Federal Reserve hold interest rates steady, forecasts two more rate hikes this year - The Federal Reserve held interest rates steady Wednesday, but officials signaled they are prepared to raise rates again this year to tame stubborn inflation. The central bank maintained its benchmark interest rate in the range of 5%-5.25%, the first time since January 2022 the Fed made no change to interest rates following a policy meeting. Fed officials did, however, raise their interest rate forecasts for this year, signaling rates could rise to as high as 5.6%, implying two additional rate hikes are likely this year. Three officials see rates rising closer to 6%. "Inflation pressures continue to run high," Federal Reserve Chair Jerome Powell said at a Wednesday press conference. Getting inflation down to the Fed's target "has a long way to go." Next year, officials see interest rates falling by 100 basis points to around 4.6%, higher than the 4.3% forecast in March. The pause announced Wednesday, Powell said, shouldn't be called a "skip." What it does do, he added, is give the economy more time to adapt to prior hikes while letting Fed officials see the "full consequences" of the banking turmoil that roiled the financial system in the spring. "We are trying to get this right," Powell said. The Fed had raised rates at 10 straight policy meetings through May, bringing its target range from 0%-0.25% to 5%-5.25%, the highest since 2007, in just 14 months. Wednesday's decision to hold rates steady was unanimous. Since peaking at 9.1% in June 2022, inflation has come down, with headline inflation rising just 4.1% in May according to data released on Tuesday. On a "core" basis — which strips out volatile food and energy prices — inflation clocked in at 5.3% for May. That compares with 5.5% seen in April. Both readings are still well above the Fed's 2% target. The Fed in its statement did leave itself room to raise rates again this year, keeping language that said, "In determining the extent to which additional policy firming may be appropriate … the Committee will take into account the cumulative tightening of monetary policy, the lags with which monetary policy affects economic activity and inflation, and economic and financial developments." Powell said at a press conference that the subject of what to do in July "came up" at the central bank's Federal Open Market Committee meeting Wednesday but the Fed didn't make a decision about what to do next month. Powell also brought back language made popular by former Fed Chair Janet Yellen ahead of the Fed's rate hiking cycle that began in 2015 — "live" meetings. Asked directly about July's meeting, Powell said — "One, [a] decision hasn't been made. Two, I do expect that it will be a live meeting." Powell also emphasized that inflation isn't coming down as quickly as the central bank had hoped. "We want to see it moving down decisively," he said. "That's all. Of course, we are going to get inflation down to 2% over time. We want to do that with the minimum damage we can to the economy, of course. But we have to get inflation down to 2%, and we will."Along with its policy decision on Wednesday, the Fed released an updated Summary of Economic Projections (SEP), which outlined officials’ expectations for growth, inflation, rates, and the labor market over the balance of this year and the next two.Fed officials see inflation finishing the year close to 4% now, compared with 3.6% prior. Unemployment is only seen rising to 4.1% from 4.5% previously. Officials now see stronger economic growth this year of 1% versus 0.4% previously.
Fed 'Pauses' After 10 Hikes; Signals Very Hawkish Outlook, No Recession - Since the last FOMC statement on May 3rd, where Powell hiked rates 25bps but offered some dovish-speak during the presser, stocks have soared (well to be more accurate, mega-cap tech stocks have exploded higher) while bitcoin has been dumped. The dollar is modestly higher with gold and bonds slightly lower... The market's expectations for Fed rate changes have swung wildly, plunging dovishly on the FOMC and then soaring hawkishly back with December expectations swinging from 100bps of cuts to 2.5bps of hikes... (Graphs: Bloomberg) Notably, stocks have recently completely ignored the tightening of financial conditions... That can't be something The Fed wants to see? Finally, we also get a new SEP today, which is likely to be key as a signaling tool for the pause/skip/no-cuts narrative. Going into the meeting, the market has converged hawkishly to The Fed's 2023 year-end expectations, remains more dovish in 2024 (expecting more rate-cuts), but then considerably more hawkish in 2025 (rate-cuts re-igniting inflation?) Going in to the FOMC statement, the odds of a July hike were 57%, we'll see how Powell does. So what did The Fed do? They 'paused' as expected: But are data-dependent (as always): *FED SAYS HOLDING RATES ALLOWS FOMC TO ASSESS ADDITIONAL DATA The new line added is: “Holding the target range steady at this meeting allows the Committee to assess additional information and its implications for monetary policy.” Here’s where the statement makes clear the Fed will still hike rates if they need to: “The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee’s goals.” New projections show policymakers favor 50bps of additional increases this year, which would push borrowing costs to about 5.6% - higher than most economists and investors have been expecting... So a very hawkish pause with the terminal rate rising once again... Of the 18 FOMC participants, nine are penciling in two more hikes, and three have written down even more hikes than that. That is a very strong consensus for at least two more hikes. Finally, we note the delusional forecasts for economic growth and core inflation rose for 2023, while unemployment projections fell. There are now no Fed members expecting a recession in 2023... Read the full redline below:
Fed see key services inflation elevated with few signs of easing (Reuters) -Inflation in key parts of the U.S. service industry "remains elevated and has not shown signs of easing," the U.S. Federal Reserve said in its latest monetary policy report to Congress, an overview of where the economy stands issued ahead of Capitol Hill testimony next week by Fed chair Jerome Powell. Hopes for the Fed to slow inflation, the report said, "may depend in part on a further easing of tight labor market conditions," meaning a likely rise in U.S. joblessness. "Labor demand has eased in many sectors of the economy but continues to exceed the supply of available workers, with job vacancies still elevated," the report said. Wages gains had slowed over the first part of the year, but "remain above the pace consistent with 2% inflation over the longer term." The report noted that bank lending had "tightened notably" over the past year and would likely contract further following the failure of several regional banks in March. But "despite concerns about profitability at some banks, the banking system remains sound and resilient," the report said. The report, issued ahead of two days of congressional testimony next week by Fed Chair Jerome Powell, comes on the heels of the central bank's latest policy meeting when it optednot to raise interest rates for the first time since March 2022. In leaving its benchmark policy rate unchanged in a range between 5.00% and 5.25%, the Fed said the pause would allow it time to "assess additional information and its implications for monetary policy." Still, projections from policymakers submitted at the June 13-14 meeting signaled they were prepared to lift rates by perhaps half a percentage point more by year's end. Investors for now overwhelmingly expect the Fed to resume rate hikes when it meets again in late July. Indeed, two policymakers on Friday struck a hawkish tone in the first public Fed comments of the intermeeting period. Friday's report hit on a now-familiar topic - financial stability - with an acknowledgement that banking system conditions are not as benign as the Fed said they were in March, when it issued its previous report to Congress only days before the surprise collapse of Silicon Valley Bank. At that time, it said, "financial vulnerabilities remain moderate overall." SVB failed a week later, forcing the Fed and other banking regulators to take emergency steps to prevent a wholesale run on deposits across the banking system. On Friday, the Fed said that following actions taken in the wake of the SVB failure "financial markets normalized, outflows of bank deposits slowed, and the banking system as a whole remains sound and resilient. "However, ongoing stresses in the banking sector may weigh on credit conditions in the period ahead and increase uncertainty about the economic outlook."
Fed’s Barkin willing to raise rates if inflation doesn’t fall soon - Richmond Federal Reserve President Tom Barkin said Friday that if inflation doesn’t fall closer to the Fed's target of 2%, he’s comfortable raising interest rates higher. “I am still looking to be convinced of the plausible story that slowing demand returns inflation relatively quickly to that target,” Barkin said while speaking at the Maryland Government Finance Officer Association. “If coming data doesn’t support that story, I’m comfortable doing more.” The Fed has moved aggressively against inflation over the last 15 months, hiking rates five percentage points to the current range of 5%-5.25%. Officials decided to pause in June but they are now projecting two more rate hikes this year, bringing the policy rate to as high as 5.5%-5.75%. Barkin said he realizes that raising rates higher creates the risk of a more significant slowdown. But he also wants to avoid the experience of the 1970s, when the Fed backed off rate hikes too soon only to see inflation ignite again. That pushed the Fed to jack up rates higher. Inflation has proven stubbornly persistent. That’s true even excluding housing inflation, a measure the Fed will examine to get a purer look at the issue. Data on rent prices tends to lag. Barkin says he likes to monitor the monthly median of personal consumption expenditures index to look at the breadth of inflation. But he says based on that measure, inflation hasn’t come in at levels consistent with the Fed’s 2% target in any month since spring of 2021.
Fed's Waller: bank sector wobbles should not stop further rate hikes Federal Reserve Gov. Christopher Waller said the central bank should not reverse course on monetary policy simply because it is having an acute impact on certain banks. During a speech delivered Friday at the Norwegian central bank, Waller pushed back against the idea that rate hikes were to blame for the failures of Silicon Valley Bank, Signature Bank and First Republic Bank earlier this year. "The Fed's job is to use monetary policy to achieve its dual mandate, and right now that means raising rates to fight inflation," Waller said. "It is the job of bank leaders to deal with interest rate risk, and nearly all bank leaders have done exactly that. I do not support altering the stance of monetary policy over worries of ineffectual management at a few banks." He said the Fed is closely tracking financial stability conditions. He singled out credit conditions as an acute concern following the failures and said the central bank could moderate its approach to monetary policy if lending tapers off significantly throughout the banking system. But, he noted, there has been no evidence of that yet. "While lending conditions imposed by banks have tightened since March, the changes so far are in line with what banks have been doing since the Fed began raising interest rates more than a year ago," he said. "That is, it is still not clear that recent strains in the banking sector materially intensified the tightening of lending conditions." Waller's remarks come just days after the Federal Open Market Committee elected to hold its target interest rate range steady for the first time in 15 months. Along with the vote, however, most members of the committee projected that at least one more rate hike would be necessary before the end of the year.
Powell: Fed watching Treasury issuance, impact on balance sheet — Federal Reserve Chair Jerome Powell said the Treasury Department's efforts to replenish the government's coffers will likely draw deposits out of the banking system.Speaking after Wednesday's Federal Open Market Committee meeting, Powell said the Fed will be "monitoring markets carefully" as the Treasury issues $425 billion of short-term securities this month to ensure the process does not destabilize the banking system.Powell said the debt issuance, which is aimed at rebuilding the Treasury General Account at the Fed, will "very likely" lead to the reduction of other assets on the central bank's balance sheet, including facilities for lending securities to money market funds and cash from commercial banks, known as reserves. Yet, he said, he does not anticipate the process leaving banks wanting for liquidity."We are starting at a very high level of reserves and a still-elevated [overnight reverse repurchase agreement] take up for that matter, so we don't think reserves are likely to become scarce in the near term or even over the course of the year," Powell said. "We will, of course, continue to monitor conditions in money markets and we're prepared to make adjustments to make sure that monetary policy transmission works."The Fed aims to maintain an "ample supply" of reserves to protect its ability to set monetary policy. If reserves become scarce, banks tend to bid up borrowing costs beyond the Fed's target range. The concern with an expansion of the TGA is that it will cause depositors to pull money out of their bank accounts to buy Treasuries, thus reducing the supply of reserves. During the debt ceiling standoff, in which Treasury could no longer issue securities, the TGA fell from $560 billion on February 1 to $44 billion on June 7, as the government drew down funds to pay its bills.’
US National Debt Hits $32 Trillion, up $572 billion since Debt Ceiling Suspended. TGA Starts Refilling, Drains Liquidity from Markets -by Wolf Richter - The U.S. national debt spiked by $572 billion since the debt ceiling was suspended two weeks ago after the sarcastically named “Fiscal Responsibility Act of 2023” was signed into law, the Treasury Department reported Friday evening. The total government debt now exceeds $32.0 trillion – hallelujah, we made it! Debt doesn’t matter. Until it does. And now it does — in several ways, including interest on the debt, and fuel for inflation. Interest rates have come up because inflation started to rage in early 2021, and all this fiscal stimulus from deficit-spending is throwing fuel on the inflation fire, and so “core” inflation – inflation minus food, whose prices have ticked down, and energy whose prices have plunged – has been stubbornly stuck in the 5% range annualized for seven months, driven by inflation in services: The US national debt comes in two types of Treasury securities, “nonmarketable” (cannot be traded in the bond market) and marketable (can be traded in the bond market). “Nonmarketable” Treasury securities include the “I bonds” that Americans can buy – they pay a base rate plus a rate based on CPI. The Treasuries securities held by government pension funds, the Social Security Trust Fund, etc. are nonmarketable. These nonmarketable Treasury securities jumped by $96 billion since the debt ceiling was suspended, to $6.86 trillion. “Marketable” Treasury securities spiked by $476 billion since the debt ceiling was suspended, to $25.2 trillion. These are the securities that the government sells via auctions to the public. The Treasury Department is now selling a flood of Treasury securities to replenish its checking account that had been drawn down to near-nothing during the debt-ceiling standoff. These securities include a large amount of Treasury bills (with a maturity date in one year or less), short-term Cash Management bills (at the last CMB auction on June 13, it sold $45 billion in 42-day CMBs), and longer-term notes and bonds, including TIPS. The Treasury General Account at the New York Fed, which is the government’s checking account, had fallen to a closing balance of $23 billion just before the debt ceiling was suspended – a hair-thin cushion, given the huge amounts that flow daily through this account. The default-day would have been sometime in early June. In this respect, this 2023 debt ceiling farce mirrored prior debt ceiling farces. What flows into the TGA are tax receipts and the proceeds from selling Treasury securities. June 15 was also the deadline for quarter estimated taxes that corporations and self-employed have to pay. So there was a surge in the balance of the TGA. Since the debt ceiling was suspended, the TGA has jumped by $227 billion – including the June 15 tax receipts – to a balance of $250 billion. But the tax receipts are going to get spent promptly, as they do every quarter. Last year, the June 15 tax payments caused the TGA balance to jump by $140 billion. And a month later, the balance was down by $200 billion. Deficit spending will see to it that tax receipts are outspent at a very fast clip.
Jared 'Dethrone King Dollar' Bernstein Confirmed As Top Biden Econ Adviser; Yellen Warns De-Dollarization Efforts Will Grow - The Senate on Tuesday confirmed Jared Bernstein to become chair of the Council of Economic Advisers (CEA). Senators voted 50-49 on Bernstein's nomination to the post that Cecilia Rouse vacated in March. Sen. Joe Manchin (D-W.Va.) was the lone Democrat to side with every present Republican. “Mr. Bernstein’s economic philosophy is problematic as he has shown a willingness to disregard the need for all-of-the-above energy policies and necessary federal budget cuts to alleviate the skyrocketing cost of living for working families,” Manchin explained in a statement. “I did not vote for Mr. Bernstein because we must protect America’s economic stability and energy security from radical policies such as the Green New Deal,” Manchin added. Republicans lined up to oppose Bernstein ahead of the vote, with Senate Minority Leader Mitch McConnell (R-Ky.) arguing that he was a political choice to serve as chair. “The CEA was designed to produce objective, empirical economic analysis. With the rarest of exceptions, it’s been led by a seasoned economist with a PhD in the field. That streak would end with Mr. Bernstein,” McConnell said on the Senate floor Tuesday. “The nominee the Senate will consider this week can more accurately claim expertise in partisan warfare than economics.” However, what is potentially most noteworthy about Bernstein's appointment is his 2014 NYTimes Op-Ed where he promotes the idea of abandoning support of the dollar's reserve currency status Bernstein wrote: "THERE are few truisms about the world economy, but for decades, one has been the role of the United States dollar as the world’s reserve currency. It’s a core principle of American economic policy. After all, who wouldn’t want their currency to be the one that foreign banks and governments want to hold in reserve? But new research reveals that what was once a privilege is now a burden, undermining job growth, pumping up budget and trade deficits and inflating financial bubbles. To get the American economy on track, the government needs to drop its commitment to maintaining the dollar’s reserve-currency status .... The privilege of having the world’s reserve currency is one America can no longer afford."
US Announces $325 Million Arms Package for Ukraine - The Biden administration on Tuesday announced a new $325 million arms package for Ukraine that includes Bradley and Stryker armored vehicles and ammunition for various weapons systems.US officials told Voice of America that the administration was planning to send more Bradley and Stryker armored vehicles to replace ones that have been damaged or destroyed during Ukraine’s counteroffensive operations.CNN reported on Monday that, according to open-source intelligence, Ukraine has lost at least 16 US-made Bradley fighting vehicles in the past several days. Russia has said it captured several Bradleys and German-made Leopard tanks.The new $325 million weapons package for Ukraine is being provided through the Presidential Drawdown Authority (PDA), which allows the US to send arms directly from US military stockpile. The funds are being drawn from spending that has already been authorized for the war, which at this point totals $113 billion.According to the Pentagon, the arms package includes the following:
- Additional munitions for National Advanced Surface-to-Air Missile Systems (NASAMS)
- Stinger anti-aircraft systems
- Additional ammunition for High Mobility Artillery Rocket Systems (HIMARS)
- 155mm and 105mm artillery rounds
- 15 Bradley Infantry Fighting Vehicles
- 10 Stryker Armored Personnel Carriers
- Javelin anti-armor systems
- Tube-Launched, Optically-Tracked, Wire-Guided (TOW) missiles
- AT-4 anti-armor systems
- Over 22 million rounds of small arms ammunition and grenades
- Demolition munitions for obstacle clearing
- Tactical secure communications support equipment
- Spare parts and other field equipment
The arms package marks the 40th drawdown from US military stockpiles for Ukraine’s war effort. According to a fact sheet released by the Pentagon, the US has pledged over $40 billion in military equipment for Kyiv since Russia launched its invasion last year.
Bipartisan Lawmakers Urge Biden to Send Longer-Range Weapons to Ukraine - A group of nine bipartisan members of the House is urging President Biden to supply Ukraine with longer-range weapons and expedite the delivery of M1 Abrams tanks to the country.In a letter led by Rep. Jason Crow (D-CO), the lawmakers called on Biden to send Kyiv Army Tactical Missile Systems (ATACMs), which have a range of 190 miles. The lawmakers said they were “encouraged” by Britain’s decision to supply Ukraine with Storm Shadow missiles that can hit targets up to 155 miles away.“We urge you to transfer ATACMS to Ukraine from existing US stocks or approve transfers from our allies,” the letter reads. “These surface-to-surface missiles provide a long-range capability that will significantly improve Ukraine’s ability to target Russian troops and equipment in Ukrainian sovereign territory.”In March, the Pentagon announced it was speeding up its delivery of Abrams tanks to Ukraine by refurbishing older models instead of manufacturing new ones. Under the new plan, Ukraine is expected to receive the US-made tanks toward the end of the year, but that’s not fast enough for Crow and the other representatives who signed the letter.They called on Biden to speed up the delivery even more by using whatever authority is necessary. “We strongly urge you to do everything in your power to accelerate this timeline, whether that be through the Defense Production Act, expended contracts, or pulling from different stocks to provide Ukrainian troops the tactical equipment needed to mount their counteroffensive,” the letter says.The lawmakers also called for the US to ship more air defenses to Ukraine and applauded Biden’s approval of F-16 deliveries. The letter noted the “overwhelming bipartisan support for Ukraine in its fight against Russia” as the majority of Congress still favors pouring more weapons into Ukraine despite the risk of escalation and provoking a direct war between NATO and Russia.The other signatories to the letter are Reps. Tony Gonzales (R-TX), Mikie Sherrill (D-NJ), Mariannette Miller-Meeks (R-IA), Jared Golden (D-ME), Chrissy Houlahan (D-PA), Donald G. Davis (D-NC), Jimmy Panetta (D-CA), and James R. Baird (R-IN).
Zelensky Slams Trump for Saying He Would End the War in Ukraine - In an interview with NBC News, Ukrainian President Volodymyr Zelensky attacked former President Donald Trump’s pledge to end the war. He argued that if Kiev does not defeat Moscow, Russia will attack a NATO member state and force the US into a direct conflict.Zelensky was asked about Trump’s claim he would immediately engage the Kremlin in talks and bring the war to a negotiated settlement. "Are they ready to start a war to send their children? Are they ready to die?" he said in the interview that was published on Thursday. "If Russia occupies Ukraine, they will move on to the Baltic countries, to Poland, to any NATO country, and in that particular case the U.S. will have to choose between dismantling NATO or fighting."Kiev and hawks in Washington have asserted that Ukraine is a bulwark, protecting members of NATO from Moscow’s expansionist ambitions. However, there is no evidence that the Kremlin eyes attacking another country. Russian President Vladimir Putin views Ukraine as a unique security threat to his county and says seizing territory protects Moscow against the expanding NATO alliance.Ukraine hopes to be added as a member of the alliance once the war is over. “We need an invitation, and it needs to be clear that after this war, if we are ready, and if the Ukraine army is ready to NATO standards, then after the war we will be invited to join.” Zelensky continued, “It’s very important to hear the truth and not tell us lies.”In 2008, Ukraine was told it would one day receive full NATO membership. At the time, Moscow denounced the proposal, saying it violated red lines and, from the Russian perspective, would create a significant security threat. Zelensky went on to slam Trump, claiming he was unable to end the war in Ukraine while he was in office. "Why didn’t he do that earlier? He was president when the war was going on here," he explained. "I think he couldn’t do that. I think there are no people today in the world who could just have a word with Putin and end the war." The statement appears to be an admission from Zelensky that the war in Ukraine began before the Russian invasion in 2022. Prior to the Russian invasion, Ukraine was embroiled in an eight-year-long civil war. Washington and NATO justify their support for Kiev by saying the Russian invasion was "unprovoked."
Zelensky: Ukrainian loss could force US to choose between ‘collapse of NATO’ or war - Ukrainian President Volodymyr Zelensky said Thursday that a loss to Russia could ultimately force the U.S. to choose between the “collapse of NATO” or going to war. “If Ukraine would lose, if Russia would occupy Ukraine, Russia will continue going towards Baltic countries, Poland, etcetera,” Zelensky said in an interview with NBC News. “And they will start war with one of the NATO countries, and at this moment, the U.S. would have to choose the collapse of NATO or go to war.” The Baltic states of Estonia, Latvia and Lithuania are all members of NATO, as is Poland. An attack on any member of the alliance is “considered an attack against them all” under the treaty organization’s principle of collective defense. Zelensky brought up the possibility of NATO involvement in response to the suggestion from some Republican politicians that the U.S. needs to limit its spending on the war in Ukraine. Florida Gov. Ron DeSantis — a 2024 Republican presidential candidate — previously described the war as a “territorial dispute,” while arguing that the U.S. should not become “further entangled” in the conflict. Speaker Kevin McCarthy (R-Calif.) also warned last fall that a Republican majority in the House would not write a “blank check” to Ukraine for aid. “Is any candidate or senator who thinks it costs too much for the United States to support Ukraine, is he ready to go to war, to fight, to send his kids,” Zelensky said Thursday, adding, “Because anyway, they will have to do this if NATO gets involved.” “It’s not Ukraine against Russia,” he said. “Russia is fighting against the civilized world.” The U.S. and its allies have continued to supply Kyiv with increasingly advanced weaponry, as the war against Russia has dragged on for more than a year. Last month, President Biden reversed course on his refusal to discuss F-16 fighter jets, saying the U.S. would support an international coalition to train Ukrainian pilots on the jets.
CIA Knew Ukraine Was Planning To Bomb Nord Stream Pipelines: Report - Several Western media outlets reported Tuesday that the CIA warned Ukraine last year not to bomb the Nord Stream natural gas pipelines that connect Russia and Germany. In recent months, US and other Western officials speaking to the media have suggested Ukraine was behind the Nord Stream sabotage. Most reports on the issue have ignored or dismissed the fact that journalist Seymour Hersh has sources who said President Biden ordered the bombing of the Nord Stream pipelines. According to unnamed US officials speaking to The New York Times, Dutch intelligence officials told the CIA in June 2022 that they learned of a Ukrainian military plot to attack the pipelines. The CIA then warned Ukraine not to carry out the attack, and US officials now believe it was postponed to September 2022.A European official told the Times that Ukraine’s original plan involved Ukrainian special forces renting a submersible vessel to attack the pipelines. The CIA was also said to warn Germany about a potential plot to sabotage Nord Stream. The latest Nord Stream allegations were first reported by the news outlet Die Zeit and NOS, a Dutch broadcaster. They claimed that the Ukrainian plot was overseen by Valery Zaluchny, the commander-in-chief of Ukraine’s armed forces. For his part, Ukrainian President Volodymyr Zelensky denied Kyiv was involved in the destruction of the pipelines. "I am president, and I give orders accordingly," he said. "Nothing of the sort has been done by Ukraine. I would never act that way."The idea that the US suspected Ukrainian involvement in the Nord Stream bombings first surfaced in a New York Times report that was published on March 7. Sources told Seymour Hersh that the report was a cover-up planted in the paper by the CIA to discredit his story that points the finger at President Biden.Hersh’s reporting on the Nord Stream plot hasn’t been confirmed, but the US is still a prime suspect as it had a clear motive and US officials made threats against the pipelines. On February 7, 2022, President Biden vowed to "bring an end" to the Nord Stream 2 pipeline if Russia invaded Ukraine.A few weeks earlier, Victoria Nuland, undersecretary of state for political affairs, made a similar threat. "If Russia invades Ukraine, one way or another, Nord Stream 2 will not move forward," she said.According to Hersh’s reporting, US Navy divers planted explosives on the Nord Stream pipelines in June 2022 under cover of NATO exercises in the Baltic Sea. He said the explosives were detonated by a Norwegian spy plane dropping a sonar buoy in the area on September 26, 2022.
Reports: CIA Told Ukraine Not to Bomb Nord Stream Pipelines - Several Western media outlets reported Tuesday that the CIA warned Ukraine last year not to bomb the Nord Stream natural gas pipelines that connect Russia and Germany. In recent months, US and other Western officials speaking to the media have suggested Ukraine was behind the Nord Stream sabotage. Most reports on the issue have ignored or dismissed the fact that journalist Seymour Hersh has sources who said President Biden ordered the bombing of the Nord Stream pipelines.According to unnamed US officials speaking to The New York Times,Dutch intelligence officials told the CIA in June 2022 that they learned of a Ukrainian military plot to attack the pipelines. The CIA then warned Ukraine not to carry out the attack, and US officials now believe it was postponed to September 2022.A European official told the Times that Ukraine’s original plan involved Ukrainian special forces renting a submersible vessel to attack the pipelines. The CIA was also said to warn Germany about a potential plot to sabotage Nord Stream.The latest Nord Stream allegations were first reported by the news outlet Die Zeit and NOS, a Dutch broadcaster. They claimed that the Ukrainian plot was overseen by Valery Zaluchny, the commander-in-chief of Ukraine’s armed forces.For his part, Ukrainian President Volodymyr Zelensky denied Kyiv was involved in the destruction of the pipelines. “I am president, and I give orders accordingly,” he said. “Nothing of the sort has been done by Ukraine. I would never act that way.”The idea that the US suspected Ukrainian involvement in the Nord Stream bombings first surfaced in a New York Times report that was published on March 7. Sources told Seymour Hersh that the report was a cover-up planted in the paper by the CIA to discredit his story that points the finger at President Biden.Hersh’s reporting on the Nord Stream plot hasn’t been confirmed, but the US is still a prime suspect as it had a clear motive and US officials made threats against the pipelines. On February 7, 2022, President Biden vowed to “bring an end” to the Nord Stream 2 pipeline if Russia invaded Ukraine.A few weeks earlier, Victoria Nuland, undersecretary of state for political affairs, made a similar threat. “If Russia invades Ukraine, one way or another, Nord Stream 2 will not move forward,” she said.
Members of Congress Want to Punish South Africa for Relationship With Russia - A bipartisan group of four members of Congress is asking the Biden administration to punish South Africa over its relationship with Russia.South Africa’s neutral stance on the war in Ukraine and its continued ties with Russia has angered the US. The African nation has been accused of loading a Russian ship with military equipment that docked at a naval base near Cape Town in December 2022, but the US has offered no evidence to back up the claim.In a letter to President Biden’s top aides, lawmakers claimed that “intelligence suggests that the South African government used this opportunity to covertly supply Russia with arms and ammunition that could be used in its illegal war in Ukraine.”The letter listed examples of actions by South Africa that the US is unhappy about, including joint military exercises with Russia and China, and allowing a Russian plane to land at a South African military base. South Africa is also hosting an upcoming BRICS summit and is looking to facilitate Russian President Vladimir Putin’s participation despite the arrest warrant issued by the International Criminal Court.The lawmakers want Biden to take action against South Africa’s participation in a forum for the African Growth and Opportunity Act (AGOA), a law that provides duty-free access to markets in the US for dozens of African nations. South Africa is set to host the AGOA forum this year, but the lawmakers want that to change.“We are seriously concerned that hosting the 2023 AGOA Forum in South Africa would serve as an implicit endorsement of South Africa’s damaging support for Russia’s invasion of Ukraine and possible violation of US sanctions law,” the letter reads.The letter was signed by Senators Chris Coons (D-DE), James Risch (R-ID), and the top Republican and Democrat on the House Foreign Affairs Committee, Reps. Michael McCaul (R-TX) and Gregory Meeks (D-NY).
Our Ongoing March Into Dystopia And Oblivion – Caitlin Johnstone - Lots of fun stuff in the news today. The Office of the Director of National Intelligence (ODNI), which oversees the spy agencies of the United States, has admitted in a report requested by Senator Ron Wyden that the US intelligence cartel has been circumventing constitutional regulations designed to protect US citizens from government surveillance by simply purchasing information collected by commercial data brokers. In an escalation in surveillance capitalism that should surprise no one but alarm everyone, US intelligence agencies have found that while the Fourth Amendment prohibits their directly wiretapping, hacking or bugging whomever they please without a warrant, there’s nothing stopping them from simply purchasing massive amounts of data harvested by Silicon Valley tech companies which can provide them with similar kinds of information. So that’s what they’ve been doing, because of course it is. But remember kids, it’s important for you to be very afraid of TikTok because TikTok might harvest your information and give it to an authoritarian surveillance state. A disturbing new Responsible Statecraft piece by Branko Marcetic notes that the civilian leadership roles in the US government which have historically been responsible for reining in the more dangerous impulses of the US war machine have actually been far more hawkish and aggressive on Ukraine than the Pentagon’s professional warmakers. According to a recent Washington Post report, inside the Biden administration “the Pentagon is considered more cautious than the White House or State Department about sending more sophisticated weaponry to Ukraine.”If only the war machine is responsible for placing checks on the nuclear brinkmanship of the war machine, that means there are no real checks on the nuclear brinkmanship of the war machine. If JFK had been more hawkish and aggressive than his own generals at the most perilous moments of the last cold war, it’s entirely likely that the world as we know it would not exist today. It is bone-chilling that we are relying on the better angels of the most murderous military on earth to see us through these increasingly close games of nuclear chicken.And the discourse is only getting crazier. The neoconservative think tank American Enterprise Institute is now floating the idea of giving nukes to Ukraine, which is about as evil and demented a foreign policy position as anyone could possibly come up with.This as influential Russian foreign policy strategist Sergey Karaganov argues that Moscow has “set too high a threshold for the use of nuclear weapons” and that “it is necessary to arouse the instinct of self-preservation that the West has lost” by “lowering the threshold for the use of nuclear weapons” and “moving up the deterrence-escalation ladder.” Karaganov cites the fact that Belarus has begun receiving tactical nukes from Russia to show that Moscow is already moving in this direction.This looks all the more disquieting in light of Michael Tracey’s observations in a recent Newsweek article titled “The Government Keeps Lying to Us About Ukraine. Where Is the Outrage?” Tracey discusses the way fighters from Ukraine and from NATO member Poland have been ramping up attacks on Russian territory, while the US government and news media deceive the American public about the fact that this is happening and how dangerous it is.
US to sell drones to Taiwan in provocative intelligence-sharing plan - The Financial Times (FT) revealed last week that plans are well underway in the US to sell four MQ-9B Sea Guardian drones to Taiwan to provide intelligence on Chinese naval movements, to be shared in real time with both the American and Japanese militaries. The US Department of Defence approved the sale of the drones in May but has not commented on the intelligence-sharing arrangement, reportedly disclosed to the FT by four sources. The decision is a further step in integrating Taiwan into US war plans against China and underscores the absurdity of US claims that it still upholds a “One China” policy under which it de facto recognises Taiwan as part of China. Washington is not only supplying military hardware, as it has done in the past, but drawing Taipei into its framework of military alliances in the Indo-Pacific directed against China. The US is well aware that this move is highly provocative. “The sharing of data between Japan and Taiwan, between Taiwan and the Philippines, between the US and all three of them, is so crucial, but it’s also one of the big taboos because China will see it as escalatory,” an unnamed senior US military official told the FT. According to the article, the US manufacturer, General Atomics, is due to deliver the drones to Taiwan, starting in 2025. The MQ-9B Sea Guardian drones are used for the surveillance of warships and submarines but are also able to carry what the manufacturer terms “a kinetic payload” that could include missiles and anti-submarine torpedoes. If the surveillance from the Taiwanese drones were linked to the intelligence networks of the US and its allies, it would provide what is euphemistically called “a common operational picture”—that is, an overview of military operations in the Taiwan Strait and surrounding waters in the event of war with China.Following the publication of the FT article, a US defence department spokesman declared that the US was “not currently planning to facilitate MQ-9 data sharing between Taiwan and Japan.” He did not deny, however, that information sharing is taking place between the US and Taiwan and would be greatly augmented by the drones. Taiwan’s defence ministry declared it had “not yet been informed of plans to share real-time data from naval reconnaissance drones with the US and Japan.” However, National Security Bureau (NSB) director Tsai Ming-yen told the island’s legislature in late April that Taiwan was already sharing intelligence with the top-level Five Eyes spy network that includes the US, Britain, Canada, Australia and New Zealand.
US Military Gets 'Unimpeded Access' in Papua New Guinea Under New Deal - The US military has gained “unimpeded access” to sites in Papua New Guinea under a new military pact Secretary of State Antony Blinken signed in the Pacific island nation last month.AFP obtained a copy of the full deal, which confirmed the US can deploy troops and station vessels to six ports and airports in Papua New Guinea, including the Lombrum Naval Base on Manus Island in the northern part of the country.According to the text of the agreement, the US can “pre-position equipment, supplies and materiel” at the military sites. The US will have “exclusive use” to some sites where “construction activities” can take place, signaling that the US might build new bases in the Pacific island nation.The US military had a significant presence in Papua New Guinea during World War II, and the new agreement is part of the Biden administration’s strategy to prepare for a future war with China in the region. US military sites in Papua New Guinea could be used to resupply US forces in Guam, the Philippines, and during a future battle over Taiwan.PNG Prime Minister James Marape has come under domestic criticism for signing the deal. Former Prime Minister Peter O’Neill said the agreement has painted a target on Papua New Guinea. “America is doing it for the protection of their own national interest, we all understand the geopolitics happening within our region,” he said.It’s no secret that any US military base in Papua New Guinea would become a potential target for China in a future war. Gen. Kenneth Wilsbach, commander of the US Pacific Air Forces, recently told Nikkei Asia that the purpose of expanding in the region was to give China more areas it would need to target.
Blinken's Visit to China Confirmed After Call With Chinese FM - The State Department confirmed on Wednesday that Secretary of State Antony Blinken will be visiting China, making him the highest-level Biden administration official to make the trip.Blinken was supposed to visit China in February but canceled the trip over the Chinese balloon that wound up over US territory due to unexpected weather. The State Department said Blinken will travel to China on a trip from June 16-21 that includes a stop in the UK. The Chinese Foreign Ministry also confirmed Blinken will be visiting China after a phone call between him and Chinese Foreign Minister Qin Gang. During the call, Qin said the US must “show respect” for China’s concerns, including its stance on Taiwan.“I hope that the US side will take practical actions to implement the important consensus of the meeting between the two heads of state in Bali, move in the same direction as the Chinese side, effectively manage differences, promote exchanges and cooperation, and promote the stabilization of China-US relations,” Qin said in the call, referring to President Biden and President Xi Jinping’s meeting in Bali, Indonesia last fall. The State Department said that during his visit to China, Blinken will discuss the “importance of maintaining open lines of communication to responsibly manage US-China relations and that he “will also raise bilateral issues of concern, global and regional matters, and potential cooperation on shared transnational challenges.”US officials are lowering expectations for any breakthroughs, as they are framing the engagement as managing competition rather than working to resolve issues.“We’re coming to Beijing with a realistic, confident approach and a sincere desire to manage our competition the most responsible way possible. We do hope at a minimum that we will achieve that goal, and we also do hope of course to make progress on a number of concrete issues,” Daniel Kritenbrink, assistant secretary of state for East Asian and Pacific affairs, told reporters.
Report: Saudi Crown Prince Threatened US With 'Major Economic Consequences' - Saudi Crown Prince Mohammed bin Salman warned the US would suffer economic consequences if President Biden retaliated for OPEC oil cuts that were announced last fall, The Washington Post reported.The Post report cited a document allegedly leaked to Discord by Airman Jack Teixeira, although it did not publish the document. The report said MbS claimed “he will not deal with the US administration anymore” if Biden imposed “consequences” on Riyadh over the OPEC cuts like he said he would.The report said MbS promised “major economic consequences for Washington” if Biden retaliated, but it’s unclear if the Saudis made the threat directly to the US or if MbS’ warning was intercepted by the US spying on him.It’s also unclear what economic consequences MbS had in mind. Saudi Arabia could stop trading its oil using the US dollar, which would seriously threaten the currency’s global dominance.President Biden never went through with his vow to impose consequences on the Saudis, and his administration has been working lately to improve the relationship after Riyadh agreed to a surprise China-brokered normalization deal with Tehran. The Saudis also reestablished diplomatic relations with Damascus and spearheaded an effort to bring Syria back into the Arab League. Secretary of State Antony Blinken visited Saudi Arabia last week, and Saudi officials made clear that they didn’t want the administration to pressure them to pick a side between the US and China.
Iran Confirms Holding Indirect Talks With US in Oman - The Iranian Foreign Ministry on Monday said that Iranian officialsheld indirect talks with the US in Oman last month but dismissed the idea that an interim nuclear deal was on the table.Iranian Foreign Ministry spokesman Nasser Kanaani appeared to confirm a report from Axios that said the talks took place in Oman on May 8, when President Biden’s top Middle East official on the National Security Council, Brett McGurk, was in Muscat.According to the report, the US and Iranian officials did not meet directly, and Omani officials acted as mediators. Sources told Axios that the main message that the US conveyed to Iran was a threat that there would be severe consequences if Iran enriched uranium at 90%, which is required to develop a nuclear bomb. But there’s no indication Tehran will take that step.Middle East Eye also recently reported that the US and Iran were holding direct talks in the US, but those negotiations haven’t been confirmed. The MEE report said an interim nuclear deal that would require Iran to reduce uranium enrichment for sanctions relief was on the table, but both sides have denied the claim.Kanaani said Iran was not interested in an interim nuclear deal but was open to restoring the original 2015 agreement, known as the JCPOA, which the Trump administration withdrew from in 2018. There’s no sign that the Biden administration is interested in resurrecting the JCPOA, which President Biden has previously said was “dead.”Amid reports of US and Iranian engagement, Iranian Supreme Leader Ayatollah Ali Khamenei said Sunday that there’s “nothing wrong” with Iran reaching an agreement on its nuclear program as long as the infrastructure remains intact. Khamenei also reaffirmed Iran’s position that it does not seek a nuclear weapon.
Iran's Khamenei Says 'Nothing Wrong' With Reaching a Nuclear Deal - Iranian Supreme Leader Ayatollah Ali Khamenei said Sunday that there was “nothing wrong” with Iran reaching an agreement related to its civilian nuclear program as long as its infrastructure remains intact.Khamenei’s comments come after Middle East Eye reported the US and Iran were close to an interim nuclear deal that would see Iran reduce uranium enrichment levels in exchange for some sanctions relief. However, both the US and Iran have denied the claims made in the report.Khamenei made the comments while visiting an exhibition of Iranian nuclear capabilities. “You may want to reach agreements in some fields. Nothing is wrong with [reaching] agreements, but the infrastructure must remain intact,” Khamenei said, according to Iran’sPressTV.The Iranian leader also denied claims that Tehran is seeking a nuclear weapon, saying Iran’s “enemies” want to target the country’s nuclear program to limit its development.“The excuse of a nuclear weapon is a lie, this is not the issue, something else is at play. They know that nuclear advancement will be a key for progress in other issues of the country,” he said.Iran is currently enriching some uranium at 60%, less than the 90% needed for weapons-grade uranium. Tehran began the 60% enrichment in response to an Israeli attack on the Natanz nuclear facility in 2021.According to the Middle East Eye report, the US and Iran have been holding talks and were close to an agreement that would involve Iran stopping its 60% uranium enrichment in exchange for some sanctions relief.A White House official said the report was “false and misleading,” and Iran’s envoy to the UN said an interim deal was “not on the agenda.”Other media outlets, including Haaretz, have reported that some sort of nuclear agreement between the US and Iran was close.
Conservative revolt in House alarms Senate GOP - Senate Republicans are growing increasingly concerned with the antics of House conservatives as they paralyze business in the lower chamber with key legislative battles looming in the coming months. Eleven conservative members blocked a handful of messaging bills from reaching the House floor for votes last week — and vowed to keep doing so — effectively grinding the chamber to a halt over Speaker Kevin McCarthy’s (R-Calif.) handling of debt ceiling talks last month. This is giving Republicans across the Capitol agita as they brace for it to be a preview of coming attractions. Lawmakers still need to pass government funding bills, the farm bill and the annual National Defense Authorization Act, among other things, in the near term. “They’re going to have to sort it out over there. Maybe there’s some bruised feelings. … There’s a lot of governing to do,” Sen. Shelley Moore Capito (R-W.Va.), a former House member, told The Hill. “If you’re just going to pull the lever for the sake of pulling the lever — yes or no — as a protest, there’s too many important things out there that we need to have addressed with thought.” McCarthy’s debt ceiling package won well north of a majority of support in the House, including two-thirds of his conference. The bill received less GOP support in the Senate, where 31 Republicans voted against it, but many in the upper chamber gave the Speaker high marks for his negotiations with the White House. Nevertheless, some Senate Republicans are dismayed by what happened last week with their House counterparts. Adding insult to injury, there is no indication yet that conservatives will yield and allow the House to continue to conduct its usual business when members reconvene on Monday. Sen. Kevin Cramer (R-N.D.), a former House member who is a frequenter of the House gym during work weeks, laughed openly when asked about the House’s issues and shook his head before likening their actions to those of his grandchildren. “They love attention, and they behave well when you’re giving them a lot of it. And then as soon as you’re done giving them attention, they get mad and you’ve got to give them more attention,” Cramer said. “I’m not sure some of them understand the magnitude of their responsibility, quite honestly. There’s a group of them, evidently, who didn’t want a Republican Speaker. They wanted a Republican king.” “We have a majority in one chamber, but they’re not governing,” Cramer added. “I’m concerned about their ability to function.”
McCarthy and GOP hardliners reach deal to end their blockade - Kevin McCarthy and his conservative rebels have reached a truce to halt the right flank’s takeover of the House floor — for now. Hardline House Republicans left a roughly hour-long meeting in the speaker’s suite on Monday afternoon saying they would cede their blockade of the House floor after GOP leaders agreed to a number of concessions. Conservatives said the speaker had acquiesced to their demands to reassess the agreement they landed with leadership during January’s speakership race, to more closely involve the right flank in big negotiations and to try to cut spending below the recent debt deal. In return, conservatives will help advance bills nixing pistol brace and gas stove regulations — two issues that unify Republicans but had stalled out amid GOP infighting last week. It won’t happen immediately, though: GOP leaders were still forced to scrap votes Monday evening. “We aired our issues. We want to see this move forward as a body,” said Rep. Ralph Norman (R-S.C.), one of McCarthy’s chief antagonists. He added that the California Republican pledged to involve conservatives in future bipartisan deals, such as looming spending talks. Still, not all is resolved: Norman said the GOP’s broader fight over government funding, for instance, is “a work in progress,” and predicted that unless Republicans can unify, there will be “a lot more fights down the road.” That discussion is likely to be a major focus for the House GOP at an internal conference meeting on Tuesday morning. McCarthy appeared to signal Monday night that he and his right flank had not reached firm agreements on contentious topics like spending or reopening deals cut during his arduous election as speaker. “The only thing we agreed to is we would sit down and talk more in the process,” McCarthy said, quipping about the concept that they had reached a “power-sharing agreement” in January: “I guess we’re a coalition. Five people all around.” Far-right Republicans’ move to let McCarthy move forward with the party’s agenda is a badly needed turn for the GOP leadership team, whose control of the floor has been paralyzed since last Tuesday. Top Republicans have been unable to take action even on broadly popular party bills.
McCarthy, Scalise tensions bubble into public over GOP rebellion - Tensions between House Speaker Kevin McCarthy (R-Calif.) and House Majority Leader Steve Scalise (R-La.) bubbled up into the open last week as House GOP leaders dealt with hard-line conservative rebels bringing action on the floor to a halt over the debt limit compromise with the White House. McCarthy on Wednesday morning directly named Scalise when explaining to reporters why the conservatives rebelled, pointing to a “misinterpretation” between Scalise and Rep. Andrew Clyde (R-Ga.). McCarthy answered “yes” when asked Wednesday evening if members of his leadership team were on the same page amid the floor drama. But in an interview with Punchbowl News on Wednesday afternoon, describing the rebellion on the House floor, Scalise pointed to the conservative members feeling “misled by the speaker” over McCarthy’s handling of the debt limit deal compared to the commitments he made during the Speaker’s race in January — a gripe that Scalise neither affirmed nor shot down. The two men publicly pointing to differing reasons behind the conservative rebellion represents a rare public display of the tensions between the GOP leaders managing a slim and spunky House majority. It’s a situation that some members hope can be put to rest sooner rather than later. “Cooler heads have got to prevail. They’re great people. They’re actually very similar,” Rep. Don Bacon (R-Neb.) said of Scalise and McCarthy, adding that he hopes they can work together. “They better.” McCarthy and Scalise have never been viewed as the best of friends, but any animosity has mostly stayed out of their public statements.
GOP moderates strike back after conservative revolt paralyzes House - Frustrations among moderate House Republicans are bubbling over. A week after a group of mutinous conservatives shut down the chamber floor, GOP moderates struck back, accusing the rebels of fracturing the conference and threatening to tank the party’s legislative agenda heading into the summer’s tough policy fights with President Biden. Frustrations reached a boiling point during a closed-door meeting of House Republicans on Tuesday morning. There, in the basement of the Capitol, a handful of moderate Republicans aired their grievances over last week’s revolt directly at the conservatives who orchestrated it. Others in the conference quickly hailed the spirited pushback, saying the moderates vented the frustrations of a vast majority of the GOP conference. “The three or four guys who spoke today spoke for 95 percent of us,” Rep. Don Bacon (R-Neb.) told The Hill Tuesday afternoon. “Ninety-five percent of us were pissed about it,” he said of the nearly weeklong deadlock in the House. “It wasn’t right, it hurt the team.” “What Republicans need to do is recognize that when you have an opportunity to take yes for an answer, go with it,” Rep. Steve Womack (R-Ark.), an Appropriations subcommittee chairman, said later in the day. He expressed frustration that the caps set out in the debt limit compromise are “being rejected by people in our conference that chose last week to demonstrate their angst by denying us an opportunity to have votes.” That stance, Womack said, makes it difficult for the House to have any negotiating credibility with the Democratic-controlled Senate.
GOP lawmaker drops f-bomb as moderates bash conservatives over revolt: ‘A little spicy in there’ - Moderate House Republicans lashed out Tuesday against the conservative lawmakers who shut down the chamber floor last week, using a closed-door GOP meeting to accuse the rebels — in apparently profane terms — of undermining the party’s agenda. Reps. Mike Lawler (R-N.Y.) and Derrick Van Orden (R-Wis.) castigated the hard-liners, according to a number of lawmakers in the room, in an exchange largely focused on the legislation that was blocked as a result of the conservative revolt. One GOP lawmaker, who spoke anonymously to discuss internal conversations, described the meeting as a “catharsis” and said it included cursing. “A little spicy in there,” the lawmaker added. Van Orden “dropped an f-bomb,” which elicited applause from other Republicans in the room, according to another GOP member. “He was just frustrated about being up here last week and not legislating any bills on the floor,” the first GOP lawmaker said of Van Orden. Lawler was angry that a regulatory bill he’s championed was held up when the conservatives shut down action on the floor, according to Rep. Tim Burchett (R-Tenn.). “He couldn’t get the bill presented, so he was cussing. And that’s understandable,” Burchett said. Rep. Chip Roy (R-Texas), one of the 11 conservative rebels, responded by arguing that all lawmakers have to represent their districts, which vary demographically across the country. “Chip just said, ‘I represent my constituents, too. My constituents are telling me we don’t need 4 trillion additional dollars in debt,’” Burchett added. He suggested the criticisms from the moderates would only backfire.
House to consider resolution to censure Adam Schiff --The House is looking to consider a resolution to censure Rep. Adam Schiff (D-Calif.) this week after a Republican lawmaker moved to force a vote on the measure. Rep. Anna Paulina Luna (R-Fla.), a member of the conservative Freedom Caucus, called the censure measure to the floor as a privileged resolution on Tuesday, forcing action on the legislation. House Majority Leader Steve Scalise (R-La.) said the measure would likely come to the floor on Wednesday. “I’m working with Rep. Luna, we want it to pass, so we’ll be working closely to get it brought to the floor,” he told reporters. Democrats can make a procedural motion to table the measure, which would effectively kill it, but that would require a majority vote. The office of House Democratic Whip Katherine Clark (Mass.) said the House is expected to hold a procedural vote related to the resolution on Wednesday. Luna brought the resolution to the floor as a privileged resolution the same day that former President Trump — who investigated Trump in the past and has been a target of GOP ire — pleaded not guilty to 37 counts following a Justice Department indictment on allegations that he improperly retained classified documents and refused to return them. Luna, a Trump ally, first introduced the measure on May 23. In a letter to Democratic colleagues on Tuesday, first reported by CNN, Schiff called the resolution “false and defamatory” and argued that his GOP colleague was bringing it to the floor in an attempt “to gratify the former President’s MAGA allies, and distract from Donald Trump’s legal troubles by retaliating against me for my role in exposing his abuses of power, and leading the first impeachment against him.” Schiff, who for years was the top Democrat on the House Intelligence Committee, has accused Trump of colluding with Russia in the lead-up to the 2016 presidential election. He also led the first impeachment inquiry of the former president that ended with the House voting to impeach the then-president for abuse of power and obstruction of Congress. This is not the first time House Republicans have gone after Schiff. In January, Speaker Kevin McCarthy (R-Calif.) blocked Schiff and Rep. Eric Swalwell (D-Calif.) from serving on the House Intelligence Committee, following through on a vow he had previously made. And in May, Luna filed a motion to expel Schiff from Congress. Luna’s censure would condemn and censure Schiff “for conduct that misleads the American people in a way that is not befitting an elected Member of the House of Representatives.” The legislation, which stretches four pages, zeroes in on allegations Schiff made about collusion between Russia and Trump’s team. It argues the California Democrat “abused” the trust he was afforded as chair and ranking member of the House Intelligence Committee, two roles he previously held.
These 20 House Republicans voted to block resolution to censure Adam Schiff --Twenty House Republicans joined Democrats on Wednesday in voting to table a resolution to censure Rep. Adam Schiff (D-Calif.), breaking from the majority of the GOP conference on a measure that was backed by leadership. The House voted 225-196-7 to effectively kill the measure, which was spearheaded by Rep. Anna Paulina Luna (R-Fla.). It called for censuring and condemning Schiff “for conduct that misleads the American people in a way that is not befitting an elected Member of the House of Representatives.” It also would have directed the Ethics Committee to conduct an investigation into Schiff’s “lies, misrepresentations, and abuses of sensitive information.” Twenty Republicans voted with Democrats in favor of the motion to table: Reps. Kelly Armstrong (N.D.), Lori Chavez-DeRemer (Ore.), Juan Ciscomani (Ariz.), Tom Cole (Okla.), Warren Davidson (Ohio), Brian Fitzpatrick (Pa.), Kay Granger (Texas), Garret Graves (La.), Thomas Kean Jr. (N.J.), Kevin Kiley (Calif.), Young Kim (Calif.), Mike Lawler (N.Y.), Thomas Massie (Ky.), Tom McClintock (Calif.), Mark Molinaro (N.Y.), Jay Obernolte (Calif.), Mike Simpson (Idaho), Mike Turner (Ohio), David Valadao (Calif.) and Steve Womack (Ark.). House Rules Committee Chairman Tom Cole (D-Okla.) Schiff, in comments after the vote, said he was “frankly surprised.” “And I think it showed a lot of courage for Republican members to stand up to the crazy MAGA folks,” he said. “I’m astounded by the vote frankly; it was basically almost 1 of 10 Republicans voted against this resolution,” Schiff later added. “I thought it would certainly pass. Didn’t imagine they would set themselves up for another defeat on the floor. After the fiasco we saw last week.” Massie signaled ahead of Wednesday’s vote that he would support the motion to table the censure resolution, zeroing in on a nonbinding “whereas” clause in the measure that said Schiff should be fined $16 million if the Ethics Committee finds that he “lied, made misrepresentations, and abused sensitive information.” That dollar figure, according to Luna, was half the amount of money American taxpayers paid to fund the investigation into potential collusion between Trump and Russia. According to the Justice Department, special counsel Robert Mueller’s investigation cost $32 million. “Adam Schiff acted unethically but if a resolution to fine him $16 million comes to the floor I will vote to table it. (vote against it),” Massie wrote on Twitter on Wednesday morning. “The Constitution says the House may make its own rules but we can’t violate other (later) provisions of the Constitution. A $16 million fine is a violation of the 27th and 8th amendments,” he added in a subsequent tweet. Five Democrats, all of whom sit on the House Ethics Committee, voted present: Reps. Mark DeSaulnier (Calif.), Veronica Escobar (Texas), Glenn Ivey (Md.), Deborah Ross (N.C.) and Susan Wild (Pa.). Republican Reps. George Santos (N.Y.) and Darrell Issa (Calif.) also voted present. Hours before the vote Wednesday, Santos posted a video on Twitter arguing that Schiff needed to be investigated. It is unclear why he ultimately voted present.
U.S. House Republicans target deeper spending cuts, raising shutdown threat (Reuters) - U.S House of Representatives Republicans on Thursday adopted government spending targets for the next fiscal year below the level agreed by Speaker Kevin McCarthy and Democratic President Joe Biden, setting up a fight with the Democratic-led Senate that could again risk a government shutdown. The House of Representatives Appropriations Committee voted 33-27 along party lines to adopt a discretionary spending level of $1.47 trillion for fiscal year 2024, which starts on Oct. 1. That is about $120 billion below the $1.59 trillion set out in the debt ceiling bill negotiated by Biden and McCarthy. The targets would maintain defense spending at the $866 billion level agreed in the debt ceiling legislation. But the plan would slash spending for the environment, public assistance and foreign aid. It would also increase spending for border security, drug enforcement and countering China. Democrats say that the lower levels renege on the debt-ceiling agreement. Republicans counter that the deal only capped spending. "The debt ceiling bill set a ceiling, not a floor, for fiscal year 2024 bills. The allocations before us reflect the change members on my side of the aisle want to see," said Appropriations Committee chair Kay Granger. Congress will try to pass 12 appropriations bills before October, covering everything from law enforcement to scientific research. On Wednesday, the panel adopted a bill that would cut spending on agriculture and the Food and Drug Administration by 30% from current levels. Republicans on the committee unveiled another bill for energy and water development that Democrats said cuts spending on domestic programs like green energy incentives by 22%. Democrats also objected to policies that Republicans attached to the spending bills, such as one that would prevent an abortion drug from being distributed through pharmacies. Lower spending levels could make it harder for the House to reach agreement with the Democratic-led Senate. Federal agencies could have to shut down if the two chambers are unable to agree to spending levels by October. "They're moving toward a shutdown. That's what they seem to want to guarantee," Representative Rosa DeLauro, the top House Democratic appropriator, told Reuters. Republican Representative Steve Womack also expressed concern about a shutdown. "I worry about what's going to happen on Oct. 1," he said.
Senate GOP fears House actions could lead to shutdown: ‘It’s going to be a problem’ - Senate Republicans are worried the House GOP’s decision to write government funding bills at levels below those laid out in the recently passed bipartisan debt ceiling bill will create a tough road for lawmakers to avert a government shutdown. House Republican leaders this week announced a plan to write 2024 spending bills at fiscal 2022 levels, an attempt to assuage House Freedom Caucus members who effectively shut down all work in the chamber last week over their dissatisfaction with the debt ceiling deal struck by Speaker Kevin McCarthy (R-Calif.) and President Biden. The news outraged Democrats and landed like a thud with GOP appropriators in the Senate, leaving them to scramble to get a funding bill through Congress before the end of September. “It’s going to be a problem,” Sen. Shelley Moore Capito (W.Va.), the No. 5 Senate Republican and an Appropriations Committee member, told The Hill. “I don’t want to co-opt what Sen. [Susan] Collins [R-Maine] might say, but … we struck an agreement that will write to those numbers.” “We’ll go into a collaborative conference, try to hash it out,” Capito continued. “But I don’t think it’s going to be easy.” More Senate coverage from The Hill Wyden opens ‘wide-ranging’ probe into PGA-LIV merger Cruz, Graham, Grassley join Democrats to advance journalism antitrust bill White House blasts Tuberville’s hold on military nominations Sen. Gillibrand introduces bill to protect older Americans in the workplace The Senate has eight working weeks between now and the end of September before a spending deal is needed, with the annual monthlong August recess sandwiched in between. In total, the decision to put the bills together at the 2022 levels would represent a $120 billion haircut that Democrats in both chambers and most Senate Republicans are not at all prepared to swallow. A number of Senate Republicans were already upset that the debt ceiling agreement likely will not allow for an increase in defense spending in any 2024 funding deal, and the possibility of even greater cuts is making the road to an agreement even more treacherous than before. Sen. Shelley Moore Capito (R-W.Va.)
House passes bill to block federal gas stove ban - -After a weeklong blockade of floor action by conservatives, the House passed bipartisan legislation Tuesday to prevent the federal government from banning gas stoves — the latest Republican bid to stop what they say is the Biden administration’s anti-fossil fuel agenda. The bill and a related measure expected to pass this week on efficiency measures for the appliances are unlikely to get votes in the Democratic-controlled Senate. But Republicans have touted their legislation as pushback against overreach by the Biden administration, even though there are no federal proposals to outright prohibit the sale of gas stoves under consideration. Lawmakers passed the Gas Stove Protection and Freedom Act, H.R. 1615 (118), which would bar the Consumer Product Safety Commission from banning gas stoves by a 248-180 vote. Twenty-nine Democrats ultimately voted alongside Republicans to support the measure. “We know the motivation of the CPSC and throughout this entire administration is a green climate push,” Rep. Kelly Armstrong (R-N.D.), the sponsor of the legislation, said. “The goal is to dictate how you live every aspect of your life — how you save and invest for the future by pushing ESG, how you drive by banning gas-powered cars, and now the goal is to control how you cook.” The votes came after House conservatives unexpectedly revolted last week and blocked a procedural measure setting up consideration of the legislation, a move aimed at showing their frustration over the deal Speaker Kevin McCarthy struck with the White House to raise the debt ceiling. McCarthy and the GOP hardliners eventually reached an agreement this week, teeing up advancement of the gas stove bill. The Consumer Product Safety Commission legislation would block the commission from using federal funds to ban gas stoves or to enforce any consumer product safety standard on gas stoves that would result in a prohibition of the appliance or substantially increase its average price. “Now they want to tell you what kind of stove you have to operate in your home and having to pick a less efficient and more costly option by banning gas stoves,” said Majority Leader Steve Scalise (R-La.). “We’re pushing back against that.” Republicans say the action, alongside a separate proposed efficiency rulemaking at the Energy Department, is an example of federal overreach infringing on consumers’ choices. It also comes as several Democratic-led cities and states seek to ban the appliances in new buildings.
White House sets fast pace for energy, climate rules -The Interior and Energy departments will spend the coming months trying to cement some of the White House’s critical energy ambitions, ahead of an election year in which Republicans are likely to attack President Joe Biden’s focus on boosting renewables and cutting planet-warming emissions.In the semiannual Unified Agenda— released Tuesday — the Biden administration outlines a packed energy policy agenda in the second half of 2023 and early 2024, targeting the natural gas sector with regulations on gas stoves and methane emissions. Federal regulators will also turn their attention to a flurry of other areas, including transmission, heat pumps and protections for the public lands in Alaska, where the White House recently green-lighted a massive oil project. The Department of Energy is aiming to finalize a regulation on gas stoves by January 2025. The proposed rule, released earlier this year, sets standards for energy efficiency levels rather than emissions — and could prohibit sales of roughly half the current gas stove models on the market.The proposal continues to fuel a firestorm on Capitol Hill. Later this week, House Republicans are set to pass a bill that would block the DOE regulation and “any substantially similar rule.” And on Tuesday, 29 House Democrats joined Republicans to pass legislation that would ban a separate agency, the Consumer Product Safety Commission, from implementing gas stove regulations. Neither bill is likely to pass the Democratic-controlled Senate.Meanwhile, the Biden administration is sparking anger among environmental groups after a series of approvals of major fossil fuel projects, most notably the Willow oil project on the North Slope of Alaska. Some environmentalists and political experts say the moves could dampen turnout among progressives at the polls next year.
'Betrayal': EPA power plant proposal faces backlash - EPA’s new proposal to cut carbon pollution from power plants relies on two technologies that are broadly opposed by environmental justice advocates.Champions for poor, Black and brown communities that have lived for decades with polluting infrastructure are angry that the Biden administration would propose retrofitting fossil fuel plants with carbon capture and storage (CCS) or hydrogen capacities instead of just shutting them down. They say the EPA proposal runs counter to the Biden administration’s emphasis on environmental equity.“I think it’s really a betrayal of a lot of the promises that the Biden administration has made to keep our communities whole and to repair some of the harms from the past,” said Juan Jhong-Chung, climate justice director at the Michigan Environmental Justice Coalition.“We know that CCS and hydrogen will extend the life of some coal and gas plants, and that’s actually going to harm many communities,” he added. “So yeah, it was really disappointing to hear that those two technologies are being suggested as possible paths for power plants to decarbonize.”EPA’s proposal for new and existing natural gas- and coal-fired power plants don’t mandate CCS or hydrogen co-firing as the way coal and gas plants would reduce emissions. Rather, the rule stipulates that plants that remain on the grid long term meet emissions limits that are consistent with those technologies. The standard applies to all coal plants and to the biggest natural gas plants.In broad strokes, EPA’s draft regulations give power plant owners a choice: They can retrofit their fossil fuels fleet, or they can retire it. The proposal — which EPA is taking comment on through July 24 — allows more than a decade for units to retrofit or exit the grid. EPA’s supporting documents show it’s betting the overwhelming majority will choose the latter option. But the proposal is expected to spur a marginal increase in deployment of coal with CCS and gas plants burning hydrogen.Sikowis Nobiss, executive director of the Great Plains Action Society, an Indigenous environmental justice group active in Iowa and Nebraska that opposes both coal-fired power and carbon dioxide pipeline construction, said the rule could make things harder for front-line communities.“This could just prolong these plants that we’re trying to get shut down,” she said. “I guess it’s just like a ‘wait and see what’s going to happen.’ And that honestly feels a little defeating.”
