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Critics say grounding shows Arctic drilling danger

Posted: January 3, 2013 - 1:08am
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This aerial image provided by the U.S. Coast Guard shows the Royal Dutch Shell drilling rig Kulluk aground off a small island near Kodiak Island Tuesday, Jan. 1, 2013. No leak has been seen from the drilling ship that grounded off the island during a storm, officials said, as opponents criticized the growing race to explore the Arctic for energy resources. (AP Photo/U.S. Coast Guard)  Sara Francis
Sara Francis
This aerial image provided by the U.S. Coast Guard shows the Royal Dutch Shell drilling rig Kulluk aground off a small island near Kodiak Island Tuesday, Jan. 1, 2013. No leak has been seen from the drilling ship that grounded off the island during a storm, officials said, as opponents criticized the growing race to explore the Arctic for energy resources. (AP Photo/U.S. Coast Guard)

ANCHORAGE — The grounding of a petroleum drilling ship on a remote Alaska Island has refueled the debate about oil exploration in the U.S. Arctic Ocean, where critics for years have said the conditions are too harsh and the stakes too high to allow dangerous industrial development.

The drilling sites are 1,000 miles from Coast Guard resources, and environmentalists argue offshore drilling in the Arctic’s fragile ecosystem is too risky. So when a Royal Dutch Shell PLC ship went aground on New Year’s Eve off an uninhabited island in the Gulf of Alaska, they pounced — saying the incident foreshadowed what will happen north of the Bering Strait if drilling is allowed.

For oil giant Shell, which leads the way in drilling in the frontier waters of the U.S Arctic, a spokesman said the incident will be a learning experience in the company’s yearslong effort to draw oil from beneath the ocean floor, which it maintains it can do safely. Though no wells yet exist, Shell has invested billions of dollars gearing up for drilling in the Beaufort and the Chukchi seas, off Alaska’s north and northwest coast.

The potential bounty is high: The U.S. Geological Survey estimates 26.6 billion barrels of recoverable oil and 130 trillion cubic feet of natural gas exist in Arctic waters.

Environmentalists note the Beaufort and the Chukchi seas are some of the world’s most wild and remote ecosystems on the planet. They’re also some of the most fragile, supporting polar bears, the ice seals they feed on, walrus, endangered whales and other marine mammals that Alaska Natives depend on for their subsistence culture.

“The Arctic is just far different than the Gulf of Alaska or even other places on earth,” said Marilyn Heiman, U.S. Arctic director for the Pew Environment Group.

Royal Dutch Shell PLC in 2008 spent $2.1 billion on Chukchi Sea leases and estimates it has spent a total of nearly $5 billion on drilling efforts there and in the Beaufort. Shell Alaska spokesman Curtis Smith said the company has a long, successful history of working offshore in Alaska and is confident it can build another multidecade business in the Arctic.

“Our success here is not by accident,” Smith said. “We know how to work in regions like this. Having said that, when flawless execution does not happen, you learn from it, and we will.”

The drill ship that operated in the Beaufort Sea, the Kulluk, a circular barge with a funnel-shape hull and no propulsion system, ran ashore Monday on Sitkalidak Island, which is near the larger Kodiak Island in the gulf.

The ship had left Dutch Harbor in the Aleutian Island under tow behind the 360-foot anchor handler Aiviq on Dec. 22. It was making its way to a Pacific Northwest shipyard for maintenance and upgrades when it ran into a vicious storm — a fairly routine winter event for Alaska waters.

The tow line snapped Dec. 27. Shell vessels and the Coast Guard reattached tow lines at least four times. High wind and seas that approached 50 feet frustrated efforts to control the rig, and it ran ashore. Shell, the drill ship operators and transit experts, and the Coast Guard are planning the salvage operation.

The state of Alaska has been an enthusiastic supporter of Arctic offshore drilling. More than 90 percent of its general fund revenue comes from oil earnings. However, the trans-Alaska pipeline has been running at less than one-third capacity as reserves diminish in North Slope fields. State officials see Arctic offshore drilling as a way to replenish the trans-Alaska pipeline while keeping the state economy vital.

In September, two Shell ships sent drill bits into the U.S. Arctic Ocean floor for the first time in more than two decades. They created top holes and initial drilling for two exploratory wells. Drilling ended on the last day of October.

The grounding in the North Pacific is not a wellhead blowout in the Arctic, and not a drop of oil has been detected in the water. But environmental groups say it’s a bad sign.

Drill rigs in Arctic waters could be affected by ice any time during the four-month open water season, said Heiman of the Pew Environment Group. The other threats — near hurricane-force winds compounded by cold and darkness — were seen in the grounding, she said.

“We know that in the Arctic and in the gulf it’s not uncommon to have pretty high seas, and you have to take precautions,” she said. “If you’re going to dill in those types of conditions, or even move vessels in those conditions, you have to have strong, Arctic-specific gear and equipment and safety training. It has to be very vigorous, and I don’t think we’re there yet.”

Shell was fortunate in some ways, she said, that the Kulluk experienced problems near Kodiak.

“Up in the Arctic, you are 1,000 miles away from any Coast Guard station and the kind of response they were able to deploy in Kodiak,” she said. The Coast Guard the last few summers has staged equipment and personnel in the Arctic. That has meant a couple of helicopters and possibly a cutter, Heiman said. It in no way can be compared to the Gulf of Mexico and the resources available for BP’s Deepwater Horizon disaster.

“It’s remote. There are no roads. There’s no real, true spill response capability like you would have in the gulf, where you have ports and harbors and boats and fishing boats and vessels everywhere,” she said.

