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HomeMy WebLinkAboutCO 649 • II Image Project Order 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. CO ( 1 Order File Identifier Organizing (done) ❑ Two -sided III III III IIII ❑ Rescan Needed I 11111 I 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: 7/ ❑ Other:: BY: Date: /J /s/ Ni p Project Proofing I 11111 I a BY: . _ Date: /s/ . Scanning Preparation x 30 = + = TOTAL PAGES 3 7 (Count does not include cover sheet) �, + BY: Date: 1 /s/ Production Scanning III I IIII Stage 1 Page Count from Scanned File: U g 9 3 (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: V YES NO BY: C ..... \ ria Date: 7/17 / 1 /s/ } A i p 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. 111 1111111 1111 ReScanned II 11111 1111 BY: Maria Date: /s/ Comments about this file: ' Quality Checked I I111111111 10/6/2005 Orders File Cover Page.doc • • CO 649 1. Emails re: North Fork Unit sustained casing pressure rule 2. May 2, 2011 Notice of Public Hearing, Affidavit of Publication, Email list, bulk mail list • • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 Re: Regulating Sustained Casing Pressures in Development ) Docket Number: CO -11 -17 Wells within the North Fork Unit. ) Conservation Order No. 649 ) North Fork Unit ) Kenai Peninsula Borough, Alaska ) June 21, 2011 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 21st day of June, 2011. BY DIRECTION OF THE COMMISSION 3 . 4r AAAAk--- Joy . Colombie Spe•ial Assistant to the Commission S STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 Re: Regulating Sustained Casing Pressures in ) Docket Number: CO -11 -17 Development Wells within the North Fork ) Conservation Order No. 649 Unit. ) ) North Fork Unit ) Kenai Peninsula Borough, Alaska ) June 21, 2011 IT APPEARING THAT: 1. On its own motion, the Alaska Oil and Gas Conservation Commission (Commission) proposed to adopt rules regulating sustained annulus pressures in North Fork Unit development wells. 2. Notice of opportunity for a public hearing on the proposal was published in the Peninsula Clarion on May 5, 2011 and was provided to the operator of the field, Armstrong Cook Inlet LLC (Armstrong). 3. No protests to the application or requests for a hearing were received. 4. No written comments on the proposal were received. FINDINGS 1. Armstrong is the operator of the North Fork Unit gas field, located approximately 7 miles east of Anchor Point, Kenai Peninsula, Alaska. 2. In considering proposed rules regulating sustained casing pressures in North Fork Unit development wells, the Commission reviewed files for wells in the North Fork Unit, the Halliburton Cementing Tables, information on well pressures provided by the operator, and the records of annular pressure rules for other fields in the state. 3. Annulus pressure is common in development wells. Pressures may be purposely imposed, thermally induced or the result of leaks in tubing, casing, packer or other well components. 4. Excessive annular pressure can develop in wells as a result of thermal effects. Well startup can involve significant annular pressure increases due to fluid expansion as a well heats above ambient temperature. Changing produced fluid characteristics and production mechanisms can also create thermal conditions that affect annular pressures. Conservation Order No 6 • June 21, 2011 Page 2 of 4 5. Commission regulations require all producing wells capable of unassisted flow to be completed with suitable tubing and packer that effectively isolates the tubing- casing annulus from fluids being produced. Wellhead equipment must include appropriate gauges and valves on the tubing, casing- tubing annulus and casing- casing annuli to show surface pressures and control flow for the range of conditions expected (20 AAC 25.200(c) and (d)). 6. No current AOGCC regulation or order for the North Fork Unit establishes annular pressure management requirements for producing wells, similar to those for injection wells. However, such requirements for producing wells in other Alaska fields have been established by Commission order. 7. Several practicable techniques are available to manage annular pressures including manual pressure bleeding and engineered solutions such as pressure controls and pressure relief systems. 8. Values of "burst pressure rating" and "minimum internal yield pressure" of well tubulars are numerically equal. 9. Pertinent characteristics of well construction in the North Fork Unit are similar to those in other Alaska fields. 10. Pressure in an active North Fork Unit well not exceeding 45% of the burst pressure rating, or minimum internal yield pressure, of well tubulars is within the range of pressure that will not result in failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. CONCLUSIONS 1. There is a need for regulatory oversight of the management of North Fork Unit wells that exceed specific pressure thresholds by administering rules regulating annular pressures. This methodology is consistent with similarly intended efforts by other regulatory agencies. 2. The objectives of rules regulating sustained annular pressures in North Fork Unit development wells are to conserve Alaska petroleum resources and protect human safety and the environment through proper management of annular pressures. Proper annular pressure management aims to prevent failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. 3. North Fork Unit annular pressure rules should recognize the well completion design and development well characteristics in the North Fork Unit. 4. The annular pressure rules adopted in this order are practicable and appropriate to the objectives stated in Conclusion 2. 5. Data provided by Armstrong indicate flowing and shut in temperatures are not significantly different, with the well actually cooling when on production. Therefore, Conservation Order No 69 • June 21, 2011 Page 3 of 4 there is no need to include requirements to address the potential for significant annular pressure increases due to fluid expansion as a well heats above ambient temperature. NOW THEREFORE IT IS ORDERED that the following rules apply to development wells within the North Fork Unit, as the unit boundaries exist on the date of this order: 1. The operator shall conduct and document a pressure test of tubulars and completion equipment in each development well at the time of installation or replacement that is sufficient to demonstrate that planned well operations will not result in failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. 