Joe Marushack

ConocoPhillips Alaska’s Greater Mooses Tooth #1 Produces First Oil

ANCHORAGE – ConocoPhillips (NYSE: COP) Alaska today announced that the Greater Mooses Tooth #1 (GMT1) drill site in the National Petroleum Reserve-Alaska (NPR-A) has achieved first oil production ahead of schedule on October 5.

GMT1 is a satellite development of the Alpine field and is connected by road to drill site CD5. Oil from GMT1 is processed through Alpine’s existing facilities. The permitting process for GMT1 began in 2013 and the Bureau of Land Management (BLM) issued a permit to drill in October 2015. Funding was approved later that year and construction began in 2017, continuing through the winter of 2018.

GMT1 is the first drill site on federal leases within the NPR-A. The BLM, ASRC and Kuukpik Corporation share land and mineral rights for the project. “This is another milestone for development in the NPR-A,” said Joe Marushack, president of ConocoPhillips Alaska. “The GMT1 team successfully and safely executed this project in an environmentally responsible manner. We appreciate the collaboration with stakeholders from Kuukpik Corporation, the community of Nuiqsut, the North Slope Borough and ASRC that made it possible.”

GMT1 has an 11.8-acre drilling pad, a 7.6-mile road, and pipeline facilities connected to the Colville River Unit infrastructure. The pad will have nine wells initially, with capacity for up to 33 wells. Peak gross production is estimated at 25,000 to 30,000 barrels of oil per day (BOPD) and the project is expected to cost about $725 million gross, including construction and drilling expenses. At peak construction, during the past two winter seasons the project created about 700 positions.

In addition to completing GMT1, ConocoPhillips continues making substantial investments in new projects on the North Slope. The company is awaiting a Record of Decision (ROD) and permits for development of a second drill site in the Greater Mooses Tooth Unit, GMT2, located about eight miles southwest of GMT1. If the ROD is accepted and a funding decision is made, construction on GMT2 could begin in early 2019. GMT2 is estimated to cost more than $1 billion gross, with peak production estimated at 35,000 to 40,000 BOPD gross.

The company is also pursuing permitting for the Willow discovery in the Bear Tooth Unit, which could nominally produce 100,000 BOPD gross. The Greater Mooses Tooth and Colville River Units are approximately 100 percent owned and operated by ConocoPhillips Alaska, Inc.

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About ConocoPhillips Alaska. ConocoPhillips has led the search for energy in Alaska for more than 50 years. The company is committed to responsibly developing Alaska’s resources, providing economic opportunity for Alaska, operating at the highest standards of safety and environmental stewardship, and serving as good corporate citizens in Alaskan communities. For more information, visit www.conocophillipsalaska.com.