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Shell Starts Exploratory Drilling in Beaufort Sea, Alaska

Shell has kicked off exploratory drilling at its prospect in the Beaufort Sea, offshore Alaska, the company yesterday announced on its website.

On October 3, 2012, at approximately 2:45PM AKDT, the Kulluk began drilling at Shell’s Sivulliq prospect. Shell has noted that the occasion is historic in that it’s the first time two rigs have been drilling simultaneously offshore Alaska in over two decades. The Noble Discoverer has been drilling at Shell’s Burger prospect in the Chukchi Sea since September.

“In the weeks ahead we look forward to operating safely and responsibly, putting Americans to work and adding to Shell’s long, successful history of drilling offshore Alaska,” said Pete Slaiby, VP Alaska.

Bought by Shell in 2005, the Kulluk was specifically designed and constructed for extended season drilling operations in Arctic waters.

Shell Starts Exploratory Drilling in Beaufort Sea, Alaska| Offshore Energy Today.

Norway: Little Knowledge on Northeastern Barents, NPD Says

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The Norwegian Government has decided that the Norwegian Petroleum Directorate will map the geology in the northeastern part of Norway’s new sea area in the Barents Sea. According to the plan, the seismic surveys will start this summer and continue into 2013. This will provide important knowledge regarding possible oil and gas resources in this area.

“We have very little knowledge concerning the geology in the northeastern Barents Sea. In order to know more about the resource potential, we need more data,” says Sissel Eriksen, exploration director in the Norwegian Petroleum Directorate.

On 15 September 2010, Norway and Russia signed the agreement relating to maritime demarcation and cooperation in the Barents Sea and Arctic Ocean. The agreement entered into force on 7 July 2011.

On the Norwegian side, the Government has started an opening process with the aim of awarding production licenses in the southeastern sector of the Barents Sea. The geological mapping started last summer and will continue until this summer.

Earlier this year, the NPD entered into contracts regarding two vessels that will acquire seismic data both in the southeastern sector of the Barents Sea, in the sea area around Jan Mayen and in Nordland IV and V this summer.

“The plans to also map the northeastern sector of the Barents Sea mean that we need more capacity to acquire seismic. This assignment has been submitted for tender,” says Eriksen.

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Report: Obama Administration Is Giving Away 7 Strategic Islands to Russia

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Posted by Jim Hoft on Saturday, February 18, 2012, 12:32 PM

May 1881 US explorers approached Jeannette Island and Henrietta Island and claimed them for the United States. According to some US individuals, including the group State Department Watch, eight Arctic islands currently controlled by Russia, including Wrangel Island, are claimed by the United States. However, according to the United States Department of State no such claim exists. The USSR/USA Maritime Boundary Treaty, which has yet to be approved by the Russian Duma, does not address the status of these islands nor the maritime boundaries associated with them.

The Obama Administration is reportedly giving away Wrangell, Bennett, Jeannette and Henrietta islands in Alaska to Russia. The federal government drew the line to put these seven Alaskan islands on the Russian side

Former senatorial candidate Joe Miller broke this story at World Net Daily:

The Obama administration, despite the nation’s economic woes, effectively killed the job-producing Keystone Pipeline last month. The Arab Spring is turning the oil production of Libya and other Arab nations over to the Muslim Brotherhood. Iraq is distancing itself from the U.S. And everyone recognizes that Iran, whose crude supplies are critical to the European economy, will do anything it can to frustrate America’s strategic interests. In the face of all of this, Obama insists on cutting back U.S. oil potential with outrageous restrictions.

Part of Obama’s apparent war against U.S. energy independence includes a foreign-aid program that directly threatens my state’s sovereign territory. Obama’s State Department is giving away seven strategic, resource-laden Alaskan islands to the Russians. Yes, to the Putin regime in the Kremlin.

The seven endangered islands in the Arctic Ocean and Bering Sea include one the size of Rhode Island and Delaware combined. The Russians are also to get the tens of thousands of square miles of oil-rich seabeds surrounding the islands. The Department of Interior estimates billions of barrels of oil are at stake.

The State Department has undertaken the giveaway in the guise of a maritime boundary agreement between Alaska and Siberia. Astoundingly, our federal government itself drew the line to put these seven Alaskan islands on the Russian side. But as an executive agreement, it could be reversed with the stroke of a pen by President Obama or Secretary Clinton.

The agreement was negotiated in total secrecy. The state of Alaska was not allowed to participate in the negotiations, nor was the public given any opportunity for comment. This is despite the fact the Alaska Legislature has passed resolutions of opposition – but the State Department doesn’t seem to care.

The imperiled Arctic Ocean islands include Wrangell, Bennett, Jeannette and Henrietta. Wrangell became American in 1881 with the landing of the U.S. Revenue Marine ship Thomas Corwin. The landing party included the famed naturalist John Muir. It is 3,000 square miles in size.

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The Lone Icebreaker: U.S. Sovereignty in the Arctic

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Tyler Davis

The United States Coast Guard is being left behind in the Arctic. While countries such as Russia are building up their icebreaker fleet and actively increasing their presence in the Arctic, the United States is losing its only form of sovereignty in the region.

