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Home My WebLink About209-163Image Project Well History File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable by direct inspection of the file. p~ ~ (. - ~ ~j ~ Well History File Identifier Organizing (done) ^ Two-sided III 11111111111 II III ^ Rescan Needed III 1111111111111111 RES AN DIGITAL DATA olor Items: ^ Diskettes, No. ^ Greyscale Items: ^ Other, No/Type: ^ Poor Quality Originals: ^ Other: OVERSIZED (Scannable) ^ Maps: ^ Other Items Scannable by a Large Scanner OVERSIZED (Non-Scannable) ^ Logs of various kinds: NOTES: ^ Other:: BY: Maria Date: a. Q !sl Pro'ect Proogng II I II IIII II III I I III BY: Maria Date: ~ ~ ,~~ !s! Scanning Preparation x 30 = BY: Maria Date + =TOTAL PAGES (Count does not include cover sheet) /s/ Production Scanning Stage 1 Page Count from Scanned File: ~ (Count does include cov sheet) Page Count Matches Number in Scanning Pr/eparation: YES NO BY: Maria Date: ~ ~~-/ ~~ /s/ Stage 1 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. I) I II II II I (III I I II ReScanned II I II ~I II I I I II I (III BY: Maria Date: !s/ Comments about this file: Quality Checked III II IIII III III) III 10/6/2005 Well History File Cover Page.doc by Terrie Hubble Drilling Technologist Drilling & Wells March 25, 2010 Alaska Oil & Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 Reference: API # 50-029-22794-61-00 Permit # 209-163, Milne Point Unit MPL-36L1-01 Direct: (907) 564-4628 Terrie.hubble~bp.com To Whom It May Concern: \~~~~I/ ~•- -~~ ii~IN~~w /~/~1,\ BP Exploration (Alaska) Inc. 900 East Benson Boulevard P.O. Box 196612 Anchorage, Alaska 99519-6612 (907) 561-5111 RECEIVED MAC ~ n zoo ~Iasic80Y~G~I6Ca~~~ Please cancel approved Permit to Drill for MPL-36L1-01, Permit Number 209- 163 (50-029-22794-61-00). This wellbore was not drilled during a recent multilateral program for the parent wellbore. Only one wellbore leg was added instead of the planned two multilateral legs. Thank you very much for your assistance in this matter. Sincerely, ~~vue~ ~~+~-~. Terrie Hubble ~~s w~ a i ame ~~ xc: Well Files PDC ~ ~ ~ ~ ~ ~-~ ~ ~ ~ ~ ~~ ~ ~ ~ ~~ G ~ ~~ F ~ ~. ~ SEAN PARNELL, GOVERNOR ~r ~-~-t7r8~ ~~ ~D+~+V[v~7 g~ 333 W. 7th AVENUE, SUITE 100 CO1~T5FiRQA'i'IQI~T CUl~IISSIUI~T g PHONORA 907) 279-14339501-3539 / FAX (907) 276-7542 Mr. John McMullen Engineering Team Leader BP Exploration (Alaska), Inc. P.O. Box 196612 Anchorage, Alaska 99519-6612 Re: Milne Point Unit, Kuparuk River Oil Sands, MPL-36L1-Ol BP Exploration (Alaska), Inc. Permit No: 209-163 Surface Location: 3209' FSL, 4886' FEL, SEC. 08, T13N, R10E, UM Bottomhole Location: 610' FSL, 4322' FEL, SEC. 23, T13N, R09E, UM Dear McMullen: Enclosed is the approved application for permit to re-drill the above referenced development well. This permit to drill does not exempt you from obtaining additional permits or an approval required by law from other governmental agencies and does not authorize conducting drilling operations until all other required permits and approvals have been issued. In addition, the Commission reserves the right to withdraw the permit in the event it was erroneously issued. Operations must be conducted in accordance with AS 31.05 and Title 20, Chapter 25 of the Alaska Administrative Code unless the Commission specifically authorizes a variance. Failure to comply with an applicable provision of AS 31.05, Title 20, Chapter 25 of the Alaska Administrative Code, or a Commission order, or the terms and conditions of this permit may result in the revocation or suspension of the permit. When providing notice for a representative of the Commission to witness any required test, contact the Commission's petroleum field inspector at (9079-3607 (pager). DATED this day of December, 2009 cc: Department of Fish 8v Game, Habitat Section w/o encl. (via a-mail) Department of Environmental Conservation w/o encl. (via a-mail) STATE OF ALASKA ALA~OIL AND GAS CONSERVATION COM~ION PERMIT TO DRILL 20 AAC 25.005 '~'~'~I~ ~~~~i~ ~ 'Y 2009 1 a. Type of work: ^ Drill ®Redrill ^ Re-Entry 1 b. Proposed Well Class: ®Development Oil ^ Service - Winj ^ Single Zone ^ Stratigraphic Test ^Development Gas ^ Service -Supply ^ Multiple Zone ^ Exploratory ^ Service -WAG ^ Service - Disp 1 •R, ,,~,~,~~Y~jf II i~~yyr~oy~o for; ~~ ~oa~lt~~(~~ C1'C*~es 10 ~"~~"s le Gas 2. Operator Name: BP Exploration (Alaska) Inc. 5. Bond: ®Blanket ^ Single Well Bond No. 6194193 • 11. Well Name and Number: MPL-36L1-01 3. Address: P.O. Box 196612, Anchorage, Alaska 99519-6612 6. Proposed Depth: MD 23065' ~ r/D 6586'ss ' 12. Field /Pool(s): Milne Point Unit / Kuparuk 4a. Location of Well (Governmental Section): Surface: 3209' FSL 886' FE E T E M ° 7. Property Designation (Lease Number): ADL 025509 & 025514 River Oil Sands , 4 L, S 13N, R10 , U C. O8, Top of Productive Horizon: 3209' FSL, 4886' FEL, SEC. 23, T13N, R09E, UM 8. Land Use Permit: 13. Approximate Spud Date: February 01, 2010 ' Total Depth: 610' FSL, 4322' FEL, SEC. 23, T13N, R09E, UM 9. Acres in Property: 2560 14. Distance to Nearest Property: 585' 4b. Location of Well (State Base Plane Coordinates - NAD 27): Surface: x- 544996 - 6031400 Zone- ASP4 10. KB Elevation above MSL: 50.25' • GL Elevation above MSL: 17.4' . feet feet 15. Distance to Nearest Well Open to Same Pool: 1850' 16. Deviated Wells: Kickoff Depth: 21700' feet Maximum Hole An le: 96 de rasa 17. Maximum Anticipated Pressures in psig (see 20 AAC 25.035) Downhole: 2854 Surface: 2254 - 18. Casin Pro ram: S cifications T - Settin De th -Bottom Quanf of Cement c.f. or sacks Hole Casin We' ht Grade Cou lin Len th MD TVD MD TVD includin sta a data 4-1/ " - / " 6.5# L-80 TL 17 5' 1 0 ' 641 S' 6 6' s m n Slo ed Lin r 19. PRESENT WELL CON DITION S UMMARY (To be completed for Redrill and Re-entry Operations)' Total Depth MD (ft): 21980' Total Depth TVD (ft): 701 Plugs (measured): None Effective Depth MD (ft): 21817' Effective Depth TVD (ft): 6880' Junk (measured): None Casing Length Size Cement Volume MD ` TVD Conductor /Structural 1 ' 7 0' 9-5/8" 20 sx I ss' 11 x PF'E' 767 ' 552' I rm i Pr i n 1 7" 4 x 1 1 Lin r 03' 4-1/2" 1 x la 1077' - 21980' 6 8' - 7 1 ' in r P- 1 1 70' -7/ " m m ~ I d Lin r 17 '- 3 7' 6732'ss - 6670'ss Perforation Depth MD (ft): 21489' - 21554' Perforation Depth TVD (ft): 6612' -6664' 20. Attachments: ^ Property Plat ®BOP Sketch ®Drilling Program ^ Time vs Depth Plot ^ Diverter Sketch ^ Seabed Report ®Drilling Fluid Program ^ Shallow Hazard Analysis ®20 AAC 25.050 Requirements 21. Verbal Approval: Commission Representative: Date: 22. I hereby certify that the foregoing is true and correct. Contact Sean McLaughlin, 564-4387 Printed Name Jo a Title Engineering Team Leader Prepared By Name/Number Signature Phone 564-4711 Date ~~. ~:~ Q~ Terrie Hubble, 564-4628 ' commission tlsa Only. Permit To Drill Number. / ~ API Number. C /1 ~>=~ •~'`~ 50-029-22794 -00 Permit A ro al at ~ See cover letter for other requirements Conditions of Approval: If box is checked, well may not be used to explore for, test, or produce coal methane, Other: ~ 3So U P s ~ L~ ~ /`GS ~ Samples Req'd: ^ xes L~ No nnw(yt. ~~St C~"`'" / HZS Measures: Yes ^ No ~ Z 540 ~, r Date ,~ ~'~ as hydrates, or gas contained shales: [~ Mud Log Req'd: ^ Yes I~ No irectional Survey Req'd: [Yes ^ No APPROVED BY THE COMMISSION COMMISSIONER Form 10-401 Revised 07/2009 ~1~hi~.petmj~is~v~ f~ 2~ months from the data ofLp~ro (20 C~ ~z• )) 0 7 emit In Duplicate by To: Tom Maunder Petroleum Engineer Alaska Oil & Gas Conservation Commission From: Sean McLaughlin CTD Engineer Date: December 01, 2009 Re: Milne Point L-36L1 and L-36L1-01 PTD request Approval is requested for permits to drill two CTD sidetracks from well Milne Point L-36. MPL-36 was drilled October 1997 and completed as an A2/A3 sand KUP producer. MPL-36 has been SI since 10/08 due to low PI and low gross fluids. This well is in the southern block of HU 511 which has low recovery factors. This is a high reach well (PBTD = 21817' MD). The hole angle across the perfs is --36 deg, with a sail angle of just over 80 deg. The high deviation of the wellbore makes it difficult to get below 4100' MD w/ SL (11600' MD with pumping in tools). Initially only the A2 Sand was perforated and frac'd. Because of the low PI (0.1 - 0.3) and low kh (~65 and-ft) it is suspected that the frac never broke into the A3 sand. A3 perfs were added with only a small rate increase. MPI_-36 is also in a faulted area and could partially compartmentalized. MPL-36L1 and L1-01 will be drilled to a more optimum