2. The operator shall monitor each development well daily to check for sustained pressure, except if prevented by extreme weather conditions, emergency situations, or similar unavoidable circumstances. Monitoring results shall be made available for Commission inspection. 3. The operator shall notify the Commission within three working days after the operator identifies a well as having (a) sustained inner annulus pressure that exceeds 2000 psig or (b) sustained outer annulus pressure that exceeds 1000 psig. 4. The Commission may require the operator to submit in an Application for Sundry Approvals (Form 10 -403) a proposal for corrective action or increased surveillance for any development well having sustained pressure that exceeds a limit set out in paragraph 3 of this rule. The Commission may approve the operator's proposal or may require other corrective action or surveillance. The Commission may require that corrective action be verified by mechanical integrity testing or other Commission - approved diagnostic tests. The operator shall give the Commission at least twenty -four (24) hours notice for opportunity to witness diagnostic testing, refer to Industry Guidance Bulletin 10 -001 for proper contacts. 5. If the operator identifies sustained pressure in the inner annulus of a development well that exceeds 45% of the burst pressure rating of the well's production casing for inner annulus pressure, or sustained pressure in the outer annulus that exceeds 45% of the burst pressure rating of the well's surface casing for outer annulus pressure, the operator shall notify the Commission within three working days and take corrective action. Unless well conditions require the operator to take emergency corrective action before Commission approval can be obtained, the operator shall submit in an Application for Sundry Approvals (Form 10 -403) a proposal for corrective action. The Commission may approve the operator's proposal or may require other corrective action. The Commission may also require that corrective action be verified by mechanical integrity testing or other Commission - approved diagnostic tests. The operator shall give the Commission at least twenty -four (24) hours notice for opportunity to witness diagnostic testing, refer to Industry Guidance Bulletin 10 -001 for proper contacts. 1 1 Conservation Order No 64 II June 21, 2011 Page 4 of 4 6. For purposes of these rules, "inner annulus" means the space in a well between tubing and production casing; "outer annulus" means the space in a well between production casing and surface casing; "sustained pressure" means pressure that (a) is measurable at the casing head of an annulus, (b) is not caused solely by temperature fluctuations, and (c) is not pressure that has been applied intentionally. DONE at Anchorage, Alaska and dated June 21, 2011. 0 r Daniel T. S- -• oun i, Jr., Commissioner, Chair O' . 6 : a Conservation Commission o v- °% I • ..\i, \ r:4 ,.: : -.... z Me _A, _Al 4 • . Jo i o 6.6 Co issioner ' A as . I! ' and Gas Con = - - ion Commission 4 ,1 1 0 �` S WkvATIO 4 ag Cathy P. F erster, Commission r Alaska Oi 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 reconsideration are FINAL and may be appealed to superior court. The appeal MUST be filed within 33 days after the date on which the Commission mails, OR 30 days if the Commission otherwise distributes, the order or decision denying reconsideration, UNLESS the denial is by inaction, in which case the appeal MUST be filed within 40 days after the date on which the application for reconsideration was filed. If the Commission grants an application for reconsideration, this order or decision does not become final. Rather, the order or decision on reconsideration will be the FINAL order or decision of the Commission, and it may be appealed to superior court. That appeal MUST be filed within 33 days after the date on which the Commission mails, OR 30 days if the Commission otherwise distributes, the order or decision on reconsideration. As provided in AS 31.05.080(b), "[t]he questions reviewed on appeal are limited to the questions presented to the Commission by the application for reconsideration." In computing a period of time above, the date of the event or default after which the designated period begins to run is not included in the period; the last day of the period is included, unless it falls on a weekend or state holiday, in which event the period runs until 5:00 p.m. on the next day that does not fall on a weekend or state holiday. Fisher, Samantha J (DOA) From: Fisher, Samantha J (DOA) Sent: Wednesday, June 22, 2011 1:31 PM To: '( michael .j.nelson @conocophillips.com)'; '(Von.L .Hutchins @conocophillips.com)'; 'AKDCWelllntegrityCoordinator; 'Alan Dennis'; 'alaska @petrocalc.com'; 'Anna Raff; 'Barbara F Fullmer; 'bbritch'; 'Becky Bohrer; 'Bill Penrose'; 'Bill Walker; 'Bowen Roberts'; 'Brady, Jerry L'; 'Brandon Gagnon'; 'Brandow, Cande (ASRC Energy Services)'; 'Brian Havelock'; 'Bruce Webb'; 'caunderwood'; 'Chris Gay'; 'Cliff Posey'; 'Crandall, Krissell'; 'D Lawrence'; 'dapa'; 'Daryl J. Kleppin'; 'Dave Matthews'; 'David Boelens'; 'David House'; 'David Scott'; 'David Steingreaber'; 'ddonkel @cfl.rr.com'; 'Dennis Steffy'; 'Elizabeth Bluemink'; 'Elowe, Kristin'; 'Erika Denman'; 'eyancy'; 'Francis S. Sommer; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Schultz (gary.schultz @alaska.gov)'; 'ghammons'; 'Gordon Pospisil'; 'Gorney, David L.'; 'Greg Duggin'; 'Gregg Nady'; 'gspfoff; 'Harry Engel'; 'Jdarlington (jarlington @gmail.com)'; 'Jeanne McPherren'; 'Jeff Jones'; 'Jeffery B. Jones (Jeff.jones @alaska.gov)'; 'Jerry McCutcheon'; 'Jill Womack'; 'Jim White'; 'Jim Winegarner 'Joe Nicks'; 'John Garing'; 'John Katz (john.katz @alaska.gov)'; 'John S. Haworth'; 'John Spain'; 'John Tower; 'Jon Goltz'; 'Judy Stanek'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; 'Kelly Sperback'; 'Kim Cunningham'; 'Larry Ostrovsky'; 'Laura Silliphant (laura.gregersen @ alaska.gov)'; 'Marilyn Crockett'; 'Mark Dalton'; 'Mark Hanley (mark.hanley @anadarko.com)'; 'Mark Kovac'; 'Mark P. Worcester; 'Marguerite kremer (meg.kremer @alaska.gov)'; 'Michael Dammeyer; 'Michael Jacobs'; 'Mike Bill'; 'Mike Mason'; 'Mikel Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'nelson'; 'Nick W. Glover; 'NSK Problem Well Supv'; 'Patty Alfaro'; 'Paul Decker (paul.decker @alaska.gov)'; 'Paul Figel'; 'PORHOLA, STAN T'; 'Randall Kanady'; 'Randy L. Skillern'; 'Rena Delbridge'; 'Renan Yanish'; ' rob .g.dragnich @mconmobil.com'; 'Robert Brelsford'; 'Robert Campbell'; 'Rudy Brueggeman'; 'Ryan Tunseth'; 'Scott Cranswick'; 'Scott Griffith; 'Shannon Donnelly'; 'Sharmaine Copeland'; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); 'Sondra Stewman'; 'Steve Lambert'; 'Steve Moothart (steve.moothart@alaska.gov)'; 'Steven R. Rossberg'; 'Suzanne Gibson'; 'tablerk'; 'Tamera Sheffield'; Taylor, Cammy 0 (DNR); 'Temple Davidson'; 'Teresa Imm'; 'Terrie Hubble'; 'Thor Cutler; 'Tina Grovier'; 'Todd Durkee'; 'Tony Hopfinger'; 'trmjrl ; 'Vicki Irwin'; 'Walter Featherly'; 'Will Chinn'; Williamson, Mary J (DNR); 'Yereth Rosen'; 'Aaron Gluzman'; 'Ben Greene'; Bruno, Jeff J (PCO); 'Dale Hoffman'; 'David Lenig'; 'Donna Vukich'; 'Eric Lidji'; 'Gary Orr; Heusser, Heather A (DNR); 'Jason Bergerson'; 'Joe Longo'; King, Kathleen J (DNR); 'Lara Coates'; 'Lois Epstein'; 'Marc Kuck'; 'Marie Steele'; 'Mary Aschoff; 'Matt Gill'; 'Maurizio Grandi'; Ostrovsky, Larry Z (DNR); 'Patricia Bettis'; 'Richard Garrard'; 'Ryan Daniel'; 'Sandra Lemke'; 'Talib Syed'; 'Wayne Wooster; 'Wendy Wollf; 'William Van Dyke'; Aubert, Winton G (DOA) (winton.aubert@alaska.gov); Ballantine, Tab A (LAW); Brooks, Phoebe L (DOA) (phoebe. brooks @alaska.gov); Colombie, Jody J (DOA) (jody.colombie @alaska.gov); Crisp, John H (DOA) (john.crisp @alaska.gov); Davies, Stephen F (DOA) (steve.davies @alaska.gov); Foerster, Catherine P (DOA) (cathy.foerster @ alaska.gov); Grimaldi, Louis R (DOA) (lou.grimaldi @alaska.gov); Herrera, Matt F (DOA); Johnson, Elaine M (DOA) (elaine.johnson @ alaska.gov); Jones, Jeffery B (DOA) (jeff.jones @alaska.gov); Laasch, Linda K (DOA) (linda.laasch @alaska.gov); Maunder, Thomas E (DOA) (tom.maunder @alaska.gov); McIver, Bren (DOA) (bren.mciver @alaska.gov); McMains, Stephen E (DOA) (steve.mcmains @alaska.gov); Mumm, Joseph (DOA sponsored); Noble, Robert C (DOA) (bob.noble @alaska.gov); Norman, John K (DOA) (john.norman @alaska.gov); Okland, Howard D (DOA) (howard.okland @alaska.gov); Paladijczuk, Tracie L (DOA) ( tracie.paladijczuk @alaska.gov); Pasqual, Maria (DOA) (maria.pasqual©alaska.gov); Regg, James B (DOA) (jim.regg @alaska.gov); Roby, David S (DOA) (dave.roby @alaska.gov); Saltmarsh, Arthur C (DOA) (art.saltmarsh @alaska.gov); Scheve, Charles M (DOA) (chuck.scheve @alaska.gov); Schwartz, Guy L (DOA) (guy.schwartz @alaska.gov); Seamount, Dan T (DOA) (dan.seamount @alaska.gov) Subject: co649 North Fork Unit Attachments: co649.pdf 1 0 • Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Neahring Mark Wedman Hodgden Oil Company NRG Associates Halliburton President 408 18 Street 6900 Arctic Blvd. Golden, CO 80401 -2433 P.O. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI Baker Oil Tools K &K Recycling Inc. Land Department 795 E. 94 Ct. P.O. Box 58055 P.O. Box 93330 Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department P.O. Box 60868 3201 Westmar Circle P.O. Box 69 Fairbanks, AK 99706 Anchorage, AK 99508 -4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Kenai National Wildlife Refuge Penny Vadla Cliff Burglin Refuge Manager 399 West Riverview Avenue 319 Charles Street P.O. Box 2139 Soldotna, AK 99669 -7714 Fairbanks, AK 99701 Soldotna, AK 99669 -2139 , , ,,'d r .0\.ac,),\(),' 2 STATE OF ALASKA • NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING INVOICE AFFIDAVIT MUST OF BE IN PUBLICATION TRIPLICATE (PART SHOWING 2 OF THIS ADVERTISING FORM) WITH ORDER ATTACHED NO., CERTIFI O F /`1 A O- 02114032 ORDER 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 Jody Colombie May 2, 2011 ° Anchorage, AK 99501 PHONE PCN M 907 - 793 -1238 (9071 793 —1221 DATES ADVERTISEMENT REQUIRED: ASAP o Peninsula Clarion P.O. Box 3009 Kenai, AK 99611 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Type of Advertisement Legal® ❑ Display Classified (Other (Specify) SEE ATTACHED North Fork CO -11 -17 SEND INVOICE IN TRIPLICATE AOGCC, 333 W. 7th Ave., Suite 100 PAGE 1 OF TOTAL OF TO Anchorage, AK 99501 2 PAGES ALL PAGES$ REF TYPE NUMBER AMOUNT DATE COMMENTS 1 VEN 2 ARD 02910 3 4 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LIQ 11 02140100 73451 2 3 4 REQUISITIONED :Y: DIVISION APPROVAL: 1 • • Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Docket No. CO-1 1-17. The Alaska Oil and Gas Conservation Commission (Commission), on its own motion, proposes to establish rules regulating sustained casing pressures in development wells within the North Fork Unit. The proposed rules may be inspected at the Commission's offices or on its website at http: / /doa.alaska.gov /ogc /. The Commission has tentatively scheduled a public hearing on this matter for June 9, 2011 at 9:00 a.m. at the Alaska Oil and Gas Conservation Commission, at 333 West 7th Avenue, 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 21, 2011. If a request for a hearing is not timely filed, the Commission may consider the issuance of an order without a hearing. To learn if the Commission will hold the hearing, call 793- 1221 after May 25, 2011. 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, 2011, except that, if a hearing is held, comments must be received no later than the conclusion of the June 9, 2011 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 6, 2011. Daniel T. Se. ount, Jr. Chair • Proposed Rules for Sustained Casing Pressure (SCP) in North Fork Unit Wells April 27, 2011 1. The operator shall conduct and document a pressure test of tubulars and completion equipment in each development well at the time of installation or replacement that is sufficient to demonstrate that planned well operations will not result in failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. 2. The operator shall monitor each development well daily to check for sustained pressure, except if prevented by extreme weather conditions, emergency situations, or similar unavoidable circumstances. Monitoring results shall be made available for Commission inspection. 3. The operator shall notify the Commission within three working days after the operator identifies a well as having (a) sustained inner annulus pressure that exceeds 2000 psig or (b) sustained outer annulus pressure that exceeds 1000 psig. 4. The Commission may require the operator to submit in an Application for Sundry Approvals (Form 10 -403) a proposal for corrective action or increased surveillance for any development well having sustained pressure that exceeds a limit set out in paragraph 3 of this rule. The Commission may approve the operator's proposal or may require other corrective action or surveillance. The Commission may require that corrective action be verified by mechanical integrity testing or other Commission - approved diagnostic tests. The operator shall give the Commission sufficient notice of the testing schedule to allow a Commission Inspector to witness the tests. 5. If the operator identifies sustained pressure in the inner annulus of a development well that exceeds 45% of the burst pressure rating of the well's production casing for inner annulus pressure, or sustained pressure in the outer annulus that exceeds 45% of the burst pressure rating of the well's surface casing for outer annulus pressure, the operator shall notify the Commission within three working days and take corrective action. Unless well conditions require the operator to take emergency corrective action before Commission approval can be obtained, the operator shall submit in an Application for Sundry Approvals (Form 10 -403) a proposal for corrective action. The Commission may approve the operator's proposal or may require other corrective action. The Commission may also require that corrective action be verified by mechanical integrity testing or other Commission - approved diagnostic tests. The operator shall give sufficient notice of the testing schedule to allow a Commission Inspector to witness the tests. 6. Except as otherwise approved by the Commission under paragraph 4 or 5 of these rules, before a shut -in well is placed in service, any annulus pressure must be relieved to a sufficient degree (a) that the inner annulus pressure at operating temperature will be below 2000 psig, and (b) that the outer annulus pressure at operating temperature will be below 1000 psig. However, a well that is subject to paragraph 3, but not paragraph 5, of these rules may reach an annulus pressure at operating temperature that is described in the operator's notification to the Commission under paragraph 3, unless the Commission prescribes a different limit. 7. For purposes of these rules, "inner annulus" means the space in a well between tubing and production casing; "outer annulus" means the space in a well between production casing and surface casing; "sustained pressure" means pressure that (a) is measurable at the casing head of an annulus, (b) is not caused solely by temperature fluctuations, and (c) is not pressure that has been applied intentionally. • ADVERTISING ORDER NO. STATE OF ALASKA NOTICE TO PUBLISHER I NVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED ADVERTISING AO- 02114032 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. R 333 West 7 Avenue. Suite 100 Jody Colombie May 2. 2011 ° Anchorage_ AK 99501 PHONE PCN M 907 - 793 -1238 (9071 793 -1221 DATES ADVERTISEMENT REQUIRED: ASAP Peninsula Clarion O PO Box 3009 Kenai AK 99611 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: AFFIDAVIT OF PUBLICATION United states of 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 2011, and thereafter for consecutive days, the last publication appearing on the day of , 2011, 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 2011, Notary public for state of My commission expires 02 -901 (Rev. 3/94) AO.FRM Page 2 PUBLISHER • Colombie, Jody J (DOA) From: Colombie, Jody J (DOA) Sent: Monday, May 02, 2011 10:20 AM To: ( michael .j.nelson @conocophillips.com); ( Von. L.Hutchins @conocophillips.com); AKDCWelllntegrityCoordinator; Alan Dennis; alaska @petrocalc.com; Anna Raff; Barbara F Fullmer; bbritch; Becky Bohrer; Bill Penrose; Bill Walker; Bowen Roberts; Brady, Jerry L; Brandon Gagnon; Brandow, Cande (ASRC Energy Services); Brian Havelock; Bruce Webb; caunderwood; Chris Gay; Cliff Posey; Crandall, Krissell; D Lawrence; dapa; Daryl J. Kleppin; Dave Matthews; David Boelens; David House; David Scott; David Steingreaber; ddonkel @cfl.rr.com; Dennis Steffy; Elizabeth Bluemink; Elowe, Kristin; Erika Denman; eyancy; Francis S. Sommer; Fred Steece; Garland Robinson; Gary Laughlin; Gary Schultz (gary.schultz @alaska.gov); ghammons; Gordon Pospisil; Gorney, David L.; Greg Duggin; Gregg Nady; gspfoff; Harry Engel; Jdarlington (jarlington @gmail.com); Jeanne McPherren; Jeff Jones; Jeffery B. Jones (jeff.jones @alaska.gov); Jerry McCutcheon; Jill Womack; Jim White; Jim Winegarner; Joe Nicks; John Garing; John Katz (john.katz @alaska.gov); John S. Haworth; John Spain; John Tower; Jon Goltz; Judy Stanek; Julie Houle; Kari Moriarty; Kaynell Zeman; Keith Wiles; Kelly Sperback; Kim Cunningham; Larry Ostrovsky; Laura Silliphant (laura.gregersen @alaska.gov); Marilyn Crockett; Mark Dalton; Mark Hanley (mark.hanley @anadarko.com); Mark Kovac; Mark P. Worcester; Marguerite kremer (meg.kremer @alaska.gov); Michael Dammeyer; Michael Jacobs; Mike Bill; Mike Mason; Mike! Schultz; Mindy Lewis; MJ Loveland; mjnelson; mkm7200; nelson; Nick W. Glover; NSK Problem Well Supv; Patty Alfaro; Paul Decker (paul.decker @alaska.gov); Paul Figel; PORHOLA, STAN T; Randall Kanady; Randy L. Skillern; Rena Delbridge; Renan Yanish; rob.g.dragnich @exxonmobil.com; Robert Brelsford; Robert Campbell; Rudy Brueggeman; Ryan Tunseth; Scott Cranswick; Scott Griffith; Shannon Donnelly; Sharmaine Copeland; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Sondra Stewman; Steve Lambert; Steve Moothart (steve.moothart@alaska.gov); Steven R. Rossberg; Suzanne Gibson; tablerk; Tamera Sheffield; Taylor, Cammy 0 (DNR); Temple Davidson; Teresa Imm; Terrie Hubble; Thor Cutler; Tina Grovier; Todd Durkee; Tony Hopfinger; trmjrl; Vicki Irwin; Walter Featherly; Will Chinn; Williamson, Mary J (DNR); Yereth Rosen; Aaron Gluzman; Ben Greene; Bettis, Patricia K (DNR); Bruno, Jeff J (PCO); caunderwood @marathonoil.com; Dale Hoffman; David Lenig; Donna Vukich; Gary Orr; Heusser, Heather A (DNR); Jason Bergerson; Joe Longo; Lara Coates; Marc Kuck; Mary Aschoff; Matt Gill; Maurizio Grandi; Ostrovsky, Larry Z (DNR); Richard Garrard; Ryan Daniel; Sandra Lemke; Steele, Marie C (DNR); Talib Syed; Wayne Wooster; William Van Dyke; Woolf, Wendy C (DNR); Aubert, Winton G (DOA); Ballantine, Tab A (LAW); Brooks, Phoebe; Colombie, Jody J (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Fisher, Samantha J (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Herrera, Matt F (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Matt Herrera; Maunder, Thomas E (DOA); McIver, Bren (DOA); McMains, Stephen E (DOA); Mumm, Joseph (DOA sponsored); Noble, Robert C (DOA); Norman, John K (DOA); Okland, Howard D (DOA); Paladijczuk, Tracie L (DOA); Pasqua!, Maria (DOA); Regg, James B (DOA); Roby, David S (DOA); Saltmarsh, Arthur C (DOA); Scheve, Charles M (DOA); Schwartz, Guy L (DOA); Seamount, Dan T (DOA); Shartzer, Christine R (DOA) Subject: Proposed sustained casing pressure attachment Attachments: CO -11 -17 North Fork.pdf; Proposed Rules for Sustained Casing Pressure - NFU.pdf For your convenience, I have attached the proposed rules. Jody J. Colombie Special Assistant Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, AK 99501 (907)793 -1221 (phone) (907)276 -7542 (fax) 1 • Colombie, Jody J (DOA) From: Colombie, Jody J (DOA) Sent: Monday, May 02, 2011 10:16 AM To: Aaron Gluzman; Ben Greene; Bettis, Patricia K (DNR); Bruno, Jeff J (PCO); caunderwood @marathonoil.com; Dale Hoffman; David Lenig; Donna Vukich; Elizabeth Bluemink; Gary Orr; Heusser, Heather A (DNR); Jason Bergerson; Joe Longo; Lara Coates; Marc Kuck; Mary Aschoff; Matt Gill; Maurizio Grandi; Ostrovsky, Larry Z (DNR); Richard Garrard; Ryan Daniel; Sandra Lemke; Steele, Marie C (DNR); Talib Syed; Wayne Wooster; William Van Dyke; Woolf, Wendy C (DNR); (michael.j.nelson @conocophillips.com); (Von. L. Hutchins @conocophillips.com); AKDCWelllntegrityCoordinator; Alan Dennis; alaska @petrocalc.com; Anna Raff; Barbara F Fullmer; bbritch; Becky Bohrer; Bill Penrose; Bill Walker; Bowen Roberts; Brady, Jerry L; Brandon Gagnon; Brandow, Cande (ASRC Energy Services); Brian Havelock; Bruce Webb; caunderwood; Chris Gay; Cliff Posey; Crandall, Krissell; D Lawrence; dapa; Daryl J. Kleppin; Dave Matthews; David Boelens; David House; David Scott; David Steingreaber; ddonkel @cfl.rr.com; Dennis Steffy; Elowe, Kristin; Erika Denman; eyancy; Francis S. Sommer; Fred Steece; Garland Robinson; Gary Laughlin; Gary Schultz (gary.schultz @alaska.gov); ghammons; Gordon Pospisil; Gorney, David L.; Greg Duggin; Gregg Nady; gspfoff; Harry Engel; Jdarlington (jarlington @gmail.com); Jeanne McPherren; Jeff Jones; Jeffery B. Jones (jeff.jones @alaska.gov); Jerry McCutcheon; Jill Womack; Jim White; Jim Winegarner; Joe Nicks; John Garing; John Katz (john.katz @alaska.gov); John S. Haworth; John Spain; John Tower; Jon Goltz; Judy Stanek; Julie Houle; Kari Moriarty; Kaynell Zeman; Keith Wiles; Kelly Sperback; Kim Cunningham; Larry Ostrovsky; Laura Silliphant (laura.gregersen @alaska.gov); Marilyn Crockett; Mark Dalton; Mark Hanley (mark.hanley @anadarko.com); Mark Kovac; Mark P. Worcester; Marguerite kremer (meg.kremer @alaska.gov); Michael Dammeyer; Michael Jacobs; Mike Bill; Mike Mason; Mikel Schultz; Mindy Lewis; MJ Loveland; mjnelson; mkm7200; nelson; Nick W. Glover; NSK Problem Well Supv; Patty Alfaro; Paul Decker (paul.decker @alaska.gov); Paul Figel; PORHOLA, STAN T; Randall Kanady; Randy L. Skillern; Rena Delbridge; Renan Yanish; rob.g.dragnich @exxonmobil.com; Robert Brelsford; Robert Campbell; Rudy Brueggeman; Ryan Tunseth; Scott Cranswick; Scott Griffith; Shannon Donnelly; Sharmaine Copeland; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Sondra Stewman; Steve Lambert; Steve Moothart (steve.moothart@alaska.gov); Steven R. Rossberg; Suzanne Gibson; tablerk; Tamera Sheffield; Taylor, Cammy 0 (DNR); Temple Davidson; Teresa Imm; Terrie Hubble; Thor Cutler; Tina Grovier; Todd Durkee; Tony Hopfinger; trmjrl; Vicki Irwin; Walter Featherly; Will Chinn; Williamson, Mary J (DNR); Yereth Rosen; Aubert, Winton G (DOA); Ballantine, Tab A (LAW); Brooks, Phoebe; Colombie, Jody J (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Fisher, Samantha J (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Herrera, Matt F (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Matt Herrera; Maunder, Thomas E (DOA); McIver, Bren (DOA); McMains, Stephen E (DOA); Mumm, Joseph (DOA sponsored); 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); Schwartz, Guy L (DOA); Seamount, Dan T (DOA); Shartzer, Christine R (DOA) Subject: Public Notice North Fork Attachments: CO -11 -17 North Fork.pdf Jody J. Colombie Special Assistant Alaska Oil and Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, AK 99501 (907)793 -1221 (phone) (907)276 -7512 (fax) 1 0 III Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Neahring Mark Wedman Hodgden Oil Company NRG Associates President Halliburton 408 18 Street 6900 Arctic Blvd. Golden, CO 80401 -2433 P.O. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI K &K Recycling Inc. Land Department Baker Oil Tools P.O. Box 58055 P.O. Box 93330 795 E. 94 Ct. Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department P.O. Box 60868 3201 Westmar Circle P.O. Box 69 Fairbanks, AK 99706 Anchorage, AK 99508 -4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Kenai National Wildlife Refuge Penny Vadla Cliff Burglin Refuge Manager 399 West Riverview Avenue 319 Charles Street P.O. Box 2139 Soldotna, AK 99669 -7714 Fairbanks, AK 99701 Soldotna, AK 99669 -2139 , \Q, 9 . &J .v► lir Y " P E 4 I N S U L PO Box 3009, Kenai, AK 99611 - (907) 283 - 7551 - Fax (907) 283 - 3299 State of Alaska/AOGCC Accounts Payable Invoice # 8750/2074 333 W 7th Ave, Suite 100 AO- 02114032 Anchorage, AK 99501 Date Quanity Total • Public Hearing 05/05/11 Legal F 9.5 87.88 444'i I Total Due $87.88 Please include invoice and account numbers on all correspondence PUBLISHER'S AFFIDAVIT UNITED STATES OF AMERICA, STATE OF ALASKA }ss: r Notice of Public Hearing STATE OF ALASKA Denise Reece being first duly Alaska Oil and Gas Conservation Commission Re: Docket No. CO- 11 -17. sworn, on oath deposes and says: The Alaska Oil and Gas Conservation Commissioh (Commission), on its own motion, proposes to That I am and was at all times here establish rules regulating sustained casing pressures in development wells within the North Fork Unit. The in this affidavit mentions, Supervisor of proposed rules may be inspected at the Commission's offices or on its website at htto : / /doa.alaska.gov /ogc /. Legals of the Peninsula Clarion, a news- The Commission has tentatively scheduled a public hearing on this matter June 9, 2011 at 9:00 a.m. at the paper of general circulation and published Alaska Oil and Gas Conservation Commission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska at Kenai, Alaska, that the 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with Public Hearing the Commission no later than 4:30 p.m. on May 21, 2011. AO- 02114032 If a request for a hearing is not timely = filed, the Commission may consider the issuance of an order a printed copy of which is hereto annexed was without a hearing. To learn if the Commission will hold the hearing, call 793 -1221 after May 25, 2011. published in said paper one each and In addition, written comments regarding this application may be submitted to the Alaska Oil and every day for one successive and Gas Conservation Commission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska consecutive day in the issues on the 99501. Comments must be received no later than 4:30 p.m. on June 6, 2011, except that, if a hearing is held, . following dates: comments must be received no later than the conclusion of the June 9, 2011 hearing. May 5, 2011 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 6, 2011. X2 - , e0 . 