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AIDEA questions fed resource policies
Weitzner says that discouraging Alaska development encroaches on state rights and opens door for imported oil and critical minerals Alan Bailey for Petroleum News
Alan Weitzner, executive director of the Alaska Industrial Development and Export Authority, told the Resource Development Council’s annual resources conference on Nov. 17 that he is concerned about federal government actions that limit possibilities for developing natural resources, in particular oil, gas and critical minerals, in the state.
“We’re seeing encroachment on those rights for Alaska’s access to its resources and development of those resources,” Weitzner said, commenting that Alaska was established as a resource state.
AIDEA’s role AIDEA is a state agency with a role of providing finance in support of Alaska economic development, with the eventual aim of assuring economic value for the state while earning returns from its investments. The agency bought leases in last January’s Arctic National Wildlife Refuge oil and gas lease sale but has been prohibited by the Bureau of Land Management from conducting any work to progress exploration on the leases. And the BLM is slowing the federal approval of a planned access road to the Ambler mining district east of Kotzebue, Weitzner said. The mining district is known to hold critical minerals that are used in renewable energy technologies and other new technologies, he said.
Weitzner said that the United States seems to be intent on outsourcing supplies of oil, gas and critical minerals to other countries, while Alaska presents a safe and secure domestic source.
“We don’t understand why those policies are actually put in place,” Weitzner. said, commenting that resource extraction also provides good paying jobs in Alaska.
Land related legislation The Alaska Native Claims Settlement Act transferred resource rights to Alaska Native corporations. And the Alaska National Interest Lands Conservation Act moved 100 million acres of federal land into conservation areas in exchange for allowing access for resource development on remaining federal lands, Weitzner said. ANILCA also established the 1002 coastal plain area of ANWR, with the potential for future oil and gas development there. Legislation passed by Congress in 2017 required two oil and gas lease sales to be held in the 1002 area - hence the January sale.
Under an executive order for a review of the ANWR lease sale program, all lease related activities have been placed on hold. Weitzner said that AIDEA does not believe that the suspension has any validity.
“So we have 10-year leases that have been signed by the BLM, certified by the Department of the Interior, that have exclusive rights of development on 365,775 acres in the non-wilderness area,” Weitzner said.
On Nov. 4 AIDEA filed a legal complaint in federal District Court in Alaska against President Joe Biden and officials in the Department of the Interior over the ANWR lease constraints. DOI had not responded to a question regarding what statutes or regulations the agency is relying on for its action, Weitzner said.
“We believe they have violated several areas of the statehood compact,” he said.
Weitzner said that the AIDEA board will be reviewing the 1002 area leasing situation during its Dec. 1 meeting and would welcome public comments.
Ambler Access Project The Ambler Access Project involves the potential construction of a 211-mile road, west from the Dalton Highway to the Ambler mining district. The road is in the final field feasibility stage, but BLM is re-opening some of the assessments in the record of decision for the project, Weitzner said.
“We’re very confused why this would be directed, particularly given the fact that there’s been federal policy that’s been announced about really generating new sources for critical and strategic minerals,” he said.
Alaska Energy Independence Fund legislation Weitzner also said that AIDEA is taking a leadership position in supporting proposed state legislation from Gov. Mike Dunleavy to establish an Alaska Energy Independence Fund, to help with the funding of sustainable energy projects in the state.
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