OTC: Alaska would restore oil pipeline volumes

By OGJ editors
HOUSTON, May 4
-- The state of Alaska is putting final touches on a plan to attract investment in order to restore trans-Alaska oil pipeline throughput to 1 million b/d within 10 years.

Alaska’s North Slope is still considered sparsely explored, said Daniel S. Sullivan, commissioner of the state Department of Natural Resources. The trans-Alaska oil pipeline has shipped more than 16 billion bbl since 1977, but the ANS and adjacent offshore areas are still lightly drilled.

For example, about 500 exploratory wells have been drilled in an ANS area the size of the state of Wyoming, where more than 19,000 wells have been drilled, Sullivan said May 4 in Houston during the Offshore Technology Conference. Alaska’s other main producing basin, Cook Inlet, is also considered to be underexplored, he said.

The pipeline has a capacity of slightly more than 2 million b/d, which was reached in 1988. But with declines at giant Prudhoe Bay field, Alaskan oil production had fallen to 628,000 b/d last month (OGJ, May 2, 2011, p. 133).

The state’s five-part plan starts with ensuring that Alaska has a globally competitive investment climate, Sullivan said. The state plans to streamline permitting by enacting statutory and regulatory reforms. Specifics haven’t been released.

The state will enact incentives to facilitate the next phase of ANS development, Sullivan said. That work will involve offshore and onshore heavy and viscous oil development, shale oil, and smaller pools of conventional oil and gas.

Alaska is one of a group of coastal states that seeks to improve liaison with federal agencies, Congress, and the president to promote constructive investment (OGJ Online, May 4, 2011).

Sullivan, who was Alaska’s attorney general until December 2010, noted that Alaska’s constitution provides for the maximization of the state’s natural resources.

Related Articles

ETP unit gets FERC approval for gas exports to Mexico

03/21/2014 Energy Transfer Partners LP unit Houston Pipe Line Co. LP (HLPC) has received approval from the US Federal Energy Regulatory Commission to build a ...

Millennium Pipeline appoints president

03/20/2014 Millennium Pipeline Co. LLC has selected Joseph Shields as its president. He succeeds Rocco D’Alessandro, who held the position beginning in May 20...

Shah Deniz II, South Caucasus Pipeline contracts awarded

03/20/2014 The Shah Deniz and South Caucasus Pipeline consortia awarded project management and construction contracts for the development of Shah Deniz Stage ...

MARKET WATCH: NYMEX crude prices rise on Seaway pipeline expansion news

03/19/2014 Crude oil futures prices rose on the New York market Mar. 18 after Enterprise Products Partners LP told analysts and investors that an expanded Sea...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected