Alaska Approved Two New Hilcorp Gas Wells
The state regulator authorized plans for additional drilling at the Paxton Pad near Ninilchik.
Updated on Sept. 28, 2026 in Oil and Gas
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The Alaska Division of Oil and Gas has approved Hilcorp Alaska plans to drill two new wells, Paxton 16 and Paxton 17, at the Paxton Pad. The project adds to previous developments authorized earlier this year for the Ninilchik unit.
Why it matters
The authorization enables Hilcorp to continue expanding its operational capacity within the Ninilchik unit, supporting the company infrastructure in the region. This regulatory approval facilitates the installation of essential processing equipment required for ongoing production.
The state authorized two additional wells at the Paxton Pad, located 4 miles northeast of Ninilchik. This approval covers the installation of flowlines, heaters, separators, and compressors to support the new drilling operations.
The players
Alaska Division of Oil and Gas
This state regulatory body oversees the exploration, development, and production of oil and gas resources within Alaska.
Hilcorp Alaska
Hilcorp is a large independent energy company that manages various oil and gas operations and units throughout the state of Alaska.
The details
The development plan for the Paxton Pad involves drilling two grassroots wells on privately owned surface and subsurface land. The site operations will incorporate comprehensive electrical instrumentation and compression systems to manage the extracted gas.
Timeline
January 27: The state approved the Paxton 14 and 15 wells.
September 28, 2026: The state approved the Paxton 16 and 17 wells.
Market Landscape
This project continues the trend of targeted infrastructure development within the Kenai Peninsula energy sector. It reinforces the operational presence of major independent producers following the standards dictated by the Alaska Oil and Gas Conservation Commission.
Local residents near Ninilchik may see increased activity at the Paxton Pad site as construction crews install the necessary processing hardware. The expansion of the Ninilchik unit reflects ongoing energy production efforts that contribute to the regional economic landscape.
The takeaway
The expansion of the Paxton Pad highlights the consistent development of existing energy units on the Kenai Peninsula. Continued investment in gas infrastructure supports the long-term operational viability of these private land holdings.
Further reading
Learn more about energy development in the region on our Oil and Gas section.
Source note: This article includes information reported by Drilling Contractor.
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