Trans-Alaska Pipeline History

by | Jun 16, 2024 | Petroleum Transportation

North Slope oil began moving through Alaska’s 800-mile pipeline system in 1977.

 

The Trans-Alaska Pipeline System, designed and constructed to carry billions of barrels of North Slope oil to the port of Valdez, has been recognized as a landmark of engineering.  On June 20, 1977, the 800-mile pipeline began carrying oil from Prudhoe Bay oilfields to the Port of Valdez at Prince William Sound. The oil began arriving 38 days later.

In July 1973, a tie-breaking vote by Vice President Spiro Agnew in the U.S. Senate had passed the Trans-Alaska Pipeline Authorization Act after years of debate about the pipeline’s environmental impact. Concerns included spills, earthquakes, and elk migrations.

Trans-Alaska Pipeline illustration of zig-zag design and heaters.

The Alaskan Pipeline system’s 420-miles above ground segments are built in a zig-zag configuration to allow for expansion or contraction of the pipe.

With the laying of the first section of pipe on March 27, 1975, construction began on what at the time was the largest private construction project in American history. 

The 800-mile Trans-Alaska Pipeline system, including pumping stations, connecting pipelines, and the ice-free Valdez Marine Terminal, ended up costing billions. The last pipeline weld occurred on May 31, 1977, and oil from the Prudhoe Bay field began flowing to the port of Valdez on June 20, traveling at four miles an hour through the 48-inch-wide pipe. 

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The completed pipeline system, at a cost of $8 billion, including terminal and pump stations, will transport about 20 percent of U.S. petroleum production. Tax revenues alone earned Alaskans about $50 billion by 2002.

Engineering Milestones

Special engineering was required to protect the environment in difficult construction conditions, according to Alyeska Pipeline Service Company. Details about the pipeline’s history include:

  • Oil was first discovered in Prudhoe Bay on the North Slope in 1968.
  • Alyeska Pipeline Service Company was established in 1970 to design, construct, operate and maintain the pipeline.
  • The state of Alaska entered into a right-of-way agreement on May 3, 1974; the lease was renewed in November of 2002.
  • Thickness of the pipeline wall: .462 inches (466 miles) & .562 inches (334 miles).
  • The Trans-Alaska Pipeline System crosses the ranges of the Central Arctic heard on the North Slope and the Nelchina Herd in the Copper River Basin.
  • The Valdez Terminal covers 1,000 acres and has facilities for crude oil metering, storage, transfer and loading.
  • The pipeline project involved some 70,000 workers from 1969 through 1977.
  • The first pipe of the Trans-Alaska Pipeline System was laid on March 27, 1975. Last weld was completed May 31, 1977.
  • The pipeline is often referred to as “TAPS” – an acronym for the Trans Alaska Pipeline System.
  • More than 170 bird species have been identified along the pipeline.
  • First oil moved through the pipeline on June 20, 1977.
  • 71 gate valves can block oil flow in either direction on the pipeline.
  • First tanker to carry crude oil from Valdez: ARCO Juneau, August 1, 1977.
  • Maximum daily throughput was 2,145,297 on January 14, 1988.
  • The pipeline is inspected and regulated by the State Pipeline Coordinator’s Office.
Trans-Alaska Pipeline maps with pumping stations 1 to 12.

The Alaskan pipeline brings North Slope production to tankers at the port of Valdez. Map courtesy USGS.

At the peak of its construction in the fall of 1975, more than 28,000 people worked on the pipeline. There were 31 construction camps built along the route, each built on gravel to insulate and help prevent pollution to the underlying permafrost.

The above-ground sections of the pipeline (420 miles) were constructed in a zigzag configuration to allow for expansion or contraction of the pipe because of temperature changes.

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Specially designed anchor structures, 700 feet to 1,800 feet apart, securely hold the pipe in position. In warm permafrost and other areas where heat might cause undesirable thawing, the supports contain two, two-inch pipes called “heat pipes.”

An essential to Alaska’s economy, the Trans-Alaska Pipeline zig zags through spring flowers.

The Trans-Alaska Pipeline today has been recognized as a landmark engineering feat. It remains essential to Alaska’s economy.

The first tanker carrying North Slope oil from the new pipeline sailed out of the Valdez Marine Terminal on August 1, 1977. By 2010, the pipeline had carried about 16 billion barrels of oil. Alaska’s total oil production in 2013 was nearly 188 million barrels, or about seven percent of total U.S. production.

Rise and Fall of Production

The first Alaska oil well with commercial production was completed in 1902 in a region where oil seeps had been known for years. The Alaska Steam Coal & Petroleum Syndicate produced the oil near the remote settlement of Katalla on Alaska’s southern coastline. The oilfield there also led to construction of Alaska Territory’s first refinery.

Atlantic Richfield (ARCO) and Exxon discovered the Prudhoe Bay field in March 1968 about 250 miles north of the Arctic Circle. The oilfield proved to be the largest in North America at more than 213,500 acres (exceeding the East Texas Oilfield, discovered in 1930).

Bell chart of Alaska oil production, 1975-2020.

