Marathon hits Alaskan gas

World Oil, March, 2002 by Perry A. Fischer

Marathon hits Alaskan gas. A significant natural gas discovery was made on the company's Ninilchik Prospect on Kenai Peninsula, about 35 mi south of Kenai, Alaska. The discovery well, Grassim Oskolkoff 1, was drilled to 11,600-ft TD and encountered several gas-bearing sands. One sand-a 39-ft interval at 9,822 ft-tested 11.2 MMcfd. with an FTP of 1,565 psia.

Marathon estimates 90 Bcfg of gross proven recoverable reserves on the structure. Three additional wells completed on the structure await testing, and additional drilling is planned to delineate the structure. Marathon is operator with a 60% working interest, while Unocal holds 40%.

In the last five years, Marathon has drilled six successful gas-exploration wells in Cook Inlet. Marathon expects further field development in anticipation of first gas sales in late 2003. A new gas transmission line, the Kenai Kachemak Pipeline (KKPL), plans to deliver gas to existing Cook Inlet infrastructure for local market consumption. Design and permitting for KKPL, a venture between Marathon and Unocal Alaska, is currently in progress.