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Home My WebLink AboutAIO 010 '-' Image Project Order File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable by direct inspection of the file. A..L 0 0 J 0 Order File Identifier Organizing (done) o Two-sided 1111111111111111111 o Rescan Needed II11III1I1111111111 RESCAN DIGITAL DATA OVERSIZED (Scannable) D Maps: o Other Items Scannable by a Large Scanner o Color Items: o Greyscale Items: D Diskettes, No. D Other, NolType: o Poor Quality Originals: OVERSIZED (Non-Scannable) o Other: D Logs of various kinds: NOTES: , , Date: 7. I c¡ f) b ~ther:: 111 fl P BY: C Maria) /s/ ýV\ : () Project Proofing 1111111111111111111 BY: C Maria ì I I Date:7. t ~ () b Q Isl ~ = TOTAL PAGES ~ \ 3 (Count does not include cover sheet) Jf\A 0 Isl , ' \ Scanning Preparation BY: \_ Maria ") x 30 = + Date: 7/1 ~ / 0" 1111111111111111111 Production Scanning Stage 1 Page Count from Scanned File: ~ } LJ- (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: V YES , Maria) Date: 7 ( '9 / ð to Stage 1 If NO in stage 1, page(s) discrepancies were found: YES NO Isl M J) NO BY: BY: Maria Date: Isl II " 111111111111111 Scanning is complete at this point unless rescanning is required. ReScanned 1111111111111111111 BY: Maria Date: Isl Comments about this file: Quality Checked 11I1111111111111111 10/6/2005 Orders File Cover Page.doc . . INDEX AREA INJECTION ORDER NO. 10 MILNE POINT UNIT 1. July 28, 1986 2. August 15, 1986 3. 4. 5. 6. 7. ---------------- September 15, 1986 September 15, 1986 September 15,1986 November 4, 1986 8. February 1, 1988 9. September 3, 1991 10. September 19, 1991 11. September 21, 1991 12. October 28, 1991 13. November 7, 1991 14. April 20, 1994 15. September 19, 1995 Conoco's Request for Injection Order Notice of Hearing, affidavit of mailing Various Letters Sign in sheet Testimony, Protest, Transcript Map Letter from Burd re: termination ofEPA Emergency Permits at the Milne Point Unit (KRU) Ltr from Conoco from AOGCC AIO Application Attendance Sheet Notice of Hearing, Affidavit of Publication Conoco's Request for AIO Application Fax from Conoco regarding Injection Fluid Ltr from BP to AOGCC re: AIO 10 9/19/86, Amended 12/30/91 order Letter from BP regarding AIO AREA INJECTION ORDER #10 -"'"'\;J ~. STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 3001 Porcupine Drive Anchorage, Alaska 99501-3192 Re: THE REQUEST of BP Exploration ) (Alaska), Inc. to amend Area ) Injection Order NO.1 0 for the ) Milne Point Unit. ) ) Area Injection Order No.1 0 Milne Point Unit Kuparuk River field September 19, 1986 Amended December 3D, 1991 Amended May 3, 1994 Amended November 13, 1995 IT APPEARING THAT: 1. Conoco Inc (Conoco) requested the Alaska Oil and Gas Conservation Commission to issue an Area Injection Order permitting the underground injection of fluids within the Milne Point Unit for purposes of enhanced hydrocarbon recovery. 2. Notice was published in the Anchorage Daily News on August 15. 1986 of an opportunity for a public hearing on September 15, 1986, and an opportunity for a public hearing on October 22, '199í in the Anchorage Times and the Anchorage Daily !'Jews on September 21, 1991. 3 On August 22., ·';986, thE:: Commission ¡eceiveå a ietter from J. Lindauer, Publisher, Barro'v\' Sun Newspaper, protesting the granting of subject order and requested that a pUDîic hearing be held on Ule matter. No protests were filed regarding the S-epternber 3, 1991 application by Canoco to amend Area Injection Ordeí No.1 O. 4. On September 15, 1 ~86, the Commission heid a hearing as noticed and requested. The hearing record was closed upon adjournment. Area Injection Order NO.1 0, authorizing enhanced recovery injection operations within the Kuparuk River Ojl Pool of the Milne Point Unit, was granted on September 19, 1980. By letter and documents dated September 3, 1991! Canoce sought to Hmend Area injeciion ()rder No. 10 to ¡nclude enhanced recovery operations for the Scl-Irader Bluff Oil ?ool of the Milne Point Unit, iesulting in the issuance of an amendod Aiea injection Order No. 10 dated iJecember 30, 1991. 5. On January 1, 1994, I3P Exp!·')ration (Alaska), Inc. (BP}.J\) became sole opeiator of the Milne Point Unit Area Injection Order No. 1~'~ November 13, 1995 ' Page 2 '~ 6. By letter dated April 20, 1994, BPXA requested expansion of the affected area and revision of Finding 3 to reflect the change in operatorship of the Milne Point Unit. Area Injection Order No. 10 was revised in response to this request on May 3, 1994. 7. By letter dated September 19, 1995 PBXA again requested expansion of the affected area to include five PBXA operated leases located at the periphery of the current affected area and for which delineation drilling has demonstrated economically feasible development potential. FINDINGS: 1. There was no substantive protest to issuance of the requested area injection order. 2. An order permitting the underground injection of fluids on an area basis, rather than for each injection well individually I provides for efficiencies in the administration and surveillance of underground fluid injection operations. 20 AAC 25.460 provides the Commission with the authority to issue an order governing underground injection operations on an area basis. 3. The Schrader Bluff Oil Pool and the portion of the Kuparuk River Oil Pool underlying the Milne Point Unit constitute a compact "project area" which can readily be described by governmental subdivisions. As of January 1, 1994 PBXA is the sole operator of underground injection activities in the Project Area. 4. The Project Area includes all existing injection wells and injection well sites planned for enhanced recovery of oil from that portion of the Kuparuk River Oil Pool and the Schrader Bluff Oil Pool. 5. The vertical limits of injection strata and confining formations may be defined in the ARGO Alaska, inc West Sak River State well NO.1 and the Conoco Milne Point Unit A-1 well. 6. The strata into which fluids are to be injected will accept fluids at injection pressures which are less than the fracture pressure of the injection strata and their confining formations. 7. Statewide regulations and conserJation orders govern field operations except as modified by this order. 8. To ensure that fluids injected are confined to injection strata, the mechanical integrity of injection 'Neils should be demonstrated periodically and monitored routinely for disclosure of possible abnorma!ities in operating conditions. Area injection Order No. ¡'~ November 13, 1995 Page 3 '-~' 9. Injection wells existing on the date of this order were constructed and completed in accordance with regulations which conform to the requirement of 20 AAC 25.412. 10. The operator has requested a variance to 20 AAC 25.030(g)(3) which requires running a CBL in injection wells. Since the CBL is the main method of establishing MIT Part II, the requested variance is not acceptable. 11. PBXA is the operator of the five leases proposed for inclusion in the Area Injection Order No. 10 affected area in the September 19, 1995 correspondence with the Commission. 12. The enhanced recovery operations (Class II) PBXA proposes to undertake in the proposed expansion are an extension of, and will conform with, engineering practices employed in the adjacent Milne Point Unit. 13. Rule 8 of Area Injection Order NO.1 0 provides the Commission with the authority to amend the order, where appropriate, if such action will not increase the risk of fluid movement into an underground source of drinking water. NOW, THEREFORE, IT IS ORDERED THAT the rules hereinafter set forth govern Class" underground injection operations in the following described area referred to in this order as the affected area: UMIAT MERIDIAN T12N R10E T12N R11E T13N R9E T13N R10E T13N R11E T14N R9E T14N R10E Sections 1,2,11, &12 Sections 1 through 12 Sections 13, 14,23 & 24. All Sections. Sections 5,6,7,8, 15, 16, 17, 18, 19,20,21,22,27,28,29, 30,31,32,33, & 34. Sections 11, 12, 13, 14, 15,22,23,24,25,26,27,34,35, & 36 Sections 15,16,17,18,19,20,21,22,27,28,29,30,31,32, 33, 34, & 35 Rule 1 Authori~ed1Di~çtion Strata fOi Enhanced Recovery Within the affected area, non-hazardous fluids may be injected for purposes of pressure maintenance and enhanced oil recovery into strata defined as those strata which correlate with the strata found in the Conoca MHne Point Unit well No. A-1 between the measured depths of 4,174 feet and 4,800 feet and the ARCO Alaska, Inc West Sak River State we!1 N~. 1 between the measured depths of 6,474 feet and 6,880 feet. Area Injection Order No. 'Il~ November 13, 1995 Page 4 .~ Rule 2 Fluid Injection Wells The underground injection of fluids must be; 1) through a well permitted for drilling as a service well for injection in conformance with 20 AAC 25.005; 2) through a well approved for conversion to a service well for injection in conformance with 20 AAC 25.280; or 3) through a well that existed as a service well for injection purposes on the date of this order. Rule 3 MonitorinQ the Tubing/Casing Annulus Pressures The tubing/casing annulus pressure of each injection well must be checked weekly to ensure there is no leakage. The tubing/casing annulus must not be allowed to exceed a pressure which will subject the casing to a hoop stress greater than 70% of the casing's minimum yield strength. Rule 4 ReportinQ the Tubing/Casing Annulus Pressure Variations Tubing/casing annulus pressure variations of more than 200 psi between consecutive pressure readings made when injecting under steady state conditions of fluid temperature, rate, and pressure, must be reported to the Commission on the first working day following tile observation. Rule 5 Demonstration of Tubing/Casing Annulus MechanicallnteQritv A schedule must be developed and coordinated with the Commission which ensures that the tubing/casing annulus for each injection well is pressure tested prior to initiating injection and at least once every four years thereafter. A test surface pressure of 1500 psi, or, 0.25 psilft multiplied by the vertical depth of the packer, whichever is greater; but not to exceed a hoop stress greater than 70% of the casing's minimum yield strength. The test pressure must be held on the tubing/casing for 30 minutes with no more than a 10% decline. Alternative EPA approved methods may also be used, with Commission approval; including but not necessarily limited to timed-run radioactive tracer surveys (RTS), oxygen activation logs (OAL) temperature logs (TL) and noise logs (NL). Wells with tubing-ta-casing communication must be surveyed or logged every other year and wells which demonstrate mechanical integrity every fourth year. The Commission must be notified at ¡east 24 hours in advance to enable a representative to witness pressure tests or the application of alternative methods. Rule 6 Welllntegritv Failure Whenever operating pressure observations or pressure tests indicate pressure communication or leakage of any casing~ tubing or packer, the operator must immediately cease injection: notify the Commission, and obtain approval for corrective action. Area Injection Order No. 'i~ November 13. 1995 Page 5 '-'" Rule 7 PluQQing and Abandonment of Fluid Injection Wells An injection well located within the affected area must not be plugged or abandoned unless approved by the Commission in accordance with 20 AAC 25.105. Rule 8 Administrative Action Upon request, the Commission may administratively amend any rule stated above as long as the operator demonstrates to the Commission's satisfaction that sound engineering practices are maintained and the amendment will not result in an increased risk of fluid movement into an underground source of drinking water. DONE at Anchorage, Alaska and dated September 19, 1986; First Amendment December 30, 1991; Second Amendment May 3, 1994. I hird e [lent embe 3, 1995 ------------ /;æ:.i,~~Il1 ~~ -v I" 11~ ~ "',,1-/# G\y ~·..,~W·, IIf' ~~"".". . .(..~ ,1ft ¿::: T . ~.¡?~ çÿ~¡:,>" ~.' Ù· , . Øfi1J,.", .to ~~ . C'~".{~~.';' . ' n· ~ ~~. ...!htt"',~ ~ ,\';, . ~ -- ".Z>\:t. \' '\ ~-~.·-'1ftil; ~~~, -s,·....,l,1V JI. ~:\.~/ Al" ----- ~~"/' rl(/~'T ~-'o,}" _ I. ...,. .......,~~ Russell A. Douglass, Commissio Alaska Oil and Gas Conservation ommission .í:t~ X$~- ¡':~~rman Babcock, Commissioner Alaska Oil and Gas Conservation Commission AS 31.05.080 provides that within 20 days after receipt of written notice of the entry of an order, a person affected by it may file with the Commission an application for rehearing. A request for rehearing must be received by 4:30 PM on the 23rd day following the date of the order, or next working cay if a holiday or weekend, to be timely filed. The Commission shall grant or refuse the application in whole or În part within 10 days. The Commission can refuse an application by not acting on it within the 10-day period. All affected person has 30 days from the date the Commission refuses the application or mails (or otherwise distribLites) an order upon rehearing, both being the fin a: order of the Commission, to appeal the decision to Superior Court. Where a request for rehearing is den~ed by nonaction of the Commission, the 30-day period for appeal to Superior Court runs from the date un which the request is deemed denied (i.e., 10th day after the application for rehearing was filed). ----- ~ -.~ .r~~\. /1/ '(\....,..; STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 3001 Porcupine Drive Anchorage, Alaska 99501-3192 Re: THE REQUEST of CONOCO INC for an Area Injection Order for the Milne Point Unit. ) ) ) ) Milne Point Unit Kuparuk River field Area Injection Order NO.1 0 September 19, 1986 Amended May 3, 1994 IT APPEARING THAT: 1. Conoco Inc (Conoco) requested the Alaska Oil and Gas Conservation Commission to issue an Area Injection Order permitting the underground injection of fluids within the Milne Point Unit for purposes of enhanced hydrocarbon recovery. By letter and documents dated September 3, 1991, Conoco sought to amend Area Injection Order NO.1 0 to include enhanced recovery operations for the Schrader Bluff Oil Pool of the Milne Point Unit. 2. Notice was published in the Anchorage Daily News on August 15, 1986 of an opportunity for a public hearing on September 15, 1986, and an opportunity for a public hearing on October 22, 1991 in the Anchorage Times and the Anchorage Daily News on September 21, 1991. 3. On August 22, 1986, the Commission received a letter from J. Lindauer, Publisher, Barrow Sun Newspaper, protesting the granting of subject order and requested that a public hearing be held on the matter. No protests were filed regarding the September 3, 1991 application by Conoco to amend Area Injection Order NO.1 O. 4. On September 15, 1986, the Commission held a hearing as noticed and requested. The hearing record was closed upon adjournment. 5. On January 1, 1994, BP Exploration (Alaska), Inc. became sole operator of the Milne Point Unit. 6. By letter dated April 20, 1994, BP Exploration requested expansion of the affected area and revision of Finding 3 to reflect the chanQe in operatorship of the Milne Point Unit. FINDINGS: 1. There was no substantive protest to issuance of the requested area injection order. Area Injection Order No. '~ May 3, 1994 [September 19, 1986] Page 2 -~ 2. An order permitting the underground injection of fluids on an area basis, rather than for each injection well individually, provides for efficiencies in the administration and surveillance of underground fluid injection operations. 20 AAC 25.460 provides the Commission with the authority to issue an order governing underground injection operations on an area basis. 3. The Schrader Bluff Oil Pool and t[T]he portion of the Kuparuk River Oil Pool underlying the Milne Point Unit constitute[s] a compact "project area" which can readily be described by governmental subdivisions. As of January 1, 1994 BP Exploration (Alaska), Inc. [Conoco] is the sole operator of underground injection activities in the Project Area. 4. The Project Area includes all existing injection wells and injection well sites planned for enhanced recovery of oil from that portion of the Kuparuk River Oil Pool and the Schrader Bluff Oil Pool. 5. The vertical limits of injection strata and confining formations may be defined in the ARCO Alaska, Inc West Sak River State well NO.1 and the Conoco Milne Point Unit A-1 well. 6. The strata into which fluids are to be injected will accept fluids at injection pressures which are less than the fracture pressure of the injection strata and their confining formations. 7. Statewide regulations and conservation orders govern field operations except as modified by this order. 8. To ensure that fluids injected are confined to injection strata, the mechanical integrity of injection wells should be demonstrated periodically and monitored routinely for disclosure of possible abnormalities in operating conditions. 9. Injection wells existing on the date of this order were constructed and completed in accordance with regulations which conform to the requirement of 20 AAC 25.412. 10. The operator has requested a variance to 20 AAC 25.030(g)(3) which requires running a CBl in injection wells. Since the CBl is the main method of establishing MIT Part II, the requested variance is not acceptable. NOW, THEREFORE, IT IS ORDERED THAT the rules hereinafter set forth govern Class II underground injection operations in the following described area referred to in this order as the affected area: UMIAT MERIDIAN T13N T13N T13N T14N T14N R9E R10E R11E R9E R10E Sections 13, 14, 23 & 24. All Sections. Sections 5,6,7,8,15,16,17,18,19,20,21,22,29,30,31 & 32. Sections 11, 12, 13, 14, 15, 22, 23, 24, 25, 26, 27, 34, 35,c& 36 Sections 15, 16,17,18,19,20,21,22,27,28,29,30,31,32,33,34, & 35 Area Injection Order No...."...' May 3, 1994 [September 19, 1986] Page 3 '~ Rule 1 Authorized Injection Strata for Enhanced Recovery Within the affected area, non-hazardous fluids may be injected for purposes of pressure maintenance and enhanced oil recovery into strata defined as those strata which correlate with the strata found in the Conoco Milne Point Unit well No. A-1 between the measured depths of 4,174 feet and 4,800 feet and the ARCO Alaska, Inc West Sak River State well NO.1 between the measured depths of 6,474 feet and 6,880 feet. Rule 2 Fluid Injection Wells The underground injection of fluids must be: 1) through a well permitted for drilling as a service well for injection in conformance with 20 AAC 25.005; 2) through a well approved for conversion to a service well for injection in conformance with 20 AAC 25.280; or 3) through a well that existed as a service well for injection purposes on the date of this order. Rule 3 Monitoring the Tubing/Casing Annulus Pressures The tubing/casing annulus pressure of each injection well must be checked weekly to ensure there is no leakage. The tubing/casing annulus must not be allowed to exceed a pressure which will subject the casing to a hoop stress greater than 70% of the casing's minimum yield strength. Rule 4 Reporting the Tubing/Casing Annulus Pressure Variations Tubing/casing annulus pressure variations of more than 200 psi between consecutive pressure readings made when injecting under steady state conditions of fluid temperature, rate, and pressure, must be reported to the Commission on the first working day following the observation. Rule 5 Demonstration of Tubing/Casing Annulus Mechanical Integrity A schedule must be developed and coordinated with the Commission which ensures that the tubing/casing annulus for each injection well is pressure tested prior to initiating injection and at least once every four years thereafter. A test surface pressure of 1500 psi, or, [assuming a 0.465 psi/ft geo-pressure gradient, a surface pressure that imposes a differential pressure gradient across the casing of] 0.25 psi/ft [at] multiplied by the vertical depth of the packer, whichever is greater; but not to exceed a hoop stress greater than 70% of the casing's minimum yield strength. The test pressure must be held on the tubing/casing for 30 minutes with no more than a 10% decline. Alternative EPA approved methods may also be used, with Commission approval; including but not necessarily limited to timed-run radioactive tracer surveys (RTS), oxygen activation logs (OAL), temperature logs (TL) and noise logs (NL). Wells with tubing-to- casing communication must be surveyed or logged every other year and wells which demonstrate mechanical integrity every fourth year. The Commission must be notified at least 24 hours in advance to enable a representative to witness pressure tests or the application of alternative methods. Rule 6 Well Integrity Failure Whenever operating pressure observations or pressure tests indicate pressure communication or leakage of any casing, tubing or packer, the operator must immediately cease injection, notify the Commission, and obtain approval for corrective action. Area Injection Order No':---J May 3, 1994 [September 19, 1986] Page 4 '~ Rule 7 PluQQinQ and Abandonment of Fluid Injection Wells An injection well located within the affected area must not be plugged or abandoned unless approved by the Commission in accordance with 20 AAC 25.105. Rule 8 Administrative Action Upon request, the Commission may administratively amend any rule stated above as long as the operator demonstrates to the Commission's satisfaction that sound engineering practices are maintained and the amendment will not result in an increased risk of fluid movement into an underground source of drinking water. DONE at Anchorage, Alaska and dated September 19, 1986; First Amendment December 30, 1991; Second Amendment May 3, 1994. . - ----- an ation Commission ~¡J Russell A. Douglass, Commi loner Alaska Oil and Gas Conservation Commission /Î, . !;. -; (9 / f'¡,,({ ¡ [£1 :fV' );{.A/1A:-~/~ T/uckerman Babcock, Commissioner Alaska Oil and Gas Conservation Commission AS 31.05.080 provides that within 20 days after receipt of written notice of the entry of an order, a person affected by it may file with the Commission an application for rehearing. A request for rehearing must be received by 4:30 PM on the 23rd day following the date of the order, or next working day if a holiday or weekend, to be timely filed. The Commission shall grant or refuse the application in whole or in part within 10 days. The Commission can refuse an application by not acting on it within the 10-day period. An affected person has 30 days from the date the Commission refuses the application or mails (or otherwise distributes) an order upon rehearing, both being the final order of the Commission, to appeal the decision to Superior Court. Where a request for rehearing is denied by nonaction of the Commission, the 30-day period for appeal to Superior Court runs from the date on which the request is deemed denied (i.e., 10th day after the application for rehearing was filed). ~- -- STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 3001 PORCUPINE DRIVE ANCHORAGE, ALASKA 99501-3192 Re: THE REQUEST OF CONOCO INC ) for an Area Injection Order for ) the Milne Point Unit. ) Area Injection Order No. 10 Milne Point Unit Kuparuk River Field September 19, 1986 Amended December 30, 1991 IT APPEARING THAT: 1. Conoco Inc (Conoco) requested the Alaska Oil and Gas Conservation Commission to issue an Area Injection Order permitting the underground injection of fluids within the Milne Point Unit for purposes of enhanced hydrocarbon recovery. ~ letter and documents dated September 3, 1991 Conoco sought to amend Area Injection Order No. 10 to include enhanced recovery operations for the Schrader Bluff Oil Pool of the Milne Point Unit. 2. Notice was published in the Anchorage Daily News on August 15, 1986 of an opportunity for a public hearing on September 15, 1986, and opportunity for a public hearing on October 22, 1991 in the Anchorage Times and the Anchorage Daily News on September 21, 1991. 3. On August 22, 1986, the Commission received a letter from J. Lindauer, Publisher, Barrow Sun Newspaper, protesting the granting of subject order and requested that a public hearing be held on the matter. No protests were filed regarding the September 3, 1991 application by Conoco to amend Area Injection Order No. 10. 4. On September 15, 1986, the Commission held a hearing as noticed and requested. The hearing record was closed upon adjournment. Area Injection Ord~ No. 10 December 30, 1991 [September 19, 1986] Page 2 ~~ FINDINGS: 1. There was no substantive protest to issuance of the requested area injection order. 2. An order permitting the underground injection of fluids on an area basis, rather than for each injection well individually, provides for efficiencies in the administration and surveillance of underground fluid injection operations. 20 AAC 25.460 provides the Commission with the authority to issue an order governing underground injection operations on an area basis. 3. The Schrader Bluff Oil Pool and t [T] he portion of the Kuparuk River Oil Pool underlying the Milne Point Unit constitutes a compact "project area" which can readily be described by governmental subdivisions. Conoco is the sole operator of underground injection activities in the Project Area. 4. The Project Area includes all existing injection wells and injection well sites planned for enhanced recovery of oil from that portion of the Kuparuk River Oil Pool and the Schrader Bluff Oil Pool. 5. The vertical limits of injection strata and confining formations may be defined in the ARCO Alaska, Inc West Sak River State well No. 1 and the Conoco Milne Point Unit A-I well. 6. The strata into which fluids are to be injected will accept fluids at injection pressures which are less than the fracture pressure of the injection strata and their confining formations. 7. Statewide regulations and conservation orders govern field operations except as modified by this order. 8. To ensure that fluids injected are confined to injection strata, the mechanical integrity of injection wells should be demonstrated periodically and monitored routinely for disclosure of possible abnormalities in operating conditions. 9. Injection wells existing on the date of this order were constructed and completed in accordance with regulations which conform to the requirement of 20 AAC 25.412. Area Injection OrdWNo. 