Notice of Application Received for Beluga River Gas Storage Lease and Request for Comments

The Department of Natural Resources (“DNR”), Division of Oil and Gas (“DO&G”) hereby gives notice under AS 38.05.945 of the receipt of a gas storage lease application under AS 38.05.180(u) and 11 AAC 83.500-520.

Hilcorp Cook Inlet Alaska, LLC (“Hilcorp”) proposes to develop a subsurface natural gas storage reservoir in the Sterling A1, A2, and A3 Sands, utilizing dual-purpose injection and production gas wells and facilities located near the western shore of Cook Inlet in Beluga, approximately 36 miles west of Anchorage. The Sterling A1, A2, and A3 sands are part of the existing Participating Area of the Beluga River Gas Pool #1.

Hilcorp will be the owner and operator of the gas storage lease, and Hilcorp currently owns the existing oil and gas leases in the project area. Additionally, Hilcorp intends to apply for a Storage Injection Order issued by the Alaska Oil and Gas Conservation Commission.

The lands in the proposed storage area contain approximately 6,100 acres of State of Alaska owned subsurface gas storage reservoir. State storage lands are located in all or portions of the following lands:

Township 12 North, Range 10 West, Seward Merdian, Alaska

Sections 2, 3, 4, 9, and 10.

Township 13 North, Range 10 West, Seward Merdian, Alaska

Sections 13, 14, 22, 23, 24, 25, 26, 27, 34, 35, and 36.

Township 13 North, Range 10 West, Seward Merdian, Alaska

Sections 7, 18, and 19.

Only the State’s portion of the gas storage reservoir is proposed for lease. The gas storage lease may not interfere with any existing oil and gas lease and must include a fee and surface damage provision (11 AAC 83.505). Hilcorp must obtain approval from agencies with jurisdiction, including the Alaska Oil and Gas Conservation Commission prior to any gas storage.

The Director, DO&G calls for your comments under AS 38.05.035(e) regarding whether the issuance of the proposed gas storage lease would be in the best interests of the state. Comments will also assist DO&G when considering lease stipulations and mitigation measures. Following this comment period DO&G will issue a written finding. To be eligible to appeal this finding, a person must provide written comments during this comment period. DO&G will send a copy of the preliminary finding to any person who provides written comment.

The application is available for review as an attachment to this notice at: https://aws.state.ak.us/OnlinePublicNotices/Default.aspx,

and is also available on the DO&G website at:

https://dog.dnr.alaska.gov/Library

To be considered, written comments must be submitted by postal mail or electronic mail (e-mail) to:

Clearly mark submittal(s) as “Comment on Proposed Beluga River Gas Storage Lease”, or “Agency Information on Proposed Beluga River Gas Storage Lease” and send to:

Best Interest Findings

500 W. 7th Ave., Suite 1100, Anchorage, AK 99501

or email to: dog.bif@alaska.gov

COMMENTS MUST BE RECEIVED ON OR BEFORE 5:00 P.M., July 7, 2026