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Home My WebLink AboutCO 604Ima Pr®'ect ®r~der Fil C®ver-P ~ e age 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. 1~. Order File Identifier Organizing (done) ^ Two-sided II I I I II ~ ~) (I III ^ Rescan Needed it I I I II I ll l ill RESCAN DIGITAL DATA OVERSIZED (Scannable) ^ Color Items: ^ Diskettes, No. ^ Maps: ~ Greyscale Items: ^ Other, No/Type: ^ Other Items Scannable by a Large Scanner ^ Poor Quality Originals: OVERSIZED (Non-Scannable) ^ Other: ^ Logs of various kinds: NOTES: ^ Other: BY: Maria Date: O g /s/ Project Proofing II I II II ~I I I III ~ ~ III BY: Maria Date: p~ O /s/ Scanning Preparation x 30 = + =TOTAL PAGES p (Count does not include cover she t) BY M i D : ar a ate: ~+f O /s/ Production Scanning II I II II II I ~ III I ~ ~Ii ~ Stage 1 Page Count from Scanned File: ~ (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: ~YES NO _ BY: Maria Date: ~~ ~Q U /s/ Stage 7 If NO in stage 1, page(s) discrepancies were found: YES NO BY: Maria Date: /s/ Scanning is complete at this point unless rescanning is required. II I I II II (IIII II III ReScanned II I I) III) II II I" I BY: Maria Date: /s/ Comments about this file: Quality Checked ( I I I I II II II I Ill f II I 10/6/2005 Orders File Cover Page.doc • L~ INDEX CONSERVATION ORDER NO. 604 Wainwright 3-9 Well 1) May 2, 2008 US Department of Interior request for spacing requirements 2) May 6, 2008 Notice of Hearing, affidavit of mailing, e-mail list, bulk mailing list 3) -------------- Various e-mails 4) -------------- Various public information requests CONSERVATION ORDER NO. 604 • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF THE U.S. DEPARTMENT OF THE INTERIOR, U.S. GEOLOGICAL SURVEY for waivers of the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) or 20 AAC 25.055(a)(4) or both to allow for drilling, completing, and testing the following proposed U.S. Department of the Interior Coalbed Methane exploratory wells: Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9. Conservation Order No. 604 Docket No. CO-08-28 Department of the Interior Coalbed Methane exploratory wells: Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9. Wainwright, Alaska June 6, 2008 NOTICE CLOSING DOCKET BY THE COMMISSION: The Commission has the closed the Docket in the above captioned matter. ENTERED AND EFFECTIVE at Anchorage, Alaska and this 6th day of June, 2008. BY DIRECTION OF THE COMMISSION J. Co m i al As st to the Commission • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF THE U.S. DEPARTMENT OF THE INTERIOR, U.S. GEOLOGICAL SURVEY for waivers of the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) or 20 AAC 25.055(a)(4) or both to allow for drilling, completing, and testing the following proposed U.S. Department of the Interior Coalbed Methane exploratory wells: Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9. IT APPEARING THAT: Conservation Order No. 604 Docket No. CO-08-28 Department of the Interior Coalbed Methane exploratory wells: Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9. Wainwright, Alaska June 6, 2008 By letter dated and received on Apri123, 2008, and as amended on Apri125, 2008, and May 1, 2008, the U.S. Department of the Interior (ITSDOI), U.S. Geological Survey (USGS) applied to the Alaska Oil and Gas Conservation Commission (AOGCC or Commission) for permits to drill the Wainwright No. 3, 4, 5, 6, 7, 8 and 9 Coalbed methane exploratory wells. In conjunction with the permit to drill applications the USGS applied for waivers of the following requirements: the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066 as well as for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) and 20 AAC 25.005(a)(4) for the proposed Wainwright wells No. 3, 4, 5, 6, 7 and 8 wells, and for an exception to the spacing requirement of 20 AAC 25.055(a)(2) for the proposed Wainwright No. 9 well. The Commission published notice of opportunity to comment and request a public hearing in the ANCHORAGE DAILY NEws on May 6, 2008, pursuant to 20 AAC 25.540. 2. One notice of objection was filed. No written comments or requests for a hearing were received. 3. The public hearing was vacated on June 3, 2008. FINDINGS: The proposed Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 will be onshore, vertical, Coalbed methane exploration wells drilled in and near Wainwright, Alaska. The location of each proposed well is as follows: a. Wainwright No. 3: 1720' FEL, 640' FNL, Sec. 24, T15N, R32W, Umiat Meridian (UM) b. Wainwright No. 4: 1780' FEL, 540' FNL, Sec. 24, T15N, R32W, UM c. Wainwright No. 5: 1650' FEL, 630' FNL, Sec. 24, T15N, R32W, UM Conservation Order 604 • June 6, 2008 Page 2 of 4 d. Wainwright No. 6: 1780' FEL, 660' FNL, Sec. 24, T15N, R32W, UM e. Wainwright No. 7: 1890' FEL, 760' FNL, Sec. 24, T15N, R32W, UM f. Wainwright No. 8: 2040' FEL, 970' FNL, Sec. 24, T15N, R32W, UM g. Wainwright No. 9: 5040' FEL, 3720' FNL, Sec. 8, T15N, R31 W, UM 2. The United States is the landowner, as that term is defined in AS 31.05.170(7), of Section 24, T15N, R32W, UM. The USDOI, Bureau of Land Management (BLM) administers Section 24. The Arctic Slope Regional Corporation (ASRC) is the landowner of Sec. 8, T15N, R31W, UM. The State of Alaska is the landowner of the offshore acreage adjacent to both sections. The USGS has been designated as the operator of the lands that Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 are located on. 3. Under AS 31.05.027, the Commission's authority extends to all land within the state, including federal land and native corporation land affected by the proposed activities, that are lawfully subject to the state's police powers. 4. Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 will be within 1500' of a shoreline separating onshore federal lands from offshore State of Alaska lands. Wainwright wells No. 3, 4, 5, 6, 7 and 8 will be within the same governmental section as, and within 3000' of, one another and existing Wainwright wells No. 1 and 2. 5. Wainwright, Alaska, obtains drinking water from surface water sources according to the Alaska Department of Environmental Conservation, Division of Environmental Health, Drinking Water Program and the Alaska Department of Natural Resources, Land Administration System. These sources are in the northwest quarter of the southwest quarter of Section 9, T31N, R31 W, UM: over 1 mile from the proposed wells. 6. The expected depth of the base of the permafrost in Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 is about 1,000 feet. (Because the USGS has yet to file completion reports for Wainwright wells No. 1 and 2, the actual depth is unknown.) If this is the case, subsurface aquifers will not likely be utilized for drinking water. 7. USGS is an agency of the United States. The credit of the United States renders a bond unnecessary for Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9. 8. The proposed wells will be constructed by setting 6-5/8" conductor in a 9-7/8" hole drilled to approximately 80'. A 6" hole will be drilled below the conductor to a total depth between 2500' and 3000' for Wainwright No. 9 and about 1300' for the other wells. USGS plans to use a rotating drill head, which seals around the drill stem and directs the annular mudflow to the pits. If gas is encountered, the rotating drill head functions as a diverter. A similar rotating drill head was used successfully at the Franklin Bluffs No. 1, Wainwright No. 1, and Wainwright No. 2 exploratory gas wells (AOGCC Permits to Drill No. 205-105, 207-065, and 207-106, respectively). 9. Seismic information obtained near Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 does not indicate shallow gas. In addition, drilling records and mud log information from the nearest exploration wells-i.e., Peard Test Well No. 1, which is 25 miles east; Kugrua No. 1, which is 30 miles east- southeast; and Tunalik No. 1, which is 37 miles southwest-do not indicate abnormal pressure. Because the USGS has not provided completion reports for Wainwright wells No. 1 and 2, drilling records and mud log information are not available to the AOGCC on these wells. Conservation Order 604 June 6, 2008 Page 3 of 4 10. Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 will be drilled with atruck-mounted drilling rig. This equipment has no enclosures where sufficient quantities of methane can accumulate to pose a risk of explosion or fire, or where a methane detector can be placed. 11. The proposed wells are designed to test the lateral extent, deliverability, and water chemistry of coalbeds underlying the Wainwright area. CONCLUSIONS: 1. Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9-drilled near Wainwright, Alaska, to explore for coalbed methane-are subject to the Alaska Oil and Gas Conservation Act, 31.05, and the Commission's regulations, 20 AAC 25. 2. Exceptions to the well spacing requirements of 20 AAC 25.055 are necessary to allow for drilling, completing, and testing Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9. 3. A spacing exception to allow for drilling, completing, and testing Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 will not result in waste or jeopardize correlative rights. 4. Exceptions to the gas detection requirements of 20 AAC 25.066 are necessary to allow for drilling, completing, and testing Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9. Granting exceptions to the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066 to allow for drilling, completing, and testing Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 will not likely result in a waste of hydrocarbons, risk harm to human safety or the environment (e.g., from an explosion or fire), prevent the subject wells from being properly abandoned, or interfere with the correlative rights of persons owning interests in adjoining or nearby tracts of land. 6. The requirements of AS 31.05.030(j)(1)(A) do not apply because Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 will not be used to produce gas from an aquifer that is a source of water for human consumption or agricultural purposes. 7. The requirements of AS 31.05.030(j)(2)(C) do not apply because Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 will not be used for regular production, only limited duration testing is proposed at this time, of coal bed methane nor are there any known water wells in the area. Approval of the operator's requested exemptions conforms with AS 31.05.060(c)(1 }-i. e., because granting the exemptions is more appropriate than compliance with the subject requirements to the operation of the proposed wells-and AS 31.05.060(c)(2~i.e., because the subject requirements are not necessary or suited to the proposed wells taking into consideration the nature of the operation, the characteristics of the wells, and the reasonably anticipated risks (from granting the exemptions) to human safety and the environment. NOW, THEREFORE, IT IS ORDERED: 1. The USGS's application for an exception to the spacing requirements of 20 AAC 25.055 to allow for drilling, completing, and testing Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 is granted. 2. USGS's application for waivers of the bonding requirements of 20 AAC 25.025 for Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 is granted. Conservation Order 604 June 6, 2008 Page 4 of 4 3. USGS's application for waivers of the blowout prevention equipment requirements of 20 AAC 25.035 for Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 is granted. 4. USGS's application for waivers of the wellbore survey requirements of 20 AAC 25.050(a)(2) for Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 is granted. 5. USGS's application for waivers of the well site seismic survey requirements of 20 AAC 25.061(a) for Wainwright wells No. 3, 4, S, 6, 7, 8 and 9 is granted. 6. USGS's application for waivers of the gas detection requirements of 20 AAC 25.066 for Wainwright wells No. 3, 4, 5, 6, 7, 8 and 9 is granted. 7. These wells may not be hydraulically fractured without the Commission's separate approval. ENTERED at Anchorage, Alaska, and dated June Conservation Commission Cat y P. oerster, ommissioner Alaska it and Gas Conservation Commission 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 re- consideration aze FINAL and may be appealed to superior court. The appeal MUST be filed within 33 days after the date on which the Com- mission mails, OR 30 days if the Commission otherwise distributes, the order or decision denying reconsideration, UNLESS the denial is by in- action, in which case the appea! MUST be filed within 40 days after the date on which the application for rewnsideration was filed. If the Commission grants an application for reconsideration, this order or decision does not become final. Rather, the order or decision on re- consideration 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 re- consideration. As provided in AS 31.05.080(b), "[t]he questions reviewed on appeal aze 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 pe- riod; 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 da that does not fall on a weekend or state holida . . ~ Page 1 of 1 Colombie, Jody J (DOA) From: Colombie, Jody J (DOA) Sent: Friday, June 06, 2008 4:42 PM Subject: C0604 Attachments: D00080606.pdf BCC:Birnbaum, Alan J (LAW); Crisp, John H (DOA); Davies, Stephen F (DOA); Fleckenstein, Robert J (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Mahnken, Christine R (DOA); Maunder, Thomas E (DOA); McIver, C (DOA); McMains, Stephen E (DOA); Noble, Robert C (DOA); Norman, John K (DOA); Okland, Howard D (DOA); Paladijczuk, Tracie L (DOA); Pasqual, Maria (DOA); Regg, James B (DOA); Roby, David S (DOA); Saltmarsh, Arthur C (DOA); Scheve, Charles M (DOA); Seamount, Dan T (DOA); Smith, Chasity R (DOA); Williamson, Mary J (DOA); 'Dale Hoffman'; Fridiric Grenier; Joseph Longo; Maurizio Grandi; Tom Gennings; 'Willem Vollenbrock'; 'Aleutians East Borough'; 'Anna Raff ; Arion, Teri A (DNR); 'Arthur Copoulos'; 'Barbara F Fullmer'; 'bbritch'; 'Bill Walker'; 'Brad McKim'; 'Brandon Gagnon'; 'Brian Gillespie'; 'Brian Havelock'; 'Brit Lively'; 'Bruce Webb'; 'buonoje'; 'Cammy Taylor'; 'Cande.Brandow'; 'carol smyth'; 'Cary Carrigan'; caunderwood@marathonoil.com; 'Charles O'Donnell'; 'Chris Gay'; 'Christian Gou-Leonhardt'; 'Cliff Posey'; 'Dan Bross'; 'dapa'; 'Daryl J. Kleppin'; 'David Brown'; 'David Hall'; David House; 'David L Boelens'; 'David Steingreaber'; 'ddonkel'; 'Deanna Gamble'; 'Deborah J. Jones'; 'doug_schultze'; 'Eric Lidji '; 'Evan Harness'; 'eyancy'; 'foms2@mtaonline.net'; 'Francis S. Sommer'; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Rogers'; 'Gary Schultz'; 'ghammons'; 'Gordon Pospisil'; Gould, Greg M (DEC); 'Gregg Nady'; 'gregory micallef; 'gspfoff; 'Hank Alford'; 'Harry Engel'; 'jah'; 'James Scherr'; 'Janet D. Platt'; 'jejones'; 'Jerry McCutcheon'; 'Jim Arlington'; 'Jim White'; 'Jim Winegarner'; 'Joe Nicks'; 'John Garing'; 'John S. Haworth'; 'John Spain'; 'John Tower'; 'John W Katz'; johnny.aiken@north-slope.org; 'Jon Goltz'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; knelson@petroleumnews.com; 'Krissell Crandall'; 'Kristin Dirks'; 'Laura Silliphant'; 'Lois'; 'Lynnda Kahn'; 'mail=akpratts@acsalaska.net'; 'mail=fours@mtaonline.net'; 'Marilyn Crockett'; 'Mark Dalton'; 'Mark Hanley'; 'Mark Kovac'; 'Mark P. Worcester'; 'Marguerite kremer'; 'many'; 'Matt Rader'; 'Meghan Powell'; 'Mike Bill'; 'Mike Mason'; 'Mikel Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'Nick W. Glover'; NSK Problem Well Supv; NSU, ADW Well Integrity Engineer; 'Patty Alfaro'; 'Paul Decker'; 'Paul Winslow'; Pierce, Sandra M (DNR); 'Randall Kanady'; 'Randy L. Skillern'; 'rcrotty'; Rice, Cody J (DNR); 'rmclean'; 'Rob McWhorter'; rob.g.dragnich@exxonmobil.com; 'Robert Campbell'; 'Robert Fowler'; 'Robert Province'; 'Roger Belman'; 'Rudy Brueggeman'; 'Scott Cranswick'; 'Shannon Donnelly'; 'Sharmaine Copeland'; 'Sondra Stewman'; 'Sonja Frankllin'; 'Stan Porhola'; 'stanekj'; 'Steve Lambert'; 'Steve Moothart'; 'Steven R. Rossberg'; 'tablerk'; 'Tamera Sheffield'; 'Temple Davidson'; 'Terrie Hubble'; 'Tim Lawlor'; 'Todd Durkee'; Tony Hopfinger; 'trmjrl'; 'Walter Featherly ; 'Walter Quay'; 'Wayne Rancier' Attachments: D00080606.pdf; Jody Colombie Special Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 (907) 793-1221 Direct Line (907) 276-7542 Fax 6/9/2008 Mary Jones David McCaleb Cindi Walker XTO Energy, Inc. IHS Energy Group Tesoro Refining and Marketing Co. Cartography GEPS Supply & Distribution 810 Houston Street, Ste 2000 5333 Westheimer, Ste 100 300 Concord Plaza Drive Ft. Worth, TX 76102-6298 Houston, TX 77056 San Antonio, TX 78216 George Vaught, Jr. Jerry Hodgden Richard Neahring PO Box 13557 Hodgden Oil Company NRG Associates Denver, CO 80201-3557 408 18th Street President Golden, CO 80401-2433 PO Box 1655 Colorado Springs, CO 80901 John Levorsen Michael Parks Mark Wedman 200 North 3rd Street, #1202 Marple's Business Newsletter Halliburton Boise, ID 83702 117 West Mercer St, Ste 200 6900 Arctic Blvd. Seattle, WA 98119-3960 Anchorage, AK 99502 Baker Oil Tools Schlumberger Ciri 4730 Business Park Blvd., #44 Drilling and Measurements Land Department Anchorage, AK 99503 2525 Gambell Street #400 PO Box 93330 Anchorage, AK 99503 Anchorage, AK 99503 Ivan Gillian Jill Schneider Gordon Severson 9649 Musket Bell Cr.#5 US Geological Survey 3201 Westmar Cr. Anchorage, AK 99507 4200 University Dr. Anchorage, AK 99508-4336 Anchorage, AK 99508 Jack Hakkila Darwin Waldsmith James Gibbs PO Box 190083 PO Box 39309 PO Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Kenai National Wildlife Refuge Penny Vadla Richard Wagner Refuge Manager 399 West Riverview Avenue PO Box 60868 PO Box 2139 Soldotna, AK 99669-7714 Fairbanks, AK 99706 Soldotna, AK 99669-2139 Cliff Burglin Bernie Karl North Slope Borough PO Box 70131 K&K Recycling Inc. PO Box 69 Fairbanks, AK 99707 PO Box 58055 Barrow, AK 99723 Fairbanks, AK 99711 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 ~~ C/%,~ 1 Barrow, AK 99723 ~Y ..~ ~~ K ~ 4 • ~ Page 1 of 2 Colombie, Jody J (DOA) From: Davies, Stephen F (DOA) Sent: Monday, June 02, 2008 3:46 PM To: susitnahydronow@yahoo.com Cc: Colombie, Jody J (DOA) Subject: FW: Information Request Regarding Wainwright 3-9 Wells Mr. McCutcheon The answers to your specific questions concerning the composition and disposal of drill fluids and produced water at Wainwright can be found in public documents filed by the operator with the Alaska Department of Environmental Conservation (ADEC). These documents can be obtained by contacting the ADEC. Please let us know if you have additional questions. Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission From: Colombie, Jody ] (DOA) Sent: Monday, June 02, 2008 10:58 AM To: Davies, Stephen F (DOA) Subject: FW: FW: Public Notice Wainwright 3-9 Wells Please respond From: jerry mccutcheon [mailto:susitnahydronow@yahoo.com] Sent: Monday, June 02, 2008 10:54 AM To: Colombie, Jody J (DOA) Subject: Re: FW: Public Notice Wainwright 3-9 Wells What is in the effluent besides water ? How will it affect the function of the sewage lagoon? --- On Thu, 5/29/08, Colombie, Jody J (DOA) <jody.colombie@alaska.gov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: FW: Public Notice Wainwright 3-9 Wells To: susitnahydronow@yahoo.com Date: Thursday, May 29, 2008, 11:49 AM Mr. McCutcheon: The operator expects up to 200,000 gallons of produced water, which will be disposed in the sewage lagoon. Jody From: jerry mccutcheon [mailto: susitnahydronow@yahoo.com ] Sent: Monday, May 05, 2008 12:50 PM To: Colombie, Jody J (DOA) Subject: Re: Public Notice Wainwright 3-9 Wells This is a notice of objection and a request for information. What are they going to do with the produced water? 6/3/2008 • Page 2 of 2 --- On Mon, 5/5/08, Colombie, Jody J (DOA) <jody.colombie@alaska.gov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: Public Notice Wainwright 3-9 Wells To: Date: Monday, May 5, 2008, 9:46 AM Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line Be a better friend, newshound, and know-it-all with Yahoo! Mobile. "1'ry it now.. 6/3/2008 J i ~1 t ,, ~~. _ _, . "" ' SARAH PALIN, GOVERNOR ~7~ ®~ ~ <ZAS 333 W. 7th AVENUE, SUITE 100 COI~TSFiRQA'1'IO1~T CODII~'IISSIOIQ ANCHORAGE, ALASKA 995Q1-3539 PHONE (907) 279-1433 May 12, 2008 FAx (907> z7sa5a~ f Dana L. Olson HC-35 Box 5438 Wasilla, AK 99564 Re: Bureau of Land Management and Arctic Slope Regional Corporation Application for a Spacing Exception For the Wainwright 3-9 Wells Dear Ms. Olson: Per your request this morning attached is the Bureau of Land Management and Arctic Slope Regional Corporation's application for a Spacing Exception for the Wainwright 3- 9wells. Sincerely, o y J. om ie pecial Staff Assistant Encl. '~®1~ ®RT'~I®TSEl~ ®~I~~'ES9 ~.I.C ENVIl2®N1~NTA1_, ~F:1VII'i'Y'I1VG 8z 1l~ANAGEN~NT 1?O. Box 1 13192 Alvcxoxac~, ALASKA 995 1 1-3 192 ®'I~i. (907) 345-5789 ®Fax (907) 345-3575 May 2, 2008 Alaska Oii & Gas Conservation Commission 333 W. 7th Ave. , Ste. 100 Anchorage, Alaska 99501 Attn.: Mr. Dan Seamount, Chairman ~$ wr ?~1 a ~ ~- ~`~ Re: Requested Exceptions to Well Spacing Provisions, 20 AAC 25.055 The purpose of this letter is to request exceptions to the spacing requirements under 20 AAC 25.055(a)(2) and (a)(4) for seven proposed coal bed methane exploration wells. The wells will be drilled in and near the village of Wainwright. The US Geological Survey as the Operator, incorporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of all seven wells are within or adjacent to the village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AoGCC. All seven exploration wells will be drilled closer than 3,000 feet to the state submerged lands of the Chukchi Sea. Therefore, a well spacing exception has been requested for a!I seven wells. Six of the wells will be drilled with a spacing closer that 1,500'. Snacing Exceptions under 20 AAC 25.055(a)(4) for Wells #3 - #8. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The locations of these proposed wells are shown on the attached Figures 1 and 2. Spacing Exceptions under 20 AAC 25.055(a)(2) for Wells #3 - #9. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The locations of proposed Wells #3 through #8 are shown on the attached Figures 1 and 2. • The location of proposed Well #9 is two miles to the northeast of the village of Wainwright. • The location of proposed Well #9 is shown on the attached Figures 3 and 5. Wainwright. CBM Well Spacing Exemption. Page 1 of 4 May 2, 2008 ! • Summanr of Proposed Wells and Locations. Well Name and Number: Wainwright #3, (Exploration, Production Test) Well Location Area: Village of Wainwright. MTRS: Umiat FNL: 640' FEL: 1, 720' T15N R32W, Sec. 24. Well Location tesai, Surface and Bottomhole. Distance to State Submerged lands: 475' Weil Name and Number: Wainwright #4, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. MTRS: Umiat FNL: 540' FEL:1,780' T15N R32W, Sec. 24. Well Location Legal. Surface and Bottomhole. Distance to State Submersed lands: 450' Well Name and Number: Wainwright #5, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. MTRS: Umiat FNL: 630' FEL: 1,650' T15N R32W, Sec. 24. WeH Location Legal, Surface and Bottomhole. Distance to State Submersed lands: 500' Well Name and Number: Wainwright #6, (Exploration, Production Test Monitor} Well Location Area: Well Location Legal, Surface and Bottomhole. Distance to State Wainwright. CBM Well Spacing Exemption. May 2, 2008 Village of Wainwright. MTRS: Umiat T15N R32W, Sec. 24. FNL.:660' FEL: 1,780' Page 2 of 4 • Submerged lands: 460' Wetl Name and Number: Wainwright #7, (Exploration, Production Test Monitor} Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submerged lands: 440' Well Name and Number: Wainwright #8, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 970' FEL:2,040' Distance to State Submerged lands: 410' Well Name and Number: Wainwright #9, (Exploration, Offset Well) Wel( Location Area: North Slope Borough, landfill for Wainwright. Weil Location Legal. MTRS: Umiat T15N R31 W, Sec. 8. Surface and Bottomhole. FNL:3,720' FEL:5,040' Distance to State Submerged lands: Wainwright. CBM Well Spacing Exemption. May 2, 2008 1, 350' Page 3 of 4 • • Please contact me at 907-345-5789 or via email at tom@mortensen.com if you have any questions, or require any additional information. Sincerely, s ~,~,~.