Chevron Wins Deepwater Beaufort Sea Stake

Chevron subsidiary Chevron Canada Ltd. has won a bid for an exploration license from Indian and Northern Affairs Canada for a 205,946-hectare (508,903-acre) deepwater lease in the Beaufort Sea.

Chevron will spend C$103 million (US $100.5 million) on exploration efforts on the BSMD-5 lease. The company won the bid despite protests from local Inuit leaders for a moratorium on sales under the cause of the BP oil spill in the Gulf of Mexico is completed, The Globe and Mail reported. The lease is about 100 kilometers (62 miles) offshore.

At present, Chevron has a Beaufort Sea offshore exploration license that covers approximately 267,000 acres (1,081 sq km). Chevron has a 34 percent nonoperated working interest in the Amauligak discovery and is assessing development alternatives there.

The company also holds a 13 percent nonoperated working interest in the Issungnak discovery and additional minor working interests in other offshore licenses in the Beaufort Sea.