# DOE Awards Alaska Methane Hydrate Contract

On October 14, 2026, the U.S. Department of Energy awarded ASRC Consulting and Environmental Services, LLC (ACES) a five-year contract worth up to **$49.8 million** for methane-hydrate research and production testing on Alaska’s North Slope. Phase 1 covers maintaining the existing Prudhoe Bay Unit research site and planning a follow-on test. DOE may exercise a Phase 2 option to establish temporary production facilities, so that work is not yet assured. The effort builds on the existing research site and drilling agreement.

- The potential Phase 2 option decision is a key procurement milestone; contractors should distinguish the awarded Phase 1 scope from the optional production-facility work.
- Companies with relevant field-testing, site-maintenance, or production-facility capabilities can assess how their offerings align with the stated phases and related field-testing requirements.
- The award provides a five-year framework for the work, while the option structure leaves the scale of follow-on activity dependent on DOE’s decision.

**Jurisdictions:** federal
**Industries:** Energy & Utilities
**Published:** October 13, 2026

### Government Entities
- U.S. Department of Energy (DOE)
- Hydrocarbons and Geothermal Energy Office (HGEO)
- Alaska Department of Natural Resources
- U.S. Geological Survey (USGS)

### Vendors
- ASRC Consulting and Environmental Services, LLC (ACES) (Awardee)
- Arctic Slope Regional Corporation Energy Services Alaska, Inc. (AES) (Drilling-agreement party and research collaborator)
- Hilcorp Alaska (Drilling-agreement party)

### Sources
- [Energy Department Awards $49.8 Million to Advance Methane Hydrate Production Research on Alaska North Slope | Department of Energy](https://www.energy.gov/hgeo/articles/energy-department-awards-498-million-advance-methane-hydrate-production-research) - Energy Fecm