Conoco Phillips Alaska profits grow to $1.7 billion

Conoco Phillips, the largest oil producer in Alaska, said its profits from Alaska (see page 6 of the link) last year totaled $1.735 billion. That compares with a $1.54 billion profit in Alaska in 2009.

Worldwide, the company posted an $11.4 billion profit last year.

The main reason for Conoco’s higher profit from Alaska was higher oil prices.

The company said its average price for Alaska oil last year was $78.61 a barrel, compared with $59.23 a barrel the year before.

Alaska oil and natural gas liquids production actually fell for the company, averaging 230,000 barrels a day last year, compared with 252,000 a day on average in 2009, the company said.

Conoco also has a little bit of dry natural gas production in Alaska, concentrated in the Cook Inlet area. Its gas production averaged 92 million cubic feet a day last year, compared with 94 million a year earlier.

Unlike oil prices, the gas price was lower last year, averaging $4.62 per thousand cubic feet, compared with $5.33 a year earlier.

Conoco partners with Marathon Oil on the Nikiski liquefied natural gas plant, where they take dry gas from Cook Inlet and superchill it into a liquid for export on tankers to Asia. Last year, LNG production averaged 47 million cubic feet a day, down from 59 million a year earlier. The LNG price improved, however, averaging $12.13 per thousand cubic feet, up from $8.45.

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