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HomeMy WebLinkAbout202-183 Image ~ .'hject Well History File C",~er 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. ó2. Q ci - 1 C3 ~ Well History File Identifier Organizing (done) D Two-sided III II 11111111111111 ~can Needed I RESCAN ~olor Items: o Greyscale Items: DIGITAL DATA OVERSIZED (Scannable) D Maps: D Other Items Scannable by a Large Scanner D Diskettes, No. D Other, NolType: o Poor Quality Originals: OVERSIZED (Non-Scannable) D Other: o Logs of various kinds: NOTES: Scanning Preparation BY: HelenC Mari::lJ If x 30 = J aO D Other:: Date: ~ 171DS Is! vv¡..:J I Date:~ I 7/0S' Isl vvtP + l+ = TOTAL PAGES Jdvlf (Count does not ir:::lude cover sheet) . '^ A-iJ Date: ~ 17 rJS Isl vv~ r I I -I BY: Heier{ Maria) Project Proofing BY: Helen (Maria) '--- Production Scanning Stage 1 Page Count from Scanned File: J ci..Ò(count does include cover sheet) Page Count Matches Number in Scanning Preparation: V YES , I NO BY: Helen( Maria) Date: ~ I 7/ 05 /s/ Stage 1 If NO in stage 1 page(s) discrepancies were found: YES NO rn~ BY: Helen Maria Date: 151 III 1111111111111111 11I1111111111111111 II Date: 151 Quality Checked 1111111111111111111 Scanning is complete at this point unless rescanning is required. ReScanned BY: Helen Maria Comments about this file: ... , e e MEMORANDUM State of Alaska Alaska Oil and Gas Conservation Commission TO: Jim Regg)/ê~~¡ Š/t't/Oy P. I. Supervisor <... (~ DATE: May 8,2005 ~'3;~ FROM: John Spaulding, Petroleum Inspector SUBJECT: Location Clearances Pioneer Unit Pioneer Natural Res. The following wells in the Pioneer Unit were inspected for location clearances: Bering 03 PTO: 202-177 Baranoff 04 PTO: 202-178 Cook 01 PTO: 202180 Lowell 02 PTO: 202-179 1702-14CC PTO: 199-065 1702-150A WOW PTO 199-064 1702-1500 PTO: 199-066 Cornhusker 04 PTO: 202-181 RL Smith 03 PTO: 202-182 OJ.. Smith 01 PTO: 202-184 vStromberg 02 PTD: 202-183 BL T 01 PTO: 199-068 ''1' .......1....1'-1', ¡¡ !111 '.)Vr\¡t:~l;;:,..! ",y,! l} All locations were found to be in excellent shape, well graded with some small amounts of debris. I requested that the debris be cleaned up and Joe Polya Pioneer Nat. Resources rep. agreed. He will inform as to when the final cleanup has been made so that I may make one last pass over the locations. SUMMARY; I found all locations in very good condition with small amounts of tidying up to be done. Attachments: photos on CD NON-CONFIDENTIAL ~ . Well location of Houston . . MICROFILMED 07/25/06 DO NOT PLACE ANY NEW MATERIAL UNDER THIS PAGE F:\LaserFiche\CvrPgs _ Inserts\Microfilm _ Marker.doc RECEIVED . STATE OF ALASKA , ALASKA 0 ND GAS CONSERVATION COMMISSIO OCT 1 7 2005 WELL COMPLETION OR RECOMPLETION REPORT AA.ALm¡i ",-eGon ¡, Commi$~iº11 1a. Well Status: OilD GasD Plugged ~ Abandoned 0 ,- Suspended D WAGD 1 b. Well Class: Anchorage 20AAC 25.105 20AAC 25.110 Development D Exploratory [] GINJD WINJD WDSPL D No. of Completions Other Service D Stratigraphic Test D 2. Operator Name: 5. Date Comp., Susp., or 12. Permit to Drill Number: Pioneer Natural Resources Alaska, Inc. Aband.: Aug 18, 2005 .2~18S r 3. Address: 6. Date Spudded: 13. API Number: 700 G Street, Suite 600 Anchorage, AK 99501 October 23, 2002 50-009-20025-00 /' 4a. Location of Well (Governmental Section): 7. Date TD Reached: 14. Well Name and Number: Surface: 1386' FNL, 933' FWL, Sec 1,T17N, R3W SM November 20, 2002 Gary and JoAnn Stromberg #2 /' Top of Productive Horizon: 8. KB Elevation (ft): 15. Field/Pool(s): Same 300 Total Depth: 9. Plug Back Depth(MD+ TVD): Pioneer Unit Same Surface 4b. Location of Well (State Base Plane Coordinates): 10. Total Depth (MD + TVD): 16. Property Designation: Surface: x- 1684398 y- 2775232 (NAD 83) Zone- 4 2510 Private TPI: x- Same y- Same Zone- 11. Depth Where SSSV Set: 17. Land Use Permit: Total Depth: x- Same y- Same Zone- NA NA 18. Directional Survey: Yes [J No ~ 19. Water Depth, if Offshore: 20. Thickness of Permafrost: NA feet MSL NA 21. Logs Run: 22. CASING, LINER AND CEMENTING RECORD WT. PER SETTING DEPTH MD SETTING DEPTH TVD AMOUNT CASING FT. GRADE TOP BOTTOM TOP BOTTOM HOLE SIZE CEMENTING RECORD PULLED . 12.75 NA NA Surface 360 Surface 360 16 70 sx Class A 8.625 23 J-55 Surface 1020 Surface 1020 11 74 bbl Class A 5.5 17 J-55 Surface 2503 Surface 2503 7.875 120 bbl Class A 23. Perforations open to Production (MD + TVD of Top and Bottom 24. TUBING RECORD Interval, Size and Number; if none, state "none"): SIZE DEPTH SET (MD) PACKER SET (MD) None 25. ACID, FRACTURE, CEMENT SQUEEZE, ETC. $(;ANNED DE C 1 9 2005 DEPTH INTERVAL (MD) AMOUNT AND KIND OF MATERIAL USED ¿ 1695-2208 5.5 bbl Type I cement squeezed ,- 26. PRODUCTION TEST Date First Production: Method of Operation (Flowing, gas lift, etc.): Date of Test: Hours Tested: Production for Oil-Bbl: Gas-MCF: Water-Bbl: Choke Size: IGaS-Oil Ratio: Test Period -+ Flow Tubing Casing Press: Calculated Oil-Bbl: Gas-MCF: Water-Bbl: Oil Gravity - API (corr): Press. 24-Hour Rate .... 27. CORE DATA Brief description of lithology, porosity, fractures, apparent dips and presence of oil, gas or water (attach separate sheet, if necessary). Submit core chips; if none, state "none". None ORIGINAL , 1Jí)~r , Form 10-407 Revised 12/2003 CONTINUED ON REVERSE \'YV L " 1 LJjJ/f f !J Jð f JíYt ~ \l\úk If" \0< \o\~ O~t1 NAME GEOLOGIC MARKERS MD TVD RMA TION TESTS Include and briefly summariže test results. List intervals tested, and attach detailed supporting data as necessary. If no tests were conducted, state "None'l. 28. None 30. List of Attachments: Final Well Schematic, Operations Summary 31. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact: Printed Name: Joe Polva Title: Sr. Staff Drilling Engineer Signature: c-- Phone: 907-343-2111 Date: INSTRUCTIONS General: This form is designed for submitting a complete and correct well completion report and log on all types of lands and leases in Alaska. Submit a well schematic diagram with each 10-407 well completion report and 10-404 well sundry report when the downhole well design is changed. Item 1a: Classification of Service wells: Gas Injection, Water Injection, Water-Alternating-Gas Injection, Salt Water Disposal, Water Supply for Injection, Observation, or Other. Multiple completion is defined as a well producing from more than one pool with production from each pool completely segregated. Each segregated pool is a completion. Item 4b: TPI (Top of Producing Interval). Item 8: The Kelly Bushing elevation in feet above mean low low water. Use same as reference for depth measurements given in other spaces on this form and in any attachments. Item 13: The API number reported to AOGCC must be 14 digits (ex: 50-029-20123-00-00). Item 20: True vertical thickness. Item 22: Attached supplemental records for this well should show the details of any multiple stage cementing and the location of the cementing tool. Item 23: If this well is completed for separate production from more than one interval (multiple completion), so state in item 1, and in item 23 show the producing intervals for only the interval reported in item 26. (Submit a separate form for each additional interval to be separately produced, showing the data pertinent to such interval). Item 26: Method of Operation: Flowing, Gas Lift, Rod Pump, Hydraulic Pump, Submersible, Water Injection, Gas Injection, Shut-in, or Other (explain). Item 27: If no cores taken, indicate "none". Item 29: List all test information. If none, state "None". Form 10-407 Revised 12/2003 e e Pioneer Natural Resources Alaska, Inc. Pioneer Unit Gary and JoAnn Stromberg #2 Plug and Abandonment Operations Summary July 25, 2005 Check pressure on well, 710 psi on casing, 0 psi on tubing. Confirmed pluggedjt of 2-7/8 inch tubing at surface. Bled casing to tank for 35 minutes to 0 psi, vented gas with all ignition sources off. Shut in 10 minutes, 50 psi buildup. Pump water in 40 bbl and 23 bbl batches, shut in well and monitor, 50 psi, bleed off, no gas. Pump 35 bbl additional water, shut in and monitor, 50 psi. Mix up 50 bb18.8 ppg KCI and NaCI brine, pump down casing at 600 psi. Shut in well at 200 psi, pressure fell to 50 psi in 10-20 minutes. SDFN. July 26,2005 Check pressure on well, 30 psi on casing, 0 psi on tubing. Bled casing to 0 psi, brine returns to tank, no gas. Shut in for 30 min, 25 psi buildup. Bled casing to 0 again, pulled drive rod from stuffing box and sealed same with plug. Pumped 10 bbl cement rinsate and 5 bbl water to verify injection. Batch mixed 54 bblType I cement, 15 ppg and pumped down casing at 150 to 200 psi, 3 bpm. Displace cement with 1.5 bbl water to clear lines and 1 joint tubing in 5.5 inch casing. Bled off slight shut in pressure with cement interface water back to surface. Pulled 1 joint 2-7/8 inch tubing from well with well on slight vacuum. Rill with top job hose to 100 feet, cement fluid level 80 feet. Batch mix 3 bbl cement and pump top job from 100 feet to surface. Recovered all displacement water. Shut in well on slight vacuum. Clean up equipment. Move to DL Smith #1. July 30, 2005 Check well, well dead. Dug out well for later cut off of wellhead. Found 20 inch structural casmg. July 31, 2005 Cut off of wellhead to 5.5 feet below grade. Set top job in top 70 inches of 5.5 inch casing. August 9, ·2005 Matt Rader (ADNR) and Chuck Sheve (AOGCC) inspected Pilot 1 and 2 wells and approved all 8 wells for marker plate installation and backfill. August 18, 2005 Welded marker plate on well. Backfill to be completed upon removal of surface equipment. - 1 - -2- - 3 - e e Pioneer Unit Stromberg #2 Final Well Schematic. Well Stromberg #2 API 50-009-20025-00 QtrlQtr Sec 2 Pioneer Natural Resources Alaska, Inc. Twp 17N Rng 3W Size Weight Grade Thread Depth County Matanuska,Susitna State Alaska Casing 8-5/8 23 J-55 ST&C 1020 Field Pioneer Unit Country USA Casing 5-1/2 17 J-55 LT&C 2503 KB/GL 278/274 Tubing No. Depth LenQth OD ID Description 1 2492 2 4.24 N/A Alpha Tools Midget 1110,000 psi CIBP 2 Surface Well cuttoff 5.5 feet below ground level. 3 2199 9 N/A N/A Perfs from 2199 - 2208, 4 spf, 23 g, SQUEEZED 4 2112 4 N/A N/A Perfs from 2112 - 2116, 4 spf, 23 g, SQUEEZED 5 1959 5 N/A N/A Perfs from 1959 - 1964,4 spf, 23 g, SQUEEZED 6 1943 4 N/A N/A Perfs from 1943 - 1947,4 spf, 23 g, SQUEEZED 7 1842 5 N/A N/A Perfs from 1842 - 1847,4 spf, 23 g, SQUEEZED 8 1823 4 N/A N/A Perfs from 1823 - 1826, 4 spf. 23 g, SQUEEZED 9 1746 5 N/A N/A Perfs from 1746 - 1751,4 spf, 23 g, SQUEEZED 10 1695 4 N/A N/A Perfs from 1695 - 1699,4 spf, 23 g, SQUEEZED 2 Modified by JRM 9/13/05 .. , - e MEMORANDUM State of Alaska Alaska Oil and Gas Conservation Commission TO: Jim Regg,\)) 011 -/,,'>' P. I. Supervisor l\eq1 ( b U DATE: August 9, 2005 FROM: Chuck Scheve, Petroleum Inspector SUBJECT: Surface Abandonment Pioneer Unit o L Smith #1 PTD# 202-184 Stromberg #2 PTD# 2&2...4&:3,. R L Smith #3 PTD# 202182 Cornhusker#4 PTD# 202-181 Tuesdav. Auaust 9.2005: I traveled to Pioneer's Coal Bed Methane exploratory locations to inspect the casing cut off and abandonment of the above listed wells. All casing strings on the above listed wells were cut off at approximately 5' below original ground level. All 4 wells were found full of cement to within 18" of surface in all strings and will be topped off prior to installation of the marker plates. The marker plates with the required information bead welded to them were on location and will be welded to the outer most casing. ....-.~....,....._.~--,.-,.,....,.,-."'"~'- ^-';-'-''roO"c",,'"''_''''''''''''''''' SUMMARY: I inspected the casing cut off depth, and the P&A marker plates onthe 0 L Smith 1, Gary Joann Stromberg 2, Robert L Smith 3 and Corn husker 4 wells and found all to be in order. Attachments: 0 L Smith 1.JPG Stromberg 2.JPG R L Smith 3 .JPG Cornhusker 4 .JPG t:'C ". 'iI<.\w.··.,Aí~r '. v'<;,,?n~\J' "',.....'-' ~Î' <I: "Jf¡ D~" c. ..,;'... t.,.-,;r \.. e e Pioneer Unit Surface Abandonments Photos by AOGCC Inspector Chuck Scheve August 9, 2005 r ¡ " .~" .-; "~~~ '; , !".. " , ;f;.:: , .. f ~. ,",.' ," ," .$Û:.-' ,- . Cornhusker #4 Casing Cut DL Smith #1 Casing Cut 2 J S-J()~ ;lß ~ ~- DATA SUBMITTAL COMPLIANCE REPORT 7/6/2005 Permit to Drill 2021830 Well Name/No. GARY JOANN STROMBERG 2 MD 2510"""- TVD 2510 ,.-- Completion Date 6/15/2003 r --------- REQUIRED INFORMATION Mud Log No "---. -- - -- --- ------ - ---- DATA INFORMATION Types Electric or Other Logs Run: DNL, GR, Neu, BL, Mud log, Inc Survey Well Log Information: Log/ Electr Data Digital Dataset Type Med/Frmt Number -_-0_---- ¡ Rpt ~- '~/ .r: ~/ ~ I j'C~g [ I -rLog Name Directional Survey ~d Log ~ment Evaluation ~amma Ray )11du ction/Resistivity ~nsity ~uction/Resistivity ~eutron ~- ~mma"RaYL~ W' -- ------------ Well Cores/Samples Information: Name Interval Start Stop q<-tO '} r\~Q J"7 ¿.¿...1 f Operator EVERGREEN RESOURCES (ALASKA) API No. 50-009-20025-00-00 ~ ) ð 4- M'-\à Completion Status 1-CBNG Current Status 1-CBNG Samples No UIC N Directional Survey No (data taken from Logs Portion of Master Well Data Maint) OH/ CH Received Comments 9/16/2003 Columbine Logging 2/16/2005 Case 9/16/2003 Patterson/Dual Spaced Cement Bond Log Cased Hole Gamma Ray Neutron/Patterson Induction Gamma Ray/Patterson Patterson/Compensated Density Patterson/Induction Gamma Ray Patterson/Compensated Density Neutron Log Patterson/Dual Spaced Cement Bond Gamma Ray Log Log Run Scale Media No Interval Start Stop 250 2465 950 2510 o 2483 5 Blu 5 Blu 5 Blu 5 Blu 5 Blu 5 Blu 5 Blu 5 Blu 2 8 1000 2510 Case 2/16/2005 350 880 2/16/2005 350 709 2/16/2005 1020 1630 2/16/2005 Qj/)., 1025 1êi5 2/16/2005 0 2488 2/16/2005 2 3 4 Sent Sample Set Number Comments Received ) ) )-J -~- DATA SUBMITTAL COMPLIANCE REPORT 7/6/2005 Permit to Drill 2021830 Well Name/No. GARY JOANN STROMBERG 2 Operator EVERGREEN RESOURCES (ALASKA) API No. 50-009-20025-00-00 MD 2510 TVD 2510 Completion Date 6/15/2003 Completion Status 1-CBNG Current Status 1-CBNG UIC N ADDITIONAL INFORMA~N Well Cored? Y / Ii) Daily History Received? f!:jN ~ Chips Received? (Y I I-J Formation Tops Analysis Received? ..::f..)...W-- - --------- Comments: ~/ ---- ------------ Compliance Reviewed By: Date: '-' ~'~@' \~Ir' 1'''1~tr.;''''';:1! lb' I . . \ I I I I ~ ¡ \\!, r "~ /' ~ ¡- ! I ,~ It·< " ..j I ¡ ~ ~Ü' ~..J':¡~ W l~ [,'¡'n'l il-[ f i' ¡ I[';¡! I : ! : ! i \~) l: ) /A\ 1';1 ~i , "I¡ 1--:;;":, :-!~' "~. '\ ' '\" : i ;' :' 1 it i( [I..JJ : ii,'" : ,: ¡" J' / I \ j II , ¡/,i\~'r , '0:"'" ,,1,< , ~,. ,/ /' j'" j I¡~ lJ, 'iU' J, !.,0j lb ~n '¡ @ 1\'. /. \\ ) AItASIiA OIL AND GAS CONSERVATION COMMISSION / l ¡ I ¡' / FRANK H. MURKOWSKI, GOVERNOR Joe Polya Sr. Staff Drilling Engineer Pioneer Natural Resources Alaska, Inc 700 G Street Ste 600 Anchorage, AK 99501 333 W. 7TH AVENUE, SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Re: Stromberg #2 305-186 -16d--- I g'3 Dear Mr. Polya: Enclosed is the approved Application for Sundry Approval relating to the above referenced well. Please note the conditions of approval set out in the enclosed form. Please provide at least twenty-four (24) hours notice for a representative of the Commission to witness any required test. Contact the Commission's petroleum 'field inspector at (907) 659-3607 (pager). As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the Commission grants for good cause shown, a person affected by it may file with the Commission an application for rehearing. A request for rehearing is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. A person may not appeal a Commission decision to Superior rt unless rehearing has been req uested. DATED this tSday of July, 2005 Enc!. ') ) July 13, 2005 Mr. Winton Aubert Alaska Oil and Gas Conservation Commission 333 W. 7th Ave #100 Anchorage, Alaska, 99501-3539 RECEIVED JUL 1,3 2005 Alaska on & Gas Cons. Commission Anchorage RE: Sundry Approval (Form 10-403) Pioneer Unit - Stromberg #2 Well Plug and Abandon Dear Mr. Aubert: Attached is the 10-403 form requesting approval to Plug and Abandon the Stromberg #2 well. Pioneer Natural Resources acquired the Pioneer Coal Bed Methane Project through the acquisition of Evergreen Resources Corporation. Evergreen Resources attempted various stimulation techniques in an effort to produce the methane from these wells; however, the wells did not prove economical. Pioneer has determined that this project is not economically feasible at this time based on a thorough evaluation which included peer assists with experts involved in the profitable coal bed methane projects in Colorado and Canada. Pioneer is requesting a BOP waiver for the proposed Stromberg #2 P&A work. This well can be killed with fresh water and has been granted BOP waiver's in 'L- the past by the AOGCC. -{\ If you have any questions, please feel free to contact me at 907-343-2111 or polyaj(~ pioneern rc. com. Sincerely, * 1J..a w M \/';-1/ r---t-(ß;S:u VC/{ . \tJ. 6 ~ ~'\J?~~ Joe Polya Sr. Staff Drilling Engineer Pioneer Natural Resources Alaska, Inc. 700 G Street, Suite 600 Anchorage, AK Or'"} ¡ ("" ) ~ ! ~:".,. ¡ ¡ ''''1 1 ¡ .) u \ ! "j , I'-.. Abandon L::J Alter casing D Change approved program D 2. Operator Name: Pioneer Natural Resources Alaska, Inc. 3. Address: 700 G Street Suite 600 Anchorage, AK 99501 7. KB Elevation (ft): 300 ft KB (4' AGL) 8. Property Designation: Private 11. Total Depth MD (ft): 2510' MD 1. Type of Request: Casing Structural Conductor Surface Intermediate Production Liner Perforation Depth MD (ft): 1695 - 2208 Packers and SSSV Type: Length nfa 360 feet 1016 feet nfa 2503 feet n/a Perforation Depth TVD (ft): 1695 - 2208 Total Depth TVD (ft): 2510' TVD N/A ) STATE OF ALASKA /,ìr}(þ- \fJ '''0 5' ALA~..I""\ OIL AND GAS CONSERVATION C'óM~. ,ON APPLICATION FOR SUNDRY APPROVAL ,,/ 20 AAC 25.280 Suspend U Operational shutdown U Repair well D Plug Perforations D Pull Tubing D Perforate New Pool D 4. Current Well Class: \t:J ql\- 1/#4/2(> os REef!IVt!O JUL 1 3 2005 ~ C:\ Development Stratigraphic D D ~ .......... Perforate U AlaSNai6i1 l&JGes Cons. ~ ion::f Stimulate D Time Extension Onchorage ~ Re-enter Suspended Well D 5. Permit to Drill Number: Exploratory 0 202-183 / Service D 6. API Number: , 50-009-20025-00 /' / 9. Well Name and Number: Stromberg #2 /" 1 O. Field/Pools(s): Pioneer Unit (610500) PRESENT WELL CONDITION SUMMARY Effective Depth MD (ft): Effective Depth TVD (ft): 2490' MD 2490' TVD Plugs (measured): Junk (measured): CIBP @ 2492' NA Burst Collapse nfa nfa NA NA 2950 psi 1370 psi nfa n/a 5320 psi 4910 psi n/a nfa Size MD TVD n/a nfa n/a 12.750 inches 360 feet 360 feet 8.625 inches 1016 feet 1016 feet nfa nfa n/a 5.500 inches 2503 feet 2503 feet n/a nfa n/a Tubing Size: Tubing Grade: Tubing MD (ft): 2260 2-7/8 Packers and SSSV MD (ft): J-55 N/A 12. Attachments: Description Summary of Proposal U Detailed Operations Program 0 BOP Sketch D 14. Estimated Date for Commencing Operations: 16. Verbal Approval: Commission Representative: 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Joe Polya Printed Name Joe Polya Title Sr. Staff Drilling Engineer Signature ~.....___ Phone 907-343-2111 Date 7/'3/Z00~ \" · , COMMISSION USE ONLY 7 f22/2005 13. Well Class after pro~d work: Exploratory 0 Development D Service D 15. Well Status after proposed work: Oil D Gas D Plugged 0 Abandoned 0 WAG D GINJ D WINJ D WDSPL D Date: Conditions of approval: Notify Commission so that a representative may witness Sundry Number: 305-/86 Plug Integrity D Other: BOP Test D Form 10-403 Revised 11/2004 Mechanical Integrity Test D ~ Location Clearance R8DMs 8FL JUL 1 9 1005 COMMISSIONER APPROVED BY THE COMMISSION ¥/£ Date: (~\ I~",..) (....' " ,~ >",,/ , L. Submit in Duplicate ) ) Pioneer Natural Resources Alaska, Inc. Plug and Abandon Procedure Pioneer Unit Stromberg #2 Well The Stromberg #2 well was drilled in November 2002 and has been shut in since August 2004. The well has a 12-3/4 inch conductor set at 360 feet, 8-5/8 inch surface casing set at 1020 feet and 5-1/2 inch production casing set at 2503 feet. The 8-5/8 inch casing string was cemented back to surface and topped off with 2 bbls cement. The 5.5 casing cement job did not circulate cement to the surface and subsequently, the 8-5/8 x 5-1/2 inch annulus has been braidenhead squeezed with 60 bbls cement. The well is perforated at various intervals from 1695 to 2208 feet. The completion in the Stromberg #2 well is believed to consist of a PCP stator hung on one joint of 2-7/8 inch tubing at the surface with a polish rod in the drive head. No drive rods or rotor are reported in the tubing and stator, respectively, however, the stator' is reported to be bull plugged. The current schematic (based on last WO completion report) for the Stromberg #2 well is presented in Attachment 1. Pioneer Natural Resources Alaska, Inc. (Pioneer) proposes the following P&A procedure to plug the well in accordance with AOGCC regulations. Based on previous reports, the well can be killed easily with fresh water and BOP waivers have been granted by the AOGCC in the past for work on this well and other similar nearby wells. Pioneer hereby requests a BOP waiver for the operations described below. The proposed final Stromberg #2 well diagram is presented in Attachment 2. 1. Verify all permit paperwork is in place and give AOGCC 24 hour notice of intent to begin well work operations and intent to cement well and give AOGCC representative chance to witness same. Obtain BOP waiver before starting work. 2. Mobilize necessary equipment and personnel to location. 3. Check for pressure on casing and tubing and bleed off if necessary. Well should kill itself on water. Remove hydraulic rod drive head from well. 4. Release drive rod packoff and pull polish rod, one joint 2-7/8 tubing (if present) and pump, stator from well. 5. Install circulating head on top of 5-1/2 inch casIng for injection. Rig up cementing line, test lines to 3000 psi. 7. Establish injection into perforations. Rig up batch cement mixer. Mix and pump a~ibl cement plug down the 5-1/2 inch casing to squeeze perforations. Shut in WêÍl. Clean up equipment and save cement cleanup water for injection test at next well or dispose of in sanitary sewer. WOC. 6. Stromberg #2 P&A Program. doc Page 1 7/13/2005 ) ) 8. Excavate around casing to minimum six (6) feet below existing ground level. Install guillotine saw on well and cut off well a minimum of 5 feet below grade or original ground level, whichever is deeper. Remove wellhead for backhaul to D&J yard. Top off any unfilled annuli with cement. Collect photo documentation of surface cement and cutoff well. 9. Weld on well ID marker plate (1/4" x 24" x 24") with the following information bead welded on plate: Pioneer NRA APD: 202-183 Pioneer Unit Stromberg #2 API: 50-009-20025-00 Backfill well excavation and grade for positive drainage. Perform complete site inspection immediately after P&A operations if AOGCC inspector is available. 10. Pick up any debris and demobilize equipment to the next well in the program. Stromberg #2 P&A Program.doc Page 2 7/13/2005 PBTD - 2490 ) ) Attachment 1: Pioneer Unit Stromberg #2 Current Well Schematic. Well Stromberg #2 API 50-009-20025-00 Qtr/Qtr See 2 Pioneer Natural Resources Alaska, Inc. Twp 17N Rng 3W 2 Size Weight Grade Thread Depth County Matanuska,Susitna State Alaska Casing 8-5/8 23 J-55 ST&C 1020 Field Pioneer Unit Country USA Casing 5-1/2 17 J-55 LT&C 2503 KB/GL 278/274 Tubing 2-7/8 6.4 J-55 8rd 30 No. I Depth I Length I OD I ID Description 1 2492 2 4.24 N/A Alpha Tools Midget 1110,000 psi CIBP 2 42 11.51 2.88 N/A 40N006 pump 3 2199 9 N/A N/A Perfs from 2199 - 2208, 4 spf and 23 gram 4 2112 4 N/A N/A Perfs from 2112 - 2116, 4 spf and 23 gram 5 1959 5 N/A N/A Perfs from 1959 - 1964, 4 spf and 23 gram 6 1943 4 N/A N/A Perfs from 1943 - 1947,4 spf and 23 gram 7 1842 5 N/A N/A Perfs from 1842 - 1847, 4 spf and 23 gram 8 1823 4 N/A N/A Perfs from 1823 - 1826, 4 spf and 23 gram 9 1746 5 N/A N/A Perfs from 1746 - 1751,4 spf and 23 gram 10 1695 4 N/A N/A Perfs from 1695 - 1699, 4 spf and 23 gram 8 6 5 4 3 Modified by JRM 7/10/05 ) ') Attachment 2: Pioneer Unit Stromberg #2 Proposed Final Well Schematic. 2 Well Stromberg #2 API 50-009-20025-00 Qtr/Qtr See 2 Pioneer Natural Resources Alaska, Inc. Twp 17N Rng 3W PBTD - 2490 Size Weight Grade Thread Depth County Matanuska,Susitna State Alaska Casing 8·5/8 23 J·55 ST&C 1020 Field Pioneer Unit Country USA Casing 5·1/2 17 J·55 LT&C 2503 KB/GL 278/274 Tubing 2-7/8 6.4 J·55 8rd 2238 No. I Depth I Length I OD 10 Description 1 2492 2 4.24 N/A Alpha Tools Midget 1110,000 psi CIBP 2 Surface Well cuttoff 5 feet below ground level. 3 2199 9 N/A N/A Perfs from 2199 - 2208, 4 spf, 23 g, SQUEEZED 4 2112 4 N/A N/A Perfs from 2112 - 2116,4 spf, 23 g, SQUEEZED 5 1959 5 N/A N/A Perfs from 1959 - 1964, 4 spf, 23 g, SQUEEZED 6 1943 4 N/A N/A Perfs from 1943 - 1947,4 spf, 23 g, SQUEEZED 7 1842 5 N/A N/A Perfs from 1842 - 1847,4 spf, 23 g, SQUEEZED 8 1823 4 N/A N/A Perfs from 1823 - 1826,4 spf, 23 g, SQUEEZED 9 1746 5 N/A N/A Perfs from 1746 - 1751,4 spf, 23 g, SQUEEZED 10 1695 4 N/A N/A Perfs from 1695 - 1699,4 spf, 23 g, SQUEEZED 4 3 Modified by JRM 7/10105 ) September 1, 2004 Shane Gagfiardi Proj ect Engineer . Evergreen Resources (Alaska) Corp. P.O. Box 871845 Wasilla, Alaska 99687 Q,o~~·lg3 Re: Stromberg #2 Sundry: 304-336 Dear Mr. Gagfiardi: Enclosed is the approved Application for Sundry Approval relating to the above- referenced well. Please note the conditions of approval set out in the enclosed form. As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the Commission grants for good cause shown, a person affected by it may file with the Commission an application for rehearing. A request for rehearing is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. A person may not appeal a Commission decision to Superior Court unless rehearing has been requested. Sincerely, John K. Norman Chairman Enclosure ) ') STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION APPLICATION FOR SUNDRY APPROVAL 20 MC 25.280 Operational shutdown U Plug Perforations 0 Perforate New Pool 0 4. Current Well Class: 300 ft KB (4' AGL) Private W6,L~iJ~~o~ ON '1J)~='V=D AUG 3 0 2004 Alaska Oil & Gas Cons. GammiS11 Anchorage Abandon U Alter casing 0 Change approved program 0 2. Operator Name: Evergreen Resources (Alaska) Corp. Perforate lJ Waiver U Annular Dispos. U Stimulate 0 Time Extension 0 Other 0 Re-enter Suspended Well 0 / 5. Permit to Drill Number: Exploratory 0 202-183 / o 6. API Number: 1. Type of Request: 3. Address: SuspendU Repair well 0 Pull Tubing 0 Development Stratigraphic o o Service P.O. Box 871845 Was ilia, AK, 99687 7. KB Elevation (ft): 8. Property Designation: 11. Total Depth MD (ft): 2510' MD Casing Structural Conductor Surface Intermediate Production Liner Perforation Depth MD (ft): 1695 - 2208 Packers and SSSV Type: 9. Well Name and Number: 10. Field/Pools(s): / 50-009-20025-00 Stromberg #2 // Pioneer Unit (610500) PRESENT WELL CONDITION SUMMARY Effective Depth MD (ft): Effective Depth NO (ft): Plugs (measured): 2490' MD 2490' TVD CIBP @ 2492' Burst Total Depth TVD (ft): 2510' TVD Length N/A 356 1016 N/A 2499 N/A Perforation Depth TVD (ft): 1695 - 2208 BOP Test 0 Size MD TVD N/A N/A N/A 12-3/4 360 360 8-5/8 1020 1020 N/A N/A N/A 5-1/2 2503 2503 N/A N/A N/A Tubing Size: Tubing Grade: 2~m J~5 Packers and SSSV MD (ft): N/A 12. Attachments: Description Summary of Proposal U Detailed Operations Program 0 BOP Sketch 0 14. Estimated Date for N/A N/A 2950 Junk (measured): NA Collapse N/A N/A 1370 N/A N/A 5320 4910 N/A N/A Tubing MD (ft): 2260 N/A 13. Well Class after proposed work: Exploratory 0 Development 0 Service 0 15. Well Status after proposed work: Oil 0 Gas 0 / Plugged 0 Abandoned 0 WAG 0 GINJ 0 WINJ 0 WDSPL 0 9/15/2004 Date: Contact Shane Gagliardi Project Engineer Date 8/16/2004 Conditions of approval: Notify Commission so that a representative may witness Sundry Number: 30 'i.. 33,b Commencing Operations: 16. Verbal Approval: Commission Representative: 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Printed Name PShan2}CGa ro Wi~. ) Title ~ }"" ;I, \\ . Signature ~"_ " " . _ifo~~~. 907-357-8130 ," --, COMMISSION USE ONLY Other: 1/£/ ~o Me zs, 'L \,''5 (" k J c.c~ -\-v~ t f t/~ 11 fl{ £,¿{ t l ~ -404- Plug Integrity 0 Approved Mechanical Integrity Test 0 Ct ~t.J 'to I4-AL Otfp¡vilecL Location Clearance 0 Z'5.2-87L~1~ ~~Bfl, COMMISSIONER APPROVED BY THE COMMISSION O~'CJf~JAL CLt ~eý jA.¿~ f ~ LUJ?{ t '\~'\r' ¡ SEP 0 2 rl,\\\\ Date: s~~!ate./ ) ) Re-Completion Procedure Pioneer Unit: Stromberg #2 API: 50-009-20025 Section 2 Township 17 North Range 3 West Matanuska Susitna Borough, Alaska Elevations: GL: 296 ft KB: 300 ft (4 ft AGL) Objective: Re-complete well and place on production test. History: This well was initially drilled October 2002. On 5/10103 the top joint of casing was backed off and replaced due to a cast iron bridge plug malfunction. Eight perforated /"" intervals were fracture stimulated down casing using nitrogen foam in four stages. The well has been production tested for approximately one year with less than desirable results. Preparation: 1. AOGCC: Contact Winton Aubert (907-279-1433) 48 hours prior. 2. Tanks: Three manifolded Atigun Frac tanks. 3. Water: Fill tanks wI fresh city water. DJ will provide drivers for EWS water trucks. 4. Pumping Services: BJ Services from Kenai. 5. Wireline Services: Expro Wireline will perforate and set RBP's. 6. Workover Rig: EWS Wilson Super 38 rig #9619. 