Should ANWR be opened up for drilling?

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Arctic National Wildlife Refuge
(ANWR)
• ANWR is a 19 million acre area located in
the northeast corner of Alaska
• It is the largest unit in the National Wildlife
Refuge System
• This area is the only area in which
petroleum development is prohibited by
Congress
Photo credit: Mountain High Maps, Christopher G. Reuther/EHP
Background
• Early explorers saw ANWR’s potential for
petroleum – they found oil seep and oilstained sands
• Since then exploration has been restricted
How much oil is there?
• USGS – between 5.7 and 16.0 billion
barrels of reserves in ANWR (95% and 5%
confidence levels), with a mean of 10.3
billion barrels
• But…the price of oil determines how much
of this oil is deemed profitable to drill!
So how much will be retrieved?
• USGS estimates state that approximately
3.2 billion of this oil can be recovered at an
oil price of $20/barrel…but if the price of
oil drops to $15/barrel or below, NONE of
the ANWR reserves will be economically
recoverable.
ANWR Production
• The ANWR area could be produced at
around 1.1 million barrels/day (similar to
the North Slope), which would deplete
mean technically recoverable oil reserves
in about 25.7 years. However, oil prices
may dictate that the reserve may last far
less.
ANWR Production
• The ANWR area could be produced at
around 1.1 million barrels/day (similar to
the North Slope), which would deplete
mean technically recoverable oil reserves
in about 25.7 years. However, oil prices
may dictate that the reserve may last far
less.
In Perspective
• Production of ANWR oil fields will account
for only 10.6% of the average U.S. daily
import of oil.
• ANWR production at 1.1 million barrels per
day constitutes only 5.6% of the average
U.S. daily consumption of oil.
Infrastructure Problems
• Alaska Department of Environmental
Conservation - average of 400 spills (1995 to
2001) from North Slope industry operations,
totaling nearly 1.5 million gallons of diesel,
crude, and hydraulic oil, as well as other
substances.
• General Accounting Office (5/15/00) - the
number of pipeline accidents increased by 4%
annually between 1989 and 1998, killing 226
people.
Consequences of Oil
Development
• Blocking or disturbing the wildlife
• Loss of hunting opportunities
• Increased number of arctic fox, gulls, and ravens
on nesting birds due to garbage becoming a
food source
• Altering of vegetation due to change in drainage
patterns and spreading of alkaline dust
• Possible contamination of water and land from
oil spills
Wildlife Endangerment
• Caribou
– The preferred food is
located in the ANWR area
– For successful
reproduction, female
caribou need to move
freely in the area to find
resources to build up their
fat reserves and milk
– The herd will be exposed to
higher predation
– Will change the migratory
pattern
Wildlife Endagerment
• Polar Bear
– Female polar bears who are
going to give birth build
dens in the winter
– Approximately 42% of the
dens are built in the ANWR
area
– Noise such as humans and
vibrations could cause the
polar bears to leave their
dens prematurely, causing
death to the cubs and
possible human-bear
conflicts
Example of the North Slope
• Drilling in the North Slope oil fields have
not been deadly or even very harmful to
wildlife
• Polar bears-good
• Caribou herd numbers have actually
increased
Reasons to Drill
• Only 8% of ANWR would be considered for
exploration (1.5 million acre)
• Increased job opportunities
• Anywhere else to drill?
• Decrease the nation’s dependence on foreign oil
(US imports over 55% of our nation’s oil need)
• The North Slope oil fields that produce 25% of
our domestic oil production has been declining
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