As Southcentral Alaskans face a possible natural gas shortage as soon as 2027, there may be a relief valve.
Furie Operating Alaska announced Monday it has renewed its lease agreement with Hilcorp Jack-Up Rig Company, LLC, a subsidiary of Hilcorp Alaska, to use the Spartan-151 jack-up rig for the 2025 drilling season.
The agreement signals an expansion of natural gas production in Cook Inlet, with a $40 million drilling program from Furie in 2025.
Furie plans to begin drilling up to two new natural gas wells as early as mid-April, and will use the only jack-up rig in Alaska.
“Furie recently increased the number of wells that can be drilled from our platform, and now, with the help of Hilcorp’s jack-up rig, we will drill this spring,” said John Hendrix, president and CEO of Furie. “We committed last year that if we received royalty relief, we would drill, and we drilled in 2024. The Department of Natural Resources approved our royalty relief application on Feb. 3, 2025, and we have committed to a $40 million drilling program for this year alone.”
The drilling program could bring additional natural gas online for the Railbelt Alaskans before winter sets in this year. Hendrix emphasized Furie’s commitment is to get the natural gas available for local use.
In support of the summer drilling campaign, Furie is collaborating with several Alaskan companies, including Fairweather LLC, Cook Inlet Tug & Barge, Maritime Helicopters, CISPRI, Pollard Wireline Services, Petrotechnical Resources of Alaska, and Weaver Brothers Inc.
Furie, the second-largest operator in Cook Inlet and the only 100% Alaska-owned oil and gas company in the state, produces about 7% of the region’s total natural gas supply. The company and its parent company HEX Cook Inlet, LLC are headquartered in Anchorage.
Hilcorp purchased the Spartan-151 rig in May 2024 to ensure it remained in Alaska amid a critical period for of shortages.
The Spartan-151 can drill to depths of 25,000 feet and operate in water depths of up to 151 feet. During the 2024 drilling season, Hilcorp made the rig available to Furie to successfully drill a new gas well in the Kitchen Lights unit.
“The drilling program could bring additional natural gas online for the Railbelt Alaskans before winter sets in this year. Hendrix emphasized Furie’s commitment is to get the natural gas available for local use.”
I really like this Hendrix guy!
If you meet him you will find that he really is a likeable guy.