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Eni applies for North Slope Nikaitchuq camp pad
Eni Petroleum has applied to the Alaska Department of Natural Resources Division of Mining, Land and Water to lease seven acres south of Oliktok Point in the Kuparuk River unit for 25 years. The tract would be used for a gravel pad for the proposed Nikaitchuq project; Eni has said it hopes to make a development decision by the end of the year on the unit, which lies near shore in the shallow waters of the Beaufort Sea.
The division said in an Aug. 13 public notice that it has made a preliminary finding and decision to competitively lease the tract to Eni.
Gary Schultz, natural resources manager with the division, told Petroleum News the pad would be used for a camp, operations center and heliport in support of Nikaitchuq development. The division said the pad would be within sections 16 and 17, township 13 north, range 9 east, Umiat Meridian. Schultz said the pad site is some 2.5 miles from the Nikaitchuq drilling pad.
The gravel drilling pad was built last year to target those portions of the prospect that can be reached from shore.
The comment period on the competitive lease closes Sept. 11.
Surveying, appraisal next The site needs to be surveyed and appraised; Schultz said the appraisal will set the minimum bid amount. Once the survey and appraisal have been approved by the division there will be a notice published for auction of the tract, which will be by competitive sealed bid.
Eni has said it plans a development decision at Nikaitchuq by the end of the year and applied to DNR’s Division of Oil and Gas earlier in the year to expand the Nikaitchuq unit by rolling in the adjacent Tuvaaq unit and other acreage, more than doubling the size of the offshore North Slope unit from some 12,968 to 33,869 acres.
Nikaitchuq exploration was begun by Kerr-McGee Oil and Gas Corp. and Armstrong Alaska from ice pads constructed in the shallow waters of the Beaufort Sea during the winter. Eni acquired Armstrong’s interest in 2005 and Kerr-McGee’s 70 percent interest earlier this year.
Kerr-McGee drilled six wells at the prospect beginning in 2004; two additional Schrader Bluff wells were drilled in the 2006-07 winter season.
Eni conducted an on-ice seismic experiment beginning in April on State of Alaska offshore oil and gas leases in the vicinity of Nikaitchuq, with results to be used to develop a plan by next summer for potential 3-D seismic acquisition over parts of the expanded Nikaitchuq unit.
—Kristen Nelson
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