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Energy

Houses passes bill to protect domestic oil production, protect Iñupiat community

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Indigenous communities are advocating for economic development projects in the North Slope, explaining that more than 95% of their tax base comes from resource development infrastructure.

The U.S. House passed another a bill to advance domestic energy production, this time in response to cries for help from an indigenous community living in the Alaska North Slope.

The bill’s cosponsor, a Democrat from Alaska, did not vote for her own bill. It passed with the support of five Democrats, including two from Texas who are strong supporters of the U.S. oil and natural gas industry.

The U.S. House has advanced several bills and resolutions to support domestic U.S. oil and natural gas production, supported by Texas Democrats. They’ve done so after the Biden administration has taken more than 200 actions against the industry, The Center Square reported.

One includes the Department of the Interior restricting development on over 50% of the Arctic National Wildlife Refuge (ANWR), directly impacting the Iñupiat North Slope community.

The Alaska North Slope region includes a part of ANWR and National Petroleum Reserve-Alaska (NPRA). Both are home to the indigenous Iñupiat community who maintain that the Biden administration is trying to “silence indigenous voices in the Arctic.”

The plan to halt North Slope production was done through a federal agency rule change, a tactic the administration has used to change federal law bypassing Congress. The rule cancels seven oil and gas leases issued by the Trump administration in the name of “climate change.” Interior Secretary Deb Haaland said canceling the leases was “based on the best available science and in recognition of the Indigenous Knowledge of the original stewards of this area, to safeguard our public lands for future generations.”

The indigenous community strongly disagrees, saying they weren’t consulted before, during or after the rule change.

Nagruk Harcharek, president of the Voice of Arctic Iñupiat, a nonprofit that represents a collective elected Iñupiaq leadership, says the administration’s mandate “to ‘protect’ 13 million acres of our ancestral homelands was made without fulfilling legal consultative obligations to our regional tribal governments, without engaging our communities about the decision’s impact, and with an incomplete economic analysis that undercuts North Slope communities.”

He argues the administration has overlooked “the legitimate concerns of elected Indigenous leaders from Alaska’s North Slope. This is a continuation of the onslaught of being blindsided by the federal government about unilateral decisions affecting our homelands.”

Restricting NPR-A oil production is “yet another blow to our right to self-determination in our ancestral homelands, which we have stewarded for over 10,000 years. Not a single organization or elected leader on the North Slope, which fully encompasses the NPR-A, supports this proposed rule,” he said, adding that they asked for it to be rescinded.

In response, U.S. Reps. Mary Sattler Peltola, D-Alaska, and Pete Stauber, R-Minn., introduced HR 6285, “Alaska’s Right to Produce Act.” The U.S. House Committee on Natural Resources Subcommittee on Energy and Natural Resources held a hearing on the issue; members of the Iñupiat Community of the Arctic Slope and the Kaktovik Iñupiat Corporation testified.

Kaktovik Iñupiat Corporation president Charles Lampe said they “refuse to become conservation refugees on our own homelands and unapologetically stand behind the Alaska’s Right to Produce Act.”

The Kaktovik is the only community located in the ANWR. The North Slope Iñupiat have stewarded their ancestral homelands for thousands of years, predating the creation of the U.S. federal government, the Interior Department and the state of Alaska, they argue.

The indigenous communities are advocating for economic development projects in the North Slope, explaining that more than 95% of their tax base comes from resource development infrastructure. Tax revenue funds public school education, health clinics, water and sewage systems, wildlife management and research and other services that otherwise would not exist, they argue. Eliminating their tax base, will directly impact their lives and jeopardize their long-term economic security, they argue.

The House passed Alaska’s Right to Produce Act on Wednesday to reverse the rule change and establish the Coastal Plain oil and gas leasing program. It authorizes and directs federal agencies to administer oil and natural gas leasing on 13 million acres of public land in the North Slope.

The bill passed by a vote of 214-199 without the support of its Democratic cosponsor from Alaska, Peltola, who voted “present.”

Five Democrats voted for it: Sanford D. Bishop, Jr. of Georgia, Henry Cuellar and Vincente Gonzalez of Texas, Jared Golden of Maine and Marie Gluesenkamp Perez of Washington. One Republican voted against it, Rep. Brian Fitzpatrick of Pennsylvania.

