page Igiugig system longest operating 5 US water current energy converter

Vol. 25, No. 42 • www.PetroleumNews.com A weekly oil & gas newspaper based in Anchorage, Alaska Week of October 18, 2020 • $2.50

l EXPLORATION & PRODUCTION Alaska gets 4 new unit apps; NAPE Summit back! US icebreaker down THE ALASKA DEPARTMENT of Natural The magic number Resources’ Division of Oil and Gas has four new applications to form units — three on the North Slope and one in the Cook Inlet basin. Two companies say they’ll drill a total of 3 ANS exploration wells, 7 possible “They’re the first unit applications we’ve By KAY CASHMAN geologist Erik Opstad. received in three years,” division Director Tom Petroleum News Pantheon Resources, owner of Great Bear’s Stokes told Petroleum News Oct. 12. North Slope oil and gas assets, is also planning to The four applications were previously wo junior oil companies are planning to drill a drill an exploration well in the 2020-21 winter sea- reported by PN and are as follows: total of three exploration wells this winter on son via its new Alaska operating arm, Great Bear • Seaview unit by Hilcorp Alaska, a small gas field south of T the North Slope — and a senior might drill as Pantheon. Anchor Point on the Kenai Peninsula (see story in PN’s Sept. 13 many as four wells if Ballot Measure 1 is defeated. The timing of Talitha 1’s drilling was initially issue). Australia independent 88 Energy Ltd., a Perth- subject to securing a farm-in partner, but Patrick • Alkaid and Talitha, two adjacent North Slope units south of based ASX and AIM listed firm, is moving for- Galvin, Great Bear Pantheon’s chief commercial see INSIDER page 8 ward with plans to drill two exploration wells in officer and general counsel, told Petroleum News the National Petroleum Reserve-Alaska on acreage Oct. 12 that the company is moving ahead on per- it acquired in an off-market takeover from XCD mitting the well without a partner. Galvin is a for- Hilcorp gets approvals for gas Energy. The wells will be drilled by one of 88 mer commissioner of the Alaska Department of production, unitization at Seaview Energy’s three operating subsidiaries, Accumulate Revenue and former petroleum land manager for Energy Alaska, which is run by long-time Alaska Hilcorp Alaska has told state agencies it plans to bring its see EXPLORATION WELLS page 11 newest Cook Inlet gas field, Seaview, online Nov. 1, and is gaining regulatory approvals necessary to begin production. l FINANCE & ECONOMY The Alaska Department of Natural Resources’ Division of Oil and Gas issued a partial approval of the Seaview unit application Oct. 7, noting that tracts within the boundaries where mineral rights owners have not agreed to participate are Oil shortage ahead? not included in the unit. The division has also received an application from Hilcorp Aramco: supply crunch on under-investment; IEA, OPEC pare recovery views for a participating area at the unit. The PA defines the area within the unit from which production is expected to occur By STEVE SUTHERLIN and is required before production can begin. Spot crude oil prices averaged sharply Petroleum News And on Oct. 12 the Alaska Oil and Gas Conservation lower in September, after four see SEAVIEW FIELD page 3 n oil shortage may be in the works due to consecutive months of gains, OPEC said Aunderinvestment in the energy sector and ris- Oct. 13 in its Monthly Oil Market Report. ing demand, Saudi Aramco CEO Amin Nasser said Hilcorp looks to drill 17 wells Oct. 13. shift in outlook for oil market recovery. “There is a concern that we might end up with in the Milne Point unit in 2021 Nasser said demand is recovering from the a supply crunch over the mid to long term if this On Oct. 14 Hilcorp Alaska filed the 39th plan of development coronavirus pandemic slump. level of investment is not corrected looking for- for the North Slope Milne Point unit with Alaska’s Division of “The worst is definitely behind us,” Nasser ward,” Nasser said in remarks to the Energy Oil and Gas, for the period of Jan. 13, 2021, through Jan. 12, said. “We are seeing a recovery; most of the Intelligence Forum. 2022. demand comes from the developing countries. We Nasser’s remarks came as the International The company told the division that it anticipates drilling up to see a big pickup from East Asia — especially Energy Agency and the Organization of Petroleum 17 new wells, completing as many as 20 well workovers with the China.” Exporting Countries separately released revised ASRI rig, and undertaking six major facility projects during the projections which reflected an incremental bearish see OIL PRICES page 7 39th POD period, including polymer facility installation and startups at Moose Pad, I Pad and E Pad, as well as a fuel gas com- pressor installation and start-up and a G Pad replacement test sep- l GOVERNMENT arator installation. Other 39th POD projects might include, but are not limited to: see MILNE POINT page 4 Trudeau upends Alberta Irving Oil said to have abandoned Alberta to expand petrochemicals; federal government to ban single-use plastics

plans for Newfoundland refinery By GARY PARK gy by unveiling a plan Kenney There are those who think it’s time to re-label For Petroleum News suggested is aimed at tearing Newfoundland’s Come By Chance refinery to Come By down the Alberta oil and gas Slim/No Chance. n rolling out its long- sector. He said the result would In its 47-year history the facility, which has the capacity to Ipromised natural gas strate- be to cut off a major source of process 135,000 barrels per day of crude, has experienced a gy, the Alberta government revenue that could ease the wild roller-coaster existence. included a significant strategy impact of a soaring federal And that history shows no signs of turning around, despite to expand its plastic and petro- debt. a major boost in May when Irving Oil announced its intention chemical industry by attracting The result is likely to be a to buy North Atlantic Refining, the operating company, from what Premier Jason Kenney JASON KENNEY JUSTIN TRUDEAU feud between Canada and the United States investment firm Silverpeak and reopen the claimed would attract tens of Alberta over an issue that boils refinery. billions of dollars of investment. down to straws, cutlery, stir sticks, grocery bags and Siobahn Coady, at that time Newfoundland’s Natural “We think this could be a real ace in the hole for takeout containers. Resources Minister and now Finance Minister, said she had Alberta’s future,” he said. They are all part of Trudeau’s scheme to add Less than 24 hours later the Canadian government “single-use” plastics to a list of toxic items under see REFINERY PLANS page 9 of Prime Minister Justin Trudeau flattened that strate- see ALBERTA UPENDED page 10 2 PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 l FACILITIES West Susitna Access Project progresses Participants envisage the construction of a road that crosses the Susitna River, runs north to the north side of the Skwentna River

