12 August 2006

Prudhoe Bay pipeline

There are a large number of aging pipelines around the world and more than a few engineers and managers must be looking nervously at BP's actions over at Prudhoe Bay.

As ever it is impossible to get a full picture - especially from the distance I'm at. However in our media in the UK I'd say they are doing better than Shell did with the Brent Spar disposal incident. What is especially interesting is the reporting of the impact on Alaskan State revenues;

The BBC reports:-
The shutdown at the site is expected to cost Alaska $6.4m a day in tax revenues and this has prompted a government state-wide hiring freeze.

Hopefully this is part of a broader realisation of the benefits of industrial activity as well as the costs that are publicised so effectively by environmentalists. ( Not that I think they are necessarily wrong - it is just to take responsibility you need to weigh both sides of the argument).

This story will colour the way a lot of the Oil and Gas industry is viewed over coming years. Lets hope the decisions are good.

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