A recent Compass asked how Shell's offshore oil development can move forward while addressing the challenges the offshore presents -- including recovery of any spilled oil in ice. We appreciate and welcome the question. And any others.
Since acquiring leases in Alaska's offshore, Shell has met head-on the questions raised by environmental groups, regulators, lawmakers and everyday Alaskans seeking assurance their resources and land will be respected. We value the dialogue those questions foster, as they help make our plans and programs even better.
Shell has invested billions of dollars in federal offshore leases and hundreds of millions more on baseline scientific studies, 3D seismic and local work force development, and designed an exploration program of unprecedented excellence and high standards. Alaskans should expect no less from the world's offshore development leader.
Our efforts, and those of our many Alaska contractors, are underpinned by exhaustive environmental impact studies performed by federal regulators in support of exploration leasing.
Shell has also invested tens of millions in oil spill response equipment and training. Against the extremely unlikely event of an oil spill, Shell has developed the most comprehensive spill response and recovery program ever assembled.
Shell and the offshore industry also continue advancing spill prevention and recovery technology. Recent tests showed that mechanical recovery, in-situ burning and dispersants can be efficiently used to respond to oil spill in ice-covered waters.
In this matter, history and technology are on our side. Only 1 percent of oil discharges in North American waters are related to oil production, and only a fraction of those few incidents involve drilling.
It is important to recognize there has never been an oil spill caused by a blowout from offshore exploration and production in Alaska or Canada. In Alaska alone, 35 wells were drilled in the Beaufort and Chukchi Seas in the 1980s and 1990s without incident or impact to wildlife.
Technology, skills, expertise and regulatory oversight have only improved in the years since. In fact, there hasn't been a single OCS well blowout of more than a thousand barrels in more than 30 years or a platform spill in more than 28 years anywhere in U.S. waters. And, of the nearly 13,500 exploration wells drilled to date in the U.S. OCS, only 4 discharged any oil into the water, and small amounts at that.
Shell greatly admires and respects Alaska, its people, resources, values and culture. But, even with our 50 year history here, there is always more to learn. So we listen. Shell has hosted hundreds of forums designed to engage Alaskans -- particularly North Slope residents -- on the issues and concerns they have with offshore exploration. As a result, we have amended and adjusted our programs and plans, and continue to find common ground.
Again this past year Shell's successful seismic season coincided with another fruitful subsistence bowhead hunt -- proof we can work together. Despite the unwillingness of a few to engage in honest dialogue, Shell's doors remain open. We will always share our goals, plans and track record with anyone.
What's at stake? No less than a new chapter in Alaska's history. The Chukchi and Beaufort seas are the most promising hydrocarbon basins in the U.S. They can extend the life of TAPS and help fill an Alaska gas pipeline. Shell wants to be a part of this history and is confident that we have assembled the most environmentally sensitive and thoroughly responsible exploration plan ever to do it.
Shell hopes for a long-term commitment and relationship in Alaska. Our offshore and arctic experience, pioneering in challenging environments around the world, demonstrate Shell will perform and deliver to Alaska's highest standards. Even so, we take nothing for granted. Shell lives and operates by three words: honesty, integrity and respect. Alaskans, the nation and the world justly demand we earn our right to be here. There's no question we will -- every day.
Pete Slaiby is general manager for Shell Alaska.
By PETE SLAIBY