Shell Gives Up 2013 Plans to Drill in Arctic

Breaking: Unable to meet stiffened government requirements for air pollution in the pristine arctic atmosphere, Shell has abandoned plans to drill this season in the Chukchi and Beaufort Seas. Shell has been plagued with equipment problems, not the least of which was the grounding of the Kulluk drilling platform near Kodiak Island earlier this year {January, 2013}. The grounding and problems with an oil containment system caused Shell to re-think its arctic operations which did not progress beyond a few exploratory holes. It will use its self-imposed pause to retool and repair for future operations. The arctic exploratory program has already cost the company $5 billion. There are no indications Shell intends to permanently halt its activities calling the operations a "long-term program that we are pursuing in a safe and measured way." Conservationists would like to see the government re-think its decision to allow offshore arctic oil production because the inability of oil companyies' to demonstrate an ability to effectively respond to a major oil spill in frigid conditions. A major review of Shell's first year of operation is being reviewed at the Interior Department to determine how best to proceed. Recently the Department of Interior decided to allow exploration and production onshore in the National Petroleum Reserve to the west of Prudhoe Bay.