Shell has said its preparations will allow it to operate safely far from the Coast Guard base. Like a backcountry camper, Shell has promised to carry all the response equipment needed to the isolated drilling sites: a fleet of more than 20 response vessels that could respond in either the Beaufort of the Chukchi.

Shell spokesman Smith said the company remains confident in its ability to operate safely.

“We encountered severe weather basically all summer long in the Arctic,” he said. “While it was challenging, the personnel and the assets and the rigs performed very well.”

When a massive ice flow moved toward the drill ship operating in the Chukchi after less than a day of drilling, Shell released the vessel from anchors and moved out of the way.

“As disappointing as that was, given how long we had waited to start drilling — we were only a day in — we had the time and made the decision to disconnect from anchors and safely move off,” Smith said. “That’s how responsible operators work in the Arctic, or anywhere, really.”

The Aiviq has towed the Kulluk more than 4,000 miles and experienced conditions seen before the grounding, Smith said. It was no accident, Smith said, that additional vessels were standing by in Seward.

It’s too soon to know what led to the grounding, Smith said, but the failure of the Aiviq’s engines for a time after the initial separation and the inability to re-establish an ideal tow connection were factors.

“It’s clear that a sequence of unlikely events compounded over a short period of time, underscored by the complete loss of power to the engines of the Aiviq,” he said.

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Latitude58
14495
Points
Latitude58 01/03/13 - 08:11 am
5
4

better hurry

In about a week we'll have some of the biggest tides of the year. If those high tides float it even further up the beach...Shell is screwed. It may be there forever, a shining beacon to incompetence.

snagger
8296
Points
snagger 01/03/13 - 08:29 am
6
7

U.S. Arctic

This is a drilling platform in trouble crossing the Gulf of Alaska or say Pacific Ocean. Drilling in the Arctic doesn't involve 20-30 foot waves---ice no waves.It's like crabbing near the ice edge in the Bering Sea, calm. I wish extremists didn't confuse issues!

asherlev13
332
Points
asherlev13 01/03/13 - 09:05 am
7
8

Hmmm...

... I sure am glad that the likes of Lewis & Clark, Columbus, Madam Curie, Dr Saulk, (et al), didn't have the attitude that some seem to have here. Yes, sometimes, things are difficult. Especially here in Alaska. But if you cut and run everytime something is difficult, you will never accomplish anything.

We have to be smart about this, no doubt. But we need to anticipate set backs. But the greatest reward goes to those who are willing to risk the most.

kpawsuh
10138
Points
kpawsuh 01/03/13 - 09:29 am
7
7

Risking your life to explore

Risking your life to explore new frontiers is different than risking our environment, our fisheries, etc for a foreign country to grab a fistfull of dollars and run...

Jumpstart
552
Points
Jumpstart 01/03/13 - 10:03 am
8
6

Reward? Whos reward are we

Reward?
Whos reward are we talking about here. Shell oil is from the Netherlands.
Also royalties from Arctic drilling goes right to the federal government not to Alaskans. What reward could possibly be better than a healthy clean environment full of life and diversity? Being smart is knowing when to say no. There is nothing smart about this drilling, stupidity yes.

We all learned from the Gulf disaster that even in calm warm waters the oil industry cannot clean up oil spills. Knowing this, it is a National tragedy that our Reps (and you the public) has allowed drilling to go forward in the Arctic.

islander
1193
Points
islander 01/03/13 - 10:14 am
6
6

Reality

Every day Alaska waters have a fleet of large vessels (not counting the fishing fleets) moving around. To focus on this platform as the center of all possible problems is just absurd. On a regualr basis we have disasters at sea. We have fuel delivery barges floating around in the Bearing Sea after the tug sinks. We have tankers moving millions of barrels of crude. We have container ships loosing units over the side in high seas. We have log ships dropping items into the waters. Alaskan waters are dangerous and no protesting the oil companies is going to remove the dangers surrounding all perils at sea and the resulting impacts on our shores.

There is a difference between facing the above potential problems and simply believing stooping drilling is the solution.

Jumpstart
552
Points
Jumpstart 01/03/13 - 11:25 am
4
6

islander? you have to be

islander??? You have to be joking. An oil spill in the Arctic will NOT BE, should never be considered a regular disaster at sea.

Edward Itta, of Barrow how are you sleeping now? You are a fool to have indorsed this drilling and for forgetting that your true wealth comes from above the ground.

hug-em-then-cut-em
2372
Points
hug-em-then-cut-em 01/03/13 - 06:38 pm
3
3

Shell Hires Foriegners (Smits) Not Alaskans

Unpublished

Right, they can't trust Alaskans to do the job but we can trust SHELL to properly navigate our State and Federal waters. What was the course plan for the Kulluk in the first place, by way of Kodiak or Seward or just a round-a-bout the island for shot down the Gulf in January!!

Somebody better tell Alaska that they can claim salvage and take possession immediately. Maybe Shell will pay to get it back and we can all enjoy a PFD increase.

Alaska can claim Salvage,pump the oil off and use it for free heating fuel in Old Harbor and Kodiak, before it just leaks all over the shoreline and turns Kodiak Herring just like Prince William Herring, Non existent

The public being led by the nose, thinks Kodiak is the Arctic.

Like the Exxon Valdez, our environment is ultimately in the hands of an idiot in the headquarters building someplace, who has never set foot in Alaska.

ken dunker II
3341
Points
ken dunker II 01/04/13 - 02:53 am
0
0

I am very impressed with the technological advances made in

this field. I am certain that this grounding was a mishap many marine vessel operators would have preferred over Davy Jones' locker. Kudos to the team that kept their heads in the game.
Granted it was, and is, a PR nightmare but no life was lost, human or otherwise.
I am less concerned about the journey than I am the end game when the rig is stationary and connected to the seabed with a pipe. There is no catch and release then.

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