The URL can be used to link to this page

Home My WebLink AboutCO 515 I' 'I ![ ~, INDEX CONSERVATION ORDER NO. 515 Kuparuk River Unit L-43 1. December 29,2003 BPXA's Application for Spacing Exception MPL-43 2. January 6, 2004 3. February 17,2004 Notice of Hearing, Affidavit of publication, e-mail Distribution list, bulk mailing e-mail from DNR Conservation Order 515 ( STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage AK 99501 Re: THE APPLICATION OF BP Exploration (Alaska) Inc. for an order granting an exception to spacing requirements of Rule 3 of Conservation Order 432B to provide for the drilling and operation of the Milne Point Unit L-43 Production well. IT APPEARING THAT: ) Conservation Order No. 515 ) ) Milne Point Field ) Milne Point Unit ) Kuparuk River Oil Pool ) ) Milne Point Unit Well L-43 ) ) March 8, 2004 1. BP Exploration (Alaska) Inc. ("BPXA"), by letter dated December 29, 2003 and received by the Alaska Oil and Gas Conservation Commission ("Commission") that same day, requests exception to the well spacing provisions 20 AAC 25.055 to allow drilling and operation of the Milne Point Unit ("MPU") L-43 oil production well to a location within the same governmental quarter section as another well capable of producing from the Kuparuk River Oil Pool. 2. Notice of opportunity for public hearing was published in the Anchorage Daily News on January 6, 2004 pursuant to 20 AAC 25.540. 3. No protests to the application were received. FINDINGS: 1. The MPU L-43 oil production well will be drilled as a deviated hole with a surface location 5040 feet from the east line and 3636 feet from the south line of Section 8, TI3N, RI0E, Umiat Meridian ("UM"), to a bottomhole location 467 feet from the east line and 3695 feet from the south line of Section 6, T13N, RI0E, UM. This well lies entirely within State Lease ADL 25509. 2. Well spacing in Section 6, TI3N, RI0E, UM is regulated by Rule 3 of Conservation Order 432B ("CO 432B"), which supersedes statewide spacing requirements of 20 AAC 25.055. Rule 3 of CO 432B states in part: "Not more than one well may be drilled on any governmental quarter section or governmental lot corresponding to it.. .nor may the pool be opened in a well bore that is closer than 500 feet to any property line nor closer than 1,000 feet to the pool opened to the well bore in another well.. ." ConseIVation Order No. 51}' Page 2 of2 March 8,2004 ( 3. MPU L-04 currently produces oil from the Kuparuk River Oil Pool in the northeast governmental quarter section of Section 6. MPU L-43 will be the second well bore to open the pool in this governmental quarter section. The productive interval in MPU L-43 will lie more than 500 feet away from the nearest property line, and more than 1,000 feet away from the nearest well bores open to the pool, which are MPU L-04 and MPU L-05. 4. The location of the MPU L-43 well was selected as the most favorable structural position to recover oil reserves in the Kuparuk River Formation that are not recoverable with the current well pattern. 5. Offset landowners, owners and operators within 1,000 feet of the anticipated productive interval ofMPU L-43 have been notified. CONCLUSIONS: 1. An exception to the well spacing provisions of CO 432B is necessary to allow the drilling and operation of the MPU L-43 production well as it will be the second well bore open to the Kuparuk River Oil Pool within the northeast governmental quarter section of Section 6, TI3N, RI0E, UM. 2. Granting the requested spacing exception for the MPU L-43 well will promote more efficient recovery of oil reserves and will not result in waste or jeopardize the correlative rights of adjoining or nearby owners. NOW, THEREFORE, IT IS ORDERED: BPXA's application for exception to well spacing rovisions to allow the drilling and operation of the MPU L-43 production well is app v d. Daniel T. Seamount, Jr., Commissioner Alaska Oil and Gas Conservation Comn1ission Ä"..