US mulls Alaska drilling operations

U.S. Secretary of the Interior, Ryan Zinke, has signed an order that could lead to the expansion of oil and natural gas development in two areas of Northern Alaska.

The announcement, made at a news conference in Anchorage, Alaska, on Wednesday, includes plans to update the assessment of crude oil and natural gas reserves under the Arctic National Wildlife Refuge and increase petroleum drilling operations.

Zinke’s directive will involve updating an existing management plan, approved under former President Barack Obama’s administration, that restricted drilling in the coastal plain of the refuge.

Debate has raged over the potential harm oil exploration might have upon natural wildlife in the area versus the amount of economically recoverable oil, as it relates to world oil markets.

The move to open more Arctic areas for oil comes amidst expectations that President Trump will withdraw the USA from the Paris climate agreement.

During his election campaign, Trump refused to express support for plans to cut greenhouse gas pollution, going as far as saying that he would “cancel” the accord within his 100 days of office.

Despite the president’s reluctance to environmental regulations and restrictions on oil and gas development, however, recent support for the climate deal has come from unlikely sources.

On Wednesday, ExxonMobil and ConocoPhillips, two of the world’s biggest oil producers, reiterated their support for the agreement to cut greenhouse gas pollution, arguing that the US must remain a key player in curbing emissions produced by fossil fuels.

ExxonMobil’s chief executive, Darren Woods, said that the company would be working to improve its transparency on issues related to the potential impacts of climate change. The non-binding proposal was the result of a majority vote cast by shareholders, who voted against the company management’s recommendations.

In other developments over the week, the US Environmental Protection Agency issued a 90-day hold over a rule that enforced methane emission standards for oil and gas companies.

The rule, due to have come into effect on June 3, would have required companies to capture fugitive emissions, install pneumatic pumps and obtain professional engineer certificates.