Beginning of a New Era: LNG Export

And so it begins.  I think that all the stars are aligned....

The first LNG shipment from the US Lower 48 will has departed Cheniere Energy's Sabine Pass liquefaction project in Cameron Parish, Louisiana, Reuters reported late Wednesday. The LNG was loaded onto the LNG carrier Asia Vision, chartered by Cheniere Marketing, and is bound for Brazil.

Earlier Wednesday, the Houston Chronicle reported Meg Gentle, vice president of marketing at the company, as saying at CeraWeek, “They’re still loading it at Sabine Pass and it’s expected to depart the facility later today as it makes its way to Brazil.” The Asia Vision departed the dock at the Sabine Pass terminal at 7.39 p.m. CST last evening, according to Reuters shipping data.

The first cargo of approximately 3 Bcf of LNG is being shipped to Petrobras, Gentle said, confirming a Bloomberg report from Tuesday.

Neal Shear, Chairman of the Board and Interim CEO of Cheniere Partners, said in a statement earlier Wednesday, "Today we will finish loading the first commissioning cargo of LNG from our Sabine Pass LNG terminal. This historic event opens a new chapter for the country in energy trade and is a significant milestone for Cheniere as we prepare Train 1 for commercial operations."

This also coincides with the bottom for the price of natural gas:

Tapping the Federal Reserve: Future inflation coming

Yep. The US Government is ending the complete independence of the Federal Reserve.  Congress has passed a bill tapping into the revenues that the Federal Reserve earning by holding a trillion or so in US Treasuries.  And also from the dividends the Feds have been paying the banks to hold onto the cash they've received.

Bloomberg article:

The highway measure would be financed in part by a one-time use of Federal Reserve surplus funds and by a reduction in the 6 percent dividend that national banks receive from the Fed. The dividend would be reduced by an amount tied to yields on 10-year U.S. Treasuries, currently about 2.2 percent. If Treasury yields rose higher than 6 percent, the Fed wouldn’t pay the banks more. Banks with $10 billion or less in assets would be exempt from the cut.

The Fed’s surplus capital comes from the 12 reserve banks. The highway bill would allow for a one-time draw of $19 billion from the surplus, which totaled $29.3 billion as of Nov. 25.

So, what everyone has been waiting for:  Inflation.

It will be a terrible, shrill wife from whom we cannot be unmarried.  Thank God...the marriage will be short; the only sliver of good news in an almost unbearable and suffocatingly pile of bad news of what is in store for our nation.

PRESIDENTS DAY:Why is there a monument to Abraham Lincoln in Edinburgh?

The very first monument in Europe of an American President.  Several Scotsmen joined in the battle between the North and South.

Built in 1893, it can be found in the Old Calton Cemetery in Edinburgh city centre, and commemorates the Scots who fought on behalf of the Union during the American Civil War.

Six sons of Edinburgh signed up to fight on Lincoln’s behalf - Sergeant Major John McEwan; Lt Col William Duff; Robert Steedman; James Wilkie; Alexander Smith and Robert Ferguson.

THE FOLLIES OF GOVERNMENT HEALTHCARE: Cancer patients snagged in health law's tangled paperwork

What...a disaster.  Why aren't people SCREAMING to get it stopped.

Ana Granado was scheduled for reconstruction after breast cancer surgery when she was notified that her coverage would be canceled because of questions about her immigration status. Legal aid attorneys got that cleared up quickly, but Granado's financial assistance for her premiums was suspended. million people.

Lynn Herrin got irritated when she had to pay $700 to the IRS after it determined she got too big a tax credit for premiums under the health law.million people.

Since she was also having trouble finding a doctor who accepted her insurance, Herrin canceled. It was a costly mistake. She was diagnosed with oral and neck cancer and depleted her family savings to pay for treatment.million people.

Not every case is as distressing, but coverage disruptions due to complex paperwork requirements seem commonplace in the health law's system of subsidized private insurance, which currently covers about 12.7 million people.

EPA: We are so past the point of diminishing returns

There is something called the Law of Diminishing Returns:

The law of diminishing returns states that in all productive processes, adding more of one factor of production, while holding all others constant ("ceteris paribus"), will at some point yield lower incremental per-unit returns.[5] The law of diminishing returns does not imply that adding more of a factor will decrease the total production, a condition known as negative returns, though in fact this is common.

The EPA is constantly taking us past the point of diminishing returns.  What do they expect to happen with the new regulations on racing vehicles?  There will be fewer of them and they will kill a popular sport.

Page 862 of the document states, “[The] EPA is proposing in 40 CFR 1037.601(a)(3) to clarify that the Clean Air Act does not allow any person to disable, remove, or render inoperative (i.e., tamper with) emission controls on a certified motor vehicle for purposes of competition. An existing provision in 40 CFR 1068.235 provides an exemption for non-road engines converted for competition use. This provision reflects the explicit exclusion of engines used solely for competition from the CAA definition of “non-road engine”. The proposed amendment clarifies that this part 1068 exemption does not apply for motor vehicles.”

If the wording is then ratified to include competition vehicles, it could have serious implications for motorcycle racing and the industry as a whole. It would then mean the sale of parts such as aftermarket exhausts would be illegal under U.S. law and force racing championships such as MotoAmerica to run any and all parts that come stock from the OEM in regards to emissions control, not to mention the wide reaching implications the ruling could have on amateur racing and track days.  

This is not a clarification.  This is a complete REWRITE.

When are we going to defund this outlaw agency?

BTW, notice the reference to page 862?

THE SOCIALIST STATE: Venezuela malls scale back hours as government cuts energy

The Death Spiral continues for Venezuela.  When are the people going to say they've had enough of the control?

Shops in malls across Venezuela closed their doors Wednesday afternoon to comply with a government electricity rationing order.

Venezuela's socialist government is asking more than 100 malls to close or generate their own power four hours each day, from 1 p.m. to 3 p.m. and from 7 p.m. to 9 p.m.

Dozens of mall workers and would-be shoppers waited out the closure at a shopping center in upscale Caracas Wednesday. They complained about the new policy, which comes amid a general economic breakdown that has led to chronic shortages and triple-digit inflation.

THE SOCIALIST STATE: Fingerprints for food: Venezuela rolls out new plan to keep shelves stocked

The bad news in Venezuela keeps rolling in.  How bad could it really get?  Could it get North Korea bad?

How about this for New Speak: It's called "The Superior System for Secure Supplies"

Call it fingerprints for food. In the latest effort to keep shelves stocked in Venezuela, the government on Tuesday will begin registering the biometric information of customers who use state-run grocery stores.

President Nicolás Maduro says the measure will prevent hoarding and help keep price-controlled food from being resold for a profit on the black market. Food Minister Félix Osorio said those who sign up for the program by registering their fingerprints will be eligible for discounts and prizes.

But critics warn that the scheme — which is not mandatory for the moment — will be one more way for the state to keep tabs on the population, or might be a precursor to rationing.

And wow!  You could get a discount or win a prize!  Sounds like a win win! And it WILL be mandatory.

The impact of the shopping cards also remains to be seen. Last year, in the state of Zulia, the governor tried to implement a rationing system at state-run stores but aborted the plan amid a backlash. This time the roll-out has been more muted. And Maduro says the program will deliver results.

“Once we get started,” he said, “we’re going to take food contraband to zero.”

A system that is able to track all that you buy.  That's what American needs!