DEC working with Armstrong Resources to keep permitting on track

Kay Cashman, PNA Publisher

The state Division of Governmental Coordination said in a Sept. 19 report that its permitting review for Armstrong Resources LLC’s Kuparuk-Thetis Island exploration project was suspended as a result of a request for additional spill plan information from the state Department of Environmental Conservation.

In a Sept. 26 interview with DEC’s Lydia Minor, PNA was told that the agency was continuing to work with Armstrong and hopes to have everything in place to officially re-start the permitting time clock in the near future.

DGC told PNA that the North Slope Borough has already approved development and ice road permits for the Kuparuk-Thetis project, as well as determined that Armstrong’s plan of development is consistent with Title 19 and the borough’s coastal management program.

The Denver-based independent, which bought its first Alaska oil and gas leases in October 2001, filed its permits July 19 to drill three wells between Kuparuk and Thetis Island.

The company picked up what is considered a prime group of leases in and near Exxon’s former Thetis Island unit where Exxon drilled a 8,460 foot vertical exploration well in 1993 that was certified by the state of Alaska as capable of producing in paying quantities in February 1995.

Natchiq Technical Services was chosen to oversee planning, engineering and implementation of Armstrong’s 2002-2003 exploration program, including well testing and selection of a company to build 10 miles of ice road.

Ice roads from the Oliktok Point dock will provide Armstrong access to the three grounded ice pad locations in Harrison Bay within the Barrier Islands. No tundra travel is planned.

Armstrong told the state in its plan of operations that drilling is expected to begin on or before Jan. 20 at the first location and be completed by March 15. All sea ice operations are expected to be complete by March 22.