7. Tubing: Haul 20 jts from EVG Yard. Replace bad joints as necessary. Spill Prevention: Alaska Department of Environmental Conservation has strict regulations regarding spills. All equipment will have plastic liners underneath them. Liners will be run around wellhead. All water will be run to the pit. Casing and Tubing Data: Size Weight 10 Drift Collapse Burst Yield Capacity Capacity (in) (ppf) (in) (in) (psi) (psi) (klbs) Bbls/ft Ftlbbl Casing 5-1/2" 17 4.892 4.767 3928 4256 273 0.02325 43.015 Casing 8-5/8" 23 8.097 7.972 1370 2950 381 0.06370 15.699 Annulus 5-1/2 to 8-5/8 0.03430 29.155 Tight Hole: No information from this well may be shared with anyone outside of Evergreen Resources Inc. ) ) Procedure Completion Procedure 1. MIRU OJ Boom truck. a. Remove drivehead and POOH wI pump bbl and LD. / 2. Install 5,000 psi Demco frac valve on 5-1/2 casing./" 3. MIRU Expro Wireline, BJ Services and Protechnics. a. Set Weatherford WRP @ 1,550'. , b. Pressure test plug to 4,50qpsi;---) / c. Perforate first stage (1 (~76 -,!J-388 KB) wI 4 S.PF and 23 gram charges. 4. Pressure test Demco frac valve=-arrd lines to 5,000 pSI. 5. Perform mini-frac using fresh water. a. Mini-frac data will be used for FracPro analysis. b. 50 bbl injection and step rate down. 6. Fracture stimulate first stage using FracPro analysis. a. 30# Linear Gel. b. Bullhead 500 gallons HCL. c. 50,000 Ibs 20/40 Ottawa sand wI RA tracer @ 3-4 ppg. d. Max pressure is 4,500 psi. e. Rate 30 - 40 bpm. f. Collect minimum of 15 minutes fall off. g. Flow back to tank if necessary. 7. RU Expro Wireline wI fullbore lubricator on top of Demco frac valve. a. Weatherford WR~@t")290'. /' b. Perforate 1, ~}30v:" 1",,,,1-67' KB wI 4 spf and 23 gram charges. 8. R 0 Expro Wi reline;::::~-=":-~'--"--- 9. RU BJ Services for second stage. a. Pressure test plug to 4,500 psi. b. Pressure test lines and frac valve to 5,000 psi. c. Mini-frac data will be used for FracPro analysis. d. 50 bbl injection and step rate down. 10. Fracture stimulate second stage using FracPro analysis. a. 30# Linear Gel. b. Bullhead 500 gallons HCL. c. 50,000 Ibs 20/40 Ottawa sand wI RA tracer @ 3-4 ppg..I/' d. Max pressure is 4,500 psi. e. Rate 30 - 40 bpm. f. Collect minimum of 15 minutes fall off. g. Flow back to pit if necessary. 11. Allow frac to heal for 3 hours. Begin to flow well back using flow back equipment wI bean choke to tank. 12. MIRU EWS Rig 9619. a. Install and test BOP (pipe and blind rams). 13. Release plugs @ 1,150' and 1,290' and clean out wellbore to 2,492' KB. /' 14. RU Expro Wireline and Protechnics. a. Log stimulated zones wI spectral gamma ray. ..,//" ./""" ) ) 15. TIH w/ 2.;.7/8,6.4 ppf J-55 new tubing, new no-turn tool, 7/8 rods and rotor, and 30N045 stator. Set pump @ 2,239'; one joint below bottom perfs @ 2,208'. a. Bury all pony rods. 16. Install drive head and engine skid. Connect all sensors and power units to Total Flow unit. Install gas and water monitoring equipment. 17. Place on production test. ') ') J I ....J ... I r I '"1 ....... ....... r r 1150 " , , I 'I "L ~=i·.··:·I····T" 'mj.' ·:·::l·.+~~:...:: ._-C. #-i Stromberg #2 ·I-~~ "'-1" ...!-..-....I- .- ...: _·.m" : '1---:- . "1 -,.:. '..' 'r-'-- , ==-l I :. II ¡ " 'F; ,- I ¡ .l r ,- t . t-- -: -- - "-~-- 1200 ;.,. I ¡ ..,..-, I r I'}f r! I~.f I ! ! ¡ .--j. j ,.-r1 j 1300 .' ..' "-t'" ..,....L, ~- ¡-- f ~" " .'-' , "~ i ¡ ¡ .-: .- "- "). . __I I , I i I' . I i ~"--~-"1-'7- ..... '7" . ' 1 :~ I '¿ ~. r.'." . .. . . :. . -': . .-. .- " . ~ I'~ 1':\;:;{,\ . . Proposed 1376-1388 40K 20/40 I ¡ j "1'· -. i-·-~- 1 ..- Ii, .:."'" ':f~ ¡ :......~,.!~ ", .. -1" .':;;. ~ ~; '- ! ~;_IAUfHlIIIII ti II _._~--.__.. ·0 ':) .<J ;¿ .~ fb-=' ) ') Current Well Stromberg #2 API 50-00g-2002~O=\I=I~GI~== 1'1 Qtr/Qtr See 2 Twp 17N Rng 3W Size Weight Grade Thread Depth County Matanuska,Susitna State Alaska Casing 8-5/8 23 J-55 ST&C 1020 Field Pioneer Unit Country USA Casing 5-1/2 17 J-55 LT&C 2503 KB/GL 278/274 Tubing 2-7/8 6.4 J-55 8rd 2238 No. I Depth I Length I 00 I 10 Description .4 ~ 1 2492 2 4.24 N/A Alpha Tools Midget 1110,000 psi CIBP 2 2255 11.51 2.88 N/A 40N006 pump 3 2199 9 N/A N/A Perfs from 2199 - 2208, 4 spf and 23 gram 4 2112 4 N/A N/A Perfs from 2112 - 2116, 4 spf and 23 gram 5 1959 5 N/A N/A Perfs from 1959 - 1964, 4 spf and 23 gram 6 1943 4 N/A N/A Perfs from 1943 - 1947, 4 spf and 23 gram 7 1842 5 N/A N/A Perfs from 1842 - 1847, 4 spf and 23 gram 8 1823 4 N/A N/A Perfs from 1823 - 1826, 4 spf and 23 gram 9 1746 5 N/A N/A Perfs from 1746 - 1751, 4 spf and 23 gram 10 1695 4 N/A N/A Perfs from 1695 - 1699, 4 spf and 23 gram 3i ~ 10 3S ~9 ~ ~ 8 ~ ;;E 7 ~ ~ 6 ~ ~ 5 ~ ~ 4 ~ ~ 3 ~'Bc .. ',,, ~' ~1f.~ ~~\~~ ~"'!f' ,:(. Á '~~" ~~i~ PBTO - 2490 2 Modified by STG 7/2103 I,:, n í ~~ II ~ í "l ~® ~I II ~~ ;i,.~,\.', ~;J ~;,~ ~~ 'I:,,; ~ j'~ ~ 12 ' k~ ~;' ~: ,¡" ~,1~ ~ ¡i1rlW ¡e 11 ], i; ~ ~ j¡š 10 ~~'~iE9 f~ =5 i~1 5:: 8 ==äZ r~ == 3å¡~~7 ~I'l "'~ ~i~~6 ~~!~5 ~;t ~¡:~åE4 ~W ~g~3 .,.;.". ....,.. ::\;: ~ + - -- il~i' ~ ~\B.. U I~ ~~~ W~ ..4 r ~..:.'... ......:¡"O.f-..~ PBTD - 2490 ) ) ~ Proposed Well Stromberg #2 API 50~09'2002~O=\'=I~GI~== 1'1 Qtr/Qtr Sec 2 Twp 17N Rng 3W Size Weight Grade Thread Depth County Matanuska,Susitna State Alaska Casing 8-5/8 23 J-SS ST&C 1020 Field Pioneer Unit Country USA Casing 5-1/2 17 J-S5 LT&C 2503 KB/GL 278/274 Tubing 2-7/8 6.4 J-5S 8rd 2238 No. I Depth I Length I 00 10 Description 1 2492 2 4.24 N/A Alpha Tools Midget 1110,000 psi CIBP 2 2255 11.51 2.88 N/A 40N045 pump wI torquestopper No-turn 3 2199 9 N/A N/A Perfs from 2199 - 2208, 4 spf and 23 gram 4 2112 4 N/A N/A Perfs from 2112 - 2116, 4 spf and 23 gram 5 1959 5 N/A N/A Perfs from 1959 - 1964, 4 spf and 23 gram 6 1943 4 N/A N/A Perfs from 1943 - 1947, 4 spf and 23 gram 7 1842 5 N/A N/A Perfs from 1842 -1847,4 spf and 23 gram 8 1823 4 N/A N/A Perfs from 1823 - 1826, 4 spf and 23 gram 9 1746 5 N/A N/A Perfs from 1746 - 1751, 4 spf and 23 gram 10 1695 4 N/A N/A Perfs from 1695 - 1699, 4 spf and 23 gram 11 1376 12 N/A N/A Proposed perfs 1376 - 1388, 4 spf and 23 gram 12 1160 7 N/A N/A Proposed perfs 1160 - 1167, 4 spf and 23 gram 2 1. Operations Abandon U I Performed: Alter Casing D Change Approved Program D 2. Operator Name: \ STATE OF ALASKA '\ ALA~"~ OIL AND GAS CONSERVATION COMfv.. .;~ION REPORT OF SUNDRY WELL OPERATIONS AlAska Oil & Gal Con", ......mmission StimulateU OtheAbí:h~ In for Eval WaiverD Time Extension D" Re-enter Suspended Well D 5. Permit to Drill Number: REc:c:rVED AUG 3' 0 7004 Repair Well U Pull Tubing 0 Operat. Shutdown D Plug Perforations U Perforate New Pool D Perforate D 4. Current Well Class: Development D Stratigraphic D Exploratory 0 Service D 6. API Number:. 50-009-20025-00 202-183 Evergreen Resources Alaska Corp. 3. Address: P.O. Box 871845 Wasilla, AK 99687 7. KB Elevation (ft): 300 ft KB (4' AGL) 9. Well Name and Number: Stromberg #2 8. Property Designation: 10. Field/Pool(s): Private Pioneer Unit (610500) 11. Present Well Condition Summary: Total Depth measured 2510 feet true vertical 2510 feet Effective Depth measured 2490 feet true vertical 2490 feet Casing Length Size MD Structural N/A N/A N/A Conductor 356 12.75 360 Surface 1016 8.625 1020 Intermediate N/A N/A N/A Production 2499 5.5 2503 Liner N/A N/A N/A Perforation depth: Measured depth: 1695' - 2208' Plugs (measured) Junk (measured) CIBP @ 2492' N/A TVD Burst Collapse N/A N/A N/A 360 N/A N/A 1020 2950 1370 N/A N/A N/A 2503 5320 4910 N/A N/A N/A True Vertical depth: 1695' - 2208' Tubing: (size, grade, and measured depth) 2.875 J-55 2259' Packers and SSSV (type and measured depth) N/A N/A 12. Stimulation or cement squeeze summary: Intervals treated (measured): Treatment descriptions including volumes used and final pressure: 13. Representative Daily Average Production or Injection Data Gas-Met Water-Bbl Casing Pressure o 3 12 000 15. Well Class after proposed work: Exploratory 0 Development D 16. Well Status after proposed work: OilD Gas 0 WAG D 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Oil-Bbl o o Tubing Pressure o o Prior to well operation: Subsequent to operation: 14. Attachments: Copies of Logs and Surveys Run Daily Report of Well Operations xx XX Service D GINJ D WINJ D WDSPL D Sundry Number or N/A if C.O. Exempt: 304 - 138 Contact Shane Gagliardi Signature dane GagliardO Title Alaska Project Engineer Printed Name Phone 907-357-8130 Date 8/23/2004 Form 10-404 Revised 04/2004 OR!L/ , '.~ , i l~DMS 8ft AUGu'it,fri~iBðll?nIY STATE OF ALASKA ALASKA Oil AND GAS CONSERVATION COMMISSION RESERVOIR PRESSURE REPORT 1. Operator: Evergreen Resources Alaska Corp. 3. Unit or Lease Name: Pioneer Unit 8. Well Name and 9. API Number 10. Oil (0) 11. AOGCC Number: 50-XXX-XXXXX-XX-XX or Gas (G) Pool Code Stromberg #2 G 610500 50-009-20025-00 2. Address: 4. Field and Pool: Pioneer Unit (610500) 12. Final Test 13. Shut-In 14. Press. 15. B.H. Date Time, Hours Surv. Type Temp. (see instructions for codes) 08/18/04 PBU 69 P.O. Box 871845 Wasilla, AK 99687 5. Datum Reference: 6. Oil Gravity: GL - 299 ASL N/A 16. Depth Tool 17. Final 18. Datum TVDss TVDss Observed (input) Pressure at Tool Depth 2263 686 299 7. Gas Gravity: 0.5591 19. Pressure 20. Gradient, Pressure at psi/ft. Datum (cal) 0.303 570 1775 -- ~ 21. All tests reported herein were made¿æ'n accor nce with the appli Ie , egulations and instructions of the Alaska Oil and Gas Conservation Commission. I hereby certify that the foregoing is true an . ct to the bE ~ my wledge /j - " Signature· Title Alaska Project En~ineer Shane Gagliardi Printed Name Form 10-412 Rev. 9/2003 INSTRUCTIONS ON REVERSE SIDE Date 8/23/2004 Submit in Duplicate 700.00 630.00 560.00 Stromberg #2 PBU Test 5/25/04 - 8/18/04 Perfs: 1695 - 2208 490.00 ~ 420.00 :? ïñ 350.00 ~ 280.00 80.00 Leqend (psiA): Pressure (DegF): Temperature - - - 77.00 74.00 71.00 '- 68.00 Ô 65.00 ~ .2! 62.00 210.00 59.00 - 140.00 56.00 70.00 0.00 0.00 99.25 198.51 297.76 53.00 397.01 496.26 595.52 Elapsed Time (Hrs) 50.00 992.53 694.77 794.02 893.27 Ver 1.0 ill·1/8·28·99 --- .-- -" .--."---"- ',.'.- -_.,~_...-.~.,..,_. '.~-,-- -~"~"'~--- '''__'_~''.'''.~ ",w""~",_,,,,,,,~,, ,._.....,.. _..~ ......,. 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SDON. 24hrForecast TIH w/ Rods I No I Last Safety Meeting Date Evergreen Resources Alaska Field Pioneer state Alaska Country I USA supervlsor Gagliardi Activity POOH w/ 2-7/8 tbg Well Total ($) I I $340,850.00 Accldent(ytn) Duration Summary Notes 1500 1800 1330 1500 1000 . "''''','''~'''''~''-' ,. ..,. "~.. 1330 0700 1000 End Start Current Activity Dally Total ($) $1,350.00 Contractor po# I Daily Completion Report I End 15/24/2004 IAPI 150-009-20025-00 operator Rng 3W county I Mat-Su Report No 185 IBegin 105/24/04 Well Gary & Jo Ann Strombe~No 12 Qtr/Qtr INE/NE Isec 11 TWP I17N ') Ver 1.0 ÜI-1I 8·28·99 Summary ---.-----.-- - -----_._.,,-,-_.,._-_.~,_." Notes __ - ___0..- _ .._ _~"_',_... '._'_'_.'~" 0. _.. --.---- ··_···__,,··_·c'····__··~· " -..- ~.._-..-. -.--.- _.--.- _ .. _.,.",,~.._.'.,. _,. ._"h~~' ,~._,.~ . ~"'_"_'_ ....~.__._.,.._ .YY.9 rD}.Tig.~. ... .... .Pr9gr?rngauge #4412 for 1?_~~ç~.?æp.l~r?t.~J2r.?4~r~9Q~.ªº~~2..~?r.!!p_I~.Iª!~J2I_4?.º.ªY~.:.... §ª~g~. P2"Y~r~d...~p.@ .ºªº4:Mª.~~.~p.t~~tª~~~æ~)Yç2.~~J~!i.~g. .9L(1)?'. ~~~L(1.L?~P~Œ.~~~_-ª_~~._ª......_..._... þ~~I.pl~g. '" TI~...v,// .I.1. U~?~ 7 /ªJ~g""/~~.ªt._~ippl~.ªbgy~ P~~Eþ~Iª~~.~~.~t..ª~~~.rnbly..'. _.bªÐ~9_ª~g~~.@~?~º:.~ª:........_ Switch over to run rods. TI~.'!'J .ª~J!ª."f9.9~.I...(1)?:..ªQ9...Ul.4'_.P.gn.YT.29.~.'..~..~~t..p~n.i~~gn..r99..d,~.~n.·. .B_~.ºIiy~.~~.ªº.ª~9.,.... stª~E~æp.@J?º..RPM. Wait for well to RDMO EWS 9619 to RL Smith to re-seat 0900 1030 1.5 1030 1200 1.5 1200 1330 1.5 1330 1430 0800 0900 0700 0800 Activity Duration End Start 124hr Forecast IT esti ng I No Last Safety Meeting Date TIH wi 7/8 rods Well Total ($) I I $342,200.00 Accldent(Y/n) Current Activity Dally Total ($) $1,350.00 Contractor PO# supervlsor Gagliardi Daily Completion Report I End 15/25/2004 IAPI 150-009-20025-00 operator Rng 3W I County I Mat-Su Report No \86 Begin 105/25/04 Well Gary & Jo Ann Strombe~No 12 Qtr/Qtr INE/NE Isec 11 TWP 117N Evergreen Resources Alaska Field Pioneer state IAlaska Country ¡USA ) ) Ver 1,0 llt-1I8-28·99 . ~"__ _. ~_ ,~__ '-0" __.' _ _ ,._" _ _..._._ , ~ ___ ____~~ __.._. ~.~_ __¥.__..w..__..__ .__. ,- . ~ .." .,,... 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""""-."""'".'''.''' . ,'. .......,..,......,......".._..,....,.,....""......'''...""",.'''.'..'.'' "..,........,..._......._"".. eºg~,,'!!.{..ª~..?!ª~:.E~,,~~~..t~J£_~Q.~(~J_ª'.e9!1.~r,g.~~.!.~"nd J.±º!'J.º.º~.!~~,,~.Œ.E.~.~P_:._~I~~~_~~~E~~F:._.__,,__. ~ºg~,~/?? jts 2-7/8 tbg wI seat nipr:.~~."é3.~.~Y~""E~l!Ip_~pL~~2."~~.~!,,..~~~.~~þ.!Y..:..,,_~,º...!þ..g.f~,~"E~,:E~!.!!P.~~~.:",.,_". TI_~ .""J.þ.~II,plu99.~d., ,E~I!IPþ"þl,.~~.9E9Ji~,~.E99.~, ."..~~,~9Q...~E!X~~~~~,:"....,...,. ..'."''''-'''.''''''",.",,, ".,. ,,,...,,,.,.,,,,.,""".. .".,............_.....__._._. BºMº",,~'!Y,~,..~~.?~.,.~,..!9,'!Y~,~i.IIé3.Yé3Ed.,·, . 24hr Forecast IShut in for Eval I $344,800.00 Accldent(ytn) I No ILast Safety Meeting Date _.._"'h...._'_. . 1.5 1.5 4 1.5 1 1 0930 1100 1500 .. - ,.~","''',.~,''~",,' ,,"",,"" - 1630 1730 1830 Duration POOH DJ/EWS Current Activity Dally Total ($) $2,600.00 Well Total ($) Evergreen Resources Alaska 'Field Pioneer state Alaska Country USA Daily Completion Report I End 18/18/2004 IAPI 150-009-20025-00 operator ]Rng 3W county I Mat-Su ReportNo 187 Begin 108/18/04 Well (Gary & Jo Ann Strombe~No 12 Qtr/Qtr NE/NE Isec 11 TWP 117N superVisor Gagliardi ) ) Summary Notes 0800 0930 1100 1500 1630 1730 End Start Contractor po# I =\'=I~GI~==I" ) RESOURCES (ALASKA)COR~ A Subsidiary of Evergreen Resources, Inc. ) April 20, 2004 Winton Aubert Petroleum Engineer Alaska Oil and Gas Conservation Commission (AOGCC) 333 West 7th Ave. #100 Anchorage, AK 99501-3539 RE: 10-403 Submission for Pressure Build Up Tests for Pilot #1 Dear Mr. Aubert: Attached are 10-403 applications for sundry approval requesting the approval for conducting pressure build up tests on Pilot #1 consisting of the DL Smith #1 ,the Stromberg #2, the RL Smith #3 and Cornhusker #4. The work will consist of round tripping the PC pump in each well'ruhning a test assembly below the pumps. The wells will be produced until a stable fluid level i~ achieved. The wells will be shut in for build up. After the build up portion of the test is complete, the wells will be shut in pending analysis of the data. Due to the low csg pressures in accordancew/ 20 AAC25.285 section (h), alternate BOPE is requested. Evergreen will have a water truck on location for pressure control if necessary. Casing pressures are typically between 7 and 30 psig. Once the pumps are shut down, the wells will load up; and casing pressure will drop to zero by the time the work is to commence. If you have any questions, please feel free to contact me at 907-355-8569 or shaneg@evergreengas.com. Sincerely " ú- -JQ),_ Shane Gagliardi Petroleum Engineer RECEIVED APR 2 1 2004- Alaska Oil & Gas Cons. Commission Anchorage 1075 Check Street, Suite 202 . Wasil/a AK 99654 PO. Box 871845 . Wasil/a, AK 99687 . TEL 907.357.8130 . FAX 907.357.8340 ') ) STATE OF ALASKA ALASKA Oil AND GAS CONSERVATION COMMISSION APPLICATION FOR SUNDRY APPROVAL 20 MC 25.280 1. Type of Request: Abandon D Suspend D Alter Casing D Repair Well [8J Change Approved Program D Pull Tubing D 2. Operator Name: Evergreen Resources Alaska Corp. 3. Address: P.O. Box 871845 Wasilla, AK 99687 7. KB Elevation (ft): 300 ft KB (4' AGL) INGI\ 4-12?-/2.C>04- ?VJ t1¡-/ð}/9-- Operation Shutdown D Perforate D Variance D Annular Disposal D Plug Perforations D Stimulate D Time Extension D Other D Perforate New Pool D Re-enter Suspended Well D 4. Current Well Class: 5. Permit to Drill Number: Development D Exploratory [8J 202-183 (' Stratigraphic D Service D 6. API Number: ../> 50- 009-20025-00 , 9. Well Name and Number: Stromberg #2 ,/ 8. Property Designation: Private 10. Field/Pool(s): Pioneer Unit (610500) 11. PRESENT WELL CONDITION SUMMARY Total Depth MD (ft): I Total Depth TVD (ft): I Effective Depth MD (ft): I Effective Depth TVD(ft): I Plugs (measured): 2510' MD 2510' TVD 2490' MD 2490' MD CIBP @ 2492 Casing Length Size MD TVD Burst Structural N/A N/A N/A N/A N/A Conductor 356 12-3/4 360 360 N/A Surface 1016 8-518 1020 1020 2950 Intermediate N/A N/A N/A N/A N/A Production 2499 5-1/2 2503 2503 5320 Liner N/A N/A N/A N/A N/A Perforation Depth MD (ft): I Perforation Depth TVD (ft): I Tubing Size: Tubing Grade: 1695-2208 1695-2208 2-7/86.4 ppf J-55 Packers and SSSV MD (ft): Packers and SSSV Type: N/A N/A 13. Well Class after proposed work: Exploratory [8J Development D 12. Attachments: Description Summary of Proposal [8J Detailed Operations Program 191"'1 BOP Sketch D 14. Estimated Date for ,,/':11,,/' Commencing Operation~(/12 :7" 04 16. Verbal Approval: / ..t Com mission Represe1'rt·at~·: 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Date: 15. Well Status after proposed work: Oil D Gas [8J ./ Plugged D WAG D GINJ D WINJ D Contact Shane Gaqliardi Printed Name Shane Gagliardi ~j Signature ,~ ¥./' Title Petroleum Enqineer Phone 907-355-8569 Commission Use Only Date 4/14/04 Sundry Number: Conditions of approval: Notify Commission so that a representative may witness Plug Integrity D BOP Test 0 Mechanical Integrity Test D Location Clearance D Junk (measurèd): N/A Collapse N/A N/A 1370 N/A 4910 N/A Tubing MD (ft): 2238' Service D Abandoned D WDSPL D r JO'l~/3~ V~ Other jJU 2-0AAL '25. ¿~S U-.ì) e..LhwUA)--;: Boi'Jt is cifPtViI<RECEIVED APR 2 1 2004- Alaska Oil & Gas Cons. Commission AnCh~rage BY ORDER OF ~ ~i THE COMMISSION Date: lJ7, 0 ubmit i dupli ate COMMISSIONER ~~ fûfE¡ Q ':Q)tf~ 'b -oR1 Gt N-Al {rID:. "r' I !t ) 7 ~"c; '~~H ) ) Proceedure for Pressure Build Up Tests Pilot #1 1. Get gas sample from each well and have analyzed. 2. Program pressure gauges a. Program gauges for 30 see sample rate as memory allows b. Test batteries 3. Pull well head sheds 4. MIRU EWS Rig #9619. Lay down plastic and duck ponds. 5. POOH wi polish rod, rods and rotor a. Stand rods back in doubles 6. Release no-turn 7. POOH wi 2-7/8 tbg, PC pump and no-turn 8. Make up test assembly; place gauges in 4' sub wi bull plug below perforated sub a. 2' Perforate sub b. 4' sub wi bull plug c. 5000 psi gauges 9. TIH wi test assembly, no-turn, pump and 2-7/8 tbg a. Bring 10 extra jts of 2-7/8 tbg to location to replace bad jts if encountered 10. Land pump below bottom perfs listed in the table below a. RL Smith i. 1 jt tail pipe; very little rat hole ii. land gauges where tail pipe was landed @ .~.. 1.16' A- 11. Set no-turn 2- '-S¡.1 ~ 1\ 12. TIH wi rotor and rods 13. Tag tag-bar and space out pumps @ 16 inches 14. Start pumps @ RPM's listed below 15~ Place wellhead sheds back over well heads 16. Produce wells until stable fluid level is reached 17. Shut wells in at surface 18. Shoot fluid levels daily 19.At end of pressure test (4 months), POOH wi 2-78 tbg, pump, No-turn, rods and rotor. 20. Down load gauges and evaluate 21. Shut wells in Well Name Tbg landed Top__~erf Btm Perf ~u~p RPM .. --_._--,- ,,--- DL Smith #1 2276 1708 2220 150 Stromberg #2 2259 ./ 1695 2208 150 RL smith #3 2179 1674 2178 200 Cornhusker #4 2379 1832 2340 300 =\'=I~GI~==I'I RESOURCES (ALASKA) CORP. A Subsidiary of Evergreen Resources, Inc. API Permit to Drill # Survey Type Survey Date Conductor 12-3/4 Surface 8-5/8 PBTD Well TO Measured Depth 250 300 500 1000 1500 1750 2000 2070 2465 2491 2500 3000 3250 3500 3665 3680 Cook #1 Lowell #2 Bering #3 Baranof #4 DL Smith #1 Stromberg #2 RLSmith #3 Cornhusker #4 50-009-20022-00 50-009-20021-00 50-009-20019-00 50-009-20020-00 50-009-20026-00· 50-009-20025-00 50-009-20024-00 50-009-20026-00 202-180 202-179 202-177 202~178 202-184 202-183 202-182 202-181 Sure Shot Model A Sure Shot Model A Sure Shot Model A Sure Shot Model A Sure Shot Model A Sure Shot Model A Sure Shot Model A Sure Shot Model A Inclination Inclination Inclination Inclination Inclination Inclination Inclination Inclination 12/5/2002 11/6/2002 12/5/2002 11/3/2002 12/5/2002 12/5/2002 12/5/2002 12/5/2002 245 200 275 300 320 360 420 415 384 381 400 513 1038 1020 1016 539 3670 3238 3688 3697 2487 2492 2191 2577 3740 3750 3753 3750 2510 2510 2300 2600 0.5 0.5 1 5 8 14 10 10 14 9 2 0 7 4 3.5 0.5 4 7 13 14 5 6 8 13.5 14 10 8 10 14 14 14 11 14 14 14 10 9 8 E , .~ q-- j '2-0.3 Date 10.5 11 9 14 11.5 14 13 14 Surveying Compnay Patterson Wireline ~Q~ V=~~ Survey Conducted By: Pat Patterson Owner ~~'D"f\" ~ Signature RECEIVErJ SEP 1 6 2003 Alaska Oi\ & Gas Cons. Com~ss¡olì ,~nchorage ) '} Corrected State Plane 9-9-03 BFL -----_._. "-'-'-'''-'-~--'-'-'---'---'--'--'---'~'- ......_-_.._...,._.~--,.,'.. ."-- ...._--,-, ._~.~._-,_.._--_.~_. -." ..._-_.~-_."--_._._.._._-..,._.._,- ._-".~_._---_._._--,._~,- ----.------,-----.-- ...__. _._..~..,.._""_.___,.._._ ._..,... ...~".. .._, ._ ". . ' _. ,,_.. "..,...., __. ..~ ~ ......_ _,' .......... ._.__.__"......-.0____ ~..__._.,.._ "._._ . .... ...'_,_._, .'"_....~ . '. " ....."_"..,.'..._......... ,",. .". ... ,.._ __,.._...._ .._.._..,.._... ",__,_ ..._'.__". _,.. pro NAME ASP27Z4E ASP27Z4N 2021780 BARANOF #4 585062.93 2782923.45 _._.,.._..,......_._ .... ...___ wo. '_._" ."._... .~._ _ __ _._........_. _._._....,..__ .._.,..__.__......._" ....__.._ .~__.' . ._. o. ...'_......__,.~.... ... n_. ....~...,,,. _w ....... _..._.. . _ _.._._ __ ..._ ._.. "... _".._.. 2021770 BERING #3 585004.70 2783942.33 "'_'___'W'_ .. ,... ._w_..,,_ ._.._._.. ._._.._.. n__.'_.'·_ ..._ _ _,_'n.,._ .._ ......._. ., ._.... _..... ...~ ___.__~"......__._""". .~'n.._'__ _..~. .".,,_..." . .__._. ... .. _. ~ ,,_.~,. ..... "._.. _.. ___. .._. _.. . ",... .~... __.."..... ...."..__. ._,._ ..... _~_. ..._ ..... .... ~..._.. ......... _. ..._ ._.... 2021810 COOK #1 584593.05 2783408.27 _._____...__.._w.w_......... .,. .._._,_W......A..._~....·__. ......._._. _.. _._,_ H "._"'... .._..__. ......, .._.._~_._~_w...._______..·_ _.___.....__.... _._ __..~,___.",w.........·_..ww_...'·_"__.. ._.~..._,_.._.,....._.._.... .._._. ...... .. _..__._.... ..__.w._ ..._..__._._____ ..._..,___....___.... H_ _w__w.·_..·. 2021820 ROBERT SMITH #3 542887.46 2774899.30 _._,.__.____.__w_._. _"__ ..._..._...._......__.._,.....w..w ...~,_..._._. .._.__.__...__.__,____.__._,_u._.___.__. _".__.,._ ._.~_"'._._.~ ,~,,_,.,_, _._~~_.."____._..__. .....__w_w__ _. ._~_._.w..____.__.·....,_..__._._._ .._~_.a._.__._____...___~.w .._w._._....._._._... 2021840 D.L.SMITH #1 543786.36 2774923.09 _.___._ ._ __......__.__w._._._._._._.."...,..._._.___...~..__.____.__._._.___...._...__._,...,._ ".... ..,. -""___'" _,_.,_..._____ ___~·_..____H.____.._______._..__.__...,... ".__,_...__.._..._. ._w..w..___.._ __ __..._____...__.___._._ 2021830 GARY & JOANN STROMBERG #2 544423.27 2775528.70 ____ ___,._._,__. .._,,_~._._.___.__. ..__...,_..... ___._~___________.,___.__.__....._.._..___..._.~.. .'.M"" ...~_.. .,., _M'__'_ _.~......,,_.._u._....____ .___._..._.._._..,...._.__._._..,_.......~ _._.~__",~_._ _..___'... .~__ ._____.,. _.._~._ ~_"._._'''.. 2021790 LOWELL #2 584152.01 2783381.99 ____._.____ ._____. .~..._ .~.._.__..... ~~_..._.. _.. ."....,._..,,__._""._....._. ..._._.... ...."..._._._.._. ___.___~~._._.__._._.,_._____... _.._..._...._~._.. _._.."..~. _. ._..__._..,__.___ _._ .._... _~..~..._._.'._. ".~..__....,_...~. _..~~. _..w __ ___~__ . ..__~____.___.__ 2021810 CORN HUSKER #4 543355.96 2774054.90 WelL Location_Evergreen Pared.xls =\'=I~GI~==I'[ ) RESOURCES(ALASKA)COR~ A Subsidiary of Evergreen Resources, Inc. ') July 9,2003 Winton Aubert Petroleum Engineer Alaska Oil and Gas Conservation Commission (AOGCC) 333 West ih Ave. #100 Anchorage, AK 99501-3539 RE: Completion Reports (Form 10-407) Pioneer Unit - DL Smith #1, Stromberg #2, RL Smith #3, Cornhusker #4, Cook #1 and 1702-14CC Dear Mr. Aubert: Attached are the 10-407 forms for the following wells, listed with the wells are the corresponding 10-403 numbers issued for the completions. The wells are currently producing, but are still in the testing phase. All gas is being vented at this time. Well RL Smith - DL Smith - Stromberg - Comhusker - Cook - 10-403 # 303-096 303-109 303-095 303-099 303-098 If you have any questions, please feel free to contact me at 907-355-8569 or shane g@evergreengas.colll. ~ø" Shane Gagliardi Petroleum Engineer ) ':~ ~ .' ~ ~ ~ r: ~, ';~"" r'O '.," " '.: (\:-;1 ì- ORIG\NAL 1075 Check Street, Suite 202 · Wasi/la AK 99654 P.O. Box 871845 . Wasi/la, AK 99687 · TEL 907.357.8130 · FAX 907.357.8340 ) ) STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION WELL COMPLETION OR RECOMPLETION REPORT AND LOG 1a. Well Status: OilD Gasl8l PluggedD AbandonedD SuspendedD WAGD 20AAC 25.105 20AAC 25.110 GINJD WDSPLD No. of completions _ Other 5. Date Comp., Susp., or Aband.: 6/15/03 WINJD 2. Operator Name: Evergreen Resources Alaska Corp. 3. Address: P.O. Box 871845 Was ilia, AK 99687 4a. Location of Well (Governmental Section): 6. Date Spudded: 10/23/02 7. Date TO Reached: 11/20/02 Surface: NE/NE Sec 1 Twn 17N Rng 3W, Seward Meridian Top of Productive: Same 8. KB Elevation (ft): 300 ft KB Horizon: Same 9. Plug Back Depth (MD + TVD): 2490' KB MD Total Depth: Same 4b. Location of Well (State Base Plane Coordinates): Sec 1 Twn 17N Rng 3w Surface: x- 1386' FNL y- 933' FWL Zone-4 10. Total Depth (MD + TVD): 2510' KB MD 11. Depth where SSSV Set: TPI: x- Same N/A feet MD Zone-4 y- Same 1 b. Well Class: Development D Exploratory 181 Service D Stratigraphic Test D 12. Permit to Drill Number: 202-183 13. API Number: 50-009-20025-00 14. Well Name and Number: Gary and JoAnn Stromberg #2 15. Field/Pool(s): Pioneer Unit 16. Property Designation: Private 17. Land Use Permit: N/A TotalDepth: x- Same y- Same Zone-4 19. Water Depth, if Offshore: 20. Thickness of Permafrost: N/A 18. Directional Survey: YesD Nol8I N/A feet MSL 21. Logs Run: Compensated Density Neutron Log; Induction; Gamma Ray; Cased Hole Neutron; Dual Spaced Cement Bond Log; Mud log, Inclination Survey 22. CASING, LINER AND CEMENTING RECORD CASING WT. SETTING DEPTH MD SETTING DEPTH TVD AMOUNT SIZE PER GRADE TOP BOTTOM TOP BOTTOM HOLE SIZE CEMENTING RECORD PULLED FT. 12-3/4 36 N/A 0 360 0 360 16 70 sx Class A 8-5/8 23 J-55 0 1020 0 1020 11 74 bbls Class A 5-1/2 17 J-55 0 2503 0 2503 7 -7/8 120 bbls Class A 23. Perforations Open to Production (MD + TVD of Top and Bottom Interval, Size, and Number; if none, state "none"): 2199-2208,0.45" 23 gram, 36 holes @ 4 spf 2112-2116,0.45" 23 gram, 16 holes @ 4 spf 1959-1964,0.45" 23 gram, 20 holes @ 4 spf 1943-1947,0.45" 23 gram, 16 holes @ 4 spf 1842-1847,0.45" 23 gram, 20 holes @ 4 spf 1823-1826,0.45" 23 gram, 9 holes @ 4 spf 1746-1751,0.45" 23 gram, 20 holes @ 4 spf 1695-1699,0.45" 23 gram, 16 holes @ 4 spf 24. SIZE 2-7/8 TUBING RECORD DEPTH SET (MD) 2255 PACKER SET (MD) N/A 25. ACID, FRACTURE, CEMENT SQUEEZE, ETC. DEPTH INTERVAL (MD) AMOUNT AND KIND OF MATERIAL USED ** See Attached ** 26. Date of First Production: 15 June 03 PRODUCTION TEST Method of Operation (Flowing, Gas Lift, etc.): PC Pump Date of Test: Hours Tested: Production for Oil-Bbl: Gas-MCF: Water-Bbl: Choke Size: I Gas-Oil Ratio: 15 June 03 Test Period .. N/A N/A Flow. Tubing Casing Pressure: Calulated .. Oil-Bbl: Gas-MCF: Water-Bbl: Oil Gravity-API (corr): Press: 24-Hour Rate N/A N/A 27. CORE DATA Brief description of lithology, porosity, fractures, apparent dips and presence of oil, gas, or water (attach separate,ij~et, íf'n~cessàrY). Submit core chips; if none, state "none". None -c;)i~>.~c~:::;:-:· , ~ .G~}]¿,¿ Form 10-407 Revised 4/2003 - ~--_. SEP' If7.00} b ~ ORIG\NAL CONTINUED ON REVERSE SIDE ~BFt ~ ,J \ NAME ') GEOLOGIC MARKERS MD I TVD ) 29. FORMATION TESTS Include and briefly summarize test results. List intervals tested, and attach detailed supporting data as necessary. If no tests were conducted, state "None". 28. None None 30. List of Attachments: Daily Completion Reports; Treatment Reports; all above listed logs 31. I hereby C.~rtif that th.e fftITregOin . true and correct to the best of my knowledge. Contact Shane GaQliardi Printed Name ne Gagl r . Title Petroleum EnQineer Signature ¿.