On Friday, ConocoPhillips COP disclosed that it is moving forward with developing the Willow project in Alaska.
The Final Investment Decision approved the project and funds for construction needed to reach the first oil.
The decision follows the Department of the Interior March 2023 Record of Decision and recent positive court orders, including this week’s Ninth Circuit Court of Appeals denial of plaintiffs’ request for an injunction.
In November, COP reportedly received judicial endorsement for its ambitious Willow oil project, with the decision marking a notable setback for environmental advocates who have been contesting the project due to its potential environmental impact.
“We are excited to reach this significant milestone. With this project authorization, we’ve begun winter construction and Alaskans have started to receive the benefits from responsible energy development.” said Ryan Lance, chairman and chief executive officer.
As per the Bureau of Land Management, the Willow project is expected to deliver revenue of $8 billion-$17 billion for the federal government, the state of Alaska and Native communities.
After completion, the project is estimated to produce around 600 million barrels throughout its lifetime, reducing dependency on foreign energy supplies.
Willow project is created through materials mainly made and sourced in the U.S. and can potentially create over 2,500 construction jobs and around 300 long-term jobs.
Price Action: COP shares are trading lower by 0.71% at $116.83 premarket on the last check Tuesday.