With new hope from Congress, gas pipeline project in NC may be revived. What we know.The developers of the proposed MVP Southgate gas pipeline have asked federal regulators for more time to complete the project.Thursday, a lawyer for the company that owns the Mountain Valley Pipeline project sent a letter to the Federal Energy Regulatory Commission asking it to extend the mandatory completion date of the project three years, to June 18, 2026.The proposed MVP Pipeline’s main stem would carry fracked natural gas from the Marcellus Shale in Virginia south to a compressor station in Chatham, Virginia. Despite years of challenges from climate change activists and environmental regulators, the project was revived in Congress’ debt ceiling negotiations in May, with the final package including approval of the pipeline.That approval also appears to have revived the MVP Southgate project, a proposed 75-mile stretch of pipeline running southwest from Chatham before entering North Carolina just northeast of Eden. The path would soon turn southeast and pass by Reidsville and Graham before ending just south of I-40 in Alamance County.“Mountain Valley is targeting to complete construction and commence service on the Mainline System by the end of 2023. After resolving Mainline System permitting, Mountain Valley can resume its permitting efforts for the Southgate Project,” Matthew Eggerding, a lawyer for Equitrans Midstream, wrote in the letter, which was first reported by NC Newsline.The Federal Energy Regulatory Commission regulates interstate pipelines, but the projects also need environmental approvals from environmental regulators in each state they pass through.MVP’s 303-mile main stem is about 94% complete, according to the project’s website. That includes the completion of three compressor stations and three interconnect facilities, as well about 280 miles of pipe. Some additional work is needed at an additional interconnect point.DEQ denied a Water Quality Certification for the Southgate extension in August 2020, citing ongoing uncertainty about the MVP’s mainline. Without the main stem, DEQ said, it wasn’t worth harming North Carolina waters and riparian buffers, particularly considering that pipeline operators intended to push ahead with discussion even if the West Virginia to Virginia portion’s fate remained undecided.”This problem is unique to the MVP Southgate project in that its sole utility and purpose is tied to and wholly relies on, the completion of the entire MVP Mainline project,” Bill Lane, DEQ’s general counsel, wrote in a denial letter.Republican legislators in North Carolina have long supported the Southgate extension, which they say would provide a boon for the economy and much-needed access to natural gas. That discussion gained some momentum in early 2021, after the Colonial Pipeline hack left North Carolinians scrambling for gas for days.At hearings about the hack, state legislators heard that there is only one pipeline supplying natural gas to North Carolina, something industry officials called “a vulnerability.”North Carolina environmentalists have been wary in recent weeks that the project would re-emerge. They’ve pointed to a provision in House Bill 600, a regulatory reform bill making its way through the Senate, that would limit the time the N.C. Department of Environmental Quality has to grant or deny the water quality certification. Under the proposed law, DEQ would have 30 days to deem an application complete and another 30 to approve or deny it.In an email to members of the Senate Rules Committee, Haw Riverkeeper Emily Sutton said the proposed changes were intended to aid the pipeline and would sharply curtail the involvement of both local governments and the public.“These permit processes are put in place to protect not only our environmental resources, but our communities who depend on them. This bill is meant to serve only the investors of the MVP Southgate project,” Sutton wrote.
Claims that UFO information was inappropriately withheld from Congress deemed ‘credible,’ ‘urgent’ -- According to explosive reporting, and a subsequent clarification, the powerful internal investigative body that oversees the nation’s intelligence agencies found a whistleblower’s assertion that UFO-related information was inappropriately concealed from Congress “urgent and credible.”Beyond this stunning revelation, the whistleblower – a former high-level intelligence official – was represented until recently by a lawyer who served previously as the intelligence community’s first inspector general, a Senate-confirmed position. The managing partner of the law firm representing the whistleblower reportedly co-signed the complaint submitted to the current intelligence community inspector general.In a June 9 press release, the firm that formerly represented the whistleblower clarified that it “took no position and takes no position” on the substance of the explosive information provided to the intelligence community inspector general, which the whistleblower “has now publicly characterized.”Importantly, current and former officials vouched for the whistleblower, David Grusch, while also corroborating the broad outlines of his allegations. Moreover, Grusch spoke to Congress for hours, generating hundreds of pages of transcripts. Grusch also gave an exclusive interview to Ross Coulthart of NewsNation, which like The Hill is owned by Nexstar Media Group.For their part, Grusch and other knowledgeable individuals who have spoken to investigators seem to have little incentive to lie. “Knowingly and willfully making false statements” to the intelligence community inspector general carries the risk of financial penalties and imprisonment.The facts enumerated above should, on their face, captivate every newsroom and living room in America. But there are reasons to be skeptical.For one, Grusch has not provided proof of his allegations. Similarly, the notion that such monumental revelations could remain secret for any appreciable amount of time strains credulity.In a statement to NewsNation, the Department of Defense denied that the Pentagon’s new UFO office has uncovered the sort of activity alleged by Grusch.
Biden officials are publicly touting the lack of a migrant surge. Privately, they’re scared. - It’s been more than a month since the Biden administration ended the Trump-era Title 42 public health order, and rather than a massive surge of migrants, the southern border has seen a reduction in crossings. But privately, Biden officials worry that things could get bad again and soon. “There was absolutely a feeling of, we can exhale now,” said a former Biden administration official, who was granted anonymity to speak freely about the mood among current administration officials. “But there’s also enough experience that nobody is going to roll out a band, or say it’s mission accomplished. It’s too fluid.” For the White House, the southern border has long resembled something akin to political quicksand, creating major headaches for President Joe Biden. For a period of time, he deputized Vice President Kamala Harris to address the steadily increasing number of migrants coming to the country through Mexico. But the criticism has endured and has loomed over his reelection bid as 2024 GOP contenders latch onto the issue. The administration’s hesitancy to declare victory now that border crossings have plummeted speaks to how vexing the issue remains for Biden and how politically scared his team has been by the matter. But it also reflects a belief inside the Biden administration that without a rewrite of immigration laws in Congress, its efforts to tackle the fundamental forces behind migration to the southern border won’t produce straight-line progress. In anticipation of the end of Title 42, which allowed border agents to immediately expel millions of migrants on Covid prevention grounds for more than three years, the Biden administration took a carrot-stick approach, combining tough consequences for unlawful border crossers and an expansion of lawful pathways and processes for those coming to the country legally. Administration officials credit those steps with the success they have witnessed over the past month. But they also believe it is a Band-aid approach, one that can’t fix a broken immigration system or guarantee the prevention of another surge. In the coming months, a number of legal challenges to its humanitarian parole program and asylum ban threaten to undo the very crux of the Biden administration’s post-Title 42 policy response.
US halts online asylum appointments at Texas crossing after extortion warnings (AP) — The Biden administration has stopped taking mobile app appointments to admit asylum-seekers at a Texas border crossing that connects to a notoriously dangerous Mexican city after advocates warned U.S. authorities that migrants were being targeted there for extortion. U.S. Customs and Border Protection gave no explanation for its decision to stop scheduling new appointments via the CBP One app for the crossing in Laredo, Texas. Several asylum-seekers told The Associated Press that Mexican officials in Nuevo Laredo, across the border from Laredo, Texas, had threatened to hold them and make them miss their scheduled asylum appointments unless they paid them. Humanitarian groups in Laredo say they had recently warned CBP of the problems and that certain groups were controlling access to the international crossing on the Mexican side. Migrant advocates say the situation in Nuevo Laredo, which is plagued by cartel fighting and other problems, casts doubt on the administration’s argument that Mexico is a safe place for the record number of people fleeing violence in Central America and elsewhere. Rafael Alvarez, 29, who fled Venezuela, said that after he landed in Nuevo Laredo in early June, Mexican immigration authorities at the airport seized his travel documents, including a printout of the email confirming his CBP One appointment, and demanded he pay 1,000 Mexican pesos, about $57. He was held with other migrants. “They would tell us covertly, ‘You’re going to put the money in this envelope and pass it to us,’” Alvarez said, recalling what officials told him and other migrants. The officials, he said, threatened to hold them so they would have their appointments canceled. Alvarez, whose appointment was the next day, said he refused to pay and was eventually released, but five Russians who were held with him paid a total of 5,000 pesos, about $290. They initially were asked to fork over double that amount, but they told officials they did not have that much, he said. Alvarez said other Venezuelan friends who flew to Nuevo Laredo in late May also paid to have their documents returned.
Newsom says he’d agree to a debate against DeSantis moderated by Hannity -- California Gov. Gavin Newsom (D) said he would agree to a debate with Florida Gov. Ron DeSantis (R) moderated by Fox News host Sean Hannity. “I’m all in. Count on it,” Newsom told Hannity during a sitdown interview on Fox News that aired Monday. “You would do a two-hour debate with Ron DeSantis?” Hannity asked. “Make it three,” Newsom responded. “I would do it one day’s notice with no notes. I look forward to that.” Tensions between the two governors have grown after a dozen migrants from the Texas border were flown to Sacramento, Calif. The Florida Division of Emergency Management confirmed last week that the state was behind recent migrant flights to California. “From left-leaning mayors in El Paso, Texas, and Denver, Colorado, the relocation of those illegally crossing the United States border is not new,” division of emergency management spokesperson Alecia Collins said in a statement to The Hill last week. “But suddenly, when Florida sends illegal aliens to a sanctuary city, it’s false imprisonment and kidnapping.” Sixteen South American migrants who entered the country through Texas were dropped off outside the Roman Catholic church in Sacramento earlier this month after boarding a private plane. California Attorney General Rob Bonta (D) said he met with the migrants and that there was “no prior arrangement or care in place” for them. He also said the migrants were carrying documentation from Florida. Newsom and Bonta have questioned whether the flight to Sacramento was legal, suggesting that it could be “state-sanctioned” kidnapping. Hannity pushed back on Newsom, saying that the migrants had signed a waiver. Newsom noted he saw the waiver, but it did not make any sense to him. The California governor went on to point out that Florida was not a border state, but DeSantis is desperate “to get in on the action.”
Supreme Court preserves law that aims to keep Native American children with tribal families (AP) — The Supreme Court on Thursday preserved the system that gives preference to Native American families in foster care and adoption proceedings of Native children, rejecting a broad attack from some Republican-led states and white families who argued it is based on race. The court left in place the 1978 Indian Child Welfare Act,, which was enacted to address concerns that Native children were being separated from their families and, too frequently, placed in non-Native homes. Tribal leaders have backed the law as a means of preserving their families, traditions and cultures. The “issues are complicated” Justice Amy Coney Barrett wrote for a seven-justice majority, but the “bottom line is that we reject all of petitioners’ challenges to the statute.” Justices Clarence Thomas and Samuel Alito dissented, with Alito writing that the decision “disserves the rights and interests of these children.” Congress passed the law in response to the alarming rate at which Native American and Alaska Native children were taken from their homes by public and private agencies.The law requires states to notify tribes and seek placement with the child’s extended family, members of the child’s tribe or other Native American families. Three white families, the state of Texas and a small number of other states claim the law is based on race and is unconstitutional under the equal protection clause. They also contend it puts the interests of tribes ahead of children and improperly allows the federal government too much power over adoptions and foster placements, areas that typically are under state control.
In affirmative action and student loan cases, some see backlash to racial progress in education (AP) — As a Black student who was raised by a single mother, Makia Green believes she benefited from a program that gave preference to students of color from economically disadvantaged backgrounds when she was admitted over a decade ago to the University of Rochester. As a borrower who still owes just over $20,000 on her undergraduate student loans, she has been counting on President Joe Biden’s promised debt relief to wipe nearly all of that away. Now, both affirmative action and the student loan cancellation plan — policies that disproportionately help Black students — could soon be dismantled by the U.S. Supreme Court. To Green and many other people of color, the efforts to roll them back reflect a larger backlash to racial progress in higher education. “I feel like working people have been through enough — I have been through enough,” said Green, a community organizer. “From a pandemic, an uprising, a recession, the cost of living price going up. I deserved some relief.” The rulings could also have political consequences among a generation of young voters of color who took Biden at his word when he promised to cancel debt, said Wisdom Cole, director of NAACP’s youth and college program. “Year after year, we have elected officials, we have advocates, we have different politicos coming to our communities making promises. But now it’s time to deliver on those promises,” he said. The president’s plan forgives up to $10,000 in federal student debt for borrowers, and doubles the debt relief to $20,000 for borrowers who also received Pell Grants. About half of the average debt held by Black and Hispanic borrowers would be wiped out, according to the White House. Six Republican-led states filed a legal challenge questioning whether the president, a Democrat, has authority to forgive the debt. In the affirmative action cases, the court is considering the use of race-conscious admissions policies that many selective colleges have used for decades to help build diversity on their campuses. The cases were brought by a conservative activist who argues the Constitution forbids the use of race in college admissions. The high court is expected to rule in each of the cases by the end of June.
House fails to override Biden veto on DC accountability bill The House on Tuesday failed to override President Biden’s veto of a resolution that would block Washington, D.C.’s police accountability bill from taking effect. The chamber voted 233-197 to override Biden’s veto, which was short of the two-thirds support needed. Thirteen Democrats voted with Republicans in support of the veto override: Reps. Nikki Budzinski (Ill.), Angie Craig (Minn.), Henry Cuellar (Texas), Don Davis (N.C.), Jared Golden (Maine), Susie Lee (Nevada), Wiley Nickel (N.C.), Jimmy Panetta (Calif.), Chris Pappas (N.H.), Marie Gluesenkamp Perez (Wash.), Pat Ryan (N.Y.), Kim Schrier (Wash.) and Eric Sorensen (Ill.). The House OK’d the disapproval resolution in April and the Senate followed suit in May, leading Biden to veto the measure on May 25, as the White House said he would.House Republicans have introduced a number of disapproval resolutions taking aim at D.C. policy since transition into the majority. They saw success with the effort in March when the president signed a disapproval resolution overturning D.C.’s crime bill after the White House initially said it was opposed to it — a move that drew ire from several Democrats. Republicans have specifically zeroed in on crime-related policies in an effort to put a spotlight on a hot-button issue that resonated with voters during the 2022 midterm elections. It also forces lawmakers to go on the record on the matter. The D.C. measure in Tuesday’s resolution — a police accountability bill titled the Comprehensive Policing and Justice Reform Amendment Act — would permanently enact some reforms that the District put in place temporarily after George Floyd was killed in 2020. The measure, for example, limits police searches based on receiving consent instead of a warrant, restricts the use of nonlethal weapons when trying to mitigate riots, adds civilians to disciplinary review boards, and cements a requirement that videos captured on body cameras are released publicly in the cases of police-involved shootings. The legislation passed through the D.C. Council in December, but Mayor Muriel Bowser (D) did not sign or veto the measure. In Washington, D.C., legislation can be enacted even if it is not signed by the mayor.
Raskin defends pistol brace rule: ‘We want them to read the 2nd Amendment’ --Rep. Jamie Raskin (D-Md.) defended the Biden administration’s restriction on pistol braces and rejected arguments from Republicans who claim it violates the Second Amendment, saying, “We don’t want them to repeal the Second Amendment. We want them to read the Second Amendment.” Raskin argued that his Republican colleagues repeatedly invoke the second half of the Second Amendment, describing the right to keep and bear arms, but gloss over the first half that says, “a well regulated militia, being necessary to the security of a free state.” “They say we want to repeal the Second Amendment. Mr. Speaker, we don’t want them to repeal the Second Amendment. We want them to read the Second Amendment,” Raskin said on the House floor Tuesday. “Because the Second Amendment would ask us why we are allowing people to go into elementary schools, Walmarts, supermarkets, churches and synagogues all over America with AR-15s enabled, sometimes with the stabilizing brace – as in Dayton, Ohio, Boulder, Colorado, Colorado Springs, Nashville, Tennessee – and assassinate our people.” “If a foreign government were doing it, we would declare war on them, but since we’re just allowing the gun industry to spread these weapons of mass destruction around the country, they want to allow it. And they say that the Second Amendment must be respected in this strange and distorted way because they believe the Second Amendment gives the people the right to overthrow the government,” he continued.
Federal government to give states $930M in grants to expand high-speed internet - The Biden administration on Friday announced it will give just over $930 million in grants to expand high-speed internet infrastructure across 35 states and Puerto Rico. The effort, part of a program under the Department of Commerce, aims to give communities infrastructure to carry large amounts of data over long distances and increase capacity to local networks, according to the administration. Officials say the infrastructure also boosts network resiliency, lowers the cost of bringing high-speed internet service to unconnected households and helps connect unserved regions. Funding through the Enabling Middle Mile Broadband Infrastructure Program comes from the $1.2 trillion bipartisan infrastructure bill that Biden signed in November 2021. The law provided $65 billion to expand affordable and reliable high-speed Internet access and $1 billion on that funds the Middle Mile program. The program was created to bring high-speed internet to unserved and underserved communities, military bases and Tribal lands.
GOP senator will block Biden’s Justice Department nominees to protest Trump indictment --Ohio Sen. J.D. Vance announced Tuesday that he will block all of President Biden’s nominees to the Department of Justice to protest a 37-count indictment that Special Counsel Jack Smith has brought against former President Donald Trump in federal court in Florida. “Donald Trump is merely the latest victim of a Department of Justice that cares more about politics than law enforcement,” Vance said in a statement. “Starting today, I will hold all Department of Justice nominations. If Merrick Garland wants to use these officials to harass Joe Biden’s political opponents, we will grind his department to a halt,” he declared. Vance’s hold on Justice Department nominees will not apply to individuals nominated to the U.S. Marshals Service. The action will not prevent Senate Democrats from confirming Biden’s nominees to the department if they have enough votes, but it will require Senate Majority Leader Chuck Schumer (D-N.Y.) to schedule votes on individual nominees, which will eat up floor time. Often nominees are agreed to by unanimous consent on the floor to speed up the process. But Vance says the Department of Justice has unfairly targeted conservatives. “Merrick Garland’s department harasses Christians for pro-life advocacy, but allows hardened criminals to walk our streets unpunished. This must stop, and I will do everything in my ability to ensure it does,” Vance said. His office pointed to a report that 13 states have signed onto a Freedom of Information Act lawsuit seeking records from the administration on possible FBI surveillance of parents protesting school boards.
The surprising corner of the Senate that's sinking Biden nominees - Relatively obscure nominations are turning into Senate knife fights as 2024 approaches. And the Commerce Committee is the center of the action. So far this year, three Biden picks for executive-branch positions withdrew because they lacked enough support in the committee, which has four Democratic members up for reelection in swing states next fall. And when Republicans stick together — under the surprising leadership of Sen. Ted Cruz (R-Texas) — that can cause problems. In theory, the Democratic Senate can unilaterally confirm anyone with 50 votes and push nominations through committees with simple majorities. But that requires near-total party unity — which isn’t always easy to achieve on the Commerce Committee, other panels or the Senate floor. It’s a dynamic that could force Biden to keep acting officials in some top jobs, which Trump took to extremes and elicited Democratic criticism. But the Biden administration, congressional Democrats and the nominees themselves are realizing some fights aren’t even worth having. Take Ann Carlson, who Biden tapped to run the National Highway and Traffic Safety Administration. Facing tough attacks from Cruz and committee Republicans, she removed herself from consideration two months after the White House nominated her. The Carlson episode is instructive for a White House and Democratic Senate that’s faced several tough nomination crunches. At the moment, Labor Secretary hopeful Julie Su is in the highest-profile fight, as a handful of Democratic senators remain undecided and there’s no floor vote in sight.
Biden pick Choudhury becomes first Muslim woman confirmed as federal judge -Nusrat Jahan Choudhury, President Biden’s pick for a federal judgeship in New York, was confirmed Thursday by the Senate, making her the first Muslim woman on the federal bench. Choudhury, who is also the first Bangladeshi American confirmed to a federal judgeship, will serve the Eastern District of New York in Brooklyn. She was confirmed in a 50-49 vote, with Sen. Joe Manchin (W.Va.) the only Democrat to vote against her confirmation. Before being nominated to the bench by Biden in January 2022, Choudhury spent her entire legal career with the American Civil Liberties Union (ACLU). She was most recently the legal director of the ACLU of Illinois. She previously worked with the ACLU’s racial justice program, filing lawsuits fighting racial discrimination around the country including against the federal government — charging the FBI “no-fly-list” violated due process — and against the New York Police Department over alleged discriminatory practices. Republicans and Manchin shared concerns that some of Choudhury’s past remarks about police violence against Black people could show a bias. “Previous statements call into question her ability to be unbiased towards the work of our brave law enforcement,” Manchin said in a statement Wednesday.
Walensky to face House COVID panel before stepping down as CDC head -- Rochelle Walensky, director of the Centers for Disease Control and Prevention (CDC), will testify before the House Select Subcommittee on the Coronavirus Pandemic on Tuesday to discuss the decisions her agency made during the pandemic. This will be the final appearance she will make in front of the GOP-led panel before she steps down as head of the CDC at the end of this month. She is the sole witness scheduled to speak before the committee on Tuesday. Walensky will likely face harsh questioning from the GOP members of the committee, with several of the representatives having blasted the agency’s recommended guidance during the pandemic. Rep. Brad Wenstrup (R-Ohio), chair of the committee, said the hearing will look into the “ineffectual public policy decisions” made by the CDC during the COVID-19 outbreak, citing measure like vaccine and mask mandates as well as public guidance that was issued. Wenstrup has indicated the CDC’s school reopening guidance will be among the major topics to be considered during the hearing, bringing up concerns over potential “political interference” from a major teachers union and the federal agency. Much of the subcommittee’s activity under the Republican majority has dealt with the origins of the COVID-19 pandemic. Last month, the panel held a hearing on nursing home mortality due to COVID. The Golden Globes gets a new owner as the Hollywood Foreign Press closes Mother of 6-year-old who shot Virginia teacher pleads guilty to federal gun charges This hearing takes places just weeks before Walensky is set to leave the CDC as its director, having announced her departure last month.
The Great Grift: How billions in COVID-19 relief aid was stolen or wasted (AP) — Much of the theft was brazen, even simple. Fraudsters used the Social Security numbers of dead people and federal prisoners to get unemployment checks. Cheaters collected those benefits in multiple states. And federal loan applicants weren’t cross-checked against a Treasury Department database that would have raised red flags about sketchy borrowers. Criminals and gangs grabbed the money. But so did a U.S. soldier in Georgia, the pastors of a defunct church in Texas, a former state lawmaker in Missouri and a roofing contractor in Montana. All of it led to the greatest grift in U.S. history, with thieves plundering billions of dollars in federal COVID-19 relief aid intended to combat the worst pandemic in a century and to stabilize an economy in free fall. An Associated Press analysis found that fraudsters potentially stole more than $280 billion in COVID-19 relief funding; another $123 billion was wasted or misspent. Combined, the loss represents 10% of the $4.2 trillion the U.S. government has so far disbursed in COVID relief aid. That number is certain to grow as investigators dig deeper into thousands of potential schemes. How could so much be stolen? Investigators and outside experts say the government, in seeking to quickly spend trillions in relief aid, conducted too little oversight during the pandemic’s early stages and instituted too few restrictions on applicants. In short, they say, the grift was just way too easy. “Here was this sort of endless pot of money that anyone could access,” said Dan Fruchter, chief of the fraud and white-collar crime unit at the U.S. Attorney’s office in the Eastern District of Washington. “Folks kind of fooled themselves into thinking that it was a socially acceptable thing to do, even though it wasn’t legal.” The U.S. government has charged more than 2,230 defendants with pandemic-related fraud crimes and is conducting thousands of investigations. Most of the looted money was swiped from three large pandemic-relief initiatives launched during the Trump administration and inherited by President Joe Biden. Those programs were designed to help small businesses and unemployed workers survive the economic upheaval caused by the pandemic. The pilfering was wide but not always as deep as the eye-catching headlines about cases involving many millions of dollars. But all of the theft, big and small, illustrates an epidemic of scams and swindles at a time America was grappling with overrun hospitals, school closures and shuttered businesses. Since the pandemic began in early 2020, more than 1.13 million people in the U.S. have died from COVID-19, according to the Centers for Disease Control and Prevention. Michael Horowitz, the U.S. Justice Department inspector general who chairs the federal Pandemic Response Accountability Committee, told Congress the fraud is “clearly in the tens of billions of dollars” and may eventually exceed $100 billion.
NAACP knocks Biden for agreeing to end pause on student loan payments in debt deal --The NAACP sent an open letter to President Biden on Tuesday admonishing his agreement to end the pause on federal student loan payments as part of negotiations with Speaker Kevin McCarthy (R-Calif.) to resolve the debt ceiling crisis. The organization said the ramifications will only perpetuate a cycle of poverty disproportionately affecting Black Americans. Though the debt limit deal, which Biden signed earlier this month, was “wholeheartedly welcomed,” wrote NAACP CEO and President Derrick Johnson and youth and college division Director Wisdom Cole, they are “disappointed that the needs of Black communities have suffered from the negotiated agreement that will erode economic progress for Black Americans.”“Given the Administration’s stated focus on equity, it is disappointing that narrowing the racial wealth gap was not given a higher priority,” the two said. Student loan repayments were paused by then-President Trump in early 2020 as the nation reeled from the effects of the economic crisis caused by the COVID-19 pandemic. The pause has been extended several times, but the Biden-McCarthy agreement locks in its termination; payments are now set to resume in October.“So that is another victory because that brings in $5 billion each month to the American public,” McCarthy said on Fox News after the deal was announced.In August, Biden also announced a plan to cancel up to $10,000 in federal loan debt and up to $20,000 for recipients of Pell Grants, which are awarded to low-income students. Nearly 60 percent of Pell Grant recipients are Black students. But Biden’s debt forgiveness proposal now faces challenges before the Supreme Court, which appeared skeptical of it in oral arguments earlier this year. The high court’s decision on the legality of the plan is expected before the end of the month and potentially as soon as this week. Though the NAACP applauded Biden’s decision when it was first announced, the organization has also stated that a minimum of $50,000 in student loan forgiveness would be needed to begin closing the racial wealth gap. Black student loan borrowers are 50 percent more likely to have their loans fall into default. They also hold the most debt out of any other racial group, according to a report by PBS NewsHour. Among 2016 graduates, nearly 40 percent of Black students graduated college with $30,000 or more in debt, compared to only 29 percent of white students, 23 percent of Hispanic students and 18 percent of Asian students.
Senate Republicans introduce plan to tackle student loan debt - Senate Republicans are unveiling their own plan to tackle student debt as the Supreme Court is set to rule soon on President Biden’s student debt relief program. The GOP package, called the “Lowering Education Costs and Debt Act,” consists of five bills that the senators say will address the root causes of the student debt issue such as the increasing price of college and students taking out loans they can’t afford. The package was introduced by five Republican senators: Bill Cassidy (La.), the ranking member of the Senate Health, Education, Labor, and Pensions Committee; Chuck Grassley (Iowa), John Cornyn (Texas), Tommy Tuberville (Ala.) and Tim Scott (S.C.). The first two bills in the package specifically deal with how colleges give students information before they decide to attend. The “College Transparency Act (CTA)” would reform the college data reporting system so students have better information about outcomes at schools before committing to a university. The “Understanding the True Cost of College Act” will require schools to have a similar style for their financial aid letters with a breakdown of the aid so students can better compare offers. The last three bills deal directly with student loans, including how information is given to borrowers and limiting some borrowing. The “Informed Student Borrower Act” requires students to be more informed when applying for a loan by acknowledging they received student loan entrance materials or they participated in entrance counseling. The students would receive materials that show how long it would take to pay off their loans, how much the monthly payments would be and what they will likely make going to a certain school and program. The students would receive this information yearly. The fourth bill addresses the nine different student loan repayment options the Department of Education offers. These options, with eligibility based on income and loan type, gave borrowers different timeline options for paying off their loans and the amount they would owe each month. The bill cuts those repayment options down to two to simplify the process. The standard 10-year repayment plan for borrowers would remain and the REPAYE program would stay, with some changes. The REPAYE program gives loan forgiveness earlier to low-income individuals who have low balances on their loans. Additionally, loans can not be given to undergraduate or graduate programs that have shown the earning potential is not higher than a high school graduate or bachelor’s degree under the bill.
DOJ seeks 14-year prison sentence for Jan. 6 rioter who pleaded guilty to using Taser on police officer - The Department of Justice (DOJ) is planning to seek a 14-year prison sentence for a Jan 6. defendant who pleaded guilty to using a Taser on former Capitol Police officer Michael Fanone during the insurrection. According to a sentencing memorandum filed last week, federal prosecutors argued that Daniel Rodriguez’s actions on that day add up to domestic terrorism, referring to him as a “one of the most violent defendants” on Jan 6. Rodriguez, a Fontana, California resident, pleaded guilty earlier in February to conspiracy, obstruction of an official proceeding, obstruction of justice, and assaulting a law enforcement officer with a dangerous weapon as part of his plea deal. Rodriguez also admitted to assaulting Fanone during the insurrection, tasing the former police officer twice in the back of his neck, as Fanone was then dragged into the crowd by other rioters. Fanone, who currently serves as a law enforcement analyst for CNN, suffered a minor heart attack and a traumatic brain injury in the attack, resulting in his resignation from the police force. Federal prosecutors said that Rodriguez was part of a Telegram group chat called “Patriots 45 MAGA Gang,” created in 2020, in which group members used the platform to coordinate their activities before, during and after the riot, which includes stockpiling weapons and tactical gear to bring to Washington, D.C. Rodriguez, 40, also conspired “to stop, delay, and hinder Congress’s Certification of the Electoral College Vote as well as to prevent evidence from being used in the investigation of his and his co-conspirators’ activities,” court documents said. Along with the 14-year prison sentence, prosecutors also requested Rodriguez to serve 36 months’ supervised release and pay nearly $99,000 in restitution, the sentencing memo reads.
GOP rep accuses DOJ of setting trap to imprison Trump supporters: ‘They want J6 again’ - Rep. Clay Higgins (R-La.) has accused the Justice Department of setting a trap to imprison supporters of former President Trump, who has called for protests in response to his latest indictment over allegedly mishandling classified documents. Trump arrived in Florida on Monday, ahead of his arraignment Tuesday in Miami, where thousands of protesters are expected to turn out Tuesday. Higgins cast the case as a threat to America, but he urged fellow Trump supporters not to “fall for the trap,” drawing a parallel to the Jan. 6, 2021, attack on the Capitol, which has seen hundreds of federal prosecutions of those involved. “My fellow conservatives, the DOJ/FBI doesn’t expect to imprison Trump, they expect to imprison you. They want J6 again, in Miami and in your city and in mine. They want MAGA conservatives to react to this perimeter probe and in doing so, set yourselves up for targeted persecution and further entrapment,” Higgins said in a Sunday release from his office. “They want to intercept a busload of conservatives en route to protest and create conflicts during the stop. They are hoping to provoke conservative Americans. Don’t fall for the trap,” the Louisiana lawmaker said, adding “don’t become an incarcerated pawn in the agenda driven DOJ/FBI strategy to oppress conservatives across America.”
Senate GOP leaders break with House on Trump indictment - Senate Republican leaders, including Sen. Mitch McConnell (R-Ky.), are staying quiet about former President Trump’s indictment on 37 criminal charges, letting him twist in the wind and breaking with House Republican leaders who have rushed to Trump’s defense. McConnell, who is careful not to comment on Trump or even repeat his name in public, has said to his GOP colleagues that he wants his party to turn the page on the former president, whom he sees as a flawed general election candidate and a drag on Senate Republican candidates. The Senate GOP leader’s top deputies — Senate Republican Whip John Thune (S.D.) and Sen. John Cornyn (R-Texas) — have also indicated they don’t want Trump to win the party’s 2024 presidential nomination. They, along with McConnell, are letting Trump’s legal troubles unfold without coming to the former president’s defense, in contrast to Speaker Kevin McCarthy (R-Calif.) and House Majority Leader Steve Scalise (R-La.), who both issued statements Thursday criticizing the Justice Department before the indictment was unsealed to the public. “They want him to go away, so they wouldn’t be very upset if this is the thing that finally takes him out,” a former Senate Republican aide said about the Senate Republican leaders’ silence on Trump’s indictment.
John Bolton: Trump indictment ‘devastating’ - Former national security adviser John Bolton said the federal charges brought against former President Trump last week are “devastating,” adding the indictment should result in the end of Trump’s political career. “This is a devastating indictment,” Bolton, who served under Trump, said Monday on CNN. “I speak here as an alumnus of the Justice Department myself, because not only is it powerful, it’s very narrowly tailored. They didn’t throw everything up against the wall to see what would stick that this really is a rifle shot. And I think it’s, it should be the end of Donald Trump’s political career.” The Justice Department last week unveiled an indictment brought against the former president. It includes 37 counts of federal charges in connection with his handling of classified documents at Trump’s Mar-a-Lago residence. The indictment details how the former president allegedly sought to keep the classified documents from federal investigators, shared them with people without security clearances and improperly stored them. Bolton said Trump may have taken the documents because he “may have just thought were cool.” He said he would have to see what was in the documents to answer the question of why Trump may have taken them. “I hoped the Justice Department really does try for a speedy trial, because frankly, the sooner it goes to a jury, and we find out their answer, whatever, whatever that answer is going to be the better for the country,” Bolton said. “Justice delayed, as they say, is justice denied, and the court should not let Donald Trump get the kind of delay I suspect he wants.”
Alyssa Farah Griffin: Trump indictment worse than what ‘greatest detractors could have dreamt up’ -Former White House communications director Alyssa Farah Griffin said Monday that former President Trump’s indictment was worse than what his “greatest detractors” thought it could be. “There’s liability that comes with representing Donald Trump,” Griffin said on CNN. “It’s the same reason he struggled to hire really credible staff even on the campaign and the reelection side of things because you expose yourself to things like Walt Nauta is now seeing, where you yourself can be guilty of committing a crime under his purview.” “What I think I’m so struck by in this is this indictment, I think, is worse than Donald Trump’s greatest detractors could have dreamt up. Thirty-seven counts, the level of specificity, the details, the imagery, the pictures,” she added. The Justice Department unveiled its indictment against Trump last week, charging him with 37 counts of mishandling classified documents at his Mar-a-Lago residence and his attempts to block the government from getting those documents. Nauta, one of his aides, was also charged in connection with the mishandling of documents. Griffin, who served as the communications director under Trump, said it will ultimately come down to what kind of intelligence the documents contained, but “we’re talking nuclear secrets, five-eyes intelligence, the most sensitive intelligence sitting at a country club, in a bathroom with the chandelier.” “This is a pretty clear-cut case in the eyes of just the American public. I don’t know how he’s going to find a strong defense,” she added.
Trump is 'toast' if classified records case is proven, ex-attorney general says (Reuters) - Former U.S. Attorney General William Barr on Sunday defended Special Counsel Jack Smith's 37-count indictment against Donald Trump on Sunday, saying if the allegations the former president willfully retained hundreds of highly classified documents are proven true, then "he's toast." "I was shocked by the degree of sensitivity of these documents and how many there were, ... and I think the counts under the Espionage Act that he willfully retained those documents are solid counts," Barr, who served under Trump, told "Fox News Sunday." "If even half of it is true, then he's toast." The comments from Barr, who was Trump's attorney general from February of 2019 through December of 2020, are notable and were made at a time when many other prominent Republicans have been hesitant to criticize the former president and current Republican front-runner in the 2024 White House race. Trump responded to Barr's comments with criticism and insults. Describing Barr as a "lazy" and "weak" attorney general, Trump on his social media platform Truth Social said he only made the comments because he was disgruntled and that they were misinformation. "Turn off Fox News when that "Gutless Pig" is on," Trump said. The former president is due to appear in a federal courthouse in Miami on Tuesday to make his initial appearance on the charges, which include the willful retention of highly sensitive national defense records under the Espionage Act, obstruction of justice, making false statements, conspiracy and concealment. Trump told Politico on Saturday that he would continue his presidential campaign, even if he were convicted in the case, saying "I'll never leave." Meanwhile, hundreds of pro-Trump supporters drove in a caravan from Miami to Palm Beach on Sunday to show their support for the former president, as has been done on several previous occasions since he left office.
Fox News’s Turley: Trump could face ‘terminal sentence’ if DOJ proves even one count - Fox News legal analyst Jonathan Turley says former President Trump could die in prison if convicted on just one count after being indicted by the Justice Department last week on dozens of charges related to his handling of classified documents. “The problem is, he’s got to run the table — he’s 76 years old,” Turley, a former opinion contributor for The Hill, said of Trump during an appearance on Fox News. “All the government has to do is stick the landing on one count, and he could have a terminal sentence. You’re talking about crimes that have a 10- or 20-year period as a maximum.” Turley said the evidence laid out against Trump in the indictment revealed last week is “quite strong.” “Now, we have not heard their other side. Generally, the indictments are a lot stronger on the day they are issued than on the next day, so they may be able to knock down some of these issues,” Turley said. “But some of the evidence is coming from his former counsel, and these are very damaging statements made against him. It may be hard to move those.” The indictment alleges Trump violated the Espionage Act, with federal prosecutors saying the president put “the national security of the United States, foreign relations, the safety of the United States military, and human sources and the continued viability of sensitive intelligence collection methods,” at risk.
Scaramucci says Trump ‘stressed’ about indictment, predicts he will eventually drop out of race --Anthony Scaramucci, who served as White House communications director under former President Trump, said Monday that he believes Trump is “stressed” about the indictment and predicted he will eventually drop out of the 2024 White House race. “I know President Trump’s personality reasonably well,” Scaramucci said in an interview on NewsNation’s “Cuomo.” “Remember, it wasn’t just 11 days for me; it was 71 campaign stops and a full year’s worth of work. He does not like this. He is stressed about it.” Scaramucci served in his White House role for just 11 days in July 2017 before being dismissed by the former president. He has since become an outspoken critic of Trump and said he is backing former New Jersey Gov. Chris Christie in the 2024 election. Former White House communications director Anthony Scaramucci speaks to members of the media at the White House in Washington, Tuesday, July 25, 2017. (AP Photo/Pablo Martinez Monsivais) Despite Trump’s avowal to stay in the race, Scaramucci predicted that the former president would eventually bow out. “I am going to say something contrarian on your show,” Scaramucci said Monday. “I think he ends up eventually dropping out of the race.” “And I think he ends up coming up with some type of Spiro Agnew-like plea where he’s out, doesn’t go to jail,” he continued. “Something happens to him, but not too significant.” Former Vice President Spiro Agnew resigned in disgrace in 1973, pleading no contest to tax evasion in exchange for the dropping of political corruption charges. He faced a fine, probation and disbarment but did not go to jail.
How Aileen Cannon, one of Trump's favorite judges, could help him in the documents case - Donald Trump seemed to win the judicial lottery when his newest criminal case — a 37-count indictment for hoarding classified documents and obstructing a grand jury probe — landed before U.S. District Court Judge Aileen Cannon.Cannon, a Trump appointee confirmed to the federal bench just days after Trump lost his reelection bid, ruled deferentially for Trump last summer when he contested the FBI’s seizure of some of those very documents. Legal experts described Cannon’s pro-Trump rulings at the time as audacious andeven lawless, and a conservative appeals-court panel (which itself consisted of two other Trump appointees) quickly overruled her.Now, Cannon will be in an even more powerful position to steer Trump’s legal fortunes. After special counsel Jack Smith obtained an indictment in the Southern District of Florida, about seven active judges in the district appeared eligible to preside over the case. In an apparently random twist of fate, the court’s computerized assignment system allocated the case to Cannon. She is not expected to handle Trump’s initial court appearance on Tuesday; that will take place in front of a magistrate judge. But Cannon is expected to have control of the case in the weeks and months ahead (unless she heeds the calls of some ethics experts who are already saying she should step aside). As the presiding judge, she will resolve an array of pretrial disputes on everything from the admissibility of evidence to jury-selection procedures to the timing of a trial to the validity of the case itself. Here’s a look at the key issues that will be in Cannon’s purview, any of which could become decisive in the first-ever federal prosecution of a former president.
Trump arrives in Florida to face charges, maintains lead in poll (Reuters) - Former President Donald Trump arrived in Miami on Monday to face federal criminal charges as a new Reuters/Ipsos poll found the case had not dented his reelection hopes.Trump is scheduled to be in a Miami federal courthouse on Tuesday at 3 p.m. EDT (1900 GMT) for an initial appearance in the case.Accused of unlawfully keeping U.S. national-security documents and lying to officials who tried to recover them, Trump has proclaimed his innocence and vowed to continue his campaign to regain the presidency in a November 2024 election.Trump, who turns 77 on Wednesday, touched down in Miami at 2:54 p.m. (1854 GMT) in a private jet with his name emblazoned on the side. Supporters gathered outside a nearby golf club he owns, where he was due to stay the night."I HOPE THE ENTIRE COUNTRY IS WATCHING WHAT THE RADICAL LEFT ARE DOING TO AMERICA," he wrote on his Truth Social social-media platform before departing from New Jersey.Trump's legal woes have not affected his popularity among Republican voters.A Reuters/Ipsos poll released on Monday found that 81% of Republicans thought the charges were politically motivated. The poll also found Trump continues to lead his rivals for the party's presidential nomination by a wide margin.Some 43% of self-identified Republicans said Trump was their preferred candidate, compared to 22% who picked Florida Governor Ron DeSantis. In early May, Trump led DeSantis 49% to 19%, but that was before DeSantis formally entered the race.
Trump blames Biden poll numbers for DOJ indictment -Former President Trump claimed without evidence that the Biden administration was bringing a federal indictment against him because President Biden’s poll numbers have been dipping. “They’re using this because they’re losing in the polls. They’re losing very big in the polls,” Trump said Monday in a radio interview in Miami. “We’re beating Biden by 10 points, 11 points, 12 points. We’re beating him very easily. So they’re using this because they can’t win the election fairly and squarely,” Trump added, repeating disproven claims that Biden did not win the 2020 election. In recent polls, Biden, the leading Democratic presidential candidate in 2024, has dipped in favorability after seeing a spike in support following the midterm elections in November 2022. Even so, recent polls still show Biden and Trump running neck and neck in a hypothetical 2024 rematch. The interview came the night before Trump’s highly anticipated appearance in a Miami federal court. He faces 37 counts of criminal charges, 31 of which relate to the Espionage Act.
Trump vows to appoint special prosecutor to ‘go after’ Biden if former president wins in 2024 - Former President Trump on Monday threatened to appoint a special prosecutor to specifically target President Biden and his family if he’s reelected to the White House. Trump’s post on Truth Social represents a brazen pledge to use the levers of government to target political rivals. It comes in the wake of his own indictment by a Justice Department special counsel stemming from his handling of classified materials after leaving office. In a post on Truth Social written in all capital letters, Trump wrote: “Now that the ‘seal’ is broken, in addition to closing the border & removing all of the ‘criminal’ elements that have illegally invaded our country, making America energy independent & even dominant again, & immediately ending the war between Russia & Ukraine, I will appoint a real special ‘prosecutor’ to go after the most corrupt president in the history of the USA, Joe Biden, the entire Biden crime family, & all others involved with the destruction of our elections, borders, & country itself!” The former president lashing out at Biden comes days after the Justice Department unsealed a 37-count indictment that includes 31 counts under the Espionage Act after Trump refused to return classified materials he took with him upon leaving the White House in 2021. A breakdown of the documents Trump is accused of keeping alleges they dealt with intelligence collected on foreign countries or American military capabilities. The filing also alleges Trump weighed methods to avoid returning the documents, asking his attorney to “hide or destroy” those in his possession following a June subpoena last year. It also says he tried to obstruct the FBI and grand jury investigations and conceal his continued possession of classified documents by suggesting his attorney falsely represent to the FBI that he did not have the documents in question.
Trump-Milley feud played key role in classified documents case -- The feud between former President Trump and the nation’s highest-ranking military officer, Gen. Mark Milley, played a key role in the historic indictment handed down last week over Trump’s alleged criminal mishandling of classified documents. Key audio in the case captured Trump trying to prove his side of the story after a New Yorker article detailed Milley’s attempts to prevent the president from attacking Iran during his final days in the White House. Trump claimed he had a document about a “plan of attack” on Iran that showed it was Milley’s idea, and he admitted he knew the document was secret and not declassified by him, contradicting some of his claims in the case. It’s unclear whether the document in question exists. The episode highlights a tumultuous relationship that began when the former president tapped Milley as the Joint Chiefs chairman in late 2018. The public feud has largely been in one direction, with Trump fuming at Milley since leaving office. But while Milley has yet to publicly hit back against the former president, he has acknowledged regularly speaking on background with reporters. While Trump clashed with a number of his cabinet members and aides, the disagreements with Milley likely hurt more because of the military’s public prestige, “Trump and Milley had a particularly fractious relationship, as stormy as any in modern times,” said Feaver, who is close to Milley. “It probably stung former President Trump that a leader of an institution that the public held in high esteem … was describing him in adverse terms.”
Trump pleads not guilty in classified documents indictment -Former President Trump pleaded not guilty Tuesday to charges on 37 counts following a Department of Justice indictment alleging he violated both the Espionage Act and obstructed justice in taking classified records from his presidency and refusing to return them. The arraignment was Trump’s second this year, but his appearance in a Miami courthouse was his first on federal charges. He is the first former president or candidate for president to face such charges. Trump, who is the odds-on favorite to win the 2024 GOP presidential primary, had told conservative radio host Howie Carr earlier in the week how he would plead. “I just say, ‘Not guilty.’ I didn’t do anything wrong. I did nothing wrong. Presidential Records Act. It’s not even a criminal event. There’s no criminality here. It’s ridiculous,” Trump said in the Monday interview. Trump was indicted Thursday in connection with the investigation led by special counsel Jack Smith, with the unsealed charging document revealing Trump would also be facing charges on concealing documents and making false statements. The arraignment was held before Magistrate Judge Jonathan Goodman, though Judge Aileen Cannon, who oversaw Trump’s earlier challenge to the Mar-a-Lago investigation, is slated to oversee subsequent hearings in the case. Trump was accompanied by attorneys Todd Blanche, who is also representing him in a New York prosecution related to hush money payments, as well as Christopher Kise, who previously represented Trump in the Mar-a-Lago probe. Trump’s main attorneys on the case resigned Friday, and Trump is still searching for a Florida-based firm to round out his legal team. “We most certainly enter a plea of not guilty,” Blanche said. Trump was reported to have spent the hearing sitting with his arms folded and a serious expression on his face but waved to supporters and observers when exiting the Wilkie D. Ferguson Jr. courthouse. Courtroom drawings, the only visuals allowed of the proceeding, show Trump standing alongside his attorneys. Blanche entered the not guilty plea on Trump’s behalf. Trump and Walt Nauta, his co-defendant who is alleged to have aided Trump in concealing the records, were released without bond restrictions or travel restrictions. Trump’s attorneys and the Justice Department clashed over Trump’s contact with witnesses in the case, including many who still work for him at Mar-a-Lago, a group that includes Nauta. Prosecutors spoke with a number of Mar-a-Lago employees while crafting the case.
‘This day will go down in infamy’: Trump rages in post-arraignment speech --Former President Trump on Tuesday framed himself as a victim of selective and politically motivated prosecution hours after pleading not guilty to charges that he obstructed justice and endangered national security by refusing to hand over classified documents from his time in the White House.Trump offered up numerous misleading or inaccurate defenses for his conduct in a speech to supporters from his Bedminster, N.J., club. He compared his own handling of classified materials favorably to how other presidents have handled sensitive documents, and he argued his prosecution was an effort to damage his 2024 presidential campaign.“This is called election interference in yet another attempt to rig and steal a presidential election,” Trump said. “It’s a political persecution like something straight out of a fascist or communist nation. This day will go down in infamy and Joe Biden will forever be remembered as the most corrupt president in the history of our country.”The remarks offered up a likely road map to how Trump and his team are likely to address the allegations moving forward.Trump attacked Biden as a “corrupt sitting president,” and he lambasted special counsel Jack Smith, the man leading the investigation into his conduct, as a “thug” and “raging lunatic.”Trump argued that his right to keep whatever documents he wanted was enshrined by the Presidential Records Act, even though the law states that all presidential records belong to the federal government once a president leaves office.He also claimed that he was innocent because neither former President Bill Clinton, former Secretary of State Hillary Clinton nor President Biden faced legal repercussions for their handling of classified materials.Then-FBI Director James Comey accused Hillary Clinton of extreme carelessness for having a private email server at her home but added, “We did not find clear evidence that Secretary Clinton or her colleagues intended to violate laws governing the handling of classified information.”
Trump unloads on special counsel Jack Smith in speech hours after arraignment -Former President Donald Trump on Tuesday unleashed a torrent of insults directed at special counsel Jack Smith hours after Trump pleaded not guilty to a 37-count indictment brought by Smith over the former president’s handling of classified materials after leaving office. Trump, in a meandering and falsehood-filled speech from his Bedminster, N.J., property, levied personal attacks at Smith, who is overseeing the investigation into the former president. Trump called Smith a “deranged lunatic,” a “thug,” and a “raging and uncontrolled Trump hater.” “The prosecutor in the case, I will call our case, is a thug. I have named him ‘Deranged Jack Smith,’” Trump said. “He’s a behind the scenes guy, but his record is absoltuey atrocious. He does political hit jobs.” “He’s a raging and uncontrolled Trump hater, as is his wife, who happened to be the producer of that Michelle Obama puff piece. This is the guy I’ve got,” Trump said. Smith, who previously prosecuted war crimes at The Hague, is married to Katy Chevigny, a documentary filmmaker who worked on a 2020 documentary about the former first lady. The special counsel was reportedly in the courtroom earlier Tuesday as Trump entered his plea. The former president’s diatribe against Smith aligns with what has become a habit of attacking judges and prosecutors who investigate his conduct or oversee his cases. A federal judge overseeing Trump’s hush money case in Manhattan received death threats after the former president attacked him as a “Trump hating judge.” Trump pleaded not guilty Tuesday afternoon to charges on 37 counts following a Department of Justice indictment alleging he violated both the Espionage Act and obstructed justice in taking classified records from his presidency and refusing to return them. Trump was indicted Thursday in connection with the investigation led by special counsel Jack Smith, with the unsealed document revealing Trump would also be facing charges on concealing documents and making false statements.
Trump indictment lays bare security risks of storage at Mar-a-Lago - Fresh details about how some of the nation’s most closely guarded secrets were handled at former President Trump’s Mar-a-Lago estate have appalled national security experts, who warn the scenario presents serious security risks. The episode left observers shocked by how sensitive documents were shuffled and stored across the property, even after court filings last year revealed Trump had more than 300 classified records in the Florida home. Trump’s indictment last week detailed how the documents were at one point kept on the stage of a ballroom, while at other times, the files were stacked high in a Mar-a-Lago bathroom. “I knew it was going to be bad, but I literally felt sick to my stomach after reading it,” said Larry Pfeiffer, who served as senior director of the White House situation room and chief of staff at the CIA over his career. “As a guy who’s spent 32 years working to create and produce this intelligence for our national policymakers, it was nauseating to see somebody who served as our commander in chief, as our president, treat this material so recklessly,” he added. “Seeing the photographs of boxes on ballroom stages and in bathrooms next to a toilet and spilled out on the floor because of his carelessness just made me sick.” A high-level inventory of the 31 documents the Justice Department is using in the case — just a fraction of those stored at the property — revealed their classification level while offering details about their subject matter and how the information was collected. Trump indicted on 37 counts in Mar-a-Lago case The documents include signals intelligence, like intercepted communications or other data, as well as from human sources. Some of the documents contain information about U.S. nuclear programs or military capabilities. Others offer insight into foreign governments, including their military plans. “That is something that is always alarming to see having made its way outside of a SCIF,” said Tess Bridgeman, who worked as deputy legal adviser to the National Security Council (NSC) in the Obama administration, using an abbreviation for sensitive compartmented information facility. “When you look at some of the portion markings indicating sensitive signals intelligence and even more so sensitive human intelligence, it’s not just indicating what we know are secrets that are very closely guarded but also how we know it, which raises the concern that it’s not just the information that could be compromised, it’s also sources and methods that could be compromised,” Bridgeman continued.
Trump indictment poses political headaches for Biden - President Biden is facing an unprecedented task with no easy solution — dealing with the federal indictment of former President Trump while fighting off unsubstantiated claims by the right that Biden is involved in his political opponent’s prosecution. A Fox News chyron deemed Biden a “wannabe dictator” during Trump’s speech Tuesday night following his arraignment. Trump himself decried Biden as a “corrupt sitting president” who, in tandem with the Justice Department, was targeting the front-runner for the 2024 GOP presidential nomination. Meanwhile, Republicans on Capitol Hill have been constantly attacking the White House, accusing Biden of politicizing the Justice Department. Biden and his aides have repeatedly stressed in recent days that they’ve had no contact with special counsel Jack Smith or Attorney General Merrick Garland about the Trump case. Biden has vowed throughout his presidency that he would restore a sense of independence to the Justice Department after Trump routinely weighed in on or called for investigations during his four years in the White House. Still, the White House must convince some skeptical Americans that the president is sticking to that pledge as leading Republicans paint the Justice Department’s indictment of Trump as a political maneuver against Biden’s top rival. Biden was asked last week, hours before Trump was indicted, why Americans should have faith in the Justice Department. “Because you’ll notice I have never once, not one single time, suggested to the Justice Department what they should do or not do, relative to bringing a charge or not bringing a charge. I’m honest,” Biden responded. But that doesn’t seem to be resonating with voters. An ABC News/Ipsos survey published Sunday found nearly half of those polled from a variety of political affiliations said they believe the charges against Trump are politically motivated. In a CBS News survey published the same day, 76 percent of likely Republican voters said they were most concerned about the indictment being driven by politics, compared to 12 percent who said they were concerned by the national security risks posed. White House press secretary Karine Jean-Pierre reiterated this week that Biden “respects the rule of law” and “wants to make sure that we restore the integrity of the Department of Justice.” On Wednesday, she took a stab at Fox News for the “wannabe dictator” chyron. “There are probably about 787 million things that I can say about this that was wrong about what we saw last night, but I don’t think I’m going to get into it,” she said, referring to the $787 million settlement between Fox News and Dominion Voting Systems. But otherwise, Biden, Jean-Pierre and other top officials have steadfastly avoided commenting on Trump’s case, allowing Republicans to fill the void with assertions that the charges are political in nature and Biden has a hand in them.
Barack Obama benefits from tax loophole he once criticized as president - Barack Obama stands to pay less in taxes as a result of a special loophole that’s similar to one that he criticized during his presidency, according to a report.The former president is a “strategic partner” with NBA Africa, a venture which oversees the continent’s Basketball Africa League.In a July 2021 press release, the NBA announced that Obama “will have a minority equity stake in the new venture” while he “help[s] advance the league’s social responsibility efforts across the continent.”Obama’s deal with NBA Africa has been structured as a “profit interest” share, which is similar to the “carried interest loophole” that the former president denounced as a gift to the wealthy, according to independent journalist Lee Fang.A “profit interest” is an equity-like form of compensation that limited liability companies offer to employees.Instead of employees investing money up front in a venture, they are entitled to a profits interest grant in which they receive a percentage of future profits.If structured properly, the grants, which are often extended to celebrity endorsers of products as well as sophisticated investors, are not taxable as income to the worker.According to Fang, Obama would be taxed at a capital gains rate of just 20% — significantly lower than what ordinary Americans pay on their income taxes — if he cashes in on the proceeds of a potential sale of NBA Africa in the future.
Google hosts, profits from fake abortion clinic ads: report - Google is profiting from ads placed by anti-abortion groups for so-called crisis pregnancy centers that pose as reproductive health care clinics but aim to dissuade pregnant people from accessing abortion care, according to a report released Thursday. The report from the Center for Countering Digital Hate (CCDH), a nonprofit that aims to counter online misinformation, found that Google earned an estimated $10.2 million from ads for fake abortion clinics in the past two years. The fake clinic ads targeted 15,000 queries related to abortion, such as “abortion pill,” “abortion clinic,” “abortion clinic near me” and “Planned Parenthood,” according to the report. Researchers for CCDH analyzed ads from a list of 188 identified fake clinic websites that placed ads on Google Search between March 1, 2021, and February 28, 2023, using enterprise analytics tool Semrush. An analysis of keyword data found that 84 percent of the 188 fake clinics have at some time targeted users searching for abortion-related keywords or phrases. Researchers found that 71 percent of fake clinic websites advertising on Google Search used at least deceptive techniques to mislead abortion seekers. The deceptive techniques included promoting misleading claims linking abortion to harm such as cancer, failing to carry homepage disclaimers stating they do not provide abortions, and promoting so-called abortion “reversal.” The researchers found that the anti-abortion movement spent four times as much on Google Search ads for fake clinics than it did on Google Search ads for overt campaigns to restrict abortion care, indicating a focus on ads for the fake clinics. Thursday’s report follows one published by CCDH in September 2021 that found ads for dangerous abortion “reversal” appeared on 83 percent of Google searches for abortions. In response to that report, Google said it would remove any ads promoting abortion reversal pills and prohibit ads containing unproven medical claims. The new report found, however, that Google has accepted an estimated $2.6 million to run Google search ads for fake clinic websites that promoted abortion “reversal” since its pledge. That sum was spent by a total of 72 fake clinic websites promoting abortion “reversal” and placed ads between October 2021 and February 2023, according to the report.
CFPB seeks to supervise Big Tech firms under larger participant rule - Giant nonbank payment companies Apple, Google, PayPal and others face the prospect of being examined and supervised as early as next year by the Consumer Financial Protection Bureau. This week the CFPB released its spring rulemaking agenda that lists significant rules it plans to issue including one new item: a larger participant rule to examine consumer payment markets. The rule will allow the CFPB to conduct oversight of Big Tech companies and potentially test its authority by specifically determining how companies monetize data that may unfairly impact consumers. "I don't think any of the large technology companies are going to be pleased, but they are involved in fintech and this is part-and-parcel of being in that land." Under the Dodd-Frank Act, the CFPB can designate so-called "larger participants," in a specific market, allowing the agency to conduct supervisory exams and test for compliance with federal consumer protection laws. The rule will set specific parameters defining which entities the agency will have authority over. The bureau's agenda lists the rule as coming out in spring 2023. Currently most technology and payments companies are licensed by states as money transmitters. CFPB Director Rohit Chopra has repeatedly warned about the expanding reach of large technology companies and how they have infiltrated the financial sector. Chopra previously served as a member of the Federal Trade Commission in the Trump administration and in that role he frequently lambasted tech companies for using their size and market power to undermine fair competition. He has said that consumers know little about how large technology companies are using consumer data in their payments platforms.
Fox sends Tucker Carlson cease-and-desist letter - Axios (Reuters) - Fox News has sent a "cease-and-desist" letter to Tucker Carlson over a competing Twitter series from the channel's former star host that drew a combined 169 million views for its first two episodes, Axios reported on Monday.Last week, Axios said the news organization had notified Carlson's legal team of contract violations related to the launch of his Twitter show.Carlson released the first episode last Tuesday, weeks after he parted ways with the media group.His exit from the channel had come shortly after parent company Fox Corp settled for $787.5 million a defamation lawsuit in which the top-rated host played a starring role. Fox News did not immediately respond to a Reuters request for comment.
ProPublica's rank hypocrisy exposes it as just another lefty weapon --NYPost Editorial Board --How about that: Lefty “public interest” journalism nonprofit ProPublica is guilty of one of the very “sins” it’s been scourging some righties over. Specifically, a Post exposé reveals that ProPublica gets millions from donors it refuses to name. Such “non-transparency” was the basis of its recent slams at the likes of Supreme Court Justice Clarence Thomas and legal activist Leonard Leo. The nonprofit’s latest financial disclosures reveal $6.3 million in gifts from donors it won’t name over 2020 and 2021. Per its 2022 documents, almost $10 million in funding came from two donors whose names went undisclosed — accounting for a quarter of the site’s revenues. The principle here: Demand total transparency from people whose politics you don’t like; keep your mouth shut about your own big-money backers. Thereby making it impossible to determine ProPublica’s own conflicts of interest. The outfit’s leaders pal around with (and presumably get bucks from) boldface names like Charles Rockefeller, venture capitalist Joy Marcus and other elites. Why don’t these fatcats get the treatment extended to Thomas’ friend Harlan Crow, or the donors who fund Leo’s efforts? How do we know the mystery donors have no business before the Supreme Court? That ProPublica’s journalism isn’t in service of their interests? Indeed, some donors we do know about are working to make society worse, like crime-loving billionaire George Soros. (And now “more political” son Alex Soros is taking over his empire..) One ProPublica pal — Lawrence Rand, a former PR bigwig — gave a false name when he spoke with The Post about these issues. Is that how someone with a squeaky-clean ethical record behaves? Rich people have the right to spend their money as they please on their preferred causes, including anonymously. But it’s damning that ProPublica refuses to live by the transparency gospel it preaches: For all its pretense to be a righteous gadfly, it’s just one more institution weaponized by the big-bucks left.
Jeffrey Epstein victims settle sex trafficking lawsuit against JPMorgan for $290 million - JPMorgan Chase announced a tentative $290 million settlement Monday with the victims of Jeffrey Epstein who had accused the bank of being the financial conduit that allowed the financier to continue operating a sex trafficking operation. Epstein was arrested in 2019 on federal charges accusing him of paying underage girls for massages and then molesting them at his homes in Florida and New York. He was found dead in jail in August of that year, at age 66. A medical examiner ruled his death a suicide. The lawsuit filed in Manhattan federal court in November sought to hold JPMorgan financially liable for Epstein’s decades-long abuse of teenage girls and young women. A related lawsuit has been filed in the U.S. Virgin Islands. The proposed settlement comes roughly two weeks after JPMorgan Chase CEO Jamie Dimon testified in a deposition for the case, where he denied knowing about Epstein and his crimes until the financier was arrested in 2019, according to a transcript of the videotaped deposition released last month. “We all now understand that Epstein’s behavior was monstrous, and we believe this settlement is in the best interest of all parties, especially the survivors, who suffered unimaginable abuse at the hands of this man,” JPMorgan Chase said in a written statement early Monday. The proposed settlement, which must still be approved by the judge in the case, totals $290 million, according to lead plaintiff attorney David Boies. According to the lawsuits, JPMorgan provided Epstein loans and regularly allowed him to withdraw large sums of cash from 1998 through August 2013 even though it was aware of his participation in sex trafficking. The anonymous victim in the suit, referred to as Jane Doe, said she was sexually abused by Epstein from 2006 and 2013.
