State requests comments on shallow natural gas applications

Petroleum News Alaska Staff

The state Department of Natural Resources Division of Oil and Gas is asking for comments on shallow natural gas lease applications. Comments are sought on potential benefits of “a discovery of a local source of natural gas” for residents of the area. Comments will also be used in developing lease stipulations and mitigation measures.

Cominco Alaska Inc. submitted four shallow natural gas lease applications for state land within the general area three to 10 miles north by northwest of the Red Dog Mine. Public notice requesting comments was published May 12; comments were due July 12.

Applicants submitted 100 shallow natural gas lease applications for state land in the Interior: Fairbanks/North Pole, Nenana/Anderson and Delta-Junction/Big Delta. Public notice requesting comments was published June 7; comments are due Aug. 7.

Applicants submitted 163 shallow natural gas lease applications for state land in the Matanuska and Susitna valleys and on the Kenai Peninsula in the vicinity of: Blair Lake, Talkeetna, Caswell, Kashwitna, Willow, Houston, Knik, Wasilla, Palmer, Sutton, Chickaloon, Nikiski and Homer. Public notice requesting comments on these lease applications was published June 20; comments are due Aug. 21.

If approved, applicants will receive leases for state-owned natural gas from the surface to a depth of 3,000 feet for an initial term of three years. Applications will be adjudicated on a lease-by-lease basis and if a discovery of a local source of natural gas would benefit local residents, the leases will be issued.

Subsequent exploration and development of the leased area will require permits.