location. The sidetracks, MPL-36L1 and L-36L1-01, is scheduled to be drilled by Nordic 2 starting February 01, 2010 using the managed pressure drilling technique. This horizontal lateral will target Kuparuk A2 and A3 reserves to capture currently nonrecoverable resources. The perforations in the parent well will be partially obstructed by a packer whipstock set in the perforations at 21505' (packer depth). The sidetrack lateral will exit the parent well at 21,490' and in the A3 sand and drill a 1580' lateral to a TD of 23,070' md. A slotted liner with an aluminium liner top billet will be run to 21,700' md. The L1-01 lateral will be drilled to 23,065' and before a slotted liner is run. The following describes work planned. Managed Pressure Drilling Techniaue The history of CTD at KRU in the Kuparuk reservoir, has demonstrated the benefits of a managed pressure drilling technique. Due to uncertainties about the bottom hole pressures to be encountered as this sidetrack is drilled, managed pressure drilling techniques will be employed on this well. The intent is to provide constant bottom hole pressure by using 8.8 ppg drilling fluid in combination with annular friction losses and applied surface pressure. Constant BHP will be utilized to reduce pressure fluctuations to help with hole stability. Applying annular friction and choke pressure also allow use of lighter drilling fluid and minimizes fluid losses and/or fracturing at the end of the long well bores. A hydraulic choke for regulating surface pressure will be installed between the BOPE choke manifold and the mud pits and will be independent of the BOPE choke. This well does not have a functioning tubing sub-surface safety valve that could be utilized to facilitate BHA '~ deployments and liner running. It is possible that deployment of the BHA under trapped wellhead pressure may be necessary. Pressure deployment of the BHA will be accomplished utilizing the BOP pipe/slips (3" slip rams, see attached BOP configurations). The annular preventer will act as a secondary containment during deployment and not as a stripper. Operating parameters and fluid densities will be adjusted based on real-time bottom hole pressure measurements while drilling and shale behavior. The following scenario is expected for MPL-36L1 and L1-01: • Latest Reservoir pressure in the parent well: 2,954 psi at 7000' TVDSS, 8.1 ppg EMW. • Expected pressure as the lateral is drilled is the same as the parent (2,954 psi). • Expected annular friction losses while circulating: 1290 psi at KOP and 1430 psi at TD (assuming 90 psi/1000 ft, fora 1580' lateral). • Planned mud density: 8.8 ppg equates to 3,065 psi hydrostatic pressure at the window. . • While circulating 8.8 ppg fluid, at the start of the lateral, the bottom hole circulating pressure is estimated to be 4,355 psi or 12.5 ppg ECD. For shale stability a 12.5 EMW will be held while drilling, no back pressure will be applied at surface. • When circulation is stopped,~1290 psi surface pressure will be applied~aintain a constant BHP of 12.5 ppg EMD. At the start of the lateral, the mud in the rig pits will be 8.8 ppg mud. KWF will be stored on location in upright , tanks. The tankage will contain 2 wellbore volumes of KWF (8.8 ppg expected) to exceed the maximum possible BHP to be encountered as the lateral is drilled. KWF will also be used for liner running operation. CTD Sidetrack Summary Prior to drilling operations a workover rig will lay down the ESP completion and run a 4-1/2" workstring. After the coil drilling unit is rigged down the workover rig will return to pull the kill string and rerun the ESP completion. Nabors 4ES RWO operations: The RWO is slated to beoin about November 20, 2009. 1. MIRU. Test ROPE to 3500 psi. 2. Kill Well 3. Pult 2-7/8" ESP completion 4. Perform a scraper run in the 7" csg 5. Set a Bridge Plug in the 4-1/2" liner at 21,200'. Test to 2000 psi 6. Run 4-1/2" workstring with a 7" pkr and PBR. 7. RDMO to allow Nordic II to sidetrack well Pre-CT Rig Work: The pre CTD work is slated to begin immediately following the RWO. 1. Extend pad with an ice apron 2. Drill mousehole extension Rig Sidetrack Operations: (Scheduled to begin on February 01, 2010 using Nordic rig 2) 1. MIRU Nordic Rig 2 2. NU 7-1/16" CT Drilling BOPE and test. 3. Pull ball and rod 4. Pull RHC sleeve 5. Mill Bridge Plug from 21,200' and push to bottom 6. Run dummy WS drift to 21,550' 7. Set Baker whipstock at 21,490' and 8. Mill 3.8" window in 4-1 /2" liner from mechanical whipstock. 