ANCHORAGE, Alaska – ConocoPhillips Alaska Inc. today announced that the Greater Mooses Tooth #1 (GMT1) development in the National Petroleum Reserve Alaska (NPRA) has been approved for funding. Production from GMT1 is expected to come online in late 2018 with approximately 30,000 barrels of oil per day (BOD) gross at peak production.
“GMT1 is expected to cost approximately $900 million gross and follows our recent successful completion of the CD5 project,” said Joe Marushack, president of ConocoPhillips Alaska. “We are pleased to have been able to work through key permitting issues with the Corps of Engineers and BLM that now allows us to move into the development phase.”
The GMT1 project received its permit to drill from the BLM on October 22, 2015, and the Corps of Engineers 404 permit on January 16, 2015. The development will include a new gravel pad, a 7.7 mile road, facilities and pipelines. GMT1 will have nine wells to start and capacity for up to 33 wells. Oil will be processed through the existing Alpine Central Facility. Construction will begin in early 2017 and continue into 2018, with first oil planned for late that year. The number of construction jobs during each of two winter seasons is estimated to peak at approximately 700, plus hundreds more support jobs.
ConocoPhillips in October brought new oil on stream through Alpine drill site CD5 and Kuparuk Drill Site 2S. Approval for viscous oil development at Drill Site 1H North East West Sak (NEWS) in the Kuparuk River Unit was announced in March of this year and first oil is expected in 2017. Also, permits for Greater Mooses Tooth #2 were filed in August 2015. The CD5, GMT1, Kuparuk Drill Site 2S, and 1H NEWS developments represent approximately $3 billion (gross) in new North Slope projects. Peak gross combined production when all of these projects are on stream is estimated at 40,000 to 50,000 BOD. The passage of tax reform in 2013 has been a significant factor in ConocoPhillips’ Alaska investment decisions.
GMT1 is situated within the boundaries of the NPRA. The project will produce from lands owned by Kuukpik Corporation, Arctic Slope Regional Corporation, and BLM. GMT1 will be operated by ConocoPhillips Alaska, Inc. (78 percent interest). Anadarko (NYSE: APC) holds a 22 percent interest.
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ConocoPhillips has been leading the search for energy in Alaska for more than 50 years. We are committed to responsibly developing Alaska’s resources, providing economic opportunity for Alaska, operating at the highest safety standards and being good stewards of our community. For more information, visit www.conocophillipsalaska.com.
Media Contacts
Natalie Lowman (Alaska)
907-263-4153 desk
907-229-9190 cell
n.m.lowman@conocophillips.com
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