Strategies for Large Oil and Gas Companies Operating to Support Sustainable Development and Environmental Safety in the Russian Arctic

¹ Peter the Great St. Petersburg Polytechnic University 195251, St. Petersburg, Russian Federation
² Doctor of Economic Sciences, Professor, Peter the Great St. Petersburg Polytechnic University 195251, St. Petersburg, Russian Federation
³ Doctor of Economic Sciences, Professor, Peter the Great St. Petersburg Polytechnic University 195251, St. Petersburg, Russian Federation

^* Corresponding author: alexfadeev79@gmail.com

Abstract

IAs conventional oil and gas sources become less productive, unconventional hydrocarbon sources become more attractive due to new technologies and become the target of expanded exploration. Oil and gas development in the Arctic is challenging but promising, the largest reserves of Oil and Gas in the Arctic are on the Arctic Shelf in Russia. Most Arctic communities, especially indigenous communities, depend on fishing, hunting, and gathering, this requires the preservation of environmental health. In this article we tried to delineate a strategy for large oil and gas companies to diversify risk by proposing a form of social entrepreneurship that works for environmentally vulnerable regions with low infrastructure or skilled labor. With this framework, large oil and gas companies could effectively and reliably support smaller-scale enterprises preserving environmental health and creating an innovative business ecosystem that promotes a Arctic. Our model could also lead to local and indigenous entrepreneurship and a more equitable distribution of wealth in the Arctic.