As the United States continues to steadily increase its demands for petroleum-based products and fuels, oil reserves are being tapped faster than ever to ensure that the rising demand can be sufficiently accommodated.  However, there are factors that limit how rapidly the companies like Triple Diamond Energy Corp. can increase supply rates to satisfy the country’s purchasing requests. 

Some of these factors are physical – there is only so much oil that can be extracted from the ground at any given time.  Until newer technologies exist for harvesting and refining oil more quickly, this physical constraint puts a cap on supply speed.  Other factors are based in financial and political considerations.  As global demand for oil increases, especially in China, there is fierce competition brewing over who will have access to incoming quantities of this commodity.

New Oil Fields Due To Be Tapped In Alaska

Because of the growing tension between supply and demand, oil prices have already begun to rise at staggering rates.  To combat the economic effect of rising prices as well as to allow the country to become less dependent on outside sources for its energy needs, the President has requested that the pristine Arctic National Wildlife Refuge be opened up for full-scale oil drilling immediately.

Not surprisingly to energy companies like Triple Diamond Energy Corp., the backlash against this decision has been vocal and significant from both those supporting and opposing the plan.  Supporters argue that the environmental impact would be minimal, as less than ten percent of the Refuge would be considered for development, and that the chance for a major discovery – upwards of ten billion barrels – would be invaluable to the American economy.

Additionally, supporters point out that the North Slope oil fields, responsible for a sixth of domestic production capacity, is in decline, producing less than half the volume that it did at its peak.  And another consideration is the economic impact it would have on the state of Alaska, creating up to a half-million jobs and potentially adding up to $50 billion dollars to the nation’s economy.

Costs Not Worth The Benefits, Detractors Say

Although more than 75% of Alaskans currently support ANWR exploration, those opposed to the drilling say that residents aren’t considering the bigger picture.  They point to the Prudhoe Bay oil fields along with the Trans-Alaska Pipeline’s murky history.  In just a short six-year span, over 2,400 spills have contaminated the North Slope alone.  To put it into perspective, that’s over one and a half million gallons of oil and fuel products.  Add to that the inevitable air and water pollution and the environmental impact only becomes more severe.  Detractors of drilling efforts call for greater public awareness of the irreversible effects of oil drilling efforts.

Energy companies such as Triple Diamond Energy Corp. understand the importance of ensuring the affordability and availability of energy products to our growing economy, and are always looking to improve the balance between economic protection and environmental stewardship.