400,000 barrel/day loss of oil from Alaska
BP had to shut down part of the Alaska pipeline yesterday (Sunday) due to the discovery of structural weaknesses in part of the pipeline. As of this morning, BP could not say how long the shut down and repair would take. What is known is that about 400,000 barrels of oil will not be pumped and sent to West Coast refineries for however long it takes BP to repair the line.
Analysts say that if the US strategic oil supply (estimated at about 700 million barrels) is not tapped during this period, prices at the gas pump could increase significantly.
And for the State of Alaska, it represents a quandry. When the oil is flowing, it pours money into the State treasury and benefits the citizens. If the pipeline suffers from a major rupture, there would be another Exxon Valdez catastrophe, with devastating damage to the tundra and its wildlife.
Miulang
BP had to shut down part of the Alaska pipeline yesterday (Sunday) due to the discovery of structural weaknesses in part of the pipeline. As of this morning, BP could not say how long the shut down and repair would take. What is known is that about 400,000 barrels of oil will not be pumped and sent to West Coast refineries for however long it takes BP to repair the line.
Analysts say that if the US strategic oil supply (estimated at about 700 million barrels) is not tapped during this period, prices at the gas pump could increase significantly.
And for the State of Alaska, it represents a quandry. When the oil is flowing, it pours money into the State treasury and benefits the citizens. If the pipeline suffers from a major rupture, there would be another Exxon Valdez catastrophe, with devastating damage to the tundra and its wildlife.
Miulang
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