Project: Nondalton City Bulk Fuel Facility

Project Description: Complete building a Bulk Fuel Facility for the City of Nondalton. Completion entails three 10,000 Double Wall Fuel Storage Tanks, Piping, Electrical, and Dispensing Equipment. The City has been providing fuel to the community since 2004 via a 2000-gallon fuel truck for heating oil and a 1000-gallon tank/trailer. Evert’s Air Fuel is the primary fuel vendor for Nondalton delivering 2000 gallons per load, in 2021 Alaska Air Fuel has made a couple trips into Nondalton with competitive prices but delivers 3,200 gallons at a time. The City does not have the capacity to accept this size loads. Iliamna Development Corp has the capacity to deliver fuel to Nondalton only in bulk, but with the lack of storage, the City cannot utilize these competitive services. The current heating fuel price in Nondalton as of November 2022 is $8.66 and gasoline is $8.89. If the City has the facility to utilize other competitive vendors and purchase in bulk the cost to the residents would drop dramatically. Throughout the year Air Delivery is dependent on weather during the fall and winter months it can take up to 2 to 4 weeks before a fuel delivery can be made, during the fall and winter months is when the community relies on heating fuel to keep warm. When this occurs the City often must limit residents to 5 gallons per day just to ensure all residents have access to fuel until the next airplane arrives. As the community lives a traditional way of life through hunting, fishing, and gathering it is not realistic to leave the community to practice your traditional ways when households are rationed 5 gallons a day for heating fuel. With the lack of proper fuel storage, the City is not able to accommodate the fuel demand in the community putting residents in fear of water and sewer services from freezing, keeping family war, and has a threat to public facilities like the water treatment plant and school.

People/Organizations responsible for completing these steps: City of Nondalton, Alaska Energy Authority Award

Cost Estimates:

Costs: to Complete $874,638, AEA funded $500,000 need $374,638 to complete project

Timeline: 2 years through summer 2024

Funding Partners: Alaska Energy Authority Award, Denali Commission, Department of Energy

Evaluation Measures:

  • Three 10,000-gall Double Wall Fuel Storage Tanks are built.
  • Increased Fuel Capacity for the Cit of Nondalton.
  • Decreased cost of fuel for residents.
  • Increase access to fuel for residents.

Key Project Contact:

Name: Robert Tracey,, (907) 294-2235

Title: Mayor

Organization: City of Nondalton

Questions about the CEDS?

Contact Kristina Andrew

Economic Development Program Manager

(907)-842-5257 ext. 6223

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