By ALAN BAILEY “We should have the phase two study completed by The Susitna sedimentary basin that underlies the end of this year,” Peterson said. For Petroleum News the valley is prospective for natural gas. he Alaska Industrial Development and Export Likely route TAuthority, the Matanuska-Susitna Borough and pri- there is some oil and gas potential in the region. As a consequence of work carried out so far, the vate partners are moving forward with the West Susitna Brad Sworts from the Capital Projects Department of likely route of an access road for the western valley Access Project, designed to develop road access to the the Matanuska-Susitna Borough said that since the 1980s would cross the Susitna River near the confluence of western part of the huge Susitna Valley in southern the borough has been working on a plan for access to the the Yentna River before running northwest, below the Alaska. The concept is to build an industrial road for borough’s western region and has established some nat- northeast sides of Mount Susitna and Little Mount access to resources in the region. The project targets a ural resource management areas in the region. Susitna, to the west of the Iditarod Trail. To the north wide range of different types of natural resource. The the route would cross the Skwentna River, before head- Susitna sedimentary basin that underlies the valley is Driven by private sector ing west along the north side of that river. The road prospective for natural gas. Peterson emphasized that the West Susitna Access would end at a point not far south of Rainy Pass in the Project will be “driven by the demands of the private Alaska Range. As envisaged, the road terminus would Roads to resources sector for resource development.” AIDEA and the bor- be located towards the southern end of the Yentna During an Oct. 8 presentation to the Alaska Support ough have partnered with Alaska Operations LLC, a Mining District. Industry Alliance, officials from AIDEA and the borough mining company with interests in the Yentna Mining Phase three of the project, if approved by AIDEA and reviewed the status of the project. Jesse Peterson, District, a prospective region straddling the Yentna and the borough, will involve some further fieldwork and AIDEA senior manager for financial asset management, Kahiltna rivers, running north from the Skwentna River, refinement of the engineering for a road route, Peterson said that the project has evolved from the state’s 2014 on the northwestern side of the Susitna Valley. said. This phase, anticipated to be completed by the end road to resources program. Phase one of the project, completed in the fall of 2019, of next year, would also involve the identification of “There’s incredible amounts of resources out west of involved the reconnaissance of potential road routes, to cultural and historic resources and figuring out appro- the Big Su (River) that could really benefit Alaskans view the terrain and assess route feasibility, Peterson said. priate mitigation measures. Phase three would also from responsible development,” Peterson said. A resulting memorandum with recommendations for fur- entail the identification and exploration of possible Resources in the western part of the valley include ther route exploration led to phase two this year, with the alternative routes, Peterson said. l copper, gold, silver, platinum and forestry. There is also objectives of assessing potential costs and conducting potential for agriculture; for geothermal and hydroelec- field work that can provide the underpinnings for Clean tric energy; and for recreation, Peterson said, adding that Water Act permit applications in the future. contents Petroleum News Alaska’s source for oil and gas news ON THE COVER ALTERNATIVE ENERGY The magic number 3 Igiugig sees successful hydrokinetics Two firms to drill a total of 3 ANS exploration wells, 7 possible In-river turbine generator undergoes its summer maintenance Oil shortage ahead? after 10 months of successfully generating power for village Aramco: supply crunch; IEA, OPEC pare recovery views EXPLORATION & PRODUCTION Trudeau upends Alberta 4 US rotary rig count up by 3, now at 269 Petrochemicals expanded; government to ban single-use plastics Oil Patch Insider: Alaska gets 4 new unit apps; FACILITIES NAPE Summit back! US icebreaker down 2 West Susitna Access Project progresses Hilcorp gets approvals for gas Participants envisage construction of road that crosses the production, unitization at Seaview Susitna River, runs north to north side of the Skwentna River Hilcorp looks to drill 17 wells in the Milne Point unit in 2021 907.522.9469 Irving Oil said to have abandoned plans for Newfoundland refinery PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 3 continued from page 1 approval of the Clark participating area In its Oct. 12 order AOGCC said: agree to unitization by the state, and those Hilcorp told the division the proposed “Hilcorp has neither requested Pool Rules who directly ratify the Seaview Unit SEAVIEW FIELD 640-acre PA, which encompasses the nor provided a pooling agreement regard- Agreement and Seaview Unit Operating Seaview 8 well, includes one DNR lease ing apportionment of the oil and gas to the Agreement.” Commission approved production from and various private leases, “as well as leases” as part of its application to place “The State’s evaluation of the subsur- Seaview No. 8, the field’s first gas well. various unleased private lands.” the Seaview 8 well on regular production. face geology supports the configuration Because some mineral rights owners have A listing of PA tracts and acreage of the unit area as proposed. DNR’s not committed to the unit, AOGCC is shows that Hilcorp has a 95.05% working Escrow required review of the geologic information sup- requiring Hilcorp to establish and pay interest in the acreage, while 4.95% of the “Hilcorp proposes to hold in suspense ports the inclusion of all tracts identified into an escrow account the royalties for acreage is uncommitted. 100% of the production royalties allocat- in the unit application within the pro- those mineral rights owners who haven’t The company said the PA “includes all ed to nonparticipating owners/landowners posed unit area,” Stokes said. signed leases with the company. land reasonably known to be underlain by and uncommitted tracts within the pro- In its initial unit plan of exploration, In its participating area, or PA, applica- hydrocarbons and known or reasonably posed Clark PA — without deduction of submitted as part of the unit application, tion, the company told the division that it estimated through use of geological, geo- any costs or expenses — until AOGCC Hilcorp proposed to bring Seaview 8 into has been actively exploring the Seaview physical, or engineering data to be capa- issues Pool Rules governing the Seaview production and then drill the Seaview 9 prospect for six years, “conducting seis- ble of producing or contributing to pro- Development Area and providing a means well. Stokes said the division approves mic, drilling stratigraphic well tests, and duction of hydrocarbons in paying quan- of allocating costs and expenses to the proposed POE through May 31, 2021, performing other confidential surveying tities.” unleased tracts,” the commission said. with the second POE or first plan of of the area.” “The proposed Clark PA boundary was “Hilcorp proposes to allocate produc- development due 60 days or 90 days, Hilcorp used what the division determined using all available exploration tion based on the DNR-approved Clark respectively, before the current plan described in its unit decision as an inno- data and well test data, and heavily rely- PA allocation schedule,” AOGCC said. expires. vative toolbox to map the Seaview area, An approved schedule for allocating ing on the stratigraphic well test data,” The commission said that in similar including airborne gravity gradiometry unitized production among the tracts is Hilcorp said. situations it has used escrow accounts and magnetic surveys, geologic field required, Stokes said, “ensuring correla- The Seaview 8 discovery well is on the “for unresolved royalty and ownership work, shallow logged stratigraphic test tive rights are protected. Unitized devel- Seaview Pad No. 1 on private landowner issues.” wells and 2D seismic. The company opment maximizes oil and gas recovery, surface and DNR-owned subsurface. It is requiring Hilcorp to establish an drilled the Seaview 8 exploratory well in promotes conservation, prevents waste, “The proposed PA includes the gov- escrow account for nonparticipating own- 2018, testing the well for gas in May and protects all parties of interest.” ernmental section where the Seaview No. ers/landowners and deposit, no later than 2019. “The State has approved for inclusion 8 discovery well is located,” Hilcorp said, the 10th day of each month, an amount “Seaview 8 encountered commercial in the Seaview Unit only those tracts that with information from the company’s equal to the total of nonparticipating own- quantities of gas in four zones in the Hilcorp either represents have been par- seven stratigraphic test wells “used to ers/landowners interest percentage, multi- Tyonek formation,” AOGCC said, and the tially or totally leased by Hilcorp or determine gas is present throughout the plied by production attributed to those company identified several additional whose owners have ratified the Seaview entire proposed Clark PA,” which parcels for the previous month times the prospective gas zones. Unit Agreement and Seaview Operating includes the Lower Sterling, Beluga and 12.5% royalty rate times the prevailing Agreement. This protects both the interest Tyonek reservoirs, depths between 350 value for Cook Inlet natural gas as pub- of Hilcorp and the private mineral and Multiple mineral owners and 5,500 feet total vertical depth as lished by the Alaska Department of royalty owners who have an interest in The Seaview prospect is at Anchor shown in the Seaview 8 well. Revenue. Point on the southern Kenai Peninsula production,” Stokes said. and in addition to DNR leases there are Commission’s order Seaview unit He said the company “provided evi- hundreds of small mineral rights owners dence of reasonable effort to obtain join- In a 2018 order AOGCC allowed tem- In the division’s decision on unitiza- der of any property party to the in the unit area. Of total unit acreage of porary production for “less than 15 calen- tion Stokes said Hilcorp has executed Agreement,” and said Hilcorp has suffi- 2,974.9 acres listed by Hilcorp, 86.7% of dar days” from the Seaview 8 exploratory leases with most of the landowners in the cient interest in the area “to give reason- the acreage, 2,597.3 acres, is held by well “in an Undefined Gas Pool within unit and those leases give Hilcorp the ably effective control of operations.” Hilcorp or individuals which have signed 1,500 feet of a property line where the right to seek unitization from the state. Tracts approved for inclusion, Stokes with Hilcorp. Mineral rights owners of owners and landowners are not the same Hilcorp proposed that the division said, “include only those covered by a the remaining 395.6 acres have not on both sides of the line,” but said Hilcorp commit all lands to the unit, including valid lease containing language that trans- signed. could not place Seaview 8 in regular pro- those held by owners with whom Hilcorp fers the right to unitize to Hilcorp, tracts In an Oct. 7 decision Division of Oil duction “absent prior written approval has not reached agreement on leases. with mineral owners which have ratified and Gas Director Tom Stokes said: “The from AOGCC.” “The Division does not have compul- the Seaview Unit Agreement, or State of Division finds that the formation of the In August, Hilcorp requested an sory powers, and can only compel a les- Alaska leases proposed for inclusion.” Seaview Unit promotes conservation of amendment to the 2018 order “to allow see of State lands to join a unit,” Stokes —KRISTEN NELSON all natural resources, promotes the pre- regular production of gas” from Seaview said, which means the division can only vention of economic and physical waste, 8. Hilcorp sent certified mail notices of approve a unit consisting of state lands, and provides for the protection of all par- the application to 118 owners, landown- “those who agree to become part of the ties of interest, including the State. … ers and operators “within 3,000 feet of unit by leasing with Hilcorp and therefore However, portions of the proposed unit Seaview 8,” AOGCC said. area have not ratified the Unit Agreement The commission public noticed the or Unit Operating agreement and cannot application and set a tentative hearing be included in the unit area.” date, but received no written comments, In an Oct. 12 order, AOGCC granted protests or requests for the hearing, which an application from Hilcorp for regular was vacated because of the lack of To advertise in Petroleum News, production of the Seaview 8 well, which request for a hearing and because infor- produces from an undefined as pool. mation from Hilcorp and AOGCC public contact Susan Crane records provided sufficient information at 907.770.5592 Participating area for the commission to make a decision, it petroleumnews.com In an Aug. 6 application to DNR for said.

