Oil & Gas Issues

High Arctic: Challenges

• Protection the fragile natural landscape.

• Adjusting to the cold climate.

• Drilling on ice flows and small islands.

• Located in isolated areas remote from any civilization.

• Transportation costs & profitability

High Arctic: Technology Available

• Directional drilling allowing access to many drill sites below the surface from one surface location.

• Equipment (drilling rigs, motors) that can withstand the extreme cold temperatures.

Benefits of Oil and Natural Gas Projects

• Many jobs (both skilled and unskilled).

• High wages. (Demand, remoteness, skills, retention).

• Service industry benefits (snowball/spin-off effect). ECONOMIC GROWTH!!!!

• Taxes/incentives (to governments). Governments can now do/provide more!!

• Infrastructure development (roads, airstrips, buildings, electrical units, housing). BY the companies or by local governments!!

• Training programs for the future/experience (sometimes provided and paid for, and paid during training).

Working Conditions of an oil rig workers

• Very dangerous/risky and demanding work.

• Offshore more hazardous

• Comfortable living environment / recreational facilities / dining facilities.

• Protective clothing, etc.

Risks of offshore oil development / recovery

• Destruction of marine ecosystem (seabed, fish stocks).

• Drill mud and rock cuttings create contamination.

• Transportation of crude oil to shore poses an environmental risk associated to spills.

• Movement of oil rig can damage the surrounding ocean floor.

• Icebergs and fog.