~ Thomas W. Mortensen cc: Arthur C. Clark, USGS, Denver. Bob Fisk, BLM, Anchorage. Teresa Imm, ASRC, Anchorage. Wainwright. CBM Well Spacing Exemption. Page 4 of 4 May 2, 2008 • • SURVEYED TOWNSHIP 19 NORTH,RAN6E 32 WEST OF THE UMIA7 MERIDIAN, ALASKA STATUS OF PUBLIC DOMAIN LAND AND MINERAL TITLES i --.. _.. ,~ ..., MTP - .,_~. _y_ _..,~ _. ,.,.. / ~ SLtPPL Sec 24, 25 _ / ~_ .,,.. u.. e • .. iaOE. 10 SE4aE4siEp iaeC:2 aJl x .. .o ~ ~cM+ ~ :v<at x., ~,~ f ~ ,.,. ~; _.... .~ `~~ i~ :+s2,3<+o r. . ~~ EL/=l 'f.~~f~AYAfIi[V Flp~l JS4+= / ___ _- a ~..~ _ _ --- ,., ,. ---- _- „+ r - - f _._-- --- ~__ »K' ~--- z: :r ....,. ....~ I _~__.. _ % ---- ~- m~ ~~p .a sais.,.c~.ys' u w _ r,r.. _ rJ51! sc a~wao <unr~s F_32R Figure #1. Wainwright Townsite. Plat T15N R32W UM. AOGCC Permit to Driil. Wainwright# 9 April 22, 2008, Page 9 of 31 • • T15N R32w UM Sec. 24 - r wainwright #1 and #2 (2007) ` ;Production Well ., ~" (Total = it . J, 9 ;,~' (~5 ~ .jam 3 ~ 14onitoring we 11 `% ~ tTotal 5) /~ BLM SS8 Only 0 '~ Olgoonik Corp. ~' sD-9l-oss2 SSE /% SLbi SSS Only .~ P. ~/ USS 2t01 4 1.80 FB73GP OCD Jraa US ~ ~/ /~ PLO 5188 ~'~ ~ 6 ~ ~ * ~ i ~ \o 0 Wdt Ci & Q t I ~' 5 /~ nterea ~ s Pvblrc 5 gE ~ s ~ /~ USS 4418, Tr A PL 96-497 ~ wa AR Aronruaa M1A cnwtcn, say uroi \ •~ ~nss aye ~ r r e ~ / 24 1 67 ~G /~ (Wainwright ~J uss ate /j/' Townsite) r~ c 7.09 G 30-93-0626 SSE /y ~ Figure #2. Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Townsite. Plat T15N R32W, Sec 24, UM. AOGCC Permit to Drill. Wainwright!! 9 April 22, 2008, Page 10 of 31 C, SURVEYED TOWNSHIP 15 NORTH RANGE 31 WEST OF THE UMIAT MERIDIAN, ALASKA Figure #4. Location of Proposed Offset Well at the NSB Landfill. Well #9. PIatT15N R31W,UM ;,A;u4 ~+ PURUC 6GNbv 'uNp eN0 WNEHa~ 1iti5 M TP AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 12 of 31 • ;' ;''r ~' g :~?3~s 5 • ' ~v ~ l ~ ^ V~ ,•i.11 !%~ N YC°G~ COO! vG I ~^ saSE J /% i-21s '~~ ~ U55 11537 " 153.56'- F963.%1 JCG' U Ai/ Ain ~xcsv' .-.c.' GG SSn :L'n!v ~~:'S~~ `l~/mil. T15N R31W UM ?-39 i ~ PL 98-487 ~ ! ~d~ A/csta ,41ac:rsme ~;wR Ol oOnik CO q ~' ASRC C~ukcnr Sec Unitf '' SSB SSE Only 50-91-4567 IC 1460 2-296.73 I ~-591.59 GL 94-258 {YC/ PJPP, -A 18 ~ 17 SEE Erat aRGEM EvT . ~ USS 5252 R z ~U95 =252 2 2-22.83 t X4.36 x.9.52 so-s8-o:.~y ~l '` , Ji~~o,~ 4 °e~ ~ r.~zz9~ ~S£ ~n!y /!' 71Sn 1-510 16 Figure #5. Location of Proposed Offset Well at the NSB Landfill. Detail View. Well #9. PIatT15N R31W,UM AOGCC Permit to Drill. Wainwright # 9 Apri122, 2008, Page 13 of 31 SARAH PALIN, GOVERNOR 333 W. 7th AVENUE, SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907} 276-7542 May 9, 2008 Dana L. Olson HC-35 Box 5438 Wasilla, AK 99564 Re: Follow-Up to May 6, 2008 Visit Dear Ms. Olson: On May 6, 2008, you visited the Alaska Oil and Gas Conservation Commission (Commission). During your visit, you requested a special accommodation to attend a hearing scheduled for June 10, 2008. You stated that you will be unable to attend in person because of a scheduled surgery. Also, you declined to participate by telephone because you will probably be on pain medication. Unfortunately, the Commission cannot change the hearing date to accommodate your operation and recovery. Therefore, we suggest that you submit your comments in writing before the hearing or arrange for someone to comment at the hearing on your behalf or both. Also, apparently, you want the Commission to request that an official from another agency rescind an order that is unrelated to the Commission's work. The Commission lacks jurisdiction with respect to such orders; nor can it represent your interests before other agencies. Therefore, we suggest that you, or someone on your behalf, directly contact the agency that issued the order abox which you are concerned. ~tv Orman issioner ~3 Page 1 of 1 • • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Tuesday, June 03, 2008 2:30 PM To: Colombie, Jody J (DOA) Cc: Seamount, Dan T (DOA); Norman, John K (DOA); Foerster, Catherine P (DOA); Saltmarsh, Arthur C (DOA); Birnbaum, Alan J (LAW); Roby, David S (DOA); Maunder, Thomas E {DOA) Subject: Wainwright 3 - 9 Spacing Exception Hearing Jody, After speaking with the Commissioners and Alan, the unanimous decision is to vacate the Wainwright Spacing Exception hearing tentatively scheduled for June 10 at 9 am. Although Ms. Dena Olson visited the Commission on May 6~' to discuss the hearing and her inability to attend it as scheduled, she did not accept any of the Commission's offers to submit written comments, participate by telephone or have someone attend the hearing on her behalf. She later requested a copy of the spacing exception application (which was provided to her on May 12th), but did not file any written comments or a written request to hold the hearing. Mr. Jerry MCCutcheon emailed a "notice of objection" and a request for information to the Commission on May 5, 2008, but our consensus opinion is that this notice does not constitute a request for hearing. No one else filed a request for hearing by the scheduled deadline of 4 PM on May 23rd, so it is not needed. Thanks, Steve D. 6/3/2008 r: • Davies, Stephen F (DOA) From; Tom Mortensen [tom~mortensen.com] Seat: Monday, June 02, 2008 5:57 PM To: Davies, Stephen F (DOA) Subject; Wainwright CBM Attachments: Certification of Officer ASRC.pdf; ATT909645.txt ,~ Certification of A1T909ti45.txt Officer ASRC.... (248 B) Steve, Attached is the Certification that was requested for the Designation of Operator form that was signed by AS RC. Tom Mortensen 907-345-5789 1 6/3/2008 9:07 AM • • Certificate I am the Corporate Secretary, an authorized officer of the Arctic Slope Regional Corporation (ASRC). I have reviewed to my satisfaction the authority of management to act on behalf of the Corporation in connection to approve investments and other transactions. My review has established Mark Kxoloff as Chief Operating Officer (COO) and or as designee of the Arctic Slope Regional Corporation President and Chief Executive Officer, has the. authority to approve investments and other transactions such as approving the drilling on Arctic Slope Regional Corporation's subsurface land including the Wainwright Gas field as of April 21, 2008 and including dates in his role as COO of ASRC. _...------"~'~------- ___ (,-°'"~ Name: Patsy Aamodt Signature: _' ~ - _ 1~'itle: Corporate Secretary Date: April , 2008 ~3 I hereby certify that on this ~~day of~, 2008, before me a Notary Public of the State of Alaska personally appeared Patsy Aamod , Corporate Secretary of Arctic Slope Regional Corporation and made her oath and affirmation in due form of law that the matters and facts set forth in this affidavit are true. As witness my hand and notarial seal. .. _-~-- .~-- r~~..~...~~h otan~~ ~~;• ~ : p ~tG ~; ~ rotary 1?ul;l c. ~'~ r„ ,. .an;e c+ :;~9r UB Py~~ , ~~ Commission Expzres: - t ~`~' (~®j ~`' ~4 ~ fzpi~es'. ~ .~ RLv.V~1 Y ~Li JUN U 2 2008 Alaska Oil & Gas Cons. Commission Anchorage • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Monday, June 02, 2008 2:05 PM To: Davies, Stephen F (DOA) Cc: Arthur C Clark; Bob Fisk~iak.blm.gov; Teresa Imm Subject: Wainwright CBM. Letter to ASRC, Re Well Spacing Exemption. Attachmer>tts: Letter to ASRC Requested Well Spacing Exemption.pdf; Letter to ASRC Requested Well Spacing Exemption.pdf; ATT841524.txt .~. Letter to ASRC Lettex to ASRC ATT'841524.txt Requested Well ... Requested Well ... (248 B) Steve, Attached is the certified letter sent to ASRC for the well spacing exemption return receipt is on the last page. In addition: The only affected owners for all of the proposed Wainwright CBM exploration wells are the BLM, State of Alaska, and RSRC. The only affected operator is the USGS. Tom Mortensen 907-345-5789 The signed 1 6/2/2008 3:52 PM • • TOM MORTENSEN ASSOCIATES, ~.~,C ENVIRONMENTAL PERMITTING 8z. MANAGEMENT P.O. Box 1.13192 AivCHORAGE, ALASKA 995 1 1-3 1 92 • TEL (907) 345-5789 • FAX (907) 345-3575 May 8, 2008 Arctic Slope Regional Corporation 3900 C Street, Suite 801 Anchorage, Alaska 99503-5967 Attn.: Ms. Teresa Imm Director, Resource Development Certified Mail Retum Receipt Requested Re: Requested Exceptions to Well Spacing Provisions, 20 AAC 25.055 The US Geological Survey as the Operator, in corporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of all seven wells are within or adjacent to the Village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AOGCC. Well #9 will be drilled at a location where ASRC owns the subsurface. The names and locations of all wells are listed below. Two plats are included showing the locations of the wells seven wells. The affidavit required under 20 AAC 25.055(c)(3) is incorporated into this letter on page 7. Well Name and Number: Wainwright #3, (Exploration, Production Test) Welt Location Area: Well Location Legal. Surface and Bottomhole. Distance to State Submersed lands: waimnrtigM. cBM Well Spaang Exemption. May 8, 2008 Village of Wainwright. MTRS: Umiat T15N R32W, Sec. 24. FNL: 640' FEL: 1, 720' 475' Page 1 of 7 • C7 Well Name and Number: Wainwright #4, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 540' FEL:1,780' Distance to State Submersed lands: 450' Well Name and Number: Wainwright #S, (Exploration,- Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 630' FEL: 1,650' Distance to State Submersed lands: 500' We11 Name and Number: Wainwright #6, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Lesal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL.:660' FEL: 1,780' Distance to State Submersed lands: 460' Well Name and Number: Wainwright #7, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submersed lands: 440' Wainwright. CBM Weil Spaang Exemption. Page 2 of 7 May S, 2008 Well Name and Number: Wainwright #8, (Exploration, Production Test Monitor) Well Location Area: Well Location Lepal. Surface and Bottomhole. Distance to State Submerged lands: Village of Wainwright. MTRS: Umiat T15N R32W, Sec. 24. FNL: 970' FEL:2,040' 410' Well Name and Number: Wainwright #9, (Exploration, Offset Well) Well Location Area: North Slope Borough, landfill for Wainwright. MTRS: Umiat FNL:3,720' FEL:5,040' T15N R31 W, Sec. 8. Well Location Leoal. Surface and Bottomhole. Distance to State Submerged lands: Wainwright. CBM Wetl Spaang Exemption. May 8, 2008 1,350' Page 3 of 7 • • PC 96' 11'd AR LYw~tcJw J ~ T1511< R3Z1P IIIt Sec. 24 • ~' ~ Production 9~a11 !C/ ./ ~~ BL1[ 3SB Only Q. // uss ssoT hF. ~' ~~P o~ ~~ titi ... ~ ~' f P~ CI 6 ~` c~ 0~ 6 ~~ ~ Pub1,c Interest ~~~~ ~J ~_t,E ~Ar MrR G~ / 24 T~ E / QSS 4418, Tr A \ T ~ ~sss ins ~/ Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Townsite. Plat T15N R32W, Sec 24, UM. ~J G Mainxright #1 and #Z (2007) 1 61 (liainwright rss ~~1e Tonnsit®) T,c 2.08 ~a~s-osr~s ssE //. /// (Total 13 ~~,'~ 1~5 . E.- Honitoriag oPnll (Total 53 HL1f SS8 Only • 0~9--Ot?68 Corp . Wainwright. CBM Wetl Spacing Eacemption. Page 4 of 7 May 8, 2008 • , , ~ ~. G ~ ° ~ 6 f923f3 5 ` ~ J oco ro us G ` Au Min Except Cnv/ AC SS£ ONy !C 7456 % 1-214 50-98-0036 NA CrFt D/C USS 11587 F92313 159.96 OCO to US Ad Mm Except Coo! GG SS£ Only /C 7631 1-607 Offset Well. T15N R3 iN U1[ 7 Wainwrig~t #9. g 1-ss ~ .~ PL 96-487 lYd/ A/osko Mo~itima NKti' (Chukchi Seo Unit) Ql ooaik CO g ~' SRC SS8 SSE Daly 50-91-0567 IC 1460 2-296.73 1-591.59 PL 94-258 Wo7 NPR-A 18 SEE ENLARGEMENT N0. 1 USS 5252 3 2-22.63 784.36 2 46.52 17 USS 5252 3-14.57 Location of Proposed Offset Well. Detail View. Well #9. Plat T15N R31 W,UM Wainwright. CBM Weli Spacing Exemption. May 8, 2008 Page 5 of 7 • 50-98-ORT9 NA Cert D/c 4 F92297 OCD to US Au Min Except con! OO SSLr Cnly /C 7456 1-510 9 2-13ow 16 ~ • Please contact me at 907-345-5789 or via email at tom~mortensen.com if you have any questions, or require any additional information. Sincerely, l ~ l~lJ Thomas W. Mortensen cc: Arthur C. Clark, USGS, Denver. Bob Fisk, BLM, Anchorage. The affidavit required under 20 AAC 25.055(c)(3) is on page 7 of this letter. Wainwright. CBM Well Spacing Exemption. Page 6 of 7 May 8, 2008 • STATE OF AWSKA ) ss.: THIRD JUDICIAL DtSTt~CT ) AFFIDAVIT OF THOMAS WILLIAM MORTENSEN 1, THOMAS 1MLLIAM MORTENSEN, being fist duly swam under odh, melee the follaMiirtg s~amerrts: I am acquainted with the facts of the above described proposed exploration Wells, and f am verifying #hat ell fads are true to the best of my krtotivledge, and that the plats correctly portray the pertinent and required data. 1 sw~r or affirm undue' penalt~r of perjury that my statements in this Affidavit are true to the best of my krxywledge and belief. ~~~ THOMAS WILLIAM MORTENSEN On the 3Q r~ day of~~°~/t in the yesrr 2008 before me, the urxiersigned, personally appeared THOMAS WILLWM MORTENSEN, personally known to me or proved to me on the basis of satisFac~ory evidenoe>b be the individual nfio®e name is sul~cxibed above. Subscxibed and swam to a affirmed before me at Anchorage, Alaska on ~ '~0 ,2008. ~w r`E ~7 ~ ! PAtlL JACOB HURLEY ; ~ d lllwlta '~ 1Af- comn~eion Expires Ap~.18, 201 t i'ic ' and for a State of Alaska. My ran expires ~~i Watrrs~ipAt CB~A Tot 7 Wd Spadny Exerttpfion. Pigs • TOM MORTENSEN ASSOCIATES, LLC ENVII20NMENTAL PEFtM11TING 8z. MANAGF:I~~NT P.O. Box 1.13192 ANCHORAGE, ALASKA 995 1 1-3 1 92 • 'TEL (907) 345-5789 • FAX (907) 345-3575 May 8, 2008 Arctic Slope Regional Corporation 3900 C Street, Suite 801 Anchorage, Alaska 99503-5967 Attn.: Ms. Teresa Imm Director, Resource Development Certified Mail Retum Receipt Requested Re: Requested Exceptions to Well Spacing Provisions, 20 AAC 25.055 The US Geological Survey as the Operator, in corporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of all seven wells are within or adjacent to the Village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AOGCC. Well #9 will be drilled at a location where ASRC owns the subsurface. The names and locations of alt wells are listed below. Two plats are included showing the locations of the wells seven wells. The affidavit required under 20 AAC 25.055(c)(3) is incorporated into this letter on page 7. Well Name and Number. Wainwright #3, (Exploration, Production Test) Welll LQca~tion Area: Well Location Leaal. Surtace and ,~ottomhoie. Distance ~o State Submersed lands: Wainwright. CBM Well Spaang Exemption. May 8, 2008 Village of Wainwright. MTRS: Umiat T15N R32W, Sec. 24. FNL: 640' FEL: 1,720' 475' Page 1 of 7 ~~ ", y ~; ~: ~ ~ ,- ._ ^ ^ ~' ~ ^ I ~^ ~.'~ ~ I ~ ~ ~ ~~~ ~ 4 t- ~t ~ = _ - ~, ~.~ _~ " ~~ ~~'~ ~- ~~ \~'~ ~ _ ., ~° ~~ -,; _; ~ I s `s . r~ ai a S G~ ~. ~ C5. 8~t °.~ ~~~~y N ~~°~Q._ ~ ~`~U~ ~~~~ ~ ~ C1 i U r"~ ~ ~ d Q ,C~ ~ ~ 'F ~ O ~ ~ ~ ~~ ~ ~ ~ Y~ ~ i0 ~ ~,d ~ymG ~~.~~a ^ ^ a • _- ~ I ~~ ~> i - ~ I ~~ ~~ ,, - ~~ ; ~_; ~ ,-_ ~ rya ~ , z~ ~ ~ E~; ~ rca ~ ' n c .~ i ~~r~~~ ~ vs~~Qlz~ r~~ ~> ~~ ~ °: ~_ ~r O ~- ~"~ ~ ~ r ~ ~ ~ ~ ~ ~ ~ CS1 ~] ~ ~ ~ V.~ ~ ~ ~ Q~1 ~. N ~~ q}Q ~~ ~~ ~', qa o ~ C.} ~ Q ~ ~ ,~ ~ u ~~~~c ~OQc~a: Q O C~ ca Z~ m .a ~ a ~~ Q ~-~ cC u c N c~a i Q I ~~ I~ '~ 0 ~~ v~ iu • C Well Name and Number: Wainwright #4, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 540' FEL:1,780' Distance to State Submerged lands: 450' Well Name and Number: Wainwright #5, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 630' FEL: 1,650' Distance to State Submerged lands: 500' Well Name and Number: Wainwright #6, (Exploration, Production Test Monitor) Wefl Location Area: Village of Wainwright. Well Location Lesaal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL.:660' FEL: 1,780' Distance to State Submerged lands: 460' Well Name and Number: Wainwright #7, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Welf Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submerged lands: 440' Wainwright. CBM Well Spacing Exemption. Page 2 of 7 May 8, 2008 r • Well Name and Number: Wainwright #8, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 970' FEL:2,040' Distance to State Submerged lands: 410' Well Name and Number: Wainwright #9, (Exploration, Offset Well) Well Location Area: North Slope Borough, landfill for Wainwright. MTRS: Umiat FNL:3,720' FEL:5,040' T15N R31 W, Sec. 8. Well Location Legal. Surface and Bottomhole. Distance to State Submerged lands: Wainwright. CBM Wel{ Spaang Exemption. May 8, 2008 1,350' Page 3 of 7 • • T15N A3Ztp U1t Sec. 24 Nainxright #1 aad #2 (2007) ~' Production 1fe11 (Total 1) ~~'~ ~ 1~5 . F.- 1[onitoriag 1Pe11 (Total = 5) BLiI SSS Only • O~9r-Ot?6P Corp . sse ~// PG 96-487 JYd Ak AAr NiIR \ CDUtdlr Sso (.M/ ~G ~J G e ~~ BL1[ SS$ Only \ hF. ~' terao~e oav ~«~ us o~c ,tr ,~ ti~ ¢ ~o ci~ °~ o ~* o~ ~~ ~ Public Interest ~~~~ $5" ~~ /~ QSS 4418, Tr A \ ~tlSS U11 ~ Tr E 24 1 N (lrain~rright uas +ale Tonasita) Tr c s.otl sa-ers-osrs ssF Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Townsite. Plat T15N R32W, Sec 24, UM. Wainwright. CBM Well Spaang F~ct:mption. Page 4 of 7 May 8, 2008 • • NA tern D/C F913>3 OCD to US All Alin Except Caa/ OG SSE Avly !C 1456 50-98-0036 NA Cert D/C F92313 OCO to US AH Atrn Except Coo/ 0'G SSE Only /C 1637 PL 96-487 Wd/ Aloska A/oNtime NNfi' (Cn~kchi Seo Unit) Location of Proposed Offset Well. Detail View. Welt #9. Plat T15N R31W,UM Wainwright. CBM Well Spaang Exemption. Page 5 of 7 May 8, 2008 • • Please contact me at 907-345-5789 or via email at tomr~mortensen.com if you have any questions, or require any additional information. Sincerely, Cti Thomas W. Mortensen cc: Arthur C. Clark, USGS, Denver. Bob Fisk, BLM, Anchorage. The affidavit required under 20 AAC 25.055(c)(3) is on page 7 of this letter. Wainwright. CBM Well Spacing Exemption. Page 6 of 7 May 8, 2008 • STATE OF ALASKA ) ) ss.: THIRD JUDICIAL DISTWCT ) AFFIDAVIT OF THOMAS WILLIAM MORTENSEN • 1, THOMAS 1MILLIAM MORTENSEN, being fist duly sworn under oath, make the foQaMrir>g st~ements: I am acquainted with the facts of the above described proposed exploration wells, and 1 am verifying that all fads are true to the best of my ki~ovvledge, and that the plats corredty portray the pertinent and required data. 1 swear or affirm under penalty of perjury that my statements in this Affidavit are true to the best of my knowledge grid belief. ~~~ THOMAS WIILWM MORTENSEN On the 3pTN day of,~Rlt in the yesrr 2008 before me, the undersigned, personalty appeared THOMAS WILLIAM MORTENSEN, personaNy known to me or proved to me on the basis dseOry enriderxae m be the ir>ri'iviclual vN~~ose name is subscribed above. Subscribed and sworn to or atfimied beta a me at Anchorage, Alaska on J~~,~ ~o ,Zoos. ~ ~ PAtJR. JACAB HURLEY ; sara~a '.~ wh- C~oanmi~eion ~P~ M~- ~ 6.2ot ~ lic ' and for State of Alaska. My ion expires ~~1 WsirnKignt cent Weil sp~drq Exemption. Page 7 of 7 ~ • Page 1 of 1 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Friday, May 30, 2008 12:03 PM To: Davies, Stephen F (DOA) Cc: Arthur C Clark; Bob_Fisk@ak.blm.gov; Teresa Imm Subject: Fwd: Wainwright Coalbed Methane TS Approval Attachments: 2008-5 TSS US Geological Survey, Wainwright.PDF; ATT678664.txt Steve, For your records, attached is the temp cuttings storage plan approval from ADEC for the Wainwright CBM drilling. Regards, Tom Mortensen ----------------- Date: Fri, 30 May 2008 10:30:36 -0800 From: "Aldrich, Lori (DEC)" <lori.aldrich@alaska.gov> Subject: Wainwright Coalbed Methane TS Approval To: tom@mortensen.com Thread-topic: Wainwright Coalbed Methane TS Approval X-OriginalArrivalTime: 30 May 2008 18:30:38.0041 (UTC) Tom, Rppraval letter° attached. «2008-5 TSS US Geological Survey, Wainwright.PDF» Thanks, Lori IJori ric Reserve Pit Coordinator ~~~~.~~, ~ °:.~~ ._.. _ nr...,...e.:~: 5/30/2008 ~1 ~ ~ ~ ~ SARAH PAL/N, GOVERNOR 555 Cordova Street DEPT. OF ENVIRONMENTAL CONSERVATION Anchorage, Alaska 99501 PHONE: (907) 269-7690 DIVISION OF ENVIRONMENTAL HEALTH FAX: (907) 269-7600 SOLID WASTE PROGRAM httn://www.dec.state.ak.us/ Certified Mail #7006 3450 0003 8328 5037 Return Receipt Requested May 15, 2008 Mr. Arthur C. Clark U.S. Geological Survey P.O. Box 25046 Denver Federal Center Denver, CO 80225-0046 Subject: Plan Approval for Temporary Storage of Drilling Waste for Coal Bed Methane Exploratory Drilling, Wainwright, Alaska Dear Mr. Clark: We have reviewed and hereby approve the plan for the storage of drilling waste for the coal bed methane exploratory drill sites in and near Wainwright, Alaska. The project consists of temporary storage of drilling waste in steel waterproof lined containers. Storage containers will maintain a minimum of 2 foot freeboard during the storage period. Final disposal of drilling waste (thin mud and water) will be at the Wainwright sewage lagoon. All solid waste (mud, cuttings and gravel) will be disposed of at the North Slope Borough's landfill at Wainwright. All drilling waste and the temporary storage facility shall be removed from the site within one year after completion of the drilling operations. Please report any release of drilling waste to the land or water to the Solid Waste Program In order for ADEC to track the opening and closure of waste storage facilities, it is required that you notify us when storage begins. Please provide written notice (email is acceptable) when the approved storage facility begins accepting waste at the site. We request that this notice be presented within 7 days after storage begins. In addition, please be advised, that if after one year from the date of this approval, we have not received notice that storage has begun, the approval is withdrawn and we will close the file. You will be required to reapply for temporary storage approval in the event storage is still required at the site. Please note, in order to ensure that all drilling waste has been removed from the site; ADEC requires that you include photographs as part of the closure notification for the temporary storage facility. The photographs must show the storage facility while it is operational and after it has been removed. Upon the removal of drilling waste from the storage area: Conduct a visual site inspection to confirm the removal of all drilling waste from the site; and Notify ADEC in writing within 7 days to document the final site inspection, and provide information regarding the volume of drilling wastes stored and their fmal disposal locations. Also, provide photographs that show the storage facilities while they were operational and after they have been removed. Please contact Stephanie Mann (907) 269-7590, Stephanie.Mann(a~alaska.