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December 2002

Vol. 7, No. 48 Week of December 01, 2002

Knowles bids adieu to RDC

Steve Sutherlin

PNA Managing Editor

In his last address as governor to the Resource Development Council, at its annual conference in Anchorage Nov. 22, Gov. Tony Knowles thanked the group and its members for much hard work over the past eight years on Alaska resource development issues.

Access to resources, development of a responsible long-term fiscal plan, regaining state management of fish and game and streamlining state permitting were the major resource issues faced by his administration, Knowles said.

“I don’t pretend that these issues have all been resolved, but I think there has been significant progress on each of them as a result of a lot of courageous Alaskans out there trying to make a living and create jobs,” he said, adding that Alaska has had eight year of consecutive economic growth, 30,000 new jobs, the lowest unemployment in a generation, and the fourth fastest per person income growth in the nation.

Knowles said the state recently celebrated the 25th anniversary of the trans-Alaska oil pipeline, and said it has largely completed work required by federal statute to extend the trans-Alaska pipeline lease for another 30 years.

“Nothing has been more important to Alaska’s economic strength over the past generation than the trans-Alaska pipeline system,” he said.

Question is when, not if, for ANWR

Knowles also touted the Arctic National Wildlife Refuge and Point Thompson as potential bright stars for future oil and gas development.

“ANWR is not a question of if, but when it will happen,” he said.

“Next on the horizon is Point Thompson,” Knowles said. “After 25 years, and 19 abandoned development plans, the state and ExxonMobil concluded intensive negotiations with a milestone agreement calling for development drilling in the long-dormant Point Thompson field.”

The state has agreed to provide “one-stop shopping” for Point Thompson permitting, and it will act as co-leader with the Environmental Protection Agency on the federal environmental assessment in order to help expedite and streamline the permitting process, Knowles said.

“If developed, the billion-dollar investment in Point Thompson could produce hundreds of Alaskan jobs and 75,000 barrels per day for shipment down the trans-Alaska pipeline.”

North Slope gasline

Knowles said he still believes in the Alaska Highway route for an Alaska natural gas pipeline.

“My way is still the highway,” he said. “This route gives Alaskans access to the North Slope gas fields, puts Alaskans to work and ensures a fair share of revenues.”

Knowles said his administration has provided the incoming administration a detailed gas line transition paper outlining, in its best judgment, how to move the project forward.

“(The paper) highlights the important work of the gas pipeline office, which has the state prepared to move quickly and efficiently in the permitting process, once an application from a project sponsor is submitted,” Knowles said, adding that the paper includes key findings of the Alaska Highway Natural Gas Policy Council, such as using Alaska Railroad bonding authority to help finance the line.

The state has made significant progress toward the sale of its royalty gas, a key issue that will need to be address to ensure proper access to the line and to promote additional exploration, Knowles said.

“It has been my privilege and honor to serve as your governor these last eight years,” Knowles said. “Thank you for your support, your friendship, and the best to each of you, and to Alaska, whose best years are yet to come.”






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