The US Bureau of Safety and Environmental Enforcement (BSEE) has given Shell permission to conduct exploratory drilling activities into potential oil-bearing zones offshore Alaska at one of the wells at the Burger Prospect, Burger J.

The company remains limited to the top section of the Burger V well.

APM

Shell submitted an Application for Permit to Modify (APM) on August 6 to modify the Burger J Application for Permit to Drill (APD), which previously restricted Shell from drilling into oil-bearing zones since a capping stack was not on hand and deployable within 24 hours, as required by BSEE.  A capping stack is a critical piece of emergency response equipment designed to shut in a well in the unlikely event of a loss of well control.  The capping stack, staged on the vessel M/V Fennica, is now in the region and capable of being deployed within 24 hours.

Limitations

Shell is still prohibited from simultaneous drilling at Burger J and V, in accordance with the approved APDs, which define limitations related to marine mammal protection consistent with requirements established by the U.S. Fish and Wildlife Service (USFWS).  Consistent with regulatory requirements, a USFWS Letter of Authorisation (LOA) issued on June 30 requires Shell to maintain a minimum spacing of 15 miles between active drill rigs during exploration activities to avoid significant effects on walruses in the region.

Under the LOA, Shell is also required to have trained wildlife observers on all drilling units and support vessels to minimise impacts to protected species. Shell must stay within explicitly outlined vessel operating speeds and report daily regarding all vessel transits.

Continuous Oversight

To ensure compliance with this and other conditions, BSEE safety inspectors have been present on the drilling units Noble Discoverer and Transocean Polar Pioneer 24 hours a day, seven days a week to provide continuous oversight and monitoring of all approved activities. The inspectors are authorised to take immediate action to ensure compliance and safety, including cessation of all drilling activities, if necessary. BSEE experts have been engaged in thorough inspections of both drilling units and Shell’s response equipment.

The Burger Prospect is located in about 140 feet of water, 70 miles northwest of the village of Wainwright.