ALASKA UPDATE
LONDON/THE HAGUE
DECEMBER 4/5th, 2012
Copyright of Royal Dutch Shell plc
4 December, 2012
4 December, 2012
4 December, 2012
300
200
100
Shell
activities
1990
2000
2010
2020
2030
2040
Oil
Solar
Natural gas
Other renewables
Biomass
Nuclear
Wind
Coal
4 December, 2012
2050
Canada
Archipelago
Chukchi
US
Beaufort
174
30
North Slope
Alaska
494
85
Canada
Beaufort
85
4 December, 2012
= Number of wells
RESOURCE POTENTIAL
SHELL ARCTIC POSITIONS
Arctic
SAKHALIN
Alaska
CHUKCHI
UNITED STATES
NIGLINTGAK
BEAUFORT
CANADA
NORTH POLE
RUSSIA
SALYM
BAFFIN BAY
GREENLAND
KAZAKHSTAN
KASHAGAN
NORWAY
ORMEN LANGE
MAJOR UNDISCOVERED
RESOURCES IN MATURE
HYDROCARBON AREA
USGS Estimates from US Department of the Interior US Geological Survey Circum-Arctic Resources Appraisal, 2008
Estimate from US Department of the Interior Minerals Management Service Undiscovered Oil and Gas Resources, Alaska Federal Offshore, 2006
2 MMS
4 December, 2012
Bbl/d
production
2,500,000
1989-1991 Shell
/Chevron explore Chukchi
sea and drill 5 wells
1987 BP/Exxon
Endicott Field,
Beaufort Sea,
becomes operational.
1969 Sinclair/ARCO
(BP) Kuparuk oil field
discovered
2,000,000
2001 BP Northstar
field, Beaufort Sea,
becomes operational
1974 - TransAlaska
Pipeline started
1,500,000
2011 ENI
Nikaitchuq
starts
production,
Beaufort Sea
1,000,000
500,000
1958
1963
1968
1973
1978
1983
1988
Cook Inlet
Prudhoe Bay
4 December, 2012
1993
1998
2003
2008
2011
OFFSHORE EXPLORATION +
PRODUCTION UNDERWAY
ARTIFICIAL ISLAND DEVELOPMENTS
4 December, 2012
Control &
Barriers
Minimize
likelihood
Incident
Response &
Recovery
Consequences
Hazard
Mitigate
consequences
Drilling mud
4 December, 2012
DRILLING FLUID
1
CAPPING STACK
3
4 December, 2012
10
www.shell.us/Alaska
Oil spill response animation
4 December, 2012
11
4 December, 2012
12
4 December, 2012
13
DRILLING
Capitalised
Leases
Drilling & Support
SUPPORT VESSELS
ENGAGEMENT
Expensed
Exploration expense
Overhead
4 December, 2012
14
CHUKCHI + BEAUFORT
Chukchi
Beaufort
Barrow
Wainwright
Kaktovik
Point Lay
Kuparuk
Deadhorse
Prudhoe Bay
Point Hope
Anadarko
Total
Conoco
Repsol
Others
Exxon
Chevron
BP
ENI
Statoil
Pipelines
4 December, 2012
15
Feb
Mar
Apr
May
Jun
Jul
Aug
Sept
Oct
Nov
Dec
Beaufort
Ability to drill in
hydrocarbon zone
Whaling break
Chukchi
Permit
4 December, 2012
16
2012 MOBILIZATION
AFFINITY
Fuel supply & CSR tanker
NOBLE DISCOVERY
Drill ship
FENNICA
Primary Ice management
KULLUK
Drilling rig
TOR VIKING
Anchor handling & secondary
ice management
LAUREN FOSS/TUUQ
Supply & waste storage
NANUQ
Spill recovery & accomodation
ENDEAVOR/PT OLIKTOK
Spill recovery barge & tug
KLAMATH/GUARDSMAN
Spill recovery barge & tug
ARCTIC SEAL
Landing craft
TUKPUK
landing craft
HARVEY EXPLORER
Supply vessel
NORDICA
Primary ice management
HARVEY SPIRIT
Supply vessel
HARVEY SISAUQ
Supply vessel/waste
AIVIQ
Anchor handling &
secondary ice management
22 VESSELS IN THEATRE
~2,000 PERSONNEL
2012 ACTIVITIES COMPLETED SAFELY
Copyright of Royal Dutch Shell plc
4 December, 2012
Drilling Rig
Support Vessel
Aviation
Oil Spill Response
17
2012 PERFORMANCE
CHALLENGES
RESULTS
4 December, 2012
18
4 December, 2012
19
Barrow
Wainwright
Nuiqsut
Point Lay
Point Hope
# of engagements
Kivalina
Kotzebue
< 10
Kiana
Shishmaref
11 - 20
>20
4 December, 2012
20
ENGAGEMENT + COMMITMENT
6 YEARS OF ENGAGEMENTS & OUTREACH
Strategic stakeholder initiatives to 3-D mapping: North Slope to
Washington, DC
OPERATIONAL EXCELLENCE
A higher bar: Oil Spill Response, Technology, Science & MOUs
Traditional practices
RESOLUTION
Making the case for Shells Alaska Program
4 December, 2012
Community engagement
21
POTENTIAL DEVELOPMENT
YEAR ROUND ACTIVITY
Development concept
Ice gouge
Strudel scour
4 December, 2012
22
Kashagan (2000s)
Sakhalin (2000s)
4 December, 2012
23
Equipment readiness
4 December, 2012
24
4 December, 2012
25
4 December, 2012
26
CHUKCHI SEA
Shell
Popcorn, 1990
Shell
Burger-A, 2012
Shell
Crackerjack 1991
Shell
Burger-1, 1990
Chevron
Diamond, 1991
Barrow
Shell
Klondike, 1989
Wainwright
Shell
Conoco
Repsol
ENI
Statoil
Well Location
4 December, 2012
27
BEAUFORT SEA
Shell
Anadarko
Total
Conoco
Repsol
Others
Exxon
Chevron
BP
ENI
Statoil
Pipelines
ENI, Nikaitchuq
Production 2011
Antares
Exxon 1985
BP, Northstar
Production 2001
Encana
McCovey 2002
BP, Endicot
Production 1987
Well Location
Shell
Sivulliq, 2012
Amoco (BP)
Galahad 1991
Amoco (BP)
Belcher 1989
Kaktovik
Nuiqsut
Prudhoe Bay
Deadhorse
Oil and Gas
4 December, 2012
28
Conical hull
4 December, 2012
29
SUPPORT VESSELS
ICEBREAKER + LOGISTICS
4 December, 2012
30
Capping Stack:
First response if BOPs fail
Shell commissioned equipment
Arctic Containment System (ACS):
Consists of containment dome and production
vessel
Interoperable with capping stack
FIRST PRE-DEPLOYED CAP &
CONTAINMENT SYSTEM FOR ANY
WELL WORLDWIDE
4 December, 2012
31
4 December, 2012
32