Santos Dispute with ConocoPhillips Snags Alaska Oil Project, Stake Sale

The Pikka project, the biggest new oil prospect on Alaskan state land in decades that is operated by Santos, is next to ConocoPhillips’ Kuparuk River Unit oil fields on Alaska’s North Slope.

Sonali Paul and Gary McWilliams, Reuters

Australia’s Santos Ltd. is locked in a dispute with ConocoPhillips Co. over road access in Alaska, potentially holding up a $3 billion oil project, according to letters from both companies to the U.S. state’s government.

The dispute could also delay Santos’ planned sale of its majority stake in the project, which could thwart its target of raising $2 billion to $3 billion from asset sales in 2022.

ConocoPhillips, the largest oil producer in Alaska, is seen as a potential buyer of that stake.

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