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Oil Patch Insider
Anadarko receives OK for Alaska gas exploration; stranded gas meeting postponed Anadarko Petroleum has received approval for a winter gas exploration program in Alaska’s Brooks Range Foothills — a five-well program which could take place between now and May 2008.
When the wells are drilled will depend on a number of factors, Anadarko’s Alaska spokesman Mark Hanley told Petroleum News, the most important of which will be whether or not a gas pipeline is built to take North Slope gas to market — and whether or not non-owners of the line will be allowed affordable access to it.
“A couple of years ago they were talking about an open season, but things have changed. Before you explore for gas, drill too much, you first want to be sure you have access to a pipeline,” he said.
The Alaska Division of Oil and Gas has approved Anadarko’s application for gas exploration operations, originally filed last July and revised late last year, for the state portion of the plan. Part of the exploration would be done on Arctic Slope Regional Corp. lands in the same area.
The Arctic Char 1 would be drilled on state lease ADL 389763 in section 35, township 2 south, range 10 east, Umiat Meridian. The Dolly Varden 2 would be on the sale lease, in section 22, T2S-R10E, UM; Dolly Varden 4 would be on ADL 389764 in section 19-T2S-R11E, UM; Dolly Varden 5 would be on Arctic Slope Regional Corp. lands in section 14, T2S-R11E, UM, and the Dolly Varden 7 on ASRC lands in Section 9, T2S-R12E, UM.
The drilling locations are some 60-70 miles south of Deadhorse and 10-20 miles west of the Dalton Highway. Anadarko has proposed various operations plans, including plans to stage a rig at the old Aufeis airstrip and a plan to move a rig from Deadhorse each year.
Gardner sells Fairweather shares; Penrose runs Alaska Bob Gardner, a founder and president of Anchorage, Alaska-based Fairweather Exploration and Production, recently sold his shares in the company to co-founders Sherron Perry, Jesse Mohrbacher and two more recent partners. Gardner, determined to find more leisure time in life, serves as senior technical advisor to the company.
Jesse Mohrbacher is the new president, dividing his time between the Houston branch and Anchorage. Sherron Perry is senior vice president. Partner Tom Kennedy is vice president and heads up Lower 48 operations. Partner Bill Penrose is senior project manager and runs the company’s Alaska operations.
Fairweather E&P provides a broad range of oilfield services. Fire destroys Umiat lodge The Umiat Lodge and several outbuildings were destroyed by fire June 10. Umiat is a small community about 150 miles southeast of Barrow on Alaska’s North Slope. The lodge, which is a popular spot for oilfield exploration crews, owns the only structures in Umiat, including a dining area and water treatment plant. About 20 people were staying at the lodge but no one was hurt.Anadarko drops leases, looking for partner Anadarko Petroleum has dropped several leases on Alaska’s eastern North Slope along the Canning River, which borders the Arctic National Wildlife Refuge.
The acreage includes all leases in the Kavik prospect and what used to be the Kemik unit. Anadarko owned a two-thirds interest in the leases and EnCana held a one-third interest.
Anadarko’s Alaska spokesman, Mark Hanley, told Petroleum News June 10 that Anadarko’s April acquisition of BP’s interest in 230,000 acres (76,700 acres net) of state leases in the Brooks Range Foothills, took Anadarko over the 500,000 acre state exploration lease limit.
“That deal put us over the acreage limit, so we landed up prioritizing our leases in areas where we have the most interest. We supported the legislation that raised the 500,000 acre cap; and that bill has since gone through, but we couldn’t depend on its passing,” Hanley said.
EnCana, he said, agreed to also drop its interest in the eastern North Slope leases.
Anadarko is looking for a third partner for its Brooks Range Foothills acreage, Hanley said. In addition to state acreage in the foothills, Anadarko has a two-thirds interest in 1.2 million acres of Arctic Slope Regional Corp. land. EnCana is a one-third partner in that acreage. Corbus tears Achilles tendon, stranded gas meeting canceled Top level officials with Alaska Gov. Frank Murkowski’s administration were expected to meet with North Slope producers for stranded gas negotiations in the second week of June, but the meeting was postponed because Department of Revenue Commissioner Bill Corbus tore his Achilles tendon. Corbus was admitted for surgery June 11 and will be laid up for approximately 10 days, a Revenue official told Petroleum News.
A new meeting with the producers has not been scheduled.
Oil Patch Insider is compiled by Paula Easley and Kay Cashman. If you have a news tip or press release for Oil Patch Insider, please email [email protected], phone (907) 522-9469, or fax (907) 522-9583.
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