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continued from page 1 outlined in the 38th POD: EXPLORATION & PRODUCTION •F Pad polymer facility installation MILNE POINT and start-up. •J and L pad polymer silo upgrade. •B Pad gas injection compressor US rotary rig count up by 3, now at 269 •LM2500 turbine overhaul comple- installation and start-up. The Baker Hughes U.S. rotary rig count was at 269 for the week ending Oct. 9, up tion. •V-5304 grid replacement. by three from 266 the previous week but down by 587 from 856 a year ago. •Portable heater for test separation. •S Pad test separator replacement. The count hit 244 the week of Aug. 14, the lowest it has been since the Houston •Solar Titan 130 power generator and •S Pad polymer engineering and pro- based oilfield services company began issuing a weekly U.S. rig count in 1944. associated infrastructure startup. curement. Prior to this year, the low was 404 rigs in May 2016. The count peaked at 4,530 •Moose Pad production segregation •Solar Titan 130 power generator engi- in 1981. from F&L Separation. neering and procurement. At the beginning of the year the count was in the low 790s, where it remained •L Pad PLC upgrade. •Diesel tank to slop oil tank conver- through mid-March, when it began to fall, dropping below what had been the historic sion. low in early May with a count of 374 and continu- Drilling candidates, and beyond During the remainder of the 38th POD ing to drop through the third week of August when Prior to this year, the low period, Hilcorp expects to complete up to Under the 39th POD period the 17 new it gained back 10 rigs. was 404 rigs in May eight additional workovers, as well as wells that Hilcorp anticipates include 14 I This week’s count includes 193 rigs targeting 2016. The count peaked drill five new wells, including two L Pad Pad Schrader Bluff wells (six injectors, oil, up four from the previous week and down 519 at 4,530 in 1981. Kuparuk injectors, one F Pad Kuparuk eight producers) and three J Pad Schrader from a year ago, 73 rigs targeting gas, down one injector sidetrack, one F Pad Kuparuk Bluff wells (two injectors, one producer). from the previous week and down 70 from a year producer sidetrack, and one I Pad The company is also evaluating the ago and three miscellaneous rigs, unchanged from the previous week and up two from Schrader Bluff producer. following possible long-term activities: a year ago. In addition, Hilcorp anticipates finish- •Future drilling opportunities both on Twenty-one of the holes were directional, 233 were horizontal and 15 were vertical. ing the following projects before the end undeveloped acreage in the northwest of the unit, particularly in the net profit Alaska count unchanged of the 38th POD period: •F Pad Kuparuk polymer pilot installa- share leases, and previously developed The rig count for Texas (116), which has the most active rigs in the country, was up tion and startup. acreage from I, H and S pads in the by three from the previous week, but down 304 from 420 a year ago. •I Pad electrical infrastructure Schrader Bluff PA. New Mexico (45) was up by one rig from the previous week. upgrade. •Continued expansion of polymer Pennsylvania (18) was down by one. •I Pad test separator upgrade. injection into the Schrader Bluff reservoir The rig counts in all other states remained changed from the previous week: Alaska •Installation of chemical storage tanks in horizontal well patterns beyond current (2), California (4), Colorado (5), Louisiana (40), North Dakota (10), Ohio (6), at B Pad. polymer injection pilots at J and L pads. Oklahoma (12), West Virginia (7) and Wyoming (1). •Pad expansion at E, S and Moose •Evaluation of continued performance Baker Hughes shows Alaska with two active rigs Oct. 10, unchanged from the pre- pads. from Ugnu horizontal producing well S- vious week and down by six from a year ago. 203 to help determine future Ugnu devel- The rig count in the nation’s most active basin, the Permian (130), was up by one Field production opment strategy. from the previous week. •Continue to evaluate infill drilling From Jan. 1 through Aug. 31 of this —KRISTEN NELSON opportunities in the Kuparuk sands via year the average daily production rate conventional and coiled tubing drilling. from the Milne Point unit was 32,407 bar- rels of oil per day. Hilcorp history in Alaska The unit consists of the Kuparuk reser- voir in the Kuparuk participating area, the A privately held independent, Hilcorp 3D laser scanning Schrader Bluff reservoir in the Schrader entered Alaska by acquiring a significant percentage of the producing Cook Inlet over0 engineering Bluff PA and the Sag River reservoir in 4 basin through two acquisitions in 2011 years surveying the Sag River PA. onthe slope Additionally, the Milne Point unit and 2012 — one from Union Oil Co. of includes the following tract operations: California and the other from Marathon FREE C-15A, S-90, C-23, K-33, MPS-37, Oil Corp. Call for a scanning demo today! Hilcorp was known for rejuvenating 907.274.5257 MPS-39, MPS-41, MPS-43, B-30, C-46 and S-203. aging oil fields, and it quickly pursued 801 West Fireweed Lane, Suite 201 Anchorage, AK 99503 | www.bellalaska.com that strategy in Cook Inlet. Its invest- 38th POD drilling to date ments yielded flat or growing production Hilcorp anticipated drilling up to 28 at oil and/or natural gas fields that had www.PetroleumNews.com new wells under the 38th POD from Jan. long been in decline. 13, 2020, through Jan. 12, 2021. To date The 2014 deal between Hilcorp and BP seemed like a perfect marriage. It Kay Cashman PUBLISHER & FOUNDER ADDRESS the company has drilled 19 new wells, P.O. Box 231647 including: allowed an eager newcomer to grow, and it allowed an established company to Mary Mack CEO & GENERAL MANAGER Anchorage, AK 99523-1647 •Moose Pad Schrader Bluff, four pro- ducers and three injectors. focus. NEWS Among other purchases, Hilcorp Kristen Nelson EDITOR-IN-CHIEF •L Pad Schrader Bluff, two producers 907.522.9469 and two injectors. became the operator and 50% working [email protected] Susan Crane ADVERTISING DIRECTOR interest owner of the Milne Point unit. •S Pad Schrader Bluff, one producer and one injector, The company devoted considerable CIRCULATION resources to Milne, just as it had done Heather Yates BOOKKEEPER 907.522.9469 •I Pad Schrader Bluff, two producers with its legacy Cook Inlet fields. [email protected] and three injectors. Marti Reeve SPECIAL PUBLICATIONS DIRECTOR •K Pad Kuparuk, one producer (a side- Drilling more wells in more places, ADVERTISING track). Hilcorp renewed the focus on Milne’s Steven Merritt PRODUCTION DIRECTOR Susan Crane • 907.770.5592 Hilcorp also expected to complete as viscous oil. And it commissioned a new [email protected] many as 20 workovers under the 38th drilling pad — Moose Pad. In the six Alan Bailey CONTRIBUTING WRITER POD. To date, it has completed 13 of years since the sale in 2014, BP and Petroleum News and its supplement, those workovers. Hilcorp as partners invested approximate- Petroleum Directory, are owned by ly $700 million with Hilcorp drilling Eric Lidji CONTRIBUTING WRITER Petroleum Newspapers of Alaska LLC. The newspaper is published 38th POD major projects more than 60 new wells. Gary Park CONTRIBUTING WRITER (CANADA) weekly. Several of the individuals The results have been dramatic. Milne listed above work for independent To date Hilcorp has completed the fol- companies that contract services to lowing major facility projects that were see MILNE POINT page 6 Steve Sutherlin CONTRIBUTING WRITER Petroleum Newspapers of Alaska LLC or are freelance writers.

Judy Patrick Photography CONTRACT PHOTOGRAPHER

Forrest Crane CONTRACT PHOTOGRAPHER

Renee Garbutt CIRCULATION MANAGER

OWNER: Petroleum Newspapers of Alaska LLC (PNA) Petroleum News (ISSN 1544-3612) • Vol. 25, No. 42 • Week of October 18, 2020 Published weekly. Address: 5441 Old Seward, #3, Anchorage, AK 99518 (Please mail ALL correspondence to: P.O. Box 231647 Anchorage, AK 99523-1647) Subscription prices in U.S. — $118.00 1 year, $216.00 2 years Canada — $206.00 1 year, $375.00 2 years Overseas (sent air mail) — $240.00 1 year, $436.00 2 years 6180 Electron Drive “Periodicals postage paid at Anchorage, AK 99502-9986.” Anchorage, AK 99518 POSTMASTER: Send address changes to Petroleum News, P.O. Box 231647 Anchorage, AK 99523-1647. www.alaskasteel.com PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 5

l ALTERNATIVE ENERGY Igiugig sees successful hydrokinetics In-river turbine generator undergoes its summer maintenance after 10 months of successfully generating power for the village

By ALAN BAILEY For Petroleum News

ollowing a full 10 months of successful operation, Fthe hydrokinetic power generation system for the village of Igiugig, near the western end of Lake Iliamna in southern Alaska, has undergone its summer mainte-

nance, Ocean Renewable Power Co., manufacturer of OCEAN RENEWABLE POWER CO. the system, announced Oct. 5. The system at Igiugig is now the longest operating water current energy convert- er in the United States — during its 10 months of opera- tion the underwater turbine that drives the system com- pleted more than 7 million revolutions, ORPC said. Underwater turbine The system involves the anchoring of an underwater turbine generator with helical shaped turbine blades to the bed of the fast-flowing Kvichak River. Igiugig is sit- uated adjacent to the river. The idea is to use hydrokinet- ic power from the river to displace the use of diesel gen- erators for power generation for the village. Following successful testing of a prototype system at ORPC Engineers at work during retrieval and maintenance of the RivGen turbine generator at Igiugig. Igiugig, in 2019 the Federal Energy Regulatory Commission issued a 10-year pilot project license to the tem has not uncovered any negative environmental With the recent purchase of our battery energy storage Igiugig Village Council. impacts or direct impacts on adult sockeye salmon, system, we are looking at the potential to go diesels off Phase 1 of the project has involved the installation of ORPC said. in 2021.” a single 52-foot-long, 35-kW RivGen turbine generator Lessons learned from the operation of the first “The valuable experience and training that our local in the river. Phase 2 would involve the installation of a RivGen device are being used in the design of a second workforce has gained through this project can’t be second RivGen unit. device that is being built for installation at Igiugig, the understated,” said Igiugig Village Council Vice company said. Challenging conditions President Karl Hill. “The Igiugig community now has “ORPC needed to prove the technology, and our vil- the capabilities to deploy and retrieve the RivGen device ORPC says that the first 10 months of operation of the lage needed to prove that it didn’t impact our fish with very little help from outside contractors. Our grow- system involved undergoing a mid-winter frazil ice resources, could survive our harsh environment, and be ing autonomy and skill set around operation and mainte- occurrence that subjected the system to mobile debris handled with equipment we have on hand,” said Igiugig nance of the system make the project much more cost without observed negative impacts. The system success- Village Council President AlexAnna Salmon following effective for us.” fully underwent spring breakup, with ice from Lake completion of the summer maintenance. “Together, what Iliamna flowing down the river. Monitoring of the sys- we’ve achieved to date is remarkable and worth sharing. see HYDROKINETICS page 9 WHATEVER WHENEVER WHEREVER

Creative photography for the oil & gas industry. judypatrickphotography.com 907. 258.4704 6 PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020

continued from page 4 The production increases at the MILNE POINT Milne Point unit are “an important milestone for the State Point was producing 18,400 barrels per of Alaska and Hilcorp,” Hilcorp day when Hilcorp took over the field in November 2014. By early 2020, produc- Energy Co. President Jason tion had reached 34,000 barrels per day Rebrook said in the first quarter with forecasts suggesting 40,000 barrels of this year. “By empowering our per day by year-end. employees closest to the wellhead, driving efficiencies, and Investing in technology innovating, we’re increasing Speaking to Petroleum News toward production at Milne Point and the end of 2019, a retired unnamed BP putting more oil in TAPS. Our Exploration (Alaska) executive pointed to goal is to apply these successes at the different management structures of the two companies as a source of change. Prudhoe Bay and beyond.” Hilcorp is thought to have roughly half the levels of management between low- investments have allowed Prudhoe opera- level employees and top executives com- tors to keep the field alive — it is still the pared to BP, which could lead to greater largest producing oil field in Alaska at investment in technology and equipment some 260,000 barrels per day. That’s at the Prudhoe Bay oil field, which Hilcorp 10,000-20,000 more barrels daily than it took over as operator on July 1. (The same was two years ago, David Wilkins, the top deal made Hilcorp the 100% owner of the Alaska executive at Hilcorp Alaska, said Milne Point unit.) Sept. 24. “That’s what Hilcorp did at the Milne The production increases at the Milne Point field when they took over from BP Point unit are “an important milestone for five years ago — they’ll go after the big the State of Alaska and Hilcorp,” Hilcorp prize at Prudhoe, which is viscous oil. … Energy Co. President Jason Rebrook said Lower operating costs … will mean more in the first quarter of this year. “By oil for Hilcorp and the other Prudhoe part- empowering our employees closest to the ners (ExxonMobil and ConocoPhillips), wellhead, driving efficiencies, and inno- but it will also mean more oil down TAPS vating, we’re increasing production at and more revenues for the State of Milne Point and putting more oil in TAPS. Alaska,” the former executive explained. Our goal is to apply these successes at As that comment suggests, the Prudhoe Prudhoe Bay and beyond.” Bay field has always been seen as a key- stone of the North Slope oil industry — Two rigs working at Milne and by obvious extension, the broader In the years since it first acquired assets economy of Alaska. from BP, Hilcorp has directed most of its Without the Prudhoe Bay unit, and by North Slope resources toward Milne Point, extension the trans-Alaska oil pipeline, the increasing activity, infrastructure and pro- Kuparuk River unit and the Colville River duction — and keeping two rigs working unit (Alpine), it is hard to imagine how any at the field, even through the COVID pan- of the smaller North Slope oil fields could demic. have been developed. While many of those The company’s work not only included fields would be considered elite properties increased attention to aging wells, Hilcorp if they were in the Lower 48, their position also increased grassroots drilling activities in the wilderness of Arctic Alaska and quickly announced new pad permit- SUPERIOR PUMPING & increased the cost of development, making ting efforts. With the new Moose Pad many uneconomic on their own. brought into production in just two years, In fact, even today, more than 60 years WELL TESTING SERVICES under budget and without incident, after the discovery of the Prudhoe Bay oil Hilcorp is advancing preliminary work for field and the expansion of infrastructure in a proposed Raven Pad and an expansion of several directions, many significant North littleredservices.com its existing S Pad. Slope oil fields remain stubbornly beyond —KAY CASHMAN the reach of economic development — at least as-of-yet. Major technological advances and

