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HomeMy WebLinkAbout203-044MEMORANDUM State of Alaska Alaska Oil and Gas Conservation Commission TO: Jim Regg �' 2v,� DATE: Tuesday, April 9, 2019 P.I. Supervisor "'y� I Z/I SUBJECT: Mechanical Integrity Tests I, HILCORP ALASKA LLC 03RD FROM: Austin McLeod BEAVER CK UNIT 03RD Petroleum Inspector Src: Inspector Reviewed By.:: P.I. Supry I2— UV NON -CONFIDENTIAL Comm Well Name BEAVER CK UNIT 03RD IInsp Num: mitSAM190405233217 Rel Insp Num: API Well Number 50-133-20124-01-00 Inspector Name: Austin McLeod Permit Number: 203-044-0 Inspection Date: 4/4/2019 Packer Depth Well 03RD -Type Inj N TVD 4978 _yp - _�- _ _ _ e sPT Test psi isuo PTD 2030440 T e Test BBL Pumped: ,BBL Returned: Interval avRTST TP/F Notes: MIT4A. Not online. Pretest Initial 15 Min 30 Min 45 Min 60 Min Tubing IA i,,, 'u,t) loos Zoos OA 1 11 - Tuesday, April 9, 2019 Page 1 of 1 Hilcorp Alaska, LLC March 21, 2019 Ms. Jessie Chmielowski Alaska Oil and Gas Conservation Commission 333 rest 7" Avenue, Suite 100 Anchorage, Alaska 99501 RE: RULE 6, DIO 40: BCU -03RD Dear Ms. Chmielowski: 3600 Centerpoint Drive Suite 1400 Anchorage, AK 99503 Phone: 9D7-777-8300 Fax: 907-777-8310 RECEIVED APR 0 f 2019 AOGCC Attached please find the surveillance report required by Rule 6 of DIO 40 establishing the DIO for the Class II Water Disposal well BCU -03RD (PTD 2030440) for the calendar year of 2018. Injection and Annuli Pressures Injection volumes and annuli pressures are displayed on the plot in attachment 1. Maximum injection rates and pressures are well below those required by rule 3 and the injection index data indicates confinement of injection to the approved intervals. Last Mechanical Integrity test: April 9, 2015 When actively injecting, BCU -03RD disposes of water only and is therefore on a four year MIT cycle. The next MIT is due April 2019. Fracture Geometry BCU -03RD disposes of Class H waste in the BIL & B2 sands of the Sterling section in Sterling Gas Unit. Fracture orientation in BCU -03RD is expected to be vertical and confined by approximately over 200' thick bounding layers above and below the injection strata. This has been proven by previous temperature logs and by openhole log derived rock mechanics properties. Sincerely, r Trudi Hallett Reservoir Engineer 2000 1500. 1000 5OG BCU ID03RD WDW X00 0 J 131/2UIB 0t ly'l010312018 Z.A " 2 0, ea, ijsjq0 !-'S- .,-j �' C.. 1 2,01's J: --1. 4 — Tubing — TA — 0A — Water Injection Well: BCU 03RD Desc: Disposal Permit to drill: 2030440 Admin Approval: DIO #40 API: 50-133-20124-01-00 Date Range: 01/01/2018 -12/31/2018 Date Tubing IA OA Water Injection 12/31/201,' 0 0 25 0 12/30/201! 0 0 25 0 12/29/201 0 0 25 0 12/28/201 0 0 25 0 12/27/201 0 250 25 0 12/26/201 0 250 25 0 12/25/201 0 250 25 0 12/24/201 0 250 25 0 12/23/201 0 250 25 0 12/22/201; 0 250 25 0 12/21/201,' 0 250 25 0 12/20/201 0 250 25 0 12/19/201 0 250 25 0 12/18/201 0 250 25 0 12/17/2011 0 250 25 0 12/16/201 0 250 25 0 12/15/201,' 0 250 25 0 12/14/201 0 250 25 0 12/13/201,' 0 250 25 0 12/12/201 0 250 25 0 12/11/201 0 250 25 0 12/10/201 0 250 25 0 12/9/2018 0 250 25 0 12/8/2018 0 250 25 0 12/7/2018 0 250 25 0 12/6/2018 0 250 25 0 12/5/2018 0 250 25 0 12/4/2018 0 250 25 0 12/3/2018 0 250 25 0 12/2/2018 0 250 25 0 12/1/2018 0 250 25 0 11/30/201 0 250 25 0 11/29/201 0 250 25 0 11/28/201 0 250 25 0 11/27/201: 0 250 25 0 11/26/2011 0 250 25 0 11/25/201 0 250 25 0 11/24/201 0 250 25 0 11/23/201 0 250 25 0 11/22/2011 0 250 25 0 11/21/201; 0 250 25 0 11/20/201 0 250 25 0 11/19/201 0 250 25 0 11/18/201: 0 250 26 0 11/17/201 0 250 26 0 11/16/201 0 250 26 0 11/15/201 0 250 26 0 11/14/201 0 250 26 0 11/13/201 0 250 26 0 11/12/201 0 250 26 0 11/11/201 0 250 26 0 11/10/2011 0 250 26 0 11/9/2018 0 250 26 0 11/8/2018 0 250 26 0 11/7/2018 0 250 26 0 11/6/2018 0 250 26 0 11/5/2018 0 250 26 0 11/4/2018 0 250 26 0 11/3/2018 0 250 26 0 11/2/2018 0 250 26 0 11/1/2018 0 250 26 0 10/31/201 0 250 26 0 10/30/2011 0 250 26 0 10/29/201 0 250 26 0 10/28/201: 0 250 26 0 10/27/201 0 250 26 0 10/26/201 0 250 26 0 10/25/201 0 250 26 0 10/24/201 0 250 26 0 10/23/2011 0 250 26 0 10/22/201 0 250 26 0 10/21/2011 0 250 26 0 10/20/2011 0 250 26 0 10/19/2011 0 250 26 0 10/18/201 0 250 26 0 10/17/2011 0 250 26 0 10/16/2011 0 250 26 0 10/15/2011 0 250 26 0 10/14/2011 0 250 26 0 10/13/2011 0 250 26 0 10/12/2011 0 250 26 0 10/11/2011 0 250 26 0 10/10/201 0 250 26 0 10/9/2018 0 250 26 0 10/8/2018 0 250 26 0 10/7/2018 0 250 26 0 10/6/2018 0 250 26 0 10/5/2018 0 250 26 0 10/4/2018 0 250 26 0 10/3/2018 0 250 26 0 10/2/2018 0 250 26 0 10/1/2018 0 250 26 0 9/30/2018 0 250 26 0 9/29/2018 0 250 26 0 9/28/2018 0 250 26 0 9/27/2018 0 250 26 0 9/26/2018 0 250 26 0 9/25/2018 0 250 26 0 9/24/2018 0 250 26 0 9/23/2018 0 250 26 0 9/22/2018 0 250 26 0 9/21/2018 0 250 26 0 9/20/2018 0 250 26 0 9/19/2018 0 250 26 0 9/18/2018 0 250 26 0 9/17/2018 0 250 26 0 9/16/2018 0 250 26 0 9/15/2018 0 250 26 0 9/14/2018 0 250 26 0 9/13/2018 0 250 26 0 9/12/2018 0 250 26 0 9/11/2018 0 250 26 0 9/10/2018 0 250 26 0 9/9/2018 0 250 26 0 9/8/2018 0 250 26 0 9/7/2018 0 250 26 0 9/6/2018 0 250 26 0 9/5/2018 0 250 26 0 9/4/2018 0 250 26 0 9/3/2018 0 250 26 0 9/2/2018 0 250 26 0 9/1/2018 0 250 26 0 8/31/2018 0 250 26 0 8/30/2018 0 250 26 0 8/29/2018 0 250 26 0 8/28/2018 0 250 26 0 8/27/2018 0 250 26 0 8/26/2018 0 250 26 0 8/25/2018 0 250 26 0 8/24/2018 0 250 26 0 8/23/2018 0 250 26 0 8/22/2018 0 250 26 0 8/21/2018 0 250 26 0 8/20/2018 0 250 26 0 8/19/2018 0 250 26 0 8/18/2018 0 250 26 0 8/17/2018 0 250 26 0 8/16/2018 0 250 26 0 8/15/2018 0 275 26 0 8/14/2018 0 350 27 0 8/13/2018 0 350 27 0 8/12/2018 0 350 27 0 8/11/2018 0 350 27 0 8/10/2018 0 350 27 0 8/9/2018 0 350 27 0 8/8/2018 0 350 27 0 8/7/2018 0 350 27 0 8/6/2018 0 350 27 0 8/5/2018 0 350 27 0 8/4/2018 0 375 27 0 8/3/2018 0 375 27 0 8/2/2018 0 375 27 0 8/1/2018 0 375 27 0 7/31/2018 0 375 27 0 7/30/2018 0 375 27 0 7/29/2018 0 375 27 0 7/28/2018 0 375 27 0 7/27/2018 0 375 27 0 7/26/2018 0 375 27 0 7/25/2018 0 375 27 0 7/24/2018 0 375 27 0 7/23/2018 0 375 27 0 7/22/2018 0 375 27 0 7/21/2018 0 375 27 0 7/20/2018 0 375 27 0 7/19/2018 0 375 27 0 7/18/2018 0 375 27 0 7/17/2018 0 375 27 0 7/16/2018 0 375 27 0 7/15/2018 0 375 27 0 7/14/2018 0 375 27 0 7/13/2018 0 375 27 0 7/12/2018 0 375 26 0 7/11/2018 0 375 25 0 7/10/2018 0 375 25 0 7/9/2018 0 375 25 0 7/8/2018 0 375 25 0 7/7/2018 0 375 25 0 7/6/2018 0 375 25 0 7/5/2018 0 375 25 0 7/4/2018 0 375 25 0 7/3/2018 0 375 25 0 7/2/2018 0 375 25 0 7/1/2018 0 375 25 0 6/30/2018 0 375 25 0 6/29/2018 0 375 25 0 6/28/2018 0 375 25 0 6/27/2018 0 375 25 0 6/26/2018 0 375 25 0 6/25/2018 0 375 25 0 6/24/2018 0 375 25 0 6/23/2018 0 375 25 0 6/22/2018 0 375 25 0 6/21/2018 0 375 25 0 6/20/2018 0 375 25 0 6/19/2018 0 375 25 0 6/18/2018 0 375 25 0 6/17/2018 0 375 25 0 6/16/2018 0 375 25 0 6/15/2018 0 375 25 0 6/14/2018 0 375 25 0 6/13/2018 0 375 25 0 6/12/2018 0 375 25 0 6/11/2018 0 375 25 0 6/10/2018 0 375 25 0 6/9/2018 0 375 25 0 6/8/2018 0 375 25 0 6/7/2018 0 375 25 0 6/6/2018 0 375 25 0 6/5/2018 0 375 25 0 6/4/2018 0 375 25 0 6/3/2018 0 375 25 0 6/2/2018 0 375 25 0 6/1/2018 0 375 25 0 5/31/2018 0 375 25 0 5/30/2018 0 375 25 0 5/29/2018 0 375 25 0 5/28/2018 0 375 25 0 5/27/2018 0 375 25 0 5/26/2018 0 375 25 0 5/25/2018 0 375 25 0 5/24/2018 0 375 25 0 5/23/2018 0 375 25 0 5/22/2018 0 375 25 0 5/21/2018 0 375 25 0 5/20/2018 0 375 25 0 5/19/2018 0 375 25 0 5/18/2018 0 375 25 0 5/17/2018 0 375 25 0 5/16/2018 0 375 25 0 5/15/2018 0 375 25 0 5/14/2018 0 375 25 0 5/13/2018 0 375 25 0 5/12/2018 0 375 25 0 5/11/2018 0 375 25 0 5/10/2018 0 375 25 0 5/9/2018 0 375 25 0 5/8/2018 0 375 25 0 5/7/2018 0 375 25 0 5/6/2018 0 375 25 0 5/5/2018 0 375 25 0 5/4/2018 0 375 25 0 5/3/2018 0 375 25 0 5/2/2018 0 375 25 0 5/1/2018 0 375 25 0 4/30/2018 0 375 25 0 4/29/2018 0 375 25 0 4/28/2018 0 375 25 0 4/27/2018 0 375 25 0 4/26/2018 0 375 25 0 4/25/2018 0 375 25 0 4/24/2018 0 375 25 0 4/23/2018 0 332 25 0 4/22/2018 0 375 25 0 4/21/2018 0 375 25 0 4/20/2018 0 375 25 0 4/19/2018 0 375 25 0 4/18/2018 0 375 25 0 4/17/2018 0 375 25 0 4/16/2018 .0 375 25 0 4/15/2018 0 375 25 0 4/14/2018 0 375 25 0 4/13/2018 0 375 25 0 4/12/2018 0 375 25 0 4/11/2018 0 375 26 0 4/10/2018 0 375 26 0 4/9/2018 0 375 26 0 4/8/2018 0 375 26 0 4/7/2018 0 375 26 0 4/6/2018 0 375 26 0 4/5/2018 0 375 25 0 4/4/2018 0 375 25 0 4/3/2018 0 375 25 0 4/2/2018 0 375 25 0 4/1/2018 0 375 26 0 3/31/2018 0 375 26 0 3/30/2018 0 375 26 0 3/29/2018 0 375 26 0 3/28/2018 0 375 26 0 3/27/2018 0 375 25 0 3/26/2018 0 375 25 0 3/25/2018 0 375 25 0 3/24/2018 0 375 25 0 3/23/2018 0 375 25 0 3/22/2018 0 375 27 0 3/21/2018 0 375 27 0 3/20/2018 0 375 27 0 3/19/2018 0 375 27 0 3/18/2018 0 375 27 0 3/17/2018 0 375 27 0 3/16/2018 0 375 27 0 3/15/2018 0 375 27 0 3/14/2018 0 375 27 0 3/13/2018 0 375 27 0 3/12/2018 0 375 27 0 3/11/2018 0 375 27 0 3/10/2018 0 375 27 0 3/9/2018 0 375 27 0 3/8/2018 0 375 27 0 3/7/2018 0 375 27 0 3/6/2018 0 375 27 0 3/5/2018 0 375 27 0 3/4/2018 0 375 27 0 3/3/2018 0 375 27 0 3/2/2018 0 375 27 0 3/1/2018 0 355 25 0 2/28/2018 0 355 25 0 2/27/2018 0 355 25 0 2/26/2018 0 355 25 0 2/25/2018 0 355 25 0 2/24/2018 0 355 25 0 2/23/2018 0 355 25 0 2/22/2018 0 375 27 0 2/21/2018 0 375 27 0 2/20/2018 0 375 27 0 2/19/2018 0 375 27 0 2/18/2018 0 375 27 0 2/17/2018 0 375 27 0 2/16/2018 0 375 27 0 2/15/2018 0 375 25 0 2/14/2018 0 375 25 0 2/13/2018 0 375 25 0 2/12/2018 0 375 25 0 2/11/2018 0 375 25 0 2/10/2018 0 375 25 0 2/9/2018 0 375 27 0 2/8/2018 0 375 27 0 2/7/2018 0 375 27 0 2/6/2018 0 375 27 0 2/5/2018 0 375 27 0 2/4/2018 0 375 27 0 2/3/2018 0 375 27 0 2/2/2018 0 375 25 0 2/1/2018 0 350 25 0 1/31/2018 0 350 25 0 1/30/2018 0 350 25 0 1/29/2018 0 350 25 0 1/28/2018 0 350 25 0 1/27/201.8 0 350 25 0 1/26/2018 0 350 25 0 1/25/2018 0 375 27 0 1/24/2018 0 375 27 0 1/23/2018 0 375 27 0 1/22/2018 D 390 27 0 1/21/2018 0 375 27 0 1/20/2018 0 375 27 0 1/19/2018 0 350 27 0 1/18/2018 0 325 25 0 1/17/2018 1859 360 25 51.9 1/16/2018 0 360 25 0 1/15/2018 0 360 25 29.7 1/14/2018 0 360 25 0 1/13/2018 0 360 25 0 1/12/2018 0 360 25 0 1/11/2018 0 350 27 0 1/10/2018 0 375 27 0 1/9/2018 0 375 27 0 1/8/2018 0 375 27 0 1/7/2018 0 375 27 0 1/6/2018 0 360 27 0 1/5/2018 0 360 27 0 1/4/2018 0 350 26 0 1/3/2018 0 350 26 0 1/2/2018 0 350 26 0 1/1/2018 0 350 26 0 • • 2v3 - 3/41{ Hilcorp Alaska, LLC y 3800 Centerpoint Drive { Suite 1400 Anchorage,AK 99503 M PI,R rd I ''01 Phone: 907-777-8322 March 20, 2017 Fax: 907-777-8310 AOU GC Ms. Cathy P. Foerster, Chair Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 ��� cl',pp ' ` 'J}.°. 1 II RE: RULE 6, DIO 40: BCU-03RD Dear Ms. Foerster: Attached please find the surveillance report required by Rule 6 of DIO 40 establishing the DIO for the Class II Water Disposal well BCU-03RD(PTD 2030440)for the calendar year of 2016. Injection and Annuli Pressures Injection volumes and annuli pressures are displayed on the plot in attachment 1. Maximum injection rates and pressures are well below those required by rule 3 and the injection index data indicates confinement of injection to the approved intervals. Last Mechanical Integrity test: April 9,2015 Fracture Geometry BCU-03RD disposes of Class II waste in the B 1 L & B2 sands of the Sterling section in Sterling Gas Unit. Fracture orientation in BCU-03RD is expected to be vertical and confined by approximately over 200' thick bounding layers above and below the injection strata. This has been proven by previous temperature logs and by openhole log derived rock mechanics properties. Sincerely, , .461,1224.- q,A__(,_, Trudi Hallett Jim Young Reservoir Engineer Reservoir Engineer • • Seth Nolan 3800Hilcorp Alaska, LLC 14 2-89GeoTech Drive, Suite 100 Anchorage, G`�91�'— AK 99503 Tele: 907 777-8308 Li Fax: 907 777-8510 E-mail: snolan@hilcorp.com DATE 06/10/2016 To: Alaska Oil & Gas Conservation Commission Meredith Guhl RECEIVED 333 W 7th Ave Ste 100 Anchorage, AK JU\1 1 3 2016 99501 AOGCC DATA TRANSMITTAL BCU 3RD , EW Electric log Tiff and PDF's CD: Log Images DGR_EWR BCU-3RD_MD.pdf 6/10/201612:01 PM PDF Document 5;310 KB DGR_EWR_BCU-3RD_MD.tif 6/10/201611:35 AM TIF File 18;612 KB DGR_SLD_CTN BCU-3RD_TVD.pdf 6/10/201612:04 PM PDF Document 5;595 KB DGR_SLD_CTN_BCU-3RD_TVD.tif 6110/201611:37 Arvi TIF File 17;928 KB Please include current contact information if different from above. Please acknowledge receipt by signing and returning one copy of this transmittal or FAX to 907 777.8337 Receiv y: Date: STATE OF ALASKA A OIL AND GAS CONSERVATION COMitION REPORT OF SUNDRY WELL OPERATIONS 1.Operations Abandon U Plug Perforations U .Fracture Stimulate U Pull Tubing 11 Operations shutdown U Performed: Suspend ❑ Cr-Perforate 0 aer Other Stimulate ❑ Alter Casing❑ Change Approved Program El Plug for Redrill ❑ 3rforate New Pool ❑ Repair Well ❑ Re-enter Susp Well❑ Other: Re-pert,CT-FCO w/N20 2.Operator 4.Well Class Before Work: 5.Permit to Drill Number: Name: Hilcorp Alaska,LLC Development ❑ Exploratory ❑ 203-044 • 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic❑ Service 0 6.API Number: Anchorage,AK 99503 50-133-20124-01 ' 7.Property Designation(Lease Number): 8.Well Name and Number: FEDA028083 • Beaver Creek Unit(BCU)3RD ° 9.Logs(List logs and submit electronic and printed data per 20AAC25.071): 10.Field/Pool(s): N/A Beaver Creek/Undefined WDSP 11.Present Well Condition Summary: 9,570; Total Depth measured 10,005 • feet Plugs measured 9,902;8,970 fii I V true vertical 8,713 • feet Junk measured 8,833 feet NOV232015 Effective Depth measured 9,570 feet Packer measured 5,655 feet true vertical 8,287 feet true vertical 4,879 feet AOc3CC Casing Length Size MD TVD Burst Collapse Structural Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5/8" 1,569' 1,540' 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,457' 6,340 psi 3,830 psi Production Liner 4,356' 3-1/2" 9,999' 8,707' 10,160 psi 10,530 psi Perforation depth Measured depth See Attached Schematic True Vertical depth See Attached Schematic Tubing(size,grade,measured and true vertical depth) 3-1/2" 9.3#/L-80 5,643'MD 4,870'ND Packers and SSSV(type,measured and true vertical depth) Baker 7"ZXP;N/A 5,655'MD 4,879'ND N/A;N/A 12.Stimulation or cement squeeze summary: N/A Intervals treated(measured): N/A Treatment descriptions including volumes used and final pressure: N/A 13. Representative Daily Average Production or Injection Data Oil-Bbl Gas-Mcf Water-Bbl Casing Pressure Tubing Pressure Prior to well operation: 0 0 0 924 2578 Subsequent to operation: 0 0 0 1039 2444 14.Attachments(required per 20 AAC 25.070,25.071,&25.283) 15.Well Class after work: Daily Report of Well Operations Exploratory❑ Development Service 0 Stratigraphic ❑ Copies of Logs and Surveys Run ❑ 16.Well Status after work: Oil ❑ Gas ❑ WDSPL a4 Printed and Electronic Fracture Stimulation Data ❑ GSTOR ❑ WINJ ❑ WAG ❑ GINJ ❑ SUSP❑ SPLUG❑ 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: 315-574 Contact Joe Kaiser-777-8393 Email jkaiser(cr�.hilcorp.com Printed Name Chad Helgeson Title Operations Manager Signature '. /. .." Phone 907-777-8405 Date Jt/Z3/1 S Form 10-404 Revised 5/2015 6 /Z•s•l‘ DM NAV Z 4 2015 Submit Original Only • • Hilcorp Alaska, LLC Well Operations Summary Well Name Rig API Number Well Permit Number Start Date End Date BCU-3RD 50-133-20124-01 203-044 10/23/15 10/28/15 Daily Operations: 10/23/2015- Friday Obtain PTW. Hold safety meeting and discuss job procedures. (Previous day laid pit liner. Spot 3 Rain for Rent tanks. Berm tanks.) Spot equipment. Rig up SLB CTU 12. Start BOP test. Test all valves and rams to 250/4,500 psi. 24 hr AOGCC notification sent 10/22/15 @ 14:29. Witness waived by Jim Regg 10/23/15 at 0913. BOP test complete. State form filled out and sent in. Blow down iron and surface lines. Secure location. Crews off location. Wellsite secure. 10/24/2015-Saturday Obtain PTW. Hold safety meeting and discuss job procedures. Fire equipment. Pick injector head. Stab 10 ft lubricator. Make up cold roll CT connector 1.90". Check valves, 2in nozzle. Shell test lubricator and BOPs 3,500 psi. Open well RIH. Returns at surface WHP 0 psi. Wt check 3,000 ft 7,700 lbs. PT N2 lines 4,000 psi. Pressure test good. Lined up down CT. Online 400 scf with N2 only. Will lift hydrostatic head of water prior to coming online with commingled fluid. Increase N2 rate to 800 scf/min. 650 psi CT pressure. Parked at 4,600 ft. Waiting for N2 to unload column of fluid above us. Online with produced water at .25 bbls/min and 600 scf/min. Passing through intervals from 5,800'-5,940' at @ 20ft/min. Pick back up to top of interval. Continue to cycle through zone at 20 Nv. ft/min at 500 scf/min and .32 bbls/min. No solids in returns. Made three passes. Changed rate to 500 scf/min and .5 bbls/min. Three passes at 20 ft/min. Did not see a lot of sand in samples. Returns are clear. Decided to RIH to find bottom and perform cleanout. RIH to bottom. Continue RIH. Stacked 4K down at 8,683'. Picked up and RIH did not see any weight bobbles at 8,683'. Continue to RIH stack weight at 8,809' RKB. Increase N2 rate to 800 scf/min. Pick up and confirm tag depth. RIH solid tag at 8,809' RKB. Wellbore volume is 77 bbls. Pumped 50 down CT. Confirmed fluid is coming from formation. Wellbore volume of 77 bbls and pump volume of 50 bbls recovered. Fluid returns continued. Start POOH. 50 ft/min until bottoms up achieved. Shut down N2. Continue to POOH. At surface. Well returns starting to slow down. Returns stopped. Closed swab. Pop injector off well. Installed night cap. Line up to inject down 3.5in production tubing. 396 bbls in return tank. -73 wellbore volume and 50 bbl pump volume. 275 bbls returned from formation. Online down tubing at 3 bbls a minute to attempt to catch fluid level. Dropped pump rate to 1.5 bbls/min pumped @ 1.5 bbls/min for 15 minutes. Average injection pressure 1,700 psi. Once acceptable flat line achieved increase to max rate of pump unit. Walked rate up to 6.2 bbls/min. Pressure increasing gradually from 1,700 psi to 2,600 psi. Continues to climb. Injection rate stabilized and flat line at 2 bbls/min at 2,830 3,000 psi for remainder of the 396 bbls. Pumped down return tank to determine sand volume from cleanout run. Estimated 2 5 gallon buckets of sand on bottom of tank. Blow down surface lines with air. Surge suction hoses to void residual fluids. Close all ground valves and confirm well shut in and double isolated. Perform walk around of location. Location secure. Crews off location. SLB will be out in morning to inspect and fix level wind while Pollard E- line runs a tag/CCL log from bottom to top of perf interval. 10/25/2015-Sunday • • Hilcorp Alaska, LLC Well Operations Summary Well Name Rig API Number Well Permit Number Start Date End Date BCU-3RD 50-133-20124-01 203-044 10/23/15 10/28/15 Daily Operations: Obtain PTW. Hold safety meeting and discuss job procedure. Spot equipment and start rigging up. Crew member ran 01,(back to shop to get pressure temperature tool. Make up CCL/gamma ray, pressure temperature tool, and flow meter. Stab on well. Pressure test lubricator to 3,500 psi. Good test no leaks. Bleed down stack. Open well. RIH. Tag at 8,833'. Pick up and log OOH at 40 ft/min to 5,490'. Pass 6.1. Send log to town. Start injecting with waste water pumps. Log following log down and up at 60 ft/min 6,050'-5,700'. 750 psi tubing pressure. Log down and up at 90 ft/min 1,300 psi tubing pressure. Log down and up at 1207 min at 2,000 psi tubing pressure. Park at 5,900' and log stationary for 5 minutes. Park at 6,050' and log stationary for 5 minutes. POOH. OOH. Start rigging down. Turn well over to production. Pollard off location. SLB ready for tomorrow. Send flow logs to town. 10/26/2015- Monday Obtain PTW. Hold safety meetings. Discuss job procedures, pump squence and mixing gel/sand procedure. Discuss contingencies and "what if scenarios." Fire equipment, pick injector head. Start filling up supply tank from water well. Stab 10' lubricator. Make up dimple coil connector, back pressure check valves, and hydraulic disconnect. 2.125" OD. Install PT and pull test plate. Pull test 15k lbs. Install high pressure filter in 1502 iron. Line up with lease water down CT for fluid pack. 24 bbls pumped. Close in test plate. Pressure test MHA 250 psi low and 4,500 psi high. , ti`�` No leaks, solid flat line. Bleed down. Position frac sand, HEC gel, soda ash, and citric acid on batch mixer. InstallP114 b sand perforating tool OD 2.75in. Set up with .125" nozzles x 2, 60 degree phasing. Test pump trips. Tool length 9'. Stab on well. Pt Stack to 250/4,500 psi. Bleed down. Open well. Load 50 bbls x 2 into batch mixer. Shear 80 lbs of HEC gel per 50 bbls of fluid. Check PH level. Load 1 cup of soda ash to activate cross link of gel. Load one 50 bbl tank with 36 5 gallon buckets of frac sand. RIH. WT check, 3,000' 1000 lbs. RIH, tag @ 8,806.3 ft. CTMD corrected to RKB. Pick up stretch out of CT string. Input new depth of 8,814' corrected to E-line and open hole log. PU to shot depth with nozzle across interval#1 5,921'. Online with frac sand slurry, coil pressure 250 psi, pump pressure 3,000 psi. Shut down pump. Bleed down pressure. Knock out inline filter. Full of frac sand. Install 2ft 1502 pup joint in its place. Pressure test break to 4,500 psi. Back online with frac sand slurry down CT. Pumping at 1 bbl/min 3,129 psi. Choke wide open taking returns. 24 bbls pumped. Frac sand slurry at nozzles. Start sand jet perforating zone 1 at 5,921'. 50 bbls frac sand pumped. Online with lease water for 24 bbls. Water at nozzle stage 1 complete. Continue to circulate bottoms up of 27 bbls. PU to shoot#2 at 5,900 ft. Load batch mixer with 50 bbls. Mix 100 bbls of sand laden fluid . 80 lbs HEC Gel per 50 bbls and 2000 lbs of sand per 50 bbls. Start pumping stage 2. • ! II Hilcorp Alaska, LLC Well Operations Summary Well Name Rig API Number Well Permit Number Start Date End Date BCU-3RD 50-133-20124-01 203-044 10/23/15 10/28/15 Daily Operations: Slurry at nozzle start jet perforating stage 2 at 5,900'. Sand laden fluid at nozzle. Perforate with 50 bbls. Pick up to stage 3 at 5,882'. Online with 50 bbls of sand laden fluid. Followed by 25 bbls of lease water. Stage 3 complete. PU to stage 4. 5,839'. Parked at depth. Mixing up 100 bbls of HEC gel. Load each 50 bbl tank with 2,000 lbs of sand. Roughly takes 1 hr to make 100 bbls of sand laden fluid. Online with nozzle across stage 4 at 5,839'. Pump 50 bbls sand laden fluid 2,913 psi while perforating. Confirmed 1:1 returns. Estimated on 50%of sand returned to surface samples. Perforate with 50 bbls sand laden fluid. PU to stage 5 5,812'. Online with 50 bbls of sand laden fluid followed by 25 bbls of water. Water at nozzle. RIH to 5,930'to pump bottoms up. Circulated 35 bbls . Start POOH, continue to pump until 40 bbls total while POOH. Shut down pump and saw substantial increase in weight. Back online with lease water. Swabbing suspended sand found at 4,200 ft. 90%sand in returns. Determined frac sand fall out increased during 4th and 5th stage. Tagged up at surface. Total fluid pumped for perforating intervals 526 0V" bbls. Gel/sand returned to surface 486 bbls. Loss of 40 bbls to formation. Hydrostatic increase due to column of rDs spent sand/gel. Fill batch mixer with 50 bbls twice to clean up . Lined up with lease water down tubing. Online 6 bbls, ri min. Pump pressure slowly increasing stabilized around 2,800 psi. Same as injection test prior to perforating. Dropped rate to 1.5 bbls/min. Injection pressure still 2,500 psi same as prior injection test before perforating. 44 '(4) bbls of lease water pumped for inj test. Secure location. Close master swab. Shut down equipment. Crews off location. Back on location 10 am. 10/27/2015 -Tuesday Obtain PTW. Hold safety meeting, discuss job procedures. Fire equipment, line up down back side with fluid from " ,c,c) return tanks. Pick injector head. Stab 10 ft lubricator. Make up CC, DFCV, stinger, 2.5 in jet swirl nozzle. Stab on well. Bullhead water down 3.5in tubing. Walk rate up to 5.5 to 6.5 bbls/min. 425 bbls injected at 2,800 psi. Pressure test lubricator. Line up hose to outside open top. Found small leak in 1502 hammer union. Bleed down, blow down iron. Replace o ring gasket. PT 4,500 psi. Bullhead fluid down well at 5.5-6.5 bbls/min @ 2,800 psi. 97 bbls pumped for this stage. Total fluid injected into formation 522 bbls. RIH. Cool down N2 pump. Pressure test to 4,500 psi. Online with N2 500 scf/min CT depth 3,863'. Continue to trip in hole. Weight check at 5,400 ft . Clean up weight. Increase N2 rate to 800 scf/min. Online with fluid at .5 bbls/min. 6,000 ft park CT lifting from bottom of perfs. 37 bbls of wellbore volume from bottom of perfs and 24 bbls of CT volume recovered. Start recording return rates to determine flow rate from formation. Pick up to to 5,812' and run back in at 5 ft/min to 6,000'. Continue to lift. No solids at Ni " surface. Shut down .5 bbl fluid rate down CT. Only pumping 800 scf/min N2. Continue pumping N2 from below perfs. f(- No solids in returns. Good fluid and N2 returns at surface. Start POOH. Continue pumping N2 until no fluid is seen at tanks. Wellbore unloading at 1.8 bbls/min. POOH to surface. N2 at tank only. Shut down N2. Bleed down N2 iron. Continue to POOH. Blow down surface hoses. Tagged up at surface. Close master and swab. Bleed down. Pop off well. Break down tools. Set injector head down. Secure location. Crews off location. 10/28/2015-Wednesday • Hilcorp Alaska, LLC Well Operations Summary Well Name Rig API Number Well Permit Number Start Date End Date BCU-3RD 50-133-20124-01 203-044 10/23/15 10/28/15 Daily Operations: Obtain PTW. Hold safety meeting and discuss job procedures for the day. Fire equipment. Line up to pump down well. Online 1 bbl/min. 1 bbl/min. Increase rate to 2 bbls/min. Increase rate to 3 bbls/min, increase rate to 4 bbls/min. Increase rate to 6 bbls/min. Down on pump. Noticed small leak in BOP flange to wellhead. Close swab. Bleed down to open top tank. Tighten flange. Pressure test 4,500 psi. Open swab. Back on line walk up rate to 6 bbls/min. 2,800 psi at 6 bbls/min. No decrease in pressure from previous injection tests. Down on pump. 408 bbls of water injected. Close master and swab. Start rigging down CTU 12. Rigging down. Perform walk around of location. Turn well over to production. Crews off location. • • Beaver Creek 3RD Pada SCHEMATIC HilcorpAlaska,l.1.t 1,22T FNL, 1,501' FWL, Sec. 34, T7N, R1OW, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 Property Des: A-028083 - 9-5/8"x13-318"TOC(CBL 8/03/68)-284' KB Elevation: 179'(21'AGL) x: 317,318.98' - - ..- 7"x9-5/8"TOC(CBL 8/14/68)-0' j 2,433,959.65' Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W Spud: 04/24/2003 Surface Casing: TD: 05/13/2003 13-3/8" 61 ppf J-55 at 533' Rig Released:05/20/2003 @ 06:00 hrs. Cmt with 565 sx Intermediate Casing: 9-5/8" 40 ppf J-55 BTC @ 1,569' Cmt'd w/500 sks Cement ll 1 DV Collar 1/4"OD 0.049"wall Chemical injection (®2,034' 1 Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage Gas Lift Mandrel @ 5,585' t (Dummy Valve installed 2003) 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg . k h - f: / Top of Baker 7"ZXP Packer/Liner Hanger 11[ and 4"PBR @ 5,643' -p__-� Sealbore Extension ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned) I , Sterling Perfs 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) B-2 - - B-IL 5,805-5,825' [20](4,998'-5,014'TVD),2-1/2"4 spf(4/06/15) B1L 5,806-5,855' [50](4,998'-5,038'TVD),2-1/2"6 spf(3/04/15) B1L 6,033'-6,043'(5,180'-5,189'TVD),4 spf(11/20/87) B-3 - • 6,034'-6,044'(5,182'-5,190'TVD),4 spf(11/20/87) 13-3 B-2 5,812'(5,005'TVD)Abrasive Perf,2 shots(10/26/15)B1L 6,035'-6,047'(5,182'-5,192'TVD),4 spf(11/08/88) B-3 5,839'(5,027'TVD)Abrasive Perf,2 shots(10/26/15)B1L 6,034'-6,050'(5,182'-5,194'TVD),4 spf(8/15/68) 13-35,856-5,945' [90'](5,038'-5,110'TVD),2-1/2"6 spf(3/04/15) B2 6,056-6,080'(5,201'-5,218'TVD),4 spf(8/15/68) 13-3 5,882'(5,061'TVD)Abrasive Perf,2 shots(10/26/15)82 6,060'-6,080'(5,202'-5,218'TVD),4 spf(9/25/82) B-3 B-3 5,900'(5,075'TVD)Abrasive Perf,2 shots(10/26/15)B2 6,104'-6,146'(5,237'-5,270'TVD),4 spf(8/15/68) B-3A 5,905'-5,925' [20'](5,078'-5,094'TVD),2-1/2"4 spf(4/03/15) B2 6,10T-6,146'(5,239'-5,270'TVD),4 spf(9/25/82) B-3A r . l 5,921'(5,092'TVD)Abrasive Perf,2 shots(10/26/15)B2 6,152'-6,158'(5,275'-5,280'TVD),4 spf(8/15/68) B-3A 6,158'-6,160'(5,280'-5,281'TVD),4 spf(9/25/82) B-3A B-3A r_m r ' 6,183'-6,184'(5,30T-5,301'TVD),4 spf(9/25/82) B-3A Sqzd • Tag @ 8,833'w/Eline(10/25/15) Fish: (4/06/15) 2-1/2"Owen Strip Gun pert debris > 60'of guns(240 shots)=22.8'of debris Cast Iron Bridge Plug @ 8,970' TOF @ 8,815'(Tag on 4/30/15) -� Top of cement @ 8,900' LB-22 • LB-23 ,, • r Beluga Perfs ti•...y Cast Iron Bridge Plug @ 9,570' LB-28bLB-28a {��{ii= 9,020'-9,030' (7,745-7,755'TVD),6 spf(2005) LB-22 Aft". 9,050'-9,060' (7,774-7,784'TVD),6 spf(2005) LB-22 LB-28c }f. 9,116-9,127' (7,838-7,850'TVD),6 spf(2005) LB-23 Tagged 9,599'KB WLM 9,515'-9,522' (8,232-8,238'TVD),3 spf(2003),6 spf(2005) LB-28a Fill Ta gg @ LB-28d -' 9,526-9,544' (8,242-8,260'TVD),3 spf(2003),6 spf(2005) LB-28b 9,547'-9,555' (8,263-8,271'TVD),3 spf(2003),6 spf(2005) LB-28c CIBP 9,570' (8,286'TVD) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'TVD),3 spf(6/21/03) LB-28d LB-30 ' s= 9,768'-9,778' (8,480-8,490'TVD),3 spf(6/21/03) LB-30 a = Type II Landing Collar @ 9,930' - Production Liner: Float Collar @ 9,964' ' r • 3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ , , 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' TD £ ' PBM 10,005'MD 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country: USA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs:I 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 - Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig/21'Sidetrack Revised By: Chad Helgeson Downhole Revision Date: 11/23/2015 Schematic Revision Date: 11/13/2015 • • , ,vA THE STATE Alaska Oil and Gas ofAL CKA Conservation Comm1ssion }>F=_-=- =- 333 West Seventh Avenue \T•" GOVERNOR BILL WALKER Anchorage, Alaska 99501-3572 >> q Main: 907.279.1433 of ALAS" `�QLD Fax: 907.276.7542 SCAtitE www.aogcc.alaska.gov Joe Kaiser Operations Engineer Hilcorp Alaska, LLC o3 3 - 4.q 3800 Centerpoint Drive, Suite 1400 Anchorage, AK 99503 Re: Beaver Creek Field, Undefined WDSP Pool, BCU 3RD Sundry Number: 315-574 Dear Mr. Kaiser: 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 AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration 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. Sincerely, Cathy . Foerster Chair DATED this /J day of October, 2015 Encl. RBDM -OfT 151015 • • RECEIVED • STATE OF ALASKA SEP 1 8 2015 ALASKA OIL AND GAS CONSERVATION COMMISSION id f(3/IS APPLICATION FOR SUNDRY APPROVALS AOGCC 20 AAC 25.280 1.Type of Request: Abandon 0 Plug for Redrill ❑ ¢,,Pe'forate New Pool❑ Repair Well Change Approved Program 0 Suspend❑ Plug Perforations❑ Gi C.-1- Perforate 2 • Pull Tubing Time Extension❑ Operations Shutdown❑ Re-enter Susp.Well 0 Stimulate❑ Alter Casing❑ Other: Re-perf 0. 2.Operator Name: Hilcorp Alaska,LLC 4.Current Well Class: 5.Permit to Drill Number: C'1 — 1--C-dIR Exploratory ❑ Development ❑ 203-044 • W/N 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic ❑ Service 0 • 6.API Number: • Anchorage,Alaska 99503 50-133-20124-01 7.If perforating: 8.Well Name and Number. What Regulation or Conservation Order governs well spacing in this pool? CO 237A • CI Creek Unit(BCU)3RD • Will planned perforations require a spacing exception? Yes ❑ No 9.Property Designation(Lease Number): 10.Field/Pool(s): FEDA028083 Beaver Creek/Undefined WDSP • 11. PRESENT WELL CONDITION SUMMARY Total Depth MD(ft): Total Depth TVD(ft): Effective Depth MD(ft): Effective Depth TVD(ft): Plugs(measured): Junk(measured): 10,005 • 8,713 • 9,570 • 8,287' 9,750'&9,902'&8,970' N/A Casing Length Size MD ND Burst Collapse Structural Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5/8" 1,569' 1,540' 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,456' 6,340 psi 3,830 psi Production Liner 4,356' 3-1/2" 9,999' 8,707' 10,160 psi 10,530 psi Perforation Depth MD(ft): Perforation Depth TVD(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic See Attached Schematic 3-1/2" L-80 5,643' Packers and SSSV Type: Packers and SSSV MD(ft)and ND(ft): Baker 7"ZXP Pkr;N/A 5,655'MD-4,879'TVD;N/A 12.Attachments: Description Summary of Proposal ❑✓ 13.Well Class after proposed work: Detailed Operations Program ❑ BOP Sketch n Exploratory n Stratigraphic(l Development n Service n 14.Estimated Date for 15.Well Status after proposed work: Commencing Operations: 10/02/15 Oil ❑ Gas ❑ WDSPL ❑., • Suspended ❑ 16.Verbal Approval: Date: WINJ ❑ GINJ ❑ WAG ❑ Abandoned ❑ Commission Representative: GSTOR 0 SPLUG ❑ 17.I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Joe Kaiser Phone: 907-777-8393 Email jkaiserehilcoro.com Printed Name Joe Kaiser Title Operations Engineer Signature ( t Phone 907-777-8393 Date 7//g/749�ci COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number-516 umber.316 -G,L( Plug Integrity ❑ BOP TestLI6 Mechanical Integrity Test ❑ LocationtiClearance ❑ Other: if-- LIS UCS e5.:: „se T �-S f- C tut A- e 15-6 5 66)/ 5` ) Spacing Exception Required? Yes ❑ No M Subsequent Form Required: / b •"' —I 6 41 p APPROVED/BY Approved by: 4, / / COMMISSIONER THE COMMISSION Date: p—13 -/S^' RBDM :e "r,b a 2 200 II t41i ,f- t;- Submit Form and Form 10-4 ( evised 1 /2 1 p o li lid for months from the date of approval. //attachments iny�Duplicate , � /C , l '�` V' �3,/J • Well Prognosis Well: BCU-03RD Hilcorp Alaska,LL, Date: 10/9/2015 Well Name: BCU-03RD API Number: 50-133-20124-01 Current Status: Class II Disposal Leg: N/A Estimated Start Date: 10/13/15 Rig: N/A Reg.Approval Req'd? 403 Date Reg.Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 203-044 First Call Engineer: Joe Kaiser (907) 777-8393 (0) (907) 952-8897 (M) Second Call Engineer: Chad Helgeson (907) 777-8405 (0) (907) 229-4824(M) AFE Number: Current Bottom Hole Pressure: —2,165 psi @ 4,998' TVD (Static survey March 2015) Maximum Expected BHP: —2,165 psi @ 4,998' TVD (Static survey March 2015) Max.Allowable Surface Pressure: 1,500 psi (Based on CT procedure) Brief Well Summary Beaver Creek Unit#3RD was a gas well deepened in 2003 to access gas sands in the Beluga. The Lower Beluga B31, B28d, B28c, B28b, and B28a were initially completed.These zones were fracture stimulated in July 2003.A CIBP was set at 9,570' in April 2005. Perforations in the LB-23 and LB-22 were added in May 2005. A velocity string was installed in December 2005 and pulled in January 2008.The well has not produced and been shut-in since February 2006. In February 2015 the well was plugged back in preparation for conversion to a Class II Disposal well. The well was perforated in the Sterling B1L and B2 in March 2015 and a step-rate injection test was performed. Initial injection rates with the current pump were maxed out at 2.2 bpm @ 2,725 psi. The purpose of this work/sundry is to abrasively reperforate the Sterling disposal interval to decrease the injection pressure,assuming there is significant skin damage across the initial set of perforations that were shot thru 2 strings of casing(3-1/2"tubing and 7" casing). Notes Regarding Wellbore Condition • Current SITP=0 psi. r � i.1 Coil Tubing Procedure: L. 1. MIRU CTU and equipment is!�k` AL 2. PT BOPE to 250 psi low/4,500 psi high. 3. RU w/jet nozzle BHA and RIH. 4. RIH while pumping nitrogen until well starts to flowback to surface. Once flowback begines, increase nitrogen flowrate and depth and monitor flow at surface for sand. 5. Stop nitrogen pumping operations and POOH w/coil. LD jet nozzle BHA. 6. Utilize existing water disposal system and Field Operators to verify well injectivity.If well injectivity is satisfactory to Engineer,CT Operations will continue to Step 14 of this procedure. No abasive perforations will be required. 7. If well injectivity is unsatisfactory to Engineer, CT operation will continue. RU 2.13"Abrasive Perforator assembly. 8. Mix up sufficient supply of gel to complete perforation interval. 9. RIH and reperforate the following intervals: Zone Sands Top (MD) Btm(MD) FT • • Well Prognosis Well: BCU-03RD Hikorp Alaska,1.6t Date: 10/9/2015 Sterling B1L 5,805' 5,855' 50' Sterling B2 5,855' 5,945' 90' a. Proposed perfs shown on the proposed schematic in red font. b. Perfs will be based on pipe measured depth. 410 ''(' (Coil tubing c. Pressure tubingannulus to 1,500 psi for ft perf and try to maintain pressure on tubing while adding additional perfs. Record tubing pressures during the abrasive perforating(should decrease upon each perf. d. Packer top at 5,655' MD is 150'from the top proposed perf at 5,805' MD. 10. POOH. RD Abrasive Perforator Assembly. 11. RU Coil Tubing Well Cleanout Assembly. 12. RIH with Well Cleanout Assembly. Cleanout well as needed. 13. POOH. 14. RD Coil Tubing. 15. Turn over to operations forproduced water disposal. Attachments: 1. Actual Schematic 2. Proposed Schematic 3. Coil Tubing BOP Schematic • - • SOP F 'i c" .Tty A • Ty- W Col x ,11 • • Well Prognosis Well: BCU-03RD Ililcorp Alaska,LL, Date:9/18/2015 Well Name: BCU-03RD API Number: 50-133-20124-01 Current Status: Class II Disposal Leg: N/A Estimated Start Date: 10/2/15 Rig: N/A Reg.Approval Req'd? 403 Date Reg.Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 203-044 First Call Engineer: Joe Kaiser (907) 777-8393 (0) (907)952-8897 (M) Second Call Engineer: Chad Helgeson (907) 777-8405 (0) (907) 229-4824 (M) AFE Number: Current Bottom Hole Pressure: —2,165 psi @ 4,998' TVD (Static survey March 2015) Maximum Expected BHP: —2,165 psi @ 4,998' TVD (Static survey March 2015) Max. Allowable Surface Pressure: 0 psi (Well is liquid full an of open to any gas sands.) A . 0. Brief Well Summary �t�°` Beaver Creek Unit #3RD was a gas well deepened in 2003 to access gas sands in theBeluga. The Lower Beluga B31, B28d, B28c, B28b, and B28a were initially completed.These zones were fracture stimulated in July 2003. A CIBP was set at 9,570' in April 2005. Perforations in the LB-23 and LB-22 were added in May 2005. A velocity string was installed in December 2005 and pulled in January 2008. The well has not produced and been shut-in since February 2006. In February 2015 the well was plugged back in preparation for conversion to a Class II Disposal well. The well was perforated in the Sterling B1L and B2 in March 2015 and a step-rate injection test was performed. Initial injection rates with the current pump were maxed out at 2.2 bpm @ 2,725 psi. The purpose of this work/sundry is to abrasively reperforate the Sterling disposal interval to decrease the injection pressure, assuming there is significant skin damage across the initial set of perforations that were shot thru 2 strings of casing (3-1/2" tubing and 7" casing). Notes Regarding Wellbore Condition • Current SITP= 0 psi. Coil Tubing Procedure: 1. MIRU CTU and equ' ment °~ 2. PT BOPE to 250 p 1 low/4,500 psi high. 3. RU 2.13" Abras' a Perforator assembly. 4. Mix up sufficient supply of gel to complete perforation interval. 5. RIH and reperforate the following intervals: Zone / Sands Top (MD) Btm (MD) FT Sterling/ B1L 5,805' 5,855' 50' Sterling B2 5,855' 5,945' 90' a. Proposed perfs shown on the proposed schematic in red font. b. Perfs will be based on pipe measured depth. • • Well Prognosis Well: BCU-03RD Hilcorp Alaska,LL Date:9/18/2015 c. Pressure tubing (Coil tubing annulus to 1,500 psi for 15t perf and try to maintain pressure on tubing while adding additional perfs. Record tubing pressures during the abrasive perforating (should decrease upon each perf. d. Packer top at 5,655' MD is 150'from the top proposed perf at 5,805' MD. 6. POOH. RD Abrasive Perforator Assembly. 7. RU Coil Tubing Well Cleanout Assembly. 8. RIH with Well Cleanout Assembly. Cleanout well as needed. 9. POOH. 10. RD Coil Tubing. 11. Turn over to operations forproduced water disposal. Attachments: 1. Actual Schematic 2. Proposed Schematic 3. Coil Tubing BOP Schematic • • . iti Beaver Creek 3 RD ACTUAL Pad3 SCHEMATIC IJih'urp Alaska,I,l,t: 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R1OW, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 9-5/8"x13-3/8"TOC(CBL 8103168)-284' Property Des: A-028083 KB Elevation: 179'(21'AGL) x: 317,318.98' ,. 7"x9-518"TOC(CBL 8/14168)-0' yl 2,433,959.65' Good bond to 3,500;Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W Spud: 04/24/2003 Surface Casing: 13-3/S" 61 ppf J-55 at 533' TD: 05/13/2003 Cmt with 565 sx Rig Released:05/20/2003 @ 06:00 hrs. Intermediate Casing: 9-5/8" 40 ppf J-55 BTC @ 1,569' Cmt'd w/500 sks Cement DV Collar 1161 Ar-----.-----. 1/4"OD 0.049"wall Chemical injection I @ 2,034' Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage R z;x Gas Lift Mandrel @ 5,585' < 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg (Dummy Valve installed 2003) . . ii-ii 1 i Top of Baker 7"ZXP Packer/Liner Hanger j' 1 and 4"PBR @ 5,643' .4.---7,� Sealbore Extension ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned) 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7108/94) B-2 - B-IL Sterling Perfs 6,033'-6,043'(5,180'-5,189'TVD),4 spf(11/20/87) B-3 - . _ . 5,805-5,825' [20'](4,998'-5,014'TVD),2-1/2"4 spf(4/06/15) B1L 5,805-5,855' 50' 4,998'-5,038'TVD),2-1/2"6 spf(3/04/15) B1 L 6,034'-6,044'(5,182'-5,190'TVD),4 spf(11/20/87) B-3 _ B-2 5,855-5,945' (90'�(5,038'-5,110'TVD),2-1/2"6 spf 3 /04/15 B2 6,035-6,047' 5,182'-5,192'TVD),4 spf(11/08/88) B-3 5,925-5,945' [20'](5,094'-5,110'TVD),2-1/2"4 spf(3/30/15) B2 6,034'-6,050'(5,182'-5,194'TVD),4 spf(8/15/68) B-3 , ® 5,905-5,925' [20'](5,078'-5,094'TVD),2-1/2"4 spf(4/03/15) B2 6,058'-6,080'(5,201'-5,218'TVD),4 spf(8/15/68) B-3 6,060'-6,080'(5,202'-5,218'TVD),4 spf(9/25/82) B-3 B-3 ==. . •: : 6,104'-6,146'(5,237'-5,270'TVD),4 spf(8/15/68) B-3A 6,107'-6,146'(5,239'-5,270'TVD),4 spf(9/25/82) B-3A 6,152'-6,158'(5,275-5,280'TVD),4 spf(8/15/68) B-3A B 3A au . Tag @ 8,815'SLM(04130/15) 6,158'-6,160'(5,280'-5,281'TVD),4 spf(9/25/82) B-3A 2.81"GR(Tag Fish) 6,183'-6,184'(5,300'-5,301'TVD),4 spf(9/25/82) B-3A Sqzd . 1-411 . • Cast Iron Bridge Plug @ 8,970' Fish: (4/06/15) > a Top of cement @ 8,900' 2-1/2"Owen Strip Gun perf debris 60'of guns(240 shots)=22.8'of debris TOF @ 8,815'(Tag on 4/30/15) LB-22 •• LB-23 . . • . Beluga Perfs Cast Iron Bridge Plug @ 9,570' LB-28a ,j;?;!;t 9,020'-9,030' (7,745-7,755'TVD),6 spf(2005) LB-22 LB-28b ,({f4.174.1. 9,050'-9,060' (7,774-7,784'TVD),6 spf(2005) LB-22 LB-28c 7.7.)U. 9,115'-9,127' (7,838-7,850'TVD),6 spf(2005) LB-23 9,515'-9,522' (8,232-8,238'TVD),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM LB-28d '_�°-' • 9,526'-9,544' (8,242-8,260'TVD),3 spf(2003),6 spf(2005) LB-28b • 9,547'-9,555' (8,263-8,271'TVD),3 spf(2003),6 spf(2005) LB-28c CIBP 9,570' (8,286'TVD) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'TVD),3 spf(6/21/03) LB-28d LB-30 m 9,768'-9,778' (8,480-8,490'TVD),3 spf(6/21/03) LB-30 c Type II Landing Collar @ 9,930' Production Liner: Float Collar @ 9,964' : ,�f 3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ x.' 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' r d TD ; ' ' PBTD 10,005'MD • 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD ' 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country:IUSA Angle @KOP and Depth:_ 2.3°@ 650' Angle/Perfs:I 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig/21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 4/30/2015 Schematic Revision Date: 5/20/2015 III III . iii Beaver Creek 3RD PROPOSED Pad3 SCHEMATIC HilcorpAlaska,LL(: 1,227' FNL, 1,501' FWL, Sec.34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 Property Des: A-028083 9-518"x13-3/8"TOC(CBL 8/03/68)-284' x: Elevation: 179'(21'AGL) 7"x9-5/8"TOC(CBL 8/14/68)-0' x_itude:317,38.98'yl 2,433,959.65' Good bond to 3,500,Fair bond above Latitude: 60°39'29.9"N -L",, Longitude:151°1'5.75"W Spud: 04/24/2003SurfaceCasing: TD: 05/13/2003 13-3/8" 61 ppfJ-55at533'Cmt w th565 sxRig Released:05/20/2003 @ 06:00 hrs. Intermediate Casing: 9-5/8" 40ppf J-55BTC@1,569' Cmt'd w/500 sks Cement II1DV Collar 1/4"OD 0.049"wall Chemical in'ection@ 2,034' JProductionCasing: string tied into mandrel at 1,508' :.