Oil & Gas
RSSNorth Slope oil & gas operations: Willow, Pikka, Point Thomson, production economics, tax debates, pipeline politics (TAPS)
Alaska Senate opens special session on natural gas tax overhaul
Alaska Senate opened special session to overhaul natural gas taxes through Senate Bill 2001. • New volumetric tax on gas throughput and revised municipal property tax calculations for schools. • Governor Dunleavy called session under May 19 proclamation limited to natural gas tax bills. • Senate coordinating with House and three state departments to avoid costly errors.
by Walter AlaskaNews4mo ago2 min read
Dunleavy vetoes transit plan, calls special session on gas pipeline tax
Governor Dunleavy vetoed a statewide transit bill and called a special legislative session to address natural gas pipeline taxation, with Senate Finance Committee hearings beginning Wednesday at 9 a.m.
by Walter AlaskaNews4mo ago2 min read
Alaska LNG project secures financing proposals, targets 2027 construction start
Alaska LNG secured private financing to build 800-mile pipeline from North Slope to Cook Inlet, targeting 2027 construction start and 2029 gas delivery. • Needs tax stabilization law and utility regulator approval to proceed. • Export facility would sell 20 million tonnes of LNG yearly, mostly to Asia. • Project addresses Cook Inlet gas shortage and aims to lower Alaska energy costs.
by Walter AlaskaNews4mo ago2 min read
Senate Republicans link Cook Inlet gas decline to rural power costs
Senate Republicans warn Cook Inlet gas decline will raise rural power costs through state subsidy program. • Caucus calls energy shortage an existential crisis and pushes Legislature to build gasline instead of importing liquefied gas. • Three priorities set for special session: cut energy costs, create jobs from pipeline, manage resources for public benefit.
by Walter AlaskaNews4mo ago2 min read
Begich cites $163M Alaska oil lease sale as proof federal certainty drives investment
Rep. Nick Begich cited a record $163 million Alaska oil lease sale as evidence that federal policy certainty drives energy investment, and called for faster permitting to unlock Alaska's oil, gas, and geothermal resources for national security.
by Walter AlaskaNews4mo ago2 min read
Aspect Holdings addresses $100B Alaska projection, contested Teshekpuk lease
Aspect Holdings won eight Alaska lease blocks projecting $100 billion in state revenue. • One contested block near Teshekpuk Lake faces a lawsuit from a Native organization. • Seven uncontested blocks expected to be finalized soon. • Company estimates 20 billion barrels of recoverable oil remain on North Slope.
by Walter AlaskaNews4mo ago2 min read
Alaska Energy Conference Highlights Gas Pipeline Progress Amid Legislative Tax Debate
Alaska LNG pipeline signed contracts, targets 2029 delivery, but governor and legislature split on tax framework. • Southcentral consumers could pay $22.96 per thousand cubic feet if exports fail, double current rates. • Federal officials highlighted critical minerals and $1 billion in funding, but permitting takes 15 to 18 years. • Rural Alaska pays $6.63 per gallon with no pipeline relief in sight.
by Walter AlaskaNews4mo ago4 min read
Pikka field begins oil production on Alaska's North Slope
The Pikka oil field on Alaska's North Slope has begun production and is projected to become the state's second-largest oil source, producing about 80,000 barrels per day in its first phase.
by Walter AlaskaNews4mo ago1 min readAlaska News Roundup: Gas pipeline tax fight, Point Thomson trade-off, and McNeil River access debate
This episode covers the week's major Alaska stories: a gas pipeline tax bill that added oil tax increases, the Point Thomson condensate trade-off for pipeline gas, Mount Edgecumbe enrollment crisis, and McNeil River bear sanctuary access proposals.
by Walter AlaskaNews4mo ago3 min read
Senate cuts community impact fees for gas pipeline by half
The Alaska Senate Resources Committee voted to reduce community impact fees for the Alaska LNG pipeline from $1 million to $500,000 per mile, cutting projected payments to municipalities from approximately $740 million to $370 million.
by Alaska News4mo ago5 min read
Senate panel cuts oil production tax rate from 35% to 17%
The Senate Finance Committee adopted a committee substitute for Senate Bill 227 that would slash Alaska's oil and gas production tax rate by more than half and eliminate several tax credits and deductions.
by Alaska News4mo ago1 min read
House panel hears gas line tax bill with 15-cent volumetric fee
The House Finance Committee heard testimony Thursday on House Bill 381, which would replace traditional property taxes on the Alaska LNG pipeline with a 15-cent per thousand cubic feet volumetric tax, generating an estimated $577 million by 2033 while giving municipalities decision-making authority over gas treatment plants and LNG facilities.