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This communication was paid for by OneALASKA - Vote No on 1, Anchorage, AK. Chantal Walsh, chair, approved this message. Top three contributors are BP Alaska, Anchorage, Alaska, ConocoPhillips Alaska, Anchorage, Alaska, 360-668-0280 I www.frostnw.com and ExxonMobil, Anchorage, Alaska. PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 7 continued from page 1 said. “The slower pace of energy demand growth puts downward pressure on oil and OIL PRICES gas prices compared with pre-crisis trajec- tories, although the large falls in invest- Aramco slashed its 2020 investment by ment in 2020 also increase the possibility $8 billion, versus 2019 spending of $25 bil- of future market volatility.” lion to $30 billion. Global energy investment this year is set OPEC trims growth projections to fall by 18%, the IEA said in its 2020 World Energy Outlook — released Oct. 13. Spot crude oil prices averaged sharply Global energy demand in 2020 is poised lower in September, after four consecutive to fall 5%, led by an 8% drop in oil demand months of gains, OPEC said Oct. 13 in its and a 7% drop in coal use, the agency said, Monthly Oil Market Report. adding that natural gas demand is set for a The decline reflected a softening recov- 3% drop and global electricity demand is ery of physical crude market fundamentals, expected to fall only 2%. bearish sentiment in the crude oil futures In its report, the IEA advanced a 10-year market amid new COVID-19 cases global- scenario in which COVID-19 is brought ly, and concerns about demand. under control and the global economy Moving with other benchmark crudes, rebounds to pre-crisis levels in 2021. the OPEC reference basket value softened An alternate “delayed recovery sce- in September by $3.65 to $41.54 per barrel, nario” reflects a prolonged pandemic with down by 8.1%. the economy returning to pre-crisis size in Hedge funds and other money managers 2023, under which the pandemic ushers in were less bullish on the oil price outlook in a decade with the lowest rate of energy September and were net sellers of about demand growth since the 1930s. 113 million barrels of crude in both Brent Pre-crisis, energy demand was projected and West Texas Intermediate, OPEC said, to grow by 12% between 2019 and 2030, adding that the Brent and WTI futures mar- but the projection now has fallen to 9%, kets moved into a steeper contango. and to only 4% in the delayed recovery sce- The expected recovery in transportation nario. fuel demand over the summer driving sea- In both scenarios, oil demand flattens son disappointed, requiring a downward out in the 2030s, but in a delayed recovery, demand revision to Europe and the an additional 4 million barrels per day Americas for the second half of 2020. comes out of the projections, holding total Better-than-expected data from China, demand under 100 million bpd. showing gains in industrial fuel use, “more Behavioral changes resulting from the than offset some of the losses seen in other pandemic cut both ways, the agency said. regions,” OPEC said. The longer the disruption, the more In 2021, the world oil demand forecast some changes become ingrained, such as was adjusted lower by 0.08 million from working from home or avoiding air travel, the previous month’s report due to the it said. However, oil consumption benefits slower economic growth projections. from a near-term aversion to public trans- The OPEC forecast for 2021 oil demand port, the popularity of SUVs and the growth is now 6.5 million bpd, with global delayed replacement of older, inefficient total demand estimated to reach 96.8 mil- vehicles. lion bpd. Absent a larger shift in policies, it is still All products are projected to see too early to foresee a rapid decline in oil growth, given the current year’s low demand, the IEA said, adding that rising demand levels, OPEC said. incomes in emerging market and develop- “Oil demand growth in 2021 is expected ing economies portend strong underlying to be capped by a number of factors, demand for mobility, offsetting reductions including the increase in teleworking and in oil use elsewhere. distance education; reduced international Oil use for cars peaks in both scenarios, business and leisure travel; efficiency gains due to continued improvements in fuel effi- in the transportation sector; oil substitution ciency and sales of electric cars, while oil policies in power generation; and reduced use for longer-distance freight and shipping fuel subsidies,” it said. varies according to the outlook for the On Oct. 13, Alaska North Slope, WTI and global economy and international trade, the Brent crudes climbed further into the lower agency said. $40s after recent forays into the upper $30s, Oil demand will increasingly depend on with ANS closing up 86 cents to $41.35 per its rising use as a feedstock in the petro- barrel. Brent continued upward in Oct. 14 chemical sector, it said. trading 98 cents to $43.43, and WTI rose “With demand in advanced economies 84 cents to $41.04. l on a declining trend, all of the increase comes from emerging market and develop- Contact Steve Sutherlin ing economies, led by India,” the agency at [email protected]

DDependaable Ser vicv e Sinc ce18e 1898 Visit www.SourdoughExpress.com 8 PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 continued from page 1 Unable to host working closely with the GRB we can’t wait to bring the energy of Summer NAPE as Convention Center and the Houston First NAPE to you! INSIDER planned, we adapted team to ensure we provide a safe and the original NAPE secure environment for our attendees. Engine fire takes out Prudhoe Bay, by Great Bear Petroleum concept — a central Numerous new safety provisions are being Ventures I and Great Bear Ventures II and only US icebreaker marketplace that added, such as: modifying the expo floor touring Arctic ’til 2021 Borealis Alaska, respectively (see story in brings buyers and to allow for 10-foot separation between PN’s Sept. 13 issue). Great Bear is owned sellers together — to each booth; implementing new sanitation THE ONLY U.S. ICEBREAKER by Pantheon Resources. an online platform, and disinfection measures; enhancing the patrolling the Arctic faces extensive • West Harrison Bay unit by Shell the NAPE Network. LE'ANN CALLIHAN registration process to enable faster badge repairs after an electrical fire on Aug. 18 Offshore Inc. in the shallow state waters of As we look ahead to pickup; and requiring temperature screen- that damaged the main propulsion system. the Beaufort Sea (see story in PN’s Sept. 6 2021, we are adapting NAPE once again. ings and face masks for entrance and The U.S. Coast Guard has not said how issue). Shell told the division it does not 2021 NAPE Summit will be a hybrid ensuring social distancing protocols are long the repairs will take but has said the intend to operate the unit’s 18 leases; rather event. We will host NAPE Summit in per- followed throughout the event. cutter is expected to be operational again it filed for a unit application to prevent the son at the George R. Brown Convention Although NAPE Summit may look dif- for its next Arctic patrol in 2021. leases from expiring, expecting to bring in Center in Houston and virtually on the ferent, our goal remains the same — to “Healy was 60 nautical miles off of a partner in 2021 to share the risks of NAPE Network. The in-person event will serve the industry by bringing profession- Seward, Alaska, en route to the Arctic exploration and possible development, and feature many of the NAPE staples — als together to connect and reconnect with when an electrical fire was reported at designating its partner as operator. exhibits booths, Prospect Preview industry colleagues, conduct business and 9:30 p.m. A fire team disconnected the —KAY CASHMAN Presentations, the Global Business help invigorate the industry and economy affected motor, and the fire was con- Conference, the NAPE Charities industry in the safest way possible. NAPE Summit firmed extinguished by 9:56 p.m.” The NAPE Summit is back — event and much more. The NAPE — in Houston and on the NAPE Network cause of the fire is currently unknown the in person and online! Network will allow virtual attendees to — will be the place to discover new service said in an Aug. 25 statement. livestream speaker events, browse the opportunities, gain insight from industry “Due to the fire, Healy’s starboard MESSAGE FROM LE’ANN Callihan, exhibit booths and prospects available at experts, form connections and make deals propulsion motor and shaft are no longer director of NAPE: NAPE, as well as chat online with other happen. operational.” There were no reported When we hosted NAPE Summit back attendees. All in-person attendees and We are excited to provide the flexibility injuries. in February, we had no idea what chal- exhibitors will also have access to the of a hybrid event and invite you to partici- The ship is sailing back to its home- lenges would lie ahead. Just a month post- NAPE Network. pate in all that NAPE Summit has to offer. port in Seattle for repairs. Summit, the entire world changed, and we The health and safety of all NAPE par- Registration opens Oct. 21. Whether On Oct. 13 ArcticToday reported that were all forced to face a “new normal.” ticipants is extremely important. We are you choose to attend in person or online, the previous week “the Coast Guard hauled out a 23-year-old engine, weighing 106 tons, from a storage facility in Baltimore. Next, a barge will carry the engine from the U.S. East Coast to the West Coast, traversing the Panama Canal.” “We don’t have an estimated time of repair yet; that will be negotiated with shipyard depending the exact scope of work,” NyxoLyno Cangemi, an assistant public affairs officer with the Coast Guard, told ArcticToday. The Healy, a medium duty icebreaker often used as a base for polar research, was commissioned in 2000 and is current- ly the only icebreaker in the U.S. fleet to regularly conduct Arctic patrols., with the only other Arctic icebreaker, the 42-year- old Polar Star, a heavy duty icebreaker, most often working to support the annual breakup and resupply of McMurdo. Congress approved a funding appropri- ation for the construction of a new heavy polar icebreaker for the U.S. Coast Guard, signed into law by President Donald Trump on Feb. 15, 2019. It included $655 million for the construction of the vessel. The appropriation followed the pas- sage in August 2019 of a national defense authorization act, authorizing among other things the construction of six heavy polar-class icebreakers for the Coast Guard. The new appropriation accounts for the first of these vessels. In addition, the appropriation includes another $20 million to cover the acquisition cost of CORPORATE COUNCIL ON Corporate Catalysts | $50,000+ long lead-time materials for the second of THE ENVIRONMENT ConocoPhillips Alaska Inc. the icebreakers. Construction of the first icebreaker IN ALASKA, These business leaders want Corporate Leaders | $25,000+ will begin in 2021 and could take three to ensure Alaska continues to BP years to finish. Trump’s budget request for fiscal year PEOPLE provide—not only for us, but Petroleum News for future generations. 2021, which began on Oct. 1 without an Corporate Partners | $10,000+ approved budget, included $555 million PROSPER in funding for a second new icebreaker. To join us visit nature.org/alaska Alaska Airlines and Horizon Air In February, Adm. Karl L. Schultz, commandant of the U.S. Coast Guard, AND THRIVE, natureconservancyalaska Corporate Members | $1,000+ announced plans for a third heavy ice- nature_ak ABR Inc. breaker as well as three medium breakers BECAUSE Alaska Wildland Adventures Inc. — but he did not provide a timeline. 715 L Street, Suite 100 Bristol Bay Native Corporation Schultz has also emphasized the lack Anchorage, Alaska 99501 of communications in the Arctic, NATURE Camp Denali and North Face Lodge 907-865-5700 ArcticToday reported. Photo: Heather Genovese/ Chugach Alaska Corporation In February, he said, “When Healy TNC Photo Contest 2019 PROVIDES Coeur d’Alene Mines Corporation sails this summer, it will do so, yet again, GCI without reliable communications for large Jacobs Engineering portions of its multi-month patrol.” Price Gregory International —KAY CASHMAN PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 9 continued from page 1 that the idled plant could close perma- and restarted by Petro-Canada in 1980. express interest in the refinery. In a June nently. In 1994, Vital Group acquired the letter to Coady, U.S.-based Origin REFINERY PLANS Newfoundland Industry, Energy and refinery and launched North Atlantic International said it intended to pursue a Technology Minister Andrew Parsons Refining as the operating company. deal, insisting it was ready to resume its been assured by Irving that Come By said Silverpeak was continuing to Ownership was bought for C$1.6 bil- bid for North Atlantic Refining, but has Chance would be a big part of Irving’s explore its options. lion in 2006 by Harvest Energy Trust, not been available for comment since future as owner of a refinery in Saint which survived for only three years when then. l John, New Brunswick, Canada’s largest He said his government, which had the reins were turned over to Korea crude processing facility at 360,000 bpd. relied on Come By Chance for 5% of its National Oil Corp. “Their intent is to ramp back up to full revenues, would give Silverpeak whatev- Irving Oil wasn’t the only company to operation,” she said. er support it could. Privately owned Irving said it had Frazer Russell, the mayor of “proudly served the people of Clarenville, a half-hour drive west of the Newfoundland and Labrador since 1950, refinery, said he was “shocked” by the continued from page 5 rapidly, potentially providing power for providing a secure supply of energy to its developments, while observing that the more than 100 million people and creat- customers across the province” and weeks of silence since the Irving deal HYDROKINETICS ing hundreds of thousands of new manu- intended to extend that role. was announced had made local people facturing, engineering and marine indus- It also raised hopes for crude produc- uneasy. Renewable energy potential try jobs. The technology can provide reli- ers in Western Canada saying it planned “We’re all scrambling for informa- “The success of Igiugig’s hydrokinetic able, baseload renewable energy, he said. to buy feedstock from them and “con- tion,” he said. turbine in the Kvichak River demon- In addition to the use of private invest- tribute to our long-time objective of help- strates MHK (marine hydrokinetic) tech- ment, the Igiugig hydrokinetic project is ing Canada be even more competitive in Facility opened in 1973 nology’s promise to make significant supported in part by funding to the Village the international landscape.” That has been the life story of the contributions to the renewable energy of Igiugig from the U.S. Department of facility since it opened in 1973 under mix,” commented Chris Rose, executive Energy’s Water Power Technology Office Deal collapses Shaheen Resources through a financing director of Renewable Energy Alaska and Office of Indian Energy Policy and Those high-flying goals lasted only arrangement that forced two premiers out Project. Programs, ORPC said. l until early October when sources told the of office. ORPC CEO Stuart Davies said that, Canadian Broadcasting Corp. that the The refinery closed in 1976 after with the appropriate support, the deploy- deal to sell the refinery had collapsed and Shaheen went bankrupt. It was purchased ment of MHK technology could grow Oil Patch Bits

