The Arctic This Week Take Five: Week of 24 March, 2025

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Northern Canadian Town Welcomes Arctic Expedition Cruises

Travel Weekly reported on March 26 that Churchill, a small town on the Hudson Bay, is set to become a significant Arctic expedition cruise hub from summer 2025 onwards. Hapag-Lloyd’s Hanseatic Nature and Silversea’s Silver Endeavour, two expedition ships, will pass through the town in July-August 2025, offering tourists the opportunity to spot beluga whales, explore Arctic wildlife, experience Indigenous culture, and view the Northern Lights. (Travel Weekly)

Take 1: Churchill’s development as a new hub for expedition cruising points to the growing popularity of ecotourism in the High North, requiring a careful balancing act between economic opportunities and environmental challenges. Tourism can be an important source of income and jobs for local communities, but the environmental impact cannot be overlooked. The Arctic’s unique ecosystem is already under stress due to climate change, with rising temperatures and diminishing sea ice affecting local wildlife. The introduction and proliferation of large vessels and the associated increase in human activity poses risks including habitat destruction, pollution, and increased carbon emissions. The polar bear viewing industry alone contributes significantly to greenhouse gas emissions, with estimates of 23,017 tons of CO₂ per season. Moreover, the rising phenomenon of “last chance tourism” inadvertently contributes to the very threats these pristine environments face. Additionally, the region’s preparedness for cruise ship incidents is limited, posing risks to small Arctic communities due to harsh conditions, scarce resources, and inadequate infrastructure for large-scale emergencies. A major cruise ship incident could thus quickly exhaust a small community’s supplies, severely impacting its residents and environment. To ensure that the expansion of cruising benefits Arctic communities without compromising its delicate environment, a balance between stringent environmental regulations, investing in community-led conservation initiatives and engaging local Indigenous communities in tourism operations is essential. (High North News, Journal of Sustainable Tourism, Travel Weekly, University of Ottawa)

US Federal Judge Clears Path for Drilling in Arctic Wildlife Refuge

Alaska Beacon announced on March 25 that a federal judge in Anchorage, Alaska, has ruled that the US Department of the Interior acted illegally when it cancelled oil and gas leases held by the Alaska Industrial Development and Export Authority within the Arctic National Wildlife Refuge. Judge Sharon Gleason stated that the Department was required to obtain a court order before repealing AIDEA’s leases. The decision vacates the Department’s lease cancellation, clearing the way for oil and gas drilling in the Refuge’s coastal plain. (Alaska Beacon)

Take 2: This ruling has profound implications for Indigenous communities, particularly the Gwich’in people. They have long opposed resource exploration in the Arctic National Wildlife Refuge’s (ANWR) coastal plain, an area they refer to as “Iizhik Gwats’an Gwandaii Goodlit” or “The Sacred Place Where Life Begins”. Drilling in this area could disrupt the caribou population and their calving territory, undermining food security and the Gwich’in’s culture and traditional way of life. They have been actively lobbying against opening the plain for drilling for decades, emphasizing that the destruction of these calving grounds would be tantamount to cultural genocide. As such, they have expressed profound disappointment with the ruling, vowing to continue their fight against resource exploration in the refuge. However, despite the legal opening for oil exploration, recent lease sales have seen a marked lack of interest from major oil companies. The most recent auction, held in January 2025, received zero bids from energy companies, reflecting hesitation by the industry. Factors contributing to this include the high development costs, environmental concerns, and the potential for reputational risks associated with drilling in this sensitive area. Every major American bank refuses to fund drilling in the refuge and over twenty insurance firms implemented policies to protect the ANWR. This absence of industry interest raises questions about the viability of extractive development in the refuge and suggests that, even with legal permission, drilling activities might not materialize to the extent that was previously expected. (Alaska Beacon, Alaska Wilderness League, Environment America, Indigenous Watchdog, Insure Our Future, Reuters, The Hill)

Russia Seeks Global South Investment to Develop Arctic Infrastructure

Eye on the Arctic shared on March 26 that Russia, during a government-backed conference in Murmansk, called for international investors in its Arctic region. Kirill Dmitriev, head of the Russian Direct Investment Fund (RDIF), addressed the event through a video connection and highlighted opportunities for investors from the Global South in developing infrastructure and increasing commerce along the Northern Sea Route. He argued that climate change is improving the viability of the route and pointed to growing interest in the region from around the world. (Eye on the Arctic)