¡¿ -<J.J Phone 907-355-8569 Date 7/3/03 INSTRUCTIONS General: This form is designed for submitting a complete and correct well completion report and log on all types of lands and leases in Alaska. Submit a well schematic diagram with each 10-407 well completion report and 10-404 well sundry report when the downhole well design is changed. Item 1 a: Classification of Service Wells: Gas Injection, Water Injection, Water-Alternating-Gas Injection, Salt Water Disposal, Water Supply for Injection, Observation, or Other. Multiple completion is defined as a well producing from more than one pool with production from each pool completely segregated. Each segregated pool is a completion. Item 4b: TPI (Top of Producing Interval). Item 8: The Kelly Bushing elevation in feet above mean low low water. Use same as reference for depth measurements given in other spaces on this form and in any attachments. Item 13: The API number reported to AOGCC must be 14 digits (ex: 50-029-20123-00-00). Item 20: True vertical thickness. Item 22: Attached supplemental records for this well should show the details of any multiple stage cementing and the location of the cementing tool. Item 23: If this well is completed for separate production from more than one interval (multiple completion), so state in item 1, and in item 23 show the producing intervals for only the interval reported in item 26. (Submit a separate form for each additional interval to be separately produced, showing the data pertinent to such interval). Item 26: Method of Operation: Flowing, Gas Lift, Rod Pump, Hydraulic Pump, Submersible, Water Injection, Gas Injection, Shut-In, or Other (explain). Item 27: If no cores taken, indicate "none". Item 29: List all test information. If none, state "None". Form 10-407 Revised 4/2003 v ~ \. <] ¡ f\J A L ~ ~ r ç,.. Attachment for Block 25 DEPTH INTERVAL (MD) 2112-2208 1943-1964 1823-1847 1695-1751 ) ") AMOUNT AND KIND OF MATERIAL USED N2 Frac w/ 71,900 Ibs 20/40 Ottawa N2 Frac w/ 92,320 Ibs 20/40 Ottawa N2 Frac wI 62,510 Ibs 20/40 Ottawa N2 Frac wI 86,380 Ibs 20/40 Ottawa Braidenhead squeeze wI 60 bbls Class a cmt. Form 10-407 Revised 4/2003 ) ) Current Well Stromberg #2 API 5~009-20025~O=\'=I~GI~== 1'1 Qtr/Qtr Sec 2 Twp 17N Rng 3W Size Weight Grade Thread Depth County Matanuska,Susitna State Alaska Casing 8-5/8 23 J-55 ST&C 1020 Field Pioneer Unit Country USA Casing 5-1/2 17 J-55 LT&C 2503 KB/GL 278/274 Tubing 2-7/8 6.4 J-55 8rd 2238 No. I Depth I Length I OD I 10 Description ~ ~ 1 2492 2 4.24 N/A Alpha Tools Midget 1110,000 psi CIBP 2 2255 11.51 2.88 N/A 30N045 pump wI torquestopper No-turn 3 2199 9 N/A N/A Perfs from 2199 - 2208, 4 spf and 23 gram 4 2112 4 N/A N/A Perfs from 2112 - 2116, 4 spf and 23 gram 5 1959 5 N/A N/A Perfs from 1959 - 1964, 4 spf and 23 gram 6 1943 4 N/A N/A Perfs from 1943 - 1947, 4 spf and 23 gram 7 1842 5 N/A N/A Perfs from 1842 - 1847, 4 spf and 23 gram 8 1823 4 N/A N/A Perfs from 1823 - 1826, 4 spf and 23 gram 9 1746 5 N/A N/A Perfs from 1746 - 1751.4 spf and 23 gram 10 1695 4 N/A N/A Perfs from 1695 - 1699, 4 spf and 23 gram 3JI IËË 10 ~ 1E9 31- IE 8 3JI -IE 7 = IiË 6 IE 5 4 3 2 Modified by STG 7/2/03 ') ) INO 12 Twp T17N Daily Drilling Report I End 111-15-02 0600 IAPI 150-009-20025-00 ¡operator Rng R3W ¡county MAT-SU I # ¡Rig Name EWS RIG #1 ¡supervisor ID.WAL TERS I Report No \t I Begin 111-14-02 0600 Well I STROMBERG Qtr/Qtr I See 11 Target Planned TD(ft) EVERGREEN RESOURCES ALA: Field PIONEER UNIT state ALASKA Country I USA Project ¡PIONEER UNIT Current Depth (ft KB) 11020' Current Activity WOC AFE I I Daily Total ($) 210620 Well Total (S) I 1210620 Conductor 1123/4" @ 3601SUrfCSg. 185/8",23# @ 1020' IntCsg Spud Date (MM/DDIYYYY) 111-14-02 I End Date (MM/DDIYYYY) Start End Duration 0600 1100 5.0 1100 1300 2.0 1300 1400 1.0 1400 2000 6.0 2000 2130 1.5 2-130 -2300 ·L5 2300 0030 1.5 0030 0200 1.5 0200 0300 1.0 0300 0500 2.0 0500 0600 1.0 Notes I Summary I 24hr Forecast IWOC,TIH,DRILL 7 7/8"HOLE I Accident (yln) I N I Last Safety Meeting Date I # Prd Csg I I Driller TD (It KB) I Bottom Csg (It KB) Activity MIRU EWS RIG #1 NU DIVERTER & BLOW LINE TIHW/11" DRILL 10' CMTpRLG 11"HOL~F/3~9'. T/1030' CIRÇ~OLE Ç~EA~,Tº.Q~. " .". "" MIRU PATTERSON WIRELlN~,LOGOHINTERV,A.~,RD WL RU~ 8 5/8' ,23#,K:5?,STCC~G, LOAD HOLE,WASH DOWN 25',SET @ 1023.95'(TOTAL PIPE=1019.95'=35 JTS) ", ,. '" ".". ..,. _" w ..'. . '''''.. ."" .". ",..,.. ". ". . ,.' ~"... . ,,~' _'" ." """"', .... "'.,' '" '.' .... '.' ,. ,,_ '.. ,,,0,' " , , ., ,.", ,,_ .. .. "" ..',~ "'... ,.,. ... '.'. ..',' , RU CMTRS,PUMP 10 BBLS GELlDY~,Jº..~~~~H?º,7~._ªB~$_.ç~r@1!5.8#,DISP W/62 BBLSH20 P~~G D()WN@ O~OOHI3~,CI'3ÇJ~~L. ÇMTTº.~V~FAÇ~,.F.I\LLI.~º.ªAÇ.~.. wac TQP OUT ANNU~US WI? BBLS 15~ª# CMT,WqÇ. Ver 1.0 ÜI·11 &-2&-99 I Report No 12 I Begin 111-15-02 0600 Well I STROMBERG Qtr/Qtr I Sec 11 Target NO 12 Twp IT17N Planned TD(ft) ) ') Daily Drilling Report lEnd 111-16-02 0600 IAPI 150-009-20025-00 operator Rng IR3W ¡county MAT-SU 1# Ri9 Name EWS RIG #1 Current Depth (ft KB) 11020' Current Activity TIH W/TRI-CONE BIT AFE I I Daily Total ($) 23700 Well Total ($) I 1234320 Conductor 1123/4" @ 360'ISUrfCSg. 185/8",23#@ 1020' IntCsg I Spud Date (MM/DDIYYYY) 111-14-02 I End Date (MM/DDIYYYY) 11-16-02 supervisor ID.WAL TERS EVERGREEN RESOURCES ALA: Field PIONEER UNIT state ALASKA Country IUSA Project ¡PIONEER UNIT 124hrForecast ICOTB W/GEL-H20,TOOH,LOG Accident (y/n) I N I Last Safety Meeting Date I # Prd Csg 1 Start End Duration 0600 1100 5.0 wac 1100 0230 15.5 DRLG 77/8" F/1024' T/2510' 0230 iO~30. 1.0 CIRC HOLE CLEAN 0330 0600 2.5 TOOH Notes I Summary I Activity I Driller TD (It KB) I Bottom Csg (11 KB) Var 1.0 ~1·1I8·28·99 ) ) INO 12 Twp IT17N Daily Drilling Report lEnd 111-17-020600 IAPI 150-009-20025-00 loperator Rng R3W Icounty MAT-SU I # ¡Rig Name EWS RIG #1 supervlsor D.WAL TERS I Report No 13 I Begin 111-16-02 0600 Well ¡STROMBERG Qtr/Qtr I See 11 Target Planned TD(It) EVERGREEN RESOURCES ALA: Field PIONEER UNIT state ALASKA Country IUSA Project PIONEER UNIT Current Depth (It KB) 11020' Current Activity LOG AFE I DailYTotal($) 34850 Well Total ($)1 1269170 Conductor 1123/4" @ 360' surfCSg. 185/8",23# @ 1020' IntCsg I Spud Date (MMIDD/YYYY) 111-14-02 I End Date (MMIDD/YYYY) 11-16-02 Start End Duration 0600 0730 1.5 0730 2130 14.0 2130 0130 4.0 0130 8200 0-;5 0200 0500 3.0 0500 0600 1.0 Notes I Summary I 124hr Forecast I LOG,RUN CSG,LOG,CMT 5 1/2" Accident(Yln) IN Last Safety Meeting Date 1# Prd Csg I I Driller TD (It KB) I Bottom Csg (ft KB) Activity TIH W/7 7IB"TRI-CONE BIT T/1400' . .._ ""'" "~_'" ..,," . ., ' ." , ,._ ,,""'. " , . ",' '" . "'"., '.. ".". ,,". ',..,', ,,"'" ' ,. "',0.,.' "" ..., . ..,"'^ ',. .", \tYAIT9N WI\T~,I3,I~~Ç,K.§ IºP~_L~ J~,~§ER'{~ _~IT DOVY~_!1TR~Ç_K.~.~§I,~~qoMP'~ºº,II!f~_~~_...P' 9N. STROMBERG #2,ROA~,& DL SMITH #1 LOC,CLEAN UP & REPORT ~ºAD HOLE VYIGEL-WI\TER,TIH,Ç~~ANºU.TêR!P~~~@ 1,§~?,J.69~_,1?JQ, E~Q!_:I,!ª,?, 1.ª,~º_, 1ª.??'" t~?5,,19~O!20º5,20!9 2135 ,223? ,2?BO ,2~?5,2~60!.?4.3?, TD@?~ 1.9.' -SPOT HVY GELIN OPEN HOLE TOOH MIRU PATTE,R"" SON WIRELlNE,LOG,STOPPED@1623'(BRIDGE?) , ". .. """ .... -, ",'" ."",,,.. .' '.' . ". .... ,...........~.. .,.' ..... . ,." '... .... . "', " ..... ,,' ,.., ..'".. '''" , Ver 1.0 Üt·11 8·28·99 Daily Drilling Report I End 111-18-02 0600 IAPI 150-009-20025-00 operator Rng R3W county MAT-SU 1# Ri9 Name EWS RIG #1 ) I Report No 14 I Begin \11-17-02 0600 Well STROMBERG Qtr/Qtr I See 11 Target INO 12 Twp IT17N Planned TD(ft) Current Depth (It KB) 11020' Current Activity AFE I I Daily Total ($) 73600 Well Total ($) I Conductor 1123/4" @ 360'ISUrfCSg. 185/8",23#@ 1020' Spud Date (MM/DDIYYYY) 111-14-02 I End Date (MM/DDIYYYY) Start End Duration 0600 0700 1.0 0700 0800 1.0 0800 1100 3.0 1100 1130 0.5 1130 1200 0.5 1-200 1-300 1-;0 1300 1330 0.5 1330 1400 0.5 1400 1430 0.5 1430 1730 3.0 1730 1800 0.5 1800 2200 4.0 2200 0600 8.0 Notes I Summary I ) supervlsor D.WAL TERS EVERGREEN RESOURCES ALA~ Field PIONEER UNIT Istate ALASKA Country I USA Project IPIONEER UNIT 1342770 Int Csg I 11-16-02 24hrForecast MOVE TO THE DL SMITH #1 Accident (y/n) I N I Last Safety Meeting Date I # Prd Csg 151/2",17# @ 2502.68' I Driller TD (It KB) I Bottom Csg (ft KB) Activity ,Lº~,TºgL.§TºPPEº@ 1~2~' RD W~ H~.ǧ<3 Iº9~S HUN 51/2u 17~ K~5~ LTC CSG T/1400' WAIT ON CMTHS TO PUMP GEL-WATEH HUN CSG T/1775' R~WL,Lº§;!90L STOPPED @19921 HUN CSG T/2138' ~~.W~,~ºC:;,I()º~ STOPPED,@2245' HUN CSG T/2290' .,.",·,w.,,·· ""',.'''' RV VY~,~º~,Tº@?5.1º'BDMO,\l'JL R~NÇ_~(3(2497 .68' hA~P@_2502.6.8.,} ___...._....,", ,." _ ~~ EWS.ÇMTHS,PUMP.,~5. BBLS H~O 1 0 BBLS GEUDYE. .19~?~S.~?q 120 BBLSÇ~T.@13J~ qlsP W/57 BBL§ H2q,pID NOT ÇIHC CMT NO ACTIVITY .."-'- .... - ,...'" _._"'-'.~''''''-''''''- . '_.". "__M__~"_' ._,,_._ __._. w."____ --. -.--. -"..- --.--- Ver 1.0 lit-lIS·28-99 Report No 11 IBegln 105/07/03 Well Gary & Jo Ann Stromberg QtrlQtr I N E/N E I See 11 Contractor po# 1 EWS Unit #9619 Dally Total (SI Start End Duration 1030 1230 2 ¡NO 12 TWP 117N Current Activity Daily Completion Report I End 15/7/2003 IAPI 150-009-20025-00 Rng 3W ) SD Prepare to back out surface jt w/ CIBP set in top Well Total (S) I I LP plas.tic~r~~n~. we 1.1 ~ead:RU. U~.i.t~~§1.~ .~. ~Pº~." .~ -'...." ",~" .~". .....'~, - .. ". . ~ Summary I. ǺS!I:S!I.~A. T~; Big, .. .... ... ~u.p~ryis.ion Mise, ') I Supervlaor IT rout I County operator I Evergreen Recources Alaska Field Pioneer IMantanuska Susitn~Stot. IAlaska Country ¡USA 124hr Forecast I Back out surface jt. ACCldent(y/n) 1 No I Lalt Safety Meeting Date Activity .".0'" . ,.,,_. .,.,,_,..,,'....~4".._.,..'__. ....._ ._..__..._,...,,,..~....'. ..' ..,. .....,~.'- -~ ""'-p '.., U'''·.''~·''''""'''' "".~."_, ........'" ~ 1,ª-ºº,_º9. ~?ºº .00 ......11.!ººº.:ºº. J?,ªºº.ºº. .", .._.-"..........,.~-"., .~,.,-"...._-, -.,. -. .....,,- .~- .~-- ..' . ..._-~ ...~~~ ~.~~...,.~-_. ..,.-".. , ...._.~.. ..-....,...- ..~..,',.,.., . ,~.~."..._.._.......'"...~-..~.... .".~....~~..,-~..'._~._~, .,-....~.~_...~... .. ~.~..~..'.- --' "~..~.~ '. ._-_.-'. ,,~_._.'~. ..,,-"".~-- .~~.~,- '.._,....."_.'-_..._.._.~.,-" .,.,,- '._""'~"-"-' _._~_..~---,~...._.._... ,.. "", ....~,,"'" _.~ -_..._~_._~,-~..- .~ '..- ~. --- ,'. - ---. .--- ....-....__...-.._---...... "' U~~"'_'."'_'__'-__"" .--~. -'- -- -_.-..- . -~._,.. .-.-..-,-- VOlI.0jjt.1/8·28·99 Report No 12 segln 105/08/03 Well ¡Gary & Jo Ann Stromberg Qtr/Qtr I N E/N E I See 11 Contractor po# I EWS Unit # 9619 Dally Total ($1 Start End Duration 0730 9.ªº.9, 1/2 0800 0900 1 0900 1000 1 1000 1030 1/2 ~. Summary ) !NO \2 TWP 117 Daily Completion Report I End 15/8/2003 IAPI 150-009-20025-00 Rng 3W [operator Evergreen Recources Alaska Field Pioneer I Mantanuska,SusitnqState IAlaska Country I USA 124hr Forecast I Run Scraper & set CIBP I Accident (y/n) I No I Last Safety Meeting Date # supervlsor Trout I County Current Activity WO Scraper Well Total ($) I Activity ,!!~rrnypri.Q..Ni.p'pl~.~?.....n P:~~,~Ya.lv~.9.n. ~,~l?"?,~~:..".... ...... ..' ..............._......_...._....._.........._ ._.__. ".....' _.... ~.~.,~.:g. .c.re~:. ~~_1 jt.~.1 '-?" .c.~~: .~c.~~.......int?topl~! P'~?~~cti?n.c.~~:. ~ull~.~.~~~.~.~~. ~~.~_r:!.'1_ove~.:I.ip..s,fr~~. .c.~~.~:~~~. ... Stack~~.?~tO.~. ~~~~~c.~i?n.c.~9.' ! 0.r9~.ed.c.s~.to..I~.~..~.n~.~:ld:.~~n..~t~~~.~h..?~.~:~~:n. ~.s.~~~_:~.~~.c~~~,~~n_?_~::i?~..~... ~.'.~~_C.~.9.: ~ot. ~t~i~~shot and backed ~ff top jtof pr<>,ducti~~.:.:~..~i~~.~.I~~..h_u~ª .~~_t?~..~~~.~~~n..j~..~~~s9.cr:~!.~.1}~ Y~"_c~9.' Sc~:~.i~.t?to~ j~.?f~:~~c.ti?n..c.:9.: ~~lIed 50 ,000#.~n?r:r11.?~:~.s~~s !~r11C..~9...~:~~:.~~~~~:~.?~t ?n.~.~~~:t!?n. ::9.:... Torqued csg to left and held. Ran string shot between 8 518" surface and beside 5112" . """, .,..",..."..." ..."..".....................-"...,.,.......,...,"-.......-... Shot ~tr!.n~ shot and backed ?~t?p!t 0t. pr?ducti?~.~~~.~i~~.C.I~P..~.u~~ .i~to.p, .L~i~_ ~o.~~jt.__.. ~.~.. ~_jt:.S._11~.~.1?~.~!~c.~~.~._.!.1 ~.~.s.c:~~w.i~to..~~~?!,~r~~~!iO'~~~.Q~?~~.~_~~...~'..?: .:~~..~?~,~~~_p.~u~~~~:~_~.~.:~9..~.?~.~.~ '-~.._._..... ~s.:~slips. Screwed on 5112" Demco vlave. PU 5112" CI~~:.TI.H.~o.?~.O.~y~~.bl~~o. 9..e.~t?~:~i~~.d:~t~:T~~w.!.p.lu.~.a.n~_se.ttì~9..._ tool. , ,. ........ .-...-" -.........._~_......~'.-....., ~ " RD unit # 9619 81& MOW8U. ...._.~_........._".,. ""'_,...~".._u._. COST E.~TI~~ T~; .. Rig ~99gi~g ?~pe.rvi~i~n Csg~_ç~~w ~1.,99q~ºº .. ~?~QQº:ºº.. ..-.... . -~~.ºº:ºº_... _.. .... .._~~,?~º.:9.9. ~§!~.~_o.:ºº....__. , ,....,~,"' - .~..._. .,. '....."... .".....-...-.-"..- ~ ... ."."., .-.., ........ __u,,_,,_, ~.._.."., ....~ '_~_.'."'" ." .._..._,. __.~....____.,.._._,._.__, ,___.._._.~. .................._._,_.__.._. ._._____.. __,. _ ,.0',., _.._,..._...._.,_ ..."..._._'_ ._,,__~_,~.__,,_~,.."M ._~." ,~... n , ......_~.... "M·_,·~ ,.. ."_","~ ~ ...... .__, ..._""....w..,..~__...,. .._"...........,_.__. ........ -. ..-.."-_...._._.~.-., .. .'-,.." ,.' ..-- ........ .p. ....-.-.. .- - ,- --,-...--'---" ._. _n·~...__ _ __ __._ VCf 1.0 ÜH/6.16·99 V",1.0 ÜI.1/8-26·GG Summ¡ry $1,000.00 $1,500.00 $500.00. $250.00 $500.00 $3,000.00 $1,000.00 $7,750.00 COST ESTIMATE; Rig Tools ffitucking Water Tool Hand Logging Truck Misc. No further reports until completion is started. Activity Lay down plastic aroud well.RU EWS Unit # 9619. Spot trailer w/2 ì18" tbg. Remove 5 1/2" Demeo valve. PU 5 1/2" csg scraper and 4 3/4" blade bit on 2 ì 18" tbg TIH to PBTD 2492'. _______J3~Evergreen pump and reV8rse circulate down 5 1/2" X 2 ìlS" annulus with 25 bbls fresh water. TOH wI bit and scraper. LD 2 ì18" tbg bit and scraper RU Patterson, PU 5 1/2" CIBP TIH. Set CIBP @ 2490'. RD Unit # 9619. Clean up location. Secure well & move to 1702-14CC. IEvergreen Resources Alaska Field Pioneer 1:,,1. [Alaska CO"olly IUSA, [operator I Mat-Su [NO 12 I API 150-009-20025-00 11 TwP 117 IR"9 I 3 I COUOT) Current Activity Prepare to Set CIBP $7,250.00 , Well Total (Ç) J I $7,750.00 I Report No I I Begin 105/10103 Well I Stromberg Qlr/QIr Jr·JEII JE sec Contractor J EWS # 9619 PON J Daily Total (Ç) Start End Duration 1000 1130 11/2 1130 1400 2 1/2 1400 1430 1/2 ~ 1430 1530 1 1530 1600 1/2 1600 1630 1/2 124hr For,cul Prep for completion Accldent (y/n) I No Last Safety Meeting Date " I Supervisor IT rout Daily Completion Report lEnd 15/10/2003 ) ) Report No 14 Isegln 105/23/03 Well I¡~,~ry & JoAnn Stromberg atr/atr I'~:~/NE sec Contractor po# Start ~l800 'Öå30 ~~OO 1000 1030 1145 Notes Summary §'&\,s Unit # 402 Daily Total ¡S) End Duration ~~30 ':Q~OO i~i;øoo 1030 1/2 1145 11/4 1300 11/4 ) ) INO ITWP Daily Completion Report lEnd 15/23/2003 IAPI li~Q-009-20025-00 Rng lil!: I;i¡;:~! I~vergreen Resources Alaska Field I[~l IState I~!~ska Country U: supervlsor ITrout operator IM:?t- Su I County Current Activity to Braidenhead head Squeeze Well Total (SI I I $23,700.00 124hr Forecast liiii¡;!li WO Completion I Accident (yln) I No I Last Safety Meeting Date I $6,900.00 Activity ~I RU EWS cement unit # 402. Spot in water truck and cement trucks. iID,Jß on to 5 1/2" x 8 5/8" annulus. Pumped fresh water and establish injection rate of 2.7 BPM @ 660 psi. r~wmped 60 bbls of class A cement mixed to 15.6 ppg. 2" nipple in Braidenhead broke while pumping cement. SO. Replaced 2" nipple in Braidenhead Pumped remainder of cement. Maximum pressure while pumping cement 1100 psi. Had problems pumping cement. Pump losing prime because of heavy cement. SI wac. Wash up unit # 402. Clean up locations. Secure well. MO equipment. No further well reports until completion starts. COST ESTIMATE; Valley Block and Concrete Supervision O.J. Excavating $4,800.00 $600.00 $1,500.00 $6,900.00 V... 1.0 ÜI·11 11-211-99 Ver 1.0 Üt·1I8·28·99 $3,500.00 COST ESTIMATE; Nö further well reports until frac. Activity RU Patterson & boom truck. Ran CBL GR..CCL f~rm 2490 to surface. ~an 4.669 gauge ring and JB to 2400: RU & perforate 2199' to 2208' & 2112' to 2116' wI 4 H PF using 4" HSC wI DP charges. . .. ..., [~~de s~veral attempts to set collar stop @735'., Unable to get collar stop to set..Set collar stop @ 272'. RU unit # 402 to 5.1~2 csg. Pressure up to 2175 psi and broke down perfs. Established injection rate of 5 BPM@ 2500 psi. Pumped 8 bbls water and SO. ISOP 1913 RU and ran 3/.t" 1800 pSI pressure range and set in collar stop @ 272' Pressure up on 5 1/2 esg to 1020 psi and 51 WO frac. Patterson. Secure well clean up location SO. J24hr Forecast Prepare to trac IAccidently/n) INo' LastSafetyMeetlngDate. ,. # $28,500.00 lEvergreen Resources Alaska Field Pioneer" 151111 Alaska Country USA lcounty j Operator IMat-Su Isupervlsor ITrout 15/27/2003 7 Jo Sn ) Prepare to Run CBL Well Total IS) [ I $4,800.00 Current Activity lAPI 150-009-20025-00 IRng 'J 3 ]NO 12 tTwP /17 I Report No 15 I Begin j05/27/03 Well Gary & Jo Ann Stromberg Qtr/Qtr INE/NE lsec 11 lend ) Duration 1 1/4 11/2 21/2 Dally Total (S) .Patterson Summary Notes 2000 :2030 1845 gOOo 1500 1730 ~.ªßO 1930 1830 1300 1500 End start Contractor po# I Report No Begln l~ìß/03 Well li~;~ry & Jo Ann Stromberg Otr/Otr I]~'~/NE Isec Contractor PO# II; ) INO TWP Daily Completion Report I End ,§~~/03 I Supervisor I~~ane Gagliardi IAPI li!Q-009-20025-00 operator I!vergreen Resources Alaska Field :~,!Oneer Rng liª~:¡!: Icounty 1:~~tanuska,Susitna I State I~[:aska country:lpA Start End Duration ;tyS Current Activity :~çßcture Stimulate Well Daily Total (S) $225,600.00 Well Total(S) I I 249,300 Accident (y/n) 124hr ForøcastlI~çpduction Test I No I Last Safety Meeting Date i~i'Øoo 1630 1730 2000 2100 2100 2130 0.5 Notes Summary I.. .' Activity W)RU Patterson. RU EWS. ',~acture stimulate stage 1 (2199-2208 and 2112-2116) wI Nitrogen. ASTP - 2880 psi wI break @ 2660. Pump 71,900 Ibs 20/40 Ottowa sand. ISIP @ 1886. See treater report for more detail. m[(ac gradient - 1.33 psi/ft ~atch leak off for 20 Minutes. 5 min-1809 psi; 10 min-1798 psi; 15 min-1810 psi; 20 min-1798 psi ε Patterson. Set WRP 20541. Test plug to 4500 psi. Perforate 1959-1964 and 1943-1947. ¡Ired 3-118 expendable guns wI 23 gram 0.45" charges. Practure stimulate stage 2 (1959-1964 and 1943-1947). ASTP - 2700 psi wI break @ 2859. 'Pump 92,320 Ibs 20/40 Ottawa sand. ISIP @ 1602. See treater report for more detail. Frac gradient - 1.26 psilft Watch leak off for 20 Minutes. 5 min-1602 psi; 10 min-1442 psi; 15 min-1397 psi; 20 min-1401 psi RU Patterson. Set WRP 1896'. Test plug to 4500 psi. Perforate 1842-1847 and 1823-1826. Used 3-1/8 expendable guns wI 23 gram 0.45" charges. Fracture stimulate stage 3 (1842-1847 and 1823-1826). ASTP - 3200 psi wI break @ 2924. Pump 62,490 Ibs 20/40 Ottawa sand. ISIP @ 2280. See treater report for more detail. Frac gradient - 1.69 psi/ft Watch leak off for 20 Minutes. 5 min-2120 psi; 10 min-1941 psi; 15 min-1833 psi; 20 min-1753 psi Did Step rate test before the acid, after the acid and for the final shut down. RU Patterson. Set WRP @ 17861. Leave pressure on well. SOON. COST ESTIMATE EWS Water Wire Line Work Supervision Equipment Rental Misc tOTAL $200,000.00 $1,000.00 $21,000.00 $600.00 $1,500.00 $1,500.00 $225,600.00 VOl 1.0 üt·11 8-28·99 Report No IBegln 1;,~WI03 Well li:lry & Jo Ann Stromberg Qtr/atr I:,~~/NE Jsec ) ') NO TWP Daily Completion Report lEnd 1'~r/03 supervlsor I[~,~ane Gagliardi IAPI 1,~~-009-20025-00 operator 1:lvergreen ~;sources Alaska Fleld!!oneer· Rng I:ª~i¡ii I County 1~tanuska Susitna Istate ;~J¡3ska country,~ßA 'H'racture Stimulate Well Well Total (S) I 1,260900 24hr Forecastl:,~,rpduction Test ACcident (yln I No Last Safety Meeting Date Contractor POf# I ,~~S Current Activity Daily Total(s) $11,600.00 Start Notes Summary End Duration Activity r&1IRU Patterson. RU EWS. Test WRP to 4500 psi. ~ßrforate 1746-1751 and 1695-1699. Dump bail acid @ 1748. ::~j~e 3-1/8" expendable guns wi 23 gram 0.45" charges. 'i~acture stimulate stage 4 (1746-1751 and 1695-1699). ASTP - 1650 psi wI break @ 1628. ~pmp 86,380 Ibs 20/40 Ottawa sand. ¡SIP @ 1047 psi. See treater report for more detail. X!?!¡t ~êae gradient - 1.05 psilft :~ateh leak off for 15 Minutes. 5 min 1032 psi; 10 min 1010 psi; 15 min 1002 psi EWS and Patterson to RL Smith #3. COST ESTIMATE Water Wire Line Work Sùpervision Equipment Rental Mise TOTAL $1,000.00 $7,000.00 $600.00 $1,500.00 $1,500.00 $11,600.00 Ver 1.0 tit· 11 6-26-99 rReport No 17, IBegln 16/9/03 ;'ell I~,;ry & Jo Ann Stromberg Qtr/Qtr NE/NE Isec Contractor po# Start º~þo Notes Summ;uy I- ~iVs # 9619 Daily Total (s) End Duration 11 NO TWP Current Activity $7;250.00 ) ) 17 Daily Completion Report lEnd 16/9/2003 li!Q-009- 20025-00 Rng I 3 operator I Mat-Su I!ivergreen Resources Alaska Field lil!oneer IStale Alaska Country IUSA Isupervlsor ITrout I County ~tepare to flow back 4 the stage trac Well Total (S) I $268,150.00 124hr Forecastl;!!:m¡ Prep to pull WRP Accident (yln) I No Last Safety Meeting Date Activity ~pened well to reserve pit on 3/8" choke. Initial FCP 600 psi then dropping to 0 psi. Well lifting large amount of sand & foam. unit # 402 to 51/2" csg. Attempt to displace sand & frac fluid in well bore. Pumped 15 bbls water & pressure increased psi. SO pump, unable to pump into perfs. well to reserve pit on 3/8" choke. Flowed estimated 150 bbls LW in 17 hrs. FCP TSTM. Left well flowing over night ESTIMATE; ~¡g ¡Iestern !ª\Jpervision r&1isc $2,000.00 $1,500.00 $600.00 $1,500.00 $5,600.00 Ver 1.0 ijl-1/8-28-99 ReportNo 19 Begln 106/14/03 Well ¡:G!~ry & Jo Ann Stromberg Qtr/Qtr INE/NE Isec 11 ~~S # 9619 Contractor po# I: Start Notes Summary Daily Total (S) End Duration Daily Completion Report lEnd 16/14/2003 IAPI 1'5ô-009-20025-00 IRng 3 ) INO 12': ITWP 117 ') Isupervlsor Trout Icounty operator I Mat-Su rEvergreen Resources Alaska Field 'p!loneer IStale IAlaska Country I USA $6,000.00 i;ñepare to pull WRP Well Total ($) I $281,400.00· 124hr Foreca5tl~I¡¡ill!· Prep to test for production IAccident (y/n)_~6 I Last Safety Meeting Date Current Activity Activity 51þwed estimated 500 bbls LW w/ strong blow to pit estimated @ 150 MCFD. Lit & flared to pit. FCP 60 psi on 3/8" choke. î3~ unit # 402 to 5 1/2" csg. Pumped 15 bbls fresh water to kill well. notched collar. TIH to TOS @ 2390'. RU to circulate sand from PBTD. RU EWS unit # 402. Tbg stuck. Worked loose in 5 min. 5' of sand down to 2495'. :~pened well to pit on 3/8" choke flowing back LW. COST ESTIMAT~_ Rig Western Mise $3,000.00 $1,500.00 $1,500.00 $6,000.00 V'" 1.0 lit·1/8-28-99 Report No 110 IBegln 106/13/03 Well 1¡1:~ry & Jo Ann Stromberg Qtr/Qtr li~:$/NE Isec Contractor po# Start ~~OO 0730 0930 1030 1930 2000 Notes Summary ~~30 ð930 1'030 1930 2000 2400 ~)NS # 9619 Daily Total ($) End Duration 1 11 1/2 2 ) NO TWP Daily Completion Report End 16/13/2003 IAPI li@:~-009-20025-00 Rng 1,:;::li:!~ Icounty Current Activity ~fiepare to pull WRP Well Total ($) I I . $287,900.00 $6,500.00 ) supervlsor Trout I Operator i,~vergreen Resources Alaska Field e~ I State I!~!~ska Country ,'µS 124hr Forecast ,ii!I:I::? Prep to test for production Accident Iy/n) I Last Safety Meeting Date ]w¡IÞw estimated 250 bbls LW to pit Þu retrieving head for WRP & TIH. Tagged TOS @ 2029'. RU EWS unit # 402 & wash 25' of sand off WRP @ 2054', Unseat WRP. Had 400 psi under plug. Opened well to pit on 3/8" choke to pull pressure down. Circulate hole wI 50 bbls water TOH wi 27/8" tbg & WRP. Opened well to pit on 3/8" choke. ~PST ESTIMATE; ~¡g VVestern ,: ~¡sc $3,000.00 $2,000.00 $1,500.00 $6,500.00 V... 1.0 ÜI·11 &-2&-99 Report No 111 Begln 106/15/03 Well 'G'ary & Jo Ann Stromberg ~trfQtr I NE/NE Isec 11 I Contractor ~O# Notes Summary Start ,~:~S # 9619 Daily Total (S) End Duration ) ) Daily Completion Report I End 16/15/2003 IAPI 150-009-20025-00 IRng 13 INO 12 TWP 117 Current Activity ,i~epare to pull WRP W~;r;t~'l I $29,500.00 I County $317,400.00 operator 1 Mat-Su ACCident ;;;-- Activity supervlsor Trout 'Evergreen Resources Alaska Field r~¡onl state· Alaska Country I U~ 124hr Forecastll:i!i~:'¡1 Prep to test for productic I No 1 Last Safety Meeting Date I estimated 250 bbls LW wI strong blow to pit estimated @ 100 MCFD. Lit & flared to pit. FCP 40 psi on 3/8" choke. unit # 402 to 51/2" csg. Pumped 23 bbls fresh water to kill well. & ran tbg & stator as follows: jts 2 7/8" 6.5# EUE J-55 cond A tbg. 2 7/8" x 2.250" seating nipple 7/8" 6.5# EUE J-55 cond A tbg sub 2 7/8" 40 no 45 PC pump (0044-B-1800 L T 2000) 7/8" No Turn 2238.48' 1.10 4.10 10.12 1.05 2254.85 down BOP & ran rotor for pump # 0044-B-1800 L T 2000,887/8" rods, 1-2' x 7/8",2- 6' x 7/8" rod subs, 1- 7/8" rod, 1/4" x 16' PRo Ran total of 89 condo A rods. Installed 2 plastic rod guides pI rod except for bottom rod. Install drive for PC. unit # 9619 clean up location. Move to RL Smith # 3 Started PC 1430 hrs. 6-15-03. 'QþST ESTIMATE; g¡:g Western Ñ1lsc ~toduction Equip. $1,500.00 $1,500.00 $1,500.00 $25,000.00 $29,500.00 ...-- Ver 1.0 lit-11 8-28-99 Ver 1.0 ÜI·1/ 8·28·99 ..___._. ,____ __" _ _ _ _,____.____ ___ _. ,___. __,. .._ ..._____ ___n__ _.,,_ ____.__.___.___ __..._ ___._.. '_ .__._.____"___.___________._,,__ ______. ,.--..---.. . .._--' -.--- . --.._._._.._ - - __ _______._.___~._._.~ _,," _'__"__~_ _._ ______n"_ __ "___ _'__'_'_'_'''.''.'_..__''. __.__." __ ._"__,,,_.~____.__...___...__.________.____,,_____.______________.__..__~____~___.~___________~_.__ Summary ~.._.__,..,_ ,__ _0__._".-----'..-.. ~..._,_,~_.__,._, __,____~,,_,..__.______.__ ____._,_ __ _.____.______~.,___..._,___ ._._.___________..__.____~,____..,~___.__,__.__________..___.________ ..___________..'_n._·________._..._.,.,_._______.., - --.---- --.- .--. --- __._. ,___~__." ,,,_,,___ .___"..____....__.._.__~.~_..._________.____._.___._~_ _._______...__.__ ___, _._____,..___ ._._~_,______~___.__.__.____.____ _________.____,__'__.'_m__..._'· ____., _ _. __.. _.__.._.__._..,..._.___ . Notes I ~_W~.'_4" _'__~'__"_""""_____ ..._____._.._____.____._.___,. ..._.~_,,_,,_ . __ _ __ ,_..,..,._, __ _".. ..~" '.." ,'~""__'_' ...,'_....__._,~ _...." _,. ..~._ ..._." .._,~"'... ~....._._ __.__.__ _. ~.._.._,.'_". __,.~,_.'_" _ , . .. _.____...M.'. _,.._,,_,,__...._,__..~'._...__~ ._. _.... _'._ ,.._...._.._~..."_.__....____._.__.._____. _....".~ ___... ....--.,....___._~~___.___.. __..,......_. _._....__ ~.~~._._"...._,._._ __,_·,..~·_u_~._.__,,,·,,~ ._,_~_.,,"..__..... --~.._""_._...._"._.'_ ,... .~__.._ .". '." ....., _...,.. ..~._.'" , .,. .... ,_... _",._.. _".... ....... .~'.... .._.._ ..._..._.._h." . ,_.~ ", ._. ........4__..._ .., . ,,,,._. .._....... ..~...~. ~,__..____,...~ .._., ,_..~..__,. ._.....~....,~, ,_.,."..~,_..",....". ___.".. .~.._."_ -.._~...__.,,_... ~._.. ,·~__w..·~. _",...~,.. ..._'R.__.___._~_~~.._._.__.....,_.," ........ __~_,",__ ,._...._._.~.. ._...~ .__......__.__...__.,."... ....__.,._c....~_._...,'._._ ~-".... '''-'.'~._' "...,..-,.., .....,,----.- M' ~__._. ....,,,""~. ".' .....,_~...__,__ .... ".._"... _ _~.~._._. _ ...... ... ....~" .._ .__ ..,_"._ . . _....._".,. ...__ .... .....~. '~'"_''' ._. . ~_ ..__ "._.,........"..,._~_..... .,.,.,..,............. ,.._. .... .~,_. _.~.._._...--'__..... ..._n. ...._ ,...~_ .M....·'·...,__._.·~......,,_··_~.....·_·.._,··.._~,,_·_···_··_ "....____.....~.,~,.._._~'._".____..,..~,_...__.""_.. ,.,-,--_...-.._...~ "-~'-""""'-'''''- '.'" .-.--..--..................--..-. ~..........,,"". _,_.__~_ .__.._._._..__________..._,_.~..._....____..._~_~.__M__..._..____....______ ~_~._....'_......____...__._.."'___.._.__..______.__.._~_...~.._,.......".."_..~~.__..._~M_._._..·.,_........"'__..._.._._W_".~,,,...._......'_.. .""...._ '. '.....~,.....,~,,~ .-,~~._. .~,...~,_...._,.. ".........-. ""..,....~...~--,..__._.__.,.~._.~~,_.,....._~..,~ ._,-"...~_...'""'..."_............,..._...---.._........".._.--..._,,,--.....__...._,,......."~.._....,......'--_...._...,'......._..........~........__.................--...._-,,._"....,--- $600.00 ~.,.._~.~,."__.,...~,_,......,,... .,.1 .."'_"" "..._._"~......~._, ........_.M~""."'_."..",..,_,~...__,~..'. ~.......~.......·_"M_ ~ ....."~,,"""~.,,__w...._. ...,...,'.w....,........._.,.."".... """"._.~...._.__...~.....,......~.......,,,"'...........,,.~....... ,,,"..'",,'_.,_...___,..,,..........-...............,,...,_""._ "-.'"-....",...".".,,,.....,....._'..,~.,.~,.."'_........._".............~.._""".....- 1000 1030 -'112 ..___...._._.ªpread plastic, RU EWS .~nit# 9619~"______...._.__.___ 1030 1130 1..._______..____.._.B.Y.& TOH ~I 89 7/8" rods._____ _ ~_130 ~230 1 ....._..._l~~~~~~~ce ~_9._~n..!~~ hanger. Nippl~._~_~.9£.:fi~~~~~.~~.~o 3q.o0 E~i:.l:I~~_9~:_ :.1.?_~.Q_____ .!.~_qº..._... J/.?__......._........._._......_.. .~_~.1~_!~JL~~.1..!.~~.X(~~:._!.~9._ª-..!~9..!~_(~tf!I.I...~~.?_.!.~?~~~~9.;...@__???i:.. ... .~~ºº._....._._ .~..êQº_..._._ .ª...........__...._.___.__._. .~~_~~§.~~.!!P~º.?: Reverse c~~~~~_?!.ª~!_.~.~~£!..~..~~al fi~~.~~..Pj.!~_sin9.J.2~æ~!~~.~.~~!~~.:_.__.__._.___...._......___.____._._.__.._.__.. .~~9.º......... .~..!º.9..... .~.............. . ...... ... ... ........_...I.º~~(??!.~:_!.þ~.~.§!~!~~~.~~.~!.a.tg~: ..' .. ""'.'.. ......,.... .........__.._... ..__..........._....____......._.__.._....__....._................__..____...... ,Eº-º-..__..._.!?j.?___....~!!._._...__..._._..__.__..!IH w/2 7/8" tbg as follows:_ .. .._....._..........._ .................__.._ ....................._..........._.._.___. ..r1J~_..?_~ª':...~§.~_'ª-~.~J..:~~..~.~.9:.._..........._....__.._......__.._.,.........__.._._1.238.48 . ._._.._._._._...._........_._.......__~____.____..__...._1.:?_~@ x 2.250 seating nipple _.___.___. 1.10 1- 2 7/8" 6.5# EUE J-55 wI tag bar 15.97 2255.55 .""~".,,.,..,_.~~_. .....'~'.......__.__ ..,__....._"..._...__..___......~. ..'~... _~..,--._." _......,"".....___~_..._,_ M"......._'.'_.,,_..~__·__~,......._......."'.."'_·~~.........._..·......_~"....._....,...___.........'.,...._.~........._....._.._..._...._ ."......___.".__ ......._.._......_....... _...._.._...._......._......_,..~.~~.~~~9.~_~t!~9..~.~?§..~::.!.9P.. of ~~..~.~~9...~~.P.!~_@ 2242' ..... ..__.._._......_..........._..._..._......_........_....___...__.__......._........._.._...._. ~..!45 !~j~_ 1 .~.ipple down BOP. _'_' . _____.__ _ . ..,..___.._...._. _..._._._...____......__..._ .1~.~~...___.1945 . .1... __.~~& TIH w/89 7/8" rods, 1-61x 7/~" rod sub1-2 x 7/8:' rOdsub,.11/4" x 16' PRlnstall.drive for PC. .~.gi~.......__ ~Q..3,Q....__..~!~.__._.._.__._.___.._.~Q.~~it #9619....Çlean up loc~tion. Start PC pump ~ 2030 hrs. P~es~ure up to 300 psi. Turned into surface equip. __..______ .....,.__.........__. ...._..._._..._._ ..~.,......_...._....._.___...._...__._ .!3.~~~.~nit ~_~§.~...~.~_~~~i~.1'.~~~~.._.._......._.._._......__......_._____...__.____........._..__....___._,_____......_......_...._......_...___.______..___....................__.._......___........_._ .___.............._ ..-..-_---.~- --_.....'.........._'....._..........,"---~'._.._'...-_,,-..- ..._.............."......-...."...'...."......"""......~_...........'..........."........_..................................~~~."