Alaska

Italy’s Eni SpA said Friday that it has acquired 104 exploration leases in northern Alaska from Armstrong Oil & Gas for an undisclosed amount. The portfolio, located both onshore and offshore in the Beaufort Sea along the Barrow Arch in the North Slope, includes two projects in the predevelopment stage and several defined exploration prospects, the producer said.

A group of North Slope producers plans to submit a proposal to the Alaska Oil and Gas Conservation Commission (AOGCC) about sharing proprietary production data from the Prudhoe Bay reservoir. A final agreement on use of some of the data is expected to help the commission revise a rule on the rate of allowable natural gas production from Prudhoe, which in turn could pave the way for moving forward on the producers’ proposed $20 billion gas pipeline.

Within the next two weeks, a group of North Slope producers plans to submit a proposal to the Alaska Oil and Gas Conservation Commission (AOGCC) about sharing proprietary production data from the Prudhoe Bay reservoir. A final agreement on use of some of the data is expected to help the commission revise a rule on the rate of allowable natural gas production from Prudhoe, which in turn could pave the way for moving forward on the producers’ proposed $20 billion gas pipeline.

Without new liquefied natural gas (LNG) facilities and Arctic gas pipelines from Alaska and the Mackenzie Delta, North American gas supply won’t grow more than 25 Tcf, and without more access to gas supplies from the Rocky Mountains, there may even be a decline, Don Santa, president of the Interstate Natural Gas Association of America (INGAA), said last week.

Without new liquefied natural gas (LNG) facilities and Arctic gas pipelines from Alaska and the Mackenzie Delta, North American gas supply won’t grow more than 25 Tcf, and without more access to gas supplies from the Rocky Mountains, there may even be a decline, Don Santa, president of the Interstate Natural Gas Association of America (INGAA), said this week.

FERC has set Dec. 3 for a technical conference in Anchorage, AK on its proposed regulations governing the conduct of open seasons for the Alaska Natural Gas Transportation System. The Commission’s action comes after President Bush signed into law last month a bill that provides for an $18 billion federal loan guarantee for the construction of the remaining 1,600 miles of the project. FERC expects to issue a proposed rule by about Nov. 18. The public would have until Dec. 17 to comment on FERC’s notice of proposed rulemaking. The law requires FERC to complete the regulations by Feb. 10, 2005.

FERC has set Dec. 3 for a technical conference in Anchorage, AK on its proposed regulations governing the conduct of open seasons for the Alaska Natural Gas Transportation System. The Commission’s action comes after President Bush signed into law last month a bill that provides for an $18 billion federal loan guarantee for the construction of the remaining 1,600 miles of the project. FERC expects to issue a proposed rule by about Nov. 18. The public would have until Dec. 17 to comment on FERC’s notice of proposed rulemaking. The law requires FERC to complete the regulations by Feb. 10, 2005.

Pioneer Natural Resources said it has released all of its existing shallow gas leases in the Matanuska-Susitna Valley in Alaska in response to a contentious debate with residential landowners over the leases and to new legislation affecting the area. The leases were part of its merger with Evergreen Resources that closed on Tuesday. The released leases cover 235,500 acres and include farm-outs and the Mental Health Trust lease No. AK550.185 located east of the Pioneer Unit near the town of Palmer. As a part of the strategic planning and due diligence associated with the merger, Pioneer decided to relinquish the leases issued under the over-the-counter leasing program and to withdraw the exploration license applications made by Evergreen in August. “We strongly support the state’s new gas-only leasing program defined by HB531, and we encourage them to continue the best interest finding process for the Mat-Su,” said CEO Scott D. Sheffield. “We support the efforts of the Mat-Su Borough Assembly to develop a regulatory program that recognizes the state’s primacy while at the same time representing the borough’s interests.” The leases being released were on residential land. Pioneer also holds nearly one million gross acres on the North Slope and has working partnerships with ConocoPhillips, Anadarko and others.

Temperatures in Alaska, the far West, Southwest and Southern Plains are expected to be above normal for the 2003-04 winter, according to the National Oceanic and Atmospheric Administration (NOAA). However, for the rest of the nation there are equal chances of above-, below- or near-normal temperatures, NOAA said.