The consent decree for Hilcorp Alaska’s acquisition of Marathon Oil Company’s Cook Inlet assets is now available by clicking here.
The consent decree outlines the State’s conditions for Hilcorp as it moves into the acquisition.
“Hilcorp is well known in the oil and gas industry as an active developer in mature oil and gas basins such as Cook Inlet,” Attorney General Geraghty said. “It plans to spend approximately $300 million over the next two years on new Cook Inlet development in addition to the more than $200 million Hilcorp spent in 2012 alone. This settlement allows Hilcorp to keep investing in Cook Inlet while still protecting consumers.”
The key feature of the proposed consent decree is a cap on the price of natural gas sold to local utilities and Cook Inlet industrial users for the next five years. The decree also prevents Hilcorp from selling gas for LNG export until all local needs are met.
Hilcorp’s Lori Nelson…
Hilcorp: “We certainly hope folks do reach out with support for the acquisition. The window for comments is a full 60 days, which wraps up around January 7th of 2013 and we hope to close the acquisition shortly thereafter.”
Following the comment period, the Superior Court will hold a hearing to determine whether to approve or reject the consent decree.
For more information, visit the State’s website here or contact Assistant Attorney General Ed Sniffen at 269-5200.