Twenty-three exploratory wells were drilled in Alaska in 1981. Ten oil or gas discovery wells were drilled on the North Slope. 154 development and service wells were drilled and completed in the Prudhoe Bay and Kuparuk River fields on the North Slope. Geologic and geophysical field activity increased significantly in 1981, mainly because of increased North Slope activity and for OCS sale preparation in the Bering Sea. Two OCS lease sales were held and the first NPR-A lease sale was held. The State of Alaska continued a series of scheduled state lease sales.--Journal abstract.