_............'""',,........."_........................"'..,..."......._~ -..........._._......_-,...~----,~_.._-,~. .~..._-"_._._............. ..............~.._..__............,----_........~'-"...,................,_....._,-, Activity End Duration Start 24hr Forecast ] Testing Accldent(Yln) 1 No I Last Safety Meeting Date 1 # # $339,500.00 Prepare to change pump Well Total ($) 1 I $4,100.00 Dally Total ($) Contractor PO# I Current Activity I Pioneer IUSA I Evergreen Resources Alaska 1 State IAlaska I county NO 12 TWP 117N Report No 142 IBegln 107/28/03 Well Gary & Jo Ann Stromberg Qtr/Qtr I NE/NE 1 See 11 operator I Mat-Su Daily Completion Report 1 End 17/28/2003 IAPI 150-009-20025-00 Rng 3W I Supervisor 1 Trout ) ) ) ) STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION REPORT OF SUNDRY WELL OPERATIONS 1. Operations Performed: Abandon D Suspend D Alter Casing D Repair Well ~ Change Approved Program D Pull Tubing D 2. Operator Name: Evergreen Resources Alaska Corp. 3. Address: P.O. Box 871845 Wasilla, AK 99687 7. KB Elevation (ft): 300 ft KB (4' AGL) 8. Property Designation: Private Total Depth 11. Present Well Condition Summary: Effective Depth Casing Structural Conductor Surface Production Liner Perforation depth: Perforate D Variance D Annular Disposal D Stimulate D Time Extension D Other D Re-enter Suspended Well D 5. Permit to Drill Number: 202-183 Operation Shutdown D Plug Perforations D Perforate New Pool D 4. Current Well Class: Development D Exploratory ~ Stratigraphic D Service D 9. Well Name and Number: Stromberg #2 6. API Number: 50- 009-20025-00 10. Field/Pool(s): Pioneer Unit (610500) measured 2510' feet true vertical 2510' feet measured 2490' feet true vertical 2490' feet Length Size MD TVD N/A N/A N/A N/A 356' 12-3/4 360' 360' 1016' 8-5/8 1020' 1020' 2499' 5-1/2 2503' 2503' N/A N/A N/A N/A Measured depth: 1695' - 2208 ' . True vertical depth: 1695' 2208' Tubing: (size, grade, and measured depth) Packers and SSSV (type and measured depth) 12. Stimulation or cement squeeze summary: Intervals treated (measured): N/A 2-7/8 N/A Junk (measured) Plugs (measured) CIBP cw. 2492' N/A Burst N/A N/A 2950 5320 N/A Collapse N/A N/t 1370 4910 N/A J-55 N/A 2259' Treatment descriptions including volumes used and final pressure: N/A 13. Representative Daily Average Production or Injection Data Prior to well operation: Subsequent to operation: 14. Attachments: Oil-Bbl N/A N/A N/A Copies of Logs and Surveys Run xxx Daily Report of Well Operations Gas-Mcf 7 7 Water-Bbl 6 4 Casing Pressure 17 20 Tubing Pressure N/A N/A 15. Well Class after proposed work: Exploratory ~ Development D Title Petroleum Enqineer Phone 907 -355-8569 ORIGINAL Service D 16. Well Status after proposed work: Oil D Gas ~ WAG D GINJ D WINJ D WDSPLD 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Sundry Number or N/A if C.O. Exempt: 303-185 r.nnbrt ~h::ln¡:> ~::Inli::lrrii Printed Name S~ Gaqlià rD Signature ~ -c ~ Form 10-404 Revised 2/2003 AU6 2 8 2003 ~s Bfib. Date 8/21/03 =\'=I~GI~==lt ) RESOURCES(ALASKA)COR~ A Subsidiary of Evergreen Resources, Inc. July 9, 2003 Ms. Sarah Palin Dr. Randy Ruederich Mr. Daniel Seamount Commissioner Alaska Oil and Gas Conservation Commission 333 W. 7th Ave #100 Anchorage, Alaska, 99501-3539 RE: Sundry Approval (Form 10-403) Pioneer Unit - DL Smith #1, Stromberg #2, RL S,mith #3, Cornhusker #4, Cook #1 and 1702-15DA Dear Commissioners Palin, Ruederich and Seamount: Attached are the 10-403 forms for the following wells. The proposed workover operations will consist of pump changes and running cement bond logs on two wells squeezed via the braiden head. Well RL Smith - DL Smith - Stromberg - Cornhusker - Cook - 1702-15DA - Work Over Description Down size pump and Run CBL Downsize pump Downsize pump / Upsize pump and run CBL Downsize pump Clean to PBTD If you have any questions, please feel free to contact me at 907-355-8569 or shaneg@evergreengas.coIn. Sincerely, ß~ Shane GagliaJi" Petroleum Engineer F') r- .:1""," r.- ~ \ l ~--. r'~~ ,:" !'~""""'~, r" I, ,. J Ii~""~: [: ~ .;...,.~ 't.J t:O;~J·J ~ ~f ~L·'-,.,. E".~..,:~" JUL 0 9 2003 Aiasha o¡~ [~. t:::2~ ;:O;1~~;. Sort!:, Ar;shorEgs 1075 Check Slreet, Suite 202 · WasiJ/a AK 99654 P.O. Box 871845 . Wasil/a, AK 99687 . TEL 907.357.8130 · FAX 907.357.8340 ) ') STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION APPLICATION FOR SUNDRY APPROVAL 20 MC 25.280 1. Type of Request: Abandon 0 Suspend 0 Alter Casing 0 Repair Well [8J Change Approved Program 0 Pull Tubing 0 2. Operator Name: Evergreen Resources Alaska Corp. 3. Address: P.O. Box 871845 Wasilla, AK 99687 7. KB Elevation (ft): 300 ft KB (4' AGL) Operation Shutdown 0 Plug Perforations 0 Perforate New Pool 0 4. Current Well Class: Development 0 Exploratory [8J Stratigraphic 0 Service 0 Perforate 0 Variance 0 Annular Disposal 0 Stimulate 0 Time Extension 0 Other 0 Re-enter Suspended Well 0 5. Permit to Drill Number: /' 202-183 6. API Number: 50- 009-20025-00 /" 9. Well Name and Number: Stromberg #2 /' 8. Property Designation: Private 10. Field/Pool(s): Pioneer Unit (610036) 11. PRESENT WELL CONDITION SUMMARY Total Depth MD (ft): I Total Depth TVD (ft): I Effective Depth MD (ft): I Effective Depth TVD(ft): I Plugs (measured): 2510' MD 2510' TVD 2490' MD 2490' MD CIBP @ 2492 Casing Length Size MD TVD Burst Structural N/A N/A N/A N/A N/A Conductor 356 12-3/4 360 360 N/A Surface 1016 8-5/8 1020 1020 2950 Intermediate N/A N/A N/A N/A N/A Production 2499 5-1/2 2503 2503 5320 Liner N/A N/A N/A N/A N/A Perforation Depth MD (ft): I Perforation Depth TVD (ft): I Tubing Size: Tubing Grade: 1695-2208 1695-2208 2-7/86.4 ppf J-55 Packers and SSSV MD (ft): Packers and SSSV Type: N/A N/A 13. Well Class after proposed work: Exploratory [8J Development 0 12. Attachments: Description Summary of Proposal rg¡ Detailed Operations Program [8J BOP Sketch 0 14. Estimated Date for Commencing Operations: 20 July 03 16. Verbal Approval: Commission Representative: 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Date: 15. Well Status after proposed work: Oil 0 Gas [8J Plugged 0 WAG 0 GINJ 0 WINJ 0 Contact Shane Gagliardi Printed Name Stzr'f Gagliar?i~ Signature _~ ~ Title Petroleum Engineer Phone 907 -355-8569 Commission Use Only Date 7/3/03 N61't- 7/lolz..O'o3 o rt:J 7 I/o i:3> Junk (measured): N/A Collapse N/A N/A 1370 N/A 4910 N/A Tubing MD (ft): 2238' Service 0 Abandoned 0 WDSPL 0 Conditions of approval: Notify Commission so that a representative may witness Sundry Number: 3ø! -, IS Plug Integrity 0 BOP Test Et Location Clearance 0 f,F"\ ¡¡- .....' [r'>:.,cf '",,, ,¡' "'" ~':?-~ > ''1è ~. ¡'=n- ~L ~'\ 1 J1 f! :.1.1.,,\\:1 ~llr 'f, . ~~ ) .. \, L"," 'I:..,~,! ¡ 1',.iI ','<."''' ".' ''-'=c 1:" C'".,,,, Mechanical Integrity Test 0 T-e~-\- ßYVE tv /000 I')k. Other: Pw 1,0 AA c... 1..-S. L8~ C it. ,) GL.l be-.< ~~~ ß é) 'þ E Subsequent Form Required: L/ 04 Aií.~s:~,2 ,1 ~ PvfJfJ (1:)veJjJ,L 0 9 2003 Approved by: V~ .~~'-.. COMMISSIONER Form 10-403 Revised 2/2003 '--- J BY ORDER OF THE COMMISSION IR<lnl"\!¡A\I·I'~..' IC:;It'l. .I \jlQ) ~. I \.-7~ \S;£! LC2tI lb.. OR~G\NAL JUt 1 0 ?fnn~, . i t _ u ~ (~ :,.' w ,~'"' ,.:; c: c ~,.~ ',:,. : .': ~: ~: ~ ~' ,~-; t;t", ,~h~';'r:~D;:; Date Zæi~z. ) ) Pump Change Procedure Pioneer Unit: Stromberg #2 API: 50-009-20025 Section 2 Township 17 North Range 3 West Matanuska Susitna Borough, Alaska Elevations: GL: 296 ft KB: 300 ft (4 ft AGL) Objective: Change pump and place on production test. History: This well was initially drilled October 2002. On 5/10103 the top joint of casing was backed off and replaced due to a cast iron bridge plug malfunction. This well has been fracture stimulated and completed wi 40N045 pump. Preparation: 1 q 5 ... ¡ 2.3 ì 1. AOGCC: Contact Winton Aubert (907-279-1433) 48 hours prior. 2. Tanks: Reverse Tank. 3. Water: DJ will provide drivers for EWS water trucks. 4. Pumping Services: EWS cmt unit 402. 5. Wireline Services: None. 6. Workover Rig: EWS Wilson Super 38 rig #9619. 7. Tubing: None. Spill Prevention: Alaska Department of Environmental Conservation has strict regulations regarding spills. All equipment will have plastic liners underneath them. Liners will be run around wellhead. All water will be run to the pit. Casing and Tubing Data: Size Weight ID Drift Collapse Burst Yield Capacity Capacity (in) (ppf) (in) (in) (psi) (psi) (klbs) Bbls/ft Ftlbbl Casing 5-1/2" 17 4.892 4.767 3928 4256 273 0.02325 43.015 Tubing 2-7/8" 6.4 2.441 2.347 7680 7260 120 0.00579 172.765 Annulus 2-7/8 to 5-1/2 0.01522 65.710 Tight Hole: No information from this well may be shared with anyone outside of Evergreen Resources Inc. ) Procedure Pump ChanQe Procedure 1. MIRU EWS Rig 9619 and EWS cement unit #402. // a. Install and test BOP (pipe and blind rams). 2. POOH wI 2238' 7/8 rods. And 40N045 rotor. /'~ 3. Tag PBTD @ 2490'. Clean sand if necessary. 4. POOH wI 2238' 2-7/8 tbg and 40N045 stator. 5. TIH/2492' 2-7/8 tbg, seat nipple and tag bar. 6. TIH wI 2238' 7/8 rods w/40N006 pump. 7. Seat pump in seat nipple wI 500 psi using EWS cmt unit 402. 8. Start pump @ 150 RPM. Place on production test. /""" ) ) Current Well Stromberg #2 API 50-009-20025~O::\'= I~GI~:::: 1'1 Qtr/Qtr See 2 Twp 17N Rng 3W Size Weight Grade Thread Depth County Matanuska,Susitna State Alaska Casing 8-5/8 23 J-55 ST&C 1020 Field Pioneer Unit Country USA Casing 5-1/2 17 J-55 LT&C 2503 KB/GL 278/274 Tubing 2-7/8 6.4 J-55 8rd 2238 No. I Depth I Length I OD I ID Description ... ~ 1 2492 2 4.24 N/A Alpha Tools Midget 1110,000 psi CIBP 2 2255 11.51 2.88 N/A 40N045 pump wI torquestopper No-turn 3 2199 9 N/A N/A Perfs from 2199 - 2208,4 spf and 23 gram 4 2112 4 N/A N/A Perfs from 2112 - 2116, 4 spf and 23 gram 5 1959 5 N/A N/A Perfs from 1959 - 1964, 4 spf and 23 gram 6 1943 4 N/A N/A Perfs from 1943 - 1947 4 spf and 23 gram 7 1842 5 N/A N/A Perfs from 1842 - 1847, 4 spf and 23 gram 8 1823 4 N/A N/A Perfs from 1823 - 1826, 4 spf and 23 gram 9 1746 5 N/A N/A Perfs from 1746 - 1751,4 spf and 23 gram 10 1695 4 N/A N/A Perfs from 1695 - 1699 4 spf and 23 gram 31 Iæ 10 31 1E9 ª' IE 8 31 ~ 7 - IE 6 31 Iê 5 31 4 3& 3 2 ~s: .~...",.I!i< H~'~,"·~I! AlÌ.T ,(IJ" .,:::::--f'~ PSTD - 2490 Modified by STG 7/2/03 ) Proposed Well Stromberg #2 API 50~OH002~OO=\'=I~GI~== 1'1 Qtr/Qtr See 2 Twp 17N Rng 3W Size Weight Grade Thread Depth County Matanuska, Susitna State Alaska Casing 8-5/8 23 J-55 ST&C 1020 Field Pioneer Unit Country USA Casing 5-1/2 17 J-55 LT&C 2503 KB/G L 278/274 Tubing 2-7/8 6.4 J-55 8rd 2238 No. I Depth I Length I 00 I 10 Description ~ ... 1 2492 2 4.24 N/A Alpha Tools Midget" 1 0,000 psi CIBP 2 2255 11.51 2.88 N/A 40N024 pump wI torquestopper No-turn 3 2199 9 N/A N/A Perfs from 2199 - 2208, 4 spf and 23 gram 4 2112 4 N/A N/A Perfs from 2112 - 2116, 4 spf and 23 gram 5 1959 5 N/A N/A Perfs from 1959 - 1964, 4 spf and 23 gram 6 1943 4 N/A N/A Perfs from 1943 - 1947, 4 spf and 23 gram 7 1842 5 N/A N/A Perfs from 1842 - 1847, 4 spf and 23 gram 8 1823 4 N/A N/A Perfs from 1823 - 1826, 4 spf and 23 gram 9 1746 5 N/A N/A Perfs from 1746 - 1751,4 spf and 23 gram 10 1695 4 N/A N/A Perfs from 1695 - 1699, 4 spf and 23 gram - IE. 10 311 1E9 31 IE 8 31 7 311 6 31 5 4 3 2 .~. . ~~ ~~;·:t. ~1ti!J: ¡'"\'IO~.~ PBTD - 2490 ') ) Program Summary Pioneer Unit Cook No 1 API: 50-009-20022-00 Permit: 202-180 SW/SE of Section 30 Twp 18 North Rng 1 West Matanuska Susitna Borough, Alaska Evergreen no proposes making several pump changes in currently completed wells. Evergreen will utilize its single-double work over rig and water trucks currently residing in Wasilla. As specified in 20 MC 25.280 (b)(4), fresh water will be used to control the well. A high pressure cementing or fracturing pump will be on location to kill the well if necessary. We do not expect well control issues since this well was previously drilled with air. As specified in 20 MC 25.280 (b)(5), the pressure gradient is normal. Thus , bottom hole pressure on the bottom most interval is (2,500 ft x 0.435 psi/ft) or /' 1,085 psig. We plan on using 3,000 psi BOPE. Regulation Exceptions 20 MC 25.285: Evergreen requests that our manual BOPEs, as illustrated on the next page be acceptable for the frac and the clean-out operations. e1 f'\, é'CI~\. I '<."Co,' JUt n 9 '")('¡'n ¡ I' J.I.iL~.· i,( Street: 1075 Check Street, Suite 202 Wasilla, AK 99654 Mailing: P.O. Box 871845 Was ilia AK 99677 Tel 907-357-8130 Fax 907-357-8340 www.EvergreenGas.com ) ) BOP DETAIL FOR CLEAN-OUT OPERA nONS (AFTER FRACTURE TREA TMENT) A schematic of Evergreen's BOPE for well clean- outoperations is shown in the adjacent figure and detailed in the table below. We will utilize this set-up after the fracture treatment to retrieve (via tubing) the bridge plugs and to clean-out sand in the wellbore. Here we propose using 3,000 psi, 7-1/16 inch BOPE manually operated system. The BOP is attached to the 8-5/8" casing head which is also our spool in this operation. 8 I Strip Head I I d I 7 I d I 6 I Pipe Rams Ib Ib 5: I\) :J t: ~ r Blind Rams 1 2 5 To pummrJI= Well Head 3 4 ==KJtJ[] To Tank No Item Manufacturer Size Psi (in) Rating 1 Valve FMC or equivalent 2 3,000 2 Valve FMC or equivalent 2 3,000 3 Valve FMC or equivalent 2 3,000 4 Valve FMC or equivalent 2 3,000 5 Tbg head and spool Wellhead Inc 5-1/2 x 2-7/8 3,000 6 BOP: Blind Ram Townsend Manual Operated 7-1/16 3,000 7 BOP: Pipe Ram Townsend Manual Operated 7-1/16 3,000 8 Stripping Head High Tech Tools The blowout preventer is a Townsend (Odessa, TX) double gate with blind rams on the bottom and pipe rams on the top. This BOP is manually operated using two wheels. Above the BOP is a High Tech Tools (Aztec, NM) stripping head which functions as an annular preventer. The body is rated to 3,000 psi and the insert rubber, manufactured by Triple M (Odessa, TX), designed for 2-7/8" tubing, is pressure rated to 1,000 psi. Four manually /.. activated FMC block valves are attached to the spool - two for the kill like and the remaining two to the choke line. The kill line is attached to an Evergreen Well Service frac truck or cement truck. Three inch 15M psi treating iron and/or 3 inch 3M psi hose will be used to connect the pump to the spool. A 15M psi valve and check valve also exists at the pump truck. The choke line connects the wellhead to a 500 bbl frac tank. Two 3,000 psi block valves at the spool will be connected to two or three inch 3M pipe running to the 500 bbl frac tank. In line with the choke line are two 3M psi block valves located at least 20 feet from the wellhead. A conventional choke manifold is not specified in this procedure due to the shallow depths, lack of hydrocarbons, and due to our prior experience with this well bore. F;~ E:: (:.:~ E: ~ \/ Street: 1075 Check Street, Suite 202 Wasilla, AK 99654 Mailing: P.O. Box 871845 Wasilla AK 99677 Tel 907-357-8130 Fax 907-357-8340 'I'NNI. EvergreenGas.com JUL 0 9 2001 f\ ¡ r. ;_: t·:~· ) ,) =\I=I~'GI~==I'I RESOURCESIALASKA)COR~ I~ SlJb5Iä·.:~!}" (,,¡I Eríl,'qrt1t'.'1 ¡~t'S~',- ,'Cr.;,5. :tll: March 23, 2003 Ms. Sarah Palin Dr. Randy Rued~rich Mr. Daniel Seamount Commissioner Alaska Oil and Gas Conservation Commission 333 W. 7th Ave #100 Anchorage, Alaska, 99501-3539 RE: 10-403 - Fracture Stimulation Evergreen Gary & Jo Ann Stromberg No 2 Pioneer Unit r API: 50-009·20025·00 Permit: 202·183 NE/NE of Section 1 Twn 17 North Rng 3 West Matanuska Susitna Borough, Alaska Dear Commissioners Palin, Rued~rich and Seamount, Evergreen Resources Alaska Corporation submits the following 10-403 to hydraulically /~ fracture stimulate the subject well. We plan to commence work on this well on 2-Apr- 03. Attached is the 10403, a summary of operations, a blowout prevention sketch I used during this program, a procedure and a wellbore diagram. Thank you for your help. Please contact me if you have any questions. Sincerely, : Attachments 7,'.:> t¡::.L'] .f ~~ ~~ .~:; :'j ·t·'- '''0'' ~D r.'"":" '..T...~,;; .G'··: ~ ':,.,,,,,,,,\{..."'" ',"01-", :.-"{'" ~'".~",'·l ~ í\" I'\R \M-¡ q h '7nrn f..: J ,~" \) \..1 .) ... . r"'" . . '" ":QIì C" 9 C",·~·{ GI"\\·..'~"\",·..'''~'''¡ ^'~~\~ ;,,,;, . ~.I. ,.. . . t";.IC:\·~..ê.9'::: Street: 1075 Check Street. Suite 202 Wasllla, AK 99654 Ma~ing: P.O. Box 871845 WaSllla AK 99677 Tel 907-357-8130 Fax 907-J57-8340 WNW. Evergreef1GaS.COOl ORIG NAL ) -) wc,A- 3/7,"'/1-005 1))5' ð3/261()'~ STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION REPORT FOR SUNDRY APPROVALS 1. Type of Request Abandon 0 Suspend [J Operation Shutdown rJ Re-enter suspended well After Casing [J Repair Well [J Plugging 0 Time extension Change Approved Program [J Pull Tubing [1 Variance [] Perforate 2. Name of Operator Evergreen Resources Alaska 5. Type of Well Development !J 6. Datum elevation (DF or KB): Exploratory gJ 300 ft KB (4 ft AGL) P.O. Box 871845 Stratigraphic 0 7. Unit or Property Name: Was ilia, AK 99687 Service [] Pioneer Unit 4. Location of well at surface: NEINE of See 1 Twn 17 North Rng 3 West, Seward Meridian 8. Well number: 1386' FNL & 933 FWL OF SEC Gary & Jo Ann Stromberg No 2 At top of productive interval: Same 9. Permit number: 202-183 / 10. API Number: 50-009-20025-00 11. Field and Pool: Pioneer [j I.J Stimulate IZI / [] Other [J 3. Address: At effective depth: Same Total depth: Same 12. Present well condition summary Total depth: 2510 feet feet feet feet Plugs (measured) none Effective depth: Measured true vertical Measured true vertical Length Size 2510 Junk (measured) none Casing: Structural Conductor Surface Intermediate Production Liner Perforation depth: Cemented Meàsured Depth True vertical depth 360' 1020' 12-3/4" 8-518" 70 sx on bot & 10 sx on top 356 sx 15.8 ppg Class G, Cire to Surface 364' 1024' 2498' 5-1/2" 410 sx 13.7 ppg Class G, TOC +1-1260 ft /' 2502' Measured 2,199' - 2,208',2,112' - 2,116',1,959' -1,964',1,943' -1,941'1,842' -1,847',1,823' -1,826',1,746'- 1,751',1,695' -1,699' True vertical 2,199' - 2,208',2,112' - 2,116',1,959' -1,964',1,943' -1,947'1,842'-1,847',1,823' -1,826',1,746'- 1,751',1,695' -1,699' Tubing (size, grade, and measured depth) +1-1650 ft KB with Progressing Cavity Pump on Bottom Packers and SSSV (type and measured depth) none 13. Attachments: Description Summary of Proposal III Detailed Operations Program III BOP Sketch IZI 14. Estimated date for commencing operation 2-Apr-03 15. Status of well classification as: 16. If proposal was verbally approved OilCi Gas 1m Suspended~ Service [J Date Approved agoing is true and correct to the best of my knowledge. - Title Alaska Projects Manager Date March 23, 2003 FOR COMMISSION USE ONLY Conditions of approval: Notify Commission so representati~e may witness If 1 . Approval ~o. 3t::>.3 ~o'l5 ¡ ~w- 'Z.o AAC -¿5. 2. ic;(h) Olo;l,J 'to AA L l..S. '2- -i1 (~)) ~ €.ýy¡,..;rf- vJ~,tl ~kl ~1, .,(.(¡ph1.~ tiS. ~p ro<led - Plug integrity ':J BOP test ~ Location clearance c; Mechanical integrity test = SubsequeKtform required 10- 401 ~~o~::~~~~:ro~~~~~ommission ~ ~FIlA- ~ Commissioner Da~~,¡.,,~Z:~~~ '~ ., '.,- .",,~ ''''''~I~ _<"~ '\'l"'~"~:~ ~~' ì :."t\;C ~f!I RBDMS 8Fl ;vl~R (6 " '.','" ¡-, r¡~' ;:- ~, ,~;J \. j ORIGINAL l ¡........ I ( ···I.~...".....('l.Jr'..."i,t'.,"(.:(_'~~~:·I;.-..'\J¡on 1~1;ì~u':: '., :,.' .t~: ~ :~:c~ 1·,"."¿.:~~ ') ) =V=I~'GI~==I'I RESOURces ALASKA) CORP. A ::;l,I'~~~;1I1.-ary ,.1~ [~'C~t'F{~f.'lï rh~$lJï..It(:t~'J¡. '!I'\~ Program Summary Pioneer Unit Gary & Jo Ann Stromberg No 2 API: 50-009·20025·00 Permit: 202·183 NE/NE of Section 1 Twn 17 North Rng 3 West Matanuska. Susltna Boroughf Alaska The subject well was spud on November 14, 2002 and the rig moved off on November 17,2002. The well was drilled to 2510 ft KB and 5.50 inch casing was run to 2498 ft KB and cemented with 410 sx 13.7 ppg Class G sx of Class G Cement. Plug back total depth is 2492 ft KB. Evergreen now proposes stimulating the subject we1l via hydraulic fracture treatment. The treatment will be pumped in four separate stages down 5...1/2", 17 ppf, casing. Wireline conveyed retrievable bridge plugs will separate each stage. Shown below are the proposed perforation intervals and a summary of the designed stimulation. Proposed Perforations & Frac~ure Treatment StaRe Interval Formation Shotslft Frac Description 1 2,199' - 2,208' Tyonek 4 104,000 Ibs 20/40 proppant 2,112"-2,116' N2 Foam Fluid 1,959'· - 1,964' 72,000 Ibs 20/40 proppant 2 1,943' - 1,947' Tyonek 4 N2 Foam Fluid 3 1,842' -1,847' 64,000 Ibs 20/40 proppant 1,823'· - 1,826' Tyonek 4 N2 Foam Fluid 4 1,746' -1,751' Tyonek 4 72,000 Ibs 20/40 proppant 1,695' - 1,699' N2 Foam Fluid Following this procedure, production equipment will be set and the well will be placed on production test. . Evergreen will utilize its own international frac fleet, single-double work over rig and / water trucks currently residing in Wasilla. This same frac procedure has been done several thousand times by Evergreen in the US and abroad. As specified in 20 MC 25.280 (b)(4), fresh water will be used to control the well. A high pressure cementing or fracturing pump will be on location to kill the well if necessary. We do not expect well control issues since this well was previously drilled with air. As specified in 20 MC 25.280 (b )(5), the pressure gradient is normal. Thus bottom hole pressure on the bottom most interval is (2,500 ft x 0.435 psi/ft) or 1,085 psig. We plan on using 3,000 psi BOPE. Requlation Exceptions 20 MC 25.285: Evergreen requests that our manual BOPEs, as illustrated on the next 1 two pages be acceptable for the frac and the clean-cut operations. 20 AAC 25.287: Evergreen requests that our Fullbore lubricator and spool on top of the Demco Frae Valve is acceptable. Street 1075 Check Street, Suite 202 Wasãla, AI< 99654 Mailog: P.O. Box 871845 Wasilla AK æ£T7 Tel 907-357-8130 Fax 907-357-8340 v.ww.EvergreenGas.com J ) =\I=I~'Gll==I~1 RESOUACES A'LASKA) CORP. ...·1 Su~;>.~il'd,.:)r;.: (~I E¡,'e..~~-~eel1 r:r~.·$C,I(j"'C.(1'S. ,~('IC. BOP DETAIL FOR FRACTURE STIMULATIONS Evergreen proposes fracturing the subject well in a series of successive stimulation treatments. This method, typically referred to as "stage work", generally consists of the following steps: 1. Perforate coals; 2. Stimulate coals down casing; 3. Flow well to the pit or tank and allow the well to fill-up with sand/water so that flow stops; 4. Wireline set a retrievable bride plug to isolate the interval. 5. Repeat steps 1 through 4 until all selected coals are stimulated. Here, only a group of coals over a small interval - roughly 100 feet - is completed per stage. Each stage typically takes a few hours and this procedure is repeated until all of the targeted coals are stimulated. During stage work, two BOPE configurations are needed: one for the fracture treatment and the other for the wireline operations. Detailed below are the BOPE Evergreen plans to utilize. Evergreen is very comfortable wnh this setup. We have stimulated thousands of treatments in this manner. BLOW OUT PReVENTION EQUIPMENT FOR F~CTURING . DOWN CA$ING A schematic of Evergreen's BOPE for fracturing is shown in the adjacent figure and detailed in the table below. Here we propose using 5,000 psi rated (10,000 psi test) Size Psi No Item M.anufacturer (In) Rating 1 Valve Balon or equivalent 2 3,000 2 Plug Balon or equivalent 2 3,000 3 Wellhead/Spool Wellhead, Inc. 8-5/8 3,000 4 Casing Collar Maverick or equivalent 5-1/2 5,320 5 Frac Valve Demeo 5-1/2 5,000 6 Frac Lines FMC or equivalent 4 3,000 Demco Frac Valve that screws directly into the 5-1/2" casing short thread & coupling collar. From this valve, 15,000 psi frac treating iron is attached. Integrity of the valve is tested before each fracture treatment to 4,000 psi. BLOW OUT PREVENTION EQUIPMENT WIRELlNE OPERATIONS DURING FRAC'S After the zone has been frac'd and flowed back, a wireline set retrieveable bridge plug is set and then perforations are shot. All wireline operations are conducted under a 5-1/2" x Size Psi No Item Manufacturer (in) Ratinø 1 Valve Balon or equivalent 2 3,000 2 Plug Balon or equivalent 2 3,000 3 Wellhead/Spool Wellhead, Inc. 8-5/8 3,000 4 Casing Collar Maverick or equiv. 5-1/2 5,320 5 Frac Valve Demeo 5-1/2 5,000 6 Spool PESCO wI 2" and 1" nipple & valve 5-1/2 3,000 7 Fullbore Lubricator PESCO or equiv. 4 3,000 10ft futlbore lubricator. Between the lubricator and the Demeo Frac Valve is a spool. The spool provides access to the well case the well needs to be killed while logging. Frac pumps will be on location. We do not propose pressure testing the fullbore lubricator. Street: 1075 Q1eck Street, sune 202 WaSllla, AI< 99654 Maiing: P.O. Box 871845 Wasllla AK 99677 Tel 907-357-8130 Fax: 907-357-B34D www.EvergreenGas.com Tc 1 SM FRAC LINI!:!I  S - B;'\·~ I:J \'!5 / , 4 ,I I , 1~W~I~ p:z Casing Frac BOPE -8- .ý 7 -f- ~ 5 - þ~ ª / I[ 4 ,I 1~~1~ þz Wireline BOPE ) =\'=llGI~==I'1 A'ESOUACES (ALASKA) CORP. ~j SLlt\:",. d·~tl)' r:~1 [~·t\·~'rot'(~r1 ii1'('.$¡)u,'ì;f.~.~, ,Inl~. ) BOP DETAIL FOR CLEAN-OUT OPERA TIONS (AFTER FRACTURE TREA TMENT) A schematic of Evergreen's BOPE for well clean- out operations is shown in the adjacent figure and detailed in the table below. We will utilize this set-up after the fracture treatment to retrieve (via tubing) the bridge plugs and to clean-out sand in the wellbore. Here we propose using 3,000 psi, 7·1/16 inch BOPE manually operated system. The BOP is attached to the 8-5/8" casing head which is also our spool in this operation. ( J al Strip Head I I I I I ~ I 7 I Pipe Rams I I ~ ~ I 6 II Blind Rams I I I ~ I I ~ ~ To Pump ~ Wel~ead ~ To Tank BOPE for Frac and Well Clean-out work .\ s /,10 :J c Q. /' Evergreen uses a similar set-up in its operations in the Raton Basin where we frac over 1,200 stages per year using two full-time frac fleets. No Item 1 Valve 2 Valve 3 Valve 4 Valve 5 Tubinghead & Spool 6 BOP: Blind Ram 7 BOP: Pipe Ram 8 Stripping Head Manufacturer FMC or equivalent FMC or equivalent FMG or equivalent ,FMG or equivalent Wellhead Inc Townsend Manual Operated Townsend Manual Operated High Tech Tools Size (in) 2 2 2 2 5-1/2 x 2-7/8 7-1/16 7-1116 7-1/16 Psi RatinR ' 3.000 3,000 ~,OOO 3,000 3,000 3,000 3,000 3,000 The blowout preventer is a Townsend (Odessa, TX) double gate with blind rams on the bottom and pipe rams on the top. This BOP is manually operated using two wheels. Above the BOP is a High Tech Tools , (Aztec, NM) stripping head which functions as an annular preventer. The body is rated to 3,000 psi and the/ insert rubber, manufactured by Triple M (Odessa, TX), designed for 2-7/8" tubing, is pressure rated to 1,000 psi. Four manually activated FMC block valves are attached to the spool - two for the kill like and the remaining two to the choke line. The kill line is attached to an Evergreen Well Service frac truck or cement truck. Three inch 15M psi treating iron and/or 3 inch 3M psi hose will be used to connect the pump to the spool. A 15M psi valve and check valve also exists at the pump truck. The choke line connects the wellhead to a 500 bbl frac tank. Two 3,000 psi block valves at the spool will be connected to two or three inch 3M pipe running to the 500 bbl frac tank. In line with the choke line are two 3M psi block valves located at least 20 feet from the wellhead. A conventional choke manifold is not specified in this procedure due to the shallow depths, lack of hydrocarbons. and due to our prior experience w~h this well bore. Street 1075 Check Street, Suite 202 Wasilla, AI( 99654 Mating: P,O, Box 871845 Wasilla AI( 99677 Tel 007-357~130 Fax 907-357-8340 WNW,EvergreenGas,can ) ) =\'=I~GI~==I\I RESOURCES (ALASKA) COR~ /¡ S'.IG\:.il(j'dr}' al [~'r:~li}rt~l'r; ,g(I~[I~,lr"&~,~r.c PROPOSED PROCEDURE PIONEER UNIT GARY & Jo ANN STROMBERG No 2 API: 50-009..20025·00 PERMIT: 202·183 NE/NE OF SeCTION 1 TWN 17 NORTH RNG 3 WesT MATANUSKA SUSITNA BOROUGH, ALASKA Objective: Stimulate Tyonek coals using a four hydraulic fracture treatment using a nitrogen foam and 20/40 proppant. Set production equipment and place well on test. This is the initial completion for the subject well. Elevations: ßround: 296 ft Kelly Busing: 300 ft (4 ft AGL) Tubulars: Sµrface: 505' KB, 17.0 ppf, J-55, new Producti~n: 3735' KB, 17.0 ppf, J-55, new Tµbing: 2-7/8", 6.7 ppf, J-55, 8 rd, EUE, new History: The subject well was spud on November 14, 2002 and drilling ended on November 17, 2002 using Evergreen Rig No 1 using air. Surface and conductor holes were drilled and casings were ran and cemented. The well awaits completion and production test. Pr.par~tion: 1. AOGCC: Contact AOGCC (907-279-1433), Winton Aubert, 48 hours prior to operations. 2. Tanks: Two Rain for Rent 500 bbl clean tanks with manifolds. 3. Water: Fill both 500 bbl frae tanks with fresh water. Water sourced from City of Wasilla at 17 cents per barrel. Darwin Smith (907-355-3443 & 907- 376-3443), DJ Excavation will haul water. An equivalent 4°k KCI solution will be added to all water pumped/injected into well bore. Water needs to be heated. 4. Water Truck: Evergreen water trucks in Wasilla using DJ Excavation personnel. 5. Water Heating & Steam Services: Sub Zero Thawing, Wasilla 907-376- 1569. Bernie Shones has a 2.1 MMBTu Fire Tube Boiler with up to 20 steam lines. Will use this equipment to heat water to 80 deg F for frac. 6. Pumping Services: Evergreen Well Service International Frac Fleet 7. Workover Rig: Evergreen Well Service Rig No. 1696 8. Wireline Operations: Patterson Wiretine. Scott Allen (907-354-4529). 