Alaska regulators give conditional OK to key part of BP asset transfer

JUNEAU - Alaska regulators conditionally approved the transfer of BP’s interest in the trans-Alaska pipeline system to an affiliate of Hilcorp as part of a proposed $5.6 billion sale that also includes other BP interests and assets in the state.

In an order dated Monday, the Regulatory Commission of Alaska also conditionally signed off on the transfer of interests in Point Thomson and Milne Point pipelines. The order requires updated filings by Harvest Alaska LLC, to reflect it is now considered a Hilcorp affiliate.

It also requires a filing stating BP Pipelines accepts initial responsibility to be charged for any dismantlement, removal and restoration costs for what has been its share of the trans-Alaska pipeline.

The commission’s decision, which also lists ongoing reporting requirements, can be appealed.

Messages seeking comment were left for spokespeople for Hilcorp and BP on Tuesday.

BP earlier this year announced it had closed part of its planned sale of assets and operations in Alaska to Hilcorp, including the transfer of leases in the Prudhoe Bay oil field and Point Thomson gas field.