~ov with any comments or notices regarding this matter. Sincerely, Robert J. Bla enburg Solid Waste Program Coord ator Page 1 of 3 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Friday, May 30, 2008 11:39 AM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Thank you Steve. Now Could this be THE Jerry McCutcheon?, the Teresa Obermeyer of the gas world? Tom M At 11:28 AM 5/30/2008 -0800, you wrote: Tom, I checked with the Commission's attorney, and the attached letter is considered to be a public document. I redacted the email address because Commission policy considers every personal address to be confidential. Please let me know if you have any questions. Steve Davies AOGCC 793-1224 -----Original Message----- From: Tom Mortensen [n~ail~~;tor~~~rrnortezlsa r~,cc~t~~] Sent: Friday, May 30, 2008 9:45 AM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Steve, Thanks. Tom M. At 02:53 PM 5/29/2008 -0800, you wrote: 5/30/2008 Page 2 of 3 ~- i >Good question. I'll have to check. >-----Original Message----- >From: Tom Mortensen [mailtc~:totn:u;mot-tc:nsc~~,..com] ... >Sent: Thursday, May 29, 2008 2:38 PM >To: Davies, Stephen F (DOA) >Subject: RE: Wainwright CBM. >Steve, >Can you disclose the member of the public that filed the objection? >Tom Mortensen >At 01:50 PM 5/29/2008 -0800, you wrote: > >Tom, > >No. A member of the public filed an objection with the Commission. The > >engineers and I will discuss this with the Commissioners early next > >week, after we review all information. They will make the decision as >to > >whether or not a hearing will be held. > >Please let me know if you have any other questions. > >Thanks, > >Steve Davies > >-----Original Message----- > >From: Tom Mortensen [tna~lto:tc~m ca,n~c~rtcr~s~.n.cc~r~~] > >Sent: Thursday, May 29, 2008 1:14 PM > >To: Davies, Stephen F (DOA) > >Subject: RE: Wainwright CBM. > >Steve, > >Thanks for the update. > >Is is correct to conclude that there is no need for a hearing? > >Tom Mortensen > >At 10:53 AM 5/29/2008 -0800, you wrote: > > >Tom, » > 5/30/2008 Page 3 of 3 > > >All of the application~e currently in review by our drilling > > >engineer. I am reviewing the files and all correspondence today to > >make > > >sure that nothing has been overlooked. » > > > >Steve Davies > > >AOGCC > > >793-1224 » > > > >-----Original Message----- > > >From: Tom Mortensen [mailto;tom'~r~r~lortcz~,scn.cor~~] > > >Sent: Wednesday, May 28, 2008 11:51 AM > > >To: Davies, Stephen F (DOA) > > >Cc: Saltmarsh, Arthur C (DOA) > > >Subject: Wainwright CBM. » > » > > > >Steve, » > > > >What's the status of the AOGCC permit to drill applications for the >CBM > > >exploration by the USGS at Wainwright? » > > > >Tom Mortensen > > >907-345-5789 5/30/2008 i • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Friday, May 30, 2008 11:29 AM To: 'Tom Mortensen' Subject: RE: Wainwright CBM. Attachments: 080530_Wainwright_3-9_Spacing_Objection_Letter.pdf u 080530_Wainwright _3-9_Spacing_... Tom, I checked with the Commission's attorney, and the attached letter is considered to be a public document. I redacted the email address because Commission policy considers every personal address to be confidential. Please let me know if you have any questions. Steve Davies AOGCC 793-1224 -----Original Message----- From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Friday, May 30, 2008 9:45 AM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Steve, Thanks. Tom M At 02:53 PM 5/29/2008 -0800, you wrote: >Good question. I'll have to check. >-----Original Message----- >From: Tom Mortensen [mailto:tom@mortensen.com] >Sent: Thursday, May 29, 2008 2:38 PM >To: Davies, Stephen F (DOA) >Subject: RE: Wainwright CBM. >Steve, >Can you disclose the member of the public that filed the objection? >Tom Mortensen >At 01:50 PM 5/29/2008 -0800, you wrote: 6 5/30/2008 1:51 PM > >Tom, > > > >No. A member of the public filed an objection with the Commission. > >The engineers and I will discuss this with the Commissioners early > >next week, after we review all information. They will make the > >decision as >to > >whether or not a hearing will be held. > > > >Please let me know if you have any other questions. > > > >Thanks, > >Steve Davies > > > >-----Original Message----- > >From: Tom Mortensen [mailto:tom@mortensen.com~ > >Sent: Thursday, May 29, 2008 1:14 PM > >To: Davies, Stephen F (DOA) > >Subject: RE: Wainwright CBM. > > > > > >Steve, > > > >Thanks for the update. > >Is is correct to conclude that there is no need for a hearing? > > > >Tom Mortensen > > > >At 10:53 AM 5/29/2008 -0800, you wrote: > > > > >Tom, > > > > > >All of the applications are currently in review by our drilling > > >engineer. I am reviewing the files and all correspondence today to > >make > > >sure that nothing has been overlooked. > > > > > >Steve Davies > > >AOGCC > > >793-1224 > > > > > >-----Original Message > > >From: Tom Mortensen [mailto:tom@mortensen.com) > > >Sent: Wednesday, May 28, 2008 11:51 AM > > >To: Davies, Stephen F (DOA) > > >Cc: Saltmarsh, Arthur C (DOA) > > >Subject: Wainwright CBM. > > > > > > > > >Steve, > > > > > >What's the status of the AOGCC permit to drill applications for the >CBM > > >exploration by the USGS at Wainwright? > > > > > >Tom Mortensen > > >907-345-5789 7 5J30/2008 1:51 PM Page 1 of 1 Davies, Stephen F (DOA) From: Colombie, Jody J (DOA) Sent: Tuesday, May 06, 2008 9:58 AM To: Davies, Stephen F (DOA) Subject: FW: Public Notice Wainwright 3-9 Wells Steve, please respond. From: ferry mccutcheon Sent: Monday, May 05, 2008 12:50 PM To: Colombie, Jody J (DOA) Subject: Re: Public Notice Wainwright 3-9 Wells This is a notice of objection and a request for information. What are they going to do with the produced water? --- On Mon, 5/5/08, Colombie, Jody J (DOA) <jody.colombie@alaska.gov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: Public Notice Wainwright 3-9 Wells To: Date: Monday, May 5, 2008, 9:46 AM Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501. 907-793-1221 Direct Line Be a better friend, newshound, and know-it-all with Yahoo! Mobile. "1 `~~y it na~~, 5/30/2008 • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Friday, May 30, 2008 9:45 AM To: Davies, Stephen F (DOA} Subject: RE: Wainwright CBM. Steve, Thanks. Tom M. At 02:53 PM 5/29/2008 -0800, you wrote: >Good question. I'll have to check. >-----Original Message----- >From: Tom Mortensen [mailto:tom@mortensen.com] >Sent: Thursday, May 29, 2008 2:38 PM >To: Davies, Stephen F (DOA) >Subject: RE: Wainwright CBM. >Steve, >Can you disclose the member of the public that filed the objection? >Tom Mortensen >At 01:50 PM 5/29/2008 -0800, you wrote: > >Tom, > > > >No. A member of the public filed an objection with the Commission. > >The engineers and I will discuss this with the Commissioners early > >next week, after we review all information. They will make the > >decision as >to > >whether or not a hearing will be held. > > > >Please let me know if you have any other questions. > > > >Thanks, > >Steve Davies > > > >-----Original Message----- > >From: Tom Mortensen [mailto:tom@mortensen.com] > >Sent: Thursday, May 29, 2008 1:14 PM > >To: Davies, Stephen F (DOA) > >Subject: RE: Wainwright CBM. > > > > > >Steve, > > > >Thanks for the update. > >Is is correct to conclude that there is no need for a hearing? 6 5/30/2008 1:50 PM > > . > >Tom Mortensen > > > >At 10:53 AM 5/29/2008 -0800, you wrote: > > > > >Tom, > > > > > >All of the applications are currently in review by our drilling > > >engineer. I am reviewing the files and all correspondence today to > >make > > >sure that nothing has been overlooked. > > > > > >Steve Davies > > >AOGCC > > >793-1224 > > > > > > Original Message----- > > >From: Tom Mortensen [mailto:tom@mortensen.com] > > >Sent: Wednesday, May 28, 2008 11:51 AM > > >To: Davies, Stephen F (DOA) > > >Cc: Saltmarsh, Arthur C (DOA) > > >Subject: Wainwright CBM. > > > > > > > > >Steve, > > > > > >What's the status of the AOGCC permit to drill applications for the >CBM > > >exploration by the USGS at Wainwright? > > > > > >Tom Mortensen > > >907-345-5789 7 5/30/2008 1:50 PM • • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Thursday, May 29, 2008 2:53 PM To: 'Tom Mortensen' Subject: RE: Wainwright CBM. Good question. I'll have to check. -----Original Message----- From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Thursday, May 29, 2008 2:38 PM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Steve, Can you disclose the member of the public that filed the objection? Tom Mortensen At 01:50 PM 5/29/2008 -0800, you wrote: >Tom, >No. A member of the public filed an objection with the Commission. The >engineers and I will discuss this with the Commissioners early next >week, after we review all information. They will make the decision as to >whether or not a hearing will be held. >Please let me know if you have any other questions. >Thanks, >Steve Davies >-----Original Message----- >From: Tom Mortensen [mailto:tom@mortensen.com] >Sent: Thursday, May 29, 2008 1:14 PM >To: Davies, Stephen F (DOA) >Subject: RE: Wainwright CBM. >Steve, >Thanks for the update. >Is is correct to conclude that there is no need for a hearing? >Tom Mortensen >At 10:53 AM 5/29/2008 -0800, you wrote: > >Tom, > > > >All of the applications are currently in review by our drilling > >engineer. I am reviewing the files and all correspondence today to >make > >sure that nothing has been overlooked. > > 4 5/30/2008 1:51 PM > >Steve Davies > >AOGCC > >793-1224 > > > > Original Message > >From: Tom Mortensen [mailto:tom@mortensen.com] > >Sent: Wednesday, May 28, 2008 11:51 AM > >To: Davies, Stephen F (DOA) > >Cc: Saltmarsh, Arthur C (DOA) > >Subject: Wainwright CBM. > > > > > >Steve, > > > >What's the status of the AOGCC permit to drill applications for the CBM > >exploration by the USGS at Wainwright? > > > >Tom Mortensen > >907-345-5789 5 5/30/2008 1:51 PM • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Thursday, May 29, 2008 2:38 PM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Steve, Can you disclose the member of the public that filed the objection? Tom Mortensen At 01:50 PM 5/29/2008 -0800, you wrote: >Tom, >No. A member of the public filed an objection with the Commission. The >engineers and I will discuss this with the Commissioners early next >week, after we review all information. They will make the decision as >to whether or not a hearing will be held. >Please let me know if you have any other questions. >Thanks, >Steve Davies >-----Original Message----- >From: Tom Mortensen [mailto:tom@mortensen.com] >Sent: Thursday, May 29, 2008 1:14 PM >To: Davies, Stephen F (DOA) >Subject: RE: Wainwright CBM. >Steve, >Thanks for the update. >Is is correct to conclude that there is no need for a hearing? >Tom Mortensen >At 10:53 AM 5/29/2008 -0800, you wrote: > >Tom, > > > >All of the applications are currently in review by our drilling > >engineer. I am reviewing the files and all correspondence today to >make > >sure that nothing has been overlooked. > > > >Steve Davies > >AOGCC > >793-1224 > > > > Original Message----- > >From: Tom Mortensen [mailto:tom@mortensen.com] > >Sent: Wednesday, May 28, 2008 11:51 AM > >To: Davies, Stephen F (DOA) 4 5/30/2008 1:50 PM > >Cc: Saltmarsh, Arthur C ~A) > >Subject: Wainwright CBM. > > > > > >Steve, > > > >What's the status of the AOGCC permit to drill applications for the > >CBM exploration by the USGS at Wainwright? > > > >Tom Mortensen > >907-345-5789 5 5/30/2008 1:50 PM ~ • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Thursday, May 29, 2008 2:10 PM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Steve, Thanks for the fast response to my question. I'll just await the Commissioners decision next week about the possibility of a hearing. Tom Mortensen At 01:50 PM 5/29/2008 -0800, you wrote: >Tom, >No. A member of the public filed an objection with the Commission. The >engineers and I will discuss this with the Commissioners early next >week, after we review all information. They will make the decision as >to whether or not a hearing will be held. >Please let me know if you have any other questions. >Thanks, >Steve Davies >-----Original Message----- >From: Tom Mortensen [mailto:tom@mortensen.com] >Sent: Thursday, May 29, 2008 1:14 PM >To: Davies, Stephen F (DOA) >Subject: RE: Wainwright CBM. >Steve, >Thanks for the update. >Is is correct to conclude that there is no need for a hearing? >Tom Mortensen >At 10:53 AM 5/29/2008 -0800, you wrote: > >Tom, > > > >All of the applications are currently in review by our drilling > >engineer. I am reviewing the files and all correspondence today to >make > >sure that nothing has been overlooked. > > > >Steve Davies > >AOGCC > >793-1224 > > > >-----Original Message > >From: Tom Mortensen [mailto:tom@mortensen.com] > >Sent: Wednesday, May 28, 2008 11:51 AM 2 5/30/2008 1:50 PM > >To: Davies, Stephen F (D~ > >Cc: Saltmarsh, Arthur C (DOA) > >Subject: Wainwright CBM. > > > > > >Steve, > > > >What's the status of the AOGCC permit to drill applications for the > >CBM exploration by the USGS at Wainwright? > > > >Tom Mortensen > >907-345-5789 3 5/30/2008 1:50 PM • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Thursday, May 29, 2008 1:50 PM To: 'Tom Mortensen' Subject: RE: Wainwright CBM. Tom, No. A member of the public filed an objection with the Commission. The engineers and I will discuss this with the Commissioners early next week, after we review all information. They will make the decision as to whether or not a hearing will be held. Please let me know if you have any other questions. Thanks, Steve Davies -----Original Message----- From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Thursday, May 29, 2008 1:14 PM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Steve, Thanks for the update. Is is correct to conclude that there is no need for a hearing? Tom Mortensen At 10:53 AM 5/29/2008 -0800, you wrote: >Tom, >All of the applications are currently in review by our drilling >engineer. I am reviewing the files and all correspondence today to make >sure that nothing has been overlooked. >Steve Davies >AOGCC >793-1224 > Original Message----- >From: Tom Mortensen [mailto:tom@mortensen.com] >Sent: Wednesday, May 28, 2008 11:51 AM >To: Davies, Stephen F (DOA) >Cc: Saltmarsh, Arthur C (DOA) >Subject: Wainwright CBM. >Steve, >What's the status of the AOGCC permit to drill applications for the CBM >exploration by the USGS at Wainwright? >Tom Mortensen >907-345-5789 2 5/30/2008 1:51 PM • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Thursday, May 29, 2008 1:14 PM To: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM. Steve, Thanks for the update. Is is correct to conclude that there is no need for a hearing? Tom Mortensen At 10:53 AM 5/29/2008 -0800, you wrote: >Tom, >All of the applications are currently in review by our drilling >engineer. I am reviewing the files and all correspondence today to >make sure that nothing has been overlooked. >Steve Davies >AOGCC >793-1224 >-----Original Message----- >From: Tom Mortensen [mailto:tom@mortensen.com] >Sent: Wednesday, May 28, 2008 11:51 AM >To: Davies, Stephen F (DOA) >Cc: Saltmarsh, Arthur C (DOA) >Subject: Wainwright CBM. >Steve, >What's the status of the AOGCC permit to drill applications for the CBM >exploration by the USGS at Wainwright? >Tom Mortensen >907-345-5789 1 5/30/2008 1:50 PM Page 1 of 1 Colombie, Jody J (DOA) From: Colombie, Jody J (DOA) Sent: Thursday, May 29, 2008 11:49 AM To: 'susitnahydronow@yahoo.com' Subject: FW: Public Notice Wainwright 3-9 Wells Mr. McCutcheon: The operator expects up to 200,000 gallons of produced water, which will be disposed in the sewage lagoon. Jody From: ferry mccutcheon [mailto:susitnahydronow@yahoo.com] Sent: Monday, May 05, 2008 12:50 PM To: Colombie, Jody J (DOA) Subject: Re: Public Notice Wainwright 3-9 Wells This is a notice of objection and a request for information. What are they going to do with the produced water? --- On Mon, 5/5/08, Colombie, Jody J (DOA) <jody.colombie@alaska.gov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: Public Notice Wainwright 3-9 Wells To: Date: Monday, May 5, 2008, 9:46 AM Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line Be a better friend, newshound, and know-it-all with Yahoo! Mobile. _Try_t now, 5/29/2008 Page 1 of 1 Davies, Stephen F (DMA) From: Davies, Stephen F (DOA) Sent: Thursday, May 29, 2008 11:23 AM To: Colombie, Jody J (DOA) Subject: RE: Public Notice Wainwright 3-9 Wells Jody, The operator has given permission to release the following information to Mr. McCutcheon concerning Wainwright wells 3 - 9: The operator expects up to 200,000 gallons of produced water, which will be disposed in the sewage lagoon. Please forward this information to Mr. McCutcheon. Thanks, Steve Davies From: Colombie, Jody J (DOA) Sent: Tuesday, May 06, 2008 9:58 AM To: Davies, Stephen F (DOA) Subject: FW: Public Notice Wainwright 3-9 Wells Steve, please respond. From: ferry mccutcheon [mailto:susitnahydronow@yahoo.com] Sent: Monday, May 05, 2008 12:50 PM To: Colombie, Jody J (DOA) Subject: Re: Public Notice Wainwright 3-9 Wells This is a notice of objection and a request for information. What are they going to do with the produced water? --- On Mon, 5/5/08, Colombie, Jody J (DOA) yody.colombie@alask~gov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: Public Notice Wainwright 3-9 Wells To: Date: Monday, May 5, 2008, 9:46 AM Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line Be a better friend, newshound, and know-it-all with Yahoo! Mobile. Try_t_now. 5/29/2008 Page 1 of 4 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Wednesday, May 14, 2008 8:05 AM To: Davies, Stephen F (DOA) Subject: RE: Information Request Steve, Apologies. I missed the point of your question. To clarify: Regarding the information in the email dated May 6th (below): Both the estimates of produced water volume and the proposed disposal of the produced water may be released. Tom Mortensen 907-345-5789 At 07:58 AM 5/14/2008 -0800, you wrote: Tom, I need very specific permission before releasing information on an exploratory well, else I can be held liable. Your email gives specific permission to release the estimates given for the produced water, but nat to say how it will be disposed. Thanks, Steve Davies From: Tom Mortensen [maiito:_tom@rr~c}rtensen.corr~] Sent: Wednesday, May 14, 2008 7:46 AM To: Davies, Stephen F (DOA) Subject: RE: Information Request Steve, The answer to question #2 is in the May 6th email. Was more detail needed? Tom M. 5/29/2008 Page 2 of 4 Dis~osal__Volumes. The estimated total amount of material from the seven wells is about 150,000 gallons. In addition to the drilling fluids there may be water produced from the coal bed during the planned 2008 production test. Depending on the amount of water produced (estimated between 1 and 5 gpm) and the duration of the test (one week to several months), there could be between 20,000 to 200,000 gallons. The produced .water would need dispose( in the sewage lagoon. The application for fluid disposal was submitted to ADEC on'April 16, 2008. At 07:36 AM 5/14/2008 -0800, you wrote: Thanks Tom. That answers question 2, but what about question 1? Steve Davies From: Tom Mortensen [mailtt~.tom@mortensen.com] Sent: Tuesday, May 13, 2008 11:56 AM To: Davies, Stephen F (DOA) Cc: Arthur C Clark; Bob_Fisk@ak.blm.gov; Teresa Imm Subject: Re: Information Request Steve, AOGCC has permission to release the estimates given for the produced water that are in the email dated May 6 (below). Further information will need to be considered for release on a case by case basis. Regards, Tom Mortensen 907-345-5789 At 03:36 PM 5/7/2008 -0800, you wrote: Tom, I had the following request from a member of the public concerning the Wainwright test: 1. What is USGS planning to do with the produced water from the test? 5/29/2008 Page 3 of 4 And, I'm sure the immediate follow up question will be: 2. How much water will be produced during the test? Could you please ask the USGS for this information and obtain their written permission for the AOGCC to release the information to the public? Could you also ask the USGS if any of the information related to the proposed Wainwright 3 to 9 exploratory wells and the testing program is considered confidential? If not, could AOGCC get written permission to release any or all of it to the public? Thanks, Steve Davies AOGCC 907-793-1224 From: Tom Mortensen [ailto:to@ortensen.c~rr~] Sent: Tuesday, May 06, 2008 2:03 PM To: Davies, Stephen F (DOA) Subject: Fwd: Disposal of: Drill Cuttings, Drilling Fluids, Produced Water. Resent: Produced water, volumes, etc. Date: Tue, 06 May 2008 13:13:05 -0800 To: Steve Davies <steve.davies@alaska.gov> From: Tom Mortensen <tom@mortensen.com> Subject: Disposal of: Drill Cuttings, Drilling Fluids, Produced Water. Cc: Arthur C Clark <aclark@usgs.gov>, Bob_Fisk@ak.blm.gov, Teresa Imm <timm@asrc.com>, Art Saltmarsh <art.saltmarsh@alaska.gov> Steve, This email is in response to your May 6th request for information regarding the following: The disposal of drill fluids and cuttings from proposed wells Wainwright #3-9. The disposal of drill fluids, cuttings, and produced water from proposed well Wainwright #3. Drill_ cuttings and fluids. The drill cuttings solids will need disposal in the NSB landfill at Wainwright. The fluids and non-settleable solids will need disposal in the Wainwright sewage lagoon. During the drilling operation the drilling fluids will have cuttings removed and will be recirculated via a 1,000 gallon trailer-mounted shaker system incorporating shaker 5/29/2008 Page 4 of 4 screens and centrifugal cll~ilting cones. The cuttings and use~rill mud will be contained in above-ground tanks. The ADEC Plan Review for the temporary storage of drill cuttings was submitted to ADEC today, May 6th. The following is the list of the bentonite drilling mud and additives. These will be part of the used drilling fluids that will require disposal. Quick-Gel high yield bentonite. Aqua-Gel bentonite. Pac-L and Pac-R powdered cellulose polymer. Pennetrol liquid detergent. Dispo_s_a_I Volumes, The estimated total amount of material from the seven wells is about 150,000 gallons. In addition to the drilling fluids there may be water produced from the coal bed during the planned 2008 production test. Depending on the amount of water produced (estimated between 1 and 5 gpm) and the duration of the test (one week to several months), there could be between 20,000 to 200,000 gallons. The produced water would need disposal in the sewage lagoon. The application for fluid disposal was submitted to ADEC on April 16, 2008. Regards, Tom Mortensen 907-345-5789 5/29/2008 Page 1 of 3 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Wednesday, May 14, 2008 7:46 AM To: Davies, Stephen F (DOA} Subject: RE: Information Request Steve, The answer to question #2 is in the May 6th email. Was more detail needed? Tom M. Disposal_Vofumes, The estimated total amount of material from the seven wells is about 150,000 gallons. In addition to the drilling fluids there may be water produced from the coal bed during the planned 2008 production test. Depending on the amount of water produced (estimated between 1 and 5 gpm) and the duration of the test (one week to several months), there could be between 20,000 to 200,000 gallons. The produced water would need disposal in the sewage lagoon. The application for fluid disposal was submitted to ADEG on April 16, 2008 At 07:36 AM 5/14/2008 -0800, you wrote: Thanks Tam. That answers question 2, but what about question 1? Steve Davies From: Tom Mortensen [maiito:tom@rrEC~rtensen.corr~] Sent: Tuesday, May 13, 2008 11:56 AM To: Davies, Stephen F (DOA) Cc: Arthur C Clark; Bob_Fisk@ak.blm.gov; Teresa Imm Subject: Re: Information Request Steve, AOGCC has permission to release the estimates given for the produced water that are in the email dated May 6 (below). Further information will need to be considered for release on a case by case basis. Regards, 5/29/2008 Page 2 of 3 Tom Mortensen 907-345-5789 At 03:36 PM 5/7/2008 -0800, you wrote: Tam. I had the following request from a member of the public concerning the Wainwright test: What is USGS planning to do with the produced water from the test? And, I'm sure the immediate follow up question will be: 2. How much water wil! be produced during the test? Could you please ask the USGS for this information and obtain their written permission for the AOGCC to release the information to the public? Could you also ask the USGS if any of the information related to the proposed Wainwright 3 to 9 exploratory wells and the testing program is considered confidential? If not, could AOGCC get written permission to release any or all of it to the public? Thanks, Steve Davies AOGCC 907-793-1224 From: Tom Mortensen [ailto:tor~n~a~mortenser~.corrl] Sent: Tuesday, May 06, 2008 2:03 PM To: Davies, Stephen F (DOA) Subject: Fwd: Disposal of: Drill Cuttings, Drilling Fluids, Produced Water. Resent: Produced water, volumes, etc. Date: Tue, 06 May 2008 13:13:05 -0800 To: Steve Davies <steve.davies@alaska.gov> From: Tom Mortensen <tom@mortensen.com> Subject: Disposal of: Drill Cuttings, Drilling Fluids, Produced Water. Cc: Arthur C Clark <aclark@usgs.gov>, Bob_Fisk@ak.blm.gov, Teresa Imm <timm@asrc.com>, Art Saltmarsh <art.saltmarsh@alaska.gov> Steve, 5/29/2008 Page 3 of 3 This email is in response to your May 6th request for information regarding the following: The disposal of drill fluids and cuttings from proposed wells Wainwright #3-9. The disposal of drill fluids, cuttings, and produced water from proposed well Wainwright #3. Drill cutti~s and fluids.. The drill cuttings solids will need disposal in the NSB landfill at Wainwright. The fluids and non-settleable solids will need disposal in the Wainwright sewage lagoon. During the drilling operation the drilling fluids will have cuttings removed and will be recirculated via a 1,000 gallon trailer-mounted shaker system incorporating shaker screens and centrifugal desilting cones. The cuttings and used drill mud will be contained in above-ground tanks. The ADEC Plan Review for the temporary storage of drill cuttings was submitted to ADEC today, May 6th. The following is the list of the bentonite drilling mud and additives. These will be part of the used drilling fluids that will require disposal. Quick-Gel high yield bentonite. Aqua-Gel bentonite. Pac-L and Pac-R powdered cellulose polymer. Pennetrol liquid detergent. Djsposal Volumes. The estimated total amount of material from the seven wells is about 150,000 gallons. In addition to the drilling fluids there may be water produced from the coal bed during the planned 2008 production test. Depending on the amount of water produced (estimated between 1 and 5 gpm) and the duration of the test (one week to several months), there could be between 20,000 to 200,000 gallons. The produced water would need disposal. in the sewage lagoon. The application for fluid disposal was submitted to ADEC on April 16, 2008. Regards, Tom Mortensen 907-345-5789 5/29/2008 Page 1 of 3 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Tuesday, May 13, 2008 11:56 AM To: Davies, Stephen F (DOA) Cc: Arthur C Clark; Bob_Fisk@ak.blm.gov; Teresa Imm Subject: Re: Information Request Steve, AOGCC has permission to release the estimates given for the produced water that are in the email dated May 6 (below). Further information will need to be considered for release on a case by case basis. Regards, Tom Mortensen 907-345-5789 At 03:36 PM 5/7/2008 -0800, you wrote: Tom, I had the following request from a member of the public concerning the Wainwright test: What is USGS planning to do with the produced water from the test? And, I'm sure the immediate follow up question will be: How much water will be produced during the test? Could you please ask the USGS for this information and obtain their written permission for the AOGCC to release the information to the public? Could you also ask the USGS if any of the information related to the proposed Wainwright 3 to 9 exploratory wells and the testing program is considered confidential? If not, could AOGCC get written permission to release any or ail of it to the public? Thanks, Steve Davies AOGCC 907-793-1224 From: Tom Mortensen [maiito:tomL rr3ortens~n.com] Sent: Tuesday, May 06, 2008 2:03 PM To: Davies, Stephen F (DOA) Subject: Fwd: Disposal of: Drill Cuttings, Drilling Fluids, Produced Water. 