Alaska - BP · ConocoPhillips, TransCanada, the Alaska Gasline Development Corporation and the State of Alaska to advance the Alaska LNG project. A successful project

Alaska

Contents About us 3 About BP

4 President’s message

5 BP in the Community

6 Alaska Hire & Education

7 BP Energy Center

8 Alaska LNG

9 Point Thomson

10 TAPS

12 Alaska Clean Seas

13 Arctic Ecology Advanced

14 Greater Prudhoe Bay

18 Greater Point McIntyre

22 Milne Point Unit

24 Greater Kuparuk Area

28 Drones help monitor Prudhoe Bay

30 Field statistic summary

This publication of “BP in Alaska” was published in May 2015. All 2014 statistical data is based on the full calendar year, unless otherwise noted. Production data as reported by Alaska Oil & Gas Conservation Commission.

For more information go to alaska.bp.com

BP opened its first office in Alaska in 1959, and for more than four decades has led the oil and gas industry that drives Alaska’s economy. BP operates nine North Slope oilfields in the Greater Prudhoe Bay area, and owns significant interest in six producing fields that are operated by others. BP also owns significant non-operating interest in the Point Thomson development project, the Liberty prospect, and the Trans Alaska Pipeline System (TAPS). Our business strategy in Alaska revolves around the safe, reliable and efficient development of the significant undeveloped light oil, viscous and heavy oil, and natural gas resources within the existing North Slope fields.

2014 StatisticsEmployees

2,000 (80% Alaska residents)

Capital investment

$1.1 billion

Operating budget

$1.7 billion

Net production rate

~127,000 barrels of oil equivalent per day

Gross production rate for BP fields (owned & operated)

~418,000 barrels of oil equivalent per day

Taxes and royalties

$2.25 billion total payments to government

Community investment

$5+ million

Prudhoe Bay well site

2,000employees

32

BP in the community In addition to its oil and gas activities in Alaska, BP is heavily invested in communities across the state through donations to non-profit and education g roups , scho la rsh ip programs, and volunteer hours from its employees.

In 2014, BP Alaska donated over $5 million to hundreds of organizations throughout Alaska. Our employees support more than 800 community and education organizations and 230 youth teams. The company supported these efforts through matching grants and the BP Fabric of America program.

Fabric of America is an employee-directed giving program. In 2014, BP Alaska employees donated nearly $255,000 to 380 organizations across the state through the program; and in the past eight years donated more than $2 million to nearly 1,000 organizations.

President’s messageAlaska continues to be an important part of BP’s portfolio. This includes Prudhoe Bay and the Alaska LNG opportunity; along with our co-venturer opportunities with Hilcorp, Milne Point and Liberty; and non-operated positions in the Greater Kuparuk Area and Point Thomson. After nearly 38 years of production in Alaska, the North Slope still has large amounts of the discovered oil and gas remaining. BP focuses its strategy and investment in Alaska on ensuring safe and sustainable operations; on renewing its North Slope infrastructure; on reducing decline by continuing to invest in the known resources; and on commercializing Alaska natural gas.

As we move forward, we continue to focus on what we do best: giant fields and gas value chains. Along with our co-owners at Prudhoe Bay, we are moving forward with new activity. We seek to economically produce more oil even with the fall of oil prices. Reducing decline is the objective; this price environment helps us focus even more acutely on efficiency. The goal, of course, to get more oil down TAPS, which benefits everyone in Alaska.

The other great future opportunity for Alaska is gas. Together with the State of Alaska, ExxonMobil, ConocoPhillips, the Alaska Gasline Development Corporation, and TransCanada, we are moving forward on the single largest investment in Alaska’s history. With a price tag of between $45 billion and $65 billion, the project will create tens of thousands of jobs during construction, an estimated 1,000 jobs for ongoing operations, and generate billions of dollars in new revenue for Alaska. If progress continues, and all goes according to plan, we will see first gas production by 2025.

