FAIRBANKS, Alaska (KTVF) Doyon Ltd. CEO Aaron Schutt held a press conference Monday afternoon to announce a new oil exploration project in the Yukon Flats.
Doyon Ltd. and Hilcorp are undertaking an oil exploration project in the Yukon Flats. (Doyon, Ltd.)
The exploration will occur over 1.6 million acres of Doyon-owned land spread over Fort Yukon, Birch Creek, Beaver, and Stevens Village.
Hilcorp, the largest private operator and gas supplier in Alaska, is set to conduct the actual exploration. Doyon acts only as the land owner and is not investing in exploratory activities.
Preliminary geological data, such as the type of rock in the area, is a promising sign of natural gas reserves.
According to Schutt, Doyon plans to confer with the villages involved in this exploration to ensure that subsistence practices may continue. Doyon has already signed a cooperation agreement with Tihteet Aii -- the Birch Creek Alaska Native village corporation. They are scheduled to meet with representatives from other villages later this week.
Exploratory activities will involve airborne gravity surveys which will probably take place in the summer, said Schutt. Afterwards, seismic surveys and exploration drilling operations will have a five year opportunity to look for oil in these areas.
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