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The Biden administration will authorize ConocoPhillips’ (New York Stock Exchange: COP) has proposed a $7 billion Willow oil project on Alaska’s North Slope, Bloomberg reported Friday.
Under the plan, which will be released next week, ConocoPhillips (COP) would be allowed to drill from three locations throughout the site in the National Petroleum Reserve-Alaska, according to the report.
Last month, the US Department of the Interior’s Bureau of Land Management recommended a preferred alternative for the project that included three drill sites and less surface infrastructure than originally proposed.
ConocoPhillips (COP) had originally requested to drill from five locations at Willow, but later endorsed BLM’s plan for three drill sites.
Environmental activists who helped elect President Biden have said his endorsement of Willow would be a betrayal of his campaign promises; On the other hand, many legislators, unions, and Alaskan Native people have said the project would give the region an economic boost.
The company has said Willow would not remain viable if the government limited drilling to two locations.
ConocoPhillips (COP) shares have lost 8% since the initial news of the Willow project review on February 1.