Alaska seeks intervention in Chukchi case

The State of Alaska is seeking permission from the 9th Circuit Court of Appeals to intervene in a lawsuit by environmental groups challenging the U.S. Department of the Interior’s approval of an exploration plan for the Chukchi Sea.

“OCS exploration and development will increase jobs and revenue for Alaskans and for all Americans,” Gov. Sean Parnell said in a Jan. 30 statement. “We will continue to fight for the right to responsibly develop the Beaufort and Chukchi.”

The state has been granted intervention in a separate case brought by many of the same plaintiffs against an exploration plan for the Beaufort Sea and is seeking to intervene due to the economic importance of offshore oil and gas production.

The Shell exploration plans for the Chukchi Sea are for federal waters, but the state’s motion for intervention stresses the impact that approval or denial of exploration can have on the state treasury and economy.

“The investments that a company makes in infrastructure for exploration on federal land can lower the costs for exploration on adjacent state land,” said Alaska Attorney General Dan Sullivan. “Any oil discovered likely will increase the flow through the trans-Alaska pipeline, which in turn will increase state revenue. Also, especially given the currently adverse economic conditions, the state has an interest in job opportunities for its citizens.”

Sullivan said that intervention by the state is particularly important when, as in these cases, no other party to the lawsuits can represent all of the state’s interests.

—Petroleum News