9. Haul Tubing: Haul at least 2498 feet of 2-7/8" tubing on location. Spills: Alaska Department of Environmental conservation has strict regulations regarding spills. All equipment will have plastic liners underneath them. Liners will also be run around wellhead. A transfer pump from the cellar to the tank will be in place at all times. Duck Ponds to be placed under all vehicles. Tiaht Hole: No information from this well may be shared with anyone outside of Evergreen Resources. Street 1075 Check Street, Suite 202 Wasilla, AK 99654 Maiing: P.O. Box 871845 Wasilla AK æ677 Tel 907-357-8130 Fax 907-357-8340 www.EvergreenGas.COIT'I =\I=I~GI~==I\I RESOURCES (ALASKA) COR~ ..¡ Sl.Jb5.ld'w-:,' ()! E¡.(I.::"r{lt'n Iqt'C....~~U.'C!"~, '(h,~ ) PROPOSED PROCEDURE (CONTINUED) GARY & Jo ANN STROMBERG No 2 Engineer: 2nd in Engineer: Tool Pusher: EWS Manager: Accom.modations: Evergreen will utilize local businesses to garner support for this project. accommodations are as follows: Evergreen Well Service: Completion Rig Crew: Patterson Wireline: Mike Polly: Per$onnel: John Tanigawa Shane Gagliardi Michael Polly Eric Vaughan 907-841-0000 907 -357 -8130 719-342..5600 303-881-3557 The hotel Big Lake Motel Houston Lodge Big Lake Motel Best Western 907-892-7976 907 -892-6808 907..892-7976 907 -373..1776 Casing and Tubing Data Strengths taken to 100% for TubinQ and 100% of Casing Weight ID Drift Collapse Burst Yield Capacity (ppf) (In) (in) (psi) (psi) (klbs) Bbls/ft 6.4 2.441 2.347 7,680 7,260 72 0.005794 17 4.893 4.767 4,910 5,320 229 0.02217 0.01521 Tubing Casing Annulus Size (in) 2-7/8 5-1/2 (above) Capacity Ftlbbl 172.6 45.093 70.685 Street 1075 Check Street, Suite 202 Wasilla, AK 99654 Mailng: P.O. Box 871845 Wasllla AI< æ677 Tel 907-357-8130 Fax 907-357-8340 www.EvergreenGas.com ) ) =\'=I~GI~==I~I AESOURCESIAlASKA) COR~ ~ì Sl.lt~;i(:f,[1'I~i.,1 [Þ'C:";!'l't';'i 8(!~'.~LlrCt,'~¡. PROPOSED PROCEDURE (CONTINUED) GARY & Jo ANN STROMBERG No 2 1. MIRU Evergreen Well Service. Install Frac Valve on 5-1/2" casing. Install Kill Line to Patterson Flow liT" or Spool (see BOPE sketch). 2. MIRU Patterson Wireline. Install full bore lubricator and spool on top of frac valve (see BOPE sketch). Perforate zones (2,199' - 2,208',2,112' - 2,116' KB, 4 spf, 19 gr premium charges) for stage 1 frac treatment. RD Patterson Wireline. 3. RU Evergreen Well Service for Staqe 1 Frac. Pressure test lines and Demeo Frae /~ Valve to 4,000 psi (see BOPE sketch). Perform mini-frac using water. Fracture stimulate interval using FRACPRO analysis to design treatment on-site. Total Proppant is 104,000 Ibs. Collect at least 15 minutes of fall-off. Bleed-off pressure via flow-line. RD Evergreen Well Service. 4. RU Patterson Wireline. Using fullbore lubricator and spool on top of Demeo Frac / Valve, set RBP 2,054 ft KB at and perforate (1,959' - 1,964', 1,943' -- 1,947' KB, 4 . spf, 19 gr charges) zones. RD Patterson Wireline. 5. RU Evergreen Well Service for Stage 2. Pressure test lines and Demco Frac Valve to 4,000 psi (see BOPE sketch). Perform mini..frac using water. Fracture stimulate interval using FRACPRO analysis to design treatment on-site. Total Propp~nt is . 72,000 Ibs. Collect at least 15 minutes of fall-off. Bleed-off pressure via flow-line. RD Evergreen Well Service. 6. RU Patterson Wireline. Set RBP at 1,896 ft KB and perforate (1,842' - 1,847', /' 1,823' - 1,826', 4 spf, 19 gr charges) zones. RD Patterson. 7. RU Evergreen Well Service for Stape 3 Frac. Pressure test lines and Demco Frac Valve to 4,000 psi (see BOPE sketch). Perform mini-frae using water. Fracture stimulate interval using FRACPRO analysis to design treatment on-site. Total Proppant is 64,000 Ibs. Collect at least 15 minutes of fall-off. Bleed-off pressure via flow-line. RD Evergreen Well Service. /' 8. RU Patterson Wireline. Set RBP at 1,786 ft KB and perforate (1,746' - 1,751', 1,695' - 1,699' KB, 4 spf, 19 gr charges) zones. RD Patterson. 9. RU Evergreen Well Service for Stage 4 Frac. Pressure test lines and Demeo Frac Valve to 4,000 psi (see BOPE sketch). Perform mini-frac using water. Fracture stimulate interval using FRACPRO analysis to design treatment on-site. Total Proppant is 72,000 Ibs. Collect at least 15 minutes of fall-off. Bleed-off pressure via flow-line. RD Evergreen Well Service. 10. RDMO Patterson Wireline & Evergreen Well Service. 11. Allow frac to heal for 3 hours. Begin to bleed-off pressure by flowing well through variable choke. 12. MIRU Evergreen Workover Rig and Evergreen Well Service Cement Truck. 13. Install and test BOP. 14. Retrieve plugs and clean out hole. Cement truck will be used to clean out hole and for well control. 15. RIH with tubing, rods, stator, pump and no-turn tool. System has bottom hole pressure gauge & cable. Set 1 joint above top perforations. Minimize use of pony rods on bottom and use no pony rods on top. 16. Install drive head and motor. Install 400 bbl tank with 110°1'0 containment berm. 17. Install gas, water, pressure metering. 18. Place on production test. Street 1075 Check Street, Suite 202 Waslfla, AK 99654 Mating: P.O. Box 871845 Waslfla AK 99577 Tel 907-357-8130 Fax 907-357-8340 www.EvergreenGas.com Street 1075 Check Street, Suite 202 Wasilla, AK 99654 Maiing: P.O. Box 871845 Wasilla AI< 99677 Tei 907-357-8130 Fax 907-357-8340 www.EvergreenGas.can 'Le ; I" '. " ì I . 'i ,"' ~ I'~':'\¡ c" ,'. "~',"l I¡,L^,'[" '¡'·i~I [j,. ~ \ ".J III k L (L. ~I '1'.t~IIÏ'~~i~,,~,,~ P8TD . 2482"ftKS,· RBP 1,786 ft KB · . · . · . · . · . · · Stage 1 (104,00020/40 Proppant) · Perforations: 2,199' - 2,208',2,112' - 2,116' ft KB · (4 spf, 19 gr charges, 0.48" hole) · RBP 2,054 ft KB Stage 2 (72,000 20/40 Proppant) Perforations: 1,959' - 1,964', 1,943' - 1,947' ft KB (4 spf, 19 gr charges, 0.48" hole) · · · · · RBP 1.896 ft KB · · Stage 3 (64,000 20/40 Proppant) · Perforations: (1,842' -1,847',1,823' -1,826' ft KB · (4 spf, 19 gr charges, 0.48" hole) · · · Stage 4 (72,000 20/40 Proppant) Perforations: 1,746' -1,751',1,695' -1,699' ft KB . · (4 spf, 19 gr charges, 0.48" hole) · · · · · · · 5-1/2" Production Casing (Surf to 2502 Ft KB) 17 ppf, K-55, ST&C, New 2002 Cement with 410 sx 13.7 ppg Class G sx 8·5/8" Surface Casing (Suñto 1024 ft KB) 8-5/8", 23 ppf, ST&C, Limited Service Cement 356 sx 15.8 ppg Class G sx Circ to Surface 12" Conductor Casing (0 to 364 ft KB) Casing Driven into ground WELLBORE DIAGRAM PIONEER UNIT GARY & Jo ANN STROMBERG No 2 API: 50-009·20025·00 PERMIT: 202-183 NE/NEoF SECTION 1 TwN 17 NORTH RNG 3 WeST MA TANUSKA SUSITNA BOROUGH, ALASKA ~1 $1.I~:':'311'tarv ':7r [~'c"lfn\eÎI i::('SCt~lt\,~I,.~, ,:~Jl; =\I=I~GI~==I'I RESOURCES ALASKA)COR~ ) ) \, 1 I AO.FRM Publisher/Original Copies: Department Fiscal, Department, Receiving 02-902 (Rev. 3/94) DIVISION APPROVAL: :R~QUISITIONEDBf \\ (/"':0. r,ðV ~1 '- ",' \¡ --1. \ . .I i -- . / , v 2 3 2 ARD 02910 3 4 FIN AMOUNT SY CC PGM LC ACCT FY.. NMR DIST LIO 03 02140100 73540 PAGE 1 OF TOTAL OF 2 PAGES ALL PAGES$ COMMENTS .:·;~~~~),~º~ÇE,IJ~J~~~~"P~~J;,: AOGCC, 333 W. 7th Ave., Suite 100 ,rf.1~~:f~U';~J!'}.r::~;~r:.?:-:.:-· :,TO':~~~!;~~~~;~~.~¡;~¡:i~@J~~~~~::;;"¡;': Anchorage, AK 99501 REF TYPE NUMBER AMOUNT DATE VEN SEE ATTACHED PUBLIC HEARING Account #STOF0330 Advertisement to be published was e-mailed D Classified DOther (Specify) \ o Display Type of Advertisement X Legal THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: (907) 793 -1 ??1 DATES ADVERTISEMENT REQUIRED: August 1 7, 2002 ~ Anchorage Daily News POBox 149001 Anchorage,AJ( 99514 DATE OF A.O. AGENCY CONTACT lody Colombie PHONE . ·Ù:;,::}~~~:~~n?~·:~~~?~Y?I,c,~:~l?~~~~~;>::~:'~ F AOGCC R 333 W 7th Ave, Ste 100 o Anchorage, AJ( 99501 M August 16, 2002 PCN AO-02314010 J NOTICE TO PUBLISHER . 1 INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO.RTIFIED AFFIDAVIT OF PUBLICATION (PART2 OF THIS FORM) WITH ATTACHED COPY OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE STATE OF ALASKA ADVERTISING ORDER ,[ :2ó2/n ADVERTISING ORDER NO. J J Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Evergreen Resources (Alaska) Corp. Pioneer Unit, Matanuska, Susitna Borough Evergreen Resources (Alaska) Corp. by . letter dated August 15, 2002, has requested an exemption from the gas detection equipment requirements of 20 AAC 25.066. . The Commission has tentatively set a public hearing on this application for September 19,2002 at 1:30 pm 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 September 3,2002. 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 September 17, 2002 except that if the Commission decides to hold a public hearing, written comments must be received no later than 9:00 am on September 19, 2002. 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 lody Colombie at 793-1221 before September 5,2002. (þ,~~. ~,tI Cammy Oechsli Taylor Chair Published Date: August 17, 2002 ADN AO# 02314010 J Anchorage Daily· News Affidavit of Publication J 1001 Northway Drive, Anchorage, AK 99508 PRICE OTHER OTHER OTHER OTHER OTHER GRAND AD# DATE ID ACCOUNT PER DAY CHARGES CHARGES #2 CHARGES #3 CHARGES #4 CHARGES #5 TOTAL 532873 08/17/2002 02314010 STOF0330 $128.78 $128.78 $0.00 $0.00 $0.00 $0.00 $0.00 $128.78 STATE OF ALASKA THIRD JUDICIAL DISTRICT ',' Lorene Solivan, being first duly sworn on oath deposes and says that she is an advertising representative of the Anchorage Daily News, a daily newspaper. 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 fonn) 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 ublication is not in excess of the rate charged private individ . '.' .STÅTE·OF"ÅLAŠkÁ>.. . . Älaska OilandG~sfórise~va~i~,~COmm¡S~I~n . Re':······Evergreen.ResourceS(Ala~k9)·torp.; . PioneerUnit,'MatanuskQ¡Susltno Borough,' ~if '.' ,I""',, ",," "..,..,"" "'" :,"" , ,::..,:, :" ",'::' .,,";:': ,,: .",. ,. :;'.< 'i':' '~':.<,:, ': t"'".,, >' ;,~',:> ','. ,"",. ·',0: ,':',.,. "" ',,' E: ve rg ree 11 . R~so IJrc~s(Ala~~ dr(:? ~'p.~Y!+ett~r 'd otE1~""A ~glJsf 15,.200~i,·.ihas: r~~ J~,s,1,E!~.· '(I ry. ,eX~JJ\P.~!()~ " fr~m '~he .·~as.·d~tectl~h ·.e9Qli~~!.~:r¡t,~~:~gl~~~;nt~.~f 20 AA . .~S.066... ...,.... ·.(·i":'" :1'):::;,:.';:.'/ "'.'.';:>.'.,"'",:,.'c:'. The: C( M'r11 SSiQn'¡lÏa~...·t~.~tdt¡v~Î~:~~f·a'~J61Iêh'~Òr~ I ing en this applicåtiôn'fô'r'SE!ptember 19, 200~;( t 1: 30 pm at the Alaska 011 and Gas Conservation Cemmission at 333 West 7th Avenue, Suitel00,A:n~ chorage, Alaska 9950,1. A person may request that the tentatively scheduled hearing be held by filing ·a.V/~Jtte~ .·~e~gest,wi r'ylhe:Co m 111.1 s~iOI1 ~el~te..~ ¡;t~9.~:~1':.~~.f):~~/;~s~t~~~~r . ~~·.~9?~:~,.......·.... ...·.··:·;:;,:,i,·: 'if a request fora 'hearing is not timelYfliéd, the Cemmission will 'consider the Issuance .of an order without a hearing. To learn If the Cemmissien will hold the public hearing, please call 793-1221. . In ". add I tió h;:¿{::'p~r~'o(¡:lTIåYsu bm It:~rlit¢~::þo~'-, ments regarding this. application to theAlaskqOll . and GasConservatien Cemmissltm .at333,\ 11e'st7ttí ' 'Avo:nuo: Suit", 100 Anchorage. Alaska 9950'1'. Writ: ten co",mel1t~ musl be rec elve-d ne laler than . : 30 pm en ~p'plo:mDe-r i7 200~ e~cepl Ihal il Ihe- Cam- n1l';,Slon ao:Clde~ Ie hold a publIC hearing, wrllTe-n comm",nls mu'O' be received rlo laler rhan 9.00 om on ~f."prE-mDer 19 2002 Subscribed and S~;'.. r t~ m1efore this date: ~1//tJ¿;;- . ': ' , ".',' ',,' ". "":, r If YOU are a person with a disability who may nee!'! a specla.1 modification In order to comment or to otte'nd the public hearing, please contact Jodv·Çe- 10rn~le at 793-1221' before SeptemberS, 2002. C:ammvOechsli Tayler Chair " . Publish: August 17, 2002 AO# 02314010 Notary Public in and for the State of Alaska. Third Division. Anchorage, Alaska ::J, L MY co~ EXPIRES: c:; 6<57é J r¡~.'lA?Á£ / 01/ \\l( (ft/tíffl. \ ~\~~~\:\[!:~~~ ~~:~OTAR~~S ~ . ~ --- .::. ...... . . --. - . ÞuB\.\C . - ~..., --Z·:1§J~ .... ~ . /fl...... ..".~ . ~ ~ ·:~-OF .. ~'~ ~//..I ...... ~\ \'\'\ /)))fm)~\\\ STATE OF ALASKA ADVERTISING ORDER . 1 NOTICE TO PUBLISHER 1 ADVERTISING ORDER NO. INVOIKsT BE IN TRIPLICATE SHOWING ADVERTISING ORDER NRRTIFIEO AO-02 31401 0 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE '.':.:... ;;·..~E~:·:~gTI~~.:~g~}~~¡~~~;~~~~~~~r::~:;: :'::' F AOGCC R 333 West 7th Avenue, Suite 100 o AuGchorage,AJ( 99501 M AGENCY CONTACT DATE OF A.O. T o Anchorage Daily News POBox 149001 Anchorage,AJ( 99514 Jody Colombie AuPUst 16, ?OO? PHOt'lE pcN"'" (907) 793 -1 ??1 DATES ADVERTISEMENT REQUIRED: August 17, 2002 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Account #STOF0330 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 2002, and thereafter for _ consecutive days, the last publication appearing on the _ day of . 2002, 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 2002, Notary public for state of My commission expires 02-901 {Rev. 3/94) Page 2 AO.FRM PUBLISHER John Katz State of Alaska Alaska Governor's Office 444 North Capitol St., NW, Ste 336 Washington, DC 20001 Alfred James 107 North Market Street, Ste 1000 Wichita, KS 67202-1822 Conoco Inc. . PO Box 1267 Ponca City, OK 74602-1267 Gregg Nady Shell E&P Company. Onshore Exploration & Development PO Box 576 Houston, TX 77001-0576 G. Scott Pfaff Aurora Gas, LLC 10333 Richmond Ave, Ste 710 Houston, TX 77042 William Holton, Jr. Marathon Oil Company Law Department 5555 San Fecipe St. Houston, TX 77056-2799 Chevron USA Alaska Division PO Box 1635 Houston, TX 77251 Chevron Chemical Company Library PO Box 2100 Houston, TX 77252-9987 James White Intrepid Prod. Co./Alaskan Crude 4614 Bohill SanAntonio, TX 78217 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 ) . Daniel Donkel 2121 North Bayshore Drive Ste 1219 Miami, FL 33137 Christine Hansen Interstate Oil & Gas Compact Comm Excutive Director PO Box 53127 Oklahoma City, OK 73152 Mir Yousufuddin US Department of Energy Energy Information Administration 1999 Bryan St., Ste 1110 Dallas, TX 75201-6801 Michael Nelson Purvin Gertz, Inc. Library 600 Travis, Ste 2150 Houston, TX 77002 G. Havran Gaffney, Cline & Associations Library 1360 Post Oak Blvd.,Ste 2500 Houston, TX 77056 T.E. Alford ExxonMobilExploration Company PO Box 4778 Houston, TX 77210-4778 W. Allen Huckabay Phillips Petroleum Company Exploration Department PO Box 1967 Houston, TX 77251 Shawn Sutherland Unocal Revenue Accounting 14141 Southwest Freeway SugarLand,TX 77478 Doug Schultze XTO Energy Inc. 3000 North Garfield, Ste 175 Midland, TX 79705 Scott Webb Ocean Energy Resources, Inc. 1670 Broadway, Ste 2800 Denver, CO 80202-4826 ~ SO Dept of Env & Natural Resources Oil and Gas Program 2050 West Main, Ste #1 Rapid City, SO 57702 Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Mary Jones XTO Energy, Inc. Cartography 810 Houston St., Ste 2000 Ft. Worth, TX 76102-6298 Paul Walker Chevron 1301 McKinney Rm 1750 Houston, TX 77010 David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 Texico Exploration & Production PO Box 36366 Houston, TX 77236 Donna Williams World Oil Statistics Editor PO Box 2608 Houston, TX 77252 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 Jerry Hodgden Hodgden Oil Company 408 18th S1. Golden, CO 80401-2433 John Levorsen 200 North 3rd St., #1202 Boise,ID 83702 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 Duane Vaagen Fairweather 715 L St., Ste 7 Anchorage, AK 99501 Steve E. Mulder Dorsey & Whitney 1031 West 4th Ave., Ste 600 Anchorage, AK 99501 Robert Mintz State of Alaska Department of Law 1031 West 4th Ave., Ste 200 Anchorage, AK 99501 Tim Ryherd State of Alaska Department of Natural Resources 550 West 7th Ave., Ste 800 Anchorage, AK 99501 Mark Wed man Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 John Harris NI Energy Development Tubular 3301 CSt., Ste 208 Anchorage, AK 99503 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 Greg Noble Bureau of Land Management Energy and Minerals 6881 Abbott Loop Rd Anchorage, AK 99507 ) . Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Thor Cutler OW-137 US EPA egion 10 1200 Sixth Ave. Seattle, WA 98101 Julie Houle State of Alaskan DNR Div of Oil & Gas, Resource Eva!. 550 West 7th Ave., Ste 800 Anchorage, AK 99501 Richard Mount State of Alaska Department of Revenue 500 West 7th Ave., Ste 500 Anchorage, AK 99501 Susan Hill State of Alaska, ADEC EH 555 Cordova St. Anchorage, AK 99501 Jim Arlington Forest Oil 310 K St., Ste 700 Anchorage, AK 99501 Mark Dalton HDR Alaska 2525 C St., Ste 305 Anchorage, AK 99503 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Judy Brady Alaska Oil & Gas Associates 121 West Fireweed Lane, Ste 207 Anchorage, AK 99503-2035 Jeff Walker US Minerals Management Service Regional Supervisor 949 East 36th Ave., Ste 308 Anchorage, AK 99508 ~ John F. Bergquist Babson and Sheppard PO Box 8279 Long Beach, CA 90808-0279 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Williams VanDyke State of Alaska Department of Natural Resources 550 West 7th Ave., Ste 800 Anchorage, AK 99501 Cammy Taylor 1333 West 11th Ave. Anchorage, AK 99501 Ed Jones Aurora Gas, LLC Vice President 1029 West 3rd Ave., Ste 220 Anchorage, AK 99501 Trustees for Alaska 1026 West 4th Ave., Ste 201 Anchorage, AK 99501-1980 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Mark Hanley Anadarko 3201 CSt, Ste 603 Anchorage, AK 99503 Arlen Ehm 2420 Foxhall Dr. Anchorage, AK 99504-3342 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Rose Ragsdale Rose Ragsdale & Associates 3320 E. 41st Ave Anchorage, AK 99508 Chuck O'Donnell Veco Alaska,lnc. 949 East 36th Ave., Ste 500 Anchorage, AK 99508 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 Perry Markley Alyeska Pipeline Service Company Oil Movements Department 1835 So. Sragaw - MS 575 Anchorage, AK 99515 Jeanne Dickey BP Exploration (Alaska), Inc. Legal Department PO Box 196612 Anchorage, AK 99518 J. Brock Riddle Marathon Oil Company Land Department PO Box 196168 Anchorage, AK 99519-6168 BP Exploration (Alaska), Inc. Land Manager PO Box 196612 Anchorage, AK 99519-6612 Shannon Donnelly Phillips Alaska, Inc. HEST -Enviromental PO Box 66 Kenai, AK 99611 Penny Vadla Box 467 Ninilchik, AK 99669 John Tanigawa Evergreen Well Service Company PO Box 871845 Wasilla, AK 99687 ) " Jim Scherr US Minerals Management Service Resource Evaluation 949 East 36th Ave., Ste 308 Anchorage, AK 99508 Richard Prentki US Minerals Management Service 949 East 36th Ave., 3rd Floor Anchorage, AK 99508 Jim Ruud Phillips Alaska, Inc. Land Department PO Box 100360 Anchorage, AK 99510 Jordan Jacobsen Alyeska Pipeline Service Company Law Department 1835 So. Bragaw Anchorage, AK 99515 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Kevin Tabler Unocal PO Box 196247 Anchorage, AK 99519-6247 Dudley Platt D.A. Platt & Associates 9852 Little Diomede Cr. Eagle River, AK 99577 Kenai Peninsula Borough Economic Development Distr PO Box 3029 Kenai, AK 99611 Claire Caldes US Fish & Wildlife Service Kenai Refuge PO Box 2139 Soldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 ~ Thomas R. Marshall, Jr. 1569 Birchwood Street Anchorage, AK 99508 Paul L. Craig Trading Bay Energy Corp 5432 East Northern Lights, Ste 610 Anchorage, AK 99508 Kristen Nelson IHS Energy PO Box 102278 Anchorage, AK 99510-2278 Robert Britch, PE Northern Consulting Group 2454 Telequana Dr. Anchorage, AK 99517 Tesoro Alaska Company PO Box 196272 Anchorage, AK 99519 Sue Miller BP Exploration (Alaska), Inc. PO Box 196612 Anchorage, AK 99519-6612 Bob Shavelson Cook Inlet Keeper PO Box 3269 Homer, AK 99603 James Gibbs PO Box 1597 Soldotna, AK 99669 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Cliff Burglin PO Box 131 Fairbanks, AK 99707 Harry Bader State of Alaska Department of Natural Resources 3700 Airport Way Fairbanks, AK 99709 North Slope Borough PO Box 69 Barrow, AK 99723 ~ Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 Senator Loren Leman State Capitol Rm 113 Juneau, AK 99801-:1182 '" Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 J =\'=I~GI~==I'I J RESOURCES (ALASKA) CORP. A Subsidiary of Evergreen Resources, Inc. RECEIVED Mr. Dan T. Seamount Commissioner Alaska Oil and Gas Conservation Commission 333 West ¡th Avenue, Suite 100 Anchorage, AK 99500 AUG 1 5 2002 Alaska Oil & Gas ConI. Commiaslon AnárMlge August 15, 2002 RE: Waiver for exception from 20AAC 25.066 Gas Detection Dear Commissioner Seamoun~, Evergreen Resources is the current operator for the Pioneer Unit, Matanuska Susitna Borough and plans to drill eight wells to test the Tyonek Coals in September 2002. In this letter, Evergreen Resources Alaska requests an exemption from 20 MC 25.066, Gas Detection for the upcoming drilling program. 20 AAC25.066 sets forth the minimum gas detection equipment for drilling and work over rigs. This portion of the regulations are included at the end of this letter. Evergreen requests a waiver from this regulation since (1) there is no H2S gas from the shallow gas formations in the Pioneer Unit and (2) due the air drilling system that we employ. To date, 12 wells have been drilled on or directly adjacent to the Pioneer Unit. None of these wells reported H2S.We therefore believe there is sufficient evidence that no H2S exists. Secondly, due to the truck mounted drilling system that Evergreen employs, sensors cannot be placed in the cellar or substructure and next to the shale shaker. Methane gas, the. primary constituent of natural gas from coal bed methane, will evolve from the air drilling process. However, these gasses are blown well away from the drill rig, out the 30 foot blooey line and are prevented from flowing up the drill pipe due to check valves (floats). We are confident we can safely drill, complete and produce coal bed methane wells in Alaska using our well-proven systems and methods discussed in earlier correspondences. This year alone, we have drilled over 40 miles of coal bed methane wells in the US, UK and Ireland with no accidents. We hope we can employ the same types of drilling measures, necessary for successful coal bed methane development, in Alaska. Thank you for considering Evergreen's request. Please contact me if you have questions. My telephone number is 907-841-0000 and my e-mail is JohnT@EvergreenGas.com Sincerely, John J Tanigawa P.O. Box 871834 Wasilla. Alaska 99687 Tel: 907-357-8130 Fax: 907-357-8340 J =\(=I~GI~==I'I J \ . RESOURCES (ALASKA) CORP. A Subsidiary of Evergreen Resources. Inc. 20 AAC 25.066 GAS DETECTION. (a) Drilling and workover rigs must meet the following minimum requirements for methane and hydrogen sulfide gas detection: (1) the methane detection system must have a minimum of three sensing points; one sensing paint must be under the substructure near the cellar, one must be over the shale shaker, and one must be above the drill rig floor near the driller's station or above the drilling platform; if the mud pits are remote from the shale shaker and enclosed, a fourth sensor must be located over the mud pits; (2) methane sensors must be placed to detect a "lighter·than-air" gas; (3) the hydrogen sulfide detection system must have a minimum of three sensing points; one sensing point must be under the substructure near the cellar, one must be near the shale shaker, and one must be above the drill rig floor near the driller's station or above the drilling platform; the commission will require additional sensors as the commission considers necessary for safety, such as at the entrance to living quarters if they are adjacent to the drill rig, or over the mud pits if they are remote from the shaker and enclosed; (4) hydrogen sulfide sensors must be placed to detect a "heavier-than-air" gas; (5) sensors must be automatic, acting independently and in parallel, and with one- minute minimum sampling intervals; (6) each detection system must include separate and distinct visual and audible alarms; the visual alarm must signal the low level gas alarm and the audible alarm the high level gas alarm; an audible alarm may have an "acknowledge" button; (7) the methane low level gas alarm must be set at not over 20 percent LEL; the high level alarm must be set at not over 40 percent LEL; (8) the hydrogen sulfide low level gas alarm must be set at 10 ppm; the high level alarm must be set at not over 20 ppm; (9) each alarm must be automatic and must be visible and audible from the driller's or operators station; the hydrogen sulfide alarm must be audible throughout the drilling location, including the camp buildings. (b) A gas detection system that continuously performs self-checking or diagnostics must be function...tested when a BOP stack is initially installed after a drill rig is set up, when a commission·witnessed BOP test occurs, and no less frequently than once every six months. Other gas detection systems must be calibrated and tested when· a BOP stack is initially installed after a drill rig is set up, when a commission-witnessed BOP test occurs, and no less frequently than once every 30 days. The operator shall maintain at the drill rig an accessible record of gas detection system tests and calibrations. (c) A failure in a gas detection system must be reported to the commission within 24 hours after the failure. The commission will, in its discretion, require well operations to be discontinued if a gas detection system fails. History - Eff. 11fl/99, Register 152 Authority - AS 31.05.030 P.O. Box 871834 Wasì1la. Alaska 99687 Te!: 907-357-8130 Fax: 907-357-8340 =\'=I~GI~==I· ~ ) RESOURCES (ALASKA) CORP. ' A Subsidiary of Evergreen Resources, Inc. ) Friday, December 06, 2002 Mr. Winton Aubert Petroleum Engineer Alaska Oil and Gas Conservation Commission 333 West 7th, Suite 100 Anchorage, AK 99501 RE: Sundry Notice: Operational Shutdown Evergreen Resources Alaska Corp Gary & Jo Ann Stromberg 2 API No: 50-009-20025-00 Permit No: 202-183 NE/NE Section 1 Twn 17 North Rng 3 West, Seward Meridian Pioneer Unit, Matanuska-Susitna Borough Dear Mr. Aubert, As requested, attached is a sundry notice for the subject well and a well bore diagram. This well was spud on November 14, 2002 and was finished drilling on November 17, 2002. Currently the well is awaiting a directional surVey and a completion program. Evergreen requests an "Operational Shutdown" for the holidays. We expect to begin fracture stimulation, using our....9Wrí equipment, during the first quarter ../ 2003. As discussed, all information regarding this well will be submitted after the well is completed. Thank you for your time and consideration. Please call me if you have any questions: office: 907-357-8130 & cell: 907-841-0000. Sincerely, EVERGREEN RESOURCES (ALASKA) CORP RECEIVED' DEC 0 9 2002 Alaska Oil & Gas Cons. Commission ¡~nchorage PO. Box 871845 . Wasilla, AK 99687 · TEL 907.357.8130 · FAX 907.357.8340 lA-i 4/\-· l ¿ (cl /0 2- ) ) 1A-' /AJ 1 Z-/1/o?/ ., STATE OF ALASKA .... ..~. ALASKA' Oil AND GAS CONSERVATION COMMIS~ION t>I ~ I~) ~ REPORT FOR SUNDRY APPROVALS Cor Iyftj r " 1. Type of Request Abandon [J Suspend !J After Casing [J Repair Well [] Change Approved Program CJ Pull Tubing [] 2. Name of Operator Evergreen Resources Alaska 5. Type of Well Operation Shutdown Plugging Variance Development Cl Exploratory I&] 3. Address: P.O. Box 871845 Stratigraphic r; Was ilia, AK 99687 Service CJ 4. Location of well at surface: NE/NE of Sec 1 Twn 17 North Rng 3 West, Seward Meridian 1386' FNL & 933 FWL OF SEC At top of productive interval: At effective depth: Total depth: 12. Present well condition summary Total depth: Measured true vertical Measured true vertical Size 2510 feet feet 2510 feet feet Effective depth: Casing: Length Structural Conductor 360' Surface 1020' Intermediate Production 2498' Liner Perforation depth: Measured Cemented 12-3/4" 8-518" 70 sx on bot & 10 sx on top 356 sx 15.8 ppg Class G, Circ to Surface 5-1/2" 410 sx 13.7 ppg Class G, TOC +/-1260 ft none True vertical none Tubing (size, grade, and measured depth) none Packers and SSSV (type and measured depth) none 13. Attachments: Description Summary of Proposal 0 Detailed Operations Program 15. Status of well classification as: Location clearance 0 Mechanical integrity test 0 Subsequent fqrm required 10- '-/0 ~ ORIGiNAL SIGNED BY to f'~.<) lz.t,v'l ~~~Ovt-S > M L. BU' Commissioner Date / i ~ ¿?, {) Z- SUBMI?íÑ T ¡PLICATE 14. Estimated date for commencing operation 16. If proposal was verbally approved OilD Name of approver Date Approved 17. I hereb~th~<;;Oing is. true and correct to the best of my knowledge. Signed ~ ~" Title Alaska Projects Manager FOR COMMISSION USE ONLY Conditions of approval: Notify Commission so representative may witness Plug integrity 0 BOP test 0 Approved by order of the Commission Form 10-403 Rev 06/15/88 :~ B 0 M 5 B F l I&] Re-enter suspended well [J CJ Time extension [] Stimulate [J [J Perforate [] Other [] 6. Datum elevation (OF or KB): 300 ft KB (4 ft AGL) 7. Unit or Property Name: Pioneer Unit 8. Well number: Gary & Jo Ann Stromberg No 2 9. Permit number: 202-183 /' 10. API Number: 50-009-20025-00 11. Field and Pool: Pioneer Plugs (measured) none Junk (measured) none Measured Depth True vertical depth 364' 1024' / 2502' RECEIVED DEC 092002 Alaska Oil & Gas Gons. Commission Anchorage BOP Sketch 0 Gas 00 Suspended 0 Service 0 Date 12/6/02 Approval No. .3¿ï.~:¿ - 3{.:- /' DEC I ¡ l¡ ,) ') Well Bore Diagram Gary & Jo Ann Stromberg No 2 Evergreen Resources Alaska Pioneer Unit NE/NE of Section 1 Twn 17 North Rng 3 West, Seward Meridian , ,'t"o" Conductor Casing: 364 ft KB 12-3/4", heavy wall, welded connection Cemented with 70 sx on bot & 10 sx on top 364 ft KB 1024 ft Suñace Casing 1024 ft KB 8-5/8", 23 ppf, J-55, ST&C Cemented with 356 sx 15.8 ppg Class G Circ to Surface Production Casing 2502 ft KB 5-1/2", 17 ppf, J-55, ST&C Cemented with 410 sx 13.7 ppg Class G TOC +/-1260 ft / . . 