May 2020 | Volume 37 | Number 5 | AKBIZMAG.COM

Contents

Features

Working in Your PJs

Telecommuting makes it easier for employees to achieve positive work-life balance
By Tracy Barbour

Used but Not Used Up

Reclaimed materials find their way into commercial, residential projects
By Vanessa Orr

Marine Environmental Services

The front line for protecting Alaska’s shorelines
By Isaac Stone Simonelli

Beyond the Boat

Excursions and shoreside services enhance the visitor experience
By Tracy Barbour
Tourism - Beyond the Boat

Creating Trust

Restructured Alaska Native Settlement Trusts are a powerful tool for social change
By Isaac Stone Simonelli
Alaska Business (ISSN 8756-4092) is published monthly by Alaska Business Publishing Co., Inc. 501 W. Northern Lights Boulevard, Suite 100, Anchorage, Alaska 99503-2577; Telephone: (907) 276-4373. © 2020 Alaska Business Publishing Co. All rights reserved. No part of this publication may be reproduced without written permission from the publisher. Alaska Business accepts no responsibility for unsolicited materials; they will not be returned unless accompanied by a stamped, self addressed envelope. One-year subscription is $39.95 and includes twelve issues (print + digital) and the annual Power List. Single issues of the Power List are $15 each. Single issues of Alaska Business are $4.99 each; $5.99 for the July & December issues. Send subscription orders and address changes to [email protected]. To order back issues ($9.99 each including postage) visit simplecirc.com/back_issues/alaska-business.
Alaska Native - Creating Trust

Creating Trust

Restructured Alaska Native Settlement Trusts are a powerful tool for social change
By Isaac Stone Simonelli

Working in Your PJs

Telecommuting makes it easier for employees to achieve positive work-life balance
By Tracy Barbour

Used but Not Used Up

Reclaimed materials find their way into commercial, residential projects
By Vanessa Orr

Marine Environmental Services

The front line for protecting Alaska’s shorelines
By Isaac Stone Simonelli

Beyond the Boat

Excursions and shoreside services enhance the visitor experience
By Tracy Barbour
Tourism - Beyond the Boat
Alaska Business (ISSN 8756-4092) is published monthly by Alaska Business Publishing Co., Inc. 501 W. Northern Lights Boulevard, Suite 100, Anchorage, 
Alaska 99503-2577; 
Telephone: (907) 276-4373. 
© 2020 Alaska Business Publishing Co. All rights reserved. No part of this publication may be reproduced without written permission from the publisher. Alaska Business accepts no responsibility for unsolicited materials; they will not be returned unless accompanied by a stamped, self addressed envelope. One-year subscription is $39.95 and includes twelve issues (print + digital) and the annual Power List. Single issues of the Power List are $15 each. Single issues of Alaska Business are $4.99 each; $5.99 for the July & December issues. Send subscription orders and address changes to [email protected]. To order back issues ($9.99 each including postage) visit simplecirc.com/back_issues/alaska-business.
Oil & Gas Special Section
Article - BP Leaves Big Shoes to Fill
Hilcorp’s purchase of BP assets marks significant milestone
By Amy Newman
Climate change commitments promise to reduce carbon emissions and invest in carbon storage
By Sam Friedman
Support services companies instrumental in keeping oil workers safe, fed, and comfortable
By Amy Newman
What it takes to keep the oil flowing
By Sam Friedman
Philanthropy in the oil and gas industry
By Isaac Stone Simonelli

About The Cover

More than 18 billion barrels of oil have moved through the Trans Alaska Pipeline System; the incredible impact that companies involved in the oil and gas industry have had on Alaska through the corporate philanthropy “pipeline” is harder to measure but even easier for Alaskans to see. From funding University of Alaska infrastructure and programs to providing gathering spaces for fundraising and nonprofit events to helping create outdoor spaces that are beautiful and functional, oil and gas industry corporations have made Alaska’s communities a priority day by day and barrel by barrel for decades.