by Alaska News4mo ago4 min read
Senate panel advances gas pipeline bill with reduced community payments
The Senate Resources Committee adopted a comprehensive substitute for SB 280 that cuts community impact payments by 75 percent, raises the oil production tax floor, and caps consumer gas prices while protecting Alaskans from cost overruns above $15 billion.
by Alaska News4mo ago4 min readSenate panel advances gas pipeline bill with oil tax floor increase
The Alaska Senate Resources Committee advanced a gas pipeline bill Friday that raises the minimum oil production tax from 4% to 6% starting in 2027, a change not tied to pipeline construction.
by Alaska News4mo ago3 min readOil industry opposes gas pipeline tax bill over bundled oil tax increases
The Alaska Oil and Gas Association testified Friday against Senate Bill 280, arguing that oil tax increases bundled with gas pipeline incentives could undermine investment momentum in Alaska's oil sector.
by Alaska News4mo ago3 min read
Point Thomson Gas Blowdown Could Cost Alaska 65M Barrels of Condensate
State regulators told lawmakers that switching Point Thomson from gas cycling to blowdown for the proposed gas pipeline would sacrifice roughly 65 million barrels of highly valuable condensate—Alaska's most valuable North Slope resource.
by Alaska News4mo ago5 min read
Gas tax hike could net Alaska $590M over pipeline life, analysis shows
Department of Revenue analysis shows increasing the North Slope gas production tax from 13% to 17% would generate $590 million over 30 years without affecting in-state gas prices due to existing tax ceiling protections.
by Alaska News4mo ago3 min read
Senate panel debates gas pipeline tax structure in 26th hearing
The Senate Resources Committee held its 26th hearing on SB 280, examining the proposed volumetric tax system for the Alaska LNG project and discussing technical questions about where gas production would be taxed.
by Alaska News4mo ago4 min read
Alaska House Rewrites LNG Tax Bill, Raising Rate While Empowering Boroughs
The House Resources Committee approved a restructured tax approach for the Alaska LNG project that raises the pipeline tax to 15 cents per thousand cubic feet while allowing North Slope and Kenai boroughs to negotiate property taxes on facilities.
by Alaska News4mo ago5 min read
Alaska LNG Tax Bill Stalls as Lawmakers Demand Project Cost Data
Senate Resources Committee consultant warns legislators lack critical data on Alaska LNG project capital costs and gas pricing needed to fulfill constitutional obligation to maximize resource value, with only 12 days left in session.
by Alaska News4mo ago5 min read
House Panel Advances $40M Community Impact Fund for Gas Pipeline
The House Resources Committee voted 7-2 to increase community impact funding for Alaska LNG pipeline municipalities to $40 million, up from the project developer's proposed $30 million, despite concerns about project economics.
by Alaska News4mo ago3 min read
ConocoPhillips Cuts 12.5% of North Slope Workforce as Oil Prices Fall
ConocoPhillips cut 12.5 percent of its North Slope workforce following its merger with Marathon Oil, prompting 243 workers to petition for union representation amid falling oil prices.
by Alaska News4mo ago2 min readSenate panel proposes doubling Dalton Highway surcharge in gas line bill
Senate Resources Committee introduced a new version of the gas pipeline bill with a 30-cent Dalton Highway maintenance surcharge, double the governor's proposal, while senators question whether $1 billion in property tax breaks would save average Anchorage households only $55.
by Alaska News4mo ago4 min read
Senate panel debates $1B tax break for Alaska LNG amid cost secrecy
Alaska Senate Resources Committee heard testimony Tuesday on a proposed 55-cent per MCF volumetric tax for the Alaska LNG project, with Glenfarne calling it potentially prohibitive while lawmakers demanded cost transparency before committing to tax breaks that could cost communities $1 billion annually.
by Alaska News4mo ago4 min read
House panel hears tax proposal for Alaska LNG project
The House Resources Committee received a Department of Revenue presentation on House Bill 381, which would replace property taxes on the Alaska LNG project with a 15-cent per thousand cubic feet volumetric tax on the pipeline, reducing the project's annual tax burden from nearly $750 million to roughly $200 million by 2033.
by Alaska News4mo ago4 min read
Dunleavy says Alaska gas pipeline depends on property tax overhaul
Governor Mike Dunleavy urged the legislature to pass a payment-in-lieu-of-taxes bill within three weeks, calling it essential to financing what he described as the largest project in Alaska history, an LNG pipeline from the North Slope.
