In what environmental campaigners are calling "a huge break" for the Arctic region and by extension the world's climate, the Royal Dutch Shell oil company announced on Monday it would end its exploratory drilling operations in the Chukchi Sea after disappointing results from its controversial operations in the Alaskan waters that took place this summer.
You get the sense that oil lost the war as well as the battle. For all those who say it is too late ... a better future is possible for the arctic (okay lol... well a little better anyway) and for the planet. Oil is feeling unwanted. A turning point reached instead of a tipping point This was a big win for our future. Fossil fuels are entering a crash drive and it couldn't be fast enough!
Shell calls a halt to the rape of the Arctic, because of insufficient deposits. Not Congress, because it's the right thing to do. Not the President, because he's an "environmentalist" who claims to want to put an end to AGW. Shell Oil. Because of... insufficient d̶e̶p̶o̶s̶i̶t̶s̶ profits.
Kinda says it all about modern America, doesn't it?
Come on! It cannot be that easy! What are we missing here? Someone sees something or knows something that has stopped this mega giant in their tracks. What are we missing?
Did they (Shell) cause some damage or find some damage and they skedaddled so as not to be caught in the middle of another gargantuan disaster or about to be disaster?
I needed gas yesterday — boycotted and substituted Dutch Shell Oil.
Big Energy is constipationally incapable of telling the truth. But if they are leaving--for whatever reason--I'm elated.
You have just explained what Shell did discover up in the arctic.
People everywhere have reacted to what Shell was doing and it was obvious that it was a no win for them. People forget that bad publicity is like an advertisement in reverse. Shell up in the arctic was like an advertisement telling people not to buy Shell.
Gosh! Don't cha feel better?
And since we have a 24/7 propaganda news cycle people do not remember from one week to the next what is or was happening. Not to long from now Obama will come out saying that he saved the arctic from drilling and at least 45% will believe him.
As far as Shell leaving, that is a big plus for the arctic.
Yes. Boycott and substitute.
Do you eat or drink from hot bubbles of plastic filled with peanut butter, jelly or water? Would you eat pork from corporatist or communist mega pork factories? Japanese eat whales. Zionists steal land just like Canadian mining companies.
Boycott and substitute.
This is such very good news.Has lifted my heart !
'What are we missing here?' Well it was missing from the article that the continuing, for the foreseeable future, low oil prices, which made these deposits, and tar sands, not economically viable for many years, just might have something to do with this decision. It surely wasn't to protect the biosphere over the interests of corporate profits, shareholders and CEO incomes.
While I like to read the conspiracy theories, I really think it is about money.
And while $7B isn't a lot of money to Shell, it really is about running an super high cost operation, with severe disaster tendencies inherent, just as the commodity you are exploiting is in a free fall pricing market.
Iranian oil is reputed to drive the cost of oil another 25% in the hole, and the divestment strategy is making the wall street boys edgy. (Divestment Works, it's about all they understand)
Those undeveloped carbon deposits are loosing their gold content. What was the last stat on drilling?
75% (?) of drilling is just to hold the asset and thus drilling is used simply to bank the futures.
And those futures are loosing value fast.
Put this with the latest German data point that they cannot get a return on asset for their coal and nuclear fired plants, it costs more to run them than they get in selling the KW.
I don't think they really want to spend seven billion and throw all that expenditure and effort away so easily. Imo Shell looked at the result of the bad publicity and realized that they had created a financial disaster trap. There is almost a certainty that there would be an accident in such horrible conditions and as soon as that happened Shell would take all the blame. I bet they saw the writing on the accounting room's wall already. People avoided using Shell gas and they considered what would happen when there was a spill.
Oil sees that it is no longer as essential as it has been and from now on I think fossil fuel would rather not be so in your face arrogant as they usually are. They now see themselves as fighting a strategic withdrawal rather than a defeat but obviously they worry that the public opinion war is already lost.
Made me happy just as it does you Ms. Webfeet...lol.
The climate will catch a huge break when people start reducing their meat consumption. Meat production is the number one source of greenhouse gases and people have to face that undeniable fact. All other sources of greenhouse gases are secondary. We need to stop focusing on the secondary and tertiary causes and look at the primary cause of climate change.
The price of oil is down so drilling in the Artic is not profitable enough. When the price goes back up, I have a feeling that Shell will be back.
I think you're right about the low price of oil being to blame, but I also have to wonder how much of this is related to the current Wall St situation -- oil futures are a big part of the ponzi scheme and Wall St has been down a few weeks now.
Celebrating the GREAT news now but am skeptical about what Shell will do in the future in other parts of the Arctic or Atlantic off East Coast of US. The rats are scurrying but they also breed rapidly to replenish their gangs....
The Saudis are such great allies of the U S and any other nation that they do business with, are they not? Glut the market, make the money and "the devil is in the details."
The People rising, are so powerful! Anything is possible with group effort; onward with La Revolucion!
All bets are off on the Atlantic coast. Are they scurrying really? I think they are strategizing (okay maybe squeaking a bit and a little concerned but they are a long way from being beaten).
The Saudis are a bit more worried than they let on. I think they see how the opinion wars over fossil fuel use is lost and they want to delay the shift to alternatives. They do this by keeping the price of oil low enough to keep it competitive with alternatives. Why is there a glut of Saudi oil on the market? Yes fracking made a big difference but so? Why do the Saudis need to drop prices further? Some say to compete with fracking. Didn't fracking which is NOT a new technique btw (us old fogies remember) already exist for extraction? It just never necessary before.
Is it necessary now? You mean with China and India using cars like crazy that doesn't balance out the oil markets? Well it does. Why then do the Saudis contribute to the glut rather than letting prices rise? To drive fracking out of business everywhere? Think that will happen soon? So why?
The why is that for the first time alternatives like solar and wind are the real competition. It isn't temporary competition either. New innovation sounds the death knell for oil, coal and gas. Solar roads for charging solar cars? Why buy an oil based heating furnace when you can use solar? Well you might think about it looking at the low price of oil these days.
Every new advance in alternatives is a straw that will break the camel's back (apt metaphor in this case) when talking about oil. The Saudis are trying to keep oil attractive. We are told that they are competing against fracking resources but I think they welcome fracking because a glut of oil keeps oil looking attractive way into the future.
During the last few years when oil prices were sky high guess what happened? Innovation in solar and wind power is what happened. Solar and wind took off like a rocket and the oil industry does not want that to happen again any time soon. No more talk of peak oil, declining supply etc... just a glut of oil... my my... what a surprise that would appear to be given all that impassioned hand wringing about peak oil.
A glut... as if fracking was something new... lol. Solar roofs anyone? Solar and wind creating jobs everywhere? I think the Saudis are planning for the future...lol.