I arrived in Anchorage this week
for the 61st Annual Rocky Mountain Mineral Law Foundation Annual
Institute. Some of you may already be familiar with the organization, having
attended the Title Examination course in Denver this spring, or perhaps have
visited one of the many seminars they offer on various oil and gas topics
throughout the Denver area. I’ve always been impressed by the Rocky Mountain
Mineral Law Foundation’s Institutes. Not only are the topics relevant and
interesting, but it’s also a great chance to rub elbows with some of the most
prolific oil and gas professionals in the world.
I had to turn my game face on as
soon as I arrived at the airport gate. Familiar faces popped up everywhere- I
recognized board members from the organization, partners from big oil and gas law
firms in Denver, former government officials, and legendary attorneys and
professors that have been working in oil and gas since before my parents were
born. At least 50% of the passengers on the flight from Denver to Anchorage were
people headed to the conference. I said “hello” and re-introduced myself to the
familiar faces. I knew right off the bat that it would be an incredible
learning experience.
The content of the conference
covered a wide spectrum of topics. There were sections on mining, public land
use, and oil & gas law, water law, and international resource development.
I was particularly excited for in Saturday morning’s Landman section, and the
presenters did not disappoint.
My favorite event was the Natural
Resource Teachers Luncheon - for two reasons. First, the speaker, Betsy Baker
from the University of Vermont, gave a very interesting presentation on ownership
rights in the Arctic Ocean. She had spent time on icebreaker boats in the
Arctic with scientists running seismic to measure the continental shelf. The
purpose of these expeditions is to help determine who owns the Arctic Circle.
Why do we care who owns the Arctic Circle? Because whoever has rights to the
Arctic Circle can develop resources there. Nobody actually “owns” the Arctic Circle,
but nations can have sovereignty to explore for and exploit natural resources
in areas up to 200 nautical miles or to a certain geologically significant
“kick off point” of the continental shelf. The sovereignty to explore for and
exploit for natural resources includes oil and gas. Whichever nation has sovereignty over that
part of the Arctic can potentially drill for oil and gas in that area under its
own terms and guidelines. Any parts of the ocean that fall outside of these
boundaries are governed under the International Seabed Authority. It is
estimated that there are approximately $1.3
TRILLION worth of recoverable
resources (mostly oil and gas) in the Arctic, so its no surprise that we see
the nations with potential claims to sovereignty over the Arctic (U.S. (via
Alaska), Canada, Denmark (via Greenland), Norway, and Russia) investing quite a
bit of money and science in to proving their ownership beyond 200 nautical
miles.
Why is this relevant to oil and gas
development, and to us as Landmen? As she presented, I started connecting the
dots. Much like companies need to secure oil and gas leases to drill for and
develop on onshore lands, we also need leases to develop offshore lands. If a
nation has sovereignty over the area, it has the authority to regulate
development and issue its own oil and gas leases (and profit from those
leases). If the ocean area falls outside of any nations sovereignty, then a
lease from the International Seabed Authority is required, which is a much less
preferable option for the nations bordering the Arctic. It will take quite a
bit of time for the dust to settle on identifying the sovereignty boundaries in
the Arctic Circle, but once that is determined, we might see development in the
Arctic similar to development in the Gulf of Mexico. Landmen would get involved
in developing a regulatory structure, obtaining leases from the government, and
working on agreements with other companies to jointly develop the area. Who knew you might have the opportunity to
work in the North Pole someday!
I mentioned there were two reasons
this event was my favorite- the second reason is that this was my first chance
to represent myself as an ambassador of Western. It was my first real
opportunity to show off my affiliation and talk to my peers about the program.
And let me tell you- I did so with pride! Before the presentation started, I
boasted about the PLRM program at Western, and received a great response and
good questions from the people at my table.
Its going to be tough leaving the
untouched beauty that Alaska has to offer, but it makes it easier knowing that
I’m coming back to a new home that’s just as beautiful (and where it actually
gets dark at night!), and a new job where I can share all of the things I
learned up here with students. I’m thankful for the opportunity to attend the
conference, and excited about the starting the upcoming school year!
See you soon!
Jessica
