Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
Historical & Projected Oil & Gas Consumption, April 1997
| HISTORICAL AND PROJECTED OIL AND GAS CONSUMPTION APRIL 1997 DIVISION OF OIL & GAS Cover Photo BP Exploration (Alaska) Inc. Sourdough No.3 Exploratory Well Approximately One Mile West of ANWR North Slope, Alaska Photo By: Bruce Webb AK Division of Oil and Gas This publication was released by the Department of Natural Resources, Division of Oil and Gas. 750 copies were produced at a cost of $3.45 per copy. The purpose of the publication is to inform the legislature and the public of the state's Historical and Projected Oil and Gas Consumption and Supply. This publication was printed in Anchorage. STAVE On aA Si HISTORICAL AND PROJECTED OIL AND GAS CONSUMPTION Tony Knowles Governor John T. Shively Commissioner Department of Natural Resources April 1997 Prepared for the First Session Twentieth Alaska Legislature TABLE OF CONTENTS ALASKA OIL AND GAS RESOURCE MANAGEMENT..............::eeeeeeeees 1 1 LOIRAND GAS RES EV ES eee eae riereetce acrcetnccscsrsuessereeses sertencers 3 2) LOIS PRODUCTION FORECAST ea et ee ereeererete 5 3 FOIE PRODUCTION RISTO RY Percrssrceteecreoccrecrtcerensessearenuneaeen serene 15 4)/(GAS)| PRODUCTION FISTO Ry rere e eer a eeet ence rset eceseraert er denserssnaeree a 21 SOM CONSUMPTION ISTIORN peceerctese tert eter eeeretee terete nena eaeees 29 6 GAS CONSUMPTION HISTORY ...........ccccccesseesesesssesesseeseseeeseseeess 33 7 OIL AND GAS CONSUMPTION FORECAST.............::c:ccessseesseeeeeeeees 39 APPENDIX” Aj | OIE-AND:GAS:FIEEDS oir iaeeccctecev ste cetencoreerescctescecrersacees 41 APPENDIX B PRODUCING STATE OIL AND GAS LEASES ............... 43 APPENDIX C NORTH SLOPE CRUDE OIL COMPONENTS ............... 59 APPENDIX D OIL REFINERIES AND GAS PROCESSING PLANTS...61 APPENDIX E CONVERSION FACTORS. .............:::cecceeeseeeeeeeeeeeeeeneees 63 APPENDIX F DEFINITION OF “OIL” AND “GAS” ....0.....eeceeseeeeeneeees 65 ACKNOWLEDGMENTS reer eee eae eee eee ee 67 Note: the tables in this report are on the DO&G Web page, “www.dnr.state.ak.us/oil/index.htm’. ALASKA OIL AND GAS RESOURCE MANAGEMENT Alaska’s oil and gas resources are owned and administered by three state agencies, two federal agencies and, in a very few cases, by private landowners. STATE OF ALASKA Department of Natural Resources, Division of Oil & Gas (DO&G) e leases or licenses state land for oil and gas exploration and development e sets the conditions under which state oil and gas leases may be developed e monitors lease development for consistency with regulations and lease terms e collects and audits oil and gas royalty revenue e negotiates and administers oil and gas royalty-in-kind contracts e estimates the volume and value of oil and gas reserves within proposed lease sale areas ¢ approves and administers oil and gas unit agreements to insure greatest ultimate recovery and prevent waste Department of Revenue, Oil and Gas Audit Division (DOR) e collects oil and gas severance taxes, property taxes and corporate income taxes e audits oil and gas royalty and tax payments e estimates how much tax and royalty revenue the state will receive. This projection is used to prepare the state’s annual budget. Alaska Oil and Gas Conservation Commission (AOGCC) e insures the greatest ultimate recovery of oil and gas on private, state and federal leases. e protects correlative rights of lease holders and land owners e monitors production meters at each field e reviews plans of development to verify efficient production and minimize waste of oil and gas e regulates well drilling, well treatment, well spacing, waste disposal, ground water protection, and production rate. FEDERAL GOVERNMENT Department of Interior, Bureau of Land Management (BLM) e leases and administers onshore federal oil and gas resources. Department of Interior, Minerals Management Service (MMS) e leases and administers offshore federal oil and gas resources. PRIVATE LANDOWNERS e the only known oil and gas reserves in private ownership belong to Arctic Slope Region Corporation and Cook Inlet Region Inc. Both are Alaska Native corporations formed under the Alaska Native Claims Settlement Act of 1971. 1 OIL AND GAS RESERVES PROVEN RESERVES Only a fraction of the original oil or gas in any reservoir can be extracted, and that fraction depends on available technology and the economics of producing the oil or gas. A producer's decision whether or not to develop a new reservoir, or to continue producing a developed field, depends in part on the difference between the cost of extracting the oil or gas and the value of the oil or gas. Reserves are an estimate of how much oil and gas can be economically extracted from a reservoir. Though reserves can be calculated by many methods, there often is no consensus on which method is best to apply to each reservoir. Each of the three state agencies that regulate oil and gas production, DO&G, AOGCC and DOR, calculate reserves by different methods for their different requirements; DO&G and AOGCC calculations emphasize geologic and engineering factors, whereas DOR calculations emphasize oil and gas economics and prices. Reserve estimates of large oil fields typically increase through their development years and ultimate recoveries are often greater than early predictions. In the early 1980’s Prudhoe Bay reserves were estimated to be between seven and nine billion barrels. By January 1986 Prudhoe Bay’s projected ultimate recovery was 10.2 billion barrels, 4.4 billion produced and 5.8 billion reserves, and by January 1997 the estimate is 12.9 billion barrels, 9.5 billion produced and 3.4 billion reserves. A large portion of these increases in projected ultimate recovery are due to investments in improved technology such as horizontal drilling, coiled tubing workovers, gas cycling and enhanced oil recovery. Further improvements in technology, expansion of enhanced recovery operations and additional infill drilling may further increase future reserve estimates, but the main variables affecting future oil recovery are future oil prices and development costs. DO&G’s estimates of North Slope reserves are derived from Table 2A. Table 2A tabulates how much oil each field likely will produce each year to 2020. Each field’s reserves are equal to its cumulative production during the next 24 years. Reserves of each of the Cook Inlet fields were calculated by whichever method was most appropriate for that field. The Cook Inlet gas estimates took into consideration Marathon’s and Phillips’ recent comprehensive analysis of Cook Inlet reserves. Reserves of undeveloped North Slope and Cook Inlet oil and gas pools are more speculative, primarily because their economics are uncertain and because some are still incompletely delineated. ROYALTY RESERVES The state’s royalty reserves are calculated by multiplying each field’s reserves times the state interest in the field. All North Slope reserves are on state land except the gas reserves of East Barrow, South Barrow and Walakpa fields and some of the oil reserves in the Alpine pool. All Cook Inlet reserves are on state land except Swanson River, Beaver Creek and Birch Hill fields and parts of Beluga River, Kenai and Cannery Loop fields TABLE 1 - OIL AND GAS RESERVES AND ROYALTY SHARE, ESTIMATED AS OF 1/1/97 OIL: MILLIONS OF BARRELS. INCLUDES OIL , CONDENSATE AND NGL GAS: BILLIONS OF CUBIC FEET Reserves Royalty Share oil Gas Royalty, oil Gas 'ercel NORTH SLOPE Developed or Under Development Alpine 290 [7] 60 8.0% [1 23 5 East Barrow : 5 [6 i - - Endicott [1] 258 [7] 868 14.4% 37 125 create ‘oint Mcintyre Area a aon isburne 12.5% Uh 40 Niakuk 90 42 [6 12.5% 11 5 Point Mgintyre 3 i sa 6) 132% , 76 Other z < - Kuparuk River Unit Kuparuk 1,275 Fh 627 [6] 125% 159 78 West Sak [3] 279 (9) 125% 35 - Milne Point Unit Nene om 210 20 [6] 14.6% 31 3 iver 1 9) 14.6% 3 - rader Bluff 281 fg 14.6% 41 - Northstar 144 7] 16.0% 23 72 Prudhoe Bay Unit Prudhoe Bai 3,443 23,000 [7] 12.5% 430 2,875 Satellites [4 241 [9] 12.5% - “. ager a 6B fal - 27 {6 9} - - Undeveloped Pt. Thomson/Flaxman Island 200 3,500 [7] 125% 25 «438 Other Onshore [5] 95 9) 12.5% [1 12 <1 TOTAL 7,195 29, 876 3,716 COOK INLET Developed or Under Development Beaver Creek 1 [6] 109 a7 - : Beluga River - 704 5% - 53 Cannery Loop : 36 4.0% : 1 Granite Point 13 [7] 27 12.5% 2 3 Ivan River, Lewis River, Pretty Creek, Stump Lake - a [7] ae - 7 Kenai : y - 6 McArthur River 38 592 4 125% 5 74 Middle Ground Shoal 18 14 4 12.5% 2 2 North Cook Inlet - 1,075 [7] 12.5% - 134 Nee Trading Bay - 2 (7] 12.5% - 3 ing : 12.4% - 3 Swanson River 13 [6] 211 HH a - - Trading Bay 4 29 g 12.5% <1 4 West Fork - 3 (9 - <1 West McArthur River 8 [7] [8] 12.5% <1 - ee irch Hil - 11 9) - GS Falls Creek - 13 [6 132% - 2 Nicolai Creek - 2 [6 12.5% - <1 North Fork - 12 [6 12.5% - <1 Sunfish 25 [7] 30 12.5% 3 4 West Foreland - 20 [6 12.5% - 3 TOTAL 120 3,281 12 297 STATE TOTAL 7,315 32,824 888 4,014 '1] Endicott reserves include Endicott and Sag Delta reserves. Other reserves include Larch, North Prudhoe Bay State and West Beach reserves. West Sak reserves include K-10, Tabasco and lest Sak reserves. 4] Satellite reserves include wells penetrating several smaller, unnamed reservoirs. One of several known discoveries which probably will be developed. Alaska Oil and Gas Conservation Commission. William VanDyke, Division of Oil and Gas. [8] No estimate is available. 9] No State leases. 10 Estimated. ‘evised 4/25/97 2 OIL PRODUCTION FORECAST NORTH SLOPE North Slope production of combined oil, condensate and natural gas liquids (NGLs), which peaked at 2.0 million barrels per day in 1988, has declined to about 1.5 million barrels per day in 1996 and will decline to probably 292 thousand barrels per day in 2020. Cumulative production for the 24 year period will be 7.0 billion barrels. This estimate is a projection of production histories of existing fields and the expected production from to-be-developed fields, and it includes planned and probable field developments. Some developments are in final stages and some are imminent. BP is continuing development at Milne Point unit and Niakuk and also is actively exploring for oil and gas east of Prudhoe Bay. The Prudhoe Bay owners have completed the second phase of the Gas Handling Expansion (GHX-II) project. Kuparuk River unit owners have implemented a large scale enhanced oil recovery project using a miscible injectant and Endicott and Point Mcintyre operators are studying miscible injectants at those fields. COOK INLET Cook Inlet fields probably will continue to produce well into the next century, but DO&G projects output only to 2006 because regional production depends on economic factors which can not be reasonably estimated beyond then. The projection does not include oil production from Swanson River and Beaver Creek, because the state holds no leases in these fields. A production forecast for Sunfish is not included because of its uncertain development potential. Cook Inlet oil production peaked at 230 thousand barrels per day in 1970 and has declined to about 42 thousand barrels per day in 1996 and will probably decline to 10 thousand barrels by 2006. Cumulative production in the ten year period between 1997 and 2006 will be 71.2 million barrels. AVAILABLE ROYALTY OIL The state takes Cook Inlet oil in-value whereas it takes North Slope royalty oil both in-value and in-kind. The state currently sells its in-kind royalty oil through two contracts that will expire in 1998 and 2003. Forty one percent of the available royalty oil production for 1997 is allocated to these contracts. The estimated cumulative royalty share through the 24 year projection period will be 891 million barrels. PRODUCERS SHARE OF NORTH SLOPE PRODUCTION North Slope producers allocate monthly production among themselves by offtake percentage that vary from month to month and are somewhat different from their ownership interests. The five producing North Slope centers, Endicott, Greater Point McIntyre Area, Kuparuk Unit, Milne Point Unit and Prudhoe Bay Unit, are projected to produce 6.4 billion barrels between 1997 and 2020. At the recent average offtake percentages, producers will recover: Arco 2.0 billion barrels 31% BP 2.9 billion barrels 44% Exxon 1.2 billion barrels 20% Other .3 billion barrels 5% TABLE 2A - OIL PRODUCTION FORECAST AND AVAILABLE ROYALTY OIL THOUSANDS OF BARRELS PER DAY. INCLUDES Olly GONDENSATE, oO NGI 2001 2002 +2003 + =2004 +2005 ~—-2006 PRODUCTION FORECAST NORTH SLOPE Alpine : - - 60 60 60 60 60 58 53 Endicott [1] 69 64 58 54 49 45 40 37 33 30 Greater Point Mcintyre Area 193 161 129 106 88 74 65 59 53 48 Lisburne 14 14 12 10 9 8 7. iT 7 6 Niakuk 32 32 29 26 22 19 16 13 11 10 Point Mcintyre 145 «114 87 70 57 48 42 39 35 32 Other [2] 2 1 1 : - - - - - - Kuparuk River Unit 260 264 267 267 269 253 239 228 217 208 Kuparuk 260 260 260 260 255 232 211 192 175 159 West Sak : 4 7 7 14 21 28 36 42 49 Milne Point Unit 56 62 67 68 70 73 73 75 75 78 Milne Point 50 55 5S 55 50 48 41 35 30 26 River 2 3 5 6 6 5 4 4 3 3 rader Bluff 4 4 7 UL 14 21 28 36 42 49 Northstar - - 13 40 40 40 38 34 31 28 Prudhoe Bay Unit 788 #4739 4692 655 611 567 534 485 460 447 Prudhoe Ba’ 788 #719 662 615 571 527 494 445 420 407 Satellites [3 - 20 30 40 40 40 40 40 40 40 Other Onshore [4] - - - 35 2 2 2 2 19 17 TOTAL 1,366 1,290 1,225 1,274 1,211 1,137 1,073 998 944 907 COOK INLET [5] Granite Point 6 6 5 5 4 4 3 3 2. 2 McArthur River 15 14 13 12 10 9 8 8 7 6 Middle Ground Shoal 6 6 5 5 4 4 3 3 2 2 Trading Bay 1 1 1 1 1 - - - - - West McArthur River 3 2 1 1 1 - - - - - TOTAL | 29 25 24 20 17 14 14 1 10 STATE TOTAL 1,397 1,319 1,250 1,298 1,231 1,154 1,087 1,012 955 917 AVAILABLE ROYALTY OIL Royalty Percent NORTH SLOPE Alpine 8.0% [6] - : 5 5 5 5 5 5 5 4 Endicott [1] 14.4% 10 9 8 8 a 6 6 5 5 4 Greater Point Mcintyre Area 12.5% 24 20 16 13 11 9 8 7 7 6 Lisburne 125% 2 2 2 f 1 1 1 1 1 1 Niakuk 12.5% 4 4 4 3 3 2 2. 2 1 1 Point Mcintyre 12.5% 18 14 11 9 7 6 5 5 4 4 Other [2] 12.5% <5 <5 <5 - : - - : : - Kuparuk River Unit 12.5% 33 33 33 33 34 3. 30 29 2 26 Kuparuk 12.5% 33 33 33 33 32 29 26 24 22 20 West Sak 12.5% 1 1 1 2 3 4 5 5 6 Milne Point Unit 14.6% 8 9 10 10 10 11 11 11 11 11 Milne Point 14.6% 7 8 8 8 7 7 6 5 4 4 Sag River 14.6% <5 <5 1 1 1 1 1 1 <5 <5 Schrader Bluff 14.6% 1 1 1 1 2 3 4 5 6 7 Northstar 16.0% [7] 2 6 6 6 6 5 5 4 Prudhoe Bay Unit 12.5% 99 92 87 82 76 71 67 61 58 56 Prudhoe Ba‘ 12.5% 99 90 83 Uh 71 66 62 56 53 51 Satellites at 125% 3 4 5 5 5 5 5 5 5 Other Onshore [4] 125% 3 3 3 3 3 2 2 TOTAL 173. 164 156 160 152 143 135 125 119 114 COOK INLET [5] Granite Point 12.5% 1 1 1 1 1 1 <5 <5 <5 <5 McArthur River 12.5% 2 2 2 2 1 1 1 1 1 1 Middle Ground Shoal 12.5% 1 1 1 1 1 1 <5 <5 <5 <5 Trading Bay 12.5% <5 <5 <5 <5 <5 - - - - - West McArthur River 12.5% <5 <5 <5 <5 <5 : : - - - TOTAL 4 4 3 3 3 2 2 2 1 1 STATE TOTAL 177 «+167 «©1159 «= 163) 185 145 137 127 120 115 IN-KIND ROYALTY OIL SALES Mapco [8] 35 35 35 35 35 35 35 - - - Tesoro [9) 36 32 : : : - : : - - TOTAL 71 67 35 35 35 35 35 : - - IN-VALUE ROYALTY OIL TOTAL 106 100 124 128 120 110 102 127 120 115 Endicott includes Endicott and Sag Delta. 1 2] Other includes Larch, North Prudhoe Bay State and West Beach. I Satellite includes wells penetrating several smaller, unnamed reservoirs. Other On-Shore includes one of several known This projection is not extended beyond 2006 because production is vei [6] This percentage is the state's share of the gross and does not include the royalty share attributable to Arctic Slope Regional Corporation. discoveries which likely will be developed. 1 5 sensitive to short term economics. Beaver Creek and Swanson River fields are not included because the state has no leases in either field. [7] This is the estimated minimum state royalty share. It does not include Federal royalty or the sliding scale Supplemental Ri ‘oyalty. 8] The Ma contract is for 35,000 BPD of Prudhoe Bay Unit r roduction, it ires Di ber 2003. f The Teeoro contract is for 30% of Prudhoe Bay Unit royalty peat it expires ‘December 1998. " ‘evised 5/1/97 Cumulative Production 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 (MBbI) 48 a 40 36 33 30 27 25 22 20 18 16 14 12 289,719 28 25 23 21 19 18 16 15 14 13 12 11 10 9 258,090 Sd 39 35 31 29 27 23 20 16 11 W 4 3 3 460,291 6 6 6 5 5 5 5 4 4 4 4 4 3 3 56,784 8 7 6 5 4 4 3 3 2 - - - - - 89,973 30 27 24 22 20 18 15 13 10 7 3 - - - 31 Sas 201 188 179 168 154 142 128 118 109 100 89 81 72 64 1,554,386 145 132 123 115 105 96 86 79 73 67 61 56 51 46 1,274,927 56 56 56 53 49 46 42 39 36 33 28 25 21 18 279,459 80 7 75 69 63 57 52 48 as 39 32 28 23 19 509,993 22 19 17 14 12 10 9 8 7 5 4 3 2 2 209,912 2 2 2 2 2 d 1 1 1 1 : : - - 19,163 56 56 56 53 49 46 42 39 36 33 28 25 21 18 280,919 25 22 19 17 15 13 12 11 - : - : - - 143,628 426 402 379 356 338 317 299 282 260 240 225 211 198 186 3,684,399 386 «4362 )0«- 3343) «323s 307) «288 «= «273s «258 «= «241s 226 213. 