“Relationship Managers” Handled Collapsed Silvergate and Signature Banks’ Crypto Accounts; Citibank’s Dictator Accounts; and JPMorgan’s Jeffrey Epstein Accounts - by Pam Martens and Russ Martens - A dangerous malignancy has been growing on the U.S. banking system for at least two dozen years: It’s the job function benignly called the “Relationship Manager.” The most infamous Senior Relationship Manager today is Jes Staley, the former high-level employee of JPMorgan Chase who managed Jeffrey Epstein’s accounts at the bank as Epstein engaged in the sex-trafficking of underage girls and was able to withdraw tens of thousands of dollars of cash from his bank accounts monthly, without triggering the required alarm bells within the bank’s compliance departments. This is what the U.S. Virgin Islands alleges in an ongoing federal lawsuit against JPMorgan Chase over its aiding and abetting of Epstein: “In 2006, a JP Morgan Rapid Response Team noted that Epstein ‘routinely’ made cash withdrawals in amounts from $40,000 to $80,000 several times per month, totaling over $750,000 per year. In addition, Mary Erdoes admitted in her deposition that JP Morgan was aware by 2006 that Epstein was accused of paying cash to have underage girls and young women brought to his home. In the years that followed, JP Morgan employees, including senior executives, emailed internally that Epstein was under investigation or had been sued for trafficking or sexual abuse. This includes an email in 2010 between Mary Erdoes and Jes Staley regarding a federal investigation of Epstein for child trafficking; a 2011 email summarizing a few 2010 news stories connecting Epstein to human trafficking and promising to ‘monitor the accounts and cash usage closely going forward;’ and a 2011 compliance memo noting that ‘[n]umerous articles detail various law enforcement agencies investigating Jeffrey Epstein for allegedly participating in child trafficking and molesting underage girls’ and that ‘Epstein had settled a dozen civil lawsuits out of court from his victims regarding solicitation for an undisclosed amount.’ Indeed, Epstein’s behavior was so widely known at JPMorgan that senior executives joked about Epstein’s interest in young girls. In her deposition, Mary Erdoes testified that JP Morgan terminated Epstein as a customer in 2013 after she became aware that the withdrawals were ‘actual cash.’ However, Epstein had made substantial cash withdrawals every year he banked with JP Morgan, including more than $800,000 per year in 2004 and 2005.” Wall Street On Parade has now discovered that the two collapsed federally-insured banks, Silvergate Bank and Signature Bank, that were involved with two separate and nefarious crypto exchanges run by Sam Bankman-Fried and his rival, Changpeng Zhao (“CZ”), also deployed the job title “Relationship Manager” to handle large, lucrative clients. In a job posting, Silvergate Bank detailed the duties of a Relationship Manager II to include the following: “Be the ‘voice of the customer’ as it relates to product and process decisions. This may include the introduction of new products and services and the customer research that is required in order to bring them to market. Providing banking services to private clients also requires frequent interaction with Compliance, Cash Management and Technology personnel. Often, a healthy dialogue is needed in order to figure out the best way to efficiently and effectively serve clients in this space. Once internal decisions have been made, the role of the Relationship Manager is to communicate the impact of these decisions to clients in the most effective manner possible.” Silvergate Bank is facing numerous lawsuits alleging that the bank aided and abetted Sam Bankman-Fried’s crypto frauds by improperly moving customer funds held at his crypto exchange, FTX, to his hedge fund, Alameda Research. Federal prosecutors have charged that Alameda and its principals looted more than $8 billion from FTX customer accounts. On March 8, Silvergate Bank said it was voluntarily winding down and liquidating, but there now appears to be serious issues with how that is playing out. (See our report: Disgraced Silvergate Bank Hints It May Not Be Able to Cover All of Its Deposits; Fed Slaps It with a Cease and Desist Consent Order.)
As JPMorgan Settles Epstein Victims’ Claims for $290 Million, Bombshell Documents Are Filed in the Other Epstein Case Against the Bank - Pam and Russ Martens - Yesterday, at 9:33 a.m. ET, JPMorgan Chase and the law firm Boies Schiller Flexner, issued a terse joint statement indicating that they had informed Judge Jed Rakoff’s federal court in Manhattan that claims against the bank for aiding and abetting Jeffrey Epstein’s sex-trafficking of underage girls had been settled by the two sides. The settlement will require court approval.Law partner David Boies later confirmed to the press that the dollar figure for that settlement was an astonishing $290 million, despite the fact that the lawsuit was brought by just one women, Jane Doe 1.After Jamie Dimon, the Chairman and CEO of JPMorgan Chase, had argued for months that the bank was not responsible for Epstein’s sex crimes and trafficking of young girls, why would the bank flip on a dime on June 12 and decide to effectively admit its guilt by agreeing to pay $290 million to settle the case?The answer to that question is what else was happening in Judge Jed Rakoff’s court yesterday – which is actually quite a lot.For starters, Jane Doe 1 became a lot of Jane Does, all potentially willing to bring more horrific stories and headlines implicating the bank for functioning as a cash conduit for Epstein’s crimes. (The bank had allowed tens of thousands of dollars in cash to be paid out monthly to Epstein from his accounts at the bank despite years of warnings from its own compliance staff that Epstein was a registered sex offender and under investigation for sex trafficking of underage girls, according to internal bank documents submitted to the court.) Jane Doe 1 was able to become a multiple threat to JPMorgan Chase because yesterday Judge Rakoff entered an Opinion and Order certifying the case as a Class Action. Rakoff’s order explained the broad scope of the class being certified as follows:“All women who were sexually abused or trafficked by Jeffrey Epstein during the time when JP Morgan maintained [accounts] for Epstein and/or Epstein-related entities, which included January 1, 1998, through on or about August 19, 2013, both dates inclusive, and continuing to the time of Epstein’s death on August 10, 2019.”To put it bluntly, JPMorgan Chase was now facing the prospect of women from around the globe who had been trafficked or sexually assaulted by Jeffrey Epstein over the span of 21 years coming forward with potentially new and more incriminating evidence implicating the bank.The second pivotal thing that happened in the court yesterday were filings made by the U.S. Virgin Islands (USVI) in the separate case it has brought against JPMorgan Chase, also over the bank aiding and abetting Epstein’s sex trafficking by functioning as a cash conduit for Epstein. That case is also being heard by Judge Rakoff. USVI entered a Reply Memorandum that contained the following devastating charges against the bank: […]The USVI then attached dozens of internal emails as Exhibits, showing the contempt that high level compliance staff held toward Epstein; that they wanted him fired as a client of the bank but were overruled by higher ups for years.One JPMorgan Chase internal email from December 2010 from a compliance staffer to the Vice President of Anti-Money Laundering Operations referred to Epstein as a “known child sleaze.”Another devastating email involving the depth of what the bank knew about Epstein was dated January 10, 2011. It came from Maryanne Ryan, the Vice President for Anti-Money Laundering (AML) Operations at JPMorgan Chase. The email was sent to William Langford, the Global Head of Compliance, as well as others.
72 Hours Before JPMorgan Offered $290 Million to Make Epstein Claims Go Away, a Lawyer Disclosed that the Bank Had Withheld 1500 Documents - Pam and Russ Martens - Sigrid McCawley is a Managing Partner at law firm, Boies Schiller Flexner, which has been representing the sexually assaulted and/or sex-trafficked victims of Jeffrey Epstein for years, including Virginia Roberts Giuffre, who settled claims against Prince Andrew last yearfor an undisclosed sum of money. Giuffre alleged in her lawsuit that Epstein had trafficked her and forced her to have sex with Prince Andrew when she was just 17. McCawley is also a key lawyer on the case styled as Jane Doe 1 v JPMorgan Chase in the U.S. District Court for the Southern District of New York. That lawsuit alleges that JPMorgan Chase was for years aware that Epstein was a sexual predator of underage girls, kept him as a client nonetheless, and functioned as a cash conduit for his crimes while ignoring anti-money laundering laws. The JPMorgan internal emails that have been released in court filings buttress those allegations.This past Monday, McCawley’s law partner, David Boies, announced that the two sides had agreed to settle the case for $290 million. The exact terms of the settlement have yet to be filed with the court but Judge Jed Rakoff, who is assigned to the case, approved it as a Class Action on Monday, meaning multiple Epstein victims may be able to receive monetary relief under the settlement. McCawley is known to go for the jugular during depositions and to be in full command of the documents obtained during discovery – if she is given access to those documents. On Friday, June 9, just 72 hours before the case was abruptly announced as reaching a settlement, McCawley had filed a breathtaking and scathing letter with the court regarding the stonewalling behavior of JPMorgan with discovery materials. In her June 9 letter, McCawley revealed that the Court has previously warned JPMorgan in a May 12 Order that it could be held “in contempt of Court” if it did not file discovery materials in a timely manner going forward. McCawley also dropped the bombshell that JPMorgan had withheld 1,500 documents prior to her deposition of the Chairman and CEO of JPMorgan Chase, Jamie Dimon. McCawley wrote:“Despite the Court’s clear warning, JPMC still failed to expeditiously produce documents from the custodial files of key witnesses, some of whom had already been deposed, for strategic reasons. For example, the weekend prior to the close of fact discovery, and immediately after the May 26 deposition of its CEO Jamie Dimon, JPMC produced 1,500 documents, some of which came from the custodial files of witnesses whose depositions had long passed.”One of the documents withheld by the bank is described by McCawley as “one of the most relevant and responsive documents produced to date….” She also goes on to characterize the bank’s motive for withholding this document as follows:“…JPMC strategically withheld it from Plaintiff until she could no longer make meaningful use of it in examining JPMC’s employees.”
What investors want to know about the SEC's crypto crackdown - The Securities and Exchange Commission cracked down on the biggest names in the cryptocurrency world last week. First it accused the world’s largest crypto exchange, Binance, of violating securities laws, mishandling customer funds, inflating trading volumes and misleading investors.One day later it sued the largest US crypto exchange, Coinbase (COIN), for allegedly ignoring requirements to register with the SEC.What does all of this mean for the industry, crypto stocks and digital currencies?Investors have a lot of questions. Yahoo Finance asked experts for some answers.One legal expert said the two new lawsuits pose existential threats to Binance and Coinbase even though the cases are civil and not criminal. "These, obviously, are pretty much life-and-death stakes for these companies,” University of Kentucky securities law professor Alan Kluegel said. That’s because the SEC holds wide authority within American financial markets to shut down trading firms and exchanges, reverse the unlawful sale of unregistered securities to the public and suspend or permanently bar actors from the industry, Kluegel said. If the SEC is successful in its actions against either platform, it can also force them to either stop trading crypto on behalf of American consumers or to set up as registered exchanges and broker-dealers. Ratings agency Moody’s Investors Service on Thursday changed its outlook on Coinbase from stable to negative, citing "the uncertain magnitude of impact the SEC’s charges will have on Coinbase’s business model and cash flows." There will be an early test this week of how serious the SEC’s case is for Binance. The regulator has already asked a federal court to freeze the assets of Binance’s US entity Binance.US, and a hearing is scheduled for Monday on that request. Binance.US said in a Thursday tweet that it was stopping US dollar deposits and that users would soon not be able to withdraw dollars from the exchange. It intends to change to a "crypto-only exchange." It’s likely that these two lawsuits will take years to reach a resolution. There is, however, an older case that could help set a precedent much sooner. The SEC filed a lawsuit in 2020 against a startup company called Ripple, alleging the sale of its XRP token represented an unregistered securities offering. XRP is now the world’s sixth-largest cryptocurrency. "I don't think that this SEC under this leadership necessarily cares whether they win or lose in the courts," Ripple’s chief legal officer Stuart Alderoty said at the Piper Sandler Global Exchange & Fintech Conference on Wednesday. "I think what they are engaging in is a coordinated campaign to essentially destroy the crypto economy in the United States."
Crypto giant Binance's US affiliate fires staff after SEC charges –sources (Reuters) -The U.S. affiliate of crypto giant Binance has carried out a round of layoffs since regulators last week charged it with violating securities laws and sought to freeze its assets, said two people with knowledge of the dismissals and employees' social media posts. One of the sources said around 50 people were laid off. Reuters was unable to independently verify the number or seniority of employees affected. A Binance.US spokesperson did not respond to emails and calls seeking comment. Employees in Binance.US' legal, compliance and risk departments were among those dismissed, the people told Reuters, requesting anonymity because the matter is private. The SEC on June 5 accused Binance and its founder and CEO Changpeng Zhao of creating Binance.US as part of a "web of deception" to evade securities laws aimed at protecting U.S. investors. Binance said it would defend itself "vigorously." The SEC also sued Binance.US' operating company, BAM Trading, alleging that it misled investors about "non-existent trading" controls over its platform. A day later, the SEC asked a federal court to freeze Binance.US' assets, including more than $2.2 billion held in crypto and some $377 million in U.S. dollar bank accounts. The SEC expressed concern that the exchange could move those funds offshore. Binance.US called the request "unwarranted" and said the SEC's allegations were "unjustified." "Because of our preparation for a prolonged and very costly legal battle, the Board asked Management to right-size our organization and reduce our burn rate to ensure long-term viability," Binance.US CEO Brian Shroder wrote to employees in a message seen by Reuters
Binance, SEC strike deal to move all US customer funds, wallet keys back onshore - - (Reuters) -Binance, Binance.US and the U.S. securities regulator announced a deal to ensure that only Binance.US employees could access customer funds in the short term, CoinDesk reported on Saturday, citinga proposed agreement. Under the agreement, which still needs sign-off from the federal judge overseeing the case, Binance.US will take steps to make sure that no Binance Holdings officials have access to private keys for its various wallets, hardware wallets or root access to Binance.US's Amazon Web Services tools, the report said. The proposed agreement comes after the SEC sued Binance, its CEO and founder Changpeng Zhao and Binance.US's operator last week , in a dramatic escalation of a crackdown on the industry by U.S. regulators. The SEC also sued major U.S. exchange Coinbase COIN.O after that. Binance.US and SEC did not immediately respond to Reuters' request for comment. The U.S. affiliate of Binance halted dollar deposits last week and gave customers until June 13 to withdraw their dollar funds, after SEC asked a court to freeze its assets. Other provisions in the proposed agreement will see Binance.US create new crypto wallets that the global exchange's employees have no access to, provide additional information to the SEC and agree to an expedited discovery schedule, the report said.
SBF fighting post-extradition charges in Bahamas court - A Bahamas court on Tuesday temporarily barred the country’s government from agreeing to let US prosecutors pursue part of their criminal case against Sam Bankman-Fried, the indicted founder of now-bankrupt cryptocurrency exchange FTX. Last month, US federal prosecutors in Manhattan said they would drop five charges of foreign bribery, bank fraud and conspiracy against the one-time billionaire if the Caribbean nation did not agree to them.Those charges were not in Bankman-Fried’s initial eight-count indictment last December, which focused on the collapse of FTX the previous month, but they were added after his extradition. FTX was based in the Bahamas.The Bahamas Supreme Court said the country’s foreign affairs minister and attorney general could not consent to the new charges until Bankman-Fried had a formal chance to object.Justice Loren Klein wrote that issues Bankman-Fried has raised had “a reasonable prospect of success.” The decision could prolong uncertainty over whether Bankman-Fried’s scheduled Oct. 2 trial will cover all 13 charges he faces. Bankman-Fried, 31,has pleaded not guilty.In papers filed late Monday in Manhattan federal court, Bankman-Fried’s lawyers said a sixth charge alleging US campaign finance violations should also be dismissed because the Bahamas did not consent to it.His lawyers want the six charges dismissed, or tried separately from charges of stealing from customers and lying to investors and lenders.“To proceed otherwise would cause significant prejudice to Mr. Bankman-Fried and should not be permitted,” the lawyers wrote. A spokesman for the US Attorney’s office in Manhattan declined to comment on Tuesday.
Judge Allows FTX Founder Sam Bankman-Fried to Go to Trial on Only Wire Fraud, Political Contribution Charges for Now - The judge overseeing Sam Bankman-Fried's criminal trial will allow the government to treat some of the charges against him as part of a separate criminal trial for the moment. Judge Lewis Kaplan, of the U.S. District Court for the Southern District of New York, ruled Thursday afternoon that five of the charges brought against Bankman-Fried can be brought to trial in March 2024, allowing the U.S. Department of Justice to proceed only on eight charges brought in an initial indictment last December for the FTX founder's current trial this fall. During the hearing, the judge asked the FTX founder's defense team several questions about their motion to dismiss bank fraud, wire fraud and campaign finance charges, though he did not make a decision on the motions to dismiss during Thursday's hearing. "I'd like to congratulate you on an extraordinarily imaginative [defense]," the judge told one defense attorney who argued that the U.S. Department of Justice was trying to insert new legal theories into its prosecution. Mark Cohen, another attorney for Bankman-Fried, argued before a packed courtroom that the campaign finance charge should be dismissed, or at least severed alongside other charges, on a technical detail. "The operative document in extradition is the warrant of surrender," Cohen said. "It does not list the campaign finance charge." Bankman-Fried never consented to be extradited on that charge, Cohen contended. A prosecutor pushed back against this assertion later on, saying the U.S. had included the charge in its extradition request. The warrant in question was addressed to Bahamian police, and while it may not have included the charge, the Bahamian court itself was aware of it, the prosecutor said. Judge Kaplan seemed unconvinced. He seemed similarly skeptical about the defense's efforts to dismiss bank and wire fraud charges. Part of Thursday's hearings focused on the possible timeline through the start of the criminal trial. While the DOJ shared a proposed timeline, the judge said it didn't give him enough time to review all of the materials he'd have to look at. The judge also denied a number of motions made by the defense tied to discovery, including an effort to have the DOJ review FTX documents and materials. Bankman-Fried's attorneys filed to dismiss most of the charges laid out against him last month, arguing that there were a number of different reasons to grant the motions. Several of the motions to dismiss focused on claimed legal issues, including failure to state an offence or allege valid property rights. Bankman-Fried also sought to dismiss some charges brought after he was extradited to the U.S. on grounds that the Bahamas hadn't consented to them.
Judge Lewis Kaplan blasts Sam Bankman-Fried's bid to toss FTX fraud charges - A Manhattan judge wryly told Sam Bankman-Fried’s lawyers Thursday that their arguments to toss some charges against the alleged crypto crook were “extraordinarily imaginative” — suggesting he wasn’t inclined to grant their request. The former billionaire’s camp is seeking to get 10 of the 13 fraud charges against him thrown out in the case charging him with stealing from customers of his since-defunct FTX cryptocurrency exchange. “I congratulate you on extraordinarily imaginative arguments,” Manhattan federal Judge Lewis Kaplan said after Bankman-Fried lawyer Christian Everdell wrapped up his arguments during a hearing. Kaplan seemed particularly skeptical of Everdell’s arguments that the feds failed to sufficiently prove conspiracy to commit bank fraud against his 31-year-old client, claiming that prosecutors didn’t argue that banks were harmed but rather customers were. “They do not allege that he misled to steal money from the bank,” Everdell said. Kaplan responded that the lawyer was taking “a very narrow view” of the charge. But Everdell shot back, “I think we are conflating what the fraud is against the customers and what the fraud is against the bank.” Kaplan pushed back saying some of the allegedly pilfered money belongs to banks while some belongs to customers. Bankman-Fried is not only charged with conspiracy to commit bank fraud but also conspiracy to commit wire fraud against FTX customers and other related crimes. Everdell claimed that the charges against his client belong in a civil lawsuit rather than in a criminal case. “They are trying to criminalize a traditionally civil matter,” Everdell said referring to prosecutors.
FTX founder Sam Bankman-Fried now faces two criminal trials - Criminal charges against FTX co-founder Sam Bankman-Fried have been split, with the former CEO now facing two separate trials for his alleged mismanagement of the crypto exchange.Bankman-Fried is facing a total of 13 charges relating to fraud, fraud conspiracy and bribery. A trial for all the charges was scheduled to begin on Oct. 2.Five of those charges will now be split off into a second trial on March 11, 2024, according to a June 15 ruling from United States District Court Judge Lewis Kaplan.Originally the FTX founder was extradited to the U.S. in December 2022 on eight charges, with further indictments adding another five charges in February and March 2023.The charge split comes as DOJ prosecutors requested a waiver from Bahamian authorities to try Bankman-Fried on the five additional charges they imposed after his extradition from the country.Lawyers for the FTX co-founder attempted to dismiss those charges, saying he could not be tried on charges made after the extradition.On June 14, DOJ lawyers said they would proceed to try Bankman-Fried on the original eight charges they leveled against him citing a potentially lengthy process if the court was to wait for the approval of a motion filed by Bankman-Fried in The Bahamas.The new trial in March will focus on the charges of bribery conspiracy, conspiracy to operate an unlicensed money-transmitting business, bank fraud conspiracy along with derivatives and securities fraud.The other charges relate to various wire, derivates, and securities fraud and conspiracy allegedly carried out at FTX and Alameda Research, along with accusations of money laundering.
FTX chief John Ray talks about 'insane' FOMO and 'pack mentality' - John Ray III, now at the helm of the collapsed crypto exchange FTX, says "pack mentality," "intellectual laziness" and poor corporate governance can lead to a company's downfall. "There's the fear of being left behind. It causes a panic. It's like a fever," Ray said in a fireside chat, explaining how so many investors might have missed what was going on at FTX. "Part of it is intellectual laziness," he said. "It's kind of insane, but when a reputable company makes an investment, everyone seems to fall in line." Of note: His remarks are not the official views of FTX. Ray said he often gets asked how FTX's collapse could have been prevented. "How about you have a board of directors?" he said, listing "the basics" that crypto shops could've followed, like proving reserves, showing liabilities, and conducting regular audits. Case in point: FTX's subsidiary in Japan had segregated accounts and audited financials, enabling the company to return "every single penny to customers." He named Japan's regulatory scheme as "one of the models." Of note: Regarding regulation, "here in the U.S. we're obviously in for changes," he said. "The regulatory scheme is only trying to catch up — doing so in the face of an industry that is changing every day." He predicted there may be "an over-complicated regulatory structure that will come out of this, that'll be given birth by these kinds of tragedies." "That's the natural evolution of an industry," he said. What's next: FTX will file its reorganization plan with the bankruptcy court by July 31, with the goal of getting creditor and court approval for the plan within the next year, Ray said.
Former FTX Ventures Head Amy Wu Turns to AI After Being 'Duped' by SBF - Amy Wu, former head of FTX Ventures, has found a new venture to steer. One of Silicon Valley's seasoned firms, Menlo Ventures, has brought Wu onboard as a partner, leveraging her prowess in consumer startups. Amy will be based in NYC—and frequently in SF and LA, according to one of her tweets— and will lead investments in consumer and gaming related industries. Wu's skills lie in the captivating cross-section of AI, gaming, the creator economy, and consumer tech. Partnering with Shawn Carolan at Menlo, Wu aims to diversify and bolster their influence across a broad spectrum of consumer tech sectors. The move marks a new chapter for both Wu and Menlo. For Wu, it's a return to the city's startup scene where she first made her mark in the early 2010s. For Menlo, it's an extension of its venture firm footprint from Silicon Valley to the buzzing hub of New York City, with partner Tyler Sosin already on the ground. A tumultuous chapter in Wu's career involved her tenure at FTX Ventures, an arm of the infamous and now bankrupt crypto exchange FTX. Its unexpected collapse shook the industry, triggering ripples of scandal that reverberate still among some of the most resounding hits to the crypto industry like the MtGox hack and the Bitconnect debacle. The way Carolan put it, Wu "got duped along with everybody else." When asked about her FTX experience, Wu described it as an intense learning period. "It was really difficult, I was there for a short period of time—it was 10 months and it felt like 10 years," she told Axios. The situation ultimately underscored the challenges faced by hyper-growth companies, despite Wu's candid admission that she felt ill-prepared for the tumultuous fallout, which affected numerous individuals, including customers. Carolan said she's the "absolute best" for the role at Menlo. Wu is joining Menlo as the firm is raising its newest crop of funds, a stage when firms typically onboard new partners. Amy is set to work on early-stage investments in tech-driven areas like gaming, blockchain, and new promising endeavors like generative AI. While the blockchain is an area that has seen frenzied investing, Wu will now be at the intersection of it and AI. In recent months, venture capital has shifted away from crypto firms in a big way. In April, Crunchbase reported that VC funding for crypto firms was down 82% compared to last year.
Wyre winding down as crypto winter bites (Reuters) -Cryptocurrency infrastructure provider Wyre is winding down, feeling the pinch of dwindling interest in a market that was once hailed as the next frontier of finance. The decision, announced in a tweet on Friday, comes months after online checkout company Bolt Financial scrapped its planned $1.5 billion purchase of Wyre. Since then, the digital asset market has seen a high-profile bankruptcy of crypto exchange FTX and lawsuits from the U.S. securities regulator against Binance and Coinbase Global COIN.O. Wyre's decision was not because of any regulatory action and investors who have assets on the company's platform could withdraw them via its dashboard through July 14, it said.
Republicans court Democratic support of crypto bill — Democrats took issue with a few key elements in Republicans' new crypto bill, which was released as an effort between the House Financial Services Committee and House Agriculture Committee. However, neither party closed the door entirely to bipartisan compromise on the issue. Rep. Maxine Waters, D-Calif., the ranking member of the House Financial Services Committee, said that a bill released by Rep. Patrick McHenry, R-N.C., the chairman of the panel, and Rep. Glenn Thomson, chairman of the House Agriculture Committee, wasn't circulated early enough among Democrats to have sufficient input. That bill gives the Commodity Futures Exchange Commission authority in the oversight of many digital assets, including, potentially, some that the Securities and Exchange Commission have taken action against as unregistered securities. "The bill is 160 pages long, highly complex and was only made public about a week ago. Any bill that would so dramatically overhaul our nation's capital markets must be worked on with the minority," Waters said. "We also need the analysis and views of independent regulators, the administration and stakeholders on the implications of this legislation."
Rep. Waters calls on House to hold hearing on AI — ‘immediately’ -The top Democrat on the House Financial Services Committee, Maxine Waters (D-Calif.), is calling on committee chairman Patrick Henry (R-N.C.) to schedule a hearing on the implications of big tech's foray into artificial intelligence In a letter Thursday, Waters requested that McHenry "immediately schedule" a committee hearing on the implications of ChatGPT, Microsoft Bing’s AI chat, and other AI for the housing and financial services industry. "The speed at which AI is being developed can potentially outpace Congress’ and regulators’ roles in fully assessing and understanding the harms of AI systems and the ability to put in place integral consumer and investor protections," Waters wrote. "The Committee must move quickly to consider the potentially disruptive effects of these powerful AI models." Waters says if AI’s growth is not monitored closely, it could inflict large-scale societal and economic harm, including the potential for exposing consumers’ data, creating inaccurate financial assessments, and spreading misinformation, posing risks to financial stability. Goldman Sachs, for example, has warned that if AI delivers on its promised capabilities, the job market could face significant disruption. The investment bank estimates roughly two-thirds of current jobs are exposed to some degree of AI automation and that AI could cost 300 million jobs globally. (Though, theoretically, that would be offset with the creation of new jobs.) Waters spearheaded a task force last congress on financial technologies and AI, which raised ethical and legal concerns about bias and discrimination by algorithms, especially if automated programs don’t perform as intended. The task force found AI could embed inequities in financial services and the housing market by using data that reflect underlying bias or discrimination. Waters's warning comes after Sam Altman, chief executive of OpenAI, an AI research technology company backed by Microsoft that helped create ChatGPT, testified last month before a Senate Judiciary subcommittee that government intervention will be necessary to reign in the risks of AI systems.
What's in the bipartisan deal on clawbacks from failed-bank CEOs -The Senate Banking Committee is scheduled to vote Wednesday on a bipartisan bill that would broaden the Federal Deposit Insurance Corp.'s authority to claw back compensation from executives of failed banks. The legislation was introduced this week after Senate Banking Committee Chair Sherrod Brown, D-Ohio, reached an agreement with ranking member Tim Scott, R-S.C. It would give the FDIC the ability to claw back compensation received by executives from up to 24 months before a bank's failure. That would include incentive-based, equity-based and performance-based compensation, plus any money the executive made from selling shares of the bank. The clawback provisions would not apply to community banks. The bill would also increase the maximum penalties that regulators can impose on executives who "recklessly" violate the law. "It's time for CEOs to face consequences for their actions, just like everyone else," Brown said in a statement. The bill is the latest in a series of proposals that seeks to recover money paid to senior bank executives in the event of another bank failure. Making it easier for regulators to recoup such compensation is one of the few issues that has gained bipartisan support in the wake of this year's bank collapses. The failures of Silicon Valley Bank, Signature Bank and First Republic cost the FDIC's Deposit Insurance Fund a total of $31.5 billion. Sen. Elizabeth Warren, D-Mass., introduced a bill to strengthen executive-compensation clawbacks in late March, weeks after the failures of Silicon Valley Bank and Signature Bank, and before the failure of First Republic. That bill would have required regulators to recoup five years worth of pre-failure pay from bank executives; a more recent version would require regulators to claw back three years of pre-failure compensation. Both versions of Warren's bill garnered support from Republicans, including Sen. Josh Hawley, R-Mo., and Sen. Mike Braun, R-Ind. The bill introduced by Brown and Scott this week would give the FDIC the option, rather than require the agency, to claw back pay from executives at failed institutions. "The clawback must be mandatory, not left to the discretion of what could be industry-friendly regulators," Bartlett Naylor, financial policy advocate at the advocacy group Public Citizen, said in a statement.
FDIC's Hill: Agency should have tried harder to sell Silicon Valley Bank — Federal Deposit Insurance Corp. Vice Chair Travis Hill said Monday that regulators should have made more of an effort to sell Silicon Valley Bank immediately after it was closed, and failing to do so may have made it harder for the bank's assets to be sold. Speaking virtually at a panel held by Georgetown University on Monday morning, Hill said the reputational harm caused as the public witnessed the agency's prolonged search for a buyer added to the baggage any potential acquirer of SVB's assets would inherit. To speed up the process, he said a very high level government official should negotiate directly with bank CEOs."What we really needed was somebody with very high stature at the top of government reaching out to the different bank CEOs who potentially could make credible bids for the institution and encouraging them to bid, finding out what type of obstacles or impediments there might be to bidding and seeing what can be done to try to address some of those concerns," Hill said. "Once the bridge bank was open that Monday, it was a reminder to everyone that that's a very undesirable place to be as value seeps out." While he was critical of the slow bidding process, he commended regulators for heeding lessons from SVB's failure as they moved to resolve First Republic Bank, which failed months after SVB in early May. He said SVB's failure made regulators more willing to strike a deal with a megafirm like JPMorgan Chase, even if it meant inflating the balance sheet of the largest U.S. bank."First Republic Bank was a lot better," Hill said. "A big part of that was just having a lot of time and a runway where everyone knew the bank was in trouble. The lessons of SVB's failure helped everyone kind of get over those hesitations [over certain resolution options]. It was very positive that the bidding process was open to a large number of bank and non bank bidders and that the ultimate bid elected was the one that was deemed least costly to the Deposit Insurance Fund."
Democrats still have questions for regulators about the bank failures — House Democrats raised concerns with Treasury Secretary Janet Yellen Tuesday about whether invoking the systemic risk exception in Silicon Valley Bank and Signature Bank's failures was the right call. Rep. Bill Foster, D-Ill., expressed some concern that regulators ultimately resorted to selling First Republic Bank to the already largest U.S. bank — JPMorgan Chase. "When resolving failed banks, there can sometimes be a tension between lowest-cost resolution and the bipartisan desire to discourage further bank consolidation into a smaller number of very large banks," he noted. First Republic Bank was seized by regulators and sold to JPMorgan Chase on May 1, a move designated as the least-cost option by the FDIC. The acquisition of First Republic Bank by JPMorgan Chase still caused a then-estimated $13 billion hit to the Deposit Insurance Fund, and inflated the balance sheet of what was already the country's largest bank. As Yellen noted Tuesday, banks holding more than 10% of total uninsured deposits — like JPMorgan — are generally not permitted to acquire other banks under the Riegle-Neal Act of 1994. However, this prohibition has an exception, allowing firms above the 10% limit to acquire banks which are failing if necessary to prevent crises and maintain banking stability. Rep. Stephen Lynch, D-Mass., asked whether the biggest banks were ultimately the best suited to absorb another bank that is failing or in receivership. Yellen noted that, ultimately, the winning bidder provided the least-costly deal regardless of how large they may be. "When the FDIC resolves a bank, it is required by law to take the best offer it gets," Yellen said. "In this case, it was JPMorgan Chase."
McHenry takes aim at revival of FSOC's designation authority — Rep. Patrick McHenry, R-N.C., chairman of the House Financial Services Committee, wrote to Treasury Secretary Janet Yellen objecting to the move by the Financial Stability Oversight Committee to rearm itself with its most powerful tool: the ability to designate nonbanks as systemically important. . The Biden administration in April set the wheels in motion to rollback a Trump-era rule that prohibited FSOC from declaring nonbanks as systemically important, which would subject those nonbanks to a bevy of potentially costly rules. The proposal — which was published after the failures of Silicon Valley Bank and Signature Bank — deals primarily with nonbanks, but McHenry said the turmoil in the industry throws into sharp clarity for policymakers that institutions thought not to be systemically risky could be under the right circumstances. "The actions are contrary to the due process protections afforded by the Constitution and mark a sea change in the longstanding principles the Council uses to review these entities," McHenry said in the letter. "If left unaddressed, the actions will set a dangerous precedent that will have consequences for the broader financial system." Republican pushback the FSOC's decision was expected, and signals that the party isn't likely to let the Biden administration's moves continue as planned should Republicans win the White House in 2024.
McHenry advances Fincen beneficial ownership rule complaints with bills — House Financial Services Chair Patrick McHenry, R-N.C., has introduced two bills that would restrain the powers of the Financial Crimes Enforcement Network, particularly when it comes to its new beneficial ownership rule. One of these bills, the Accountability Through Confirmation Act of 2023, would require that the director of Fincen be appointed by the president and confirmed by the Senate. The second, the Protecting Small Business Information Act of 2023, would delay the implementation of the beneficial ownership reporting requirements, currently scheduled for the beginning of 2024, until Fincen finalizes two other related rulemakings. "The degree of regulatory authority and volume of Americans' sensitive information amassed by Fincen would make the intelligence community blush," McHenry said in a statement. "They have done this with little transparency and accountability, and a disregard for Americans' privacy rights." The rule, once sought by banks and bipartisan lawmakers to crack down on shell companies used by criminals and corrupt foreign officials, has drawn criticism from some House Republicans for its lack of clarity. Recently, McHenry, along with the Chair of the House Committee on Small Business Rep. Roger Williams, R-Texas, and Rep. Blaine Luetkemeyer, R-Mo., raised concerns that there has not been enough information disseminated to small businesses, who will need to comply with the rule when it goes into effect at the beginning of 2024.
Fed launches master account database -More than two dozen financial institutions are seeking access to the Federal Reserve's payments system, most of which are located in Wyoming, Puerto Rico or California, according to a newly released data from the central bank.On Friday, the Fed launched its much anticipated database listing of all the entities that have or are seeking so-called master accounts, which act as a single point of access to the central bank's various financial services, including payment settlement systems such as the automated clearing house and Fedwire.The rollout ends a tumultuous chapter between the Fed and Congress, during which the two sides grappled over transparency requirements around master accounts."This is a great first step," Julie Hill, a law professor at the University of Alabama and a leading scholar on payment systems, said. "And I hope it is a first step. I hope it will show the Federal Reserve that transparency can be good for them and change how they think about providing information about accounts and payments in the future."For decades, master account access was largely overlooked. Regulated banks were, for the most part, the only groups that sought such accounts and most were able to obtain them with relative ease. The database shows an uptick in interest from novel charters that specialize in digital assets or other tech-based business models.
Atlanta Fed president owns up to more errors in financial disclosure -Federal Reserve Bank of Atlanta President Raphael Bostic disclosed having made prohibited personal trades last year. Bostic said his account managers executed nine sales and 10 purchases on his behalf on May 2, 2022, one day before the Federal Open Market Committee was set to meet. Fed officials are prohibited from engaging in trades for the nearly two week "blackout period" prior to an FOMC meeting. Bostic disclosed the prohibited trades in his annual financial statement, which was released Thursday afternoon. He said he was not aware that the transactions, which were executed by investment managers for his husband's retirement account, were subject to the blackout rule. "As I now understand, transactions in such accounts are not exempt from the reporting requirements and FOMC blackout period trading restrictions," Bostic wrote. "The transactions that occurred on May 2, 2022, were associated with funds invested through one such account and occurred prior to realizing that they were subject to blackout restrictions." Bostic also disclosed a litany of other issues with his 2021 disclosure that he recognized while completing the form for 2022. These included writing down incorrect values for certain assets, omitting assets he owned and including assets he'd already sold. He also listed rental properties in California, Utah and the Virgin Islands twice.
Fed's stress test results to be published June 28 -- — For the first time since multiple bank runs felled a handful of large regional banks, the Federal Reserve will release the results of annual bank stress tests on June 28. While the scenarios for the 2023 stress tests were announced before the failure of Silicon Valley Bank, the results will still be more carefully watched than they have previously because of the recent turmoil in the banking sector as market watchers continue to assess the health of large regional banks in particular. Fed Vice Chair for Supervision Michael Barr has said that the central bank is considering how to shore up the health of banks, specifically large regional banks, in the aftermath of three of the largest bank failures in U.S. history. Banks of that size — between $100 billion and $250 billion of assets — participate every other year. This year, 23 banks were assessed in the stress tests. This year's tests also include an exploratory market shock, applied to the trading books of global systemically important banks. While those results won't be factored into capital requirements, they will be used to evaluate the resiliency of the banks and could impact how future tests are done.
FDIC dings three more companies for false deposit insurance claims — The Federal Deposit Insurance Corp. issued official letters Thursday demanding three companies promptly cease-and-desist making misleading statements which violate the agency's rules on claims of deposit insurance. "The companies and certain officers made false representations by stating or suggesting that the companies are FDIC-insured, uninsured financial products are insured by the FDIC, misusing the FDIC name or logo, misrepresenting the nature or extent of deposit insurance, and/or failing to identify insured depository institutions with which it has a relationship for the placement of customer deposits and into which funds can be deposited," the agency wrote in a release. FDIC leveled the accusations against Bodega Importadora de Pallets — also known as Bodega — OKCoin USA, Inc. and Money Avenue, LLC. The agency said the misrepresentation of deposit insurance can harm consumers, and is taking action against such claims in both Spanish as well as English. In the letter to Bodega, the agency cited both the company's English language claims as well as similar claims published on the company's Spanish-language website. FDIC Chairman Martin J. Gruenberg said he wants to discourage firms or individuals who misuse the FDIC's name or logo —online or otherwise. "The FDIC has observed an increasing number of instances online where firms or individuals have misused the FDIC's name or logo, or have made false or misleading representations about deposit insurance," said Gruenberg. "These practices can confuse consumers about whether they are dealing with an insured institution and if they are protected by deposit insurance."
U.S. Bank settles charge that MUFG Union deceived customers on fees - U.S. Bancorp, which acquired MUFG Union Bank late last year, has agreed to settle allegations that its predecessor company deceived customers about three different kinds of fees. The settlement with the Office of the Comptroller resolves one of the regulatory matters that the Minneapolis-based bank inherited when it completed the purchase. Under a consent order with its regulator, members of the U.S. Bancorp board neither admitted nor denied that any wrongdoing had occurred. The consent order calls for a $15 million fine, but a U.S. Bancorp spokesperson said that the company was indemnified by Mitsubishi UFJ Financial Group, the Japanese banking giant that previously owned MUFG Union. Mitsubishi UFJ is responsible for paying the fine, according to spokespeople for both companies. The consent order deals with matters that MUFG Union Bank identified on its own, and which predate its acquisition by U.S. Bancorp, the U.S. Bancorp spokesperson said. "The impacted customers and accounts were remediated by Union Bank," the U.S. Bancorp spokesperson said in an email. "We look forward to serving the needs of all our customers now that we have successfully converted Union Bank customers to U.S. Bank." The OCC found that MUFG Union violated federal law by engaging in deceptive practices that it said were part of a pattern of misconduct, and which resulted in financial gain.
CFPB to propose open banking regulation in coming months, finalize in 2024 -- Consumer Financial Protection Bureau Director Rohit Chopra said Monday that the agency will propose a much-anticipated open banking rule in the coming months and will aim to finalize the rule in 2024. Chopra outlined the time frame in a blog post Monday, which comes as the bureau attempts to pivot the financial industry toward open banking, meaning consumers have control over their personal financial information and can share that data as they choose.The rule, which the CFPB is required to issue as part of Section 1033 of the Dodd-Frank Act, will open up competition in the financial services industry by mandating that large institutions allow consumers to request the share of their personal financial data with fintechs and other banks and online lenders, Chopra said."Control of the open banking system by [dominant firms] threatens competition and the consumer's control of their own financial affairs," the agency said, adding that "it will pay close attention to any attempts to limit consumers' exercise of their data rights, particularly where such attempts proceed from coordinated efforts by dominant firms."While they have not been named, some of the firms that the regulation is targeting are likely to include megabanks like JPMorgan Chase and Bank of America, as well as established third-party firms like Plaid and Strike, which share personal consumer data with banks and other third parties.
Synchrony lays out plan to recoup late fees lost under CFPB proposal --If the Consumer Financial Protection Bureau follows through on a proposal to cut credit card late fees to $8, Synchrony Financial will be among the hardest-hit issuers. Synchrony, which issues co-branded cards and shares late fees with its retail partners, would lose a larger chunk of its revenue than competitors such as Capital One Financial and Discover Financial Services, according to an estimate earlier this year by analysts at Jefferies. But the Stamford, Connecticut-based company has been looking for ways to recoup at least some of the revenue that it will lose if the CFPB's plan takes effect. On Monday, Synchrony Chief Financial Officer Brian Wenzel provided new details about how pricing might change in that scenario. "I think we're probably heading into what I'd say is a more definitive period of time, where we've kind of identified the exact things we may do," Wenzel said during remarks at a Morgan Stanley conference. "It's not necessarily going to be in one flavor, given the size of what the CFPB is proposing." Wenzel identified three specific ways that Synchrony might change its pricing. But he also acknowledged that the company's ability to collect more money from struggling borrowers will be constrained by a 14-year-old federal law that put various restrictions on the industry. One potential method to recoup lost late-fee revenue would be to impose other fees. Wenzel said those charges could include annual fees, but he also alluded generally to the possibility of other kinds of fees. Under the CARD Act of 2009, card issuers cannot collect upfront fees that add up to more than 25% of the available balance in the first year. A second way that Synchrony could recoup lost revenue would be to raise annual percentage rates, though again Wenzel did not provide details about how such a plan might work. The third option on the table at Synchrony is to find new ways to use pricing to deter late payments. Penalty-based pricing would be one way to do so, though the CARD Act puts restrictions on the ability of card issuers to implement that strategy.
At CFPB hearing, Sen. Vance blasts the Federal Reserve and JPMorgan Chase - A Senate banking committee hearing on the Consumer Financial Protection Bureau tackled few major issues with one senator throwing a monkey wrench into the proceedings by questioning why the Federal Reserve Board's policies have led to JPMorgan Chase becoming bigger and more powerful. The two-hour hearing on Tuesday yielded no new insights into the CFPB's work. Eight of 23 committee members were absent, and several lawmakers seemed unprepared or unable to read from their notes. One lawmaker asked questions that indicated he was either confused about how laws are made or how agencies enact rules. CFPB Director Rohit Chopra is expected to get more rigorous questioning on Wednesday at a House Financial Services Committee hearing. The most pertinent line of questioning came from Sen. J.D. Vance, R-Ohio, who hammered home the idea that regulatory policies over the past few years have increased the dominance of "too big to fail" banks. Vance asked Chopra whether the Office of the Comptroller of the Currency is a better regulator than the Federal Reserve, and went on to lambast the Fed for failing to prevent systemic risk. "The Fed is both an overburdensome, but also a very ineffective regulator," Vance said. "They take up a lot of time and don't actually do a whole lot to make the banking system safe. I'm wondering if you have a view on that. Is the OCC a better regulator than the Federal Reserve?" Chopra, who serves on the board of the Federal Deposit Insurance Corp. and the Federal Financial Institutions Examination Council, sought a nuanced response. "I think it depends, it's hard to say overall," Chopra said. "But I will tell you, I think if we were starting from scratch, we probably would not create this balkanized system of who's accountable for oversight. I think the inconsistency in supervisory approach does have costs."
House Republicans blast CFPB's Chopra in marathon hearing --Republican lawmakers in the House Financial Services Committee turned the rhetorical screws on Consumer Financial Protection Bureau Director Rohit Chopra Wednesday, accusing him of pursuing regulatory objectives in order to help President Biden win reelection and failing to take industry concerns into account with his agency's proposals. At the outset of what was to be a four-hour hearing Wednesday, Rep. Andy Barr, R-Ky., set the tone of the hearing by calling the CFPB "an appendage of President Biden's reelection campaign." Barr, who led the hearing in the absence of committee chairman Rep. Patrick McHenry, R-N.C., lambasted Chopra for labeling all fees "abusive," and for targeting so-called junk fees. He launched into a tirade about Chopra evading the rulemaking process and engaging in what he called "McCarthyism." "You use compliance bulletin, circulars and advisory opinions to sow doubt and confusion in the marketplace," said Barr. "You vilify an entire industry simply because they are politically unsavory in your opinion. The practice of name-and-shame first, verify later, isn't consumer protection, it's McCarthyism." Rep. Blaine Luetkemeyer, R-Mo., took up the same line of questioning, asking Chopra whether companies are required by law to abide by pronouncements made in blog posts and speeches. "Since public statements are not rulemakings or official actions, and the guidance you issue is not legally binding, are financial institutions and firms within their rights if they do not adhere to your proclamations?" Luetkemeyer asked. "This is very concerning because you turn around and you threaten different entities all the time. You've become the greatest extortionist in the history of this country." The grandstanding became too much for Rep. Juan Vargas, D-Calif., who complained that the committee's chair failed to intervene to stop the name-calling. "The hyperbole today is actually rather remarkable," said Vargas. "Are you the greatest extortionist? Is that true?" "Obviously that's not true," Chopra replied. "I wanted to give you the opportunity to react to that," Vargas said. "Are you beating the stuffing out of the free enterprise system? The accusation was of McCarthyism. You heard it, I heard and it wasn't defined. I hope that we're a little more careful with our language around here when we accuse people of McCarthyism, extortionism and all these other things."
Dangers lurk in the details of policy response to home appraisal bias -- The federal government's response to racial disparities in property values is coming into focus, but questions remain on whether the changes will root out bad actors or simply encourage appraisers to err on the side of higher valuations. Regulators proposed two changes this month for how banks and other mortgage lenders should approach collateral valuation. One calls for lenders to create quality control standards and mechanisms for computer-generated appraisals, while the other would make substantial changes to when and how appraisals can be challenged by banks and their customers. At face value, the proposals address topics for which the industry has long needed clarification, said Jonathan Miller, a New York-based appraiser. But, he noted, the full scope of the government's actions will put undue pressure on appraisers to submit reports that align with borrower expectations. "These actions show an intense interest to solve the problem, but I think the devil is in the details," Miller said. "The basis of all this is an underlying assumption that the second value on a property is always right if it's a higher value, so the byproduct of these efforts has the potential to cause appraisers to over-appraise to avoid legal jeopardy." Others, meanwhile, say the proposals are a necessary first step toward righting historical wrongs in the real estate market. Marisa Calderon, chief of community finance and mobility at the National Community Reinvestment Coalition, said the appraisal process needs to be revamped to shed practices that perpetuate race-based biases that favor majority-white neighborhoods and disadvantage majority-minority ones. The bias, she argues, is baked into the way appraisers are trained. "The reality is the systems and structures are themselves, in some cases, problematic. Even when appraisers follow the intended approach, it may result in an outcome that disenfranchises people," Calderon said. "They could be doing everything in a way they feel is consistent with the approaches they've learned and for which they're certified, but there are some underlying issues that need to be addressed."
How This Regional Bank Mortgage Lender Crisis is Different - - In a recent study published in INET’s book series with Cambridge University Press, How Novelty and Narratives Drive the Stock Market: Black Swans, Animal Spirits and Scapegoats, I advance a fundamentals-based view of market narratives. This hinges on the frequency of non-repetitive events – think corporate bankruptcies, legal issues, political elections, or armed conflicts – and the instability they cause in relationships driving stock returns and volatility. Unforeseeable changes from such events force investors to contextualize information when forecasting earnings and discount rates in ways that reach far beyond hard data and cold calculation. One key finding is that periods with the most unscheduled events and highest narrative intensity align with formal breakpoints in traditional stock return relationships. Consider the regional banking crisis of 2023 as motivation for, what the books dubs, the Novelty-Narrative-Hypothesis (NNH). Every banking crisis has its own overarching narratives and coincidental streams of various sub-narratives that course through the marketplace day to day. Even the most cursory observer can attest that narratives are inextricably tethered to major news events. From shocks to banks’ balance sheets, to private-sector shake-ups, to regulator responses, each financial calamity is uniquely shaped by events that, while they may be categorically similar, are not perfect replicas of the past. NNH implies that unscheduled events cause market instability and require investors to interpret as best they can the actual process driving outcomes. In doing so, individuals rely on narratives and other non-stochastic tools to make sense of novelty’s meaning for the future. The recent collapse of Silicon Valley Bank, Signature Bank, and First Republic Bank is no exception. Overarching narratives are mentally sticky and follow news events like a mutating shadow feeding on each twist and turn of new information. Consider the following narratives relating to the regional banking crisis of 2023.
- Narrative 1: Lax oversight of regional banks and low rates encourage rapid growth and overleveraging to fund mortgage origination and Treasury acquisition. In the early stages of the 2020 pandemic, as interest rates were slashed to the (near) zero-lower-bound by the Federal Reserve, many regional bank balance sheets grew rapidly. For instance, the total debt of Silicon Valley Bank (SVB) increased 92 and 174 percent from 2020-2021 and 2021-2022, respectively. Commensurate with peer institutions, much of the onboarded debt financed the acquisition of mortgage loans and Treasury securities. The music stopped in 2023.
- Narrative 2: Wealthy mortgage holders panic as low-cost lenders’ losses trigger exodus of uninsured deposits – regional bank run leads to collapse. Indeed, banks have held huge balance sheet losses on Treasury securities as rates increased, hurting their ability to cover deposit outflow. Researchers estimate $1.7 trillion dollars in banks’ unrealized losses for 2022. The combination of asset devaluation and deposit outflow crippled the most exposed banks. Facing catastrophic loan losses and mass deposit outflow, SVB failed on March 10. All eyes then shifted toward First Republic, the beloved bank of the rich and famous. On March 16, First Republic Bank received a private sector lifeline of 30 billion dollars to stem the bleeding. This was not enough. The FDIC took control of First Republic on May 1 in order to broker its sale to JP Morgan Chase, the largest US bank. The FDIC agreed to share in loan losses. The deal protected depositors but wiped out virtually all shareholder wealth.
- Narrative 3: The economy is giving highly mixed signals.Unlike previous banking crises, systemic risk is not what this turmoil was about. Contagion was not obvious. In fact, while three regional banks have collapsed this year, other banks have reported strong earnings. Bank of America crushed Q1 estimates. Wells Fargo, Goldman Sachs, Citigroup, JP Morgan, and Morgan Stanley, too, surprised above. Other areas of the economy have painted nuanced pictures as well. The technology sector had sparkling earnings reports, ranging from Google to Microsoft. America’s industry leaders, especially those with high domestic exposure, performed well. Amazon, Pepsico, GE, Raytheon, Mcdonald’s, and Chipotle joined the earnings parade. As of May 5, roughly 79 percent of companies reporting beat Q1 EPS estimates. But simultaneously, private sector layoffs continued: 3M, Accenture, Amazon, Google, Microsoft, Meta, Disney, Dell, Philips, Salesforce, Ericsson, BuzzFeed, Lyft, Whole Foods, LinkedIn, Deloitte, and others, joined the labor cuts in 2023.
- Narrative 4: The Federal Reserve is weighing a possible end to months of monetary tightening. The Federal Reserve, too, must interpret available information and contextualize its meaning. The Fed’s conundrum: wage-inflation, home-inflation. There is a deficit of home-sellers who do not want to lose their low-interest mortgages. Consumer prices are falling but remain stubbornly high at 4.9 percent year-over-year for April. Though the FOMC increased rates a quarter percent in their March meeting, Federal Reserve Chair Jerome Powell cited a possible end to hikes. In attempts to pivot the banking crisis narrative, Powell stated on May 3 that the banking system is “sound and resilient.” Try not to hear echoes of Hank Paulson’s speech to the G7 in Tokyo on February 9, 2008. These forms of narratives must reflect fundamental factors since they are based on statements by policy officials.
- Narrative 5: Policymakers and the nation’s largest banks are exacerbating the too-big-too-fail problem. With their continued willingness and ability to subsume the balance sheets of failed banks, it is now the size, and thus market power and concentration, of JP Morgan, stacked with over three trillion dollars in assets, that is driving yet another narrative: too-big-to-fail. And although regulations prohibit any bank from holding more than ten percent of total deposit liabilities outstanding system-wide, JP Morgan, as a private-sector buyer of last resort, was allowed to eclipse that ceiling.
Hotels: Occupancy Rate Down 1.6% Year-over-year From STR: STR: U.S. hotel results for week ending 10 June - U.S. hotel performance jumped from the previous week, while year-over-year comparisons were mixed, according to STR‘s latest data through 10 June.
4-10 June 2023 (percentage change from comparable week in 2022):
• Occupancy: 69.4% (-1.6%)
• Average daily rate (ADR): US$157.69 (+0.5%)
• Revenue per available room (RevPAR): US$109.38 (-1.2%)
The following graph shows the seasonal pattern for the hotel occupancy rate using the four-week average.
Dropping Prices of Goods Hit Retail Sales (Inflation Shifted to Services, Which Retailers Don’t Sell). Charts by Retail Category --By Wolf Richter Prices of many goods that people buy at retailers have dropped in recent months, including gasoline (price plunged 20% from a year ago!), food, new vehicles, consumer electronics, sporting goods, furniture, appliances, cannabis products (price plunge may have bottomed out), etc., as inflation shifted massively to services last year and has stayed there. Dropping prices, given the same unit sales, would translate into a drop in dollar sales. Today’s retail sales report reflects those price drops.Yet, despite price drops, retail sales rose 0.3% in May from April and 1.6% from a year ago seasonally adjusted. Not seasonally adjusted, retail sales jumped 6.6% in May from April and 2.8% year-over-year.Ecommerce continues to surge from record to record, despite price drops of many items sold online. Sales at some retailer categories have dropped, as retailers continue to lose ground to ecommerce, and as prices dropped, and other factors. Gasoline sales plunged exactly in line with the plunge in gasoline prices (see chart below that overlays gasoline retail sales and the CPI for gasoline).Retail sales are a measure of how retailers are doing. They measure sales of goods by retailers. And retailers are struggling with price drops of goods, after the huge price spikes in 2020 to mid-2022. And they’re struggling with the relentless shift to ecommerce.Retail sales aren’t a measure of consumer spending – we have a measure for that, which include services, not just goods. Andconsumer spending, adjusted for inflation, has been growing at a surprisingly strong pace.The charts below show the three-month moving average to tamp down on the drama of the monthly ups and downs that obscure the trends.What we see is total retail sales have remained roughly flat for the past four months, despite widespread and often big price drops in the biggest categories. This followed the explosive surge in 2020 through mid-2022, powered in part by pandemic stimulus and in part by rampant price increases.
Target stores in at least five states receive bomb threats over Pride items -Target stores in at least five U.S. states had to be evacuated over the weekend after receiving bomb threats, which tie into the recent backlash the U.S.-based retail chain received for its Pride Month merchandise. The Washington Post reported on Monday that local news outlets in parts of Oklahoma, New York, New Hampshire, Vermont, and Louisiana received emails from unknown individuals about bomb threats at the stores. In one email sent to Oklahoma City NBC affiliate KFOR, which is owned by Nexstar Media Group, the individual listed seven locations in and around the Oklahoma City area, claiming that two of the locations already had bombs in them, adding that they hid the bombs inside of products. “The bombs will detonate in several hours, guess which ones have the bombs. Time is ticking,” the email reads, also ending with the date “4/19/1995,” the date of the Oklahoma City bombing. Oklahoma City Police Department spokesperson Gary Knight said that several news outlets notified them about the emailed threats, adding that after evacuating the listed stores as a precaution, authorities didn’t find any suspicious items, according to the Post. South Burlington, Vt. police chief Shawn Burke said that news outlets in Vermont, New Hampshire, and New York all received the same email bomb threat over the weekend, which accused the retail chain of betraying the LGBTQ+ community, also naming the locations of four stores in the three states including South Burlington. “I think it had quite an impact locally,” Burke said, the Post reported. “It makes people a little bit uneasy to think about what’s going on. We’re more and more seeing this type of behavior in terms of swatting at schools locally and in terms of stores like Target [nationally].” The recent incidents come after Target received criticism for their LGBTQ+ initiatives, with the retail chain announcing last month that it removed some Pride Month merchandise in its stores after facing backlash from customers, citing concerns about their workers’ safety.
Why Year-over-year Headline Inflation will Decline Sharply in May and June -- CNBC's Carl Quintanilla posted this graph on Twitter this morning:And he quoted Credit Suisse: “Our work indicates that YoY inflation is likely to fall to 4.2% in May, 3.2% in June .. this would represent one of the greatest drops experienced in a 2-month period over the past 70 years.”This is very likely for both CPI and the PCE price index since energy and food prices soared in May and June 2022. As those data points are removed from the year-over-year calculation, the YoY change will decline sharply.However, core inflation does not include food and energy, so we won't see as dramatic a decline in core CPI and core PCE.Here is a table of the month-to-month price increases that will drop out of the year-over-year calculation in May and June.This shows the large increases in May and June 2022 for CPI and the PCE price index.It is likely that core CPI and core PCE will also decline year-over-year in May and June, but the decline will not be as sharp as for the headline inflation numbers.This graph shows the year-over-year change for these four key measures of inflation. On a year-over-year basis, the median CPI rose 6.7%, the trimmed-mean CPI rose 5.5%, and the CPI less food and energy rose 5.3%. Core PCE is for April and increased 4.7% year-over-year. Note: The Cleveland Fed released the median CPI details. "Used Cars" increased at a 68% annualized rate in May (this will reverse in June).
BLS: CPI increased 0.1% in May; Core CPI increased 0.4% --From the BLS:The Consumer Price Index for All Urban Consumers (CPI-U) rose 0.1 percent in May on a seasonally adjusted basis, after increasing 0.4 percent in April, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index increased 4.0 percent before seasonal adjustment.The index for shelter was the largest contributor to the monthly all items increase, followed by an increase in the index for used cars and trucks. The food index increased 0.2 percent in May after being unchanged in the previous 2 months. The index for food at home rose 0.1 percent over the month while the index for food away from home rose 0.5 percent. The energy index, in contrast, declined 3.6 percent in May as the major energy component indexes fell.The index for all items less food and energy rose 0.4 percent in May, as it did in April and March. Indexes which increased in May include shelter, used cars and trucks, motor vehicle insurance, apparel, and personal care. The index for household furnishings and operations and the index for airline fares were among those that decreased over the month.The all items index increased 4.0 percent for the 12 months ending May; this was the smallest 12-month increase since the period ending March 2021. The all items less food and energy index rose 5.3 percent over the last 12 months. The energy index decreased 11.7 percent for the 12 months ending May, and the food index increased 6.7 percent over the last year.CPI was slightly lower than expected and core CPI at expectations. I'll post a graph later today after the Cleveland Fed releases the median and trimmed-mean CPI.
Cleveland Fed: Median CPI increased 0.4% and Trimmed-mean CPI increased 0.2% in May --The Cleveland Fed released the median CPI and the trimmed-mean CPI. According to the Federal Reserve Bank of Cleveland, the median Consumer Price Index rose 0.4% in May. The 16% trimmed-mean Consumer Price Index increased 0.2% in May. "The median CPI and 16% trimmed-mean CPI are measures of core inflation calculated by the Federal Reserve Bank of Cleveland based on data released in the Bureau of Labor Statistics’ (BLS) monthly CPI report".
Industrial Production Decreased 0.2% in May --From the Fed: Industrial Production and Capacity Utilization Industrial production edged down 0.2 percent in May following two consecutive months of increases. In May, the index for manufacturing ticked up 0.1 percent, while the indexes for mining and utilities fell 0.4 and 1.8 percent, respectively. At 103.0 percent of its 2017 average, total industrial production in May was 0.2 percent above its year-earlier level. Capacity utilization moved down to 79.6 percent in May, a rate that is 0.1 percentage point below its long-run (1972–2022) average.This graph shows Capacity Utilization. This series is up from the record low set in April 2020, and above the level in February 2020 (pre-pandemic).Capacity utilization at 79.6% is close to the average from 1972 to 2022. This was slightly below consensus expectations. .The second graph shows industrial production since 1967.Industrial production decreased in May to 103.0. This is above the pre-pandemic level.Industrial production was below consensus expectations, however previous months were revised up.AAR: May Rail Carloads Increased, Intermodal Decreased Year-over-year From the Association of American Railroads (AAR) Rail Time Indicators. .Total originated carloads on U.S. railroads rose 0.8% in May 2023 over May 2022, their third year over-year gain in the first five months of 2023. Total carloads averaged 225,851 per week in May, down fractionally from the average for March and April.U.S. intermodal originations in May 2023 were down 11.1% from May 2022, intermodal’s 15th straight year-over-year decline.This graph from the Rail Time Indicators report shows the six-week average of U.S. Carloads in 2021, 2022 and 2022:U.S. railroads originated 1.13 million total carloads in May 2023, up 0.8% over May 2022 and the third year-over-year gain in the first five months of 2023. Total carloads averaged 225,851 per week in May, down fractionally from the average for March and April.For 2023 through May, total U.S. carloads were 4.94 million, the most since 2019 and up 0.7% (33,332 carloads) over the same period in 2022.The second graph shows the six-week average (not monthly) of U.S. intermodal in 2021, 2022 and 2023: (using intermodal or shipping containers): Finally, intermodal. We don’t want to talk much about it because, while it has a very bright future, for now it’s depressing. U.S. railroads originated 1.19 million containers and trailers in May 2023, down 11.1% from May 2022. That’s intermodal’s 15th straight year-over-year decline. On the positive side, intermodal averaged 238,111 containers and trailers per week in May 2023, the most in six months. In 2023 through May, U.S. intermodal volume was 5.12 million units, down 10.9% (624,181 units) from last year and the fewest for the first five months of a year since 2013.
New Truck Sales Are Robust – But There's Still A Trucking Bloodbath In the past week, several Twitter users have pointThe Twitter posters can be forgiven. They are likely just pulling random data charts and drawing their conclusions with little to no freight industry experience and little context. But why are new truck orders robust?COVID screwed up the heavy-duty production cycleThere is a backlog of heavy-duty truck orders. Therefore, the data is not telling us what some think it does. In a normal economy, the health of the freight market is correlated with new truck order data. Not this time. The collapse in the freight market is well-documented from a range of sources, including leading industry surveys and bank reports on nationwide freight expenditure.New truck orders are continuing at robust levels, while the freight market collapses. This shouldn’t happen, so why is this cycle different? Mid-sized and large fleets — 100 trucks or more — buy their trucks at regular intervals, regardless of the economy. In fact, some increase purchases during recessions — thanks to incentives from original equipment manufacturers and easy access to drivers. Forty-two percent of the trucks on the road are held by fleets with more than 100 trucks. From 2020-2022, mid-sized and large fleets were not able to get new truck allotments due to supply chain shortages and a strong retail truck market.The mid-size and large fleets also held on to trucks longer than usual — two years longer than normal. Some fleets delayed orders in 2020 because of the unprecedented uncertainty and then continued to hold off in 2021 because of the inability to find truck drivers to “seat their trucks.” Now, truck drivers are much easier to find, uncertainty about an “apocalypse” is long forgotten and those trucks they held onto for two extra years are worn out.
