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January 2000

Vol. 5, No. 1 Week of January 28, 2000

Advice evenly split on Beaufort Sea sale

State, industry representatives favor EIS over entire planning area; Native groups, environmentalists, oppose offshore leasing entirely

Kristen Nelson

PNA News Editor

The Alaska Offshore Advisory Committee met in Anchorage Jan. 6 to advise the U.S. Department of the Interior’s Minerals Management Service on its proposed sale 176 in the Beaufort Sea.

John Goll, regional director of the MMS Alaska Region, told the group that the agency’s first task was to determine if the entire study area — federal outer continental shelf waters between the Canadian border and Barrow — should be considered in the environmental impact study for the sale. Goll said that the agency was particularly looking for areas of agreement among members of the advisory committee, but he noted that all comments made would be considered in preparing the draft EIS for the proposed sale.

After a day’s discussion, the 10-member advisory committee split five to five, with representatives of the state and industry groups advising MMS that the entire study area be included in the EIS, while representatives of North Slope Native organizations and environmental groups argued against any offshore leasing and urged limiting the area included in the EIS. There was some discussion of excluding far offshore areas, but both industry and state representatives told the agency they would have to consult with those they represented before advising on any reduction in the size of the area included in the EIS.

Industry interest strongest in central Beaufort

Rance Wall, the agency’s regional supervisor of resource evaluation, told the advisory committee that MMS received nominations of tracts for the sale from three oil and gas companies. Specifics of the nominations are confidential, but Wall said the nominated areas are close to shore and stretch from east to west, with multiple expressions of interest in the central Beaufort area and north of the National Petroleum Reserve-Alaska.

Goll said the agency also heard from a number of companies who said the sale date of 2002 was too far out for them to offer specifics. This proposed sale is the last in the agency’s 1997-2002 five-year plan.

General comments on the proposed sale ranged over the full spectrum, Goll said, from let’s not hold a sale to let’s offer everything. In addition to comments received, he said, the agency is concerned about drainage — if the state leases tracts adjacent to federal tracts, and MMS doesn’t lease, then production from the state leases could drain federal acreage.

Offshore concerns expressed to MMS

Representatives of North Slope Native organizations pointed out to MMS that they have always opposed offshore leasing, especially since the federal government refuses to open the coastal plain of the Arctic National Wildlife Refuge, where the Native community would support leasing.

Noise from seismic work and drilling drives whales farther offshore, endangering whalers and resulting in spoiled meat because of the additional distance from shore, Native representatives said. The migration route of the bowhead whale is entirely within the study area for the proposed sale, as are known feeding areas for the whales.

Both Native and environmental organizations told MMS that they were concerned about industry’s ability to clean up should an offshore spill occur, and representatives of the Native organizations said that an oil spill would affect all the North Slope communities, not just a localized area.

Industry and state representatives told the agency that they would like to see the entire study area included in the EIS to allow maximum options.

Advisory group appointed in December

Members of the committee, appointed by the Secretary of the Interior in December to advise MMS for proposed sale 176, include: state representatives Patrick Galvin, director of the state Division of Governmental Coordination and Patty Bielawski, special assistant, Department of Natural Resources; oil and gas industry representatives Krissel Crandall, senior landman, BP (Exploration) Alaska and Carver Richards, Alaska exploration representative, Phillips Petroleum.

Alaska tribal interests and Native groups are represented by: Arnold Brower Jr., president of the Inupiat Community of the Arctic Slope; Thomas Napageak, chair of the Alaska Eskimo Whaling Commission; Eugene Brower, president of the Barrow Alaska Eskimo Whaling Commission; and Fenton Rexford, Native Village of Kaktovik. Pam Miller of Arctic Connections represents the environmental community.

Goll said that the agency is working through an area identification now, defining the area to be included in an EIS. Scoping meetings will be held in the spring and a draft EIS is planned for fall. The final EIS would come out in 2001, with a notice of sale in late 2001. Potential sale 176 would be held in early 2002. The advisory committee is expected to hold as many as three additional meetings during the sale 176 process.

Additional information about proposed Sale 176 may be found at the MMS Alaska homepage at www.mms.gov/alaska.






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