Department of Commerce, Community, and Economic Development
Alaska Oil and Gas Conservation
Commission
HOME
EVENTS
DATA
Data List
Drilling
Production
Orders
Data Miner
Document Search
REPORTS
Reports and Charts
Pool Statistics
FORMS
LINKS
Links
Test Notification
Data Requests
Regulations
Industry Guidance Bulletins
How to Apply
ABOUT US
History
Staff
HELP
Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
211-159
Image Project Well History File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable by direct inspection of the file. c A I - 15 c/ Well History File Identifier Organizing (done) ❑ Two-sided ❑ Rescan Needed RES N: OVERSIZED: NOTES: olor Items: ❑ Maps: rayscale Items: ogs: ❑ Poor Quality Originals: • ❑ Other: ❑ Other: BY: AM Date: % /s/ u • Project Proofing BY: Mai Date: !,,, I /s/ 1111 p II �f Scanning Preparation 3 x 30 = I + l = TOTAL PAGES q ! Q� I (Count does not include cover sheet) BY: Maria Date: C1 !0— ` Li /s/ Production Scanning / Stage 1 Page Count from Scanned File: 0 0 (Count does include cover sheet) Page Count Matches Number in Scanni g Pre aration: LYES NO BY: 411111ES Date: 46 1 `Li- /s/ no Stage 1 If NO in stage 1, page(s) discrepancies were found: YES NO BY: Maria Date: /s/ Stage 2 Additional Well Reports: NO TOTAL PAGES: 74 Digital version appended by: MeredithMichal ■ Date: /s/ Final Page Count: Stage 1 + Stage 2: TOTAL PAGES: 1 7LL Scanning is complete at this point unless rescanning is required. ReScanned BY: Maria Date: /s/ Comments about this file: Quality Checked 7/8/2014 Well History File Cover Page_20140708.doc o I I j 0 d .. a Uzi zlz oZ c 0 >- >- >- N i Nm tiN N 0 I .I 0 ooCO W Ip p 2 as IIo u. I 111 a o �, 'II I a I' In `m 2 U a Q W 2 2 O 0 2 1 w > > (n U U J al !W III w W I c? 1 0 `o_ �1cc ct 0 0 V cul 0 0 a a LU aj I co o E'a a a CC m acs Z /Z 1 7 rnx to a) Eia a 0 0 Uv E vl� Et o �r >- r E 12 2 F- I- O 7 U m /_� Ce Oct c cc co O 0 -2 I _d m TO U % m V C -o N N N N N N N N a d L p I'i, co N a1 p) W UJ d m 'y c. N N N N N N N N a N 7 T-- I D 0 (0 d a) O) O) O) O (0 cm (0 co Z V7 N /y co co co co co co coN COO re 2 .- co L E p a) coW CCCCCCC a) a) a) aaaaa)C v N O) N a) o z• ¢O 22 a a a a a a a a O U O 0 0 0 0 0 0 0 m m ma E _1 E Z ,_/ _ _ _ _ _ m vi co Q 1.1.-3Op 0 O M M O O_ _O O_ O 0 O) • 7 R (/) tf) t[) N N It) U) I v E J a f6 7 O 7 a 0 2 c U U °I o / Z I c o SIrn rn v v N o o o O a W O N E a w U � 0 co ci) W c Z 7 O } } >- ce Z Q 1 a o o r co R a �m t m n co 10 « !. E N N J U U U U to N N O I- d � c co - N /� N U O)ld °' c a) E l W • N O V N )A N E O E l Q J N A tt L •� 7 d Q +� n C N I COre g . 1 u) c'' 1 3 a c °°' ' o /zI I ce a °- m O0pZ EO W ( 0dU o iwwww '> '> > > ' a) > m a 2 EI -J 0 1�, .., u) Z 3 3 Z I 7 0 ' a) a) a) a) O C a) C 1 as 1 I ct W Wce 1 c (plc c c o c oQ • (0 E Oc z I E .. O f co i 1 CG Z 7 7 7 7 N p_ 7 O_ ++ 1i Cl) V C C C O a O C0 >- >- } to O i o .+ , O I O a /E o > I a) J ` d a+ H a O (0 C : > N r Q L C d .� E N CO W E 0. N O y W O Z N N _as , W r O Q C R r a y c I 2 O C N I a Z 2 ` o .�Q LL rn v U) V O ai s O ( O a O V C 9 J a ZQ O C 2 :2: O / `0 W 1 u_ as G d -- O c 2 Z W c 2 0 0 1 0 o U , m11 11 E m` a II' O I!I Q a m o R T I 0 0 0 o a a a a m H z o o as 1 1 cII a IS Ice a 1.- 3 J C H I J J J J LU W ;3 0 a 0 I 0 Ti i f ' 7 . 0 0 0 o a o N z . ,I.\'I-) C., U N Q 0 N Z F. a co c? .."P-'' u) 76 is Ce 0 re t a O 0 m U CL a WN O I.I. J 2 W IX En U z Z a w y 7 CL O cn lc M o r N O C a N E in C.) -- p U J Q I''' N O CO IN (NI c N aa) U) Y m Q a o , • - ,� a O z o °! E Uii (v 111 z 3 N 40, m to r '0 T- 3 N d a) R' a) • o 0 o. in R E a E O.t CD 2 U Page 1 of 1 r '0 • Schwartz, Guy L (DOA) From: Schwartz, Guy (DOA) L ( ) Sent: Monday, June 25, 2012 10:29 AM To: 'Michael Cook' Subject: RE: Walakpa#11,#12,#13-Surface Hole Section Excess Cement Thanks Mike for the follow-up on the surface cement on these wells. It appears due to the near gauge hole and rough estimations on the surface returns were the cause for the appearance of possible over displacement. I agree that the casing were properly cemented to surface. Guy Schwartz Senior Petroleum Engineer AOGCC 793-1226 (office) 444-3433 (cell) From: Michael Cook [mailto:mcook@petroak.com] Sent: Monday, June 25, 2012 10:01 AM To: Schwartz, Guy L (DOA) Subject: Re: Walakpa #11,#12,#13 - Surface Hole Section Excess Cement Guy, Per discussion regarding excess cement returns to surface while performing primary cementing displacements on wells : 1 Walakpa#11 Pr TP ZI 1 —i S`"1 2. Walakpa#12 —� 3. Walakpa#13 In each well,the surface 12-1/4" hole section was drilled with "gauge" hole to surface hole section TD. A lead slurry HES Type "L",85 sxs,4.31 cu.ft/sxs.,followed by a tail Type "C" slurry at 0.95 cu.ft/sxs. A 40 bbl. dual spacer was pumped ahead of the lead slurry. An open top containment tank positioned at the end of the 16" divert line was used to collect excess slurry. In each surface hole displacement an approximate volume of 50-55 bbls was noted as returns to surface.Cement returns to the open top tank in each well surface cementing displacement was confirmed. Regards, Mike Cook PRA Drilling Supervisor/NSB Wells Drilling Program Direct Office : (907) 677-5103 Cellular 1 1 444-8822 (907) mcook@petroak.com 6/25/2012 ► 4agrlP• O) 1 cl:r; P- AN OCA CO +. c C1 d U.a c Lc O (T, 53 0) 000 000 O 0000 53 O 53 OOOrNCcI) O4) O . O m d @ --i E CL L 000 � � NNCO CO - iso uicoccr- r- ccc cc o L) E E 63 0 7 d pCn 0CD0C') P- - OCO NCO T- 0+) CDNTN '- rf) LU NC�) N- (0 - t - U y up Inp) Mit COCA) Nt OC') N '- ' .- - P- NC7U) CO 0DLUtONt N = 0 ,... 0,'o_ •� NC') Tr COP- CO CAO ' NN .- OQ) CON- - P- V- w .ali U C IN E 2103 7 E CD0 4- U) N U) C�) (4) NI-. U) U) U) CO ') M U) CO U) CO U) '- U) - U) C', p .N- d d23 Op .- 0C` 00O Od' 0 U7 e5cO0P- 0000O 0 � N-- a(NI o m O 0 O O O O6 O O O .- 1 - 0 b U -15 QN4T 2A-- CO (OTrt� .- OO �opp V Ot00u) ID vl :or; c L LI) 0) lU) If) U 000 UO') LU f) U) y U N 5 - N N N N N N N N N N N N N N Na) l0 O .- NC1) d' U) (Ot- CO CAO U) OU) O -O ric U) (I) .C '- •- N N CO O d ' m C O CCD N LO O I- . U 1n. (L3 Nc (, c N � 01 • � Q' ? O tf) U) • 1=3 In O .- O m t0 0 • t d CO > CL Q a r tn N j , • I I I 1 ----r' r9 uJ - }_ N L.L. C O ai Iii �y— .ry a S. a, t Cr O (!� U) O C e 4-6.,_N- Ch T__- U) C3). _ N c N - - - R 2 a.o � � aU u) aLi) .F_ ....°) v i C N CO 00 r I- •F- 7 O, - v O) W - H OO OO Q. 7 no c Ir —i—ii I O > •" O O L c-O o ZC 11 � !f N , NCA r- O a3, > m a 7 a ili Co N CA a�o o) v 7 C N W -� 5 t- i �U1 to N ml. Z - E co H. O I co • o v/ O) 7 ty 0 CA > a N CA Q ry c W d --(5 a : ' a �, +� O, m O. a 2 � � � E p 7 i' Yo y (41 t (.1 U W L1) (,) v p o m N x 11 _O a111 N ' LL `- n � D .- J 0 O Q CU L w w 7 U a' C .- `ao - - RI- d LL ems- _ � w U O r o n i _ to O aJ aJ J .a .N- _ 8 , CO MO pOOO P• t_r m O) 0 co 0000 ID I- cn CD .e (0 Cr a N N r o y O C L N L L N 2 0 CO Z C cc CV c ch N I- N t m 0 •E a� � N ` xm 0 N O CA > N aFA W > w L � -0 � 1° a �1 op O • a 4J V N o E (n T aim v .Yw o o 0 8 co rn 1'c in � o I, R R aci d m 1 31t1f1SS32id E 6 i2 i c) McMains, Stephen E (DOA) From: Schwartz, Guy L (DOA) Sent: Tuesday, June 12, 2012 11:17 AM To: McMains, Stephen E (DOA) Subject: FW: Initial Rates for Redcently Completed Savik and Walakpa Wells If you have time you could enter these into the data base. PiD a ( I (59 Guy Schwartz Senior Petroleum Engineer AOGCC 793-1226 (office) 444-3433 (cell) r From: Pete Stokes [mailto:stokes@gci.net] __ Sent: Tuesday, June 12, 2012 9:18 AM To: Schwartz, Guy L (DOA) Cc: Tom Walsh; Michael Cook; William Van Dyke; Polkoski, David; Russell, Justin; Barbara McMullen; Joe Ramirez; Jack.Laasch@north-slope.orq Subject: Initial Rates for Redcently Completed Savik and Walakpa Wells Guy, Per our phone conversation, below are the initial shut in and flowing rates/pressures for the recent wells drilled and Icompleted in Barrow. Savik#1 Shut In Pressure at Surface: 838 psi Initial Rate: 0.78 MMSCF/D with tubing pressure of 788 psi. Savik#2: No initial pressures or rates due to suspected hydrate plug. Plan to clean out with coil tubing in July or August. r Walakpa #11 Shut In Pressure at Surface: 916 psi Initial Rate: 0.84 MMSCF/D with tubing pressure of 914 psi. Walakpa #12 Shut In Pressure at Surface: 916 psi rnitial Rate: 1.19 MMSCF/D with tubing pressure of 914 psi. 1 Walakpa #13 Shut In Pressure at Surface: 925 psi Initial Rate: 1.14 MMSCF/D with flowing pressure of 923 psi. As the demand for gas in Barrow is very low at this time of the year, we would like to postpone 4 point tests until next winter to prevent having to flare and thus wasting of the gas. Additionally, at that time the new SCADA system will be fully functional and allow for easier control of the wells for these tests. Until the SCADA system is fully operational,the wells have to be tested manually, which involves tundra travel by Rolligon during the summer season. Peter J.Stokes, PE&MBA Please confirm that we can postpone these tests.p Cell Phone:(907)223-6220 Pete RBDMS JUIYA► 1 2 20 Petrotechnical Resources of Alaska 'J+� 3601 C Street Suite 822 Anchorage,AK 99503 Phone:(907)272-1232 Fax:(907)272-1344 PRA 3601 C Street Suite 1424 Anchorage, AK 99503 907-272-1232(voice) 907-272-1344(fax) info@petroak.corn Memorandum STATE OF ALASKA RECEIVEp OIL & GAS CONSERVATION COMMISSION 333 W. 7th Ave. Suite 100 MAY 0 9 2012 Anchorage, AK 99501 AOGCC To: Guy Schwartz—Sr. Petroleum Engineer From: Mike Cook—PetroTechnical Resources Alaska Date: 5/9/2012 Re: Walakpa#12—Well Completion/AOGCC Form 10-407 Dear Guy, In compliance with AOGCC guidelines, find attached the AOGCC Form 10-407 for the Walakpa #12 horizontal development well, drilled and completed as the third well in the Barrow Gas Fields Well Development program. Attachments to this document package include 1. Walakpa#12 -AOGCC Form 10-407 2. Walakpa#12 -Wellbore Schematic 3. Walakpa#12 - Definitive Survey Report(February 16th ,2012) 4. Walakpa#12- A.M. Reports Regards, isok -- Mike Cook Petrotechnical Resources Alaska Office : (907) 677-5103 Email : mcook@petroak.com STATE OF ALASKA AU k OIL AND GAS CONSERVATION COMM .ON WELL COMPLETION OR RECOMPLETION REPORT AND LOG la.Well Status: Oil ❑ Gas ❑Q SPLUG 0 Other 0 Abandoned ❑ Suspended 0 lb.Well Class: 20AAC 25.105 20AAC 25.110 Development 0 Exploratory 0 GINJ ❑ WINJ 0 WAG 0 WDSPL 0 No.of Completions: _1 Service 0 Stratigraphic Test 0 2.Operator Name: 5.Date Comp.,Susp.,or 12.Permit to Drill Number: North Slope Borough-Barrow,Alaska Aband. Completed:2-12-12 211159 3.Address: 6.Date Spudded: 13.API Number: Dept.Public Works, 1689 Okpik St.Barrow,AK 99723 1/17/2012 50-023-20040-00-00 4a.Location of Well(Governmental Section): 7.Date TD Reached: 14.Well Name and Number: Surface: 2555'FNL,1668'FWL,UM Section 21,T 20 N,R 19 W 2/8/2012 Walakpa#12 Top of Productive Horizon: 8.KB(ft above MSL): 54.7 15.Field/Pool(s): 1215'FEL,2267'FSL,UM Section 21,T 20 N,R 19 W GL(ft above MSL): 31.7 Walakpa Gas Field Total Depth: 9.Plug Back Depth(MD+TVD): 133'FWL,2049'FSL,UM Section 22,T 20 N,R 19 W Slotted liner to TD-no plug back 4b.Location of Well(State Base Plane Coordinates,NAD 27): 10.Total Depth(MD+TVD): 16.Property Designation: Surface: x- 631,567 y-6,243,161 Zone- 6 5101 ft.and/2368 ft.tvd Walakpa TPI: x- 633,973 y-6,242,747 Zone- 6 11.SSSV Depth(MD+TVD): 17.Land Use Permit: Total Depth: x- 635,325 y-6,242,554 Zone- 6 not utilized in completion UIC Private Land Permit No. 10-252 18.Directional Survey: Yes Q No ❑ 19.Water Depth,if Offshore: 20.Thickness of Permafrost MD/TVD: (Submit electronic and printed information per 20 AAC 25.050) onshore (ft MSL) 977 ft and/900 ft.tvdss 21.Logs Obtained(List all logs here and submit electronic and printed information per 20AAC25.071): 22.Re-drill/Lateral Top Window MD/TVD: DGR/EWR/ADR/ALD/CTN Not applicable. ROP/DGR/EWR 23. CASING,LINER AND CEMENTING RECORD WT.PER SETTING DEPTH MD SETTING DEPTH TVD AMOUNT CASING FT GRADE TOP BOTTOM TOP BOTTOM HOLE SIZE CEMENTING RECORD PULLED 16" 84# L80 22.5 102 22.5 102 Auger/26" Single stage:265 sxs 9-5/8" 40# L80 21.5 1194 21.5 1156 12-1/4" Lead:Type:"V 85 sxs/Tai Type:"C"285 sxs 7" 26# L80 20.5 3670 20.5 2299 8-1/2" Tail: 90 sxs Type:"G" ,/ 4-1/2" 12.6# L80 3497 5096 2249 2367 6-1/8" Slotted Liner 24.Open to production or injection? Yes Q NO❑ If Yes,list each 25. TUBING RECORD interval open(MD+TVD of Top&Bottom;Perforation Size and Number): SIZE DEPTH SET(MD) PACKER SET(MD/TVD) Interval Open:4-1/2"12.6#L80 BTC(slotted liner) 2-7/8"6.5#L80 EUE tbg tail:3340'and completion pkr not utilized 1st.Penetration-Walakpa Sand Top:3743 MD/2257 TVDSS .,;''3;i`i E.'d'" 26. ACID,FRACTURE,CEMENT SQUEEZE,ETC. Base:3950 MD/2289 TVDSS I .. ;' " i DEPTH INTERVAL(MD) AMOUNT AND KIND OF MATERIAL USED ilk 27. PRODUCTION TEST Date First Production: Method of Operation(Flowing,gas lift,etc.): Walakpa#12 Flowback Flowing:unloading wellbore via 4-1/2"tubing&4-1/2"tubing x 7"production casing annulus Date of Test: Hours Tested: Production for Oil-Bbl: Gas-MCF: Water-Bbl: Choke Size: Gas-Oil Ratio: 4/13/2012 5.00 Test Period , ./. Not measured Flow Tubing Casing Press: Calculated Oil-Bbl: Gas-MCF: Water-Bbl: Oil Gravity-API(corr): Press. 580 psig 895 psig 24-Hour Rate -. Not measured Brine: 160 bbls 28. CORE DATA Conventional Core(s)Acquired? Yes 0 No Q Sidewall Cores Acquired? Yes 0 No Q If Yes to either question,list formations and intervals cored(MD+TVD of top and bottom of each),and summarize lithology and presence of oil,gas or water (submit separate sheets with this form,if needed).Submit detailed descriptions,core chips,photographs and laboratory analytical results per 20 AAC 25.071. RECEIVED RBDMS MAY 1 0 201 , MAY 0 9 2012 , rn-- AOGCC Form 10-407 Revised 12/2009 CONTINUED ON REVERSE Submit original only 29. GEOLOGIC MARKERS (List all formations and markers encountered): 30. FORMATION TESTS NAME MD TVD Well tested? ❑ Yes Q No If yes,list intervals and formations tested, briefly summarizing test results.Attach separate sheets to this form,if Permafrost-Top 0 0 needed,and submit detailed test information per 20 AAC 25.071. Permafrost-Base 977 900 ss Walakpa#12 was flowed back to flowback tank,to unload wellbore of NaCI 1st.Penetration completion brine fluids,prior to handover to NSB/WHPacific. Top Walakpa Gas Sand 3743 2257 ss Base Walakpa Gas Sand 3950 2289 ss Formation at total depth: Walakpa Gas Sand 5101 2313 ss 31. List of Attachments: 1.Cover Page 2.AOGCC 10-407 Form 3.Walakpa#12 Well Schematic 4.Definitive Survey Report 32. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact: (qrj -, jc,�1, ��1 i3 r Printed Name: V \\ '1 i_up,^„-t Title: Vv �1 1'- INA1 t `� r Signature: ,l_:ti' 1 e�,, ` [ — Phone: �b-o• •;T`l 7lt Date: , i . INSTRUCTIONS General: This form is designed for submitting a complete and correct well completion report and log on all types of lands and leases in Alaska. Submit a well schematic diagram with each 10-407 well completion report and 10-404 well sundry report when the downhole well design is changed. Item 1b: Classification of Service wells: Gas Injection,Water Injection,Water-Alternating-Gas Injection,Salt Water Disposal,Water Supply for Injection,Observation,or Other.Multiple completion is defined as a well producing from more than one pool with production from each pool completely segregated. Each segregated pool is a completion. Item 4b: TPI(Top of Producing Interval). Item 8: The Kelly Bushing and Ground Level elevations in feet above mean sea level. Use same as reference for depth measurements given in other spaces on this form and in any attachments. Item 13: The API number reported to AOGCC must be 14 digits(ex:50-029-20123-00-00). Item 20: Report true vertical thickness of permafrost in Box 20. Provide MD and TVD for the top and base of permafrost in Box 28. Item 23: Attached supplemental records for this well should show the details of any multiple stage cementing and the location of the cementing tool. Item 24: If this well is completed for separate production from more than one interval(multiple completion),so state in item 1,and in item 23 show the producing intervals for only the interval reported in item 26. (Submit a separate form for each additional interval to be separately produced,showing the data pertinent to such interval). Item 27: Method of Operation: Flowing,Gas Lift, Rod Pump, Hydraulic Pump,Submersible,Water Injection,Gas Injection,Shut-in,or Other (explain). Item 28: Provide a listing of intervals cored and the corresponding formations,and a brief description in this box. Submit detailed description and analytical laboratory information required by 20 AAC 25.071. Item 30: Provide a listing of intervals tested and the corresponding formation,and a brief summary in this box. Submit detailed test and analytical laboratory information required by 20 AAC 25.071. Form 10-407 Revised 12/2009 Ma... Walakpa#12 :Horizontal Engineer: M.Cook Field:GL=31.7 ft.above Sea Level Gas Development Well Rig: Kuukpik#5 Kuukpik 5 Actual d 54.7 ft(31.7 CL-MSL/23.0-RKB-GL) OH FORM DEPTH-(rkb) HOLE SIZE CASING SPECS MUD INFO('EM INFO INFO DIR/LWD MWD LOGS MD I T1'D • r,���.sa Ib/ft LBO Well Head:Vetco Gra NONE NONE Permafrost 100 100 '6" "C"Petmaftost:265sxs Y' ���la�a MB230,2-1/16"5M KOP:incl.=0 deg. 250 250ti ;h Spud Mud DLS:3.00 deg/l00 ;.; SRO-GYRO 250 2501. Lead Cement-"L" :. BOC:500 ft. >>surface °' Density:10.7 ppg MWD/GR/RES l 4. Cement Excess:40%/ i* Tail Cement-"C" TOC:500 ft. Freeze Protection:Annuli ::a :'T Density.15.6 ppg T x 9-5/8" Base of Permafrost 977 9011 ss 'i Surface Casing Cement Excess:40% w/diesel :: 9-5/8"40 lbs/ft /285 sxs displaced/ L80 BTC-M Excess Cement to .4 Internal Yidd:5,750 psi Collapse:3,090 psi Casing Test:2500 psi EOB:incl.=28.22 deg. Casing Point 1194 1156 12-1/4" PHPA:LSND/Itat reran LOT:30.6 ppg EMW Production Tubing ,......----7- 2-7/8" ^""2-7/8"6.5 lbs/ft MWD/GR/RES L80 EUE Internal Yidd:10,570 psi Collapse:11,170 psi !: Intermediate $. Casing 7"26 lbs/ft L80 BTC-M Prod.Tubing Tail: :ti,: Internal Yidd:7,240 psi 2-7/8"6.5#EUE 3340 2193 _ 7;:: Collapse:6,000 psi 4-1/2"12.6#BTC Tail Cement Slotted Liner Da3497 2249 Type:HES"G" ::i R:..i:: Density:15.8 ppg Casing Point 3670 2244 ss ',:.;: Cement Excess:30%/ Casing Test:2500 psi EOB: incl:81.0 deg. Top:Walakpa Gas ':': 90 sxs displaced Liner Hanger/Packer Sand-(Heel) 3743 2257 ss ':' /TB.Ext:BHI Model: I I 8-1/2n S erLap: ft. I BARADRILL-N/KC'L/F`T:13.0 ppg EMW End Directional 4207 2340 (6%) Inclination:98.36 deg. 4065 2338 I MWD/GR/RES I I LWD: Neu/Den Neutron Logging:not performed II II II II Production Liner- I I Sintted I 4-1/2"12.6 lbs/ft L80 BTC 4-1/2"12.6#L80 5096 2367 BTC Slotted Liner I I Shut Inclination:84.87 deg. TD-Walakpa 5101 2368 w 6-1/8" Target (Toe) I Date Rev by _Comments • 5/11/2011 M.Cook Well Planning Preparation 12/5/2011 M.Cook Well Planning Preparation 1/5/2012 k4.Cook Well Planning Preparation 5/1/2012 M.Cook AOGCC 10-407 Form Submittal I f JOB DATE T'11. LLIBURTOVis`' 01/28/12 OPERATOR DESCRIPTION CUSTOMER REPRESENTATIVE North Slope Borough Job Log Thor Kallestad/PRA DSM OPERATOR REPRESENTATIVE PROJECT CEMENTING CONTRACTOR PRA Barrow Gasfield Glen Fisher/HES Cementer WELL NAME RIGA WELL SECTION Walakpa 12 Kuukpik Rig 5 Intermediate Casing Time Volume Rate(BPM) Press(PSI) Job Description/Remarks (BBLS) (AVG) (MAX) (AVG) (MAX) 2200 Arrive on location 2200 Wait on rig to run casing 2215 Pre equipment spotting safety meeting 2230 Spot equipment on loacation 2300 Go over calculation with customer rep. 100 pre-job safety meeting 200 Mixing water at 100 deg.Cooled water down to 65 degrees 330 10.00 3.00 3.0 172 175 Pump 10 bbls fresh water 336 3500 Pressure test pumps and lines to 3500psi 340 40.00 3.00 3.0 225 225 Mix and pump 40 bbls dual spacer 353 Stop drop bottom plug 358 19.20 4.00 4.0 175 180 Mix and pump 90 sacks of Premium cement at 15.8ppg 403 stop drop top plug 407 20.00 4.00 4.0 72 72 Pump 20 bbls of fresh water 414 turn over to rig to displace with 9.6ppg mud Rig landed plug with 400psi bumped up to 900psi Rig down and leave location e<."111119:... r/ (7/2• Thor Kallestad/PRA DS en Fisher/HES Cementer i4.01%; fir, 14114.4. JOB DATE HALLIBURTON 01/20/12 OPERATOR DESCRIPTION CUSTOMER REPRESENTATIVE North Slope Borough Job Log Thor Kallestad/PRA DSM OPERATOR REPRESENTATIVE PROJECT CEMENTING CONTRACTOR PRA Barrow Gasfield Glen Fisher I HES Cementer WELL NAME RIG B WELL SECTION Walakpa 12 Kuukpik Rig 5 Surface Casing Time Volume Rate(BPM) Press(PSI) Job Description I Remarks (BBLS) (AVG) (MAX) (AVG) (MAX) 600 Safety meeting 700 Spot equipment 730 Rig up equipment 1210 Pre job safety meeting 1332 10.00 2.00 2.0 50 65 pump 10 bbls of fresh water 1340 0.50 0.5 3500 Pressure test pumps and lines 1411 40.00 2.00 2.0 23 35 Mix and pump 40 bbls of Dual spacer 1426 Drop bottom plug 1436 65.20 4.50 4.5 73 93 Mix and pump 85 sks of Type L 4.31cf/sk,21.24 gal/sk 1452 48.20 3.00 4.5 121 143 Mix and pump 285 sks of Type C,0.95cf/sk,3.68gal/sk 1532 Stop drop top plug 1532 10.00 2.50 2.5 25 25 pump 10 bbls of fresh water displacement Turn over to rig 1555 400 900 rig pumped 1250 stks and landed plug ' Rig landed plug at 400psi then brought up to 900psi Checked floats,floats held 50 bbls returns to surface ✓ ei s- — o aIlLs L-77 Thor Kallestad/PRA DSM Glen Fisher/HES Cementer ,30 • :.0 t nraxaNn`N.. WALAKPA#12 DAILY DRILLING REPORT 14-Jan-12 I Operator North Slope Borough Project Description Sas Fields Well ,Well Site Leaders Steve Hubbard/Joe McInnis ,,mg Program Weil Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 01-Jan @ 0001 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Propertykpa Well Site Phone (907)771-1021 Date/Time Move Rate Only Designation Wala Rig Release Current Depth ' Date/TimeO*b 101.5 MD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Days on Well -5 OART Confine rigging up-Continue to Rebuild Shakers Operations Next 24- Continue current operations. Continue commissioning eqpt- PLC and Pason thawing lines-Circulate pits.Building ice pad Hours techs here as contingencies-Build ice pad. OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY Start AllikFinl ` Hours Description Detail Daily Total 0600 Continue Running Low Pressure Mud Equipment-Build Steps for Office Buildings-Check 1.Rig Up/Rig Down 24.0 300.0 all Pit Probes to Pit Bull Load Test Pumps and Generators-Hand Cutting Shutes under 2.Drilling Rig-Work on 10 Valve to outside Flowline-Make up Power for Office to Rig-Load Pipe 3.Reaming 0600 24.0 Shed with Smart Tools-House Keeping-Winterize Lower Dewater House 4.Coring 5.Condition and Circulate __._--- ._------- - - 6.Trips 7.Lubricate Rig Spud Window 8.Repair Rig 17-Jan through 19-Jan. Most probable date Is-Jan19. See SIMOPS tab for details. 9.CIO Drill Line 10.Deviation Forcasted Weather 11.Wireline Log -20 w/30 Mile an Hour Wind Creating Chill factor of-55 12.Run Casing and Cement 13.Wait on Cement AOGCC Update 14.Nipple up BOP Lou Grimaldi AOGCC was notified yesterday for update on diverter test 15.Test BOP 1 DSMs will continue to update AOGCC daily. 16.Drill Stern Test I _ 17.Plugback 18.Squeeze Cement EB-15 Update 19.Fishing !Fr"• 20.Directional Work Tubing and annulus each remain-190 psi. • Dry Watch Other 60.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 408.0 DRILLING AND COMPLETION INFORMATION KBIT NUMBER SIZE(in) MFG TYPE _. I SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS OBD FT/HR • CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GL is 31.7' CEMENT PROGRAM _ ,,- Section _ 1_ OD(in) Weight(ppf) I Grade Thread _MD(ft)_ TVD(ft) Contractor CIP Type. Comments Conductor 16 84 L-80 Welded ' 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOC at-12'bgs. No u-tube PUMP#1 PUMP#2 DRILLING FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) Description 1 Daily I Cumulative Model _ WH-1000-A Model TSM1000 Weight(lbs/gal) Gels(sacks) . Liner Size(in) Liner Size(in) VIS(sec/qt) _ DrillTreat(55 gallon drum) Stroke(in) Stroke(in) PV(cp) Caustic Soda(sacks) BBL/STK @ 96% - BBL/STK @ 96% YP(Ibs/100ft°) Lime(sacks) SPM SPM Gels(Ibsl100ftZ) Sodium Bicarb(sacks) GPM GPM pH Citric AGdisacks) PSI PSI WL Baracarb(sacks) WELL CONTROL Sand(%) • Baroid 41(sacks) SPR Pump#1 SPR Pump#2 Solids(%) ( SPR Pump#1 SPR Pump#i LCM ' LOT EMW(ppg) CI(mg/L) _...- i DRILL STRING AND HYDRAULICS Ca(mg/L) SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) 011(%) Shaker Screens L Hours StringWelOM(k-lb) WOB(k-lb) PF/MF(ml) Pick Up(k-Ib) RPM Cake _ Slack Off(k-lb) TFA(in') Pit Vol(bbis) 1 Max Over Pull(k-lb) HHP @ Bit Hole(bbls) • I--- -_-r-- -- --- Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) - --- - --___-- ---- -- -- . CURRENT Item Description _+' OD(in) ID(in) ; Gauge(In)T BHA_Connection,; `;., Length(ft) Vendor Cumulative Length(ft) Hours BR • TOTAL BHA LENGTH: FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQIREPORT:} 12-Jan-12 I Vol(gal) Customer1 Vol(gal) Customer Vol(gal) Customer Vol(gal) Summary Quantities Vol(gal) Delivered 12-Jan283.0 Kuukpik(D) 283.0 PEAK(D) 2001.0 5,000-gallon Tank(G) Total Diesel Consumed 59,079.0 On Hand Today i Delta Lease(D) 556.0 BSS 23,000-gallon Tank(D) - Total Gasoline Consumed I 3,805.0 Used Today BGF Trucks(G) 203.0 AES(D) !NSB Equipment(D) Diesel Consumed Today _ 3,602 0 Used this Well 4,365.0 Halliburton(D) 208.0 Umiaq(D) ITikigaq Conam(D) F 554.0 Gasoline Consumed Today ' 203.0 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARYHSE SUMMARY Compal 1 -Position Count Est Hours Total Hours Notes __Incident Type y Today Comments Kuukpik Drilling Rig Crew 23 12 276 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-Cementing Cementing 3 13 39 Spill I 0 HES-BSS Baroid 2 13 26 Both individuals staying In Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GCI ,ITSetup 1 12 12 Umiaq Ops Support 7 13 91 Spill tech in camp.All others in Barrow Vetco Gray Wellhead _ Peak Ice Road/Move 34 13 442 Peak super in camp.All others in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutliq Camp Manager 1 112 12 - - TiklgeglC onam Facilities 3 12 36 T/C personnel staying at NARL Beacon Medic 1 1 __ 12 12 Dowtand-Bach Facilities �- _.Will return to Install part PRA HSE 1 t_ 12 12 i PRA Const Super 1 12 _ 12 I 5 PRA Company Rep 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 1115 • WALAKPA#12 DAILY DRILLING REPORT 15-Jan-12 E ias Fields Well - Operator North Slope Borough Project Description ..ng Program gram Well Site Leaders Steve Hubbard/Joe McInnis Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023.20040,00.00/211-159 Land Use Permit ~ NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 01-Jan @ 0001 Date/Time Move Rate Rig Contractor Kuukpik Wiling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Rig Release Current Depth 101.5 MD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 1 DART Confine rigging up,thawing lines pits.Building ice pad Operations Next 24- i Continue current operations. Begin commissioning eqpt;pumps,top drive,etc. Hours PLC and Pason techs incoming as contingencies. Build ice pad. OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY Start Finish_ ',,Hours Description Detail Daily Total 0600 Continue running low pressure mud equipment-Build steps to office buildings-Check all 1.Rig Up/Rig Down 24.0 300.0 pit probes to pit bull-Load test pumps/generators-Hang cuttings chutes under rig.Work on 2.Drilling 10"valve to outside flwline.-MU puwer for office to rig-Load pipe shed with smart tools. 3.Reaming 1200 6.0 House keeping-Winterize lower dewater house.-NU spacer/diverter spools-Install herculite pit liner 4.Coring 1200y 2400 12.0 pit liner r for fuel tank Install BOPE dolly-Replace hose on Hyster-PU and bolt up to diverter 5.Condition and Circulate _ 2400 0600 6.0 spool-Hammer up starter head to spacer spool-Install turnbuckles on stack-Load smart tools 6.Trips tools in pipe shed-Continue NU diverter system and misc rig up-Mix mud 7.Lubricate Rig _ Spud Window 8.Repair Rig 17-Jan through 21-Jan. Most probable date is-Jan19. See SIMOPS tab for details. 9.C/O Drill Line 10.Deviation Current Weather 11.Wireline Log -25F with-5 mph winds from the north • 12.Run Casing and Cement 13.Wait on Cement AOGCC Update 14.Nipple up BOP Lou Grimaldi AOGCC was notified yesterday for update on diverter test 15.Test BOP - DSMs will continue to update AOGCC daily. 16.Drill Stem Test 17.Plugback r-- 18.Squeeze Cement EB-15 Update 19.Fishing 20.Directional Work Tubing and annulus each remain-190 psi. • Dry Watch Other 60.0 TOTAL HOURS: 24.0 TOTAL HOURST 24.0 360.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS OBD FT/HR CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(in) ' Weight(ppf) • Grade i Thread j MD(ft) TVD(ft) Contractor CIP --- Type j Comments Conductor 16 84 L-80 Welded i 101.5 101.5 Halliburton 26-Dec-11©0330. "C"Permafrost TOC at-12'bgs. No u-tube PUMP#1 PUMP#2 Aprim FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) Description Daily,, Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gal) Gels(sacks) - - Liner Size(in) Liner Size(in) VIS(sec/qt) DrillTreat(55 gallon drum) _ Stroke(in) Stroke(in) PV(cp) Caustic Soda(sacks) BBL/STK @ 96% BBL/STK @ 96% YP(Ibs/100(tt) Limejsadks) ' SPM -_ SPM Gels(lbs/10062) _ Sodium Bicarb(sacks) GPM GPM pH Citric Acid(sacks) PSI PSI WL Baracarb(sacks) WELL CONTROL Sand(%) Baroid 41(sacks) SPR Pump#1 SPR Pump#2 Solids(%) SPR Pump#1 SPR Pump#2 I-_ ---- LCMLOT EMW(ppq) CI(mg/L) ' DRILL STRING AND HYDRAULICS Ca(mg/L) SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) Oil(%) Shaker Screens Hours String Weight(k-Ib) WOB(k-lb) PF/MF(ml) Pick Up(k-Ib) RPM Cake Slack Off(k-lb) TFA(int) Pit Vol(bbls) Max Over Pull(k-lb) HHP @ Bit Hole(bbls) Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) • CURRENT BHA Item Description 1 .OD(in) ID(in) l GAuge(In) Connection 1 Length(ft) I_Vendor_) Cumulative Length(ft) Hours BRT 1 TOTAL BHA LENGTH: • FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 12-Jan-12 Customer Vol(gal) Customer Vol(gal) l Customer . Vol(gal) , Customer Vol(gal) Summary Quantities Vol(gal) ' Delivered 12_Jan 283.0 Kuukpik(D) 283.0 PEAK(D) 2001.0 .5,000-gallon Tank(G) Total Diesel Consumed 59,079.0 On Hand Today Delta Lease(D) 556.0 BSS :23,000-gallon Tank(D) Total Gasoline Consumed 3,805.0 Used Today_ BGF Trucks(G) i203.0 AES(D) NSB Equipment(D) Diesel Consumed Today 3,602.0 Used this Well 4,365.0 Halliburton(D) I 208.0 Umiaq(D) Tikigaq Conam(D) 554.0 Gasoline Consumed Today 203.0 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Est Hours Total Hours Notes Incident Type Today ., Comments Kuukpik Drilling Rig Crew 23 12 276 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-Cementing Cementing 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting 0 _ HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GCI IT Setup 1 12 12 Umiaq Ops Support _ 7 13 91 Spill tech in camp.All others in Barrow _ Vetco Gray Wellhead _ - _ Peak Ice Road/Move 34 13 442 Peak super in camp.All others in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager 1 12 12 Tikigaq/Conam Facilities 3 12 36 T/C personnel staying at NARL Beacon Medic 1 • 12 12 Dowland-Bach Facilities Will return to Install part PRA HSE 1 12 12 ' PRA Const Super � 1 12 12 PRA Comp ESTIMATED TOTAL DAILY LA 12 24 _.-. y BOR HOURS: 1115 WALAKPA#12 DAILY DRILLING REPORT 16-Jan-12 Operator North Slope Borough Project Description E las Fields Well Well Site Leaders Steve Hubbard/Joe McInnis _.ng Program Weil Name Walakpa#12 CIP Number68090 Cell Phone (907)980-4206 API Si AOGCC 02320040.00-00/211-159 Land Use Permit I NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept rag wcceptea I 4- Date/Time Jan-12 @ 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukplk Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Rig Release • Current Depth 101.5 MD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (feet)rkb .__ PU drill pipe calibrating gas dectectors.Build Ice Operations Next 24- Days on Well 2 OART Pad Hours Continue current operations. Retest gas dectectors Build ice pad. OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY • stadilit Finish Hours Description Detail -Daily Total AI 0600 Diverter Lines/Koomey Hose Center Stack/rotary Table Mouse Hole 1.Rig Up/Rig Down 24.0 300.0 f 1200 6.0 P/U Jt DP/Attempt to function Hydrill Close/Open Knife Valve 2.Drilling _ 1200 RU Koorney Hoses to surface stack-Work on getting H2S&Gas Alarms Functional 3.Reaming 1600 4.0 Hang Light&Camera in Derrick-Remove Ice and Snow from Board-Mix Spud Mud- 4.Coring 1600 Function Test Surface Stack-Install two Studs in Knife Valve&Replace Bolts as needed 5.Condition and Circulate 2100 5.0 Continue working on Alarms-Orient for Gyro 6.Trips • 2100 Prep for Picking Up Drill Pipe-Move Halliburton BH Tools to pipe rack-Hang Tongs&put 7.Lubricate Rig 2400 3.0 Mouse Hole&Rotary-Warm up Hydraulics-Mouse Hole Extension froze in-Put Steam 8.Repair Rig down Mouse Hole and remove Extension 9.C/O Drill Line 1-----. 0:00 0600 6.0 PU Drill Pipe/Rabbit and Standback Same 10.Deviation Current Weather -18f/-40cf M 11.Wireline Log 4 _ 12.Run Casing and Cement 13.Walt on Cement AOGCC Update 14.Nipple up BOP 'Function test diverter system after changing short bolts on vent valve. Pass • 15.Test BOP Gas detector test failed.Retest this morn after re calibrating 16.Drill Stem Test 17.Plugback 18.Squeeze Cement EB-15 Update 19.Fishing Receiving flowback fluids from Savik#2(163 bbls) on 1/15/12 20.Directional Work Tubing and annulus each remain-190 psi. Dry Watch Other 60.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 360.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) ;,,,.i., MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS OBD FT/HR CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(in) Weight(ppf) Grade Thread MD(ft) TVD(ft) Contractor 1 CIP j __Type Comments i ,Conductor 16 84 L-80 i Welded 101.5 101.5 Halliburton 26-Dec-11@0330 ' "C"Permafrost TOC at-12'bgs. Nou-tube --+ - 1 - PUMP#1 PUMP#2 DRILLING FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp('F) Description Daily,.. Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gal) 8.5 Gels(sacks) Liner Size(in) Liner Size(in) j VIS(sec/qt) 39 DrillTreat(55 gallon drum) Stroke(in) Stroke(in)_ PV(cp) 7 _ Caustic Soda(sacksZ_-- BBL/STK @ 96% BBL/STK @ 96% YP(lbs/100ft2) 2 Lime(sacks) SPM SPM Gelslbs/100ft2 5/9/18 ( ) Sodium BicarbAacks) GPM GPM pH 7 Citric Acid(sacks) PSI PSI WL 100 Baracarb(sacks)Mir WELL WELL CONTROL Sand(%) Baroid 41(sacks) SPR Pump#1 SPR Pump#2 Solids(%) 1.3 SPR Pump#1 _I SPR Pump#2 LCM - LOT EMW(ppq) CI(mg/L) 500 DRILL STRING AND HYDRAULICS Ca(mg/L) 40 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) Oil(%) . _ Shaker 1 Screens Hours String Weight(k-Ib) WOB(k-Ib-) PF/MF(ml) 0/.2 Pick Up(k-lb) RPM Cake _-- 2 - -- Slack Off(k-Ib) TFA(ine) Pit Vol(bbls) 58 • Max Over Pull(k-Ib) HHP @ Bit Hole(bbls) Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) 530 • CURRENT - Item Description ': OD(in) ID(in) r Gauge(I Connection I Length(ft) ] Vendor I Cumulative Length(ft) ' . Hours BRT _ - I • TOTAL BHA LENGTH: ' FUEL CONSUMPTION TRACKING KUUKPIK RIG 65 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY f Vol (gal) ' Customer Vol(gal) Summary Quantities AQ REPORT: 15-Jan-12l) Customer Vol Customer (gal) Customer • Vol - -- DATE OF REFERENCED UMI Vol(gal) Delivered 14-Jan 2,063.7 Kuukpik(D) 940.0 PEAK(D) 1614.0 5,000-gallon Tank(G) Total Diesel Consumed I__ On Hand Today Delta Lease(D) 137.4 BSS 23,000-gallon Tank(D) Total Gasoline Consumed Used Today BGF Trucks(G) 221.0 AES(D) i 22.0 NSB Equipment(D) _ Diesel Consumed Today 3,254.0 Used this Well 4,365.0 Halliburton(D) 140.0 Urniaq(D) 50.0 ,Tikigaq Conam(D) • 495.0 Gasoline Consumed Today t 220.0 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count EM Hours Total Hours I Notes Incident Type T Today Comments Kuukpik Drilling Rig Crew 21 - 12 _252_ Illness 0 Kuukpik Drilling Tool Pusher -- 2 12 24 Injury 1 Rig Hand Hand Injury HES-Cementing Cementing 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GCI IT Setup 12 0 ' Umiaq Ops Support l 7 13 91 Spill tech in camp. All others in Barrow Vetco Gray Wellhead Peak Ice Road/Move 31 13 403 Peak super in camp.All others in Barrow Kuukpik Catering Gook/Clean 5 12 60 _ AIutlq Camp Man 1 12 12 TikigaglConam Facilities 2 12 24 T/C personnel staying at NARL Beacon Medic _ 1 12 12 Dowland-Bach Facilities Will return to install part PRA HSE ---- - 1 12 12 PRA Const Super -- 1 12 12 p - - PRA - Com_ann tRRep 2 12 2 24 i_ ESTIMATED TOTAL DAILY LABOR HOURS:, 1028 • WALAKPA#12 DAILY DRILLING REPORT 17-Jan-12 Operator North Slope Borough Project Description Eas Fields Well Well Site Leaders Steve Hubbard/Joe McInnis ,ng Program Wall Name W alakpa#12 CIP Number 68090 Cell Phone (907)980.4206 API#/AOGCC 023-20040-00-00/211-159 Land Use Permit Office Development Permit Office Phone (907)771-1002 (PTD#) #10-252 rug Accepter]14- --- -- _ _- -_------- Rig Accept @ g 9DrillingRig Property Designation Walakpa Well Site Phone (907 Date/Time Jan-12 1200 RI Contractor Kuukpik Drilling, Kuukpik #5 P )771-1021 u.� Rig Release Current Depth 101.5 MDTarget Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (fest)rkb Days on Well 3 i OART Prep to Spud Operations Next 24- Spud well and drill ahead Hours OPERATIONS SUMMARY asimi24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY Start Finish Hours Description Detail Daily Total _ 0600 1200 6.0 PU/MU 4"DP,rabbit same.Strap 17jts HWDP,PU and torque same 1.Rig Up/Rig Down 24.0 300.0 1200 1400 2.0 RIH w/HWDP tag at 94' 2.Drilling f r 1400 1500 • 1.0 MU standback 8 stands HWDP 3.Reaming ' f _ ---- -- -_. --------- 1500 1930 4.5 Change out drillers side air tugger line-construct weather shelter 4.Coring 1930 _ 2100 1.5 RU to PU BHA-RD DP tongs-RU HT65 tongs-Brin_ BIt and Bit breaker to floor 5.Condition and Circulate 2100 1 2200 1.0 Hang sheave and MU Gyro tool 6.Trips 2200 __{ 0230 4.5 RU test mud line-line froze-thaw line out-pt mud line to 2500 psi 7.Lubricate Rig 0230 0600 3.5 MU new 8"BHA#1 prep to down load MWD tools. 8.Repair Rig • 9.C/O Drill Line 10.Deviation Current Weather -27f/55cf 11.Wireline Log -- - _-- 12.Run Casing and Cement 13.Wait on Cement AOGCC Update 14.Nipple up BOP 'Retest gas detector system again,failed again.AOGCC insp required gas detector be 15.Test BOP repaired and tested again before we could spud.Repair and achieved a good test accepeted 16.Drill Stem Test by AOGCC resulting in approval to spud.Daily testing is required by AOGCC untill further 17.Plugback notice. 18.Squeeze Cement EB-15 Update 19.Fishing 20.Directional Work Tubing and annulus each remain-190 psi. Dry Watch Other _f-. 60.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 456.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET I BIT GRADE HRS OBD FT/HR 1 121/4 HDBS Milltooth 11748526 3x16,1x12 94 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GL is 31.T CEMENT PROGRAM Section OD(in) Weight(ppf) I Grade Thread 7 MD(ft) I TVD(ft) Contractor CIP I Type I Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOG at-12'bgs. No u-tube PIMP #1PUMP#2 NG FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(o F) DRILL Description Daily Cumulative Model WH-1000-A Model TSM1000 Weight(Ibs/gal) 8.5 Gels(sacks) Liner Size(in) ,Liner Size(in) VIS(sec/qt) 40 DrillTreat(55 gallon drum) Stroke(in) Stroke(in) PV(cp) 7 Caustic Soda(sacks) • BBL/STK©96% BBL/STK @ 96% YP(lbs/100ftx) 11 Lime(sacks) SPM SPM Gels(lbs/100ft2) 13/22/31 Sodium Bicarb(sacks) GPM GPM pH 7 Citric Acid(sacks) PSI PSI WL 100 Baracarb(sacks) _ WELL CONTROL Sand(%) Baroid 41(sacks) SPR Pump#1 SPR Pump#2 Solids(%) 1.2 SPR Pump#1 SPR Pump#2 LCM LOT EMW(ppg) CI(mglL) 510 DRILL STRING AND HYDRAULICS Ca(mglL) 40 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) -_ Oil(%) Shaker . ;Screens T Hours String Weight(k-lb) WOB(k-lb) PF/MF(ml) 0/.2 Pick Up(k-lb) RPM Cake 2 --- - --- -i - SlackOff(k-lb) TFA(inz) Pit Vol(bbls) 230 Max Over Pull(k-lb) HHP @ Bit Hole(bbls) Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) 60 r,.m�.*. CURRENT BHA 1 -"" 7,,, .-.`."' Item Description ': OD(In) _ID(in) Gauge(in) Connection I Length(ft) Vendor Cumulative Length(ft) Hours BRT 1 QHC1GRC Milltooth 9.000 3.000 12.250 P 6-5/8 1.01- 1.01 2 8"SperryDrill Lobe 4/55.3 stg 8.000 5.000 B 65/8 H90 30.68 31.69 3 Btm Sleeve Stabilizer 12.188 4 Float Sub 8.062 3.250 3 1/4 B 65/8 H90 _ 1.80 33.49 5 X-Over Sub 8.062 3.250 B 6-5/8 Reg - 2.00 35.49 6 8"DM Collar 8.000 3.250 B 6-5/8 Reg 9.20 44.69 7 Gamma/Res/HCIM 8.000 1.920 B 6-5/8 Reg 23.20 67.89 8 8"H0C 8.150 4.000 B 6-5/8 H90 9.78 77.67 9 Orienting Sub UBHO 7.875 2.875 B 6-5/8 H90 2.50 80.17 10 Flex Collar 7.812 2.813 B 6-5/8 H90 29.98 110.15 11 Flex Collar 8.062 3.312 B 6-5/8 H90 30.57 140.72 12 Flex Collar 7.885 3.250 B 6-5/8 H90 30.54 171.26 13 X-Over Sub 8.000 2.375 B 4-1/2 XH 2.60 173.86 14 Jar 6.120 2.750 B 4.1/2 XH 31.51 _ 205.37 15 X-Over Sub 5.937 2.500 B 4 Mod 2.62 207.99 16 4 X 2-9/16 HWDP#29.7-NC40(FH) 4.000 2.563 31.50 239.49 TOTAL BHA LENGTH: 239.49 FUEL CONSUMPTION TRACKING "e KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 16-Jan-12 Customer Vol(gal) Customer I Vol(gal) Customer Vol(gal) Customer !-- Vol(gal) Summary Quantities Vol(gal) Delivered 800.0 Kuukpik(D) 3272.0 PEAK(D) 1780.0 5,000-gallon Tank(G) Total Diesel Consumed Used this Well 5,200.0 Halliburton D 364.0 UmiaqD 23.0 Tikigaq Conam D (0) On Hand Today __ 4,800.0 Delta Lease(D) i 137.4 BSS 23,000-gallon TankTotal Gasoline Consumed • Used Today 1,850.0 BGF Trucks(G) +__240.0 AES(D) 24.0 NSB Equipment(D)- Diesel Consumed Today 5,966.0 ( ) ( ) g q ( ) 503.0 Gasoline Consumed Today 240.0 PERSONNEL AND HSE _ PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Est Hours Total Hours Notes Incident Type Today i Comments Kuukpik Drilling Rig Crew 21 12 252 Illness 0 1 Kuukpik Drilling Tool Pusher 2 12 24 Injury 1 Rig Hand Hand Injury HES-Cementing Cementing 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 -~ J HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting 0 -- HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GCI IT Setup , 12 0 __ Umiaq Ops Support 7 I 13 91 Spill tech in camp.All others in Barrow __ Vetco Gray Wellhead Peak Ice Road/Move 31 13 403 Peak super in camp. All others in BarrowAll __ Kuukpik Catering Cook/Cleaniir 1 5 12 60 Alutiiq Camp Manager 12 12 TlkigaglC onam I Facilities 2 12 24 T/C personnel staying at NARL Beacon Medic 1 12 12 Oasis __-- Sampling 2 12 24 i PRA HSE 1 12 I 12 PRA Const Super 1 12 • 12 PRA Company Rep 2 12 24 -... ESTIMATED TOTAL DAILY LABOR HOURS: 1052 WALAKPA#12 DAILY DRILLING REPORT 18-Jan-12 Operator North Slope Borough Project Description • Elas danWell Well Site Leaders Steve Hubbard/Joe McInnis Well Name Walakpa#12 CIP Number 88090 Cell Phone (907)9804208 API#/AOGCC 023.20040.00-00/211-159 Land Use Permit • NSB Development Permit Office Phone (907)771-1002 (PTD#) 010-252 Rig Accept ' rug Accepter'1n- Date/Time Jan-12 @ 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 u, Rig Release Current Depth 101.5 MD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time• i._ -.-...._--- (feet)rkb - - - -- _. Operations e 24- Days on Well 4 OART Drillingat 542' Continue drilling surface hole Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY Start Finish -Hours Description Detail Daily J Total 0600 0700 1.0 Continue PU BHA-orienting UHBO Sub-Upload Smart Tool 1.Rig Up/Rig Down 24.0 I 300.0 0700 0800 1.0 Trouble shoot DM tool,no signal between booth-repaired pin connection 2.Drilling 0800 0900 1.0 Re-upload Smart Tool to verify repairs-good _ 3.Reaming 0900 0930 0.5 MU XO with HWDP to drill cement in conductor 4.Coring 0930 1030 1.0 P{a,M for solid walk through rig verify valves and fluid flow 5.Condition and Circulate 1030 1100 0.5 Break circulation at 80'tighten leak on 4"valve on conductor 6.Trips 1100 1200 1.0 Wash/ream 80'to 96'Spud Walakpa 12 at 1200 hrs 1/17/12 7.Lubricate Rig 1200 1430 2.5 Drill from 96'to 204' 8.Repair Rig 1430 1530 1.0 POOH to 80' 9.C/O Drill Line 1530 1930 4.0 PU Flex collar-TIH tight at 103'work collar through 10.Deviation __ 1930 2100 1.5 PU Flex collar 11.Wireline Log __ 2100 2130 0.5 Shoot Gyro survey at 50'and 204' 12.Run Casing and Cement _ 2130 0600 8.5 Rotate and slide from 204 to 542 13.Wait on Cement --- - -- - - ----- 14.Nipple up BOP --- _ 15.Test BOP AOGCC-conduct daily gas detector test on rig's gas detection system as required by AOGCC 16.Drill Stem Test to establish a record of reliability 17.Plugback 18.Squeeze Cement Current Weather -6/-25cf 19.Fishing _ - ---- - 20.Directional Work EB-15 Dry Watch No fluds received or injected Other / 60.0 TOTAL HOURS: 24.0 TOTAL HOURS:• 24.0 456.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft). FEET BIT GRADE HRS OBD . FT/HR 1 121/4 r HDBS Milltooth 11748526 3x16,1x12 94 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS77EASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(In) I Weight(ppf) Grade I Thread MD(ft) TVD(ft) Contractor 7 CIP Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 3)0330 "C"Permafrost TOC at-12'bgs. No u-tube PUMP#1 PUMP#2 DRILLING FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer EllisWilliams Manufacturer TSM FL TempF 65 Description Model WH-1000-A Model TSM1000 Weight(lbs/gal) 9.2 Gels(sacks) ption i Daily--- Cumulative __ _.._ Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 41 DrillTreat(55 gallon drum) Stroke(in) 10 Stroke(in) 9 PV(cp) 9 Caustic Soda(sacks) BBIJSTK @ 97% - 0.059 BBL/STK @ 97% 0.076 YP(lbs/100ftz) 17 Lime(sacks) SPM _ 80 SPM 77 Gels(lbs/100kz) 8/20/29 Sodium Bicarb(sacks- GPM 198 GPM - 247 PH 7 Citric Acid(sacks) PSI PSI _--- WL _ 65 Baracarb(sacks) _ WELL CONTROL ``._ Sand(%) 3 Baroid 41(sacks) SPR Pump#1 SPR Pump#2 Solids(%) 6.5 SPR Pump#1 1 SPR Pump#2 LCM - - - LOT EMW(ppg) CI(mg/L) 1300 DRILL STRING AND HYDRAULICS Ca(mg/L) 120 SOLIDS CONTROL EQUIPMENT AVDP(fps) is AVDC(fps) rL.o c Oil(%) Shaker ! Screens 1 Hours String Weight(k-Ib) I WOB(k-lb) PF/MF(ml) 0/.4 Super G 70 12 Pick Up(k-lb) RPM Cake 3 Super G 35 12 Slack Off(k-lb) , TFA(in°) Pit Vol(bbls) 259 Super G 140 12 Max Over Pull(k-lb) • HHP @ Bit Hole(bbls) ! 45 Jet Vel(fps) dP 0 Bit(psi) Reserve(bbls) 55 -� -, _ CURRENT BHA 1 Item :moi Description OD(in) TID(In) TGsuge(in) Connectlon -Len Length.00 i_Vendor Cumulative Length(ft) 0600 9 � ) 1 1 QHC1GRC Milltooth 9.000 3.000 12.250 _ _ P6-5/8 I 1.01 1.01 2 8"SperryDrill Lobe 4/5-5.3 stg 8.000 ( 5.000 B 6.5/8 H90 1 30.68 31.69 3 Btm Sleeve Stabilizer 12.188 4 Float Sub 8.062 3.250 3 1/4 B 6.5/8 H90 - 1.80 33.49 - 5 X-Over Sub 8.062 3.250 B 6-5/8 Reg 2.00 35.49 6 8 DM Collar 8.000 3.250 B 6-5/8 Reg 9.20 44.69 7 Gamma/Res/HCIM 8.000 1.920 B 6-5/8 Reg 23.20 67.89 8 8'HOC 8.150 4.000 B 6-5/8 H90 9.78 77.67 9 Orienting Sub UBHO 7.875 2.875 B 65/8 H90 2.50 80.17 10 Flex Collar 7.812 2.813 B 8-518 H90 29.98 110.15 11 Flex Collar 8.062 3.312 B 65/8 H90 30.57 140.72 12 Flex Collar 7.885 3.250 B 6-5/8 H90 30.54 171.26 _ 13 X-Over Sub 8.000 2.375 B 4-1/2 XH 2.60 173.86 14 Jar_ 6.120 2.750 B 4-1/2 XH 31.51 205.37 15 ---'-X-Over Sub 5.937 2.500 B 4 Mod 2.62 207.99 __ 16 4 X 2-9/16 HWDP#29.7-NC40(FH) 4.000 2.563 31.50 239.49 TOTAL BHA LENGTH:r 239.49. FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT:] 17-Jan-12 Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Summary Quantities Vol(gal) Delivered 16-Jan 2,063.7 Kuukpik(D) 3406.0 Tikigaq/Comm(D) 652.0 5,000-gallon Tank(G) Total Diesel Consumed On Hand Today Delta Lease(DI BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed Used Today Umiaq(D) 175.0 AES(D) 29.0 NSB Equipment(D) Diesel Consumed Today 1 6,295.0 Used this Well 4.365.0 Peak(D) 1482.0 Halliburton(D) 551.0 IBGF(G) 370.0 Gasoline Consumed Today 370.0 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Est Hours Total Hours Notes IncidentTYPe �' � Today Comments .1 Kuukpik Drilling Rig Crew 23 12 276 • Illness 0 _ Kuukpik Drilling Tool Pusher 2 12 24 Injury 1 Rig Hand Hand Injury HES-Cementing Cementing 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barroww/HES Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss • 0 GCI IT Setup 12 0 Umlaq Ops Support_ - 7 13 91 'Spill tech in camp. All others in Barrow Vetco Gray Wellhead Peak Ice Road/Move 31 13 403 Peak super in camp.All others in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq 'CampManager112 12 12 Tikigaq/Conam Facilities 2 -rt 12 24 T/C personnel staying at NARL Beacon Medic 1 12 12 Oasis Sampling 2 12 24 PRA HSE 1 12 12 PRA Const Super I 1 12 12 I PRA Company Rep 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 1076 WALAKPA#12 DAILY DRILLING REPORT 19-Jan-12 • Operator North Slope Borough Project Description E Sas Fields Well Well Site Leaders Steve Hubbard/Joe McInnis ..rig Program Well Name Walakpa#12 CIP Number 68090 4 Cell Phone (907)980.4206 API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept nig Accepter,14- Date/Time Jan-12 @ 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation • Walakpa Well Site Phone (907)771-1021 Rig Release u c Current Depth 1170' Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 5 1 OART Unplug Flowline-Circulate Hole Clean Operations Next 24- ! Circ and Condition Hole-POOH-LD BHA-Prep tp RU To Run CSG-Land Hours Csg-RU and Prep Cmt OPERATIONS SUMMARY .-,..;:... 24-HOUR ACTIVITY SUMMARYCUMULATIVE OPERATIONS SUMMARY Start Finish i Hours 1 Description 711100110.01111k7Detail DallyJ Total • 0600 1030 4.5 Drill from 542'to 730' 1.Rig Up/Rig Down ' 300.0 1030 1130 1.0 Clean Screens and Circulate 2.Drilling 20.0 31.5 I - 1130 1200 0.5 Drill from 730'to 769' 3.Reaming 1200 2400 12.0 Drill from 769'to 1095' 4.Coring 7- 0000 0030 0.5 Drill from 1095'to 1105' 5.Condition and Circulate 4.0 4.5 0030 0230 2.0 •Unplug Flowline-Circulate Hole Clean 6.Trips 33.5 _ i 0230 0500 2.5 Drill from 1105'to 1170' 7.Lubricate Rig - -. ----. _.- 0500 0600 1.0 Unplug Flowline-Circulate Hole Clean 8.Repair Rig • 9.C/O Drill Line Hoist Wt 52 K/Slack Wt 50K 10.Deviation 2.0 Rot Wt 50K 11.Wireline Log 12.Run Casing and Cement MD Inc Dir VD Lat Departure Verticle Section Dogleg 13.Wait on Cement 1071.01 25.32 100.84 1042.03 36.08 198.87 202.10 4.04 14.Nipple up BOP 22.0 1129.17 27.54 101.58 1094.11 41.12 224.26 227.98 3.86 15.Test BOP 5.0 AOGCC-conduct daily gas detector test on rig's gas detection system as required by AOGCC 16.Drill Stem Test to establish a record of reliability 17.Plugback 18.Squeeze Cement Current Weather -9/F 10 MPH Wind 19.Fishing 20.Directional Work - _ EB-15 Dry Watch _- Received 35 BBL5 from Savik#2 Flowback-Received 283 BBLs Fluids from Rig-Continue Other 13.5 TOTAL HOURS: 24.0 with Trevor working on Boiler and Monitoring Equipment-Installed 1/8 Strainers Baskets TOTAL HOURS: 24.0 456.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft), FEET BIT GRADE HRS OBD _ FT/HR-_- 1 121/4 HDBS Milltooth 11748526 3x16,1x12 94 1170' 1.076 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(In) Weight(ppf) Grade Thread ,SID(ft) TVD(ft) Contractor ICIP rType Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOO at-12'bgs. No u-tube _.. Imo ,I_--- -- - ____. • PUMP#1 PUMP#2 DRILLING FLUID PROPERTIES MIM!-, DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp CF) tion , Daily Cumulative ) 73 Description P Model WH-1000-A Model TSM1000 Weight(lbs/gal) 9.5 Gels(sacks) 65 Liner Size(in) 5 Liner Size(in 6 VIS(sec/qt) 44 DrillTreat(55 gallon drum) Stroke(in) 10 Stroke(in) 9 _PV(cp) 14 Caustic Soda(sacks) BBL/STK @ 97% 0.059 BBL/STK @ 97% 0.076 YP(Ibs/100ft2) 9 _ Lime(sacks) _ SPM 87 SPM 85 Gels(Ibs/100(t2) 4/10/17 Sodium Bicarb(sacks) GPM 215 GPM 272 pH 7 Citric Acid(sacks) PSI PSI WL 15 Baracarb(sacks) - WELL CONTROL Sand(%) _- 1.5 Barold41(sacks) SPR Pump#1 _ SPR Pump#2'SPR Pump#2 _Solids(%) 8.7 =•RA-DEFOAM HP(5 GAL LCM DEXTRID LT(SAS) _PAIL 2SPR Pump#1 j ALOT DP W(ppg) DRILL ISTRING AVDCHYDRAULICS Ca(mg/L) 180 DESCO CHhSOLIDS CONTROL EQUIPMENT «) P I (%) 1-Screens Hours Strin1Weight(k-lb) WOB(k-Ib) 17000 PF/MF(ml) 0/.7 Super G 70 i 24 Pick Up(k-Ib) RPM Cake 2 Super G t 100 24 Slack Off(k-Ib) !TFA line) 0.699 Pit Vol(bbls) 362 Super G 140 24 Max Over Pull(k-Ib) HHP @ Bit 1.02 Hole(bbls) 192 Jet Vel(fps) 223 dP @ Bit(psi) • 422 Reserve(bbls) 38 •• CURRENT BHA 1 •:.1. - Item__ __ Description , OD(in) ID(in) Gauge(in) Connection Length + Vendor Cumulative Length(ft)...q1 . 0 1 OHC1GRC Milltooth 9.000 3.000 12.250 P6-5/8 • 1.01 1.01 -- 2 _18"SperryDrill Lobe 4/5-5.3 stg 8.000 5.0.00 B 6-5/8 H90 30.68 31.69 _ 3 Btm Sleeve Stabilizer 12.188 4 Float Sub 8.062 3.250 3 1/4 B 6-5/8 H90 1.8033.49 5 .X-Over Sub 8.062 3.250 B 6-5/8 Reg 2.00. 35.49 __- 6 8"DM Collar 8.000 3.250 B 6-5/8 Reg 9.20! 44.69 7 Gamma/Res/HCIM 8.000 1.920 B 6-5/8 RN 23.20 67.89 8 8"HOC 8.150 4.000 B 6-5/8 H90 9.78 77.67 9 Orienting Sub UBHO 7.875 2.875 B 6.5/8 H90 2.50 80.17 _ 10 Flex Collar 7.812 2.813 B 6-5/8H90 29.98 110.15 11 Flex Collar 8.062 3.312 B 65/8 H90 30.57 140.72 _ 12 Flex Collar 7.885 3.250 B 6-5/8 H90 30.54 171.26 13 X-Over Sub 8.000 2.375 B 4-1/2 XH 2.60 173.86 14 Jar 6.120 2.750 8 4-1/2 XH 31.51 205.37 15 X-Over Sub 5.937 2.500 B 4 Mod 2.62 207.99 -- 16 4 X 2-9/16 HWDP#29.7-NC40(FH) 4.000 2.563 31.50 239.49 1 -_---_ -- - TOTAL BHA LENGTH: 239.49 '• FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 17-Jan-12 Customer Vol(gal) Customer Vol(gal) j Customer I Vol(gal) Customer 1 Vol(gal) Summary Quantities Vol(gal) Delivered 16-Jan 1,788.0 Kuukpik(D) 3406.0 Tikigaq/Conam(D) 652.0 5,000-gallon Tank(G) Total Diesel Consumed On Hand Today 5,100.0 Delta Lease(D) 895(DI 23,000-gallon Tank(D) Total Gasoline Consumed Used Today 2,388.0 Umiaq(D) 175.0 AES(DI 29.0 NSB Equipment(D) Diesel Consumed Today 6,295.0 Used this Well 6,753.0 Peak(D) 1482.0 Halliburton(D) 551.0 BGF(G) 370.0 Gasoline Consumed Today 370.0 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Est Hours Total Hours1 Notes Incident Type Today Comments Kuukpik Drilling !Rig Crew 23 12 276 Illness 0 • Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 -- HES-Cementing _HES-Cementing Cementing 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 I Both individuals staying in Barrow w/HES Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Csg Crew 2 12 24 Umiaq Ops Support I 7 13 IIIEIMI Spill tech in camp.All others in Barrow Vetco Gray Wellhead 2 12 Peak Rig Support _ 4 _ 13 ©5 Peak Personnel in Barrow-Rig Support Only Kuukpik Catering_ Cook/Clean I- 5 12 0 Alutilq Camp Manager r-- 1 _.. 12 ® - - ----...------._- -- t -_ Tikigaq/Conam Facilities 0 0 • • Beacon Medic 1 12 12 Oasis Sampling 2 12 24 PRA HSE 1 12 12 ------ -_- PRA Const Super 1 12 12 Mat out Today PRA CompanyESTIMATED TOTAL DAILY LA 12 24 BOR HOURS: 749 WALAKPA#12 DAILY DRILLING REPORT Jan 20 2012 Operator • North Slope Borough Project Description B as Fields Well ;Well Site Leaders I Steve Hubbard/Joe McInnis _,ng Program Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)9804206 API#/AOGCC 02320040.00.00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept rug Accepted 14- Date/Time -Jan-12 @ 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa i Well Site Phone (907)771-1021 _urs ' _.-- --- Rig Release Current Depth 1207'Surface Hole TD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 6 OART Running 9 518"CSG Operations Next 24- Finish Running CSG-CMT-WOC-ND Diverter Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY - _ Hours Description Detail Daily Total 0600 08302.5 Finish Cleaning up Packed Off Flowline 1.Rig Up/Rig Down 300.0 0830 1000 1.5 Circulate&Condition Hole 2.Drilling 1.5 33.0 1000 1100 1.0 Drill from 1170'to 120T-Final TD for Surface Hole 3.Reaming 1100 1300 2.0 Circulate condition hole 4.Coring 1300 1500 2.0 Short trip toLrs___ 5.Condition and Circulate 7.5 12.0 1500 1630 1.5 RBIH to 120T 6.Trips 10.0 43.5 1630 1830 2.0 Circulate condition hole-pump vis pill 7.Lubricate Rig 1830 2030 2.0 Flow ck well-POOH 8.Repair Rig - 2030 0030 4.0 LD BHA down load MWD 9.C/O Drill Line 0030 RU to run casing-PJSM 10.Deviation 2.0 0400 3.5 Make dummy run with casing hanger- LD Same-RU Tongs 11.Wireline Log 0.4.00 Run 9-5/8 40#L-80 BTC-M csg _. 