10 December 30, 1991 [September 19, 1986] Page 3 -' 10. The operator has requested a variance to 20 AAC 25.030(~)(3) which requires running a CBL in injection wells. Since the CBL is the main method of establishin~ MIT Part II, the requested variance is not acceptable. NOW, THEREFORE, IT IS ORDERED THAT the rules hereinafter set forth govern Class II underground injection operations in the following described area referred to in this order as the affected area: UMIAT MERIDIAN T13N T13N T13N R9E R10E R11E Sections 13, 14, 23 & 24. All Sections. Sections 5, 6, 7, 8, 15, 16, 17, 18, 19, 20, 21, 22, 29, 30, 31 & 32. Injection Strata for Enhanced Recovery Rule 1 Authorized Within the affected area, non-hazardous fluids may be injected for purposes of pressure maintenance and enhanced oil recovery into strata defined as those strata which correlate with the strata found in the Conoco Milne Point Unit well No. A-1 between the measured depths of 4,174 feet and 4,800 feet and the ARCO Alaska, Inc West Sak River State well No. 1 between the measured depths of 6,474 feet and 6,880 feet. Rule 2 Fluid Injection Wells The underground injection of fluids must be: 1) through a well permitted for drilling as a service well for injection in conformance with 20 AAC 25.005; 2) through a well approved for conversion to a service well for injection in conformance with 20 AAC 25.280; or 3) through a well that existed as a service well for injection purposes on the date of this order. Rule 3 Monitoring the Tubing/Casing Annulus Pressures The tubing/ casing annulus pressure of each injection well must be checked weekly to ensure there is no leakage. The tubing/casing annulus must not be allowed to exceed a pressure which will subject the casing to a hoop stress greater than 70% of the casing's minimum yield strength. Area Injection Order/No. 10 December 30, 1991 [September 19, 1986] Page 4 -- Rule 4 Reporting the Tubing/Casing Annulus Pressure Variations Tubing/ casing annulus pressure variations of more than 200 psi between consecutive pressure readings made when injecting under steady state conditions of fluid temperature, rate, and pressure, must be reported to the Commission on the first working day following the observation. Rule 5 Demonstration of Tubin~/Casin~ Annulus Mechanical Integrity A schedule must be developed and coordinated with the Commission which ensures that the tubing/casing annulus for each injection well is pressure tested prior to initiating injection and at least once every four years thereafter. A test surface pressure of 1500 psi, or, [assuming a 0.465 psi/ft geo-pressure gradient, a surface pressure that imposes a differential pressure gradient across the casing of] 0.25 psi/ft [at] multiplied by the vertical depth of the packer, whichever is greater; but not to exceed a hoop stress greater than 70% of the casing's minimum yield strength. The test pressure must be held on the tubing/ casing for 30 minutes with no more than a 10% decline. Alternative EP A approved methods may also be used, with Commission approval; includin~ but not necessarily limited to timed-run radioactive tracer surveys (RTS), oxy~en activation logs (OAL), temperature lo~s (TL) and noise logs (NL). Wells with tubing-to-casing communication must be surveyed or logged every other year and wells which demonstrate mechanical inte~rity every fourth year. The Commission must be notified at least 24 hours in advance to enable a representative to witness pressure tests or the application of alternative methods. Rule 6 Well Inte~rity Failure Whenever operating pressure observations or pressure tests indicate pressure communication or leakage of any casing, tubing or packer, the operator must immediately cease injection, notify the Commission, and obtain approval for corrective action. Rule 7 Plugging and Abandonment of Fluid Injection Wells An injection well located within the affected area must not be plugged or abandoned unless approved by the Commission in accordance with 20 AAC 25.105. Area Injection Orcì~ No. 10 December 30, 1991 [September 19, 1986] Page 5 c~' Rule 8 Administrative Action [Relief] Upon request, the Commission may administratively amend any rule stated above as long as the operator demonstrates to the Commission's satisfaction that sound engineering practices are maintained and the amendment will not result in an increased risk of fluid movement into an underground source of drinking water. DONE at Anchorage, Alaska and dated September 19, 1986 and amended December 30, 1991. ( \~- Commission ~ .--, ~~ STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 3001 Porcupine Drive Anchorage, Alaska 99501-3192 Re: THE REQUEST OF CONOCO INC. ) for an Area Injection Order) for the Milne Point Unit ) Area Injection Order No. 10 Milne Point Unit Kuparuk River Field September 19, 1986 IT APPEARING THAT: 1. Conoco Inc. (Conoco) requested the Alaska Oil and Gas Conservation Commission to issue an Area Injection Order permitting the underground injection of fluids within the Milne Point Unit for purposes of enhanced hydrocarbon recovery. 2. Notice was published in the Anchorage Daily News on August 15, 1986 of an opportunity for a public hearing on September 15, 1986. 3. On August 22, 1986, the Commission received a letter from J. Lindauer, Publisher, Barrow Sun Newspaper, protesting the granting of subject order and requested that a public hearing be held on the matter. 4. On September 15, the Commission held a hearing as noticed and requested. The hearing record was closed upon adjournment. FINDINGS: 1. There was no substantive protest to issuance of the requested area injection order. 2. An order permitting the underground injection of fluids on an area basis, rather than for each injection well individually, provides for efficiencies in the adminis- tration and surveillance of underground fluid injection operations. 20 AAC 25.460 provides the Commission with the authority to issue an order governing underground injection operations on an area basis. Area Injection""".cder No. 10 Page 2 September 19, 1986 -- ~- 3. The portion of the Kuparuk River Oil Pool underlying the Milne Point Unit constitutes a compact "project area" which can readily be described by governmental subdivisions. Conoco is the sole operator of under- ground injection activities in the Project Area. 4. The Project Area includes all existing injection wells and injection well sites planned for enhanced recovery of oil from that portion of the Kuparuk River Oil Pool. 5. The vertical limits of injection strata and confining formations may be defined in the ARGO Alaska, Inc. West Sak River State well No.1. 6. The strata into which fluids are to be injected will accept fluids at injection pressures which are less than the fracture pressure of the injection strata and their confining formations. 7. Statewide regulations and conservation orders govern field operations except as modified by this order. 8. To ensure that fluids injected are confined to injec- tion strata, the mechanical integrity of injection wells should be demonstrated periodically and monitored routinely for disclosure of possible abnormalities in operating conditions. 9. Injection wells existing on the date of this order were constructed and completed in accordance with regula- tions which conform to the requirement of 20 AAC 25.412. NOW, THEREFORE, IT IS ORDERED THAT the rules hereinafter set forth govern Class II underground injection, operations in the following described area referred to in this order as the affected area: UMIAT MERIDIAN T13N R9E T13N R10E T13N RIlE Sections 13, 14, 23 & 24 All Sections. Sections 5,6,7,8,15,16,17,18,19, 20, 21, 22, 29, 30, 31 & 32. Area Injection~rder No. 10 Page 3 September 19, 1986 ~...-- ~- Rule 1 Authorized Injection Strata for Enhanced Recovery Within the affected area, non-hazardous fluids may be injected for purposes of pressure maintenance and enhanced oil recovery into strata defined as those strata which correlate with the strata found in the ARCO Alaska, Inc. West Sak River State well No.1 between the measured depths of 6,474 feet and 6,880 feet. Rule 2 Fluid Injection Wells The underground injection of fluids must be: 1) through a well permitted for drilling as a service well for injection in conformance with 20 AAC 25.005; 2) through a well approved for conversion to a service well for injection in conformance with 20 AAC 25.280; or 3) through a well that existed as a service well for injection purposes on the date of this order. Rule 3 Monitoring the Tubing/Casing Annulus Pressures The tubing/casing annulus pressure of each injection well must be checked weekly to ensure there is no leakage. The tubing/casing annulus must not be allowed to exceed a pressure which will subject the casing to a hoop stress greater than 70% of the casing's minimum yield strength. Rule 4 Reporting the Tubing/Casing Annulus Pressure Variations Tubing/casing annulus pressure variations of more than 200 psi between consecutive pressure readings made when injecting under steady state conditions of fluid temperature, rate, and pressure, must be reported to the Commission on the first working day following the observation. Rule 5 Demonstration of Tubing/Casing Annulus Mechanical Integrity A schedule must be devel'oped and coordinated with the Commission which ensures that the tubing/casing annulus for each injection well is pressure tested prior to initiating injection and at least once every four years thereafter. A test surface pressure of 1500 psi, or, assuming a 0.465 psi/ft geo-pressure gradient, a surface pressure that imposes a differential pressure gradient across the casing of 0.25 psi/ft at the vertical depth of the packer, whichever is greater; but not to exceed a hoop stress greater than 70% of the casing's minimum yield strength. The test pressure must be held on the tubing/casing for 30 minutes with no more than a 10 percent decline. The Commission must be notified at least 24 hours in advance to enable a representative to witness pressure tests. ,~f Area Injection"~der No. 10 Page 4 September 19, 1986 -- Rule 6 Well Integrity Failure Whenever operating pressure observations or pressure tests indicate pressure communication or leakage of any casing, tubing or packer, the operator must immediately cease injection, notify the Commission, and obtain approval for corrective action. Rule 7 Plugging and Abandonment of Fluid Injection Wells An injection well located within the affected area must not be plugged or abandoned unless approved by the Commission in accord- ance with 20 AAC 25.105. Rule 8 Administrative Relief Upon request, the Commission may administratively amend any rule stated above as long as the operator demonstrates to the Com- mission's satisfaction that sound engineering practices are maintained and the amendment will not result in an increased risk of fluid movement into an underground source of drinking water. DONE at Anchorage, Alaska and dated September 19, 1986. Commission '9 ~~ Lonnie C. Smith, Commissioner Alaska Oil & Gas Conservation Commission 1Iw: W. W. Barnwell, Commissioner Alaska Oil & Gas Conservation Commission Telecopy No. (907) 276-7542 February 10, 1988 ADM I N I S T RAT I V E A P PRO V A L N O. 10.2 -- - Re: Amend Rule 2 of Area Injection Order (AID) No. 10 T R Painter Division Hanager ConocD Inc 3201 "e" Street, Suite.200 Anchorage, AK 99503-2689 Dear Nr Painter: We have received your letter of February 1, 1988 requesting modi.fication to Rule 2 of AIO No. 10. The modification requested would a110\'1 pumping of excess non-hazardous fluids developed from well operations or those necessary to control the fluid level of reserve pits into surface/production casing annuli. Aquifer Exemption Order No. 2 has exempted all aquifers lying beneath the Milne Point Unit for Class II injection activities. Therefore, Rule 2 of AlO No. 10 is amended to read: Rule 2 -Eluic.l InJectior!- Wells The underground injection of fluids must be: 1) through a new well that has been pertnitted for drilling as a service well for inj ec-tiolJ. in conforma.nce with 20 MC 25.005; 2) through a.n ~x~£._tJn.8. [A] "tolell _tha~þa~~een approved for conversion tõ a service. well for injection in conformance with 20 MC 25.230; or 3) through D. w~ll tl1at f~X:Lstf.;d as a service Wt~ll for injection purposes on the date of this order. PU~...Eing of exceßB n~n- !la:::a~do~8~~u~ds tha~ ar~ _~c:...vel_~~-;-EoleJ+_£r~m .well.: o~~r(:t~ons-L or nt;~C(~"Sdr) to contrel the fluid Itvel 0:- rf:.,erve ~~_, lnto ·surfaèeLProductiol:;-casìng-ã-:-n.nul i isexempted fi"õîñthe. above-- !e~I~r-¡;I!1~~f~. -------- ------ - - -------------- Síþ8crely,. /' . / -J A> \/,' :;-" "((;<I'~Ü Lonnie C '. Smi th Commissioner jo/3.M AIO 10 Telecopy No. (907) 276-7542 October 28, 1986 ADM I N 1ST RAT I V E A P PRO V A L N O. 10.1 --- Re: Amend Rule 6 of Area Injection Order (AID) No. 10 Mr. John R. Kemp Division Manager Conoco Inc. 3201 lie" Street, Suite 200 Anchorage, AK 99503-2689 Dear Hr. Kemp: The Commission has determined that Rule 6 of AID No. 10 as set forth is unclear as to the Commissionts intent. Therefore, Rule 6 is amended to read: Rule 6 Well Integrity Failure Whenever operating pressure observations or pressure tests indicate pressure communication or leakage of any casing, tubing or packer, the operator mllst [Ir.1.NEDIATELY CEASE INJECTION,] notify the Commission on the first working d.ay folIo-wing the obs(~rvéJ.tion, [AND] obta.in Courrnission approvHJ.. [FOR CORRECTIVE ACTION] of d plan for corrective action, and when an USDW is not _endar~~rëd, - obtain c¿C?lTI!TIiss ion a.£.EEova} tõ fonti~ue inj ection. - )_ifD j e~..e ~I'¡;;.. ,. .>-. /".. / . ( / . / //; Ç;;./'I;~/ í!/- l . .: .'!'- --- . / ,,--- ,/ . ( y! ¡: /. ///. , ¿:.' c. v. clìãtterton Chairman jo/3.AA AIO 10.1 #15 ~ rêOMM ~ : COMM ~ ¡ -I 'GOMM p~ ,RES ENG ; SR ENG -NRO . SR GEQ.LAPrt ~ GEOL ASsf . _~ ßTATTECH. 3 ~-~~-J '_.êT A T_iECH~.. J Mr. David W. Johnson, Chairman-~ Alaska Oil and Gas Conservation Commission ~i 3001 Porcupine Drive _J. Anchorage, Alaska 99501-3192 . RE: Milne Point Unit, AREA INJECTION ORDER 10, september£!ft;--,._l 1986, Amended December 30, 1991 and May 3, 1994 '- '---" BP EXPLORATION BP Exploration (Alaska) Inc. 900 East Benson Boulevard P.O. Box 196612 Anchorage, Alaska 99519-6612 (907) 561-5111 September 19, 1995 Dear 1\,1r. Johnson: BPXA is operator of five leases adjacent to the southeast side of the Milne Point Unit (ADLs 380109, 380110, 375132, 375133, and 28232). These leases include the Cascade discovery area which is currently under development and an area south of H Pad which is currently producing. It is our intention to request from the Alaska Department of Natural Resources expansions of the Milne Point Unit and its participating areas to all or a portion of these lands when appropriate. To inject water into these areas, your approval is requested to administratively amend AREA INJECTION ORDER 10 under its Rule #8 to include: UMIAT MERIDIAN T12N R10E T12N R11E T13N R11E Sections 1, 2, 11, and 12 Sections 1 through 12 Sections 27,28,33, and 34 All other terms of AREA INJECTION ORDER 10, as amended May 3, 1994, are to remain the same. Please contact me at 564-5232 if you or your staff have any questions or require additional information. RECEi\tED SEP 2 7 1995 2:/4 Bruce J. Policky Milne Point Unit Ex / Ala 10 Expansion Alaska Oil & Gas Cons. Commission Anchorage cc:. "-- c.~' M. Bendersky B. Cunningham E. Dixon J. Dillon B. McMullen B. Policky S. Rossberg Rt~~ E', \1£ D sEP 2. ì 1995 ~\as\(a 0\\ & Gas Cons. Commission Anchorage #14 ~. -..~...- BP EXPLORATION BP Exploration (Alaska) Inc. 900 East Benson Boulevard P.O. Box 196612 Anchorage, Alaska 99519-6612 (907) 561-5111 April 20, 1994 Mr. David W. Johnson, Chairman Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE: Milne Point Unit, AREA INJECTION ORDER 10, September 19, 1986, Amended December 30, 1991 Dear Mr. Johnson: On March 2, 1992, the Milne Point Unit (MPU) was expanded to 71,153 acres by including seven additional leases to the northwest. Exploration operations in this expanded Unit area (the Northwest Milne #1 and No Point #1 wells) have been successful. In the near term, we are planning to drill the L-14 producer and L-15 water injector into the expanded area. These wells will be tract operations pending our future application to the Alaska Department of Natural Resources for an expansion of the Kuparuk River participating area. We anticipate that the Kuparuk River participating area expansion will include portions of four of the seven leases. -' Therefore, to timely inject water into the L-15 well, which will support the L-13 producer and other future wells, your approval is requested to administratively amend AREA INJECTION ORDER 10 under its Rule #8 to include the following four lease area: UMIAT MERIDIAN T14N R9E T14N R10E Sections 11, 12, 13, 14, 15, 22, 23, 24, 25, 26, 27, 34, 35, & 36. Sections 15, 16, 17, 18, 19, 20, 21, 22, 27, 28, 29, 30, 31, 32, 33, 34, & 35. In addition, in FINDING #3, the operator name should be updated to BP Exploration (Alaska), Inc. rather than Conoco. All other terms of AREA INJECTION ORDER 10, as amended December 10, 1991, are to remain the same. A colored lease and Unit map is enclosed for your convenience. Please contact me at 564-5672 or Bruce Policky, Exploitation Manager, at 564-5232 if you or your staff have any questions or require additional information. Sincerely, !Qa~~o~ · Milne Point Unit Asset Manager IAIO 10 Amendment cc: OXY USA, Inc., Mr. Don Romine Rtc.t\\ltt) ~ _ 9 \<ð<dðc o \J comm\Ss\ot\ O' \ &. Gas con$. p.,\~s'a \ (1.t\cnotage '@f) ''-' .- POINT UNIT LASKA - MILNE NORTH SLOPE, A LOCATION ~:U'O/l' SEA y.......--- -?' D CHU~CH ~~'r' St" "" :~ ~ ALASlG4 ' fZ~~ -. .........,.., ;/ » ~ (1j ^ ø> 2 ~ ~ z 5" (ì) C') ~ I ::r C"") <.0 o 0 þJ::¡ -" ~ ~ c..o C') c..o å ..þ. 5!. () ff (). Schrader .Blu ~ ~ Participating A Kupar.uk ~iver rea [J ParticIpating A M Tract Number ® - Unit Boundary , ~ ct o < I 1 .5 - ---- @ ~ "--- ~ @ ADL355019 @ @ .. ADL255020 ® Mll.N~~~'~ ~ ~~ ~ ' , ""'" v --= .-: ADl355016 , ADL355021, " , @ . ® V\? R9E Rile RLOE npt1y. 3194, LM12042 81')( - Cørtogr ~ (, ) ) 01: 22P¡'1 B. P. I:..Xt-'LUI"<H I lUI"I 1'1.1LI"I~ I"'""U..LI'II ~ '~ SP El'plor~tìo~ (Alaska) Inc. 900 Sast len~n Boulevard P.O. Bole 1986'2 Anc/'lOtage, Aläaka 99519·15812 (90?) &G~·6H1 BP EXPLORATION April 20, 1994 Mr. David W. Johnson. Chairman Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501·3192 RE: Milne Point Unit, AREA INJECTION ORDER 10t September 19, 1986, Amended December 30, 1991 Dear Mr. Johnson: On March 2, 1992. the Milne Point Unit (MPU) was expanded to 71,'53 acres by including seven additional leases to the northwest. Exploration operations in this expanded Unit area (the Northwest Milne #1 and No Point #1 wells) have been successful,. In the near term, we are planning to drill the L·14 producer and L·15 water injector into the expanded area. These wells will be tract operations pending our future application to the Alaska Department of Natural Resources for an expansion of the Kuparuk River participating area. We anticipate that the Kuparuk River partioipating area expansion will include portions of four of the seven leases. Therefore, to timely inject water into the L·15 well, which will support the L..13 producer and other future wells, your approval is requested to adm,inistratlvely amend AREA iNJECTION ORDER 10 under its R'ule #8 to include the following four lease area: UMIAT MFFunlAN T14N Rge Sections 11, , 2, 13, 14, 15, 22, 23, 24, 25, 26, 27, 34, 35, & 36. T14N A10E Sections '5,18,17,18,19,20,21,22,27.28,29,30,31,32,33,34, & 35. . In addition, In FINDING #3, the operator name should be updated to BP Exploration (Alaska), Inc. rather than Oonooo. All other terms of AREA INJECTION ORDER 101 as amendedCecember 10.1991, are to remain the same. A colored lease and Unit map is enclosed for your convenience. Please contact me at 564·5672 or Bruce Policky, Exploitation Manager, at 564·5232 if you or your staff have any questions or require additional information. Sincerely. JM \M..uJ,Ja. Howard J. Mayson Milne Point Unit Asset Manager IAIO 10 Amendment· ;-} - . 1. r~· ¡ \ /' ?::- r l' JUN 06 1994 f.\IUk¡ UII Q \;JQ;) uUIl::). ~ummiss,on AncltQrage - co: OXV USA, Inc., Mr. Don Romine III'X - ~~ . ;MM, ""'12IÞI/I - ~ I ISJ I-" .. N N -c 3 tt ""'( I' ,- ~ (T )< ""'( r '" c A I - I- ç -" I- r :; r ì C !: -' - IJJ .þ. 'II ~ C ~ :z -tS) IJì RUIi I I 1 , ADl ADl , fJil1.439 ,.31S~6 ~·:~0 7..4 -::::: 9'-\ç- ~Ç::,.~ '~, RIDE R9E " -~,~ A0l355022 --@l I . ® --.. -:-;- ~- __pt~UNIT ADI..355O?1_. _ : ADl355O\G @) ADL35S020 @ ADL.355019 @ \" @).. I "'':J...:~:: "-':^",,~...:..::. -:.. :.-,;,~"'::~;,;'\,;". '~.~,:~ ::'~-:!O':'>"::':~-:;": -:......~-c....: *l.. 3 Mi8B _ I " .5 0 I. ~ I f771 Schrader Bruff rLLI Par1lclpBl:lng Area F"7I l<uparuk River L-.J Partlcipaling Area ® Tract Number - Unit Boundary ! ~ Q: o ~ I .... '"'\:'--"" ~D ;"'''~CJl'r . s.(... USSR ~ 0' ~!:A...t'G". Sf'" L..OC.\l1C7ft MAP NORTH SLOPE, ALASKA - MILNE POINT UNIT -® .~ #13 __7- c---..-- ~o,.t~):o ) .r--- Conoco Inc. Suite 200 3201 C Street Anchorage. AK 99503 (907) 564-7600 November 7, 1991 Mr. Blair Wonzel! Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE: Milne Point Unit - Schrader Bluff Pool Area Injection Order Application Dear Mr. Wonzel!: Attached are the suggested modifications to the subject application, dated September 3, 1991. Please replace the original pages 14, 15, 16 and 17 with the attached pages. Copies of these modifications have been sent to all interested lease holders listed in Section C. Please contact me at (907) 564-7615 if you have any questions or require additional information. Yours very truly, ,; .~~.- {/ ~~,-",-:",-------:J , ~"-~~\ Steven L. Deckert Senior Reservoir Engineer RECEIVED SLDj(lms) File 500.21.02 NOV - 8 1991 Alaska Oil & Gas Cons. CommissijlO Anchoraga Attachments cc: State of Alaska, DNA, Jim Eason Arco Alaska Inc., Jim Ruud Chevron U.S.A., Inc., Tom Cook BP Exploration Alaska Inc., Pete Zseleczky Texaco Exploration, E.H. Nelson Amerada, P.E. Bacon Exxon Co. USA, Stuart Gustafson Chevron U.S.A. Inc., Dale Santii OXY USA Inc., G.N. Buttram ~Ol\,-,CO ) Conoco Inc. Suite 200 3201 C Street Anchorage, AK 99503 (907) 564-7600 November 7, 1991 Mr. Blair Wonzel! Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE: Milne Point Unit - Schrader Bluff Pool Area Injection Order Application Dear Mr. Wonzel!: Attached are the suggested modifications to the subject application, dated September 3, 1991. Please replace the original pages 14, 15, 16 and 17 with the attached pages. Copies of these modifications have been sent to all interested lease holders listed in Section C. Please contact me at (907) 564-7615 if you have any questions or require additional information. Yours very truly, (~. ~~~~"'---~ ~~~ Steven L. Deckert Senior Reservoir Engineer SLDj(lms) File 500.21.02 Attachments cc: State of Alaska, DNR, Jim Eason Arco Alaska Inc., Jim Ruud Chevron U.S.A., Inc., Tom Cook BP Exploration Alaska Inc., Pete Zseleczky Texaco Exploration, E.H. Nelson Amerada, P .E. Bacon Exxon Co. USA, Stuart Gustafson Chevron U.S.A. Inc., Dale Santii OXY USA Inc., G.N. Buttram ""- --==V '0-.-" SECTION J Injection Fluid (continued) 20 AAC 25.402(c) (9) Compatibility With Formation and Confining Zones - Water sensitivity tests on core samples showed no significant problems with formation plugging or clay swelling. Prince Creek, Schrader Bluff Pool, and Kuparuk formation water are compatible with the receiving and confining zones as noted in Figure J-4. The Milne Point Central Facility Pad (CFP) will process the produced and injected water. Scale and corrosion inhibition chemical treatment takes place at the CFP. Scale and corrosion monitoring will continue with operation of the Schrader Bluff Pool. Treatment will be varied to maintain optimum water injector operation and ultimate hydrocarbon recovery. B. TYPE OF FLUID - Miscellaneous water (including non-hazardous surface water) and associated surfactantsjsolvents used in the washing and cleaning of the facility, equipment within the facility, motor vehicles and other items related to the production of oil at Milne Point. Volumes will be very low and should not exceed 10 bblJday. 14 ·v_ ~ SECTION J Injection Fluid (continued) 20 AAC 25.402(c) (9) Analysis of Composition of Fluid - Clean-up water with minor amounts of surfactants / solvents. Source of Fluid - Potable surface water used in clean-up operations. Estimated Maximum Amount to be Injected - 10 BPD. Compatibility with Formation and Confining Zones - Full compatibility with fresh water. Miscellaneous water will be diluted to very small percentage of the injection stream. 15 ....../ ~ SECTION K Injection Pressure 20 AAC 25.402(c) (10) The estimated average wellhead injection pressure is 500 psig. This will be well below the equivalent formation parting gradient. Note that the A-3 Step Rate Test was terminated at an equivalent gradient of 0.66 ps i/ft , Figure L-1. The well did not fracture at the maximum test gradient. The injection wells will be operated in such a manner that the bottomhole injection pressure will not exceed the tested non-fracturing gradient of 0.66 psi/ft. The Operator will supply the AOGCC with evidence of a higher non-parting gradient, in the form of a Step Rate Injection Test or Fracture Stimulation Initial Shut-in Pressure, before increasing the injection pressure above this prescribed limit. The maximum wellhead injection pressures will be varied by well to account for formation depth variations across the field to insure that formation parting gradient will not be exceeded. Schrader Bluff Pool true vertical depth subsea tops vary from approximately 3400 to 4400 feet. 16 -~"'r ~-¿ SECTION L Fracture Information 20 AAC 25.402(c) (11) Normal water injection operations for the Schrader Bluff Pool will entail injecting below an equivalent gradient of 0.66 psi/ft. Step Rate Injection Tests and fracture stimulation data were used in determining the equivalent formation parting gradient. Based on instantaneous shut-in pressure (ISIP) data obtained prior to hydraulic fracture stimulations of Schrader Bluff completions, the fracture gradient of the formation was determined to range from 0.62 to 0.70 psi/ft. These fracture gradients were calculated by the following formula: F.G. = {ISIP + (0.052*P*H)} JH where, F.G. - fracture gradient, psi/feet ISIP - instantaneous shut-in pressure, psi P - density of injection fluid, ppg H - true vertical depth of top perforation, feet The ISIP data and corresponding calculated fracture gradient are summarized in the attached table. 17 NOV 7 '91 8:28 FROM CONOCO ANC ENG/EXPL PAGE.001 ~ .,~ CONOCO INC. DATE: FROM: CITY/STATE: REQUEST FOR FACSIMILE November 7, 1991 Steven L. Deckert Anchorage, Alaska ****************************************************************************** TO: COMPANY: CITY/STATE: Blair Wonzel1 Alaska 011 & Gas Conservation Commission Anchorage, Alaska FAX *: 276-7542 NO. OF PAGES: *******************************************Å**~*~*******~***~******~****~***** COVER + 3 ******************************************~~**~*~***************************** SPECIAL INSTRUCTIONS: RfCîEIVED NOV 71991 ~.Rll.A G~s Cons.__ ~~l~ ~cbºraøø·- ,.¡>~.. _. ****************************************A~***Å*************************Å***~** FAX REPLY NUMBER: (907) 564-7655 Please notify my secretary) Linda Starrt at (907) 564-7611 if transmission 1s incomplete or illegible. NOV 7 '91 8:28 FROM ~ONOCO ANC ENG/EXPL PAGE.002 ~ SECTION J Injection fluid (continued) 20 AAC 25.402(c) (9) Compatibility With Format.ion. _and_ Confining Zone~ - Water sensitivity tests on core samples showed ·no significant problems with formation plugging or clay swelling. Prince Creek, Schrader Bluff Pool, and Kuparuk formation water are compatible with the receiving and confining zones as noted in Figure J-4. The Milne Point Central Facility Pad (CFP) will process the produced and injected water. SCale and corrosion inhibition chemical treatment takes place at the CFP ~ Scale and corrosion monitoring will continue with operation of the Schrader Bluff Pool. Treatment wi1l be varied to maintain optimum water injector operation and ultimate hydrocarbon recovery. B. _TX.PE- OE~ FLUID - MisceUaneous water Øncluding non-hazardous surface water) and associated surfactants/solvents used in the washing and cleaning of the facility, equipment within the facility, motor vehicles and other items related to the production of oil at Milne Point. Volumes will be very low and should not exceed 10 bbljday. RfCEIVED 14 Nav Î 1991 A1askaOil.& Gas Cons. CJ!.~ Anchorage ; -~'. NOV 7 '91 9:29 FROM CONOCO ANC ENG/EXPL ï PAGE.008 - .~ SECTION J Injection fluid (continued) 20 AAC 25.402(0) (9) Analysis of composition of Fluid .. Clean·up water with minor amounts of surfactants/solvents. ~9IJr9'_ 9t.~l.Jid - Potable surface water used in clean-up operations. Estimated Maximum Amount to be .Injected - 10 BPD. Compatibility with Formation and Confining Zones .. Fun compatibility with fresh water. Miscellaneous water will be diluted to very small percentage of the injection stream. R~CEIVED NOV 71991 ðlaska OU & Gas Con~ ç.oJ1\_tma ¡ I Anchorage. : 15 16 NOV 71991 ~ DJlA Gas Con& kQ,mmtUfafJ '·'.l"l,¡; ðnchQra~" J"-" REGEIVED be exceeded. Schrader Bluff Pool true vertical depth subsea tops vary from approximately 3400 to 4400 feet. formation depth variations across the field to insure that formation parting gradient will not limit. The maximum wellhead injection pressures will be varied by well to account for Initial Shut-in Pressure, before increasing the injection pressure above this prescribed The estimated average wellhead injection pressure is 500 pslg.. This will be well below the eqUiVaJen, t, for~~~n/~,~r~~~tn,~o",!f-o.~,)I., iJt,tf¡,Ii~tr O,f,!è~tll!Q, ~~f- Ir- <ß t~ -J.p:;-f 'Ffcp ú. re L -I, drd r\ (j f f;áJ.. c... {- [.