Oil Up in North Dakota - on Hold in Alaska

North Dakota setting production records

It was reported by www.ogj.com from HOUSTON, Texas on July 18, 2007 that the state of North Dakota's oil production averaged 120,000 barrels per day and approximately 190 million cubic feet of gas per day was produced May 2007, both of which were 20 year production highs, according to preliminary North Dakota state figures.

In addition to the production about 8% (eight percent) of the casinghead gas was flared into the sky because their gas processing plant capacity was insufficient to handle the entire production. Retrofits, refits and new plants are expected to capture and process all the natural gas within a few months, this according to the state industrial commission.

Oil and gas production and the North Dakota state's rig count are expected to continue growing, mainly due to the horizontal drilling play for oil and gas in the Mississippian Middle Bakken formation in the Williston basin, North Dakota officials said on June 12, 2007.

Shell ordered to suspend Arctic drilling was the headline written by MARY PEMBERTON, Associated Press Writer from Anchorage, Alaska on July 21, 2007. She wrote, “ A federal appeals court has ordered Shell Oil to stop its exploratory drilling program off the north coast of Alaska at least until a hearing in August 2007 can take place. “The order, issued Thursday by the 9th U.S. Circuit Court of Appeals, comes after the United States Federal Minerals Management Service in February 2007 approved Shell's offshore exploration plan for the Beaufort Sea.”

"Vessels currently located in the Beaufort and Chukchi seas shall cease all operations performed in furtherance of that program, but need not depart the area," the 9th U.S. Circuit Court of Appeals order said.

Opponents contend that the United States Minerals Management Service approved Shell's plan without fully considering that a large spill would harm marine mammals, including bowhead and beluga whales. Opponents further contend that polar bears could also be harmed, and they question whether cleaning up a sizable spill would even be possible in the icy waters.

Company officials are obviously disappointed, said Shell spokesman Curtis Smith.

"But the court has asked for more information, and we will provide it. We will comply with the court order and continue to welcome discussions with the North Slope communities," he said. "Alaska is a long-term investment for Shell.

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