Why did Exxon have to be prodded into drilling for oil?

Exxon Mobil says it has begun drilling at Alaska’s Point Thomson oil and gas field.

Patrick McGinn, a company spokesman, says drilling operations were launched Friday.

In February, Exxon returned eight of its Point Thomson leases that were part of 13 added to the field in 2002. Exxon had promised to drill wells and begin producing oil within four years, but no drilling occurred.

The state has been fighting with the Irving, Texas-based oil giant and other lease holders over the lack of progress there.

Alaska officials have tried to cancel the leases, but in January it did allow Exxon to drill on two leases after the company said it would start production within five years.

http://news.yahoo.com/s/ap/us_exxon_point_thomson

Did everyone get that? The government was considering taking away the leases because Exxon has been sitting on this land for years.

Sounds like the biggest foes of the idea of "Drill here, drill now, pay less" may not be the environmentalists, but Exxon and the other oil companies themselves.

Why else would Exxon have to be prodded into drilling for oil? Why the wait?

3 Responses to “Why did Exxon have to be prodded into drilling for oil?”

  1. Fred K Says:

    Its called supply and demand oil supplies are up they can make more money when supplies go down there hoping Obama will be like Bush when they create a shortage he will do nothing

  2. Candy Says:

    Petroleum prices are way down. Demand is low. Most Alaskan oil goes to Japan and China, and right now they aren’t buying much. Storing and refining is expensive. Exxon can make more money on oil from Indonesia, South America or the Persian Gulf than they can on American oil. What do they care about Alaska or the US?

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