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The Biden administration finalized its environmental review of ConocoPhillips’ (New York Stock Exchange: COP) Willow project on Alaska’s North Slope earlier this week, laying the groundwork for approval next month by what would be the biggest US oil company. development on public land.
But some opponents of the bill are quietly encouraging the administration to actually pass it, but in such a reduced way that it no longer makes economic sense, Bloomberg reported.
ConocoPhillips (COP) had proposed five drill sites for the project, and the US Bureau of Land Management’s proposed alternative calls for up to three drill sites.
The company said the three drill sites “reflect an integrated design concept and provide a viable path for the development of our lease.”
But even as BLM published its report, the US Department of the Interior said in its own press release that it has “substantial concerns” about the Willow project.
ConocoPhillips Alaska (COP) president Erec Isaacson said if the government limits drilling to two locations, or well pads, Willow would no longer be viable.
As a result, some activists are pushing for the postponement of one more well rig, saying management has the authority to do so through its record of decisions.
“We are concerned by the suggestion that the administration could potentially deny this project by postponing or delaying some of the drilling sites,” an American Petroleum Institute official said. “Businesses can’t make multi-billion dollar investment decisions based on what might happen in the future.”
ConocoPhillips (COP) shares have fallen more than 11% since the initial news of the Willow project review.