5/29/2008 Page 2 of 3 Resent: Produced water, volumes, etc. Date: Tue, 06 May 2008 13:13:05 -0800 To: Steve Davies <steve.davies@alaska.gov> From: Tom Mortensen <tom@mortensen.com> Subject: Disposal of: Drill Cuttings, Drilling Fluids, Produced Water. Cc: Arthur C Clark <aclark@usgs.gov>, Bob_Fisk@ak.blm.gov, Teresa Imm <timm@asrc.com>, Art Saltmarsh <art.saltmarsh@alaska.gov> Steve, This email is in response to your May 6th request for information regarding the following: The disposal of drill fluids and cuttings from proposed wells Wainwright #3-9. The disposal of drill fluids, cuttings, and produced water from proposed well Wainwright #3. Drill cuttings_and.fluids. The drill cuttings solids will need disposal in the NSB landfill at Wainwright. The fluids and non-settleable solids will need disposal in the Wainwright sewage lagoon. During the drilling operation the drilling fluids will have cuttings removed and will be recirculated via a 1,000 gallon trailer-mounted shaker system incorporating shaker screens and centrifugal desilting cones. The cuttings and used drill mud will be contained in above-ground tanks. The ADEC Plan Review for the temporary storage of drill cuttings was submitted to ADEC today, May 6th. The following is the list of the bentonite drilling mud and additives. These will be part of the used drilling fluids that will require disposal. Quick-Gel high yield bentonite. Aqua-Gel bentonite. Pac-L and Pac-R powdered cellulose polymer. Pennetrol liquid detergent. Dis~osal_Volumes._ The estimated total amount of material from the seven wells is about 150,000 gallons. In addition to the drilling fluids there may be water produced from the coal bed during the planned 2008 production test. Depending on the amount of water produced (estimated between 1 and 5 gpm) and the duration of the test (one week to several months), there could be 5/29/2008 Page 3 of 3 between 20,000 to 200,O~gallons. The produced water woul~eed disposal in the sewage lagoon. The application for fluid disposal was submitted to ADEC on April 16, 2008. Regards, Tom Mortensen 907-345-5789 5/29/2008 • ~~~~ ~ ~ ._~ ~~l~~~., ;a Public Notice Alaska Oil And Gas Conservation Commissiol Subrr~itted by: jjcolombielC ate ~ubrr~tte: 0510512008 09:49 Ai Date o ifie: A{c A iin Jcaurnal: knot prtntei ttach eats; No files attache Alaska Oil And Gas Conservation Commission ategory: Public Notices ublish Date: 05/05/2008 0 0# tic tics of Public Hearing TATE OF ALASKA asks Oil and Gas Conservation Commission Departments Administration Location. Anchorage Coastal District: N/A Applications of the U.S. Department of the Interior, U.S. Geological Survey for waivers of the bonding requirements 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 4C 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 4C 25.066, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) or 20 AAC 25.055(a)(4) or both wit aspect to the following proposed U.S. Department of the Interior Coal Bed Methane (CBM) exploratory wells: ainwright Nos. 3, 4, 5, 6, 7, 8 and 9. In addition, the Commission, under 20 AAC 25.055(a), will consider establishing ~illing unit for the Wainwright area. ~r letter dated and received on April 23, 2008, and as amended on April 25 and May 1, 2008, the U.S. Department of e Interior, U.S. Geological Survey (USGS) applied to the Alaska Oil and Gas Conservation Commission (Commission) r permits to drill the Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 exploratory wells. The permit application requests waivers of e following requirements: the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of )AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC i.061(a), and gas detection requirements of 20 AAC 25.066. USGS also applied for exceptions to the spacing ~quirements of 20 AAC 25.055(a)(2) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 wells, and for exceptions tc e spacing requirements of 20 AAC 25.055(a)(4) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, and 8 wells. Also, the mmission, under 20 AAC 25.055(a), will consider establishing a drilling unit for the Wainwright leases. The location of Bch of the proposed Wainwright wells, all of which would be vertical wells, is as follows: ainwright No. 3 ainwright No. 4 ainwright No. 5 ainwright No. 6 ainwright No. 7 ainwright No. 8 1720' FEL, 640' FNL, Sec. 24, 1780' FEL, 540' FNL, Sec. 24, 1650' FEL, 630' FNL, Sec. 24, 1780' FEL, 660' FNL, Sec. 24, 1890' FEL, 760' FNL, Sec. 24, 2040' FEL, 970' FNL, Sec. 24, T15N, R32W, Umiat Meridian (UM) T15N, R32W, UM T15N, R32W, UM T15N, R32W, UM T15N, R32W, UM T15N, R32W, UM ainwright No. 9: 5040' FEL, 3720' F~ec. 8, T15N, R31 W, UM ie Commission has tentatively scheduled a public hearing on this application for June 10, 2008 at 9:00 a.m. at the aska Oil and Gas Conservation Commission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. To quest that the tentatively scheduled hearing be held, a written request must be filed with the Commission no later than 30 p.m. on May 23, 2008. a request for a hearing is not timely filed, the Commission may consider the issuance of an order without a hearing. Tc rn if the Commission will hold the hearing, call 793-1221 after May 27, 2008. addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation mmission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Comments must be received no later than 30 p.m. on June 6, 2008, except that, if a hearing is held, comments must be received no later than the conclusion of e June 10, 2008 hearing. because of a disability, special accommodations may be needed to comment or attend the hearing, contact the mmission's Special Assistant, Jody Colombie, at 793-1221, no later than June 2, 2008. thy P. Foerster mmissioner vision ist® 515f2008 09:49:33 ~ hY jcolombif02ft~to.=~,isl~J~S Home Page ~oti+~es by: department ~ Category j Publish ®ate • TOM MORTENSEN ASSOCIATES, LLC ENVIRONMENTAL :~~: 8z MANAGEMENT PO. Box 113192 ArrCHORAGE, ALASKA 99511-3192 • TEL (907) 345-5789 • FAX (907) 345-3575 May 8, 2008 U.S. Department of the Interior Bureau of Land Management Division Of Resources 222 W. 7"' Avenue, #13 Anchorage, AK 99513-7504 Attn.: Bob Fisk, Branch Chief Energy and Solid Minerals Cert~ed Mail Return Receip# Requested Re: Requested Exceptions to Weli Spacing Provisions, 20 AAC 25.055 The US Geological Survey as the Operator, in corporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of ail seven wells are within or adjacent to the Village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AOGCC. Wells #3 through #8 will be drilled at locations where BLM manages the subsurface. The names and locations of all wells are listed below. Two plats are included showing the locations of the wells seven wells. The affidavit required under 20 AAC 25.055(c)(3) is incorporated irrto this letter on page 7. Well Name and Number: Wainwright #3, (Exploration, Production Test) Well Location Area: Well Location Leaal, surface and Bottomhole. Qistance to State Submercted lands: Wainwright. CBM Well Spaang Exemption. May 8, 2008 Village of Wainwright. MTRS: Umiat T15N R32W, Sec. 24. FNL: 640' FEL: 1,720' 475' Page 1 of 7 • • Well Name and Number: Wainwright #4, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Leoal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 540' FEL:1,780' Distance to State Submerged lands: 450' Well Name artt~ Number: Wainwright #5, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Letaal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 630' FEL: 1,650' Distance to State Submerged lands: 500' Well Name and Number: Wainwright #6, (Exploration, Production Test Monitor) Welt Location Area: Village of Wainwright. Well Location Leoal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL.:660' FEL: 1,780' Distance to State Submerged lands: 460' Well Name and Number: Wainwright #7, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Leoal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submer~aed lands: 440' Wainwright CBM Well Spaang Exemption. Page 2 of 7 May 8, 2008 Well Name and Number: Wainwright #8, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. surface and Bottomhole. FNL: 970' FEL:2,040' Distance to State Submerged lands: 410' Well Name and Number: Wainwright #9, (Exploration, Offset Well) Well Location Area: North Slope Borough, landfill for Wainwright. Well Location Legal. MTRS: Umiat T15N R31 W, Sec. 8. Surface and Bottomhole. FNL:3,720' FEL:5,040' Distance to State Submerged lands: Wainwright. CBM Weil Spaang Exemption. May 8, 2008 1,350' Page 3 of 7 • • T15DT R32N WS .Sec. 24 1PaiaMright #1 aad #2 (2007) ~' Productioa 1fe11 ~~ (Total = 1) ~~' 1 ~~ . ~._ 1[onitoriaq Pell j - (Total = 5) BL1[ SS8 Oaly '~ Olgoonik Corp. .~ ~~ BLl[ SS8 Only ~.~ 5 ~ °~o ~us titi ~. . .~ i x'O cl~ e~tie~ pie Public Interest \~--~nn S5 yt~ /~ IISS 4418, Tr A x aEE ~Iel rs ax ~rta,~. ~rlr ~ / ~ru ~<~e crwt`r.' s°° urn G`I` / 24 i Lei +~ / (1Paiawright uas Nie G~J ~~ Tt~ita) Tr ~.o. x-~s_o~ SSE Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Tovlmsite. Plat T15N R32W, Sec 24, UM. Wainwright. C8M Well Spacing Exemption. Page 4 of 7 May 8, 2008 • Gr, o/c art \~ 6 F92373 \v OCD to US G A// Min Except Cool OG SSF On/y /C 7458 50-9B-OD36 NA Cart D/C F92313 OCD to US Att Mrn Except Coo! UG SSE Un1y 1C 7631 , _ ~,.~_ 1-510 Offset Well. T15N R319i III[ 7 Wainwright #g. 8 1-99 ~ L'~ PL 96-487 NbJ Alaska Maritime NINP ~ Ql ooaik Co ]1sRC (CAokchi Seo Unit) g sss sss oniY 50-91-0567 IC 1460 2-296.73 1-591.59 Y 94-258 /d' NPR-A 18 SEE ENLARGEMENT ENO. 1 3 784.36 5252 2 a6.52 • 50-9B-OU39 ~~ / NA Cert ~/ 5 °~~ 4 / F92297 OGl~ to US I[ A// Min Except Coo/ UG IC 7456 1 it-274 ~ ~/y USS 11587 17 USS 5252 3-14.57 Location of Proposed Offset Well. Detail View. Well #9. Plat T15N R31 W,UM Wainwright. CBM Well Spacing Exemption. May 8, 2008 Page 5 of 7 16 • • Please contact me at 907-345-5789 or via email at tom cr~Dmortensen.com if you have any questions, or require any additional information. Sincerely, Thomas W. Mortensen cc: Arthur C. Clark, USGS, Denver. Teresa Imm, ASRC, Anchorage. The affidavit required under 20 AAC 25.055(c)(3} is on page 7 of this letter. Wainwright. CBM Well Spacing Exemption. Page 8 of 7 May 8, 2008 STATE OF ALASKA ) ss.: THIRD JUDICIAL DISTRICT j AFFIDAVIT OF THOMAS WILLIAM MORTENSEN (, THOMAS WILLIAM MORTENSEN, being first duly swam under oath, make the fdla~wing st~emeMs: I am acquainted with the facts of the above described proposed exploration wails, and 1 am verifying that all fads are true to the best of my knowledge. and that the plats correctly portray ~ pertinent and required data. 1 swear or affirm under penalty of perjury that my statements in this Affidavit are true to the best of my knowledge and belief. THOMAS 1IV1L11AM MORTENSEN On the 30TH day of,,~JPRlt in the year 2008 before me, the undersigned, personally appeared THOMAS WILLIAM MORTENSEN, personaNy known tome or proved to me on the basis of satisfactory evider'ioe do be the irrd'n~dual vrhose name is subscribed above. Subscribed and swam to ar affirmed before ~ f ~ ,2008. ~, tic ' and for a State of Alaska. My ran expires ~~1 Il~„~Lo1~, me at Anchorage, Alaska on P~-bitic PAUL JAC08 HURLEY t ssao or AM-eka ~ Coaxnheion Expkas Apr. 18, 2011 Wainwright CBhll WeN Spacir~ ExemptfDr-. Pegs 7 of 7 t~ .C ~1? ~. ,.-, ~ ~ ~ ~~ ~ .~. O ~~' ~ ~ "~~ ~ ~ .~..~ ~ ~ ~ ~ ~ ~ ~ ~ ~? ,~.~"" ~ - Rx ~ ~ ,c~ .~nM ~ T ~ { ~ ~ ~ i r Y ~ • /MM ~. V ~ ~ ~. T~ ~» cv +a ,~ a r1 m n~ m m ~, `~ ~. t,~ m a ~' ~' t' =.~,, (K~/ S~ NJ I~ ` Krn~ ~'7i r~~71 '• V cv Y~~~ ~I~r~ i L r; GUBIK 3 LOCATED WITHIN ~ PROTRACTED SEC. 17, T I N, R 3 E ~ UMIAT MERIDIAN, 2411' F.S.L, 1769' F.E.L. LAT=69°26'29.17" N ` ~ 7 LONG=151.26'31 49" W a~ D° ~ E . Y 5,647,250 ~~~~ ~ X 314,530 ~\ / ` ~ ~ / ~ ~ ~ 248 ~ ~ ~ ~ 7 ~ c~ ~ ~ RIG PAD ~ ~ ~ ~ ~ ~ /L~ i2' . - o / \ ~~4 ~ Y ~?. / DiES ~~. M ~ /~2. E~ ~~ 2 / ` ~ " / ICE PAD ~ I ; 7~o~A~ ~~entra ~, 0~~~,5 .H. ,, / / ~ S\;~ ; ~ , / ~ ~ ~ ~ ~-4,, N ~ ~ ~ ~ / ~ v ~~ T~NKS S, i 7r ~ \ ~ ~ \` / ~ ~ ~ DIESEL- ~ ti ~4' ~ ~3 ~ ?O, ~ ~ N W ~ & p ~„ / ~ 6 / ~ / ~J AS BUILT CONDUCTOR LOCATION ~ Anadarko Petroleum Corporotion SCALE: I"=100' . ... ~1 ..~.. 24 w w ~ 19~ N M I ~,\ o: ~ ~ , . 25 30 ~ ~ . ~~ T I N ' CUTTINGS PIT IAVG. 6' WIDE TOP, TOE VARIES) 17~C ..... 4 - 3 ''. \ ~ STATE " .SELECTED.... __ :-r"»"9 /I 10 ~~_.~~ I .~~..-1r~.. ~ _ __._ Y l i ~~~ 16 j 15 I ~p ' . ~ i 21. ~., 22.. N' I 0, a O U ~ ..'.: VICINITY MAP I" APPROX. I MI. SURVEY NOTES I. ELEVATIONS SHOWN ARE NAVD88 PER OPUS SOLUTION. 2. COORDINATES SHOWN ARE NAD27, ALASKA STATE PLANE ZONE 4. 3. GEODETIC COORDINATES ARE NAD 27. 4. ALL DISTANCES ARE TRUE. 5. PAD IS ROTATED 70° WEST FROM TRUE NORTH. GENERAL NOTES ALL BUILDINGS, TANKS, HEATERS, ETC.. ARE SURROUNDED BY SECONDARY CONTAINMENT. GUBIK 3 EXPLORATORY WELL WELL CONDUCTOR AS BUILT DRAWING N0: GUBIK AS BUIL • LOUNSBURY k ASSOCIATES, INC. vsvow snmims n.ra~s SHEET: REV: I OF I 0 ~~ e 6 g o0a ;~~ ~ o° 1 ~ r ~ _ :.P........._. a n ~ ........_ \ ~ h ~ o 0 . ~ ,Page 1 of 1 Colombie, Jody J (DOA) From: Davies, Stephen F (DOA) Sent: Thursday, May 08, 2008 10:26 AM To: Colombie, Jody J (DOA) Subject: RE: Public Notice Wainwright 3-9 Wells Jody, By regulation, I cannot discuss anything related to a permit to drill until it has been approved. And after approval, I can only release information about the proposed surface and bottom hole locations. I have contacted the operator's representative and asked permission to answer Mr. McCutcheon's question prior to the public hearing scheduled for June 10, 2008. I await the operator's reply. Steve Davies From: Colombie, Jody J (DOA) Sent: Tuesday, May 06, 2008 9:58 AM To: Davies, Stephen F (DOA) Subject: FW: Public Notice Wainwright 3-9 Wells Steve, please respond. From: ferry mccutcheon [mailto:susitnahydronow@yahoo.com] Sent: Monday, May 05, 2008 12:50 PM To: Colombie, Jody J (DOA) Subject: Re: Public Notice Wainwright 3-9 Wells This is a notice of objection and a request for information. What are they going to do with the produced water? --- On Mon, 5/5/08, Colombie, Jody J (DOA) <jody.colombie@alaska.gov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: Public Notice Wainwright 3-9 Wells To: Date: Monday, May 5, 2008, 9:46 AM Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line Be a better friend, newshound, and know-it-all with Yahoo! Mobile. "1'ry it now., 5/9/2008 Page 1 of 1 • Davies, Stephen F (DOA) From: Colombie, Jody J (DOA) Sent: Tuesday, May 06, 2008 9:58 AM To: Davies, Stephen F (DOA) Subject: FW: Public Notice Wainwright 3-9 Wells Steve, please respond. From: ferry mccutcheon [mailto:susitnahydronow@yahoo.com] Sent: Monday, May 05, 2008 12:50 PM To: Colombie, Jody J (DOA) Subject: Re: Public Notice Wainwright 3-9 Wells This is a notice of objection and a request for information. What are they going to do with the produced water? --- On Mon, 5/5/08, Colombie, Jody J (DOA) <jody.colombie@alaska.gov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: Public Notice Wainwright 3-9 Wells To: Date: Monday, May 5, 2008, 9:46 AM Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line Be a better friend, newshound, and know-it-all with Yahoo! Mobile. ~'iy it_no~~; 5/29/2008 :7 Public Notice Alaska Oil And Gas Conservation Commissiol u Otte Yi j}colc~r~iefc ate ~, itte : 05f05/2008 09:~ ~ ate odifieds Ak dt~tin Journal; knot printe$ Attachrnentss No files attach Alaska Oil And Gas Conservation Commission ategorys Public Notices ublish Date: 05/05/2008 qy aD ®~ICe. tice of Public Hearing TATE OF ALASKA aska Oil and Gas Conservation Commission Departments Administration Locations Anchorage Coastal District. N/A Applications of the U.S. Department of the Interior, U.S. Geological Survey for waivers of the bonding requirements 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 4C 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 4C 25.066, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(2} or 20 AAC 25.055(a)(4) or both wit aspect to the following proposed U.S. Department of the Interior Coal Bed Methane (CBM) exploratory wells: ainwright Nos. 3, 4, 5, 6, 7, 8 and 9. In addition, the Commission, under 20 AAC 25.055(a), will consider establishing •illing unit for the Wainwright area. ~r letter dated and received on April 23, 2008, and as amended on April 25 and May 1, 2008,. the U.S. Department of e Interior, U.S. Geological Survey (USGS) applied to the Alaska Oil and Gas Conservation Commission (Commission) r permits to drill the Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 exploratory wells. The permit application requests waivers o1 e following requirements: the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC i.061(a), and gas detection requirements of 20 AAC 25.066. USGS also applied for exceptions to the spacing ~quirements of 20 AAC 25.055(a)(2) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 wells, and for exceptions tc e spacing requirements of 20 AAC 25.055(a)(4) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, and 8 wells. Also, the mmission, under 20 AAC 25.055(a), will consider establishing a drilling unit for the Wainwright leases. The location of Bch of the proposed Wainwright wells, all of which would be vertical wells, is as follows: ainwright No. 3 ainwright No. 4 ainwright No. 5 ainwright No. 6 ainwright No. 7 ainwright No. 8 1720' FEL, 640' FNL, Sec. 24, 1780' FEL, 540' FNL, Sec. 24, 1650' FEL, 630' FNL, Sec. 24, 1780' FEL, 660' FNL, Sec. 24, 1890' FEL, 760' FNL, Sec. 24, 2040' FEL, 970' FNL, Sec. 24, T15N, R32W, Umiat Meridian (UM) T15N, R32W, UM T15N, R32W, UM T15N, R32W, UM T15N, R32W, UM T15N, R32W, UM ainwright No. 9: 5040' FEL, 3720' F~Sec. 8, T15N, R31W, UM ie Commission has tentatively scheduled a public hearing on this application for June 10, 2008 at 9:00 a.m. at the aska Oil and Gas Conservation Commission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. To quest that the tentatively scheduled hearing be held, a written request must be filed with the Commission no later than 30 p.m. on May 23, 2008. a request for a hearing is not timely filed, the Commission may consider the issuance of an order without a hearing. Tc rn if the Commission will hold the hearing, call 793-1221 after May 27, 2008. addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation mmission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Comments must be received no later than 30 p.m. on June 6, 2008, except that, if a hearing is held, comments must be received no later than the conclusion of e June 10, 2008 hearing. because of a disability, special accommodations may be needed to comment or attend the hearing, contact the mmission's Special Assistant, Jody Colombie, at 793-1221, no later than June 2, 2008. thy P. Foerster mmissioner vision into 5~05/20{~8 09:49:33 A~ by jol~arbi~0~/StatelAlaskalL3S Home Page Notices by. Department ~ Category ~ Publish Date • • Page 1 of 1 Davies, Stephen F (DOA) From: Saltmarsh, Arthur C (DOA) Sent: Monday, May 05, 2008 12:22 PM To: Davies, Stephen F (DOA) Subject: FW: Public Notice Wainwright 3-9 Wells Attachments: Public Notice Wainwright 3-9 wells.pdf I"~~rriund lurke Art Saltmarsh Sr. Petroieum Geologist Ak. Oil & Gas Conservation Commission {907)793-1230 From: Colombie, Jody J (DOA) Sent: Monday, May 05, 2008 9:46 AM Subject: Public Notice Wainwright 3-9 Wells Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line 5/29!2008 "~e oi~l}~ thing necessary far flee tri~rrt~sh ~f evil. is fer gaoc# rr~en t~ d~ no~irtg", Notice of Public Hearing STATE OF ALASKA Alaska OiI and Gas Conservation Commission Re: Applications of the U.S. Department of the Interior, U.S. Geological Survey for waivers of the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2}, well site seismic survey requirements of 20 AAC 25.061{a), and gas detection requirements of 20 AAC 25.066, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) or 20 AAC 25.055(a)(4} or both with respect to the following proposed U.S. Department of the Interior Coal Bed Methane (CBM} exploratory wells: Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9. In addition, the Commission, under 20 AAC 25.OSS(a), will consider establishing a drilling unit for the Wainwright area. By letter dated and received on April 23, 2008, and as amended on April 25 and May 1, 2008, the U.S. Department of the Interior, U.S. Geological Survey (USGS) applied to the Alaska Oil and Gas Conservation Commission (Commission) for permits to drill the Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 exploratory wells. The permit application requests waivers of the following requirements: the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a){2), welt site seismic survey requirements of 20 AAC 25.Ob1(a), and gas detection requirements of 20 AAC 25.066. USGS also applied for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) for the proposed Wainwright Nos. 3, 4, 5, b, 7, 8 and 9 wells, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(4}for the proposed Wainwright Nos. 3, 4, 5, 6, 7, and 8 wells. Also, the Commission, under 20 AAC 25.055(a), will consider establishing a drilling unit for the Wainwright leases. The location of each of the proposed Wainwright wells, all of which would be vertical wells, is as follows: Wainwright No. 3: 1720' FEL, b40' FNL, Sec. 24, T15N, R32W, Umiat Meridian (UM) Wainwright No. 4: 1780' FEL, 540' FNL, Sec. 24, Ti SN, R32W, UM Wainwright No. 5: 1650' FEL, 630' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 6: 1780' FEL, 660' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 7: 1890' FEL, 760' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 8: 2040' FEL, 970' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 9: 5040' FEL, 3720' FNL, Sec. 8, T15N, R3 l W, UM The Commission has tentatively scheduled a public hearing on this application for June 10, 200$ at 9:00 a.m. at the Alaska Oil and Gas Conservation Commission, at 333 West 7`" Ave- nue, Suite 100, Anchorage, Alaska 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with the Commission no later than 4:30 p.m. on May 23, 2008. if a request for a hearing is not timely filed, the Commission may consider the issuance of an or- der without a hearing. To learn if the Commission will hold the hearing, call 793-1221 after May 27, 2008. [n addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation Commission, at 333 West 7`h Avenue, Suite 100, Anchorage, Alaska 99501, Comments must be received no Eater than 4:30 p.m. on June 6, 2008, except that, if a hearing is held, comments must be received no later than the conclusion of the June l0, 2008 hearing. [f, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the Commission's Special Assistant, Jody Colombie, at 793-1221, no later than June 2, 2008. V Cathy P. oerster Commissioner • ~ Davies, Stephen F (DOA) From: Saltmarsh, Arthur C (DOA) Sent: Monday, May 05, 2008 12:20 PM To: Davies, Stephen F (DOA) Subject: FW: Wainwright CBM. Permits to Drill Applications for USGS. Attachments: Letter to AOGCC for Requested Well Spacing Exemptions.pdf; ATT2261898.txt Letter to AOGCC AT2261898.txt for Requested ... (264 B) Art Saltmarsh Sr. Petroleum Geologist Ak. Oil & Gas Conservation Commission (907)793-1230 -----Original Message----- From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Friday, May 02, 2008 12:43 PM To: Saltmarsh, Arthur C (DOA) Cc: Davies, Stephen F (DOA) Subject: Wainwright CBM. Permits to Drill Applications for USGS, Art, Attached is a copy of the letter you requested for the Chairman. The original wil be hand delivered this afternoon. Regards, Tom Mortensen 907-345-5789 5/29/2008 9:55 AM • • TOM MORTENSEN ASSOCIATES, LLC ENVIRONMENTAL PERMITTING 8Z MANAGEMENT' P.O. Box 1 13192 ANCHORAGE, ALASKA 99511-31.92 • TEL (907) 345-5789 ~ FAX (907) 345-3575 May 2, 2008 Alaska Oil & Gas Conservation Commission 333 W. 7th Ave., Ste. 100 Anchorage, Alaska 99501 Attn.: Mr. Dan Seamount, Chairman Re: Requested Exceptions to Well Spacing Provisions, 20 AAC 25.055 The purpose of this letter is to request exceptions to the spacing requirements under 20 AAC 25.055(a)(2j and (a)(4) for seven proposed coal bed methane exploration wells. The wells will be drilled in and near the village of Wainwright. The US Geological Survey as the Operator, in corporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of all seven wells are within or adjacent to the village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AOGCC. All seven exploration wells will be drilled closer than 3,000 feet to the state submerged lands of the Chukchi Sea. Therefore, a well spacing exception has been requested for all seven wells. Six of the wells will be drilled with a spacing closer that 1,500'. Spacins~ Exceptions under 20 AAC 25.055(a)(41 for Wells #3 - #8. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The locations of these proposed wells are shown on the attached Figures 1 and 2. spacing Exceptions under 20 AAC 25.055(a)(21 for Wells #3 - #9. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The locations of proposed Welts #3 through #8 are shown on the attached Figures 1 and 2. • The location of proposed Well #9 is two miles to the northeast of the village of Wainwright. • The location of proposed Well #9 is shown on the attached Figures 3 and 5. Wainwright CBM Well Spaang Exemption. Page 1 of 4 May 2, 2008 r ~ Summary of Proposed Wells and Locations. Well Name and Number: Wainwright #3, (Exploration, Production Test) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 640' FEL: 1,720' Distance to State Submerged lands: 475' Well Name and Number: Wainwright #4, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 540' FEL:1,780' Distance to State Submerged lands: 450' Well Name and Number: Wainwright #5, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. WeH Location Leoal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 630' FEL: 1,650' Distance to State Submer~aed lands: 500' Well Name and Number: Wainwright #6, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL.:660' FEL: 1,780' Distance to State Wainwright CBM Weil Spacing Exemption. Page 2 of 4 May 2, 2008 • • Submerged lands: 460' Well Name and Number: Wainwright #7, (Exploration, Production Test Monitor} Welt Location Area: Village of Wainwright. Well Location Lesal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submersed lands: 440' Well Name and Number: Wainwright #8, (Exploration, Production Test Monitor} Well Location Area: village of Wainwright. Well Location Lesal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 970' FEL:2,040' Distance to State Submersed lands: 410' Well Name and Number. Wainwright #9, (Exploration, Offset Well} Weil Location Area: North Slope Borough, landfill for Wainwright. Well Location Leaal. MTRS: Umiat T15N R31 W, Sec. 8. Surface and Bottomhole. FNL:3,720' FEL:5,040' Distance to State Submersed lands: Wainwright. CBM Well Spaang Exemption. May 2, 2008 1, 350' Page 3 of 4 • • Please contact me at 907-345-5789 or via email at tom a~mortensen.com if you have any questions, or require any additional information. Sincerely, Thomas .Mortensen cc: Arthur C. Clark, USGS, Denver. Bob Fisk, BIM, Anchorage. Teresa Imm, ASRC, Anchorage. Wainwright. CBM Well Spacing Exemption. Page 4 of 4 May 2, 2008 • • SURVEY~t3 TOWNSHIP }~ NORTN,RANGE 32 WEST OF THE UMlAT MERtQIAN, ALkSitA 57ATS1S 9f PtJ8i.1c t)OMA[N LANt3 AN1A MIMERAI TITLES axe ~„ n s..~.., ~T~ '~: r ~ ~ - .~° ~ SUPPL Sec 24, ~C5 ,~~~ ~ 'F 'r-,~~ a~ --1I '.~' ~ 44 ~ / 4~l 4amms ~..,, -~ !^.Kf Figure #1. Wainwright Townsite. Plat T15N R32W UM. ~t a. „``t A AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 9 of 34 • • ~/ T151d` R32W Ut~t SeG. ~~' ~-" Wainwrights#3 and #2 {200'7 /: - ./ ,~ Production Well ~. (Total ~ 1) ® ~y. 1-55 ~~ ~ ~ Monitoring Well (Tota1 ~ 5} BI,M SSE Only ~lgt70n1~C ~Or~ . 6D-9I-OSd2 / SSE' l /,- BLki S5E Only ,~ ~ ~ oss zoo, ./ i.ao ti f ~/ FA7312 7 OCD loom US • y DJC AU A6ie 1 ./~. FTA 5188 '~~ Wd I CI & J/~ .v,• Public Tn ferest / -_ L~' ~`~ '\ 0~9~ 0~ 0~ \Q~ B~j' ~~ 5 5E tISS +~~416, Tr ~i PL 96-487 \ Wc6' A6 Morl1(me NMN '~ CM~tkchr .Sno Urrj ~~ ~USt 1~i0 ~ , I ~ E ~ 4 1'} +~ 1;~ (Wainwright ~ Townsite) ~ uss ++~a "'~t~ c z_ne ~, ;SO-83-0626 SSE ~~ Figure #2. Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Townsite. Plat T15N R32W, Sec 24, UM. AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 10 of 31 • SURiEYEO TfJWNSHIP 35 NORTH RANt~ 39 WEST ~ THE U1~AT AIERIINAN, ALASKA SF«JS Lf~A~17G DA1WB! J! -' ~_ .W._._ .,~ x # Ei. Figure #4. Location of Proposed Offset Well at the NSB Landfill. Well #9. Plat T15N R31 W,UM AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 12 of 31 ., :- , ~~ rlll /~'/lll ~x L'<=~f LO/f i .£ on y [~ 1?.So / ~0_-?g__J03fi ~~ ~ ~; C USS ,,35 159,96 ~: Fyn 3i.+ 55E ~zoy~.. '~ !C 'SS -~o'- i ~iff~tV'It;l#. T15N R32FQ UM i-v.) ~ :61 f ~ ~ tt iv iiNi ~ Ir _,., .-r,~ }} I ~ Olgoonik Corp. ASRC SSE SSE Only 150-91-0567 IC 1450 ~-'.95.73 ~ i_g91.53 r ~g J SE:E t -t<GLht=iiT -'""' Nom. ~l 72.3.-5 1 46.'„ 1? U~7 5?52 3 14.5' • .r.. s~ -~~c~.~ ~ /~ ,~ ~ ~` tr .,.c a' ~-aaf t ~.., ]=`a10 16 Figure #5. Location of Proposed Offset Well at the NSB Landfill. Detail View. Well #9. Plat T15N R31 W,UM AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 13 of 31 ~,~ ~~.--~I Ala ~s 'SSG = su.r{~- ~-~''~ ~~i^~' ~: az, cg Page 1 of 1 Davies, Stephen F (DOA) From: Colombie, Jody J (DOA) Sent: Tuesday, May 06, 2008 9:58 AM To: Davies, Stephen F (DOA) Subject: FW: Public Notice Wainwright 3-9 Wells Steve, please respond. From: ferry mccutcheon [mailto:susitnahydronow@yahoo.mm] Sent: Monday, May 05, 2008 12:50 PM To: Colombie, Jody J (DOA) Subject: Re: Public Notice Wainwright 3-9 Wells • This is a notice of objection and a request for information. What are they going to do with the produced water? --- On Mon, 5!5/08, Colombie, Jody J (DOA) yody.colombie~,alaskagov> wrote: From: Colombie, Jody J (DOA) <jody.colombie@alaska.gov> Subject: Public Notice Wainwright 3-9 Wells To: Date: Monday, May 5, 2008, 9:46 AM Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line Be a better friend, newshound, and know-it-all with Yahoo! Mobile. Try it now.. 5/29/2008 Page 1 of 1 • Davies, Stephen F (DOA) From: Colombie, Jody J (DOA) Sent: Monday, May 05, 2008 9:46 AM Subject: Public Notice Wainwright 3-9 Wells Attachments: Public Notice Wainwright 3-9 wells.pdf Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line ~J 5/29/2008 • Notice of Public Hearing STATE OF ALASKA Alaska Oit and Gas Conservation Commission Re: Applications of the U.S. Department of the Interior, U.S. Geological Survey for waivers of the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2}, well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) or 20 AAC 25.055(a)(4} or both with respect to the following proposed U.S. Department of the Interior Coal Bed Methane (CBM} exploratory wells: Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9. In addition, the Commission, under 20 AAC 25.055(a), will consider establishing a drilling unit for the Wainwright area. By letter dated and received on April 23, 2008, and as amended on April 25 and May 1, 2008, the U.S. Department of the Interior, U.S. Geological Survey (USGS) applied to the Alaska Oil and Gas Conservation Commission (Commission) for permits to dri1C the Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 exploratory wells. The permit application requests waivers of the following requirements: the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066. USGS also applied for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 wells, and for exceptions to the spacing requirements of 20 AAC 25.OS5(a)(4) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, and 8 wells. Also, the Commission, under 20 AAC 25.055(a), will consider establishing a drilling unit for the Wainwright leases. The location of each of the proposed Wainwright wells, all of which would be vertical wells, is as follows: Wainwright No. 3: 1720' FEL, b40' FNL, Sec. 24, T15N, R32W, Umiat Meridian (UM) Wainwright No. 4: 1780' FEL, 540' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 5: 1650' FEL, 630' FNL, Sec. 24, T15N, R32W, UM Wainwright Na. 6: 1780' FEL, 660' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 7: 1890' FEL, 760' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 8: 2040' FEL, 970' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 9: 5040' FEL, 3720 ' FNL, Sec. 8, TtSN, R31 W, UM The Commission has tentatively scheduled a public hearing on this application for June 10, 2008 at 9:00 a.m. at the Alaska Oil and Gas Conservation Commission, at 333 West 7`h Ave- nue, Suite 100, Anchorage, Alaska 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with the Commission no later than 4:30 p.m. on May 23, 2008. If a request for a hearing is not timety filed, the Commission may consider the issuance of an or- der without a hearing. To learn if the Commission will hold the hearing, call 793-1221 after May 27, 2008. In addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation Commission, at 333 West 7`h Avenue, Suite I00, Anchorage, Alaska • • 99501. Comments must be received no Later than 4:30 p.m. on June 6, 2008, except that, if a hearing is held, comments must be received no later than the conclusion of the June [0, 2008 hearing. If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the Commission's Special Assistant, Jody Calombie, at 793-I221, no Later than .tune 2, 200$. ~ Cathy P. oerster Commissioner Page 1 of 2 • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.comj Sent: Friday, May 02, 2008 3:03 PM To: Davies, Stephen F (DOA} Subject: Fwd: Re: 20 AAC 25.055 Attachments: Certified Mail Receipt 7008 0500 0000 3322 7340.pdf; ATT2293638.txt Steve, Attached is the Certified Mail Return Receipt for the letter to DOG for the well spacing exemptions for all the Wainwright wells (#3-9). Tom Mortensen 907-345-5789 Date: Wed, 30 Apr 2008 22:14:26 -0800 To: "Davies, Stephen F (DOA)" <steve.davies@alaska.gov> From: Tom Mortensen <tom@mortensen.com> Subject: Re: 20 AAC 25.055 Steve, Attached is a copy of the letter to DOG for the well spacing exemptions for all the Wainwright wells (#3-9). The affidavit is page 7 of 7 of the letter. The USPO proof of mailing is the last page of the pdf document. Tom Mortensen 907-345-5789 At 04:43 PM 4/29/2008 -0800, you wrote: Tom, Please review 20 AAC 25.055, available on the Commission's website, to ensure that you furnish proper notice to affected owners, landowners and operators, and to ensure that you provide the Commission with everything required. Thanks, Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steve.daviesalaska.gov 5/29/2008 ;, ~ ~ ,~ , ;,, ~ ~~ ~ ~y ~~4y ~ ~ ~~ ~ ~trr~ ~ i ~ ~~ ~t~t~~ i d~s~e~ . r`t~t ~a~t~r t~~~~ artt~ tires c~t~ ~~ v~r~c kt a;an rum th '<~ ~ ~ ~ ~ ~`,~~- g dt~:t s e sd yam. ' ~ ^ ci~~~€~ ~ #~ ~~ck ~a# ~ ~i~~ `~ . i?:iv tai ~ ~~~~ t~~ ~ ~i~ ~c~t~t st ~~~ 'grits: _... l~ .~.... ~~ .~ ': ~ . t ~~ ,~~.~ ~ k ya £ q~ ,~ ` ~ 7: e ra} :s„ -. ..,r. ~~. l $ app, ~~~~ ? w.i Y • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Friday, May 02, 2008 12:43 PM To: Saltmarsh, Arthur C (DOA) Cc: Davies, Stephen F (DOA) Subject: Wainwright CBM. Permits to Drill Applications for USGS. Attachments: Letter to AOGCC for Requested Well Spacing Exemptions.pdf; ATT2261898.txt u Letter to AOGCC ATr2261898.bct for Requested ... (252 B) Art, Attached is a copy of the letter you requested for the Chairman. The original wil be hand delivered this afternoon. Regards, Tom Mortensen 907-345-5789 5/29/2008 9:58 AM • • TOM MORTENSEN ASSOCIATES, LLC ENVII2ONMENTAL PERNIITTING 8z MANAGEMENT P.O. Box 1 13192 ANCHORAGE, ALASKA 995 1 1-3 192 • TEL. (907) 345-5789 -FAX (907) 345-3575 May 2, 2008 Alaska Oil & Gas Conservation Commission 333 W. 7th Ave., Ste. 100 Anchorage, Alaska 99501 Attn.: Mr. Dan Seamount, Chairman Re: Requested Exceptions to Well Spacing Provisions, 20 AAC 25.055 The purpose of this fetter is to request exceptions to the spacing requirements under 20 AAC 25.055(a)(2) and (a)(4) for seven proposed coal bed methane exploration wells. The wells will be drilled in and near the village of Wainwright. The US Geological Survey as the Operator, in corporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of al! seven wells are within or adjacent to the village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AOGCC. All seven exploration wells will be driped closer than 3,000 feet to the state submerged lands of the Chukchi Sea. Therefore, a well spacing exception has been requested for all seven wells. Six of the wells will be drilled with a spacing closer that 1,500'. SAacin4 Exceptions under 20 AAC 25.055(a)(4) for Wells #3 - #8. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The locations of these proposed wells are shown on the attached Figures 1 and 2. Spacins~ Exceptions under 20 AAC 25.055(a)(2) for Welts #3 - #9. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The Locations of proposed Wells #3 through #8 are shown on the attached Figures 1 and 2. • The location of proposed Well #9 is two miles to the northeast of the village of Wainwright. • The location of proposed Welt #9 is shown on the attached Figures 3 and 5. Wainwright CBM Well Spaang Exemption. Page 1 of 4 May 2, 2008 • • Summar~,of Proposed Wells and Locations. Well Name and Number: Wainwright #3, (Exploration, Production Test) Well Location Area: Village of Wainwright. Well Location Leoal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 640' FEL: 1,720' Distance to State Submersed lands: 475' Well Name and Number: Wainwright #4, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 540' FEL:1,780' Distance to State Submersed lands: 450' Well Name and Number: Wainwright #5, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. WeN Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 630' FEL: 1,650' Distance to State Submerged lands: 500' Well Name and Number: Wainwright #6, (Exploration, Production Test Monitor} Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL.:660' FEL: 1,780' Distance to State Wainwright CBM Well Spaang Exemption. Page 2 of 4 May 2, 2008 • • Submerged lands: 460' Well Name and Number: Wainwright #7, (Exploration, Production Test Monitor} Well Location Area: Village of Wainwright. Well Location Lecal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submerged lands: 440' Weii Name and Number: Wainwright #8, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surtace and Bottomhole. FNL: 970' FEL:2,040' Distance to State Submer~aed lands: 410' W I,~ I Name and Number. Wainwright #9, (Exploration, Offset Well} Well Location Area: North Slope Borough, landfill for Wainwright. We11 Location Legal. MTRS: Umiat T15N R31 W, Sec. 8. Surface and Bottomhole. FNL:3,720' FEL:5,040' Distance to State Submerged lands: Wainwright. CBM Welt Spacing Exemption. May 2, 2408 1, 350' Page 3 of 4 • • Please contact me at 907-345-5789 or via email at tom a(.amortensen.com if you have any questions, or require any additional information. Sincerely, Thomas .Mortensen cc: Arthur C. Clark, USGS, Denver. Bob Fisk, BLM, Anchorage. Teresa Imm, ASRC, Anchorage. Wainwright. CBM Well Spaang Exemption. Page 4 of 4 May 2, 2008 • • SURVEYEfl TOWNSHIP t5 N4RTN,FtANfiE 32 WEST {~ THE UMIAfi MER[4tAN, ALASKA STATUS 8P PUBLIC OOMAPN LAND ANO ~tINHNAI TITLES rx~.,_. ~ aa._m. h+ITfr ~~~. ~+gao e; s ~au,,,~ ~-°---..•-----~ SUPPL_ Sic 24, F5 _. _ ~ < - s~enr e clai / R, ~~ a ~ ~ a~...~.r-- `~ ~ - -f ~. T /,°' i -~ ~, 2a y' j\ ` _ ail' ic.a ~. ,.. .m.. ~ f % ~~ ''~ ,ate' ,~,'~. t~~ __ ___ __~_ p.R _ y. A t SCirtf Pza...~~~-°. q ~ ... _ ..- - .._....._.._.. 7..M ~s i ;R _:tiZ4 Figure #1. Wainwright Townsite. Plat T15N R32W UM. AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 9 of 31 C7 g-""' Wainwright #1 and #2 (200"J7 { ~~ J .% ~' /~ PL 9fi-487 /f i FY.9' Ak Morrlbne NMN Chuitcly Sep Untl ~ ~~ ~% +~. ~~ (Wainwrigh ~' Tbwnaite} ~~ l /~ ~/ Figure #2. Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Townsite. Plat T15N R32W, Sec 24, UM. ~' ~r' /~ T15N R32W IIM Sec. 24 Prgductorc Wall /~"S~_ (dotal 1) 1~5 .~ ~ ~ Monitoring Well (Total 5) BLM SSE Only Olgoonik Corp. ~o-~r-oast / ss~ /,% SLM 56E Only •~- ~~ `7 T r E `T 1 51 t muss one .t ~ e z~oa 50-da-O?2¢ SSE USS Y+Ot 1,8~ F97312 bC0 tran US O/C Ap ;t+7h q`~ ,~, rt.c~ srss t t c'f 4~ ~w ~ 52 ~0~ ~ ~ ~ ~ d X ~° 4 ' ~• ParbliC In ferest A B~j ~q 5 IISS 4418,. Tr A ~`~uss ++~e AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 10 of 31 • • SURLE"FEO TOWNSHIP i5 NDRTH RANGE 31 WEST OF THE UMIAT MERIDIAN. ALASKA 4TXE~ OF RALL' AplAir INQi Nl0 Yk16`.N. ~'AF3 ~yJ J Me _,... "i ...7.?Y Figure #4. Location of Proposed Offset Well at the NSB Landfill. Well #9. Plat T15N R31 W,UM AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 12 of 31 • s VA Cart D%C u~?i.7 :CP ~b US qg Akin Except t"'or,: Ov S£ n~;y iC !+56 SfI-98-fItJ35 . "~3 "eFt G~' .. ~E~r -_ _..,t ~~ (i; i ~~ei ~f~ Figure #5. Location of Proposed Offset Well at the NSB Landfill. Detail View. Well #9. Plat T15N R31W,UM AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 13 of 31 • • Page 1 of 1 Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Wednesday, April 30, 2008 5:16 PM To: Saltmarsh, Arthur C (DOA) Subject: FW: Please Review ASAP: 080428_Wainwright_3_to_9_BLM_Waiver_Notice_DRAFT.doc Attachments: AOGCC -- 080428_Wainwright_3_to_9_BLM_Waiver_Notice_DRAFT.doc FYI. USGS also needs waivers for each well. From: Birnbaum, Alan J (LAW) Sent: Monday, April 28, 2008 11:58 AM To: Davies, Stephen F (DOA) Subject: RE: Please Review ASAP: 080428_Wainwright_3_to_9_BLM_Waiver_Notice_DRAFT.doc Steve, I count 7 wells in the notice. My comments are attached. Why aren't the requests for spacing exceptions included in this notice? Alan From: Davies, Stephen F (DOA) Sent: Monday, April 28, 2008 10:57 AM To: Birnbaum, Alan J (LAW) Subject: Please Review ASAP: 080428_Wainwright_3_to_9_BLM_Waiver_Notice_DRAFT.doc Alan, USGS wishes to drill 6 wells at Wainwright, and they wish to begin on June 1. We received their corrected PTD applications last Friday. The applications request waivers as stated in this notice as well as spacing exceptions. Could you please review this as soon as you can? I'll send the draft spacing exception notice as soon as I can. Thanks, Steve D 5/29/2008 • • Page 1 of 1 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Wednesday, April 30, 2008 10:14 PM To: Davies, Stephen F (DOA) Subject: Re: 20 AAC 25.055 Attachments: Letter to DOG for Requested Well Spacing Exemptions.pdf; ATT2293370.txt Steve, Attached is a copy of the letter to DOG for the well spacing exemptions for all the Wainwright wells (#3-9). The affidavit is page 7 of 7 of the letter. The USPO proof of mailing is the last page of the pdf document. Tom Mortensen 907-345-5789 At 04:43 PM 4/29/2008 -0800, you wrote: Tom, Please review 20 AAC 25.055, available on the Commission's website, to ensure that you furnish proper notice to affected owners, landowners and operators, and to ensure that you provide the Commission with everything required. Thanks, Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steye.davies@aiaska.gov 5/29/2008 • • TOM MQRTENSEN ASSOCIATES, LLC ENVIROI`1MENTAL G 8t MANAGEMENT P.O. Box 113192 ANCHORAGE, ALASKA 99511-3192 • TFi - (907) 345-5789 • FAx (907) 345-3575 April 30, 2008 State of Ataska Department of Natural .Resources Ataska Division of Oif and Gas 550 W 7th Avenue, Suite 800 Anchorage, AK 99501-3560 Attn.: Kevin Banks, Acting Director Certified Mail Retum Receipt Requested Re: Requested Exceptions to Well Spacing Provisions, 20 AAC 25.055 The US Geological Survey as the Operator, in corporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of all seven wells are within or adjacent to the Village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AOGCC. All seven exploration wells will be drilled closer than 3,000 feet to the state submerged lands of the Chukchi Sea. Therefore, a well spacing exception has been requested for all seven wells. The names and locations of all wells are listed below. Two plats are included showing the locations of the wells seven wells. The affidavit required under 20 AAC 25.055{c)(3) is incorporated into this letter on page 7. Well Name and Number. Wainwright #3, (Exploration, Production Test) Weil Location Area: Well Location Legal, Surface and Bottorrlhoje. Distance to ,State Submerged lands: Wainwright CBM Welt Spaang Exemption. Aprif 30, 2008 Village of Wainwright. MTRS: Umiat T15N R32W, Sec. 24. FNL: 640' FEL: 1,720' 475' Page 1 of 7 :7 • Well Name and Number. Wainwright #4, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 540' FEL:1,780' Distance to State Submersed lands: 450' Well Name and Number. Wainwright #5, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 630' FEL: 1,650' Distance to State Submerged land: 500' Well Name and Number: Wainwright #6, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL.:660' FEL: 1,780' Distance to State Submersed Lands: 460' We11 Name and Number: Wainwright #7, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Welt Location L~sal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submerged lands: 440' Wainwright. CBM Well Spaang Exemption. Page 2 of 7 Apri130, 2008 • • Well Name and Number. Wainwright #8, (Exploration, Production Test Monitor) Well Location Area: Weil Location Lesal. Surface and 6ottomhole. Distance to State Submersed lands: Village of Wainwright. MTRS: Umiat T15N R32W, Sec. 24. FNL: 970' FEL:2,040' 410' Well Name and Number: Wainwright #9, (Exploration, Offset Well) Well Location Area: North Slope Borough, landfill for Wainwright. MTRS: Umiat FNL:3,720' FEL:5,040' T15N R31 W, Sec. 8. Welt Location Leraal. Surface and Bottomhole. Distance to State Submerged lands: Waimvright. C8M Well Spaang Exemption. Apri{ 30, 2008 1,350' Page 3 0( 7 • • T15Di R32N III[ SeC. 24 s'~r ~~anw-,. Herr ~ awrar so lfa9' ~ ~G ~J G Naiatrright ~1 aad #2 (2007 ~" , Productioa Nell ~,c/ /~ ~~ SLIt 888 Only ~p ~/ ra spot t.ao 5 ~ am ~~ titi t rl,o slew ~w • ear cr a ~~e~ e` Public Interest ~~~ /~ ~~ II88 4916, Tr A ~~rss air 24 t. t t et (Naia~rright rs: a~• To+rnsite) tr C i.os ~-osre SSE Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Townsite. Plat T15N R32W, Sec 24, UM. (TOtlll 1) ~~,~ 1~5 • E-- ltoaitoriag Nell (Totai 5I Slit SS8 Only • O~gooa~k Corp. ss~' Wainwright. CBM Well Spaang Exemption. Page 4 of 7 Apri130, 2008 • • ~G~~ ~~ G NA LA^7 D/C f372373 OCD to US A!f Alin Excgof Coal OC S5~' GHfy !C 1A56 50-98-Q?36 NA Cent D/C (92373 aen to us Alf Alin Except Coo/ OC SSE Qv/y /C 7637 PL 96-487 1-t9 Aiosrto Aloiitxns N1NP (CAUkdu' Seo Unit) Location of Proposed Offset Wetl. Detail View. Well #9. Plat T15N R31 W,UM Wainwright. CBM Well Spaang Exemption. Page 5 of 7 April 30, 2008 • C Please contact me at 907-345-5789 or via email at tom cLbmortensen.com if you have any questions, or require any additional information. Sincerely, Thomas W. Mortensen cc. Arthur C. Clark, USGS, Denver. Bob Fisk, f3LM, Anchorage. Teresa Imm, ASRC, Anchorage. The affidavit required under 20 AAC 25.055(c)(3) is on page 7 of this letter. Wainwright. CBM Well Spacing Exemption. Page B of 7 Ap~l 30, 2008 • STATE OF ALASKA ss.: THIRD JUDICIAL DISTRICT ~ AFFIDAVIT OF THOMAS WILLIAM MORTENSEN • I, THOMAS WILLIAM MORTENSEN, being first duly swum under oath, make the following statements: I am acquainted with the facts of the above described proposed exploration wells, and 1 am verifying that all facts are true to the best of my knowledge, and that the plats correctly portray the pertinent and required data. I swear or affirm under penalty of perjury that my statements in this Affidavit are true to the best of my knowledge and belief. ~~[~t/. THOMAS WILLIAM MORTENSEN On the 30~y day of~~R/C in the year 2008 before me, the undersigned, personally appeared THOMAS WILLIAM MORTENSEN, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subsa-ibed above. Subscribed and sworn to or affirmed before +~ DSO _, 2008. No lic ' and for a State of Alaska. My m ion expires ~~1 me at Anchorage, Alaska on Notary PW~c ~'~~~ PAUL JACOB HURLEY ~ State of Alaska My Comm~sion Expires Apr. 16, 2011 Wainwright CBM Well Spaang Exemption. Page 7 of 7 April 30, 2008 m m nn '~ Postm ~ Retum Receipt Fee ~- c ~ C7 {Endorsement }~equired~ ~~ ~ ~~ ~~R ~ a ?'' Q b Restricted Delivery Fee ~~ ~~ ip G`I (Endorsement Required ~ ~~+~- L7 '~ 'w © T°~' Kevin Banks, Atf~~~ Dire ~ sent r State of Alaska, ~ N F~ ~"' ~ Division of oil and Gas -----..