AK SB194

Creates reduced royalty rates for oil and gas pools in the Cook Inlet sedimentary basin that have not previously been commercially produced, with rates of 0.1% for gas and 5% for oil from January 1, 2025 through December 31, 2027, escalating to 6.25% for oil thereafter through January 1, 2036.

Establishes tiered royalty rates for specific Cook Inlet offshore oil production platforms based on production volume thresholds, ranging from 5% to 12.5% depending on whether production falls below or exceeds specified barrel-per-day levels.

Requires the Department of Natural Resources to prepare and publish an annual report by February 1 detailing all lessees receiving royalty reductions, including lessee names, production volumes, royalty payments received by the state, and exploration activities.

Mandates the Alaska Oil and Gas Conservation Commission to publish an annual report documenting all oil and gas waste cases in the state and actions taken in response, delivered to the legislature by the first day of each regular session.

Takes effect immediately and repeals certain prior royalty reduction provisions while setting the new royalty reduction reporting requirements to expire February 2, 2040.