{"id":33046,"date":"2015-11-30T22:16:45","date_gmt":"2015-12-01T06:16:45","guid":{"rendered":"http:\/\/spijue.wpengine.com\/news\/company-eyeing-new-cook-inlet-oil-defends-tax-credit\/"},"modified":"2015-11-30T22:16:45","modified_gmt":"2015-12-01T06:16:45","slug":"company-eyeing-new-cook-inlet-oil-defends-tax-credit","status":"publish","type":"post","link":"https:\/\/www.juneauempire.com\/news\/company-eyeing-new-cook-inlet-oil-defends-tax-credit\/","title":{"rendered":"Company eyeing new Cook Inlet oil defends tax credit"},"content":{"rendered":"<p><strong>ANCHORAGE \u2014<\/strong> A small company working to develop Cook Inlet\u2019s first new oil pool in years is urging policymakers to use restraint when considering changes to the state\u2019s controversial oil-tax credit program.<\/p>\n<p>BlueCrest Energy, a Texas company founded by a former Alaskan, may not be able to develop a gas field west of Anchor Point without the credits, The Alaska Dispatch News reported. Founder Benjamin Johnson said if the state pulls support, they will not be able to continue drilling.<\/p>\n<p>The plea comes as a state Senate working group has been scrutinizing the program, which paid $628 million last year to companies on the North Slope, in Cook Inlet and other areas.<\/p>\n<p>With Alaska facing its second consecutive $3 billion budget deficit, Gov. Bill Walker\u2019s administration says the program should be scaled back.<\/p>\n<p>Johnson said he understand that the tax-credit system needs to be changed, but he argues the state should do so carefully so that companies poised for success can meet preexisting commitments.<\/p>\n<p>\u201cThe tax credits don\u2019t have to be exactly the same, but if they work and are favorable, then we\u2019ll start drilling next year,\u201d he said.<\/p>\n<p>Lawmakers are looking at ways to both cut down on the state\u2019s fiscal shortfall and continue to encourage development.<\/p>\n<p>Sen. Bill Wielechowski, D-Anchorage, said the tax credits have worked to bring new investment but that changes to the rates have brought few dollars back to the state.<\/p>\n<p>\u201cWe need to find a balance,\u201d he said, which could include a larger royalty stake in exchange for credits.<\/p>\n<p>Sen. Cathy Giessel, R-Anchorage, said the program has brought jobs, investments and independents to the state. Giessel convened the working group on the tax credits and said she understands oil companies plan their budgets a year in advance. She said any changes would be gradual.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>ANCHORAGE \u2014 A small company working to develop Cook Inlet\u2019s first new oil pool in years is urging policymakers to use restraint when considering changes to the state\u2019s controversial oil-tax credit program. BlueCrest Energy, a Texas company founded by a former Alaskan, may not be able to develop a gas field west of Anchor Point [&hellip;]<\/p>\n","protected":false},"author":107,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_stopmodifiedupdate":false,"_modified_date":"","wds_primary_category":4,"footnotes":""},"categories":[4],"tags":[230],"yst_prominent_words":[],"class_list":["post-33046","post","type-post","status-publish","format-standard","hentry","category-news","tag-state-news"],"_links":{"self":[{"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/posts\/33046","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/users\/107"}],"replies":[{"embeddable":true,"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/comments?post=33046"}],"version-history":[{"count":0,"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/posts\/33046\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/media?parent=33046"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/categories?post=33046"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/tags?post=33046"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/www.juneauempire.com\/wp-json\/wp\/v2\/yst_prominent_words?post=33046"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}