Teamsters expected to authorize a nationwide UPS strike for this summer --Teamsters UPS drivers are expected to authorize a nationwide strike Friday, which would give union leaders the right to call for a strike if a satisfactory contract for more than 340,000 UPS employees is not reached by July 31.While authorization of a national strike does not mean the strike will necessarily happen, it sets up the possibility for significant economic disruptions this summer because the strike would be the largest in 26 years. The International Brotherhood of Teamsters and UPS officials have been in talks since early May, and the contract would set pay and working conditions for the more than 340,000 UPS employees.Voting for the authorization of a national strike began last week in more than 170 Teamster local unions, and results will be announced Friday. Union leaders say they are already seeing a “national groundswell” of support on the ground.“In just the last eight days, a national groundswell of Teamster action has erupted, stirring UPS hubs in major cities, remote rural barns, and everywhere in between,” Teamster said in a press release Wednesday.“UPS Teamsters are packing union halls and forming lines that spill into the parking lots as they eagerly cast their votes to authorize a strike at the world’s largest package delivery company,” it continuedTeamster negotiators scored a win to install air conditioning in vehicles Tuesday because many UPS drivers face heat-related health issues. Several other deals were struck Tuesday, but keyissues remain, such as raising pay and eliminating the reliance on lower-paid drivers.“The time has come to use our strongest leverage and officially remind UPS that hundreds of thousands of Teamsters are ready to withhold our labor to ensure UPS acts accordingly,” Teamsters General President Sean O’Brien said in a press release at the start of the authorization vote last week. “The National Committee strongly urges all UPS Teamsters to vote YES to authorize a strike. This is how we win.”
Body camera footage released after fatal police shooting of 14-year-old in Colorado (Reuters) - (This story contains graphic language in paragraph 9) Police in Aurora, Colorado, have released body camera footage following the death of a teenager who was shot by an officer after an alleged robbery. Jor'Dell Richardson, who is Black, was shot by an officer who chased him as he ran from a local store where police say he shoplifted vape materials with a group of youths on June 1. He was 14 years old. Richardson, who was shot in the abdomen, later died at the hospital, police said. A multi-agency team is investigating the shooting. Reuters could not immediately verify the race of the officers involved. One of the videos from the body-worn cameras released on Friday showed Richardson running from officers as they shout for him to stop and get on the ground. One of the two officers involved in the chase, James Snapp, eventually pinned him down on the ground. "Stop, please. You got me," Richardson can be heard saying. A second officer, Roch Gruszeczka, caught up to his partner moments later. "Gun, gun, let go of the fucking gun," Gruszeczka said. "I'm going to shoot your ass." Shortly after, a gunshot can be heard and Richardson wailing in pain. Officers called for medical assistance and began performing CPR as Richardson appeared to lose consciousness. "Hang with me bud," Gruszeczka says. Police said later on he said: "God, please be with that kid." Aurora Police Department Chief Art Acevedo told a press conference on Friday that Richardson was carrying a firearm, although it was later determined to be a pellet gun designed to look like a 9mm handgun. The body camera footage released by police does not show whether Richardson ever pointed the weapon at the officers. Gruszeczka has been placed on paid administrative leave.
Schools Are Removing Analogue Clocks Because Kids Can't Read Them - In the age of Fortnite, most of what we do is now on a screen. Whether it's checking Twitter, watching Netflix, or even doing homework. And that's had quite a drastic effect in the United Kingdom, where teachers are now installing digital clocks in exam rooms because their children are having a difficult time reading analogue clocks and knowing how much time they have left during stressful exams. Malcolm Trobe, deputy general secretary at the Association of School and College Leaders (ASCL), told The Telegraph that students below the age of 18 have become accustomed to using digital devices, and as such, a digital clock. “The current generation aren’t as good at reading the traditional clock face as older generations,” he said. “They are used to seeing a digital representation of time on their phone, on their computer. Nearly everything they’ve got is digital so youngsters are just exposed to time being given digitally everywhere.” Trobe, a former principal, said that teachers want their kids to be as relaxed as possible in an exam setting. And a traditional clock could add unnecessary stress. Schools are trying to make everything as “easy and straightforward as possible,” he added. “You don’t want them to put their hand up to ask how much time is left," Trobe explained. “Schools will inevitably be doing their best to make young children feel as relaxed as the can be. There is actually a big advantage in using digital clocks in exam rooms because it is much less easy to mistake a time on a digital clock when you are working against time.” Stephanie Keenan, head of English at Ruislip High School in north-west London, told The Telegraph that her school was one of many to switch their clocks. Cheryl Quine, a head of department at Cockermouth School and chair of the West Cumbria Network, said they did the same “when some [students] couldn’t read the exam room clock". Although reading clock faces is taught in school, Trobe said that many students still don't fully understand them by the time they reach high school. “It may be a little sad if youngsters coming through aren’t able to tell the time on clock faces,” he said.
Lost in the Storm: My 10-year-old daughter thinks she should be dead. When I tried to help her, I saw how deep our national crisis really is. […] In mid-March 2022, a few weeks before her 10th birthday, Ash was crashing hard. She cut herself with any sharp object she could find (of course we tried to keep everything we could from her). She wrote detailed, and remarkably consistent, suicide plans, which all culminated in everyone cheering her death. She refused to go to school. And she could not be calmed, no matter what we tried. Desperate, her dad and I followed her psychiatrist’s advice and scheduled an evaluation at a hospital in Virginia. I took her to the appointment, telling her that afterward we would go out for a treat. But there was no afterward. Three hours later, we were told she was being admitted for inpatient treatment and could not leave. They took her shoelaces. They showed her to her room that was barely better than a prison cell. They pointed out the seclusion rooms, which were prison cells. They told me to drive an hour home, pack her a bag, drive an hour back, leave the bag with the receptionist in the lobby, then drive an hour home. And so I left her sobbing. And so I left her, to call me over and over and over, screaming that she was in jail, screaming that she hated me, begging me to take her home. I left her in a place where the first contact we got from the social worker assigned to her was six days later at our discharge meeting, after Ash’s dad and I insisted they let her go. I left her in a hell where the stuffed dog she never let go of—which I thought she would be able to keep with her at all times as a comfort object—could not be carried out of her room, because maybe she might find something dangerous somewhere else in the ward and rip out the dog’s seams and stuff the dangerous object in and then later use it to cause harm to herself. I left her in a place that allowed only 90 minutes of visiting time every other day, which I spent sitting in her cell, holding her as she wept and begged me to take her with me. I left her.[…] Swirling through all of this, I think about what Ash and thousands of other children like her are trying to tell us: That the world that we have created for them does not work for them. That the world we have created, plus a global pandemic and so many other unaddressed crises in public life, does not work for them … or anyone.But because they are children, and because it is clear that we are not wise elders, but just flawed people stumbling in the dark, the way that this all plays out is that they are destroyed from the inside, and that explodes outward in a myriad of terrifying ways—suicide, self-harm, school avoidance, failure to launch, school shootings, and on and on and on.We do not hear them clearly, and we keep not hearing them clearly. Instead, we stick to our old systems, which never worked and still don’t work. And for those of us in our small boats in the storm, there is no sunlight, no clear horizon. There is only a small slip of moon to ebb the surging tide.
Middle School Students Stage Rebellion Against LGBTQ Indoctrination | ZeroHedge- Massachusetts, where the first shots of the American Revolution were fired, has now witnessed a revolt against LGBTQ indoctrination, staged by students at a public middle school. The action took place on June 2 at Marshall Simonds Middle School in the suburban Boston town of Burlington, in response to a Pride-themed "spirit day" organized by the school's Spectrum Club, which is a group of LGBTQ students and their supporters. The student body was encouraged to dress in rainbow colors and wear rainbow stickers. The school was decorated with Pride flags and posters, rainbow streamers, and "educational" posters. However, according to a letter sent to parents from the school's principal, many students were not in the mood and created -- wait for it -- an "unsafe environment." Her list of "specific acts of intolerance" included:
- "ripping of stickers and pulling down of banners"
- "handmade signs were torn off the walls and crumbled into water fountains"
- "groups of students were heard chanting 'U.S.A. are my pronouns'"
- "students glaring intimidatingly at faculty members showing pride"
- "students were shamed into removing their stickers or covering their clothing"
"Reports indicate that some of the dissent sprang from the school's failure to acknowledge Memorial Day. In her letter to parents, Perchase acknowledged that it her staff had made an "error." Many students wore red, white and blue on the Pride day, with some taking their patriotic display to the next level with face paint. Parent Christine Steiner told WCVB that her daughter was offended by an "educational" poster that crossed the line from promoting tolerance of LGBTQ people to taking a shot at straight ones. The poster featured a quote from Tennessee Williams: "What is straight? A line can be straight, or a street, but the human heart, oh, no, it's curved like a road through mountains." It also depicted two people waving rainbow flags; adhering to the woke rulebook, both were non-white.
It’s Long Past Time to End the Tyranny of High-Stakes Testing in Public Education - When I taught at an alternative public school for kids with exceptional social-emotional, behavioral, and learning needs, one of my students — I’ll call him Dante — got As in every class he took. School staff would frequently elevate Dante’s extraordinary focus and commitment as an example for his peers. In the spring of Dante’s senior year, his counselor informed him he’d earned the status of valedictorian. His beaming smile of pride after hearing the news affirmed everything I love about public education. When his mother found out, she burst into tears of joy. Then, abruptly, we were informed that there had been a mistake. Because Dante’s exceptional learning needs made it impossible for him to pass the Massachusetts Comprehensive Assessment System (MCAS) — the standardized tests that Massachusetts requires high school students to pass prior to graduation — he would not receive a diploma. Without a diploma, he couldn’t be valedictorian — even though, according to his grades and the unanimous judgment of his teachers, he clearly deserved the honor. A wave of incredulity rippled through the staff as we tried to resign ourselves to this obviously cruel, unfair reality. For Dante, the news was devastating. Even before the “giant federal wrecking ball” (to borrow leading education policy analyst Diane Ravitch’s phrasing) known as education reform, evidence from diverse fields had demonstrated a scientific concept known as Campbell’s Law: the more we base social decision-making on a specific quantitative measure, the more likely it is that that measure will become distorted, ultimately corrupting the processes it’s intended to monitor. Just so, in the two decades since Congress reauthorized the 1965 Elementary and Secondary Education Act (ESEA) as George W. Bush’s No Child Left Behind Act (NCLB), researchers have collected a mountain of data showing that in the long run, attaching high-stakes, or punishments, to student standardized test scores does not improve educational outcomes. Instead, it results in a host ofperverse consequences, with poor, minority, and disabled kids like Dante experiencing the greatest harms. This last point makes a lot of sense when you consider that standardized testing was first developed by eugenicists looking to organize people into racist taxonomies based on perceived ability. When we sort children into “proficient” and “failing” categories based on test scores, we’re not solving the opportunity gaps that show up in public education; we’re creating new ones. No one is helped, and many people are hurt, when we give students, teachers, and schools an impossible assignment and then sanction them for failing to complete it. Looking forward to the ESEA’s now overdue reauthorization, it’s high time we built accountability systems that nurture the humanity and potential of all kids — rather than placing artificial roadblocks in their way.
Moms for Liberty rises as power player in GOP politics after attacking schools over gender, race (AP) — To its members, it’s a grassroots army of “joyful warriors” who “don’t co-parent with the government.” To anti-hate researchers, it’s a well-connected extremist group that attacks inclusion in schools. Moms for Liberty didn’t exist during the last presidential campaign, but the Florida-based nonprofit that champions “ parental rights ” in education has rapidly become a major player for 2024, boosted in part by GOP operatives, politicians and donors. The group that has been at the forefront of the conservative movement targeting books that reference race and gender identity and electing right-wing candidates to local school boards nationwide is hosting one of the next major gatherings for Republican presidential primary contenders. At least four are listed as speakers at the Moms for Liberty annual summit in Philadelphia later this month. Former President Donald Trump, Florida Gov. Ron DeSantis, former U.N. Ambassador Nikki Haley and biotech entrepreneur and “anti-woke” activist Vivek Ramaswamy have announced they will speak at the meeting at the end of June. The group said it is in talks to bring others to the conference, including Republican Sen. Tim Scott of South Carolina and Robert F. Kennedy Jr., a fringe Democrat known for pushing anti-vaccine conspiracy theories. The high interest in the event underscores how fights surrounding gender and race have become core issues for Republican voters. It also spotlights Republicans’ eagerness to embrace a group that has drawn backlash for spreading anti-LGBTQ+ ideas and stripping libraries and classrooms of diverse material. The group was founded in 2021 by Tiffany Justice, Tina Descovich and Bridget Ziegler, all current and former school board members in Florida who were unhappy with student mask and quarantine policies during the pandemic. In two years, the organization has ballooned to 285 chapters across 44 states, Justice said. The group claims 120,000 active members. It has expanded its activism in local school districts to target books it says are inappropriate or “anti-American,” ban instruction on sexual orientation and gender identity, require teachers to disclose students’ pronouns to parents, and remove diversity, equity and inclusion programs from schools.
The Effect of School Closures on Standardized Test Scores: Evidence from Australia – Abstract: We estimate the causal effect of pandemic school closures on standardized test scores in Australia using variation in the length of school closures across states. States independently implemented school closures as part of Australia’s successful COVID elimination strategy. School closures in 2020-21 ranged from 4 to 112 school days. We measure achievement using student level panel test score data from a common compulsory standardized test with high participation rates. We find no evidence of large declines in test scores, including for low socioeconomic groups. The variation in test scores we observe post school closures was like that observed in previous years.
Suicides and homicides among young Americans jumped early in the pandemic, study says (AP) — The homicide rate for older U.S. teenagers rose to its highest point in nearly 25 years during the COVID-19 pandemic, and the suicide rate for adults in their early 20s was the worst in more than 50 years, government researchers said Thursday. The Centers for Disease Control and Prevention report examined the homicide and suicide rates among 10- to 24-year-olds from 2001 to 2021. The increase is alarming and “reflects a mental health crisis among young people and a need for a number of policy changes,” said Dr. Steven Woolf, a Virginia Commonwealth University researcher who studies U.S. death trends and wasn’t involved in the CDC report. Experts cited several possible reasons for the increases, including higher rates of depression, limited availability of mental health services and the number of guns in U.S. homes. Guns were used in 54% of suicides and 93% of homicides among the age group in 2021, the most recent year for which statistics were available. “Picture a teenager sitting in their bedroom feeling desperate and making a decision, impulsively, to take their own life,” Woolf said. If they have access to a gun, “it’s game over.”Suicide and homicide were the second and third leading causes of death for 10- to 24-year-olds, after a category of accidental deaths that includes motor vehicle crashes, falls, drownings and overdoses. Other researchers have grouped the data by the method of death, and concluded that guns are now the biggest killer of U.S. children. Earlier this year, Woolf and other researchers looking at CDC data noted dramatic increases in child and adolescent death rates overall at the beginning of the pandemic, and found suicide and homicide were important factors.
Teaching pupils about mental health can have a positive impact on young people's wellbeing – Giving schools the right resources and training to teach pupils about mental health really can have a positive impact on young people's wellbeing. New research by Welsh academics has just been published demonstrating the benefits of improving pupils' mental health literacy and reducing the stigma around mental health issues at a crucial stage in a young person's life. Most mental health problems start in the teenage years with a recent survey identifying that two in five young people report mental health symptoms. However, due to poor knowledge of mental health issues, and stigma about mental health, most young people do not seek help. Against this background, the team from Swansea and Cardiff universities worked with charity Action for Children to develop mental health literacy programme The Guide Cymru which consists of training for teachers, access to online resources and videos and classroom modules. For the research a group of almost 2,000 pupils aged 13 to 14 from across Wales were divided in two for a 10-week randomized control trial with half of them experiencing The Guide, delivered by specially trained teachers. Its findings, which have just been published by online journal BMC Public Health, showed the pupils given access to The Guide demonstrated improvements in nearly all areas, including mental health knowledge, better mental health behaviors, reduced mental health stigma and increased intentions to seek help for problems. Swansea PhD student and co-author Nicola Simkiss said: "It is devastating to see children and young people struggling with mental health difficulties that go both unreported and untreated. "We believe The Guide is an effective intervention that can help both children and teachers understand that mental health problems are common-place, just like physical health problems, and that they should seek help and not try to hide the problem."
Teacher shot by first-grader was fired, attorney says. Email to division: ‘I wish to resign’ — Virginia first-grade teacher Abby Zwerner, who was shot by her 6-year-old student in January, no longer works for Newport News Public Schools (NNPS), though her attorney and the school division dispute whether she was fired or she resigned. Nexstar’s WAVY obtained an email exchange from the school district that includes messages between Zwerner and the NNPS Human Resources Department. Two identical emails, sent March 20 and again May 22 with the subject line of “Exit Letter,” state that “NNPS has processed a separation of employment for you effective the close of business 06/12/2023.” The one-page email from the Human Resources Department explains exiting information, per standard NNPS policy. The email outlined what items Zwerner was to turn in, where to address questions regarding leave balances, paychecks, VRS retirement plans and insurance benefits, and it invited her to complete an exit questionnaire. WAVY spoke Tuesday with Zwerner’s attorney Jeffrey Breit, who called this a firing. “I don’t think you can read this any other way than you’ve been fired,” Breit said. “And that’s what she thinks. She doesn’t understand it; there’s no other communication.” According to NNPS Spokesperson Michelle Price, Zwerner notified the school system in March that she would not be returning. In part of an email exchange between Zwerner and the division’s Human Resources Department, Zwerner said, simply: “I wish to resign. Thank you.” Price provided this statement to WAVY: The email that Ms. Zwerner received from the Human Resources Department is a confirmation of her separation of service from Newport News Public Schools. Every employee who is separating from the school division receives a similar communication. Ms. Zwerner notified the Human Resources Department that she was resigning from her position as a teacher for NNPS on March 13, 2023. Ms. Zwerner was an employee of Newport News Public Schools until June 12, 2023, the last day of her contract. But Breit said when the email arrived, Zwerner couldn’t believe it.
College Board says it won’t alter AP courses to comply with Florida’s laws -The College Board released a letter Thursday putting its foot down on further demands from Florida to change any of its Advanced Placement (AP) classes, the latest development in the ongoing feud between the company and the administration of Gov. Ron DeSantis (R). “[College Board] will not modify our courses to accommodate restrictions on teaching essential, college-level topics,” the company told the Florida Department of Education Office of Articulation. “Doing so would break the fundamental promise of AP: colleges wouldn’t broadly accept that course for credit and that course wouldn’t prepare students for careers in the discipline,” it added. The College Board says the Florida office recently asked it to modify any courses that conflict with the new Florida rule restricting teaching on sexual orientation and gender identity in the classroom through 12th grade. In a May 19 letter to College Board, Florida demanded the company do an audit of its courses and relay which ones would need to be modified to comply with the new rule by June 16. DeSantis, a 2024 presidential candidate, had said in January that the AP African American Studies course would not be allowed in his state. Although the company says changes were in the works before the governor’s comment on the class, the course was regardless amended, causing outrage from those who believe the College Board bowed to DeSantis’s demands. “We have learned from our mistakes in the recent rollout of AP African American Studies and know that we must be clear from the outset where we stand,” the College Board said. Although Florida did not directly mention the AP Psychology course, that is the one the company focused on in its rebuttal Thursday.
In affirmative action and student loan cases, some see backlash to racial progress in education (AP) — As a Black student who was raised by a single mother, Makia Green believes she benefited from a program that gave preference to students of color from economically disadvantaged backgrounds when she was admitted over a decade ago to the University of Rochester. As a borrower who still owes just over $20,000 on her undergraduate student loans, she has been counting on President Joe Biden’s promised debt relief to wipe nearly all of that away. Now, both affirmative action and the student loan cancellation plan — policies that disproportionately help Black students — could soon be dismantled by the U.S. Supreme Court. To Green and many other people of color, the efforts to roll them back reflect a larger backlash to racial progress in higher education. “I feel like working people have been through enough — I have been through enough,” said Green, a community organizer. “From a pandemic, an uprising, a recession, the cost of living price going up. I deserved some relief.” The rulings could also have political consequences among a generation of young voters of color who took Biden at his word when he promised to cancel debt, said Wisdom Cole, director of NAACP’s youth and college program. “Year after year, we have elected officials, we have advocates, we have different politicos coming to our communities making promises. But now it’s time to deliver on those promises,” he said. The president’s plan forgives up to $10,000 in federal student debt for borrowers, and doubles the debt relief to $20,000 for borrowers who also received Pell Grants. About half of the average debt held by Black and Hispanic borrowers would be wiped out, according to the White House. Six Republican-led states filed a legal challenge questioning whether the president, a Democrat, has authority to forgive the debt. In the affirmative action cases, the court is considering the use of race-conscious admissions policies that many selective colleges have used for decades to help build diversity on their campuses. The cases were brought by a conservative activist who argues the Constitution forbids the use of race in college admissions. The high court is expected to rule in each of the cases by the end of June.
NAACP knocks Biden for agreeing to end pause on student loan payments in debt deal --The NAACP sent an open letter to President Biden on Tuesday admonishing his agreement to end the pause on federal student loan payments as part of negotiations with Speaker Kevin McCarthy (R-Calif.) to resolve the debt ceiling crisis. The organization said the ramifications will only perpetuate a cycle of poverty disproportionately affecting Black Americans. Though the debt limit deal, which Biden signed earlier this month, was “wholeheartedly welcomed,” wrote NAACP CEO and President Derrick Johnson and youth and college division Director Wisdom Cole, they are “disappointed that the needs of Black communities have suffered from the negotiated agreement that will erode economic progress for Black Americans.”“Given the Administration’s stated focus on equity, it is disappointing that narrowing the racial wealth gap was not given a higher priority,” the two said. Student loan repayments were paused by then-President Trump in early 2020 as the nation reeled from the effects of the economic crisis caused by the COVID-19 pandemic. The pause has been extended several times, but the Biden-McCarthy agreement locks in its termination; payments are now set to resume in October.“So that is another victory because that brings in $5 billion each month to the American public,” McCarthy said on Fox News after the deal was announced.In August, Biden also announced a plan to cancel up to $10,000 in federal loan debt and up to $20,000 for recipients of Pell Grants, which are awarded to low-income students. Nearly 60 percent of Pell Grant recipients are Black students. But Biden’s debt forgiveness proposal now faces challenges before the Supreme Court, which appeared skeptical of it in oral arguments earlier this year. The high court’s decision on the legality of the plan is expected before the end of the month and potentially as soon as this week. Though the NAACP applauded Biden’s decision when it was first announced, the organization has also stated that a minimum of $50,000 in student loan forgiveness would be needed to begin closing the racial wealth gap. Black student loan borrowers are 50 percent more likely to have their loans fall into default. They also hold the most debt out of any other racial group, according to a report by PBS NewsHour. Among 2016 graduates, nearly 40 percent of Black students graduated college with $30,000 or more in debt, compared to only 29 percent of white students, 23 percent of Hispanic students and 18 percent of Asian students.
Senate Republicans introduce plan to tackle student loan debt - Senate Republicans are unveiling their own plan to tackle student debt as the Supreme Court is set to rule soon on President Biden’s student debt relief program. The GOP package, called the “Lowering Education Costs and Debt Act,” consists of five bills that the senators say will address the root causes of the student debt issue such as the increasing price of college and students taking out loans they can’t afford. The package was introduced by five Republican senators: Bill Cassidy (La.), the ranking member of the Senate Health, Education, Labor, and Pensions Committee; Chuck Grassley (Iowa), John Cornyn (Texas), Tommy Tuberville (Ala.) and Tim Scott (S.C.). The first two bills in the package specifically deal with how colleges give students information before they decide to attend. The “College Transparency Act (CTA)” would reform the college data reporting system so students have better information about outcomes at schools before committing to a university. The “Understanding the True Cost of College Act” will require schools to have a similar style for their financial aid letters with a breakdown of the aid so students can better compare offers. The last three bills deal directly with student loans, including how information is given to borrowers and limiting some borrowing. The “Informed Student Borrower Act” requires students to be more informed when applying for a loan by acknowledging they received student loan entrance materials or they participated in entrance counseling. The students would receive materials that show how long it would take to pay off their loans, how much the monthly payments would be and what they will likely make going to a certain school and program. The students would receive this information yearly. The fourth bill addresses the nine different student loan repayment options the Department of Education offers. These options, with eligibility based on income and loan type, gave borrowers different timeline options for paying off their loans and the amount they would owe each month. The bill cuts those repayment options down to two to simplify the process. The standard 10-year repayment plan for borrowers would remain and the REPAYE program would stay, with some changes. The REPAYE program gives loan forgiveness earlier to low-income individuals who have low balances on their loans. Additionally, loans can not be given to undergraduate or graduate programs that have shown the earning potential is not higher than a high school graduate or bachelor’s degree under the bill.
Why Student Debt Is So High - I made the point that the road to the debt ceiling deal was entirely avoidable; thus it was a road that national Democrats wanted to take. I also speculated on why this was.But the student debt part of the discussion deserves its own discussion.Consider the chart at the top, which shows the rate of student debt growth as a percentage of non-mortgage consumer debt. The rate is astounding.Now consider this, the rate of increase of the cost of public higher education from the New York Times: The share of this debt burden is not evenly split. As the Times points out, millennials carry an unequal share. (Note that those under 30 appear to be giving up on college.) How big is the student debt burden? According to Forbes(paywalled article) as of May, 2023 the student debt picture looks like this (emphasis mine):
- $1.75 trillion in total student loan debt (including federal and private loans)
- $28,950 owed per borrower on average
- About 92% of all student debt are federal student loans; the remaining amount is private student loans
- 55% of students from public four-year institutions had student loans
- 57% of students from private nonprofit four-year institutions took on education debt
Nearly two trillion dollars is the student debt burden today, up from a tenth of that in the mid-2000s. Why is the national student debt burden so high? In answer, I offer you this, a comment posted by “lincoln” at the excellent economics site Naked Capitalism: If we ever want to properly fix the U.S. student debt crisis, then we need to understand exactly how it was created.Students borrow money to pay universities, which are the main beneficiary of the $1.7 trillion in outstanding student debt. How much students borrow has ballooned exponentially over the last 15 years. This was during a period of record low borrowing costs (see Fed ZIRP – Zero Interest Rate Policy), and a drop in college enrollment.Our federal government loans trillions of dollars to a universities students, so these students can pay whatever education related costs the university decides is reasonable. And this cost is non-negotiable. The trillions in federal student loans that universities get is in addition to their exemption from all federal and state income taxes, their exemption from paying property taxes on university land, and their right to issue tax exempt bonds to fund construction, renovation, and operational costs. This does not include the $50 billion per year the U.S. government pays to universities in federal contracts and research grants. These institutions are eligible for almost every government subsidy and tax loophole imaginable. If nothing is done to reign in and reduce how much universities charge their students, then future student debt is just going to keep ballooning. Forgiving student debt won’t fix this problem, it can only delay a much needed reckoning. … His bottom line and mine: When government sells education as the answer to government-caused wealth inequality, and makes trillions in student loans available to the industry that supplies it, government is helping that industry fleece its customers.The student loan program is a transfer of wealth to rich institutions from the working class. How surprising is that in these neoliberal times?
Confidence in science fell in 2022 while political divides persisted, poll shows (AP) — Confidence in the scientific community declined among U.S. adults in 2022, a major survey shows, driven by a partisan divide in views of both science and medicine that emerged during the COVID-19 pandemic. Overall, 39% of U.S. adults said they had “a great deal of confidence” in the scientific community, down from 48% in 2018 and 2021. That’s according to the General Social Survey, a long-running poll conducted by NORC at the University of Chicago that has monitored Americans’ opinions on key topics since 1972. An additional 48% of adults in the latest survey reported “only some” confidence, while 13% reported “hardly any,” according to an analysis of the survey by The Associated Press-NORC Center for Public Affairs Research. The survey showed low confidence levels among Republicans as partisan gaps that emerged during the pandemic era have stuck around, said Jennifer Benz, the center’s deputy director. “It doesn’t look all that dramatic when you just look at the trends for the overall public,” Benz said. “But when you dig into that by people’s political affiliations, there’s a really stark downturn and polarization.” Between surveys in 2018 and 2021, as the pandemic took hold, the major parties’ trust levels headed in opposite directions. Democrats reported a growing level of confidence in science in 2021 — perhaps as a “rallying effect” around things like COVID-19 vaccines and prevention measures, Benz said. At the same time, Republicans saw their confidence start to plummet.Trans adults scramble for care under new Florida law -A recent Florida law signed by Gov. Ron DeSantis (R) bans gender-affirming care for minors, but it also sets up significant barriers for transgender adults to get needed treatment — and puts the providers who care for them at significant risk of losing their licenses. For transgender Floridians, the law is forcing difficult decisions about where, and even whether, they will be able to get medical care. Damon McGuire, a transgender woman and Orlando-based photographer, said Florida’s restrictions took her by surprise. She had been unprepared for the fact that the law, billed by Republicans in the state legislature as a way to protect children, would impact her ability to obtain care as a 35-year-old. “It’s devastating,” McGuire told The Hill. McGuire, who only began to seriously explore her gender identity during pandemic lockdowns in 2020, has not yet been able to obtain gender-affirming treatment. She had been scheduled to speak with a Planned Parenthood provider about receiving hormone replacement therapy (HRT) on May 20, just three days after DeSantis signed the law. But the measure took effect immediately, and her appointment was canceled. “You’re talking about potentially tens of thousands of trans people across the state who got a call two weeks ago that their health care provider would no longer be renewing their prescriptions,” said Brandon Wolf, a spokesman for Equality Florida, an LGBTQ-focused civil rights group. “It is nothing short of a health care crisis in the state of Florida for trans adults right now.” There are an estimated 94,900 transgender adults living in Florida, the second-highest number in the country, according to the Williams Institute at the University of California-Los Angeles School of Law. Under Florida’s Senate Bill 254, health care providers are prohibited from administering puberty blockers, HRT and surgeries to transgender minors. Those who violate the law risk being convicted of a third-degree felony crime, punishable by up to five years in prison. Including Florida, 20 states have enacted laws or policies that heavily restrict or ban access to gender-affirming health care for transgender youths, including 17 that have done so this year. Yet unlike bans on gender-affirming health care in other states, the Florida law mandates adults sign an informed consent form approved by a state medical board appointed by the governor. The form doesn’t exist yet. The law also states that only physicians are allowed to provide gender-affirming health care, and the initial visit to sign the consent form has to be in person. Violating those requirements is now a criminal offense.
FDA panel backs monovalent XBB switch for fall COVID vaccines - The Food and Drug Administration (FDA) vaccine advisory group today recommended switching to a monovalent (one-strain) vaccine containing the Omicron XBB subvariant for immunization in the fall.The measure passed unanimously on a 21-to-0 vote.The group heard from scientists from three vaccine companies, as well as from those at the FDA. Overall, data suggest waning immunity of the current bivalent (two-strain) vaccine to circulating XBB lineage strains. Also, data suggest that including the original Wuhan strain is unlikely to enhance response to the current variants. The group also discussed—but did not vote on—what specific XBB lineage to include in the vaccine. Currently in the United States, XBB.1.5 proportions are declining, while others such as XBB.1.16 and XBB.2.3 are rising. The companies have evaluated XBB.1.5 versions, but some are also in the early stages of testing an XBB.1.16 version.Over the past few months, global health groups have weighed in on the switch, and in May, the World Health Organization recommended a shift to either XBB.1.5 or XBB.1.16. Peter Marks, MD, PhD, director of the FDA's Center for Biologics Evaluation and Research, said the data seem to show that the XBB.1.5 vaccine strain shows good neutralization across different XBB strains, including XBB.2.3. And he said there are practical considerations for harmonizing the strain across all COVID vaccines.FDA administrators will make the final recommendation, and then Centers for Disease Control and Prevention (CDC) vaccine advisers will weigh in on specific recommendations. VRBPAC members today also raised concerns about vaccine messaging, especially to specific groups, amid changes to the vaccine.David Kaslow, MD, who directs the FDA's office of vaccines research and review, said efforts are under way to transition to uniform age cutoffs and dose number recommendations. He also said the agency continues to review the need for more frequent doses for other populations. "It's a work in progress," he said.Though the vote on the switch to a monovalent vaccine was unanimous, t he group grappled with several uncertainties, such as whether a focus on a fall vaccine sends unclear messages about SARS-CoV-2 seasonality and similarities to flu.Some members also worried that a strain selection focusing on fall would preclude more frequent updates to the vaccine if there are major changes to the virus. FDA officials noted practical considerations for vaccine production as one of the reasons for a seasonal vaccine update.Another open question is which groups will be recommended to receive the new version of the vaccine.
Next COVID Vaccine Should Only Target XBB Strains, FDA Staff Says -- The next COVID vaccines should exclude the original strain of SARS-CoV-2 and exclusively target the Omicron XBB subvariants, according to FDA staff members. They unveiled their recommendation in a briefing document ahead of Thursday's meeting of the FDA's Vaccines and Related Biological Products Advisory Committee (VRBPAC), stating that "the totality of available evidence suggests that a monovalent XBB-lineage vaccine is warranted for the 2023-2024 vaccination campaign." XBB strains are more immune evasive than prior Omicron subvariants and currently account for about 95% of COVID-19 cases worldwide, the agency staffers noted. In the U.S., eight XBB strains account for over 98% of the current cases, according toCDC's Nowcast tracker, including three sublineages under consideration for the fall vaccine: XBB.1.5 in 40%, and the newer XBB.1.16 in 18% and XBB.2.3 in 6% of cases. Spike proteins of these three sublineages "are similar with few amino acid differences ... and available studies suggest little to no further immune evasion from these new substitutions in the XBB.1.16 spike compared to XBB.1.5," noted FDA staff. According to the briefing document, "the current trajectory of virus evolution suggests that XBB.1.16 could be dominant by fall 2023 but that XBB.2.3 and other XBB sublineages could also continue to increase in proportion as the virus evolves." The new plan follows the agency's strategy laid out last year, to annually update the COVID-19 vaccine strain ahead of the fall, based on the circulating and emerging variants at the time. While mRNA vaccine makers Moderna and Pfizer last year initially began developing monovalent and bivalent Omicron BA.1-targeted vaccines, VRBPAC last June ultimately recommended the companies pivot to create bivalent vaccines that targeted the original SARS-CoV-2 strain along with BA.4/BA.5. "Although real-world effectiveness studies suggest that the current bivalent vaccines continue to provide protection against other circulating sublineages of Omicron, including the XBB-XBB.1.5, there appears to be an inverse relationship between the time since vaccination and vaccine effectiveness," wrote agency staff. Recent vaccine effectiveness (VE) estimates in adults suggested that protection against COVID-related hospitalization with the currently available bivalent shots dropped from 62% in the 2 months post-vaccination to 24% at 4 months and beyond. In light of the declines, the agency recently recommended extra doses forhigh-risk groups.
Monoclonal antibody injection shown to prevent COVID-19 during Delta, Omicron --A single injection of the monoclonal antibody (mAb), adintrevimab prevented COVID-19 in the phase 2/3 EVADE trial, finds a study yesterday in Open Forum Infectious Diseases.The randomized controlled trial measured outcomes among 2,582 vaccine-naive participants ages 12 years and older who received either a single 300-milligram intramuscular injection of adintrevimab or placebo. Safety was assessed during 6-month follow-up, and the primary end point was symptomatic COVID-19 infection within 28 days and through 3 months. The study was conducted from April 27, 2021, through January 11, 2022.The relative risk reduction (RRR) for participants who received an injection as post-exposure prophylaxis (PEP) was 74.9%. When injected as part of pre-exposure prophylaxis (PrEP), the RRR was 71.1%.In 428 PrEP participants who were randomized to receive the injection after emergence of the Omicron variant, adintrevimab reduced RT-PCR-confirmed symptomatic COVID-19 by 40.6%.Adintrevimab is derived from a survivor of the 2003 SARS-CoV epidemic and engineered for improved potency and broad neutralization against SARS-CoV-2 and other SARS-like coronaviruses with pandemic potential, the authors said. There were no serious side effects reported during the study."These data support continued development of mAbs for prevention of COVID-19, particularly for vulnerable populations that may not be protected through vaccination," the authors said. "These data may have the potential to support accelerated development of future mAbs engineered from adintrevimab or utilizing the adintrevimab antibody scaffold."
Bivalent COVID vaccine protects against death for at least 6 months in older adults, study suggests -- The bivalent (two-strain) COVID-19 booster provides substantial protection against death among US adults aged 65 years and older, with no significant signs of waning for up to 6 months, concludes a study published today in Morbidity and Mortality Weekly. Researchers from the Centers for Disease Control and Prevention led the study and followed up on a previous report on the durability of bivalent booster protection against death among adults aged 65 and older. The team conducted the study over three periods of the SARS-CoV-2 Omicron variant wave (BA.5 substrain, September 18 to November 5, 2022; BQ.1/BQ.1.1, November 6, 2022, to January 21, 2023; and XBB.1.5, January 22 to April 1, 2023). From September 18, 2022, to April 1, 2023, 8,161 unvaccinated or boosted adults 65 and older died of COVID-19 in the 20 US jurisdictions that routinely link case surveillance data to immunization registries and vital registration databases.A total of 58% of deaths occurred among adults aged 80 years and older, with deaths consistent among both vaccinated and unvaccinated people and across the three periods. Among adults 65 and older, death rates peaked in December 2022 during the period of BQ.1/BQ.1.1 predominance. Higher death rates were seen among unvaccinated adults in all three periods studied.Time-stratified analyses comparing death rates among unvaccinated and vaccinated people 2 weeks or 2 months after receipt of a bivalent booster dose showed that death rate ratios (RRs) decreased significantly, from 16.3 during the BA.5-dominant period to 8.4 during XBB.1.5 predominance, representing a slight decline in crude vaccine effectiveness, from 94% to 88%.Death RRs were comparable among adults who had received a bivalent booster 2 weeks or 2 months earlier or 3 to 6 months earlier during BQ.1/BQ.1.1 predominance (11.4 and 11.0, respectively) and during the XBB.1.5 period (8.4 and 7.3, respectively)."Some immune evasion was observed during the Omicron XBB.1.5 period (evidenced by a 6% decrease in vaccine effectiveness compared with that during the BA.5 period), likely related to changes in the spike protein relative to the BA.4/BA.5 spike contained in the bivalent vaccine," the study authors wrote.The results are relevant to selection of a strain or strains to include in the COVID-19 booster expected to be released this fall, the researchers said.
Substance P neuropeptides' role in post-COVID-19 conditions suggested in recent study - The rapid spread of the severe acute respiratory syndrome coronavirus-2 (SARS-CoV-2) led to the coronavirus disease 2019 (COVID-19) pandemic. Common post-COVID-19 symptoms include fatigue, muscle weakness, headaches, pulmonary dysfunction, anxiety, digestive disorders, anosmia, sexual dysfunction, difficulty concentrating, and dysgeusia. Therefore, both autonomic impairments and neurological dysfunction have been associated with post-COVID-19 conditions. Tachykinins are one of the largest families of neuropeptides in mammals, with substance P as the most studied member of this family. Substance P peptide is expressed throughout the immune and nervous systems and influences many physiopathological processes. In a recent The Lancet Microbe study, scientists review the available evidence on the association between post-COVID-19 conditions and tachykinins to ultimately propose a putative pathogenic mechanism. Identification of potential tachykinin receptors could be used as a potential target for the treatment of post-COVID-19 conditions. Tachykinins defend the host against harmful stressors, during which the nervous system rapidly communicates with immune cells so that it can quickly respond to pathogenic invasion.Substance P and neurokinin (NK) A are synthesized by the peripheral and enteric nerves. These biomolecules are also expressed by immune cells, such as macrophages, lymphocytes, dendritic cells, and eosinophils. Tachykinins connect the nervous and immune systems and establish cellular connections. Tachykinin neurokinin 1 receptors are present in both peripheral and central nervous systems (PNS and CNS, respectively). In the CNS, these receptors regulate respiratory and cardiovascular functions, whereas in the spinal cord, NK1Rs regulate nociception and autonomic reflexes.A prior study revealed that substance P was produced by cell bodies of vagal sensory ganglia and is transferred bidirectionally towards the CNS, as well as the thoracic and abdominal viscera nerves, which is associated with inflammation, depression, nociception, and anxiety. Tachykinins are associated with processes such as pain, acute inflammation, infection, cancer, venous thromboembolism, hematopoiesis, and taste perception. Substance P and its receptor NK1R are present in the brain region that regulates vomiting urges, with antagonism against this receptor used to treat chemotherapy-induced nausea and vomiting.Many of the aforementioned conditions resemble post-COVID-19 symptoms. Thus, it is imperative to study whether tachykinins are associated with the manifestation of post-COVID-19 condition syndromes.
COVID forever? Dr. Peter McCullough on Understanding the Threat of Spike Protein - Dr. Peter McCullough is not only America’s leading cardiologist, but he is also our foremost COVID-19 expert. Now that we have several years of COVID data under our belt, Dr. McCullough is exposing the truths about the disease that the FDA and CDC have suppressed. One of those truths is around “post-COVID syndrome,” or “Long-COVID,” where people report symptoms of the virus weeks or months after infection. Take note: while severe cases make the headlines, it is suspected that many more people have small lingering symptoms that can be traced back to an initial infection. Indeed, Dr. McCullough reports:“Approximately half of patients hospitalized mainly in 2020 and 2021 with acute COVID-19 had post-COVID symptoms for weeks afterward… It is reassuring to patients suffering with post-COVID or “long-COVID” that it is not all in their heads, the pathophysiology is pointing to persistence of Spike protein in the blood which is pathogenic and likely driving tissue/organ injury with associated symptoms. Because COVID-19 mRNA vaccines further load the body with genetic code and more Spike protein, it is likely that vaccination worsens post-COVID syndromes despite raising antibodies against the Spike protein. I have not found claims that vaccination reduces long-COVID syndromes valid in bias papers that are pushing vaccines.”What’s worse, Dr. McCullough reports that the persistent presence of spike protein in vitro can be transmitted or “shed” onto others. This could prompt new symptoms or aggravate existing ones: “In the most comprehensive paper on shedding thus far, former Inserm researcher Dr. Helene Banoun has published the basis for which there is great likelihood that mRNA either on lipid nanoparticles or within exosomes is circulatory in blood and is secreted in every body secretion that would naturally expect to contain particles of this size.”
Common diabetes drug shown to prevent long COVID -- A 14-day course of metformin, a common drug used to manage type 2 diabetes, prevents long COVID, according to a new study in The Lancet Infectious Diseases.The promising results come from the COVID-OUT study, which looked at three readily available drugs: ivermectin, fluvoxamine, and metformin, for both COVID treatment and long-COVID prevention. All three drugs had shown antiviral properties in vivo against SARS-CoV-2, and all had been promising medical treatments for the virus, as they are cheap and safe.Now, more than 2 years after the outpatients trial began, metformin is the only medical intervention in the study shown to prevent long COVID.The reduction in risk may warrant clinicians using the drug in patients sooner rather than later. "Without an alternative treatment of SARS-CoV-2 infection to prevent subsequent long COVID, some providers may choose to prescribe metformin to patients presenting with COVID symptoms and a positive COVID test," "As the pandemic continues, all therapies should be confirmed in clinical trials that enroll individuals with prior infection." The phase 3 trial included 1,200 adult participants (30 to 85 years old) who had never had COVID-19 before. The trial ran from December 2020 through January 2022.All volunteers were clinically overweight or obese, and were randomized to receive either metformin or placebo, and an additional subset received ivermectin, fluvoxamine, or placebos. A total of 1,126 participants reported their symptoms during a 10-month follow-up. Fifty-six percent of participants were women, the median age was 45 years, and the median body mass index was 29.8.By day 300 of follow-up, 93 (8.3%) of 1,126 participants said they had received a diagnosis of long COVID by a provider. The cumulative incidence of long COVID by day 300 in those who took a 14-day course of metformin was 6.3% (95% confidence interval [CI], 4.2 to 8.2) compared to 10.4% (7.8 to 12.9) in the placebo group, or 39.4% lower.When metformin was started within 3 days of symptom onset, the hazard ratio was 0.37 for developing long COVID (95% CI, 0.15 to 0.95), or a 63% lower risk.
European study shows mental health impact of pandemic -The first 2 years of the COVID-19 pandemic affected the mental health of millions of Europeans, but not as strongly as many feared, with only a modest rise in mental health problems seen in a new systematic review published in The Lancet Psychiatry.Still, access to mental health services has yet to rebound fully.The study was conducted by researchers at University College London, who looked at evidence from 177 studies in 20 high-income European countries to assess mental health during the first 2 years of the pandemic. Among the studies, 88 (50%) compared mental health outcomes before the pandemic with those during the pandemic, 55 (31%) measured outcomes at different timepoints over the course of the pandemic, and 34 (19%) had both a pre-pandemic and during-pandemic comparator."We found that the Covid-19 pandemic had a considerable effect on mental health across Europe, but overall, the impacts were not as substantial as many people had predicted early on, as we did not see a 'second pandemic' of mental health problems," lead author Nafiso Ahmed, MD, said in a press release. "There was evidence of high to moderate certainty that the prevalence of depression, generalized anxiety disorder, and non-specific mental health problems was higher during the pandemic," the authors wrote, "with statistically significant increases ranging from 0.25% to 31%." The study shows that a wide array of mental health services were limited at the beginning of the pandemic, likely because of in-person healthcare closures.The decreases included mental health inpatient care (adult admissions, 11% to 43% reduction; pediatric admissions, 18% to 42% reduction), mental health presentations to emergency departments, and walk-in services (adult presentations, 14% to 58%; pediatric presentations, 36% to 61%).
China's rolling COVID waves could hit every six months - -- The latest surge in COVID-19 cases in China is not surprising to researchers, who say that the country will see an infection cycle every six months now that all COVID-19 restrictions have been removed and highly infectious variants are dominant. But they caution that rolling waves of infection carry the risk of new variants emerging. “Unfortunately, a new reality with this virus [is that] we will have repeated infections,” says Ali Mokdad, an epidemiologist at the Institute for Health Metrics and Evaluation at the University of Washington in Seattle. “The fear is that this virus will produce a new variant that can compete with the current ones and is more severe.” The current surge is caused mainly by a highly infectious subvariant of Omicron called XBB.1.5, first identified in India last August. According to Nanshan Zhong, a prominent respiratory physician in China, as many as 65 million people could become infected per week by the end of this month. This is the first major reinfection wave that China has seen since the central government dropped all of its COVID-19 control measures in December, prompting a widespread Omicron outbreak. China has vaccinated more than 90% of its population, and the outbreak in December infected at least 85% of its people, says Zhong. But immunity is waning, and XBB can evade protection from vaccines and previous infections. Mokdad says that, although the variant has not caused a major rise in hospitalizations and deaths, the sheer number of infections could put pressure on China’s health-care system. XBB is also causing minor waves elsewhere, such as in Singapore and the United States. “This is what we see everywhere, but with a large population such as China, it is more apparent,” says Mokdad. Yunlong Cao, an immunologist at Peking University in Beijing, and his team have found that antibodies generated against Omicron variants BA.5 and BF.7, the dominant strains during the December wave in China, can provide about four months of protection against strains such as XBB.1.5 (X. Chen et al. Lancet Reg. Health West Pac. 33, 100758; 2023). Kayoko Shioda, an epidemiologist at Boston University in Massachusetts, says that previous COVID-19 surges in other countries have shown that XBB is more transmissible than earlier forms. “Once it enters the population, XBB spreads and becomes the predominant variant much quicker than other variants,” she says. Last December, more than 200 million people in China contracted COVID-19 in 20 days. This time, the wave is spanning several months, owing to the differences in people’s immune backgrounds, such as antibody levels, says Cao. “The peak of COVID-19 waves will generally become flatter and more stretched out after each cycle, which is a pattern we see in countries like the US. People are still getting infected in the US, just not all at once,” he adds. A flatter wave would also lessen the burden on health-care systems, Cao says. New boosters China no longer publishes its COVID-19 case count, so it is unclear how many people are being infected in the latest wave. However, the Beijing health authority says the number of cases in the capital city quadrupled between late March and mid-April. Cao says it’s hard to make estimates without accurate data. But on the basis of his past research, he estimates that at least 30% of the population could become reinfected in this wave, amounting to more than 400 million people. Scientists say having a good surveillance system to monitor and track emerging virus variants is very important, given that infection cycles will continue to happen. A new variant that could supersede current ones remains a concern, says Mokdad. “Imagine a Delta type of variant with XBB capacity of spreading. This will cause us a lot of damage.” Tracking the virus’s evolution also means that scientists can update booster vaccines accordingly. Facing the ongoing COVID-19 wave, several major Chinese cities, including Beijing and Shanghai, have started administering a quadrivalent COVID-19 booster, made by Chinese biotechnology company Sinocelltech Group. The vaccine, first approved for emergency use in March, is designed to provide broadspectrum protection against the Alpha, Beta, Delta and Omicron BA.1 coronavirus variants. Sinocelltech announced last month that one booster shot can prevent 82% of SARS-CoV-2 infections — including ones caused by XBB — for up to four months. The final results from the vaccine’s clinical trial are not yet available. Zhong says that China is developing vaccines targeting XBB. Although current jabs can provide good protection against severe disease and death, they are not very good at providing long-lasting protection against infection. “But that doesn’t mean we should just give up. Repeated infections, even with a mild virus like XBB, can still lead to health problems like long COVID. Vulnerable people, such as older adults, are still at risk of getting very ill,” Cao says.
COVID-19 pandemic-related increase in Candida auris noted in Israeli hospitals The incidence of the multidrug-resistant fungal pathogenCandida auris increased dramatically in Israeli hospitals in 2021 and 2022, driven primarily by COVID-19 surges and mechanical ventilation, Israeli researchers reported last week in Emerging Infectious Diseases. In a nationwide survey, researchers identified 209 patients with C auris infection or colonization from May 2014 to May 2022. Twenty-four of those cases were reported in seven hospitals from May 2014 to December 2020. The C aurisincidence rate increased 30-fold in 2021, with an annual incidence of 120 cases reported from 10 hospitals and 3 long-term care facilities. During 2021 and 2022, C auris incidence corresponded with COVID-19 surges in Israel, peaking during the Alpha (January to March 2021), Delta (June to November 2021), and Omicron (January to May 2022) variant waves. Almost one quarter (23%) of patients with C auris infection or colonization were infected with SARS-CoV-2, and 78% received mechanical ventilation. Analysis of outbreaks at the three hospitals with the most cases indicated C auris spread first among mechanically ventilated COVID-19 patients, then infected ventilated non-COVID-19 patients in intermediate care units and from there spread to non-ventilated patients. Multilocus sequence typing revealed that a clade 3 clone, responsible for three cases prior to December 2020, accounted for 55.8% of isolates collected after January 2021. Clade 2 isolates were more frequently resistant to fluconazole (100% vs 63%) and voriconazole (74% vs 5.2%) than non–clade 3 isolates. The study authors say the use of double-gloving, poor adherence to hand hygiene, and inadequate disinfection of shared medical devices and equipment in COVID-19 units are potential explanations for the C auris outbreaks. They warn that the pathogen appears set to become endemic in some hospitals.
US data show rise in hospitalizations for fungal infections during COVID-19 --New data from a US hospital database show a significant increase in hospitalizations involving fungal infections from 2019 through 2021, driven primarily by COVID-19–associated infections, US researchers reported yesterday in Emerging Infectious Diseases.Using data from the Premier Healthcare Database, Special COVID-19 Release, researchers from the Centers for Disease Control and Prevention (CDC) identified 59,212 fungal hospitalizations over the 3-year period. Rates of fungal hospitalizations (per 10,000 hospitalizations) increased from 22.3 in 2019 to 25.0 in 2020 and 26.8 in 2021, for an average annual change of 8.5%. Among the specific fungal pathogens that saw increases were Candida, Aspergillus, Coccidioides, and Histoplasma.During 2020-2021, 13.4% of 39,423 fungal hospitalizations were related to COVID-19. Rates of COVID-19–associated fungal hospitalizations increased by 24.9%. Compared with non-COVID-19–associated fungal hospitalizations, COVID-19–associated fungal hospitalizations more frequently involved aspergillosis (27.8% vs 16.9%), mucormycosis (1.8% vs 1.4%), and unspecified mycoses (24.3% vs 18.5%). The median patient age for COVID-19–associated hospitalizations was 63.Regardless of the pathogens involved, COVID-19–associated fungal infections more frequently involved longer hospital stays, higher intensive care unit admission rates (a fourfold increase), more invasive mechanical ventilation receipts, and a higher in-hospital death rate (twofold increase) than non-COVID-19–associated fungal infections. COVID-19–associated fungal hospitalizations with the highest percentage of deaths involved aspergillosis (57.6%), invasive candidiasis (55.4%), mucormycosis (44.7%), and unspecified mycoses (59.0%). "Our analysis underscores the substantial burden of patient hospitalizations with fungal infections in the United States and indicates that increased hospitalizations involving fungal infections occurred during the COVID-19 pandemic," the CDC researchers wrote. "As the COVID-19 pandemic evolves, and to increase preparedness for future infectious diseases outbreaks, comprehensive public health surveillance for fungal diseases is needed to characterize disease epidemiology and guide efforts to prevent illness and death."
Study highlights global burden of drug-resistant hospital infections - A modeling study based on point-prevalence surveys from 99 countries highlights how hospital-associated drug-resistant infections (HARIs) contribute to the global burden of antimicrobial resistance (AMR), researchers reported yesterday in PLOS Medicine.For the study, a team led by researchers with One Health Trust identified 474 point-prevalence surveys published from 2010 through 2020 on antibiotic resistance proportions for hospital-associated infections in 99 countries. They focused on resistance proportions for six high-priority pathogens: Escherichia coli,Klebsiella spp, Staphylococcus spp, Acinetobacter spp, Pseudomonas spp, and Enterobacter spp. The researchers coupled these findings with country-level estimates of hospitalization rates and durations plus statistical extrapolation based on common economic indicators to estimate the number HARIs per year by country and by country income group.The global number of HARIs was estimated at 136 million per year (95% credible interval [CrI], 26 to 246 million), with the highest burden found in China (52 million; 95% CrI, 10 million to 95 million), Pakistan (10 million; 95% CrI, 2 million to 18 million), and India (9 million; 95% CrI, 3 million to 15 million). Among income groups, middle-income nations bore the highest burden of HARIs per year (119 million; 95% CrI, 23 million to 215 million). The high-income country with the most HARIs per year was the United States (3 million; 95% CI, 1 million to 5 million).The researchers say that although the study was constrained by the limited number of point-prevalence surveys available, it nonetheless adds to the findings of the Global Research on Antimicrobial Resistance (GRAM) report, which estimated that 1.27 million deaths in 2019 were directly attributable to AMR and 4.95 million were associated with AMR, but GRAM researchers didn't distinguish between hospital-associated and community-associated infections."Our results complement these results from Murray and colleagues by describing a substantial burden of hospital-associated resistant infections alone that contribute to the death burden reported," they wrote. "As such, we have highlighted a setting in which drug-resistant disease should be investigated further."
WHO: Antimicrobial resistance could cause more than 5 million deaths in Western Pacific by 2030 --A new modeling study by researchers with the World Health Organization (WHO) estimates that more than 5 million antimicrobial resistance (AMR)-related deaths could occur in the WHO's Western Pacific Region over the next decade.The study, conducted by researchers with the WHO Collaborating Centre for Infectious Disease Epidemiology and Control at the University of Hong Kong, used data from eight countries and one area in the region on the health impact (morbidity and mortality) and economic cost (gross domestic product [GDP] loss due to decreased work productivity) of infections caused by antibiotic-resistant bacteria compared with antibiotic-sensitive bacteria from 2010 through 2019.The researchers focused on seven bacterial infections of importance for human health: methicillin-resistant Staphylococcus aureus, Escherichia coli, Enterococcus faecalis, Haemophilus influenzae, Klebsiella pneumoniae, Pseudomonas aeruginosa, and Streptococcus pneumoniae.Because many countries in the region have limited AMR data, the researchers then extrapolated the data to other countries in the region based on the nearest GDP per capita and estimated the health impact and economic cost of AMR in each of the region's 37 countries and areas from 2020 to 2030.The model estimated a worst-case scenario of 450,000 AMR-related deaths in 2020 and a projected cumulative total of 5.2 million AMR-related deaths across the region over the decade. The estimated regional AMR mortality rate is similar to regional mortality rates for kidney diseases, diabetes mellitus, liver cirrhosis, and breast cancer.Patients with AMR infections were projected to spend 172 million extra days in the hospital. The AMR-related health cost was projected to reach US$ 148 billion.
USDA says it will review, strengthen antibiotic use claims on meat labels The US Department of Agriculture (USDA) said yesterday that it will take steps to strengthen animal-raising claims on meat labels, including those that highlight no or limited antibiotic use.Department officials said the move comes in response to petitions, comments, and letters that the USDA's Food Safety and Inspection Service (FSIS) has received regarding its oversight of voluntary marketing claims that highlight how animals for meat and poultry products are raised. These claims, which include "grass-fed," "free-range," and "raised without antibiotics," must be approved by FSIS before they can be added to packaged meat labels.What critics are concerned about is the approval process. While producers who want to market their meat using labels that suggest their animals were not given antibiotics must provide the USDA with documentation to support those claims, the agency does not currently conduct testing to verify the claims. The USDA says it plans to address the issue. "USDA is taking action today to ensure the integrity of animal-raising claims and level the playing field for producers who are truthfully using these claims, which we know consumers value and rely on to guide their meat and poultry purchasing decisions," Agriculture Secretary Tom Vilsack said in a USDA news release. The veracity of claims regarding antibiotic use, long questioned by experts, were raised in two studies published in April 2022. The first, by the animal welfare group Farm Forward, found antibiotics and other drugs in meat certified as having "no antibiotics ever" and sold at Whole Foods stores. The second, led by researchers with George Washington University's Antibiotic Resistance Action Center and published in the journal Science, found that, in 42% of USDA-certified "raised without antibiotics" feed yards at a single cattle slaughter facility, at least one animal tested positive for antibiotics.
PAHO urges Central American, Caribbean nations to brace for increase in dengue -High-magnitude outbreaks involving the mosquito-borne viruses affected South American countries in the initial months of 2023, and with the onset of rainier months in Central America and the Caribbean in the latter half of this year, the Pan American Health Organization (PAHO) is urging countries to review their response plans and adjust for possible outbreaks of dengue and other mosquito-borne diseases.Dengue activity in the Americas region, which occurs cyclically every 3 to 5 years, is outpacing 2022 activity by 12%. Levels are currently declining in hard-hit South American countries such as Brazil, Bolivia, and Peru. But Brazil's cases are 13% higher than last year at this time, and are 75% higher than the average for the last 5 years.Chikungunya activity is also tracking higher this year compared with 2022, with 98% of the activity reported in Brazil and Paraguay. The highest incidence is in Paraguay, where cases have been declining since the middle of March.Though Zika cases were up in 2022, levels this year are down 59% compared to the same period last year. The highest proportion of cases were reported in Brazil, Bolivia, and Belize.
H9N2 avian flu infects another child in China -China has reported another H9N2 avian flu case, which involves a 7-month-old boy from Jiangxi province, Hong Kong's Centre for Health Protection said today in one of its regular avian influenza updates.The boy's symptoms began on May 1. His illness marks the mainland's third H9N2 case in the past 6 months. The two earlier cases involved young children from Jiangxi and the Hunan provinces.H9N2 is known to circulate in poultry in some Asian countries. Infections in humans are typically mild and are more likely to be reported in children, especially those who have contact with poultry or poultry environments.
Arizona announces recall of marijuana products because of Aspergillus, Salmonella -Several Arizona marijuana establishments have voluntarily recalled certain products over potential contamination withAspergillus and Salmonella. Arizona is one of 23 states that has legalized marijuana for recreational use.The Arizona Department of Health Services (ADHS) said no illnesses have been reported and that its warning comes after its lab auditors found false-negatives for contaminants that were reported from a licensed marijuana laboratory. The four recalled products are all from the same cultivator, the Cannabist.Three samples that were positive for Salmonella—Cap's Frozen Lemon, Twisted Lemonz, and Ghost Train Haze—involved live resin concentrate. The one that yielded Aspergillus was plant trim, a product called Cherry Punch. The ADHS urged consumers who have products from the affected batch numbers to dispose of them. They said Aspergillus can trigger allergic reactions or infections, especially in people who have underlying health conditions. And Salmonella ingestion can result in diarrhea, fever, stomach cramps, and other symptoms.
From delicacy to danger: The rising tide of shellfish allergies in children revealed - Shellfish include various mollusks, oysters, and crustaceans that are highly rich in antioxidants, protein, and omega-3 fatty acids. Following the rise in shellfish consumption rates throughout the world, a corresponding increase in shellfish allergy rates has also increased.In a recent review published in Nutrients, researchers describe the epidemiology, pathogenesis, clinical signs and symptoms, diagnosis, and management of shellfish allergies, with a particular focus on children.Shellfish is one of the “big eight” allergenic food groups, as about 2.5% of the world’s population is affected by shellfish allergies, with individuals of Thailand, Taiwan, Singapore, and Vietnam descent often most severely infected. In the current study, researchers review studies that included children from various countries in their assessment of shellfish allergy.In the EuroPrevall-iFAAM study, researchers enrolled children aged six to 10 years from eight European countries. Herein, crustacean allergies affected 0.2% of primary school children, as reported by their parents.The second EuroPrevall-INCO survey study comprised children aged six to 11 years from Russia, India, and China. The percentage of children with shrimp allergen-specific IgE (sIgE) values exceeding 0.70 kUA/L was 13.1%, 10.3%, and 4.7% in Shaoguan, India, and Hong Kong, respectively.A third East Asian survey study presented a parent-reported prevalence of over 5%, 3.4%, and 0.84% in children aged two to five years in Vietnam, Japan, and South Korea, respectively.
- The US Food and Drug Administration yesterday warned consumers and retailers in Hawaii, Georgia, and Minnesota about certain frozen raw oysters imported from South Korea that may be contaminated with norovirus. Hawaiian health officials reported five illnesses in restaurant customers who ate the oysters, and norovirus GII has been detected in two product samples. Minnesota also reported five illnesses, likewise involving people who ate oysters at restaurants. The affected products were also distributed in Georgia.
- The World Organization for Animal Health (WOAH) recently published a report that encapsulates a discussion on evolving avian flu control strategies, which included poultry vaccination as a complementary tool, and on challenges in implementing immunization. The discussions occurred during an animal health forum that was held during WOAH's annual general session in late May. Officials said successful immunization campaigns would hinge on authorized vaccines that closely match circulating strains alongside robust surveillance strategies. They adopted a resolution to shape future avian flu control strategies.
- The US Centers for Disease Control and Prevention (CDC) said yesterday a Listeria monocytogenesoutbreak linked to leafy greens appears to be over, with 19 infections reported in 16 states. Five more illnesses and six more affected states were reported since the CDC's last update on Apr 21. Eighteen people were hospitalized, but no deaths were reported. The CDC first announced the outbreak on Feb 15. Though investigations suggested that leafy greens were the source of the outbreak, CDC scientists didn't have enough data to identify a specific leafy greens source or grower.
Chemical found in widely used sweetener breaks up DNA - A new study finds a chemical formed when we digest a widely used sweetener is "genotoxic," meaning it breaks up DNA. The chemical is also found in trace amounts in the sweetener itself, and the finding raises questions about how the sweetener may contribute to health problems. At issue is sucralose, a widely used artificial sweetener. Previous work by the same research team established that several fat-soluble compounds are produced in the gut after sucralose ingestion. One of these compounds is sucralose-6-acetate. Our new work establishes that sucralose-6-acetate is genotoxic. We also found that trace amounts of sucralose-6-acetate can be found in off-the-shelf sucralose, even before it is consumed and metabolized. "To put this in context, the European Food Safety Authority has a threshold of toxicological concern for all genotoxic substances of 0.15 micrograms per person per day," Schiffman says. "Our work suggests that the trace amounts of sucralose-6-acetate in a single, daily sucralose-sweetened drink exceed that threshold. And that's not even accounting for the amount of sucralose-6-acetate produced as metabolites after people consume sucralose." For the study, researchers conducted a series of in vitro experiments exposing human blood cells to sucralose-6-acetate and monitoring for markers of genotoxicity. "In short, we found that sucralose-6-acetate is genotoxic, and that it effectively broke up DNA in cells that were exposed to the chemical," Schiffman says.