~, ~e o! " ,~ þY( --~ Jt: ; , '( I I / ~ .~~ $'-r 7 (cl ~,~ tÆ'f , The injection wells will be operated in such a manner that the bottomhole injection f 0 'SI-pd A 0 lit fì- CD d=u ' ~ pressure win not exceed the~ivalù~f~rmati"", tJØI ti..y gradient of 0.66 psi/ft. The 0;"" h '1.h e r ~, 96.. fee Operator will supply the AOGCC with evidence of aneqÞw,,~ðfr-«ic~p~gradient .greaterthoA-OJS6-pôilf4;.jn -the form of a Step Rate Injection Test or Fracture Stimulation Injection Pressure 20 AAC 25.402(0) (10) SECTION K ',,-./ "-' PRGE.ØØ4 NOV 7 '91 9:30 FROM CO NO CO RNC ENG/EXPL '--- ,-,' SECTION L Fracture Information 20 AAC 25.402( c) (11) Normal water injection operations for the Schrader Bluff Pool will entail injecting below an equivalent gradient of 0.66 psi/ft. Step Rate Injection Tests and fracture stimulation data I· were used in determining the equivalent formation parting gradient. r - I ! . Based on instantaneous shut-in pressure (ISIP) data obtained prior to hydraulic fracture stimulations of Schrader Bluff completions, the fracture gradient of the formation was determined to range from 0~62 to 0.70 psi/ft. These fracture gradients were calculated by the following formula: L F.G. = {ISIP + (O.052*P*H)} /H f" i where, F.G. - fracture gradient, psi/feet ISIP - instantaneous shut-in pressure, psi P - density of injection fluid, ppg H - true vertical depth of top perforation, feet The ISIP data and corresponding calculated fracture gradient are summarized in the attached table. 17 #12 '1,' ~ --- (CO( .)CO) David l. Bowler Division Manager Conoco Inc. Suite 200 3201 C Street Anchorage, AK 99503 \ October 28, 1991 Mr. David W. Johnston Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE: Milne Point Unit - Schrader Bluff Pool Area Injection Order Application Dear Mr. Johnston: Attached please find proof of receipt of the Waterflood Application by all interested parties listed in Section C of the subject application. Enclosed are copies of the signed Registered Mail receipts. The attached is being forwarded to the Commission as stated in the cover letter of the subject application. Should you have any questions regarding this matter, please contact Steve Deckert of this office at 564-7615. Yours very truly, ~~~ David L. Bowler Division Manager SLD jlms RECEIVED OCT 31 1991 'SS\Oì Alaska on & Gas Cons. CoJßm\ Anchoragè Attachments File: 500.21.02 ~dÆ~ - ~;Þ øJ ~;¡µ Me \~ ~..':Þ'~ ,'..', *' ~'... . '." .,,""... ..'-...".... ' . '~"'''''''''''''''_''''''_~,^J''''''''''''''''J"...~"-,_~~.,. . . " - - . . ~ -. '," " ~. ." ,. . . ",..,. . ^ . ,~ " - . " "',~,", . , . . :"".'~ "''''f~ '~~('.,,..(...I'-:-:-~..,..,..... . SENDER: Complete items 1 and 2 when additional services are desired, and complete Iterr. and 4. Put your address In the "RETURN TO" Space on the reverse side. Failure to do this will prevent.. card from being returned to you. The returr rQÇelDt fee will provide YOU the name of the Der~ . delivered to and the date of dellv'1ry. For additional fees the following .ervlc8I are available. Con... postmaster for fees and check box(es) for addltlonalservlce(.) requested. 1. 0 Show to whom delivered, date, and addressee's addren. 2. 0 Re.trlcted Delivery t(Extra charge)t . tIExt,acharge)t 3. Article Addressed to: 4. Article Number \l J ;-Ç/ ,: u_______.¡ f 71--¿""Z;11 >- f~' state of Alaska i Type of Service: Dept of Natural Resources:, ØRegistered,. 0 Insured ([j Certified' .' 0 COD Attn: Jim Eason 0 Express Mall 3601 C street Anchorage, Alaska 99503 5. Signature - Addressee X 6. Signature - ~ jen X I 7. Date of DeliVery 1- ~1 PS Form 3811, Mar. 1987 * U.S.G.P.O. 1987.178-268 1 ~~,~ ""1" .... ..,....................--..:--'.....~...·..---....-.............-"._.r,........._ ~ ~ii:"'.~c .;,"....:"';.;. , '. ,." ..-...r..,...,,,,.............~,.':o(I,":,(.,,(\,f'!-t'\"\.t:.....,...~:~: '.'1 ~ """;'1"-~'.' "~'~:"'-('o~..:.....'t':''"l'7'''. Alaska Inc. Attn: Jim Ruud P.o. Box 100360 Anchorage, Alaska 0360 I ¡ I ¡ 99510-1 I 5. Signature - Addressee X 6. Si9. nature -.. - Age,.en.' . ..... X.a... m~~·· 7. O.'-:,6~II~ /6W: PS Form 3811, Mar. 1987 . U.S.G.P.O. 1987-178-268 ¡::~'rlf.''J~rr:.-r.,.1r".~:r..t'·r,1..:,'(.·'~\~·.~ <..,~,.,~,,"~ " ~ Always obtain signature of addressee or agent and DATE DELIVERED. 8. Addressee's Address (ONL Y if requeste,?:~ fee paid) DOMESTIC RETURN RECEIPT .'; . SENDER: Complete Items 1 and 2 when additional servIces are desired, and complete Items 3 1 p ta~~u~' address In the "RETURN TO" Space on the reverse side. Failure to do this will prevent this c~rd from being returned to you. The return recelDt fee will provide YOU the name of the person delivered to and the date of dellv9rv. For eddltlonal feel the following services are available. Consult \' pOltmaster for fee. and check box(es) for addltlonalservlce(s) requested. 1. 0 Show to whom delivered, date, and add renee's address. 2. 0 Restricted Delivery t (Extra charge) t t (Extra charge) t , 3. Art~~~<l.dro"od '0:________ - - 4. Art¡C'~FT?o~ 2- ý l.( ç 1z.. Chevron u. S . A. Inc. ~e,f Sorvico: . Attn: Dale santii ARegistered 0 Insured 11111 s. Wilcrest 0 Certified 0 COD o Express M¡¡II Houston, Texas 77099 ~~~us~~ Always rt~~~ addressee or ager . anLATE(~)\1 ~ RED. 5X' ~igr ~e _Addre.~s~ I 8. Ad! ~ff JWd~ (Q Y if ..' 0_ 9' -o¡ / reqé~£fð'1d'fe[ijid ~, ( ~ ¡i1.,uro-Agon' __.~.. 7 ~# 7. Date of Delivery .SENDER: Complete Items 1 and 2 when additional services are desired, and complete Items 3 and 4. . Put your address In the "RETIJRN TO" Space on the reverse side. Failure to do thIs will prevent this card from being returned to you. Th~ return recelDt tee will provlçle yOU the name of the p~rson d~Uvered ~9 and the date 91 devery. For additional fees the following services are avaJlable.Consult postmaster for fees and check box(es) for additional servlce(s) requested. .' . 1. O. Show to whom delivered, date, and addressee's address. 2. 0 Restricted D~lIvery t(Extra charge)t t(Extr4,chargejt ·3. Article Addressed to: 4. Article Number tp?o~ f.;.;'; 4~ s:Be; ( !!J R~gistered 0 Insured o Certified 0 COD o Express Mall I I 11 ; t ( } 1\ .11 PS Form 3811, Mar. 1987 I !"'--""- ('~~'''~''''/lII-. * U.S.G.P.O. 1987-178·268 ...,..,....,.._........w".J......._.._,....,_,_..__...,.... . . ..~ _ " ~... ......'. w ~ ..... ..... '" . ~;J",?ER: Complete Iteml1 and 2 when addItIonal services are desired, and complete Items 3 PU~Yfur a%d~ess In the "RETURN TO'" Space on the reverse sIde. Failure to do this w/Uprevent this car ,rom 8 ng returned to you. The retur'1 receipt fel" wl'l provide You ~h.e name of the Der n dellverqd ~of Qnfd tht¡1 ~ate of d~lIv,ry. For additional fees the .folloWlng.le.. ..r...v...I.C8s ar.e. avallab...le C. on:~t postmaster. or ees and check box(ea) for additional servlce(s) requested.:;' . .1. 0 Show to whom delivered, date, and addressee's address. 2.0 Restricted· Delivery' . _ t(Extra charge)t ' .,. t-(Extracharge)t' . 3. Article Addressed to: 4. Article Number --------------·--\1 "P 71 z.;'~'-z, ýý ·,,5"10 TYPe of Service: I2!P Aeglstere~;,;..·O Insured o Certlfled~~'i;ì:::, ·,'0 COD.' o Express,Mall ,,' .Always obtain 'signature of addressee .~ agent and DATE DELIVERED. 'f.~.. .Addre.s...see.·'.s......A. d. dress (ON. ,L......y.........i.r¡. ' 5. Signature - Addressee .,' ,., requested and fee paid) .. .......' X ~'" ....:: ' " """,', - ' , , , ,··.·;·:;·;~,i,:;.;.:"..:,DI: fJ . , 6. ~9'at~rl. t~.r. .0 - Ag.~ \ (] :':~,~;i~~;tIVE ~ ~~,~ \-\~Q~~. QQMesr;1? R~TUR:t heb%:!1r, PS F~rm 3811, Mar. 1987 * U.8.0.P.0.1987-17"280 ._ ..~!~~~a .011 ~_Ga$ Cons. (;ommis'sion ...__._"._.,__ ßnchorage , 11 I! 11 ( I , I I' BP Exploration Alaska Attn: Pete Zseleczky P.O. Box 196612 Anchorage, Alaska 99519- 6612 . . DOMESTIC RETURN RECEIPT Always obtain signature of addressee or agent and DATE DELIVERED. 8. Addressee's Address (ONt Y if requested and fee paid) DOMESTIC RETURN RECEIP' AIVlÌays'o~talns¡gnatureof addressee' or agentancjDATE DEt.IVERED. ; 6. Signature _ Addressee B:åJ~~~~iffl~~,;I;'ì.!V' lJD" i :. Slgn'ture - Ag,nt ";:il:>' ',', :. ,V J: : X ¡¿ Alas~!~ti~::'!io~-I:~ ::: ::::::.19B7(~ . C Drage I .....__.__..."..........._._.. , .,-, ..,;.,-:.......................... .SENDER: Complete Items 1 enq:l wh.n additional .ervlc.. ar.. d~i~~d,and complete Item. 3 P and 4. ddress In the" RETU RN T(;)" Spece on the rever.e .Id.. Failure to do thl. will prhev.nt thl. . ut your a h ecth?t f.e will provide vou the name of t . D.rson ~~~?V::dmt:~I~~ :~~u~~:: o~o d~~~9r~. ;6~~~8IiJonal fe.. the following '.~Ice' ore available. Con.ult postmaster for fees and check box(es) for ,d~ltlonal, ··~áce(.) re~u~·~.t~i~ted Delivery 1. 0 Show to whom delivered, date, and ad "...., a r.... . t('E trilchQrge)t t (Extra charge)t . x 3. Article Address~~ to:__ _ _ _ "\ 4. Article Number L1' 'ð 8 rCnevron u. S . Ä. Inc · I f 7 I 7 - 7- ,,/-. S' ø ; Attn: Tom Cook . g:eOfservlce: P 0 BOX 107839 ,Registered · · ì Certified' Anchorage, AK 99510-7839; 0 Express Mall Always obtain signature of addressee or agent and DATE DELIVERED. 8. þ'~~ressee's Address (ONL Y if requested and fee paid) I, , j i~ :( .:-1 ~, l.' ~il~ ~ ,', o Inšur~d o COD 5. Signature - Addressee X Age, a.-. Ivery í- G~ 1:/ . * U.S.G.P.O. 1987·178·268 DOMESTIC RETURN RECEIPT PS Form 3811, MaI. 1987 ~,....,......,('~',.,..,....--~-- ,--" . . - '. . . ~ ~ ..... - -. ,. - __'A_....................... ~...~·~_·.....__.R ~;;::;:~:::i.¿;'",.".~c, . .SENDER: Complete Itemstand 2 whet"! additional services arede.lred,< and complete Items 3 and 4. Put your address in the" A ETU RN TO" Space on the reverse side. Failure to do thl. will prevent this card from being returned to. you. The return receipt fee will p,,;)Vlde you the 118me of the person de.."vereq to and the date of de'.lv~rv.. For add. Itlonal fees the fOllOWing. .... r,.v.:...I.,C,. e. 8. reo avall..a. b, .11..e..........,...Con.l.Ilt postmaster for fees and check box(es) for additional servlce(s) request.d"",j:"',, ,., >" 1. 0 Show to whom delivered, date, and addressee's address. ~.O Restrlçted Delivery;; t(Extra charge)t \ ' t.(Extr4Charge)t,i, !, ¡f"ICIO-Addre"ed to:___ 4, Article NU~ber 4 :1 Texaco Exploration P 7 J 7 ¿, 2 ~ 5S~ <'if t t .~e of Servlc~:, ' ,/::1 An. Ms. E. H. Nelson ~~egistered,:~;~' ,I' 0 Insured 'i·,;1 550 w. 7th Ave., Ste 805 0 Certified I :~'\':". 0 COp:;:, ,:::'1 Anchorage, AK 99501-3375 0 Expres$Mall':' , '.;, !:'?::I:I:(":'j r'i':;'\" .i ). Signature - Addressee (;:,{:" ,". ¡~.S....i9 .,..~".~~,e,'" -. nt~.. tC..-.. ..._..,.,.. C·~~c l ,~" ,'" ,II/_ :1I",',i' , , ,', ) '.',..Date of Delivery>.." ,":';\':"1-·//-P/ .,,,: :; Form 3811, Mar. 1987 ' ,'....:» .:.". C,* '. U.S.G.P.O. 1987.178.268 ':,':\;<.':." 'r _.: '.., " ,_. .1I_'~"~"or..t'....'!':~.,..""~,,!,,,,r;':.·.~ ~.. ..' ~ . ."."...."..".._~~.~~.__...-...--___.~___ --.. MO' ... _~_M' _____.._.__....... ..._......_......_-., -___._......M.......M.. ...... i.... . ....' - ~.-.~.~~... 0';':0.. " ~ · j , ¡ I ,. · ~ · I I 1 I I I i .SENDER: Complete Item. , and 2 when additional services are desired, and complete Items 3 and 4. Put your address In the "RETURN TO" Space on the rever.e side. Failure to do this will prevent thli' card from being returned to you. The return receipt fee will provide vou the name of the persOn ~ellvered to and the date of dellv,rx. For additional fe88 the following lervlces are available. Conlult pOltma'ter for feel and check box(es) for addltlonallervlce(s) requested. 1. 0 Show to whom delivered, date, and addressee's address. 2. 0 Restricted Delivery t(Extra charge)t t(Extra charge)t 3. Article Addressed to: () 4. Article Number P\LA6(A D\L A(\O Gt\S \...ÐVV\Ml~ro,j ~ ~ I Q. ~ L\l.\-Q'1 ~ ~ \ \ò-ec.öO\ ùe:-~l.l.)6 Type of Service: J\ ,....."" "'^ - \tt.~-e A.J.. (Y'... ~\ - ~ \ 9 'd . !X-Registered TV'\..:..II'~ U \ ,-. '\ '-T' I G Certified A't"t1J '. fV....ï<- .~A'-.Jio ~D\;hJ.'ð1"O-~ 0 Express Mall o Insured o COD ~ s~w;r:~~ {&v 6. ~nature - Agent X 7,:: 2:J!~~{ 1%':~S'~RO''Þ7017.!Þ Always obtain signature of addressee or agent and DATE DELIVERED. 8. Addressee's Address (ONL Y if requested and fee paid) ( DOMESTIC RETURN RECElp· _._: .\i;.... Þli~ .SENDER: èoml?lIttt Items ,. and 2. when additional services are desired, and complete Items 3 J and 4., . .oo~' Put your address In 'the "RETURN TO" Speoe on the r.verse side. Failure to do this will prevent this card from being returned to you. Th~ returl1 r~çe'Dt fee will prqvlçle vou the name of the person deUvered tQ al')d the date of"Qellv9rv. For additional fe~s the following services are available. Consult POiRslt.r for feel and checkboxC,,) for addrtlonal servlce(.) requested. . 1:·.. . Show to whòrri' dellvered,.dat" f,lnd Qddres8ee'l address. 2. 0 Restricted Delivery .... ,¡ t(E~tra Ch4rgeJt t(Extra' charge)t : '3. Artic(~ Addressed to: .' 4. Article Number : OX,'· \.i ... ~ ç 'l \ .;).. ~ q4 tS ~ ~ 17 ,Type of Service: ('" ~J)E"$ì1\ "1:JR\\/E.I þ\= ~ ~Q~ ~ Regist~ed 0 Insured ~ 0 Certifi~ci~ 0 COD m\p\.A-V\10 \ \){ '-1 <:1101 0 Exp~ess'Mail 4\ttJ ,:\\J elL -;g \JttR.A-iv\' Always obtain signature of addressee or a~ent and DATE DELIVERED. a. Addressee's Address (ONL Y if requested and fee paId) ~o, IÞ7-178-2þ DOMESTIC RETURN RECElp· "",......,.,..,.."..,,..,......... ,i. :~~~E R: ComPletelt~~,~.:i1,~n~~~hena~dltlonal servlces..r:0'i~,f~Jr~d,a~d complete Items 3 ,;Itutyour address In the "RETlJRN TO" Spaêe on the reverse side.' Fa'¡¡~'~~:'\t~ dàthlivvll{preven": this' . \:card from being returned toyou.Th.e re)urp recel~.t fee will provld~'<9U \l'w name Qf the per,on :.'".,;.,:..d;, e. .......'..IVE!rec;f '0 ,nd th~ d~,e. of çle."v~rv. f:.' or. addlt.IOnal f. eel the. .followl.n. .ø"".".'..,.,..r.,..v.. I,' c.,. 8..,....,....e... ..r, .e e'. V. "'_' "...'....._....". b.........I....,..... Con,ult ¡;,::P?tmaster for fees and check box(es) for addItional servlce(s) requen8d.'\\i¡\,ili:i.' ,':' .' ....:;::;.. ,1!i¡"',:.i/:9.+:Sh()w to whom delivered, date, ar:'~ addressee's address. ',2.. (1 RestrIcted Delivery . :~\!:<".':'I ..... . t (Extra charge)t .........'. .... .'.,.' , . .':. t.(Extro charge)t . '" Addressed to: 4. ~'7lw;[ý4;:1 y Exxon Co. USA 'Type of Service:, Attn: stuart Gustafson ~egistere~:\{(,,:",,; 0 Insured P.O. Box 196601B~:~t:~:~1~;;I.:'':D COD Anchorage, Ak 99519-660 R E AIW~ys obtain fJhtture of addressee /1 . .. "tol¡entand D'i'"é DELIVEflED. .. .. eEl V E D ~~ißdre~ ?\-~'~??~~~~~~e;~{$lVLYif ,..9~T .311991 . ~~~~:::::~~P.O"987"7WM D:E~IC REruRN RECEIP:'åS~ .DiI;~~~;r~~~ Commission ~~:~:, Comple.. I"':.~>end 2:~~:~~~'tIO~.' .~rvl~e. '.r:d:~:~·~n:c:~~·I~~ 1_. 3 ~'" .~8nd 4. ~ Pu' your address In the" RETU RN TO" Space on the reverse side. Failure to do this will prevent this {car from being returned to you. The return recelDt fee will provide you the name of the Derlon ~"deUvered to anç! the date of dellv,r'(. For additional fe.. the followIng se.rvlc" ere available. Consult ì:pOAV,ter for fees and check box(8I) for additional servlce(s) fequened. '\'-,',.. -;1. .i Show to whom delivered, date, and oddreuee', oddr.... 2. CJ Restricted Delivery. .,>'" t(Extracharge)t t.(ExtrQchorge)t ~,,~,.....trti,~le Addressed .to: . . 4. Article Num. ber. ", \ :~!~~XðU ~O.l)ÐA·.· ." . 7'\~~L..\L\-~91 ;...:.'.~,...',)".....N, ..'F,....... 1.~~tX\-rcG.l6~.p~.. 1f~e~~::~~çe:· 0 Insured :'\?'~:~O . t:?OX \ 9lt It:O t 0 Certified 0 COD. :.:~~~~c.h~ro.Q.Q( ~ ~c;5 ,c, 0 Express Mall .) '..:, (J Always obtain signature of addressee . , or agent and DATE DELIVEREq. 5. Signature - Addressee 8. Addressee's Address (O!{L Y if X requested and fee paid) , .~-- \ 6. Sig.~aturA - ^oent X "'~-ð 7 . Date of Deljve'~ 4 _. ç_.~ PS Form 3811, Mar. 1987 ;,1< DOMESTIC RETURN RECF . ~f:lrf'.r'f',V;'f""r:"-I-;~-";· ......".,'<, ..".,,~..._..~~'..;'~~.~,·,;,--,~,~:~:"..2di~,~~:~'~~:::.;L.;~~~_:..'~~ ''':''':~l'~~~ ~;~'~_.'ti '"'_ _ '. _ _ " "",0",' ·"rlf"......,."'.,....-..-....,-...-_....-·~··'· _.._......,.._.........._........... _,~.... _" ti...__.~"",,,,. . ...." -.. .. - _..:. - - _:~.- .... --..-,.. . ..,.,~ ~....:',.".".., ;',0," ."" " ". .,'.',,0 .. . .._...~, --, ~. . ." ... ....... ~ -_.-'_"-0. . . ... ;> ~' ~ .SENDER: Complete Items 1 and 2 when additional services are desired, and complete Items'i~ and 4. '. .. Put your address In the "RETURN TO" Sp~ce on the reverse side. Failure to do this will prevent th¡~ card from being returned to you. The return reçelPt fee will provide YOU the nflme of the persol'} delivered to and the date of dellverv. For additional feel the following services are available. Consult postmaster for fees and check box(es) for additional servlce(s) requested. 1. CJ Show to whom delivered, date, and addreSSee's odci~ess. 2. 0 Restricted Delivery t(Extra charge)t t(Extra charge)t 3. Article Addressed to: 4. Article Number Mr. Peter Bacon RB315504992 Amerada Hess Corporation Type of Service:, 1201 Louisiana, Suite 700 0 Registered' 0 Insured Houston, Texas 77002-5681 gcertified 0 COD ., ~ Express Mail . ,¡'...<:,:~~~~"AIWaYs obtain signature of addressee /~~~.~··~:~~~:::-·,f~ \~,agent and DATE De.~!~e.Re..D( ¡f' ~( ~jl,-j.j '},J~;,~Addressee'sAddr~~i(~ ¿..' r"\ ,Jjr,.'.~requested and,.[e~ai~~ ~ " \~~.:~.\.'~' ( :. ,;'\ Î.' ,tl:.:';~:··'.;;'~.,'<f 0 rJ. ~ ~\: :\ \;> ,';~~-~'~'f ",J':/' {., '~,:~': !\I~~1 ~ .~ 2 11991~·.<~~':~~~lj PS Form 3811, Mar. 1987 . * U.S..G.P.O. 1987-178-268 DOMESTtC"RÈ'TO'RN RECEIP1 5. Signature - Addresse~ X~ 6. S.ig~Ur - Agent X ~ 7. D of Delivery ( #11 " \ ~ ~-"--.j -- Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: The application of Conoco Inc. for an Area Injection Order. Conoco Inc. by letter dated September 9, 1991 has applied for an Area Injection Order for the Schrader Bluff Oil Pool in the Milne Point Unit. The order would allow enhanced recovery operations to commence in the Schrader Bluff Oil Pool. A person who may be harmed if the requested order is issued may file a written protest prior to 4: 00 pm October 7, 1991 with the Alaska Oil and Gas Conservation Commission (hereinafter the Commission) , 3001 Porcupine Drive, Anchorage, Alaska 99501, and request a hearing on the matter. If the protest is timely filed and raises a substantial and material issue crucial to the Commission's determination, a hearing on the matter will be held at the above address at 9: 00 am on October 22, 1991 in conformance with 20 AAC 25.540. If a hearing is to be held, interested parties may confirm this by calling the Commission's office, (907) 279-1433 after October 7, 1991. If no protest is filed, the Commission will consider the issuance of an order without a hearing. ~~1a~ Commissioner Alaska Oil and Gas Conservation Commission Published September 21, 1991 o~ 1m ~ --- TIMES .={AGE THE I~ :::1"-.' J ~= 9951~-ØØ4~ £.i¡ ü;.;~· ü ANCHOHAGE Notice of public HearllKJ STATE OF ALASKA Alaska 011 and Gas . eonservqtlon comMIsSion Re: Thé application ofConOCO Inc. for an Arealnlectlon Order. tonoco .If'IC. .. þy~ ;letter . dated sepfembilr ,.1991/hosOPPlled fór an Area Inlectløn~OJ.'der fOr tbe Schrader Bluff 011 . pool~ln the Milne point Unit. The ordêr would allow enhanced recoVerY gperatlons to commence In the Schrader Bluff 011 Pool.. . A personwha ~Y be hàrmed If the requested ørder Is Issued may ,file a written proteSt prior to 4:00 pmOdotler 71 1991,wlth the· Alaska 011 and Gaseonser- vatlon Con'imlsslon (hereloofter the commission).· 3001· Porcu- pine Drivel· AnchOrage. Alaska 99S01. and'r~ a hearing on the matter. Uthe protest Is timelY flledandfàJses a sub- stantial ánd mátéí1al Issue au- clalto ttié commIssion's deter- mlnatlon','O.hearlmJ on the mat- ter will be heldat:the aÞoVead- dress at 9:00 a",on OdoÞer22. 1991. In confølil1ØnceWlth 20 MC 25.540.c If ahlarllKl Is to De h81d.. Interested '.. PortleS ··mav confirm this þy éalllng the COin- mission's office. (907) 279-1G3 otter ()ctober 7,1991. If nO pro- test Is filed. the commission Will consider. the Issuance of the order withoUt a heClrlnO. . . R'UsselíA. ~1aSS. Mr ... .,..~; - ~ ~~~~J;4:~~ u¡~ PUBLICAT AO~~GC 3Ø~1 POfcupine ANCHORAGE~ A PPOOF OF Ø8-:,678 ISSUES ~Q ¡:-.:: 10i "U F ! .i... J. i ; J. Ø9/21!9i AD .:;r in!:. ULY ;:¡; OF A! i HLHtU UN TiJC i ; i- 99:i01 A COpy OF WHICH IS HERETO ~~.!AS PUBLIS~ED IN. I. t S ~ OF THE ANCHORAGE TIMES BEGINNING ON ENDING Or Dr ~ A~7a LINES - - WAS AD THIS DF '":"~::- ~.-:-:Y- ¡¡¡:. ·JiLL ;L~l .;(L.-,~~f·-¿L~ L SIGNED 85 i...) "_I':' __= i i.. ! .:. T ";r· 1:) AD THiS i:.J nc ¡.J.i Nü~~BER THE PHICE iHE AD VED \ RECE SUBSCRIBED AND SWORN TO BEFORE ME THIS í99i 1"""- _ -:.Jcw ¡¡~ DAY -- 1991 & Gas Cons, comm\ss\on Anchorage 26 ~CD vL\ Alaska Oi VoJyJi 1() Ø/7Þv ALASKA STATE OF THE PUBL.IC OF 01 AF\Y ,1.;2Ul'1ll I EXPIHES CGMMISSIDr .. #10975 STOF0330 A0085677 L ~ j)/¡qn~ AFFIDAVIT OF PUBLICATION 8T ATE OF ALASKA. THIRD JUDICIAL DISTRICT, SSe Notice of PubliC - Hearing $TATE:O¡;ALA$I(A, A'askëli~O¡( .11c:f . øas. : Conservation.; Cornmì.sshm ·Re:_t~~~PI'c.âtíon bttCQflóCo ~?~foral)~rêa lnieèti~.5:)i-- :~e~f;~i~¡~Á~~t:i,~~ . Ordrr for.,!t}e'iSchradep 11ft Oil, ~ . - - - he' Milr1eC:Poínt _ Unit.' _ el" woulda1/ow el)hahC;"" Y:~ry-operatiorls to com.m.:the Sçhrader' BIUftOl.. . ~~._.. _.u. ¡ rA"p'ørson,\Yhò, may: b~ . !to ð. r.oin_ , e,.... d,.. _', i..f. '.f_h, e_ .'.r. ~. U_-è.'.st,' ed_ -.-. 0_ rd.er.· ISISSu~'may cfile a'wfitten I J)rof~.sfpriOr; to-~4:00 PIl19cto-, '#er!l,-J~JTwitMhe :~'askª-=Qil--i an(f~-GasÃCO"Sèrvati ,- "~ - :~n~~::ç.i~J~f:~~f!~~, __, ~J Pnve, Anchol'"ë!ge,'Alàs '-, 9950J.anél,:request··. atJèar'iÌ1g , 0." theD?itþer. .,It"t~~épr()tp~~;s ,tlmeIVfllei:f :a e:1Se$'fà;sub. stanti¡;tkànclò'rr '.. e- crU.ci~T: 't9 'ffi - m .~ èIetermil1âtic)fi . . ~--'-.- fherntltferw! abOYe . a'ddr - OdOber' 22 mance with hearing is ,f eel parties· by C:;ðlling offiCe," (907) ! tober? i ·1 filed, the C sider the isstl~ without anh~~ "'. ;r.e.~nifer . (:;~l,lqlJ.i.~.~... being first duly sworn on oath deposes and says that.... ..~~.~...... is the. Legal. .Rep.......of the Anchorage News, a daily newspa- per That said newspaper has been approved by the Third Judi- cial Court, Anchorage, Alaska, and it now and has been published in the English language continually as a daily newspaper in Anchor- age, Alaska, and it is now and during all said time was printed in an office maintained at the afore- said place of publication of said newspaper. That the annexed is a true copy of a... ~.Q. . . ç.dv.ß.r.t. i.R.e.IJJ~lJ. t as it was published in regular issues (and not in supplemental form) of said newspaper on .__9l?L} 99~ __ _ --~-'-_._-'.._- _._-----~ -------~ --- _._0__- ____ ---- and that such newspaper was regularly distributed to its subscri- bers during all of said period. That the full amount of the fee charged for the foregoing publication is not in excess of the rate charged private individuals; ~ . signed ~ ¿tA~--1 ,~'f- Subscribed and sworn to belore h' ",1 fed I '- \..è ;\ ',. .-' ,\.J ,) -- - me tIS.'::·... ay 0 ........:......".....'.:.:... . C, \ 19.'-.'..1. REcEIVED :: :'~:;: ::'::: ~: :~~ ~:~ ~ :~;::~)::: ::': :~(~: :~:':~ ~:~:: :'~ Notary Public In and tor the State of Alaska. Third DMaiOn. Anchorage, Alaska MY COMMISSION EXPIRES .... J.U.L Y. ..3,.. HI .9.9.4.......... ..19..... SEP 27 1991 Alaska on & Gas Cons. Commissten Anchorage #10 L, h~ CONOCO - AOGCC SEPTEMBER 19, 1991 Attendance Sheet Name /lL !lfl577UG 5 'Ð () t.<. Î .úo W Ir L c... 4¡1~ ~hvc'~ S+~NAre-- ,.1 ,( l/ (, ".)/f~ ¡_\ c¡ ¿:;' {J ~, " ~,.' ¡ \. t l"~ , - 0 V'\.-v 1 ù/tvu:1 'Joh:..s~ 11()~CC iPu 5 5 I:> 0 CA. G ¿ A S 5 ;:to ~ L c..... #9 ..-' (cor }CO J ~, David L Bowler Division Manager Conoco Inc. Suite 200 3201 C Street Anchorage, AK 99503 September 3, 1991 Mr. David W. Johnston, Chairman Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE: Milne Point Unit - Schrader Bluff Pool Area I njection Order Application Dear Mr. Johnston: Pursuant to the provisions of 20 MC 25.402, 20 MC 25.460, and Conservation Order No. 255, Conoco Inc., on behalf of the Milne Point Unit Working Interest Owners, hereby applies for the approval of the Alaska Oil and Gas Conservation Commission to establish an Area Injection Order for the Schrader Bluff Pool in the Milne Point Unit. Three copies of this application have been included for your use. Applications for conversion to water injection of five Schrader Bluff Pool wells will follow on Forms 10 - 403. Copies of this application have been sent to all interested lease holders listed in Section C by registered mail with return receipt requested. Copies of these receipts will be forwarded to the Commission when available. Please contact Steve Deckert, Senior Reservoir Engineer, at (907) 564-7615 if you have any questions or require additional information. Yours very truly, ~~/-( Q David L. BO~ Division Manager SLD/SLC File 500.21.02 RI(IIVED SEt.. 51991 1IIIIIIta~"'" .W'- ;:-n. Attachments cc: State of Alaska, DNR, Jim Eason Arco Alaska Inc., Jim Ruud Chevron U.S.A., Inc., Tom Cook BP Exploration Alaska Inc., Pete Zseleczky Texaco Exploration, E.H. Nelson Amerada, P. E. Bacon Exxon Co. USA, Stuart Gustafson Chevron U.S.A. Inc., Dale Santii OXY USA Inc., G.N. Buttram ORIGINAL AREA INJECTION ORDER APPLICATION FOR MILNE POINT UNIT - SCHRADER BLUFF POOL ENHANCED RECOVERY WELLS AUGUST 1991 PREPARED FOR ALASKA OIL AND GAS CONSERVATION COMMISSION PREPARED BY CONOCO INC. MILNE POINT UNIT AREA INJECTION ORDER APPLICATION SCHRADER BLUFF POOL ORIGINAL -- .~ "'-'" MILNE POINT UNIT AREA INJECTION ORDER APPLICATION SCHRADER BLUFF POOL TABLE OF CONTENTS Section/Regulatory Cite Subject Page A. 20 AAC 25.460 Area Injection Order 1 B. 20 AAC 25.402(c) (1) Plat 3 C. 20 AAC 25.402(c) (2) Operators/Surface Owners 4 D. 20 AAC 25.402(c) (3) Affidavit 5 E. 20 AAC 25.402(c) (4) Description of Operation 6 F. 20 AAC 25.402(c) (5) Pool Information 7 G. 20 AAC 25.402(c) (6) Geological Information 8 H. 20 AAC 25.402(c) (7) Well Logs 10 I. 20 AAC 25.402(c) (8) Casing Information 11 J. 20 AAC 25.402(c) (9) Injection Fluid 13 K. 20 AAC 25.402(c) (10) Injection Pressure 16 L. 20 MC 25.402(c) (11) Fracture Information 17 M. 20 MC 25.402(c) (12) Formation Fluid 19 N. 20 MC 25.402(c) (13) Freshwater Aquifer Exemption 20 O. 20 AAC 25.402(c) (14) Hydrocarbon Recovery 21 P. 20 AAC 25.402(d) Mechanical Integrity 22 Q. 20 AAC 25.402(h) Wells within Area 23 R. Conservation Order 225 Legal Description of the 24 Current Schrader Bluff Pool S. 20 MC 25.402(e) Variance Requests 25 20 AAC 25.030(g) Figure Figure B-1 Figure B-2 Figure F-1 Figure F-2 Figure 1-1 Figure 1-2 Figure J-1 a & b Figure J-2 a & b Figure J-3 a & b Figure J-4 Table L-1 Figure L-1 MilNE POINT UNIT AREA INJECTION ORDER APPLICATION SCHRADER BLUFF POOL List of Figures & Tables Title Milne Point Unit Well Plat Milne Point Unit Tract Plat Schrader Bluff Pool Type Log - MPU A-1 M PU Structure Map Top of Schrader Bluff Pool-NA Sand Typical Schrader Bluff Pool Injector Typical Kuparuk River Pool Well Kuparuk Formation Water Analysis Prince Creek Formation Water Analysis Schrader Bluff Formation Water Analysis Mixed Water Compatibility Injection Step Rate Test Injection Step Rate Test A -~ "-' SECTION A Area Injections Order 20 AAC 25.460 Conoco Inc., as operator of the Milne Point Unit (MPU), requests an area injection order be issued for currently proposed and other future injection wells for the enhanced recovery of oil and gas. The area injection order is requested to encompass all lands within the boundary of the MPU/Schrader Bluff Pool, which are coincident. Conoco requests that the order allow Conoco to drill, operate, convert or plug and abandon wells within the MPU by filing Form 10-401 or Form 10-403. The Oil and Gas Conservation Commission may, at its discretion , issue an area injection order if certain requirements are met. The MPU injection operations meet the requirements of 20 MC 25.460(a). Existing wells can be described by one of two well types, Schrader Bluff Pool or Kuparuk River completion. Future wells will be cased and " completed with substantially the same characteristics. Injection wells within the same field are operated by a single operator and are used for other than hazardous waste injection. 1 --. .