Lawsuit Challenges Feds' Plans To Drill Offshore In Waters Near Alaska

Environmental groups aim to block lease extensions for Hilcorp's proposed Liberty offshore drilling project in the Arctic Ocean.

Published on Feb. 9, 2026

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The Center for Biological Diversity and Sovereign Iñupiat for a Living Arctic have filed a notice of intent to sue the federal government for granting Hilcorp Alaska LLC an extension for expired oil and gas drilling leases in the Arctic Ocean. The leases are for the proposed Liberty Unit project, which would be in federal waters. The groups argue the lease extensions are unlawful and would harm the sensitive Arctic marine ecosystem.

Why it matters

The Liberty project would be the first oil extraction project fully within federal waters in the Arctic Ocean, an environmentally fragile region home to vulnerable species like bowhead whales, walrus, ice seals, and polar bears. An oil spill in the Arctic would be extremely difficult to contain and clean up due to the presence of sea ice for much of the year.

The details

In December 2024, the Biden administration denied Hilcorp's request for a one-year lease extension, citing the company's failure to meet regulatory requirements. However, in November 2025 the Trump administration reversed the denial and granted Hilcorp a five-year lease extension through 2029. The environmental groups argue this rollback is unlawful and that the leases should have expired as originally intended.

  • In December 2024, the Interior Department denied Hilcorp's request for a one-year lease extension.
  • In February 2025, Hilcorp appealed the denial.
  • In May 2025, the Trump administration rescinded the denial and the appeal was dismissed.
  • In November 2025, the Trump administration granted Hilcorp a five-year lease extension through 2029.

The players

Center for Biological Diversity

A national, nonprofit conservation organization with more than 1.8 million members and online activists dedicated to the protection of endangered species and wild places.

Sovereign Iñupiat for a Living Arctic (SILA)

An Iñupiat-led organization dedicated to ensuring that decisions about the Arctic honor the wellbeing, cultural continuity, and future of the communities who call this place home.

Hilcorp Alaska LLC

The company that holds the oil and gas drilling leases for the proposed Liberty Unit project in the Arctic Ocean.

Rebecca Noblin

Alaska senior attorney at the Center for Biological Diversity.

Interior Department

The federal agency responsible for managing the nation's public lands and natural resources, including offshore drilling leases.

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What they’re saying

“This rollback is clearly not lawful and I'm deeply concerned about the harms this drilling project would cause to the Arctic Ocean's sensitive marine ecosystem.”

— Rebecca Noblin, Alaska senior attorney, Center for Biological Diversity

What’s next

The Center for Biological Diversity and Sovereign Iñupiat for a Living Arctic intend to file their formal lawsuit in March challenging the federal government's decision to grant Hilcorp a five-year lease extension for the Liberty Unit project.

The takeaway

This case highlights the ongoing tension between environmental protection and fossil fuel extraction in the sensitive Arctic region, with conservation groups fighting to prevent offshore drilling that could devastate the local ecosystem and indigenous communities.