12.Run Casing and Cement 5.0 5.0 Run CSG-CK Floats-OK 13.Wait on Cement 0600 2.0 Fill each joint-top off each 5 joints 14.Nipple up BOP 22.0 15.Test BOP 5.0 16.Drill Stem Test Notified AOGCC with required 48 Hr Advance of Testing 17.Plugback 18.Squeeze Cement AOGCC-conduct daily gas detector test on rig's gas detection system as required by AOGCC 19.Fishing to establish a record of reliability-Daily Test being conducted and sent to AOGCC 20.Directional Work • Dry Watch I Hoist Wt 52 K/Slack Wt 50K Other 13.5 TOTAL HOURS: 24.0 Rot Wt 50K TOTAL HOURS: 24.0 456.0 DRILLING AND COMPLETION INFORMATION „ gra____ ,,i SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) •DEPTH OUT(ft).. FEET • BIT GRADE HRS OBD FT/HR 1 i 121/4 HOBS Milltooth 11748526 306,1312 94 1,207 1,113 • CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GL is 31.7' _ CEMEN T PROGRAM Section l OD(in) _:Weight(ppf) Grade Thread MD(ft) TVD(ft) Contractor _ ( CIP i Type Comments Conductor 1684 5-80 Welded 101 5 101 5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOC at-12'bgs. No u-tube PUMP#1 PUMP#2 DRILLING FLUID PROPERTIES ' % DRILLING FLUID INGREDIENTS Manufacturer • Ellis Williams Manufacturer TSM FL Temp(CF) _ 0 Description Daily Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gal) 9.5 Gels(sacks) 4 Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 36 OrlllTreat(55 gallon drum) Stroke(in) 10 Stroke(in) 9 PV(cp) 13 _ Caustic Soda(sacks) IBBUSTK @ 97% 0.059 BBL/STK @ 97% 0 076 YP(lbs/100ft') 8 Lime(sacks) SPM 0 SPM 0 Gels(lbs/10062) 5/10/16 Sodium Bicarbisacks) GPM 0 GPM 0 __ pH _ 8 CWicAcid(sacks) PSI PSI r WL 15 Baracarb(sacks) WELL CONTROL Sand(%) _ _ 2 Baroid 41(sacks) 60 SPR Pump#1 SPR Pump#2 Solids(%) 8.7 3ARA-DEFOAM HP(5 GAL PAIL SPR Pump 141 SPR Pump#2 _ LCM DEXTRIDLT(SACKS) LOT EMW(ppg) CI(mg/L) 1000 DESCOCHROME FREE(SX) I DRILL STRING AND HYDRAULICS Ca(mg/L) 100 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) Oil(%) Shaker Screens Hours String Weight(k-lb) WOB(k-lb) _... PF/MF(ml) 0/.5 Super G 70 24 Pick Up(k-Ib) RPM Cake 2 Super G 100 24 _ Slack Off(k-Ib) TFA(in') Pit Vol(bbls) 313 Super G 140 __ 24 Max Over Pull(k-lb) HHP @ Bit Hole(bbls) 232 - Jet Vel(fps) dP 0 Bit(psi) Reserve(bbls) 26 CURRENT BHA 1 Item 1 Description illW,OD(in) ) ID(in) Gauge(in) Connection , Length_(ft) _Vendor ( Cumulative Length(ft) 0 1 QHC1GRC Milltooth 9.000 3.000 12.250 P 6-5/8 1.01� 1.01 2 8"SperryDrill Lobe 4/5-5.3 stg 8.000 5.000 B 6-5/8 H90 30.68 31.69 3 Btm Sleeve Stabilizer 12.188 4 Float Sub 8.062 3.250 3 1/4 B 6.5/8 H90 1.80 33.49 5 X-Over Sub 8.062 3.250 _ B 6-5/8 Reg 2.00 35.49 6 i 8"DM Collar _ 8.000 3.250 B 6-5/8 Reg 9.20 44.69 7 Gamma/Res/HCIM 8.000 1.920 B 6-5/8 Reg 23.20 67.89 8 8"HOC 8.150 4.000 B 6-5/8 H90 9.78 77.67 9 Orienting Sub UBHO 7.875 2.875 B 6-5/8 H90 2.50 80.17 10 Flex Collar 7.812 2.813 B 6-5/8 H90 29.98 110.15 11 Flex Collar 8.062 3.312 B 65/8 H90 30.57 140.72 12 Flex Collar 7.885 3.250 B 6-5/8 H90 30.54 171.26 13 X-Over Sub 8.000 2.375 B 4-1/2 XH 2.60 173.86 14 Jar 6.120 2.750 B 4-1/2 XH 31.51 205.37 15 X-Over Sub 5.937 2.500 B 4 Mod 2.62 207.99 16 4 X 2-9/16 HWDP#29.7-NC40(FH) 4.000 2.563 31.50 239.49 TOTAL BHA LENGTH: 239.49 . -_..-.--- --f- -------- FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 17-Jan-12 Customer Vol(gal) Customer I Vol(gal) Customer Vol(gal) Customer Vol(gel) _ Summary Quantities I Vol(gal) Delivered 16-Jan 1,788.0 Kuukpik(D) 333.8 Tikigaq/Conam(D) 617.7 5,000-gallon Tank(G) Total Diesel Consumed 1 87,348.0 On Hand Today 5,100.0 Delta Lease(D) BSS(D) 23,000 gallon Tank(D) _ Total Gasoline Consumed 4,954.5 Used Today 2,388.0 Umiaq(D) 70.0 AES(D) 26.0 NSB Equipment(D) Diesel Consumed Today i 3,150.7 Used this Well 6,753.0 Peak(D) 1574.5 Halliburton(D) 519.0 IBGF(G) 312.9 Gasoline Consumed Today 312.9 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Est Hours 1 Total Hours Notes Incident Type Today Comments Kuukpik Drilling Rig Crew I�_- 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-Cementing Cementing _-_ 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 _ GBR Csg Crew 2 12 24 Umiaq Ops Support 7 13 91 Spill tech in camp.All others in Barrow Vetco Gray Wellhead ' 2 12 24 ' Peak Rig Support 5 13 65 15 Peak Personnel In Barrow-Rig Support Only Kuukpik Catering Cook/Clean 5 12. 60 Alutiiq Camp Manager 112 12 Beacon Medic 1 12 12 Oasis Sample Catchers 2 I_ 12 24 PRA 'DSM 112 12 PRA DSM 1 12 12 PRA !Const Super i 0 Sperry_ Directional/MWD i 4 12 48 Total Personnel in Camp 54 --- ESTIMATED TOTAL DAILY LABOR HOURS:! 774 WALAKPA#12 DAILY DRILLING REPORT Jan 21 2012 as Fields Well Operator - North Slope Borough Project Description B tg Program Well Site Leaders Steve Hubbard/Joe McInnis Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10.252 Rig Accept t<pT4 Date/Time Jan-12 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designatlan Walakpa Well Site Phone (907)771-1021 Rig Release Current Depth 1207'Surface Hole TD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 7 DART Nipple Down Diverter system OperatlOna Next 24- Finnish ND Diverter/Clean Cellar/NU Well head/NU BOPEITest BOPE H• ours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY StartFinish .;Hours I Description Detail Daily Total _0600 Finish RIH w/9-5/8 csg-total 29 jts-40ppf-L-80-BTC-M-14 cent-2 stop rings-1 ea fit shoe/fit 1.Rig Up/Rig Down 300.0 0930 3.5 collar-with shoe at 1194.47' 2.Drilling 33.0 0930 1030 1.0 Clear floor of csg running tools-RU cmt equip 3.Reaming I 1030K:':' 2.5 CBU 2x-PJSM prior to cementing 4.Coring 1300Test lines to 2500psi-mix/pump 1Obbls H2o-40bbls spacer-drop btm plug-pump 65bbls _ 5.Condition and Circulate 2.6 14.5 Type L cmt-48bbls Type C cmt-Drop top plug-Disp w/10bbls H20-74bbls mud-Bump plug 6.Trips _ 1.0 44.5 _ 1600 3.0 w/400psi-inc press to 900psi-hold 5 mins-bleed of flt holding.C1P at 1600 hrs. 7.Lubricate Rig 1600 Blow down surface lines-clean possum belly-clear floor of ant equip-remove flow line-clean 8.Repair Rig 0200 10.0 pits-prep to ND diverter-pull rotary table-bell nipple-pu bope slings-prep cellar for ND 9.C/O Drill Line 0200 0430 2.5 •PJSM prior to ND Hydril-clean Hydrill-clean rotary beams-clean out diverter spool and LD same. 10.Deviation 2.0 0430 0600 1.5 Start cleaning out teller to remove spacer spool/starting head and access for Vetco-Gray 11.Wireline Log - Conam to orient wellhead instalation. _j 12.Run Casing and Cement 16.5 21.5 / 13.Wait on Cement •teIL‘''{ 14.Nipple up BOP 4.0 26.0 15.Test BOP 5.0 16.Drill Stem Test 'Notified AOGCC with required 48 Hr Advance of Testing 1/19/12 2100 hrs 17.Plugback 18.Squeeze Cement _ _ AOGCC-conduct daily gas detector test on rig's gas detection system as required by AOGCC 19.Fishing _ to establish a record of reliability-Daily Test being conducted and sent to AOGCC 20.Directional Work -_... -_.- _.. . Dry Watch Hoi TOTAL HOURS: 24.0 Rots WI 50K TOTAL HOURS:1 K/Slack Wt 50K 1. Other 13.5 _.. 24.0 �' 460.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) I MFG I TYPE I SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET . BIT GRADE HRS OBD FT/HR 1 121/4 HDBS Milltooth 11748526 3x16.1x12 94 i 1,207 1,113 • CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD( _n) _Weight(ppf) 7 Grade 1 Thread r MD(ft) TVD(h) Contractor I CIP j _ Type I Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 I 40I L-80 BTC-M 1194 1,161 Halliburton 20-Jan-12/@ 1600 "L" "C" Surface PUMP#1 PUMP?2 DRILLING FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams 'Manufacturer TSM FL Temp("F) 0 Description Daily I Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gal) i 9.5 Gels(sacks) Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 37 DrillTreat(55 gallon drum) StokeSin) _ 10 Stroke(in) 9 PV(cp) 7 Caustic Soda(sacks)_ BBL/STK@97% 0.059 BBL/STK @ 97% 0.076 VP(Ibs/1000ft2) -__- 5 Lime(sacks) _-- SPM 0 SPM 0 Gellbs/100ft2) 3/6/9 Sodium BicarbSpacks) 2 GPM 0 GPM 0 pH 7 Citric Acid(sacks) _ 1 _. PSI PSI WL 15 Baracarb(sacks WELL CONTROL Sand(%) 2.5 Baroid 41(sacs) SPR Pump#1 SPR Pump#2 Solids(%) 8.7 SARA-DEFOAM HP(5 GAL PAIL SPR Pump#1 ii_i SPR Pump#2 LCM DEXTRID LT(SACKS) LOT EMW(ppg) CI(mg/L) 1100 DESCO CHROME FREE(SX) 1 AVDP(fps) DRILL STRINGAND AVDC HYDRAULICS Ca(%)/L) --- 60 - - _ ShakerSOL CONTROLfScrreeenEQUIPMENT Moue _ String Weight(k-lb) WOB(k-Ib) PF/MF(ml) 0/.3 Super G Ilrr 70 s 11 16 i. Pick Up(k-lb) RPM - - - Cake Super G , 100 16 C Slack Off(k-Ib) TFA(in') Vol(bbls) 206 Super G i, 140 16 Max Over Pull(k-lb) HHP©Bit Hole(bbls) 93 Jet Vel(fps) dP©Bit(psi) Reserve(bbls) 20 CURRENT BHA 1 Item I _ Description OD(in) ID(in) Gauge(in) -__ Connection I.• Length(ft) 1_Vendor - Cumulative Length(ft) I 0 1 OHC1GRC Milltooth 9.000 3.000 12.250 P 6-5/8 1.01 1.01 2 8 SperryDnll Lobe 4/5.5.3 stg 8.000 5.000 B 6.5/8 H90 30.68 31.69 3 Btm Sleeve Stabilizer _ 12.188 _ 4 Float Sub 8.062 3.250 3 1/4 B 6.5/8 H90 1.80 33.49 5 X-Over Sub 8.062 3.250 B 6-5/8 Reg 2.00 35.49 _ 6 8"DM Collar 8.000 3.250 B 6-5/8 Reg 9.20 44,69 7 ag_Gamma/Res/HCIM 8.000 i 1.920 B 6-5/8 R ) 23.20 67.89 8 1 8 HOC 8.150 i 4.000 B 6-5/8 H90 9.78 77.67 9 'Orienting Sub UBHO 7.875 2.875 B 6-5/8 H90 2.50 80.17 10 Flex Collar 7.812 2.813 B 65/8 H90 29.98 110.15 11 Flex Collar 8.062 3.312 B 65/8 H90 30.57 140.72 _ 12 Flex Collar _ 7.885 3.250 B 6-5/8 H90 30.54 171.26 _ 13 X Over Sub 8.000 2.375 B 41/2 XH 2.60 173.86 14 Jar 6.120 2.750 B 4-1/2 XH 31.51 _ 205.37 _ 15 _X-Over Sub 5.937 2.500 B 4 Mod • 2.62 207.99 16 4X2-9/16HWDP#29.7-NC40(FH) 4.000 2.563 31.50 239.49 TOTAL BHA LENGTH: 239.49 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVER Y SUMMARY DATE OF REFERENCED UMIAQ REPORT: 17-Jan-12 Customer Vol(Wal) Customer Vol(gal) Customer Vol(gal) -I - Customer Customer Vol(gal) Summary Quantities Vol(gal) t Delivered 19-Jan 1,200.0 Kuukpik(D) • 5582.0 Tikigaq/Conam(D) 552.0 5,000-gallon Tank(G) Total Diesel Consumed 87,348.0 On Hand Today 5,800.0 Delta Lease(D) 807.0 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 4,954.5 Used Today I 1,900.0 _ Umiaq(D) 168.0 AES(D) 30.0 NSB Equipment(D)_ Diesel Consumed Today3,150,7 Used this Well 8,653.0 Peak(D) 1771.0 Halliburton(D) 407.0 !BGF(G) 279.0 Gasoline Consumed Today 312.9 PERSONNEL AND HSE It PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company 1 - Position j Count Est Hours Total Hours Notes Incident Type Today Commentiii Kuukpik Drilling Rig Crew 24 12 288 Illness 0 Kuukpik Drilling Tod Pusher 2 12 24 Injury 0 _ HES Cementing Cementing i 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 ,Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor --. 2 12 24 ;Both individuals staying In Barrow w/HES Bear Sighting 0 HES Supervisor 1 - 13 13 I HES supervisor staying in Barrow Near Miss 0 GBR Csg Crew 12 0 41 Umiaq Ops Support 7 13 91 Spill tech in camp. All others in Barrow Vetco Gray I Wellhead L. 2 12 24 Peak I Rig Support 5 13 65 15 Peak Personnel in Barrow-Rig Support Only KuiA ikcatering Cook/Clean 5 -) 12 60 Alutiiq I Camp Manager 1 f-- 12 12 1 Beacon Medic 1 12 12 1 _ - _ Oasis Sample Catchers 2 12 24 PRA DSM 1 12 12 PRA DSM 1 12 12 I PRA 'Const Super 0 _ Sperry Directional/MWD 4 12 i 48 Total Personnel in Camp- 54 ESTIMATED TOTAL DAILY LABOR HOURS: 774 • WALAKPA#12 DAILY DRILLING REPORT Jan 22 2012 _...._ Description " ....B as Fields Wet _._.--- Operator North Slope Borough Project DescriWell Site Leaders Steve Hubbard/Joe McInnis ram 1 1Neti Name Walakpa#12 CIP Number 68090 1 Cell Phone (907)980-4206 • API#/AOGCC 023-20040-00-00/211-159 Land Use PeNSB Development Permit rmit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept rag/cceptea ia-t DatelTime Jan-12 @ 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Rig Release Current Depth 1207'Surface Hole TD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 8 OART NU BOPE Operations Next 24- Finish NU and Test BOPE-PU BHA#200 Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY Start _;_ „ Finish 1111rHours Description Detail Daily ' Total 0600 0800 2.0 Continue cleaning cellar,remove ice chunks and solids 1.Rig Up/Rig Dawn 300.0 0800 Tie into spacer spool with cap-remove bolts from starting head/spacer spool.Remove and 2.Drilling 33.0 _ 1000 2.0 clean same. 3.Reaming 1000 _ 1300 3.0 Continue clean cellar-remove ice chunks and solids-clean pits#6,5,4,3-fill pre mix mud • 4.Coring 1300 Remove Vetco-Gray starting head-install wellhead to accept 9-5/8 adapter flange-test • 5.Condition and Circulate 14.5 1800 5.0 wellhead 5000 psi 10 mins ok-install wellhead sweeps with peddle vivs. 6.Trips 44.5 1800 2400 6.0 iI Install 6'spool-lower gate viv with HCR-middle gate blinds and upper rams. 7.Lubricate Rig 2400 0200 2.0 I PU install and bolt up Hydril-install flow nipple-install rotary table-mix LSND mud 8.Repair Rig 0200 0600 4.0 NU-BOPE-Install choke and kill lines. 9.CIO Drill Line 10.Deviation 2.0 Note:AES Flowback Tank will be hauled to bldg 36 for thaw out/clean up in preparation 11.Wireline Log 12.Run Casing and Cement 21.5 • 13.Wait on Cement Note:Good CMT Returns to Surface-Approximate) 70 BBLS 14.Nipple up BOP 24.0 50.0 15.Test BOP 5.0 AOGCC-John Crisp called and Waivered BOPE Test 6:00 AM this date 16.Drill Stem Test Notified AOGCC with required 48 Hr Advance of Testing 1/19/12 2012 17.Plugback 18.Squeeze Cement AOGCC-conduct daily gas detector test on rig's gas detection system as required by AOGCC 19.Fishing _ to establish a record of reliability-Daily Test being conducted and sent to AOGCC 20.Directional Work Dry Watch ..-. Other -.. -. - ! 13.5 TOTAL HOURS: 24.0 TOTAL HOURS:' 24.0 484.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS OBD FT/HR 1 121/4 HDBS Milltooth 11748526 3x16,1)12 94 1,207 1,113 r-i'w1'N•E-I-No-To CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GL is 31.7' CEMENT PROGRAM Section I OD(in) _Weight(pp() Grade i Thread _JD(R) j TVD(ft) Contractor CIP i Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Half button 26-Dec-11 @ 0330 "C"Permafrost TOC at-12•bgs. No u-tube Surface 95/81 40 L-80 BTC-M I 1194 1,161 Halt burton 20-Jan-12/@1600 Surface 1 • PUMP#1 1 PUMP#2 DRILLING FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer al Ellis Williams Manufacturer TSM FL Temp(°F) 0 Description Daily Cumulative Model I WH-1000-A Model TSM1000 Weight(lbs/gal) 9.5 Gels(sacks) 72 Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 54 DrillTreat(55 gallon drum) _ Stroke(in) • 10 Stroke(in) 9 PV(cp) 16 Caustic Soda(sacks) BBUSTK @ 97% 0.059 BBL/STK @ 97% 0.076 YP(lbs/100ft2) 19 Lime(sacks) - SPM 0 SPM 0 Gels(lbs/100(12) 7/8/10 Sodium Bicarb(sacks) GPM 0 GPM 0 pH 7 Barazan D Plus(sacks) 10 PSI 'PSI WL 11 PAC-L(sacks) 6 __ WELL CONTROL _ Sand(%) -_ .25_ Baroid 41(sacks)-._ 330 _ SPR Pump#1 SPR Pump#2 Solids(%) 3.6 SARA-DEFOAM HP(5 GAL PAIL SPR Pump#1 SPR Pump N2 LCM DEXTRID LT(SACKS) 9 LOT EMW(ppq) CI(mg/L) 900 DESCO CHROME FREE(SX) DRILL STRING AND HYDRAULICS Ca(mg/L) 60 SOLIDS CONTROL EQUIPMENT • AVDP(fps) AVDC(fps) Oil(%) Shaker I Screens Hours String Weight(k-Ib) WOB(k-Ib) PF/MF(ml) 0/.5 Super G 70 16 Pick Up(k-Ib) RPM Cake 1 Super G 100 16 Slack Off(k-Ib) TFA(in) Pit Vol(bbls) 0 Super G 140 16 Max Over Pull(k-Ib) HHP @ Bit Hole(bbls) 93 Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) 240 CURRENT BHA 1 "'""" Item Description 1.k. OD JIn). I01In1_1_Gnu1Pitn)_ Connection Length(ft) Vendor 1 Cumulative Length(ft) 0 -__-- 1 QHC1GRC Milltooth 9.000 3.000 12.250 P6-5/8 1.01 1.01 2 8"SperryDrill Lobe 4/5-5.3 stg 8.000 5.000 B 65/8 H90 30.68 3t69 __ 3 Btm Sleeve Stabilizer 12.188 4 Float Sub 8.062 3.250 3 1/4 B 65/8 H90 1.80 33.49 5 X-Over Sub 8.062 3.250 B 65/8 Reg 2.00 35.49 6 8"DM Collar 8.000 3.250 B 6-5/8 Rei 9.20 44.69 7 Gamma/Res/HCIM 8.000 1.920 B 6-5/8 Reg 23.20 67.89 8 8"HOC 8.150 4.000 B 6-5/8 H90 9.78 77.67 9 Orienting Sub UBHO 7.875 2.875 B 6-5/8 H90 2.50 80.17 10 Flex Collar 7.812 2.813 B 6-5/8 H90 29.98 110.15 11 Flex Collar 8.062 3.312 B 65/8 H90 _ 30.57 140.72 12 Flex Collar 7.885 3.250 B 65/8 H90 30.54 171.26 - - 13 X-Over Sub 8.000 2.375 B 4-1/2 XH 2.60 173.86 14 Jar 6.120 2.750 B 4-1/2 XH 31.51 205.37 __ 15 X-Over Sub 5.937 2.500 B 4 Mod 2.62 207.99 16 4 X 2-9/16 HWDP#29.7-NC40(FH) 4.000 2.563 31.50 239.49 TOTAL BHA LENGTH: 23949 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 17-Jan-12 ' Customer Vol(gal) Customer I Vol(gal) Customer Vol(gal) I Customer Vol(gal) Summary Quantities • Vol(gal) Delivered 20-Jan 1,200.0 Kuukpik(D) 1388.0 Tikigaq/Conam(D) 495.0 5,000-gallon Tank(G( Total Diesel Consumed 87,348.0 On Hand Today 5,800.0 Delta Lease(D) 221.0 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 4,954.5 Used Today ) 1,900.0 Umiaq(D) 97.0 AES(D) 28.0 NSB Equipment(D) f Diesel Consumed Today 3,150.7 Used this Well 8.653-0 Peak(DI 1446.0 Halliburton(D) 426.0 BGF(G) 137.0 Gasoline Consumed Today 312.9 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Comp. 1 Position Count Est Hours Total Hours Notes Incident Type Today Comments Kuukpik Drilling_ Rig Crew _ 22 . 12 264 Illness 0 _-- -- -_.- Kuukpik Drilling Tool Pusher 2 12 - 24 Injury I_ 0 HES-Cementing Cementing 3 13 39 Spill I 0 HES-BSS Baroid 2 13 26 Both individuals staying In Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying In Barrow w/HES Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Csg Crew 12 0 Umiaq Ops Support 7 13 91 Spill tech in camp. All others in Barrow Vetco Gray Wellhead 2 12 24 Peak R e Su••• 5 13 65 Now in Camp Kuukpik Catering Cook/Clean 5 12 60 _ Alutilq Camp Manager 1 12 12 Beacon Medic 1 12 12 - - Oasis Sample Catchers 2 12 24 + PRA DSM 1 12 12 PRA DSM 1 12 12 PRA Const Super0 SQerry, Directional/MWD 4 12 48 Total Personnel in Camp-56 ESTIMATED TOTAL DAILY LABOR HOURS: 750 1 WALAKPA#12 DAILY DRILLING REPORT Jan 23 2012 Operator North Slope Borough Project Description E as Fields Well Well Site Leaden Steve Hubbard/Joe McInnis Ag Program Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#/AOGCC 023-20040.00.00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (Pro#) #10-252 Rig Accept ' rag Hccepree 14- -- Rig Jan-12 @ 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa ' Well Site Phone (907)771-1021 _- -__-_. N.rc---_.. -. -_____._ -----_- .._ _ -__- -_. _.-- _._-....._- Rig Release Current Depth 1207 Surface Hole TD Target Depth(feet)rkb 5298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Operations Next 24 Finishing testing BOPE-PU BHA#200 RIH Test CSG-Drill Out FC&FS&20' Days on Well 9 DART Testing BOPE Hours New Hole-Perform LOT OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY Start __Finish Hours Description _-- Detail Daily Total 0600 0900 3.0 Continue tighten flanges on stact-mixing mud in pre-mix pits-string out and hu Koomey lines 1.Rig Up/Rig Down 300.0 0900 1030 1.5 Install 4"rams in single gate-blinds in bottom of double gate-7"in top of double gate. 2.Drilling 33.0_ 1030 1200 1.5 Reconfigure valves on standpipe/kill manifold in cellar to clear mouse hole. 3.Reaming 1200 1500 3.0 Finish Install/hu kill line hoses-mu 7"test jt-center stack over rotary. 4.Coring 1500 Install 7"test jt.energize Koomey-hinge seal on blind ram door leaked-replace hinge seal 5.Condition and Circulate 14.5 2200 7.0 o-ring-retest still leaks-consult with mfg rep-advised replace all o-rings-retest no leaks. 6.Trips 44.5 2200 Warm test jt-set test jt/fill with water-open choke-test to 250/3500psi dbl gate flange7 Lubricate Rig _ 2400 2.0 leaking bleed pres off-tighten-retest %' 8.Repair Rig 2400 0100 _ 1.0 Test 7"rams 250/3500 psi-LD test jt PVI � r __ 9.C/O Drill Line 0100 0300 2.0 Change out 7"rams and install 4"rams-MU test jt and floor valve to top drive. le 10.Deviation 2.0 _ 0300 0600 3.0 Tighten kill line-replace door seal on top pipe rams-test Hydric 250/2500psi test choke valves 11.Wireline Log 12.Run Casing and Cement 21.5 13.Wait on Cement 14.Nipple up BOP 9.0 50.0 15.Test BOP 8.0 5.0 16.Drill Stem Test 17.Plugback 18.Squeeze Cement _ AOGCC-conduct daily gas detector test on rig's gas detection system-as required by AOGCC 19.Fishing _ to establish a record of reliability-Daily Test being conducted and sent to AOGCC 20.Directional Work Dry Watch . - _._ Other -. -.. 7.0 13.5 _- TOTAL HOURS: 24.0 TOTAL HOURS:• 24.0 484.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG I TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS OBD FT/HR 1 121/4 HDBS Milltooth 11748526 3x16,1x12 94 1,207 1,113 1-1-WT-P-E-i-Nn-TD CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(in) Weight(ppf) Grade Thread MD(ft) i TVD(ft) Contractor CIP 1 Type 1 Comments Conductor 16 84 L-80 Welded 101.5 l 101.5 Halliburton 26-Dec-11 @ 0330 l "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1194 1,156 Halliburton 20-Jan-12/@ 1600 "L""C" Surface PUMP#1 I PUMP#2 DRILLING FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer ' Ellis Williams I Manufacturer TSM FL Temp(`F) 0 Description • Daily i Cumulative., Model WH-1000-A 'Model TSM1000 Weight(lbs/gag • 9.3 Gels(sacks) 0 Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 56 DrillTreat(55 gallon drum) Stroke(in) 10 Stroke(in) 9 PV(cp) 15 Caustic Soda(sacks) BBUSTK©97% 0.059 BBUSTK @ 97% 0.076 YP(lbs/100ft2) 22 Lime(sacks) SPM 0 SPM 0 Gels(lbs/10011°) 7/12/15 Sodium Bicarb(sacks) GPM 0 GPM 0 pH 8.5 Barazan D Plus(sacks) 6 PSI PSI • WL 11 PAC-L(sacks) 4 WELL CONTROL Sand(%) .25 Baroid 41(sacks) 220 SPR Pump#1 SPR Pump#2 Solids(%) 3.6 3ARA-DEFOAM HP(5 GAL PAIL SPR Pump#1 SPR Pump 42 LCM DEXTRID LT(SACKS) 6 i LOT EMW(ppq) CI(mg/L) 1000 DESCO CHROME FREE(SX) DRILL STRING AND HYDRAULICS Ca(mg/L) 80 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) Oil(%) Shaker Screens Hours String Weight(k-Ib) WOB(k-Ib) I PF/MF(ml) 0/.5 Super G 70 16 Pk Up(k-lb) RPM Cake 1 Super G 100 16 Slack Off(k-Ib) { TFA(in') Pit Vol(bbls) 80 Super G 140 16 Max Over Pull(k-lb) _ _ HHP @ Bit Hole(bbls) 93 Jet Vel(fps) 'dP @ Bit(psi) Reserve(bbls) 320 CURRENT BHA 200 Item Description ;ems;- OD_(In) ID(in) I,Gauge(In)L _Conner[ Length(ft) Vendor Cumulative Length(ft) 1 0 1 HDBSFX2526PDC 6.000 2.350 !6 _8.500 P4-1/2"REG 1.01 1.01 __ 2 -314"SperryDrill Lobe 6/7-5.0 stg 6.750 4.498 841/2"IF 27.21 28.22 _ 3 Btm Sleeve Stabilizer 8.31 4 6-3/4"DM Collar B4-1/2"IF 3.125 3 1/4 84-1/2"IF 9.20 37.42 _ 5 Gamma/Res/HCIM 6.750 1.920 84-1/2"IF 33.24 70.66 6 6-3/4"HOC 6.900 3.250 84-1/7'IF 10.05 80.71 _ 7 Float Sub 6.687 2.875 84-1/2"IF 2.41 83.12 8 Flex Collar 6.813 3.000 B4-1/2"IF 31.09 114.21 9 Flex Collar 6.500 2.875 B4-1/2"IF 30.63 144.84 10 Flex Collar 6.812 2.875 B4-1/2"IF 31.08 175.92 11 X-Over Sub 6.250 2.500 84-1/2"IF 2.62 178.54 12 Jar 6.120 2.750 84-1/2"IF 31.51 210.05 13 X-Over Sub 5.937 2.500 84"MOD 2.62 212.67 14 17-4"XT-39 HWDP 4.000 2.563 525.84 738.51 -- - 15 16 TOTAL BHA LENGTH: 738.51 FUEL CONSUMPTIONTRACKING KUUKPIK RIG#5 DIESELQUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT:I 17-Jan-1212 Customer -1ol(gal) -Customer er VolVol(gal)PE RECIPIENT,g CustomerVol(gal) Customer Vol(gal) Summary Quantities Vol(gal) Delivered 20-Jan 2,500.0 Kuukpik D 1667.0 Tiki aq/Comm D) 710.0 5,000-gallon Tank(G) Total Diesel Consumed 87,348.0 On Hand Today f 6,100.0 Delta Lease(D) 114.0 BSS(D) 23,000-gallon Tank(D) _- Total Gasoline Consumed ~ 4,954.5 Used Today I 1800.0 Umiaq(D( 150.0 AES(D) 22.0 NSBEquipment(D) _-_ Diesel Consumed Today 3,150.7 Used this Well i 8,653.0 Peak D 1551.0 Halliburton D ( ) ( ) 523.0 IBGF(G) 346.0 Gasoline Consumed Today 312.9 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position � Count Est Hours Total Hours! Notes Incident Type Today Comments Kuukpik Drilling 'Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 I 12 24 Injury 0 HES-Cementing Cementing 3 13 39 Spill 0 HES-BSS Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting I 0 _ HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR CsCrew r - - Umiaq Ops Support 7 13 91 Spill tech in camp. All others in Barrow Vetco Gray Wellhead I - - Peak RigSupport 5 13 65 Now in Camp- 01/19/12 Kuukpik Catering Cook/Clean 5 12 60 12 Alutiiq Camp Manager 1 12 Beacon Medic 1 12 12 Oasis Sample Catchers 2 12 24 PRA DSM � 1 12 12 PRA _ DSM 1 12 12 R- - PRA PRA Geologists 4.- 1 ' 12 12 SPafryDirectional/MWD-- 4 12 48 Total Personnel In Camp-55 ESTIMATED TOTAL DAILY LABOR HOURS: 738 WALAKPA#12 DAILY DRILLING R RT Jan 24 2012 North Slope Borough Project Description Fields Well Well Site Leaders Steve Hubbard/Joe McInnis Operator9 1 P ing Program Weil Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#/AOGCC 023-20040-00.00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 • Rig Accept mg Hcceptea iv- -- • Date/Time I Jan-12 @ 1200 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 ch 1207'Surface Hole TD Target Depth(feet)rkb 5,298 MDI 2,338 ND --- t)rkb - -- - Date/Time � Current(feet)rkb I Rig Release ' HSE Phone (907)771-1025 Days on Well 10 OART Cutting Drilling Line Operations Next 24 Finish cutting drilling line-test casing-drill shoe track-LOT-Drill Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY Finish Hours Description Detail Daily Total 0600 I_. Conduct weekly BOPE test as per as per AOGCC/Kuukpik/PRA procedures 1 Rig Up/Rig Down 300.0 I - 250/2500psi-250/3500 psi-grease port body of inside kill leaked-repaired/retest ok 2.Drilling 33.0 __ 1530 9.5 test 7"rams ok-change back to 4"rams test ok 3.Reaming 1530 1630 1.0 Pull test plug-install wear ring-mouse hole 4.Coring 1630 1730 1.0 PJSM-start PU BHA#200 5.Condition and Circulate 1.5 { 169 _ 1730 2000 2.5 RIH hit obstruction at 28'-pull wear ring-thaw ice plug to 50'with steam hose-install wear ring 6.Trips 8.0 52.5 2000 2400 2.0 Continue PU BHA-upload smart tools-PU flex collars-hit ice bridge at 175' 7.Lubricate Rig 0.5 0.5 2400 0200 2.0 PU kelly wash in as needed to 485' 8.Repair Rig 0200 0230 0.5 Blow down kelly-service rig 9.C/O Drill Line 1.0 19 - 0230 0330 1.0 RIH with no further bridges-tag at 1091' 10.Deviation 2.0 0330 0500 1.5 Prep to and swap spud mud to LSND 11.Wireline Log , 0500 0600 1.0 ;Blow down kelly-prep to cut drilling line 12.Run Casing and Cement ; 21.5 13.Wait on Cement 14.Nipple up BOP 50.0 15.Test BOP 10.5 j 23.5 weather -40°/-60°cf 16.Drill Stem Test 17.Plugback 18.Squeeze Cement 19.Fishing 20.Directional Work __ Other 2.5 15.0 TOTAL HOURS:' 22.0 TOTAL HOURS: 24.0 484.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(h)T FEET BIT GRADE HRS OBD FT/HR 1 121/4 HDBS Milltooth 11748526 3x16,1x12 94 1,207 1,113 i-i'NT-P-E-i-No-To 2 8 1/2 HDBS 5 blade PDC 5013668 5x13 1091 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RIB.GL Is 31.7' CEMENT PROGRAM Section 1 O 0(in) T Weight(ppf) Grade Thread MD(ft) T VD(ft):,_ Contractor 1 CIP Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-b1 1194 1,156 Halliburton 20-Jan-12/@ 1600 "L" "C" Surface • 1 PUMP#1 L PUMP#2 DRILLING FLUID PROPERTIES DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp("F) 0 • Description Daily Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gap 9.3 Gels(sacks) 0 Liner Size(in) 5 Liner Size(In) 6 VIS(sec/qt) 55 DrillTreat(55 gallon drum) Stroke(in) 10 Stroke(in) 9 PV(cp) 15 Caustic Soda(sacks) _ BBUSTK @ 97% 0.059 BBL/STK I@ 97% 0.076 YP(lbs/100h2) 21 Lime(sacks) SPM 0 SPM 0 Gels(lbs/10Ofe) 7/11/14 Sodium Bicarb(sacks) GPM 0 GPM 0 pH8 Barazan D Plus(sacks) 3 PSI I PSI WL 11.5 PAC-L(sacks) • 2 WELL CONTROL Sand(%) .25 Baroid 41(sacks) 80 SPR Pump#1 :SPR Pump#2 Solids(%) 3.7 SARA-DEFOAM HP(5 GAL PAIL SPR Pump#1 _SPR Pump#2 LCM DEXTRID LT(SACKS) 3 LOT EMW(ppg) CI(mg/L) 1000 X-CIDE 207(GAL JUG) 6 t DRILL STRING AND HYDRAULICS Ca(mg/L) 80 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) _ Oil(%) Shaker I Screens String Weight(k-lb) ` WOB(k4. _ PF/MF(ml) 0/.4 Super G 70 16 Pick Up(k-lb) RPM Cake 2 Super G 100 16 Slack Off(k-lb) TFA(M2) Pit Vol(bbls) 136 Super G 140 16 Max Over Pull(k-lb) _ HHP @ Bit Hole(bbls) 89.2 Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) 326 CURRENT BHA 200 �7 Item Description 1 00(in) ID(In) ; Gauge(in) Connection Length(ft) I Vendor 1 Cumulative Length(ft) 0 1 HDBSFX2526PDC 6.000 2.350 8.500 P4-1/2"REG 1.01 1.01 2 6-3/4"SperryDrill Lobe 6/7-5.0 SM 6.750 4.498 B4-1/2"IF 27.21 28.22 _ 3 Btm Sleeve Stabilizer 8.31 4 6-3/4"DM Collar 841/2"IF 3.125 3 1/4 B4-1/2"IF 9.20 37.42 5 Gamma/Res/HCIM _6.750 1.920 _ B4-1/2"IF 33.24 70.66 6 6-3/4"HOC 6.900 3.250 84-1/2 1F 10.05 80.71 7 Float Sub 6.687 2.875B4-1/2"IF 2.41 83.12 8 'Flex Collar 6.813 3.000 841/2"IF 31.09 114.21 9 'Flex Collar 6.500 2.875 84-1/2"IF 30.63 144.84 10 Flex Collar 6.812 2.875 84-1/2"IF 31.08 175.92 11 X-Over Sub 6.250 2.500 841/2"IF 2.62 178.54 12 Jar 6.120 2.750 B4-1/2'IF 31.51 210.05 13 X-Over Sub 5.937 2.500 B4"MOD 2.62 212.67 14 174'XT-39 HWDP 4.000 2.563 525.84 738.51 TOTAL BHA LENGTH: 738.511 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 17-Jan-12 Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Customer 1 Vol(gal) Summary Quantities Vol(gal) Delivered 20-Jan 2,500.0 Kuukpik(0) 1667.0 r Tikigaq/Conam(D) 710.0 5,000-gallon Tank(G) Total Diesel Consumed 87,348.0 On Hand Today 6,100.0 Delta Lease(D) 114.0 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 4,954.5 Used Today 1,800.0 Umiaq(D) 150.0 AES(D) 22.0 NSB Equipment(D) Diesel Consumed Today 3,150.7 Used this Well 8,653.0 Peak(D) 1551.0 Halliburton(D) 523.0 BGF(G) 346.0 Gasoline Consumed Today 312.9 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company l Position Count Est Hours Total Hours l Notes incident Type Today J Comments Kuukpik Drilling Rig Crew 22 12 . 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 I 24 Injury 0 HES Cementing Cementing 3 13 39 Spill _ 0 _ HES-MUD Baroid 2 13 1 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting 0 HES Supervisor 1 13 -_I 13 HES supervisor staying in Barrow Near Miss 0 GBR Csg Crew Umiaq Ops Support 7 13 91 [Spill tech in camp. All others in Barrow Vetco Gray Wellhead - ______ Peak _ Rig Support 5 __ 13 65 l'Now in Camp- 01/19/12 •Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager • 1 12 12 Beacon Medic 1 12 12 Oasis Sample Catchers ' 2 12 24 PRA DSM 1 12 12 PRA DSM' _ 1 12 12 PrtRA PRA Geologists 1 12 12 - S_pe rry Directional/MWD i 4 12 ' 48 'Total Personnel in Camp- 55 ESTIMATED TOTAL DAILY LABOR HOURS: 738 WALAKPA#12 DAILY DRILLING REDORT Jan 25 2012 Operator North Slope Borough Project Description E Sas Fields Weil Well Site Leaders Steve Hubbard/Joe McInnis ,,ng Program Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD 0) 010-252 mg wcceprea-1a Rig Accept Jan-12 CO 1200 Rig Contractor Kuukplk Drilling,LLC:Kuukplk Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Wm Rig Release Current Depth 1207 Surface Hole TD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 11 DART Drilling at 1750' Operations Next 24- Drilling Ahead Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE OPERATIONS SUMMARY __ Start Finish :: Hours Description Detail Daily Total 0600 0730 1.5 Slip and cut drill line 1.Rig Up/Rig Down 300.0 t 0730 0900 _ 1.5 I Prep for and conduct casing test to 2500 psi-hold 30 mins 2.Drilling 15.5 58.0 0900 1430 5.5 Drill shoe track from 1091 to 1207 plus 20'of new hole to 1227 3.Reaming - _ 1430 1500 0.5 CBU stand back 1 stand -_- --- _-- - 4.Coring __- 1500 1630 1.5 PJSM prior to LOT-Conduct LOT using Halliburton cement truck --.'"AP i 5.Condition and Circulate 0.5 17.0 1 1630 1700 0.5 PU 1 stand-Kelly packing leaking-stand back 1 stand 6.Trips 0 5 49.0 1700 2000 3.0 Change out packing on Kelly/Top drive and test for leaks. 7.Lubricate Rig 0.5 0.5 2000 0600 10.0 Dull from 122?to 1750' 8.Repair Rig 9.C/O Drill Line 1.5 40 _ 10.Deviation _ _ _ 2.0 11.Wireline Log 12.Run Casing and Cement 21.5 13.Wait on Cement --- - ---- _- 14.Nipple up BOP 59.5 15.Test BOP 16.0 I 16.Drill Stem Test - - 17.Plugback --_ 18.Squeeze Cement MD INC DIR VD LAT DEP VS D L _ 19.Fishing _ _ 1588 45.57 97.72 1466 89.09S 486.54 E 494.59 5.88 20.Directional Work 1651 49.01 97.77 1509 95.32S 532.33 E 540.32 5.47 3.0 3.0 ' 1715 52.54 99.55 1549 102.78S 581.17E 590.09 5.94 Other 2.5 16.0 2.TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 546.5 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft), FEET BIT GRADE HRS OBD FT/HR 1 121/4 HDBS Mllltooth 11748526 3x16,(x12 94 1.207 1,113 1-1-WT-P-E-I-rro-To 2 81/2 HDBS 5blade PDC 5013668 5x13 1091 CASING AND COMPLETION PROGRAM-AMC SET DaPTHS MEASURED FROM 215 RKB. GL is 31.7' CEMENT PROGRAM Section - _ OD(In) f Weight(ppf) Grade Thread MD(ft) TVD(ft) Contractor CIP Type I Comments Conductor 16 84 L-80i_ 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOC at-12'bgs. No u-tube Surface 95/8 I 40 L-80 � BTC-M 1194 1,156 Halliburton 20-Jan-12/@1600 "L""C" Surface II I l- i- ( PUMP#1 PUMP#2 LSND DRILLING FLUID PROPERTIES LSND DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams I Manufacturer TSM FL Temp("F) 61 Description t Daily Cumulative Model i WH1000-A (Model TSM1000 Weight(Ibs/gal) 9.3 Gels(sacks) 1 0 Liner Size(in) _ ___ 5 Liner Size(in) 6 VIS(sec/qt) 46 Citric Acid _ 3 _ Stroke(in) 1 10 Stroke In 9 PV(cp) 14 Caustic Soda(sacks) BBUSTK @ 97% 0.059 BBL/STK%'97% 0.076 YP(Ibs/100ft2) 17 Lime(sacks) SPM 90 SPM 64 Gels(Ibs/100ft2) 7/11/15 Sodium Bicarb(sacks) GPM 223 GPM 205 pH 10.5 Barazan D Plus(sacks) 9 PSI 1023 PSI 1___ ____023 WL 5 PAC-L(sacks) 6 WELL CONTROL - Sand(%) .5 Baroid 41(sacks) 240 SPR Pump#1 SPR Pump#2 I Solids(%) 4.4 SARA-DEFOAM HP(5 GAL PAIL: SPR Pump#1 I SPR Pump#2 I LCM DEXTRIDLT(SACKS) 9 - LOT EMW(ppg) CI(mg/L) _ 900 X-CIDE 207(GAL JUG) 0 ----- DRILL STRING AND HYDRAULICS Ca(mg/L) 400SOLIDS CONTR L EQUIPMENT AVDP(fps) 169 AVDC(fps)_-_ _ 292.8 Oil(%) ;Shaker __. ',,:Scresnt,;,,,,,.L. String Weight(k-lb) W OB(k-lb) 10-15 k PF/MF(ml) .1/.5 _ Super G _ 70 24 Pick Up(k-lb) RPM 50 Cake 1 Super G 100 24 Slack Off(k-Ib) TFA(in2) 0.648 Pit Vol(bbls) 299 Super G 140 24 Max Over Pull(k-lb) HHP @ Bit 1.63 Hole(bbls) 88 Jet Vel(fps) 211.2 dP©Bit(psi) 370 Reserve(bbls) 152 CURRENT BHA 200 „3'.,..' roe.. "�."...,.... Item .Ail& Description . OD(in) ID(in) ! Gauge(in)L _ Connection-: Length(ft) I Vendor I Cumulative Length(ft) t 0 1 HDBSFX2526PDC 6.000 2.350 8.500 P4-1/2"REG 1.011I 1.01 2 6-3/4"SperryDrill Lobe 6/7-5.0 stg ' 6.750 ' 4.498 B4-1/2"IF 27.211 -___------ 28.22 - -- --� - 111 3 Btm Sleeve Stabilizer 8.31 i 4 6-3/4"DM Collar 84-1/2"IF 3.125 3 1/4 84-1/2"IF 9.20. 37.42 ___ 5 Gamma/Res/HCIM 6.750 1.920 • 84-12"IF 33.24'. 70.66 6 6-3/4"HOC 8.900 3.250 B4-12"IF 10.05 80.71 7 Float Sub 6.687 2.875 8412"IF 2.41 83.12 8 Flex Collar 6.813 3.000 8412"IF - 31.09' 114.21 _. 6.500 2.875 84-1/2"IF 30.631 144.84 9 Flex Collar .- ,10 Flex Collar 6.812 2.875 8412"IF 31.08 r 175.92 11 X-Over Sub 6.250 2.500 84-12"IF 2.62 178.54 12 Jar 6.120 2.750 8412"IF 31.61 210.05 13 X-Over Sub 5.937 2.500 B4"MOD 2.62 212.67 14 17-4"XT-39 HWDP 4.000 2.563 525.84 738.51 - TOTAL BHA LENGTH 738.51 • FUEL CONSUN TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UM_IAO REPORT:L 17-Jan-12 Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Summary Quantities - Vol(gal) Delivered 20-Jan 2,100.0 Kuukpik(D) 172.0 Tikigaq/Conam(D) 534.9 5,000-gallon Tank(G) Total Diesel Consumed 90,389.3 On Hand Today , 6 700.0 Delta Lease(D) 581.0 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 5,145.8 Used Today 2,100.0 Umiaq(D) 119.8 SAES(D) 22.0 NSB E uipment(D) Diesel Consumed Today 2,100.0 Used this Well 8,653.0 Peak(D) 476.5 •Halliburton(D) 458.0 BGF(G) 191.3 Gasoline Consumed Today 191.3 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Est Hours Total Hours Notes Incident Type Today iiiiiiiikSomments Kuukpik Drilling Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-Cementing Cementing 3 13 39 Spill 0 HES-MUD Baroid 2 13 26 Both individuals staying in Barrow Tunda Disturbance 0 HES-AK Heater Contractor 2 12 24 Both individuals staying in Barrow w/HES Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Csg Crew Umiaq Ops Support 7 13 91 Spill tech in camp. All others in Barrow Vetco Gray Wellhead Peak Rig Support 5 13 65 Now in Camp-01/19/12 Kuukplk Catering Cook/Clean 5 12 60 Alutiiq _ Camp Manager I 1 12 12 Beacon Medic 1 12 12 Oasis Sample Catchers 2 • 12 24 PRA DSM 2 -�--- 12 24 PRA HSE 1 12 12 PRA PRA Geologists 2 12 24 Sperry Directional/MWD 4 12 48 Total Personnel in Camp- 55 ESTIMATED TOTAL DAILY LABOR HOURS: 762 WALAKPA#12 DAILY DRILLING RE ORT 26-Jan-12 Operator North Slope Borough Project Description B 'as Fields Well Well Site Leaders ' Don Breeden/Thor Kallestad ..ing Program Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#1 AOGCC 023-20040-00-00 1211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig- Acc� 14-Jan @ 12:00 RI Contractor Kuukpik Drilling,LLC:Kuukpik Rig#5 Date/Time Drill Rate g 9Property Designation Walakpa Well Site Phone (907)771-1021 Rig Release 06:00 Depth I2,955 MD/2,043 TVD Target Depth(feet)rkb 5,298 MD/2,338'ND HSE Phone (907)771-1025 Date/Time (feet)rkb 1 Days on Well 12 CART Drilling ahead at 2,955'. 1,728'drilled in previous 24- Operations Next 24- Continue drilling ahead. If all continues to go well,casing point is expected around hour period Hours • 6 PM this evening OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Start ;,..ail Finish Hours Description Detail Daily Atifineotal 06:00 08:00 2.0 Rotate and slide f/1750'to 1875' 1.Rig Up/Rig Down 300.0 08:00 09:00 1.0 Ciculate hole clean(heavy clay)until shakers can handle 500 gpm 2.Drilling 22.0 61.5 09:00 10:00 1.0 Record SPRs and circulate 3.Reaming 10:00 12:00 2.0 Rotate and slide f/1875'to 2005' 4.Coring _ Note: The HRZ cams In approximately 61'low 5.Condition and Circulate 1.0 14.5 Top of HRZ is at 2,711'MD/1,955'TVD;bottom of HRZ Is at 2,808'MD 1 1,990'TVD 6.Trips 51.5 12:00 24:00 12.0 Rotate and slide f/2005'to 2596' 7.Lubricate Rig 0.5 00:00 06:00 6.0 Rotate and slide f/2596'to 2955' 8.Repair Rig 9.CIO Drill Line 2.5 10.Deviation 2.0 11.Wireline Log 12.Run Casing and Cement 16.5 Current Weather 13.Wait on Cement -40F with calm winds 14.Nipple up BOP 63.0 15.Test BOP 23.5 16.Drill Stem Test 1.5 EB-15 Update 17.Plugback Injection underway. Average rate 3 bpm 18.Squeeze Cement 1,700 bbls injected. 1,000 bbls waste plus 100 bbls flush plus 20 bbls diesel remain 19.Fishing --_ -20.Directional Work _ 1.0 __ 12.0 - • Other 3.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 552.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS 060 FT/HR 1 121/4 HUBS MT-622394 11748526 3x16,1x12 94 1,207 _ 1,113 1-1-WT-P-E-I-N0-TD 20.35 54.69 2 81/2 HDBS 'PDC-FX2526, 5013668 5x13 1091 CASING AND COMPLETION PROG ''All.'SET-OEPTRS 1f1EASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section I- OD(in) Weight(ppf) . Grade 1 Thread • MD(ft) TVD(ft) Contractor CIP Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 0330 i "C"Permafrost TOC at-12'bgs. No u-tube Surface _ 1 9 518 40 L-80 BTC-M 1194 1,156 Halliburton 20-Jan-12 @ 1600 1 Surface PUMP#1 i PUMP#2 LSND DRILLING FLUID PROPERTIES LSND DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams 'Manufacturer TSM FL Temp('F) 78 Description Daily I Cumulative Model WH-1000-A -Model TSM1000 Weight(lbs/gal) 9.45 Gels(sacks) 72 Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 44 Citric Acid Stroke(in) 10 Stroke(in) 9 PV(cp) 12 Caustic Soda(sacks) BBL/STK©97% 0.059 BBL/STK @ 97% 0.076 YP(lbs/100f12) 19 Lime(sacks) 2 SPM 91 SPM 83 Gels(Ibs/10Oft2) 10/13/16 Sodium Bicarb(sada) 19 GPM 225 GPM 265 pH 9.6 Barazan D Plus(sacks) 10 PSI 1023 PSI 1023 Filtrate WL(mL/30 min) 5.6 PAC-L(sacks) 5 WELL CONTROL Sand(%by vol) 0.25 Baroid 41(sacks) SPR Pump#1 20 spm/126 psi SPR Pump#2 20 spm/140 psi Solids(%by vol) 4.8 BARA-DEFOAM HP(5G pail) SPR Pump#1 40 spm/180 psi SPR Pump#2 40 spm/220 psi LCM(ppb) None DEXTRID LT(sacks) 8 LOT EMW(ppg) 30.5 CI(mg/L) 900 X-CIDE 207(1G jug) 2 DRILL STRING AND HYDRAULICS Ca(mg/L) 400 SOLIDS CONTROL EQUIPMENT AVDP(fps) 183 AVDC(fps) 307 Cake(API 32nd inch) 2 Shaker Screens r Hours BU Strokes _II 2,255 WOB(k-lb) I 4-6 K PF/MF(m1) 0.03/0.5 Super G 70 24 Total Strokes 6,815 RPM 70-75 Cake 2 Super G 100 24 Pick Up(k-lb)_ 57 K TFA(in`) 0.648 Pit Vol(bbls) ------- --- 282 Super G - -- 140 24 Slack Off(k-Ib) 52 K HHP total 486 Hole(bbls) 176 Centrifuge I Speed Hours Jet Vel(fps) 243 dP 0 Bit(psi) 480 Reserve(bbls) 127 Pit 3 Centrifuge 2300 6 CURRENT BHA 200 Item Descripti 0D(n),t_ID(InL_L Gem(in)I Connection_ _Length(ft)_ Vendor Cumulative Length(ft) _,.Hours BRT - r 1 'HDBSFX2526PDC 6.000 2.350 8.500 P4-1/2"REG 1.01 1.01 37.5 2 6-3/4"SperryDrill Lobe 6/7-5.0 stg 6.750 4.498 B4-1/2"IF _ 27 21 28.22 37.5 _ 3 Bim Sleeve Stabilizer 8.31 t 37.5 4 6-3/4"DM Collar 84-1/2'IF 3.125 3 1/4 B4-1/2"IF 9.20 37.42 37.5 5 Gamma/Res/HCIM 6.750 1.920 B4-1/2"IF 33.24 70.66 37.5 6 6-3/4"HOC 6.900 3.250 134-1/2"IF 10.05 80.71 37.5 7 Float Sub 6.687 2.875 B4-1/2"IF - 2.41 83.12 37.5 8 Flex Collar 6.813 3.000 B4-1/2"IF 31.09 114.21 37.5 9 Flex Collar 6.500 2.875 B4-1/2"IF 30.63 --- 144.84 _ 37.5 10 Flex Collar 6.812 2.875 B4-1/2"IF 31.08 175.92 37.5 11 X-Over Sub 6.250 2.500 64-1/2"IF 2.62 178.54 37.5 12 Jar 6.120 2.750 B4-1/2"IF 31.51 210.05 37.5 _ 13 X.Over Sub 5.937 2.500 B4"MOD 2.62 212.67 37.5 14 17.4"XT-39HWDP 4.000 2.563 525.84 738.51 TOTAL BHA LENGTH: 738.51 MOST RECENT DIRECTIONAL SURVEYS INC AZ _TVD +N I-S I +E/-W • • VS DLS Calculation VS Azimuth 2728.62 68.20 98.11 1961.12 -269.35 +1486.85 1510.90 1.54 Minimum Curvature 101.08 2791.97 68.88 98.27 1984.29 -277.75 +1545.20 1569.78 1.10 Minimum Curvature 101.08 2856.17 68.57 98.03 2007.59 -286.23 +1604.42 1629.92 _40.60 Minimum Curvature 101.08 2918.73 68.60 97.13 2030.43 -293.91 +1662.16 1687.66 1.34 Minimum Curvature 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 24-Jan-12 Customer Vol(gal) Customer ; Vol(gal) Customer Vol(gal) Customer Vol(gal) Summary Quantities Vol(gal) Delivered 25-Jan 1,300.0 Kuukpik(D) 172.9 Tikigaq/Conam(D)_ 534.9 5,000-gallon Tank(0) Total Diesel Consumed 119,058.6 On Hand Today 5,400.0 Delta Lease(D) i BSS(D) _ 23,000-gallon Tank(D) Total Gasoline Consumed 6,471.9 ___1Used Today 2,600.0 Umiaq(D) 119.8 AES(D)• _ _' NSB Equipment(D) Diesel Consumed Today _ _ 1,762.1 • Used this Well 23,655.0 Peak(D) 476.5 Halliburton(D) 1458.0 BGF(G) 191.3 Gasoline Consumed Today 191.3 -I PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Est HourTotal Hours Notes Incident Type Comments Kuukpik Drilling Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher ___ 2 12 24 Injury 0 HES-BSS Cementing 7 13 91 'Three in camp. The rest staying in Barrow Spill 0 HES-BSS Mud 2 13 26 _ Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 _ HES •Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Csg Crew Umiaq Ops Support 9 13 117 Spill tech in camp. All others in Barrow Vetco Gray Wellhead Peak Rig Support _ 14_ 13 182 Five in camp.The rest staying In Barrow Kuukpik Catering ,Cook/Clean 5 12 60 Alutiiq Camp Manager 1 12 12 Beacon ,Medic 1 12 12 Oasis (Sample Catchers _ 2 _ 12 24 F AOGCC ;Inspectors P RA DSM _ 2 12 24 PRA :HSE 1 12 12 - PRA 1PRA Geologists 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 933 Total Personnel In Camp: 53 Individuals WALAKPA#12 DAILY DRILLING REEORT 27-Jan-12 Operator North Slope Borough Project Description B as Fields Well • Well Site Leaders Don Breeden/Thor Kallestad ing Program Well Name Walakpa#12 CIP Number • 68090 Cell Phone (907)980.4206 API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) 810-252 Rig Accept 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate Rig Release 06:00 Depth • 3,680 MD/2,299 TVD Target Depth(feet)rkb 5,298 MD/2,338 ND I HSE Phone (907)771-1025 Date/Time (feet)rkb Bays on Well 3 DART RIH on elevators from shoe back to bottom Operations Next 24- Trip to bottom on elevators. UD BHA-early Friday evening. RIH w/7"-late Friday Hours evening. Begin pumping cement-Saturday AM OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY ' sten Finish Hours Description Detail Daily T• 06:00 12:00 6.0 Rotate and slide f/2955'to 3303' 1.Rig Up/Rig Down 300.0 12:00 22:00 10.0 Rotate and slide f/3303'to 3680'. Casing point called at 3680' 2.Drilling 16.0 77.5 22:00 23:00 1.0 Condition mud and pump sweep.Circulate three bottoms up 3.Reaming 23:00 _ 06:00 7.0 Trip on elevators 0 3680'to shoe 4.Coring 5.Condition and Circulate 1.0 15.5 Overpull l Trip Summary 6.Trips 7.0 58.5 Tripped to shoe on elevators. Due to temps and freeze problems,pulled w/o pumping. 7.Lubricate Rig 0.5 The hole was a bit ratty below the HRZ. Periodic 20K overpull was observed between 8.Repair Rig 3055'and 2845'. RIH on elevators down through this interval. No overpull on way back up. 9.C/O Drill Line 2.5 10K overpulls through HRZ. RIH down on elevators and no overpull through HRZ on way 10.Deviation 2.0 •back up. No noteworthy overpulls above HRZ 11.Wireline Log 12.Run Casing and Cement 16.5 I 13.Wait on Cement Currant Weather 14.Nipple up BOP 63.0 -40F with-7 mph wind from the northwest 15.Test BOP 23.5 16.Drill Stem Test 1.5 EB-15 Update 17.Piugback _ Most recent injection of rig and flowback fluids concluded yesterday 18.Squeeze Cement Begin receiving rig fluids for next Injection 19.Fishing 20.Directional Work 12.0 Other 3.0 -- TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 ' 576.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE I HRS OBD I FT/HR 1 121/4 HDBS MT-622394 11748526 3x16.1x12 94 1.207 1,113 1-1-WT-P-E-l-NO-TD: 20.35 54.69 2 81/2 HDBS PDC-FX2526' 5013668 5x13 1,091 3.680 2.589 26.02 99.50 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 2t5'RKB. GL is 31.7' CEMENT PROGRAM Section Odin) pf) 1 Grad. TtvNd 1 MD(ft) TVD(ft) Contractor I CIP Type I Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1194 1,156 Halliburton 20-Jan-12 @ 1600 "L""C" Surface NV#1 --I - N _ ___ LSND DRILLING FLUID PROPERTIES LSND DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams (Manufacturer TSM FL Temp('F) 91 Description Daily Cumulative Model WH-1000-A I Model TSM1000 Weight(lbs/gal) 9.5 Gels(sacks) Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 45 Citric Acid Stroke(in) 10 •Stroke(in) 9 PV(cp) 15 Caustic Soda(sacks) BBL1STK fjg 97% 0.059 BBUSTK @ 97% 0.076 YP(lbs/10082) 18 Lime(sacks) SPM 105 SPM 88 Gels(lbs/10062) 8/9/11 Sodium Bicarb(sacks) GPM 260 GPM 282 pH 9 Barazan D Plus(sacks) 9 PSI 2231 PSI 2231 Filtrate WL(mL/30 min) 5.2 PAC-L(sacks) 19 WELL CONTROL Sand(%by vol) 0.1 Baroid 41(sacks) 38 - --- - -- _ SPR Pump#1 20 spm/130 psi SPR Pump#2 20 spm/140 psi Solids(%b by vol) 5.2 BARO-TROL PLUS(sack) 15 SPR Pump#1 405pm/190 psi SPR Pump#2 40 spm/240 psi LCM(ppb) None DEXTRID LT(sacks) 22 LOT EMW(ppg) 30.6 i CI(mg/L) 600 X-CIDE 207(1G jug) 1 DRILL STRING AND HYDRAULICS Ca(mg/L) 120 SOLIDS CONTROL EQUIPMENT AVDP(fps) 204 'AVDC(fps) _ 343 Cake(API 32nd inch) 2 Shaker F Screens I Hours BU Strokes 3,287 WOB(k-lb) 5-10 K PF/MF(ml) 0.03/0.7 Super G 70 24 Total Strokes 9,065 RPM 81 Cake 1 0 Super G 100 24 Pick Up(k-lb) 62 K TFA(in) 0.648 Pit Vol(bbls) 350 Super G 140 _ 24 Slack Off(k-lb) 53 K HHP total 506 Hole(bbls) 256 Centrifuge Speed 7 Hours Jet Vel(fps) 268 dP @ Bit(psi) 607 Reserve(bbls) 165 Pit 3 Centrifuge 2300 20 CURRENT BHA 200 Item DescrI (n) 10(In), 1 Gauge(In) Connection , Length(ft) Vendor Cumulative Length(ft)-1_ Hours BRT 1 HDBSFX2526PDC 6.000 2.350 8.500 ----- P4-1/2"REG 1.01 l 1.01 61.5 2 6-3/4"SpenyDrill Lobe 6/7-5.0 stg 6.750 4.498 8412'IF 27.21 28.22 61.5 _ 3 Btm Sleeve Stabilizer 8.31 61.5 4 6-3/4"DM Collar 84-12"IF 3.125 3 1/4 84-1/2'IF 9.20 37.42 61.5 5 Gamma/Res/HCIM 6.750 1.920 B4-12"IF 33.24 70.66 61.5 6 6-3/4"HOC 6.900 3.250 84-12"IF 10.05 80.71 61.5 7 Float Sub 6.687 2.875 84-12"IF 2.41 83.12 61.5 8 Flex Collar 6.813 3.000 84-1/2"IF 31.09 114.21 61.5 9 Flex Collar 6.500 2.875 84-1/2"IF __. 30.63 144.84 61.5 10 Flex Collar 6.812 2.875 B4-1/2"IF 31.08 175.92 61.5 11 X-Over Sub 6.250 2.600 B4-1/2"IF - 2.62 178.54 61.5 12 Jar 6.120 2.750 B4-1/2"IF 31.51 210.05 61.5 13 X-Over Sub 5.937 2.500 B4-MOD 2.62 212.67 61.5 14 17-4-XT-39HWDP 4.000 2.563 525.84 738.51 61.5 TOTAL BHA LENGTH: 738.51 ` MOST RECENT DIRECTIONAL SURVEYS --� _TVD 1 +N/-S 1 +E I-W _. ;, I VS [DL§ Calculation 1 VS Azimuth 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 r 2275.15 2.10 Minimum Curvature 101.08 3615.48 74.57 102.18 2283.12 -433.68 +2295.35 I 2335.91 4 03 _ Minimum Curvature 101.08 3646.68 75.33 102.77 2291.22 440.19 +2324.77 _ 2366.03 3.04 _ Minimum Curvature 101.08 3680.00 75.33 • 102.77 2299.66 -447.55 +2357.27 2398.53 0.00 Projected to Casing Point 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT:' 25-Jan-124 Customer ( Vol(gal) Customer i Vol(gal) Customer Vol(gal)7 Customer Vol(gal) Summary Quantities Vol(gal) Delivered 25-Jan Kuukpik(D) 3783.0 Tikigaq/Conam(D) 413.1 5,000-gallon Tank(G) Total Diesel Consumed 126,078.2 -IOn Hand Today Delta Lease(D) 347.6 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 6,728.8 Used Today Umiaq(D) 122.7 AES(D) NSB Equipment(D) Diesel Consumed Today 7,019.7 Used this Well • Peak(D) 1800.1 Halliburton(D) 553.2 BGF(G) 256.9 Gasoline Consumed Today 256.9 PERSONNEL AND HSE PERSONNEL ON LOCATION SUMMARY HSE SUMMARY Company Position Count Esters Total Hours Notes Incident Type I Today Comments Kuukpik Drilling 'Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-BSS Cementing 7 13 91 Three in camp.The rest staying In Barrow Spill 0 . HES-BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Csg Crew Umiaq Ops Support 12 12 144 {Spill tech in camp. All others in Barrow Vetco Gray Wellhead Peak NI Support14 13 182 Five in camp. The rest staying in Barrow - -- KuukpIkCaterin9Cook/Clean 5 12 80 - Alutiiq Camp Manager 1 12 12 Beacon Medic 1 12 12 Oasis Sample Catchers 2 12 24 AOGCC _ Inspectors PRA DSM _ 2 _ 12 24 PRA HSE 1 12 12 PRA PRA Geologists I 2 12 24 i ESTIMATED TOTAL DAILY LABOR HOURS: 960 Total Personnel in Camp: 53 Individuals 4 WALAKPA#12 DAILY DRILLING REPORT 28-Jan-12 Operator North Slope Borough Project Description B as Fields Well • Well Site Leaders Don Breeden/Thor Kailestad .ng Program Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023.20040.00-00/211-159 Land Use Permit NSB Development Permitowe Phone (907)771-1002 (PTD 0) #10-252 Rig Accept 14-Jan @ 72:00 RigContractor Kuu Drilling,LLC:Kuukpik DrillingRig#5 Date/Time Drill Rate �' Property Designation Walakpa Well Sib Phone (907)771-1021 Rig Release 06:00 Depth 3,680 MD/2,299 TVD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well ! 14 I OART Testing 7"rams Operations Next 24- TIN with 7"26 ppf intermediate casing. Land and cement. WOC and prepare for Hours BOPE test OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY r CUMULATIVE ACTIVITY SUMMARY Start Finish I Hours Description Detail Daily J _. Total 06:00 06:30 0.5 Lubricate rig 1.Rig Up/Rig Down 300.0 06:30 10:0.0 3.5 •TIH to 3680' 2.Drilling _ __ 77.5 _ 10:00 Circulate out clay.Augurpacked off. Clean y g augur 7 by slowly bringing flow up as much as 3.Reaming 12:00 2.0 equpment can handle;450 gpm 4.Coring _ 12:00 14:00 2.0 Condition mud and circulate 5.Condition and Circulate 4.0 19.5 14:00 19:00 5.0 Trip to shoe 6.Trips 16.0 74.5 19:00 19:30 0.5 Monitor well and clean rig floor 7.Lubricate Rig 0.5 1.0 19:30 21:00 1.5 POOH 8.Repair Rig 21:00 03:00 6.0 LID BHA. Download LWD. UD float sub,LWD tools,and motor 9.C/O Drill Line 2.5 03:00 05:00 2.0 Change top rams to 7". Clear rig floor 10.Deviation 2.0 0500 06:00 1.0 R/U to test 7"rams 11.Wireline Log """Trip I Overpull Summary"° 12.Run Casing and Cement 16.5 Tripped to bottom on elevators. No noteworthy obstructions encountered. Washed last 13.Watton Cement I stand down. Circulated-7 BU's. TOH on elevators. Periodic-10K over on way up 14.Nipple up BOP 2.5 65.5 - °°' Current Weather""" through 3100'to 2850'. Down and ups and no overpulls. Minimal overpulls(-5K)through 15.Test BOP 23.5 -35F parts of HRZ. No noteworthy overpulls above HRZ;good hole quality 16.Drill Stem Test 1.5 Winds-10 mph from the southwest ""AOGCC Update"` 17.Plugback DSMs spoke with Matt Herrera yesterday and today. He has ticket booked to fly from 18.Squeeze Cement _ 1 _ Deadhorse to Barrow on Sunday and leave Monday. DSMs will remain in contact with 19.Fishing `k Matt regarding BOPE testing schedule 20.Directional Work ""EB-15 Update 1.0 13.0 Received fluids from rig today. Current tank farm volmes are: Other 3.0 TOTAL HOURS: 24.0 • 728 bbls waste fluid,250 bbls fresh water,120 bbls diesel TOTAL HOURS:' 24.0 600.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG 'i TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS OBD FT/HR 1 121/4 HDBS MT-622394 11748526 3x16,1x12 94 1,207 1,113 1-1-WT-P-E-1-NO-TD 20.35 54.69 2 81/2 HDBS PDC-FX2526 5013668 5x13 1.091 3,680 ' 2,589 0-1-CT-S-X-1-NO-TD 26.02 99.50 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM215"RKB_GL Is 31.7' CEMENT PROGRAM -- (i ) (ppf) 1 (ft) (ft) Seetion .., OD n WeightGrade Thread MDTVDContractor I CIP ,- Type _ Comments 111 YP Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 0330 "C"Permafrost TOO at-12'bgs. No u-tube Surface 95/8 40 L-80 BTC-M 1194 1,156 Halliburton 20-Jan-12 @ 1600 "L" "C" Surface • ! LSND DRILLING FLUID PROPERTIES LSND DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) 0 Description Daily Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gal) 9.9 Gels(sacks) Liner Size(in) I 5 'Liner Size(in) 6 VIS(sec/qt) 56 Citric Acid Stroke(in) 10 'Stroke(in) 9 PV(cp) 18 Caustic Soda(sacks) BBUSTK @ 97% 0.059 BBL/STK @ 97% 0.076 YP(lbs/100ft2) 20 Lime(sacks) SPM SPM Gels(lbs/100(12) 8/9/11 Sodium Bicarb(sacks) GPM GPM pH 9 Barazan D Plus(sacks) 1 PSI PSI Filtrate WL(mL/30 min) 5.2 PAC-L(sacks) WELL CONTROL Sand(%by vol) 0.25 Baroid 41(sacks) 58 SPR Pump#1 SPR Pump#2 Solids(%by vol) 7.7 BARO-TROL PLUS(sack) SPR Pump#1 I SPR Pump#2 LCM(ppb) None DESCO Chrome Free(sack) _ 1 LOT EMW(ppg) 30.6 CI(mg/L) 600 ALDACIDE G (bucket) 3 DRILL STRING AND HYDRAULICS Ca(mg/L) 120 SOLIDS CONTROLrEQUIPMENT AVDP(fps) AVDC(fps) • Cake(API 32nd inch) 2 Shaker Screens Hours BU Strokes WOB(k-Ib) PF/MF(ml) 0/0.5 Super G 70 24 Total Strokes ,RPM Cake 0 Super G 100 24 Pick Up(k-lb) TFA(in) Pit Vol(bbls) 360 Super G ! _ 140 24 _ Slack Off(k-lb) • HHP total Hole(bbls) 278 Centrifuge 1. Speed Hours _ Jet Vel(fps) dP @ Bit(psi) • Reserve(bbls) 316 Pit 3 Centrifuge 2300 INTERMEDIATE SECTION BHA(BHA 200). TOOLS OUT OF HOLE AND LAID DOWN ON 28-JAN @ 02:45 - Item __I Description OD(In) ID(in) : Gauge(in) -Connection _ Length(ft) Vendor Cumulative Length(ft) FIna16RT hrs 1 HDBSFX2526PDC 6.000 , 2.350 8.500 P4-1/2"REG 1.01 1.01 76.25 2 6-3/4"SperryDrill Lobe 6/7-5.0 stg 6.750 4.498 ! 84-1/2"IF 27.21 28.22 76.25 3 Btm Sleeve Stabilizer 8.31 76.25 4 63/4"DM Collar B4-1/2"IF 3.125 3 1/4 B4-1/2"IF 9.20 37.42 76.25 5 Gamma/Res/HCIM 6.750 1.920 841/2"IF 33.24 70.66 76.25 6 6-3/4"HOC 6.900 3.250 84-1/2"IF 10.05 80.71 76.25 7 Float Sub 6.687 2.875 84-1/2"IF 2.41 83.12 76.25 8 Flex Collar 6.813 3.000 B4-1/2"IF 31.09 114.21 76.25 9 Flex Collar _- 6.500 2.875 134-1/2"IF 30.63 144.84 76.25 10 Flex Collar 6.812 2.875 84-1/2"IF 31.08 175.92 76.25 11 X-Over Sub 6.250 2.500 134-1/2"IF 2.62 178.54 76.25 _ 12 Jar 6.120 2.750 84-1/2"IF 31.51 210.05 76.25 13 X-Over Sub 5.937 2.500 B4"MOD 2.62 212.67 76.25 14 17-4"XT-39 HWDP 4.000 2.563 525.84 738.51 -- 76.25 e♦ - - - --------- - -- : TOTAL BHA LENGTH: 738.51 `- MOST RECENT DIRECTIONAL SURVEYS z ,. -- INC AZ TVD +N I-S +E/-W VS DLS- •- Ca eulatlon VS Az-131 • 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 2A0 Minimum Curvature 101.08- 3615.48 74.57 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 3646.68 75.33 102.77 2291.22 -440.19 +2324.77 2366.03 3.04 Minimum Curvature 101.08 3680.00 75.33 102.77 2299.66 -447.55 +2357.27 2398.53 0.00 Projected to Casing Point 101.08 FUEL CONSUMPTION TRACKING • KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT:I 26-Jan-12 -_ Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) { Customer Vol(gal) Summary Quantities 1 Vol(gal) ; Delivered Today 1,700.0 Kuukpik(D) 282.2 Tikigaq/Conam(D) 284.6 5,000-gallon Tank(G) Total Diesel Consumed 129,881.5 _ On Hand Today 1 6,800.0 Delta Lease(D) BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 6,968.7 Used Today-__-1 2,050.0 Umiaq(D) 20.3_ •AES(D) NSB Equipment(D) Diesel Consumed Today 3,803.3 Used this Well I 28,455.0 Peak(D) 740.5 Halliburton(D) 2475.7 BGF(G) 239.9 Gasoline Consumed Today 239.9 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY ,��u .,. Company:,,`' Position Count Est Hours Total Hours, Notes Incident Type Today Comments .dill Kuukpik Drilling Rig Crew ----- 22 12 264 Illness 0 _---- ---_ Kuukpik Drilling. Tool Pusher 2 12 24 Injury 0 HES BSS Cementing 7 13 91 Three in camp. Four staying in Barrow Spill 0 HES BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew 2 12 24 Umiaq 0.