Seward & Alaska Railroad awarded $20 million grant and throughout the state, while also expanding vital transportation services to a number of rural communities. We also can’t overstate the importance of this infrastructure to our As reported by the Alaska Congressional Delegation Oct. 9, U.S. Sens. Lisa Murkowski maritime security and Coast Guard operations, with Seward soon poised to host a new fast and Dan Sullivan, and Congressman Don Young, welcomed the announcement of a roughly response cutter, in addition to the fueling and maintenance work already conducted at this $19.78 million port infrastructure grant issued by the United States Maritime important port. Mayor Terry, the community and the railroad made a strong case for the Administration for the City of Seward and the Alaska Railroad Corp. to improve the freight wide-ranging benefits of this project, and we thank Secretary Chao for heeding the voices dock and corridor in Seward, Alaska. The Alaska congressional delegation wrote a letter to of Alaskans.” Secretary of Transportation Elaine Chao supporting the grant application in May. According to the grant announcement, the project will lengthen and widen the primary “This grant announcement by MARAD is an exciting development for the people of freight dock at the Port of Seward “to accommodate growing freight cargoes and minimize Seward and the industries that form the backbone of our economy, particularly fisheries operational conflicts between freight and cruise movements, both onshore and in the har- and tourism,” the delegation said. “An expanded and revitalized port at the southern tip of bor.” Additionally, the project will include a roadway connection between the dock and Alaska’s Railbelt will unleash new economic opportunities for Alaskans on the Peninsula Airport Road, facilitating the safe and efficient movement of passengers and cargo. Companies involved in Alaska’s oil and gas industry

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Armstrong HDR Engineering, Inc. Q-Z AT&T ICE Services, Inc. Raven Alaska – Jon Adler Avalon Development Inlet Energy Resource Development Council Inspirations ...... 3 SALA Remote Medics B-F Judy Patrick Photography ...... 5 Security Aviation Bombay Deluxe Little Red Services, Inc. (LRS) ...... 6 Shoreside Petroleum BrandSafway Services LONG Building Technologies Soloy Helicopters Brooks Range Supply Lounsbury & Associates Sourdough Express ...... 7 C & R Pipe and Steel Lynden Air Cargo Strategic Action Associates Calista Corp. Lynden Air Freight Summit ESP, A Halliburton Service Carlile Lynden Inc. Tanks-A-Lot ChampionX Lynden International The Local Pages Chosen Construction Lynden Logistics TOTE – Totem Ocean Trailer Express Colville Inc. Lynden Transport Weston Solutions Computing Alternatives M-W Drilling Wolfpack Land Co. CONAM Construction Maritime Helicopters All of the companies listed above advertise on a regular basis Cruz Construction Matson with Petroleum News 10 PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020

continued from page 1 A message from the publisher ALBERTA UPENDED

Online readers outnumber print readers more and more each year the Canadian Environmental Protection Dear readers, Another factor attracting readers to the electronic version is our Act, a designation that follows a scientif- We are required by the U.S. Postal Service to publish the following online archive, which contains more than 34,144 articles from 1998 to ic assessment that determined plastics are information as part of our periodical’s mailing permit. The numbers are today (does not include pre-1998 articles because Petroleum News was for print copies only and represent a fraction of our readers because not available online prior to that). harmful. the weekly Petroleum News and affiliated annual and semi-annual In addition to individual subscriptions, almost all Alaska oil and gas Trudeau would like Canadians to publications delivered with it — The Producers, The Explorers, and the explorers and producers with 10 employees or more have bulk online believe that his administration is taking Arctic Oil & Gas Directory — are largely distributed online (readership subscriptions to Petroleum News for their staff. Many pipeline, drilling of 8,073). and service and supply companies have followed suit, as have several bold steps on the global stage, but his The easy-to-read electronic version of weekly Petroleum News is local, state/province and federal government offices. Environment Minister Jonathan available the evening before the newspaper is printed and mailed via Wilkinson conceded his department had the U.S. Post Office — usually three days before the print copies reach Sincerely, readers. Kay Cashman looked to Europe for inspiration in devel- oping the plastic ban for implementation at the end of 2021. “To be honest, we’re not leading the world on this,” he said, in a rare moment of political candor. Alberta looked to petrochem revenues Having come to terms with the fact that Trudeau has no intention of helping a des- perate oil and gas sector Alberta decided its petrochemical sector could generate C$30 billion in annual revenues by 2030, of which one-third would come from cor- porate and personal income taxes, and cre- ate more than 90,000 direct and indirect jobs. In the process, Alberta hopes to use its proven strength in technological innova- tion and create a domestic plastic recy- cling system and become what Kenney believes could be a center for repurposing and recycling old plastic. Bob Masterson, chief executive officer of the Chemical Industry Association of Canada, said Wilkinson’s strategy does contain some positive news by supporting more recycling investment and “building a circular economy for plastic.” However, he said the ban on specific items is arbi- trary. He asked why the Canadian govern- ment would “want to ban (items) that can and are being recycled,” noting that the Trudeau Liberals are also stimulating investment in companies that recycle the same materials it aims to ban. “The inconsistency of that has to be seen as frustrating to businesses,” Masterson said, urging the federal govern- ment to concentrate more on national waste legislation. He said it will not be easy for Alberta to attain its goal of joining the world’s top 10 petrochemical producers, “but it is doable.” Wilkinson tried to downplay potential friction between the federal government and Alberta by noting that Alberta’s recov- ery plan puts a focus on plastic recycling. Alberta focus on ‘full life cycle’ approach Alberta Energy Minister Sonya Savage said her government’s focus is on a “full life cycle approach for plastics,” making a point that “we use plastics in every single thing we do, every minute of the day.” She said the Kenney administration is prepared to fight if the federal plastics strategy infringes on the province’s con- stitutional responsibilities or economic recovery plan. “One thing we know for sure is that we have a very robust petrochemical plan here in Alberta. It’s part of our natural gas strategy. It’s part of our need to recover as a province and create jobs and diversi- fy our economy,” said Savage, leaving little doubt that Alberta is bracing for a battle. Comments on the federal plan, out- lined in a 20-page discussion paper, will be accepted until Dec. 9, meaning the next two months will indicate whether the two governments are headed for a showdown. l PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 11 COURTESY PAT GALVIN PAT COURTESY

The Talitha 1 well will require a 7-mile ice road.