$~~@i!'J{9,v.i~~~i within 20 days after receipt of written notice ofthe entry of an order, a person affected by it may file with th~'-'<5Ðmmimôf{'än 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 re uest is deemed denied i.e., lOth da after the a Iication for rehearin was filed. CO 515 l ~( i Subject: CO 515 From: Jody Colombie <jody_colombie@admin.state.ak.us> Date: Tue, 09 Mar 200409:07:16 -0900 To: Cynthia B Mcivèr <bren _mciver@admin.state.ak.us> Jody Colombie <jody colombie(â¿admin.state.ak.us> Special Staff Assistant Alaska Oil and Gas Conservation Commission Department of Administration 1.:.8.... ... ... .. .1:.. . Conte~t- ;ype: ap~lication/msword .... ¡ COS1S.doc: . '. : : Content-Encoding: base64 , "..""...,...,."...,...,..,....."."...,...,...,..""",' . . 1 of 1 3/9/20049:07 AM CO 515 ( ( Subject: CO 515 From: J ody Colombie <jody - colombie@admin.state.ak.us> Date: Tue, 09 Mar 2004 09:53: 11 -0900 To: undisclosed-recipients:; BCC:Brian Iiavelock<beh@dnr.state.ak.us>,'BritLively <mapalaska@ak.net>,buonoje <:þllØn()J~@bp.C()J.)j?:,l<Jisten.Nelson<kne~S21)@petroleûpmew~~c01l1:>,. ..çþoddy . <éþQddy@usio~Iii.coW>,?'ch3fles.Q'donn~lln<.charles.o'ddnnell@veco.cprÌl>,ChristineHansen <c.~~se1).@iogcc.statê.ô!c~us?,..còllins--m.()lll1t..<cQllins2l11<?U1lt@re¥ellue.~ta.t.e.a.tc.l.1s>, ..dapa. <dåpa@a1aSka.llet>, ddonkel<ddonkel@cfl.rr.cpm:>,dollg_schultze <doug_schultze@xtoenergy.com>,ecolaw <ecolaw@trustees~org>,eyancey <eyancey@seal-tite.net>, eyancy<eyancy@seal-tite.net>, "fÌ"ed.steece" .<fred.steeéê@state.sd~ us>, ghammons <gh8p1P1ons@a()1.com>,."gregg.nadi'<gregg.nady@sheU.co111>,gspfoff "...'... . .' .'..". ..... <gspfoff@aurorap()wer.co~>:;."hank.alford" <hanlca.1ford@exxomnoþjl.com>,.¡.I:arryR.Bader <:Þ;~~lia.~el"@4~~~ståt~~~~1is~,:j@.?J~@4nr.~~at~.~..us:>.,njåirl~s;l11~ijï~~l't . ,~. . ..', . . ~~ .I~.~i~r~~,i~l~~~,]~<. . < . '. . .kÙdàl' .1:idri () . .' , . $1' ',ðriè~st~ril , .' Jody Colombie <iody colombie(â¿admin.state.ak.us> lof2 3/9/2004 9:53 AM CO 515 20f2 i~, ! J ¡ Special Staff Assistant i,., Alaska Oil and Gas Conservation Commission .", i Department of Administration .,""",--~_----......-_-,--"----.-._--'-..w-."'-.._---'--_-"""'-_----""""'~--- II ."":',,,~ontent-T;pe: apPlicatiOlVms~~rd]' COS1S.doc Content-Encoding: base64 . ..-- 3/9/20049:53AM Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Ciri Land Department PO Box 93330 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 James Gibbs PO Box 1597 Soldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 (' / ?'/.~( i IV . / ,::~/9./Ò ¿I Mary Jones XTO Energy, Inc. Cartography 810 Houston Street, Ste 2000 Ft. Worth, TX 76102-6298 David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 80901 John Levorsen 200 North 3rd Street, #1202 Boise,ID 83702 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 Jack Hakkila PO Box 190083 Anchorage, AK 99519 Darwin Waldsmith PO Box 39309 Ninilchick, AK 99639 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Penny Vadla 399 West Riverview Avenue SOldotna, AK 99669-7714 Cliff Burglin PO Box 131 Fairbanks, AK 99707 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 North Slope Borough PO Box 69 Barrow, AK 99723 #3 MPU L-43 Spacing Exception !' ~, ~. Subject: MPU L-43 Spacing Exception From: Bill VanDyke <wdv@dnr.state.ak.jus> Date: Tue, 17 Feb 2004 10:08:25 -0900 To:StephenDayies<steve--davies@a,dmin.state.ak.us> CC:"Skìlle:rn,Ra.ndY':ß"'.