Table Of Contents:1) Two anti-LNG events scheduled for this Thursday 01-30-2020, both at 6 pm.2) Brief update on Rio Grande, Annova, and Texas LNG3) 02-14-2020 candidate filing deadline for three Port of Brownsville Commissioner positions
First Up: Two anti-LNG events scheduled for this Thursday 01-30-2020
Both at 6:00 pm. One in Brownsville, the other in Port Isabel.
There’s a Greet and Meet Fundraiser for Don Clupper. He’s running against Sofia Benavides for Cameron County Commissioner Precinct 1. Benavides voted for sweetheart tax abatement deals for Rio Grande LNG (10-03-2017) and Annova LNG (10-01-2019). Clupper opposes LNG. See the Greet & Meet Facebook event page at https://www.facebook.com/events/154564669313124/. Thursday 01-30-2020, 6:00 pm at the Mariscos Lauro Villar Seafood Restaurant, 354 East Elizabeth, Brownsville (https://www.facebook.com/MariscosLauroVillarBville/).
Check out Clupper’s Campaign Facebook page at https://www.facebook.com/groups/488898331608288/ and his Facebook page at https://www.facebook.com/donald.clupper.
Note: He will also be doing a Greet & Meet on South Padre Island 02-04-2020 at 6:pp pm at D’Pizza Joint Special (https://www.facebook.com/events/509126263072737/).
IN PORT ISABEL:
SAVE RGV from LNG is hosting a “Community Meeting to Stop LNG” at the Causeway Café and Bar at 6:00 pm. See the Facebook event page at https://www.facebook.com/events/176823797060617/.
The Causeway Café is at 418 E. Queen Isabella Blvd in Port Isabel (https://www.facebook.com/mycauseway/).
2nd: Brief Update On The LNG 3
On 11-21-2019, the Federal Energy Regulatory Commission voted 2 to 1 (Commissioner Glick dissenting) to issue permits for Rio Grande LNG, Annova LNG, and Texas LNG.
BUT THAT DOESN’T MEAN ANY OF THEM ARE “DONE DEALS.” Especially Rio Grande LNG isn’t a Done Deal. In addition to the FERC permits, the LNG companies need to get the money together to make what’s called their “Final Investment Decisions” (FIDs).
That’s going to be hard for them, maybe even impossible.
Right now, there’s a huge amount of competition and uncertainty in the global LNG marketplace. The LNG 3 targeting our local Port of Brownsville are at a huge disadvantage. They’re competing with other LNG export operations in Texas and Louisiana that are already operational and expanding their production capacity. They’re also competing with other new LNG export operations that are already under construction. This is making it hard for Rio Grande, Annova, and Texas LNG to find the investors and LNG customers they need to make their Final Investment Decisions.
In addition, on 12-23-2019, the Sierra Club asked FERC to “reconsider” the three permits. Importantly, Sierra Club’s request was made on behalf of:
The City of Port Isabel,
The City of South Padre Island,
The Town of Laguna Vista,Vecinos para el Bienestar de la Comunidad Costera,
Shrimpers and Fisherman for RGV,
Save RGV from LNG, Defenders of Wildlife, and
Landowners Cynthia and Gilberto Hinojosa
On 01-23-2020, FERC denied Sierra Club’s request for a reconsideration of the Rio Grande LNG project. That sounds bad, but that denial makes it possible for the Sierra Club and others to now challenge the permit in Federal Court. Check out:
“Opponents inch closer to filing lawsuit over Port of Brownsville LNG terminals,” Sergio Chapa, 01-27-2020, Houston Chronicle, https://www.houstonchronicle.com/business/energy/article/Opponents-inch-closer-to-filing-lawsuit-over-Port-15006517.php.
“Federal energy regulator rejects communities’ pleas to reconsider LNG project,” Jessica Corso, 01-28-2020, San Antonio Business Journal, https://www.bizjournals.com/sanantonio/news/2020/01/28/federal-energy-regulator-rejects-communities-pleas.html
FERC is postponing a decision on Sierra Club’s requests for it to reconsider the permits it issued for Annova and Texas LNG.
Rio Grande LNG: We expected NextDecade’s NEXT stock to shoot up in value when FERC approved its Rio Grande LNG project. That didn’t happen. The 52 week high for the stock is $6.78 per share. After FERC approved the project, the stock briefly touched $6.78 twice but has been steadly drifting down and down and down. On 01-17-2020, Nasdaq lowered the 1 year target for the stock from $6.00 a share down to $5.88 a share. Today, the stock got as high as $5.10 a share, as low as $4.75 a share, and closed at $4.99 a share. FERC’s 01-23-2020 denial of the Sierra Club’s request for a reconsideration of the FERC permit didn’t stop the decline in the stock’s value. Back when NextDecade first got on the Nasdaq stock exchange on 07-25-2017, the stock was selling for around $10 a share.
NextDecade was incorporated in November 2010. It has yet to put shovel to ground anywhere. It has yet to earn its first penny of revenue. In March 2015 it said it would have 6 LNG liquifaction production trains up and running by the end of 2020. Now it says it will have only 3 (and maybe just 2) trains up and running by the end of 2023. It’s Inisfree FSRU project is dead in the water. It’s Galveston Bay LNG project is dead in the water. There’s a good chance that NextDecade itself will be dead in the water.
BUT we can’t count on that. So we’re continuing the fight against all 3 LNG companies.
If Rio Grande LNG sinks, that will help sink Annova and Texas LNG.
If Clupper defeats Benavides, that will help sink all three.
If someone with a different vision for the Port of Brownsville, Camerion County, and the Rio Grande Valley wins a Port Commissioner position on 05-02-2020, that could help sink all three as well.
3rd: The Candidate Filing Deadline for Brownsville Port Commissioners Places 1, 3, & 5 Is 02-14-2020
See the election announcement at https://www.portofbrownsville.com/commission/bnd-election/
See the information on candidate applications at https://www.portofbrownsville.com/wp-content/uploads/2019/12/Notice-of-Deadline-to-File-Applications-for-Place-on-the-Ballot.pdf