2510 ft KB PBTD 2492 ft KB Cement in Csg 2492 ft KB I r " II ~1J~VŒ rnJ~ ) 1M ~ m ((ùnnfÆ'" I,Ll \ I 'I L1 \, '\\, I' ¡, \ 'lJ , U-û IF\..\ ® L1 Û 1.[1.£ ') I AT ASKA OIL AND GAS CONSERVATION COMMISSION John Tanigawa Alaska Projects Manager Evergreen Resources (Alaska) Corporation PO Box 871845 Wasilla AK 99687 / / / TONY KNOWLES, GOVERNOR 333 w. TH AVENUE, SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Re: Pioneer Unit Gary & Jo Ann Stromberg #2 (Revised) Evergreen Resources (Alaska) Corporation Permit No: 202-183 Surface Location: 1386' FNL, 933' FWL, Sec. 1, T17N,R3W, SM Bottomhole Location: 1386' FNL, 933' FWL, Sec. 1, TI7N, R3W, SM Dear Mr. Tanigawa: Enclosed is the approved application for permit to drill the above referenced exploration well, to expand total depth of Gary & Jo Ann Stromberg #2 by 900 feet and the surface casing by 700 feet. The permit to drill does not exempt you from obtaining additional permits or approvals required by law from other governmental agencies, and does not authorize conducting drilling operations until all other required permits and approvals have been issued. In addition, the Commission reserves the right to withdraw the permit in the event it was erroneously issued. A weekly status report is required from the time the well is spudded until it is suspended or plugged and abandoned. The report should be a generalized synopsis of the week's activities and is exclusively for the Commission's internal use. All dry ditch sample sets submitted to the Commission must be in no greater than 30' sample intervals from below the permafrost or from where samples are first caught and 10' sample intervals through target zones. Operations must be conducted in accordance with AS 31.05 and Title 20, Chapter 25 of the Alaska Administrative Code unless the Commission specifically authorizes a variance. Failure to comply with an applicable provision of AS 31.05, Title 20, Chapter 25 of the Alaska Administrative Code, or a Commission order, or the terms and conditions of this permit may result in the revocation or suspension of the permit. Please provide at least twenty- four (24) hours notice for a representative of the Commission to witness any required test. Contact the Commission's North Slope petroleum field inspector at 659-3607 (pager). Sincerely, ~~/~ Michael L. Bill Commissioner BY ORDER OF THE COMMISSION DATED this ¡J"Cday of November, 2002 cc: Department ofFish & Game, Habitat Section wlo encl. Department of Environmental Conservation wlo encl. ) ) Waivers for the following regulations are hereby granted for Gary & Jo Ann Stromberg #2 (Permit No. 202-183): 1. 20 AAC 25.030 (d) (2), requiring conductor casing to be cemented to surface; 2. 20 AAC 25.033 (b), requiring drilling fluid of sufficient density fot overbalance; 3. 20 AAC 25.035, blowout prevention equipment requirements; 4. 20 AAC 25.050 (a) (2), requiring well bore surveys for each 500 feet of well depth; 5. 20 AAC 25.061 (a), requiring seismic surveys of near surface strata; and 6. 20 AAC 25.066, requiring gas detection on drilling rigs. '\ STATE OF ALASKA ALASKA ,..AL AND GAS CONSERVATION CO. PERMIT TO DRILL 20 AAC 25.005 [ ] Service [ ] Development Gas [ ] Single Zone [X] Exploratory [] Stratigraphic Test [ ] Development Oil 5. Datum Elevation (OF or KB) 10. Field and Pool DF 3' AGL 6. Property Designation Private 7. Unit or Property Name Pioneer Unit 8. Well Number Gary & Jo Ann Stromberg #2 9. Approximate spud date 11/14/2002 14. Number of acres in property 15. Proposed depth (MD and TVD) 148 3,900' MD, TVD 17. Anticipated pressure {see 20 MC 25.035 (e) (2)} Maximum surface 2027 psig , At total depth (TVD) 1 a. Type of work [X] Drill [] Redrill 1 b. Type of well [ ] Re-Entry [ ] Deepen 2. Name of Operator Evergreen Resources (Alaska) Corporation 3. Address P.O. Box 871845, Wasilla, AK 99687 4. Location of well at surface 1386' FNL, 933' FWL, Sec. 1, T17N, R3W, SM At top of productive interval Same At total depth Same 12. Distance to nearest property line 327 ft (State of AK) 16. To be completed for deviated wells Kick Off Depth N/A 18. Casing Program Size Casing 12.25 8.625 5.5 'V-iGA- u I 1510'- ¡64.. (....ß nl I r/o 1- )ISSION bIT} J) / ¡JI() ..( l<ëVl$/tPA/ - [ ] Multiple Zone Pioneer 11. Type Bond (See 20 MC 25.025) Number RLB0004711 Amount $200M 113. Distance to nearest well 18,180 ft (BL T#1) Maximum Hole Angle vertical Hole 13 11 7.875 Specifications Grade Coupling K-55 Welded K-55 STC K-55 STC Length 225 1100 3900 Weight 48 24 17 19. To be completed for Redrill, Re-entry, and Deepen Operations. Present well condition summary Total depth: measured true vertical Effective depth: measured true vertical feet feet feet feet Casing Length Structural Conductor Surface Intermediate Production Liner Perforation depth: measured true vertical 1600 psig Setting Depth Top Bottom MD TVD MD TVD 3 3 225. 225 3 3 1100 /' 1100 3 3 3900 3900 Quantity of Cement (include stage data) 47 sx. If necessary, pour add'l cement at surface 407 sx. Circulate to Surface 671 sx. Circulated to surface / Plugs (measured) Junk (measured) Size Cemented MD TVD RE€EIVED NOV 1 2' 2002 AlasKa 011,& Gas Gons. COmmIsSIon Anèhorage 20. Attachments [X] Filing Fee [X] Property Plat [X] BOP Sketch [X] Diverter Sketch [X] Drilling Program [X] Drilling Fluid Program [ ] Time vs Depth Plot [] Refraction Analysis [ ] Seabed Report [ ] 20AAC25.050 Req. Contact Engineer Name/Nu er: John Tanigawa (907) 841-0000 Prepared By Name/Number: John Tanigawa (907) 841-0000 going is true and correct to the best of my knowledge Alaska Projects Manager Commission Use Only IAPI Number ,,~? C- A~roV'31 Date I See cover letter .q-) - c:rÇi - ~ - é::X::::> ' It) o ':A for other requirements Samples Required: [ ] Yes JliNo MLd Log Required [ ] Yes IxLNo Hydrogen Sulfide Measures: [ ] Yes þ<!No Directional Survey Req'd ~ Yes [ ] No Required Working Pressure for ~OPE: [] 2M, [] 3ry1, [} 5~, . [ ] 10M, [] 15~ Other: fil ( e>r 1/naJ ¡x"rfll;f- .:!sf¡rukfztnt"" W If ~þ ORIGINAL SIGNED BY . . by order o.f . M L. BüI Commissioner the commiSSion Title Approved By Form 10-401 Rev. 12-01-85 Date It!I¿!Z06-¿, Date ! /1;8'), 7~ Submiií'~ Triplicate \ J Alaska Oil and Gas Conservation Commission 333 vvest 7th Avenue #100 AnchorageAK9950t. ···:?¡:\:(i:··,;t.:r~;~}:t:'\;¡~;i;:~':ii::!;¡~(:::\\:;. Accoun1 ') "" ....... . ", h.uo::rnia Natic;mal Bank ,,\\\''i\\\,':\::\s;;':'E:'\/erg,~~bn\,;;m:B'S'''~"I':\I'rC'e' S·· \:'_\\":'.,:":\:",.".\,\~,,:,,..,,:,,'\~\~,\\. ' J'\~;\~' \ :\,\\ffl~ ,\~,\;~;'~'\\,,, \\'i:(\~,~, 1401 17th' Street Suite ·1200 ::,::'):'}:i Denver CO 80202 "1,,1 '.\\\\\"\'\\ '\.::,:: ;'i,\·'·~ \~,\ \\1\,.:'.\:) qheck No Check Date 11/05/2002 Check Amount One Hundred Dollars and Zero Cents II-DO? '70000 '78"- I: 51.. 202... ? 01.. II- ^PLEASE DETACH AT PERFORATION ABOVE^ ^PLEASE DETACH AT PERFORATION ABOVE^ Evergreen Resources (Alaska) Corp 1401 17th Street Suite hoo Denver CO 80202 PECEIVE) ~ov 1 2' 2002 Þ.1~~0f.,& Gu_. "","""'-1_ Anófìo1aøø U)ßIIU!OiH1lU I 009195 I ~ Vendor Check Date: 11/05/2002 Check Amount ~ I 100.00 I =\'=I~GI~==I'I '} RESOURCES (ALASKA) CORP. A Subsidiary of Evergreen Resources, Inc. '} November 12, 2002 Ms. Cammy Oechsli-Taylor, Chair Alaska Oil and Gas Conservation Commission 333 West 7th Ave., Suite 100 Anchorage, Alaska 99501 RE: Revised APD - Increase TD from 2,999 to 3,900 ft KB Gary & Jo Ann Stromberg 2 Twn 17 North Rng 3 West Seward Meridian Pioneer Unit Matanuska Susitna Borough Dear Commissioner Taylor, Evergreen Resources Alaska requests permission to drill an additional 900 feet on the subject well evaluate the Tyonek coals and sandstones. Since the additional depth requested is beyond 500 feet, please find the attached APD and a check for $100.00. In addition, the attached APD also requests that we deepen the surface casing~'" from 400 feet to 1,100 feet. We make this request due to our drilling experience on the Cornhusker#4, drilled this past weekend. In this well, several sloughing zones from 730 ft to 880 ft KB prohibited us from reaching our proposed total depth. By isolating these sloughing zones, we hope to reach our proposed TO. Of the four wells drilled to date, no wells have exhibited well control issues. Thank you for your assistance. I appreciate the help you and your staff have given our company. Sincerely, EVERGREEN RESOURCES (ALASKA) CORP John J. Tanigawa Alaska Projects Manager RECEIVED NOV 1 2 2002 AlasKa 011& Gas Gons. Commission Anchorage PO. Box 871845 . Wasilla, AK 99687 . TEL 907.357.8130 . FAX 907.357.8340 FW: WeltLocation_Evergreen.xls ") ) Subject: FW: Well_Location_Evergreen.xls Date: Fri, 11 Oct 2002 11 :40:54 -0800 From: "John Tanigawa" <JohnT@EvergreenGas.com> To: <steve _ davies@admin.state.aleus> Steve, The original file had wellnames that were incorrect. Here is the correct file. Thank you. Have a great weekend. John Tanigawa 907-841-0000 -----Original Message----- From: Enric Fernandez [mailto:efernandez@lynxalaska.com] Sent: Thursday, October 10, 2002 3:31 PM To: John J. Tanigawa (E-mail) Subject: Well_Location_Evergreen.xls John, This is the updated file with the name swap! Enrique Fernandez Information Technology and GIS Director Lynx Enterprises, Inc. 1029 W. 3rd Ave, Ste. 400 Anchorage, AK 99501 907-277-4611 efernandez@lynxalaska.com The information contained in this communication is confidential and privileged proprietary information intended only for the individual or entity to whom it is addressed. Any unauthorized use, distribution, copying, or disclosure of this communication is prohibited. If you have received this communication in error, please contact the sender immediately «Well_Location_Evergreen.xls» t"",_..w"'''~'''''"''"""~'''w.~,w.._",._w"'''w_"",,_,,,,,''"''_.~"..__".""",,~___._~.~,,w,,_~__,,_"___w._ ...."'''___:::,,_'"._~_W,~"_..,,''''w_,_._'"."''',,.__'.'".::'M''_'_"..__..WM"~""__~W_W"_'____} ~--»:~.U·""""~1i'>UII,·v"'·n'¡WI."'X»!-'I!.~W1-IW.\Io'/.-i:.i~·>!-^t·XW"l'¥'H~"WII!:~ir'_"''''''IY(·If.·''''''')'~~'W-:~:lIIm-''''''(''''''II''·\I!~:lImtX~·'''''··''i'I.''''__~I4WYII\!~Y~&~Y.+'.{DWj ,..·.......·"........:I4I\'...mHm:~':I\"!1HljlB"......."V'__~:t')'-'¡.!-'l¡WnOv"'·..,'11,(liI:t.I:Ha!lW'''·'II_I.:~ ¡ ; Name: Well_Location_Evergreen.xls ! ~ Well Location Evergreen.xls" Type: Microsoft Excel Worksheet (application/vnd.ms-excel)! . .",,,,, ,,,,,,..... ,.,...... ..., ."""..."..."'.".....""",...,,.........,.~.,,' ,..."....... ...T...'~..... .......",,'" ! ~,~,~~~~~,~..: ...~,?:~,~~4....~,.~"T'.. . .~...,,~. ...,..,,,. ......,...""""'~,,.."'. ... .... ..,.,,,,,,.......,,,,.,,.,,,,,, . ....... ..",..... AREA Pilot 1 Pilot 1 Pilot 1 Pilot 1 Pilot 2 Pilot 2 Pilot 2 Pilot 2 Pilot 3 Pilot 3 Pilot 3 Pilot 3 ) . ,/ NAME D.L.SMITH #1 GARY & JOANN STROMBERG #2 CORNHUSKER #4 ROBERT SMITH #3 COOK #1 LOWELL #2 BERING #3 BARANOF #4 TYONEK #1 KENAI #2 ILlAMNA #3 NANWALEK #4 EL V FT LEGALDESC 274.4 Located 3293' north of the south line and 293' from the west line of section 1 T17N R3W Seward meridian. 296.0 Located 1386' north of the south line and 933' from the west line of section 1 T17N R3W Seward meridian. 249.8 Located 3272' north of the south line and 606' from the east line of section 2 T17N R3W Seward meridian. 265.3 Located 2426' north of the south line and 141' from the east line of section 2 T17N R3W Seward meridian. 408.8 Located 991' north of the south line and 888' from the east line of section 30 T18N R1W Seward meridian. 399.9 Located 967' north of the south line and 1329' from the east line of section 30 T18N R1W Seward meridian. 449.0 Located 1523' north of the south line and 471' from the east line of section 30 T18N R1W Seward meridian. 403.6 Located 504' north of the south line and 423' from the east line of section 30 T18N R1 W Seward meridian. 417.4 Located 301' north of the south line and 1841' from the west line of section 20 T18N R1 W Seward meridian. 418.9 Located 815' north of the south line and 1832' from the west line of section 20 T18N R1 W Seward meridian. 429.3 Located 236' north of the north line and 2403' from the west line of section 29 T18N R1 W Seward meridian. 414.7 Located 353' north of the north line and 1528' from the west line of section 29 T18N R1W Seward meridian. ASP27Z4N ASP27Z4E 2774923.09356000000 543786.35874200000 2775528.70150000000 544423.26626200000 2774899.30194000000 542887.46491700000 2774054.90335000000 543355.95720500000 2783408.27296000000 584593.04550000000 2783381.99302000000 584152.01484300000 2783942.33402000000 585004.69554800000 2782923.44787000000 585062.93452400000 2788017.16180000000 587274.33011000000 2788531.16269000000 587261.14713400000 2787480.78035000000 587841.89235100000 2787361.90624000000 586968.42649400000 DD27N DD27E 61.59466451260 -149.74861231100 61.59631427130 -149.74494210500 61.59460882660 -149.75377352900 61.59229425450 -149.75110236500 61.61724205120 -149.51397565500 61.61717914890 -149.51651058400 61.61869441150 -149.51158763300 61.61590632030 -149.51129695300 61.62979282080 -149.49836720300 61.63119900780 -149.49842021600 61.62831369770 -149.49512903800 61.62800698160 -149.50015429700 Evergreen Well Locations NAD 27, AK Zone 4 ) ) Subject: Evergreen Well Locations NAD 27, AK Zone 4 Date: Thu, 10 Oct 2002 11 :14:27 -0800 From: "John Tanigawa" <JohnT@EvergreenGas.com> To: <steve _ davies@admin.state.ak.us> Steve, I apologize that these have taken so long. Here are the coordinates. >From now on, we will submit all coordinates in NAD 27. Please contact me if you have futher questions. Thank you. John Tanigawa 907-841-0000 I ,. ".. ~,~""~h,,""""'J""""'~"''''n.''''''mm'..,_'¡. mu__.__",~·,.""""""~",.''>NoY"",^"NN.'N''''''W'',<'''~,,,"~'''''''''o'hY-N'''V''''''''''''''J'1'·''''''V'·''''IM'tX.............'N,o)'"'«(,"^'.......;.:-:>'...'('(...'N·'N·""'...'-W...··#'w-"..........~~.,......·WNN'""".........~VJo^i)'.v..."..._·"""")'r1ltL·~'^""'·'^"'~·,....~'JN.'^"'.'.........y.'^"'........'N"'...'N~......"""·"""...·..v........,w·"""V'"'..."""""y·....,Y"·.."'n...f''oYMV'I0'..........................~,... i i N ame: Well Location Evergreen.xIs : i ~Well Location Evergreen.xIs! Type: Micr~soft Exccl Worksheet (appIication/vnd.ms-exceI), ,^'o'''_'._''''"'"'''_''''''''''''''',",,,,,,,,~o,w,w,w,,~L~~~"~~~~~~~N:~~~~~"?~w",,,=,,",,,~__ww,_w,,_w,,,,w""~''''''='''''''''N'"_"w._,_"ww.'W'=""'_WN_W'~'''_'''''' ~~!Æ~E ~ ') } !Æ:!Æ~:«!Æ ) I I...:::..J TONY KNOWLES, GOVERNOR ALASKA OIL AND GAS CONSERVATION COMMISSION John Tanigawa Alaska Projects Manager Evergreen Resources (Alaska) Corporation PO Box 871845 Wasilla AK 99687 333 W. 7TH AVENUE, SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Re: Pioneer Unit Gary & Jo Ann Stromberg #2 Evergreen Resources (Alaska) Corporation Pennit No: 202-183 Surface Location: 1386' FNL, 933' FWL, Sec. 1, TI7N, R3W, SM Bottomhole Location: 1386' FNL, 933' FWL, Sec. 1, TI7N, R3W, SM Dear Mr. Tanigawa: Enclosed is the approved application for permit to drill the above referenced exploration well. The pennit to drill does not exempt you from obtaining additional permits or approvals required by law from other governmental agencies, and does not authorize conducting drilling operations until all other required permits and approvals have been issued. In addition, the Commission reserves the right to withdraw the permit in the event it was erroneously issued. A weekly status report is required from the time the well is spudded until it is su.spended or plugged and abandoned. The report should be a generalized synopsis of the week's activities and is exclusively for the Commission's internal use. All dry ditch sample sets submitted to the Commission must be in no greater than 30' sample intervals from below the permafrost or from where samples are first caught and 10' sample intervals through target zones. The pennit is approved subject to full compliance with 20 AAC25.055. Approval to perforate and produce is contingent upon issuance of a conservation order approving a spacing exception. Evergreen Resources (Alaska) Corporation assumes the liability of any protest to the spacing exception that may occur. Operations must be conducted in accordance with AS 31.05 and Title 20, Chapter 25 of the Alaska Administrative Code unless the Commission specifically authorizes a variance. Failure to comply with an applicable provision of AS 31.05, Title 20, Chapter 25 of the Alaska Administrative Code, or a Commission order, or the terms and conditions of this permit may result in the revocation or suspension of the permit. Please provide at least twenty- four (24) hours notice for a representative of the Commission to witness any required test. Contact the Commission's North Slope petroleum field inspector at 659-3607 (pager). BY ORDER QVHE COMMISSION DA TED this.M! day of September, 2002 cc: Department ofFish & Game, Habitat Section w/o encl. Department of Environmental Conservation wlo encl. ') ) Waivers for the following regulations are hereby granted for Gary & Jo Ann Stromberg #2 (Permit No. 202-183): 1. 20 AAC 25.030 (d) (2), requiring conductor casing to be cemented to surface; 2. 20 AAC 25.033 (b), requiring drilling fluid of sufficient density for overbalance; 3. 20 AAC 25.035, blowout prevention equipment requirements; 4. 20 AAC 25.050 (a) (2), requiring well bore surveys for each 500 feet of well depth; 5. 20 AAC 25.061 (a), requiring seismic surveys of near surface strata; and 6. 20 AAC 25.066, requiring gas detection on drilling rigs. 113. Distance to nearest well . 18,180 ft (BL T#1) ) STATE OF ALASKA AND GAS CONSERVATION COM . PERMIT TO DRILL 20 AAC 25.005 [ ] Service [ ] Development Gas [ ] Single Lone [ X] Exploratory [. ] Stratigraphic Test [ ] Development Oil 5. Datum t:levation (DI" or KB) 10. I-Ield and Pool DF 3' AGL 6. Property uesignation Private 7. Unit or Property Name Pioneer Unit 8. Well Number Gary & Jo Ann Stromberg #2 9. Approximate spud date 9/28/02 14. Number of acres in property 15. Proposed depth (MD and TVD) 148 2,999' MD, TVD 17. Anticipated pressure {see 20 MC 25.035 (e) (2)} Maximum surface 1559 pslg, At total depth (TVD) Setting Depth Top Bottom MD TVD MD TVD 3 3 225225 3 3 400 400 3 3 2999 2999 l.LL (~,4- f I s /0 ''"- " ~ '1("(~ pSI ON ALASKA f 1 a. T, ype of work [X] Drill [] Red rill 11 b. I ype of well [ ] Re-Entry [ ] Deepen 2. Name of Operator ',. . Evergreen Resources (Alaska) Corporation 3. Address . P.O. Box 871845, Was ilia, AK 99687 4. Location of well at surface 1386' FNL, 933' FWL, Sec. 1, T17N, R3W, SM At top of productive interval Same At total depth Same 12. Distance to nearest property line 327 ft (State of AK) 16. To be completed for deviated wells Kick Off Depth N/ A 18. Casing Program Size Casing 12.25 8.625 5.'5 [ ] Multiple Lone Pioneer 11. Type Bond (See 20 MC 25.025) Number RLB0004711 Amount $200M Maximum Hole Angle vertical 1230 psig Hole 13 11 7.875 Weight 48 24 17 Specifications Grade Coupling K-55 Welded K~55 STC K-55 STC LenQth 225 400 2999 Quantity of Cement (include stage data) 47 sx. If necessary, pour add'i cement at surface 148 sx~ Circulélte to Suìfacé . . , 535 sX. Circulated to surface 19. To be completed for'Redrill, Re-entry, and Deepen Operations: Present well condition summary Total depth: measured true vertical Effective depth: measured true vertical feet feet feet feet Plugs (measured) Junk (measured) Casing Length Size Cemented MD TVD Structural Conductor Surface Intermediate Production Liner Perforation depth: measured true vertical "I. <,~\,J<~,~ÙLI~~"j,,~»~~,~: [X] Filing Fee [X] Property Plat [X] BOP Sketch [X] Diverter Sketch [X] Drilling Program [X] Drilling Fluid Program [ ] Time vs Depth Plot [] Refraction Analysis [ ] Seabed Report [ ] 20AAC25.050 Req. Contact Engineer Name/Number; J n Tanigawa (907) 841-0000 Prepared By Name/Number: John Tanigawa (907) 841-0000 s true and correct to the best of my knowledge 't ~-Ø Title Alaska Projects Manager ~ ' Commission Use Only permi~~z.. _ i g3 I Awm!:eá:5r - 2C:DZS-OQ Conditions of Approval: Samples Required: [ ] Yes Þ<J No Hydrogen Sulfide Measures: [ ] Yes P(No QRIGINAL SIGNED BY Required Working Pressure for BOPE: [] 2M, [] 3M, D Taylor SeamQunt Other: 20. Attachments Date ~~a:J?.. ArPr~al Date I See cover letter q /0:;2..... for other requirements ud Log Required [ ]yes þ(No Directional Survey Req'd b(Yes [ ] No [ ] 5M, [] 10M, [] 15M Approved By Form 10-401 Rev. 12-01-85 Commissioner by order of the commission Date 9~rIo2- SUbr¡{¡{ ~ ~Plicate " í ') ) =\'=I~GI~=='" RESOURCES (ALASKA) CORP. A 5¡¡1I('i!('illf,V Of E\lliIl' J'fflm1 R_;,~(JiI""(/~, ¡"~', Permit To Drill Additional Information 20 AAC 25.005 (C 1) $100 FEE Check attached to application 20 AAC 25.005(C 2) PLAT IDENTIFYING PROPERTY AND OWNERS The mineral interest ownership map and the survey plat are shown in Figures 1 and 2 respectively. Figure 1 shows the subject well within Pilot Number 1. It also shows the mineral interest owners including a 1,500 foot radius around each well. 2 v .. 1,500 ft radius 1,500 ft radius 1 State of Alaska (Evergreen) State of Alas (Evergreen 1,500 ft raCius Figure 1 Mineral Ownership Map and 1,500 foot radius around each well in Pilot 1 Coordinates of the location at surface, top of each formation, at total depth Surface Top Tyonek Total Depth Hole Locations 1386' FNL & 933 FWL OF SEC 1 Twn 17 North Rng 3 West 1386' FNL & 933 FWL OF SEC 1 Twn 17 North Rng 3 West 1386' FNL & 933 FWL OF SEC 1 Twn 17 North Rng 3 West (a) Coordinates in state plane coordinates Surface Top Tyonek Total Depth Hole Locations North 2773758 ft & East 1683330 ft ASP Zone 4 Nad 83 North 2773758 ft & East 1683330 ft ASP Zone 4 Nad 83 North 2773758 ft & East 1683330 ft ASP Zone 4 Nad 83 APPLICATION FOR PERMIT TO DRILL Gary & Jo Ann Stromberg 2 Pilot 1 =\I=I~GI~==N RESOURCES (ALASKA) CORP. A SIJb!l.idil!l'l of E\lt\'Il\~I"I.'OIl R(IMu/\;:t7S, Inc. ) NOTES: 1. COORDINATES SHOWN ARE NAD83 ALASKA STATE PLANE ZONE 4. 2. GEOGRAPHIC COORDINATES ARE NAD 83. 3. ALL DISTANCES ARE GROUND IN U.S. SURVEY FEET. 4. VERTICAL DATUM IS M.S.L. NGVD 1929. BASED ON BENCHMARK "L103" Gary & Joann Stromberg #2 LOCATED 1386' FROM THE NORTH LINE OF SECTION 1 AND 933' FROM THE WEST LINE OF SECTION 1 T 17 N, R 3 W, SEWARD MERIDIAN AT LAT. 61·35'44.272"N LONG. 149"44'50.919"W ASP ZONE 4 N-2775232.300 E=1684397.552 (NAD 83) GROUND ELEVATION = 296.0' 1/)1> 35 N 89'47'39" E 2030.72' MC( )30 Z " N SCALE 1" 1000' SECTION 2 T17N, R3W, S.M., ALASKA ) ~- '=~ :J:& -, 3 VICINTY MAP N 89'54'40" E 1654.82' ( ) N 89'55'07" E 1318.81' J' N 69'41'47" E 2319.29' ~ ~io ~:;¡ 8~ z i:: ~ CD N TRACT "F" (CACHE SUBD.) IIJ . i II) 1319.34° TRACT "D" (CACHE SUBD.) !oJ ~ ~ 8 1/1 Qg,N 69'54'53" W 1313.55- It) ~ ~ z SECTION 1 ~ T17N, R3W, S.M., ALASKA g 1/11 Z Z I " N 89'59'46" W 1318.91' P'S 89'48'57" W PILOT 1 WELL Gary & Joann Stromberg #2 PERMIT DRAWING DRAWN FWW I CHECKED KWA I SCALE l' = 600' APD Gary & Jo Ann Stromberg 2 Pilot 1 ®LOUNSBURY & ASSOCIATES, INC. ENGIN EERS- PLANNERS- SURVEYORS 723 W. 6th AVE. ANCHORAGE. ALASKA 99501 (907) 272-5451 AUGUST 12, 2002 DWG NAME 028-2W1.DWG =\I=I~GI~==N RESOURCES (ALASKA) CORP. ~ ¿'ìlib."irlinry or E\I~I'I.,rmm R'(lMU";t1',,,", I/'Ie ) ) (b) Proposed Depth, Depth of each objective formation Estimated Formation Tops Quarternary Gravel Surface Tertiary Tyonek 200 (c) Other Information as required by 20 AAC 050(b) For all hole segments, an air hammer will be used to drill the hole. Unlike PDC or conventional bits, air hammers, inherently drill straight holes. This is because the weight on bit is a fraction of the weight required by conventional drilling techniques. Increased weight on bit causes holes to become deviated. For additional information, please refer to Evergreen's response to the waiver request in Appendix A of this application. Since air hammers have not been widely used in Alaska's oil and gas industry, Evergreen will perform a Totco deviation survey for this well. This information will confirm to the commission that air hammers, by their design, must drill straight holes. It is our aim that after showing the commission that air hammers drill straight holes, that surveys will not be required. 25 AAC 25.005 (c 3) DIAGRAM OF BOPE Evergreen will use air to drill conductor, surface and production holes. Using this system, we plan on using a diverter in lieu of a BOP since our proposed diverter system is an equally effective means of well control in shallow gas wells. This discussion is included as Appendix A submitted August 8, 2002. A diagram of Evergreen's well control arrangement is shown in Figure 3. Evergreen Resources Alaska Surface Well- Control Setup Two diverters will be used while drilling the subject well. One for the 11 inch surface casing hole and the other for the 7-7/8 inch production casing hole. For the 11" surface hole, the diverter will connect to the cemented in conductor via a 13- 3/8" ST &C collar. The Production hole's diverter will connect to the cemented in 8-5/8" surface casing via the 8-5/8" ST&C collar. These diverters are shown in the Figures 4 and 5. APD Gary & Jo Ann Stromberg 2 Pilot 1 r,L-'ê.,!~~2~~~~~~~lY..~-,,~..,~9~,-~.~::_~g,~~!~~~t~!~!. I . - -. I VENTING 20 MMSCFD KICK ..-~ i "':'.~,[ Ground Level FORMATION GAS This schematic shows Evergreen's Air Drilling well control setup. When venting a 20 million standard cubic foot kick of methane, the diverter must contain 40 psi of pressure. The Diverter is rated to 500 psi while drilling and 1,000 psi while static. This is a 12 fold safety factor while drilling and a 24 fold safety factor when pipe is not rotating. Figure 3 - Surface Well Control ') ) =\f=I~GI~==I'1 RESOURCES (AI.ASKA) CORP, A .·~qh.'it1)IIIY or Cv""nrlllm R(lnnw\;(/.!I, I/lf':, EVERGREEN RESOURCES ALASKA SURFACE CASING DIVERTER EVERGREEN RESOURCES ALASKA PRODUCTION CASING DIVERTER I µ ¡:] U " '.,..... 151n I r--l r"":1 WASHINGTON DIVErlTER I I Yf rlUBBER ELEMENT tp ........ MODEL 401 0·Ct<ò ,;' . ,- ,- ".""" ... ..",///// - . I 151n I r, r--l WASHINGTON DIVERTER -I ~ ¡:] U u ~~~~~ 16 In """",,-,,,,,,,,,,,,,,,,, """",///// 161n " " '" -,,~ To 30 FT BLOOEY LINE 8·5/8', 23 PPF, J.55 CMNG 8,097" ID with Hommer Union connector To 30 FT BLOOEY LINE 8·5/8',23 PPF, J·55 CASING 8,097" ID Wth Hammar Union connector = -- CONNECTOR Iso 13·3/8" PIN ST&C, 8 RD. J·55 ~"""",'I .' CONNECTOR 8·5/8" PIN ST&C, 8 RD, J·SS Figure 4 Surface Casing Diverter Figure 5 Production Casing Diverter 25 AAC 25.005 (c 4 A) MAXIMUM BOTTOMHOlE PRESSURE The maximum anticipated surface pressure (MASP) for this air-drilled well will equal the formation pore pressure less a full gas column to the surface. Based on offset well data, the highest formation pressure expected in this well is 1,559 psi (10.0 ppg EMW) at the well's TO of 2,999' TVD (or 0.520 psi/ft). Complete evacuation of the well bore, except for a 0.11 psi/ft gas gradient, is assumed. MASP (pore pressure) = (2,999 ft)(0.520 - 0.11) = 1,230 psi 25 AAC 25.005 (c 4 B) DATA ON POTENTIAL GAS ZONES One gas bearing zone will be encountered during the drilling of this well, namely the Tertiary Tyonek formation. Here, coals will be drilled through along with sandstones and siltstones. There are six wells that have penetrated this zone within the Pioneer Unit. The Quarternary Gravel will also be penetrated. This zone has no gas since there are no barriers for accumulation. This is the area's fresh water aquifer. 25 AAC 25.005 (c 4 C) POTENTIAL DRilliNG PROBLEMS Since air drilling will be the drilling fluid for this well, problems associated with differential sticking and loss circulation zones, as identified in the regulations, are not relevant. However, issues associated with hole sloughing are a concern. For this reason, 12-3/4 inch conductor casing will be casing air drilled through the Quarternary APD Gary & Jo Ann Stromberg 2 Pilot 1 ') ) =\f=I~GI~==I'1 RESOURces (ALASKA) CORP. A \~( b,~/rlJIIIY or E\I"'f .1r/"~11 R( ~t1l1l\~r':-¡i I"I~ Gravel s~ction. This interval will then be cemented in with 47 sacks of cement to prevent water and gravel from sloughing through the conductor annulus. Significant gas volumes produced from formations are easily handled during drilling and this is discussed in Appendix A. To ensure that casing and logs can be run safely, if sufficient gas is being vented, then the well will be killed. On site will be a cement pump, mix tanks and sufficient chemicals to create a 10.5 pound killing fluid. The risk of encountering H2S is negligible. No wells drilled in or near the Pioneer Unit had any indications of hydrogen sulfide. Further, coal bed methane does not contain H2S. Details for H2S are discussed in Appendix A submitted to the commission on August 8, 2002. 25 AAC 25.005 (c 5) FORMATION INTEGRITY TEST Formation integrity tests are not applicable for this application since air drilling with a diverter is being employed. Formation integrity tests require a pressure containment scheme using BOPs to be relevant. Please refer to Appendix A of this application for further discussion. 