RDC NEWS DIGEST
Independent begins North Slope production
Pioneer Natural Resources Company has joined the ranks of the major oil companies in producing oil from the North Slope.
In June, Pioneer commenced production as scheduled from its Oooguruk Unit northwest of Prudhoe Bay. Pioneer is the first independent to initiate new field operations on the North Slope and has set a new precedent for offshore development by bringing Oooguruk on line in less than five years.
Pioneer has a 70 percent working interest in the field where it is owner and operator. Eni has a 30 percent interest in the field.The companies sanctioned development in early 2006 after drilling three exploration wells during the winter of 2003.
Pioneer anticipates peak gross production in 2010 of 15,000 to 20,000 barrels per day from approximately 40 development wells. These wells are expected to be drilled over the next three years. The gross oil resource potential from these base development wells is as much as 90 million barrels, before expansion opportunities. Field life is expected to be 25 to 30 years.
BLM defers prospective acreage inside NPR-A from oil and gas leasing
In comments to the Bureau of Land Management (BLM), RDC expressed disappointment in a recent decision to defer for ten years 430,000 acres north and east of Teshekpuk Lake from oil and gas leasing. The acreage, inside the National Petroleum Reserve-Alaska (NPR-A), is among the most prospective of the reserve for significant deposits of oil and gas.
The deferral is contrary to a previous decision made by BLM for a proposed 2006 lease sale in the area. RDC believes proposed regulations adequately addressed environmental, subsistence and cumulative impact issues and that it was unnecessary for BLM to defer additional highly prospective acreage from future lease sales.
RDC has consistently supported full leasing in NPR-A, noting three decades of oil and gas activity in the arctic demonstrate that industry has the capability to operate throughout Alaska’s North Slope while maintaining high standards of safety and environmental sensitivity.
RDC finds it disturbing BLM would essentially close attractive areas for energy exploration and production inside a petroleum reserve at a time of sharply rising energy prices, and when there is an ever-increasing need for new domestic energy production.
Last fall, RDC supported a “compromise” alternative that would have provided access to much of NPR-A’s most prospective acreage while providing measures to mitigate impacts.
The North Slope Borough supported the deferral, calling the acreage near Teshekpuk Lake one of the region’s most sensitive wildlife habitats. Mayor Edward Itta praised BLM for listening to local communities. Itta noted the deferral will allow a lease sale in the area to move forward.
Beluga ESA listing decision delayed
The National Marine Fisheries Service (NMFS) will extend the final decision on listing the Cook Inlet beluga whale up to six months, which will give researchers time to prepare a 2008 population abundance estimate before the agency decides whether or not to list the population under the Endangered Species Act.
Last year, biologists estimated the Cook Inlet beluga whale population at 375, the largest since 2001.
“We believe substantial disagreement exists regarding the population trend, and that allowing an additional six months to obtain the 2008 abundance estimate would better inform our final determination as to whether the Cook Inlet beluga whale should be listed as endangered,” said Doug Mecum, acting Alaska regional administrator for NMFS.
The new 2008 abundance survey is expected by September.
There has been variability in the population estimates over the last 13 years. The estimates in 2006 and 2007 were 302 and 375 belugas respectively.The State of Alaska has interpreted the 2006 and 2007 data as an increasing trend.
Tileston Award goes to Board of Forestry
RDC and the Alaska Conservation Alliance (ACA) named the Alaska Board of Forestry as the first winner of the Tileston Award.
The award was jointly established to honor organizations, individuals and businesses that create solutions and innovations advancing the goals of economic development and environmental protection. The Tileston Award recognizes two long-time Alaskans, Peg and Jules Tileston, who worked on seemingly different sides of conservation and development issues but who always agreed “that if it is in Alaska, it must be done right.”
The Alaska Board of Forestry helps ensure that timber harvesting is done in a manner that protects the water quality and fish habitat of Alaska’s rivers and streams while providing for responsible timber harvesting on state and private lands in Alaska. It consists of nine representatives nominated by the governor and chaired by the State Forester. State law requires that the Board include members representing commercial fishing, Alaska Native Corporations, environmental organizations, the forestry industry, mining, and recreational users. The Board plays a major role in garnering bi-partisan support for changes to Alaska’s forestry laws by achieving consensus amongst its diverse membership. As its nominator stated,“The Alaska Board of Forestry is an example of the resource development and conservation communities working together to constructively address a controversial issue.”
Return to newsletter headlines