__________________________________________ _____71 7"23 ppf N-80 from 0-914' wlcheck valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage Gas Lift Mandrel @ 5,585' t (Dummy Valve installed 2003) 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg / Top of Baker 7"ZXP Packer/Liner Hanger r r' Sealbore Extension and 4"PBR @ 5,643' ���� ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned) I I 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) B-2 B-7L Sterling Perfs 6,033'-6,043'(5,180'-5,189'TVD),4 spf(11/20/87) 8-3 _ r- 5,805-5,825' [20'](4,998'-5,014'TVD),2-1/2"4 spf(4/06/15) B1L 6,034'-6,044'(5,182'-5,190'TVD),4 spf(11/20/87) B-3 B-2 5,805'-5,855' [50](4,998'-5,038'TVD),2-1/2"6 spf(3/04/15) B1L 6,036-6,047'(5,182'-5,192'TVD),4 spf(11/08/88) B-3 5,805'-5,855' [50'](4,998'-5,038'TVD),2-1/2"(Proposed) BIL 6,034'-6,050'(5,182'-5,194'TVD),4 spf(8/15/68) B-3 5,855'-5,945' [90'](5,038'-5,110'TVD),2-1/2"6 spf(3/04/15) B2 6,058'-6,080'(5,201'-5,218'TVD),4 spf(8/15/68) B-3 6,060'-6,080'(5,202'-5,218'TVD),4 spf(9/25/82) B-3 555:888550565::-555:,998445555:' 855'-5,945' [90'](5,038'-5,110'TVD),2-1/2"(Proposed) B2 ✓ B-3 5,925'-5,945' [20'](5,094'-5,110'TVD),2-1/2"4 spf(3/30/15) B2 6,104'-6,146'(5,237'-5,270'TVD),4 spf(8/15/68) B-3A ' •- 5,905-5,925' [20'](5,078'-5,094'TVD),2-1/2"4 spf(4/03/15) B2 6,107'-6,146'(5,239'-5,270'TVD),4 spf(9/25/82) 8-3A I I= 6,152'-6,158'(5,275'-5,280'TVD),4 spf(8/15/68) B-3A B-3A ( a Tag @ 8,815'SLM(04/30/15) 6,158'-6,160'(5,280'-5,281'TVD),4 spf(9/25/82) B-3A 6,183'-6,184'(5,300'-5,301'TVD),4 spf(9/25/82) B-3A Sqzd 2.81"GR(Tag Fish) leij - II Fish: 4/06!15 Cast Iron Bridge Plug @ 8,970' ( ) Top of cement @ 8,900' 2-1/2"Owen Strip Gun pert debris 60'of guns(240 shots)=22.8'of debris , TOF @ 8,815'(Tag on 4/30/15) LB-22 LB-23 a •• - Beluga Perls LB-28a . _ 9,020'-9,030' (7,745-7,755'TVD),6 spf(2005) LB-22 Cast Iron Bridge Plug @ 9,570' LB-28b diS:::::.==--- � 9,05U-9,060' (7,774-7,784'TVD),6 spf(2005) LB-22 LB-28c 5113-- 9,115'-9,127' (7,838-7,850'TVD),6 spf(2005) LB-23 9,515'-9,522' (8,232-8,238'TVD),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM LB-28d • ' • 9,526'-9,544' (8,242-8,260'TVD),3 spf(2003),6 spf(2005) LB-28b 9,547'-9,555' (8,263-8,271'TVD),3 spf(2003),6 spf(2005) LB-28c ICIBP 9,570' (8,286'TVD) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'TVD),3 spf(6/21/03) LB-28d LB-30 "' • 9,768'-9,778' (8,480-8,490'TVD),3 spf(6/21/03) LB-30 s Type II Landing Collar @ 9,930' Production Liner: Float Collar @ 9,964' 3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ r 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' TD1' PBTD 10,005'MD 9,902'MD Max Inclination: Max Dogleg: 8,713'ND .c 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country: USA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs: 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 _ Ground Level(above MSL): 158.0' RKB(above GL):_ 16'Orig/21'Sidetrack Revised By: Joe Kaiser Downhole Revision Date: 4/30/2015 Schematic Revision Date: 9/18/2015 • Beaver Creek . 11 BCU 3RD 09/18/2015 MI.,„i, \h,.I,.,.I 1 t GO#8 16X 10%X 7 5/8X 4% Coil Tubing BOP Lubricator to injection head ui---- in 1.75”Tandem Stripper 1 f _4 1/16 10 -' in ear illi 1111 Blind/Shear _�BlI ' G� �- • IIIMINI mini , I,',I i Blind/Shear== Blind/Shear I,I.'• , a zO� S 0 111111111111113 C: ——_ Slip 111111- Slip 010 t Ella 11 0.1.01 111111111..mil Pipe Mud Cross �� 1/16 10M X 4 1/16 10M Outlet A '! w/2-2 1/16 10M full opening FMC valves _ i iii- oar . _ f Manual Manual Manual Manual 2 1/16 10M 2 1/16 10M lel °■I 2 1/16 10M 2 1/16 10M Crossover spool 4 1/16 lOM X4 1/16 5M \���O O��`� �GO�at20c Valve,Swab,WKM-M, o Jai•le�F,,� e�`•o�,5 4 1/16 5M FE, HWO,DD trim o. . , 1�g50 Ja.J ��etatot o c.�`> 3 $5� oP rru 31� - i /fro : 1 ( 0 Valve, Upper Master "' """ WKM-M,4 1/16 5M FE, ,o c,4 HWO,DD trim Uv`,, Valve, Lower Master,WKM-M, ,4 4 1/16 5M FE,HWO,DD trim — ,: m m m a mom in ,li } Grade Level • • Schwartz, Guy L (DOA) From: Joe Kaiser <jkaiser@hilcorp.com> Sent: Tuesday, October 06, 2015 2:09 PM To: Schwartz, Guy L (DOA) Cc: Chad Helgeson Subject: RE: BCU 3RD (PTD 203-044) CT Abrasive perf Attachments: Abrasive Perforating Presentation (2011-June).ppt;TTS Sand Hopper Procedure (US).pdf Guy, My apologies for a delayed response. I was out of the office. Please see the attached presentation and TTS Sand Hopper procedure for the abrasive perforating technology. This technology has proven results in perforating two strings of casing in cement,which is exactly our issue with the BC- 3RD well.The intent of utilizing this technology is to gain better communication with reservoir to reduce water disposal pressure. Additionally,we would like to jet the well down with Nitrogen prior to commencing with the perforation operation. Would you like me to revise the sundry to reflect this? Please let me know if you have any additional question or comments. Joe Kaiser KEN Operations Engineer Swanson River Field jkaiser@hilcorp.com 907-777-8393 Office 907-952-8897 Cell From: Schwartz, Guy L(DOA) [mailto:guy.schwartz@alaska.gov] Sent: Tuesday, September 29, 2015 3:09 PM To: Joe Kaiser Subject: BCU 3RD (PTD 203-044) CT Abrasive perf Joe, Can you forward me some info on the type of perforation .. I'm not familiar with abrasive CT perfing. Guy Schwartz Sr. Petroleum Engineer AOGCC 907-301-4533 cell 907-793-1226 office CONFIDENTIALITY NOTICE:This e-mail message,including any attachments,contains information from the Alaska Oil and Gas Conservation Commission (AOGCC),State of Alaska and is for the sole use of the intended recipient(s).It may contain confidential and/or privileged 1 • S TH RU TUBING "Optimal performance... SOLUTIONS Superior Service" TTS Sand Hopper Procedure 1. Hold safety meeting with all relevant personnel on location to discuss the following: a. Job Objective b. Responsibilities c. Access&Evacuation/Head Count d. Work Environment e. Hazards&Control f. PPE Requirements g. Contingency Plans 2. Pull the Sand Hopper trailer into location,on site.Disconnect from the truck and secure the jack/wheels to eliminate any rolling. 3. Visually inspect the Sand Hopper,check all fluid levels(eg:Diesel,Hydraulic Fluids),battery and hoses to make sure everything is in good condition. 4. Ensure all personnel working on or around the sand hopper are outfitted with the correct N-95 breathing mask, with a proper fit test. Place signage and barricades around the area to mark off all danger zones. 5. Turn the power on,to ensure all switches are in working order(eg:sand vibrator,weight indicator,lifting arms, and mixing tub) 6. Remove all required hose sections and rig in as needed,depending on distance to water tank and pump lines. 7. Open the valve on the hose running between the sand hopper and the water tank.Fill up the tub with water and turn on mixer to start agitating the water. 8. Prepare the gel totes(can be mounted on sand hopper for ease of use). Calculate gel concentration needed and mix at a steady stream into the water tank. NOTE:Maintain fluid circulation in the tank to minimize settling of the gel. 9. Fill up the sand tub with required sand(NOTE:2,000 lb max capacity). 10. Once CT is on depth and ready to begin perforations,open the valve to begin pumping. Record the CT Pressure and Wellhead Pressure,and monitor while pumping slurry. The sand is mixed with the water/gel as needed,to complete the cut with the required volume of slurry at each perforation interval. NOTE:Maintain concentration of 11b/gal for entire perforation interval. NOTE:DO NOT shut down pumps until sand slurry is out the end of the CT. If an increase in pump pressure is seen,indicating a blockage,cut sand and continue with a flush volume of fluid. NOTE:If a decrease in CT pump pressure occurs,the pump rate should be increased to maintain original CT Pressure. If an increase of more than 30%above original pump rate is needed to maintain CT Pressure,the perforator should be changed. 11. Repeat steps 6 thru 9 as needed to complete all required perforation intervals. 12. Flush all lines with fresh water to ensure sand slurry has been removed. Rig out hoses and dispose of excess sand and water in the tanks. The above is a guideline on I), and these recommendations are not intended to be hard and fast rules.Every operation is different and subject to change by all ITS Field Representatives.These suggestions are meant only to assist and perhaps raise issues that may not otherwise be considered. STATE OF ALASKA • AL _AKA OIL AND GAS CONSERVATION COMMISSION REPORT OF SUNDRY WELL OPERATIONS 1.Operations Abandon ❑ Plug Perforations U Fracture Stimulate U 4 .( Pull Tubing Li Operations shutdown LI Performed: Suspend El Perforate ❑✓ Other Stimulate Q Alter Casing❑ Change Approved Program ❑ Plug for Redrill ❑ erforate New Pool ❑ Repair Well ❑ Re-enter Susp Well❑ Other: ❑ 2.Operator 4.Well Class Before Work: 5.Permit to Drill Number: Name: Hilcorp Alaska,LLC Development ❑ Exploratory ❑ 203-044 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic❑ Service ❑✓ 6.API Number: Anchorage,Alaska 99503 50-133-20124-01 7.Property Designation(Lease Number): 8.Well Name and Number: FEDA028083 Beaver Creek Unit(BCU)3RD 9.Logs(List logs and submit electronic and printed data per 20AAC25.071): 10.Field/Pool(s): N/A Beaver Creek/Undefined WDSP 11.Present Well Condition Summary: 9,570; ECE��ED Total Depth measured 10,005 feet Plugs measured 9,902;8,970 feet true vertical 8,713 feet Junk measured N/A feet UTAY 2 0 2015 Effective Depth measured 9,570 feet Packer measured 5,655 feet OGCC true vertical 8,287 feet true vertical 4,879 feet VV��"// Casing Length Size MD ND Burst Collapse Structural Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5/8" 1,569' 1,540' 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,457' 6,340 psi 3,830 psi Production Liner 4,356' 3-1/2" 9,999' 8,707' 10,160 psi 10,530 psi Perforation depth Measured depth See Attached Schematic True Vertical depth See Attached Schematic Tubing(size,grade,measured and true vertical depth) 3-1/2" 9.3#/L-80 5,643'MD 4,870'ND Packers and SSSV(type,measured and true vertical depth) Baker 7"ZXP;N/A 5,655'MD 4,879'ND N/A;N/A 12.Stimulation or cement squeeze summary: N/A Intervals treated(measured): N/A Treatment descriptions including volumes used and final pressure: N/A r ; ); I 8 '0;') 13. Representative Daily Average Production or Injection Data Oil-Bbl Gas-Mcf Water-Bbl Casing Pressure Tubing Pressure Prior to well operation: 0 0 0 0 450 • Subsequent to operation: 0 0 1,344 1,178 2,530 14.Attachments: 15.Well Class after work: Daily Report of Well Operations 0 Exploratory❑ Development Service ❑., Stratigraphic ❑ Copies of Logs and Surveys Run ❑ 16.Well Status after work: Oil ❑ Gas ❑ WDSPL Q Printed and Electronic Fracture Stimulation Data ❑ GSTOR ❑ WINJ ❑ WAG ❑ GINJ ❑ SUSP❑ SPLUG❑ 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: 315-130 Contact Stan Porhola Email SporholaahilCorp.Com Printed Name � Stan Porhola Title Operations Engineer Signature ,4yyv Av‘,..._ Phone 907-777-8412 Date 5-12.4)h5- / RBDMS�� MAY 2 9 2015 Form 10-404 Revised 5/2015 7 iy t J Submit Original Only 7,izt?lYl0--- Hilcorp Alaska, LLC Well Operations Summary Well Name API Number Well Permit Number Start Date End Date BCU-3RD Reperf 50-133-20124-01 203-044 3/30/15 4/29/15 Daily Operations: 03/30/2015 - Monday PTW,JSA and mobe to location. Rig up lubricator. PT to 250 psi low and 4,000 psi high.TP-0 psi. RIH w/2-1/2" x 20' Owen Raptor,4 spf, 60 degree phase and tie into Priority perf log dated 3/4/15. Run correlation log and send to town. Get ok to perf.TP-0 psi. Spot shot from 5,925' to 5,945 . Fired shot. POOH. All shots fired and well on a vacuum. Rig down lubricator and turn well over to field. 04/03/2015 - Friday Held PJSM and obtained permit. RU Pollard E-line. Spot equipment, MU lubricator, tool string, and 20' strip gun. Stab on well. SITP 0 psi. PT lubricator to 250 psi low/4,000 psi high -good test. RIH w/20' x 2.5" strip gun and correlate to Pollard perf log dated 3-30-15. Log correlation pass from 6,350'-5,400' and send in for verification. Re-perf Sterling B2 perfs (5,905'- 5,925') with 2.5" 60 deg 4 SPF strip guns with Owen Shogun Raptor charges. Positive indication of firing. Attempt to POOH and no movement up or down. Work stuck guns several times hitting oil jars and pulling up to 2,000#over. Decision to let guns sit for 30 min, well has slight pressure. Continue working stuck guns briefly, no progress. Pull 2,400#over(500# under weak point) and let sit. Pulled out of rope socket with no movement. Continue to POOH with E-line. OOH, pulled out of rope socket. RD E-line, LD lubricator and move unit. Left in hole: 36' tool string w/2.5" strip guns. 1" x 1-7/16" fish neck,TOF 5,890'. WO Pollard slickline. Held PJSM and obtained permit. RU Pollard slickline. 0 psi SITP. RIH w/ 1-7/16" overshot baited with 2-1/2" RB.Tag TOF @ 5,897' and engage fish. Hit jars lx @ 1,100#and appeared to shear off. POOH. OOH.Jars parted between rod and sub, left in hole: 1-7/16" overshot, 2-1/2" RB, spangs, and bottom of oil jars (1-11/16" OD). RIH w/ 1- 11/16" overshot and engage fish. Hit with a few jar licks and came free, POOH. Recovered all of slickline fish (left e-line fish baited with overshot). RIH w/2-1/2"JD and engage fish. Hit several times with jars up to 1,600# until fish pulled free. POOH w/no drag. OOH, recovered all of e-line fish. LD fish. RIH w/2.75" GR and tag fill @ 7,456' MD RKB. POOH. RIH w/2.5" bailer and tag fill @ 7,456' MD RKB. Work bailer and fell to 7,600'. Work bailer(sticky) and fell to 8,011'. Work bailer and getting very sticky, appears perf debris is still falling. POOH. Recovered 1 cup of perf debris. LD lubricator and tool string. Secure well and RD Pollard. 04/06/2015 - Monday Held PJSM and obtained permit. RU Pollard E-line. MU lubricator, tool string, and 20' strip guns and stab on well. SITP< 50 psi. PT lubricator to 250 psi low/4,000 psi high, good test. RIH w/2.5" x 20' strip guns. Log correlation pass from 6,350'- 5,400' and correlate to Pollard re-perf log dated 4-3-15. Send in for verification. SITP 60 psi due to line displacement. Re-perf Sterling B1L(5,805'-5,825')with 2.5" 60 deg 4 SPF strip guns with Owen Shogun Raptor charges. Positive indication of firing, slight PSI drop. 1,000#overpull to get moving, sticky through perfs and pulled smooth to surface. OOH, LD spent gun, tool string, and lubricator. All shots fired. Well on slight vacuum. RD Pollard. 04/29/2015-Wednesday MIRU SLB pump truck. PT lines to 4,500 psi -test OK. Perform injectivity test w/ lease water. Pump 10 bbl @ 2 bpm, 2,500 psi. Pump 15 bbl @ 3 bpm @ 2,800 psi. Pump 165 bbl of 15% HCI acid @ 2.0-3.0 bpm. Displace with 55 bbl of lease water @ 3 bpm. Let acid soak for 1 hour. Inject remaining 100 bbl lease water from displacement tank. Rig down SLB pump truck. Turn well over to production. r Beaver Creek 3 RD ACTUAL Pada SCHEMATIC Ilihorp Alaska.LLA' 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 r 9-5/8"x13-3/8"TOC(CBL 8/03168)-284' Property Des: A-028083 1 KB Elevation: 179'(21'AGL) x: 317,318.98' 7"x95/8"TOC(CBL 8/14/68)-0' y: 2,433,959.65' Good bond to 3,600';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W Surtace asinq: Spud: 04/24/2003 13-3/8" 61 ppf J-55 at 533' TD: 05/13/2003 Cmt with 565 sx Rig Released:05/20/2003 @ 06:00 hrs. I( • Intermediate Casinq: 9-5/8" 40 ppf J-55 BTC @ 1,569' Cmt'd w/500 sks Cement DV Collar ,. ,. 1/4"OD 0.049"wall Chemical injection 2,034' 1 � � Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage Gas Lift Mandrel @ 5,585' t (Dummy Valve installed 2003) 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg , 4 , Top of Baker 7"ZXP Packer/Liner Hanger ) and 4"PBR @ 5,643' _ r� Sealbore Extension ZXP Packer top @ 5,655'MD/4,878'TVD .. i ,.„.,. Sterling Perfs(Abandoned) 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) B-2 B-1L Sterling Perfs 6,033'-6,043'(5,180'-5,189'TVD),4 spf(11/20/87) B-3 �• 5,805-5,825' [20'](4,995-5,014'TVD),2-1/2"4 spf(4/06/15) B1L 5,805-5,855' 50' 4,998'-5,038'TVD),2-1/2"6 spf(3/04/15) B1L 6,034'-6,044'(5,182'-5,190'TVD),4 spf(11/20/87) B-3 B-2 5,855-5,945' f 90'i(5,038'-5,110'TVD),N 2-1/2"6 spf 3/04/15 B2 6,035-6,047'(5,182'-5,192'TVD),4 spf(11/08/88) B-3 5,925-5,945' [201(5,09W-5,110'ND),2-1/2"4 spf(3/30/15) B2 6,034'-6,050'(5,182'-5,194'ND),4 spf(8/15/68) 8-3 5,905-5,925' [20'](5,078'-5,094'ND),2-1/2"4 spf(4/03/15) B2 6,055-6,080'(5,201'-5,218'ND),4 spf(8/15/68) B-3 1., 6,060'-6,080'(5,202'-5,218'ND),4 spf(9/25/82) B-3 , B-3 sear i 6,104'-6,146'(5,237'-5,270'ND),4 spf(8/15/68) B-3A . 6,107'-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A f-'-' Q 6,152'-6,158'(5,275-5,280'ND),4 spf(8/15/68) B-3A a 3A Q Tag @ 8,815'SLM(04/30115) 6,158'-6,160'(5,280'-5,281'TVD),4 spf(9/25/82) B-3A =I 1 . 2.81"GR(Tag Fish) 6,183'-6,184'(5,300'-5,301'ND),4 spf(9/25/82) B-3A Sqzd •11-11 • 4/06/15 Cast Iron Bridge Plug @ 8,970' Fish: (4106/15) Top of cement @ 8,900' 2-1/2"Owen Strip Gun pert debris 60'of guns(240 shots)=22.8'of debris • TOF @ 8,815'(Tag on 4/30/15) LB-22 =-_ LB-23 • • Beluga Perts 4 LB-28a ti'�'~ Cast Iron Bridge Plug @ 9,570' .tir{Kt. 9,020'-9,030' (7,745-7,755'ND),6 spf(2005) LB-22 LB-28b Yti.= 9,050'-9,060' (7,774-7,784'ND),6 spf(2005) LB-22 LB-28c } 9,115-9,127' (7,838-7,850'ND),6 spf(2005) LB-23 9,515-9,522' (8,232-8,238'ND),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM LB-28d a c 9,526'-9,544' (8,242-8,260'TVD),3 spf(2003),6 spf(2005) LB-28b 9,547'-9,555' (8,263-8,271'TVD),3 spf(2003),6 spf(2005) LB-28c ': CIBP 9,570' (8,286'ND) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'TVD),3 spf(6/21/03) LB-28d LB-30 a • 9,768'-9,778' (8,480-8,490'TVD),3 spf(6/21/03) LB-30 a � Type II Landing Collar @ 9,930' ~. Production Liner: Float Collar @ 9,964' "i f3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ r ''', ; 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' TD PBTD 10,005'MD . 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD ,`k 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country: USA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs: 10°to 12° Maximum Deviation: 38.0°@ 6,393' • Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig/21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 4/30/2015 Schematic Revision Date: 5/20/2015 STATE OF ALASKA ALA—..A OIL AND GAS CONSERVATION COMM,, _SON REPORT OF SUNDRY WELL OPERATIONS 1.Operations Abandon U Repair Well U Plug Perforations U Perforate U Other U Convert to Performed: Alter Casing ❑ Pull Tubing❑ Stimulate-Frac ❑ Waiver ❑ Time Extension❑ Class II Disposal Change Approved Program 0 Operat.Shutdown 0 Stimulate-Other ❑ Re-enter Suspended Well❑ I:,re) yo 2.Operator 4.Well Class Before Work: 5.Permit to Drill Number: Name: Hilcorp Alaska,LLC Development ❑., Exploratory ❑ 203-044 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic❑ Service ❑ 6.API Number: Anchorage,Alaska 99503 50-133-20124-01 7.Property Designation(Lease Number): 8.Well Name and Number: FEDA028083 Beaver Creek Unit(BCU)3RD 9.Logs(List logs and submit electronic and printed data per 20AAC25.071): 10.Field/Pool(s): N/A Beaver Creek/Undefined WDSP 11.Present Well Condition Summary: 9,570; �"� r'y,. i ED Total Depth measured 10,005 feet Plugs measured 9,902;8,970 ''f�P�" x true vertical 8,713 feet Junk measured N/A feet f\PR 2 1 2015 Effective Depth measured 9,570 feet Packer measured 5,655 feet true vertical 8,287 feet true vertical 4,879 feet i O t C C Casing Length Size MD TVD Burst Collapse Structural Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5/8" 1,569' 1,540' 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,457' 6,340 psi 3,830 psi Production Liner 4,356' 3-1/2" 9,999' 8,707' 10,160 psi 10,530 psi Perforation depth Measured depth See Attached Schematic True Vertical depth See Attached Schematic SCA G MED APR 2 7 2015 Tubing(size,grade,measured and true vertical depth) 3-1/2" 9.3#/L-80 5,643'MD 4,870'TVD Packers and SSSV(type,measured and true vertical depth) Baker 7"ZXP;N/A 5,655'MD 4,879'ND N/A;N/A 12.Stimulation or cement squeeze summary: N/A Intervals treated(measured): N/A Treatment descriptions including volumes used and final pressure: N/A 13. Representative Daily Average Production or Injection Data Oil-Bbl Gas-Mcf Water-Bbl Casing Pressure Tubing Pressure Prior to well operation: 0 0 0 0 450 Subsequent to operation: 0 0 1,344 1,178 2,530 14.Attachments: 15.Well Class after work: Copies of Logs and Surveys Run N/A Exploratory Development El Service ❑, Stratigraphic El Daily Report of Well Operations X 16.Well Status after work: Oil ❑ Gas ❑ WDSPL Q GSTOR ❑ WINJ ❑ WAG ❑ GINJ ❑ SUSP❑ SPLUG❑ 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: 315-040 Contact Stan Porhola Email sporhola at' hilcorp.com Printed Name Stan Porhola Title Operations Engineer Signature I""� Phone 907-777-8412 Date L(72...(// X .-° — RBDM& APR 2 2 2015 Form 10-404 Revised 10/2012 54_4f-23-/S' Submit Original Only 6-1)kJ 4-/g,//r Hilcorp Alaska, LLC Well Operations Summary Well Name API Number Well Permit Number Start Date End Date BCU-3RD Convert to WD 50-133-20124-01 203-044 2/13/15 4/9/15 Daily Operations: 02/13/2015 - Friday PTW and JSA. Mobe to location, Spot equipment and Rig up.TP-450 psi. Mobe and hook up test skid to lubricator. Pressure test lubricator 250 psi low and 4,000 psi high. RIH with CCL/GR and 2.75" GR to 9,200' to check for obstructions. Run log and pick up perfs depths from 9,115'to 9,127', 9,050' to 9,060' and 9,020' to 9,030'. POOH. Send log to town. Get ok to set plug at 8,970'. Could not tell where fluid level is. RIH with CCL/GR and 2.75" OD CIBP and correlated to GR log. Found fluid level at 1,200'. TP -450 psi. Spotted top of plug at 8,970' and set plug. Pick up 50' and go back down and tag plug. POOH. Bleed tubing pressure down slowly while pulling out of hole. Bleed well to 0 psi. Filled tubing with water. Well still at 0 psi. Pressure tubing up 3,500 psi and pressure dropped to 3,400 psi in 43 min and stablized at 3,400 psi for 15 min. Ran 2-1/2" x 30' dump bailer full of cement and attempted to dump cement at 8,970' on top of plug. POOH. Bailer was plugged off about 3' from bottom of bailer. Did not dump. Had about 4' of semi hard cement and the rest of bailer good cement. Cleaned bailer. Ran second 2-1/2" x 30' bailer and attempted to dump bailer. POOH. Bailer full of thick partially set up cement. Did not dump. Cleaned cement out of bailer. Ran 2-1/2" x 40' dump bailer full of cement and dump 8 gal of cement at 8,970' on top of plug. POOH. Good dump. Ran 2-1/2" x 40' dump bailer full of cement and dump 8 gal of cement at 8,970' on top of plug. POOH. Good dump.Total of 16 gals of cement. Cement in place at 0300 hrs. Rig down lubricator. TP -0 psi. 02/16/2015 - Monday PTW and JSA. Mobe to location and rig up. Rig up lubricator. MU 2-1/2" x 20' dummy gun. Pressure test lubricator to 250 psi low and 4,000 psi high. TP-0 psi. Casing 0 psi. RIH w/2-1/2" x 20' dummy gun and tagged top of cement at 8,900' RKB. Cement felt solid. POOH. MU press/temp tools. Wait on tools from shop. RIH with Press/Temp tools making 5 min stop at% ,, tubing hanger, RIH at 120' per min to 6,500'and waiting 30 min. POOH 120' per min and 5 min stop at tubing hanger. Check data. RIH W/3-1/2" DANIELS KOT W/1.25"JDs TO 5,583 KB WT POOH - OOH W/O VALVE NOT SHEARED. RIH W/SAME TO C SAME WT COULD NOT LATCH POOH -OOH NO VALVE, NOT SHEARED. RIH W/SAME W/ 1.25" LIB TO 5,583' KB WT POOH - OOH W/ INCONCLUSIVE IMPRESSION. RIH W/SAME W/ DANIELS PT TO 5,583' KB LOCATE, SET DOWN, COULD NOT LATCH. POOH. Change out crews. RIH w/ KOT2 w/ 1.77" LIB to 5,584' KB, W/T, POOH come back w/jagged metal marks. RIH w/ same w/ 1-5/8"JDS 5,584', can locate, cant set down, POOH. OOH empty. Stand by, call Stan, decide to leave bottom GLM valve in pocket. RIH w/3-1/2" Daniels KOT w/ 1-1/4"JDS to 1,524', w/t can set down cant latch chemical injection valve, POOH, OOH w/o valve. RIH w/same w/ 1-1/4" Daniels pulling tool, to 1,524' KB w/t set down, POOH w/o valve. RIH w/3- 1/2" Daniels KOT w/ 1.25" LIB to 1,524' KB, w/t, POOH, OOH w/jagged metal marks. Looks close to the marks made by the GLM valve. Call Pollard supervisor and discuss. Decided to test backside while waiting for morning call. Rig up to fluid pack back 7" x 3-1/2" annulus. Annulus held 10 gals of diesel. Set up chart recorder and pressure up annulus to 1,750 psi. Pressure stablized at 1,650 psi. Rig down Pollard slickline. 02/17/2015 -Tuesday RU test pump. Pressure test 3-1/2" x 7" annulus to 1,800 psi for 45 min. Lost 10 psi. Final pressure at 1,790 psi. Pressure test 3-1/2" tubing to 3,650 psi for 75 min. Lost 130 psi (lost 100Asi n first 15 min, lost 30 psi in last 60 min). Final pressure at 3,520 psi. • 02/18/2015-Wednesday // Hilcorp Alaska, LLC Well Operations Summary Well Name API Number Well Permit Number Start Date End Date BCU-3RD Convert to WD 50-133-20124-01 203-044 2/13/15 4/9/15 Daily Operations: Performed MIT test for the 7" x 3-1/2" annulus.Jeff Jones with AOGCC witnessed test. Started with 1,750 psi after 15 min down to 1,675 psi and still 1,675 psi after 30 min.Tubing pressure was 40 psi at start. 200 psi (annulus at 1,750 psi), 15 min was at 180 psi (annulus at 1,675 psi) and 30 min was still at 180 psi (annulus at 1,675 psi). MIT passed. ,; rA 03/04/2015 -Wednesday Held PJSM and obtained permit. MIRU Priority E-line. Spot equipment, RU lubricator. Boom truck radiator seal leaking. Shut down and clean spill. WO boom truck. Spot Pollard boom truck. Continue RU- MU lubricator, tool string, GR/CCL, and 20' of guns. Stab on well. SITP 0 psi. PT lubricator 250 psi low/4,000 psi high-good test. RIH w/20' guns and GR/CCL. Log correlation pass from 6,350'-5,400'. Verify correlation. Well built pressure w/ line displacement to 1,000 psi. Bleed pressure to 750 psi. Perforate 5,925'-5,945' w/ 2-1/2" HC 60 deg 6 SPF guns. Positive indication of firing. Pressure dropped to 600 psi. POOH. OOH, all shots fired. LD GR/CCL and spent gun, MU CCL to 40' gun. RIH w/40' guns and CCL. Log correlation pass from 5,970'-5,550'. Verify correlation. SITP 250 psi, pressure up well to 1,000 psi. Perforate 5,885'-5,925' w/ 2-1/2" HC 60 deg 6 SPF guns. Positive indication of firing. Pressure dropped to 450 psi. POOH. OOH, all shots fired. LD spent gun and MU 40' gun. RIH w/40' guns and CCL. Log correlation pass from 5,970'-5,550'. Verify correlation. SITP 50 psi, pressure up well to 1,000 psi. Perforate 5,845'-5,885' w/ 2-1/2" HC 60 deg 6 SPF guns. Positive indication of firing. Pressure dropped to 300 psi. POOH. OOH, all shots fired. LD spent gun and MU 40' gun. RIH w/40' guns and CCL. Log correlation pass from 5,970'-5,550'. Verify correlation. SITP 0 psi, pressure up well to 850 psi. Perforate 5,805'-5,845' w/ 2-1/2" HC 60 deg 6 SPF guns. Positive indication of firing. Pressure dropped to 200 psi. POOH. OOH, all shots fired. SITP 0 psi. LD spent gun and tool string. RD lubricator and secure well. RDMO Priority. ***Note: 73 gals of methanol pumped in well today. 03/06/2015 - Friday RU to perform step-rate injection test. Notify AOGCC, witness waived by Jim Regg on 3/05/15 at 11:39 a.m. Pump at 0.5 bpm @ 2,325 psi/1.0 bpm @ 2,450 psi/1.5 bpm @ 2,575 psi/2.0 bpm @ 2,675 psi/2.2 bpm @ 2,725 psi. Pump unable to increase rate at these pressures. SD pump. Well bled down to 1,325 psi in 10 mins/800 psi in 15 mins/600 psi in 20 mins/ 200 psi in 55 mins/0 psi in 6 hrs. RD test pump. Chart IA pressures during test (static at 1,100 psi, start of injection at 1,150 psi, dropped to as low as 650 [injecting cold fluid from outdoor tanks], stopped injection, pressure as low as 600 psi, built to 900 psi in 8 hrs). 03/26/2015 -Thursday RU slickline. PT lubricator to 250 low, 2,550 hi -test OK. Continue disposal injection operations while slickline is in the well. RIH w/ 1.75" GR to 6,600' SLM, no obstructions, POOH. RIH w/pressure/temperature tools to 5,750' SLM. Hold for 30 min. Shut-in disposal injection operations. Leave gauges on bottom for 8 hours. POOH to surface. RIH to 6,500' at logging speed. Hold for 30 min. POOH at logging speed to 0'. LD gauges. RD Slickline. Turn well over to production. Resume disposal injection operations. (Well SI at 10:30 a.m. on 3/26/15, temperature log completed at 9:45 p.m. on 3/26/15). 04/09/2015-Thursday Hilcorp Alaska, LLC Well Operations Summary Well Name API Number Well Permit Number Start Date End Date BCU-3RD Convert to WD 50-133-20124-01 203-044 2/13/15 4/9/15 Daily Operations: Performed subsequent MIT test for the 7" x 3-1/2" annulus. Lou Grimaldi with AOGCC witnessed test. Started with 1,660 psi and still 1,660 psi after 30 min.Tubing pressure was 2,550 psi at start and 30 min was still at 2,550 psi (while continuing injection). Subsequent MIT passed. Beaver Creek 3RD_ ACTUAL Pada SCHEMATIC Ilikorp Alaxka-Li.t: 1,227' FNL, 1,501' FWL, Sec.34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 _ 9-5/8"x13-3/8"TOC(CBL 8103168)-284' Property Des: A-028083 KB Elevation: 179'(21'AGL) x: 317,318.98' 7"x9-5/8"TOC(CBL 8/14168)-0' yi 2,433,959.65' Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75'W Surface Casing: Spud: 04/24/2003 13-3/8" 61 ppf J-55 at 533' TD: 05/13/2003 Cmt with 565 sx Rig Released:05/20/2003 @ 06:00 hrs. Intermediate Casing: 9-5/8" 40 ppf J-55 BTC @ 1,569' ______________ cj Cmt'd w/500 sks Cement II 4 DV Collar 1/4"OD 0.049"wall Chemical injection 2,034' J Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage "1%:- J-.:, Gas Gas Lift Mandrel @ 5,585' < • 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg (Dummy Valve installed 2003) I" / Top of Baker 7"ZXP Packer/Liner Hanger i 'i ! 4-�� Sealbore Extension and 4"PBR @ 5,643' ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned) ' , •-------"_,..----- 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) B-2 -T ___,-„-r B-1L Sterling Perfs 6,033'-6,043'(5,180'-5,189'ND),4 spf(11/20/87) B-3 - - 5,805'-5,855' [50'](4,998-5,038'ND),2-1/2"6 spf(3/04/15) B1L 6,034'-6,044'(5,182'-5,190'TVD),4 spf(11/20/87) B-3 : s .------- 5,855'-5,945' [90'](5,038-5,110'ND),2-1/2"6 spf(3/04/15) B2 B2 6,035-6,047'(5,182'-5,192'ND),4 spf(11/08/88) B-3 • "" 6,034'-6,050'(5,182'-5,194'ND),4 spf(8/15/68) B-3 I '11 µy 6,058'-6,080'(5,201'-5,218'ND),4 spf(8115/68) B-3 ; l•2 6,060'-6,080'(5,202'-5,218'ND),4 spf(9/25/82) B-3 '.•C= �f B.3 r -, , ,-'"`-.. 6,104'-6,146'(5,237'-5,270'ND),4 spf(8/15/68) B-3A ...... 6,107'-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A =IV ` •Q 6,152'-6,158'(5,275-5,280'ND),4 spf(8/15/68) B-3A B 3A Q Tag @ 8,900'SLM(02/16/15) 6,158'-6,160'(5,280'-5,281'ND),4 spf(9/25/82) B-3A 6,185-6,184'(5,300'-5,301'ND),4 spf(9/25/82) B-3A Sqzd .... ' 2.50"x 20'dummy gun Lill 4 Cast Iron Bridge Plug @ 8,970' Top of cement @ 8,900' LB-22 - = LB-23 ■ c Beluga Perfs ti�+� Cast Iron Bridge Plug @ 9,570' LB-28b }f�S?� 9,020'-9,030' (7,745-7,755'ND),6 spf(2005) LB-22 -ti,�,ti 9,050'-9,060' (7,774-7,784'ND),6 spf(2005) LB-22 LB-28c %.-tt•-;ti 9,115'-9,127' (7,838-7,850'ND),6 spf(2005) LB-23 9,515'-9,522' (8,232-8,238'ND),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM LB 28d ,Y' _ 9,526-9,544' (8,242-8,260'ND),3 spf(2003),6 spf(2005) LB-28b • 9,547'-9,555' (8,263-8,271ND),3 spf(2003),6 spf(2005) LB-28c CIBP 9,570' (8,286'ND) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'ND),3 spf(6/21/03) LB-28d LB-30 = c 9,768'-9,778' (8,480-8,490'ND),3 spf(6/21/03) LB-30 Type II Landing Collar @ 9,930' • ' Production Liner: Float Collar @ 9,964' ' T ' 3-1/2"9.2 ppf Hydril 563 L-80 i from 5,643-9,999' Cmt'd w/ lead of 349 sks @ - 12.7ppgand tail of415sks @15.7ppg. Cementing Shoe @ 9,999' C TD PBTD 10,005'MD 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country: USA • Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs: 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig/21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 3/4/2015 Schematic Revision Date: 3/5/2015 Hilcorp Well:I BCU-03RD Field: Beaver Creek 103/26/2015 Pressure (psia) 0 250 500 750 1000 1250 1500 1750 2000 2250 2500 0 I I -- _ -L - Pressure-Temperature Profile 500 .... � 1. 2-16 vs 3-26 Overlay - — 2. 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Z ' — ch Y p 61 Q • s J 2 a CC a 6 e i 1 1E: c k• a w Q „ t Z g W / . $ 76 b _ 0 F- o .) o t i c t 6 o t ) o t i 0 t g s r i 4a o ai ga v r- 0 0 3 0- c 3 w- c 3 1- 0 t' a 2 E `� E W J H- W 0 4. Z n. Z d Z Cl- Z a Z W 0 U V z - O a w Q a a u Y s� N M N C=0 O u. G O a a o ° z 3 m x tp N Q O_ E 6 LL • C 40000110010000000 .111 6 c5) • Siec. 2„, kfici lir J4 S 9 Ai it .• . . - . - STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue,Suite 100 Anchorage,Alaska 99501 Re: THE APPLICATION OF Hilcorp ) Disposal Injection Order No.40 Alaska, LLC. for disposal of Class II ) oil field wastes by underground ) Sterling Formation, Undefined waste injection in the Sterling Formation in ) disposal pool well Beaver Creek Unit No. 3RD, ) Beaver Creek Unit No. 3RD Well (PTD 2030440) Section 34,T7N, ) Beaver Creek Unit 2-6S-- 0W1 R1OW, S.M. ) � March 2, 2015 IT APPEARING THAT: 1. Hilcorp Alaska, LLC (Hilcorp) requested authorization for underground disposal of Class II oil field waste fluids into well Beaver Creek Unit No. 3 Re-drill (BCU 3RD) (PTD 2030440). Hilcorp's Application for Disposal Injection Order was received by the Alaska Oil and Gas Conservation Commission(AOGCC) on October 29,2014. 2. Pursuant to 20 AAC 25.540, the AOGCC scheduled a public hearing for January6, 2015. On November 17, 2014, the AOGCC published notice of the opportunity for that hearing on the State of Alaska's Online Public Notice website and on the AOGCC's website and electronically transmitted the notice to all persons on the AOGCC's email distribution list. On November 18, 2014,the notice was published in the ALASKA DISPATCH NEWS. 3. At the January6, 2015 hearing Hilcorp provided testimony and presented evidence in support of its Application. The hearing record was left open for two weeks to allow Hilcorp to provide additional information requested by the AOGCC. Disposal Injection Order 40 Page 2 of 9 Beaver Creek Unit No.3RD March 2,2015 FINDINGS: The following are based upon the evidence submitted by Hilcorp, the testimony at the hearing, public records pertaining to Disposal Injection Order 4 (DIO 4), and Beaver Creek wells. 1. History of Wells BCU 3 and BCU 3RD During 1968, BCU 3 was drilled directionally to a measured depth (MD) of 6,387 feet and a true vertical depth (TVD) of 5,418 feet and completed as a development gas well in the Beaver Creek Unit Sterling Gas Pool. BCU 3 produced gas from September 1982 through October 1988. In December 1988, all perforations were squeezed with cement, and in November 1989 the well head was replaced with a dry-hole tree. On May 13, 1993, the AOGCC issued Disposal Injection Order No. 8 (DIO 8), which authorized disposal of Class II oil field fluids by underground injection in well BCU 3. In July 1994, the operator re-entered BCU 3, perforated the Sterling Formation B-1 B sandstone from 5,910 to 5,940 feet MD (5,082 to 5,106 feet TVD), and re-completed the well as a Class II waste disposal injection well. BCU 3 was shut-in from July 1995 through May 2005; no injection volumes were reported for this well. During May 2003, the Sterling B-1B sand perforations in BCU 3 were plugged, the well was re-named BCU 3RD (PTD 2030440), re-entered, and deepened to 10,005 feet MD (8,713 feet TVD) to access gas reserves in the underlying Beluga Gas Pool. In June and July of 2003, BCU 3RD was perforated in several lower Beluga sandstone layers, fracture- stimulated, and completed as a development gas well. In April and May of 2005, a cast-iron bridge plug was set at 9,570' MD (7,969' TVD) to plug off the Beluga B28d sandstone, the suspected source of water, sand and coal production. Additional perforations were shot in the overlying B22 and B23 lower Beluga sandstones, and regular gas production began in June 2005. BCU 3RD was unable to sustain flow. The last reported regular gas production from BCU 3RD was during February 2006. BCU 3RD was shut-in in March 2006, with the single exception of 17,000 cubic feet of gas production reported in February 2013. Hilcorp proposes to convert BCU 3RD to a Class II disposal well by plugging back all Beluga perforations and perforating the shallower, Sterling Formation B 1 and B2 sandstones between 5,804 and 5,945 feet MD (4,997 and 5,110 feet TVD). 2. Location of Wells BCU 3 and BCU 3RD BCU 3 and the redrill BCU 3RD have the same surface location, which is 1,227 feet from the north line and 1,501 feet from the west line of Section 34, Township 7 North, Range 10 West, Seward Meridian (SM). The top of the injection interval will lie about 700 feet from the south line and 1,700 feet from the west line of Section 27, Township 7 North, Range 10 West, SM. The proposed injection zone within BCU 3RD lies more than 1,850 horizontal feet from the nearest point on the Beaver Creek Unit boundary. Disposal Injection Order 40 Page 3 of 9 Beaver Creek Unit No. 3RD March 2,2015 Location of Adjacent Wells (20 AAC 25.252(c)(1)) Beaver Creek Unit No. 18 is the only well that penetrates the proposed injection zone within a ''/-mile radius of BCU 3RD. 3. Notification of Operators/Surface Owners (20 AAC 25.252(c)(2) and 20 AAC 25.252(c)(3)) Hilcorp is the only operator within a 1/4-mile radius of the proposed disposal well. Surface property owners within '/-mile radius of BCU 3RD are U.S Bureau of Land Management (BLM) and U.S. Fish and Wildlife Service (FWS). Hilcorp has provided a copy of the AOGCC Application for Sundry Approval to BLM. This Disposal Injection Order does not exempt HiIcorp from obtaining additional permits or an approval required by law from other governmental agencies and does not authorize conducting disposal injection operations until all other required permits and approvals have been issued. In addition, the AOGCC reserves the right to withdraw the order in the event it was erroneously issued. 4. Geological Information on Disposal and Confining Zones (20 AAC 25.252(c)(4)) The proposed disposal injection operations will affect strata that are assigned to the Pliocene- aged Sterling Formation. The Sterling Formation consists of massively bedded, predominately coarse-grained, moderate to well-sorted, fluvial sandstone with minor amounts of conglomerate. Hilcorp plans injection within the permeable Sterling Formation B 1 L and B2 sandstones, which have calculated porosities of approximately thirty percent. These two sandstones are present within BCU 3RD from approximately 5,804 to 5,945 feet MD (4,997 and 5,110 feet TVD). Upper confinement for the proposed injection interval consists of numerous, laterally continuous layers of claystone, siltstone, and coal that lie within the Sterling Formation between 2,132 and 5,649 feet MD (2,024 and 4,873 feet TVD). These confining layers, which range in thickness from 3 to 28 true vertical feet, have a combined true vertical thickness of about 235 feet, and will serve as effective barriers to prevent vertical migration of injected fluids. Lower confinement will be provided by numerous, laterally continuous layers of claystone, siltstone and coal within the Sterling Formation between 5,945 and 6,250 feet MD (4,997' and 5,353' TVD). Structure maps provided by Hilcorp do not display any faults within 4,000 horizontal feet of the planned injection interval. 5. Evaluation of Fluid Confinement(20 AAC 25.252(c)(9)) The porous and permeable nature of the Sterling B1L and B2 sandstones allows injection of produced water at pressures that are lower than formation-fracture pressure. This has been observed in the existing BCU 2 Class II well, which has a cumulative injection total of 1.1 million barrels. Since prolonged injection of produced water will result in the accumulation of solids near the BCU 3RD wellbore, it will be occasionally necessary to fracture the injection interval to by-pass these solids by increasing injection pressure. Fracturing in this case is expected to remain within the injection interval. Disposal injection of produced water, drilling mud, slurried cuttings, and other Class II oil- field wastes will require pressure sufficient to fracture the Sterling Formation. Marathon Oil Disposal Injection Order 40 Page 4 of 9 Beaver Creek Unit No.3RD March 2,2015 Company (Marathon), the previous operator of the Beaver Creek Unit, planned to inject produced water and other Class II wastes into the same disposal interval. Marathon provided a three-dimensional hydraulic fracture model of the strata at Beaver Creek using lithology, stress variations, pore pressure, and rock elastic properties to simulate hydraulically induced fracture growth that will occur when drilling mud and slurried drill cuttings are injected above formation pressure. Under the "most likely" scenario, fracture growth height was limited to about 4,200 feet TVD within the middle Sterling which is about 2,550 true vertical feet below the top of the exempt aquifers (at 1,650 feet below ground surface). Under the "worst-case" scenario, fracture growth height extended to about 3,600 feet TVD, which is about 1,950 true vertical feet below the top of the exempt aquifers. Future wells within 1/4-mile must be constructed to ensure they do not serve as a conduit for fluid migration from the disposal zone. 6. Aquifer Exemption (20 AAC 25.252(c)(l1)); Standard Laboratory Water Analysis of the Formation(20 AAC 25.252(c)(10)) The portions of aquifers at depths greater than 1,650 feet below the ground surface, extending one-quarter mile beyond and lying directly below the Beaver Creek Field are exempted pursuant to 40 CFR 147.102(b)(l)(ii). 7. Well Logs (20 AAC 25.252(c)(5)) Log data from BCU 3 and BCU 3RD are on file with the AOGCC. 8. Demonstration of Mechanical Integrity and Disposal Zone Isolation(20 AAC 25.252(c)(6)) Thirteen and 3/8-inch surface casing was set at 533 feet MD, cemented to surface and tested to 1000 psi. Intermediate 9 5/8-inch casing was set at 1,569 feet MD, cemented to surface and tested to 1,000 psi. The 7-inch production casing was set at 6,380 feet MD, cemented to approximately 3,300 feet MD and tested to 1,000 psi. Analysis of cement bond logs indicates casing strings have adequate cement behind casing to prevent vertical migration of disposal fluids. A casing mechanical integrity test will be performed in accordance with 20 AAC 25.412 prior to re-initiation of disposal operations. Hilcorp will perform mechanical integrity tests of the tubing and tubing-casing annulus (including packer) as part of the workover operations before injection recommences. Additional baseline assessments and subsequent evaluations may be necessary to confirm the well has the proper mechanical integrity for disposal injection as proposed. The operator will monitor the 7-inch casing by 3 1/2-inch tubing annulus pressure daily and report the results on the Monthly Injection Report. Disposal Injection Order 40 Page 5 of 9 Beaver Creek Unit No.3RD March 2,2015 9. Disposal Fluid Type, Composition, Source, Volume, and Compatibility with Disposal Zone (20 AAC 25.252(c)(7)) Hilcorp requests approval to dispose of drilling, production, completion, workover wastes, and other associated wastes that are intrinsically derived from primary field operations. Hilcorp expects daily injection volumes of 1000 up to 7,200 barrels, with rates up to 6 barrels per minute, and slurry densities up to 10.5 pounds per gallon. Injected fluids are expected to be compatible with the lithology and resident water of the injection zone based on operating experience and performance (e.g., pressures, rates, and volumes) of the BCU 3RD well during previous disposal operations. There have not been any reported compatibility issues associated with disposal injection into the Sterling or Beluga Formation at this or other fields in the Cook Inlet area. 10. Estimated Injection Pressures (20 AAC 25.252(c)(8)) Hilcorp estimates that the average surface injection pressure will be between 1,600 psig for water disposal operations and 3,000 psig. The maximum surface injection pressure could reach 5,000 psig if sporadic plugging of perforations or fracture flow channels occurs, which is the maximum pressure rating of the casing head. 11. Mechanical Condition of Wells Penetrating the Disposal Zone Within a '/4-Mile Radius of Kenai Loop#3 (20 AAC 25.252(c)(12)) BCU 18 is the only well to penetrate the proposed disposal injection zone within 'h-mile radius of BCU 3RD. Well construction records show that both the injection well and the BCU 18 are cased and cemented to prevent the movement of injected fluids beyond the well's confinement zones. Records documenting the drilling, casing, cementing, and testing of these wells are in the AOGCC's files. CONCLUSIONS: 1. The requirements of 20 AAC 25.252 for approval of an underground disposal application are met. 2. BCU 3 was drilled in 1968 as a Sterling Formation gas production well. BCU 3 was converted to an authorized disposal well in May 1993. BCU 3 was deepened in 2003, re- named BCU 3RD, and produced gas from the Beluga Formation. Hilcorp will isolate the lower portion of BCU 3RD and convert the well to disposal injection in the Sterling Formation. 