by Alaska News4mo ago5 min read
Alaska LNG project could tap Defense Production Act for federal support
The Alaska Senate Resources Committee heard testimony on how the Defense Production Act, invoked by President Trump in April, could provide unprecedented federal support for the $47 billion Alaska LNG project through grants, loan guarantees, or offtake agreements.
by Alaska Newsadded 4mo ago4 min read
House panel ties Alaska gas line tax breaks to Fairbanks spur line
House Resources Committee advances substitute bill requiring Alaska LNG project to build spur line to Fairbanks North Star Borough as condition for receiving tax incentives, ensuring Interior residents pay same tariff as Southcentral customers.
by Alaska News5mo ago4 min read
Senate panel advances gas pipeline tax overhaul with $610M revenue target
The Senate Resources Committee adopted a comprehensive rewrite of gas pipeline taxation combining policy oversight and new tax structures that could generate $610 million annually from Alaska's natural gas resources.
by Alaska Newsadded 5mo ago4 min read
Senate unveils gas pipeline bill with $600M property tax, consumer protections
The Senate Resources Committee introduced sweeping changes to the governor's gas pipeline proposal, including a $600 million property tax at full production, prohibitions on shifting cost overruns to consumers, and $1 million per mile impact payments to communities during construction.
by Alaska Newsadded 5mo ago3 min read
Denali Borough mayor opposes state control of pipeline tax payments
Denali Borough's mayor testified against a provision in SB 280 that would route pipeline tax revenue through the state legislature, seeking direct payments and upfront impact fees instead.
by Alaska Newsadded 5mo ago3 min read
Energy consultant: Alaska LNG tax bill could cut delivered cost by 20 cents
Energy consultant tells House Resources Committee that proposed alternative volumetric tax in HB 381 would reduce delivered cost to Asia by roughly 20 cents per MMBtu compared to current property tax, potentially making the $46+ billion project more competitive globally while still generating stable municipal revenue.
by Alaska News5mo ago4 min read
Oil industry opposes tax provisions in Alaska gas pipeline bill
Alaska Oil and Gas Association testified against multiple tax provisions in SB 280, warning that sections decoupling oil and gas lease expenditures and imposing new S-corp taxes could harm current operations and chill investment.
by Alaska Newsadded 5mo ago4 min read
Alaska LNG Consultant Flags Potential 50% Return for Developers vs. $1B State Revenue
Legislative consultant Nick Fulford presented hastily-prepared analysis showing Alaska LNG midstream developers could earn roughly 50% annual returns by 2040-2050 while the state receives approximately $1 billion in combined taxes, raising questions about the proposed tax structure's fairness.
by Alaska News5mo ago5 min read
Alaska LNG Tax Bill Walks Tightrope Between Project Viability and Local Needs
House Resources Committee's revised tax structure for Alaska LNG reflects tension between competitive global positioning and community impact compensation that defines natural gas megaproject debates worldwide.
by Alaska News5mo ago4 min read
Alaska LNG tax bill could swing state revenue by hundreds of millions
Department of Revenue warns that regulatory interpretations of Senate Bill 280's complex tax provisions could shift Alaska's annual revenue by hundreds of millions of dollars, with the bill creating new taxes while exempting the Alaska LNG project from property taxes.
by Alaska News5mo ago4 min read
Senate panel hears workforce plan for Alaska LNG pipeline
The Senate Labor and Commerce Committee received a presentation on workforce needs for the Alaska LNG pipeline project, with consultants warning the state must act immediately to prepare workers for construction that could begin as soon as 2027.
by Alaska News5mo ago5 min read
Municipal League urges local control in Alaska LNG tax negotiations
Alaska Municipal League Executive Director Nils Andreassen testified that local governments want the ability to negotiate individually with the Alaska LNG project developer rather than accept a one-size-fits-all tax structure.
by Alaska News5mo ago5 min read
Senate Resources hears LNG tax framework comparison, transparency concerns
The Senate Resources Committee heard a presentation on fiscal frameworks for LNG projects and how Alaska's constitutional obligations create unique challenges compared to other jurisdictions, while public testimony supported transparency legislation.
by Alaska Newsadded 5mo ago8 min read
Senate panel examines LNG project economics, megaproject risks
Consultants presented economic modeling of the proposed alternative volumetric tax for the Alaska LNG project and warned of cost and schedule risks common to large infrastructure developments.
by Alaska Newsadded 5mo ago6 min read
