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Providing coverage of Alaska and northern Canada's oil and gas industry
June 2023

Vol. 28, No.24 Week of June 11, 2023

Kuukpik files to build new pad

K2 gravel pad in ConocoPhillips Alaska's Greater Mooses Tooth unit in NPR-A; to support oil and gas exploration and development

Kay Cashman

Petroleum News

On June 1 the U.S. Army Corps of Engineers posted a 30-day public notice on Kuukpik Corp.'s application to build a new 32.68-acre pad, K2, in ConocoPhillips Alaska Inc.'s Greater Mooses Tooth unit in the National Petroleum Reserve-Alaska.

The purpose of the K2 pad is to provide storage and laydown space to support oil and gas exploration and development in the region, likely including the Willow project to the west, as well as work in the Mooses Tooth unit.

In its application Kuukpik said there is an immediate need for additional storage space to support winter 2025 construction. Therefore, the company wants to initiate construction in February 2024 to allow for one season of gravel 'seasoning' and re-working prior to the winter of 2025.

Kuukpik is the village corporation for Nuiqsut with more than 600 enrolled shareholders.

The Greater Mooses Tooth unit wraps around the southwest corner of the Colville River unit; both units are operated by ConocoPhillips.

The new K2 gravel pad will be on Kuukpik (surface) land on the north side of the GMT2 and MT7 access road at Latitude 70.180444 N, Longitude 151.66683 W; a quarter mile west of the GMT2/MT7 pad along the north side of the road; 16 miles west of Nuiqsut, Alaska.

The K2 pad will have two access drives - on the southeast and southwest corners of the pad, per the application reference, POA-2023-00027, and will require filling 32.48-acres of waters of the U.S and 0.20-acres in uplands associated with the GMT2/MT7 access road.

The area is comprised of gently rolling hills, many shallow lakes and ponds, and wetlands resulting from poorly drained soils. As is typical on the North Slope, the K2 project area is located on permafrost where the subsurface is perennially frozen.

The pad will be built with a minimum gravel fill depth of 5 feet, using 2V:1H side slopes to provide thermal protection for the underlying permafrost.

The 32.68-acre pad will involve 400,000 cubic yards of gravel fill material. Kuukpik will utilize currently permitted gravel sources to avoid opening a new mine site.

The K2 pad size and location were selected after consideration and evaluation of the following factors:

- Location of existing infrastructure

- Land ownership

- Archaeological and cultural resources

- Local hydrology

- CPAI operational needs

- Nanuq Inc. (Kuukpik subsidiary) current storage and operational needs

- Footprint minimization for pad access capabilities

- Projected future storage needs by Kuukpik subsidiaries and other entities

- Subsistence activities

Economic benefits, wildlife

Development of the K2 pad will provide "benefits to local and state economies by creating local-hire jobs during construction and operation. The new pad would also provide income to the Kuukpik Corporation through lease revenues that would be distributed amongst its shareholders," the Corps' public notice said.

The K2 pad will not result in any barriers to wildlife access or movement other than the physical presence of the K2 pad gravel. Kuukpik subsidiary Nanuq Inc. has an existing wildlife avoidance and interaction plan that will be utilized for construction and future storage activities as necessary.

Prior to construction, Kuukpik will coordinate with the Alaska Department of Fish and Game regarding known grizzly bear denning locations to avoid these locations by creating a half-mile buffer around known dens. Collared grizzly bears on the North Slope are tracked by the department and known den locations are confirmed in the late winter/early spring by various methods.

Kuukpik will also perform FLIR studies on bear dens in the area in order to mitigate impacts to denning polar bears.

Since the location of the K2 pad is outside of the Colville River Delta and not impacting any lakes or streams, erosion is not expected in the project area. However, once the K2 Pad is completed and seasoned, an assessment of the need for erosion control will be conducted periodically (e.g., at breakup, etc.). Additional measures will be implemented as appropriate based on Kuukpik's evaluation.

ConocoPhillips' Greater Mooses Tooth unit averaged 12,772 barrels of oil per day in April, up 561 bpd, 4.6%, from a March average of 12,211 bpd, but down 26.9% from an April 2022 average of 17,480 bpd, with 76.5% of production from the GMT-2 pad (Rendezvous pool) and 23.5% from the GMT-1 pad (Lookout pool).






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