9. Drill build section with 4-1 /8" bicenter bit, and land well in target A sand. 10. Drill lateral section to 23,070'. 11. Flow check well and lay in KW F as needed. 12. Run -718" slotted L-80 liner strip with aluminum liner to billet at 21,700'. 13. Drill L -01 lateral to 23,065' 14. Flow check well and lay in KW F as needed. 15. Run 2-7/8" slotted L-80 liner string. 16. FP well to 2000'. 17. ND 7-1/16" stack. FP tree and PT tree cap to 3500 psi. 18. RDMO Nordic 2. Nabors 4ES RWO operations: The RWO is slated to beoin after the sidetrack. 1. MIRU after Nordic II finishes 2. Test BOPE to 3500 psi. 3. Pull 4-1/2" workstring 4. Run new ESP on 2-7/8" tubing 5. RDMO ~~~ ~~ Post-Rig Work: 1. Re-install wellhouse and FL's. 2. Pull BPV. Mud Program: • Well kill: 8.8 ppg brine to start. Adjust with real time BHP monitoring. • Milling/drilling: 8.8 ppg Geo-VIS or biozan for milting, new 8.8 ppg Geo-VIS for drilling. • KWF will be needed for running and cementing liner. BHP will be measured prior to tripping to run liner and KWF adjusted as needed. • Standby KWF. At the start of the well there will be 2 wellbore volumes of 11.0 ppg KWF on location in upright tanks. Disposal: • All Class II drilling and completion fluids will go to Grind & Inject at DS 4, or to the KRU 1 R pad disposal well • All Class II drilling solids will go to Grind & Inject at DS 4. • All Class I wastes will go to Pad 3 for disposal. Hole sizes: L7 - 4-1 /8 bi-center hole: 21,490' to 23,070' L1-01 - 4-1/8 bi-center hole: 21,700' to 23,065' Casing Program: slotted liner • L1- 2-7/8", L-80 6.5# STL 21,700' and - 23,070' and • L1-01- 2-7/8", L-80 6.5# STL 21,300' and - 23,065' and Well Control: • Two wellbore volumes of KWF (700 bbls) will be on location at all times during drilling operations. • BOP diagram is attached. • Pipe rams, blind rams and the CT pack off will be pressure tested to 250 psi and to 3500 psi. • The annular preventer will be tested to 250 psi and 2500 psi. Directional • See attached directional plan. Maximum planned hole angle is 96 deg. ' • Magnetic and inclination surveys will be taken every 30 ft. No gyro will be run. • Distance to nearest property - 585 ft ' • Distance to nearest well within pool -1850' from KUP 30-20 producer. Anti-Collision • There are no collision issues Logging • MWD directional, Gamma Ray and Resistivity logs will be run over all of the open hole section. Hazards • The maximum recorded H2S level on MPL pad was 29 ppm on well MPL-20. (June 09). • Lost circulation risk is low. Reservoir Pressure • The reservoir pressure on MPL-36 is expected to be 2,954 psi at 7,000' TVDSS. (8.1 ppg equivalent) • Max. expected surface pressure with gas (0.10 psi/ft) to surface is 2,254 psi. Sean McLaughlin CTD Engineer CC: Well File Sondra Stewman/Terrie Hubble Tree: Cameron 2 9/16" 5M Wellhead: 11" x 7 1/16" 5M FMC Gen 5A, wl 2 7/8" FMC tbg. hng., 3" LH acme on top and 2 7/8" EUE 8 rd on bottom, 2.5" CIW BPV profile 20" 91.1 ppf, H-40 112' HOWCO ES cementer 2074' 9 5/8", 40#/ft, L-80 Btrc. 7873' KOP @700' Max. hole angle = 84 deg. @11769' Hole angle thru' perfs = 36 deg. MPU L-36 2 7/8" 6.5 ppf, L-80, 8 rd EUE tbg.. ( drift ID = 2.347", cap. = 0.00592 bpf ) 7" 26 ppf, L-80, NSCC production casing (drift ID = 6.151", cap. = 0.0383 bpf ) Stimulation Summary 4/28/98 - (Kuparuk) -Placed 88.5 M# of 20140 CarboLite behind pipe. 5/2/98 - (Kuparuk refrac) -Placed 4,944# of resin-coated 16/20 CarboLite behind pipe. Perforation Summary Ref losr: SWS LWD 10/2/97 Size SPF Interval (TVD) 2-7/8" 2-7/8" 6 6 21489' - 21529' 21528' - 21554' 6612' -6644' 6643' -6664' SWS 15 gm.,38C RDX big hole charges @ 60 deg. phasing (EHD = 0.62", TTP = 17.8") Add Perfs: SWS HSD TCP, 60 deg. phasing DATE IREV. BY I COMMENTS Drilled Orig. K~Elev. = 49.22 ' (N 27E) Orig. GL Elev. = 17.20' 9-5/8" casing set on emergency slips. 