Arctic Slope Regional Corp.

• Author: SWAGEL, WILL
• Position: Brief Article

2000 Top 49ers Ranking: 1

Position Last Year: 1

1999 Revenue: $885.5 million

Number of Employees: 5,225

North Slope oil production may have peaked, but that doesn't mean the region isn't still capable of historic developments in the oil business. This fall, the Arctic Slope Regional Corp. is slated to begin production--with Anadarko Petroleum Corp.-on the new Alpine Field.

Alpine represents the first oil production from ASRC lands and, says ASRC President Jacob Adams, the first oil discovery on Alaska Native lands since Native corporations were first formed in 1971 under the Alaska Native Claims Settlement Act. ASRC, now a diversified holding company, has evolved since its establishment in 1972 into a powerhouse in the Alaska economy and has topped several Alaska Top 49ers lists.

Adams says ASRC's new Alpine field is projected to produce 60,000 barrels to 80,000 barrels a day, a welcome addition for a corporation that derives the bulk of its revenues from oil production, distribution and oilfield services.

Barrow-based ASRC has pledged to reach $1 billion in sales. Its 1999 gross revenues topped $885 million, down slightly from the previous year, but up sharply compared to 1997. Many of the firm's employees are connected with oil production, services, construction and engineering.

"If oil prices continue to remain steady and high," Adams says, "then the oil industry will probably plow more dollars into their exploration program and, hopefully, we will benefit from that."

To reach the $1 billion mark, ASRC hopes to expand its oil and gas sector and its engineering sector by moving outside Alaska to the Lower 48 and Canada for markets.

ASRC is also investing more in a subsidiary, Puget Plastics, which molds plastic components for the computer and medical supply industries. Puget moved one of its production plants to Guadalajara, Mexico, when Hewlett-Packard (its main customer) moved its printer manufacturing south. Puget is also teaming with Sealaska in a manufacturing joint venture and has formed another partnership with the famous Oreck vacuum cleaner company to make plastic components. Puget, headquartered in Portland, Ore., employs about 600 people at its various facilities.

Adams says ASRC has been challenged of late by the increasing difficulty in attracting top management personnel. He says ASRC--with partner BP Exploration (Alaska) Inc.--is providing employment for shareholders with ASRC's elaborate four-year training and job shadow...