200188 = 177 3,442,943 40 40 36 33 3 29 26 24 19 14 12 11 10 10 241,456 16 14 13 11 10 9 8 8 7 6 3 : : - 94,718 866 810 762 709 659 610 564 524 470 427 385 349 319 292 6,995,222 - - - - - - - : : - - - - - 14,600 : - - - - - : - : - - - - - 14,600 - - - - - - - - - - - - - - 1,825 - - - - - - - - - - - - - - 2:920 - - - : - - - - - - - - - : 71,175 866 810 762 709 6659 610 564 524 470 427 385 349 319 292 7,066,397 4 4 3 3 3 2 2 Zz 2 2 1 1 1 1 23,178 4 4 3 3 3 3 2 2 2 2 2 2 1 1 37,268 5 5 4 4 4 3 3 2 2 1 1 <5 <5 <5 57,536 1 1 1 1 1 1 1 1 1 1 1 <5 <5 <5 7,098 1 1 1 1 1 <5 <5 <5 <5 : : : - : 11,247 4 3 3 3 2 2 2 2 1 1 <5 : - - 39,009 - - - - - - - : - : - - - - 183 25 23 22 21 19 18 16 15 14 12 11 10 9 8 194,298 18 16 15 14 13 12 11 10 9 8 8 7 6 6 159,366 7 av uf 7 6 6 5 5 5 4 4 3 3 2 34,932 12 1 11 10 9 8 7 7 6 6 5 4 3 3 74,204 3 3 2 2 2 1 1 1 a 1 a <5 <5 <5 30,542 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 - - : : 2,788 8 8 8 8 7 7 6 6 5 5 4 4 3 3 40,874 4 3 3 3 2 2 2 2 - - - - : : 22,980 53 50 47 44 42 40 37 35 32 30 28 26 25 23 460,550 48 45 4 40 38 36 34 32 30 28 27 25 24 22 430,368 5 5 5 4 4 4 3 3 2 2 2 1 1 1 30,182 2 2 2 1 1 1 1 1 1 1 <5 - - - 11,840 109 = 102 96 89 83 7 71 66 59 54 48 44 40 37 881,854 - - - - : - - : - - - : - - 1,825 - - - - - - - - - - : - - - 4,654 - - - - : - - : - - : : - - 1,825 - - - - : - - - - - : : - - 228 = = = = - - 2 : - s : - = - 8,897 109 = 102 96 89 83 77 aa 66 59 54 48 44 40 37 890,751 - - - - : - - - - - : - - - 89,425 . . . : - - - - : : - - : - 24,802 . - 2 : : - - - - = - ® : - 114,227 109 = 102 96 89 83 77 71 66 59 54 48 At 40 37 776,524 TABLE 2B - OIL PRODUCTION FORECAST, BY LESSEE, AND AVAILABLE ROYALTY OIL FOR PRODUCING NORTH SLOPE FIELDS THOUSANDS OF BARRELS PER DAY. Le a OIL, CONDENSATE AND NGL ‘al Offtake [1] 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 [PRODUCTION FORECAST Endicott [2] 69 64 58 54 49 45 40 37 33 30 Amoco 9.86% 7 6 6 5 5 4 4 4 3 3 Arco 0.02% <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 BP 59.36% 41 38 34 32 29 26 24 22 20 18 CIRI 0.62% <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 Doyon 0.12% <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 Exxon 19.75% 14 13 11 11 10 9 8 7 ub 6 NANA 0.37% <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 Unocal 9.88% 7 6 6 5 5 4 4 4 3 3 Greater Point Mcintyre [3] 193 161 129 106 88 74 65 59 53 48 Arco 27.40% 53 44 35 29 24 20 18 16 14 13 BP 39.28% 76 63 50 4 35 29 25 23 21 19 Exxon 33.32% 64 53 43 35 29 25 21 19 17 16 Kuparuk River Unit [4] 260 264 267 267 269 253 239 228 217 208 CO 55.19% 143 146 147 147 148 140 132 126 119 115 BP 39.15% 102. 103 105 105 105 99 94 89 85 81 Chevron 0.11% <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 Exxon 0.22% 1 1 1 1 1 1 1 1 <5 <5 Mobil 0.37% 1 1 1 1 1 1 1 1 qa 1 Union 4.97% 13 13 13 13 13 13 12 11 11 10 Milne Point Unit [5] 56 62 67 68 70 73 73 75 75 78 BP 91.02% 51 56 61 62 63 66 66 68 68 71 Oxy 8.98% 5 6 6 6 6 iw 7 wh 7 7 Prudhoe Bay Unit [6] 788 739 692 655 611 567 534 485 460 447 Arco 27.98% 220 207 194 183 171 159 149 136 129 125 BP 40.12% 316 296 278 263 245 227 214 195 185 179 Chevron 0.62% 5 5 4 4 4 4 3 3 3 3 Exxon 28.03% 221 207 +194 184 171 159 150 136 129 125 LL&E 0.03% <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 Forcenergy [7] 0.04% <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 Mobil 1.42% 11 10 10 9 9 8 8 if te 6 Phillips 1.40% 11 10 10 9 9 8 a 7 6 6 Texaco 0.39% 3 3 3 3 2 2 2 2 z 2 TOTAL Amoco 7 6 6 5 5 4 4 4 3 3 TOTAL Arco 417 396 376 360 343 319 299 278 263 253 TOTAL BP 685 557 528 502 477 448 423 396 378 368 TOTAL Chevron 5 5 5 4 4 4 4 3 3 3 TOTAL CIRI <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 TOTAL Doyon <6 <5 <5 <5 <5 <5 <5 <5 <5 <5 TOTAL Exxon 299 274 249 230 = 211 193 180 163 153 147 TOTAL LL&E <5 <5 <5 <5 <5 <5 <5 <6 <5 <6 TOTAL Forcenergy [7] <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 TOTAL Mobil 12 11 11 10 10 9 8 8 7 7 TOTAL NANA <6 <5 <5 <5 <5 <5 <6 <6 <5 <6 TOTAL Oxy § 6 6 6 6 7 7 7 7, 7 TOTAL Phillips 1 10 10 9 9 8 7 7 6 6 TOTAL Texaco 3 3 3 3 2 2 2 2 2 2 TOTAL Unocal 20 19 19 19 18 17 16 15 14 13 TOTAL NORTH SLOPE 1,366 1,290 1,213 1,149 1,086 1,012 951 883 837 810 [AVAILABLE ROYALTY OIL Royalty Percent peacoe |e 14.4% 10 9 8 8 7 6 6 5 5 4 Greater Point Mcintyre [3] 12.5% 24 20 16 13 11 9 8 7 7 6 Kuparuk River [4] 125% 33 33 33 33 «434 ©«©63206 -30062906l6U7F lO Milne Point [5) 14.6% 8 9 10 10 10 11 11 11 11 11 Prudhoe Bay [6] 12.5% 99 92 87 82 76 71 67 61 58 56 TOTAL 173 164 154 146 138 129 121 113 107 103 (IN-KIND ROYALTY OIL SALES Mapco [8 35 35 3 35 35 35 35 - - - Tesoro [9 36 32 - - - - - - - - TOTAL 71 67 35 35 35 35 35 - - - (IN-VALUE ROYALTY OIL TOTAL 103 96 119 111 103 94 86 113 107 103 1] Average from operator royalty statements of January through September 1996. Endicott production includes Endicott and Sag Delta. [3] Greater Point Mcintyre production includes Larch, Lisburne, Niakuk, North Prudhoe Bay State, Point Mcintyre and West Beach. [4] Kuparuk River Unit includes West Sak. 5] Milne Point production includes Milne Point, Schrader Bluff and Sag River. 6] Prudhoe Bay Unit includes Satellites. Marathon has announced that it has sold its interest in its Prudhoe Bay properties to Forcenergy. [8] The Mapco contract is for 35,000 BPD of Prudhoe Bay Unit royalty production. it expires 19] Pes Tecan ean ct is f f Pi Bay Ui Ity prod: ie Tesoro contract is for 30% of Prudhoe init royalty production, it expires December 1998. y Revised 4/24/97 Cumulative Production 2007 +2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 (MBbI) 28 25 23 21 19 18 16 15 14 13 12 11 10 9 258,090 3 2 2 2 2 a 2 1 1 1 1 1 1 1 25,448 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 52 16 15 14 12 11 10 9 9 8 iz © 6 6 5 153,202 <5 <5 <5 <5 <S <5 <5 <5 <5 <5 <5 <5 <5 <5 1,600 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 310 5 5 5 4 4 3 3 3 3 2 am rA 2 2 50,973 <5 0 0 0 0 0 0 0 0 0 0 0 0 0 955 3 2 2 2 2 2 a 1 1 1 1 1 1 1 25,499 cee 39 36 KI 29 27 23 20 16 11 7 4 3 3 460,291 12 11 10 8 8 u 6 5 4 3 2 1 1 1 126,120 17 15 14 12 11 10 9 8 6 4 3 1 1 1 180,802 14 13 12 10 9 9 7 6 5 4 2 1 1 1 153,369 201 188 179 168 154 142 128 118 109 100 89 81 72 64 1,554,386 111 103 99 93 85 78 71 65 60 5S 49 44 39 35 857,865 78 73 70 66 60 5S 50 46 43 39 35 32 28 25 608,542 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 a5 1,710 <5 <5 <5 <5 <5) <5 <5 <5 <5 <5 <5 <5 <5 <5 3,420 1 1 1 1 1 1 <5 <5 <5 <5 <5 <5 <5 <5 5,751 10 9 9 8 8 7 6 6 5 5 4 4 4 3 77,253 80 7 7 69 63 57 52 48 44 39 32 28 23 19 509,993 73 70 68 63 57 52 47 x) 40 35 29 2 21 18 464,195 7 7 7 6 6 5 5 4 4 3 3 2 2 2 45,797 426 402 379 356 338 #317 299 282 260 240 225 211 198 186 3,684,399 119 112 106 99 94 89 84 79 73 67 63 59 55 52 1,030,711 171 161 152. 143 135 127 120 113 104 96 90 84 79 75 1,478,181 3 2 2 2) 2 2 2 2 2 1 1 1 1 1 22,843 119 113 106 100 95 89 84 79 73 67 63 59 55 52 1,032,553 <S <5 <5 <5 <5 <S <S <5 <5 <5 <5 <S <5 <5 1,105 <5 <5 <S <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 1,474 6 6 5 5 5 4 4 4 4 3 3 3 3 3 $2,318 6 6 5 5 5 4 4 4 4 3 3 3 3 3 51,582 2 2 c 1 1 1 1 1 7 1 1 iv 1 1 14,369 3 2 2 2 2 2 2 1 1 1 1 1 1 1 25,448 242 «#2270 «4214 = = 201 187 174 160 149 137 125 114 104 96 88 2,014,747 366 «93350 «6317 296) 2768 «= 265 236 «= 219 201s «1820s 163) 149) 1135S 123 2,884,922 3 3 3 a 2 2 2 2 2 2 1 1 1 1 24,553 <6 <6 <6 <6 <6 <6 <6 <6 <6 <5 <6 <6 <5 <5 1,600 <6 <5 <5 <6 <6 <5 <5 <5 <5 <5 <5 <5 <5 <5 310 140 «#131 123 114 108 101 96 89 81 73 68 62 59 55 1,240,314 <6 <6 <5 <6 <5 <5 <5 <5 <5 <5 <5 <5 <5 <5 1,105 <5 <5 <5 <6 <5 <5 <. <5 <5 <5 <5 <5 <5 <5 1,474 7 6 6 6 5 5 § 4 4 4 4 3 3 3 58,070 <6 <5 <6 <6 <5 <5 <5 <5 <5 <5 <5 <6 <5 <5 955 7 7 im 6 6 5 5 4 4 3 3 2 2 2 45,797 6 6 5 § 5 4 4 4 4 3 3 3 3 3 51,582 2 2 if if 1 1 1 1 1 1 1 1 1 1 14,369 13 12 11 10 10 9 8 7 7 6 6 5 4 4 102,752 778 #731 690 645 602 559 517 481 442 401 364 333 305 280 6,467,998) 4 4 3 3 3 3 2 2 2 2 2 2 1 1 37,268 5 5 4 4 4 3 3 Za 2 1 1 <5 <5 <5 57,536 25 23 22 21 19 18 16 15 14 12 11 10 9 8 194,298 12 11 11 10 9 8 7 7 6 6 5 4 3 3 74,204 53 50 47 44 42 40 37 35 32 30 28 26 25 23 460,550 99 93 88 82 7 71 66 61 56 §1 46 42 39 36 823,857 - - - : : - - - - - - - - - 89,425 - . : - - - : : - - - . : 7 24,802 : : . : : - . . - - - - = - 114,228) 99 93 88 82 77 71 66 61 56 51 46 42 39 36 709,630 TABLE 2C - OIL PRODUCTION FORECAST AND AVAILABLE ROYALTY OIL FOR PRODUCING COOK INLET FIELDS THOUSANDS OF BARRELS PER DAY Cumulative Total Production Offtake 1997 1998 1999 2000 2001 2002. 2003 «= 2004 += 2005-2006 (MBbI. PRODUCTION FORECAST (1) Granite Point 6 6 5 5 4 4 3 3 2 2 14,600 Mobil 31.55% 2 2 2 2 1 1 1 1 1 1 4,606 Unocal 68.45% 4 4 3 3 3 3 2 2 1 1 9,994 McArthur River 15 14 13 12 10 9 8 8 7 6 37,230 Forcenergy [2] 45.75% Ul 6 6 5 5 4 4 4 3 3 17,033 Unocal 54.25% 8 8 ul a 5 5 4 4 4 3 20,197 Middle Ground Shoal 6 6 5 5 4 4 3 3 2 2, 14,600 Shell 81.12% 5 5 4 4 3 3 7d 2 2 2 11,844 Unocal 18.88% 1 1 1 1 1 1 1 1 <5 <5 2,756 Trading Bay 1 1 1 fl 1 - - - - - 1,825 Forcenergy [2] 50.00% 1 1 1 1 1 - - - - - 913 Unocal 50.00% 1 1 1 1 1 - - - - - 913 West McArthur River 3 2 1 1 1 - - - - - 2,920 Stewart et al. 100% 3 2 1 1 1 - - - : : 2,920 TOTAL FORCENERGY [2] 7 7 6 6 5 4 4 4 3 3 17,945 TOTAL MOBIL 2 2 2 2 1 1 1 1 1 a 4,606 TOTAL SHELL 5 5 4 4 3 3 2 2 2 2 11,844 TOTAL STEWART 3 2 if 1 a - : : - - 2,920 TOTAL UNOCAL 14 13 12 11 9 8 7 7 6 5 33,860 TOTAL COOK INLET 31 29 25 24 20 17 14 14 11 10 71,175 AVAILABLE ROYALTY OIL Royalty Percent Granite Point 12.5% 1 1 1 1 1 1 <5 <5 <5 <5 1,825 McArthur River 12.5% 2 2 2 2 1 1 1 1 1 1 4,654 Middle Ground Shoal 12.5% 1 1 1 1 1 1 <5 <5 <5 <5 1,825 Trading Bay 12.5% <5 <5 <5 <5 <5 - - - - - 228 West McArthur River 12.5% <5 <5 <5 <5 <5 : : : - - 365 TOTAL 4 4 3 3 3 2 2 2 1 1 8,897 11] Projection is not extended nd 2006 because production is very sensitive to short term economics. Beaver Creek and Swanson River fields are not included because the state has no leases in either field. 12) Marathon recently announced that it sold its interests in its Cook Inlet oil producing properties to Forcenergy but retained its interests in its gas producing properties. Revised 7 Ca 10 FIGURE 2A-1 - OIL PRODUCTION FORECAST FOR NORTH SLOPE, BY AREA —— NORTH SLOPE 4a Prudhoe Bay Unit -&— Kuparuk River Unit »— Milne Point Unit %*— Greater Point Mcintyre Area @— New Discoveries +— Duck Island Unit j | | | Thousands of Barrels per Day FIGURE 2A-2 - OIL PRODUCTION FORECAST FOR GREATER POINT McINTYRE AREA ——— GREATER POINT McINTYRE AREA —#- Point Mcintyre g —— 4 Niakuk —< Lisburne —*— Other Thousands of Barrels per Day 8 8 | | | = —— + 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 1 FIGURE 2A-3 - OIL PRODUCTION FORECAST FOR NEW DISCOVERIES 60 7 ———-- —--@--@—@--@ —¢- Alpine —- Northstar —&— Other Onshore & | | Thousands of Barrels per Day 8 | | | | 1998 2000 2002 2004 2006 2008 2010 2012 2014 - — top 2016 2018 2020 40 ~— ———_—___—_——. ——— a —— COOK INLET —- McArthur River —&— Granite Point —x-— Middle Ground Shoal "| -*— West McArthur River -@- Trading Bay 8 Thousands of Barrels per Day 8 + + ' ‘ + ‘ ‘ ‘ + +——++ + —+—4 2008 2010 2012 2014 2016 2018 2020 12 Thousands of Barrels per Day FIGURE 2B - OIL PRODUCTION FORECAST FOR NORTH SLOPE, BY PRODUCER 9800. pO ——— NORTH SLOPE ‘a- BP “&— Arco >»— Exxon +*— Others 1000 +— 500 o}— i 5 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 13 3 OIL PRODUCTION HISTORY PRE-1950’S PRODUCTION Dozens of wildcat oil wells were drilled in Alaska in the late 1800’s and early 1900's, mostly along the coasts of the Gulf of Alaska, Cook Inlet and the National Petroleum Reserve, Alaska (NPRA). Only Katalla field, near Cordova, produced commercial quantities of oil. COOK INLET Alaska’s first significant oil field, Swanson River, was discovered in 1957 and began production in 1959. Five other fields were discovered nearby and brought to production between 1965 and 1972. Two fields, Sunfish and West McArthur River, were discovered in 1991 and, though Sunfish development remains uncertain, West McArthur River began production in 1993. Oil from fields on the west side of Cook Inlet is transported by pipeline to the Drift River Terminal. At present all west side oil is shipped to West Coast refineries, though up to the mid-80’s some west side oil was shipped to Nikiski to the former Chevron refinery and the Tesoro refinery. The state also sold some west side royalty oil to the Chinese Petroleum Company (Taiwan) between 1987 and 1991. Oil from fields on the east side of Cook Inlet flows to Nikiski where most of it is refined at the Tesoro refinery and the balance is shipped to West Coast refineries. Regional production peaked at 83 million barrels per year in 1970 and has declined to 15.2 million barrels in 1996. By the end of 1996 Cook Inlet fields have produced 1.2 billion barrels of oil, 48% from McArthur River, 18% from Swanson River and 34% from the combined other fields. NORTH SLOPE Atlantic Richfield discovered the first commercial North Slope oil field at Prudhoe Bay in 1968. At that time the only land transport system of any kind north of the Brooks Range was a few miles of road at Barrow. During the next several years the field was delineated and partially developed and simultaneously a transport system was designed and built. Construction of the Trans Alaska Pipeline System (TAPS) began in 1975 and was completed in 1977. While waiting for pipeline completion Prudhoe Bay field produced small amounts of oil and gas to fuel the field operations and surplus crude and residual oil was injected back into the reservoir. Kuparuk, Lisburne and Milne Point fields were subsequently developed including direct pipelines to TAPS. Endicott field, like Prudhoe Bay field, was developed before its causeway connection to TAPS was completed and in the interim, like Prudhoe Bay, it produced and injected a small volume of oil. From the beginning of Prudhoe Bay production, the dissolved gas and water have been separated from the crude oil and, augmented with sea water, injected back into the reservoir. Inevitably, the reservoir's proportion of both gas-and-water to oil increased and eventually, oil production was constricted by the rate at which the separating plants could extract gas and water. To alleviate this constraint the gas and water handling facilities were expanded in 1986, 1991 and 1993-1994. North Slope production, including oil, condensate and NGLs, peaked at 744 million barrels per year (2.0 million barrels per day) in 1988 and has steadily declined to 529 million barrels per year (1.4 million barrels per day) in 1996. The combined fields have produced 11.6 billion barrels by end of 1996, 82% of it from Prudhoe Bay, 12% from Kuparuk and 6% from the combined other pools. Recent additions from Point Mcintyre, North Prudhoe Bay State, West Beach and Niakuk pools and an increase in Milne Point productionhave somewhat offset the regional decline NATURAL GAS LIQUIDS Most North Slope fields and the largest Cook inlet fields have produced NGLs at some time in their histories. Most of the North Slope NGLs are blended with the TAPS oil stream and transported to West Coast refineries and, beginning in 1996, the balance is piped to the Kuparuk River Unit and injected as miscible injectant. 15 TABLE 3 - OIL PRODUCTION HISTORY MILLIONS OF BARRELS PER YEAR Type[1] 1958 1959 1960 1961 1962 1963 1964 1965 1966 NORTH SLOPE Endicott oil - - - - - - - - - NGL - - - - - - - - - inj - - - - - - - - - net - : - - - - | - - Greater Point Mcintyre Area Lisburne oil - - - - - - - - - NGL - : : - - - - - - net - - - - - - - - - Niakuk [2] oil - - - - - - - - : NGL - - - - - - - - - net - - - - - - - - - Point Mcintyre oil - - - - - - - - - NGL - - - - - - - - - net = - - - - - - - - Other North Prudhoe Bay State oil - - - - - - - - - NGL - - - - - - - - - net - / - : - - 7 a 2 West Beach oil - - - - - - - - - NGL - - - - - - - - - net - - - - - - - - - Kuparuk River Unit Kuparuk oil - - - - - - 2 - 7 NGL - - - - - - - - - net - - - - - - - - - West Sak oil - - - - - - - _ - Milne Point Unit Milne Point oil - - - - - - - - - Sag River oil - - - - - - - - - Schrader Bluff oil - - - - - - - - - Prudhoe Bay Unit oil [3] - - - - - - - - - NGL - - - - - - - - - inj - - - - - - - - - net - - - - - - - - - Sag Delta oil - - - - - - - - - NGL - - - - - - - - - net - - - - - - - - - TOTAL OIL [3] - - - - - - - . . TOTAL NGL - - - - - - - - - TOTAL INJECTION - - : - : e E | a TOTAL NET - - : - - - . - : COOK INLET Beaver Creek oil - - - - - - - 7 : Cannery Loop [4] NGL - - - - - - - - - Granite Point oil - - - - - - S 0.002 _ Kenai [4] NGL - - - - - - - - - McArthur River oil - - - - - - - 0.001 0.003 NGL - - - - - - - : il net - - : - - - - 0.001 0.003 Middle Ground Shoal oil - - - - - - - 0.027 2.649 Redoubt Shoal oil : - : - - - - - - Swanson River oil 0.036 0.187 0.558 6.327 10.259 10.740 11.054 11.099 11.712 NGL - - : - - - - L J net 0.036 0.187 0.558 6.327 10.259 10.740 11.054 11.099 11.712 Trading Bay oil - - - - - - - 0.002 - NGL - - - - - - - 7 J net - - - - - - - 0.002 West McArthur River oil : : : - - - - i. . TOTAL OIL 0.036 0.187 0.558 6.327 10.259 10.740 11.054 = 11.131 14.364 TOTAL NGL - - : - - - - - - TOTAL NET 0.036 0.187 0.558 6.327 10.259 = 10.740 11.054 = 11.131 14.364 STATE TOTAL OIL [3] 0.036 0.187 0.558 6.327 10.259 10.740 11.054 11.131 14.364 TOTAL NGL - - - - - : - - 7 TOTAL INJECTION - - : - - - - - 7 TOTAL NET 0.036 0.187 0.558 6.327 10.259 10.740 11.054 11.131 14.364 Source: Alaska Oil and Gas Conservation Commission (AOGCC), “Alaska Production Summary by Field and Pool", monthly report. fl oil = crude oil, NGL = natural gas liquids, liq = liquids: oil + NGL, inj = injection, net = oil+NGL-inj. 2] Niakuk production and reserves include Niakuk and West Niakuk. [3] Prudhoe Bay production includes oil and condensates. [4] Gas field temporarily produced NGL. [5] Endicott reserves includes Endicott and Sag Delta North. [6] North Prudhoe Bay State reserves includes North Prudhoe Bay State and West Beach. [7] West Sak reserves includes K-10, Tabasco and West Sak. [8] Milne Point reserves includes Milne Point, Sag River and Schrader Bluff. Revised 4/24/97 16 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 - - - 0.006 = . . . . . . . . : : : 0006 = - - : - - - : : : : 0.277 1493 1.157 0922 0944 