2-7/8" Camco KBBM 1~, gas lift mandrel 7" Howco ES cementer 10232' Tubing punched with CTU 18002 - 04' 7" marker jts 20.18 & 20.74 20798' Centrilift FC 925 ESP, FPMTAR 1:1, 2~' 214 Stg. Intake TVD 6185' Gas separator FRSTxBAR 20925' Centrilift GS83 DB UT/LT IL H6 PFS AFLAS/HSN 20927' Centrilift KMH-A 83 hp motor 20941' 2159 volt / 23 amp Phoenix Multisensor-1 20952 7"x 5" Baker liner top packer 21077' RA tag 21304' 7", 26 ppf, L-80 Mod buttress 21340' Phoenix TVD = 6206' Phoenix MD = 20952' Mid-pert TVD =6638' Mid-pert MD = 21522' PBTD TVD = 6745' PBTD MD = 21817' 4.5" float collar (PBTD) 21817' 4.5", 12.6 ppf, L-80 ITC Mod 21980' ~ 3/18/00 I M.Linder I RWO Nabors 4-ES I~ 11/25!03 ~ Lee Hulme I RWO/Add Perfs Nabors 4-ES MILNE POINT UNIT WELL No : L-36 API : 50-029 22794 BP EXPLORATION (AK) Proposed CTD Ea 20" 91.1 ppf, H-40 112' KOP X700' Max. hole angle = 84 deg. X11769' Hole angle thru' perfs = 36 deg. 9 5/8", 40#lft, L-80 Btrc. 7673' terals M 7" 26 ppf, L-80, NSCC production casing ( drift ID = 6.151 ", cap. = 0.0383 bpf ) L-36L1 and L1-01 Orig. KB Elev. = 49.22 ' (N 27E) Orig. GL Elev. = 17.20' 9-5/8" casing set on emergency slips. Tree: Cameron 2 9/16" 5M Wellhead: 11" x 7 1/16" SM FMC Gen SA, w/ 2 7/8" FMC tbg. hng., 3" LH acme on top and 2 7/8" EUE 8 rd on bottom, 2.5" CIW BPV profile Perforation Summary Ref loa: SWS LWD 10/2/97 Size SPF Interval (fVD) 2-718" 2-718" 6 6 21489' - 21529' 21528' - 21554' 6612' - 6644' 6643' - 6664' SWS 15 gm.,38C RDX big hole charges ~ 60 deg. phasing (EHD = 0.62", TTP = 17.8") Add Perfs: SWS HSD TCP, 60 deg. phasing 4 1/2" x 7" packer 21,030' X NIP minlD 3.813" @ 21,050' 7"x 5" Baker liner top packer 21077' RA tag 21304' 7", 26 ppf, L-80 Mod buttress 21340' 2 x,700' Top of OH Deployment sleeve/whi stock 2-7JS" slotted liner 23070' 21,300' Top of Slotted Liner \ ~~ _ _ _ _ 21,490' 4-112" monobore packer whipsto : ~ ~ ~~ \ 2 Sand 38 \ ~~ ~~ ~ ~~ ~ ~~ ~~~~ ~~ ~ ~~ ~ ` A3 sand 2-718" slotted liner 230fi5 21817 " float collar (PBTD) 4.5 4.5", 12.6 ppf, L-80 ITC Mod 21980' DATE REV. BY COMMENTS MtLNE POINT UNIT 10/6!97 M. Lirxier Drilled by Nabor 27-E 512/98 KJW Fractured b Dowell WELL NO : L-36 513/98 M. Linder Initial completion Nabors 4-ES API : 50-029-22794 7!6/98 M. Linder RWO Nabors 4-ES 3/1 B/00 M.Linder RWO Nabors 4ES 11/25/03 Lee Hulme / 4- BP EXPLORATION (AK) 6/23/09 MSE Proposed CTD laterals ~~/~ Baker Hughes INTEQ ~Y~M~ Baker Hughes INTEQ Planning Report bP INTEQ Company: North America -ALASKA - BP Local Co-ordinate Reference: Well MPL-36 Project: Milne Point TVD Reference: 63:36 6/9/1998 10 :01 @ 50.25ft (Nabors 27E) Site: M Pt L Pad MD Reference: 63:36 6/9/1998 10 :01 @ 50.25ft (Nabors 27E) Well: MPL-36 North Reference: True Welltwre: Plan 18, MPL-36L~ - Ol Survey Calculatio n Method: Minimum Curvature Design: Plan 18 Database: EDM 2003.16 Single User Db Survey Tool Progra m Date 11/18/2009 From To (ft) (ftj Survey (YVellbore) Tool Name Description 100.00 9,448.00 1 : Gyrodata gyrocompassing m/ (MPL-36 GYD-GC-MS Gyrodata gyrocompassing m/s 9,510.10 21,271.70 4 : MWD +IH R correction (MPL-36) MWD+IHR MWD +I HR correction 21,401.20 21,700.00 Plan 17 (Plan 17, MPL-36L1) MWD MWD -Standard 21,700.00 23,065.00 Plan 18 (Plan 18, MPL-36L2) MWD MWD -Standard Planned Survey MD inc Azl TVDSS NJS E/W Northing Easting DLeg Y. Sec TFace l~) (°) (°) (ft) (ft) (ft) (ft) (ft) (°/100ft) (n) (°) 21,700.00 90.00 222.67 6,649.58 -12,756.04 -13,905.71 6,018,560.97 531,168.68 28.34 17,429.91 34.99 TIP 21,745.00 95.40 222.67 6,647.46 -12,789.08 -13,936.16 6,018,527.74 531,138.43 12.00 17,469.83 0.00 2 21,800.00 95.59 229.29 6,642.19 -12,827.10 -13,975.50 6,018,489.49 531,099.32 12.00 17,519.81 88.00 21,900.00 95.76 241.35 6,632..27 -12,883.61 -14,057.18 6,018,432.49 531,017.99 12.00 17,615.89 88.64 21,925.00 95.76 244.37 6,629.76 -12,894.96 -14,079.32 6,018,421.01 530,995.93 12.00 17,640.56 89.83 3 22,000.00 94.90 253.37 6,622.78 -12,921.85 -14,148.90 6,018,393.70 530,926.52 12.00 17,715.15 95.00 22,095.00 93.66 264.73 6,615.66 -12,939.81 -14,241.75 6,018,375.18 530,833.78 12.00 17,808.55 95.84 4 22,100.00 93.62 264.13 6,615.35 -12,940.29 -14,246.72 6,018,374.66 530,828.82 12.00 17,813.38 -93.00 22,200.00 92.91 252.13 6,609.62 -12,960.80 -14,344.24 6,018,353.57 530,731.43 12.00 17,912.03 -93.04 22,255.00 92.47 245.54 6,607.04 -12,980.62 -14,395.44 6,018,333.44 530,680.36. 