BP Exploration Alaska, Inc.
has begun an orderly and phased shutdown of the Prudhoe Bay oil field
following the discovery of unexpectedly severe corrosion and a small spill
from a Prudhoe Bay oil transit line. Shutting down the field will take days
to complete. Over time, these actions will reduce Alaska North Slope oil
production by an estimated 400,000 barrels per day.
The decision follows the receipt on Friday, August 4 of data from a
smart pig run completed in late July. Analysis of the data revealed 16
anomalies in 12 locations in an oil transit line on the eastern side of the
oil field.
In response to the inspection data, BP conducted follow up inspections
of anomalies where corrosion-related wall thinning appeared to exceed BP
criteria for continued operation. It was during these follow up inspections
that BP personnel discovered a leak and small spill estimated at 4 to 5
barrels.
The spill has been contained and the clean up effort is underway. The
pipeline was shutdown at 6:30 am Sunday morning. BP has notified state and
federal officials of the decision and will work closely with the U.S.
Department of Transportation and the Alaska Department of Environmental
Conservation, among others.
"We regret that it is necessary to take this action and we apologize to
the nation and the State of Alaska for the adverse impacts it will cause,"
said BP America Chairman and President Bob Malone. "However, the discovery
of this leak and the unexpected results of this most recent smart pig run
have called into question the condition of the oil transit lines at Prudhoe
Bay. We will not resume operation of the field until we and government
regulators are satisfied that they can be operated safely and pose no
threat to the environment."
BP is identifying and mobilizing additional resources from across
Alaska and North America in order to speed inspection of remaining Prudhoe
Bay oil transit lines. BP operates 22 miles of oil transit pipeline at
Prudhoe Bay. Smart pigging inspection has been completed over about 40
percent of that length.
BP previously announced plans to replace a three-mile segment of
pipeline following inspections conducted after a large spill discovered on
March 2, 2006.