--. © Street, ~. or PO ~~p W 7th Avenue, Suite 80+~ ...___.._. c'~,;'s Anohora a AK 99~0~ -3560 ----~ ~ • ~~ • • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Wednesday, April 30, 2008 5:14 PM To: Saltmarsh, Arthur C (DOA) Subject: FW: Wainwright CBM. Art, You'll likely hear from Tom Mortensen about the spacing exceptions needed for the Wainwright wells. I sent him this yesterday. The spacing exception applications were part of each of the permit to drill application, and Maunder should have those on his desk. The permit checklists in RBDMS contain my comments relating to spacing exceptions. The Wainwright 9 well also needs an exception as noted below. Mortensen must provide an application and all supporting documentation. Sorry to dump this on you. I can be reached on my cell at 509-592-0719 at any time if you need to discuss. Back on Monday. Thanks, Steve D. -----Original Message----- From: Davies, Stephen F (DOA) Sent: Wednesday, April 30, 2008 3:15 PM To: 'Tom Mortensen' Subject: RE: Wainwright CBM. Tom, My answers are imbedded in the document, below. I'll be out of the office tomorrow and Friday, so if you need any help please call Art Saltmarsh at 793-1230. Thanks, Steve Davies AOGCC Three questions regarding spacing exemption for gas wells under 25.055. 1) . (d)(1) requires notification to landowners within 3,000'. This would be most of the residences in the Village of Wainwright for Wells #3-8. Question: would having the Post Office in Wainwright post the AOGCC notice suffice? With the postmaster stating in writing that this was done. ------------------------------- Regulation 20 AAC 25.055 (d) requires notification by certified mail to the owners, landowners and operators within 3000' of the proposed well. Per the definitions section of our regulations (20 AAC 25.990), the terms "landowner" and "owner" are defined within AS 31.05.170. In AS 31.05.170, "landowner" "means the owner of the subsurface estate of the tract affected." Also in AS 31.05.170, "owner" is defined as "the person who has the right to drill into and produce from a pool and to appropriate the oil and gas the person produces from a pool for that person and others." And "person" is defined as "a natural person, corporation, association, partnership, receiver, trustee, executor, administrator, 1 5/29/2008 10:04 AM guardian, fiduciary or othe~epresentative or any kind, and~cludes a department, agency or instrumentality of the state or a governmental subdivision of the state." Per 20 AAC 25.990(47), "operator" "means an owner or a person authorized by an owner who is responsible for drilling, development, production, injection, disposal, storage, abandonment, and location clearance." So, the landowners, owners and operators affected by the proposed Wainwright wells are the US Government and the State of Alaska, unless some other person owns the mineral rights (such as ASRC), has been granted the right to drill for gas by a landowner or owner, or has been authorized to drill for gas within 3000 feet of the proposed well. Therefore for wells 3 through 9, assuming that ASRC and DNR are the only other owners or operators within 3000', then you only have to notify them by certified mail and follow up with the required information to the Commission. -------------------------------- 2) . The offset well at the NSB landfill site requires the spacing exemption due to proximity to state submerged lands (Chukchi Sea). This fact was not included in the application pack for Well #9. Does this need to be changed, or is including Well #9 in the letter to DOG adequate? The only criteria requiring a spacing exemption for Well #9 is because of the proximity to state submerged lands. -------------------------------- An exception to 20 AAC 25.055 (a)(2} is needed for Wainwright #9, because it lies about 1,400' from the coastline, which separates federal and state land. A separate application must be made for the Wainwright #9 well since the request was not included within the permit to drill. Copies of this separate application must also be sent by certified mail to all affected landowners, owners and operators. A copy of the notice, the addresses of the recipients and proof of mailing must be provided to the Commission. During my review of the Wainwright #9 application this morning, I noticed that the proposed location is only about 1,400' from the coastline, so you just beat me on this. -------------------------------- 3) Well #9 is ASRC subsurface, not BLM. Non-objection letter from ASRC to USGS operator needs to be copied to AOGCC. I understood that this didn't need to be done before the start of AOGCC notice period. Is this correct? -------------------------------- Yes, the non-objection letter is helpful supporting documentation, but not having it yet won't slow the exception process. Although ASRC has authorized DIO/USGS as operator for the well using form 10-411, ASRC must also be formally notified by certified mail per 20 AAC 25.055(d). The land plat that accompanies the spacing exception application for Wainwright #9 must be clearly annotated, so that I can tell the landowner, owner and operator of all properties within 3000' of Wainwright 9. I have no other way of verifying this information. --------------------------------- 2 5/29/2008 10:04 AM • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Wednesday, April 30, 2008 3:15 PM To: Tom Mortensen Subject: RE: Wainwright CBM. Tom, My answers are imbedded in the document, below. I'll be out of the office tomorrow and Friday, so if you need any help please call Art Saltmarsh at 793-1230. Thanks, Steve Davies AOGCC Three questions regarding spacing exemption for gas wells under 25.055. 1) . (d)(1) requires notification to landowners within 3,000'. This would be most of the. residences in the Village of Wainwright for Wells #3-8. Question: would having the Post Office in Wainwright post the AOGCC notice suffice? With the postmaster stating in writing that this was done. ------------------------------- Regulation 20 AAC 25.055 (d) requires notification by certified mail to the owners, landowners and operators within 3000' of the proposed well. Per the definitions section of our regulations (20 AAC 25.990), the terms "landowner" and "owner" are defined within AS 31.05.170. In AS 31.05.170, "landowner" "means the owner of the subsurface estate of the tract affected." Also in AS 31.05.170, "owner" is defined as "the person who has the right to drill into and produce from a pool and to appropriate the oil and gas the person produces from a pool for that person and others." And "person" is defined as "a natural person, corporation, association, partnership, receiver, trustee, executor, administrator, guardian, fiduciary or other representative or any kind, and includes a department, agency or instrumentality of the state or a governmental subdivision of the state." Per 20 AAC 25.990(47), "operator" "means an owner or a person authorized by an owner who is responsible for drilling, development, production, injection, disposal, storage, abandonment, and location clearance." So, the landowners, owners and operators affected by the proposed Wainwright wells are the US Government and the State of Alaska, unless some other person owns the mineral rights (such as ASRC), has been granted the right to drill for gas by a landowner or owner, or has been authorized to drill for gas within 3000 feet of the proposed well. Therefore for wells 3 through 9, assuming that ASRC and DNR are the only other owners or operators within 3000', then you only have to notify them by certified mail and follow up with the required information to the Commission. -------------------------------- 2) . The offset well at the NSB landfill site requires the spacing exemption due to proximity to state submerged lands (Chukchi Sea). This fact was not included in the application pack for Well #9. Does this need to be changed, or is including Well #9 in the letter to DOG adequate? The only criteria requiring a spacing exemption for Well #9 is because of the proximity to state submerged lands. 1 5/29/2008 10:04 AM An exception to 20 AAC 25.~(a)(2) is needed for Wainwrigh~9, because it lies about 1,400' from the coastline, which separates federal and state land. A separate application must be made for the Wainwright #9 well since the request was not included within the permit to drill. Copies of this separate application must also be sent by certified mail to all affected landowners, owners and operators. A copy of the notice, the addresses of the recipients and proof of mailing must be provided to the Commission. During my review of the Wainwright #9 application this morning, I noticed that the proposed location is only about 1,400' from the coastline, so you just beat me on this. -------------------------------- 3} . Well #9 is ASRC subsurface, not BLM. Non-objection letter from ASRC to USGS operator needs to be copied to AOGCC. I understood that this didn't need to be done before the start of AOGCC notice period. Is this correct? Yes, the non-objection letter is helpful supporting documentation, but not having it yet won't slow the exception process. Although ASRC has authorized DIO/USGS as operator for the well using form 10-411, ASRC must also be formally notified by certified mail per 20 AAC 25.055(d). The land plat that accompanies the spacing exception application for Wainwright #9 must be clearly annotated, so that I can tell the landowner, owner and operator of all properties within 3000' of Wainwright 9. I have no other way of verifying this information. --------------------------------- 2 5/29/2008 10:04 AM Page 1 of 1 Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Tuesday, April 29, 2008 4:43 PM To: 'tom@mortensen.com' Subject: 20 AAC 25.055 Tom, Please review 20 AAC 25.055, available on the Commission's website, to ensure that you furnish proper notice to affected owners, landowners and operators, and to ensure that you provide the Commission with everything required. Thanks, Steve Davies Sr. Petroleum Geologist A{aska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steve.davesalaska.gov 5/5/2008 Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Wednesday, April 30, 2008 3:15 PM To: 'Tom Mortensen' Subject: RE: Wainwright CBM. Tom, My answers are imbedded in the document, below. I'll be out of the office tomorrow and Friday, so if you need any help please call Art Saltmarsh at 793-1230. Thanks, Steve Davies AOGCC Three questions regarding spacing exemption for gas wells under 25.055. 1) . (d)(1) requires notification to landowners within 3,000'. This would be most of the residences in the Village of Wainwright for Wells #3-8. Question: would having the Post Office in Wainwright post the AOGCC notice suffice? With the postmaster stating in writing that this was done. Regulation 20 AAC 25.055 (d) requires notification by certified mail to the owners, landowners and operators within 3000' of the proposed well. Per the definitions section of our regulations (20 AAC 25.990), the terms "landowner" and "owner" are defined within AS 31.05.170. In AS 31.05.170, "landowner" "means the owner of the subsurface estate of the tract affected." Also in AS 31.05.170, "owner" is defined as "the person who has the right to drill into and produce from a pool and to appropriate the oil and gas the person produces from a pool for that person and others." And "person" is defined as "a natural person, corporation, association, partnership, receiver, trustee, executor, administrator, guardian, fiduciary or other representative or any kind, and includes a department, agency or instrumentality of the state or a governmental subdivision of the state." Per 20 AAC 25.990(47), "operator" "means an owner or a person authorized by an owner who is responsible for drilling, development, production, injection, disposal, storage, abandonment, and location clearance." So, the landowners, owners and operators affected by the proposed Wainwright wells are the US Government and the State of Alaska, unless some other person owns the mineral rights (such as ASRC), has been granted the right to drill for gas by a landowner or owner, or has been authorized to drill for gas within 3000 feet of the proposed well. Therefore for wells 3 through 9, assuming that ASRC and DNR are the only other owners or operators within 3000', then you only have to notify them by certified mail and follow up with the required information to the Commission. 2) . The offset well at the NSB landfill site requires the spacing exemption due to proximity to state submerged lands (Chukchi Sea). This fact was not included in the application pack for Well #9. Does this need to be changed, or is including Well #9 in the letter to DOG adequate? The only criteria requiring a spacing exemption for Well #9 is because of the proximity to state submerged lands. An exception to 20 AAC 25.055 (a)(2) is needed for Wainwright #9, because it lies about 2 1,400' from the coastline, ~ch separates federal and state~nd. A separate application must be made for the wainwright #9 well since the request was not included within the permit to drill. Copies of this separate application must also be sent by certified mail to all affected landowners, owners and operators. A copy of the notice, the addresses of the recipients and proof of mailing must be provided to the Commission. During my review of the Wainwright ##9 application this morning, I noticed that the proposed location is only about 1,400' from the coastline, so you just beat me on this. 3) . Well #9 is ASRC subsurface, not BLM. Non-objection letter from ASRC to USGS operator needs to be copied to AOGCC. I understood that this didn't need to be done before the start of AOGCC notice period. Is this correct? Yes, the non-objection letter is helpful supporting documentation, but not having it yet won't slow the exception process. Although ASRC has authorized DIO/USGS as operator for the well using form 10-411, ASRC must also be formally notified by certified mail per 20 AAC 25.055(d). The land plat that accompanies the spacing exception application for Wainwright #9 must be clearly annotated, so that I can tell the landowner, owner and operator of all properties within 3000' of Wainwright 9. I have no other way of verifying this information. --------------------------------- 3 Page 1 of 1 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Wednesday, April 30, 2008 12:47 AM To: Davies, Stephen F (DOA) Subject: Re: 20 AAC 25.055 Thanks Steve, The letter and affidavit will be in the mail to DOG on Wed. Apr 30. Copies to you along with the certified proof-of-mailing. Tom M. 345-5789 At 04:43 PM 4/29/2008 -0800, you wrote: Tom, Please review 20 AAC 25.055, available on the Commissions website, to ensure that you furnish proper notice to affected owners, landowners and operators, and to ensure that you provide the Commission with everything required. Thanks, Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steve.davies@alaska,gov 5/5/2008 • • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Wednesday, April 30, 2008 11:22 AM To: Tom Mortensen Subject: RE: Wainwright CBM. Tom, I'm working through your questions below and will answer them shortly. In the meantime, while checking the Commission's records this morning I noticed that the Designation of Operator form submitted by BLM last year was tied specifically to the specific proposed surface location for Wainwright 1 rather than designating USGS as the operator for all of Section 24. So, a new Designation of Operator form is needed for the proposed Wainwright 3 through 8 wells. The form must come from the governmental agency managing the land (presumably BLM), and it must to designate the USGS as operator for either just the wells or for the entire section. Blank 10-411 Designation of Operator forms are available on the Commission's website. Thanks, Steve Davies AOGCC 907-793-1224 -----Original Message----- From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Wednesday, April 30, 2008 9:12 AM To: Davies, Stephen F (DOA) Subject: Wainwright CBM. Steve, Three question regarding spacing exemption for gas wells under 25.055. 1) (d)(1) requires notification to landowners within 3,000'. This would be most of the residences in the village of Wainwright for Wells #3-8. Question: would having the Post Office in wainwright post the AOGCC notice suffice? With the postmaster stating in writing that this was done. 2) The offset well at the NSB landfill site requires the spacing exemption due to proximity to state submerged lands (Chukchi Sea). This fact was not included in the application pack for Well #9. Does this need to be changed, or is including Well #9 in the letter to DOG adequate? The only criteria requiring a spacing exemption for Well #9 is because of the proximity to state submerged lands. 3) Well #9 is ASRC subsurface, not BLM. Non-objection letter from ASRC to USGS operator needs to be copied to AOGCC. I understood that this didn't need to be done before the start of AOGCC notice period. Is this correct? Thanks again, 1 5/29/2008 10:04 AM • • Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Wednesday, April 30, 2008 10:33 AM To: Birnbaum, Alan J (LAW) Subject: As Usual, another RUSH review is needed by AOGCC - RE: Wainwright CBM. Alan, DOI/USGS has come to us in an untimely manner with a request to drill seven coal bed methane test and monitor wells beginning June 1. The permit to drill applications for Wainwright 3 to 8 contain requests for spacing exceptions due to close proximity to the coastline (state-federal land boundary) and to each other (closely spaced coal bed methane test and monitor wells). USGS wants to start by drilling Wainwright 9, but just this morning I discovered that it needs a spacing exception too because it is 1400' from the coastline(while looking at the proposed well location in Google Earth this morning, I found that the shoreline in our geoscience workstation is off by 500' to 1000' in this area - we're working to fix this). The Commission hasn't received a spacing exception application for Wainwright 9 yet. The document below is a series of questions from USGS's permitting agent concerning spacing exception applications for Wainwright 3 thru 8, and for Wainwright 9. Could you please read through my answers to make sure I've stated everything correctly? I'll be here today, but will be out of the office tomorrow and Friday. Thanks, Steve D. My answers are imbedded in the document, below. -----Original Message----- From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Wednesday, April 30, 2008 9:12 AM To: Davies, Stephen F (DOA) Subject: Wainwright CBM. Steve, Three question regarding spacing exemption for gas wells under 25.055. 1) (d)(1) requires notification to landowners within 3,000'. This would be most of the residences in the Village of Wainwright for Wells #3-8. Question: would having the Post Office in Wainwright post the AOGCC notice suffice? With the postmaster stating in writing that this was done. ------------------------------- Regulation 20 AAC 25.055(d1 requires notification by certified mail to the owners, landowners and operators within 3000' of the proposed well. Per the definitions section of our regulations (20 AAC 25.990), the terms "landowner" and "owner" are defined within AS 31.05.170. In AS 31.05.170, "landowner" means the owner of the subsurface estate of the tract affected. Also in AS 31.05.170, "owner" is defined as the person who has the right to drill into and produce from a pool and to appropriate the oil and gas the person produces from a pool for that person and others. And "person" is defined as "...a natural person, 1 5/29/2008 10:04 AM corporation, association, ~nership, receiver, trustee, ex~tor, administrator, guardian, fiduciary or other representative or any kind, and includes a department, agency or instrumentality of the state or a governmental subdivision of the state." Per 20 AAC 25.990(47), "operator" means an owner or a person authorized by an owner who is responsible for drilling, development, production, injection, disposal, storage, abandonment, and location clearance. So, the landowners, owners and operators affected by the proposed Wainwright wells are the US Government and the State of Alaska, unless some other person owns the mineral rights (such as ASRC), has been granted the right to drill for oil or gas by a landowner, or has been authorized to drill for oil or gas within 3000 feet of the proposed well. 2) . The offset well at the NSB landfill site requires the spacing exemption due to proximity to state submerged lands (Chukchi Sea). This fact was not included in the application pack for Well #9. Does this need to be changed, or is including Well #9 in the letter to DOG adequate? The only criteria requiring a spacing exemption for Well #9 is because of the proximity to state submerged lands. -------------------------------- An exception to 20 AAC 25.055 (a)(2) is needed for Wainwright #9, because it lies about 1,400' from the coastline, which separates federal and state land. A separate application must be made for the Wainwright #9 well since the request was not included within the permit to drill. Copies of this separate application must also be sent by certified mail to all affected landowners, owners and operators. Proof of mailing must be provided to the Commission. During my review of the Wainwright #9 application this morning, I noticed that the proposed location is only about 1,400' from the coastline, so you just beat me on this. 3) . Well #9 is ASRC subsurface, not BLM. Non-objection letter from ASRC to USGS operator needs to be copied to AOGCC. I understood that this didn't need to be done before the start of AOGCC notice period. Is this correct? Yes, the non-objection letter is helpful supporting documentation, but not having it yet won't slow the exception process. Although ASRC has authorized DIO/USGS as operator for the well using form 10-411, they must also be formally notified by certified mail per 20 AAC 25.055(d). The land plat that accompanies the spacing exception application for Wainwright #9 must be clearly annotated, so that I can tell the landowner, owner and operator of all properties within 3000' of Wainwright 9. I have no other way of verifying this information. --------------------------------- Thanks again, Tom Mortensen 345-5789 2 5/29/2008 10:04 AM Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Wednesday, April 30, 2008 9:12 AM To: Davies, Stephen F (DOA) Subject: Wainwright CBM. Steve, Three question regarding spacing exemption for gas wells under 25.055. 