Call for exploration license applications

Kristen Nelson

Petroleum News

The state has put out a call for proposals for oil and gas exploration licenses within the Nenana area, and a determination by the director of the Division of Oil and Gas on lands in the Nenana area subject to exploration licensing.

The determination follows publication of a preliminary determination Nov. 30, identifying acreage west of Nenana which would be available for exploration licensing. The division said then that “land within the Nenana determination area has unknown oil and gas potential and there is limited access to existing oil and gas infrastructure in much of the region.”

The division said the Alaska Mental Health Trust Land Office notified it that lands owned and managed by the Trust Authority were included in the proposed exploration license area and asked that those lands be excluded from Nenana area exploration licensing. The director’s response was that the determination was “not a sale, lease, license, or other disposal of interest in lands” nor a best interest finding, and said if an exploration license were issued in the area “the licensee will be required to seek additional permission from any land owner other than the state to gain access and proceed with any exploration activities,” and said the lands in the notice are subject to exploration licensing.

In the Jan. 5 determination the director found that state-owned oil and gas mineral estates within the Nenana determination area will be available for exploration licensing, and said that if the division receives an exploration license proposal the director will take a hard look at the specific proposal area through the public notice and best interest finding processes.

In a call for exploration license proposals, also issued Jan. 5, the division said notices of intent must be received by Feb. 6 and proposals must be received by March 8.

- KRISTEN NELSON