We are proud of our 2,000 employees in Alaska, 80 percent of which are Alaskans. We continue to reduce and stabilize cost, reduce production decline, improve safety and compliance, and deliver more reliable operations. Team Alaska is truly an incredible team.

This publication is designed to give you an update on our business in Alaska; delivering a sustainable oil and gas business, while investing in community organizations and education. I hope you find it interesting and useful as we work together to build a strong future for our state.

Sincerely,Janet Weiss, BP Alaska President

Janet Weiss

54

$5+community investment

million

A true gift to Anchorage and communities across Alaska, the BP Energy Center provides meeting space free of charge to more than 400 community and education groups every year. The center underscores BP’s commitment to making Alaska a great place to live, work and raise a family. The training, meeting, and conference facility has seen more than 150,000 visitors since opening in 2002.

Supporting Quality Education and an Alaska Workforce Training Alaskans and supporting a quality education system in the state remain key priorities for BP. Of our 2,000 employees in Alaska, roughly 80 percent are Alaskans and we encourage our contractors to hire and train Alaskans as well.

In order to grow an Alaska workforce, BP has invested millions of dollars toward quality education in the state; nearly $30 million over the last decade alone to the three major higher learning institutions including the University of Alaska (UA), Alaska Pacific University, and Ilisagvik College. BP, partnering with the UA, has been instrumental in creating industry-specific programs such as the Asset Integrity and Corrosion Lab, the Alaska Native Science and Engineering Program, and Process Technology Programs.

Together, we can create a unique learning environment and a brighter future for a more technically skilled workforce. Through the BP Teachers of Excellence program, BP has recognized more than 600 teachers throughout Alaska over the past 20 years. Each year, hundreds of teachers are nominated by students, parents, or colleagues and the winners receive a $500 grant along with another $500 for their school.

Additionally, since 1985, BP has awarded more than $3 million to nearly 800 graduating high school seniors from across Alaska as part of the Principals’ and Commissioner’s Scholarship program. BP also awards Process Technology scholarships to students selected for two-year process technology degree programs at the UA campuses on the Kenai Peninsula, in Anchorage, Fairbanks, and Barrow.

Barbara Veeck is the 2014 Kenai BP Teacher of the Year. Veeck is a special education resource teacher at West Homer Elementary School.

76

BP Energy Center

During normal business hours, the faci l i ty is available at no cost via a reservation system to its users. The Energy Center remains a symbol of BP’s ongoing commitment to community and is the centrepiece of BP’s annual multi-million dollar contribution to Alaska’s not-for-profits.

Pt. Thomson(ExxonMobil)

Badami(Miller)

Alaska LNGBP continues to work jointly with ExxonMobil, ConocoPhillips, TransCanada, the Alaska Gasline Development Corporation and the State of Alaska to advance the Alaska LNG project. A successful project would be the largest single investment in Alaska’s history and could provide significant economic benefits including state revenues, job opportunities, and access to Alaska-produced natural gas for homes and businesses.

The project concept includes a gas treatment plant located on the North Slope, an 800-mile, 42-inch pipeline with at least five off-take points for in-state gas delivery, and a liquefaction plant and terminal at the Nikiski area on the Kenai Peninsula. From there the liquefied natural gas would be loaded on specialized tankers for delivery to markets in Asia. Point Thomson:

Gas for Alaska’s FutureBP is 32 percent owner in Point Thomson, a gas and condensate field on Alaska’s North Slope operated by ExxonMobil. Located about 60 miles east of Prudhoe Bay along the shoreline of the Beaufort Sea, it is estimated to hold about 25 percent of known North Slope natural gas. The field is considered key to a successful Alaska LNG project.

The development of Point Thomson has progressed well with a multi-billion dollar investment to drill wells, and construct processing facilities, gravel pads, pipelines, and supporting infrastructure including an airstrip, base camp, and sea barge docks and piers. The project is designed to initially produce 10,000 barrels a day of condensate in the winter of 2015/2016. Condensate is a light oil that will be recovered by taking the high pressure gas that is produced and processing it through the planned initial production system facilities. The remaining lean gas will be re-injected back into the reservoir.