25 AAC 25.005 (c 6) CASING AND CEMENT PROGRAM The casing and cementing program for the subject well is shown below. For the first well drilled in Pilot Number 1, a single induction log will be run to confirm that the surface casing is set through the fresh water zone. We will drill and set surface casing below the fresh water zone. All remaining surface casing depths will be modified based on this information. Current setting depths are well below all fresh water wells in the area. Casing Information Depth OD ID Pipe Weight Connection New/Used (ft KB) (in) (in) Grade (Ib/ft) Type Conductor 225 12-3/4 12.00 Line Pipe 48.0 ST&C Limited Svs Surface 400 8-5/8 8.097 K-55 23.0 ST&C New Production 2990 5-1/2 4.892 K-55 17.0 ST&C New For the surface and the production casings, the cement will be circulated to surface. In the case of the conductor pipe, we will attempt to circulate cement with 47 sacks of cement. If cement does not circulate, which is likely since this is a gravel interval drilled with air, then we will fill the annular volume with cement. Cement Information Volume Yield (sacks) (ft3/sk) Type Comments 47 1.18 Class G Circulate, if no circulation, then pour from top 148 1.2 Class G Circulate to Surface 535 1.35 Class G Circulate to Surface Conductor Surface Production Depth (ft KB) 225 400 2990 20 AAC 25.005 (c 4) DIVERTER SYSTEM The diverter system is described in 25 MC 25.005 (c 3) BOP SETUP. 20 AAC 25.005 (c 8) DRilliNG FLUID SYSTEM APD Gary & Jo Ann Stromberg 2 Pilot 1 =V=I~GI~==I'I ') ) RESOURCES (ALASKA) CORP. A $1~b..~idillry (If £V¡!1rpf(i'(i'(1 A(t~CI If(.(rS, 1(1(; The subject well will be air drilled and therefore utilize no fluid system. The proposed process of air drilling and of killing the well when and if necessary are described in detail in Appendix A dated August 8, 2002. 20 AAC 25.005 (c 9) ABNORMAllY GEOPRESSURED ZONES There are no abnormally geo pressured wells in the Pioneer Unit as discussed in Appendix A, submitted on August 8, 2002. 20 AAC 25.005 (c 10) SEISMIC REF ACTION IRE FLECTION ANALYSIS Evergreen requested a waiver for running seismic as detailed in Appendix A, submitted on August 8, 2002. 20 AAC 25.005 (c 11) OFFSHORE, SEABED CONDITIONS Not applicable. This is an onshore well. 20 AAC 25.005 (c 12) EVIDENCE OF BONDING Evergreen Resources Alaska's state wide bond is on file or will be very shortly with the commission. 20 AAC 25.005 (c 13) COPY OF DRilliNG PROGRAM A copy of the drilling program is shown as Appendix B. 20 AAC 25.005 (c 14) DRilliNG MUD & CUTTINGS DISPOSAL Evergreen has received permission from the Matanuska-Susitna Borough to dispose of drill cuttings at the borough landfill. Because well depths are less than 3,000 feet, we also have permission to dispose of the cuttings at the drill site. 20 AAC 25.005 (d) INTENTIONAllY DEVIATED WEllS This well is not being intentionally deviated 20 AAC 25.005 (e) MULTIPLE BRANCH WEllS This well will not have multiple branches 20 AAC 25.005 (f-h) n/a APD Gary & Jo Ann Stromberg 2 Pilot 1 =\f=I~GI~==N RESOURCES (ALASKA) CORP. ~ Sl b,~idì{ /y 0' Ev"r¡)rm~" n(U\" fI.~!',~, 1M APD Gary & Jo Ann Stromberg 2 Pilot 1 ) ;. " ) Appendix A Answer to AOGCC Questions =\f=I~GI~==N RESOURCES (ALASKA) CORP. A S(/l1.~111illty 0' E.V,ol/' ~r.I(111 Rt'I"llul\~m., ¡(It:. ') I ") ) =\I=I~GI~==I'I Evergreen Resources Alaska Corporation Response to AOGCC Questions August8,2002 John Tanigawa Alaska Projects Manager Wasilla, Alaska 907 -841-0000 APD Gary & Jo Ann Stromberg 2 Pilot 1 ') ') =V=I~GI~==N RESOURces (ALUKA) CORP. A 11Ijt),\lldlflfY Of 1::V¡,lf' 1r!hN! R(/1!¡':Iw1.,cr:;¡ Inr:, Waiver #1 - 20 AAC 25.030(d)(2)- Don't want to cement 100' to 200' conductor to surface. Win use 10 sacks. Surface csg must be set below the glacial gravel section. The gravel section is 500' to 800' thick, not 100' to 200'. The map (Figure 4) is a structure map using sea level datum. You have to add the topographic elevation to get the true thickness. Coals and permeable sands which may be gas bearing are present immediately underlying the glacial gravel section. (1)What would you do to mitigate risks if you drilled a free gas zone prior to setting surface csg? (2) How will free gas affect your cementing plans? (3) Does the fact that you will be setting the conductor in a permeable gravel zone change your ideas about your cementing plan? First, we must make a correction to figure 4 in the C Plan exemption document. Figure 4 does not represent the top of the Tyonek. The figure is improperly labeled. Instead, this is an isopach map showing the thickness of the gravels based on water well data. You are right, if this were a Tops map for the Tyonek, then the 500 to 800 feet would be correct. (1) To mitigate the risks of encountering a gas zone while drilling the surface casing, Evergreen will a) set and partially cement a 12-3/4" conductor casing (to protect fresh water & prevent water from entering well bore during surface hole drilling), b) Use a diverter (to redirect gas from annulus), c) Utilize a series of check valves in the drill string (to eliminate gas up drill pipe) and d) Drill with air. Described below is a description of this process and how it will mitigate dangers during this portion of the well plan. a) Evergreen will hire a water well contractor to casing drill (e.g., casing is drill pipe) the conductor through the Tertiary gravel and into the top +/-25 feet of the Tyonek formation. Depths are estimated to be 100 feet in Pilots 2 and 3 and 200 feet in Pilot 1. This section of the hole will be reverse circulated using air. After the casing is set, a 13-3/8",ST&C, 8 rd, J-55 collar will be installed at surface via a bell nipple. We will attempt to circulate cement to surface using 20-30 sx of 15.6 ppg cement or 150% of the annular volume. If cement does not circulate, which is likely in an air drilled hole through gravel, then we will pour additional cement sacks from surface until full. Before drilling out, the conductor will be pressure tested to 100 psi or % psi/ft of the conductor setting depth. The conductor, therefore will be sealed. It is noted here that the primary reason for cementing the conductor is to prevent water from entering into the well bore while drilling the surface hole and not for kick protection. This is because, kick protection in the traditional sense, is not needed in an air drilled hole. b) Next, a 13-3/8" x 4-1/2" drill pipe diverter will then be installed. The diverter will screw into the conductor casing. The 11" surface hole will be drilled using an air hammer bit at 3,000 scfm of air. The diverter will redirect air, methane, cuttings, APD Gary & Jo Ann Stromberg 2 Pilot 1 ') ) =\f=I~GI~==I'1 RESOURCES (ALASKA) CORP. A $U/).,iffifllY ð; £\I"'fl1mtm RfJ!loufr-!/s. Iflt and water from the annulus to the cuttings pit via an 8" diameter by 30 foot blooey line - well away from the drilling table. This diverter head is fabricated by Evergreen, has been used for 7 years, has drilled over 575 wells in a variety of working conditions. Pressure rating is estimated to be 250 psi working and 500 psi static, which is half of a similar Washington or Williams diverter. This pressure rating should be adequate. For example, if 100 MCFD of methane gas were being vented, the diverter would see approximately 20 psi of pressure. c) We must also prevent natural gas from flowing up through the drill pipe during connections. This is handled through a series of check valves inside the 4-1/2" drill pipe. d) Finally, as will be shown later in this report, handling shallow gas kicks is arguably safer using air than in mud drilling. This is because well control is not based on containment of the formation pressures, where high pressure BOP's, and very large (in excess of 16 inches) are required. Instead, the formation is allowed to vent and high pressures are not allowed to build-up. (2) A free gas zone does not affect our cementing plans. Surface cement will have a density of 15 ppg. (3) We plan to sent the conductor casing below the gravel zone and into the top of the Tyonek formation. We plan to drill roughly 25 feet into the Tyonek. We were not planning on setting above the Tyonek. Waiver #2- 20 AAC 25.033 (b) Drill under balanced with air. (1) There are some permeable sands in the section. Some coals may also be permeable and may contain only gas and no water. Your plan is to have fluid and cement on location. Do you understand that the BLT #1 tested individually up to 40BBLS/hour of gassy water from several sands and one coal suggesting artesian or other type of over-pressured systems? We think that the Pittman well also encountered gas sands. You should verify that. (2) Have you evaluated the mud weights in wells drilled in the area? (3) What volume of air will you be using? Would it be sufficient to dilute a zone capable of 2000mcfd to below lower explosive limit (LEL) at hydrostatic pressure? (4) What is the maximum expected equivalent mud weight attainable from the drilling air? (5) What equipment is available to pump kill weight fluid and how will it be pre-staged? What would be the response time if a kick occurred? (1) You are correct for the BL T #1 there was a 40 bbl/hr flow of gas cut water. We were unable to find information at the commission library regarding the Pitman #1 well. However, If we encounter 40 bbls/hr of gas-cut water, this will not be a problem. We have effectively air drilled with water rates in excess of 250 bbls/hr of gas-cut water, further, we will have the pump equipment, and additives to kill the well on site. (2) We have evaluated the mud weights in the area. This data is shown in the table below. Generally, wells were drilled with muds in the 9.5 to 10.0 ppg range for the depths we are drilling. (3) The volume of air we will be 2,000 scfm for the 7-7/8 inch hole and 3,000 scfm for the 11 inch hole. The lower explosive limit (LEL) in ideal conditions is 5% and the APD Gary & Jo Ann Stromberg 2 Pilot 1 ) =\f=I~GI~==N RESOURCES (ALASKA) CORP. '" SI¡h~111iRlY or Ev¡fJfl,r¡~iW ll'oMUfl~( ,IJ, Inr. ) Upper explosive limit (UEL) is 120/0 by volume of methane in air [U S Bureau of Mines, R.I. no. 4751, 1950]. At concentrations above the LEL threshold, the air- methane mixture capable of ignition. Formations can therefore flow up to 144 Mcfd of methane in the 7-7/8" production hole and 218 Mcfd in the larger surface hole before fire is possible. Even when one drills wells in this condition, down hole are almost unheard of in CBM reservoirs. This is because even when one is in the explosive window, it is virtually impossible ignite the gas. Ignition sources in these shallow wells are principally thought to be from the bit cutting the rock and drill pipe rotating against a formation or surface/conductor casing. While operating an air hammer however, water is injected into the compressed air at 20 gpm to cool the bit and the hammer mechanism. This water mixture creates a fine mist that prevents sparks from occurring. Further, formation waters are produced during the drilling that further wets the system. Proof however is evident in the fact that thousands of wells have been drilled into CBM reservoirs using air without any down hole fires. (4) The maximum bottom hole pressure just above the bit in the annulus is 30 to 70 psi while air drilling the production hole at 3,000 feet. Mud weights are very low. (5) Equipment that will be on hand to kill the well will be Evergreen's cement unit, batch mixer consisting of two 75 bbl mix tanks water and weighting agents to build two batches of 10.5 ppg mud (or a single 13.5 ppg mud). Evergreen's portable cementer is shown in the figure below. This pump has 4.5" plungers and is capable of pumping at 6,228 psi at 13.3 bpm... The two 75 bbl batch mlix tanks Bfe des:igned to be used as a cement mixer or as a mud tank and are equipped with Evergreen Cement Portable Pump paddles to mix the weighting agents into the water. Calcium chloride will be our weighting mechanism, xanthan guar will be used to build viscosity and lost circulation material (bark, celoflake, et cetera) will be used to assist in lowering the fluid loss. Concentrations of each are the following: 123 Ibs/bbl GB'CI, 1.5 IlbsJbb~ Xanthan guar and 10 Ibs/bbl lost circulation 'material. A Evergreen Portable Batch Mixer 28 foot trailer will house the chemicals and will be on location at all times. Waiver #3- 20 AAC 25.035- No BOPE. (1) Have you examined the Houston # 1 and #2 well histories and operations? These wells were drilled with air up to 500' into the coal sections without even a diverter. Ignore Houston #4 since it spuded in metamorphic basement. (2) Can you demonstrate that you have a means of well control that is equally effective to a BOPE? I will do this. APD Gary & Jo Ann Stromberg 2 Pilot 1 =\I=I~GI~E=N RESOURCES (ALASKA) CORP, A ~1( b.~I(1iI1lY or ~'iMljW!111 A'fJMllfI::'W, Il'Ie ') ) (3) Your report states that you will have a lOOOpsi diverter. Is that the pressure rating of the pipe or actual drilling air pressure? Does that imply that you will be using different equipment than what the Commission observed in the Raton Basin? We need a more clear description of your well control equipment. I will do this. I will need some help with CAD work though. (1) The GRI, Inc's Houston 1,2 3 & 4 well records are unavailable to Evergreen. We have talked to people and have read reports on this project. These wells are relevant due to their close proximity to the Pioneer Unit. Four CBM wells were drilled representing the first time that air drilling technology was employed in Alaska. BOP's were installed after the surface casing, drilled 700 feet into the Tyonek formation, was set (Evergreen as a comparison will drill +/- 25 feet into the Tyonek. Wells were then drilled to roughly 2,100 feet and 4-1/2" casing was run. Coal, sandstones and siltstones were encountered from surface to TO. Although shallow gas was venting during the entire drilling process (even w/o a diverter during surface hole drilling), because the well was allowed to vent and not build up pressure, no well control issues arose and the BOP was never engaged for well control purposes. The successful drilling of these four wells proves that air drilling is an effective way to drill the shallow Tyonek formation in this area. (2) Not only will Evergreen demonstrate that we have an equally effective means of well control but, in fact, air drilling at these shallow depths is safer than mud drilling for shallow gas kicks. Mud drilling relies on always being in an overbalanced drilling condition. As history shows, this does not always happen. When kicks occur, the key to safety is detecting before the well becomes uncontrolled. Detecting shallow gas kicks are difficult since they are relatively hard to detect and because they occur very quickly. The well control strategy in mud drilling is pressure containment. For this reason, elaborate BOP's, choke manifolds, gas busters and very large blooey lines, like those stipulated in the AOGCC regulations are required. Air drilling on the other hand, has a completely different approach to well control. In air drilling our strategy is to allow the well to continually kick. The beauty in this strategy is that pressures are not allowed to build-up thereby eliminating the need for a BOP. Gas is redirected away from the drilling table to the cuttings pit via a blooey line and a diverter head. A Diverter head has a rubber element that seals the annular area between the casing and the drill pipe. To prevent gas from migrating up the drill string, a series of check valves (floats) will be incorporated. If a shallow gas zone is encountered, then the formation is allowed to vent while drilling ahead until bad hole conditions or excessive amounts of water are produced. APD Gary & Jo Ann Stromberg 2 Pilot 1 =\I=I~GI~==I'I RESOURCES (ALASKA) CORP. A $(Ib,qrrlinry 01 r:'V&~m o(/1I R"IMllft"(r~¡, ¡('It. 4·112"dL )e L..V\';I 91 \,;\,;I I I \\'; .,yu 'IJ\';fl"\'Q" f\Q Surface··Well·.control·S~tup ) The amount Washington gas that can 50Qpsi safely vented ~~:~er drilling is considerable. 8·5/8" Surface Casing illustrate, using Evergreen's This schematics Proposed set footkickofmet:-.; drilling and 1,000 psi whi consisting of pipe is not rotating. Washington stripping head sealing 4-1/2" drill pipe on 8-5/8" casing, 30 foot by 8" 10 blooey line, venting 20 million cubic feet of gas per day will generate 40 psia (25 psi gauge) of pressure below the diverter. [Reference: Equation 8-3, Air and Gas Drilling Manual, Lyons et ai, McGraw Hill Press, 2001]. This is a lot of gas - roughly 7 times that of our air injection rate. Since the Washington Head is rated to 500 psi dynamic (e.g., while the pipe is rotating) and 1,000 psi static, a 12 fold safety factor still exists when venting while drilling and a 24 fold safety factor while pipe is not rotating. 125 psi gate valve 30' x 8" ID Blooey Line VENTING 20 MMSCFD KICK of be in air Ground Level To up a Finally, if too much gas is being vented, especially during the running of casing and open hole logs, then Evergreen will kill the well by pumping gelled water down the hole. If necessary, a weighted mud system, as described in the previous mitigation measure, will be implemented. Here a cement pump, batch mixer and materials to make a 10.5+ ppg mud will be on location at all times. So far this year, Evergreen has drilled over 42 miles of hole using an under balanced fluid, diverter head and blooey line like the ones proposed here. There have been no well control incidents this year or in any year previous. Simply put, if the well vents too much gas, we get a water truck and pump water to kill the well. In this case, no cement pump is on stand-by on location. (3) Evergreen will utilize two different diverter heads - one for the 11 inch surface hole and one for the 7-7/8 inch production hole. The surface hole diverter is of Evergreen manufacture. The body consists of a 16 inch 75 ppf piece of casing 20 inches high. The bottom has a 13-3/8" pin connector that screws directly into the conductor. There is a 8-5/8" 00 opening (8.097" 10) that mates directly with the 8-5/8" blooey line. On the top is a 9 hole threaded flange where the Washington head is APD Gary & Jo Ann Stromberg 2 Pilot 1 Surface Hole Diverter Ru bber Element 15" ---- -~-,. W: S T JCi<. SIZES ":C1;:·~ 2'·2 7"S ';¡C10-3 312 ·~C1(;·:: ~ ~.2 ) =\I=I~GI~==I\I RESOURCES (ALASKA) CORP. A !.\11b.~lrlìI1fY 01 r::v~'f1mø/1 R(I!!OI.u"Ctrs, Inc. ) screwed in. This is the diverter seen in by the AOGCC in Colorado. Photos of the head and the rubber element are show to the right. Because of its similar design and materials, compared to the Washington heads, Evergreen has not pressure rated this head. However, from experience, we estimate that it can handle up to 250 psi dynamic and 500 psi static of pressure or 500/0 of the manufacturer's rating for the rubber element. As the calculation in the previous section answered, 250 psi provides several orders of magnitude of safety factors when drilling surface holes. This same head has been used over 1,000 hole sections in Colorado. The production hole will utilize a 1358 Washington Stripping head. This head has an 8-5/8", ST&C, 8 round pin on bottom that directly screws into the 8- 5/8" surface casing. There is an 8-5/8" 00 opening that connects directly with the 30 foot blooey line. For both the production hole and the surface hole, the same rubber stripping element is used. Pressure ratings for this head are 500 psi dynamic (i.e., while drilling) and 1,000 psi static (i.e., while the pipe is not moving). A picture of the Washington head is shown to the right. The only difference between this head and the one we plan to use is that the bottom here is flanged whereas Evergreen's has an 8-5/8" pin. Production Hole Diverter Waiver #4· 20 AAC 25.050 No directional surveying. (1) Well is meant to be vertical. The drilling assembly cannot deviate because of its mechanics. However approval of this waiver will probably be dependent on proximity to property lines. Do you have the ability to run a well bore survey log? (2) Can you expand on the reasons deviation of the wellbore will not be significant? (1) Evergreen's drilling rig is not equipped to run (Totco) surveys. This is because the well documented fact that air drilling using a hammer must, because of the physics of the system, drill vertical holes. Evergreen will however run Totco surveys via cased hole wireline in the first two wells to prove to the commission that this drilling method produces vertical holes. (2) Evergreen utilizes an Ingersoll Rand Quantum Leap down hole hammer located immediately above the bit. This mechanism is basically a jack hammer located down hole. Air passing through the hammer actuates a piston that that cycles roughly 700 times per minute. Effective stroke on the hammer is roughly 1/5ths of an inch. Pressure required to actuate the hammer action is 200 to 450 psi. In terms of energy transfer to the formation for drilling, the air Hammer is an extremely efficient way to drill. Penetration rates exceeding 200 feet per hour are typical. Shown to the right is a schematic of a down APD Gary & Jo Ann Stromberg 2 Pilot 1 =\f=I~GI~==N ) ') RESOURCES (ALASKA) CORP. 1\ $lIb,',¡id1ftty of £\It'lf}1mlf¡1 R(t:ll()Hr\:~mj, Inr: hole hammer and bit. The primary reason that air hammer drilling produces straight holes is because of the low weight on bit required to drill efficiently. Ingersoll Rand recommends that for an 7-7/8" hole, the weight on bit be 3,900 Ibs or 500 psi per inch diameter of hole. More weight would inhibit the hammer's action causing the bit to simply drag across the formation instead of hammering into it. As a comparison, traditional bits require 3,000 to 6,000 pounds of weight per inch diameter of hole drilled. This means that for an 7-7/8" hole, one would need 24,000 Ibs to 48,000 Ibs on the bit to drill. The weight on bit has a profound effect on how vertical a hole is - less weight means straighter holes. Lubinkski and Woods in the 1950's provided the industry with the basic understanding of drilling vertical and inclined holes. Here they defined several forces on the bottom hole assemblies and drill pipes that cause the hole to deviate from vertical. In his paper entitled "Influences of Tension and Compression on Straightness and buckling", API, 1959, Volume 31, Lubinski presents equations, still used today, that conclude that the lower the weight on the bit, the more vertical the hole. Because air drilling requires very little weight on bit, buckling in the BHA and the drill string and torsional affects due to dragging the bit and the drill pipe - all of which create deviations from vertical - are eliminated. Waiver #5- 20 AAC 25.061 No seismic evaluation for shallow gas hazard. Can be justified by answers to questions under Waiver #2. Evergreen hopes that answers found in Waiver 2 and 3 provide sufficient information and surety to grant this waiver. We will further suggest that in shallow gas development, where unconventional reservoirs are the targets, that seismic is not an appropriate exploration technique. This is because unconventional formations - like coal, shales and tight sands - are ubiquitous and cover large areas. The axiom in this exploration realm is: Targets are easy to find but difficult to produce. Thus the preferred method to explore is through the drill bit and the completion rig. Completion and production techniques define the success and failure of these plays, not drilling. Seismic is not valid since we have a high degree of confidence that the formations are there. Oil and gas targets, are the conjugate - difficult to find but easy to produce. Because targets are more difficult to find, seismic is usually run. To have velocity surveys specified in MC 25.061 make sense in this exploration regime. However, this regulation does not pertain to shallow gas development. Evergreen looks forward to working with the commission on the application of this regulation to shallow gas in particular. Waiver #6- 20AAC 25.066 Not have three methane and HzS detectors present. Meaningless because of rig configuration. No enclosed spaces. (1) Are there any areas where gas could accumulate? APD Gary & Jo Ann Stromberg 2 Pilot 1 ) ') =\fEI~GI~EEI'1 RESOURCES (ALASKA) CORP. A $Ub,~ldiIlfY 01 EVf1f¡¡rØ/111 Ro!'!mr/t115, Inc. (2) Do you know of any circumstances in Tyonek section in Cook Inlet Basin where H2S naturally occurs? (1) There are no areas where gas can accumulate. Gas produced will be methane with a molecular weight of 16 versus (air is 29). This means that methane is lighter and will disperse in an upwardly direction. (2) There are no known instances where H2S naturally occurs in the Cook Inlet and particularly in the wells drilled in the Pioneer Unit. Furthermore, even if H2S was present in the coalification process (there is no evidence of this), it is impossible for the hydrogen sulfide to replace the methane adsorbed on the coal. Waiver #7- 20AAC 25.527- No API standards All relevant waivers already covered. Spacing Exceptions- 20AAC 25.055 Wells may be within 1500' of property lines. Wells are 1100' apart. Cannot waive any regulation that affects other person's rights. Figures 18, 20, & 21 indicate the need for spacing exceptions because the wells appear to be within 1500' of a property line. Are any of the wells within 1500' of a property/lease line? Are the colored areas on Figures 18, 20, & 21 the only Evergreen leases? I.e.: Are the white areas on Figures 18,20, & 21 leased by Evergreen? Do you have a reallandmap? Who are the lessors? Maps shown in the Plan of Operations are surface landowner maps. Shown below are land maps showing mineral ownership for Pilots 1, 2 and 3. Also shown on these maps are the proposed well sites which have already been surveyed. Also included in these maps are 1,500 foot radius circles around each well showing which mineral interest owners are within this area. It should be mentioned here, that the well names presented in the Plan of Operations and in this document will be changed when drilling permits are submitted. Pilot 1 is situated on the Smith (Fee Lease). Here the Smiths own the surface and the minerals. As the figure illustrates all wells are all within 1,500 feet of the mineral property line. Here, the State of Alaska owns the minerals and Evergreen has those minerals leased. Pilots 2 and 3 are located on State of Alaska Minerals. These minerals are all leased by Evergreen. Like Pilot 1, all wells are within 1,500 feet of the mineral property line. Adjacent to this acreage are federal acreage blocks that are prohibited from leasing. Evergreen has met with the Bureau of Land Management and described our plans to drill. Since this is an exploration project where no gas will be sold (only vented), they are not opposed to our program. If economic quantities of gas are required, then a Compensatory Royalty agreement will be signed between Evergreen and the BLM. Close to but not within the 1,500 foot radius, are the Mental Health Trust Lands to the East of Pilot 3 and the University of Alaska Lands to the west. Evergreen Alaska leases APD Gary & Jo Ann Stromberg 2 Pilot 1 =\I=I~GI~==N RESOURCES (ALASKA) CORP, A S!¡b.~I(fIIllY (Jr F.vilrprmn1 R(t!l(IU"'':(~,'', Inc. ) ) the Mental Health Trust Lands and is in the process of finalizing the University lands to the west. All wells are 940 to 1,100 feet apart and are designed in a way to test the Tyonek Coal Seams. In a production mode, wells will be spaced much farther apart. The table on the next page summarizes the well placement information. This data is from the surveys done. State of Alaska (Evergreen) 1,500 n rodlus 2 State of Alaska (Evergreen) 1.500 ft raclu. State of Alaska (Evergreen) --_._-------~-~----"-_..__._,-----,-~----,_._._-.----~~-,..._-_.._,---------- -,------"'-_.-,---_._----_. _._---------~---~ Pilot 1 Land Map .~~ ~~~J' , .~el)tal iH8élltll'1' ~st ;(£;""rg~~,,) __ø_,_. Permit Name Evergreen Well Placement for Pilots 1, 2 and 3 Pilot 1 Well 1 Pilot 1 Well 2 Pilot 1 Well 3 Pilot 1 Well 4 Pilot 2 Well 1 Pilot 2 Well 2 Pilot 2 Well 3 Pilot 2 Well 4 Pilot 3 Well 1 Pilot 3 Well 2 Pilot 3 Well 3 Pilot 3 Well 4 APD Gary & Jo Ann Stromberg 2 Pilot 1 Well Name DL Smith Gary & Jo Ann Stromberg Robert Smith Corn husker Cook Lowell Bering Baron off Tyonek Kenai lIiamna Nanwalek S-T-R See 2 T17N R3W See 2 T17N R3W See 2 T17N R3W See 2 T17N R3W See 30 T18N R1W See 30 T18N R1W See 30 T18N R1W See 30 T18N R1W See 20 T18N R1W See 29 T18N R1W See 29 T18N R1W See 20 T18N R1W Footage (from section) 1255 FNL & 933 FWL 2426 FSL & 141 FEL 3272 FSL & 606 FEL 652 FNL & 293 FEL 967 FSL & 1329 FEL 504 FSL & 422 FEL 1523 FSL & 471 FEL 991 FSL & 888 FEL 815 FSL & 1832 FWL 236 FNL & 2403 FWL 212 FNL& 1205 FWL 301 FSL & 1841 FWL APD Gary & Jo Ann Stromberg 2 Pilot 1 Pilots· 2 (South) and 3 (North) Land 'Map F.......I (Unlt."llbl., SI.I. of AI..k. (Ev...g....n 01 AI..ke rgrHn) ~'" '1'~rm ;J ," ~ ' .'j '~ "f I, ' I \ '\ ,. , " ~, ~! II \ "I ~ ! I;'. 10 < I · : ; , . ~,I ÞO I li1~¡¡A.l \1~.a. ¡i~,~" 51.1. of AI..k. (Ev.rg_n SI.I. of Ala.ka (Ev.rgreen ;,w;,~ :,),!: , . - I ': ~ I r """"',',.'"..'.,'.',.',"'"¡. ~.1 I.'i l' l ;''-\. 111.._ 30 State of AI.ak. (Ev.rgrMn) """~~-="'" !~~"'E\ItJf'~ F.cItr.' (!.n.........., Unlw.:t"y of AI... ' (p.l\dliIoe~ tHII 51.1. of Alaak. (Evergreen) Menl.' , ....lth T,ual (Evergr.... -----..--.------.-.----------.----.-.--.------- 51"'. of AI..ke (Ev.gr.n UnI~ .Ul..... (!'WIno!....... F.......I (Un........'.' Slate of Ala.k. (Evarg_n) IS """ "'" ... !H: I I, F."r" (Unlt.MabIe) =V=I~GI~==N RESOURCES (ALASKA) CORP. A $llbslt1il.ry 0/ EW:''I1ri1tU! R~11'IrulrctIS, Inr. APD Gary & Jo Ann Stromberg 2 Pilot 1 ) ) Appendix B Proposed Drilling Procedure =\I=I~GI~==i'I RESOURCES (ALASKA) CORP. ¡\, SUb,~I(jlmv 0' E\'~'l7mlm R(I.