FOSSIL FUEL AND GEOTHERMAL ENERGY SOURCES FOR LOCAL USE

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FOSSIL FUEL AND GEOTHERMAL ENERGY SOURCES FOR LOCAL USE ( fossil-fuel-and-geothermal-energy-sources-for-local-use )

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Fossil Fuel and Geothermal Energy Sources for Local Use in Alaska Chapter J, Railbelt SUMMARY OF FOSSIL FUEL AND GEOTHERMAL RESOURCE POTENTIAL IN THE RAILBELT ENERGY REGION by Paul L. Decker, Robert J. Gillis, Ken Helmold, and Shaun Peterson INTRODUCTION Purpose of this report Economic growth and stability in Alaska’s rural areas hinges partially, if not primarily, on the availability of affordable and sustainable energy supplies. Recent price increases in oil and gas commodities have created severe economic hardship in many areas of the state that are dependent on diesel and heating oil as their primary source of energy. All sectors of Alaska’s economy rely on affordable energy sources with limited price volatility, highlighting the need to diversify the energy portfolio by developing locally available and sustainable resources that are not tied to the global market. Unfortunately, all areas are not created equal in energy accessibility; the resources available for local exploitation vary widely across the state. It is critical that funding decisions for expensive programs to reduce the dependence on diesel for heat and electricity take into account information concerning the entire suite of natural resources that exist in a given area. This report draws from existing information to provide community and state leaders an objective summary of our current knowledge concerning the potential of locally exploitable fossil fuel and geothermal energy resources in the Railbelt Energy Region (fig. J1), one of 11 regions recognized by the Alaska Energy Authority (AEA) in their Energy Plan (AEA, 2009). The potential geologically hosted energy resources considered here include exploitable coal, conventional and unconventional oil and gas, and geothermal resources. This report concludes with recommendations as to what additional data or strategies, if any, would provide the most leverage in helping to develop new energy resources in the region. Readers without geological training are encouraged to peruse the geologic summaries of fossil fuel resources and geothermal energy in Chapter A. They provide an overview of the geologic elements that must be present in an area to economically develop coal, conventional oil and gas, unconventional oil and gas, and geothermal resources. These summaries will provide the necessary background to more fully understand the information presented in this chapter. Geographic and geologic setting The Railbelt Energy Region covers approximately 72,526 square miles of south-central and central interior Alaska, encompassing most of the major Alaska population centers, and a significant portion of the main Alaska transportation corridors including rail, road, and maritime routes (sheet 1). The development region extends from the upper Alaska Peninsula just south of Kamishak Bay and the southernmost Kenai Peninsula, on its southern end, to the White Mountains north of Fairbanks on its northern end. The development region is bounded to the west by the spine of the southern Alaska Range, the western boundary of Denali National Park, and the eastern margin of Minto Flats. To the east, it extends to just west of Prince William Sound, and is bounded by Figure J1. Location map of Railbelt Energy Region. Page 95 Railbelt

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