US Court Upholds Ban on Shell's Arctic Operation

A hearing to determine Shell's exploration in the Beaufort Sea off Alaska's north coast was unsuccessful this week.

The ruling at the US Federal Appeals Court has upheld an order blocking Royal Dutch Shell from exploration in the region last month.

The ban came after a court challenge from indigenous Alaskans and green groups. Eskimos living along the coastline claimed the drilling noise may disturb migrating bowhead whales and other animals on which they depend on for food.

In a statement Shell said it was 'disappointed' with the decision but is determined to continue exploring the Arctic.

Shell has a proposed a three-year Plan of Exploration (POE) from 2007-09 on leases for the Alaskan Beaufort Sea that includes a proposal for drilling three wells at their Sivulliq prospect.

Reported by Ozge Ibrahim