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1. OFFSHORE DRILLING

Is Arctic oil exploration dead in the U.S.?

A year ago this September, Royal Dutch Shell PLC began the first new oil drilling in U.S. Arctic waters in more than two decades. The company spent $5 billion and dispatched an armada of ships and equipment to offshore Alaska to evaluate the energy resources on its federal leases. From the beginning, however, Shell's operation faced a multitude of problems -- everything from lingering sea ice to a damaged oil spill containment dome. The Dutch company was never able to secure the permits needed to drill into the hydrocarbon zone on its leases.

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