Heather Zichal, Former Obama Power Aide, Named To Board Of Fracked Gas Exports Big Cheniere
Heather Zichal, former Obama White House Deputy Assistant to the President for Energy and Climate Change, may soon walk out of the government-business revolving door to change into a member of the board of administrators for fracked gas exports giant Cheniere, who nominated her to serve on the board.
The announcement, made james gary petroleum refining law through Cheniere’s U.S. Securities and Change Fee Type eight-Ok and its Schedule 14A, comes just as a significant class-action lawsuit was filed in opposition to the board of the corporate by stockholders.
In reaction to the lawsuit, Cheniere has delayed its annual assembly. At that assembly, the corporate’s stockholders will vote on the Zichal nomination.
The category-action lawsuit was filed by plaintiff and stockholder James B. Jones, who alleges the board gave stock awards to CEO Charif Souki in defiance of each a stockholders’ vote and the corporate’s james gary petroleum refining law by-laws.
Souki — a central character in Gregory Zuckerman’s guide “The Frackers” — became the highest paid CEO within the U.S. on account of the maneuver, raking in $142 million in 2013, $133 million of which got here from inventory awards.
Zichal was nominated to hitch Cheniere’s audit committee of the board, and will likely be paid $180,000 per yr for the gig if elected.
Among the many audit dommittee duties: “Prepare and evaluation the audit committee report for inclusion within the proxy statement for the corporate’s annual assembly of stockholders,” which is now set for September eleven after the push-again following the filing of the stockholder class-action james gary petroleum refining law lawsuit.
“The audit committee’s duty is oversight, and it acknowledges that the company’s administration is chargeable for preparing the company’s monetary statements and complying with applicable laws and rules,” Cheniere”s audit committee charter additional explains.
Cheniere (stock image LNG, shorthand for “liquefied pure gasoline”) is at the moment awaiting a final determination on Corpus Christi LNG, its proposed LNG exports facility. That terminal would ship gasoline obtained predominantly via hydraulic fracturing (“fracking”) to the global market.
The company already received the primary ever closing approval to export fracked gasoline from the U.S. Federal Power Regulatory Fee (FERC) in April 2012 for its Sabine Pass LNG export terminal, which is scheduled to be operational by late-2015.
The nature of what position Zichal will play on the board and audit committee of the first firm to make a significant wager on LNG exports stays unclear. But one factor remains clear: she joins a politically well-linked cadre of Cheniere board members.
Different distinguished Cheniere board members embody John Deutch, former head of the U.S. Central Intelligence Agency (CIA) and Vicky Bailey, a FERC commissioner, both of whom labored for the Clinton administration.
And given Zichal’s former role as liaison between the oil and gas industry at the White Home and her observe record serving in that function, it raises the question: was she working for the trade all along
Zichal Oil and Gasoline Services
Zichal was finest known to many as the main mediator between the oil and gas industry and the White Home during her time working for the Obama administration. In truth, Cheniere cites that experience as the rationale for nominating her to serve on the board.
Heahter Zichal; Photograph Credit: Wikimedia Commons
“Zichal has in depth information of the domestic and global vitality markets as well as the U.S. regulatory setting,” reads the “skills and qualifications” portion of her nomination announcement on Cheniere’s Schedule 14A. “She brings a diversified perspective about the energy industry to our board having served in significant authorities positions during her profession.”
As Obama’s “local weather czar,” Zichal headed up the hassle — mandated through an April thirteen, 2012 Obama Govt Order — to streamline regulatory oversight of the fuel trade within the U.S.
Titled, “Supporting Secure and Accountable Development of Unconventional Home Pure Gasoline Resources,” the Executive Order signed within the form of a “Friday news dump” created “a excessive-stage, interagency working group that can facilitate…home pure gas development” overseen by Zichal.
Obama signed the Executive Order after meeting with Jack Gerard, head of the American Petroleum Institute (API), and different trade leaders. In response to EnergyWire, API requested the creation of that working group.
“We have called on the White Home to rein in these uncoordinated actions to avoid pointless and overlapping federal regulatory efforts and are happy to see forward progress,” Gerard informed the Associated Press in response to a question concerning the order.
A month later on Could 15, Zichal spoke to API about her efforts and those of the Obama administration on fracking.
“It is exhausting to overstate how pure gasoline — and our means to entry more of it than ever — has grow to be a game-changer and that is why it has been a fixture of the President’s ‘All the Above’ vitality strategy,” she instructed API.
“Simply think about it: a couple of years in the past, the typical wisdom was that the United States would want to construct more terminals to import natural fuel overseas. And today, America is the world’s main producer of natural gasoline and we’re actually exploring alternatives for exports.”
As a Might 2012 Bloomberg article explained, among Zichal’s tasks was wooing API head Jack Gerard, which she seems to have succeeded at.
Jack Gerard; Picture Credit score: Getty Pictures
Similar to the interagency working group created by the April 13, 2012, Government Order, Zichal additionally oversaw the Bakken Federal Executives Group, which was created through the signing of Executive Order 13604 on March Petroleum Refining 22, 2012. That order was part of the same package deal that referred to as for expedited constructing of the southern leg of the Keystone XL tar sands pipeline.
Government Order 13604 created an interagency steering committee with a goal “to significantly reduce the aggregate time required to make federal allowing and evaluation selections on infrastructure tasks while improving outcomes for communities and the setting.”
Zichal was additionally instrumental in legalizing the American Legislative Trade Council’s (ALEC) method for fracking chemical fluid disclosure on U.S. public lands, overseen by the U.S. Department of Inside’s Bureau of Land Administration.
“Zichal met more than 20 times in 2012 with industry groups and company executives lobbying on the proposed rule,” reported EnergyWire. “Among them were the American Petroleum Institute (API) and the Impartial Petroleum Association of America (IPAA), along with BP America Inc. Devon Vitality Corp. and Exxon Mobil Corp.”
Past overseeing streamlined allowing for fracking sites on each public and non-public lands, Zichal additionally oversaw the White House file for the Pavillion, Wyo. fracking groundwater contamination study.
Conducted by the U.S. Environmental Safety Agency (EPA), many consider the White Home — counseled by Zichal — made a political calculus to cancel the continuing investigation, the first of three major main research on the topic shutdown by the EPA.
The Zichal nomination is taking place alongside the deployment of the Obama Administration regulating coal-fired power plants by means of the U.S. Environmental Safety Agency. The rule is a de facto endorsement of fracking and gasoline-fired energy plants as part of the “all the above” power coverage.