"Investment Encouraged for Arctic Infrastructure Development - Check It Out!"
The Arctic Encounter Symposium, held last week in Anchorage, Alaska, saw a flurry of discussions surrounding potential investments in the region. One of the key figures calling for research and development funding was Contango ORE President and CEO Rick Van Nieuwenhuyse, who emphasised the need for methods of dry stacked tailings, a currently costly method of reducing environmental impact of mines.
Rob Gillam, CEO of McKinley Management, urged attendees to "stop talking and start doing" regarding Arctic opportunities. Gillam's argument for attracting investment is to educate money on the language of Alaska and educate Alaska on the language of money. He believes that development in the Arctic might seem taboo to banks outside of the region, and inviting investors to learn about the possibilities firsthand is crucial for investment.
A potential investment worth $18.7 billion is under consideration from the Abu Dhabi National Oil Company. Wassim Said, advisor to the chairman of the UAE Presidential Court, suggested that Emirati investment could come in the form of marine infrastructure. The proposed investment is in relation to Santos, an Australian company poised to begin production from the Pikka project on the North Slope.
Mead Treadwell, former chair of the US Arctic Research Commission, noted strong, but hidden, support from the United Arab Emirates (UAE) on Arctic matters. The UAE has invested in national companies in shipping, ports, and logistics primarily through state-owned entities like DP World, which operates ports globally, and Emirates Group, involved in logistics and maritime services. While there are no specific publicly known UAE investments in Alaska's shipping or logistics sectors yet, future investments are possible considering UAE’s global investment strategies and focus on expanding trade and logistics networks.
Jamey Jones, coordinator of the Earth Mapping Resources Initiative for the US Geological Survey at the Alaska Science Center, suggested better remote sensing technology is needed to keep pace with the industry's need for data regarding mineral resource deposits. Haven Harris of Nome-based Bering Straits Native Corporation (BSNC) emphasized the need for investment in infrastructure to make living conditions viable in the Arctic.
BSNC prioritizes community benefit and community involvement, as evidenced by their $2 million investment in the Graphite One mine development near Nome. Governor Mike Dunleavy mentioned increased Arctic Ocean traffic and the Port of Nome Modification, a major expansion underway to create the only deep-draft port in the US Arctic region.
The due diligence period by the Santos board of directors expires at the end of this week. The symposium served as a platform for various stakeholders to discuss the potential benefits and challenges of investing in Alaska's Arctic region, with a shared focus on energy, generational resilience, and sustainable development.