Federal air monitoring investment could lower southwest Pennsylvania cancer rates - Environmental Health News—Community groups in southwestern Pennsylvania will soon have the power of more data in their fight against cancer-causing pollution.Six groups have been awarded nearly $2 million in federal funding for new air monitoring projects that could help lower cancer risk in the region.The grants, awarded by the U.S. Environmental Protection Agency (EPA), are part of $53.4 million given to community air monitoring projects across the country. It’s the largest ever EPA investment in community air monitoring.Allegheny County, which encompasses Pittsburgh and is home to 1.2 million people, is in the top 1% of U.S. counties for cancer risk from industrial air pollution. The air pollutants driving this include coke oven emissions from the steel industry, diesel particulate matter, formaldehyde, and benzene, among others.In seven southwestern Pennsylvania counties, rates for six types of cancer with strong links to chemical exposures are elevated, in some cases by more than 50% compared with national rates. These include leukemia and bladder, breast, thyroid and kidney cancer.Health advocates hope these projects will change that.“If these studies find elevated levels of cancer-causing pollutants in certain areas, the next question is what can researchers, community members and policymakers do to intervene,” Molly Jacobs, a senior advisor at the Cancer and Environment Network of Southwestern Pennsylvania, told Environmental Health News
Breast, colon, prostate cancer diagnoses dropped during pandemic -- A new study based on data collected from Alberta, Canada, shows significant drops in the diagnoses of breast, colorectal, and prostate cancers as well as melanoma, likely due to the delay of routine screenings and cancellations of health care visits during the first part of the pandemic.The study is published in CMAJ (Canadian Medical Association Journal). The research team measured survival rates for three groups of patients diagnosed between January 2018 and March 2019, March 2019 to March 2020, and March of 2020 through December 2020. The post-pandemic group was divided further into a "state of emergency" (SOE) phase (March 16 to June 15, 2020) and post-SOE phase (June 16 to December 15, 2020).The authors write the first wave of COVID-19 reached its peak in Alberta on April 30, 2020, and active cases started to decrease. By mid June, the government lifted some restrictions on medical clinic shutdowns. In total, 42,862 cancer diagnoses were included in the analysis. During the SOE period, researchers noted significant drops in diagnosis rates of melanoma (43%), colorectal and prostate cancer (36%), and breast cancer (33%). After the SOE lifted, the monthly diagnoses recovered at a 10% rate per month (incidence rate ratio [IRR] 1.10, 95% confidence interval [CI] 1.06 to 1.13). The authors then built a counterfactual model to determine diagnoses if the SOE had not occurred. They found an additional 350 breast cancers, 398 colorectal cancers, 484 prostate cancers, and 223 melanomas would have been diagnosed between March and December 2020. By December of 2020, the incident rates returned to pre-pandemic levels, the authors said. "According to our model, 1455 diagnoses of these 4 cancers could have been missed in 2020. The decrease in diagnoses during the state of emergency was more evident in early-stage cancers (especially stage I) than stage IV cancers," the authors said. "Unstaged melanoma, colorectal and prostate cancers also showed a significant decrease." The findings corroborate trends seen in others part of Canada, the authors said. In Ontario, there was a 34% drop in new cancer diagnoses in April 2020, and Manitoba had a 23% reduction in the same period.
Cancer rates are climbing among young people. It’s not clear why. Vanessa Chapoy had just turned 24 when she felt the lump in her breast. It was “huge,” she remembers, “like the size of a walnut, or a big marble.” She went to the first in a series of doctors that night to have it checked out. Two-and-a-half weeks later, she was diagnosed with breast cancer. Stage two, she would learn. “And my whole world flipped upside down,” Chapoy says. She entered a gauntlet of treatments: a lumpectomy to cut out the tumor and a portion of surrounding breast tissue, fertility treatments so she could freeze her eggs, five months of chemotherapy and then a double mastectomy to remove both of her breasts. Three years on, she’s still undergoing hormone therapy — an experience she likens to “early menopause” — and occasionally suffering from “chemo brain,” a form of brain fog resulting from chemotherapy that she says makes it more difficult for her to complete tasks or remember certain things. “I don’t understand how this could happen,” she recalls telling a nurse at the beginning of it all. “I’m so young.” Cancer, after all, most often strikes late in life. In the United States, nearly 60 percent of patients are 65 or older when they’re diagnosed. But stories like Chapoy’s are becoming more common. In recent decades, cancer rates have been climbing among people under 50, the typical cutoff for when cancer is considered “early-onset.”
Who you are, where you live help determine your chances of beating cancer --About 2 million people in the United States will be diagnosed with cancer this year, and 600,000 will die from the disease, the National Cancer Institute (NCI) estimates.But cancer is not equal opportunity. A wide range of factors plays a role in determining whether a person will get and potentially die from the disease, including their genetics and where they live. Cancer death rates have decreased over the last 25 years across the United States, according to the American Cancer Society. The sharpest decrease has occurred among Black people, Native Americans and Alaskan natives, according to a February 2022 report from KFF.This is in part due to improvements in cancer screening, treatments, early diagnosis and changes in behavior like reduced cigarette smoking, according to Latoya Hill, senior policy analyst at KFF’s Racial and Health Policy Program. But even though white Americans have higher rates of new cancer diagnoses, some people of color, especially Black people, are still more likely to die from the disease, NCI data show. Between 2016 and 2020, there were 469.9 cancer diagnoses per 100,000 non-Hispanic white people, 451.8 diagnoses per 100,000 Black people, 417.9 diagnoses for every 100,000 Native Americans and Alaska Natives, 348.1 diagnoses per 100,000 Hispanics and 302 diagnoses per 100,000 people of Asian and Pacific Islander descent. Meanwhile, during that same time there were 174.7 cancer deaths per 100,000 Black people, 158 cancer deaths per 100,000 Native Americans and Alaska Natives, 154.4 cancer deaths per 100,000 white people, 108.2 cancer deaths per 100,000 Hispanics and 94.5 cancer deaths per 100,000 Asian people and Pacific Islanders. Income is also important in determining who gets and dies from cancer. Research shows poorer communities have higher rates of cancer than affluent areas. And people living in persistent poverty are more likely to die from cancer. In addition, while rural communities tend to have lower rates of cancer than their urban and suburban counterparts, they have higher death rates.But while genetics plays a role, cancer death disparities are really the result of broader socioeconomic inequities that are rooted in ongoing racism and discrimination. “When considering cancer disparities, we need to stop using language about predisposition and making generalizations that it is only a DNA conversation,” It is critical to consider what is happening in the world outside of the cell, he said. “Where you live, your place and space matters,” “Your ZNA, zip code and neighborhood of association, may have structures in place that ultimately cause additional stress.” Cancer experts agree that location plays a far more significant role in cancer incidence and death disparities than genetics does.
Why cigarettes in the U.S. don’t have graphic warning labels. If you’ve traveled abroad, you’ve probably seen the warnings. Outside the United States, cigarette packages are affixed with gruesome pictures of lips, teeth, and lungs damaged by smoking-related diseases. Such pictorial warnings have become the gold standard across the world for conveying smoking’s risks. Well over 100 countries require them. They are disturbing to look at—in Thailand, cigarettes have featured a gaping tracheotomy hole; in Brazil, a man with legs amputated below the knees; in Singapore, a foot mangled with gangrene. The U.S. is an outlier, with our inconspicuous, text-only warnings on the narrow side of a cigarette pack.This summer, a federal court is set to hear one of the biggest tobacco cases in U.S. history, which will decide if our tobacco warnings will finally catch up to those of our global peers. The case was brought in 2020 by R.J. Reynolds and other cigarette companies against the Food and Drug Administration. It’s the latest battle in a long legal saga: Congress mandated pictorial warnings in 2009, but the tobacco industry has held them off with claims that the warnings violate the First Amendment. The case is being heard by the conservative 5th Circuit Court of Appeals, where 12 of 17 active judges were appointed by Republicans (six by Donald Trump). The Biden administration is defending a set of pictorial warnings developed by the FDA under both Obama and Trump. If the 5th Circuit rules against the FDA, it would be years before we might see pictorial warnings on cigarettes. At stake in this case is the First Amendment’s role in mandated product warnings, the power of administrative agencies, and the future of smoking-related death and disease.The story of this case begins in 2009, when Congress enacted the Family Smoking Prevention and Tobacco Control Act, the most comprehensive set of tobacco restrictions ever passed in the U.S. That law, passed with bipartisan support, required that cigarette packages and cigarette advertising include 1 of 9 text labels, such as “WARNING: Tobacco smoke can harm your children” or “WARNING: Cigarettes cause strokes and heart disease.” Congress empowered the FDA to modify these warnings or add others. These rotating warnings would replace the blander variety of text warnings that have been on cigarettes since 1965. (The text-only cigarette warnings we are stuck with today have been unchanged since 1985.)That law also required the FDA to develop color images to accompany each warning, to add visual punch to the text. It stated that the graphics must occupy at least 50 percent of the front and back of each cigarette pack and 20 percent of every cigarette advertisement. That’s a dramatic expansion of marketing real estate for warnings.No doubt these were aggressive measures, but Congress found that other steps to curb smoking were inadequate. Academic studies show that text warnings are less effective at dissuading new smokers and that graphic warnings are particularly effective for teenagers and low-literacy smokers. One peer-reviewed study concluded that graphic warnings would reduce smoking prevalence in the U.S. by 5 percent in the first few years and over a 50-year period would likely avert 652,800 deaths and 73,600 preterm births.
The wildfire smoke may be gone. But the health threat remains. - The smoke from Canada’s wildfires that engulfed the East Coast last week has dissipated, but the threat remains. With wildfires happening more frequently and in unexpected areas because of climate change, Americans will increasingly need to think about the consequences of air pollutants on their health. Officials in the region were right to issue stern health warnings about the smoke and urge residents to avoid strenuous activity and stay indoors. Short-term exposure to wildfire smoke has many negative health effects. Less is known about long-term impacts, but there’s reason to be concerned. The primary pollutants of concern are the fine particles that wildfires release into the air. Such “particulate matter” is microscopic; those 2.5 microns or smaller are referred to as “PM 2.5.” If inhaled, PM 2.5 can infiltrate deep in our lungs. From there, it can enter the bloodstream and affect other organs. It can also trigger the body’s immune system, just as invading viruses or bacteria would. But because our immune system can’t neutralize particulate matter, the body produces an inflammatory response, with both short- and long-term implications. The immediate impact of wildfire smoke is evident to anyone who breathed it last week and experienced hoarseness, coughing and shortness of breath, but it can also lead to more severe illness. One study of wildfires in California found that pediatric emergency room visits for asthma increased 112 percent in the days after exposure. For infants younger than 1, emergency room visits for asthma spiked 243 percent. Another study found a 7.2 percent increase in the risk of hospitalization for respiratory conditions among adults 65 years or older during the days when PM 2.5 concentrations exceeded the safety limit. Guest Opinion: People who never had to think about wildfire before need to start The respiratory system is not the only affected part of the body. Smoke exposure from wildfires is also correlated with cardiac arrest and heart attacks, as scientists believe that the inflammatory response constricts blood vessels and increases heart rate and blood pressure. For people with existing cardiovascular conditions, this could be life-threatening. As one study published in the Journal of the American Heart Association shows, ER visits for heart attacks increased 42 percent within a day of exposure to dense wildfire smoke. In a separate study, researchers found that being around heavy smoke raised the likelihood of out-of-hospital cardiac arrest for several days after inhaling smoke, with the highest increase — 70 percent — occurring on the second day after exposure. The lasting effects of wildfire smoke can persist for months. According to an analysis of Montana communities, higher PM 2.5 concentrations during wildfire season in the summer were associated with influenza in the subsequent winter flu season. After a bad wildfire season in 2012, flu rates were three to five times as high as normal. Montanans affected by hazardous PM 2.5 levels still had decreased lung function a year later. High PM 2.5 levels might also increase susceptibility to the coronavirus. A 2021 study in the journal Science examined 92 western U.S. counties affected by 2020 wildfires. Overall, an increase of 10 micrograms of PM 2.5 per cubic meter was associated with a nearly 12 percent increase in coronavirus infections and an 8.4 percent increase in deaths. In some counties, the effect was apparently even more dramatic. For instance, Whitman County, Wash., saw a nearly 72 percent increase in coronavirus cases after a spike in particulate pollution. And San Bernardino County, Calif., experienced a nearly 66 percent increase in covid deaths. The researchers hypothesized that the inflammatory response to PM 2.5 might distract the immune system from responding to the coronavirus and that the particulate matter might worsen covid-induced tissue damage. What happens if people are chronically inhaling such pollution? One study of school-age students in northwest China found that long-term exposure was associated with reductions in children’s lung capacity. Another review in JAMA uncovered links between how much fine particulate matter pregnant women inhale and the likelihood of their babies being born preterm or with low-birth weight. There was also a large study in Lancet Planetary Health that followed more than 2 million Canadians over a median of 20 years and found that regular wildfire exposure was associated with higher rates of lung and brain cancer. And a landmark New England Journal of Medicine report linked particulate matter exposure to increased mortality in more than 600 cities globally. Overall, the research offers a compelling case for the harm of PM 2.5. Those most vulnerable — children, the elderly, pregnant women and people with chronic lung and heart conditions — should take extra precautions on the days when there are air quality alerts. They might also be at greater risk for respiratory infections in the months that follow.
Oil Lobby Pushed Pollution Loophole for Wildfire Smoke - Seventy-five million people nationwide have been under air quality alerts, as days of smoke-filled skies sent soot levels soaring more than 10 times beyond what federal regulators consider safe for breathing.But in federal air quality data, it will be as if those days never happened. That’s because a Big Oil-backed exemption in federal environmental law allows states to discount pollution from “exceptional events” beyond their control, including wildfires. And while environmental regulators are considering cracking down on soot and particle pollution, industry groups are opposing those reforms, too.Under current rules, states like New York, where residents have been urged to remain indoors, won’t have their “hazardous” air quality index levels count against their compliance with the federal Clean Air Act — so emissions sources in the state, for example, won’t be required to reduce other discharges to help offset the smoke pollution. “Every air quality monitor from New York to D.C. is going to blow past the limit,” said Sanjay Narayan, a managing attorney with the Sierra Club’s Environmental Law Program. But instead of localities counting that data towards the overall standards they’re required to maintain, he said, “They’ll say, ‘This is caused by wildfires, so we’ll continue to do what we normally do.’”Environmental justice groups in cities like Phoenix, Chicago, and Detroit have previously accused states of exploiting the wildfire loophole to avoid cleaning up air that’s already dangerously dirty — often to the benefit of polluters that also helped push changes to the Clean Air Act beginning in the mid-2000s. Those changes allow states to skip reporting pollution from natural occurrences like dust storms, thereby reducing the likelihood of triggering enhanced cleanup measures that could impact industrial activities. In 2016, the oil industry’s top lobbying group even took the rare step of siding with federal environmental regulators in a court challenge from green groups arguing that they had illegally expanded the reporting exemptions to include some human-caused pollution.In an echo of its larger campaign of climate denial, oil lobbyists argued that it was virtually impossible to differentiate between “purely natural emissions” and those connected to human activity — so regulators should treat wildfires and other similar occurrences as “natural events.”
Canada officials: Wildfires may last through September in smoke threat to U.S. - Some 435 wildfires were burning across Canada overnight as smoke from the blazes lingered in New York City and other parts of the U.S. The fires forced officials in British Columbia to order fresh evacuations over the weekend and evacuation orders remained in place for thousands of people in Alberta and Quebec.The air quality index reached 110 in New York on Sunday afternoon and levels remained unhealthy for sensitive groups overnight, according to monitoring groups. While the smoke in the U.S. didn't reach the dangerously hazardous levels of last week, the federal agency Natural Resources Canada forecasts above-normal fire activity across most of the country through September as the unprecedented spring season continues. Quebec Minister of Public Security Francois Bonnardel said Saturday morning the situation in central and northwestern areas remained challenging, but firefighters had made progress against fires in the province's northeast, per AFP."This is a first in the history of Quebec to fight so many fires, to evacuate so many people," Bonnardel added of the orders affecting some 14,000 people."We are going to have a fight that we think will last all summer ... we haven't yet won the battle." That means smoke is likely to continue to impact the northern tier of the U.S. over the next several months as Canada deals with its wildfire crisis.Smoke from wildfires poses a serious threat to people's health.It can be hazardous to people's health even hundreds of miles away from a fire as it carries harmful microscopic particles that can cause inflammation in the lungs.
Deadly forest fires engulf Kazakhstan’s Abai region, questions raised over infrastructure and funding mismanagement - A rapidly-spreading forest fire in the Abai region of northeastern Kazakhstan has resulted in the deaths of 14 emergency workers and prompted evacuations. The blaze, which began on June 8 in the Batpayev forestry, has so far consumed approximately 60 000 ha (148 260 acres) of land. According to the Ministry of Emergency Situations, the fire spread rapidly, expanding from an initial 2 000 ha (4 940 acres) to 30 000 ha (74 000 acres) in just a day, and doubled in size within five days. Currently, efforts to extinguish the fire are underway, involving 14 helicopters, approximately 1 500 personnel, and over 300 units of equipment from the Ministry of Emergency Situations, local executive bodies, and the Ministry of Defense. Since the fire’s outbreak, over 2 000 tons of water have been discharged 777 times to combat the flames. Residents in neighboring areas have been evacuated to the village of Borodulikha and the city of Semei. Kazakhstani President, Kassym-Jomart Tokayev, canceled his scheduled official trip to Vietnam on June 11 in the wake of the crisis. He received complaints from locals about the limited resources available to emergency workers. Tragically, one victim’s wife recounted how her husband had to travel to the fire scene in a private vehicle due to a lack of suitable transport. In the midst of the disaster, speculation is rampant about potential misappropriation and misallocation of funds contributing to the fire’s scale. On May 29, just two weeks before the fire outbreak, three officials from the Semei Ormany nature reserve were sentenced to 10 years in prison for large-scale embezzlement, according to Didar Smagulov, Executive Director of the public foundation, Adildik Zholy (Way of Justice). Concerns were also raised about the lack of paved roads, preventing fire trucks from reaching the burning forest. Interestingly, asphalt was swiftly laid down prior to President Tokayev’s arrival, raising questions about infrastructure management. President Tokayev pledged financial support for the families of the deceased forestry workers and asserted that officials responsible for infrastructure management would face penalties. On the same day, the Prosecutor General’s Office initiated two criminal cases over violations of fire safety requirements that led to fatalities and negligence by public officials.
Millions of Mormon crickets invade parts of Nevada - (video) Businesses and residents in parts of Nevada, U.S. are struggling with an overwhelming influx of millions of Mormon crickets. In the northeastern city of Elko, located approximately 225 miles (362 kilometers) south of the Idaho border, the insect onslaught began on Monday, June 12, 2023. Reports are surfacing of crickets blanketing roads, green spaces, and even the walls of local hospitals. Steve Burrows, the director of community relations at Northeastern Nevada Regional Hospital, recounted the intense effort required to maintain regular operations amid the insect onslaught. He told local KSL TV, “Just to get patients into the hospital we had people out there with leaf blowers, brooms, at one point we even had a tractor with a snowplow on it just to push the piles of crickets and move them on their way.” Native to western North America, Mormon crickets undergo cyclical population explosions spanning several years. According to the University of Nevada in Reno, Mormon crickets eat native, herbaceous perennials (forbs), grasses, shrubs, and cultivated forage crops, reducing feed for grazing wildlife and livestock. In large numbers, their feeding can contribute to soil erosion, poor water quality, nutrient-depleted soils, and potentially cause damage to range and cropland ecosystems. Drought encourages Mormon cricket outbreaks, which may last several years (historically 5 to 21 years) and cause substantial economic losses to rangeland, cropland, and home gardens. This is particularly true as adults and nymphs of Mormon crickets migrate in a band, eating plants along their path. Structures and hardscapes may be superficially stained with feces or crushed crickets, creating a clean-up cost to property managers of condominiums, parks, golf courses, etc., or home owners.
Mexico says mass bird deaths likely caused by El Niño's hotter waters (Reuters) -The deaths of hundreds of wild birds along Mexico's Pacific coast were likely caused by the El Niño climate phenomenon, local authorities said on Thursday, as the country and its surrounding oceans face an intense heat wave. Some 300 wild birds of various species were found dead over the weekend along the coasts of Mexico's western states of Chiapas, Oaxaca, Guerrero, Michoacan, Jalisco, Sonora and Baja California Sur. Authorities had initially suspected bird flu, but a joint effort from the country's agriculture and environment ministries concluded the most likely reason was warmer oceans resulting from El Niño. The periodic natural phenomenon, which lasts between months and years, warms the Pacific Ocean fuelling tropical cyclones, floods and rainfall across the Americas and elsewhere. The U.S. National Oceanic and Atmospheric Administration (NOAA) earlier this month declared that an El Nino is now under way, after three years dominated by the cooler La Nina pattern. Scientists say this year looks particularly worrying, as coupled with climate change, the current phase should see the world grapple with record-high temperatures. With warmer waters, fish tend to swim lower in search of colder waters, which prevents seabirds from successfully hunting for their food, the ministries said in a statement. Sea birds were also found dead on the coasts of Peru and Chile, Mexican authorities said. At least six people have died in Mexico as a result of intense heat this warmer season, according to recent tally from the health ministry. The country is facing a heat wave with temperatures surpassing 43 Celsius (109.4 Fahrenheit) in parts of the country.
How will El Niño affect Southern California? – The National Oceanic and Atmospheric Administration (NOAA) has announced the arrival of the climatic condition known as El Niño.So what does that mean for Southern California?This year’s El Niño formed about a month or two earlier than usual, giving it more time to grow. NOAA’s El Niño/La Niña forecast office reported a 56% chance it will be considered strong, likely to alter weather around the globe and drive hotter temperatures to an already warming Earth.El Niño is a natural, temporary warming of the waters on the eastern Pacific Ocean, according to NOAA. This warming, which occurs around the equator, drives hotter weather and shifts weather patterns across the world by altering the paths of storms.NOAA explains that in the United States, a moderate to strong El Niño in the fall and winter has tended to result in wetter-than-average conditions across the southern half of the country, including Southern California, and drier-than-average conditions across the northern United States. In the past, strong El Niño conditions have led to record-breaking global warmth, such as in 2016. Scientists say that the onset of this year’s El Niño may place 2023 in the running for our warmest year on record when combined with the warming effects of climate change.NOAA’s announcement comes after an unusually long-lasting and strong La Niña — El Niño’s sister condition with cooling in the Pacific — that worsened drought in the Western U.S. and brought increased hurricane activity to the Atlantic.?Fresh off a historic winter which brought increased precipitation and snow across the state, the arrival of El Niño could mean California may be in for another season of rain.However, not all El Niño events are the same, and the climate pattern’s typically wet conditions have not always occurred for Southern California. In 2015-16, one of the strongest El Niño on record ended up bringing about one of the driest years ever for Los Angeles. This year’s potentially strong El Niño also follows a rare, three-year long La Niña and record oceanic warmth driven by climate change. These historically unusual conditions combine together to create uncertainty for climate scientists as they struggle to predict what this year’s weather conditions may bring to the world.Southern California continues to experience a stretch of cool and cloudy weather in contrast to the rest of the globe, where recent months have been warmer than average.The latest outlook from NOAA indicates that cooler-than-normal temperatures will continue in Southern California through the end of the month.
Revival of California’s water: Satellite data reveals record gains - (video)California, under the grip of intense drought for years, experienced its highest year-over-year water gains in the last two decades, as revealed by the GRACE-FO satellite mission, a collaborative initiative between NASA and GFZ. Between October 2022 and March 2023, the state received sufficient rainfall to increase the water levels by approximately 50.8 cm (20 inches), roughly twice the average winter water gain since 2002. After a prolonged period of severe drought and depleting groundwater levels, California finally saw a ray of hope. The Gravity Recovery and Climate Experiment Follow-On (GRACE-FO) satellite mission, a joint venture between NASA and the German Research Centre for Geosciences (GFZ), reported that the state had witnessed its largest year-over-year water gains in two decades. The state’s Central Valley region, considered a gigantic swimming pool, was a key focus of the GRACE-FO measurements. The data took into account all the water contained in the region’s lakes, rivers, soil, snowpack, and underground aquifers. The period from October 2022 to March 2023 saw storms providing enough water to elevate the water quantity within this “swimming pool” by an impressive 50.8 cm (20 inches). This figure stands as approximately twice the average winter water gain since the inception of satellite-based water storage measurements in 2002. The water gain from October 2022 to March 2023 period is visually represented in the maps below. The blue colors designate areas that experienced above-average wetness (relative to 2004–2010), while the red colors indicate areas that were drier than average. Despite the promising increase in surface water basins, the underground reservoirs of fresh water, or aquifers, which are crucial for irrigation and other needs, could require several more years to recharge fully. Felix Landerer, GRACE-FO project scientist at NASA’s Jet Propulsion Laboratory, warns that “One good winter of rain and snow won’t make up for years of extreme drought and extensive groundwater use”.
Catastrophic flooding ravages parts of Cuba following exceptional rainfall - (video) Heavy rains battered central and eastern Cuba in recent days, resulting in severe flooding that claimed the lives of six people and left thousands homeless. The worst-hit provinces include Granma, Las Tunas, Santiago de Cuba, and Camagüey. The Instituto de MeteorologÃa de Cuba (INSMET) reported 360 mm (14.17 inches) of rain in 24 hours to June 9, 2023 in Bartolomé Masó and 280.3 mm (11.03 inches) in Jiguani, both situated in Granma Province. In the Santiago de Cuba Province, Contramaestre experienced 248 mm (9.76 inches) of rainfall, while Vertientes in Camagüey Province was drenched with 237 mm (9.33 inches) during the same period. The province of Granma bore the brunt of the flood damage. As per the governor’s statement, a staggering number of homes were affected, with 279 partially or completely destroyed. By June 10, 2023, the flood crisis had escalated to the point where 7 259 people in the province had to be evacuated. Media outlets have reported that, as of June 14, 2023, six people lost their lives due to the flooding—four in the eastern provinces of Granma, Las Tunas, and Santiago de Cuba, and two in central Camagüey Province. The catastrophic event has impacted over 18 500 individuals across the country. The floodwaters have wreaked havoc on the infrastructure as well, damaging bridges, roads, and sanitation systems, along with thousands of homes. In addition, thousands of hectares of crops were decimated, further exacerbating the crisis. In light of the ongoing situation, forecasts for the next 24 hours indicate moderate to heavy rainfall across the eastern and central-eastern provinces, underscoring the need for continued vigilance and preparation.
Severe hailstorms, flash floods hit Boulder, Colorado - (3 videos) A severe hailstorm accompanied by flash floods hit Boulder, Colorado on June 12, 2023, causing damage and leading to emergency rescues. The storm, which saw hailstones accumulate up to 2.54 – 5.08 cm (1 – 2 inches) in depth in downtown Boulder, was particularly severe due to the high volume of smaller stones up to 1.27 cm (0.5 inches) in diameter. The size of the largest stones was estimated to be slightly greater than 2.54 cm (1 inch). The aftermath of the storm saw several streets and creeks in Boulder flooded, leading to a significant disruption of daily life. The National Weather Service (NWS) had issued a severe thunderstorm warning for parts of Colorado and New Mexico until 19:00 LT, cautioning about scattered wind gusts up to 112 km/h (70 mph), hail 5 cm (2 inches) in diameter, and the potential for tornadoes. Despite the warning, the city was ill-prepared for the volume of the hail that fell, leading to extensive flooding and the need for emergency rescue operations. In the aftermath of the storm, crews worked tirelessly to clean up the deluge and repair roads after flooding in Boulder and Elbert counties. The Boulder fire service reported two people had to be rescued from flash flooding near Boulder Creek. Furthermore, several people near Goose Creek pond were reportedly stranded on an island due to water cutting through the bank. Boulder Fire-Rescue crews responded and helped get everyone to safety. No additional rescues were reported after this incident. The Boulder police went on crash alert due to the high number of calls resulting from the heavy rainfall. According to Bernie Meier, a meteorologist for Boulder’s National Weather Service, the heaviest rainfall was recorded at an inch and a half at the Boulder County Justice Center, with overall rainfall between 25.4 cm to 50.8 cm (1 to 2 inches). The hail sizes were reported to be as large as a quarter in some parts of Boulder.
Record-breaking June snowfall on Mt. Washington, U.S. - Mt. Washington observed a record-breaking snowfall in June 2023, setting a new monthly record with 21.34 cm (8.4 inches) of snow halfway through the month. With half of the month still to go, Mt. Washington has already marked the snowiest June on record. As of Tuesday, June 13, 2023, a remarkable 21.34 cm (8.4 inches) of snow has settled on the peak, with 10.67 cm (4.2 inches) coming down on June 7 alone. This is a notable increase from the average, according to Accuweather meteorologist Dan Pydynowski. The mountain has had a mean of 3.3 cm (1.3 inches) for the whole month since records began 91 years ago. The year 2023 has so far proven to be a year of climatic extremes for Mt. Washington, known for having the “world’s worst weather”. In February, local authorities advised hikers to stay away from the peak as the summit of the 1 917 m (6 288-foot) mountain experienced wind chills plummeting to -78 °C (-108 °F). This marked the coldest ever recorded on earth, with the National Weather Service alerting that the troposphere could temporarily dip below the summit of the mountain. This means the top of the mountain was located in the stratosphere. Jay Broccolo, the director of weather operations at the Mount Washington Observatory, gave a stark warning to hikers prior to the storm. He explained that exposure to such extreme cold could cause rapid body heat loss. Even taking a glove off could lead to a loss of movement in fingers within a minute as the body pulls blood away from extremities to preserve warmth. In a Facebook post, the Mount Washington Observatory pointed out that while the volume is unusual, some snow in June is not unprecedented for Mt. Washington. The last snowstorm of the season generally occurs towards the beginning or middle of the month. However, Mt. Washington has experienced cold temperatures and occasional snowflakes throughout the year. This has, unfortunately, proved fatal for unprepared visitors. Hikers have succumbed to hypothermia on Mt. Washington and in the surrounding Presidential Range as late as August. References:
Historic heatwave pummels Mexico and the Caribbean, heat to engulf most of Texas and parts of Louisiana - Mexico and the Caribbean are experiencing the most intense heatwave in their recorded history. The Mexican Plateau is being seared by harsh dry heat, while the Caribbean contends with deadly humid temperatures. On June 12, 2023, the mercury soared above 45 °C (113 °F) in several areas, including regions of high altitude. The city of Torreón, sitting at 1 123 m (3 684 feet) above sea level, saw temperatures rise to 43.3 °C (109.94 °F) on June 12, while Durango Airport, located at 1 872 m (6 142 feet) altitude, experienced 40.4 °C (104.72 °F) heat. La Bufa, perched even higher at 2 612 m (8 570 feet) above sea level, broke all-time records with a temperature of 33.4 °C (92.12 °F). Equally brutal conditions were reported at Monclova, near Candelaria in Campeche State, Yucatan Peninsula, where temperatures reached an excruciating 44.6 °C (112.28 °F). Climatologist and weather historian, Maximiliano Herrera, warned that “Mexico is living the worst heatwave in its history, and it’s just the beginning. Records will be obliterated from South to North in dozens of stations.” In the past few days, extreme temperatures have also been recorded in the Dominican Republic, with highs of up to 37 °C (98.6 °F) and 38 °C (100.4 °F) in Samanà and Puerto Plata, respectively. June records were shattered at Puerto Lempira in Honduras, which reported a sweltering 37.5 °C (99.5 °F), and Flores, Guatemala, where the temperature climbed to an astonishing 41.6 °C (106.88 °F). The hottest day in history was also noted at Zacatecas La Bufa, Mexico (2 600 m or 8 530 feet above sea level) with 32.1 °C (89.78 °F). The extreme heatwave is forecasted to extend northward, engulfing most of Texas and parts of Louisiana in the coming days. Southern Texas is predicted to experience extreme temperatures from June 14 onwards, with readings potentially exceeding 43.3 °C (110 °F) for several days and even a possibility of a record-breaking 46.1 °C (115 °F). Residents in these areas are urged to follow the National Weather Service (NWS) heat advisories closely as the situation unfolds.
Severe thunderstorms, derecho threaten the Gulf Coast as heat intensifies in Texas - Severe storms are predicted to persist along a lingering boundary, primarily affecting the Gulf Coast states and Southeast on June 14, 2023. The greatest threats are very large hail, damaging winds, and heavy rain with the potential for flooding. Texas, on the other hand, continues to experience building heat and humidity. Much of the Deep South, particularly between the Lower Mississippi Valley and Southeast, is expected to encounter numerous strong-to-severe thunderstorms today. These storms, forming near a persistent stationary boundary, will move east-southeastward. The ingredients conducive for the development of these intense thunderstorms include significant atmospheric moisture from the Gulf of Mexico, robust westerly wind shear, and ample instability. Storms are predicted to generate very large hail, damaging wind gusts, and even tornadoes. Notably, strong wind gusts pose the highest threat, especially across areas stretching from northeast Louisiana to southwest Georgia. In response to this, the Storm Prediction Center has issued a Moderate Risk (level 4/5) for severe weather across this region. Furthermore, clusters of thunderstorms are likely to generate heavy rainfall. As storms overlap in similar areas, the risk of flash flooding increases, particularly in central Alabama to southern Georgia, with urban corridors and low-lying regions being most vulnerable. TWC forecasters are warning there’s a possibility for a destructive derecho to develop near the Lower Mississippi Valley and track toward the central Gulf Coast this evening. A derecho is a widespread, long-lived, straight-line wind storm that is associated with a fast-moving group of severe thunderstorms. These intense weather events can cause considerable damage over large areas and are capable of producing hurricane-like conditions and tornado-like damage, even though they are not related to tropical cyclones or tornadoes.
Punishing winds, possible tornadoes inflict damage as storms cross US South (AP) — Damaging winds and possible tornadoes toppled trees, damaged buildings and blew cars off a highway Wednesday as powerful storms crossed the South from Texas to Georgia. The National Weather Service issued numerous tornado warnings, mainly in southeast Alabama and southwest Georgia, and cautioned that gusts of hurricane-force winds exceeding 90 mph (145 kph) were possible in parts of northeast Louisiana and central Mississippi. Some areas also were pelted with large hail. Witnesses posted video of tornadoes hitting Abbeville and Eufala in Alabama. In Georgia, authorities in Troup County told WSB-TV that a person was struck by lightning Wednesday afternoon. There was no immediate word on that person’s condition. Tens of thousands of people across both Alabama and Georgia were without power Wednesday night amid the storms, according to each of the state’s power providers. At one point, the outages were affecting close to 50,000 people in Alabama alone. Forecasters said severe storm threats could persist into Thursday, with the greatest risk across southern Alabama and Georgia into the Florida Panhandle as well as Oklahoma and parts of northern Texas and southern Kansas. Felecia Bowser, meteorologist in charge for the National Weather Service in Tallahassee, Florida, called the far-reaching inland storm system unprecedented for this time of year. “In June, we’re usually gearing up more for tropical weather,” Bowser said. “This type of widespread, aggressive precipitation that we’re seeing today usually occurs more so in the spring.” Two people escaped unharmed from a home that was destroyed Wednesday as storms raked rural southwest Georgia, Calhoun County Sheriff Josh Hilton said. He told WALB-TV the home in Quail County Plantation, near the county line with neighboring Early County, was demolished. Video posted on social media showed a large funnel cloud churning on the horizon near the rural city of Blakely, and officials in nearby communities reported downed trees and snapped power lines. Connie Hobbs, the elected commission chairman for neighboring Baker County, said hail stones up to golf-ball size rained down in her yard.
Stifling heat wave to grip U.S. South over holiday weekend (Reuters) - An oppressive heat wave settled over a wide swath of the U.S. South on Thursday, bringing record-breaking temperatures that could top 100 degrees Fahrenheit (38 Celsius) in many spots and creating dangerously hot conditions from Texas o Florida. Some 35 million people in southern Texas, Louisiana and Florida were under excessive heat warnings, watches and advisories from Thursday through the three-day Juneteenth weekend, the National Weather Service said. "It wouldn't be an active summer weather pattern without oppressive heat and much of Texas and the Deep South will have plenty heading into the beginning of the holiday weekend," the service said in its forecast, which included the chance of strong thunderstorms and possible tornadoes for the region. The growing frequency and intensity of severe weather across the U.S. is symptomatic of human-driven climate change, climate scientists say. Record-breaking heat index temperatures could reach 115 in places such Austin, the Texas state capital, where officials have opened cooling centers in libraries and park buildings and urged people to drink plenty of water and stay out of the sun. The Electric Reliability Council of Texas (ERCOT), which operates the grid for more than 26 million customers representing about 90% of the state's power load, has said it has enough resources to meet demand. Across southern Louisiana, similar sky-high temperatures were in the forecast. New Orleans residents woke up to a brutal 96-degree heat index, the weather service said in a tweet. "Dat's some bayou weather right there," the agency said in the local parlance. Triple-digit temperatures and drenching humidity will also smother South Florida over the next several days, including in cities such as Miami and Jupiter, where officials warned residents to not leave pets and children alone in hot vehicles.
Severe storms cause destruction and casualties in Texas, Alabama, Georgia, Mississippi, and Florida - (6 videos) Strong winds, thunderstorms, and tornadoes caused multiple casualties and damage across the southeastern United States, including Texas, Alabama, Georgia, Mississippi, and Florida, over a 24-hour period starting June 15, 2023. Three people lost their lives in Perryton Town, northern Texas, and one in Escambia County, Florida. Heavy rainfall, thunderstorms, lightning, and hailstorms have left a trail of destruction across the southeastern United States, particularly impacting the Lower Mississippi Valley and the Southeast Region. The most affected states have been Texas, Alabama, Georgia, Mississippi, and Florida, where the National Oceanic and Atmospheric Administration (NOAA) recorded a total of 10 tornadoes in 24 hours, with 5 in Georgia, 3 in Texas, and 2 in Alabama. Power outages were widespread, with FEMA documenting nearly 110 000 disrupted services across all affected states. As of June 16, 2023, media reports highlighted the extent of the devastation, particularly in Perryton, a town of 8 000 people in the Texas Panhandle, where three people were confirmed dead. The Federal Emergency Management Agency (FEMA) reported dozens of injuries and significant property damage across the three states hit by tornadoes.Rescue efforts were ongoing in the Pensacola area in Florida, where flash floods necessitated the evacuation of over 100 people from an apartment complex. The complex, located next to a creek, saw water levels rise to the first-floor windows due to rainfall exceeding 432 mm (17 inches) across the Pensacola area. In a chilling historical context, the Perryton tornado could be one of the deadliest in Ochiltree County, according to senior meteorologist Jon Erdman from weather.com. Since 1950, only two other tornadoes in the county have been deadly. Drone footage from Perryton, Texas, revealed extensive damage to buildings, with some catching fire. The tornado, which formed late in the afternoon, resulted in a ‘direct hit’ to a mobile home, leading to one fatality. The Perryton Fire Chief highlighted the particular danger mobile homes pose during tornadoes, with the National Weather Service reporting a 15-20% higher mortality risk in such structures compared to permanent homes during severe weather. Rescue efforts continue for the missing individuals, with emergency resources deployed by Texas Governor Greg Abbott. Texas Task Force 1 and Texas Task Force 2, the state’s primary search and rescue teams, have been deployed to Perryton. The teams, consisting of over 115 personnel, including search dogs, are expected to arrive at the scene on the morning of June 17, 2023. Escambia County, Florida, faced its own trials as the storm produced a tornado that toppled a tree onto a home, resulting in one fatality. Another person was struck by lightning and taken to a local hospital. The county faced further struggles as over 406 mm (16 inches) of rain fell overnight, causing flash floods. High water rescues were ongoing, with multiple reports of people trapped or stranded on flooded roadways. In the wake of the storms, further challenges are forecasted for the Lower Mississippi Valley. Over the next 24 hours, heavy rainfall, strong winds, and thunderstorms are expected. NOAA has issued a severe thunderstorm warning for northeastern Texas. “Scattered strong to severe thunderstorms will persist along a boundary in the eastern Gulf Coast states, and with a couple of systems in the central Plains and Mid-Atlantic. Large hail and damaging winds are the primary threats. Heavy to excessive rain will be possible from the central Plains to the eastern Gulf,” NWS said.
Thousands without power after tornadoes rip through region, leaving behind major damage- Tornadoes ripped through northwest Ohio and southeast Michigan on Thursday night, leaving thousands without power and causing severe damage throughout the region. The National Weather Service confirmed an EF-2 tornado with winds of 130mph hit Toledo/Point Place and stayed on the ground for about four minutes. Another EF2 tornado, also with winds of 130mph, was confirmed south of Oak Harbor in Ottawa County. An EF1 tornado hit Woodland Beach Thursday night with 90mph winds. NWS has confirmed that a total of six tornadoes touched down in northwest Ohio and southeast Michigan on Thursday. The storms included everything from baseball-sized hail to possible tornado touchdowns. It left behind downed power lines, trees and branches and also damage to buildings and cars. Major storm damage has been reported in several spots throughout the region but the most severe appeared to be in the Point Place area. Toledo Fire and Rescue has asked that people stay in their homes and out of the way so they can assess the damage and work without interference. Many roads were still closed Friday morning, including the I-75 Ottawa River Road exit, as crews continue their efforts to clear debris and restore power lines. TFRD crews were going door-to-door to check on people and residents rallied together to help their fellow neighbors. The damage in Point Place included the destruction of a ProMedica lab on Suder Avenue. A spokesperson for the company said no one was in the lab at the time and no samples were affected. The statement from ProMedica went on to say its unaware of any ProMedica-owned patient records being compromised. The storm has also caused thousands of Toledo Edison customers throughout northwest Ohio to lose power. A spokesperson for FirstEnergy said the storm caused significant equipment damage. “Our primary focus at this stage is to remove any hazards and assess the damage so that our crews can access the site of an outage and begin to safely make the repairs. Unfortunately, this can be a time-consuming process,” said Lauren Siburkis with FirstEnergy in a statement. “Please use caution if you must go outdoors. Stay far away from downed- or low-hanging power lines that could be hidden in storm debris or downed trees. If you see any downed- or low-hanging wire, assume it is energized and dangerous; stay far away and report it immediately to 911.” According to Siburkis, more than two dozen poles and many more wires are down in the Point Place area. Toledo Edison expects to have power restored to the majority of impacted customers by late Tuesday night. During a press conference on June 16, Mayor Wade Kapszukiewicz said people should call United Way at 211 if they need help or if they are looking to help others. They City says it is still working to figure out how many buildings were affected by the storm and officials believe cleanup with last through the weekend. The City plans to hold another press conference on June 20 with more updates on the amount of damage, the status of the cleanup and additional information.
NWS confirms tornado hit Ashland County Thursday (WJW) — Severe storms and high winds that rolled through Thursday evening caused damage across Ohio, and now the National Weather Service in Cleveland has determined some of that damage was caused by a tornado. After surveying the area Friday, a NWS team said the tornado touched down in the town of Nankin in rural Ashland County just before 9 p.m. Thursday. The tornado was an EF-0 capable of causing winds of up to 85 mph the NWS said. The tornado was 300 yards wide and traveled 1.2 miles for two minutes in rural Ashland County according to the NWS. A home’s roof was damaged, a barn sustained heavy damage, trees were uprooted, but no one was injured the NWS added. Photos shows portion of Ohio Turnpike closed in Sandusky due to downed power lines from storm Nankin is located four miles north of Ashland. The NWS also confirmed an EF 2 tornado touched down in Lucas County near Point Place, five miles north of downtown Toledo. According to NWS, peak winds were estimated at 130 miles per hour. The path length was about two miles, and the path was about 300 yards wide. Fox 8 meteorologist Scott Sabol said the highest wind gust not associated with a tornado of around 65 mph was recorded in the Cleveland area.
Severe storm aftermath: At least 6 tornadoes confirmed Thursday night in Northeast Ohio (WOIO) - A severe storm Thursday night has left many across Northeast Ohio without power while they begin to pick up the pieces of the wreckage left behind. Multiple counties in Ohio are dealing with widespread damage after a night of tornado warnings and heavy rain. A family in Ottawa County walked out of there house after the storm to find they were left with a downed tree and toppled barn in their yard. The windows on their new cars were blown out and the yard was left a mess. “People are fortunate no one was hurt, considering the extent of the damage we’ve seen,” an Ottawa official told 19 News. The National Weather Service (NWS) said an E-2 tornado hit the area at 6:49 p.m. and lasted nine minutes. According to the NWS, the winds damaged five homes and seven barns. As many as ten cattle were killed. The NWS confirmed an EF-0 tornado touched down in Ashland County at 8:47 p.m. on Thursday. The peak wind speeds were up to 85 mph, and nobody was injured during the 2-minute lifespan of the tornado. In Point Place near Toledo, an EF-2 tornado struck at 6:06 p.m. with peak winds reaching speeds of 130 MPH, according to the NWS. The NWS said the tornado caused serious damages across at least a 2-mile area before stopping at 6:10 p.m. Structures were toppled by Thursday night’s wind and hail in Sandusky County. 19 News found sheet metal and wood scattered across a field in Vickery Friday morning. Sandusky County Sherriff’s Department Chief Deputy Edward Hastings told 19 News there have been no injuries or evacuations in the area, but some people that live on the east end of the county have been without power since 7 p.m. Thursday night. Friday night the National Weather Service confirmed an EF-1 tornado touched in Rice Township at 6:57 pm and EF-0 touched down about 15 minutes later in Bellevue.The roof on a Huron County home blew off and hit the neighbor’s car and house, resting now in the front yard across the street. “We got a warning that there was a tornado warning, I sent my kids inside after it starting hailing,” Huron County resident Natalieigh Schlette told 19 News. “The clouds were really red, then the clouds were like an emerald green, we started hearing the wooshing sounds and the sirens started going off,” Schlette said.2,000 people are without power in the area, down from 3,000 Friday morning. Downed powerlines and trees are making clean-up in North Fairfield difficult. Some neighbors say the power company said it may take a few days for per to come back on. The National Weather Service confirmed an EF-2 tornado touchdown in Monroeville around 7:49 pm, some reported to 19 News that they heard a train-like sound during the storm.
Severe weather wreaks havoc in Khyber Pakhtunkhwa, leading to multiple fatalities, Pakistan - A lethal combination of high winds, lightning strikes, and heavy rain resulted in over 20 deaths in Khyber Pakhtunkhwa Province, Pakistan, on June 10 and 11, 2023. The Provincial Disaster Management Authority (PDMA) of Khyber Pakhtunkhwa reported that the districts of Bannu, Lakki Marwat, Dera Ismail Khan, and Karak were the worst affected by the harsh weather. In the Bannu District alone, the violent weather claimed the lives of at least 15 people and left 100 injured across multiple villages. Approximately 68 homes were either damaged or completely destroyed, and dozens of livestock were lost in the devastation. The tragedy also struck the Dera Ismail Khan district, where a child lost their life when a house collapsed due to the heavy rainfall, as per the PDMA. Bannu District documented 27 mm (1.06 inches) of rainfall within 24 hours leading up to June 11, 2023. Concurrently, the Kakul village in the Tehsil and District Abbottabad recorded 38 mm (1.49 inches) during the same duration. While the northern regions grapple with the aftermath of the severe weather, the southern parts of the country are preparing for Tropical Cyclone “Biparjoy.” The cyclone is currently situated over the Arabian Sea and is forecasted to make landfall somewhere between Pakistan’s Sindh Province and India’s Gujarat State on June 15, 2023.
Tropical Cyclone “Biparjoy” heading toward Pakistan - India border region - Tropical Cyclone “Biparjoy” formed in the Arabian Sea on June 6, 2023, as the second named storm of the 2023 North Indian Ocean cyclone season. The system is moving northward, threatening the coasts of Pakistan and neighboring Saurashtra and Kutch, India. The storm, as of 03:00 UTC on June 12, is likely to gain momentum, potentially causing significant damage as it moves closer to the coastline. At the time, the center of Extremely Severe Cyclonic Storm “Biparjoy” was approximately 320 km (198.8 miles) southwest of Porbandar, 360 km (223.7 miles) south-southwest of Devbhumi Dwarka, India, 440 km (273.4 miles) south of Jakhau Port, India, 440 km (273.4 miles) south-southwest of Naliya, India and 620 km (385.2 miles) south of Karachi, Pakistan. The system had a maximum sustained wind speed of 165 – 175 km/h (102 – 108 mph), gusting to 195 km/h (121 mph). It was moving N at a speed of 7 km/h (4.3 mph). Biparjoy is forecast to continue its northward trajectory until the morning of June 14. Post this, the cyclone is expected to shift direction, moving north-northeastwards. It is anticipated to cross the Saurashtra and Kutch coasts and adjoining Pakistan between Mandvi, Gujarat and Karachi, Pakistan, near Jakhau Port, Gujarat, by 12:00 LT on June 15. The cyclone is expected to bring heavy rainfall across the districts of Kutch, Devbhumi Dwarka, Porbandar, Jamnagar, Rajkot, Junagarh, and Morbi in Gujarat starting from June 14. Rainfall intensity is predicted to increase by June 15, with extremely heavy downpours expected in Kutch, Devbhumi Dwarka, and Jamnagar. North Gujarat and south Rajasthan are likely to experience moderate to heavy rainfall on June 16. Gale wind speeds are also forecasted to escalate over the Arabian Sea region, reaching between 165 – 175 km/h (102 – 108 mph) and gusting to 195 km/h (121 mph) on June 12, progressively decreasing over the following days. Squally winds are likely over the west-central Arabian Sea and adjoining areas. Along Saurashtra and Kutch coasts, gale wind speeds are likely to reach between 125 – 135 km/h (77 – 83 mph), gusting to 150 km/h (93 mph) from the morning of June 15, gradually decreasing thereafter.
Very Severe Cyclonic Storm “Biparjoy” making landfall near Jakhau port, Gujarat, India - Biparjoy is making landfall along the coast of Saurashtra and Kutch, India and adjoining Pakistan — between Mandvi, Gujarat, and Karachi, Pakistan near Jakhau port, Gujarat — on June 15, 2023, with a maximum sustained wind speed of 115 to 125 km /h (71 – 78 mph), with gusts to 140 km/h (87 mph). The landfall process commenced at around 13:00 UTC and will last for a couple of hours. Biparjoy has already claimed the lives of 7 people and forced the evacuation of more than 170 000 people — around 94 000 in India and 84 000 in Pakistan. At 11:00 UTC, the center of Biparjoy was located about 110 km (68 miles) WSW of Jakhau port, Gujarat, 140 km (87 miles) WSW of Naliya, Pakistan, and 160 km (100 miles) WNW of Devbhumi Dwarka, Gujarat, India. The cyclone had maximum sustained winds of 120 to 130 km/h (74 – 80 mph) with gusts to 145 km/h (90 mph).
Extratropical cyclone wreaks havoc in southern Brazil, drops two months’ worth of rain in one day - An extratropical cyclone, forming off the coast of southern Brazil on Thursday, June 15, 2023, produced excessive rainfall and strong wind gusts, wreaking havoc in Santa Catarina and Rio Grande do Sul. The event is still in progress. There are reports of dead and missing and over 1 million people without power. An extratropical cyclone that formed overnight near southern Brazil’s coast has triggered severe rainfall and strong wind gusts across Rio Grande do Sul and Santa Catarina. The region witnessed significant rainfall from late Thursday afternoon, followed by powerful gusts between Thursday night and Friday morning. The full extent of the cyclone’s impact is currently under evaluation. However, preliminary observations indicate a very bad situation in Serra, North Coast, and parts of greater Porto Alegre, in line with earlier mathematical model projections. “The situation is chaotic. There are dead and missing, but as we are still in the middle of the event no number is reliable and can increase soon,” Jorge Furtado told The Watchers. Extratropical cyclone drops two months' worth of rain in one day over southern Brazil bg Extratropical cyclone off the coast of southern Brazil. Credit: NOAA/GOES-East, RAMMB/CIRA, The Watchers. Acquired at 13:30 UTC on June 16, 2023 Rainfall has been exceptional across many regions, reaching volumes typically expected over one to two months in just a single day, Met Sul reported. This sudden deluge partly explains the widespread damage and rapid flooding in the northeast part of the state. The highest 24-hour accumulation until 03:00 LT on Friday was 262 mm (10.31 inches) in Maquiné, followed by 189 mm (74.4 inches) in Bom Principle and 188 mm (7.40 inches) in GravataÃ. In Porto Alegre, the Cristal neighborhood saw the highest accumulation in 24 hours with 105 mm (4.13 inches), nearly approaching the full-month average of 130.4 mm (5.13 inches) for June. Concurrently, the cyclone generated moderate to strong winds, with the most significant gust recorded at 102 km/h (63 mph) in Tramandaà on Thursday night. The extreme weather resulted in landslides, flooding, downed trees, and blocked roads across several points in the Paranhana Valley and North Coast. The current scenario remains risky, with further rain and wind expected throughout Friday. Given the water-saturated soil, there is a heightened risk of landslides on mountainous stretches and slopes. More than 1 million people are reportedly without electricity.
Interstate 95 collapse: Huge tanker truck fire shuts down highway outside of Philadelphia - A portion of I-95 in Philadelphia collapsed early Sunday after a tanker truck caught fire underneath an overpass, according to officials and local reports. Flames and billowing smoke were seen in pictures and video near Cottman Avenue and State Road in Northeast Philadelphia. A portion of the roadway also appeared to have collapsed. Pennsylvania State Police told FOX News Digital in an email that the agency was assisting Philadelphia police and other public safety partners with traffic control and re-routing, with the safety of residents and motorists being their top priority. The city’s Office of Emergency Management tweeted that the large fire has shut down all lanes of I-95 in both directions and urged motorists to avoid the area. The partial collapse of the roadway happened after a tanker truck fire started underneath an overpass and spread to the above lanes, FOX29 Philadelphia reported, citing officials. The fire was extinguished around 7:30 a.m., though crews remained at the scene to assess the damage. About 8,500 gallons of gasoline is believed to have leaked from the tanker into the Delaware River, KYW News Radio reported, citing the U.S. Coast Guard. The agency is expected to deploy an absorbent boom later Sunday. Several explosions were heard in the area, with WPVI-TV reporting that manhole covers were seen exploding. It was unclear how the fire started or whether anyone was injured in the incident. The Pennsylvania Department of Transportation said the vehicle fire on northbound I-95 between Exit 25 for Allegheny Avenue/Castor Avenue and Exit 32 for Academy Road/Linden Avenue closed all lanes. Pennsylvania Gov. Josh Shapiro tweeted that he is closely coordinating with partners in Philadelphia and New Jersey. U.S. Secretary of Transportation Pete Buttigieg also tweeted that he's closely monitoring the situation and will offer federal assistance. The roadway is expected to remain shut down for an extended period of time while crews continue to work in the area.
Kakhovka dam collapse has made Black Sea a 'garbage dump and animal cemetery,' Ukraine warns — Floodwaters are receding following the collapse of the Kakhovka dam, but debris washed along the Dnipro river is turning Odesa’s Black Sea coastline into “a garbage dump and animal cemetery,” according to Ukrainian authorities. “A lot of mines, ammunition and other explosive objects are being carried into the sea and thrown onto the shoreline,” Ukraine’s Ministry of Internal Affairs said on its website at the weekend, adding that border guards had observed a “plague of fish” in the area. “The Dnipro river flows into the Black Sea, bearing many signs of the devastation caused by Russians,” the ministry said. “The consequences of ecocide are terrible,” it added. The collapse of the dam in southern Ukraine on June 6 is one of the biggest industrial and ecological disasters in Europe for decades. The catastrophe has destroyed entire villages, flooded farmland, deprived tens of thousands of people of power and clean water, and caused massive environmental damage. But it’s still impossible to say whether it collapsed because it was deliberately targeted as part of Russia’s war in Ukraine or whether the breach could have been caused by structural failure. Several Western officials have blamed the collapse of the Russian-occupied dam on Moscow. A total of 2,699 people, including 178 children, have been evacuated from endangered settlements in the Kherson region since the collapse, the Ukrainian head of the regional military administration Oleksandr Prokudin said in a Telegram post on Saturday. Swimming and fishing have been banned in the region and people are being advised to drink only bottled or imported water, Prokudin said. Meanwhile thunderstorms and squall winds expected on Sunday mean “volunteers will not be allowed to perform any rescue operations,” he added. “The concentration of harmful substances in water samples is ten times higher than the permissible norm,” Prokudin said. Prokudin said the area of flooded territories in Kherson region had “decreased almost by half” and the average water level had decreased by 27 centimeters (0.9 feet) to 4.45 meters (14 feet). However, “32 settlements on the west bank of Dnipro river are still flooded and 3,784 residential buildings are under water,” he said. Prokudin also described the situation on the “temporarily occupied east bank” as “critical.” “Now 14 settlements are flooded there. The (Russian) occupation authorities are not carrying out evacuation measures,” he added.
‘Everything Will Die’: A Dam Blast Imperils Ukraine’s Vital Lifeline- The New York Times --The view from villagers’ gardens on the northern shore of the Kakhovka Reservoir has changed significantly in the four days since an explosion destroyed the nearby dam and the waters receded.Mud flats stretch for hundreds of yards, and a long sandbar has emerged from the water reaching out across the bay. Europe’s largest nuclear power plant, only four miles across the water on the southern shore, where it is under Russian military control, appears closer. The water has already dropped below the critical level to resupply water to the plant, Ukrainian officials said.In communities downriver, the water unleashed by the burst damflooded homes and swept away property and livestock within hours of the explosion. At least 14 people were killed in the flooding and at least 35 others were missing. On Sunday, Russian forces opened fire on a boat rescuing civilians, killing three people and wounding 10 others, the local authorities said.For those living upstream, the disaster has unfolded in slow motion, the reservoir dropping three to four feet a day.“Everything will die,” said Tetyana, 64, as she walked through her fruit and vegetable garden, with young tomato plants on her left and red currant and black currant bushes on her right.The taps had run dry in the morning in her village, Prydniprovske, said Tetyana, who like other local residents withheld their surnames for security reasons. She had just managed to do a load of washing in time. And the pipe that she used to water the vegetables had also dried up.Built 75 years ago, the Kakhovka Reservoir, the largest body of fresh water in Ukraine, is the life and livelihood of communities across a huge region. Its water feeds everything from small homes to large industries, with gardens, vineyards, shipping businesses and steel plants all reliant on the reservoir.Now, all are under threat. The towns and villages that grew up around the reservoir face hardship, even extinction, endangering a critical pillar of Ukraine’s economy.“It’s probably the biggest ecological disaster in the history of independent Ukraine,” The stocks of freshwater fish, he said, would most likely wash out to sea and die in the saltwater. The shellfish would perish in the mud as the waterway dried out.
In Photos: Ukraine's Dnipro River Dries Up in Zaporizhzhia Following Kakhovka Dam Collapse - The Moscow Times --The Kakhovka dam, a critical dam holding back a major water reservoir on the Dnipro River, was destroyed last Tuesday, sparking an environmental and humanitarian crisis in Ukraine's Kherson region. Russia and Ukraine have blamed each other for causing the collapse of the dam.In areas upriver from the dam in the Zaporizhzhia region, the sudden fall in water level on the Dnipro River has also had significant impacts, jeopardizing water sources for farmland and revealing long-lost relics.
Skulls left scattered after Ukraine dam breach may be from second world war --The emptying of the vast reservoir along the Dnipro River in Ukraine as a result of the destruction of the Nova Kakhovka dam last week has left mudflats littered with skeletons, according to footage posted online, in a reminder of the region’s violent past. Videos taken on Ukrainian-held and Russian-occupied sides of the Dnipro where the reservoir used to be, show skulls scattered in the ooze, one wearing a second world war helmet. The footage could not be independently verified due to fighting in the area. Historians say some of the remains may be of people who died in a huge battle fought 80 years ago over the same terrain now at the centre of Ukraine’s counteroffensive against Russian occupation, around Nikopol and Kamianka-Dniprovska. The Battle of the Dnipro (or Dnieper, in the Russian version) was the focus of one of the biggest military operations of the second world war, the Soviet army’s counterattack against the German army, involving more than 6 million troops. Andrii Solonets, a historian at the National Museum of the History of Ukraine in the Second World War, said: “The losses of Soviet troops ranged from 30,000 to 60,000 people. The losses of German and Romanian troops were up to 20,000 people. So in theory this video showing the helmet and skull could be linked to those events.”
Ukraine’s dam collapse is both a fast-moving disaster and a slow-moving ecological catastrophe - (AP) — The destruction of the Kakhovka Dam was a fast-moving disaster that is swiftly evolving into a long-term environmental catastrophe affecting drinking water, food supplies and ecosystems reaching into the Black Sea. The short-term dangers can be seen from outer space — tens of thousands of parcels of land flooded, and more to come. Experts say the long-term consequences will be generational. For every flooded home and farm, there are fields upon fields of newly planted grains, fruits and vegetables whose irrigation canals are drying up. Thousands of fish were left gasping on mud flats. Fledgling water birds lost their nests and their food sources. Countless trees and plants were drowned. If water is life, then the draining of the Kakhovka reservoir creates an uncertain future for the region of southern Ukraine that was an arid plain until the damming of the Dnieper River 70 years ago. The Kakhovka Dam was the last in a system of six Soviet-era dams on the river, which flows from Belarus to the Black Sea. Then the Dnieper became part of the front line after Russia’s invasion last year. “All this territory formed its own particular ecosystem, with the reservoir included,” said The six dams along the Dnieper were designed to operate in tandem, adjusting to each other as water levels rose and fell from one season to the next. When Russian forces seized the Kakhovka Dam, the whole system fell into neglect. Whether deliberately or simply carelessly, the Russian forces allowed water levels to fluctuate uncontrollably. They dropped dangerously low in winter and then rose to historic peaks when snowmelt and spring rains pooled in the reservoir. Since the dam’s collapse Tuesday, the rushing waters have uprooted landmines, torn through caches of weapons and ammunition, and carried 150 tons of machine oil to the Black Sea. Entire towns were submerged to the rooflines, and thousands of animals died in a large national park now under Russian occupation. Rainbow-colored slicks already coat the murky, placid waters around flooded Kherson, the capital of southern Ukraine’s province of the same name. Abandoned homes reek from rot as cars, first-floor rooms and basements remain submerged. Enormous slicks seen in aerial footage stretch across the river from the city’s port and industrial facilities, demonstrating the scale of the Dnieper’s new pollution problem. Ukraine’s Agriculture Ministry estimated 10,000 hectares (24,000 acres) of farmland were underwater in the territory of Kherson province controlled by Ukraine, and “many times more than that” in territory occupied by Russia..
