Yesterday, the State of Alaska held the annual Cook Inlet oil and gas lease sale. Hilcorp Alaska came away from the table as the largest participant. We spoke to Hilcorp’s Lori Nelson about yesterday’s sale.
Nelson: “It defiantly strengthens our lease hold, what we acquired is still on the east side, just south of the the Deep Creek unit. 19 of the 22 bids were one, I guess we were the surprise of the day, had the biggest grab of the day with a total of about 145,000 acres and our expenditure on that was in the neighborhood of about $3 million to the state. You know, it just speaks to our attitude and our mission to extend the Cook Inlet basin, we think there’s still a lot of potential there, and our actions in the lease sale certainly speak to that.”
We asked Nelson if Hilcorp had any focus on oil or gas for the newly acquired leases
Nelson: “It’s hard to say at this point, you know, we’re going to continue with this year’s plan, and we evaluate year over year. Being that it is close to our existing assets will let us continue our work year over year.”
Hilcorp became active in the Cook Inlet basin in January of 2012.