<Skille~@ßP.9oIrl> Steve The Department of Natural Resources has no objection to the requested spacing exception. Bill Van Dyke Division of oil and Gas 907.269.8786 -----Original Message----- From: Skillern, Randy L [mailto:SkilleRL@BP.com] Sent: Tuesday, February 17, 2004 9:44 AM To: Stephen Davies¡ William "Bill" Van Dyke (E-mail) Cc: West, Chris C¡ Wilson, Douglas A¡ Kleppin, Daryl J Subject: RE: MPU L-43 Spacing Exception Steve, I included the DNR (Bill Van Dyke) on my original note sent on 2-12-2004. Bill, as we have discussed, please confirm the DNR's position regarding Spacing Exceptions from the mineral owners perspective. Thanks, if you need anything further please do not hesitate to contact me. (907) 564-5567 -----Original Message----- From: S t eph en D a vie s [!.~.~..~...~...~..?...~...§..!::..~.Y.:.~._.s:1..~:.,!:..~..~..§..çq?..9.:..9.:~~.\~..~...:....§...~..~,,~~..~...:...~}~...:...~.?.] Sent: Tuesday, February 17, 2004 9:33 AM To: Skillern, Randy L Subject: Re: MPU L-43 Spacing Exception RL, BP did not send notice to DNR regarding the MPU L-43 exception. BP's reasoning is that as the leasehold owner under the leases, the mineral owner granted BP the executive and exclusive rights to explore and develop. According to our attorney, the notification requirement within 20 AAC 25.055 is to the landowner of the adjoining or nearby tracts, not to the tract on which the well will be drilled. So, BP still must provide notification to DNR as required by the regulation. To complete the exception process for MPU L-43, the best approach would be for BP to provide a written statement from DNR saying that DNR doesn't object to application for spacing exception or has no position on the application. When you provide this statement I will finalize the conservation order and pass it the Commissioners for their review. 10f2 2/17/20043:16 PM MPU L-43 Spacing Exception ~ ,{ ( Thanks for your help, Steve Davies Skillern, Randy L wrote: Steve, We have not sent notices to the DNR in the past on Spacing Exceptions. As the leasehold owner under the leases the mineral owner as granted us the executive and exclusive rights to explore and development. The DNR reviews and approvals our Plans of Exploration and Development which are required under the Unit Agreement. -----Original Message----- From: Stephen Davies [mailto:steve davies@admin.state.ak.us] Sent: Thursday, February 12, 2004 9:29 AM To: Skillern, Randy L Subject: Question: MPU L-43 Spacing Exception RL: As I reviewed the MPU L-43 application while writing the spacing exception order, I noticed something that may have been overlooked by all of us. AOGCC regulation 20 AAC 25.055(d) requires notice of the spacing exception application be sent by certified mail to the owners, landowners and operators within 1000' of a well drilling for oil. For MPU L-43, BPXA is the owner and operator, but isn't the landowner the State of Alaska? Did BPXA send notice of the application to DNR? If so, I don't see any record of that in your application. Thanks for checking into this. Steve Davies 20f2 2/17/20043:16 PM RE: Question: MPU L-43 Spacing Exception Irr 'l / ¡ Subject: RE: Question: MPU L-43 Spacing Exception From: "Skillern, Randy L" <SkilleRL@BP.com> Date: Thu, 12 Feb 2004 11 :16:53 -0900 To: BtephenDavies<steve_davies@admin.state.ak.us>, "Wilson, Douglas AI' <WilsonDA@BP.cóm> .,. cç:nJ(leppiri,])arylJn<IÇleppjI)E@BP~cQm> ,nWest,Gh~isC".<We~tcc@BP . com>, . 'IV{illiam\'fBill\"..y an.I)yk~(J~~J:11~il)I'.,'. <bill---van_dyk~@dlJ~~state.al<'us> . Steve, We have not sent notices to the DNR in the past on Spacing Exceptions. As the leasehold owner under the leases the mineral owner as granted us the executive and exclusive rights to explore and development. The DNR reviews and approvals our Plans of Exploration and Development which are required under the Unit Agreement. -----Original Message----- From: Step h en Da vie s [~.9.:.~..!..~..?...:....§...~..~.:Y.:.~_9..~.:Y.,,~,,~-~.~~.~.9.'~~'~Oo~..:..Oo§"!:'~.!::"~Oo.:...~.~...:...~.