Oil spill in Montana: Exxon learnt from BP PR mistakes

The Exxon Mobil oil spill in Montana’s Yellowstone River is minor in comparison to the BP Macondo spill as far as environmental disasters go but there are still some lessons for investors that apply regardless of the number of barrels of oil spilled.

In fact, the number of barrels of oil spilled is a good place for investors to begin in terms of assessing the risk for Exxon Mobil.

Exxon Mobil estimates that the total amount of oil released is between 750 barrels and 1,000 barrels.

In the early days of the BP oil spill, former BP CEO Tony Hayward estimated that 5,000 barrels of oil a day was being spilled, and uttered the line, “a guesstimate is a guesstimate, and 5,000 barrels is still the best guess.” The subsequent estimate for the flow rate from the BP spill was 3.2 million barrels, or roughly 35,000 to 60,000 barrels per day.

The lesson here is that investors should at least take heed that the earliest estimates of oil spills can be underestimated. Indeed, by Tuesday afternoon, Exxon Mobil said its original estimate of the oil spill may have underestimated its size, and the extent of its geographic spread, too.

In addition to its 750 to 1,000 barrel spill estimate, an Exxon Mobil spokesman originally said that the spill had been fairly well contained and that there is “very little soiling” of stream banks beyond 10-miles. On Tuesday afternoon, ExxonMobil conceded that the spill could have extended by the original 10-mile area.

The ruptured pipeline is submerged at the bottom of free-flowing river. Flooding of the Yellowstone river continues to be a fear for spreading the spilled oil over a greater range, as well as the high water level being cited as a potential cause of the pipeline rupture.

If the Exxon Mobil estimate does stand, this spill woulod be 3,000 times smaller than the BP spill.

Maybe of equal or greater relevance is headline/political risk. As Raymond James noted on Tuesday, “From a PR standpoint, the Silvertip spill comes against the backdrop of elevated scrutiny of the industry’s environmental track record…Memories of Exxon’s Valdez disaster in Alaska (1989) may also come to the surface. While the cause of Exxon’s spill has not yet been established, we would not be surprised to see some heated political rhetoric, particularly from Montana’s state and local officials. The bottom line is that Exxon investors should brace themselves for a few days (perhaps weeks) of adverse headlines.”

Exxon Mobil has existing public relations issues in Montana. According to the Natural Resources Defense Council, the larger Yellowstone Pipeline (of which Silvertip is a component, and co-operated by ConocoPhillips) has leaked hundreds of thousands of gallons of petroleum into the state’s rivers and lands over a 55-year history (the Silvertip pipeline is 22 years old). In particular, the NRDC estimates that, by the mid-1990s, the pipeline had spilled at least 71 times on the 1.2 million acre Flathead Indian Reservation. In one high-profile case, after a163,000 gallons leak into a reservation creek, the Confederated Salish and Kootenai tribes opted to not renew a lease to run the pipeline through tribal land.

After the spill on Saturday, press reports noted that the U.S. Department of Transportation notified Exxon Mobil in July 2010 of seven potential safety violations and other problems with Silvertip. Exxon Mobil said the notifications were unrelated to the spill events and effectively dealt with by the company.

Eoghan O Neachtain: Ireland top spin doctor to resign

After working with Taoiseach Enda Kenny through the first 100 days in office, government press secretary Eoghan O Neachtain is standing down this weekend.

Mr O Neachtain worked as a spindoctor for a record three Taoisigh — starting out with Bertie Ahern in 2007, continuing with Brian Cowen in 2008 and then working with Mr Kenny since March.

The Taoiseach’s decision to ask him to stay on for the initial period of the Fine Gael — Labour Party coalition was unusual as Mr O Neachtain had worked for the previous Fianna Fail administration.

The former Defence Forces press officer worked with the new Government on Mr Kenny’s first two EU summits and visits to Washington and New York and the media strategy and organisation of the visits of Queen Elizabeth II and US President Barack Obama.

Career

Mr O Neachtain will be taking time off and has not revealed his next career move.