Cover by Monica Sterchi-Lowman • Photography by Amy Bell and Jeremy Cubas

Article - BP Leaves Big Shoes to Fill
Hilcorp’s purchase of BP assets marks significant milestone
By Amy Newman
Climate change commitments promise to reduce carbon emissions and invest in carbon storage
By Sam Friedman
Support services companies instrumental in keeping oil workers safe, fed, and comfortable
By Amy Newman
What it takes to keep the oil flowing
By Sam Friedman
Article - Alaska's Giving Pipeline
Philanthropy in the oil and gas industry
By Isaac Stone Simonelli

About The Cover

More than 18 billion barrels of oil have moved through the Trans Alaska Pipeline System; the incredible impact that companies involved in the oil and gas industry have had on Alaska through the corporate philanthropy “pipeline” is harder to measure but even easier for Alaskans to see. From funding University of Alaska infrastructure and programs to providing gathering spaces for fundraising and nonprofit events to helping create outdoor spaces that are beautiful and functional, oil and gas industry corporations have made Alaska’s communities a priority day by day and barrel by barrel for decades.

Cover by Monica Sterchi-Lowman • Photography by Amy Bell and Jeremy Cubas

Volume 37, #5
Editorial Staff
Managing Editor
Kathryn Mackenzie
257-2907 [email protected]
Associate/Web Editor
Tasha Anderson
257-2902 [email protected]m
Digital and Social Media Specialist
Arie Henry
257-2906 [email protected]
Art Director
Monica Sterchi-Lowman
257-2916 [email protected]
Art Production
Linda Shogren
257-2912 [email protected]
Photo Contributor
Kerry Tasker
BUSINESS STAFF
President
Billie Martin
VP & General Manager
Jason Martin
257-2905 [email protected]
VP Sales & Marketing
Charles Bell
257-2909 [email protected]
Senior Account Manager
Janis J. Plume
257-2917 [email protected]
Advertising Account Manager
Christine Merki
257-2911 [email protected]
Accounting Manager
Ana Lavagnino
257-2901 [email protected]
Customer Service Representative
Emily Olsen
257-2914 [email protected]
CONTACT
Press releases:
[email protected]

Postmaster:
Send address changes to
Alaska Business
501 W. Northern Lights Blvd. #100
Anchorage, AK 99503

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From the Editor

COVID-19
Kathryn Mackenzie

I

am fortunate enough to be writing this month’s letter to you from my home. I say fortunate because in the midst of all the fear and uncertainty surrounding the COVID-19 pandemic, we’re still working, and that’s no small thing—one quarter of the US economy is “on pause” as of early April for an unspecified amount of time as eight of ten US counties are under a variety of “hunker down” orders. Thankfully, the whole Alaska Business team is still here, committed as ever to delivering important news to our readers about how COVID-19 has affected and will continue to affect businesses and industry in Alaska.

Best of Alaska Business and Made in Alaska Logos
Stellar Designs website and phone number
Stellar Designs Logo
Stellar Designs Logo
Stellar Designs website and phone number
Best of Alaska Business and Made in Alaska Logos
Working
in Your
PJs
Telecommuting makes it easier for employees to achieve positive work-life balance
By Tracy Barbour
Telecom & Tech
Working
in Your
PJs
Telecommuting makes it easier for employees to achieve positive work-life balance
By Tracy Barbour
titovailona | Twenty20
T

elecommuting is becoming more prevalent, driven by technological advances, changing family dynamics, health concerns, and other factors. Also referred to as teleworking and remote working, telecommuting is a flexible arrangement that enables employees to avoid commuting or traveling to a central place of work, such as an office building, warehouse, or store. Instead, they work—completely or partially—from home or another off-site location.

According to the Census Bureau’s 2018 American Community Survey, 4.7 million Americans regularly work from home, up 173 percent since 2005. This group—which does not include the self-employed population—works from home at least half the time and represents roughly 3 percent of the workforce.