2170 2870 4604 115.258 397.679 468.412 : : 0217 0879 0833 0792 0817 1640 2147 3611 2075 ~~ - - : : 0060 0314 0324 0130 0.127 0530 0.723 0993 113183 397.679 468.412 : : 0.277 1.199 «1.157 0.922 «0.944 = 2.170 2.870 «4.604 118.288 397.679 468.412 : : 0.217 0879 0.833 0.792 0.817 1640 2.447 3.611 2.075 : : : : 0.060 0320 ©0324 «0130-0127 «0.630 0.723 ~«—«0.993 113.183 397.679 468.412 : : 3 : : 0.002 0416 0375 0322 0302 0276 0223 o.211 7.052 13131 9183 7522 5577 4663 4767 4237 4361 4471 4711 4867 4613 - - 0.002 0.002 0.001 0.002 0.001 <001 0.001 0001 <001 0.001 <.001 0.749 21.782 31.301 40.165 40.537 40.774 38884 39.145 40876 35810 33.235 30.223 25.440 . : : 0.426 0593 0570 0661 0654 0644 0653 0733 0730 0.541 0.749 21.782 31.301 40591 41.130 41.344 39545 39.798 41.520 36.464 33968 30.953 25.981 7404 14134 10467 12719 11304 9719 10239 9001 8670 8864 7617 6382 5545 : 0002S : i : : : : 2 : 3 12980 13619 13.151 12408 11.466 8896 10064 9765 8754 7591 5981 4870 4.344 : 0.004 0.070 0063 0077 0012 0.098 0.096 0.089 0.090 0.086 0.065 0.080 12.980 13624 13.221 12471 11.543 8908 10163 9861 8843 7.681 6066 4935 4424 0729 3477 9.936 9600 8744 8585 7825 7552 6128 5366 4276 3567 2892 : - : 0.039 0.039 0.025 0051 0.043 0031 0.026 0.044 0.019 0.014 0729 3477 9.936 9639 8782 8610 7877 7594 6158 5392 4320 3587 2906 28.913 66.146 74.038 82.415 77.628 72.640 72.196 70.074 69.111 62.404 56.095 50.132 43.045 : 0.004 0.073 «0.530 «0.710 «0.608 ~=—«0.812-«0.793 «0.765 «0.770 «863. «815 (0.635 28.913 66.150 74.111 82.945 78.338 73.248 73.007 70.867 69.876 63.175 56.958 50.946 43.680 28.913 66.146 74.315 83.614 78.785 73.562 73.139 72.244 71.980 67.009 171.363 447.810 11.457 i 0.004 0.073 +0530 «0.710 «0.608 ©0812 «0793 «0765 «0770 «0.863. «0815 0.635 : : 0.217 0879 0.833 0792 0817 1640 2147 3611 2075 - : 28.913 66.150 74.171 83.265 78.661 73378 73.134 71.397 70.698 64.168 170.141 448.625 512.092 17 TABLE 3 - OIL PRODUCTION HISTORY, Continued MILLIONS OF BARRELS PER YEAR Type[1] 1980 1981 1982 1983 1984 1985 1986 1987 1988 NORTH SLOPE Endicott oil - : - - - - 0.011 8.796 37.441 NGL - - - - - - - 0.003 0.492 inj - - - = - - 0.007 0.014 - net - - - - - - 0.004 8.785 37.933 Greater Point Mcintyre Area Lisburne oil - 0.002 0.208 0.087 0.294 1.123 3.594 16.199 15.095 NGL - : - - - : - 0.458 1.008 net - 0.002 0.208 0.087 0.294 1.123 3.594 16.657 16.103 Niakuk [2] oil - - - - - - - - - NGL - - - - - - - - : net - - - - - - - - : Point Mcintyre oil - - - - - - - - - NGL - - - - - - - - - net - - - - - - - - - Other North Prudhoe Bay State oil - - - - - - - - - NGL - - - - - - - - - net - - - : - - : - - West Beach oil - - - - - - - - - NGL - - - - - - - - - net - - - - - - - - - Kuparuk River Unit Kuparuk oil - 1.092 32406 39.876 46.084 78.926 93.900 102.448 110.891 NGL - - - - - 0.761 1.072 1.257 0.256 net - 1.092 32.406 39.876 46.084 79.687 94.972 103.705 111.146 West Sak oil - - - 0.006 0.124 0.326 0.300 - - Milne Point Unit Milne Point oil - - - - - 0.704 4.709 0.040 - Sag River oil - - - - - - - - - Schrader Bluff oil : : : : : : : : - Prudhoe Bay Unit oil [3] 555.394 555.170 558.889 560.837 561.952 568.534 561.538 572.045 559.412 NGL 0.254 0.450 0.500 0.311 0.317 0.056 0.230 14.610 19.274 inj - - - - - : - - - net 555.648 555.620 559.389 561.148 562.269 568.590 561.767 586.655 578.686 Sag Delta oil - - - - - - - - - NGL - - - - - - - - : net : : : : - : : : 0.000 TOTAL OIL [3] 555.394 556.264 591.503 600.806 608.454 649.613 664.052 699.527 722.840 TOTAL NGL 0.254 0.450 0.500 0.311 0.317 0.817 1.302 16.328 21.029 TOTAL INJECTION - : : : - - 0.007 0.014 - TOTAL NET 555.648 656.714 592.003 601.117 608.771 650.430 665.347 715.841 743.869 COOK INLET Beaver Creek oil 0.214 0.180 0.182 0.170 0.159 0.146 0.158 0.185 0.141 Cannery Loop [4] NGL - - - - - - - - - Granite Point oil 4.394 3.975 3.467 3.550 3.287 3.052 3.169 2.803 2.677 Kenai [4] NGL - - : : - - - - - McArthur River oil 20.894 18.022 15.806 13.564 11.707 7.454 7.942 7.375 7.143 NGL 0.412 0.484 0.449 0.332 0.317 0.194 0.228 0.196 0.162 net 21.306 18.506 16.255 13.896 12.024 7.648 8.170 7.571 7.305 Middle Ground Shoal oil 4.854 4.291 3.573 3.381 3.238 3.098 3.211 2.834 2.742 Redoubt Shoal oil : : : - - : - - - Swanson River oil 3.724 2.938 2.999 3.017 2.517 2.165 2.055 2.059 2.127 NGL 0.064 0.048 0.048 0.045 0.039 0.026 0.054 0.030 0.033 net 3.787 2.986 3.047 3.062 2.556 2.191 2.109 2.089 2.159 Trading Bay oil 2.167 1.669 1.384 1.081 1.075 1.029 1.046 0.935 0.886 NGL 0.006 0.005 0.002 0.004 0.005 0.004 0.002 0.001 <.001 net 2.173 1.675 43 1.085 1.080 1.032 1.048 0.936 0.887 West McArthur River oil : : - : - - - - - TOTAL OIL 36.247 31.075 27.411 24.763 21.984 16.944 17.580 16.191 15.716 TOTAL NGL 0.481 0.538 0.499 0.381 0.361 0.223 0.284 0.227 0.195 TOTAL NET 36.728 31.613 27.910 25.144 22.344 17.167 17.865 16.418 15.911 STATE TOTAL OIL [3] 591.641 587.339 618.914 625.569 630.437 666.557 681.632 715.718 738.555 TOTAL NGL 0.735 0.988 0.999 0.692 0.678 1.040 1.586 16.555 21.224 TOTAL INJECTION - - - - - - 0.007 0.014 - TOTAL NET 592.376 588.327 619.913 626.261 631.115 667.597 683.211 732.259 759.780 Source: Alaska Oil and Gas Conservation Commission (AOGCC), “Alaska Production Summary by Field and Pool”, monthly report. [1] oil = crude oil, NGL = natural gas liquids, liq = liquids: oil + NGL, inj = injection, net = oil+NGL-inj. [2] Niakuk production and reserves include Niakuk and West Niakuk. [3] Prudhoe Bay production includes oil and condensates. [4] Gas field temporarily produced NGL. (5) Endicott reserves includes Endicott and Sag Delta North. [6] North Prudhoe Bay State reserves includes North Prudhoe Bay State and West Beach. [7] West Sak reserves includes K-10, Tabasco and West Sak. [8] Milne Point reserves includes Milne Point, Sag River and Schrader Bluff. ‘evised 4/21/97 18 Cumulative Production Reserves Field 1989 1990 1991 1992 1993 1994 1995 1996 (MMBBL) (MMBBL) Depletion 35.746 36.181 38996 40603 38.433 33.916 32998 26.450 329.571 0.839 0.845 1.170 1.468 1.551 1.481 1.203 1.013 10.066 2 = - - - 0.021 36.584 37.027 40.1 65 42.071 39.985 35.397 34.201 27.463 339.616 258 [5] 13.737 14669 13.316 12.517 8.500 6.957 5.482 4.465 116.245 1.093 1.204 1.337 1.464 1.277 0.939 0.823 0.674 10.276 14.830 tte] 14.653 13.981 9.777 7.896 6.305 5.139 126.521 57 69% - : : : 3.373 7.035 10.937 21.344 - - - : - 0.028 0.077 0.108 0.213 - - - - : 3.400 7.112 11.045 21.557 90 19% - - - : 7.519 37.545 50.154 57.926 153.144 - - - : 0.090 0.548 0.679 0.825 2.142 - : - : 7.609 38.093 50.833 58.751 155.286 310 33% - - - - 0.420 0.769 0.754 0.126 2.069 - : : - 0.015 0.031 0.034 0.003 0.083 - - - - 0.435 0.801 0.788 0.129 2.152 1 (6) 68% - : - : 0.720 0.511 0.163 0.474 1.869 - - : : 0.009 0.012 0.005 0.025 0.051 - - - - 0.729 0.523 0.168 0.499 1.920 [6] 109.770 107.206 113.571 118.506 115.166 111.795 106.999 99.459 1,388.101 - - - : - : : - 3.346 109.770 107.206 113.571 118.506 115.166 111.795 106.999 99.459 1,391.447 1,275 52% - - - - - - - - 0.755 279 [7] 0% 3.715 6.624 6.701 5.812 5.704 5.648 7.383 12.686 59.726 210 [8] 22% : a : : 0.142 0.346 0.488 (8) <.001 0. 004 0.756 1.135 1 060 1.030 1.167 1.068 6.219 281 [8] 2% 505.940 470.140 465.399 432.587 385.811 351.493 313.629 282.060 9,256.317 16.928 16.094 21.307 23.902 23.879 22825 26.810 30.549 218.297 : : : : : 13.013 522.869 486. 235 486.706 456.490 409. 690 374.318 340.439 312.609 9,461.601 3,443 73% 0.349 1.542 2.309 1.002 0.761 0.368 0.235 0.199 6.764 0.005 0.028 0.048 0.011 0.007 0.003 0.001 0.001 0.103 0.354 1.569 2.356 1.013 0.768 0.372 0.236 0.200 6.867 [5] 669.258 636.366 641.048 612.162 564.093 553.406 526.141 496.196 11,342.612 18.864 18.171 23.861 26.845 26.830 25.867 29.632 33.198 244.577 13.034 688.123 654.538 664.909 639.008 590.923 679.273 556.773 529.394 11,674.155 0.227 0.212 0.179 0.175 0.153 0.140 0.132 0.125 5.004 1 83% - - - - - <.001 <.001 <.001 <.001 2.275 2.064 2.522 2.488 2.209 2.580 2.556 127.688 13 91% - - - : - - - 0.012 6.955 7.247 7.397 6.636 7.091 6.622 6.102 581.148 0.000 : : : : : : 8.979 6.955 7.247 7.397 6.636 7.091 6.622 6.102 590.127 38 94% 2.769 2.670 2.423 2.160 2.785 2.823 2.396 176.679 18 91% e - - - 0.002 [8] 1 875 1.962 A 773 1 576 1.672 72 1.521 223.432 0.024 0.023 0.019 0.018 0.023 0.017 0.019 1.379 1.899 1.985 1.792 1.593 1.696 1.729 1.540 224.811 13 95% 1.264 1.216 0.886 0.742 0.743 0.722 0.589 96.757 - : : - - 0.360 1.264 1.216 0.886 0. 742 0.743 0.722 0.589 97.117 4 96% - 0.002 0.002 0.098 0.921 0.922 1.296 3.240 8 29% 15.366 15.340 15.179 13.853 15.561 15.513 14.585 1,213.950 0.024 0.023 0.019 0.018 0.023 0.017 0.019 10.730 15.390 15.363 15.198 13.871 15.585 15.530 14.604 1,224.680 684.625 647.614 656.388 627.341 577.946 568.967 641.654 610.781 12,556.562 18.888 18.191 23.884 26.864 26.848 25.891 29.649 33.217 255.307 . - . - - - - 13.034 703.513 665.705 680.272 654.206 604.794 594.858 571.303 543.998 12,798.835 19 FIGURE 3-1 - OIL PRODUCTION HISTORY OF NORTH SLOPE, BY AREA ——— NORTH SLOPE 4a Prudhoe Bay Unit — Kuparuk River Unit —< Duck Island Unit —*-— Greater Point Mcintyre Area —@— Milne Point Unit g | Millions of Barrels per Year 8 | | | | | | 8 Ob 1959 1961 1963 1965 1967 1969 1971 1973 1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 FIGURE 3-2 - OIL PRODUCTION HISTORY OF COOK INLET, FIVE LARGEST FIELDS 100 a ar MTTIITITITTIITTIIIITITTVIITaTITTCITGITP ETAT TTT SUPUIFAITENTFATIATVATII IAI AREINNGAEGEEGESAGGGEETTETSUUE =— COOK INLET 4 McArthur River u —a— Swanson River ll LINN _ | == Middle Ground Shoal —x— Granite Point . : s — Trading Bay > S 60 }——__— — —_—— - — — ———___________ — a 2 £ s o 6 Sinn 2 = 20 +— ° +—++ 1959 1961 1963 1965 1967 1969 1971 1973 1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 20 4 GAS PRODUCTION HISTORY NORTH SLOPE AT BARROW A small amount of gas has been produced near Barrow since the mid 1940’s, though records are available only from 1949, to fuel a nearby military base. Gas service was extended to the village after World War II and two other fields, East Barrow and Walakpa, have been developed since 1980. COOK INLET Cook Inlet gas production began in 1959 as a by-product of Swanson River oil development. As more oil and gas fields were discovered nearby Anchorage and Kenai markets sprouted and grew. In 1969 a ammonia-urea plant and a liquid natural gas (LNG) plant were constructed at Nikiski. Production remained low until 1966 but quickly increased from that year’s 12 billion cubic feet to 1970's 145 billion cubie feet. Production then rose gradually to 217 billion cubic feet per year in 1985, fell in 1986-1987 and has since rebounded to 221 billion cubic feet per year in 1996. Cook Inlet fields have produced a cumulative net 5.1 trillion cubic feet by the end of 1996. Swanson River's gas production history differs from those of other Cook Inlet fields. Whereas the other fields used their own gas to fuel production, Swanson River imported gas from other fields and injected it into its oil reservoir. The field operator revised this program in 1992 and no gas is now imported from other fields. Of the gas extracted from the oil, some is injected back into the reservoir and some is sold. NORTH SLOPE AT PRUDHOE BAY North Slope fields are so isolated that the only current economic use for their gas is to fuel the region’s oil field equipment and operations. During field development a small amount of oil and gas was produced for fuel. Since then a large amount of dissolved and free gas has been produced with the oil, separated from the oil, then injected back into the reservoir. Through seventeen years of production, as oil and gas have been withdrawn and the gas returned to the reservoir, gas has become an increasingly greater proportion of field production. Gross gas production in 1996 was 3.1 trillion cubic feet, but 92% of this was injected. The net production of 261 billion cubic feet, which fueled oil operations and transportation, is nearly equal to the total gas production of Cook Inlet. The 1996 net was a little less than in 1995 but is expected to increase for the next several years. North Slope fields have produced a cumulative net 3.0 trillion cubic feet by the end of 1996. 21 TABLE 4 - GAS PRODUCTION HISTORY BILLIONS OF CUBIC FEET PER YEAR Type [1] 1949 1950 1954 1952 1953 1954 1955 1956 1957 NORTH SLOPE East Barrow dry - - - - - - - = - Endicott esg : : : - - - - - é gy 5 oF inj - - - - - - - - - net - - - - - - - - 7 Greater Point Mcintyre Area - - - - - - 7 7 = Lisburne [3] csg - - - - - - - = = inj - - - - - - - - - net - : - : - : : - : Niakuk [3] [4] sg a = = . . - - . : inj - - - - iS 7 2 S net - - - - - - - - - Point Mcintyre [3] sg - - - - - 7 = - . inj - - - - : - - - : net : - - - - - - - - Other - - - - - - - = = N. Prudhoe Bay State [3] csg - - - - - - - : 7 West Beach [3] csg - - - - s = 7 - - Kuparuk River Unit - - - - - 7 7 = = Kuparuk csg - : - - - - - - - inj - - - - - - - = = net : : - - - - - - - West Sak esg : - - - - - - - 7 Milne Point Unit - - - - - - - - - Milne Point esg - - - - - - - - - inj - - - - - - - 7 - net - - - - - - - - - Sag River esg - - - - - - - - - Schrader Bluff csg - - - - - - - = = Prudhoe Bay esg : : : - - - - - - inj : - - - - - - - - net - - - - - - - - - Sag Delta esg - - - - - - - - - South Barrow dry 0.033 0.091 0.135 0.137 0.075 0.027 0.115 0.103 0.114 Walakpa dry - : - - - - - : 7 TOTAL GROSS 0.033 © 0.091 0.135 0.437 0.075 = (0.027 0.115 = 0.103 0.144 TOTAL INJECTED - - - - - - - = - TOTAL NET 0.033 0.091 0.135 0.137 0.075 0.027 0.115 0.103 0.114 COOK INLET Albert Kaloa dry - - - - - - - - 7 Beaver Creek csg - - - - - - - = = dry : - - - - - - = S inj - - - - - - - 5 © net - - - - - - - - - Beluga River dry - - - - - - i = = Birch Hill dry : - - - - - - 7 s Cannery Loop dry - - - - - - - = . Falls Creek dry = = - - - - - : S Granite Point csg - - - - - - - - . dry - - - - - - - - - net : : - - - - - - = Ivan River dry - - - - - : - - s Kenai dry - - - - - - - - : Lewis River dry - - - - - - - 7 S McArthur River csg - - - - - - - - s dry : : : : : : : : - net - : - - - - - - = Middle Ground Shoal csg - - - - - - - - = dry : - - - : : : - - net : : - - - - - - - Moquawkie dry - - - - - - - - - Nicolai Creek dry - - - - - - - - Ss North Cook Inlet dry - - - - - - - - - North Fork dry - - - - - - - - 7 Pretty Creek dry - - - - - - 7 = . Redoubt Shoal csg - - - - - - - - - Sterling dry : : - - - - - - - Stump Lake dry : : - - - - - - - Swanson River [5] [6] csg - - - - : - - - - dry - - - - - - - - : inj : : : - - - - 2 F net - : - - - - - - - Trading Bay csg - - - - - - 7 = - dry : : : : : : : - : net - - - - - - - - - West Fork dry : : - - - - - . - W. McArthur River csg - : - - - - - - 7 TOTAL GROSS - - - - - - - - - TOTAL INJECTED : - - - - - - - = TOTAL NET : : - - - - - = - STATE TOTAL GROSS 0.033 0.091 0.135 0.137 0.075 0.027 0.115 0.103 0.114 TOTAL INJECTED - - - 7 5 ' S a s TOTAL NET 0.033 0.091 0.135 0.137 0.075 0.027 0.115 0.103 0.114 22 1958 1959 1960 1961 1962 1963 1964 1965 1966 1967 1969 1970 = 0.243 1.037 0.243 1.037 0582 0.619 0.825 1.656 0.825 1.655 0.419 0.132 0.172 «0.172197 0.211 0.249 0.389 0.438 0.475 0.419 0.182» «0.172,SO.72,sO.197 0.211 0.249 0.389 0.438.475 oA 19 04 32 0.172 04 72 0.197 0.214 0.249 0.389 0.438 0.475 ° Orreee = a ° 0.168 18 3.038 3.571 0.065 : - Nn Co ice ° Qrrcrrees © 4.890 10.036 8.043 9.211 4.890 10.036 8.043 9.211 39.624 46.014 59.340 80.612 Bieta ° Pe Re ee ee ee ee ee ee Ree eee eee tes 3 : : 0.220 6.124 9.565 14.989 : - 0.032 4.629 4.699 - : 0.220 6.155 14.194 19.688 0.010 1.200 3.215 6.654 6.006 6.137 : 1.200 3.215 6.654 6.006 6.137 - - 0.034 0.353 0.514 0.083 : - 0.026 0.387 0.202 : : 7.881 40.947 1 0.105 > Cee ee Beare Teme eee ee eee) o o a o - ‘eo a . <.001 = - 120 0.157 0.180 0.198 0.265 0.265 3 0.025 1.914 3.233 3.831 5.622 13.541 25.434 40.756 50.396 0.157 3.943 2.141 0.740 : : : - 0.259 6. 