After it passed, Harcharek said, “Since the Biden administration announced this decision in September, our voices, which overwhelmingly reject the federal government’s decisions, have been consistently drowned out and ignored. This administration has not followed its well-documented promises to work with Indigenous people when crafting policies affecting their lands and people. We are grateful to Congress for exercising its legislative authority to correct the federal government’s hypocrisy and advance Iñupiaq self-determination in our ancestral homelands.”

Kaktovik Mayor Nathan Gordon, Jr. said the administration “is regulating our homelands in a region they do not understand and without listening to the people who live here.” The new law is “a vital corrective measure that will prevent our community from being isolated and protect our Iñupiaq culture in the long term.”

The bill heads to the Democratic controlled Senate, where it is unlikely to pass.

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Daily Caller

Pipelines and Energy Top Priorities for Trump’s Interior Secretary

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North Dakota Gov. Doug Burgum speaks to the Republican National Convention, July 17, 2024. (Screen Capture/CSPAN)

 

From the Daily Caller News Foundation

By Adam Pack

Senate Overwhelmingly Confirms Doug Burgum As Trump’s Interior Secretary

The Senate confirmed former North Dakota Gov. Doug Burgum in a bipartisan fashion to lead President Donald Trump’s Department of Interior Thursday evening.

Senators overwhelmingly approved Burgum’s nomination 79 to 18. Three senators did not vote. Under the prior administration, we went from a nation of energy dominance to a nation of energy dependence.

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America is an energy superpower. We should act like it. @DougBurgum and @ChrisAWright_ are America’s energy all-stars. I strongly support their nominations. pic.twitter.com/3o4xuan31r

— Sen. John Barrasso (@SenJohnBarrasso) January 30, 2025

Senate Republicans endorsed Burgum’s nomination, saying he was committed to reversing the work of his predecessor, former Interior Secretary Deb Haaland, to restrict energy resources. Haaland worked to block oil and gas leasing in development in Alaska.

“Governor Burgum knows that America’s natural resources are our greatest national asset,” Senate Majority Leader John Thune said Wednesday on the Senate floor prior to Burgum’s confirmation vote. “Too often, under the Biden administration, the Interior Department was the tip of the spear in restricting development of America’s resources.”

Burgum promised to prioritize energy abundance during his leadership over the Interior Department.

“The American people clearly placed their confidence in President Trump to achieve Energy Dominance,” Burgum wrote in his opening remarks to the Senate Energy and Natural Resources (ENR) Committee during his confirmation hearing on Jan 16. “Energy Dominance is the foundation of historic American prosperity, affordability for American families, and unrivaled national security.”

“President Trump’s Energy Dominance vision will end wars abroad and make life more affordable for every family by driving down inflation,” Burgum added. “President Trump will achieve these goals while championing clean air, clean water, and our beautiful land.”

Burgum won the support of a majority of Senate Democrats, including Democratic New Mexico Sen. Martin Heinrich who serves as the lead Democrat on the Senate ENR Committee.

“I clearly do not agree with Governor Burgum on every issue,” Heinrich wrote in a statement on Jan. 23. “However, I voted to confirm Governor Burgum’s nomination for Interior Secretary because I have found that a healthy relationship with the Secretary of Interior is critical to securing the best outcomes for the State of New Mexico.”

Trump has tasked Burgum with leading a newly-created interagency National Energy Council to cut regulations affecting the energy sector and harness private sector investment related to energy innovation. The president also appointed Burgum to a seat on the National Security Council, a rare appointment for an energy secretary.

Burgum served two terms as North Dakota’s governor beginning in December 2016. He launched a presidential run in June 2023, but struggled to gain traction and suspended his campaign that December. He endorsed Trump in January 2024 and served as a campaign surrogate throughout the remainder of the race.

Thune teed up confirmation votes Thursday evening on energy executive Chris Wright to lead the Department of Energy and former Republican Georgia Rep. Doug Collins to lead the Department of Veterans’ Affairs.

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Canadian Energy Centre

Why Canadian oil is so important to the United States

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From the Canadian Energy Centre

By Deborah Jaremko

Complementary production in Canada and the U.S. boosts energy security

The United States is now the world’s largest oil producer, but its reliance on oil imports from Canada has never been higher.

