US NORTHWEST COAL EXPORTS WYOMING BUSINESS REPORT ENERGY SUMMIT. By Ken Miller Wyoming Infrastructure Authority May 18 th 2017 Cheyenne, Wyoming

Transcription

1 US NORTHWEST COAL EXPORTS WYOMING BUSINESS REPORT ENERGY SUMMIT By Ken Miller Wyoming Infrastructure Authority May 18 th 2017 Cheyenne, Wyoming

2 Agenda Millennium Development Plan and Permitting Update Quick Review Facility / Permit Proposal SEPA FEIS Complete! NEPA Update Asian Market Market overview for Japan / So Korea US Strategic Partners Japan IGCC Technology

3 RAIL MEETS DEEP WATER BNSF UP Source: The Oregonian

4 Millennium Bulk Terminals Longview Existing Facility

5 Millennium Bulk Terminals Longview Existing Facility

6 COAL EXPORT TERMINAL PROJECT STATISTICS Stage 1 25 Million Tonnes / Year capacity 2 Docks 1 Shiploader - 5 Train Parking Slots 750,000 Tonne stockpile area $400 Million Capital Expenditure Stage 2 44 Million Tonnes / Year capacity 2 Docks 2 Shiploaders - 8 Train Parking Slots 1.5 Million Tonne stockpile area $650 Million Capital Expenditure

7 Millennium Coal Export Terminal

8 Permit Journey

9 Coal Dust Findings While the average and maximum monthly deposition of coal dust on the BNSF main line in Cowlitz County (50 and 100 feet, respectively) and Columbia River Gorge (50 feet) was estimated to be above the benchmark used for the analysis, no state or federal standards apply, and this would be an unavoidable but not significant impact. Overall, the impacts of PM10 and PM2.5 emissions from Proposed Action-related trains would not be significant because emissions would be below applicable federal and state air quality standards.

10 GHG Finding GHG emissions outside of Cowlitz County during operations attributable to the Proposed Action would be driven primarily by coal combustion in Asia and the United States. Across the four scenarios, emissions greatly vary. Under the preferred scenario, the average net annual emissions related to the Proposed Action during the full operation from 2028 through 2038 would be an increase of 1.99 million metric tons of CO2e per year. The preferred scenario, also called the US and International Energy Policy Scenario, used to calculate the amount of GHG attributed to the Millennium Project was based on the Draft CPP and the goals of the US-PRC climate negotiations.

11 GHG Mitigation the Applicant will prepare a greenhouse gas mitigation plan that mitigates for 100% of the greenhouse gas emissions identified in the 2015 U.S. and International Energy Policy scenario. For operations at maximum capacity this is 1.99 million metric tons CO2e per year from 2028 through The plan must be approved by Ecology. For mitigation that occurs in Cowlitz County, the plan will be approved by Cowlitz County and Ecology.. The measures must achieve emission reductions that are real, permanent, enforceable, verifiable, and additional. The emission reductions must be demonstrated to meet all five criteria (e.g., using internationally recognized protocols). For example, carbon credits could be purchased through existing carbon markets, or through on-site reductions achieved through efficiency measures or changes in technology.

12 Surprise Finding S.7.9. Based on the inhalation-only health risk assessment, diesel particulate matter emissions from Proposed Action-related train locomotives traveling along the Reynolds Lead, BNSF Spur, and BNSF main line in Cowlitz County would result in areas of increased cancer risk at or above 10 cancers per million which would represent an unavoidable and significant adverse impact.

13 Dep t of Ecology Rationale Diesel Concentration levels were assumed to be continuous exposure (24 hrs / day, 7 days / wk) for 70 years State regulation for stationary sources was used to make this determination

14 BNSF Rebuttal

15 Asian Market

16 Asian Market South Korea plans 20 new coal-fired power generation plants during the 2020 s MBTL Owner, Lighthouse Resources, has contracts to supply Korean utilities South Korea & Japan look to US Coal Supply Diversity of Supply Australian weather disruptions Long term Indonesian supply stability Strategic Security Ocean travel from Longview to Yokohama or Pohang = Newcastle, AUS to Yokohama or Pohang

17 Japan IGCC Technology Integrated Gasification Combined Cycle Technology has been intensively developed by Japan. At least three power plants are in engineering and / or construction. PRB coal is the first choice fuel due to its low ash content and low ash-fusion temperatures. The gasification process is most efficient with PRB coal, due to its reaction time.

18 THANK YOU!