Alaska’s daily oil production peaked in 1988 at about 2 million barrels of oil per day, according to the Department of Energy Energy Information Administration (EIA), Petroleum Supply Monthly.

Annual Alaska oil production peaked in 1988 at 738 million barrels of oil — about 25 percent of U.S. oil production at the time, according to the Energy Information Administration (EIA). Production averaged about 448,000 barrels of oil per day in 2020, the lowest level in more than 40 years. 

“Crude oil production in Alaska averaged 448,000 barrels per day (b/d) in 2020, the lowest level of production since 1976,” the agency noted in its April 2021 Today in Energy report. “Last year’s production was over 75 percent less than the state’s peak production of more than 2 million b/d in 1988.”

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The decline in the state’s oil production has decreased deliveries in the Trans-Alaska Pipeline System, EIA added. Lower oil volumes caused oil to move more slowly in the pipeline, and the travel time from the North Shore to Valdez increased by 18 days in 2020.

For America’s pipeline history during the World War II, see Big Inch Pipelines of WW II and PLUTO, Secret Pipelines of WWII.

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Recommended Reading:  The Great Alaska Pipeline (1988); Amazing Pipeline Stories: How Building the Trans-Alaska Pipeline Transformed Life in America’s Last Frontier (1997); Oil and Gas Pipeline Fundamentals (1993); Oil: From Prospect to Pipeline (1971). Your Amazon purchase benefits the American Oil & Gas Historical Society. As an Amazon Associate, AOGHS earns a commission from qualifying purchases.

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The American Oil & Gas Historical Society (AOGHS) preserves U.S. petroleum history. Please become an AOGHS annual supporter and help maintain this energy education website and expand historical research. For more information, contact bawells@aoghs.org. © 2024 Bruce A. Wells.

Citation Information – Article Title: “Trans-Alaska Pipeline History.” Author: Aoghs.org Editors. Website Name: American Oil & Gas Historical Society. URL: https://aoghs.org/transportation/trans-alaska-pipeline. Last Updated: June 16, 2024. Original Published Date: June 20, 2015.

Richfield Oil Corporation

by | Sep 12, 2013 | Petroleum Companies

A 1957 oilfield discovery in Alaska Territory will helped establish 49th state.

 

Two years before Alaska statehood, Richfield Oil Corporation made an oil discovery that greatly benefited the exploration company (today’s ARCO) and the “north to the future” state.

Richfield Oil began in the petroleum business in 1915 as the Rio Grande Oil Company of El Paso, Texas. At the time, its main business was supplying U.S. military forces with gasoline in support of operations against Pancho Villa.

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By 1936, Rio Grande had reorganized and merged with other companies to become Richfield Oil Corporation. Twenty years later, Richfield discovered an oilfield, that today is considered the state’s first commercial well (a 1902 well actually had revealed the Alaska Territory’s first commercial oilfield).

In July 1957, Richfield Oil’s Swanson River Unit No. 1 well, which produced 900 barrels of oil per day from a depth of 11,150 feet to 11,215 feet. The company had leased 71,680 acres of the Kenai National Moose Range, now the 1.92 million acre Kenai National Wildlife Refuge. More discoveries followed and by June 1962 about 50 wells are producing more than 20,000 barrels of oil per day.

Atlantic Richfield

Alaska’s oil production soon accounted for more than 90 percent of Alaska’s general fund revenues.

“The U.S. Congress viewed that discovery as the foundation for a secure economic base in Alaska, and statehood was granted two years later,” noted the Alaska Resources Council. A decade later, the discovery of the giant Prudhoe Bay oilfield on Alaska’s North Slope will make Alaska a world-class oil and natural gas producer – a status reaffirmed in 1969 with the discovery of the nearby Kuparuk field, the second largest in North America after Prudhoe Bay.

Four of the ten largest U.S. oilfields have been discovered on Alaska’s North Slope. In 1973, the Trans-Alaska Pipeline Authorization Act authorized construction of the 800-mile Trans-Alaska pipeline system from Prudhoe Bay to the port of Valdez.

Richfield Oil Corporation merged with the Atlantic Refining Company to form Atlantic Richfield Company in 1966. In 1999 BP Amoco purchased ARCO for $26.8 billion in stock, making BP Amoco the world’s second-largest petroleum company.

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Regarding potential value of old Atlantic Richfield Corporation certificates, if the shareholder named on the certificate failed to surrender it during a change of ownership (merger, sale, etc.), the stock shares would have been cancelled on the books and any remaining value turned over to the Unclaimed Property Division of the owner’s state. 

For more detailed company history, see From the Rio Grande to the Arctic: The Story of the Richfield Oil Corporation, authored in 1972 by former CEO Charles S. Jones. Obsolete Richfield Oil stock certificates are offered by collectors online for about $10.

The stories of exploration and production companies joining petroleum booms (and avoiding busts) can be found updated in Is my Old Oil Stock worth Anything? The American Oil & Gas Historical Society preserves U.S. petroleum history. Support this energy education website. For membership information, contact bawells@aoghs.org. © 2021 AOGHS. All rights reserved.

 

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