Why the Kakhovka Dam explosion in Ukraine is a global catastrophe. -As the Russia-Ukraine War rages on, its most devastating impacts are adding up and extending far beyond Eastern Europe. Last week offered an extremely grim example: The Kakhovka Dam, perched on the Dnieper River in Kherson province, was blown up on June 6, draining the Kakhovka’s reservoir into the river and over its banks. Surrounding lands, homes, and infrastructure were deluged with poisonous runoff, forcing thousands of residents to flee. Russia and Ukraine have both suffered serious damage; both nations claim different regions within Kherson province, and Kakhovka lies under Russian control. The military front lines have devolved into muck, and the livelihoods of both Russians and Ukrainians are at risk. Really, the attack—which one former Ukrainian minister of ecology claimed might be the country’s “worst ecological disaster since Chernobyl”—won’t affect the war as much as it will hurt both countries for years to come, and the rest of the world with them.It’s already bad. As water drained from the dam and flooded a 50-mile stretch of the Dnieper, Ukrainian territory along the western banks was swallowed up wholesale—farms, gas stations, land mines, armories, factories, houses, railroad tracks, forests. As the Dnieper River rose to dangerous heights, residents and government officials reported sickening sights across Kherson province. The floodwaters bore “pesticides, chemicals, oil, dead animals and fish,” and even detritus from graveyards, one Ukrainian told the New York Times; President Volodymyr Zelensky informed environmental activists that the runoff bore “sewage, oil, chemicals,” and maybe even toxic materials from “at least two anthrax burial places” located in the region. In a national zoo within the southern Ukrainian city of Nova Kakhovka, which is under Russian control, thousands of animals drowned. About 14 human deaths have been recorded, with dozens more missing and up to 100,000 at risk of displacement.Unlike its opponent, the climate-minded Ukrainian government has brought ample attention to Kakhovka’s environmental and energy implications over the past week. The country’s officials have pointed out that the dam—one of the world’s largest—once served as both a major hydropower generator and a source of cooling water for the upstream Zaporizhzhia Nuclear Power Plant. The explosion won’t have a near-term effect on electricity supply; both the hydro and nuclear facilities were overtaken by Russian forces in the early stages of the 2022 invasion, and subsequently decoupled from Ukraine’s grid. The far bigger concern, then, is with Kakhovka’s water discharges. Its reservoir, which isdraining up to four cubic feet of water each day, is already at only a quarter of its pre-blast capacity. Concerns abound that as Zaporizhzhia draws from its water reserves to cool itself over the coming months, it may eventually run out of backup sources of water as well as skilled human laborers—which would cause a nightmarish meltdown in the area. There’s also the matter of the debris the Kakhovka’s water has splashed across Eastern Europe—and the runoff that will inevitably flow to the Dnieper’s entry point into the Black Sea. Zelensky announced last week that because Kakhovka’s hydroelectricity turbines are now underwater, about 150 tons of themachine oils used for the plant’s engines have been washed away, polluting the floodwaters even before they traveled across Kherson. (There are 300 more tons of lubricants remaining in the plant that could yet be spilled, which would be horrific for the wildlife in the Black Sea, now rapidly transforming into a “garbage dump and animal cemetery” in the Ukraine government’s words.) These waters have drenched more than 125,000 acres of forest, Zelensky said, and tens of thousands of birds and other animals may die as a result. His government’s agriculture ministry further noted that 25,000 acres of Ukrainian-controlled farmland were crushed by the water, and that Russia-occupied agricultural plains suffered even more; crops and livestock from both sides have been swept away from their homes. Freshwater fish that depended on the Kakhovka reservoir have washed away as well, and it’s likely they’ll die once they hit the saltwater-heavy Black Sea. At this point, little in Ukraine has been spared: not the national parks, not the shellfish or aquatic plants, not the planting soil that’s being salinated by the floods, not the endangered mammals that depend on the Dnieper. The Ukrainian Nature Conservation Group warns that the fallow lands left behind from the disaster may soon be overrun with invasive species. Ukraine’s agriculture ministry estimates that about 1.2 million farming acres will have to cease production, and that the reservoir will need to be rewilded in order to prevent it from turning into poisonous dust (this being the result of the farming pesticides that ran off from croplands to collect at the very bottom of the reservoir). This could halt the growth of up to $1.5 billion worth of grain and oil seeds, the ministry added.
Series of eruptions at Anak Krakatau, Indonesia - Anak Krakatau, the infamous volcano situated between the islands of Java and Sumatra, has experienced a series of significant eruptions since June 6, 2023. The Indonesian volcano, known as the “Child of Krakatau,” is located in the crater formed by the devastating eruption of Mount Krakatau in 1883, one of the deadliest and most destructive in recorded history. According to the Pusat Vulkanologi dan Mitigasi Bencana Geologi (PVMBG), the first eruption in this series took place on June 6, at 07:34 UTC, sending a plume of ash ±500 m (±1 640 feet) high above the peak, reaching an altitude of ±657 m (±2 155 feet) above sea level. Subsequent eruptions occurred on June 8, with the second and the most impactful sending a column of ash ±1 000 m (±3 281 feet) high.1 By June 9, the activity escalated further, culminating in an eruption that sent a column of thick gray to black ash ±3 000 m (±9 842 feet) into the sky, nearly 3 157 m (±10 357 feet) a.s.l. over the strait separating Java and Sumatra. The eruptions continued into June 10, with the most substantial of these expelling an ash column ±3 500 m (±11 483 feet) high, reaching ±3 657 m (±11 998 feet) a.s.l. The most recent eruption, as of June 11, sent ash ±2 000 m (±6 562 feet) high. Deny Mardiono, an official from the Krakatau monitoring station, warned the public to refrain from any activities within a 5 km (3.1-mile) radius of the volcano’s crater. Following a sharp increase in volcanic activity in 2022, the status of Anak Krakatau was raised to the second-highest warning level.2 Recalling the 2018 incident, a major eruption caused the volcano’s crater to partly collapse, triggering a tsunami that led to the tragic loss of over 400 lives and injured thousands. Anak Krakatau satellite view on June 11 2023 sentinel-2 Anak Krakatau on June 11, 2023. Credit: Copernicus-EU/Sentinel-2, The Watchers
Lava starts flowing from the summit crater of Mayon volcano, Philippines - (5 hour video) After increased unrest detected since June 5, the activity at Mayon volcano in the Philippines increased further on June 11 with lava flowing from the summit crater. According to the Philippine Institute of Volcanology and Seismology (PHIVOLCS), the lava flow commenced at 11:47 UTC (19:47 LT) on June 11. At around 19:00 UTC, the flows emplaced within 500 m (1 640 feet) of the Bonga and Miisi Gullies. The alert status of Mayon Volcano was raised to Alert Level 2 (Increasing Unrest) on June 5, 2023, following a sharp increase in the incidence of rockfall from its summit lava dome from an average of 5 events/day in May 2023 to 49 events/day on June 5, 2023. Pronounced increases in rockfall signify the extrusion of new lava beneath the summit lava dome, destabilizing the dome and causing its spalling or collapse, the PHIVOLCS said. Rockfall activity increased while volcanic earthquake activity was absent to sparse, SO2 emissions were at background or baseline levels and short-term ground deformation consisted mainly of swelling of the middle to upper slopes of the edifice. The extremely slow growth of Mayon’s lava dome was first detected by visual monitoring on August 20, 2022, warranting the raise to Alert Level 2 on October 7, 2022, which was lowered to Alert Level 1 on March 16, 2023. Between August 2022 and May 2023, the summit lava dome grew by approximately 164 000 m3. Days of increased incidence and volume of rockfall based on seismic records were followed by the generation of short pyroclastic density currents (PDCs) during the morning hours (LT) of June 8. The PDCs were emplaced on the Bonga (Legaspi City), Miisi (Daraga), and Basud (Sto. Domingo) Gullies as far as 2 km (1.2 miles) from the summit crater. This indicated that new, less degassed lava was already being spalled from the summit dome and that eruption of very slowly extruding magma had slightly increased. Alert Level 3 (Increased Tendency Towards Hazardous Eruption) was raised at 12:00 LT on June 8. In the evening thereof, incandescent rockfall generated by the intermittent collapse of an apparent fluidal lava portion of the summit dome was deposited on the above gullies within 1 km (6.2 miles) of the crater. A new summit dome impinging a remnant on the southeast crater floor was observed in the early morning of June 10. As a result of increased activity at the volcano, Albay province was placed in a state of calamity on June 9. On June 10, President Ferdinand R. Marcos Jr. said government funds and food packs are available for those who will be affected by the possible eruption. “Residents who are within the 6 km (3.7 miles) radius permanent danger zone [nearly 17 000] are being evacuated,” Marcos said and urged affected residents to heed the instructions and directives of their local government officials to ensure their safety. Data from the Albay Public Safety Emergency Management Office showed 4 390 families or 16 823 individuals from nine municipalities namely, Camalig, Daraga, Guinobatan, Ligao City, Malilipot, Tabaco City, Sto. Domingo, Bacacay and Legazpi City, are affected. Another 40 000 individuals are set to be evacuated from the 7 km (4.3 miles) extended danger zone if Mayon’s status is escalated to Alert Level 4.
Asteroid 2023 LM1 to fly past Earth at 0.28 LD -- A newly-discovered asteroid designated 2023 LM1 will fly past Earth at a distance of 0.28 LD / 0.00074 AU (110 444 km / 68 627 miles) at 22:41 UTC on June 15, 2023. This is the 42nd known asteroid to fly past Earth within 1 lunar distance and the 5th so far this month. 2023 LM1 was first observed at Mt. Lemmon Survey, Arizona on June 14, one day before its close approach. The object belongs to the Apollo group of asteroids and has an estimated diameter between 5.5 and 12 m (18 – 39.4 feet).
Global greenhouse gas emissions at all-time high, study finds -- Greenhouse gas emissions have reached an all-time high, threatening to push the world into “unprecedented” levels of global heating, scientists have warned.The world is rapidly running out of “carbon budget”, the amount of carbon dioxide that can be poured into the atmosphere if we are to stay within the vital threshold of 1.5C above pre-industrial temperatures, according to a study published in the journal Earth System Science Data on Thursday.Only about 250bn tonnes of carbon dioxide can now be emitted, to avoid the accumulation of CO2 in the atmosphere that would raise temperatures by 1.5C. That is down from 500bn tonnes just a few years ago, and at current annual rates of greenhouse gas emissions, of about 54bn tonnes a year over the past decade, it would run out well before the end of this decade. Prof Piers Forster, the lead author of the paper, said: “This is the critical decade for climate change. Decisions made now will have an impact on how much temperatures will rise and the degree and severity of impacts we will see as a result.” He said the rate of annual increase in emissions had slowed down, but far stronger action was needed. “We need to change policy and approaches in light of the latest evidence about the state of the climate system. Time is no longer on our side,” he said. Governments are meeting in Bonn to prepare for a major UN summit on the climate, Cop28, this November in the United Arab Emirates. Cop28 is seen as one of the last opportunities for the world to get on track to meet the goals of the 2015 Paris climate agreement, and stay within 1.5C. Sultan Al Jaber, the president-designate of Cop28, will arrive at Bonn on Thursday, under pressure to produce a plan for the talks that will achieve the “course correction” he has called for. While heading the talks, Al Jaber has retained his role as head of UAE’s national oil company, Adnoc, which is planning to increase its oil and gas production capacity. Al Jaber has previously told the Guardian that his dual role is a benefit to the talks, as he will bring a “business mindset” and galvanise the private sector. Campaigners remain unconvinced, however, and are planning a protest in Bonn on Thursday against the perceived conflict of interest in Al Jaber’s role. The Intergovernmental Panel on Climate Change calculated in 2018 that the world must nearly halve greenhouse gas emissions by 2030, compared with 2010 levels, in order to stay within the 1.5C threshold, and reach net zero emissions by 2050. But that calculation rested on an assumption that the world would reduce emissions by about 7% a year during the 2020s. As emissions have continued to rise, the annual rate of decline for emissions will now have to be much steeper to stay within the 1.5C limit.
Human-Caused Warming to Surpass Paris Agreement Limit by 2037, Analysis Finds - -- Human-caused global warming is set to surpass 2.7° Fahrenheit (1.5° Celsius) by the year 2037, overshooting an international goal beyond which severe climate disruptions may become the norm, according to a new analysis from 50 climate scientists. “This is unprecedented in anything we have seen historically,” said Piers Forster, a professor at the University of Leeds and an author on the paper. Forster has also authored multiple climate reports with the Intergovernmental Panel on Climate Change (IPCC), widely regarded as the international authority on climate science. The 2016 Paris Agreement, which has been signed by nearly every country in the world, set an international goal to halt warming at 2.7° Fahrenheit. Beyond this point, scientists believe the effects of climate change will escalate, with widespread die-offs of coral reefs, common extreme heat waves, and destructive flooding of coastal cities. The study found that the global increase in temperatures has reached 2.05° Fahrenheit over the past decade. The planet is also warming increasingly faster, with temperatures rising by an unprecedented 0.36° Fahrenheit since 2013, according to the new paper, published today in the journal Earth Systems Science Data. “This is the critical decade for climate change,” said Forster in a statement. “Decisions made now will have an impact on how much temperatures will rise and the degree and severity of impacts we will see as a result.” The scientists’ analysis also gives an update on humanity’s remaining carbon budget — the amount of greenhouse gas emissions humans can still emit to stay under the 2.7° Fahrenheit limit. According to the paper, the remaining carbon budget has halved since the IPCC calculated it in 2020. Now, humans have just 250 gigatonnes of carbon dioxide left to emit, compared with the 500 gigatonnes available just three years ago — meaning ‘business as usual’ activities are expected to exhaust the carbon budget by 2029. “If we don’t want to see the [IPCC] goal disappearing in our rearview mirror, the world must work much harder and urgently at bringing emissions down,” Forster said in a statement. Greenhouse gas emissions reached an all-time high over the last decade. In 2021, emissions rose to over 54 gigatonnes of carbon dioxide. The remaining carbon budget is “very small” in the context of humanity’s yearly emissions,
This Is Why Nobody Will Do Anything Until It's Too Late --OK, I get it: we all like Hollywood endings: the superhero saves the world, the evil conspiracy is uncovered and the villains get their just desserts and the impossible romance overcomes all the odds. This is why there are Hollywood endings: we are hard-wired to thrill to happy endings and a successful conclusion to the Hero's / Heroine's Journey.We will tolerate a Tragic Hero / Heroine or the occasional Anti-Hero / Heroine, but there is still a moral victory of some sort to cheer. The real world doesn't follow a storyline, it operates according to the dictates of systems: inputs are taken up by processes which then generate outputs. If the outputs and processes don't change, the outputs don't change either.One prevalent manifestation of human hubris is the idea that getting someone to agree with us about something or other is some sort of victory, as if human opinions matter. They don't, unless they change either inputs or processes in extremely consequential ways. Tweaking inputs or policies might make us feel warm and fuzzy ("I'm part of the solution!") but they are too modest to change the system's inputs and processes. The net result is the outputs remain the same. Put another way: labeling something or other a hoax or an existential threat doesn't change anything in the systems that generate consequences. Whatever is going to happen as output is going to happen regardless of what humans label it or their opinions about it ("El Nino really sucks!"). Existing processes constrain our choices. This is why it's difficult to be an environmentally-sustainable saint. Let's say we're concerned about climate change and the destruction of the planet's biosphere. Let's say we want to lower our carbon footprint and "do the right things" to reduce the negative impact of our consumption and lifestyle. This is where we substitute Hollywood endings for reality. We like to think that recycling matters. Sorry, it really doesn't change the inputs or processes enough to change the outputs in any consequential way. For example, the percentage of lithium batteries and electronic waste that are currently recycled is near-zero because the batteries and electronics aren't manufactured to be recycled in a cost-effective manner, and nobody in the system pays for costly recycling. So the really important recycling isn't being done. The system isn't set up to measure total lifecycle costs and resource consumption of goods, services and processes, and since we only manage what we measure, we're flying blind: the system is set up to measure "growth" (GDP) and profits, not total lifecycle costs and resource consumption. Sorry, there's no Hollywood ending until we change the inputs (stop manufacturing lithium batteries) and/or the processes (require 99% recycling of all electronics, batteries, vehicles, etc.). This will require changing the entire manufacturing and resource supply chain systems from the ground up, globally. If we don't do that, the output can't possibly change in any consequential way. The Hollywood ending is electric vehicles will "save the planet." Too bad this is Hollywood, not reality. Most of the consumption of resources and damage to the planet occur in the mining, smelting and manufacture of the vehicle, regardless of its fuel. Due to their massive consumption of minerals, electric vehicles consume far more of the planet's resources than an ICE (internal combustion engine) vehicle. All vehicles are manufactured (mining, smelting, transport, factories, etc.) with hydrocarbons. There's no difference between vehicles except electric vehicles use even more hydrocarbons in their fabrication.Then there's the source of the fuel. An electric vehicle manufactured by burning coal and charged with electricity generated by burning coal is in fact a coal-burning vehicle. Calling it "electric" fits the happy story, but it's not actually factual: a coal-burning vehicle is an environmental disaster, regardless of labels, our opinions or the happy-ending PR.In the real world, the least destructive choice of vehicle is a small, light, old ICE vehicle that is well-maintained to conserve fuel and driven only rarely. Hey, look at me, I only drove my old 40-mile-per-gallon Civic 3,000 miles last year--I'm a saint! Electric aircraft won't "save the world," either. They're resource-hungry, small, slow, their range is modest and their batteries are no more recyclable or long-lasting than all the vehicle batteries destined for the landfill. And alternative fuels for jet aircraft are incapable of being produced at the scale necessary to replace jet fuel. Sorry, no Hollywood ending. To really reduce one's consumption of the planet's resources, we would have to grow our own food, get around on our own feet or zero-fuel transport (motorless bicycle or skateboard or boat) and not buy / own / use large resource-consuming devices such as vehicles, aircraft, etc. The system as currently configured makes it nearly impossible to do this.
'Super emitter': U.S. in talks to reduce methane bursts in Turkmenistan - Turkmenistan has a devilish methane problem. The energy-rich nation in central Asia has earned attention for a giant gas crater that’s been burning for decades, known as the Gates of Hell, because the flaming pit is more than 60 feet deep. The plumes of gas rising from the crater are eclipsed by the methane leaking from Turkmenistan’s oil and gas fields. Those leaks amount to some of the world’s biggest sources of methane, according to recent satellite data that identified more than 800 “ultra emitters” in the country. That has caught the attention of the Biden administration, which is in talks with Turkmenistan officials to help the nation find large methane leaks and plug them, according to a senior State Department official who was granted anonymity to speak about a diplomatic issue. The talks come after dozens of nations worldwide agreed in 2021 to reduce methane emissions at least 30 percent by 2030, and Turkmenistan is an early test of the international will to stem planet-warming gases in countries that are largely isolated from Western influence. The problem has come to light thanks to new satellite data that has exposed what are known as “super” or “ultra” emitters of methane. Kayrros, a climate tech firm that uses satellites to measure greenhouse gas levels, has detected 840 ultra emitters in Turkmenistan since the start of 2019. The Gates of Hell is not among them. Data Kayrros provided to E&E News shows that two major oil-and-gas-producing regions in the country released more than 360 million metric tons of carbon dioxide equivalent in 2022. That’s roughly equal to all of France’s emissions. Altogether, the amount of methane spewing from Turkmenistan’s super emitters is on par with Mexico’s methane emissions from its oil and gas sector, according to calculations from the International Energy Agency (IEA). Those findings have captivated scientists, international organizations and governments, including that of the United States, which sees those giant leaks as a potential opportunity. Bloomberg first reported on the talks with Turkmenistan.
Youth go to trial in a test of state's obligation to protect Montana residents from warming - (AP) — Youth plaintiffs said warming temperatures were harming their health and threatening their futures as a closely-watched climate trial kicked off Monday in Montana. But a lawyer for the fossil fuel-friendly state argued its emissions were “minuscule” on a global scale and that eliminating them would have little impact. The case over state government obligations to protect people against worsening climate change is the first of dozens of similar lawsuits to reach trial. It’s scheduled to last two weeks. The 16 young plaintiffs — supported by a parade of leading climate experts -- are trying to persuade state District Judge Kathy Seeley that the state’s allegiance to fossil fuel development endangers their health and livelihoods and those of future generations. Plaintiffs attorney Roger Sullivan said in opening arguments that his clients and their families already were suffering health problems and economic losses as climate change dries up rivers and worsens wildfires. He said Montana has a obligation to protect to protect residents from climate change under its unusually protective state constitution. “The state has approved numerous large fossil fuel related permits that are responsible for enormous quantities of greenhouse gas emissions,” Sullivan said. “Every ton of CO2 we keep out of the air matters.” Montana Assistant Attorney General Michael Russell said in response that the state had little control over global emissions. He also said the harms alleged by the young plaintiffs could not be traced to specific actions by state officials. “Montana’s emissions are simply too minuscule to make any difference and climate change is a global issue that effectively relegates Montana’s role to that of a spectator,” Russell said.
Youth environmentalists bring Montana climate case to trial after 12 years, seeking to set precedent (AP) — Whether a constitutional right to a healthy, livable climate is protected by state law is at the center of a lawsuit going to trial Monday in Montana, where 16 young plaintiffs and their attorneys hope to set an important legal precedent. It’s the first trial of its kind in the U.S., and legal scholars around the world are following its potential addition to the small number of rulings that have established a government duty to protect citizens from climate change. The trial comes shortly after the state’s Republican-dominated Legislature passed measures favoring the fossil fuel industry by stifling local government efforts to encourage renewable energy while increasing the cost to challenge oil, gas and coal projects in court. The plaintiffs’ youth has little direct bearing on the legal issues, and experts say the case likely won’t lead to immediate policy changes in fossil fuel-friendly Montana. But over two weeks of testimony, attorneys for the plaintiffs plan to call out state officials for pursuing oil, gas and coal development in hopes of sending a powerful message to other states. Plaintiff Grace Gibson-Snyder, 19, said she’s felt the impacts of the heating planet acutely as wildfires regularly shroud her hometown of Missoula in dangerous smoke and as water levels drop in area rivers. “We’ve seen repeatedly over the last few years what the Montana state Legislature is choosing,” Gibson-Snyder said. “They are choosing fossil fuel development. They are choosing corporations over the needs of their citizens.” In high school, Gibson-Snyder was an environmental activist who was too young to vote when she signed on as a plaintiff. The other young plaintiffs include members of Native American tribes, a ranching family dependent on reliable water supplies and people with health conditions, such as asthma, that put them at increased risk during wildfires. Some plaintiffs and experts will point to farmers whose margins have been squeezed by drought and extreme weather events like last year’s destructive floods in Yellowstone National Park as further evidence that residents have been denied the clean environment guaranteed under Montana’s Constitution. Experts for the state are expected to downplay the impacts of climate change and what one of them described as Montana’s “miniscule” contributions to global greenhouse gas emissions.
Montana's pro-environment Constitution goes on trial - Montana’s decision to give the environment a prime perch in its constitution has long served as a model for other states. A landmark trial this week is poised to test the boundaries of the Treasure State’s promises to protect its citizens. Environmental activists in other parts of the country said they will be paying close attention to the climate case that begins Monday in Montana court. During the trial — the first of its kind in the United States — 16 young people will argue that state officials are violating the Montana Constitution’s right to a “clean and healthful environment” by ignoring climate change and approving fossil fuel development.That constitutional guarantee may have boosted Montana’s climate case after other similar youth-led lawsuits have stumbled. “We’ve seen youth bringing cases, but they often have lost at the early stages,” said Delaware Riverkeeper Maya van Rossum. “In Montana, I felt confident that this case would play out differently because Montana has this powerful, constitutional green amendment language.” Enacted in 1972 amid a national wave of environmental awareness, Montana’s Constitution puts the right to a “clean and healthful environment” at the top of the document — ahead of freedom of religion and speech. For years, Montana law has been the inspiration for van Rossum, who used similar language in Pennsylvania’s Constitution — enacted one year before Montana’s — to topple a 2012 Keystone State law designed to boost natural gas drilling. “A lot of state constitutions talk about environmental rights and environmental protection, but beyond Pennsylvania, there was only one other state to lift up environmental rights so they were on par with other fundamental rights,” said van Rossum, who founded Green Amendments for the Generations to advance similar constitutional language across the country. Van Rossum argued successfully before the Pennsylvania Supreme Court in 2013 that parts of the state’s fracking law violated the state constitution, which requires Pennsylvania to “conserve and maintain” public resources “for the benefit of all the people.” After her court win, van Rossum said she began studying state constitutions across the country and found only Montana could match Pennsylvania’s environmental guarantees. “I decided that had to change and we needed that kind of amendment in every state across our nation,” she said. “We could not have defeated [Pennsylvania’s fracking law] without this higher constitutional power.”
White House sets fast pace for energy, climate rules -The Interior and Energy departments will spend the coming months trying to cement some of the White House’s critical energy ambitions, ahead of an election year in which Republicans are likely to attack President Joe Biden’s focus on boosting renewables and cutting planet-warming emissions.In the semiannual Unified Agenda— released Tuesday — the Biden administration outlines a packed energy policy agenda in the second half of 2023 and early 2024, targeting the natural gas sector with regulations on gas stoves and methane emissions. Federal regulators will also turn their attention to a flurry of other areas, including transmission, heat pumps and protections for the public lands in Alaska, where the White House recently green-lighted a massive oil project. The Department of Energy is aiming to finalize a regulation on gas stoves by January 2025. The proposed rule, released earlier this year, sets standards for energy efficiency levels rather than emissions — and could prohibit sales of roughly half the current gas stove models on the market.The proposal continues to fuel a firestorm on Capitol Hill. Later this week, House Republicans are set to pass a bill that would block the DOE regulation and “any substantially similar rule.” And on Tuesday, 29 House Democrats joined Republicans to pass legislation that would ban a separate agency, the Consumer Product Safety Commission, from implementing gas stove regulations. Neither bill is likely to pass the Democratic-controlled Senate.Meanwhile, the Biden administration is sparking anger among environmental groups after a series of approvals of major fossil fuel projects, most notably the Willow oil project on the North Slope of Alaska. Some environmentalists and political experts say the moves could dampen turnout among progressives at the polls next year.
'Betrayal': EPA power plant proposal faces backlash - EPA’s new proposal to cut carbon pollution from power plants relies on two technologies that are broadly opposed by environmental justice advocates.Champions for poor, Black and brown communities that have lived for decades with polluting infrastructure are angry that the Biden administration would propose retrofitting fossil fuel plants with carbon capture and storage (CCS) or hydrogen capacities instead of just shutting them down. They say the EPA proposal runs counter to the Biden administration’s emphasis on environmental equity.“I think it’s really a betrayal of a lot of the promises that the Biden administration has made to keep our communities whole and to repair some of the harms from the past,” said Juan Jhong-Chung, climate justice director at the Michigan Environmental Justice Coalition.“We know that CCS and hydrogen will extend the life of some coal and gas plants, and that’s actually going to harm many communities,” he added. “So yeah, it was really disappointing to hear that those two technologies are being suggested as possible paths for power plants to decarbonize.”EPA’s proposal for new and existing natural gas- and coal-fired power plants don’t mandate CCS or hydrogen co-firing as the way coal and gas plants would reduce emissions. Rather, the rule stipulates that plants that remain on the grid long term meet emissions limits that are consistent with those technologies. The standard applies to all coal plants and to the biggest natural gas plants.In broad strokes, EPA’s draft regulations give power plant owners a choice: They can retrofit their fossil fuels fleet, or they can retire it. The proposal — which EPA is taking comment on through July 24 — allows more than a decade for units to retrofit or exit the grid. EPA’s supporting documents show it’s betting the overwhelming majority will choose the latter option. But the proposal is expected to spur a marginal increase in deployment of coal with CCS and gas plants burning hydrogen.Sikowis Nobiss, executive director of the Great Plains Action Society, an Indigenous environmental justice group active in Iowa and Nebraska that opposes both coal-fired power and carbon dioxide pipeline construction, said the rule could make things harder for front-line communities.“This could just prolong these plants that we’re trying to get shut down,” she said. “I guess it’s just like a ‘wait and see what’s going to happen.’ And that honestly feels a little defeating.”
More companies setting 'net-zero' climate targets, but few have credible plans, report says (AP) — A growing number of companies are pledging to cut their greenhouse gas emissions to ” net zero ” as part of global efforts to tackle climate change, but that goal is rarely supported by a credible plan, according to a report published Monday.The idea behind net zero is to stop adding planet-warming gas to the atmosphere, either by preventing the emissions in the first place or removing an equivalent amount through natural or technological means. Scientists say the world needs to reach net-zero emissions by 2050 to limit global warming to 1.5 degrees Celsius (2.7 degrees Fahrenheit) compared with pre-industrial times.The net-zero goal has gained traction in recent years. While 149 countries have such targets, up from 124 in late 2020, the number of publicly listed corporations aiming for net zero increased from 417 to 929, according to the Net Zero Stocktake report compiled by experts from four independent research organizations. "You can see cities talking about net zero, companies talking about net zero. And if you go to supermarkets, you see climate-neutral or carbon-neutral products,” Takeshi Kuramochi, one of the report’s authors, said. “But then you don’t know what exactly they mean and whether they’re really contributing to this transition to global net-zero emissions.” Unlike with national targets, the criteria for net-zero efforts at the sub-national or company level aren’t clearly defined.The authors decided to apply a basic checklist to corporate claims, based on a United Nations campaign called Race to Zero. This includes setting interim targets and covering all the emissions a company is responsible for, including those caused by the use of its products.Less than 5% of the companies examined passed the test, said Kuramochi, a senior climate policy researcher at the Germany-based NewClimate Institute. Questionable claims about their environmental efforts have landed a number of companies in hot water recently, with fossil fuel firms in particular accused of greenwashing by excluding some of the emissions caused by their business — particularly the burning of oil and gas by consumers — from their tally.
Survey finds just 1 US utility has 'detailed' plan for reaching net-zero by 2050 - S&P Global Market Intelligence -While all major US electric utilities and 17 of the 31 largest fossil fuel companies have now set net-zero emissions targets, many have goals that lack credibility, a new survey says.In addition, the analysis found that only one of the 15 largest US power companies included in the 2023 edition of the Net Zero Tracker's analysis, Duke Energy Corp., has developed a credible "detailed plan" for how to get to net zero.The group defined such a plan as one that is publicly available and sets progression milestones, measures all emission categories covered by reduction targets, disseminates timely information about those reductions, specifies the means to cut emissions, and regularly reviews mitigation measures and their effect on emissions.The Net Zero Tracker report is a collaboration between Oxford University, the Data-Driven EnviroLab at the University of North Carolina-Chapel Hill, the NewClimate Institute in Germany and the UK nonprofit Energy & Climate Intelligence Unit.In all, 4,075 companies across all major economic sectors and governments are included in the global survey released June 12 at the Bonn Climate Change Conference."Corporate targets have increased but we need to see more robustness of those targets, particularly for fossil fuel companies where targets have become widespread but [not] aligned to a 1.5-degree transition," Thomas Hale, an associate professor at Oxford University and a co-author of the report, said during a press conference to discuss the findings. "There's a huge need for those who haven't yet gotten on the journey to begin that path."
Neighbor dispute risks souring a Connecticut community on solar energy --Dana Van Steenburgh wasn’t instantly opposed when the Verogy solar company proposed a 4.9-megawatt project on open farmland directly across from his brand new home in East Windsor, Connecticut. He participated in an informational online session hosted by the developer and asked a lot of questions. In the end, “I felt like they were going to be good neighbors,” Van Steenburgh, 68, said. But when the 29-acre project on East Road went into operation in late 2021, Van Steenburgh immediately heard a constant ringing in the air from electrical equipment at the site. What he describes as an “annoying high-pitched tone,” audible whenever it was sunny, followed him into his front and back yards. His next-door neighbor Josh Bergendahl, 33, was bothered as well by what he describes as a “high-pitched fan noise.” “As soon as the sun comes up until it goes down,” Bergendahl said. “When I had friends come over to my house, they would say, ‘How can they think that’s acceptable?’” Eighteen months later, the noise persists, despite numerous complaints from neighbors and the efforts of local elected officials to get the matter resolved. Adding to neighbors’ annoyance, the dozens of arborvitae planted by the developer to help shield the solar panels from public view — a requirement for the project’s approval — have mostly turned brown and died. The project, East Windsor Solar One, reveals the limits of what state and local officials can do if problems arise with solar farms once they are in place. The Connecticut Siting Council sets the conditions for their approval, and those conditions are enforceable. But this case fell into what appears to be a gray area. “Technically, the noise at the site is not over the allowed decibel level, but it’s still a true nuisance,” said Rep. Jaime Foster (D-Ellington, East Windsor), who hears the “buzzing” when she passes the site while out running. While the dispute doesn’t appear to represent a broader problem — experts say noise issues can be easily mitigated through project design — it does threaten to become an albatross for the industry in an area where elected officials say they are being asked to bear more than their fair share of solar development.
Biden administration rule would cut fees for renewable development on public lands --The Biden administration on Thursday announced a proposed new rule that would aim to speed the development of renewable energy on public lands.The proposed rule would cut fees for solar and wind development on public lands by 80 percent, according to an announcement by the Bureau of Land Management (BLM).The Bureau also updated its environmental review for its plans for solar development in 11 Western states, planning to identify new areas for potential solar development, as well as lands excluded from development and those that may be suitable for development through a variance process.The proposal is open for comment for 60 days, during which the Bureau will host three public meetings.“The Department of the Interior takes seriously our responsibility to manage the nation’s public lands responsibly and with an eye toward the increasing impacts of the climate crisis. The power and potential of the clean energy future is an undeniable and critical part of that work,” said Laura Daniel-Davis, principal deputy assistant secretary for Land and Minerals Management, in a statement. “Under President Biden and Secretary [Deb] Haaland’s leadership, this Administration is taking an all-hands-on-deck approach toward ambitious clean energy goals that will support families, boost local economies, and help increase climate resilience in communities across the West.”
Solar Costs to Disrupt Global Energy Markets: Think-Tank -Costs for solar energy will halve before 2030, accelerating disruption in global energy markets while driving the energy transition, according to a new study by Climate Energy Finance (CEF), an Australia-based think tank. In its “Solar Pivot” report, CEF forecasts record solar installation in 2023, with growth of 30 to 50 percent year over year. Total solar installation could reach 1,000 gigawatts (GW) per year by 2030, riding on the “dramatic expansion” of solar module supply chains globally and a return to solar cost deflation over the rest of this decade, the report said. CEF said that the International Energy Agency (IEA) has “consistently underestimated the rate of solar deployments, the massive deflation of solar generation costs, and accordingly the disruption of the global fossil fuel industry”. The “IEA World Energy Outlook 2022” report estimated 462 GW of annual solar installs to 2030 under its Net Zero by 2050 scenario. CEF projects that “there is likely to be manufacturing capacity for world installs of double this [number]”. Investments in solar energy are “booming”, and the trend is accelerating in 2023, according to the report. For an increasing number of global markets, solar is the lowest cost source of new electricity generation, even without a price on carbon emissions, the report said. Meanwhile, prices of polysilicon, a key raw material in solar modules, dropped two-thirds since December 2022 to just $11 per kilogram in June 2023, causing solar module prices to dip by a third from 2021 to 18 cents per watt in May 2023, the CEF report said. Global freight costs have also declined more than 80 percent since the peak at the end of 2021. CEF expects solar electricity costs to further drop 10 percent annually this decade, halving by 2030.
The EV Charging Challenge: U.S. Needs A Million More Stations By 2030 -- EV and EV battery demand continue to outpace the infrastructure necessary to keep them charged. For instance, only 6% of charging stations lie along the interstate highway system, the center of the national road network. Moreover, around 8% of the U.S. population lives more than 10 kilometers away from a public charging station. To reduce this percentage to less than 5% would require an additional 1,185 stations while reducing it to zero would require around 5,000 more. Of course, connecting all of these charging stations to renewable energy sources as some suggest would also be a monumental undertaking. To accommodate the demand for electric cars, experts project that more than a million new public EV charging stations will be required in the U.S. by 2030. According to a recent S&P Global Mobility assessment, the U.S. must triple its charging infrastructure by 2025, an x8 increase over the country’s current charging capacities. Both cobalt and silicon prices face bearish pressure due to oversupply. Though the price of silicon seems temporarily stable, some traders and experts remain pessimistic. Meanwhile, cobalt prices remain close to historically low levels without much price movement. One cause for the cobalt overstock is a rise in output from the Democratic Republic of the Congo, the world’s largest producer. This production increase is the main factor behind the market’s cobalt glut as well as plummeting prices. Likewise, the current silicon overstock is also the result of increased manufacturing capacity causing an excess of supply. This is especially true within China, where the over-availability of cobalt and silicon continues to impact global prices. Month-on-month, the GOES MMI dropped by 4.23%. The index suffered its lowest drop since December of 2022. Grain-oriented electrical steel is becoming increasingly difficult to find and source. One of the primary factors is rising demand in the power sector, which continues to leave GOES in short supply. Another problem is the difficulty of manufacturing grain-oriented electrical steel. Indeed, the process necessitates a high degree of metallurgical understanding and skill. This means there are fewer qualified candidates for these jobs, and salary expectations are higher due to it being such a specialized field.The shortage is significant because it impacts the ability to ensure universal access to affordable, reliable, and modern energy services. To some, the scarcity of transformers is one of the top problems for public utilities nationwide. Earlier this year, about 80% of American Public Power Association members reported having less equipment on hand than in 2018. That was before the pandemic disrupted supply chains and before the latest rise in demand for renewable energy sources. With hurricane season coming and summer storms beginning to fire up across the Midwest, the problem of too few transformers and too little grain-oriented electrical steel comes at worse time.One solution to the problem is to increase domestic output. After all, the U.S. can improve its ability to produce GOES by developing and constructing new construction stations. Furthermore, the United States can engage in research and development to increase the efficiency of grain-oriented electrical steel manufacturing. This takes place through the development of innovative technologies and procedures that minimize energy usage and waste. Finally, the U.S. might consider purchasing grain-oriented electrical steel from other countries. However, this technique may not prove viable in the long run due to the danger of supply chain interruptions and trade conflicts.
‘Recipe for chaos’: FERC’s Clements blasts agency decision to approve PJM capacity auction delays -- The Federal Energy Regulatory Commission on Friday approved the PJM Interconnection’s plan to delay upcoming capacity auctions so it can incorporate potential market reforms into them. The agency ordered PJM to set firm dates for the auctions based on an “illustrative” schedule included in its proposal. Under that schedule, the next auction would be moved from June 14 to June 2024. The following three auctions would be held at six-month intervals. The decision is a “recipe for chaos,” according to FERC Commissioner Allison Clements, who dissented from the majority. “The commission’s response to PJM’s inadequately justified filing may tempt market operators and utilities across the country to alter deadlines whenever they develop a potentially significant filing,” she said. “Such requests for delay, in turn, will inevitably create immense uncertainty.” PJM in February started a fast-track stakeholder process to reform its capacity market following widespread power plant outages during Winter Storm Elliott and concerns the market may not be maintaining enough resources. The grid operator aims to propose a reform package by Oct. 1 at FERC.In April, it asked FERC to approve delays to capacity auctions to apply rules to them that emerge from the reform process.PJM usually holds annual capacity auctions to make sure it has enough generating and other resources to meet its power needs three years in the future. Action at FERC around “minimum offer price rules” and court decisions related to the market have led to delays in recent years.The scope and magnitude of potential capacity market reforms justify the delays, according to FERC.“The reforms contemplated in PJM’s stakeholder process mean that market participants would be participating in auctions in the face of significant uncertainty regarding critical rules governing their capacity supply obligations,” FERC said.FERC acknowledged concerns raised by the Organization of PJM States, American Municipal Power and Old Dominion Electric Cooperative that auction delays could increase uncertainty for market participants, interfere with market signals and disrupt procurements in states with retail choice.“Although we recognize commenters’ concerns regarding the auction delay, on balance, we find that those potential harms are outweighed by the greater certainty that would be provided by delaying the auctions so that market participants can make informed decisions in the event the commission were to accept changes to the capacity market construct resulting from PJM’s forthcoming capacity market proposal,” the agency said.The decision comes ahead of a forum FERC will hold Thursday to assess PJM’s capacity market and possible changes to it. FERC Commissioner James Danly supported the decision but warned that delaying capacity auctions is “an extreme measure that severely destabilizes markets.”
Consumer groups, R Street urge FERC to expand interconnection reform proposal to increase savings --The Federal Energy Regulatory Commission’s pending interconnection reform proposal doesn’t go far enough, leaving potential cost savings untapped, a coalition of consumer and industry groups and the R Street Institute told the agency Thursday. "It is a common misperception that interconnection reform benefits only generators and the clean agenda,” said Devin Hartman, director of energy and environmental policy at R Street, a free market think tank. “However, rapidly escalating interconnection costs are being heavily incurred by consumers.” A recent study by the Lawrence Berkeley National Laboratory found the average interconnection costs for projects in the PJM grid operator’s interconnection queue increased to $240/kW in the 2020 to 2022 period from $29/kW in the previous two years. The cost increases were largely driven by network upgrades beyond the interconnecting substation, according to the lab. At the same time, interconnection queues around the country grew 40% year-over-year in 2022, with more than 1,350 GW of generation and 680 GW of storage waiting for approval to connect, the Berkeley Lab said in an April report. To address these issues, FERC a year ago proposed interconnection reforms that include requiring transmission providers to adopt a “first-ready, first-served” cluster study approach.The proposal is “underwhelming,” according to Hartman. FERC’s proposal fails to address network upgrades, a key to reducing queue backlogs that delay new electricity supply from coming online in an era of tight reserve margins, he said. FERC should consider how regional transmission planning can drive cost-effective network upgrades, according to the coalition, which includes the American Chemistry Council, Electricity Consumers Resource Council, the Electricity Customer Alliance, the Industrial Energy Consumers of America and the National Association of State Utility Consumer Advocates. The cost of network upgrades can be dramatically reduced with proactive regional transmission planning that enables major reductions in generation interconnection requirements and delays, the groups said. The changes would affect a pending rulemaking on regional transmission planning, the groups said.
Needed: Car experts to fend off grid disaster - Ryan Quint, an authority on the U.S. electric grid, knows that buried in some electric vehicles is a bug that could one day cause catastrophic blackouts. He urgently wants to find the right auto engineers and talk to them. If he can do that, he thinks, a crisis could be avoided. Problem is, he doesn’t know who to call. “They’re impossible to find,” Quint said in an interview. Advertisement It may seem strange that Quint, a senior official at the North American Electric Reliability Corp., is unable to find experts at some of the world’s biggest auto manufacturers. NERC is entrusted by the federal government to oversee reliability of the electric grid. But that’s the reality of the disjointed relationship between Big Auto and Big Electricity. The EV is part electricity, part vehicle. Carrying out its two crucial jobs — plying the roads and recharging seamlessly — calls on automakers and electric utilities to work together more closely than ever before. But as the vehicles speed out of the factory and onto the roads, some crucial linkages are lagging. Both the auto industry and the utility sector are safety-obsessed and risk-averse, bound by tradition and a habit of burying their experts in deep corporate silos. They aren’t talking to each other because they’ve never needed to. Now the large-scale rollout of EVs is forcing them together, ready or — in this case — not. “These two entities are going to have to interact in ways they hadn’t before, in ways that aren’t comfortable,” said John Taggart, co-founder of WeaveGrid, a charging-software company that works with both carmakers and utilities. When millions of cars migrate from liquid fuel to electric current, the changes can be profound. Consequences appear that no one ever anticipated, in places no one thought to look. In this case, the unexpected conflict is between the very large — the grid moving electricity across long distances — and the very small — the power electronics within the vehicle and its charging equipment. Left unaddressed, Quint and other grid experts wrote in an April report, the disconnect between grid and car could “have catastrophic consequences for grid reliability,” including “cascading blackouts and widespread power interruptions.”
ONU fracking research reveals small stream impacts that could be altering ecosystems | Ohio Northern University --Hydraulic fracturing, or “fracking,” is episodically reducing small Eastern Ohio River basin stream levels, an Ohio Northern University study found. The fluctuations, the authors warn, could be negatively impacting aquatic life in those areas – a situation that, if confirmed by more studies and monitoring, would warrant additional environmental protection measures.Fracking requires significant amounts of water, combined with sand and chemical additives, pumped at high pressure to extract natural resources from subterranean shale formations. Extreme flow reductions in the studied streams occur infrequently and episodically, the researchers found, but “could have lasting negative impacts on the stream biota” and “have the potential to affect downstream users, including regionally-endangered species. The stream ecosystem might be severely impacted,” they report. The authors note that the smaller streams scrutinized, where most UOG (unconventional oil and gas) wells are located, “are much more susceptible to change than larger streams and rivers.”Modeling revealed that 10% and 20% reductions occurred at least episodically in about half of the watersheds analyzed, amounting to 8.8% and 2.4% of active days. A consistent 9% or greater reduction in baseflow “could completely change the aquatic habit in smaller streams, and render spaces uninhabitable for many of the species which live there presently,” the study asserts.UOG impacts on streamflow have mostly been studied in water-scarce regions such as Texas. The limited amount of such studies in water-rich areas have mostly focused on freshwater input quantities or production of flowback, the ONU study notes. For this latest research, government data itself was limited because of Ohio’s patchwork nature of water withdrawal regulations and noncomprehensive permitting requirements.The results yielded some surprises for the researchers.Spiese said he was surprised at “how widespread the flow reductions were. Around half of the streams had significant reductions during fracking operations. I was also naively surprised at how difficult it was to find water source locations for well pad permits,” he added. “With the sheer scope of fracking operations in Ohio alone, it is almost impossible to actually track where the water is coming from specifically.”Logan said fracking regulations are always a shock to her. “On the one hand, we have reporting requirements in place which provide us with vast datasets on water quality, quantity, and more in the United States. And on the other hand, we are severely lacking in fracking data in regions like Southeast Ohio,” she said. The requirements and permit tracking vary by state. In Ohio, laws and proposed legislation remain in flux and can be contradictory. For instance, House Bill 57 opens state lands, including state parks, to fracking, but Spiese said “several environmental groups recently sued the state to block this law going into effect until rules are established to regulate such leases.”
Researchers Find Fracking May Impact Smaller Streams in SE Ohio - Marcellus Drilling News -- Researchers with Ohio Northern University recently published a study that finds that fracking for Utica Shale sometimes (“episodically”) reduces small Eastern Ohio River basin stream levels. The fluctuations in those stream levels “could” (but not necessarily do) negatively impact aquatic life (ecosystems) in those areas. The situation should, according to the researchers, be confirmed by more studies and monitoring.
Barnesville News » Driller asks Ohio for rights to frack Wolf Run State Park - Noble County, Ohio- An oil and gas extraction company has submitted a request to the state of Ohio, seeking rights to drill beneath approximately 2,000 acres of Wolf Run State Park in Noble County. The company’s identity remains undisclosed, as per state law. The request, known as a “nomination,” has initiated a public comment period. If accepted, the leasing rights for the land will be subject to a competitive bidding process. It is important to note that the nomination does not mention any immediate surface impacts to the park. Instead, the drilling would be carried out vertically from an adjacent plot, allowing access to the oil and gas reserves underneath the park. This marks the second instance where an Ohio state park has garnered interest from the oil and gas industry. Previously, similar requests were made for Salt Fork State Park and two other designated wildlife areas in the eastern part of the state. Wolf Run State Park offers various recreational activities such as fishing, hunting, boating, swimming, and hiking.
Oil and gas company wants to frack under a local Ohio State Park - A gas and oil extraction company, whose identity is shielded, due to state law, has put in a request, or nomination to drill under the state-owned park in Noble County. The company put in the nomination to the Oil and Gas Land Management (OGLM) Commission to free up the land for drilling, which has triggered a public comment period. If the OGLM decides whether to accept the nomination, leasing rights go out in a competitive bidding process. The nomination can be found here. The initial nomination does not indicate any surface impacts of the park. Drillers will be able to access gas and oil by drilling thousands of feet down from an adjacent well, then turning horizontally or across to reach the minerals. High Volumes of water, sand, and chemicals are then used to free methane and other compounds from the shale. Wolf Run is not the only state park wanted by the oil and gas industry. Salt Fork State Park in Guernsey County and two other designated wildlife areas in Eastern Ohio are also wanted. Wolf Run offers many recreational activities such as fishing, boating, swimming, and hiking, and is known for its scenic and peaceful woodlands.
9th Request to Frack Under OH State Land – Wolf Run State Park - Marcellus Drilling News - Two weeks ago, shale drillers could, for the first time, begin to apply for permits to drill under (not on top of) Ohio state lands and state parks under newly formulated rules established by the Ohio Oil & Gas Land Management (OGLM) Commission (see Ohio State Lands Now Open for O&G Leasing – Virtual Ribbon-Cutting). Last week we brought you the list of the first eight “nominations” (requests) to drill under Ohio state land once the door opened (see 8 Ohio State Land Locations Nominated for Utica Shale Drilling). We now have a ninth nomination/request to drill–this one a request to drill under 2,000 acres of Wolf Run State Park in Noble County.
GOA director visits USA expansion site – State officials got a glimpse of the Utica Shale Academy’s planned expansion site during a visit to the campus in Salineville on June 7. John Carey, director of the Ohio Department of Development’s Governor’s Office of Appalachia, was joined by GOA representatives as well as officials from the Ohio Department of Education, Ohio Mid-Eastern Governments Association (OMEGA), Sustainable Opportunity Development (SOD) Center of Salem and Southern Local School District to view the community school and career-tech offerings and USA Superintendent Bill Watson also unveiled designs for a new, $4.8 million building along East Main Street. The GOA awarded an Appalachian Community Grant totaling $2,356,417 to erect a two-story building adjacent to the original community school in the Hutson Building at 70 E. Main St. while USA leveraged nearly half the costs with two $600,000 equity grants and Emergency Elementary and Secondary School Relief (ESSER) funds. Watson said the new structure will include nearly 5,100 square feet of space for offices, classrooms, machinery, virtual welding equipment, lockers and restrooms for students working with heavy equipment operation and CNC plasma cutting. Two older buildings were razed to create some space while a separate 2,800-square-foot outdoor welding lab is also onsite. He noted that the project has been put out to bid and hopes are to begin construction over the next few months. “We’re looking [to begin] at the end of July or early August and the new building will be ready for Fiscal Year 2025,” Watson added. “I’m ready for the project post-COVID. The hardest part of the expansion during COVID were the supply chain issues and other shutdowns. I’m really looking forward to starting from scratch. “This is a phenomenal opportunity and I believe this grant will is a benefit for small, rural Appalachian schools. I’m glad we were fortunate to receive it.” In addition to the community school, which incorporates general classrooms and Virtual Learning Academy (VLA) programming through the Jefferson County Educational Service Center, USA also operates the Energy Center in partnership with Youngstown State University. The facility is lodged at the former Huntington Bank at 70 E. Main St. and offersprogramming formegatronics, hydraulics, pneumatics, AC/DC electric, Programmable Logic Controllers (PLC’s), diesel mechanics and horticulture to train both students and adults. Officials said the expansion is also part of the Connecting Communities through Workforce Training project to reduce the barrier of transportation and increase accessibility to quality workforce training for residents in Columbiana, Carroll, Jefferson and Mahoning counties. It will have a transformational impact on the region by providing residents with a career pathway and an opportunity to earn a sustainable living wage, plus it also looks to eliminate generational poverty in the area.
Eureka! Columbiana County Strikes Oil - Business Journal Daily – Oil production in Columbiana County skyrocketed during the first quarter of 2023, driven by a handful of wells that are among the better producing assets in the state of Ohio. Four horizontal wells operating in Hanover Township owned by EAP Ohio, a subsidiary of Houston-based Encino Energy Partners, have shattered previous production figures in the county, data provided by the Ohio Department of Natural Resources show. According to ODNR, Columbiana County pumped out 233,390 barrels of oil over a 90-day period, all of it from EAP-owned wells. Four of these wells, located on the Mountz pad in Hanover Township, accounted for 228,058 barrels. EAP’s Mountz Cl Han 205H well produced the most oil from a single well in Columbiana County during the period with 62,887 barrels, according to ODNR. The pad’s 1H well produced 61,125 barrels; its 5H well yielded 47,400 barrels; and the Mountz 3H well produced 56,646 barrels of oil. Three other energy companies operating in Columbiana County – Hilcorp Energy Co., Geopetro LLC and Pin Oak Energy Partners – reported zero oil production during the quarter, according to ODNR. In all, Columbiana County yielded 3.5% of all oil produced across the Utica/Point Pleasant shale in Ohio during the first quarter, data show. Traditionally, wells in Columbiana County have not produced much oil, as this portion of the shale play is instead known as a major source of natural gas and natural gas liquids. During the fourth quarter of 2022, for example, the entire county produced just 5,084 barrels of oil. The figures for the first quarter of 2023 represent an astonishing increase of 4,490%. Most of oil production in the Utica is further south in Carroll, Harrison and Guernsey counties, data show. EAP – which operates the majority of its wells in Columbiana, Carroll, Harrison, Guernsey and Jefferson counties – accounted for 3,521,197 barrels, or 53.7% of the total 6,549,638 barrels of oil produced in the Utica/Point Pleasant during the first quarter. Ascent Resources Utica LLC’s Lavada 2H well in Guernsey County produced the most oil from a single unit during the first quarter with 123,946 barrels. In all, total oil production across Ohio increased by 11.8% during the three months ended March 31 compared with the previous quarter. When measured against the same period in 2022, oil production in the Utica/Point Pleasant has increased 65%, data show. Natural gas production in Columbiana County also hit new records during the first quarter, according to ODNR. Horizontal wells in the county yielded 27.5 billion cubic feet of natural gas during the period, a 26.7% increase over the previous quarter. The highest-producing natural gas well is EAP’s Maskaluk 1H well in Washington Township, which produced 1.6 billion cubic feet of gas over a 90-day period. Three other wells at the Maskaluk pad all yielded more than 1.3 billion cubic feet during the period. Collectively, EAP’s 73 wells in the county produced 12.8 billion cubic feet of natural gas, according to ODNR. Hilcorp Energy also reported strong natural gas production during the quarter. The company operates 50 wells in Columbiana County, which in total produced 14.4 billion cubic feet of natural gas, according to ODNR.
Oil Prod. in Northern Utica Comes Alive – Encino Cracks Oil Code - Marcellus Drilling News -The Ohio Dept. of Natural Resources (ODNR) recently released production numbers for the first quarter of 2023, and wow! What a surprise! Oil production in the northern Utica Shale skyrocketed, led by wells drilled by Encino Energy. According to an analysis by the Youngstown Business Journal, four shale wells drilled by Encino in Columbiana County have “shattered previous production figures in the county.” Adding up all oil production by all drillers, Encino had the most oil production in the state, with 53.7% of the total oil produced in the Utica/Point Pleasant during the first quarter. It certainly looks like Encino has cracked the oil code in the Buckeye State!
Dominion Energy begins gas line replacement project in New Philadelphia - ‒ Dominion Energy has begun a project to replace gas lines along Front Avenue and Fair Avenue NE in the city of New Philadelphia.The work began Monday and is expected to continue through November. The company will replace bare steel gas lines with corrosion-resistant plastic lines.Similar work is already going on in Dover.The project is part of Dominion Energy Ohio's Pipeline Infrastructure Replacement program, which was launched in 2008 to replace more than 5,500 miles ...
20 New Shale Well Permits Issued for PA-OH-WV Jun 5-11 | Marcellus Drilling News - New shale permits issued for Jun 5-11 in the Marcellus/Utica last week dipped a bit from the previous week. There were 20 new permits issued, down from 25 issued the previous week. Last week’s permit tally included 6 new permits for Pennsylvania, 8 new permits for Ohio, and 6 new permits in West Virginia. Ascent Resources scored the most new permits with 8 issued in the Ohio Utica, spread across three counties. Chesapeake Energy had the second most new permits with 6 permits issued in the PA Marcellus across two counties. Ascent Resources, Belmont County, Bradford County, Brooke County,Chesapeake Energy, Harrison County, Jefferson County (OH), Monongalia County, Northeast Natural Energy, Southwestern Energy, Sullivan County
Capstone Green Energy Secures Second Order this Year from Oil and Gas Customer in the Marcellus Shale Region in Appalachia--Capstone Green Energy Corporation (NASDAQ: CGRN), announced that E-Finity Distributed Generation, Capstone's long-time distributor for the Mid-Atlantic, Southeastern United States, and the Caribbean, secured a follow-on order for ten Capstone C65 microturbines from a leading oil and gas producer. The systems will be deployed in the heart of the Marcellus Shale Play in Appalachia and add to an already extensive fleet of Capstone microturbine systems. The order is being commissioned this summer. “These microturbine units will significantly enhance production and facilitate the efficient extraction of clean-burning, abundant natural gas from one of the world's largest natural gas fields” “When our customers, who rely on power in remote locations for critical operations, consistently choose to return for additional units, it serves as a testament to the positive impact of Capstone Green Energy. This degree of customer loyalty can be attributed to the dependable performance, minimal maintenance requirements, and environmentally-friendly nature of our microturbine-based solutions. We deeply value the trust and confidence that our repeat customers place in our team, technology, and partners,” said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. The C65 microturbines, fueled by wellhead natural gas extracted directly from the pipeline, will provide primary electrical power at various wellhead sites where utility power is unavailable. Serving as the primary power source for these remote sites, the microturbines will maintain ultra-low site emissions. This leading oil and gas customer continues to select Capstones microturbines based on their proven field reliability, remote monitoring and diagnostic capabilities, and high availability with partial load redundancy. By incorporating microturbines, customers can increase on-site power production, reduce operational expenses, fortify reliability, and concurrently minimize emissions.
A Pennsylvania Community Wins a Reprieve on Toxic Fracking Wastewater - A decade ago, Pennsylvania General Energy first applied for state permits to convert an old natural gas well in tiny, rural Grant Township, Pennsylvania, to take wastewater from nearby fracking operations. The action raised fear among the town’s 700 residents that their drinking water would be tainted with toxic fracking chemicals, and led to its assertion of local authority to control oil and gas development through a home-rule charter. A cascade of lawsuits by the company, the state and the town followed, leading to a court ruling—now on appeal before the Pennsylvania Supreme Court—that the charter was unconstitutional. But in early May, the community about 80 miles east of Pittsburgh won a victory in the long-running case when Pennsylvania General Energy, an oil and gas production company, said it now plans to plug the well instead of converting it to hold wastewater because of a geological problem that could result in natural gas leaking into underground sources where every household in the township gets its drinking water. The Yanity well, named for a local family that leased some of its land to the energy company, had been found by state inspectors to have an “annulus”—a space around the bore hole where gas can escape—and the company asked the Pennsylvania Department of Environmental Protection to approve a plugging technique that would stop the gas spreading beyond the formation where it was found.“This method will in PGE’s opinion … provide significant protection to be sure gas cannot migrate into the water table once the well is fully plugged and abandoned,” the company wrote in an application to the DEP on May 1. It said it would begin plugging the well on June 1. If the company goes ahead with plugging the well, it will be a cause for celebration, said Stacy Long, chair of the town’s board of supervisors, who has played a prominent role in the fight against the “injection” well. But she is holding back until the work is done. “We have to see it to believe it,” she said. “This is 10 years, and everyone told us, ‘You can’t fight the gas company.’ We did anyway, and now we have this plugging, and if it happens, I’m going to say whoopee. But I’m not getting excited until it happens.” Regardless of the outcome, Long said she will continue to educate the public on threats to water as part of a community group called the East Run Hellbenders, which adopted the name of an imperiled local salamander that needs clean water to survive. The animal, officially designated as an endangered species in some parts of the central and eastern United States, was adopted as Pennsylvania’s state amphibian in 2019. Long said it’s not clear whether the well-plugging plan was really driven by the geological problems, or by the town’s long campaign against it. But she argued that the decision to end plans to site an injection well for frack waste in an area where all residents depend on private water wells vindicates the town’s opposition. “We aren’t sure why they are plugging a well, but nobody plugs a well that’s working,” she said. If the plugging plan goes ahead, it will add to the earlier closure of about half a dozen PGE gas wells in the township, leaving the company with no further business there, Long said. Given that, it’s unclear why the company is continuing to pursue its federal court case against the town, she said. In that case, filed in 2020, PGE called the charter “unconstitutional and unlawful.” It said the document prevented it from operating or selling the injection well, and exposed it to criminal penalties and civil actions. The DEP also sued the township, saying in a 2017 state court suit that the home rule charter unlawfully prohibits the agency from issuing oil and gas permits, and threatens to impose fines on any state or federal agency that violates the charter.
A Pennsylvania community wins a reprieve on toxic fracking wastewater - Environmental Health News -- Inside Climate News reporter Jon Hurdle writes that the decision by PGE to plug a well in a township of fewer than 700 residents rather than inject it with wastewater suggests that fighting the oil and gas industry may not be as futile as some would argue. In a nutshell: Pennsylvania General Energy has announced plans to plug an old natural gas well in Grant Township, Pennsylvania instead of converting it to hold wastewater from fracking operations, due to a geological problem that could result in natural gas leaking into underground water sources. The move comes after a decade-long legal battle between PGE, the state and the town, where the town's assertion of local authority to control oil and gas development through a home-rule charter was deemed unconstitutional. The decision to plug the well is seen as a victory for the community and highlights the potential success of local resistance against the oil and gas industry. “Did Grant Township know? No, they don’t have experts, scientists, geologists but they knew that this was a bad idea, and that this would potentially contaminate their water supply,” community organizer Chad Nicholson said. “Now we have the proof that this was a leaking well with stuff that could get into the water table.” PGE's move comes after concerns were raised about the possibility of toxic fracking chemicals contaminating the town's drinking water. This victory for the community may serve as an example to other towns fighting against the oil and gas industry, demonstrating that local opposition can yield positive outcomes and protect the environment.
Frackers Look to Increase Productivity with Refracs, New Tech | Marcellus Drilling News -Is shale energy beginning to peter out? We’re beginning to see stories in oil and gas publications about how the best locations to drill for shale oil and gas are gone, and the less desirable, less productive locations are now left. We don’t know if that’s true, but it seems people whose multi-billion-dollar businesses depend on it believe it–people like the CEO of Exxon Mobil, Darren Woods. The general attitude that we’re running out has led to two notable strategies to keep the good times rolling: (1) refracing existing wells, and (2) researching new technologies and techniques to get more oil and gas from existing and new wells.
Commercialization of Certified Natural Gas Advances as Seneca, NNE Offer 1 Bcf/d-Plus via CG Hub - Appalachian natural gas producers Seneca Resources Co. LLC and Northeast Natural Energy (NNE) have agreed to provide access to more than 1 Bcf/d of certified natural gas via commodities trading platform CG Hub, a signal that selling premium supply to overseas markets is advancing. The Chicago-based trading hub, operated through TruMarx Data Partners Inc.’s Comet platform, supports primary and secondary trading in natural gas and related certificates. The gas is independently verified by MiQ, which created an audit certification system for methane gas emissions. “Certified natural gas is the bridge to the future of sustainability,” CG Hub CEO Jon Olson said. “By creating a trading platform that supports a vibrant and dynamic marketplace in certified natural gas, we...