3. Hilcorp's planned injection interval in BCU 3RD consists of the Sterling B1L and B2 sands that lie between 5,804 and 5,945 feet MD (4,997 and 5,110 feet TVD), an interval that is about 113 true vertical feet thick. 4. Upper confinement will be provided by a combined 235 true vertical feet of laterally continuous claystone, siltstone, and coal layers within the Sterling Formation. Disposal Injection Order 40 Page 6 of 9 Beaver Creek Unit No.3RD March 2,2015 5. Lower confinement and fracture arrest will be provided by 356 true vertical feet of laterally continuous layers of Sterling Formation claystone, siltstone, and coal. 6. No significant faults are present that could be affected by the proposed injection operations. 7. The portions of aquifers at depths greater than 1,650 feet below the ground surface, extending one-quarter mile beyond and lying directly below the Beaver Creek Field are exempted by 40 CFR 147.102(b)(1)(ii). 8. No compatibility concerns relating to the injected fluids and in-situ formation fluids have been identified in connection with the injection of a similar waste fluid streams into the Sterling Formation at this site and other locations within the Cook Inlet Basin. 9. Fracture modeling indicates that disposed waste fluids will be contained within the receiving interval by confining lithologies, cement isolation of the well bore, and planned operating conditions. Modeling of the most extreme injection conditions predicts that fractures will not penetrate the upper confining zone, or breach the lower confining zone. 10. Supplemental mechanical integrity demonstrations and the surveillance of injection operations—including baseline and subsequent temperature surveys, monitoring of injection performance (i.e., pressures and rates), and analyses of the data for indications of anomalous events—are appropriate to ensure that waste fluids remain within the disposal interval. 11. Actual performance information gained during injection and remedial well operations must be monitored during the life of the disposal project to ensure appropriate operation of the field. A requirement for formal review of the disposal injection performance every five years will ensure the findings, conclusions, and rules of this order remain valid. 12. Future wells within 1/4-mile of the injection interval in BCU 3RD must be constructed to ensure they do not serve as a conduit for fluid migration from the disposal zone. NOW, THEREFORE, IT IS ORDERED THAT disposal injection is authorized into the Sterling Formation within well Beaver Creek Unit No. 3RD subject to each of the following requirements: RULE 1: Injection Strata for Disposal The underground disposal of Class II oil field waste fluids is permitted into the Sterling Formation within BCU 3RD in the interval from 5,804 feet to 5,945 feet MD (4,997 feet to 5,110 feet TVD). RULE 2: Authorized Fluids This authorization is limited to Class II oil field waste fluids generated during drilling, production, workover, or abandonment operations, specifically: Drilling fluids; drill cuttings; well workover fluids; stimulation fluids and solids; produced water; rig wash water; formation materials; naturally occurring radioactive materials; scale; tracer materials; glycol dehydration; reserve pit fluids; chemicals used in the well or for production processing at the surface (in direct contact with produced fluids); and precipitation accumulating in drilling and production impoundment areas. Disposal Injection Order 40 Page 7 of 9 Beaver Creek Unit No.3RD March 2,2015 AOGCC approval is required prior to initiating commercial Class II disposal injection in BCU 3RD. RULE 3: Infection Rate and Pressure Injection pressures must be maintained such that the injected fluids do not fracture the confining intervals or migrate out of the approved injection stratum. Disposal injection is authorized at (a) rates that do not exceed 6 barrels per minute and (b) wellhead injection pressures that do not exceed 5,000 psig. RULE 4: Demonstration of Mechanical Integrity The mechanical integrity of BCU 3RD must be demonstrated before injection begins and before returning the well to service following a workover affecting mechanical integrity. An AOGCC- witnessed mechanical integrity test must be performed after injection is commenced for the first time in BCU 3RD, to be scheduled when injection conditions (temperature, pressure, rate, etc.) have stabilized. Subsequent mechanical integrity tests must be performed at least once every two years after the date of the first AOGCC-witnessed test if the well injects solids laden slurries, and at least once every four years if the well only injects solids-free fluids. Mechanical integrity tests must be conducted in accordance with AOGCC Industry Guidance Bulletin No. 10-02A, "Mechanical Integrity Testing". The AOGCC must be notified at least 24 hours in advance of each such test to enable a representative to witness the test. The results of all mechanical integrity demonstrations and Hilcorp's interpretation of those results shall be provided to the AOGCC no later than the 5th calendar day of the month following the testing. RULE 5: Well Integrity Failure and Confinement Whenever any pressure communication, leakage or lack of injection zone isolation is indicated by injection rate, operating pressure observation, test, survey, log, or any other evidence, the Operator shall notify the AOGCC within 24 hours and submit a plan of corrective action on a Form 10-403 for AOGCC approval. The Operator shall immediately shut in the well if continued operation would be unsafe or threaten contamination of freshwater, or if so directed by the AOGCC. A monthly report of daily tubing and casing annuli pressures and injection rates must be provided to the AOGCC for BCU 3RD if the well indicates any well integrity failure or lack of injection zone isolation. RULE 6: Surveillance The operator shall run a baseline temperature log and perform a baseline step-rate test prior to initial injection. A subsequent temperature log must be run one month after injection begins to delineate the receiving zone of the injected fluids. Surface pressures and rates must be monitored continuously during injection for any indications of anomalous conditions. Results of daily wellhead pressure observations in BCU 3RD must be documented and available to the AOGCC upon request. The conduct of subsequent temperature surveys or other surveillance logging (e.g., water flow; acoustic) will be based on the results of the initial and follow-up temperature surveys and injection performance monitoring data. Disposal Injection Order 40 Page 8 of 9 Beaver Creek Unit b.3RD. flitatch 2,2t1164 A report evaluating the performance of the disposal operation must be submitted to the AOGCC by April 1 of each yew covering injection operations during the previous calendar year. The report shall include data sufficient to characterize the disposal operation, including, among other information, the following: injection and annuli pressures (i.e., daily average, maximum, and minimum pressures); fluid volumes injected (i.e., in disposal and clean fluid sweeps); injection rates; an assessment of the fracture geometry; a description of any anomalous injection results; and a calculated zone of influence for the injected fluids. An assessment of the applicability of the injection order findings, conclusions, and rules based on actual performance shall be included with the annual performance report. RULE 7: Notification of Improper Class II Injection Injection of fluids other than those listed in Rule 2 without prior authorization is considered improper Class II injection. Upon discovery of such an event, the operator must immediately notify the AOGCC, provide details of the operation, and propose actions to prevent recurrence. Additionally, notification requirements of any other State or Federal agency remain the operator's responsibility. If fluids are found to be fracturing through a confining interval or migrating out of the approved injection stratum, the operator must immediately shut in the well. Upon discovery of such an event, the operator must immediately notify the AOGCC, provide details of the operation, and propose actions to prevent recurrence. Injection may not be restarted unless approved by the AOGCC. RULE 8: Administrative Action Upon proper application, or its own motion, and unless notice and public hearing are otherwise required, the AOGCC may administratively waive the requirements of any rule stated herein or administratively amend this order as long as the change does not promote waste or jeopardize correlative rights, is based on sound engineering and geoscience principles, and will not result in an increased risk of fluid movement into freshwater or outside of the authorized injection zone. RULE 9: Compliance Operations must be conducted in accordance with the requirements of this order, AS 31.05, and (unless specifically superseded by AOGCC order) 20 AAC 25. Noncompliance may result in the suspension, revocation, or modification of this authorization and other penalties. RULE 10: Reauthorization The Operator must apply to reauthorize disposal injection at intervals not exceeding five years from the effective date of this Order. The application shall include an assessment of the Order findings, conclusions, and rules taking into account actual injection performance. j Disposal Injection Order 40 Page 9 of 9 Beaver Creek Unit No.3RD March 2,2015 `�I,gKA Or! DONE at Anchorage, Alaska, and dated March 2, 2015. 4+6 Cathy •. Foerster Daniel . Seamount, Jr. Chair, ommissioner Commissioner RECONSIDERATION AND APPEAL NOTICE As provided in AS 31.05.080(a),within 20 days after written notice of the entry of this order or 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 reconsideration of the matter determined by it. If the notice was mailed,then the period of time shall be 23 days. An application for reconsideration must set out the respect in which the order or decision is believed to be erroneous. The Commission shall grant or refuse the application for reconsideration in whole or in part within 10 days after it is filed. Failure to act on it within 10-days is a denial of reconsideration. If the Commission denies reconsideration,upon denial,this order or decision and the denial of reconsideration are FINAL and may be appealed to superior court. The appeal MUST be filed within 33 days after the date on which the Commission mails, OR 30 days if the Commission otherwise distributes, the order or decision denying reconsideration,UNLESS the denial is by inaction,in which case the appeal MUST be filed within 40 days after the date on which the application for reconsideration was filed. If the Commission grants an application for reconsideration, this order or decision does not become final. Rather, the order or decision on reconsideration will be the FINAL order or decision of the Commission,and it may be appealed to superior court. That appeal MUST be filed within 33 days after the date on which the Commission mails, OR 30 days if the Commission otherwise distributes,the order or decision on reconsideration. As provided in AS 31.05.080(b),"[t]he questions reviewed on appeal are limited to the questions presented to the Commission by the application for reconsideration." In computing a period of time above,the date of the event or default after which the designated period begins to run is not included in the period;the last day of the period is included,unless it falls on a weekend or state holiday.in which event the period runs until 5:00 p.m.on the next day that does not fall on a weekend or state holiday. . MEMORANDUM State of Alaska Alaska Oil and Gas Conservation Commission DATE: Friday,April 10,2015 TO: Jim Regg 4A1ui(� P.I.Supervisor ef I SUBJECT: Mechanical Integrity Tests HILCORP ALASKA LLC 03RD FROM: Lou Grimaldi BEAVER CK UNIT 03RD Petroleum Inspector Src: Inspector Reviewed By: P.I.Supry NON-CONFIDENTIAL Comm Well Name BEAVER CK UNIT 03RDAPI Well Number 50-133-20124-01-00 Inspector Name: Lou Grimaldi Permit Number: 203-044-0 Inspection Date: 4/9/2015 Insp Num: mitLG150409173651 Rel Insp Num: Packer Depth Pretest Initial 15 Min 30 Min 45 Min 60 Min Well 03RD :Type Inj w •TVD 4878 • Tubing 2550 2550 r 2550 2550 PTD 2030440 !Type Testi SPT(Test psi!- –1500 ✓, IA 835 1660 rt 1660 1260— INITAL PAF P li OA I Interval 1 Notes: 20 gallons meoh pumped and returned Good solid test All pertinent paperwork supplied for test. 1444CtLivt.tas (7 1.:=.0 Flcl- `Z Lue,tt SCANNED Rt Friday,April 10,2015 Page 1 of 1 0 0 M 0 0 0 0 0 1- N 0N r�-I 0 1-1 III 0 e-i b- ,- i 1_ ____L-,- o \ J c 14 i der;m.. ....„ ....., in c 1 N 4J i N M Tue= I ill r-I - N r-I M Lf1 ri H N Q OM mml I C. I �, O eI1 0 N N 0 r-I Q 1 \ I M � o V M N W in r-I ri M r-I C VI 3 r-I = N e-I L!1 e-I r-I r-I r-I ei i eI O 0 0 0 O 0 0 r-I O O iO OO � 0 L.f, M N N r-I r-I • k444,4%.44)&1--I-b kc)C-4 c-c Xtspec ; . X 44- t.L(;tSo4o91 t73 (cc5t Il Beaver Creek 3RD ACTUAL Pada SCHEMATIC Nikon.Alaska,LLC 1,227'FNL, 1,501'FWL, Sec.34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 9-5/8"x13-3/8"TOC(CBL 8/03/68)-284' Property Des: A-028083 KB Elevation: 179'(21'AGL) x_317,318.98' :" ► 7"x9-5/8"TOC(CBL 8/14/68)-0' j 2,433,959.65' Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W e. .,.,i ," ,.• Surface Casing: Spud: 04/24/2003 TIS 05/13!2003 13-3/8" 61 ppf J-55 at 533' Rig Released:05/20/2003 @ 06:00 has Cmt with 565 sx Intermediate Casing: ;1' 9-5/8" 40 ppf J-55 BTC @ 1,569' "' Cmt'd w/500 sks Cement i6 4 DV Collar 1/4"OD 0.049"wall Chemical injection string @ 2'034 Production Casing: tied into mandrel at 1,508' V ;� 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' i Cmt'd w/650 sks Cement in 1st stage, !; r?-.4..1 Cmt'd w/335 sks Cement in 2nd stage r J . .- Gas Lift Mandrel @ 5,585' o'4 '. < 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg (Dummy Valve installed 2003) ►"i 17 AtTop of Baker 7"ZXP Packer/Liner Hanger j ' Sealbore Extension and 4"PBR @ 5,643' e - f�'�'� ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned) `F 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) B-2 -amen. =earxeos.ms cams= B-1L Sterling Perfs 6,033'6,043' 5,180'-5,189'TVD),4 spf(11/20/87) B-3 5,805-5,855' [[50' (4,998'-5,038'TVD),2-1/2"6 spf 3/04/15 B1L ( �, 5,855'-5,945' [90](5,038'-5,110'TVD),2-1/2"6 spf(3/04/15) B2 6,034'-6,044'(5,182'-5,190'ND),4 spf(11/20/87) B-3 i. ra........., B-2 5,925'-5,945' [20')(5,094'-5,110'TVD),2-1/2"4 spf(3/30/15) B2 6,035'-6,047'(5,182'-5,192'TVD),4 spf(11/08/88) B-3 iiii ! 5,905'-5,925' [20')(5,078'-5,094'TVD),2-1/2"4 spf(4/03/15) B2 6,034'-6,050'(5,182'-5,194'ND),4 spf(8/15/68) B-3 l'' O. 5,805-5,825' [20](4,998'-5,014'TVD),2-1/2"4 spf(4/06/15B1L 6,058'-6,080'(5,201'-5,218'TVD),4 spf(8/15/68) B-3 6,060'-6,080'(5,207-5,218'ND),4 spf(9/25/82) B-3 , . B-3 E .,. , 6,104'-6,146'(5,237'-5,270'ND),4 spf(8/15/68) B-3AMIMI AMC 6,107'-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A I1 13 6,152'-6,158'(5,275'-5,280'ND),4 spf(8/15/68) B-3A Q 6,158'-6,160'(5,280'-5,281'ND),4 spf(9/25/82) B-3A B-3A as Clear @ 8,011'SLM(04/03/15) 6,183'-6,184'(5,300'-5,301'ND),4 spf(9/25/82) B-3A Sqzd 2.50"bailer(No btm tag) 0 Fish: (4/06/15 -' Cast Iron Bridge Plug @ 8,970' 2-1/2"Owen Strip Gun perf debris i r,_, . Top of cement @ 8,900' 60'of guns(240 shots)=22.8'of debris '' :i: ' TOF @ unknown LB-22 Ir.- LB-23 =co Beluga Perfs LB-28a =tSn 9,020'-9,030 7,745-7,755 ' ' spf LB-22 Cast Iron Bridge Plug @ 9,570' ND),6 P (2005) LB-28 ..11. i 9,050'-9,060' 7,774-7,784'ND),6 spf(2005) LB-22 LB-28c ....4a ., % 9,115-9,127' 7,838-7,850'ND),6 spf(2005) LB-23 9,515'-9,522' (8,232-8,238'NO),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM - 9,526-9,544' (8,242-8,260'ND),3 spf(2003),6 spf(2005) LB-28b LB-28d =... a-- 9,547'-9.555' (8,263-8,271'ND),3 spf(2003),6 spf(2005) LB-28c Cast Iron Bridge Plug @ 9,902' ' 9.586-9,595' (8,303-8.310'ND),3 spf(6/21/03) LB-28d LB-30 =1=11 r` 9,765-9,778' (8,480-8,490'ND),3 spf(6/21/03) LB-30 ,maas Type II Landing Collar @ 9,930' $... Production Liner: Float Collar @ 9,964' t 3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ L, 9 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' 's - TD r' ,'1. PBTD 10,005'MD9,902' ,r . MD P Max Inclination: Max Dole 8,713'TVD r" ' , 8,613'TVD Dogleg: y?,y 38.0°@ 6,393' 5.57°I700'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 • County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country:IUSA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs: 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig/21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 4/6/2015 Schematic Revision Date: 4/7/2015 ti Or Th, yI)" //j/',t THE STATE Alaska Oil and Gas s�►-'i��� o Conservation Commission _. fALASI�:A Witt 333 333 West Seventh Avenue GOVERNOR BILL WALKER Anchorage, Alaska 99501-3572 Main: 907.279.1433 OFALAS"' Fax: 907.276.7542 www.aogcc.alaska.gov BEd ;• '.• Stan Porhola Operations Engineer 011 4 Hilcorp Alaska, LLC - 3800 Centerpoint Drive, Suite 1400 Anchorage, AK 99503 Re: Beaver Creek Field, Undefined WDSP Pool, BCU 3RD Sundry Number: 315-130 Dear Mr. Porhola: 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 AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration 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. Sincerely, Cathy P Foerster Chair DATED this CEJ day of March, 2015 Encl. RECEIVED , STATE OF ALASKA MAR 10 2015 ALASKA OIL AND GAS CONSERVATION COMMISSION A0^r+^IaVV APPLICATION FOR SUNDRY APPROVALS 20 AAC 25.280 1.Type of Request: Abandon❑ Plug for Redril ❑ Perforate New Pod❑ Repair Well❑ Change Approved Program❑ Suspend❑ Plug Perforations❑ Perforate 0-' Pull Tubing❑ Time Extension❑ Operations Shutdovn❑ Re-enter Susp.Wel ❑ Stimulate❑✓ ' Alter Casing❑ Other. ❑ 2.Operator Name: Hilcorp Alaska,LLC 4.Current Well Class: 5.Permit to Drill Number Exploratory ❑ Development ❑ 203-044 • 3 Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic ❑ Service ❑✓ . 6.API Number. Anchorage,Alaska 99503 50-133-20124-01 • 7.If perforating: 8.Well Name and Number: What Regulation or Conservation Order governs well spacing in this pool? CO 237A Beaver Creek Unit(BCU)3RD • Will planned perforations require a spacing exception? Yes ❑ No ❑ 9.Property Designation(Lease Number): 10.Field/Pool(s): .7r,.>e-r17e_.1�, FEDA028083' Beaver Creek/Undefined WDSP • --P-t(1). Ve, 11. PRESENT WELL CONDITION SUMMARY _1 S ‘/-"5 Total Depth MD(ft): Total Depth TVD(ft). Effective Depth MD(ft): Effective Depth ND(ft). Plugs(measured): Junk(measured): 10,005 • 8,713 ' 9,570 8,287 9,750'&9,902'&8,970' N/A Casing Length Size MD ND Burst Collopse Structural Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5/8" 1,569' 1,540' 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,456' 6,340 psi 3,830 psi Production Liner 4,356' 3-1/2" 9,999' 8,70T 10,160 psi 10,530 psi Perforation Depth MD(ft): Perforation Depth ND(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic See Attached Schematic 3-1/2" 1-00 5,643' Packers and SSSV Type: Packers and SSSV MD(t)and ND(ft): Baker 7"ZXP Pkr;N/A 5,655'MD-4,878'ND;N/A 12.Attachments: Description Summary of Proposal ❑✓ 13.Well Class after proposed work: Detailed Operations Program n BOP Sketch ❑ Exploratory n Stratigraphic❑ Development❑ Service n • 14.Estimated Date for 15.Well Status after proFosed work: 03/20/15 Commencing Operations: Oil ❑ Gas ❑ WDSPL ❑✓ • Suspended ❑ 16.Verbal Approval: Date: WINJ ❑ GINJ ❑ WAG ❑ Abandoned ❑ Commission Representative: GSTOR ❑ SPLUG ❑ 17.I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Stan Porhola Phone: 907-777-8412 Email soorholaOhilcorD.com Printed Name Stan Porhola / Title Operations Engineer Signature - (rvL - Phone 907-777-8412 Date 3/0 C�AS COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number: I�1 5 ( t , ElPlug Integrity ❑ BOP Test ❑ Mechanical Integrity Test Location Clearance Other: * Li( ,- © -,- ., w. XcL--0rCO.-'7 17L y6 Spacing Exception Required? Yes ❑ No EI Subsequent Form Required: /0 - 110 L/ APPROVED BY Approved by: ...1.1---erzy / _4,2 COMMISSIONER THE COMMISSION Date: 3 -/5 ,3-ii-/s- Submit Forth and Form 10-403(Revised /2012) Al ved application is v0 fRinGtha NAL of approval. Attach nts in Duplicate RBDM�SJ APR - 1 2015 3%,/ b -3 :/•/s� ini Well Prognosis . , . Well: BCU-03RD Hilcorp Alaska,LI) Date:3/09/2015 Well Name: BCU-03RD API Number: 50-133-20124-01 Current Status: Class II Disposal Leg: N/A Estimated Start Date: 3/20/15 Rig: N/A Reg.Approval Req'd? 403 Date Reg.Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 203-044 First Call Engineer: Stan Porhola (907)777-8412 (0) (907)331-8228(M) Second Call Engineer: Chad Helgeson (907)777-8405 (0) (907)229-4824(M) AFE Number: Current Bottom Hole Pressure: —2,165 psi @ 4,998' TVD (Static survey March 2015) Maximum Expected BHP: —2,165 psi @ 4,998' ND (Static survey March 2015) Max. Allowable Surface Pressure: — 1,665 psi (Based on actual reservoir conditions and gas gradient to surface (0.10psi/ft) Brief Well Summary Beaver Creek Unit#3RD was a gas well deepened in 2003 to access gas sands in the Beluga. The Lower Beluga B31, B28d, B28c, B28b, and B28a were initially completed.These zones were fracture stimulated in July 2003.A CIBP was set at 9,570' in April 2005. Perforations in the LB-23 and LB-22 were added in May 2005. A velocity string was installed in December 2005 and pulled in January 2008. The well has not produced and been shut-in since February 2006. In February 2015 the wells was plugged back in preparation for conversion to a Class II Disposal well. The well was perforated in the Sterling B1L and B2 in March 2015 and a step-rate injection test was performed. Initial injection rates with the current pump were maxed out at 2.2 bpm @ 2,725 psi. The purpose of this work/sundry is to perforate and possibly acidize the Sterling disposal interval to decrease the injection pressure, assuming there is significant skin damage across the initial set of perforations that were shot thru 2 strings of casing(3-1/2"tubing and 7"casing). Notes Regarding Wellbore Condition • Current SITP=0 psi. Eline Procedure: 1. MIRU E-line, PT lubricator to 4,000 psi Hi 250 Low. 2. RU 2-1/2" 6 spf ConneX HC wireline guns. 3. RIH and perforate the following intervals: Zone Sands Top(MD) Btm (MD) FT SPF Sterling B1L 5,805' 5,855' 50' 6 r Sterling B2 5,855' 5,945' 90' 6 a. Increase tubing pressure to 1,000 psi before perforating(overbalanced perforating). b. Proposed perfs shown on the proposed schematic in red font. c. Final Perfs tie-in sheet will be provided in the field for exact perf intervals. d. Correlate using SLB Cement SCMT Log(dated 5/31/03) (Tie-in log). e. Use Gamma/CCL/to correlate. f. Record tubing pressures before and after each perforating run. Well Prognosis , ‘ Well: BCU-03RD Hilcorp Alaska,LL Date:3/09/2015 g. Packer top at 5,655' MD is 150'from the top proposed perf at 5,805' MD. 4. RD E-line. ift �rk coo P 5✓. v� Acidizing Procedure: 1ItA ' I �� 1. Shutoff injection and bleed tubing to 0 psi. p1z 2. MIRU Pump Truck,Vac Truck, and Hot Oil Truck. I 3. Load Hot Oil Truck with 1,512 gals(36.0 bbl)of 3%Ammonium Chloride water. 4. Load Vac Truck with 2,520 gals(60.0 bbl)of 6% KCI water. 5. Pump Truck to come pre-loaded with 3,150 gals(75.0 bbl)of the following Acid Blend: a. 15% HCI/3% HF Acid 6. Spot Pump Truck, RU lines and PT to 4,500 psi. 7. Pump 75.0 bbl of Acid Blend down the tubing at rates up to 4.0 bpm. a. Maximum anticipated treating pressure is 4,000 psi. b. Do not exceed 4,250 psi. c. Record rates, tubing, and casing pressures every minute. 8. Spot Hot Oil Truck, RU lines and PT to 4,500 psi. 9. Pump 36.0 bbl of 3%Ammonium Chloride down the tubing at rates up to 3.0 bpm. a. Maximum anticipated treating pressure is 3,500 psi. b. Do not exceed 4,000 psi. c. Record rates,tubing, and casing pressures every minute. 10. Transfer 60.0 bbl of 6% KCI water from Vac Truck to Hot Oil Truck. 11. Pump 60.0 bbl of 6% KCI down the tubing at rates up to 3.0 bpm. a. Maximum anticipated treating pressure is 3,500 psi. b. Do not exceed 4,000 psi. c. Record rates,tubing, and casing pressures every minute. 12. RD Pump Truck,Vac Truck,and Hot Oil Truck. 13. Leave well shut-in to allow acid to soak for 18-24 hours. a. Minimum soak time is 12 hours. 14. Turn well over to production operators,continue injection operations. Attachments: 1. Actual Schematic 2. Proposed Schematic • Beaver Creek 3RD ACTUAL Pad 3 SCHEMATIC Hilcorp Alaska.LLE1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 9-5/8"x13-3/8"TOC(CBL 8103/68)-284' Property Des: A-028083 KB Elevation: 179'(21'AGL) x: 317,318.98' j 2,433,959.65' 7"x9-5/8"TOC(CBL 8/14/68)-0' ------ ----jr- '.71:' • Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W ' Surface Casing: Spud: 04/24/2003 13-3/8" 61 ppf J-55 at 533' TD: 05/13/2003 Cmt with 565 sx Rig Released:05/20/2003 @ 06:00 hrs. 1 illj IIIIntermediate Casing: 9-5/8" 40 ppf J-55 BTC©1,569' Cmt'd w/500 sks Cement UI' DV Collar 1/4"OD 0.049"wall Chemical injection / @ 2,034' Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage Gas Lift Mandrel @ 5,585' < 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg (Dummy Valve installed 2003) : ,ii .: 1 r '11 _ 1 Top of Baker 7"ZXP Packer/Liner Hanger +' Sealbore Extension and 4"PBR @ 5,643' f--�� ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned( ':.'"....1 -: O 1 piss' Z 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) 6-2 '- - B-1L Sterling Perfs 6,033'-6,043'(5,180'-5,189'ND),4 spf(11/20187) B-3 .--- ----._ 5,805'-5,855' [50'1(4,998-5,038'ND),2-1/2"6 spf(3/04/15) 1311 6,034'-6,044'(5,182'-5,190'TVD),4 spf(11/20/87) B-3 B-2 5,855'-5,945' [90'](5,038-5,110'ND),2-1/2"6 spf(3/04/15) B2 6,035-6,047'(5,182'-5,192'TVD),4 spf(11/08/88) 8-3 -' " " - -- 6,034'-6,050'(5,182'-5,194'ND),4 spf(8/15/68) 8-3 ` 6,058'-6,080'(5,201'-5,218'ND),4 spf(8/15/68) 6-3 6,060'-6,080'(5,202'-5,218'ND),4 spf(9/25/82) 8-3 ` B-3 6,104'-6,146'(5,237'-5,270'ND),4 spf(8/15/68) B-3A ..=.r 6,107'-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A =II- ' 'Q 6,152'-6,158'(5,275-5,280'ND),4 spf(8/15/68) B-3A B 3A Q Tag @ 8,900'SLM(02116/15) 6,158'-6,160'(5,280'-5,281'ND),4 spf(9/25/82) 8-3A 6,183'-6,184'(5,300'-5,301'ND),4 spf(9/25/82) B-3A Sqzd 2.50"x 20'dummy gun Iiiil . ' Cast Iron Bridge Plug @ 8,970' Top of cement @ 8,900' LB-22 '� LB-23 -,---, r- Beluga Perfs =11{:{::,= Cast Iron Bridge Plug @ 9,570' LB-28a rr�r•*� 9,020'-9,030' (7,745-7,755'ND),6 spf(2005) LB-22 LB-28b ywr�c 9,050'-9,060' (7,774-7,784'ND),6 spf(2005) LB-22 LB-28c {,1;• 9,115-9,127' (7,838-7,850'ND),6 spf(2005) LB-23 -r 9,515-9,522' (8,232-8,238'TVD),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM LB-28d , c 9,526'-9,544' (8,242-8,260'TVD),3 spf(2003),6 spf(2005) LB-28b 9,547'-9,555' (8,263-8,271'TVD),3 spf(2003),6 spf(2005) LB-28c CIBP 9,570' (8,286'ND) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'ND),3 spf(6/21/03) LB-28d LB-30 c 9,768'-9,778' (8,480-8,490'ND),3 spf(6/21/03) LB-30 a � Type II Landing Collar @ 9,930' g' Production Liner: Float Collar @ 9,964' 'if . 3-1/2"9.2 ppf Hydril 563 L-80 i', from 5,643-9,999' Cmt'd w/ lead of 349 sks @ 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' 'Y;, TD PBTD 10,005'MD9,902'MD Max Inclination: Max Dogleg: 8,713'TVD 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD - Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country: USA Angle @KOP and Depth:- 2.3°@ 650' Angle/Perfs:I 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig/21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 3/4/2015 Schematic Revision Date: 3/5/2015 4ll Beaver Creek 3 RD PROPOSED Pad 3 SCHEMATIC HilcorpAlaska,LIE; 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 _ 9-5/8"x13-3/8"TOC(CBL 8/03/68)-284' Property Des: A-028083 KB Elevation: 179'(21'AGL) x: 317,318.98' 7"x9-5/8"TOC(CBL 8/14/68)-0' yi 2,433,959.65' • lr' Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W Surface Casing: Spud: 04/24/2003 13-3/8" 61 ppf J-55 at 533' j' • lif:J.:; __, . TD: 05/13/2003 Cmt with 565 sx Rig Released:05/20/2003 @ 06:00 hrs. Intermediate Casing: 9-5/8" 40 ppf J-55 BTC @ 1,569' Cmt'd w/500 sks Cement I14 DV Collar 1/4"OD 0.049"wall Chemical injection @ 2,113a J Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage Gas Lift Mandrel @ 5,585' < 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg (Dummy Valve installed 2003) ,- .0 1 Top of Baker 7"ZXP Packer/Liner Hanger I 1 r. Sealbore Extension and 4"PBR @ 5,643' 4-r--,� ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned) 11 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) B-2 - - Sterling Perfs -r- - 35'-5,855' 50' (4,998-5,038'TVD),2-1/2"6 spf 3/04/15 B1L 6,033'-6,043'(5,180'-5,189'ND),4 spf(11/20/87) B-3 _ t55'-5,945' f 90') 5,038-5,110'ND),2-1/2"6 spf(3/04/15) B2 6,034'-6,044'(5,182'-5,190'ND),4 spf(11/20/87) B-3 '- • - (RE-PERFORATE) 6,035-6,047'(5,182'-5,192'ND),4 spf(11/08/88) 13-3 -• 6,034'-6,050'(5,182'-5,194'ND),4 spf(8/15/68) B-3 6,056-6,080'(5,201'-5,218'ND),4 spf(8/15/68) B-3 6,060'-6,080'(5,202'-5,218'ND),4 spf(9/25/82) B-3 . ,6 B-3 rs 6,104'-6,146'(5,237'-5,270'ND),4 spf(8/15/68) B-3A 6,107'-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A6,152'-6,158'(5,275'-5,280'ND),4 spf(8/15/68) B-3AB 3Afi:itil::==: Tag @ 8,900'SLM(02/16/15)6,158'-6,160'(5,280'-5,281'ND),4 spf(9/25/82) B-3A2.50"x 20'dummy gun 6,183'-6,184'(5,300'-5,301'ND),4 spf(9/25/82) B-3A Sqzd Cast Iron Bridge Plug @ 8,970' Top of cement @ 8,900' LB-22 , • = LB-23 • or- Beluga Perfs Cast Iron Bridge Plug @ 9,570' LB-28a ;!,fir{*c 9,020'-9,030' (7,745-7,755'ND),6 spf(2005) LB-22 LB-28b ..0...../.. . 9,050'-9,060' 7,774-7,784'TVD 6 spf(2005) LB-22 •1 LB-28c +ti{ 9,115'-9,127' (7,838-7,850'ND),6 spf 2005LB-23 9,516-9,522' (8,232-8,238'TVD),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM 9,526-9,544' (8,242-8,260'TVD),3 spf(2003),6 spf(2005) LB-28b LB-28d 9,547'-9,555' (8,263-8,271'TVD),3 spf(2003),6 spf(2005) LB-28c IE CIBP 9,570' (8,286'ND) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'ND),3 spf(6/21/03) LB-28d LB-30 • c 9,766-9,778' (8,480-8,490'ND),3 spf(6/21/03) LB-30 ■ Type II Landing Collar @ 9,930' Production Liner: Float Collar @ 9,964' * f ° 3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ 12.7 ppg and tail of 415 sks @ 15.7 ppg. • Cementing Shoe @ 9,999' -• r TD PBTD 10,005'MD 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD r 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country:IUSA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs: 10°to 12° _ Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' RKB(above GL): 16'Origl21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 3/4/2015 Schematic Revision Date: 3/9/2015 MEMORANDUM State of Alaska Alaska Oil and Gas Conservation Commission TO: Jim Regg Q ` DATE: Monday,March 09,2015 P.I.Supervisor 31115 SUBJECT: Mechanical Integrity Tests HILCORP ALASKA LLC 03RD FROM: Jeff Jones BEAVER CK UNIT 03RD Petroleum Inspector Src: Inspector Reviewed By: P.I.Supry — NON-CONFIDENTIAL Comm Well Name BEAVER CK UNIT 03RD API Well Number 50-133-20124-01-00 Inspector Name: Jeff Jones Permit Number: 203-044-0 Inspection Date: 2/18/2015 Insp Num: mitJJ150218163829 Rel Insp Num: Packer Depth Pretest Initial 15 Min 30 Min 45 Min 60 Min Well' 03RD ' iTType Inj I 1'1'hTVD 4870 I Tubing 40 200 180 180 III PTD: 2030440 ;Type TestisPT Test psi 1500 IA o li 1750 1675 1675 ; IntervallOTHER 1P/F ? P -1 OA o 0 0 0 Notes: < 1 BBL 50/50 methanol pumped.Pre-injection MIT. 1 well inspected,one exception noted:the wing valve is leaking from the stem packing Mr Applewhite will address this item —10E-cc4;1-- c:OtvarSick k spcS , — 5:o 6041: 3131[S :�ii,", cro 14144cs S w; VGli✓s✓ tr-Rv s- are C6 plek — see a#acined SCANNED i4" ''" Monday,March 09,2015 Page 1 of 1 Regg, James B (DOA) From: Sean Maguire <smaguire@hilcorp.com> Sent: Tuesday, March 03, 2015 11:45 AM To: Regg, James B (DOA) Cc: Warren Camp; Bruce Hershberger;Joey Hensley; Stan Porhola; Chad Helgeson; Larry Greenstein; DOA AOGCC Prudhoe Bay Subject: Hilcorp BCU-3RD (PTD 203-044) MIT followup Attachments: BCU-03RD,.pdf Hello Jim, My name is Sean Maguire. I am the lead operator at the Beaver Creek facility. During a witnessed MIT(test results attached above) at BCU3RD (PTD 203-044)on Feb 18th, it was noted that there was a stem packing leak on the wing valve of that well.To follow up, that leak has been addressed by our valve tech as of 2/20/15. If there are any questions concerning the valve, I can be reached at 907 283-1317, or 907 394-8273. Thanks You Sean Maguire Hilcorp Alaska Brooks, Phoebe L (DOA) Fib 0-203V-14D From: Larry Greenstein <Igreenstein@hilcorp.com> Sent: Monday, March 09, 2015 9:32 AM To: Brooks, Phoebe L(DOA) Subject: A-12RD and BCU-03RD schematics Attachments: A-12rd Schematic 2015-02-25.docx; BCU-03RD Actual Schematic 3-04-15.xls Sorry about that, Phoebe. We get the schematics updated in time for the 10-404 submissions (within 30 days after the work is completed)which is usually after the initial MITs are done on the injectors. The A-12RD & BCU-03RD schematics are attached. Larry From: Brooks, Phoebe L (DOA) [mailto:phoebe.brooks@alaska.gov] Sent: Monday, March 09, 2015 9:11 AM To: Larry Greenstein Subject: RE: MIT Monopod 02-11-15 Hi Larry, I had a reminder set for myself on this one...the last time we talked, I believe you just had the draft on file and I haven't seen anything sent in just yet so, I was hoping you could send this one my way?And, would you mind also looking into the well schematic for BCU-03RD PTD#2030440? Thank you, Phoebe Phoebe Brooks Statistical Technician II Alaska Oil and Gas Conservation Commission SCht4V45) MAR 1 0 - I Phone: 907-793-1242 Fax: 907-276-7542 CONFIDENTIALITY NOTICE:This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission(AOGCC),State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information. The unauthorized review,use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail,please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Phoebe Brooks at 907-793-1242 or phoebe.brooks@alaska.gov. From: Brooks, Phoebe L(DOA) Sent: Friday, February 13, 2015 10:16 AM To: 'Larry Greenstein' Subject: RE: MIT Monopod 02-11-15 Hi Larry, Will you send me the schematic for A-12RD? I'm also going to change the AOGCC Rep to reflect Johnnie Hill so that it will import correctly. 1 in Beaver Creek 3RD ACTUAL Pada SCHEMATIC HileorpAlaaka.,LiA 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 `-- -- Property Des: A-028083 `t f f 9- 6/8"x13-3/8"TOC(CBL 8/03/68)-284' KB Elevation: 17V(21'AGL) x: 317,318.98' + . 7" x9-5/8"TOC(CBL 8/14/68)-0' Y 2,433,959.65' _ Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W Spud: 04/24/2003 Surface Casing: TD: 05/13/2003 13-3/8" 61 ppf J-55 at 533' Rig Released:05/20/2003 @ 06:00 hrs. I Cmt with 565 sx j Intermediate Casing: 9-5/8" 40 ppf J-55 BTC @ 1,569' Cmt'd w/500 sks Cement 1 DV Collar 2,0 ' 1/4"OD 0.049"wall Chemical injection Production Casing:34 string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage I Gas Lift Mandrel @ 5,585' t (Dummy Valve installed 2003) 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg S ./ Top of Baker 7"ZXP Packer/Liner Hanger I Sealbore Extension and 4"PBR @ 5,643'� ZXP Packer top @ 5,655'MD/4,878'TVD Sterling Perfs(Abandoned) I I • 5,910'-5,940'(5,083'-5,107'ND),8 spf(7/08/94) B-2 . --r B-1L Sterling Perfs 6,033'-6,043'(5,180'-5,189'TVD),4 spf(11/20/87) B-3 = 5,805'-5,855' [50'1(4,998-5,038'ND),2-1/2"6 spf(3/04/15) B1L 6,034'-6,044'(5,182'-5,190'ND),4 spf(11/20/87) B-3 _ _ _ - B 2 5,855'-5,945' [90'1(5,038-5,110'ND),2-1/2"6 spf(3/04/15) B2 6,035'-6,047'(5,182'-5,192'ND),4 spf(11/08/88) B-3 6,034'-6,050'(5,182'-5,194'ND),4 spf(8/15/68) B-3 6,058'-6,080'(5,201'-5,218'ND),4 spf(8/15/68) 8-3 6,060'-6,080'(5,202'-5,218'ND),4 spf(9/25/82) 8-3 �' ' g3 +M 6,104'-6,146'(5,237'-5,270'ND),4 spf(8/15/68) B-3A 6,107'-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A -' . I= 6,152'-6,158'(5,275-5,280'ND),4 spf(8/15/68) B-3A B r=z Tag @ 8,900'SLM(02/16/15) 6,158'-6,160'(5,280'-5,281'ND),4 spf(9/25/82) B-3A 6,183'-6,184'(5,300'-5,301'ND),4 spf(9/25/82) B-3A Sqzd 2.50"x 20'dummy gun 111 Cast Iron Bridge Plug @ 8,970' Top of cement @ 8,900' LB-22 LB-23 , a--- Beluga Perfs =...•ti•ti Cast Iron Bridge Plug @ 9,570' LB-28a -�tiVS,tib 9,020'-9,030' (7,745-7,755'ND),6 spf(2005) LB-22 LB-28b --.ti?{;{s. 9,050'-9,060' (7,774-7,784'ND),6 spf(2005) LB-22 LB-28c ;{4`„ 9,115'-9,127' (7,838-7,850'ND),6 spf(2005) LB-23 Tagged 9,599'KB WLM 9,515'-9,522' (8,232-8,238'ND),3 spf(2003),6 spf(2005) LB-28a Fill Ta gg @ LB-28d 9,526'-9,544' (8,242-8,260'ND),3 spf(2003),6 spf(2005) LB-28b 9,547'-9,555' (8,263-8,271'ND),3 spf(2003),6 spf(2005) LB-28c CIBP 9,570' (8,286'ND) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' I 9,588'-9,595' (8,303-8,310'ND),3 spf(6/21/03) LB-28d LB-30 • • 9,768'-9,778' (8,480-8,490'ND),3 spf(6/21/03) LB-30 Type II Landing Collar @ 9,930' • • ' Production Liner. Float Collar @ 9,964' A f 3-1/2"9.2 ppf taHydril 563 L-80 5,643-9,999' Cmt'd w/ lead of 349 sks @ pg 1 from 5,6 3-9,99 ' Cmt'd sks @ 15.7 ppg. Cementing Shoe @ 9,999' TD i PBTD 10,005'MD 1:.' 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD - 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country:IUSA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs:I 100 to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig121'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 3/4/2015 Schematic Revision Date: 3/5/2015 OF T� Alaska Oil and Gas ' I//f/, THE STATE A ofALASJ:A Conservation Commission 333 West Seventh Avenue OF r�wti'� GOVERNOR BILL WALKER Anchorage, Alaska 99501-3572 Main: 907.279.1433 ALAS Fax: 907.276 7542 www.aogcc alaska gov Stan Porhola scbttitigl r2.. Q?t Operations Engineer Hilcorp Alaska, LLC A -o 411 ©3 3800 Centerpoint Drive, Suite 1400 Anchorage, AK 99503 Re: Beaver Creek Field, Undefined WDSP Pool, BCU 3RD Sundry Number: 315-040 Dear Mr. Porhola: 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 AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration 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. Sincerely, Daniel T. Seamount, Jr. Commissioner DATED this " y yda of February, 2015 Encl. 4 RECEIVED • . STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION JAN 2 3 2015 APPLICATION FOR SUNDRY APPROVALS 20 AAC 25.280 1.Type of Request: Abandon El Plug for Redril El Perforate New Pod❑Q e` i'P. Repair Wenn Changi Suspend❑ Plug Perforations❑] . Perforate❑ Pull Tubing❑ Time Extension❑ Operations Shutdown❑ Re-enter Susp.Wel ❑ Stimulate❑ Alter Casing❑ Other. Convert to Class II Disposal❑, 2.Operator Name: Hilcorp Alaska,LLC 4.Current Well Class: 5.Permit to Drill Number Exploratory ❑ Development ❑ • 203-044 • 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic El Service ❑ 6.API Number. Anchorage,Alaska 99503 50-133-20124-01 7.If perforating: ,Z.:5-7/L7 8.Well Name end Number. What Regulation or Conservation Order governs well spacing in this pool? CO 9,371002— Will planned perforations require a spacing exception? Yes ❑ No ❑� /1-Z4- 6 Beaver Creek Unit(BCU)3RD • 9.Property Designation(Lease Number): 10.Field/Pool(s): eV,/ i /v', tc. FEDA028083 • Beaver Creek/Beluga Gas Pool • e i e,sci ii f )l:> 11. PRESENT WELL CONDITION SUMMARY ,./SD i, ,so-/'S Total Depth MD(ft): Total Depth ND(ft): Effective Depth MD(ft): Effective Depth ND(ft): Plugs(measured): Junk(measured): 10,005 • 8,713 • 9,570 8,287 9,750'&9,902' N/A Casing Length Size MD 7VD Burst Collapse Structural Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5/8" 1,569' 1,540' 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,456' 6,340 psi 3,830 psi Production Liner 4,356' 3-1/2" 9,999' 8,707' 10,160 psi 10,530 psi Perforation Depth MD(ft): Perforation Depth ND(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic See Attached Schematic 3-1/2" L-80 5,643' Packers and SSSV Type: Packers and SSSV MD(t)and ND(ft): Baker 7"ZXP Pkr/Liner Hanger;N/A 5,643'MD-4,868'ND;N/A 12.Attachments: Description Summary of Proposal Q 13.Well Class after proposed work: k" • Detailed Operations Program n BOP Sketch n Exploratory n t Stratigraphicn DevelopmenService 14.Estimated Date for 15.Well Status after proposed work: i 5 LLp ./ 7 Commencing Operations: 02/06/15 Oil ❑ Gas b /' t [ El Suspended 16.Verbal Approval: Date: WINJ ❑ GINJ ❑ WAG ❑ Abandoned ❑ Commission Representative: GSTOR ❑ SPLUG ❑ 17.I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Stan Pothole Phone: 907-777-8412 Email sporholaeihilcorD.com Printed Name tan Porhola Title Operations Engineer / Signature Phone 907-777-8412 Date Z3 / �S COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number. Plug Integrity ❑ BOP Test ❑ Mechanical Integrity Test Location Clearance ❑ Other: D i p 'rJ. Inset ho-n o re3Tal o c's +-to It in Gct a'n i e c....,;-it, c VW. bIscosoA IryeC -, oar '6 Le tsue.a by ProCdCc. Spacing Exception Required? Yes ❑ No [ Subsequent Form Required: 10_ 4.0 1— APPROVED BY /4-1 Approved by: , / COMMISSIONER THE COMMISSION / Date:Z �• ii I /�'/� �- f� Submit Form and Form 10-4 /sed 10/2012) A e Ii a i r for 12 months from the date of approval. Attachments in Du licate RBDMS� FEB - 5 2015 c.D� z/3/zo is �'��� s /C.' . . -- 14 Well Prognosis Well: BCU-03RD Hilcorp Alaska,LI) Date: 1/23/2015 Well Name: BCU-03RD API Number: 50-133-20124-01 Current Status: Shut-In Gas Well Leg: N/A Estimated Start Date: 2/6/15 (Pending DIO) Rig: N/A Reg. Approval Req'd? 403 Date Reg.Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 203-044 First Call Engineer: Stan Porhola (907) 777-8412 (0) (907) 331-8228 (M) Second Call Engineer: Paul Chan (907) 777-8333 (0) (907)444-2881 (M) AFE Number: Current Bottom Hole Pressure: — 3,718 psi @ 8,317' TVD (Static survey April 2005) Maximum Expected BHP: 3,718 psi @ 8,317' TVD (Static survey April 2005) Max. Allowable Surface Pressure: -.2,886 psi (Based on actual reservoir conditions and gas gradient to surface (0.10psi/ft) Brief Well Summary Beaver Creek Unit#3RD was a gas well deepened in 2003 to access gas sands in the Beluga. The Lower Beluga B31, B28d, B28c, B28b, and B28a were initially completed. These zones were fracture stimulated in July 2003. A CIBP was set at 9,570' in April 2005. Perforations in the LB-23 and LB-22 were added in May 2005. A velocity string was installed in December 2005 and pulled in January 2008. The well has not produced and been shut-in . since February 2006. The purpose of this work/sundry is to convert this well to a Class II Disposal well by plugging back the Beluga interval and perforating the Sterling. This work is pending approval of the AOGCC Disposal Injection Order. - (o4CU/,. l h.f —e// del/eke, Liar,. <31- tvao/ Notes Regarding Wellbore Condition , 4/7-. 4/l, (D PI/Mbe G'od d by21f o q/pre / 0 1 , • Last pulled 1.75"velocity string from 9,001' CTM in January 2008. /iai,e ,yjen� 0 fa nr1' / • Current SITP= 500 psi. �'" / • Cement top at 284' between 9-5/8" and 13-3/8" casing (CBL 8/03/68). kr • Cement top at surface between 7" and 9-5/8" casing (CBL 8/14/68). / Slickline Procedure: 1. Confirm pressure gauges are installed and working properly. a. Confirm Tbg x IA pressure gauge is installed (3-1/2" x 7"). b. Confirm IA x OA pressure gauge is installed (7" x 9-5/8"). r 2. MIRU Slickline, PT lubricator to 3,500 psi Hi 250 Low. 1, S�--- ra'A 3. RIH w/pressure/temperature tools at logging speed down to+/-6,000'MD. •L.' ' ski 4. Sit at+/-6,000' MD for 30 minutes. '`I 5. POOH at logging speed. LD tools. a. Submit initial pressure/temperature log data to AOGCC. 