AAPG Supports NPR-A Exploration

The American Association of Petroleum Geologists Executive Committee has approved an Association Position Paper in support of access to the National Petroleum Reserve in Alaska for the purposes of petroleum exploration and production.

The policy statement was generated in the AAPG Division of Professional Affairs' Government Affairs Committee, and was submitted to the Executive Commitee following DPA approval as well.

AAPG has a longstanding position in support of exploration and production of the Arctic National Wildlife Refuge, adjacent to the National Petroleum Reserve.

 

Policy Statement on National Petroleum Reserve-Alaska

The American Association of Petroleum Geologists, an international organization, supports access to the National Petroleum Reserve-Alaska (NPR-A) for petroleum exploration and development activities. In more than 30 years of modern era exploration and commercial production from the North Slope of Alaska, the petroleum industry has demonstrated its ability to protect the environment while producing a very significant part, sometimes exceeding 25 percent of the nation's daily production.

Picture 1 A map showing the location and relative sizes of NPRA and ANWR
Graphics, photos courtesy of David Houseknecht

It is in the best interest of the United States to allow exploration and development activities in NPR-Alaska, one of the most prospective areas of the country.

Rationale

For the last 30 years, the petroleum exploration industry has shown that rather than closing areas for oil and gas activities, it is much more advantageous to allow exploration and development activities to take place while addressing social, environmental and technical concerns through lease stipulations and the permitting process.

Under a "collaborative" environment among industry, federal and state governments, and the native organizations, the petroleum industry has continuously refined the technology for seismic acquisition, and drilling and production on the North Slope. In this manner, the economic benefits have accrued to many, while other interests have simultaneously been protected.

Therefore, rather than closing certain NPR-A areas to petroleum exploration and development, we believe that environmental, social and technical challenges can be addressed through lease and permit stipulations.

NPR-A Background Information

  • The area was originally designated as a "Naval Petroleum Reserve" in 1923, and later renamed "National Petroleum Reserve-Alaska" in 1976.

  • Total area of the reserve is in excess of 20 million acres. A total of 8.8 million acres has been previously offered for leasing during the 1980s.

  • At least 70 wells have been drilled within the NPR-A. Including the gas fields at Barrow (which produce gas for local consumption), at least eight accumulations exist within the NPRA boundary.

  • The current area being proposed for leasing comprises only the northeastern segment of NPR-A (4.4 million acres).

  • The North Slope of Alaska currently supplies approximately 1.5 million barrels a day, 25 percent of the nation's daily production. Almost 70 billion barrels of oil-in-place exists just east of the NPR-A boundary in Prudhoe-Kuparuk area. This productive area is approximately the same size as the northern one-third of NPR-A.

  • NPR-A contains all the significant petroleum exploration plays that are currently productive in the Prudhoe-Kuparuk area. Many of these plays exist along the shoreline, following the Barrow Arch.

  • In the 1995 National Assessment, North Slope of Alaska was ranked as the highest potential onshore province in the country in undiscovered oil and gas resources with mean values of technically recoverable hydrocarbons of 7.4 billion barrels of oil and 63.5 trillion cubic feet of gas (approximately 50 percent of oil and 200 percent of gas already discovered on the North Slope). NPR-A, obviously constitutes a significant percentage of the areal extent of the North Slope.

  • Within the current planning area (northeastern part of NPR-A), the Mineral Management service (under contract with Bureau of Land Management), estimates mean technically recoverable oil at 3.1 billion barrels of oil and 9.9 trillion cubic of gas.

  • Alpine Field, announced as a discovery in 1996, is located at the eastern boundary of NPR-A. At 365 million barrels of recoverable reserves, it is one of the most significant onshore discoveries in the United States in recent years.

  • Through its onshore and offshore activities during the last 25 years, the petroleum exploration industry has demonstrated its ability to solve the environmental, social and technical challenges of working on the North Slope. Improvement in exploration and development technology has continued to mitigate the various environmental concerns.

  • Picture 3Then and now:A gravel drill pad of a well drilled near ANWR in the mid 1970s
    Picture 4From within ANWR in the mid 1980s
    Picture 5The well head of a mid 1990s well showing virtually undisturbed permafrost polygons.

 

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