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Page added on June 11, 2015

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Shell Arctic Spill Contingency Plans In Alaska Survive Challenge

Business

A divided federal appeals court on Thursday rejected an effort by a coalition of environmental groups to revoke federal approval of Royal Dutch Shell Plc’s oil spill response plans related to drilling on Alaska’s remote Arctic coast.

By a 2-1 vote, the 9th U.S. Circuit Court of Appeals said the Bureau of Safety and Environmental Enforcement, which is part of the Department of the Interior, acted lawfully in approving the plans, which relate to Shell oil leases in the Beaufort and Chukchi seas from 2005, 2007 and 2008.

It rejected arguments by environmental groups such as the National Audobon Society, the Natural Resources Defense Council and the Sierra Club, that the approval was “arbitrary” and “capricious,” based on Shell’s unsupported assumption that it could recover 90 percent to 95 percent of any oil spilled.

Many environmental advocates oppose drilling in the Arctic on concern that any spill might prove difficult to clean up.

Shell hopes to resume Arctic fossil fuel exploration as soon as next month, having put it on hold following a mishap-laden 2012 drilling season.

The company, with offices in London and the Hague, won federal approval in early 2012 for its spill plans, which it updated after the April 2010 explosion of the Deepwater Horizon rig in the Gulf of Mexico. That disaster has cost rival BP Plc tens of billions of dollars.

Writing for the 9th Circuit majority, Circuit Judge Jacqueline Nguyen said the BSEE lacked discretion to reject Shell’s plans because they complied with federal oil pollution laws.

She also said Shell never made, and the BSEE did not rely on, an assumption about the company’s ability to clean up oil.

Circuit Judge Dorothy Nelson dissented, faulting the BSEE’s failure to consult with environmental agencies to ensure Shell complied with laws protecting endangered species and habitats.

Thursday’s decision upheld an August 2013 ruling by Chief Judge Ralph Beistline of the federal court in Anchorage.

Shell spokesman Curtis Smith called the decision “welcome news,” adding: “We look forward to receiving the remaining permits necessary to commence exploration activities offshore Alaska in the weeks to come.”

Holly Harris, a lawyer for Earthjustice representing the environmental groups, did not immediately respond to requests for comment. The U.S. Department of Justice, which defended the BSEE approval, did not respond to a request for comment.

The case is Alaska Wilderness League et al v. Jewell et al, 9th U.S. Circuit Court of Appeals, No. 13-35866.

RIGZONE



6 Comments on "Shell Arctic Spill Contingency Plans In Alaska Survive Challenge"

  1. Perk Earl on Thu, 11th Jun 2015 3:24 pm 

    The mighty dollar wins again. Surprise, surprise!

  2. Apneaman on Thu, 11th Jun 2015 3:49 pm 

    Just before I read this, I read this.

    Irreversible loss of world’s ice cover should spur leaders into action, say scientists

    http://www.carbonbrief.org/blog/2015/06/irreversible-loss-of-ice-should-spur-leaders-into-action/

    I don’t think this was the action the scientists had in mind.

  3. Perk Earl on Sat, 13th Jun 2015 2:06 am 

    http://neven1.typepad.com/

    Ap, the above link is a good one you’re probably already aware of for undated graphs and message boards regarding Arctic ice.

    2012 was a record minimum in Sept., but 2013 & 2014 rebounded to higher minimums and thicker ice. This year, 2015 started out with the lowest maximum extent and it has been low so far, but the ice thickness is high, so it will also probably have a higher minimum than 2012.

    Some year though the melt will drop to a new minimum because the overall trend is spiraling down towards an eventual ice free September, i.e. unless positive feedbacks keep it from doing so.

  4. Perk Earl on Sat, 13th Jun 2015 2:09 am 

    Change that to “negative feedbacks” in the last paragraph.

  5. BobInget on Sat, 13th Jun 2015 9:27 am 

    “Bigfoot” problems.
    http://fuelfix.com/blog/2015/06/10/additional-tethering-failures-add-to-problems-plaguing-chevrons-big-foot-project/#33554101=0&27630103=0

    “this bigfoot project was supposed to start up later this year, and produce 75,000 barrels of oil per day. They have these huge mile-long “tendons” which are supposed to anchor the platform to the seabed. Well 9 of the 16 tendons have sunk, which means they’re going to need to re-design those tendons, manufacture them, and re-deploy the project.

    Chevron says the project is now delayed “indefinitely.”

    “Bet Bigfoot is delayed at least 6 months, subtract 13 million barrels over the period it’s gone in the short term forecast”.

    “This is BIG deal…It is a $5 BILLION dollar piece of equipment…(that’s hard to wrap my mind around)… designed/built to handle highly flammable materials under high pressure…operating/floating 24/7 in hostile environment…etc..etc…the magnitude…complexity… potential for problems…things that can go wrong is almost endless…Bigfoot may be showing that we may be reaching our limits for successfully managing these massive projects…if CVX can’t do it successfully…then who?…Yet, deep water…just 5000 ft deep…is one of the cornerstones for providing future oil supplies for the world…

    I’ve been curious…how well Brazil…PetroBras would succeed in matching CVX etc expertise on major offshore projects…when, they have to ‘locally source’ a large percent of their equipment and materials…which, they are by law required to do…It appears my curiosity will go unanswered…the billions and billions of dollars/reals available and required for these projects is so tempting to the corrupt…odds are I won’t live long enough to see them move off the drawing boards and into reality”…

  6. Dredd on Sat, 13th Jun 2015 1:59 pm 

    smug: contentedly confident of one’s ability, superiority, or correctness; complacent

    I ran across a scientific paper (NASA GISS) which indicates that in the recent geological record is evidence of a 1m / 3ft sea level rise that took place “within a few years or less” (The Surge: A Forgotten Aspect of Sea Level Rise).

    It took place about “8,200-7,600 years ago” when early civilization was taking shape.

    The exact same conditions exist right now.

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