Mountain Valley's $6.6bn gas pipeline gets West Virginia permit - Mountain Valley LLC (Mountain Valley) has secured new water permit from the West Virginia environmental regulators for its $6.6bn Mountain Valley natural gas pipeline, reported Reuters, citing the firm as saying in court papers. Equitrans is the operator of Mountain Valley, which owns the pipeline project. Other partners in the project are NextEra Capital, Con Edison Transmission, WGL Midstream, and RGC Midstream.Mountain Valley told the US Court of Appeals for the Fourth Circuit, that its West Virginia-to-Virginia pipeline secured renewed Section 401 water quality certification from West Virginia.The project is expected to unlock additional gas supplies from the US’ biggest shale gas basin Appalachia.Mountain Valley expects to secure a Section 404 water permit from the US Army Corps of Engineers as mandated by the Fiscal Responsibility Act, the company said in the court filing.Mountain Valley said in the filing: “Once (the Army Corps) does [that], Mountain Valley expects to resume construction.”Construction of the planned underground, interstate natural gas pipeline has been delayed due to regulatory and legal fights with environmental and local groups. Work on the project started in 2018.The pipeline will span about 303 miles from northwestern West Virginia to southern Virginia.The project is designed to transport up to two billion cubic feet per day of natural gas drawn from the Marcellus and Utica shale.In May 2023, Reuters reported that Equitrans expects to secure required authorisations from the federal agencies for the pipeline by the early summer and complete the construction by the end of 2023.
MVP Natural Gas Pipeline Inches Closer to Completion with Reissued West Virginia Permit -Mountain Valley Pipeline LLC (MVP) developers got a boost with a new water permit that could help the long-delayed and contentious natural gas pipeline reach completion by the end of the year. West Virginia regulators last week said that after a thorough review, the project complied with state water quality requirements. The West Virginia Department of Environmental Protection issued a renewed Section 401 water quality certification. Gov. Jim Justice called the decision “a big certification…I’m glad we’re doing our part in state permitting and trying to move this permit along,” according to reports. He said he was not aware of any remaining state regulatory hurdles.
Environmentalists may challenge Congress on clearance for the Mountain Valley Pipeline -When UVA Law School Professor Cale Jaffe heard about efforts to fast-track the Mountain Valley Pipeline, he thought of two cases where courts had upheld objections from environmental groups. One involved the Tennessee Valley Authority and construction of a dam that threatened snail darters – small fish protected by the Endangered Species Act. “That case went all the way up to the U.S. Supreme Court. Those lobbying to protect the species prevailed at the Supreme Court,” he says. But in 1979, Congress approved a spending bill that authorized completion of the dam. “Within about 12 hours after that appropriations bill became law, the bulldozers started moving again on that dam project,” Jaffe recalls. Then, in the 90’s, came efforts to protect spotted owls in the old growth forests of Washington State and Oregon. A federal court again sided with environmentalists, but Jaffe says Congress got creative. "It suspended all environmental laws for one year to allow for logging in national forests in the state of Washington and the state of Oregon in 1995-1996." Still, he expects those who oppose the Mountain Valley Pipeline to challenge the right of Congress to keep federal judges from ruling on three MVP cases already underway – citing the constitution’s separation of powers clause. “You had active litigation in the federal courts, under rules that Congress had previously established, and then the question is, ‘Can congress say: Y’know in this case we don’t like the way it’s going, and we’re picking this person to win the case?’” Jaffe concludes.
Mountain Valley Pipeline asks FERC for extension to finish Southgate project in NC --The owners of the Mountain Valley Pipeline sent a letter to federal regulators today, asking for a three-year extension to finish the southern leg, most of which would run through North Carolina.The controversial MVP Southgate Project would start in Chatham, Virginia, and enter North Carolina in Eden, in Rockingham County. From there, the natural gas pipeline would continue roughly 46 miles southeast, ending near Haw River in Alamance County. It originally was scheduled to be finished and in service this month, but it has not received the necessary permits.The Southgate project is an extension of the main MVP, a 303-mile line that starts at a fracked gas facility in West Virginia and winds through environmentally sensitive terrain in Virginia. In 2020, the NC Department of Environmental Quality denied a water quality permit application for Southgate in part because the main MVP line was in doubt.Opponents have successfully delayed further construction of the MVP main line through a series of lawsuits and permit challenges, which have bloated the cost of the project to more than $2.5 billion. However, the debt ceiling deal between Congress and President Biden removed many of those obstacles. According to today’s letter to FERC — the Federal Energy Regulatory Commission — the MVP main line could start sending natural gas at the end of this year. Given construction has not begun in the most difficult terrain, including water crossings, that timeline could be optimistic.In North Carolina there is significant opposition to the Southgate project, including landowners whose properties the pipeline would cross. Thirty-four percent of the route is forested. It would require drilling beneath the Dan River and the Stony Creek Reservoir — Burlington’s drinking water supply– and cross another 12 water bodies containing fisheries of special concern, according to a Final Environmental Impact Statement.The project would cause long-term, permanent impacts to hundreds of acres of forest, including those in the Jordan Lake watershed, and more than 1,000 acres of wildlife habitat. The route would also cross tribal lands belonging to the Occoneechi-Saponi.In addition, natural gas pipelines and fracked gas wellheads leak large amounts of methane, a potent greenhouse gas and driver of climate change. Appalachian Voices Virginia Field Coordinator Jessica Sims issued a statement this afternoon about the extension request:
“This Southgate pipeline is not in the public interest and the developers have not demonstrated its viability. Its threats remain — from disproportionately impacting environmental justice communities along the pipeline route to endangering the waterways it would cross. Mountain Valley Pipeline Southgate should not have a future.”
With new hope from Congress, gas pipeline project in NC may be revived. What we know.The developers of the proposed MVP Southgate gas pipeline have asked federal regulators for more time to complete the project.Thursday, a lawyer for the company that owns the Mountain Valley Pipeline project sent a letter to the Federal Energy Regulatory Commission asking it to extend the mandatory completion date of the project three years, to June 18, 2026.The proposed MVP Pipeline’s main stem would carry fracked natural gas from the Marcellus Shale in Virginia south to a compressor station in Chatham, Virginia. Despite years of challenges from climate change activists and environmental regulators, the project was revived in Congress’ debt ceiling negotiations in May, with the final package including approval of the pipeline.That approval also appears to have revived the MVP Southgate project, a proposed 75-mile stretch of pipeline running southwest from Chatham before entering North Carolina just northeast of Eden. The path would soon turn southeast and pass by Reidsville and Graham before ending just south of I-40 in Alamance County.“Mountain Valley is targeting to complete construction and commence service on the Mainline System by the end of 2023. After resolving Mainline System permitting, Mountain Valley can resume its permitting efforts for the Southgate Project,” Matthew Eggerding, a lawyer for Equitrans Midstream, wrote in the letter, which was first reported by NC Newsline.The Federal Energy Regulatory Commission regulates interstate pipelines, but the projects also need environmental approvals from environmental regulators in each state they pass through.MVP’s 303-mile main stem is about 94% complete, according to the project’s website. That includes the completion of three compressor stations and three interconnect facilities, as well about 280 miles of pipe. Some additional work is needed at an additional interconnect point.DEQ denied a Water Quality Certification for the Southgate extension in August 2020, citing ongoing uncertainty about the MVP’s mainline. Without the main stem, DEQ said, it wasn’t worth harming North Carolina waters and riparian buffers, particularly considering that pipeline operators intended to push ahead with discussion even if the West Virginia to Virginia portion’s fate remained undecided.”This problem is unique to the MVP Southgate project in that its sole utility and purpose is tied to and wholly relies on, the completion of the entire MVP Mainline project,” Bill Lane, DEQ’s general counsel, wrote in a denial letter.Republican legislators in North Carolina have long supported the Southgate extension, which they say would provide a boon for the economy and much-needed access to natural gas. That discussion gained some momentum in early 2021, after the Colonial Pipeline hack left North Carolinians scrambling for gas for days.At hearings about the hack, state legislators heard that there is only one pipeline supplying natural gas to North Carolina, something industry officials called “a vulnerability.”North Carolina environmentalists have been wary in recent weeks that the project would re-emerge. They’ve pointed to a provision in House Bill 600, a regulatory reform bill making its way through the Senate, that would limit the time the N.C. Department of Environmental Quality has to grant or deny the water quality certification. Under the proposed law, DEQ would have 30 days to deem an application complete and another 30 to approve or deny it.In an email to members of the Senate Rules Committee, Haw Riverkeeper Emily Sutton said the proposed changes were intended to aid the pipeline and would sharply curtail the involvement of both local governments and the public.“These permit processes are put in place to protect not only our environmental resources, but our communities who depend on them. This bill is meant to serve only the investors of the MVP Southgate project,” Sutton wrote.
State sues two companies over 2021 diesel fuel spill in Frederick -- The Maryland Attorney General’s Office on Thursday said it is suing two companies, seeking to hold them responsible for a 2021 diesel fuel spill of over 7,000 gallons in Frederick. The lawsuit was brought on behalf of the Maryland Department of the Environment against D.M. Bowman Inc., and Day and Sons Inc. In December 2021, the Maryland Department of the Environment (MDE) received a report of a release of diesel fuel from D.M. Bowman’s Frederick facility. MDE determined that the spill occurred when Day and Sons struck the D.M. Bowman facility’s underground diesel lines while drilling. D.M. Bowman is a transportation, warehousing and logistics company. Day and Sons is a drilling and utility construction company. Over 7,000 gallons were estimated to have been spilled from Dec. 1 to Dec. 7, but investigation of the incident is still ongoing, according to a news release from the MDE and the Maryland Attorney General’s Office on Thursday. Kevin Day, the president of Day and Sons, declined to comment. D.M. Bowman did not immediately respond to requests for comment. In an inspection report from Dec. 18, 2021, which MDE spokesperson Jay Apperson provided to The Frederick News-Post, several borings were installed around the damaged piping at the D.M. Bowman facility to help inspectors initially evaluate the extent of suspected petroleum contamination. At the time the report was made, the report noted that one of the borings had a noticeable petroleum smell in the groundwater near the bottom of the boring. Apperson said there are multiple inspection reports in connection with the spill. In the complaint, MDE asks the court to enter injunctions requiring the companies to remediate damage to the environment due to the spill and comply with any conditions imposed by the department. The department seeks civil penalties for violations of Maryland’s oil control pollution laws. MDE alleges that D.M. Bowman failed to investigate what it called unusual operating conditions at the facility and properly maintain inventory records, which led to the spill being unreported for several days, and it failed to submit a site characterization report to the MDE. “The negligence displayed by these two companies demonstrate a complete disregard for our environment and the well-being of our communities,” Maryland Attorney General Anthony Brown said in the release.
US gas inventories start summer well above normal -- Spring temperatures across the continental United States were close to the seasonal average – providing no relief to a gas market struggling with too much production and excess inventories accumulated last winter. Temperatures in March were a little lower than usual for the past 10 years, but April and May were in line with the 2013-2022 average, according to degree day data from the U.S. Climate Prediction Center (CPC). For the three months as a whole, there were 1,064 population-weighted heating degree days across the Lower 48 states compared with a prior 10-year average of 1,022. Over the same period, however, working gas inventories increased by 454 billion cubic feet compared with a prior 10-year average increase of 401 billion cubic feet. Significantly larger-than-normal inventory builds despite slightly colder-than-normal temperatures early in the season confirms over-production in the market. No progress was made eliminating excess inventories during the spring quarter. Gas stocks ended the quarter with a surplus of 280 billion cubic feet (+13% or +0.68 standard deviations) above the prior 10-year average, having started in a surplus of 227 billion cubic feet (+12% or +0.58 standard deviations). U.S. gas production increased to a new monthly record in March, the latest month for which data is available, and was 7% higher than the same month a year earlier. Production was still rising in a delayed response to the extremely high prices that prevailed for much of 2022 following Russia’s invasion of Ukraine. Freeport LNG’s re-opened export terminal did not make a significant difference in depleting the excess inventories accumulated during the winter of 2022/23. With inventories stubbornly high, prices remained under pressure throughout the spring months, averaging just $2.20 to $2.40 per million British thermal units, in only the 2nd or 3rd percentile for all months since 1990, after adjusting for inflation. But there are signs that lower prices were starting to force a slowdown in drilling. The number of active rigs targeting primarily gas-rich formations declined to an average of 144 in May down from 153 in February. Fewer rigs drilling for gas as well as oil (which results in associated gas from oil wells) will eventually rebalance production and consumption.
US natgas futures rise 3% on output drop, hot late June forecasts (Reuters) - U.S. natural gas futures rose about 3% on Tuesday on a drop in daily output to a preliminary four-month low and forecasts confirming hotter weather in late June that should increase demand for gas to produce power for air conditioning. Electricity use in Texas will break records this week as homes and businesses crank up air conditioners to escape the summer's first heat wave, the state's power grid operator projected. Limiting gas price gains, the amount of gas flowing to U.S. liquefied natural gas (LNG) export plants dropped to a five-month low due to maintenance, which helped cut forecasts for overall U.S. gas demand this week and next. Front-month gas futures for July delivery on the New York Mercantile Exchange rose 7.4 cents, or 3.3%, to settle at $2.340 per million British thermal units (mmBtu). Mostly mild weather in recent weeks has kept heating and cooling demand low, limiting price changes. The lack of price movement cut historic or actual 30-day close-to-close volatility to just 61.8%, its lowest since April 2022 for the second day in a row. Data provider Refinitiv said average gas output in the U.S. lower 48 states slid to 102.1 billion cubic feet per day (bcfd) so far in June, down from a monthly record of 102.5 bcfd in May. But on a daily basis, output was on track to plunge 2.6 bcfd to a preliminary low of 98.8 bcfd on Tuesday, its lowest since February. That would be the biggest daily decline in output since December 2022. Analysts, however, noted preliminary data is often revised later in the day. Meteorologists said the weather in the lower 48 states would remain mostly near normal through June 20 before turning hotter than normal from June 21-28. With warmer weather coming, Refinitiv forecast U.S. gas demand, including exports, would rise from 92.7 bcfd this week to 96.7 bcfd next week. Those forecasts, however, were lower than Refinitiv's outlook on Monday. Gas flows to the seven big U.S. LNG export plants fell to an average of 11.8 bcfd so far in June, down from 13.0 bcfd in May. That is well below the monthly record of 14.0 bcfd in April due to maintenance at several facilities, including Cheniere Energy Inc's Sabine Pass in Louisiana.
US natgas futures jump 8% on small storage build, soaring prices in Europe (Reuters) - U.S. natural gas futures jumped about 8% to a three-week high on Thursday on a smaller-than-expected weekly U.S. storage build, soaring gas prices in Europe, a decline in U.S. output and expectations of record power demand in Texas next week. That price increase came despite a drop in the amount of gas flowing to U.S. liquefied natural gas (LNG) export facilities due to plant maintenance. The U.S. Energy Information Administration (EIA) said utilities added just 84 billion cubic feet (bcf) of gas into storage during the week ended June 9. That was less than the 95-bcf build analysts forecast in a Reuters poll and compared with an increase of 94 bcf in the same week last year and a five-year (2018-2022) average increase of 84 bcf. Analysts expected the build to be higher because mild weather last week kept air conditioning demand low. Traders, however, said low wind power last week forced generators to burn more gas to produce power despite the mild weather. The amount of total U.S. power generation from wind fell to just 5% last week, down from a recent high of 10% during the week ended June 2, according to federal energy data. That boosted the amount of generation from gas to 45% last week, up from recent lows of 40% during the weeks ended May 26 and June 2. Looking ahead, however, wind power rose to 9% and gas dropped to 42% of total power generation so far this week. In Texas, meanwhile, the state's power grid operator, the Electric Reliability Council of Texas (ERCOT), now expects electricity use will break peak demand records next week as homes and businesses crank up air conditioners to escape the summer's first heat wave. Earlier in the week, ERCOT forecast demand would break the record this week. Front-month gas futures for July delivery on the New York Mercantile Exchange rose 19.1 cents, or 8.2%, to settle at $2.533 per million British thermal units (mmBtu), their highest close since May 19. That was the biggest daily percentage gain for the front-month since it jumped about 10% in mid May and put the contract up for a ninth time in the last 10 days. Global prices have moved in different directions this month, with gas at the Dutch Title Transfer Facility (TTF) benchmark in Europe soaring to around $14 per mmBtu, which is up about 84% since TTF fell to a 25-month low of $7.34 on June 2. Recent price increases in Europe came in part on supply outages in Norway, low wind power and reports that Europe's biggest gas field, Groningen in the Netherlands could shut in October, traders said. In Asia, meanwhile, gas prices at the Japan Korea Marker (JKM) in Asia have held near a 24-month low of $9 per mmBtu since late May. With warmer weather coming, Refinitiv forecast U.S. gas demand, including exports, would rise from 93.1 bcfd this week to 96.1 bcfd next week. Gas flows to the seven big U.S. LNG export plants fell to an average of 11.6 bcfd so far in June, down from 13.0 bcfd in May and a monthly record high of 14.0 bcfd in April. On a daily basis, the amount of gas flowing to LNG plants dropped to 10.2 bcfd on Wednesday, the lowest since December 2022, due to declines at several facilities, including Cheniere Energy Inc's Sabine Pass in Louisiana and Freeport LNG in Texas.
US natgas up 4% to three-month high with hot weather coming in late June (Reuters) - U.S. natural gas futures gained about 4% to a three-month high on Friday on a recent drop in output and forecasts for demand to soar as the weather turns hot in late June, especially in Texas. Power use in Texas is expected to break records next week as homes and businesses crank up their air conditioners to escape the first heat wave of the 2023 summer season, the state's power grid operator projected on Friday. That will boost the amount of gas burned by power generators, since Texas gets most of its power from gas. In 2022, about 49% of the state's power came from gas-fired plants, with most of the rest from wind (22%), coal (16%), nuclear (8%) and solar (4%), according to federal energy data. In addition to preparing for the coming heat, utilities in Texas and other Gulf Coast states were restoring power to over 664,000 customers left without service after severe storms battered the region. Front-month gas futures for July delivery on the New York Mercantile Exchange rose 9.9 cents, or 3.9%, to settle at $2.632 per million British thermal units (mmBtu), their highest close since March 7. That put the front-month up for a fifth day in a row and a 10th time in the last 11 days. . For the week, the front-month rose about 17% after gaining about 4% last week. That was its biggest weekly gain since early March when it jumped about 23%. In Europe, meanwhile, gas prices at the Dutch Title Transfer Facility (TTF) benchmark remained extremely volatile, plunging by around 22% on Friday after rising about 65% during the prior seven days. Data provider Refinitiv said average gas output in the U.S. Lower 48 states has slid to 101.9 billion cubic feet per day (bcfd) so far in June, down from a monthly record of 102.5 bcfd in May. As the wildfires in Alberta and other Canadian provinces died down, gas exports from Canada were on track to rise to 8.3 bcfd on Friday, up from 7.4 bcfd on Thursday and 7.2 bcfd on Tuesday and Wednesday. That compares with average Canadian exports of 7.8 bcfd so far in June, 7.4 bcfd in May when the wildfires were raging, 8.3 bcfd so far in 2023 and 9.0 bcfd in 2022. About 8% of the gas consumed in or exported from the United States comes from Canada. Meteorologists forecast the weather would remain mostly near normal from June 16-22 before turning hotter than normal from June 23-July 1. With warmer weather coming, Refinitiv forecast U.S. gas demand, including exports, would rise from 93.2 bcfd this week to 96.0 bcfd next week and 101.8 bcfd in two weeks. The forecasts for this week and next were similar to Refinitiv's outlook on Thursday.
Emerging gas production areas helping fill in for stalled Marcellus-Utica growth - S&P Global -Constrained pipeline infrastructure is providing a check on Northeast gas production, but is not affecting the overall US gas market, which has seen heady production growth from some private players elsewhere and new activity in non-core areas, an official with Macquarie Energy said June 13. At the end of 2022, "we think that production was really much stronger than what people probably appreciate," said Kevin Little, managing director, Macquarie Energy, speaking at the 2023 LDC Gas Forum Northeast in Boston. "If we're correct, this 103-Bcf/d level that we think we reached at the end of 2022 represents about 7 Bcf/d of year-on-year growth," Little said. "That would be the strongest growth rate that the markets achieved since 2018 and 2019." After the growth trajectory in Marcellus and Utica gas production from 2005 to 2019, Little noted that production there has generally stagnated amid major infrastructure permitting challenges out of the Appalachian Basin. Multiple longhaul projects stalled amid legal battles or state permitting struggles. But US production still hit highs in late 2022 continuing into the first quarter of 2023, Little said, with the investment and growth transitioning south, to other areas like the Permian, the Haynesville and South Texas. Amid strong gas prices, there was a market response and "some really spiky runs from some private producers," Little observed. For instance, he offered the example of three private producers in the Haynesville that combined added 1.1 Bcf/d in late 2022 and into 2023. Little also called attention to emerging activity in non-core areas "where we haven't traditionally thought about gas production" -- for example, the Dorado, in the southwest Eagle Ford in Webb County, Texas, near the border of Mexico. After EOG Resources announced a dry gas discovery in that area in November 2020, the rig count in the area rose to 20, as other producers sought to replicate the company's well performance in the area, he added. "At one point, Webb County was the busiest county in the entire Eagle Ford in 2022." Further, Little pointed to recent strong production results in Robertson and Leon counties in the Western Haynesville play in Texas by Comstock Resources. The resource has been previously known but thought to present equipment and cost challenges because the depth of the gas. "This will be an emerging resource base over time," he said. At the same time, Little cautioned that some of the growth may be misaligned with the timing of adding US LNG export capacity, which could rise to 25 Bcf by 2027 or 2028. "So, 2023 is a little bit of a gap year , if you will, for the market, but we think that extends into 2024," he said. Along those lines, he also tallied 12 Bcf of new pipeline capacity that is being added to bring supply from basins -- excluding Marcellus and Utica -- to the Gulf Coast, targeting the LNG market. "The growth story from an LNG perspective is real," he said. "There's just a little bit of a mismatch in terms of the timing of these midstream expansions coming on," as well as the overall pipeline capacity planned. But Little asserted it will be necessary unlock Marcellus and Utica production for the US to meet the potential to help shave global CO2 emissions. Looking beyond 2030 and 2040, "we need to not have the Marcellus and Utica be resource-constrained," he said. "This is the US' most economic gas basin and it could possibly be one of the most economic gas basins in the world."
Oil Spill Reported from Mississippi River Barge - An oil spill has been reported from a barge on the Mississippi River in the US. The US Coast Guard was notified about the spill from a Kirby Inland Marine barge near Natchez on Saturday evening, it said in a statement on its website on Monday. The vessel was being towed along the river at the time of the incident, in which an estimated 3,402 gallons of oil was discharged into the water. No reports of wildlife impact have been reported so far, and 800 gallons of oily water mixture had been recovered by Monday. "The Coast Guard is working diligently with Kirby Inland Marine and the Oil Spill Removal Organizations to ensure a timely and effective clean-up to mitigate any environmental impacts," Capt. Ryan S. Rhodes, commander of Sector Lower Mississippi River and federal on-scene coordinator for the incident, said in the statement. "Responders from each organization are working tirelessly to assess and remove the product from the shoreline and waterway
Natural gas production in the Permian region established a new record in 2022 - Gross natural gas withdrawals in the Permian region set an annual record high in 2022 at 21.0 billion cubic feet per day (Bcf/d), 14% above the 2021 average, according to our Drilling Productivity Report. Annual gross natural gas production in the Permian region, which extends across western Texas and eastern New Mexico, has been rising steadily for over a decade and continued to grow in the first four months of 2023.Producers in the Permian Basin respond to fluctuations in the crude oil price when planning their exploration and production activities because most of the natural gas production in the Permian Basin is associated natural gas produced from oil wells. The Permian Basin is the second-largest natural gas-producing basin in the United States, after the Appalachia Basin, which spans Pennsylvania, West Virginia, and Ohio. In the Appalachia Basin, well-drilling activity is focused on natural gas, making production less directly responsive to crude oil prices.Crude oil prices declined in 2020 as the COVID-19 pandemic reduced global oil demand. Prices averaged $39 per barrel (b) in 2020, contributing to a rapid drop in the rig count to a low of 122 rigs in August 2020 and an average of 220 rigs for the year. Later, as crude oil prices began to increase, averaging $68/b in 2021 and $94/b in 2022, so did the rig count, averaging 240 rigs in 2021 and 335 rigs in 2022. As the rig count grew, Permian natural gas production rose.As natural gas production increases in the Permian Basin, midstream pipeline companies continue to increase the region’s takeaway capacity. Companies have announced an additional 4.2 Bcf/d of new pipeline capacity will come online by the end of 2024, allowing more production to reach consumption markets and liquefied natural gas terminals on the U.S. Gulf Coast:
- • The Whistler Pipeline Capacity Expansion is expanding compression by installing three new compressor stations on the pipeline, increasing capacity by 0.5 Bcf/d to 2.5 Bcf/d. The project is expected to enter service in September 2023.
- • The Permian Highway Pipeline Expansion is expanding compression, increasing capacity by 0.55 Bcf/d to 2.65 Bcf/d. The project is expected to enter service in November 2023.
- • The Gulf Coast Express Pipeline is expanding compression, increasing capacity by 0.6 Bcf/d to 2.65 Bcf/d by December 2023.
- • Matterhorn Express Pipeline is adding 2.5 Bcf/d of takeaway capacity by the fourth quarter of 2024. The 490-mile long pipeline will transport natural gas from the Waha Hub to Katy, Texas.
Texas Natural Gas Production Slipped in March Amid Low Prices - Natural Gas Intelligence -Texas natural gas production was down 77 Bcf year/year in March, according to preliminary data from the Railroad Commission of Texas (RRC).Regulators said production was 896 Bcf in March, or about 29 Bcf/d, compared to 973 Bcf, or around 31 Bcf/d, in March of last year. Production in February was 853 Bcf, or around 30 Bcf/d.The trend of lower year/year production comes amid sagging natural gas prices after a year of booming production in 2022. Annual natural gas production in Texas last year marked a six-year high. RRC recorded combined production at 11,445 Bcf, up from 10,802 Bcf in 2021.
Texas Allowed 1 Billion Pounds Excess Emissions Over 20 Years - In the early hours of August 22, 2020, Hurricane Laura was still just a tropical storm off the coast of the Leeward Islands in the Caribbean. But effects from the monstrous storm, which would ultimately take at least 81 lives, were already being felt on the U.S. Gulf Coast. As rain poured down on the Sweeny refinery in Old Ocean, Texas, that afternoon, two processing units failed, releasing nearly 1,400 pounds of sulfur dioxide, which can cause trouble breathing, and other chemicals. Over the next few days, Laura siphoned up moisture from the warm waters of the Gulf of Mexico and transformed into a Category 1 hurricane. In Texas, chemical plants began shutting down, hurriedly burning off unprocessed chemicals and releasing vast amounts of pollution in anticipation of the storm making landfall. On August 24, Motiva’s Port Arthur refinery released 36,000 pounds of sulfur dioxide, hydrogen sulfide, and other noxious pollutants. The next morning, Motiva began purging chemicals its plant had been processing, emitting nearly 48,000 pounds of carbon monoxide and propylene, among other pollutants. The following day, a Phillips 66 refinery in southwest Louisiana shut down, releasing more than 1,900 pounds of sulfur dioxide. Then, as gale-force winds swept through coastal communities and the relentless rain poured down, the chemical facilities increasingly malfunctioned. On August 27, an overflow container at Motiva’s Port Arthur refinery flooded, causing it to spew over 1,700 pounds of pollutants. Across the border in Louisiana, a chemical plant caught fire. In Texas alone, Hurricane Laura resulted in at least an additional 680,000 pounds of pollution — almost as much as the toxic load carried on the train that derailed in East Palestine, Ohio, earlier this year. These so-called “excess emissions” — the term of art for intentional and at times inevitable pollution beyond permitted levels — don’t just happen during hurricanes. From petrochemical refineries on the Gulf Coast to oil and gas wells in West Texas, hundreds of polluting facilities routinely emit hundreds of millions more pounds of chemicals into the air than their permits stipulate. The reasons are many: when a plant unexpectedly loses power, or when a customer is suddenly unable to receive the natural gas extracted at a well, or when a valve or pump or any other piece of complex machinery malfunctions. The resulting pollution contains nitrogen oxides, sulfur oxides, and a slew of carcinogenic chemicals. Companies claim that these emissions are unavoidable. When faced with malfunctions or natural disasters, facilities have no option but to quickly shut down, which forces them to burn off the chemicals they’re processing. It is a necessary evil — or so goes the claim. Excess emissions inhabit a legal gray area. Court rulings and regulatory decisions by the Environmental Protection Agency, or EPA, in recent years have noted that these emissions are illegal, but the decision to penalize polluters largely lies with state regulatory agencies — who rarely punish companies. Between 2016 and 2022, Texas regulators found that less than 1 percent of these events were actually “excessive,” meaning they prompted corrective action. Texas’ own analysis has found that it pursues penalties and monetary fines in just 8 percent of cases. The lack of enforcement has left environmental advocates dumbfounded.
EIA Sees Record U.S. Shale Output Despite Slow Growth - The biggest U.S. shale regions are expected to produce a record-high level of crude oil in July, but growth is sputtering and set to be the slowest since December 2022, data from the Energy Information Administration showed on Monday. The seven main shale-producing regions in the United States are expected to pump 9.375 million barrels per day (bpd) of crude oil next month, a record high, according to estimates in the EIA’s Drilling Productivity Report. While output could reach an all-time high, it would be only 8,000 bpd higher than the estimated June crude oil production of 9.367 million bpd. The Permian, the top-producing region, is set to see only a 1,000-bpd increase in output, although July production is expected at a record 5.763 million bpd. The rise in output would be the smallest in the Permian since February 2023. The Bakken region will lead the gains with crude oil production set to rise by 7,000 bpd from June to 1.214 million bpd in July. The estimated production from the shale basin in North Dakota and Montana would be the highest since November 2020, according to EIA’s forecasts. While small gains are expected in the other regions, the Eagle Ford is expected to see its crude oil production drop by 5,000 bpd to 1.117 million bpd, which would be the lowest output level since April 2023. In natural gas output, the Permian will lead gains in July, followed by the Bakken and Appalachia, while output in the Anadarko and Eagle Ford basins is set to decline next month compared to June, according to the EIA estimates. Over the past five weeks, the total number of active drilling rigs in the United States has dropped by 53, Baker Hughes data showed on Friday. The total rig count fell to 695 last week—38 rigs below this time last year. The current count is 380 fewer rigs than the rig count at the beginning of 2019, prior to the pandemic.
US judge orders Enbridge to shut down portions of Wisconsin pipeline within 3 years (Reuters) - A U.S. judge has ordered Canadian energy company Enbridge to shutter portions of an oil pipeline that runs through tribal land in Wisconsin within three years and to pay the tribe nearly $5.2 million for trespassing plus a portion of its profits until the shutdown is completed. U.S. District Judge William Conley issued the order on Friday in Madison. The judge's action came just over a month after the Bad River Band told him an immediate shutdown was needed following heavy spring rains that eroded a riverbank protecting the pipe. The pipeline carries 540,000 barrels of oil per day from Canada through the Great Lakes region. An Enbridge spokesperson said on Saturday the company plans to appeal the judge's order. In the ruling, Conley said a sudden shutdown could lead to oil shortages and price hikes in the United States, adding that "given the environmental risks, the court will order Enbridge to adopt a more conservative shutdown and purge plan." Enbridge said in court filings ahead of the judge's action that a hasty shutdown of the pipeline was unnecessary and would cause "extreme market turmoil." The company has proposed re-routing the pipeline around the tribal reservation, but has not received federal approvals to do so. Representatives for the tribe did not immediately respond to a request for comment. The tribe has said a breach in the pipeline along the 12-mile (19 km) segment that runs through the reservation could pollute important fishing waters, wild rice habitat and potentially underground aquifers. The tribe sued Enbridge in 2019, arguing that riverbank erosion threatened a "looming disaster" that warranted removal of the pipeline and saying that the company no longer had a legal right to operate on the property after pipeline easements allowing it to use the land expired in 2013. Conley ruled last year that the pipeline was trespassing on the land but stopped short of ordering a shutdown due to public and foreign policy concerns. The judge in November said significant erosion that could cause a rupture was unlikely, but told the parties to develop a shutdown plan anyway.
Montana gas power plant can resume construction, judge rules (AP) — NorthWestern Energy will resume construction of a natural gas power plant along Montana’s Yellowstone River following a two-month delay, a company spokesperson said Friday, after a state judge revived a pollution permit for the project despite lingering concerns over its planet-warming emissions. Work on the $250 million plant near the town of Laurel was largely halted in April when Judge Michael Moses cancelled its permit and said officials had failed to adequately consider the 23 million tons of greenhouse gases it would emit over several decades. But Moses reversed his earlier order late Thursday while an appeal from NorthWestern is pending before the Montana Supreme Court. The judge cited a “changing legal landscape” that includes a new state law that eliminated a requirement for state officials to look at climate impacts from emissions. Anne Hedges with the Montana Environmental Information Center said the group was considering its next steps. Many utilities across the U.S. have replaced coal power with less-polluting natural gas plants in recent years. But the industry remains under pressure to abandon fossil fuels altogether as climate change worsens. The Montana plant would produce up to 175 megawatts of electricity. Its air permit was challenged in a 2021 lawsuit from the Montana Environmental Information Center and the Sierra Club. Moses said restoring the permit could also help avoid future cost increases to customers of Sioux Falls, South Dakota-based NorthWestern, which had warned that the construction delay would drive up the project’s price. A spokesperson for the Montana Department of Environmental Quality, Rebecca Harbage, said the agency was pleased the judge recognized his earlier ruling’s potential negative impacts on customers. Steve Krum, a Laurel resident who’s opposed to the plant, said he wasn’t surprised by the judge’s ruling after Montana legislators excluded climate change from permitting decisions. Lawmakers are “looking out for NorthWestern Energy,” Krum said. “They are giving them what they want.”
EPA has new rules for oil spill dispersants - Alaska Public Media --The EPA has updated its rules on the use of chemicals to disperse oil spills. The rules for dispersants were last updated in 1994. That was just five years after a dispersant called Corexit was used in response to the Exxon Valdez oil spill in Prince William Sound. It was a highly controversial decision at the time, and the controversy arose again in 2010, when greater volumes of dispersants were deployed on the Deep Water Horizon spill, in the Gulf of Mexico. Dispersants may break up an oil slick, sparing some birds and wildlife at the surface, but may increase the oil contamination for species that live lower in the water column. The toxicity of dispersants themselves is also a concern for cleanup workers and other wildlife. A group of Alaskans filed a lawsuit in 2020 to force the EPA to rewrite the rules to take into account research on the long-term effects of dispersants in Prince William Sound and elsewhere. The new rules revise the testing protocols before a chemical can be added to the list of approved products, require public notification of dispersant use and require more disclosure of the impacts on health and the environment. They go into effect in December.
U.S. Officials Call Alaska LNG ‘Critical Piece’ in Japan, Korea Alliance - U.S. officials are continuing to pitch the Alaska LNG project as a key part of the country’s partnership with allies in Asia.U.S. Senator Dan Sullivan (R-Alaska) earlier in the month met with government officials and private firms in Japan and Korea to discuss collaboration between the countries, specifically around energy security.Like several other U.S. officials visiting Asia over the last few months, Sullivan highlighted the benefits of investing in the 2.6 Bcf/d liquefied natural gas project long-prosed in his state.“Alaska has a stellar, 50-year, uninterrupted record of exporting LNG to Japan,” Sullivan said. “It is a seven-day...
Canada, Ohio add drilling rigs; US total slips again | Oil & Gas Journal -- Canadian drilling activity continued to climb, adding 23 rigs this week after having added 39 last week. Working rigs in Canada now total 159, up 3 from a year ago, Baker Hughes Inc. reported Friday. The US, however, lost 8 rigs this week (all land), bringing its total to 687, 53 below year-ago levels. It was the seventh week in a row the US rig count slipped. Offshore drilling remained flat at 20 rigs working in US waters this week, but up 4 from the 16 working the same time last year. The number of US rigs drilling for natural gas decreased by 5 to 130 units this week. Oil drilling fell by 4 rigs to 552. Five rigs were unclassified, up one from last week. There were 52 US directional drilling rigs active this week, 1 more than the previous week; horizontal drilling decreased by 10 units to 615, while vertical drilling increased by 1 rigs to 20. Texas and Colorado drilling was flat this week at 347 and 16 units, respectively. New Mexico lost four rigs to drop to 104 and Ohio added three to reach 13.
TC Energy Closely Monitoring Wildfire Situation -TC Energy announced this weekend that it is closely monitoring the wildfire situation in Western Canada and associated evacuation alerts/orders. “Our priority is always the safety of our workers, their families, local and Indigenous communities, and first responders,” the company said in a statement posted on its website. In the statement, TC Energy noted that it is providing support and remaining in close contact with a number of TC Energy employees and their families who were forced to evacuate from the Edson, Alberta, area on Friday night. “We continue to monitor this dynamic situation closely and the potential impact to our employees who live and work in the area,” the company said in the statement. “As a precaution, employees are not being deployed to facilities near active wildfires unless necessary. These facilities are monitored 24/7 remotely and operations can be halted, as required,” the company added. TC Energy also highlighted in the statement that it has completed the controlled and safe shutdown of two compressor stations on its NOVA Gas Transmission Ltd. (NGTL) System and a gas storage facility, which it noted are in close proximity to active wildfires in the Edson area. “Other sections of the NGTL system and other pipeline systems continue to operate safely and we continue to monitor the situation closely,” the company said. “Our regional operations team continues to support various activities in response to the wildfires and we continue to work closely with local authorities and Alberta Forestry,” TC Energy added.
Frack Free BC brings anti-fracking campaign to Vernon - Members of Frack Free BC are spreading their message in Vernon this week. The coalition of environmental groups seeks to raise awareness and apply pressure on the provincial government to end fracking in B.C. "In addition to being B.C.'s largest carbon polluter, fracking is the only industry in B.C. that is permitted to extract billions of litres of fresh water from local lakes and rivers, pump it full of toxic chemicals, and dispose of it untreated," the group says. Jason Hjalmarson and Peter McCartney of the Wilderness Committee will be in Vernon Wednesday through Sunday to provide information and answer questions. Wednesday, they will hold a pub night at 1516 Pub & Grill, starting at 7 p.m. They will share a short presentation. Thursday, a free screening of the documentary Fracking the Peace will be shown at the Vernon library. The film follows people whose lives, water, and land have been changed by fracking. Doors open at 6 p.m., event begins at 6:30. On Friday, the Vernon Frack Free BC team will be at the Polson Night Market, from 4 to 8 p.m. with a petition to asking government to stop fracking in the province. Saturday, they'll also be at the downtown Vernon Sunshine Festival. Sunday, they'll be at the Sustainable Environment Network Society EV car show at the Kal Tire administrative offices parking lot on Kal Lake Road, 11 a.m. to 2 p.m. They'll also be canvasing neighbourhoods after that.
U.S. to Support LNG Exports to Poland with $500M Guarantee - The Biden administration has agreed to provide $500 million in guarantees for Poland’s PKN Orlen SA to provide more domestic LNG for European countries working to replace Russian natural gas.The U.S. International Development Finance Corp. (DFC) board approved a plan to back the Polish utility’s hedges for liquefied natural gas with a European unit of Goldman Sachs. The plan would “facilitate higher volumes of U.S. LNG imports” to Poland, according to DFC’s draft statement. “The project is expected to have a positive but limited development impact in Poland by helping to address the country’s growing demand for natural gas after Russia, which accounted for approximately 55% of Poland’s gas imports and 42% of total gas supply, halted gas exports to the...
Grain LNG Terminal Posts Nearly 103,000GWh in New One-Year High --The United Kingdom’s Grain liquefied natural gas (LNG) terminal made a domestic grid contribution of 102,589 gigawatt hours in the 12 months to May, hitting a new utilization record of nearly 45 percent, the operator said. The total sendout from June 2022 to May 2023 is equivalent to almost 14 percent of total gas demand in Great Britain, the National Grid Group PLC said in a press release Monday. The Isle of Grain facility also unloaded 111 ships over the same period, “demonstrating its continued global reach and operational capabilities”, said the electricity and gas supplier, which also operates in the USA. National Grid earlier posted a record number of ships berthing at Grain LNG from April 2022 to March 2023. The terminal saw 102 vessels berth during the period, breaking the previous high of 71 ships, in 2019-20, the London-headquartered owner said April 5. Grain LNG can hold about 35.31 million cubic feet (MMcf), making it the biggest in Europe in terms of storage capacity. The European Union’s largest in terms of storage capacity, the Barcelona LNG Terminal, can hold up to an estimated 26.84 MMcf, according to the latest European Commission data, published December 20. “For our customers, Grain LNG provides the ability to store the gas and send it out when the market conditions are right”, Grain LNG terminal import manager Simon Culkin said in Monday’s announcement. “With the ability to swing from minimum to maximum flows within a short period of time, it is also an ideal partner to intermittent renewables”.
Cuadrilla given another two years to return Little Plumpton fracking site --Fracking firm Cuadrilla has been given another two years to fully restore its controversial exploration site in Fylde to its former use as an unremarkable field.The plot, off Preston New Road in Little Plumpton, became the focus of semi-permanent protest after the government gave the green light for test drilling in October 2016. Work began the following April and – under the planning permission granted – the company was required to complete all decommissioning and restoration activity within a period of 75 months.However, Lancashire County Council’s development control committee has now agreed to a request from Cuadrilla to push back what would have been a deadline of next month until July 2025. No further fracking will be allowed to be carried out during that extended timeframe.In a meeting on Thursday morning, committee members were split over the proposal, which had been recommended for approval by County Hall planning officials who had described the delay as “unfortunate”, but concluded that it was acceptable.Fylde MP Mark Menzies and Fylde Borough Council had both objected to the plans, along with Fylde West county councillor John Singleton and 84 members of the public.A demonstration was staged outside County Hall ahead of and during the meeting by Nanashire – Nanas Against Fracking – and Preston New Road Rolling Roadside Protest.In his objection, Mr. Menzies said that there had been “adequate time”to restore the site, but suggested that Cuadrilla had not done so in the “hope that there will be a change of government policy”.Friends of the Earth made a similar charge, stating that the firm had “not accepted the reality of national policy”.
Analysts Warn Rising European Natural Gas Prices ‘Mask’ Overall Soft Demand – LNG Recap - Global natural gas prices are starting to tick upward once again as maintenance events and warmer weather appear to signal more demand for LNG, but analysts are warning a bearish summer could still lie ahead.After sliding for several weeks to the lowest points since 2021, prompt Asian and European prices began to rally again last Friday as traders started to weigh supply risks. Planned maintenance in both Norway’s prolific gas fields and across Gulf Coast liquefied natural gas terminals could take some volumes off the market as Europe faces a heat wave. The prompt Dutch Title Transfer Facility (TTF) eclipsed the $12/MMBtu mark for the first time since early May. It was trailed by Asian prices, which have remained around $9/MMBtu since last week.
Reports: CIA Told Ukraine Not to Bomb Nord Stream Pipelines - Several Western media outlets reported Tuesday that the CIA warned Ukraine last year not to bomb the Nord Stream natural gas pipelines that connect Russia and Germany. In recent months, US and other Western officials speaking to the media have suggested Ukraine was behind the Nord Stream sabotage. Most reports on the issue have ignored or dismissed the fact that journalist Seymour Hersh has sources who said President Biden ordered the bombing of the Nord Stream pipelines.According to unnamed US officials speaking to The New York Times,Dutch intelligence officials told the CIA in June 2022 that they learned of a Ukrainian military plot to attack the pipelines. The CIA then warned Ukraine not to carry out the attack, and US officials now believe it was postponed to September 2022.A European official told the Times that Ukraine’s original plan involved Ukrainian special forces renting a submersible vessel to attack the pipelines. The CIA was also said to warn Germany about a potential plot to sabotage Nord Stream.The latest Nord Stream allegations were first reported by the news outlet Die Zeit and NOS, a Dutch broadcaster. They claimed that the Ukrainian plot was overseen by Valery Zaluchny, the commander-in-chief of Ukraine’s armed forces.For his part, Ukrainian President Volodymyr Zelensky denied Kyiv was involved in the destruction of the pipelines. “I am president, and I give orders accordingly,” he said. “Nothing of the sort has been done by Ukraine. I would never act that way.”The idea that the US suspected Ukrainian involvement in the Nord Stream bombings first surfaced in a New York Times report that was published on March 7. Sources told Seymour Hersh that the report was a cover-up planted in the paper by the CIA to discredit his story that points the finger at President Biden.Hersh’s reporting on the Nord Stream plot hasn’t been confirmed, but the US is still a prime suspect as it had a clear motive and US officials made threats against the pipelines. On February 7, 2022, President Biden vowed to “bring an end” to the Nord Stream 2 pipeline if Russia invaded Ukraine.A few weeks earlier, Victoria Nuland, undersecretary of state for political affairs, made a similar threat. “If Russia invades Ukraine, one way or another, Nord Stream 2 will not move forward,” she said.
Shell Prioritizing LNG, Upstream Ventures – and Shareholders – in Revamped Capital Plans - Natural Gas Intelligence --Investments in low-emission technologies are taking a backseat to Shell plc’s Integrated Gas arm, as LNG prospects show promise for years to come, the executive team said Wednesday.Speaking during a Capital Markets Day at the New York Stock Exchange, CEO Wael Sawan said the London-based integrated major is tilting toward buffing up the Integrated Gas portfolio, which includes LNG, as well as the Upstream unit aimed at natural gas and oil production.“We are investing to provide the secure energy customers need today and for a long time to come, while transforming Shell to win in a low-carbon future,” Sawan said. “Performance, discipline and simplification will be our guiding principles as we allocate capital to enhance shareholder distributions, while enabling the...
Shell to put profits above clean energy as oil boss signals the speed to green will slow - Shell is set to scrap a target to reduce oil output by 1 to 2 per cent per year, its chief executive will tell investors next week. The energy group will keep oil output steady or slightly higher for the rest of the decade as part of chief executive Wael Sawan’s efforts to regain investor confidence as the energy firm wrestles with poor returns from renewables while oil and gas profits are booming. Mr Sawan, who took control of Shell in January with a vow to improve its financial performance as its shares lag rivals, will tell investors in New York this week that oil and gas will remain central to Shell for years to come, insisting that efforts to shift to low-carbon businesses cannot come at the expense of profits. He is expected to argue that world’s growing demand for fossil fuels has changed the rate and extent to which it can transition to cleaner energy. Shell produced around 1.5 million barrels per day (bpd) of oil in the first quarter of 2023, down by 20 per cent from 2019 production of 1.9 million bpd. It reported profits of almost £7.7bn ($9.65bn) for the same period amid soaring oil and gas prices. Output is now expected to remain flat and could slightly rise by the end of the decade depending on whether new projects meet profit thresholds as well as on the success of exploration activity, particularly in Namibia. The move is seen as a way of satisfying shareholders who want the company to pay out greater dividends. Returns from oil and gas typically range between 10 to 20 per cent and 5 to 8 per cent for solar and wind projects, experts say. It will anger climate-focused investors who want to see its record profits used to speed up the transition to renewable energy rather than slow the progress. Last month Shell security staff were forced to protect Mr Sawan and other board members when climate activists tried to rush the podium at its Annual General Meeting.
Shell Under Fire For Doubling Down On Oil And Gas -Institutional investors in Europe are disappointed with Shell’s new strategy to continue investing in oil and gas production and selectively pour capital into renewable energy solutions, to the point of some investors considering removing it from their portfolios.Earlier this week, Shell laid out plans to raise its dividend by 15%, effective from the second quarter 2023 interim dividend, as the UK-based supermajor pledged to grow its gas business and extend its position in the upstream.“It is critical that the world avoids dismantling the current energy system faster than we are able to build the clean energy system of the future. Oil and gas WILL continue to play a crucial role in the energy system for a long time to come with demand reducing only gradually over time,” Shell’s chief executive Wael Sawan said on Shell’s Capital Markets Day on Wednesday.“Continued investment in oil and gas is critical to ensure a balanced energy transition,” Sawan added in the pivot to ensure today’s energy needs, similar to what BP announced earlier this year.Shell will continue to be committed to oil and gas, with a focus on LNG growth, where it is the world’s leading trader, the company’s top executives said, but also reiterated the commitment to net-zero emissions by 2050.But fund and pension managers in Europe are unhappy with Shell’s new strategy. The UK’s largest fund manager, Legal & General Investment Management (LGIM), will ask Shell to detail how it plans to reach net zero by 2050 if it grows its upstream and LNG businesses.“There is a sense that oil and gas companies want to keep their options open in case the world misses the net zero by 2050 deadline,” Stephen Beer, senior manager for sustainability and responsible investment at LGIM, told Bloomberg in an interview. Another institutional shareholder, the Church of England Pensions Board, is now “reviewing our remaining investments in the company,” Laura Hillis, director for climate and environment at the Church of England Pensions Board, told Bloomberg.
NT chief minister sees room for gas fracking in road to net-zero - The Northern Territory’s Labor government has hit out at critics of the Middle Arm Sustainable Development Precinct after confirming that a controversial gas fracking hopeful and two green hydrogen projects had been allocated big parcels of land on the doorstep of Darwin Port.Chief minister Natasha Fyles said “a lot of nonsense gets sprouted” about the precinct where, as foreshadowed by The Australian Financial Review, five parcels of land have been set aside for Andrew Forrest’s Fortescue Future Industries and French oil and gas major Total with green hydrogen projects, Tamboran Resources, vanadium play Tivanand phosphate-focused Avenira.Tamboran, aiming to develop the giant Beetaloo Basin gas field through fracking, said on Friday that the NT government had granted it exclusivity over 170 hectares on the precinct for a proposed LNG development.Despite Tamboran’s involvement, Ms Fyles continued to talk up the green credentials of the precinct, saying: “This is what responsibly decarbonising and diversifying our economy looks like.”Tamboran chief executive Joel Riddle said securing the strategic site was a milestone in plans to deliver large volumes of gas from the Beetaloo Basin to East Coast and international markets.Traditional owners in the Beetaloo Basin represented by the Nurrdalinji Aboriginal Corporation have called on the Albanese government to withdraw $1.5 billion in funding for the port and other facilities at the precinct because of Tamboran’s involvement.The NT government said a carbon capture utilisation and storage hub would be developed on the precinct to mitigate emissions from existing and future natural gas processing. It said this would accelerate low-emission industry development, including hydrogen production.
‘Who stole our oceans?’: Campaign under way to ban fracking - The ‘Who Stole Our Oceans’ campaign is an environmental and social justice campaign launched by The Green Connection in 2020, in a bid to protect oceans for future generations, with a particular emphasis on opposing offshore oil and gas exploration. The Rural Action for Climate Resilience (RACR) spoke to Neville Van Rooyen, Community Coordinator of Green Connections who explained about the campaign. “The organisation has started a campaign, ‘Who stole our Oceans’, in an attempt to ban fracking in the ocean, which is the process of drilling, using high-pressure fluid injections to shatter rocks and extract natural gases, releasing methane, a greenhouse gas more potent than carbon dioxide.” As part of the campaign, ‘Who Stole Our Oceans’, The Green Connections, together with civil society organisations oppose seismic surveys of the West Coast.“ According to Van Rooyen the livelihoods of the fisher-folk communities surrounding the Northern Cape Coastal Villages and the West Coast are bearing the brunt of fracking and drilling in the ocean by big corporate companies. The fish are becoming scarcer with every day that passes. He told to RACR that the fishermen are required to sail deeper into the ocean, to acquire an adequate number of fish to make ends meet. They do not always have the appropriate equipment to fish deeper in the oceans. “We believe our ocean must be kept clean and safe for our people because our cultural association with the ocean runs deep and has for many years.” said Van Rooyen. “Our fisherfolk communities know nothing other than fishing and their lives are built thereon,” said Van Rooyen. He further stressed that an oil leak in the ocean would not only negatively affect the fisherfolk community but also the biodiversity. “An oil leak does not only affect the quality of marine life but can also be lethal,” he said. The Green Connections Co-ordinator believes there are alternative development methods, that are not harmful to the environment and do not negatively impact people’s livelihoods. He adds that renewable energy is an alternative to oil and gas which is detrimental to the environment and contributes to climate change. “These massive oil companies dump their toxic chemicals into the oceans, destroying marine life, the ecosystem, and the livelihoods and well-being of the fisherfolk communities,” Van Rooyen told RACR. Green Connections oppose offshore oil and gas exploration. “Shell has tried to carry out seismic surveys along the biodiversity-rich wild coast, where many coastal communities depend on the ocean for their livelihoods,” said Van Rooyen, adding that Green Connections has successfully taken legal action to interdicted searchers from starting seismic surveys on the west coast. Devine Witbooi, a resident from Lutzville, in the West Coast told RACR that many people from Lutzville rely on the fish trade as a source of income. “Losing this source of income, increases poverty in the community and leads to many social ills,” said Witbooi. “Greed drives many of these companies. They exploit and destroy biodiversity and the people who bear the brunt of the harshest conditions of climate change, are people in rural communities,” Witbooi added.
How the gas flares in Nigeria are fuelling a health crisis - - Tom Brown and Christina Last write for The Telegraph about Nigeria’s oil-rich south, where companies are burning off so much excess gas it's enough to power the whole of sub-Saharan Africa.In Nigeria's oil-rich city of Port Harcourt, gas flares belch toxic pollutants into the air, enveloping the area in a suffocating and hazardous environment. Over 230,000 people reside within two kilometers of these flares, enduring exposure to the resulting black fumes and toxins. Gas flaring, a practice employed by companies to burn off natural gas during oil drilling, not only wastes a valuable resource but also contributes to environmental devastation and health crises. The prevalence of birth defects in Port Harcourt is alarmingly high, and air pollution levels exceed recommended safety limits, causing respiratory problems and long-term health issues.“Flaring activity should be put behind us, but up to this date, nobody has been able to do that,” says King Johnson Ologho Erieyowe, a community leader who lives on the outskirts of a mangrove forest in the Delta. “It is a long battle.”Gas flaring poses a significant threat to public health. In addition to causing respiratory and other health issues locally, the flares release massive amounts of methane and CO2 into the atmosphere, contributing to climate change and exacerbating the global warming crisis. The resulting environmental havoc affects not only local communities but also has far-reaching consequences for people worldwide.Read more at The Telegraph.
India: Authorization And Declaration Of Natural Gas Pipelines - Natural Gas Pipelines are, without a doubt, critical infrastructure. A robust pipeline infrastructure is necessary to ensure efficient delivery of natural gas to its industrial users and consumers. For more reasons than one, it is crucial to ensure that pipeline infrastructure is accessible to large numbers and redundancy is avoided. It only requires little imagination to understand the consequence if access to pipelines was controlled wholly by the owners, who are likely to be organizations with deep pockets and who may or may not engage in practices not conducive to competition and fair play. This is a complex issue, especially given that petroleum and natural gas marketing and distribution was initially confined only to a few public sector undertakings and thereafter included a few private players, and merits a separate study.The Petroleum and Natural Gas Regulatory Board ('The Board') was established under the PNGRB Act through a notification by the Central Board on October 1, 2007 ('appointed day'). The Board regulates the refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas, excluding the production of crude oil and natural gas. This write up draws focus on the process involved in authorization and declaration of a 'natural gas pipeline' under the 2008 Regulations.Any entity that intends to lay, build, operate or expand a pipeline as a 'common carrier' or 'contract carrier' is required to obtain authorization under the PNGRB Act, by applying in writing to the Board. The PNGRB Act grants certain powers to the Board, including the power to declare an existing pipeline as a 'common carrier' or 'contract carrier' and regulate such a pipeline. The authorization in respect of a pipeline as granted by the Board to an entity, determines its status and the charges and tariff rates applicable to it. Therefore, the legal status of a natural gas pipeline is relevant.The write up discusses the procedure of authorization and declaration of a natural gas pipeline as a common carrier or a contract carrier and the consequences that may follow if such procedures are not being followed or adhered to by the entities or the Board. The authorization and declaration of City Gas Distribution ('CGD') network and the technical criteria for the determination of a pipeline as a common carrier or contract carrier is outside the scope of this write up.
Deadly Cyclone In India Halts Fuel Exports And Operations At Offshore Rigs --A severe cyclone off India’s western coast has suspended oil product exports from one port and halted operations at offshore oil platforms and other ports as authorities are evacuating people from coastal areas where the tropical cyclone Biparjoy in the Arabian Sea has already claimed seven lives.Biparjoy is expected to make landfall on Thursday between Mandvi in India’s western state of Gujarat and Karachi in Pakistan.Many offshore oil and gas platforms are located off Gujarat, which is also home to several major ports. Most of those have had to halt operations ahead of the cyclone.India’s large private refiner Reliance Industries, which operates the largest refining hub in the world, Jamnagar, was forced to halt exports of diesel and other refined petroleum products from the port of Sikka, due to the cyclone, traders toldReuters on Monday.Reliance Industries has declared a force majeure on petroleum product exports from the port of Sikka, it wrote in a letter to traders cited by Reuters.The refinery at Jamnagar, capable of processing 704,000 barrels per day (bpd) of crude, is a key diesel exporter from India. In recent months, Europe has raised its imports of refined petroleum products from Asia after the EU banned imports of seaborne Russian oil products as of February 5. On Monday, Indian Coast Guard airlifted 11 personnel from the jack-up rig ‘Key Singapore’ operating off Dwarka to Okha off Gujarat. By Tuesday morning, all 50 personnel have been evacuated from the rig, the Indian Coast Guard said.
India's Infinite to Build Oil Refinery in UAE: State Media --Indian company Infinite Mining & Energy will expand operations in the United Arab Emirates (UAE) by building a multifunctional oil refinery in the Hamriyah Free Zone in Sharjah, according to a report from the Emirates News Agency. The new facility will have a production capacity of 10,000 barrels per day and an annual refining capability of 3.6 million barrels, the state-owned news agency said. Under the agreement between Infinite and the Hamriyah Free Zone Authority (HFZA), Infinite will lease a plot of land measuring 200,000 square feet in the free zone for the facility. The expansion project, which would double Infinite’s investment in the free zone, will significantly increase the company’s storage capacity and help meet the growing demand for its services and products, the report said. The expansion “reinforces HFZA’s appeal and significance in the oil, energy, and various other sectors”, the report quoted HFZA Director Saud Salim Al Mazrouei as saying. "Infinite’s new facility will be a significant addition to the emirate's burgeoning economic landscape through its production volume, which caters to the demand for energy products and derivatives for both existing and future industrial projects." Al Mazrouei highlighted the favorable investment climate that HFZA offers to energy and oil investors. “This strategic positioning supports import and export operations for our investing companies, offering easy access to major markets. Coupled with our range of distinguished services, state-of-the-art infrastructure, world-class logistics services, and facilities, we have grown to become the second-largest petrochemical center in the country”, he said. Infinite began operations in the Hamriyah Free Zone in 2018, noted Infinite Managing Director Bilal Merchant. “HFZA’s strategic geographical location aligns perfectly with our company's specialties in the petrochemical, metallurgy, and energy sectors, enabling us to maintain direct interactions with leading manufacturers both locally and globally”, Merchant said. According to the HFZA website, the Hamriyah Free Zone has an oil and gas zone spanning more than 49.5 million square feet (4.6 million square meters) and offers a host of integrated solutions for upstream, midstream, and downstream projects. The zone is also the second-largest petrochemical hub in the UAE.
Brazil Gears Up To Become Fourth Largest Oil Producer -For nearly two decades, South America’s largest economy Brazil has been reaping a tremendous economic windfall from a massive oil boom that kicked off with the first offshore ultra deep-water pre-salt discovery in 2006. The boom nearly collapsed as corruption, mismanagement and malfeasance saw national oil company Petrobras laden with so much debt it was almost forced to declare bankruptcy. Since then, industry reforms and rationalization coupled with higher oil prices had reinvigorated the massive fossil fuel boom underway in Brazil, although it nearly faltered for a brief moment when left-wing President Luiz Inácio Lula da Silva assumed power. There are indications that Brazil, regardless of the naysayers, is on track to become the world’s fourth-largest oil producer, which will be a tremendous boon for the economy. Data from Brazil’s hydrocarbon regulator, the National Agency of Petroleum, Natural Gas and Biofuels (ANP – Portuguese initials), shows that for April 2023, the country pumped an average of 3.1 million barrels of oil per day. That number is almost 1% higher than a month earlier and 5% greater year over year. Total hydrocarbon output for April 2023 amounted to just over 4 million barrels of oil equivalent per day which was 1.1% higher month over month and 4.4% greater than a year earlier. Those numbers represent a modest recovery after a March 2023 slump because of rising industry concerns that Lula will take a more interventionist approach to Brazil’s oil industry. That growth indicates Brazil possesses the potential to become the world’s largest oil producer, especially when it is anticipated the country 2023 will add 300,000 barrels per day, taking production to 3.4 million barrels daily by the end of the year. During 2022, Brazil was ranked ninth globally by oil production, ahead of Kuwait and behind Iran, lifting an average of just over 3 million barrels per day. Suppose Latin America’s largest economy is to become the world’s fourth-largest oil producer. In that case, it will need to be pumping more than 4.5 million barrels of crude oil per day so as to overtake Canada, which currently holds that spot. Brazil’s energy ministry expects the country will be pumping 5.4 million barrels daily by 2029, which is a whopping 80% higher than the 3 million barrels of oil lifted daily during 2022. Consistent year-over-year growth in hydrocarbon production indicates that Brazil indeed possesses the potential to expand production and become the world’s fourth-largest oil producer. Such a massive leap in oil output will be driven by expanding pre-salt oil production, which Brazil’s energy ministry believes will eventually be responsible for 80% of the country’s hydrocarbon output compared to around 77% at this time. For that to occur, there must be a significant increase in production which can only occur if energy investment and drilling expand substantially. The energy ministry hopes to stimulate this through a plan called the Potencializa E&P programme, the main tenets of which are to encourage investment in frontier, commercially marginal and mature oil basins. There is also a push to expand spending and activity on onshore drilling in Brazil, with news agency Reuters pointing out that small to medium-sized energy companies planning to invest $7.7 billion in onshore operations between now and 2029.
Russia Turns Oil Tap for North Korea Back On -Russia has resumed sending oil to sanctions-hit North Korea for the first time since 2020, deepening cooperation between the two nations that the US claims also includes sending arms from Pyongyang to help the Kremlin’s war in Ukraine. A report released this week from a United Nations sanctions committee said Russia began sending refined petroleum products to North Korea in December 2022, which has continued into 2023. The shipments had been halted in about October 2020, the data showed, but Russia has sent about 67,000 barrels of oil since it restarted the flow. The resumption of oil shipments comes as cooperation between the long-time partners has picked up in recent months, raising concerns that both nations may be evading sanctions in a partnership that helps North Korea’s beleaguered economy and funnels arms to Russian President Vladimir Putin for his attack on Ukraine. Russia and North Korea appeared to have resumed trade over their sole rail link late last year, according to satellite images published by the 38 North website. The link had been closed in February 2020 when Kim Jong Un sealed his borders against the emerging Covid-19 threat. “We are concerned that the DPRK is planning to deliver more military equipment to Russia,” a US State Department spokesperson told Reuters on Tuesday, referring to North Korea by its official name. The State Department didn’t respond to a request for comment after normal business hours. The US in recent months has accused North Korea, which has backed Russia’s invasion, of sending arms and ammunition to aid Putin’s war, including shells and rockets. Pyongyang has dismissed the claims as groundless rumors. One thing Kim’s regime has in abundance is weaponry, especially the Soviet-era artillery experiencing a revival on the frontlines of Ukraine. North Korea possesses stores of munitions to supply what the International Institute of Strategic Studies estimates is an arsenal of more than 21,600 artillery pieces, a force that has for decades held Seoul under the threat of devastation. While the Biden administration said the weapons won’t do much to alter the battlefield, the sales would open a stream of revenue to a North Korean state isolated from much of world trade.
