Only one company bid for a single exploration lease this morning at a state division of oil and gas sale. Bill Barron, division director said the exploration area is on state land on the Iniskin Peninsula area of southwest Cook Inlet near Lake Clark National Park and Preserve. He said the first exploration of the area started in 1902 near Oil Bay and continued through the 1950s.Download AudioBarron said the idea with this first ever sealed bid for competitive exploration was to encourage exploration outside of current state oil and gas lease sale areas. “Far from existing infrastructure, with relatively low or unknown hydrocarbon potential and where there is a higher investment risk to the operator,” Barron said.As he described the more than 168 thousand acre lease site, he opened the bid.“Bidding company is Cook Inlet Energy LLC, minimum work commitment dollar amount, $1,501,000.”Barron says the lease term is 4 years. The licensee will pay a one time fee of one dollar per acre.