Alaska Oil Drilling to Create Jobs?

The battle to tap into Alaska's oil reserves hasdevelopment previously seen has now gone and
taken a new turn with the announcement thatthat the project will move quickly to full
the state has given Exxon Mobil Corp. conditionalproduction levels.
permission to begin drilling in a North Slope oil fieldExxon see the development of on and off-shore
known as Point Thompson. The site is one of theoil drilling fields as potentially creating as many as
largest undeveloped fields in the US and has been160,000 new oil jobs and oil careers over the
at the centre of a protracted battle between thenext few years and generating around $1.7trillion
state and the company. Alaska's governor Sarahin federal, state and local government revenues.
Palin attempted to revoke Exxon's license toThey are focusing their attention on the Alaskan
develop the site, accusing the company ofoil fields and the Rockies as well as off-shore
'dragging their feet'. However, Exxon has nowfacilities. Their argument is that well-paid oil jobs
stated that it is ready to move on the projectwill result from this expansion of operations as
and develop over 400 potential related oil rig jobswell as pumping funds back into the communities
as a result.and paying for schools, libraries and the police. The
During the current economic crisis, any offer ofcompany maintains that the oil industry will
mass employment by a major company is ofgenerate more jobs and in a shorter space of
interest to the government and Exxon have usedtime than other renewable energy businesses.
this particular argument to encourage the state toThe company still has to show that its Point
grant them the licenses they need to beginThompson field is a viable operation and has only
exploration. The company argues at a recentweeks to prove to the state that progress is
administrative hearing that it could begin drillingbeing made. They have to have drilling rig
before the end of the winter if the state gave itcontracts signed and show authorization for
a license to build an ice road to move in a drillingexpenditures for the project within a matter of
platform to the site. In January the statedays if they are to hold on to the two licenses
complied, allowing Exxon to try and keep itsgranted and push for the other 29 that they
promise of generating jobs, investment andhave applied for. Point Thompson is estimated to
ultimately revenue from the site.hold trillions of cubic feet of natural gas and
The company has spent over $120million tohundreds of millions of barrels of oil. If the
prepare for drilling to begin and have had a policycompany is granted full exploration rights the site
of spending the money with Alaskan supplycould maintain hundreds of oil drilling jobs, boosting
companies to keep the revenue within the state.the economy of the region and reducing the US
They aim to spend a further $200million a yearreliance on non-domestic oil and gas supplies. In a
on the Point Thompson field, effectively creatingtime when jobs are becoming increasingly hard to
hundreds of drilling jobs, oil rig jobs and otherfind, the successful development of the Point
subsidiary occupations in a short period. CriticsThompson field could provide stable employment
claim that the jobs will take longer to materialize,for oil rig workers and drillers for years to come.
but the company maintains that the slow pace of