“Shell screwed up in 2012.” Interior Secretary Ken Salazar was bluntly accurate when speaking about Shell’s calamitous Arctic drilling program today.
The Interior Department’s new high-level, 60-day review – while not comprehensive – calls attention to serious shortcomings in Shell’s 2012 effort and recommends a more thorough, integrated approach to planning and oversight before deciding on whether to approve future Arctic drilling operations.
The review confirms what we already knew: that Shell simply was not ready to conduct safe and responsible operations in icy Arctic waters. It also demonstrates that federal agencies need to do a better job holding the oil industry accountable and setting higher standards for safety and environmental protection.
Today, after months of speculation and countless questions regarding their Arctic drilling operations, and on International Polar Bear Day, Shell announced that it would suspend its attempts at further oil exploration in the Arctic for 2013. Given Shell’s performance over the past year, their decision to pause drilling for 2013 is one of the smartest moves they’ve made regarding Arctic operations. Shell has clearly demonstrated that the company is not prepared to conduct safe and responsible operations in icy Arctic waters. We need a time-out on Arctic drilling until we have improved our understanding of the Arctic ecosystem, protected important ecological and subsistence areas and developed effective methods to clean up an oil spill in icy Arctic water
This announcement came after a long season of other mishaps and missteps, followed by continuing troubles in Alaska throughout the winter. Shell’s Kulluk drilling unit ran aground near Kodiak Island in December after Shell lost control of the vessel while attempting to tow it in stormy seas. At roughly the same time, sources in the media reported that Shell’s other Arctic drillship, the Noble Discoverer, suffered a series of significant problems with propulsion, safety and pollution prevention systems.
Two weeks ago, Shell announced that it would tow both of its beleaguered Arctic drilling units to Asia for repair. As Shell prepared to tow the Kulluk, the tugboats assigned to the task wound up crashing into each other.
Shell’s failures during 2012 season demonstrate clearly that the company is not prepared to conduct safe and responsible operations in icy Arctic waters. Secretary of the Interior Ken Salazar initiated a high-level review of Shell’s operations and activities in 2012. We’re urging that the review be transparent, objective, and comprehensive. An honest assessment of Shell’s failures and missteps will show that Shell wasn’t ready for the challenge of operating in the Arctic. And it will also show that the federal regulators who gave Shell the green light need to hold Arctic operators to a much higher standard.
The Department of the Interior plans to release its review in early March. In the meantime, let’s not allow Shell—or any other oil and gas company—to gamble with the health of the Arctic Ocean.
Walrus cow with calf on ice. Credit: U.S Fish and Wildlife Service, Alaska Region
Last month, the United States Arctic Research Commission released a report containing an inventory of ongoing research activities and a series of recommendations regarding oil spills in Arctic waters. The report shows that governments, industry, nonprofit organizations, and others are engaged in a range of Arctic oil spill research development activities. At the same time, however, the report’s recommendations show that much more work is needed to improve oil spill preparedness and response capabilities in the Arctic.
The Arctic Research Commission is an independent federal agency established by the Arctic Research and Policy Act of 1984. Among other things, the Commission is tasked with establishing policy, priorities, and goals to support a plan for scientific research in the Arctic; promoting cooperation and collaboration among federal agencies active in Arctic research; assisting in the development of a five-year Arctic research plan; and working with Arctic residents, international research programs, and others to develop a broad perspective on Arctic research needs. Continue reading »
The oil drilling ship Noble Discoverer. Credit: jkbrooks85 flickr stream
Wednesday October 31 marked the end of the drilling season in the Arctic Ocean. Shell had hoped to drill a series of exploration wells into potential oil deposits in the Beaufort and Chukchi seas off Alaska’s coast. But things didn’t go as planned for the oil giant, and it never reached the oil it was looking for. Instead of drilling exploration wells into oil-bearing layers, Shell was able to do only preparatory work and shallow “top-hole” drilling on two Arctic wells.
The 2012 drilling season didn’t unfold the way that Shell had hoped, but we did learn a few things from the company’s efforts.
This past weekend, a failed test of Shell’s oil spill containment system resulted in damage to the dome designed to contain oil in the event of a spill. In light of the damage to the containment dome, Shell announced that it was abandoning its plans to drill into oil-bearing layers in the Arctic Ocean this summer. The company said its drilling operations in the Arctic Ocean this summer would be limited to “top holes”—initial sections of wells that do not penetrate into known oil-bearing layers.
The Bureau of Safety and Environmental Enforcement (BSEE) issued an interim permit that authorizes Shell Oil to begin initial drilling operations in the Chukchi Sea — part of the Arctic Ocean northwest of Alaska. The decision does not allow Shell to drill into known oil or gas-bearing layers. Even so, it is a significant step in the wrong direction.
BSEE Director James Watson claimed that today’s permit decision is consistent with the agency’s commitment to use the “highest safety, environmental protection and emergency response standards.”
It sure doesn’t seem that way.
If BSEE were serious about holding Shell to the highest standards, the agency would insist that no drilling take place until all of Shell’s oil spill response tools are on site and ready to respond in the event of an emergency. Instead, BSEE’s decision will allow Shell to drill roughly 1,400 feet below the ocean floor without an oil spill response barge and containment system on site.
Shell’s oil spill response barge and containment system remain in Bellingham, WA, far from the Arctic. The barge is still undergoing renovations required before the Coast Guard can certify the vessel for use in the Arctic. The containment system has not received final certification, either. When and if the Coast Guard certifies the barge and containment system, it will take roughly two weeks to get them from Bellingham to Shell’s drilling site in the Chukchi. Two weeks would be an agonizingly long time to wait if something went wrong during the initial phases of Shell’s operations. Continue reading »
For years, Shell has tried to carry out a risky plan to drill for oil in the Arctic Ocean. This summer, it looked like Shell would finally get its wish.
In June, Secretary of the Interior Ken Salazar said that it was “highly likely” that the federal government would issue the permits Shell needs to conduct Arctic drilling operations. Later, Secretary Salazar told the New York Times that he would decide no later than August 15 whether to allow Shell to conduct exploration drilling in the Arctic this summer.
August 15 came and went, and there was no decision from Secretary Salazar. Why the delay? The delay comes because, as Ocean Conservancy and others have stated repeatedly, Shell is not ready to drill.
Despite having years to prepare, Shell has been unable to complete a series of required modifications to its oil spill containment barge. The barge, the Arctic Challenger,is an integral part of Shell’s oil spill response plan for the Arctic Ocean. But the vessel is currently undergoing modifications in Bellingham, Washington—far from the Arctic.