The long-range development plan for Point Thomson is to drill additional wells and construct additional pipelines and facilities to produce and market gas as part of an Alaska LNG project.

Illustration shows what the LNG plant at Nikiski would look like.

98

In April 2014, the Alaska State Legislature passed legislation which approved State of Alaska participation in the project as a 25 percent co-investor, and allowed payment of gas production tax in the form of gas volumes. Then in June of the same year the Alaska LNG co-venturers, including the State of Alaska, executed commercial agreements and launched the preliminary front end engineering and design (pre-FEED) phase of the project, which is expected to extend into 2016 with gross spend more than $500 million.

A decision point for progressing to the FEED phase of the project will be considered at the completion of the pre-FEED phase. First commercial gas is planned between 2023 and 2025.

A rig on the move at Point Thomson.Courtesy: ExxonMobil - photo by Buzz Rohlfing

TAPS FACTSTAPS average daily throughput (2014) 513,441 average bbls/day

TAPS total throughput (2014)187,406,088 bbl

TAPS cumulative throughput since startupmore than 17.1 billion bbl

Pipeline diameter - 48 inches

Construction cost - $8 billion in 1977

Trans Alaska Pipeline SystemThe 800-mile-long Trans Alaska Pipeline System (TAPS) is one of the largest pipeline systems in the world. It stretches from Alaska’s North Slope to Valdez, crossing three mountain ranges, 34 major rivers and streams, and nearly 500 smaller water crossings.

TAPS ownership:

Operator:

Alyeska Pipeline Service Company

Owners:

BP Pipelines (Alaska) Inc. 48.44%

ConocoPhillips Transportation Alaska, Inc. 29.20%

ExxonMobil Pipeline Company 20.99%

Unocal Pipeline Company 1.35%

www.alyeska-pipe.com

1110

Valdez Marine TerminalStorage capacity - 7.14 million barrels

Tankers loaded since startup - more than 21,400

Construction cost - $1.4 billion in 1977

Other pipelines In addition to TAPS, BP owns:

38% — Kuparuk Pipeline

50% — Milne Point Pipeline

32% — Point Thomson Export Pipeline

On board the tanker Alaskan Explorer in Port Valdez.

enviroEnvironment Knowledge of Arctic ecology advanced by the oil industry BP’s presence on the North Slope for nearly half a century has not only helped advance technology in oil and gas development and engineering, but also has vastly increased understanding of Arctic ecosystems—from weather and climate to the flora and fauna that inhabit this northern region—both on land and in the sea.

Before companies like BP began searching for oil on Alaska’s North Slope in the 1960s, most ecological studies in the far north were funded by government programs in the name of basic science. Little was known about what is sometimes called “applied ecology,” or the study of what happens to biological communities altered by human activities.

The discovery of the giant Prudhoe Bay oil field in 1968 and its subsequent development sparked interest in Arctic applied ecology. Scientists near and far wanted to know how development would impact the region’s plants and animals. At the same time, they wanted to know how those impacts could be managed. Although government programs have remained engaged in the Arctic, BP and other oil and gas producers have actively pursued applied ecological research on the North Slope.

BP has actively supported scientists working through university, agency, consulting and nonprofit organizations. Together, BP’s long-term studies, along with studies by others, provide an annual snapshot of ecosystem changes in the oilfields. Some of the changes, such as nest initiation dates of shorebirds and soil temperatures, show trends over time. Other changes reflect the ever-changing nature of nature, with wide ranges from one

year to the next driven by everything from weather, to interactions among species, to disease.

Each year, BP summarizes results from a number of long-term ecological studies in a report intended for a general audience. The report includes chapters on weather and climate,

plant communities, permafrost, tundra nesting birds, brant and snow geese, swans, ravens, fox dens, polar bears, coastal fish, underwater sounds, whale calls, seals, and wildlife events.