24,;) J ` 4 t Daniel T. Seamount, Jr. Chair SUBSCRIBED AND SWORN to me before LPUBLISH: 5/5, 2011 8750/2074/ t ie 9th day f May , 2011 1 k 4LLc NOTARY PUBLIC in favor for the Ps,$ R(J$S, State of Alaska. ) `• (' My Commission expires 26- Aug -12 �OTp PUBLiG :1100F 41 • • Colombie, Jody J (DOA) From: Regg, James B (DOA) Sent: Monday, June 13, 2011 4:43 PM To: Colombie, Jody J (DOA) Subject: FW: North Fork Unit Sustained Casing Pressure Rule Attachments: Well Flowing Information.xlsx file with CO -11 -17 Jim Regg AOGCC 333 W.7th Avenue, Suite 100 Anchorage, AK 99501 907 - 793 -1236 From: Nate Lowe fmailto :nateParmstrongoilandgas.coml Sent: Friday, June 10, 2011 1:27 PM To: Regg, James B (DOA) Cc: Colombie, Jody J (DOA); Aubert, Winton G (DOA); Edward Teng Subject: RE: North Fork Unit Sustained Casing Pressure Rule Hi Jim, Ed Teng just passed along the attached information. I believe it covers the 3 items you've requested below. Should you need anything additional please don't hesitate to give me a call or shoot me an email. Thanks, Nate From: Regg, James B (DOA) fmailto:iim.readPalaska.govl Sent: Thursday, June 02, 2011 11:12 AM To: Nate Lowe Cc: Colombie, Jody J (DOA); Aubert, Winton G (DOA) Subject: North Fork Unit Sustained Casing Pressure Rule On May 2, 2011, the Alaska Oil and Gas Conservation Commission (AOGCC) initiated a public comment period regarding proposed sustained casing pressure (SCP) rules for development wells within the North Fork Unit (see attached). We received no objections and no requests for a hearing, so the requirement to hold a public hearing (tentatively scheduled for June 9) has been vacated nby our Commissioners. We do, however, require some information from Armstrong before the SCP rules can be finalized. Please provide the following for North Fork Unit wells: - flowing and shut in tubing pressures; - annuli pressures; - flowing wellhead temperatures. If possible, we would appreciate the data in a tabular /graphical form since production commenced at North Fork. Receipt of the data before June 9 would also be appreciated. Contact me if you have any questions. Thank you. Jim Regg AOGCC 1 1 333 W.7th Avenue, Suite 100 • • 'Anchorage, AK 99501 907 - 793 -1236 2 • • NFU - 32 -35 Well Inner Outer Status Pressure Temp Annulus Annulus 4/1/2011 4/2/2011 4/3/2011 4/4/2011 4/5/2011 4/6/2011 4/7/2011 4/8/2011 4/9/2011 4/10/2011 4/11/2011 4/12/2011 4/13/2011 4/14/2011 4/15/2011 4/16/2011 4/17/2011 Online 224 58 0 40 4/18/2011 Online 2164 58 0 40 4/19/2011 Online 2164 58 0 40 4/20/2011 Online 2604 50 0 40 4/21/2011 SI 2773 61 0 40 4/22/2011 SI 2782 64 0 40 4/23/2011 SI 930 64 0 40 4/24/2011 SI 1745 61 0 40 4/25/2011 Online 1778 61 0 59 4/26/2011 SI 1790 61 0 59 4/27/2011 SI 2200 59 0 59 4/28/2011 Online 1869 61 -4 59 4/29/2011 Online 1877 57 -4 59 4/30/2011 Online 1882 58 -4 59 5/1/2011 Online 1930 58 -4 59 5/2/2011 Online 2014 46 -5 59 5/3/2011 Online 1985 59 -4 59 5/4/2011 Online 1987 59 -4 59 5/5/2011 Online 1987 59 -4 59 5/6/2011 Online 1757 56 -4 59 5/7/2011 Online 2694 61 -4 59 5/8/2011 Online 2694 61 -4 59 5/9/2011 Online 1903 58 -4 59 5/10/2011 Online 1925 58 -4 59 5/11/2011 SI 2407 62 -4 59 5/12/2011 Online 1475 50 -4 59 • . • 5/13/2011 Online 1950 50 -4 59 5/14/2011 Online 2019 59 -4 59 5/15/2011 Online 2015 59 -4 59 5/16/2011 Online 1976 59 -4 40 5/17/2011 Online 1957 60 -4 40 5/18/2011 Online 1957 60 -4 40 5/19/2011 Online 1900 60 -4 40 5/20/2011 Online 1890 60 -4 40 5/21/2011 Online 1873 60 -5 40 5/22/2011 Online 1855 60 -5 40 5/23/2011 Online 1825 59 -5 40 5/24/2011 Online 1810 59 -5 40 5/25/2011 Online 1790 59 -5 40 5/26/2011 Online 1783 59 -4 40 5/27/2011 Online 1773 59 -4 40 5/28/2011 Online 1705 59 -4 40 5/29/2011 Online 1710 59 -4 40 5/30/2011 Online 1715 59 -4 40 5/31/2011 Online 1715 59 -4 40 6/1/2011 Online 1715 59 -4 40 6/2/2011 Online 1724 58 -4 40 6/3/2011 Online 1720 58 -4 40 6/4/2011 Online 1713 58 -4 40 6/5/2011 Online 1713 59 -4 40 6/6/2011 Online 1825 59 -4 40 6/7/2011 Online 1755 58 -4 40 6/8/2011 Online 1753 61 -5 40 • Page 1 of 1 Regg, James B (DOA) From: Nate Lowe [nate @armstrongoilandgas.com] Sent: Friday, June 10, 2011 1:27 PM 6(ai It To: Regg, James B (DOA) Cc: Colombie, Jody J (DOA); Aubert, Winton G (DOA); Edward Teng Subject: RE: North Fork Unit Sustained Casing Pressure Rule Attachments: Well Flowing Information.xlsx Hi Jim, Ed Teng just passed along the attached information. I believe it covers the 3 items you've requested below. Should you need anything additional please don't hesitate to give me a call or shoot me an email. Thanks, Nate From: Regg, James B (DOA) [mailto:jim.regg @alaska.gov] Sent: Thursday, June 02, 2011 11:12 AM To: Nate Lowe Cc: Colombie, Jody J (DOA); Aubert, Winton G (DOA) Subject: North Fork Unit Sustained Casing Pressure Rule On May 2, 2011, the Alaska Oil and Gas Conservation Commission (AOGCC) initiated a public comment period regarding proposed sustained casing pressure (SCP) rules for development wells within the North Fork Unit (see attached). We received no objections and no requests for a hearing, so the requirement to hold a public hearing (tentatively scheduled for June 9) has been vacated nby our Commissioners. We do, however, require some information from Armstrong before the SCP rules can be finalized. Please provide the following for North Fork Unit wells: - flowing and shut in tubing pressures; - annuli pressures; - flowing wellhead temperatures. If possible, we would appreciate the data in a tabular /graphical form since production commenced at North Fork. Receipt of the data before June 9 would also be appreciated. Contact me if you have any questions. Thank you. Jim Regg AOGCC 333 W.7th Avenue, Suite 100 Anchorage, AK 99501 907- 793 -1236 6/10/2011 • • NFU - 34 -26 Pm 2-C3 Well Inner Outer Status Pressure Temp Annulus Annulus 4/1/2011 4/2/2011 4/3/2011 4/4/2011 4/5/2011 4/6/2011 4/7/2011 4/8/2011 4/9/2011 4/10/2011 4/11/2011 4/12/2011 4/13/2011 4/14/2011 4/15/2011 4/16/2011 4/17/2011 SI 2705 66 412 650 4/18/2011 SI 2709 52 410 650 4/19/2011 SI 2709 52 410 650 4/20/2011 Online 2115 45 514 650 4/21/2011 Online 1885 51 710 550 4/22/2011 Online 1410 54 797 550 4/23/2011 Online 1417 54 797 550 4/24/2011 SI 2330 54 797 550 4/25/2011 2396 60 479 550 4/26/2011 Online 1120 58 789 550 4/27/2011 1250 60 689 550 4/28/2011 Online 1120 58 789 550 4/29/2011 SI 2331 60 493 650 4/30/2011 SI 2393 59 466 650 5/1/2011 SI 2399 58 466 650 5/2/2011 SI 2433 54 454 650 5/3/2011 SI 2482 59 437 650 5/4/2011 SI 2502 59 432 650 5/5/2011 SI 2502 59 432 650 5/6/2011 SI 2529 59 427 650 5/7/2011 SI 2539 63 424 650 5/8/2011 SI 2539 63 424 650 5/9/2011 SI 2539 63 424 650 5/10/2011 SI 2539 63 424 650 5/11/2011 SI 2539 63 424 650 5/12/2011 SI 2539 63 424 650 k(2 • 0 AA( 34 -2 J Oe6 - -O(,3 Well Inner Outer Status Pressure Temp Annulus Annulus 5/13/2011 SI 2588 63 416 650 5/14/2011 SI 2588 63 416 650 5/15/2011 SI 2588 63 416 650 5/16/2011 SI 2598 65 415 650 5/17/2011 SI 2607 67 414 650 5/18/2011 