~nl/r~~r~¡, I/'It. ) ) Proposed Drilling Procedure Evergreen Alaska Corporation Well Location Elevation Field Target Proposed TD Gary & Jo Ann Stromberg 2 (Pilot 1) NE/NE of Sec 1 Twn 17 North Rng 3 West Seward Meridian 1386' FNL & 933 FWL OF SEC Matanuska-Susitna Borough, Alaska USA Kelly: 299 Ground: 296 ft (3 ft AGL) Pioneer Unit Tertiary Tyonek 2990 Objective Air drill, log and set casing for the subject coal bed methane exploration well. Casing Program Hole Casing Casing Casing Size Size Weight Casing Casing Depth Cement (in) (in) (Ibs/ft) Grade Connection (ft) Interval Conductor 13.875 12.75 49 H20 Pipe Welded 225 to surface Surface 11.00 8.625 24.0 J-55 ST&C 8 Round 400 to surface Production 7.875 5.50 17.0 J-55 ST&C 8 Round 2990 to surface Open Hole Logging Program Log Interval Spontaneous Potential TO to ± 20 ft in Surface Casing Single Induction TO to ± 20 ft in Surface Casing Gamma Ray TO to ± 20 ft in Surface Casing Caliper TO to ± 20 ft in Surface Casing Compensated Density TO to ± 20 ft in Surface Casing The first well drilled in each pilot will have an induction log run on the surface hole to confirm that we have drilled beyond the fresh water zone. A Totco survey will be run in the cased hole to confirm that hammer air drilled holes must be vertical. Mud logging Program Mud log the subject well from surface to TO. Samples every 10 feet. Formation Tops Formation Quarternary Gravel Tertiary Tyonek Estimated Tops (ft KB) Surface 200 General Information All information not publicly available is considered Tight Hole and confidential. Spill Prevention Plan and Bear Mitigation measures must be adhered to at all times. APD Gary & Jo Ann Stromberg 2 Pilot 1 =\f=I~GI~==N RESOURCES (ALASKA) CORP. '" Suhq(f/imy or £\lNrm~~'/1 Rt"l!Ufl~,r8, Inl':, ) ) Proposed Drilling Procedure Gary & Jo Ann Stromberg 2 (Pilot 1) Section 1 Twn 17 North Rng 3 West Seward Meridian Matanuska-Susitna Borough, Alaska CONDUCTOR PIPE 1. MIRU Water Well Contractor. 2. Casing drill using air and air hammer bit to +/- 225 feet or at least 25 feet into the Tyonek formation. Casing is 12-3/4 inch 00 and 12 inch 10 casing. Evergreen personnel will be on location to determine when depth is sufficient. Set casing 8 inches below ground level. Water contractor responsible for sourcing casing. Note: Casing must be straight (not bent) Casing must be vertical 3. POOH with casing drill & LD. 4. Install bell nipple consisting of a 13-3/8" (8 Round, Short Thread and Coupling - standard connection in oil industry) collar on 12.75 00 pipe. Weld nipple on both the inside and outside of casing. Water contractor will be responsible for sourcing bell nipple and welder. 5. Install cementing head (13-3/8"x2" swedge with two 2" valves, 2" nipple and 2" plug. Assembly from bottom up are: Swedge, valve, nipple and valve. 6. Cement (grout) program is as follows: a. Pump 110% of casing volume b. Pump annulus volume of cement plus 50% excess c. Displace with one casing volume less 2 barrels (100 gal) of water. This will leave 14.2 feet of cement in casing. d. Close both valves at surface, disconnect grouting unit. Ensure surface assembly hold pressure. If leaving well before If cement does not circulate, then place 10 bbls of cement down annulus from the surface or until the surface annular volume is full of cement. Cement Type I Portland Weight 15.6 ppg Yield 1.18 ft3/sk Water Additives 5.2 gal/sk 1 % CaCI 7. Place plug on top valve to secure if valve becomes accidentally opened. 8. Wait on Cement at least 8 hours. 9. Open valves at surface. If cement has not set (water will rush out of 2" valve), then close valve and contact Evergreen immediately. 10. Connect Cement (grouting) head to water pump. Pressure test casing to 200 psi for 10 minutes. If pressure holds 200 psi for 10 minutes, then proceed to the next step. If not then Evergreen Personnel will advise on next step. 11. RI H with 11" bit (tricone or otherwise) on drill rods. Drill out cement in conductor casing and drill ahead an additional 5 feet. Note any gravel that circulates to surface. 12. Circulate hole with air for 15 minutes. Note any evidence that the gravel is sloughing in during drilling or circulating. If sloughing occurs, then notify Evergreen immediately. 13. POOH and LD rods and bit. 14. RDMO Water Well Contractor proceed to next hole. APD Gary & Jo Ann Stromberg 2 Pilot 1 =\f=I~GI~==N RESOURCES (ALASKA) CORP. A S!/tJ.~if1lllf'y Of fV I!rpm(rl! RØ!!DHf'~./,~, /111': ) '\ ) Proposed Drilling Procedure Gary & Jo Ann Stromberg 2 (Pilot 1) Section 1 Twn 17 North Rng 3 West Seward Meridian Matanuska-Susitna Borough, Alaska SURFACE AND PRODUCTION HOLE 1. MIRU Evergreen Rig Number 1. Rig Layout is shown in Figure 1. Crane will be on location to unload Evergreen Portable cementer and Portable batch mixer. A 28 foot trai~r with mud additives to kill well will be adjacent to the cement unit. Have kill likes from cement pump to rig's stand pipe ready for kill operation. 2. NU Diverter head (13-3/8" pin on bottom x 4-1/2" DP) and 30 feet 8-5/8",24 ppf blooey line with 125 psi gate valve. 3. RIH with 11" bit on hammer, stablizer on 4-1/2", 17 ppf drill pipe. Air hammer drill surface hole to 350 feet. 4. Condition Hole. 5. POOH & LD drill pipe, stablizer, hammer and bit on trailer. Move pipe trailer 30 feet forward. 6. RIH with 8..5/8", 24 ppf, J..55, ST&C, 8 round, Range II casing (no casing greater than 31.5 feet), with centralizers on 1 st, 3rd and 5th joint. Run open-ended. Set casing at ground level. 7. Install cement head. 8. RU Cementers. Circulate cement to surface. 9. Shut..valve at surface. Wait on cement 6 hours. 10.0pen valve on cementing head. Ensure that the cement has set. RIH with 7- 7/8" drill bit, hammer, stabilizer on 4-1/2" drill pipe. Tag cement. Ensure that there is 10 feet of cement inside casing. If not, then do not drill out, and contact Evergreen for further instructions. 11.lnstall Washington Diverter Head (8-5/8", 8 rd pin, ST&C) and 30 ft blooey line (used to drill out surface casing). 12. Drill a head to 2,990 ft KB. Well will be TD'd above this level if significant hole problems occur. 13. Condition hole with air. Monitor gas flow from well for 5 minutes. If gas is venting from hole at rates too high to safely run casing, then kill well with water. If water is not sufficient, then, weight up with 10 ppg fluid consisting of xanthan gel (125 CaCI sx/100 bbl, 2 sx xanthan gel/100 bbl). 14. POOH & LD bit, hammer, stabilizer, drill pipe. 15. MIRU Patterson Wireline. Run open hole log suite consisting of gamma, compensated neutron, caliper, induction & spontaneous potential. Confirm setting depth of casing. 16. Install Casing Running Diverter on 30 foot blooey line. 17.RIH with 5-1/2" guide shoe, shoe joint, insert and remaining 5-1/2" 17 ppf, ST&C, J-55, 8 round, Range II casing (31.5 max length), with 5 bow centralizers on 1st, 3rd, 10th, 15th and 20th joint. Install 500 psi casing head & run 5-1/2" casing with with 6" of stick-up. 18. Cement production casing from bottom to surface. 19. Clean-up well site. 20. ROMO Cement Unit and proceed to next well 21. ROMO Evergreen Rig #1 and proceed to next well. APD Gary & Jo Ann Stromberg 2 Pilot 1 =\I=I~GI~==I'I RESOURCES (ALASKA) CORP. A $1¡IJ.~if{lfII'" (~, F..'VfJfJ1rlJl(1I1 A(t!'lr¡¡¡n~(1,.., I"fj Conductor 12-3/4 inch Welded conn. Suñace Casing 8-5/8 inch 24 ppf, J-55 ST&C, 8 Rd Range II Production Casing 5-1/2 inch 17 ppf, J-55 ST&C, 8 Rd Range II ') ) PROPOSED Drilling Procedure Gary & Jo Ann Stromberg 2 (Pilot 1) Section 1 Twn 17 North Rng 3 West Seward Meridian Matanuska-Susitna Borough, Alaska APD Gary & Jo Ann Stromberg 2 Pilot 1 Set at 125 feet KB Cemented with sx Set at +/-425 feet Cement circulated to surface with xxx sx cement Set at 2,990 ft KB Cement circulated to surface with xxx sx cement =V=I~GI~==N RESOURCES (ALASKA) CORP. 1\ SI/b.~I(/I'IIIY ( / EVl1rgrtfSIT R( !\r.I!"~~jIS, Inr. ') '> PROPOSED Telephone Contact List Gary & Jo Ann Stromberg 2 (Pilot 1) Section 1 Twn 17 North Rng 3 West Seward Meridian Matanuska-Susitna Borough, Alaska Company Name Location Telephone Columbine Mudlogging Spencer Flournoy Henderson, CO Office: 303-289-7764 Fax: 303-289-7764 Trinidad (Trails Inn Motel) Front Desk: 719-846-4425 Patterson Wireline Pat Patterson Weston, Colorado Office: 719-868-2119/3311 Evergreen Resources Alaska John Tanigawa Wasilla, AK Office:907 -357 -8130 P.O. Box 871845 AK Proj Manager Fax: 907-357-8340 Wasilla, AK 99687 Cell:907 -841-0000 Evergreen Resources Inc. Tom Hemler Denver, Colorado Office: 303-298-8100 Suite 1200 Drilling Manager Fax: 303-298-7800 1401 Seventeenth Street Cell:719-680-1378 Denver, Colorado 80202 P.O. Box 660 Jerry Jacobs Denver, Colorado 80201-0660 Enviro Manager Pense Brothers Drilling Larry Pense Glenpool, OK Office:918-322-3095 Mobil 918-625-1668 Fax: 918-322-3829 APD Gary & Jo Ann Stromberg 2 Pilot 1 ;t:: L{) r--. ~ Q en ø z ~ ::J U t- U W ~ o ----- 2 ~ w co t- ~ \) EVERGREEN RESOURCES ALASKA CORP DRilliNG SITE LAY OUT 500 Bbl Frac Tank D- (]) (]) "'0 t ±:LO a... <I) "'0 15' CJ)c(]) .£; 0 c ~t::::::¡ :J ~ ug x t o o ã5 x ~ .r. £ o a::I C\/ ã5 x ~ .r. ü ã -ªL- Blooey line 30 ft (8 in) Mudlogger Trailer r---- ¡ I~ (]) E CD u -0 CD §.Q> oQ::: ~'ê ,:,¿O ü ::) .= o WfU light Plant D n L--J light Plant Cement Additives Q) C' J" 2¡ Mud Supply Trailer Two Compressors Air Booster & Fuel Trailer Doghouse & Parts Trailer Pipe Trailer 20' Trailer I r' latbed I Truck Core Desorb Trailer DD Toilet Trash 200 ft ~"?- 0"f ~~ ~~ Q) Q)O en C ~R .-.JC ~UJ 0"0 C0g ~ =V:I~GI~==I\I <lFSOURCES /AlASKAI CORP Wellhead Location ;t: 0 0 80 ft (-) 1 20 ft ;t: LO r-... .~ light Plant D Items Description Mud Supply Trailer - 28 ft enclosed Batch Mixer - Two 75 bbI tanks 500 BBL Frac Tank - Fresh Water Cementer - on 2O'x8'x8$ skid Cement Additives - 2O'x8'xS.õ' conex Light Plants - Two to Three on site Compressor - Two Ingersoll Rand XHP 900 scfmI350 psi Booster - Hurricane 3.000 scfm at 1.000 psig Fuel Tank - 1,500 gallon d'¡eseJ tank w/auto shut-off Doghouse TOOshed - 40 ft oontainer wigen-set Pipe Trailer - has 3.300 ft of 30 ft rods 20' Trailer - holds spider. casing running equipmenL BHAs Core Desorbtion Trailer - 18=24 ft trailer on site when coring Mudlogging Trailer -18 ft trailer w/ gas chromat & computer Drill Rig - 1999 Ingersoll Rand RD-20 Truck Mounted Drill Rig Blooey Une - 30 ft length & 8-518", 24 ppf casing Cuttings Pit - 100ft by 30 ft by 6 ft deep lined Berm - use material from cuttings pit to stop blooey line pits Parking Area - At. rear of Looition Kill Unes - from cementer to driB rig, always rigged up Toilet - Portable Toilet on Trailer Trash - Commercial or Fabtk:ated Bin ~. Sample Photo =\I=I~GI~==I'I RESOURCES (ALASKA) CORP. J!i ,:: ..{":S.-,qr¡ c:/ E-.~'9'''·<'''1 fJi'!='..i~C('~ :'"':: Well Control Diagrams Gary & Jo Ann Strombera ~ EVERGREEN RESOURCES ALASKA SURFACE CASING DIVERTER EVERGREEN RESOURCES ALASKA PRODUCTION CASING DIVERTER 15 in -------------- ___ __n______~ 16 in CONNECTOR is a 13-3/8" PIN ST&C, 8 RD. J-55 ~~.. ----I Y: ..... 7 ~ ,2' .. APD Gary & Jo Ann Stromberg 2 Pilot 1 - --------------- -----------~-~-- ------ 15 in WASHINGTON DIVERTER RUBBER ELEMENT MODEL 401 o-c (See Below) - ---------~ 16in To 30 FT BLOOEY LINE 8-5/8", 23 PPF. J-55 CASING 8.097" ID with Hammer Union connectc CONNECTOR 8-5/8" PIN ST&C, 8 RD, J-55 '; 5-------+- 171-2'-. WASHINGTON DlVERTER RUBBER ELEMENT MODEL 401O-C (See Below) Pressure Rating: 1,000 psi Static, 500 psi DynamiC--' To 30 FT BLOOEY LINE 8-5/8", 23 PPF, J-55 CASING 8.097" ID with Hammer Union connector ~ =\'=I~GI~==N RESOURCES (ALASKA) CORP. .4 5_t':Ç,~_;;,..,"IE.-e";'ff4 p.-?~.~(~.. :~-= Tubular and Cement Information Gary & Jo Ann Stromberg 2 (Pilot 1) Section 1 Twn 17 North Rng 3 West Seward Meridian Matanuska-Susitna Borough, Alaska Drill Pipe 11" Hole 11" Hole 8" Hole 8" Holle Size Pipe Weight ID Drift Collapse Burst Tinsile Capacity Capacity Capacity Capacity Annulus Annulus Annulus Annulus (in) Grade (ppf) (in) (in) (psi) (psi) (Kpsi) (bbl/ft) (ftIbbl) (gal/ft) (ftIgal) (bbl/ft) (ftIbbl) (bbl/ft) (ftIbbl) 4-1/2 D 16.6 3.826 2.812 7,620 7,210 242 0.01422 70.32 0.5972 1.6744 0.0979 10.2175 0.0425 23.5295 1"-'" Surface Casing 11" Hole 11" Hole 11" Hole 11" Holle Size Pipe Weight ID Drift Collapse Burst Tinsile Capacity Capacity Capacity Capacity Annulus Annulus Annulus Annulus (in) Grade (ppf) (in) (in) (psi) (psi) (Kpsi) (bbllft) (ftIbbl) (gallft) (ftIgal) (bbllft) (ftIbbl) (g a 11ft) (ftIgal) 8-5/8 K-55 24.0 8.097 7.9272 1370 2950 263 0.0636 15.70 2.6749 0.3738 0.0453 22.0860 1.9017 0.5259 Production Casing 8" Hole 8" Hole 8·5/8 Surf 8·5/8 Surf Size Pipe Weight ID Drift Collapse Burst Tinsile Capacity Capacity Capacity Capacity Annulus Annulus Annulus Annulus (in) Grade (ppf) (in) (in) (psi) (psi) (Kpsi) (bbl/ft) (ftIbbl) (g a 11ft) (ftIgal) (bbl/ft) (ftIbbl) (bbllft) (bbl/ft) 5·112 J·55 15.5 4.950 4.825 4040 4810 202 0.0238 42.01 0.9997 1.0003 0.0328 30.5012 0.0343 27.94 51/2 J·55 17.0 4.892 4.767 4910 5320 229 0.0232 43.01 0.9764 1.0242 0.0328 30.5012 0.0343 27.94 1___' Cement Information Density Yield Yield Water 11" Hole 8" Hole Name (Ib/gal) (ft3/sk) (bbl/sk) (gal/sk) Additives Capacity Capacity Surface Set 15.6 1.21 0.2155 5.3 Versaset %%, 5% Salt, % Ib/sk Flocele 0.1175 bbl/ft 0.622 bbllft Pioneer LS 12.2 1.94 0.3455 9.4 2% gel, 2% CaCl, 1 % Thixset A %% Thixset B, % #/sk Flocele 8.5076 ftIbbl 16.0846 ftlbbl APD Gary & Jo Ann Stromberg 2 Pilot 1 ) ( , It :. . . , :.. I" ,. ", r.. .~.' II , ".. ..,. ' ' ! ..,.. , . . . . I I . .' ." . . ) .r" '~ ,,- - f14.-J(- ~ð?... 2. '")"... , n 't. .$?c-¿,6- 2J.v¿~ í)~ -----. . tf~·.. ~#J1/ ~¿~A'tA/A PA76- : ....,. . -, __R ê : ~'Ez6 : <f ¡;èJIZcQ'- ~?/IvIl../~""'?") 0,/4/ '?1J ~ Jilt'!. Ilt I ~ Bé'(.o W'Cj¥ ~?1te- ~~_..__~) t.... - . Z AM ð-ur /N 7Wr Hi=c.Þ. 'Jhfr,uosr ~tFf)~"" WAr ?Þ 6,¡¿:" ~ ~C~ ~r¿( ~u,.J ~J V4'A- A- fk. .::I' 4v?>ñJt'l.I P:tr ,IfA(ër ¿>etdw'~~ &(oLu/~N- ~rðJI1t.. (!.cJÑ$ t/ L n A.t-rf,.. ¿"",A .J"/et!"'" n ?)¡Pd /drMrr /,~ II¡&:' ~ ,c¡"A~ ~ðr.r. ,eA/;è(; It ¿x.Jþ.. (.'!ø.c/rt/q)þ( ð~JÞ¿Ø4/'5 r 7{~ 1J.ñ¡q.Þ'~ Y llV ¡;~ f6 &.Ii...:R r Awb ~.... S~~h;f:n4,¡f,. £. Al'J'lJ.tt-/~~ ',tVl/!, .1'" .~ ~W(!.$~~ 'S v~ (A-tA.rA:A-) PÆtA P (þ~~~A- RECEIVED SEP 1 0 Z002 HaskaOi\ it Gi& Cons, Commission A~ ..~ . , 10"d too' ON Ol:Sl lO,Ol d3S 6909-9¿£:aI NOIltj()tjJX3 "['a -) ') CHECKLIST - SPACING EXCEPTION APPLICATION OPERATOR Evergreen Resources PROPERTY ID/ lEASE FIELD/POOL Pioneer, Tyonek Undefined WEll NAME Gary & Jo Ann Strombery #2 FEE Lease ADL 374121 VERTICAL DEVIATED x EXPLORATORY DELINEATION DEVELOPMENT X GAS OIL X SURFACE lOCATION PRODUCTIVE INTERVALS (Top and Bottom) BOTTOM HOLE 1386' FNL and 933' FWL, S. 1, T17N, R3W, S.M. Same Same Same Check applicable reason{s) for spacing exception: (1) to drill a well for oil within 500 feet of a property line X (2) to drill a well for gas within 1500 feet of a property line (3) to drill and complete more than one oil well in a governmental quarter section; or to drill and complete an oil well closer than 1000' to any well drilling to or capable of producing from the same pool (4) to drill and complete more than one gas well in a governmental section; or X or to drill and complete a gas well closer than 3000' to any well drilling to or capable of producing from the same pool Does the application contain: YES A brief explanation for why the operator has chosen to drill the specified location. A plat drawn to a scale of one inch equaling 2,640 feet or larger, showing the location of the well or portion of the well for which the exception is sought, all other YES completed and drilling wells on the property, and all adjoining properties and wells within 1,000 feet of a well or portion of the well requiring the spacing exception that is drilling for oil or within 3,000 feet of a well or portion of the well requiring the spacing exception that is drilling for gas. The names of all owners, landowners, and operators of all properties within 1,000 YES feet of a well or portion of the well requiring the spacing exception that is drilling for oil or within 3,000 feet of a well or portion of the well requiring the spacing exception that is drilling for gas. A copy of the notice sent by certified mail to the owners, landowners and operators YES described above, the date of mailing, and the addresses to which the notice was sent. YES An affidavit by a person acquainted with the facts verifying that all facts are true and that the plat correctly portrays pertinent and required data. NA If the operator requests a variance from the notice requirements of 20AAC25.055(d), sufficient information to demonstrate that it is not feasible to comply with the notice requirements because of the complexity of ownership within the notice area. =\'=I~GI~==I'· ',' RESOURCES (ALASKA) CORt A Subsidiary of Evergreen Resources, Inc. ) August 26 2002 Ms. Cammy Oechsli-Taylor, Chair Alaska Oil and Gas Conservation Commission 333 West ih Ave., Suite 100 Anchorage, Alaska 99501 RE: Application for Permit to Drill: Gary & Jo Ann Stromberg Number 2 NE/NE of Sec 1 Twn 17 North Rng 3 West Pioneer Unit, Matanuska-Susitna Borough Target: Tertiary Tyonek, Proposed TD: 2990 Feet Proposed Spud Date: 1-Qct-2002 Dear Ms. Oechsli -Taylor, Evergreen Resources Alaska Corporation hereby applies for a Permit to Drill for the subject well located approximately 30 miles north of Anchorage. The well is planned as a shallow, straight hole drilled to evaluate the producibility of the Tyonek Coals. A local water well drilling contractor will casing drill a 12-3/4" conductor past the base of the unconsolidated gravels and cement the conductor in place. Evergreen's Ingersoll Rand RD-20 air-drilling rig, which recently arrived in Alaska, will then drill the 11" surface hole to a depth that protects the fresh water aquifer. A string of 8-5/8" surface casing will be run and cemented to the surface. A 7-7/8" hole will then be drilled to TD and a string of 5-1/2" casing will be run and cemented to surface. The entire drilling process takes less than 3 days. Attached is information required by 20 AAC 25.005 (a) and (c) for your review. Due to the differences in equipment and methods used for air-drilling coal bed methane (CBM), we require several variances from current AOGCC regulations. These variances are recapitulated in this APD. Three items are of note. First, Evergreen has already contacted adjacent mineral interest owners. All parties, whether they be the State of Alaska or the Bureau of Land Management, know that some well locations are within 1 ,500 feet of our adjoining property lines. All affected parties are support of our exploration efforts. Secondly. to better determine the depth that surface casing should be run, an induction log will be run to determine the appropriate depth of the surface casing for the pilot. Finally, we will run a directional survey in the first one or two wells in the cased hole to prove that down hole hammer drilling must drill straight holes. The designated contact for reporting responsibilities to the Commission is John Tanigawa, Alaska Projects Manager, 907-841-0000 as outlined in 20 AAC 25.070 and 20 AAC 25.071. Evergreen appreciates you and your staff's assistance during this, our first drilling campaign in Alaska. We look forward to working with you in the future. Sincerely, enclosures .~" - PO. Box 871845 · Wasil/a, AK 99687 · TEL 907.357.8130 . FAX 907.357.8340 'II'.',,·· ,.", '.o\'" ,:;~:,:~,:~';'~i\r\~::::~~'\.::\:\~ I'\:::::I~ '.'\:'~::i:,:',,:~'~\}~ I,:' \ \ 1\:'\V\~\I'~\\\\~\;~i~\~\"\\\\'\.\:,'" , 1,\",\\\,:\\\\,\,:,\\\,,) ¡~ì¡j ~\\II:~\:':~0\:;~,~¿i:I[.~ "':I:{tÞlrm}lm~n~iJ::~~~~~~f~~~:~,I~~:I~:~1J\'jL'IIJ~'i~':a'~~~¥,:~:~)'J'~':¡~\\\'\i:\\:,\:\!:.::...'\"\\11 \'\\ '\\¡' ':l~:¡:~iij)\:1i ,\;",;. ~.: \\~'~\0~\~ :\;; ::'.I'\;\ï"I;.\\~~ ,\\,\ '\,I \:~,\,,':\\\ \\ ,OOß3004899 ;:. 05/30/20Q2, k******~~~***$10ømQ ì \'~\'\:'~ {.{\::\, ti· " :.' ': ~,\i\~~'::',:;\~'::\" ' ,...' \ i 1,,1 \_\\\;:': ~':"::':..;\:: \, "'..' \iL{~I~~'i\\' \, Evergreen Operating Corp 140.1 17th:$treet, Suite 1200 Denver CO 80202 PAY One Hundred Dollars and Zero \,\',.','.\' ,..,' ",\. '..,.. .:.,":\:'''',,:,;: ',' ," TO rHE R'ÐER OF Alaska OìlandGas Conservation Com'mission 3~3.W~st7th Av~nue#tOO Anchorage AK 9S'501 \·::!,::)\\):\t;::: I" \,¡\\.'",,', Y\,\,'\' " ::::,:;;::f: \\";<\:\",,',' .' , . .','" , ,," " "~'I"~ \\ II ,:.:;:\\::,\,,::,;,;~.,~::\,:'" '\\;:'\:;;\\\',::,,>. \\,'.'.'. "I ", \ II\'M~I,Ø, After 90 Days;;.,,,;,' (:i \;::,.1 ',"."';' ..\;'\':::\.'\ .'::"':";),\;,,,;,:, \I\\(:::.:~~\.:'.\('.".'.'.""'\'S~:.:.~,~;.'.\::,':":.' ~ . ~ ...~'.:':";.":I.Î...¡::.::\.'.::'I:':," <!:.\,:;!\i¡:{'\i:,I:,:,',I'."::'" I '. . . . . .' .'. I' '.' ":,;;!,:..:'" ~"t, · II-OOB jOO~B" gllll I:~. ~ ~ Jro~a? ~h: 5 ~ 20 2 ~ ?O~II· _1.._............ __ ',u__a.. ,,~... _.__.".."' . .___ "." ~h..'.':'L-,.'.... ., ._...~............. _......_....'..._'......_......"..,........... ..·._,.u.....,....,__...~.-.. ........... '.._ .. .........._..... .EASE DETACH AT PERFORATION ABOVE^ ^PLEASE DETACH AT PERFORATION ABOVE^ :V:llGll::I'I EVERGREEN RESOURCES, INC. Evergreen Opera tin a Corp 1401 17th Street, Suite 120"6 Denver CO 80202 D42802 JT-07 ~. .'~"i'¡.1~1~[']1 04/28/2002 I 12 Month Drilling Permit Fee I Check Number -- . 100.00 0.00 Invoice # " '~¡, i ~~.;, ': i. ",.,~) ~..:; - -.- - '''''',",1'''''\ r'hørk Amount ~ 100.00 ) ') TRANSMIT AL LETTER CHECK LIST CIRCLE APPROPRIATE LETTERJP ARAGRAPHS TO BE INCLUDED IN TRANSMITTAL LETTER WELL NAME ~J ....)0 ÞI'L~ 2- PTD# 2-()2- - (<ð"3 CHECK WHAT APPLIES ADD-ONS (OPTIONS) MULTI LATERAL (If API num ber last two (2) digits are between 60-69) PILOT (PH) "CLUE" The permit is for a new wellbore segment of existing well Permit No, API No. Production should continue to be reported as a function· of the original API number stated above. HOLE In accordance with 20 AAC 25.005(t), all records, data and logs acquired for the pilot hole must be clearly differentiated in both name (name on permit plus PH) and API number (50 70/80) from records, data and logs acquired for well (name on permit). SPACING EXCEPTION",·" v/ DRY DITCH SAMPLE Rev: 07/10/02 C\jody\templates The permit is approved subject to full compliance with 20 AAC 25.055. Approval to perforate and produce is contingent upon issuance of a conservation order approving a spacing exception. t:lIt' -..I\~ (Company Name) assumes the liabilitY of any protest to the spacing exception that may occur. All dry ditch sample sets submitted to the Commission must be in no greater than 30' sample intervals from below the permafrost or from where samples are first caught and 10' sample intervals through target zones. w~~ ~~'~i:'CHEÇKù'~i FIELD & POOL ADMINISTRATION APPR SFD DATE 9/6/2002 (For Service Well Only) (For Service Well Only) ENGINEERING APPR WGA DATE 9/3/2002 GEOLOGY (For Service Well Only) APPR SFD COMPANY 610500 EVERGREEN WELL NAME Gary & Jo Ann Stromberg 2 nitial ClasslType EXP /1-GAS PROGRAM Exploritory (EXP) ~Development (DEV) GEOL AREA 820 UNIT No. Redril ~ervice (SER) ~ell bore seg 51550 ON/OFF SHORE On Annular disposal para req 1. Penn it fee attached ............................................................................................. 2. Lease number appropriate................................................ .................................... 3. Unique well name and number ............................................................................. 4. Well located in a defined pool................................................................................ 5. Well located proper distance from drilling unit boundary ............ ................................. 6. Well located proper distance from other wells ........................................................... 7. Sufficient acreage available in drilling unit ......... ...... ....................................... .......... 8. If deviated, is wellbore plat included .................. ... ................................................... 9. Operator only affected party.................................................................................. 10. Operator has appropriate bond in force .................................................................. 11. Pennit can be issued without conservation order..................................................... 12. Penn it can be issued without administrative approval...... ......................................... 13 Can pennit be approved before 15-day wait .................. ............ ............ ................. 14 Well located within area and strata authorized by Injection Order # 15 All wells witthin 1/4 mile area of review identified..................................................... 16 ACMP Finding of Consistency has been issued for this projec .................. ......... ... ...... 17 Conductor string provided...... .......................... .... ...... ... ... ...... ... ...... ... ......... ........ 18 Surface casing protects all known USDWs ............................................................. 19 CMT vol adequate to circulate on conductor & surf csg ............................................. 20 CMT vol adequate to tie-in long string to surf csg ...... ..................... .......................... 21 CMT will cover all known productive horizons......................................................... 22 Casing designs adequate for C, T, B & pennafrost ................................................... 23 Adequate tankage or reserve pit .............................. ...... ......... ........................ ...... 24 If a re-drill, has a 10-403 for abandonment been approved ........................... ............. 25 Adequate wellbore separation proposed ............. ..... ... ......... ........................... ... .... 26 If diverter required, does it meet regulations ... ............ ... ............ ... ... ....................... 27 Drilling fluid program schematic & equip list adequate.............................................. 28 BOPEs, do they meet regulation.......................................................................... 29 BOPE press rating appropriate; test to .................... psig ........................... 30 Choke manifold complies w/API RP-53 (May 84) ..................................................... 31 Work will occur without operation shutdown ...... ......... ... ...... ...... ........................ ...... 32 Is presence of H2S gas probable.......................................................................... 33 Mechanical condition of wells within AOR verified ...... ...... ... ... .................. ......... ... .... 34 Permit can be issued w/o hydrogen sulfide measures............................................... 35 Data presented on potential overpressure zones...... ...... ........................ ......... ...... .. DATE 36 Seismic analysis of shallow gas zones......... .... .. ......... ..................... ......... ............, 37 Seabed condition survey (if off-shore) ................................................................... 9/6/2002 38 Contact name/phone for weekly progress reports [exploratory only] .......................... GEOLOGY: ENGINERING: RES. ENGINERING: COMMISSION: RPC: TEM: JDH~ SFD:,Jþ WGA: VJ6A- MJW: ,/ COT: WT C1f?p/o¿ DTS: 157' ~6ß; 2- Yes # 0083004899 No FEE LEASE surrounded by ADL 374121 based on DNR Mineral Estate map. Yes No No No Yes Yes Yes No Yes No Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Gary & Jo Ann Stromberg 2 will be located in the Pioneer unit in an undefined pool within the Tyonek Fm. SPACING EXCEPTION REQUIRED «1500' from property line) 8-28-02: Phone John T. 9-6-02: John will provide application. SPACING EXCEPTION REQUIRED «3000' from Corn husker 4 and RL Smith 3 gas wells). First gas well in Sec. 1, T17N, R3W, SM. Not Applicable: vertical well SPACING EXCEPTION REQUIRED; text for public notice drafted 8-29-02. Waiting on application. SFD Not Applicable Not Applicable 8-29-02: DNR rules that the project is consistent with the Alaska Coastal Management Program and the Local District Plan. SFD ( 12-1/4" @ 125'. 8-28-02: No information. 9-6-02: Offset well data and Evergreen's C-Plan Exemption request suggests that casing set at the proposed 400' Surface Casing depth should be adequate to protect glacial till layer, which is the drinking water aquifer for this area. Nearest drinking water wells are about 0.3 miles away, and they range in depth from 85 to 129 feet deep. Surface hole will be logged in prior well Cornhusker 4 before setting casing and cementing it to surface to ensure that drinking water is protected. SFD Not Applicable Air drilled. Not Applicable Not Applicable Not Applicable No Not Applicable No 8-28-02: No information provided. 9-6-02: Pioneer 1500 (5 miles SE) reportedly drilled interval with 8.4 ppg. Pioneer 14CC drilled Not Applicable interval with 9.2 ppg mud. Pittman 1 (4 miles E) tested 120 bId gassy water with SIP of 640 psi at -1100', and Not Applicable this inteval was drilled with 9.5 ppg mud. BL T 1 (3 miles SW) drilled this interval with 8.8 ppg mud. Yes John Tanigawa: 907-841-0000 Evergreen will have materials and means to create 10.5 ppg mud onsite. Commentsllnstructions 8-28-02: Spacing exception required to produce the well. Directional survey required as this well is<500' from property line. SFD