He left his position as ESB public affairs manager to take up the government press secretary post, but is expected to return to the semi-state company later in the year.

10 good reasons to use social videos for PR

 I’ve often argued that video is a tool of social media. So as many social media responsibilities are being taken on by PR departments, we are seeing public relations teams becoming more actively involved in the creation and deployment of social video content. Viral videos, branded entertainment, web series videos and video game trailers top the list along with original, entertaining product launch videos. This new breed of video content, rather than simply supplementing the efforts of PR teams, is often spearheading them. 

My creative agency has been working with some of the more innovative PR agencies and internal PR teams over the past couple of years, and here’s a list of the top 10 ways video is being used by PR professionals to help brands, businesses, organizations and individuals tell their stories.

1. Media relations / pitches and press releases. Videos make pitches and press releases infinitely more interesting and engaging. Referencing a hot new viral video, the latest video in a web series, a video announcement from a key corporate player or simply a fun, informative video about a product can make a huge difference in how a pitch is received. Video gives journalists, bloggers and publications more content to share with their visitors. 

2. Building trust and credibility with targeted groups. Nothing builds trust like video. Instead of reading a text quote from a company spokesperson, viewers are able to actually see that spokesperson speaking. There may be some coaching involved, but that’s what directors are for. 

3. Raising brand awareness / promotions / working with celebrities. Videos that offer something of value like cash, prizes or 15 minutes of fame can spread like crazy and highlight a product’s involvement in a contest or promotion, raising awareness of the product, and by extension, the brand.

Creating and launching funny, edgy or cool video content involving TV, sports and YouTube celebrities guarantees a targeted audience. Launching a coordinated social media sharing strategy and integrating this effort with the marketing department allows PR teams to capitalize on that momentum, building and raising brand awareness.

4. Product launches. Viral videos and branded entertainment are high-profile ways to announce new products or refresh old ones. Video gives PR teams a visual, entertaining and engaging tool around which to center campaigns. We were recently involved in creating a video for a pizza chain in which large amounts of cash were stuffed in the crust of their new pizza. The content was used not only as a stand-alone video, but as part of a funny promo on a late-night comedy talk show.

5. Crisis management / shifting public opinion / corporate and ceo reputation management. In 2009, when two Domino’s Pizza employees made a video of themselves sticking cheese in their noses and messing around with customers’ sandwiches, the companywas quick to respond with a video apology from Domino’s USA President, president Patrick Doyle.

In 2010, BP  CEO Tony Hayward made a video apology following the oil spill in the Gulf. Most of the top comments on the video reference the “South Park” episode that lampooned Hayward, but that’s OK. The message still got out.

In both cases, the videos reached large audiences and supplied talking points for the media, social and mainstream, to propel the video messages further. Both videos were effective in turning around negative perceptions toward the brands.

6. Content development. Company newsletters, blogs, speeches and annual reports are being sprinkled with videos. PR teams don’t need to produce a viral video hit for every newsletter, but they can encourage key employees to create video content at events and parties. Include the videos in monthly correspondences with clients and the media. Just be sure to edit them first, especially the ones from the Christmas party.

7. Social media marketing. If social media is UPS, video is the package. If social media is the rocket launcher, video is the rocket. Video can be branded as heavily or as lightly as the creative and messaging dictate, and the larger story can be shared and developed via social media. Having a PR message go viral across Twitter, Facebook, YouTube and other video sites and social outlets creates a new story that can then be pitched to, or organically picked up by, mainstream media outlets — enabling the message to reach TV, radio and print audiences as well.

8. Social and environmental responsibility. For brands, businesses and organizations, being socially and environmentally responsible can be a key way of differentiating themselves from their competitors. Video can bring the faces of individuals and positive actions of these companies to the forefront and help move brands closer to new and existing fans and customers.

Video can also be used to present a call-to-action, or as a rallying cry for public involvement in a good cause. Launching videos where fans are encouraged to submit a response in video form allows a call-to-action to be spread even faster and with farther reach.