--- SECTION A (continued) Area Injections Order 20 AAC 25.460 The cumulative effect of drilling and operating additional enhanced recovery injection wells will result in an increase in hydrocarbon recovery. All injection wells will be drilled, constructed, operated, and abandoned in accordance with the Commission rules to contain fluids to the Schrader Bluff Pool. 2 ~ -..."... SECTION B Plat 20 AAC 25.402{ c) (1) Figure B-1 is a plat showing the location of all wells that penetrate the uppermost injection zone within the MPU boundary, Le., the area covered by this area injection order application. Note that two basic well types are depicted; 1). Schrader Bluff Pool wells with a typical TO of approximately 4350' TVOSS and 2). Kuparuk River Pool Wells with a ~. typical TO of approximately 7500' TVDSS. Figure B-2 is a plat showing Milne Point Unit outline, Tracts, and section numbers. 3 l'~lL.L\ji~ i JLJ L if ~ 1ì ~ 1~1 JL 1 NA WELL INTERCEPTS ~J .. , ~.. ~~ .-....1....- f ---..--- I ! '.- [..----.--.-----.----. I , ¡ ""d~~'" .... .---- .~". l . ,,---- 32-14 ~ ....~. .....___._~_____. ~..___....._____1-1 .~-_._- ---...-- --.--....- - .~-........._--_...-_.- _. L" . r---···----·· -.-----..-...--- I ¡ r---I . ",--.-- ... ~5 .___.__ . L - 6 --- l AL·3 ÀL-t0 L-t~L-2 ...................-- N-t N- t R. N-1B --..-..-...-,--- , . .....-.... .... -....---.... ... ,.. . .............______.L_._....___.................._ U. SHPT À ..------.- ....-...- _.__.__.__. _____~_~1J~._.._._..__.. 1. --'c=1" --' ~~ 111 ltl BA ~ C-l t C t 1° ¡,. ¡;.C-2 t-t_~..Ll1'15.1 ~ _ C-B"''' -18 C-16 ----- FIGURE ~ I " . .~ 0-2A .J .;Q(~ a-19\ B-B lB. 1\:~~B-t2 ~ .... B-1'! -to t t¡ ,8-5 B-7~~ ~ß SA B-~_B4. ~1~"t3 E-2 B~2 B-15 CfP-21 32-25 ÂE-B A. ..E-6 Ä.E-.7 ÅE - 5 A-3 A-1 Â.Â. A-2À . . ,.. ~ PRJDHDE 1 Â. B-1. . .. -- (' _-.ì'\.._~r ~ .. .'--~ BEE :HEY 1 Å ----- ( ---~_................,............. "'-.._-_.~......-._-_. J-1 J-2 ÂG-8'~~7 Â. A ÅG-4 Â[j-3 G- SA Å.G-6 J-i . J-qÂ. G¡t _ Å G-2 WS-25 Â. .. I-I. H-'! H-3 r:-4A A À H- t H¡2 1-3Â. l-1A.. Â. . \ 1..'- .....'-- ---,..~..,----- ...J EILEEN 1A FIGURE B-2 '" I T13N-R10E I T13N·R11E ~/<"~~(~~~~/~'~/~~~~~~~f~f~'~~f"~(rf'f'l/~""f"'"'< \, CHEVRON @ CONOCOETAL f3\ CONOCOETAL f2\ CONOCOETAL ~~ '"".UNIT BOU~WARY , \.::V . HJJ1JJ I: \V ~ " '6 6 ,,~ 6 6" (:;'\ '/"" " ~IIIIIII n 1111111 " 0 0 EN 0 T EST RAe T N U M 8 E R : . ADL-319717 1265 AG..~ III 1IIIIIIIIIrrnlll1111 IIlIlIrf ~1I11 - I A\ ""11"1 SCHRADER BLUFF , ê Ë co~oco ET AL ~ PAR T C I PAT IN GAR E A ~ 7: a. 10 11: 12 7 8 ~' . OUTLINE : :) \ "- .- \,: :'11I1I1I1Iu.m-ñ' n . " (r \, ADL-25$9 I 2533 AC. ADL-47434 2560 AC. ADL-47433 I 2S60 AC. /:I.~L-~432v 1268 AC.~À, '---. ~ \;.;)¡{IIÚ{d~rf~{¡I(;I)¡(~Ó;1ilf 1I11IIIftllñ Q fÃ\ ' Ý,-/ .J' ~. '-' ~ -r. é ,-..-~..<./" r'"'' /' /~ \~HEVROH ~2J CONOCO ® ~ ~ CONOCO ET AL CD C~NOCO ET AL CD CONoea ET AL '\ ~ \, CHEVRON CHEVRON 1) ~ ~f7\ Q '\ If 1 4 ~ 1 3;> 1 B 11 16 15 14 13 ?1tM-tr: 17 16 V 1 5 ~ ~ ~ ~ . - : '\ '-= \ : '\ "= + -- + - - -- - :110} - -- -~ ~ - '\ ~ ~ - ~ '\ 'C 23 24 19 20 21 22 23 24 19 ::2111:, 20 21 22 '\ S ADL- ADL-25516 : '\ ADL-47439 ADL-315846'\ ~ '315848 ".\' ' . '\ \';:ÅDL-25514 2560 AC. ADL-25515 2544 AC. 1280 AC. 1280 AO. ADL-47437 2560 AC. ADL-47438 ;?544AO. 12M AO. 1280 AC. " :;;¡¥)l)U)'Y1~Y')lY')l! lllllllllllllll!tllllIlIlIIlIlIIC:' . . . . I I HL ~... / .1.1 .I / .I /. J'¡ J ,; f\. I ~ ~HEVRON @fONoeO@CHEVRON0 CONoeo ~ V® ~ ',~ ~ ~ _l:J;~C1m~. \,:: :: ,,~l~ ~ ~ r....- ,,30 29:: 28 27 26 25 30 : 29 " ':f~~!1,.,Ew.C3.0.c,& A. ~~~~~~ ,,:: æ '~~/- AREA.::'" ' ,,:: :: I " -:: 1$1 ===--f'/Áf'HouBrON,TX/ rI· .1 " + r--~ + - + - ~I¡¡' -" MILNE POINT UNIT " 0 - .. "' " I ~ : ,ª " HaRTH SLOPE, ALASKA " 3 1 3,2: 33 34 35 36 3 1 ="1 S 32 " ~ . 2 M Il E S " CON aco : .. " " ADL-25517 lET AL =ADL-25906 2560 AO ADL-2S518 2560 AC 'ADL-28231 $55 AC '\ \, 2235 AC. 320 AC.: ',' ..' " 1'7/.1 ,¡',/,., J /, //,¡, ;~"Y:;IY~H~PY~'Y ~;.y.u)~I'y~'y~I~~~)ljJ!)~.9 ~ J; J... ~ ( ¡ I ~ ( T73N·R9£ , a (. --' SECTION C Operators/Surface Owners 20 AAC 25.402(c} (2) The surface owners and operators within the area of this area injection order and extending 1A mile beyond the boundary (excluding Conoco) are: State of Alaska Department of Natural Resources Attn: Jim Eason 3601 C Street Anchorage, Alaska 99503 BP Exploration Alaska Inc. Attn: Pete Zseleczky P.O. Box 196612 Anchorage, Alaska 99519-6612 ARCO Alaska Inc. Attn: Jim Ruud P.O. Box 100360 Anchorage, Alaska 99510-0360 Texaco Exploration Attn: Ms. E.H. Nelson 550 W. 7th Ave., Ste 805 Anchorage, Alaska 99501-3375 Chevron U.S.A. Inc. Attn: Dale Santii 11111 S. Wilcrest Houston, Texas 77099 Amerada Attn: P.E. Bacon 1202 Louisiana, Ste 700 Houston, TX 77002-5681 Exxon Co. USA Attn: Stuart Gustafson P.O. Box 196601 Anchorage, Ak 99519-6601 4 ~ '=-"'2"!.~ SECTION D Affidavit 20 AAC 25.402(c} (3) Affidavit of P. M. Shannon STATE OF ALASKA THIRD JUDICIAL DISTRICT I, P. M. Shannon, declare and affirm as follows: 1. I am over 19 years of age. I am employed by Conoco Inc. as a Supervising Reservoir Engineer. I have personal knowledge of the matters set forth in the affidavit. 2. On ~af, i; ! f1¡ . the surface owners/operators listed in Section C were provided a copy of this permit application. DATED at Anchorage, Alaska this 3,t:! day of ~ ,1991. I! ~ 4-d~ P. M. Shannon Subscribed and affirmed before me at Anchorage, Alaska on ¥ · ~ , 1991. :d-~A' ~ Nótary Public in and for the State of Alaska My Commission eXPiref/JILl~ 199 5' 5 .-- --- ---- .-~' -.--- SECTION E Description of Operation 20 AAC 25.402{c) (4) Approval is requested to inject water into the Milne Point Unit - Schrader Bluff Pool to enhance recovery of oil and gas. Additional methods of enhanced oil recovery may be used in the future. Future injection wells will continue to be designed, constructed, operated, and monitored to ensure the injected fluid is entering the oil reservoir. All wells will be maintained in a condition to ensure that neither hydrocarbons nor injection water exit the Schrader Bluff Pool and enter other strata. 6 .- -- -- .~ SECTION F . Pool Information 20 AAC 25.402(c) (5) The Schrader Bluff Formation in the Milne Point Unit is classified as the Schrader Bluff Oil Pool within the boundaries of the Milne Point Unit. The Schrader Bluff Oil Pool is defined in AOGCC Conservation Order No. 255 as the strata that correlate with the accumulation found in the Conoco Milne Point Unit A-1 (formerly Conoco Milne Point Unit #1) well between the measured depths of 4,174 and 4,800 feet. Figure F-1 is a type log that shows the Schrader Bluff sands in the Milne Point Unit A-1 well. Figure F-2 is a subsea depth structure map of the top of the uppermost Schrader Bluff Pool sand, that is the NA sand. 7 FIGURE F-1. SOURCES: WERNER (1987. 1981) ~ SCHRADER ~ BLUFF ~ o o --------.. PRINCE CREEK SAGAVAN- IRKTOK GP. FORMATION FORMAL NORTH SLOPE SANDS SAK WEST sequence mudstone/ SANDS UGNU INFORMAL KUPARUK RIVER UNIT shale M B SANDS L o W C E ~R "'"5 ~ 13 N .ç. --c- ~, ~ SANDS. 1- F ~ A L o W E R o B· SANDS u. .---. u p P E R L SANDS K SANDS INFORMAL MILNE POINT UNIT TERMINOLOGY '-/ -.. ~~~:~~~'. ... . I .~~~ 4~·-"'-" -----...... ~ ..{ :.~~ A B ~A .. ~ B .. C D A ¿! .-- .. 'i2:- ~ -==v- ~ RES SP TYPE LOG MILNE PT. UNIT A-l ._-:~ m ~ o ~ (.) < f-1 ~ ~ u -?- ~ ~ <C ~ f-i ~ r:q ~ GR AGE t Uï ~ .\ . \ ~ ?~ ~~ 6 \ " ) "1~ . ~ _ ErLEEN nAI ( -~- BEE-HEY 1 Å ( ~ 1\ ~., ~ 6'e (7 ~ I Ò-&.' ; ,\RJOHOE 1 \ f? \ J _ ,j. ~ c \ _I FIGURE F-2. .. - I I ~- -. \ .\ . ..., "'- :&. ~I .II. I'" lVi.l ~ 1 ~ L I l ) ~ 11' ~ ' r i TOP OF NA STRUCTURE \ \v~ ...l\ßøø ~ee--/ " '~ . ~-G:6øe 7e" "... _ _ ,~ " "'" "'-, At¡ØØ C\ \~ ';.-;L-5 '~<eJ ~ - ~-=t._I.-:! L -:-6 - L - 3 ÅL - Ú~ L-~ - ., , - \ - '\- ~........ ~ ,(\ ?. I V~ ,$t9 ~ee e\ ~J. "', . í.Y . v> ~ -<-e J6'\. &e .~~ , U~~~'l'm G C_' '~ SECTION G Geological Information 20 AAC 25.402(c) (6) The stratigraphy of the late Cretaceous age Schrader Bluff Formation is depicted in Figure F-1, which is the type log from the Conoco Milne Point Unit A-1 well. The three columns on the right side of this diagram show the different terminology schemes applied to these sands. At Milne Point, Conoco and its partners informally divide the Schrader Bluff into J two intervals: N andO.These intervals contain a total of seven reservoir sands which vary in thickness from 5 to 40 f~et. At Milne Point, an erosional surface lies atop the Schrader Bluff. This surface separates the late Cretaceous age, shallow marine shelf and distal deltaic sediments of the Schrader Bluff from the early Tertiary age, delta plain clastics that lie above. Figure F-2 is a generalized NA structure map for the Milne Point Unit showing locations where wells intersect the NA horizon. The regional structure of the Schrader Bluff sands is a homocline that dips between 1 and 2 degrees toward the northeast. Within the Milne Point Unit, these sands lie between 3,600 and 4,600 feet subsea. Two sets of normal 8 - '-- SECTION G Geological Information (continued) 20 AAC 25.402(c) (6) faults cut the Schrader Bluff: one trending north, and the other trending northwest. Displacement along these faults ranges from 30 to 150 feet, and averages about 50 feet. Two-thirds are downthrown to the west and south. Reservoir quality of the Schrader Bluff ranges fr()1'T'I good t() very good.. n The tlNtI interval contains very fine to finenn,grained sandstQn~n éllJcI siltyuªªndstone (litharenite and feldspathic sublitharenite) beds that range in thickness from~?.t() 33 feet. They have an average porosity of 25 percent and an average permeability of 630 millidarcies. OA and OB consist of very fine grained sandstone and silty sandstone (litharenite) beds that are between 20 and 40 feet thick. These two beds have an average porosity of 26.5 percent and an average permeability of 280 millidarcies. The confining zone above the Schrader Bluff Formation consists of a mudstone and siltstone sequence that ranges from 10 to 65 feet in thickness. OA is separated from NE by a ~O to 50 foot section of mudstone and siltsone. The lo~e!nnç()f'lfining zone for the Schrader Bluff is 2,000 feet of Seabee shale. 9 H '~' SECTION H Well Logs 20 AAC 25.402(c) (7) All openhole logs from wells in the MPU are sent to the Commission as the logs are completed. A type log for the MPU is included as Figure F-1. 10 1 - ~ SECTION I Casing Information 20 AAC 25.402( c) (8) Typical wells are cased and cemented in one of two formats, as shown in Figures 1-1 and 1-2. Schrader Bluff Pool Wells, Figure 1-1, have 7 inch casing and cement sheaths across the subject interval. Kuparuk River Pool wells, Figure 1-2, have 7 and 9 5/8 inch casing and cement sheaths across the Schrader Bluff Pool. Future wells will be cased and cemented in essentially the same manner. 20 AAC 25.412(a}: Injection wells will be cased with safe and appropriate casing and tubed to prevent leakage, and will be cemented to protect oil, gas and freshwater sources. 20 AAC 25.412(b): Current wells are cased and cemented in accordance with 20 AAC 25.030 and all production casing is pressure tested to 15g_Q_J~_si prior to completing the well. Future wells drilled for injection of fluids will be cased, cemented, and pressure tested in conformance with 20 AAC 25.030. 11 ·.....__f SECTION I Casing Information (continued) 20 AAC 25.402{c} (8) 20 AAC 25.412(c): Wells to be converted from production to injection will be retested to a surface pressure of 1500 psi or 0.25 psijft multiplied by the true vertical depth of the casing shoe, whichever is greater. This will not subject the casing to a hoop stress that will exceed 70% of the minimum yield strength of the casing. If the pressure declines more than 10% within 30 minutes, then corrective measures will be taken to achieve a satisfactory pressure test before initiating injection. 20 AAC 25.412( d): Injection wells will be equipped with tubing and packer to isolate the injection interval. The minimum burst pressure of the tubing will exceed the maximum surface injection pressure by at least 25%. 20 AAC 25.412(e): Sufficient notice will be given so that commission representative(s) may witness casing pressure tests. 12 -- .!,~ Injector Pool Bluff TypìCQl SchrQder (All Depths TVD) ........... of. +,~V~V"V"'V·V-V·V"V4V·V·' "++..+..-++7VVVV~Vvvvv ~ .. -+ + .vvvvvvv~vV' ......... +-.JVVVV1IiVVVVV .. ... ... ... . v v v V v:v V" V 'V' .+..."'..."...'" ~ v v v v v v v v v V ... .. .. + VVVVV"I7Vvv,,"' - + + + ;rvvvvvvvvvv ..'" .. ... ........ +. VV V V V V V 'V V "9' "" + + + +7VVVVVVvvvv .. ... .. .. 'VVVVVVVV"YV" _ .... ... ..... + +"!'1 V 9 V V V V V V V V .. .. .. ... vvvvv~vvv"t _ .. ... .. IilVVVV VVVV .. .. .. of'VVVVV ""V" +...+.........+."1VVVV'Ç ~+++.vvvv"V ... ..... +i1VVvv"", I-.+.·.+.'vvvvv ... ........ ,i:1VVVV'f!';, ++......vvvvv ....++...+++vvvvv~ ....... vvvvv .. .. .. +'1VVO'V1: ......... vv.vvv ...+.......++I7VVVV~ ++++QVVVV ... ... ... .. çvvvv'Ç ...+........+.... VVVVV ... .. ..... +I;rVVvv'\ ~........ -vvvvv ... ... ... +I1VVvv,," '".............++ VVVVV .. ... .. .. .qvvvv~ .. .. .. -+ 9VVVV ,..++........+...~vvvv'\ ......... vvvvv ... .. .. +41;1 V V V V '\ +.."'...+..+. vvvvv Þ-......+9VVVV~ .......+vvvvv .. ... ... .. 'Q"vvvv~ ~"+"'4+++ vvvvv oJ ... .. ..Q'vvvv~ ~+"'+Þ-vvvvv + + ... +9'vV'vv'\ ;";v.l.v;~ vvvvv VVVVVVVVVV'I. 7VVVV~Vvvvv VVVVVVVVVV\ 7VVVV,\;Vvvvv vvvvvvvvvV"< 7VV....V...vvvvv VVVVVVVVVV\ ~vv'Vv,...vvvvv VVVVV~vVV\ 7VV<VV VVVV vvvvv vv't I1VV'VV'Ç " . . vvvvv :t'vV'YV'Ç ~...............,............. ~ vvvvvvvvvv"+ + + + CeMented to surfo.ce ...... qvVvVvVvvVVvVVVVVvVv~ 4:":":": ", v v V v v V Q V V V v.... .... .... .... -"qVVVVVVVVV'" .. .. .... . VvV~~VvVvVvVvVvVvVvVI :..: ..:..:. VVVVVVVVVV..... .. .. .. ~vvvvvvvvvvvvvvvvvvv~:..:..:..: 'VVVVVVVVVV~ .. .. .. 13 3/81, S4 tI/f1:, K-SS, Veld vvvvvvvvvvv"............... ·vv~_v~vvvv:v .. .... .. .... 115' VVVvQ':"vvvvvvvvvV: ..: + : +: + 7f1VVV~... .. .. .. vvvvv'" .. .. .. 7VVV9V....... .. vvvvv#................· 7VVVV~ .. .. .. vvvvv1......... .. 7vvvvr............... VVVVV\ .. .. .. IVVVVV.......... vvvvv" .... .. .. 'vvvvvvvvvvf : ... : ..: .. : 7QV'OVV-- .. .. .... vvvvV1 .............+ 7VVVQv'+ + + .. vvvvv.... .. ... .. 7 V' V V V v,. ... .. .. ... .. .. .. Diesel 1800' - 0' _.._ 7VVVVVVvvvv. + +............ "-..-.._.. QVVVV'.......... PerMafrost C CeMent -··-.~~v~vV(~:·"':''''> ...... lVVVVV........ ....... V V V V V ,. + .. .. .. .. .. .... 7VV'O'Vv\" .. ... .. VVVVV'" .. .. .. .......·......·~vvvvVVVVVv:. .. :...:..:.. rv... v v v v .... .. ... .. '0 v"V V v..... .. ... + 7 V V ~v 'V.............. .. -.. _. __lvV vvvv v vò;,~:VvVVVVV"Ç PerMo.frost E 1800' - 0' V-V·VVVQV~vv"\ 7VVVVVVvvvv VVVVVI1VVVQ1; 7VVVVvvvvvv VVVVVI1VVvv,,\ 7VVQVVVVVvv vvvVVVVVVV1; 7VV~V VVVQV vvvv VVVV1; 7VV VVVVV VVVVV1; vvvvv VVVVV\ ... ... + ... + + ... + + + + + ... ... -+ + .... + + + + .. + of- .. + + of- .. .. + + .. + + + .. + .. + "-"_.'_ of- + + .. -.¡:-.......-.. .. + .. .. + + .. .. + .. .. of- .. .. .. + + -:::;~:.~. --.-- 'Wells Equipped 'With PerMafrost C CeMent 5000 psi AP I Tree Arct~ Pack Downsqueeze 1800' 2400' -, PerP"lo.fros-t 1800' CeMented to surfo.ce -..--.-.--.-- ..----..- Clo.ss G 2400' -1800' 9 S/8~ K-S~ 36 ~/f~ Btts 2400' + + .. + .... .... + .. + ... ... .. ... + ~ .. ... ... .. .. ... .... ... of- .. .. ... + .... ... ... + .. ... ... + ... ... + .. ... .. ... .. ... ... .... + .. .... .. + .. .... .... + ... .... ... .. .... + + + + .... -+ ... .... ... ... + ... ... ... + Mud .-..-..- 2 7/81, 6.5 ~/ft, L -80 Tubing 'VVVVV .... v.... V V vvvvv~ ~vvvv~ ·vvvvv 'VYVVV vvvvv~ ~vvvv~ .-..-..-..-..- ovvvvvZ Z....VYVV ··~vv....v..3 ·.I1V<VVV~ ·vvvvv VYv....v VVVVV v~vv~ _:..:!I'.'lZ..VJU1 _ _ x.Y..."f_'V.:Y__ vvvvv, VVVVV'I. -·v·".-v-vv - - ...........9-"VJiW.- VVVVV\ VVVVV\ -;v'vv-vv - - y·~;.-vv·- - 9-V~' 9 ~ - - ~y...q... .rr-~- ·Vvv~v ~?y~V -QV"'~¡o"VQ~ - - oi""vv·vv,,:- "vvvvv y.y~V vvvvv' ~vvvv, ~:v:v~:v:v:\ 3300' Ugnu K, L, M-So.nds 3800' SBP N & O-So.nds 4100' Packer @ 3700' -------..----..-.--..- -..-..- .-..-..- _.._..__._.._.4____.._ Perfs Class G CeMent 4350' - 2800' ----..-.--..-..- 500' o.bove Ugnu K -So.nd 7', 26 #/ft, L -80, Btts, 4350' TD 4350J I-I Figure TypiCQl KUPQrUk \Jell (All Depths TVD) ,,··......·"..·..r........ ~ V'O'~VVVV9VV'''''''''' -+ vvvvv""vv'VvV"'..............· VVVVVVVVVV\ .. .. .. . vvvvVVVV9VV.. ~ . .. vvvvv'Vvvvv-...·..·.....· vV..Jl-vvvvvvvv. .. .. .. . __ ·V \' 1;1 V vv v v v v '.. .. .. .. vvvvV","VVVV9"> .. .. .. . v V" v v v v v v v,........·..... vvvvvvvvvvv...... .. vV'Q'''V'vvvvvv''' .. .. .. 13 3/8", S4 tllft, K-SS. Veld vvvvvvvvvvv,.............. -vvv;:avvvvv .. .. .. .. vvvv vvvvV\......' vv '1V'O'vv'''+++ rvvvvvÞ'......+.·... vvvvv'- .. ... .. 'VV'9VV'" .. ... .. vvvvv'..·...........· 7VVVV9\ .. .. .. vvvvV'" .. .. .. Ivovvr......·..... V9VVV\ .. .. .. 'vvvvv...... .. vvvvv· .. .. .. . . -4;vvvV¿~f :..: .. :.. : 1VVVVV· ~ .. VVQVV' ..........+ 7VVVVv'.... ... .. vvvvv~....""..~ 7VVVVVVvvvv VVVVV7VVVV.. . 7VVVVVVvvvv ......... .VVVVV7vvvv.. ~~ Vv Vv Vv Vv Vv VVVV v.. IVVVv-Jlvvv....v VVVVV7VVVV.. IVVVVVV~VV VVVVV7VVVV.. 7vvvvvvvv........ 7V.Nv VVVv"7 VvVVVv'fT...,"'V.... CeMented to surface ___.' - 7VVVVVVVVVV7VVvVVV....vv.. VVVVVVVVVV'l: PerMafrost E CeMent Lead ~v~~~:~:;:v~ 7vvvvvvvv....v 'V''VVVV7VVVV't 7VVVVV"'VV""V vvVvv;rvvvv~ 7VVVVvvvvvv VVVVV:7VVvv,< 7VV~V ",vv"""" vvvv vvvv,< 7VV vVVVV vvvvv,", vvvvv vvvvv,< .. + .. ... .. .. .. + .... ... .. + .. .. .. .. .... .. ... ... .. .. ... ... ... .. ... .. .. .. .. .. .. ... .. 4- .. .. .. + . :. -.-..... .. .. . .. + .. .. ... ... .. .. .. .. .. + .. +- .. + .. + . ... + + .... + ... + + . . . . .. + ~ V~V·V~V"'9 ~v·v~v..v ·v·, -.".4o..·.'7VVVVVV'\"VVV ~ ... .. . . 'f1 V V V V;V V V V v' ... .. + ...;rvvv.,""VVV.V ...4o .. 'VVVVVV,,"V"9" .+4o+..·.·,vvvvvvvvvv + . .. + vvvvvvvvvv'" . .. .. ...;rVVVVVVVVvv ......+.+.+ VVVVVVV'\'V'9' .. + + +?VVVVVvvvvv .. ... + ... ~vvvvvvv"'vv' ..... ... .. .. ... .. .,;r V V V V V V V V V V .. + . + VV.V'V~"''9'''''' . + .. ... -7VVVV VVV'\I' ....·++VVVVV ...." ....++.....+·+~VVVV~ ,.. ..... .. ;VVVV'v + +.... +:t'VVV'9''\ ...+......+.' vvvvv I- + ... .. O'V'VV'9''Ç ++.....VVVVV 1-.+...........I1VVVV'\ I- ... ...... vvvvv ... ... . +I7VVVV1t ....... vvvvv 1-........·..+;:1VV'Vv~ .. + + + VVVVV I- ... ... .. ","VVVV'Ç ."'...+~...+: VVVVV .. ... .... +-Q'VVVV'\ .. ~'Y -4w . .... v v v v v VVVVV"'VVVV~ 'JVVVVÇVVVVV VVVVV"'VVVV~ 1VVVV'<1VVVVV VVVVV'07VVVV\ 7VVVVÇ VVVVV VVVVV'07VVVV'\ :7VVVVÇ VVVVV VVVVV'07VVvv,< 1VVVV,"VVVVV VVVVVVVVVV'\ 7VVVV,"VVVVV VVVVV7VVV",,\ "7VVVV<;VVVVV VVVVV7VVVV,\ :7VVVV,"VVVVV VVVVVVVVVV\ 7VVVV<i:"VVVVV VVVVVVVVVV\ :7VVVVÇ '\I'VVVV VVVVVVVVVV'< .3VVVVÇ"VVVVV VVVVVVVVVV\ 7VVVV<i:"VVVVV VVVVV&VVV'< ;rvvvv VVVV VVVVV VV\ 7VVVV<;, . - - VVVVV :7VVVVç ..... ... .... .. ... ... .... ..... + ... .... + .. ... .... ... ... .. .... ... .. ... ... + ... ... ... .. ... .. .... .. ... .. .... .. .. .. ... ... ... .. . .. .. + .. .. ... .. .. + ... .. .... .. .. ... .. of- .... ... ... ... + ... .. .. . ... ... ... .. .... .... .. CeMented to surfnce PerMnfrost C -' 115' Arctic Pack Downsqueeze Diesel 1800' 0' _" PerMafrost C CeMent 1800' - 4500' ......... . ~ \.,felt equipped with API 5000 pSi tree ......... _.._.._-~- -..-.--..- Class G CeMent Tail 9 S/8~ K-5~ 36 ~/f~ Btts 4500' _.__.._.~- Mud .--..- Cla.ss G CeMent 7500' / 6000' ·VVVVV YVYVV vvvvv~ RVVVV~ 'vvvvv VyvVV vvvvv~ vvvvv~ 'vvvvv ""vvvv ~vv.;?vvvvv~ "VVyVVVyVv'\ vvvvv, vvvvv~ - '7v~vv,,;V'~" - _. . Nv""....V..- .' 'vvvvv VYVVV . /-. ·~vY.l:lv~·· - -. .""",vvV'y"'Vvv'\··- vvvvv~ vvvvv~ ·vvvvv ~y~VV . ·VVQV-V,·· - - - 'vvvvV-~' 'vvvvv YVVVV V9VVV' ~vvvv, . V v Q'ov,¡ _______________ "",,,:,:" V V .v'Vvvv~~."v"fT~V"'\ Perfs Perfs 7', 26 ~/ft, L-80, Btts, 7500' TD 7500' Figure I -2 7000' 7150' 7200' Perr1Qfrost 1800' 4100' Schro.der Bluff Pool N & O-Sands 4400' Middle KUPQruk Lower KUPQruk :::r .......~/ SECTION J Injection Fluid 20 AAC 25.402(c) (9) Water is to be injected to enhance hydrocarbon recovery at the MPU. A. TYPE OF FLUID - Water Analysis of Composition of Typical Fluid 1. Prince Creek Formation (Make up water) - Figure J-1 a and J1 b. 2. Kuparuk River Formation - Figure J-2a and J-2b. 3. Schrader Bluff Pool Formation (Well G-1) - Figure J-3a and J-3b. Source of Fluid - The primary source of injection fluid is from water supply wells produced from the Prince Creek Formation. Produced water from Kuparuk River and Schrader Bluff Pool oil producing wells is reinjected ~y commingling it on the surface with Prince Creek water. Estimated Maximum Amount to be Injected Daily - 40,000 BWPD 13 ~\ / '~/ ,,\ ' ~:<0- / ~«' {; tì~// '- SECTION J Injection Fluid (continued) 20 AAC 25.402(c) (9) Compatibility With Formation and Confining Zones - Water sensitivity tests on core samples showed no significant problems with formation plugging or clay swelling. Prince Creek, Schrader Bluff Pool, and Kuparuk formation water are compatible with the receiving and confining zones as noted in Figure J-4. The Milne Point Central Facility Pad (CFP) will process the produced and injected water. Scale and corrosion inhibition chemical treatment takes place at the CFP. Scale and corrosion monitoring will continue with operation of the Schrader Bluff Pool. Treatment will be varied to maintain optimum water injector operation and ultimate hydrocarbon recovery. B. TYPE OF FLUID - Miscellaneous water (including non-hazardous surface water) and associated surfactants/solvents used in the washing and cleaning of the facility, equipment within the facility, motor vehicles and other items related to the production of oil at Milne Point. Volumes will be very low and should not exceed 10 bbljday. 14 ~-~! SECTION J Injection Fluid (continued) 20 AAC 25.402(c) (9) Analysis of Composition of Fluid - Clean-up water with minor amounts of surfactants / solvents. Source of Fluid - Potable surface water used in clean-up operations. Estimated Maximum Amount to be Injected - 10 BPD. Compatibility with Formation and Confining Zones - Full compatibility with fresh water. Miscellaneous water will be diluted to very small percentage of the injection stream. 15 800'39~d 0000000000000 30000 -- .''"-.r' 5Þ:0{ {5. L2 9n~ CHEMICAL & GEOLOGICAL LABORA TORIES OF ALASKA, INC. A-~ I ~.~.~::~_ \ :.J ..--A1'Oftte. , 5633 8 Street Anchorage, Alaska 99518 ~ .~ . ,. ~ TELEPHONE (907) 562·2343 WATER ANALYSIS REPORT OPERATOR Conoco ~ I nc. WELL NO. FIELD KAPARUK COUNTY STATE Alaska REMARKS & CONCLUSIONS: Barium Strontium Iron Cations Sodium ............. Potassium. . . . . . . . . . . Calcium. . . . . . . . . . . . . Magnesium. . . . . . . . . . Iron ................ mgll 881 6.2 93 18 meq 11 38.32 0.16 4.64 1.48 ---- Total Cations ....... . . 44.60 Total dissolved solids, mg/l . . . . . . . . . . NaC' equivalent, mg/l .............. _ Observed pH . . . . . . . . . . . . . . . . . . . . . . . 2567 2549 7~85 1991 LAB NO. 91.4113-2 DATE August, LOCATION FORMATION INTERVAL SAMPLE FROM MAKE-UP WATER \>t-\'J\.c.e ~jr~e~ ~þ , mg/l mg/l mg/l 5.4 1.6 0.36 fAC-£,- , Anions Sulfate. . . . . . . . . . . . . . Chloride. . . . . . . . . . . . . Carbonate. . . . . . . . . . . eJcarbonate ........ . Hydroxide. . . . . . . . . . . meqlt mrll) NO 1 - 1500 --- 42.30 --~~ _ ._14~ Total Anions. . . . . . . . . . __ 44.60 Specific resistance @ 680 F.: Observed .......... _...-1..2 ohm-meters Calcutated ......... __.g_~~ ohm·meters WATER ANALYSIS PATTERN Scale MEQ per Unit Sample above described ._~ I 1 f t! Cf PI' ¡ ~ i Í L ~ l : t .:t: HC01 ! i : ~ ¡i' I, . ,. , ! .---+-L ..~ . ,) so. " 1 ¡ . · ¡ j! II ¡.¡ ~ ¡ .. ,.,i cOJ · ¡ 1'1' .. I Ii . . ¡I i' ~ 11;: I . :: Na C. 10 Na ;. I , . 'I !( Ca \ HC03 1 Ca ~ !. . I ( "', I · ~ :.1 Mg ~ I f so. 1 Mg i I '1 I J Fe -II I f' '. CO] Fe d 1 1 1 1 I 11 I . ! ' #' ! I (Na value In above graphs Includes Na. K. and ll) NOTE: MOll = Milligrams per Uter Meqfl - MUflgrams equfvalent per mer FTGTTRF. .T - 1;:) L00 . 3·~:Hjd 000000001210000[ ~10000 .~- r~ 20:ÞI Ib~ 92 9n~ ""- CHEMICAL & GEOLOGICAL LABORATORY A DIVISION or: COMMERCIAL TESTING & ENGINEERING CO. 5633 e STREET ANCHORAGE. ALASKA 00518 TELEPHONE (907) &32·2343 FAX: (007) ~1'6301 IMlLISIS REPORt ay SAWPLt for WOR&ord.rt 37351 D4t. a.pòrt Print.d: lUG 26 ~1 t 12:38 !-..Iftt Sa.ph ID1 KUPARœ WAne. WSID :UA ( - -.ttete4l . tu:. . . ,1,td lUG 13 91 t 16: 10 hu. r~.(T.avith :1S 1£Q01RED CUeøt ~ :COIOCO IHC Cl1.nt teet :COIfOCOP no . ro I JOW! &fiClIVIO &eq I OIclu.4 By :3ItVl DECaR! r. ,.U CotIþht.d. :100 21 91 :s.ncl ".portl ta: œr.tor, ~uitor :st~tHE ~ID! l)COMOCO ttiC .1eüecS ., : 2) . ~ .. ~~-~_..w....._...._.... _____ _ w....._._......_..........~~_........._~.........._._..._.M._e............................___ ChelÛab l-tf .: 91·U13 Lab Sap1 ID~ 1 )(a.tux: otB!& fetäntt.r t..t.d k..u1t ·-----___-~_.___4___________________________________________________________________~______~-_________________ ~thod Ulovablt tlll1t1 ROOTIXE OILFIELD WAtKR ICP-2S ELEMENT 5CAN ALUKIMUJ( nSEttle BUtUt( nlYLLlUW IOROH CiDKIUM CALCI1.fl( CBaOKJUM COPPER IkOR LEAD ICAGMESHDf NlNGANESE NICUL PBOSPIIORUS POtASSIUM SELlMIUK SILICON SILVEa SODIUM staoNTIUW rIM VAHADItß( UMC URCONIUK n/~ Q.l0 Jro(0.10) 20 )(D(O.OS) 18 1(1)(0.10) 60 ND(O.05) lID(o.OS) 0.3~ t(Ð(O.10) 24 {LOSS MOeo.os) 1.6 42 MD(O.l) 17 tlD(O.OS) 6S00 S.CJ 0.21 HD(O.OS) MD(0.05) KD(O.OS) Unit. n/. ag/1 w¡/l rtIlI1 "4/1 .¡/l IIfI/1 ~/l øq/l .g/l Jr1J/l .;/1 øq¡1 "9/1 req/l .¡/l fIIJ/l -.g/l erq/l DIlll øq/l 11II3/1 119/1 -J/l mq/l r-t1/1 FIGURE J - Ib It! 2()o.1·ICP !PA 2.00.1*tCf £PA 200.1tlCP BfA. 200.T'lcr If A 200.1·ICP If A 200.7+ICf If A 200.1"lcr IPA 200.1+¡Cf £PA 200.7&rCp ErA 200.7-rcp If A 200.7a1Cf EfA 200.7"ICf !Pi 200.1·ICr EPA 200.1&1Cr If A 200.Y+rCl' irA 200.7· ICP IPA 200.1+ZCP EPA 200.7*Icr f:PA 200.1"Icr EPl 200.7+1cr IPA 200.7&ICr ErA 200.7+ICP EPA 2otJ.1"'ICP I:PA 200.7&I<:P !PI. 200.7·ICP tPA 2OU.JetcP nja 200'39~d 0000000000000G~0000 - 8Þ:01 15, L2 9n~ CHEMICAL & GEOLOGICAL LABORA TORIES OF ALASKA, INC. , . . 5633 8 Street Anchorage, Alaska 99518 TELEPHONE (907) 562·2343 WATER ANALYSIS REPORT OPERATOR Conoco t roc. WELL NO. FIELD KAPARUK COUNTY STATE Al aska REMARKS & CONCLUSIONS: Barium Strontium Iron Cations Sodium ....... _ . . . . . Potassium. . . . . . . . . . . Calcium. . . . . . . . . . . . . Magnesium. . . . . . . . . . Iron ................ mgll 5896 42 60 74 meq/t __.£56.46 1.08 2.99 __-L.~ ----- Total Cations. . . . . . . . . 262.50 Total dissolved solids, mgll . . . . . . . . .. _ NaC' equivalent, mg/l .............. Observed pH . . . . . . . . . . . . . . . . . . . . . . . 15130 14651 7.79 1991 lAB NO. 91.4113-1 KAPARUK WATER µ~~J) ~u.c:h~ SlCf-- ~ DATE August, lOCATION FORMATION INTERVAL SÄMPLE FROM mg/l mg/l mg/l 21 5.9 0.35 AnIons Sulfate. . . _ . . . _ _ _ . . . . Chloride. . . . . . . . . _ _ . . Carbonate _ . . . . . . . . . . Bicarbonate .. . . . . . . . Hydroxide. . . . . . . . . . . ~) BOUO -- 2250 Total Anions. . . . . . . . . . meq¡f 225.60 36.90 262.50 Specific resJstance @ 68° F.: Observed .......... ~ 45 ohm-meters Calculated ... _ . . . . . o. 47 ~ ohm-meters WATER ANALYSIS PATTERN Scale MEa per Unit Sample above described Na CI Ca .. HCO;J Mg> ,. t SO. ,I IL· l i- CO2 i I ! Fe , I , I, I! ._~-- .. I I .j ! I j !I 100 Na ~ ¡ i . . I ; I I ¡ ,., 10 Ca I I ¡ 1 ì 1 ..'( " ,. II Mg ~ I, 1 Fe 'I ,L IlL ~¡ .. ~' : I !. I I I! f t ' i: . i 'I ; , ! 4 .. 4 , ,fj I j fl L.. (Na value In above g....phs 'nclud.. Na, K, and LI) N(')TF'. '-Ant1 = Ulfll"r..m__ n..r IIt..r M....fI = Millin....... ..""Iv..I...t nð" I/t... ! i ; i .: : ; :' ¡. . I Iii -I II I I j I I . i; , , I ~ , II I': ji 1:! J I . ~ f . . . , :: If : : ~ : t j ..,. t; f !:: . I r - q ¡ I ~ ~ L I':; ; i, " . : ; I; , I .1 ,í I: !! .'1' "1 : I t '! I, " I r, . t : f4 Ii I .' -' I ¡ ¡ i ' f CI HCO;J SO" COJ I f l FIGURE .J - 2a 60.0.· 39tJd 0.0.000.00.0.0.00.0.P'· "10.0.0.0.0. .~- 9 S. : 0. I I 6, L 2. 9 n tI "-" CHEMICAL & GEOLOGICAL LABORATORY A DIVISION OF COMMERCIAL TESTING & ENGINEERING CO. 5633 B STREET ANCHORAGE. ALASKA 99518 TELEPHONE (907) 562-2343 FAX: (907) 561-5301 ANALYSIS REPORT IT 3ANPLE for WORIoldert 37351 Dett aeport Pr1nted: lUG 26 91 . 12:38 :l1lnt Saaplt ID:NW-UP WAtla ~\~,~ ~~~~"-- - ~0 -tISID : VA Collected. . hra . ..ce1Ted lUG 13 91 . 