Alaska Clean Seas: A world leader in oil spill response

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Alaska Clean Seas (ACS), the North Slope-based oil spill response cooperative that serves BP Alaska and other North Slope oil producers, reached a milestone on December 25, 2014. On that day, the team reached two million hours without a Lost Time Accident.

ACS is recognized as a world leader in Arctic land and marine oil spill response. It maintains and operates nearly $100 million of oil spill response equipment - one of the largest collections of oil spill response equipment in the Pacific Northwest.

ACS has nearly 100 full-time employees and employs personnel from local villages and subcontractors to respond to seasonal workloads and responses. ACS is also responsible for training North Slope Spill Response Teams that are immediately available to support response activities. There are 170 fully-qualified and highly-trained personnel ready to assist on any given day and more than 550 personnel Slope-wide participating in the program.

Additionally, ACS is a recipient of numerous awards, including citations at the Governor’s Safety Conference on three separate occasions. In 2000, it received the prestigious William M. Benkert Marine Environmental Protection Award from the U.S. Coast Guard, which recognized ACS for outstanding achievement in all aspects of marine environmental protection

For more than 30 years, as a not-for-profit cooperative, ACS has provided world-class Arctic expertise with an exemplary commitment to safety and delivering unmatched support to the co-op members on Alaska’s North Slope.

NPRA

0 5 10

MILES

ANWR

Badami

Northstar

EiderEndicott

Meltwater

Liberty

Palm

Point McIntyreAlpine

Pt. ThomsonLisburne

West Sak

Niakuk

Schrader Bluff

Milne Point

Tabasco

Tarn

Orion

Borealis

Kuparuk

Aurora

Midnight SunPolaris

Prudhoe Bay

Prudhoe Bay Area Development Plan – A roadmap for the future

With the 2014 sale of its interests in four North Slope oil fields, BP Alaska’s operational focus for the foreseeable future will be on maximizing value through oil and gas recovery from Greater Prudhoe Bay.

In 2014, BP Alaska developed the Prudhoe Bay Area Development Plan (ADP) designed to maximize value-adding oil recovery over the near term while preparing the field for gas commercialization. The field has produced more than 12 billion barrels since startup in 1977, and remains among the largest oil fields ever discovered in North America.

The ADP is unique in that it has alignment among BP Alaska’s internal functions, Working Interest Owners (WIOs) and approval at the company’s highest level. BP is committed to the giant field and getting as much recovery as is economically feasible. At Prudhoe Bay, BP is drilling more complicated wells, performing more well work, and making significant progress on Alaska LNG.

The challenge for the entire industry is to respond to a low oil price environment in a way that improves efficiency and accelerates innovation, which leads to smart investments.BP’s goal is to minimize oil production decline. With an expanded drilling program focused on adding rigs and other activity, the pace of well activity in 2015 will increase over 2014 activity. Additionally, BP has increased rig and non-rig wellwork activity by nearly 35 percent since 2012.

Integrity programs will focus on fire and gas systems, safety systems, pipeline renewal and facility siting. As a number one priority, safety will be strengthened and ensured through increased contractor management/engagement, as well as a re-invigorated control of work program.

Enhanced oil recovery strategies

On the eastern side of Prudhoe Bay near Flow Station 2, BP is piloting changes to water/gas injection patterns that could unlock stranded pockets of oil that could contribute about 30 million barrels of recoverable oil.

Other measures to enhance oil recovery include supplying miscible gas to North Greater Prudhoe Bay fields as well as gas capacity renewal. This will improve existing compression and dehydration, leading to future gas sales.

Prudhoe Bay seismic

BP completed a major North Prudhoe Bay seismic survey in 2014/2015. The $78 million, 3D seismic survey covered 190 square miles and gathered geophysical data from both the onshore and offshore areas within Prudhoe Bay. The survey will support land-based oilfield development and drilling.

