Reactions to Bristol Bay lease sale blockage mixed

Tuesday, April 06 2010

Unalaska, AK – Last week the Obama administration released it's new off-shore oil and gas drilling plan. It opens much of the east coast and the Gulf of Mexico to new drilling leases and allows old leases in the Chukchi and Beaufort Seas to be explored. However, it closes Bristol Bay, also known as the North Aleutian Basin, to any lease sales, at least for the next five years.

In Unalaska and the Bristol Bay region, reactions to the announcement were mixed. Unalaska Mayor Shirley Marquardt was disappointed.

"I think it really would have benefited Unalaska as well. We were really hoping to see natural gas delivered to our door step with just a very short transportation charge and be able to change our diesel over to natural gas and be able to do it economically," she said.

But Alaska Marine Conservation Council Bristol Bay Liaison Dan Strickland said protecting the area from drilling does more to help the local economies of the region than the possibilities of drilling.

"It's a fishery that provides $2.5 billion per year to Alaskans and to those in the Pacific Northwest. That sort of trumps the $7.7 billion that were predicted for the oil and gas generated revenue. That's what was predicted for the 25 to 40 year life span of the field. And if you take the sustainable fisheries and compare that during that same time period they would bring in anywhere from $60 to $90 billion."

That includes Unalaska's main revenue sources, the pollock, crab, and groundfish fisheries. Strickland said 66 regional fishing, native, and tribal organizations supported the closure, and the battle isn't over yet.

"So we feel like this is a huge first step. It's a great first step. But now our focus is going to be to work for what is actually permanent protection. So we don't have to re-live the history of the buyback commission in the mid-90s, and we don't have to fight this battle all over again in the years to come."

Marquardt said she sees the need to protect the fisheries, but it's worth giving oil and gas companies a chance in the region.

"Protection of the natural resources that we depend on, that's this community's first and foremost desire is to see that happen. But I felt that they should be given the chance to at least show us how they would go in and extract yet another natural resource from the state that could be so beneficial job wise and bringing down energy costs. And of course no one gets a permit to actually drill until they can prove that they can actually do it. So I'm just disappointed that they won't get a chance to do that."

The plan does allow lease holders in the Arctic Ocean to move forward with exploration there, but it cancels further lease sales scheduled for the region.

This new plan, and an air permit granted by the Environmental Protection Agency last week for their drilling rig's work in the Chukchi Sea, puts Shell Oil multiple steps closer to proceeding with drilling plans this summer. The permit covers the oil rig and its support vessels. An EPA press release says the permit is more stringent than previous permits because of their work with the local communities. Individuals and organizations can file petitions against this permit until May 3.

However, Shell Oil spokesperson Curtis Smith said the company is also awaiting the results of a lawsuit being heard by the Ninth Circuit Court, which determines the legality of the original lease sales. That case won't be heard until May. Smith said they are proceeding with their plans as if they will drill this summer, but they cannot commit to drilling or bringing resources to Unalaska until a decision has been made by the court.



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