the meantime (points of intervention):
Bookcliffs Highway – a proposed $3 million/ mile highway connecting the P.R. Spring Tar Sands Mine and Red Leaf Resources to I-70. They currently have no way to get product to market, thus the projects are not viable. The Six County Infrastructure Coalition is trying to secure public money for this project from the State. The Grand County Transportation Special Service District will host a presentation about this on February 11th at 6 p.m. at the Grand Center, 182 North 500 West.
Six County Infrastructure Coalition – “The Coalition’s mission is to plan infrastructure corridors, procure funding, permit, design, secure rights-of-way and own such facilities. Operation and maintenance of these assets will likely be outsourced to third parties,” taken from the SCIC website. This is an industry-sponsored spin on local government. They function to funnel public money to benefit a few private corporation in the oil, gas, tar sands, fracking, potash, coal, and oil shale industries.
MCW is working to obtain “full production” permits from the state to move into continuous production mode and is in the process of implementing several Utah Government recommendations with regards to trucking activities on and off its lease site at Asphalt Ridge.
Enefit – Must soon give up its federal research lease with the state or prove it is making headway towards commercial production. Enefit is going through a BLM process to build a utility corridor to the site which will deliver water, power and natural gas to the Enefit operation and move crude out through a 16-inch pipe.
Red Leaf Resources – Closed up shop, but says they’ll be in full scale production by 2017 with production by 2018.