Arctic Offshore Drilling
Everything seems to fall into place for Shell. The remedial analysis is complete and the Department of Interior affirms the sale. All plans are approved.
Environmentalists heavily protest Shell. Many actions are taken to prevent Shell's progression.
July 30
Shell begins drilling the Burger J well, its first offshore Alaska drilling since 2012.
September 27
Shell announces that the Burger J well is not economic and it plans to end the Alaskan Exploration.
Why is Arctic offshore drilling such a hot topic?
The United States is currently the largest producer of crude oil. This is great news for the country because this means that our oil dependence has decreased and gas prices are generally dropping. However, in order to continue at this level, the country must find new sources of oil. The Arctic is melting at a quickening rate, so many oil companies are racing to control the land and drill off the shores of Alaska. But should oil companies be allowed to drill in such fragile ecosystems?
A single oil spill would cause irreversible damage. It would be impossible to fully clean it up due to icy conditions and dangerous waters. However, the economic benefits could make the venture worth it. The Obama administration believes that this opportunity is critical for the country and confirms that Shell is being held to the highest possible standards, however, many people continue to argue that the risks are too high and completely unacceptable.
Many people have an opinion on this widely debated topic. Politicians, environmental organizations, and economic analysts each have an important opinion on this debate. It is important to understand each position and argument before taking a personal stance on this highly controversial topic.
What has already happened? Where are we now?
Shell's Timeline of Events in the Arctic3 (Rosen)
Even though Shell has retreated from the Arctic for now, it doesn't mean they, or any other company, won't be back. There is still the potential for profitable oil in the area. They might just be reevaluating their choices and creating a new action plan. It is important to remember the long process that Shell has been through to get to this point. With all of the money that has been spent on leases and equipment, it is unlikely that they are willing to
completely abandon the Arctic. This topic is still relatable and debatable. Operations are not over.
2008
February 6
Shell spends $2.1 billion to win leases in the Chukchi Sea.
2009
Shell submits plan for exploratory drilling in Chukchi in 2012.
April 20
BP Deepwater Horizon rig blowout in Gulf of Mexico. It quickly becomes the worst oil spill in US history. This causes huge revisions of federal offshore oil regulations and reorganization of the US Minerals Management Service.
July 21
US District Court Judge Ralph Beistline rules that the pre-sale environmental analyses for leases sold were inadequate. All Chukchi leases are currently suspended
2010
2011
Shell is on hold for this drilling season. The company submits a new and revised plan for the Chukchi Sea. This plan wins conditional approval.
Shell is granted limited exploration. Meanwhile, they experience a number of logistical issues.
Shell is only permitted to drill an explorational top hole (does not reach oil bearing zones) because they failed to meet oil spill response requirements. Their system repeatedly failed Coast Guard approval.
Systems are finally approved in late October, which is too late for drilling season.
December 31
Shell loses control of the Kulluk Drill Ship and it grounds near Kodiak Island. The ship is wrecked, which costs Shell the entire 2013 upcoming drilling season.
2012
2013
The Kulluk heads to Asia for repairs and the entire drilling season is suspended.
EPA fines Shell for $1.1 billion due to air quality violations on various rigs and support vessels.
January 20
The environmental analyses from the 2008 Chukchi lease sale are still deemed inaccurate. All Chukchi leases are suspended. Shortly after, Shell cancels the 2014 drill season.
August
Shell submits another revised plan for the Chukchi Sea. This time, they propose two drill rigs run simultaneously and the Polar Pioneer will replace the Kulluk ship.
December 19
A Shell contractor, Noble Drilling, is order to pay $12.2 million in criminal charges for environmental safety violations, mainly aboard the Discoverer.
2014
2015
Most people seem to be in favor of Arctic offshore drilling because of the economic benefits that could result from this operation. But what about the environment? Can any sort of compromise be formed? Where should we go from here? The presidential race is coming up within a year and this will prove to be a popular topic. On this website, you will be able to learn more about both sides of this debate so that you can form your own opinion and take a stance!
Page Citations
Image - Ocean and Mountains (Header): Ashfay. “DSC03327.” Image. Flickr. Flickr. 6 Jan 2008. Web. 13 Nov. 2015.
Image - Drilling Platform: Backbone Campaign. “Arctic Destroyer Arrives in Port Angeles.” Image. Flickr. Flickr. 17 Apr. 2015. Web. 13 Nov. 2015.
3 - Textual Information - Shell Timeline of Events: Rosen, Yereth. “Shell in Alaska: A Timeline.” Alaska Dispatch News. Alaska Dispatch Publishing. 28 Sep. 2015. Web. 17. Nov. 2015.
"Arctic Destroyer Arrives in Port Angeles" by Backbone Campaign