5.620 4843 28.770 37.944 58.316 67.215 73.139 1.813 1.168 1.556 1.129 (22.407) (24.403) (32.882) (26.459) (22.743) 7 : 2.961 0.006 0.027 ~—0.099 - 0.020 46.482 0.006 0.027 (46.363) = o a BPE 8 - 0.001 0.315 0.722 7.119 7.156 0.001 0.315 0.722 2.961 7A 19 7.156 0.006 0.027 0.137 1.508 3.557 10.810 11.865 12.155 41.534 62.593 99.862 147.543 218.363 - 7 46.482 0.000 0.259 6.478 5.620 4.843 28.770 37.944 68.316 67.215 73.139 0.006 0.027 (46.345) 1.508 3.298 4.333 6.245 7.311 12.764 24.649 41.535 = 80.328 = 145.224 0.124 0.159 0.309 1.680 3.753 11.021 12.114 12.643 41.971 63.069 100.355 148.368 220.019 : : 46.482 - 0.259 6.478 5.620 4.843 28.770 37.944 68.316 67.215 73.139 0.124 0.159 (46.173) 1.680 3.495 4.543 6.494 7.700 13.204 25.124 42.039 81.153 146.879 23 TABLE 4 - GAS PRODUCTION HISTORY, Continued BILLIONS OF CUBIC FEET PER YEAR Type [1] 1971 1972 1973 1974 1975 1976 1977 1978 1979 NORTH SLOPE East Barrow dry - : - : - : > i 7 Endicott csg - - - - - - - - - ere META ea Ces f ; : : inj : : : : : : a 7 7 net : - - : : : - : - Greater Point Mcintyre Area - = 5 2 ; e z 7 ai Lisburne [3] csg e 2 Ss 2 S = = i a inj - : : : - - - : : net - - : : - - - - : Niakuk [3] [4] csg : : : : : : - * - inj - - - - - - - : : net : = : . : : 3 q a Point Mcintyre [3] csg - - : - - - - : - inj - - - - - - - - : net : : : : : : - : - Other - 7 = 2 - - = 3 2 N. Prudhoe Bay State [3] csg - - - - - - - : : West Beach [3] csg : : - : : : - : : Kuparuk River Unit : : : - : - - : - Kuparuk esg : - - - : - - : - inj - - - - - - - - - net : - : : : : - : : West Sak csg - - - - - - - - - Milne Point Unit : : : : : : : : : Milne Point csg - - - - - - - - - inj - - - - - - - - - net 0 a 5 3 a Fi 7 = = Sag River csg - - - - - - - - - Schrader Bluff csg - - - - - - - - - Prudhoe Bay esg 0.889 0.658 0.699 2.022 3.046 5.077 94.936 307.966 432.475 inj : - - : : : 68.118 271.854 390.136 net 0.889 0.658 0.699 2.022 3.046 5.077 26.818 36.111 42.339 Sag Delta esg : : : : : : - : : South Barrow dry 0.627 0.675 0.707 0.765 0.799 0.832 0.879 0.893 0.913 Walakpa dry - - - - - - - - - TOTAL GROSS 1.516 1.333 1.406 2.787 3.845 §.909 95.814 308.859 433.388 TOTAL INJECTED : o - = ei 0.000 68.118 271.854 390.136 TOTAL NET 1.516 1.333 1.406 2.787 3.845 §.909 27.696 37.004 43.252 COOK INLET Albert Kaloa dry 0.024 4 : 5 : . " - 5 Beaver Creek csg - <.001 0.153 0.130 0.104 0.095 0.090 0.092 0.094 dry - - 0.054 0.020 0.218 0.166 0.113 0.237 0.088 inj - - : 0.019 : 0.091 0.100 0.144 0.079 net : - 0.207 0.131 0.322 0.170 0.103 0.185 0.103 Beluga River dry 4.055 4.142 4.929 5.596 6.980 11.211 13.353 14.253 16.994 Birch Hill dry - - - - - - - - - Cannery Loop dry - - - - - - - - - Falls Creek dry - - - - - - - - - Granite Point csg 7.753 5.773 4518 3.265 3.390 3.205 3.634 3.860 3.287 dry - - - - - - - - - net 7.753 5.773 4.518 3.265 3.390 3.205 3.634 3.860 3.287 Ivan River dry - - - - - - - - - Kenai dry 72.184 76.007 71.345 68.485 77.175 79.467 81.886 97.290 97.029 Lewis River dry - - - - - - - - - McArthur River esg 15.732 15.477 14.178 12.739 13.474 12.202 11.969 10.923 8.849 dry 3.572 4.245 4.885 6.861 7.997 6.825 7.737 7.662 7.756 net 19.304 19.722 19.063 19.599 21.471 19.027 19.706 18.585 16.605 Middle Ground Shoal csg 5.147 4.075 4.826 4.260 4.199 4.347 4.108 3.290 2.744 dry - - - - - - - - - net 5.147 4.075 4.826 4.260 4.199 4.347 4.108 3.290 2.744 Moquawkie dry - : : - : - : - - Nicolai Creek dry 0.141 0.066 0.006 0.011 0.083 0.108 0.032 - - North Cook Inlet dry 45.024 41.580 42.709 44.238 45.622 45.091 47.201 46.757 49.448 North Fork dry - - - - - - - - - Pretty Creek dry - : - - - - - - - Redoubt Shoal csg - - - - - : - - - Sterling dry 0.267 0.172 0.027 0.032 0.035 0.035 0.029 0.024 0.025 Stump Lake dry - - - - : : - - - Swanson River [5] [6] csg 66.569 67.441 74.067 80.869 90.665 101.427 106.911 106.934 116.068 dry : - - - - : - - 0.198 inj 73.892 76.133 87.482 86.793 97.976 113.279 118.279 114.557 120.268 net (7.323) (8.692) (13.415) (5.924) (7.311) (11.852) (11.368) (7.623) (4.002) Trading Bay csg 9.097 5.668 3.539 3.312 2.613 2.473 2.890 2.427 1.713 dry - - - - - - - - - net 9.097 5.668 3.539 3.312 2.613 2.473 2.890 2.427 1.713 West Fork dry : - . - - : - 0.052. 0.770 W. McArthur River csg : - - - - - - - - TOTAL GROSS 229.566 224.647 225.236 229.817 252.554 266.651 279.955 293.800 305.063 TOTAL INJECTED 73.892 76.133 87.482 86.812 97.976 113.370 118.379 114.701 120.347 TOTAL NET 155.674 148.514 137.754 143.005 154.578 153.281 161.575 179.099 184.716 STATE TOTAL GROSS 231.081 225.980 226.642 232.604 256.399 272.560 375.769 602.659 738.451 TOTAL INJECTED 73.892 76.133 87.482 86.812 97.976 113.370 186.497 386.555 510.482 TOTAL NET 157.189 149.847 139.160 145.792 158.423 159.190 189.272 216.104 227.969 24 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 A 0.037 0.717 0.689 0.693 0.632 0.589 0.590 0.661 0.475 . - ‘ : - 0.195 8.237 34.834 41.194 : i i 3 3 : 5 5.615 28.023 33.033 : a : : : z 0.195 2.622 6.812 8.161 . 0.003 0.374 0.154 0.343 1.902 8677 «64.906 94.670 104.746 : . : : 5 z = 56.741 87815 102.248 : 0.003 0.374 0.154 0.343 1.902 8.677 8.164 6.855 2.498 z 0.615 22.989 44.391 57389 104.279 «114.889 «= 125.089 «119.883.107.519 5 0.000 17822 38.277. «Ss 47.930 = 85.909-S«:90.449-SS«89.191 87.906 83.323 5 0.615 5.166 6114 9.459 18370 24.440 35.898 31.977 24.196 5 2 z 0.005 0.079 0.134 0.108 5 Bi 5 5 : : 0.253 1.644 0.011 5 0.978 : : ; : : 0.197 : 0.320 _ : 3 : 0.253 1.447 0.011 : 0.658 597.148 647.768 818.993 846.674 936.613 970.290 1,228.527 1,404.992 1,412.853 546510 595.106 754.044 768.899 846.786 882.882 1.105.023 11248.094 1.244.284 50.638 52.662 64950 77.776 89.827 87407 123503 156.898 168.568 fi 5 : : 2 3 : : 0.236 1.027 1.009 0.541 0.650 0.678 0.589 0.622 0.598 0.758 598.175 649.431 781.496 «864.775 «905.828 1,044,491 1,096.981 1,427,982 1,655,639 1,668,758 646.510 596.106 715.635 «792.321 «846.829 «932.695 «973.628 11266670 11451.837 11463.208 61.666 64.325 _—«65.864 72.454 89.000 _-—«11.796 == 123.453 171.411 ~—«'203.801~—'208.550 0.091 0.080 0.082 0.092 0.101 0.094 0.078 0.053 0.039 0.064 0.090 0.137 0314 8.252 9234 10.833 17.694 15.475 14.307 12.257 0.029 0.020 0.037 0.031 5 : é z é : 0.151 0.197 0.359 8313 9.335 10.927 17.773 15.528 14.346 12.321 17.002 17.248 18.653 © 18.084 «= 19.833. S«22.571 25357 «23.971 25.586 30.126 : : i x : : : 9.400 11.255 3.233 3.509 2.780 2578 2.340 2.147 2.415 2.431 2.543 2.251 3.233 3.509 2.780 2578 2.340 2.147 2.415 2.431 2.543 2.251 98.846 105800 115.913 112978 110.109 115.842. 82.470 =» 90.014 76.299 «65.706 _ 3 : 0.696 1.644 1.338 0.345 0.045 0.095 8.043 7.651 7.521 6.444 5.834 4.073 4.397 3.393 4.120 4317 7.547 7/555 a7i9 7931 9.242 6.603 9.163 9.884 12.603 26.683 15.590 15.206 16240 14375 «15.076 10.676 13.560 13.277 16.722 31.000 2.628 2'502 2277 2293 2.212 2.129 1.199 1.274 1.223 1.250 : : 0.097 0.371 0514 0.493 01394 0312 0411 0715 2.628 2.502 2.374 2.663 2.726 2.622 1.593 1.586 1.635 1.965 41540 49.486 45.368 «= «47.877. «Ss«46.981 45.819 43.838 42.889 44.989 45.287 : : : i 3 : 0.067 0.776 0.871 0.641 0.026 0.023 0.024 0.022 0.018 0.012 0.002 2 : : 118.787 103.592 105.654 +s 97.507 «96.710 = 92.104 95,083 83.508 101.685 102.910 oines : ‘ 3 : : 5 0.555 0915 1.184 120636 106.137 «113.023 «95.353. © «93.687 = 89.025 -—S«(93,.602 87.013 99734 107.802 (1.781) (2.545) —=—«(7.369) 2.154 3.023 3.079 1.481 (2:949) 2866 (3.709) 1.448 1.232 1.221 0.925 0.934 1115 0.994 0.991 1120 1.291 0.104 0.192 0.411 0.631 0.626 0.417 0.385 0.443 0.191 0141 1.551 1.424 1.632 1.556 1.560 1.532 1379 1.434 1311 1.432 0.476 0.030 0.086 0.067 0.037 0.022 : A a : 299.929 299.038 309.121 «306.051 «305.421 «305.919 «284.874 «276.314 «296.347 «306.173 120.665 106.157 113.060 «95.384. «93.687 ©—««89.025 «93.602 87.013 99.734 107.802 179.264 192.881 —«-196.062 «210.667 —«214.733 «216.893 191.272 «189.302 += 196.614. «198.370 898.104 948.469 1,090.617 1,170.826 1,211.249 1,350.410 1,381,855 1,704.296 1,951.986 1,974.931 667.175 701.263 828.695 887.705 910.516 1,021.720 1,067.130 1,343.583 1,551.571 1,571.011 230.929 247.206 261.922 283.121 300.733 328.690 314.725 360.713 400.415 403.920 25 TABLE 4 - GAS PRODUCTION HISTORY, Continued BILLIONS OF CUBIC FEET PER YEAR Type [1] 1990 1991 1992 1993 1994 1995 1996 NORTH SLOPE East Barrow dry 0.488 0.583 0.439 0.259 0.223 0.099 0.064 Endicott csg 42.490 60.246 97.047 120.116 116.810 127.191 123.934 dry [2] : - - : - - 0.034 inj 35.523 51.136 85.082 100.682 102.534 113.839 111.638 net 6.967 9.110 11.964 19.434 14.276 13.352 12.330 Greater Point Mcintyre Area Lisburne [3] csg 107.592 124.360 154.468 130.882 101.260 80.866 67.013 inj 101.542 112.457 141.598 122.991 99.748 104.272 93.000 net 6.049 11.903 12.870 7.891 1.512 (23.406) (25.987) Niakuk [3] [4] csg - : - - 2.471 7.241 8.757 inj - - - - 2 7.802 0.000 net = = S : 2.471 (0.561) (0.561) Point Mcintyre [3] csg : - : 5.392 38.795 46.637 56.584 inj : : : 3.979 34.461 21.687 30.444 net 5 = - 1.413 4.334 24.950 26.140 Other N. Prudhoe Bay State [3] csg - : : 1.103 2.646 2.482 0.206 West Beach [3] csg - - : 0.592 4.119 0.446 2.720 Kuparuk River Unit Kuparuk csg 116.579 123.207 122.767 120.599 120.273 112.418 107.805 inj 91.273 95.982 96.625 94.339 93.288 84.317 83.632 net 25.306 27.225 26.141 26.260 26.986 28.101 24.173 West Sak csg - - - - Ss - = Milne Point Unit Milne Point csg 2.718 3.515 3.015 2.967 3.524 4.354 6.132 inj 1.401 1.704 1.632 1.836 2.305 3.399 4.307 net 1.318 1.811 1.383 1.131 1.219 0.955 1.825 Sag River esg - : S : : 0.098 0.299 Schrader Bluff esg - 0.244 0.536 0.518 0.515 0.656 0.453 Prudhoe Bay csg 1,481.462 1,768.837 1,951.156 2,116.808 2,402.584 2,716.959 2,750.907 inj 1,317.106 1,583.472 1,764.648 1,921.633 2,204.235 2,497.702 2,535.603 net 164.356 185.365 186.508 195.175 198.349 219.257 215.304 Sag Delta csg 1.416 2.347 0.703 0.529 0.259 0.152 0.099 South Barrow dry 0.733 0.662 0.628 0.441 0.261 0.052 0.051 Walakpa dry - 0.252 0.585 0.858 1.109 1.160 TOTAL GROSS 1,753.478 2,084.001 2,331.009 2,500.789 2,791.599 3,100.760 3,126.218 TOTAL INJECTED 1,546.845 1,844.751 2,089.585 2,245.459 2,536.571 2,833.018 2,858.624 TOTAL NET 206.633 239.250 241.424 255.330 255.028 267.742 267.594 COOK INLET Albert Kaloa dry - : - : : - : Beaver Creek csg 0.058 0.049 0.048 0.042 0.038 0.035 0.034 dry 12.416 10.354 7.320 6.294 1.266 1.880 3.008 inj - - : : : - - net 12.474 10.403 7.368 6.336 1.304 1.915 3.042 Beluga River dry 39.512 38.494 36.534 31.739 34.212 35.645 36.930 Birch Hill dry - : - - - - - Cannery Loop dry 12.502 12.318 10.635 9.516 6.361 5.535 2.072 Falls Creek dry : : : : 3 : : Granite Point csg 1.431 1.586 2.246 2.435 2.077 1.894 2.121 dry - : 2 0.009 - 0.048 0.130 net 1.431 1.586 2.246 2.444 2.077 1.942 2.251 Ivan River dry 0.676 2.132 1.774 8.238 15.996 12.027 6.605 Kenai dry 38.393 25.581 24.187 23.826 18.853 16.484 13.294 Lewis River dry 1.485 1.420 0.706 0.383 0.244 0.126 0.114 McArthur River esg 2.559 5.121 5.175 4.107 4.205 4.403 3.763 dry 48.897 56.075 64.895 58.406 45.821 50.511 63.512 net 51.456 61.196 70.070 62.512 50.027 54.914 67.275 Middle Ground Shoal csg 1.334 1.074 1.015 0.937 1.188 0.901 0.846 dry 1.246 0.513 1.362 2.004 1.837 1.237 0.006 net 2.579 1.587 2.377 2.941 3.025 2.138 0.852 Moquawkie dry - : - : - - - Nicolai Creek dry - : - : - - - North Cook Inlet dry 45.014 44.695 44.411 45.529 52.689 53.541 55.976 North Fork dry - : - : - : - Pretty Creek dry 0.607 0.742 0.762 0.333 0.203 0.256 0.301 Redoubt Shoal csg - - - - - - - Sterling dry : : - 0.007 0.224 0.184 0.037 Stump Lake dry 0.528 1.608 1.504 0.778 0.454 0.288 0.185 Swanson River [5] [6] sg 101.685 102.113 101.619 96.013 123.016 100.368 74.910 dry 2.710 2.944 2.915 2.206 1.919 1.413 1.249 inj 106.031 105.157 104.724 93.052 97.148 73.086 42.820 net (1.636) (0.100) (0.191) 5.167 27.787 28.695 33.339 Trading Bay csg 0.465 0.944 0.705 0.619 0.641 0.541 0.363 dry 0.003 : - = - e 0.022 net 0.467 0.944 0.705 0.619 0.641 0.541 0.385 West Fork dry S 0.460 1.364 0.625 0.206 0.016 : W. McArthur River csg - - <.001 0.031 0.216 0.231 0.309 TOTAL GROSS 311.519 308.224 309.176 294.075 311.668 287.564 265.787 TOTAL INJECTED 106.031 105.157 104.724 93.052 97.148 73.086 42.820 TOTAL NET 205.488 203.067 204.452 201.024 214.521 214.478 222.967 STATE TOTAL GROSS 2,064.996 2,392.225 2,640.185 2,794.864 3,103.267 3,388.324 3,392.005 TOTAL INJECTED 1,652.875 1,949.908 2,194.309 2,338.511 2,633.719 2,906.104 2,901.444 TOTAL NET 412.121 442.317 445.876 456.353 469.548 482.220 490.561 26 Cumulative Productiomn Reserves Field (BCF) (BCF) Depletion 7.238 5 59% 772.296 0.034 667.106 105.224 868.000 [7] 11% 1,042.215 1,022.412 19.803 320.000 6% 18.469 (0.561) 42.000 0% 147.408 90.571 56.837 620.000 8% 6.436 (8) 4.876 (8) 1,520.692 1,180.262 340.430 627.000 35% 0.326 (8) 29.111 17.101 12.010 20.000 38% 0.397 8] 2.922 (8) 25,658.502 23,240.695 2,417.807 23,000.000 10% 5.741 7 22.008 4.000 85% 3.964 27.000 13% 29,242.635 26,218.147 3,024.488 0.119 (8) 1.838 132.027 0.551 133.314 109.000 55% 561.956 704.000 44% 0.065 11.000 1% 79.539 36.000 69% 0.019 13.000 0% 110.881 0.187 111.068 27.000 80% 47.449 54.000 [9] 47% 2,129.758 296.000 88% 8.641 19] 231.566 561.485 793.051 592.000 57% 86.522 11.513 98.035 14.000 88% 0.985 (8) 1.062 2.000 35% 1,252.427 1,075.000 54% 0.105 12.000 1% 5.560 (9) 0.000 [8) 2.540 23.000 10% 5.345 (9) 2,655.363 30.112 2,845.753 160.278) 211.000 [6] 0% 67.202 3.565 70.767 29.000 71% 4.212 3.000 58% 0.789 (8) 7,992.832 2,846.304 5,146.528 37,235.467 29,064.451 8,171.016 Source: Alaska Oil and Gas Conservation Commission, “Alaska Production Summary by Field and Pool.” [1] dry = dry gas, csg = casinghead gas, inj = injected, net = dry + csg - inj. [2] The small Endicott dry gas value for 1996 was an injection of processed gas into Endicott when it resumed operation. [3] Oil from Lisburne, Point Mcintyre, Niakuk, Niakuk 27, North Prudhoe Bay State and West Beach flow to the Lisburne Production Center. Gas from these oil streams is extracted at the Center. Some of the extracted gas is returned to Point Mcintyre field for injection, but gas from the other fields is injected into Lisburne and Point Mcintyre only. Consequently, production, injection and reserves values may appear anomalous. [4] Niakuk includes Niakuk, Niakuk 27 and West Niakuk. [5] The very high gas injection figure for 1960 was an accounting adjustment. [6] Gas from other fields was injected into Swanson River field to maintain reservoir pressure. Consequently, production, injection and reserve figures may appear anomalous. [7] Endicott reserves include Endicott and Sag Delta reserves. [8] Not calculated. [9] Ivan River,Lewis River, Pretty Creek and Stump Lake, reserves are computed as a single reservoir. Reserves and Depletion of that reservoir are assigned to Ivan River. Revised 4/24/97 27 FIGURE 4-1 - GAS PRODUCTION HISTORY OF NORTH SLOPE , BY AREA 300 250 = x 8 8 Billions of Cubic Feet per Year 3 50 ——— NORTH SLOPE a Prudhoe Bay Unit ~a#— Kuparuk River Unit »— Duck Island Unit %*— Greater Point Mcintyre -@— Barrow Area eee 1950 1952 1954 1956 1958 1960 1962 1964 1966 1968 1970 1972 1974'1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 FIGURE 4-2 - GAS PRODUCTION HISTORY OF COOK INLET, FIVE LARGEST FIELDS 250 200 a 8 Billions of Cubic Feet per Day 8 50 "COOK INLET —m- Kenai —#&— North Cook Inlet —— McArthur River —*- Beluga River Swanson River EEE | oeee oe, 1950 1952 1954 1956 1958 1960 1962 1964 1966 1968 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 28 5 OIL CONSUMPTION HISTORY REFINED FUEL CONSUMPTION As in other areas, refined fuels are the only oil consumed in Alaska. No significant amount of crude oil has ever been consumed directly for manufacturing or commercial use other than refining. Much of Alaska’s fuel demand is supplied by four in-state refineries and two small distillation plants at Prudhoe Bay and Kuparuk River. The balance is imported from West Coast refineries. The proportion of fuels refined in-state and out-of-state can not be calculated from public data. The DOR compiles the only publicly available data on state fuel consumption. For tax purposes, the department collects data from distributors on how much fuel they have sold within the state. DOR’s fuel categories, reflecting Alaska’s economic dependence on transportation, differentiate fuels by type; aviation, diesel and gasoline and by transport mode; aviation, highway and marine. Tax exempt end-uses are sub-categorized. The DOR records do not include fuel consumed in Alaska but purchased outside the state, including most military fuel, and does not include fuel shipped into the Free Trade Zone at the Port of Anchorage and the Anchorage International Airport. In 1996 distributors sold 1.6 billion gallons of fuel, of which 1.5 billion gallons were consumed in-state and 112 million gallons were shipped out-of-state. An impressive conclusion from the data is that close to half - 48% (732 million gallons) - of all the fuel sold in Alaska is Aviation Jet. Diesel accounts for 29% (453 million gallons) and gasoline accounts for 23% (358 million gallons). REFINERY THROUGHPUT OF CRUDE OIL Alaska’s four industrial refineries do not report how much fuel they produce. Public data in Table 5 does report, however, how much crude oil flows into and, for three cases, how much residual oil flows out of the refineries. These data give some measure of in-state refining activity. 29 TABLE 5A - FUEL CONSUMPTION HISTORY MILLIONS OF GALLONS PER YEAR 1983 1984 1985 Exempt [1] Foreign Flights - - - - - - 163.100 230.044 141.862 Heating Fuel - - - - - - 93.269 99.191 105.469 Bulk Sales (Jet Fuel) - - - - - - 3.624 - - Gasohol - - - - - : : : 7 Public Utilities : : : : - - 92.894 96.311 102.425 State and Local Government - - - - - - 29.891 28.624 44.207 Federal Government - - - - - - 23.730 21.773 24.820 Exported as Cargo - - - - - - 20.571 21.776 100.840 Exempt Power Plants - - - - - - .847 6.691 14.098 Domestic - Non-Alaska Air Miles [2] - - - - - - - - - Foreign Trade Zone [3] - - - - - - - - - Oil and Gas Operations [4] - - - - - - - - - Charitable Institutions - - - - - - 137 105 116 Consigned to Foreign Countries - - - - - - 78.280 59.722 84.655 Losses - - - - - - .001 -605 -225 Other - - - - - - 1.796 466 042 Taxable Aviation Gas - - - - - - 14.746 16.825 17.482 Aviation Jet - - - - - - 274.760 299.494 294.457 Highway Diesel - - - - - - 241.785 245.113.274.151 Highway Gas - - - - - - 187.081 212.150 219.728 Marine Diesel - - - - - - 72.174 73.542 88.851 Marine Gas - - - - - - 8.516 8.835 14.413 Total Fuel Sales [1] - - - - - - 1,307.203 1,421.266 1,527.840 Total Fuel Sales, net of "Exported as Cargo” and “Consigned to Foreign countries” : : : - - - 1,208.352 1,339.768 1,342.345 Source: Department of Revenue, “Motor Fuel Activity Report.” Data from 1977 to 1982 are available but are somewhat incompatible with recent data. Data for 1983 to 1995 are summations of monthly reports but the 1995 and 1996 data are fiscal year summaries which DOR edited and believes to be more reliable than the annual summations. [1] Bonded category is not included. [2] Fuel claimed by taxpayers under their interpretation of the foreign flight exemption. These claims are under dispute with the department. [3] Fuel voluntarily reported on tax returns. El Fuel used in conjunction with oil and gas drilling operations. ‘evised 4/23/97 TABLE 5B - REFINERY THROUGHPUT HISTORY MILLIONS OF BARRELS PER YEAR 1977 1978 1979 1980 1981 1982 1983 1984 1985 Throughput at PS #1 112.315 397.149 467.939 554.934 556.067 591.142 600.859 608.836 649.887 Liftings at Valdez 96.669 394.080 464.394 548.895 547.026 583.370 592319 596.588 643.512 Net 15.646 3.069 3.545 6.039 9.041 7.772 8.540 12.248 6.375 Golden Valley Pipeline [1] Deliveries : - - - - - - - - Receipts : - - - - - - 7 - Net - - - - - - - - - Petrostar Refinery [1] Deliveries - - - - - - - . 