Last Friday Alaska Governor Sean Parnell announced that the state had resolved litigation with ExxonMobil and other lease holders over the Point Thomson Field.
Point Thomson has remained undeveloped for more than 30 years and is thought to hold an estimated 8 trillion cubic feet of natural gas.
The three major oil producers, ExxonMobil, Conoco Phillips, and British Petroleum, are officially aligning with the Alaska pipeline project and are working on a gasline project that will ultimately bring North Slope gas to tidewater.
So now the major producers oil producers are the major working interest owners at Point Thomson.
They are committed under this agreement to spend hundreds of millions, if not billions, in the near term to get this initial production system on-line and to get hydrocarbons into taps.
“Then hopefully the alternatives set out in the settlement, they'll pursue the one that we want them to focus on the most, and they've agreed to as part of the settlement in working on the most, is the commercialization of large-scale gas,” said Dan Sullivan, Alaska Commissioner for the Department of Natural Resources.