FAIRBANKS, Alaska (AP – The U.S. Army Corps of Engineers released a 500-page report on the Point Thomson gas project in the final step needed before the federal government can give ExxonMobil Corp.’s North Slope project the go-ahead.
The Corps released its environmental impact study on Friday and has until the end of August to review the project and file a decision, the Fairbanks Daily News-Miner (http://is.gd/hPyn7K said Monday.
The final EIS is the culmination of a three-year review of the proposed multibillion-dollar project that would produce 10,000 barrels a day of natural condensate, which can include ethane, propane, butane and other valuable resources.
The project 22 miles east of the trans-Alaska oil pipeline would include three pads for drilling and production of wells, with a central pad for production facilities. There also would be infield roads, pipelines, an airstrip and gravel mine site.
Natural gas would be extracted, processed to remove the condensates and reinjected to increase pressure in the wells.
Point Thomson is estimated to contain 8 trillion cubic feet of natural gas, about 300 million barrels of gas condensate liquids, and some traditional crude oil.
Earlier this year, the Alaska Supreme Court granted a request by the state and energy companies to drop its review of a case involving disputed leases at Point Thomson. The move came after a settlement was reached between the state and oil developers over the leases.
The settlement requires the companies to complete the current 10,000-barrel-per-day project or risk losing leases.
ExxonMobil Corp. operates the Point Thomson unit. Other interest owners include BP Exploration Alaska, ConocoPhillips Alaska and Chevron U.S.A. Inc.
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Information from: Fairbanks (Alaska Daily News-Miner, http://www.newsminer.
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