Take 3: Historically dominated by the Arctic Eight, the High North is witnessing increased interest from non-Arctic states, driven primarily by climate change-induced accessibility and the pursuit of untapped resources. Russia’s emphasis on enhancing commerce via the Northern Sea Route aligns with its broader strategy to pivot trade towards Asia amid Western sanctions, diversify its economic partnerships, and offer an alternative to traditional trade routes. By engaging Global South countries, Russia can access new markets and investment sources and foster new political alliances, creating a bloc less influenced by Western policies. Many Global South countries also operate under different regulatory frameworks than the West, sometimes offering more flexibility in environmental and labor standards. While Western countries would impose stringent environmental regulations that can delay or restrict such projects, developing nations might prioritize economic growth and development, leading to a more permissive regulatory environment. This adaptability can make them more amenable to large-scale infrastructure and resource extraction projects in the Arctic. Beyond major non-Arctic players like China and India, several other countries have expressed interest in the Arctic, such as the United Arab Emirates, Vietnam, Turkey and Azerbaijan. This expanded interest complicates the geopolitical landscape in the Arctic. As more states seek influence, this can lead to conflicts over resource claims and environmental regulations as well as broader governance challenges. Environmental concerns are also paramount. Increased industrial activity that is less informed by strict environmental regulations significantly raises the risk of ecological degradation and should thus be strictly monitored. (Eye on the Arctic, Global South World, NAADSN, Reuters, TV BRICS, VRT NWS)

US Vice President JD Vance to Visit Greenland’s Pituffik Space Base

As reported by Euronews on March 26, US Vice President JD Vance announced in a video message on social media platform X that he will be joining his wife, Second Lady Usha Vance, on her visit to Greenland from March 27-29. Vice President Vance is set to visit Greenland’s Pituffik Space Base for an Arctic security briefing and meetings with US Space Force personnel. He has cancelled all public appearances that were previously scheduled. (Euronews)

Take 4: JD Vance’s upcoming visit to Greenland has sparked significant concern among Greenland’s Indigenous population. This apprehension stems from the Trump administration’s persistent interest in acquiring the territory, which has been met with widespread opposition from Greenlanders. The prospect of US acquisition is perceived by many as a direct threat to their sovereignty and way of life. In a poll conducted in January 2025, 85% of Greenlanders are opposed to becoming part of the US. The timing of Vice President Vance’s visit is particularly sensitive, occurring shortly after Greenland’s parliamentary elections. Local officials, including outgoing Prime Minister Múte B. Egede, have criticized the visit as a “very aggressive” intrusion into Greenland’s domestic affairs during a pivotal moment of government formation. Locals have also voiced their opposition through planned protests and businesses declining visits of the US delegation. In response to local objections, the US delegation has scaled back its itinerary, but this has done little to alleviate the concerns of Greenland’s Indigenous communities. Overall, the actions of the US are reminiscent of historical patterns of external powers attempting to exert control over Indigenous lands without the inhabitants’ consent. The sentiment “Greenland is not for sale” has become a rallying cry, reflecting a collective determination to protect their homeland from foreign control and reassert their right to self-determination. Exploiting historical tensions between Greenland and Denmark to make the case for annexation by the US essentially entails the substitution of one colonial power for another and undermines any genuine prospects for rightful independence. (BNO News, Deutsche Welle, Euronews, High North News, Sermitsiaq, The Tribune)

Canada’s PM Revives Arctic Pipeline Projects to Bypass US Market

On March 26, EnergyNews reported that Canadian Prime Minister Mark Carney announced plans to revive pipeline projects directed towards the Arctic to open up direct oil export routes to Europe and Asia. The plans include the development of pipelines connected to deep-water ports located in the Arctic, reactivating several previously paused infrastructure projects. PM Carney urged the federal government to support and expedite the completion of these projects. (EnergyNews)

Take 5: In the context of Trump’s recently announced tariffs on Canadian exports, Canada is seeking to reduce its overreliance on the US market, currently accounting for over 90% of its oil exports. However, the economic viability of Arctic pipeline projects is complex. The construction and maintenance of pipelines in the Arctic are capital-intensive due to harsh and extreme environmental conditions, combined with logistical challenges. Previously commissioned projects such as the Mackenzie Valley Pipeline, faced significant delays and cost overruns, eventually leading to their abandonment. Moreover, global oil demand will inevitably shift towards renewable energy sources, posing financial risks when demand starts decreasing. Additionally, securing financing for such projects is increasingly challenging, as evidenced by the withdrawal of major insurers from the Trans Mountain pipeline expansion in response to pressure by environmentalists and Indigenous groups. The environmental impact of Arctic pipeline development is thus a critical concern. The Arctic’s fragile ecosystem is especially vulnerable to oil spills, not least due to the slow and costly spill response. This is further complicated by melting permafrost and changing water currents, which can undermine the structural integrity of pipelines, increasing the risk of leaks and spills. For instance, concerns about the impact of climate change on infrastructure stability were central to the suspension of Imperial Oil’s application to extend operations in the Northwest Territories. As such, these projects should not be rushed and construction must be informed by thorough environmental and long-term impact assessments to reduce harm to an absolute minimum. (EnergyNews, Reuters, Reuters, University of Calgary)