-Support 10 12 120 Spill tech in camp. All others in Barrow Vetco Gray, Wellhead 1 1212 1 Staying in Barrow Peak RigSupport 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Caterin, Cook/Clean 5 12 60 Aluliiq Camp Manager 2 12 24 I Multi-day change out with new hire Beacon Medic 1 12 12 Oasis Sample Catchers 2 12 24 -AOGCC Inspectors PRA DSM 2 12 24 PRA HSE 1 • 12 12 PRA PRA Geologists 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 997 I Total Personnel in Camp: 56 Individuals t_ WALAKPA#12 DAILY DRILLING REPORT 29-Jan-12 Operator North Slope Borough Project Description I E as Fields Well Well Site Leaders ' Don Breeden/Thor Kallestad .ng Program r _ Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023-20040.00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 14-Jan L 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate Rig Release 06:00 Depth 3,680 MD/2,299 TVD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Rigging down cement job equipment and setting Vetco Operations Next 24- Days on Well 15 DART packoff Hours WOC. Nipple up and test BOPE. Possibly pick up production hole tools OPERATIONS SUMMARY -- 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Start ' Finish .:Hours _ _Description Detail Daily Total 06:00 08:00 2.0 Steam frozen wear bushing. Kelly up and circulate to thaw. Pull wear bushing 1.Rig Up/Rig Down 300.0 08:00 11:00 3.0 P/U T test joint. Set plug. Test T rams to 250/3500 psi. L/D test joint. Blow down choke 2.Drilling I 77.5 11:00 14:30 3.5 Prep no floor to RIH T casing. R/lJ GBR tools. PJSM 3.Reaming 14:30 18:00 3.5 RIH to casing shoe 4.Coring 18:00 18:30 0.5 Circulate and condition mud 5.Condition and Circulate 2.5 22.0 18:30 20:30 2.0 RIH to casing joint#58:-2,400'MD 6.Trips 74.5 20:30 21:00 0.5 Reciprocate and circulate. Condition mud 7.Lubricate Rig 1.0 21:00 23:00 2.0 RIH to 3,670'MD 8.Repair Rig 23:00 23:30 0.5 Install hanger and landing joint 9.C/O Drill Line 2.5 23:30 _ 03:30 4.0 ICirculate 4 BU's and rig up/prepare for cement job. PJSM 10.Deviation 2.0 03:30 04:30 1.0 Pump spacer,cement,and displace 11.Wireline Log 04:30 I 06:00 1.5 R/D cement head and lines. UD landing joint. Install packoff 12.Run Casing and Cement 16.5 33.0 --- -` 13.Wait on Cement ***Current Weather«* *** Intermediate Casing Cement Summary *** 14.Nipple up BOP 65.5 Ambient Temperature: -20F 'Landed casing and circulated 4.5 BU's. Switched to cement van pumps. Pumped 10 bbl 15.Test BOP 3.0 26.5 Winds: -15 mph from the southwest water. Pumped 40 bbl,13.5 ppg spacer. Dropped bottom plug. Pumped 19.2 bbls,15.8 16.Drill Stem Test 1.5 ppg"G"cement. Dropped top plug. Pumped 21 bbl water. Switched to rig pumps. Pumped 17.Plugback *** EB-15 Update**** :111 bbl mud. Plugbumped at 260 psi. Pressured to 1,005 psi. Bled off. Floats held. 18.Squeeze Cement EB-15 access is via single lane only due to drifts CIP at 04:40 on 29-Jan 19.Fishing Current tank farm volumes: 821 bbls waste fluid, ***AOGCC Update *** 20.Directional Work 250 bbls fresh water,203 bbls diesel Matt Herrera will arrive in Barrow Sunday at 4 PM, He needs to leave on the Monday 3 PM 2.0 15.0 flight,regardless of whether we complete our BOPE testing. He will witness what he can Other 3.0 TOTAL HOURS: 24.0 during that interval and,if need be,allow us to finish after he leaves, TOTAL HOURS: 24.0 624.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET j BIT GRADE SII._HRS OBD FT/HR 121/4 HDBS MT-622394 11748526 3v16,1v12 94 1,207 1,113 1-1 WT-P-E-1-NO-TD 20.35 54.69 2 81/2 HDBS PDC-FX2526 5013668 5x13 1,091 3,6180 1- 2,589 1 o-1-CT -1-NO-TD 26.02 99.50 99.50 • CASING AND COMPLETION N PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5 RKB.GL is 31.T CEMENT PROGRAM Section 1 OD(in) Weight(ppf) Grade Thread MD(ft) TVD(ft) Contractor CIP Type T Comments Conductor 16 84 L-80_ Welded 101.5 101.5 Halliburton 26-Dec-11,j3 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 W 16.00 "L" "C" Surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 1 29-Jan-12 @ 04:40 "0" Plug bumped • PUMP#1 PUMP#2 LSND DRILLING FLUID PROPERTIES LSND DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) N/A Description Daily Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gal) 9.9 Gels(sacks) Liner Size(in) 5Liner Size(in) !, 6 VIS(sec/qt) 56 Citric Acid Stroke(in) 10 Stroke(in) 9 PV(cp) 18 Caustic Soda(sacks) BBUSTK @ 97% 0.059 BBL/STK @ 97% 0.076 YP(lbs/100fe) 20 Lime(sacks) SPM � 69 SPM Gels(Ibs/100ft5) -__ _ __ 9/10/13-_ Sodium Bicarb(sacks) • GPM I 171 GPM pH 8.6 Barazan D Plus(sacks) PSI 269 PSI Filtrate WL(mL/30 min) 5.5 PAC-L(sacks) WELL CONTROL Sand(%by vol) 30 THERMA-THIN(jug) 8 SPR Pump#1 ___' SPR Pump#2 Solids(%by vol) 8.1 BARO-TROL PLUS(sack) SPR Pump#1 i SPR Pump#2 LCM(ppb) None DESCO Chrome Free(sack) 2 LOT EMW(ppg) 1 30.6 CI(mg/L) 550 ALDACIDE G (bucket) I DRILL STRING AND HYDRAULICS Ca(mg/L) 120 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) Cake(API 32nd inch) 2 Shaker Screens j Hours BU Strokes • WOB(k-Ib) PF/MF(mJ) 0/0.5 Super G 70 24 Total Strokes I RPM Cake 0 Super G 100 24 Pick Up(k-Ib) ITFA(ire) Pit Vol(bbis) 359 Super G 140 _ 24 Slack Off(k-lb) 'HHP total Hole(bbls) ', 252 Centrifuge Speed l Hours Jet Vel(fps) dP(a)Bit(psi) Reserve(bbis) 294 Pit 3 Centrifuge 2300 CURRENT BHA -- • Item Description '-i. OD In ID(in) Gauge in Connection Length(ft) Vendor Cumulative Length(ft) Final BRT hrs O -, 9O, ' TOTAL BHA LENGTH: 0.00 MOST RECENT DIRECTIONAL SURVEYS MD ,' •-„k. . . _ AZ TVD ' +N/-S ! +E/-W VS DLS Calculation '.t; 'Azimuth 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 2.10 Minimum Curvature 101.08 __ 3615.48 74.57 i 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 3646.68 � 75.33 102.77 I 2291.22 -440.19 +2324.77 2366.03 3.04 Minimum Curvature 101.08 3680.00 75.33 102.77 2299.66 -447.55 +2357.27 2398.53 0.00 Projected to Casing Point 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT:, 27 • "" Customer Vol(gal) -Customer Vol(gal) Customer TVol(gal) Customer Vol(gal) Summary Quantities Vol(gal) Delivered Today Kuukpik(D) 4877.2 Tikigaq/Conam(D) 759.8 5,000-gallon Tank(G) Total Diesel Consumed 138,846.6 On Hand Today Delta Lease(D) 1 567.7 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed • 7,132.8 Used Today ' Umiaq(0) 181.7 AES(D) NSB Equipment(D) Diesel Consumed Today 8,965.1 Used this Well 28,455.0 Peak(D) 1743.6 Halliburton(D) 835.1 BGF(G) 164.1 Gasoline Consumed Today 164.1 PERSONNEL AND HSE ,. PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company { P • +:.Count Est Hours Total Hours Notes Incident Type :I Today __Comments _MI Kuukpik Drilling Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-BSS Cementing 7 /' 13 91 Thee In camp. Four staying in Barrow Spill 0 HES-BSS _ Mud 2 13 26 TundaDisturbance 0 _ HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew I 2 12 24 Umiaq Ops Support 10 12 120 Spill tech in camp. All others in Barrow Vetco Gray Wellhead _ _ 1 12 12 Working OT and sleeping on camp couch Peak Rig Support 15 13 195 Fivein camp. Ten staying in Barrow -_ KuukpikCatering__- CooklClean 5 12 60 Alutiiq Camp Manager 2 12 24 Multi-day change out with new hire Beacon Medic 1 12 12 Oasis Sample Catchers 2 12 24 AOGCC Inspectors PRA IDSM _. 2 12 _ 24 PRA I HSE i 1 12 12 PRA PRA Geologists 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 997 Total Personnel In Camp: 56 Individuals "NALAKPA#12 DAILY DRILLING RE- ''RT 30-Jan-12 Operator North Slope Borough Project Description Ba. as Fields Well Well Site Leaders Don Breeden/Thor Kallestad .neeng Program Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#/AOGCC 023-20040-00.00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept • 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukplk Drilling Rig#6 Property Designation Walakpa ' Well Site Phone ' (907)771-1021 Date/Time Drill Rate 1 Rig Release 06:00 Depth p Date/Time (feet)rkb 3,680 MD/2,299 TVD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Days on Well 16 DART Preparing to pick up BHA Operations Next 24- Pick up BHA. Single in.Test casing. Drill float collar,shoe track,float shoe and Hours 20'of new hole. Swap mud. FIT to 13 ppg. Drill ahead OPERATIONS SUMMARY ., 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY i'StartiL-Finish _ - Hours ---_--- Description Detail I Daily L Total 06:00 08:00 2.0 Drain stack. Suck out cellar. LID 7"elevators and bail extensions. R/U DP elevators 1.Rig Up/Rig Down 300.0 08:00 P/U test joint. M/U packoff assembly. Set packoff in wellhead. Run in lock downs. Test 2.Drilling 77.5 12:00 4.0 packoff to 5,000 psi for 15 mns. Work on installing 2 1/16"annulus valves 3.Reaming - 12:00 13:30 1.5 Finish installing 2 1/16"annulus valves 4.Coring 13:30 15:30 2.0 R/U power washer. Wash down rig floor and cellar. Clean and organize 5.Condition and Circulate 22.0 - IT 15:30 16:30 1.0__- Change top rams from 7"to 4" 6 Trips 0.5 75.0 16:30 18:00 1.5 I R/U test joint and testing equipment. Set test plug 7.Lubricate Rig 0.5 1.5 _ 18:00 .Test annular to 250/2500_psi. Test both pipe rams,blinds,all choke and kill valves,floor 8.Repair Rig 23:30 5.5 'valves and TD valves 250/3500. Test koomey. All tests observed by AOGCC Rep 9.C/O Drill Line 2.5 23:30 24:00 0.5 R/D test equipment. Blow down BOP and related equipment. Install wear ring 10.Deviation 2.0 00:00Install two flanges on annulus valves 11.Wireline Log 01:30 __-- 1.5 i Troubleshoot blockage In mud line. Ice plug located In kelly hose 25'below goose 12.Run Casing and Cement 33.0 05:00 3.5 neck. Remove kelly hose to steam. Clean pits and build mud 13.Wait on Cement 05:00 05:30 0.5 Lubricate rig 14.Nipple up BOP i 6.0 71.5 05:30 06:00 0.5 Clean an and prepare rig floor to-P/U BHA 15.Test BOP 5.5 32.0 16.Drill Stem Test 1.5 - - '""Current Weather I". 17.Plugback Ambient Temperature: -40F.Winds: -10 mph from the south 18.Squeeze Cement 19.Fishing "' EB-15_pdate"" 20.Directional Work • Approximate volumes: 1,275 bbls waste fluid,250 bbls fresh water,203 bbls diesel 11.5 26.5 Other 3.0 TOTAL HOURS: 24.0 ---y- TOTAL HOURS: 24.0 i 648.0 DRILLING AND COMPLETION INFORMATION F- BIT NUMBER sag(in) MFG TYPE _ SERIAL NUMBER 1 JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE • HRS OBD FT/HR 1 121/4 HDBS MT-822394 11748526 3x16.1x12 94 1.207 1,113 1-1-WT-A-E-1-NO-TD 20.41 54.53 2 _81/2 HDBS PDC-FX2526 5013668 5x13 1.0 1 1,680 2,589 0-1-CT-S-X-l.No-7o 26.27 98.55 3(Re-run) 6 1/8 HDBS I PDC-FXG55D 11747462 Sell rCASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM • Section OD(in) Weight(ppf) Grade Thread MD(ft) TVD(ft) _ Contractor -- CIP Type f Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC x1'12'bgs. No u-tube Surface 95/8 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12@16:00 Relurnstosurface Intermediate 7 26 -80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 Plug bumped PUMP#1 PUMP#2 LSND DRILLING FLUID PROPERTIES LSND DRILLING FLUID INGREDIENTS Manufacturer • Ellis Williams Manufacturer TSM FL Temp("F) N/A Description I. _Daily-T Cumulative Model WH-1000-A Model 1 TSM1000 Weight(lbs/gal) 9.95 Gels(sacks) Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 55 Citric Acid Stroke(in) I 10 Stroke(in) _ 9 PV(cp) 20 Caustic Soda(sacks) • BBUSTK @ 97% 0.059 BBUSTK 0 97% 0.076 YP(lbs/100ft2) 15 Lime(sacks) SPM SPM Gels(lbs/100ft) 10/11/13 Sodium Bicarb(sacks) GPM 'GPM pH 8.4 Barazan D Plus(sacks) PSI PSI Filtrate WL(mL/30min) 5.8 PAC-L(sacks) i WELL CONTROL - Sand(%by vol) 0.3 THERMA-THIN(jug) 1 SPR Pump#1 SPR Pump#2 Solids(%by vol) 80 BARO-TROL PLUS(sack) SPR Pump#1 SPR Pump#2 LCM(ppb) None DESCO Chrome Free(sack) - LOT EMW(ppg) CI(mg/L) 550 ALDACIDE G(bucket) DRILL STRING AND HYDRAULICS Ca(mg/L) 120 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) Cake(API 32nd inch) 2 Shaker I_ Screens . _ Hours - BU Strokes WOB(k-Ib) PF/ME(ml) 0/0.5 Super G 70 5 Total Strokes RPM Cake 0 Super G 100 5 Pick Up(k-Ib) TFA(in) 0.464 Pit Vol(bbls) 56 Super G l 140 5 Slack Off(k-Ib) HHP total Hole(bbls) 141 Centrifuge 1 Speed i Hours Jet Vel (fps) it(psi) Re-serve (bbls) 284 Pit Centrifuge 2300 H L.._ Item Description OD n) I (in) I Gauge(n) Top ConnectionLength(ft) 1Vendor� Cumulative Lengtl► BRT hours 1 HDBS FX G55D LGPDC 6.000 2.500 ; 6.125 B 3-1/2"IF1.18 HAL 1.18 _- 2 Geo-Pilot 5200 ) 5.250 1.125 5.875 {I-__ B 3-1/2"IF 16.19 1 HAL - --- 17.37 - - 3 Geo-Pilot 5200. Flex Collar 4.250 2.610 ' T B 3-1/2"IF 11.54 HAL 28.91 4 •ILS 4 17/25 1.420 5.940 B 3-1/2"IF 3.58 HAL 32.49 5 SP4Gamma/Res/HCIM 4.720 1.420 B3-12'IF 24.40 HAL 56.89 - 6 MWD PWD 4.710 1.420 B 3-12"IF -�. 10.85 HAL 67.74 _ -- 7 ILS 4.750 1.420 6.100 B 3-12"IF 3.58 HAL 71.32 - -- 8 DM Collar • 4.750 2.610 B 3-1/2"IF 9.27 HAL ' 80.59 9 Telemetry HOC 4.790 2.812 B 3-1/2"IF 11.28 HAL 91.87 -- - --- -- III _ 10 I Float Sub 4.750 2.500 B 3-1/2"IF 2 19 HAL f 94.06 _ 11 (Flex Collar 4.670 2.250 - B3-1/2"IF 3104 HAL I 125.10 --- 12 'Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 1 HALE 156.10 13 Flex Collar 4.780 2.250B 3-1/2"IF 30.90 HAL 187.00 14 Weatherford XO -__t_4.970 ---2.563 --_- - B 4"Mod 2.64 i WFT 189.64 15 4"XT-39HWDP(4 joints) 4.000 ---2.563 - -- - 131.48 WFT 321.10 16 4-3/4"Daily Hydraulic Jars 4.820 2.000 B 4"Mod I 31.51 i WFT 352.61 17 4"XT-39HWDP(12 joints) i 4.000 2.563 394.38 WFT 746.99 • TOTAL BHA LENGTH: 746.99 __.- _ _MOST RECENT DIRECTIONAL SURVEYS "IIMy 1 INC T AZ 1 TVD I +N/-S ' +E I-W VS DLS ___ Calculation VS Azimuth 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 I 2.10 Minimum Curvature 101.08 __ 3615.48 74.57 102.18 2283.12 -433.68 +2295.35 2335.91 _ 4.03 Minimum Curvature 101.08 _ 3646.68 75.33 102.77 2291.22 -440.19 +2324.77 2366.03 i 3.04 Minimum Curvature 101.08 3680.00 75.33 102.77 2299.66 -447.55 +2357.27 2398.53 0.00 Projected to Casing Point 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT:1 28-Jan-12 Customer Vol(gal) Customer Vol(gal) 1 Customer Vol(gal) Customer Vol(gal) _ Summary Quantities ', Voi(gal),._ Delivered Today 1,000.0 Kuukpik(D) 3310.9 ITikigaq/Conam(D) 500.0 5,000-gallon Tank(G) Total Diesel Consumed 148,771.4 On Hand Today • 5,400.0 Delta Lease(D) 660.7 I BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 7,375.0 Used Today i 1,900.0 Umlaq(D) 61.1 'GBR(D) 7.3 INSB Equipment(D) Diesel Consumed Today 9,924.8 Used this Well 32,225.0 Peak(D) 1606.8 Halliburton(DI 3778.0 BCE(G) f 242.2 Gasoline Consumed Today 242.2 - PERSONNEL AND HSE PROJECT SUMMARY PROJECT HSE SUMMARY Company T Position I_ Count Est Hours Total HoursNotes Incident Type �� Today Comments 41111 Kuukpik Drilling 'Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 _ HES-BSS Cementing 7 13 91 Three in camp. Four staying in Barrow Spill I, 0 HES-BSS Mud 2 13 26 Tunda Disturbance li 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting I 0 HES :Supervisor 1 13 13 HES supervisor staying In Barrow Near Miss 0 - GBR Casing Crew --_ -- Umiaq Ops Support 7 12 84 }Spill tech in camp. All others in Barrow _ Vetco Gray Wellhead 1 12 _ 12 Stayed in Barrow. Leaving today • Peak Rig Support 15 - 13 195 Five In camp.Ten staying in Barrow Kuukpik Catering iCook/Clean 5 12 60 Alutiiq Camp Manae=r 2 12 24 Multi-day change out with new hire Beacon Medic 1 12 12 - --_--- _ Oasis Sample Catchers 2 12 24 AOGCC BOPE Inspector 1 12 12 r Stayed in rig camp. Leaving today PRA --___-DSM 2 - - 12 24 -.. PRA 1HSE1 12 12 PRA PRA Geologists '`. . 2 1 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 949 Total Personnel In Camp: 55 Individuals WALAKPA#12 DAILY DRILLING RE 'RT 31-Jan-12 Operator • North Slope BoroughB� as Fields Well p9 Project Description „❑ding Program Well Site Leaders Don Breeden/Thor Kallestad Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept i 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate • Rig Release 07:00 Depth 3,751 MD/-2,315 TVD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone . (907)771-1025 DateRime (feet)rkbi -- -- - - - Operations Next 24- 1. Days on Well 17 OART Pumping LCM pill. Building mud Hours Build mud,heal hole,try and drill ahead • OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY _ Hours Description Detail Daily T Total A 06:00 12:00 6.0 P/U BHA to 321' --- --- 1.Rig Up/Rig Down 300.0 _ 12:00 13:00 • 1.0 P/U jars and HWDP.Cycle RSS tool.Blow down top drive 2.Drilling 9.0 86.5 13:00 16:30 3.5 Trip to stand 44 3.Reaming i 16:30 17:30 1.0 Condition mud and circulate 4.Coring 17:30 18:00 0.5 •Perform good casing test. 2,500 psi for 30 mns 5.Condition and Circulate 2.5 24.5 _ 18:00 Wash down and tag float. Cement stringers from 3225'to 3,570'. Firm cement from 6.Trips 10.5 86.0 19:00 1.0 3,570'to 3,588'. 7.Lubricate Rig 1.5 19:00 21:30 2.5 Drill float collar 8.Repair Rig 21:30 22:30 1.0 Drill shoe track. Drill float shoe. Drill rathole to 3,682' 9.C/O Drill Line 2.5 22:30 - 2400 1.5 'Swap mud from LSND to Baradrill-N 10.Deviation j 2.0 00:00 02:30 2.5 Drill from 3,682'to 3,702' 11.Wireline Log 02:30 03:30 1.0 Pull to shoe. Good FIT at 13.5 ppg EMW. 465 psi,2,305'ND,9.65 ppg mud 12.Run Casing and Cement 33.0 03:30 05:30 2.0 Drill from 3,702'to 3,751'. Lost all returns at 05:30 13.Wait on Cement 05:30 06:00 0.5 Pull to shoe %A..._ _ _ 14.Nipple up BOP _-_ 71.5 15.Test BOP 32.0 16.Drill Stem Test 1.5 "`Current Weather"` 17.Plugback Ambient Temperature: -45F. Winds: -5 mph from the south 18.Squeeze Cement 19.Fishing - - - m EB-15 Update °" 20.Directional Work Approximate volumes: 1,420 bbls waste fluid,250 bbls fresh water,203 bbls diesel _ 2.0 31.0 Tubing and annulus pressures are both about 370 psi Other TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 672.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET BIT GRADE HRS OBD 17/HR _y _ 1 121/4 HDBS MT-6223©4 11748526 3x16,1x12 94 1,207 1,113 1-1-WT-A-E-1-NO-TD _ 20.41 _ 54.53• • 2 _ 81/2__ HD_BS iPDC-FX2526 5013668 5x13 1,091 3.680 2,589 '0-1-CT-S-X-1-NO-TD 26.27 98.55 3(Re-run) I 61/8 HDBS !PDC- FXG55D 11747462 5x11 3,570 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM t Section OD(in) Weight(ppf) Grade Thread MD(ft) TVD(ft) Contractor CIP TIP* Comments Conductor 16 84 L-80 _Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 46 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 I "L"'C' I Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 r 04:40 "G" Plug bumped PUMP#1 PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) 50 -Description Daily Cumulative Model WH-1000-A Model TSM1000 Weight(Ibs/gal) 9.6+ BARACARB 5(SACK) 280 Liner Size(in) 5 _ Liner Size(in) 6 VIS(swigs) 70 Citric Acid 2 97% 0.05910BBL/STK(in) 97% 9 PV(cp) _ 20 BARCARB 25(sack) 135 SBBBL/STKSTK 0.076 YfiIbs/100ft2} __. 27 Potassium Chloride(sacks) 196 SPM 83 'SPM Gels(ibs/100ft2) 14/17/20 N-VIS(sack) 26 GPM 203 GPM pH _ 8.7 N-DRIL HT+(sack) 13 PSI I 1340 PSI Filtrate WL(mL/30 min) 4.9 DEXTRID LT(sack) 5 WELL CONTROL Sand(%by vol) 0 THERMA-THINS(ug) 0 SPR Pump#1 1 SPR Pump#2 Solids(%by vol) 5.7 BARACARB 150(sack) 70 SPR Pump#1 ISPR Pump#2 LCM(ppb) None Solar Salt(sack) 193 _ FIT EMW(ppg) 13.5 ', CI(mg/L) 63,000 XC 207(jug) 6 DRILL STRING AND HYDRAULICS Ca(mg/L) 320 SOLIDS CONTROL EQUIPMENT • AVDP(fps) 74 AVDC(fps) Cake(API 32nd inch) 1 Shaker Screens -I Hours BU Strokes 1,043 I WOB(k-lb) PF/MF(ml) 0/0.3 Super G 70 6 Total Strokesp 3,644 1TFA(inRPM Cake 0 Super G 100 6 Pick U (k-lb) t) 0.464 Pit Vol(bbls) 163 Super G 140 6 Slack Off(k-Ib) HHP total Hole(bbls) 115 Centrifuge , Speed I _ Hours Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) 142 Pit 3 Centrifuge 2300 BHA 300 Item • Description I OD(in) I ID(in) I.Gauge(In) Top Connection Length(ft) Vendo1 Cumulative Length(ft) BRT hours 1 HDBS FX G55D LGPDC 6.000 2.500 : 6.125 B 3-1/2"IF 1.18 HAL 1.18 _ 2 Geo-Pilot 5200 5.250 1.125 i 5.875 B 3-1/2"IF _� 16.19 HAL 17.37 __ __ 3 Geo-Pilot 5200 Flex Collar _ 4.250 2.810 B 3-1/2"IF ___� 11.54 HAL 28.91 - __ 4 ILS 417/25 1.420 5.940 B 3-1/2"IF __ 3.58 HAL 32.49 5 •SP4 Gamma/Res/HCIM 4.720 1.420 B 3-1/2"IF 24.40 HAL 56.89 6 MWD PWD 4.710 1.420 B 3-1/2"IF ! 10.85 _ HAL 67.74 7 ILS 4.750 1.420 6.100 B 3-1/2"IF j 3.58 HAL 71.32 _--_- _ 8 DM Collar 4.750 2.610 B 3-1/2"IF i 9.27 I HAL_ 80.59 9 Telemetry HOC 4190 2.812 B 3-1/2"IF 11.28 HAL 91.87 10 Float Sub 4.750 2.500 B 3-1/2"IF _ 2.19 t HAL 94.06 11 Flex Collar 4.670 2.250 B3-1/2"IF 31.04 1 HAL 125.10 _ 12 Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 _ HAL 156.10_ 13 'Flex Collar 4.780 2.250 - B 3-1/2"IF 30.90 HAL 187.00 .. 14 Weatherford XO __ 4.970 2.563 6 4"Mod 2.64 WFT 189.64 15 '4"XT-39HWDPA4 joints) 4.000 2.563 131.46 I WFT 321.10 __ 16 _ '4-3/4"Daily Hydraulic Jars 4.820 2.000 B 4"Mod 31.51 I WFT 352.61 17 •4"XT-39 HWDP(12 joints) 4.000 2.563 394.38 WFT 746.99 • TOTAL BHA LENGTH: 746.99 MOST RECENT DIRECTIONAL SURVEYS MD INC AZ TVD +N I•S +E I-W VS DLS Calculation VS Azimuth 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 2.10 Minimum Curvature 101.08 3615.48 74.57 � 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 3646.68 75.33 102.77 2291.22 -440.19 +2324.77 2366.03 3.04 Minimum Curvature 101.08 3680.00 75.33 102.77 2299.66 -447.55 +2357.27 2398.53 0.00 Projected to Casing Point 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 30-Jan-12_ Customer Vol(gal) Customer I Vol(gal) Customer _- Vol(gal) Customer I VOI-(gal),_ Summary Quantities Vpl1,ga) ' Delivered Today 2,800.0 Kuukpik(D) 3212.3 Tikigaq/Conam(D) 388.9 5,000-gallon Tank(G) Total Diesel Consumed 158,086.0 On Hand Today 6,300.0 Delta Lease(D) I 325.1 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 7,889.2 Used Today __-. 1,900.0 Umiaq(D) ' 103.5 GBR(D) NSB Equipment(D) Diesel Consumed Today 6,564.5 Used this Well 34,125.0 Peak(D) 1879.3 Halliburton(D) 655.4 BGF(G) 335.0 Gasoline Consumed Today 335.0 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company I Po Count JAPiEst Hours Total HoursNotes Incident Type Today Comments Kuukpik Drilling 'Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-BSS Cementing 7 13 91 Three in camp. Four staying in Barrow Spill 0 HES-BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Casiw ng re - -- -- - Umiaq Ops Support 7 � 12 84 Spill tech In camp.All others in Barrow Vetco Gray Wellhead _ __ Peak 'Rig Support 15 13 195 Five in camp. Ten staying in Barrow -- Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager 1 12 12 Beacon :Medic 1 12 12 - -_- _-- Oasis Sample Catchers 2 12 24 AOGCC BOPE Inspector PRA DSM 2 12 24 _ ! PRA HSE 1 12 12 PRA -_-.. I PRA Geologists 2 12 24 _.. _ ESTIMATED TOTAL DAILY LABOR HOURS:! 913 Total Personnel in Camp: 53 Individuals mal ..�� .ya "VALAKPA#12 DAILY DRILLING RE" 'RT 1-Feb-12 Operator North Slope Borough Project Description Ba. as Well u...ung Program Well Site Leaders I Don Breeden/Thor Kallestad Well Name Walakpa#12 CIP Number 68090 i Cell Phone t (907)980-4206 API#/AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone I (907)771-1021 Dale/Time Drill Rate _ Rig Release 07:00 Depth 3,751 MD/-2,315 TVD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone 1 (907)771-1025 Date/Time (fest)rkb Days on Well 18 DART Building mud. Monitoring backside and keeping Operations Next 24- 'Build 8.8 ppg mud.Add LCM. Thin 8.9 ppg mud where possible. Drill ahead with annulus filled Hours optimal LCM when enough back up volume exists in pits OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY LStart ;' Finish :1.1Hours Description Detail �, Daily Total „ •6:00 7:00 1.0 +Mix an�ump 16 bbl,40 ppb LCM pill. Chase with_40 bbl mud 1.Rig Up/Rig Down : 300.0 7:00 Mix mud to build volume. Fill hole through kill line every 15 mns. --4-bbls to fill each time. 2.Drilling 86.5 12:00 5.0 Mix second LCM pill 3.Reaming 12:00 13:00 1.0 Pump 18 bbl LCM pill and chase with 40 bbl mud 4.Coring 13:00 I Mix more mud and continue to fill annulus through kill line every 15 mns. -4 to 5 bbls 5.Condition and Circulate 24.5 16:00 3.0 required to fill each time. -42 bbls pumped through kill. 6.Trips 86.0 16:00 17:00 • 1.0 Transfer new mud to active system 7.Lubricate Rig 1.5 17:00 21:30 : 4.5 Startpumping 2 bbl/min. Lost 1 bbl/min. 115 to 125 bbls total loss 8.Repair Rig 21:30 Build pill and cut back mud to 8.9 ppg. RIH and spot 47 bbl,40 ppb LCM pill on bottom and 9.C/O Drill Line 2.5 23:30 2.0 chase with 40 bbl mud 10.Deviation 2.0 23:30 3:00 3.5 Monitor losses and build volume 11.Wireline Log 3:00 Circulate and monitor losses under a variety of rates at the shoe. Summary below: 12.Run Casing and Cement 33.0 In and out mud weights between 8.9 and 9 ppg for all readings. Static=12 bbl/hr. 13.Wait on Cement 5:00 __ 2.0 83 gal/min=24 bbl/hr. 127 gal/min=24 bbl/hr. 184 gal/min=50-60 bbl/hr 14.Nipple up BOP 71.5 5:00 6:00 1.0 Monitor static losses and build mud while watering existing mud back to 8.7+ppg 15.Test BOP 32.0 16.Drill Stem Test 1.5 **'Current Weather*** 17.Plugback Ambient Temperature: -40F. Winds: -7 mph from the west 18.Squeeze Cement _-. -- 19.Fishing _ *** EB-15 Update **' 20.Directional Work Approximate volumes: 1,639 bbls waste fluid,250 bbls fresh water,203 bbls diesel 24.0 55.0 Other _. TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 I 696.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) ! MFG TYPE r SERIAL NUMBER JETS DEPTH IN(ft) 4y, DEPTH OUT(ft),, FEET ! BIT GRADE I HRS OBD I FT/HR - 1 121/4 HDBS MT-622394 11748526 3x16,1x12 94 1,207 1,113 1-1-WT-A-E-1-NO-TD 20.41 54.532 _ Section 81/2 HOBS PDC Fxz626 5013668 5x13 1,091 I 3.680 2,589 0-1-CT-S-X-1-NO-TD 26.27 98.55 1 3 1` (Re-run) ) �MPLETTIION PROGRAM-ALL SET DEPTHS MEASURE ThreadROM 21.5'RKB.GL Iissr31.7' Contractor CIP CEMENT PROGRAM r - 4 CASING AND CO (in) , _ g (ppf) , -. O (ftp __--- Type 1 Comments Conductor _ 16 84 L-80 • Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9518 40 L-80 tBTC-M 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 "L" "C" Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 'G' Plug bumped PUMP#1 PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS Manufacturer _I Ellis Williams Manufacturer 1 TSM FL Temp(°F) _ 149 Description Daily ;,,;._Cumulative Model WH-1000-A Model TSM1000 Weight(lbs/gal) 8.9 BARACARB 5(SACK) Liner Size(in) 5 Liner Size(in) 6 VIS(sec/qt) 45 Citric Acid Stroke(in) 10 Stroke(in) 9 PV(cp) _ 13 BARCARB 25(sack) -- - @ --- - --- _ --... _..__. ._ _. 0.076 YP(lbs/100ft2) 10 Potassium Chloride(sacks) BBBL/STK@ 97% 0.059 BBL/STK97% SPM SPM Gels(lbs/100ft2) 9/11/13 N-VIS(sack) GPM _ GPM pH 8.9 N-DRILHT+(sack) PS I PSI Filtrate WL(mU30 min) 6 _ _ ___ DEXTRID LT(sack) WELL C' ROL *Sand(%by vol) 0 THERMA-THIN(jug) SPR Pump#1 SPR Pump#2 Solids(%by vol) 0.9 BARACARB 150(sack) SPR Pump#1 SPR Pump#2 LCM(ppb) None Solar Salt(sack) FIT EMW(ppg) 13.5 CI(mg/L) ---..--- 64,000_-- XC 207(jug) ��` DRILL STRING AND HYDRAULICS Ca(mg/L) i 400 SOLIDS CONTROL EQUIPMENT --' AVDP(fps) :AVDC(fps) Cake(API 32nd inch) 1 Shaker I Screens 1 Hours BU Strokes 1,043 :WOB(k-lb) PF/MF(ml) 0/0.7 Super G 70 6 Total Strokes 3,644 RPM Cake 0 - Super G 100 6 Pick Up(k-lb) TFA(int) 0.464 Pit Vol(bbls) 163 Super G 140 6 • Slack Off(k-Ib) HHP total Hole(bbls) 117 Centrifuge Speed I Hours Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) 160 Pit 3 Centrifuge 2300 B Item Description OD(in) ID(In) Gauge Vendor Cumulative Length(ft) 1 BRT hours..A 1 I-IDES FX G55D LGPDC 6.000 2.500 6.125 B 3-1/2'IF 1.18 HAL 1.18 2 Geo-Pilot 5200 5.250 1.125 5.875 B 3-1/2"IF 16.19 HAL 17.37 _ 3 Geo-Pilot 5200 Flex Collar 4.250 2.610 B 3-1/2'IF 1t54 HAL 28.91 4 ILS 417/25 1.420 5.940 B 3.1/2-IF 3.58 HAL 32.49 5 1SP4 Gamma Res/HCIM 4.720 1.420 . B 3-1/2-IF 24.40 HAL 56.89 6 MWDPWD 4.710 1.420 83.12"IF 10.85 HAL 67.74 - 7 ILS 4.750 1.420 6.100 B 3-12-IF 3.58 HAL 71.32 _--_-- -- --- 8 DM Collar 4.750 2.610 B 3-1/2"IF 9.27 HAL 80.59 9 Telemetry HOC I4.790 2.812 B 3-1/2"IF 11.28 HAL 91.87 __ 10 Float Sub 4.750 ' 2.500 B 3-1/2"IF 2.19 HAL 94.06 ` 11 Flex Collar 4.670 2.250 B 3-1/2"IF 31.04 HAL 125.10 li 12 Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 HAL 156.10 13 Flex Collar 4.780 2.250 B 3-1/2"IF 30.90 HAL 187.00 __ 14 Weatherford XO 4.970 2.563 _ B 4"Mod 2.64 WFT 189.64 15 4"XT-39 HWDP(4 joints) 4.000 2.563 131.46 WFT 321.10 _ 16 4-3/4"Daily Hydraulic Jars 4.820 2.000 B 4"Mod 31.51 WFT 352.61 17 - -!4"XT-39HWDP(12 joints) 4.000 2.563 394.38 WFT 746.99 TOTAL BHA LENGTH: 746.99 ` MOST RECENT DIRECTIONAL SURVEYS „,,,_ - „ MD T INC AZ TVD +N/-S +E/-W VS DLS 1 Calculation VS Azlmu .: 3552.07 1 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 210 Minimum Curvature _ 101.08 _ 3615.48 74.57 10218 228312 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 3646.68 75.33 • 102.77 2291.22 -440.19 +2324.77 2366.03 3.04 1 Minimum Curvature 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: , " ' `" Customer Vol(gal) Customer I Vol(gal) Customer Vol(gal) Customer i Vol(gal) Summary Quantities Vol , y;.. Delivered Today 1.500.0 Kuukpik(D) 1629.4 Tikigaq/Conam(D) 325.4 5,000-gallon Tank(G) Total Diesel Consumed 160,980.1 _ On Hand Today 5,800.0 Delta Lease(D) _ BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 8,068.6 Used Today 2,000.0 Umiaq(D) 57.5 GBR(D) NSB Equipment(D) Diesel Consumed Today 2,894.1 -_ Used this Well 36,125.0 Peak(0) 546.1 Halliburton(D) 335.7 BGF(G) 179.4 Gasoline Consumed Today 179.4 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company I Position _ ',;- Count ThEst Hours :Total Hours Notes Incident Type Today 1 Comments , Kuukpik Drilling i Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury � 0 HES-BSS Cementing 7 13 91 ,Three in camp. Four staying In Barrow Spill 0 HES-BSS Mud 2 13 26Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting ---- 0 - - --- HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew Umiaq Ops Support 8 12 96 !Spill tech in camp. All others in Barrow Vetco Gray Wellhead -- _- -- - -_-- ---_ -- -- -----_-- Peak Rig Support 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Campag Maner 1 12 12 ' Beacon Medic 1 12 12 Oasis •Sample Catchers 2 12 24 AOGCC BOPE Inspector MIMI PRA DSM 2 12 ME= PRA ',HSE 1 12 ME= - -- PRA PRA Geologists 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 925 - Total Personnel In Camp: 53 Individuals WALAKPA#12 DAILY DRILLING RERT 2-Feb-12 Operator North Slope Borough Project Description Ba as Fields Well Well Site Leaders I Don Breeden/Thor Kallestad ing Program Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 • Rig Accept 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate Rig Release 07:00 Depth 3,812 MD/2,320 TVD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 19 DART Pumping LCM pill. Building mud. Monitoring backside Operations Next 24- Continue building mud. Evaluate merits of drilling another stand down or POOH and keeping annulus filled Hours • OPERATIONS SUMMARY ,. 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY .ifs Hours Description Detail Dally Total 6:00 12:00 6.0 Continue monitoring static losses through trip tank 1.Rig Up/Rig Down 300.0 12:00 18:30 6.5 Monitor fluid losses and build mud volume 2.Drilling 1.0 87.5 18:30 Monitor losses. Thaw Sperry pressure sensor,cycle MWD tools. BHA came back to life 3.Reaming 21:00 2.5 after swallowing much LCM 4.Coring 21:00 22:00 1.0 ITIH from 3,650'to 3,752'. Kelly.up,circulate,and rotate 5.Condition and Circulate 3.5 28.0 22:00 23:00 1.0 Drill from 3,752'to 3,812'. 175 bbl/hr mud losses 6.Trips 2.5 88.5 23:00 23:30 0.5 Pump out and rotate to shoe. On bottom=U�wt,64k. Down wt,46k. Rotadngwt,51k 7.Lubricate Rig _ - 1.5 _ 23:30 0:00 0.5 Mix LCM pill and monitor static lossesA4 bblIh) 8.Repair Rig 0:00 1:00 1.0 Monitor static losses(3-4 bbl/hr) 9.C/O Drill Line2.5 ,/ 1:00 1:30 0.5 TIN from 3,650'to 3,810'. Hole in good shape 10.Deviation 2.0 1:30 2:30 1.0 Spot 43 bbl,40 ppg LCM pill on bottom. Chase with 4.0 bbl mud 11.Wireline Log 2:30 3:00 0.5 Pull to shoe 12.Run Casing and Cement 33.0 3:00 6:00 3.0 Monitor static losses(now 50 bbl/h Build mud volume and LCM pill 13.Wait on Cement __ 14.Nipple up BOP 71.5 --- --- ----- --- 15.Test BOP 32.0 16.Drill Stem Test 1.5 I -"`Current Weather'"" 17.Plugback --- - - Ambient Temperature:-40F.Winds: -12 mph from the northeast 18.Squeeze Cement -- - _-- 19.Fishing -- '"'EB-15 Update"" 20.Directional Work 1. Approximate volumes: 1,853 bbis waste fluid 250 bbls fresh water,203 bbls diesel 17.0 72.0 Other TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 720.0 DRILLING AND COMPLETION INFORMATION L_BIT NUMBER SIZE(in) - _ MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) I DEPTH OUT(ft)I FEET BIT GRADE HRS OBD FT/HR 1 121/4 HDBS MT-622394 11748526 3x16,1x12 94 1,207 1.113 1-1-WT-A-E-1-NO-TD 20.41 54.53 2 81/2 HDBS PDC-FX2528j 5013668 5x13I 1,091 3,680 2,589 0-1-CT-S-X-1-NO-TD 26.27 98.55 3(Re-run) 6 1/8 HDBS PDC-FXG55D1 11747462 5x11 3,570 l` CASING AND COMPLETION PROGRAM-'Alt SETD1'�PTHS MEASURED FROM 21.5'RKB.GL Is 31.7' CEMENT PROGRAM` Section OD(in) i W$g)t(ppf_ Grade Thread MD(ft) I TVD(ft) Contractor CIP Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 1- 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 "L""C" Returns to surface Manufacturer PUMP#Ellis Williams Manufacturer -PUMP#2 TSM FL Temp( )BARADRIL-N DRILLING FLUID PROPERTIES @ B DRAD PIL NIDRILLING FLUID INGREDIENT bumped Intermediate 7 26 L-80 BTC-M 4,670 2,299 Halliburton 29-Jan-12 04:40 G" Plug 1 ICumul j Cumulative Model WH-1000-A 'Model _ TSM1000 Time 23:59 Aquagel(sack) 1,227_ -- Liner Size(in) 5 Liner Size(in) 6 Weight(lbs/gal) 8.7 Lime(sack) I 70 1 _Stroke(in) 10 Stroke(in) 9 VIS(sec/gt) 45 BARCARB 25(sack) 333 BBL/STK 9 97% 0.059 BBL/STK @ 97% 0.076 PV(cp) 10 Potassium Chloride(sacks) 1,040 SPM _ __ 74 :SPM YP(lbs/100ftz) 10 N-VIS(sack) 604 GPM , 181 GPM Gels(Ibs/100ft2) 5/7/9 N-DRIL HT+(sack) 74 PSI 877 PSI pH _ 8.7 DEXTRID LT(sack) 550 WELL CONTROL Filtrate WL(mtJ30 min) 9.1 Baroid 41(sack 20,262 SPR Pump#1 SPR Pump#2 Sand(%by vol) 0.25 Caustic Soda(sack) 304 SPR Pump#1 ISPR Pump#2 Solids(%by vol) 0.3 Barofibre(25#sack) 330 FIT EMW(ppg) - 13.5 I LCM(ppb) -1 --_ XC 207(jug) 131 OW-)DRILL STRING AND HYDRAULICS CI 35,000 SOLIDS CONTROL EQUIPMENT AVDP(fps) 192 AVDC(fps) 334 Ca(mg/L) 120 Shaker F Screens-1 Hours BU Strokes 1,450 WOB(k-lb) 3-5k Cake(API 32nd inch) 1 Super G 70 6 Total Strokes 2,074 RPM 60 PF/MF(ml) 0/0.5 Super G 100 6 Pick Up(k-ib) 64 TFA(in2) 0.464 Pk Vol(bbis) 240 Super G 140 : 6 Slack Off(k-lb) 46 HHP total 93 Hole(bbls) r 119 Centrifuge I Speed r Hours Jet Vel(fps) 126 dP @ Bit(psi) 201 Reserve(bbis) 120 Pit 3 Centrifuge 2300 BHA 300 Wit. Description I ODjn) ID(in) Gauge(in) Top Connection I Length(ft) Vendor i Cumulative Length(ft) BRT hours 1 HDBS FX G55D LGPDC 6.000 2.500 6.125 B 3-1/2"IF 1.18 HAL 1.18 2 Geo-Pilot 5200 5.250 1.125 5.875 ' B 3-1/2"IF i 16.19 HAL 17.37 3 Geo-Pilot 5200 Flex Collar 4.250 2.610 B 3-1/2"IF f 11.54 HAL 28.91 4 ILS 4 17/25 1.420 ' 5.940 B 3-1/2"IF 3.58 HAL 32.49 5 SP4 GammaIRes/HCIM 4.720 1.420 B 3-12"IF 24.40 HAL 56.89 6 MWD PWD 4.710 1.420 B 3-1/2"IF 10.85 HAL 67.74 7 ILS 4.750 1.420 6.100 B 3-1/2"IF 3.58 HAL 71.32 8 DM Collar4.750 2.610 _ B 3-1/2"IF 9.27 _ HAL 80.59 9 Telemetry HOC I 4.790 2.812 B 3-1/2"IF 11.28 HAL 91.87 10 Float Sub 4.750 2.500 B 3-1/2"IF 2.19 HAL 94.06 11 Flex Collar 4.670 2.250 B 3-1/2"IF 31.04 HAL 125.10 12 Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 HAL 156.10 13 !Flex Collar 4.780 2.250 B 3-1/2"IF 30.90 HAL 187.00 11 14 -Weatherford XO 4.970 2.563 B 4"Mod 2.64 WFT 189.64 15 4"XT-39 HWDP(4 joints) 4.000 2.563 131.46 WFT 321.10 16 4-3/4"Daily Hydraulic Jars 4.820 2.000 B 4"Mod 31.51 WFT 352.61 17 4"XT-39 HWDP(12 joints) 4.000 2.563 394.38 WFT 746.99 - , TOTAL BHA LENGTH: 746.99 f- ,... MOST RECENT DIRECTIONAL SURVEYS .,.:.,, .«.:,, MD INC AZ T TVD I +N/-S +6/-W VS T DLS Calculation VS Azfi 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 r 2.10 Minimum Curvature 101.08 3615.48 74.57 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 3646.68 75.33 102.77 2291.22 -440.19 +2324.77 2366.03 3.04 Minimum Curvature 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 31-Jan-12 Customer _ Vol_(gal) Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Summary Quantities • Vol(gal) Delivered Today 3,150.0 Kuukpik(D) 1629.4 Tikigaq/Conam(D) 325.4 5,000-gallon Tank(G) Total Diesel Consumed 160.980.1 On Hand Today 7,200.0 Delta Lease(D) -__ BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 8.068.6 Used Today 1,750.0 Umiaq(D) 57.5 GBR(D) NSB Equipment(D) Diesel Consumed Today 2,894.1 Used this Well 37,875.0 Peak(D) 546.1 Halliburton(D) 335.7 BGF(G) 179.4 Gasoline Consumed Today I 179.4 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY k;;: Company Po " -" Count ,Est Hours Total Hours Notes Incident Type Today Comments Kuukpik Drilling Rig Crew 22 12 264 Illness 0 • - Kuukpik Drilling Tool Pusher 2 12 24 Injury _i _ 0 _ HES -BSS Cementing 0 13 91 'Three in camp. Four staying in Barrow Spill u HES-BSS Mud © 13 26 Tunda Disturbance 0 HES Sperry MWD/LWD/DD 0 12 48 Bear Sighting 0 HES Supervisor =MEM 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew - - Umiaq Ops Support _ 12 96 Spill tech in camp. All others in Barrow - Vetco Gray Wellhead Peak RI.Support 1. 13 195 Five in camp. Ten staying in Barrow _ Kuukpik Catering Cook/Clean 5 12 A 60 I _ Alutiiq Camp Manager 1 12 I 12 _ Beacon Medic { 1 12 ,I 12 Oasis Sample Catchers 2 12 I 24 AOGCC BOPE Inspector PRA DSM 2 12 1i 24 PRA 'HSE 1 12 i 12 PRA PRA Geol�sts 2 12 24 ESTIMATED TOTAL GAILY LABOR HOURS: 925 Total Personnel in Camp: 53 Individuals WALAKPA#12 DAILY DRILLING REBa 3-Feb-12 Operator North Slope Borough Project Description eaas Fields Well Well Site Leaders Don Breeden/Thor Kallestad g Program Well Name Walakpa#12 CIP Number 68090 I Cell Phone (907)980-4206 API#I AOGCC 023-20040.00.00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 14-Jan @ 12:00 RigContractor Kuukpik Drilling,LLC:Kuukpik DrillingRig#5 Property Designation Walakpa Drill Rate P 9 Well Ske Phone (907)771-1021 Rig Release 06:00 Depth 3,812 MD/-2,327 ND Target Depth(feet)rkb I 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (feet)rkb - Days on Well 20 DART UD BHA 300 Operations Next 24- P/U BHA 400. RIH. Spot LCM pills as needed to stop losses. Monitor for losses. Hours POOH when warranted OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY----- DeacrIption - RigUp --- ..SUMMARY • 6:Start 4 Finish Hours ! pill gpm. Chase with 40 bbls mud 2.Drilling Detail I--D Total ~.- _ 6:00 6:30 0.5 Monitor well for fossas 1. /RigDown 300.0 _ 6:30 7:00 0.5 Pump 15 bbl,40 ppb LCM at 10087.5 7:00 Monitor hole and build volume. 275 bbl loss over 8 hours. Slack weight=52k. Hoist 3.Reaming _ 12:00 5.0 weight=64k --_ 4.Coring 12:00 Monitor losses with trip tank(14-15 bbls/hr). Build volume and mix 80 ppb LCM pill. 5.Condition and Circulate 1.5 29.5 20:00 8.0 Service top drive,drawworks,and crown. General housekeeping and maintenance 6.Trips 7.5 96.0 20:00 21:00 1.0 Pump 38 bbls of 80 ppb pill at 100 gpm. Chase with 49 bbls mud to clear tools 7.Lubricate Rig 1.5 21:00 Monitor static loses. Build light dry job(10 bbls at 9.4 ppb)qc_Ope pulls dry but 8.Repair Rig 22:30 1.5 mud stays below 8.8 ppg. Last-six stands pulled wet 9.C/O Drill Line 2.5 22:30 Pump dry Job,blow down top drive and pull from shoe to 3,024'. Monitor losses with 10.Deviation 2.0 0:00 1.5 triptank(11 bbl/hr) 11.Wireline Log _ 0:00 2:30 2.5 Pull to HWDP(losses steadily rise to 27 bbls/hr) 12.Run Casing and Cement i 33.0 2:30 4:00 1.5 Stand back HWDP,flex collars,and jars 13.Wait on Cement 4:00 4:30 0.5 Download LWD 14.Nipple up BOP 71.5 __ 4:30 6:00 1.5 UD smart tools(losses at 30 bbls/hr 15.Test BOP 32.0 16.Drill Stem Test 1.5 "`Current Weather"` 17.Plugback Ambient Temperature: -30F. Winds:-15 mph from the northeast 18.Squeeze Cement 19.Fishing ""EB-15 Update"'" 20.Directional Work Approximate volumes: 1,853 bbls waste fluid,250 bbls fresh water,203 bbls diesel 15.0 87.0 _ -260 psi on tubing and annulus Other TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 744.0 DRILLING AND COMPLETION INFORMATION SIT NUMBER I SIZE(in) MFG I TYPE I SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET I GRADE OUT I HRS OBD FT/HR 1 121/4 HDBS MT-622394 ' 11748526 3x16.1x12 94 1,207 1,113 1-l-WT-A-E-1-NO-T0' 20.41 54.53 2 81/2 HDBS PDC-FX2526 5013668 5x13 1,091 3,680 2,589 9-1-CT-S-X-1-NO-TD 26.27 98.55 3(Re-run) 61/8 HDBS PDC-FXG55D 11747462 5x11 3,570 3,812 242 Rock Bit TBD TBD inset TBD None,-3x26 3,812 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(in) Weight(ppf) Grade Thread MD(ft) TVD(ft) Contractor CIP _ I--_ Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at'-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 "L" "C" Returns to surface Intermediate 7 26 L-80 BTC-M 3.670 2.299 Halliburton 29-Jan-12 04:40 "0" Plug bumped PUMP#1 PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS _ Manufacturer Ellis Williams Manufacturer TSM FL Temp('F) 46 Description Today I On Hand Model WH-1000-A Model TSM1000 Time 23:59 STEELSEAL 400(sack) 90 _ 48 Liner Size(in) ' 5 Liner Size(in) 6 Weight(lbs/gal) __ 8.7 N-VIS (25#sack) 36 y 544 Stroke(in) 10 Stroke(in) 9 VIS(sec/qt) 51 KCI(sack) 171 699 BBUSTK @ 97% 0.059 BBL/STK @ 97% 0.076 PV(cp) 10 BAROFIBRE(25#sack) 102 188 SPM •SPM YP(lbs/100ft2) 15 SALT-SOLAR(sack) 141 289 GPM I__ GPM Gels(lbs/100ft2) _-__ ! 8/10/13 BARA-DEFOAM HP(5g pail) 8 2 PSI PSI pH 8.7 DEXTRID LT(sack) 34 507 ' WELL CONTROL Filtrate WL(mt./30 min) 8.9 BARACARB 25(sack) 20 313 SPR Pump#1 SPR Pump#2 Sand(%by vol) 0.25 AQUAGEL(sack) 20 1207 SPR Pump#1 SPR Pump#2 Solids(%by vol) 0.2 PAC-L(sack) 1 • 291 FIT EMW(ppq) 13.5 LCM(ppb) -1 DRILL STRING AND HYDRAULICS CI(mg/L) 36,000 SOLIDS CONTROL EQUIPMENT AVDP(fps) 'AVDC(fps) Ca(mg/L) 240 Shaker Screens Hours BU Strokes 1,450 I WOB(k-lb) Cake(API 32nd inch) 1 Super G 70 •Total Strokes 2,074 IRPM PF/MF(ml) 0/0.4 Super G 100 Pick Up(k-lb) 1TFA(int) 0.464 Pit Vol(bbls) 240 Super G 140 ( Slack Off(k-Ib) HHP total Hole(blots) 119 Centrifuge • Speed T Hours Jet Vel(fps) dP C/Bit(psi) Reserve(bbls) 147 Pit 3 Centrifuge 2300 • BHA 400 Item Description OD(in) ID(in) Gauge(in)aTop Connection ' Length(ft0 Vendor Cumulative Length(ft) I BRT hours.• 1 Rock Bit without Nozzles(-3x26 openings) TBD TBD TBD TBD 1.00 TBD 1.00 2 Bit Sub 4.750 2.440 _f--- B 3-1/2"IF I t61 K5 2.61 3 Float Sub 4.750 2.500 B 3-1/2"IF 2.19 HAL 4.80 4 Flex Collar 4.670 2.250 B 3-1/2"IF 31.04 HAL 35.84 5 Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 HAL 66.84 6 Flex Collar 4.780 2.250 B 3-1/2'IF 30.90 HAL 97.74 - -- --- --_--- - 7 Weatherford XO 4.970 2.563 B 4"Mod 2.64 WFT 100.38 8 4"XT-39 HWDP(4 joints) 4.000 2.563 131.46 WFT '' 231.84 9 4-3/4"Daily Hydraulic Jars 4.820 2.000 _ B 4"Mod 29.28 WFT 261.12 10 4"XT-39 HWDP(13 joints) 4.000 2.563 394.38 WFT 655.50 TOTAL BHA LENGTH: 655.50 i' 71.5,7 7R7 MOST RECENT DIRECTIONAL SURVEYS MD INC _j AZ � TVD +N/-S +E/-W VS DLS Calculation aril 3552.0772.38 103.56 2265.08 -420.14 +2236.09 2275.15 2.10 Minimum Curvature 101.08 3615.48 7457 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 _ 3646.68 75.33 102.77 2201.22 -440.19 +2324.77 2366.03 3.04 Minimum Curvature t 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL(gal) Customer FUEL Ul(gal) Customer QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ__R_EPORT:� 1-Feb-12 T SummaryQu Quantities Customer Vol � Vol(gal) Customer I Vol(gal) Quantities T Vol(gal) Delivered Today 1,200.0 Kuukpik(D) 1701.9 Tikigaq/Conam(D) 582.3 5,000-gallon Tank(G) Total Diesel Consumed 170,097.7 On Hand Today 6,500.0_ Delta Lease(D) 548.6 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 8,616.0 Used Today 1,900.0 Umiaq(D) 12.9 GBR(D) NSB Equipment(D) Diesel Consumed Today 4,486.0 Used this Well 39,775.0 Peak(D) 1324.8 Halliburton(DI 315.5 BGF(G) 184.3 Gasoline Consumed Today 184.3 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company Po ,, ,::Count 1 Est Hours tTotal Hours! Notes Incident Type .-,-7, Today Comments Al Kuukpik Drilling Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 1 HES-BSS Cementing 7 13 91 1 Three in camp. Four staying in Barrow Spill 0 HES-BSS Mud 2 13 26 I Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 _ HES Supervisor - 1 13 13 I HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew Vehicle Fire 1 Umiaq Ops Support 9 12 108 Spill tech in camp.All others in Barrow ---- ----- -- --- - A UIC fuel truck caught fire this AM due to carbon fouling Gray 'Wellhead _ 8 of its Peak RigSupport 15 13 195 Five in camp. Ten_sta in in Barrow exhaust. It was extinguished and nobodywas A report PPY 9 8 injured. p Kuukpik Catering 'Cook/Clean 5 12 60 will be completed with project HSE. Alutiiq Camp Mannr - 1 12 12 Roustabout got sliver in foot. Beacon Medic 1 12 12 __ - - ---- Oasis Sample Catchers 2 12 24 _ AOGCC ROPE inspector PRA_ DSM 2 12 24 PRA .HSE 1 12 12 -PRA PRA Geologists ' 2 12 24 1 ESTIMATED TOTAL DAILY LABOR HOURS: 937 Total Personnel in Camp: 53 Individuals ogRE-"RT 4-Feb-12 WALAKPA#12 DAILY DRILLING _ 7 Br. as Fields Well Operator North Slope Borough Project Description Well Site Leaders Don Breeden/Thor KaHosted -"'T, unsling Program ';L-,4, x' Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 • }� �M�rr,,, Land Use Penult API#/AOGCC 023-20040-00-00/211-159 • NSB Development Permit (PTD t) #10-252 Office Phone (907)771-1002 Rig Accept 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate Rig Release 06:00 Depth 3,812 MD/-2,327 TVD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 21 DART Rigging up blown down kelly hose. Preparing to Operations Next 24 Check losses while circulating above LCM pill. If losses are acceptable,RIH,drill circulate above LCM pill to check losses Hours down stand,and evaluate losses. Refine plan forward at 09:00 OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY • rt ,t -Finish Hours 1 Description Detail Daily Total 6:00 7:00 1.0 Clean floor to P/U BHA 1.Rig Up/Rig Down 300.0 7:00 12:00 1 5.0 M/U BHA and RIH to 3562' 2.Drilling 87.5 12:00 17:00 5.0 Monitor well via trip tank while mixing LCM pill(18-25 bbl/hr loss rate) 3.Reaming 17:00 17:30 0.5 RIH to bottom. Pump 55 bbl,75 ppb Baroseal LCM pill. Chase with 41 bbl mud 4.Coring 17:30 18:00 0.5 Pull to shoe 5.Condition and Circulate 0.5 30.0 18:00 22:00 4.0 Monitor losses through triotank(no losses occur) 6.Trips 9.0 105.0 22:00 0:00 2.0 Pull from shoe to 2,555'. No losses while tripping 7.Lubricate Rig 1.5 0:00 1:30 1.5 Pull to stand 12 @ 1,415'_Blow down top drive before circulating. Kelly hose frozen 8.Repair Rig 1:30 6:00 4.5 Thaw 5'ice plug,10'below goose neck. M/U kelly hose and blow down to pits 9.C/O Drill Line 2.5 10.Deviation 2.0 11.Wireline Log 12.Run Casing and Cement 33.0 "'AOGCC Update '*` 13.Wait on Cement ✓ Lou Grimaldi was notified that next BOPE test is scheduled for this Sunday,05-Feb. Lou 14.Nipple up BOP 71.5 Waive d witness. Test can proceed without AOGCC oversight 15.Test BOP 32.0 16.Drill Stem Test 1.5 '"Current Weather"' 17.Plugback Ambient Temperature: -40F. Winds: -10 mph from the south 18.Squeeze Cement 19.Fishing i - - "' EB-15 Update "' --- 20.Directional Work _. Approximate volumes: 1,853 bbls waste fluid,250 bbls fresh water,203 bbls diesel 14.5 101.5 -260 psi on tubing and annulus Other TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 768.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(fl) FEET GRADE OUT HRS OBD FT/HR 1 121/4 HDBS MT-622394 11748526 3x16,1x12 94 1,207 1,113 1-1-WT-A-E-1-NO-TD 20.41 54.53 2 l 81/2 HDBS PDC-FX2526 5013668 5x13 1,091 3,680 2,589 01-CT-s-x-1-NO-TD 26.27 98.55 3(Re-run) i 61/8 HDBS PDC-FXG55D 11747462 5x11 3,570 3,812 242 11-WT-A-X-1-NO-HP 3.27 74.01 Rock Bit 6 1/8 HDBS Insert 11562667 None,-3x26 3,812 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL Is 31.7' CEMENT PROGRAM Section OD(in) Weight(ppf) Grade Thread MD(ft) ! TVD(ft) Contractor ' CIP Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube • Surface9 5/8 40 L-80 BTC-M 1,194 I 1,156 Halliburton 20-Jan-12 @ 16:00 L" "C" Returns to surface Intermediate � 7 26 L-80 BTC-M ) 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 4 "G" I Plug bumped PUMP#1 P PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS Manufacturer 7 Ellis Williams Manufacturer TSM FL Temp('F) 44 Description TodayOn Hand Model WH-1000-A Model TSM1000 Time 23:59 BAROSEAL(40#sack) 90 1 40 LnerSize(in) 150_ _ 1Liner Size(in) 6 Weight(lbs/gal) ---- 8.7 N-VIS (25#sack) 35 509 (in) Stroke(in) 9 VIS(sec/qt) _.- 49 KCI(sack) 153 546 BBUSTK @ 97% 1 0.059 BBL/STK @ 97% 0.076 PV(cp) 13 BAROFIBRE(25#sack) 30 158 SPM SPM YP(lbs/100ft°� 15 SALT-SOLAR(sack)__. 153 136 GPM GPM Gels(lbs/lOOflz-_ 9/12/13 BARA-DEFOAM HP _) _.. _. (`4g pail)- - 2 -, 0 PSI PSI _pH 8.7 DEXTRID LT(sack) 118 389 WELL CONTROL Filtrate WL(mU30 min) 8.4 BARACARB 25(sack) 0 313 SPR Pump#1 SPR Pump n2 Sand(%by vol) 0.25 AQUAGEL(sack) 0 1207 SPR Pump#1 SPR Pump 82 Solids(%by vol) 0.3 PAC-L(sack) 2 289 FIT EMW(ppg) 13.5 LCM(ppb) -1 BAROID 41(sack) 0 20,262 DRILL STRING AND HYDRAULICS CI(mg/L) 36,000 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) i Ca(mg/L) 240 Shaker Screens Hours BU Strokes 1,450 WOB(k-lb) Cake(API 32nd inch) , 2 Super G 70• Total Strokes 2,074 RPM PF/MF(ml) 0/0.4 Super G 100 Pick Up(k-lb) TFA(in) 1.555 Pit Vol(bbls) 350 Super G 140 Slack Off(k-Ib) HHP total Hole(bbls) 120 Centrifuge Speed Hours Jet Vel(fps) dP @ Bit(psi) Reserve(bbls) 500 Pit 3 Centrifuge 2300 • BHA 400 tair Item • Description � OD(in) I ID(in) Gauge(inyl Top Connection_-_i Length(ft) 1 Vendor Cumulative Length(ft) •aRThot 1 Rock Bit without Nozzles(-3x26 openings) 6.125 2.000 6.125 P 3-1/2'REG 0.62 HAL 0.62 2 Bit Sub 4.750 2.440 B 3-1/T IF 1.61 K5 2.23 3 Float Sub 4.750 2.500 B3-1/2"IF 2.19 HAL 4.42--------- - 4 Flex Collar 4.670 2.250 B 3-1/2"IF 31.04 HAL 35.46 _ 5 'Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 HAL 66.46 6 Flex Collar _ 4.780 2.250 B 3-1/2"IF 30.90 HAL 97.36 7 Weatherford XO 4.970 2.563 B 4"Mod 2.64 WFT 100.00 8 4"XT-39 HWDP(4 joints) 4.000 2.563 131.46 WFT 231.46 _ 9 4-3/4"Daily Hydraulic Jars 4.820 2.000 B 4"Mod 29.28 WFT 260.74 10 4"XT-39HWDP(13joints) 4.000 2.563 394.38 WFT 655.12 • TOTAL BHA LENGTH: 655.12 IIP MOST RECENT DIRECTIONAL SURVEYS MD INC AZ TVD +N/-S +E/-W VS DLS I :amu,; Calculation 1 VS Azl 3488.88 71.05 103.55 2245.26 -406.08 +2177.76 2215.21 5.17 Minimum Curvature 101.08 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 2.10 Minimum Curvature 101.08 3615.48 74.57 1 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 _ 31146.68 75.33 102.77 229122 -440.19 +232477 2366.03 3.04 Minimum Curvature , 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY _ DATE OF REFERENCED UMIAQ REPORT:1 1-Feb-12_. Customer Vol(gal) Customer Vol(gal) , Customer • Vol(gal) Customer li Vol(gal)_ Summary Quantities I Vol(gal) Delivered Today 2,500.0 Kuukpik(D) 1701.9 Tiki a/Conam(D) 582.3 5,000-gallon�allon Tank(G) Total Diesel Consumed 170,097.7 On Hand Today 7,000.0 Delta Lease(D) 548.6 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed ' 8,616.0 Used Today } 2,000.0 Umiaq(D) 12.9 GBR(D) NSB Equipment(D) Diesel Consumed Today 4,486.0 Used this Well 41,775.0 Peak(D) 1324.8 Halliburton(D) 315.5 BGF(G) 184.3 Gasoline Consumed Today 184.3 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company Position Count Est Hours Total Hours Notes Incident Type Today j Comments Kuukpik Drilling Rig Crew 22 12 264 Illness 0 _ _ Tool Pusher _ 2 12 24 Injury 0 i Kuukpik Drilling j y .-- .. HES-BSS Cementing 9 13 117 Three in camp. Six staying in Barrow Spill 0 HES-BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 • 48 Bear Sighting 0 HES Supervisor 1 i 13 i 13 HES supervisor staying in Barrow Near Miss 0 ' GBR Casing Crew _.- Umiaq Ops Support - 9 12 108 Spill tech in camp. All others in Barrow _ _ Vetco Gray Wellhead Peak Rig Su•• 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager_-H 1 12 12 Beacon Medic 1 - 12 12 Oasis Sample Catchers 2 12 24 ' AOGCC BOPE Inspector PRA DSM 2 12 24 PRA HSE 1 12 12 Y ESTIMATED TOTAL DAILY LABOR HOURS: P_RA PRA Geologists2 12 24 _ _---- 963 Total Personnel In Camp: 53 Individuals M/41.44.6. ,a-J ,, „, WALAKPA#12 DAILY DRILLING RE-^RT 5-Feb-12 �. :_ .t ,`sib 55.: ."9�(v :: ....... .--- -N. BL as Fields Well Operator North Slope Borough Project Description Well Sib Leaders Don Breeden/Thor Kellested unsling Program .t - Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 l'�.rs+s� API#/AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukplk Drilling Rig#5 Property Designation Walakpa I Well Slte Phone (907)771-1021 Date/Time Drill Rate Rig Release 06:00 Depth Date/Time (feet)ritb 3,881 MDI-2,335 TVD Target Depth(feet)rkb i 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Days on Well 22 OART Testing BOPE Operations Next 24- Finish BOPE test. Mill rotary steerable BHA. Pump test tools. RIH. Drill ahead Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Start Finish i Hours Description Detail i. Daily , Total 6:00 7:30 1.5 R/U kelly hose and blow down 1.Rig Up/Rig Down 300.0 7:30 9.00 1.5 Circulate above LCM pill at 2,3,and 4.5 bbl/min. No losses 2.Drilling 2.5 90.0 9:00 12:00 3.0 RIH to 2,998' 3.Reaming 12:00 13:00 1.0 RIH from 2,998'to shoe 4.Coring 13:00 . 13:30 0.5 Monitor well 5.Condition and Circulate 2.5 32.5 13:30 14:00 0.5 Fill drill pipe. RIH from shoe to 3,812' 6.Trips 13.0 118.0 14:00 14:30 0.5 Circulate 7.Lubricate Rig 1.5 14:30 15:00 0.5 Drill from 3,812'to 3,818' 8.Repair Rig i 15:00 16:30 1.5 Monitor well. Circulate out gas 9.C/O Drill Line 2.5 16:30 18:30 2.0 Drill from 3,818'to 3,881' 10.Deviation 2.0 18:30 19:00 0.5 CBU 11.Wireline Log 19:00 20:30 1.5 Pump out from 3,881'to shoe 12.Run Casing and Cement 33.0 20:30 21:30 1.0 Monitor well. Blow down. Build dry job 13.Wait on Cement 21:30 0:00 2.5 Pump dry job. Blow down. Pull from sho to 2,555' 14 Nipple up BOP 1.0 72.5 0:00 3:30 3.5 Pull from 2,555 to HWDP. Monitor well. No losses 15.Test BOP 0.5 32.5 3:30 4:00 0.5 Stand back flex collars and UD BHA 16.Drill Stem Test 1.5 4:00 4:30 0.5 Monitor well 17.Plugback 4:30 5:30 1.0 PJSM to R/U and test BOPE 18.Squeeze Cement 5:30 6:00 0.5 Begin testing BOPE 19.Fishing "'Current Weather... 20.Directional Work Ambient Temperature: -15F. Winds: -5 mph from the north 4.5 10.6.0 _ ""' EB-15 Update"' Other TOTAL HOURS: 24.0 Approximate volumes: 1,853 bbls waste fluid,250 bbls fresh water,203 bbls diesel TOTAL HOURS: 24.0 792.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE 1 SERIAL NUMBER i JETS DEPTH IN(ft) I DEPTH OUT(ft)!. FEET GRADE OUT HRS OBD FT/HR 1 121/4 HDBS MT-622394 • 11748526 3x16,1x12 94 1,207 1,113 1-1-WT-A-E-I-NO-TD 20.41 54.53 2 8112 HDBS ROC-FX2526I__ 5013668 5x13 1,091 3,680 2.589 051-CT-S-x-1-NO-TD 26.27 98.55 3(Re-run) 61/8 HDBS PDC-FXQ55D 11747462 5x11 _ 3,570 3,812 242 1-1-WT-A-x-t-NO-HP 3.27 I 74.01 Rock Bit 6 1E8 HDBS Insert 11562667 None,-3x26 3,812 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GL is 31.7' CEMENT PROGRAM Section ,(In) Weight(ppf) Grade Thread • MD(ft) 1 TVD(ft) Contractor CIP Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11©03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 95/8 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 0 16:00 "L" "C" Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 "G" Plugbumped PUMP#1 PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp("11 45 0080110W Today._._ On Hand , Model i WH-1000-A 1Model TSM1000 Time 23:59 BAROSEAL(40#sack) 0 30 Liner Size(in) 5 Liner Size(in) I 6 Weight(lbs/gal) __- 8.7 ALDACIDE G(5g pail) 3 109 Stroke(in) 10 Stroke(in) 9 VIS(sec/qt) 52 KCI(sack) 123 423 BBL/STK @ 97% 1 0.059 BBL/STK 0 97% 0.076 PV(cp) 17 BAROFIBRE(25#sack) 0 158 SPM SPM YP(lbs/100ft2) 17 SALT-SOLAR(sack) 21 115 GPM 1 _ GPM Gels(lbs/100ft2) - 5/12/13 AOUAGEL(sack) 0 1207 PSI t PSI _ pH 8.9 DEXTRID LT(sack) 0 389 WELL CONTROL Filtrate WL(mL/30 min) 7.8 BARACARB 25(sack) 25 288 SPR Pump#1 SPR Pump#2 Sand(%by vol) 0.25 CAUSTIC SODA(sack) 1 303 SPR Pump#1 SPR Pump#2 Solids(%by vol) 0.2 PAC-L(sack) I 0 289 FIT EMW(ppg) 13.5 LCM(ppb) -20 BAROID 41(sack) 0 20,262 DRILL STRING AND HYDRAULICS CI(mg/L) 36,000 SOLIDS CONTROL EQUIPMENT _ AVDP(fps) AVDC(fps) Ca(mg/L) 200 Shaker Screens Hours _ BU Strokes 1,496 WOB(k-Ib) Cake(API 32nd inch) 2 Super G 70 Total Strokes 2,144 RPM I PF/MF(ml) 0.2/0.4 Super G 100 Pick Up(k-Ib) TFA(in') i Pit Vol(bbls) 350 Super G 140 1 Slack Off(k-lb) HHP total Hole(bbls) 121 Centrifuge Speed Hrs • ou Jet Vel(fps) dP 0 Bit(psi) Reserve(bbls) 500 Pit 3 Centrifuge 2300 Draft BHA 500'- L. Item Description �_OD(in) i ID(in) Gauge(in) Top Connection j Length(ft) Vendor Cumulative Length(ft) I BRT hours 1 HDBS FX G55D LGPDC 6.000 2.500 6.125 B 3-1/2"IF 1.18 HAL 1.18 2 Geo-Pilot 5200 5.250 1.125 5.875_ B 3.1/2'IF 16.19 1 HAL 17.37 _ 3 Geo-Pilot 5200 Flex Collar - 4250 _• 2.610 B 3-1/2'IF 11.54 HAL 28.91 4 ILS 417/25 ' 1.420 5.940 B 3-1/2'IF 3.58 HAL 32.49 --_-- 5 •SP4 Gamma/Res/HCIM 4.720 1.420 B 3-1/2"IF 24.40 HAL 56.89 -- 6 MWD PWD 4.710 1.420 B 3-1/2"IF 10.85 HAL 67.74 -- - 7 ILS 4.750 1.420 6.100 B 3-1/2"IF 3.58 HAL 71.32 8 DM Collar 4.750 2.610 B 3-1/2"IF 9.27 HAL 80.59 9 Telemetry HOC 4.790 2.812 B 3-1/2"IF 11.28 HAL 91.87 10 Float Sub 4.750 2.500 B 3-1/2"IF 2.19 HAL 94.06 11 Flex Collar 4.670 2.250 B 3-1/2"IF 31.04 HAL 125.10 12 Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 HAL _ 156.10 13 Flex Collar 4.780 2.250 B 3-1/2"IF 30.90 HAL 187.00 14 Weatherford X0 4.970 2.563 B 4"Mod 2.64 WFT 189.64 15l4"XT-39HWDP(4joints) 4.000 2.563 _-- 131.46 WFT 321.10 16 4-3/4"Daily Hydraulic ars Hydlic J _ _ _ 4.820 2.000_ � B 4'Mod 31.51 WFT 352.61 17 F"XT-39HWDP(12joints) 4.000 2.563 394.38 WFT ~ 746.99 TOTAL BHA LENGTH: 746.99 ' MOST RECENT DIRECTIONAL SURVEYS ` D• 1 INC I AZ TVD +N/-S +E/-W VS OLS I Calculation ' VS Azimuths 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 2.10 Minimum Curvature 101.08 _ 3615.48 74.57 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 _ 3646.68 75.33 102.77 2291.22 -440.19 +2324.77 23(36.03 3.04 Minimum Curvature 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 4-Feb-12 • Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Customer , Vol(gal) Summary Quantities Vol(gal) Delivered Today 0.0 Kuukpik(D) 2028.6 Tikigaq/Conam(D) 389.3 5,000-gallon Tank(G) Total Diesel Consumed 182,823.5 On Hand Today 5,000.0 Delta Lease(D) 672.5 BSS(D) 23,000-gallon Tank(D) 3,400.7 Total Gasoline Consumed 8,886.2 Used Today 2,000.0 Umia,D) 156.9 GBR(D) NSB Equipment(D) Diesel Consumed Today 8,449.4 Used this Well 43,775.0 Peak(D) 1332.7 Halliburton(D) 468.7 BGF(G) , 270.2 Gasoline Consumed Today 1 270.2 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company I Position Count Est Hours Total Hours Notes Incident Type I Today Comments Kuukpik Drilling -Rig Crew : 22 12 264 Illness 0 Kuukpik Drilling 'Tool Pusher 2 12 24 Injury I 0 HES-BSS Cementing 9 13 117 'Three in camp. Six staying in Barrow Spill 0 HES-BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss _ 0 GBR Casing Crew Umiaq Ops Support 9 12 108 'Spill tech in camp.All others In Barrow Vetco Gray Wellhead Peak Rl9 Support 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Catering !Cook/Clean 5 12 60 Alutiiq ICamp Manager 1 12 12 Beacon 1 Medic 1 12 12 Oasis Sample Catchers 2 12 24 AOGCC BOPE Inspector PRA DSM 2 I 12 24 PRA - �I HSE 1 12 12 -- - D _--- PRA �'I PRA Geologists 2 12 24 ESTIMATE TOTAL DAILY LABOR HOURS: 963 Total Personnel in Camp: 531ndividuals PIA/41.4., g E 4VALAKPA#12 DAILY DRILLING RE` 'RT 6-Feb-12 Operator North Slope Borough Project Description Ba as Fields Well Well Site Leaders Don Breeden/Thor Kallestad �' Drilling Program c, y'y_T- L Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 `'- API#/AOGCC NSB Development Permit `'~w".