“The ground below the Beaufort and Chukchi seas off Alaska’s northern coast may contain a large amount of oil and natural gas. The seas are also home to the whales and seals that are central to the way of life of the local Inupiat people. We respect their unique heritage and recognise the challenge of balancing cultural traditions and economic development, including the development of energy resources, that the region desperately needs. I know that this is a complicated issue for local communities. We are committed to working with them, using their knowledge of the land and sea, and addressing their concerns in our planning, to find ways of operating that respect their traditional hunting practices.
MARVIN ODUM
EXECUTIVE VICE PRESIDENT,
EXPLORATION & PRODUCTION AMERICAS
COUNTRY CHAIR, USA
Since we were first awarded exploration licences in 2005, we have moved with caution. For example, we hired local Inupiat observers so we could benefit from their traditional knowledge of the behaviours of the bowhead whales. We signed a conflict avoidance agreement with the Alaska Eskimo Whaling Commission, agreeing not to drill during the 2007 bowhead whale hunt. For our first exploratory drilling, originally planned for summer 2007 in the Beaufort Sea, we put 14 specialist ships on standby, ready to react in the unlikely event of an oil spill.
Disappointingly, a US court blocked our 2007 drilling programme in the Beaufort Sea, after several environmental groups, along with the North Slope Borough and the Alaska Eskimo Whaling Commission, challenged the environmental analysis that the federal government carried out before granting Shell’s exploration plan. We are awaiting a final decision from the court.
In 2007, we carried out seismic work in the Beaufort and Chukchi Seas and, in early 2008, were the highest bidder for 275 exploration leases. We will only drill in the Chukchi after completing environmental assessments.
My colleagues and I are determined to listen to and work better with the local communities, so that together we can find ways to responsibly develop the offshore energy while respecting the region’s native culture.”