Abstract:
This Master's of Natural Resource Management and Geography project assesses the potential liability the State of Alaska faces with the non-bonded coverage of Dismantle, Removal, and Restoration obligations associated with hydrocarbon leases on state managed lands in Cook Inlet. There are four components to this assessment. First, a Chain-of-Title spreadsheet documents the percentage of Working Interest Ownership held by all companies in study leases from the time of first production through February 2015. Second, a Degrees-of-Separation spreadsheet measures the layers of corporate separation from previous lessees to entities in existence today that could perform obligations. Third, a Special Purpose Entity spreadsheet indicates lease percentages held by companies with corporate histories of less than three years prior to assumption of a Cook Inlet lease. And four, a written opus that describes the relationships between these spreadsheets and how they demonstrate that under current mechanisms of non-bonded coverage the State of Alaska's exposure to Dismantle, Removal, and Restoration liability increases through time as the hydrocarbon reserves in the ground reach the end of productive life.
