NEWS BULLETIN

November 07, 2019 --- Vol. 25, No.48November 2019

Oil Search takes another step forward

The first plan of development for the North Slope Pikka unit, dated Nov. 1, was filed by operator Oil Search and posted this morning by Alaska's Division of Oil and Gas. The POD, addressed to both Corri Feige, commissioner of the Alaska Department of Natural Resources, and Rex Rock, Sr, president of Arctic Slope Regional Corp., was signed by Bruce Dingeman, chief operating officer of Oil Search Alaska, who will be taking over as president of the Alaska subsidiary of the ASX-listed parent in December.

The POD describes proposed operations for the winter 2019-20 period beginning Feb. 1 through the 2020-21 winter season, and outlines development plans for production commencing in 2022 and full-facility production in 2024.

In August, Oil Search requested an extension to the Pikka unit's 4th plan of exploration, or POE, from Nov. 30 to Jan. 31, saying it was in the process of finalizing its plans for the upcoming plan year. However, due to the extent of "upcoming work plan, annual business cycle, and the business cycle" of other Pikka unit working interest owners, this planning would not be finalized by the required submittal date.

The extension was approved by the state, effectively adjusting the Pikka unit plan year for future submittals, which will be plans of development, to run from Feb. 1 to Jan. 31.

Most of what was included in the POD has been previously reported by Petroleum News, although Oil Search did address its surface access agreement with Kuukpik Corp., saying it continues to "actively engage" with the Native village corporation for the community of Nuiqsut for Pikka unit operations," as well as "advance facility engineering and design and contract negotiations.

The POD said Oil Search "is moving forward with development activities to conduct a major hydrocarbon development in the Pikka unit. The company will drill wells, and construct and operate infrastructure and facilities to produce and transport crude oil from the Nanushuk and Alpine reservoirs."

The POD also named the gravel sites it planned to use for the development, ASRC gravel consolidated mine site and the NSB gravel mine site F.

- KAY CASHMAN

See story in Nov. 17 issue, available Friday, Nov. 15 at www.PetroleumNews.com.

For information on PN's news bulletin service, call 907-522-9469. PO Box 231651, Anchorage, AK 99523 - 1651


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