Armstrong gets Horseshoe permits

Armstrong Energy LLC has received two key regulatory approvals for its one-well North Slope winter exploration program at the Horseshoe prospect, in the area south of Nuiqsut.

The local subsidiary of the Denver-based independent received a drilling permit for the Horseshoe No. 1 well and approval of its lease plan of operations for the program.

The Alaska Oil and Gas Conservation Commission issued a drilling permit for the Horseshoe No. 1 exploration well on Dec. 21, according to a recent weekly permitting report. The state Division of Oil and Gas approved the plan of operations on Dec. 29.

The proposed well would be 1,500 feet east of the Colville River unit and approximately 12 miles southwest of the village of Nuiqsut. The plan of operations also includes an 18-mile ice road, a 4.5-acre ice drilling pad and an ice camp pad, in addition to the well.

Armstrong will drill the 9,000-foot nearly vertical well on ADL 392048, which is part of a package of leases the company holds west of the Meltwater satellite of the Kuparuk River unit. The company acquired the leases from Royale Energy Inc. in late 2015.

Armstrong initially planned to drill two exploration wells this winter, but cancelled plans for the Pikka No. 1 well and as many as three sidetracks to ease concerns from the nearby village of Nuiqsut. Instead, the company plans to share information from ConocoPhillips Alaska Inc., which is planning to drill the Putu No. 1 well on nearby acreage to Pikka.

- ERIC LIDJI