9. Events. While a single live event reaches only the people attending, social video allows PR teams to share the event with everyone. This increases the exposure of both the event and the brand, product, organization or personality. Events don’t always have to be real, either. Flash mobs are types of events that are staged and shared on Youtube and via social media.

10. Political campaigns. Politics is about convincing people to trust a candidate, motivating them to convince others to trust the candidate and getting everyone to vote for the candidate. Politicians are often recorded publicly for videos that can take on lives of their own — but funny, emotional or serious original video content can be produced and launched in order to manage the direction and spread of both positive and negative conversation. Political attack videos and damage control videos can both contain humor, meaning or even shock value — and will be shared. 

Online video is fast becoming the face of social media. Like their marketing and advertising brethren, PR agencies and PR departments should be exploring the possibilities and pushing the boundaries.<

 

Alastair Campbell involved in a fight with singer Tom Parker

We’re not used to see Tony Blair’s notorious spin doctor Alastair Campbelle in this type of fight. No bloody political battles. but a football pitch and a good old man to man fight…

This time the former Downing Street media bruiser was in the thick of a real scrap between his team and a boy band in a charity tournament.

Campbell, 54, had some harsh words for Tom Parker over a tough challenge by The Wanted star.

It sparked ugly scenes as Parker and one of Campbell’s team-mates locked heads in the celebrity six-a-side clash at Turf Moor, home of the spin doctor’s beloved Burnley.

An onlooker said: “No one was sent off but you could cut the tension with a knife. Campbell was not happy at all.”

Parker, 23, from Bolton, had to be carried off on a stretcher in a later match with a leg injury.

He tweeted afterwards: “A fight with Alastair Campbell (yes the MP) and a twisted knee..paiiin!”

Campbell, who had turned out for a celebrity team representing Burnley, said of the fracas: “It was all a bit handbags.”

How shocking: Nick Clegg’s £250k spin doctor bill!

Huge scandal in the UK. Punchbag Lib Dem leader Nick Clegg is spending £250,000 on a team of spin doctors to fix his image. How can he get out of this mess?

The Deputy PM is hiring five press and PR aides as he tries to win back public trust after his string of broken election promises.

The civil service team comes on top of five Liberal Democrat special advisers he brought in to Government to fight his corner.

Another six people are being hired to work for a new Government communications unit, despite the Coalition’s promise to end spin.

Adverts on the Civil Service’s internal website admit Clegg is in trouble, saying his team is “constantly learning to improve”.

Former Cabinet Office minister Tom Watson said yesterday: “His career is on life support so it’s no wonder he’s hiring spin doctors.

“But it is not going to fool anyone – advisers can’t undo the damage he has done.”

Craig Oliver blasts Cameron’s coalition

Craig Oliver, David Cameron’s spin doctor has torn the coalition apart by blundering into the war over voting reform.

Craig Oliver flouted a pact under which Government advisers promised not to get involved in the fierce mud-slinging between the Tories and Nick Clegg’s Lib Dems over the alternative vote referendum.

He tried to use his influence as a former BBC editor when he called the corporation to moan about its reporting of the issue, insiders there have revealed.

Mr Oliver, Downing Street’s director of communications, may have also broken strict rules on what politically-appointed special advisers can do, it emerged.

They are only supposed to work on Government policy – which does not include the AV referendum because the coalition is divided. One senior Lib Dem source said yesterday it sounded like “a clear breach of the rules”.

A spokesman for Mr Oliver admitted he had spoken to the BBC about the referendum but denied that the rules had been broken.

He added: “Part of the director of communications’s role is to ensure the Prime Minister’s opposition is properly understood.

“In doing so he operates within the special advisers’ code.”

BBC insiders, meanwhile, say Mr Oliver has been bombarding the Beeb with complaints since he moved to Number 10.

One said: “He spends more time speaking to former colleagues than he did when he worked here.”

Another added: “Craig knows who to call, who is editing at the weekends. He has all their extension numbers.”