16:10 bu. ......,tu..rnd with :18 &lQOlUD Client NUIe :CONOCO lie Client leet :OOMOCOP BPO t PO t 110M! UCEIVlD aeq t OrdeItd Iy :stlVl DECURt -¡nalJl11 Coøpleted :100 21 91 3.M a.portl to: -¡:::::::::~~:~:~::~~~.........._-_..._.._............._..--~~.:::.............................__._....... Chealab atf t: 914113 Lab Sapl ID: 2 Matrix: OTII!& Paraø.ttt tilted a..u1t --------------------------------------------------------------------------------------------------------------- Method Allowable Liaib BOUTIN! OILfIELD WAtER ICP-2S ILEMEM1 SCAM lLOOMUK WlKIC URIUN BlRtLLIUK loaON C1DIŒ UK CALCIUM CBlOOU)( COPPI& lAOM LEAD MAGK!SIUM WGAflSE IlICOL PHOSPHO!US POnSSIUX SILlIUQ)( SILICOJ SILVER 30Dm stRONTIUM TIM VAMADIUM UMC 1 !ReoMIUM n/e ND(O .10) ND(O.10) 5.4 IID(O.OS) MD{O.OS) HD(O.10) 93 MD(O.05) W(O.OS) 0.36 )(1)(0.10) 18 0.12 MD(O.CS) IID(O.20) 6.2 n(O.IO) 4.2 ID(O.OS) 880 1.6 ID(O.IO) ID(O.OS) W(O.OS) ID(O.OS) Unitt n/e JIll/I fill/I w¡/1 114/1 fill/I øq/l DIl/I øq/l ttIJ/l lIIJ/l øq/l w¡/1 "9/1 Jag/I fflJ/l w¡/1 fIIl/l W¡/l Jig/I -.¡/l JIIJ/l fllJ/l w¡/l Ø/J/l fItJ/l ~~, 1=:!r=!1:! FIGURE J - 2b BPA 2CO.78ICP EP! 200.78ICP !Pi 200.l-ICP EPl 200.l-ICP EPA 200.l8tCP IPA 200.18ICP EPl 200.18ICP IP1200.1*ICP !PA 200.7·ICP EPl 200.7*ICP EPl 200.7*ICP !PA 200.1-ICP £PA 200.7·ICP IPi 200.l81CP BPA 200.781CP !P! 200 .1· rcp IPA 2QO.7·ICP IPl 200.1*ICP ¡fA 200.1·ICP EFi 200.7·ICP !Pl 200.7·ICP IPA 200.1·ICP !Pi 200.1·1CP IPi 200.1·ICP BPA 200.78ICP IPl 200.7-ICP n/a Þ0Ø·39~d 0000000000000"00000 ~~ ~~ ~' ,~\1,~ " 'r""X ~-~<I:. T £ :.gJ-1_..I ~ ,__ ¿ª-__S~ n t} .~ "" ----/ CHEMICAL & GEOLOGICAL LA BORA TORIES OF ALASKA, INC. P.O. BOX 4-1276 Anchorage, Alaska 99509 TELEPHONE (907) 562-2343 ANCHORAGE INDUSTRIAL CENTER 5633 8 Street WATER ANALYSIS REPORT OPERATOR Conoco, Inc. WELL NO. G1-MILNE POINT ~~ FIELD KAPARUK COUNTY STATE Alaska _ DATE August, - ~ LOCATION FORMATION INTERVAL SAMPLE FROM 19 91 LAB NO. 91. 4113 - 3 REMARKS & CONCLUSIONS: G1 PRODUCED WATER Barium Strontium Iron mq/l O1g/1 rng /1 ;t<- 9.9 5.4 ND(O.5) Cations mg/1 meg/1 Anions mg/1 meg/1 Sodium . . .. .. .. .. . .. .. .. ... ... ... 7292 317.22 Sulfate. . . . . . . . . . . . . . 13 0.27 Potassium. . . . . . . . . . . 160 4.10 Chloride. . . . . . . . . . . . . 9400 265.08 Calcium. . . . . . . . . . . . . 120 5.99 Carbonate . . . . . . . . . . . Magnesium. . . . . . . . . . 130 10.69 Bicarbonate ......... 4430 72.65 Iron ... . ... ... ... ... .. ... ... ... .. .. .. .. .. . Hydroxtde . . . . . . . . . . . Total Cations ......... 338.00 Total Anions. .. . . . . . . . 338.00 Total dissolved solids, mg/1. . . . . . . . . . NaC1 equivalent, mg/1 .............. Observed pH . . . . . . . . . . . . . . . . . . . . . . . 19297 18479 7.RO Specific resistance @ 68c F.: Observed .......... Calculated ..... ~ . . . 0.39. ohm-meters o . 39 ohm·meters WATER ANALYSIS PATTERN Scale Sample above described M EQ per Unit Na \ ~ \ \ .: . I i /- / I I r : I : /: ¡#Jþ, If. "'.. ., .'''~ '..., I i. I ¡I Ca Mg Fe I t II ,1 I, C1 100 Na ~ I ¡ ! I HC03 10 Ca I' I - ¡ SO" 1 Mg' I - f I C03 1 Fe ' ! i II I j ( ¡ HI C1 ! ; ¡ HC03 SO~ ¡ C03 - Ii ; ! i J ~ L ,II I! . (N. v.lue In .bov. graph. Include. Na. K. end l1) NOTE: Mg'1 ;: MIIlIg(~m. per IItM Meq/1 = Milligram equlyalent per Iller . . . . ... . _. FIGURE J - 3a ør0·38~d 00000000000001 10000 .. .. . ---- -- '"-" ~~:~1 _rs. L2 ~n~ CHEMICAL & GEOLOGICAL IABORATORY A DIVISION OF COMMERCIAL TESTING & ENGINEERING CO. 5633 B STREET ANCHORAGE. ALASKA 99518 TELEPHONE (907) 562-2343 FAX: (907) 581-5301 ANALYSIS REPORt BY SAMPLE for WORlorderl 31351 Date F..port Printed: lUG 26 91 . U:.O """,Uem Suple ID:Gl MILNE PT - ~~ ~.{¿ \, "'~ mlo :01 "ollect.d . hr.. .ce1Ted AUG 13 91 . 16:10 bu. 'ruuETed with :AS REQUIUD Client Ma. Cl1ent Acct IPO . ¡.q I Ordtted By :COIOCO IE :COHOCOP :St!VI DKC(ßT PO t MOlE P.!ClIVlD ~ nalydl Coapl,ttG :1.00 21 91 ~I.tory SuptrT1~or: IPHlH C. ID le1..,ed " : JIt ...........-..... .. . .- -...-....._._...................__._......~~._-.--.........--.............---.................... Chetûe.b &e£ I: 91~13 Lab SIIp1 ID: 3 Mattix: otlŒB. ParoeteI t'lted a..ult ----------------------------------------------------------------------------------------------~---------------- lOOTIMI OILfIELD ~T!& ICP-2S !LEMEn SCAlf lLOOMtD( WEKlC IAlIUM tRILLIUM 10101 C1DNl(ß( CALCIUM CBROMIU)( COPPER 1&011 LEAD MlGM!SIUM KAIGlN!SE JlICUL PBOSPHO&US POTASSIUM SELlIIUM SILICOH" sa VIR SODIUM mOM'ltUM tIll VAH1DIUM ZINC ZIRCONIUM n/. ){D(1.0) Jm(1.0) 9.9 lCD(O.S) 6.9 ND(1.0) 120 1D(0.05) MD{o.OS) )(DCo.OS) MD(1.0) 130 IWCO.S) )cDCO.S) MD(2.0) 160 G(1.0) 3.7 )(D(O.S) 7700 S.4 ){D(1.0) )ß}(O.S) IfD(O.S) KD(O.S) Unit. n/a ag/I fIl/l fllJll rtq/l fII/l IIIJ/l Wl/l -.¡/l W9/1 ~/l fttJ/l JJt{1 w¡/l w¡/l fIIJ/l ItIJ/l 1II/1 DJ{1 Wl/l fJld/1 fIIJ/l aq!l aJ/1 DllJ/l 119/1 FIGURE J - 3b ~...._-- S.nd aepott. to: l)coøoco lie 2) IMthod EP! 200.7·ICP EPA 200.1cICP !PA 200.7-1CP 1P1 200. 7*ICP !P! 1.00.7*ICP IPA 2oo.1*ICP !fA 200. ?*ICP IP! 200.1*ICP IPl 200.7*ICP EPl 200.1-1CP IPA 200.1*ICP U! 200.7*lCP EPI 200.1*ICP EPA 200.7cICP EPl 200.7*ICP IP1 2oo.7*ICP IPl 2oo.1*1CP IPl 200.1·ICP EPA 2oo.1*ICP EPI. 200.1cICP EPl 200.1*ICP !Pi 200 .1* ICP IP1 200.1*ICP !PA 200.7*ICP !Pi 200.7*ICf EPI 200.7·ICP Allowable Lillit. n/. 200'39t1d 000000000000e 00000 r~ "- 8 Þ : 17 1 T 6, L2 9nlj CHEMICAL & GEOLOGICAL LABORATORY A OIVISION OF COMMERCIAL TESTING & ENGINEER1NG CO. ,~--- - 5633 B STREET ANCHORAGE, ALASKA 99518 TELEPHONE (907) 562-2343 FAX; (907) 5tH·5301 F(DERAL TAX 1.0. 936-0937920 Date Of Report: August 26, 1991 Date Analysis Completed: August 23, 1991 Chem Lab Reference Number: 91-4113-6 Client Sample ID: Composite Sample Kuparuk Water. ~ake-up Water, G 1--~qua1_ Parts '\ (~~~v-\C) , (~f'<\C.~ ~~'~e.~7 C S~,^-rc..ð€r Blu-Ç+) Langlier Index at 80. degrees F. + 1.23 LangJier Index at 80 degrees F. may indicate calcium carbonate seating tend ency . CompatibHty: Observations were made of sample composite at the following intervals after mixing: 15 m1nutes; 4 hours; 24 hours. Measurements were made of pH. color J and turbidfty. AU observations were made at 70 degrees F. SarrmLe 10 terva 1 Qtl Çofor c PG.U Iurbidity, NTU. 15 minutes 7.97 5 1.8 4 hours 7.85 5 1.8 24 hours 7.86 5 2.8 No significant precipitation wa3 noted. Analyst: Peter 6ronikowski Reviewed and Approved ~~on Manager. Quality Assurance FIGURE J - 4 .~ ~ SECTION K Injection Pressure 20 AAC 25.402(c) (10) The estimated average wellhead injection pressure is 500 psig. This will be well below the equivalent formation parting gradient. Note that the A-3 Step Rate Test was terminated at an equivalent gradient of 0.66 psijft, Figure L-1. The well did not fracture at the maximum test gradient. The injection wells will be operated in such a manner that the bottomhole injection pressure will not exceed the tested non-fracturing gradient of 0.66 psijft. The Operator will supply the AOGCC with evidence of a higher non-parting gradient, in the form of a Step Rate Injection Test or Fracture Stimulation Initial Shut-in Pressure, before increasing the injection pressure above this prescribed limit. The maximum wellhead injection pressures will be varied by well to account for formation depth variations across the field to insure that formation parting gradient will not be exceeded. Schrader Bluff Pool true vertical depth subsea tops vary from approximately 3400 to 4400 feet. 16 ---L '- '- SECTION L Fracture Information 20 AAC 25.402(c) (11) Normal water injection operations for the Schrader Bluff Pool will entail injecting below an equivalent gradient of 0.66 psi/ft. Step Rate Injection Tests and fracture stimulation data were used in determining the equivalent formation parting gradient. Based on instantaneous shut-in pressure (ISIP) data obtained prior to hydraulic fracture stimulations of Schrader Bluff completions, the fracture gradient of the formation was determined to range from 0.62 to 0.70 psi/ft. These fracture gradients were calculated by the following formula: F.G. = {ISIP + (O.052*P*H)} /H where, F.G. - fracture gradient, psi/feet ISIP - instantaneous shut-in pressure, psi P - density of injection fluid, ppg H - true vertical depth of top perforation, feet The ISIP data and corresponding calculated fracture gradient are summarized in the attached table. 17 -~ -- SECTION L Fracture Information (continued) 20 AAC 25.402{c) (11) WELL ISIP (PSI) 833 1117 960 1000 911 934 781 754 974 FRAC GRADIENT (PSI/FT) G-1 G-3 H-3 H-4 1-1 1-2 1-3 1-4 J-1 AVERAGE 0.64 0.70 0.67 0.68 0.66 0.67 0.63 0.62 0.68 0.66 NOTES: 1) 2) ISIPs obtained from hydraulic fracture stimulations. Frac gradients calculated based on top perforation. One Step Rate Inject{Rn Test has been performed on a Schrader Bluff Pool Well. MPU A-3 was extensively injection tested in November and December 1983. Table L-1 summarizes test results data and Figure L-1 is a graphical representation. Equipment limitations did not allow continuing the test to higher pressures and rates. However, the test results did indicate that the formation had not parted at a rate of 2140 BWPD with top-perf pressure of 2769 psig, an equivalent injection gradient of 0.66 psi/ft. This test indicates an injection gradient of 0.66 psi/ft will not initiate fractures. A Step Rate Injection Test is regarded as a more accurate way of measuring injection parting pressure than from fracture stimulation ISIPs. 18 Injection Step Rate Test Schrader Bluff Pool - Milne Point Unit MPU Well A-3 Test Top-Perf Equiv . Curve Rate Pressure Grad Fit ( BPD PSIG psi/ft PSIG 0 1771 0.42 1775 302 1931 0.46 1923 605 2006 0.48 2071 970 2279 0.54 2250 1450 2569 0.61 2485 2140 2769 0.66 2822 Table L-1 ( In~ec:ion S:ep-Ra:e Tes~ Schrader Bluff Pool - Milne Point Unit MPU Well A-3 Top-Perf I njection Pressure, psig 3000 · . · , · , · , 2500- ...................... .......¡ ................................J~!~- : -----~ j ! 200 0 ...=~~::1~~~..._..~i"""..."....."'.....,...,.,."..,.,··,·,·'··'·1·'·"'·,,··,·..·,",·,··,·,·,·,..····,,··,··.....".,..,..,..,..."...,.,......"...................,..............,..............'",......,...,.,.""",.. ......."..... ""'"'''''' 1500 _...... ....."",,,..,...,,,...... ...."....,............................,...,........,.... · , , . · , , . ·,..,····,·,""',··,,·..··..,··..···..·,·....··,,·'.."'·1..··'.."......'.....'....'..."..."'..'..".'."""...'..'.!.........".",..",..,."""" ..,......,...."."...,.". 1 0 0 0 -,.........."",...."".."... "....,.".",.."..".,¡.......,.". .........,.................,..,.........,.".....".....".,....,. , , , , · , , . . . .. , , , . , , . . " . .. , . , , " . . .. .. . . , " . , . , . . '. " . . , , . , .. , . ... . .. , . ... , . " , . . .. . .. ..' , . . . . " . . . , . , . . . , , . , . , .. ~. . . . . .. . . . , . . . .. . . , , . . , , , . . . , , , , ". . . . . , " .. . .... . . . . , . .. .. ... . 500 -"".. ".. ".... , "...... " " " " "",, " ""."".. """,,,.....,,,,,,,.,,. ,........""....,..,......",....,....,..,.....,...... , , ,...".""...,..............,.".".".",,\,.................................................,.....................'"'''''''''''' · , , , · , · , · . i ................................... o o 500 1000 1500 2000 Injection Rate, BPD 2500 ( ~ ",I,,· Test Points · Curve Fit Figure L-1 y, ....,.,.-' '.-- SECTION M Formation Fluid 20 AAC 25.402(c) (12) A Water Analysis for the Schrader Bluff Pool formation is included as Figures J-3a and J- 3b. 19 ,~ !\ -" SECTION N Freshwater Aquifer Exemption 20 AAC 25.402 (c) (13) It was the conclusion of AOGCC Aquifer Exemption Order No.2, July 8, 1987, that "Those portions of freshwater aquifers lying directly below Milne Point Unit qualify as exempt aquifers under 20 MC 25.440". The Milne Point Unit and Schrader Bluff Pool areas are coincident. 20 o - ---- SECTION 0 Hydrocarbon Recovery 20 AAC 25.402(c) (14) Primary recovery, by natural drive mechanisms, from the Schrader Bluff Pool is estimated to be 12 percent of the OOIP (original-oil-in-place). Secondary recovery, by waterflooding, from the Schrader Bluff Pool is estimated to be an additional 9 percent of the OOIP. 21 ~ ......,..-" -~ SECTION P Mechanical Integrity 20 AAC 25.402(d) and (e) All wells are pressure tested prior to completion, and all wells are in accordance with 25.402(d) and (e). If converted to injection, the casing will again be pressure tested in accordance with 20 AAC 25.412(c). Mechanical integrity of all Injection Wells will be demonstrated by the operator by monitoring the pressure in the casing/tubing annulus during actual injection. The casing/annulus pressure is then monitored on a weekly basis and recorded by the well site operator. The monitored annulus pressure will be reported monthly on the Monthly Injection Report (Form 10-406). 22 Q · ~h~ - SECTION Q Wells within Area 20 AAC 25.402{h) The wells within the area of review (Le., MPU) are shown on the plat (Figure B-1). To the best of Conoco Inc. 's knowledge, the wells within the area were constructed in compliance with 20 MC 25.030, and where applicable, abandoned to prevent the movement of fluids into freshwater sources. Drilling plans, well casing and completion records are available on Forms; 10-401 IIPermit to Drill", 10-403 IIReport of Sundry Well OperationsU, 10-407 IIWell Completion of Recompletion Report and Logu. 23 '< '-",.-' .......~......-- SECTION R Schrader Bluff Pool Area Milne Point Unit Conservation Order No. 255 ( July 2, 1990) Umiat Meridian T13N R9E Sections 13, 14, 23, and 24. T13N R10E All Sections. T13N R11E Sections 5,6,7,8,15,16,17,18,19,20,21,22,30,31 and 32. The Milne Point Unit and Schrader Bluff Pool areas are coincident. An MPU plat with Section, Township and Range is available as Figure B-2. 24 s '-' .-- SECTION S Underground Injection Control Variances 20 AAC 25.450 Water injection will not occur into, through, or above a freshwater source or non-exempt freshwater aquifer. Conoco Inc. requests one variance for Schrader Bluff Pool water injection wells within the boundary of the Milne Point Unit. A variance is requested from the cement bond log requirement of 20 AAC 25.030(g) (3). Schrader Bluff Pool well completions (for both injectors and producers) have surface casing set and cemented below fresh water bearing sands and production casing set and cemented at TO. Schrader Bluff Pool injection wells will have radioactive tracer logging performed on initial completion and subsequently on a periodic basis. This will verify that injection water is entering only the Schrader Bluff Pool. Any indications of out of zone water injection will result in immediate injection well shut-in. Remedial actions to correct any problems will be implemented before return to water injection. Therefore, Conoco respectfully requests a variance from 20 AAC 25.030(g) (3) for all Schrader Bluff Pool wells which are completed in this manner. 25 ¥~. ~O( )CO) November 1, 1991 Conoco Inc. 3201 C Street, Suite 200 Anchorage, AK 99503-3999 (907) 564-7600 Alaska oil and Gas Conservation commission 3001 Porcupine Drive Anchorage, Alaska 99501 Dear Sirs: step rate tests and pressure falloff surveys have been performed on five waterflood injection wells in the Milne Point unit. The objectives of this work were to determine formation parting pressures and to calculate effective fracture lengths. This information was used to verify any fractures induced by operating at our current fieldwide pressure do not propagate far enough to short-circuit the water flood. The results of this testing are summarized below: Measured Normal Calculated Well Frac Press Operating Press Parting? Length MPU B-8 6485 psi 6205 psi No 76 ft MPU B-14 5735 psi 5605 psi No 87 ft MPU C-15 5650 psi 5955 psi Yes 68 ft MPU C-19 NIA 5982 psi Yes 58 ft MPU E-5 6110 psi 6067 psi Yes 17 ft We are apparently injecting above formation fracture pressure in the C-Pad and E-Pad areas. However, fracture lengths calculated from pressure falloff surveys indicate the water front is not being bypassed by the relatively short fracture wings. Because of the uncertainty involved in measuring actual formation parting pressure, ~racture lengths were also calculated for the B-Pad wells. These calculations also indicate the flood front is not being bypassed. No changes to injection pressures are needed. We will keep the Commission informed of the results of any subsequent testing and fracture length calculations. Please contact Jim Andrew at 564-7621 if you have any questions or need more specific information. Sincerely, RE€EIVED t};;:- /, /' '-r J f .. ../ /----/.// ¿....' J ,_ /{. . .' ~ /C.2?o;¿.'-:;/ A. E. Hastings/ Director of External Affairs NOV - 6 1991 Alaska Oil & Gas Cons. Commission Anchorage cc: DEH, File 500.21, Milne Point - DLW/WJS, VLH/HDS '---~_...' l CO r,.: CO ) Conoco Inc. Suite 200 3201 C Street Anchorage, AK 99503 (907) 564-7600 November 7, 1991 Mr. Blair Wonzel! Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE: Milne Point Unit - Schrader Bluff Pool Area Injection Order Application Dear Mr. Wonzel!: Attached are the suggested modifications to the subject application, dated September 3, 1991. Please replace the original pages 14, 15, 16 and 17 with the attached pages. Copies of these modifications have been sent to all interested lease holders listed in Section C. Please contact me at (907) 564-7615 if you have any questions or require additional information. Yours very truly, '". -\. . .~ ~._. ~ .\- \. .(~ /c --<.:.^---~~~.¡,-----J " ~0.. Steven L. Deckert Senior Reservoir Engineer RECEIVED SLDj(lms) File 500.21.02 NOV - 8 1991 Alaska Oil & Gas Cons. Co.mmlsß\on AncbQraga Attachments cc: State of Alaska, DNR, Jim Eason Arco Alaska Inc., Jim Ruud Chevron U.S.A., Inc., Tom Cook BP Exploration Alaska Inc., Pete Zseleczky Texaco Exploration, E.H. Nelson Amerada, P.E. Bacon Exxon Co. USA, Stuart Gustafson Chevron U.S.A. Inc., Dale Santii OXY USA Inc., G.N. Buttram .'--;:"~ -- SECTION J Injection Fluid (continued) 20 AAC 25.402{C) (9) Compatibility With Formation and Confining Zones - Water sensitivity tests on core samples showed no significant problems with formation plugging or clay swelling. Prince Creek, Schrader Bluff Pool, and Kuparuk formation water are compatible with the receiving and confining zones as noted in Figure J-4. The Milne Point Central Facility Pad (CFP) will process the produced and injected water. Scale and corrosion inhibition chemical treatment takes place at the CFP. Scale and corrosion monitoring will continue with operation of the Schrader Bluff Pool. Treatment will be varied to maintain optimum water injector operation and ultimate hydrocarbon recovery. B. TYPE OF FLUID - Miscellaneous water (including non-hazardous surface water) and associated surfactantsjsolvents used in the washing and cleaning of the facility, equipment within the facility, motor vehicles and other items related to the production of oil at Milne Point. Volumes will be very low and should not exceed 10 bbljday. 14 <.-~ -- SECTION J Injection Fluid (continued) 20 AAC 25.402(c) (9) Analysis of Composition of Fluid - Clean-up water with minor amounts of surfactants / solvents. Source of Fluid - Potable surface water used in clean-up operations. Estimated Maximum Amount to be Injected - 10 BPD. Compatibility with Formation and Confining Zones - Full compatibility with fresh water. Miscellaneous water will be diluted to very small percentage of the injection stream. 15 ~~o? '- SECTION K Injection Pressure 20 MC 25.402(c) (10) The estimated average wellhead injection pressure is 500 psig. This will be well below the equivalent formation parting gradient. Note that the A-3 Step Rate Test was terminated at an equivalent gradient of 0.66 psi/ft, Figure L-1. The well did not fracture at the maximum test gradient. The injection wells will be operated in such a manner that the bottomhole injection pressure will not exceed the tested non-fracturing gradient of 0.66 psi/ft. The Operator will supply the AOGCC with evidence of a higher non-parting gradient, in the form of a Step Rate Injection Test or Fracture Stimulation Initial Shut-in Pressure, before increasing the injection pressure above this prescribed limit. The maximum wellhead injection pressures will be varied by well to account for formation depth variations across the field to insure that formation parting gradient will not be exceeded. Schrader Bluff Pool true vertical depth subsea tops vary from approximately 3400 to 4400 feet. 16 ~ '-- SECTION L Fracture Information 20 AAC 25.402(c) (11) Normal water injection operations for the Schrader Bluff Pool will entail injecting below an equivalent gradient of 0.66 psi/ft. Step Rate Injection Tests and fracture stimulation data were used in determining the equivalent formation parting gradient. Based on instantaneous shut-in pressure (ISIP) data obtained prior to hydraulic fracture stimulations of Schrader Bluff completions, the fracture gradient of the formation was determined to range from 0.62 to 0.70 psi/ft. These fracture gradients were calculated by the following formula: F.G. = {ISIP + (0.052*P*H)} /H where, F.G. - fracture gradient, psi/feet ISIP - instantaneous shut-in pressure, psi P density of injection fluid, ppg H - true vertical depth of top perforation, feet The ISIP data and corresponding calculated fracture gradient are summarized in the attached table. 17 .~ -- SECTION J Injection Fluid (continued) 20 AAC 25.402( c) (9) Compatibility With Formation and Confining Zones - Water sensitivity tests on core samples showed no significant problems with formation plugging or clay swelling. Prince Creek, Schrader Bluff Pool, and Kuparuk formation water are compatible with the receiving and confining zones as noted in Figure J-4. The Milne Point Central Facility Pad (CFP) will process the produced and injected water. Scale and corrosion inhibition chemical treatment takes place at the CFP. Scale and corrosion monitoring will continue with operation of the Schrader Bluff Pool. Treatment will be varied to maintain optimum water injector operation and ultimate hydrocarbon recovery. B. TYPE OF FLUID - Miscellaneous water (including non-hazardous surface water) and associated surfactantsjsolvents used in the washing and cleaning of the facility, equipment within the facility, motor vehicles and other items related to the production of oil at Milne Point. Volumes will be very low and should not exceed 50 bbljday. G/""") --::.- j /---"",-/ , r éÂ ¿/Y; " / / . J 14 r// 9/ 1t, c- r:: 1Io<.U: 'J cu e. It "- 0;-'j,''''';/5 s~C_:I¡J ;:';&.5 . Ir. 15" /~ ~"J )7 0 r ¡he ./ ./ .. Sd,,"!,!d 8/t.Jf' A...~ 1....,J~-I,'ð,.) OJdM A¡;f¡,~I~I1. ~ec. J ---;::C¿Ff~}-¡Þ.h-!" J .. (S- D ri;1,L, )"J U.J ð J.t;) (I -Þ 1< -I b \Îú. rh') p rtO> $- 5 fJ ~ (,6 /?! '!)'\. - 8 {Ls-" -~~ '- SECTION J Injection Fluid (continued) 20 AAC 25.402( c) (9) Analysis of Composition of Fluid - Prince Creek formation for drinki~,~L~a!~~ with minor amounts of surfactantsjsolvents approved by the U.S. Department of Labor. /( Source of Fluid - Surface Facility wastewater. Estimated Maximum Amount to be Injected - 50 BPD. Compatibility with Formation and Confining Zones - Full compatibility with fresh water. Miscellaneous water will be diluted to very small percentage of the injection stream. o / J¿ /,~ /' C / / / j-- u.ç, j-?~ l 9;>/ ,; / ¡~ 15 '- SECTION K Injection Pressure 20 AAC 25.402(c) (10) The estimated average wellhead injection pressure is 500 psig. The maximum wellhead injection pressure for enhanced recovery water injection wells in t( \ the Schrader Bluff Pool is 885 psig. This pressure is based on a formation parting gradient of 0.66 spijft, 12.70 ppg, minus a safety factor of 0.5 ppg. Schrader Bluff Pool true vertical depth subsea tops vary from approximately 3400 to 4400 feet. The maximum wellhead injection pressure will be varied by well to account for formation depth variations across the field to insure that formation parting pressures will not be exceeded. it. / t / 0.052 * (FGEMW - 0.5 - 8.33) * H MWIP = MWIP = MWIP = MWIP = FGEMW = H = ('{ '\ 0.052 * (12.70 - 0.5 - 8.33) * 4400 ~, ''''. ", 885 psig -"-. Maximum Wellhead Injection Pressure, psig Fracture Gradient Equivalent Mud Weight, 12.7 per gallon True Vertical Depth of Top Perf, Feet o r-/ 9 /~-c ", 'l 16 "-~> '-' SECTION L Fracture Information 20 AAC 25.402{c) (11) Normal water injection operations for the Schrader Bluff Pool will entail injecting below the formation parting gradient of 0.66 psi/ft. Step Rate Injection Tests and fracture stimulation data were used in determining the formation parting gradient. Based on instantaneous shut-in pressure (ISIP) data obtained prior to hydraulic fracture stimulations of Schrader Bluff completions, the fracture gradient of the formation was determined to range from 0.62 to 0.70 psi/ft. These fracture gradients were calculated by the following formula: F.G. = {ISIP + (0.052*P*H)} /H where, F.G. - fracture gradient, psi/teet ISIP - instantaneous shut-in pressure, psi P - density of injection fluid, ppg H - true vertical depth of top perforation, feet The ISIP data and corresponding calculated fracture gradient are summarized in the attached table. 17 o í J ~ I >,_/::j- / J J / I ~. / J ¿.".~ Ÿ'./} J / f -::;) ..~--""/¡- #8 Tom Painter Division Manager Conoco Inc. 3201 C Street Su ite 200 Anchorage, AK 99503 . ;~)r~ [.!.l(:;~_ ,~~~/~?~G -\ i ,~"..,-:¡ , --1--'1 i\-~~-d'~r; n0-J ~:.'_: __c._;.;~~ \ \ " "'. r::; " -' ;-. 0 \.. I -, \~~~~îffi \"c;¡-"¡:Y\EC,H\ ~ j oJ I r". ___ _ .___~ \~1A!-!E.Cr\,-=\ \£lç~ ._-,-~~~~ ~ ~o~ February 1, 1988 Mr. Chat Chatterton State of Alaska Alaska Oil and Gas Conservation Commission 3Û01 Porcupine Drive Anchorage, AK 99501 Dear Mr. Chatterton: Conoco received~·1' TO L " , IlIL dated July 8, 1987 from the Alaska Oil and Gas Conservatio Commission (AOGCC) which exempted those portions of all freshwater aquifers lying directly below the Milne Point Class II injection activities. We plan to begin drilling some new wells within the Mile Point Unit in March, 1988. Our plans include the pumping of excess non-hazardous fluids that are developed solely from well operations or necessary to control the fluid level of reserve pits into surface/production casing annuli. In order to facilitate the above described plans, Conoco requests Administrative Relief under Rule 8 of Area Injection Order 10 to amend Rule 2 of the injection order to exempt the pumping of excess non-hazardous fluids into surface/production casing annuli from the stated requirements of Rule 2. Please contact Jim Dosch at 659-6336 you should have any questions. Yours very truly, ",/-. "--"60 T'¡¡(í'~- ~pa!nter \. /Div sion Manager 00.21-02 RECEIVED Ft:¡ R-ù ... -co:-~ ~ , ii '~.- A1aslœ Oil & Gas Cons. Commission Anchorage #7 \\to sr"'l: 0~ ~<S" ;po ft 0 <" _ -z.. -~w :D <.:) ~ ~ ~ o~ 1-)': 0'\~ ""l. PRO"'í~ U.S:--L:'T'JVIRONMENTAL PROTECTION Aü'ì::j'~CY REGION 10 1200 SIXTH AVENUE SEATTLE, WASHINGTON 98101 NDV 4 1986 REPL Y TO ATTN OF: MIS 409 John R. Kemp, Division Manager Conoco Incorporated 3201 C Street, Suite 200 Anchorage, Alaska 99503 RE: Termination of EPA Emergency Permits at the Milne Point Unit (Kuparuk River Field) Dear Mr. Kemp: The Alaska Oil and Gas Conservation Commission issued the Conoco Incorporated an Area Injection Order No. 10 for the Milne Point Unit (Kuparuk River Field) on September 19, 1986. Therefore, the following EPA Emergency Permits for injection wells are terminated in accordance with 40 CFR 144.40: AK-2R0073-E through AK-2R0085-E AK-2R0215-E and AK-2R0216-E AK-2R0234-E through AK-2R0239-E. Also, EPA rule authorization under either 40 CFR 144.21 or 40 CFR 144.22 for other existing injection wells is terminated. Sincerely, r~ j(~ Robert S. Burd Director, Water Division cc: C. V. Chatterton, AOGCC " ~ ··'.0 Þ.l~).st(a (11! t: #6 " "- '-- I L. i I c> (}J-V\; ~~ ~ Ap ~~ 0 ~f;&øw 1 I 6 t:: -... I . , I i I ¡-._-~--_.._-----_._--_.__.._----_._._. · 8 ) 12 7 , Eileen ø ~ \ l (R' 0- ~'F Il^~ J: ~ . " ). -" _ . ¡; r ?! , . ~ . , " : ",.' " - " ~ ik, -~ ,i/\i'1 J ¿:ULiI ùate . -' ~ n s ~onoco ) RECEIVED MILNE POINT UNIT SEP 15 1986 FIGURE B-1 Alaska Oil & Gas Cons. Con Isslon Anchorage ~-. .---.-.--- ------_. -- - BASE MAP w/BOTTOM HOlE'LOCATIONS A-~ () ItJ / 0 ------~ -------- 1" - 2000' 5/27/86 #5 ~ ''¥/ STATE OF ALASKA 2 OIL AND GAS CONSERVATION COMMISSION 3 HEARING - --,........