§.] Sent: Thursday, February 12, 2004 9:29 AM To: Skillern, Randy L Subject: Question: MPU L-43 Spacing Exception RL: As I reviewed the MPU L-43 application while writing the spacing exception order, I noticed something that may have been overlooked by all of us. AOGCC regulation 20 AAC 25.055(d) requires notice of the spacing exception application be sent by certified mail to the owners, landowners and operators within 1000' of a well drilling for oil. For MPU L-43, BPXA is the owner and operator, but isn't the landowner the State of Alaska? Did BPXA send notice of the application to DNR? If so, I don't see any record of that in your application. Thanks for checking into this. Steve Davies 1 of 1 2/12/2004 11 :20 AM bp ( 0',,', '~':: . \; ,,:" . BP Exploration (Alaska) Inc. 900 East Benson Boulevard PO. Box 196612 Anchorage, Alaska 99519-6612 (907) 561-5111 January 6, 2004 Sarah Palin, Commissioner Alaska Oil & Gas Conservation Commission 333 W. 7th Avenue, Suite 100 Anchorage, AK 99501 Re: Request for Additional Well Work for MPL-43 Dear Commissioner Palin: BP Exploration (Alaska) Inc. ("BP") has applied for an exception to the provisions of 20 AAC 25.055 for the drilling ofMPU L-43 (the "Well") and requests approval to conduct certain well activities prior to the approval and issuance of the exception. BPX spudded the L-43 well onl/6/04. The Well should take approximately12 days to drill to total depth ("TD"). After drilling the Well to TD, while the rig is still on location, BP seeks consent to perforate and perform a hydraulic frac. If you have any questions or require any additional information, please contact the undersigned at 564-5567 or Chris West at 564-4626. Sincen~J.r, i1 ,:(li,,': Vi r ' t}f7, "./,,"; ",/~,:, " "," ,",,' /[1" " 'f.e " 1<. {:"Skillern Landman - Alaska BP Exploration (Alaska) Inc. cc: Steve Davies, AOGCC Ed LaFehr, BP RECEI\/ED JAN 0 8 2004 Alaska Oil & Gas Cons. Commission Anchorage #2 STATE OF ALASKA INVOI( NOTICE TO PUBLISHER.< ADVERTISING ORDER NO. ADVERTISING ,UST BE IN TRIPLICATE SHOWING ADVERTISING ORDER N~ .:RTIFIED AO-02414018 ORDER AFFIDAVIT OF PUBLICATION (PART2 OF THIS FORM) WITH ATTACHEu COpy OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE , ',' SEESOT1'()MFOR'NY'O(çeÄOOR~SS " ' ~H<) F AOGCC AGENCY CONTACT DATE OF A.O. R 333 W 7th Ave, Ste 100 Jodv Colombie January 5, 2004 0 Anchorage,AJ( 99501 PHONE PCN M - (907) 791 -1 221 DATES ADVERTISEMENT REQUIRED: T Anchorage Daily News January 6, 2004 0 POBox 149001 Anchorage, AJ( 99514 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: STOF0330 Advertisement to be published was e-mailed Type of Advertisement X Legal D Display D Classified DOther (Specify) SEE ATTACHED SEND I NVOI.CEIN TRIPLICATE I AOGCC~ 333 Vv'. 7th Ave.~ Suite 100 I I TOTAL OF ¡I PAGE 1 OF ALL PAGES$ TO Anchorage, AK 99501 2 PAGES REF TYPE NUMBER AMOUNT DATE COMMENTS 1 VEN 2 ARD 02910 3 4 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LlO 1 04 02140100 73540 2 3 4 """"'--1\ .,.. REQUISITIONED BY:C ~ ~11. IDIV~~~~ J¿/ ,.~ ~ . '.- .¡'~ -')"i 'ÍA - ../ 1 - . (/ I .. 02~902 (Rev. 3/94) Publisher/Original Copies: Department Fiscal, Department, Receiving AO.FRM I~' ~ Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: The application of BP Exploration (Alaska) Inc. (BP) for a spacing exception to allow production of the Milne Point Unit No. L-43 Oil Development Well in accordance with 20 AAC 25.055. BP by letter dated December 29, 2003 and received by the Alaska Oil and Gas Conservation Commission (Commission) on December 29, 2003, has requested the Commission to issue an order in conformance with 20 AAC 25.055 allowing production of the Milne Point Unit No. L-43 Oil Development Well from a location within the same governmental quarter section as another well capable of producing from the same pool. The surface location of the proposed well is 3636 feet from the south line and 5040 feet from the east line of Section 8, T13N, R10E Umiat Meridian (UM). The proposed bottomhole location is 3695 feet from the south line and 467 feet from the east line of Section 6, T13N, R10E, UM. The Commission has tentatively set a public hearing on this application for February 10, 2004 at 9:00 am at the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. A person may request that the tentatively scheduled hearing be held by filing a written request with the Commission no later than 4:30 pm on January 23, 2004. If a request for a hearing is not timely filed, the Commission will consider the issuance of an order without a hearing. To learn if the Commission will hold the public hearing, please call 793-1221. In addition, a person may submit written comments regarding this application to the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Written comments must be received no later than 4:30 pm on February 6, 2004. If you are a person with a disability who may need a special modification in order to comment or to attend the public hearing, please contact Jody Colombie at 793-1230 no later th?:~2:4Q C!~ sara~I:, ~ir ~ Alaska Oil and Gas Conservation Commission Published January 6, 2004 ADN: AO-2414018 I Anchorage Daily News Affidavit of Publication If ~, 1/6/2004 1001 Northway Drive, Anchorage, AK 99508 PRICE OTHER OTHER OTHER OTHER OTHER GRAND AD# DATE PO ACCOUNT PER DAY CHARGES CHARGES #2 CHARGES #3 CHARGES #4 CHARGES #5 TOTAL 45118 01/06/2004 02414018 STOF0330 $172.28 $172.28 $0.00 $0.00 $0.00 $0.00 $0.00 $172.28 Kimberly Kirby, being first duly sworn on oath deposes and says that she is an advertising representative of the Anchorage Daily News, a daily newspaper. , Notice of P~bllc Hegrlng , ',,'.' . ,'STATE OF ALASKA , 'Ala~~~onand Gas ConsE!rvatlon Commlss\~~ 'Re:The,Q'ppl\cotlon of BP Expìdråtlon (Alaska) Inc,' (BP)for 0 spacing exception to allow prodûì::tlonof the f\i!lIne Point Unit No. 1.:..430JI DeveloPl'Tlent Well :11 accordance wlln ' 20 AA~\ 25.055. '. " " "'¡'I:'~b$l~tter Øoted Dec;embèf"¥~;2()Q3ia~Q, re- ,celvedb'ithe Alaska,OUand,()as Conser,yatlon ,"Commlsslo,,(Commlsslon)on'Dec~mber 29, ~003, has requested the C,ommlsslô.n.to,l$suean ord~r::ln conf()rmance ,Wlth20AAC 25.055 allowing produ¡::- tlon',of .the MHne Point'. Unit No. L.43 011 Del/elop. ment Wellfr()m, a loc,atlon . within ,the same' g,OV. e,rn mentalqua~te'rsec:tlon, as' another we,ll capable of produclngfromthesQm~pool. T,he sl,Irfacelo. cation, oftheproposltd well,ls'3636 feet, from the south line ,anc;l , 5040 feet from ,the east line of Sec. tlonS, T13N,HQE Umiat Me,rldlan(UM}. The .Pro)()sed, bottomhole location Is 3695 feet from the southlln,e,and467 feet,from the, east line ofSec- tlon 6, T13N,Rl0E¡ UM. .' STATE OF ALASKA THIRD JUDICIAL DISTRICT That said newspaper has been approved by the Third Judicial Court, Anchorage, Alaska, and it now and has been published in the English language continually as a daily newspaper in Anchorage, Alaska, and it is now and during all said time was printed in an office maintained at the aforesaid place of publication of said newspaper. That the annexed is a copy of an advertisement as it was published in regular issues (and not in supplemental form) of said newspaper on the above dates and that such newspaper was regularly distributed to its subscribers 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. , . 'The CommlsslOri has teritatlvelv set a )l.,Ibllc!hear~ Ing on this application for, FebrtÌarviO,2004 'at ~:QO ~rrs~~~h:t~~~S~~s?l~t~n: v~~~e~~31::'r8J.IO:ri~~~: 'a~e,Alaska99501. A person mov requeST rnol The te,ntatlvelv scheduledhearll1g be l1eld bY tllll1g 0 wrlttenre~uest with the Comml!oslon 110 larer rhon 4:30 pmdn Januarv23J 2004. ",C .,',," ""f", .," '",'\..', "'. ",'.'