Most Lib Dems back AV but the Tories oppose it and the coalition faces lasting damage after both sides accused the other of lying.

Mr Oliver’s actions came to light after coalition in-fighting got worse than ever yesterday.

Mr Cameron claimed hugely expensive vote-counting machines would be needed for AV, where voters can rank candidates in order of preference instead of just picking one.

But Deputy PM Mr Clegg accused opponents of AV of peddling “bilge” and Lib Dem minister Chris Huhne insisted the claim was a Tory lie.

The AV poll was demanded by Mr Clegg as the price of putting the Tories in power.

But polls show the “No” campaign heading for a convincing win.

Putin kicks Medvedev’s spin doctor out

The Kremlin has dropped prominent adviser Gleb Pavlovsky over his publicly stated preference for Dmitry Medvedev in next year’s presidential vote, highlighting sensitivities over apparent rivalry with Vladimir Putin, Vedomosti reported Wednesday.

Pavlovsky had “openly bet on Dmitry Medvedev, offering to discuss his modernization agenda within the election campaign,” an unidentified Kremlin official told the daily.

Pavlovsky runs the Foundation for Effective Politics, a think tank that advised the Kremlin in an unofficial capacity. Kremlin officials told the paper it would no longer be working with Pavlovsky’s foundation, effectively severing ties with him.

In the lead-up to State Duma elections in December and next year’s presidential vote, political figures have not shown preference for any one member of the ruling duo but expressed growing nervousness over the uncertainty.

Pavlovsky threw his weight behind President Medvedev over the past year in interviews with several media outlets. He first broke a taboo two years ago when he speculated about a possible coup against Prime Minister Putin from within.

A Kremlin official on Wednesday denied a political motive behind Pavlovsky’s departure, telling Interfax that he had played a minor role in drafting Kremlin policies and resigned voluntarily.

“He did not provide any special political consulting lately,” the unidentified official said. “His responsibilities were mainly limited to reviewing regional media, which, in the age of the Internet … is hardly a unique service.

“He was kept in the job mainly because of his past achievements,” the official added.

But Pavlovsky insisted that he was removed from the Kremlin for his vocal support of a second term for Medvedev. The tandem’s refusal to announce their candidate “has dragged on for too long and weakens the whole party of power,” Pavlovsky told Rusnovosti.ru.

“Putin has done all he could, and now he has to help Medvedev with his future presidency,” Pavlovsky said.

Neither Putin nor Medvedev has commented on the issue.

But Putin said Tuesday during a trip to Denmark that the tandem would not take Western advice into account when deciding on the candidate.

“Future candidates for president of the Russian Federation do not need support from abroad,” Putin said when asked by a reporter about calls by some in the West for him to stay out of the election.

“Future candidates for president of Russia need the support of the Russian people,” he said, without elaborating.

In a poll released this week, 39 percent of Russians believe that Putin will become president in the 2012 poll, while 28 percent are predicting a victory for Medvedev, Vedomosti reported, citing the independent Levada Center.

Twitter storms into Welsh politics

The Welsh party  Plaid Cymru discovered this weekend the power of Twitter. Theparty wasn’t quick enough to snaffle the Twitter handle @plaidcymru.

Plaid opted for the name @plaid_cymru. And while the “unofficial” tweeter appeared to be a Plaid supporter at the conference, the tweets were not, er, entirely helpful in terms of image.

“Still a bit quiet here – but sure more people are on the way – it’s still early! #plaidconf,” came the first tweet, at the start of the day, indicating a perhaps disappointing turnout at the Wales Millennium Centre.

“We should aim to put @IeuanWynJones in the top job and that means have a Plaid/Tory/LD coalition,” it said later. This is not, as it transpires, official party policy going into the election.

“Ieuan is here – Small but very vocal crowd to meet him at Millennium Centre!,” came a later tweet.

But what caused most trouble was the tweet: “After Japan, #plaidconf will be able to reaffirm opposition to ALL nuclear power. #plaidcymru can settle the debate once and for all.”

