Chevron is backing away from its White Hills prospect on the North Slope.
According to state land records from February, the state is terminating 41 leases in White Hills because Chevron, through its subsidiary Union Oil Company of California, decided to stop paying rental fees on the acreage. The leases are set to expire on Dec. 1, 2010.
The White Hills prospect is in the foothills of the Brooks Range just west of the Dalton Highway and 25 miles southwest of Prudhoe Bay. The relinquished leases represent only a portion of the prospect. Chevron is keeping some of its White Hills acreage for now.
Chevron, through Union Oil, picked up all 41 leases in a March 2006 lease sale.
“Chevron has completed a two-year exploration program in the White Hills area of the North Slope,” Roxanne Sinz, public affairs manager for Chevron in Alaska, told Petroleum News by e-mail on March 9. “We have dropped a portion of our White Hills acreage position. The analysis of the remainder of our acreage position continues.”
Editor’s note: See full story in the March 14 issue of Petroleum News, which will be available online at noon on March 12 to subscribers at www.petroleumnews.com.