12.00 17,966.93 -93.72 5 22,300.00 92.36 250.94 6,605.14 -12,997.28 -14,437.19 6,018,316.53 530,638.72 12.00 18,011.85 91.00 22,400.00 92.06 262.95 6,601.27 -13,019.82 -14,534.35 6,018,293.41 530,541.70 12.00 18,110.86 91.23 22,465.00 91.81 270.75 6,599.08 -13,023.39 -14,599.16 6,018,289.45 530,476.92 12.00 18,172.99 91.69 6 22,500.00 91.73 266.55 6,598.00 -13,024.21 -14,634.13 6,018,288.41 530,441.96 12.00 18,206.13 -91.00 22,600.00 91.46 254.54 6,595.21 -13,040.60 -14,732.55 6,018;271.43 530,343.65 12..00 18,304.22 -91.13 11/18/2009 11:22:43AM Page 3 COMPASS 2003.16 Build 71 ~^ Baker Hughes INTEQ ~~ Baker Hughes INTEQ Planning Report bP INTEQ Company: North America -ALASKA - BP Local Co-ordinate Reference: Well MPL-36 PraJect: Milne Point TYD Reference: 63:36 6/9/1998 10:01 @ 50.25ft (Nabors 27E) SBe: M Pt L Pad MD Reference: 63:36 6/9/1998 10:01 @ 50.25ft (Nabors 27E) Well: MPL-36 North Reference: True Welibora: Plan 18, MPL-36Ll-61 Survey Calculation Method: Minimum Curvature Design: Plan 18 Database: EDM 2003.16 Single User Db Planned Survey MD Inc Azi TVDSS N/S F./W Northing Easting DLeg V. Sec TFace tit) t°) (°) tft) (+~) tft) (~) (~ (°/looft) (ft) (°) 22,665.00 91.24 246.75 6,593.67 -13,062.12 -14,793.81 6,018,249.54 530,282.52 12.00 18,369.15 -91.46 7 22,700.00 91.24 250.95 6,592.92 -13,074.75 -14,826.44 6,018,236.72 530,249.98 12.00 18,404.12 90.00 22,800.00 91.19 262.95 6,590.78 -13,097.29 -14,923.66 6,018,213.59 530,152.91 12.00 18,503.19 90.09 22,860.00 91.14 270.15 6,589.56 -13,100.89 -14,983.50 6,018,209.62 530,093.10 12.00 18,560.65 90.35 8 22,900.00 91.14 265.35 6,588.76 -13,102.46 -15,023.45 6,018,207.81 530,053.16 12.00 18,598.73 -90.00 23,000.00 91.09 253.35 6,586.81 -13,120.91 -15,121.52 6,018,188.77 529,955.21 12.00 18,697.20 -90.10 23,065.00 91.04 245.55 6,585.60 • -13,143.71 -15,182.33 6,018,165.61 529,894.55 12.00 18,762.14 -90.33 TD at 23085.00 - 2 718" 11/18/2009 11:22:43AM Page 4 COMPASS 2003.16 Build 71 by P t ~vwcTnre No,m s~ ~N n a » WELLSORE DETAILS: Plan 16, MPL-36 P~Ta~cervFO3awDN rojec : MilnaPoint Site: MPiLPad epw O, : - w9e~r-tee Parent Welltwre: PIan 17, MPLJ6L1 ~-0binare M~lr~ekrenoe. weIMPL36,rme Nunn Well: MPL.16 Welltwre: Plan 18, MPL36L!'OI Shenp~:5]4654m oannslv:wes Tie On MD: 21700.00 ~kieral(iVDlRekrence: Mean Sea Level Secfion (VS)Pekrence: Sbt-(OdON,0.00E) PIan:Plan18(MPL3WPIan18, MPL36U}O{ o.ewzool MeasuedDeptl~Rtkrenae: 63:36&9n9981091(a5025fl(Nahors27E) e ~ ~ mem ry ~,R WELL DETAILS: MPL-36 Ground Level: 0.00 +NIS +E/-W Nodhing Eas6ng Latiltutle Longitude Slol 0.00 0.00 6031399.69 544995.56 70° 29' 47.944 N 149° 37' 55.412 W SECTION DETAILS ANNOTATIONS Sec MD Inc Azi ssTVD +W-S +E~-W DLeg TFace VSec Target Mrofafbn 1 2170D.00 90.00 222.67 6649.58 -12756.Ot -13905.11 0.00 0.00 17429.91 TIP 2 21745.00 95.40 222.67 6647.46 -12789.08 -13936.16 12.00 0.00 17469.83 2 3 21925.00 95.76 244.37 6629.76 -12894.96 •14079.32 12.00 88.00 17640.56 3 4 22()95.00 93.66 264.73 6615.66 -12939.81 -14241.75 12.00 95.00 17808.55 4 5 22255.00 92.47 245.54 6607.04 -12980.62 -14395.44 12.00 267.00 17966.93 5 6 224.00 9t.81 270.75 6599.08 -13023.39 -14599.16 12.00 91.00 18172.99 6 7 22686.00 91.24 246.75 6593.67 -1306212 •14793.81 12.00 269.00 18369.15 7 8 22860.00 91.14 270.15 6589.56 -13100.89 -14983.50 12.00 90.00 18560.65 8 9 23066.00 91.04 245.55 6585.60 -13143.71 -1518233 12.00 270.00 16762.14 TDat23065.00 0 a. Q U .~ N [-" Mean Sea .~.. BAKER NuaNEs INTEQ !560 I - !640 - - - ~ ~ IP -- -J - !720 -...... , .._. I !S00 - MP 36L Tang t 1 ~ 1 ~ !880 -- . / MPL 6/PI I8, L- 6L2 ~ / !960 ~' / / soao ~' / 5 L- 6/MP -36 , l , { ~ 3120 - -- _ ~ ~ ~ ~ 8 MP 36/ -- Ira 3200 -- - 3280 ~\ _3 ii 3360 MP ~ 36/P an 17 MP 36L1 3aao - ' --_. I I 352 - 36 3680 _ __.