Obama to extend offshore drilling moratorium until 2011

May 27, 2010

The Obama administration is expected to extend a moratorium on drilling until 2011. (Courtesy Shell)

by Mike Ross
Wednesday, May 26, 2010

ANCHORAGE, Alaska -- The Associated Press reports that the Obama administration is suspending drilling in the Arctic Ocean until next year, which interferes with Shell Oil's plans to begin exploratory drilling in the Beaufort and Chukchi seas this summer.

Interior Secretary Ken Salazar says in a report to be delivered to the White House Tuesday that he will not consider applications for permits to drill in the Arctic until 2011.

An administration official familiar with the plan said Salazar wants to allow further study of proposed drilling technology and oil spill response capabilities in Arctic waters.

In a written statement Wednesday night, Sen. Mark Begich said, "I am frustrated that this decision by the Obama administration to halt offshore development for a year will cause more delays and higher costs for domestic oil and gas production to meet the nation's energy needs."

"The Gulf of Mexico tragedy has highlighted the need for much stronger oversight and accountability of oil companies working offshore, but Shell has updated its plans at the administration's request and made significant investments to address the concerns raised by the Gulf spill," the statement continued.

"We're overjoyed with this announcement. What this means for Alaska and people living in the north is that Obama has truly listened and heard from people living in the Arctic who have been there for thousands of years that do not feel that we have enough information to bring this kind of industry in to the Arctic Ocean. What we've learned from the Gulf is that even with the highest technology available, there are still risks," said Betsy Beardsley with the Alaska Wilderness League.

Shell Oil officials could not be reached for comment Wednesday night.

Contact Mike Ross at mross@ktuu.com

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