1,"''' `"` t..)'6' � 6. RIH and pull valve from GLM at 5,585'. L.,:-- 7. RIH and pull valve from Chem Mandrel at 1,508'. l�•'�" 8. RIH and set dummy valve in Chem Mandrel at 1,508'° 9. RU test pump. PT lines to 2,000 psi. 10. Fill annulus with lease water and freeze protect fluid (diesel). a. Capacity= 148 bbl to 5,585'. b. Freeze protect top 100' with diesel (3 bbl). • Well Prognosis Well: BCU-03RD flacon)Alaska,LLI Date:1/23/2015 11. RIH and set dummy valve in GLM at 5,585'. 12. Notify AOGCC 24 hrs prior to performing the workover MIT. 13. Test 3-1/2" x 7" IA to 1,500 psi for 30 min and chart (workover MIT). 14. Bleed off pressure, leaving 1,000 psi of applied casing pressure. 15. RD Slickline and test pump. Eline Procedure: 16. MIRU E-line, PT lubricator to 4,000 psi Hi 250 Low. 17. RU 3-1/2" CIBP and GR/CCL tools. 18. RIH and set CIBP at+/-9,000' MD in the 3-1/2" 9.3#casing(set 3-5 ft above a casing collar). 19. POOH. 20. RU test pump. PT lines to 4,000 psi. 21. Fill tubing with lease water. ✓ a. Capacity is 78 bbl to 9,000' MD. 22. Test bridge plug to 3,500 psi for 30 min and chart. l - 23. RU 2.25"x20' bailer,tag plug and dump bail 35'of cement on tubing plug(13 gallons of cement)to achieve a cement top at 8,965'. POOH.WOC 12 hrs. 24. RU 2-1/2" 6 spf HC wireline guns. 25. RIH and perforate the following intervals: Zone Sands Top(MD) Btm (MD) FT SPF Sterling B1L 5,804' 5,855' 51' 6 Sterling B2 5,855' 5,945' 90' 6 a. Bleed tubing pressure to 0 psi before perforating. b. Proposed perfs shown on the proposed schematic in red font. c. Final Perfs tie-in sheet will be provided in the field for exact perf intervals. d. Correlate using SLB Cement SCMT Log(dated 5/31/03) (Tie-in log). e. Use Gamma/CCL/to correlate. f. Record tubing pressures before and after each perforating run. g. Packer top at 5,655' MD is 149'from the top proposed perf at 5,804' MD. 26. RD E-line. Baseline Step-Rate Injection Test Procedure: 27. RU to chart rates and pressures. 28. Notify AOGCC 10 days prior to performing step-rate injection test. 29. Perform step-rate injection test at the following rates: a. 0.5 bpm for 5 mins b. 1.0 bpm for 5 mins c. 1.5 bpm for 5 mins d. 2.0 bpm for 5 mins e. 3.0 bpm for 5 mins f. 4.0 bpm for 5 mins g. 5.0 bpm for 5 mins h. 6.0 bpm for 5 mins i. Maximum anticipated injection pressure is 3,500 psi. ii. Record and chart tubing, IA, OA pressures. Well Prognosis Well: BCU-03RD Ililcorp Alaska,LL Date: 1/23/2015 30. Freeze protect top 100 ft of tubing with diesel (1 bbl). Record pressures until well stabilized. 31. RD test pump. Post-Wellwork Procedure (within 1 month of start of injection): 32. MIRU Slickline, PT lubricator to 3,500 psi Hi 250 Low. 33. RIH w/press,,-/temperature tools at logging speed down to +/-9„.0001/1D. 34. Sit at+/- .'.es MD for 30 minutes. L- . �•�,(,,�;.. 35. POOH at logging speed. LD tools. RD slickline. r h� a. Submit follow-up pressure/temperature log data to AOGCC. I� i 36. Notify AOGCC 24 hrs prior to performing the subsequent MIT. SZ 37. RU test pump. PT lines to 2,000 psi. 38. Test 3-1/2" x 7" IA to 1,500 psi for 30 min and chart (subsequent MIT). 39. RD test pump. Turn well over to production operators. Attachments: 1. Actual Schematic 2. Proposed Schematic ._ • . H ,_ Beaver Creek 3RD ACTUAL Pad 3 SCHEMATIC HilcorpAlaska,LLC 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 Property Des: A-028083 r- 9-5/8"x13-3/8"TOC(CBL 8/03/68)-284' tr_..------- KB Elevation: 179'(21'AGL) �' �' x: 317,318.98' 7"x9-5/8"TOC(CBL 8/14/68)-0' _.__._..._________: yi 2,433,959.65' Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W Spud: 04/24/2003 Surface Casing: TD: 05/13/2003 13-3/8" 61 ppf J-55 at 533' Rig Released:05/20/2003 @ 06.00 hrs. 11116.. Cmt with 565 sx Intermediate Casing: 9-5/8" 40 ppf J-55 BTC @ 1,569' . 16,1 Cmt'd w/500 sks Cement 011 II 4 DV Collar 1/4"OD 0.049"wall Chemical injection @ 2,034' 1 Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve Fluid Level 7"26 ppf N-80 from 914-6,380' 3,530' Cmt'd w/650 sks Cement in 1st stage, '41111Cmt'd w/335 sks Cement in 2nd stage Gas Lift Mandrel @ 5,585' t 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg Top of Baker 7"ZXP Packer/Liner Hanger e Sealbore Extension and 4"PBR @ 5,643' C �'>- ZXP Packer top @ 5,655' Sterling Perfs(Abandoned) 5,910'-5,940'(5,083'-5,107'ND),8 spf(7/08/94) B-2 6,033'-6,043'(5,180'-5,189'ND),4 spf(11/20/87) 8-3 + 6,034'-6,044'(5,182'-5,190'ND),4 spf(11/20/87) 8-3 B-2 s>�_ 6,035'-6,047'(5,182'-5,192'ND),4 spf(11/08/88) 8-3 6,034'-6,050'(5,182'-5,194'ND),4 spf(8/15/68) 8-3 ". 6,058'-6,080'(5,201'-5,218'ND),4 spf(8/15/68) B-3 i _ 6,060'-6,080'(5,202'-5,218'ND),4 spf(9/25/82) 8-3 B-3 =r. 6,104'-6,146'(5,237'-5,270'ND),4 spf(8/15/68) B-3A ' 6,107'-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A `- ' CS._ 6,152'-6,158'(5,275'-5,280'ND),4 spf(8/15/68) B-3A :.. 6,158'-6,160'(5,280'-5,281'ND),4 spf(9/25/82) B-3A 8-3A ," . ■ 6,183'-6,184'(5,300'-5,301'ND),4 spf(9/25/82) 8-3A Sqzd �.�; Q I .,,.. 4 ' ' Li- Last Tag: ✓ y. 9,474'SLM(Fill) ' 2.25"DD Bailer - 12/19/14 LB-22 a LB-23 = Beluga Perfs„ Cast Iron Bridge Plug @ 9,570' LB-28a •{j�•}� 9,020'-9,030' (7,745-7,755'ND),6 spf(2005) LB-22 Le-28b �,. 9,050'-9,060' (7,774-7,784'ND),6 spf(2005) LB-22 LB-28c { _? 9,115'-9,127' (7,838-7,850'ND),6 spf(2005) LB-23 9,515'-9,522' (8,232-8,238'ND),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM 9,526'-9,544' (8,242-8,260'ND),3 spf(2003),6 spf(2005) LB-28b LB-28d . r- 9,547'-9,555' (8,263-8,271'ND),3 spf(2003),6 spf(2005) LB-28c CIBP 9,570' (8,286'ND) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'ND),3 spf(6/21/03) LB-28d LB-30 =n c 9,768'-9,778' (8,480-8,490'ND),3 spf(6/21/03) LB-30 Type II Landing Collar @ 9,930' ' Production Liner: Float Collar @ 9,964' f 3-1/2"9.2 ppf Hydril 563 L-80 . from 5,643-9,999' Cmt'd w/ lead of 349 sks @ 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' '' TD PBTD 10,005'MD I 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD t 8,613'TVD 38.0°@ 6,393' 5.57°1100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska Country: USA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs: 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 _ Ground Level(above MSL): 158.0' RKB(above GL): 16'Orig/21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: 12/19/2014 Schematic Revision Date: 1/23/2015 ., .., ... 11 Beaver Creek 3 RD PROPOSED Pad3 SCHEMATIC Hileorp Alaska,LLC 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 - 9-5/8"x13-318"TOC(CBL 8/03/68)-284' Property Des: A-028083 KB Elevation: 179'(21'AGL) '" x: 317,318.98' 7"x9-5/8"TOC(CBL 8/14/68)•0' y 2,433,959.65' Good bond to 3,500';Fair bond above Latitude: 60°39'29.9"N Longitude:151°1'5.75"W Spud: 04/24/2003 Surface Casing TD: 05!13/2003 ', 13-3/8" 61 ppf J-55 at 533' Rig Released:05/20/2003 @ 06:00 hrs. Cmt with 565 sx Intermediate Casing: 9-5/8" 40 ppf J-55 BTC @ 1,569' Cmt'd w/500 sks Cement DV Collar • 1/4"OD 0.049"wall Chemical injection ! @ 2'034 Production Casing: string tied into mandrel at 1,508' 7"23 ppf N-80 from 0-914' w/check valve 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Cmt'd w/335 sks Cement in 2nd stage Gas Lift Mandrel @ 5,585' AN 3-1/2"9.3 ppf L-80 w/Mod 8RD tbg tH rr ,fd / Top of Baker 7"ZXP Packer/Liner Hanger ( • and 4"PBR @ 5,643' Sealbore Extension ZXP Packer top @ 5,655' Sterling Perfs(Abandoned) " , 5,910'-5,940'(5,083'-5,107'TVD),8 spf(7/08/94) B-2 BAL. Sterling Perfs ==m 5,804'-5,855' (4,997-5,038'TVD),6 spf(Proposed) B1 L 6,033'-6,043'(5,180'-5,189'TVD),4 spf(11/20/87) 0-3 5,856-5,945' (5,038-5,110'TVD),6 spf(Proposed) B2 6,034'-6,044'(5,182'-5,190'ND),4 spf(11/20/87) B-3 B-2 8-2 6,035-6,047'(5,182'-5,192'TVD),4 spf(11/08/88) B-3 "''- 6,034'-6,050'(5,182'-5,194'TVD),4 spf(8/15/68) B-3 6,058'-6,080'(5,201'-5,218'TVD),4 spf(8/15/68) B-3 6,060'-6,080'(5,202'-5,218'ND),4 spf(9/25/82) B-3 6,104'-6,146'(5,23T-5,270'ND),4 spf(8/15/68) B-3A 'k 6,107-6,146'(5,239'-5,270'ND),4 spf(9/25/82) B-3A �•`- 6,152'-6,158'(5,275-5,280'ND),4 spf(8/15/68) B-3A m 6,158'-6,160'(5,280'-5,281'ND),4 spf(9/25/82) B-3A B-3A , as 6,183'-6,184'(5,300'-5,301'ND),4 spf(9/25/82) B-3A Sqzd �'4 - , ,... Cast Iron Bridge Plug @ 9,000' •"'Y Dump bail 35'of cement 4 - LB-22 , ■ 1 LB-23 ■ ate- Beluga Perfs Cast Iron Bridge Plug @ 9,570' LB-28a i 174"= 9,020-9,030' (7,745-7,755'ND),6 spf(2005) LB-22 LB-28b Ste`ti 9 ,050'-9,060' (7,774-7,784'ND),6 spf(2005) LB-22 LB-28c ti`+-; 9,115'-9,127' (7,838-7,850'ND),6 spf(2005) LB-23 9,515'-9,522' (8,232-8,238'ND),3 spf(2003),6 spf(2005) LB-28a Fill Tagged @ 9,599'KB WLM LB-28d ■ c 9,526'-9,544' (8,242-8,260'ND),3 spf(2003),6 spf(2005) LB-28b 9,547-9,555' (8,263-8,271'ND),3 spf(2003),6 spf(2005) LB-28c CIBP 9,570' (8,286'ND) (Set 4/26/05) Cast Iron Bridge Plug @ 9,902' 9,588'-9,595' (8,303-8,310'ND),3 spf(6/21/03) LB-28d LB-30 =e II= 9,765-9,778' (8,480-8,490'ND),3 spf(6/21/03) LB-30 Type II Landing Collar @ 9,930' - ,1111011 .` Production Liner: Float Collar @ 9,964' I 3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ • ` rr 1 ; 12.7 ppg and tail of 415 sks @ 15.7 ppg. Cementing Shoe @ 9,999' d , ( '' TDPBTD 10,005'MD . .. 9,902'MD Max Inclination: Max Dogleg: 8,713'TVD 8,613'TVD 38.0°@ 6,393' 5.57°/100'@ 6,433' Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough _ State/Prov: Alaska Country: USA Angle @KOP and Depth: 2.3°@ 650' Angle/Perfs: 10°to 12° Maximum Deviation: 38.0°@ 6,393' Date Completed: 5/19/2003 Ground Level(above MSL): 158.0' _ RKB(above GL): 16'Orig/21'Sidetrack Revised By: Stan Porhola Downhole Revision Date: PROPOSED Schematic Revision Date: 1123/2015 e e Image Project Well History File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable by direct inspection of the file. ~O 3- CJ 4- _Lf.Well History File Identifier Organizing (done) o Two-sided 11111111I1111111111 REJCAN d golor Items: ~reYSCale Items: , f~ o Poor Quality Originals: DIGITAL DATA o Diskettes, No. D Other, Norrype: D Other: NOTES: Date 13Dj00 Date c¡ ..?O / 0 {, ~ X30=qO + Dateq/a%~ BY: ('"Maria ) Project Proofing BY: ~ Scanning Preparation BY: ~ Production Scanning o Rescan Needed 1111111111111111111 OVERSIZED (Scannable) D Maps: o Other Items Scannable by a Large Scanner OVERSIZED (Non-Scannable) o Logs of various kinds: o Other:: /5/ V\1P 1111111111111111111 /5/ ~fJ g- = TOTAL PAGES q f? (Count does not include cover shelt) W1 ¡v') ffi/ It' 11111111111111 11111 Stage 1 Page Count from Scanned File: q q (Count doe. ;ndude cove, sheet) Page Count Matches Number in Scanning pre¡aration: ~ES BY:,~ Date:C¡/30¡ob Stage 1 If NO in stage 1, page(s) discrepancies were found: YES BY: Maria Date: Scanning is complete at this point unless rescanning is required. ReScanned BY: Maria Date: Comments about this file: NO /5/ lNl P NO /5/ 1111111111111111111 111111/111111/11111 /5/ Quality Checked ,, 1/111I11I1111111 10/6/2005 Well History File Cover Page. doc 6§c).„cp 1%%. THE STATE `L <IF c! t _� 333 \1F5+ C::VEr'i�"1 A.VCI^l,i; C;OVERNOR SEAN PARNELL Anciorage Alaska 99501 3572 Mom: 907 279 '433 "Mkr A SF 9C . 75 Stan Porhola 0 Operations Engineer a.0.3 Hilcorp Alaska, LLC 3800 Centerpoint Dr., Ste. 1400 Anchorage, AK 99503 Re: Beaver Creek Field, Beluga Gas Pool, Beaver Creek Unit 3RD Sundry Number: 314-382 Dear Mr. Porhola: 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 AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration 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. Sincerely, Cathy P oerster Chair DATED this pp day of June 2014. Encl. SCANNED JUL 1 0 2014 VD • STATE OF ALASKA JUN 18 2014 ALASKA OIL AND GAS CONSERVATION COMMISSION /�(1 APPLICATION FOR SUNDRY APPROVALS VOG1 20 AAC 25.280 1.Type of Request: Abandon❑ Plug for Redril ❑✓ • Perforate New Pod❑ Repair We❑ Change Approved Program 0 Suspend❑ Plug Perforations❑ Perforate❑ Pull Tubin❑ Time Extension 0 Operations Shutdowi❑ Re-enter Susp.Wel ❑ Stimulate❑ Alter Casin❑ Other. ❑ 2.Operator Name: Hilcorp Alaska,LLC 4.Current Well Class: 5.Permit to Drill Number Exploratory ❑ Development Q 203-044 ' 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic ❑ Service ID6.API Number. 50-133-20124-01 Anchorage,Alaska 99503 7.If perforating: 8.Well Name and Number: What Regulation or Conservation Order governs well spacing in this pool? CO 237.002 LI Creek Unit(BCU)3RD Will planned perforations require a spacing exception? Yes 0 No 9.Property Designation(Lease Number): 10.Field/Pool(s): FEDA028083 - Beaver Creek/Beluga Gas Pod ' 11. PRESENT WELL CONDITION SUMMARY Total Depth MD(ft): Total Depth ND(ft): Effective Depth MD(ft): Effective Depth ND(ft): Plugs(measured): Junk(measured): 10,005 8,713 9,570 8,287 9,750'&9,902' N/A Casing Length Size MD TVD Burst Collapse Structural Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5/8" 1,569' 1,540' 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,456' 6,340 psi 3,830 psi Production Liner 4,356' 3-1/2" 9,999' 8,707' 10,160 psi 10,530 psi Perforation Depth MD(ft): Perforation Depth ND(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic / See Attached Schematic 3-1/2" L-80 5,643' Packers and SSSV Type: Packers and SSSV MD(t)and TVD(ft): Baker 7"ZXP Pkr/Liner Hanger;N/A 5,643'MD-4,868'ND;N/A I 12.Attachments: Description Summary of Proposal 0 13.Well Class after proposed work: Detailed Operations Program ❑ BOP Sketch n Exploratory ❑ Stratigraphifl Development n Service ❑ 14.Estimated Date for 15.Well Status after proposed work: Commencing Operations: 06/25/14 Oil ❑ Gas WDSPL ❑ Suspended Ed 16.Verbal Approval: Date: WINJ ❑ GINJ L] WAG ❑ Abandoned ❑ Commission Representative: GSTOR ❑ SPLUG ❑ 17.I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Stan Pofiola Phone: 907-777-8412 Email sDorholaOhilcorD.com Printed Name /SStSSttaa�n Porhola Title Operations Engineer VIJI/if Signature _�i�V`�.. Rgdt--,_ Phone 907-777-8412 Date COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number. ki*_ s4 ?L w Plug Integrity ❑ BOP Test Er Mechanical Integrity Test ❑ Location Clearance ❑ Other: 3o P z!5 f )--D 3-C, o v p s i Spacing Exception Required? Yes ❑ No d Subsequent Form Required: /I a — 4 b 4 /-67 APPROVED BY Approved by: ?s,t..e,0 f�li� COMMISSIONER THE COMMISSION Date: �p - 26 _/! �� iproval. Submit Form andForm 10-403(Revised 10/2012) Appro0 Rift tfrom t ate of RBDMS Attachments in Duplicate 6201 VLF 7/Z 57/4- 644 LJ11/t�7 JUN 2J(�`1 Well Prognosis Well: BCU-03RD `I"'ka.LL' Date: 6/18/2014 Well Name: BCU-03RD API Number: 50-133-20124-01 Current Status: Shut-In Gas Well Leg: N/A Estimated Start Date: June 25th, 2014 Rig: Moncla 401 Reg.Approval Req'd? 403 Date Reg.Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 203-044 First Call Engineer: Stan Porhola (907)777-8412 (0) (907) 331-8228 (M) Second Call Engineer: Paul Chan (907)777-8333 (0) (907)444-2881 (M) AFE Number: Current Bottom Hole Pressure: — 3,718 psi @ 8,317' TVD (Static survey April 2005) Maximum Expected BHP: — 3,718 psi @ 8,317' TVD (Static survey April 2005) Max. Allowable Surface Pressure: —2,886 psi (Based on actual reservoir conditions and gas gradient to surface (0.10psi/ft) Brief Well Summary Beaver Creek Unit#3RD was drilled as a sidetrack gas well in 2003.The Lower Beluga B31, B28d, B28c, B28b, and B28a were initially completed.These zones were fracture stimulated in July 2003. A CIBP was set at 9,570' in April 2005. Perforations in the LB-23 and LB-22 were added in May 2005.A velocity string was installed in December 2005 and pulled in January 2008. The well has not produced and been shut-in since February 2006. The purpose of this work/sundry is to plugback the well to prepare it for a sidetrack using Saxon #169.The Saxon #169 will use the 7" bridge plug at+/- 2,000' to set the whipstock. X co4c 742 welf w4/ ite' — q hfit7l" Notes Regarding Wellbore Condition fro avc¢f Pe4/4/4fr. qt. 1"rtkt mere 7-40 • Last pulled 1.75"velocity string from 9,001' CTM in January 2008. 0.S /MMCF/0. L44 (( afief • Current SITP = 250 psi. /_ ?�J! coin o vnk&ow,, 142..cops when Slickline Procedure: �tfziy �/yry�f, 410 r0 r Ovi'4, tl; 1. MIRU Slickline, PT Lubricator to 3,000 psi Hi 250 Low. Ue(o01 ffriy 4"1" _'v 4 ne 2. RU 2.70"gauge ring, RIH and tag CIBP at+/-9,570'. 3. RU tubing stop/plug for 3-1/2" tubing, RIH and set at+/- 9,000'. Bleed off tubing pressure. � did 4. Dump bail 35' of cement on tubing plug (13 gallons of cement). OT MID 5. Wait on cement for 12 hours. OlsenDpi, 6. RU 2.50" bailer and tag top of cement. 7. RIH and pull valve out of the GLM at 5,585' RKB. At 41P' 8. RD Slickline. WO Rig Procedure: 9. MIRU Moncla #401 WO Rig. 10. Set BPV. ND Tree. 11. NU 7-1/16" BOPE. Set BPV.Test to 250 psi Low/3,000 psi High, annular to 250 psi Low/ 1,500 psi High (hold each valve and test for 10-min). Record accumulator pre-charge pressures and chart tests. a. Notify AOGCC 24 hrs in advance of BOP test. b. Notify BLM 48 hrs in advance of BOP test. Well Prognosis Well: BCU-03RD 1111(011) ��:'`� ' Date:6/18/2014 12. Bleed any pressure off tubing. Pull BPV. 13. Kill well w/8.4 ppg lease water. 14. MU 3-1/2" landing joint and pull tubing hanger free. 15. Pull seal assembly free. Lay down 3-1/2" tubing hanger. a. String weight at 60K when landed. b. Send the 3-1/2" tubing hanger to CIFO for cleaning and redress. 16. POOH and lay down most of the 3-1/2"tubing. a. Tubing is 3-1/2" 8RD-MOD (100%Tensile = 207k). b. Rack back 2,500' to run scraper assembly. c. Send pulled 3-1/2" 8RD-MOD tubing to storage pad. d. Place the pulled 3-1/2" 8RD in its own lot. Label the lot w/Well Name and #of its. e. Add thread protectors (box and pin) on all joints pulled (178 jts+8 pups). f. Junk all the jewelry. g. No plans to re-use the recovered control line. Secured to tubing with bands. 17. Contingency(If seal assembly does not pull free). a. MIRU E-line. a. MU pump-in sub on 3-1/2"8RD landing joint. b. RU 3.5"Tubing Jet Cutter. c. RIH and jet cut tubing at+/-5,500'MD. a. Have backup cutters on location if tubing does not part. b. Make cut above Liner top at 5,643'. c. RD Eline. d. POOH w/cut tubing. 18. MU flat-bottom BHA w/casing scraper and RIH on 3-1/2" tubing out of derrick. 19. RIH to+/-2,500' MD. 20. Circulate well clean w/ Produced Lease Water. a. Annular fluid is 6% KCI w/corrosion inhibitor. b. Estimated volume is 150 bbl. 21. POOH. LD 3-1/2" tubing, casing scraper and flat-bottom BHA. 22. MIRU E-line, PT lubricator to 3,000 psi Hi 250 Low. 23. RU 7" CIBP and GR/CCL tools. 24. RIH and set CIBP at+/-2,000' MD in the 7" 26#casing(set 3-5 ft above a casing collar). 25. RD E-line. 26. Test casing to 2,500 psi for 30 min and chart. 27. Set BPV. ND BOPE. NU dry hole tree. Pull BPV. 28. RD Moncla#401 WO Rig. 29. Turn well over to production in preparation of moving in the Saxon#169 Drilling Rig. 30. Replace IA x OA pressure gauge if removed (7" x 9-5/8"). Drilling Rig Procedure: 31. MIRU Saxon#169 Drilling Rig. 32. Mix mud for 6" hole section. 33. Set test plug in wellhead. 34. NU 11" BOPE. Set BPV.Test to 250 psi Low/3,000 psi High, annular to 250 psi Low/2,500 psi High (hold each valve and test for 5-min). Record accumulator pre-charge pressures and chart tests. a. Notify AOGCC 24 hrs in advance of BOP test. b. Notify BLM 48 hrs in advance of BOP test. 35. PU window milling assembly on 4" DP. 36. RIH to CIBP at 2,000'. . , Well Prognosis Well: BCU-03RD HiIcorp Alaska,LLi Date:6/18/2014 37. Circulate well clean w/8.4 ppg lease water. 38. Test casing to 2,500 psi for 30 min and chart. 39. SOOH and rack back milling assembly. 40. PU mills and UBHO sub on a joint of HWDP. 41. PU whipstock and attach mills and milling assembly. 42. Orient whipstock above CIBP. 43. Tag up on CIBP. Set whipstock anchor. Shear off window mill from the whipstock. 44. PU 5-10' above the whipstock. 45. Circulate well over to 9.0 ppg 6% KCI/PHPA drilling mud. 46. ***Remaining procedure to be included on the Permit to Drill for the sidetrack*** Attachments: 1. Actual Schematic 2. Proposed Schematic 3. BOPE Schematic 0 .. 11 Beaver Creek 3 RD ACTUAL Pad 3 SCHEMATIC Hilcorp Alaska,LLC 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. Permit#: 203-044 API#: 50-133-20124-01-00 _ Property Des: A-028083 KB Elevation: 179'(21'AGL) • x: 317,318.98' y; 2,433,959.65' Latitude: 60°39'29.9"N Longitude:151°1'5.75'W Spud: 04/24/2003 Surface Casing: TD: 05/13/2003 13-3/8i 61 ppf J-J5 at 533' 1,569' Cmt with 565 sx Rig Released:05/20/2003 @ 06:00 his. ' PA#: Shut In: December,2006 Intermediate Casing: 9-5/8" 40 ppf J-55 Cmt'd w/500 sks Cement 3-1/2"9.3 ppf L-80 w/Mod 8 rd tbg 114"OD 0.049"wall Chemical injection string tied into mandrel at 1,508'w/check valve DV tool at 2034' Gas Lift Mandrel @ 5,585' Intermediate Casing: 7"23 ppf L-80 from 0-914' 7"26 ppf N-80 from 914-6,380' Cmt'd C w/650 sks Cement in 1st stage, 335 sks in 2nd pi • Top of Baker 7"ZXP Packer/Liner Hanger PM 1 and 4"PBR @ 5,643' 1 Sealbore Extension 1. Abandoned Sterling Perforations Production Liner: 3-1/2"9.2 ppf Hydril 563 L-80 from 5,643-9,999' Cmt'd w/ lead of 349 sks @ • 12.7 ppg and tail of 415 sks @ 15.7 ppg. c Beluga Perfs • c `, 9,020'-9,030'(7,745-7,755'TVD),6 spf(2005) 22 �+ 9,050'-9,060'(7,774-7,784'ND),6 spf(2005) 22 9,115-9,127'(7,838-7,850'ND),6 spf(2005) 23 Cast Iron Bridge Plug @ 9,570' 0V I 9,515-9,522'(8,232-8,238'ND),3 spf(2003),6 spf(2005) 28a . -----f/\ 1 p 9,526-9,544'(8,242-8,260'ND),3 spf(2003),6 spf(2005) 28b 9,547'-9,555'(8,263-8,271'ND),3 spf(2003),6 spf(2005) 28c • c q CIBP 9,570'(8,286'ND) (4/26/05) Fill Tagged @ 9,599'KB WLM 9,588'-9,595 (8,303-8,310'TVD),3 spf(6/21/03) 28d 9,768'-9,778'(8,480-8,490'ND),3 spf(6/21/03) I Cast Iron Bridge Plug @ 9,902' t Y! a i0, L ' Type II landing Collar @ 9,930' Float Collar @ 9,964' La ' i it ii ... Cementing Shoe @ 9,999 "., '� TD PBTD 10,005'MD 9,902'MD 8,713'TVD 8,613'TVD Well Name&Number: Beaver Creek 3RD Lease: Beaver Creek Unit County or Parish: Kenai Peninsula Borough _ State: Alaska Country: USA Perforations(MD): _ 9,020'-9,778' (TVD): 7,746'-8,491' Angle @ KOP and Depth: 2.5°/100 ft @ 650'MD Angle/Perfs: Dated Completed: 4/16/2003 _ Completion Fluid: 6%KCL Revised By: Nancy Henry Last Revison Date: 6/8/2009 v • ii Beaver Creek 3RD PROPOSED Pad 3 SCHEMATIC HilcorpAlaska,LI.l'. 1,227 FNL, 1,501' FWL, Sec.34, T7N, R10W, S.M. I Permit#: 203-044i - API#: 50-133-20124-01-00 Property Des: A-028083 KB Elevation: 179'(21'AGL) x: 317,318.98' y; 2,433,959.65' 113 3/8" 61 ppg J-55 at 533' Latitude: 60°39'29.9"N Cmt with 565 sx Longitude:151°1'5.75"W Spud: 04/24/2003 , ce TD: 05/13/2003 Intermediate Casing: Released:05/20/2003 @ 06:00 hrs. 9-5/8" 40 Caps pf J-55 BTC 1,569' PA#: Cmt'd w/500 sks Cement • Shut In: December,2006 II DV tool at 2034' intermediate Casing: ' 7"23 ppf L-80 from 0-914' 7"26 ppf N-80 from 914-6,380' Cmt'd w/650 sks Cement in 1st stage, Bridge Plug @ 2,000' 335 sks in 2nd a Top of Baker 7"ZXP Packer/Liner Hanger and 4"PBR @ 5,643' Sealbore Extension IAbandoned Sterling Perforations Production Liner: 3-1/2"9.2 ppf Hydril 563 L-80 tj: •• from 5,643-9,999' Cmt'd w/ lead of 349 sks @ 12.7 ppg and tail of 415 sks @ 15.7 ppg. 1 Tubing Plug @ 9,000' Capped w/35'Cement Beluga Perfs J • a _.__ C 9,020'-9,030'(7,745-7,755'TVD),6 spf(2005) 22 9,050'-9,060'(7,774-7,784'ND),6 spf(2005) 22 • 9,115-9,127'(7,838-7,850'ND),6 spf(2005) 23 ■ a= Cast Iron Bridge Plug @ 9,570' 9,515'-9,522'(8,232-8,238'ND),3 spf(2003),6 spf(2005) 28a 9,526-9,544'(8,242-8,260'ND),3 spf(2003),6 spf(2005) 28b 9,547-9,555'(8,263-8,271'ND),3 spf(2003),6 spf(2005) 28c • ■= CIBP 9,570'(8,286'ND) (4/26/05) Fill Tagged @ 9,599'KB WLM A �+- 9,588'-9,595' (8,303-8,310'TVD),3 spf(6/21/03) 28d L- 9,765-9,778'(8,480-8,490'ND),3 spf(6/21/03) Cast Iron Bridge Plug @ 9,902' i 'id 1 r '4, Type II landing Collar @ 9,930' Float Collar @ 9,964' ; xi Cementing Shoe @ 9,999' , 7 J TD PBTD 10,005'MD 9,902'MD 8,713'TVD 8,613'TVD Well Name&Number: Beaver Creek Unit#3RD Lease: A-028083 County or Parish: Kenai Peninsula Borough State/Prov: Alaska _ Country: USA KOP and Max Dogleg: 1 KOP @ 650'/2.501100' Angle/Perfs: 11.0° _ Maximum Deviation: 38°e_6,497' Date Completed: 04/16/03 Ground Level(above MSL):_ 158' RKB(above GL):_ 21' Revised By: Stan Porhola Downhole Revision Date: Proposed Schematic Revision Date: 6/16/2014 Beaver Creek 11 2014 Moncla Rig 401 Hiin,rr Alaska.11.1A. Oil Tools BOP v 0 1_ 1 it III III lit iii di iii 2.57' Shaffer 71/16 5000 n r � TURVOUTTEUT 2 3/8-3%2 variable ---€1---€1 _I CAMERON !' // —) 3.68' H � I I If I, I � H 4% iI Blind H 71/16 5000 I 1 --- ) H \ _e_01 / / rIi 11I1 iii iii I 2 1/16 10M Kill Valves 2 1/16 10M Choke Valves Manual and HCR 41111111 Manual and HCR I I ! ! 11Lsi`lfrifi �,,� � ', • 1.56' r;y iii 71/16 5000 r,.41.- fil , ' _jOi' i'r, '`' llhI■III■,! I III I I I Sundry Application Plug for Re-drill Wells Work Flow This process is used to identify wells that are suspended for a very short time prior to being re-drilled. Those wells that are not re-drilled immediately are identified every 6 months and assigned a current status of"Suspended." Step Task responsible 1 The initial reviewer will check to ensure that the "Plug for Redrill" box in the Patricia or Steve upper left corner of Form 10-403 is checked. If the "Abandon" or "Suspend" boxes are also checked, cross out that erroneous entry and initial it on both copies of the Form 10-403 (AOGCC's and operator's copies). 2 If the "Abandon" box is checked in Box 15 (Well Status after proposed Patricia or Steve work) the initial reviewer will cross out that erroneous entry and initial it on both copies of the Form 10-403 (AOGCC's and operator's copies). Instead, then check the "Suspended" box and initial that change. Guy or Victoria The drilling engineers will serve as quality control for steps 1 and 2. (QC) 3 When the Stat Tech receives a Form 10-403 with a check in the "Plug for Jenni Redrill" box, she will enter the Typ_Work code "IPBRD" into the History tab for the well in RBDMS. This code automatically generates a comment in the well history that states "Intent: Plug for Redrill." 4 When the Stat Tech receives any Form 10-407, she will check the History tab Jenni in RBDMS for the "Intent: Plug for Redrill" code (IPBRD). If present and there is no evidence that a subsequent re-drill has been COMPLETED, the Stat Tech will assign a status of SUSPENDED to the well bore in RBDMS no matter what status is listed on the 10-407. The Stat Tech will also change the status on the 10-407 form to SUSPENDED, and date and initial this change. If the Stat Tech does not see the "Intent: Plug for Redrill" comment or code, she will enter the status listed on the Form 10-407 into RBDMS. 5 When the Form 10-407 for the redrill is received, the Stat Tech will change Jenni the original well's status from SUSPENDED to ABANDONED. 6 The first week of every January and July, the Stat Tech and one of the Jenni Geologists will check the "Well by Type Work Outstanding" user query in Patricia or Steve RBDMS to ensure that all of the Plug for Redrill wells have been handled properly. At this same time, they will also review the list of suspended wells for accuracy. • M Marathon MARATHON Oil Company February 19, 2008 °~~-~ FED ~ ~ Zoc~~ Mr. Tom Maunder Alaska Oil & Gas Conservation Commission 333 W 7th Ave Anchorage, Alaska 99501 Reference: 10-404 Sundry Report Field: Beaver Creek Unit Well: Beaver Creek 3 ReDrill Dear Mr. Maunder: u -~. . ab~,o~~ ~E~~~~~ FFB 2 1 2008 Alaska pil & Gas Cons. Commissic Anchoral}e Attached for your records is the 10-404 Sundry Report for BC-3RD. This sundry covers the tubing removal work performed under sundry #307-271. The velocity string tubing was removed and will be utilized in Beaver Creek 1A well. Please contact me at (907) 283 -1371 if you have any questions or need additional information. Sincerely, ~~~.~~ Kevin J. Skiba Production Technician Enclosures: 10-404 Sundry Report cc: Houston Well File Operations Summary Kenai Well File Current Well Schematic KJS DMD Marathon Oil Company Alaska Asset Team P.O. Box 1949 Kenai, AK 99611 Telephone 907/283-1371 Fax 907/283-1350 __ STATE OF ALASKA a.? ~dr~ FEg ~ ~ ~ ALASKA OIL AND GAS CONSERVATION COM~ION <: ~~« REPORT OF SUNDRY WELL OPERATION~ka Qi~ ~A,~ ..:;: ~ , 1. Operations Abandon Repair Well Plug Perforations Stimulate Other Performed: Alter Casing ^ Pull Tubing Q Perforate New Pool ^ Waiver^ Time Extension ^ Change Approved Program ^ Operat. Shutdown ^ Perforate ^ Re-enter Suspended Well ^ 2. Operator Marathon Oil Company N 4. Well Class Before Work: 5. Permit to Drill Number: ame: Development Q Exploratory^ 203-044 3. Address: PO Box 1949 Stratigraphic ^ Service ^ 6. API Number: _ Kenai Alaska, 99611-1949 50-133-20124-01-00 7. KB Elevation (ft): 9. Well Name and Number: 179' - Beaver Creek Unit 3 ReDrill " 8. Property Designation: n 0~ !~ 10. Field/Pool(s): , ~a ~"E' A - 028083 ~ Beaver Creek Field /Beluga Pool 11. Present Well Condition Summary: Total Depth measured 10,005' - feet Plugs (measured) 9,750' S 9,902' true vertical 8,713 - feet Junk (measured) NA Effective Depth measured 9,570' feet true vertical g,287~ feet Casing Length Size MD TVD Burst Collapse Structural 0 0 0 0 0 0 Conductor 512' 13-3/8" 533' 533' 3,090 psi 1,540 psi Surface 1,548' 9-5l8" 1,569' 1,540, 3,950 psi 2,750 psi Intermediate 6,359' 7" 6,380' 5,456' 6,340 psi 3,830 psi Intermediate 0 7" 0 0 7,240 psi 5,410 psi Liner 4,356' 3-1/2" 9,999' 8,707' 10,160 psi 10,530 psi Perforation depth: Measured depth: 9,020' - 9,778' True Vertical depth: 7,746' - 8,491' Tubing: (size, grade, and measured depth) 3-1/2" L-80 5,643' Packers and SSSV (type and measured depth) Baker 7" ZXP Packer/Liner hanger Packer @ 5,643' 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 Oil-Bbl Gas-Mcf Water-Bbl Casing Pressure Tubing Pressure Prior to well operation: 0 0 0 0 4 Subsequent to operation: 0 0 0 0 6 14. Attachments: 15. Well Class after work: Copies of Logs and Surveys Run Exploratory ^ Development Q Service ^ Daily Report of Well Operations 16. Well Status after work: Oil ^ Gas 0 WAG ^ GINJ ^ WINJ ^ WDSPL ^ 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: 307-271 Contact Kevin Skiba (907) 283-1371 Printed Name Dennis M. Donovan Title Production Engineer Signature ~ Phone (907) 283-1333 Date February 19, 2008 Form 10-404 Revised 04/2006 y-•~ ~~. F~ ~ ~ ~} L~Db ~~'~" 1 Submit Original Only • • 203-044 Beaver Creek 3 ReDrill 50-133-20124-01-00 A-028083 Pad 3 m: 179'(aboveMSL) 1,227' FNL, 1,501' FWL, Sec. 34, T7N, R10W, S.M. MARATNOM 1/4" OD 0.049" wall Chemical injection string tied into mandrel at 1508' w/check valve 13-3/8" 61 ppf J-55 at 533' Cmt with 565 sx 9-518" 40 ppf J-55 BTC @ 1569' Cmt'd w1500 sks Cement 3-112" 9.3 ppf L-80 w/ Mod 8 b tbg I, I DV tool at 2034' Gas Lift Mandrel @ 5,585' 7" 23 ppf L-80 from 0-914' 7" 26 ppf N-80 from 914-6380' Cml'd w/650 sks Cement in 1st stage, 335 sks in 2nd Top of Baker 7" ZXP PackerlLiner Hanger and 4" PBR @ 5643' ~ -Ef I I Sealbore 6dension rd Sterling Perforations Liner 3-1/2" 9.2 ppf Hydril 563 L-80 from 5643-9,999' Cmt'd w/ lead of 349 sks @ 12.7 ppg and tail of 415 sks @ 15.7 PP9 Cast Iron Bridge Plug @ 9570' ~ -~ a c Fill Tagged at 9,599'KB WLM ~ ~- Cast Iron Bridge Plug @ 9902' 1 Fbat Collar @9.g64' ' j cementing snag °°°O TD 10,005, TVD 8713' 20'-9030', 6 spf (2005) 22 50'-9060', 6 spf (2005) 22 15'-9127', 6 spf (2005) 23 15'-9522', 3 spf (2003),6 spf (2005) 28a 26'-9544', 3 spf (2003),6 spf (2005) 28b 47'-9555', 3 spf (2003),6 spf (2005) 28c BP 9570' (4/26/05) 88'-9595', 3 spf (6/21 /03) 28d Tyye II landing CoWr ~ 9g30' Well Name 8 Number: BC-3rd Lease: A - 028083 Count or Parish: Kenai Peninsula Borou h State/Prov: Alaska Count USA Perforations (MD) 9,020' - 9,778' 7'VD : 7,746 - 8,491' An le @ KOP and Depth: 2.5° 1100 it 850' MD An le/Perfs: Date Revised: 2119/2008 Revised b : Kevin Sklba • Marathon Oil Company Operations Summary Report Page 1 of 2 Legal Well Name: BEAVER CREEK 03 Common Well Name: BEAVER CREEK 03 Spud Date: 5/3/2003 Event Name: MAINTENANCE/REPAIR Start: 7/26/2007 End: Contractor Name: Rig Release: Group: Rig Name: Rig Number: Date From - To Hours j Code ~ Code Phase I Description of Operations 7/26/2007 107:30 - 08:15 08:15 - 09:30 0.75 ~ SAFETY ~ MTG_ ~ SLICK 1.251 RURD I SLIK I SLICK 09:30 - 09:45 0.25 RURD_ SLIK SLICK 09:45 - 11:10 1.42 RUNPU SLIK SLICK 11:10 - 11:20 0.17 RURD_ SLIK SLICK 11:20 - 12:00 0.67 RUNPU SLIK SLICK 12:00 - 12:02 0.03 RUNPU SLIK SLICK 12:02 - 12:15 0.22 RURD_ SLIK SLICK 12:15 - 13:00 0.75 RURD_ SLIK SLICK 1/29/2008 08:00 - 09:00 1.00 SAFETY MTG CTBG 09:00 - 11:00 ~ 2.00 ~ PREP_ ~ LOC_ ~ CTBG 11:00 - 12:00 1.00 PREP_ LOC_ CTBG 12:00 - 13:00 1.00 SAFETY MTG_ CTBG 13:00 - 14:00 1.00 PREP_ LOC_ CTBG 14:00 - 15:00 1.00 RURD_ COIL CTBG 15:00 - 17:00 2.00 RURD COIL CTBG 17:00 - 17:30 0.50 RURD_ COIL CTBG 17:30 - 18:00 0.50 RURD_ COIL CTBG 18:00 - 19:00 1.00 RURD_ COIL CTBG 19:00 - 19:15 0.25 SECUR WELL CTBG 1/30/2008 ~ 07:00 - 08:00 ~ 1.00 ~ SAFETY MTG_ ~ CTBG 08:00 - 09:00 1.00 RURD I COIL ~ CTBG 09:00 - 10:15 1.251 RURD I COIL I CTBG 10:15 - 12:30 2.25 RURD_ COIL CTBG 12:30 - 13:40 1.17 TEST BOPE CTBG 13:40 - 14:10 0.50 RURD_ COIL CTBG 14:10 - 14:50 0.67 RURD_ COIL CTBG 14:50 - 15:00 0.17 RURD COIL CTBG 15:00 - 15:10 0.17 RURD_ COIL CTBG 15:10 - 15:15 0.08 RURD_ COIL CTBG 15:15 - 15:44 0.48 RUNPU COIL CTBG 15:44 - 15:55 0.18 RUNPU COIL CTBG 15:55 - 16:00 0.08 RURD COIL CTBG Arrive Beaver creek, sign in. Obtain Safe work permit and hold PJSM. Discuss spills and point out that we are working in a Federal game refuge. Spot equipment and check out well head. V-Tubing pressure 13 asi. V-tubing annulus 2200 asi. Suspect V-string loaded with water. Discussed this with Wayne and decided that it was not neccessary to jumper V-tubing to V-annulus. PU lubricator and 1"tool string. PT lubricator and BOP's to 3500 psi. Test good. RIH with 1.25" GR. Tagged__up ~ 9002' wl. measurement. POOH. Test lubricator to 3500 psi. Test good. RIH with 1.0" plug to 9002' wl. Tapping down on plug. Off plug @ 12:02. Bump up in lubricator. Close swab valve. Rig down. Sign off permit and sign out. Arrive Beaver creek, sign in. Obtain Safe work permit and hold PJSM with ASRC roustabouts and liner crew. Discuss spills and point out that we are working in a Federal game refuge. Look over location. Establish tank/equipment arrangement. Utilize as much of existing rig up as possible. Lay liner and crib sides. Disconnect instrument tubing and electrical from well house. Hold PJSM with BJ and ASRC crews. Sign over permit to BJ coil Move crane from BC-1A. Pick well house off well. Lay out liners for BJ equipment. Spot and RU BJ coil equipment. Install hydraulic lines to spool, injector, and hydraulic power pack. Prep coil tube end for Dimple on connection. Install Dimple on connection. Stab coil in injector assemble. Secure equipment and location. Tum in permit. Sign out and leave field. Arrive Beaver creek, sign in. Obtain Hot work permit and hold PJSM with BJ, ASRC crane and vac truck operators, roustabouts, and liner crew. Discuss JSA's, spills, and point out that we are working in a Federal game refuge. Start up equipment. Liner crew cleaning up BC-6L containment. Removing liner and digging out areas around WH's onorder to reinstall well houses. Run hydraulic hoses, string instrument cables, and install adapter spool on WH. PU and install BOP's on WH. RU flowback iron to flow cross. Function test BOP's. Test good. Test blind/shears and pipe/slips 250, low/4500 psi high. Test accumulator. Tests good. PU injector. Pull test Dimple-on connector to 26.5K. Test good. MU Weatherford GS. Bolt up flanged XD's to injecator and carry injector to WH. Conduct JSA with Vetco personnel, and BJ operators. Discuss job scope. Perform shell test to 1000 psi. Test good. Open well valves (20 turns). RIH 17'. Tag up on hanger, PU 20K. Latched into hanger. Vetco Gray back out hanger screws. Pull hanger up into lubricator. Release walking dogs. "Walk" injector up tubing. Printed: 2/8/2008 3:34:22 PM • Marathon Oil Company Page 2 of 2 Operations Summary Report Legal Well Name: BEAVER CREEK 03 Common Well Name: BEAVER CREEK 03 Spud Date: 5/3/2003 Event Name: MAINTENANCE/REPAIR Start: 7/26/2007 End: Contractor Name: Rig Release: Group: Rig Name: Rig Number: Date From - To Hours Code Code Phase Description of Operations 1/30/2008 16:00 - 17:00 1.00 RURD_ COIL CTBG Cut tubing. LD GS. MU crossover flanges below injector. 17:00 - 18:10 1.17 RURD_ COIL CTBG Prep tubing for Roll-on connector. Apply roll-on connector. 18:10 - 18:45 0.58 RURD_ COIL CTBG Pull test Roll-on connector to 25K. Test good. "Walk" injector up tube. Visually inspect roll-on connect and paint it. Connector looks good. 18:45 - 19:10 0.42 RURD_ COIL CTBG POOH 45'. Roll-on leaking. 19:10 - 21:05 1.92 RURD_ COIL CTBG Install two clamps to tubing and a short nylon strap across Roll-on connector to prevent separation. Pull tubing OOH. 21:05 - 21:10 0.08 RURD_ COIL CTBG Bump up into lubricator. OOH. 21:10 - 21:45 0.58 RURD_ COIL CTBG Close Upper master valve (20 turns). Release walking dogs. Disconnect lubricator. Drain tubing and BHA. Cut off BHA. Re-install lubricator on WH. 21:45 - 22:45 1.00 PUMP_ N2_ CTBG Pur a coil w/ N2. Recover 26 bbls water form coil. Vac truck sucked out flow back tank. 22:45 - 22:53 0.13 RURD_ COIL CTBG Stand back injector/ Break out flanged XO's. Stand back injector. 22:53 - 23:20 0.45 SECUR WELL CTBG Install night cap on tree. Secure well and location for the night. 23:20 - 23:30 0.17 SECUR WELL CTBG Turn in permit. Sign out and leave loc. 1/31/2008 12:30 - 13:30 1.00 SAFETY MTG_ CTBG Arrive Beaver creek, sign in. Obtain Hot work permit and hold PJSM with BJ, ASRC crane and vac truck operators, roustabouts. Discuss JSA's, spills, and point out that we are working in a Federal game refuge. 13:30 - 16:30 3.00 RURD_ COIL CTBG Start up equipment. RD coil, and pump units, flow back tank and iron, MEOH tank( 60 bbls), and KCL tank( 80 bls). RD gas buster and choke manifold. Remove BOP's form WH. Install tree cap connections. 16:30 - 16:45 0.25 RURD_ COIL CTBG Install night cap on tree. Secure well and location for the night. 16:30 - 18:15 1.75 RURD_ COIL CTBG Move all the above equipment, and associated support equipment, light towers, man-lift, heater, and MOFO to BC-1A. 18:15 - 18:30 0.25 SECUR WELL CTBG Turn in permit. Sign out and leave loc. Printed: 2/8/2008 3:34:22 PM • • "~ --„ MICROFILMED 03/01/208 DO NOT PLACE o,`' SSA. _ ,,.~>- :r:`" .. - ~~`., ANY NEW MATERIAL UNDER THIS PAGE F:1LaserFiche\CvrPgs_InsertslMicrofilm_Marker.doc . ~lJ~lJŒ lID~ ~~~~[K\~ . A'JtA~1iA. OILAlVD GAS CONSERVATION COMMISSION SARAH PALIN, GOVERNOR 333 W. 7th AVENUE, SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Dennis Donovan Production Engineer I Marathon Oil Company PO Box 1949 Kenai, Alaska 99611-1949 JÓ3-ðltlf Re: Beaver Creek Field, Beluga Gas Pool, Beaver Creek Unit #3rd Sundry Number: 307-271 SCANNED AUE 2 2 2007 Dear Mr. Donovan: 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. When providing 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 Court unless rehearing has been requested. DATED this t. ~ of August, 2007 Enc!. pp ~zz/7 ør8~V\~o7 ~ RECEIVED . STATE OF ALASKA. k ALASKA OIL AND GAS CONSERVATION COMMISSION AUG 1 7 2007 <r5.¡ APPLICATION FOR SUNDRY APPROVALS . D\ 20 MC 25 280 JU8$Ra·Uïr& Gas Cons. Commission Suspend D Repair well D Pull Tubing D Operational shutdown D Plug Perforations D Perforate New Pool D 4. Current Well Class: Development 0 Stratigraphic D Perforate D AnCnWiQ@r D Stimulate D Time Extension D Re-enter Suspended Well D 5. Permit to Drill Number: Exploratory D 203-044 - Service D 6. APi Number: Other 0 Abandon D Alter casing D Change approved program D 2. Operator Name: 1. Type of Request: 3. Address: Pull Velocity String Marathon Oil Company 50-133-20124-01-00 - PO Box 1949, Kenai Alaska, 99611-1949 8. Well Name and Number: 7. If perforating, closest approach in pool(s) opened by this operation to nearest property line where ownership or landownership changes: Spacing Exception Required? Yes D 9. Property Designation: 12. Total Depth MD (ft): 9,999' Casing Structural Conductor Surface Intermediate Production Liner Perforation Depth MD (ft): 9,020' to 9,778' Packers and SSSV Type: A-028083 / No 0 10. KB Elevation (ft): 11. Field/Pool(s): 21' RT-GL Beaver Creek Field, Beluga Pool - PRESENT WELL CONDITION SUMMARY Effective Depth MD (ft): Effective Depth TVD (ft): Beaver Creek Unit #3rd < Total Depth TVD (ft): 8,701' Length Plugs (measured): Junk (measured): 9,570' 8,463.6' 9,750', 9,902' Burst N/A Collapse Size MD TVD 533' 1,569' 6,380' 13-3/8" 9-518 " 7" 23#/26# 533' 1,540' 5,456' 1,540 2,750 3,830/5,410 533' 1,569' 6,380' 3,090 3,950 6,340 1 7,240 5,643' 3-1/2" Perforation Depth TVD (ft): 8,707' Tubing Grade: 10,160 10,530 Tubing MD (ft): 5,643' and 9,001' Packer @ 5,643' 9,999' Tubing Size: 7,746' to 8,491' 3-1/2" and 1.750" 9.3# L80 and Coil Hangoff Baker 7" ZXP Packer/Liner Hanger and 4" PBR Packers and SSSV MD (ft): 9/3/2007 14. Well Class after proposed work: Exploratory D Development 0 Service D 16. Well Status after proposed work: Oil D Gas 0 Plugged D Abandoned D WAG D GINJ D WINJ D WDSPL D 13. Attachments: Description Summary of Proposal 0 Detailed Operations Program 0 BOP Sketch D 15. Estimated Date for Commencing Operations: 17. Verbal Approval: Commission Representative: 18. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Printed Nam~Dennisf Donovan Jr. Title Production Engineer I Signature 1 /J j\ ~ Phone 907-283-1333 W 907- Date Vlo#I::. -.... I-~' 398-1362 C ~ ~ COMMISSION USE ONLY Date: Kevin Skiba (907) 283-1371 8/15/2007 Conditions of approval: NQtify Commission so that a representative may witness Sundry Number: <.JiJ'7 - ~ -¡ I BOP Test ~ l4.SCO ..'" ~ '" .~ . ( ~ \. '::>U "......\E:"7 '" Û. ~ ~ \CJ,. ~ S'b,,,,'ec! Fo'm Re,,',ed, '-\() W Appco'ed by -:/ ~ l/ CO~=""'R Form 1 0-403 Revised 06/2006 U R 11stN) \ I Plug Integrity D Other: Mechanical Integrity Test D D Location Clearance t;j. R8DMS BFl AUG 2 2 2DD7 APPROVED BY THE COMMISSiON Date: ~V~?- S/b . . D i· ¿ ~I~ U mlt In up lca""" 'Y,," . . ("'~ Marathon MARATHON Oil Company RECEIVED AUG 1 7 Z007 Alaska Oil & Gas Cons, Commission Anchorage Marathon Oil Company Alaska Asset Team P,O. Box 1949 Kenai, AK 99611 Telephone 907/283-1371 Fax 907/283-1350 August 15, 2007 Mr. Tom Maunder Alaska Oil & Gas Conservation Commission 333 W ih Ave Anchorage, Alaska 99501 Reference: 10-404 Report of Sundry Well Operations Installation of V-string and Acidization 305-352 ... 10-403 Application for Sundry Approvals Removal of V-string Field: Beaver Creek Field Well: Beaver Creek #3rd (PTD- 203-044) Dear Mr. Maunder: / ed is the 10-404 for sundry 305-352, This sundry reports the installation of a 1.75" coil tubing , ring to 9001' KB in Beaver Creek 3rd dated December 16th 2005, As per the letter dated Se 7 2006, the installed coil string was not able to sustain flow. Due to these results, we pro Acidize the well and submit the results on 305-352's 10-404 Sundry, Attached with the e the operations summary reports for each job and a current wellbore diagram, sí~\ We would like to request for the removal of the 1,75" coil tubing velocity string, Since the well has not been able to flow with this installed; we intend to utilize this string on another well. Upon the removal of this string, we intend to re-establish production, Please find a )-10-403, operations procedure, current wellbore diagram (noted above), and proposed wellbore diagram, Please send any sundries or pertinent documentation to Kevin Skiba at the above address listed, If you have any questions or need further information please call me at (907) 398-1362. Sin~~. Dennis Donovan Production Engineer Enclosures: 10-404 Sundry of Well Ops 305-352 cc: Operations Summary Report Current Well Schematic Letter Dated September 27,2006 10-403 Request of Sundry Well Ops. Detailed Operations Procedure Proposed Well Schematic AOGCC Houston Well File Kenai Well File DMD KJS . . ~ MARATHON OIL COMPANY ALASKA REGION Beaver Creek Field BC #3rd 2007 Velocity String Removal Procedure (08-16-2007) WBS # WO,07.15633.EXP (BC 3rd Pull V-string) Notes: . This procedure covers work to remove a 1.75" coil tubing string. . Contact Vetco prior to MIRU to verify maximum hanger head ID & mandrel OD measurements. BJ CoilTech supervisor will drift all WH connections prior to rig up to insure drift ID of individual connections. 1. Set Profile Pluas into 1.75" Coil. MIRU Pollard Wireline. Hold PJSM. RIH and set plug into CT BHA. Bleed down CT string and verify that the plugs are holding (Talk with Pollard about what style plugs need to be used.) 2. Flowline modifications for velocity coil tubina strina. Is installed and is easily broken down and moved. 