Assignment of Eni leases to Hilcorp approved effective 11/1

Kristen Nelson

Petroleum News

The sale of Eni's interests in Alaska to Hilcorp appears to be advancing.

The Alaska Department of Natural Resources' Division of Oil and Gas issued an assignment approval Oct. 30 transferring the working interest in leases at Nikaitchuq and Oooguruk from Eni Petroleum US to Hilcorp Alaska effective Nov. 1.

When the proposed sale became public in June, Greg Lalicker, chief executive officer of Hilcorp Energy Co., parent of Hilcorp Alaska, said: "We will leverage our experience gained at Milne Point to further enhance the development of these assets, building upon the success achieved by Eni."

Nikaitchuq is on the western edge of Milne Point, immediately north of the Kuparuk River unit; Oooguruk is east beyond Nikaitchuq on the northern edge of Kuparuk.

"In 2024, Hilcorp Alaska proudly made its largest-ever budget commitment to the state," said Luke Saugier, senior president of Hilcorp Alaska in the company's June statement, "and we are excited to further expand our presence on the Slope with this acquisition."

Eni said June 27 that it had signed a binding agreement with Hilcorp for the sale of 100% of its Nikaitchuq and Oooguruk assets.

Closing of the transaction is subject to regulatory approvals and customary terms and conditions, Eni said, adding that it would announce the value of the transaction upon its closing.

No such announcement had been made when this issue of Petroleum News went to press.

The division said Hilcorp provided financial assurances and information to DNR related to its ability to satisfy financial obligations for dismantle, removal and restoration as required for the assigned leases. Its decision lists 100% working interest in 31 leases and 50% working interest in one lease.

--KRISTEN NELSON