7 Receipts - - - - - . : s S Net - - - - . = a = = Tesoro Refinery [2] Thruput - - - - - . = 7 = [1] 1977-1981: Alaska Oil and Gas Conservation Commission, "Statistical Report.” 1982-1996: Alyeska Pipeline Company. fl Tesoro Alaska Petroleum Company. ‘evised 4/23/97 30 1986 1987 1988 1989 1990 1991 1992 1993 FY 1994 FY 1995 FY 1996 192.596 225.607 242.202 258.757 303.044 257.623 236.556 198.916 338.188 407.515 346.505 114.318 97.277 103.136 §=113.602 113.159 110.922 128.800 brett 159.170 164.061 151.795 - - : : : - - 87.4: - : : 71 416 .215 022 6.045 - 17.118 17.157 : 30.296 79.327 111.157 109.167 95.960 69.472 157.955 104.764 116.262 69.026 33.208 28.365 28.265 44.054 24.361 24.971 24.576 21.293 28.937 28.317 30.859 27.625 24.032 23.272 24.281 25.852 50.587 29.813 36.242 24.057 25.397 25.976 98.653 64.180 69.014 372.853 458.016 436.760 457.604 358.678 298.407 194.442 221.140 82.205 81.854 112.151 12.968 18.718 14.426 11.637 12.104 9.714 5.260 5.790 4.321 4.236 1.893 - - - : - - - - - - 17.038 - - - - - - - - - - 8.451 : : : : - - : : 2.357 1.945 2.731 115 A75 -120 196 195 1.153 254 -360 632 659 838 021 42.960 .035 62.835 .001 : .800 6.092 - 378 : 338 335 345 .003 .000 .003 .001 .000 : - 032 a - - - - 1.559 28.011 16.092 -205 18.325 -236 16.957 18.108 18.571 18.493 19.788 18.887 19.481 18.463 20.657 21.165 20.951 311.966 326.128 351.207 370.434 449.753 374.475 379.448 346.049 242930 251.603 225.375 338.557 259.740 282.097 281.435 273.083 285.625 272.294 230.301 197.813 200.591 219.650 212.924 203.718 207.122 200.017 235.157 209.228 232.386 225.960 225.327 219.220 166.742 95.121 88.650 115.199 147.725 182600 178.342 188.041 162.226 155.424 144.293 160.742 10.173 11.327 10.479 10.008 10.238 9.662 12.938 10.535 10.416 10.262 10.771 1,858.570 1,910.554 1,953.432 2,056.630 2,179.338 1,913.356 1,885.805 1,816.750 1,599.131 1,672.980 1,645.779 1,485.696 1,409.578 1,516.638 1,536.191 1,820.658 1,614.949 1,690.563 1,589.519 1,516.926 1,590.748 1,533.628 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 665.435 716.662 744.108 688.062 654.551 665.175 639.390 591.220 579.320 555.939 512.725 653.028 700.878 731.663 672.461 636.199 647.345 623.217 570.707 559.082 535.790 486.774 12.407 15.784 12.445 15.601 18.352 17.830 16.173 20.513 20.238 20.149 25.951 - - - - - - - 48.430 48.267 50.874 52.901 33.970 33.705 34.563 35.124 14.460 14.562 16.311 17.777 9.204 10.597 11.949 14.062 6.821 8.021 9.038 10.514 2.383 2.576 2.911 3.548 18.176 16.848 18.608 17.693 31 FIGURE 5 - REFINED FUEL CONSUMPTION HISTORY OF STATE 2500 - - - —_—__— -- —-— —— TOTAL FUEL SALES —#- Aviation Jet —&— Highway Diesel 2000 —x-— Highway Gas —x— Marine Diesel ~@- Aviation Gas Marine Diesel g | | | | | | | Millions of gallons per Year 8 500 32 Cook Inlet Oil & Ga DIVISION OF OILAND GAS APRIL 1997 Pool Boundaries ~Unit Boundaries Oil Field / Accumulation Gas Field / Accumulation Platform Pipelines Production Facility ALASKA DEPARTMENT OF NATURAL RESOURCES s Map \Map Area 20 25 Miles Lewis River Lewis River Unit Pretty Creek Pretty Creek Beluga River Beluga River Unit Moquawkie ‘ Nicolai Creek Nicolai Creek Unit. aloa Trading Bay. North Trading Bay Unit o ia McArthur Rit North Middle G Trading Bay Ya W. McArthur River > Middle’Ground S| South Middle G W. McArthur Rivér Unit 2oufn, 4 Shoal Unit West Forelands o Redoubt Shoal f d Stump Lake Stump Lake Unit Ivan River Ivan River Unit North Cook Inlet North Cook Inlet Unit Granite Point round Shoal ‘gBirch Hill hoa Birch Hill Unit i, und Swanson River Unit Swanson River Soldotna Creek Unit eaver Creek eaver Creek Unit West Forks Drift River Terminal Cannery Loop Kenai Unit > Falls Creek Falls Creek Unit North Fork #North Fork Unit Beseriing Unit Sterling STERLING ‘Soldotna @ancuoracE \Ghevron Refinery (Closed) 8 Po oi \ °| Terminal Port Nikish } Rig= Tenders} \Lnss | PORT NIKISKI \ I} Pipetne | | DETAIL MAP: 1000 ft Tesoro Petroleum Refinery] Ammonia Urea Plant North Slope Oil & Gas Map ALASKA DEPARTMENT OF NATURAL RESOURCES DIVISION OF OILAND GAS APRIL 1997 -Pool Boundaries Unit Boundaries Oo Discovery / Accumulation PS-1™ Pump Station #1 TAPS Trans-Alaska 9 Pipeline Sandpi Unit Milne Pt. Unit Ley andpiper Uni . . Thetis Is. / —} Sandpiper Kuukpik Unit uukpik Uni [-—p_ r line Pt. Northstar Unit x aN os “ ~“\, OY NN: Petroleum Reserve- Kuparuk Kuparuk River Unit“ Beaufort Northstar/Seal Is ~pt. Mcintyre 7 _ North Prudhoe Bay LDP West Beach ; Gwydyr Bay F< Niakuk Ce Sag Delta North National YY \ fee] = aSS 5 Endicott ~ vB 5 Ze Duck Island Unit Te — erm Island — Badami Unit A Mikkelson Hwy _- Datton | _/ Hammerhead Unit |“ Hammerhead . 4 Kuvium Unit Pt. Thomson Unit Pt. Thomson Flaxman Island 1002 Area Wildlife Refuge 6 GAS CONSUMPTION HISTORY NORTH SLOPE The only present market for the North Slope gas reserves near Prudhoe Bay is as fuel for oil production facilities and oil field related activities. Consequently, 92% of the extracted gas is injected back into the fields to maintain reservoir pressure, to conserve the gas resources, and to produce incremental oil. Of the estimated 270 billion cubic feet that were consumed in 1996, 80% went to field related activities of which the largest consumers were the gas handling and gas injection systems. A further 14% was reported as NGLs, 4% was sold to TAPS for fuel and 2% went to all other uses, including heat and electricity generaton at Barrow. The volume of gas consumed on the North Slope to produce oil is larger than the combined Anchorage and Kenai domestic, commercial and industrial markets. COOK INLET Anchorage and Kenai markets, field operations and exports consume all the gas extracted from Cook Inlet fields except for a decreasing amount injected each year into Swanson River field. Of the 225 billion cubic feet consumed in 1996, 36% went to Phillips-Marathon’s LNG plant for combined fuel use and product, 24% went to Union’s ammonia-urea plant for both energy and feed stock, 16% to power generation, 14% to utility gas, 8% to field operations and 1% to other uses. 33 TABLE 6 - GAS CONSUMPTION HISTORY BILLIONS OF CUBIC FEET PER YEAR 1971 1972 1973 1974 1975 1976 1977 1978 NORTH SLOPE Field Operations [1] ND ND ND 2.650 2.808 3.856 24.444 29.231 Vented and Flared ND ND ND 1.076 1.061 1.254 10.882 2.313 Used on Lease ND ND ND 1.574 1.747 2.602 13.562 26.918 Sold [1] ND ND ND 0.136 1.037 2.054 3.347 7.802 Power generation [3] ND ND ND ND ND ND ND 0.219 Gas Utilities [2] ND ND ND ND ND ND ND 0.291 TAPS [3] - - - - - - 1.754 6.949 NGL [4] - - : - - - - - Unaccounted [5] - - - - - - : - TOTAL : : : 2.786 3.845 5.910 27.791 37.033 COOK INLET Field Operations [1] 45.250 36.560 20.900 49.834 28.830 24.467 24.416 25.949 Vented and Flared 33.180 20.980 6.930 7.978 9.496 5.421 4.848 3.870 Used on Lease 12.070 15.580 13.970 41.856 19.334 19.046 19.568 22.079 Sold [1] 121.717 123.717 130.937 130.509 140.717 143.710 152.437 164.300 Power generation 16.529 19.253 21.752 22.801 25.461 27.628 28.717 29.883 Public [6] 9.980 12.780 15.683 17.117 19.619 22.204 23.717 24.757 Military [7] 6.549 6.473 6.069 5.684 5.842 5.424 5.000 5.126 Gas Utilities [7] 10.238 13.099 14.757 15.128 12.092 12.551 12.683 13.454 Residential 5.440 6.027 6.519 6.717 5.548 5.916 6.010 6.536 Commercial 4.798 7.072 8.238 8.411 6.544 6.635 6.673 6.918 LNG [8] 63.240 §7.133 60.570 61.656 63.904 62.090 65.449 60.102 Ammonia-Urea [8] 19.490 20.580 20.640 22.100 23.888 24.257 28.620 48.879 Rental Gas [10] ND 13.400 12.590 10.410 12.477 11.588 6.703 10.523 Unaccounted [5] 12.220 0.252 0.628 1.586 2.895 5.596 10.265 1.459 TOTAL 166.967 160.277 151.837 180.343 169.547 168.177 176.853 190.249 STATE Field Operations [1] 45.250 36.560 20.900 52.484 31.638 28.323 48.860 55.180 Vented and Flared 33.180 20.980 6.930 9.054 10.557 6.675 15.730 6.183 Used on Lease 12.070 15.580 13.970 43.430 21.081 21.648 33.130 48.997 Sold [1] 121.717 123.717 130.937 130.645 141.754 145.764 155.784 172.102 Power generation 16.529 19.253 21.752 22.801 25.461 27.628 28.717 30.102 Public [2][6] 9.980 12780 15.683 17.117 19619 22204 23.717 24976 Military [7] 6.549 6.473 6.069 5.684 5.842 5.424 5.000 5.126 Gas Utilities 10.238 13.099 14.757 15.128 12.092 12.551 12.683 13.454 Residential [2][7] 5.440 6.027 6.519 6.717 5.548 5.916 6.010 6.536 Commercial [7] 4.798 7.072 8.238 8.411 6.544 6.635 6.673 6.918 LNG [8] 63.240 57.133 60.570 61.656 63.904 62.090 65.449 60.102 Ammonia-Urea [9] 19.490 20.580 20.640 22.100 23.888 24.257 28.620 48.879 Rental Gas [10] ND 13.400 12.590 10.410 12.477 11.588 6.703 10.523 TAPS [3] - - : - - - 1.754 6.949 NGL [4] - : - 7 7 - - - Unaccounted [5] 12.220 0.252 0.628 -1,.586 2.895 5.596 10.265 1.459 TOTAL [11] 166.967 160.277 151.837 183.129 173.392 174.087 204.644 227.282 uy [2] [3] [4] {5} (6] (7) (8) {9] appropriate data is not available. Estimated from part-yearly reports. Alaska Oil and Gas Conservation Commission (AOGCC), "Report of Gas Disposition." AOGCC modified its consumption classification in 1994 but the classes in this table are equivalent throughout the time series. Barrow Utilities and Electric Cooperative Inc.. Royalty reports from Arco to Division of Oil and Gas, sales to TAPS from Prudhoe Bay field. Alaska Oil and Gas Conservation Commission, “Alaska Production Summary by Field and Pool", monthly reports. NGLs volumes are reported in barrels, here converted to billions of cubic feet by: 1 Bbl=1.2 Mcf. Calculated difference between "Sold" and sum of listed "Sold" items. 1971-91: Alaska Energy Authority, “Alaska Electric Power Statistics, 1960-1991" 1992-96: Chugach Electric and Municipal Light & Power. 1971-82: Annual reports from Alaska Pipeline Co., Enstar and Kenai Utility Service Co. to Alaska Public Utilities Commission 1983-96: Enstar Natural Gas Co.. Phillips Petroleum Co. 1971-74: Stanford Research Institute, "Natural Gas Demand and Supply to the Year 2000 in the Cook Inlet Basin of South Central Alaska,” Nov 1977. 1975-79: Sum of 1) sales from Kenai and Beaver Creek gas fields to Collier Chemical in: Alaska Oil and Gas Conservation Commission, "Kenai Gas Sales” and 2) sales from McArthur River gas field in: Alaska Oil and Gas Conservation Commission, "Monthly Report of Gas Disposition.” 1980-85: Royalty reports from producers to Division of Oil and Gas. 1986-96: Unocal Corp. [10] Gas produced and sold from other fields and injected into Swanson River field to maintain reservoir pressure. 1972-90: Royalty reports from Unocal to Division of Oil and Gas, item: Swanson River Rental Gas. 1991-96: Unocal Corp. [11] AOGCC tabulates gas produced, reported in Table 4, and gas consumed, reported in this table. The two tabulations differ slightly. Revised 4/26/97 34 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 33.763 39.697 41.607 51.921 58.210 74.732 91.388 101.722 143.272 152.558 163.955 1.840 1.801 2.485 3.490 2.524 5.814 3.437 5.802 12.952 5.747 6.792 31.923 37.896 39.122 48.431 55.686 68.918 87.951 95.920 130.320 146.811 157.163 9.512 12.007 12.791 14,000 14.589 15.088 20.089 20.001 42.719 48.287 39.546 0.235 0.235 0.315 0.404 0.482 0.480 0.486 0.559 0.544 0.620 0.620 0.317 0.400 0.435 0.539 0.407 0.508 0.453 0.486 0.493 0.519 0.484 8.648 10.686 11.106 11.952 13.277 12.856 14.381 15.166 16.624 17.855 16.147 - 0.305 0.540 0.600 0.373 0.380 0.980 1.562 19.594 25.235 22.637 0.312 0.381 0.395 0.505 0.050 0.864 3.789 2.228 5.464 4.058 -0.342 43.275 51.704 54.398 65.921 72.799 89.820 111.477 121.723 185.991 200.845 203.501 24.101 22.304 20.559 20.957 19.380 20.516 18.637 18.408 18.529 19.142 19.433 2.710 3.045 3.175 3.494 2.560 3.260 2.893 3.095 2.746 3.244 2.940 21.391 19.259 17.384 17.463 16.820 17.256 15.744 15.313 15.783 15.898 16.493 168.106 162.201 178.082 185.913 192578 192.752 199.311 174563 177.660 177.471 185.767 33.166 33.526 33.632 34.943 36.143 35.909 38.724 38.774 36.240 36.854 37.933 28.180 28.763 29.071 30.113 31.547 31.571 34.194 34.243 31.583 32.038 32.917 4.986 4.763 4.561 4.830 4.596 4.338 4.530 4.531 4.657 4.816 5.016 14.045 15.521 15.778 19.025 19.111 20.903 24.419 23.235 23.063 23.249 25.238 6.911 7.773 7.950 9.981 10.202 10.999 12.445 11.935 12.027 12.292 13.564 7.134 7.748 7.828 9.044 8.909 9.904 11.974 11.300 11.036 10.957 11.674 62.231 51.915 67.943 62.853 66.042 64.229 63.926 61.062 60.111 62.168 63.836 51.657 54.699 53.836 55.220 50.338 50.083 50.688 39.240 49.450 53.140 54.770 6.958 5.190 5.601 11.383 12.698 18.362 21.532 14.785 16.733 8.722 6.705 0.049 1.350 1,292 2.489 8.246 3.266 0.022 -2.533 -7.937 -6.662 -2.715 192.207 184.505 198.641 206.870 211.958 213.268 217.948 192.971 196.189 196.613 205.120 57.864 62.001 62.166 72.878 77.590 95.248 110.025 120.130 161.801 171.700 183.388 4.550 4.846 5.660 6.984 5.084 9.074 6.330 8.897 15.698 8.991 9.732 53.314 $7.155 56.506 65.894 72.506 86.174 103.695 111.233 146.103 162.709 173.656 177.618 174.208 190.873 199.913 207.167 207.840 219.400 194564 220.379 225.758 225.313 33.401 33.761 33.947 35.347 36.625 36.389 39.210 39.333 36.784 37.474 38.553 28.415 28.998 29.386 30.517 32.029 32.051 34.680 34.802 32.127 32.658 33.537 4.986 4.763 4.561 4.830 4.596 4.338 4.530 4.531 4.657 4.816 5.016 14.045 15.521 15.778 19.025 19.111 20.903 24.419 23.235 23.063 23.249 25.238 6.911 7.773 7.950 9.981 10.202 10.999 12.445 11.935 12.027 12.292 13.564 7.134 7.748 7.828 9.044 8.909 9.904 11.974 11.300 11.036 10.957 11.674 62.231 51.915 67.943 62.853 66.042 64.229 63.926 61.062 60.111 62.168 63.836 51.657 54.699 53.836 55.220 50.338 50.083 50.688 39.240 49.450 53.140 54.770 6.958 5.190 5.601 11.383 12.698 18.362 21.532 14.785 16.733 8.722 6.705 8.648 10.686 11.106 11.952 13.277 12.856 14.381 15.166 16.624 17.855 16.147 - 0.305 0.540 0.600 0.373 0.380 0.980 1.562 19.594 25.235 22.637 0.361 1.731 1.687 2.994 8.296 4.130 3.811 -0.305 -2.473 -2.604 -3.057 235.482 236.209 253.039 272.791 284.757 303.088 329.425 314.694 382.180 397.458 408.621 35 TABLE 6 - GAS CONSUMPTION HISTORY, Continued BILLIONS OF CUBIC FEET PER YEAR 1990 1991 1992 1993 1994 1995 1996 NORTH SLOPE Field Operations [1] 169.343 183.711 196.055 208.539 211.020 218.056 216.395 Vented and Flared 8.753 6.795 10,092 19.081 10.585 6.968 5.616 Used on Lease 160.590 176.916 185.963 189.458 200.435 211.088 210.779 Sold [1] 37.067 45.475 48.402 46.202 44.190 47.870 53.407 Power generation [3] 0.644 0.667 0.721 0.676 0.680 0.680 0.661 Gas Utilities [2] 0.495 0.486 0.530 0.508 0.541 0.522 0.519 TAPS [3] 14.543 15.349 14.583 12.342 12.017 11.426 10.609 NGL [4] 21.805 28.633 32.276 32.209 31.098 35.558 38.359 Unaccounted [5] -0.420 0.340 0.292 0.467 -0.146 -0.316 3.259 TOTAL 206.410 229.186 244.457 254.741 255.210 265.926 269.802 COOK INLET Field Operations [1] 15.570 20.256 21.014 18.964 19.122 17.839 19.029 Vented and Flared 2.214 3.900 4.088 3.419 2.727 1.815 1.493 Used on Lease 13.356 16.356 16.926 15.545 16.395 16.024 17.536 Sold [1] 194.877 186.366 187.233 181.542 194.880 196.627 206.373 Power generation 38.858 35.329 33.504 32.045 33.045 33.965 36.192 Public [6] 33.918 30.629 28.549 27.361 28.360 29.255 31.102 Military [7] 4.940 4.700 4.955 4.684 4.685 4.710 5.090 Gas Utilities [7] 25.892 24.700 25.946 24.242 26.607 26.709 31.891 Residential 13.968 13.440 14.333 13.413 14.769 14.847 16.220 Commercial 11.924 11.260 11.613 10.829 11.838 11.862 15.671 LNG [8] 65.135 65.429 66.219 67.328 76.651 78.144 81.407 Ammonia-Urea [8] 54.770 53.110 55.000 56.210 55.400 54.000 #33 i Rental Gas [10] 3.182 3.683 3.719 : - - i] is Unaccounted [5] 7.040 4.115 2.845 TTA. 3.177 3.809 2.972 TOTAL 210.447 206.622 208.247 200.506 214.002 214.466 225.402 STATE Field Operations [1] 184.913 203.967 217.069 227.503 230.142 235.895 235.424 Vented and Flared 10.967 10.695 14.180 22.500 13.312 8.783 7.109 Used on Lease 173.946 193.272 202.889 205.003 216.830 227.112 228.315 Sold [1] 231.944 231.841 235.635 227.744 239.070 244.497 259.780 Power generation 39.502 35.996 34.225 32.721 33.725 34.645 36.853 Public [2][6] 34.562 31.296 29.270 28.037 29.040 29.935 31.763 Military [7] 4.940 4.700 4.955 4.684 4.685 4.710 5.090 Gas Utilities 25.892 24.700 25.946 24.242 26.607 26.709 31.891 Residential [2)[7] 13.968 13.440 14.333 13.413 14.769 14.847 16.220 Commercial [7] 11.924 11.260 11.613 10.829 11.838 11.862 15.671 LNG [8] 65.135 65.429 66.219 67.328 76.651 78.144 81.407 Ammonia-Urea [9] 54.770 53.110 55.000 56.210 55.400 54.000 #53:970: Rental Gas [10] 3.182 3.683 3.719 - - - Gi TAPS [3] 14.543 15.349 14.583 12.342 12.017 11.426 10.609 NGL [4] 21.805 28.633 32.276 32.209 31.098 35.558 38.359 Unaccounted [5] 6.620 4.455 3.137 2.184 3.031 3.493 6.172 TOTAL [11] 416.857 435.808 452.704 455.247 469.212 480.392 495.204 36 FIGURE 6 - GAS CONSUMPTION HISTORY OF STATE —— STATE —m- Field Operations —&— LNG —x— Power Generation and Utilities| _ —x— Ammonia-Urea —@— Others g Billions of Cubic Feet per Year 8 100 1971 1973 1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 37 7 OIL AND GAS CONSUMPTION FORECAST Forecasts of oil and gas consumption in this issue have departed from previous methods dating back to 1987 in that the Energy Demand Model (ENDMOD) developed by the Institute of Social and Economic Research was not used. A comprehensive rewrite of the forecasting equations is planned for next year. For this publication each major element of oil and gas consumption was reviewed and appropriate trend lines were developed