This, of course, is not Plaid policy, what with Ieuan Wyn Jones’ constituency being Anglesey and nuclear being quite popular there in terms of employment. Obviously not true, then?

Er… not if you’re Shadow Economic Development Minister Darren Millar, who took it at its word and instantly issued a press release attacking Mr Jones for “actively campaigning for what would be a massive blow to his Anglesey constituents and have a negative impact on the economy of North Wales”.

“I am appalled that Plaid would seek to use the disaster in Japan for political advantage… To imply that Wylfa could pose a similar risk to people in North Wales is a disgrace.”

Whoops! Still, Mr Millar was not the only one taken in. Welsh-language current affairs website Golwg360 also believed it, running the story until a furious Plaid press officer rang to inform them it was all a hoax.

But who’s behind it? All fingers are pointing towards a certain member of Labour staff at Westminster known for his online shenanigans…

JOINED-UP Plaid Cymru thinking.

March 24, 2011: Leader Ieuan Wyn Jones contrasts the message which Plaid is campaigning on in the Assembly Election with that of Labour, whose Shadow Welsh Secretary Peter Hain has said the election should be used to “send a message to David Cameron”.

Mr Jones says: “If you frame it in that way you accept there’s nothing else you can do. Labour are hardly going to make the Conservatives and Lib Dems reduce the cuts. It’s about, what do you do in the next few years? You’ve got to look at innovative ways. Just standing up for Wales isn’t enough.”

March 25, 2011: Director of Policy Nerys Evans sums up the campaign. “I hope the people of Wales send a clear message to the Tories and Lib Dems in this election.”

PLAID has sought to make education the key plank of its Assembly Election platform.

Indeed, Ieuan Wyn Jones pledged to put “raising standards in education at the heart of the party’s manifesto for the 2011 Welsh General Election”.

Before adding the baffling: “We will aim to have illiteracy rates by the end of the next Assembly term.”

Things are so bad, it is even affecting the people who write the Deputy First Minister’s speeches.

Danish opposition leader hired Obama’s spin doctor

While the opposition is preparing the allocation of ministry posts, Helle Thorning-Schmidt, the Social Democrat leader, is leaning back in mental preparation for becoming the next prime minister.

As part of this preparation, Thorning-Schmidt has reportedly received advice from John Podesta, who chaired Barack Obama’s transition team after Obama’s election victory in 2008 and served over two years as Bill Clinton’s chief of staff.

“Of course it’s not right make direct comparisons between Denmark and the US, but we have some experience that Helle could draw on,” Podesta, who has advised Thorning-Schmidt to spend no more than 45 minutes a week discussing a takeover with public officials, told Jyllands-Posten newspaper.

Thorning-Schmidt and Socialist People’s Party leader Villy Søvndal have also reportedly agreed that the Social Democrats will be given around half of the cabinet seats, while SF would get two thirds of the remaining seats, and the Social Liberals would get the remaining third.

Meanwhile, a group of officials from the Social Democrats and the SF is working on a joint proposal for a long-term economic plan for Denmark, which would function as the basis for a left of centre government.

It recently emerged that the two parties are planning to create a number of new ministries, including a new ministry that would coordinate efforts between ministries.

In addition, the most powerful ministers would be advised by a team of three spin doctors.

A newly-published book claimed that the Social Democrats have made a “death list” of top civil servants whose functions the party believes are too characteristic of the current government’s policies, and who the party would seek to replace. The Social Democrats have, however, denied that claim.

Alastair Campbell to advise South Africa

Former British Prime Minister Tony Blair’s chief spin doctor Alastair Campbell on Tuesday said he has noticed a definite tension between government and the South African media.

Campbell has been invited to share his expertise at a two-day Government Communicators’ Forum which started in Midrand on Monday.

He said he will be offering strategic advice.

“I actually met people from the south African government a few years ago in London where they started to explain to me how they did want to try and modernise government communications. They have asked me to give them strategic advice having been involved in processes in modernisation of communications,” said Campbell.