Royal Dutch Shell surprised many Monday after the energy conglomerate announced it would cease offshore exploration activity in the Alaskan Arctic for the foreseeable future.
Shell explained initial drilling results indicated oil and gas reserves present at the Chukchi Sea site would not be sufficient to warrant further exploration. The Burger J well would be sealed and abandoned in accordance with federal regulations, and the company expects to lose $4.1 billion on the investment.
The decision comes as a disappointment for the state government, which is keen to improve revenues in the face of...
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