Managing
Remote
Workers
P

roviding the appropriate technology can be the easy part of connecting remote workers, but employers also need to make the extra effort to make them feel part of the team, says Cindy Christopher, director of managed IT at Alaska Communications. Offsite workers require significantly more management touch points as they don’t have the daily office interactions. Here’s her advice for managing remote workers:

  • Use video teleconference and make sure the employees’ hardware is equipped with a camera.
  • Make sure workers have a good work environment in their home from which to conduct meetings.
  • Be sure work schedules are set and communicated to account for work hours across time zones.
  • Meeting etiquette can be difficult to engage remotely, so control noise in the conference room and actively include remote meeting participants.
  • It can be more difficult to manage performance, so check in on work output and customer satisfaction. (The customer should have a seamless experience and not even know the employee is working remote.)
Alaska Native
Alaska Native
Wayde Carroll
Creating Trust
Restructured Alaska Native Settlement Trusts are a powerful tool for social change
By Isaac Stone Simonelli
F

ollowing the signing of the Tax Cuts and Jobs Act of 2017 into law, more and more Alaska Native corporations are adding Alaska Native Settlement Trusts (ANSTs) to their toolbox to better support the welfare of their shareholders.

Unlike other corporations, those created through the Alaska Native Claims Settlement Act (ANCSA) are legally required not only to serve the economic interests of shareholders but also uphold their social values.

Construction
A large, steel-frame house that was framed using all salvaged steel from different demolition projects.

CRS | CEI

Used but Not Used Up
Reclaimed materials find their way into commercial, residential projects
By Vanessa Orr
T

here are a lot of reasons to build with reclaimed materials, from lower costs to decreased environmental impact to the fact that they can be used to truly customize a project. But before jumping on the reuse/recycle bandwagon, it’s important to realize that this method comes with a number of challenges.

This is especially true on the design side of projects, where it is imperative to know exactly what materials will be used and that they will be available when needed. There are also risks that come with planning a project using materials that may not perform as well as new products would and that may not end up being well-suited for their planned purpose.

Oil & Gas
BP Leaves Big Shoes to Fill
Hilcorp’s purchase of BP assets marks significant milestone
By Amy Newman
L

ast summer, rumors were swirling that oil giant BP planned to sell its Alaska interests and end its presence in the state. It wasn’t the first time industry watchers had speculated that BP’s future in Alaska was drawing to a close.

But it ultimately turned out to be the last.

BP officially put rumors of its exit to rest in August when it announced the $5.6 billion sale of all of its Alaska interests to Hilcorp, the privately owned, Texas-based oil and gas company that first entered the Alaska market in 2012.

At the time, BP’s then-Group Chief Executive Bob Dudley called Hilcorp “a highly-capable operator” whose extensive experience in Alaska made it “ideally-placed to take this important business on into the future, continuing to optimize its performance and maximize its value for the State of Alaska.”

Petrotechnical Resources Alaska logo
Alaska's Oil & Gas Consultants text
Geoscience, Engineering, Operations and Project Management text
Oil Drop image
Company Phone Number
Company Website
Company Email
3601 C Street, Suite 1424
Anchorage, AK 99503
Oil & Gas
Alaska’s Giving Pipeline
Philanthropy in the oil and gas industry
By Isaac Stone Simonelli
F

ew large foundations support “the general good” or social service projects in Alaska, so the Last Frontier has a pretty thin philanthropic layer, according to United Way of Anchorage Vice President Cassandra Stalzer. However, the oil and gas industry has a history of stepping in and filling the gaps in Alaska communities by providing money and volunteers for myriad charitable efforts in the state.

Because Alaska is a relatively young state with a small population, it relies on the philanthropy of industry more heavily than other states, especially the oil and gas industry, Stalzer says.

The oil and gas industry is a pillar of economic power in Alaska, providing jobs, tax revenue, and charity dollars in the state, according to Alaska Oil and Gas Association President and CEO Kara Moriarty.

Oil & Gas
How Will Big Oil Climate Pledges Affect Alaska?
Climate change commitments promise to reduce carbon emissions and invest in carbon storage
By Sam Friedman
A

carbon-neutral oil company would have sounded like an oxymoron a few decades ago.

