Abstract

Shell's “difficulties” during its 2012 program to drill offshore oil and natural gas exploration wells in the Alaskan Arctic Ocean “have raised serious questions regarding its ability to operate safely and responsibly in the challenging and unpredictable conditions offshore Alaska,” according to the report “Review of Shell's 2012 Alaska Offshore Oil and Gas Exploration Program,” issued by the U.S. Department of the Interior (DOI) on 8 March. Noting the company's lack of adequate preparation for drilling in the Arctic, its failure to deploy a specialized Arctic Containment System, and the grounding of the Kulluk drilling rig near Kodiak Island last December, the report recommends that Shell develop a comprehensive and integrated plan describing its future drilling program and related operations and that it commission a third‐party audit of its management systems, including its safety and environmental management systems program.

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