Alaska governor on Goldman Sachs arctic drilling snub: will ‘revaluate’ relationship
Alaska's business relationship with Goldman Sachs is on thin ice
Gov. Mike Dunleavy, (R-Alaska), discusses Goldman Sachs’ halting funding for drilling in the Arctic, his state’s plan to expand drilling and its economic rebound.
Alaska Gov. Mike Dunleavy said the oil-rich state needs to assess its relationship with Goldman Sachs after it became the first big U.S. bank to stop funding for Arctic drilling.
“I think it's unfortunate,” Dunleavy said of the decision during an interview on FOX Business’ Varney & Co. “We do a lot of business with Goldman Sachs we're going have to reevaluate that, have a discussion with them.”
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| GS | THE GOLDMAN SACHS GROUP INC. | 593.54 | +4.93 | +0.84% |
GOLDMAN SACHS SAYS IT WILL SUPPORT 'GREEN' INITIATIVES MORE FORCEFULLY
Dunleavy also stressed this state's importance in the national economy and said having oil exploration development, for example, in the Arctic National Wildlife Refuge (ANWR), would boost the production in the pipeline, create jobs and keep oil prices affordable for America.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| USO | UNITED STATES OIL FUND - USD ACC | 69.75 | -1.54 | -2.16% |
“We're still focused on opening up ANWR,” he said. “I think it's a good thing for our state. It's a good thing for our country.”
Dunleavy said although production costs are higher in Alaska, they have remained a conventional field.
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Oil and gas are vital to Alaska’s economy, providing one-third of the state’s jobs and represented 92 percent of its unrestricted revenue in 2013, according to the Alaska Oil and Gas Association.
Dunleavy said the North Slope in the 1970s and 1980s shored up America’s production of oil and noted that The Trans-Alaska Pipeline System (TAPS) just recently pumped its 18th billion barrel of oil.
However, production is declining. TAPS is operating at just one-third of its capacity, and there has been a 30 percent decrease in the last decade.
Still, things are turning around for Alaska.
"The economy is on the rebound."