The US Bureau of Ocean Energy Management received an exploration plan from Eni US Operating Co. on Mar. 3 relating to the Eni SPA subsidiary's efforts to develop the Nikaitchuq North field in the Beaufort Sea north of Oliktok Point.
In its plan, Eni US proposes to explore for oil in federal submerged lands in the sea off Alaska's North Slope. It would use extended-reach drilling techniques from an existing manmade gravel island in state waters to do this, BOEM said.
The plan's submission is the latest step in a multiyear process that typifies US offshore oil and gas projects. In 2007, Eni became the operator and full owner of the field, which holds an estimated 200 million bbl of crude oil. Production reached 25,000 b/d in June 2014 and was projected to reach 30,000 b/d within a year.
The Nikaitchuq field's development included drilling of wells and construction of facilities both on land and on an artificial island Eni built in the Beaufort Sea, the company said at the time.
"Nikaitchuq horizontal wells are the most complex wells drilled by the industry to date in Alaska, with a lateral displacement that extends up to 22,000 ft," it noted. "The field treatment plant is able to handle 40,000 b/d of crude oil and up to 120,000 b/d of water. Nikaitchuq production is transported through the Trans-Alaska Pipeline System to be sold on the market without the need for further treatment."
The project is affected by other federal agencies' decisions. When the US Fish & Wildlife Service issued a 5-year Incidental Take Authorization on Aug. 5, 2016, for producers operating offshore Alaska, it included a summary of Nikaitchuq activities and a description of the project.
BOEM had 15 working days to review the proposed exploration plan (EP) once the agency received it. "If this initial review determines that it fulfills regulatory requirements and is sufficiently accurate, BOEM will deem it submitted," it said. If the initial review determines otherwise, BOEM will notify Eni US of additional information that is needed.
Dual comment periods
The agency would then post a copy of the EP on its Alaska web page if the plan is deemed submitted. It then would have 30 calendar days to review it and evaluate its environmental impacts. During this time, there would be two separate-but partially concurrent-public comment periods: one on issues that BOEM should address when preparing the environmental assessment and one on the proposed EP itself.
By the end of the 30-day period, BOEM would either approve the EP, require that it be modified, or disapprove the EP, the agency said.