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NEWS BULLETIN

January 29, 2002 --- Vol. 8, No. 11January 2002

ChevronTexaco's Alaska budget up 48 percent from last year

ChevronTexaco Corp.'s exploration and development budget for Alaska is $37 million this year, up 48 percent from the $25 million the company spent last year, Wade Fennel told PNA Jan. 28. Fennel is development manager for ChevronTexaco's newly formed Alaska business unit.

He said approximately $13 million of the 2002 budget would be spent on the Point Thomson unit, scheduled to come on line in 2008, and $24 million on other North Slope exploration and development.

(See full story in the upcoming Feb. 3 issue of Petroleum News Alaska.)

Leak found this morning from Swanson River well flow line

The Alaska Department of Environmental Conservation says a leak was discovered by Unocal Alaska in a Swanson River well flow line at 8:20 a.m. this morning.

DEC said Unocal reported that an undetermined volume of produced water-crude mix had leaked from a three-inch underground flow line from well 21-34 at the Swanson River field. The flow line has been shut down.

Unocal reported the produced water as 92 percent water and 8 percent oil-gas mixture.

DEC said response personnel from the Unocal Swanson River field are mobilizing to find the source of the underground and a "super sucker" vacuum truck is en route from K Beach Road. Well 21-34 is approximately one-quarter mile east of Swanson River and DEC said the leak does not currently pose a threat to the river.

A surface area of approximately 20 feet by six feet appears stained along the flow line route. DEC said Unocal will dig along the section of flow line from the well to find the source of the leak.

Additional cleanup needs will be determined based on field measurements and analytical results. DEC said its staff will work with Unocal engineers to determine the cause of the pipeline leak and facility records will be reviewed to provide the best estimate of the amount of produced water discharged.

MMS sets Anchorage scoping meeting for Cook Inlet sales

The Minerals Management Service will hold an Anchorage scoping meeting Feb. 5 to discuss issues to be evaluated in a multi-sale environmental impact statement for proposed Cook Inlet oil and gas lease sales.

The meeting will be 7-9 p.m. in the third floor conference room at the MMS Regional Office, 949 E. 36th Ave.

Scoping meetings were held in Kenai-Soldotna, Ninilchik, Homer, Kodiak, Port Graham and Seldovia in late January.

Two sales are proposed for the Cook Inlet planning area between 2002 and 2007 under the draft proposed five-year plan currently being reviewed.

Scoping gives MMS the opportunity to answer questions about the proposed sales, gather information and hear what people have to say about the proposal. MMS said it is also asking for information from the oil and gas industry about their interest in exploring in the area.

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