�r*_ (PTD#) 023-20040-00-00/211-159 Land Use Permit #10-252 Office Phone (907)771-1002 Rig Accept 14-Jan @ 12:00 RigContractor Kuukpik Drilling,LLC:Kuukpik DrillingR #5 Property `` Date/time Drill Rate 19 Designation Walakpa Well Site Phone (907)771-1021 ,. Rig Release 06:00 Depth 3,881 MD/-2,335 TVD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time _ (feet)rich_ Days on Well 23 DART RIH to shoe Operations Next 24- RIH to shoe.Circulate coarse LCM out of cased hole. RIH to bottom and Hours circulate out coarse LCM/gas. Drill ahead OPERATIONS SUMMARY • 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY_ SUMMARY ., ,,___Finish Hours Description Detail Daily Total 6:00 11:00 5.0 Complete BOPE test. Test all choke manifold valves,floor valves,and BOP 1.Rig Up/Rig Down 300.0 11:00 12:00 1.0 R/D BOPE test equipment. Install wear bushing 2.Drilling 9.0.0 12:00 'Circulate pit mud over shakers to remove coarse LCM. Perform housekeeping Reaming 15:00 3.0 _and general maintenance _ 4 Coring _ 15:00 -_ - Kelly up and circulate with one stand in hole to get more volume across shakers to Condition and Circulate _ 6.0 38.5 remove coarse LCM(355 gpm). Blow down top drive and mud line.The large 6.Trips 12.0 130.0 21:00 6.0 majority of all coarse LCM in circulating parts of the mud system have been removed 7.Lubricate Rig - 1.5 21:00 0:30 3.5 P/U rotary steerable BHA 8.Repair Rig• 0:30 1:30 1.0 Program M/LWD tools ` 9.C/O Drill Line 2.5 1:30 2:00 0.5 M/U flex and one stand HWDP 10.Deviation 2.0 __ 2:00 3:00 1.0 Pump test tools at 190 gpm and 10 rpm. Successful test. Blow down top drive 11.Wireline Log _ 3:00 6:00 3.0 RIH toward shoe to circulate LCM out of cased hole 12.Run Casing and Cement 33.0 13.Wait on Cement _ _ 14.Nipple up BOP 1.0 ! 73.5 15.Test BOP 5.0 37.5 ***Current Weather *** 16.Drill Stem Test 1.5 Ambient Temperature: OF. Winds: -25 mph from the north 17.Plugback 18.Squeeze Cement '*'*EB-15 Update *** 19.Fishing Approximate volumes: 1,956 bbls waste fluid,250 bbls fresh water,203 bbls diesel 20.Directional Work _ -1 21.Other 106.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 816.0 DRILLING AND COMPLETION INFORMATION 1 BIT NUMBER SIZE(in) MFG I TYPE,-,i SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft); FEET GRADE OUT HRS OBD FT/HR I 1 121/4 HDBS MT 622394 ' 11748526 3x16,1x12 94 1,207 1,113 1-r-wTA-E t-No-To 20.41 --_- 54.53 _ 2 81/2 HDBS PDC-FX2526 5013668 5x13 1,091 3,680 I 2,585 0-1-CT-S-X-1-NO-To 26.27 98.55 3(Re-run) 61/8 HDBS PDC-FXG55D 11747462 5x11 3,570 3,812 242 1-1-WT-A-X-1-NO-HP 3.27 74.01 4 6 1/8 HDBS Milltooth 11562667 None,-3x26 3,812 3,881 69 0-0-NO-A-E-1-NO-BHA 2.34 t 29.49 _ 5(Re-run) 6 1/8 HDBS PDC-FXG55D 11747462 5x11 3,812 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(In) Weight(ppf) Grade Thread MD(ft) TVD(ft) Contractor CIP Type Comments Conductor 16 84 L-80 t Welded 101.5 101.5 Halliburton 26-Dec-11.@ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M j 1,194 1.156 Halliburton 20-Jan-12 @ 16:00 "L" "C" Returns to surface Intermediate 7 26 L-80 I BTC-M 3.670 2.299 Halliburton 29-Jan-12 @ 04:40 "G" Plug bumped PUMP#1 PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS `IS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) 45 Description . Today J. On Hand x Model WH-1000-A Model TSM1000 Time 23.59 BAROSEAL(40#sack) _ 30 Liner Size(in) ( r- 5 Liner Sizein) 6 Weight(lbs/gal) 8.8 ALDACIDE G(5g pail) r_ 109 Stroke(in) 10 Stroke(in) 9 VIS(sec/qt) 51 KCI(sack) 423 BBL/STK 0 97% -_ 0.059 BBUSTK @ 97% 0.076 PV(cp) 10 BAROFIBRE(25#sack) 158 SPM SPM YP(lbs/1OOft 15 SALT-SOLAR(sack) 115 GPM GPM Gels(Ibs/100ft2) 11/15/18 AQUAGEL(sack) ---- 1207 PSI PSI pH 8.6 DEXTRID LT(sack) 389 WELL CONTROL Filtrate WL(mU30 min) 6.5 BARACARB 25(sack) 288 SPR Pump#1 SPR Pump#2 Sand(%by vol) 0.5 CAUSTIC SODA(sack) 303 SPR Pump#1 SPR Pump#2 Solids(%by vol) 1.0 PAC-L(sack) 289 FIT EMW(ppg) 13.5 LCM Circulated coarse over API 35 screens BAROID 41(sack) 20,262 DRILL STRING AND HYDRAULICS CI(mg/L) 36,000 SOLIDS CONTROL EQUIPMENT AVDP(fps) AVDC(fps) Ca(mg/L) 280 L. Shaker Screens �_ Hours BU Strokes 1,496 WOB(k-lb) Cake(API 32nd inch) 1 Super G 70 Total Strokes 2,144 RPM PF/MF(ml) 0/0.4 Super G 100 Pick Up(k-Ib) TFA •(ins) 0.464 Pit Vol(bbls) 340 Super G 140 Slack Off(k-Ib) HI-IP total Hole(bbls) 121 Centrifuge Speed Hours Jet Vel(fps) dP 0 Bit(psi) Reserve(bbls) 439 Pit 3 Centrifuge 2300 ' Draft S 600 item Description I OD(InL. ID(In) I_Gauge(In) Top Connection Length(ft) Vendor J _Cuawlative Length(ft) jT hauna;, 1 HDBS FX G55D LGPDC 6.000 2.500 6.125 B 3-1/2"IF 1.18 HAL 1.18 2 Geo-Pilot 5200 5.250 1.125 5.875 B 3-1/2"IF I 16.19 HAL 17.37 3 Geo-Pilot 5200 Flex Collar 4.250 2.610 B 3.1/2"IF 11.54 HAL 28.91 4 ILS _ 4 17/25 1.420 5.940 B 3-1/2'IF !. 3.58 HAL 32.49 5 SP4 Gamma/Res/HCIM 4.720 1.420 B 3-1/2'IF 24.40 HAL ' 56.89 6 MWD PWD 4.710 1.420 B 3-1/2"IF 10.85 HAL 67.74 7 ILS 4.750 1.420 6.100 B 3-1/2"IF 3.58 HAL 71.32 _ 8 DM Collar 4.750 , 2.610 B 3-1/2"IF `r 9.27 HAL 80.59 9 Telemetry HOC _-- 4.790 2.812 B 3-1/2"IF I 11.28 HAL 91.87 - 10 I Float Sub _ 4.750 2.500 B 3-1/2"IF _i 2.19 HAL 94.06 11 Flex Collar 4.670 2.250 B 3-1/2"IF i 31.04 HAL 125.10 __- 12 .Flex Collar 4.680 2.250 B 3-1/2'IF 31.00 _HAL_ 156.10 13 Flex Collar - _-- 4.780 • 2.250 B 3-1/2"IF 1 30.90 HAL 187.00 14 Weatherford XO4 970 2.563 B 4"Mod 2.64 WFT 189.64 15 4"XT-39HWDP(4joints) 4,000 2.563 131.46 WFT 321.10 16 4_3/4"Daily Hydraulic Jars 4 820 2.000 TOTAL BHA LENGTH:4"Mod 29.28 WFT 350.38 17 4'XT-39 HWDP(12 joints) 4.000 2.563 I 394.38 WFT 744.76. -. 744.76 MOST RECENT D7REC-IONAL SURVEYS MD INC AZ TVD +N/-S +E}-W I VS I DLS Calculation VSAzimuth l 3552.07 72.38 103.56 2265.08 -420.14 +2236.09 2275.15 2.10 Minimum Curvature 101.08 __I 3615.48 74.57 102.18 2283.12 -433.68 +2295.35 2335.91 4.03 Minimum Curvature 101.08 3646.68 75.33 10277 2291.22 -440.19 +2324.77 2366.03 3.04 Minimum Curvature 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT:' 5-Feb-12 ,j' Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Customer Vol(gal) Summary Quantities Vol(gal) Delivered Today- i 2,450.0 Kuukpik(D) 3201.0 Tikigaq/Conam(D) 289.5 5,000-gallon Tank(G) Total Diesel Consumed 187,726.1 On Hand Today 1 5,500.0 Delta Lease(D) 218.7 BSS(D) 23,000-gallon Tank(D) _Total Gasoline Consumed 9,000.0 Used Today i___1,950.0 Umiaq(D) i 4GBR(D) NSB Equipment(D) _ Diesel Consumed Today 4,902.6 Used this Well • 45,725.0 Peak(D) 1081.4 Halliburton(D) 112.0 BGF(G) 113.8 Gasoline Consumed Today 113.8 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company Position Count Est Hours Total Hours Notes '',;" Incident Type Today CommentsAga Atit Kuukpik Drilling Rig Crew 21 12 252 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-BSS Cementing 9 • 13 117 :Three In camp. Six staying in Barrow Spill 0 HES-BSS Mud 2 13 26 _ Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES I Supervisor 1 13 13 'HES supervisor staying in Barrow Near Miss 0 GBR iCasingCrew Umiaq jOps Support 8 12 96 Spill tech in camp. All others In Barrow Vetco Gray Peak Wellhead • Rig Support 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Catering t Cook/Clean 5 12 60 ' Alutiiq 1Camp Manager 1 12 12 Beacon Medic 12 12 _ _ --- -- Oasis Sample Catchers 2 12 I 24 i_. AOGCC BOPE Inspector PRA ---... DSM 2 12 }- 24 --- - PRA HSE 1 12 12 PRA PRA Geologists 2 12 24 ___. ESTIMATED TOTAL DAILY LABOR HOURS: 939 Total Personnel in Camp: 52 Individuals WALAKPA#12 DAILY DRILLING REERT 7-Feb-12 • r ) P _------- a r - - -- Operator North Slope Borough Ba s Fields Well ®� -- Project Description Well Site Leaders Don Breeden/Thor Kallestad y y Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)980-4206 4,+.rsso" API#1 AOGCC 023-20040-00-00/211-159 Land Use Permit { NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 14-Jan©12:00 • Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)7714021 Date/Time I Drill Rate Rig Release 06:00 Depth 4,446 MD/-2,321 TVD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 24 OART On bottom drilling Operations Next 24- Drill to TD • Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Start Finish Hours_ -- Description DetailDaily Total 6:00 7:30 1.5 RIH to shoe. Blow down top drive. Break circulation. Pump 190 gpm. Rotate 40 rpm 1.Rig Up/Rig Down 300.E 7:30 9:30 2.0 CBU.A 11141e gas and LCM returns 2.Drilling 12.5 102.5 9:30 10.30 1.0 Wash from 3,657'to 3,881' 3.Reaming 1.0 1.0 10:30 Drill from 3,88.1'to 3,971' 4.Coring _': _ 1200 1.5 Rot wt 54K. Hoist wt=56K 5.Condition and Circulate 2.0 40.5 _ 12:00 13:00 1.0 Survey with MWD __- 6.Trips 7.5 137.5 13:00 0:00 11.0 Drill from 3,971'to 4,287'. Hole took 92 bbls over 12 hour tour 7.Lubricate Rig 1.5 0:00 6:00 6.0 Drill from 4,287'to 4,446' 8.Repair Rig 9.C/O Drill Line 2.5 10.Deviation 1.0 3.0 - --- - --- 11.Wireline Log 12.Run Casing and Cement 33.0 ''Current Weather"' 13.Wait on Cement Ambient Temperature: +5F. Winds: -15 mph from the north 14.Nipple up BOP 73.5 ------ - 15.Test BOP 37.5 "' EB-15 Update"' 16.Drill Stem Test _ 1.5 Approximate volumes: 1,956 bbls waste fluid,250 bbls fresh water,203 bbls diesel 17.Plugback r __ Cement van Is staged at EB-15 and access road is in good shape 18.Squeeze Cement Next EB-15 injection event should begin mid-day,today 19.Fishing 20.Directional Work --- 21.Other 106.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 840.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG I TYPE SERIAL NUMBER JETS DEPTH IN(ft) I DEPTH OUT(ft) FEET GRADE OUT HRS OBD FT/HR 1 121/4 HDBS MT-622394 11748526 3x16,1x12 94 1,207 1,113 1-1-wr.A-E-1-10-TD 20.41 54.53 2 81/2 • HDBS PDC-FX2526 5013668 5x13 1,091 3,680 2,589 o-i-cr-s-x-t-N0.TD 26.27 98.55 3(Re-run) 61/8 HDBS PDC-FXG55D 11747462 5x11 3,570 3,812 2421-1-Wr9A-X-1-NO-HP 3.27 74.01 i 4 61/8 HDBS Miluooih 11562667 None,-3x26 3,812 3,881 69 I O-o+NO-A-E-1-NOeHA 2.34 29.49 5(Re-run) 6 1/8 HDBS PDC-FXG55D 11747462 5x11 3,812 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GL Is 31.7' CEMENT PROGRAM "JIM Section OD(in) i Weight(ppf) Grade Thread I MD(ft) TVD(ft) Contractor CIP J-- _Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C-Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 _ I 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 "L""C" Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 • 04:40 "G" Plug bumped PUMP#1 PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) 65 Description JTodayOn Hand;L-`. Model WH-1000-A 'Model TSM1000 Time 23:59 BAROSEAL(40#sack) 0 I 30 Liner Size(in) _ 5 !Model Size(in) , 6.. Weight(lbs/gal) 8.7 ALDACIDE G(5g pail) 4 105 Stroke(in) ' 10 Stroke(in) 9 VIS(sec/qt) 47 KCI(sack) 0 423 BBL/STK 0 97% 0.059 BBL/STK @ 97%, 0.076 PV(cp) 11 N-VIS(25#sack) 6 503 SPM SPM _I 58 YP(lbs/100h2) 17 N-DRIL HT PLUS(sack) 7 112 GPM GPM 183 Gels(lbs/100ft2) 9/12/15 AQUAGEL(sack) 0 1207 PSI + PSI 976 pH 9.6 DEXTRID LT(sack) 2 387 WELL CONTROL Filtrate WL(mU30 min) 6.1 BARACARB 25(sack) 0 288 SPR Pump#1 20 0_199 psi SPR Pump#2 20 @ 247 psi Sand(%by vol) 0.75 CAUSTIC SODA(sack) 1 302 SPR Pump#1 30 @ 298 psi SPR Pump#2 30 @ 393 psi Solids(%by vol) 0.5 SODA ASH(sack) 12 0 FIT EMW(ppg) 13.5 LCM(ppb) -1 BAROID 41(sack) 0 20,262 DRILL STRING AND HYDRAULICS CI(mg/L) 32,000 SOLIDS CONTROL EQUIPMENT_ - AVDP(fps) 202 AVDC(fps) 316 Ca(mg/L) 120 _ Shaker Screens I` Hour BU Strokes 1,570 'WOB(k-lb) -8K Cake(API 32nd inch) 1 Super G 70 • Total Strokes 2,247 RPM 78 PF/MF(ml) 0.1/0.8 Super G 100 Pick Up(k-lb) 68K TFA(in2l I 0.464 PIt Vol(bbls) 362 Super G 140 Slack Off(k-lb) 42K HHP total 104 Hole(bbls) 134 Centrifuge Speed 1 Hour-s-71 Jet Vel(fps) 133 1dP @1 Bit(psi) i 138 Reserve(bbls) 338 Pit 3 Centrifuge 2300 BHA 500 r Item I Description 1 OD(in) I ID(In) 1 Gauge(In) .Top Connection 11 Length(ft) 1 Vendor Cumulative Length(ft) f BRT hour*' 1 HDBS FX G55D LGPDC 6.000 2.500 6.125 B 3-1/2"IF 1.18 HAL 1.18 2 Geo-Pilot 5200 5.250 1.125 5.875 B 3-1/2"IF 16.19 HAL 17.37 __ 3 Geo-Pilot 5200 Flex Collar 4.250 2.610 B 3-1/2"IF 11.54 HAL 28.91 4 ILS 4 17/25 1.420 5.940 B 3-1/2"IF 3.58 HAL 32.49 - - - 5 SP4 Gamma/Res/HCIM 4.720 1.420 B 3-1/2"IF 24.40 t HAL 56.89 6 MWD PWD 4.710 1.420 B 3-1/2"IF 10.85 HAL 67.74 7 •ILS 4.750 1.420 6.100 B 3-1/2"IF --- 3.58 HAL 71.32 8 ,DM Collar 4.750 2.610 B 3-1/2"IF 9.27 HAL 80.59 9 1Telemetry HOC 4.790 i 2.812 B 3-1/2"IF 11.28 HAL 91.87 10 Float Sub 4.750 2.500 B 3-1/2"IF 2.19 HAL 94.06 _ 11 �Flex Collar 4.670 2.250 B3-1/2"IF 31.04 HAL 125.10 • _ 12 Flex Collar 4.680 2.250 _ B 3-1/2"IF _ 31.00 HAL 156.10 • 13 Flex Collar 4.780 , 2.250 B 3-1/2"IF 30.90 HAL 187.00 14 1 Weatherford XO 4.970 2.563 B 4"Mod 2.64 W FT 189.64 • • 15 41 "XT-39 HWDP(4 joints) 4.000 . 2.563 131.46 WFT ' 321.10 16 14-3/4"Daily Hydraulic Jars _ - -t_ 4.820_ - 2.000 B 4"Mod 29.28 WFT 350.38 • 17 4"XT-39 joints) 4.000 2.563 394.38 WFT 744.76 -- - 744.76 TOTAL BHA LENGTH: --_--- airMOSTRECENT:DIRECTIONAL SURVEYS D INC ; AZ ND i +N/-S +E l-W VS I_ DLS 1 Calculation I VS Azimuth 4207.40 99.23 • 98.36 2339.31 -568.29 +2863.80 2919.63 3.41 Minimum Curvature -. 101.08 4274.74 96.87 98.13 2329.88 ' -577.85 +2929.78 2986.22 3.52 + Minimum Curvature 101.08 4337.00 94.07 97.42 2323.95 : -586.23 +2991.18 3048.08 4.64 Minimum Curvature 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY _ DATE OF REFERENCED UMIAQ REPORT: 6-Feb-12 _ Customer Vol(gal) Customer Vol (gal) Customer Vol(gal) '� Customer Vol(gal) Summary Quantities Vol(gal) Delivered Today 1_ 3,000.0 Kuukpik(D) 2298.6 Tikigaq/Conam(D) 347.5 5,000-gallon Tank(G) Total Diesel Consumed 192.222.4 On Hand Today 6,700.0 Delta Lease(D) ' BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 9,244.0 Used Today 1,800.0 Umiaq(D) 167.3 GBR(D) _ 10.6 NSB Equipment(D) Diesel Consumed Today 4,496.3 Used this Well 47,525.0 Peak(D) 1326.3 Halliburton(D) 346.0 BGF(G) 244.0 Gasoline Consumed Today 244.0 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY _ PROJECT HSE SUMMARY Company 1 Position Count Est Hours Total Hours Notes Incident Type Today Comments,_,mayi Kuukpik Drilling 'Rig Crew 22 12 264 Illness Kuukpik Drilling :Tool Pusher 2 12 24 Injury 0 HES-BSS (Cementing - 9 13 117 Three in camp. Six staying In Barrow Spill 0 HES-BSS Mud 2 • 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying In Barrow Near Miss 0 GBR Casing Crew Umiaq Ops Support 8 12 96 ,-Spill tech in camp.All others In Barrow Vetco Gray Wellhead Peak R19 Support 15 13 195 'Five in camp.Ten staying in Barrow _ Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager 1 12 12 Beacon Medic 1 12 12 Oasis Sample Catchers 2 12 24 _ AOGCC BORE Inspector PRA DSM 2 12 24 PRA HSE 1 12 12 PRA PRA Geologists 2 12 24 _.---._ __-.- --- R - ---- -.-.--ESTIMATED TOTAL DAILY LABOR HOURS: 951 Total Personnel in Camp: 52 Indlvlduels MIN....ok. • M. WALAKPA#12 DAILY DRILLING RE'RT , , 8-Feb-12 v f, as Fields ' Operator N • o- .......-.-- Borough Project -- --- Description B-t,nmg Program Well f Well -- Leaders Don Breeden/Thor Kallestad • • ..13 " Well Name - -- Walakpa#12 Number 68090 Cetl Phone -(907)980-4206 10 API#/AOGCC 023-20040.00-00/211-159NSB Development Permit (PTD#) Land Use Permk #10-252 Office Phone (907)771-1002 Rig Accept 14-Jan @ 12:00 I, Rig Contractor I: Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Tlme Drill Rate Rig Release 06:00 Depth 5,101 MD/-2,364 TVD Target Depth(feet)rkb 5,298 MD/2,338 ND HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 25 DART TD'd at 5,101. Pumping out to shoe Operations Next 24- POOH and Up RSS BHA. P/U cleanout BHA. RIH to TD. POOH with cleanout Hours BHA. Prepare to run liner OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Start Finish Hours j Description Detail [ Daily f Total 6:00 8:00 2.0 Dill from 4,444'to 4,477' 1.Rig Up/Rig Down 300.0 8:00 8:30 0.5 CBU. Record SPRs. Flow check well.Lower ECD from 10.4 to 10.29 2.Drilling 16.5 119.0 • 8:30 Drill from 4,477'to 4,608'. Record SPRs 3.Reaming 1.0 -- 12:00 _12:00 3.5 Upwt=64K. Down wt=42K. Rot w_t=50K 4.Coring 12:00 13:30 1.5 Circulate to lower ECDs and C/O 80 bbls mud 5.Condition and Circulate 4.5 45.0 13:30 0:00 10.5 Drill from 4,608'to 5,090'. Record SPRs ..15)., 6.Trips 3.0 140.5 0:00 0:30 0.5 Drill from 5,090'to TD at 5,101'.TD at 00:40 7.Lubricate Rig 1.5 0:30 3:00 2.5 Circulate hole clean and collect final survey 8.Repair Rig 3:00 Back ream to shoe 9.C/O Drill Line 7 2.5 6:00 3.0 •Rot up wt=54K. Rot down wt=46K 10.Deviation 3.0 -- 11.Wireline Log 12.Run Casing and Cement 33.0 • *** Current Weather*** 13.Wait on Cement • _ Ambient Temperature: -10F. Winds: Light and variable 14.Nipple up BOP 73.5 15.Test BOP r. 37.5 ***EB-15 Update*** 16.Drill Stem Test 1.5 EB-15 Injection concluded. Approximate volumes injected: 1,745 bbls waste fluid,86 bbl 17.Plugback rinse water,100 bbls fresh water,25 bbls diesel. Shut in tubing and annulus=-650 psi 18.Squeeze Cement 19.Fishing 20.Directional Work 21.Other 106.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 864.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER : SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) ,DEPTH OUT(ft) FEET GRADE OUT HRS OBD FT/HR 1 121/4 HDBS MT-622394 11748526 3x16,1x12 94 1,207 1,113 11 WT-A-e-1-NO TO 20.41 • 54.53 ✓ 2 81/2 HDBS I_PDC-FX2526 5013668 5x13 1,091 3,680 2,589 0-1-CT-s-x-1-NOT0 26.27 98.55 3(Re-run) 61/8 HDBS 'PDC-FXG55D 11747462 5x11 3,570 _ 3,812 242 1-1-WT-A-X-1-NO-HP I 3.27 74.01 4 6 1/8 HDBS Milltooth 11562667 None,-3x26 3,812 - 3,881 69 oo+a-A-E-1-NO-BHA 2.34 29.49 5(Re-run) 6 1/8 HDBS PDC-FXG55D 11747462 5x11 3,881 5,101 1,220 • 28.45 42.88 SectionGOD(In) Weight DEPTHS MEASURED FROM 21.5'RKB.GL Is 31.7' CEMENT PROGRAM , VD --- -- ---- - CASING AND COMPLETION PROGRAM-9LL(PP� ,IGrade Thread MD(ft) TVD�ft) Contractor CIP !, Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 "L""C" Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 "G" Plug bumped PUMP#1 PUMP#2 BARADRIL-N'D .IING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) 62 Description __ Today On Hand 1 Model WH-1000-A Model TSM1000 Time 23:59 BAROSEAL(40#sack) 0 30 Liner Size(in) 5 Liner Size(in) 6 Weight(lbs/gal) 8.6 ALDACIDE G(5g pail) 1 0 105 Stroke(in) 10 Stroke(in) 9 VIS(sec/qt) 56 KCI(sack) i 117 866 __ BBL/STK @ 96% i 0.0583 BBL/STK @ 96% 0.0755 PV(cp) 12 N-VIS(25#sack) 34 469 SPM +- _ SPM 46 YP(lbs/100ft') 20 N-DRIL HT PLUS(sack) 36 76 _ GPM GPM 145 Gels(lbs/100ft') 9/18/23 AQUAGEL(sack) 0 1207 PSI PSI 725 pH 10.2 DEXTRID LT(sack) 0 387 WELL CONTROL Filtrate WL(mL/30 min) 5.4 BARACARB 25(sack) l 0 288 SPR Pump#1 21 @ 250 psi SPR Pump#2 20 @ 284 psi Sand(%by vol) ! 0.2 CAUSTIC SODA(sack) • 8 294 SPR Pump#1 29 @ 321 psi SPR Pump#2 30 @ 407 psi Solids(%by vol) N/A PAC-L(sack) 1 288 FIT EMW(ppg) 13.5 LCM(ppb) Essentially none circulating BAROID 41(sack) 0 20,262 DRILL STRING AND HYDRAULICS CI(mg/L) 28,000 SOLIDS CONTROL EQUIPMENT AVDP(fps) 116 •AVDC(fps) 182 Ca(mg/L) 160 Shaker Screens -T- Hours BU Strokes 1,831 WOBSk-Ib) -__ 10-15K Cake(API 32nd inch) 1 Super G 140 24 Total Strokes 2,563 RPM 60 PF/MF(ml) 0.01/0.48 Super G 100 24 Pick Up(k-Ib) 57K TFA(In) 0.464 Pit Vol(bbls) 315 Super G _ 140 24 Slack Off(k-lb) 52K HHP total 61 Hole(bbls) 159 Centrifuge Speed j Hours f' Jet Vel(fps) 77 dP @ Bit(psi) 138 Reserve(bbls) 131 Pit 3 Centrifuge 2300 24 BHA 500 B 8 HAL 1.18 - - 2 !Geo-Pilot 5200 5.250 -_ 1.125 5.875 B 3-1/2"IF - 16.19-- HAL 17.37 3 Geo-Piot 5200 Flex Col1 HDBS FX G55D Clar 4250 2.500 6.000 . 0 6.125 B 3-1/2"IF 1IF 11 S4 HAL 28.91 --BRT hours Item Description OD •(in) ID(in) Gauge(in) Top Connection Len th(ft Vendor Cumulative Length(ft) 4 ILS 4 17/25 1.420 5.940 B 3-1/2"IF 3.58 HAL 32.49 5 SP4 Gamma/Res/HCIM 4.720 1.420 B 3-1/2"IF 24.40 HAL 56.89 6 MWD PWD 4.710 1.420 B 3-1/2"IF .10.85 HAL 1_ 67.74 7 ILS 4.750 1.420 6.100 B 3-1/2"IF --_ 3.58 HAL 1 71.32 8 DM Collar 4.750 2.610 B 3-1/2"IF 9.27 HAL 80.59 9 Telemetry HOC 4.790 2.812 B 3-1/2"IF 11.28 HAL 91.87 10 Float Sub 4.750 2.500 B 3-1/2"IF 2.19 HAL 94.06 11 Flex Collar 4.670 2.250 B 3-1/2"IF 31.04 HAL 125.10 ---12 --- Flex Collar 4.680 2.250 133-1/2"IF 31.00 HAL 156.10 --- - 13 Flex Collar 4.780 2.250 B 3-1/2"IF 30.90 HAL • 187.00 14 Weatherford XO 4.970 2.563 B 4"Mod 2.64 WET 189.64 15 4"XT-39 HWDP(4 joints) ) 4.000 � 2.563 131.46 WFT 321.10 16 ,4-3/4"Daily Hydraulic Jars 4 820 2.000 B 4"Mod 29.28 I WFT 350.38 17 4"XT-39 HWDP(12 joints) 4.000 a 2.563 : 394.38 WFT 744.76 TOTAL BHA LENGTH: 744.76 MOST RECENT DIRECTIONAL SURVEYS MD INC AZ TVD +N/-S +EI-WVS DLS r Calculation 1 VS Azimuth. 4971.2685.92 99.32 2356.25 -654.86 +3620.27 3678.64 1.82 Minimum Curvature 101.08 5024.76 84.87 99.64 2360.54 -663.64 +3672.87 3731.95 2.05 Minimum Curvature 101.08 5101.00 84.87 99.64 2367.36 -676.35 +3747.73 3807.86 0.00 Projected to TD 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 7-Feb-12 Customer Vol(gal) Customer 1 Vol(gal) Customer Vol(gal) Customer i Vol(gal) Summary Quantities I Vol(gal) Delivered Today 0.0 Kuukpik(D) 957.5 Tikigaq/Conam(D) 682.2 5,000-gallon Tank(G) • Total Diesel Consumed 196,873.9 On Hand Today 4,500.0 Delta Lease(D) ' 437.8 I BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 9,472.7 Used Today 2,200.0 Umiaq(D) ,GBR(D) 'NSB Equipment(D) Diesel Consumed Today 4,651.5 Used this Well 49,725.0 Peak(D) 2249.1 Halliburton(D) 324.9 BGF(G) 228.7 Gasoline Consumed Today 228.7 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company i Position Count Est Hours Total Hours Notes Incident Type Today Comments Kuukpik Drilling Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury ' 0 HES-BSS Cementing 9 13 117 Three in camp. Six staying in Barrow Spill 0 HES-BSS Mud 2 13 26 _ Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting 0 HES Supervisor 1 _ 13 _ 13 HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew Arriving today Umiaq Ops Support 8 12 96 Spill tech in camp. All others In Barrow Baker Oil Tools Liner Hanger Arriving today Peak Rig Support 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager 1 12 12 Beacon Medic 2 12 24 Change out day - ) Oasis Sample Catchers 2 12 24 _ AOGCC BOPE Inspector• -r Ma,-....1164/.. PRA DSM 2 12 24 PRA _ HSE 1 12 12 PRA PRAGeologists 2 12 24ESTIMATED TOTAL DAILY LABOR HOURS: 963 Total Personnel In Camp: 54 Individuals 7•, busing Program - 9-Feb-12 WALAKPA#12 DAILY RE-'RTf BE ids Well t - --- Y DRILLING Operator North Slope Borough Project Description Well Site Leaders Don Breeden/Thor Kallestad st t�E-� Well Name Walakpa#12 CIP Number 68090 I Cell Phone r (907)9804206 API#/AOGCC NSB Development Permit ''^�....r.t^" (PTD#) 023-20040-00-00/211-159 Land Use Permit #10-252 Office Phone (907)771-1002 Rig Accept 14-Jan @ 72:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate Rig Release 06:00 Depth 5,101 MD/-2,364 TVD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb Days on Well 26 DART i Circulate Hole in Cased Hole 0 1690' Operations Next 24- Continue to Condition and Clean up Hole while TOH in prepreation of running 4 Hours 1/2"Slotted Liner and 2 7/8"TBG OPERATIONS SUMMARY _-_24-HOUR ACTIVITY SUMMARY:00 6.0 Continue to backream to Shoe from 4291'to 3974' 1.Rig p CUMULATIVE ACTIVITY SUMMARY etail Y 12:00 Finish5::00 H3.0 Backream-Stand 51 and 50 packed off-Work hole as needed 2.Drilling/Po Down Daily Total_ .,�_ ___ Change _ _ Reaming • I 300.0 119.0 __ 15:00 16:00 1.0 Circulate Hole- out HYD Elevators to Manual Elevators 3. 6.0 7.0 _ 16:00 19:00 3.0 Backream to Shoe-Packed off @ 3826'-Work Hole as Needed 4.Coring 19:00 19:30 Condition Mud and Circulate 2 Bottoms Up @ the Shoe-Total Mud Loss while Backreaming 5.Condition and Circulate 5.0 50.0 _- 19:30 0.5 1150 BBLS 6.Trips 10.5 151.0 �- 19:30 20:00 0.5 !Blow DN Kelly and Top Drive-Gather Tools for Slip and Cut-Hang Blocks-Hold PJSM 7.Lubricate Rig . 1.5 20:00 22:00 2.0 Cut 65'Drilling Line 8.Repair Rig 1_ 22:00 22:30 0.5 Pump Dry Job-Blow DN TD 9.C/O Drill Line r 2.5 5.0 22:30 0:00 1.5 POOH @ 3600'-Start to Pull 15-20K Over-Also could not go DN-Wash&Ream out of Hole 10.Deviation 3.0 0:00 2:30 2.5 !Wash&Ream to 3214' 11.Wireline Log 2:30 5:00 2.5 POOH on the Elevators from 3214'to 1690' 12.Run Casing and Cement 33.0 5:00 6:00 1.0 Circ @ 1690'for possible Cuttings Buildup-Blow DN TD 13.Wait on Cement ... _ -- 14.Nipple up BOP 73.5 15.Test BOP 37.5 16.Drill Stem Test 1.5 _ 17.Plugback 18.Squeeze Cement _.- "'Current Weather"' 19.Fishing Ambient Temperature: -3 F. 5 Winds: Light and variable 20.Directional Work 21.Other 106.0 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 rt 888.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft)] FEET 1 GRADE OUT HRS OBD FT/HR 1 121/4 HOBS MT-e22394 11748526 3x16,1x12 94 1,207 • 1,113 1-1-WT-A-E-t-NO-To 20.41 54.53 2 81/2 HDBS PDC-FX252611 5013668 5x13 1,091 3,680 2.589 0-1-cT-s-x-1-NO-T0 26.27 98.55 3(Re-run) 61/8 HDBS PDC-FXG55DI 11747482 5x11 3,570 3,812 242 1-1-WT-A-X-1-NO-HP 3.27 74.01 4 6 1/8 HDBS Millionth - 11562667 None,-3x26 3,812 3,881 69 0-0-NO-A-E-1-NO-BHA2.34 29.49 5(Re-run) 61/8 HDBS PDC-FXG55D' 11747462 5x11 3,881 5,101 1,220 28.45 42.88 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GL is 31.7' CEMENT PROGRAM Section OD(in) Weight(ppfyik,. Grade _- Thread MD(ft) TVD(ft) Contractor , CIP Type Comments Conductor 16 84 L-80 Welded 101.5 � 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 i 40 L-80 • BTC-M 1,194 1 1,156 Halliburton 20-Jan-12 @ 16:00 'L" "C" Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 i 2,299 Halliburton 29-Jan-12 @ 04:40 'G" Plug bumped PUMP#1 ! PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES BARADRIL-N DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(CF) 64 Description j Today l On Hand Model WH-1000-A Model TSM1000 Time 23:59 BAROSEAL(40#sack) 0 I 30 Liner Size(in) _5 Liner Size(in) 6 Weight(lbs/gal) 8.7 ALDACIDE G(5g pail) 2 1 103 Stroke(in) 10 IStroke(in) 9 VIS(sec/qt) 49 KCI(sack) 136 730 BBUSTK @ 96% , 0.0583 I BBL/STK @ 96% 0.0755 PV(cp) 10 N-VIS(25#sack) 17 452 SPM SPM 46 YP(lbs/100ft2) 22 N-DRIL HT PLUS(sack) 19 57 GPM GPM 145 Gels(lbs/100ft2) 10/16/20 AQUAGEL(sack) 0 1207 PSI PSI 725 pH 9.8 DEXTRID LT(sack) 0 387 WELL CONTROL Filtrate WL(mU30 min) 5.8 BARACARB 25(sack) 25 263 SPR Pump#1 21 @ 250 psi +SPR Pump 82 20 @ 284 psi Sand(%by vol) .2 CAUSTIC SODA(sack) 0 294 SPR Pump#1 29 @ 321 psi SPR Pump 82 30 @ 407 psi Solids(%by vol) N/A PAC-L(sack) 0 288 FIT EMW(ppg) • 13.5 tttttt LCM (ppb) Essentially none circulating BAROID 41(sack) 0 20,262 DRILL STRING AND HYDRAULICS CI(mg/L) 28,000 SOLIDS CONTROL EQUIPMENT 1 AVDP(fps) 116 AVDC(fps) 182 Ca(mg/L) _ 120 Shaker Screens F Hours BU Strokes 1,831 WOB(k-Ib) ._- 10-15K Cake(API 32nd inch) -.-- 1 Super G 140 24 _ • Total Strokes • 2,563 RPM 60 PF/MF(ml) .0/.4 Super G 100 24• __ ' Pick Up(k-Ib) 57K TFA(In2) _ 0.464 Pit Vol(bbls) 337 Super G 1140 24 Slack Off(k-lb) 52K HHP total _ 61 Hole(bbls) 159 Centrifuge Speed Hours Jet Vel(fps) 77 dP @ Bit(psi) 138 Reserve(bbls) 203 Pit 3 Centrifuge 2300 24 BHA 800 Item I ,__ Description :-__y OD{in) I ID(In) I Gauge(in)__- Top Connection I Length(ft) Vendor I Cumulative Length(ft) J BRT hours_._.:. 1 HDBS FX G55D LGPDC 6.000 • 2.500 6.125 B 3-1/2"IF 1.18 • HAL 1.18 2 Geo-Pilot 5200 5.250 1.125 5.875 B 3-1/2"IF 16.19 HAL 17.37 3 Geo-Pilot 5200 Flex Collar 4.250 2.610 B 3-1/2"IF 11.54 HAL 28.91 4 ILS ? 4 17/25 1.420 5.940 B 3-1/2"IF 3.58 HAL I 32.49 5 SP4 Gamma/Res/HCIM � 4.720 1.420 _ __B 3-1/2"IF 24.40 HAL 56.89 •6 MWD PWD 4.710 1.420 B 3.1/2"IF 10.85 HAL -------67.74 7 ILS 4.750 1.420 6.100 B 3.1/2"IF 3.58 HAL 71.32 8 DM Collar 4.750 2.610 B 3-1/2"IF 9.27 HAL 80.59 9 Telemetry HOC 4.790 2.812 ! -r B 3-1/2"IF 11.28 HAL 91.87 - - 10 Float Sub 4.750 2.500 B 3-1/2"IF 2.19 HAL 94.06 11 Flex Collar 4.670 2.250 B 3-1/2"IF it 31.04 HAL 125.10 _- 12 Flex Collar 4.680 2.250 B 3-1/2"IF 31.00 HAL 156.10 13 Flex Collar _ '----4.780 _ 2.250_ B 3-1/2"1F 30.90 HAL I 187.00 --- --- 14 Weatherford X0 4.970 2.563 B4"Mod 2.64 WFT , -- 189.64 _--- ---I 15 4"XT-39HWDP(4joints) 4.000 2.563 131.46 WFT 321.10 16 4-3/4"Daily Hydraulic Jars 4.820 2.000 B 4"Mod 29.28 WFT 350.38 17 4"XT-39 HWDP(12 joints) _ i 4.00.0 2.563 _ 394.38 WFT I 744.76 ----- - -- TOTAL BHA LENGTH: 744.76 MOST RECENT DIRECTIONAL SURVEYS '' - MD I INC AZ TVD +N/-S +E/-W VS DLS Calculation 1 VS Azimutl 4971.26 85.92 99.32 2356.25 -654.86 +3620.27 3678.64 1.82 Minimum Curvature 101.08 _ 5024.76 84.87 99.64 2360.54 -66364 +367287 3731.95 2.05 Minimum Curvature 101.08 5101.00 8.1.87 99.64 2367.36 • -676.35 +3747.73 3807.86 0.00 Projected to TD 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 7-Feb-12 Customer I Vol(gal) Customer Vol(gal) Customer Vol(gal) T Customer Vol(gal) Summary Quantities Vol(gal) Delivered Today0.0 Kuukpik(D) 057.5 TikigaglConam(D) 682.2 5,000-gallon Tank(G) Total Diesel Consumed 196,873.9 On Hand Today I4,500.0 Delta Lease(D) 437.8 BSS(D) 23.000-gallon Tank(D) Total Gasoline Consumed 9,472.7 Used Today 2,200.0 Umiaq(D) 'GER(D) NSB Equipment(0) Diesel Consumed Today 4,651.5 Used this Well 49,725.0 Peak(D) 2249.1 •Halliburton(D) 324.9 BGF(G) 228.7 Gasoline Consumed Today 228.7 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company Position Count Est Hours I Total Hours Notes Incident Type Today i Comments Kuukpik Drilling Rig Crew 22 12 264 Illness 0 Kuukpik Drilling 'Tool Pusher 2 12 24 Injury 0 HES-BSS Cementing 01 13 117 Three in camp. Six staying in Barrow Spill 0 HES-BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 Bear Sighting ' 0 HES 1Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss • 0 GBR Casing Crew 2 - 12 24 In Barrow • --- - --- -- - Umiaq Ops Support 8 12 96 Spill tech in camp.All others in Barrow 1 Baker Oil Tools Liner Hanger 1 12 12 In Barrow -- - -Peak Ri Su 15 13 195 Five in camp.Ten staying in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager 1 12 12 Beacon Medic 1 12 12 Change out day Oasis Sample Catchers 2 12 24 _ _I AOGCC BOPE Inspector PRA DSM 2 12 24 ' PRA HSE 1 12 12 -- _ PRA PRA Geologists 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 987 I Total Personnel in Camp: 54 Individuals IPIMAL.k... 'VALAKPA#12 DAILY DRILLING RE-'`RT 10-Feb-12 Bu is Fields Well Operator North Slope Borough Project Description Well Site Leaders Steve Hubbard/Joe McInnis ilk) .2-,-- Uniting Program 'tom Well Name Walakpa#12 CIP Number 1 68090 Cell Phone (907)980.4206 ..sem. _ _. . _ _ _ _ - .. ..... API#I AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 (PTD#) #10-252 Rig Accept 14-Jan©12:00 RigContractor Kuukpik Drilling,LLC:Kuukpik DrillingRig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate p p P y 9 p Rig Release 06:00 Depth 5,101 MD/-2,364 D T Date/Time (feet)rkbNTarget DND epth(feet)rkb 5,298 MD/2,338 HSE Phone (907)771-1025 Days on Well 27 ' DART RIH W/4 1/2"Liner @ 3952' Operations Next 24- Finish RIH W/4 1?Liner-Displace Well to Brine-Finish Completion Hours OPERATIONS SUMMARY _ 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Start Finish T Hours Description Detail Daily Total 6:00 7:30 1.5 POOH to Jars 1.Rig Up/Rig Down 300.0 730 8:30 1.0 Lay Dn One Jt HWDP and Jars 2.Drilling 119.0 ' 8:30 9:00 0.5 Lay Dn Collars 3.Reaming 7.0 9:00 9:30 0.5 Download Data From Smart Tools 4.Coring 9:30 10:30 1.0 Break Dn&Lay Dn BHA 5.Condition and Circulate 0.5 50.5 10:30 11:00 0.5 MU SV for Running Tubing-Hang in V Door 6.Trips 6.5 157.5 11:00 12:00 1.0 RU to RC-Monitor Well for 30 Minutes with Trip Pump Off-FL Dropped 20'-Loss 6 BPH 7.Lubricate Rig 1.5 12:00 13:30 1.5 RU m Run 4 1/2"Liner - 8.Repair Rig 13:30 17:00 3.5 PJSM Prior to RIH with Slotted Liner-38 Jts Run 9.C/O Drill Line 5.0 17:00 21:30 4.5 Change Casing Tool-Run Inner String-False Table-2 7/8"Tbg 10.Deviation 3.0 21:30 0:00 2.5 Tag No/Go-Space Out Pups-PU Pups&Packer-MU Same 11.Wireline Log 0:00 0:30 0.5 MU Packer 12.Run Casing and Cement 12.5 45.5 0:30 1:00 0.5 Circulate 15 Bbis 13.Wait on Cement 1:00 1:30 0.5 Move HWDP to Drillers Side Board 14.Nipple up BOP 73.5 1:30 6:00 4.5 RIH W/4 1/2"Liner 15.Test BOP 37.5 16.Drill Stem Test 1.5 Notified HES/Umiaq of request to ship Smart Tools to Deadhorse for service 17.Plugback Will notif rIAOGCC of well status for upcoming 7 day BOPE test on 1/12/12 18.Squeeze Cement ' ""`Current Weather'•• 19.Fishing _ Ambient Temperature:4 F. 10 Winds: Light and variable 20.Directional Work • _ 21.Other 4.5 110.5 TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 912.0 DRILLING AND COMPLETION INFORMATION BIT NUMBER SIZE(in) i MFG TYPE SERIAL NUMBER • JETS DEPTH IN(ft) ',DEPTH OUT(ft) FEET GRADE OUT I HRS OBD FT/HR 1 I 121/4 1 HDBS MT-62239-1 11748526 3x16,1x12 94 1.207 1,113 1-1-WT-4E-1-No-TD 20.41 54.53 2 8 1/2 HDBS PDC-FX2526 5013668 5031,091 3.680 2,589 O.1-cT-sacs-NO-To 26.27 98.55 Re-run) 61/8 HDBS PDC-FXGS5D 11747462 5x11 3,570 3.812 242 1-1-WT-A-x-f-No-HP 3.27 74.01 29.49 42.88 4 _61/8 HDBS Milltooth 11562667 None,-3x26 3,812 3,881 69 O.oNO-A-E-1-NO-8HA! 2.34 : 5 Re-run 6118 HDBS PDC-FXG55O 11747462 5x11 3,881 5,101 1,220 2fl.45 `_ ION PROGRAM-ALL SET DEPTHS MEASURED FROM 2.1.5'RKB.GLIs 31.7' CEMENT PROGRAM Section 'r: ','OD(In) I Weight(ppf) rr Grade I Thread I MD(ft) I TVD(ft) Contractor CIP I Type Comments Conductor 16 84 1 L-80 Welded 101.5 _101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1,194.j 1,156 Halliburton 20-Jan-12 @ 16:00 "L""C" Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 04:40 , "G" Plug bumped PUMP#1 PUMP#2 BARADRIL-N DRILLING FLUID PROPERTIES 'BARADRIL-N DRILLING FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp("F) 60 Descripton I Today -I• Model WH-1000-A Model TSM1000 Time 23:59 BAROSEAL(40#sack) • 0 I Liner Size(in) I 5 Liner Size(in) 6 Weight(lbs/gal) 8.7 ALDACIDE G(5g pail) 0 , Stroke(in) Y _ 10 Stroke(in) 9 VIS(sec/qt) 50 KCI(sack) i 58 BBL/STK @ 96% 0.0583 BBUSTK @ 96% 0.0755 PV(cp) 12 Salt-Solar [ 89 _ SPM • 46 YP(Ibsl100fl2) 20 BARACOR700 - 1 GPM GPM ' 145 Gels(Ibsl100ft2) _ 10/13/18 AQUAGEL(sack) _4 0 SPM I PSI PSI 725 pH I 9.1 DEXTRID LT(sack) • 0 WELL CONTROL Filtrate WL(mL/30 min) 6.4 BARACARB 25(sack) 0 SPR Pump#1 21 @ 250 psi SPR Pump#2 I 20 @ 284 psi Sand(%by vol) .15 CAUSTIC SODA(sack) • 0 SPR Pump#1 29 @ 321 psi SPR Pump#2 a_ 30 @ 407 psi Solids(%by vol) _ .8 PAC-L(sack) 0 FIT EMW(ppg) 13.5 LCM(ppb) Essentially none circulating BAROID 41(sack) 0 DRILL STRING AND HYDRAULICS CI(mg/L) 27000 SOLIDS CONTROL EQUIPMENT AVDP(fps) 0 AVDC(fps) 0 Ca(mg/L) 160 Shaker I Screens I _ Hours BU Strokes 0 WOB(k-Ib) 0 Cake(API 32nd inch) 1 Super G 140 24 Total Strokes 0 RPM 0 PF/MF(ml) .0/.4 Super G 100 24 Pick Up(k-lb) 0 TFA(in2) 0 Pit Vol(bbls) 277 Super G 140 _ 24 Slack Off(k-lb) 52K HHP total 0 Hole(bbls) 192 Centrifuge 4-Speed I Hours Jet Vel(fps) 0 dP 1t Bit(psi) 0 Reserve(bbls) 298 Pit 3 Centrifuge 2300 0 BHA 100 Description _-- OD(in) ID(in) � Gauge(in), Top Connection Length(ft) Vendor L Cumulative Length(ft) „ BRT hours I,. , TOTAL BHA LENGTH:1..-.. _ ° ' MOST RECENT DIRECTIONAL SURVEYS MD1. f AZ TVD +N/-S +E/-W I VS 7 DLS Calculation -1 VS Azimuth_ 4971.26 85.92 99.32 2356.25 -654.86 +3620.27 3678.64 1.82 • Minimum Curvature - 101.08 5024.76 84.87 1 99.64 2360.54 663.64 +3672.87 3731.95 2.05 Minimum Curvature 101.08 5101.00 84.87 I 99.64 2367.36 -676.35 +3747.73 3807.86 0.00 Projected to TD 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY _ DATE OF REFERENCED UMIAQ REPORT: 8-Feb-12- it Customer Vol(gal) Customer Vol L. (gal) l Customer rVol(gal) Customer __� Vol(gal)- Summary Quantities Vol(gal) Delivered Today 0.0 Kuukpik(D) 3313.0 �Tikigaq/Conam(D) 231.0 5,000-gallon Tank(G) Total Diesel Consumed 196,873.9 On Hand Today 6,800.0 Delta Lease(D) 218.0 BSS(D) 23,000-gallon Tank(D) _- Total Gasoline Consumed 9,472.7 Used Today 1,750.0 Umiaq(D) !GBR(D) NSB Equipment(D) 0.0 Diesel Consumed Today 5,311.0 Used this Well 51,475.0 Peak(D) 1231.0 Halliburton(D) 318.0 BGF(G) 231.0 Gasoline Consumed Today 231.0 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company I Position Count Est Hours Total Hours Notes Incident Type Today Comments Kuukpik Drilling 'Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-BSS Cementing 3 13 39 Three in camp. Six staying in Barrow Spill 0 HES-BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 4 12 48 1 Bear Sighting 0 HES I Supervisor _ 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR ICasing Crew 2 12 24 In Barrow Umiaq I Ops Support 8 _ 12 96 Spill tech in camp. All others in Barrow Baker Oil Tools I Liner Hanger 1 12 12 I In Barrow Peak I Rig Support 15 13 195 'Five in camp. Ten staying in Barrow Kuukpik Catering Cook/CleanI. 5 12 60 Alutiiq Camp Manner 1 12 12 _ Beacon Medic 1 12 12 'Change out day Oasis Sample Catchers 0 12 0 AOGCC BOPE Inspector PRA 'DSM 2 12 24 --- PRA NSE 1 12 12 I Vetco Gray_ Well Head 2 t. 12 24 'Staying in Barrow ESTIMATED TOTAL DAILY LABOR HOURS: 885 Total Personnel in Camp: 54 Individuals Ml....... ��,,� z :o 'VALAKPA#12 DAILY DRILLING RE- `RT 11-Feb-12 4, --ta.1 -- - - - - -T--- - - - Operator North Slope Borough Project Description Ba. as Fields Well Weil Site Leaders Steve Hubbard/Joe McInnis Drilling Program tl . t. �'r' Well Name Walakpa#12 CIP Number 68090 Cell Phone (907)9804206 a4+.rwr+f, API#/AOGCC 023-20040-00-00/211-159 Land Use Permit NSB Development Permit Office Phone (907)771-1002 ( (PTD#) #10-252 Rig Accept 4-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Slte Phone (907)771-1021 Date/Time • Drill Rate Rig Release 06:00 Depth 5,101 MD/-2,364 TVD Target Depth(feet)rkb 5,298 MD/2,338 TVD HSE Phone (907)771-1025 Date/Time (feet)rkb • Days on Well 28 DART Change Out Rams f/4"to 2 718'&Test Same Operations Next 24- Finish Testing BOP-RU to Run 2 7/8"Tbg-Land&Test-RD BOP Equipment- Hours Install Tree Flange/Tree-Test Same OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Flouts__-_ Description Detail , Daily _ . Total. - 0600 0800 2.0 Finish RIH with 4-1/2 slotted liner/inner string-hole slick no problems RIH 1.Rig Up/Rig Down 300.0 0800 Tag btm at 5102 md-pu 1'to 5101'break circ in 1/2 bpm increments-hole packing off-work 2.Drilling 119.0 pipe-good returns-slowly work rate up to 5 bpm in 1/2 bbi increments-good returns w/min 3.Reaming 7.0 1230 4.5 fluid loss. 4.Coring 1230 1430 2.0 Hole packed off-slow rate work pipe continue inc rate to 3 bpm at 1/2 bbl inc 5.Condition and Circulate 7.5 58.0 1430 1530 1.0 Swap fluid over to 8.8 ppg NaCL good 8.8 ppg return 6.Trips 8.5 166.0 1530 TryAo.,xtptkctowr,bple to,j,0.1'.could only.ge)to 5096_-drop/pump 1-3/4"ball and set gkr_, 7.Lubricate Rig 1.5 1630 1.0 w/pins shearing at-3400psi-close annular-pt backside to 2500 psi for 10 min-good test. 8.Repair Rig __ 1630 TOL at 3497'-Shoe at 5096'-Unsling from liner-pu-15'pipe became heavy to pull-work 9.C/O Drill Line _ 5.0 pipe up to max pull 120k-suspect cups have turned out on tools-pull free with 1 std-break 10.Deviation 3.0 1930 3.0 circ w/full returns 11.Wireline Log 1930 2330 4.0 POOH 12.Run Casing and Cement 4.0 49.5 ' _ 2330 2400 0.5 'LD Running Tool&Pups _ 13.Wait on Cement 0000 0030 0.5 Finish Laying DN Running Tool&Pups 14.Nipple up BOP 73.5 _ _ 0030 0130 1.0 RU to Lay Dn 2 7/8"Inner String-PJSM-Monitor Fluid Losses 15.Test BOP 2.5 40.0 k_____ 0130 0330 2.0 Finish Pulling 2 7/8"Inner String-RD Power Tongs_ 16.Drill Stem Test 1.5 __ 0330 0600 2.5 MU Wear Ring Puller-Stab in Wear Ring=Back Off Lock Downs 17.Plugback Notify(leh msg 8:45pm)AOGCC of well status for upcoming 7 day-BOPE test on 1/12/12 18.Squeeze Cement "'Current Weather m 19.Fishing Ambient Temperature: 4 F. 10 Winds: Light and variable 20.Directional Work - - _ -- 21.Other 1.5 112.0 _ TOTAL HOURS: 24.0 TOTAL HOURS: 24.0 926.0 DRILLING AND COMPLETION INFORMATION } I FEET i GRADE OUT HRS OBD FT/HR_ BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN ft DEPTH OUT ft 1 121/4 HDBS nnr-622394 1174852/: dxi6,1xl2 94 1,207 1,113 1-1-WT-A-E-1-510-TD 20.41 54.53 2 _ 8 1/2 HDBS PDC-FX2526 5013668 5x13 1,091 _ 3,680 2,589 a+cr s-x-+-No-ro 26.27 98.55- 3(Re-run) _ 6 1/8 _ HDBS PDC-FXG55D 11747462 5x11 3,570 _ 3,812 242 1 1 WT A-X-1-NO-HP 3.27 _ 74.01 4 6 1/8 HDBS Millmoth 11562667 None,-3x26 3,812 3,881 69 0-0-NO-A-E-1-NO-BHA 2.34 29.49 5(Re-run) 6 1/8 HDBS PDC-FXG55D 11747462 5x11 3,881 5.101 1,220 28.45 42.88 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section l OD(in) : Weight(ppf) Grade Thread MDQ) j TVD(ft) Contractor • CIP Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11@ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 1 BTC-M ' 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 "L- "C" Returns to surface Intermediate 7 26 L-80 BTC-M I 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 "G" 1 Plug bumped PUMP#1 PUMP 2%KCL&NaCI COMPLETION FLUID PROPERTIES '-`' 2%KCL&NaCI COMPLETION FLUID INGREDIENTS Manufacturer Ellis Williams Manufacturer TSM FL Temp(°F) 0 Description Today Model WH-1000-A Model • TSM1000 Time 023:59 BAROSEAL(40#sack) 1 0 Liner Size(in) 5 •Liner Size(in) 6 Weight(lbs/gal) 8.8 ALDACIDE G(5g pail) i 0 Stroke(in) 10 ;Stroke(in) 9 VIS(sec/qt) 28 KCI(sack) : 56 BBL/STK @ 96% 0.0583 BBL/STK @ 96% 0.0755 PV(cp) 2 Salt-Solar 128 SPM SPM 0 YP(lbs/10062) 1 BARACOR 700 1 _ GPM GPM 0 Gels(Ibs/10oftz) 1/1/1: AQUAGEL(sack) 0 PSI PSI 0 pH 8.6 DEXTRID LT(sack) 0 WELL CONTROL Filtrate WL(mL/30 min) 100 BARACARB 25(sack) 0 SPR Pump#1 21 @ 250 psi SPR Pump#2 20 @ 284 psi Sand(%by vol) 0 AQUAGEL(sack) 76 . SPR Pump#1 29 @ 321 psi SPR Pump#2 30 @ 407 psi Solids(%by vol) 06 PAC-L(sack) 0 FIT EMW(ppg) 13.5 LCM(ppb) Essentially none circulating BAROID 41(sack) 0 DRILL STRING AND HYDRAULICS CI(mg/L) 41000 SOLIDS CONTROL EQUIPMENT '1 AVDP(fps) 0 AVDC(fps) 0 Ca(mg/L) 160 Shaker Screens Hours BU Strokes _ 0 WOB(k-lb) 0 Cake(API 32nd inch) 0 Super G 140 1 24 j Total Strokes _ 0 RPM 0 PF/MF(ml) 0/.5 Super G 100 24 Pick Up(k-Ib) _ 0 TFA(in') -_ 0 Pit Vol(bbls) 177 - Super G 140 24 Slack Off(k-lb) 52K HHP total 0 Hole(bbls) 158 Centrifuge Speed I Hours Jet Vel(fps) 0 dP/6 Bit(psi) 0 Reserve(bbls) 277 Pit 3 Centrifuge 2300 0 BHA 100 Item -- Description ---_�_-OD(in) ( ID(In) : Gauge(in), Top Connection Length(ft) I Vendor Cumulative Length(ft) I BRT houtt - I 1 -- TOTAL BHA LENGTH: • MOST RECENT DIRECTIONAL-SURVEYS __ �:'MD INC I AZ TVD +N/-S +E I-W VS T DLS T Calculation I_ VS Azimuth - 4971.26 85.92 99.32 2356.25 -654.86 +3620.27 3678.64 1.82 Minimum Curvature _ 101.08 5024.76 84.87 99.64 2360.54 -663.64 +3672.87 3731.95 2.05 Minimum Curvature 101.08 5101.00 I 84.87 99.64 2367.36 -676.35 +3747.73 3807.86 0.00 Projected to TD • 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 8-Feb-12 i Customer Vol(gal) Customer Vol(gal) • Customer i Vol(gal) I Customer •. Vol(gal) Delivered Today 0.0 Kuukpik(D) 3252.0 Tikigaq/Conam(D) 515.0 5,000gallon Tank(G)1 Vol(gal) Summary Quantlties ,Total Diesel Consumed 196,873.9 On Hand Today 5,000.0 _ Delta Lease(D) 221.0 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 9,472.7 Used Today 1,800.0_ _ Umiaq(D) 96.0 {GBR(D) NSB Equipment(D) 0.0 Diesel Consumed Today 6,059.0 Used this Well 55,175.0 Peak(D) 1462.0 Halliburton(D) 513.0 BGF(G) 111.0 Gasoline Consumed Today 111.0 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company P Count Est Hours Total Hours• Notes Incident Type Today Comments Kuukpik Drilling 'Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher _ 2 12 24 Injury 0 HES-BSS Cementing 3 I 13 39 Three in camp. Six staying in Barrow Spill 0 HES-BSS Mud 2 13 26 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 2 12 24 Bear Sighting 0 HES Supervisor 1 13 • 13 HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew 2 12 f 24 In Barrow Umiaq Ops Support MEM. 12 96 Spill tech in camp.All others in Barrow Baker Oil Tools Liner Hanger 1 12 12 In Barrow • Peak Rig Support 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Mane,er 1 12 12 I Beacon Medic 1 12 12 Change out day Oasis Sample Catchers 0 12 • 0 AOGCC BOPS Inspector 5 PRA DSM 2 12 24 PRA HSE 1 12 12 1 Netto Gray Well Head 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 861 Total Personnel in Camp: 54 Individuals Mi.. ..,e, IPE o `NALAKPA#12 DAILY DRILLING RET ''RT 12-Feb-12 .• •Operator North Slope Borough Project Description Bs es Fields well Well Site Leaders Steve Hubbard/Joe McInnis r , finning Program u > y . Well Name Walakpa#12 CIP Number 68090 I Cell Phone (907)980.4206 API#/AOGCC NSB Development Permit -.............""" (PTD#) 023-20040-00-00/211-159 Land Use Permit #10-252 Office Phone (907)771-1002 Rig Accept 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate Rig Release 06:00 Depth 5,101 MD/-2,364 TVD Target Depth(feet)rkb 5298 MD 3238'TVD HSE Phone i (907)771-1025 Date/Time (feet)rkb Days on Well 29 OART F::slung Cleaning Out Frozen Mud from Cellar and Operations Next 24- Waft on Vetco/Gray/Infectivity Test/Freeze Protect Well-Prep to move Rig Waiting on Vetco/Gray BPV Adapter Hours OPERATIONS SUMMARY 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Start Finish Hours Description Detail Daily Total 0600 I RD BOPE test equip-clean floor-RU tbg run equip-PU 2-7/8"tbg tail assy-(HES 2.313"id 1.Rig Up/Rig Down _ 300.0 0700 1.0 XN-Nipple w/2.205"id NoGo-2.475"id WLEG)check torque 2.Drilling 119.0 0700 1130 4.5 RIH w/106 jts 2-7/8"-6.5#-L-80-EUE 8 rd tbg wNetco-Gray MB2320 11"5k tbg hgr 3.Reaming 7.0 1130 1230 1.0 Drain BOPE-land hgr-MU LDS-LD landing jt-install BPV 4.Coring 1230 Prep floor to pull mouse hole-rotary table-change upper rams from 2-7/8"to 4" 5.Condition and Circulate 58.0 Remove Flowilne-Bell Nipple-Hydril-Upper Double Gale-Mud Cross-Lower Gate 6.Trips 166.0 2130 9.0 Lower Riser-Kill Line-Geo Span-Choke Line 7.Lubricate Rig 1.5 _ 2130 2400 2.5 Clean Cellar Box Box and Install Flange 8.Repair Rig _ 0000 Steam Clean Cellar and Bucket Out Cellar Box to Clear Ice and Heavy Mud 9.CIO Drill Line 5.0 0600 6.0 Wait on Vetco/Gray to locate BPV Adapter for 2"BPV for Ann sweeps 10.Deviation 3.0 11.Wireline Log 12.Run Casing and Cement 6.0 55.5 13.Wait on Cement 14-Nipple up BOP 9.5 83.0 -- 15.Test BOP 40.0 16.Drill Stem Test 1.5 _ ___ Notify(left msg 1300pm_HkOGCC of well status for upcoming 7 day BOPE test on 1/12/12 _ 17.Plugbacic Jeff Jones returned call stated would not record this notification as notice for BOPE test 18.Squeeze Cement '"'Current Weather"" 19.Fishing , Ambient Temperature: 7 F. 7 MPH Winds: Light and variable 20.Directional Work 1 1 21.Other 8.5 120.5 TOTAL HOURS: 24.0 Total Fluid Loss this Well Approximately-2600 BBLS TOTAL HOURS: 24.0 926.0 DRILLING AND COMPLETION INFORMATION r [ BIT NUMBER SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET i GRADE OUT HRS OBD FT/HR 1 121/4 HDBS MT-a2235a 11748526 3v16,1x12 _ 94 1.207 _ 1,113 1-1-WT-A-E-1-NO-TD 20.41 54.53 2 8 1/2 HDBS PDC-FX2526 5013668 5x13 1,091 3,680 2,589 atc * T-s-X-10-TD 26.27 98.55 _ _ 3(Re-run) 61/8 HDBS PDC-FXG55D 11747462 5x11 3,570 _ 3,812 242 I 1-1-WT-A5X-1-NO-HP 3.27 74.01 4 61/8 HDBS Milltooth 11562667 None..-3x26 3,812 3.881 69 0-0-NO-A-E-1-NO-BHA 2.34 29.49 5(Re-run) 61/8 HDBS PDC-FXG55D 11747462 5x11 3,881 5,101 1,220 . 28.45 42.88 CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB. GL is 31.7' CEMENT PROGRAM Section OD(In) l Weight(ppf) I Grade Thread MD(ft) TVD(ft) Contractor j CIP ' Type Comments Conductor 16 84 L-80 Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1.194 1,156 Halliburton 20-Jan-12 @ 16:00 "L" "C" Returns to surface Intermediate • 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 "G" Plug bumped a{ i' ON FLUID INGREDIENTS Manufacturer PUMP#Ellis Williams Manufacturer PUMP#2 TSM FL Temp KCL&N ION FLUID PROPERTIES 2%KCLDescripUon OMPLET Today _ P(' ) P • Model WH-1000-A Model TSM1000 Time 023:59 _BAROSEAL(40#sack) 0 Liner Size(in) 5 Liner Size(in) 6 Weight(lbs/gal) 8.8 ALDACIDE G(5g pail) 0 Stroke(in) 10 Stroke(in) 9 VIS(sec/qt) 28 KCI(sack) 14 BBL/STK @ 96% 0.0583 BBL/STK @ 96% 0.0755 PV(cp) 2 Salt-Solar 34 SPM SPM 0 YP(Ibs/100ft°) 1 BARACOR 700 0 GPM GPM 0 Gels�bs/100ft2) 1/1/1/ AQUAGEL(sack) 0 PSI PSI 0 pH __ 8.6 DEXTRID LT(sack) 0 L WELL CONTROL Filtrate WL(mL/30 min) 100 BARACARB 25(sack) 0 SPR Pump#1 21 @ 250 psi SPR Pump#2 20 @ 284 psi Sand(%by vol) 0 AQUAGEL(sack) 0 SPR Pump#1 29 @ 321 psi SPR Pump#2 30 @ 407 psi Solids(%by vol) 0.6 PAC-L(sack) 0 FIT EMW(ppg) 13.5 LCM(ppb) None BAROID 41(sack) 0 DRILL STRING AND HYDRAULICS CI(mg/L) 40000 SOLIDS CONTROL EQUIPMENT , ' AVDP(fps) 0 AVDC(fps) 0 Ca(mg/L) , 160 Shaker 1 Screens j Hours BU Strokes 0 WOB(k-lb) 0 Cake(API 32nd inch) 0 Super G 140 24 Total Strokes 0 RPM 0 PF/MF(ml) 0/.45 Super G 100 24 Pick Up(k-Ib) 0 TFA(in) 0 Pit Vol(bbls) • 0 Super G 140 24 Slack Off(k-lb) 52K HHP total 0 Hole(bb's) 158 Centrifuge r Speed _ Hours _ Jet Vel .5 0 dP @ Bit(psi) 0 Reserve(bbls) • 0 Pit 3 Centrifuge 2300 0 BHA 100 . Description l_ OD(in). ' ID(In) Gauguin) -__Top Connection -J Length(ft) Vendor Cumulative Length(ft) - - BRT hours I l • TOTAL BHA LENGTH: MOST RECENT DIRECTIONAL SURVEYS '1 -- -- i - +3620 27 36+3620.27 0.64 1.82 Minimum ted Curvatureum TDre ) VS Azimuth 49M1D.26 85 92 99.32 2 56.P5 6Nq b � +E/-W VS DLS Calculation �' 101.08 5024.76 84.87 99.64 2360.54 663.64 101.08 5101.00 84.87 I 99.64 2367.36 676.35 101.08 FUEL CONSUMPTION TRACKING KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 8-Feb-12 Customer Vol(gal) Customer I Vol(gal) ''i Customer Vol(gal) Customer Vol(gal) Summary Quantities Vol(gal) Delivered Today 0.0 Kuukpik(D) 2907.0 Tikigaq/Conam(D) 575.0 5,000-gallon Tank(G) - - Total Diesel Consumed 196,873.9 On Hand Today 5,000.0 Delta Lease(D) 221.0 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 9,472.7 Used Today 1,800.0 Umiaq(D) 8.0 GBR(D) I 7.0 1NSB Equipment(D) 0.0 Diesel Consumed Today 9,336.0 _ Used this Well 55,175.0 Peak(D) 1180.0 Halliburton(D) 4438.0 BGF(G) 111.0 Gasoline Consumed Today 111.0 PERSONNEL AND HSE PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY Company Position ,, ,,_ Count Est Hours Total Hours' Notes Incident Type Today Comments A Kuukpik Drilling Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 ' HES-BSS Cementing 4 13 52 four in camp. Six staying in Barrow Spill 0 HES-BSS Mud 1 13 13 Tunda Disturbance 0 _ HES-Sperry MWD/LWD/DD 2 12 24 I Bear Sighting 0 HES Supervisor 1 13 13 I HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew 0 In Barrow Umiaq Ops Support 8 12 96 Spill tech in camp. All others in Barrow Baker Oil Tools Liner Hanger 0 Peak -Rig Support - 15 13 195 Five in camp. Ten staying in Barrow Kuukpik Catering Cook/Clean 5 12 60 Alutiiq Camp Manager 1 12 12 Beacon Medic 1 _----12 12 -- - Oasis Sample Catchers 0 12 0 AOGCC BOPE Inspector PRA DSM 2 12 24 PRA HSE 1 12 12 Vetco Gray Well Head 2 12 24 ESTIMATED TOTAL DAILY LABOR HOURS: 825 Total Personnel In Camp: 54 individuals Mu. • i e,S` . .v ALAKPA#12 DAILY DRILLING REgRram 13-Feb-12 . _.„0,- -t-t, Bo as Fields Well ---_�- _. Operator I North Slope Borough Project Description [AxinWell Site Leaders Steve Hubbard/Joe McInnis F a tO o r• Well Name Walakpa#12 CIP Number 68090 Cell Phone 1 (907)980.4206 -.,.,rr,ks.n API#/AOGCC 023-20040.00-00/211-159 Land Use Permit NSB Development Permit Phone (907)771-1002 (PTD#) #10-252 Rig Accept 14-Jan @ 12:00 Rig Contractor Kuukpik Drilling,LLC:Kuukpik Drilling Rig#5 Property Designation Walakpa Well Site Phone (907)771-1021 Date/Time Drill Rate Rig Release 12 Feb @ 2400 06:00 Depth 5,101 MD/-2,364 TVD Target Depth(feet)rkb 5298 MD 3238'ND HSE Phone (907)771-1025 DatelTime Hrs-Move Rate (feet)rkb Days on Well 30 OART RD in Prepreatlon of Skid to Well u 11 Operations Next 24- Rig Down in Prepreation of Skirting Rig to Walakpa#11 Hours OPERATIONS SUMMARY ... 24-HOUR ACTIVITY SUMMARY CUMULATIVE ACTIVITY SUMMARY Finish Hours Description Detail Daily Total 0600 Shovel and bucket out cellar-prep Vetco-Gray lubricator-clean pits-install wellhead flange 1.Rig Up/Rig Down 6.0 300.0 1000 4.0 pt 4500 psi 2.Drilling 119.0 1000 Install BPV in 7"x2-7/8"ann sweeps-RU pump in connections to 9-5/8"x 7"ann-PU and 3.Reaming 7.0 'organize cellar area-chain up mud line-remove weather caps from pipe shed-remove 4.Coring 1400 6.0 panic line-RU HES for freeze protect and injectivity test. 5.Condition and Circulate 58.0 1400 1430 0.5 :PJSM for pumping 6.Trips 166.0 __ 1430 _ _ PT pumpinglines 1800 psi-conduct injectivity test with 70 bbls water with breakdown at 1246 psi 7.Lubricate Rig _ 1.5 and injection at 3 bpm at 575 psi followed by 40 bbls diesel down 9-5/8"x7"ann 8.Repair Rig 1600 1.5 for freeze protect 9.C/O Drill Line 5.0 _ 1600 1630 0.5 Swap from 9-5/8"x 7"ann to 7"x 2-7/8"ann 10.Deviation 3.0 1630 1700 0.5 .__Pump 40 bbls diesel for freeze protect down 7"x 2-7/8"ann at 3 bpm at 380 psi 11.Wireline Log 1700 Shut down as planned to round trlptruck for diesel -Continue w/Freeze Protection of 7" 12.Run Casing and Cement 55.5 x 2 7/8"Annulus with final 63 BBLs 386 psi at 2.5 bpm totaling 103-Change out HES Lines 13.Wait on Cement 2300 4.0 and bullhead 20 BBI5 down TBG at 2.5 bpm at 386 psi 14.Nipple up BOP 83.0 _ 2300 2400 1.0 RD HES Lines&Equipment 15.Test BOP 40.0 0000 0600 6.0 Rig Down In Prepreation of Skid to Well#11 16.Drill Stem Test 1.5 17.Plugback Electronic Data Chart to follow on Injectivily Test 18.Squeeze Cement _ • "' Current Weather"' 19.Fishing Ambient Temperature: 7 F. 7 MPH Winds: Light and variable 20.Directional Work • 21.Other 18.0 138.5 TOTAL HOURS: 24.0 Total Fluid Loss this Well Approximately-2600 BBLS TOTAL HOURS: 24.0 984.5 DRILLING AND COMPLETION INFORMATION BIT NUMBER j. SIZE(in) MFG TYPE SERIAL NUMBER JETS DEPTH IN(ft) DEPTH OUT(ft) FEET GRADE OUT HRS OBD FT/HR _ 1 121/4 HDBS MT-622394 11748526 3x16,1x12 94 1.207 1,113 t-t-WT-A-E-i-No-To 20.41 54.53 2 81/2 HDBS PDC-FX2528 5013668 5x13 1,091 3.680 2,589 at-cT-&x-t-No-To 26.27 98.55 _ 3(Re-run) 61/8 HDBS PDC-FXG55D 11747462 5x11 3,570 3,812 242 1-1-WT-A-X-t-NO-HP 3.27 74.01 4 __ _ 6 1/8 HDBS Milltooth I 11562667 None,-3x26 3,812 3,881 69 u-o-NO-A-E-1-NO-eHA 2.34 29.49 5(Re-run) 61/8 HDBS PDC-FXG55DI 11747462 5x113,881 5,101 1,220 28.45 42.88 F CASING AND COMPLETION PROGRAM-ALL SET DEPTHS MEASURED FROM 21.5'RKB.GLIs 313°- CEMENT PROGRAM_ Section i OD in Weight Grade Thread TMD ft TVD I y ( ) 9 (PPS � ( ) (ft) '' Contractor CIP --- Type Comments Conductor 16 84 ' L-80 _ Welded 101.5 101.5 Halliburton 26-Dec-11 @ 03:30 "C"Permafrost TOC at-12'bgs. No u-tube Surface 9 5/8 40 L-80 BTC-M 1,194 1,156 Halliburton 20-Jan-12 @ 16:00 "L""C" Returns to surface Intermediate 7 26 L-80 BTC-M 3,670 2,299 Halliburton 29-Jan-12 @ 04:40 "G" Plug bumped PUMP#1 PUMP#2 liE 2%KCL&NaCi COMPLETION FLUID PROPERTIES 2%KCL&NaCl COMPLETION FLUID INGREDIENTS. Manufacturer Ellis Williams ..Manufacturer TSM FL Temp("F) 0 Description _- i Today ' Model WH-1000-A Model TSM1000 Time 023:59 BAROSEAL(40#sack) 0 Liner Size(in) 5 Liner Size(in) 6 Weight(lbs/gal) 8.8 ALDACIDE G(5g pail) 0 Stroke(in) 10 Stroke(in) 9 VIS(sec/qt) 28 KCI(sack) 14 BBUSTK @ 96% 0.0583 BBL/STK @ 96% 0.0755 PV(cp) 2 Salt-Solar 34 SPM _ .SPM 0 YP(lbs/100ft2J__- 1 BARACOR 700 0 GPM GPM 0 Gels(lbs/100ft2) 1/1/1/ AQUAGEL(sadt) 0 PSI PSI 0 pH 8.6 DEXTRID LT(sack) 0 WELL CONTR ,:= Filtrate WL(mL/30 min) 100 BARACARB 25(sack) 0 SPR Pump#1 I 21 @ 250 psi I SPR Pump#2 20 @ 284 psi Sand(%by vol) 0 AQUAGEL(sack) 0 SPR Pump#1 29 @ 321 psi SPR Pump#2 30 @407 psi Solids(%by vol) 0.6 PAC-I.