__ __. - -+ -( _t -( ~I w o-I ~I 7O -~ C ^-1 o-I -I -l JL8U-IJLW-IJILV-1JUYU-IYYVV-IYDOU-IYOUV-~Y/cV-/YVYU-~Y~VV-/++w-,++w-/+~cV-/+c+V-/+,VV-,+vo~-,+~w- West(-)Bast(+) (80 ft/in) 50 s Vertical Section at 250.00° (50 ft/in) ~t~ ~ BPPASSPORT Travelling Cylinder Report bP IlNTEQ Company: North America -ALASKA - BP Local Co-ordinate Reference: Well MPL-36 Project: Milne Point TVD Reference: Mean Sea Level Reference Site: M Pt L Pad MD Reference: 63:36 6/9/1998 10:01 @ 50.25ft (Nabors 27E) Site Error: O.OOft North Reference: True Reference Wetl: MPL-36 Survey Calcalatlon AAethod: Minimum Curvature Welf Error: O.OOft Output errors are at 1.00 sigma Reference Wellbore Plan 18, MPL-36L~-OI Database: EDM .16 - Anc Prod - WH24P Reference Design: Plan 18 Offset TYD Reference: Offset Datum teference Plan 18 =filter type: GLOBAL FILTER APPLIED: All wellpaths within 200'+ 100/1000 of refers nterpolation Method: MD Interval 25.OOft Error Model: ISCWSA )epth Range: 21,700.00 to 23,065.OOft Scan Method: Trav. Cylinder North tesults Limited by: Maximum center-center distance of 2,503.22ft Error Surtace: Elliptical Conic Survey Tool Program Date 11/19/2009 From To (ft} (ft) Survey (Wellbore) Tool Name Description 100.00 9,448.00 1 : Gyrodata gyrocompassing m/ (MPL-36 GYD-GC-MS Gyrodata gyrocompassing m/s 9,510.10 21,271.70 4 : MWD +IHR correction (MPL-36) MWD+IHR MWD + IHR correction 21,401.20 21,700.00 PIan17 (Plan 17, MPL-36L1) MWD MWD -Standard 21,700.00 23,065.00 Plan 18 (Plan 18, MPL-36L2) MWD MWD -Standard Casing Points ,. Measured Vertical Casing Hola Depth Depth Diameter Diameter (~) (fr) Name (in) (fir[) 21,340.00 6,447.05 7" 7.000 8.500 23,065.00 6,585.57 2.875" 2.875 4.125 7,673.00 3,503.28 9 5/8" 9.625 12.250 Summary Reference Offset Centre to No-Go Allowable Measured Measured Centre Distance Deviation yy~ng Site Name Depth Depth Distance (it) from Plan Offset Weft - Wellbore -Design (ft) (ft) (ftj (ft) EX Simpson Lagoon SIMP32-14A -SIMP32-14A -SIMP32-14A Out of range M Pt L Pad MPL-35 -MPL-35A -Plan #7 Out of range MPL-36 -MPL-36 -MPL-36 21,700.00 21,850.00 216.54 4.30 213.09 Pass -Major Risk MPL-36 -MPL-36P61 -MPL-36P61 21,700.00 21,775.00 126.59 804.79 -152.60 FAIL -Major Risk MPL-36 -Plan 17, MPL-36L1 - PIan17 21,724.89 21,725.00 1.88 0.67 1.23 Pass -Major Risk CC -Min centre to center distance or covergent point, SF -min separation factor, ES -min ellipse separation 11/19/2009 2:02:55PM Page 2 of 7 COMPASS 2003.16 Build 71 +~ a rements are from i ~ MPL-36L1 and ~ L1-01 BAG 7 1 /16" 5000 psi. bttm of bag sups pipes of flow cross middle of middle of pipelslips Blind/Shears TOTs 3„ slips ~ 7 1/16" 5000psi I I Mud Cross Mud Cross 7 ~ /~ 6" 5000psi variable bore wipe 3 1/2"-2 3/8" _ TOTs 2-3/8" combi ram/slips ~ ~ ~/~6" 5000psi a Flow Tee • TRANSMITTAL LETTER CHECKLIST WELL NAME PTD# X Development Service Non-Conventional Well Milne Point L-3fiL1-O1 2U91630 Exploratory Stratigraphic Test FIELD: Milne Point POOL: Milne Point, Kuparuk River Oil Pool Circle Appropriate Letter /Paragraphs to be Included in Transmittal Letter CHECK ADD-ON5 WHAT (OPTIONS) TEXT FOR APPROVAL LETTER APPLIES MULTI LATERAL The permit is for a new wellbore segment of existing well Permit No. , (If last two digits in API No. Production should continue to be API number ~~ reported as a function of the original API number stated above. between 60-69 PILOT HOLE In accordance with 20 AAC 25.005(f), all records, data and logs acquired for the pilot hole must be clearly differentiated in both well name ( PH) and API number (50- - -_) from records, data and logs acquired for well SPACING Darlene: The wellbore is planned to reach total depth at a bottom- EXCEPTION hole location 610' from the exterior boundary of the MPU, but if the well encroaches within the required 500-foot setback from that boundary, a spacing exception ~~rill be required. Possibiy So, please add the following text to the approval letter: The permit is approved subject to full compliance with 20 AAC 2~.05~. ~ /z DRY DITCH All dry ditch sample sets submitted to the Commission must be in SAMPLE no greater than 30' sample intervals from below the permafrost or from where samples are first caught and 10' sample intervals throu h tar et zones. Non-Conventional please note the following special condition of this permit: Well production or production testing of coal bed methane is not allowed for iname of well) until after (Comnanv Name) has designed and implemented a water well testing program to provide baseline data. on water quality and quantity. (Company Name) must contact the Commission to obtain advance approval of such water well testing r ~~ Rev: 1/l l/2008 ~~~7 k ,• ~ Field & Pool MILNE POINT, KUPARUK RIVER OIL - 525100 ~ ' 7 - ___ ____ _ ___ _ _ _____WeII Name: MILNE PT UNIT KR L-36L1-01 ____ _ Program DEV __ __ ____ Well bore seg^ _ , r e r . PTD#:2091630 Company BP EXPLORATION jALASKA) INC __ _ _ Initial ClasslType _ __DEV1 PEND GeoArea 890______ Unit 11328___..