• 3 hours Iraq Struggles To Replace Damaged Kirkuk Equipment As Output Falls
  • 8 hours British Utility Companies Brace For Major Reforms
  • 12 hours Montenegro A ‘Sweet Spot’ Of Untapped Oil, Gas In The Adriatic
  • 14 hours Rosneft CEO: Rising U.S. Shale A Downside Risk To Oil Prices
  • 15 hours Brazil Could Invite More Bids For Unsold Pre-Salt Oil Blocks
  • 16 hours OPEC/Non-OPEC Seek Consensus On Deal Before Nov Summit
  • 17 hours London Stock Exchange Boss Defends Push To Win Aramco IPO
  • 18 hours Rosneft Signs $400M Deal With Kurdistan
  • 20 hours Kinder Morgan Warns About Trans Mountain Delays
  • 1 day India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 1 day Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 1 day Russia, Saudis Team Up To Boost Fracking Tech
  • 2 days Conflicting News Spurs Doubt On Aramco IPO
  • 2 days Exxon Starts Production At New Refinery In Texas
  • 2 days Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 3 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 3 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 3 days China To Take 5% Of Rosneft’s Output In New Deal
  • 3 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 3 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 3 days VW Fails To Secure Critical Commodity For EVs
  • 3 days Enbridge Pipeline Expansion Finally Approved
  • 3 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 3 days OPEC Oil Deal Compliance Falls To 86%
  • 3 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 4 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 4 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 4 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 4 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 4 days Aramco Says No Plans To Shelve IPO
  • 6 days Trump Passes Iran Nuclear Deal Back to Congress
  • 6 days Texas Shutters More Coal-Fired Plants
  • 7 days Oil Trading Firm Expects Unprecedented U.S. Crude Exports
  • 7 days UK’s FCA Met With Aramco Prior To Proposing Listing Rule Change
  • 7 days Chevron Quits Australian Deepwater Oil Exploration
  • 7 days Europe Braces For End Of Iran Nuclear Deal
  • 7 days Renewable Energy Startup Powering Native American Protest Camp
  • 7 days Husky Energy Set To Restart Pipeline
  • 8 days Russia, Morocco Sign String Of Energy And Military Deals
  • 8 days Norway Looks To Cut Some Of Its Generous Tax Breaks For EVs
Kobe Steel Scandal Could Rattle Nuclear Industry

Kobe Steel Scandal Could Rattle Nuclear Industry

The scandal at Japan’s Kobe…

Clashes In Kurdistan Send Oil Prices Higher

Clashes In Kurdistan Send Oil Prices Higher

Reports of skirmishes between Iraqi…

Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

Alaska’s Reserves Ripe for Extraction Despite Low Barrel Prices

Offshore

Proven reserves in Alaska’s North Slope could be tapped despite low barrel prices, increasing the United States’ footprint in international energy markets, according to a new report by MarketWatch.

Currently, foreign firms are partnering with American companies to scope out opportunities in the northern state.

In March, Spanish oil firm Repsol SA announced the largest onshore oil discovery in the U.S. in three decades —a 1.2-billion-barrel find on Alaska’s North Slope. Repsol has been actively exploring in Alaska since 2008 and finally hit a big one with partner Armstrong Oil & Gas. First oil is expected by 2021.

The past five years have led to oil discoveries in the North Slope that have increased proven reserves by 14 percent. Another noteworthy find was made by Dallas-based Caelus Energy, which claimed that the shallow waters of Smith Bay held 10 billion barrels of light oil, with one-third recoverable at a $50-barrel price.

President Donald Trump’s team is set to review applications for companies like Eni, which aims to restart drilling in the Nikaitchuq Unit in state waters of the Beaufort Sea. The Department of Interior presides over applications to extract oil from federal waters in the area. Eni’s authorization to drill there was not automatically cancelled by President Barack Obama’s ban, because the Italian company’s contract predated the restrictions.

Related: Georgia Is Giving Up On Gazprom

The White House will likely approve the application for Eni to restart drilling based off of Trump’s campaign promises to remove hurdles for oil and gas companies to work in federal lands and waters. But the new government has limited authority to approve new ventures in the northern reserves.

Before leaving office, President Obama formally blocked offshore oil and gas drilling in most of the Atlantic and Arctic Ocean through 2022, responding to a call from environmentalists who say the government needs to do more to prevent drilling in environmentally sensitive areas of U.S.-controlled oceans.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • Jack on April 15 2017 said:
    The Caelus find is optimistic at best. They literally drilled only two wells, they've done no flow tests, and the find is both offshore and far from existing infrastructure. I'll be shocked if it's developed within 10 years and reaches even half of their estimates.

    The Conoco find is entrenched in infrastructure so that will certainly be the cheapest. And the Repsol announcement has had so many test wells that it's likely the most accurate in assessment, and though probably more expensive to produce, not nearly as difficult as Caelus's.

    So I think we can safely count on 2 of 3 of these. $50 break-even sounds as likely as the low break-evens that have been fudged in the shale regions. $60-65 sounds like a safer bet. Maybe $75 for Caelus.
  • Earl Richards on April 15 2017 said:
    The oil prices are not low, because it costs less than $5 to produce a barrel in Iraq.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News