.":"" .,,'i":}, "':", '"Ital~quest ,for (;1 hear I nlil' ,Is' nottlmelYflllild,.tþè ',C:;Qh1rnission Will consl(jèr thelssuanc:e of an order iWJthQPt 0 hearing. ',TO Jec:u:n IHheC°r'r1mlsslon will , i:~(\II~t~!::Pu~l:lc,~earl~~~ p~ease c\all, 793-1221. '. In'addltlon; 0 per~on mav ~ubmlt 'wl'lttencom~ lTIenrs regordll1; TillS agpllcatlon to t~e Alaska QII and QO'å ConserlloTlon C.Jmmlsslonat'333W,8st 7th Avenlle. Sulle 100. Anchoro;e. Alaska 99501. Writ- Tel) c;omm£onts ",11,>1 be recelvea nolate.r than 4:30 Pn:1 on February 6~ 2004" "...' , ' 'I f voù are a person with a dl;abJllty who 'may need 0 spec:lalmodlflca,tlon In ol!d~rto comh'lel]t or to attend the public, hearing; Ple;ase c:ontact Joay Colomb~e at. 793.1230 no late~ t~à,~:'F~bruarv 9; 20Q4. ' sarati Palin, Chair , ,,: . Alask,Q 011 and Gas Conservation Commission ADN: AO-2414018 :Pu"lIsh: J,anuarv 6t'2Q04 Signed \\l\ ({{((Ir. \,\.\\ ~~ .'~~. ð ~ ~~O., ....'. ~~~ § :.'.O.~~~):-.~~ - . þ. . - ::: 2!, :~ U8l." IC ., ::: ":::fE~.. --"..ø: .~~ % .'~OFA~.~'f.$ ~ . . . . . ..Jðv,:\,,,,,,, /,/ &niœ&JU':," :I)))) Jjil )) \ , , STATE OF ALASKA ADVERTISING ORDER SEEBOTTOMfORINVOICE.AODRESS. . ",' " II NOTICE TO PUBLISHER ADVERTISING ORDER NO. I NVO\ ,lUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER ~ ERTIFIED AO-02414018 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATIACHED CUPY OF ADVERTISEMENT MUST BE SUBMITIED WITH INVOICE ,. F AOGCC R 333 West 7th Avenue, Suite 100 0 Anchorage,AK 99501 M 907-793-1221 AGENCY CONTACT DATE OF A.D. Joòv rO~\1I i~J;[ PHOr\íE J ~HI Ui11 V 5 ?.o04 PCN (907) 791 -1 ??1 DATES ADVERTISEMENT REQUIRED: T 0 Anchorage Daily News POBox 149001 Anchorage, AK 99514 January 6, 2004 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: United states of America AFFIDAVIT OF PUBLICATION REMINDER State of ss 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. division. Before me, the undersigned, a notary public this day personally appeared who, being first duly sworn, according to law, says that he/she is the of Published at in said division and state of and that the advertisement, of which the annexed is a true copy, was published in said publication on the day of 2004, and thereafter for - consecutive days, the last publication appearing on the - day of . 2004, and that the rate charged thereon is not in excess of the rate charged private individuals. Subscribed and sworn to before me This - day of 2004, Notary public for state of My commission expires " 02-901 (Rev. 3/94) Page 2 AO.FRM PUBLISHER RE: Notice ( f Subject: RE: Notice From: legalads <legalads@adn.cOn1> Date: Mon, 05 Jan 2004 14:39:36 -0900 To: JodyColombie <jody - colombie@admin.state.ak.us> Hi Jody: Happy New Year to you. Following is the confirm ation information on your legal notice. Please let m e know if you have any questions or need additional information. Account Number: STOF 0330 Legal Ad Number: 45118 Publication Date(s): January 6, 2004 Your Reference or PO#: AO-02414018 Cost of Legal Notice: $172.28 Additional Charges Web Lillie E-Mail Lillie Bolding: Total Cost to Place Legal Notice: $172.28 Ad Will Appear on the web, www.adn.com: XXXX Ad Will Not Appe ar on the web, www.adn.com : Thank You, Kim Kirby Anchorage Daily News Legal Classified Representative E-Mail: legalads@adn.com Phone: (907) 257-4296 Fax: (907) 279-8170 ---------- From: Jody Colombie Sent: Monday, January 5, 2004 10:46 AM To: legalads Subject: Notice «File: MPU L-43 SpacinQ Exception Notice.doc»«File: Ad Order 1 of2 1/5/2004 2:39 PM RE: Notice 20f2 ( form .doc» Please publish on Janaury 6, 2004. 