Prudhoe Bay satellites

Satellite fields are smaller accumulations of oil that can often be developed using existing infrastructure. The 2014 average daily production from Prudhoe Bay satellites is about 22,600 barrels of oil. BP’s net share of that production is about 5,200 barrels of oil.

There are five satellite fields currently producing and the liquids are processed through the field’s main facilities. Aurora, Borealis, and Midnight Sun satellite fields are produced from similar formations, at 6,500 to 8,000 feet below sea level. Orion and Polaris fields both produce the difficult viscous oil from the Schrader Bluff formation, at depths of 4,000 to 5,000 feet below sea level.

By using advanced drilling technologies we are growing this important resource. The Prudhoe Bay satellite fields have produced about 184 million barrels of oil. BP’s net cumulative production is approximately 42 million barrels of oil.

Greater Prudhoe Bay

1514

Field Data

Participating Field Area

Original Oil in PlaceOriginal Gas in Place

Cumulative Oil Production

Production (12/31/14)(barrels of oil)

Current Rates (12/31/14)

Oil (thousands barrels/day)

Gas (MMcf/day)

Water (thousands bbl/day)

Number of Wells

Oil ProducersGas InjectionWater InjectionWAG Injection*

217,827 acres(includes satellite fields)

24 billion bbls40 tcf

Gross Field

12.2 billion

Gross Field

2637,780951

6262915319

3,113 acres

60 million bbls

Gross Field

20 million

Gross Field

1715

2030

10,480 acres

230 million bbls

Gross Field

38 million

Gross Field

61717

160112

Oil Fields Prudhoe Bay Midnight Sun Aurora

Owners BP (Operator) ~26% BP (Operator) ~26% BP (Operator) ~26% ConocoPhillips ~36% ConocoPhillips ~36% ConocoPhillips ~36% ExxonMobil ~36% ExxonMobil ~36% ExxonMobil ~36% Chevron ~1% Chevron ~1% Chevron ~1%

Field Data

Participating Field AreaOriginal Oil in Place


Production (12/31/14)(millions of barrels of oil)


Oil (thousands barrels/day)

Gas (MMcf/day)


Number of Wells


11,684 acres

450 million bbls

Gross Field

18

Gross Field

546

80133

16,840 acres

350 million bbls

Gross Field

76

Gross Field

102922

270155

Oil Fields Orion Polaris Borealis


* Water Alternating Gas Injector

19,842 acres

3.2 billion bbls

Gross Field

31

Gross Field

644

80115

1716

NPRA

ANWR

Endicott

Badami

Northstar

Eider

Liberty

Midnight Sun

Tabasco

Palm

Alpine

Pt. Thomson

Aurora

West Sak

Milne Point

Schrader Bluff

Tarn

Kuparuk

Prudhoe Bay

0 5 10

MILES

Point McIntyre

Niakuk

Borealis

Polaris

Lisburne

Greater Point McIntyreThe Greater Point McIntyre Area encompasses the Point McIntyre field and the nearby satellite fields of West Beach, North Prudhoe Bay, and Niakuk. The Lisburne Production Center processes fluids from Point McIntyre area fields and the Lisburne field. Production from the Greater Point McIntyre area is 24,300 barrels of oil per day. BP’s net production is approximately 5,600 barrels of oil per day.

Point McIntyreLocated seven miles north of Prudhoe Bay, the Point McIntyre field was discovered in 1988 and production started in 1993. Point McIntyre contained an estimated 880 million barrels of oil in place. The field’s production peaked in 1997 at 163,000 barrels per day. In 2014, production averaged about 18,700 barrels of oil per day. BP produces the field from two gravel drill site pads. Production rates are maintained through drilling of new wells, enhanced oil recovery methods and facilities upgrade.

NiakukThe Niakuk field is located offshore, but produced through onshore facilities. The field contained about 400 million barrels of oil in place. Production in 2014 averaged about 1,200 barrels of oil per day from the lower Cretaceous Kuparuk River formation, a structurally and stratigraphically complex formation.