But in the last several months, two major companies announced ambitions to reduce their emissions and take steps to cancel out the effects of their remaining carbon footprint. They say their pledge applies to both emissions from producing fossil fuels and the emissions produced when consumers burn it.

First came Repsol, a Spanish oil company that owns dozens of North Slope exploration blocks and reported the Horseshoe well discovery near Nuiqsut in 2017. Repsol announced its net-zero carbon plans in December.

6381380 | iStockphoto
Oil & Gas
Charles Dillard
6381380 | iStockphoto
How Will Big Oil Climate Pledges Affect Alaska?
Climate change commitments promise to reduce carbon emissions and invest in carbon storage
By Sam Friedman
A

carbon-neutral oil company would have sounded like an oxymoron a few decades ago.

But in the last several months, two major companies announced ambitions to reduce their emissions and take steps to cancel out the effects of their remaining carbon footprint. They say their pledge applies to both emissions from producing fossil fuels and the emissions produced when consumers burn it.

First came Repsol, a Spanish oil company that owns dozens of North Slope exploration blocks and reported the Horseshoe well discovery near Nuiqsut in 2017. Repsol announced its net-zero carbon plans in December.

Oil & Gas
Behind the Scenes Support
Support services companies instrumental in keeping oil workers safe, fed, and comfortable
By Amy Newman
Judy Patrick Photography
L

ooking behind the scenes of the oil and gas industry, it quickly becomes apparent that it requires a lot of moving parts to keep things running smoothly.

Businesses that offer support services to the oil and gas industry play an integral role in keeping the oil field operators supplied with the fuel, equipment, and parts needed to do the heavy work of exploration and extraction. They are also instrumental in helping to keep oil workers safe, fed, and comfortable while in the field.

The relationship between oil and gas companies and support services companies is a symbiotic one, says Cathleen Lewis, director of business development for Colville, whose family of companies provide essential supplies and services—including fuel, solid waste management, towing, and housing—to oil fields across Alaska.

Oil & Gas
TAPS Turns 44
What it takes to keep the oil flowing
By Sam Friedman
Alyeska Pipeline Service Company
T

he Trans Alaska Pipeline System (TAPS) has already outlived initial expectations by more than ten years, though today it runs at less than a quarter of its peak volume.

The pipeline is still in fundamentally sound shape and has a few maintenance properties that would be remarkable if it was an old car: the pipeline requires a smaller maintenance staff to keep it running than it used to, and it’s gotten safer and less leaky as it has aged.

Part of the reason it has aged so well is that Alaska’s oil pipeline is a highly-regulated piece of industrial infrastructure owned by some of the largest corporations on the planet.

But as the pipeline’s owners review how much to invest in keeping the pipeline running into a sixth decade and beyond, TAPS’ maintenance quandaries sound familiar to anyone who’s ever had to decide how much to invest in an aging, but much-beloved vehicle.

Oil & Gas
Oil & Gas Directory
EXPLORATION/PRODUCTION
Blue Crest Alaska Operating

Andrew Buchanan, VP AK
3301 C St., Ste. 202
Anchorage, AK 99503
BlueCrestEnergy.com
907-754-9550

Oil and gas exploration.

Year Founded/Est. in Alaska | Worldwide/Alaska Employees:
2012/2014 | 24/15

Borealis Alaska Oil

David Pfeiffer, CFO
560 E. 34th St., Ste. 200
Anchorage, AK 99503
nordaqenergy.com
907-646-9315

Natural gas exploration, Cook Inlet Basin north end of Kenai Peninsula expected to last 30 Years. Offices in Anchorage and Kenai.

Year Founded/Est. in Alaska | Worldwide/Alaska Employees:
2009/2009 | 3/2

ConocoPhillips Alaska

Joe Marushack, Pres.
700 G St., PO Box 100360
Anchorage, AK 99510
conocophillipsalaska.com
[email protected]
907-276-1215

An independent exploration and production company. We are Alaska’s largest oil producer and have been a leader in oil and gas exploration and development in the state for more than fifty Years.

