North Slope Oil Producers Appeal to Legislative Committee to Pass Governor's Tax Cut Bill
Companies promised a robust program if the legislature approved the bill
ALASKA - Executives of the North Slope oil producers appealed to a legislative committee to pass Governor Parnell’s tax cut bill Wednesday.
They said their investment behavior won't change without it.
“That next dollar, at $110 a barrel, the state and federal governments can take about 86 cents,"
Jepsen was quick to respond. “Representative Gardner, through the chair, if things stay the same you should expect to see the same focus that we see right now. We are still drilling, we still are shooting seismic, we are still looking at additional opportunities out there. But the real difference is, how fast are we going to do those? What time frame do they come on-stream?”
And as long as returns on investment look better elsewhere, Bilbao said, "Then the investment will not come to Alaska at the same velocity that it will to other regions and you will not see growth as a result."
The message seems to be: Don't say we didn't warn you.