in consultation with experienced oil and gas analysts. The DO&G encourages users of these data to comment to DO&G on any desired format or category on which they would like more information. OIL CONSUMPTION The major areas of oil consumption are listed by three categories, highway, aviation, or marine, and with two fuel types in each category (either gasoline and diesel or gasoline and jet fuel). Selected uses of these products may incorporate multiple fuel types, for example, motor fuel that is reported as being exported in fiscal year 1996, includes every fuel type except marine diesel. Heating fuel, which is predominately reported as highway diesel, also includes some highway gasoline and aviation jet fuel. Crude oil used as feedstock in the state’s four active refineries and two North Slope topping plants is not included in this forecast, however, current estimates are listed in Chapter 5. Oil consumption in Alaska, across all fuel types, rose steadily during the mid-seventies and all through the eighties to peak at over 2 billion gallons in 1990, counting export of residual oil. The effect of reporting this exported cargo as highway diesel when combined with consumption of aviation jet fuel, briefly drove growth. When residual exports declined, the reported highway diesel consumption dropped nearly in half by 1994 and total fuel sold declined accordingly. The aggregate trend for the last three years is slightly downward, mostly due to declines in aviation jet and highway diesel fuels. However, these fuel types typically fluctuate more than others and their effects may balance over a longer period of time. Therefore, in the absence of large events, total oil consumption may be expected to have slight increase during the forecast period. GAS CONSUMPTION Statewide consumption of gas has grown steadily for over twenty years predominately due to increased usage on oil leases on the North Slope. Other primary uses include electrical power generation and gas utilities, and the two plants on the Kenai Peninsula which export LNGs and ammonia - urea. Natural gas usage has remained stable over the last twenty years with the exception of gas used in field operations on the north slope and the export of LNG which has grown by 20% in the last three years. The use of natural gas for North Slope operations is forecasted to continue as before or even increase due to planned technological changes and enhanced oil recovery efforts. Exports of LNGs will level off. 39 TABLE 7A - OIL DEMAND PROJECTION MILLIONS OF GALLONS PER YEAR Fy 1997 FY 1998 FY 1999 FY 2000 FY 2001 FY 2002 FY 2003 FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 ‘uel Sale Category Aviation Gas 22 22 22 23 23 23 23 24 24 24 25 25 25 25 Aviation Jet 766 767 768 770 771 772 773 774 775 777 778 779 780 781 Marine Gas 12 12 12 12 12 12 13 13 13 13 13 13 13 13 Marine Diesel 163 164 164 165 165 165 166 166 167 167 168 168 169 169 Highway Gas 267 271 275 279 283 287 291 295 299 303 308 312 316 320 Highway Diesel 451 455 460 464 469 474 478 483 488 493 498 503 508 513 Total Fuel Sales 1,680 1,691 1,702 1,712 1,723 1,734 1,745 1,755 1,766 1,777 1,788 1,799 1,811 1,822 Selected Uses Heating Fuel 158 160 162 163 165 166 168 170 171 173 175 177 178 180 Exported 110 118 125 133 141 149 156 164 172 180 187 195 203 211 Public Utilities 28 28 28 28 28 28 28 27 27 27 27 27 27 27 Revised 4/23/97 TABLE 7B - GAS DEMAND PROJECTION Billions of Cubic Feet per Year 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 ield Operations 246 250 292 302 312 315 315 315 315 315 315 315 315 315 Railbelt Utilities 62 62 62 63 63 63 63 64 64 64 65 65 65 66 LNG/Ammonia 133 134 134 134 134 134 134 134 134 134 134 134 134 134 Miscellaneous 44 45 46 46 45 47 47 46 46 46 45 45 45 44 Total 485 491 534 544 554 559 559 559 559 559 559 559 559 559 Revised 4/23/97 40 APPENDIX A_ OIL AND GAS FIELDS OIL AND GAS FIELDS Field Type Location Operator Production ALBERT KALOA Gas Cook Inlet, west side, onshore CIRI shut-in 1971 ALPINE Oil North Slope, Colville Delta, onshore = Arco undeveloped BADAMI Oil&Gas North Slope, Canning R., onshore BP undeveloped BEAVER CREEK Oil&Gas Cook Inlet, east side, onshore Unocal began 1973 BELUGA RIVER Gas Cook Inlet, west side, onshore Arco began 1968 BIRCH HILL Gas Cook Inlet, east side, onshore Arco shut-in 1965 BURGER Oil&Gas Beaufort Sea, offshore Shell undeveloped CANNERY LOOP Gas Cook Inlet, east side, onshore Marathon began 1988 CASCADE Oil North Slope, central, onshore BP began 8/1996 COLVILLE DELTA Oil North Slope, Colville Delta, onshore = Arco undeveloped EAST BARROW Gas North Slope, west, onshore NS Borough began 1981 EAST UMIAT Gas North Slope, foothills, onshore UMC Pet shut-in, no prod. ENDICOTT Oil North Slope, central, onshore BP. began 1987 FALLS CREEK Gas Cook Inlet, east side, onshore Arco shut-in 1961 FIORD Oil North Slope, Colville Delta, onshore = Arco undeveloped FISH CREEK Oil North Slope, NPRA, onshore undeveloped FLAXMAN ISLAND Oil North Slope, Canning R., onshore Exxon undeveloped GRANITE POINT Oil&Gas Cook Inlet, west side, offshore Unocal began 1967 GUBIK Gas North Slope, foothills, onshore undeveloped GWYDYR BAY Oil North Slope, central, on- & offshore undeveloped HAMMERHEAD Oil Beaufort Sea, offshore Shell undeveloped HEMI SPRINGS Oil North Slope, central, onshore undeveloped IVAN RIVER Gas Cook Inlet, west side, onshore Unocal began 1990 KALUBIK Oil North Slope, Colville Delta, onshore = Arco undeveloped KATALLA Oil Gulf of Alaska, onshore aband. 1933 KAVIK Gas North Slope, foothills, onshore Arco undeveloped KEMIK Gas North Slope, foothills, onshore BP. undeveloped KENAI Gas Cook Inlet, east side, onshore Marathon began 1961 KUPARUK RIVER Oil&Gas North Slope, central, onshore Arco began 1981 KUVLUM Oil Beaufort Sea, offshore Union Texas undeveloped LEWIS RIVER Gas Cook Inlet, west side, onshore Unocal began 1984 LISBURNE Oil&Gas North Slope, central, on- & offshore Arco began 1986 McARTHUR RIVER Oil&Gas Cook Inlet, west side, offshore Unocal began 1967 MEADE Gas North Slope, NPRA, onshore undeveloped MIDDLE GROUND SHOAL Oil&Gas Cook Inlet, east side, offshore Unocal/Shell began 1967 MIKKELSEN Oil North Slope, central, on- & offshore = Exxon/Arco undeveloped MILNE POINT Oil North Slope, central, on- & offshore BP. began 1985 MOQUAWKIE Gas Cook Inlet, west side, onshore CIRI shut-in 1975 N. MIDDLE GROUND SHOAL Gas Cook Inlet, west side, offshore Unocal/Shell undeveloped NIAKUK Oil North Slope, central, offshore BP/Arco began 1994 NICOLAI CREEK Gas Cook Inlet, west side, on- & offshore Unocal shut-in 1977 NORTH COOK INLET Gas Cook Inlet, mid channel, offshore Phillips began 1970 NORTH FORK Gas Cook Inlet, east side, onshore Unocal shut-in 1965 NORTH PRUDHOE Oil&Gas North Slope, central, onshore Arco began 11/1993 NORTHSTAR Oil&Gas North Slope, central, offshore BP development proposed POINT McINTYRE Oil&Gas North Slope, central, offshore Arco began 1993 POINT THOMSON Oil&Gas North Slope, Canning R., onshore Exxon undeveloped PRETTY CREEK Gas Cook Inlet, west side, onshore Unocal began 1986 PRUDHOE BAY Oil&Gas North Slope, central, onshore BP/Arco began 1977 REDOUBT SHOAL Oil Cook Inlet, west side, offshore Forcenergy undeveloped SAG DELTA NORTH Oil North Slope, central, offshore BP began 1989 SAG RIVER Oil North Slope, central, onshore BP. began 1994 SANDPIPER Oil Beaufort Sea, offshore Murphy undeveloped SCHRADER BLUFF Oil North Slope, central, onshore BP began 1991 SIKULIK Gas North Slope, west, onshore NS Borough undeveloped SIMPSON Oil North Slope, NPRA, onshore undeveloped SOURDOUGH Oil North Slope, Canning R., onshore BP undeveloped SOUTH BARROW Gas North Slope, west, onshore NS Borough began 1950 SQUARE LAKE Gas North Slope, NPRA, onshore undeveloped STERLING Gas Cook Inlet, east side, onshore Marathon began 1962 STUMP LAKE Gas Cook Inlet, west side, onshore Unocal began 1990 41 SWANSON RIVER Oil&Gas Cook Inlet, east side, onshore Unocal began 1958 TERN ISLAND Oil Beaufort Sea, offshore BP undeveloped TRADING BAY Oil&Gas Cook Inlet, west side, offshore Unocal began 1967 TYONIC DEEP Oil&Gas Cook Inlet, mid channel, offshore Phillips undeveloped UGNU Oil North Slope, central, onshore undeveloped UMIAT Oil North Slope, foothills, onshore USDI undeveloped WALAKPA Gas North Slope, west, onshore NS Borough _—_— began 1992 WEST BEACH Oil&Gas North Slope, central, onshore Arco began 4/1994 WEST FORELAND Gas Cook Inlet, west side, on- & offshore Phillips shut-in 1962 WEST FORK Gas Cook Inlet, east side, onshore CIRI began 1978 WEST McARTHUR RIVER Oil&Gas Cook Inlet, west side, onshore Stewart began 1994 WEST SAK Oil North Slope, central, onshore Arco/BP undeveloped WOLF CREEK Gas North Slope, NPRA, onshore undeveloped 42 APPENDIX B PRODUCING STATE OIL AND GAS LEASES PRODUCING STATE OIL AND GAS LEASES NOTE: This table lists only those state leases that have produced oil or gas, as of June 25, 1996. It does not list the many leases that have never produced oil or gas. Participating Area % Royalty NPSL Owner Ownership % Lease Tract oil Gas % % BADAMI (Oil) | 367011 100.0000000 —_100.0000000 BP 100.0000000 BELUGA RIVER (Gas) 17592 - 8.0024000 12.5 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 17599 - 5.0210000 125 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 17658 - 12.7251000 125 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 21126 - 0.7855000 12.5 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 21127 - 9.4019000 125 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 21128 - 14.5560000 125 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 21129 - 0.5803000 125 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 58815 28 - 0.0162000 12.5 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 58820 29 - 1.5889000 12.5 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 58831 30 : 7.7629000 12.5 ARCO 33.3333333 CHEVRON 33.3333333 SHELL 33.3333334 CANNERY LOOP (Gas) BELUGA 2397 SA - 5.1844565 12.5 MARATHON — 100.0000000 324602 4A - 16.3008805 12.5 MARATHON — 100.0000000 324604 SB - 0.1470714 125 MARATHON — 100.0000000 359153 7 - 6.3585128 12.5 MARATHON — 100.0000000 364395 7C - 1.8936392 12.5 MARATHON — 100.0000000 365454 12 : 0.4381660 16.7 MARATHON — 100.0000000 37330214 - 3.9605254 12.5 MARATHON — 100.0000000 373302. «19 - 0.1905070 12.5 MARATHON — 100.0000000 373302 20 - 0.4271166 125 MARATHON — 100.0000000 TYONEK DEEP 002397 SA - 5.4125000 12.5 MARATHON — 100.0000000 324602 4A - 29.2068900 12.5 MARATHON — 100.0000000 359153 7 - 13.5137500 125 MARATHON — 100.0000000 UPPER TYONEK 2397 SA 7.3449200 7.3449200 125 MARATHON — 100.0000000 324602 4A 29.8726200 29.8726200 12.5 MARATHON — 100.0000000 359153 7 13.5705700 13.5705700 12.5 MARATHON — 100.0000000 365454 12 1.3091500 1.3091500 16.7 MARATHON — 100.0000000 OTHER 47.9027356 OTHER 100.0000000 DUCK ISLAND UNIT (Oil and Gas) ENDICOTT PARTICIPATING AREA 34633. 13 26.7609000 26.7609000 12.5 BP 100.0000000 34634 12 0.0675000 0.0675000 12.5 BP 100.0000000 Participating Area % Royalty NPSL Owner Ownership % Lease Tract oil Gas % % 34636 «14 5.2911000 5.2911000 12.5 BP 100.0000000 47502 1 22.3357000 22.3357000 12.5 AMOCO 25.0000000 EXXON 50.0000000 UNION 25.0000000 47503 2 19.6233000 19.6233000 12.5 AMOCO 25.0000000 EXXON 50.0000000 UNION 25.0000000 47504 3 0.0036000 0.0036000 12.5 EXXON 100.0000000 47505 4 0.0140000 0.0140000 12.5 EXXON 100.0000000 47506 5 0.0084000 0.0084000 12.5 AMOCO 50.0000000 UNION 50.0000000 312828 89615 25.8252000 25.8252000 20.0 79.5935000 BP 95.5000000 CIRI 2.5000000 DOYON 0.5000000 NANA 1.5000000 312834 16 0.0703000 0.0703000 20.0 48.8703100 ARCO 33.3400000 EXXON 33.3300000 UNION 33.3300000 SAG DELTA PARTICIPATING AREA 34633. 13 6.3656000 6.6356000 12.5 BP 100.0000000 312828 8615 93.3644000 93.3644000 20.0 BP 95.5000000 CIRI 2.5000000 DOYON 0.5000000 GRANITE POINT (Oil and Gas) GRANITE POINT 1 18761 100.0000000 100.0000000 12.5 MOBIL 75.0000000 GRANITE POINT 2 UNION 25.0000000 17586 100.0000000 100.0000000 12.5 UNION 100.0000000 17587 100.0000000 100.0000000 12.5 UNION 100.0000000 18742 100.0000000 _100.0000000 12.5 UNION 100.0000000 IVAN RIVER (Gas) 17600 1 - 6.5064900 12.5 UNION 100.0000000 17600 1A - 5.8516900 12.5 UNION 100.0000000 302282 6 - 3.4922500 12.5 UNION 100.0000000 302284 5 - 18.7468100 12.5 UNION 100.0000000 326058 7 - 10.4767400 62.2 UNION 100.0000000 32930 2 - 25.8426100 12.5 UNION 100.0000000 32930 2A - 7.9348200 12.5 UNION 100.0000000 32930 2B - 13.1103200 12.5 UNION 100.0000000 33637 3 - 8.4686900 12.5 UNION 100.0000000 KENAI (Gas) 588 175 - 6.7607000 12.5 MARATHON 50.0000000 UNION 50.0000000 593 176 - 7.4430000 12.5 MARATHON 50.0000000 UNION 50.0000000 594 177 - 0.6717000 12.5 MARATHON 50.0000000 UNION 50.0000000 2411 178 - 0.7608000 12.5 MARATHON 50.0000000 UNION 50.0000000 308223 166 - 0.0083000 12.5 MARATHON 50.0000000 UNION 50.0000000 324598 014 - 0.9065000 12.5 MARATHON 50.0000000 UNION 50.0000000 KUPARUK (Oil and Gas) 25512 2 1.4735860 1.4735860 12.5 ARCO 50.0000000 BP 50.0000000 25513 3 1.5236360 1.5264080 12.5 ARCO 50.0000000 BP 50.0000000 25519 4 1.9116500 1.1938260 12.5 ARCO 50.0000000 BP 50.0000000 25520 5 1.4607080 1.4633820 12.5 ARCO 50.0000000 BP 50.0000000 25521 6 1.3352840 1.3377160 12.5 ARCO 50.0000000 BP 50.0000000 25522 1 0.4698620 0.4707200 12.5 ARCO 50.0000000 BP 50.0000000 25523 Te 1.2821780 1.2845220 12.5 ARCO 50.0000000 BP. 50.0000000 25524 8 0.6061 440 0.6073260 12.5 ARCO 50.0000000 BP 50.0000000 25531 1 1.3929870 1.4118300 12.5 ARCO 33.3300000 BP 33.3400000 Lease Tract 25532 10 25546 25 25547 24 25548 29 25549 28 25568 45 25569 44 25570 50 25571 49 25585 69 25586 68 25587 67 25588 76 25589 75 25590 74 25603 90 25604 89 25605 88 25607 96 25608 95 25627 16 25628 «15 25629 14 25630 13 25631 12 25632 23 2563322 Participating Area % oil Gas 0.3695580 0.3745770 0.0096480 0.0097770 1.1384040 1.1537730 0.6795600 0.6886410 0.0217470 0.0220380 0.5314530 0.5386140 1.3048920 1.3224420 2.3393670 2.3709780 1.0792860 1.1120730 0.1280070 0.1297290 1.2058890 1.2221160 1.4199780 1.4390430 1.0910610 1.1056650 0.9073680 0.9195330 0.3004800 0.3045000 0.0594180 0.0602130 0.3232440 0.3275640 0.3342240 0.3386940 0.2166180 0.2166180 0.1778400 0.1778400 0.1184060 0.1186420 0.8091100 0.8106060 1.4903880 1.4931320 1.6485780 1.6516080 1.2009180 1.2031160 2.7594980 2.7649440 1.9153360 1.9189380 45 Royalty % 12.5 12.5 12.5 12.5 125 12.5 125 12.5 12.5 125 125 125 12.5 12.5 125 12.5 12.5 12.5 12.5 125 125 125 125 125 12.5 12.5 125 NPSL Owner UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP UNION ARCO BP ARCO BP ARCO BP ARCO BP ARCO BP ARCO BP ARCO Ownership % 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 33.3300000 33.3400000 33.3300000 50.0000000 33.3333330 16.6666670 50.0000000 33.3333330 16.6666670 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 Lease Tract 25634 = 21 25635 20 25636 19 25637. 18 25638 35 25639 34 25640 33 25641 32 25642 «31 25643 30 25644 «43 25645 42 25646 41 25647 40 25648 39 25649 38 25650 56 25651 55 25652 54 25653 53 25654 52 25655 51 25656 66 25657. 65 25658 64 25659 63 25660 62 25661 61 25662 82 25663 81 25664 80 25665 79 25666 78 25667 77 25668 87 25670 «85 25671 84 28242 (37 28243 «57 28244 «58 28248 60 355023 122 355024 123 Participating Area % oil 1.7157940 1.6856780 0.3644340 0.0000080 0.2902760 1.1359980 2.9568520 3.1257620 3.5743240 3.0342260 2.8728060 4.3588520 3.8375640 2.4399560 1.5166970 1.1124560 1.3828370 2.3755260 2.8477940 2.8243460 2.2380640 2.9259080 1.7669080 1.9730720 1.7151400 2.0741840 1.6401410 0.9257080 0.0341340 0.6849940 1.1201700 0.8569900 0.6524580 1.1007180 0.1838680 0.1036620 0.1425000 0.1226720 0.5124000 0.0316320 0.1377010 0.5238680 0.0720740 Gas 1.7190340 1.6889100 0.3651640 0.0000080 0.2915260 1.1407940 2.9628780 3.1319620 3.5814540 3.0403020 2.8784420 4.3676360 3.8452920 2.4501690 1.5230730 1.1172230 1.3887620 2.3854910 2.8533180 2.8298240 2.2423640 2.9315920 1.7701820 1.9766800 1.7182860 2.0512600 1.6471110 0.9296650 0.0341360 0.6877920 1.1249040 0.8587160 0.6536860 1.1027280 0.1842180 0.1036620 0.1424920 0.1226760 0.5124000 0.0316340 0.1382940 0.5259540 0.0723610 46 Royalty NPSL 125 12.5 125 12.5 12.5 125 12.5 125 125 125 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 125 125 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 30.0000000 12.5 30.0000000 Owner BP ARCO BP ARCO BP ARCO BP ARCO BP ARCO ARCO ARCO BP ARCO BP ARCO BP ARCO BP ARCO BP ARCO BP ARCO BP ARCO ARCO ARCO ARCO ARCO ARCO BP ARCO BP. ARCO BP. ARCO BP ARCO BP ARCO BP ARCO BP ARCO BP ARCO ARCO ARCO EXXON ARCO ARCO ARCO BP. ARCO BP ARCO BP ARCO BP ARCO EXXON ARCO EXXON ARCO BP ARCO BP MOBIL ARCO EXXON ARCO ARCO ARCO Ownership % 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 50.0000000 50.