3. MIRU MOC flow back eQuipment including open-top flowback tank, choke skid, gas buster, and flow back iron. MIRU closed-top 500 bbl Rain-for-Rent fluid supply tank. Lay liner and berm area around tank. Load fluid supply tank with 6% KCI and heat as necessary. Deliver diesel fuel manlift and two light plants (if needed). Remove well house and lock out electrical connections. 4. BOPE TestinQ. Notify AOGCC 24 Hrs prior to testing. Removal of 1.75" CT 5. MIRU BJ coiled tubinQ unit with 1.75" coiled tubing stinger string. Rig up fluid and N2 pumps. RU pumping iron and flow back iron. 6. Nipple UP BJ CT wellhead assembly (WHA). WHA to include 4-1/8" - 5M X 4-1/16" - 10M DSA, 4- 1/16" - 10M X 5' Flanged Riser, 4-1/16" -10M flow cross and 4-1/16" - 10M Dual-Combi BOP (dressed for 1.75" CT). Function test BOP. Stab 1.75" CT into injector. Nipple up injector to WHA. 7. Pressure test surface lines and CT eQuipment with 6% KCL water. Pressure test pump iron (250 low/4500 high psi). Pump fluid to load CT. Pressure test CT, WHA and flow back iron to choke manifold (250/4500 psi). Pressure test BOP rams (250/4500 psi). Purge pressure test fluids wI N2 to flowback tank and vent N2 pressure to flowback tank. (FILL OUT BOPE TEST INFORMATION SHEET AND SEND TO AOGCC) 8. MU 1.75" Weatherford GS Pullina Tool. Dimple-on a 1.75" CT connector, DFCheckValve, centralizer and G-Spear. Pull test CT connector (25,000 Ibs.) using a pull plate. PU 10' of 4-1/16" CO lubricator (or sufficient amount of lubricator to swallow BHA). 9. Pick Up Tubina HanQer, NU to Wellhead with Injector head and lubricator. Perform BJ Shell Test. Open Swab Valve and RIH. Latch GS Pulling tool into Coil Tubing Hanger. Verify Latch. Vetco to unscrew hanger holding pins. PUH with tubing hanger. . . Page 2 of2 10. Pull CT BHA into Lubricator. Close tubing rams/slips and bleed WH Pressure through coil flow cross. Release pressure on chains and roll chains to verify that they are not contacting the tubing (watch weight indicator and visual on ground). Break 6" Bowen connection and slowly with the help of the crane operator Boom Up Injector Head approximately 4 feet. This work window is necessary for connection of the 1.75" Roll-on connector. Saw Cut with a hack saw to remove the current tubing hanger and CT BHA that are in place. 11. MU 1.75" Roll-on on CT Connector. Connect 1.75" Stinger String to 1 . 75" Velocity String and Pull test to 25,000 Ibs using a pull plate, Slowly walk down lubricator back onto wellhead and make up Bowen nut. Pressure test lubricator (250/4500 psi). Bring chain pressure back up and equalize pressure across flow cross to release rams. 12. POOH with 1.75" CT. Spool used Coil String onto empty reel. Approximately 9001' of coil is in the well. Tag Brass on stripper and watch weight indicator for this. Close the swab valve and bleed down lubricator. 13. Purae KCL water from CT remainina on reel trailer with nitroaen. Allow N2 to vent to flowback tank through flow cross 14. Unstab Lubricator and Boom Iniector toward the around. Remove each piece of lubricator and remove the 1.75" BHA 15. RDMO and release eauipment. RD flowback iron. Release tanks and all rental equipment to vendors. CONTACTS Dennis Donovan: 907-283-1333 (w) 907-398-1362 (cell) David Martens: 713-296-3302 (w) 832-4 72-6249( cell) Lyndon Ibele: 907 -565-3042 (w) 907-748-2819 (cell) EMERGENCY CONTACTS: KGF Operators: 907-283-1305 Emeraencv Dial 911 BC#3rd CT Velocity String Removal Procedure DMD - 8/16/2007 9:14:21 AM ~ Beaver Creek Field #3 Final at valve DV tool at 2034' as Lift Mandrel @¡ 5.585' Top of Baker 7" ZXP Packer/uner Hanger and 4" PBR @ 5643' Directional Data 7" 23 ppf L-80 from 0-914' 7" 26 ppf N.80 from 914-6380' Cmt'd w/650 sl\S Cement in 1st stage. 335 sl\S in 2nd (5456' ND, 23# 6340 burst 3830 collapse, 26# 7240 burst 5410 collapse) Beluga Perfs Cast Iron Bridge Plug @ g570' , 6 spf (2005) 22 , 6 spf(2005) 22 9115'-9127" 6 spf (2005) 23 9515'-9522',3 spf (2003).6 spf (2005) 28a 9526'-9544'. 3 spf (2003),6 spf (2005) 28b 9547'-9555',3 spf (2003),6 spf (2005) 28c CIBP 9570' (4/26/05) 9588'-9595',3 spf (6/21/03) 28d 9768'-9778',3 spf (6/21/03) Fill Tagged at 9.599'KB WLM Cast Iron Bridge Plug @ 9902' Float Collar@9,964' Liner 3-1/2" 9.2 5643-9,999' sks @ 12.7 15.7 ppg. TVD 1 0530 collapse) . . . (. M ~ Marathon MARATHON Oil Company Marathon Oil Company Alaska Asset Team P.O. Box 1949 Kenai, AK 99611 Telephone 907/283-1371 Fax 907/283-1350 August 15, 2007 Mr. Tom Maunder Alaska Oil & Gas Conservation Commission 333 W ih Ave Anchorage, Alaska 99501 RECEIVED AUG 1 7 2007 Reference: Alaska Oil & Gas Cons. ClHTlmission _ Anchorage 10-404 Report of Sundry Well Operations Installation of V-string and Acidization 305-352 10-403 Application for Sundry Approvals Removal of V-string Field: Beaver Creek Field Well: Beaver Creek #3rd (PTD- 203-044) Dear Mr. Maunder: / , Enclosed is the 10-404 for sundry 305-352. This sundry reports the installation of a 1.75" ~il tubing velocity string to 9001' KB in Beaver Creek 3rd dated December 16th 2005. '0 As per the letter dated September 27,2006, the installed coil string was not able to ustain flow. Due to these results, we proposed to Acidize the well and submit the results on 305-352's 10-404 Sundry. Attached with the 10-404 are the operations sum reports for each job and a current wellbore diagram. We would like to reques e remov e 1.75" coil tubing velocity string. Since the well has not been able to flow with this installed; we intend to utilize this string on another well. Upon the removal of this string, we intend to re-establish production. Please find a 10-403, operations procedure, current wellbore diagram (noted above), and proposed wellbore diagram. Please send any sundries or pertinent documentation to Kevin Skiba at the above address listed. If you have any questions or need further information please call me at (907) 398-1362. Sin~~. Dennis Donovan Production Engineer sCANNED AUG 2 1 2007 Enclosures: 10-404 Sundry of Well Ops 305-352 cc: Operations Summary Report Current Well Schematic Letter Dated Septem ber 27, 2006 10-403 Request of Sundry Well Ops. Detailed Operations Procedure Proposed Well Schematic AOGCC Houston Well File Kenai Well File DMD KJS " . . . U>~ · 044 (fA.') N!arathon MARATHON 011 Company RECEIVED AUG 1 7 2007 . Marathon Oil Company Alaska Asset Team P.O. Box 1949 Kenai, AK 99611 Telephone 907/283-1326 Fax 907/283-1350 Alaska Oil & Gas Cons. COOImission Anchorage September 27, 2006 Mr. Winton Aubert Alaska Oil & Gas Conservation Commission 333 W ¡th Ave Anchorage, Alaska 99501 Reference: 10-403 Sundry 305-352 Field: Beaver Creek Field Well: BC-3rd p'"' ",,().--\L-=~W ~'\l ~ '~/\S-'O~ We have run a 1...3/4" velocity string into BC_3rd as per sundry notice 305-352. Before the velocity string the well was producing 500 MCF/day. After running the velocity string we have been unable to sustain flow from the well. ~ \ ~ ~o~co~e:kJ \ d-/~-o<.o We propose to acidize the well with 4°1<> HCI/1 % HF in an attempt to clean up the perfs and flow the well. We will submit the 10-404 after the acid job to report on the results. Dear Mr. Aubert: If you have any questions or need further information please call me at (907) 398-9954. Sincerely, Michael A. Mullin Senior Production Engineer Enclosures: Summary Procedure cc: ~. Kt::.vl.-\ V L-U . STATEOFALASKA.?'~¿¡. AUG 1 7 2007 ~I ALASKA OIL AND GAS CONSERVATION COMMISSION . . n (~ REPORT OF SUNDRY WELL OPE.M<T~s Cons. CnmmlsslO Anchorage 1 . Operations Abandon U RepairWell U Plug Perforations U Stimulate l:j Other l:j Installed Velocity Performed: Alter Casing 0 Pull Tubing 0 Perforate New Pool 0 Waiver 0 Time Extension 0 String and Change Approved Program 0 Operat. Shutdown 0 Perforate 0 Re-enter Suspended Well 0 Acidize 2. Operator 4. Well Class Before Work: 5. Permit to Drill Number: Name: Marathon Oil Company Development 0 Exploratory 0 203-044 / 3. Address: Stratigraphic 0 Service 0 6. API Number: PO Box 1949, Kenai Alaska, 99611-1949 50-133-20124-01-00 ./ 7. KB Elevation (ft): 9. Well Name and Number: 21' RT -GL 158' RKB MSL Beaver Creek Unit #3rd r 8. Property Designation: 10. Field/Pool(s): A-028083 Beaver Creek Field, Belu~a Pools / 11. Present Well Condition Summary: Total Depth measured 9,999' feet Plugs (measured) 9,750',9,902' true vertical 8,707' feet Junk (measured) N/A Effective Depth measured 9,570' feet true vertical 8,463.6' feet Casing Length Size MD TVD Burst Collapse Structural Conductor 533' 13-3/8" 533' 533' 3,090 1,540 Surface 1,569' 9-5/8" 1,569' 1,540' 3,950 2,750 Intermediate 6,380' 7" 23#/26# 6,380' 5,456' 6,340/7,240 3,830/ 5,410 Production Liner 5,643' 3-1/2" 9,999' 8,707' 10,160 10,530 Perforation depth: Measured depth: 9,020' to 9778' True Vertical depth: 7746' to 8491' 1.750" Coil Tubing Hangoff 9,001' Tubing: (size, grade, and measured depth) 3.500" 9.3# L-80 5,643' Packers and SSSV (type and measured depth) Baker 7" ZXP Packer/Liner Hanger and 4" PBR @ 5643' and N/A 12. Stimulation or cement squeeze summary: Acid Stimulation Completed 12/29/2006 to 12/30/2006 Intervals treated (measured): Acid Stimulation of Beluga Perfs: 9020'-9030', 9050'-9060', 9115'-9127', 9515'-9522', 9526'-9544', 9547'-9555' Treatment descriptions including volumes used and final pressure: NH4CL Preflush @ 1 BPM, Switch to 50/50 7.5% HCL / Xylene, Unable to inject One Shot Acid, Switch to 4% HCL /1 % HF. Squeeze Mud Acid into Perforations @ 0.1 BPM to 3500 psi Quickly, unable to squeeze away mud acid, chase w/ water and bleed off pressure. Re-attempt to inject acid next day, unable to squeeze, bleed down pressure, RDMO 13. Representative Daily Average Production or Injection Data Oil-Bbl Gas-Mcf Water-Bbl Casing Pressure Tubing Pressure Prior to well operation: 0 300 0 0 1400 Subsequent to operation: 0 0 0 0 355 14. Attachments: 15. Well Class after work: Copies of Logs and Surveys Run No Logs/Surveys Run Exploratory 0 Development 0 Service 0 Daily Report of Well Operations Included 16. Well Status after work: Oil 0 Gas 0 WAG 0 GINJ DWINJ 0 WDSPL 0 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. I Sundry Number or N/A if C.O. Exempt: 305-352 Contact Kevin Skiba (907) 283-1371 Printed Name t Dennis M Donovan Jr Title Production Engineer I J ~~~ (907)-283-1333 W Signature /( Phone (907)-398-1362 C Date 14-Aug-07 - ""~--.-J -.- ~FI"M~ Rfl AUG 2 0 7007 Submit Original Only ~~ Form 10-404 Revised 04/2006 Legal Well Name: Common Well Name: Event Name: Contractor Name: Rig Name: Date I> From- To 12/15/2005 09:00 - 09:30 09:30 - 17:00 17:00 - 17:30 07:00 - 07:40 07:40 - 09:35 09:35 - 11 :05 11:05-12:15 12/16/2005 12:15 - 12:25 12:25 - 16:15 16:15 - 16:45 16:45 - 17:00 17:00 - 20:00 . . Marathon Oil Company Operations Summary Report BEAVER CREEK 3 BEAVER CREEK 3 ORIGINAL COMPLETION Hours Code Sub Phase I Code 0.50 I SAFETY MTG_ 7.50 RURD_ COIL 0.50 SECUR WELL 0.67 SAFETY MTG_ 1.92 RURD_ COIL 1.50 TEST_I BOPE 1.17 PULD ITBG 0.17 TEST I BOPE 3.83 RUNPUY COIL I I I 0.50 TEST ~ TBG 0.25 RUNPU COIL 3.00 RURD_ COIL I I Page 9 of 9 Start: Rig Release: Rig Number: Spud Date: 5/3/2003 End: 12/16/2005 Group: 5/23/2003 Description of Operations CMPRUN Safety meeting CMPRUN Spot and RU CTU. Ready to fill Ct and test CMPRUN Secure location for night. CMPRUN Safety meeting CMPRUN Start equipment and stab injector. CMPRUN Test lines, valves, and BOP 200 / 4500. Good test. CMPRUN Rig off well and PU velocity string BHA. WEG, nipple, 5' straight bar, 5' straight bar, welded connector. CMPRUN Shell test 200 / 4500 psi. CMPRUN RIH 1.75" velocity string. Close pipe rams and bleed lubricator. Cut v-string and MU hanger. Pump 2 bbls neat methanol down backside and hang off string. CMPRUN Lock down mandrel hanger and test to 5000 psi. Good test. CMPRUN Load Ct with 50/50 MeOH and release GS spear. CMPRUN Rig down and release CT. Printed: 8/14/2007 9:01 :28 AM Legal Well Name: Common Well Name: Event Name: Contractor Name: Rig Name: Dáte 12/30/2006 12/31/2006 . . Page 1 of 1 Marathon Oil Company Operations Summary Report BEAVER CREEK 3 BEAVER CREEK 3 MAINTENANCE/REPAIR I. . .1 >!$LlP FrQm-Tol'HQLlr~ CQØe'~()de , 07:30 - 08:30 i 08:30 - 12:00 12:00 - 12:20 12:20 - 13:40 13:40 - 14:55 14:55 -15:20 15:20 - 17:05 17:05 - 18:30 07:30 - 08:30 08:30 - 09:30 09:30 - 09:45 09:45 - 10:00 10:00 - 12:30 12:30 -13:20 13:20 - 15:45 15:45 - 18:45 18:45 - 19:10 19:10 - 20:30 20:30 - 22:30 1.00 i SAFETY MTG 3.501 RURD_ STIM- 0.331 TEST_ EQIP 1.33 PUMP_ACID 1.25 PUMP _ ACID 0.42 PUMP _ ACID 1.75 PUMP -I ACID I i 1.42 RURD_ STIM 1.00 SAFETY MTG_ 1.00 RURD_ STIM 0.25 TEST-I EQIP 0.25 PUMP _ WTR_ 2.50 PUMP_I N2_ 0.83 RUNPUY COIL 2.42 TEST i TBG -I - 3.00 : 0.42 1.33 2.00 RUNPUY COIL i i i i ! Pha~e .1 CMPSTM I Safety meeting CMPSTM I RU acid pump, N2 pump and acid tanks. CMPSTM I Test lines and valves to 6000 psi. Good test. CMPSTM . Start pumping NH4CI preflush at 1 BPM. CMPSTM i Switch to 50 / 50 7.5% HCI / Xylene. CMPSTM 'I Unable to inject One Shot acid. Switch to 4% HCI / 1% HF and circulate i into position at tailpipe. CMPSTM i Squeeze Mud acid into perfs at 0.05 BPM, 3500 psi. Rate increased to i 0.1 BPM at 3500 psi. Unable to squeeze away Mud acid. Chase with , water and release pressure. Secure well for night. Let acid soak on perforations. leave location Safety meeting RU equipment and cool down N2 pump. Test lines and valves to 6000 psi. Good test. Attempt to inject acid. No change (0.1 BPM at 3500 psi). Start pumping N2 down velocity string and taking returns from annulus. SD N2 to neutralize and dispose of acid in slop tank. Continue lifting acid from well. N2 pump broke down. Repair pump. Neutralize and remove acid from slop tank. Pump N2 with water at 0.5 BPM to rinse well. SD water and continue pumping N2. SD N2. Let well finish unloading. Neutralize and dispose of spent acid. Secure well and leave location. CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM CMPSTM Start: 1/2/2007 Rig Release: Rig Number: Spud Date: 5/3/2003 End: Group: Description of Operations Printed: 8/14/2007 9:03:45 AM 13-3/8" 61 ppf J-55 at 533' emt with 565 sx 3·112" 9.3 ppf L-80 wi cd tbg 9·5/8" 40 ppf J·55 BTC @ 1569" Cmt'd w/500 sks Cement DV tool at 2034' H anger and 4" Directional Data Abandoned Starling Perforations L-80 from 0-914' 7" 914-6380' Cmt'd w/660 sks Cement In 1 st stage. 335 sks In 2nd Beluga perfs 9,001' 9020'·9030'. 6 spf (2005) 22 9050'·9060', 6 spf (2005) 22 9115'-9127',6 spf(2005) 23 9515'-9522',3 spf (2003),6 spf (?005) 28a (J526'-9544', 3 spf (2003),6 spf (2005) 28b 9547'-9555'.3 spf(2003),6 spf (2005) 28c CIBP 9570' (4/26/05) 9588'-9595'. 3 spf (6/21/03) 28d 9768'-9778',3 spf (6/21/03) Cast Iron Bridge Plug @ 9670' Fill Tagged at9,599'KB WLM Cas! Iron Bridge Piug @ 9902' Cementing Shoe cooa Liner 3-1/2" 9.2 ppf Hydr;1 563 L-80 from 5643-9,999' Cmt'd wi lead of 349 12.7 PP9 and tall of 415 sks 15.7 PP9. FloatColJar @9,9ð4' Well Name .& Number: C . . Alaska Asset Team United States Production Operations Marathon Oil Company P.O. Box 3128 Houston, TX 77253 Telephone 713-296-3597 Fax 713-296-4469 RECEIVED January 24, 2007 JAN 2 5 2007 Alaska Oil & Gas Conservation Commission Attn: Howard Okland 333 W. 7th Avenue, Suite 100 Anchorage, AK 99501 ,Alaska Oil & Gas Cons. Commission FedEx Anchorage RE: Marathon Beaver Creek Unit 3RD (BCU-3RD) Well CONFIDENTIAL j )~ }..t\ Dear Mr. Okland: The following confidential digital well data are included on the enclosed CD. This CD replaces th~ previous one sent in December and includes the wireline log data you requested. - - BC-3RD As-Built Plat .................................................................................................. Digital Directional Survey . ............................................................. ...................... .....Digital EPOCH ReportlMud Log Data ...................................................................... Digital Halliburton Wireline Log Data (LAS and Scanned Tiffs) .............................Digital e:lEPOCH Mud Log data ! ~ï3ëu~3RD~DÑR~DÏR~SUR.dat ~ BCU-3RD _wireline.LAS ~Beaver Creek3RD MD LOG.tif "'Beaver Creek3RD TVD LOG.tif 'mBeaver Creek Pad 3 As-Built 9-8-05.pdf File Folder 742 KB DAT File 1,196 KB LAS File 13,833 KB TIF File 13,321 KB TIF File 460 KB Adobe Acrobat 7.0 Document Please indicate your receipt of this data by signing below and faxing to me at 713-296-4469 or sending to my attention at the above address. Thank you, iCANNED JAN 2 5 2007 Courtney McElmoyl Advanced Geoscience Technician ReceiVe4h¥:,,;¡LJ ðJL! Date: i\S-d~~b~7 Enclosures ~ D "3 - (!J~ y · Alas.set Team United States Production Operations Marathon Oil Company P.O. Box 3128 Houston, TX 77253 Telephone 713-296-3597 Fax 713-296-4469 December 14, 2006 Alaska Oil & Gas Conservation Commission Attn: Howard Okland 333 W. 7th Avenue, Suite 100 Anchorage,AJ( 99501 ~~ RE: Marathon Susan Dionne # 5 Well (SD-5) and Marathon Beaver Creek Unit 3RD (BCU-3RD) Well CONFIDENTIAL Dear Mr. Okland: The following confidential digital well data are enclosed for the above referenced wells. SD-5 As-Built Plat ... ............................................................................................... . Digital Daily Drilling Reports... .... ....... ........... ........................................................... . Digital Directional Survey......................................................................................... . Digital EPOCH ReportJMud Log Data.................................................................. .... . Digital Weatherford Wireline Log Data (See SD-5 _Log Summary. xIs on CD): MD Photo Density Dual Spaced Neutron ................................................Digital MD Compensated Sonic............... ........................ .......................... ...... ...Digital MD Array Induction Vector Processing ..................................................Digital MD Array Induction Focussed Electric ................................................... Digital Compact Formation Tester ..... .............................................................. ...Digital TVD Array Induction Focussed Electric ..................................................Digital One CD containing the above digital data BC-3RD As-Built Plat ................................................................................................. . Digital Daily Drilling Reports ...... ....... ............................. ....... .............. ............. ........Digital Directional Survey ........................................................................................ . Digital EPOCH Report/Mud Log Data ......................................................................Digital Halliburton Wireline Log Data (LAS and Scanned Tiffs) .............................Digital One CD containing the above digital data To download the PreView software, which allows access to all Weatherford Wireline data to view and plot logs (LAS, and DPK), follow the link below. http://www.weatherford.com/weatherford! groups/pub lic/ documents/evaluation! eds _ downloadpreviewsoftware.hcsp SD-5 and BCU-3RD Page 1 of 2 . . Please indicate your receipt of this data by signing below by faxing to me at 713-296-4469 or by sending to my attention at the above address. Thank you, Courtney McElmoyl Advanced Geoscience Technician Received bY~~ Date: (91Ilt! D(.; I I Enclosures ^ \¿ l)"" \- 3,) ~ e;»J Q. (' Gfe,0 P' .1L(~ f)03 - DLfLI / . ?~ØI-'~ :J u6Ovlt\- I _ "' o£6~ {)OW N'¡V~ I tl-{ g?tb SD-5 and BCU-3RD Page 2 of 2 I~ ~U'2 _~~6~'d- DATA SUBMITTAL COMPLIANCE REPORT 9/27/2006 Permit to Drill 2030440 Well Name/No. BEAVER CK UNIT 3RD Operator MARATHON OIL CO J"",d I~.'I ~ À. (j ~) API No. 50-133-20124-01-00 MD ,/ 10005 TVD 8713 / Completion Date 7/16/2003 r- Completion Status 1-GAS Current Status 1-GAS UIC N ~-~"._- REQUIRED INFORMATION Mud Log No Samples No Directional Survey Yes -~.- DATA INFORMATION Types Electric or Other Logs Run: Resistivity/GR, Den/Neu, Sonic Well Log Information: (data taken from Logs Portion of Master Well Data Maint Log/ Data Type I l Electr Digital Dataset Med/Frmt Number Name Log Log Run Scale Media No Interval OH / Start Stop CH . Received Comments ~"'--~---~~~ s.u.. ~t\ ...c...~..~ E MoJt _~==~__J Well Cores/Samples Information: Name Interval Start Stop 6373 10005 Sent Sample Set Received Number Comments 6/27/2003 1124--- -~-~ ,- L Cuttings .._~-~._~-~~- --"~~_.- _._----1 ADDITIONAL INFORMATION Well Cored? Y .C[) Chips Received? ~ v / N Daily History Received? ~ (VN Formation Tops Analysis Received? ~ . Comments: Compliance Reviewed By: ---~ ~----~-~-------_. 2';; ~~-- -_.~- Date: Beaver Creek #3rd . . Kaynell, TNX for the Beaver Creek 12 and 14 data. You should have received the faxes of the transmittals. Beaver Creek Unit 3RD ( 50 133 20124 01 ) We received no open hole data for this well. Please send the open hole bluelines, reproduce ables, logging digits, and a digital directional survey (MD, INC, AZI text or spreedsheet file please). We did receive drill cuttings back in June of 2003. TNX Howard ps Leaves are yellow and falling. Rainy, dreary, can snow be far behind. 1 of 1 9/27/2006 1 :07 PM . W~ . 044 . Marathon Oil Company Alaska Asset Team P.O. Box 1949 Kenai, AK 99611 Telephone 907/283-1326 Fax 907/283-1350 Marathon Oil Company September 27,2006 Mr. Winton Aubert Alaska Oil & Gas Conservation Commission 333 W ih Ave Anchorage, Alaska 99501 Reference: 10-403 Sundry 305-352 Field: Beaver Creek Field Well: BC-3rd Dear Mr. Aubert: We have run a 1-3/4" velocity string into BC_3rd as per sundry notice 305-352. Before the velocity string the well was producing 500 MCF/day. After running the velocity string we have been unable to sustain flow from the well. We propose to acidize the well with 4% HCI/1 % HF in an attempt to clean up the perfs and flow the well. We will submit the 10-404 after the acid job to report on the results. If you have any questions or need further information please call me at (907) 398-9954. Sincerely, Michael A. Mullin Senior Production Engineer Enclosures: Summary Procedure cc: . . Marathon Oil Company Alaska Region BC 3rd Beaver Creek Mud Acid Procedure History: Well BC 3rd was deepened to the Beluga in 2003 and flowed mud. The suspected zone contributing the mud is Lower Beluga 28d from 9588' - 9595'. In April 2005, wireline tagged fill about 30' below the LB-28d at 9614'. A Bridge plug was set above the LB 31 and LB 21- LB 28 were perforated. The well produced 500MCF/day with water loading problems. A velocity string was run to assist the well in unloading water. Since the velocity string was run the well has been unable to sustain flow. Objective: Acidize the existing perfs with 4% / I % mud acid and flow the welL Procedure: 1. Bullhead 1/3 strength mud acid down the velocity string. 2. Soak acid for 30 min. 3. Lift well by pumping N2 down the backside. ~¡.I@'IT~ @wlrúUlb . ffi) r? /;1j\\ r ~A \ r?ù n~. fR. · I ¡ Þ , ß \ II.' Ü\ ~~\ ! ~. I u \ . U LrJ lbwu@J:j\ iFu . AItASIiA. OIL AlOJ GAS CONSERVATION COMMISSION Michael A Mullin Production Engineer Marathon Oil Company P.O. Box 196168 Anchorage, AK 99519-6168 FRANK H. MURKOWSKI, GOVERNOR 333 W. 7'" AVENUE. SUITE 100 ANCHORAGE. ALASKA 99501-3539 PHONE (907) 279-1433 FAù< (907)276-7542 Re: BCU-3rd Sundry Number: 305-352 Dear Mr. Mullin: 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 Court unless rehearing has been requested. ------. Encl. c..-. , Abandon U Alter casing D Change approved program D 2. Operator Name: Marathon Oil Company 3. Address: 1. Type of Request: PO Box 196168, Anchorage, AK 99519-6168 7. KB Elevation (ft): 21' AGL 158' RKB MSL 8. Property Designation: A-028083 11. Total Depth MD (ft): 9999' Total Depth TVD (ft): 8707' Casing Structural Conductor Surface Intermediate Production Liner 5643' Length 565' 1569' 6380' \tREGf.!4VEØ NOV 1 4 Z005 éf!f }/~ 11'.105 - STATE OF ALASKA l)f S .1... / ALAS~IL AND GAS CONSERVATION COMMI N S APPLICATION FOR SUNDRY APPROVAL Ataska Oil & Gas Cons. Commission 20 MC 25.280 , Anfhoraat Operational shutdown U Perforate U Waiver U' Annufa"f Dispos. U Plug Perforations D Stimulate 0 Time Extension D Other [] Perforate New Pool D Re-enter Suspended Well D Velocity String /~ 4. Current Well Class: 5. Permit to Drill Number: Development [] / Exploratory D 203-044"/ Stratigraphic D Service D 6. API Number: Suspend U Repair well D Pull Tubing D 50-133-20124-01-00 / 9. Well Name and Number: BCU-3rd / 10. Field/Pools(s): Beaver Creek / Beluga Pool PRESENT WELL CONDITION SUMMARY I Effective Depth MD (ft): Effective Depth TVD (ft): 9778' 8491' Size MD / rvD Plugs (measured): Junk (measured): Burst Collapse 13-3/8" I 9-5/8" 533' 1569' 6380' 533' 1540' 5456' 7" Perforation Depth MD (ft): 9515' - 9778' Packers and SSSV Type: 13-1/2" Perforation Depth TVD (ft): 8233' - 8491' NIA /Tubing MD (ft): 5643' 19999' Tubing Size: 3-1/2" 18707' ITubing Grade: L-80 EUE Packers and SSSV MD (ft): / 5643' 12. Attachments: Description Summary of Proposal U Detailed Operations Program [] BOP Sketch D 14. Estimated Date for Commencing Operations: 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Printed Name Michael A. Mullin Title Production Engineer S;9ooture -~P~~~;¿/~ ?hooe (907) 398-9954 /' / /- COMMISSION USE ONLY 16. Verbal Approval: Commission Representative: 13. Well Class after proposed work: Exploratory D Development [] L~. ) 15. Well Status after proposed work: 11~05 Oil D Gas [] / Plugged WAG D GINJ D WINJ WDSPL Service D Abandoned D D D D Date: Mickey Mullin Date \B -Nov-05 Mechanical Integrity Test D SUndry Number: Có5 ... OS ~ Location Clearance D Conditions of approval: Notify Commission so that a representative may witness Plug Integrity D BOP Test D Other: Approved RBDMS 8Ft NOV 162005 COMMISSIONER APPROVED BY THE COMMISSION D,œ f~~ ORIGINAL ~ . . Alaska Region Domestic Production Marathon Oil Company P.O. Box 196168 Anchorage, AK 99519-6168 Telephone 907/283-1337 Fax 907/283-6175 November 1, 2005 Winton Aubert State of Alaska Alaska Oil & Gas Conservation Commission 333 West 7th Ave, Suite 100 Anchorage, AK 99501 RECEJ\IE NOV 1 4 2005 Muk' O~ & GasCta;jt~. ~. Reference: Application for Sundry Approval Field: Beaver Creek Field Well: Beaver Creek Unit BC-3rd Dear Mr. Aubert, Enclosed please find a Application for Sundry Approval, along with the associated attachments for the Beaver Creek Unit BC-3rd. ./ We will be running a 1.75" coiled tubing velocity string in BC #3. The well is currently making 500 MCF/day and we expect a significant increase when the well is unloaded. The work is planned for mid November. If you require further information, please contact me. Sincerely, . '~¡(~~¿(¿ ~ Ol/(J S Advanced Production Engineer Telephone: 907-398-9954 Email: MAMullin@MarathonOil.com Enclosures: Sundry Notice Wellbore schematic Operations Procedure , . . Marathon Oil Company Alaska Region BC 3rd Beaver Creek Velocity String Procedure DX.03.08492.CAP.CMP.02 History: Well BC 3rd was deepened to the Beluga in 2003 and flowed mud. The suspected zone contributing the mud was Lower Beluga 28d from 9588' - 9595'. In April 2005, wireline set a cast iron bridge plug above this interval at 9570' MD. Additional perforations were be added in LB 21, LB 22, and LB 23. Since this time the well has been flowing 300 - 500 MCF/day with frequent blowdowns to dump water. Objective: A 1.75" coiled tubing velocity string will be run to keep the well unloaded. Post job ......- rate is estimated at 900 MCF/day. Outline Procedure: 1. Install coiled tubing spool and piping. 2. RU BJ coiled tubing 3. Run 1-3/4" coiled tubing velocity string and hang off at 9000' MD. 4. RD BJ 5. Unload and test well. Detailed program: Install Coiled Tubing head and flowline / tree modifications: 1. RU Vetco. 2. Set BPV. 3. Close upper master 4. Remove tree and flow spools BC-3 Velocity String Program Rev. 1 11/8/2005 " . . 5. Install CT hanger spool (Tubing Head) 6. RU Tree 7. PT Tree to 5,000 psi. 8. Pull BPV Run Velocity String: (After surface modifications) 9. NOTE: Well remains flowing during coiled tubing work. 10. RU BJ CT services. / a. MU BOP and injector to tree. b. MU V String BHA (WEO, KEP nipple, Straight Bar, Weld on connector). c. RIH with CT velocity string to 9000' hang off depth.. d. Set slip/pipe combination rams, perform pulVpush test, lock rams closed. Bleed off any pressure and break lubricator. e. Cut off dimple on connector and cut 200' off velocity string. f. Install ABB Vetco CT hanger with seal ring. g. Install OS pulling tool to CT with double flappers to 1.75 work string. h. Latch hanger and walk injector head down to MU lubricator. . 1. Land mandrel hanger in CT hanger with 2000 Ibs set down weight. J. Confirm placement by pressure testing void in hanger, install lock screws to confirm integrity. Perform pull test and pump through OS pulling tool at 2 bpm to release. k. POOH with OS pulling tool. 1. RDMO BJ CT. / 11. RU Pollard wire line service with .125 wire and I" tool string. a. Hold Pre-job safety and environmental awareness meeting. b. MU lubricator with BOPE to tree and test to 200/3500. c. MU line from CT / Tbg annulus to V string and equalize surface pressures. d. RIH with 1" tool string and retrieve 1.188 KEP prong in CT nipple. e. RIH with 1" tool string and retrieve 1.188 KEP plug in CT nipple. f. POOH. g. RDMO pollard wire line. 12. Close well and build 700 psi on velocity string. BC-3 Velocity String Program Rev. 1 11/8/2005 , . . 13. Close velocity string and flow well through tubing (annulus) to tank and blowout plug in CT. Shut in well. 14. Flow well through velocity string. Minimum flowing pressure is 350 psi (line pressure) on V-string. Test well. Record CT / Tbg annulus pressures during test. 15. Please call Mickey Mullin at 398-9954 or 283-1337 with any questions. Contacts: Work Phone Cel Mickey Mullin 283-1337 398-9954 BC-3 Velocity String Program Rev. 1 11/8/2005 " PROPOSED Beaver Creek Field Beaver Creek #3 Velocity String Cast Iron Bridge Plug @ 9570' 1/4" 00 0,049" wall Chemical injection string tied into mandrel at 1508' w/cheek valve 13-3/8" 61 ppf J-55 at 533' emt with 565 sx 1-3/4" Coiled Tubing Velocity String 9-5/8" 40 ppf J-55 BTC @ 1569' Cmt'd w/500 sks Cement DV tool at 2034' Top of Baker 7" ZXP Packer/Liner Hanger and 4" PBR @ 5643' Directional Data Abandoned Sterling Perforations 7" 23 ppf L-80 from 0-914' 7" 26 ppf N-80 from 914-6380' Cmt'd w/650 sks Cement in 1st stage, 335 sks in 2nd PROPOSED 1-3/4" Coiled Tubing Entry Guide 9,000' 9020'-9030', 6 spf (2005) 22 9050'-9060', 6 spf (2005) 22 9115'-9127', 6 spf (2005) 23 "'"9515'-9522',3 spf (2003),6 spf (2005) 28a 9526'-9544', 3 spf (2003),6 spf (2005) 28b 9547'-9555', 3 spf (2003),6 spf (2005) 28e CIBP 9570' (4/26/05) 9588'-9595', 3 spf (6/21/03) 28d 9768'-9778',3 spf (6/21/03) Fili Tagged at 9,599'KB WLM Cast Iron Bridge Plug @ 9902' Float Collar@g,964' Liner 3-1/2" 9,2 ppf HydrO 563 L-80 from 5643-9,999' Cmt'd w/ lead of 349 sks @ 12.7 ppg and tail of 415 sks @ 15,7 ppg, TO 10,005, TVO 8709' ¡Well Name & Number: County or Parish: Perforations (MD) Angle/Perfs I BHP: Date Revised: Date Revised: BC 3rd l Lease: State/Prov, I Country: (TVD) I 7~2~;::~e R:V:~ ::~ DI ePthcomPletìl~:~I~~~~n I 11/1/2005 Revised by: Mickey Mullin e e Alaska Region Domestic Production Marathon Oil Company P.O. Box 196168 Anchorage, AK 99519-6168 Telephone 907/283-1337 Fax 907/283-6175 June 6, 2005 j.,1J3 ...(jlf Lf Winton Aubert State of Alaska Alaska Oil & Gas Conservation Commission 333 West 7th Ave, Suite 100 Anchorage, AK 99501 Z005 Reference: Sundry Notice (305-091) Field: Beaver Creek Field Well: Beaver Creek Unit BC-3rd Dear Mr. Aubert, Enclosed please find the Sundry Notice (10-404), and associated attachments. Beaver Creek 3 was plugged back above the Lower Beluga 28d interval to stop sand and coal production and the Lower Beluga 22 and 23 sands were perforated. The well was put on production on June 1 st at 300 MCF/day with no water. We will be bailing water off bottom and trying to clean up the well to increase production. Should you require further information, I can be reached at 907-398-9954 or bye-mail at MMullin@MarathonOil.com. Sincerely, ~~~ Advanced Production Engineer Telephone: 907-398-9954 Email: MMullin@MarathonOil.com a STATE OF ALASKA a ALA~ OIL AND GAS CONSERVATION COM~ION REPORT OF SUNDRY WELL OPERATIONS 3. Address: PO Box 196168, Anchorage, AK 99519-6168 Plug Perforations L::J Perforate New Pool 0 Perforate 0 4. Current Well Class: Development 0 Stratigraphic 0 Stimulate U Waiver D Time Extension Re-enter Suspended Well 0 5. Permit to Drill Number: 203-044 6. API Number: 50-133-20124-00-01 9. Well Name and Number: BCU-3rd 10. Field/Pool(s): Beaver Creek I Beluga 1. Operations Abandon U Repair Well U Performed: Alter Casing 0 Pull Tubing 0 Change Approved Program 0 Opera!. Shutdown 0 2. Operator Marathon Oil Company Name: Exploratory 0 Service 0 7. KB Elevation (ft): 21' AGL 158' RKB MSL 8. Property Designation: 11. Present Well Condition Summary: Total Depth measured 9999 feet true vertical 8707 feet Effective Depth measured 9778 feet true vertical 8491 feet Casing Length Size MD Structural Conductor 565 3-3/8 533 Surface 1569 9-5/8 1569 Intermediate 6380 7 6380 Production Liner 5643 3-1/2 9999 Plugs (measured) 9570 Junk (measured) TVD Burst Collapse 533 1540 5456 8707 Perforation depth: Measured depth: 9020' - 9555' True Vertical depth: 7746' - 8272' Tubing: (size, grade, and measured depth) 3-1/2" , L-80, 5643' Packers and SSSV (type and measured depth) 5643' 12. Stimulation or cement squeeze summary: Intervals treated (measured): RBDMS BFL JUN 1 0 2Uœ Treatment descriptions including volumes used and final pressure: 13. Oil-Bbl Representative Daily Average Production or Injection Data Gas-Mcf Water-Bbl Casing Pressure o o Tubing Pressure 2850 1400 Prior to well operation: 0 Subsequent to operation: 0 14. Attachments: Wellbore Diagram Daily Report of Well Operations o 0 300 MCF/day 0 15. Well Class after proposed work: Exploratory 0 Development 0 16. Well Status after proposed work: ouD Gas 0 WAG D 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Service D Contact GINJ D WINJ D WDSPL D ¡Sundry Number or N/A if C.O. Exempt: 305-091 Printed Name Michael A. Mullin Title Advanced Production Engineer s~natuo/~æ-/~ Form 10-404 Revised 04/2004 Phone (907) 398-9954 Date 6-Jun-05 l1R \ (J\ NAL Submit Original Only ~ " - 1/4" 00 0,049" wall Chemical injection string tied into mandrel at 1508' w/theck valve 3-1/2" 9,3 ppf L-80 wi Mod 8 rd tbg Directional Data Cast Iron Bridge Plug @ 9570' Fill Tagged at 9,599'KB WLM Float COllar@9,964' Cementing Shoe OOQO ¡well Nam e & Number: County or Parish: Perforations (MD) ÄI1gl$lPèl'fs I !BHP: Date Revised: Date Revised: Beaver Creek Field Beaver Creek #3 Final Schematic 13-3/8" 61 ppf J-55 at 533' cmt with 565 sx 9·518" 40 ppf J-55 8TC @ 1569' Cmt'd w/500 sks Cement DV tool at 2034' as Lift Mandrel (ã) 5,585' Top of Baker 7" ZXP PackerlLiner Hanger and 4" PBR @ 5643' Abandoned Sterling Perforations 7" 23 ppf L-80 from 0-914' 7" 26 ppf N-80 from 914-6380' Cmt'd w1650 sks Cement in 1 sl stage, 335 sks in 2nd Beluga Perfs 9020'-9030', 6 spf (2005) 22 9050'-9060', 6 spf (2005) 22 9115'-9127', 6 spf (2005) 23 9515'-9522',3 spf (2003),6 spf (2005) 28a 9526'-9544',3 spf (2003),6 spf (2005) 28b 9547'-9555'.3 spf (2003),6 spf (2005) 28c CI8P 9570' (4/26/05) 9588'-9595',3 spf (6/21/03) 28d 9768'-9778',3 spf (6/21/03) - Cast Iron Bridge Plug @ 9902' Liner 3-1/2" 9,2 ppf Hydril 563 L·80Jrom 5643-9,999' Cmt'd wi lead of 349 sks @ 12,7 ppg and tail of 415 sks @ 15,7 ppg, TD 10,005, TVD 8709' BC3rd I Lease: State/Provo I Country: (TVD) ¡ Completion Fluid: IDon Eynon Mickey Mullin BH' ': I I 7/25/20031Revised by: 513112005 Revised by: 2005 Completion Operations for Marathon Beaver Creek 3RD e e I'm sending the attached Excel file on behalf of Michael Mullin. Please let me know if the file doesn't make it through the e-mail filters. «MaC BC 3RD 2005 Completion Work. xis» tBess jlnne Corwitfi Landmark On-Site Consultant Halliburton Digital and Consulting Solutions Marathon Phone 907-565-3034 Cell Phone: 907-317-1332 BC 3RD 2005 Completion Content-Type: Content-Encoding: .. MOC BC 3RD 2005 Content-DeSCriptIon: C 1 t· W k 1 omp e IOn or.x s application/vnd.ms-excel base64 I of I 6/10/2005 8:47 AM e e 2005 Completion Work on BEAVER CREEK 3RD Report Rept # From To Hours Phase Activity Sub Status .---.~~!~-------_____..________________.______________._____._______.___________._______._.____~~~yJ~_____.________ 27-Apr-05 22 08:00 08:30 0.50 WRLN SAFETY SMTG AF 27-Apr-05 22 08:30 08:45 0.25 WRLN SAFETY SMTG AF 27-Apr-05 22 08:45 09:55 1.17 WRLN RURD - ELEC AF 27-Apr-05 22 09:55 12:50 2.92 WRLN RUNPUL ELEC AF 27-Apr-05 22 12:50 13:25 0.58 WRLN PULD_ PKR - AF 27 -Apr-05 22 13:25 15:12 1.78 WRLN RUNPUL ELEC AF 27-Apr-05 22 15:12 16:25 1.22 WRLN RUNPUL ELEC AF 27-Apr-05 22 16:25 17:15 0.83 WRLN RURD - ELEC AF 03-May-05 23 07:00 07:35 0.58 WRLN SAFETY SMTG AF 03-May-05 23 07:35 09:10 1.58 WRLN RURD - SLlK AF 03-May-05 23 09:10 10:10 1.00 WRLN RUNPUL SLlK AF 03-May-05 23 10:10 11 :00 0.83 WRLN RURD_ SLlK AF 18-May-05 24 11 :10 11:35 0.42 CMPPRF SAFETY SMTG AF 18-May-05 24 11:35 12:45 1.17 CMPPRF RURD - ELEC AF 18-May-05 24 12:45 13:15 0.50 CMPPRF RURD ELEC AF - 18-May-05 24 13:15 13:45 0.50 CMPPRF RURD - ELEC AF 18-May-05 24 13:45 15:15 1.50 CMPPRF RUNPUL ELEC AF 18-May-05 24 15:15 16:05 0.83 CMPPRF RUNPUL ELEC AF 18-May-05 24 16:05 17:15 1.17 CMPPRF PERF _ CSG - AF 18-May-05 24 17:15 18:15 1.00 CMPPRF 0 OAF 19-May-05 25 07:35 08:00 0.42 CMPPRF SAFETY SMTG AF 19-May-05 25 08:00 15:10 7.17 CMPPRF RURD - COIL AF 19-May-05 25 15:10 17:10 2.00 CMPPRF RURD COIL AF - 19-May-05 25 17:10 17:40 0.50 CMPPRF TEST - BOPE AF 19-May-05 25 17:40 18:30 0.83 CMPPRF RURD - COIL AF 20-May-05 26 07:00 07:30 0.50 CMPPRF SAFETY SMTG AF 20-May-05 26 07:30 10:00 2.50 CMPPRF RURD_ COIL AF 20-May-05 26 10:00 13:52 3.87 CMPPRF RUNPUL ·COIL AF 20-May-05 26 13:52 15:45 1.88 CMPPRF RUNPUL COIL AF 20-May-05 26 15:30 15:45 0.25 CMPPRF RUNPUL COIL AF 20-May-05 26 15:45 16:11 0.43 CMPPRF RUNPUL COIL AF 20-May-05 26 16:11 17:17 1.10 CMPPRF RUNPUL COIL AF 20-May-05 26 17:17 17:45 0.47 CMPPRF RUNPUL COIL AF 20-May-05 26 17:45 18:20 0.58 CMPPRF RUNPUL COIL AF 20-May-05 26 18:20 19:45 1.42 CMPPRF RURD - COIL AF 21-May-05 27 07:30 08:00 0.50 CMPPRF SAFETY SMTG AF e e 21-May-05 27 08:00 09:30 1.50 CMPPRF RURD_ ELEC AF 21-May-05 27 09:30 10:00 0.50 CMPPRF RURD_ ELEC AF 21-May-05 27 10:00 11:20 1.33 CMPPRF RUNPUL ELEC AF 21-May-05 27 11:20 12:23 1.05 CMPPRF RUNPUL ELEC AF 21-May-05 27 12:23 14:20 1.95 CMPPRF PERF _ CSG - AF 21-May-05 27 14:20 16:40 2.33 CMPPRF PERF _ CSG - 0 21-May-05 27 16:40 17:00 0.33 CMPPRF PERF _ CSG - 0 21-May-05 27 17:00 18:45 1.75 CMPPRF PERF _ CSG - 0 21-May-05 27 18:45 20:00 1.25 CMPPRF RURD_ ELEC AF 24-May-05 28 07:00 07:30 0.50 CMPPRF SAFETY SMTG AF 24-May-05 28 07:30 08:50 1.33 CMPPRF RURD_ COIL AF 24-May-05 28 08:50 09:45 0.92 CMPPRF RUNPUL COIL AF 24-May-05 28 09:45 10:57 1.20 CMPPRF RUNPUL COIL AF 24-May-05 28 10:57 12:05 1.13 CMPPRF RUNPUL COIL 0 24-May-05 28 12:05 13:18 1.22 CMPPRF RUNPUL COIL AF 24-May-05 28 13:18 13:24 0.10 CMPPRF RUNPUL COIL 0 24-May-05 28 13:24 14:30 1.10 CMPPRF RURD - COIL AF 24-May-05 28 14:30 15:10 0.67 CMPPRF 0 OAF 25-May-05 29 07:05 07:30 0.42 CMPPRF SAFETY SMTG AF 25-May-05 29 07:30 09:05 1.58 CMPPRF RURD_ COIL AF 25-May-05 29 09:05 10:30 1.42 CMPPRF RUNPUL COIL AF 25-May-05 29 10:30 13:40 3.17 CMPPRF RUNPUL COIL AF 25-May-05 29 13:40 13:58 0.30 CMPPRF RUNPUL COIL 0 25-May-05 29 13:58 14:47 0.82 CMPPRF RUNPUL COIL AF 25-May-05 29 14:47 15:40 0.88 CMPPRF RUNPUL COIL 0 25-May-05 29 15:40 17:01 1.35 CMPPRF RUNPUL COIL 0 25-May-05 29 17:01 18:01 1.00 CMPPRF 0 0 0 25-May-05 29 18:01 20:00 1.98 CMPPRF RURD_ COIL AF 03-Jun-05 30 10:00 10:35 0.58 WRLN SAFETY SMTG AF 03-Jun-05 30 10:35 12:00 1.42 WRLN RURD - ELEC AF 03-Jun-05 30 12:00 14:00 2.00 WRLN RUNPUL ELEC AF 03-Jun-05 30 14:00 17:15 3.25 WRLN RUNPUL ELEC AF e e 03-Jun-05 30 17:15 18:30 1.25 WRLN RURD_ ELEC AF e e Operations ~-_._----------_._----------------------------------_.------------------.-.-- Held prejob safety and operations meeting. Held PJSM with welders and electrictions at the well. RU Expro. PU 2.80" gauge ring. SITHP = 2000 psi. Drifted well to 9595' with 2.80" drift. Well is sticky. Picked up 3-1/2" CIBP (2.75" OD). Armed setting tool. RIH CIBP and tie in to CBl (Mar 31, 03) Set CIBP at 9570' CCl and log off. POH e-line. OOH. RD eline and leave location. Held prejob safety and operations meeting. Spot and RU Pollard slickline. THP = 250 psi. Tagged fluid at 4250' and TD at 9545'. POH. Cancel setting GlV. RD and move to Su 32-9 for static survey Held prejob safety and operations meeting. RU Expro e-line. Bled THP from 1100 psi to 500 psi. (Before blowing down well in early May, THP was 2000 with fluid at 4500'. 1 week after blowing down well THP was 500 with fluid at 4250') Have safety meeting, clear pad, and arm gun #1. Repair leak in lubricator comnnection and rig up again. RIH 40' 2-3/8" scallop gun, 4 SPF, 60 Deg phasing, 17g NTX charges. Tie into short joint and position gun to perforate 9515 - 9522, 9526 - 9544, and 9547 - 9555. Adjust THP from 550 psi to 500 psi. Shoot lB-28 A, B, and C and log off. POH Eline Rig down Expro and leave location. Held prejob safety and operations meeting. RU coiled tubing. pumps, N2 for jet job. Fill and Pig CT. PT BOP 200 14000. Good test. Rig back for night Held prejob safety and operations meeting. RU Bj and PT stripper to 4000 psi. THP = 600 psi. Bleed THP to O. RIH CT. Start N2 at 500 SCF/min at 1500'. Water to surface after 11 min. Jet well down to TD at 9562' CTMD. Unloaded 55 Bbls water. SD N2 and observe well for 2 hours. Cool down N2 unit. CTP = 450 psi, THP = 0 Start N2 at 500 scf/min. POH CT while jetting N2. No water returns. CTP = 700 psi (friction) Close returns and start pressureing well. OOH finish pressuring well to 2900 psi. Rig coil back for perforating. Off location Held prejob safety and operations meeting. e e RU Expro e-line. THP was 2900 psi N2. Down to 2700 overnight.Bled THP from 2700 psi to 2000 psi. Have safety meeting, clear pad, and arm gun #1. RIH 12' 2-3/8" scallop gun, 4 SPF, 60 Deg phasing, 17g NTX charges. Tie into short joint and position gun to perforate 9115 - 9127. Adjust THP to 1000 psi. Shoot LB-23 interval and Log off. RIH 10' gun #2 (same as #1). Correlate and gun misfired. POH. RIH gun #2 again to shoot 9050 - 9060. Perf LB-22 (lower) and log off. THP 1040 at 1500 RIH gun #3,10' to shoot 9020' - 9030'. THO at 1700 = 1400 psi. Bleed to 1000 to shoot. Shoot interval #3 (LB-22 upper, 9020 - 9030) and log off. THP 1000 psi at 1800, 1200 at 1840. POH Rig down Expro and leave location. Held prejob safety and operations meeting. RU Bj and PT stripper to 1000 psi. THP = 1850 psi. Bleed THP to 1300. RIH CT. Start N2 at 350 SCF/min at 5000'. Water to surface after 10 min.. TAG AT 9567. Increase N2 to 500 and observe well. 5.3 bbls returned Jet water out. 15.6 bbls returned POH CT while jetting N2. Continue flowing water to tank. OOH CT. 21 Bbls water returned. THP = 60 psi. SI well and rig back CT. Rig coil back for night and observe well. SITHP = 1360 (plus 1300 psi in 105 minutes. Held prejob safety and operations meeting. RU Bj and PT stripper to 1000 psi. THP = 2460 psi. Bleed THP to O. RIH CT. Start N2 at 350 SCF/min at 5000'. THP = 45 psi, no water. Burst hydraulic hose. Spilled 13 gal in secondary containment, 2 gal in tertiary containment and less than 1 pint on ground. CTD = 6500' Cool down N2 unit. Start N2 at 350 and RIH CT. Tag TD at 9542'. PU to 9500' CTP = 700 psi. THP = 230 psi. POH CT while pumping N2. 3.5 bbls water returned OOH CT. 7.5 Bbls water returned. THP = 50 psi. SI well and rig down CT. SITHP = 960 psi Release CT. Held prejob safety and operations meeting. RU Expro for TD tag and fluid level. FWHP = 530, Rate = 220 MCF/day Run 2.82" drift and tag TD at 9534' ( mid LB-28b). SITHP = 1300 Run PIT tools. Diesel at 7300' and water at 7370'. SIWHP at 1610 = 1600 psi. e e RD Expro. Open well to gas buster and flow a small amount of water. Return well to system at about 290 MCF/day. . ,.1 r.' ri\..~.·. i .... ' !\ \/\\, Ir 1-' \ L lllJ {f;\ lllJ . c203-ocN / I FRANK H. MURKOWSKI, GOVERNOR I j AI~SIiA OIL AlWD GAS CONSERVATION COltDlISSION ì ./ I ¡ ! ! 