continued from page 1 sidered by XCD, Armstrong, and Oil Search, 88 Energy will be the first to con- EXPLORATION WELLS duct such a program on the North Slope. the Alaska Department of Natural Early production the goal Resources. The North Slope’s most active explor- Galvin said the Talitha 1 well will er, ConocoPhillips Alaska, could drill as require a 7-mile ice road from the Dalton many as four exploration wells this com- Highway west to the well location. ing winter, but the company put almost It will be followed by a development all of its North Slope investment plans on well at Great Bear Pantheon’s Alkaid hold until after the Nov. 3 vote on Ballot project, but the timing of Alkaid drilling Measure 1, which would increase the is subject to securing a farm-in partner. state’s severance tax by 150-300% A new Alkaid well has the potential to depending on the price of oil. be completed as a producer via the The ballot measure “is targeted specif- “installation of an Early Production Unit ically at Prudhoe, Kuparuk and Colville. facility,” Galvin earlier told Petroleum It is targeted at the backbone of industry. News in an email. If those three fields aren’t healthy nothing Alkaid, which has the advantage of is going to work very well,” being located along the Dalton Highway ConocoPhillips Alaska President Joe and trans-Alaska oil pipeline, factors that Marushack said in a recent presentation “could expedite low cost early produc- to the Alaska State Chamber. tion,” he said. In the previous winter of 2019-20, the The Talitha project contains “three company drilled three of its planned six mutually exclusive and independent geo- to seven exploration wells before it cut logical formations with different reser- the season short because of concerns for voir trap geometries, qualities and risk worker safety connected to COVID-19. profiles,” Galvin said. The three wells drilled were two Tinmiaq All three formations were penetrated wells near the company’s big Willow dis- and confirmed to be oil bearing in the covery and a rank exploration well in the Pipeline State No. 1 well drilled in 1988 Harpoon prospect. by ConocoPhillips Alaska predecessor ConocoPhillips had hoped to complete ARCO Alaska. The Talitha 1 well will up to three wells at Harpoon and four offset Pipeline State No. 1. Tinmiaq wells in the season. In late March 2020, Great Bear At the time the company had all its Pantheon announced that it had complet- permits to drill the additional three to four ed its analysis of the shallowest of these wells. three horizons, the “Shelf Margin Deltaic,” a Brookian aged reservoir, 88 targeting Nanushuk which it estimated to contain 1.8 billion barrels of oil in place with a P50 techni- The main target of 88 Energy’s two cally recoverable resource of 483 million wells is the prolific Nanushuk reservoir. barrels of oil. These numbers were “sig- The Harrier and Merlin prospects, nificantly higher” than pre-analysis where the wells will be drilled, are in expectation, Galvin said. XCD Energy’s 195,000-acre Peregrine The two deeper zones at Talitha, the block. On Jan. 21, 2020, XCD managing Brookian Slope Fan System and the director Dougal Ferguson told Petroleum Kuparuk “also offer significant poten- News that Merlin is considered a direct tial,” with the company due to complete analogy to ConocoPhillips’ Willow oil its analysis of the Kuparuk and provide discovery, while ConocoPhillips’ resource estimates “in the near future,” he Harpoon prospect “is interpreted to lie on said. the same sequence boundaries as the Great Bear has drilled three wells off Harrier prospect.” the Dalton Highway to date — two are Harrier and Merlin lie between the plugged and abandoned (Alcor 1 and Umiat oil field to the south and Willow Merak 1) and one well, Alkaid 1, is sus- and Harpoon to the north. pended. Opstad told PN that the Nanushuk can The Alcor and Merak wells were be reached at less than 5,000 feet in the drilled in 2012, Alkaid 1 was in 2015 and area, while a third prospect in the re-entered and flow tested in the 2018-19 Our mission is educating students AND teachers about Peregrine block, Harrier Deep, has a winter season. Torok objective at about 10,000 feet. It Alaska’s natural resources, their uses, how they’re extracted, The suspended Alkaid 1 well is some will not be drilled in the 2020-21 winter and careers associated with resource development. 2-1/2 miles west of the Dalton Highway season. and northwest of the Phecda Road Pad Arrange a “Lunch and Learn” program at your place of work The shallower Nanushuk wells, site. That well was drilled from an ice Harrier 1 and Merlin 1, do not require the or a one-on-one presentation to learn more about what we do. pad. use of a rotary rig, or an ice road that is Pantheon said after the well was flow needed to transport the heavier traditional Contact Ella at [email protected] tested in 2019 that it confirmed a new North Slope exploration rigs, allowing Brookian light oil discovery just west of or call (907) 276-5487 Accumulate to use a less expensive light- the Dalton Highway. The company now weight workover or coiled tubing rig that Visit us online at TM views the Phecda prospect as part of can be moved off-road in pieces by tun- www.akresource.org Alkaid. l dra-safe track vehicles on snow trails. Although the use of lightweight, portable rigs and snow roads was studied and con- ARE IS A 501(C)(3) NON-PROFIT ORG. AND YOUR DONATION IS TAX-DEDUCTIBLE. 12 PETROLEUM NEWS • WEEK OF OCTOBER 18, 2020 NEED TO STRETCH YOUR DOLLAR? Becoming a contracted advertiser To become a Petroleum News ‘contracted advertiser’ you simply have to agree to run 12 ads of any size over a 12-month period. In return we’ll give you this additional marketing exposure: BUSINESS SPOTLIGHT 20

PETROLEU M NEWS • WEEK OF JU LY 13, 2008

Cruz Constru ction, Inc. Busin Cruz Const ess S ruction i O p Exposure in the weekly Petroleum News e s a genera T otlig x l c perienced in ontractor O ht re H mote explorat Opti Staff large-scal ion suppor P ing Gr e heavy ci t and Y ou vil project S p logistic s.Its exte E Opti al capabil nsive T Staffing Gro ities R up get the is the prem E eq right U personn ier uipmen people el provi , full service N t wh and O d ere the er in the A y a C mark re n etp R Constructi eeded. Cruz ed on one principle lace. It was found on has be alone: - C 24 en design lyst Individuals T PETROLEUM NEWS • WEEK OF SEPTEMBER 20, 2015 “first re ated a 10 behind are th S sponder” -year the success e cata- E for the Alas and of any organiza R Emergenc ka Division o objectives tions goals R y Services f ,and therefore O due to t are F to mobiliz he company’s any organization the key asset th e statewide o ability possesses.Pl at Je n extremely sh the center of fo acing the individ ff Miller gradu ort notice. cus for Op ual at U ated from Or objectives ti Staffing Group’ niversity (con egon State and its intern s own struction eng maintain al employees’ ment, bus ineering mana ing this rega career goals, iness degree) ge- rding the asp Const and worked f candidates it irations of th Oil Patch Bits ruction three or Wilder represents,and e yea finding oper rs before joini between a client’ the right m • You make the List ation in 2004. ng the Cruz s organizatio atch J tw eff and wife M ple it hires, has nal goals and the o daughters a onica have J led to a hig peo- nd a son; dad eff Miller, se other person her rate of success Each MiHow2 video is filmed in a workshop or appropriate off-site setting and features coaching th has great fun nior project m nel providers than Schaeffler centers in on bearing replacement in video eir athletic tea anager Staffin and embodies quent w ms. He also lo g Group’s motto: Opti Avo Motion Industries’ energetic and knowledgeable host, Tom Clark. intertime prat ves working a “Our success nly Lokan,fo falls provide g nd playing ou Founded by is determin under Motion Industries, a lead- reat entertain tdoors, and h Avonly Lokan, ed by your success!” The series is also available for viewing via Facebook and YouTube. Additional MiHow2 ment to bysta is fre- daughter, this a long time Ancho nders. way of doing rage residen ing distributor of industrial success business has t along with and Tom’s Toolbox videos are scheduled to be posted in coming weeks. For more informa- rates in the Pacific led to the expansio her husband an —PAULA staffin Northwest n of this d • Your employees are spotlighted maintenance, repair and EASLEY g and the role and continues business model tion visit www.motionindustries.com. individuals to challenge and its play within the traditional thin operation replacement parts, employment arena. king about is pleased to announce the Y-Tech Services Inc. awarded DLM contract Comp —PAULA EASLEY release of another MiHow2 anies involv video. The goal of the video Y- Te ch Services Inc., a subsidiary of Yu lista Holding LLC, has been awarded the MH-60T and nort ed in Alaska • Your news gets in Oil Patch Bits series is to provide instruc- rotary wing aircraft depot level maintenance support services contract for the United hern Canada ADVERTISER tion to viewers to help them INDUSTRIES MOTION COURTESY ’s States Coast Guard. Y- Te ch Services will support the USCG Aviation Logistics Center PAGE oil a AD APPEARS nd g with their practical applica- Medium Range Recovery product line and other support divisions such as the ALC’s indus- ADVERTISER as industr ACE A y Air Cargo Del PAGE tions. trial operations division by providing a full range of DLM services including, Aircraft disas- ta Leasing AD APPEARS Air Liquide ADVERTISE ...... Delta P Pump R Th e video shows how to sembly and component repair and support. The MH-60T mission includes search and res- Air ...... and Leasi Logistics of ...... Dowl ng Natco PAGE AD avoid jamming the bearing at Alaska ...... 19 and-Bach Cor Canada APPEARS cue, combat support, law enforcement, international ice patrol, marine environmental pro- Airport Equi p. Nat pment Doyon Drilli ure Conservancy one end when replacing Al ng ,The . . . tection, and marine resource conservation. Y- Tech Services will perform DLM for approxi- aska Air Cargo Doyon NEI Flui ...... LTD d Technology ...... bearings in a pillow block housing. “How to Maintain Bearing and Pillow Block Centers Alaska Anal NMS . .18 mately 14 aircraft annually ensuring continued mission performance. ytical Labor Doyon Univer Employee Alaska atory ...... sal Services Leasing When Replacing Bearings” was filmed with the help of Schaeffler, a ke y Motion Industries Anvil ...... EEIS ...... Nordic Cali Y- Te ch is fulfilling the U. S. Coast Guard’s continuing requirement for aircraft mainte- ...... 15 Consulting Engi ...... sta Alaska Comput ...... neers ...... 3 Nor OIL PATCH BITS er Brok ...... Egli Air Haul th Slope Tel supplier. The video can now be viewed on the new MiHow2.com under the MiHow2 head- nance at the USCG ALC in Elizabeth City, North Carolina. ers ...... 3 ecom . . . Alaska Cover ...... Engi Nort ...... all ...... 21 neered Fir h Star Equipment ...... ing. Alaska ...... e and Safety Services ...... 7 Dreams ...... ENSR Al North Star (NSES) ...... 8 aska . . . . . Terminal & Stevedor “Equipment efficiency starts with proper installation of parts,” said Randy Breaux, Editor’s note: All of these news items — some in expanded form — will appear in Alaska Front ...... Nort e (NSTS) ier Construct Epoch Well Servi ...... hern Air Car Alaska ors ces ...... 21 go ...... Motion Industries’ senior vice president, southern U. S. operations, corporate marketing and the next Arctic Oil & Gas Directory, a full color magazine that serves as a marketing Interstate Equipment Northern ...... Construction Source Transportati ...... tool for Petroleum News’ contracted advertisers. The next edition will be released in Alaska Mari (AIC) Inc. Nor on Co. . . .7 strategic planning. “Proper bearing installation also cuts down on frustration levels as ne Lines . . ESS Support thland Wood Alaska ...... Services Wor Products March. Railroad ...... Evergreen ldwide Northwest well.” Corp...... 24 Helicopter Technical Ser Alaska Regi s of Alaska Off vices onal Counci Fairweather shore Divers . Alas l of Carpenter Companies, The ...... ka Rubber & s (ARCC) Flowl ...... Oilfield ...... Supply ine Alaska ...... Improvements ...... Alaska Steel . . . . .11 Opt . . .4 Co. Foundex i Staffing Group Alaska Tel P ecom Friends of P .A. Lawrence Al ets ...... aska Tent & Front ...... Panalpi Tar p ier Flying Ser ...... na ...... Companies involved in Alaska Alaska vice ...... 7 ...... Text PDC . . . . iles Harris Group ...... Alaska ...... 16 West Expr Peak Civi ...... ess ...... l Technologies ...... Alliance, The ...... G Peak . .8 ...... -M Oilfield Ser Ameri .24 vice Co. . . can Mari GBR Penco ...... and northern Canada’s oil and gas industry ne ...... Equipment ...... American Ti ...... Petr ...... 14 re Corp...... 16 GCI oleum Equipment ...... Amer & Services ...... 16 i-Tech Building Great Nort Petrotechni Systems hern Engineeri cal Resources ADVERTISER PAGE AD APPEARS ADVERTISER PAGE AD APPEARS ADVERTISER PAGE AD APPEARSArctic Control GPS ng PGS of Alaska . . . s ...... Environmental Onshore ...... Arcti ...... 2 c Foundations ...... Hawk Consul Prudhoe Bay . . . . .16 tants . Shop & Stor Delta Leasing ...... 27 Arctic Slope ...... PTI age Telephone H.C. Price ...... Group A N-P Arcti Assoc. Co-op...... 4 c Structures Heating DET-TRONICS & Ventilation ABR Nabors Alaska Drilling Arctic Wire Rope Hol Sales & Supply aday-Parks Dowland-Bach Corp. ASRC Energy Indus AECOM Environment ...... 4 Nalco Services trial Project ASRC Services Q Doyon Anvil ...... 21 Energy Ser Inspirations -Z vices Alaska ...... aeSolutions ...... 6 NANA WorleyParsons ASRC Ener Jack ...... QUADCO gy Services ovich Industr ...... Doyon Drilling Aurora Houston Cont ial & Constructi ...... 8 Nature Conservancy, The Geosciences racting (HCC) Judy Patri on Supply Rain for Rent Air Liquide ...... 19 ck Photography ...... Avalon Devel Kenai .14 Salt + Light Doyon, Limited opment Aviation Creati NEI Fluid Technology ve ...... Alaska Clean Seas (ACS) Kenwor Schlumberger ...... Doyon Universal Services th Alaska ...... 19 Nordic Calista King Street Seekins Ford Al k D B Storage ...... -F Kuukpi Shaw ...... k Arctic Servi Alaska ...... Badger ces ...... 17 Productions Kuukpik Spenard Bui ...... - LCMF lders Supply ...... Baker Hughes LaBodega STEELFAB 6 Bombay Deluxe Li 3M Al Restaurant ster Industries aska BP Explorati Lounsbur Tai ga on (Alaska) y & Associ Ventures Brooks Range ates Tire Supply . . Lynden Air Car Distribution Cali ...... go ...... Systems (TDS) sta Corp...... Lynden ...... Total Safety ...... 23 Air Freight ...... U.S. Inc. Canadian ...... 24 T Mat Systems Lynden Inc...... OTE Capi (Alaska) ...... 24 tal Office Syst Lynden Int ...... Totem Equi ems ernational ...... pment & Carlile T ...... 24 Supply ransportation Lynden Logi ...... TTT Environmental CGG V Services stics ...... eritas . Lynden ...... 24 Tubular ...... Transpor ...... Solutions Al CH2M ...... t ...... 24 aska HILL ...... Mapmaker ...... Tutka . . . . .5 s of Alaska ...... Colville MAPP . .24 Udel A Testlab hoven Oilfield COMPANY LIST CONAM Systems Servi Cons Unique ces truction Marathon Oil Machine ConocoPhillips Mark Univar Alaska . . . . . eting Solutions USA Construc ...... URS tion Machinery ...... M-I Swaco Corp. Exposure in the semiannual Arctic Oil & Gas Directory Cosco Industrial . .10 Fire Protecti MRO Sal Usibelli on es ...... Crowley Al ...... U. aska ...... S. Bearings and Cruz ...... 8 Drives Construction Victaulic N Wester -P nGeco ...... Nabors Weston Sol ...... Alaska Dril utions ...... ling ...... XT . .15 NANA/Colt ...... O Energy Engineering ...... 13