--_~- ~ - --<=- 4 Regarding the Injection Order Application for the Milne Point Unit 5 6 September 15, 1986 9:00 a.m. 3001 porcupine Drive Anchorage, Alaska 7 8 9 COMMISSION MEMBERS PRESENT: 10 CHAT CHATTERTON, CHAIRMAN WILLIAM BARNWELL, MEMBER LONNIE C. SMITH, MEMBER 11 12 PRESENT FOR CONOCO: 13 Al Hastings Warren Hairford Rod Schulz 14 15 16 17 18 19 20 21 b.'J õ= C ç ~ \1 ç D ti\.t L..~\iib.. 22 UCT 2 ~2 1986 At ka Oil & Gas Cons. Commission t\las Anchorage 23 24 25 R & R COURT REPORTERS 810 N STREET, SUITE 101 277-0572 - 277-0573 509W.3RDAVENUE 277-8543 1007W.3RDAVENUE 272-7515 ANCHORAGE. ALASKA 99501 -- ~/ ~/ -2- PRO C E E DIN G S MR. CHATTERTON: Thank you. Good morning. I 2 would like to make note of the time, it's about 9:05 a.m. on 3 September the 15th, 1986. We are located in the conference room 4 of the Alaska Oil and Gas Conservation Commission at 3001 Porcupine 5 Drive. Our purpose here this morning is to hear testimony from 6 Conoco regarding an application that they have made to the 7 Commission which requires a decision on the part of the Commission. 8 I would like to introduce those people here at the head 9 table. At my extreme right, your left, is Ann Prezyna. She 10 is our -- from the A.G. 's Office, Attorney General's Office, 11 and does work for the Commission, and has for a long while. 12 Immediately to my right, to your left of me, is Commissioner 13 Bill Barnwell. I am Chat Chatterton. To my left is Commissioner 14 Lonnie Smith. And to the far left is Meredith Downing with 15 R & R Court Reporters who will be taking down the proceedings 16 before us. 17 At this time to be more specific as to why we are here, 18 I would like to have call upon Commissioner Smith to read 19 our notice of the opportunity for this hearing into the record. 20 Lonnie? 21 MR. SMITH: This is the notice published in the 22 Anchorage Daily News on August 15th, 1986. "The Alaska -- the 23 Alaska Oil and Gas Conservation Commission has been requested 24 by letter dated July the 28th, 1986, to issue an~rder for area 25 ~ -~ ';-'" ,," ,"" ~ ìi "E- 'D" ~;"¡('~ Ib ~ "I" i. i'\ b ~ L. s \i R & R COURT REPORTERS ,,- ~ì ') 1986 ~.... L .i. 810N STREET, SUITE 101 509W.3RDAVENUE 1007W.3RDAVENUE 277-0572 - 277-0573 277-8543 272-7515 ANCHORAGE, ALASKA 99501 AJas:<a 0\1 & Gas Cons. Com TIisslc~ Anchorage ~ ~~ 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ~~' ---' -3- injection to provide authorization for utilizing surface wells permitted in accordance with 20 AAC 25.005 or 20 AAC 25.280, to inject fluids underground for purposes of enhancing oil recovery from the Milne Point Unit in the Kuparuk River field. Parties who wish to protest the granting of~the _- referenced request are allowed 15 days from the date of this publication in which to file a written requst for a hearing. The place of filing is the Alaska Oil and Gas Conservation Commission, 3001 Porcupine Drive, Anchorage, Alaska, 99501. If a protest and request for hearing is timely filed, a hearing on the matter will be held at the above address at 9:00 a.m. on September the 15th, 1986, in conformance with 20 AAC 25.540. If a hearing is to be held, interested parties may confirm this by calling the Commission's office 907-279-1433 after August the 30th, 1986. If no such protest is timely filed, the Commission will consider the issuance of the order without a hearing. Lonnie C. Smith, Commissioner, Alaska Oil and Gas Conservation Commission. MR. CHATTERTON: Okay. Thank you, Lonnie, very much. The -- I believe the record should show that a protest was timely filed. We received a protest to the application of Conoco within the 15-day period, and accordingly why the opportunity for this hearing has been -~ we've made -- we've availed ourselves and followed out exactly what the notice is. The -- and Conoco is now here represented by technical R & RCOURT REPORTERS 810N STREET. SUITE 101 277-0572 - 277-0573 509W.3RDAVENUE 277-8543 1007W.3RDAVENUE 272-7515 ANCHORAGE, ALASKA 99501 - ,--' -4- people I believe to put on testimony, and that is in effect in 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 support of your application for this area injection order, is that correct?] MR. HAIRFORD: Yes, sir. MR. CHATTERTON: Is there anyone, obviously there isn't, but I'll ask the question, there is no one in the audience representing the protestant in this case I do not believe, is that correct? Silence is consent, there is no one in the audience. Let me go off the record for a moment here. (Off record) (On record) MR. CHATTERTON: This is Chat Chatterton. While we were off the record, why we discussed a little bit about where to proceed from here, because we indeed have no presence of the protestant, and we felt that it would be a little bit inefficient to proceed and have Conoco offer testimony that would be a total redundancy to the written application, and all of the testimony in the exhibits and so forth and so on that were attached to that application that was submitted some weeks ago to the Commission. So we felt that the in the interest of efficiency we would not proceed with that. So accordingly, we are going to go forward and read into the record the protestant's undated letter that has led to this gathering here this morning. Lonnie, would you be so kind as to read that? R & R COURT REPORTERS 810N STREET, SUITE 101 277-0572 - 277-0573 509 W. 3RD AVENUE 277-8543 1007 W. 3RD AVENUE 272-7515 ANCHORAGE, ALASKA 99501 ".~.,/ 15 16 17 18 19 20 21 22 23 24 25 ~- .~ .~- -5- MR. SMITH: This letter was received by certified 2 mail August the 22nd, 1986. It's from the Barrow News -- the 3 Barrow Sun Newspaper, Business Office, 3933 Geneva Place, 4 Anchorage, Alaska, 99508, addressed to Lonnie C. Smith, Corrmissioner. 5 Alaska Oil and Gas Conservation Commission, 3001 porcupine Drive, 6 Anchorage, Alaska, 99501. 7 "Reference: Formal protest and request for public hearing 8 ln the matter of the application of Conoco, Inc., for an area 9 injection order for the Milne Point Unit of the Kuparuk River 10 Field. 11 "Dear Commissioner Smith: This letter is to formally 12 protest the granting of this permit and to request a public 13 hearing accessible to the residents of the North Slope. 14 "The intent of the law -- the state law on public notices is clear: It intends that the affected public be notified prior to the issuance of such a permit. The Commission, however, instead of informing the people of the North Slope Borough villages whose tax base and environment would be most directly affected, buried a purported notice in an Anchorage newspaper hundreds of miles away from the North Slope Borough. That is just not good enough, because the Anchorage News is not in general circulation at At- --" I can't pronounce this name of the village, A-t-q-a-s-u-k, "Nuigsui t, Barrow, et cetera, where, instead.c of, every family receives a subscription to a local newspaper, the Barrow Sun. R & R COURT REPORTERS 810 N STREET, SUITE 101 277-0572 - 277-0573 509 W. 3RD AVENUE 277-8543 1007W.3RDAVENUE 272-7515 ANCHORAGE, ALASKA 99501 .~ "..,...-' -6- "The people of the North Slope Borough have been sensitized 2 previously tro the need for adequate public notice. If there 3 is nothing improper about what you are doing in the Borough, 4 and we do not believe that there is, the Commission should have 5 no problem with the use of public notices that actually reach 6 the people of the Borough. It would certrainly not cost more 7 to reach the people instead of burying -- burying the notices 8 many miles away. 9 "We lhave previously contact the Commission about such 10 a lack of notice to the poeple of the North Slope Borough. The 11 first time we were promised in writing that the procedures would 12 be chnged to reach the people living in the North Slope Borough, 13 so we did not pursue the matter. This time when we called we 14 heard the -- the very same words we heard when we asked the 15 now former malyor of the North Slope Borough why his notices 16 of contracts and the meetings were buried in the very same way in 17 the same Anchorage paper. 18 "It is good pbulic policy, costs less money, nad is 19 the intent of the law to properly inform the people of the North 20 Slope Borough when the Commission takes an action that might 21 directly affect them. To attempt to do otherwise raises questions 22 of intent, particularly in view of the Borough's recent experiences. 23 We suggest the Commission follow the lead of the new North Slope 24 Borough Mayor and attempt to keep the people informed with public 25 notices that actually reach the public. In the absence of that, R & R COURT REPORTERS 810N STREET, SUITE 101 277-0572 - 277-0573 509 W. 3RD AVENUE 277-8543 1007W.3RDAVENUE 272-7515 ANCHORAGE, ALASKA 99501 '....,.""... '-" -7- a public -- a public hearing will have to be held in the North 2 Slope Borough so that the residents of the Borough, the public, 3 can be heard. 4 "Reasonable people ought to be able to sit down and 5 work out a reasonable solution to this situation so that it 6 does not delay or embarrass the oil industry. We are certainly 7 willing to try. Please give us a call if you have any ideas 8 on the subject. Sincerely yours, J. Lindauer, Publisher. II 9 MR. CHATTERTON: Thank you, Lonnie. I would 10 like to ask the applicant, Conoco, if they would -- I'm told 11 that they have one of their staff people who plans to put on 12 the expert testimony, the technical testimony. I would like 13 to have him introduced and -- and state -- have him state his 14 name and his qualifications, and what -- what he had -- what 15 part he might have played in the in the application that 16 was submitted to us some weeks ago? 17 MR. SCHULZ: My name is Rod Schulz. 18 MR. CHATTERTON: Rod, you -- you might -- I'll 19 ask Meredith, but you might want to sit down, unless you want 20 to get up, because I think ..... 21 MR. SCHULZ: Okay. Well, I just want to 22 MR. CHATTERTON: (indiscernible, 23 simultaneous speech) a lot better. 24 MR. SCHULZ: get rid of this. 25 MR. CHATTERTON: Okay. R & R COURT REPORTERS 810 N STREET, SUITE 101 277-0572 - 277-0573 509 W. 3RD AVENUE 277-8543 1007W.3RDAVENUE 272-7515 ANCHORAGE, ALASKA 99501 - .~ -8- MR. SCHULZ: Give it to you. This is Exhibit One, 2 which is a copy of our injection order application submitted 3 to the Alaska Oil and Gas Conservation Commission. 4 MR. CHATTERTON: Okay. 5 MR. SCHULZ: I'd like to now state my qualifica- 6 tions to give expert testimony on behalf of Conoco, Incorporated, 7 a wholly owned subsidiary of DuPont. 8 MR. CHATTERTON: please go ahead, Rod. 9 MR. SCHULZ: Okay. In May, 1982, I received 10 a four-year Bachelor of Science degree in petroleum engineering 11 from the University of Kansas. During this time I worked for 12 the Kansas Bureau of Air Quality to conduct interviews and collect 13 data for the Environmental Protection Agency. 14 I've been employed since college graduation by Conoco, 15 Incorporated, in various petroleum engineering assignments. 16 The first two and a half years I worked in the Corpus Christi 17 Divisoin and was -- was involved with work in the environmentally 18 sensitive Aransas Natinal Wildlife Refuge. 19 I've worked as a reservoir engineer for Conocom Anchorage, 20 Alaska, since April 1st, 1985. My responsibilities include 21 the handling of EPA and AOGCC injection permit applications and 22 related correspondence. I also do all of the reservoir engineering 23 for the Kuparuk River formation, which ig the only reservoir 24 presently producing oil at Milne Point. 25 I'm a member of the Society of Petroleum Engineers, R & R COURT REPORTERS 810NSTREET,SUITE 101 277-0572 - 277-0573 509 W. 3RD AVENUE 277-8543 1007W.3RDAVENUE 272-7515 ANCHORAGE, ALASKA 99501 .~ '--, -9- ~ the Society of Professional Well Log Analysts, and the Gas 2 Processors Association. I recently authored a._copyrighted Society 3 of Petroleum Engineers Technical Paper that is now being used 4 by internationally recognized educators in the petroleum 5 engineering curriculum at the University of Kansas. I have 6 also co-authored a copyrighted technical paper for the American 7 American Society of Mechanical Engineers. 8 By the way, I'd like to mention that the Society of 9 Petroleum Engineers technical paper was concerning a well, a 10 state of the art completion of a well that was within a few miles 11 of the Davy Crocket National Forest, which was an environmentally 12 sensi ti ve area. 13 Moving on, I'd like to state that I passed the engineer- 14 in-training exam in 1982, and I am currently pursuing the 15 qualifictions required to become a registered professional 16 eng ineer . 17 As specified by the Alaska Administrative Code, Title 20, 18 Chapter 25, Section 540, part (C)(5), I respectfully request 19 to serve as I respectfully request approval to serve as an 20 expert witness by the Alaska Oil and Gas Conservation Commission. 21 MR. CHATTERTON: Thank you, Rod. The Commission 22 certainly recognizes your professional background and -- and 23 accepts you as an expert witness to testify in the matter before 24 us. 25 Rod, as we mentioned in off the record -- in -- when R & R COURT REPORTERS 8JONSTREET,SUITE 101 277-0572 - 277-0573 509 W. 3RDAVENUE 277-8543 1007W.3RDAVENUE 272-7515 ANCHORAGE, ALASKA 99501 ~~ ~ -10- ~ we were off the record, why we don't -- don't -- well, let me ask 2 you this question if I may: Do you have anything to offer this 3 morning that would be over and above what is -- was in the 4 your application package that would have a bearing on the merits 5 of whether or not the Commission issues this requested area 6 injection order? 7 MR. SCHULZ: No, sir, I just have more details 8 concerning the injection application. 9 MR. CHATTERTON: Right. We we have met with 10 you off and on informally and explored some of these detail 11 matters with you that were over and above what your initial 12 application, is that correct? 13 MR. SCHULZ: Yes, sir, that is correct. 14 MR. CHATTERTON: Thank you very much. Is there 15 anything in your application for this area injection order for 16 the Milne Point Unit portion of the Kuparuk Oil Pool that is 17 is materially different than the authorization that you are 18 currently operating under that was issued by the U.S. Environmental 19 Protection Agency? 20 MR. SCHULZ:' No, sir, this ___- this injection 21 order application submitted by Conoco to the AOGCC is congruous 22 to the application that we are currently operating under, that 23 being an underground injection control permit issued by the 24 Environmental Protection Agency on December 24th, 1984. 25 MR. CHATTERTON: Thank you. 1'm going to see R & R COURT REPORTERS 810 N STREET, SUITE 101 277-0572 - 277-0573 509 W. 3RD AVENUE 277-8543 1007 W. 3RD AVENUE 272-7515 ANCHORAGE, ALASKA 99501 ~~- 2 3 4 5 6 7 8 9 10 11 12 13 '-::._~ 14 15 16 17 18 19 20 21 22 23 24 25 ~ - "._,,' C E R T I F I CAT E - _._--~-----------'--'-'-~ "'---~--- ~- ,--=---- UNITED STATES OF AMERICA SSe STATE OF ALASKA I, Meredith L. Downing, Notary Public in and for the State of Alaska and electronic reporter for R & R Court Reporters, Inc., residing at Anchorage, Alaska, do hereby certify; That the annexed and foregoing transcript of hearing Conservation Commission was taken September, 1986, commencing at the the offices of the Alaska Oil and 3001 Porcupine Drive, Anchorage, before the Alaska Oil and Gas before me on the 15th day of hour of 9:00 o'clock a.m. , at Gas Conservation Commission, Alaska, pursuant to notice; That this transcript, as heretofore annexed, is a true and correct transcr iption of the testimony given by the wi tnesses, takert by me electronically and thereafter transcribed by me; That the original of the transcript has been retained by me for the purpose of filing the same with the Alaska Oil and Gas Conservation Commission, Anchorage, Alaska, as required; and That I am not a relative, employee, attorney, nor counsel of any of the parties, nor am I financially interested in this action. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my seal this 17th day of October, 1986. '-'- '-- --"'- -- --- ~ SEA L R & R COURT REPORTERS 810NSTREET,SUITEI01 509W.3RDAVENUE 1007W.3RDAVENUE 277-0572 - 277-0573 277-8543 272-7515 ANCHORAGE, ALASKA 99501 -- - TESTIMONY OF ROD SCHULZ BEFORE THE ALASKA OIL AND GAS CONSERVATION CO~MISSION REGARDING THE INJECTION ORDER APPLICATION FOR THE MILNE POINT UNIT (September 15, 1986) Conoco is the operator of the Milne Point Unit (MPU) , which is the third producing unit on the north slope of Alaska. Production com- menced in November, 1985, and the unit is currently producing 10,000 BOPD. Conoco is presenting testimony concerning an Inj ection Order Application for the MPU which was properly filed with the Alaska Oil and Gas Conservation Commission (AOGCC). This permit is congruous to the EPA approved injection permit under which Milne Point is currently operating. My name is Rod Schulz and I will now state my qualifications to give expert testimony on behalf of Conoco Inc., a wholly owned subsidiary of DuPont. In May, 1982, I received a four-year Bachelor of Science (BS) degree in Petroleum Engineering from the University of Kansas. During this time I worked for the Kansas Bureau of Air Quality to conduct inter- views and collect data for the Environmental Protection Agency (EPA). I have been employed since college graduation by Conoco Inc .in various petroleum engineering assignments. The first 2~ years I worked in the Corpus Christi Division and was involved with work in the environmentally sensitive Aransas National Wildlife Refuge. '---' - I have worked as a reservoir engineer for Conoco in Anchorage, Alaska since April 1, 1985. My responsibilities include the handling oÍ EPA and AOGCC injection permit applications and related correspondence. I also do all of the reservoir engineering for the Kuparuk River formation, which is the only reservoir presently producing oil at Milne Point. I am a member of the Society of Petroleum Engineers (SPE), Society of Professional Well Log Analysts (SPWLA), and the Gas Processors Asso- ciation (GPA). I have held elected offices in the GPA and SPwLÄ. I recently authored a copyrighted SPE technical paper that is now being used by internationally recognized educators in the petroleum engineering curriculum at the University of Kansas. I have also co-authored a copyrighted technical paper for the American Society of Mechanical Engineers (ASME). I passed the engineer-in-training (EIT) exam in 1982, and I am currently pursuing the qualifications required to become a registered professional engineer. As specified by the Alaska Administrative Code, Title 20, Chapter 25, Section 540, part (C) (5), I respectfully request AOGCC approval to serve as an expert witness for Conoco Inc. The Milne Point Unit was formed in 1979. After being evaluated from 1980-83, surface facilities were built, transported and installed in 1984-85. Development drilling occurred from January, 1985, through February, 1986. Production is from the Kuparuk River Formation through 25 producers and 16 injectors. Water injection is needed for -.....r c__ waterflooding the oil reservoir. This doubles the oil recovery and maximizes the production of our non-renewable natural resource. Conoco's MPU is part of the Kuparuk River Field. The remainder of the field produces approximately 250,000 BOPD and is operated by ARCO Alaska's Kuparuk River Unit (KRU). ARCO submitted an Injection Order Application to the AOGCC, which was approved on June 6, 1986. The MPU and KRU produce from correlative geologies and are similar in many respects. Also, Area Inj ection Orders for the Prudhoe Bay Eastern Operating Area, Prudhoe Bay Western Operating Area, and the Endicott Unit have been recently submitted to and approved by the AOGCC. Conoco is currently operating under an Underground Injection Control (UIC) permit approved by the EPA on December 24, 1984. This was in accordance with federal regulation 40 CFR 144.34. Conoco has complied wi th EP A regulations and all of Conoco' s inj ec tion wells have EP A approved UIC permit numbers. These are listed in Section Q, page 22, of Exhibit 1, which is a copy of Conoco's Injection Order Application for the Milne Point Unit. Effective June 19, 1986, the EPA granted underground injection control to the State of Alaska. This transfer of governmental regulatory authority requires Conoco and several other oil companies to submit new Injection Order Applications to the AOGCC. Conoco's application to the AOGCC parallels the UIC permit approved by the EPA. I will now outline Conoco's Injection Order Application. ~~ ~ OUTLINE OF CONOCO'S INJECTION ORDER APPLICATION Section A of Exhibit 1 specifies that the Injection Order Application is for an area permit. This is similar to Conoco' s EPA UIC permit application of August 2, 1984, which was approved on December 24, 1984. Section B of Exhibit 1 is a base map of the Milne Point Unit (MPU) with the bottom-hole locations of all pertinent ÞŒU wells. As illus- trated, most of the wells are deviated holes drilled from the Band C pads. Section C of Exhibit 1 identifies the surface owners and operators within the area injection order and extending \ mile beyond the MPU boundary. This includes ARCO Alaska Inc. and Standard Alaska Produc- tion Company. Section D of Exhibit 1 is my affidavit concerning 20 AAC 25.402 (c) (3) . Section E is a brief description of the MPU injection operation. Section F of Exhibit 1 defines the producing oil pool at Milne Point. Figure 1 is a log correlation between a Milne Point well and West Sak River State No.1, which defines the Kuparuk River Oil Pool by Rule 2 of Conservation Order No. 173. ~- .~ Section G of Exhibit 1 is a brief geologic description of the Kuparuk River Formation, which also includes a type log and structural contour map. Most of the Milne Point oil production is from the Middle and Lower Kuparuk Sands, with a minor amount coming from the Laminated Zone. All open-hole well logs from the MPU are sent to the AOGCC, as stated in Section H. Section I of Exhibit 1 provides appropriate casing information for MPU wells. Information about the injection fluid used at Milne Point is provided in Section J. See tion K s ta tes the inj ec tion pressures, and See tion L provides fracture information. Section M describes the formation fluid at Milne Point. Section N of Exhibit 1 states that waterflooding at Milne Point, which was approved by the EPA, is expected to double the oil recovery. Section 0 verifies the mechanical integrity of MPU wells, and Section P addresses the wells within the area of the MPU. ~-' -- Section Q lists all MPU injection wells and corresponding EPA assigned and approved UIC permit numbers. Section S of Exhibit 1 states the variances requested, which mayor may not be approved by the AOGCC. As previously mentioned, Conoco's injection operations at the MPU have been approved by the EPA. All of our inj ection wells have EPA ap- proved UIC permit numbers. The Injection Order Application submitted to the AOGCC is the result of a transfer of governmental regulatory authority from the EPA to the AOGCC. As a prudent and environmentally conscious operator of the MPU, Conoco is not proposing any significant changes to the EPA approved injection operations at Milne Point. As a qualified expert witness I will be happy to answer any questions concerning Conoco's Injection Order Application for the MPU submitted to the AOGCC on July 28, 1986. CERTIFIED MAIL 'i~-A!.M~ 8/7.."2/ 8~ B--row Sun Newspaper B>.-/iness Office 3933 Geneva Place Anchorage, Alaska 99508 ~ Lonnie C. Smith Commissioner Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501 re: Formal protest and request for public hearing in the matter of the application of Conoco Inc. for an Area Injection Order for the Milne Point Unit of the Kuparuk" River Field. Dear Commissioner Smith: This letter is to formally protest the granting of this permit and to request a public hearing accessible to the residents of the North Slope. The intent of the state law on public notices is clear: it intends that the affected public be notified prior to the issuance of such a permit. The commission, however, instead of informing the people of the North Slope Borough villages whose tax base and environment would be most directly affected, buried a purported "notice" in an Anchorage news- paper hundreds of miles away from the North Slope Borough. That is just not good enough because the Anchorage News is not in general circulation in Atqasuk, Nuigsuit, Barrow, etc. where, instead, every family receives a subscription to a local newspaper-the Barrow Sun. . The people of the North Slope Borough have been sensitized previou~ly to the need for adequate public notice. If there is nothing improper about what you are doing in the Borough, and we do not believe that there is, "the commission should have no problem with the use of public notices that actually reach the people of the Borough. It would certainly not cost more to reach the people instead of burying the notices many miles away. We have previously contact the commission about such a lack of notice to the people of the North Slope Borough. The first time, we were promised in writing that the procedures would be changed to reach the people living in the North Slope Borough. So we did not pursue the matter. This time when we called we heard the very same words we heard when we asked the now former mayor of the North Slope Borough why his notices of co~tracts and and meetings were buried in the very same way in the same Anchorage paper. It is good public policy, costs less money, and is the intent of the law to properly inform the people of the North Slope Borough when the comm- ission takes an action that might directly affect them. To attempt to do otherwise raises questions of intent, particularly in view of the Borough' recent experiences. We suggest the Commission follow the lead of the new North Slope Borough Mayor and attempt to keep the people informed with public notices that actually reach the public. In the absence of that, a public hearing will have to be held in the North Slope Borough so that the residents of the Borough-the public-can be heard. Reasonable people ought to be able to sit down and work out a reasonable solution to this situation so that it does not delay or embarass the oil industry. We are certainly willing to try. Please gtv~~~I~~~l if you have any ideas on the subject. ~[L[ V tU s»~~ J. Lindauer Publisher AUG 2 2 1986 f' cc: NSB Mayor, Rep. Adams Sen. Ferguson Alaska Oil & Gas Cons. Commission 4n~hnr~nA I';) I C/ ="" "- .