The Arctic slows decision making. It can be harder to start projects in the far north but harder to stop them as well. The big question at the moment is how $50 per barrel oil will impact resource development across Alaska. The short answer: It’s too soon to tell.
Oil prices fell over the second half of 2014, when most companies were finalizing their exploration activities for the coming winter. As such, this edition of The Explorers includes companies who chose to conduct risky, speculative or pioneering exploration and companies who decided to shy away from such unpredictable work for time being. If oil prices stay low this year, the next issue of The Explorers may tell a different story.
The Explorers profiles companies who either drilled an exploration well or commissioned a seismic survey this year or over the two previous years. Applying that criteria depends upon our knowledge of activities and our classification of those activities. If we missed any companies that deserved to be included this year, the omission was unintentional.
AIX and Caelus were included on the activities of previous operators. ConocoPhillips and Hilcorp conducted appraisal or exploration work while developing existing units.
BlueCrest, Brooks Range Petroleum and Furie are evaluating near-term exploration activities while working immediately to bring new units into production. Apache, Doyon, Linc, Royale and Shell are deciding whether and how to continue previous exploration work. Great Bear, NordAq and Repsol all conducted traditional exploration activities on the North Slope this winter. Usibelli drilled its first exploration well in 2014. ASRC Exploration is preparing to drill its first solo exploration well after years of administrative delays. Miller is focusing on low-risk developments while it considers future exploration.
The exploration license program continues to attract companies interested in frontiers.
- Eric Lidji