Year Founded/Est. in Alaska | Worldwide/Alaska Employees:
1952/1952 |10,400/1,100

Eni Petroleum

Loris Tealdi, Pres./CEO
3800 Centerpoint Dr., Ste. 300
Anchorage, AK 99503
907-865-3300

Eni is an integrated energy company with a presence in 71 countries and more than 35,000 employees. Eni operates in oil and gas exploration, production, and transportation.

Year Founded/Est. in Alaska | Worldwide/Alaska Employees:
1926/2006 | 35,000/300

ExxonMobil Alaska

Darlene Gates, Production Mgr.
PO Box 196601
Anchorage, AK 99519
exxonmobil.com/alaska
907-561-5331

ExxonMobil is the largest holder of discovered gas resources and the second largest oil producer in Alaska. The company operates the Point Thomson facility on the North Slope to produce natural gas condensate.

Year Founded/Est. in Alaska | Worldwide/Alaska Employees:
1870/1954 | 71,000/78

Glacier Oil & Gas

Phil Elliott, President & CFO
188 W Northern Lights Blvd., Ste. 510
Anchorage, AK 99503
www.glacieroil.com
907-334-6745

Exploration and production.

Year Founded/Est. in Alaska | Worldwide/Alaska Employees:
2009/2009 | 65/65

Environmental
Marine Environmental Services
The front line for protecting Alaska’s shorelines
By Isaac Stone Simonelli
C

lose to 10,000 large commercial vessels transit the Aleutian Islands annually for trade between Asian and US markets, and each of these represents a potential marine environmental hazard should something go amiss, says Buddy Custard, president and CEO of the Alaska Maritime Prevention & Response Network. That number doesn’t account for the thousands of fishing vessels, barges, and other boats operating off Alaska’s shores. “Our first emphasis is not having an incident whatsoever. It’s about protecting the crews, the cargo, and the Alaska coastline,” Custard says. “However, our message is: Prevention Focused—Response Ready. In the event of an incident, we maintain and have the capability to mobilize the largest inventory of response resources in the region 24/7.”

The Network was created in 2011 by Alaska maritime industry stakeholders as a nonprofit organization to provide enrolled tank and non-tank vessel protection in Alaska waters with 24/7 vessel tracking and access to partners with oil spill response resources.

“It’s all about making sure that the companies [that are enrolled with the Network] are in compliance with all US federal oil spill, prevention, and response regulations,” Custard says.

Chilkoot | iStockphoto
Environmental
Chilkoot | iStockphoto
Marine Environmental Services
The front line for protecting Alaska’s shorelines
By Isaac Stone Simonelli
C

lose to 10,000 large commercial vessels transit the Aleutian Islands annually for trade between Asian and US markets, and each of these represents a potential marine environmental hazard should something go amiss, says Buddy Custard, president and CEO of the Alaska Maritime Prevention & Response Network. That number doesn’t account for the thousands of fishing vessels, barges, and other boats operating off Alaska’s shores. “Our first emphasis is not having an incident whatsoever. It’s about protecting the crews, the cargo, and the Alaska coastline,” Custard says. “However, our message is: Prevention Focused—Response Ready. In the event of an incident, we maintain and have the capability to mobilize the largest inventory of response resources in the region 24/7.”

The Network was created in 2011 by Alaska maritime industry stakeholders as a nonprofit organization to provide enrolled tank and non-tank vessel protection in Alaska waters with 24/7 vessel tracking and access to partners with oil spill response resources.

“It’s all about making sure that the companies [that are enrolled with the Network] are in compliance with all US federal oil spill, prevention, and response regulations,” Custard says.