333 W. 7'" AVENUE, SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 Michael Mullin Production Engineer Marathon Oil Company P.O. Box 196168 Anchorage, Alaska 99519-6168 Re: Beaver Creek BCU-3rd Sundry Number: 305-091 Dear Mr. Mullin: 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 y following the date of this letter, or the next working day if the 23rd day falls on 01 day or weekend. A person may not appeal a Commission decision to Superior 0 unless rehearing has been requested. DATED thiS¢day of April, 2005 Enc!. . , ,¡' 'M" ') Marathon I ,MARATHON Oil Company . Alaska Region Domestic Production P.O. Box 196168 Anchorage, AK 99519-6168 Telephone 907/283·1337 Fax 907/283-6175 April 12, 2005 Winton Aubert State of Alaska Alaska Oil & Gas Conservation Commission 333 West 7th Ave, Suite 100 Anchorage, AK 99501 RECEIVE:D APR 1 4: 2005 Alaska Oil & Gas Cons. Commission Anchorage Reference: Application for Sundry Approval Field: Beaver Creek Field Well: Beaver Creek Unit BC-3rd Dear Mr. Aubert, Enclosed please find a Application for Sundry Approval, along with the associated attachments for the Beaver Creek Unit BC-3rd. We will be setting a plug above the bottom 2 intervals to eliminate solids production and bring the well on to production. If the well does not produce at an economic rate we will perforate additional intervals as per the attached program. We intend to set the plug on Tuesday April 26th if it is possible to have approval by then. If you require further information, please contact me. Sincerely, Michael Mullin Advanced Production Engineer Telephone: 907-398-9954 Email: MAMullin(ÇD.MarathonOil.com o \ AL M1--I4--oÇ \M01r~t:tEfVE· D . ST ATE OF ALASKA Jil:i 4/1 ¢: I." " · AL OIL AND GAS CONSERVATION COM"ION . -/..5' APR 14 Z005 APPLICATION FOR SUNDRY APPROVAL . 20 MC 25.280 Alaska 011 & Gas COliS. CommÎssirm Abandon U Suspend U Operational shutdown U Perforate ~ Waiver ~C~ Dispos. U Alter casing D Repair well D Plug Perforations [] Stimulate 0 Time Extension D Other D Change approved program D Pull Tubing D Perforate New Pool D Re-enter Suspended Well D 2. Operator Name: 4. Current Well Class: 5. Permit to Drill Number: Marathon Oil Company Development 0 Exploratory D 203-044 3. Address: Stratigraphic D Service D 6. API Number: of -00 I. ...,,:.L 50-133-20124-<*M:!1- /'V''''/''f ,f 1. Type of Request: PO Box 196168, Anchorage, AK 99519-6168 7. KB Elevation (ft): 21' AGL 158' RKB MSL 8. Property Designation: A-028083 11. Total Depth MD (ft): 9999' Total Depth TVD (ft): 8707' Length Casing Structural Conductor Surface Intermediate Production Liner 5643' 565' 1569' 6380' 9. Well Name and Number: BCU-3rd 10. Field/Pools(s): Beaver Creek / Beluga Pool PRESENT WELL CONDITION SUMMARY Effective Depth MD (ft): Effective Depth TVD (ft): Plugs (measured): 9778' 8491' Junk (measured): Size Collapse MD rvD Burst 13-3/8" I 9-5/8" 533' 1569' 6380' 533' 1540' 5456' 7" Perforation Depth MD (ft): 9515' - 9778' Packers and SSSV Type: 13-1/2" Perforation Depth TVD (ft): 8233' - 8491' N/A Tubing MD (ft): 5643' 19999' Tubing Size: 3-1/2" 18707' Tubing Grade: L-80 EUE Packers and SSSV MD (ft): 5643' 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 Mickey Mullin Printed Name Michael A. Mullin Title Production Engineer Signature ~fr7/~~- 13. Well Class after proposed work: Exploratory D Development 0 15. Well Status after proposed work: 4/13/2005 Oil D Gas [] Plugged D WAG D GINJ D WINJ D Abandoned WDSPL D D Service D Date: Phone (907) 398-9954 Date COMMISSION USE ONLY 11-Apr-05 Conditions of approval: Notify Commission so that a representative may witness Sundry Number: 3o.Ç.D9/ Plug Integrity D BOP Test D Other: 404 ~ Mechanical Integrity Test D Location Clearance D OR\G\\\lAL, ~:::~V;~':;'ON ". Dat~ ~1f. ~ R8M15 ~ ~ I 11) ít>~~;'-!o":œte COMMISSIONER , . . Marathon Oil Company Alaska Region BC 3rd Beaver Creek Plugback and Perforating Procedure DX.03.08492.CAP .CMP .02 History: Well BC 3rd was deepened to the Beluga in 2003 and flowed mud. The suspected zone contributing the mud is Lower Beluga 28d from 9588' - 9595'. In April 2005, wireline tagged fill about 30' below the LB-28d at 9614'. Objective: A E-line set cast iron bridge plug will be set to plug off Lower Beluga 28d, and LB- 31 (LB-31 is currently buried below fill). Plug setting depth will be 9570' MD. After setting the plug the well will be flowed. Depending on test results, LB-28 will be reperforated and additional perforations will be added in LB 21, LB 22, and LB 23. Procedure 1. MIRU Expro eline unit and pressure test lubricator to 3000 psi. 2. Pick up 2.80" drift and drift well to TD ( about 9600' MD). 3. PU 3-112" cast iron bridge plug. 4. RIH and set bridge plug at 9570' ELMD. 5. RDMO Expro. 6. Flow well to tank to clean up. If flowing, open to production and test. Ifunable to flow, 7. RU BJ CTU and N2 lift well. If flowing, open to production and test. 8. If still unable to flow, RU Expro and reshoot: LB-28c LB-28b LB-28a 9547'-9555' 9526'-9544' 9515'-9522' 9. N2 lift well to tank. If flowing, open to production and test. 10. If unable to flow: RU Expro and shoot: LB-23 9115'-9127' LB-22 9050'-9060' and 9015'-9025' LB-2l 8973'-8981' 11. RDMO Expro. 12. N2 lift well to gas buster / tank until well is capable of sustaining flow. 13. RDMO CTU. 14. Open well to sales and test. f .. 1/4" OD 0,049" wall Chemical injection string tied into mandrel at 1508' w/check valve Directional Data Fill Tagged at 9,599'KB WLM Float Collar @9,964' ¡Well Name & Number: County or Parish: Perforations (MD) BHP: I Date Revised: Cementing Shoe a QOG Beaver Creek Field Beaver Creek #3 Final Schematic 13-3/8" 61 ppf J-55 at 533' cmt with 565 sx 9-5/8" 40 ppf J-55 BTC @ 1569' Cmt'd w/500 sks Cement DV tool at 2034' as Lift Mandrel @ 5,585' Top of Baker 7" ZXP Packer/Liner Hanger and 4" PBR @ 5643' Abandoned Sterling Perforations 7" 23 ppf L-80 from 0"914' 7" 26 ppf N-80 from 914-6380' Cmt'd w/650 sks Cement in 15t stage, 335 sks in 2nd Beluga Perfs 9515'-9522',3 spf (6/21/03) 28a 9526'-9544',3 spf (6/21/03) 28b 9547'-9555',3 i>Pf (6/21/03) 28c 9588'-9595', 3 Spf (6/21/03) 28d 9768'-9778', 3 spf (6/21/03) Cast Iron Bridge Plug @ 9902' Liner 3-1/2" 9.2 ppf Hydril 563 L-80 from 5643-9,999' Cmt'd w/ lead of 349 sks @ 12,7 ppg and tail of 415 sks @ 15,7 ppg, TO 10,005, TVD 8709' BC 3rd I Lease: State/Prov, Country: (TVD) Angl'i' @KG? and Depth BHT: I I Completion Fluid: 7/25/2003 Revised by: Don Eynon Alaska Region • Domestic Production 1%( ) Marathon P.O. Box 196168 Anchorage,AK 99519-6168 ARATHOOil Company Telephone 907/561-5311 Fax 907/564-6489 December 13, 2003 Winton Aubert Alaska Oil & Gas Conservation Commission 333 West 7th Ave, Suite 100 Anchorage, AK 99501 Reference: Completion Report 10-407 for permit X00• 2_03_0141-1 Field: Beaver Creek Field Well: Beaver Creek Unit BC-3 Dear Mr. Aubert Enclosed please find the Well Completion or Recompletion Report with associated attachments. Beaver Creek 3 has been abandoned in the Sterling intervals. Marathon has deepened the well to the lower Beluga and isolated all Sterling perforations behind a 4- u•mss 3.5" liner. Should you require further information, I can be reached at 907-564-6318 or by e-mail at DEEynon@MarathonOil.com. Sincerely, / c:77 z/l-1 Donald Eynon Operations Engineer Enclosures: Completion Report RECEIVED Directional Survey Operations Summary DEC 1 5 2003 Wellbore Diagram Alaska Oil &Gas Cons.Commission Anchorage 123a, `k' 0 2003 nnl (" INI .AI STATE OF ALASKA ALASKA CIIL AND GAS CONSERVATION COMMISS,__. WELL COMPLETION OR RECOMPLETION REPORT AND LOG 1a Well Status 0110 Gas""PluggednAbandoned n"2 Suspended ❑ WAGE 1b. Well Class 20AAC 25 105 20AAC 25 110 Developmen X Exploratory n GINJ 0 WINJn WDSPLf No.of Completions 1 Other Service Stratigraphic Test ❑ 2 Operator 5 Date Comp,Susp, Permit to Drill Number Name: Marathon Oil Company orAband ....94-1 8C Zo, _QLI L 19-May-03 3 Address. 6 Date Spudded API Number PO Box 196168,Anchorage Alaska,99519-6168 26-Jul-68 ? 50-133-20124-00-00 4a Location of Well(Governmental Section): 7 Date TD Reached 14 Well Name and Number 13-May-03 Beaver Creek 3 (-2-ii Surface 1,227'FNL,1,501'FWL,Section 34,T7N,R1OW,S M 8 KB Elevation(ft) 15 Field/Pool(s) 179'RKB-Glacier#1,158'GL Top of Productive 9 Plug Back Depth(MD+ Beaver Creek/Sterling ' Horizon 1,638 8'FSL,879 0'FEL,Section 27,T7N,R1OW,S.M TVD) 9,902 MD,8,613 TVD ' Total Depth 1,879 3'FSL,638.8'FEL,Section 27,T7N,R1OW,S M 4b. Location of Well(State Base Plane Coordinates) 10 Total Depth(MD+TVD) 16 Property Designation 10,005'MD,8,713'TVD A-028083 Surface' x- 317,318 08' y- 2,433,959 65' Zone- 4 11 Depth where SSSV Set 17.Land Use Permit TPI x- 320,262 16' y- 2,436,780 20' Zone- 4 feet MD 19 Water Depth,if Offshore 20. Thickness of Permafrost Total Depth x- 320,505.99' y- 2,437,016 90' Zone- 4 N/A feet MSL N/A 18 Directional Survey. Yes X❑ Non 21 Logs Run (Resistivity/GR,Den/Neu,Sonic) 22 CASING,LINER AND CEMENTING RECORD CASING WT PER AMOUNT � GRADE SETTING DEPTH MD SETTING DEPTH TVD HOLE SIZE CEMENTING RECORD SIZE FT TOP BOTTOM TOP BOTTOM PULLED 1 13 3/8" 61 J-55 Surface 565' Surface 565' 17-1/2" 565 In Place 9 5/8" 40 J-55 Surface 1,569' Surface 1,540' 12-1/4" 500 In Place 7" 23-26 N-80 Surface 6,380' • Surface 5,456' 8-5/8" 985 In Place 3 1/2" 9.2 L-80 5,643' 9999' 4,868' ' 8,707' 6-1/8" 764 sks Class G 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) MD TVD Size 3 5" 5643' 5,643' zi NONE , 25 ACID,FRACTURE,CEMENT SQUEEZE,ETC DEPTH INTERVAL(MD) AMOUNT AND KIND OF MATERIAL USED 26 PRODUCTION TEST Date of First Production. Method of Operation(Flowing,Gas Lift,etc). None Shut In Date of Test Hours Tested. Production for Oil-Bbl Gas-MCF Water-Bbl Choke Size Gas-Oil Ratio. Test Period — I Flow Tubing Casing Pressure Calculated 011-Bbl. Gas-MCF Water-Bbl oil Gravity-API(corr) I Press 24-Hour Rat _ 27 CORE DATA Brief description of lithology,porosity,fractures,apparent dips and presence of oil,gas,or water(attach separate sheet,if nessa Submit core chips,if none,state"none" EC E I VE D None ORIGINAL DEG 2003 Alaska ail & Gas �o :. .—.11mission Form 10-407 Revised 4/2003 Anchorage CONTINUED ON REVERSE SIDE 28. GEOLOGIC MARKERS 29. FORMATION TESTS NAME MD TVD Include and briefly summarize test results List intervals tested,and attach detailed supporting data as necessary, If no tests were conducted, state"None" Lower Beluga 8,395' 7,141' None RECEIVED DEC 15 2003 Alaska Oil&Gas Cons.Com%scion Anchorage 30. List of Attachments: Wellbore Schematic,Directional Survey,Operations Summary 31. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Printed Name Donald Eynon , Title Production Engineer Signature .„ Phone 907-564-6318 Date 12/10/2003 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 la: 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 28. List all test information. If none,state"None". Form 10-407 Revised 4/2003 Qfl ! nNAL Beaver Creek Field MARATHONBeaver Creek #3 Final y2.''v Schematic r 1/4"OD 0.049"wall Chemical F --I I I IES Z" injection string tied into 13-3/8"61 ppf J-55 at 533'cmt with 565 mandrel at 1508'w/check • sx valve 3-1/2"9.3 ppf L-80 w/Mod 8r rd tbg 9-5/8"40 ppf J-55 BTC @ 1569' Cmt'd w/500 sks Cement DV tool at 2034' • as Lift Mandrel Q 5,585' Pv F Top of Baker 7"ZXP Packer/Liner Hanger and 4"PBR @ 5643' Sealbore Extension Directional Data l Abandoned Sterling Perforations 7"23 ppf L-80 from 0-914' 7"26 ppf N-80 from 914-6380' Cmt'd w/650 sks Cement in 1st stage,335 sks in 2nd • • Beluga Perfs j 9515'-9522',3 spf(6/21/03) 9526-9544',3 spf(6/21/03) 9547'-9555',3 spf(6/21/03) 9586-9595',3 spf(6/21/03) Fill Tagged at 9,599'KB WLM R � 9768'-9778',3 spf(6/21/03) -• _ Cast Iron Bridge Plug @ 9902' ., r Type II landing Collar(ar 9930' Liner Float collar s9.964' -- l 3-1/2"9.2 ppf Hydril 563 L-80 from 5643-9,999' Cmt'd w/ lead of 349 sks@ 12.7 ppg and tail of 415 sks Cementing Shoe ` @ 15.7 ppg. 0 000 TD 10,005,TVD 8709' Well Name&Number: I BC 3rd Lease: County or Parish: State/Prov. (Country: Perforations(MD) I (TVD) I Angle/Perfs Angle©KOP and Depth BHP: BHT: Completion Fluid: Date Revised: 7/25/2003 Revised by: (Don Eynon Daily Summary for Well: BEAVER CREEK 3 127 ,r alt Report Report MD TVD Summary !'�. Date Number Re-Entry Event: 24-Apr-03 1 6,386 5,460 R/D from BC-11 and R/U BC-3RD. 25-Apr-03 2 6,386 5,460 R/U rig. Pull BPV monitor TBG test CSG. N/D tree. N/U BOPE. 26-Apr-03 3 6,386 5,460 N/U BOP. Test BOP. Pull blanking plug and BPV. Release 7"retrievable packer. Circ. hole w/6%KCL. POOH L/D 3.5"TBG and 7" Packer. R/D 3.5" tools and prepare to P/U test joint and test plug. 27-Apr-03 4 6,386 5,460 Test lower pipe rams. P/U clean out assy. Clean out F/5900'to 6010'. Perform FIT. Clean out F/6010'to 6170'. Perform FIT. Leak off @ 12.3ppg EMW. Drill cement retainer @ 6170'. 28-Apr-03 5 6,386 5,460 Drill retainer and cement to 6284' Spot LCM pill. Attempt FIT to 14ppg. No Fit. Circ. out. POOH. Service rig. RIH. Perform sqeeze job. POOH. 29-Apr-03 6 6,386 5,460 POOH. Service rig. P/U mill and junk basket. RIH. Wash F/5581'to 5779'. Drill cement F/5779'to 6241' performing FIT test on each perf. interval. 30-Apr-03 7 6,386 5,460 Drill cement F/6241'to 6325'. POOH. C/O bit. RIH. Drill cement, float collar and cement in shoe joint to 6373'. Circ. clean. POOH to 6126' 01-May-03 8 6,386 5,460 Rig repair. 02-May-03 9 6,386 5,460 Rig repair. RIH and Drill cement F/6373'to 6381. 03-May-03 10 6,422 5,490 Drill out 7"shoe. Clean old hole and drill 22'to 6422'. C/O to flopro mud. FIT test. POOH. Test BOP. RIH w/BHA. M/U storm packer and RIH and set. C/O lower pipe rams. Test lower pipe rams. Pull storm packer. 04-May-03 11 6,424 5,492 RIH to 6075'. Work out to 5900'. Mix and pump dry job. POOH. M/U Mill assy. RIH and mill tight spots in perfs. Drill 6422'to 6424'. CBU. POOH. L/D collars and mill assy. 05-May-03 12 6,965 5,921 M/U mill assy. RIH. Circ. and work junk baskets. Drill 1'to 6425'. POOH. Service rig. RIH to 6425'. Drill F/6425' to 6965'. 06-May-03 13 7,798 6,608 Drill F/6965'to 7546'. Circ. clean. POOH to shoe. Service rig. RIH . Drill F/7746'to 7798'. 07-May-03 14 8,085 6,857 Drill F/7798'to 8085'. CBU. POOH. C/O bits. RIH. 08-May-03 15 8,424 7,167 TIH. W/R to btm. Drill f/8085'to 8424' MD. MWD not working. C & C for trip. POOH. Printed - 12/10/2003 Daily Summary for Well: BEAVER CREEK 3 Report Report MD TVD Summary Date Number 09-May-03 16 8,600 7,336 POOH. LD MWD pulsar probe. Test BOPE. Rpr rig. Change bit, test MWD. TIH. Drill f/8424'to 8600'. 10-May-03 17 9,040 7,766 Drill f/8600'to 8855' MD. WT. Drill f/8855'to 9040' MD. 11-May-03 18 9,220 7,943 Drill f/9040'to 9132' MD. TFNB. Drill f/9132'to 9220' MD. 12-May-03 19 9,780 8,493 Drill f/9220'to 9731' MD. 10 std wiper trip. Drill f/ 9731'to 9780' MD. 13-May-03 20 10,005 8,713 Drill f/9780'to 10005' MD. CBU. POOH. LD directional BHA. PU LWD tools for MAD pass. 14-May-03 21 10,005 8,713 Load GR source. TIH. Log w/LWD f/6386'to 8425' MD. 15-May-03 22 10,005 8,713 Log w/LWD f/8425'to 10005' MD. C & C for liner. POOH to run liner. 16-May-03 23A 10,005 8,713 FPOOH w/LWD tools to run 3-1/2" liner. LD BHA, download LWD data. See completion report. Printed - 12/10/2003 Daily Summary for Well: BEAVER CREEK 3 Report Report MD TVD Summary Date Number Rig Completion: 16-May-03 23B 10,005 8,713 RU & run 3-1/2"liner to 4297'. Evaluate LWD logs. 17-May-03 24 10,005 8,713 Evaluate LWD logs. TIH w/3-1/2" liner. Circulate/reciprocate liner. Set hanger. Rotate/cement liner. Set ZXP packer. Circulate hole clean above ZXP packer. POOH, LD setting tools. 18-May-03 25 10,005 8,713 Make mill/scraper run to TOL @ 5643'. Displace hole to fresh water. Test casing/liner lap. POOH, LDDP. RU to run 3-1/2" production tubing. 19-May-03 26 10,005 8,713 Run 3-1/2" production tubing. Test tubing to 3000psi. Displace annulus to 6% KCI/corrosion inhibitor packer fluid. Land tubing. Test annulus to 3000 psi. ND BOP. Install tree. 20-May-03 27 10,005 8,713 Install/test tree. RDMO. Rig released to KBU 43-7X @ 06:00 hrs, 5/20/2003. Printed - 12/10/2003 Daily Summary for Well: BEAVER CREEK 3 Report Report MD TVD Summary Date Number Non-Rig Completion: 24-May-03 1 Pull BPV. Test 3.5"tubing and liner, bled from 3000 psi to 1650 psi in 2 hours. 26-May-03 2 Tag wiper plug at 9946' KB. 31-May-03 3 Run SCMT log from 9931'-5600'. RIH with CIBP. Got stuck in chemical injection mandrel at 1519'. Set CIBP at 1519'. POOH, RDMO electric line. 06-Jun-03 4 MIRU BJ CT. TAG CIBP at 1530' KB. SWIFN. 07-Jun-03 5 RU BJ CT. RIH tag CIBP at 1523' KB. Mill .5' of CIBP until it falls. Push BP to Bottom. Circulate clean with 6% KCL. POOH SWIFN. 08-Jun-03 6 RU Slickline, Run wire brush, gauge ring and dummy CIBP. RU BJ CT, RIH with CT and set CIBP at 9895, Unload hole with nitrogen, POOH leaving 1800 psi on well. SWFN. 10-Jun-03 7 RDMO BJ Coiltech 19-Jun-03 8 RU Slickline, pull chemical injection valve, run new valve. RUN BHP survey. SWIFN, RDMO Slickline. 21-Jun-03 9 RU Schlumberger Wireline Services. Perforate LB 28 a to d and LB 30a. RDMO Schlumberger. 22-Jun-03 10 Flow well for cleanup. Shut in well to monitor pressure build. 25-Jun-03 11 RU Slickline, Tag fill at 4890 with 2"gauge ring. Run 2" drive down bailer, tag at 4890'and recover gray, sandy, material. RDMO slickline. SWIFN 26-Jun-03 12 MI Spot BJ Coiled Tubing Unit. 27-Jun-03 13 RU BOPE, BJ Nitrogen and fluid pumps. Circulate out fill from 4800'to 5800'. Circulate sand, coal and muddy water from liner. CBU twice. Unload hole with Nitrogen. POOH SIWFD. 02-Jul-03 14 RU Slickline, Tag fill at 9597 KB with 2.8"gauge ring. Run 1.75"drive down bailer, fill at 9597 KB. Run BHPB. RDMO slickline. SW IFN 03-Jul-03 15 MI Spot BJ Coiled Tubing Unit. Test BOPE and choke lines. SWIFN. 04-Jul-03 16 RU CT. Circulate out fill from 9597' to PBTD. Returns gray water with sand and fine coal. Unload hole with Nitrogen while holding back pressure. POOH, SIWFD. 12-Jul-03 17 Lay additional liner from frac equipment to wellhead. 14-Jul-03 18 RU Flowback iron. Printed - 12/10/2003 Daily Summary for Well: BEAVER CREEK 3 Report Report MD TVD Summary Date Number 15-Jul-03 19 RU and pressure test frac, tree saver, and flow back iron. MIRU coiled tubing unit. 16-Jul-03 20 Frac stimulate Beluga interval from 9515 to 9778. Placed 41% of design, 16/30 ottowa with 12.5% by weight flexsand before screen out of job. Clean out with esT 24-Jul-03 21 RU Slickline Unit, tag fill at 9599'. Run SBHP survey. Run bailer and obtain sample. Printed - 12/10/2003 203-549 MARATHON Oil Company Pad #3 BC-3Rd slot #3A Beaver Creek Unit Kenai Peninsula, Alaska SURVEY LISTING by Baker Hughes INTEQ Your ref : MWD <6433-10005> Our ref : svy6881 License : Date printed : 14-May-2003 Date created : 5-May-2003 Last revised : 13-May-2003 Field is centred on n60 38 50.050,w150 59 49.92 Structure is centred on n60 38 50.050,w150 59 49.92 Slot location is n60 39 29.890,w151 1 5.710 Slot Grid coordinates are N 2433958.540, E 317319.887 Slot local coordinates are 4046.24 N 3777.46 W Projection type: alaska - Zone 4, Spheroid: Clarke - 1866 Reference North is True North MARATHON Oil Company SURVEY LISTING Page 1 Pad #3,BC-3Rd Your ref : MWD <6433-10005> Beaver Creek Unit,Kenai Peninsula, Alaska Last revised : 13-May-2003 Measured Inclin Azimuth True Vert RECTANGULAR Dogleg Vert GRID COORDS Depth Degrees Degrees Depth C O ORDINATES Deg/100ft Sect Easting Northing 0.00 0.00 0.00 0.00 0.00N 0.00E 0.00 0.00 317319.89 2433958.54 168.00 1.00 236.00 167.99 0.82S 1.22W 0.60 -1.44 317318.66 2433957.74 552.00 0.50 213.00 551.96 4.10S 4.91W 0.15 -6.37 317314.92 2433954.52 596.00 0.50 247.00 595.96 4.33S 5.19W 0.66 -6.73 317314.63 2433954.29 656.00 2.25 28.00 655.94 3.40S 4.88W 4.43 -5.85 317314.96 2433955.22 688.00 3.50 35.00 687.90 2.04S 4.02W 4.05 -4.29 317315.84 2433956.56 782.00 6.50 37.00 781.53 4.56N 0.83E 3.20 3.80 317320.78 2433963.09 888.00 9.75 40.00 886.46 16.23N 10.21E 3.09 18.68 317330.34 2433974.61 969.00 10.50 41.00 966.19 27.05N 19.46E 0.95 32.88 317339.76 2433985.29 1032.00 11.00 42.00 1028.09 35.85N 27.25E 0.85 44.60 317347.68 2433993.97 1095.00 12.00 40.00 1089.82 45.34N 35.48E 1.71 57.13 317356.05 2434003.33 1189.00 13.75 40.00 1181.46 61.38N 48.95E 1.86 77.99 317369.75 2434019.17 1283.00 16.00 39.00 1272.30 80.01N 64.28E 2.41 101.99 317385.37 2434037.56 1408.00 20.00 40.00 1391.16 109.78N 88.87E 3.21 140.43 317410.41 2434066.96 1533.00 23.00 42.00 1507.45 144.32N 118.96E 2.47 186.11 317441.02 2434101.03 1659.00 26.00 42.00 1622.09 183.14N 153.92E 2.38 238.28 317476.56 2434139.32 1749.00 28.00 42.00 1702.28 213.50N 181.26E 2.22 279.07 317504.35 2434169.26 1843.00 30.50 42.00 1784.29 247.64N 211.99E 2.66 324.93 317535.59 2434202.92 1968.00 33.50 41.00 1890.28 297.25N 255.86E 2.44 391.02 317580.21 2434251.86 2037.00 35.00 42.00 1947.31 326.33N 281.59E 2.32 429.77 317606.38 2434280.54 2136.00 35.50 44.00 2028.16 368.11N 320.56E 1.27 486.86 317645.97 2434321.72 2230.00 36.00 42.00 2104.45 408.28N 358.01E 1.35 541.74 317684.02 2434361.31 2387.00 36.00 45.00 2231.48 475.20N 421.51E 1.12 633.95 317748.53 2434427.26 2543.00 36.25 45.00 2357.49 540.23N 486.54E 0.16 725.92 317814.54 2434491.29 2693.00 36.50 43.00 2478.26 604.22N 548.33E 0.81 814.85 317877.28 2434554.33 2817.00 36.75 44.00 2577.78 657.88N 599.25E 0.52 888.80 317929.01 2434607.21 2974.00 37.00 43.00 2703.37 726.21N 664.10E 0.41 982.96 317994.88 2434674.55 3196.00 36.75 44.00 2880.96 822.84N 755.79E 0.29 1116.12 318088.03 2434769.77 3412.00 36.00 44.00 3054.88 914.99N 844.78E 0.35 1244.19 318178.40 2434860.56 3568.00 35.50 44.00 3181.48 980.56N 908.09E 0.32 1335.32 318242.69 2434925.15 3725.00 35.50 45.00 3309.30 1045.58N 971.99E 0.37 1426.48 318307.57 2434989.19 3851.00 35.25 45.00 3412.04 1097.16N 1023.57E 0.20 1499.42 318359.92 2435039.98 4007.00 35.00 45.00 3539.63 1160.63N 1087.04E 0.16 1589.18 318424.34 2435102.47 4101.00 35.00 45.00 3616.63 1198.75N 1125.16E 0.00 1643.10 318463.03 2435140.01 4274.00 35.00 46.00 3758.34 1268.30N 1195.94E 0.33 1742.32 318534.85 2435208.47 4455.00 35.00 46.00 3906.61 1340.42N 1270.62E 0.00 1846.13 318610.61 2435279.45 4672.00 35.25 44.00 4084.10 1428.70N 1358.89E 0.54 1970.96 318700.20 2435366.37 4891.00 35.50 45.00 4262.67 1519.12N 1447.75E 0.29 2097.74 318790.42 2435455.43 5106.00 36.00 45.00 4437.16 1607.94N 1536.57E 0.23 2223.35 318880.58 2435542.89 5318.00 36.50 47.00 4608.13 1695.00N 1626.75E 0.61 2348.68 318972.05 2435628.57 5570.00 36.25 47.00 4811.03 1796.93N 1736.05E 0.10 2498.06 319082.88 2435728.82 6039.00 37.25 46.00 5186.81 1990.11N 1939.57E 0.25 2778.58 319289.30 2435918.87 6393.00 38.00 47.00 5467.19 2138.85N 2096.34E 0.27 2994.63 319448.30 2436065.21 6433.00 37.70 50.60 5498.78 2155.01N 2114.80E 5.57 3019.12 319467.00 2436081.09 6497.00 37.90 49.50 5549.35 2180.20N 2144.87E 1.10 3058.20 319497.44 2436105.82 6559.00 37.50 50.30 5598.41 2204.62N 2173.87E 1.02 3095.98 319526.81 2436129.80 6621.00 37.30 49.70 5647.66 2228.83N 2202.72E 0.67 3133.51 319556.02 2436153.56 6684.00 37.40 50.20 5697.74 2253.42N 2231.97E 0.51 3171.59 319585.64 2436177.70 6747.00 37.30 50.20 5747.82 2277.89N 2261.34E 0.16 3209.67 319615.37 2436201.72 6807.00 37.10 49.90 5795.61 2301.18N 2289.15E 0.45 3245.81 319643.53 2436224.59 All data in feet unless otherwise stated. Calculation uses minimum curvature method. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level). Bottom hole distance is 4416.91 on azimuth 45.31 degrees from wellhead. Vertical section is from S 0.00 E 0.00 on azimuth 45.17 degrees. Grid is alaska - Zone 4. Grid coordinates in FEET and computed using the Clarke - 1866 spheroid Presented by Baker Hughes INTEQ MARATHON Oil Company SURVEY LISTING Page 2 Pad #3,BC-3Rd Your ref : MWD <6433-10005> Beaver Creek Unit,Kenai Peninsula, Alaska Last revised : 13-May-2003 Measured Inclin Azimuth True Vert RECTANGULAR Dogleg Vert GRID CO ORDS Depth Degrees Degrees Depth C 0 ORDINATES Deg/100ft Sect Easting Northing 6871.00 37.00 49.30 5846.69 2326.17N 2318.51E 0.59 3284.26 319673.27 2436249.13 6931.00 37.10 49.00 5894.58 2349.82N 2345.86E 0.34 3320.32 319700.97 2436272.35 6994.00 37.00 48.20 5944.86 2374.92N 2374.33E 0.78 3358.21 319729.82 2436297.02 7056.00 36.80 47.40 5994.44 2399.92N 2401.91E 0.84 3395.40 319757.77 2436321.60 7118.00 36.60 47.40 6044.15 2425.00N 2429.18E 0.32 3432.42 319785.42 2436346.26 7180.00 36.40 46.60 6093.99 2450.15N 2456.15E 0.83 3469.28 319812.77 2436371.00 7242.00 36.10 47.20 6143.99 2475.20N 2482.92E 0.75 3505.93 319839.91 2436395.64 7304.00 35.90 46.20 6194.15 2500.20N 2509.44E 1.00 3542.35 319866.81 2436420.23 7366.00 35.80 45.90 6244.40 2525.40N 2535.58E 0.33 3578.66 319893.33 2436445.02 7428.00 34.30 46.30 6295.16 2550.09N 2561.24E 2.45 3614.26 319919.35 2436469.32 7491.00 33.00 46.00 6347.60 2574.27N 2586.41E 2.08 3649.16 319944.89 2436493.12 7555.00 32.20 47.50 6401.52 2597.90N 2611.52E 1.78 3683.63 319970.35 2436516.36 7617.00 31.60 47.30 6454.16 2620.07N 2635.64E 0.98 3716.37 319994.80 2436538.17 7678.00 31.50 46.80 6506.14 2641.82N 2659.00E 0.46 3748.27 320018.49 2436559.56 7742.00 31.20 46.80 6560.80 2664.61N 2683.28E 0.47 3781.55 320043.10 2436581.98 7804.00 31.00 45.00 6613.88 2686.90N 2706.27E 1.53 3813.57 320066.43 2436603.91 7866.00 31.00 44.50 6667.03 2709.58N 2728.75E 0.42 3845.50 320089.25 2436626.24 7928.00 30.50 45.50 6720.31 2731.99N 2751.17E 1.15 3877.20 320112.00 2436648.31 7991.00 29.20 46.30 6774.95 2753.82N 2773.68E 2.16 3908.55 320134.84 2436669.79 8052.00 27.90 45.50 6828.54 2774.10N 2794.62E 2.22 3937.70 320156.09 2436689.75 8114.00 27.20 47.20 6883.51 2793.90N 2815.36E 1.70 3966.37 320177.13 2436709.23 8175.00 25.80 48.30 6938.10 2812.20N 2835.50E 2.43 3993.56 320197.54 2436727.23 8238.00 23.60 49.00 6995.33 2829.60N 2855.26E 3.52 4019.84 320217.56 2436744.32 8303.00 22.00 51.30 7055.25 2845.75N 2874.58E 2.82 4044.93 320237.12 2436760.17 8365.00 20.80 51.90 7112.97 2859.80N 2892.31E 1.97 4067.41 320255.06 2436773.96 8428.00 19.50 52.60 7172.12 2873.09N 2909.47E 2.10 4088.94 320272.41 2436786.98 8491.00 17.90 48.30 7231.79 2885.92N 2925.05E 3.35 4109.04 320288.19 2436799.57 8552.00 16.50 46.70 7290.06 2898.09N 2938.35E 2.42 4127.06 320301.68 2436811.55 8614.00 15.30 44.30 7349.69 2909.99N 2950.48E 2.21 4144.04 320313.98 2436823.25 8676.00 14.20 41.80 7409.65 2921.51N 2961.26E 2.05 4159.81 320324.93 2436834.61 8737.00 13.00 42.20 7468.93 2932.17N 2970.85E 1.97 4174.13 320334.69 2436845.12 8800.00 11.90 43.70 7530.45 2942.12N 2980.10E 1.82 4187.70 320344.08 2436854.93 8861.00 11.60 44.60 7590.17 2951.03N 2988.75E 0.58 4200.12 320352.87 2436863.71 8923.00 11.30 43.90 7650.94 2959.85N 2997.34E 0.53 4212.43 320361.59 2436872.39 8986.00 11.20 44.30 7712.73 2968.67N 3005.89E 0.20 4224.72 320370.28 2436881.09 9051.00 11.00 42.60 7776.51 2977.76N 3014.50E 0.59 4237.22 320379.02 2436890.04 9113.00 11.20 41.30 7837.35 2986.63N 3022.48E 0.52 4249.14 320387.13 2436898.79 9174.00 10.80 46.30 7897.23 2995.03N 3030.52E 1.70 4260.77 320395.30 2436907.07 9237.00 10.00 51.50 7959.20 3002.52N 3039.07E 1.96 4272.10 320403.96 2436914.42 9300.00 10.00 51.30 8021.24 3009.34N 3047.62E 0.06 4282.98 320412.61 2436921.12 9362.00 9.90 49.60 8082.31 3016.16N 3055.88E 0.50 4293.65 320420.97 2436927.81 9425.00 10.70 45.50 8144.30 3023.77N 3064.17E 1.72 4304.89 320429.38 2436935.29 9488.00 10.10 46.50 8206.26 3031.67N 3072.35E 0.99 4316.26 320437.68 2436943.07 9551.00 10.00 46.60 8268.29 3039.23N 3080.33E 0.16 4327.26 320445.77 2436950.51 9613.00 10.30 45.20 8329.32 3046.84N 3088.18E 0.63 4338.18 320453.73 2436957.99 9676.00 11.30 44.70 8391.21 3055.19N 3096.52E 1.59 4349.98 320462.19 2436966.22 9738.00 11.90 43.30 8451.94 3064.16N 3105.17E 1.07 4362.45 320470.99 2436975.06 9800.00 11.50 43.00 8512.65 3073.34N 3113.77E 0.65 4375.01 320479.72 2436984.10 9863.00 11.40 39.80 8574.40 3082.71N 3122.04E 1.02 4387.49 320488.13 2436993.35 9924.00 12.00 36.90 8634.13 3092.42N 3129.71E 1.38 4399.77 320495.94 2437002.93 All data in feet unless otherwise stated. Calculation uses minimum curvature method. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level). Bottom hole distance is 4416.91 on azimuth 45.31 degrees from wellhead. Vertical section is from S 0.00 E 0.00 on azimuth 45.17 degrees. Grid is alaska - Zone 4. Grid coordinates in FEET and computed using the Clarke - 1866 spheroid Presented by Baker Hughes INTEQ MARATHON Oil Company SURVEY LISTING Page 3 Pad #3,BC-3Rd Your ref : MWD <6433-10005> Beaver Creek Unit,Kenai Peninsula, Alaska Last revised : 13-May-2003 Measured Inclin Azimuth True Vert RECTANGULAR Dogleg Vert GRID COORDS Depth Degrees Degrees Depth C 0 ORDINATES Deg/100ft Sect Easting Northing 9950.00 12.40 37.00 8659.54 3096.81N 3133.01E 1.54 4405.20 320499.31 2437007.27 10005.00 12.40 37.00 8713.26 3106.24N 3140.12E 0.00 4416.89 320506.56 2437016.59 All data in feet unless otherwise stated. Calculation uses minimum curvature method. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level). Bottom hole distance is 4416.91 on azimuth 45.31 degrees from wellhead. Vertical section is from S 0.00 E 0.00 on azimuth 45.17 degrees. Grid is alaska - Zone 4. Grid coordinates in FEET and computed using the Clarke - 1866 spheroid Presented by Baker Hughes INTEQ MARATHON Oil Company SURVEY LISTING Page 4 Pad #3,BC-3Rd Your ref : MWD <6433-10005> Beaver Creek Unit,Kenai Peninsula, Alaska Last revised : 13-May-2003 Comments in wellpath MD TVD Rectangular Coords. Comment 10005.00 8713.26 3106.24N 3140.12E Projection to TD Targets associated with this wellpath Target name Geographic Location T.V.D. Rectangular Coordinates Revised BC3 - T Tyonek - 2/1 320625.000,2437200.000,0.0000 8709.00 3291.43N 3255.77E 19-Feb-2003 BC3 - L Beluga - 2/1 320625.000,2437200.000,0.0000 7139.00 3291.43N 3255.77E 19-Feb-2003 . f!) 0,3 -(9¿j¿1 . Alaska Region Domestic Production P.O. Box 196168 Anchorage, AK 99519·6168 Telephone 907/561-5311 Fax 907/564-6489 Marathon Oil Company December 13, 2003 Winton Aubert Alaska Oil & Gas Conservation Commission 333 West ¡th Ave, Suite 100 Anchorage, AK 99501 Reference: Completion Report 10-407 Field: Beaver Creek Field Well: Beaver Creek Unit BC-3rd Dear Mr. Aubert Enclosed please find the Well Completion or Recompletion Report with associated attachments. Beaver Creek 3rd has been completed and sand fractured in the Lower Beluga interval but has not had commercial production up to this time. Marathon is currently evaluating re-perforating or moving up to additional lower Beluga intervals. After plans are finalized we will submit a Sundry Application to perform upcoming work. apologize for the delay in getting out this completion notice. Should you require further information, I can be reached at 907-564-6318 or bye-mail at DEEynon@MarathonOil.com. Sincerely, 'r,~" l L)~ ,'''VlL~/ ~lW---' Donald Eynon Operations Engineer Enclosures: Completion Report Directional Survey Operations Summary Wellbore Diagram RECEIVI=[) DEC 1 5 2003 A'aska Oil & Gas Cons. ¡"¡,,¡iI,,.....;>ìon Anchorage n D , ç f ~, ,/\ , . STATE OF ALASKA .- ALASKA AND GAS CONSERVATION COMMIS~ WELL COMPLETION OR RECOMPLETION REPORT AND LOG 1a, Well Status: OilD GaslRJ PluggedDAbandoned D 20AAC 25.105 GINJ 0 WINJD WDSPLD No, of Completions 2, Operator: Name: Marathon Oil Company 3 Address: PO Box 196168, Anchorage Alaska, 99519-6168 4a. Location of Well (Governmental Section): Surface: 1,227' FNL, 1,501' FWL, Section 34, T7N, R10W. S,M, Top of Productive Horizon: 1,638,8' FSL, 879,0' FEL, Section 27, TlN, R10W, S,M, Total Depth: 1.879,3' FSL, 638,8' FEL, Section 27, T7N, R10W, S,M, 4b, Location of Well (State Base Plane Coordinates): Surface: x- 317.318,08' y- 2,433,959,65' Zone- 4 TPI x- 320.262,16' y- 2.436,780.20' Zone- 4 Total Depth x- 320,505,99' y- 2,437,016.90' Zone- 4 18, Directional Survey: YeslRJ NoD 21, Logs Run: (Resistivity/GR, Den/Neu, Sonic) Suspended D WAGD 20AAC 25,110 Other 5, Date Comp,. SusP,. or Aband: 16-Jul-03 6, Date Spudded: 24-Apr-03 7, Date TD Reached: 13-May-03 8, KB Elevation (ft,): 179' RKB-Glacier #1, 158' GL 9, Plug Back Depth (MD + TVD): 9,902 MD, 8,613 TVD 10, Total Depth (MD+TVD): 10,005' MD, 8,713' TVD 11, Depth where SSSV Set: feetMD 19. Water Depth, if Offshore: NIA feet MSL 1b, Well Class: Development Exploratory IE] Service Stratigraphic Test D Permit to Drill Number: 203-044 API Number: ~I ~ 00 11M/' 50- 133-20124~ V' 14, Well Name and Number Beaver Creek 3rd 15, Field/Pool(s): Beaver Creek I Beluga 16, Property Designation: A-028083 17, Land Use Permit: 20, Thickness of Permafrost: NIA 22. CASING, LINER AND CEMENTING RECORD CASING WT, PER GRADE SETTING DEPTH MD SETTING DEPTH TVD HOLE SIZE CEMENTING RECORD AMOUNT SIZE FT, TOP BOTTOM TOP BOTTOM PULLED 133/8" 61 J-55 Surface 565' Surface 565' 17-112" 565 In Place 95/8" 40 J-55 Surface 1,569' Surface 1.540' 12-114" 500 In Place 7" 23-26 N-80 Surface 6,380' Surface 5,456' 8-5/8" 985 In Place 3112" 9.2 L-80 5,643' 9999' 4.868' 8,707' 6-1/8" 764 sks Class G 23, Perforations Open to Production (MD + TVD of Top and Bottom Interval. Size, and Number; if none. state "none"): Beluga Intervals MD TVD Size 9515-9522 8233-8240 .27" 9526-9544 8244-8261 ,27" 954 7 -9555 8264-8272 ,27" 9588-9595 8305-8312 .27" 9768-9778 8481-8491 ,27" 3spf 3spf 3spf 3spf 3spf 24, SIZE 3,5" TUBING RECORD DEPTH SET (MD) 5643' PACKER SET (MD) 5,643' 25. ACID, FRACTURE, CEMENT SQUEEZE, ETC. DEPTH INTERVAL (MD) AMOUNT AND KIND OF MATERIAL USED 9,515-9,778' 29,000 Ibs Ottowa Sand 26. Date of First Production: None PRODUCTION TEST IMethod of Operation (Flowing, Gas Lift, etc.): Production for Oil-Bbl: Gas- MCF: Test Period _ ~ Shut In Water-Bbl: 27, CORE DATA 0ECE'\¡r:r¡ Brief description of lithology, porosity, fractures, apparent dips and presence of oil, gas, or water (attach separate sheet, if nessa~ . ø., /"" t Subm!l'~~:jf,,~, state "none", ,~tjU!Ÿ, FU~ ~ j ìA'·; ~ ~~. ·iT.: ¡ '1 ,f!l... , .~~~'" .~'~.' ! I, /?:,0, .,' ~._"'. ~._--' Date of Test: Hours Tested: Flow, Tubing Press: Casing Pressure Calculated Oil-Bbl: 24-Hour RatE _ ~ None Gas- MCF: Water-Bbl: Form 10-407 Revised 4/2003 COOr!~,t G U\k/$kOE f \g Choke Size: GaS-Oil Ratio: oil Gravity - API (corr): DEC 1 5 2003 Alaska Oil & Gas Cons. ",\Jw¡¡¡¡-ision Anchorage ~IBfL lEt 11;11 . . 28. GEOLOGIC MARKERS 29, FORMATION TESTS NAME MD TVD Include and briefly summarize test results, List intervals tested, and attach detailed supporting data as necessary, If no tests were conducted, state "None", Lower Beluga 8,395' 7.141' None 30. List of Attachments: Wellbore Schematic, Directional Survey, Operations Summary RECl=n ,_. DEC I ~ 7003 Alaska Oil & GasL" AncJ1Dragp. ~··"""""\oiH,.;ïì 31, I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Printed Name Signature ~Donald Eynon "l:~Y\ ,~,~ / Title Production Engineer I"~ 1:'::"J } tt;~ ./ Phone 907-564-6318 Date 12/10/2003 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 28: List all test information, If none, state "None", Form 10·407 Revised 4/2003 O~'G'~Ll\L- Beaver Creek Field Beaver Creek #3 Final Schematic 1/4" 00 0,049" wall Chemical injection string tied into mandrel at 1508' w/check valve Directional Data Fill Tagged at 9,599'KB WLM Float Collar@9.964' TO 10,005, TVo 8709' ¡Well Name & Number: County or Parish: Perforations (MD) IBHP: I Date Revised: BC3rd I Lease: State/Prov. 13-318" 61 ppf J-55 at 533' cmt with 565 sx 9-518" 40 ppf J-55 BTC @ 1569' Cmt'd w/500 sks Cement DV tool at 2034' Top of Baker 7" ZXP Packer/Liner Hanger and 4" PBR @ 5643' Abandoned Sterling Perforations 7" 23 ppf L-80 from 0-914' 7" 26 ppf N-80 from 914-6380' Cmt'd Wl650 sks Cement in 151 stage, 335 sks in 2nd Beluga Perfs 9515'-9522',3 spf (6/21/03) 9526'-9544',3 spf (6/21/03) 9547'-9555'.3 spf (6/21/03) 9588'-9595', 3 spf (6/21/03) 9768'-9778',3 spf (6/21103) Cast Iron Bridge Plug @ 9902' Liner 3-1/2" 9,2 ppf Hydrll563 L-80 from 5643-9.999' Cmt'd wi lead of 349 sks @ 12.7 ppg and tail of 415 sks @ 15.7 ppg, I Country: (TVD) @ Depth BHT I I Completion Fluid: 71251~003 R.Wised by: IDon Eynon · . Daily Summary for Well: BEAVER CREEK 3 Report Date Report Number MD TVD Summary ,~-~------------------------------------------------------------------------------------------------------.----------- Re-Entry Event: 24-Apr-03 1 6,386 5,460 25-Apr-03 2 6,386 5,460 26-Apr-03 3 6,386 5,460 27-Apr-03 4 6,386 5,460 28-Apr -03 5 6,386 5,460 29-Apr-03 6,386 5,460 6 30-Apr-03 6,386 5,460 7 01-May-03 02-May-03 03-May-03 8 9 10 6,386 5,460 6,386 5,460 6,422 5,490 04-May-03 6,424 5,492 11 05-May-03 6,965 5,921 12 06-May-03 13 7,798 6,608 07 -May-03 14 8,085 6,857 08-May-03 15 8,424 7,167 RID from BC-11 and RlU BC-3RD. RlU rig. Pull BPV monitor TBG test CSG. N/D tree. N/U BOPE. N/U BOP. Test BOP. Pull blanking plug and BPV. Release 7" retrievable packer. Circ. hole w/6%KCL. POOH LID 3.5" TBG and 7" Packer. RID 3.5" tools and prepare to P/U test joint and test plug. Test lower pipe rams. P/U clean out assy. Clean out F/5900' to 6010'. Perform FIT. Clean out F/6010' to 6170'. Perform FIT. Leak off@ 12.3ppg EMW. Drill cement retainer @ 6170'. Drill retainer and cement to 6284' Spot LCM pill. Attempt FIT to 14ppg. No Fit. Circ. out. POOH. Service rig. RIH. Perform sqeeze job. POOH. POOH. Service rig. P/U mill and junk basket. RIH. Wash F/5581, to 5779'. Drill cement F/5779' to 6241' performing FIT test on each perf. interval. Drill cement F/6241, to 6325'. POOH. C/O bit. RIH. Drill cement, float collar and cement in shoe joint to 6373'. Circ. clean. POOH to 6126' Rig repair. Rig repair. RIH and Drill cement F/6373' to 6381. Drill out 7" shoe. Clean old hole and drill 22' to 6422'. C/O to flopro mud. FIT test. POOH. Test BOP. RIH w/BHA. M/U storm packer and RIH and set. C/O lower pipe rams. Test lower pipe rams. Pull storm packer. RIH to 6075'. Work out to 5900'. Mix and pump dry job. POOH. M/U Mill assy. RIH and mill tight spots in perfs. Drill 6422' to 6424'. CBU. POOH. LID collars and mill assy. M/U mill assy. RIH. Circ. and work junk baskets. Drill l' to 6425'. POOH. Service rig. RIH to 6425'. Drill F/6425' to 6965'. Drill F/6965' to 7546'. Circ. clean. POOH to shoe. Service rig. RIH. Drill F/7746' to 7798'. Drill F/7798' to 8085'. CBU. POOH. C/O bits. RIH. TIH. W/R to btm. Drill f/ 8085' to 8424' MD, MWD not working. C & C for trip. POOH. Printed - 12/10/2003 · . Daily Summary for Well: BEAVER CREEK 3 Report Date Report MD TVD Summary Number ,.._._______________.___________________________._._._------------------------------------------------------____ewe_e. 09-May-03 16 8,600 7,336 POOH. LD MWD pulsar probe. Test BOPE. Rpr rig. Change bit, test MWD. TIH. Drill fl 8424' to 8600'. 10-May-03 17 9,040 7,766 Drill fl 8600' to 8855' MD. WT. Drill fl 8855' to 9040' MD. 11-May-03 18 9,220 7,943 Drill fl 9040' to 9132' MD. TFNB. Drill fl 9132' to 9220' MD. 12-May-03 19 9,780 8,493 Drill fl 9220' to 9731' MD. 10 std wiper trip. Drill fl 9731' to 9780' MD. 13-May-03 20 10,005 8,713 Drill fl 9780' to 10005' MD. CBU. POOH. LD directional BHA. PU LWD tools for MAD pass. 14-May-03 21 10,005 8,713 Load GR source. TIH. Log wi LWD fl 6386' to 8425' MD. 15-May-03 22 10,005 8,713 Log wi LWD fJ 8425' to 10005' MD. C & C for liner. POOH to run liner. 16-May-03 23A 10,005 8,713 FPOOH wi LWD tools to run 3-1/2" liner. LD BHA, download LWD data. See completion report. Printed - 12/10/2003 · . Daily Summary for Well: BEAVER CREEK 3 Report Date Report Number MD TVD Summary ..-.-.---------.--------.-.-.----------------.-.-.-------------.-.-.-----.--.---.-.-.-.----------.-.-.-.-.-.---------- Rig Completion: 16-May-03 17 -May-03 18-May-03 19-May-03 20-May-03 23B 10,005 8,713 24 10,005 8,713 25 10,005 8,713 26 10,005 8,713 27 10,005 8,713 RU & run 3-1/2" liner to 4297'. Evaluate LWD logs. Evaluate LWD logs. TIH w/ 3-1/2" liner. Circulate/reciprocate liner. Set hanger. Rotate/cement liner. Set ZXP packer. Circulate hole clean above ZXP packer. POOH, LD setting tools. Make mill/scraper run to TOl @ 5643'. Displace hole to fresh water. Test casing/liner lap. POOH, LDDP. RU to run 3-1/2" production tubing. Run 3-1/2" production tubing. Test tubing to 3000psi. Displace annulus to 6% KCI/corrosion inhibitor packer fluid. Land tubing. Test annulus to 3000 psi. ND BOP. Install tree. Install/test tree. RDMO. Rig released to KBU 43-7X @ 06:00 hrs, 5/20/2003. Printed - 12/10/2003 . . . Daily Summary for Well: BEAVER CREEK 3 Report Date Report Number MD TVD Summary .~-~-~---------------------------------------------------.-.-.-.-.-.-----------------------.-.-.-.------.-.----------- Non-Rig Compietion: 24-May-03 26-May-03 31-May-03 06-Jun-03 07-Jun-03 08-Jun-03 2 3 Pull BPV. Test 3.5" tubing and liner, bled from 3000 psi to 1650 psi in 2 hours. Tag wiper plug at 9946' KB. Run SCMT log from 9931' - 5600'. RIH with CIBP. Got stuck in chemical injection mandrel at 1519'. Set CIBP at 1519'. POOH, ROMO electric line. MIRU BJ CT. TAG CIBP at 1530' KB. SWIFN. RU BJ CT. RfH tag CfBP at 1523' KB. Mill .5' of CIBP until it falls. Push BP to Bottom. Circulate clean with 6% KCL. POOH SWIFN. 4 5 6 RU Slickline, Run wire brush, gauge ring and dummy CIBP. RU BJ CT, RIH with CT and set CIBP at 9895, Unload hole with nitrogen, POOH leaving 1800 psi on well. SWFN. 12 13 ROMO BJ Coiltech RU Slickline, pull chemical injection valve, run new valve. RUN BHP survey. SWIFN, ROMO Slickline. RU Schlumberger Wire/ine Services. Perforate LB 28 a to d and LB 30a. ROMO Schlumberger. Flow well for cleanup. Shut in well to monitor pressure build. RU Slick/ine, Tag fill at 4890 with 2" gauge ring. Run 2" drive down bailer, tag at 4890' and recover gray, sandy, material. ROMO slickline. SWIFN MI Spot BJ Coiled Tubing Unit. RU BOPE, BJ Nitrogen and fluid pumps. Circulate out fill from 4800' to 5800'. Circulate sand, coal and muddy water from liner. CBU twice. Unload hole with Nitrogen. POOH SIWFO. RU Slick/ine, Tag fill at 9597 KB with 2.8" gauge ring. Run 1.75" drive down bailer, fill at 9597 KB. Run BHPB. ROMO slickline. SWIFN MI Spot BJ Coiled Tubing Unit. Test BOPE and choke lines. SWIFN. RU CT. Circulate out fill from 9597' to PBTO. Returns 10-Jun-03 7 19-Jun-03 8 21-Jun-03 9 22-Jun-03 10 25-Jun-03 11 26-Jun-03 27 -Jun-03 02-Jul-03 03-Jul-03 04-Jul-03 12-Jul-03 14-Jul-03 14 15 16 gray 'vvater 'vvith sand and fine coal. Unload hole vvith 17 18 Nitrogen while holding back pressure, POOH, SIWFO. Lay additional liner from frac equipment to wellhead. RU Flowback iron. Printed - 12/10/2003 . . Daily Summary for Well: Report Date Report Number . BEAVER CREEK 3 MD TVD Summary 15-Jul-03 --------.--.--------.-----------------------------------------------------------------------.------------------------- 16-Jul-03 24-Jul-03 19 20 21 RU and pressure test frac, tree saver, and flow back iron, MIRU coiled tubing unit. Frac stimulate Beluga interval from 9515 to 9778. Placed 41% of design, 16/30 ottowa with 12.5% by weight flexsand before screen out of job. Clean out with r"T RU S/ick/ine Unit, tag fill at 9599', Run SBHP survey. Run bailer and obtain sample. Printed - 12/10/2003 . MARATHON Oil Company Pad 113 BC-3Rd slot 113A Beaver Creek Unit Kenai Peninsula, Alaska SUR V E Y LIS TIN G by Baker Hughes INTEQ Your ref Our ref License MHO <6433-10005> svy688l Date printed Date created Last revised l4-May-2003 5-May-2003 l3-May-2003 Field is centred on n60 38 50.050,w150 59 49.92 structure is centred on n60 38 50.050,w150 59 49.92 . Slot location is n60 39 29.890,w15l 1 5.710 Slot Grid coordinates are N 2433958.540, E 317319.887 Slot local coordinates are 4046.24 N 3777.46 W Reference North is True North Projection type: alaska - Zone 4, Spheroid: Clarke - 1866 (903 -C'~/L( . MARATHON Oil Company Pad jt3,BC-3Rd Beaver Creek Unit, Kenai Peninsula, Alaska Measured Inclin Depth Degrees 0.00 168.00 552.00 596,00 656.00 688.00 782.00 888.00 969.00 1032.00 1095.00 1189.00 1283.00 1408.00 1533.00 1659.00 1749.00 1843.00 1968.00 2037.00 2136.00 2230.00 2387.00 2543,00 2693.00 2817.00 2974.00 3196.00 3412.00 3568.00 3725,00 3851.00 4007.00 4101.00 4274.00 4455.00 4672.00 4891.00 5106,00 5318.00 5570,00 6039.00 6393.00 6433.00 6497,00 6559,00 6621.00 6684.00 6747.00 6807.00 0.00 1.00 0.50 0.50 2,25 3.50 6.50 9.75 10.50 11.00 12.00 13.75 16.00 20.00 23.00 26.00 28.00 30.50 33.50 35.00 35,50 36.00 36.00 36.25 36.50 36.75 37.00 36.75 36,00 35.50 35.50 35.25 35.00 35.00 35.00 35.00 35.25 35.50 36.00 36.50 36.25 37.25 38.00 37.70 37.90 37.50 37.30 37.40 37.30 37.10 Azimuth Degrees 0,00 236.00 213.00 247.00 28.00 35.00 37.00 40.00 41.00 42.00 40.00 40.00 39.00 40.00 42.00 42.00 42.00 42.00 41. 