ConocoPhillips is reducing its capital budget for Alaska by 5 percent from this year.
The reduction is the result of two long-term construction projects brought online this year: the CD5 pad at the Colville River unit and Drill Site 2S at the Kuparuk River unit.
The $1.3 billion budget ConocoPhillips is planning for Alaska next year will "mostly target development drilling, base maintenance and the progression of several major projects," according to the company. The figure represents 17 percent of global spending.
With those two projects currently producing, ConocoPhillips expects a growth in oil production next year from its Alaska operations - a rarity on the North Slope.
Altogether, ConocoPhillips is reducing 2016 spending by 25 percent over 2015.
- ERIC LIDJI
See story in Dec. 20 issue, available online Friday, Dec. 18 at www.PetroleumNews.com