(sack) 0 FIT EMW(PP9j_ 13.5 - - -__--- LCM(ppb) --- None BAROID 41(sack) - -- - p DRILL STRING AND HYDRAULICS CI (mg/L 40000 SOLIDS CONTROL EQUIPMENT-, AVDP(fps) T 0 AVDC(fps) 0 Ca(mg/L) 160 Shaker Screens BU_ Strokes 0 WOB(k-lb) 0 Cake(API 32nd inch) 0 Super G 140 24 Total Strokes 0 RPM 0 PF/MF(ml) 0/.45 Super G 100 24 Pick Up(k-Ib) 0 TFA(in') 0 Pit Vol(bbls) 0 Super G 140 24 Slack Off(k-lb) 52K HHP total 0 Hole(bbls) 158 Centrifuge Speed Hours Jet Vel(fps i 0 dP @ Bit(psi) 0 Reserve(bbls) 0 Pit 3 Centrifuge 2300 0 BHA-160 Description FOD(In) - ID(iIn) I Gauge Ohl_ -Top Connection I Length(ft) Vendor 1 Cumulative Length(ft) BRT hours TOTAL BHA LENGTH: __ 177-7''''_ MOST RECENT DIRECTIONAL SURVEYS MD INC AZ -- TVD +N/-S +E/-W VS DLS Calculation VS Azimuth • KUUKPIK RIG#5 DIESEL FUEL TYPE,RECIPIENT,QUANTITY,AND DAILY DELIVERY SUMMARY DATE OF REFERENCED UMIAQ REPORT: 8-Feb-12 Customer i Vol(gal) Customer Vol(gal) Customer i Vol(gal) , Customer Vol(gal) Summary Quantities , Vol(gal) Delivered Today 2,000.0 Kuukpik(D) 2335.0 Tikigaq/Conam(D)- I 400.0 5,000-gallon Tank(G) Total Diesel Consumed 196,873.9 { On Hand Today 6,900.0 Delta Lease(D) 433.0 BSS(D) 23,000-gallon Tank(D) Total Gasoline Consumed 9,472.7 Used Today 1,300.0 Umiaq(D) 100.0 GBR(D) 7.0 NSB Equipment(D) 0.0 Diesel Consumed Today 4,865.0 Used this Well 56,475.0 Peak(D) 1193.0 Halliburton(D) 397.0 BGF(G) 235.0 Gasoline Consumed Today 235.0 PERSONNEL AND HSE o _ __ PROJECT PERSONNEL SUMMARY PROJECT HSE SUMMARY 1 Company Position [ _ Count TEst Hours I Total Hours Notes Incident Type _ Today Comments Kuukpik Drilling .Rig Crew 22 12 264 Illness 0 Kuukpik Drilling Tool Pusher 2 12 24 Injury 0 HES-BSS Cementing 4 13 52 four in camp. Six staying in Barrow Spill - 0 HES-BSS Mud 1 13 13 Tunda Disturbance 0 HES-Sperry MWD/LWD/DD 2 12 24 Bear Sighting 0 HES Supervisor 1 13 13 HES supervisor staying in Barrow Near Miss 0 GBR Casing Crew 0 In Barrow Umiaq .Ops Support 8 12 96 Spill tech in camp. All others in Barrow ,Liner Han Baker Oil Tools ger 0 g Peak Rig Support 15 13 195 Five in camp. Ten staying in Barrow KuukpikCatering Cook/Clean - 5 12 60 Alutliq •Camp Manage r _ 1 12 12 - - - -- ------ ' Beacon Medic 1 12 12 Oasis Sample Catchers 0 12 0 1 AOGCC BOPE Inspector _ PRA DSM 2 12 24 PM HSE 1 12 12 Vetco Gray JWeIl Head 2 12 24 MAL.I.ESTIMATED TOTAL DAILY LABOR HOURS: 825 Total Personnel in Camp: 50 Individuals _ Petrotechnical Resources of Alaska / North Slope Borough Walakpa Zone 6 Walakpa Sperry DrillingServices 01 0 P y Definitive Survey Report 16 February, 2012 0 RI 0 :,, ,, 0, , , ,i„ Oil''''ii j 0 l'', Il '0 r' ''''q 1 HALLIBURTDN Sperry Drilling Services Halliburton Company Definitive Survey Report Company: Petrotechnical Resources of Alaska/North Slope Local Co-ordinate Reference: Well Walakpa 12 Project: Walakpa Zone 6 TVD Reference: Actual @ 54.70ft(31.7 GL+23.0 KB) Site: Walakpa MD Reference: Actual @ 54.70ft(31.7 GL+23.0 KB) Well: Walakpa 12 North Reference: True 14 Wellbore: Walakpa 12 Survey Calculation Method: Minimum Curvature Design: Walakpa 12 Database: .Sperry AK PRD 16 Project Walakpa Zone 6 •. . . Map System: US State Plane 1927(Exact solution) System Datum: Mean Sea Level Geo Datum: NAD 1927(NADCON CONUS) Using Well Reference Point Map Zone: Alaska Zone 06 Using geodetic scale factor ..am....•,. .wcm,A...wmsa....3.4.4. u.... wwew.w wMkw..r.. Well Walakpa 12 ,, Well Position +N/-S 0.00 ft Northing: 6,243,160.96 ft Latitude: 71.072280 1 +E/-W 0.00 ft Easting: 631,566.68 ft Longitude: -156.892652 Position Uncertainty 0.00 ft Wellhead Elevation: ft Ground Level: 31.70 ft 1 Wellbore Walakpa 12 Magnetics Model Name Sample Date Declination Dip Angle Field Strength BGGM2011 1/22/2012 17.65 80.78 57,527 Design Walakpa 12 I Audit Notes: Version: 1.0 Phase: ACTUAL Tie On Depth: 23.00 1 Vertical Section: Depth From(TVD) +N/-S +E/-W Direction (ft) (ft) (ft) (°) 23.00 0.00 0.00 100.75 Survey Program Date 2/15/2012 From To Survey (ft) (ft) Survey(Wellbore) Tool Name Description Start Date 50.00 112.00 Gyro Surveys(Walakpa 12) SRG-GYRO-SS Conventional SRG single shots 02/13/2012 162.06 1,166.39 MWD Run 100(Walakpa 12) MWD MWD-Standard 01/30/2012 1,222.76 1,222.76 Interpolated Azimuth(Walakpa 12) INC+TREND Inclinometer+known azi trend 02/15/2012 1,271.92 3,646.68 MWD Run 200(Walakpa 12) MWD MWD-Standard 02/13/2012 3,725.79 5,024.76 MWD Run 500(Walakpa 12) MWD MWD-Standard 02/13/2012 Survey Map Map Vertical MD Inc Azi TVD TVDSS +N/-S +E/-W Northing Easting DLS Section (ft) (°) (°) (ft) (ft) (ft) (ft) (ft) (ft) (°/100') (ft) Survey Tool Name 23.00 0.00 0.00 23.00 -31.70 0.00 0.00 6,243,160.96 631,566.68 0.00 0.00 UNDEFINED 50.00 0.17 315.53 50.00 -4.70 0.03 -0.03 6,243,160.99 631,566.65 0.63 -0.03 SRG-GYRO-SS(1) 112.00 0.33 311.07 112.00 57.30 0.21 -0.23 6,243,161.17 631,566.45 0.26 -0.26 SRG-GYRO-SS(1) 162.06 0.18 316.19 162.06 107.36 0.36 -0.39 6,243,161.32 631,566.28 0.30 -0.45 MWD(2) 224.90 1.75 84.29 224.89 170.19 0.53 0.50 6,243,161.50 631,567.17 2.97 0.39 MWD(2) 255.09 2.43 91.59 255.06 200.36 0.56 1.59 6,243,161.55 631,568.26 2.41 1.46 MWD(2) 317.84 5.65 97.89 317.65 262.95 0.10 5.99 6,243,161.17 631,572.66 5.17 5.86 MWD(2) 353.77 7.15 99.71 353.35 298.65 -0.52 9.94 6,243,160.62 631,576.63 4.21 9.86 MWD(2) 380.32 7.75 99.31 379.68 324.98 -1.09 13.34 6,243,160.11 631,580.03 2.27 13.31 MWD(2) 442.86 11.06 99.66 441.37 386.67 -2.78 23.41 6,243,158.61 631,590.14 5.29 23.52 MWD(2) 2/16/2012 10:25:15AM Page 2 COMPASS 2003.16 Build 71 Halliburton Company Definitive Survey Report Company: Petrotechnical Resources of Alaska/North Slope Local Co-ordinate Reference: Well Walakpa 12 Project: Walakpa Zone 6 TVD Reference: Actual @ 54.70ft(31.7 GL+23.0 KB) Site: Walakpa MD Reference: Actual @ 54.70ft(31.7 GL+23.0 KB) Well: Walakpa 12 North Reference: True Wellbore: Walakpa 12 Survey Calculation Method: Minimum Curvature Design: Walakpa 12 Database: .Sperry AK PRD 16 I Survey Map Map Vertical MD Inc Azi TVD TVDSS +N/-S +El-W Northing Easting DLS Section (ft) (°) (0) (ft) (ft) (ft) (ft) (ft) (ft) (°1100') (ft) Survey Tool Name 504.63 12.21 98.00 501.87 447.17 -4.68 35.72 6,243,156.93 631,602.48 1.94 35.97 MWD(2) 566.47 12.66 98.10 562.26 507.56 -6.55 48.91 6,243,155.31 631,615.70 0.73 49.27 MWD(2) 628.67 13.28 98.32 622.87 568.17 -8.54 62.73 6,243,153.57 631,629.55 1.00 63.22 MWD(2) 688.60 15.36 101.28 680.93 626.23 -11.09 77.32 6,243,151.28 631,644.19 3.68 78.03 MWD(2) 753.27 15.76 101.85 743.23 688.53 -14.57 94.32 6,243,148.12 631,661.24 0.66 95.38 MWD(2) 813.18 15.95 102.46 800.87 746.17 -18.02 110.32 6,243,144.96 631,677.30 0.42 111.74 MWD(2) 879.33 18.20 102.17 864.10 809.40 -22.16 129.29 6,243,141.17 631,696.35 3.40 131.16 MWD(2) 943.57 20.74 101.76 924.66 869.96 -26.59 150.24 6,243,137.12 631,717.37 3.96 152.56 MWD(2) 1,006.91 22.73 100.82 983.49 928.79 -31.17 173.24 6,243,132.96 631,740.45 3.19 176.02 MWD(2) 1,071.01 25.32 100.84 1,042.03 987.33 -36.08 198.87 6,243,128.53 631,766.16 4.04 202.11 MWD(2) 1,129.17 27.54 101.58 1,094.11 1,039.41 -41.12 224.26 6,243,123.95 631,791.64 3.86 227.99 MWD(2) 1,166.39 29.86 101.01 1,126.76 1,072.06 -44.61 241.79 6,243,120.78 631,809.22 6.28 245.87 MWD(2) 1,222.76 29.25 100.82 1,175.79 1,121.09 -49.88 269.09 6,243,116.01 631,836.62 1.09 273.67 INC+TREND(3) 1,271.92 31.03 101.51 1,218.30 1,163.60 -54.66 293.30 6,243,111.67 631,860.91 3.69 298.35 MWD(4) 1,332.75 34.25 99.83 1,269.52 1,214.82 -60.72 325.54 6,243,106.21 631,893.25 5.50 331.16 MWD(4) 1,396.23 36.20 97.64 1,321.38 1,266.68 -66.26 361.73 6,243,101.33 631,929.53 3.66 367.74 MWD(4) 1,461.37 39.59 103.15 1,372.79 1,318.09 -73.54 401.03 6,243,094.77 631,968.95 7.35 407.71 MWD(4) 1,524.64 42.15 100.06 1,420.63 1,365.93 -81.84 441.58 6,243,087.21 632,009.64 5.15 449.09 MWD(4) 1,588.98 45.57 97.72 1,467.02 1,412.32 -88.70 485.61 6,243,081.16 632,053.79 5.88 493.63 MWD(4) 1,651.88 49.01 97.77 1,509.68 1,454.98 -94.93 531.40 6,243,075.77 632,099.69 5.47 539.78 MWD(4) 1,715.67 52.54 99.55 1,550.01 1,495.31 -102.38 580.24 6,243,069.21 632,148.65 5.94 589.16 MWD(4) 1,779.04 54.87 98.44 1,587.52 1,532.82 -110.36 630.68 6,243,062.15 632,199.23 3.94 640.20 MWD(4) 1,841.55 57.76 98.89 1,622.19 1,567.49 -118.20 682.10 6,243,055.26 632,250.77 4.66 692.18 MWD(4) 1,905.60 60.29 100.40 1,655.15 1,600.45 -127.41 736.23 6,243,047.04 632,305.06 4.44 747.07 MWD(4) 1,967.93 63.22 102.27 1,684.65 1,629.95 -138.21 790.06 6,243,037.22 632,359.07 5.39 801.97 MWD(4) 2,031.74 66.42 101.73 1,711.79 1,657.09 -150.21 846.53 6,243,026.26 632,415.75 5.07 859.70 MWD(4) 2,095.43 67.45 101.43 1,736.75 1,682.05 -161.98 903.94 6,243,015.55 632,473.36 1.67 918.29 MWD(4) 2,157.38 69.90 101.87 1,759.27 1,704.57 -173.63 960.45 6,243,004.93 632,530.07 4.01 975.98 MWD(4) 2,222.44 70.16 101.30 1,781.49 1,726.79 -185.91 1,020.36 6,242,993.75 632,590.18 0.92 1,037.13 MWD(4) 2,285.93 69.57 101.87 1,803.35 1,748.65 -197.88 1,078.75 6,242,982.85 632,648.78 1.25 1,096.73 MWD(4) 2,350.43 69.56 100.83 1,825.87 1,771.17 -209.77 1,138.01 6,242,972.04 632,708.24 1.51 1,157.16 MWD(4) 2,411.95 69.21 100.45 1,847.53 1,792.83 -220.41 1,194.60 6,242,962.45 632,765.01 0.81 1,214.75 MWD(4) 2,471.63 69.20 100.23 1,868.72 1,814.02 -230.42 1,249.49 6,242,953.44 632,820.07 0.35 1,270.54 MWD(4) 2,539.20 69.25 99.16 1,892.68 1,837.98 -241.06 1,311.76 6,242,943.94 632,882.52 1.48 1,333.70 MWD(4) 2,601.91 68.78 99.31 1,915.14 1,860.44 -250.45 1,369.55 6,242,935.60 632,940.47 0.78 1,392.23 MWD(4) 2,666.32 68.41 99.12 1,938.65 1,883.95 -260.06 1,428.74 6,242,927.08 632,999.82 0.64 1,452.18 MWD(4) 2,728.62 68.20 98.11 1,961.68 1,906.98 -268.73 1,485.98 6,242,919.46 633,057.20 1.54 1,510.02 MWD(4) 2,791.97 68.88 98.27 1,984.86 1,930.16 -277.13 1,544.33 6,242,912.13 633,115.70 1.10 1,568.92 MWD(4) 2,856.17 68.57 98.03 2,008.15 1,953.45 -285.61 1,603.55 6,242,904.73 633,175.06 0.60 1,628.68 MWD(4) 2,918.73 68.60 97.13 2,030.99 1,976.29 -293.29 1,661.28 6,242,898.11 633,232.91 1.34 1,686.84 MWD(4) 2/16/2012 10:25:15AM Page 3 COMPASS 2003.16 Build 71 Halliburton Company Definitive Survey Report Company: Petrotechnical Resources of Alaska/North Slope Local Co-ordinate Reference: Well Walakpa 1.2 akpa 12 Project: Walakpa Zone 6 TVD Reference: Actual @ 54.70ft(31.7 GL+23.0 KB) Site: Walakpa MD Reference: Actual @ 54.70ft(31.7 GL+23.0 KB) Well: Walakpa 12 North Reference: True Wellbore: Walakpa 12 Survey Calculation Method: Minimum Curvature Design: Walakpa 12 Database: .Sperry AK PRD 16 Survey Map Map Vertical MD Inc Azi TVD TVDSS +N/-S +E/-W Northing Easting DLS Section (ft) (°) (°) (ft) (ft) (ft) (ft) (ft) (ft) (°/100') (ft) Survey Tool Name 2,981.83 67.57 98.30 2,054.55 1,999.85 -301.15 1,719.29 6,242,891.31 633,291.05 2.37 1,745.29 MWD(4) 3,041.24 67.18 100.26 2,077.40 2,022.70 -309.99 1,773.41 6,242,883.46 633,345.32 3.12 1,800.11 MWD(4) 3,108.11 66.51 102.00 2,103.70 2,049.00 -321.86 1,833.73 6,242,872.70 633,405.84 2.59 1,861.59 MWD(4) 3,171.67 67.90 104.46 2,128.33 2,073.63 -335.27 1,890.77 6,242,860.34 633,463.11 4.18 1,920.12 MWD(4) 3,234.65 68.25 104.25 2,151.84 2,097.14 -349.76 1,947.37 6,242,846.89 633,519.96 0.64 1,978.43 MWD(4) 3,298.71 67.70 104.16 2,175.87 2,121.17 -364.33 2,004.94 6,242,833.37 633,577.78 0.87 2,037.71 MWD(4) 3,361.67 68.07 103.68 2,199.57 2,144.87 -378.36 2,061.55 6,242,820.38 633,634.64 0.92 2,095.94 MWD(4) 3,424.94 67.78 103.05 2,223.35 2,168.65 -391.91 2,118.59 6,242,807.87 633,691.91 1.03 2,154.51 MWD(4) 3,488.88 71.05 103.55 2,245.82 2,191.12 -405.68 2,176.84 6,242,795.17 633,750.39 5.17 2,214.30 MWD(4) 3,552.07 72.38 103.56 2,265.65 2,210.95 -419.75 2,235.16 6,242,782.18 633,808.96 2.10 2,274.23 MWD(4) 3,615.48 74.57 102.18 2,283.68 2,228.98 -433.28 2,294.42 6,242,769.73 633,868.46 4.03 2,334.97 MWD(4) 3,646.68 75.33 102.77 2,291.79 2,237.09 -439.79 2,323.84 6,242,763.76 633,897.99 3.04 2,365.09 MWD(4) 3,725.79 79.44 103.77 2,309.06 2,254.36 -457.51 2,398.96 6,242,747.41 633,973.41 5.34 2,442.20 MWD(5) 3,805.09 83.56 103.11 2,320.78 2,266.08 -475.73 2,475.23 6,242,730.59 634,049.99 5.26 2,520.52 MWD(5) 3,828.39 82.82 103.35 2,323.54 2,268.84 -481.03 2,497.75 6,242,725.71 634,072.60 3.34 2,543.64 MWD(5) 3,895.16 79.89 105.54 2,333.58 2,278.88 -497.49 2,561.66 6,242,710.42 634,136.80 5.46 2,609.50 MWD(5) 3,957.64 79.26 106.09 2,344.88 2,290.18 -514.23 2,620.78 6,242,694.76 634,196.22 1.33 2,670.71 MWD(5) 4,021.04 85.98 105.53 2,353.02 2,298.32 -531.35 2,681.25 6,242,678.75 634,256.98 10.64 2,733.30 MWD(5) 4,085.48 91.84 101.91 2,354.25 2,299.55 -546.62 2,743.80 6,242,664.63 634,319.79 10.69 2,797.61 MWD(5) 4,148.11 98.11 100.06 2,348.82 2,294.12 -558.51 2,805.02 6,242,653.86 634,381.21 10.43 2,859.96 MWD(5) 4,207.40 99.23 98.36 2,339.88 2,285.18 -567.89 2,862.87 6,242,645.54 634,439.22 3.41 2,918.55 MWD(5) 4,274.74 96.87 98.13 2,330.45 2,275.75 -577.45 2,928.85 6,242,637.19 634,505.36 3.52 2,985.16 MWD(5) 4,337.00 94.07 97.42 2,324.52 2,269.82 -585.83 2,990.25 6,242,629.93 634,566.90 4.64 3,047.05 MWD(5) 4,401.29 89.63 96.52 2,322.44 2,267.74 -593.63 3,054.02 6,242,623.30 634,630.79 7.05 3,111.15 MWD(5) 4,464.74 86.79 95.52 2,324.43 2,269.73 -600.28 3,117.08 6,242,617.81 634,693.96 4.75 3,174.34 MWD(5) 4,528.25 88.33 97.28 2,327.13 2,272.43 -607.35 3,180.13 6,242,611.89 634,757.13 3.68 3,237.61 MWD(5) 4,590.24 88.76 95.76 2,328.70 2,274.00 -614.39 3,241.70 6,242,605.98 634,818.81 2.55 3,299.41 MWD(5) 4,653.09 86.97 94.38 2,331.04 2,276.34 -619.94 3,304.26 6,242,601.57 634,881.45 3.60 3,361.90 MWD(5) 4,719.37 84.86 94.52 2,335.77 2,281.07 -625.07 3,370.16 6,242,597.65 634,947.44 3.19 3,427.61 MWD(5) 4,782.68 85.30 95.10 2,341.20 2,286.50 -630.36 3,433.02 6,242,593.51 635,010.37 1.15 3,490.35 MWD(5) 4,845.43 84.43 96.69 2,346.81 2,292.11 -636.78 3,495.18 6,242,588.23 635,072.64 2.88 3,552.62 MWD(5) 4,905.22 85.67 98.14 2,351.97 2,297.27 -644.46 3,554.25 6,242,581.63 635,131.83 3.18 3,612.08 MWD(5) 4,971.26 85.92 99.32 2,356.81 2,302.11 -654.46 3,619.35 6,242,572.82 635,197.10 1.82 3,677.90 MWD(5) 5,024.76 84.87 99.64 2,361.11 2,306.41 -663.24 3,671.95 6,242,565.00 635,249.84 2.05 3,731.22 MWD(5) 5,101.00 84.87 99.64 2,367.93 2,313.23 -675.96 3,746.81 6,242,553.66 635,324.92 0.00 3,807.14 PROJECTED to TD 2/16/2012 10:25:15AM Page 4 COMPASS 2003.16 Build 71 PM3601 C Street Suite 1424 Anchorage, AK 99503 907-272-1232 (voice) 907-272-1344 (fax) info@petroak.com April 14, 2012 Mr. Howard Okland Alaska Oil & Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, AK 99501 Dear Mr. Okland, Please find enclosed the well log (black lines and on disc), definitive survey, and EOWR from Walakpa #11 (API #50-023-20038-00) and the EOWR for Walakpa #12 (API #50-023-20040-00) development gas wells. This submittal fulfills the geologic data requirement per 20 AAC 25.071. It is requested that this data submittal be held confidential. Walakpa#11 data (1 copy each): DGR/EWR/ALD/CTN composite logs (120 ft—2303 ft tvdss) (/ ROP/DGR/EWR composite logs(170 ft—4708 ft MD}/ CD disc(graphic presentation of tvdss and MD logs and definitive survey) EOWR—End of Well Report by Halliburton Walakpa #12 data (1 copy each): EOWR—End of Well Report by Halliburton ✓ # A.,/ 367 Since/ly, // Barbara McMullen Senior Development and Operations Geologist, PRA Received by: • dt on I 'r,�,An,�! �5')a_ Y` a, Il - ls"q 3601 C StreSuite 1424 Anchorage, AK 99503 PM 907-272-1232et (voice) 907-272-1344 (fax) info@petroak.com March 7, 2012 Mr. Howard Okland Alaska Oil & Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, AK 99501 Dear Mr. Okland, Please find enclosed well logs and survey data from the Walakpa #12 development gas well (API # 50-023-20040-00), Walakpa Field, Barrow, Alaska. This well was spud in January, 2012, and reached TD in February, 2012. Walakpa#12 data (1 copy each): DGR/EWR composite logs(41 ft—2313 ft tvdss) ROP/DGR/EWR composite logs(96 ft—5101 ft MD) CD disc(graphic presentation of tvdss and MD logs, plus directional survey) Definitive Survey Report—paper copy This submittal fulfills the geologic requirements per 20 AAC 25.071. Sincerely, j ,,,, I ' .1 V Barbara McMullen Senior Development and Operations Geologist, PRA Please sign and return Received by: CIL on cr /t'iaA_ I ii -- i �` 7 Kuala):k Regg, James B (DOA) (k0 01115g From: Regg, James B (DOA) Sent: Monday, January 23:2012 9:48 AM (1 c-)1(7.--- To: -)I vTo: NSBWeIlsiteLeader; Grimaldi, Louis R (DOA) Cc: Michael Cook; Tom Walsh; toolpusher2@kuukpik-drlg.com Subject: RE: Kuukpik 5 Gas Detectors Thank you for the test results;you have sufficiently established the reliability of gas detectors as requested. Daily tests/reports may be discontinued in lieu of normal testing requirements. Jim Regg AOGCC 333 W.7th Ave,Suite 100 Anchorage,AK 99501 907-793-1236 From: NSBWellsiteLeader [mailto:NSBWeIlsiteLeader@petroak.com] Sent: Monday, January 23, 2012 5:13 AM To: Grimaldi, Louis R (DOA); Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolpusher2@kuukpik-drlg.com Subject: Kuukpik 5 Gas Detectors Lou Jim This test was conducted in the following sequence, starting from left to right on the panel. #1 Floor (the left station) L1 - H2S start 0 ppm - stabilized 25 ppm L2 - Combustion start 0 % - stabilized 49 % #2 Sub (the center station) C3 - H2S start 0 ppm - stabilized 26 ppm C4 - Combustion start 0 % - stabilized 51 % #3 Shaker (the right station) R5 - H2S start 0 ppm - Stabilized 25 ppm R6 - Combustion start 0 % - Stabilized 50 % This concludes the one week of daily testing of individual sensors with a full test of all components. Please advise if these tests are sufficient to establish the reliability of the gas detectors you want to see. We will continue to conduct daily tests, as you have requested, while waiting on your reply. Thanks Joe McInnis 1-907-771-1002 - camp office 1 litaalefx #r z_ Regg, James B (DOA) 21'14' From: NSBWellsiteLeader[NSBWellsiteLeader@petroak.com] Sent: Saturday, January 21, 2012 1:20 AM To: (In( To: Grimaldi, Louis R (DOA); Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolpusher2@kuukpik-drlg.com Subject: Kuukpik 5 Gas Detectors Lou Jim, 1/20/12 Shaker R5 H2S 0 - 25 Joe 1 kultkpi k 5 Regg, James B (DOA) Prt z4iisV From: NSBWellsiteLeader[NSBWeIlsiteLeader@petroak.com] Sent: Saturday, January 21, 2012 8:27 PM f 7 /7-1/(7- To: (Z /(vTo: Grimaldi, Louis R (DOA); Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolpusher2@kuukpik-drlg.com Subject: Kuukpik 5 Gas Detectors Lou Jim, 1/21/12 Shaker Combustion R6 0 - 48 .r Joe 1 14,ut Li?,k ms likvict, (z- Regg, James B (DOA) Pi z�It590 From: NSBWellsiteLeader[NSBWellsiteLeader@petroak.com] �� � 2c l v Sent: Friday, January 20, 2012 7:07 AMS l To: Grimaldi, Louis R (DOA); Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolpusher2@kuukpik-drlg.com Subject: Kuukpik 5 Gas Detectors Lou Jim, 1/19/12 Sub Base H2S L3 - .01 - 26 4/ Joe 1 16-41v 5 Gkake Regg, James B (DOA) Pr!) Z1115610 From: NSBWellsiteLeader[NSBWellsiteLeader@petroak.com] 1 Sent: Thursday, January 19, 2012 12:05 AM 11 I��I lam' To: Grimaldi, Louis R (DOA); Regg, James B (DOA); toolpusher2@kuukpik-drlg.com Cc: Michael Cook; Tom Walsh Subject: Kuukpik 5 Gas Detectors Lou Jim, Date 1/18/12 Sub Base Combustion sensor 0 - 52 Joe 1 Regg, James B (DOA) From: Regg, James B (DOA) Sent: Tuesday, January 17, 2012 11:38 AM ¢Ct- I/ To: Grimaldi, Louis R (DOA) Subject: RE: Kuukpik Gas Detectors V-t4.14 ,; Yes U , /Yt ( ATh 2 II 16-10 Jim Regg AOGCC 333 W.7th Ave,Suite 100 Anchorage,AK 99501 907-793-1236 From: Grimaldi, Louis R(DOA) ...vw.. Sent: Tuesday, January 17, 2012 9:26 AM To: Regg, James B (DOA) Subject: FW: Kuukpik Gas Detectors Jim, Are you good with this? Lou Grimaldi Petroleum Inspector N.S. Pager 659-3607 Home 776-5402 Cell 252-3409 From: NSBWellsiteLeader [mailto:NSBWeIlsiteLeaderOpetroak.com] Sent: Mon 1/16/2012 18:27 To: Grimaldi, Louis R (DOA); Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolpusher2(akuukbik-drlg.com Subject: RE: Kuukpik Gas Detectors Lou, We understand and will comply with your request of testing the gas detection on a daily basis, until Mr. Regg is comfortable with Kuukpik 5 detection system. With my email response, we will proceed ahead with the spud of our well, estimated to be around 2400 hrs this day, 1/16/12. Thank You Joe McInnis Well Site Leader 907-771-1002 901-771-1021 From: Grimaldi, Louis R(DOA) [lou.grimaldi@alaska.gov] Sent: Monday, January 16, 2012 6:05 PM To: NSBWellsiteLeader; Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolousher2Cthkuukbik-drlg.com Subject: RE: Kuukpik Gas Detectors Joe, 1 Thank you for pursuing these repairs. vas detection is required for your permit approval and must be maintained in the highest condition of readiness at all times. During my inspection there were many gas detector failures noted including a system failure in the Sub-Base and audible alarm failures for the shaker stations due to bad connections. All "appeared" to be repaired when I left leaving a final calibration check which is what appears to have been satisfactorily accomplished by your crew in your presence. Until confidence in the system has been established, starting tomorrow one station will be tested per day and reported to the Commission Inspectors supervisor, Jim Regg, daily until Mr. Regg feels said confidence has been established. Having six stations will end the first cycle next Sunday at which time all stations will have been tested separately, on Monday all stations will be tested and the cycle will repeat. This will be the operators representatives responsibility for ensuring proper operation and reporting. At a minimum, all locations should be reading a zero value before testing unless there is a real background gas situation which will have to be explained. Sample gas of a known composition will be applied to the station being tested and allowed to stabilize the reading at the panel in the doghouse. The results including composition of the sample gas, station identity, starting reading (prior to sample application) and stabilized reading will be included in the daily e-mail. Any failures will be noted whether or not they are repaired. AOGCC regulations require a competent gas detection system be maintained on the rig at all times. Failure of a system requires notification to the Commission. If the aforementioned conditions are understood and can be followed you can spud the well. I will require a confirmation e- mail which acknowledges these conditions. Lou Grimaldi Petroleum Inspector N.S. Pager 659-3607 Home 776-5402 Cell 252-3409 From: NSBWellsiteLeader [mailto:NSBWeIlsiteLeader@petroak.com] Sent: Mon 1/16/2012 16:58 To: Grimaldi, Louis R (DOA); Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolousher2@kuukoik-drlg.com Subject: Kuukpik Gas Detectors Lou, After the failure of the gas detector test this morning, the detectors were re-calibrated and re-tested again. I was present and witnessed the test. The test was conducted in the following sequence, starting from left to right on the panel. #1 Floor( the left station) H2S start 0 ppm - stabilized 24 ppm Combustion start 0 ppm - stabilized 47 ppm #2 Shaker ( the center station) H2S start 0 ppm - stabilized 24 ppm 2 Combustion start 0 ppm - stabilized 47 ppm #3 Sub Base (the right station) H2S start 0 ppm - Stabilized 25 ppm Combustion start 0 ppm - Stabilized 51 ppm ' Lou I hope this meets with your approval to allow us to proceed with the spud of our well. We have 6 ea new bottles of test gas scheduled to arrive tonight or on tomorrows flights. We will follow with daily testing of one sensor on each station per day at your request. Thanks Lou. Joe McInnis 1-907-771-1002 1-907-771-1021 Click here to report this email as spam. 3 • i Regg, James B (DOA) From: NSBWellsiteLeader[NSBWellsiteLeader@petroak.com] ol //I€ -/-- Sent: Wednesday, January 18, 2012 6:20 AM To: Regg, James B (DOA); Grimaldi, Louis R (DOA); toolpusher2@kuukpik-drIg.com Subject: Kuukpik 5 Gas Detectors Jim Lou I inadvertently put 1/16/12 test on yesterdays report. The test on H2S showing 0 - 47 was the test on the combustion sensor at 0 - 47 The test on the 1/16/12 H2S was 0 - 25 r/ Joe 1 Regg, James B (DOA) From: NSBWellsiteLeader[NSBWeIlsiteLeader@petroak.com] Sent: Tuesday, January 17, 2012 11:29 PM / < 6?'-t/ /// To: Grimaldi, Louis R (DOA); Regg, James B (DOA) Cc: Michael Cook; Tom Walsh; toolpusher2@kuukpik-drlg.com Subject: Kuukpik 5 Gas Detectors Lou Jim I've included 1/16/12 and 1/17/12 test results on Kuukpik 5 gas detectors 1/16/12 Floor- H2S - #L1 - 0 - 47 1/17/12 1/17/12 - Combustion - #L2 - 0 - 48 Joe 907-771-1002 907-771-1021 Page 1 of 1 Schwartz, Guy L (DOA) From: Schwartz, Guy L(DOA) Sent: Thursday, January 19, 2012 2:02 PM To: 'Michael Cook' Cc: NSBWellsiteLeader; 'Tom Crabtree(Tom.Crabtree@halliburton.com)'; 'toolpusher2 <toolpusher2@kuukpik-drlg.com> (toolpusher2@kuukpik-drlg.com); 'Mark Brouillet (Mark.Brouillet@halliburton.com)'; Buzz Yohman; 'Melonnie Amundson (Melonnie.Amundson@halliburton.com)' prb Subject: RE: Walakpa#12- Leak Off Test(LOT) ',RA-159 1-159 Michael, I agree with your assessment and 11.0 ppg FIT/LOT is all that is needed to safely drill ahead. As you mention, 11.0 ppg may not be enough to safely use the well for Annular disposal in the future but that is another whole set of criteria if you want to permit the well for AD. . Guy Schwartz Senior Petroleum Engineer AOGCC 793-1226 (office) 444-3433 (cell) From: Michael Cook[mailto:mcook@petroak.com] Sent: Thursday,January 19, 2012 1:43 PM To: Schwartz, Guy L(DOA) Cc: NSBWellsiteLeader; 'Tom Crabtree(Tom.Crabtree@halliburton.com)'; 'toolpusher2 <toolpusher2@kuukpik-drlg.com> (toolpusher2@kuukpik-drlg.com)'; 'Mark Brouillet (Mark.Brouillet@halliburton.com)'; Buzz Yohman; 'Melonnie Amundson (Melonnie.Amundson@halliburton.com)' Subject: Re: Walakpa #12 - Leak Off Test(LOT) Importance: High Guy, Per our conversation this afternoon, a 14.5 LOT(minimum) is planned for the Walakpa#12 well.The LOT will be executed after drilling 20 ft measured depth of new hole section (8-1/2") below the surface 9- 5/8"40#L80 BTC casing point. The 14.5 ppg equivalent shoe strength is a well construction design element to support annular injection down the 9-5/8"x 7"annulus once the well is completed.The 14.5 ppg minimum LOT is not a requirement for well design purposes as the intermediate hole section is normally pressured (8.65 ppg)equivalent.The anticipated maximum drilling fluid density requirements to drill the intermediate interval(3761 ft-md/2308 ft-tvd rkb) is prognosed at 10.5 ppg. Thus the minimum LOT for well construction purposes is proposed at 11.00 ppg equivalent. Please call with any questions,or if I may assist otherwise. Regards, Mike Cook PRA Drilling Supervisor/NSB Wells Drilling Program Direct Office :(907)677-5103 Cellular : (907)444-8822 mcook@petroak.com 1/19/2012 c::',\-'ir Ail A ] [ [i' r7H I �� if SEAN PARNELL, GOVERNOR ll ALASKA OIL AND GAS 333 W.7th AVENUE,SUITE 100 CONSERVATION COMMISSION ANCHORAGE,ALASKA 99501-3539 PHONE (907)279-1433 FAX (907)276-7542 Michael Cook Engineer North Slope Borough 1689 Okpik Street Barrow, AK 99723 Re: Walakpa Field, Walakpa Gas Pool, Walakpa #12 North Slope Borough Permit No: 211-159 Surface Location: 2555' FNL, 1668' FWL, SEC. 21, T2ON, R19W, UM Bottomhole Location: 1957' FSL, 303' FWL, SEC. 22, T2ON, R19W, UM Dear Mr. Cook: Enclosed is the approved application for permit to 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. Sincerely, 0 7' Daniel T. Seamount, Jr. Chair h cl DATED this 2-day of December, 2011. cc: Department of Fish 8v Game, Habitat Section w/o encl. (via e-mail) Department of Environmental Conservation w/o encl. (via e-mail) RECEIVED ALA OIL AND GAS CONSERVATION COMM_ Al DEC a 6 2011 PERMIT TO DRILL 20 AAC 25.005 Alaska Oil & Gas Cons Commission la.Type of Work: 1b.Current Well Class: Exploratory 0 Development Oil ❑ lc.Specify if well is proposed for: Q �} Drill 0' RedlI 0 Stratigraphic Test 0 Service 0 Development Gas 0 Coalbed Methane 0 METAL 0 Re-entry ❑ Multiple Zone 0 Single Zone ❑ Shale Gas ❑ 2.Operator Name: 5. Bond: Blanket 0 Single Well ❑ 11 Well Name and Number: North Slope Borough-Barrow,Alaska Bond No. CD 17430 • Walakpa#12 3.Address: 6.Proposed Depth: 12.Field/Pool(s): Dept.Public Works, 1689 Okpik St.,Barrow,AK 99723 MD: 5298 ft. ND: 2338 ft. WALAKPA 4a. Location of Well(Governmental Section): 7.Property Designation: Surface: 2555'FNL, 1668'FWL,UM Section 21,T 20 N,R 19 W WALAKPA Top of Productive Horizon: 8.Land Use Permit: NSB Development 13.Approximate Spud Date: 2273'FSL, 1169'FEL,UM Section 21,T 20 N,R 19 W UIC Private Land Permit No. 10-252 15-Jan-12 Total Depth: 9.Acres in Property: 14.Distance to Nearest 1957'FSL,303'FWL,UM Section 22,T 20 N,R 19 W 21,120 Property: 15,835 / 4b.Location of Well(State Base Plane Coordinates): , 10.KB Elevation 4vz !l(5L ' Z %Y(3 L 15.Distance to Nearest Well Surface: x- 631566. y- 6243161 • Zone- 6(NAD 27) (�GL Lk /1,( L,23'feet Apili Within Pool: 14 ft.-Walakpa#1) 0 16.Deviated wells: Kickoff depth: 250 feet 17.Maximum Antici ad Pressures in psig(see 20 AAC 25.035) r Wei( Maximum Hole Angle: 90 degrees Downhole:-,96• psig Od ,� Surface: 780 psig - 18.Casing Program: Specifications Top(rkb) - Setting Depth - Bottom(rkb) Cement Quantity,c.f.or sacks Hole Casing Weight Grade Coupling Length MD ND MD ND (including stage data) 26 16" 84# L80 Weld 80 21 21 101 101 Single Stage:265 sxs. 12 1/4" 9 5/8" 40# L80 BTC-M 1170 20 20 1190 - 1153 - Lead:86 sxs,Tail:487 sxs 8 1/2" 7" 26# L80 BTC-M " 3742 19 19 3761 2308 Single Stage:46 sxs. 6 1/8" 4 1/2" 12.6# L80 BTC 1623 3611 2273 5298 2338 production-slotted liner 19. PRESENT WELL CONDITION SUMMARY(To be completed for Redrill and Re-Entry Operations) Total Depth MD(ft): Total Depth ND(ft): Plugs(measured): Effect.Depth MD(ft): Effect.Depth ND(ft): Junk(measured): Casing Length Size Cement Volume MD TVD Conductor/Structural Surface Intermediate Production Liner I I Perforation Depth MD(ft): Perforation Depth ND(ft): 20. Attachments: Filing Fee 0 BOP Sketch 0 Drilling Program 0 Time v.Depth Plot 0 Shallow Hazard Analysis Property Plat ❑✓ Diverter Sketch ❑✓ Seabed Report ❑✓ Drilling Fluid Program ❑/ 20 AAC 25.050 requirements 0 21. Verbal Approval: Commission Representative: Date 22. I hereby certify that the foregoing is true and correct. Contact K.1 l i / Printed Name 1�1, J1, }�j �_ Title �r_ 'cC -C`� • Signature ti(,k,\_Ci UV ('!n. ,C)CiZ'-. Phone 1 -A`•� ice` -- --- Date , Commission Use Only Permit to Drill API Number: Permit Approval See cover letter for other / J� PP Number: Zll l"""`�: 50-(JZ„�'� 1�C;. -a\Date: 1t`�21 1\ requirements. Conditions of approval: �/ If box is checked,well may not be used to explore for,test,or produce coalbed methane, !..s hydrates,or gas contained in shah Other: .r ,3,500 d S` 80 e r CS.( Samples req'd: Yes❑ No Id Mud log req'd: Ye❑ N ✓ r /�, Ye; H2S measures: Yes❑ No[r Directional svy req'd: Y� I❑ I Z Ps n�5 oo ,y — 7C101-11 goe erad- Gri-4- _____ a . APPROVED BY THE COMMISSION 1 1-1 Z Z Y )'1 DATE: .4„,,/ ,COMMISSIONER OR GINAL /2..aft II Form 10-401 Revised 12/2005 A(2/4( Submit in Duplicate 17- 111111 3601 C Street Suite 1424 Anchorage, AK 99503 (vc 907-272-1344907-272-1232(fax)e) info@petroak.comoi pgat Nosoas Memorandum RECEIVED DEC 06 2011 STATE OF ALASKA Alaska ail &Gas Cons, Commission OIL & GAS CONSERVATION COMMISSION Anchorage 333 W. 7th Ave. Suite 100 Anchorage, AK 99501 To: Guy Schwartz—Petroleum Engineer CC: Joe Ramirez—Project Administrator/ Barrow Gas Fields Well Drilling Program From: Mike Cook—PetroTechnical Resources Alaska Date: 12/6/2011 Re: Permit to Drill : Walakpa#12 Dear Sir, Petrotechnical Resources Alaska (PRA), providing well design engineering support for the North Slope Borough's - Barrow Gas Fields Well Drilling Program submits for your review : • Permit to Drill (Form 10-401), Well : Walakpa#12 The Walakpa #12 Permit to Drill applications provide well construction design information for the Walakpa gas fields, where in total, four horizontal gas development wells will be drilled and completed beginning in January 2012. Dit.'1512". Michael R. Cook Petrotechnical Resources Alaska Office : (907) 677-5103 Cell : (907) 444-8822 Email : mcook@petroak.com �HxalM d4 z'w� PIIII 40,07 141.14u6 4t kt4604098.#1444 a #12 - Draft /z-/z--1( Walakpa Horizontal Development Well Walakpa Gas Field Barrow Gas Fields Well Drilling Program CIPM : 68-090 Rig :Kuukpik #5 AFE Number: AFE Amount: Days: 23 10-0009 PRA Drilling Supervisor PRA Principle in Charge Prepared by: Reviewed by: PRA HSE Manager PRA Petroleum Engineer Manager Reviewed by: Reviewed by: Distribution: 19 Copies, 1 original Kuupik #5 8 copies Matt Dunn 1 copy Joe Ramirez 1 copy Jack Laasch 1 copy Tom Walsh 1 copy Mike Cook 1 copy Pete Stokes 1 copy Chantal Walsh 1 copy Steve Chronic 1 copy John Amundsen 1 copy HSE Field 1 copy Matt Coullahan 1 copy 1 DATE: L 26 11 SCALE: 1' 1CD" SHEET: 1 OF 1 HARR• ,` 1 Etat- PROPQSED 1 11-12-10 WELL COORDINATES SIGNIFICANT FIGURES {7♦1//irt+i■ ny rWELLS 2 4-22-11 WELL COORDINATES DGPS — � », PLail�y � Elip , r NOTES: iR�11i all islliil, .I:Asink 9051■rr•.,r:ig]■ ri■■ �-UI ■iOEii 1. COORDINATES SHOWN HEREON BASED UPON DIFFERENTIALLY - �'sump.0 %VENUE`S"��i■4 [[1, I a CORRECTED GPS OBSERVATIONS. •.jrdfl L J I."W'1��./gann Jit Vir 2. AS STAKED SURVEY CONDUCTED AUG_30,2010&APR.22,2011. '\ ltrOi�wkr1 •y`• *b■Hilt i i1 1 ttiV 1 r Nli V 1 1I1� ■' 1Ca 1A'ILi � 3. ALL DISTANCES ARE IN U.S.SURVEY FEET. 81 11: Ji t..I A , , -s moor I.—■■■■isT" 4. PROTRACTED SECTION LINES SHOWN HEREON ARE r i -1 ,'I I. n u�.3.I^II'0 sMal ,lML. 11111■r■1�i9 A APPROXIMATE AND FOR REFERENCE ONLY. VICINITY MAP-NOT TO SCALE AS-STAKED "WALAKPA LEGEND PROPOSED"WALAKPA 1 '11I�1 PROPOSED WELL LOCATE LOCATE12" DRILL PAD L D WITHIN 0 RP TO WELL T.20 N.,R.19 W.,U.M., SECTION 21 T 20 N, R 19 W, USI SEC'TI0N 16 T 20 N, 1 19 W, U+.l G CN.ON 21 i NAD 27,ZONE 6 "` WAL-12 RP2 0°wAL-11 RP2 LAT 71'04'201WN 4a ,.''`"T'' WELL RP DISTANCE TABLE LONG:156'53'33.55 9Tz6'yr °: M-5,243.16955 t 'N WAL•11 WAL-12 E-631,552.72 O RPI 244.16' 243.56' NAD B3,ZONE 6' 1 RP1 RP2 353.06' 353.38' -'_•�1i ��_ LAT:i1'L14'166606'N LONG:156'53'46.3556'LM "' 1,-� �l° :' ;,I M-6,242,647.06 ,.4• F=1.771557,76 B 51 100 PROPOSED'WALAKPA 12"WELL SCALE IN no LOCATED WITHIN T_20 N_.R.19 W.,U.M., ).,-., SECTION 21 PROPOSED MAD 27,ZONE 6 PAL? • ,/Ir 7.G LAT. '156'5 37 B N e .--.-wir 7.R, LONG'156'sS'33 54'96°V� I MIL'—"'WIt'=6,243,16095 , E=631,566.60 ,'f \ NAD 83,ZONE 6' \ ... ... ' PROPOSED 4 1 n PROPOSED-'` LI.T 71'04'1B 6722'N M In "WALAKPA 11" -WALAKPA 12 Low 155'53115.9371'IN g > M WELL N=0.242,54047 WELL E-1,771.571.74 N 3 i m m 'CONVERTED BY HAD CON \g 9 OS. r4 p ' t.\tt� � OF 44 `kk ` it W n SURVEYORS CERTIFICATE * 4.9 TH *��i % �- IAA A! i HEREBY CERTIFY THAT I AM PROPERLY REGISTERED AND L EN5E0 PRACTICE LAND SURVEYING N THE ,�T' `- 4-t7-1i STATE OF ALASKA AND THAT THIS AS-STAKEOUT-MINT REPRESENTS A SURVEY MADE DY MC OR UNDER MY `'' DIRECT SUPERVISION AND THAT AU.DIMENSIONS AND OTHER DETAILS ARE CORRECT AS OF APRIL 22 2011. / KENNETH J.PINARD . .P.",, 00 *i. No.11545 • 0 �' PETROTECHNICAL t��F°�. t•' , iii RESOURCES l L . J °�'r k-.ANL�,�•`'��.► V ALASKA an Llreagor Inumi Calramlan Company c.7 DRAWN RY:l HH 'CHECKED BY: KJP J W.G. Na; 2009-214-A 3 ..... Ill ALASKA OIL AND GAS CONSERVATION COMMISSION PERMIT TO DRILL 20 AAC 25.005 la.Type of Work: lb.Current Well Class: Exploratory 0 Development Oil 0 1c.Specify if well is proposed for: Drill 0 Redrill ❑ Stratigraphic Test ❑ Service o Development Gas 0 Coalbed Methane ❑ Gas Hydrates ❑ Re-entry E Multiple Zone 0 Single Zone ❑ Shale Gas 0 2.Operator Name: 5. Bond: Blanket❑� Single Well❑ 11.Well Name and Number: North Slope Borough-Barrow,Alaska Bond No. CD 17430 Walakpa #12 3.Address: 6.Proposed Depth: 12.Field/Pool(s): Dept.Public Works,1689 Okpik St.,Barrow,AK 99723 MD: 5298 ft. ND: 2338 ft. WALAKPA 4a. Location of Well(Governmental Section): 7.Property Designation: Surface: 2555'FNL,1668'FWL,UM Section 21,T 20 N,R 19 W WALAKPA Top of Productive Horizon: 8.Land Use Permit: NSB Development 13.Approximate Spud Date: 2273'FSL,1169'FEL,UM Section 21,T 20 N,R 19 W UIC Private Land Permit No.10-252 15-Jan-12 Total Depth: 9.Acres in Property: 14.Distance to Nearest 1957'FSL,303'FWL,UM Section 22,T 20 N,R 19 W 21,120 Property: 15,835 4b.Location of Well(State Base Plane Coordinates): 10.KB Elevation 15.Distance to Nearest Well Surface: x 631566 y- 6243161 Zone- 6(NAD 27)(Height above GL): 2 5 feet Within Pool: 14 ft.-Walakpa#11 16.Deviated w ells: Kickoff depth: 250 feet 17.Maximum Anticipated Pre--ures in psig(see 20 AAC 25.035) Maximum Hole Angle: 90 degrees Dow nhole: 962 psig Surface: 780 psig 18.Casing Program: Specifications Top(rkb) - Setting P .th - Bottom(rkb) Cement Quantity,c.f.or sacks Hole Casing Weight Grade Coupling Length MD ND MD ND (including stage data) 26 16" 84# L80 Weld 80 21 2 101 101 Single Stage:265 sxs. 12 1/4" 9 5/8" 40# L80 BTC-M 1170 20 0 1190 1153 Lead:86 sxs,Tail:487 sxs 8 1/2" 7" 26# L80 BTC-M 3742 19 19 3761 2308 Single Stage:46 sxs. 6 1/8" 4 1/2" 12.6# L80 BTC 1623 3611 2273 5298 2338 production-slotted liner r 19. PRESENT WELL CONDITION SUMMARY(To be••mpleted for Redrill and Re-Entry Operations) Total Depth MD(ft): Total Depth ND(ft): Plugs(measured): Effect.Depth MD(ft): Effect.Depth ND(ft): Junk(measured): Casing Length Size Cement Volume MD TVD Conductor/Structural Surface htermediate Production6.4ht Liner Perforation Depth MD(ft): Perforation Depth ND(ft): 20. Attachments: Filing Fee 0 Br•Sketch 0 Drilling Program 0 Time v.Depth Plot Q Shallow Hazard Analysis ID Property Flat Q Div• ter Sketch Q Seabed Report Q Drilling Fluid Program Q 20 AAC 25.050 requirements Q 21. Verbal Approval: Conmssion Repre ntative: Date 22. I hereby certify that the foregoing is ue and correct. Contact Printed Name Title Signature Phone Date Commission Use Only Permit to Drill API Number: Permit Approval See cover letter for other Number: 50- Date: requirements. _ Conditions of aplifrbmal is checked,w ell may not be used to explore for,test,or produce coalbed methane,gas hydrates,or gas contained in shale Other: Samples req'd: Yes E No ❑ Mud log req'd: Yes1=1 No El H2S measures: Yes E No o Directional svy req'd: Yeo I\0 APPROVED BY THE COMMISSION DATE ,COMMISSIONER 4 • ` Walakpa#12 : Horizontal Gas Engineer: NtCook Field:(a,=31.7 ft.above Sea Level Development Well Rig: Kuukpik#5 RKB elev.:21.5(pad level) 0 it FORM DIP iti HOLE SIZE CASING SPECS MUD INFO CHU INFO INFO DIRAAVD MWD LOW. Nip IN i, :::::•::::: — .. t —.. ::::::::::: •••••• 16 in.84 11)/ft L80 xx.,0 Mod:Vetco Gray, NONE \.i\i I',ma fro,i I. Ilal — .. •••••• 26" ........... Welikd \1112,,2-1 16"5M w .... , .... • •• ..... .. KOP:incl.=0 deg. 25, 250 •• ..... ... Spud Mud •• ... ..... .:.:.: DLS:3.00 deg/100 ••• •• ••• .. •:::: ..... ... ... ..... ... .. ••••• ..... SRO-GYRO 0 500 ••• .. ... . . lead Cement-"L" ..... ••• •. ••• BOC:500 ft.>>surface ... ••• •• Density:10.7 ppg Cement ..... ... MWD/GR/RES ..... .. Excess:150% ... ..... ••• ... ... ..... Tall Cement-"C" ... ..... ••• TOC:500 ft. Freeze Protection:Annul. ••• ... ..... Density:15.6 ppg Cement 9-5/8" ..... Baseof •• ..... Excess:l50% w/diesel ..... Permafrost: 91/1/ss 41 s,,, ••• Surface Casing • 9-5/8"40 lbs/ft • L80 BTC-M .:.:.:i Internal Yield:5,750 psi EOB:incl.=28.22 deg. Casing to:::i Oil111153. Collapse:3,090 pd Casing Test:2500 psi 12-1/4" KOP:incl.=28.22 deg. I 1179 PHPA:LSND/Baranan D LOT:approx.14 ppg. Production Tubing 2-7/8"6.5 lbs/ft MWD/GFURES L80 EDE internal Yield:10,570 psi Collapse:11,170 psi Top HRZ/Pebble 173? 1645 Shale ... •• ...... ...... ... :44. EOB:incL:68.14 deg. 1936 1657 ...... ...... :::::: ...... DLS:6 deg./100 ...... ... ••• ... ... ...... :::::: ... Iptermetiate Cosine ... ••• :::* ...... ...... 726 lbs/ft ...... 44.: ... ...... :44. L80 BTC.-M ... ...... ... ::: ••• ... :44. Internal Yield:7,240 psi ... .....• Collapse:6,000 psi ••• :::::: Tail Cement .:.:.: ••• ::::: KOP:incl.=68.14 3461, 2227 .... : ... ••• Type:ArcticCem LT TOC: ... ...... ......, X.., 3261 ft.-md .. Casing Point 3761 2308 :.:::::: :.iDensity:12.5 ppg Cement Casing Test:2500 psi EOB:incl.:81.04 deg. Top:Walakpa .......: ... Excess:30% Liner Hanger/Packer ... DIS:4 deg./100 Gas Sand-(Heel) 3791 2313 -:.:.: /TB.EXI:BHI Model:SLZXP -.-.. ,ia skk:: I 14-1/2" Liner Lap:1500. BARADRILL-N/KCL FIT:13.00 ppg EMW KOP/BulltI 81.04 deg 3016 2:211 (6%) EOB:9000 deg. 4., 2",,, DLS:4 deg/100 i MWD/GR/RES I LWD:Neu/Den (Neutron Logging• dependent upon hole conditions.) productIm Liner- II Moiled 4-1/2"12.6 lbs/fl I L80 BTC 1 0-Xt a lukpa 52, 21,, 6-1/8" Target(Toe) Date Rev by Con-mente 5/11/2011 MCook Well Planning Preparation 12/5/2011 MCook Well Planning Preparation 5 Well Name: Walakpa #12 Drill & Evaluate Summary Type of Well (service/producer/injector): Methane Hydrate—Horizontal Test Well Surface Location: Located within : 1668' FWL 2555' FNL T.20 N., R. 19 W.,U.M. Section 21 NAD 27 ZONE 6 : N= 6,243,161 E=631,566 Target Walakpa T1 — (Heel) 1169' FEL 2273' FSL T.20 N.,R. 19 W.,U.M. Section 21 Top Walakpa Gas Sand NAD 27 ZONE 6 : N= 6,242,753 E= 634,018 TVD/SS: 2260-ft Target Walakpa T2— (Toe) 303' FWL 1957' FSL T.20 N.,R. 19 W.,U.M. Section 22 Base Walakpa Gas Sand NAD 27 ZONE 6 : N= 6,242,456 E= 635,496 TVD/SS:2285 -ft AFE Number: 10-0009 Rig: Kuukpik#5 Estimated Start Date: Jan. 20, 2012 Operating days to complete: 23 MD: 5298 TVD: 2338 Max Inc: 90 KOP: 250 KBE GL : 21.5 ft. rkb (rkb) SS - GL 31.7 ft. Well Design (conventional, slimhole, etc.): Slimhole—Development/Horizontal Gas Producer Objective: Drill and complete slimhole horizontal well —targeting the Walakpa gas sand interval. Drilling Fluid Program: 12-1/4-in Surface Hole Fluid Properties: Spud—LSND Freshwater Mud Density (ppg) Funnel Vis YP HTHP pH API Filtrate LG Solids 8.6-9.2 60- 80 25 -60 N/A 9.0-9.5 < 12 < 6.5 8-1/2" Intermediate Hole Fluid Properties: Polymer/ LSND/Barazan D+ Density (ppg) PV YP HTHP pH API Filtrate LG Solids 9.5 - 10.5 10-20 25 -30 10 - 11 9.0- 9.5 < 6 < 6 6-1/8" Production Hole Fluid Properties: Drill in Fluid : Baradril—N/KCL Density (ppg) PV YP HTHP pH API Filtrate LG Solids 10.0- 10.2 10- 12 15 - 18 10 - 11 9.0-9.8 < 6 <4 6 • Waste Disposal: RCRA Exempt—Class II Wastes Drilling fluid : Option#1: EB-15 UIC II well. Drill Cuttings disposal : Option#1 : Barrow Municipal Landfill Option#2 : stored/barged to G&I Facility(PRB ) disposal site. Waste Disposal: RCRA Exempt—Class I Wastes Option#1 : disposed of locally- Barrow Municipality Casing/Tubing Program Hole Size Csg/ Wt/Ft Grade Conn Length Top Bottom Tbg O.D. MD/TVDrkb MD/TVDrkb 26 0-in 16 -in* 84# L-80 Welded 80-ft 21-ft 101-ft 12.25-in 9.625-in 40# L-80 BTC-M 1170-ft 20-ft 1190/1153-ft 8.5-in 7.0-in 26# L-80 BTC-M 3742-ft 19-ft 3761/2308-ft 6.125-in 4.5-in 12.6# L-80 BTC 1623-ft 3611/2273-tt 5298/2338-ft Cement Program: Casing Size 9-5/8",40 ppf, L-80 BTC-M Type: Surface Casing to 1190/1153' md/tvd Basis for Calculation 80-ft. shoe joints, 50%excess in permafrost(12-1/4" hole), and cement to surface. Cement Volume: Spacer 10 bbl of water(test lines) , 40 bbls—HES Spacer Lead Halliburton Type "L" : Density: 10.7, Yield: 4.15 cu.ft/sk, Mix (Surface to Water: 19.5 gal/sk BOC @ 690' and/rkb) SXS : 85 Tail Halliburton Type "C" : Density: 15.6, Yield: 0.95 cu.ft/sk, Mix (9-5/8"shoe— Water:3.83 gal/sk 500 ft.above shoe depth) SXS : 285 Temp 36 deg. F @ 1190/1153ft. md/tvd Casing Size 7", 26 ppf, L-80 BTC-M Type: Production Casing(long string) : 3761/2308 ft. md/tvd (rkb) Basis for Calculation 80-ft. shoe joints, 30% excess in open hole. Top of cement(TOC) located 500 ft. above Upper Barrow Gas sand. Cement Volume: Wash 10 bbl water(test lines) Spacer 40 bbls—HES Spacer Tail Premium cement+ 3% BWOW KCL, 1.5% CalSeal, 0.6% (7"shoe—500 LAP 1 ft.above shoe depth) Density: 15.6 ppg, Yield : 0.95 cu.ft./sxs, Water : 5.39 gal/sxs Thickening Time : +/-4:00 hrs @ 60 deg. F. 87 sxs. Temp 57deg. F @ 3761/2308 ft. md/tvd 7 Evaluation Program 12.250-in Surface Hole: Open Hole Logs: • Logging while drilling (LWD) with directional will be utilized in lieu of open hole e-line formation evaluation logging runs. • LWDDirectional/Gamma/Resistivity • SRO—GYRO : 0— 500ft and-rkb 8.5-in Intermediate Hole: Open Hole Logs: • LWDDirectional/Gamma/Resistivity 6.125 Production Hole: Open Hole Logs: • LWDDirectional/Gamma/Resistivity/Neutron/Density • Note 1: Neutron/Density porosity collar utilization is dependent upon hole 6-1/8"hole conditions. Cased Hole Logs: • not required Formation Markers : Walakpa #12 Commercial Est. Formation Hydrocarbon Tops Uncertainty Bearing Formation (TVDss) (feet) (Yes/No) Surface Hole: Base of Permafrost 900 +/- 100' no 9-5/8 csgpt 1000 +/-25' n/a Intermediate Hole: Top HRZ 1840 +/-50' _ no Base HRZ 1870 +/-50' no Hydrate Stability Zone 1980 +/- 100' _ n/a Top Walakpa SS (at Heel) 2260 +/-25' yes Intermediate csgpt 2267 +/-25' n/a Base Walakpa SS (at heel) 2290 +/-25' n/a Production Hole: Top Walakpa SS (at toe) 2265 +/-25' yes Base Walakpa SS (at toe) 2295 +/-25' yes LCU/Kingak Shale 2295 +/-25' no 8 411/ Recommended Bit Program BHA Hole Size Depth (MD) Bit Type Nozzle #100 12.5-in 0-ft— 1190-ft QHC 1 GRC-Tooth Bit 3-15 & (IADC Code-117W) 1-10 #200 8.5-in 1190-ft—3761-ft FX65-Fixed Cutter 3-15 & (IADC Code: M323) 1-10 #300 6.125-in 3761-ft — 5298-ft TD FMF3543ZZ-Fixed Cutter 3-12 IADC Code: M433 Well Control Surface Interval— 12.25" BOPE—Surface Interval— 12.25" 21 '/4 " 2M MSP Maximum anticipated BHP 540-psi (8.65-1b/gal @ 1200-ft TVD/ss) Maximum surface pressure 420-psi (0.1-psi/ft gas gradient to surface) Casing Test Pressure : 2500-psi 9 5/8" 40#L80 BTC-M p BOPE—Intermediate/Production—8.5"/6.125" 11", 5M,Double ram with annular(Hydril - GL) Maximum anticipated BHP 1008-psi (9_41-1151a1 @ 2240-ft TVD/SS — toWalak aSandstone b.6 s //'/j p p ) p/1 Maximum surface pressure /go si (0.1-psi/ft gas gradient to surface) Planned BOP test pressure Rams test to 3,500-psi/250-psi. Annular test to 2,500-psi/250-psi Casing Test Pressure : 7" 26#L80 BTC-M 2500-psi Planned drilling fluid: Intermediate : LSND/Barazan Polymer Production : Baradril "N"/KCL (6%) Drilling Hazards & Contingencies: • Sticky clays may be present from the lower permafrost on down to intermediate casing point @ ✓ 3836/2293 md/tvd. • Intermediate hole section KOP is planned under surface 9-5/8"40# L80 casing. DLS will range in the 4-6deg/100— initial well inclination to be built to 68 deg. Manage drilling ROP's and hole cleaning requirements as needed. 9 Expected Pressures • The Walakpa Gasgas sands are normally pressured with an anticipated reservoir pressure of 952 psi @ 2260 ft./tvdss. Hydrocarbons: • Significant hydrocarbon producing intervals are not expected to be encountered before reaching the top of the Walakpa sandstone in the well,prognosed at 3791/2313 and/tvd -rkb. Faults • No fault intersections are expected. Hydrogen Sulphide • The Walakpa Gas Field is not designated as H2S area. H2S is not expected. Anti-Collision Issues • Walakpa#11: 14 ft. to 275 ft. Reference anti-collision (travelling cylinder) report included in Well Data Package. Distance to Nearest Well: ti-I l • The Walakpa# 24e11 — 14 ft. at surface. Conductor to conductor separation distance. kv. 10 Walakpa #12 Drilling, Evaluation & Complete: 1. Skid the Kuukpik#5 drilling rig over the pre-installed Walakpa#12 , 16" conductor/cellar ( 14 ft. rig sub-base traverse distance) . MB 230 Vetco Gray landing ring is installed on 16" conductor. Reference the conductor installation procedure for wellhead orientation requirements. 2. Function test 21-1/4" 2M MSP Diverter System. Notify AOGCC representative 48 hrs prior to diverter system test. 3. Take on water and build spud mud. Isolate mixing pit (Pit#5) with freshwater/gel fluid. 4. PU 12-1/4" ( BHA #100 ) : QHCIGRC drill bit on HES performance motor (8"Sperry Drill lobe 4/5 —5.3 stage) assembly w/MWD/GR/RES. Function test L/MWD collars and performance motor. 5. Drill to surface KOP @ 250fttvd/md. Orient HES performance motor w/ toolface and azimuthal control. Perform SRO Gyro surveys to 500 ftmd. 6. Drill 12-1/4" hole section to surface 9-5/8" 40# L80 BTC-M csg. point @ 1190 ft. md/1153fttvd.with 3.5 deg/100 DLS. Surface 9-5/8" casing point is at end of build (EOB) at 35deg well inclination. 7. Manage drilling fluid (spud mud) rheology, funnel viscosity to be maintained in the 60-80 sec. /qt. range.. Adjust funnel viscosity as needed to ensure annular drill cuttings removal. 8. Circulate and condition 12-1/4" surface hole for surface 9 5/8' 40# L80 BTC-M casing running. 9. Run 9-5/8", 40#, L-80 BTC-M surface casing to hole section total depth: 1190 ft. and/ 1153fttvd. 10. Cement 9-5/8", 40#, L-80 BTC-M casing w/HES Type"L" (10.7 ppg lead) and Type"C" (15.6 ppg tail) cement blends. ✓ Use 50% annular excess factor for cement "sxs" calculation. Confirm cement returns to surface. Perform top job if cement returns are not confirmed at surface. 11. HES cementing van rinsate to be collected in Peak vac truck. Rinsate fluids (estimate: 30-40 bbls) to be injected at EB-15 disposal well per HES EB-15 Injection procedure. 12. Surface excess cement returns captured via 16" divert line to be collected in 2 ea. Peak 20 cu yd / 100 bbl cutting boxes. Do not add cement retarder(Sodim Citrate) to Peak cutting boxes. Use L162 or Hyster to position cutting boxes. Allow cement to harden (48 hrs). Transport cuttings boxes to Municipal landfill—dispose of"solidified"cement. 111 04-+5 ray efArr +�� $ h ps. 13. ND 21-1/4" 2M MSP, install VetcoGray 5M wellhead , NU DSA and Shaffer 11" 5M BOPE —test BOPE, choke manifold, stand pipe & surface IBOP's and safety valves. Test Shaffer 11" 5M BOPE to 3500 psi/high — 250 psi low. Annular preventer to be tested to 2500 psi/high — 250 psi low. Position HES Geospan unit in sub-base on BOPE trolley, MU hydraulic connections to Geospan unit, test Geospan connections/manifolding per HES DD service supervisor. 14. VetcoGray/ConamTigiak on-site personnel to align starting head orientation to forwellhouse installation/access requirements. 11 15. Dispose of surface hole section "spud" drilling fluid via Peak 150,100 bblvac trucks — transport to EB-15 tank farm for"temporary" storage prior to injection. 16. Build intermediate hole section drilling fluid volume : LSND/Barazan D+ (Pits: #1- #4). Initial mud weight to be built to 9.5ppg. 17. PU 8-1/2" ( BHA #200) : 8-1/2"FX65 drill bit on HES performance motor(7" SperryDrill Lobe 7/8—6.0 stage) assembly w/ MWD/GR/RES collars — test MWD collars while RIH. RIH to 9-5/8" 40# L80 BTC-M float collar. Test 9-5/8" 40# L80 BTC-M surface casing to 2500 psi. Record/chart casing test on Barton recorder and tabular format ( Pressure vs. BB1s (.5 bbl increments)), submit with daily IADCC report. 18. Displace spud drilling fluid to LSND/Barazain D . 19. Drill out float collar shoe track, float shoe and 20-ft of formation to 1210/1169-ft and/tvdrkb. 20. POOH to 1153-ft and and perform Leak Off Test (LOT) :14.5ppg equiv. Reference attached LOT form for pressure/bbls data presentation. 'pi 21. RIH - drill 8 1/2" hole section with BHA #200 (MWD/GR/RES). Directionally drill , building wellbore inclination angle to "end directional" point at 1936/1657 ft md/tvd @ 68.14deg well inclination (DLS = 6 deg./100 ft). 22. Manage cased and open hole friction factor(s)/drag with additions of NXS lubricants— range (3-6% by volume/as required). ✓ Be prepared for HRZ borehole stability problems. ✓ HRZ top : 2570 and/ 1893 tvd (rkb) ✓ HRZ base : 2650 and/ 1923 tvd (rkb) 23. Drill 8-1/2" tangent section and build sections to 7" 26# L80 BTC-M casing point at 3761/2308 ft. md/tvd (rkb).Note : PU,SO and off bottom rotating weights while drilling 8-1/2" intermediate hole section. 24. Circulate 8-1/2"wellbore, minimum 2x bottoms up, short trip to 9-5/8"40# L80 BTC-M shoe.Back ream as required w/Tesco top drive through HRZ interval. POOH 25. Prep rig for running 7" 26# L80 BTC-M intermediate casing. 26. Pre-mix 6-1/8"production hole "drill in" fluid : Baradril N/KCL (6%). Clean pits : #1 - #4 27. Run & cement 7" 26# L80 BTC-M intermediate casing with HES with premium blend (15.6 ppg) single stage. Land 7" 26# L80 BTC-M casing hanger in casing head of VetcoGray MB230 11" 5M well head. RILDS - energize packoff assembly and test to 5000 psi. Test VetcoGray 11" 5M wellhead to 5000 psi. 28. HES cementing van rinsate to be pumped to Peak Vac truck for collection and transport to EB-15 disposal well. Do not comingle cement rinsate w/ drilling fluids in tank farm upright tanks. Peak Vac truck to pump rinsate directly to HES cementing unit for displace downhole in EB-15 well. Filtering of all solids prior to transfer of fluids to BSS tank farm is critical. 29. VetcoGray to install lateral "sweeps"manifolding via 5M flange outlet to MB 230 5M wellhead— for inner annuli ( 7"int.csg x 2-7/8"production tubing) access. Note: Each"sweep"to have 1 ea. 2- 12 1/16" 5M gate valve installed on upper end of"sweep" section. Valves to provide upper annuli access for well freeze protection requirements. 30. PU 6-1/8" ( BHA #300) : 6-1/8" FMF3543ZZ-Fixed Cutter drill bit on HES GP 5200 Rotary Steerable (ABI) assembly w/ MWD/GR/RES — test MWD collars while RIH. RIH to 7" 26# L80 BTC-M float collar. 31. Test 7" 26# L80 BTC-M intermediate casing to 2500 psi. Record/chart casing test on Barton recorder and submit with daily IADCC report. 32. Drill out float collar shoe track, float shoe and 20-ft of formation to 3781/2312-ft md/tvdrkb. 33. POOH to 3761 and /2308 tvd-rkb / 7" 26# L80 shoe placement, and perform FIT to 0.68 psi/ft equivalent (13.00 ppg). 34. Circulate Baradril N/KCL drilling fluid to cased and open hole. 35. RIH - drill 6-1/8" production hole section with BHA #300 to interval total measured depth at 5298/2338 md/tvdrkb. Manage cased and open hole friction factor(s)/drag with additions of NXS lubricants—range (3-6%by volume/as required). 36. Circulate annulus 2x/short trip 6 1/8" horizontal hole sectionback to 7" intermediate casing shoe every 1000ft and of new hole section drilled or every 24 hrs (rotating) - which occurs first. Back ream as required through tight hole sections. ✓ Savik #1, 6-1/8" production hole, experienced severe tight hole conditions. Probable cause : 5-7/8" (OD) non-rotating stabilizer. 37. POOH w/ BHA #300. LD flex, L/MWD and GP 5200 rotary steerable collars. PU BHA #400 / Bullnose (Holefinder), RIH to perform clean out run to TD. POOH ✓ After POOH w/ BHA # 300 : HES — Sperry Sun, smart iron collars to be removed from location and transported to appropriate service center(s) for collar inspection and operations assurance calibration checks. 38. Prep rig to run 4 '/2" 12.6# L80 BTC slotted liner with BHI SLZXP liner top packer/hanger/tie- back extension assembly. Rabbit 4" 14# S135 XT39 dp w/ 2" ball prior to RIH w/ 4-1/2" 12.6# i/ L80 BTC production liner. Ensure that crossover's (XO's) 4-1/2" BTC pin x XT-39 box, as well as full opening valve (FOV) w/ joint are stationed near or on the rig floor when PU slotted liner— in the event that the well needs to be circulated. b<< 39. RIH w/ 4 1/2" 12.6# L80 BTC slotted liner on 4" 14 # S135 XT39 dp. Displace production hole section wellbore through 2-7/8" 6.5 # inner string assembly/guide shoe with weighted NACL/NABR completion brine. Adjust completion brine fluid density to 0.1 ppg increase over Baradrill N/KCL fluid density. Expected displacement rate : Q=4.0—4.5bpm. 40. Manage completion brine open hole loss/gain volumes via PASON unit. Do not exceed surface pressure circulation limits that could initiate setting sequence of SLZXP system. BHI service technician to provide surface circulation pressure limitations. 41. Drop (2") setting ball for SLZXP liner top packer/hanger assembly. Top of SLZXP liner top packer/hanger assembly @ 3244/1921' md/tvd. ( positioned with 150 ft. liner lap inside 7" 26# 13 L80 BTC-M intcsg ). BHI technician to instruct/provide pressure setting schedule for setting SLZXP system. Confirm setting of SLZXP system. 42. RU to run 2-7/8" 6.5 # L80 EUE completion string. RIH w/ completion string, space out 2-7/8" 6.5# WLEG at 100 ft above top of 4-1/2" 12.6# L80 liner tie back extension. Circulate 2-7/8" x 7"annulus. 43. Land 2-7/8"tubing hanger in Vetco Gray MB 230 tubing head,RILDS —energize tubing hanger packoffs. Test tubing hanger/head assembly/ to 5000 psi. L/D 2-7/8" completion running equipment. Clear KD #5 rig floor. 44. Install mechanical isolation barrier (TWC) in Vetco Gray MB230 11" 5 M tubing hanger profile — test to 2500 psi. ND Shaffer 11" 5M BOPE & DSA. NU Vetco Gray 2-9/16" 5 tubing head adapter with 1 ea. 2-9/16"Vetco Gray isolation valve. 45. Test production adapter to 5000 psi. Record/chart casing test on Barton recorder and submit with daily IADCC report. 46. Pull TWC with lubricator. 47. Freeze protect 2-7/8" 6.5 ppf tubing and 2-7/8" 6.5 ppf tubing x 7" 26# production casing annuli to 1240-ft. (Base Permafrost)+200 ft. o� 48. Freeze protect(diesel) the 7-in x 9 5/8"-in casing down to 1240-ft MD. Set BPV. 49. Complete a post-rig inspection with the WH Pacific Operation representative prior to the rig moving off the well. 14 DATE: 4-26-11 r SCALE: 1" = SHEET: 1 OF 1 BARROWA ,�a a .... REV DATEt A ■,�,■iir'N►[I PROPOSED 14-22-101 WELL COORDINATES DGPSFICANT FIGURES �;v■■ /!ll��� H WELL COORDINATES Alit �rtili��g rWELLS N /■/,I f ►.CLAM ■ , Ji` NOTES: %/Y /■M'1I/:/r//�■i7 f j( 1► j Kt 1. COORDINATES SHOWN HEREON BASED UPON DIFFERENTIALLY IOW ■/►•Ah' fl��'�III i/mE1 ■ P, y ■p■► 1W �� ' Iii/■//{SII ■'���1�[ CORRECTED GPS OBSERVATIONS. (41°16 bEA14I �4 li.�/l1 1 1 H■■1■■ y� L�arNIauln t// i ��"rn4� C amrii . 