Ahtna says that uncertainty over the status of state oil and gas tax credits has proved challenging for the project. The extension of the credits for Alaska’s “Middle Earth” region, including the Copper River basin, has made the drilling possible, the corporation says, presumably referencing tax legislation passed in the summer. The primary objective of the project is to find a source of gas for heating and power generation in a region where energy costs have become very high.
Ahtna Inc. is preparing for the start of drilling of its Tolsona No. 1 natural gas exploration well about 11.5 miles west of the town of Glennallen, the Native regional corporation for the Copper River region announced Aug. 10. Construction of a new 4-acre gravel drilling pad is complete, with the drilling rig scheduled to arrive on site by Sept. 1. Drilling is expected to start in mid-September and should be completed by late October.The Native corporation had originally anticipated doing the drilling in the spring. Ahtna says that construction of the drilling pad and the access road to the nearby Glenn Highway involved the placement of more than 100,000 yards of gravel and more than 7,000 truck trips from a gravel pit over a 35-day period. The drilling rig is being mobilized for arrival at the pad in about 40 truckloads by Sept. 1.