HR MATTERS
Shifting the Mindset of Change in the Workplace
By Katie Lauwers
W

ith detailed research from the AEDC 2020 Economic forecast as well as the hum and buzz around Alaska’s economy, it is no surprise that we are amidst change on the horizon. We have changes in workforce demographics, demand of work, residential populations, and state budgeting. Unfortunately, as humans we seem to resist change. Change is just diffi cult to come to terms with. Typically, individuals and organizations alike try to prepare for and address exactly what is changing and how it is changing, and we work to make sure there are systems and processes in place that minimize the disruption.

Why then do more than 70 percent of corporate change initiatives fail (Gallup 2013)? Because we feel a sense of loss of control, fear, and risk. What if we empowered ourselves and our teams to create and maintain appropriate change? This reframing allows for more proactivity, resilience, and an increase in internal locus of control (that innate feeling of: I have some control over the outcome). Behavioral Economic study lends us insight into how our mindset affects our decision-making. Gallup suggests that 70 percent of decision-making is based on emotion and that just around 30 percent is based on rational thought (Gallup 2019). Therefore, we know that under risk and uncertainty individuals rely on emotional and heuristic thoughts (shortcuts that your brain uses to make decisions).

Tourism
Beyond the Boat
Excursions and shoreside services enhance the visitor experience
*Editor’s note: Because this article was researched and written prior to the widespread outbreak of COVID-19 the pandemic was not taken into account when the article’s participants were being interviewed. The effects of the coronavirus on the tourism industry are not included in this article.
By Tracy Barbour
Juneau Tours
Beyond the Boat
Excursions and shoreside services enhance the visitor experience
*Editor’s note: Because this article was researched and written prior to the widespread outbreak of COVID-19 the pandemic was not taken into account when the article’s participants were being interviewed. The effects of the coronavirus on the tourism industry are not included in this article.
By Tracy Barbour
N

early half of all visitors who come to Alaska arrive on cruise ships, according to research and consulting firm McDowell Group. And when they dock, there are a variety of shore excursions and other services available to enhance the cruise experience. Here’s a rundown on just some of the offerings that make it possible for cruise passengers—as well as independent travelers and others—to enjoy unique attractions at different ports of call in Alaska.

Inside Alaska Business
Providence Alaska

Providence Health & Services Alaska opened a new primary care clinic in Anchorage: Providence Medical Group Primary Care Huffman. The new clinic is located at 1389 Huffman Park Drive, Suite 202.

The opening of this clinic is part of Providence’s effort to bring care to more people, closer to where they work and live, with extended hours and same-day appointments.
alaska.providence.org

Trilogy Metals

Trilogy Metals announced that Ambler Metals, the joint venture operating company equally owned by Trilogy and South32, has approved the 2020 program and budget of $22.8 million for the advancement of the Upper Kobuk Mineral Projects located in Northwestern Alaska. The budget is 100 percent funded by Ambler Metals.
trilogymetals.com

Economic Indicators
ANS Crude Oil Production
512,952 barrels
1.5% change from previous month
4/1/2020
Source: Alaska Department of Revenue Tax Division
ANS West Coast Crude Oil Prices
$21.80 per barrel
56% change from previous month
4/1/2020
Source: Alaska Department of Revenue Tax Division
Statewide Employment
338,971 Labor Force
5.9% Unemployment
2/1/2020. Adjusted Seasonally.
Source: Alaska Department of Labor and Workforce Development
Right Moves
Alaska Railroad
The Alaska Railroad promoted Sean Mesloh to Chief Mechanical Officer. Mesloh began his railroad career nearly two decades ago in December 2000; he moved up the ranks and in 2019 took on his most recent position as the manager of motive power and equipment for the railroad.

Mesloh earned an associate degree in fire science and hazardous material control from UAF.

Sean Mesloh headshot
Mesloh

Alaska Trends

The Trans Alaska Pipeline System (TAPS) is an Alaska icon. In many ways, building TAPS built Alaska’s economy, and the oil that’s traveled its length has provided funds for communities and individuals across the state for more than forty years. While every Alaskan knows at least a little something about TAPS, there’s a lot to know, so we’ve compiled some information here about the pipeline and the stories it has inspired.
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Thanks for reading our May 2020 issue!