Furie Operating the Sole Bidder in State’s Inlet Lease Sale

The operator of the Kitchen Lights natural gas unit in Cook Inlet is showing interest in adjacent lease tracts. Furie Operating Alaska was the sole bidder in the state’s areawide lease sale.

Reinvestment by an Existing Operator

The Alaska Division of Oil and Gas received bids on two tracts covering 5,120 acres and totaling approximately $100,659 in bonus bids, according to preliminary results.

Both bids came from Furie, and the tracts border the areas where the company currently produces natural gas for local utilities. Furie bid $19.75 and $19.57 per acre, respectively, for both 2,560-acre tracts.

“It’s encouraging to see a local producer continue to invest in Alaska, especially our Cook Inlet region” says John Crowther, deputy commissioner of the Alaska Department of Natural Resources. “At a time when utilities are looking to secure new sources of natural gas to meet local energy demand, reinvestment by an existing operator is a good sign. We of course wish to see more companies and bidding in future sales and are assessing how the state can support this through providing additional data, helping operators navigate complex federal permitting, and potentially making fiscal and policy changes to boost the competitiveness of Cook Inlet development.”