1 11111;-2. AS-STAKED SURVEY CONDUCTED AUG.30,2010&APR.22,2011. �'■'`.�1�� t��i�+ + rairatirlikad �3. ALL DISTANCES ARE IN U.S.SURVEY FEET. Irl , it �i U[ S> tt 77rRA�i' pit rr II PI bar rin�tri I► trk..n� ■vr 4. PROTRACTED SECTION LINES SHOWN HEREON ARE �' 1 , n I Ll ' 1 -11�N MUM APPROXIMATE AND FOR REFERENCE ONLY. VICINITY MAP-NOT TO SCALE AS-STAKED "WALAKPA LEGEND PROPOSED"WALAKPA 11"WELL 11 /12" DRILL PAD 40 PROPOSED WELL LOCATED WITHIN 0 RP TO WELL T.20 N.,R. 19 W.,U.M., SECTION 21 T 20 N, R 19 W, UM SECTION 16 T 20 N, R 19 W, UM SECTION 21 t NAD 27,ZONE 6 ` 360' WAL-12 RP2 0 0 WAL-11 RP2 LAT:71°04'20.1984"N '1 cry Oft° v WELL RP DISTANCE TABLE LONG:156°53'33.9725"W np cN=6,243,150.55 WAL-11 WAL-12 E=631,552.72 „ _ 0 RP1 244.16' 243.55' NAD 83,ZONE 6* RP1 <' RP2 353.96' 353.38' s�' o LAT:O71°04'18.6608": 3'46.35N /// LONG:156°53'46.3556"W "r'se `',`' L9<':-.0' ! N=6,242,847.06 .oto E=1,771,557.78 Ui 0 50 100 PROPOSED"WALAKPA ::""-' 12"WELL SCALE IN FEET LOCATED WITHIN T.20 N.,R.19 W.,U.M., SECTION 21 C. c, ,/-PROPOSED NAD 27,ZONE 6 PAD 7.0'_��— LAT:711564 N LONG:156°°5353'33 3.5.5490"W 7.0 -. 1661±'--/VN=6,243,160.96 t_ E=631,566.68 - a — N z z NAD 83,ZONE 6* PROPOSED ✓ o PROPOSED LAT:71°04'18.6722"N Li UT "WALAKPA 12" LONG:156°53'45.9321"W m !-, "WALAKPA 11" WELL N=6,242,848.47 co c n = WELL s-, E=1,771,571.74 N 3 ?� : ( I m m ° �'' o 'CONVERTED BY NAD CON a o o N U, cn a 0\ CN EN ^.111.- >. 11\N'`\\ v _ z ~ ~ 4 OF"A�gs1k N �P. . vIt 1-1:1 SURVEYORS CERTIFICATE * 49 TH •"1Ar P a I HEREBY CERTIFY THAT I AM PROPERLY REGISTERED AND LICENSED TO PRACTICE LAND SURVEYING IN THE fr; .:.— '- X2, • se- �'.Z!-I /, — STATE OF ALASKA AND THAT THIS AS-STAKED EXHIBIT REPRESENTS A SURVEY MADE BY ME OR UNDER MY o DIRECT SUPERVISION AND THAT ALL DIMENSIONS AND OTHER DETAILS ARE CORRECT AS OF APRIL 22,2011. r �'. KENNETH J.PINARD ,5 o CN I� � . No. 11545 ��� PETROTECHNICAL t04, ' L€7.0. il`� RO. . . . . . . . °4 U RESOURCES °,..M,.=.,= E>oaw<,,.� \�NV��`�` O an Ukpeagvlk Inuplat Corporation Company ALASKA o DRAWN BY:LHH I CHECKED BY: KJP I W.O. No: 2009-214-A v a E _-.._ Ln iv N U a vl C o N it f6 v i ( a ) CD r • CU Lr) ,---i i + N O 0 o in (0 CU0 . in cu E >. ' _ � _ H � I • Tal is 'CD mg 0 0 0 0 0 0 0 0 0 0 0 0 0 c-1 N M .4' Lrl t Ci au Q. +.1 t 2 0 Rig Floor 21" Bottom of Rotary Table 8„ Do- -. .0•Rotary::-u 11= -14" 49" Fl�v Nipple 49" 11"Annular ! — 175" I 34" -- 11"Double Gale o 0 r 11f N 23" 1 11"Mud Cross 20" 11"Single Gate 6" ` -- 11"5,000 Flange 36"Sub Base Skid 11"5 M 6'long Spacer Spool Sub Skid Level ?;;;;;;;g:::: 24"Skid Base W14: l 6"Rig Mat _ J%r 4- Ground/Pad Level \ 1?5 M Top of 11"5M flange @ Ground Level 9 5/8"Casing 9'OD Cellar 6'Deep 11"BOP Stack Kuukpik Drilling Rig 5 Rig Floor 21- Bottom of Rotary Table f— 12' 14" .u. .... :earns 72" r _t 50.5" 21 1/4"2 M Annular Ed � 11' Diverter opening centerline 72" Divener Line Opening Diverter Spool - — 3' t _ 36"Sub Base Skid ___ 92" 66" 96' 24"skid base 8'long Spacer Spool J 6"Rig Mat Ground/Pad Level 1 0 0I1 21 1/4'Starling Flange 9'OD Cellar 6'Deep KUUKPIK DRILLING RIG 5 21 1/4"Diverter System WiUt 8'Spacer Spool 6/11/2011 Choke Manifold Valves 2 " 3" To Shaker 3" Panic To Gasbuster 31/8"_ O 2 1/16" n 2 1/16" - u Q0= +) 21/16" 21/16" 31/8" cU_D,/ N 11 2 1/16" 2 1/16" Manual Choke Automatic Choke 21/16" Inlet Pressure Sensor 3" 3" 5,000 PSI Choke Manifold Kuukpik Drilling Rig 5 RED = 3 1/18" 5,000 PSI VALVES AND LINES BLUE = 2 1/16" 5,000 PSI VALVES Kuukpik Drilling Rig 5 Choke Manifold Drawn By: L Ross Date: 8/1/04 G.2. #111 #10 f P.1^ J1 I ) 'f JS 1 ' #2 J #15 \! w Kuukpik Drilling Rig 5 Choke Manifold Petrotechnical Resources of Alaska Walakpa Zone 6 Walakpa Walakpa 12 Plan Walakpa #12 Plan: Walakpa #12 WP 5.2 Standard Proposal Report 29 November, 2011 HALLIBURTON Sperry Drilling Services C N FT N N 0 Q - Co a d ,s,`" - N N - o 12 2' m —h N N N N m F- OOnm NOmN m0C O 6000 o aaa >OOf�n - D,N000mp fp \ m -EcNOV7nNNnm CT VNOaoo U� 00000001,00000 0000001,0001,O F-NN.N.S. IyOOOG0000-00)0 - F.. O pppp pp .pp- 01, 0) N Of N N 01000000000000 t- o0 O0 Y �Y�Y N 0000�t'�0010000V0 i) J a3 6 m 6 i 020 a �OpmNm-nNVIONn 01 3 > 00 m�0 W 0101��0 N NNNN 0 W 001�f7 I".400D I:N0O - o a U)(0 i + Nm.--Vch�m. NN 1,n N N NNtm+) —- p ; PAM o gO v�oo1,mrn�voNNNNv 0 us `7, p C h O N<mu1N MOm Y -o cc 1pNNNN U Z00�01�10��NONn n g maaomm j F- ZYYYY Ooo�oomt0n O-mo m - 0 J Co >01 W N N >NO CN(D OfONN�No J 011, !/)t0 N 10 i0 F O 10 fh pj 1�1�Ih f�j 000 OD '—N Cm ���> NN,-1,n 010 N�-N 00 f0 Q O - M NV.--.--m1, mmm H tg O NNNNN W O01`�' F_OONN 00p OOnNNCRnn C .> D Wm O 12809 N" �OOOOO.-1,1,NNNN N J S:J N N LOmtO� 00000000 OOON fN N O to I a8:2 o000000000 - m °' �C°�i uNi c . _o O U 0 0 0 0 N N N V 0p O O 0 co OD OpON COOONNpNp.-.-0000. 0 "' LO s1n SAN OOtONNt�f tm0 fm0 ma000i 01 O = - pp (p U O� )y N10 mpRppp ❑Oonmww NN NON N • C • - Z e'-t7 �n0mnnn.-mNNmO N (n�•W • N t. Of0000(0 tO tOm -) • O N. N O. F.7.2 INnM m*4�pp2,1 Q _ -� O • U Na---- tmmv m N - N C Y O d S 10 0 -NM,4.0mnm01,-.-� m N _ +0 0 /,SO Co - Q O s / S N `� (/) —0 yy Co N Zp co Q F- 1 _ t1 - N +0 co C 1\ o' f0 _ C_ A u-' m 0 (1) a _to O v O. Y m CO p 0 O S - o ma —o O CD I- - N _ Co - C c i o _n 0 CO O N - N a N ;• 0 Nr- {. - m N ,c-- 4t 1 Q o - o C — 11. Ca.43 CC •Y-Y..11�ccj g Co _ �0�0 ^.9 �OS ' C71 . . \ v 0 t0 ro (0 in C. Q M v >. rn I •2 - o v m ai Ip J 0 0 0 0 = m - �, � a m ` EE IAV Q 1- Y Y CL \ S.. O J Q El), \ - O o nN �O �� a Q c \t N N O G�. i. -.-. I Cr) o o W coo - 0 o O \\ Z0C. —to rn .. -n. t` N m t1,/) H io in N0) 0) O0 E O C C NC)M_ - Ndfntb 0 m 1 CO z yN�a�1,!a�Z —o N O 0) m ^ _O f ) - \0 N p Q \ 1 1 Q F- 01V V o \ I I § msYE - EEcDI�O o m, c \ 1 y L 1 -:0 W E - of m , W \ 1 m e 0 -_Nin•E - J Z01 m m \ \ O LL 01 CbOC0 J 0y N Z U Z 3aa. —10 I- 1, Q \\ / N y > 01 c-0 W O U -g - N O d .15 I/ cc a U C_U$ Z W c c rc - z pO NV IC aa' o �aiU Trym m wa"g n.-N N c E3 y d v a Q 2o�I: rt •E1-0, n1 LL ��QTa —o U mfom. W �i f-w2' W mv1 0 o K WD o.� _ a1 �EY�'� zyo a L 1,t..Coto.. m_o N.jm U) J 2to 2t0 1C gU - l� a O c0 o C O" �Q> N N N b O Q d ?W V)W m 2' - U U j 0 d U I - o T-I-f 1 1 1 1 1 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I f I I I I I I I I W I ( I 1 1 1 1-1-1"1 I I-1-1-1 I `. 0 o N 0 0 O o o O o us N 0 n o U 0 0 O O O O N On N 0 N 0 N O N O _ N 10 ,- 0 N N N.N O N N N N m NIR1 009) .udaa Ie3IPaA eflil Y N N N V _ 8 T IT —00 m .0 0f N N - U J O NO # Ii - IOoInO6 co W N a, W z fn0. mt J tis- -0 o m mioi..i 000Q , m m re 11 `o gaiv�m zm I 3 3 - 'Lc E3yay (n In OI)7��>� 000 0NNmNmOtm - U U com_J J 0�� 3 X00 NONmm NIOO(Om _ 8 'p E'OwV a M 1-(0222 > NNMn NNN N(m+l V 0 w O°E5Or o - a CN > E 2WM(O2 0 0NV N 7 000000(OOmOU)O (O OtoN w00000mnocpowo a mwrn�m o �mmA ' 'd } �000p00000.�o�io _g 0tw j W> ,"> lQ y NNNN - } U 0 0 N 3 A V N N N N 000000000.000 - 8 Q NN it 1 F j YYY1 OOOch thOOt000070 - Oa RI 0 l0 N N 444 A n pvio 0. 0 1 o o 'N __1,3 8. c NNN F ,OO5 0 -On ONl e�00") 8 (!1NNui,ff Yf W ltl OOI�NM4O NN0 1- 3333 Z + NNr,nNNNNM - Z fry N ZNNNN 0 WOO(OMm OOIOh.-•0 - J7lik#; 0 I OON V W.W NOYI<U - o NNm0 0 zOO7lr4-lnVEfAgti� —g R ma o. w + m g n M M v q�m - N 11-416-2 YYY f0 N O N 0 A 0 ti 00000(0.01,..1.00000(0.01,..1.00.-M0 - >W.OVNOWOONN.-N p O~ -N�ON(OM.Oi��N�()00)M00 M+5-,OMMH - Z NL. NN NN - N N p �m l(0 0 0 0 0 n W O N N N N \p SO pOIOMm QOOOOO�tO tONNNN O M 4' EL('-22 0000000 OOGNN 00 •O O pp 0000000000 mJ Cy '�NONN �y p p L N - C 0 8 0 N N N 0 0 0 0 Ell I--I m O In M o 0 0�M 00100000 V 00(0 t-U-00 Q� .0 NNMm(OMMWM .7-- 8 M Al W p O 0 n m m m N N N N O N - Ry ^ ry 1 BOO an n n N N N NON VI FCH M Ot0000,G 00.-tp Vi 00 _g /� .O\ y 1\ N IO,m NnMleO�m050r4 - 00 C \ 1 NO----mmm00VNi - N — N N \ \ UU '°" �D •1'I' \ 1 U).-NMOIOcDntm.-.-� 0o A \ 1 J � 8 C M 1x = p8 _ ..I L si c `, _at �Qi - 8 - CI II A +I (13 a _8 4 4 _ y 3 0 _ rJ _ 00 8 w rn a _. NN N O 'a J J �N .N-. O 0 C22 LWW Ow pcs, '5 - z J J *OI" C J N pp Jon 8' V h 1 O J i V) Q ._ -Se. 0. A 0 fa 7 = '1 - 'a �o A A '� W 1 zO N,MO,MO m o_zN p O' 1 -0 q q 1 a © N M JO r 0 A. 1 1 \ _ O IO Y Y J > > g 1 1 - to IL �9'9m 6 m A a) \ \ —o w 3 s(0 Q 2-" ro A 5 .0 I - d J J N n - Z E 0 W �AA» G , ,1 \ _ W - E J O M G y ` 1 , —E, ff, V C J (O • ( to • p \ 0 KNdV C(O vim, G \ \� 11 a N - 0 �o o� N W \ „ 0 N 03 —o w¢ za c \ , 1 N ••- Q� v �m a �_$'� 7i o a »,�0 N - a1�� 0. P CP RI CO� �3� -8 rn CD aa >o Z.8 0 • :: o - Q. p I III II I I I I I II I III I I I I I II I II II II I I I I II II IIIIIII I I IIII IIII I II I I III1T1I III ITI IIII 1111 Ill I I IIIIIIII—O 8 8 8 8 8 8 8 8 8 8 8 8 0 8 8 8 8 § �O 7 ,, 0 00 'O V N N Y sO ap (u!/8 00S)(+)9uONA-AMOS - Sperry Drilling HAL L I B U R TO N Standard Proposal Report Database: .Sperry EDM.16 PRD Local Co-ordinate Reference: Well Walakpa 12 Plan Company: Petrotechnical Resources of Alaska TVD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) . Project: Walakpa Zone 6 MD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Site: Walakpa North Reference: True - Well: Walakpa 12 Plan Survey Calculation Method: Minimum Curvature Wellbore: Walakpa#12 Design: Walakpa#12 WP 5.2 Project Walakpa Zone 6 Map System: US State Plane 1927(Exact solution) System Datum: Mean Sea Level Geo Datum: NAD 1927(NADCON CONUS) Using Well Reference Point Map Zone: Alaska Zone 06 Using geodetic scale factor - Site Walakpa Site Position: Northing: 6,243,272.00 ft Latitude: 71.072585 From: Map Easting: 631,535.00ft Longitude: -156.892902 Position Uncertainty: 0.00 ft Slot Radius: Grid Convergence: 1.05 ° Well Walakpa 12 Plan Well Position +N/-S 0.00 ft Northing: 6,243,160.96 ft . Latitude: 71.072280 +E/-W 0.00 ft Easting: 631,566.68 ft . Longitude: -156.892652 Position Uncertainty 0.00 ft Wellhead Elevation: ft Ground Level: 31.70 ft . Wellbore Walakpa#12 Magnetics Model Name Sample Date Declination Dip Angle Field Strength (0) (0) (nT) BGGM2009 1/25/2010 18.62 80.67 57,525 Design Walakpa#12 WP 5.2 Audit Notes: Version: Phase: PLAN Tie On Depth: 21.50 Vertical Section: Depth From(TVD) +NI-S +E/-W Direction (ft) (ft) (ft) (0) 21.50 0.00 0.00 101.08 Plan Sections Measured Vertical TVD Dogleg Build Turn Depth Inclination Azimuth Depth System +NI-S +EI-W Rate Rate Rate Tool Face (ft) (0) (0) (ft) ft (ft) (ft) (.1100ft) (°/100ft) (°/100ft) (0) 21.50 0.00 0.00 21.50 -31.70 0.00 0.00 0.00 0.00 0.00 0.00 250.00 0.00 0.00 250.00 196.80 0.00 0.00 0.00 0.00 0.00 0.00 416.67 5.00 100.00 416.46 363.26 -1.26 7.16 3.00 3.00 0.00 100.00 1,190.79 28.22 100.00 1,153.20 1,100.00 -39.43 223.62 3.00 3.00 0.00 0.00 1,220.79 28.22 100.00 1,17963 1,126.43 _41.89 237.59 0.00 0.00 0.00 0.00 1,370.79 34.22 100.17 1,307.85 1,254.65 -55.51 314.11 4.00 4.00 0.11 0.90 1,936.12 68.14 100.62 1,657.07 1,603.87 -134.24 740.97 6.00 6.00 0.08 0.76 3,468.62 68.14 100.62 2,227.66 2,174.46 -396.40 2,138.92 0.00 0.00 0.00 0.00 3,791.22 81.04 100.24 2,313.20 2,260.00 -452.55 2,444.15 4.00 4.00 -0.12 -1.69 3,836.22 81.04 100.24 2,320.21 2,267.01 -460.45 2,487.90 0.00 0.00 0.00 0.00 4,065.80 90.00 102.27 2,338.13 2,284.93 -505.11 2,712.12 4.00 3.90 0.89 12.85 5,298.42 90.00 102.27 2,338.20 2,285.00 -767.14 3,916.57 0.00 0.00 0.00 0.00 11/29/2011 9:15:19AM Page 2 COMPASS 2003.16 Build 73 Sperry Drilling LLIBURTON Standard Proposal Report Database: .Sperry EDM.16 PRD Local Co-ordinate Reference: Well Walakpa 12 Plan Company: Petrotechnical Resources of Alaska TVD Reference: AS-Staked©53.20ft(31.7 GL-MSL/21.5 KB) Project: Walakpa Zone 6 MD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Site: Walakpa North Reference: True Well: Walakpa 12 Plan Survey Calculation Method: Minimum Curvature Wellbore: Walakpa#12 Design: Walakpa#12 WP 5.2 Planned Survey II Measured Vertical Map Map Depth Inclination Azimuth Depth TVDss +NI-S +E/-W Northing Easting DLS Vert Section (ft) (1 (°) (ft) ft (ft) Ift) (ft) (ft) -31.70 21.50 0.00 0.00 21.50 -31.70 0.00 0.00 6,243,160.96 631,566.68 0.00 0.00 100.00 0.00 0.00 100.00 46.80 0.00 0.00 6,243,160.96 631,566.68 0.00 0.00 200.00 0.00 0.00 200.00 146.80 0.00 0.00 6,243,160.96 631,566.68 0.00 0.00 250.00 0.00 0.00 250.00 196.80 0.00 0.00 6,243,160.96 631,566.68 0.00 0.00 KOP DLS 3.00 260.00'MD 300.00 1.50 100.00 299.99 246.79 -0.11 0.64 6,243,160.86 631,567.33 3.00 0.65 400.00 4.50 100.00 399.85 346.65 -1.02 5.80 6,243,160.04 631,572.50 3.00 5.89 416.67 5.00 100.00 416.46 363.26 -1.26 7.16 6,243,159.83 631,573.86 3.00 7.27 500.00 7.50 100.00 499.29 446.09 -2.84 16.09 6,243,158.42 631,582.82 3.00 16.34 600.00 10.50 100.00 598.04 544.84 -5.55 31.49 6,243,155.98 631,598.27 3.00 31.98 700.00 13.50 100.00 695.85 642.65 -9.16 51.97 6,243,152.75 631,618.80 3.00 52.76 800.00 16.50 100.00 792.43 739.23 -13.66 77.45 6,243,148.72 631,644.36 3.00 78.63 900.00 19.50 100.00 887.52 834.32 -19.02 107.88 6,243,143.91 631,674.88 3.00 109.53 970.14 21.60 100.00 953.20 900.00 -23.30 132.13 6,243,140.08 631,699.20 3.00 134.15 Base of Permafrost 1,000.00 22.50 100.00 980.87 927.67 -25.24 143.17 6,243,138.34 631,710.28 3.00 145.35 1,100.00 25.50 100.00 1,072.22 1,019.02 -32.31 183.22 6,243,132.01 631,750.45 3.00 186.02 1,190.79 28.22 100.00 1,153.20 1,100.00 -39.43 223.62 6,243,125.63 631,790.96 3.00 227.03 End Directional 1190.79'MD-95/8" 1,200.00 28.22 100.00 1,161.32 1,108.12 -40.19 227.91 6,243,124.95 631,795.27 0.00 231.38 1,220.79 28.22 100.00 1,179.63 1,126.43 -41.89 237.59 6,243,123.42 631,804.98 0.00 241.21 Begin Directional DLS 4.00 1220.79'MD 1,300.00 31.39 100.10 1,248.36 1,195.16 -48.78 276.35 6,243,117.26 631,843.86 4.00 280.57 1,370.79 34.22 100.17 1,307.85 1,254.65 -55.51 314.11 6,243,111.20 631,881.73 4.00 318.92 Increase Directioanl DLS 6.00 1370.79'MD 1,400.00 35.98 100.21 1,331.75 1,278.55 -58.48 330.64 6,243,108.54 631,898.31 6.00 335.71 1,500.00 41.98 100.32 1,409.45 1,356.25 -69.69 392.50 6,243,098.47 631,960.36 6.00 398.58 1,600.00 47.97 100.41 1,480.16 1,426.96 -82.40 462.00 6,243,087.03 632,030.07 6.00 469.22 1,700.00 53.97 100.48 1,543.10 1,489.90 -96.48 538.36 6,243,074.34 632,106.67 6 00 546.87 1,800.00 59.97 100.55 1,597.58 1,544.38 -111.77 620.76 6,243,060.56 632,189.33 6.00 630.67 1,900.00 65.97 100.60 1,642.99 1,589.79 -128.12 708.28 6,243,045.82 632,277.13 6.00 719.70 1,936.12 68.14 100.62 1,657.07 1,603.87 -134.24 740.98 6,243,040.30 632,309.93 6 00 752.96 End Directional 1936.12'MD 2,000.00 68.14 100.62 1,680.86 1,627.66 -145.17 799.25 6,243,030.44 632,368.38 0 00 812.25 2,100.00 68.14 100.62 1,718.09 1,664.89 -162.27 890.47 6,243,015.00 632,459.89 0 00 905.05 2,200.00 68.14 100.62 1,755.32 1,702.12 -179.38 981.69 6,242,999.57 632,551.40 0.00 997.86 2,300.00 68.14 100.62 1,792.55 1,739.35 -196.49 1,072.91 6,242,984.13 632,642.91 0.00 1,090.67 2,400.00 68.14 100.62 1,829.79 1,776.59 -213.59 1,164.13 6,242,968.70 632,734.42 0.00 1,183.48 2,500.00 68.14 100.62 1,867.02 1,813.82 -230.70 1,255.35 6,242,953.26 632,825.93 0.00 1,276.28 2,570.32 68.14 100.62 1,893.20 1,840.00 -242.73 1,319.49 6,242,942.41 632,890.28 0.00 1,341.54 Top HRZ 2,600.00 68.14 100.62 1,904.25 1,851.05 -247.81 1,346.57 6,242,937.83 632,917.45 0.00 1,369.09 2,650.89 68.14 100.62 1,923.20 1,870.00 -256.51 1,392.99 6,242,929.98 632,964.02 0.00 1,416.32 Base HRZ 2,700.00 68.14 100.62 1,941.48 1,888.28 -264.91 1,437.79 6,242,922.40 633,008.96 0.00 1,461.90 11/29t2011 9:15:19AM Page 3 COMPASS 2003 16 Build 73 Sperry Drilling I-IALLIBURTON Standard Proposal Report Database: .Sperry EDM.16 PRD Local Co-ordinate Reference: Well Walakpa 12 Plan Company: Petrotechnical Resources of Alaska ND Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Project: Walakpa Zone 6 MD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Site: Walakpa North Reference: True Well: Walakpa 12 Plan Survey Calculation Method: Minimum Curvature Wellbore: Walakpa#12 Design: Walakpa#12 WP 5.2 Planned Survey Measured Vertical Map Map Depth Inclination Azimuth Depth TVDss +NI-S +EI-W Northing Easting DLS Vert Section (ft) (°) (°) (ft) ft (ft) (ft) (ft) (ft) 1,925.52 2,800.00 68.14 100.62 1,978.72 1,925.52 -282.02 1,529.01 6,242,906.96 633,100.47 0.00 1,554.71 2,900.00 68.14 100.62 2,015.95 1,962.75 -299.13 1,620.23 6,242,891.53 633,191.98 0.00 1,647.51 2,946.33 68.14 100.62 2,033.20 1,980.00 -307.05 1,662.49 6,242,884.38 633,234.38 0 00 1,690.51 Hydrate Stability Zone 3,000.00 68.14 100.62 2,053.18 1,999.98 -316.23 1,711.45 6,242,876.09 633,283.49 0.00 1,740.32 3,100.00 68.14 100.62 2,090.41 2,037.21 -333.34 1,802.67 6,242,860.66 633,375.00 0.00 1,833.13 3,200.00 68.14 100.62 2,127.65 2,074.45 -350.44 1,893.89 6,242,845.22 633,466.51 0.00 1,925.93 3,300.00 68.14 100.62 2,164.88 2,111.68 -367.55 1,985.11 6,242,829.79 633,558.02 0 00 2,018.74 3,400.00 68.14 100.62 2,202.11 2,148.91 -384.66 2,076.33 6,242,814.35 633,649.53 0.00 2,111.55 3,468.62 68.14 100.62 2,227.66 2,174.46 -396.40 2,138.93 6,242,803.76 633,712.32 0.00 2,175.23 Start DLS 4.00 3468.62'MD 3,500.00 69.40 100.58 2,239.02 2,185.82 -401.78 2,167.68 6,242,798.91 633,741.16 4.00 2,204.48 3,600.00 73.39 100.46 2,270.92 2,217.72 -419.08 2,260.84 6,242,783.31 633,834.62 4.00 2,299.23 3,700.00 77.39 100.34 2,296.13 2,242.93 -436.54 2,356.00 6,242,767.59 633,930.07 4.00 2,395.97 3,761.12 79.84 100.27 2,308.20 2,255.00 -447.27 2,414.94 6,242,757.95 633,989.20 4.00 2,455.88 7.. 3,791.22 81.04 100.24 2,313.20 2,260.00 -452.55 2,444.15 6,242,753.20 634,018.50 4.00 2,485.56 End Directional 3791.22'MD-Top Walakpa SS(at Heel)-Walakpa#12-Heel 3,800.00 81.04 100.24 2,314.57 2,261.37 -454.09 2,452.68 6,242,751.82 634,027.06 0.00 2,494.23 3,823.33 81.04 100.24 2,318.20 2,265.00 -458.19 2,475.36 6,242,748.13 634,049.80 0.00 2,517.27 Top Walakpa SS(at toe) 3,836.22 81.04 100.24 2,320.21 2,267.01 -460.45 2,487.89 6,242,746.10 634,062.37 0.00 2,530.01 Start DLS 4.00 3836.22'MD 3,900.00 83.53 100.81 2,328.77 2,275.57 -472.00 2,550.03 6,242,735.69 634,124.70 4.00 2,593.20 4,000.00 87.43 101.70 2,336.65 2,283.45 -491.45 2,647.78 6,242,718.03 634,222.79 4.00 2,692.87 4,065.80 90.00 102.27 2,338.13 2,284.93 -505.11 2,712.12 6,242,705.55 634,287.36 4.00 2,758.64 End Directional 4065.80'MD 4,100.00 90.00 102.27 2,338.13 2,284.93 -512.38 2,745.54 6,242,698.90 634,320.91 0.00 2,792.83 4,200.00 90.00 102.27 2,338.14 2,284.94 -533.64 2,843.25 6,242,679.43 634,418.98 0.00 2,892.81 4,300.00 90.00 102.27 2,338.14 2,284.94 -554.90 2,940.97 6,242,659.96 634,517.06 0.00 2,992.79 4,400.00 90.00 102.27 2,338.15 2,284.95 -576.15 3,038.68 6,242,640.50 634,615.14 0.00 3,092.76 4,500.00 90.00 102.27 2,338.16 2,284.96 -597.41 3,136.40 6,242,621.03 634,713.22 0.00 3,192.74 4,600.00 90.00 102.27 2,338.16 2,284.96 -618.67 3,234.11 6,242,601.56 634,811.30 0.00 3,292.72 4,700.00 90.00 102.27 2,338.17 2,284.97 -639.93 3,331.82 6,242,582.09 634,909.38 0.00 3,392.70 4,800.00 90.00 102.27 2,338.17 2,284.97 -661.19 3,429.54 6,242,562.63 635,007.46 0.00 3,492.68 4,900.00 90.00 102.27 2,338.18 2,284.98 -682.45 3,527.25 6,242,543.16 635,105.54 0.00 3,592.66 5,000.00 90.00 102.27 2,338.18 2,284.98 -703.70 3,624.97 6,242,523.69 635,203.61 0.00 3,692.63 5,100.00 90.00 102.27 2,338.19 2,284.99 -724.96 3,722.68 6,242,504.23 635,301.69 0.00 3,792.61 5,200.00 90.00 102.27 2,338.19 2,284,99 -748.22 3,820.40 6,242,484.76 635,399.77 0.00 3,892.59 5,298.42 . 90.00 102.27 2,338.20 , 2,285.00 -767.14 3,916.57 6,242,465.60 635,496.30 0.00 3,990.99 Walakpa#12-Toe 11/29/2011 9:15:19AM Page 4 COMPASS 2003.16 Build 73 Sperry Drilling H A L L I B U R T OR,,V Standard Proposal Report Database: .Sperry EDM.16 PRD Local Co-ordinate Reference: Well Walakpa 12 Plan Company: Petrotechnical Resources of Alaska TVD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Project: Walakpa Zone 6 MD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Site: Walakpa North Reference: True Well: Walakpa 12 Plan Survey Calculation Method: Minimum Curvature Wellbore: Walakpa#12 Design: Walakpa#12 WP 5.2 Targets Target Name -hit/miss target Dip Angle Dip Dir. TVD +NI-S +E/-W Northing Easting -Shape r) (°) (ft) (ft) (ft) (ft) (6) Walakpa#12-Toe 0.00 0.00 2,338.20 -767.14 3,916.57 6,242,465.60 635,496.30 -plan hits target center -Point Walakpa#12-Heel 0.00 0.00 2,313.20 -452.55 2,444.15 6,242,753.20 634,018.50 -plan hits target center -Point Casing Points Measured Vertical Casing Hole Depth Depth Diameter Diameter (ft) (ft) Name (") (") 5,347.24 6 1/8 OH 6-1/8 6-1/8 3,761.12 2,308.20 7" 7 8-1/2 1,190.79 1,153.20 9 5/8" 9-5/8 12-1/4 Formations Measured Vertical Vertical Dip Depth Depth Depth SS Dip Direction (ft) (ft) ft Name Lithology (°) (°) 2,570.32 1,893.20 Top HRZ 2,946.33 2,033.20 Hydrate Stability Zone 970.14 953.20 Base of Permafrost 3,791.22 2,313.20 Top Walakpa SS(at Heel) 2,650.89 1,923.20 Base HRZ 2,348.20 LCU/Kingak Shale 3,823.33 2,318.20 Top Walakpa SS(at toe) 2,348.20 Base Walakpa SS(at toe) 2,343.20 Base Walakpa SS(at heel) Plan Annotations Measured Vertical Local Coordinates Depth Depth +N/-S +E/-W (ft) (ft) (ft) (ft) Comment 250.00 250.00 0.00 0.00 KOP DLS 3.00 250.00'MD 1,190.79 1,153.20 -1.26 7.16 End Directional 1190.79'MD 1,220.79 1,179.63 -39.43 223.62 Begin Directional DLS 4.00 1220.79'MD 1,370.79 1,307.85 -41.89 237.59 Increase Directioanl DLS 6.00 1370.79'MD 1,936.12 1,657.07 -55.51 314.11 End Directional 1936.12'MD 3,468.62 2,227.66 -134.24 740.97 Start DLS 4.00 3468.62'MD 3,791.22 2,313.20 -396.40 2,138.92 End Directional 3791.22'MD 3,836.22 2,320.21 -452.55 2,444.15 Start DLS 4.00 3836.22'MD 4,065.80 2,338.13 -460.45 2,487.90 End Directional 4065.80'MD 5,298.42 2,338.20 -505.11 2,712.12 TD at 5298.42'MD 11/29/2011 9:15:19AM Page 5 COMPASS 2003.16 Build 73 N m x r Q N N O # it Y r 0 "6 l U O O O Q p m t0 Z 0 ____ '- O Y U 10 W (+0 0 N N V O 3 -'-I-- -i_\ 5 W N U _ Ili 3 3 {p EQCC s, m � J --/_ ON LE aE3 ' 000Nn ,/`./Y\i,\--I-_--1__/.`J\1\4\\ Uo01,-01-c40(p00.-(+101 Tun U ,/�. • \ • O OOONONm01NNOm0! N O OM-r Wa' 0 y�. / \/ --- - ' `V� .., N >001,-1--•-00NNNGaDO Om d ���L UL `/ '/ " /'Y' --- `--/\` •V< •\ \i NNO)n NN NNO) J� E m m iG) / ,V / / / \.'-_ �./ \ \ \ \ �\ 000000100010100 rn 52(02(/)2 / / ../.1 , / . \ �C \ °�00000mnomomo m 1 Q dcocom 7�J • y /,'/Y- `1♦ \ `\ \''. � \ \ \ \- 0_000000000.-0N0 T.„ 0/0 nm W a1mW(�tE / / I - / N'., / -- - \ ` (\ "rrr \ 1- oINI «N 0 Cl- W m _ J 1 1 / / / / Y /' \\ Y \ \ \ 11 1 m '�wO >- m 11 -/ / / I / / '/ • ` \ \ i r' i 000000000000000 000 A `') ¢ U '-I I I I .I 1 1 1 11/ I,- \ \ \ \1N 11 1 j0 1 I I 1� o v) 00000j00f00R0V0 i m 0 1 1 1 I 1 1 1 \ ` - / / 1 I I I� 1 1 Q OOmNW.-n N1OONn > O I 1 1 I \ / 11 I I r ,00�CO 0/ �rn.-1p J _J. ' U �J-\-\ I \ I \ \ \ '' // / 1 1 ('1-1 L w w 0 o n ri n v 0 m vNcim W p la a7 ---.--\ \-\'\ \ \\ / / / C.9 m /\ \ \ i\ /`\ \ \\ /•_ _i\ /'///^ / / /h% U N O O N 00mO.1[1 fpvV�0p is,Q.-.- W N \ '\1 \ \ /'� - _ N-'\ / ,/moi,, / N 4.ZOo�M:r lmnl th Oi lNnm uin rnm # A \ \ /\ • '/`�� 10 i<// ,.•<„/ •-Mgg1o_,m CO m 0 \ ^ \ \>-_ - - 1 --\ / / �(pp O1. m 0)cl �\ \ `/`` /�• \ �.t! '/\/'/� (V >>NOON10WO)ONNs-N Z� \^. T` '/��w`\< /• /\ / rNNm N w OON•�-N fm�1(mn t00 c ‘.›./• T • NNNNN 11 r/IJf'% ��\ (/ OOOOOr-NNQQn1. r` 00000 mmNNNN wo o /-14d Y�► .' )j1i' O�0.00000000 + s Vm U O O O N N N1yiO O g 0 0COOONNNnr0 O 00111NNm0GDm00-2° 0 00on8Non apNp +0 N p0prrOO,-oNNOV0r 00O ONN� U 11111111111 I UNmt0000mm1ONO1 O rN mNnO)mm 01 N0.-N0/01Qnm N 1(j.0 m it U) Nm C W Eo NM0..,...,.. 0 W N m y N Yp, 8282828 ' 828 1y V) m W m` t 10 N W 11 N N 1� V a ' O N N N tg'1 0561,Z r c/o0 - N U) C C mo O f1yUa U) ZO1 - a.. 0 . p`m• 0 m ���H '''''...1--------i------------L- d cmEd y- ��/ .: oo NN 1) �py y'oo _. ._ o 000 - -i1-I 1 I I / / / / ,' ,/,'/ • \ \ \ \ \ \ 1 \ _%.-%- r oK333 I ; 1 1 l l I I I //I/ /' / /� _-• •\ \ \\\\ \ `\ I \I \I 1 11 1 1 1 1 11 1 aci 'N/ 1 1 1 pl 1 1 1 1 1 1 1 1 / / I I / \ \ 1 1 1 10 1 1 1 1, 11 11 ,0 I i i IN U 0 �1 I 1 •-I 1 1 nl I 1nl 1 1 , I I /' \ \ 1 IN 1 1 N 1 / ti 1 1 1 Ir 1 1 1 Ir O > 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 \ 1 \0/ ' / / 1 1 ( I / 1 1 1 I I I 1 1 1 0> NNNN 111 1 II 11111 1111\ 11 1111\ \ \\ \\ �� //// / /Ili i / I II 111 I 1 1 I 1 ^ aiiiatu 11 I 1 1 1 1 I 1 \ I \ \ `\ '/ / , / / 1 1 1 1 I I I / + mmmm J -1_I 1 1 \ \ \ \ \ \ \ \ ;`..-,%, / // / I l l 1 I l 1 hl O 11x1 - 1-I 1 1 I \ 1 \ \ \ \ \ \ ♦ \\ ,•�,�, / /, i / / / l l I l / I / 1- u_ comma \ \ \ \ \ \ ▪ �. .. , / / l I I illi I-- II1I I\ I \\ \ \\ \ I ^/\`\ \\ \ 0'7°4--1 '/',' ,l'/(1.. / // / / / / 1 , / r Q NNNN I t t_\'\ \ \\ \ '\\ ` \\ `\ -�• •j ' ' //~ p. /// // L/�I 1 E O 333 \ \ \ • )\ \ \ \ \\ \ i-- \ IsJ -<-441)4 '.'/ / / / / & / / / / m c m NNNN � F. \ �� \ \ ` •\ \ •\ ` \•/..\........-- 1�/- -\./ ' / / / / •/�/ / / -O a ,_mann feu '\ \ \ \ \ •\ \ `7. d ,C // / / //� wya === 0,-. c '' \\ \ \)�\ `\♦ `♦ i� ��� '/'/ ,///'/ 0 /r In fAiAi _ F #did `\ \\>� , - - ,< .< '/'/ • I— . 2z_ ; ix /\ M N I°oNNa : :gE /� . r__ _ ---r LL �00j1Um _�- ' '\ ' 0-8"1Mrn ;nail \>� r. 'r T -1' �-� 3 En c cliTj M Lo � j ► •.. o� F nN LOONNd� vmoa im to L Ia In Sperry Drilling Anticollision Report Company: Petrotechnical Resources of Alaska Local Co-ordinate Reference: Well Walakpa 12 Plan Project: Walakpa Zone 6 ND Reference: AS-Staked @ 53.20ft(31.7 GL-MSL I 21.5 KB) Reference Site: Walakpa MD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Site Error: 0.00ft North Reference: True Reference Well: Walakpa 12 Plan Survey Calculation Method: Minimum Curvature Well Error: 0.0Oft Output errors are at 1.00 sigma Reference Wellbore Walakpa#12 Database: .Sperry EDM.16 PRD Reference Design: Walakpa#12 WP 5.2 Offset ND Reference: Offset Datum Reference Walakpa#12 WP 5.2 Filter type: GLOBAL FILTER APPLIED:All wellpaths within 200'+100/1000 of reference Interpolation Method: MD Interval 25.00ft Error Model: ISCWSA Depth Range: Unlimited Scan Method: Tray.Cylinder North Results Limited by: Maximum center-center distance of 727.69ft Error Surface: Elliptical Conic Survey Tool Program Date 11/29/2011 From To (ft) (ft) Survey(Wellbore) Tool Name Description 21.50 500.00 Watakpa#12 WP 5.2(Walakpa#12) SRG-GYRO-SS Conventional SRG single shots 500.00 1,153.20 Walakpa#12 WP 5.2(Walakpa#12) MWD+SAG MWD+Sag correction 1,153.20 3,836.22 Walakpa#12 WP 5.2(Walakpa#12) MWD+SAG MWD+Sag correction 3,836.22 5,298.42 Walakpa#12 WP 5.2(Walakpa#12) MWD+SAG MWD+Sag correction Summary Reference Offset Centre to No-Go Allowable Measured Measured Centre Distance Deviation Warning Site Name Depth Depth Distance (ft) from Plan Offset Well-Wellbore-Design (ft) (ft) (ft) (ft) Walakpa Walakpa 11 Plan-Walakpa#11-Walakpa#11 W 274.82 275.00 14.35 5.25 9.10 Pass-Major Risk 11/29/2011 9:25:50AM Page 2 of 3 COMPASS 2003.16 Build 73 Sperry Drilling Anticollision Report Company: Petrotechnical Resources of Alaska Local Co-ordinate Reference: Well Walakpa 12 Plan Project: Walakpa Zone 6 TVD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Reference Site: Walakpa MD Reference: AS-Staked @ 53.20ft(31.7 GL-MSL/21.5 KB) Site Error 0.00ft North Reference: True Reference Well: Walakpa 12 Plan Survey Calculation Method: Minimum Curvature Well Error. 0.00ft Output errors are at 1.00 sigma Reference Wellbore Walakpa#12 Database: .Sperry EDM.16 PRD Reference Design: Walakpa#12 WP 5.2 Offset TVD Reference: Offset Datum Reference Depths are relative to AS-Staked @ 53.20ft(31.7 GL-MSL/ Coordinates are relative to:Walakpa 12 Plan Offset Depths are relative to Offset Datum Coordinate System is US State Plane 1927(Exact solution),Alaska Zone 06 Central Meridian is-158.000000° Grid Convergence at Surface is:1.05° L Ladder Plot 800— 1 1 1 1 1 - I 1 1 I 1 I I I I 1 I I I I I I I I I I J J I 1 I 1 1 I I 1 I I 1 I I I 1 1 1 1 600 I I I 1 C I I � I I I p J J J J J ___ _ I 1 3 I 1 1 I (0 1 I C1 I 1 I I in 400— --L — I I I I I E. I I 1 a) I 1 U J J J J p 1 I a) I 1 1 200—- 0 I I I 1 I I I I I I I I 1 1 I I I I I I I I I I I I I I I I I I I I I 0 I • 0 200 400 600 800 1000 1200 Measured Depth(200 ft/in) LEGEND 11 Plan,Walakpa#11,Walakpa#11 WP 6.2 VO $ Walakpa#12 WP 5.2 11/29/2011 9:25:50AM Page 3 of 3 COMPASS 2003.16 Build 73 Page 1 of 2 . Schwartz, Guy L (DOA) From: Michael Cook[mcook@petroak.com] Sent: Monday, December 19, 2011 11:18 AM To: Schwartz, Guy L(DOA) Subject: RE: Walakpa - Permit to Drill Importance: High erP Guy, For clarification,the Walakpa reservoir static BHP is 1008 psi at approx. 2240 tvdss.This results in a normally pressured reservoir of 8.65 ppg equivalent. Therefore : 1. In text block#17 of the PTD 10-401 form :The "downhole" 962 psi should be adjusted to 1008 psi.The surface pressure of 780 psi is correct assuming a 0.1 psig gradient to surface with the top of the Walakpa sand at 2240 tvdss. 2. Page#8 of procedure : a. Maximum anticipated BHP section : the "9.4-Ib/gal"should be adjusted to 8.65 ppg. b. Maximum surface pressure : "760 psi" should be adjusted to 780 psi. I apologize for this confusion. Regards, Mike Cook From: Schwartz, Guy L(DOA) [mailto:guy.schwartz@alaska.gov] Sent: Monday, December 19, 2011 11:03 AM To: Michael Cook Cc: Davies, Stephen F(DOA) Subject: RE: Walakpa #13 - Permit to Drill Michael, I saw one other minor discrepancy in the PTD. On page 8 of the procedure you list a Max BHP of 1008 psi (and 9.4 ppg vs 8.7 ppg???? ) but the front of the application lists 962 psi . Can you clarify... Guy Schwartz Senior Petroleum Engineer AOGCC 793-1226 (office) 444-3433 (cell) From: Michael Cook jmailto:mcook©petroak.coml Sent: Tuesday, December 13, 2011 9:24 AM To: Schwartz, Guy L (DOA) Subject: Re: Walakpa #13 - Permit to Drill Importance: High Guy, As noted to you in our previous email correspondence regarding your questions(see below) with respect to the Walakpa#12 Permit to Drill package, and as well noting that the Walakpa#13 Permit to Drill 12/19/2011 Page 2 of 2 document package is in the AOGCC's possession and presumably awaiting your review. With this in mind—I have attached the Walakpa#13 ; Drilling &Completion steps 1-49 that address's your previous questions that were directed at the Walakpa#12 well. Hoping that this provides you with the necessary inputs that you are requesting. Guy Schwartz—questions (12-12-11)directed to the Walakpa#12 well 1. The procedure stops at setting the liner top packer. There is nothing about running the completion. Can you send some details on that. (after Step 41) 2. What is your minimum acceptable LOT(or FIT)for the surface casing shoe? (Step 20.) 3. When you run the 4.5" slotted liner you don't mention a crossover and FOV with jt in case you need to shut in the well. (Step 38) Guy, I will bringing over the Walakpa#14 Permit to Drill document package this early afternoon.If you desire to meet and discuss any details regarding the Walakpa wells—please let me know. Regards, Mike Cook Office:(907)677-5103 Cell : (907)444-8822 Click here to report this email as spam. 12/19/2011 Page 1 of 2 Schwartz, Guy L (DOA) From: Michael Cook[mcook©petroak.com] Sent: Tuesday, December 13, 2011 8:53 AM To: Schwartz, Guy L(DOA) (51 Subject: RE: Walakpa 12 (PTD 211- 5) Importance: High Attachments: Well Plan- Permit to Drill Walakpa#12 Final 12-13-11.docx Guy, In response to your email yesterday ( 12-12-11) regarding the Walakpa#12 Permit to Drill. 1. The Walakpa#12 Well Plan procedure includes steps 1-49. I have included a copy of the procedure that documents the completion phase of the well for your reference. 2. Step#20 :The minimum acceptable LOT is 14.5 ppg equivalent. Recall, we want to acquire a LOT for annular disposal purposes.The required fluid gradient to reach intermediate casing point in the well will be in the 10.2 ppg range. Note as well that the Walakpa reservoir is normally pressured w/8.65 ppg equivalent pressure. 3. Step#38 : I have noted the requirement for XO's when running the 4-1/2" 12.6 slotted liner as well as a FOV w/jt of dp in the event that the well needs to circulated with PU the slotted liner. A couple of other notes to you : 1. I will make the appropriate edits to the Walakpa#13 Permit to Drill package as well and forward electronic copy to you—if this is satisfactory, else I can deliver hard copy to you today. 2. I will be bringing to you the Walakpa#14 Permit to Drill document package today—with all appropriate edits included. Regards, Mike Cook Office : (907) 677-5103 Cell : (907)444-8822 From: Schwartz, Guy L (DOA) [mailto:guy.schwartz@alaska.gov] Sent: Monday, December 12, 2011 2:47 PM To: Michael Cook Subject: Walakpa 12 (PTD 2116) t5� Michael, In reviewing the PTD for Walakpa 12 I came up with a few questions... 1. The procedure stops at setting the liner top packer. There is nothing about running the completion. Can you send some details on that. (after Step 41) 2. What is your minimum acceptable LOT(or FIT)for the surface casing shoe? (Step 20.) 3. When you run the 4.5"slotted liner you don't mention a crossover and FOV with jt in case you need to shut in the well. (Step 38) Regards, 12/13/2011 Page 2 of 2 Guy Schwartz Senior Petroleum Engineer AOGCC 793-1226 (office) 444-3433 (cell) Click here to report this email as spam. 12/13/2011 II Pk ,.::':.'Vi tWit, _ -:a- Walakpa#12 :Horizontal Engineers M.Cook Field:CL=31.7 ft.above Sea Level Gas Development Well a Rig: Kuukpik#5 • RKB elev.:21 5(pad level) ' Ott FORM I(FF1'll-Oka) 1101k:SIM CASING SPF:CN MUD INFOCUaf INH) INFO 111WI.WII MWI) I.O(.\ III) I 1Vll NONE NONE I'cnna host 100 100 J ..t 26" 16 in.x41b10 I xo Well Head:Vela)Gray. IIWelded MB230,2-1/16"581 KOP:incl,=0 deg. 250 250 Spud Mud OLS:3.00 deg/100 SRO-GYRO 0 500 Lead Cement-"L" BOC:500 fl. »surface Density:10.7 ppg MWD/GR/RES ' Cement Excess:150% _ Tall Cement-"C" TOC:500 fl. Freeze Protection:Annuli Density:15.6 ppg 7"x 9.5/8" Base of Cement Excess:150 e: w/diesel Permafrost: 900 ss 900 ss Surface Casing • 9.58"40 lbs/ft • L80 BTC-M • menial Yield:5.750 psi ',awn:.3.Irxs psi Casing Test:2500 psi FOB:Incl._28.22 deg. Casing Point 1190 1153 _, 12-1/4" KOP:incl.=28.22 deg. 1220 1179 PI IPA:1,SND/Baraoln LOT:approx.14 ppg. Production Tubing 2-7/8"6.5 lbs/fl MWD/GR/RES • 1.80 EVE blend Yield:111,570 psi Collapse:11,1711 psi Top 11RZ/ 1733 1645 Pebble Shale FOB:incl.:68.14 deg 1936 1657 DIS:6 deg./100 Isle:mediate F a—�. • 7"26 lbs/fl L80 BTC-M Ialcmal Yield:7.341 psi I Alai. 6,0151 psi Tail Cement KOP:incl.-68.14 3468 2227 Type:ArclicCem LT 1, • TOC:3261 fl:Ind Casing Point 3761 2308 U� • Density:12.5 ppg Casing Test:2500 psi • FOB: incl.:81.04 deg. Top:Walakpa Cement Excess:30% Liner Ilanger/Packer OLS:4 deg./100 Gas Sand- 3791 2313 It O.Ext:BHI Model: I I l _ 8-I/2" SLZXP Liner Lap:150 ft. BARADRILL-N/KCL FIT:13.00 ppg EMW WY/Build:81.04 deg. 3836 2320 (6%) ROB:90.01)deg. 41)65 2338 DIS:4 deg/100 MWD/Cik/RES.1 I• I LWD: Neu/Den I i (Neutron Logging; dependent upon hole conditions.) II it Production Liner- I Slotted 4-1/2"12.6 lbs/fl L80 BTC II TD-Walakpa 5298 • 2338 • w 6-I/8" Target IToel Date Rev by Comments 5/11/2011 M.Cook Well Planning Preparation 12/5/2011 M.Cook Well Planning Preparation OVERSIZED DOCUMENT INSERT This file contains one or more oversized documents. These materials may be found in the original hard file or check the parent folder to view it in digital format. TRANSMITTAL LETTER CHECKLIST WELL NAME v) -( c&- / 2- PTD# L/ Development Service Exploratory Stratigraphic Test Non-Conventional Well /(-) FIELD: 1,k)�� ( - POOL: di ( qa Check Box for Appropriate Letter/Paragraphs to be Included in Transmittal Letter CHECK ADD-ONS WHAT (OPTIONS) TEXT FOR APPROVAL LETTER APPLIES MULTI LATERAL The permit is for a new wellbore segment of existing well (If last two digits in Permit No. ,API No. 50- - - API number are between 60-69) Production should continue to be reported as a function of the original API number stated above. 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 The permit is approved subject to full compliance with 20 AAC EXCEPTION 25.055. Approval to produce/inject is contingent upon issuance of a conservation order approving a spacing exception. assumes the liability of any protest to the spacing exception that may occur. 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 through target 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 (name of well) until after (Company 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 program. Rev:9/09/2011 co -0 o r 'O CO co -0 3 0 m I- 0 3 G) .< co N _ r 3 CD j o N CO N 9: o, ITI O 7 N0 N co 0 r.:3 7 O E O O N O CD O CD W W W W W W W W W W N N N Ni Ni Ni Ni Ni Ni Ni CO CO V O CTA CO Ni 0 n (.0 CO -4 0) 01 A W Ni -+ O CO Cb v 0) 01 A W Ni -, O CO CD CA 01 A CO Ni — O -I M n cn cn 0 v K F * n W W o = D -. D n n n n cn n v D g n v -oo o -, co * * * c r- v z � n 0 0 CD CD n) CD CD 7- O O = a a v a o c 0 = w CD CD b O a c 7 CD CD 0 X N. ' ° O ° -0 m < m CD v- H H H 4 7 m * m 7 (D CD 0 m m m a a 7 z r N nCr 7" Cp < 7' d N d 5 N a -° 3 < CD C 3 O co 3. -o = N N co m m 0 CD C C CO * < < O C fD p ° .. 'v N O O O CD .. O O a o ° 7 = 3 a v, CD m a v a = O O co O a C)) m ° ° o o m ? CO) CO) 0 F c m O 0 N O co CND co N O ° II7 N a C < CD O N N N ° C *. 3 7 7 S O CL CD CD CD I N , Cn 0 a 0. 0 a a O (D N 0 (D (D 3 3 I co7 0- O O N C N < co co N. .N-. 0 5 °- 0- O" O" N 7 O a a a — o- C>* TI m a a Cr, ° o 2 O v m 7 m 01 C7 0 a .c co = a * co m m ,< a m -o -a � v 0 .- 0 � m ]. (/1' O (7)' n N `2 °" '< CC) CD O N CO p0j N Cll N -0 (O N - S -0 N• N '• 'O N: — -000 1 co 3 "06 3 N O a O 0 7 C O CO 3 D) a Cp -sCD a CD CD 0 t) n A � "o c C C 0 CD CD a (D -000 4D CCD C N a co 7 CO 0 CD N a N (. O-1 Q 7 0 o CD 0 N O a s "°° 06 i< a - caa - co 0 a 7 W Om Z 7- ° v c a ° (, o �D c ° ° a m w a o 0 0 n o m v .6 o v) -0 n CD ° o m m `-' v n m CD CD * * CD • CO m m O ° '< o o F -O o N o 4 v w Cn m m . c a c m m a g s o m m a v w a c m 3 3C5. 0 * CD = ill o CD c o o 7 m 7 o 0 0 o m O rn CD CO o a Q w' o o, 3 o m o o _ v a o o m O Q g C D w m z- m < Q _ • o 7 CU' -o ,(5:‘ c co 0 0 ° o . m m 0 a 3 c� D G) D 0 3 O m �. o' 7 >7 - o 7 • m _, 0_ o c a o o 2 7 0 "° S N 'O 0 CD 7 .m N O 7 7 7 O W 3 7 3 a — 3 3 j m (D O O 7 N N -0 a < O <. N Cn CD CD — O 7 0 7 7• 0 CO O O W 0 7 O C 'O Cp N „1„ 7 CD O a j' O a > � c OD o W °_ a m 3 Q0 0 a CD CD f O< m m `c m b (^�� m Ui o - CZ o 7 N ^' .N.. N r ' r dco a co P 1 T o c c 0 0 x Cn o O co -° C/°) Cn tT) O, CD N N N (n O m 3 O cQ CO CD ,z D p Z 7 a 7 3 co (jto (J CD 0 01 7 30 N CD'''', SD O N K O O7" 7 7 Cn .< 0 o Cn u 7 0 m C'-). o m 3 a co co ca ° v n 7 T 0 % 0 O Isi Z Z Z Z Z < < Z Z Z Z Z Z < < C Z Z < C: 11 D D D CD CD D 0 CD CD CD CD CD CD CD D CD CD CD 0 CD D CD D D D CD CD CD CD CD CD CD CD CD CD CD CD D D N Cl) N Cn Cn Cl) CO N Cl) Cl) Cn N Cn Cl) Cn Cn Cn Cn N N Cn CO CO Cn Cn Cn 1 = o a O < 7 to m z z K K m 73 co D 3 z D m n m m a x o o D w o m c — o W 7 0 cim z 0 x 7" N O O O O N N N 0 X CD co Ni Ni 13 p 3 CU o 7 3 n 0 v 7C- z O Cn (!) II Cn CD CD CD C < 7 A "O CO Z '° 4 CD CD -.I 3 `< N 0 Cn °' (-DM. CD o •O N co G) N C3 D �3 O 'x0 O 7 N N O N O O 0 3 !n N O fD 0 = o . a) 7 o — = 0 n • N D _ -0 CO < O a CD N ° yN O N 3 CD 00 a) Co m ° — c m D m 0 CO N o c° Dr m `s CD o 5 m O A z 0W m Io a n cm n 3 0 3 m aON 2. m � Cn= 0oa CD o - CD -O co O o iN c .o Som Sr 7 O Q o O to A co CD N c a fa n N N to ca (T y * coOO o O W C CO O CO -00 O -0 O 7. ,0.' N CC 7 O CO < CD (D N N V < CD a N 01 N CD 3 3 ° 3 n N Nv C 'O 5 a N j C<D a) O 7 7C" O a 7 N CD -I CO N a 'o N -o �O Cn a v 0 0 C f11 C CC N (n O . O CO .,-. < 7 N a CC)) N Cn N j a a (D co CD 00 . CD CD N O N -00 (I7 0 -. N CI) .7. O "O — O N -. N O to co - x co a co W co 7 co N N o a 3 0 3 CD 'O O ,n. ° co 3 ? -o 0 0 6 I 5 a 37°)O C71 a 3 CD m a a ° v o 0 CD C) CO Cn -O CD O CO Cn DO ❑ L_ Well History File APPENDIX Information of detailed nature that is not particularly germane to the Well Permitting Process but is part of the history file. To improve the readability of the Well History file and to simpltfy finding information, information of this nature is accumulated at the end of the file under APPENDIX. No special effort has been made to chronologically • organize this category of information. Technical Report Title Date Client: North Slope Borough Field: Walakpa Gas Field Rig: Kuukpik 5 Date: February 12, 2012 LMWD and Directional Drilling End of Well Report Walakpa 12 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA End of Well Report DIRECTIONAL DRILLERS Driller 1 :Mark Brouillet Driller 3 : Driller 2 :Arthur Morgan Driller 4 : JOB OBJECTIVES Walakpa # 12 is planned as a horizontal gas producing well targeting gas reserves in the Walakpa Sandstone. The directional plan will consist of building angle in the 12-1/4" surface hole to 28° by casing point at 1,200' +/- with inclination building to 81° by intermediate casing point at 3,671'. Once intermediate casing is set the 5200 Geo-Pilot will be utilized in the production section. Angle will be built to horizontal and the assembly will be Geo-Steered throughout the payzone until TD is reached which is projected to be 5,300' +/- Sperry directional objectives: 1. Perform job accident and incident free with no environmental violations. 2. Complete drilling phases under planned time and budget 3. No tool failures completing well with prescribed number of BHA's per wellplan 4. Maintain good wellbore tortuosity keeping dogleg rates as close to plan as possible 5. Capture and implement lessons learned for remaining Barrow gas wells 6. Maximize cost savings for the customer JOB SUMMARY Walakpa # 12 Job Summary: Sperry drilling personnel arrived on location 1-12-2012 with rig accepted 1-14-2012. The surface interval was drilled to 1,207' in a single run. No tool problems or NPT occurred during the interval. The assembly did very well and the section was landed 29' high to the proposal line intentionally. This was done to reduce slide footage and lower dogleg rates in the 8-1/2" intermediate section. Intermediate section per directional proposal called for 6° per 100' dogleg rates. These dogleg rates were now reduced to 4.75° per 100' Tools inspected at surface showed no damage and the bit would be run on the next well. Surface casing was run and set with the cement job per program with cement to surface and the plug bumped. The intermediate section went very well with over 400' more footage in this section then the previously drilled Savik wells the slide percentage was actually less. Slide percentage was 29% while the 2 Savik wells had 37% slide percentage in their intermediate section. This can be attributed to the directional plan changes and setting 29' at casing surface point. Casing point for the intermediate section was picked by geology. The assembly accomplished its directional objectives for the intermediate section. The section was landed at the requested inclination and azimuth at the measured depth required. The 7" casing run went very well as well as the cement job. The production interval had problems associated with loss circulation and difficulty building or maintaining angle due to formation pay sand that was extremely unconsolidated. The loss circulation problem resulted in a trip for a dumb iron assembly to deal with the hole problem. The BHA had no tool failures or NPT associated with the run. Once the dumb iron was run and a fibrous LCM pill pumped the assembly drilled 69' blind to ensure no further losses occurred. No losses were seen and the BHA pulled to surface and laid down. The 5200 geo-pilot BHA again went in the hole. Drilling the section was extremely difficult with the assembly exiting the formation at 3 different intervals. Going out of pay was due to drilling a formation that one could almost consider as beach sand as it was Page 1 of 8 JOB SUMMARY impossible to steer the tool with any success. Pay acquired was 955' per geology. TD for well 5,101' MD. This BHA was then used to back ream to the 7" casing shoe no over pull problems seen on the weight indicator during the back ream however between 4,100' and 3,900' some significant problems with the hole being loaded up causing pack off issues arose. Several hours were spent working this area until satisfied the hole was in good shape. Once it was confirmed and confidence was high that liner could be run to bottom without hole problems hampering the liner run the BHA was pulled into the casing. Several circulations were done inside the casing to clean any cuttings that could be laying in the high angle sections of the casing. Once casing was circulated clean the assembly was tripped to surface and laid down. Sperry drilling had no accidents or environmental violations. No tool failures on any of the assemblies ran. All lessons learned were in fact captured and will be implemented on the next well. Several major cost savings were delivered to the customer and are listed in the after action reviews given to the customer. These cost savings if examined closely will show major cost savings. BHA SUMMARY BHA # 1 (Run 100) Was made up to the top of the UBHO at this point HWDP was used to acquire enough footage to trip out and pick up the remaining BHA components Flex collars and Jars. While backing out the top drive from the stump dies were dislodged from the top drive grabber. A partial die was recovered when the assembly was tripped to the top of the MWD HOC. Close inspection down the HOC was done with no visible signs of any section of the missing die. The remaining BHA components were made up. The section was drilled to plan and this BHA reached all of the objectives set forth. It needs to be realized that BHA performance is hard to substantiate when considering ROP. Due to the high volume of clay's drilled the assembly had to be pulled off bottom repeatedly to clean shaker screens etc. For example at 936' MD the entire flow line packed off with clay. Overall performance for the BHA should be considered strong, motor dogleg capability was more than sufficient to follow the directional proposal. MWD detection was extremely good as the flow rate was lowered below the low end threshold due to clay at the shakers and good detection was still prevalent. All BHA components were visibly inspected at surface with no damage visible. The bit was full gauge and graded a 1-1 on the cutting structure with no erosion seen. The bit will be run again on the surface section of the next well. BHA # 2 (Run 200) Picked up BHA tripped in after resolving some ice issues at surface. BHA went through the usual tasks of testing casing swapping mud etc. Finally performing the LOT it was then time to drill ahead in the 8-1/2" intermediate hole section. Motor output was good but erratic to start out with jumping from a 6° output to a 17° dogleg capability at one point (Most probable deflection off a hard spot) The motor output stabilized after roughly 1,500' MD and an average dogleg of close to 10° per 100' was prevalent. The assembly was merged down to the proposal line and rotated ahead in the tangent section once the desired hole angle achieved. The directional plan was designed with a second build after the tangent to increase inclination to 81.° This was not done as the HRZ formation was 61' low to prognosis causing the remaining footage for the section to basically be geo-steered. This was not unexpected and the only change was to hold the lower angle for longer until another marker encountered. The marker the geologist encountered showed that this BHA could go back to drilling the directional plan issued. This was done until the gamma probe showed it had passed a hot gamma spike. With this gamma spike seen the new TD depth was determined to be at 3,680' MD. This was 81' shorter then planned and the assembly was landed with a projected angle at the bit to be 76.5° Planned inclination interpolated from the directional plan called for inclination to be 76.53°. The BHA met all objectives set easily accomplishing the designated list of tasks set forth. Below rotary time may seem somewhat high but does not account for operational problems encountered due to extreme cold weather. This BHA should be considered a success in every aspect. BHA # 3 (Run 300) Assembly drilled into the pay zone and immediate problems with loss circulation occurred. With only 132' of drilled footage this BHA was pulled. No surveys were taken with this assembly and minimal drilling time of only 3.27' hrs for the BHA. Tools examined on surface showed no damage and will be re-run. The MWD pulsar did have quite a lot of LCM material but was still allowing tool communication. The rig pumped an 80 lb per bbl LCM pill from the 7" casing shoe (3,670' MD) with this BHA at a low flow rate. No further circulation was preformed prior to pulling the assembly to surface. For this reason it cannot be said positively that the string was fine and detection still possible. With the MWD tool showing it was pulsing downhole while pumping the LCM at the reduced rate there is every indication the MWD string was still able to obtain detection. But without flowing at the 180 gpm this tool was set for it is not a certainty. BHA # 4: BHA was a dumb iron assembly picked up to allow pumping of high LCM concentrations to stop the hole from taking fluid. This assembly did pump a fiber LCM pill and was then used to drill 69' blind. The reason for this was to stop the loss Page 2 of 8 BHA SUMMARY circulation problems and drill a double to make sure no further losses occurred. The losses were stopped whether from the previous LCM pill spotted with BHA # 3 or the fiber pill pumped with this BHA no losses were visible. The BHA used a mill tooth bit with a bit sub made up to the flex collars from the previous BHA. No stabilization was implemented and the directional driller was confident if 10k-12k could be held for bit weight the assembly would build angle. This would be seen if entering the wellbore with an assembly that carried MWD directional tools. Once the assembly had drilled to 3,881' MD the hole was circulated clean and the BHA hoisted to surface. The bit grade was 0-0-NO-A-E-I-NO-BHA. BHA # 5: 5200 geo-pilot used to drill the production section with negative results. The assembly was virtually unsteerable in the much unconsolidated sands. Angle could not be maintained with the assembly frequently going out of zone. The 5200 geo-pilot delivered 10° dogleg rates in the out of zone shale areas with good tool face tracking and no housing roll. Whenever this assembly drilled in the sand housing roll and tool face tracking problems were constant. Several drilling parameters were tried to solve the steering difficulties with no success. Lower flow rates with increased bit weight did not help. Rotary speeds were varied using different weight on bit combinations and in all these attempts no results were found to solve this steering problem. There is no doubt this difficulty is formation related and the 10° dogleg rate delivered in the shale shows this was not a tool issue. Bit # BHA CHART Run #Motor #Hole Size MD In MD Out TVD In TVD Out Inc In Inc Out Azi In Azi Out Time Drilling Time Circ (in) (ft) (ft) (ft) (ft) (deg) (deg) (deg) (deg) (hr) (hr) 0100 1 1 12.25 96.00 1207.00 73.00 1137.42 0.29 29.28 311.75 101.49 20.41 16.08 0140 12.25 1207.00 1207.00 1137.42 1137.42 29.28 29.28 101.49 101.49 0.00 0.00 0200 2 2 8.5 1207.00 3680.00 1137.42 2275.25 29.28 76.14 101.49 103.40 26.27 24.49 0300 3 6.13 3680.00 3812.00 2275.25 2303.23 76.14 79.38 103.40 105.83 3.27 7.63 0400 4 6.13 3812.00 3881.00 2303.23 2314.94 79.38 81.08 105.83 107.09 2.34 3.71 0500 5RR1 6.13 3881.00 5101.00 2314.94 2472.69 81.08 82.61 107.09 108.20 28.11 14.44 MOTOR RUN SUMMARY 12-1/4" Surface hole section drilled to 1,207'' MD with the 8" Sperrydrill 4/5-5.3 stg performance motor. .Adjustable bend setting of 1.5° was used to complete the 3° per 100' dogleg rate required to drill the section. This motor had no problem achieving required dogleg rates. No motor problems were encountered and this motor delivered good hydraulic horsepower with a low end flow of only 400 gpm. Motor was in very good condition after the run. Post run inspection showed minimal bearing play and no visible damage was seen on this tool. *NOTE* (The original TD depth of 1,190' MD as picked by PRA well site leader was changed while circulating the hole clean per PRA town instructions and the assembly was put back was used to drill another 37' to a new Total Depth for the section at 1,207' MD) Total footage for BHA 1,111' 8-1/2" Intermediate section drilled with a 6-3/4" Sperrydrill 6/7-5.0 stg mudmotor. Adjustable bend setting of 1.5°. Motor easily delivered the dogleg rates needed to follow the proposal. Motor output was good with a good flow rate of 500 gpm to 575 gpm strong hydraulic horse power was delivered. This motor and BHA configuration was easily able to deliver 12° per 100' dogleg rates. Section was drilled to TD closely adhering to the directional proposal with no hole problems encountered. The ROP was controlled and extra circulation time done back reaming for connections to clear heavy clays from the wellbore. This motor and bit combination could have easily drilled the section at a very high ROP. Total footage for BHA 2,473' 6-1/8" Production section was to be drilled with the 5200 geo-pilot. This rotary steerable system began drilling at 3,680' MD. The geo-pilot had only drilled minimal footage when hole problems concerning loss circulation developed and the BHA was hoisted to surface for a dumb iron BHA which could better deal with loss circulation by allowing higher concentrations of LCM to be pumped. Total Footage for BHA 132. The 5200 geo-pilot was picked up and utilized with BHA # 5. This assembly had extreme problems as angle in the pay zone was unable to either be built or held. Out of zone footage accumulated total was 436' Pay zone acquired was 955' Further comments on the geo-pilot performance can be read in the BHA results. The problem centered on unconsolidated Page 3 of 8 MOTOR RUN SUMMARY sands in the production zone. The 5200 geo-pilot had no NPT or failures associated with drilling the horizontal section. Motor # MOTOR CHART Manufacturer Model Lobe OD Gauge Bend DLS (Ori)ROP (Ori) ROP (Rot) (in) (in) (deg) (°/100') (fph) (fph) Sperry Drilling SperryDrill 4:5 8 12.19 1.50 2.75 47.956 58.4751 0.00 0.00 0.00 Sperry Drilling SperryDrill 6:7 6.75 8.31 1.50 0.00 82.854 99.7162 0.00 0.00 40.367 0.00 0.00 29.487 0.00 0.00 43.401 BIT RUN SUMMARY Bit # 1 - BHA 1 (Run 100) 12-1/4" surface bit run was a HDBS Model QHC1GRC Milltooth jetted with 3 x 16 and 1 x 12. Bit graded 1-1 WT-A-E-I-NO-TD Bit footage = 1,111' Bit # 2 - BHA 2 (Run 200) 8-1/2" intermediate bit HDBS FX2526 PDC jetted with 5 X 13 tfa of .6481 Total footage 2,473' grade 0-1-CT-S-X-I-NO-TD Bit was a re-run having already drilled the 2,068' Savik 2 intermediate section accumulating 23.39 drilling hrs. Total accumulated drilling hrs = 49.66 Total combined footage for bit 4,541' Bit # 3 - BHA 3 (Run 300) 6-1/8 Production hole bit HDBS FXG55D Long gauge PDC w/ 5 X 11 jets for a TFA of .464. Previously used on Savik 1 and Savik 2 this bit has an accumulated 2,914' drilled footage with 54.56 drilling hrs last bit grade from Savik 2 was 1-1WT-A-X-I-NO-TD. Bit drilled 132' with BHA # 3 and was pulled due to loss circulation hole problems. New bit grade 1-1-WT-A-X-I-NO-HP. Total bit hrs accumulated 57.83. Drilling hrs BHA 3 were 3.27. Total accumulated bit footage 3,046' Bit # 4 - BHA 4 Utilized a 6-1/8" HDBS Model QHIR milltooth with the jets pulled on a dumbiron assembly. The bit did drill a total of 69' after high concentrations were pumped through the string. With the short drilling footage completed the assembly was pulled to surface with the bit grade being 0-0-NO-A-E-I-NO-BHA. 2.33 Drilling hrs for the bit with 69' total footage. Bit # 3RR1 - BHA 5 (Run 500) Same bit as in BHA # 3 6-1/8 Production hole bit HDBS FXG55D Long gauge PDC w/ 5 X 11 jets for a TFA of .464. This bit drilled for 1,220' in the production zone. Drilling hours for this footage is 28.11. Total accumulated hour’s for the bit 85.94. This bit will be run again on the next well. Bit grade - Total footage on this bit is 4,266' Bit # BIT CHART Manufacturer Style Gauge Gauge Length Nozzles TFA Dull Grades Footage Time Drilling ROP (in) (in) (in2) I O D L B G O R (ft) (hr) (fph) HDBS 622394 12.25 0.5 3x16,1x12 0.70 1-1-WT-A-I-E-NO-TD 1111.00 20.41 54.431 0.00 HDBS FX2526 8.5 3 5x13 0.65 0-1-CT-S-X-I-NO-TD 2473.00 26.27 94.142 HDBS FXG55D 6.13 11 5x11 0.46 1-1-WT-A-X-I-NO-HP 132.00 3.27 40.373 HDBS QHIR 6.13 4 3x26 1.56 0-0-NO-A-E-I-NO-BHA 69.00 2.34 29.494 HDBS FXG55D 6.13 11 5x11 0.46 1-1WT-A-X-I-NO-TD 1220.00 28.11 43.405RR1 Page 4 of 8 HOURS BY OPERATION HOURS PER RUN DAY vs DEPTH (f t ) (Days) FOOTAGE PER RUN (f t ) AVERAGE ROP PER RUN (f p h ) Page 5 of 8 SURFACE HOLE SECTION Surface section drilled to 1,207' MD 1,162' TVD. Final angle 29.86° 101° azimuth. Wellbore placement 29' high of proposal line. Max dogleg for section 5.29° Assembly was kicked off 49' early at 201' Only 1 gyro run was required before MWD directional probe obtained magnetic free survey. Lowered viscosity of 30-40 range aided in allowing a higher ROP as the shakers were able to handle the heavy clays some what better then on the 2 previous Barrow gas wells drilled. The final inclination of 29.86° was 1.7° higher then plan and would aid directional work in the intermediate section. No problems running casing to bottom and a good cement job with cement to surface. INTERMEDIATE HOLE SECTION 1 8-1/2" Intermediate This section was drilled on or ahead of planned days vs. depth. 