1/5/2004 2:39 PM If/kef I/&ßC¡ ( Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: The application of BP Exploration (Alaska) Inc. (BP) for a spacing exception to allow production of the Milne Point Unit No. L-43 Oil Development Well in accordance with 20 AAC 25.055. BP by letter dated December 29, 2003 and received by the Alaska Oil and Gas Conservation Commission (Commission) on December 29, 2003, has requested the Commission to issue an order in conformance with 20 AAC 25.055 allowing production of the Milne Point Unit No. L-43 Oil Development Well from a location within the same governmental quarter section as another well capable of producing from the same pool. The surface location of the proposed well is 3636 feet from the south line and 5040 feet from the east line of Section 8, T13N, R10E Umiat Meridian (.UM). The proposed bottomhole location is 3695 feet from the south line and 467 feet from the east line of Section 6, T13N, R10E, UM. ( The Commission has tentatively set a public hearing on this application for February 10, 2004 at 9:00 am at the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. A person may request that the tentatively scheduled hearing be held by filing a written request with the Commission no later than 4:30 pm on January 23, 2004. If a request for a hearing is not timely filed, the Commission will consider the issuance of an order without a hearing. To learn if the Commission will hold the public hearing, please call 793-1221. In addition, a person may submit written comments regarding this application to the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Written comments must be received no later than 4:30 pm on February 6, 2004. If you are a person with a disability who may need a special modification in order to comment or to attend the public hearing, please contact Jody Colombie at 793-1230 no later tha~~~ry 9" 2004. ~ n , ~~-'). .#, (/ I / /' ", " /I./I.....(,A,.., "--"-4\S, /~" ~.., /"'-- / ----- -' \ .,- (¡/'-- ,'.- Sarah Palin, Chair Alaska Oil and Gas Conservation Commission Published January 6, 2004 ADN: AO-2414018 ( Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Cliff Burglin PO Box 131 Fairbanks, AK 99707 North Slope Borough PO Box 69 Barrow, AK 99723 ( Mary Jones XTO Energy, Inc. Cartography 810 Houston Street, Ste 2000 Ft. Worth, TX 76102-6298 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 80901 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Jack Hakkila PO Box 190083 Anchorage, AK 99519 Penny Vadla 399 West Riverview Avenue Soldotna, AK 99669-7714 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 ( David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 John Levorsen 200 North 3rd Street, #1202 Boise,lD 83702 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 James Gibbs PO Box 1597 SOldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 Notice ,;[ Subject: Notice From: Jody Colombie <jody_colombie@admin.state.ak.us> Date: Mon, 05 Jan 2004 10:47:15 -0900 To:" angelawebb <angie_webb@admin.state.ak.us>, CynthiaBMciver <bren _mciver@admin.state.ak.us> Please publish the attached. I MPU - L-43 - Spacing _Exception - N otice.doc Content-Type: applicationlmsword ¡ I ..I.........:.......:.~....::..:.......::....~.:...:....:...~.:.~............~'......:.:..::..........:.:.,.::.:.:..:.:::.....:.:..:........:..:....::.....................:.:.......:......:..........................:...:.~...........:.~..::....:...:......................~.~,.~~.~.~~=.~.~.~.~:~:~.~.~~:..:..~.~~:,~.~;::...........:...:.:..:.:...:::.:.....::..:......:.::.::....:...::..:........ 1 of 1 1/5/2004 10:51 AM CO 505, AIO 26 and MPU L-43 Notke ( ( . MPU - L-43 _Spacing _Exception - Notice.doc I Content-Type: ... .~;;ii~~~i~~~~~~~dil lof2 1/5/2004 10:51 AM CO 505, AIO 26 and MPU L-43 Noti{/- I Content-Encoding: base64 ~ ,.-. --.- -, - '--'------u.'.".'.- ." un '-.""---''',-'_m_'...._.-.-- _.. .. -... n I" , ,', , ,,' " ., ,'",' , ",'", ,.,.. i ,C" '0, "',.n"""t,,e,,', nO'. t,. -, T,,', ,,',Y,', ,P" , e", ,:, , ,,' " "" '", ,a,',.,p,.,P,l,.,i"C, " a,'t,'"i"O" ,nl ,', ,m' .,,8,', ,W,.""