Valdez, Alaska The original town site was dismantled and abandoned. From 1975 to 1977, the Trans-Alaska pipeline was built to carry oil from the Prudhoe Bay oil fields in northern Alaska to a terminal in Valdez, the nearest ice-free port. Oil is loaded onto tanker ships for transport. The construction and operation of the pipeline and terminal boosted the economy of Valdez. The 1989 "Exxon Valdez" oil spill occurred as the oil tanker "Exxon Valdez" was leaving the terminal at Valdez full of oil. The spill occurred at Bligh Reef, about from Valdez. Although the oil did not reach Valdez, it devastated
Oil tanker has a capacity of over , a length overall of and a cargo capacity of . They were the first ULCCs to be double-hulled. To differentiate them from smaller ULCCs, these ships are sometimes given the "V-Plus" size designation. With the exception of the pipeline, the tanker is the most cost-effective way to move oil today. Worldwide, tankers carry some annually, and the cost of transportation by tanker amounts to only US$0.02 per gallon at the pump. In 1954 Shell Oil developed the average freight rate assessment (AFRA) system which classifies tankers of different sizes. To make it an independent