# One Rock, Two Readings of the Kenai Loop Gas Storage Lease > Under Kenai's airport, ownership changes once, then splits. Published 2026-10-19 by Alaska AI. 9 slides. Canonical: https://alaskaaihq.com/archive/2026-10-19/ ## The story One rock. Two readings. The state backed the one with the data. Same reservoir. Two estimates of the gas left. ENSTAR put the gas left at 3.9 Bcf. Hilcorp said 6.4. The state found ENSTAR's figure more reliable and favors ENSTAR's storage lease. Two sands, sealed in coal. The gas sits in the pores of these sands. The state and the City of Kenai each claim that pore space. The state judged what each company showed it. ENSTAR gave DNR a dynamic reservoir model. DNR says Hilcorp provided about one quarter of the requested data and no model. Hilcorp couldn't comment before Alaska Public Media's story. Two plans for one field. ENSTAR says it could fall 18 days short of gas this winter, depending on temperatures. Cook Inlet peaked at 196 Bcf in 2006. In-state demand is about 70 now. DNR projects production below demand in the early 2030s. Hilcorp told legislators nearly all of the roughly 30 Bcf it holds in Pool 6 is committed to ENSTAR. The model reads the rock. It can't read the deed. DNR asserts the state has clear authority over the pore space. Kenai's city manager wrote that the city owns it, citing Pioneer Law, and warned of "conflicting leases." Comment to DNR by 5 p.m. November 13th. The finding is preliminary. The Director decides after reading the comments. ## What we verified - The Alaska DNR Division of Oil and Gas preliminarily found that leasing the Kenai Loop gas storage formation to ENSTAR would best serve the state's interest. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The preliminary written finding is dated October 13th. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR filed its Kenai Loop gas storage lease application on May 7th. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp filed its competing application for the same storage lease on May 11th. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Both applications sought to use the same reservoir for natural gas storage. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR said only one operator can feasibly develop and manage storage in a single subsurface reservoir. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The storage formation lies in the Upper Tyonek Formation between 8,600 and 10,500 feet true vertical depth subsea. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The shallower 9,700-foot sand averages 44 feet of net reservoir thickness. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The deeper 10,000-foot sand averages 65 feet of net reservoir thickness. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Coal layers averaging 20 to 30 feet thick provide the seals that contain gas in the formation. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR's proposed project area contains about 500 acres of state-owned mineral estate. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp's larger proposed project area contains about 1,330 acres of state-owned mineral estate. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR estimated about 3.9 billion cubic feet of native gas remains in the Kenai Loop reservoir. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp estimated about 6.4 billion cubic feet of native gas remains in the reservoir. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR said Hilcorp's higher estimate relied on fewer pressure data points. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The Director concluded ENSTAR's remaining gas estimate is the more reliable one. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR said Hilcorp provided about one quarter of the requested data and information. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - At a September 3rd technical meeting, Hilcorp told DNR it did not have a solid understanding of the reservoir geometry. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR provided results of a dynamic reservoir model showing injection and production rates. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR said Hilcorp did not present a dynamic model. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Fully built out with nine wells, ENSTAR plans peak withdrawal and injection capacity of 150 million standard cubic feet per day. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - In the initial three-well phase, ENSTAR's rates would be roughly 30 percent of full capacity. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR's total working gas volume would be about 20.5 billion cubic feet. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR's plan would keep about 8 billion cubic feet of cushion gas in the reservoir. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR proposes operating the field up to its discovery pressure of 5,395 pounds per square inch. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR's initial plan reuses three existing wells, with up to six more possible in a later phase. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp proposed drilling four new wells for its storage facility. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp's initial application put its working gas volume at about 28 to 33 billion cubic feet. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp's application listed a maximum withdrawal rate of 20 to 30 million standard cubic feet per day. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp's application listed a maximum operating pressure of 3,000 psi. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp proposed having its facility ready for commercial operation by late 2028. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - At the September 3rd meeting Hilcorp presented significantly reduced working volumes but never amended its application. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Cook Inlet's two existing regulated gas storage facilities are permitted for about 38 and 13 billion cubic feet. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The two existing facilities have a combined delivery rate of about 345 million cubic feet per day. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Annual gas production in the Cook Inlet basin peaked at 196 billion cubic feet in 2006. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - In-state demand for Cook Inlet gas is roughly 70 billion cubic feet a year. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - A DNR forecast projects Cook Inlet production falling below regional demand beginning in the early 2030s. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp testified on September 10th that it had about 30 billion cubic feet of gas stored in Kenai Pool 6. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp said nearly all of that stored gas was committed to ENSTAR for later delivery. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR told legislators the CINGSA storage facility had a significant well sanding incident on January 14th, 2024. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The federal government conveyed the oil and gas estate beneath the Kenai Airport to the state by Patent No. 50-86-0386 on August 25th, 1986. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR issued oil and gas lease ADL 391094 covering the Kenai Loop field effective October 1st, 2007. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Lease ADL 391094 comprises 1,048.640 acres. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The proposed gas storage lease is numbered ADL 394695. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - ENSTAR's application presented an agreement with AIX, the current lessee, to acquire its interest for gas storage. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Hilcorp's application included no agreement with AIX, the existing lessee. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The Director found the state has clear authority over the pore space tied to its oil and gas estate and may authorize gas storage there. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR directed ENSTAR to negotiate a comprehensive surface use agreement with the City of Kenai. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR set the original gas in place in the storage formation at 32.5 billion cubic feet. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Under the proposed terms the lessee would pay a minimum annual fee of $10,000 plus $5,000 for each additional well drilled. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The lessee would also pay an annual volume fee of $0.012 per thousand standard cubic feet of non-native gas produced. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - The preliminary finding is signed by Haley Paine, Director of the Division of Oil and Gas. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Public comments on the preliminary finding are due by 5 p.m. on November 13th. [Alaska Online Public Notices (DNR Division of Oil and Gas)](https://aws.state.ak.us/OnlinePublicNotices/Notices/View.aspx?id=225521), primary document, 2026-10-13. - The notice describes about 500 acres of state-owned subsurface storage reservoir in sections 32, 33 and 34 of Township 6 North, Range 11 West. [Alaska Online Public Notices (DNR Division of Oil and Gas)](https://aws.state.ak.us/OnlinePublicNotices/Notices/View.aspx?id=225521), primary document, 2026-10-13. - After reviewing comments the Director will make a final determination on the lease to ENSTAR. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - DNR's finding says portions of the Kenai Loop oil and gas lease lie beneath the surface of the Kenai Airport, which the City of Kenai owns. [Alaska DNR Division of Oil and Gas](https://dog.dnr.alaska.gov/Document/Download/034A91BF914342ABB642C3F5B12DBC70/Kenai%20Loop%20Gas%20Storage%20Lease%20Preliminary%20Decision.pdf), primary document, 2026-10-13. - Kenai City Manager Terry Eubank wrote to DNR Commissioner John Crowther on October 7th about the ownership dispute. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - The City of Kenai says it owns the reservoir pore space, citing an opinion from Pioneer Law LLC. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - Eubank wrote there is a very real possibility of conflicting leases that could lead to lengthy and expensive litigation. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - Eubank called the omission of disputed ownership from the preliminary recommendation misleading and detrimental. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - The Kenai Loop gas field sits partially under the Kenai airport. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - Cook Inlet's two other storage facilities, both in Kenai, have a combined capacity of around 52 billion cubic feet. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - Two of CINGSA's wells failed in 2024, straining the rest of the facility. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - Southcentral utilities expect natural gas demand to outpace supply. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - ENSTAR has said it could fall 18 days short of supply this winter depending on temperatures. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - Division of Oil and Gas director Haley Paine said ENSTAR presented the proposal DNR found to be in the state's best interest. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - ENSTAR spokesperson Harley Hedlund said ENSTAR will continue working with DNR as it considers public comments. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - Hilcorp was unable to comment before Alaska Public Media's October 16th story was published. [Alaska Public Media / KDLL](https://alaskapublic.org/news/economy/energy/2026-10-16/state-favors-enstar-in-dueling-kenai-gas-storage-project-proposals), report, 2026-10-16. - In July the Regulatory Commission of Alaska said in a 17-page order that ENSTAR had not provided enough information about its Kenai Loop storage project. [Anchorage Daily News](https://www.adn.com/business-economy/energy/2026/07/10/state-regulators-reject-enstar-gas-storage-plan-raising-questions-about-solution-to-cook-inlet-shortage/), report, 2026-07-10. - ADN reported the proposed ENSTAR facility would cost $240 million. [Anchorage Daily News](https://www.adn.com/business-economy/energy/2026/07/10/state-regulators-reject-enstar-gas-storage-plan-raising-questions-about-solution-to-cook-inlet-shortage/), report, 2026-07-10. - ADN reported in July that the facility would initially hold 25 billion cubic feet of gas. [Anchorage Daily News](https://www.adn.com/business-economy/energy/2026/07/10/state-regulators-reject-enstar-gas-storage-plan-raising-questions-about-solution-to-cook-inlet-shortage/), report, 2026-07-10. - Alaska has seen proposals for as many as 15 data centers. [Alaska Public Media / KUAC](https://alaskapublic.org/news/alaska-desk/2026-10-15/in-fairbanks-interior-secretary-burgum-touts-deregulation-and-data-centers), report, 2026-10-15. - Interior Secretary Doug Burgum told a Fairbanks audience on October 14th that people want to drop 10 billion on a data center without tax breaks. [Alaska Public Media / KUAC](https://alaskapublic.org/news/alaska-desk/2026-10-15/in-fairbanks-interior-secretary-burgum-touts-deregulation-and-data-centers), report, 2026-10-15. - Golden Valley Electric Association issued its first-ever energy emergency alert on Monday, October 12th. [Alaska Public Media / KUAC](https://alaskapublic.org/news/alaska-desk/2026-10-15/in-fairbanks-interior-secretary-burgum-touts-deregulation-and-data-centers), report, 2026-10-15. Slides and the deck PDF are linked from the canonical page.