WOMF for Astoria

The only question regarding the Port Commission decision that short-circuits Oregon LNG is how much it will cost taxpayers in jobs and hard cash?


Today we got word that Federal Magistrate John Jelderks yesterday turned aside another objection by the Port against a lawsuit brought by OLNG after the commissioners took a wrong turn in failing to enter into a previously agreed 30 year lease renewal with the State on 94 acres the state controls on Warrenton's Skipanon Peninsula. For those of you not following along this is the proposed site for OLNG to build a LNG terminal on the Columbia. It is one of two publicly revealed liquid natural gas terminals competing for completion on the lower Columbia.

In this round the Port argued two points and lost both. These arguments were so indefensible as to raise some serious questions about those in the driver's seat at the Port.

Jelderks is not the final word on this suit but it's fairly clear that the Port is barking up the wrong tree in it's legal strategy .

The end result could be what the commissioners want politically. If the suit is successful a judge could direct the commission to enter into the 30 year lease with DSL for the land. The Port could then direct the ire of anti-LNG forces to the courts rather than themselves until someone remembers that several of these commissioners were at the table when the original deal was struck.

The other possibility is this is just a delaying maneuver. Objections, refiles..This thing could take months to decide , Meanwhile Northern Star is creeping up in the rear view mirror. Would that eventuality put pressure on OLNG to settle it's complaint with the Port? Agree to a significantly higher lease price? Is the port gambling on that and hoping the State will find it doesn't own the land at all?

One thing is sure. We won't be seeing those 500 construction jobs in Warrenton anytime soon.

(1252 Views)