News blog

No oil found off Greenland … yet

Greenland.A2002188.1450.1km.jpgTensions in the Arctic are rising again after a Scottish company confirmed indications of oil off the coast of Greenland.

Cairn Energy has not struck oil, but it says its “first well in Greenland provides early indication of working hydrocarbon system”.

Although some wells were drilled in this area in the 1970s, Cairn’s activities are being seen as the first stage in a major push for Arctic oil. This has dismayed environmental groups.

“Cairn might be a step closer to finding oil off Greenland, but this takes us one step back in the fight against climate change and poses a grave threat to the fragile Arctic environment,” said Leila Deen, of Greenpeace, which has one of its ships stationed near a Cairn drilling site.

The oil company insists its safety procedures are top drawer and it operates in line with “some of the most stringent regulations globally” (AFP).

Cairn’s share price slipped today, amid disappointment that there was no actual oil found. However, it is currently trying to sell a majority stake in its Indian operations, and chief executive Bill Gammell says, “For the foreseeable future, it’s Greenland, Greenland.” (FT.)

Image: NASA


Comments are closed.