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AIRCOM where he textbook  OR ITEWWWEGLI de c Institute arge geology 0HONE  7EBS we perform a wi Polytechni Science Man- st AK b to life, encour Alaska  ing e est   Serving Alaska since 1982, Engineer new ces’ new aging high Advertising &AX AIRCOM ncluding helicop- • Your news gets featured e in oject Servi from the school KY ALASKA ter of Scienc tified pr y Marine North Slope students % MAILJOESAMUDOVS variety of flight operations, i , and spe- n, he is a cer ivered Harle iuliuk Bay to pur CARGOCOM , aerial survey In additio s of has del 8-inch Il sue STEM BSITEWWWALASKA aces, ter and airplane charter work, agement. with 15 year Vigor Fab by 15-foot degrees 7E ore pl sional ASSER by 70-foot big island, Hiking cal Pages Award winning cargo services to m cialized operations such as externalming load and profes ior to his STEVE G 250-foot meaning on the Matanus The Lo E , and aintenance, aerial fil management ience. Pr vessel, the Aleut name Arto ka Glacier, 2012. 2013 IA%ARHART$R3T ore often, with more lift to, from powerline m exper iuk Bay, an vice provided ctic Slope Regional Corporat GeoFORCE Ala !MEL m . ect management projects, en- and barge. Iliul ity of ser ion (AS ska sponsors: AKE#ITY 54 within the state of Alaska. videography proj nager of cation, deck qual Construction, Great Bear Petr RC), ASRC Energ 3ALT, LACKBURN -ARKET er was ma ement, fabri t to enhance oleu y Services, GRANITE #ONTACT+INDSEY" role, Gass ng, procur buil aska. berger, Shell, m, ExxonMobil, Ol #ONTACT M ice Inc. ir Ventures new ineeri 08. was purpose king in Al . Statoil, and goonik, Schlu A ountain Air Serv Last Frontier A S R ger, and eng since 20 and wor h Harbor more olstenXP. Please m- ING!SSISTANT Bald M  na infor conta G (WY neering ma en with AES s living v. 3 in Dutc mation on how you ct GeoFORCE Ala  EX  .'LENN • Company photos promote gi . He has be customer service No that can can help fund the ska for 0HONE 0/"OX manager y entered workhorse student exper   3UTTON !+ truction uliuk Ba lexible ience. X   PRO (OMER !+ RATIONS ER cons Ili ovides a f serve &A AGESNET ER $IRECTOROF/PE $AVE+ING OWN design pr cargo to ILTHALL THELOCALP #ONTACT'ARY0ORT #ONTACT unique other %MA RCE /UTSIDE3ALES   Her s and ACT+IM"OGDEN E   0HONE een container s. !LASKA#ONT FO R 0HON witch betw customer A2EGIONAL-ANAGE   &AX   y s s !LAEO SK the easil ey Marine’ Dutch -ANAGER &AX AINAIRCOM ER ,&!6COM illie to lead of Harl o between   OORDINATOR BALDMOUNT % MAILHELICOPT  F G C nita McG diverse needs ety of carg 0HONE Phone %MAIL RCOM    ired A the vari A The Best AINAI "ASE McGillie joins GlobalInc. h Divingas h & Salvagea Inc.sed in t a wide aking ITEWWWBALDMOUNT off air- !NCHORAGE & Salvage manager. B l transpor TLP is dedicated to m arily on smaller 7EBS ,&!6COM bal Diving resources She wil nds. own. We focus prim ountain Air Service specializes in 7EBSITEWWW ineral ex- Glo as human ing isla ultants and Book in T Bald M ng mining, oil & gas ide for m your business p ghbor ces Grou and nei itime Cons TESY U - Helicopter support statew ent, an Resour Seattle, Harbor Jensen Mar es communities,R providing personalized, in-depth port operations supporti. Twin and single tur , research and developm Hum ers in gned by , Ore., hous U ploration, survey sup- rate headquart barge, desi in Portland information specific to each coverage area. exploration and tourism projects, telecom lobal’s corpo g’s Human The and Shipyard to se- CO ered DeHavilland Otters. slung cargo, video/film G Global Divin s Swan Isl ane, D rings S bine pow direct at Vigor’ awler cr O ort port, tours, crew transport, heli skiing. Short e will of HR built es cr T pp Wash., sh evelopment Vicon Seri and eight r Passenger/Charter & Su contracts. up in the d towoc 4100 three high Ai Egli Air Haul and long term Gro any- to PHO supplement ources g comp a Mani ners up as A biannual Res ce, ongoin contai cargo such 0/"OX complian EO 40-foot ocean for other  c. licies and ead the E cure e and aft ska Air Cargo +ING3ALMON !+ Lynden In po rts, spearh running for equipment. Ala RINE,INES ment effo ster ng bars general ir Cargo ONTACT3AM%GLI !LASKA-A • You’re included in the ide recruit as admini lashi hinery or Horizon A # T%XPRESS w s as well ruction mac 3%!&:    !LASKA7ES Vol. 20, No.2 program const 0/"OX 0HONE d diversity ms. heavy   October 2015 an fit progra TLE 7! &AX oyee bene the Uni- 3EAT $IRECTOROF3ALES al’s empl om the ations at *OE3AMUDOVSKY Glob bal Diving fr ic communic #ONTACT joins Glo ess and sm and publ helor of Arts McGillie nting busin died journali ceived a Bac mmercial pri per. He stu where he re writing media and co or for a com- a Anchorage, nt journalism, he HR direct sity of Alask round in pri de eviously t s, and op- ver s a backg and outsi ...... 39 was pr employee and ha e Press ...... buyer’s guide o 1,100 MCGILLIE in 2001, Anchorag ne Maintenance t had up t ANITA degree les for the ...... 30 Pipeli ...... 39 pany tha U.S. ures artic Categories in...... this...... directory ...... the at . . . . ng tes across ous fe l 16 Fire Protection ...... 30 Plumbi ...... 39 in five sta to the numer the Schoo ...... ation ...... erated add Anita all phases jects. ectors for ng ...... Freight/Shipping & Cargo . . . .30 Power Gener ...... 40 xcited to ience in elance pro rd of dir Advertisi ...... 16 ...... are very e rs of exper fre on the boa er & Support . . . . ing Services ...... Process Equipment ...... 40 “We r 13 yea gement, ly serves Air Passenger/Chart ...... 17 Fuel ...... 31 ...... brings ove yee Enga He current y Inc...... lfield Supplies ...... Procurement Services . . .40 amily. She its, Emplo - Identit Arctic Engineering ...... 17 General Oi ...... 31 ...... Global f ng Benef icy Devel nership and ...... ogical Services . . . Management ...... es, includi , and Pol iness Part ic Gear ...... Geophysical & Geol ...... 31 Project ...... 40 Resourc nagement Bus Arct ...... 17 ...... of Human nce Ma Sales/ Bulk Diesel Heat Treating — Metal . . .32 Recycling Waste Management ...... 41 ng, Performa Aviation Fuel ...... 18 ces ...... Trai ni Yeung...... Contract/Charter Servi Reporting Software ...... 41 Management Trinity Ng- Bearings ...... 18 Helicopter ...... 32 ...... President ...... ic & Industrial . . . . . gging Supplies ...... 41 said Vice ion idges ...... 18 Hoses, Hydraul ...... 32 Ri ...... LISTINGS SECTION ,” ruct Br ...... ies opment ign, const ...... Safety Equipment & Suppl . . .41 ulting, des Buildings – Modular . . . .18 Hotels ...... 32 ...... CH2M HILL announcesce cClemenzons promotiong en- ...... ty ...... al full-servi ly growin , Catering & Lodging Industrial Gases ...... 32 Securi ...... 41 ILL, a glob f its rapid Camps ...... 19 y ...... cal ...... CH2M H as part o nz to Lecture at the cations . . . . . Industrial Parts & Suppl . . .33 Seismic & Geophysi ...... 42 nnounced Cleme Grand Canyon Cellular Communi ...... 19 ...... Space ...... mercial s firm, a on of Bryan lar . The geolo ...... on Services ...... Shops & Storage ...... 42 GCI welcomes Harrierm as com d operation promoti e . Students use gy of Alaska and the Lower Chemicals ...... 19 Inspecti ...... 33 ...... to its tea an tfolio the t Alaska, th many science disci 48 is ...... on Systems ...... l Stabilization ...... 42 J.J. Harrier l market- cals por lopmen ting excited about plines to unravel spectacu- Chemical Analytical Lab . . .19 Instrumentati ...... 34 Soi ...... elcomed mmercia y and chemi oject Deve science and geological puzzle ...... ication ...... ecently w ee the co erg m and Pr thems mathematics s, while get- Waste . . . Laboratory Services ...... 34 Steel Fabr ...... 42 GCI r help overs t of Progra Group. elves in a STEM f , and envisionin Civil & Hazardous ...... 19 ...... r. He will presiden Business y ield. g a place for ic & Export ...... Services ...... 34 Steel Sales ...... 43 manage ions vice Chemicals industr Coal-Domest ...... 20 Legal ...... marketing ublic relat rgy and petroleum ...... Surveying & Mapping . . . .43 cluding p pany’s Ene ars in the Commercial Diving ...... 20 Logistics ...... 35 ...... tment, in com- com er 27 ye acity in ...... Portable & Stationary Fabrication ...... ing depar large tele served ov adership cap cations ...... 20 Machining — ...... 35 Tank ...... 43 ns for the lemenz has eering le Communi ials ...... Equipment & Sales . . nicatio C n an engin tration for ion Equipment & Mater Maintenance ...... 35 Tel ephone ...... 43 and commu HILL i ing regis Construct ...... 21 ...... onnel Services ...... ny. oined CH2M l engineer - ect Management . . Consulting . Temporary Pers ...... 43 ns compa pres- and j ofessiona us leader Construction Proj ...... 21 Management ...... 35 ...... unicatio r was vice ains his pr in vario ...... Tire Sales & Service . . . .44 m , Harrie He maint has served ing Consulting ...... 22 Maps ...... 35 ...... joining GCI he 2007. olina and engineer ...... & Construction ...... ater NDT & Photography Prior to ctor for t South Car including ractor – General . . . . Marine Services ...... 36 Underw ...... 44 ations dire laska and l career Cont ...... 23 ...... Welding ...... mmunic e he both A ofessiona elopment – Pipeline ...... Systems ...... 36 Underwater ...... 44 ent and co ce, wher his pr oject dev Contractor ...... 23 Mat ion ...... /Repair ...... id Commer es throughout s and pr - ...... cal & Electrical Inspect Vehicle Sales/Rental . . . . .44 mber of ship rol and busines ional Soci Control Systems ...... 23 Mechani ...... 36 Service ...... rage Cha manager, Internat ...... ces ...... Contract & Charter 44 Ancho 008. r, program dent of the Analysis . . . . .23 Medical Servi ...... 36 Vessel ...... ed since 2 the manage as presi the Gov- Draw Corrosion ...... ons ...... Wastewater Treatment s employ ible for y he serves of ing the fea- etion Products Meetings & Conventi ...... 36 Water & ...... 44 wa as respons . Currentl active member Drilling & Compl ...... 24 ...... ty, he w manager tion, is an ka tures of Chec l Services ...... Distributors . . . . .36 Welding ...... 45 In this capaci branding, Alaska Sec the Alas ker- Drilling & Wel ...... 24 Metal ...... uring ...... and event omation ttee for board Me ...... Weld Repairs/Manufact . . . . .45 program r- ety of Aut ations commi Univer- sa at Electrical ...... 24 Mining ...... 37 ...... nization’s ons and o try Rel ir on the Zion Nat ...... ons ...... Rope ...... orga publicati fairs Indus s vice cha ional Park, oyee Services . . . . . 25 Moving & Relocati ...... 37 Wire nications, ernment Af serves a Advisory Empl ...... a commu ay” fo- RRIER liance, and Mining Utah. Employee ces ...... Mud & Mud Logging . . . .37 medi ke it Mond J.J. HA upport Al ring and s Energy Servi ...... 25 ...... eekly “Ma ndustry S e of Enginee from vices ...... d Services ...... ing the w di- I Colleg sponsoring Engineering Ser ...... 26 Oilfiel ...... 39 AS COMPANIES ganiz features e a Fairbanks ng ...... cal Services ...... OIL & G . .45 rrier was ty of Alask companies acco Environmental Engineeri . . .26 On-Site Medi ...... 39 ...... er, Ha a- si m- eanup ...... rums. Chamb y newsp pany the Response & Cl Permitting ...... 39 Operators the Anchorage ice-weekl students Environmental ...... 28 ...... joining Valley’s thr on the tr Supplies ...... aphy ...... 39 Before Mat-Su ip, help- Environmental ...... 28 Photogr ogy ...... ersman, the Hauling ...... tings & Thread Technol the Fronti ing the student Equipment & Heavy ...... 28 Pipe, Fit tor for s ...... grasp geological Equipment Sales/Rental concepts, and serv- ing as mentors for the interested young scientists. NEWS ITEMS