29% slide percentage was a lower percentage then the Savik 1 or Savik 2 wells. This in part was due changes in the directional plan. This in conjunction with the setting of wellbore placement 29' and 1.7° ahead on inclination allowed for more rotary footage. No NPT time was encountered with BHA tools. MWD detection was very good through out the run. No damage to any BHA components was visible upon inspection at surface. The section was drilled with good placement for drilling the final horizontal production section. Max dogleg for section was 7.35° Depth in 1,207' MD with TD at 3,640' MD Total footage 2,473' the 7" casing run was uneventful with casing going right to bottom. Cement job went per program. INTERMEDIATE HOLE SECTION 2 PRODUCTION HOLE SECTION Walakpa # 12 Production interval did not go any where close to plan. Heavy losses began as soon as the bit drilled into the top of the pay zone. As the bit drilled into the sand a 40 bbl loss was immediately noted. The assembly was pulled back into the 7" casing shoe. Loss circulation material was pumped repeatedly with a static loss rate down to almost nothing it was decided to drill enough footage to log the area where losses occurred. Due to the extreme cold weather temperature of -50° below zero the transducer coming off the standpipe to the MWD unit had to be steamed as it was not registering. Once pressure was seen through the transducer pumps were at 180 gpm but no detection was coming from the tools. It was thought that with all the LCM pumped some had settled out on top of the pulser assembly. Water was pumped through the BHA and whatever the obstruction was it was cleared. Good detection was noted and a signal successfully sent to the geo- pilot. Drilling was initiated with loss rate increasing as more hole was drilled. The loss rate climbed to 170 bbl per hour and drilling was discontinued at 3,812'. The 7" casing shoe being at 3,670' meant very little hole had been drilled and the hole problem of losing mud would need to be resolved or minimized before this section could be drilled to TD. Discussion was already taking place concerning what the minimum footage requirement would be to call the well at TD. A dumb iron BHA was picked up and tripped in the hole. This assembly was used to pump a fibrous LCM pill. It should be stated that the previous rotary steerable BHA was used to pump an 80 lb per bbl LCM pill. With the dumb iron BHA pumping the fiber pill 40 bbl was pumped to get this pill to the bit. While pumping the 40 bbl's full returns were seen with no loss of fluid. It is the opinion of personnel on the rig that the 80 lb per bbl pill had worked in solving the loss circulation problem. Whether the fiber LCM pill or the 80 lb per bbl LCM pill solved the loss of circulation problem can be discussed in detail at a later date. Fact remains that either way the hole was not taking fluid. The dumb iron assembly was then tasked with drilling 69' to see if any more losses would be encountered. No further losses were encountered and the assembly was then hoisted to surface and laid down. The 5200 geo-pilot BHA was then picked back up. This BHA had severe problems holding angle as it was drilling much unconsolidated sand. The assembly was not able to build and went out of the bottom of the pay zone. Once in the shale section below pay the geo-pilot delivered 10° dogleg rates angle was built to 99° and the BHA entered the pay zone once again. The high angle had been built with the thought that once back in pay the severe drop of angle would again plague the assembly. Higher angle would mean more in zone footage before exiting the pay. The assembly did not drop at the previous rate and unfortunately the assembly had now drilled out of the top of the zone. The assembly was out of zone for 173' before reacquiring good pay sand. Drilling continued until the assembly bottomed out of pay again and TD for the well was called at 5,101' MD 2,367' TVD. The BHA was then used to backream the section to the 7" casing shoe. Cost Savings Innovations and/or cost savings: Gyro was taken in one run saving several hrs of rig time. Drilling the section had more rotation and less slide time then per plan as assembly was kicked off of vertical 44’ early and easily was ahead of proposal line allowing for 66% rotary percentage. This is far more rotation then on the previous 2 Barrow Page 6 of 8 Cost Savings gas wells. BHA components laid down with minimal breaks saving well over an hr of rig time. No lubes were added for the section saving the customer an unknown amount of money. Approximately 900 bbl of mud on the intermediate hole section. Using 3% as a normal concentration equates to 27 bbl of lube which is 21 drums. 21 x $1454.68 = $30,0548.28” savings to the customer Using the 4” XT-39 HWDP from beginning of well through all sections saves several hrs rig time picking up and laying down different size HWDP. Rig operating cost $9,400 per hour X 9 hrs for the well = $ 84,600.0 savings Directional plan changes lowered the slide percentage for section to 29% Savik 1 and 2 required 37% slide percentage. The Walakpa intermediate has only 29% slide percentage yet was 415’ longer in footage averaging both Savik 1-2 wells. Saving considerable amount of rig time and money. Using the same PDC bit used on Savik 2 saved additional bit cost. Another Milltooth would cost between $10,000.00 and $13,000.00 A new PDC bit cost is $42,500.00. Total savings was $52,500.00 Tools laid down with as few breaks as possible to minimize pick up time on next well will save at a minimum of 2 hrs on each the surface and intermediate BHA’s. The above mentioned innovations and cost savings may not come with a dollar amount attached for the reduced slide percentage compared to the previous wells but if closely examined the cost saving realized on this section could be considered enormous in the opinion of the lead directional driller. Page 7 of 8 AK - X X - 0 0 0 8 3 7 0 3 5 8 No r t h S l o p e B o r o u g h Wa l a k p a # 1 2 Ku u k p i k 5 Walakpa Gas Field MD (f t ) Fo r m a t i o n N a m e MD / T V D ( f t ) In c l i n a t i o n ( d e g ) DL S ( ° / 1 0 0 ' ) Bi t D a t a D r i l l i n g Pa r a m e t e r s Mo t o r B H A St a b i l i z e r s Co m m e n t s R u n # @ MD (ft) In c DL S 02 0 4 0 6 0 8 0 02 4 6 8 62 2 3 9 4 3x 1 6 , 1 x 1 2 54 . 4 3 f p h 20 . 4 1 h r 0. 0 h r FX 2 5 2 6 5x 1 3 94 . 1 4 f p h 26 . 2 7 h r FX G 5 5 D 5x 1 1 40 . 3 7 f p h 3. 2 7 h r QH I R 3x 2 6 29 . 4 9 f p h 2. 3 4 h r FX G 5 5 D 5x 1 1 43 . 4 f p h 28 . 1 1 h r WO B 1 2 . 2 1 k l b RP M 4 5 FL O 4 6 2 . 6 9 g p m SP P 1 1 0 4 . 4 6 p s i g WO B 6 . 5 8 k l b RP M 6 1 . 9 FL O 4 5 8 . 7 7 g p m SP P 1 5 3 5 . 5 4 p s i g WO B 1 2 . 5 k l b RP M 6 0 FL O 1 8 8 . 3 3 g p m SP P 1 1 0 3 . 3 3 p s i g WO B 1 1 k l b RP M 5 5 FL O 1 8 0 g p m SP P 4 0 0 p s i g WO B 1 2 . 3 3 k l b RP M 6 5 . 4 2 FL O 1 6 5 . 2 1 g p m SP P 9 4 0 . 8 3 p s i g 8" S p e r r y D r i l l 4/ 5 1. 5 d e g 6. 7 5 " S p e r r y D r i l l 6/ 7 1. 5 d e g 6. 1 i n @ 6 7 . 7 4 f t 6. 1 i n @ 6 7 . 7 5 f t Se n s o r d i s t a n c e s = 3 9 . 7 1 ' D i r e c t i o n a l / G a m m a = 4 8 . 1 9 ' / R e s = 55 . 7 4 ' | R i g f l o o r o f f s e t = 4 1 2 / 8 0 2 x 3 6 0 = 1 8 4 . 9 4 ° Se n s o r d i s t a n c e s - D i r e c t i o n a l 3 2 . 4 4 ' / G a m m a 4 3 . 6 7 ' / R e s 5 2 . 2 2 ' / P W D 60 . 5 0 ' | M a x f l o w 5 5 0 G P M / M a x R o t a r y S p e e d 8 0 R P M / M a x b i t w e i g h t 15 K o r a s p e r d i r c t i o n a l d r i l l e r Se n s o r D i s t a n c e s : A B I - 1 1 . 1 8 ' / R e s - 4 2 . 1 8 ' / G a m m a - 4 9 . 1 6 ' / V i b r a t i o n DD S - 5 2 . 0 8 ' / P W D - 6 2 . 4 5 ' / D i r e c t i o n a l 7 5 . 5 4 ' | M a x b i t w t - 1 2 k / F l o w ra t e 1 8 0 g p m - 2 5 0 g p m / R o t a r y s p e e d M a x 1 4 0 r p m Du m b I r o n a s s e m b l y w i t h n o M W D c o m p o n e n t s . D r i l l i n g p a r a m e t e r s p e r PR A w e l l s i t e l e a d e r s Se n s o r D i s t a n c e s : A B I - 1 1 . 1 8 ' / R e s - 4 2 . 1 7 ' / G a m m a - 4 9 . 2 3 ' / P W D - 62 . 4 4 ' / D i r e c t i o n a l - 7 4 . 9 1 ' #100 @ 96.0 #140 @ 1207.0 #200 @ 1207.0 #300 @ 3680.0 #400 @ 3812.0 #500 @ 3881.0 50 . 0 0 25 0 . 0 0 45 0 . 0 0 65 0 . 0 0 85 0 . 0 0 10 5 0 . 0 0 12 5 0 . 0 0 14 5 0 . 0 0 16 5 0 . 0 0 18 5 0 . 0 0 20 5 0 . 0 0 22 5 0 . 0 0 24 5 0 . 0 0 26 5 0 . 0 0 28 5 0 . 0 0 30 5 0 . 0 0 32 5 0 . 0 0 34 5 0 . 0 0 36 5 0 . 0 0 38 5 0 . 0 0 40 5 0 . 0 0 42 5 0 . 0 0 44 5 0 . 0 0 46 5 0 . 0 0 48 5 0 . 0 0 50 5 0 . 0 0 52 5 0 . 0 0 54 5 0 . 0 0 56 5 0 . 0 0 Wa l a p k a s a n d s Wa l a k p a S a n d s Ba r r o w Ku u p i k 5 AK - M J - 0 0 0 8 3 7 0 3 5 8 MD (f t ) In c (d e g ) Az m (d e g ) TV D (f t ) Ve r t i c a l Se c t i o n (f t ) DL S (° / 1 0 0 ' ) Bu i l d (° / 1 0 0 ' ) Tu r n (° / 1 0 0 ' ) MD Fr o m (f t ) MD To (f t ) Dr i l l i n g Mo d e TF O (d e g ) GP De f l (% ) Ro t a r y RP M WO B (K L B S ) Fl o w Ra t e (g p m ) RO P (f p h ) Dh o l e Te m p (° ) To r q u e ( f t / l b s ) SP P Of f - BT M (p s i ) SP P On - BT M (p s i ) Pi c k - U p We i g h t ( l b s ) Sl a c k - Of f We i g h t ( l b s ) Ro t a t e On - B t m We i g h t ( l b s ) Comments 96 9 8 R o t a t e 4 5 1 0 4 0 0 3 6 7 0 7 2 0 11 2 . 0 0 0 . 3 3 3 1 1 . 0 7 1 1 2 . 0 0 - 0 . 2 6 0 . 0 0 0 . 0 0 0 . 0 0 9 8 1 4 0 R o t a t e 4 5 1 0 4 2 5 9 0 7 0 0 7 4 0 16 2 . 0 6 0 . 1 8 3 1 6 . 1 9 1 6 2 . 0 6 - 0 . 4 5 0 . 3 0 - 0 . 3 0 1 0 . 2 3 1 4 0 2 0 1 R o t a t e 4 5 1 0 4 2 5 6 2 2 0 0 0 7 0 0 7 4 0 4 3 4 3 4 4 22 4 . 9 0 1 . 7 5 8 4 . 2 9 2 2 4 . 8 9 0 . 3 9 2 . 9 7 2 . 5 0 2 0 3 . 8 5 20 1 2 4 5 S l i d e 1 0 6 ° M 1 5 4 6 5 7 6 8 1 0 9 2 0 K i c k e d o f f v e r t i c a l s l i d i n g 1 0 0 M 25 5 . 0 9 2 . 4 3 9 1 . 5 9 2 5 5 . 0 6 1 . 4 6 2 . 4 1 2 . 2 5 2 4 . 1 8 2 4 5 2 6 6 R o t a t e 4 5 1 0 4 2 5 6 3 2 0 0 0 7 0 0 7 4 0 4 3 4 3 4 4 26 6 2 8 1 R o t a t e 4 5 1 0 4 2 5 9 4 1 8 0 0 7 0 0 7 4 0 4 3 4 3 4 4 28 1 2 9 7 S l i d e 1 1 0 ° M 1 5 4 6 5 7 6 8 2 0 9 4 0 31 7 . 8 4 5 . 6 5 9 7 . 8 9 3 1 7 . 6 5 5 . 8 6 5 . 1 7 5 . 1 3 1 0 . 0 4 29 7 3 3 8 S l i d e 1 2 0 ° M 1 5 4 6 5 7 6 8 2 0 9 4 0 35 3 . 7 7 7 . 1 5 9 9 . 7 1 3 5 3 . 3 5 9 . 8 6 4 . 2 1 4 . 1 7 5 . 0 7 3 3 8 3 5 9 R o t a t e 4 5 1 0 4 6 5 9 4 1 5 0 0 7 0 0 8 5 0 4 3 4 3 4 4 35 9 3 7 9 S l i d e 1 0 ° G 1 2 4 6 5 5 0 8 2 0 1 0 5 0 38 0 . 3 2 7 . 7 5 9 9 . 3 1 3 7 9 . 6 8 1 3 . 3 0 2 . 2 7 2 . 2 6 - 1 . 5 1 3 7 9 4 0 9 R o t a t e 4 5 1 0 4 6 5 8 5 1 5 2 0 9 0 0 1 0 5 0 4 3 3 8 4 3 40 9 4 2 0 S l i d e 1 0 ° G 1 2 4 7 5 7 3 1 0 0 0 1 1 2 5 44 2 . 8 6 1 1 . 0 6 9 9 . 6 6 4 4 1 . 3 7 2 3 . 5 1 5 . 2 9 5 . 2 9 0 . 5 6 42 0 4 5 5 S l i d e 1 2 ° G 1 2 4 8 5 8 5 1 0 0 0 1 1 5 0 M o t o r o u t p u t 1 0 . 1 2 ° p e r 1 0 0 ' 45 5 4 8 2 R o t a t e 4 5 1 2 4 8 5 6 3 1 0 0 0 1 1 5 0 50 4 . 6 3 1 2 . 2 1 9 8 . 0 0 5 0 1 . 8 7 3 5 . 9 6 1 . 9 4 1 . 8 6 - 2 . 6 9 4 8 2 5 4 4 R o t a t e 4 5 1 2 4 8 0 7 6 1 7 2 5 1 0 0 0 1 1 8 2 4 3 4 0 4 3 56 6 . 4 7 1 2 . 6 6 9 8 . 1 0 5 6 2 . 2 6 4 9 . 2 6 0 . 7 3 0 . 7 3 0 . 1 6 5 4 4 6 0 6 R o t a t e 4 5 1 2 4 8 0 5 9 1 0 0 0 1 1 8 2 62 8 . 6 7 1 3 . 2 8 9 8 . 3 2 6 2 2 . 8 7 6 3 . 2 0 1 . 0 0 1 . 0 0 0 . 3 5 6 0 6 6 3 5 R o t a t e 4 5 1 2 4 8 0 6 0 1 0 0 0 1 2 2 5 63 5 6 6 9 R o t a t e 4 5 1 2 4 8 0 6 2 1 1 0 0 1 2 5 0 68 8 . 6 0 1 5 . 3 6 1 0 1 . 2 8 6 8 0 . 9 3 7 8 . 0 1 3 . 6 8 3 . 4 7 4 . 9 4 66 9 6 8 9 S l i d e 6 0 ° G 1 4 4 8 0 5 7 1 0 0 0 1 1 5 0 H i g h t o l i n e a n d a h e a d o n i n c l i n a t i o n 68 9 7 2 9 R o t a t e 4 5 1 2 4 8 0 7 1 1 9 5 0 1 1 0 0 1 2 5 0 4 4 4 4 4 4 75 3 . 2 7 1 5 . 7 6 1 0 1 . 8 5 7 4 3 . 2 3 9 5 . 3 6 0 . 6 6 0 . 6 2 0 . 8 8 7 2 9 7 9 2 R o t a t e 4 5 1 2 4 8 0 7 4 1 9 5 0 1 1 0 0 1 2 5 0 4 4 4 4 4 4 81 3 . 1 8 1 5 . 9 5 1 0 2 . 4 6 8 0 0 . 8 7 1 1 1 . 7 2 0 . 4 2 0 . 3 2 1 . 0 2 7 9 2 8 5 5 R o t a t e 4 5 1 2 4 8 0 7 6 1 1 0 0 1 2 5 0 C o n t i n u a l l y p i c k i n g u p o f f b o t t o m d u e t o e x c e s s c l a y 87 9 . 3 3 1 8 . 2 0 1 0 2 . 1 7 8 6 4 . 1 0 1 3 1 . 1 4 3 . 4 0 3 . 4 0 - 0 . 4 4 85 5 9 0 0 S l i d e - 1 0 ° G 1 4 4 8 0 3 9 1 0 0 0 1 1 5 0 90 0 9 1 4 R o t a t e 4 5 1 2 4 8 0 4 7 1 9 5 0 1 1 0 0 1 2 5 0 91 4 9 2 0 R o t a t e 4 5 1 2 4 8 0 4 5 1 1 0 0 1 2 5 0 92 0 9 3 7 R o t a t e 4 5 1 2 4 8 0 5 4 1 1 0 0 1 2 5 0 93 7 9 4 0 R o t a t e 4 5 1 2 4 8 0 4 5 1 9 5 0 1 1 0 0 1 2 5 0 4 9 4 7 4 8 F l o w l i n e p a c k e d o f f w i t h c l a y 94 3 . 5 7 2 0 . 7 4 1 0 1 . 7 6 9 2 4 . 6 6 1 5 2 . 5 5 3 . 9 6 3 . 9 5 - 0 . 6 4 94 0 9 7 5 S l i d e - 2 0 ° G 1 4 4 8 0 3 2 1 0 0 0 1 1 5 0 2 8 ' h i g h t o d i r e c t i o n a l l i n e 1 / 2 d e g r e e b e l o w p l a n n e d 97 5 9 8 3 R o t a t e 4 5 1 2 4 8 0 4 0 1 9 5 0 1 1 0 0 1 2 5 0 4 9 4 7 4 8 10 0 6 . 9 1 2 2 . 7 3 1 0 0 . 8 2 9 8 3 . 4 9 1 7 6 . 0 0 3 . 1 9 3 . 1 4 - 1 . 4 8 9 8 3 1 0 1 0 R o t a t e 4 5 1 2 4 8 0 5 8 1 9 5 0 1 1 0 0 1 2 5 0 4 9 4 7 4 8 10 1 0 1 0 3 0 S l i d e 0 ° G 1 4 4 5 0 2 6 1 0 0 0 1 1 5 0 10 3 0 1 0 4 6 R o t a t e 4 5 1 2 4 5 0 3 2 1 9 5 0 1 1 2 5 1 2 5 0 4 9 4 7 4 8 10 4 6 1 0 5 5 R o t a t e 4 5 1 2 4 5 0 6 9 1 9 5 0 1 1 2 5 1 2 5 0 4 9 4 7 4 8 10 7 1 . 0 1 2 5 . 3 2 1 0 0 . 8 4 1 0 4 2 . 0 3 2 0 2 . 1 0 4 . 0 4 4 . 0 4 0 . 0 3 10 5 5 1 1 0 4 S l i d e 0 ° G 1 4 4 5 0 5 4 1 0 0 0 1 1 5 0 F l o w l i n e p a c k e d o f f w i t h c l a y s e v e r a l t i m e s 11 0 4 1 1 1 0 R o t a t e 4 5 1 2 4 3 0 7 5 1 9 5 0 1 0 7 0 1 1 3 0 4 9 4 7 4 8 11 2 9 . 1 7 2 7 . 5 4 1 0 1 . 5 8 1 0 9 4 . 1 1 2 2 7 . 9 8 3 . 8 6 3 . 8 2 1 . 2 7 1 1 1 0 1 1 3 0 R o t a t e 4 5 1 2 4 5 0 5 5 1 9 5 0 1 1 0 0 1 2 0 0 4 9 4 7 4 8 11 6 6 . 3 9 2 9 . 8 6 1 0 1 . 0 1 1 1 2 6 . 7 6 2 4 5 . 8 6 6 . 2 8 6 . 2 3 - 1 . 5 3 11 3 0 1 1 7 0 S l i d e 0 ° G 1 5 4 5 0 3 5 1 9 5 0 1 0 0 0 1 1 5 0 4 9 4 7 4 8 T D 1 2 - 1 / 4 " S u r f a c e h o l e , D e c i s i o n M a d e t o D r i l l 3 7 ' 11 7 0 1 1 7 3 R o t a t e 4 5 1 2 4 5 0 6 0 1 9 5 0 1 1 0 0 1 2 0 0 4 9 4 7 4 8 11 7 3 1 2 0 7 R o t a t e 4 5 1 2 4 5 0 3 4 1 9 5 0 1 1 0 0 1 2 0 0 5 0 4 7 4 9 T D 1 2 - 1 / 4 S u r f a c e H o l e 12 0 7 1 2 2 7 R o t a t e 4 0 5 4 0 0 5 5 9 2 0 9 3 0 12 2 7 1 2 4 1 R o t a t e 5 0 5 4 0 0 1 0 7 1 8 0 0 9 2 0 9 3 0 5 0 4 6 4 6 12 4 1 1 2 6 6 S l i d e 0 ° G 5 4 0 0 1 2 5 9 2 0 9 3 0 M o t o r o u t p u t 6 . 4 5 ° p e r 1 0 0 ' 12 7 1 . 9 2 3 1 . 0 3 1 0 1 . 5 1 1 2 1 7 . 7 3 2 9 9 . 3 3 1 . 1 3 1 . 1 1 0 . 4 7 1 2 6 6 1 3 0 5 R o t a t e 5 0 5 4 0 0 1 0 5 1 8 0 0 9 2 0 9 3 0 5 0 4 6 4 6 13 3 2 . 7 5 3 4 . 2 5 9 9 . 8 3 1 2 6 8 . 9 5 3 3 2 . 1 3 5 . 5 0 5 . 2 9 - 2 . 7 6 13 0 5 1 3 5 5 S l i d e - 1 0 ° G 8 4 5 0 1 1 6 1 1 0 0 1 2 2 5 13 5 5 1 3 6 7 R o t a t e 5 0 8 4 5 0 9 2 1 8 5 0 1 1 0 0 1 2 6 0 5 1 4 7 4 8 Op e r a t o r : We l l : Fi e l d : Lo c a t i o n : Ri g : Jo b # : PR A Wa l a k p a 1 2 Ba r r o w G a s F i e l d Da t e : 2 / 8 / 2 0 1 2 Page: 1 of 3 MD (f t ) In c (d e g ) Az m (d e g ) TV D (f t ) Ve r t i c a l Se c t i o n (f t ) DL S (° / 1 0 0 ' ) Bu i l d (° / 1 0 0 ' ) Tu r n (° / 1 0 0 ' ) MD Fr o m (f t ) MD To (f t ) Dr i l l i n g Mo d e TF O (d e g ) GP De f l (% ) Ro t a r y RP M WO B (K L B S ) Fl o w Ra t e (g p m ) RO P (f p h ) Dh o l e Te m p (° ) To r q u e ( f t / l b s ) SP P Of f - BT M (p s i ) SP P On - BT M (p s i ) Pi c k - U p We i g h t ( l b s ) Sl a c k - Of f We i g h t ( l b s ) Ro t a t e On - B t m We i g h t ( l b s ) Comments 13 6 7 1 3 9 0 S l i d e 0 ° G 8 4 5 0 9 2 1 1 0 0 1 2 2 5 13 9 6 . 2 3 3 6 . 2 0 9 7 . 6 4 1 3 2 0 . 8 1 3 6 8 . 7 0 3 . 6 6 3 . 0 7 - 3 . 4 5 1 3 9 0 1 4 3 3 R o t a t e 5 0 8 4 5 0 6 9 1 9 0 0 1 1 0 0 1 2 6 0 5 2 4 8 4 8 14 6 1 . 3 7 3 9 . 5 9 1 0 3 . 1 5 1 3 7 2 . 2 2 4 0 8 . 6 7 7 . 3 5 5 . 2 0 8 . 4 6 14 3 3 1 4 7 8 S l i d e 0 ° G 8 4 5 0 1 1 8 1 1 0 0 1 2 2 5 14 7 8 1 4 9 6 R o t a t e 5 0 8 4 5 0 1 5 0 2 0 0 0 1 1 0 0 1 2 6 0 5 2 4 9 5 0 14 9 6 1 5 1 6 S l i d e 0 ° G 8 4 5 0 8 0 1 1 8 0 1 2 8 0 M o t o r o u t p u t 1 7 . 0 9 ° ( D e f l e c t i o n ? ) 15 2 4 . 6 4 4 2 . 1 5 1 0 0 . 0 6 1 4 2 0 . 0 6 4 5 0 . 0 6 5 . 1 5 4 . 0 5 - 4 . 8 8 1 5 1 6 1 5 5 8 R o t a t e 5 0 8 4 5 0 1 2 0 2 0 0 0 1 1 8 0 1 2 3 0 5 2 4 9 5 0 15 8 8 . 9 8 4 5 . 5 7 9 7 . 7 2 1 4 6 6 . 4 5 4 9 4 . 5 9 5 . 8 8 5 . 3 2 - 3 . 6 4 15 5 8 1 6 0 2 S l i d e 0 ° G 8 4 5 0 1 1 9 1 1 8 0 1 2 8 0 16 0 2 1 6 2 2 R o t a t e 5 0 8 4 5 0 1 1 1 2 0 0 0 1 3 4 0 1 4 0 0 5 2 4 9 5 0 16 2 2 1 6 5 0 S l i d e 0 ° G 1 0 4 5 0 1 2 2 1 2 2 0 1 3 5 0 16 5 1 . 8 8 4 9 . 0 1 9 7 . 7 7 1 5 0 9 . 1 1 5 4 0 . 7 2 5 . 4 7 5 . 4 7 0 . 0 8 1 6 5 0 1 6 8 5 R o t a t e 5 0 1 0 4 6 5 1 0 0 2 0 0 0 1 3 3 0 1 4 5 0 5 2 4 9 5 0 17 1 5 . 6 7 5 2 . 5 4 9 9 . 5 5 1 5 4 9 . 4 4 5 9 0 . 0 9 5 . 9 4 5 . 5 3 2 . 7 9 16 8 5 1 7 3 5 S l i d e 0 ° G 1 0 4 5 0 1 3 0 1 2 2 0 1 3 5 0 17 3 5 1 7 4 8 R o t a t e 5 0 4 4 6 5 9 8 2 2 5 0 1 3 3 0 1 4 5 0 5 5 5 0 5 2 17 4 8 1 7 6 0 S l i d e 2 0 ° G 1 0 4 5 0 1 4 4 1 2 2 0 1 3 5 0 17 7 9 . 0 4 5 4 . 8 7 9 8 . 4 4 1 5 8 6 . 9 5 6 4 1 . 1 2 3 . 9 4 3 . 6 8 - 1 . 7 5 1 7 6 0 1 8 1 2 R o t a t e 5 0 5 4 6 5 1 0 4 2 7 5 0 1 3 3 0 1 4 5 0 5 6 5 1 5 3 18 4 1 . 5 5 5 7 . 7 6 9 8 . 8 9 1 6 2 1 . 6 2 6 9 3 . 0 8 4 . 6 6 4 . 6 2 0 . 7 2 18 1 2 1 8 6 0 S l i d e 3 0 ° G 1 0 4 5 0 9 3 1 2 2 0 1 3 5 0 18 6 0 1 8 7 4 R o t a t e 5 0 5 4 6 5 7 0 2 9 0 0 1 3 3 0 1 4 5 0 5 7 5 1 5 4 18 7 4 1 8 9 0 R o t a t e 5 0 5 4 6 5 1 0 4 3 0 0 0 1 3 3 0 1 4 5 0 5 8 5 2 5 5 19 0 5 . 6 0 6 0 . 2 9 1 0 0 . 4 0 1 6 5 4 . 5 8 7 4 7 . 9 8 4 . 4 4 3 . 9 5 2 . 3 6 18 9 0 1 9 3 8 S l i d e 3 0 ° G 1 0 4 5 0 1 0 7 1 2 2 0 1 3 5 0 19 6 7 . 9 3 6 3 . 2 2 1 0 2 . 2 7 1 6 8 4 . 0 8 8 0 2 . 8 8 5 . 3 9 4 . 7 0 3 . 0 0 1 9 3 8 1 9 7 0 R o t a t e 5 0 5 4 6 5 1 2 8 3 0 0 0 1 3 3 0 1 4 5 0 5 8 5 2 5 5 19 7 0 2 0 0 1 S l i d e 3 0 ° G 1 0 4 5 0 5 6 1 2 2 0 1 3 5 0 20 0 1 2 0 2 5 R o t a t e 6 5 5 4 6 5 1 4 4 3 0 0 0 1 3 3 0 1 4 5 0 5 8 5 2 5 5 20 3 1 . 7 4 6 6 . 4 2 1 0 1 . 7 3 1 7 1 1 . 2 2 8 6 0 . 6 1 5 . 0 7 5 . 0 1 - 0 . 8 5 20 2 5 2 0 5 0 S l i d e 0 ° G 1 0 4 5 0 6 8 1 2 2 0 1 3 5 0 S l i d i n g e a s y w / N o L u b e s a d d e d i n s e c t i o n 20 5 0 2 0 6 5 R o t a t e 7 0 5 4 6 5 9 0 3 0 0 0 1 3 3 0 1 4 5 0 5 9 5 2 5 5 20 9 5 . 4 3 6 7 . 4 5 1 0 1 . 4 3 1 7 3 6 . 1 8 9 1 9 . 2 0 1 . 6 7 1 . 6 2 - 0 . 4 7 2 0 6 5 2 1 2 8 R o t a t e 7 0 5 4 6 5 1 0 8 2 9 0 0 1 3 3 0 1 4 5 0 5 9 5 2 5 5 21 2 8 2 1 5 6 S l i d e 0 ° G 1 0 4 5 0 1 0 5 1 2 2 0 1 3 5 0 21 5 7 . 3 8 6 9 . 9 0 1 0 1 . 8 7 1 7 5 8 . 7 0 9 7 6 . 9 0 4 . 0 1 3 . 9 5 0 . 7 1 2 1 5 6 2 1 9 1 R o t a t e 7 0 5 4 6 5 1 0 0 2 6 0 0 1 3 3 0 1 4 5 0 5 9 5 2 5 5 22 2 2 . 4 4 7 0 . 1 6 1 0 1 . 3 0 1 7 8 0 . 9 2 1 0 3 8 . 0 5 0 . 9 2 0 . 4 0 - 0 . 8 8 2 1 9 1 2 2 5 5 R o t a t e 7 0 5 4 6 5 8 9 2 5 0 0 1 3 3 0 1 4 5 0 6 0 5 2 5 5 22 5 5 2 2 6 5 S l i d e 1 8 0 ° G 1 0 4 5 0 6 3 1 2 2 0 1 3 5 0 22 8 5 . 9 3 6 9 . 5 7 1 0 1 . 8 7 1 8 0 2 . 7 8 1 0 9 7 . 6 6 1 . 2 5 - 0 . 9 3 0 . 9 0 2 2 6 5 2 3 1 8 R o t a t e 7 0 5 4 6 5 9 8 2 5 0 0 1 3 3 0 1 4 5 0 6 0 5 2 5 5 23 5 0 . 4 3 6 9 . 5 6 1 0 0 . 8 3 1 8 2 5 . 3 0 1 1 5 8 . 0 9 1 . 5 1 - 0 . 0 2 - 1 . 6 1 2 3 1 8 2 3 8 3 R o t a t e 7 0 5 4 6 5 1 0 3 2 5 0 0 1 3 3 0 1 4 5 0 6 0 5 2 5 5 24 1 1 . 9 5 6 9 . 2 1 1 0 0 . 4 5 1 8 4 6 . 9 6 1 2 1 5 . 6 7 0 . 8 1 - 0 . 5 7 - 0 . 6 2 2 3 8 3 2 4 4 5 R o t a t e 7 0 5 4 6 5 1 0 7 2 5 0 0 1 3 3 0 1 4 5 0 6 0 5 2 5 5 24 7 1 . 6 3 6 9 . 2 0 1 0 0 . 2 3 1 8 6 8 . 1 5 1 2 7 1 . 4 6 0 . 3 5 - 0 . 0 2 - 0 . 3 7 2 4 4 5 2 5 0 8 R o t a t e 7 0 5 4 7 0 9 6 2 7 0 0 1 5 9 5 1 6 9 0 6 0 5 2 5 5 25 3 9 . 2 0 6 9 . 2 5 9 9 . 1 6 1 8 9 2 . 1 2 1 3 3 4 . 6 2 1 . 4 8 0 . 0 7 - 1 . 5 8 2 5 0 8 2 5 7 1 R o t a t e 7 0 5 4 7 0 1 0 0 2 7 0 0 1 5 7 5 1 7 3 0 6 0 5 2 5 5 26 0 1 . 9 1 6 8 . 7 8 9 9 . 3 1 1 9 1 4 . 5 7 1 3 9 3 . 1 4 0 . 7 8 - 0 . 7 5 0 . 2 4 2 5 7 1 2 6 3 6 R o t a t e 7 0 5 4 7 0 1 0 4 2 7 0 0 1 5 7 5 1 7 5 0 6 0 5 2 5 5 26 6 6 . 3 2 6 8 . 4 1 9 9 . 1 2 1 9 3 8 . 0 8 1 4 5 3 . 0 7 0 . 6 4 - 0 . 5 7 - 0 . 2 9 2 6 3 6 2 6 9 9 R o t a t e 7 0 5 4 7 0 1 1 4 2 7 0 0 1 5 9 5 1 7 5 0 6 0 5 2 5 5 27 2 8 . 6 2 6 8 . 2 0 9 8 . 1 1 1 9 6 1 . 1 1 1 5 1 0 . 9 1 1 . 5 4 - 0 . 3 4 - 1 . 6 2 2 6 9 9 2 7 6 1 R o t a t e 7 0 5 4 7 0 1 1 7 2 7 0 0 1 6 0 0 1 8 2 5 6 0 5 2 5 5 27 6 1 2 7 7 6 S l i d e 4 5 ° G 8 4 7 0 1 2 5 1 6 0 0 1 8 3 0 M o t o r o u t p u t d r o p p e d T / 4 . 3 ° p e r 1 0 0 ' 27 9 1 . 9 7 6 8 . 8 8 9 8 . 2 7 1 9 8 4 . 2 9 1 5 6 9 . 7 9 1 . 1 0 1 . 0 7 0 . 2 5 2 7 7 6 2 8 2 5 R o t a t e 7 0 5 4 7 0 1 0 2 1 6 5 0 1 8 5 0 28 5 6 . 1 7 6 8 . 5 7 9 8 . 0 3 2 0 0 7 . 5 8 1 6 2 9 . 5 4 0 . 6 0 - 0 . 4 8 - 0 . 3 7 2 8 2 5 2 8 8 8 R o t a t e 7 0 5 4 7 0 1 0 0 2 7 0 0 1 6 7 5 1 8 4 0 6 0 5 2 5 5 29 1 8 . 7 3 6 8 . 6 0 9 7 . 1 3 2 0 3 0 . 4 2 1 6 8 7 . 6 7 1 . 3 4 0 . 0 5 - 1 . 4 4 2 8 8 8 2 9 5 1 R o t a t e 7 0 5 4 7 0 1 1 4 2 7 5 0 1 6 7 5 1 8 4 0 6 1 5 2 5 5 29 5 1 2 9 7 6 S l i d e 1 3 5 ° G 8 4 7 0 1 0 0 1 6 0 0 1 8 3 0 S l i d e t / C o r r e c t a z 29 8 1 . 8 3 6 7 . 5 7 9 8 . 3 0 2 0 5 3 . 9 8 1 7 4 6 . 1 0 2 . 3 7 - 1 . 6 3 1 . 8 5 2 9 7 6 3 0 1 5 R o t a t e 7 0 5 4 7 0 1 1 1 2 7 5 0 1 6 7 5 1 8 4 0 6 1 5 2 5 5 30 4 1 . 2 4 6 7 . 1 8 1 0 0 . 2 6 2 0 7 6 . 8 3 1 8 0 0 . 9 1 3 . 1 2 - 0 . 6 6 3 . 3 0 30 1 5 3 0 6 5 S l i d e 9 0 ° G 8 4 7 0 9 1 1 6 0 0 1 8 3 0 S l i d e t / C o r r e c t a z 5 0 ' s l i d e 30 6 5 3 0 7 7 R o t a t e 7 0 5 4 7 0 7 2 2 9 0 0 1 6 7 5 1 8 4 0 6 2 5 2 5 5 31 0 8 . 1 1 6 6 . 5 1 1 0 2 . 0 0 2 1 0 3 . 1 3 1 8 6 2 . 3 9 2 . 5 9 - 1 . 0 0 2 . 6 0 3 0 7 7 3 1 4 4 R o t a t e 7 0 5 4 7 0 1 2 0 3 0 0 0 1 6 7 5 1 8 4 0 6 2 5 2 5 5 31 4 4 3 1 7 0 S l i d e 4 5 ° G 8 4 7 0 1 0 2 1 6 0 0 1 8 3 0 S l i d e t / C o r r e c t a z / B u i l d I n c 31 7 1 . 6 7 6 7 . 9 0 1 0 4 . 4 6 2 1 2 7 . 7 6 1 9 2 0 . 9 4 4 . 1 8 2 . 1 9 3 . 8 7 3 1 7 0 3 2 0 5 R o t a t e 6 5 5 4 7 0 1 0 0 3 2 0 0 1 6 7 5 1 8 4 0 6 3 5 2 5 5 32 3 4 . 6 5 6 8 . 2 5 1 0 4 . 2 5 2 1 5 1 . 2 7 1 9 7 9 . 2 7 0 . 6 4 0 . 5 6 - 0 . 3 3 3 2 0 5 3 2 6 8 R o t a t e 6 5 5 4 7 0 1 1 8 3 5 0 0 1 6 7 5 1 8 4 0 6 3 5 1 5 5 32 9 8 . 7 1 6 7 . 7 0 1 0 4 . 1 6 2 1 7 5 . 3 0 2 0 3 8 . 5 6 0 . 8 7 - 0 . 8 6 - 0 . 1 4 3 2 6 8 3 3 3 1 R o t a t e 6 5 5 4 7 0 1 0 5 3 5 0 0 1 6 7 5 1 8 4 0 6 3 5 1 5 5 33 6 1 . 6 7 6 8 . 0 7 1 0 3 . 6 8 2 1 9 9 . 0 0 2 0 9 6 . 8 2 0 . 9 2 0 . 5 9 - 0 . 7 6 3 3 3 1 3 3 9 5 R o t a t e 6 5 5 4 7 0 1 1 0 3 5 0 0 1 6 7 5 1 8 4 0 6 3 5 1 5 5 Da t e : 2 / 8 / 2 0 1 2 Page: 2 of 3 MD (f t ) In c (d e g ) Az m (d e g ) TV D (f t ) Ve r t i c a l Se c t i o n (f t ) DL S (° / 1 0 0 ' ) Bu i l d (° / 1 0 0 ' ) Tu r n (° / 1 0 0 ' ) MD Fr o m (f t ) MD To (f t ) Dr i l l i n g Mo d e TF O (d e g ) GP De f l (% ) Ro t a r y RP M WO B (K L B S ) Fl o w Ra t e (g p m ) RO P (f p h ) Dh o l e Te m p (° ) To r q u e ( f t / l b s ) SP P Of f - BT M (p s i ) SP P On - BT M (p s i ) Pi c k - U p We i g h t ( l b s ) Sl a c k - Of f We i g h t ( l b s ) Ro t a t e On - B t m We i g h t ( l b s ) Comments 34 2 4 . 9 4 6 7 . 7 8 1 0 3 . 0 5 2 2 2 2 . 7 8 2 1 5 5 . 4 0 1 . 0 3 - 0 . 4 6 - 1 . 0 0 3 3 9 5 3 4 5 8 R o t a t e 6 5 5 4 7 0 1 0 8 3 5 0 0 1 6 7 5 1 8 4 0 6 3 5 2 5 5 34 8 8 . 8 8 7 1 . 0 5 1 0 3 . 5 5 2 2 4 5 . 2 5 2 2 1 5 . 2 1 5 . 1 7 5 . 1 1 0 . 7 8 34 5 8 3 5 0 5 S l i d e 0 ° G 8 4 7 0 7 8 1 6 0 0 1 8 3 0 B e g i n F i n a l l b u i l d f o r s e c t i o n / 1 3 . 4 6 ° M o t o r O u t p u t 35 0 5 3 5 2 1 R o t a t e 6 5 5 4 7 0 7 4 3 5 0 0 1 6 7 5 1 8 4 0 6 3 5 2 5 5 35 5 2 . 0 7 7 2 . 3 8 1 0 3 . 5 6 2 2 6 5 . 0 8 2 2 7 5 . 1 5 2 . 1 0 2 . 1 0 0 . 0 2 3 5 2 1 3 5 5 5 R o t a t e 6 5 5 4 7 0 1 2 8 3 5 0 0 1 6 7 5 1 8 4 0 6 3 5 3 5 5 35 5 5 3 5 8 5 S l i d e - 3 0 ° G 8 4 7 0 6 9 1 6 0 0 1 8 3 0 36 1 5 . 4 8 7 4 . 5 7 1 0 2 . 1 8 2 2 8 3 . 1 2 2 3 3 5 . 9 1 4 . 0 3 3 . 4 5 - 2 . 1 8 3 5 8 5 3 6 2 0 R o t a t e 6 5 5 4 7 0 1 6 2 3 5 0 0 1 6 7 5 1 8 4 0 6 2 5 3 5 6 36 4 6 . 6 8 7 5 . 3 3 1 0 2 . 7 7 2 2 9 1 . 2 2 2 3 6 6 . 0 3 3 . 0 4 2 . 4 4 1 . 8 9 36 2 0 3 6 4 8 S l i d e - 3 0 ° G 8 4 7 0 2 3 1 6 0 0 1 8 3 0 S t a c k i n g W t / H a r d S p o t / E x c e s s i v e o f f b o t t o m t i m e 36 4 8 3 6 6 8 R o t a t e 6 5 5 4 7 0 3 2 3 5 0 0 1 6 7 5 1 8 4 0 6 2 5 3 5 6 36 6 8 3 6 8 0 S l i d e - 1 0 ° G 8 4 7 0 5 2 1 6 0 0 1 8 3 0 T D @ 3 6 8 0 ' M D / T V D 2 2 9 9 ' 36 8 0 3 6 8 3 R o t a t e - 2 0 ° G 1 0 0 6 0 8 1 8 0 6 0 2 7 5 0 1 2 0 0 1 2 0 0 S t o p t o d i s p l a c e m u d 36 8 3 3 6 8 7 R o t a t e - 2 0 ° G 1 0 0 6 0 1 2 1 9 0 6 5 2 7 5 0 1 2 4 0 1 2 4 0 36 8 7 3 7 0 2 R o t a t e - 2 0 ° G 1 0 0 6 0 1 3 1 8 0 3 3 6 5 5 0 9 9 0 9 9 0 D r i l l e d 2 2 ' f o r F I T 37 0 2 3 7 1 7 R o t a t e - 2 0 ° G 1 0 0 6 0 1 4 2 0 0 2 1 5 0 5 0 1 1 7 5 1 1 7 5 37 2 5 . 7 9 7 9 . 4 4 1 0 3 . 7 7 2 3 0 8 . 4 9 2 4 4 3 . 1 5 5 . 3 4 5 . 2 0 1 . 2 6 3 7 1 7 3 7 5 1 R o t a t e - 2 0 ° G 1 0 0 6 0 1 4 2 0 0 3 2 5 0 5 0 1 1 7 5 1 1 7 5 L o s t c i r c u l a t i o n / P u l l T / S h o e / P u m p L C M 38 0 5 . 0 9 8 3 . 5 6 1 0 3 . 1 1 2 3 2 0 . 2 1 2 5 2 1 . 5 0 5 . 2 6 5 . 2 0 - 0 . 8 3 3 7 5 1 3 8 1 2 R o t a t e - 2 0 ° G 1 0 0 6 0 1 4 1 8 0 3 2 5 0 5 0 8 4 0 8 4 0 6 4 4 6 5 4 L o s t c i r c u l a t i o n / P u l l T / S h o e / P u m p LCM 38 1 2 3 8 1 8 R o t a t e 5 0 1 0 1 8 0 3 6 4 0 0 4 0 0 38 2 8 . 3 9 8 2 . 8 2 1 0 3 . 3 5 2 3 2 2 . 9 7 2 5 4 4 . 6 2 3 . 3 4 - 3 . 1 8 1 . 0 3 3 8 1 8 3 8 8 1 R o t a t e 6 0 1 2 1 8 0 2 9 4 0 0 4 0 0 38 9 5 . 1 6 7 9 . 8 9 1 0 5 . 5 4 2 3 3 3 . 0 1 2 6 1 0 . 5 0 5 . 4 6 - 4 . 3 9 3 . 2 8 3 8 8 1 3 9 0 7 R o t a t e - 2 0 ° G 1 0 0 9 0 8 1 6 0 9 2 2 7 5 0 7 6 0 7 6 0 5 6 5 4 5 2 B a d h o u s i n g r o l l 39 5 7 . 6 4 7 9 . 2 6 1 0 6 . 0 9 2 3 4 4 . 3 2 2 6 7 1 . 7 4 1 . 3 3 - 1 . 0 1 0 . 8 8 3 9 0 7 3 9 7 1 R o t a t e - 2 0 ° G 1 0 0 6 0 1 0 1 6 0 4 9 3 8 0 0 7 5 0 7 5 0 5 6 5 4 5 0 O u t o f z o n e ( B o t t o m ) 40 2 1 . 0 4 8 5 . 9 8 1 0 5 . 5 3 2 3 5 2 . 4 5 2 7 3 4 . 3 7 1 0 . 6 4 1 0 . 6 0 - 0 . 8 8 3 9 7 1 4 0 3 4 R o t a t e - 2 0 ° G 1 0 0 4 0 2 0 1 4 0 2 5 4 5 0 0 1 0 5 0 1 0 5 0 5 6 5 4 5 0 C h a n g e d d r i l l i n g p a r a m e t e r s t o assist building inclin 40 8 5 . 4 3 9 1 . 8 4 1 0 1 . 9 1 2 3 5 3 . 6 8 2 7 9 8 . 6 4 1 0 . 7 0 9 . 1 0 - 5 . 6 2 4 0 3 4 4 0 9 7 R o t a t e - 4 0 ° G 1 0 0 4 0 2 0 1 4 0 2 5 4 8 0 0 1 0 5 0 1 0 5 0 5 8 5 2 4 9 41 4 8 . 1 1 9 8 . 1 1 1 0 0 . 0 6 2 3 4 8 . 2 5 2 8 6 1 . 0 5 1 0 . 4 3 1 0 . 0 0 - 2 . 9 5 4 0 9 7 4 1 6 0 R o t a t e - 7 0 ° G 1 0 0 4 0 2 0 1 4 0 2 4 4 7 0 0 1 0 5 0 1 0 5 0 5 8 4 6 4 7 42 0 7 . 4 0 9 9 . 2 3 9 8 . 3 6 2 3 3 9 . 3 1 2 9 1 9 . 6 3 3 . 4 1 1 . 8 9 - 2 . 8 7 4 1 6 0 4 2 2 4 R o t a t e 0 4 0 2 0 1 4 0 5 8 4 6 0 0 1 0 5 0 1 0 5 0 6 2 4 6 4 5 R e - e n t e r e d z o n e , 42 7 4 . 7 4 9 6 . 8 7 9 8 . 1 3 2 3 2 9 . 8 8 2 9 8 6 . 2 2 3 . 5 2 - 3 . 5 0 - 0 . 3 4 4 2 2 4 4 2 8 7 R o t a t e 1 8 0 ° G 1 6 8 0 1 0 2 0 0 1 5 7 4 6 0 0 1 1 0 0 1 1 0 0 6 2 4 6 4 3 42 8 7 4 3 2 8 R o t a t e 1 8 0 ° G 1 0 0 7 5 7 2 2 0 3 2 4 5 0 0 1 3 0 0 1 3 0 0 6 7 4 4 4 5 43 3 7 . 0 0 9 4 . 0 7 9 7 . 4 2 2 3 2 3 . 9 4 3 0 4 8 . 0 8 4 . 6 4 - 4 . 5 0 - 1 . 1 4 4 3 2 8 4 3 5 1 R o t a t e 1 8 0 ° G 1 0 0 7 5 4 2 2 0 8 5 4 6 0 0 1 3 0 0 1 3 0 0 6 4 4 2 4 5 44 0 1 . 2 9 8 9 . 6 3 9 6 . 5 2 2 3 2 1 . 8 7 3 1 1 2 . 1 6 7 . 0 5 - 6 . 9 1 - 1 . 4 0 4 3 5 1 4 4 1 5 R o t a t e 1 8 0 ° G 1 0 0 7 5 7 1 8 0 2 6 4 5 0 0 9 5 0 9 5 0 6 4 4 2 4 5 O u t o f z o n e ( t o p ) , C h a n g e d F l o w R a t e due to high E 44 1 5 4 4 5 3 R o t a t e 3 0 ° G 2 4 7 5 7 1 8 0 3 7 4 5 0 0 9 5 0 9 5 0 6 4 4 2 4 7 44 6 4 . 7 4 8 6 . 7 9 9 5 . 5 2 2 3 2 3 . 8 5 3 1 7 5 . 3 2 4 . 7 5 - 4 . 4 8 - 1 . 5 8 4 4 5 3 4 4 7 7 R o t a t e 3 0 ° G 8 0 8 0 7 1 8 0 1 7 4 6 0 0 9 5 0 9 5 0 6 4 4 2 4 7 45 2 8 . 2 5 8 8 . 3 3 9 7 . 2 8 2 3 2 6 . 5 5 3 2 3 8 . 5 6 3 . 6 8 2 . 4 2 2 . 7 7 4 4 7 7 4 5 4 1 R o t a t e 3 0 ° G 8 0 8 0 7 1 8 0 3 6 4 7 0 0 9 5 0 9 5 0 6 4 4 4 4 8 R e - e n t e r e d Z o n e @ 4 5 2 5 ' M D 45 4 1 4 5 6 2 R o t a t e 1 2 0 ° G 4 0 8 0 7 1 8 0 5 3 5 0 0 0 9 5 0 9 5 0 6 4 4 4 4 9 45 9 0 . 2 4 8 8 . 7 6 9 5 . 7 6 2 3 2 8 . 1 3 3 3 0 0 . 3 3 2 . 5 5 0 . 6 9 - 2 . 4 5 4 5 6 2 4 6 0 4 R o t a t e 1 5 0 ° G 6 5 8 0 8 1 8 5 4 6 5 0 0 0 1 0 7 0 1 0 7 0 6 4 4 4 4 9 46 0 4 4 6 5 3 R o t a t e 1 5 0 ° G 8 0 7 5 1 0 1 9 0 9 2 5 0 0 0 1 0 8 0 1 0 8 0 6 4 4 4 5 0 46 5 3 . 0 9 8 6 . 9 7 9 4 . 3 8 2 3 3 0 . 4 7 3 3 6 2 . 7 9 3 . 6 0 - 2 . 8 5 - 2 . 2 0 4 6 5 3 4 6 6 7 R o t a t e 3 5 ° G 7 5 7 5 9 1 9 0 1 2 0 5 0 0 0 1 0 8 0 1 0 8 0 6 5 4 5 5 0 47 1 9 . 3 7 8 4 . 8 6 9 4 . 5 2 2 3 3 5 . 1 9 3 4 2 8 . 4 5 3 . 1 9 - 3 . 1 8 0 . 2 1 4 6 6 7 4 7 3 0 R o t a t e 2 5 ° G 1 0 0 5 0 1 5 1 4 0 1 3 5 5 0 0 0 7 3 0 7 3 0 6 5 4 5 5 0 47 8 2 . 6 8 8 5 . 3 0 9 5 . 1 0 2 3 4 0 . 6 2 3 4 9 1 . 1 5 1 . 1 5 0 . 6 9 0 . 9 2 4 7 3 0 4 7 9 4 R o t a t e 0 ° G 1 0 0 5 0 1 5 1 4 0 1 2 4 4 6 0 0 7 5 0 7 5 0 6 5 4 5 5 0 48 4 5 . 4 3 8 4 . 4 3 9 6 . 6 9 2 3 4 6 . 2 4 3 5 5 3 . 3 9 2 . 8 8 - 1 . 3 9 2 . 5 3 4 7 9 4 4 8 5 7 R o t a t e 0 ° G 1 0 0 5 0 1 5 1 4 0 1 3 0 5 0 0 0 7 6 0 7 6 0 6 5 4 6 5 0 49 0 5 . 2 2 8 5 . 6 7 9 8 . 1 4 2 3 5 1 . 4 0 3 6 1 2 . 8 4 3 . 1 8 2 . 0 7 2 . 4 3 4 8 5 7 4 9 2 0 R o t a t e 0 ° G 1 0 0 5 0 1 5 1 4 0 3 8 7 0 0 0 7 6 0 7 6 0 6 5 4 6 5 0 49 7 1 . 2 6 8 5 . 9 2 9 9 . 3 2 2 3 5 6 . 2 4 3 6 7 8 . 6 4 1 . 8 2 0 . 3 8 1 . 7 9 4 9 2 0 4 9 8 4 R o t a t e 0 7 0 1 5 1 4 0 4 1 6 0 0 0 6 5 0 6 5 0 6 5 4 6 5 0 50 2 4 . 7 6 8 4 . 8 7 9 9 . 6 4 2 3 6 0 . 5 3 3 7 3 1 . 9 5 2 . 0 5 - 1 . 9 6 0 . 6 0 4 9 8 4 5 0 4 6 R o t a t e 3 0 ° G 7 0 7 0 2 0 1 4 0 1 6 7 6 0 0 0 7 7 0 7 7 0 6 5 4 6 5 0 51 0 1 . 0 0 8 4 . 8 7 9 9 . 6 4 2 3 6 7 . 3 5 3 8 0 7 . 8 6 0 . 0 0 0 . 0 0 0 . 0 0 5 0 4 6 5 1 0 1 R o t a t e 0 7 0 2 0 1 4 0 2 1 6 0 0 0 7 7 0 7 7 0 6 5 4 6 5 0 T D @ 5 1 0 1 ' M D / 2 3 6 7 ' T V D , O u t o f z o n e @ 5 0 4 9' Da t e : 2 / 8 / 2 0 1 2 Page: 3 of 3 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA BHA Report IADC Rig BHA#1 Run#0100 Date In :01/17/2012 MD In (ft):9 6 TVD In (ft):7 3 Date Out :01/19/2012 MD Out (ft): 1207 TVD Out (ft): 1137 BIT DATA Bit Number :1 Nozzles :3x16,1x12 Bit Size (in):12.250 TFA (in2):0.6995 Manufacturer :HDBS Dull Grade In :NEW Model :622394 Dull Grade Out :1-1-WT-A-I-E-NO-TD Serial Number :11748526 MOTOR DATA Motor Number :Bend (deg):1.501 OD (in):8.000 Nozzles (32nd):0.0 Manufacturer :Sperry Drilling Avg Diff Press :131.13 Model :SperryDrill Cumul Cir Hrs :40.55 Serial Number :800456 Length (ft)Blade Bit - Center COMPONENT DATA (ft) Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(in)(lbpf) 1 QHC1GRC Milltooth 11748526 9.000 3.000 12.250 192.72 P 6-5/8" REG 1.01 2 8" SperryDrill Lobe 4/5 - 5.3 stg 800456 8.000 5.000 121.08 B 6-5/8" H90 30.68 Btm Sleeve Stabilizer 12.188 3.15 3 Float Sub 0888 8.062 3.250 145.70 B 6-5/8" H90 1.80 4 X-Over Sub 0864 8.062 3.250 145.70 B 6-5/8" REG 2.00 5 8" DM Collar 11644620 8.000 3.500 147.40 B 6-5/8" REG 9.20 6 Gamma/Res/HCIM 309829 8.000 1.920 161.44 B 6-5/8" REG 23.20 7 8" HOC 11391244 8.150 4.000 145.20 B 6-5/8" H90 9.78 8 Orienting Sub UBHO 2615 7.875 2.875 149.18 B 6-5/8" H90 2.50 9 Flex Collar 10800551 7.812 2.813 142.17 B 6-5/8" H90 29.98 10 Flex Collar EQ11011567 8.062 3.312 144.61 B 6-5/8" H90 30.57 11 Flex Collar 118987225 7.785 3.250 133.95 B 6-5/8" H90 30.54 12 X-Over Sub 886 8.000 2.375 156.21 B 4-1/2" XH 2.60 13 Jar 1622-0445 6.120 2.750 80.01 B 4-1/2" XH 31.51 14 X-Over Sub 2563 5.937 2.500 77.62 B 4" Mod 2.62 Page 1 Length (ft)Blade Bit - Center COMPONENT DATA Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(lbpf) 15 17 joints 4" XT-39 HWDP 4.000 2.563 29.70 525.84 Total:733.83 PERFORMANCE Section A HoursParameter Min Max Avg Activity BHA Weight (klb) WOB (klb):10 15 12 Drilling : in Air (Total) :42.8820.41 RPM (rpm):45 45 45 Reaming :4.06 in Mud (Total) :36.67 Flow (gpm):400 485 463 Circ-Other :16.08 in Air (Bel Jars) :24.54 SPP (psig):720 1250 1104 Total :40.55 in Mud (Bel Jars) :20.98 PERFORMANCE Section B In Out Distance (ft)ROP (fph)Build (°/100')Turn (°/100')DLS (°/100') (deg)0.29 29.28 Oriented :376 48 n/a n/a 2.75Inclination (deg)311.75 101.49 Rotating :735 58 1.00 0.20 1.00Azimuth Total :1111 54 2.61 0.00 2.66 COMMENTS Sensor distances = 39.71' Directional / Gamma = 48.19' / Res = 55.74' Rig floor offset = 412/802 x 360 = 184.94° OBJECTIVES BHA # 1 Objective's (Run 100) Kick the 12-1/4" hole section off of vertical at 250' MD. Build at a 3 ° dogleg rate holding an azimuth of 100° until reaching 28° inclination at surface casing point. Surface TD is projected to be at 1,190' MD. BHA components utilized to drill the section will be a Halliburton mill tooth bit with the 8" SperryDrill 4/5 - 5.3 Performance Motor. MWD tools will be configured with Directional/ Gamma/ Res. 6-1/4" jars and 4" XT-39 HWDP will also be incorporated into the BHA string total length for assembly will be 730' +/-. The 4"HWDP and the 6-1/4” jars will be utilized in the intermediate BHA to save rig time the 4" HWDP was selected over the 4-1/2' HWDP. This assembly is tasked with reaching TD in one run and should easily accomplish the objective. RESULTS BHA # 1 Result (Run 100) The results for the BHA were favorable. The assembly picked up and tripped in tagging the cement in the conductor at 96'. Cement was drilled and the water used to drill cement out was then displaced with the spud mud. The assembly was used to drill to 201' at which point gyro was run to establish a good tool face. 2 surveys were taken one at 50' gyro depth and the 2nd at 112' gyro depth. A connection was made once the gyro had been tripped to surface. Once the connection was completed an MWD survey was pumped up which showed clean magnetics. At that point Gyro was put on standby. The assembly was slid for 44' to kick the wellbore off vertical. This was done 49' earlier than the directional plan called for but was beneficial in obtaining a good motor output and brings the assembly comfortably above the proposal line. Fractional slide sets were made with some erratic motor output giving a varied range of doglegs on surveys. The 44' slide from 201' to 250' made to come off of vertical showed a 3.64° motor output at the 255' survey station. With the next survey at 317' showing a surprising 9.26° motor output and inflicting an unwanted 5.17° dogleg in the wellbore. Strangely enough a survey taken at 370' showed another surprising motor dogleg output and a reverse in the trend by only yielding a 2.86° motor output. It was not until after almost 600' hole depth that motor output became fairly consistent staying around a 9.5° motor Page 2 RESULTS output. TD for the section was to be 1,170 per the PRA well site leader. This depth was reached and the hole was being circulated clean when instructions from town were relayed to the directional driller to drill another 37' to a depth of 1,207'. The last 40' of the assembly had been slid to get a "jump" on the intermediate section having to drill this additional 37' and take another survey showed all of this slide and a 6.28° dogleg in the 37' course length of the survey. Had the additional footage not been drilled when drilling out a normal survey length of 62' would of showed this as a 3.75° dogleg in a 4° planned section. The extra footage had been drilled to place the TVD 250' below the base of the permafrost as required by the well plan. Wellbore positioning was however still very favorable and would be a definite benefit drilling the 8-1/2" Intermediate section. This final surface wellbore placement was 29' high of the proposal line and 1-1/2' to the right with inclination ahead by 2.3°. This placement most undoubtedly would decrease slide footage in the 8-1/2" intermediate section. This BHA delivered good performance with a 2.32° survey average dogleg. Net wellbore tortuosity applicable to plan was a very low .17° per 100' The BHA obtained all objectives set forth. Drilling statistics: Slide footage 376' Rotary footage 735' Slide percentage 34% Max dogleg for section 6.28° Drilling hrs 20.41, Circulating hrs, 16.08, Reaming hrs 4.06, Total pumps on time 40.55 hrs. Total below rotary hrs = 70.0 Average flow rate 462 gpm, Average SPP 1,104 psi, RPM average 45 rpm, Average bit weight 12k Average rop rotating 58 fph, Average ROP sliding 48 fph, Overall average ROP 54 fph Motor used - 8" SperryDrill 4/5-Lobe 5.3 Stage Rev/Gal .26 adjustable bend setting @ 1.5° Bit used- Halliburton QHCIGRC Mill tooth grade at surface = 1-1-WT-A-I-E-NO-TD RECOMMENDATIONS Recommendation for future surface intervals coming from the directional driller would not be in the area of BHA configuration or directional work. The recommendation would be to closely look at the amount of circulation time used to clean the wellbore after reaching TD. A close look at circulating time before and after the short trip should be done as it is the opinion of this directional driller that there was far more circulation then necessary to clean the hole. Dependent on circulating rates bottoms up could be as short as 15 minutes circulating for an exurbanite amount of time is an area that should be closely looked at as this is an extravagant cost and totally unwarranted to clean 1,207' of hole. OTHER Page 3 BHA Schematic North Slope Borough Walakpa #12 IADC Rig BHA # : 1 Run # : 100 Drillstring : Drillstring OD COMPONENT DATA (in)(ft) Length Description QHC1GRC Milltooth (Gauge: 12.250 in)9.000 1.01 8" SperryDrill Lobe 4/5 - 5.3 stg8.000 30.68 Btm Sleeve Stabilizer (Gauge: 12.188 in, Pos*: 2.14 ft) Float Sub8.062 1.80 X-Over Sub8.062 2.00 8" DM Collar8.000 9.20 Gamma/Res/HCIM8.000 23.20 8" HOC8.150 9.78 Orienting Sub UBHO7.875 2.50 Flex Collar7.812 29.98 Flex Collar8.062 30.57 Flex Collar7.785 30.54 X-Over Sub8.000 2.60 Jar6.120 31.51 X-Over Sub5.937 2.62 17 joints 4" XT-39 HWDP4.000 525.84 *Pos: Measured as distance from bottom of the component. Page 1 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA BHA Report IADC Rig BHA#2 Run#0200 Date In :01/23/2012 MD In (ft): 1207 TVD In (ft): 1137 Date Out :01/28/2012 MD Out (ft): 3680 TVD Out (ft): 2275 BIT DATA Bit Number :2 Nozzles :5x13 Bit Size (in):8.500 TFA (in2):0.6481 Manufacturer :HDBS Dull Grade In : Model :FX2526 Dull Grade Out :0-1-CT-S-X-I-NO-TD Serial Number :5013668 MOTOR DATA Motor Number :Bend (deg):1.502 OD (in):6.750 Nozzles (32nd):0.0 Manufacturer :Sperry Drilling Avg Diff Press :141.69 Model :SperryDrill Cumul Cir Hrs :63.71 Serial Number :675-997 Length (ft)Blade Bit - Center COMPONENT DATA (ft) Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(in)(lbpf) 1 HDBS FX2526 PDC 5013668 6.000 2.250 8.500 91.01 P 4-1/2" REG 1.01 2 6 3/4" SperryDrill Lobe 6/7 - 5.0 stg 675-997 6.750 4.498 87.63 B 4-1/2" IF 27.21 Btm Sleeve Stabilizer 8.310 3.68 3 6 3/4" DM Collar 11507609 6.750 3.125 103.40 B 4-1/2" IF 9.20 4 Gamma/Res/PWD/HCIM 90309096 6.750 1.920 112.09 B 4-1/2" IF 33.24 5 6 3/4" HOC TM 11215149 6.900 3.250 103.60 B 4-1/2" IF 10.05 6 Float Sub 172600 6.687 2.875 97.56 B 4-1/2" IF 2.41 7 Flex Collar 11342869 6.813 3.000 100.15 B 4-1/2" IF 31.09 8 Flex Collar 10941893 6.500 2.875 90.96 B 4-1/2" IF 30.63 9 Flex Collar 11564453 6.812 2.875 102.08 B 4-1/2" IF 31.08 10 X-Over Sub 2563 6.250 2.500 87.83 B 4-1/2" XH 2.62 11 Jar 1622-0445 6.120 2.750 80.01 B 4-1/2" XH 31.51 12 X-Over Sub 2563 5.937 2.500 77.62 B 4" Mod 2.62 13 17- 4" XT-39 HWDP 4.000 2.563 29.70 525.84 Total:738.51 Page 6 PERFORMANCE Section A HoursParameter Min Max Avg Activity BHA Weight (klb) WOB (klb):41 0 7Drilling : in Air (Total) :36.0726.27 RPM (rpm):40 70 62 Reaming :12.95 in Mud (Total) :30.63 Flow (gpm):400 470 459 Circ-Other :24.49 in Air (Bel Jars) :17.73 SPP (psig):930 1850 1536 Total :63.71 in Mud (Bel Jars) :15.06 PERFORMANCE Section B In Out Distance (ft)ROP (fph)Build (°/100')Turn (°/100')DLS (°/100') (deg)29.28 76.14 Oriented :720 83 n/a n/a 0.00Inclination (deg)101.49 103.40 Rotating :1753 100 0.00 0.00 0.00Azimuth Total :2473 94 1.90 0.08 1.90 COMMENTS Sensor distances- Directional 32.44' / Gamma 43.67' / Res 52.22' / PWD 60.50' Max flow 550 GPM / Max Rotary Speed 80 RPM / Max bit weight 15K or as per dirctional driller OBJECTIVES BHA # 2 (Run 200) This assembly will be tasked with drilling the intermediate section from 1,207' to 3,760' +/- (Determined TD per rig geologist) The usual steps will be undertaken - Swap out to LSND mud, Casing test to 3,500 psi, Drill out excess cement, float collar and shoe, Drill 20' new hole, Circulate, Perform LOT. Once these steps have been completed this assembly will need to acquire 4.8° degree dogleg rates to accomplish the direction work. The assembly will be built to 81° by TD the azimuth will remain within 1° throughout this section. The BHA configuration will be Halliburton PDC bit FX2526, 6.75" SperryDrill 6/7-5.0 stage motor w/1.5° adjustable bend setting, MWD-Directional, Gamma/Res/PWD and HCIM. Vibration tool in string, float sub and 3 flex collars, Jars, HWDP. No stabilizer will be run above the motor. Planned flow rate is to be 575 gpm or whatever solids control equipment can handle. Rotary speed not to exceed 80 rpm. This assembly does have the objective of completing the section in one run and should easily accomplish this. RESULTS BHA # 2 (Run 200) Results: Results for the BHA were very favorable. The BHA easily completed the objectives set, drilling the intermediate section more efficiently then on the 2 previous barrow gas wells drilled to this date. The assembly once made up was to be tripped in the hole. Difficulty was encountered at the well head level as the assembly took weight. This was resolved when it was determined that an ice plug had obstructed the BHA from going down hole. A steam hose was dropped into the top of the well head to thaw the ice plug. Once it was thawed the assembly could be lowered enough to make up to a stand of HWDP. This was required as more ice was encountered and was drilled until reaching 425'. At that depth the BHA passed through the casing with no problems. The BHA was used for the casing test to 2,500 psi, Mud was then displaced, excess cement and shoe track drilled the 20' of new hole drilled, hole circulated clean and a LOT performed. Once these tasks were completed the assembly began the directional work required in the section. This assembly used the same PDC bit for this intermediate section that was used on Savik 2 the previous barrow gas well. Using the bit delivered a substantial cost savings to the customer and the bit easily drilled the section. The bit motor combination proved to deliver good dogleg rates. ROP was controlled due to clays as seen on previous wells in the area. Flow rate had been planned for 575 gpm but was not implemented due to solids control equipment not being able to handle the clay load. Flow rates were held between 450 gpm and 480 gpm for most of the run. Even at the lower flow rates MWD detection was flawless and the motor still delivered strong hydraulic horsepower. To summarize motor dogleg capability it will be listed by depth at survey stations Page 7 RESULTS output. 1271 survey depth motor output 6.45° / 1332’ Motor output 11.94° 1,396’ motor output 5.16° / 1,461’ motor output 17.09° (Deflection off hard spot?) From 1,461’ MD to 1,968’ MD motor output was more consistent with an average motor output between these depths of 9.59° with the highest output between the above mentioned depths being 12.61° at 1,589’ MD. The assembly started drilling with wellbore placement 29’ high of plan. The BHA was brought down to the proposal line and at one point allowed to drop 10’ below plan. This was done to begin the final build early and raise inclination above the planned angle when catching up to the line. It would have lowered the dogleg rate required for the final build. However the HRZ formation came in 61’ high of prognosis which basically put the BHA into a geo-steering situation. Rig site geology along with PRA’s town geologist conferred and discussed markers that were seen below the HRZ. It was soon that a decision was made to stay with the directional plan. The inclination was continued to be built when a hot gamma spike convinced geology to end the section at 3,680 MD short of the planned 3,761’ MD per prognosis. Inclination was projected to the bit at 76.5°. Inclination at the original 3,761’ MD casing point was to be 81.04. The well at TD the usual steps were taken prior to pulling the BHA. Hole was circulated clean with the assembly then pulled to the 9-5/8” casing shoe @ 1,194’ MD. Some slight over pull coming off bottom was noted to be 10k. The rest of the short trip pulled well with one more over pull area noted at 2,000’ MD. Assembly was tripped in with no visible hole problems. Circulating a final time after reaching bottom was undertaken with excessive clay coming across the shakers and plugging the auger at one point. Additional circulation was completed and this assembly hoisted to surface. Some minor over pull was again noted around 2,000’ MD but nothing substantial and far less than the 20k over pull noted on the short trip 5k over pull was all that was seen at the weight indicator. Tools were inspected and no damage was found. The bit was graded 0-1-CT-S-X-I-NO-TD and will be used on the intermediate section on the next Walakpa well. It should be noted this bit was graded 1-1-WT-A-X-I-NO-TD at surface on the Savik 2 well. The bit grade given on the Walakpa well will not be changed as the grade is a matter of one persons opinion over another the 0-1 on the cutting structure could be called 0-1 in another person opinion. Either grade shows the bit to be in good shape and definitely in re-run condition. A final note concerning below rotary table time on this BHA that should be taken into consideration is the fact that Extreme cold weather (-40°) hampered rig operations that added additional below rotary time to the BHA. Drilling statistics: BHA picked up 1/23/12 @ 23:15 BHA laid down 1-28-12 @ 02:45. Drilling hrs 26.27 Circulating hrs 24.49 Reaming hrs 12.95 Total pumps on time 63.71 hrs. Below rotary hrs 99.5 Depth in 1,207' MD Depth out 3,680' MD Slide footage 720' Rotary footage 1,753' Slide percentage 29% Drilling parameter averages - Flow rate 460 gpm /Standpipe pressure 1,535 psi / Rotary rpm 62 / Bit wt 6,500lbs. /Torque 2,700 ft/lbs. ROP average 94 fph / ROP average sliding 83 fph / ROP average rotating 98 fph Inclination in 29.28° inclination out 75.33° Azimuth in 101.5° Azimuth out 103.4° Bit used HDBS FX2526 PDC. Grade @ surface 0-1-CT-S-X-I-NO-TD Motor used 6-3/4" SperryDrill Lobe 6/7-5.0 stag w/adj bend set @ 1.5° Rev/Gal .26 RECOMMENDATIONS No recommendations required for this BHA. Performance indicates this BHA configuration performed well and no changes required or requested. Total below rotary hours for BHA are 99.5 but do not reflect nor is it mentioned the many operational problems encountered keeping the rig running at extreme cold weather temperatures. This was not clearly discussed in the BHA results as it has little to do with actual BHA performance or results with the exception of extending below rotary time. OTHER Page 8 BHA Schematic North Slope Borough Walakpa #12 IADC Rig BHA # : 2 Run # : 200 Drillstring : Drillstring OD COMPONENT DATA (in)(ft) Length Description HDBS FX2526 PDC (Gauge: 8.500 in)6.000 1.01 6 3/4" SperryDrill Lobe 6/7 - 5.0 stg6.750 27.21 Btm Sleeve Stabilizer (Gauge: 8.310 in, Pos*: 2.67 ft) 6 3/4" DM Collar6.750 9.20 Gamma/Res/PWD/HCIM6.750 33.24 6 3/4" HOC6.900 10.05 Float Sub6.687 2.41 Flex Collar6.813 31.09 Flex Collar6.500 30.63 Flex Collar6.812 31.08 X-Over Sub6.250 2.62 Jar6.120 31.51 X-Over Sub5.937 2.62 17- 4" XT-39 HWDP4.000 525.84 *Pos: Measured as distance from bottom of the component. Page 3 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA BHA Report IADC Rig BHA#3 Run#0300 Date In :01/30/2012 MD In (ft): 3680 TVD In (ft): 2275 Date Out :02/03/2012 MD Out (ft): 3812 TVD Out (ft): 2303 BIT DATA Bit Number :3 Nozzles :5x11 Bit Size (in):6.125 TFA (in2):0.4640 Manufacturer :HDBS Dull Grade In : Model :FXG55D Dull Grade Out :1-1-WT-A-X-I-NO-HP Serial Number :11747462 ROTARY STEERABLE DATA OD (in):5.250 Oil Type :SHC 624 Manufacturer :Sperry Drilling RPM Avg (rpm):60.00 Model :5200 Serial Number :TL-042 Cumul Cir Hrs :105.22 Length (ft)Blade Bit - Center COMPONENT DATA (ft) Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(in)(lbpf) 1 HDBS FX G55D LGPDC 11747462 6.000 2.500 6.125 79.63 B 3-1/2" IF 1.18 2 Geo-Pilot 5200 TL-042 5.250 1.125 5.875 45.13 B 3-1/2" IF 16.19 Ref Housing Stabilizer 5.875 13.86 Geo-Pilot 5200 Sleeve Stabilizer 6.100 11.64 3 Geo-Pilot 5200 Flex Collar CP1806167 4.250 2.610 44.00 B 3-1/2" IF 11.54 Geo-Pilot 5200 Flex Collar Wear Band 5.300 27.45 4 Inline Stabilizer (ILS)1524926 4.680 1.420 5.940 89.04 B 3-1/2" IF 3.58 30.19 5 SP4 Gamma/Res/HCIM 90309595 4.720 1.420 54.23 B 3-1/2" IF 24.40 6 MWD PWD 90309542 4.710 1.420 53.98 B 3-1/2" IF 10.85 7 Inline Stabilizer (ILS)CB1819220 4.750 1.420 6.100 54.99 B 3-1/2" IF 3.58 67.74 8 4 3/4" DM Collar 11837503 4.750 2.610 47.00 B 3-1/2" IF 9.27 9 4 3/4" Telementary HOC 11293602 4.790 2.812 46.30 B 3-1/2" IF 11.28 10 Float Sub 11839027 4.750 2.500 43.66 B 3-1/2" IF 2.19 11 Flex Collar 11474149 4.670 2.250 44.82 B 3-1/2" IF 31.04 12 Flex Collar 11474151 4.680 2.250 45.07 B 3-1/2" IF 31.00 13 Flex Collar 11623620 4.780 2.250 47.61 B 3-1/2" IF 30.90 Page 9 Length (ft)Blade Bit - Center COMPONENT DATA Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(lbpf) 14 Weatherford Crossover 6942 4.970 2.563 49.34 B 4" Mod 2.64 15 4" XT-39 HWDP (4 Jts)4.000 2.563 29.70 131.46 16 4-3/4" Weatherford Hyd Jar 14001412 4.820 2.000 43.90 B 4" Mod 29.28 17 4" XT-39 HWDP (13 Jts)4.000 2.563 29.70 394.38 Total:744.76 PERFORMANCE Section A HoursParameter Min Max Avg Activity BHA Weight (klb) WOB (klb):81 41 3Drilling : in Air (Total) :26.103.27 RPM (rpm):60 60 60 Reaming :4.58 in Mud (Total) : Flow (gpm):180 200 188 Circ-Other :7.63 in Air (Bel Jars) :13.10 SPP (psig):840 1240 1103 Total :15.48 in Mud (Bel Jars) : BHA WEIGHT CALCULATION MESSAGE Mud Weight not valid could not calculate BHA weight in mud. PERFORMANCE Section B In Out Distance (ft)ROP (fph)Build (°/100')Turn (°/100')DLS (°/100') (deg)76.14 79.38 Oriented :0 n/a n/a 0.00Inclination (deg)103.40 105.83 Rotating :132 40 0.00 0.00 0.00Azimuth Total :132 40 2.45 1.85 3.04 COMMENTS Sensor Distances: ABI-11.18' / Res - 42.18' / Gamma - 49.16' / Vibration DDS - 52.08' / PWD - 62.45' / Directional 75.54' Max bit wt - 12k / Flow rate 180 gpm - 250 gpm / Rotary speed Max 140 rpm OBJECTIVES BHA # 3 (Run 300) This rotary steerable BHA consists of the HDBS FX G55D PDC bit which was used on the last 2 barrow gas wells. Bit has already accumulated 2,914' prior to drilling this production section. The 5200 geo-pilot with the MWD tool package of Gamma/Res/ PWD/Directional will make up the rest of the BHA to the flex collars. Directional is 75' from bit but the geo-pilot is equipped with ABI (At bit inclination) 11' from bit. The assembly will be required to build aggressively in an effort to obtain a 7° dogleg rate to acquire the new TVD target of 2,325' TVD by 3,950' MD requested by geology. Inclination at this depth is to be 90° with the assembly to continue through the section being geo-steered to TD at a proposed depth of 5,300' +/-. The assembly will of course be used to complete several tasks before drilling to TD can be undertaken. These tasks are the unusual steps: Test casing, Displace, Drill 20' new hole, FIT. Once completed this BHA will drill ahead with the objective of completing the section in one run. RESULTS BHA # 3 (Run 300) Results Results for BHA were unfavorable due to hole problems centered around loss circulation. This BHA had a lot of below rotary time but only 3.27 drilling hrs. The BHA of course had the routine tasks being used for the casing test to 2,500 psi, Drilling out shoe track, Displacing to new mud and drilling 22' of new hole. Once these tasks were completed the FIT to 13.5 ppg EMW was done and the assembly was then used to begin building angle for landing horizontal with a new TVD target Page 10 RESULTS higher then the original directional plan. The new target was to be 3,950 MD be at 2,325' TVD at an angle of 90°. This would have required 6° to 7° dogleg rates to achieve. 