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Thursday, July 10, 2014

How Much Oil?


Many Alaskans have no idea what the “Oil” business is all about, except when it comes to cashing in on that “PFD” welfare check. In fact, many wannabe visitors have a better grasp on the history of this state then do local residents, as to prepare for a timely and costly trip – more like a voyage – to the “Last Frontier”, it means “Go Study, young man then Go North, young man”! And isn't it refreshing now that Sarah Palin is out of the limelight and not the focus of attention that was for awhile disrupting the notion of what Alaska is all about? So back to oil, I've been there and done that, and from discovery to production it has been a monumental undertaking – by many dedicated workers. Many of us have braved the “Last Frontier” and involvement in the oil fields time enough to raise a family that are now raising families of their own! It has been almost a generational thing, and the reason still for no interest in a state income or sales tax – as the “Black Gold” resource is still paying and paving the way for many things of luxury. Too bad we don't treat “gold & coal” for the same benefit, as the exemptions on the latter resources brings very little income into this state, yet it is mined all the time. Hey, the main reason that “Big Oil” gets upset over taxation, in comparison it just ain't fair as a resource is a resource and the benefit should belong to the citizens, not a benefit to Joe Uselessbelli.


And in efforts to place the Alaskan oil scene in perspective, the picture above shows “workers” atop one of the 18-crude oil storage tanks in Valdez – where oil from the North Slope travels down the Trans-Alaska-Pipeline to rest before being delivered to tankers destined for the West Coast refineries. Look at the size of that tank in comparison to the “workers” looking like ants! These tanks are 250-ft in diameter and 60-ft high, allowing each tank to hold 550,000 barrels of crude oil – or the equivalent of 23-million gallon milk jugs. With 18-tanks on location, the Valdez Marine Facility could hold 10-million barrels, or enough to fill 10 Joe Hazelnut sized tankers. Sorry to bring up that tragedy, but with so many years without bad news, one rotten apple seems to spoil all the pride. And prior to Joe finding Bligh Reef a “hard aground” obstacle, the accumulation of snow on the tanks was not a problem, as the oil at one time came into Valdez at 90 degrees Fahrenheit - so the tanks acted as gigantic like reflective heat sources. In fact, on a cold but sunny Valdez day that is where we went for lunch breaks, lay out on the top of a tank, just like going to the beach. And some of the female workers braved the “Topless” routine! That was the good old days, when the Trans-Alaska-Pipeline saw over 2-million barrels each day rolling like a river down that pipeline. When the tanks were being filled then emptied faster then white lightning set ablaze, wherein that activity allowed the tanks to breath vapors like a fire breathing dragon in excess of 10,000 barrels each month, but instead of utilizing that stuff, it was annihilated in an oven – enough energy to heat the city of Anchorage! But the breathing allowed the crude to stabilize and be fit for entry into the lower-48 ports due vapor limitations that could wreak havoc on the environment. It was the time in Alaska's history when 12-pumping stations were active and employing many workers. But today, after some 35-years of depletion, there is only a fraction left to extract and the reason Alaska is no longer “King” in the category of oil production. Today, many of those humongous tanks have been moth-balled and along the pipeline - once considered the engineering marvel of the century - today only 4-pumping stations remain in operation. And those jet-engine driven pumping stations that have been closed, also moth-balled which means “Big Oil” sees no bright future like we had seen before. Will we ever see Alaska bathing in that limelight again, with resource development? Well we still have “gas”, enough to fuel the lower-48 for decades. Will it ever become valuable to our friends and neighbors down in the lower-48 and create another “Boom”? One day, when the “FRAC” crews pump a little too much cancer causing chemical radicalized water into the earth's core and it breaches a tunnel and burps out “crap” underneath one of the Great Lakes, and that lake starts to drain, then we have a problem and all that natural gas will be required to fuel desalinization plants for drinking water now totally contaminated by stuff that finds no place stuffed into every nook'n cranny underground. In fact, we may one day see both a natural gas pipeline heading south along with a water pipeline, as “FRACING” is bad business, because it is a science moving “Fast and Furious” in a place and upon a piece of the earth that needs not such abuse - like the underground has become a giant cesspool. Look, “FRACING” takes millions upon millions of gallons of water contaminated with chemicals that would vaporize your skin, flesh and bones by just a minute drop getting misplaced. And the pressure that is required to break open “rock”, a stream the size of a hair diameter would slice through a human like a laser. You would never see it or feel it but would be dead quicker then an inmate on death row without a stay. You think all those chemicals are “Food Grade”, well that red “Haliburton” truck heading down the highway, if that stuff ever went loose humans would go missing in action, yes vaporized so no evidence! And if we had an EPA that didn't run scared of a Corporate Congress threatening “Contempt” if someone blows the whistle, “FRACING” would be paying its way for allowing its after-birth to be disposed of properly, instead of todays out-of-sight and out-of-mind mentality - but with the amount of contaminated water that enters the earth's core following a “FRAC” job, it would bankrupt the industry. And so out-of-control it is, “FRACING” has become the saving grace for starving states, as lawless boom towns are cropping up all across the Dakotas, Wyoming, Colorado and Utah and haste still makes waste! In perspective, “FRACING” reminds me of Sarah Palin, a quick remedy with zero credibility and when it comes to taking responsibility for action or inactions detrimental, middle finger pointing seems to work wonders. So I am glad I was an oil field worker before this “FRACING” madness took over, when we did the exploration and exploitation stuff seemingly in the right way in comparison, even though sometimes we had to learn from our mistakes - which we did. Not the case today, as to refuse to tell the citizens what is going underground, that is total irresponsibility, as what are they all afraid of? So “kurtosis” to the Alaska Oil & Gas Commission, as they have set the stage for very tough “FRACING” rules and regulations, for now that is! It will just be a matter of time when good intentions interfere with the Juneau objective, which still finds cronyism and corruption the way of the town without a decent road in so the citizens can find out what is going on, even when we had enough money to move the damn corruption closer to home – as we were too damn busy in the oil fields and trying to make Alaska what the “Bush Rat” intended, sorry boss!

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