PHOTO FEATURES

Hats off to ConocoPhillips! *VUNYH[\SH[ PVUZVWLYH[VY*VU HUKWH VJV7OPSSPWZ(SHZRH Y[ULYZ)7HUK*OL oil ]YVUVU[OLZ[HY[\ production from your WVM Shark Tooth discovery at Kuparuk Drill Site 2S. Brought in under HUKHOLHKV budget MZJOLK\SLP[PZ[O at Kuparuk LÄYZ[UL^KYPSSZP[L in more than 12 years [VHKK and is expected IHYYLSZVMV pr PSWLYKH`H[WLHR oduction. The $475 million project created Mr. Quarles,QVIZK\YPUNJV about UZ[Y\J[PVU^P[O contractor companies U\TLYV\Z to Alaska! and trades involved. welcome n Joe Maru so shack, pres t Thom ident ConocoPhillips orea to Poin Alaska alift from K ABR Exposure in co-op ads for your customers essful se n a succ AECO ctionD ET-TRON lations o M Environmwen tAlaska produ ICS Congratu 998, is the ne D NEI Flu ployee since 1AES Electric S t in theo wland-Bach Cor id Technology n ExxonMobil em enupp alyn assignmen p. , Texas, and a n, waheoSo hluatios tak Doyon Anvil Nordic Calista native of Houston d Karen Hagedor ns O:SVWLÄLSK ry Quarles, a ving succeede A KH[[OL5VY[ Doyon North Slop Co roduction Co., ha [;OVTZirVU LiquHidYYeP]L rtup Drilling e Telecom ExxonMobil P TVK\SLZMVY7VPU production sta Nort manager for OLWYVJLZZPUN Alasxkoan CMleoanbil says +V`VU3PTP[LK h Star Equipment VIPS»ZZLHSPM[VM[ ield operator Ex Seas (ACS) Services (NSES) NKVT,__VU4 s from Korea. F Alask Doyon Un Northern Air Ca LZ CH2M Lynden Air Freig Delta Leasing UIC Desig lco [VU:VS\[PVUZ0UJ CO-OP ADVERTISEMENTS pport Services Inc. Gas Su NAN CHI Aviation Lynden UIC Oil and A WorleyParsons uctures ternational Unique Machine arSpan Fabric Str Lynden In Cle s ibelli CN Rail Lynden Logistic Us port erizon Colville Inc. Lynden Trans V atives c Alaska Vigor Alaska Computing Altern MagTe tion rs of Alaska ION Investments CONAM Construc Mapmake V b roducts Inc. oPhillips Alaska MAPPA Testla Volant P Conoc s, Inc. inery Industrial e Helicopters Weston Solution onstruction Mach Maritim C ustries Cook Inlet Energy Motion Ind Crowley Solutions 9

. 20, No. 1 ECTORY • Vol OIL & GAS DIR ARCTIC COMPANY PROFILES Fugro — ‘Down to Earth’

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