-I "- TESTIMONY OF ROD SCHULZ BEFORE THE ALASKA OIL AND GAS CONSERVATION COMMISSION REGARDING THE INJECTION ORDER APPLICATION FOR THE MILNE POINT UNIT (September 15, 1986) Conoco is the operator of the Milne Point Unit (MPU) , which is the third producing unit on the north slope of Alaska. Production com- menced in November, 1985, and the unit is currently producing 10,000 BOPD. Conoco is presenting testimony concerning an Inj ection Order Application for the MPU which was properly filed with the Alaska Oil and Gas Conservation Commission (AOGCC). This permit is congruous to the EPA approved injection permit under which Milne Point is currently operating. My name is Rod Schulz and I will now state my qualifications to give expert testimony on behalf of Conoco Inc., a wholly owned subsidiary of DuPont. In May, 1982, I received a four-year Bachelor of Science (BS) degree in Petroleum Engineering from the University of Kansas. During this time I worked for the Kansas Bureau of Air Quality to conduct inter- views and collect data for the Environmental Protection Agency (EPA). I have been employed since college graduation by Conoco Inc. in various petroleum engineering assignments. The first 2~ years I worked in the Corpus Christi Division and was involved with work in the environmentally sensitive Aransas National Wildlife Refuge. REtE\'JEÐ SEP 1 '5 1986 . Gas Gûl,.:.J.....vIIÜIH5sion NasKa 0'\ &. Anchorage - -' I have worked as a reservoir engineer for Conoco in Anchorage, Alaska since April 1, 1985. My responsibilities include the handling of EPA and AOGCC injection permit applications and related correspondence. I also do all of the reservoir engineering for the Kuparuk River formation, which is the only reservoir presently producing oil at Milne Point. I am a member of the Society of Petroleum Engineers (SPE), Society of Professional Well Log Analysts (SPWLA), and the Gas Processors Asso- ciation (GPA). I have held elected offices in the GPA and SP~ãA. I recently authored a copyrighted SPE technical paper that is now being used by internationally recognized educators in the petroleum ...... engineering curriculum at the University of Kansas. I have also co-authored a copyrighted technical paper for the American Society of Mechanical Engineers (ASME)¡ I passed the engineer-in-training (EIT) exam in 1982, and I am currently pursuing the qualifications required to become a registered professional engineer. As specified by the Alaska Administrative Code, Title 20, Chapter 25, Section 540, part (C) (5), I respectfully request AOGCC approval to serve as an expert witness for Conoco Inc. The Milne Point Unit was formed in 1979. After being evaluated from 1980-83, surface facilities were built, transported and installed in 1984-85. Development drilling occurred from January, 1985, through February, 1986. Production is from the Kuparuk River Formation through 25 producers and 16 injectors. Water injection is needed for RECEIVED SEP 1 5 1986 Alaska all & Gas Cons. \.""I¡¡¡¡II~¡;)On An~horaae --- ~ <- ~~ wa terflooding the oil reservoir. This doubles the oil recovery and maximizes the production of our non-renewable natural resource. Conoco's MPU is part of the Kuparuk River Field. The remainder of the field produces approximately 250,000 BOPD and is operated by ARCO Alaska's Kuparuk River Unit (KRU). ARCO submitted an Injection Order Application to the AOGCC, which was approved on June 6, 1986. The MPU and KRU produce from correlative geologies and are similar in many respects. Also, Area Inj ection Orders for the Prudhoe Bay Eastern Operating Area, Prudhoe Bay Western Operating Area, and the Endicott Unit have been recently submitted to and approved by the AOGCC. Conoco is currently operating under an Underground Injection Control (UIC) permit approved by the EPA on December 24, 1984. This was in accordance with federal regulation 40 CFR 144.34. Conoco has complied with EPA regulations and all of Conoco' s inj ection wells have EPA approved UIC permit numbers. These are listed in Section Q, page 22, of Exhibit 1, which is a copy of Conoco's Injection Order Application for the Milne Point Unit. Effective June 19, 1986, the EPA granted underground injection control to the State of Alaska. This transfer of governmental regulatory authority requires Conoco and several other oil companies to submit new Injection Order Applications to the AOGCC. Conoco's application outline Conoco's Injection Order Application. to the AOGCC parallels the UIC permit approved by the EPA. I will now RECEIVED SEP 1 5 1986 Alaska Oil & Gas COII~. vv¡lImission An~horaae ~ -' '-- OUTLINE OF CONOCO'S INJECTION ORDER APPLICATION Section A of Exhibit 1 specifies that the Injection Order Application is for an area permit. This is similar to Conoco' s EPA UIC permit application of August 2, 1984, which was approved on December 24, 1984. Section B of Exhibit 1 is a base map of the Milne Point Unit (MPU) with the bottom-hole locations of all pertinent ÞŒU wells. As illus- trated, most of the wells are deviated holes drilled from the Band C pads. Section C of Exhibit 1 identiÍies the surface owners and operators within the area injection order and extending ~ mile beyond the MPU boundary. This includes ARCa Alaska Inc. and Standard Alaska Produc- tion Company. Section D of Exhibit 1 is my affidavit concerning 20 AAC 25.402 (c) (3) . Section E is a brief description of the MPU injection operation. Section F of Exhibit 1 defines the producing oil pool at Milne Point. Figure 1 is a log correlation between a Milne Point well and West Sak River State No.1, which defines the Kuparuk River Oil Pool by Rule 2 of Conservation Order No. 173. RECEIVED SEP 1 5 1986 Alaska on & Gas Cons. (;ommission Anehorage ~--- - .-' Section G of Exhibit 1 is a brief geologic description of the Kuparuk River Formation, which also includes a type log and structural contour map. Most of the Milne Point oil production is from the Middle and Lower Kuparuk Sands, with a minor amount coming from the Laminated Zone. All open-hole well logs from the MPU are sent to the AOGCC, as stated in Section H. Section I of Exhibit 1 provides appropriate casing information for MPU wells. Information about the injection fluid used at Milne Point is provided in Section J. Section K states the inj ection pressures, and Section L provides fracture information. Section M describes the formation fluid at Milne Point. Section N of Exhibit 1 states that waterflooding at Milne Point, which was approved by the EPA, is expected to double the oil recovery. Section 0 verifies the mechanical integrity of MPU wells, and Section P addresses the wells within the area of the MPU. RECE\\JED SEP 151986 0'\ & Gas Cons. commission A\a.s1<a 1 Anchorage .~ , -' - - Section Q lists all MPU injection wells and corresponding EPA assigned and approved UIC permit numbers. Section S of Exhibit 1 states the variances requested, which mayor may not be approved by the AOGCC. As previously mentioned, Conoco's injection operations at the MPU have been approved by the EPA. All of our inj ection wells have EPA ap- proved UIC permit numbers. The Injection Order Application submitted to the AOGCC is the result of a transfer of governmental regulatory authority from the EPA to the AOGCC. As a prudent and environmentally conscious operator of the MPU, Conoco is not proposing any significant changes to the EPA approved injection operations at Milne Point. As a qualified expert witness I will be happy to answer any questions concerning Conoco's Injection Order Application for the MEU submitted to the AOGCC on July 28, 1986. RECEIVED SEP 1 5 1986 Alaska Oil & Gas Con~. lJUIJlflilssÎon Anchorage #4 '--" NAME AI0 tv £. f (¿flY;') f+ g)-J/ D (?¡ \(" v\ uJe ({ O¡f/(]Ø~ I /ÌléT Á- l)¡~/N!¡;: ( - ..~ vt'll ,H /lL ///15 77~W ~CN J. J-l;¡IRPORD {(oj 5::j¿¡/¿ V~~5 ¿;u, /LÇXS~' LuL( ({~~ V~v" Ir( c-fA. ~ . ./ ~-- ç~ } J( . A I [J c~7i / û ATTENDANCE SHEET CONOCO INC. PUBLIC HEARING SEPTEMBER 15, 1986 CaMP ANY ItHy 6ev.erecl'5 Óf~1.9- 41t¡ 5~ 0.'( C4d GÇ5 C'ö~5'V. COtA~. /J-Ot7c~ A'6~G: C ~ CO,¿/O C 0 (!, 0 Noeo CO/!/é?eD ~?-# ~/~Sß~ R-OC-C C R£(,E\\lEU SEP 11)1986 . & Gas Cons. commission tJas\œ. 0\\ AAcnorage #3 MEMORA~'~UM Statr of Alaska ALASKA OIL & GaS CONSERVATION COl'1tvfISSION-' TO: Memo to· Fj_le DATE: September 2, 1986 FILE NO.: 1. S.ll TELECOPY NO: 276-7542 TELEPHONE NO.: 279-1433 THRU: SUBJECT: Telephone call from Mr. John Lindauer at 9:04 am, Sept. 2, 1986, concerning Notice of Public Hearing published Aug. 15, 1986 in the Anchorage Daily News FROM:Lonnie C. Smith Commissioner 1¿Ç¡ My recollection of the substance of our comments are paraphrased as follows: Upon inquiry, I confirmed that the hearing would beheld on September 15, 1986. Mr. Lindauer did most of the talking and was quite wound-up about the state providing proper public notice to the people of the North Slope Borough (NSB). He stated several times that he knew the intent of state law, that the law's interpretation was clear to him and that in this case public notice should be provided in the publi- cation that is read by most people in the NSB. He further stated that the Anchorage Daily News was not the most widely read publication in Barrow, but that the Barrow Sun was because: 1. The NSB purchased a subscription of the Sun for each resident and 2. The trouble of the previous NSB administration had all stennned from "burying" notices in the Anchorage newspaper legal sections. I challenged him on the latter issue stating that our notices were proper to be in the Anchorage News which is reported to be the one newspaper in the state with the greatest circulation and that notices of this type were never put on the front page, but in a proper section set aside for such. Mr. Lindauer said they would be happy to discuss this matter at length, that they were reasonable people but that they would push it through the public hearing and other legal options available. I attempted to explain that the particular issue of this notice is almost inconsequential since the EPA had already been adminis- tering over this area and "that it was simply to transfer that power to our agency. Mr. Lindauer seemed completely uninformed 02-001 A (Rev 1 Q..84) and uninterested in the reason and facts of the Notice, but is obviously interested in having any and all state notices pub- lished in his own publication, The Barrow Sun newspaper. September 2, 1986 - ') - Hemo to Files TELECOPY NO. (907) 276-7542 August 25, 1986 Hs. J. Lindauer Publisher Barrow Sun Newspaper Rusiness Office 3933 Geneva Place Anchorage, Alaska. 99508 Dear Ms. Lindauer: Thank you for your undated letter protesting the grantiJlg of an AreA, Inj ection Order for the Hilne Point Unit, as applied for by Canaeo Inc., and requesting a public hearing. Your protest and hearing request was received timely. Therefore, to conform with the August 1, 1986 notice of an opportunity for public hearing, the commission vJill nO"tv hold the public hearing for Conoco's application at the time, date and place specified bv the notice. For your ready reference, we have enclosed a copy of 20 MC 25.540 which sets forth the procedure for public hearings conduct~d before the commission on the subject issue. He look forward to receiving your testimony. Sincere ly, ._ ~i ( . ~'M( f/", j.J ~7;~ (/~ ~ Lonnie C. Smith Connnis s ioner dlf:l.C.4 Enclosure cc: Senator Frank Ferguson Representative Al Adams George Ahmaogak, Sr., Mayor NSB Conoeo Inc. Bar:ow Sun N~WSpa%~)~ L{~ .. "- "'uslness Offlce C'?-~~;'.~ r l CËRTIFIED MAIL fí~ e.~u-á. g/'2- ,-I g~\ .;)933 Geneva Placet f:":;": Fv-:f-lD Lonnie c. Smith C :J Anchorage, AIaSka¡;9c9~p~=, I¡: . _..~j ~ Commissioner ¡ -" I ¡ ~~~~k~o~;;p~~~ ~~~v~onservation Commission IrF'}~:t #J Anchorage , Alaska 995 0 1 I,! ¡~: %~I-_ul re: Formal protest and request for public hearing in the matteti~q~~~n~~~ application of Conoco Inc. for an Area Injection Order for the ¡~__l.n~:>~ Point Unit of the Kuparuk River Field. 1FT] _____J Dear Commissioner Smith: This letter is to formally protest the granting of this permit and to request a public hearing accessible to the residents of the North Slope. The intent of the state law on public notices is clear: it intends that the affected public be notified prior to the issuance of such a permit. The commission, however, instead of informing the people of the North Slope Borough villages whose tax base and environment would be most directly affected, buried a purported "notice" in an Anchorage news- paper hundreds of miles away from the North Slope Borough. That is just not good enough because the Anchorage News is not in general circulation in Atqasuk, Nuigsuit, Barrow, etc. where, instead, every family receives a subscription to a local newspaper-the Barrow Sun. The people of the North Slope Borough have been sensi tized pre_viou~ly to the need for adequate public notice. If there is nothing improper about what you are doing in the Borough, and we do not believe that there is, the commission should have no problem with the use of public notices that actually reach the people of the Borough. It would certainly not cost more to reach the people instead of burying the notices many miles away. We have previously contact the commission about such a lack of notice to the people of the North Slope Borough. The first time, we were promised in writing that the procedures would be changed to reach the people living in the North Slope Borough. So we did not pursue the matter. This time when we called we heard the very same words we heard when we asked the now former mayor of the North Slope Borough why his notices of contracts and and meetings were buried in the very same way in the same Anchorage paper. It is good public policy, costs less money, and is the intent of the law to properly inform the people of the North Slope Borough when the comm- ission takes an action that might directly affect them. To attempt to do otherwise raises questions of intent, particularly in view of the Borough's recent experiences. We suggest the Commission follow the lead of the new North Slope Borough Mayor and attempt to keep the people informed with public notices that actually reach the public. In the absence of that, a public hearing will have to be held in the North Slope Borough so that the residents of the Borough-the public-can be heard. Reasonable people ought to be able to sit down and work out a reasonable solution to this situation so that it does not delay or embarass the oil industry. We are certainly willing to try. Please gtf~~~I~~~1 if you have any ideas on the subject. ~LLL V tU Si~ce,rêly.. yours, f..L U t , -:7-' ~C-E~ J. Lindauer publisher AUG 2 2 1986 cc: NSB Mayor, Rep. Adams Sen. Ferguson Alaska Oil & Gas Cons. Commission Anchorage ClNM CHECK 77.~~: '.' ....-...:; H" . BBPI OHOU> I: 8BI1Ø MÆ t line oller tOR 9./&'1,Y~fJ~ to the nght . of the rl:lu'tr alJ~U . . -II.. . t .;;1': ~ .. :. , -. . r II. .' '" . ··.~,œ'I_. P 467 727 952 '- ç)~Þ.GE. -4.~ cr p~l, '-'f : z r . ~. ,. ....,'.. .. i:;:·· ..,. 'r-.... \,,' . _~~L. W~A,{S '7"E::r 1 ,""'- ". . J"~~"'-- ....,.".....~;,..;-¡ 10 rnn~:~··· ^:j!f·~h~~:'·ê: ..... , . ) · "'1 ,,\ . . '," 'I' .It. . . .~'. LC?nnie C. SJ.ni th Commissioner Alaska Oil and G?S Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501 RECEiVED 1.. ,- j.;, U(.; ? r..: 10 8 (' ~ '- :'v 'Q ,\ ¡"".,I<a ..,:, ,~ ., .....jQ,;¡¡ VII á. \..:¡as Cans C '. .. . omm¡SSiOn ,:...f1C:--;ct:¡çe MEMORAf"'JUM Stat ~ of Alaska ALASKA OIL & GAS CONSERVATION C01~~ISSION lU: Memorial to File DATE: August 15, 1986 FILENO.: 1.C.20 TELECOPY NO: 276-7542 TELEPHONE NO.: 279-1433 THRU: FROM: ~.~ . C. V. .. tteon Chai_ SUBJECT: Notice of opportunity for Hearing - Conoco Application. for Area Injection Order At approximately 10:45 AM, August 15, 1986, I received a phone call from Jackie Lindauer, editor of the Barrow Sun. Jackie, had read our Notice of Opportunity for subject public hearing in this morning's edition of the Anchorage Daily News. She sounded quite incensed because we had not advertised in her paper - the Barrow Sun. T related to Jackie that our money was in short supply and becaus'e statutory law did not require us to publish outside of borough in which hearing was to be held, we would be hard pressed to justify spending funds for peripheral advertising. Jackie, believes the notice should appear in a newspaper pub- lished within the affected borough - the "open government" syndrome. She 1;'lent on to say that she was going to have. to "give me a hard time on this one", and would be taking steps to achieve a statutory change with respect to advertising. I closed off by saying that was fine and to have at it. ; - , 02-001 A (Rev 10-84) #2 Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: The application of Conoco Inc. for an Area Injection Order for the Milne Point Unit in the Kuparuk River Field. The Alaska Oil and Gas Conservation Commission has been requested, by letter dated July 28, 1986, to issue an order for area inj ection to provide authorization for utilizing service wells permitted in accordance with 20 AAC 25.005 or 20 AAC 25.280 to inject fluids underground for purposes of enhancing oil recovery from the Milne Point Unit in the Kuparuk River Field. Parties who wish to protest the granting of the referenced request are allowed 15 days from the date of this publication in which to file a written request for a hearing. The place of filing is the Alaska Oil and Gas Conservation Commission, 3001 Porcupine Drive, Anchorage, Alaska 99501. If a protest and request for hearing is timely filed, a hearing on the matter will be held at the above address at 9:00 AM on September 15, 1986, in conformance with 20 MC 25.540. If a hearing is to be held, interested parties may confirm this by calling the Commission's office, (907) 279-1433, after August 30, 1986. If no such protest is timely filed, the Commission will consider the issu- ance of the order without a hearing. ~~ Commissioner Alaska Oil and Gas Conservation Commission Published August 15, 1986 STATE OF ALASKA '''ADVERTISING ORDER F R o M Anchorage Daily News P. o. Box 149001 Ane~rage, Alaska 99514-9001 T o p U B L I S H E R Alaska Oil & Gas Conservation Coomission 3001 Porcupine Drive Anchorage, Alaska 99501 ADVERTISING ORDI;RNO. AO- 08-5568 AGENC}p.ot-ITACT'R LTa1.yn .i..ofV811S DME~t 13, 1986 PHONE 279-1433 (907) DATES ADVERTISEMENT REQUIRED: August 15, 1986 SPECIAL INSTRUCTIONS: AFFIDAVIT OF PUBLICATION UNITED STATES OF AMERICA STATE OFt1~ ~- 55 DIVISION. BEFORE ME, THE UNDERSIGNED, A NOTARY PUBLIC THIS DAY PERSONALLY APPEARED~~~/~' mHO, BEING FIRST DULY SWORN, ACCORDING TO LAW, SAYS THAT HE/SHEISTHE~I + OF~~ PUBLISHED AT~t-?~ IN SAID DIVISION , ?J .. AND STATE OF ~ ~~ AND THAT THE ADVERTISEMENT, OF WHICH THE ANNEXED IS A TRUE COPY, WAS PUBLISHED IN SJID PUBLICATION ON THE /!fd:." DAY OF ¥r 191£, AND THEREAFTER FOR t> CONSECUTIVE DAYS, THE LAST PUBLICATION APPEARING ON THE I!1I:DAY OF ~~ 198t" AND THAT THE RATE CHARGED THEREON IS NOT IN EXCESS OF THE RATE C~GED PRIVATE INDIVIDUALS. " . ~4l -"'- .J'~_"' SUBSCRIBED AND SWORN TO BEFORE ME THIS ~ DAY OF ~~".J-".~>....~~ 19~ .~ /' ~2~ .............. ......~~ '-'-~ .~~ .) ~ ....-_ '...<,.....:~<. .e:.- ."'......Q.-........~---- ~~T~~~ :I~~~~~ :~I~~~TE O~~yè::;~~::;\c-;,?:", 3, Cj~ 02-901 (Rev. 6-85) PUBLISHER REMINDER~ INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. A CERTIFIED COpy OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. ATTACH PROOF OF PUBLICATION HERE. , Notice of PUblic Hearing STAT.EOF ALASKA Alaska 011 and Gas COnserva,ion CQmmission Re: The application of ~onoco Inc. for an Arealnlectlon. Or- der for the Milne Point Un..lt 10 the Kuparuk River Field. The Alaska 011 and Gas conser- vatlon commissionhasbêen requested, by letter dated July 28 . 1986, to issue an order for a¡ealnledion to.. provide a!J- thorlzation' for utilizing service wells permitted In accordance wlth-:20 MC25.005or 20 AAC 25:28ô.:~ tolnlect ~fluids under- grOUnd torpurøQSeSof enhanc- , ing 011 recovery fl"omthe MII~ , pólntUnltln the l<uparuk RIV- er Field. Parties whO wish to protest the granting of the referenced re- auesf are allowed 15 days. fro~ thed..d.. a. te ..off.hl.S..·..... PUb.I..i.catlon. .10 II. which to fll~..a wrItten request. for a hearing. The place of, filing Is the Alaska Oil and Gas Conservation commission, 3001 Porcupne . Drive, Anchorage, Alaska 99501. . If a protest and request . for hearing is timelY fUèd, a hearing on the matter *11I be .held attheaboye ad- dressat 9:00 AM on Septe!"ber 15, 1986¡in confotma~ce ~Ith 20 AAC 25.540.lfahearln~ IS to be held, . Interested partl!!s .'. may éQnflrmthis þy calling the. Commission's office, (907) 219- 143, after August 30,1986. If no such protest is timely flied, the! eo"'mission will consi~er the: lùuance onhe order without a hearing. Is/LOMie C. Smith Commissioner . Alaska . Oil and Gas conserva- tion Commission . . Pub: AUgust 15, 1986 A<i-œ-5S68 .'. #1 I. í ( ,r-~?':~ ,~.,.M"~ ~\ '. ..~ ~ ~ .....;;..,,;, __J -~ __T If; '- -- } John R. Kemp Division Manager Conoco Inc. 3201 C Street Suite 200 Anchorage. AK 99503 (907) 564-7600 Warren J. Hairford Division Operations Manager Gordon A. Hitchings Division Projects Manager July 28, 1986 Mr. C. V. Chatterton, Commissioner Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501 Dear Mr. Chatterton: Attached please find two copies of Conoco' s Inj ection Order Application f or the Nilne Point Unit. Supporting information is included in appro- priate sections of the document. Please contact Mr. Rod Schulz at 564-7600 if you have questions or require additional information. Ù~;, r" t_r~~y yours, , // Jû :/ VI/V~/1,-?- / John R. Kemp ~/DiViSion Manager ljm Att cc/att: R. C. Herrera, Manager Exploration Planning/Environment/Lands Standard Alaska Production Company Mr. Tom Fink, Manager Environmental Conserva~ion ARCO Alaska, Inc. 'I.. (- ¡' . ~ -=-'../-,,"", "r--- .'- ~ )' \ ...~ .;~ ''''w'''; ~. \ ' -- ~. j. John R. Kemp Division Manager Conoco Inc. 3201 C Street Suite 200 Anchorage, AK 99503 (907) 564-7600 í c-Aro::tiJD r/?..c ~ Warren J. Hairford Division Operations Manager Gordon A. Hitchings Division Projects Manager July 28, 1986 Mr. C. V. Chatterton, Commissioner Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501 Dear Mr. Chatterton: Attached please find two copies of Conoco IS Inj ection Order Application for the Milne Point Unit. Supporting information is included in appro- priate sections of the document. Please contact Mr. Rod Schulz at 564-7600 if you have questions or require additional information. Very truly yours, ORIGINAL SIGNED 8Y J. R. KEM~ ·John R. Kemp Division Manager RRS/ljm 7e~. 6r (AOGCC Area Injection Permit) óõ,J,(J'I/ Att cc/att: R. C. Herrera, Manager Exploration Planning/Environment/Lands Standard Alaska Production Company Mr. Tom Fink, Manager Environmental Conservation ARCO Alaska, Inc. bcc/att: R. R. Schulz J. T. Dosch bcc: W. J. Hairford D. I. Robertson A. E. Hastings RECEIVED SEP 1 5 1986 , . . 0\\ & Gas Cûn~. vvli!mission þJas}<a Anchorage . /-- ',-, '''"-'' MILNE POINT UNIT AREA INJECTION ORDER APPLICATION ... -..: RECEiVED SEP 1 5 1986 . Qil & Gas {jOIl~. vV¡¡HfJlSsion Alaska Anchorage ,; -~'h '_'O¡~~.""'...._:...'~.._ /------ "r_.., -' MILNE POINT U~IT AREA INJECTION ORDER APPLICATION Section/Regulatory Cite A. 20 AAC 25.460 B. 20 AAC 25.402(c)(1) C. 20 AAC 25.402(c)(2) D. 20 AAC 25.402(c) (3) E. 20 AAC 25.402(c)(4) F. 20 AAC 25.402(c)(5) G. 20 AAC 25.402(c)(6) H. 20 AAC 25.402(c)(7) I. 20 AAC 25.402(c) (8) J. 20 AAC 2S.402(c)(9) K. 20 AAC 25.402(c)(10) L. 20 AAC 25.402(c)(II) M. 20 AAC 25.402(c)(12) N. 20 AAC 25.402(c)(14) o. 20 AAC 25.402(d) P. 20 AAC 25.402(h) Q. AOGCC Request R. AOGCC Request s. 20 AAC 25.402(e) 20 AAC 25.030(g) TABLE OF CONTENTS Subject Area Injection Order Plat Opera~ors/Surface Owners Affidavit Description of Operation Pool Information Geologic Information Well Logs Casing Information Injection Fluid Injection Pressure Fracture Information Formation Fluid Hydrocarbon Recovery Mechanical Integrity Wells Within Area Wells Permitted by the EPA Legal Description of the Curren~ MPU Participating Area Variance Requests -1- rr Page 3 4 5 6 7 8 9 11 12 13 16 17 18 19 20 21 22 23 24 MILKE POINT U~IT AREA I~JECTION ORDER APPLICATION List of Figures Title Figure B-1 Plat Hap Figure F-l Log Correlation to W. Sak River State No. 1 Figure G-1 Generalized Stratigraphic Section Figure G-2 Top of Kuparuk River Formation Structure Map Figure I-I Typical Well Bore Sketch Figure J-1 Prince Creek Formation Water Analysis Figure J-2 Kuparuk Formation Water Analysis Figure J-3 Gas Analysis -2- Page 4A SA IDA lOB 12A 1SA-lSB lSC-lSD 15E-15F §( ~~- .- / -- l' SECTION A Area Injection Oràer 20 AAC 25.460 Conoeo Inc., as operator of the Milne Point Unit (~œU), requests an area injection order be issued for current and proposed injection wells fer the enhanced recovery of oil or gas. The area inj ec tion order is requested to encompass all lands within the boundary of the }ŒU. Conoce requests that the order allow Conoco to drill, operate, convert or plug and abandon wells within the MPD by filing Form 10-401 or Form 10-403. The Oil and Gas Conservation Commission may, at its discretion, issue an area injection order if certain requirements are met. The }ŒU injection operations meet the requirements of 20 AAC 25.460(a). Existing wells are dt:scribed and identified by type. Inj ection wells are within the same field, are operated by a single operator and are used for other than hazardous waste injection. The cumulative effect of drilling and operating additional enhanced recovery injection wells will result in an increase in hydrocarbon recovery. All injection wells will be drilled, constructed, operated, and abandoned in accordance with the Commission rules to prevent movement of fluids into fresh water strata. . . -3- "'. tr -..~/ -'..."....- SECTION ]j PLAT 20 AAC 25.402(c)(1) Figure B-1 is a plat showing the location of all wells that penetrate the uppermost injection zone within the MPU boundary, i.e., the area covered by this area injection order application. -4- r; ,__ J<"_ :.._.;.:"':~ -~---' SECTION C Operators/Surface Owners 20 AAC 25.402(c)(2) The surface owners and operators within the area of this area injection order and extending 1/4 mile beyond the boundary (excluding Conoco) are: State of Alaska Department of Natural Resources Attn: Jim Eason 3601 C Street Anchorage, Alaska 99503 ARCO Alaska Inc. Attn: Julie Athans P.O. Box 100360 Anchorage, Alaska 99510-0360 Standard Alaska Production Company Attn: Jean Parsons 900 E. Benson Blvd. P.O. Box 196612 Anchorage, Alaska 99519 -5- ~ -"- SECTION D Affidavit 20 AAC 25.402(c)(3) Affidavit of Rodney R. Schulz STATE OF ALASKA THIRD JUDICIAL DISTRICT I, Rodney R. Schulz, declare and affirm as follows: 1. I am over 19 years of age. I am employed by Conoco Inc. as a Reservoir Engineer. I have personal knowledge of the matters set forth in the affidavit. 2. On I T,' ~' ~' I)' ? ~f 1986, the surface owners/operators listed in Section C were provided a copy of this permit application. DATED at Anchorage, Alaska this ~ b":/. day of . ...- L"" ,1986. /' /; I ( /C-~_, !/" t~...:'(-- Rodney R. S:h~ Subscribed WI 1(,((/ ~7f L. v' and affirmed before me at Anchorage, Alaska on ,1986. ,1?{an cl '1nC((¿;d/Ui~ No't~ry Public in and for the St£{e of Alaska 4 jge¡ /r¡() 1/ I My Commission expires: J -6- " r SECTION E Description of Operation 20 AAC 25.402(c)(4) Current and proposed injection operations at the ~æu are for the t=uhanced recovery of oil and gas. Two types of enhanced recovery injection wells are currently used: water injection and gas injection. Additional methods of enhanced oil recovery may be used in the future. Future injection wells will continue to be designed, construe ted, operated and monitored to ensure the inj ection fluid is entering the oil reservoir. used for enhanced oil recovery. The Kuparuk River formation is -7- " ._~." ~~....".~ SECTION F Pool Information 20 AAC 25.402(c) (5) The Kuparuk River Formation in the Hilne Point Unit is part of the Kuparuk River Field, which is classified as the Kuparuk River Oil Pool. The Kuparuk River Oil Pool is defined by Rule 2 of Conservation Order No. 173 as the strata that are common to and correlate with - the accumulation found in: the Atlantic Richfield Company West Sak River State No. 1 Well between the depths of 6,474 and 6,880 feet, measured depth, or 6387.9 and 6793.9 feet, subsea. Figure F-l is a log correlation between W. Sak River State No. 1 and Milne Point Unit well 32-25 (formerly Kavearak Point 32-25). Figure G-l is a detailed type log from Milne Point Unit well B-1. -8- .: ~ -I' , . I \ ] .. I '..¡ ~ , . , , , . I,.~ -I' OIL }I ~\ ;1' ~. ~ ; ~ ~ '. ,~ . t I \ \ ! n" o '-? -' _ .. '.-C: - . ~ .-¡:- .., t~- , r- . ,j- f' :I JJ~ ~ . ~-- \.....~- .! 'a~~ i '1)-' i ¡») . ~ ~'l : § nr: ¡ ¡} :. '".. i -n : , I . , : ,~ ....~ l' ~ DIL . (\ g --'\r- . -.-[- 1~ E -.-1í- o (J î. -, --'r- MIºº~US!l~8ßU!~~_1' _: __it_._ --~- , g - -?~ -<-.-- - -~)...:?~ · . . .... · _. 0__._, · 0 :~ : ) 0 ~: .. :~o~n;:nJS!lP~ß!'!!U>!LI'- ~. -. ~~~ . --~- .----. 0 - --~-:.- . ,. . .....: Q ~~-=-- _. -·-ll';,- ___:/"- - ; _.~'; t. . j . I ~ ; "! =\ n -to !~~~ '& t ' . . I ';';' I ., , . . ;~:i~ .,! , ~ I ~) . r-:.~ ! ~ . - -,l,.. C> . ,. "c... ~ , ... : .:). " -i?? . . .:,... . . ~ .: 't· ~ ~ :: , -. ... ~ - . J ·s. ~~ ! ~r::. <3 -)" . i . .. . .. , I ~ . : e:,.