Alaska Approved New Wells at Paxton Pad
State officials authorized Hilcorp Alaska to drill two new natural gas wells at the site near Ninilchik.
Updated on Sept. 24, 2026 in Oil and Gas
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The Alaska Department of Natural Resources has approved an amendment to the Paxton Pad operations plan. This decision clears the way for Hilcorp Alaska to expand production by drilling two new wells.
Why it matters
Expanding drilling operations at the Paxton Pad helps maintain natural gas output in the Cook Inlet region. This move addresses the need for continued resource extraction to support local energy supplies.
The Paxton Pad produced 37% of the total Ninilchik unit output in July 2026, while the Ninilchik unit itself contributed 15.4% of the broader Cook Inlet production. The site is located 4 miles northeast of Ninilchik.
The players
Alaska Department of Natural Resources
This state agency is responsible for the management and development of Alaska's natural resources.
Hilcorp Alaska
The company serves as the operator for the Ninilchik unit and manages energy production projects in the region.
The details
Hilcorp Alaska plans to install necessary infrastructure including flowlines, heaters, and compressors to support the new wells. All construction and drilling activities will occur within the existing footprint of the current Paxton Pad facility.
Timeline
June 15, 2026: Hilcorp completed the Paxton 15 well.
July 2026: The Ninilchik unit provided 15.4% of Cook Inlet gas production.
September 2026: Hilcorp submitted the application for the operations plan amendment.
September 21, 2026: The Alaska Department of Natural Resources issued the approval.
Market Landscape
This project follows a pattern set by the Cook Inlet gas production benchmarks to maintain regional output. The approval solidifies the role of the Ninilchik unit in the broader energy market within the state.
The expansion of gas production at the Paxton Pad supports the continued availability of natural gas for local regional use. Customers in the area may see more stable supply levels as these new wells come online.
The takeaway
The addition of two new wells marks a significant effort to sustain current production levels from the Ninilchik unit. Residents and stakeholders should monitor local energy reports for future updates on production milestones.
Further reading
For additional context on regional energy projects, visit the Oil and Gas section.
Source note: This article includes information reported by Petroleum News.
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