Russia’s Oil Production In April Down By 100,000 Bpd To 9.6Mln Bpd - OPEC Report - Oil production in Russia in April decreased by 100,000 barrels per day month-on-month to 9.6 million barrels per day, according to a fresh report by OPEC released on Tuesday. OPEC said in May that Russia's oil output in March stood at 9. 7 million barrels per day. "Russia's liquids production in April fell m-o-m by 176 tb/d to average 10.9 mb/d. This includes 9.6 mb/d of crude oil and 1.4 mb/d of NGLs and condensate," the report said.
Oil spill in Russia's Irkutsk region prompts emergency, clean-up efforts-(Xinhua) -- A state of emergency has been declared in Kirensky District of Russia's Irkutsk region, where an oil spill occurred after two tankers collided on the Lena River on Monday evening, regional governor Igor Kobzev announced on Tuesday via social media. According to Kobzev, one of the tankers, Erofey Khabarov, was carrying 832 tons of gasoline and sustained damage to one of its tanks, which held 138 tons of fuel. The crew managed to pump the remaining gasoline into another tank and install a fence boom around the vessel to contain the spill. The second tanker, TR-901, was under repair and did not carry any cargo. Kobzev said that the authorities were assessing the volume of oil products that got into the river and working to prevent water intake from the river by downstream settlements. He added that the situation is complicated by the fact that the river is navigable and there are 11 settlements in the area that may be affected by the spill. The East Siberian Transport Prosecutor's Office said that a commission has been appointed to investigate the causes of the accident and evaluate the environmental damage. The owners of the vessels are being questioned and may face administrative or criminal charges.
Oil removal from tanker to be completed by June 19 — The removal of the remaining fuel oil from the sunken MT Princess Empress off Oriental Mindoro is expected to be completed on June 19, Rear Adm. Armand Balilo, spokesperson for the Philippine Coast Guard (PCG), said on Saturday. “Hopefully we can beat the target or we can beat the deadline by June 19 to end that oil spill,” Balilo told a news forum in Quezon City. Balilo said the siphoning operations began on May 29 with the help of the Fire Opal, a diving support vessel from the Malayan Towage and Salvage Corp. “There is a hose attached and being brought to the tanks inside the ship and [the oil] is being siphoned out, and hopefully, by June 19, the siphoning operations will be finished,” he added. The PCG official said the oil could no longer spread to areas near the site of the sunken oil tanker as personnel used a catch can to contain and collect the seepage.“There’s a catch can where the leaking oil go and the oil gathered is also siphoned to the tank of the Fire Opal,” he said. Balilo was referring to the specialized catch can, which was deployed to collect the remaining oil of the sunken tanker, which lies at a depth of 400 meters below sea level.
Stricter UAE ship insurance rules look to cut oil spill risks – WAM - Tougher requirements for some ship insurers covering United Arab Emirates ships are aimed at boosting environmental safety, the UAE state news agency (WAM) reported, amid growing concerns over unregulated shipping. The UAE’s energy and infrastructure ministry in a June 2 circular announced it would tighten insurance criteria for vessels registered under its flag for insurers that are not part of the leading International Group of ship insurers, known as P&I clubs, which cover 90% of the world’s ocean-going fleet. “By prioritising stringent P&I standards, we ensure the safety, financial security, and environmental stewardship of our maritime activities, attracting reputable investors,” Hessa Al Malek, advisor to the Minister for Maritime Transport Affairs, was quoted by WAM as saying. WAM said the move would also reduce the risk of accidents and oil spills, leading to a safer and more secure marine environment. Hundreds of “ghost” tankers, which are not fully regulated, have joined an opaque parallel shipping trade over the past few years, carrying oil from countries hit by Western sanctions and restrictions, including Russia and Iran. The number of incidents last year, including groundings, collisions and near misses involving these ships reached the highest in years, a Reuters investigation showed. The Financial Action Task Force in March 2022 included the UAE on a list of jurisdictions subject to increased monitoring, known as its “grey” list. The UAE is one of the world’s biggest maritime hubs and has also become an operating location for shipping companies who do not have top tier insurance cover or other services from the world’s biggest providers such as safety certification.
Saudi Arabia, Kazakhstan sign deal to boost energy cooperation— Saudi Arabia and Kazakhstan signed on Monday a memorandum of understanding in the field of energy. Minister of Energy Prince Abdulaziz bin Salman held a meeting in Riyadh with Minister of Energy of Kazakhstan Almasadam Satkaliyev to discuss ways of cooperation between the two countries in the fields of energy, in addition to discussing developments in the global energy market. The agreement includes encouraging cooperation in the fields of petroleum and its derivatives, gas and its derivatives, refining, petrochemicals, electricity, renewable energy, clean hydrogen, energy efficiency, storage, and development. The agreement also covers cooperation in the field of circular carbon economy and its technologies aimed at reducing the effects of climate change. The memorandum also includes the development of qualitative partnerships between them to localize materials, products and services related to all energy sectors, supply chains and technologies, cooperation in developing innovative uses of hydrocarbons in various sectors, and cooperation in energy fields related to digital transformation, innovation, cyber security and artificial intelligence.
Iran Oil Exports Hit A 5-Year High --Iranian crude exports exceeded 1.5 mb/d in May, the highest level since 2018 despite the country still being under U.S. sanctions. Last month Tehran said it has boosted crude output to above 3 million bpd, again the highest since 2018.Last week, oil prices tanked after reports emerged that the U.S. and Iran are making progress after resuming talks on a nuclear deal, a move that could ease sanctions on Iran's oil exports. Israel's Haaretz newspaper reported that the talks are moving forward more rapidly than expected, with the possibility of a deal being struck in a matter of weeks. Deal terms are likely to include Iran ceasing its 60% and higher uranium enrichment activities in return for permission to export as much as 1M bbl/day of oil.Prospects of reviving the Iran nuclear deal have swung dramatically, from near certain in March 2022 to almost nil by the end of the year and now this. Iran’s dire economic situation is likely to force its hand into eventually accepting monitoring and signing a new nuclear deal sooner rather than later, with the country’s foreign currency reserves having greatly dwindled from $122.5 billion in 2018 to a mere $20 billion in 2021 before recovering to $41.4 billion in 2022. With the rate of foreign currency-denominated capital flight out of Iran running at nearly $ 5 billion per month, Iran is not in a very enviable situation. A successful nuclear deal could change the oil markets, with former Iran oil minister Bijan Namdar Zanganeh saying that his biggest dream has always been to increase Iran’s oil output to six million barrels per day; earn $2 trillion through oil exports over the next two decades and use the income to invest in the country’s development. Iran’s current production is considerably lower than the 2018 peak at 3.7 mb/d. Boosting production from the current level to anywhere close to 6mb/d could take several years at the very least due to years of underinvestment.
Iraq Gets U.S. Approval To Clear $2.76 Billion Gas Debt To Iran The Iran-Iraq Joint Chamber of Commerce Chairman, Yahya Al-e Eshaq, announced on June 10 that Iraq has released $2.76 billion worth of Iranian funds in gas export money owed by Baghdad. Iraq received a sanctions waiver from the US to make the payment. According to an unnamed foreign ministry official that spoke with Reuters, Foreign Minister Fuad Hussein got the clearance to make the payment from US State Secretary Antony Blinken on the sidelines of the Riyadh Conference on Thursday. Eshaq told Iranian media on Saturday that the released funds will meet the Central Bank of Iran (CBI) demands and ensure the purchase of goods needed in the country. He added that the funds could significantly help stabilize the foreign exchange market. In April, Eshaq said that Tehran and Baghdad had "found several solutions to receive our debt from the Central Bank of Iraq, so Iraq’s outstanding payments to Iran will be cleared gradually within the next three to five months." The US green light to release the money comes following reports that Iranian and US negotiators recently held "proximity talks" in the Omani capital Muscat, with Omani officials going between them and passing messages. According to the sources, the talks aimed to deescalate tensions as a basis for future talks on a new nuclear agreement between the parties. After months of talks between Iran and the remaining signatories of the JCPOA, last September — under heavy Israeli pressure — the US put an end to any hope of reviving the deal. Since then, Iran has restored ties with Saudi Arabia under a Chinese-brokered deal and is reportedly working alongside Gulf countries to form a "naval alliance" to protect the northern Indian Ocean.Earlier this week, Iranian media reported that $24 billion of Iran’s frozen assets would soon be released from Iraq and South Korea.
Iran, Venezuela eye trade increase, sign petrochemical deal - Iran and Venezuela want to increase bilateral trade to $20 billion, up from $3 billion, Iranian President Ebrahim Raisi said on Monday during a visit to Caracas. During the visit the two countries signed a memorandum of understanding to expand cooperation in petrochemicals with a view to carrying out joint projects, building on their already-close cooperation in oil. "We have decided to increase the cooperation between the two countries," Raisi said through translation in a statement with Venezuelan President Nicolas Maduro after the petrochemical deal and a dozen other cooperation deals were signed. "The goal we have for commercial and economic cooperation, the first step is to take the level of cooperation to $10 billion," Raisi said. "The next step, we want to take it to $20 billion." He provided no time frame on the goal. The governments, both under U.S. sanctions, provided no details of the petrochemical deal. Venezuelan state television said the accord between Venezuelan state petrochemical firm Pequiven and its Iranian counterpart would facilitate cooperation in oil exploration and development and assess the possibility of joint projects. The countries also signed a deal to expand cooperation in mining, but provided no details. Maduro hailed Raisi's visit and the two countries' bilateral relationship and said further deals and investments were on the horizon. The Caracas visit is the first stop on a Latin American tour by Raisi, who will also travel to Cuba and Nicaragua. Iran and Venezuela signed a 20-year cooperation plan in Tehran last year, pledging partnership on oil, defense and other issues. That deal includes repairs to oil refineries in Venezuela, which has the world's largest crude reserves but has struggled to produce enough gasoline and diesel, leading to intermittent shortages that have forced drivers to queue for hours. Iran has provided fuel and diluents to convert Venezuela's extra-heavy crude into exportable varieties and since 2020 has supplied parts for repairs to the refining circuit.
OPEC Oil Output Down By 464,000Bpd Month-on-Month To 28.06Mln Bpd In May - Report - OPEC oil production decreased by 464,000 barrels per day in May � the first month of voluntary output cuts � compared to the level of April to 28.06 million barrels per day, according to its fresh report published on Tuesday. "According to secondary sources, total OPEC-13 crude oil production averaged 28. 06 mb/d in May 2023, lower by 464 tb/d m-o-m. Crude oil output increased mainly in Nigeria, IR Iran and Angola, while production in Saudi Arabia, the UAE and Kuwait declined," the report read. According to OPEC data, the alliance's compliance with the oil production cut deal was fulfilled by 252%, with the organization cutting the production by 1.9 million barrels per day on top of obligations.
Supertanker Rates Soar As Middle East Oil Shipments Jump Daily rates for chartering a supertanker to carry oil from the Middle East to Asia have soared this week to the highest since April as the number of cargoes booked this month for Middle East-Asia routes has exceeded expectations, shipbrokers and analysts have toldReuters. Refineries in Asia have mostly completed spring maintenance and are increasing run rates to meet fuel demand in the summer driving season. In addition, the number of tankers booked this month to ship crude from the Middle East has jumped to the highest so far this year, according to a tanker broker at Fearnleys, who spoke to Bloomberg this week.“The VLCC market has gone from strength to strength in the week gone by,” Fearnleys said in a weekly report on Wednesday, referring to the market of very large crude carriers (VLCC) capable of carrying up to 2 million barrels of oil.The jump in the number of tankers that have joined the so-called “dark fleet” to ship Russia, Venezuelan, and Iranian oil has additionally tightened tanker availability in recent months.What’s more, this week, the tropical cyclone Biparjoy in the Arabian Sea has disrupted port operations on India’s western coast and tankers could be delayed on their return to the Middle East.The biggest driver of surging supertanker rates seems to be the larger number of Middle East cargoes going to Asia booked this month.“We are seeing more end-June cargoes than expected,” an anonymous shipbroker told Reuters.At least 156 tankers are being chartered to load crude in the Middle East en route to Asia this month, compared to 137 in May, the shipbroker added.
Analyst Looks at Decreasing Oil Price --The front-month Brent contract traded to a high of $78.73 per barrel on June 5 in response to the unilateral surprise cut of one million barrels per day for July by Saudi Arabia, but, since then, it has gradually ticked lower. That’s what Bjarne Schieldrop, the Chief Commodity Analyst at SEB, outlined in a statement sent to Rigzone on Tuesday, adding that, on June 12, it was down 1.6 percent to $73.6 per barrel “for no other obvious reason than that Goldman gave up on its $95 per barrel end of year target and replaced it with $86 per barrel”. “In its latest oil market report, the IEA projects that the world will need 30.5 million barrels per day from OPEC in H2-2023 as the world will consume 103 million barrels per day in Q3-2023 vs. 100.6 million barrels per day in Q4-2022,” Schieldrop said in the statement. “But the market is obviously not buying into this projection at all and the two to three million barrel per day deficit,” he added. “Instead, oil is selling off in the face of Saudi July cuts, Saudi July price hikes (OSPs), and large deficit projections by the IEA. The current sell-off in oil is an implied assumption by the market that oil inventories will build in July,” he continued. Schieldrop highlighted in the statement that demand needs to be below 100 million barrels per day for that to happen, “so there is an implied difference in demand in July between the IEA and the market of more than three million barrels per day”. “For the moment the market is practicing an attitude to the oil market of ‘I don't believe it before I see it’,” he said. In the statement, Schieldrop said the market has doubts about demand but noted that it shouldn't doubt Saudi Arabia’s determination. “Saudi Arabia has lifted its Official Selling Prices for July by 45 cents per barrel for all grades. Not only is Saudi Arabia reducing supply by one million barrels per day in July, it is also lifting its prices as well,” he said. “The effect of this is that it will push its term-buyers to buy more in the global spot market thereby firming up that market and its spot oil prices,” he added.
Oil prices drop below 70 per barrel as investors fear Fed rate hike --Oil prices dropped over $2 per barrel in this morning’s trading as investors fear further rate hikes from the Federal Reserve this week, when it meets to discuss interest rates. Concerns over flagging fuel demand in China and rising supplies of Russian crude are also weighing down both major benchmarks. Brent Crude has dipped 2.58 per cent to $72.86 per barrel while WTI Crude plummeted 2.91 per cent to $68.13 per barrel. This follows both benchmarks reporting their second week of declining prices this month. The Fed is set for a two-day session – finishing on Wednesday – and its hawkish response since inflation rose last summer has strengthened the US dollar. As it stands, interest rates set at 5-5.25 per cent, driving down prices and making commodities more expensive for holders of other currencies. The consensus amongst analysts is that the central bank will keep interest rates on hold, but observers will focus on the tone used to deliver the announcement. “Should the Fed continue to focus on fighting persistently high inflation through stringent monetary tightening, it will eventually achieve its objective, but the side effect will be an economic slowdown. It’s this perspective of a Fed-driven decline in demand that is now being discounted by investors, creating a downside for oil prices.” Meanwhile, persistently gloomy economic data from China has raised concerns about demand in the world’s largest crude importer. Fiona Cincotta argued that global recession fears will continue to drag on the demand outlook – despite OPEC cuts and its attempt to prop up prices. “Oil fell last week after disappointing Chinese data raised concerns over the strength of the recovery of China, the world’s largest importer of oil. This offset the production cut of one million barrels per day announced by Saudi Arabia,” Saudi Arabia’s energy minister Prince Abdulaziz bin Salman warned last weekend that OPEC+ was battling against “uncertainities and sentiment” within the market. While Saudi Arabia has cut oil production four times in the past year, Russian production has held up as sanctions have had less of an impact on output . The Kremlin’s exports to China and India have risen despite Western sanctions, and the G7’s price cap. This has caused Goldman Sachs to slash its oil price forecasts, alongside more output from Iran and Venezuela. Its crude price forecast for December 2023 now stands at $86 a barrel for Brent, down from $95, and at $81 per barrel for WTI, down from $89.
Oil Deepens Losses on Russian, Iranian Supply Prospects - - Oil futures accelerated losses early Monday, sending the international crude benchmark towards $73 bbl as investors assess supply balances amid stronger-than-expected crude exports from Russia, Iran and Venezuela among others that are seen offsetting a 1-million bpd production cut introduced by Saudi Arabia. The oil complex kicked off the new trading week with another wave of selling after investment bank Goldman Sachs revised lower its price forecast for Brent and WTI through 2024. The bank now believes oil prices will end this year at $86 bbl, down from its earlier forecast of $95 bbl. For 2023, Goldman forecasts an average price of $82 bbl, compared to its prior $88 bbl forecast. Driving the revisions are stronger-than-expected supplies from Russia, Iran and Venezuela that are seen circumventing sanctions in recent months. Goldman Sachs revised its supply forecast for all three countries through 2024. The Saudi plan to slash output by 1 million bpd from July will only partly offset that increased supply, Goldman said in a Sunday note. For context, Russian crude oil exports have fully recovered to pre-war levels despite the decision by many companies to stop buying Russian oil and a ban of Western financial and logistical services. S&P Platts Global Commodities estimates Russia-origin seaborne oil flows averaged 3.76 million bpd last month -- the highest since April 2022 and almost 20% above the pre-war level of 3.1 million bpd. Iranian exports have also risen, partly on the back of a recovery in Chinese demand, while Venezuelan production has edged higher following new production and export licenses re-introduced in November 2022. Further adding to the bearish sentiment, regional news outlets in the Middle East reported last week the United States and Iran may be nearing a temporary nuclear deal that could un-sanction Iran's oil exports, adding large supplies of crude to the global market. Although the White House quickly dismissed media reports of a breakthrough, the oil complex remains under pressure as markets assessed the potential for a nuclear deal to be reached in the coming weeks. Israel's Haaretz and other regional outlets cited high-ranking Israeli officials who said the talks are moving forward more quickly than expected, with the possibility for the two sides to reach an agreement as early as June. Iran could restore about 1 million bpd of crude oil production within months of a deal, traders and analysts said last year before talks broke down. It could be back to full capacity of about 3.7 million bpd by next year. The Persian Gulf country's oil exports already climbed to about 1.3 million bpd in November, and last month held near the highest in four years, according to data from Vortexa Ltd. The fact that OPEC+ announced two production cuts in less than two months on top of a reduction of 2 million bpd unveiled late last year highlights its failure to jawbone prices higher against centrifugal forces of the global economy. Manufacturing industries in China, the United States and European Union Western, accounting for a large chunk of global oil demand, fell into recession late last year and in recent months have shown few signs of improvement. For context, the U.S. manufacturing sector contracted in May for the seventh straight month and is now at the lowest level since the early days of the COVID pandemic in May 2020. The index has already been below 50 for longer than in most mid-cycle slowdowns, generally eight months or fewer. Near 7.30 AM ET, NYMEX WTI July futures declined $1.12 to $70.17 bbl, while the front-month August contract for the Brent international crude benchmark fell $1.37 to $73.40 bbl. NYMEX RBOB July futures declined $0.0289 to $2.5643 gallon and ULSD July futures dropped to $2.3360 gallon.
Oil prices settle down 4% on jitters ahead of US Fed meeting --Oil prices fell by around $3 a barrel on Monday after analysts highlighted rising global supplies and concerns about demand growth just ahead of key inflation data and a U.S. Federal Reserve meeting later this week. Brent crude futures fell $2.95, or 3.9%, to settle at $71.84 a barrel, their lowest since Dec. 2021.U.S. West Texas Intermediate (WTI) crude fell $3.05, or 4.4%, to settle at $67.12 a barrel. Goldman Sachs cut its oil price forecasts early on Sunday, citing higher-than-expected supplies later this year and through 2024. The bank's December crude price forecast now stands at $86 a barrel for Brent, down from $95, and at $81 a barrel for WTI, down from $89. "Goldman capitulating on their bullish price forecast appears to have been the catalyst to kickstart selling today," . The revision comes at the start of a busy week for the U.S. Federal Reserve, which meets on Wednesday. While the Fed is expected to leave interest rates unchanged this month, investors are concerned that rate hikes are likely to resume next month,. The Fed's rate hikes have strengthened the dollar, making commodities denominated in the U.S. currency more expensive for holders of other currencies and weighing on prices. "The Fed meeting and inflation pressures remain key issues for the market this week," "The more likely hold on interest rates means investors will closely track Fed Chair Powell's press conference for the expected path for interest rates," Haworth said. Also weighing on investors' minds, oil demand recovery has been muted in China, the top importer of crude oil and refined products. "Chinese demand has shown no signs of materializing, and it could be as much as 2 million barrels a day, so it is a significant amount. There are definitely fears that OPEC and IEA will cut their demand forecasts," The Organization of Petroleum Exporting Countries and the International Energy Agency will each release their monthly market updates on Tuesday. Last week, both Brent and WTI posted a second straight weekly decline after disappointing Chinese economic data erased the price boost from Saudi Arabia's pledge to cut production in July.
Oil Prices Rebound On China Stimulus Hopes --Oil prices recovered some ground on Tuesday after having fallen over 4 percent the previous day on fuel demand concerns. Benchmark Brent crude futures rose 1.2 percent to $72.73 a barrel, while WTI crude futures were up 1 percent at $67.78. A weaker U.S. dollar and China's surprise rate cut offered some support as investors fret about the outlook for energy demand. The dollar sagged on hopes that U.S. inflation data later in the day would likely show an easing in prices in May, and that the Federal Reserve would resist raising rates at the end of a two-day policy meeting on Wednesday. The European Central Bank is expected to hike interest rates by another quarter percentage point on Thursday while the Bank of Japan is expected to maintain its ultra-loose policy when it meets on Friday. Meanwhile, the People's Bank of China (PBOC) cut its seven-day reverse repo rate by 10 basis points in a bid to restore market confidence and prop up slowing economic growth. China's new loan data missed expectations, but fueled speculation that policymakers will unveil more stimulus to support the economy.
Oil Rallies as OPEC Data Signals Saudi Cut to Tighten Market - Oil futures advanced more than 3% on Tuesday, with U.S. crude benchmark rebounding from a three-month low and the global benchmark from a 19-month low after OPEC said in its Monthly Oil Market Report that the group's largest members sharply slashed crude output ahead of the announcement of a unilateral production cut by Saudi Arabia, meaning the global market balance will likely tighten sharply in the second half of the year. In its monthly report released this morning, OPEC said output from its 13 members slumped by 464,000 bpd to 28.07 million bpd in May, led by a 519,000-bpd production drop in Saudi Arabia. Other Gulf members also reduced output significantly ahead of the latest production revisions made on June 4, with United Arab Emirates reducing crude output by 140,000 bpd in May from April to 2.894 million bpd and Kuwait slashing output by 95,000 bpd to 2.555 million bpd from April to May. The drop in production suggests the group's core members in the Gulf have largely made good on their pledge announced in April to reduce their collective output. OPEC and allied partners led by Russia, collectively known as OPEC+, pledged to extend 3.6 million bpd in production curbs through the end of 2024, while Saudi Arabia unveiled an additional 1 million bpd output cut for July that could be extended beyond that timeframe. On the demand side, OPEC left its global oil consumption forecast largely unchanged at a 2.3 million bpd growth rate for this year to 101.91 million bpd. The group also made no major changes to its forecasts for global economic growth, which it continues to see at 2.6% this year. China's economy will grow by 5.2% in 2023 while the economy of the eurozone is expected to grow by 0.8%, in line with earlier forecasts. The exception was the U.S. economy, which OPEC said it expects to grow by 1.3% this year, up from last month's 1.2% forecast. Separately, oil traders also await the release of weekly inventory data from the American Petroleum Institute due out 4:30 pm ET, followed by official data from the U.S. Energy Information Administration Wednesday morning. U.S. commercial crude oil stockpiles are projected to have decreased by 300,000 bbl for the week ended June 9, with estimates ranging from a decrease of 2.5 million bbl to an increase of 2 million bbl. At settlement, NYMEX West Texas Intermediate July futures advanced $2.30 to $69.42 bbl, while the August contract for the Brent contract added $2.45 to $74.29 bbl. NYMEX RBOB July futures rallied $0.0753 gallon to $2.5579 gallon and ULSD July futures gained to $2.3955 gallon, up $0.0864 on the session.
The Oil Market Posted an Inside Trading Day on Tuesday After the Market Retraced Most of its Previous Losses The oil market posted an inside trading day on Tuesday after the market retraced most of its previous losses, breaking a three-day slide. The market posted a low of $67.15 in overnight trading before it bounced higher after the market seemed oversold from its previous losses. The market rallied over $2.70 as it posted a high of $69.83 following the release of the inflation data, which showed the Consumer Price Index increased by 0.1% in May. The data showed the gains in consumer prices slowed more than expected causing traders to increase their expectations of the Federal Reserve deciding on Wednesday forego an interest rate hike. However, the market’s gains were limited and it settled in a sideways trading range ahead of the weekly oil inventory reports and the Fed decision. The July WTI contract settled up $2.30 at $69.42 and the August Brent contract settled up $2.45 at $74.29. The product markets also ended the session sharply higher, with the heating oil market settling up 8.64 cents at $2.3955 and the RB market settling up 7.53 cents at $2.5579. OPEC left its 2023 global oil demand growth forecast steady for a fourth consecutive month, although the producer group warned that the world economy faced increasing uncertainty and slower growth in the second half of the year. In its monthly report, OPEC said world oil demand in 2023 will increase by 2.35 million bpd or 2.4%. This was virtually unchanged from 2.33 million bpd forecast last month. Chinese oil demand is now expected to increase by 840,000 bpd, up from the 800,000 bpd forecast last month, adding to a recovery after strict COVID-19 containment measures were scrapped. The report showed that OPEC's oil production fell in May, reflecting the impact of earlier output cuts pledged by OPEC+ as well as some unplanned outages. OPEC said its May output fell by 464,000 bpd to 28.06 million bpd as voluntary cuts, promised by Saudi Arabia and other members, took effect. Barclays said it remains constructive on oil prices. It expects non-OPEC+ supply growth to slow significantly over the coming quarters and added that a lot of incremental weakness in demand is likely already priced in. It said OPEC+ will likely remain proactive with the primary goal of avoiding a sustained surplus. It forecast U.S. oil output will increase by 700,000 bpd in the fourth quarter and by 300,000 bpd in 2024, with the Permian Basin still driving most of the gains. Colonial Pipeline Co is allocating space for Cycle 36 on Line 1, its main gasoline line from Houston, Texas to Greensboro, North Carolina. The current allocation is for the pipeline segment north of Collins, Mississippi. The U.S. Environmental Protection Agency is seeking a short-term delay to a final rule on biofuel blending mandates for the years 2023-2025. The EPA was set to issue a final rule on Wednesday, but now will likely issue it next week. Under the U.S. Renewable Fuel Standard, oil refiners must blend billions of gallons of biofuels into the nation's fuel mix or buy tradable credits from those that do..
Oil Steady After API Confirms Small Crude Build - Crude oil inventories in the United States increased this week by 1.024 million barrels, the American Petroleum Institute (API) data showed on Tuesday. Analysts were expecting a slight decline in U.S. crude-oil inventories from the previous week, with data from the Energy Information Administration (EIA) due on Wednesday. Average analyst estimates were for a 300,000-barrel decline for the week ending June 9, though forecasts ranged from a draw of 2.5 million barrels to a build of 2 million barrels. The total number of barrels of crude oil gained so far this year is more than 39 million barrels. For the week to June 9, the EIA reported an inventory decline of 500,000 barrels, compared with a build of 4.5 million barrels for the previous week. On Monday, the Department of Energy (DoE) reported that it has sold another 1.9 million barrels of crude the previous week from the Strategic Petroleum Reserve (SPR), for the 11th consecutive weekly drop in the stockpile to a 40-year low of 352 million barrels. The price of WTI and Brent were both trading up on Tuesday in the run-up to the data release, latching onto a Federal Reserve rate hike decision scheduled for Wednesday afternoon EST. By 4:40 p.m. EST, WTI was trading up 3.04%, at $69.16 per barrel, while Brent crude was trading up 3.06% at $74.04 shortly after the data release. Gasoline inventories rose 2.075 million barrels. Distillate inventories rose 1.394 million barrels. Inventories at Cushing, Oklahoma, rose by 1.5020 million barrels, similar to last week. By Julianne Geiger for Oilprice.com
Brent Tops $75 After IEA Sees Supply Deficit in 2nd Half 2023 -- Oil futures added to gains in early trading Wednesday after the International Energy Agency forecast global oil demand is set to outpace gains in marginal supply growth in the second half of the year, leading to tight market balances exacerbated by voluntary supply cuts from Saudi Arabia. In its Monthly Oil Market Report released Wednesday morning, IEA said global oil demand will expand by 2.4 million barrels per day (bpd) this year to a new record-high 102.3 million bpd. China will account for 60% of those gains, according to IEA analysts, with soaring transport and petrochemical use propelling apparent consumption in April to an all-time high of 16.3 million bpd. Indian demand is estimated to be equally robust with the latest readings for May showing both gasoline and diesel breaking records. "Oil markets are struggling for direction as conflicting data points cloud the outlook. Bearish macroeconomic indicators and concerns over demand growth are clashing with resurgent oil use in key consuming countries. Oil prices appear to be taking their cue from the former, with benchmark North Sea Dated trading at $73 barrel (bbl) -- nearly half the high of 2022 -- despite a looming supply deficit," said IEA in its monthly report. While oil demand is expected to continue to rise, both seasonally and structurally over the remainder of the year, only a marginal increase in supply is foreseen. In May, global oil production fell by 660,000 bpd to 100.6 million bpd. Deeper cuts from some OPEC+ producers kicked in while output from Iraq's northern Kurdish region and some Canadian oilsands remained shut in. Saudi Arabia, with its voluntary cut of 500,000 bpd agreed in April, led the monthly drop in world supply. Total oil production this year is forecast to reach 101.3 million bpd, implying global oil market will fall into deficit of about 1 million bpd for the second half of the year. Production gains outside of OPEC+ will lead supply growth through the next year, adding 1.9 million bpd in 2023 and 1.2 million bpd next year. API reports gasoline inventory increased 2.075 million as of June 9, well above an expected 100,000 bbl increase. Distillate inventory rose 1.394 million bbl last week versus calls for a build of 1 million bbl. Near 7:45 a.m. EDT, NYMEX West Texas Intermediate July futures advanced $0.82 to $70.22 bbl, while the August Brent contract added $0.94 to $75.22 bbl. NYMEX RBOB July futures rallied $0.0107 gallon to $2.5686 gallon and ULSD July futures gained to $2.4099 gallon, up $0.0144 on the session.
WTI Dump'n'Pump After Across-The-Board Inventory Builds, 11th Weekly SPR Drain In A Row -- Oil prices are modestly higher this morning ahead of The Fed's decision after the International Energy Agency said it expects record demand growth this year, while predicting the clean-energy transition will begin to cut demand growth through 2028."World oil demand will grow by 2.4 mb/d in 2023 to 102.3 mb/d, a new record. China's rebound continues unabated, with its oil demand reaching an all-time high of 16.3 mb/d in April. The non-OECD accounts for 90% of gains this year, as OECD demand remains lacklustre amid the current manufacturing slump," the agency said.Additionally, China’s new crude import quotas helped cut recent pessimism over demand.“I absolutely don’t buy into this argument that China’s not reopening,” Amrita Sen, chief oil analyst at Energy Aspects said in a Bloomberg TV interview.“There’s a huge disconnect between the data that’s been coming in, and forecasts, versus prices.”We also note this morning's earlier drop in crude seems linked to headlines on US-Iran discussions once again. However, across the board builds reported by API may take some of the shine off the gains if confirmed by the official data. API
- Crude +1.024mm (-300k exp)
- Cushing +1.502mm
- Gasoline +2.075mm (+100k exp)
- Distillates +1.394mm (+1.0mm exp)
DOE
- Crude +7.92mm (-300k exp)
- Cushing +1.55mm
- Gasoline +2.11mm (+100k exp)
- Distillates +2.12mm (+1.0mm exp)
The official data confirmed API's direction but with larger size builds...All thanks to a yet another massive positive "adjustment"... Despite reports that the Biden admin is looking to buy a 'colossal' 12mm barrels of oil to refill the SPR (100s of millions of barrels drained), they drained 1.9mm barrels last week - the 11th week in a row (for a total drain of over 20 mm barrels)...
Oil Drops 1.5% as Fed Projects More Rate Hikes This Year (Reuters) - Oil prices fell 1.5% on Wednesday after the U.S. Federal Reserve projected more interest rate hikes this year, worrying markets about demand just hours after government data showed an unexpected, large build in U.S. crude oil stocks. Brent crude futures settled $1.09, or 1.5%, lower at $73.20 a barrel, while U.S. West Texas Intermediate (WTI) crude closed $1.15, or 1.7%, lower at $68.27. Both benchmarks had climbed more than 1.5% earlier in the session. They rose more than 3% the previous day on expectations of rising fuel demand after China's central bank lowered a short-term lending rate. The Federal Reserve left interest rates unchanged but signalled in new economic projections that borrowing costs will likely rise by another half percentage point by the end of this year as it reacts to a stronger-than-expected economy and a slower decline in inflation. "Markets fear that a higher interest rate environment is going to lower oil demand. The knee jerk reaction is pushing oil down," Higher interest rates strengthen the dollar, making commodities denominated in the U.S. currency more expensive for holders of other currencies. Wall Street stocks fell, while gold prices pared gains after the Fed's decision and comments. U.S. crude oil stocks rose by about 8 million barrels in the week ended June 9, according to data from the Energy Information Administration. Analysts had estimated a 500,000-barrel decline. Gasoline and diesel stocks also rose more than expected. The IEA, meanwhile, increased its oil demand growth forecast for this year by 200,000 barrels per day (bpd) to 2.4 million bpd, lifting the projected total to 102.3 million bpd. However, the agency expects economic headwinds to reduce growth to 860,000 bpd next year and increasing use of electric vehicles to help to reduce that to 400,000 bpd in 2028 for overall demand of 105.7 million bpd. The IEA's 2023 oil demand growth figure is slightly above that of the Organization of the Petroleum Exporting Countries (OPEC). JPMorgan downgraded its forecast for this year's average Brent crude price by $9 to $81 a barrel.
Oil futures up 2% on strong China refinery data, weaker US dollar - Oil prices rose over 2% to a one-week high on Thursday as the U.S. dollar weakened and data showed a jump in refinery runs in top crude importer China.Brent futures rose $1.76, or 2.4%, to $74.96 a barrel by 11:21 a.m. EDT. U.S. West Texas Intermediate (WTI) crude rose $1.70, or 2.5%, to $69.97.Brent was headed for its highest close since June 8 and WTI since June 9.A bigger increase in U.S. gasoline futures boosted the gasoline crack spread, a measure of refining profit margins, to its highest since July 2022.The oil market saw support from U.S. reports showing retail sales unexpectedly rose in May and higher than expected jobless claims last week cut the dollar to a one-month low versus a basket of other currencies. A weaker dollar makes oil cheaper for holders of other currencies which could boost demand.Data on Thursday also showed China’s oil refinery throughput rose 15.4% in May from a year earlier, hitting its second highest total on record.Chinese demand for oil is expected to keep climbing at an assured rate during the second half of the year, said Kuwait Petroleum Corp’s chief executive.But a weak economic outlook weighed, as China’s industrial output and retail sales growth in May missed forecasts.Also capping price gains were fears that higher interest rates would slow the U.S. and European economies and reduce oil demand.The European Central Bank (ECB) raised interest rates to a 22-year high as expected on Thursday. It signaled further policy tightening, as it battles high inflation.“The outlook for economic growth and inflation remains highly uncertain,” said ECB President Christine Lagarde.On Wednesday the U.S. Federal Reserve kept interest rates unchanged but signaled at least a half of a percentage point increase by year end.Analysts expect voluntary crude output cuts implemented in May by OPEC+, the Organization of the Petroleum Exporting Countries (OPEC) and allies, and by Saudi Arabia in July, to support prices at a time of strong demand.UBS expects a supply deficit of around 1.5 million barrels per day (bpd) in June and more than 2 million bpd in July.“Once these deficits become visible in on-land oil inventories, we expect oil prices to trend higher,” the bank said in a note.In other supply news, a Turkish energy delegation will meet Iraqi oil officials in Baghdad on June 19 to discuss the resumption of Iraq’s northern oil exports, Iraqi deputy oil minister for upstream affairs, Basim Mohammed, told Reuters.Turkey halted Iraq’s 450,000 bpd of northern exports through the Iraq-Turkey pipeline on March 25 after an arbitration ruling by the International Chamber of Commerce (ICC).
The Fed Held Rates Steady for June but Suggested Further Rate Hikes Later This Year The oil market on Thursday retraced its previous losses and posted an outside trading day as traders covered some of their short positions. This followed Wednesday’s 1.7% decline after the Fed held rates steady for June but suggested further rate hikes later this year. The market opened 43 cents higher at $68.70 and posted a low of $67.97 in overnight trading before it bounced higher and never looked back. The oil market seemed to be supported by a weaker dollar and an apparent increase in demand as China’s refinery runs increased in May and reached its second highest total on record. The crude market extended its gains to close to $2.70 as it breached its previous high and rallied to $70.96 ahead of the close. The July WTI contract settled up $2.35 at $70.62 and the August Brent contract settled up $2.47 at $75.67. The product markets ended the session sharply higher, with the heating oil market settling up 12.19 cents at $2.4796 and the RB market settling up 8.71 cents at $2.6417. Iraqi Deputy Oil Minister for Upstream Affairs, Basim Mohammed, said a Turkish energy delegation will meet Iraqi oil officials in Baghdad on June 19th to discuss the resumption of Iraq's northern oil exports.Kuwait Petroleum Corporation’s Chief Executive, Sheikh Nawaf Saud al-Sabah, said the company sees continued good demand for oil from China in the second half of the year. He also said Kuwait's market share in China was stable despite increasing Russian exports into Asia on the back of Western sanctions on Moscow since its invasion of Ukraine. He also stated that Kuwait had taken advantage of the increased demand in Europe for its fuel oil and middle distillates.Bloomberg reported that the U.S. and Iran are working towards an understanding to free prisoners while creating space for diplomacy aimed at encouraging nuclear restraint and reduced threats to seize oil shipments. According to officials, negotiations led to an initial agreement for Iran to free U.S. prisoners, while the U.S. would release payments owed to the Islamic Republic that were frozen by sanctions. Diplomats are also pushing Iran to voluntarily limit its uranium-enrichment levels and increase its cooperation with international monitors in return for allowances to ship more crude oil. Russia’s Deputy Energy Minister, Pavel Sorokin, said Russia does not object to OPEC+ revising its oil production baseline. On Tuesday, OPEC+ said it granted Russia a slightly higher oil production baseline after the country agreed to work with several think tanks and agencies to review its output figures.Shell said its Olympus production platform in the U.S. Gulf of Mexico is offline for planned maintenance. The work started on Wednesday, June 7th and is expected to last 14 days.China's oil refinery throughput in May increased by 15.4% from a year earlier, as refiners brought units back online from planned maintenance and independent refiners processed cheap imports. Data from the National Bureau of Statistics showed that total refinery throughput in China was 62.0 million metric tons in May.
Oil heads for weekly gains as supply cuts balance demand concerns (Reuters) -Oil edged higher on Friday and was on course for a weekly gain, as higher Chinese demand and OPEC+ supply cuts lifted prices, despite expected weakness in the global economy and the prospect for further interest rate hikes. Brent crude gained 48 cents to $76.15 a barrel by 1:16 p.m. EDT (1316 GMT). U.S. West Texas Intermediate (WTI) crude rose 59 cents to $71.21. Brent was on track for a weekly gain of 1.9% and WTI was on course for a 1.6% rise. Oil has gained this week on hopes of growing Chinese demand. China's refinery throughput rose in May to its second-highest total on record and Kuwait Petroleum Corp's CEO expects Chinese demand to keep climbing during the second half. Also supporting crude price are the voluntary output cuts implemented in May by the Organization of the Petroleum Exporting Countries (OPEC) and its allies, plus an additional cut by Saudi Arabia in July. Russian Energy Minister Nikolai Shulginov said it was "realistic" to reach oil prices of around $80 per barrel, Russian state news agencies reported. Shulginov also said Russian oil and gas condensate production is expected to fall by around 20 million tonnes (400,000 barrels per day) this year, reiterating Russia's expectations. In Iran, crude exports and oil output have hit new highs in 2023 despite U.S. sanctions, according to consultants, shipping data and a source familiar with the matter, adding to global supply when other producers are limiting output. U.S. oil rigs fell by four to 552 this week, their lowest since April 2022, while gas rigs fell 5 to 130, their lowest since March 2022, energy services firm Baker Hughes Co said. Capping oil price gains was the prospect of rising interest rates, which could slow economic growth. The Bank of England is set to raise interest rates by a quarter of a percentage point next week. The European Central Bank lifted rates to a 22-year high on Thursday and the U.S. Federal Reserve signalled at least a half of a percentage point increase by year-end. Investors have been closely watching interest rates and commentary from Fed members. "We're going to be going from Fed speaker to Fed speaker, and data point to data point,"
Oil Posts Weekly Gains on US Rig Count, China Import Quotas -- Reversing early losses, oil futures nearest delivery on the New York Mercantile Exchange and Brent crude traded on the Intercontinental Exchange settled Friday's session with gains between 1.5% and 2.5% propelled by another weekly drop in the U.S. oil rig count and new import quotas for Chinese refineries that stand around 20% above 2022 levels, a signal of recovering fuel demand in the world's largest crude oil importer. Wire services reported this week Chinese government issued a third batch of crude-oil quotas for independent refiners this year, with overall allowances up 20% in the first half of 2023 compared to the same period last year. According to sources, independent refiners in China were allotted a quota of 62.28 million tons for the remainder of the year, which has lifted total allowances to 123 million tons. For the full year 2022, independent refiners were allotted a quota of 195 million tons. This might suggest that Chinese fuel demand is finally picking up speed after a lackluster start to the year despite the country's reopening from COVID-19 restrictions. The reopening fueled expectations for an increase in China's oil consumption, but recent macroeconomic data from the world's top crude oil importer have had forecasters and analysts concerned that demand may not be as strong as initially expected. China's economic data released earlier this week showed retail sales slowed markedly over the past two months and industrial production increased only marginally compared to last year amid a sharp slowdown in exports. Domestically, the number of active rigs drilling for oil declined again this week after a one-week uptick, falling for the sixth time in seven weeks through today, Baker Hughes data show. At 552, the number of oil rigs deployed declined by four for the week ended today to the lowest number in-service since the final week of April 2022. Versus a year ago, the rig count is down 32. Baker Hughes reports the number of natural gas rigs in operation also continued lower, falling five to 130 since the prior Friday, down 24 compared with the same week in 2022. On the macroeconomic data front, inflation data out of the Eurozone showed consumer prices increased at 6.1% in May from a year earlier, with prices paid for food, tobacco and alcohol posting double-digit increases. Stubbornly high inflation persisted despite the Eurozone having entered a mild recession earlier this year, with economic activity likely to take a bigger hit as ECB works to put a lid on inflation that has spread across the collective economy. ECB policymakers on Thursday lifted the benchmark interest rate for the eighth consecutive meeting to 4% -- the highest borrowing rate in 22 years and signaled another move in July. "Inflation has been coming down but is projected to be too high, for too long. Wage pressures are becoming an increasingly important source of inflation," said Christine Lagarde at a news conference Thursday morning following the rate decision. A day after policymakers in Frankfurt raised borrowing costs, International Monetary Fund said in its outlook that strong euro-area consumer-price growth calls for more European Central Bank interest-rate hikes and a sustained "tightening bias." At settlement, NYMEX July West Texas Intermediate futures, which settled Monday's (6/12) session at a $67.12 three-month low on the continuous chart, rallied $1.16 to $71.78 bbl, with the prompt spread in a $0.15 contango ahead of the June 20 expiration of the July contract. ICE August Brent futures advanced to $76.61 bbl after hitting a 19-month spot low settlement of $71.84 bbl on Monday. Oil products futures also moved higher, which follows a plethora of refinery snafus, including a key gasoline unit at Phillip 66's 258,000 bpd Bayway refinery in Linden, New Jersey. Trade sources said the fluid catalytic cracking unit was shut Monday and is not expected to return to service until July 6. The Bayway facility is situated in the refinery short New York Harbor market, which is the underlying physical delivery location for RBOB and ULSD futures contracts. NYMEX July ULSD futures gained $0.0718 to $2.5514 gallon and NYMEX July RBOB futures advanced to $2.6805 gallon, up $0.0388.
Report: Saudi Crown Prince Threatened US With 'Major Economic Consequences' - Saudi Crown Prince Mohammed bin Salman warned the US would suffer economic consequences if President Biden retaliated for OPEC oil cuts that were announced last fall, The Washington Post reported.The Post report cited a document allegedly leaked to Discord by Airman Jack Teixeira, although it did not publish the document. The report said MbS claimed “he will not deal with the US administration anymore” if Biden imposed “consequences” on Riyadh over the OPEC cuts like he said he would.The report said MbS promised “major economic consequences for Washington” if Biden retaliated, but it’s unclear if the Saudis made the threat directly to the US or if MbS’ warning was intercepted by the US spying on him.It’s also unclear what economic consequences MbS had in mind. Saudi Arabia could stop trading its oil using the US dollar, which would seriously threaten the currency’s global dominance.President Biden never went through with his vow to impose consequences on the Saudis, and his administration has been working lately to improve the relationship after Riyadh agreed to a surprise China-brokered normalization deal with Tehran. The Saudis also reestablished diplomatic relations with Damascus and spearheaded an effort to bring Syria back into the Arab League. Secretary of State Antony Blinken visited Saudi Arabia last week, and Saudi officials made clear that they didn’t want the administration to pressure them to pick a side between the US and China.
Iran Confirms Holding Indirect Talks With US in Oman - The Iranian Foreign Ministry on Monday said that Iranian officialsheld indirect talks with the US in Oman last month but dismissed the idea that an interim nuclear deal was on the table.Iranian Foreign Ministry spokesman Nasser Kanaani appeared to confirm a report from Axios that said the talks took place in Oman on May 8, when President Biden’s top Middle East official on the National Security Council, Brett McGurk, was in Muscat.According to the report, the US and Iranian officials did not meet directly, and Omani officials acted as mediators. Sources told Axios that the main message that the US conveyed to Iran was a threat that there would be severe consequences if Iran enriched uranium at 90%, which is required to develop a nuclear bomb. But there’s no indication Tehran will take that step.Middle East Eye also recently reported that the US and Iran were holding direct talks in the US, but those negotiations haven’t been confirmed. The MEE report said an interim nuclear deal that would require Iran to reduce uranium enrichment for sanctions relief was on the table, but both sides have denied the claim.Kanaani said Iran was not interested in an interim nuclear deal but was open to restoring the original 2015 agreement, known as the JCPOA, which the Trump administration withdrew from in 2018. There’s no sign that the Biden administration is interested in resurrecting the JCPOA, which President Biden has previously said was “dead.”Amid reports of US and Iranian engagement, Iranian Supreme Leader Ayatollah Ali Khamenei said Sunday that there’s “nothing wrong” with Iran reaching an agreement on its nuclear program as long as the infrastructure remains intact. Khamenei also reaffirmed Iran’s position that it does not seek a nuclear weapon.
Iran's Khamenei Says 'Nothing Wrong' With Reaching a Nuclear Deal - Iranian Supreme Leader Ayatollah Ali Khamenei said Sunday that there was “nothing wrong” with Iran reaching an agreement related to its civilian nuclear program as long as its infrastructure remains intact.Khamenei’s comments come after Middle East Eye reported the US and Iran were close to an interim nuclear deal that would see Iran reduce uranium enrichment levels in exchange for some sanctions relief. However, both the US and Iran have denied the claims made in the report.Khamenei made the comments while visiting an exhibition of Iranian nuclear capabilities. “You may want to reach agreements in some fields. Nothing is wrong with [reaching] agreements, but the infrastructure must remain intact,” Khamenei said, according to Iran’sPressTV.The Iranian leader also denied claims that Tehran is seeking a nuclear weapon, saying Iran’s “enemies” want to target the country’s nuclear program to limit its development.“The excuse of a nuclear weapon is a lie, this is not the issue, something else is at play. They know that nuclear advancement will be a key for progress in other issues of the country,” he said.Iran is currently enriching some uranium at 60%, less than the 90% needed for weapons-grade uranium. Tehran began the 60% enrichment in response to an Israeli attack on the Natanz nuclear facility in 2021.According to the Middle East Eye report, the US and Iran have been holding talks and were close to an agreement that would involve Iran stopping its 60% uranium enrichment in exchange for some sanctions relief.A White House official said the report was “false and misleading,” and Iran’s envoy to the UN said an interim deal was “not on the agenda.”Other media outlets, including Haaretz, have reported that some sort of nuclear agreement between the US and Iran was close.
U.S. Set To Unload Oil From Seized Iranian Tanker The United States is about to start unloading crude from a tanker allegedly used to carry Iranian oil abroad, the FT has reported, noting the move would fuel the escalation of tension between the U.S. and Iran.The U.S. seized the Suez Rajan in April, prompting quick retaliation from Iran, which in its turn seized a Chinese-owned, Turkish-operated tanker that was loaded with crude for delivery to Chevron.Iran claimed that the tanker collided with an unidentified Iranian vessel just hours prior to its seizure, with several crew members reportedly falling overboard while others were left injured. The tanker then fled the scene and ignored radio calls for eight hours before a court-ordered its seizure.The Suez Rajan, according to the FT, has received a license from the U.S. Treasury Department to import Iranian crude into the United States. Its cargo is some 800,000 barrels of crude and, per an unnamed former member of the Biden administration, its arrival in Texas is likely the result of a deal that got struck between the administration and the owners and operators of the vessel.The cargo of the Suez Rajan will either be sold now or has already been sold and the proceeds may be given to a fund created by Congress for U.S. victims of state-sponsored terrorism. The affair is unlikely to go down well in Tehran, especially since it is not the first tanker seizure the U.S. has done this year.In fact, it recently emerged that another ship seizure may have been what prompted the Iranian seizure of the Chevron-bound tanker in April. Maritime security firm Ambrey said in late April that Iran's motive for seizing Chevron's load of crude oil was in retaliation for the U.S. seizure that took place not even five days prior."Both tankers were Suezmax-sized. Iran has previously responded tit-for-tat following seizures of Iranian oil cargo," Ambrey said in a note to clients, according to the Jerusalem Post.
Israel Creates New Military Intelligence Unit to Prepare for War With Iran - Israel’s military has created a new intelligence unit to prepare for war with Iran amid simmering tensions between the two nations, Ynetreported on Sunday.Israel has been conducting a covert war against Iran for some time, but in recent years, Israeli officials have been speaking more openly about the fact that they’re preparing for an overt military conflict with the Islamic Republic.The Ynet report said the intelligence branch of the Israeli Defense Forces (IDF) created the new unit to specifically prepare for a fight with Iran’s Islamic Revolutionary Guard Corps (IRGC).The head of research for the new intelligence unit, known as Branch 54, told Ynet that the preparations for a conflict with Iran are much different than the wars Israel has waged in Lebanon and Gaza. “This is a significant mindset change that the IDF is required to make. It is not similar to a war against Hezbollah or an operation in Gaza against Hamas or Islamic Jihad,” said the officer, who went by the name Lt. Col. T.“We are responsible for providing the military with the knowledge infrastructure regarding Iranian military capabilities and strategic systems under their control. We are engaged in researching the elements of control in Iran from the senior level down to the operators at the frontlines,” T added.Ynet also spoke with an officer who is compiling a list of targets the IDF could strike inside Iran, who went by Lt. Col. Y. “Every day we gather more targets and objectives at a satisfying pace and learn how to strike them effectively. We have already doubled the target bank in Iran, regardless of nuclear facilities. It is very different from interwar operations. An overt military confrontation will be an entirely different story,” Y said.
Zelensky Confirms Ukrainian Counteroffensive Has Started - Ukrainian President Volodymyr Zelensky has confirmed that Ukrainian forces have started their long-awaited counteroffensive.Throughout last week, Russia reported large Ukrainian attacks in the eastern Donbas region and in the southern Zaporizhzhia Oblast, but Ukrainian officials stayed quiet about the assaults. On Saturday, Zelensky said that “relevant counteroffensive defensive actions are taking place in Ukraine.”Zelensky didn’t offer any details about the operations, which are being carried out with NATO equipment by NATO-trained troops. On Sunday, Russia said that it destroyed several German-made Leopard tanks and US-made Bradley Fighting Vehicles over the past 48 hours.The Russian Defense Ministry claimed it has continued to repel Ukrainian attacks. “During the past day, the armed forces of Ukraine continued unsuccessful attempts of offensive actions in the Donetsk, southern Donetsk, and Zaporizhzhia directions,” the ministry said.Ukrainian officials on Sunday claimed that their forces made gains in Donetsk. Neither the Russian or Ukrainian claims have been confirmed, but it’s clear there has been steady fighting both in the Donbas and in Zaporizhzhia, and US officials have acknowledged to CNN that Ukraine is taking heavy casualties.The US has been pushing for a counteroffensive instead of peace talks as the Biden administration is against the idea of a ceasefire in Ukraine.US officials told POLITICO that they believe President Biden’s reputation and continued US support for Ukraine hinges on the success of the counteroffensive.
NATO Chief Says Russia Must Lose in Ukraine to Send Message to China - NATO Secretary-General Jens Stoltenberg met with President Biden in Washington on Tuesday and said Russia must lose in Ukraine to send a message to China as the Western alliance increasingly has its eyes on the Asia Pacific.“President Putin must not win this war, because that will not only be a tragedy for Ukrainians, but also make the world more dangerous,” Stoltenberg said at the White House before a meeting with Biden.“It will send a message to authoritarian leaders all over the world, also in China, that when they use military force, they get what they want, and we will then become more vulnerable. So it’s our security interest to support Ukraine,” he added.Stoltenberg’s comments come as NATO is planning to boost ties with countries in the Asia Pacific. According to a report from Nikkei Asia, the alliance is preparing documents to increase relations with its four main partners in the region, Australia, Japan, New Zealand, and South Korea.NATO will form what is known as an Individually Tailored Partnership Program (ITPP) for each nation, which outlines a road map for collaboration. The Nikkei report said possible areas of cooperation include cybersecurity, space, and fighting so-called disinformation.NATO also wants to open a liaison office in Japan, but the idea is facing resistance from France. French President Emmanuel Macron believes the alliance should stay in the North Atlantic and has warned against expanding into Asia.
How Chinese Military Equipment Found Its Way Into The Ukraine War -It's been a constant since Moscow's full-scale invasion of Ukraine in 2022, but Chinese parts and components -- as well as drones and some weapons -- are finding their way onto the battlefield and helping Russia's military. The issue was pushed back into the spotlight following a video posted to Telegram by Chechen leader Ramzan Kadyrov showcasing an array of new military equipment, including eight Chinese-made unarmed armored personnel carriers.The vehicles appeared to be a multipurpose model called the Tiger or China Tiger and the video brought renewed scrutiny of Chinese weaponry helping the Kremlin's war effort -- a possibility raised by Western governments and experts for some time.It's difficult to determine when or how the Chinese vehicles ended up in Chechnya, or how they might be deployed on the battlefield -- if at all.While the equipment is no doubt Chinese-made, multiple military experts I spoke with said it was unlikely this was from a formal sale, saying that the Tiger is widely exported around the world -- including across Africa and to Tajikistan -- and that Kadyrov states in the video that "we regularly purchase military equipment that helps our fighters be more effective in solving the tasks assigned to them."There is no evidence so far that China has provided any formal military aid, such as shipments of ammunition or full weapons systems.Doing so would bring major reputational costs to Beijing and China has instead pivoted to taking up a diplomatic position around the war to frame itself as a peacemaker.Still, Chinese exporters have supplied components of weapons systems and dual-use technology to sanctioned Russian defense companies.A new report from The Wall Street Journal found that Iranian drones used by Russia in Ukraine had new Chinese parts that were made this year.The revelation shows that new Chinese components are continuing to flow into Iran, where they then make their way to Russia. According to an investigation, the Chinese part was made in January, shipped to Iran, installed, and then sent to Russia and used against Ukraine in April. While this stops short of full-blown military support, it highlights the complexities of supply chains and the multitude of ways countries can still skirt sanctions.
Germany Says It Can't Replace All Leopard Tanks Provided to Ukraine - - German Defense Minister Boris Pistorius said Monday that Berlin won’t be able to replace every German-made Leopard tank that Ukrainian forces lose in their fight against Russia.His comments come amid reports that Leopards have been destroyed in Ukraine’s counteroffensive. On Tuesday, the Russian Defense Ministry said that it captured several Leopards and US-made Bradley Fighting Vehicles.According to AFP, Pistorius refused to authenticate images circulating online that show damaged Leopard tanks in Ukraine. Appearing to confirm that Ukraine is losing a lot of armored vehicles, Andrii Melnyk, Ukraine’s deputy foreign minister, appealed for more Western armor, including the Leopard 2 tank.“The Ukrainian army desperately needs many more Western battle tanks, infantry fighting vehicles and other armored vehicles,” Melnyk said, according to Ukrainska Pravda. “Each Leopard 2 is literally worth its weight in gold for a decisive offensive.”Germany has provided Ukraine with 18 Leopard 2 tanks from its military stockpiles and is also sending refurbished Leopard 1 tanks. But Melnyk thinks Berlin could do more, saying the supply of Leopard 2 tanks from Germany could be “tripled without jeopardizing Germany’s ability to defend itself.”Pistorius said that Germany “will not be able to replace every tank that is now out of action.” He added that “unfortunately it is the nature of war that weapons are destroyed, that tanks are destroyed and people are killed.”
German air force conducts massive exercise targeting Russia -The escalation of the NATO war against Russia over Ukraine is taking on ever more dangerous forms. Last week, former NATO Secretary General Anders Fogh Rasmussen stated that NATO “ground troops” could be deployed to Ukraine. At the same time, NATO is organizing massive military maneuvers with which the alliance “practices” for a direct intervention in the conflict. The most comprehensive exercises will take place in Germany beginning Monday. From 12 to 23 June, hundreds of fighter jets will be flying over the country as part of Air Defender 2023 and training for a state of total war. It is the largest aerial exercise in NATO history. In total, more than 10,000 soldiers from 25 nations are involved with 250 aircraft. They will be practising offensive maneuvers, potentially right up to the Russian border. Here are some more key figures about the exercise: The Bundeswehr (German army) has a contingent of 60 aircraft—including 30 Eurofighters and 16 Tornados—and four helicopters. The largest contingent of combat aircraft comes from the United States with 100. Around 90 percent of air traffic during the exercise will take place in German airspace or over the North and Baltic Sea coasts. Most missions start from locations in Schleswig-Holstein, Lower Saxony, Bavaria and Rhineland-Palatinate, as well as from one location each in the Netherlands and the Czech Republic. Civilian air traffic will be prohibited for at least two hours daily in several areas during the exercise. Large parts of German airspace are being de facto transformed into a war zone. The official website of the Bundeswehr states on the maneuver: “Depending on the activated airspace, the jet-fight practice flights take place from 2500 or 3000 meters altitude. Low-level flights of jets and cargo aircraft are planned in a part of the eastern air exercise area, the so-called Fight 1. This exercise area extends over northern Brandenburg, parts of Mecklenburg-Western Pomerania and the Baltic Sea.” In addition, low-flying would take place at the military training sites Baumholder and Grafenwöhr. Both the sheer scale of the exercise and its character make it clear that “Air Defender 2023” is not simply a routine maneuver. It is a direct component of the NATO war offensive against Russia. Representatives of the German ruling class in particular, which has already tried to subjugate Russia militarily in the two world wars, openly state this. “History has caught up with us,” said Agnes Strack-Zimmermann (Free Democrats), chairwoman of the Defence Committee of the Bundestag. “We have a hot war by Russia against Ukraine.” Military exercises such as “Air Defender” are always a signal to the other side: “You show what you can do.”
Radio New Zealand removes references to 2014 Ukraine coup from online articles - In an extraordinary act of retroactive censorship, the state-owned broadcaster Radio New Zealand (RNZ) announced today that it has “corrected” 16 of its online articles about the war in Ukraine published over the past year. Specifically, over the past three days RNZ has removed references to Ukraine’s 2014 coup—including the word “coup” and the fact that it was led by fascistic forces and backed by the US and NATO imperialist powers. References to the participation of the neo-Nazi Azov Battalion in Ukraine’s military have also been deleted.Late last week, RNZ placed one staff member on leave pending an employment investigation and began “correcting” articles, originally published by Reuters and in one instance the BBC, which the employee had edited for the RNZ website. This morning, RNZ chief executive Paul Thompson delivered a grovelling on-air apology for letting the changes go unnoticed for so long. Thompson has announced an external review of RNZ’s processes for the editing of online stories, and RNZ is reviewing hundreds of its articles. In fact, the aim of RNZ’s latest “corrections” is to falsify the history of the war, in line with Washington’s propaganda that Russia’s 2022 invasion of Ukraine was an “unprovoked” attack on a “democratic” country. NATO general secretary Jens Stoltenberg recentlyadmitted that the events of 2014 marked the real start of the war in Ukraine. The overthrow of the elected government of Russia-aligned Viktor Yanukovych was followed by the installation of a regime that included the fascist Svoboda Party and was violently anti-Russian. The coup sparked a civil war with the breakaway eastern provinces of Luhansk and Donetsk, and Russia’s annexation of Crimea. Since 2014 the NATO powers and their allies have been pouring weapons into Ukraine and increasing their military spending dramatically in preparation for what is now a US-NATO proxy war with Russia, in which more than 200,000 Ukrainians and Russians have been killed and millions displaced. Since 2022, New Zealand has also provided millions of dollars for Kiev to buy weapons and the NZ military has been involved in training Ukrainian conscripts in Britain.
Erdogan Says No NATO Membership for Sweden at Vilnius Summit - Turkish President Recep Tayyip Erdogan said Wednesday that Sweden should not expect Ankara’s approval to join NATO at the alliance’s upcoming summit that will be held in Vilnius this July.Erdogan said the Swedish government must do more to curb anti-Turkish protests. Stockholm’s effort to placate Turkey by passing a new anti-terror law and Ankara’s efforts to target Kurds in Sweden have sparked anti-NATO and anti-Turkish demonstrations in the Nordic nation.Turkey accuses Sweden of supporting the PKK, a Kurdish militant group Turkey and the US consider a terrorist organization. PKK flags have been spotted at the anti-NATO, anti-Turkey demonstrations in Sweden. Erdogan said Wednesday that “terrorists” were demonstrating in Sweden while NATO Secretary-General Jens Stoltenberg was trying to convince him to approve Stockholm’s membership. Officials from Sweden, Finland, and NATO were in Ankara on Wednesday to meet with their Turkish counterparts. Erdogan said the message that will be delivered to the delegation is “definitely don’t expect anything different in Vilnius.” Erdogan’s comments came after Sweden approved the extradition of a 35-year-old Turkish citizen who previously expressed support for the PKK. Ankara has been seeking the extradition of dozens of suspected PKK members from the country.
Young Drivers Pay The Price As Insurance Rates Skyrocket - Young car owners are paying an extra £300 to drive a car this year as a result of insurers hiking up premium prices, new research shows.Analysis from Compare the Market shows that young motorists between 17-24 are now paying £2,559 to drive a car for a year, compared with £2,263 in 2022 a “substantial” 13 percent increase.Compare the Market said that “as a result of the increase in premiums, car insurance now represents 57 percent of the total car running costs for young drivers.”
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