Governor Parnell annouces Litigation resolution over Point Thomson

FAIRBANKS, Ak -- Governor Sean Parnell announced today significant developments in the decades old effort to bring Alaska natural gas to market.

Parnell says the state has resolved litigation with ExxonMobil and other leaseholders over the Point Thomson field.

Point Thomson has remained undeveloped for over 30 years and is thought to hold an estimated 8 trillion cubic feet of natural gas.

Failure to develop the field prompted the state to enter litigation with the companies.

Parnell also announced today the three major oil and gas producers, ExxonMobil, ConocoPhillips and BP are officially aligned with the Alaska Pipeline Project and are working on a gasline project that will ultimately bring North Slope gas to tidewater.

The governor says he is pleased producers are following through with requests he made last fall.

“Alaska's Resources will be produced from Point Thompson rather than remaining locked underground.  The settlement includes firm work commitments and will help incentivize commercialization of North Slope gas, in addition to putting more oil into T.A.P.S.,” Parnell said.