00 42.00 44.00 42.00 45.00 45.00 43.00 44.00 43.00 44.00 44.00 44.00 45.00 45.00 45.00 45.00 46.00 46.00 44,00 45.00 45.00 47.00 47.00 46.00 47.00 50.60 49.50 50.30 49.70 50.20 50.20 49.90 True Vert Depth 0.00 167.99 551.96 595.96 655.94 687.90 781.53 886.46 966.19 1028.09 1089.82 1181.46 1272.30 1391.16 1507.45 1622.09 1702.28 1784.29 1890.28 1947.31 2028.16 2104.45 2231.48 2357.49 2478.26 2577.78 2703.37 2880.96 3054.88 3181.48 3309.30 3412.04 3539.63 3616.63 3758.34 3906.61 4084.10 4262.67 4437.16 4608.13 4811.03 5186.81 5467.19 5498.78 5549.35 5598.41 5647.66 5697.74 5747.82 5795.61 RECTANGULAR COO R DIN ATE 5 O.OON 0.825 4.105 4.335 3.405 2.045 4.56N 16.23N 27.05N 35.85N 45.34N 61. 38N 80.01N 109.78N 144.32N 183.14N 213.50N 247.64N 297.25N 326.33N 368.11N 408.28N 475.20N 540.23N 604.22N 657.88N 726.21N 822.84N 914,99N 980.56N 1045.58N 1097.16N 1160.63N 1198.75N 1268.30N 1340.42N 1428.70N 1519.12N 1607,94N 1695.00N 1796.93N 1990,l1N 2138.85N 2155,OlN 2180.20N 2204.62N 2228.83N 2253.42N 2277 . 89N 2301.18N O.OOE 1. 22W 4.91W 5.19W 4,88W 4.02W 0.83E 10.21E 19.46E 27.25E 35.48E 48.95E 64.28E 88.87E 118.96E 153.92E 181. 26E 211.99E 255.86E 281.59E 320.56E 358.01E 421. 51E 486.54E 548.33E 599.25E 664.10E 755.79E 844.78E 908.09E 971.99E 1023,57E 1087.04E 1125.16E 1195.94E 1270.62E 1358.89E 1447.75E 1536.57E 1626.75E 1736.05E 1939.57E 2096.34E 2114.80E 2144,87E 2173.87E 2202.72E 2231.97E 2261.34E 2289.15E . 5URVEY LI5TING Page 1 Your ref MWD <6433-10005> Last revised 13-Hay-2003 Dogleg Deg!100ft 0.00 0.60 0.15 0.66 4.43 0.00 -1. 44 -6.37 -6.73 -5.85 Vert 5ect G RID Easting COO R D 5 Northing 2433958.54 2433957.74 2433954.52 2433954.29 2433955.22 2433956.56 2433963.09 2433974.61 2433985.29 2433993.97 2434003.33 2434019.17 2434037.56 2434066.96 2434101.03 2434139.32 2434169.26 2434202.92 2434251.86 2434280.54 2434321.72 2434361. 31 2434427.26 2434491.29 2434554.33 2434607.21 2434674.55 2434769.77 2434860.56 2434925.15 2434989.19 2435039.98 2435102.47 2435140.01 2435208,47 2435279.45 2435366.37 2435455.43 2435542.89 2435628.57 2435728.82 2435918.87 2436065.21 2436081.09 2436105.82 2436129.80 2436153.56 2436177 . 70 2436201. 72 2436224.59 ~l data in feet unless otherwise stated. Calculation uses ~n~mum curvature method. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level). Bottom hole distance is 4416.91 on azimuth 45.31 degrees from wellhead. Vertical section is from 5 0.00 E 0.00 on azimuth 45.17 degrees. Grid is alaska - Zone 4. Grid coordinates in FEET and computed using the Clarke - 1866 spheroid Presented by Baker Hughes INTEQ 4.05 3.20 3.09 0.95 0.85 -4.29 3.80 18.68 32.88 44.60 1.71 1. 86 2.41 3.21 2.47 57.13 77.99 101. 99 140.43 186.11 2.38 2.22 2.66 2.44 2.32 238.28 279.07 324.93 391.02 429.77 1.27 1.35 1.12 0.16 0.81 486.86 541.74 633.95 725.92 814.85 0.52 0.41 0.29 0.35 0.32 888.80 982.96 1116.12 1244.19 1335.32 0.37 0.20 0.16 0.00 0.33 1426.48 1499.42 1589.18 1643.10 1742.32 0.00 0.54 0.29 0.23 0.61 1846.13 1970.96 2097.74 2223.35 2348.68 0.10 0.25 0,27 5.57 1.10 2498.06 2778.58 2994.63 3019.12 3058.20 1.02 0.67 0.51 0.16 0.45 3095.98 3133.51 3171. 59 3209.67 3245.81 317319.89 317318.66 317314 . 92 317314 . 63 317314,96 317315.84 317320.78 317330.34 317339.76 317347.68 317356.05 317369.75 317385.37 317410.41 317441.02 317476.56 317504.35 317535.59 317580.21 317606.38 317645,97 317684.02 317748.53 317814,54 317877.28 317929.01 317994.88 318088.03 318178.40 318242.69 318307,57 318359.92 318424.34 318463.03 318534.85 318610.61 318700.20 318790.42 318880.58 318972,05 319082.88 319289,30 319448.30 319467.00 319497.44 319526.81 319556.02 319585.64 319615.37 319643.53 . MARATHON Oil Company Pad #3,BC-3Rd Beaver Creek Unit, Kenai Peninsula, ~aska Measured Inclin Depth Degrees 6871.00 6931.00 6994.00 7056,00 7118.00 7180.00 7242.00 7304.00 7366.00 7428.00 7491. 00 7555.00 7617.00 7678.00 7742.00 7804.00 7866.00 7928.00 7991.00 8052.00 8114.00 8175.00 8238.00 8303.00 8365.00 8428.00 8491.00 8552.00 8614.00 8676.00 8737.00 8800.00 8861.00 8923.00 8986.00 9051. 00 9113.00 9174.00 9237.00 9300.00 9362.00 9425.00 9488.00 9551.00 9613.00 9676.00 9738.00 9800.00 9863.00 9924.00 37.00 37.10 37.00 36.80 36.60 36.40 36.10 35.90 35.80 34.30 33.00 32.20 31. 60 31.50 31. 20 31. 00 31.00 30.50 29,20 27.90 27.20 25.80 23.60 22.00 20.80 19.50 17.90 16.50 15.30 14.20 13.00 11.90 11.60 11.30 11.20 11.00 11. 20 10.80 10.00 10.00 9.90 10.70 10.10 10.00 10.30 11. 30 11,90 11,50 11.40 12.00 Azimuth Degrees 49.30 49.00 48.20 47.40 47.40 46.60 47.20 46.20 45.90 46.30 46.00 47.50 47.30 46.80 46,80 45.00 44.50 45.50 46.30 45.50 47.20 48.30 49.00 51.30 51.90 52,60 48.30 46.70 44.30 41.80 42.20 43.70 44.60 43.90 44.30 42.60 41.30 46.30 51.50 51.30 49.60 45.50 46.50 46.60 45,20 44.70 43.30 43.00 39.80 36.90 True Vert Depth 5846.69 5894.58 5944.86 5994,44 6044.15 6093.99 6143.99 6194.15 6244.40 6295.16 6347.60 6401.52 6454.16 6506.14 6560.80 6613.88 6667.03 6720.31 6774.95 6828.54 6883.51 6938.10 6995.33 7055.25 7112.97 7172 .12 7231.79 7290.06 7349,69 7409.65 7468.93 7530.45 7590.17 7650.94 7712,73 7776.51 7837,35 7897.23 7959.20 8021.24 8082.31 8144. 30 8206.26 8268.29 8329.32 8391.21 8451.94 8512.65 8574.40 8634.13 . SURVEY LISTING Page 2 Your ref MHD <6433-10005> Last revised : 13-Nay-2003 R E C TAN G U L A R Dogleg Vert COO R DIN ATE S Deg/100ft Sect 2326.17N 2349,82N 2374.92N 2399.92N 2425.00N 2450.15N 2475.20N 2500.20N 2525.40N 2550.09N 2574,27N 2597,90N 2620.07N 2641.82N 2664.61N 2686.90N 2709.58N 2731,99N 2753,82N 2774.10N 2793.90N 2812.20N 2829,60N 2845.75N 2859.80N 2873.09N 2885,92N 2898,09N 2909.99N 2921.51N 2932.17N 2942,12N 2951.03N 2959.85N 2968.67N 2977.76N 2986.63N 2995.03N 3002.52N 3009.34N 3016,16N 3023.77N 3031.67N 3039,23N 3046.84N 3055.19N 3064.16N 3073.34N 3082.71N 3092.42N 2318,51E 2345.86E 2374.33E 2401.91E 2429.18E 2456.15E 2482.92E 2509.44E 2535.58E 2561.24E 2586.41E 2611.52E 2635.64E 2659.00E 2683.28E 2706.27E 2728.75E 2751.17E 2773.68E 2794.62E 2815.36E 2835.50E 2855.26E 2874.58E 2892.31E 2909.47E 2925.05E 2938.35E 2950.48E 2961.26E 2970.85E 2980.10E 2988.75E 2997.34E 3005.89E 3014.50E 3022.48E 3030.52E 3039.07E 3047.62E 3055.88E 3064.17E 3072.35E 3080.33E 3088.18E 3096.52E 3l05.17E 3113.77E 3122.04E 3129.71E 0.59 0.34 0.78 0.84 0.32 3284.26 3320.32 3358.21 3395.40 3432.42 G RID Easting 319673.27 319700.97 319729.82 319757.77 319785.42 319812.77 319839.91 319866.81 319893.33 319919.35 319944.89 319970.35 319994.80 320018.49 320043.10 320066.43 320089.25 320112.00 320134.84 320156.09 320177.13 320197.54 320217.56 320237.12 320255.06 320272.41 320288.19 320301.68 320313.98 320324.93 320334.69 320344.08 320352.87 320361. 59 320370.28 320379.02 320387.13 320395.30 320403.96 320412.61 320420.97 320429.38 320437.68 320445.77 320453.73 320462.19 320470.99 320479.72 320488.13 320495.94 COO R D S Northing 2436249.13 2436272.35 2436297.02 2436321.60 2436346.26 2436371.00 2436395.64 2436420.23 2436445.02 2436469.32 2436493.12 2436516.36 2436538.17 2436559.56 2436581.98 2436603.91 2436626.24 2436648.31 2436669.79 2436689.75 2436709.23 2436727.23 2436744.32 2436760.17 2436773.96 2436786.98 2436799.57 2436811. 55 2436823.25 2436834.61 2436845.12 2436854.93 2436863.71 2436872.39 2436881.09 2436890.04 2436898.79 2436907.07 2436914.42 2436921.12 2436927.81 2436935,29 2436943.07 2436950.51 2436957.99 2436966.22 2436975.06 2436984.10 2436993.35 2437002.93 All data in feet unless otherwise stated. Calculation uses minimum curvature method. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level). Bottom hole distance is 4416.91 on azimuth 45.31 degrees from wellhead. Vertical section is from S 0.00 E 0.00 on azimuth 45.17 degrees. Grid is alaska - Zone 4. Grid coordinates in FEET and computed using the Clarke - 1866 spheroid Presented by Baker Hughes INTEQ 0.83 0.75 1.00 0.33 2.45 3469.28 3505.93 3542.35 3578.66 3614.26 2.08 1. 78 0.98 0.46 0.47 3649.16 3683.63 3716.37 3748.27 3781. 55 1.53 0.42 1.15 2.16 2.22 3813.57 3845.50 3877.20 3908.55 3937.70 1. 70 2.43 3.52 2.82 1.97 3966.37 3993.56 4019.84 4044.93 4067.41 2.10 3.35 2.42 2.21 2.05 4088.94 4109.04 4127.06 4144.04 4159.81 1.97 1.82 0.58 0.53 0.20 4174.13 4187.70 4200.12 4212.43 4224.72 0.59 0.52 1. 70 1. 96 0.06 4237.22 4249.14 4260.77 4272 .10 4282.98 0.50 1.72 0.99 0.16 0.63 4293.65 4304.89 4316.26 4327.26 4338.18 1.59 1.07 0.65 1.02 1.38 4349.98 4362.45 4375.01 4387.49 4399.77 . . MARATHON Oil Company Pad #3,BC-3Rd Beaver Creek Unit, Kenai Peninsula, Alaska SURVEY LISTING Page 3 Your ref MHO <6433-10005> Last revised 13-Kay-2003 Measured Inc1in Azimuth True Vert R E C T A N G U L AR Dogleg Vert G RID C OORDS Depth Deqrees Deqrees Depth C 0 0 R D I N A T E S Deg/100ft Sect Easting Northing 9950.00 12.40 37.00 8659.54 3096.81N 3133.01E 1.54 4405.20 320499.31 2437007.27 10005.00 12.40 37.00 8713.26 3106.24N 3140.12E 0.00 4416.89 320506.56 2437016.59 All data in feet unless otherwise stated. Calculation uses minimum curvature method. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level) . Bottom hole distance is 4416.91 on azimuth 45.31 degrees from wellhead. Vertical section is from S 0.00 E 0.00 on azimuth 45.17 degrees. Grid is alaska - Zone 4. Grid coordinates in FEET and computed using the Clarke - 1866 spheroid Presented by Baker Hughes INTEQ . MARATHON Oil Company Pad #3,BC-3Rd Beaver Creek Unit, Kenai Peninsula, Alaska . SURVEY LISTING Page 4 Your ref MWD <6433-10005> Last revised : 13-May-2003 MD Rectangular Coords. Comment Comments in wellpath TVD ----------------------------------------------------------------------------------------------------------- 3140.l2E Projection to TO 10005.00 8713.26 3106.24N Target name Geographic Location Targets associated with this wellpath T.V.D. 3291. 43N 3291. 43N Rectangular Coordinates 3255.77E 3255.77E Revised ----------------------------------------------------------------------------------------------------------- Be3 - T Tyonek - 2/1 320625,000,2437200.000,0.0000 BC3 - L Beluga - 2/1 320625.000,2437200.000,0.0000 8709.00 7139.00 19-Feb-2003 19-Feb-2003 · e Alaska Business Unit Marathon Oil Company P.O. Box 196168 Anchorage, AK 99519-6168 Telephone 907/561-5311 Fax 907/564-6489 July 7,2003 Winton Aubert AOGCC 333 West ¡th Ave Suite 100 Anchorage, AK 99501 Dear Mr. Aubert: Subject: BC-3rd Attached is the Application for Sundry Approvals and the accompanying schematic. Marathon Oil Company proposes to fracture stimulate the Belu% completion in well ~ BC-3rd (9515'-9778'). The well will be fractured with 80,000 Ibs of 16/30 Ottawa sand using Super Rheogel. This stimulation is proposed for July 14, 2003. ,/ I will be out of the office until July 14, 2003. If you would like any other information, please contact me at 564-6315 or jgeller@marathonoil.com. Sincerely, ~ ~.C~ ç..."" ~~ J. Gary Eller Production Engineer Enclosure bjv ORIGfNAL '. .,~ e e g:lcmnldrlglbclwellslbc9\AOGCC01,xls VJtiA- 7 l1/1..D03 l))S 7/ ~/3 STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION APPLICATION FOR SUNDRY APPROVALS 1, Type of Request: Abandon Alter Casing Change Approved Program Suspend Operation Shutdown Repair Well Plugging Pull Tubing / 5, Type of Well: Development X Exploratory Stratigraphic Service Variance 2. Name of Operator MARATHON OIL COMPANY 3, Address P. O. Box 196168, Anchorage, AK, 99519-6168 4, Location of Well at Surface ~ ~ . ~, 1227' FNL, 1501' FWL, Sec. 34, T7N,·!t10W, S:M. At top of Productive Interval , . Frac Stimulate / Beluga Pool At Effective Depth At Total Depth 1879' FSL, 639' FEL, Sec. 27, T7N, R10W, S.M. 12, Present Well Condition Summary Total Depth: measured true vertical 10005 feet 8713 feet Plugs (measured) Effective Depth: 9930 feet 9640 feet measured true vertical Junk (measured) Casing Structural Conductor Surface Intermediate Production Liner Perforation Depth: Re-enter Suspended Well Time Extension Stimulate K 1N6. ~ Perforate Other 6, Datum Elevation (DF or KB) 17;9' KB MSL feet 7, Unit or Property Name Beaver Creek Unit 8, Well Number BC-3rd 9. Permit Number 203-044 10, API Number 50-133-20124-01 11, Field/Pool Beaver Creek Field, Beluga CIBP @ 9902' NIA Length Cemented Measured Depth True Vertical Depth 533 13-3/8" 550 sks 533 1569 9-518" 500 sks 1569 6380 7" 985 sks 6380 4356 3-1/2" 764 sks 9999 Beluga: 9515'-9522', 9526'-9544', 9547'-9555', 9588'-9595', 9768'-9778' MD Beluga: 8233'-8240', 8244'-8261', 8264'-8272', 8305'-8312', 8481'-8491' J~i: Size measured true vertical Tubing (size, grade, and measured depth) 3-1/2",9.3#, L-80 to 5643' Packers and SSSV (type and measured depth) Baker ZXP liner top packer at 5643' 13, Attachments Description Summary of Proposal X Detailed Operations Program 14, Estimated Date for Commencing Operation 14-Jul-03 16, If Proposal was Verbally Approved 15, Status of Well Classification as: Oil Gas X Name Approver Date Approved Service 17. 1 he",' rury that the fo",gO;ng~ trus and 00'''''' fo lhe best of my '"owIedgo. Signed C~'1 \\_ Gary Eller Title Production Engineer '-- "- FOR COMMISSION USE ONLY Conditions of Approval: 0 Commission so representative may witness Plug Integrity BOP Test Location Clearance Mechanical Integrity Test Subsequent Form Required 10- -t/-O'7 ::;;:~~:c~ml:~ 0 8 ~ 533 1540 5457 8707 BOP Sketch Suspended Date 7/4/2003 APproval No. ".., I ~r (wi/l..-· ~/~rü--1!q>od) Commissioner Date 7/0 8. .té>3 ~~t in Zp~cate ~- .~.......1..- OR'GJ~'AL. 1/4" OD 0,049" wall Chemical injection string tied into mandrel at 1508' valve 3-1/2" 9,3 ppf L-80 w/ Mod 8 rd tbg Directional Data Float Collar @9,964' Cementing Shoe 0000 ¡Well Name & Number: County or Parish: Perforations (MD) Angle/Perfs I BHP: Dated Completed: e e Beaver Creek Field Beaver Creek #3 Final Schematic ~ 13-3/8" 61 ppf J-55 at 533' cmt with 565 sx 9-5/8" 40 ppf J-55 BTC @ 1569' Cmt'd w/500 sks Cement DV tool at 2034' Top of Baker 7" ZXP Packer/Liner Hanger and 4" PBR @ 5643' 7" 23 ppf L-BO from 0-914' 7" 26 ppf N-BO from 914-6380' Cmt'd w/650 sks Cement in 15t stage. 335 sks in 2nd Beluga Perfs 9515'-9522',3 spf (6/21/03) 9526'-9544',3 spf (6/21/03) 9547'-9555',3 spf (6/21/03) 9588'-9595',3 spf (6/21/03) 9768'-9778', 3 spf (6/21/03) Cast Iron Bridge Plug @ 9902' Liner 3-1/2" 9.2 ppf Hydril563 L-80 from 5643-9,999' Cmt'd w/ lead of 349 sks @ 12,7 ppg and tail of 415 sks @ 15.7 ppg, TD 10,005, TVD 8709' BC3rd I Lease: State/Provo ¡Country: (TVD) . Angle @ KOP and Depth BHT: I I Completion Fluid: · Alaska s.ess Unit , ".. Marathon Oil Company P.O. Box 196168 Anchorage, AK 99519-6168 Telephone 907/561-5311 Fax 907/564-6489 June 27, 2003 Alaska Oil & Gas Conservation Commission Attn: Howard Oakland 333 W. J'h Avenue, Suite 100 Anchorage, AK 99501 Delivered by Courier RE: Marathon Oil Company Beaver Creek #3RD (BCD 3RD) Well Samples CONFIDENTIAL The following CONFIDENTIAL well samples are being forwarded to AOGCC. A listing of the samples is attached. Marathon Oil Company Beaver Creek #3RD (BCD 3RD) .?t~ '3. - C....t 'i Beaver Creek Unit, Kenai Peninsula, Alaska Jo _ f 1 ~ ~ ::t. l 7..,1-( - 0 I Sec. 34, T7N, RlOW, Seward Meridian C API #: 50-133-20124-01 6 Boxes -iÞ /{ ~ t.f When the samples have arrived, please confirm your receipt by signing one copy of this letter and returning to my attention at the letterhead address. Thank you, MARATHON OIL COMPANY k/'- _ Off /' I {a.L1ruÞ'~, Kaynell Zeman . Technical Assistant Receivedby JJ.~j ð~ Date: ~? J~ ~J Attachments o F /~rf-L ,~ . AOGCC June 27, 2003 Page 2 . . Marathon Oil Company Beaver Creek #3RD (BCD 3RD) Beaver Creek Unit, Kenai Peninsula, Alaska Sec. 34, T7N, RlOW, Seward Meridian API#: 50-133-20124-01 6 Boxes Box From To (feet) ~ (feet) 1 ~~37J 7200 2 7200 8190 3 8190 8750 4 8750 9270 5 9270 9680 6 9680 10005 Beaver Creek #3RD Surface Location e e Subject: Beaver Creek #3RD Surface Location Date: Tue, 1 Apr 2003 11:23:10 -0900 From: "Tank, Will" <WJTank@MarathonOil.com> To: <bob_fleckenstein@admin.state.ak.us> CC: "Berga, Pete" <PKBerga@MarathonOil.com>, "Eynon, Don" <DEEynon@MarathonOi1.com>, "Eller, John G." <JGEller@MarathonOi1.com>, "Lambe, Steven S." <SSLambe@MarathonOil.com> ....~...'.". P. art..·. ·.....1......1......1.. ..... -..T..·....y..p.. e.. :.. P....I...a. in......T... e... X. t.. (.t...e.x..tJ. p...¡..~.i.n.·.·.¡.·.ì..· .~.:' ... .... ~ncoding: quoted-pril1table ~ )f1 4/112003 12:10 PM Bob, 4IÞ As per our conversation this morning, our research into the well surface location discr'nCy uncovered a 1992 letter by one of our previous drilling engineers that explains the change in location I submitted in the drilling permit for Beaver Creek #3RD versus your records for Beaver Creek #3. As his letter states, the original survey for the Beaver Creek #3 well would have been done by a surveying method of chaining in from a known marker point several miles away. A more recent survey done by McLane Consulting with modern surveying equipment gives a higher accuracy for the location of the well. The current data is as follows: 1,227' FNL, 1,501' FWL, Section 34, T7N, R10W, Seward Meridian If you have any questions please call me at (907) 564-6310 or email wjtank@marathonoil.com Thank you, Will Tank Senior Drilling Engineer Marathon Oil Company SENT ~Y: HP LASEAJET S150; " .- 252 6700; PAGE 1/2 .p ", ". '~'I .¡, MAY 09 2003 NOON Alaska Oil & Gas Cons. Commission AnchpraQ,e SENT 8Y: . . HP LASERJET 315Q; ~~ 252 6700; 4 PAGE 2/2 v . ~~ ~~JE rnJ F ~ --~~ ~ ~~~ . AI,ASKA. ORAND GAS CONSERVATION COMMISSION FRANK H. MURKOWSKI, GOVERNOR 333 W. 7'" AVENUE, SUITE 100 ANCHORAGE. ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 276-7542 W. J. Tank Senior Drilling Engineer Marathon Oil Company P. O. Box 196168 Anchorage, Alaska 99519-6168 Re: Beaver Creek Unit BC-3RD Marathon Oil Company Permit No: 203-044 Surface Location: 1227' FNL, 1501' FWL, SEe. 34, T7N, R10W, SM Bottomhole Location: 2172' FSL, 413' FEL, SEe. 27, T7N, R10W, SM Dear Mr. Tank: Enclosed is the approved application for permit to redrill the above development well. This permit to redrill 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. 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. Marathon Oil Company 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). Sincerely, . ~~ Randy Ruedrich Commissioner BY ORDER OF THE COMMISSION DATED thi85. day of March, 2003 cc: Department ofFish & Game, Habitat Section w/o encl. Department of Environmental Conservation w/o encl. · 9;\CIlstertingIsU44-10\BC #3RD AOGCC Drilling Permit.xls ALAI. OIL AND ~:~T~g~S~~;A~ON COMMISSION LN4A-- '5/J6/Z-~03 PERMIT TO DRILL 210 AAC 25.005 1a, Type of Work DrillO Re-EntryO 2, Name of Operator MARATHON OIL COMPANY Re-DrillO Deepen [8] 1b, Type of well. ExploratoryO Stratigraphic TestD ServiceD Development Gas[8] Single Zone [8] 5, Datum Elevation (DF or KB) 10, Field and Pool 179' KB feet Beaver Creek I Beluga Development Oil D Multiple zoneD 3, Address P. O. Box 196168, Anchorage, AK 99519-6168 4. Location of Well at Surface 1227'FNL, 1501'FWL, Sec. 34, 7N, 10W, S.M. At top of Productive Interval 1952' FSL, 634' FEL, Sec. 27, T7N, R10W, S.M. At Total Depth 2172'FSL,413'FEL,Sec.27,T7N,R10W, S.M. 12, Distance to Nearest 13, Distance to Nearest Well Property Line(unit boundary) / 500 feet 3300 feet 16, To be Completed for Deviated Wells Kickoff Depth 6,393 feet Maximum Hole Angle 18, Casing Program Size Specifications Hole Casing Weight Grade Coupling 17-1/2" 13-318" 61 J-55 8 rd 12-1/4" 9-5/8" 40 J-55 ST&C 8-5/8" 7" 26-26 N-80 SL & 8rd 6-1/8" 3-1/2" 9.3 L-80 Hydril 3 1/2" 9.3 L-80 8rd 6, Property Designation A-028083 7, Unit or Property Name Beaver Creek Unit 8, Well Numbe~ BC-3RD 9. Approxim~ Spud Date 4/23/03 14, Number of Acres in Property 11, Type Bond (see 20 MC 25,025) Blanket Surety Number 5194234 Amount $200,000 15, Proposed Depth (MD and TVD) / 10254' MD /8709' TVD feet 2560 17, Anticipated Pressure (see 20 MC 25.035 (e) (2)) 45.50 Maximum Surface 3,386 / psig at Total Depth (TVD) 8,709 Setting Depth Top Bottom Quantity of Cement Length MD TVD MD rvD (including stage data) 513 0 0 533' 533 565 sx in place with OKB of 173.4' ", 1548 0 0 1569' 1540 500 sx in place with OKB of 173.4' ~ 6363' 0 0 6380' 5454' 985 sx in place with OKB of 173.4' 4554' 5700' 4916' 10254' 8709' +/- 760 sacks ¡/ 5700' 0 0 5700' 4916' Tie back to surface Beaver Creek well BC-3 will be cleaned out to the 7" casing shoe. BC-3RD will be deepened direction ally to an estimated total depth of 10,254' MD, 8709' TVD, drilling lelow the current TO of the well. The production interval will be cased with 3-1/2" casing, cemented in place as a liner. Marathon's drilling rig will be used to drill and complete this well. The following documents are attached: Drilling Program, Pad drawing, Location Map, Structure Map, Surface use plan, Directional Maps, Mud Pit and Blowout Preventer drawings. 20, Attachments Filing Fee[K Property Plat[K BOP Sketch[8] Drilling Fluid program[RJ Time vs Depth PlotO Refraction Analysis 0 21. I hereby certify that the foregoing is true and correct to the best of my knowledge Diverter Sketch [K Seabed ReportO Drilling Program[8] 20 AAC 25.050 ReqUirementsO Phone: 907-564-6310 ~ Signed W. J. Tank -j£ _ Title Senior Drilling Engineer Commission Use Only Permit Number API Number APproval Date 1 Jsee Cover Letter ¿:ç;,j> - ð '7'" G/ 50--/3 J - 2. ó /:2.. '-I ~ ð J 0.3 / zrí 0'"3 For Other Requirem.:nts Conditions of Approval Samples Required DYes ~No Mud LOg;(eqUired DYes k81 0 ECEIVED Hydrogen Sulfide Measures DYes ~NO Directional Survey Required !2šlYes DNO Required Working Pressure for BOPE D2M D3M D5M D10M D15M Other: T ¿s t- 'ß~ PE ft, ~ S"OO ¡' ~ l' . Date 3/14/2003 MAR 1 4 2003 ::',~:~:,,,,~ ~~ ~ Commissioner Alaska Oii &. Gas Cons. Cúmmíssion by order of AnchoraQEl./ ~ the Commission Date tJ ~ ...<5: Z> 3 Submit i Triplicate GJ- . . MARATHON MARATHON Oil COMPANY DRilliNG PROGRAM Beaver Creek Unit BC #3RD Original 3/14/03 Originator: W.J. Tank ~4- Drilling Superintendent: P.K. Serga Drilling Manager: C.W. Truby Page 1 of 10 · .' Table of Contents General Well Data............................................................................................................................ .......................................3 Geologic Program Summary............................................................................................................................. ......................3 Summary of Potential Drilling Hazards............................................................................................................................... .....3 Formation Evaluation Summary.............................................................................................................................. ................4 Drill ing Program Summary........................................................................................................................ ...............................4 Casing Program....................................................................................................................... ................................................5 Casing Design .............................................................................................................................. ...........................................5 Maximum Anticipated Surface Pressure...................................................................................................................... ...........5 BOPE Program....................................................................................................................... .................................................6 Wellhead Equipment Summary............................................................................................................................. .................7 Directional Program Summary .............................................................................................................................. ..................7 Directional Surveying Summary.......................................................................................................................... ....................8 Drilling Fluid Program Summary............................................................................................................................ ..................8 Drilling Fluid Specifications......................................................................................................................... ........................... ..8 Solids Control Equipment........................................................................................................................ ................................9 Cement Program Summary............ ..................................................................................................................... ....................9 Hydraulics Summary........................ ..................................................................................................................................... .1 0 Formation Integrity Test Procedure .......................................................................................................................................1 0 Page 2 of 10 General Well Data Well Name Surface Location Slot/Pad KB Elev. Ground Level Elev. Perm. Datum Water Depth Water Protection Depth Comments: . . BC #3RD 1,227' FNL, 1,501' FWL, Sec. 34, ?N, 10W, SM / Lease/License DD.02.06056.CAP.DRL 4/23/03 (est.) 50-133-20124 WBS Code Spud Date API No. Well Class Rig Contractor Rig Name pa;t; Field Beaver Creek éÝ/ County/Province Kenai Borough 158 (NGVD29) State / Country Alaska KB Total MD 10254' / N/A Total TVD 8,;09' / Development Glacier Drilling #1 Geologic Program Summary r MD - RKB (ft) 8,635 TVD - RKB (ft) 7,139 Pore P"ssu" I f>o<e p". ssure _ (psi) (P~P g.V7. 5.8 9Y - - ,. Formation I Lower Beluga Primary Target Lithology Sandstone Possible Fluid Content Gas Comments: From Lease/Block Lines Latitude Longitude UTM North (Y) UTM East (x) Tolerance Surface Location Coordinates 1,227' FNL, 1,501' FWL, Sec. 34, 7N, 10W, SM 60039' 29.901" N 1510 l' 5.747"W 2,433,959.65' 317,318.08' Horizontal Depth Displacement (ft) MD TVD N/S EIW Tolerance Target (ft) (ft) Location (Y) (X) (ft) /' 3,145 Circle 200' Lower Beluga 8,635 7,139 1,952' FSL, 634' FEL, Sec. 27, T7N, R10W, S.M. 3,179 radius WellTD 10,254 / 3,399 3,367 Circle 200' 8,709 2,172' FSL, 412' FWL, Sec. 27, T7N, R10W, S.M. radius Comments: Summary of Potential Drilling Hazards Hazard Event Minor coal and/or shale instability in deviated hole Discussion Control with mud weight, coal and clay stabilizers in the mud system. Page 3 of 10 . . Comments: Potential Hazards Statement To comply with state regulations the Potential Hazards section and the well shut-in procedures must be posted in the drillers dog house. The man on the brake (driller or relief driller) is responsible for shutting the well in (BOPE or diverter as applicable) as soon as warning signs of a kick are detected and an influx is suspected or confirmed. A copy of the approved permit to drill must be kept on location and be readily available to the AOGCC or BLM inspector. This well's primary objective is gas and no oil sands are expected to be encountered. No HzS is anticiPated./< Gas sands will be encoupMÍ"~m +/- 6,386(MD (5,462' TVD) to total depth of the well. These sands will run from normal pressured to s~nor~ pressured and lost circulation and differential sticking are potential hazards. The Flo-Pro mud system that will ~d to drill the well will help reduce these risks and lost circulation materials will be on location. No well interference hazards exist. Formation Evaluation Summary Interval LWD Production Quad Combo 6,386' - 10,254' MD Completion N/A Electric Logs Mud Logs Basic with GCA, shale density, temperature in and out, __sample collection (10' samples). N/A None GR, CCL Coring Requirements: None Comments: Drillina Proaram Summary PRODUCTION (Deepening Existing Well): 1. Once initial abandonment work is complete, TIH with 6 1/8" mill tooth bit, junk basket, and HWDP. Drill out cement and 2 cement retainers inside 7" casi~ Drill out shoe joint and casing shoe at 6,386' MD (Glacier KB). Retest casing and all perforations to EMW of 14 ppg. TOOH with bit and BHA. /' 2. PU bit, motor and directional BHA. Orient motor and drill 20' of new formation to 6,406' MD. Perform leak off test. Anticipated fracture gradient is EMW 13.6 ppg. ./ 3. Drill a 6 1/8" hole to 10,254' MD (8,709' TVD) per the directional program. A bit change is anticipated once the conglomerate is drilled at 8,028' - 8,713' MD. Short trip as necessary. At TD, circulate the hole clean. Short trip to shoe. TIH and circulate the hole clean. POOH, laying down 5" HWDP. 4. PU LWD tools and TIH. Log open hole section on MAD pass. Circulate hole clean. TOOH and laydown BHA. Pull wear ~~~. / 5. Change out single pipe ram with 3 1/2" pipe rams. Run test plug and test pipe rams to 250/3,500 psi. 6. Run 3 1/2" Hydril563 casing liner with hanger and liner hanger packer on drill pipe to TD. On bottom reciprocate liner while circulating the hole. Set liner hanger. Cement casing as per the attached cementing program, while rotating liner, displacing cement with gelled KCI. Ensure circulation of cement to above top of liner. Bump plug with 500 psi over displacement pressure. 7. Set liner hanger packer, disconnect from liner, circulate hole clean. TOOH. 8. Make cleanout trip with 6 1/8" bit on drill pipe. TOOH laying down. 9. Run 3 1/2" tubing with seal unit. Space out tubing and land hanger. ND BOP, NU tree and test to 5,000 psi. 10. Rig down and move out drilling rig. Page 4 of 10 . COMPLETION: Completion will be done without a rig. Casina Proaram MD (ft) Casing Size Weight (in) Top Bottom (lbs/ft) 13 3/8 Surface 539~_j 61 95/8 Surface 1,575 40 7 Surface 6,386 23 / 26 31/2 5,700 10,254 9.3 Comments: Casina Desian Casing Setting Size Weight Depth (in) (Ib/tt) Grade (TVD) 133/8 61 J-55 539 95/8 40 J-55 1,546 7 23 / 26 N-80 5,462 31/2 9.3 L-80 8,709 Comments: Maximum Anticipated Surface Pressure Casing Size (in) 133/8 Setting Depth TVD (ft) 539 MAWP * MASP ** Mud/Gas (psi) (psi) Ratio Not Applicable, 13 3/8" Surface is already in place. Connection Makeup O.D. Torque Grade Type (in) (tt-Ibs) J-55 8rd 14.375 5,950 J-55 ST&C 10.625 4,520 N-80 / Seal Lock/8rd 7.656 4,420 L-80 Hydril 563 4.250 2,800 Casing Shoe Mud Wt When Set (Ib/gal) . API Ratings ( ) c - ~:=-- 0 íiì ~ ë¡; rn VI ë¡; c. Hole Size :J -9: = c. c g !II o ~ ( ) (in) ü I- 17.50 3,o~rMO 595 12.25 3,950 2,570 452 8.625 6,340 3,830 442 6.125 10,160 10,540 207 Frac. Grad (Ib/gal) Form Maximum Surface Press Pressure Safety Factors ( ) c VI c. 0 .... .!!! ë¡; ~ õ C :J ( ) !II Ü I- (Ib/gal) (psi) Existing Casing String Existing Casing String 8.1 I ~ 10.5 10.0 13.6 13.9 9 5/8 ~J Not Applicable, 9 5/8" Intermediate is already in place. 3 :12 6r.' :::: / :::: :::: * MAWP = Maximum anticipated wellhead pressure ** MASP = Maximum anticipated surface pressure Comments: Page 5 of 10 3,386 3,386 1.98 1.30 /' 1.82 2.27 3.85 1.50 . MASP CALCULATIONS: Intermediate casing: 7" (6,386' MO, 5,462' TVD) MASP -~E. ation pressure - Hydrostatic pressure of gas column. MASP 9. ppg x .052 x 8,709' - (.1 x 8,709') MASP = ,257 psi - 871 psi MASP = 3,386 psi Production casing: 3 1/2" (10,254' MD, 8,709' TVD) MASP æ- F ation pressure - Hydrostatic pressure of gas column. MASP - 9.#pg x .052 x 8,709' - (.1 x 8,709') MASP .(257 psi - 871 psi MASP = 3,386 psi / BOPE Program Casing Casing Size (in) I MAWP (psi) MASP (psi) h::asing Test Test I Fluid Press Density (psi) (Ib/gal) Intermediate 7 3,386 3,386 3,500 9.5 Production 31/2 3,386 3,386 3,500 10.0 l Comments: Blowout Preventers . BOPS Size & Rating (1) 13-5/8" 5M annular (1) 13-5/8" 5M pipe ram (1) 13 5/8" 5M blind ram (1) 13-5/8" 5M drilling spool with 3-1/8" 5M outlets (1) 13-5/8" 5M pipe ram (1) 13-5/8" 5M annular (1) 13-5/8" 5M pipe ram (1) 135/8" 5M blind ram (1) 13-5/8" 5M drilling spool with 3-1/8" 5M outlets (1) 13-5/8" 5M pipe ram Test Pressure Low/High (psi) 25013,500/ 250/3,500/' The blowout preventer stack will consist of a 13-5/8" x 5000 psi annular preventer, a 13-5/8" x 5000 psi double gate ram type preventer with blind rams in the bottom and pipe rams in the top, a 13-5/8" x 5000 psi drilling spool (mud cross) with 3-118" x 5000 psi outlets, and a 13-5/8" x 5000 psi single pipe ram. The choke manifold will be rated 3-1/8" x 5000 psi. It will include a remote hydraulic actuated choke and a hand adjustable choke. Also included is a poor-boy gas buster, and a vacuum-type degasser. A flow sensor will be installed in the flowline and the mud pits will contain sensors to measure the volume of fluid in the surface mud system. Both sensors will contain readouts convenient to the drillers console. Page 6 of 10 . . Casing Test Pressures Casing test pressures are based on the lesser of (1) MASP, or (2) 70% of rated burst pressure of the casing adjusted for the mud weight used during the test less a 8.3 ppg back-up unless otherwise noted. Wellhead Equipment Summary C Component~ ~ead (A-Section) 13-5/8" 3M X 13-3/8" SOW Casing Spool (B-Section) 11" 5M top X 13-518" 3M bottom, W/2, 2-1/16" 5M Studded Outlets /' ;/ . - I 7-1/16" 5M ;op X 11" ~bottom, W/~, 2-1/16" 5M Studded Outlets ~dapter Flange ==t2--1/16" 5~ X 3-1/8" 5M W/1/4" Control Line Prep Cas'". Hang" Type l No information No information 6" 8rd x 3 1/2" 8rd with 3" H BPV Threads ~ Description Tubing Head Comments: Directional Program Summary Build Turn Coordinates Sec. MD TVD Rate Rate Dogleg Inclination Azimuth N/S EIW VS No. Description (ft) (ft) (°/100') ("/100') (°/100') (deg) (deg) (ft) (ft) (ft) Tie On (Orig. TD) 6,393 ./ 5,467 0 0 0 38 47 2,139 2,096 2,995 3 Build up Section 4.94 -1.20 5 4 End of Build 6,545.75 5,581.04 4.94 -1.20 5 45.54 45.17 2,209.45 2,169.50 3,096.50 5 Hold Section 0 0 0 45.54 45.17 6 End of Hold 7,707.67 6,394.85 0 0 0 45.54 45.17 2,794.09 2,757.70 3,925.79 7 Drop Section -2.00 0 2 45.18 8 End of Drop to the 9,984.17 8,439.59 -2.00 0 2 0 45,18 3,399.09 3,366.49 4,784.04 Target / 9 TO 10,254.12 8,709 0 0 0 0 45.18 3,399.09 3,366.49 4,784.04 Comments: Vertical section calculated from a reference azimuth of 44.69° taken from surface location to bottom hole location. Potential Wefllnterference: / Well BC #10 BC #11 BC#5 BC#6 BC#9 Distance (ft) 1,917.2 2,304.9 2,971.0 2,972.1 4,394.3 Depth (MD) 6,393 6,393 (PLANNED WELL) 6,393 6,393 6,393 No serious interference exists. Closest distances exist well above the 7" casing shoe for this well. See attached directional plan and anticollision analysis for more details. Page 7 of 10 . " ;§ o o o ~ i ¡:¡ 0; u 1; > ~ Vertical Section at 45.17° [3000ft/in] Directional Surveying Summary I Interval + MWD Survey +Magnetic Multishot 6,393' -10,254' X - - Comments: Drilling Fluid Program Summary Interval - TVD From To Density (ft) (ft) (Ib/gal) 0 5,467 8.6 - 9.0 5,467 8,709 92-fi Fluid Description 6% KCI with Gel Sweeps 6% Flo-Pro wI Safecarb Comments: . "2 ~ § 1:!. +' f ~ :c: ::; o '" West(-)/East(+) [2000ft/in] Gyro Multishot I=- - ~ Comments Tie into existing gyro survey. Additives Gel, Soda Ash, Barite, Sodium Bicarbonate Flo-Vis, DualFlo, KGt, Greencide 25G, SafeCarb F, Ventrol 401, Barite, Caustic, Conqor 40_4, SafeScav NA Minimum Inventory Gel Viscosifier Barite Drilling Fluid Specifications See mud prognosis for details. Sized CaC03 (SafeCarb) will be used to controlleakoff into the low pressure zones. Interval - TVD LSRV From To Density Vis 1 min PV YP Fluid Loss MBT (ft) (ft) (Ib/gal) (seclqt) (lb.l100tf) (cP) (lb/100 ft) (cc) pH (lb/bbl) 0 5,467 66 -¡¡; As needed 2 - 10 As needed N/A 5.467 8,709 9.2 -¿Oß 40,000 10 - 14 6-8 9.0 - 9.5 < 7.5 Comments: Page 8 of 10 . Solids Control EQuipment . c: 0 a¡ L- ~ L- a¡ C) a¡ ~ a¡ æ c: a¡ 0 ï:: .>= Ii> co C) 0 '0 L- a¡ .2 (/) (/) (/) Ii> :ê ü C) C) i5 c ";:: c: :§ .>c: co ëi5 '0 'E E 0 co (/) 'S Ii> .>= a¡ a¡ ~ a¡ =' Interval (J) 0 0 ~ u u U N Comments 0-10,254' MD X X X X Closed Loop System, Full Containment Equipment Specifications (quantity, design type, brand, model, flow capacity, etc) Item Shaker 2 - Derrick ModeI2E48-90F-3TA Desander N/A Desilter 1 - Derrick Model 0522 Mud Cleaner N/A Centrifuge 2 - MIISwaco units Cuttings Dryer N/A Cuttings Injection Marathon G&I Facility Zero Discharge N/A Comments: The solids control equipment will consist of two flowline cleaners, a desilter, and the MI centrifuge van. Included will be equipment to de-water the underflow from the mud processing equipment to allow for disposal of the cuttings and solids by slurrification and injection into the disposal well at the KGF. Cement Proaram Summary Depth Gauge Top of Cement Casing Hole Size MD TVD Size MD TVD (in) (ft) (ft) (in) (ft) / (ft) 31/2 5,700 10,254 6.125 5,700 4,916 Casing Size (in) Slurry Lead Cement Description Class "G" Density Qty Yield (Ib/gal) (§¡()ì (ft%x) 12.76l~49" 1.79 I l 15.70 (/1 1.18 31/2 Tail Class "G" Comments: See cement prognosis for details and spacer specifications. Page 9 of 10 Open Ann Vol Slurry WOC Hole To TOC Vol Time Excess (ft3) (ft3) (hrs) (%) 877 1,112 N/A 30 Mix Water Compressive Slurry TOC Strength Vol MD Qty WL FW (psi) (ft3) (ft) (gal/sx) Type (cc) (%) 12 hr 24 hr 625 5,700 5.80 Fresh 8 0 300 3,753 490 4.02 Fresh 0 . . Hydraulics Summary Rig mud pumps available are shown below. Max Press @ Displacement @ Liner ID Stroke 90% WP 95% eff Max Rate Hole Sections Used Qty Make Model (in) (in) (psi) (gal/stroke) (spm/gpm) On - National Oil 5 8 2,597 2.04 175/357 Inter & Prod Hole 3 A600PT Well 5.5 8 2,147 2.47 175/432 Surface Hole Tabulated below are the expected flow rates, standpipe pressures and nozzle sizes for each hole section. Depth-MD (ft) 6,386 - 10,254 Hole Size (in) 6.125 Pump Rate (gpm) 295 / Standpipe Pressure (psi) 2,100 Min AV (fpm) 336 ECD (Ib/gal) Nozzle Size (32"s) 3 - 15's Remarks Actual Data from Abalone #1 Comments: Formation Intearity Test Procedure Su~ and Intermediate casing shoes will be tested to Leak-off. Prior to drilling out of casing strings, test BOPs and casing to the Sífecified pressure fisted in the BOP Program section. Plot test and record volume required on the drilling report. /"'. Leak-off tests (LOT) are to be conducted as described below: 1. Drill 20' to 25' of new formation below the casing shoe and condition the mud to the same properties in and out. 2. Pull drill string into the casing shoe and close ram preventer, and line up to the choke manifold with a closed choke. 3. Begin slowly pumping fluid down the drill string at 1/2 bpm while recording casing and drillpipe pressures at 1/2 bbl intervals. A running plot of pressure versus volume should be kept by the drilling foreman while the test is in progress. 4. Stop pumping when the pressure curve departs form a straight line sufficiently to indicate leakage into the formation. Record as ppg equivalent mud density in the IADC and morning reports. 5. Monitor and plot pressure drop and time after shut-in for 10 minutes or until the shut-in pressure stabilizes. Page 10 of 10 . Marathon Oil Well BC-3rd BOP Stack I Flow Nipple I - . 113 5/8" 5M Annular ¡ Preventer .. ~ r ') 113 5/8" 5M Double I ¡- Ram Preventer L- -----. 121/16"5M C Check Valve 121/16" 5M Manually I \ Operated Valves I > ~~ L" []I[]]][]I0IIIII01IJw lEnD 13518"5MCross I ~:: r Pipe Ram I I Blind Ram I 113 5/8" 5M Single Ram Preventer c ~ " -1/ " \. I Pipe Ram I 13 518 5M Flange UP by - 7 1/16" 5M Studs Down < I /1 Jf ¡Choke Im[]I@IOITI0IIJ t ~ I I < "- I I < . I Flow Line I I ~ ~ ~ /' ./ 131/8" 5M Hydraulically I Operated Valve /' 13 1/8" 5M Manually I Operated Valve Bottom of Single gate mu: ,_ 24-45" from ground level 1 Glacier 1 rig placement. í~ 171/16" 5M Tubing Head Flar < . Marathon Oil Well BC-3RD Choke Manifold . t ITO Blooey Line I ~ ç:=:::;1 [ ~J B ~ ~ Ol@[1~Ol@[1QØr '\ I B IT 13"5MValve. I ~ I i I lJ I Bleed off Line to Shakers ~ ç:=:::;1 [" ~ t::::::J ~ ITa Gas Buster ~ ç:=:::;1 ~J ~ g ~ " I 2 9/16" 10M Swaco Hydraulically Operated Choke 131/8" 5M Manually Adjustable Choke I From BOP Stack . . Surface Use Plan for Beaver Creek #3RD Surface location: 1227'FNL, 1501'FVVL, Sec. 34, T7N, R10VV, S.M. 1) Existing Roads Existing roads which will be used for access to Beaver Creek #3RD are shown on the attached map. Kenai, Alaska is the nearest town to the site and is also shown on the map. 2) Access Roads to be Constructed or Reconstructed No new roads will be required to access Beaver Creek #3RD. 3) Location of existing wells VVell Beaver Creek #3RD will be deepened from the existing well Beaver Creek #3 on pad 3. A pad drawing is enclosed that shows existing wells and the location of Beaver Creek #3. 4) Location of existing andlor proposed facilities The locations of existing production facilities are shown on the enclosed pad drawing. These facilities will be upgraded to handle the additional gas production. 5) Location of Water Supply A water supply well exists on the pad that Beaver Creek #3RD will be drilled from. This is shown on the pad drawing. 6) Construction Materials No construction is planned on the pad. If the pad requires minor leveling, the sand and gravel will be obtained from the approved gravel pit in the SVV/4, NE/4, Sec. 5 T6N, R10VV, S.M. Other materials will be obtained from various vendors and suppliers in Alaska. 7) Methods of handling waste disposal; a) Mud and Cuttings Cuttings will be dewatered on location. The cuttings and excess mud will be hauled to Pad 41-18 of the Kenai Gas Field for disposal into VVell KU 24-7, a Class II disposal well (AOGCC Disposal Injection Order No.9, Permit #81-176). b) Garbage All household and approved industrial garbage will be hauled to the Kenai Peninsula Borough Soldotna Landfill. c) Completion Fluids Clear fluids will be injected into approved disposal wells Beaver Creek # 2 (Alaska Oil and Gas Conservation Commission Disposal Injection Order No.4) or hauled to Pad 34- 31 of the Kenai Gas field and injected in VVell VVD #1, an approved disposal well (AOGCC Permit #7-194). . . d) Chemicals Unused chemicals will be returned to the vendors that provided them. Efforts will be made to minimize the use of all chemicals. e) Sewage Sewage will be hauled to the Kenai sanitation facility. 8) Ancillary Facilities A minimal camp will be established on the pad to house various supervisory and service company personnel. Approximately four trailer house type structures will be required for this purpose. Bottled water will be used for human consumption. Potable water will be obtained from the existing water well on the pad. Sand R will collect and transport sanitary wastes to their ADEC approved disposal facility. 9) Plans for reclamation of the surface Beaver Creek #3RD will be drilled from an existing pad. Reclamation of the pad will occur after the abandonment of Beaver Creek #3RD and the other existing wells on the pad. Approval of the plan of reclamation will be obtained from the U.S. Fish and Wildlife Service prior to any reclamation work beginning. 10) Surface ownership The surface owner of the land in the Beaver Creek Unit is the U.S. Fish and Wildlife Service. The minerals are under the jurisdiction of the U.S. Bureau of Land Management. 11) Operator's Representative and Certification I hereby certify that I, or persons under my direct supervision, have inspected the proposed drill site and access route; that I am familiar with the conditions that currently exist; that the statements made in this plan are, to the best of my knowledge, true and correct; and that the work associated with operations proposed herein will be performed by Marathon Oil Company and its contractors and subcontractors in conformity with this plan and the terms and conditions under which it is approved. This statement is subject to the provisions of 18 U.S.C. 1001 for the filing of a false statement. Date 3/11~3 ø)k/ fr~ Name and Title: Willard J. Tank, Senior Drilling Engineer Marathon Oil Company P.O. Box 196168 Anchorage, Alaska 99519-6168 (907) 564-6319 I I I I , " " -- -- -- -- -- -- -- -- -- -- ~--- -- -- I ", , -- / ---- / -- / ---------- ~ ABBREVIA TIONS: O,H,E. = OVERHEAD ELECTRIC O,H, P Iw = OVERHEAD PIPEWA Y ¿; :2 5 :>: ID ! '" c ¡¡¡ ::E :>: ID iii ~ C ê:> '" I . ~ !i! N ~ :J: ê:> '" I . ~ ~ ..., ~ - - o ... I:J :J: en + X=316.217,57 Y=2.434.004,64 + o o Ó o en W ;;; x + W Y 2.433,800,00 Y 2.434.200,00 796, X=317,010,97 Y=2,433.938,95 24' ACCESS ROAD . " I I I I I I \ ) / / / / / / / / / / / "- " " " " / / / / / / , 1,8' x ,METER E / -----./3,0· x 4,0' + CONCRETE PAD WI CON'TROL PANEL TOE OF BERM I \ I P AD LIMITS '/ I I I I I I I I I I I TOE OF BERM PAD LIMITS C,P, #2 X=317,174.00 Y=2,434.038,87 ELEV.