SI 2610 67 414 650 5/19/2011 SI 2614 62 412 650 5/20/2011 SI 2617 62 411 650 5/21/2011 SI 2621 64 411 650 5/22/2011 SI 2625 64 411 650 5/23/2011 SI 2627 65 411 650 5/24/2011 SI 2630 64 411 650 5/25/2011 SI 2635 74 412 650 5/26/2011 SI 2637 68 412 650 5/27/2011 SI 2639 67 411 650 5/28/2011 SI 2641 67 410 650 5/29/2011 SI 2641 67 410 650 5/30/2011 SI 2641 67 410 650 1 5/31/2011 SI 2641 67 410 650 6/1/2011 SI 2641 67 410 650 6/2/2011 SI 2641 67 410 650 6/3/2011 SI 2641 67 410 650 6/4/2011 SI 2641 67 410 650 6/5/2011 SI 2641 67 410 650 6/6/2011 SI 2641 67 410 650 6/7/2011 SI 2670 67 410 650 6/8/2011 SI 2670 67 410 650 r • Armstrong Cook Inlet, LLC Surface Location NAD27 A.NP ZONE 4 North Fork Unit API 50 -231- 200330000 N:2121196.496 Kenai Borough, Alaska Ground Elevation 657,5' NAVD 88 E: 109690.944 North Fork 034-26 KB 15,5' above Ground Elevation LA n 54 Dce 47'46.966 N ' LONG: 151 Den 37'56(64'11 As- Drilled Well Schematic 1721' FEL 649' ESL SEC 2644 1411 August 121h, 2008 ('M, Deaths Est Est. Est. Directional Casino Formation IJ6 MD OI91e Size MW PoreP FracG Information 16" Drive Pipe 0 Dag. at 133' 848, R3, N -80HC, PEB, ERW : c r )33' Drn cn 9.8 (conductor shoe) 124/4" Beluga a 1395' MD & TVD -' F 1.5 Deg. at 2,489' 9 -5/8" Surface Casing ,% /' 1:1 (9 -5/8" casing shoe) iiY 400, R3. L80, BTC, SMLS �.�—,/ /� 2489' 13,2 from LOT r. 575or -- Top of port collar i 1/4" SS 0.049" wall chemical 1 at 2996' \1D'T'. D injection line j 10C m 2994' 11D /1 \'D 41 o /»U4' ; z 5138 �--- 4-1/2" Chemical Injecllon Sub top (a 2303' R1D/T\'D 3,826 "@ 3.701 " Drift ID, 5.625 alajur OD, P110 / • / 8 -1/2" i Weatherford 7 "260 LT &C Hydraulic Stage Tool top (a 2996' 111D/T4'D I. c,• 101 PKR a 4727' \1D+f11) r anker Fiezluck 111 Hydraulic Set Liner Hanger w/ ZXP Liner ,..7.-------7----"L --- .. :7:/ ;:= FOC 'o 4727' 41Drr1D Packer v,/ 10' Type Ill Extension. 10' Bullelt Seal Stem P110 Tyonek 9/ 4735' MD (4734' TVD) 1.6 Deg. at 5,027' 7" Intermediate Casing ii (7" casing shoe) 260, R3, L80,LT &C, SMLS A 5027' (5026' T1 DI 15.7 from LOT C(r = Z� 4 t tqp = 3z3.,,5 • 1 • • • • 6. 118" at 8930' BOIL is 216' away from surface location azimuth 197 degrees 4.1/2" Production Liner & Tie Back PBTD 8974' 15,10, R3, P110, BTC, SMLS : _ :!: =:E: 9019' 19014 ' 14 Di 16.8 3.8 Deg. at 9021' TD 9021' MD (9016' TVD) • • NFU - 14 -25 Prb 210 -• <<t Well Inner Outer Status Pressure Temp Annulus Annulus 4/1/2011 4/2/2011 4/3/2011 4/4/2011 I II 4/5/2011 4/6/2011 4/7/2011 4/8/2011 4/9/2011 4/10/2011 4/11/2011 4/12/2011 4/13/2011 4/14/2011 4/15/2011 4/16/2011 4/17/2011 SI 2597 68 129 14 4/18/2011 SI 2610 55 131 14 4/19/2011 SI 2610 55 131 14 4/20/2011 SI 2642 47 136 14 4/21/2011 SI 2642 47 136 14 4/22/2011 SI 2687 65 136 14 4/23/2011 SI 2687 65 136 14 4/24/2011 Online 2687 65 136 14 4/25/2011 Online 2155 62 140 14 4/26/2011 Online 2155 62 140 14 4/27/2011 SI 2155 62 140 14 4/28/2011 2985 62 151 14 4/29/2011 2305 61 153 14 4/30/2011 2330 59 156 14 5/1/2011 2356 56 159 14 5/2/2011 2356 44 139 14 5/3/2011 2082 59 153 14 5/4/2011 2123 60 153 14 5/5/2011 2123 60 153 14 5/6/2011 2181 61 155 14 5/7/2011 2181 61 155 14 5/8/2011 2181 61 155 14 5/9/2011 2181 61 155 14 5/10/2011 2181 61 155 14 5/11/2011 2181 61 155 14 5/12/2011 2181 61 155 14 q2— 0 0 ti u , rte 14 - Well Inner Outer Prt Ole-ti i Status Pressure Temp Annulus Annulus 5/13/2011 2385 67 163 14 5/14/2011 2385 67 163 14 5/15/2011 2385 67 163 14 5/16/2011 2438 67 166 14 5/17/2011 2488 69 168 14 5/18/2011 2515 68 169 14 5/19/2011 2535 65 171 14 5/20/2011 2555 65 172 14 5/21/2011 2570 66 174 14 5/22/2011 2601 67 175 14 5/23/2011 2628 67 177 14 5/24/2011 2659 67 179 14 5/25/2011 2680 75 181 14 5/26/2011 2686 71 182 14 5/27/2011 2709 68 185 14 5/28/2011 2737 69 187 14 5/29/2011 2737 69 187 14 5/30/2011 2737 69 187 14 5/31/2011 2737 69 187 14 6/1/2011 2737 69 187 14 6/2/2011 2737 69 187 14 6/3/2011 2737 69 187 14 6/4/2011 2737 69 187 14 6/5/2011 2737 69 187 14 6/6/2011 2737 69 187 14 6/7/2011 2737 69 187 14 6/8/2011 SI 2737 69 187 14 26 0 • Armstro. .:ook Inlet, I,LC North Fork Unit Kenai Borough, Alaska Nortb-PuTIMP11 lJ u. l4 -Z' (pit) z t o — ill) Proposed Well Schematic February 3rd, 2010 141) Eat Est. Est. Directional casing Fortnation [lentil: Hole Sip MW PoreP Fend: Information 16" Drive Pipe o 840. R3, N /80, PEB f , 151' Arleen 9.8 tit =4 ii t 13 -1/2" 1 , 2 I3duga5a 1415' , t °_i ( ( 7.-r } t rQ "(: \'t 7c9DO Jcr.11 'p. 10 -3/4" Surface Casing / iii [ •. 45.50, R3, L80, BTC, SAILS / / 'y, 2.794' 1' \'U (3,01}a" Nil) } (3.2 f r 7 .> .I \ t/4" SS 0.049" wall chemkal % ' \\ 1/ injection lice 7 / t' ". :x 11:ti �� , 4 y� 7 t- (Q j J� i '' / intermediate casing swedg to 8-5/8" 3201,80 M1 S-t(2" Chendcal Injection Shb (ri +!- 2300' /-,;:. : Hydr0 521 and Hydril 511 connection, Boa OD 4.767 Drift 1D, 6.812" OD , P1 l A machined to 8.889 ". Top 1500' will be Hydril l 1 = $21 and bottom 1000' will be Hydro 511. There /// will be one full length crossover joint from 521 to (Ii: 511. Pin ed will be SI 1, There will be a i crossoversub from 8.5/8" 3201.80 511 box to 7- Tyonek (S / 4775' 5/8" 29.70180 BTC -M pin. 9.7/8" % / s' The 8.5/8" will be down to pass the injection / k nipple at around 2500'. 'Weatherford max BTC -81 Hydraulic Stage Tool (a 1 3,000' J I 'lO(' It 4.47(1 TN 11 \1D} Iii F __` -,IT„ r, 9.Pi x , 7 �, 4,�i ; t- > ii> :it 7 -5/3" Intermediate Casing Iii i' .,,. 29.70. R3, L80, BTC -M, SMLS Ai Ali; 4.090' I VD 15.500' Nil)) 14.7 " ' ( 'f p`St • ` i' ' / Q IC c l c r 7 711 t }iZ.t,;f 1 j ` y t , ( '-` ) III !! ) 6;^: u'(Lf �' ¢y "s' 6-3/4" 4 iri S., di 1 : S: I I P, a Yi ii! iii it :i ,. ::i 4> :yi .i[ ;.K 5 -1/2" Production Casing iii : 170. R3, P110, Ilydril 513, SAILS 4 ki 12.000' T\ D (1 2.,711' Nib) 16.8 TD 12,711' NIB 12,000'TVD 0 S. • NFU - 41 -35 Prl) 1,5-oil Well Inner Outer Status Pressure Temp Annulus Annulus 4/1/2011 4/2/2011 4/3/2011 4/4/2011 4/5/2011 4/6/2011 4/7/2011 4/8/2011 4/9/2011 4/10/2011 4/11/2011 4/12/2011 4/13/2011 4/14/2011 4/15/2011 4/16/2011 4/17/2011 SI 2597 68 129 40 4/18/2011 SI 2850 33 115 40 4/19/2011 SI 2850 33 115 40 4/20/2011 SI 2642 47 136 40 4/21/2011 SI 2850 33 155 40 4/22/2011 SI 2850 33 131 40 4/23/2011 SI 2850 33 131 40 4/24/2011 SI 2850 33 131 40 4/25/2011 SI 2109 38 140 40 4/26/2011 SI 2109 38 140 40 4/27/2011 SI 2209 36 136 40 4/28/2011 Online 2298 56 148 40 4/29/2011 Online 2061 47 154 40 4/30/2011 Online 1624 45 146 40 5/1/2011 SI 2825 44 139 40 5/2/2011 Online 1178 43 262 40 5/3/2011 SI 3075 48 154 40 5/4/2011 SI 2925 38 136 40 5/5/2011 SI 2750 38 136 40 5/6/2011 Online 1435 36 136 40 5/7/2011 SI 2361 50 378 40 5/8/2011 Online 2361 50 378 40 5/9/2011 SI 2650 50 122 40 5/10/2011 SI 2650 50 122 40 5/11/2011 Online 1899 45 122 