The Alaska pipeline starts at the frozen edge of the Arctic Ocean. It stretchessouthward across the largest and northernmost state in the United States, ending at a remote ice-free seaport village nearly 800 miles from where it begins. It is massive in size and extremely complicated to operate. The pipe is 4 feet in diameter, and up to 2 million barrels (or 84 million gallons) of crude oil can be pumped through it daily. The pipeline cost approximately $8 billion and is by far the biggest and most expensive construction project ever undertaken by private industry. In fact, no single business could raise that much money, so 8 major oil companies formed a consortium in order to share the costs. Each company controlled oil rights to particular shares of land in the oil fields and paid into the pipeline-construction fund according to the size of its holdings. How many companies shared the costs of constructing the pipeline?
Correct answer: C. Eight
- A. Three
- B. Four
- C. Eight
- D. Twelve
Explanation
The passage mentions that eight major oil companies formed a consortium to share the construction costs.
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Passage reading requires identifying the central idea, supporting facts, author's purpose, tone, sequence and conclusions supported by the text. Questions may also test inference, vocabulary in context, reference words and the difference between information stated directly and meaning implied by the passage.
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