1) (d)(1} requires notification to landowners within 3,000'. This would be most of the residences in the Village of Wainwright for Wells #3-8. Question: would having the Post Office in Wainwright post the AOGCC notice suffice? With the postmaster stating in writing that this was done. 2) . The offset well at the NSB landfill site requires the spacing exemption due to proximity to state submerged lands (Chukchi Sea). This fact was not included in the application pack for Well #9. Does this need to be changed, or is including Well #9 in the letter to DOG adequate? The only criteria requiring a spacing exemption for Well #9 is because of the proximity to state submerged lands. 3) . Well #9 is ASRC subsurface, not BLM. Non-objection letter from ASRC to USGS operator needs to be copied to AOGCC. I understood that this didn't need to be done before the start of AOGCC notice period. Is this correct? Thanks again, Tom Mortensen 345-5789 1 5/29/2008 10:00 AM Page 1 of 2 • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Thursday, May 08, 2008 6:20 PM To: Davies, Stephen F (DOA) Subject: Re: FW: 20 AAC 25.055 Steve, These were sent to the BLM and ASRC. There are no other owners, landowners, or operators. I'll send you scanned copies of the returned receipts when I get them. Tom M. At 02:19 PM 5/8/2008 -0800, you wrote: Tom, Did you send a copy of the notice of request for well spacing exceptions by certified mail to all owners, landowners and operators? To date, all I have is the certified mailing receipt for Kevin Banks of DOG. AOGCC needs proof of mailing plus the date of mailing and the addresses to which the notice was sent for all owners, landowners and operators, per 20 AAC 25.055(d) and the spacing exception checklist that I provided to you on Apri( 8, 2008. Thanks, Steve Davies From: Davies, Stephen F (DOA) Sent: Tuesday, April 29, 2008 4:43 PM To: tom@mortensen.com Subject: 20 AAC 25.055 Tom, Please review 20 AAC 25.055, available on the Commissions website, to ensure that you furnish proper notice to affected owners, landowners and operators, and to ensure that you provide the Commission with everything required. 5/9/2008 Thanks, Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steve.davies@alaska.gov Page 2 of 2 5/9/2008 Page 1 of 2 • • Davies, Stephen F (DOA) From: Maunder, Thomas E (DOA) Sent: Monday, April 21, 2008 11:47 AM To: 'Tom Mortensen'; Davies, Stephen F (DOA) Subject: RE: Wainwright CBM Exploration BLMlUSGS. Question regarding annular cement. Tom, There are several requirements in ZO AAC 25.030 regarding cement properties (non-freezing in permafrost) and volume ("cement" to surface) for surface casing. It is my opinion that successfully cementing and grouting the PVC string as you plan should meet the regulatory requirements. Tom Maunder, PE AOGCC From: Davies, Stephen F (DOA) Sent: Monday, April 21, 2008 11:34 AM To: Tom Mortensen Cc: Maunder, Thomas E (DOA) Subject: RE: Wainwright CBM Exploration BLM/USGS. Question regarding annular cement. Tom, Tom Maunder will respond to your questions concerning cementing and grouting. Thanks, Steve Davies AOGCC 793-1224 From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Monday, April 21, 2008 10:06 AM To: Davies, Stephen F (DOA) Cc: Maunder, Thomas E (DOA) Subject: Wainwright CBM Exploration BLM/USGS. Question regarding annular cement. Steve, The permit to drill applications will be submitted tomorrow. Only awaiting the arrival of signed applications via fedex. I wanted to be sure that the following technique was OK before the applications are submitted, and before final bentonite & cement orders are placed. Tom Mortensen 907-345-5789 Protect: Wainwright. CBM Exploration. BLM-USGS. Topic: 5/29/2008 Page 2 of 2 Production Test Well. Description• • When the 6 5/8" steel casing is set to 1,240 ft in the 10 inch production well borehole, the plan is to use Arctic- blend cement in the annular area outside the casing from 1,240'-1,000', then high-solids abandonment bentonite grout from 1000'-100', then Arctic cement from 100'-land surface. Abandonment bentonite grout sets up as a pliable rather than as a rigid solid, and does a better job of sealing than cement. It's the understanding that AOGCC has approved this use it in the past for PVC wells. question Is this acceptable, that cement won't be used for the full annular thickness? Timing of response: The cement and bentonite purchases are being finalized today and tomorrow, and we and need to be sure of what's acceptable before doing so. 5/29/2008 Page 1 of 1 • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Monday, April 21, 2008 10:06 AM To: Davies, Stephen F (DOA) Cc: Maunder, Thomas E (DOA) Subject: Wainwright CBM Exploration BLM/USGS. Question regarding annular cement. Steve, The permit to drill applications will be submitted tomorrow. Only awaiting the arrival of signed applications via fedex. I wanted to be sure that the following technique was OK before the applications are submitted, and before final bentonite & cement orders are placed. Tom Mortensen 907-345-5789 Project:. Wainwright. CBM Exploration. BLM-USGS. TOU1C: Production Test Well. Description: When the 6 5/8" steel casing is set to 1,240 ft in the 10 inch production well borehole, the plan is to use Arctic- blend cement in the annular area outside the casing from 1,240'-1,000', then high-solids abandonment bentonite grout from 1000'-100', then Arctic cement from 100'-land surface. Abandonment bentonite grout sets up as a pliable rather than as a rigid solid, and does a better job of sealing than cement. It's the understanding that AOGCC has approved this use it in the past for PVC wells. ~uesto__n: Is this acceptable, that cement won't be used for the full annular thickness? Timing of_ response: The cement and bentonite purchases are being finalized today and tomorrow, and we and need to be sure of what's acceptable before doing so. 5/29/2008 • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Monday, April 14, 2008 1:46 PM To: Davies, Stephen F (DOA) Subject: Wainwright. Spacing Exception Application. Question. Steve, Question for you on the spacing exemption requirements: The exemption will be needed for 6 wells: 1 CBM production test, 5 CBM pressure monitoring wells. All of these 6 wells will be within a 200' radius located at the northern edge of the village of Wainwright. The exemption application requires the listing of "...all owners, landowners, and operators of all properties within ...3,000 feet of a gas well requiring the spacing exemption." Does this mean that we need to provide a complete list of the residents of Wainwright? Or just those involved in hydrocarbon exploration and production? Thanks. Tom Mortensen 907-345-5789 1 5/29/2008 10:01 AM Page 1 of 2 • • Davies, Stephen F (DOA) From: Maunder, Thomas E (DOA) Sent: Friday, April 11, 2008 2:34 PM To: Tom Mortensen Cc: Davies, Stephen F (DOA) Subject: RE: Wainwright CBM Exploration BLM/USGS. Tam, Thanks far the information. It would appear that similar instal{ations have been done elsewhere and to greater depths. 1 have added a few dimensional items in the procedure. As Steve Davies noted to you, a separate permit is required for each well. It should be submitted in duplicate using the 401 form available on our web site. These documents must be submitted hard-copy with appropriate signatures. If you are to sign the documents, then a letter from USGS should be included with that authorization. It is our practice to mail the document to the address provided on the 401. If delivery to another address or if they desire you to pick them up, that should also be specified. Tom Maunder, PE AOGCC From: Tom Mortensen [mailto:tom@mortensen.com] Sent: Friday, April 11, 2008 2:16 PM To: Maunder, Thomas E (DOA) Subject: Wainwright CBM Exploration BLM/USGS. Tom, This email is a follow up to my two phone calls to you this morning regarding the proposed CBM drilling and monitoring wells at Wainwright. The following is a description of the monitoring wells. After the description is additional information that I received this afternoon from the USGS in Denver regarding the pressure monitoring wells and the PVC pipe. Production Test Monitor Wells 1. Move equipment to Olgoonik wareyard to begin installing wells for production test. 2. Dril19 7/8" hole through surficial deposits to depth of ~50'. Set and cement 6 5/8" schedule 40 steel surface casing. 3. Mud rotary 6" open hole (no core) to 1260 ft. 4. Run geophysical logs (density, gamma, resistivity) to confirm coal bed depth. 5. Insta112.5" schedule 80 PVC monitor well with l OPVC 10-slot screen at bottom. Sand-pack around screen, install bentonite pellet seal above sand, grout to surface using abandonment bentonite grout and cement. 6. Develop well using bailer and air lift methods. 7. Fill PVC well with 67/33% mixture of water/propylene glycol from ~l 100 ft to land surface. 8. Install pressure transducer. 9. Repeat steps 7 through 11 at four other locations. Additonal__I_nformation, .PVC ~i~e,. cement. The tensile strength of 2.5" schedule 80 PVC is 2,125 ft vertical suspension in a dry hole. In a fluid- filled hole, it is considerably higher. USGS has used this exact pipe as monitor well casing to depths in excess of 2500 ft in New Mexico. Maximum external pressure differential is 340 psi, maximum internal pressure differential is 670 psi. Wall thickness is .276", weight is 1.46 lbs/ft. The bentonite grout never sets up as a true solid. Rather, it sets up to a jelly-like consistency that retains 5/29/2008 Page 2 of 2 its low-perm characteristi~en when frozen. The concrete used is Arctic cement blended in Fairbanks for NS conditions by Haliburton. Tom, thank you for your attention to this. Regards, Tom Mortensen 907-345-5789 5/29/2008 Page 1 of 1 Davies, Stephen F (DOA) From: Davies, Stephen F (DOA) Sent: Tuesday, April 08, 2008 3:46 PM To: tom@mortensen.com Subject: CBM Well Permitting Information Attachments: EAS Tom, Attached are copies of the well permit and spacing exception checklists that we use to ensure applications are complete. Legislation signed into law last July eliminated the $100 per well permitting fee. Please call if you have any questions. Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steve.davies@alska.gov 5/5/2008 'rV[Ll. PEFGtIi COMPANY WELL NAME PROGRAM Exploratory (EXP)_ Development (DEV)_Redrill Service (SER) Well bore seg_Annular disposal pars req FIELD is POOL Initial Class/Type / GEOL AREA UNIT No. ON/OFF SHORE ADMINISTRATION 1. Permit fee attached ...................................................':............_..........._..._..... 2. Lease number appropriate ............................................. ........................... _...... 3. Unique well name and number ............. ........_....... ........... ................ _. 4. Well located in a defined pool ..................................................... _........._.......... 5. Well located proper distance from drilling unit boundary .......................................... 6. Well located proper distance from other wells ....................................................... APPR DATE 7. Suffcient acreage available in drilling unit .................................._.._......._........... 8. If deviated, is wellbore plat included .............. _......,....... _.................................... 9. Operator only affected Party .............................................................................. 10. Operator has appropriate bond in force ......_ _ .............................._................... 11. Permit can be issued without conservation order ........................ ... _.................... 12. Permit can be issued without administrative approval ..................... ..................... 13. Can permit be approved before 15-day wait ........................................................ (For Service Well Only) 14. Well located within area and strata authorized by Injection Order # (For Service Well Only) 15. All wells within 1/4 mile area of review identified .................................................. (For Service Well Only) 16. Pre-produced injector: duration of pre-production less than 3 months ...................... 17. RCMP Finding of Consistency has been issued for this project ............................... ENGINEERING 18. Conductor string provided ............................................................................... 19. Surtace casing protects all known USDWs ......................................................... 20. CMT vol adequate to circulate on conductor & surf csg ......................................... 21. CMT vol adequate to tie-in long string to surf csg ........ _ ....................................... 22. CMT will cover all known productive horizons ............................. _................. _.... 23. Casing designs adequate for C, T, B & permafrost ........................._.._................ 24. Adequate tankage or reserve pit ................................................_................... 25. If a re-drill. has a 10.403 for abandonment been approved .................................... 26. Adequate wellbore separation proposed ............................................. _............. 27. If diverter required, does it meet regulations _ ................... _....... .......................... 28. Dulling fluid program schematic & equip list adequate ............................._......_.... APPR DATE 29. BOPEs, do they meet regulation ..................._............,..................................... 30. BOPE press rating appropriate; test to ....................... 5000 psig .................... 31. Choke manifold complies w/API RP-53 (May 64) ........ _..._ _ ............. _..,............. 32. Work will occur without operation shutdown ........................................................ 33. Is presence of H2S gas probable ................................................ ..................... (For Service Well Only) 34, Mechanical condition of wells within AOR verified ................................................ GEOLOGY 35. Permit can be issued w/o hydrogen sulfide measures ........................................... 36. Data presented on potential overpressure zones ........................... _. _................. APPR DATE 37. Seismic analysis of shallow gas zones ............................................................... 38. Seabed condition survey (if off-shore) ............................................................... 39. Contact name/phone for weekly progress reports (exploratory only) ..................... GEOLOGY: ENGINEERING: RES. ENGINEERING: COMMISSION: Commentsllnstructions RPC: TEM: JDH: COT: SFD: WGA: MJW: DTS: MLB: u • OPERATOR FIELD/POOL WELL NAME n CHECKLIST -SPACING EXCEPTION APPLICATION PROPERTY ID/ LEASE S: PI/BH: VERTICAL EXPLORATORY GAS DEVIATED DELINEATION OIL DEVELOPMENT SURFACE LOCATION ' F Land ' F L, S. , T R M PRODUCTIVE INTERVALS ' F Land ' F L, S. , T R M (Top and Bottom) BOTTOM HOLE ' F Land ' F L, S. , T R M Check applicable reason(s) for spacing exception per 20 AAC 25.055(a): (1) to drill a well for oil within 500 feet of a property line where ownership or landownership changes, (2) to drill a well for gas within 1500 feet of a property line where ownership or landownership changes, (3) to drill and complete more than one oil well in a governmental quarter section; or to drill and complete an oil well closer than 1000' to any well drilling to or capable of producing from the same ool, (4 to drill and com lete more than one gas well in a governmental section; or or to drill and complete a gas well closer than 3000' to any welt drilling to or capable of producing from the same pool. Does the application contain: A brief explanation for wh the operator has chosen to drill the specified location. A plat drawn to a scale of one inch equaling 2,640 feet or larger, showing the location of the well or portion of the well for which the exception is sought, all other completed and drilling wells on the property, and all adjoining properties and wells within 1,000 feet of a well or portion of the well requiring the spacing exception that is drilling for oil or within 3,000 feet of a well or portion of the well requiring the spacing exception that is drilling for gas. The names of all owners, landowners, and operators of all properties within 1,000 feet of a well or portion of the well requiring the spacing exception that is drilling for oil or within 3,000 feet of a well or portion of the well requiring the spacing exception that is drilling for gas. A copy of the notice sent by certified mail to the owners, landowners and operators described above, the date of mailing, and the addresses to which the notice was sent. An affidavit by a person acquainted with the facts verifying that all facts are true and that the plat correct) portrays pertinent and required data. if the operator requests a variance from the notice requirements of 20AAC25.055(d), sufficient information to demonstrate that it is not feasible to comply with the notice requirements because of the complexity of ownership within the notice area. ~ ~ STATE OF ALASKA ADVERTISING ORDER NO. NOTI P B ER CE TO U LISH ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTIStNG ORDER NO., CERTIFIED A 0 02814051 ORDER - AFFIDAVIT OF PUBLICATION (PART2 OF THIS FORM) WITH ATTACHED COPY OF !'1 ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. R 333 W 7th Ave, Ste 100 Jod Colombie Ma 5 2008 ° Anchorage, AK 99501 PHONE PcN M 907-793-1238 - DATES ADVERTISEMENT REQUIRED: o Anchorage Daily News May 6 2008 , PO Box 149001 Anchora e AK 99514 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN g ~ ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Advertisement to be published was e-mailed Type of Advertisement Legal® ^ Display Classified ^Other (Specify) SEE ATTACHED SEND INVOICE IN TRIPLICATE AOGCC, 333 W. 7th Ave., Suite 100 TO Anchora e AK 99501 REF TYPE NUMBER AMOUNT 7 VEN z ARD 02910 FIN AMO.AINT SY CC PGM ~ 08 02140100 2 REQUISITIOAIL~B : '~tf'', ''~s• _ PAGE 1 OF TOTAL OF 2 PAGES ALL PAGE; COMMENTS LC ACCT FY NMR DIST 73451 DIVISION APPROVAL: 02-902 (Rev. 3/9~ Publisher/Original Copies: Department Fiscal, Department, Receiving AO.FRM Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Applications of the U.S. Department of the Interior, U.S. Geological Survey for waivers of the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) or 20 AAC 25.055(a)(4) or both with respect to the following proposed U.S. Department of the Interior Coal Bed Methane (CBM) exploratory wells: Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9. In addition, the Commission, under 20 AAC 25.055(a), will consider establishing a drilling unit for the Wainwright area. By letter dated and received on April 23, 2008, and as amended on April 25 and May 1, 2008, the U.S. Department of the Interior, U.S. Geological Survey (USGS) applied to the Alaska Oil and Gas Conservation Commission (Commission) for permits to drill the Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 exploratory wells. The permit application requests waivers of the following requirements: the bonding requirements of 20 AAC 25.025, blowout prevention equipment requirements of 20 AAC 25.035, wellbore survey requirements of 20 AAC 25.050(a)(2), well site seismic survey requirements of 20 AAC 25.061(a), and gas detection requirements of 20 AAC 25.066. USGS also applied for exceptions to the spacing requirements of 20 AAC 25.055(a)(2) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, 8 and 9 wells, and for exceptions to the spacing requirements of 20 AAC 25.055(a)(4) for the proposed Wainwright Nos. 3, 4, 5, 6, 7, and 8 wells. Also, the Commission, under 20 AAC 25.055(a), will consider establishing a drilling unit for the Wainwright leases. The location of each of the proposed Wainwright wells, all of which would be vertical wells, is as follows: Wainwright No. 3: 1720' FEL, 640' FNL, Sec. 24, T15N, R32W, Umiat Meridian (UM) Wainwright No. 4: 1780' FEL, 540' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 5: 1650' FEL, 630' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 6: 1780' FEL, 660' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 7: 1890' FEL, 760' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 8: 2040' FEL, 970' FNL, Sec. 24, T15N, R32W, UM Wainwright No. 9: 5040' FEL, 3720' FNL, Sec. 8, T15N, R31 W, UM The Commission has tentatively scheduled a public hearing on this application for June 10, 2008 at 9:00 a.m. at the Alaska Oil and Gas Conservation Commission, at 333 West 7t'' Ave- nue, Suite 100, Anchorage, Alaska 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with the Commission no later than 4:30 p.m. on May 23, 2008. If a request for a hearing is not timely filed, the Commission may consider the issuance of an or- der without a hearing. To learn if the Commission will hold the hearing, call 793-1221 after May 27, 2008. In addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation Commission, at 333 West 7` Avenue, Suite 100, Anchorage, Alaska • • 99501. Comments must be received no later than 4:30 p.m. on June 6, 2008, except that, if a hearing is held, comments must be received no later than the conclusion of the June 10, 2008 hearing. If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the Commission's Special Assistant, Jody Colombie, at 793-1221, no later than June 2, 2008. Cathy P. oerster Commissioner ~Anchora a Dail News ~ s; s~?ala g Y Affidavit of Publication. 1001 Northway Drive, Anchorage, AK 99508 PRICE OTHER OTHER OTHER OTHER OTHER GRAND AD # DATE PO ACCOUNT PER DAY CHARGES CHARGES #Z CHARGES #3 CHARGES #4 CHARGES #5 TOTAL 477877 05/06/2008 02814051 STOF0330 $338.64 $338.64 $0.00 STATE OF ALASKA THIRD JUDICIAL DISTRICT Angelina Benjamin, being first duly sworn on oath deposes and says that she is an advertising representative of the Anchorage Daily News, a daily newspaper. That said newspaper has been approved by the Third Judicial Court, Anchorage, Alaska, and it now and has been published in the English language continually as a daily newspaper in Anchorage, Alaska, and it is now and during all said time was printed in an office maintained at the aforesaid place of publication of said newspaper. That the annexed is a copy of an advertisement as it was published in regular issues (and not in supplemental form) of said newspaper on the above dates and that such newspaper was regularly distributed to its subscribers during all of said period. That the full amount of the fee charged for the foregoing publication is not in excess of the rate charged private individuals. r Signe Subscribed and sworn to me before this date: $0.00 $0.00 $0.00 $0.00 $338.64 Notice of Public. Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission xe: Applications of the U.S. Department of the Interior U 5. Geological Survey for waivers of the bonding requirements of 20 AAC 25.025 blowout 'AAC 25:055ta)(4} or Dornwicnrespeci w ~~~~ ,~„~•.,,s ,~r~°°~ ~~-~ Department of the Interior Coat Bed Methane (CBM) ezp oratory wells: Wainwright Nos. 3, 4; 5, 6, 7, 8 and 9. In addition; the Commission, under 20 AAC 25.055(aj, wilt consider esfablishmg a drilling unit for the Wainwright area. • o„icfrcr a~+or~ aid raroived nn April 23. 2008, and as amended on'April 25 ght Nos. 3, a, 5, 6, 7, 8 ,ts waivers of the follo+ AAC 25.025, blowout zo ~o AAC 25.'055(x)(4) for the pproposed wainwright Nos: 3, a, 5, b, 7, ano s wails. (Iso, the Commission, under`20 AAC 25.055(x),: will consider establishing a Trilling unit for the Wainwright eases. The location of each of the proposed. Nainwright wells; altof which wogld by vertical wells, is as follows: Nainwright No. 3'. 1720' FEL, 640' FNL; Sec. 24, T15N, R32W, UmiafMeridian (UM) Nainwright No. 4: 1780' FEL, 540' FN4 Sec. 24, T15N, R3~1M, UM Nainwright No. S T650` FEL, 630'FNL, Sec. 24, T16N, R32W, UM Nainwright No. 6: 1780' FEL, 660' FNL, Sec. 24, T15N, R32W; UM Nainwright No. 7: 1890" FEL, 760' FNi, Sec.24, T15N, R32W UM Nainwright No. 8: 2040' FEL, 970`FNL, Sec, 24, T15N, R32WUM Nainwright No. 9: 5040'FEL, 3720' FNL, Sec. 8; T15N, R31W,UM The Commission has tentatively scheduled a public hearing on this 3oolication for June 10, 2008 at 9:00 a.m. at the Alaska Oil and Gas Conservation hied witfrthe Commissionno later than 4:30 p.m: on May 23, Zoos: If a request for a hearing is not timely filed, the Commission may consider the issuance: of an or-der without a hearing. To learn if the Comiilission will hold the hearing; call 793-1221 afterMay 27, 2008. Irraddition, written comments regarding this application may be subrtl)tted to the Alaska Oil and Gas Conservation Commission; at 333 West 7th Avenue; suite 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on June b; 2008, except that, if a hearing is held, comments must be received no later than the conclusion of the June 10, 2008 hearing: If, because of a disability, special accommodations may be needed to comment or attend the hearing; contact the Commission's Special Assistant, Jody Colombia, at 793-1221, no later than Lune 2,.2008., Notary Public in and for the State of Alaska. Third Division. Anchorage, Alaska MY C~ IS~ON EXPIRES: / / ~ i i i~ l ~~ D (( `~ • S. `~y~• ' •'• • ' • lL rr ~, ~'fARY'• ~;, G .. ., ,,, .• ., ,,.. JJd~~~, ~ ~~1,1~,~'1"'i Cathy P. Faerster commissioner AO-02814051 ' Published; May 6, 2008 i ~~ ~. ..._ ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED /L O 02814051 ORDER AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF _ I'1 ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. R 333 West 7th Avenue. Suite 100 ° Anch~rage_ AK 9951 PHONE PCN M 907-793-1238 DATES ADVERTISEMENT REQUIRED: o Anchorage Daily News May 6 2008 , PO Box 149001 Arichora e AK 99514 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN g ~ ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Account # STOF0330 AFFIDAVIT OF PUBLICATION United states °f America REMINDER State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. division. A CERTIFIED COPY OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. Before me, the undersigned, a notary public this day personally appeared ATTACH PROOF OF PUBLICATION HERE. who, being first duly sworn, according to law, says that he/she is the of Published at in said division and state of and that the advertisement, of which the annexed is a true copy, was published in said publication on the day of 2008, and thereafter for consecutive days, the last publication appearing on the day of , 2008, and that the rate charged thereon is not in excess of the rate charged private individuals. Subscribed and sworn to before me This _ day of 2008, Notary public for state of My commission expires Page 1 of 1 Colombie, Jody J (DOA) From: Colombie, Jody J (DOA) Sent: Monday, May 05, 2008 9:46 AM Subject: Public Notice Wainwright 3-9 Wells Attachments: Public Notice Wainwright 3-9 wells.pdf BCC:'Aleutians East Borough'; 'Anna Raff; Arion, Teri A (DNR); 'Arthur Copoulos'; 'Barbara F Fullmer'; 'bbritch ; 'Bill Walker'; 'Brad McKim'; 'Brandon Gagnon'; 'Brian Gillespie'; 'Brian Havelock'; 'Brit Lively'; 'Bruce Webb'; 'buonoje'; 'Cammy Taylor'; 'Cande.Brandow'; 'carol Smyth'; 'Cary Carrigan'; caunderwood@marathonoil.com; 'Charles O'Donnell'; 'Chris Gay'; 'Christian Gou-Leonhardt'; 'Cliff Posey'; 'Dan Bross'; 'dapa'; 'Daryl J. Kleppin'; 'David Brown'; 'David Hall'; David House; 'David L Boelens'; 'David Steingreaber'; 'ddonkel'; 'Deanna Gamble'; 'Deborah J. Jones'; 'doug_schultze'; 'Eric Lidji '; 'Evan Harness'; 'eyancy'; 'foms2@mtaonline.net'; 'Francis S. Sommer'; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Rogers'; 'Gary Schultz'; 'ghammons ; 'Gordon Pospisil'; Gould, Greg M (DEC); 'Gregg Nady'; 'gregory micallef; 'gspfoff; 'Hank Alford'; 'Harry Engel'; 'jah'; 'James Scherr'; 'Janet D. Platt'; 'jejones'; 'Jerry McCutcheon ; 'Jim Arlington'; 'Jim White'; 'Jim Winegarner'; 'Joe Nicks'; 'John Garing'; 'John S. Haworth'; 'John Spain'; 'John Tower'; 'John W Katz'; johnny.aiken@north- slope.org; 'Jon Goltz'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; knelson@petroleumnews.com; 'Krissell Crandall'; 'Kristin Dirks'; 'Laura Silliphant'; 'Lois'; 'Lynnda Kahn'; 'mail=akpratts@acsalaska.net'; 'mail=fours@mtaonline.net'; 'Marilyn Crockett'; 'Mark Dalton'; 'Mark Hanley'; 'Mark Kovac'; 'Mark P. Worcester'; 'Marguerite kremer'; 'many'; 'Matt Rader'; 'Meghan Powell'; 'Mike Bill'; 'Mike Mason'; 'Mikel Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'Nick W. Glover'; NSK Problem Well Supv; NSU, ADW Well Integrity Engineer; 'Patty Alfaro'; 'Paul Decker'; 'Paul Winslow'; Pierce, Sandra M (DNR); 'Randall Kanady'; 'Randy L. Skillern'; 'rcrotty'; Rice, Cody J (DNR); 'rmclean'; 'Rob McWhorter '; rob.g.dragnich@exxonmobil.com; 'Robert Campbell'; 'Robert Fowler'; 'Robert Province'; 'Roger Belman'; 'Rudy Brueggeman'; 'Scott Cranswick'; 'Shannon Donnelly'; 'Sharmaine Copeland'; 'Sondra Stewman'; 'Sonja Frankllin'; 'Stan Porhola'; 'stanekj'; 'Steve Lambert'; 'Steve Moothart'; 'Steven R. Rossberg'; 'tablerk'; 'Tamera Sheffield'; 'Temple Davidson'; 'Terrie Hubble'; 'Tim Lawlor'; 'Todd Durkee'; Tony Hopfinger; 'trmjrl'; 'Walter Featherly'; 'Walter Quay'; 'Wayne Rancier'; 'Dale Hoffman'; Fridiric Grenier; Joseph Longo; Maurizio Grandi; Tom Gennings; Birnbaum, Alan J (LAW); Crisp, John H (DOA); Davies, Stephen F (DOA); Fleckenstein, Robert J (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Mahnken, Christine R (DOA); Maunder, Thomas E (DOA); McIver, C (DOA); McMains, Stephen E (DOA); Noble, Robert C (DOA); Norman, John K (DOA); Okland, Howard D (DOA); Paladijczuk, Tracie L (DOA); Pasqual, Maria (DOA); Regg, James B (DOA); Roby, David S (DOA); Saltmarsh, Arthur C (DOA); Scheve, Charles M (DOA); Seamount, Dan T (DOA); Smith, Chasity R (DOA); Williamson, Mary J (DOA) Attachments:Public Notice Wainwright 3-9 wells.pdf; Special Staff Assistant to the Commission Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 907-793-1221 Direct Line 5/5/2008 Mary Jones David McCaleb Cindi Walker XTO Energy, Inc. IHS Energy Group Tesoro Refining and Marketing Co. Cartography GEPS Supply & Distribution 810 Houston Street, Ste 2000 5333 Westheimer, Ste 100 300 Concord Plaza Drive Ft. Worth, TX 76102-6298 Houston, TX 77056 San Antonio, TX 78216 George Vaught, Jr. Jerry Hodgden Richard Neahring PO Box 13557 Hodgden Oil Company NRG Associates Denver, CO 80201-3557 408 18th Street President Golden, CO 80401-2433 PO Box 1655 Colorado Springs, CO 80901 John Levorsen Michael Parks Mark Wedman 200 North 3rd Street, #1202 Marple's Business Newsletter Halliburton Boise, ID 83702 117 West Mercer St, Ste 200 6900 Arctic Blvd. Seattle, WA 98119-3960 Anchorage, AK 99502 Baker Oil Tools Schlumberger Ciri 4730 Business Park Blvd., #44 Drilling and Measurements Land Department Anchorage, AK 99503 2525 Gambell Street #400 PO Box 93330 Anchorage, AK 99503 Anchorage, AK 99503 Ivan Gillian Jill Schneider Gordon Severson 9649 Musket Bell Cr.#5 US Geological Survey 3201 Westmar Cr. Anchorage, AK 99507 4200 University Dr. Anchorage, AK 99508-4336 Anchorage, AK 99508 Jack Hakkila Darwin Waldsmith James Gibbs PO Box 190083 PO Box 39309 PO Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Kenai National Wildlife Refuge Penny Vadla Richard Wagner Refuge Manager 399 West Riverview Avenue PO Box 60868 PO Box 2139 Soldotna, AK 99669-7714 Fairbanks, AK 99706 Soldotna, AK 99669-2139 Cliff Burglin Bernie Karl North Slope Borough PO Box 70131 K&K Recycling Inc. PO Box 69 Fairbanks, AK 99707 PO Box 58055 Barrow, AK 99723 Fairbanks. AK 99711 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 //'a~/~ s/ar~d' ~k1 TOM MORTENSEN ASSOCIATES, ~.~.C ElvvnzONN~NTAL G 8z MANAGEMENT P.O. Box 113192 ANCHORAGE, ALASxa 995 1 1-3 192 • 'ILL (907) 345-5789 • Fax (907) 345-3575 May 2, 2008 Alaska Oif & Gas Conservation Commission 333 W. 7th Ave., Ste. 100 Anchorage, Alaska 99501 Attn.: Mr. Dan Seamount, Chairman RE~EIVE® MAY 0 2 2008 Alaska Oil & Gas Cons. Commission Anchorage Re: Requested Exceptions to Well Spacing Provisions, 20 AAC 25.055 The purpose of this letter is to request exceptions to the spacing requirements under 20 AAC 25.055(a)(2) and (a)(4) for seven proposed coal bed methane exploration wells. The wells will be drilled in and near the village of Wainwright. The US Geological Survey as the Operator, in corporation with the Bureau of Land Management and the Arctic Slope Regional Corporation have submitted applications to AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of all seven wells are within or adjacent to the village of Wainwright. Tom Mortensen Associates LLC is responsible for the preparation and submittal of the applications to AaGCC. All seven exploration wells will be drilled closer than 3,000 feet to the state submerged lands of the Chukchi Sea. Therefore, a well spacing exception has been requested for all seven wells. Six of the wells will be drilled with a spacing closer that 1,500'. Spacing Exceptions under 20 AAC 25.055(a)(4) for Wells #3 - #8. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The locations of these proposed wells are shown on the attached Figures 1 and 2. Spacing Exceptions under 20 AAC 25.055(a)(2) for Wells #3 - #9. • Proposed Wells #3 through #8 are located within the village of Wainwright. • The locations of proposed Wells #3 through #8 are shown on the attached Figures 1 and 2. • The location of proposed Well #9 is two miles to the northeast of the village of Wainwright. • The location of proposed Well #9 is shown on the attached Figures 3 and 5. Wainwright CBM Well Spaang Exemption. Page 1 of 4 May Z, 2008 • • Summary of Proposed Wells and Locations. Well Name and Number: Wainwright #3, (Exploration, Production Test) Well Location Area: MTRS: Umiat FNL: 640' FEL: 1,720' T15N R32W, Sec. 24. Well Location Legal. Surface and Bottomhole. Distance to State submerged lands: Well Name and Number: Wainwright #4, (Exploration, Production Test Monitor) Village of Wainwright. 475' Well ~.ocation Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 540' FEL:1,780' Distance to State Submerged lands: 450' Well Name and Number: Wainwright #5, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. MTRS: Umiat FNL: 630' FEL: 1,650' T15N R32W, Sec. 24. WeN Location Legal, Surface and Bottomhole. Distance to State Submerged lands: 500' Well Name and Number: Wainwright #6, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL.:660' FEL: 1,780' Distance to State Wainwright. CBM Well Spacing Exemption. Page 2 of 4 May 2, 2008 • • Submerged lands: 460' Well Name and Number: Wainwright #7, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Weli Location Lecal, MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 760' FEL: 1,890' Distance to State Submerged lands: 440' Well Name and Number: Wainwright #8, (Exploration, Production Test Monitor) Well Location Area: Village of Wainwright. Well Location Legal. MTRS: Umiat T15N R32W, Sec. 24. Surface and Bottomhole. FNL: 970' FEL:2,040' Distance to State Submerged lands: 410' Well Name and Number: Wainwright #9, (Exploration, Offset Well} Well Location Area: North Slope Borough, landfill for Wainwright. Well Location Legal. MTRS: Umiat T15N R31 W, Sec. 8. Surface and Bottomhole. FNL:3,720' FEL:5,040' Distance to State Submerged lands: 1,350' Wainwright. CBM Well Spacing Exemption. May 2, 2008 Page 3 of 4 • • Please contact me at 907-345-5789 or via email at tom cLDmortensen.com if you have any questions, or require any additional information. Sincerely, ~f? /i~~ Thomas W. Mortensen cc: Arthur C. Clark, USGS, .Denver. Bob Fisk, BLM, Anchorage. Teresa Imm, ASRC, Anchorage. Wainwright. C8M Well Spacing Exemption. Page 4 of 4 May 2, 2008 • • 5URVEYED TOWNSHIP 13 NORTH,RANGE 32 WEST OF THE UMIAT MERIDIAN, ALASKA STATUS Oi PUBLIC DDMAIN LAPS AND MINERAL TfTLES n~N Nom. a, .ia. m MTP N.i..,.w3 ,~ ..e w msaei ~ ~ _~_~ ~_p PL SBC 2 2S _ _ f,nkel . it ~. ~ ' '.~.-.w~Ca ~3e, iwll • WG[N tp iliKGNtIp tMKtf / ii11 QP{ O.SY 5W3. ONgNy Mqr pleeeotY Cpry xF +>W IPL'!Sf O.IT 5~ J ru •3v, r ~rs. bar t 'l'"° 4 % -. .r «. ~.as ffE4Lns DlS~-p3iM~SL.2F ti\ / $A /~ ' j1 •rM.SINY RM ~NASRL ' ~` ~ ,..amrslgYS : , ar ti~. ~ ,DQ3(tg ~~.k.Y1 w~ , /~ -` ^~.i~.... ..u. ornnsl /. ~ ~ .~! ea-.ero ~.._.. _. fIt!'. b~# J ,~, ~~r~. Figure #1. Wainwright Townsite. Plat T15N R32W IJM. AOGCC Permit to Drill. Wainwright # 9 April 22, 2008, Page 9 of 31 • • T75N R32N IIM Sec. 24 Naiawright #1 aad #2 (2007) /ti' Production Nell / (Total 1) ~ ,~~ (~5 • F- bioaitoriag Nell % (TOtal s 5) BLM $$8 Only ~ O~ -~ Corp . ~/ /,/ BLlE SS8 Oaly \ ~Q. ~/ L ~/ J ~~ t C sss z.oi ~.~ FB7.3rP 01~ /ran US 0/CAA'A~ PIA 5188 Nd7 Cl 6 Pubtrc Interest ~^' ~'k ~ 0~o~e ~~~ ~ 97j' PG 36'-4BT wa ,a~' ,~rwrldrr, ~ ~ ClKKichr Ssa Uidl ~ ~G J ~5~ /~ IISS 4418, Tr A \ R ~nss urn / 21i i r E 1 6/ /~~ (Naiawright uss uis ~~' Towaaite) Tr C G~ ~ ~ z.o~ aaas-os~ , ss~ ~~ Figure #2. Location of Proposed Production Test and Monitoring Wells. Wells #3-8. Wainwright Townsite. Plat T15N R32W, Sec 24, UM. AOGCC Penult to Drlll. Wainwright # 9 April 22, 2008, Page 10 of 31 • • SURVEYED TOWNSHIP 15 NORTH RANGE 31 WEST ~ THE UAMAT YIERIDIAN, ALASKA Figure #4. Location of Proposed Offset Well at the NSB Landfill. Well #9. Plat T15N R31W,UM AOGCC Permit to Drill. Wainwright # 9 APrii 22, 2008, Page 12 of 31 ,`~ i ,' • • rvA L-'err D/C F923J3 QCD t0 US A!! Min Excepl Coa! OG 55£ Only /C 1456 50-98-D03S NA Csrt D/C F923t3 OCD to US A!! Min Except Coo/ OC SS£ Only !C 7637 PL 96-467 Wd! Alosko Moritrme NK94 (Chukchi Sca Unit) Figure #5. Location of Proposed Offset Well at the NSB Landfill. Detail View. Well #9. Plat T15N R31W,UM AOGCC PeRnit to Drill. Wainwrlght# 9 April 22, 2008, Page 13 of 31 • • Page 1 of 2 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Friday, May 02, 2008 3:03 PM To: Davies, Stephen F (DOA) Subject: Fwd: Re: 20 AAC 25.055 Attachments: Certified Mail Receipt 7008 0500 0000 3322 7340.pdf; ATT2293638.txt Steve, Attached is the Certified Mail Return Receipt for the letter to DOG for the well spacing exemptions for all the Wainwright wells (#3-9). Tom Mortensen 907-345-5789 Date: Wed, 30 Apr 2008 22:14:26 -0800 To: "Davies, Stephen F (DOA)" <steve.davies@alaska.gov> From: Tom Mortensen <tom@mortensen.com> Subject: Re: 20 AAC 25.055 Steve, Attached is a copy of the letter to DOG for the well spacing exemptions for all the Wainwright wells (#3-9). The affidavit is page 7 of 7 of the letter. The USPO proof of mailing is the last page of the pdf document. Tom Mortensen 907-345-5789 ---------------- At 04:43 PM 4/29/2008 -0800, you wrote: Tom, Please review 20 AAC 25.055, available on the Commission's website, to ensure that you furnish proper notice to affected owners, landowners and operators, and to ensure that you provide the Commission with everything required. Thanks, Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steve.davies @alaska.gc~v 5/5/2008 ,. . _.. e ~ .-st.<e x.~- v ~ s , r ,~ ~ ~~ < C a e .~. ~ ~ ~ n" e t ~ t ~ ~ r ~ ~ ~ ~° ~' ~ a ~ '~ ~ '. ~' ,. , _ ., !~. r z .~ ~ ,,. ,. ~ ~:e f ?.x.. t , £ -.„fi g }g;~ ry~y~Q~q~q~ ~..s`'td. ~~e~.3 " e^ tv -'c~ ~ E~S~. i 4 ~. + ~ L«.m..r. a..,«w~. 2 ~ / + tv V 4.? s'~'aita.,h , d1 z° + ~. $~ r' "~ „A /»»,.~x~<~.S~®qa~ j}ty~ ,:z ,r '~. 1f°~.s.~ .~ ~ P`S~.x?„.,'~gv{" ~ .~ ~~'S "„' y ,~.. > t ~ £ .b~"'y ~ ., x. ..~;'..au. ~-.~~3, a,~(~e'~"3. .~.u# Tti ~ ~~~. ..... . .. f .. . ~k_ ~ ~ ...y...., ,»...»~.....z...,:. tt ~ ~ ~ ~~'A, ~~~ Ve vY„jT «'F4 l<~• >d w a. °5 ~~ ~ 1~ ~h ~` ° ~ `%2 '2 E ..a ,~s ..,. '. .. ., ~ , , n,.ms . ,..~. , € ~ ~~° .. t.~; t~ € ti ,.~ ~, ,. . ~...»... ~ Vie.,I~;~ ~. • • Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Friday, May 02, 2008 12:43 PM To: Saltmarsh, Arthur C (DOA} Cc: Davies, Stephen F (DOA) Subject: Wainwright CBM. Permits to Drill Applications for USGS. Attachments: Letter to AOGCC for Requested Well Spacing Exemptions.pdf; ATT2261898.txt u Letter to AOGCC ATT2261898.txt for Requested ... (252 B) Art, Attached is a copy of the letter you requested for the Chairman. The original wil be hand delivered this afternoon. Regards, Tom Mortensen 907-345-5789 • Page 1 of 1 Davies, Stephen F (DOA) From: Tom Mortensen [tom@mortensen.com] Sent: Wednesday, April 30, 2008 10:14 PM To: Davies, Stephen F (DOA) Subject: Re: 20 AAC 25.055 Attachments: Letter to DOG for Requested Well Spacing Exemptions.pdf; ATT2293370.txt Steve, Attached is a copy of the letter to DOG for the well spacing exemptions for all the Wainwright wells (#3-9). The affidavit is page 7 of 7 of the letter. The USPO proof of mailing is the last page of the pdf document. Tom Mortensen 907-345-5789 At 04:43 PM 4/29/2008 -0800, you wrote: Tom, Please review 20 AAC 25.055, available on the Commission's website, to ensure that you furnish proper notice to affected owners, landowners and operators, and to ensure that you provide the Commission with everything required. Thanks, Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission Telephone: (907) 793-1224 Fax: (907) 276-7542 New Email Address: steve.daves@a(aska.gov 5/5/2008 TOM MORTENSF.N ASSOCIATES, LLC ~1WIRONNiENTAL G 8z MAN~GFSMElVT P.O. Box i 13192 ANCHORAGE, ALASKA 99511-3192 • TEL (907) 345-5789 • FAX <907~ 345-3575 April 30, 2008 State of Alaska Department of Natural Resotut~s Alaska Division of O~ and Gas 550 W 7th Avenue, Suite 800 And~orage, AK 99501-3560 Ate.: Kevin Banks, Acting Dir+ec~or Certified Mail Return Receipt Requested Re: Requested Exceptions to Well Spaang Provisions, 20 AAC 25.055 The US Geological Survey as the Operator, in corporation with the Bureau of hand Management and the Arctic Slope Regional Corporation have submitted applications #o AOGCC for Permits to Drill seven exploration wells for coal bed methane. The locations of all seven wells are within or att~sacerrt to the Village of Wainwright. Tom Mortensen Associates LLC is res~nsible for the preparation and submittal of the applications to AOGCC. All seven exploration wells will be drilled loser than 3,000 feet to the state submerged lands of the Chukchi Sea. Therefore, a well spacing exemption has been requested for all seven walls. The names and locations of all wells are listed below. Two plats are irxauded showing the locations of the wells seven wells. The affidavit required under 20 AAC 25.055(c)(3) is irx~orparated into this letter on page 7. Well Name and Number Wainwright #3, (Exploration, Production Test) Well Location Area: Distanc_ to State i~~men~ed lands: wainwright. cars Wsll Spacing E~oemptwn. Aprll 30, 2008 YII~ of VNairnNiright. MTRS: Umiat T15N R32W, Sec. 24. FNL: fi40' FEL: 1,720' 475' Page 1 of 7 • il~lell Name and N~~ber': Wainwright #4, {Exploration, Production Test Monitor) Watt L,iQn~„: ~ttage of Wainwright. Well Loxation Leotal. MTRS: Umiat T15N R32W, Sec. 24. ,hand FNL: 540' FEL:1,780' Distance to State Submersed Lands: 450' Well Names and Number: Wairn~rright #5, (Exploration, Production Test Mcmitor) Welt Location Area: V+Ilage of Wainwright. ~IILeI,l,~oc~tion Les~l, MTf2S: Umiat T15N R32W, ~. 24. ~„ie a~xi~Bot omhoie. FNL: 630' FEL: 1,650' Dis~nce to State Subd lance: 500' yyeli Nye and Number. Wainwright #6, (Exploration, Production Test Monitor) ~Q/e,~,Locatt~~: Village of Wainwright. Well Location ~~ MTRS: Umiat T15N R32W, Sec. 24. Surtaos and Bottomhola. FNL.:660' FEL: 1,780' D to Stye ~ 9~ ~~ 1~Vi~ll Name~„~irt-t~: Wainwright #7, (Exploration, Productitxt Test Monitor) jell Location Area: village of Wainwright. Weft Location,. l1ATRS: Umiat T15N R32W, Sec. 24. Surfa_oe and B mhole. FNL: 760' FEL: 1,890' Distance to State Subtnerfled tam: 440' wairnrrigt-t. cBM ease z ~ ~ Wad sprang Exemption. Ap~i a0, zoos Weli Name amber: Wainwright #8, (Exploration, Production Test Monitor) Village of Wainwright. Well Location Leaat. ~u~e and Bottomh~ le. Qistancae to State Submgrged lands: MTRS: Umiat T15N R32W, Sec. 24. FNL: 970' FEL:2,040' 410' Weil end N~ber: Wainwright #9, (Exploration, Offset Well) Well Location Area: North Slope Borough, landfill for Wairrnrright. MTRS: Umiat FNL:3,720' FEL:5,040' T15N R31 W, Sec. 8. Well Location Leal. Surface and Bottomhole. Distance to State Sum I~~s: Wainwright. CBM Ws~ Spsang Exemption. Apri130, 2008 1,350' Page 3 of 7 / ~ tt5f1 1t3sx ~t Sec. T4 RalaArriQltt ~1 aad •2 tT007) - 1 ~~ ,~~ 8roduatio~a Rail ~~< (Total 1) ~ 1.15 . ~.- xonitosisrQ Reli (Total : 5) / 82i1 88= Oaly • 0lgoonit Corp. HLl1 88= Only P ~ .~:.~ y~C. ~ srr~rr °10c ~r ~~ ~~ cr s ~~~ hb/ac Interest '0' ASS 426, Ts 1- ~~Mi~ MR \ ~pt ~~11 AMiAak Srs LM G~ / 2~ 1 tt ~. j tRaiarright ..~. G~J ~; Tovnsita) s. e :.n s /. Location of Proposed Production Test and AAonitor~ Weiss. Wells #3-s. WairnrvrigM Tawnsite. Plat T15NI R32W, Sec 24, UM. wa;~+n cap WeN Speang Exemption. Page 4 of 7 ~~.~ r, ~ ~°~'~ a/ G `~ 6 fA?373 cj °~ 4 ~ an r~ us ~~~ ~ .~,w~, £xcapr coa oc QLfD ro us s~ may, ,w ~r~, ~r c.~r uc fc f+~s ssE' ravy t-214 ~ fI36 St7-918-O1R36 AG1 Cwf p~ uss ttse7 s~vz3~s 159.96 ~~ 1-370 (bur ~ ,~ afy ~ 7831 t_~ OPfset Well. T1Sl1' 1t31M 'Cs 7 Wainwrig~ #9.8 9 t-99 ~ 2-ta orr a as-~e~ tra Armto lbritims AfNP !cam .~ ~,,;~~ Q1~oomi>k corp. ns~tc 98s Sss O~niy 50-91.OS67 IC 1460 2-298.73 t-591.59 a tits-.xse J MH' AYiP-A 18 i7 16 SEE ENLARGEM ENT NQ 7 uSS 5252 3-14.57 USS 5252 2-22.63 ~.~ 46,52 Location ~ Proposed Ofd well. Detail View. well #s. Plat T151V R31 W,UM wtri~nt. cawl wen spacing Exe~rtpa«t. use s of ~ Aprtl 30, 2008 • • Please contact me at 907-345-5789 or via email at tom~mortensen.~m if you have any questi~ts, or require any additional inforn~ation. Sincerely, Thomas W. Mortensen cc: Arthur C. Clark, USGS, Denver. Bob Fisk,13LM, Anchorage. Teresa Imm, ASRC, Anchorage. The affidavit required under 20 AAG 25.055{c}(3} is on paw 7 of this letter. Wainwright CBM p s 6 of 7 Wd1 Spacing Ex~anption. a9 April 30, 2008 • STATE ~ ALASKA ) } t~.• THIRD JUDICIAL DISTRICT) AFFIDAVIT OF THOMAS WILLIAM MORTENSEN • I, THOMAS WILLIAM M~tTENSEN, being f~ duty swum under oath, make the tulloMrinB statements: 1 am acquainted with the fads of the above described proposed exploration wells, aril I am verifying that all facts are true to the best of my knowledge, and that the plats oomsctiy portray the pertinent and required data. I swear or affirm under penalty of perjury that my statemer-ts in this Affidavit are trt~ ~ the best of my knrowledge and belief. ll~ er,.~/t~t/. THOMAS WILLAM MORTENSEN On the 30~y day of~C in the year 2006 befiore me, the undersigned, personally appeared THOMIAS WILLIAM MORTENSEN, personally known to rr~e or proved to me on the basis of satisfactory evidence to be the ~ whose name is subscribed move. Subscribed and swum to or affinrred before ~ r '~0 2008. ~.Q, N is ' aril for State of Alaska. My ton expires ~~t rte at Anchorage, Alaska on PAIJI. JACOB l~1RLEY } State of Alseka t~f- can>ion F Apr.1 B, tot t WairnKigirt. C~VI WeN S~~ ~• Page T of T April ~, 2008 m m m t~ertified Fee t~ {Endorsement required) D Restricted Delhrery Fee ~ (Endarsemerrt Required) C.7 ~• b `~ ~'°~' Kevin Banks, A~~ Dire~...~ ,~ rr ~ ~~~tte of A{asks, D{~R ~ ~tree~ Division of Chi{ and ass ~,.. or PO 55~J 1N 7~h Avenue, ~1.1M~e ~~~} ~'~, S Anchors e, AK'995t~1-~~~ wwrrrrrrw~ r~r~rrwrrr n •