LisburneThe Lisburne field is a complex, fractured carbonate reservoir that lies underneath and adjacent to the main Ivishak reservoir at Prudhoe Bay. The field was discovered in 1968 along with the Prudhoe Bay field and came on-stream in late 1986. The field contained an estimated 2.4 billion barrels of oil in place. Production averaged about 4,300 barrels of oil per day in 2014. Cumulative production from the Lisburne field is more than 182 million barrels of oil. BP’s cumulative net production from the field is approximately 34 million barrels of oil. Horizontal drilling technology using coiled drilling techniques, along with geoscience techniques to identify fracture and fault locations, have increased production rates in recent years.

1918

Lisburne field

182Lisburnecumulative production

million bbl

Field Data

Participating Field AreaOriginal Oil in PlaceOriginal Gas in Place




Oil (thousands bbl/day)

Gas (MMcf/day)


Number of Wells


10,828 acres

880 million bbls

832 bcf

Gross Field

467

Gross Field

1924493

32012 3

7,284 acres

400 million bbls

349 bcf

Gross Field

96

Gross Field

1326

9050

79,999 acres

2.5 billion bbls

2,300 bcf

Gross Field

182

Gross Field

4806

16370

Oil Fields Point McIntyre Niakuk Lisburne



2120

Flow Station 1

NPRA

0 5 10

MILES

ANWR

Endicott

Sag Delta North

Badami

Eider

Meltwater

Liberty

MidnightSun

PalmAlpine

Pt. Thomson

Aurora

Lisburne

Niakuk

Borealis

Polaris

Tabasco

TarnPrudhoe Bay

Kuparuk

West Sak

Milne PointSchrader Bluff

Field Data

Participating Field AreaOriginal Oil in Place (gross)

Original Gas in Place





Gas (MMcf/day)


Number of Wells


66,651 acres

8.9 billion bbls

613 bcf

Gross Field

322

Gross Field

1911118

1141810

Oil Fields Milne Point - Kuparuk Schrader Bluff

Owners Hilcorp (Operator) 50% BP 50%


Milne Point UnitLocated about 25 miles west of Prudhoe Bay, Milne Point has become an innovator in the application of new reservoir technology to enhance oil recovery. Today the Milne Point Unit produces about 19,000 barrels of oil per day. Cumulative oil production from Milne Point is 322 million barrels of oil. BP’s cumulative net production is about 239 million barrels of oil.

Milne Point was discovered in 1969 by Conoco and began production in 1985. Today, the field is operated by Hilcorp and jointly owned by Hilcorp and BP. Milne produces oil from three main reservoirs. The Kuparuk and the Sag River reservoirs are lighter oil horizons and the Schrader Bluff produces viscous oil, with the consistency of maple syrup. The viscous oil is colder and thicker than other North Slope oil. All production fluids are processed through the Milne Point Unit production facilities.

2322

NPRA

0 5 10

MILES

ANWR

Endicott

Sag Delta North

Badami

Northstar

Eider

Liberty

MidnightSun

Alpine

Pt. Thomson

Aurora

Lisburne

TarnMeltwater

Niakuk

Borealis

Polaris

Schrader Blu�

Palm

Milne Point

Prudhoe Bay

Kuparuk

Tabasco

West Sak

Greater Kuparuk AreaDiscovered in 1969, Kuparuk began production in December 1981 and achieved a peak rate of 324,000 bar-rels per day in 1992. The producing reservoir is composedof Cretaceous-age Kuparuk sands at depths of 5,500 to 6,500 feet. The Greater Kuparuk Area produced about 110,000 barrels of oil per day in 2014. BP’s net production is 43,000 barrels of oil per day. Cumulative production from the Greater Kuparuk Area is 2.3 billion barrels of oil. BP’s cumulative net production is approximately 800 million barrels of oil.

