Wednesday, 12 January 2011 09:01
It remained unclear late Tuesday when state and national agencies that regulate the trans-Alaska pipeline system would allow Alyeska Pipeline Service Co. to temporarily resume the flow of oil through the 48-inch pipe. A spokesperson for the so-called Unified Command, which has been debriefing the public on pipeline repair progress, said there were many complicated details to be considered in restarting the oil, even temporarily. A small amount of oil would leak from the broken pipe, and could leak underground or elsewhere upon resumption in flow through the system. On the other hand, a dormant pipe could suffer from a buildup in oil byproducts like water and wax around the two cleaning pigs currently within the pipe. Fabrication of a 24-inch bypass line had begun in Fairbanks and would be flown to Pump 1, the site of the leak, in pieces, but it wasn't clear whether the bypass would be completed and installed in time to prevent ice formation in the line, which would require an even longer shutdown and further impact North Slope facilities. Production continued at the North Slope oil fields. Oil prices spiked more than $3 on Tuesday and closed at $91.11 per barrel. The New York Times reported that the pipeline repairs were a "fresh headache for BP," which has counted on revenue from its Alaska operations to pay damages resulting from the Deepwater Horizon oil spill in the Gulf of Mexico last year. Speaking anonymously, an Alyeska official told the Times that a freeze in the pipeline amounted to a "'nightmare, a worst-case scenario' that could shut production for several weeks ... sending oil prices soaring."


