One of the world's biggest oil companies believes Arctic waters, including those north of Alaska
, hold huge promise as an oil and gas frontier, according to a Petroleum News report.
Facing depletion of its regular oil sources, Shell views the Arctic as a very tantalizing opportunity to develop new oil and gas resources
. The company's views tend to support studies by academics and agencies that Arctic basins contain about 25 percent of the world's remaining undiscovered resources, according to the report.
All of these basins are outside of the control of the Organization of Petroleum Exporting Countries
, and most are unexplored and undeveloped.
The cost of Arctic development, as well as the social and environmental aspects of the area, will be a challenge for Shell; but the company believes the rewards will outweigh the struggle.
Source: Petroleum News