40 5/12/2011 Online 1899 45 122 40 112- • 0 :fu 41 -3s Well Inner Outer Pit r(oS -ort Status Pressure Temp Annulus Annulus 5/13/2011 SI 2652 48 255 40 5/14/2011 Online 1870 38 305 40 5/15/2011 Online 1480 54 90 40 5/16/2011 Online 1542 56 92 40 5/17/2011 SI 1623 56 95 40 5/18/2011 SI 1875 55 92 40 5/19/2011 SI 2100 45 91 40 5/20/2011 SI 2750 45 91 40 5/21/2011 SI 2656 45 91 40 5/22/2011 SI 2650 44 92 40 5/23/2011 SI 2653 44 92 40 5/24/2011 SI 2658 43 92 40 5/25/2011 SI 2665 43 92 40 5/26/2011 SI 2665 43 92 40 5/27/2011 SI 2665 43 92 40 5/28/2011 SI 2665 51 93 40 5/29/2011 SI 2665 51 93 40 5/30/2011 SI 2665 51 93 40 5/31/2011 SI 2665 51 93 40 6/1/2011 SI 2665 51 93 40 6/2/2011 SI 2665 51 93 40 6/3/2011 SI 2665 51 93 40 6/4/2011 SI 2665 51 93 40 6/5/2011 SI 2665 51 93 40 6/6/2011 SI 2665 51 93 40 6/7/2011 SI 2737 69 187 40 6/8/2011 SI 2737 69 187 40 2'z- A ft Vir 1 1/ North Fork Unit #41-35 (j,)T-t 165-07_ Proposed Welibore Schematic 5/24/2010 20" Conductor @ 246' 13-3/8" 68# J-55 BTC Surface Casing @ 709' 18-5/8" Hole • 13-3/8" 61# J-55 BTC Surface Casing ' 3 ) 6 45; Chemical Injection Line @ 2,300' PPE from 709' - 2,000' L 4510M.1,,p, " C 9-5/8" 43,5# P-110 BTC Intermediate Casing @ 2408' 12-1/4" Hole 9-5/8" 43.5# N-80 BTC Intermediate Casing 44 - 3 4P - 2- C 2-7/8" 6.5# N-80 BTC-M Tubing Striig from 2408' — 5,535' 4 1 5 1 A # 4 e. Z- 4 DV Tool @ 6,310' 9-5/8" Baker Model "S-3" Hydraulic-Set Packer @ 7,880' Sliding Sleeve----- Perfs: Y," Holes, 4 spf 8,005'-8,045' Blast Joints I I " Brown Tie-Back Sleeve @ 8,330' X 9-5/8" 43.5# P-110 BTC Intermediate Casing from 7" Baker Model "D" 5,535' — 8,451' Permanent Packer @ 8,500' we Perfs: Five — Y2" Holes @ 8,530' // Squeezed Perfs: Five — 'A" Holes @ 8,540' // Squeezed Perfs: W' Holes, 4 spf 8,563' — 8,578' (Reperfed) TOC @ 10,009' - 1 4: Perfs: 'A" Holes, 4 spf 8,592' — 8,602' (Reperfed) Whipstock @ 10,173' :*Eq Ai Sidetrack hole drilled to 10,859' (Uncased) TOC @ 10,765' -VC ;32 - Perfs: Five - 34" Holes, 4 spf @ 10,786' 1* -lePA . A Perfs: tic" Holes, 4 spf 10,805' — 10,860' - Perfs: Five —1/2" Holes @ 10,875' // Squeezed TOC @ 10,913' 7" 26# P-110 BTC Production Liner @ 10,985' TD @ 12,812' . III NFU - 32 -35 pm zA0..0 Well Inner Outer Status Pressure Temp Annulus Annulus 4/1/2011 4/2/2011 4/3/2011 4/4/2011 4/5/2011 4/6/2011 4/7/2011 4/8/2011 4/9/2011 4/10/2011 4/11/2011 4/12/2011 4/13/2011 4/14/2011 4/15/2011 4/16/2011 4/17/2011 Online 224 58 0 40 4/18/2011 Online 2164 58 0 40 4/19/2011 Online 2164 58 0 40 4/20/2011 Online 2604 50 0 40 4/21/2011 SI 2773 61 0 40 4/22/2011 SI 2782 64 0 40 4/23/2011 SI 930 64 0 40 4/24/2011 SI 1745 61 0 40 4/25/2011 Online 1778 61 0 59 4/26/2011 SI 1790 61 0 59 4/27/2011 SI 2200 59 0 59 4/28/2011 Online 1869 61 -4 59 4/29/2011 Online 1877 57 -4 59 4/30/2011 Online 1882 58 -4 59 5/1/2011 Online 1930 58 -4 59 5/2/2011 Online 2014 46 -5 59 5/3/2011 Online 1985 59 -4 59 5/4/2011 Online 1987 59 -4 59 5/5/2011 Online 1987 59 -4 59 5/6/2011 Online 1757 56 -4 59 5/7/2011 Online 2694 61 -4 59 5/8/2011 Online 2694 61 -4 59 5/9/2011 Online 1903 58 -4 59 5/10/2011 Online 1925 58 -4 59 5/11/2011 SI 2407 62 -4 59 5/12/2011 Online 1475 50 -4 59 1 /z- a i e - - UEs Well Inner Outer Status Pressure Temp Annulus Annulus 5/13/2011 Online 1950 50 -4 59 5/14/2011 Online 2019 59 -4 59 5/15/2011 Online 2015 59 -4 59 5/16/2011 Online 1976 59 -4 40 5/17/2011 Online 1957 60 -4 40 5/18/2011 Online 1957 60 -4 40 5/19/2011 Online 1900 60 -4 40 5/20/2011 Online 1890 60 -4 40 5/21/2011 Online 1873 60 -5 40 5/22/2011 Online 1855 60 -5 40 5/23/2011 Online 1825 59 -5 40 5/24/2011 Online 1810 59 -5 40 5/25/2011 Online 1790 59 -5 40 5/26/2011 Online 1783 59 -4 40 5/27/2011 Online 1773 59 -4 40 5/28/2011 Online 1705 59 -4 40 5/29/2011 Online 1710 59 -4 40 5/30/2011 Online 1715 59 -4 40 5/31/2011 Online 1715 59 -4 40 6/1/2011 Online 1715 59 -4 40 6/2/2011 Online 1724 58 -4 40 6/3/2011 Online 1720 58 -4 40 6/4/2011 Online 1713 58 -4 40 6/5/2011 Online 1713 59 -4 40 6/6/2011 Online 1825 59 -4 40 6/7/2011 Online 1755 58 -4 40 6/8/2011 Online 1753 61 -5 40 z /z_ • • Armstrong o,. ,lc Inlet, LLC North Fork Unit Kenai Borough, Alaska North Fork Unit «32-35 C � \ t 2 t.`, -' Cie li ) Proposed Well Schematic June 22nd, 2010 11 If Est Est. Est. Directional Casing Formation 1)enth> dole Sine MW PoreP Eruct; Information - 16" Drive Pipe i',; 840, R3, N/L80, PEB ' :;ii, 150' Driven 9.8 >`' 12 -1/4" little Beluga di 1415' II: l 00 1 -..:' ".• 9-5/8" Surface Casing s? 400, R3 L80. BTC SMLS 2.802' T\' 13,9101' Vl)) 13.2 L- "- iii ii "IAr � .7 ! / `,: .< 1 1/4" SS 0.049" wall chemical l ;.,� y� Injection One f ip' 1 I.. 4-1/2" Chemical Injection Sub 5 +1- 2,500' 3.826 ID, 3.701" Drift ID, 5.625 OD, P110 / ;;r Weatherford 7" BTC -M 260 Hydraulic Stage Tool 8-1/2" Hole 3,200' Tyonek (a 4775' " ; '4 't Of w 4.518' i1 4: NM./ <'i i ' ' " ii' .i i•i 'i ' ' i:: 1j I ?r? ::., ij7 : : N. : 7" Intermediate Casing ivir i° 269, R3. 1,80, BTC -NI, SM 1� 7 LS ` ?iL 5 Tl'1) (5,800' MD) 14.7 . �R .L P s =Z n, iii l'i IS �(� = 3z4n tii 6 -1/8" llale i iii f'; 3`• :y : 4 -1/2" Production Casing "' ;" {r5° Q t L 1 I 13.50, R3. P110. BTC-01, SMLS A igl 10,20` 1 vi) (1J,tt30` fs1D) 16.8 TD 11,100' TVD (12,067' MD) • • Colombie, Jody J (DOA) From: Nate Lowe [nate @armstrongoilandgas.com] Sent: Thursday, June 02, 2011 9:15 AM To: Regg, James B (DOA) Cc: Colombie, Jody J (DOA); Aubert, Winton G (DOA) Subject: RE: North Fork Unit Sustained Casing Pressure Rule Thank you Jim. I will run down the requested information as soon as I can. Nate From: Regg, James B (DOA) fmailto:jim.regg alaska.govl Sent: Thursday, June 02, 2011 11:12 AM To: Nate Lowe Cc: Colombie, Jody J (DOA); Aubert, Winton G (DOA) Subject: North Fork Unit Sustained Casing Pressure Rule On May 2, 2011, the Alaska Oil and Gas Conservation Commission (AOGCC) initiated a public comment period regarding proposed sustained casing pressure (SCP) rules for development wells within the North Fork Unit (see attached). We received no objections and no requests for a hearing, so the requirement to hold a public hearing (tentatively scheduled for June 9) has been vacated nby our Commissioners. We do, however, require some information from Armstrong before the SCP rules can be finalized. Please provide the following for North Fork Unit wells: - flowing and shut in tubing pressures; - annuli pressures; - flowing wellhead temperatures. If possible, we would appreciate the data in a tabular /graphical form since production commenced at North Fork. Receipt of the data before June 9 would also be appreciated. Contact me if you have any questions. Thank you. Jim Regg AOGCC 333 W.7th Avenue, Suite 100 Anchorage, AK 99501 907 - 793 -1236 1