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Prospector Resurfaces With Plans to Drill for Coalbed Methane Gas in Susitna Valley, Alaska

Published: March 9, 2022 |

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Robert Fowler made a push to drill for coalbed methane on a farm in Palmer a little over a decade ago, but no drill bit ever broke the ground.

The unsuccessful effort seemed to mark the end of several years of high-profile attempts by Fowler and other prospectors before him hoping to produce methane, the primary component of natural gas, from underground coal seams in the Matanuska-Susitna region.

Methane drilling in Mat-Su got a black eye in 2003 when Colorado’s Evergreen Resources scooped up a swath of underground state leases, some beneath homes, which triggered fears of industrialized backyards and water pollution. Fowler came later, promising more environmentally friendly tactics.

Now, Fowler is attempting to explore for methane again, this time in the Susitna Valley, in a vast back country area largely west and northwest of Willow.

Though it’s still early in the process and details are limited, Fowler has proposed an effort that appears to take into account some environmental concerns. Current plans include no surface release of water and no fracking, according to an email from Fowler.

But a Willow community group and others in the area say they’re still concerned about risks to drinking water, property rights and wildlife.

“We are known for the recreation we provide to all of Southcentral Alaska. We worked hard for that and we don’t want it harmed, and we don’t want our habitat harmed,” said Linda Oxley, president of the Willow Area Community Organization.

They also worry about whether Fowler has the financial ability to pull off what will be a costly project. His past business efforts were marred with public disputes involving business partners and, in one case, the city of San Francisco.

The plans come as the state renews efforts for a different large project in the region, the 100-mile West Susitna Access road, a proposal drawing similar concerns about potential impacts.

STATE’S INITIAL REPORT FAVORS EXPLORATION

In 2007, Fowler owned a Palmer-based company with plans that were hailed as a relatively environmentally safe approach for getting affordable gas to homes and businesses.

But the project ended when a source of funding dried up during the Great Recession, Fowler said in an email last week. (Fowler answered some questions by email, but declined to be interviewed for this story.)

In 2017, a new company founded by Fowler, Alaska Natural Gas Corp., applied with the state for gas exploration licenses in the Susitna Valley.

In December, the state issued a 312-page preliminary decision in Fowler’s favor.

Tom Stokes, the now-retired director of the Alaska Division of Oil and Gas, determined that issuing the 10-year licenses would be in Alaska’s best interest.

Stokes’ decision says the risks of the proposed gas exploration can be reduced with protective measures, and those risks are outweighed by potential opportunities such as new jobs and more revenue to communities.

“Economically producible coalbed methane is an attractive alternative to diesel fuel, which is the main energy source for home heating and electrical power generation throughout much of rural Alaska,” the decision says.

If the state gives final approval, Fowler would have exclusive rights to explore in two areas encompassing about 915,000 acres. He would have to commit to doing $6.3 million in work, roughly split between the two areas. He would have to provide bonding to help protect the state, and pay more than $900,000 as a licensing fee, according to the decision.

Source: Anchorage Daily News


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