APA Acquires Alaska Pipeline, Badami Oil Facilities in $70 Million Deal

A major Alaska infrastructure deal could reshape future drilling and development plans by adding critical pipeline access and production assets.

(P&GJ) — APA Corp. has agreed to acquire Savant Alaska LLC for approximately $70 million, gaining ownership of key North Slope pipeline and oilfield infrastructure that will support future exploration and development activities in Alaska.

The transaction includes the Badami production facilities, which have a nameplate capacity of approximately 40,000 barrels per day, and the Nutaaq Pipeline, an 80,000-bpd crude oil pipeline that connects the Badami area to the Trans-Alaska Pipeline System (TAPS).

APA said the acquisition is expected to improve development flexibility across its eastern North Slope acreage by providing direct control of infrastructure needed for drilling, production and transportation activities. The assets are expected to support exploration and appraisal programs planned for the 2026-2027 winter drilling season.

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In addition to the pipeline and production facilities, the deal includes supporting infrastructure such as housing accommodations, a grind-and-inject system, barge and wharf facilities, runway access and gravel resources.

"The acquisition secures control of strategic infrastructure adjacent to our eastern North Slope acreage and enhances our ability to execute our planned drilling program," APA CEO John Christmann said. He added that ownership of the infrastructure should provide greater flexibility for future development planning.

APA will assume operatorship of the existing joint venture and plans to drill one exploration well and one appraisal well during the 2026-2027 winter season. The appraisal program will help evaluate the Sockeye complex and assess opportunities to utilize existing Badami infrastructure.

The acquisition also includes approximately 17,000 net acres in the producing Badami unit, approximately 75,000 net acres in the Grey Owl unit and additional adjacent acreage. Following the transaction, APA's eastern North Slope position will total approximately 487,000 gross acres.

The deal is expected to close by the end of 2026, subject to regulatory approvals and customary closing conditions.