BP holds approximately 39 percent ownership in the Greater Kuparuk Area, which includes the satellite fields of Tarn, Tabasco, Meltwater and West Sak. ConocoPhillips is the field operator. The production from these fields is processed through the Kuparuk production facilities. Processed oil from Kuparuk is piped 28 miles to Pump Station 1, the beginning of the Trans Alaska Pipeline System.

Kuparuk satellite fieldsThe Kuparuk satellites include the fields of Tarn, Tabasco, Meltwater, and the viscous oil West Sak field. In 2014, the combined average daily production from the Kuparuk satellite fields averaged 28,000 barrels of oil per day.

The Tarn satellite field located south of the Kuparuk field produced about 7,000 barrels of oil per day in 2014. Like the Tarn field, Tabasco began production in 1998. The Tabasco field is a small development that produces relatively viscous oil, and is situated to the west of the Kuparuk field. Located 10 miles south of Tarn, Meltwater was discovered in 2000 and produces from a single drill site.

West SakDiscovered in 1971, West Sak is a shallow, viscous oil reserve situated above the Kuparuk reservoir. West Sak’s core area contains 1.5 billion barrels of oil but the oil is cold, thick and difficult to produce. Long-term production from West Sak began in 2004. In 2014, West Sak oil production averaged 16,000 barrels of oil per day. The cumulative production from West Sak is about 75 million barrels of oil.

2524

Field Data

Participating Field AreaOriginal Oil in PlaceOriginal Gas in Place


Production (12/31/14)(barrels of oil)



Gas (MMcf/day)


Number of Wells


182,000 acres

5.9 billion bbls

2.8 tcf

Gross Field

2.1 billion

Gross Field

83191522

4178

25825

17,955 acres

7.7 billion bbls

Gross Field

75 million

Gross Field

16118

483

410

Oil Fields Kuparuk West Sak Tabasco

Owners ConocoPhillips (OP) 55.2% ConocoPhillips (OP) 52.2% ConocoPhillips (OP) 55.4% BP 39.2% BP 37% BP 39.3% Chevron 5% Chevron 5% Chevron 5% ExxonMobil 0.6% ExxonMobil 5.8% ExxonMobil 0.4%

Field Data

Participating Field AreaOriginal Oil in Place





Gas (MMcf/day)


Number of Wells


10,350 acres

230 million bbls

Gross Field

107

Gross Field

71016

306100

6,263 acres

100 million bbls

Gross Field

17

Gross Field

3100

9600

Oil Fields Tarn Meltwater

Owners ConocoPhillips (OP) 55.4% ConocoPhillips (OP) 55.4% BP 39.3% BP 39.3% Chevron 5% Chevron 5% ExxonMobil 0.4% ExxonMobil 0.2%

3,000 acres

160 million bbls

Gross Field

18 million

Gross Field

20

18

5020

* Water Alternating Gas Injector2726

Drones help monitor Prudhoe Bay operations

In 2014, BP received the first United States commercial authorization from the Federal Aviation Administration to fly an unmanned aerial vehicle (UAV) over land at its Prudhoe Bay operations. Today, the Unmanned

Aerial Systems (UAS) are carrying out safety surveys of Prudhoe Bay operations and providing significant data. The UAS have the capacity to monitor oil and gas pipelines, infrastructure, and create 3D mapping of the drilling pads and roads. Testing is also underway to apply the technology in spill response and environmental monitoring.

The UAS technology has the potential to improve the safety, efficiency and reliability of BP’s Alaska North Slope infrastructure and maintenance programs. The technology has provided a new and efficient way of inspecting infrastructure such as flare stacks, tanks, bridges and power lines. The UAV is fitted with high-resolution still and video cameras, as well as light detection and ranging (LIDAR) equipment that can collect 3D images for trained technicians, who carry out careful and detailed analysis of the data.

Th i s techno logy allows BP to optimize

the p lanning and implementat ion of

maintenance programs for the North Slope

infrastructure. With more than 200 miles of gravel roads used to transport oilfield equipment and rigs to location, crews maintain a 24/7 vigilance. Targeting maintenance activities on specific road areas will save time and address safety and reliability.

