CUTTING LOSSES

Shell Calls It Quits on Alaska Drilling

Royal Dutch Shell announced early Monday it would cease offshore Arctic oil drilling in Alaska for the “foreseeable future.” Shell USA President Marvin Odum cited high costs, “challenging and unpredictable” federal regulations, and insufficient indications of oil and gas in its exploratory well in the Chukchi Sea basin. The Burger J well was the first exploratory well in Alaska’s Chukchi waters in more than two decades. Shell has spent an estimated $7 billion on Arctic offshore development. The news comes just six weeks after Shell won approval to fully drill a well in Alaska’s Arctic waters.