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 32.9672400 17.0327600 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 Owner Participating Area % Royalty NPSL Ownership % Lease Tract oil Gas % % 355030 124 0.0007270 ~-0.0007300 12.5 30.0000000 ARCO 100.0000000 355032 125 0.1747880 —-0.1755130 12.5 30.0000000 ARCO 100.0000000 355501 126 0.0235130 0.0236150 125 ARCO 100.0000000 373301 122 0.2854090 -0.2859290 125 ARCO 59.2286800 BP 40.7713200 4744936 0.2172000 02172000 125 CHEVRON 50.0000000 MOBIL 50.0000000 LEWIS RIVER (Gas) PARTICIPATING AREA 1 58798 : 16.6670000 125 UNION 100.0000000 58801 : 61.1110000 125 UNION 100.0000000 58802 : 22.2220000 125 UNION 100.0000000 PARTICIPATING AREA 2 58798 - 76.1905000 125 UNION 100.0000000 58801 - 14,2857000 125 UNION 100.0000000 58802 : 9.5238000 125 UNION 100.0000000 McARTHUR RIVER (Oil and Gas) HEMLOCK OIL POOL PARTICIPATING AREA 17579 12.9480000 12.9480000 125 UNOCAL 100.0000000 17594 28.6480000 28.6480000 125 MARATHON —_50.0000000 UNION 50.0000000 17602 3.7000000 3.700000 125 UNOCAL 100.0000000 18716 2.6730000 _2.6730000 125 UNOCAL 100.0000000 18729 17.8330000 17.8330000 125 MARATHON —_50.0000000 UNION 50.0000000 18730 166480000 16.6480000 125 MARATHON —_—_50.0000000 UNION 50.0000000 18758 2.7750000 —-2.7750000 125 UNOCAL 100.0000000 18772 9.2490000 _9.2490000 125 UNOCAL 100.0000000 18777 4.6010000 4.6010000 12.5 UNOCAL 100.0000000 21068 0.9250000 0.9250000 125 UNOCAL 100.0000000 HEMLOCK K-26 WELL TRACT OPERATION 17579 12.9480000 12.9480000 125 UNION 100.0000000 17594 28.6480000 28.6480000 125 UNION 100.0000000 17602 3.7000000 3.700000 125 UNION 100.0000000 18716 2.6730000 —_2.6730000 125 UNION 100.0000000 18729 17.8330000 17.8330000 125 UNION 100.0000000 18730 16.6480000 16.6480000 125 UNION 100.0000000 18758 2.7750000 —-.2.7750000 125 UNION 100.0000000 18772 9.2490000 92490000 125 UNION 100.0000000 18777 4.6010000 —_4.6010000 125 UNION 100.0000000 21068 0.9250000 _0,9250000 125 UNION 100.0000000 MIDDLE KENAI 17594 26.6700000 26.6700000 125 MARATHON —_51.0000000 UNION 49.0000000 18729 34.8100000 34.8100000 125 MARATHON —_51.0000000 UNION 49.0000000 18730 32.5900000 + 32.5900000 12.5 MARATHON —_51.0000000 UNION 49.0000000 18772 5.9300000 _ 5.9300000 125 MARATHON —_ 51.0000000 UNION 49.0000000 GRAYLING 17594 3 : 38.5542200 125 MARATHON —_ 50.0000000 UNION 50.0000000 18729 10 7 27.7108400 125 MARATHON —_50.0000000 UNION 50.0000000 18730 11 : 33.7349400 125 MARATHON —_50.0000000 UNION 50.0000000 STEELHEAD JURASSIC 18730 11 100.0000000 — 100.0000000 125 MARATHON —_50.0000000 UNION 50.0000000 WEST FORELAND 17594 30.2500000 30.2500000 125 MARATHON —_ 51.0000000 UNION 49.0000000 18729 29.4100000 29.4100000 125 MARATHON —_ 51.0000000 UNION 49.0000000 18730 33.6200000 33.6200000 125 MARATHON _51.0000000 UNION 49.0000000 18772 6.7200000 6.7200000 125 MARATHON _51.0000000 UNION 49.0000000 MIDDLE GROUND SHOAL (Oil and Gas) MIDDLE GROUND SHOAL 1 47 Participating Area % Royalty NPSL Owner Ownership % Lease Tract oil Gas % % 17595 100.0000000 100.0000000 12.5 UNION 100,0000000 MIDDLE GROUND SHOAL 2 18754 100.0000000 100.0000000 12.5 SHELL 100.0000000 MIDDLE GROUND SHOAL 3 18756 100.0000000 100.0000000 12.5 SHELL 100.0000000 SOUTH MIDDLE GROUND SHOAL UNIT 18744 1 6.8965520 6.8965520 12.5 UNION 100.0000000 18746 93.1034480 93.1034480 12.5 UNION 100.0000000 MILNE POINT (Oil and Gas) KUPARUK PARTICIPATING AREA 25509 10 7.9081900 7.9081900 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 25515 12 0.0131500 0.0131500 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 25516 4 0.9062000 0.9062000 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 25518 9 0.4260300 0.4260300 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 28231 8 1.9054500 1.9054500 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 315848 4A 0.0643500 0.0643500 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 355017. 15 15.6552600 15.6552600 12.5 40.0000000 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 355018 16 38.9730300 38.9730300 12.5 30.0000000 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 355021 18 4.0954700 4.0954700 12.5 30.0000000 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 47433 2 2.8695800 2.8695800 20.0 BPXA 26.8100030 BPXO 73.1899970 47433, 2A 0.2772300 0.2772300 12.5 OXY 100.0000000 47434 3 12.8337200 12.8337200 20.0 BPXA 26.8100030 BPXO 73.1899970 47434 3A 1.2398900 1.2398900 12.5 OXY 100.0000000 47437 5 9.1447200 9.1447200 20.0 BPXA 26.8100030 BPXO 73.1899970 47437. SA 0.8834900 0.8834900 12.5 OXY 100.0000000 47438 6 2.5571900 2.5571900 20.0 BPXA 26.8100030 BPXO 73.1899970 47438 ~=—6A 0.2470500 0.2470500 12.5 OXY 100.0000000 E-9 TRACT OPERATION 28231 8 100.0000000 100.0000000 12.5 BPXA 26.8100000 BPXO 64.3800000 OxY 8.8100000 E-20 TRACT OPERATION 25518 9 100.0000000 100.0000000 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 E-22 TRACT OPERATION 28231 8 100.0000000 100.0000000 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 H-05 TRACT OPERATION 380109 100.0000000 + 100.0000000 12.5 BPXA 91.1900000 OXY 8.8100000 J-6 TRACT OPERATION 315848 4A 100.0000000 100.0000000 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 J-10 TRACT OPERATION 25906 14 100.0000000 100.0000000 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 L-12 TRACT OPERATION 48 Participating Area % Lease Tract oll Gas 25509 10 14.6741200 14.6741200 25515 12 0.0244000 0.0244000 25516 4 1.6815000 1.6815000 25518 9 0.7905300 0.7905300 28231 8 3.5356800 3.5356800 315848 «4A 0.1194100 0.1194100 355017. 15 10.0328700 10.0328700 47433 2 5.3246700 5.3246700 47433, 2A 0.5142200 0.5142200 47434 3 23.8137600 23.8137600 47434 3A 2.3006800 2.3006800 47437 5 16.9686000 16.9686000 47437. SA 1.6393600 1.6393600 47438 6 4.7450200 4.7450200 47438 6A 0.4584200 0.4584200 L-13 TRACT OPERATION 25509 10 19.1591700 19.1591700 25515 12 0.0318600 0.0318600 25516 4 2.1954400 2.1954400 25518 9 1.0321500 1.0321500 28231 8 4.6163400 4.6163400 315848 4A 0.1559100 0.1559100 47433 2 6.7060846 6.7060846 47433, 2A 0.9176854 0.9176854 47434 3 29.9919507 29.9919507 47434 3A 4.1042093 4.1042093 47437 5 21.3708886 21.3708886 47437 SA 2.9244714 2.9244714 47438 6 5.9760546 5.9760546 47438 = 6A 0.8177854 0.8177854 SCHRADER BLUFF PARTICIPATING AREA 25509 10 1.0053900 1.0053900 25514 11 49181500 4.9181500 25515 12 10.3360400 10.3360400 25516 4 6.3159600 6.3159600 25518 9 19.0431900 19.0431900 25906 14 25.6086200 25.6086200 28231 8 5.0879600 5.0879600 49 Royalty % 125 125 12.5 125 12.5 125 125 20.0 12.5 20.0 12.5 20.0 12.5 20.0 12.5 12.5 12.5 12.5 12.5 12.5 12.5 20.0 12.5 20.0 12.5 20.0 12.5 20.0 12.5 12.5 12.5 12.5 125 125 125 125 Owner BPXO OxY BPXO OxY BPXO OXY BPXO OXY BPXO OXY BPXO OXY BPXO OXY BPXO OXY BPXO OXY BPXO OXY BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO OXY BPXA BPXO Ownership % 91.1900000 8.8100000 91.1900000 8.8100000 91.1900000 8.8100000 91.1900000 8.8100000 91.1900000 8.8100000 91.1900000 8.8100000 91.1900000 8.8100000 100.0000000 100,0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 23.5828400 64.3800000 12.0371600 23.5828400 64.3800000 12.0371600 23.5828400 64.3800000 12.0371600 23.5828400 64.3800000 12.0371600 23.5828400 64.3800000 12.0371600 23.5828400 64.3800000 12.0371600 26.8100030 73.1899970 100.0000000 26.8100030 73.1899970 100.0000000 26.8100030 73.1899970 100.0000000 26.8100030 73.1899970 100.0000000 26.8100000 64.3800000 8.8100000 26.8100000 64.3800000 8.8100000 26.8100000 64.3800000 8.8100000 26.8100000 64.3800000 8.8100000 26.8100000 64.3800000 8.8100000 26.8100000 64.3800000 8.8100000 26.8100000 64.3800000 Participating Area % Royalty NPSL Owner Ownership % Lease Tract Oil Gas % % OXY 8.8100000 315848 «4A 6.3159600 6.3159600 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 47432 1 0,.0090363 0.0090363 20.0 BPXA 29.400153S BPXO 70.5998465 47432 «1A 0.0008737 0.0008737 12.5 OXY 100.0000000 47433 2 1.3448800 1.3448800 20.0 BPXA 29.4001535 BPXO 70.5998465 47433, 2A 0.1184839 0.1184839 12.5 OXY 100.0000000 47434 3 3.2386800 3.2386800 20.0 BPXA 29.4001535 BPXO 70.5998465, 47434 (3A 0.2853277 0.2853277 12.5 OXY 100.0000000 47437 5 13.3041900 13.3041900 20.0 BPXA 29.4001535 BPXO 70.5998465 47437 SA 1.1720991 1.1720991 12.5 OXY 100.0000000 47438 6 3.4210700 3.4210700 20.0 BPXA 29.4001535 BPXO 70.5998465, 47438 =6A 0.3013963 0.3013963 12.5 OXY 100.0000000 E-13 TRACT OPERATION 25516 4 5.2631600 5.2631600 12.5 BPXA 26.8100000 BPXO 64.3800000 OXY 8.8100000 47437 5 86.3905200 86.3905200 12.5 BPXA 29.4002000 BPXO 70.5998000 47437 SA 8.3463200 8.3463200 12.5 OXY 100.0000000 NORTH TRADING BAY and NORTH TRADING BAY UNIT (Oil and Gas) 17597 50.0000000 50.0000000 125 MARATHON 50.0000000 UNION 50.0000000 18776 28.5700000 28.5700000 12.5 MARATHON —_ 100.0000000 35431 21.4300000 21.4300000 12.5 MARATHON _100.0000000 NORTH COOK INLET (Gas) 17589 2 : 44.7324000 12.5 PHILLIPS 100.0000000 17590 3 - 6.5430000 12.5 PHILLIPS 100.0000000 18740 7 - 8.1787000 12.5 PHILLIPS 100.0000000 18741 8 - 6.5429000 12.5 PHILLIPS 100.0000000 37831 11 - 34.0030000 12.5 PHILLIPS 100.0000000 NORTH FORELAND 17589 100.0000000 100.0000000 12.5 ARCO 60.0000000 PHILLIPS 40.0000000 PRETTY CREEK (Gas) 58810 2 - 23.8984800 12.5 UNION 100.0000000 58813 4 - 20.8695700 12.5 UNION 100.0000000 58814 5 - 10.4347800 12.5 UNION 100.0000000 63047 10 - 6.0869600 16.7 UNION 100.0000000 63048 = 11 - 27.8260800 16.7 UNION 100.0000000 63049 12 - 10.4347800 16.7 UNION 100.0000000 Other 0.4493500 UNION 100.0000000 PRUDHOE BAY (Oil and Gas) NIAKUK PARTICIPATING AREA 34625 4 5.0700000 5.0700000 12.5 BPX 100.0000000 34630 31 40.5700000 40.5700000 12.5 BPX 100.0000000 34634 33 5.4600000 5.4600000 12.5 BPX 100.0000000 34635 32 48.9000000 48.9000000 12.5 BPX 100.0000000 NIAKUK WELL NK 14 LEASE OPERATION 34625 4 100.0000000 100.0000000 12.5 BPX 100.0000000 NIAKUK WELL NK27 TRACT OPERATION 34629 30 100.0000000 100.0000000 12.5 ARCO 50.0000000 EXXON 50.0000000 OIL RIM PARTICIPATING AREA 25637. 16 0.0046309 0.0046309 12.5 ARCO 50.0000000 BP 50.0000000 28238 8619 0.0163822 0.0163822 12.5 ARCO 50.0000000 EXXON 50.0000000 2823918 0.0614364 0.0614364 12.5 ARCO 50.0000000 EXXON 50.0000000 28240 50 0.0913318 0.0913318 12.5 ARCO 50.0000000 EXXON 50.0000000 28241 51 0.0486990 0.0486990 12.5 MOBIL 50.0000000 PHILLIPS 50.0000000 28244 «52 0.0000124 0.00001 24 12.5 ARCO 50.0000000 50 Lease Tract 28245 = 53 28246 8682 28257 22 28258 = 21 28259 20 28260 47 28261 48 28262 «54 28262 S4A 28263 «S55 28263 SSA 28264 79 28265 984 28275 112 28276 «113 28277. 25 28278 86.24 28279 23 28280 44 28281 «45 28282 «46 28283. «57 28284 «(58 28285 59 28286 «76 28287 77 28288 8678 28289 85 28290 105 28299 26 28300 27 2830241 28303. 42 28304 «43 28305 60 28306 «61 28307 «62 28308 73 28309 74 28310 75 28311 90 28312 89 28313 «8B 28314 102 28315 101 Participating Area % oil Gas 0.1486696 0.1486696 0.0007026 0.0007026 1.7767068 1.7767068 0.4599204 0.4599204 0.0076616 0.0076616 1.4815529 1.4815529 0.0888936 0.0888936 0.2968897 0.2968897 0.0772452 0.0772452 0.1338160 0.1338160 0.2071833 0.2071833 0.1174944 0.1174944 0.0364292 0.0364292 0.0133022 0.0133022 0.0000864 0.0000864 0.8421396 0.8421396 1.0400165 1.0400165 1.2989359 1.2989359 3.8981682 3.8981682 3.3705436 3.3705436 3.0429668 3.0429668 1.5634829 1.5634829 3.3026290 3.3026290 3.9964449 3.9964449 2.6691922 2.6691922 1.2578240 1.2578240 0.3601455 0.3601455 0.1312435 0.1312435 0.0024590 0.0024590 0.9307902 0.9307902 1.0365258 1.0365258 0.3106250 0.3106250 1.9447402 1.9447402 3.2449752 3.2449752 3.6765194 3.6765194 2.9343182 2.9343182 1.8596860 1.8596860 3.9394274 3.9394274 3.8650657 3.8650657 3.9334322 3.9334322 3.6619111 3.6619111 2.8963363 2.8963363 1.5538656 1.5538656 0.4588814 0.4588814 1.2192336 1.2192336 51 Royalty % 12.5 125 12.5 12.5 12.5 12.5 12.5 12.5 12.5 125 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 125 12.5 12.5 12.5 125 12.5 12.5 12.5 12.5 12.5 12.5 12.5 125 12.5 125 NPSL % Owner EXXON ARCO EXXON ARCO EXXON MOBIL PHILLIPS ARCO EXXON ARCO EXXON BP. MOBIL PHILLIPS CHEVRON CHEVRON MOBIL PHILLIPS MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON BP BP BP BP BP BP BP BP BP BP BP MOBIL PHILLIPS MOBIL PHILLIPS MOBIL PHILLIPS ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON BP ARCO EXXON ARCO EXXON ARCO EXXON BP BP. BP BP ARCO EXXON MOBIL PHILLIPS BP Ownership % 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 100.0000000 33.3333333 33.3333334 33.3333333 50.0000000 50.0000000 33.3333333 33.3333334 33.3333333 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 Lease Tract 28316 O7A 28316 107 28320 38 28321 63 28322 «64 28323 «65 28324 70 28325 71 28326 = =72 28327 93 28328 92 28329 «91 28330 100 28331 99 28332 98 28333 110 28334 O9A 28334 109 28335 108 28339 4-66 28343 «69 28345 94 28346 497 28349 «111 34631 39 34632 40 47446 «15 47447 14 47448 8910 47449 «17 47450 49 47451 56 47452 80 4745381 47454883. 47469 9 47471 86 Participating Area % oil Gas 0.0565330 0.0565330 0.0088125 0.0088125 0.3566616 0.3566616 1.1125780 1.1125780 1.0995790 1.0995790 0.7714806 0.7714806 2.0837850 2.0837850 2.7773702 2.7773702 3.1133992 3.1133992 2.7730980 2.7730980 4.0900128 4.0900128 4.1555298 41555298 1.4812197 1.4812197 1.5486835 1.5486835 1.6240684 1.6240684 0.0691187 0.0691187 0.1303563 0.1303563 0.0179622 0.0179622 0.0667905 0.0667905 0.0001956 0.0001956 0.1342393 0.1342393 0.5812244 0.5812244 0.2982834 0.2982834 0.0092138 0.0092138 0.2490770 0.2490770 0.1146214 0.1146214 0.0099777 0.0099777 0.0049708 0.0049708 0.0010848 0.0010848 0.0064355 0.0064355 0.0468606 0.0468606 0.1902328 0.1902328 0.2232645 0.2232645 0.1144260 0.1144260 0.0200389 0.0200389 0.0307565 0.0307565 0.3000685, 0.3000685 52 Royalty % 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 NPSL % Owner CHEVRON MOBIL PHILLIPS CHEVRON BP ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON BP BP ARCO EXXON BP CHEVRON MOBIL PHILLIPS MOBIL PHILLIPS BP BP BP ARCO EXXON ARCO EXXON BP ARCO EXXON ARCO EXXON CHEVRON MOBIL CHEVRON MOBIL MOBIL PHILLIPS CHEVRON MOBIL CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS MOBIL PHILLIPS BP LL&E SHELL TEXACO Ownership % 33.3333333 33.3333334 33.3333333 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 50.0000000 50.0000000 100.0000000 33.3333333 33.3333334 33.3333333 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 66.6666667 33.3333333 50.0000000 50.0000000 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 50.0000000 50.0000000 27.0000000 13.2500000 29.2500000 30.5000000 Participating Area % Lease Tract oll Gas 4747287 0.8139925 0.8139925 47475 103 0.1996175 0.1996175 47476 104 0.0028061 0.0028061 80595 106 0.0000019 0.0000019 GAS CAP PARTICIPATING AREA 2563716 0.0046309 0.0003024 28238 19 0.0163822 0.0061712 28239 18 0.0614364 0.0913424 28240 50 0.0913318 0.0496376 28241 «51 0.0486990 0.0399457 28244 «52 0.0000124 0.0000110 28245 53 0.1486696 0.1805920 28246 «82 0.0007026 0.0003490 2825722 1.7767068 0.1101259 28258 = 21 0.4599204 0.0000012 28259 20 0.0076616 - 28260 47 1.4815529 0.0777251 28261 48 0.0888936 0.0005248 28262 54 0.2968897 0.2995913 28262 S4A 0.0772452 0.1111367 28263 SS 0.1338160 0.0511793 28263 SSA 0.2071833 0.1539450 28264 79 0.1174944 0.0120620 28265 84 0.0364292 0.0003882 28275 112 0.0133022 - 28276 = 113 0.0000864 - 28277 25 0.8421396 0.1111558 28278 89.24 1.0400165 0.0331538 28279 23 1,.2989359 0.0190207 28280 44 3.8981682 1.7631780 28281 «45 3.3705436 1.1061331 28282 «46 3.0429668 0.4341463 28283 «S57 1,5634829 0.1013091 28284 «58 3.3026290 0.6687738 28285 59 3.9964449 1.8633126 28286 76 2.6691922 0.2432039 28287 77 1.2578240 0.0132529 28288 8678 0.3601455 - 28289 «85 0.1312435 - 28290 105 0.0024590 - 28299 26 0.9307902 0.0668830 28300 27 1.0365258 2.7462020 Royalty % 125 125 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 125 125 12.5 125 12.5 125 125 12.5 12.5 12.5 12.5 125 125 125 12.5 12.5 125 12.5 12.5 12.5 12.5 12.5 125 12.5 125 12.5 12.5 12.5 125 125 12.5 NPSL Owner BP TEXACO BP MARATHON SHELL TEXACO ARCO EXXON ARCO EXXON ARCO BP ARCO EXXON ARCO EXXON ARCO EXXON MOBIL PHILLIPS ARCO EXXON ARCO EXXON ARCO EXXON MOBIL PHILLIPS ARCO EXXON ARCO EXXON BP MOBIL PHILLIPS CHEVRON CHEVRON MOBIL PHILLIPS MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON BP BP BP BP BP BP BP BP BP BP BP MOBIL PHILLIPS MOBIL PHILLIPS MOBIL PHILLIPS ARCO EXXON ARCO EXXON Ownership % 50.0000000 50.0000000 25.0000000 25.0000000 25.0000000 25.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 100.0000000 33.3333334 33.3333333 33.3333333 50.0000000 50.0000000 33.3333334 33.3333333 33.3333333 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 Lease Tract 28301 +28 2830241 28303. 42 28304 «43 28305 60 28306 «61 28307 62 28308 73 28309 74 28310 75 28311 90 28312 89 28313 88 28314 102 28315 101 28316 O7A 28316 107 28320 38 28321 «63 28322 64 2832365 28324 70 28325 «71 28326 «72 2832793 28328 92 2832991 28330 100 28331 99 28332 (98 28333. 