."O""'r,',,d,',',"~','..: lAID 26.doc! i I Content-Encoding: base64 I....,.. ~~~~=~~:I;;;;~¡~i;~~l~~:~::~j 20f2 1/5/2004 10:51 AM #1 bp f 0,1/'/ . ,,ii "~" ~" ,.,,': I,. \ ,- December 29, 2003 BP Exploration (Alaska) Inc. 900 East Benson Boulevard PO. Box 196612 Anchorage. Alaska 99519-6612 (907) 561-5111 Sarah Palin, Commissioner Alaska Oil & Gas Conservation Commission 333 W. ih Avenue, Suite 100 Anchorage, AK 99501 RECEIVED DEC 2 9 2003 Alaska Oil & Gas Cons. Commission Anchorage Re: Request for Exception to the Provisions of 20 ACC 25.055 for MPL-43 Dear Commissioner Palin: BP Exploration (Alaska) Inc. ("BP") hereby applies for an exception to the provisions of 20 AAC 25.055 for the drilling of MPU L-43 (the "Well"), for which the proposed location is the NE/4 of Section 6, Township 13 North, Range 10 East, Umiat Meridian and in which governmental quarter section a well, MPL-04, in currently producing. BP has chosen to drill the L-43 producer because detailed reservoir modeling has revealed that 1 million barrels of reserves from the Kuparuk A sands would not be recovered from the Hydraulic Unit 261 by the existing wells without an additional producing well in place. This is because faulting in the area acts as a baffle to uniform sweep from offset injection wells, leaving portions of the hydraulic unit un swept without the addition of a producing well. The objective is to drill the L-43 production well into an un swept area of the HU 261 pattern. The owners, landowners, and operators of all properties within 1000' the proposed bottomhole location of the Well are BP Exploration (Alaska) Inc. and BP America Production Company. Because these owners arepart>of the BP Group no notice of this application has been mailed pursuant to the regulations. The plat required by the regulation is attached as Exhibit 1. The verification required by the regulation is attached as Exhibit 2. . If you have any questions or require any additional information, please contact the Chris West at 564-4626. Sincer""l , i 'I' ,.~ '¡ ; ¿ '"-' k~£. 6killern Agent and Attorney-in-Fact BP Exploration (Alaska) Inc. ( ( RECEIVED EXHIBIT "2" 0 E C 2 9 Z003 VERIFICATION OF APPLICATION FOR SPACING EXCEPTION MPL-43 WELL Alaska Oil & Gas Cons. Commission Anchorage I, Christopher C. West, Milne Point Development Lead for BP Exploration (Alaska), Inc., the Operator of the Milne Point Unit, do hereby verify the following: 1. I am acquainted with the documentation for a spacing exception for the MPL-43 Well. 2. I have reviewed the application submitted for the exception to 20AAC 25.005 and all the facts provided are true. 3. I have reviewed the plat attached as Exhibit "I" and it is accurate and correctly portrays the pertinent and required data. Dated at Anchorage, Alaskathis 29th day of December 2003. C~~V Christopher C st Milne Point Development Lead R. cD (--V, STATE OF ALASKA ) ) ) ss. THIRD JUDICIAL DISTRICT This certifies that on the ~day of December, 2003, before me, a notary public in and for the State of Alaska, duly commissioned and sworn, personally appeared Christopher C. West, to me known and known to me to be the person described in, and who executed the foregoing assignment, who then after being duly sworn according to law, acknowledged to me under oath that he executed same freely and voluntarily for the uses and purposes therein mentioned. WITNESS my hand and official seal the day and year in this certificate first above written. Q:on m . futLKh NO(jRY PUBLIC IN AND FOR ALASKA My Commission Expires: \ O/Cf3/0L-t O(";p ~- f~1:'~- ~ ~ Milne Point Proposed Well L-43 Location Map eMPF-33 8MPF-73 8MPF-69 8MPL-21 eMPF-14 8f{9E RtOE eMPL-14 T~34N 1jLaN eMPL-28A 8MPF-82 eMPL-15 8 MPL-24 eMPF-530H 8MPL-1 8MPL-11 8MPL-05 8MPL-04 8MPL-13 8 MPF-58 * M~l-43 Proposed BH Location 8MPF-77 8 MPL-08 eMPL-Q9 .MPF-82PB1 8MPF-02 8M PF-05 8MPF-21PB1 8MPL-10 8MPL-03 eMPlØO.IPF-21 eMPL-01 eMPC-36 0 2000 4000 6000 Feet I I I I Scale 1 :24,000 ASP Zone 4