On December 1, Rear Admiral Jeffrey M. Garrett, U.S. Coast Guard, testified before Congress on protecting U.S. sovereignty in the Arctic. He stated in Second Line of Defense that “the Icebreaker fleet represents the main surface presence that the U.S. can exert in what is essentially a maritime domain in the Arctic Ocean.” Yet today, the Coast Guard has an icebreaker fleet of only three ships. Worse yet, two of these ships are out of commission due to maintenance work and will not be available for at least seven more years.

The lone icebreaker in commission is the USCGC Healy, which conducts all types of missions from search and rescue to navigational aid to scientific research. Though the ship has been effective at its job in the Arctic, it is designed to break through ice of only medium thickness; for ice of heavy thickness, the Healy is absolutely useless. And like the other two icebreakers, it is quickly aging.

Without efforts to modernize the fleet, the future of the U.S. national maritime interest and security in the Arctic is looking pretty bleak. Icebreakers are a necessity in the region, and without them the U.S. might as well throw in the towel. These ships are key to year-round access to the Arctic and are the only U.S. insurance policy for future hazardous events. If something happens to the Healy, then the United States would not only lose access to the region but would not be able to react to potential oil spills and would become less effective in search-and-rescue missions.

Complicating matters even further, ice in the Arctic is melting, producing more ocean area for the transportation of goods and services in the region. Essentially, whoever best utilizes this route will control trade and transportation of goods and materials in the upper hemisphere. With all other nations around the Arctic building their icebreaker fleets and exploiting the key transportation route that connects the Atlantic and Pacific Oceans, the United States is falling behind.

In order to create an icebreaking fleet to maintain U.S. presence in the region, the Administration should look toward privatizing the fleet. Allowing private companies to own and operate the U.S. icebreaking fleet and perform national security functions would not only allow for crucial modernization but also save federal dollars and expand U.S. capabilities in the Arctic. This is particularly important at a time when the government is looking to cut corners in federal spending.

Ultimately, something must be done. If the U.S. does not act fast, it will come in last in the race for the Arctic.

Tyler Davis is currently a member of the Young Leaders Program at The Heritage Foundation. For more information on interning at Heritage, please visit: http://www.heritage.org/about/departments/ylp.cfm

Posted in American Leadership

Aker Solutions Plans to Strengthen its Footprint in Northern Norway

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As the chase for oil and gas moves further north, the oil services industry follows. Today Aker Solutions, a Norwegian multinational provider of services related to engineering, construction, maintenance, modification and operation announces plans to establish a large engineering office in Tromsø as part of the company’s northern Norway strategy.

Aker Solutions announces plans to establish a large engineering office in Tromsø.

The new office will gather knowledge and expertise related to the northern region. It will become involved in engineering and maintenance and modification projects on the entire Norwegian continental shelf and abroad, and be an integral part of Aker Solutions’ international competence network.

“We believe in the reserves potential on the Norwegian continental shelf and in the Arctic. If the marked continues to develop positively and we are successful in our efforts to win work with customers in the region, we believe that we will have a substantial engineering hub in the North with 2-300 employees in three to five years,” says executive chairman of Aker Solutions, Øyvind Eriksen.

The establishment of the Tromsø office is part of Aker Solutions’ overall strategy to increase the company’s footprint in the northern regions of Norway, driven by an increasing number of interesting field development opportunities offshore northern Norway and in the Barents Sea.

Aker Solutions have worked closely with suppliers in northern Norway for many years. The Tromsø office will now develop a sourcing strategy for Aker Solutions in northern Norway and further strengthen our relationships with suppliers in the north.

Tromsø  becoming increasingly involved in oil & gas

Tromsø is the largest city in this part of Norway and a regional centre with good connections to other key locations in the north and to other Aker Solutions offices in Norway. The university in Tromsø is becoming increasingly involved in oil and gas related research and education programmes, which is expected to fit well with Aker Solutions’ future competence requirements.

Elsewhere in northern Norway, Aker Solutions is in the process of building up a subsea service base – housing engineers, technical staff and field operators – in Hammerfest to support the Goliat subsea field development. Aker Solutions has also recently acquired the Narvik-based well technology business X3M Invent. Aker Solutions is also considering establishing an engineering office in Sandnessjøen to support the company’s modifications and operations services business.

“In June the Norwegian government announced a petroleum policy that clearly spelt out an expectation to the oil industry that activity at sea should have ripple effects on land through job and value creation. We support this drive because it makes business sense to both us and our customers,” adds Øyvind Eriksen.

Aker Solutions is currently looking for suitable permanent office premises in the city. Recruitment for engineers for the Tromsø office will also start this winter.

Aker Solutions today has offices and operations in the following Norwegian locations: Arendal, Asker, Bergen, Egersund, Fornebu, Hammerfest, Horten, Kristiansand, Kristiansund, Lier, Midsund, Moss, Narvik, Oslo, Porsgrunn, Stavanger, Trondheim and Ågotnes.

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