Morning Headlamp — Andy Mack wants to see increased oil production

Alaska Department of Natural Resources Commissioner Andy Mack says that he is, “optimistic we can flatten out the (oil) production line, if not increase it over the next few years.” By September 1, he may have to decide if he’ll declare the Prudhoe Bay oil producers in default of their state leases if they haven’t provided the gas marketing details sought by the state as part of BP’s 2016 development plan. It’s something the producers have refused to do for months with a plan that historically has been focused on oil development, not gas sales. Headlamp sees this as a defining moment for our state. Stay tuned. 

According to the Alaska Dispatch News, One project Mack hopes to see move ahead is Nanushuk, a large discovery in the Colville River delta by Denver-based Armstrong Oil and Gas and Spanish firm Repsol. Estimates confirmed in 2015 by a prominent engineering firm show it could produce at least 120,000 barrels of oil daily, an amount that would significantly boost production and state revenue in Alaska. The proposal is undergoing an environmental review by the U.S. Army Corps of Engineers.”  Headlamp is thrilled with the opportunity that exists here and hopes that the State of Alaska will work with Armstrong to make it happen. 


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First Reads

New natural resources commissioner says he’s working to put more oil in Alaska’s future
Alaska Dispatch News, Alex DeMarban, August 29, 2016

Big Oil’s Yuge Problem
Forbes, Liam Denning, August 29, 2016

Recent oil refinery owners share contamination cleanup costs
KTUU, August 29, 2016