In February the EPA allowed Shell to appeal a decision on Arctic drilling (they had to appeal to the EPA so guess what happened). At the time Shell all but said they were scrapping plans to drill in the Arctic north of Alaska, but today it became official.
The U. S. Geological Survey estimates there to be 27 billion barrels of oil (I mean, “yesterday’s energy source”) in the US part of the Arctic Ocean.
It will probably remain there for a long time:
Shell Oil Company has announced it must scrap efforts to drill for oil this summer in the Arctic Ocean off the northern coast of Alaska. The decision comes following a ruling by the EPAâ€™s Environmental Appeals Board to withhold critical air permits. The move has angered some in Congress and triggered a flurry of legislation aimed at stripping the EPA of its oil drilling oversight.
Shell has spent five years and nearly $4 billion dollars on plans to explore for oil in the Beaufort and Chukchi Seas. The leases alone cost $2.2 billion. Shell Vice President Pete Slaiby says obtaining similar air permits for a drilling operation in the Gulf of Mexico would take about 45 days. Heâ€™s especially frustrated over the appeal boardâ€™s suggestion that the Arctic drill would somehow be hazardous for the people who live in the area. â€œWe think the issues were really not major,â€ Slaiby said, â€œand clearly not impactful for the communities we work in.â€
The closest village to where Shell proposed to drill is Kaktovik, Alaska. It is one of the most remote places in the United States. According to the latest census, the population is 245 and nearly all of the residents are Alaska natives. The village, which is 1 square mile, sits right along the shores of the Beaufort Sea, 70 miles away from the proposed off-shore drill site.
Shell spent billions for nothing. Hey, that ought to lead speculators to believe the prices will drop.
Note: Complaints directed to the White House will be auto-reponded with “Trade in your 8 mpg SUV and buy a Volt!”