=163,92' . -------...... ,- , / , / " / , ( " I " I , / / / / / / / ( / / / ( ( ( / ( / / / / / / / , BERM - - - - - - - - - - - - - -- - - - , " " " " " " , , I / . I I I I I I I ¡ I I I I / / / / / / / / / I I I I / / / / / / / ( / / / / / / / ( / I / / I I / I + + + o o Ó o If) ,..: ;;; x 1, ELEVATIONS AT THE TOP OF PIPES FOR MONITORING WELLS TAKEN WITH COVER OFF OR OPEN. 2. REFERENCE DATUM'S NAVD 88 FOR ELEVATIONS SHOWN BASED ON NGS MONUMENT D 81, 3. ALL BEARINGS ARE GRID UNLESS NOTED OTHERWISE. 4. BASIS OF COORDINATES IS CONTINUOUSLY OPERATING REFERENCE STATION KEN 1, IN A.s.P, ZONE 4, (NAD 27) 5, KEN 1 LOCATION: LAT: 6D"40'32,315"N LONG: 151 "20'52,519"W X = 258,310.40 Y = 2,441,:\60.73 fi ~ (/ 29 ~:~ ~~. J SCALE: 1" = (fJ . ~ -() ¢ @ e 1><1 -0 + o & [J) GLo/BLM MONUMENT FOUND THIS SURVEY FOUND r REBAR wi ALCAP SET r~EBAR wi ALCAP FOUND SURVEY MONUMENT OF RECORD POWER POLE LI GH T POLE EXISTING WELL CHRISTMAS TREE MONITOR WELL VALVE PIPING CONTINUES UNDERGROUND ELECTRICAL JUNCTION BOX SEPTIC VENT ¿; LEGEND NOTES 11 1) ~ ~'3~~1J' PÞD 34 ~ ~ rm TeN ~PÞD NO. 2 .~á- 2 "<fY 0 0 VICINITY MAP ," - 2. MILES 10 Q 27 ~ ~ ! Ii: ~ )I \0 \0 )I )I " ~ ~ Z ~ o o ~ o m m \0 <t X o m o [l, I!! "" C ~ '" )0- lD ",-'\.\\\- _-~ Of A(1;.~, .:t¡.'t- ..Ty'" :* 49l1i *~ ~ ,. ,. ~ ~I!. M.f1Ol1fT_!:: "';\. --. .r ß 'I, ~I~V-:""'- .,\\\"".... ~ F IL ~ '" c >C!f) ZQ CC a. a. :Een OC u(:) ...~ -w Ow ZI:II:: Ou :1:1:1I:: I-W =~ Cw :Em c.. ::J "" So... \J I:rI I:rI .~ s::: +-' :g ~ ~ l- s::: "" \.) ~s::: J \) 2' (' ò z >- ~ w- > III:: ::) en I- ... - ::) a:I . :l Q cc a. on '" ¡;; 5 "'''' ~~ ~~ GiG; "'''' ...... ¡Hi aa ~~ N~ ,...... N_ N_ ::E 5 U1 \0 N I'J I'J m N I' o )I x ~ u. m N <t I'J m N I' o )I ~ w - ~ S! .,; ~ N ,;¿ ~ ~ ¡¡: :5 ~ c I:; I Õ Ò z 8 ID 9 '" ¡¡: - " .. ; . ') VICINITY MAP SEC 34 T7N R tOW SM Drlllslta "Ò 8000 SCA"'E IN FEET \ SEC. 4 ~" BCU 10 ,ltu 11" -S.CU Q ~~~~ ....... 1°. .:~~. ~ N PAD 3 , SE~. 33 SEC. 34 SEAVER LAKE '. Merathon 011 Comøany Road -. \ " " t"Q~_.Y--. /' . ~ 8E,,"ER PAD 2 SEC. 3 'PAD 7 " 1000 2000 I PROPOSED LOCATION FORt BCi.i 1'(j ON: PAD 3 AT: BEAVER CREEK PRODUCTION FACILITY IN: PAD 3 KENAI PENINSULA BOUROUGH. AK. . APPLlCA TION BY: MARATHON OIL COMPANY PURPOS.E: DRILL & COMPLETE BCU 10 ADJACENT PROPERTY OWNER,S PLAN VIEW , ""0 SCALE IN FEET .' !<EN"Å'I NA TlONAL WILDLIFE REFUGE . .' MARÀ THaN OIC <:öMPA.NY P.O. BOX 19;Q16B ANCHO'RAGE,'AK. 9951"9 ---------.-:-- \~,a;W> )t:,.." \~/~ ~-""~- 5 ,0::10:: 0 ~. I ,,\0 , 60~30' " '. I: ,<" 151°Ö7'30" 300000 FEET HOMEcR 78 MI. ~~ Mapped; edited, and published by the Geological Survey V Control by USCE Topography by photogrammetrlc methods from aerial photographs , taken 1950. Cuture revised In part from aerial photographs Fiald annotated 1980. Map not field checked Projection and lOOO-meter grid ticks: Universal Transverse Mercator, zone 4 1O,000-foot grid ticks based on Alaska coordinate system, zone 5, 1927 North American datum , G;ay land lines represent unsurveyed and unmarked locations 'predetermined by the Bureau of Land Management ' Folio S-16, Seward Meridian, ,swamps,' as portrayed, Indicate only the wetter areas, usually of low relief, as interpreted from aerial photographs To place on the predicted North American Datum 1983 move the projection lines 67 meters north and 121 meters east There may be private inholdings within the boundaries of the, National or State reservations shown on this map .~~ ,:~t .') 2ft:, 4d:.:...r' ,../(: . ';\:'::~:...... ..~... ..... ....;: ...:.:.:... 1'.6 N, .t:;" "1 6 35' == - :::,:25 o --. 3000 SCAlE'l:63360 1 2' ,J ( 6000 9000 ,12000 15000 - --í '-- --... 2 3 , f 4 MILES '" :-'_.1 3000 ..... - o ,5 . 0 18000 - 21000 FEET ----_1 '5 KILOMETERS , UTN GRID AND 1980 MAGNETIC HORTH DECLINATION AT'!:£NTER OF SHEET CONTOUR INTERVAL 50 f~ET OOTTEO UNES REPRESENT 25·FOOT CONTOURS NATIONAl. GEOOETICVERTICAL' CATUM OF'1929 . ~ALASM . f 0. - (þ ~1'...... ". >.'1' ........... . QUADRANGLE LOCATION FOR SAlE BY U. S. GEOLOGICAL SURVEY FAIRBANKS; ALASKA 99701, DENVER, COLORADO 80225, OR RESTON, YIRGINiA 22092 A FOLDER DESCRIBING' TOPOGRAPHIC' MAPS AND SYMBOLS IS AVAILABLE ON REQUEST 20 21 22 23 Beaver Creek Unit Depth Structure Map BCU 8 C.!. 100' Beluga B-23 Sand 29 26 T7N-R10W I 5 T6N-R10W 32 8 9- 10 35 _<1>"" 2 MARATHON OIL COMPANY ALASKA REGION BEAVER CREEK KENAI, ALASKA 11 NET W.I. : 100% March 2003 .. WrY r-----' t / e:~ '4" X 1~ / . / ." I '. I . I · DUfP I t -, I 1 t", I I . L._....__j . -, .14"" J~ . ' 'I ~.YXI2' ~ ~ 1 k {,," ,,- GLACIER, DRILLING RIG #1 MUD PITS AND PU,MP ROOM LAYOUT 15HP 7S1P 7511' 6XS , 6X5 '6 X 5 '. 21-, 11· 11- -~ :41 2 .. .. .. t ; 1_.2 . re '- .~' fill 11ÏUH , . ,.1« .. .. I, ,~ ./ f / L__ _______ .. I j I I / I r J , I .__ . t, ...., t' . ~ I'~ ,~ , ~ " " I ....-- I · · _ 'ØIIIIIt . l-----{ ~-----" r . .. . I t L__.J U J f.. . 1 t f . r--' Q f I r l .,. r ,.. "t I .. .. r ~r I 11 , Æ .,., III. t !:It,'J ~ .. I , c I I It 1 1 :z: f' II J I .,. ¡ 'f" I· If' J ¥ t I h , · ,II I I Ii I _..b=~=":'d__,L___-..Jt .,. ..."~ ...'" I ... \.J . ."oJ I 13- J 4 4. ''"'L ' . . 115' ,. o ..1 , .. 5V 9L ~.:: ~ PT '" .. 75f1i ~ 6 X :5 ~ ; U" - ~ ~- ". .1 I " '. I . .. .. . . I ~ J a.. .J ·.1IGITI1IIt .,.... "1 '. . . SW 9l .,A-680 PT ~ rx 111 ..... . ,C .. ....r %. .~~ %' œ·· .. ". . . /, I I I I I I I I j I I I I I I 'I". t " I . .' T ',' - -1' , ~.." . J, - . I .. "'P-I.L PØ' ,/ 14''''' ~ ~ ~, J.:r:.1 ~"" "', . .. . . . , r .j , ' ., . . , 13"~ . I " 0 500 1000 1500 2000 25DO 3DDO '-./ 3500 400D 0 0 4500 - '- ( ) > 5000 ( ) :::¡ '- I- 550D 6000 6500 7000 7500 8000 8500 900D 50D 500 Structure: Pod #3 Fîeld Beaver Creek Unit 400 ***Pione of Proposol*** TRUE TANGENT 45.54 DEG DLS: 2.00 deg per 100 Lower ugo TOD I~i 100D 1500 2000 2500 Well: BC-3Rd Location: Kenai Peninsula, AJasko East ( 400 800 1200 Vertical Section ( I ~-1_L------L-.- - a -> 1600 200D 3200 3600 3600 Lower 3200 28DO - 2400 ^ - 2000 I ,1600 1- of of DLS: 2.00 deg perl 00 8.00 4.00 of nek r9 3000 35DO 4000 4500 Azimuth 45.17 with reference 0.00 N, 0.00 E from slot #3A '-.. -/ 240D 2800 WELL PROFI 800 400 : L 40D 5000 . . MARATHON Oil Company Pad #3 BC-3Rd slot #3A Beaver Creek Unit Kenai Peninsula, Alaska PRO P 0 S ALL 1ST I N G by Baker Hughes IN'l'EQ Your ref BC-3Rd Version 2 Our ref prop5393 License Date printed 25-Feb-2003 Date created 19-Feb-2003 Last revised 25-Feb-2003 Field is centred on n60 38 50.050,w150 59 49.92 Structure is centred on n60 38 50.050,w150 59 49.92 Slot location is n60 39 29.890,w151 1 5.710 Slot Grid coordinates are N 2433958.540, E 317319.887 Slot local coordinates are 4046.24 N 3777.46 W Projection type: alaska - Zone 4, Spheroid: Clarke - 1866 Reference North is True North . . MARATHON Oil Company PROPOSAL LISTING Page 1 Pad #3,BC-3Rd Your ref BC-3Rd Version 2 Beaver Creek Unit,Kenai Peninsula, Alaska Last revised : 25-Feb-2003 Measured Inclin. Azimuth True Vert RECTANGULAR Dogleg Vert Depth Degrees Degrees Depth COORDINATES Deg/100ft Sect 6393.00 38.00 47.00 5467.19 2138.85 N 2096.34 E 0.00 2994.85 KOP 6400.00 38.34 46.90 5472.69 2141. 80 N 2099.50 E 5.00 2999.17 6500.00 43.28 45.67 5548.36 2186.98 N 2146.70 E 5.00 3064.48 6545.75 45.54 45.17 5581.04 2209.45 N 2169.50 E 5.00 3096.50 End of Build/Turn 7000.00 45.54 45.17 5899.19 2438.01 N 2399.46 E 0.00 3420.70 7500.00 45.54 45.17 6249.39 2689.59 N 2652.57 E 0.00 3777.57 7707.67 45.54 45.17 6394.85 2794.09 N 2757.70 E 0.00 3925.79 End of Hold 7800.00 43.69 45.17 6460.57 2839.80 N 2803.69 E 2.00 3990.63 7900.00 41.69 45.18 6534.06 2887.60 N 2851. 78 E 2.00 4058.43 8000.00 39.69 45.18 6609.88 2933.56 N 2898.03 E 2.00 4123.63 8100.00 37.69 45.18 6687.92 2977.63 N 2942.36 E 2.00 4186.14 8200.00 35.69 45.18 6768.10 3019.75 N 2984,75 E 2.00 4245.89 8300.00 33.69 45.18 6850.32 3059.87 N 3025.12 E 2.00 4302.80 8400.00 31.69 45.18 6934.47 3097.94 N 3063.43 E 2.00 4356.81 8500.00 29.69 45.18 7020.46 3133.92 N 3099.63 E 2.00 4407.86 8600.00 27.69 45.18 7108.17 3167.76 N 3133.69 E 2.00 4455.86 8627.63 27.14 45.18 7132.70 3176.73 N 3142.71 E 2.00 4468.59 Lower Beluga Target 8634.71 27.00 45.18 7139.00 3179.00 N 3145.00 E 2.00 4471.81 8684.71 26.00 45.18 7183.75 3194.73 N 3160.83 E 2.00 4494.12 8784.71 24.00 45.18 7274.37 3224.51 N 3190.80 E 2.00 4536.37 8884.71 22.00 45.18 7366.42 3252.05 N 3218.52 E 2.00 4575.44 8984.71 20.00 45.18 7459.77 3277.31 N 3243.94 E 2.00 4611.28 9084.71 18.00 45.18 7554.32 3300.26 N 3267.03 E 2.00 4643.83 9184.71 16.00 45.18 7649.94 3320.86 N 3287.77 E 2.00 4673.07 9284.71 14.00 45.18 7746.53 3339.11 N 3306.13 E 2.00 4698.95 9384.71 12.00 45.18 7843.96 3354.96 N 3322.08 E 2.00 4721.44 9484.71 10.00 45.18 7942.12 3368.41 N 3335.62 E 2.00 4740.52 9584 . 71 8.00 45.18 8040.89 3379.44 N 3346.71 E 2.00 4756.16 9684.71 6.00 45.18 8140.13 3388.03 N 3355.36 E 2.00 4768.35 9784.71 4.00 45.18 8239.75 3394.17 N 3361.54 E 2.00 4777.06 9884.71 2.00 45.18 8339.61 3397.86 N 3365.25 E 2.00 4782.29 9984.71 0.00 45.18 8439.59 3399.09 N 3366.49 E 2.00 4784.04 End of Drop 10000.00 0.00 45.18 8454.88 3399.09 N 3366.49 E 0.00 4784.04 10247.82 0.00 45.18 8702.70 3399.09 N 3366.49 E 0.00 4784.04 Top Tyonek Target/TD 10254.12 0.00 45.18 8709.00 3399.09 N 3366.49 E 0.00 4784.04 All data is in feet unless otherwise stated. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level) . Bottom hole distance is 4784.04 on azimuth 44.72 degrees from wellhead. Total Dogleg for wellpath is 53.18 degrees. Vertical section is from wellhead on azimuth 44.69 degrees. Calculation uses the minimum curvature method. Presented by Baker Hughes INTEQ . MARATHON Oil Company Pad #3,BC-3Rd Beaver Creek Unit,Kenai Peninsula, ~aska MD TVD Rectangular Coords. . PROPOSAL LISTING Page 2 Your ref BC-3Rd Version 2 Last revised : 25-Feb-2003 Comments in wellpath Comment ----------------------------------------------------------------------------------------------------------- 6393.00 6545.75 7707.67 8627.63 9984.71 10247.82 Target name 5467.19 5581.04 6394.85 7132.70 8439.59 8702.70 2138.85 N 2209.45 N 2794.09 N 3176.73 N 3399.09 N 3399.09 N 2096.34 E 2169.50 E 2757.70 E 3142.71 E 3366.49 E 3366.49 E KOP End of BUild/Turn End of Hold Lower Beluga Target End of Drop Top Tyonek Target/TD Targets associated with this wellpath Geographic Location 3291.43N 3291.43N Rectangular Coordinates 3255.77E 3255.77E T.V.D. Revised ----------------------------------------------------------------------------------------------------------- 19-Feb-2003 19-Feb-2003 BC3 - T Tyonek - 2/1 320625.000,2437200.000,0.0000 BC3 - L Beluga - 2/1 320625.000,2437200.000,0.0000 8709.00 7139.00 . . MARATHON Oil Company Pad #3 BC-3Rd slot #3A Beaver Creek Unit Kenai Peninsula, A1aska PRO P 0 S ALL 1ST I N G by Baker Hughes INTEQ Your ref BC-3Rd Version 2 Our ref prop5393 License Date printed 25-Feb-2003 Date created 19-Feb-2003 Last revised 25-Feb-2003 Field is centred on n60 38 50.050,wl50 59 49.92 Structure is centred on n60 38 50.050,wl50 59 49.92 Slot location is n60 39 29.890,wl5l 1 5.710 Slot Grid coordinates are N 2433958.540, E 317319.887 Slot local coordinates are 4046.24 N 3777.46 W Projection type: alaska - Zone 4, Spheroid: Clarke - 1866 Reference North is True North . . MARATHON Oil Company PROPOSAL LISTING Page 1 Pad #3,BC-3Rd Your ref Be-3Rd Version 2 Beaver Creek Unit/Kenai Peninsula, Alaska Last revised : 25-Feb-2003 Measured Inclin Azimuth True Vert RECTANGULAR Dogleg Vert G RID C OORDS Depth Degrees Degree' Depth COORD INATES Deg/100ft Sect Easting Northing -- 6393.00 38.00 47.00 5467.19 2138.85N 2096.34E 0.00 2994.85 319448.30 2436065.21 6400.00 38.34 46.90 5472.69 2141.80N 2099.50E 5.00 2999.17 319451. 50 2436068.12 6500.00 43.28 45.67 5548.36 2186.98N 2146.70E 5.00 3064.48 319499.38 2436112.57 6545.75 45.54 45.17 5581.04 2209.45N 2169.50E 5.00 3096.50 319522.52 2436134.69 7000.00 45.54 45.17 5899.19 2438.01N 2399.46E 0.00 3420.70 319755.89 2436359.72 ,P'7500.00 45.54 45.17 6249.39 2689.59N 2652.57E 0.00 3777.57 320012.78 2436607.42 7707.67 45.54 45.17 6394.85 2794.09N 2757.70E 0.00 3925.79 320119.47 2436710.30 7800.00 43.69 45.17 6460.57 2839.80N 2803.69E 2.00 3990.63 320166.15 2436755.30 7900.00 41.69 45.18 6534.06 2887.60N 2851.78E 2.00 4058.43 320214.96 2436802.36 ...._8000.00 39.69 45.18 6609.88 2933.56N 2898.03E 2.00 4123.63 320261.89 2436847.62 8100.00 37.69 45.18 6687.92 2977.63N 2942.36E 2.00 4186.14 320306.89 2436891. 00 8200.00 35.69 45.18 6768.10 3019.75N 2984.75E 2.00 4245.89 320349.91 2436932.47 8300.00 33.69 45.18 6850.32 3059.87N 3025.12E 2.00 4302.80 320390.88 2436971.97 8400.00 31.69 45.18 6934.47 3097.94N 3063.43E 2.00 4356.81 320429.76 2437009.46 8500.00 29.69 45.18 7020.46 3133.92N 3099.63E 2.00 4407.86 320466.51 2437044.88 ___ 8600.00 27.69 45.18 7108.17 3167.76N 3133.69E 2.00 4455.86 320501.07 2437078.20 8627.63 27.14 45.18 7132.70 3176.73N 3142 . 71E 2.00 4468.59 320510.23 2437087.03 ~634. 71 27.00 45.18 7139.00 3179.00N 3145.00E 2.00 4471.81 320512.55 2437089.27 8684.71 26.00 45.18 7183.75 3194.73N 3160.83E 2.00 4494.12 320528.61 2437104.75 ___8784.71 24.00 45.18 7274.37 3224.51N 3190.80E 2.00 4536.37 320559.03 2437134.08 8884.71 22.00 45.18 7366.42 3252.05N 3218.52E 2.00 4575.44 320587.16 2437161.19 _____8984.71 20.00 45.18 7459.77 3277.31N 3243.94E 2.00 4611.28 320612.96 2437186.06 9084.71 18.00 45.18 7554.32 3300.26N 3267.03E 2.00 4643.83 320636.39 2437208.65 ~9184. 71 16.00 45.18 7649.94 3320.86N 3287.77E 2.00 4673.07 320657.44 2437228.94 9284.71 14.00 45.18 7746.53 3339.11N 3306.13E 2.00 4698.95 320676.07 2437246.90 9384.71 12.00 45.18 7843.96 3354.96N 3322.08E 2.00 4721. 44 320692.27 2437262.51 ___9484.71 10.00 45.18 7942.12 3368.41N 3335. 62E 2.00 4740.52 320706.00 2437275.75 9584.71 8.00 45.18 8040.89 3379.44N 3346.71E 2.00 4756.16 320717.26 2437286.61 ,..:., 9684 . 71 6.00 45.18 8140.13 3388.03N 3355.36E 2.00 4768.35 320726.04 2437295.06 9784.71 4.00 45.18 8239.75 3394.17N 3361.54E 2.00 4777.06 320732.31 2437301.11 ..--9884.71 2.00 45.18 8339.61 3397.86N 3365.25E 2.00 4782.29 320736.08 2437304.74 9984.71 0.00 45.18 8439.59 3399.09N 3366.49E 2.00 4784.04 320737.34 2437305.95 ,,---10000.00 0.00 45.18 8454.88 3399.09N 3366.49E 0.00 4784.04 320737.34 2437305.95 10247.82 0.00 45.18 8702.70 3399.09N 3366.49E 0.00 4784.04 320737.34 2437305.95 ~10254 .12 0.00 45.18 8709.00 3399.09N 3366.49E 0.00 4784.04 320737.34 2437305.95 All data in feet unless otherwise stated. Calculation uses minimum curvature method. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level) . Bottom hole distance is 4784.04 on azimuth 44.72 degrees from wellhead. Total Dogleg for wellpath is 53.18 degrees. Vertical section is from wellhead on azimuth 44.69 degrees. Grid is alaska - Zone 4. Grid coordinates in FEET and computed using the Clarke - 1866 spheroid Presented by Baker Hughes INTEQ · MARATHON Oil Company Pad #3,BC-3Rd Beaver Creek Unit,Kenai Peninsula, Alaska MD TVD Rectangular Coords. .' PROPOSAL LISTING Page 2 Your ref BC-3Rd Version 2 Last revised : 25-Feb-2003 Comments in wellpath Comment ----------------------------------------------------------------------------------------------------------- 6393.00 6545.75 7707.67 8627.63 9984.71 10247.82 Target name 5467.19 5581.04 6394.85 7132.70 8439.59 8702.70 2138.85N 2209.45N 2794.09N 3176.73N 3399.09N 3399.09N 2096.34£ 2169.50£ 2757.70£ 3142.71£ 3366.49£ 3366.49£ KOP End of Build/Turn End of Hold Lower Beluga Target End of Drop Top Tyonek Target/TD Targets associated with this wellpath Geographic Location 3291.43N 3291.43N Rectangular Coordinates 3255.77£ 3255.77£ T.V.D. Revised ----------------------------------------------------------------------------------------------------------- 19-Feb-2003 19-Feb-2003 BC3 - T Tyonek - 2/1 320625.000,2437200.000,0.0000 BC3 - L Beluga - 2/1 320625.000,2437200.000,0.0000 8709.00 7139.00 an Structure : Pad #3 Beaver Creek Unit st ( -> 600 800 1000 '200 1400 1600 1800 2000 2200 2400 2500 2800 3000 3200 3400 3600 3800 3800 3800 3600 3600 3400 3400 3200 - 3200 3000 3000 2800 2800 2600 2600 2400 2400 /\ Î\ I 2200 ~ +- ( ) ( ) 2000 4- "---' ..c ~ -+. +- (' ) L 1800 0 (' ) ::z: -+ "---' 1600 1400 1200 - 1000 800 600 600 400 400 200 200 I ~·~I 600 800 1000 1200 1400 1600 1800 2000 2200 2400 2600 2800 3000 3200 3400 3600 3800 East -> - . . MARATHON Oil Company Pad #3 BC-3Rd slot #3A Beaver Creek Unit Kenai Peninsula, Alaska 3-D MINIMUM D I S TAN C E C LEA RAN C E R E P 0 R T by Baker Hughes INTEQ Your ref BC-3Rd Version 2 Our ref prop5393 License Date printed 25-Feb-2003 Date created 19-Feb-2003 Last revised 25-Feb-2003 Field is centred on n60 38 50.050,w150 59 49.92 Structure is centred on n60 38 50.050,w150 59 49.92 Slot location is n60 39 29.890,w151 1 5.710 Slot Grid coordinates are N 2433958.540, E 317319.887 Slot local coordinates are 4046.24 N 3777.46 W Projection type: alaska - Zone 4, Spheroid: Clarke - 1866 Reference North is True North Report is limited to clearances less than 500 feet DECREASING CLEARANCES of less than 1000 feet are indicated by an asterisk, e.g. 487.4* Object wellpath Closest approach with 3-D Last revised Distance 13-Feb-2002 9710.8 27-Jun-2002 7902.4 9-Jan-2003 2304.9 9-Apr-2001 1917.2 5-Sep-1992 2971.0 5-Sep-1992 2972.1 14-Dec-1994 4394.3 25-Feb-2003 0.0 25-Feb-2003 0.0 Minimum Distance method M.D. Diverging from M.D. 6393.0 10254.1 6393.0 6393.0 6393.0 10220.0 6393.0 6393.0 6393.0 10254.1 6393.0 10254.1 6393.0 10020.0 6393.0 6393.0 6393.0 6393.0 TOTCO <0 - 15746>"BC-7,BC Pad 7 BC-11A Version #1"BC-12,BC Pad 7 BC-11 Version #2"BC-11,Pad #3 PMSS <0 - 8854>"BC-10,Pad #3 GMS <8000-16247'>"BC-5,Pad #3 GMS <0-15844'>"BC-6,Pad #3 Schlumberger <5943-8858'>"BC-9,Pad #3 MSS <0-6387>"BC-3,Pad #3 MSS <0-6393'> DepthShifted"BC-3Rd,Pad #3 . . MARATHON Oil Company CLEARANCE LISTING Page 1 Pad #3, BC-3Rd Your ref BC-3Rd Version 2 Beaver Creek Unit, Kenai Peninsula, Alaska Last revised : 25-Feb-2003 Reference wellpath Object wellpath MSS <0-6387>"BC-3,Pad #3 Horiz Minim TCyl M.D. T.V.D. Rect Coordinates M.D. T.V.D. Rect Coordinates Bearing Dist Dist 6393.0 5467.2 2138.9N 2096.3E 6387.0 5467.2 2138.9N 2096.4E 54.3 0.0 0.0 6396.5 5469.9 2140.3N 2097.9E 6387.0 5467.2 2138.9N 2096.4E 226.9 3.5 6400.0 5472.7 2141.8N 2099.5E 6387.0 5467.2 2138.9N 2096.4E 226.9 7.0 6409.1 5479.8 2145.7N 2103.6E 6387.0 5467.2 2138.9N 2096.4E 226.9 16.1 6418.2 5486.9 2149.6N 2107.8E 6387.0 5467.2 2138.9N 2096.4E 226.8 25.1 6427.3 5493.9 2153.6N 2112.0E 6387.0 5467.2 2138.9N 2096.4E 226.8 34.2 6436.4 5500.9 2157.6N 2116.2E 6387.0 5467.2 2138.9N 2096.4E 226.7 43.3 6445.5 5507.8 2161.7N 2120.5E 6387.0 5467.2 2138.9N 2096.4E 226.6 52.4 6454.5 5514.7 2165.8N 2124.8E 6387.0 5467.2 2138.9N 2096.4E 226.6 61. 5 6463.6 5521 . 5 2169.9N 2129.1E 6387.0 5467.2 2138.9N 2096.4E 226.5 70.6 6472 . 7 5528.3 2174.1N 2133.5E 6387.0 5467.2 2138.9N 2096.4E 226.5 79.7 6481.8 5535.0 2178.4N 2137.8E 6387.0 5467.2 2138.9N 2096.4E 226.4 88.8 6490.9 5541.7 2182.6N 2142.3E 6387.0 5467.2 2138.9N 2096.4E 226.4 97.8 6500.0 5548.4 2187.0N 2146.7E 6387.0 5467.2 2138.9N 2096.4E 226.3 106.9 6507.6 5553.9 2190.7N 2150.5E 6387.0 5467.2 2138.9N 2096.4E 226.2 114.5 6515.3 5559.4 2194.3N 2154.2E 6387.0 5467.2 2138.9N 2096.4E 226.2 122.2 6522.9 5564 . 9 2198.1N 2158.0E 6387.0 5467.2 2138.9N 2096.4E 226.2 129.8 6530.5 5570.3 2201.8N 2161.8E 6387.0 5467.2 2138.9N 2096.4E 226.1 137.4 6538.1 5575.7 2205.6N 2165.7E 6387.0 5467.2 2138.9N 2096.4E 226.1 145.0 6545.8 5581. 0 2209.5N 2169.5E 6387.0 5467.2 2138.9N 2096.4E 226.0 152.6 6600.0 5619.0 2236.7N 2197.0E 6387.0 5467.2 2138.9N 2096.4E 225.8 206.8 6700.0 5689.1 2287.1N 2247.6E 6387.0 5467.2 2138.9N 2096.4E 225.6 306.7 6800.0 5759.1 2337.4N 2298.2E 6387.0 5467.2 2138.9N 2096.4E 225.5 406.6 All data is in feet unless otherwise stated. Casing dimensions are not included. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level). Total Dogleg for we11path is 0.00 degrees. Vertical section is from wellhead on azimuth 44.69 degrees. Calculation uses the minimum curvature method. Presented by Baker Hughes INTEQ . . MARATHON Oil Company CLEARANCE LISTING Page 2 Pad #3,BC-3Rd Your ref BC-3Rd Version 2 Beaver Creek Unit, Kenai Peninsula, Alaska Last revised : 25-Feb-2003 Reference wellpath Object wellpath MSS <0-6393'> DepthShifted"BC-3Rd,Pad #3 Horiz MinIm TCyl M.D. T.V.D. Rect Coordinates M.D. T.V.D. Rect Coordinates Bearing Dist Dist 6393.0 5467.2 2138.9N 2096.3E 6393.0 5467.2 2138.9N 2096.3E 90.0 0.0 0.0 6396 . 5 5469.9 2140.3N 2097.9E 6393.0 5467.2 2138.9N 2096.3E 227.0 3.5 6400.0 5472.7 2141.8N 2099.5E 6393.0 5467.2 2138.9N 2096.3E 227.0 7.0 6409.1 5479.8 2145.7N 2103.6E 6393.0 5467.2 2138.9N 2096.3E 226.9 16.1 6418.2 5486.9 2149.6N 2107.8E 6393.0 5467.2 2138.9N 2096.3E 226.8 25.2 6427.3 5493.9 2153.6N 2112.0E 6393.0 5467.2 2138.9N 2096.3E 226.8 34.3 6436.4 5500.9 2157.6N 2116.2E 6393.0 5467.2 2138.9N 2096.3E 226.7 43.4 6445.5 5507.8 2161.7N 2120.5E 6393.0 5467.2 2138.9N 2096.3E 226.6 52.4 6454.5 5514.7 2165.8N 2124.8E 6393.0 5467.2 2138.9N 2096.3E 226.6 61.5 6463. 6 5521. 5 2169.9N 2129.1E 6393.0 5467.2 2138.9N 2096.3E 226.5 70.6 6472 . 7 5528.3 2174.1N 2133.5E 6393.0 5467.2 2138.9N 2096.3E 226.5 79.7 6481.8 5535.0 2178.4N 2137.8E 6393.0 5467.2 2138.9N 2096.3E 226.4 88.8 6490.9 5541.7 2182.6N 2142.3E 6393.0 5467.2 2138.9N 2096.3E 226.4 97.9 6500.0 5548.4 2187.0N 2146.7E 6393.0 5467.2 2138.9N 2096.3E 226.3 107.0 6507.6 5553.9 2190.7N 2150.5E 6393.0 5467.2 2138.9N 2096.3E 226.3 114.6 6515.3 5559.4 2194.3N 2154.2E 6393.0 5467.2 2138.9N 2096.3E 226.2 122.2 6522.9 5564.9 2198.1N 2158.0E 6393.0 5467.2 2138.9N 2096.3E 226.2 129.8 6530.5 5570.3 2201.8N 2161. 8E 6393.0 5467.2 2138.9N 2096.3E 226.1 137.4 6538.1 5575.7 2205.6N 2165.7E 6393.0 5467.2 2138.9N 2096.3E 226.1 145.0 6545.8 5581.0 2209.5N 2169.5E 6393.0 5467.2 2138.9N 2096.3E 226.0 152.6 6600.0 5619.0 2236.7N 2197.0E 6393.0 5467.2 2138.9N 2096.3E 225.8 206.8 6700.0 5689.1 2287.1N 2247.6E 6393.0 5467.2 2138.9N 2096.3E 225.6 306.7 6800.0 5759.1 2337.4N 2298.2E 6393.0 5467.2 2138.9N 2096.3E 225.5 406.7 All data is in feet unless otherwise stated. Casing dimensions are not included. Coordinates from slot #3A and TVD from rotary table (179.00 Ft above mean sea level) . Total Dogleg for wellpath is 0.00 degrees. Vertical section is from wellhead on azimuth 44.69 degrees. Calculation uses the minimum curvature method. Presented by Baker Hughes INTEQ M TH N IL N II Beaver Creek #3 RD Kenai, laska Prepared by: Tony Tykalsky Reviewed by: Lee Dewees Submitted to: Win Tank February 26th, 2003 M-I Drilling Fluids L.L.c. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax . . DRilliNG FLUIDS M-I Drilling Fluids L.L.C. 721 West First Avenue Anchorage, Alaska 99501 Phone (907) 274-5564 Fax (907) 2709-6729 Marathon Oil Company PO Box 190168 Anchorage, Alaska 99519 ATTN: Will Tank Will; Enclosed is the revised drilling fluid program for the Beaver Creek #3RD Well to be drilled this year. The following is a brief synopsis of the program. Overview: BC #3RD is a entension of the existing well through the Beluga formation. A gel sweeps are recom- mended for cleaning out the hole when drilling out the cement retainers. A FloPro system will be used to drill the 6-118" production interval. After logging the production interval, the well will be com- pleted with 3 1/2" liner cemented in place. Cleanout Interval: Gel sweeps mixed in fresh water will be used as needed to clean out the cement plugs after current perfs are squeezed off. This entire system can be viscosified with gel if needed to drillout 20 ft of new hole and perform a leakoff test. Production Interval: This interval will be drilled with Flo-Pro fluid. After performing a leakoff test with the gel mud, the wellbore will be displaced to a new FloPro fluid. Fluid loss should be maintained in the 6 - 8 cc' s API for this interval. Gas encountered may require the mud weight to be increased to +/- 10.0 ppg. Completion: This program assumes the well will be completed with 6% KCl brine. Tony Tykalsky Project Engineer M-I Drilling Fluids Reference Wells: Beaver Creek #9, #10 7" 8-1/2" 3 1/2" 6-118" Wen Beaver Creek #3RD Gel Sweeps 8.6-9.0 6 6380' 5461' 10254' 10 Flo-Pro 9.2 8698' 3 1/2" 8.112" Completion 10254 ' 4 I 8698' 6% KCl 8.55 $5,225 $52,300 $7,375 .. The gel sweeps will be used to drill out cement and several feet of new hole. .. The production interval will be drilled with a FloPro fluid. Wen conditions (gas) may require weighting up the fluid to 10.0 ppg or higher based on offset wens. . Utilize all solids control equipment to minimize the build up of drill solids in the system (if possible, centrifuge the surface mud during trips to reduce drill solids). .. Condition the mud prior to running casing for the production interval. M-I Drilling Fluids L.L.C. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax DRILLING FLUIDS . . Product Usage Summary Well Beaver Creek #3RD M-I Bar 100 1b 40 i 107 0 147 I i 66 M-I Gel 100 lb 66 I 0 0 \ i i Soda Ash 50lb 0 I 5 0 5 I I I Caustic Soda 50lb 0 I 11 0 11 I I I Conqor 404 55 gal 0 I 5 0 5 I ¡ I SafeScav NA 55 gal 0 I 10 0 10 i ¡ I Sodium Bicarbonate 50lb 10 I 11 0 21 ¡ í I Conqor 303 55 gal I 4 0 I 0 4 I I Flo Vis 25lb 0 I 86 2 88 I I I I Desco CF 25lb 0 ] 0 0 0 I I I DualFlo 50lb 0 I 86 0 86 I I --T Greencide 25G 5 gal 0 I 13 0 13 I I I KCl 50lb 0 I 449 252 701 í I Safecarb 50lb 0 I 107 0 107 I I I SafeKleen 55 gal 0 I 1 1 2 I I I I 12 Defoam X 5 gal 0 I 12 0 I I I Engineer Service 1 day 6 I 10 4 20 I i M-I Drilling Fluids L.L.c. ~ DRIWNG 721 West First Avenue Anchorage, Alaska 99501 FLUIDS (907) 274-5564 (907) 279-6729 Fax . . Offset Well Information Well Beaver Creek #3RD Well Hole Size Depth PPG PV YP FL Comments BC#9 6 6330 9,6 21 25 5,2 LOT 14,0 EMW 6346 9.7 19 30 4.5 Coring 7068 9,9 20 23 4,6 Gas, increase mud weight 7584 9.9 20 18 4.6 Drill ahead 8~(O 23 20 5 Coring 854 10/ 23 22 6.6 Drlg ahead ! -/ 8881 9,9 26 19 4.2 Trip ok @ T.D, Be #10 6,125 3198 8.85 5 19 7.2 Drlg out, LOT 16.42 EMW, FloPro fluid 4516 9 6 21 7.6 Drlg 1318' in one day 5260 9 7 24 7,5 Drlg ahead 6440 9.25 8 29 7.1 Short trip - backreaming required 6906 9,3 9 27 7 Trip for bit - backream 7480 9.4 10 25 6.4 Trip in - OK 7788 9,5 10 25 6.3 Bit trip - backream through new hole section 8418 9,35 9 21 5.8 Trip in - OK drlg ahead 8587 9.4 9 19 6 Drlg ahead, trip for bit, backream new hole section 8854 9,55 9 20 6 @ T.D, POH for logs 8854 Spot 16 PPG pill on bottom prior to running casing M-I Drilling Fluids L.L.c. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax ~ DRILLING FLUIDS . . Plans & Procedures Well Beaver Creek #3RD => COMMUNICATION - The Field Mud Engineer will communicate daily with the In- Town Project Engineer. The Project Engineer will then communicate dally- with the rig Drilling Engineer. Communications should be about, but not limited to, fluid proper- ties, lìole ðifficulties, possible changes to the mud program, and proposals to use products not included In the mud program. => FLUID LOSS CONTROL - In the production interval the API fluid will be maintained at less than 8 cc's at all times. In addition to sufficient fluid loss agent additions, this may require adequate dilution of the mud system in order to keep reactive drill solids to a minimum. It is particularly important to maintain a low hardness «200 ppm Ca) for effective use of DualFlo, therefore cement contamination should be completely treated as rapidly as possible prior to adding DualFlo to control or reduce fluid loss. NOTE: If additions of DualFlo do not appear to be lowering the fluid loss adequately, then switch to additions of Polypac Supreme SL after consultation with town. => LSRV - When drilling with a FloPro fluid, the low shear rate rheology should be main- tained around 35\000 cps. In addition to adequate additions of FloVis Plus, this will also require keeping reactive drill solids to a minimum in order to reduce or eliminate false and unwanted-high LSRV. => DRILL SOLIDS - MBT - The MST should be kept at less than 7.5 ppb in the produc- tion interval through aggressive use of solids equipment and dilution as needed. => MIXING CONDITIONS - Whenever possible all treatments to the mud system should be made as pre-mix additions. Polymers and KCI should first be mixed in fresh water in that order and then blended into the active system over one or two circulations as needed. => CORROSION - Conqor 404 additions should be made daißt when drilling with FloPro fluid in order to maintain a Conqor 404 concentration of +/- 2000 PPM. => CORRISION - SafeScav NA additions should be made daily in when drilling with Flo- Pro fluid in order to maintain a dissolved oxygen reading of less than 3 ppm => GREENCIDE 25G ADDITIONS - Greencide 25G additions should be made daily when drilling with FloPro fluid, in the range of 5 gallons per day. => SOLIDS VAN USAGE - The Solids Van should be used whenever drill solids become un-acceptably high and reduction of drill solids in the mud can be more economically- done with centrifuging and dilution then just with dumping and diluting. The weight of the drilling fluid alone should not be the determining condition for when to use the Sol- ids Van. => WEIGHTING UP - All increases in mud weight should be accomplished with barite ad- ditions. In the production interval, insure chloride concentration is maintained at 30,000 to minimize the need for barite additions. M-I Drilling Fluids L.L.C. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax PJ"f-j DRIWNG , ~ FLUIDS . . Interval Summary - 17- 0-6380' Drilling Fluid System ¡Gel Sweeps Well Beaver Creek #3RD Key Products MI Gel/Soda Ash / MI Bar / Sodium Bicarbonate Solids Control Shale Shakers Potential Problems Lost Circulation / Hole Cleaning Interval Drilling Fluid Properties Depth Interval (ft) 0-6380' Mud Weight (ppg) / 8.6-9.0 I Plastic Viscosity (cp.) 2-10 Yield API Point Fluid Loss (lb./l00ft2) (ml/30min) As needed I NA I · Treat drill water with Soda Ash to reduce hardness. · Build sweeps with 20 PPB M-I Gel to +/- 50 sec.qt funnel viscosity. · Pump gel sweeps as needed for hole cleaning. · Viscosifyentire system if needed to cleanout cement cuttings.. · Estimated volume usage for interval - 450 barrels. M-I Drilling Fluids L.L.c. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax Funnel Viscosity (sec/qt) As needed Drill Solids (%) 0-3% P""'f-j DRILLING , ~ FLUIDS . . Interval Summary - 6-1/8" hole Well Beaver Creek #3RD 6380 - 10254' Drilling Fluid System I Flo- Pro Fluid Key Products Flo-Vis 1 DualFlo 1 KCII Greencide 25G 1 Safecarb F, Ventrol40l1 Conqor 4041 Caustic Soda 1 M-I Bar 1 SafeScav NA Solids Control Shale Shakers 1 Desilter 1 Centrifuge Van Potential Problems Lost circulation, differential sticking, coal sloughing, drill solids build-up, gas kick, tight hole conditions Interval Drilling Fluid Properties Depth Mud Plastic LSRV MBT API Drill Interval Weight Viscosity 1 min ppb Fluid Loss pH Solids (ft) (ppg) (cp.) (lb.l100ft2 (ml/30min) (%) J 6380 - 10254'1 9.2 - 1O.0{ 10 -14 ) I 40,000 I <7.5 6-8 9.0 - 9.5 +/- 5% I · Isolate one pit with surface mud to drill out cement and 10 - 20 feet of new hole. · Clean other rig pits and build new FloPro fluid using the following formula: · Drill water; .25 ppb Soda Ash; 21 ppb KCL; 2 ppb FloVis; 2 ppb DualFlo; 5 ppb Safecarb Fine; Caustic Soda for pH of 9.0 - 9.5; .25 ppb Greencide 25G; Conqor 404 for 2000 ppm; SafeScav NA for DO reading < 2 ppm · Displace intermediate hole fluid to FloPro fluid using a H20 spacer (15 - 25 bbls). Build addi- tional volume as needed. · If running coals become a problem, treat with a 2- 3 PPB addition of V entrol 401. · Be prepared to weight up with barite additions for well control (possible high gas pres- sure). · Estimated volume usage for interval- 1069 barrels. · Communicate daily with in town Project Engineer regarding mud properties, hole condi- tions, proposed program changes. M-I Drilling Fluids L.L.c. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax r""'f-j DRILLING r ~ FLUIDS . . HSE Issues Well Beaver Creek #3RD HANDLING OF DRilLING FLUID PRODUCTS HEAL TH AND SAFETY 1. Drilling crews should be instructed in the proper procedures for handling fluid products. 2. Personal Protective Equipment (PPE) charts should be posted in the pit room, the mud lab, and the office of the Drilling Forman. 3. PPE must be in good working order and be utilized as recommended by the PPE charts. 4. Product additions should be made with the intent to use complete unit amounts of products (sacks, drums, cans) as much as possible in order to minimize inventory of partial units. 5. Insure all MSDS sheets are up to date and readily available for workers to access for information. ENVIRONMENTAL 1. Insure that all product stored outside is protected from the weather. 2. Do not store partial units (sacks, etc) outside if possible. 3. Properly secure all products for shipment between job sites. 4. When transferring fluid and or cuttings from the rig to trucks, insure all hoses are properly secured. 5. When utilizing the centerfuge solids van, insure all hoses and connections between the van and the rig are secure. M-I Drilling Fluids L.L.C. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax Pf'1"fJ DRILLING , ~ FLUIDS Product M-I BAR M-I GEL GElEX FlOVIS DUAl-FlO POlYPAC XCD HEC Safe-Carb F,M,C LO WATE Nut Plug M-I Seal F, M, C Mix II F,M,C DESCO SPERSENE CF TANNATHIN VENTROL 401 SALT (Solar) BROMiDE (NaBr) & Brine Solution POTASSIUM CHLORIDE - M-I DrilJing Fluids L.L.c. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax Function Weighting Agent Viscosity control Bentonite Extender Viscosifier Modified Starch Fluid Loss Reducer Viscosifyer Loss Circulation Mate- rial Bridging and weighting agent Weighting agent Loss Circulation Mate- rial Loss circulation Material Loss circulation Material Dispersant Dispersant Dispersant Surfactant Densifier Densifier Shale Inhibitor Wen Beaver Creek #3RD Product Function CAUSTIC SODA Alkalinity control CAUSTIC POTASH pH Modifier BORAX Inorganic Borate SAPP Sodium Pyrophosphate SODA ASH Alkalinity control SODIUM Alkalinity control BICARBONATE CITRIC ACID pH Adjuster MY ACIDE - AS Biocide GREEN CIDE 25G - Biocide DEFOAM X - Defoamer BUBBLE BUSTER Defoamer KLA-GARD Shale Control agent LUBE TEX Lubricant D-D CWT Detergent Concor 404 Corrosion Inhibitor SAFEKLEEN Drilling fluid additive Asphasol D Shale Inhibitor Soltex Shale Inhibitor SafeScav NA Oxygen Scavenger M-I Drilling Fluids L.L.c. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax Wen Beaver Creek#3RD IXm1 . . Product Health and Safety Reference HMIS HAZARD RATINGS Well Beaver Creek #3RD HAZARDOUS MATERIALS IDENTIFICATION SYSTEM (HMIS) HAZARD RATINGS 4 - Severe hazard 3 - Serious hazard 2 - Moderate hazard 1 - Slight hazard o - Minimal hazard * An asterisk next to the health rating indicates that a chronic hazard is associated with the mate- rial. HMIS PERSONAL PROTECTIVE EQUIPMENT INDEX A - Safety Glasses B - Safety Glasses, Gloves C - Safety Glasses, Gloves, Synthetic Apron D - Face Shield, Gloves, Synthetic Apron E - Safety Glasses, Gloves, Dust Respirator F - Safety Glasses, Gloves, Synthetic Apron, Dust Respirator G - Safety Glasses, Gloves, Vapor Respirator H - Splash Goggles, Gloves, Synthetic Apron, Vapor Respirator I - Safety Glasses, Gloves, Dust and Vapor Respirator J - Splash Goggles, Gloves, Synthetic Apron, Dust and Vapor Respirator K - Air Line Hood or Mask, Gloves, Full Suit, Boots X - Consult your supervisor for special handling directions M-I Drilling Fluids L.L.C. 721 West First Avenue Anchorage, Alaska 99501 (907) 274-5564 (907) 279-6729 Fax ~. DRilLING , ~ FLUIDS Well #3RD .. MI Project Engineer and Tech Service Engineer will coordinate between the Marathon office, rig, warehouse, and the M-I field engineers. III Well progress will be monitored to look for any changes which will improve the effi- ciency ofthe operation or avert trouble.. Project Team Title Home Cellular Craig Bieber District Manager 907345-1239 907 229-1196 Deen Bryan Tech Service 907 373-2713 907223-1634 Tony Tykalsky Project Engineer 907 376-4613 907227-2412 Gus Wik Warehouse Manager 907 776-8722 907 776-8680 Bob Williams Field Engineer 907 248-5857 907 252-4331 Floyd Faulkner Field Engineer 907 242-6994 907252-4331 M-I Drilling Fluids L.L.c. 721 West First Avenue Anchorage, Alaska 9950 I (907) 274-5564 (907) 279-6729 Fax . 'M..') Marathon .MARATHON Oil Company . Alaska Region Domestic Production P.O. Box 196168 Anchorage, AK 99519-6168 Telephone 907/561-5311 Fax 907/564-6489 March 14, 2003 Sarah Palin Commissioner State of Alaska Alaska Oil & Gas Conservation Commission 333 West ih Ave, Suite 100 Anchorage, AK 99501 Reference: Drilling Permit Application Field: Beaver Creek Field Well: Beaver Creek Unit BC-3RD Dear Ms. Palin Enclosed please find the PERMIT TO DRILL application, along with the associated attachments. The intent is to deepen the existing well bore Beaver Creek Unit BC-3 and then complete the well in the Lower Beluga. If you require further information, I can be reached at 907-564-6310 or bye-mail at wjtank@marathon.com. Sincerely, ... )f,dk)r~ Willard J. Tank Senior Drilling Engineer Enclosures RECEIVED MAR 1 4 2003 Alaska 0f) & Gas Cons. Ccmmiteion .Anchorage Check No Check Date Bank Bank No vendor. 1065419 03/04/2003 NCBAS77BO 5001123 I ........... jMiilþ~··¡.,¡J~~~R ).. ·....@i~¡~~p~(~þi:@m~~(~þ(.....·))i)iYiB,¡¥~99m¡;N@....·<.··.,S<.< Á(1oooo . " 03/04/2003- 1900005992 Fi ling Fee For Permit To Dril L BC-3rd Deepeni .. TOTAL: Marathon Oil Company P. 0, Box 3128 Houston, TX 77253 ~ Direct Inquiries to: ACCOUNTS PAYABLE DEPARTMENT Jackie Abert Phone: 713-296-4336 .Y@"9~(,A¥~@fY··· ···Þi~¢.<>M(/··· <..%iHi~~(NYAfu@fu·· , ., 100.00 ,.. 100.00 100.00 100.00 Hndlg AL RECEI' lED MAR 1 4 2003 l\Iaska 01) & Gus Coos, Comm_r AnchOl'!Qe . (FOLD ON PERFORATION BELOW AND DETACH CHECK STUB BEFORE DEPOSITING) "'- . _.J:. --__ ) 1'1 ~r. 11."~ ~i: all ~III ~ ~ "W~'.l ~ II ~ [tJI: J ~,~ I. ,.~, ~ 1-...: 1::1: ~: I:{ t ~. :J~l t:! ~< ci. {. ¡I j ~ I-.~ ~I:I' ~ a'l [. J II:¡ ill.: l::t III ~ 1:1: I;: ~ 'If¡ffti.] ~. t~, I ~ !.'I¡'J I [t:! .{.] ~ .11 ~ ..1 ~ r ( . -F'ORM;!sofREV.·s700·- ,- ..,..-..- ... ..... .. "" ,...--..,..,.-- -.,_.. -..~-._.. -.----..-,------...-.---,------.-.---.- ______M._.'___~______,__·.__._..'___._ ----- "..'.;, ", .' ",' \".':,': ,;':"i:":':,' "....:'.': "co;':', ':,:.;',';-·;",','i;.::.': .'.:::,::,.:.¡....:...._: .":';':';::',,:,': :'."',';";,(;:',.- (,::.:,:::;,:",":,,;,,;,,::' ',:":,':';;:':':,:,::', ''',:''-':',',:,:: .,i PAY TO THE ORDER OF: ."',:, ~tI.]~J--j=Ui'/.:.'i[.]~1 CQ~MISSION, ,./.re, 333'W~ST;7THAVE STE 100 ANCHORAGE, AK 99501. ' Marathon Oil P. O. Houston, 56-389/412 7780 ACCOUNTS PAYABLE CHECK CHECK DATE " , CHECK NUMBER,:';, NATIONAL CITY BANK Ashland, Ohio r,'·.:'."..:;'::: ,:',,;;,,:- ';';.;....'...,,;,:!:\--:,.,',.,"",.-,"'.,';,'." '.-::,'.'.(:,:,' -- By: MATCHAMOUNrIN~ORDS WITH NUMBERS ,.,.:..,:..':........'.~.".F.,..,.......:,..'.,'.,'.........'......,......"'."......:...,.......,......,...·....·...,.,..".A,'..'.. .......^....,...'...",....,ili.'.:...:.-..~.....:.r...i.:..ud........,..,.,.',:',.....,R,:,...,".e.,./J.¡.p...,',",e.....,.e..,n;...,,/.'.'./,.·..-,',.··..·.'....,.:......',........:....,'...'.:,.'.:.'..:.,..'...,','".'.'.,.,......".,., .,.. re,.., '.,..,..'.','.' ·~~~i¡;~~..~~~'~r~gg!i~ì~~".':\;.·:;::~,~·.'.'..¡..!:.·',',':.'i ·,.,··..'::;'l,:;r:....,i·):::;: :;:<:::,,:; , y"';,':,; 03/04/2003 ' "." '1065419:·:," ¡."J::;',,", .. ;.,¡,::..:'-:;,:\::i' 'i:i·::I;,(',::,,~,"/!. ~':'\,:':;'i::':,::(;.:;. ),::::,:"':':':::'::;-"';' ,VOID AFTER 180 DAYS \,/'i.'r:',;,:',:~:' !J,e:,)/, , (,;:;',': U.S. Funds ('r;;::;'", ,"; .... "';:':":--;:::',,,;:-}, ·'::;<¡",;P;X0>,,'i":j:':!"':',\<'!i;:;"· .'.' -"_::-,' ;.' :,>,i>~~:>":r;' S'(~/,'5': '.; '-';"..' ,...",-"," ',.'.'.; .,.."......'.. ="''''''W;i:i¡~'i;}i~~\:.1:i¡ìSír¡;';~¡L:¡~1I~'¡1'-:]'~''~~7~~1~~~'\~ï'~~~'~'1~\\~i~'~i:~;~"~t;'i.t~'~r''''\\'';\'"''\";~"\\'~':;¡¡)~i'J¡~'\;1;1'1¡;r~)~~I~'I'~~~:t¡I[;¡;r~J'~ffi~\ktì~i]"'I'\""'\\'11 '" 1/·000 ~Ob 5~ ~qll· -:0... ~ 20 :¡Sq 5-: 0 ~S ~~S~II· . . TRANSMITAL LETTER CHECK LIST CIRCLE APPROPRIATE LETTER/PARAGRAPHS TO BE INCLUDED IN TRANSMITTAL LETTER WELL NAME ,ßeo..e/ bk UNit ß c.. ~ J ED PTD# 203 -04</ CHECK WHAT APPLIES ADD-ONS (OPTIONS) MULTI LATERAL (If API number last two (2) digits are between 60-69) "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). PILOT (PH) SPACING EXCEPTION *" ¡/ DRY DITCH SAMPLE 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. (Companv 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. Rev: 07/10/02 ~ed;tem:.. // ~.1/ d Iß ¡tv",,! /lo./.;11¡~ / ,,/ I. / ) ¡; .¡j ~e.cr, /VD 7;¡ GO ~ ¡>..JAI, ""Me. /:u,¿ "-~ /'d3/ ,,! 70",," /OCo ~ C}/'J./d~ q-,.µ'/,r~/ /c:i, ~ - ~,PG ~ò 50 cite{ ~ ~ ~/~='.£ I o~ r/s~;Þ /'~ I/) -k Æ/Q~ of ~D J WELL PERMIT CHECKLIST COMPANY - WELL NAME ð Cú 3 ÆrA'PROGRAM: Exp _ Dev X Redrll2!- Re-Enter _ Serv _ Wellbore seg_ FIELD & POOL (') %"ö ~ c>C> INIT CLASS þ/".Þ' /7&'<' GEOL AREA ? 2-cJ UNIT# ("";:; ~<; ~ 7 ) ::;> ON/OFF SHORE..Q..V ADMINISTRATION ~: ~:~~~t~~~~~~~~~~~Pri~t~.· : : : : : : : : : : : : : : : : : : æ~ I- -r' ~ ð þ )-/ L?,. I /1 /: ) 3 /)7 3. Unique well name and number. . . . . . . . . . . . . . . . . ~!:L. ~ . '::::::::":;;://ó!J-'..d' <Jv~ /'\~Aøl'Y L,¡b/ó/. / / 4. Well located in a defined pool.. . . . . . . . . . . . . . . . . y ~~ /J, r / /r- '~I 5. Well located proper distance from drilling unit boundary. . . . Y (!Y'N <:;;Y'],¿t/ ./ ~/A?~/~ /7/ /L1 ¿::r./ '7~-~~ ë'./..)Q("'. iIDY) 6. Well located proper distance from other wells.. . . . . . . . . m. / ¿Ø'L? Y 7. Sufficient acreage available in drilling unit.. . . . . . . . . . . 'æ N ,/ ~ f '-'-~/.J'¡,/'"' c:-d- - /Y ~-/ 8. If deviated, is wellbore plat included.. . . . . . . . . . . . . . ~N L- 9. Operator only affected party.. . . . . . . . . . . . . . . . . . Y. N 10. Operator has appropriate bond in force. . . . . . . . . . . . . æ-¥ 11. Permit can be issued without conservation order. . . . . . . . Y N 12. Permit can be issued without administrative approval.. . . . . 13. Well located wlin area & strata authorized by injection order#-lµ' JCì\ 14. All wells wlin !4 mile area of review identified. . . . . . . . .. Y 15. Conductor string provided. . . . . . . . . . . . . . . . . . . N 16. Surface casing protects all known USDWs. . . . . . . . . . N 17. CMT vol adequate to circulate on conductor & surf csg. . . . N / It-' 18. CMT vol adequate to tie-in long string to surf csg. . . . . . . . ~ 19. CMT will cover all known productive horizons. . . . . . . . . . ~ N 20. Casing designs adequate for C, T, B & permafrost. . . . . . . ~' N 21. Adequate tankage or reserve pit.. . . . . . . . . . . . . . . . ~. N cl?tw....-- I 22. If a re-drill, has a 10-403 for abandonment been approved. .. ~ Y~ N 23. Adequate wellbore separation proposed.. . . . . . . . . . . . @ N 24. If diverter required, does it meet regulations. . . . . . . . . . ¥-N- N. f..r A 25. Drilling fluid program schematic & equip list adequate. . . . . ~ N .vn.ewc 1/ µ ¡ 0 . Or f:>cï . 26. BOPEs, do they meet regulation. . . . . . . . . . . . . . . . N. . j¡ ) , 27. BOPE press rating appropriate; test to 3500 psig. @...NY/Ilt:.P '5 ~ VLP f' $., ' 28. Choke manifold complies w/API RP-53 (May 84). . . . . . . . N 29. Work will occur without operation shutdown. . . . . . . . . . . . N 30. Is presence of H2S gas probable.. . . . . . . . . . . . . . . . Y @ 31. Mechanical condition of wells within AOR verified. . . . . . . . ·¥--N,· ;J fir @N }fy /V.M¡ Y N N APPR DATE Uk 3/;7Þ3 (Service Well Only) (Service Well Only) ENGINEERING APPR DATE /¡J&¡\-- -Sit ¡103 (Service Well Only) GEOLOGY APPR DATE &- ~ JJ7~3 (EXPlora~y) Rev: 2/25/03 \wellj)ermit_ checklist . 32. Permit can be issued wlo hydrogen sulfide measures. . . . . 33. Data presented on potential overpressure zones. . . . . . . . 34. Seismic analysis of shallow gas zones. . . . . . . . . . . . . 35. Seabed condition survey (if off-shore). . . . . . . . . . . . . . 36. Contact namelphone for weekly progress reports. ...... . GE~ RP RESERVOIR ENGINEERING JH PETROLEUM ENGINEERING: TM UIC ENGINEER JR COMMISSIONER: SP ð RR C>0'VCb DS (]:3 (! ~/o 3 Comments/Instructions: SFD_ WA .../ MW