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What the media missed again: TAPS oil throughput up

Extra Edition January 4, 2017


Even though New Year's just happened, Headlamp thinks it's time for another celebration! Alyeska Pipeline Service Company, the operator for the Trans Alaska Pipeline System (TAPS) announced last Friday that total oil throughput for calendar year 2016 was up nearly 2% over 2015:


  • In 2015, total throughput in TAPS was 185,582,715 barrels – an average of 508,446 barrels per day.
  • For 2016, total oil flow through the pipeline was 188,887,500 barrels – pushing the average daily production up to 517,500 barrels a day!
  • This is the first time in 14 years that production, and subsequently TAPS throughput, from Alaska's North Slope has increased.




  • Oil tax reform of 2013 (SB 21) that made Alaska more competitive and a more attractive place for companies to invest played a significant role in the production increase witnessed in 2016.
  • There's more where that came from:
    • Armstrong's Nanushuk prospect
    • Brooks Range's Mustang Field
    • Caeulus' Smith Bay discovery
    • ConocoPhillips NPR-A activity
  • Each of these prospects, and several others, has the potential to continue to increase production and stem the decline.    


Major media outlets reported that Tax Division Director, Ken Alper, believed that the increase wasn't meaningful as the state was forecasting a continued decline. Likewise, many in the media, the administration and the legislature have bought into this "we will never be an oil state" again philosophy. 


Headlamp strongly disagrees. The oil is there. The companies are here. Increasing production can and should be a critical component of the state's economic plan. Don't be too quick to close the door on the best opportunity Alaska has to end the recession it is experiencing.  More production means more revenue for the state and more jobs for Alaskans.


Congratulations to Alyeska and the producers who made it happen!    

AK Headlamp
A project of the Alaska Support Industry Alliance
3301 C Street
Anchorage, AK 99503


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