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June 2002

Vol. 7, No. 25 Week of June 23, 2002

Oil Patch Insider

Wadeen Hepworth

ENCANA IS READY TO RECEIVE VISITIORS…. The Calgary-based independent has moved into its new offices in the Frontier Building in Anchorage. The company has one full-time employee up here now: Tom Houza, a former BP Exploration (Alaska) geologist. EnCana also has two part-time contract employees, one of whom is former state Division of Oil and Gas Director Ken Boyd. The phone number at Suite 1334 is (907) 770-3700.

AIR LOGISTICS SNARED AN AVIATION SUPPORT CONTRACT from EnCana for its drilling program at the McCovey prospect in the Beaufort Sea.

Dave Scarborough, company spokesman for Air Logistics, said his firm’s Deadhorse hanger will be the base for the FR Bell 212 twin-engine helicopter, that will be used to fly support to the SDC drillship.

A RECORD YEAR CAUSES GROWING PAINS FOR OFFSHORE DIVERS…. Don Ingraham, owner of Offshore Divers, said the company has had such a good year that it needs more space. The firm’s currently in the building permit stage. Don anticipates opening a new facility in Anchorage late this year.

What’s keeping them so busy? Don said they are starting a couple of underwater inspection and welding projects on the North Slope and at Valdez and are also doing sub-sea pipeline repairs in Cook Inlet.

“PUBLISH WHAT YOU PAY”…. says international financier and philanthropist George Soros, who has a major stake in Houston-based Andex Resources, an independent active in Alaska.

Mr. Soros is leading the charge for oil, gas and mining companies to disclose all net taxes, fees, royalties and other payments as a condition for being listed on international stock and financial markets.

Soros’ press release says “relying on companies to disclose information voluntarily has so far failed because they fear being undermined by less scrupulous competitors.”

His campaign calls for mandatory disclosure backed by legislation.

“Secrecy over state revenues encourages ruling elites to mismanage and misappropriate money rather than invest in long-term development. … This is a real chance to promote good fiscal governance and help tackle worldwide poverty,” he says.

I wonder if he means to include the bribes paid to South American officials that are a mandatory part of doing business in some countries down there.

Good going, Mr. Soros.

IT’S PARTY TIME FOR GENE BURDEN AND ROD CASON….

Last week, Petroleum News • Alaska reported that Gene Burden has been promoted from president of Tesoro Alaska to the worldwide head of Tesoro’s human resource department in San Antonio and that Tesoro Alaska’s refinery manager at Kenai, Rod Cason, had taken his place. The news this week: Gene will be back in Anchorage on July 11 for a party at the Petroleum Club celebrating his and Rod’s promotions.

MIKE TOLBERT’S GAMBLE ON THE “UMIAT HILTON” IS PAYING OFF…. In 2001, Mike, president Taiga Ventures, had a chance to buy the “Umiat Hilton” hotel, located just west of the National Petroleum Reserve-Alaska on the Colville River, but he didn’t have a lot of information to help him make a decision.

“I had worked in the oil exploration business and knew the hotel was up for sale,” Mike told the Insider. “I just had an urge and a feeling about the hotel but no insight other than things I had heard about the Foothills. I also knew the Corps of Engineers had cleaned up the old oil wells (drilled by the Navy in the 1940s) so I decided to take a chance and buy the hotel.”

That chance has paid off with his guest roster showing the who’s who of the oil patch like Anadarko, Phillips Alaska, Shell, Petro-Canada, OAC and USGS who are basing their summer field season work out of Umiat.

Mike tore down the old hotel, named the Hilton as joke by the original Navy people, and rebuilt a new one called the Umiat Lodge.

“I can sleep 55 people, and have two computer hook ups in each room. We have a 5,900 foot airstrip, sell aviation fuel and rent heavy equipment.” he said.

Asked if cans of bug spray were included in the price of a room Mike laughed and said, “I can provide that too and they are going to need it as the bugs will be out in full force in two weeks.”

THE PUBLIC COMMENT PERIOD IS OVER FOR ANDEX RESOURCES’ NENANA EXPLORATION LICENSE…. Comments on the preliminary finding were divided between the hands-off-Minto-Flats-game-refuge folks and those wanting gas for Fairbanks.