__ On/Off Shore On___ Annular Disposal ^ Administration 1 .Permit-fee attached - -NA - _ ~i2 .Lease number appropriat_e_ Yes This spoke wellbore will lie entirelywithin ADL025514. _The surface Location of the parent well_ 3 Unique well_name and number Yes lies within ADL0025519, and anon-productive_portion cf that wellborepasses thru_ADL0025515. 4 Well located in a_definedpool Yes Kupanrk River Oil_ Pool, governed by Conservation Order No. 432C '5 Well located proper distance_from_ drilling unit boundary- Yes Conservation Order No. 4320 contains no spacing restrictions with respect io drilling unit boundaries.. - I'6 Well located proper tlistance_ from_ other wells- Yes Conservation Order No. 4320 has no interwell_spaciny restrictions. 7 Sufficient acreage available in drilling unit- Yes Conservation Order No. 432C has no inierwell_spaciny restrictions. Wellbore will_ be more khan 500' from I8 If deviated, swellbore plat_included Yes - - an_ external. property line where ownership or-landownership changes. I9 Operator only affected party _ _ _ es 10 Operator has_approprake bond in force _ - _ Yes _ 11 Permit can be issued without conservation order Yes See_comments,_b_el_ow, Appr Date 12 Permitcan be issued without administrative_approval Yes 13 Can permit be approved before l5-day wait Yes - _ - SFD 12118/2009 14 Well located within area and strata authorized by Injection Order # (put_1O# in comments) (For NA_ ',15 All wells_within 114 mile area. of review identified (For service well only) _ _ NA _ X116 Pre-produced injector: duration of pre production Less. than 3 months-(For service well only) NA_ 17 Nonconyen, gas conforms to A$31,05 030Q.1_.A),Q.2.A-D) NA 18 Conductor stnn9 provided NA_ Conductor casing set in MPL-36 -.-- Engineering I19 Surface casing. protects all known. USDWs NA_ Surface casing set in MPL-3t X20 CMT vol. adequate_io circulate on conductor & surf_csg NA Surface casing cemented in MPL-36 21 CMT-vol_ adequate io tie-in long string to surf csg NA_ Produ_ction_casing set in_MPML_-36_ 22 CMT-will coyer all know_n_pro_duciive horizons- No- - OH slotted liner completion is planned . 23 Casing designs adequate for C, T, B & permafrost_ _ _ Yes I 24 Adequate tankage-or reserve pit - Yes Rig equipped with steel pits. All waste to approved disposal. wells. X 25 If a re-drill, has_a_ 10-403 for abandonment. been approved NA_ Using. flowthrough whipstock so motherbore is still open_to flow ._ 26 Adequate wellbore separation proposed Yes Proximity analysis performed no issues. 27 If dverter required, does it meet. regulations NA_ _ Wellhead already_in place. BOP installed, Appr Date ' 28 Drilling fluid program schematic.& equip list adequate_ Yes - Max formation_ pressure = 2954 psi (8.1 ppg)_ Will_dril_I with 8.8 ppg. mud. and MPD technique. GLS 12!2112009 ',. 29 BOPEs,_do they meet regulation _ Yes 1 30 BOPE_press rating. appropriate; test to (put prig in comments)_ Yes MASP= 2254 psi _Will test BOP ko 3500 psi X 31 Choke_manifold complies wlAPl_RP-53 (_May 84) Yes 32 Work will occur without operation shutdown. No Workov_er rig required to pull ESP, run workstrng and then re-run. ESP after CTD drillsJaterals._ 33 Is presence of H2S gas probable _ _ _ Yes _ _ _ H2S on_ L pad, Rig has sensors and alarms. _ _ 34 Mechanicalcondition of wells v~ithin AOR verified (For &ervice well only) _ _ _ _ _ _ _ NA_ _ _ _ _ _ _ _ _ _ ' 335 Permit can be issued wlo hydrogen. sulfide measures No_ The_original wellbore-measured 29_ ppm H2S in June 2009. _Measures will be required. Geology ' 36 Data presented on_ pote_ntial overpressure zones Yes Expected r_eservoirpressure is 8.1 ppg EMW; will be drilled with 8.8 ppg mud using_ Appr Date 37 Seismic analysiscf shallow gas zones NA tech_nique._ SFD 12!18/2009 38 Seabed condition survey~if off-shore) NA_ 39 Contact namelphone for weekly progress reports [exploratory only] NA Geologic Engineering P This spoke wellbore is planned io reach total depth at a bottom-hole location 610' from the exterior boundary of the MPU, but if Date: Date Date Commissioner: Co fission Co miss er the well encroaches within the required 500-foot setback from that boundary, a spacing exception will be required.