3Dimaging

LibertyPlans to develop the Liberty prospect continue to advance. Hilcorp was brought in as operator as part of BP’s sale of four northern assets in 2014, and a key milestone was passed as they submitted a plan of development to the Bureau of Ocean Energy Management. BP retains 50 percent equity in the project. The Liberty leases are located in federal waters about six miles offshore, east of the Prudhoe Bay oilfield.

In addition to 50 percent equity of Liberty, BP sold 50 percent of Milne Point and 100 percent of both Northstar and Endicott to Hilcorp in 2014.

2928

Fairbanks

Trans AlaskaPipeline

Anchorage

Valdez

Juneau

Prudhoe Bay

ANWR

NPRA

Oooguruk(Caelus)

Nikaitchuq(ENI)

Fiord(ConocoPhillips)

Alpine(ConocoPhillips)

Nanuq(ConocoPhillips)

Tarn(ConocoPhillips)

Meltwater(ConocoPhillips)

Kuparuk(ConocoPhillips)

Milne Point(Hilcorp)

Northstar(Hilcorp)

Point McIntyre(BP)

Niakuk(BP)

Endicott(Hilcorp) Liberty Prospect

(Hilcorp)

Badami(Miller)

Badami Pipeline

Alpine Pipeline

Pt. ThomsonProspect(ExxonMobil)

MILES

1050

Lisburne(BP)

West Beach(BP)

GreaterPrudhoe Bay

(BP) DeadhorseTrans Alaska

Pipeline System(TAPS)

Nuiqsut

Original Oil in Place ~ 65 billion bblsOriginal Gas in Place 62 tcf

Cumulative Production BP Net Gross Field

Oil (12/31/14)(billions of barrels of oil) 6.4 17.0*

Current Rates (12/31/14) BP Net Gross Field

Oil (thousands bbl/day) 127 418

*TAPS Throughput since 1977

BP North Slope Oil Fields

North Slope factsThe North Slope is a flat, treeless wetland, which extends 88,000 square miles, from the foothills of the Brooks Mountain Range to the Arctic Ocean and west from the Canadian border to the Chukchi Sea. BP’s footprint on the North Slope encompasses about 312 square miles.

Location Prudhoe Bay is located about 600 air miles north of Anchorage and about 1,200 miles south of the North Pole. It is about 250 miles north of the Arctic Circle. This region includes the Arctic National Wildlife Refuge (ANWR), the Central Arctic (area between the Colville and Canning Rivers), the National Petroleum Reserve Alaska (NPRA), the Beaufort Sea Outer Continental Shelf (OCS), and the Chukchi Sea OCS areas.

Weather Winter temperatures across the North Slope frequently dip to minus 30 degrees Fahrenheit with extreme winds, resulting in severe chill factors. The lowest recorded temperature was minus 62 degrees Fahrenheit. The highest recorded temperature was 83 degrees Fahrenheit. Even in the warmest month, July, the average daily temperature is only 45 degrees Fahrenheit.

Producing fieldsTo date, oil production has been from fields located in the Central Arctic, an area spanning 122 miles from the Colville to Canning Rivers. These fields are primarily on state lands and adjacent waters of the Beaufort Sea. Northstar produces from both state and federal waters in the Beaufort Sea.

Roads and causeways BP maintains more than 300 miles of roads and causeways in the fields it operates. There are also several roadless areas between facilities, and the open ocean around Northstar, owned by Hilcorp. To move materials and supplies, temporary ice roads may be constructed during the winter.

Summary

3130

BP Exploration (Alaska) Inc.900 E. Benson Blvd.P.O. Box 196612Anchorage, AK. 99519-6612

Main switchboard907-561-5111

Alaska Press Office907-564-5143

alaska.bp.com

Documents

Alaska - BP · ConocoPhillips, TransCanada, the Alaska Gasline Development Corporation and the State of Alaska to advance the Alaska LNG project. A successful project