ExxonMobil said Friday that it has started production at its Point Thomson project in Alaska’s North Slope.
The project is Exxon’s first operated project on Alaska’s North Slope.
Point Thomson is located on state acreage along the Beaufort Sea, 60 miles east of Prudhoe Bay and 60 miles west of the village of Kaktovik.
Central pad facilities are designed to initially produce about 5,000 barrels per day of condensate and 100 million standard cubic feet per day of recycled gas.
Exxon said that the recycled gas is re-injected for future recovery.
At full rate production, the facility is designed to produce up to 10,000 barrels per day of natural gas condensate and 200 million cubic feet of recycled gas.
The project is expected to achieve full rate production when the west pad well is online in a few months, Exxon said.
The Point Thomson reservoir holds an estimated 8 trillion cubic feet of natural gas and associated condensate, about a quarter of the known gas on the North Slope.
Exxon said potential future development will depend on a range of factors such as business considerations, investment climate and the fiscal and regulatory environment.
“The successful startup of Point Thomson demonstrates ExxonMobil’s project management expertise and highlights its ability to execute complex projects safely and responsibly in challenging, remote environments such as the North Slope in Alaska,” president of ExxonMobil Development Company Neil W. Duffin said.
ExxonMobil and the working-interest owners have invested about $4 billion in the development of Point Thomson production facilities through 2015.