Thaindian News

By Ranjan Bhaduri
Alaska, Jan 11, (THAINDIAN NEWS) The pipeline leak in Alaska has resulted in anxiety that oil prices may soar further upwards and BP shares may end up bearing the brunt. The leak resulting in the closure of the widely used Trans Alaska Pipeline which carries 10 percent of crude oil in U.S. may affect the international market as well. For BP, which is still trying to recover from the monetary loss it incurred after the infamous Gulf Oil Spill, the incident could not have come up at a worst time. The 800 mile long pipe route carries oil from the Prudhoe Bay field of Alaska. BP does not own the pipeline as such but holds the largest amount of share in the Alyeska Pipeline Service Company which operates the pipe line. The leakage was found at the pipelines north-end, it has been reported.

However, the operator said in a statement that there have been no injuries or apparent impacts to the environment as a result of this leakage. Alyeska Pipeline Service Company also said that its engineers are evaluating damage control options. The industry experts are of the opinion that the incident itself is not bothersome but the involvement of BP has made it hog media attention more than it would have received otherwise. After this incident, naturally the focus on the safety record of BP is going to be hiked.

BP said on its part that owing to the shutdown of the pipeline, it is missing close to 180,000 barrels per day. Apart from BP, its rivals like Conoco Phillips and Exxon Mobil were also forced to cut down on production from Alaska. The oil leaked in a pump room basement hence the environmental damage was minimal.