Through a vast handshake of pipelines and refineries, Canadian oil and U.S. oil complement each other, strengthening North American energy security.

Here’s why.

Decades in the making

Twenty years ago, the North American energy market looked a lot different than it does today.

In the early 2000s, U.S. oil production had been declining for more than 20 years. By 2005, it dropped to its lowest level since 1949, according to the U.S. Energy Information Administration (EIA).

America’s imports of oil from foreign nations were on the rise.

But then, the first of two powerhouse North American oil plays started ramping up.

In Canada’s oil sands, a drilling technology called SAGD – steam-assisted gravity drainage – unlocked enormous resources that could not be economically produced by the established surface mining processes. And the first new mines in nearly 25 years started coming online.

In about 2010, the second massive play – U.S. light, tight oil – emerged on the scene, thanks to hydraulic fracturing technology.

Oil sands production jumped from about one million barrels per day in 2005 to 2.5 million barrels per day in 2015, reaching an average 3.5 million barrels per day last year, according to the Canada Energy Regulator.

Meanwhile, U.S. oil production skyrocketed from 5.5 million barrels per day in 2005 to 9.4 million barrels per day in 2015 and 13.3 million barrels per day in 2024, according to the EIA.

Together the United States and Canada now produce more oil than anywhere else on earth, according to S&P Global.

As a result, overall U.S. foreign oil imports declined by 35 per cent between 2005 and 2023. But imports from Canada have steadily gone up.

In 2005, Mexico, Saudi Arabia, Venezuela and Nigeria together supplied 52 per cent of U.S. oil imports. Canada was at just 16 per cent.

In 2024, Canada supplied 62 per cent of American oil imports, with Mexico, Saudi Arabia and Venezuela together supplying just 14 per cent, according to the EIA.

“Light” and “heavy” oil

Canadian and U.S. oil production are complementary because they are different from each other in composition.

Canada’s oil exports to the U.S. are primarily “heavy” oil from the oil sands, while U.S. production is primarily “light” oil from the Permian Basin in Texas and New Mexico.

One way to think of it is that heavy oil is thick and does not flow easily, while light oil is thin and flows freely – like orange juice compared to fudge.

The components that make the oil like this require different refinery equipment to generate products including gasoline, jet fuel and base petrochemicals.

Of the oil the U.S. imported from Canada from January to October last year, 75 per cent was heavy, six per cent was light, and the remaining 19 per cent was “medium,” which basically has qualities in between the two.

Tailored for Canadian crude

Many refineries in the United States are specifically designed to process heavy oil, primarily in the U.S. Midwest and U.S. Gulf Coast.

Overall, there are about 130 operable oil refineries in the United States, according to the American Fuel and Petrochemical Manufacturers.

The Alberta Petroleum Marketing Commission (APMC) estimates that 25 consistently use oil from Alberta.

According to APMC, the top five U.S. refineries running the most Alberta crude are:

  • Marathon Petroleum, Robinson, Illinois (100% Alberta crude)
  • Exxon Mobil, Joliet, Illinois (96% Alberta crude)
  • CHS Inc., Laurel, Montana (95% Alberta crude)
  • Phillips 66, Billings, Montana (92% Alberta crude)
  • Citgo, Lemont, Illinois (78% Alberta crude)

Since 2010, virtually 100 per cent of oil imports to the U.S. Midwest have come from Canada, according to the EIA.

In recent years, new pipeline access and crude-by-rail have allowed more Canadian oil to reach refineries on the U.S. Gulf Coast, rising from about 140,000 barrels per day in 2010 to about 450,000 barrels per day in 2024.

U.S. oil exports

The United States banned oil exports from 1975 to the end of 2015. Since, exports have surged, averaging 4.1 million barrels per day last year, according to the EIA.

That is nearly equivalent to the 4.6 million barrels per day of Canadian oil imported into the U.S. over the same time period, indicating that Canadian crude imports enable sales of U.S. oil to global markets.

Future outlook

Twenty-five years from now, the U.S. will need to import virtually exactly the same amount of oil as it does today (7.0 million barrels per day in 2050 compared to 6.98 million barrels per day in 2023), according to the EIA.

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