-\ ' ¡ . ~ " UPPER KUPARUK SO. ---- \, "\ .) MILNE POINT UNIT KUPARUK RIVER FIELD FIGURE F-1 MILNE POINT UNIT LOG CORRELATION TO W. SAK RIVER STATE NO.1 W. SAK RIVER 8T A TE NO. 1 J<A VEARAf< POINT 32-25 "~ i I ~ .... , 00 tþ I -~ '-~ SECTION G Geologic Information 20 AAC 25.402(c)(6) The stratigraphy of the Kuparuk River Formation is depicted in Figure G-1, which is a well log of B-1. The average subsea depth is 7,000 ft., and the thickness of the reservoir sands varies from five to forty-five feet. The Lower Cretaceous age Kuparuk River Formation ~s divided into Middle and Lower members which are separated by an interbedded silt and shale interval known as the Laminated Zone. Most of the reservoir is comprised of the Middle and Lower Kuparuk sands, with minor reserves in the L8 and L9 portions of the Laminated Zone. The l-iiddle Kuparuk is quartzose, very fine to very coarse grained, and contains significant amounts of glauconite and siderite. It has an average permeability and porosity of approximately 200 md and 22%, respectively. The Laminated Zone is an interbedded silt and shale interval below the Middle Kuparuk. Two thin sands, the L8 and L9, lie in the Laminated Zone and contribute to production. Below the Laminated Zone lies the Lower Kuparuk sands. These sands are quartzose, fine to very fine grained and have an average permeability and porosity of approximately 100 md and 21%, respectively. -9- .: '- '-~~... SECTION G Geologic Information (continued) 20 AAC 25.402(c)(6) The Kuparuk (Figure G-2). River Field of the Milne Point is a structural trap It is bounded on the southwest by a NW-SE trending fault with oil/water contacts on all other sides of the anticlinal structure. The conf ining interval above the Kuparuk River Formation consists of more than 2,000' of Cretaceous shale. The lower confining interval is the Kingak shale, which exceeds 1,500' in thickness. -10- ,< / ~..- r ~~ , /- ¡ ~. . ~=== L.___ _~ t ~ 73001-7060) --- -.-----..:.... - ...,,,n ~;.?:-~ - ,....... l - ... --~ -~ r. '- ~ .___ _ :. ..:_~ : ~ ,-';:; 730-4(-10641 -- ~- --<'-: r .__:- -' I . 7:516/-7076) .' < ~ÞI ~.-,--.~ U " :::'~'-~~--==--_-:- -~ I e ...- I _J~ I ,. : ~-:-r- r- ~, ~. -----:: .ç.... ,--... ,- .~~ I <, . -:::~ r -r- - - I ,- ·1 . . . I ,-' \" ~ ': ¿,~ " , I, -~..:~ ::Jr;::: ,~;~~:(x- · .~~ ;/ , --'-<--<- -- .:> . /- ~~ ~--_.~-~- or< -.j;' ~, i, ~ P' ..., 1-', -,c""';=í,'"") ..£ . ,.-....... ....,. I J_\ ,.~¡...".. .., "t '.; '8f7:·,~· ..':"~ .~ C~ ~ ~ '::-: ,71 ~·~1 r ~ ~:. b~·.\~· " ..Lj__1.J ~ - -. ..--, '-', ¡ ¿..~ L- '~ t,-~- ~ I J":-. .;~ ;-~---j :.:=:sFL-i~ ~- ", ' IlD-~~L~ ! R -, ~: I ~,--- i :~-=--=-=-- /- - ~ -._~-=== t--- - -..~-_.. - -- -- ~ , ..¡ : 1-----4 ~-J . J ;--;-~ . ;..-:. : ~ SP--:~ - I ... --..::;:;:::: -60~RãY~ .-...." I ~.. ~ 1 -S ) - --.-.- -<- , ... ._~~ ,... ==-=-=- -=-_:==c..-:---:~ == ---- ---~- _ . L_____ ::::===:-.':" ~~ =-=.::...:..::- ===:::::=-=-;~ - ~ . -- - ~=-==: ----=:::::-- <~ -.. ~ "';; ,:7;~:1:-'; ~ "r' Jr. . .' ".¡~ :' ~ -:t t :;':~L-L"_<c- _ ._:--,_ ' ,-. - b::i..J -,. . ft.- '___,. ~ --'-. - -¿--- . -; ;""1- ~,--:; :::'.:! -_; >~,__~ ~ - ·~t·, 'f, / " ." . · r·.. , -... 1 S ~ -., . ___ q: " J]j >! ; '::!' 1:-:0 -." U t ~ '-" .... t ~d.. . Y..;:: ';-~ r· .'-'.. 1:. :t._ r- ---, < - - , . - - - - -, >, ~ -. ' ;- ~ --" : ~\ : ' '-, S~-, '\ - -~ '- " s---: I ~( r-;~_J~; ¡ _.,__ Ot:~ ;0 C>O 1 lI£[;!lnI I1IOJCTIOII rl_-~~-_----~-----~-- DEEP :II DUCT 1011 Of'~ ~ "XI ¡-=--r -.---=:_~- ¡ ~~k-~_:~ t " ::or... ,~ESISTlVrrY o..s ."1. -- 5" =.l ---=---: ~- \; - .. IllUY<Iln ~ T AliEOlIS-POTÐíTlAL ~ ~""A CAY ::'J :1 .~ -lnA- 7466 (-7226) 739J (-71511 LK, 7402.1-71621 LOWER KUPARUK 74211-7181) SANDS LK2 7442 1-72011 7376 (-7136)-~ nZI (-70811 -LQ - oJ =L8 LAMINATED ZONE 7217 (-6977)- 7212 (-697'2) MK2 MIDDLE KUPARUK SANDS 7i89 1-69491 7168 {-6928}-'~ UK ìi73 (-69331 m I 7!S4 (-6'94-4) 10 BUSHING ELEV. · 46' KELLY 'ry;) M. R U. 8-i TYPE - LOG ~"='- FIGURE G-1 " " I ..... o OJ I ." " I [ , . Ie It I :. II I. I II " ',. ----- -------T ~I -- -- 10 ··~--------»-------r»- - , :"" , \ \ - I' I I I I I I I I. " It II lJ " II ,. . --~~ -., . II .I I ø.. - -,. --,. - . ,. [" a IS - u II I .. \1' - --.-.---_..-., ~ -- --- II .. , . /.... ¡... I J II " ~ .o' , ,:.' - .......": 10 . . 21 I' ! : I J . -. II .. 20 ~f ... "., .. .... II .... . . --~-IO [ FIGURE" G-2 --;; " 10 :-____~, a --u . I I I I I "_..~ ~~--' , ". " ------------ . >.. I .-.J,~ " ;.'00"---- . .-----~~ ~ 00 . . 0" ,:. . ."--- ,......... ,~: · .' ì · ( ""6'00' I ' -~ ,...~ . ,,~ 2~ '0 I " ....~ ' OO~ ___:i-. -I)~- ~:'.. --,.' l ) i ,,~ .. 0/'; .......... - ,00 , , , II '- - . u____m_ ::_m_:_____..:'~o:------m--i . II I' þ-. , II ·~:~~.u 10 II It 10 II II II [ I' 11 : -.'.'. 10 I I I I I I t-------- J; I I. ---..-. ~-------: II n I I ~ ~ r ',h- I I.. II II ------j POINT UNIT MILNE BOUNDARY " \ ---- 10 1 , --.#-~ ~ I" , .' ~ . . 12 rll .. . .. I' II 10 II 12 '" ..... " ...------ -;"I [ J jl J ----..., --------""j It II ----'2 Î , I I I I I I _:.... I I I ....' .. ,. J I" N ----;; I' -..-- -- [conoco) WII .." "",.., ",.., ~1"ucrUl'l "'A" . TOP KUPARlJK RIVER FOHMATION -- '- SECTION H \.Jell Logs 20 AAC 25.402(c)(7) All openhole logs from wells in the MPU are sent to the Commission as the logs are completed. A type log for the }ŒU is included as Figure G-l. -11- ~ ~ S:r:CTION I Casing Information 20 AAC 25.402(c)(8) Typical wells are cased as shown in Figure I-I. American Petroleum Institute (API) casing specifications are included on each drilling permit application. All casing is cemented in accordance with 20 MC 25.402 (b) and all production casing is pressure tested to 2,000 psi prior to completing the well. In wells converted from production to injection, th~ casing is retested in accordance with 20 AAC 25.412(c). -12- ~ -' FIGURE 1-1 MILNE POINT UNIT TYPfCAL WELL BORE SKETCH -.,,- .oJ - _.':' ...""~" _.,..~ '" ":\'<~. , .. . L· . .. .. . '.. >:.:~~"..:.~..'.~ ".~.~:_.:... .:~...~ I ..: .:.":; ...'..::..... ~~.:.<~.~~.' : ~.:..- ".J~·.I. ..........: ..-- ·~-'~'I ... ,0· .·.~·_.·..r.·.·. :~: ~'::.~.~:. '.'>'~: . . ~ ' ~.', '.' .:,.... .:.; /~~ J:~::.-.; ". .. 0'. :c,..... ...; .. .. .. ~ . . ... - .. :.... ,..:'::.... .::..~.: -.:,'. '. . , . . ., . . . . '. . . ':: . . - 1 3 3/8· @ 100' - - - ~Tk:~ - - - - - - - - - }';'[ - Permafrost to 1800' <'.~.-:':: -- ~ ",7-. · :....~: _ ~,(j 4·_. _ _ Down squeezed cement :..;..--.:..-.~£;. :fl- .. ~,,:' ~:.;.;....~ ç' ~.. ............- 9 5/8· @ 4500' TV D ....;.r?v·. _. 4 :':-;-S-"-¡- :;.>-.~--_~ - ~.. 4',"9.4 ( 8 e low t h a bas e 0 f the \ "';"" , 4":; þo ¡¡ \ W est S 8 k 1 . 8 n d. ) Oil basad, non-freezable, low thermal conductivity fluid · Slant type hole_ · Average angle 45° ~. . - .:2: o· ....' . ~~ .~-~.'.;;:! --. ..... .. .' '.. .. - . <'.<;:::: :. .. . .... . ,. .. . .... ... -'. " ... 't.~..' _ , .J.". .. ..." . . t· _ . ~:;~}:t;;./jj-7' @ 7000' rye NOT E ;' E a c h well I. e quI p p 'e d with a n API 5000 psla tree -12A- -;: -"-" .~- SECTION J Injection Fluid 20 AAC 25.402(c)(9) Water and gas are injected to enhance hydrocarbon recovery at the ¥œu. A. TYPE OF FLUID Water Analysis of Composition of Typical Fluid 1. Prince Creek Formation (similar to ARCO's West Sak Formation)- Figures J-1a and J-1b 2. Kuparuk River Formation - Figures J-2a and J-2b. Source of Fluid - The primary source of injection fluid is water supply wells that produce from the Prince Creek Formation. Produced water from oil producing wells is reinjected by commingling it on the surface with Prince Creek water. Estimated Maximum Amount to be Injected Daily - 40,000 BWPD -13- l; -. -~- SECTIOj\ J Injection Fluid (continued) 20 AAC 25.402(c)(9) Compatibility With Formation and Confining Zones Water sensitivity tests on core samples showed no significant problems with formation plugging or clay swelling from Prince Creek or Kuparuk formacion water. Prince Creek and Kuparuk formation water are compatible with the confining zones. B. TYPE OF FLUID Gas Analysis of Composition of Fluid - See Figures J-3a and J-3b. Source of Fluid - Kuparuk Reservoir Estimated Maximum Amount to be Injected Daily - 5 MÞlSCFPD Compatibility with Formation and Confining Zones Full compatibility because it is being reinj ected into the producing zone. -14- rf ~ SECTION J Injection Fluid (continued) 20 AAC 25.402(c)(9) c. TYPE OF FLUID Miscellaneous water (including non-hazardous surface water) and associated surfactants/solvents used in the washing and cleaning of the facility, equipment within the facility, motor vehicles and other items related to the production of oil at Milne Point . Volumes will be very low and should not exceed 200 bbl/day, or 2% of the typical daily injection volume. fulalysis of Composition of Fluid Prince Creek for~ation [se~ Section J (a) (1)] or drinking water with minor amounts of surfac- tants/solvents approved by the U.S. Department of Labor. Source of Fluid Surface facility wastewater Estimated Maximum Amount to be Injected 200 BPD Compatibility with Formation and Confining Zones Full compatibility because it is osmotically treated Prince Creek water diluted to less than 2% of the injection stream. -15- a --~ (¥ FIGURE J-1a WATER A~ALYSIS REPORT c ü ~~ 0 CO I N C A ¡:, f, iJ Due T ION F: I:: S E i~1 R C H D T Ii I S I {J N F' 0 N C f.¡ .: I T Y I 0 1< L. AHa (I ¡.; I...J D902 IDE NT T FIe t. T ION: 11 I Li,~ E F' T. W (1 T E F, ~J E L ~ ::: B - -j FIe L. D : K U P A AUK A I V EAr ~1 f, MAT ION: p r:~ I U C E C r~ E E K DEPTH: STATE: AK CO;JNTY: COUNTr:~Y: S I; M P L E r:· 0 I NT: F'r, 0 D ATE S TeD ~1 F' () SIT E D ¡.i TEe 0 L LEe T [D: '1 0/0 1 /82 (4NA;_ '( .S· I ,S' ¡::~[,\'UL T ~~ SF' Eel FIe G ru) V I T Y: i A 003 :-.; [S 1ST I V I r ( AT 73 J) [G F i. 350 0 -H·1 ì·í E T E ¡:;.: .:;' PH : G. 00 ì-¡EQ./L TOT.".L ~;'(:,)L TS fIYPf\()r.ru SUl...rIDI: ( CIILOf, I DL (CL) S U L F ;,iT .: ~\ 0 ¡j ) CARDON~d"[ (C03) Ð I C tl r:: [< [I N '''I T F. (I-I C r 3 ) H Y D i~ 0 X '¡Î...: (n I ) t~\ c~ . :2 t-i G / L :3 9 ~: () o 22no 4 o SOD I U ì1 (N;:',;" t-1 [ [~ / L. 46 ~ i) ;-í G / L 1079 1', ' .:... Ö I '~ t) Mf¡GNESIUM (MG) C I~d_.. C I U M (C I~ ) Btfl:;; T UM (Dt-I) Ir~ON .: tIG/L;' TnT¡:~L S U Sf F' [: ì-J P [ D S () L I 1) S '1 ,. 1 20 133 o 0.0 0.0 I . \.) .. (:i 0.0 1- I I) I .~: ~ . (~ . 4~"J 1 1 OT:~ER tlNAL YSIS K 460 (MG/L) Tr::¡:,~C[ ANALYSIS . ~. ì1 G / L MG/L SILVEF: (¡;G) ALUl1 I NUM .; .)L) ItORON ([I) BEr,YLLIUM (DE) CAD M I U t1 (C D :, CIII~()M 1 UM u:rn rOr'f'Eí:: (CIJ) I r':LHJ I. IT: :' M t~ N (~ I) N r s [ (M N ) MOL YVDLtJUti ('1 D) ( . c'~~ { .. 1 5 .07') <.. 25 ( .. () 1 :.J NICKEL (NI) LEAD (PB) ANT I riClNY (sn) TIN (s~n STRONTIUM (SR) TITANIUM TI) TII,:',LLJUh TL) V ¡.; N ,:) D I: U n './ ) ZINC (ZN) -'" A. ~t::'"' \ . I,:.' ( ..) (A005 \..015 ( .03 ( r, r.,.. . 4__4 .21 2..5 , '.)"\~ \ .. l, .-..:J < ~ ~~ (.) . () ü .21 < A05 < ,()25 -:: . ()2S l -15A- .. - ·f; :,- FIGURE J-1b '---, -<.----- ( IDE N T I FIe ¡'~ T ION: r1 I L N E F' T. I..J (:¡ T E r, t·J ELL ;): 8 - 1 ( con t . ) I.J 8902 WATER ANALYSIS PATTERN LOG (1 r, I T H ì-\ ::: C .... ~1 E (~ P [ F, L ]: T E r, -. : ----......- : --..-- : -.----- 1----· ; --....--- : _.,....._- : __0__- ~ ..-.-..-..- : -.--- : ---- : ..- i ~..Itl j(- )~ :CL -+- +- 1-- Ctl .jt .,-:- ; He [I =~ -+- .... MG ++ )~ "* :SD4 : __ : .._.___ : 0_.___- : __0__ ~ ____: .__.___. : _....___ : _~___ : ______ : ._.____.. : .____ : ._ : 5 .. .:> ") .:.. o :::: ..} ·-t ~5 C{;LCIUM CARBON~TE SC~\LING TFNDENCI ES ( DEC F 60 80 100 1 .", -~, i :. () '160 : 1BO: +(. ... : ._ - __ 0- : _ _0 _._ : __ _ __ _ : _ __._._ : "'0 _ _.0 _ : _ _ _ _ : ___._ _ __ : 0_.' .._ __ _ : _. : )(. ~" )\. li "'(" .)~ : - : ---- : .----- : ----: ".. ---I ---- : ---- : ------ : .--~-- : - : .- 2 ,,0 - 1 . ~~: - 1 ,,0 - 0 " ::: 0 0 .. 5 1. 0 1.. 5 2 " 0 '-' N D r:r..: S ri T U r~ {~ rED < ..".. S I - - > s U F' E F< S I; T l.H~ í~ rED ( N () I ~ S C /~) L I N G :. ( :;' C (} L I N G ) '. --·ta . . GYPSUM SCALING TENDENCIES BAS04 SCALING TENDENCIES .'. IP ) kC .--) SCALE I F' ì ( C -- -. > set. L E - - -- -- -.. -. - .- -"- - - ._"- - - - - - - - ..... -- -. - .- - --- - .- - - - - - -- -_ -._ - ._ - -.._ - -.. - - - __ - - -e·. ._ __ _.. _. _ _ _ _ _.. _ _ _ ~ DEG F IF' I<C I NTEF.:PF.:ET ----- --------- --------- -----.-- .-..- 60 1 . :1?[-O7 :2 . 2? [: -- 04 NO SC,~I...¡:~ 80 1 . 3 'j> E -- 0 7 .:.. 4,,>[,-,04 NU SC(.,LE 1 00 1 .37[-07 2 " 49 E .... (.~ 4 NO SC~IL[ 1 20 t 39[-,07 ') 4 ') E -- (-) 4 NO S C I~/l.. [ .. .... .. ·10 1 :\ C? F .- 0 "7 r) ._, [,,04 ND :;C/~L[ .:.. .. ..) J 1 bO , 39F ··..0·( ::.! \ ~.~[ ,,,04 NU SC,:'}LE l i ," ., í ::.~..'[ ··('17 í . '/ U [.- (1 ·1 tJO :¡.(. tlL r ,_.,1) DEG F IP KC INTERPRET _._____ _________ --____._0._- _.________ Ü(-) 0,,00[+00 i " 0 Ü E>- 1 (-) NO SettLE '100 0.. 00E -t·oo 1 " 0 (-) [ .-.j 0 NO SCr'"¡LE 120 0.0(-)[+00 i " ~ ø E -. (-) 9 NO SCALE .¡ 40 O.OO[}OO 1 .. D \~ [ .... 0 ~.. ND SC,~LE 1ÓO O.n0C+00 ~~ .. 3()[ ·..·\)9 t~D S G,~ L E '1 un o .. (II...ì r: n) Ü ':.\(i[ '. ,....... : .!t..: SCI~LE ' - ~. -15B- ... ,,--, ~ ... . ~ . - . . ...__ I: . -.... -15D- DEG F IF' KC INTERPRET ------ -------- ....----....--- ---..-......----- 80 6.. 9~}E -on 5.00E-09 SCALE 100 6.. 9'5E-08 6..60F.:-0? SCf~LE 120 6.95E-08 8.60[-09 SCAl.E 140 6.. 95E'-08 1..15E-OB SCALE i/,) 0 6..95E-08 1..55E-08 SCALE 180 6..95£-08 2.04E-08 SCALE '. .. . ~. r)::-r. F TP Kf~ INTERPRET ----- -------- -------- ....-------- l,(} 4. O?f7 --07 1 .. onr -0~1 Nn SCALE no 4 . ()~r---"()7 i .. 1/IF-()~ NO SCAL.E 1<1., 4 . () ~ F=" .-., 7 1 .. 22r··-01 Nn SCt-ILI:: 1::'0 4 . () 2 r --0 7 1 .. ~~F·-03 NO SCALE 140 4 . ():? F .- () 7 1 .15[-0:\ NO SCt"'lLE 1AO 4.02[u07 1..11[-03 NO SCALE 1A() 4..0~E-07 f . O!)E -01 NO SCALE --------------------~---------~--~ --------------------------------- IF' } KC --) SCALE . IF' } KC --) SCt~LE BASD4 SCALING TENDENCIES GYPSIJM SCALING TENDENCIES -2.. 0 -1.. '5 - i .. 0 -0.. 5 0 0 .5 1.. 0 1.5 2.. 0 UNDEF<SATLlF<ATED (-- SI --) SUPERSATURATED (NONSCALING) (SCALING) -:----:----:----:----:----:----:----:----:- orrr F -:----:----:----:----:----:----:----:----:- ~0 * 80 * 100 * 120 * 140 * 160 * 180 * '-} 4 ~ ,., 1 (-) 1 2 3 4 5 ..... rr"./..CIUtf C~r::BON~iTE SCALING TENDENCIES :-:.._--:----:----:----:----:----:----:----:----:----:-: NA; *' * :CL + + I + + I I CA: * *" :HC03 + + + + MG: * *' :S04 -:----:----:----:----:----:----:----:----:----1----:-: LOG~RITHMIC-MEQ PER LITER WATER ANALYSIS PATTERN ! D F. NT T FTC t"\ T T () N: M J J... N E ¡:. T.. UN IT, WE L L. ~ C - 4 SAM P L E 3, rES T 1 W 89:: /) '- ( FIGURE J-2b '- co '- l~1 ('.~ T eRA N A l. Y S T S r~ I:: P c) 1< T CONOr:o INCA F'F.:nn\r:TION F,ESEf~r\r,H DIVISION rnNCA CITY, OKLAHOMA W 8926 TorNTTFTCATTON: MTLNF PT. UNIT, WELL ~C-4, SAMPLE 3, TEST 1 F"TFI..O: MILNE PTA DFF'TH: STI~ TE: AI< SAMPI.E POINT: SEP{)RATOR FOR MAT ION: L 0 tJ [R K UP A F< U K COUNTY: COUNTRY: DATE COLLECTED: 10/03/82 ANALYSIS RESULTS SPECIFIC GR{)VrTY: 1.022 RESISTIVITY AT 73 DEG F 0.215 OHM METERS PH: 7..30 481 A 6 o ') 0.0 3 ~~ . 4 MG/L 31000 o 17100 10 o 2040 SODIUM (NA) MER/L 504.3 MG/L 11600 MEQ/L TOTA'- SAI.TS HYDROGFN .\'1 JLF T DF. r.HLnRrD[ eCL) .\ 1 1/. FAT r-: (S 0 -1 ) CAnnnNATF (Cf1:1) rn: r.Ar, no N ti T r-: (1-Ir:O:) UYT)F~·OXYI. (01 t) MAGNESIUM (MG) C {~ LeI U M (C A ) Ð A I~ I U M (Ð A ) IRON (MG/L.) TOTAL SUSPENDED SOLIDS 2..3 7.6 1 A 3 12.. DISS.. 41 1'>2 90 0..0 78 TRAce t^-INf)l. Y S I S ì1 G 1 '- MG/L .033 .018 .50 1 . 7 ..087 NICKEL (NT) LEAD (PB) ANTIMONY (SB) TIN (SN) STRONTIUM (SR) TITANIUM (TI) THALLIUM (TL) VANADIUM (V) ZINC (ZN) .18 < ..25 <..25 ..75 16 <..025 <.50 ..027 (..025 .~TI vrR ("'¡;) ta, (IMTNIJM (AI.) finr,nN (Fn nrRY' .1. J l1M (HF.) CADMIUM «(:0) r.Hr.:OM {(JM (rr,) r.OPPER <r.U) IROtJ (FF) H^Nr.ANESr:: (MN) H n L Y fi n EN ( M (M n ) < . f 5 3(S (.005 .022 ..... . -lSC- - . -15E- < ~ SE 2 OfFSET -~. 3 LT PL. ER 00000 STECTED P~S 3(3 ~ E J E C: T E J r'K5 ~ .-. . ~ DE ~ï AR::"'\ 58 '= a ~rALS ':-::4K 1-10 1 ., .. "3 5 6 ., a ? o 1 PEA~ N~ME C02 ET~~r..¡E t-IITROGEH METH~t·lë PRO?HNi: 13a9UT~HE r~- EU TAli E I'30PEIITAN N- P EtITAt'~E P"iE:<;I"¡~'3 ø RES U I. SP GI~ C.~:Zl () . 0 ~ .~ Ð . Q Q :: o . 4 7 ~: o . ø s '; o . Q 1 :! Q . Q 1 I: Q.OO~ o . 0 a :; 0.001 66 ': <3 T 3 6 .; .s t o 5 6 '5 1 :HA ~ECALC :'ITLE: r~ EL NO NG?H GRAVITY æ 3 S.~MPl E: 0.1. C' -, E, 1 S J J J ] ': 6 p 25 A b 3 OF - .3 T I 11:~ C N I I~ ) 1 . :~;~ 0;- 3 . la:3 ":' ~ . . ~ 13 ~; 5 . :~ I) .:. -:¡ ,~,~, '" . ..J .,J .... 2 . '3 '3 ~¡ 3 . .3:3.:· + . ,) (HI 5 . l:~ ~I 5. H~C 6 t"ETHOD T] 11E OfFSET el. ~ e e ~I . ~ e e ~I . ~ e e tl . ~ c e (.(~~ tl . e c c fl . ~ e e (I . c: e e c;l . C C (! ~I . ~ e e 42 2 C; A r;~ CO ~I 3, ~. '"7 ., C' .;J ,,-..J 3 1 ~I 9 1 t é, EA U t~ l' S 13~9 672Ø C2€ó 39:3 58~4 55~4 a~42 '3248 4703 óO::! '3 45ErØ :::4 RAV H P R 13 6 ~G?A S-.... ...~ CQ:JE S8 as S'; VB aD EV VB S'l \;\/ G "! "? L·ll .... 2 ~SE:) -1.. 1 ~ ~) . 5 ~ !J . I} i) .~ . :.~ '5 lL S '5 7' 5':' 7 l.) "J QS 6 1~ ... " ~ ~ . \ orES: CD t~O C Jj MOD 5'5 MILNE PO FUEL Gt~S 4~e; ~~U'; NT VOL U t1 E: ~J0C'~ \lESS 4/16 -.. L 8 '4Q 1 SE 2 OFF5ET -~3 .'1UL T PL E.~ ØQ20~ :JETECTED PKS 30 =:: J E c: T E :) F'f<S e ~HH DENT At( EA 59 I. '. g ~o ¡':'L S ., ;;~EC~LC ~T [ TL E : ~ -I :) J': H ~) N N E L .", . ) =FEHK ;::) NO 1 2 3 5 6 1 a ~ a 1 P Erl~ N~r~~ C02 ET~~N=: r-l I í K oj G ¡: 1'~ ME7HHNE P ~ tJ r: A t~ E I sa 3U TI4I~E N-E:.JTHNE ISO?ENTAN N-='ENìClNE HEXHNE£ CJ a J 3 ace MO:;! c~.ei3 R E5UL MC L ~:(, 1 . 41] .~. 6 . 2 2 ': 0.8 3'~ 85.357 3 . a 3 '~i 8 . 5 4 ': \3 . a 2 1:1 0. t 4 ': C . C'3!: 0.03; :: s r1 (;:-- Z S ~ í'1 P !. =: I ø T 4- 1 3 1 7 7 3 8 '.; PC! 2 S~. t ] J J J J ~" T -3 T I :1':: (M I J~ 1 , :~:~ 3 . :J:3 <t . ,';':3 5 . :Z::3 -:11 ,. ,. . '" . .~ .:J ... 2 . '3 '5 :i 3 . -3 13 ~- 4- . ., 13 f: 5 , L ,Z ~I 5. '1-i~~: F GURE TI or ~I ~I - ~I - (' ~I ~I (I ~I ~I ~I (I J-3a 11 F . . c_ 6 12 ì' E THO D :. ~: E A~~ : = ï C C! c: e 7 EI 277 31' ~ 27 ¿. ~ 5 6 3 2 :; 124 31 1 1 S E. ~ 34 :' ~ 58 1 249 1 ~ ee --1 42 ~. Gri":, E.04 . U ~~ T S ·1 3 ~ S 67~O n,.,'" ~ "..i~::O 3g::e 5S~~ 55~4 0042 924S .. 7 ;:1 3 6623 ~ S l:1 \3 - I ..; .... .=. t: ~ .... .. . r .; ~ ;: '- J,-J ...._ E3 - - ..... ... .8\1 '/B Q'" _D 3'1 va S'} \j 'J G ¡:.P? :_~ ~J ", '? L":: _ - ( t .... ._ ___ I -+ I'~ . ,... o . ':. :; s.se ~.]S 1) . ~:; .., [7- , ..).; 1 . : Ij .... ,..., r: " . l.J.J (. . :j ~ -l:SF- ...'- r~. .. '- " . ... ) SE 2 aFFS~ï '·3 'JL T ?L ~.~ ccocø :;TECTED PKS 3C E:J E C TE:) PY.S E II )iHLS Hr4NN£L I~G J ËAK PE~K NO' !~Hr1E: 1 GO:? 2 E i H A t..J E '3 NtIRCGEI~ 5 11 E i ~,.::¡ t~ :¿ IS ? POP ~ t"¡ =: 7 t 31J SU TANE 8 N-3U7.4I.JE ~ I S rJ P E ~~ T H N o N- P ENT~t.JE 1 HE"<~NE;3 DENT '1R EA 34 S4t1P RESU BiU/ G.øø C. 1 a 0.30 866.8'3 37.r;s 2 1 . CO 26.75 5.83 3.95 1 79 58 ø . I.. I: I~I ·l (I .: I: I" '. '. ì + I: TLË: r~G? A ETU/ ~'r3 8 -t ¡--- ~ 6 E~2 5 ¿, 'r F o I] C o S 1 1 1 S t 7 1 8 J ~ J ~ 3 j S 1 ¡~ 1 -.~ r I 11':: (M·ll·\ 1 . :~ ;~ 3 . ¡a:3 q. . ·~:3 3 . .~ ì~ ~ t '3 ~3 .;. 2 . . 3 ~j :; 3 . :313.:· ~ . '3 ~~ EI 5 . 1:; ~I S . .;. i~ ~~ ;)r1E Q F~F S = T (I . ~ e Q ~I . ~ e 2 ~I . ~ C 2 ~I . (: e e ~I . ~ 22 ~I . ~ 2 ~ tI.~ec Ç/. ~ ee ~I . 'l e c fl. ¡z 2 e A~! EA CCUNTS E\ 1 3 '; 9 3 ¡. 6 7 2 0 '·Ø2.E5 3 2 :i 3 :;; :: Q 3158::4- E. 5 5 ~ 4 ~I a Q -1. 2 19248 J 4 7 ~I 3 6a~9 4 2 €. 4- 5 ~\ ø ,...-.... ~ - .- COD~ 53 3B B'/ VB BE B '.J VB 3\/ 'IV G .~ .... J 1 <1 l~ S EC .' <+. 1 0 -11 ;:: ¡.;: w . ..¡ .. :J . 2·J ~5 ~ ~~ ('!..1:';¡ ..: . "5::1 7 . ~ t-1 7.05 6 . :-35 ........n~ oJ-;jb S I"'ETHOD £... ~~. ÐTU ~Gr: ~ :;..¡. A?R (" : öb -.~-~ --- SECTION K Injection Prebsure 20 AAC 25.402(c) (10) The maximum wellhead injection pressure for enchanced recovery injection wells in the Kuparuk River Formation is 2,700 psig for water and 4,900 psig for gas. This is the maximum discharge pressure of the injection equipment. The average injection pressure in the Kuparuk River Formation injection wells is estimated to be 2,100 psig for water and 4,400 psig for gas. -16- .. --~ SECTION L Fracture Information 20 AAC 25.402(c)(11) The proposed maximum injection pressures for the enhanced recovery and fluid disposal wells will not initiate fractures in the confining strata which might enable the injection or formation fluid to enter freshwater strata. '0 (' v Discussion Normal injection operations will not entail injecting above the Kuparuk Fomation parting pressure. However, in isolated situations, future operations may necessitate injecting over the parting pressure to maximize oil reèovery. These inj ection pressures will not breach the integrity of the confining zone. The Kuparuk Formation is overlain by more than 2,000 feet of confining shale acting as an impermeable barrier. Any fractures which may initiate in the Kuparuk Formation will not significantly penetrate the confining shale. -17- (. .~-4' '-~-' SECTION H Formation Fluid 20 AAC 25.402(c)(12) A water analysis for the Kuparuk River formation is included as Figures J-2a and J-2b. -18- '. '-' - SECTION N Hydrocarbon Recovery 20 AAC 25.402(c)(14) Waterflooding increases oil recovery approximately 100 percent from an estimated 13 percent of the original-oil-in-place (GOIP) from primary recovery to an expected 26 percent of the OOIP with secondary recovery. -19- . , '-- SECTIO~ 0 Mechanical Integrity 20 AAC 25.402 (d) and (e) All wells (production and injection) were pressure tested prior to completion, and all wells are in accordance with 25.402(d) and (e). If converted to inj ection, the casing will again be pressure tested in accordance with 20 AAC 25.412(c). The casing annulus pressure is then monitor~d on a weekly basis and record~d by the drill site operator. -20- (: ....- "-" '- SECTIO~ P Wells within Area 20 AAC 25.402(h) The wells within the area of review (i.e., MPU) are shown on the plat (Figure B-1). To the best of Conoco Inc. 's knowledge, the wells within the area were constructed, and where applicable, abandoned to prevent the movement of fluids into freshwater sources. -21- / "-' SECTION Q EPA-UIC Permitted Injectors Hell UIe Permit Number B-SA AK-2ROO77-E B-7 AK-2ROO73-E B-8 AK-2ROO74-E B-12 AK-2ROO75-E B-14 AK-2R0076-E B-17 AK-2R0234-E B-18 AK-2R0235-E B-19 AK-2R0236-E C-6 AK-2R0078-E C-8 AK-2R0239-E C-10 AK-2R0215-E C-11 AK-2R0216-E C-12 AK-2R0081-E C-15 AK-2R0082-E C-19 AK-2R0237-E CFP-2 AK-2R0083-E E-2 AK-2R0085-E -22- Tract 2 3 4 4A 5 6 9A 10 --~~ -- SECTION R Kuparuk Participating Area Milne Point Dnit Agreement State of Alaska (Effective October 1, 1985) Legal Description T13N, R10E, D.M.; Section 1: S/2 Section 2 Section 11 Section 12 T13N, R10E, D.M.; Section 3 Section 4 Section 9 Section 10 T13N, R10E, D.M.; Section 15 T13N, R10E, D.M.; Section 16: N/2, SE/4, NE/4 SW/4 R E CE I V E D T13N, R10E, D.M.; Section 13 Section 14 Section 23: N/2, SE/4, E/2 SW/4 Section 24 SEP 1 5 1986 Alaska on & Gas Cons. Commission Anchorage T13N, R11E, D.M.; Section 18: W/2 W/2, NE/4 NW/4, NW/4 NE/4, E/2 SW/4, S/2 SE/4 Section 19 Section 20: SW/4, W/2 NW/4, SE/4 NW/4, W/2 SE/4, SE/4 SE/4 T13N, RIOE, D.M.; Section 25 Section 26: E/2 NE/4 T13N, RIOE, Section 5 Section 6 Section 7: Section 8: D .M. ; NE/4, E/2 NW/4, NW/4 NW/4, NE/4 SE/4 N/2, SE/4, N/2 SW/2, SE/4 SW/4 -23- -- '-~ SECTION S Underground Injection Control Variances 20 AAC 25.402(~) 20 AAC 25.030(g) Conoco Inc. requests two variances from certain requirements for injection wells within the boundary of the ~lilne Point Unit. A variance is requested from the 200 psi change in casing pressure reporting requirement of 20 AAC 25.402(e). This section requires immediate notice to the Commission and corrective action if the casing pressure subjects the casing to a hoop stress that exceeds 70% of the minimum yield strength of the casing, or if there is more than a 200 psi change in the pressure between consecutive reaàings. Conoco requests a variance to use only the 70% limit as the trigger tor immediate notice and corrective action. By using the 70% yield pressure limit, the injection wells can be monitored to detect leaks and operated safely. In contrast, àue to changes in injection pressures and fluid tempera- ture, the 200 psi change is not a viable mechanical integrity test for injection wells in the Milne Point Unit. Water and gas injection wells at the Milne Point Unit are similar to the Kuparuk River Formation injectors in the Kuparuk River Unit (KRU), which is operated by ARCO Alaska, Inc. ARCO demonstrated2 that the 200 psi -24- ~- ~- SECTION S Undergrounà Injection Control Variances (continued) 20 AAC 25.402(e) 20 AAC 25.030(g) limit in casing pressure change was not a practical test of mechanical integrity. Because of the similarity between MPU and KRU Kuparuk Formation wells, the variance request stated above is appropriate for all MPU Kuparuk River Formation injection wells. A variance is requested from the cement bond log requirement of 20 AAC 25.030(g)(3). Milne Point Unit well completions (for both injectors and producers) have surface casing set and cemented below fresh water bearing sands and production casing set and cemented at TD. In these completions, the cemented surface casing already provides isolation for shallow fresh water sands, while external casing packers (ECPs) in addition to cement across the productive interval (s) provide a good casing-formation seal on the production casing to further prevent the migration of hydrocarbons. Radioactive tracer logs on several injection wells at Nilne Point prove that the inj ected fluid is entering the Kuparuk formation, as intended. This further verifies the mechanical integrity of Milne Point wells and the appropriateness of a variance. Therefore, Conoco respectfully requesLs a variance from 20 AAC 25.030(g)(3) for all existing and future Kuparuk wells at Milne Point which are completed in this manner. RECEIVED C. ::: D 1 5 1986 \..; L.. \ .J.. -25- A1aska Oil & Gas Cons. líummissiQn AnchoragE') "y- ~ REFERENCES 1. Kuparuk River Unít Area Injectíon Order Application, ARCO Alaska, Inc., April 21, 1986. 2. Letter from J.D. Weeks, Kuparuk Operations Manager for fillCO Alaska, lIle. J to Chat Chat terton J Commissioner of the Alaska Oil and Gas Conservation Commission, March 27, 1986, RE: Kuparuk River Unit J Variance Request. RECE\VED SEP 151986 Oil & Gas Coos. Commission A\as\<.a Anchorage -26- .' --- (COI')CO) -'--~- Warren J. Hairford Division Operations Manager Conoco 'nc. 3201 C Street Suite 200 Anchorage, AK 99503 (907) 564-7600 !gg~f~f Or<-- 1'-"",,,",, .'~'f-,- ,~.. . ¡~~3d::J Wlc:;, ~..~ ;¡ -'~. ,-"" .,-~ - I ¡ It) ______ ~,1 ~ ;:; ;~ ~;¿2;~~~ l STi\ <f '¡-'~c~ I '.' C", r, ~í' ;;;.~» {.... Ü .1 ¡v I H ¡ ! :;;:,..d I í 1£ILE: ,: John R. Kemp Division Manager Gordon A. Hitchings Division Projects Manager May 12, 1986 Alaska Oil & Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501 Attn: C. V. Chatterton Gentlemen: We are in receipt of your March 14, 1986 letter urging Conoco to apply for an Area Inj ection permit for Milne Point. We have been in contact and are working with the Commission and with other North Slope operators informally in the preparation of the subject permit application. We regret that our May 2nd letter to Mr. Burd (Director, EPA), copies to you, caused concern in the Commission. Conoco has not, nor will not, commence annular injection without the proper regulatory agencies approvals. As suggested in your May 7th letter, a meeting to review annular injection status and plans at Milne Point would be in order. Conoco suggests a meeting on Wednesday, May 14th at 3:00 p.m. Please contact Warren Hairford at 564-7615 if this time is agreeable to the Commission. Sincerely, Manager cc: Douglas L. Lowery Alaska Department of Environmental Conservation Pouch 1601 Fairbanks, Alaska 99707 Robert Burd, Director U.S. Environmental Protection Agency 1200 Sixth Avenue, MIS 437 Seattle, Washington 98101 Ã.OGCC Conservation Order ~o'!!" t œ !es _.. __ ._.0 _.. _"" __ ___ __.. _.... __.. _.... _.... _e. _.. _.... _.__a__a. _..._.__..._..._.._.._.. -.. - ...-...-...-..-...-- --..- ....-...-...-..-""--"-..- ..- ...---- ..-...-..--..-...-..-...-- --..-...-...-...-..-....., OY'ERSIZED DOCUMENT .J5MM format .. -.. --.... -.. -...-.. -.. -.. --.. --.... - ...--.. -.. -- -- ..-.--.. -...-.. --.. -...--.. -- --..-..-.--...-...- ...-...- ..-------...-...----...-...----...-...-----.-...-..- ---....-..-. .-""-."-..-""-."-."-.--."-..- See Oversized Documents fiIlIl1I Roll file NUlllllber If:rð ðJ.. 0 # of Documents ;Z ~T