The local residents want the development and the gas. The state received eight resolutions in favor of granting Andex its license — from the Tanana Chiefs Council, Minto Village Council, North Slope Borough Assembly, the cities of Nenana and Fairbanks, Denali Borough Assembly, Fairbanks Chamber of Commerce and the Fairbanks Builders and Construction Trade Council. Doyon Ltd., the area Native regional corporation, submitted a petition in favor of the license.

The folks against the license want no development north of the Tanana River, which encompasses about one-third of the area to be developed.

The decision to issue the license and with what mitigating factors will be based on science, however.

The Division of Oil and Gas has to respond in its appendix to every point brought up by every individual in its revised findings, as well as work with state agencies that commented, such as Fish and Game.

The division is shooting for releasing its final finding on Aug. 22, which if a license is going to be issued, would allow it to happen by Oct. 1.

Andex hopes to have its license in hand by that date in order to move forward with shooting seismic on part of the area this coming winter.

CONCERNED ABOUT SAFE EDIBLES? The state Department of Environmental Conservation has awarded 14 out of 15 Alaska Gold Star for Excellence in Food Safety awards to Doyon Universal Services. The awards are given for a commitment to serving safe food and meeting high performance standards.

The camps receiving the awards are located at Alyeska Pipeline Service Co. Pump Stations No. 3, 4, 5, 6, 7 and12; Peak Oil Field Services base camp, Prudhoe Bay; Nabors Drilling Co., Wrangell Camp; Doyon Drilling Co., rig 14, 16, 141 camps; BP Exploration (Alaska), Milne Point and Endicott; and, Phillips Alaska, Kuparuk operations camp. If you work at one of these camps you might want to say “thanks” to the people on the other side of the food line. After all, your life may depend on it.

SHAMROCK GETS NEW CAPTAIN…. Richard Wilson has come aboard American Marine’s vessel, Shamrock, as captain and marine operations supervisor.

Ever since Richard arrived at American Marine his phone has been ringing “off the hook” to the point he only works with a cell phone.

As marine operations manager he manages crewing, documentation, safety and compliance of the dive support vessel Shamrock based in Cook Inlet. He also seeks out other vessels for charter and supports the company offices in Hawaii and L.A. Plus, he sometimes captains the Shamrock.

Richard previously worked for Crowley as a mate on escort and response tugs out of Valdez, as a captain for various towing companies around the world as well as jobs for American Marine.

Richard recently moved his 11-year old daughter to Anchorage. She loves Alaska.

A LITTLE PRIVATE INVESTIGATOR WORK…. has identified the large vessel sitting on the North Star Terminal and Stevedoring dock.

The piece of equipment came into the terminal on a CN Aquatrain multi-axle rail car about a week ago. It is 13 feet in diameter, ???? long and weighs 125 tons, so, being an ex-railroader it made me curious to know where it came from and where it was going.

Apparently, it is one of several pieces of oil separation equipment going to the Forest Oil project on the Kustatan Peninsula near Trading Bay for Redoubt Shoal field development.

It and about nine other vessels were manufactured at Natco, in Calgary, Canada. We’ll have more of the total picture for you in our next Insider column. so stay tuned.

POLISH UP THOSE GOLF CLUBS…. The 16th Annual SPE Golf Classic will be held Saturday, June 29, at the Anchorage Golf Course on O’Malley. For more information contact James Ohlinger by email at [email protected], or call him at (907) 267-6610.

A RESUME TO DIE FOR…. Jane Showalter Thomas, P.E., ENSR Alaska’s new senior compliance program manager, has a background so varied and interesting that it is impossible to put it all in this small space. A registered professional environmental engineer with 20 years of industry and environmental consulting experience, Jane will be directing ENSR’s compliance services and incorporating environmental issues into operational business decisions.

EMERALD CONSULTING IS MOVING ITS OFFICES…. Emerald Consulting Group has moved to a new office at 111 W. 9th Ave. near the corner of 9th and A Street. Website: www.emeraldalaska.com

Oil Patch Insider is written by Petroleum News • Alaska columnist Wadeen Hepworth. The Insider will appear three times per month. Individuals providing news or tips to Wadeen do not have to be identified in the column. She can be reached at (907) 770-3506 or via email at [email protected].






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