110 28334 O9A 28334 109 28335 108 28339 «66 28343. «69 28345 994 28346 497 28349 «111 34628 29 34629 30 34630 31 34631 39 34632 40 Participating Area % oil Gas - 5.4070880 0.3106250 8.5730840 1.9447402 6.1308134 3.2449752 2.9898184 3.6765194 3.1854789 2.9343182 5.4649446 1.8596860 7.4776622 3.9394274 4.1071874 3.8650657 2.2068838 3.9334322 1.1675071 3.6619111 0.3709048 2.8963363 0.1007911 1.5538656 0.0066790 0.4588814 - 1.2192336 : 0.0565330 - 0,.0088125 : 0.3566616 0.3216998 1.1125780 7.2610510 1.0995790 4.2486128 0.7714806 0.4529448 2.0837850 0.3609044 2.7773702 3.3036918 3.1133992 5.0566434 2.7730980 0.0132526 4.09001 28 0.7489948 4.1555298 0.7143628 1.4812197 - 1.5486835 - 1.6240684 - 0.0691187 - 0.1303563 - 0.0179622 - 0.0667905 - 0.0001956 - 0.1342393 - 0.5812244 - 0.2982834 - 0.0092138 : - 4.9026960 - 2.3763262 : 0.0521132 0.2490770 4.4211250 0.1146214 7.9580580 54 Royalty 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 125 12.5 12.5 125 12.5 12.5 12.5 125 12.5 125 125 12.5 12.5 NPSL % Owner ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON BP ARCO EXXON ARCO EXXON ARCO EXXON BP BP BP BP ARCO EXXON MOBIL PHILLIPS BP CHEVRON MOBIL PHILLIPS CHEVRON BP ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON BP BP ARCO EXXON BP CHEVRON MOBIL PHILLIPS MOBIL PHILLIPS BP BP BP ARCO EXXON ARCO EXXON BP ARCO EXXON ARCO EXXON BP ARCO EXXON ARCO EXXON Ownership % 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 33.3333334 33.3333333 33.3333333 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 50.0000000 50.0000000 100.0000000 33.3333333 33.3333334 33.3333333 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 Participating Area % Lease Tract Oil Gas 47446 «15 0.0099777 0.0211926 47447 14 0.0049708 0.0011970 47448 =10 0.0010848 - 4744917 0.0064355 0.0204696 47450 49 0.0468606 0.0193851 47451 56 0.1902328 0.0042712 4745280 0.2232645 0.1575467 4745381 0.1144260 0.0384943 47454 883 0.0200389 0.0013684 47469 9 0.0307565 - 47471 86 0.3000685 - 47472, 87 0.8139925 - 47475 103 0.1996175 - 47476 104 0.0028061 - 80595 106 0.0000019 - LISBURNE PARTICIPATING AREA 2827725 0.0170000 - 28280 44 0.0380000 - 28285 859 0.0300000 - 28299 26 0.1870000 - 28300 27 1.7170000 - 2830128 2.4440000 - 2830241 5.4180000 - 28303 42 2.2490000 - 28304 43 0.5380000 - 28305 60 0.1450000 - 28306 «61 0.9190000 - 28307 «62 3.5270000 - 28308 73 0.2460000 - 28309 74 0.0890000 - 28320 38 6.7190000 - 28321 «63 8.5540000 - 2832264 10.0680000 - 2832365 11.0800000 - 28324 70 4.3250000 = 28325 «71 3.7180000 - 28326 «72 1.9750000 - 55 Royalty % 125 125 12.5 12.5 125 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 12.5 125 125 12.5 12.5 125 125 125 125 125 125 12.5 12.5 125 125 125 12.5 12.5 12.5 125 NPSL % Owner CHEVRON MOBIL CHEVRON MOBIL MOBIL PHILLIPS CHEVRON MOBIL CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS CHEVRON MOBIL PHILLIPS MOBIL PHILLIPS AMERADA LL&E SHELL TEXACO AMERADA TEXACO AMERADA MARATHON SHELL TEXACO ARCO EXXON ARCO EXXON BP BP BP ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO BP ARCO EXXON ARCO EXXON ARCO EXXON BP BP ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO EXXON ARCO Ownership % 50.0000000 50.0000000 50.0000000 50.0000000 66.6666667 33.3333333 50.0000000 50.0000000 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 33.3333333 33.3333334 33.3333333 50.0000000 50.0000000 27.0000000 13.2500000 29.2500000 30.5000000 50.0000000 50.0000000 25.0000000 25.0000000 25.0000000 25.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 100.0000000 100.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 50.0000000 Participating Area % Royalty NPSL Owner Ownership % Lease Tract oll Gas % % EXXON 50.0000000 2832793 0.0400000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 28328 92 0.0260000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 28329 «91 0.0190000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 28337 36 0.6590000 - 12.5 BP 100.0000000 28338 48637 0.8960000 - 12.5 BP 100.0000000 28339 8-66 3.1550000 - 12.5 BP 100.0000000 28339 66A 1.0830000 - 12.5 BP 100.0000000 28340 67 0.0300000 - 12.5 BP 100.0000000 28340 67A 0.2000000 - 12.5 BP 100.0000000 28342 114 0.5690000 - 12.5 BP 100.0000000 28343 «69 2.4130000 - 12.5 BP 100.0000000 28343 69A 1.1160000 - 12.5 BP 100.0000000 28344 «95 0.0250000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 28345 94 0.1170000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 34628 29 3.3300000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 34629 930 3.5260000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 34630 31 1.3770000 - 12.5 BP 100.0000000 34631 39 8.6100000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 34632 40 7.3420000 - 12.5 ARCO 50.0000000 EXXON 50.0000000 34634 33 0.6490000 - 12.5 BP 100.0000000 34635 32 0.8150000 - 12.5 BP 100.0000000 NORTH PRUDHOE BAY STATE PARTICIPATING AREA 28297 100.0000000 100.0000000 5.0 ARCO 50.0000000 EXXON 50.0000000 POINT McINTYRE PARTICIPATING AREA 28297 8 21.4790000 21.4790000 5.0 ARCO 50.0000000 EXXON 50.0000000 28297 8A 0.4210000 0.4210000 5.0 ARCO 50.0000000 EXXON 50.0000000 28298 115 0.1000000 0.1000000 125 ARCO 50.0000000 EXXON 50.0000000 34622 116 7.6000000 7.6000000 12.5 EXXON 100.0000000 34624 7 28.8590000 28.8590000 12.5 ARCO 50.0000000 EXXON 50.0000000 34624 7A 2.3410000 2.3410000 125 ARCO 50.0000000 EXXON 50.0000000 34627 6 3.8460000 3.8460000 125 ARCO 50.0000000 EXXON 50.0000000 34627. 6A 3.1540000 3.1540000 12.5 ARCO 50.0000000 EXXON 50.0000000 365548 117 32.2000000 32.2000000 16.6 BP 100.0000000 WEST BEACH PARTICIPATING AREA 28301 28 19.1460000 19.1460000 12.5 ARCO 50.0000000 EXXON 50.0000000 34624 7 12.7640000 12.7640000 125 ARCO 50.0000000 EXXON 50.0000000 34626 5 6.3820000 6.3820000 12.5 ARCO 50.0000000 EXXON 50.0000000 34627 6 24.4520000 24.4520000 12.5 ARCO 50.0000000 EXXON 50.0000000 34628 29 24.4920000 24.4920000 12.5 ARCO 50.0000000 EXXON 50.0000000 34629 30 12.7640000 12.7640000 12.5 ARCO 50.0000000 EXXON 50.0000000 STERLING (Gas) 2497 134 - 3.6282900 12.5 MARATHON — 100.0000000 320912 155 - 2.3611800 12.5 MARATHON _ 100.0000000 324599 152 - 6.4473700 125 MARATHON — 100.0000000 OTHER : 87.5631600 MARATHON _100.0000000 STUMP LAKE (Gas) 56 Participating Area % Royalty NPSL Owner Ownership % Lease Tract oll Gas % % 17600 1 - 2.4424100 12.5 UNION 100.0000000 326059 17A - 8.1967200 64.4 UNION 100.0000000 326060 17B - 15.5737800 64.1 UNION 100.0000000 5878911 - 11.4754100 12.5 UNION 100.0000000 58789 11A - 9.8360700 12.5 UNION 100.0000000 58790 12 - 22.6442700 125 UNION 100.0000000 58791 13 - 18.8524600 12.5 UNION 100.0000000 58792. 14 - 3.2786800 125 UNION 100.0000000 58794 15 : 4.0983600 125 UNION 100.0000000 58795 16 : 3.6018400 12.5 UNION 100.0000000 TRADING BAY (Oil and Gas) MONOPOD A-15 18731 100.0000000 100.0000000 12.5 MARATHON 50.0000000 UNION 50.0000000 MONOPOD A-6 18731 100.0000000 100.0000000 12.5 MARATHON 50.0000000 UNION 50.0000000 MONOPOD NON-POOL 18731 100.0000000 _100.0000000 12.5 MARATHON 50.0000000 WEST McARTHUR RIVER (Oil) 359111 100.0000000 —_ 100.0000000 STEWART 100.0000000 Revised 4/28/97 57 APPENDIX C NORTH SLOPE CRUDE OIL COMPONENTS NORTH SLOPE CRUDE OIL COMPONENTS YIELD (VOLUME %), Average for October, November and December 1996. ni Milne Point Kuparuk Lisburne Prudhoe Prudhoe Endicott GVEA[1] PSVR [2] West East Return Return Propane 0.2 0.1 0.4 05 05 0.5 0.5 0.3 lsoButane 0.2 0.1 0.4 0.8 1.1 0.5 0.7 0.6 Normal Butane 0S 05 1.4 28 3.6 1.6 1.9 2.4 LSR 21 27 45 76 9.7 3.3 49 79 Naptha 10.0 75 13.1 18.5 20.0 10.8 7.4 13.0 Light°Distillate (350 - 450 °F 8.1 8.3 77 89 8.8 6.3 17 1.7 Heavy Distillate (450 - 650 °F) 21.2 21.7 21.3 18.9 18.1 19.3 13.9 10.9 Gas Oil (650 - 1000 °F 28.8 28.3 30.6 23.8 21.7 33.1 38.0 34.8 Fuel Oil (1000 - 1050 ° } 42 41 3.6 3.1 28 4.4 5.0 44 Resid (1 °F and over) 24.7 23.0 17.1 15.1 13.8 20.3 26.0 24.0 '1] GoldenValley Electric Authority. 2] Petrostar Valdez Refinery. ‘evised 3/11/97 59 APPENDIX D_ OIL REFINERIES AND GAS PROCESSING PLANTS OIL REFINERIES AND GAS PROCESSING PLANTS Nameplate Product Production Unit Capacity Products Market Area REFINERIES Alyeska TAPS Pump Station 6 distills a small amount of fuel for its operation. Arco, Kuparuk Distillaton 12,000 Bbi/d Arctic Heating Fuel/Diesel #2 Kuparuk Arco, Prudhoe Bay Distillaton 15,000 Bbi/d Arctic Heating Fuel/Diesel #2 Prudhoe Bay JetA Mapco, North Pole 1977 Two crude units 132,000 Bbi/d Gasoline Alaska total JP4 Alaska Jet A Alaska Diesel #1 Alaska Diesel #2 Alaska Diesel #4 Alaska Asphalt Alaska Tesoro, Nikiski 1969 Crude 80,000 Bbi/d Propane Alaska Hydrocracker 9,000 Bbi/d Gasoline Alaska PowerFormer 12,000 Bbi/d Gasoline, premium Alaska PRIP 4,000 Bbi/d Jet A LPG 2,800 Bbi/d Diesel #1 Alaska Hydrogen 13. MMcf/d Diesel #2 Alaska Sulfur 15 Tid Fuel Oil #6 export Sulfur lower 48 Petrostar, Valdez 1992 Crude 39,000 Bbi/d JetA Alaska Marine Diesel Alaska Heating/Diesel #1 Alaska Heating/Diesel #2 Alaska Petrostar, North Pole 1985 Crude 10,500 Bbi/d Kerosene Alaska Heating/Diesel #1 Alaska higating/Diesel #2 Alaska GAS PROCESSING PLANTS Phillips-Marathon LNG Plant, Nikiski 1969 LNG 235,000 Mcf/d LNG Japan: Unocal Chemical Plant, Nikiski 1969 Two ammonia units 1,300,000 T/yr Anhydrous Ammonia Pacific Rim (half of ammonia production is used to produce urea, the other half is exported as ammonia.) Urea 1,200,000 T/yr Urea prills and granules Pacific Rim Revised 4/26/97 61 OPERATING REFINERIES IN THE U.S. THOUSANDS OF BARRELS PER CALENDAR DAY No. Charge Capacity Production Capaci Plants Crude Vac. Therm. Cat Cat Cat Cat Cat Alk. Pol/ Lubes Hydro. Coke Asph. Dist. Ops. Crack Reform Hydro Hydro Hydro Dim (MMcf) (t) : Crack Refin Treat Alabama 3 134 48 : : 26 0 27 73 - - - 13 500 21 Alaska 6 283 23 - - 12 9 - 12 - - - 13 - - Arco, Kuparuk 12 - - - - - - - - - - - - - Arco, Prudhoe Bay 15 - - - - - - - - - - - - - Mapco, North Pole 130 - - - - - - - - - - - - - Petrostar, North Pole 14 - - - - - - - - - - - - - Petrostar, Valdez 40 - - - : - - - - - - - - - Tesoro, Kenai 72 16 - - 12 9 - 12 - - - 13 - - Arkansas 3 65 25 - 19 12 : 21 35 5 - - 2 : 9 California 23 «1,899 = 1,085 10 608 428 373, 355 1,204 142 8 29 1,015 17,369 56 Colorado 2 86 29 - 27 19 - - 42 3 3 - 14 - 8 Delaware 1 140 85 - 63 46 17 : 123 8 5 - 40 1,800 - Georga 2 34 : - - - - - - 8 - 2 - - 23 Hawaii 2 149 70 13 21 13 18 : 3 4 1 - an : 1 Illinois 6 910 362 S 322 337 58 - S77 88 - Ss 90 6,653 SO Indiana 3 436 235 - 157 92 - 89 209 32 - 6 33 1,550 60 Kansas 3 283 112 - 79 60 9 40 182 24 - - 8 1,412 - Kentucky 2 225 89 4 97 43 - 39173 12 1 8 - - 29 Louisiana 19 2,417 1,098 22 «886 463 185 146 «1,116 178 921 63 310 15,795 48 Michigan 3 121 37 - 46 28 - - 88 9 1 - 7 - 18 Minnesota 2 355 191 - 108 76 : 22 346 a 5 - 99 3,000 39 Mississippi 4 337 257 - 63 71 58 84 «146 17 - 6 216 93,447 8 Montana 4 144 62 - 53 32 4 34 (113 13 <1 - 81 960 16 Nevada 1 it 6 - - - - - : 13 - - - - 1 New Jersey 6 674 269 10 283 118 - 105 104 30 4 12 22 1,289 100 New Mexico 3 98 19 - 32 32 : 26 38 11 2 - - - 6 North Dakota 1 58 : - 25 12 : : A? 11 1 - - : - Ohio 4 500 163 - 174 153 75 63 174 26 4 - 87 1,650 12 Oklahoma 5 403 160 - 110 88 4 25 217 25 2) 8 61 1,310 ne Oregon 1 - 15 - - - - - - 25 - - - - 8 Pennsylvania 6 574 222 - 122 129 30 - 299 36 1 uf 50 - 47 Tennessee 1 105 0 : SO 16 : : 61 36 4 : - - - Texas 28 4,020 1,817 21° 1,588 1,134 451 579 2,731 34 12 78 916 20,012 58 Utah 5 160 41 - 43 31 - - 67 13 - - 1 281 4 Virginia 1 57 32 - 26 11 : : 29 3 - - - 870 - Washington 7 584 269 - 118 126 50 20 269 26 3 - 81 2,550 17 West Virginia 1 10 5 - - 3 4 - 4 : - 4 1 - : Wisconsin 1 36 20 - 10 8 - 6 8 2 73 - - - a Wyoming 4 127 61 - 49 29 - 24 O67 8 1 - 6 - 15 Source: Oil & Gas Journal, "1996 Worldwide Refining Survey," December 23, 1996, p. 49. Revised 3/6/97 62 APPENDIX E CONVERSION FACTORS ABBREVIATIONS acre barrel British thermal unit calorie cubic foot thousand cubic feet million cubic feet billion cubic feet trillion cubic feet day calendar day stream day foot gallon, US allon, UK ectar inch kilogram kilolitre kilometer litre meter mile nautical mile ound on, long (UK ton, short (US) tonne (metric) LENGTH 1 ft = 1 1 mi = 5,280 1 naut mi = 6,076 1m = 3.2808 1km = 3,281 AREA 7 ft 1 = 1 1m? = 10.7639 1ac = 43,560 tha = 107,636 1km? = —- 10,763,649 1 mi = 27,878,400 VOLUME a ft? 1 ft = 1 1galUS = 0.133681 1galUK = 0.160544 i bl = 5.6146 1m = 35.3147 WEIGHT Ib 1 Ib = 1 1tUS = 2000 1tUK = 2240 1kg = 2.20462 1 tn = 2204.62 mi 0.0001894 1 1.1516 0.000621 0.621371 im’ 0.092903 1 4,047 10,000 1,000,000 2,589,990 gal us 7.48052 1 1.20095 42 264.172 tus 0.0005 1.12 0.001102 1.10231 naut mi 0.000164 0.8684 0.000539 0.5396 ac 0.000023 0.000247 2.47105 247.105 gal UK 6.22883 0.832674 34.9726 219.969 tUK 0.000367 0.892867 0.000984 0.984207 0.001 ha 0.0001 0.404686 1 100 258.999 bbl 0.17811 0.02381 0.028594 1 6.28981 kg 0.453592 907.1848 1016.05 1 1000 0.003048 1.60934 1.852 1,000 km? 1,000,000 0.004047 0.01 1 2.58999 3 i) 0.028317 0.00378541 0.00454609 0.158987 1 0.000453 0.907185 1.01605 0.001 0.0016 0.003861 0.386102 CRUDE OIL WEIGHT Based on average Arabian Light, 33.5 API. gal US gal UK tUK tn bbi 1galUS = 1 0.833 0.00319 0.00325 0.0238 1galUK = 1.201 1 0.00383 0.00391 0.0286 1tUK = 313 261 1 1.016 7.45 1tn = 308 256 4 7.31 1 bbl = 42 35 0.134 0.136 1 VOLUME CONVERSION: LIQUIFIED NATURAL GAS TO NATURAL GAS LNG Natural Gas, =260 °F ft Ib = 21.082 1 gal = 79.814 1 8 = 597 41 bb} = 3,352 1m = 21,085 1tn = 46,477 WEIGHT EQIVALENTS OF PETROLEUM AND PETROLEUM PRODUCTS Avg eno" gal US/Ib Ib/gal US Ib/bbI crude oil, foreign 25.6 0.13333 7.500 315 crude oil, domestic 36.0 0.14217 7.034 295 asoline and naptha 59.5 0.16215 6.167 259 ‘erosene 43.0 0.14812 6.751 284 fuel oil, distillate 31.3 0.13817 7.237 304 fuel oil, residual 18.0 0.12687 7.882 331 asphalt 5.6 0.11634 8.596 361 liquified petroleum gas - 0.22104 4524 190 APPROXIMATE HEAT CONTENTS OF FUELS AND PETROLEUM PRODUCTS Million BTU Thousand BTU per Barrel per Gallon asphalt 66 aviation gasoline 5.0 120 butane 43 102 crude oil 5.8 138 ethane 3.1 74 fuel oil, distillate 5.8 138 fuel oil, residual 63 150 jet fuel, kerosene type 5.7 136 jet fuel, naptha type 5.4 129 kerosene 5.7 136 pentanes plus 46 110 propane 3.8 90 ACRONYMS AOGCC Alaska Oil and Gas Conservation Commission API American Petroleum Institute DNR Alaska Department of Natural Resources DO&G Division of Oil and Gas DOR Alaska Department of Revenue ISER Institute of Social and Economic Research LNG liquified natural gas LPG liquified petroleum gas NGL natural gas liquids TAPS Trans Alaska Pipeline System Revised 3/10/97 64 bbi/T us 6.349 6.77 7.721 7.053 6.58 6.041 5.54 10.526 bbI/T uk 7.111 7.582 8.648 79 7.369 6.766 6.205 11.789 bbiI/TN 6.998 7.463 8.511 7.775 7.253 6.66 6.106 11.603 APPENDIX F_ DEFINITION OF “OIL” AND “GAS” “OIL" AND “GAS” Crude oil and natural gas are fluids produced from naturally occurring petroleum deposits. Typical crude oil contains several hundred chemical compounds. The lightest of these are gases at normal temperatures and pressure, described as “natural gas.” The light fractions of the crude oil stream include both hydrocarbon and non-hydrocarbon gases, such as water, carbon dioxide, hydrogen sulfide, helium, or nitrogen. The principal light hydrocarbons are methane (CH,), ethane (C2H.), propane (C3Hg), butanes (C4H10), and pentanes (CsH;z). In these representations the letter C represents a carbon atom and the letter H represents a hydrogen atom. The gaseous component found most often and in largest volumes is, typically, methane. Heavier fractions of the crude stream are usually liquids. If a given hydrocarbon fraction is gaseous at reservoir temperatures and pressures, but is recoverable by condensation (cooling and pressure reduction), absorption, or other means, it is classified by the American Gas Association (AGA) as a natural gas liquid. NGLs. NGLs also include ethane if ethane is recovered from the gas stream as a liquid. A related term is liquefied petroleum gas (LPG), composed of hydrocarbons which liquefy under moderate pressure under normal temperatures. LPG usually refers to propane and butane. A second related term is condensate, which refers to LPG plus heavier NGLs components, often referred to as natural gasoline. The lightest hydrocarbon fraction is methane, which is almost never recovered as a liquid, and which makes up the bulk of pipeline gas. If a natural gas stream contains few hydrocarbons which are commercially recoverable as liquids, it is considered “dry gas” or “lean gas.” The distinction between “wet” and “dry” is usually a legal one, which varies from state to state. “Crude oil” usually means the non-gaseous portion of the crude oil stream. Natural gas may occur in reservoirs which are predominately gas-bearing or in reservoirs in which the gas is in contact with petroleum liquids. Non-associated gas is natural gas from a reservoir where the gas is neither in contact with nor dissolved in crude oil. Associated gas occurs in contact with crude oil, but is not dissolved in it. A gas cap on a crude oil reservoir is a typical example of associated gas. Dissolved gas is gas dissolved in petroleum liquids and is produced along with them. Dissolved and associated gases are usually good sources of NGLs while non-associated gases are often “dry.” The distinction between natural gas and its NGLs components is important to a study of the supply and demand of royalty oil and gas because natural gas liquids have a multitude of uses when separated from the gas stream. For example, propane is produced in Alaska and sold in Alaska as bottled gas for residential, commercial, and limited transportation uses, while butane is used for blending in gasoline and military jet fuel and as a refinery fuel. Potential uses for NGLs also include the enriching (“spiking”) of pipeline gas and crop drying. Several years ago the Dow-Shell Petrochemical Group and Exxon studied the feasibility of utilizing the NGLs contained in Prudhoe Bay natural gas as the basis for an Alaska petrochemicals industry. Since the state has the option of considering NGLs separately from the gas stream, two definitions of natural gas consumption and reserves are possible. One of these would consider natural gas liquids as part of the gas stream. The second definition would treat the markets for LPG and ethane separately from those for gas. This requires a separate estimate of LPG consumption and gas liquids reserves. In this report, demand for LPG and ethane is estimated separately from that for gas; however, no separate estimate is made of gas liquids reserves. ACKNOWLEDGMENTS Staff of the State of Alaska, Department of Natural Resources, DO&G prepared this report: e Dick Beasley, Geologist and Principal Document Editor e Bill VanDyke, Petroleum Manager e Kevin Banks, Petroleum Market Analyst e Nancy Cress, Accountant ¢ Don Gerwin, Management Analyst e Dianna Lewis, Administration Clerk e Mike Pritchard, Cartographer e Tom Rauba, Programmer e Tim Ryherd, Geologist e¢ Dan Smith, Cartographer e Judy Stanek, Natural Resource Officer e Dan Zobrist, Petroleum Economist 67 STATE OF ALASKA DEPT. OF NATURAL RESOURCES DIVISION OF OIL & GAS 3601 C STREET, SUITE 1380 ANCHORAGE, AK 99503-5948 BOUND PRINTED MATERIAL KRIS LETHIN STATE OF ALASKA DOE/DIR COMMUNITY & REGIONAL AFFAIRS 333 W 4TH AVE STE 313 ANCHORAGE AK 99501 e Printed in Alaska ASSETS