100% deflection was applied to the 5200 geo-pilot from the bottom of the 7" casing shoe at 3,670' MD. The assembly was delivering the required dogleg rates to meet the new geological requirements. Problems arose as soon as the assembly broke into the payzone sands. An immediate loss rate of 40 bbl per hour with this the assembly was immediately pulled back into the 7" casing shoe. The hole was taking over 30 bbl per hour at a static rate with the hole being filled via the trip tank. Several LCM pills were pumped with the static loss rate dropping down to 4 bbl per hour and then no losses while static with out pumping. With no losses with a static situation it was decided to attempt to drill ahead and log the interval to possibly see if the formation had faulted or fractured in this area. One 63' stand was drilled down at 180 gpm while pumping and drilling ahead loss rate became 170 bbl's per hr. Assembly was again pulled to the shoe with more LCM pills pumped these pills were 40 lb per bbl. With a static loss rate of 35 bbl per hr the directional driller informed the PRA management that at times as much as 80 lbs per bbl of LCM had been pumped through the tools with out plugging the string. With this information it was also necessary to inform PRA management that it would in fact exceed tool specifications and no liability or NPT would be absorbed by Sperry. The 80 lbs per bbl LCM pill was pumped with no adverse effect to the tools down hole. Loss rate did not slow and the PRA management team requested the BHA be hoisted to surface and laid down for a dumb iron assembly with a milltooth bit and open jets that would allow them to pump a more aggressive LCM pill with fiber and higher lb per bbl then the previous pill pumped. The trip out was uneventful and the tools inspected on surface showed no damage. Bit was graded the same as when it went in the hole. Drilling statistics: 100% Deflection while drilling Toolface setting 20° left of highside Total footage 132' Average ROP 40 fph, Average flow rate 180 gpm, Average standpipe pressure 1,100 psi, RPM average 60 Bit weight 12.5k - 14k. No survey taken during run. Directional sensor 75' from bit. Geo-Pilot used - 5200 TL-042 PDC Bit HDBS FXG55D grade at surface 1-1-WT-A-X-I-NO-HP Total footage 132’ Accumulated footage 3,046' RECOMMENDATIONS No recommendation needed BHA was pulled due to loss circulation OTHER Page 11 BHA Schematic North Slope Borough Walakpa #12 IADC Rig BHA # : 3 Run # : 300 Drillstring : Drillstring OD COMPONENT DATA (in)(ft) Length Description HDBS FX G55D LGPDC (Gauge: 6.125 in)6.000 1.18 Geo-Pilot 52005.250 16.19 Ref Housing Stabilizer (Gauge: 5.875 in, Pos*: 12.68 ft) Geo-Pilot 5200 Sleeve Stabilizer (Gauge: 6.100 in, Pos*: 10.46 ft) Geo-Pilot 5200 Flex Collar4.250 11.54 Geo-Pilot 5200 Flex Collar Wear Band (Gauge: 5.300 in, Pos*: 10.08 ft) Inline Stabilizer (ILS) (Gauge: 5.940 in, Pos*: 1.28 ft)4.680 3.58 SP4 Gamma/Res/HCIM4.720 24.40 MWD PWD4.710 10.85 Inline Stabilizer (ILS) (Gauge: 6.100 in, Pos*: 0.00 ft)4.750 3.58 4 3/4" DM Collar4.750 9.27 4 3/4" Telementary HOC4.790 11.28 Float Sub4.750 2.19 Flex Collar4.670 31.04 Flex Collar4.680 31.00 Flex Collar4.780 30.90 Weatherford Crossover4.970 2.64 4" XT-39 HWDP (4 Jts)4.000 131.46 4-3/4" Weatherford Hyd Jar4.820 29.28 4" XT-39 HWDP (13 Jts)4.000 394.38 *Pos: Measured as distance from bottom of the component. Page 4 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA BHA Report IADC Rig BHA# Run#0400 Date In :02/03/2012 MD In (ft): 3812 TVD In (ft): 2303 Date Out :02/05/2012 MD Out (ft): 3881 TVD Out (ft): 2315 BIT DATA Bit Number :4 Nozzles :3x26 Bit Size (in):6.125 TFA (in2):1.5555 Manufacturer :HDBS Dull Grade In :NEW Model :QHIR Dull Grade Out :0-0-NO-A-E-I-NO-BHA Serial Number :11562667 Length (ft)Blade Bit - Center COMPONENT DATA (ft) Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(in)(lbpf) 1 HDBS QHIR Milltooth 11562667 5.500 2.000 6.125 70.26 P 3-1/2" REG 0.62 2 Bit Sub 3666 4.750 2.440 44.20 B 3-1/2" IF 1.61 3 Float Sub 11839027 4.750 2.500 43.66 B 3-1/2" IF 2.19 4 Flex Collar 11474149 4.670 2.250 44.82 B 3-1/2" IF 31.04 5 Flex Collar 11474151 4.680 2.250 45.07 B 3-1/2" IF 31.00 6 Flex Collar 11623620 4.780 2.250 47.61 B 3-1/2" IF 30.90 7 Weatherford Crossover 6942 4.970 2.563 49.34 B 4" Mod 2.64 8 4" XT-39 HWDP (4 Jts)4.000 2.563 29.70 131.46 9 4-3/4" Weatherford Hyd Jar 14001412 4.820 2.000 43.90 B 4" Mod 29.28 10 4" XT-39 HWDP (13 Jts)4.000 2.563 29.70 394.38 Total:655.12 PERFORMANCE Section A HoursParameter Min Max Avg Activity BHA Weight (klb) WOB (klb):10 12 11 Drilling : in Air (Total) :21.502.34 RPM (rpm):50 60 55 Reaming :0.00 in Mud (Total) : Flow (gpm):180 180 180 Circ-Other :3.71 in Air (Bel Jars) :8.50 SPP (psig):400 400 400 Total :6.05 in Mud (Bel Jars) : BHA WEIGHT CALCULATION MESSAGE Page 12 BHA WEIGHT CALCULATION MESSAGE Mud Weight not valid could not calculate BHA weight in mud. PERFORMANCE Section B In Out Distance (ft)ROP (fph)Build (°/100')Turn (°/100')DLS (°/100') (deg)79.38 81.08 Oriented :0 n/a n/a 0.00Inclination (deg)105.83 107.09 Rotating :69 29 0.00 0.00 0.00Azimuth Total :69 29 2.46 1.82 3.04 COMMENTS Dumb Iron assembly with no MWD components. Drilling parameters per PRA well site leaders OBJECTIVES BHA #4 (Run 400) BHA will be picked up and deployed to aid in hole problems concerning loss circulation. This assembly will be tasked with pumping high LCM concentrations in hopes of eliminating loss circulation. If the LCM pills work the assembly will drill footage blind in hopes of staying in zone and procuring more in zone pay. The assembly will need to hold or build angle to accomplish this objective. No stabilization is being used in this assembly in the hope the assembly will "Belly up" with 10K bit weight and begin a slight build tendency. The jets have been removed from the mill tooth bit to minimize the chances of plugging the bit with the high LCM concentrations. Correct flow rates that will keep the bit open and avoiding excessive bit weight will be instrumental in avoiding plugging the bit. Dependant on hole conditions a mad pass may be performed to log and take surveys to map the well path once the BHA has been pulled. RESULTS BHA # 4 (Run 400) Results Results were successful in the fact that the loss circulation was brought under control. It needs to be noted that the previous geo-pilot assembly had pumped an 80 lb per barrel LCM pill at the 7" casing shoe. This pill pumped at the shoe may not have been an advantageous spot to pump it from as the open hole section was 142'. When the dumb iron assembly went into the well to TD and pumps were brought on at 235 gpm the drill string volume being 41 bbl's the fact that there were no losses before the fiber pill reached the bit indicate the 80 lb per bbl pill was actually what sealed off the loss zone. This 80 lb per bbl LCM pill had been pumped at the shoe with open hole of 142' it is very conceivable that once the dumb iron assembly with passed through the shoe it pushed the pill into the area that fluid were fluid was being lost. It was then possible that when the pumps were energized the fluid and ECD pressure sealed this loss circulation material into place. All speculation now set aside the fact remained that the wellbore was not taking fluid even when pumping at 180 gpm. With this improved condition decision was then made to drill 1 stand with the dumb iron assembly to make sure losses did not resume. BHA had 10' to drill to reach a Kelly down position when it tagged bottom. While drilling at 180 gpm with 50 rpm rotary speed gas was visible bubbling in the wellbore. Pumps were shut down and flow noted. Gas was circulated from the well and a connection was made. This assembly drilled 1 stand from 3,818' MD to 3,881' MD. Bit weight was held at a constant 10k -12k with 60 rpm and 180 gpm flow rate. Standpipe pressure was 400 psi with no pressure increase indicating the bit was not getting plugged. ROP was not surprising at only 29 fph as this assembly was a rotary assembly and bit revolutions were that of the top drive 60 rpm. The most important factor is that no loss circulation occurred. Once drilling was completed the hole was circulated with no gas at surface. The hole was then monitored and found to be static. The BHA was tripped to surface and laid down with the bit in new condition and graded as such - 0-0-NO-A-E-I-NO- BHA. Drilling Statistics: Total footage 69' ROP average 32 fph Rotary speed 60 rpm Bit weight 10k-12k Flow rate 180 gpm Standpipe pressure 400 psi RECOMMENDATIONS OTHER Page 13 BHA Schematic North Slope Borough Walakpa #12 IADC Rig BHA # : Run # : 400 Drillstring : Drillstring OD COMPONENT DATA (in)(ft) Length Description HDBS QHIR Milltooth (Gauge: 6.125 in)5.500 0.62 Bit Sub4.750 1.61 Float Sub4.750 2.19 Flex Collar4.670 31.04 Flex Collar4.680 31.00 Flex Collar4.780 30.90 Weatherford Crossover4.970 2.64 4" XT-39 HWDP (4 Jts)4.000 131.46 4-3/4" Weatherford Hyd Jar4.820 29.28 4" XT-39 HWDP (13 Jts)4.000 394.38 *Pos: Measured as distance from bottom of the component. Page 5 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA BHA Report IADC Rig BHA#5 Run#0500 Date In :02/06/2012 MD In (ft): 3881 TVD In (ft): 2315 Date Out :02/09/2012 MD Out (ft): 5101 TVD Out (ft): 2473 BIT DATA Bit Number :5RR1 Nozzles :5x11 Bit Size (in):6.125 TFA (in2):0.4640 Manufacturer :HDBS Dull Grade In :1-1-WT-A-X-I-NO-HP Model :FXG55D Dull Grade Out :1-1WT-A-X-I-NO-TD Serial Number :11747462 ROTARY STEERABLE DATA OD (in):5.250 Oil Type :SHC 624 Manufacturer :Sperry Drilling RPM Avg (rpm):65.42 Model :5200 Serial Number :TL-042 Cumul Cir Hrs :163.26 Length (ft)Blade Bit - Center COMPONENT DATA (ft) Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(in)(lbpf) 1 HDBS FX G55D LGPDC 11747462 6.000 2.500 6.125 79.63 B 3-1/2" IF 1.18 2 Geo-Pilot 5200 TL-042 5.250 1.125 5.875 45.13 B 3-1/2" IF 16.19 Ref Housing Stabilizer 5.875 13.86 Geo-Pilot 5200 Sleeve Stabilizer 6.100 11.64 3 Geo-Pilot 5200 Flex Collar CP1806166 4.250 2.610 44.00 B 3-1/2" IF 11.55 Geo-Pilot 5200 Flex Collar Wear Band 5.300 27.45 4 Inline Stabilizer (ILS)1524926 4.680 1.420 5.940 89.04 B 3-1/2" IF 3.58 30.20 5 SP4 Gamma/Res/HCIM 90309595 4.720 1.420 54.23 B 3-1/2" IF 24.40 6 MWD PWD 90309542 4.710 1.420 53.98 B 3-1/2" IF 10.85 7 Inline Stabilizer (ILS)CB1819220 4.750 1.420 6.100 54.99 B 3-1/2" IF 3.58 67.75 8 4 3/4" DM Collar 11837503 4.750 2.610 47.00 B 3-1/2" IF 9.27 9 4 3/4" Telementary HOC 11293602 4.790 2.812 46.30 B 3-1/2" IF 11.28 10 Float Sub 11839027 4.750 2.500 43.66 B 3-1/2" IF 2.19 11 Flex Collar 11474149 4.670 2.250 44.82 B 3-1/2" IF 31.04 12 Flex Collar 11474151 4.680 2.250 45.07 B 3-1/2" IF 31.00 13 Flex Collar 11623620 4.780 2.250 47.61 B 3-1/2" IF 30.90 Page 14 Length (ft)Blade Bit - Center COMPONENT DATA Item #Description Serial Number OD ID Gauge Weight Top Connection(in)(in)(lbpf) 14 Weatherford Crossover 6942 4.970 2.563 49.34 B 4" Mod 2.64 15 4" XT-39 HWDP (4 Jts)4.000 2.563 29.70 131.46 16 4-3/4" Weatherford Hyd Jar 14001412 4.820 2.000 43.90 B 4" Mod 29.28 17 4" XT-39 HWDP (13 Jts)4.000 2.563 29.70 394.38 Total:744.77 PERFORMANCE Section A HoursParameter Min Max Avg Activity BHA Weight (klb) WOB (klb):42 01 2Drilling : in Air (Total) :26.1028.11 RPM (rpm):40 90 65 Reaming :15.49 in Mud (Total) : Flow (gpm):140 220 165 Circ-Other :14.44 in Air (Bel Jars) :13.11 SPP (psig):650 1300 941 Total :58.04 in Mud (Bel Jars) : BHA WEIGHT CALCULATION MESSAGE Mud Weight not valid could not calculate BHA weight in mud. PERFORMANCE Section B In Out Distance (ft)ROP (fph)Build (°/100')Turn (°/100')DLS (°/100') (deg)81.08 82.61 Oriented :0 n/a n/a 0.00Inclination (deg)107.09 108.20 Rotating :1220 43 0.00 0.00 0.00Azimuth Total :1220 43 0.13 0.09 0.15 COMMENTS Sensor Distances: ABI - 11.18' / Res - 42.17' / Gamma - 49.23' / PWD - 62.44' / Directional - 74.91' OBJECTIVES BHA 5 (Run 500) Objectives: This BHA is a duplicate of BHA # 3 that was pulled from the hole due to loss circulation problems. The objective for the BHA will be to geo-steer the well to TD. The same bit and geo-pilot will be utilized along with the MWD tools from the previous BHA # 3. Starting depth for BHA is now 3,881' MD. The assembly will be required to build as aggressively as possible to achieve TVD target requirements set forth. Once the correct TVD has been reached it is believed the formation has a slight down dip which will be followed as per rig geologist. TD for the well is proposed to be at 5,300' MD however discussion on calling the depth early may become the plan if more hole problems occur. RESULTS BHA # 5 (Run 500) Results: This BHA had great difficulty drilling the production section. From the beginning inclination was impossible to maintain with no chance of building any hole angle. The 5200 geo-pilot was set at 100% deflection with a high side tool face from the beginning depth of 3,881' MD. Housing roll and toolface tracking were uncontrollable. The BHA exited the pay zone at 3,950' MD +/- going out of the bottom with an inclination of 79° meant a hard climb to reacquire pay. The BHA went in the hole and washed down past the 69' drilled with the dumb iron assembly. At 3,854' MD to 3,868' MD the 5200 geo-pilot ABI reading showed the dumb iron BHA had lost 2.25° in the short 16' section. This was a prelude of things to come for this BHA. The formation whether unconsolidated or faulted allowed for absolutely no build every effort was made to keep the angle with out any positive results. Once out of the bottom of the pay zone the geo-pilot immediately began tracking well. Page 15 RESULTS No housing roll or tool face tracking problems occurred. The BHA yielded 10° doglegs in the shale as it made a climb in inclination. Instructions from geology were received to build with 100% deflection and do not drop the deflection until a very high inclination was achieved. The inclination was allowed to build to a remarkable 99° geologist informed the directional driller he could work on getting the azimuth back to plan but not to start dropping inclination until instructed. The assembly unfortunately entered the pay zone at this extremely aggressive angle. Thought process was that the BHA would immediately drop as it did previously however this was not the case and with 100% deflection pointing the bit straight down the BHA was only achieving 3° dogleg rates which were far from sufficient to get the angle down before shooting to the top of the pay zone and exiting at 4,352' MD. Discussions were held at the rig and with town personnel and ultimately the decision were made to drill ahead and drop inclination down from the current inclination of 96° at 4,275' MD to 88°. This was done and drilling continued with the assembly finally back in pay at 4,525' MD. Once again when in zone with all attempts to hold angle failing the assembly drilled out of the bottom of the pay zone at 5,049' MD. The well was called TD at 5,101' MD. Out of zone footage - 3,950' MD - 4,161' MD / 4,352' MD - 4,525' MD / 5,049' MD - 5,101' MD. Total footage drilled in zone 955' Drilling Statistics: Depth in 3,881' MD Depth out 5,101' MD Total footage - 1,220' Deflection used on 5200 geo-pilot throughout interval. Bit grade at surface - 1-1WT-A-X-I-NO-TD RECOMMENDATIONS BHA # 5 Recommendation for future Walakpa production hole sections are as follows: A new directional plan that lands the intermediate at a higher angle. As much as 88° inclination without a loss of vertical section would benefit drilling this zone as building in unconsolidated sands is extremely difficult get as much angle prior to entering the pay zone as possible. Use of a 4-3/4" slow speed mud motor with a bend setting of 1.5° and a tri-cone bit will be a much better selection in this section. This would require running push pipe higher up in the string. OTHER Page 16 BHA Schematic North Slope Borough Walakpa #12 IADC Rig BHA # : 5 Run # : 500 Drillstring : Drillstring OD COMPONENT DATA (in)(ft) Length Description HDBS FX G55D LGPDC (Gauge: 6.125 in)6.000 1.18 Geo-Pilot 52005.250 16.19 Ref Housing Stabilizer (Gauge: 5.875 in, Pos*: 12.68 ft) Geo-Pilot 5200 Sleeve Stabilizer (Gauge: 6.100 in, Pos*: 10.46 ft) Geo-Pilot 5200 Flex Collar4.250 11.55 Geo-Pilot 5200 Flex Collar Wear Band (Gauge: 5.300 in, Pos*: 10.08 ft) Inline Stabilizer (ILS) (Gauge: 5.940 in, Pos*: 1.28 ft)4.680 3.58 SP4 Gamma/Res/HCIM4.720 24.40 MWD PWD4.710 10.85 Inline Stabilizer (ILS) (Gauge: 6.100 in, Pos*: 0.00 ft)4.750 3.58 4 3/4" DM Collar4.750 9.27 4 3/4" Telementary HOC4.790 11.28 Float Sub4.750 2.19 Flex Collar4.670 31.04 Flex Collar4.680 31.00 Flex Collar4.780 30.90 Weatherford Crossover4.970 2.64 4" XT-39 HWDP (4 Jts)4.000 131.46 4-3/4" Weatherford Hyd Jar4.820 29.28 4" XT-39 HWDP (13 Jts)4.000 394.38 *Pos: Measured as distance from bottom of the component. Page 6 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA Motor Performance Report SUMMARY Depth In/Out (ft):96.00 /1207.00BHA Number :1 Date In/Out :01/17/2012 /01/19/2012Run Number :0100 Hole Size (in):12.25Bit Number :1 DFB (ft) Component Yes/No Type Value Gauge 12.19 in3.15 Sleeve Stab Yes Sleeve 1.50° bend8.16 Bent Housing Yes Adjustable Bent Housing Pad No 31.69 Motor Top Yes Lower String Stab No Upper String Stab No MOTOR CONFIGURATION MOTOR PARAMETERS Serial Number :800456 Lobe Config :4:5 Motor Run #:1 Stat Elastomer :Nitrile OD (in):8 ID (in):5 Short Brg Pack :Yes Flex Collar Used :Yes Arr Ret Rotor Nozzle (32nd):0.0 Pick Up Sub :Yes No Bit Box Protr :Yes No MOTOR RUN DATA Directional Driller(s):Mark Brouillet,Arthur Morgan Application Details :Steerable Drilling Max Dogleg While Rotating :6.30(°/100') RPM :45.00 Motor Stalled :No Max Dogleg Overpulled In (°/100'):6.30 Force (klb):5000.00 Float Valve :Yes Max Dogleg Pushed Through (°/100'):6.30 Force (klb):7000.00 DP Filter :No Page 1 Inc Start/End (deg):0.289 /29.277 Interval Oriented / Rot. (ft):376.00 /735.00 Hole Azimuth Start / End (deg):311.75 /101.489 Directional Perf Ori / Rot (°/100'):2.75 /1.00 Jarring Occurred :No HOURS Existing Hrs :0.00 Circ Hrs :16.08 Total Hrs This Run :40.55 Drilling Hrs :20.41 Reaming Hrs :4.06 New Cumulative Hrs :40.55 DRILLING DATA Diff Press RPM Rotn Torque Drag Up/Down WOB ROP Oriented ROP Rotated (psig) (ft-lb) (klb) (fph) (fph)(klb) Avg 131.13 45 1889.21 46.50 /44.89 12.21 48 58 Max 125.00 45 2000.00 50.00 /47.00 15.00 85 94 PRE-RUN TESTS Motor Tested Pre-Run :Yes with Bit/MWD :Yes / Yes Dump Sub Operating :No Brg Play : Flow 1 (gpm):400.00 Pressure 1 (psig):720.00 Flow 2 (gpm):Pressure 2 (psig): Driveshaft Rotation Observed :No Bearing Leakage Observed :No POST-RUN TESTS Motor Tested Post-Run :Yes with Bit/MWD :Yes / No Dump Sub Operating :No Brg Play : Flow 1 (gpm):Pressure 1 (psig): Flow 2 (gpm):Pressure 2 (psig): Driveshaft Rotation Observed :Yes Fluid Flushed :Yes Bearing Leakage Observed :Yes Fluid Used :Oil DriveShaft Rotated to Drain Mud :Yes MUD DATA Type :Fresh Water Mud Wt (ppg):9.50 Name :Spud pH : % Oil / Water :/% Solid : DH Temp Avg / Max (degF):0.00 / 0.00 % Sand :2.00 SPP Start / End (gpm):720.00 / 1250.00 PV (cP):13.00 Flow Rate Avg / Max (gpm):462.69 / 485.00 YP (lhf2):8.00 Chloride Content (ppm): Lithology :Permafrost Principal Formation Name(s):Gravel Page 2 BIT DATA Bit Number :1 Nozzles :3x16,1x12 Bit Size (in):12.250 TFA (in2):0.6995 Manufacturer :HDBS Gauge Length :0.500(in) Model :622394 Dull Grade In :NEW Serial Number :11748526 Dull Grade Out :1-1-WT-A-I-E-NO-TD Existing Bit Hrs :0.00 Existing Ream Hrs :0.00 Cum Drilling Hrs :20.41 Cum Ream Hrs :4.06 PERFORMANCE Service Interrupt :No Trip For Failure :No LIH :No Service Interrupt Hrs :0.00 Problem Date :01/17/2012 COMMENTS Strong performance even at low end of power curve with low flow rates. Page 3 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA Motor Performance Report SUMMARY Depth In/Out (ft):1207.00 /3680.00BHA Number :2 Date In/Out :01/23/2012 /01/28/2012Run Number :0200 Hole Size (in):8.5Bit Number :2 DFB (ft) Component Yes/No Type Value Gauge 8.31 in3.67 Sleeve Stab Yes Sleeve 1.50° bend6.81 Bent Housing Yes Adjustable Bent Housing Pad No 28.22 Motor Top Yes Lower String Stab No Upper String Stab No MOTOR CONFIGURATION MOTOR PARAMETERS Serial Number :675-997 Lobe Config :6:7 Motor Run #:2 Stat Elastomer :Nitrile OD (in):6.75 ID (in):4.5 Short Brg Pack :Yes Flex Collar Used :Yes Arr Ret Rotor Nozzle (32nd):0.0 Pick Up Sub :Yes No Bit Box Protr :Yes No MOTOR RUN DATA Directional Driller(s):Mark Brouillet,Arthur Morgan Application Details :Steerable Drilling Max Dogleg While Rotating :7.40(°/100') RPM :65.00 Motor Stalled :No Max Dogleg Overpulled In (°/100'):7.40 Force (klb):5.00 Float Valve :Yes Max Dogleg Pushed Through (°/100'):7.40 Force (klb):5.00 DP Filter :No Page 4 Inc Start/End (deg):29.277 /76.143 Interval Oriented / Rot. (ft):720.00 /1753.00 Hole Azimuth Start / End (deg):101.489 /103.396 Directional Perf Ori / Rot (°/100'):0.00 /0.00 Jarring Occurred :No HOURS Existing Hrs :0.00 Circ Hrs :24.49 Total Hrs This Run :63.71 Drilling Hrs :26.27 Reaming Hrs :12.95 New Cumulative Hrs :63.71 DRILLING DATA Diff Press RPM Rotn Torque Drag Up/Down WOB ROP Oriented ROP Rotated (psig) (ft-lb) (klb) (fph) (fph)(klb) Avg 141.69 62 2738.75 58.52 /51.08 6.58 83 100 Max 175.00 70 3500.00 63.00 /53.00 10.00 144 162 PRE-RUN TESTS Motor Tested Pre-Run :Yes with Bit/MWD :Yes / Yes Dump Sub Operating :No Brg Play : Flow 1 (gpm):400.00 Pressure 1 (psig):720.00 Flow 2 (gpm):Pressure 2 (psig): Driveshaft Rotation Observed :No Bearing Leakage Observed :No POST-RUN TESTS Motor Tested Post-Run :No with Bit/MWD :No / No Dump Sub Operating :No Brg Play : Flow 1 (gpm):Pressure 1 (psig): Flow 2 (gpm):Pressure 2 (psig): Driveshaft Rotation Observed :Yes Fluid Flushed :Yes Bearing Leakage Observed :No Fluid Used :Oil DriveShaft Rotated to Drain Mud :Yes MUD DATA Type :Fresh Water Mud Wt (ppg):9.90 Name :LSND pH :9.00 % Oil / Water :/ 92.10 % Solid : DH Temp Avg / Max (degF):0.00 / 0.00 % Sand :0.25 SPP Start / End (gpm):930.00 / 1850.00 PV (cP):18.00 Flow Rate Avg / Max (gpm):458.77 / 470.00 YP (lhf2):20.00 Chloride Content (ppm): Lithology :Sandstone Principal Formation Name(s):Barrow Sands Page 5 BIT DATA Bit Number :2 Nozzles :5x13 Bit Size (in):8.500 TFA (in2):0.6481 Manufacturer :HDBS Gauge Length :3.000(in) Model :FX2526 Dull Grade In : Serial Number :5013668 Dull Grade Out :0-1-CT-S-X-I-NO-TD Existing Bit Hrs :0.00 Existing Ream Hrs :0.00 Cum Drilling Hrs :26.27 Cum Ream Hrs :12.95 PERFORMANCE Service Interrupt :No Trip For Failure :No LIH :No Service Interrupt Hrs :0.00 Problem Date :01/24/2012 COMMENTS Good motor performance with no NPT associated with this BHA Page 6 WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA Geo-Pilot Performance Report SUMMARY Depth In/Out (ft):3680.00 /3812.00BHA Number :3 Date In/Out :01/30/2012 /02/03/2012Run Number :0300 Hole Size (in):6.125Bit Number :3 GEO-PILOT BHA STABILIZER POSITIONS DFB (ft) Component Type Diameter (in) 6.10011.64 Sleeve Stabilizer Geo-Pilot 5200 Sleeve Stabilize 5.87513.86 Reference Stabilizer Standard Reach Pad 5.30027.45 Wear Band Geo-Pilot 5200 Flex Collar Wear 5.94030.19 Stabilizer Inline Stabilizer (ILS) 6.10069.53 Stabilizer Inline Stabilizer (ILS) GEO-PILOT PARAMETERS Serial Number :TL-042 Model :5200 GP Tool Number :AK90309737D4 GEO-PILOT RUN DATA Directional Driller(s):Mark Brouillet,Arthur Morgan Application Details :Steerable Drilling Max Dogleg While Rotating :3.40 Force (klb) Interval Deflection On/Off (ft):132.00 /0.00(°/100') Max Dogleg Overpulled In (°/100'):3.40 /0.00 DLS Deflection On/Off (°/100'):100.00 /0.00 Max Dogleg Pushed Through (°/100'):3.40 /0.00 External Battery :Yes Inc Start/End (deg):76.14 /79.38 Max Temp (Circulating) (degF):65.80 Hole Azimuth Start / End (deg):103.40 /105.83 Max Temp (Static) (degF):65.80 Gamma at Bit :Jarring Occurred :No HOURS Existing Hrs :89.74 Circ Hrs :7.63 Total Hrs This Run :15.48 Drilling Hrs :3.27 Reaming Hrs :4.58 New Cumulative Hrs :105.22 Page 1 DRILLING DATA RPM Rotn Torque Drag Up/Down WOB ROP SPP Flow In (ft-lb) (klb) (fph) (psig)(klb) (fph) Avg 60 4533.33 64.00 /46.00 12.50 40 1103 188 Max 60 6550.00 64.00 /46.00 14.00 65 1240 200 PRE-RUN TESTS POST-RUN TESTS BATTERY HOURS Oil Fill :Yes Oil Fill :No Amp Hrs Start :19.00 Oil Pressure (psig):Oil Pressure (psig):Amp Hrs End :18.40 Dip Stick Measurement (in):Dip Stick Measurement (in):Amp Hrs Consumed :0.60 Tool Voltage Start/End (V):19.40 / 19.50 OIL STATUS SOFTWARE VERSIONS TOOL STATUS Oil Type :SHC 624 HCIM :Brake Slip %:Housing Slip %: Oil Status OK?:Geo-Pilot :Clutch Slip %:GTotal Error %: PWD :Piston Pos. 1 :ToolFace Tracking %:7.36 ---:Piston Pos. 2 :INSITE Software Version : ---:Switch Failure :Geo-Span Serial No.:210066 MUD DATA Type :pH : :Name :% Solid % Oil / Water :/% Sand : DH Temp Avg / Max (degF):0.00 / 0.00 PV (cP): SPP Start / End (gpm):840.00 / 1240.00 YP (lhf2): Flow Rate Avg / Max (gpm):188.33 / 200.00 Additives :LCM Chloride Content (ppm):Aniline : Mud Weight (ppg): Lithology :sandstone Principal Formation Name(s):Walapka sands BIT DATA Bit Number :3 Nozzles :5x11 Bit Size (in):6.125 TFA (in2):0.4640 Manufacturer :HDBS Gauge Length :11.000(in) Model :FXG55D Dull Grade In : Serial Number :11747462 Dull Grade Out :1-1-WT-A-X-I-NO-HP Existing Bit Hrs :158.48 Existing Ream Hrs :0.00 Cum Drilling Hrs :161.75 Cum Ream Hrs :4.58 Page 2 GEO-SPAN OPERATING PARAMETERS PWD Press Differential Downlink Threshold DH Pulse Amp (Z2) DH Noise Z6 non DLSurf Pulse Amp GS Nozzle Size (psig) (psig)(cnts)(cnts) (cnts)(32nd) Start of Run 779.00 16.00 Average 16.00783.00 End of Run 16.00795.00 PERFORMANCE Service Interrupt :No Trip For Failure :No LIH :No Service Interrupt Hrs :0.00 Problem Date :01/30/2012 COMMENTS Geo-Pilot was run for 132' after drilling out shoe track. BHA pulled due to loss circulation hole problems. No damage visible geo-pilot was perfroming well. No surveys taken due to hole problems. TOOL PROBLEMS Problem Yes/No Comments ENVIRONMENT PROBLEMS Problem Yes/No Comments Page 3 Geo-Pilot® Performance Report Perceived Problem Report Enclose HardCopyies of all runs together with the Geo-Pilot tool paperwork in the tool. Forward electronic copies of this form to the local R & M Centre, to Dave.Watson2@Halliburton.com, Jim.Tilly@Halliburton.com and the Job DD/GP Co-ordinator. January 2006 Geo-Pilot Tool Number: Tool Size : SAP Virtual Tool Number Job No: TL042 5200 AK90309737D4 AK-MJ-0008370358 Location: Rig: Operator: Well No: Barrow Alaska Kuukpik 5 PRA/ NSB Walakpa 12 Cumulative Bit Run # BHA # / INSITE Run # This GP Run # Hole Size: 3 3 / 300 1 6.125 Depth In: Depth Out: Date In Time In: Date Out: Time Out: 3680 ft 3812 ft 1/30/2012 10:30 02/03/2012 04:15 Application Details: GEO-PILOT CONFIGURATION 1 Reference Stabiliser Size: 5.875 Type: 36 Pizza cutters Dia. In/Out / 2 Repeater Sub Stabiliser Size: N/A Type: Dia. In/Out / 3 Additional. Stabiliser Size: Type: 4 blade spiral Dia. In/Out / 4 AdditionalStabiliser Size: Type: 4 blade spiral Dia. In/Out / 5 Additional Stabiliser Size: Type: Dia. In/Out / 6 Additional Stabiliser Size: Type: Dia. In/Out / Arrived/Returned c/w: Flex Collar: y / y Lifting Brace: y / y Thread Protectors: y / y GEO-PILOT RUN DATA Max DLS Rotated Through 3.40 Max DLS O/Pull In/Force 3.40 Max DLS Pushed /Force 3.40 Interval Deflection On/Off: 132 ft DLS Deflection On/Off: 132 / 0 Hole Az. Start / End: 101/101 Max Temp °C (Circulating) 68.4 Max Temp °C (Static) 68.4 Jarring Occurred ? N Inc. Start / End: 80 /84 GP Gamma at Bit Run N External Battery Y String RPM: Rotation Torque: Drag Up / Down: WOB: ROP: SPP: Flow In: Avg. 60 2500 2000 10 62 1100 180 Max 60 3000 3000 12 62 1200 180 TOOL AND BATTERY HOURS Prev. Cumulative Circ Hrs 0 Circ Hrs while Drilling this run 3.33 Amp Hrs Start: 19 Total Circ Hrs This Run 12 Circ Hrs while Reaming this run Amp Hrs End: 18.4 New Cumulative Circ Hrs. 12 Circ Hrs Other Activity this run 8.67 Amp Hrs Consumed: 0.6 NB: Total Circ Hrs = Drilling Hrs + Circ Hrs + Reaming Hrs = AS PER PLANIT Tool Voltage Start / End 19.4 V / 19.5 V OIL STATUS & MEASURMENTS Oil Type SHC 0639 Dip-Stick Measurement Pre/Post ” / ” Oil Fill Pre-Run Y/N N Oil Pressure - Pre-Run psi Oil Fill Post-Run Y/N N Oil Pressure - Post-Run psi OIL STATUS: (Date & Time of 1st Flag) OK? PISTON POS.1 PISTON POS. 2 UNKNOWN TOOL STATUS Brake Slip: Clutch Slip: Housing Slip: Tool Face Tracking: G-Total Error: 0 0 0 NO NO INSITE Software Version: 73.5 Geo-Span™ Serial No.: 210066 DOWNHOLE SOFTWARE VERSIONS: HCIM Geo-Pilot PWD SDC/TM DM 38.47 1.38 3.7 8.04 6.21 MUD DATA Mud Company: Bariod Mud Type: Polymer Base Fresh Water Solids .6 % Sand .25 pH 8.7 Additives Polymer Aniline Y.P. 10 Chloride 50000 Mud Weight: 8.8 P.V. 12 Temp°C 22 % Oil / Water Stand Pipe Pressure Start/End: 1100/1120 Principal Formation Names: Walakpa Sands BIT DATA Make: HDBS Type: FXG55D Size: 6.125 Serial No: 11747462 Cumulative Bit Hrs 3.33 Previous Drilling Hours: 54.5 Previous Reaming Hours: Jet Sizes: 11 11 11 11 11 TFA: Bit Gauge Length:.21 Sleeve Gauge Length: 11 IADC In IADC Out 1 1 WT A X I NO HP Geo-Pilot® Performance Report Perceived Problem Report Enclose HardCopyies of all runs together with the Geo-Pilot tool paperwork in the tool. Forward electronic copies of this form to the local R & M Centre, to Dave.Watson2@Halliburton.com, Jim.Tilly@Halliburton.com and the Job DD/GP Co-ordinator. January 2006 GEO-SPAN OPERATING PARMETERS: SPP Surf Pulse Amp PWD Press Differential GS Nozzle Size DL Threshold (Z7) DH Pulse Amp (Z2) DH Noise Z6 non DL MD Units psi psi psi 32nds Counts Counts Counts ft Start of Run 1000 458 16 220 779 20 3680 Average 1127 632 16 220 783 29 3746 End of Run 810 760 16 220 795 40 3812 GEO-SPAN SKID PROBLEMS Details: GEO-SPAN DETECTION PROBLEMS OR SOFTWARE PROBLEMS Details: PERFORMANCE COMMENTS: Problem Perceived? NO Problem Date Service Interrupt? NO Service Interrupt Hrs 0 Customer Perceived Tool Failure ? NO TOOL PROBLEMS: OIL STATUS PROBLEMS no Details: TOOLFACE / DEFLECTION / TRACKING PROBLEMS Details: REFERENCE STABILISER / HOUSING PROBLEMS Details: CLUTCH/BRAKE SLIP PROBLEMS Details: ABI / GTOTAL ERROR Details: SOFTWARE PROBLEMS Details: BATTERY PROBLEMS Details: GP RAN OUT OF SPEC Details: HOLE/ENVIRONMENT/DRILLING PROCEDURE: GEO-PILOT USED TO DRILL SHOE/PLUGS/CEMENT. YES Details: Done with no problems MUD DISPLACED yes Details: Done with no problems HOLE PROBLEMS yes Details: Loss Circulation VIBRATION PROBLEMS DDS Peak X: DDS Peak Y: DDS Peak Z: Details: PRESSURE SPIKES Details: UNDER-REAMER USED Details: Size: Where in BHA: WHIPSTOCK USED Type: N/A Blade Deflection ° SIDETRACK PERFORMED Type: N/A Inclination at start of sidetrack: Details: ° MAX PRESSURES Annulus: psi Bore: psi OTHER PROBLEMS Details: GEO-PILOT PERSONNEL GP DIRECTIONAL DRILLERS Mark Brouillet Arthur Morgan GP RST ENGINEERS GP FE/LWD ENGINEERS Lucas Smith Blake Delaney Additional Comments: BHA # 3 (Run 300) Results Results for BHA were unfavourable due to hole problems centred around loss circulation. This BHA had a lot of below rotary time but only 3.27 drilling hrs. The BHA of course had the routine tasks being used for the casing test to 2,500 psi, Drilling out shoe track, Displacing to new mud and Geo-Pilot® Performance Report Perceived Problem Report Enclose HardCopyies of all runs together with the Geo-Pilot tool paperwork in the tool. Forward electronic copies of this form to the local R & M Centre, to Dave.Watson2@Halliburton.com, Jim.Tilly@Halliburton.com and the Job DD/GP Co-ordinator. January 2006 drilling 22' of new hole. Once these tasks were completed the FIT to 13.5 ppg EMW was done and the assembly was then used to begin building angle for landing horizontal with a new TVD target 14' higher then the original directional plan. The new target was to be 3,950 MD be at 2,325' TVD at an angle of 90°. This would have required 6° to 7° dogleg rates to achieve. 100% deflection was applied to the 5200 geo-pilot from the bottom of the 7" casing shoe at 3,670' MD. The assembly was delivering the required dogleg rates to meet the new geological requirements. Problems arose as soon as the assembly broke into the payzone sands. An immediate loss rate of 40 bbl per hour with this the assembly was immediately pulled back into the 7" casing shoe. The hole was taking over 30 bbl per hour at a static rate with the hole being filled via the trip tank. Several LCM pills were pumped with the static loss rate dropping down to 4 bbl per hour and then no losses while static with out pumping. With no losses with a static situation it was decided to attempt to drill ahead and log the interval to possibly see if the formation had faulted or fractured in this area. One 63' stand was drilled down at 180 gpm while pumping and drilling ahead loss rate became 170 bbl's per hr. Assembly was again pulled to the shoe with more LCM pills pumped these pills were 40 lb per bbl. With a static loss rate of 35 bbl per hr the directional driller informed the PRA management that at times as much as 80 lbs per bbl of LCM had been pumped through the tools with out plugging the string. With this information it was also necessary to inform PRA management that it would in fact exceed tool specifications and no liability or NPT would be absorbed by Sperry. The 80 lbs per bbl LCM pill was pumped with no adverse effect to the tools down hole. Loss rate did not slow and the PRA management team requested the BHA be hoisted to surface and laid down for a dumb iron assembly with a milltooth bit and open jets that would allow them to pump a more aggressive LCM pill with fiber and higher lb per bbl then the previous pill pumped. The trip out was uneventful and the tools inspected on surface showed no damage. Bit was graded the same as when it went in the hole. Drilling statistics: 100% Deflection while drilling Toolface setting 20° left of high side Total footage 132' Average ROP 40 fph, Average flow rate 180 gpm, Average standpipe pressure 1,100 psi, RPM average 60 Bit weight 12.5k - 14k. No survey taken during run. Directional sensor 75' from bit. Geo-Pilot used - 5200 TL-042 PDC Bit HDBS FXG55D grade at surface 1-1-WT-A-X-I-NO-HP Total footage 132' Accumulated footage 3,046' WELL INFORMATION Customer :North Slope Borough Well Name :Walakpa #12 AK-XX-0008370358Job Number : Rig Name :Kuukpik 5 Field Name :Walakpa Gas Field Country :USA Geo-Pilot Performance Report SUMMARY Depth In/Out (ft):3881.00 /5101.00BHA Number :5 Date In/Out :02/06/2012 /02/09/2012Run Number :0500 Hole Size (in):6.125Bit Number :5RR1 GEO-PILOT BHA STABILIZER POSITIONS DFB (ft) Component Type Diameter (in) 6.10011.64 Sleeve Stabilizer Geo-Pilot 5200 Sleeve Stabilize 5.87513.86 Reference Stabilizer Standard Reach Pad 5.30027.45 Wear Band Geo-Pilot 5200 Flex Collar Wear 5.94030.20 Stabilizer Inline Stabilizer (ILS) 6.10069.54 Stabilizer Inline Stabilizer (ILS) GEO-PILOT PARAMETERS Serial Number :TL-042 Model :5200 GP Tool Number :AK90309737D4 GEO-PILOT RUN DATA Directional Driller(s):Mark Brouillet,Arthur Morgan Application Details :Steerable Drilling Max Dogleg While Rotating :10.00 Force (klb) Interval Deflection On/Off (ft):1220.00 /0.00(°/100') Max Dogleg Overpulled In (°/100'):10.00 /5.00 DLS Deflection On/Off (°/100'):100.00 / Max Dogleg Pushed Through (°/100'):10.00 /5.00 External Battery :Yes Inc Start/End (deg):81.08 /82.61 Max Temp (Circulating) (degF): Hole Azimuth Start / End (deg):107.09 /108.20 Max Temp (Static) (degF): Gamma at Bit :Jarring Occurred :No HOURS Existing Hrs :105.22 Circ Hrs :14.44 Total Hrs This Run :58.04 Drilling Hrs :28.11 Reaming Hrs :15.49 New Cumulative Hrs :163.26 Page 4 DRILLING DATA RPM Rotn Torque Drag Up/Down WOB ROP SPP Flow In (ft-lb) (klb) (fph) (psig)(klb) (fph) Avg 65 4864.58 62.79 /46.04 12.33 43 941 165 Max 90 7000.00 67.00 /54.00 20.00 167 1300 220 PRE-RUN TESTS POST-RUN TESTS BATTERY HOURS Oil Fill :No Oil Fill :No Amp Hrs Start :18.00 Oil Pressure (psig):Oil Pressure (psig):Amp Hrs End :15.50 Dip Stick Measurement (in):Dip Stick Measurement (in):Amp Hrs Consumed :2.50 Tool Voltage Start/End (V):20.71 / 20.82 OIL STATUS SOFTWARE VERSIONS TOOL STATUS Oil Type :SHC 624 HCIM :Brake Slip %:Housing Slip %: Oil Status OK?:Geo-Pilot :Clutch Slip %:GTotal Error %: PWD :Piston Pos. 1 :ToolFace Tracking %:7.36 ---:Piston Pos. 2 :INSITE Software Version : ---:Switch Failure :Geo-Span Serial No.: MUD DATA Type :pH : :Name :% Solid % Oil / Water :/% Sand : DH Temp Avg / Max (degF):0.00 / 0.00 PV (cP): SPP Start / End (gpm):650.00 / 1300.00 YP (lhf2): Flow Rate Avg / Max (gpm):165.21 / 220.00 Additives :LCM Chloride Content (ppm):Aniline : Mud Weight (ppg): Lithology :Sandstone Principal Formation Name(s):Walakpa Sands BIT DATA Bit Number :5RR1 Nozzles :5x11 Bit Size (in):6.125 TFA (in2):0.4640 Manufacturer :HDBS Gauge Length :11.000(in) Model :FXG55D Dull Grade In :1-1-WT-A-X-I-NO-HP Serial Number :11747462 Dull Grade Out :1-1WT-A-X-I-NO-TD Existing Bit Hrs :161.75 Existing Ream Hrs :4.58 Cum Drilling Hrs :189.86 Cum Ream Hrs :20.07 Page 5 GEO-SPAN OPERATING PARAMETERS PWD Press Differential Downlink Threshold DH Pulse Amp (Z2) DH Noise Z6 non DLSurf Pulse Amp GS Nozzle Size (psig) (psig)(cnts)(cnts) (cnts)(32nd) Start of Run 420.00 16.00 Average 16.00400.00 End of Run 16.00380.00 PERFORMANCE Service Interrupt :No Trip For Failure :No LIH :No Service Interrupt Hrs :0.00 Problem Date :02/06/2012 COMMENTS Formation unconsolidated not able to maintain inclination TOOL PROBLEMS Problem Yes/No Comments ENVIRONMENT PROBLEMS Problem Yes/No Comments Page 6 Geo-Pilot® Performance Report Perceived Problem Report Enclose HardCopyies of all runs together with the Geo-Pilot tool paperwork in the tool. Forward electronic copies of this form to the local R & M Centre, to Dave.Watson2@Halliburton.com, Jim.Tilly@Halliburton.com and the Job DD/GP Co-ordinator. January 2006 Geo-Pilot Tool Number: Tool Size : SAP Virtual Tool Number Job No: TL042 5200 AK90309737D4 AK-MJ-0008370358 Location: Rig: Operator: Well No: Barrow Alaska Kuupik 5 PRA/ NSB Walakpa 12 Cumulative Bit Run # BHA # / INSITE Run # This GP Run # Hole Size: 5 5/500 2 6.125 Depth In: Depth Out: Date In Time In: Date Out: Time Out: 3812 5101 2-6-2012 01:07 2-09-2012 09:07 Application Details: GEO-PILOT CONFIGURATION 1 Reference Stabiliser Size: 5.875 Type: 36 Pizza cutters Dia. In/Out / 2 Repeater Sub Stabiliser Size: N/A Type: Dia. In/Out / 3 Additional. Stabiliser Size: Type: 4 blade spiral Dia. In/Out / 4 AdditionalStabiliser Size: Type: 4 blade spiral Dia. In/Out / 5 Additional Stabiliser Size: Type: Dia. In/Out / 6 Additional Stabiliser Size: Type: Dia. In/Out / Arrived/Returned c/w: Flex Collar: y / y Lifting Brace: y / y Thread Protectors: y / y GEO-PILOT RUN DATA Max DLS Rotated Through 10 Max DLS O/Pull In/Force 10/5 Max DLS Pushed /Force 10/5 Interval Deflection On/Off: 1220/0 DLS Deflection On/Off: 1220/0 Hole Az. Start / End: 103/100 Max Temp °C (Circulating) 70.88 Max Temp °C (Static) 70.88 Jarring Occurred ? N Inc. Start / End: 79/84.8 GP Gamma at Bit Run N External Battery Y String RPM: Rotation Torque: Drag Up / Down: WOB: ROP: SPP: Flow In: Avg. 65 4800 62/46 12 43 941 165 Max 90 7000 67/54 20 167 1300 220 TOOL AND BATTERY HOURS Prev. Cumulative Circ Hrs 12 Circ Hrs while Drilling this run 28.11 Amp Hrs Start: 18 Total Circ Hrs This Run 58.04 Circ Hrs while Reaming this run 15.49 Amp Hrs End: 14.5 New Cumulative Circ Hrs. 163.26 Circ Hrs Other Activity this run 14.44 Amp Hrs Consumed: 3.5 NB: Total Circ Hrs = Drilling Hrs + Circ Hrs + Reaming Hrs = AS PER PLANIT Tool Voltage Start / End 19.4 V / 19.5 V OIL STATUS & MEASURMENTS Oil Type SHC 0639 Dip-Stick Measurement Pre/Post ” / ” Oil Fill Pre-Run Y/N N Oil Pressure - Pre-Run psi Oil Fill Post-Run Y/N N Oil Pressure - Post-Run psi OIL STATUS: (Date & Time of 1st Flag) OK? PISTON POS.1 PISTON POS. 2 UNKNOWN TOOL STATUS Brake Slip: Clutch Slip: Housing Slip: Tool Face Tracking: G-Total Error: 0 0 0Yes Yes NO INSITE Software Version: 73.5 Geo-Span™ Serial No.: 210066 DOWNHOLE SOFTWARE VERSIONS: HCIM Geo-Pilot PWD SDC/TM DM 88.47 1.38 3.7 8.04 6.21 MUD DATA Mud Company: Baroid Mud Type: Polymer Base Fresh Water Solids .6 % Sand .25 pH 8.7 Additives Polymer Aniline Y.P. 10 Chloride 50000 Mud Weight: 8.8 P.V. 12 Temp°C 22 % Oil / Water Stand Pipe Pressure Start/End: 1100/1120 Principal Formation Names: Walakpa Sands BIT DATA Make: HDBS Type: FXG55D Size: 6.125 Serial No: 11747462 Cumulative Bit Hrs 3.33 Previous Drilling Hours: 54.5 Previous Reaming Hours: Jet Sizes: 11 11 11 11 11 TFA: Bit Gauge Length:.21 Sleeve Gauge Length: 11 IADC In 1 1 WT A X I NO HP IADC Out 1 1 WT A X I NO TD Geo-Pilot® Performance Report Perceived Problem Report Enclose HardCopyies of all runs together with the Geo-Pilot tool paperwork in the tool. Forward electronic copies of this form to the local R & M Centre, to Dave.Watson2@Halliburton.com, Jim.Tilly@Halliburton.com and the Job DD/GP Co-ordinator. January 2006 GEO-SPAN OPERATING PARMETERS: SPP Surf Pulse Amp PWD Press Differential GS Nozzle Size DL Threshold (Z7) DH Pulse Amp (Z2) DH Noise Z6 non DL MD Units psi psi psi 32nds Counts Counts Counts ft Start of Run 1000 400 685 16 220 818 37 3881 Average 1127 200 412 16 220 710 95 4491 End of Run 900 150 466 16 220 669 83 5101 GEO-SPAN SKID PROBLEMS Details: GEO-SPAN DETECTION PROBLEMS OR SOFTWARE PROBLEMS Details: PERFORMANCE COMMENTS: Problem Perceived? NO Problem Date Service Interrupt? NO Service Interrupt Hrs 0 Customer Perceived Tool Failure ? NO TOOL PROBLEMS: OIL STATUS PROBLEMS Details: TOOLFACE / DEFLECTION / TRACKING PROBLEMS Details: Extreme housing roll and toolface tracking through out run very unconsolidated formation pay sand REFERENCE STABILISER / HOUSING PROBLEMS Details: CLUTCH/BRAKE SLIP PROBLEMS Details: ABI / GTOTAL ERROR Details: SOFTWARE PROBLEMS Details: BATTERY PROBLEMS Details: GP RAN OUT OF SPEC Details: HOLE/ENVIRONMENT/DRILLING PROCEDURE: GEO-PILOT USED TO DRILL SHOE/PLUGS/CEMENT. Details: MUD DISPLACED Details: HOLE PROBLEMS Details: Loss Circulation VIBRATION PROBLEMS DDS Peak X: DDS Peak Y: DDS Peak Z: Details: PRESSURE SPIKES Details: UNDER-REAMER USED Details: Size: Where in BHA: WHIPSTOCK USED Type: N/A Blade Deflection ° SIDETRACK PERFORMED Type: N/A Inclination at start of sidetrack: Details: ° MAX PRESSURES Annulus: psi Bore: psi OTHER PROBLEMS Details: GEO-PILOT PERSONNEL GP DIRECTIONAL DRILLERS Mark Brouillet Arthur Morgan GP RST ENGINEERS GP FE/LWD ENGINEERS Lucas Smith Blake Delaney Additional Comments: BHA # 5 (Run 500) Results: This BHA had great difficulty drilling the production section. From the beginning inclination was impossible to maintain with no chance of building any hole angle. The 5200 geo-pilot was set at 100% deflection with a highside toolface from the beginning depth of 3,881' MD. Housing roll and Geo-Pilot® Performance Report Perceived Problem Report Enclose HardCopyies of all runs together with the Geo-Pilot tool paperwork in the tool. Forward electronic copies of this form to the local R & M Centre, to Dave.Watson2@Halliburton.com, Jim.Tilly@Halliburton.com and the Job DD/GP Co-ordinator. January 2006 toolface tracking were uncontrollable. The BHA exited the pay zone at 3,950' MD +/- going out of the bottom with an inclination of 79° meant a hard climb to reacquire pay. The BHA went in the hole and washed down past the 69' drilled with the dumbiron assembly. At 3,854' MD to 3,868' MD the 5200 geo-pilot ABI reading showed the dumbiron BHA had lost 2.25° in the short 16' section. This was a prelude of things to come for this BHA. The formation whether unconsolidated or faulted allowed for absolutely no build every effort was made to keep the angle with out any positive results. Once out of the bottom of the payzone the geo-pilot immediately began tracking well. No housing roll or toolface tracking problems occurred. The BHA yielded 10° doglegs in the shale as it made a climb in inclination. Instructions from geology were received to build with 100% deflection and do not drop the deflection until a very high inclination was achieved. The inclination was allowed to build to a remarkable 99° geologist informed the directional driller he could work on getting the azimuth back to plan but not to start dropping inclination until instructed. The assembly unfortunately entered the payzone at this extremely aggressive angle. Thought process was that the BHA would immediately drop as it did previously however this was not the case and with 100% deflection pointing the bit straight down the BHA was only achieving 3° dogleg rates which were far from sufficient to get the angle down before shooting to the top of the pay zone and exiting at 4,352' MD. Discussions were held at the rig and with town personnel and ultimately the decision was made to drill ahead and drop inclination down from the current inclination of 96° at 4,275' MD to 88°. This was done and drilling continued with the assembly finally back in pay at 4,525' MD. Once again when in zone with all attempts to hold angle failing the assembly drilled out of the bottom of the pay zone at 5,049' MD. The well was called TD at 5,101' MD. Out of zone footage - 3,950' MD - 4,161' MD / 4,352' MD - 4,525' MD / 5,049' MD - 5,101' MD. Total footage drilled in zone 955' Drilling Statistics: Depth in 3,881' MD Depth out 5,101' MD Total footage - 1,220' Deflection used on 5200 geo-pilot throughout interval. Bit grade at surface - 1-1WT-A-X-I-NO-TD End of Well Report for North Slope Borough Rig: Rig: Rig: Rig: Kuukpik 5 Well Name: Well Name: Well Name: Well Name: Walakpa 12 Field Name: Field Name: Field Name: Field Name: Walakpa Gas Field Country: Country: Country: Country: USA Job Number: Job Number: Job Number: Job Number: AK-XX-0008370358 Job Start Date: Job Start Date: Job Start Date: Job Start Date: 12-Jan-12 API Number: API Number: API Number: API Number: 50-023-20040-00 Page 1 Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report General Information General Information General Information General Information Company: Company: Company: Company: North Slope Borough Rig: Rig: Rig: Rig: Kuukpik 5 Well: Well: Well: Well: Walakpa 12 Field: Field: Field: Field: Walakpa Gas Field State: State: State: State: Alaska County: County: County: County: North Slope Borough Country: Country: Country: Country: USA API Number: API Number: API Number: API Number: 50-023-20040-00 Sperry Job Number: Sperry Job Number: Sperry Job Number: Sperry Job Number: AK-XX-0008370358 Job Start Date: Job Start Date: Job Start Date: Job Start Date: 12-Jan-12 Job End Date: Job End Date: Job End Date: Job End Date: 10-Feb-12 North Reference: North Reference: North Reference: North Reference: True (deg) (deg) (deg) (deg) :: ::Total Correction Total Correction Total Correction Total Correction 17.650 Dip Angle Dip Angle Dip Angle Dip Angle (deg) (deg) (deg) (deg) :: :: 80.779 Total Magnetic Field Total Magnetic Field Total Magnetic Field Total Magnetic Field (nT) (nT) (nT) (nT) :: :: 57528 Date of Magnetic Data: Date of Magnetic Data: Date of Magnetic Data: Date of Magnetic Data: 22 January, 2012 Well Head coordinates N: Well Head coordinates N: Well Head coordinates N: Well Head coordinates N: 71 deg. 4 min 20.21 sec North Well Head coordinates E: Well Head coordinates E: Well Head coordinates E: Well Head coordinates E: 156 deg. 53 min 33.55 sec West Vertical section direction Vertical section direction Vertical section direction Vertical section direction (deg) (deg) (deg) (deg):: :: 101.08 Unit Number: Unit Number: Unit Number: Unit Number: 122 MWD Engineers: MWD Engineers: MWD Engineers: MWD Engineers: Joe Granados, Lucas Smith, Scott Willis, Blake Delaney Company Representatives: Company Representatives: Company Representatives: Company Representatives: Steve Hubbard, Don Breeden, Joe McInnis Company Geologist: Company Geologist: Company Geologist: Company Geologist: Al Heinrich, Al Heinrich Page 3 Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Operational Overview Operational Overview Operational Overview Operational Overview Sperry Drilling was called out on January 12, 2012 to provide MWD and LWD services for North Slope Borough’s well Walakpa 12. Run 100 was a 12.5” surface hole run drilled with an 8” performance motor and mill-tooth bit to 1,207’ MD / 1,161’ TVD. POOH to run 9 5/8” casing. Run 200 was a 8.5” intermediate hole section drilled with a 6” performance motor and PDC bit from 1,207’ MD / 1,161’ TVD to 3,680’ MD / 2,299’ TVD. POOH to run 7” casing. Run 300 was a 6.125” production hole section drilled with a 5200 Geo-Pilot and PDC bit from 3,680’ MD / 2,299’ TVD to 3,812’ MD / 2,321’ TVD. POOH to spot LCM pill and drill with dumb iron. No surveys were taken during this run. Run 400 was a 6.125” production hole section drilled with dumb iron and a tri-cone bit from 3,812’ MD / 2,327’ TVD to 3,881’ MD / 2,330’ TVD. MWD Run 500 was a 6.125” production hole section drilled with a Geo-Pilot and PDC bit from 3881’ MD / 2330’ TVD to TD @ 5,101’ MD / 2,367’ TVD. POOH to run 4 ½” liner. Thank you for using Sperry Drilling. Page 4 Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report (i n ) Su m m a r y o f M W D R u n s Su m m a r y o f M W D R u n s Su m m a r y o f M W D R u n s Su m m a r y o f M W D R u n s Ru n No . Bi t No . Ho l e S i z e MW D Se r v i c e St a r t D e p t h E n d D e p t h Ru n S t a r t D a t e Ti m e Ru n E n d D a t e Ti m e BR T H r s Op e r . H r s Ci r c . H r s Max Temp. Serv Int. Trip for MWD Failure Type (f t ) ( f t ) (degF) (f t ) Dr i l l / W i p e Di s t a n c e 10 0 1 12 . 2 5 P4 M 96 . 0 0 12 0 7 . 0 0 11 1 1 . 0 0 17 - J a n - 1 2 0 8 : 1 0 19 - J a n - 1 2 1 0 : 4 0 62 . 5 0 62 . 2 9 8 35 . 1 1 7 80.30 No No 20 0 2 8. 5 P4 M 12 0 7 . 0 0 36 8 0 . 0 0 24 7 3 . 0 0 23 - J a n - 1 2 1 0 : 1 3 28 - J a n - 1 2 1 2 : 0 9 97 . 9 3 97 . 9 6 0 50 . 0 5 1 99.00 No No 30 0 3 6. 1 2 5 P4 M 36 8 0 . 0 0 38 1 2 . 0 0 13 2 . 0 0 30 - J a n - 1 2 1 0 : 4 0 03 - F e b - 1 2 0 4 : 0 0 89 . 3 3 89 . 7 4 0 12 . 0 0 3 67.28 No No 50 0 5 6. 1 2 5 P4 M 38 8 1 . 0 0 51 0 1 . 0 0 12 2 0 . 0 0 06 - F e b - 1 2 0 1 : 3 0 09 - F e b - 1 2 0 9 : 0 0 79 . 5 0 80 . 0 1 6 51 . 6 4 7 70.88 No No Jo b N o : Jo b N o : Jo b N o : Jo b N o : A K - X X - 0 0 0 8 3 7 0 3 5 8 W e l l N a m e : We l l N a m e : We l l N a m e : We l l N a m e : W a l a k p a 1 2 E n d o f W e l l R e p o r t En d o f W e l l R e p o r t En d o f W e l l R e p o r t En d o f W e l l R e p o r t Page 5 Bit Run Summary Bit Run Summary Bit Run Summary Bit Run Summary Run Time Data Run Time Data Run Time Data Run Time Data MWD Run MWD Run MWD Run MWD Run :: ::100 Run Start Run Start Run Start Run Start 17-Jan-12 08:10 BRT Hrs BRT Hrs BRT Hrs BRT Hrs :: ::62.50 Circ. Hrs Circ. Hrs Circ. Hrs Circ. Hrs 35.12 :: :::: :: :: :::: ::Rig Bit No Rig Bit No Rig Bit No Rig Bit No :: ::1 Run End Run End Run End Run End 19-Jan-12 22:40 Hole Size Hole Size Hole Size Hole Size (in) (in) (in) (in) :: ::12.25 Oper. Hrs Oper. Hrs Oper. Hrs Oper. Hrs 62.30 Drilling Data Drilling Data Drilling Data Drilling Data Start Depth Start Depth Start Depth Start Depth (ft) (ft) (ft) (ft) :: ::96.00 Footage Footage Footage Footage (ft) (ft) (ft) (ft) :: ::1111.00 Avg WOB Avg WOB Avg WOB Avg WOB (klb) (klb) (klb) (klb) :: ::12.0 Avg ROP Avg ROP Avg ROP Avg ROP (fph) (fph) (fph) (fph) :: ::45.00 End Depth End Depth End Depth End Depth (ft) (ft) (ft) (ft) :: ::1207.00 Avg Flow Rate Avg Flow Rate Avg Flow Rate Avg Flow Rate(gpm) (gpm) (gpm) (gpm) :: ::475 Avg TOB Avg TOB Avg TOB Avg TOB (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::1570 Avg SPP Avg SPP Avg SPP Avg SPP (psig) (psig) (psig) (psig) :: ::1200 Drilling Hrs Drilling Hrs Drilling Hrs Drilling Hrs (hr) (hr) (hr) (hr) :: ::19.960 Avg RPM Avg RPM Avg RPM Avg RPM (rpm) (rpm) (rpm) (rpm) :: ::45 Avg Bend Avg Bend Avg Bend Avg Bend (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::NA Mud Data Mud Data Mud Data Mud Data Mud Type Mud Type Mud Type Mud Type :: ::Native/Spud Mud % Sand % Sand % Sand % Sand (%) (%) (%) (%) YP YP YP YP % Solids % Solids % Solids % Solids PV PV PV PV (cP) (cP) (cP) (cP) :: :: :: ::Chlorides Chlorides Chlorides Chlorides (ppm) (ppm) (ppm) (ppm) Weight Weight Weight Weight (ppg) (ppg) (ppg) (ppg) 9.20 Viscosity Viscosity Viscosity Viscosity (spqt) (spqt) (spqt) (spqt) 40.00 10 (lhf2) (lhf2) (lhf2) (lhf2) :: ::17.00 :: :::: :: :: :: :: :: % Oil % Oil % Oil % Oil (pH) (pH) (pH) (pH) pH pH pH pH 1200 Max Temp Max Temp Max Temp Max Temp (degF) (degF) (degF) (degF) 80.30 (%) (%) (%) (%) 7.50 :: ::1.50 :: ::7.00 Fluid Loss Fluid Loss Fluid Loss Fluid Loss (mptm) (mptm) (mptm) (mptm) 15 (%) (%) (%) (%) :: ::0.00 O:W O:W O:W O:W N:A :: :::: :: MWD Performance MWD Performance MWD Performance MWD Performance :: :::: :: :: :::: :: :: :::: :::: :: Tool OD Tool OD Tool OD Tool OD (in) (in) (in) (in) 8 Type Type Type Type P4M Min. Inc. Min. Inc. Min. Inc. Min. Inc. (deg) (deg) (deg) (deg) 0.00 Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth (ft) (ft) (ft) (ft) 0.00 :: :::: :: Final Az. Final Az. Final Az. Final Az. (deg) (deg) (deg) (deg) 101.01 Max Op. Press. Max Op. Press. Max Op. Press. Max Op. Press. (psig) (psig) (psig) (psig) 573 Max. Inc. Max. Inc. Max. Inc. Max. Inc. (deg) (deg) (deg) (deg) 29.86 Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth (ft) (ft) (ft) (ft) 1166.39 MWD Real Time % MWD Real Time % MWD Real Time % MWD Real Time % 100 MWD Recorded % MWD Recorded % MWD Recorded % MWD Recorded % 98 Comments Comments Comments Comments Drilled Surface hole to casing point. POOH to run 9-5/8" casing. Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 6 Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 7 Bit Run Summary Bit Run Summary Bit Run Summary Bit Run Summary Run Time Data Run Time Data Run Time Data Run Time Data MWD Run MWD Run MWD Run MWD Run :: ::200 Run Start Run Start Run Start Run Start 23-Jan-12 22:13 BRT Hrs BRT Hrs BRT Hrs BRT Hrs :: ::97.93 Circ. Hrs Circ. Hrs Circ. Hrs Circ. Hrs 50.05 :: :::: :: :: :::: ::Rig Bit No Rig Bit No Rig Bit No Rig Bit No :: ::2 Run End Run End Run End Run End 28-Jan-12 00:09 Hole Size Hole Size Hole Size Hole Size (in) (in) (in) (in) :: ::8.5 Oper. Hrs Oper. Hrs Oper. Hrs Oper. Hrs 97.96 Drilling Data Drilling Data Drilling Data Drilling Data Start Depth Start Depth Start Depth Start Depth (ft) (ft) (ft) (ft) :: ::1207.00 Footage Footage Footage Footage (ft) (ft) (ft) (ft) :: ::2473.00 Avg WOB Avg WOB Avg WOB Avg WOB (klb) (klb) (klb) (klb) :: ::6.5 Avg ROP Avg ROP Avg ROP Avg ROP (fph) (fph) (fph) (fph) :: ::30.00 End Depth End Depth End Depth End Depth (ft) (ft) (ft) (ft) :: ::3680.00 Avg Flow Rate Avg Flow Rate Avg Flow Rate Avg Flow Rate(gpm) (gpm) (gpm) (gpm) :: ::460 Avg TOB Avg TOB Avg TOB Avg TOB (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::2800 Avg SPP Avg SPP Avg SPP Avg SPP (psig) (psig) (psig) (psig) :: ::1535 Drilling Hrs Drilling Hrs Drilling Hrs Drilling Hrs (hr) (hr) (hr) (hr) :: ::25.848 Avg RPM Avg RPM Avg RPM Avg RPM (rpm) (rpm) (rpm) (rpm) :: ::70 Avg Bend Avg Bend Avg Bend Avg Bend (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::NA Mud Data Mud Data Mud Data Mud Data Mud Type Mud Type Mud Type Mud Type :: ::Polymer % Sand % Sand % Sand % Sand (%) (%) (%) (%) YP YP YP YP % Solids % Solids % Solids % Solids PV PV PV PV (cP) (cP) (cP) (cP) :: :: :: ::Chlorides Chlorides Chlorides Chlorides (ppm) (ppm) (ppm) (ppm) Weight Weight Weight Weight (ppg) (ppg) (ppg) (ppg) 9.35 Viscosity Viscosity Viscosity Viscosity (spqt) (spqt) (spqt) (spqt) 45.00 14 (lhf2) (lhf2) (lhf2) (lhf2) :: ::17.00 :: :::: :: :: :: :: :: % Oil % Oil % Oil % Oil (pH) (pH) (pH) (pH) pH pH pH pH 950 Max Temp Max Temp Max Temp Max Temp (degF) (degF) (degF) (degF) 99.00 (%) (%) (%) (%) 4.20 :: ::0.50 :: ::11.00 Fluid Loss Fluid Loss Fluid Loss Fluid Loss (mptm) (mptm) (mptm) (mptm) 5 (%) (%) (%) (%) :: ::0.00 O:W O:W O:W O:W N:A :: :::: :: MWD Performance MWD Performance MWD Performance MWD Performance :: :::: :: :: :::: :: :: :::: :::: :: Tool OD Tool OD Tool OD Tool OD (in) (in) (in) (in) 6.75 Type Type Type Type P4M Min. Inc. Min. Inc. Min. Inc. Min. Inc. (deg) (deg) (deg) (deg) 31.03 Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth (ft) (ft) (ft) (ft) 1271.92 :: :::: :: Final Az. Final Az. Final Az. Final Az. (deg) (deg) (deg) (deg) 102.77 Max Op. Press. Max Op. Press. Max Op. Press. Max Op. Press. (psig) (psig) (psig) (psig) 29985.92 Max. Inc. Max. Inc. Max. Inc. Max. Inc. (deg) (deg) (deg) (deg) 75.33 Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth (ft) (ft) (ft) (ft) 3646.68 MWD Real Time % MWD Real Time % MWD Real Time % MWD Real Time % 98 MWD Recorded % MWD Recorded % MWD Recorded % MWD Recorded % 100 Comments Comments Comments Comments Drill 8.5" hole section to casing point @ 3680' MD / 2299' TVD, POOH to run 7" Casing. Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 8 Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 9 Bit Run Summary Bit Run Summary Bit Run Summary Bit Run Summary Run Time Data Run Time Data Run Time Data Run Time Data MWD Run MWD Run MWD Run MWD Run :: ::300 Run Start Run Start Run Start Run Start 30-Jan-12 10:40 BRT Hrs BRT Hrs BRT Hrs BRT Hrs :: ::89.33 Circ. Hrs Circ. Hrs Circ. Hrs Circ. Hrs 12.00 :: :::: :: :: :::: ::Rig Bit No Rig Bit No Rig Bit No Rig Bit No :: ::3 Run End Run End Run End Run End 03-Feb-12 04:00 Hole Size Hole Size Hole Size Hole Size (in) (in) (in) (in) :: ::6.125 Oper. Hrs Oper. Hrs Oper. Hrs Oper. Hrs 89.74 Drilling Data Drilling Data Drilling Data Drilling Data Start Depth Start Depth Start Depth Start Depth (ft) (ft) (ft) (ft) :: ::3680.00 Footage Footage Footage Footage (ft) (ft) (ft) (ft) :: ::132.00 Avg WOB Avg WOB Avg WOB Avg WOB (klb) (klb) (klb) (klb) :: ::13.0 Avg ROP Avg ROP Avg ROP Avg ROP (fph) (fph) (fph) (fph) :: ::40.00 End Depth End Depth End Depth End Depth (ft) (ft) (ft) (ft) :: ::3812.00 Avg Flow Rate Avg Flow Rate Avg Flow Rate Avg Flow Rate(gpm) (gpm) (gpm) (gpm) :: ::192 Avg TOB Avg TOB Avg TOB Avg TOB (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::20000 Avg SPP Avg SPP Avg SPP Avg SPP (psig) (psig) (psig) (psig) :: ::1127 Drilling Hrs Drilling Hrs Drilling Hrs Drilling Hrs (hr) (hr) (hr) (hr) :: ::3.326 Avg RPM Avg RPM Avg RPM Avg RPM (rpm) (rpm) (rpm) (rpm) :: ::50 Avg Bend Avg Bend Avg Bend Avg Bend (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::NA Mud Data Mud Data Mud Data Mud Data Mud Type Mud Type Mud Type Mud Type :: ::Polymer % Sand % Sand % Sand % Sand (%) (%) (%) (%) YP YP YP YP % Solids % Solids % Solids % Solids PV PV PV PV (cP) (cP) (cP) (cP) :: :: :: ::Chlorides Chlorides Chlorides Chlorides (ppm) (ppm) (ppm) (ppm) Weight Weight Weight Weight (ppg) (ppg) (ppg) (ppg) 8.80 Viscosity Viscosity Viscosity Viscosity (spqt) (spqt) (spqt) (spqt) 45.00 12 (lhf2) (lhf2) (lhf2) (lhf2) :: ::10.00 :: :::: :: :: :: :: :: % Oil % Oil % Oil % Oil (pH) (pH) (pH) (pH) pH pH pH pH 50000 Max Temp Max Temp Max Temp Max Temp (degF) (degF) (degF) (degF) 67.28 (%) (%) (%) (%) 0.60 :: ::0.25 :: ::8.70 Fluid Loss Fluid Loss Fluid Loss Fluid Loss (mptm) (mptm) (mptm) (mptm) 9 (%) (%) (%) (%) :: ::0.00 O:W O:W O:W O:W N:A :: :::: :: MWD Performance MWD Performance MWD Performance MWD Performance :: :::: :: :: :::: :: :: :::: :::: :: Tool OD Tool OD Tool OD Tool OD (in) (in) (in) (in) 4.75 Type Type Type Type P4M Min. Inc. Min. Inc. Min. Inc. Min. Inc. (deg) (deg) (deg) (deg) 0.00 Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth (ft) (ft) (ft) (ft) 0.00 :: :::: :: Final Az. Final Az. Final Az. Final Az. (deg) (deg) (deg) (deg) 0.00 Max Op. Press. Max Op. Press. Max Op. Press. Max Op. Press. (psig) (psig) (psig) (psig) 1076 Max. Inc. Max. Inc. Max. Inc. Max. Inc. (deg) (deg) (deg) (deg) 0.00 Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth (ft) (ft) (ft) (ft) 0.00 MWD Real Time % MWD Real Time % MWD Real Time % MWD Real Time % 98 MWD Recorded % MWD Recorded % MWD Recorded % MWD Recorded % 100 Comments Comments Comments Comments Drilled 132' of 6.125" production hole. Lost circulation and large volumes of mud. No surveys taken. POOH to drill with dumb iron and place LCM pill. Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 10 Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 11 Bit Run Summary Bit Run Summary Bit Run Summary Bit Run Summary Run Time Data Run Time Data Run Time Data Run Time Data MWD Run MWD Run MWD Run MWD Run :: ::500 Run Start Run Start Run Start Run Start 06-Feb-12 01:30 BRT Hrs BRT Hrs BRT Hrs BRT Hrs :: ::79.50 Circ. Hrs Circ. Hrs Circ. Hrs Circ. Hrs 51.65 :: :::: :: :: :::: ::Rig Bit No Rig Bit No Rig Bit No Rig Bit No :: ::5 Run End Run End Run End Run End 09-Feb-12 09:00 Hole Size Hole Size Hole Size Hole Size (in) (in) (in) (in) :: ::6.125 Oper. Hrs Oper. Hrs Oper. Hrs Oper. Hrs 80.02 Drilling Data Drilling Data Drilling Data Drilling Data Start Depth Start Depth Start Depth Start Depth (ft) (ft) (ft) (ft) :: ::3881.00 Footage Footage Footage Footage (ft) (ft) (ft) (ft) :: ::1220.00 Avg WOB Avg WOB Avg WOB Avg WOB (klb) (klb) (klb) (klb) :: ::19.0 Avg ROP Avg ROP Avg ROP Avg ROP (fph) (fph) (fph) (fph) :: ::30.00 End Depth End Depth End Depth End Depth (ft) (ft) (ft) (ft) :: ::5101.00 Avg Flow Rate Avg Flow Rate Avg Flow Rate Avg Flow Rate(gpm) (gpm) (gpm) (gpm) :: ::145 Avg TOB Avg TOB Avg TOB Avg TOB (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::2000 Avg SPP Avg SPP Avg SPP Avg SPP (psig) (psig) (psig) (psig) :: ::880 Drilling Hrs Drilling Hrs Drilling Hrs Drilling Hrs (hr) (hr) (hr) (hr) :: ::28.308 Avg RPM Avg RPM Avg RPM Avg RPM (rpm) (rpm) (rpm) (rpm) :: ::60 Avg Bend Avg Bend Avg Bend Avg Bend (ft-lb) (ft-lb) (ft-lb) (ft-lb) :: ::NA Mud Data Mud Data Mud Data Mud Data Mud Type Mud Type Mud Type Mud Type :: ::Polymer % Sand % Sand % Sand % Sand (%) (%) (%) (%) YP YP YP YP % Solids % Solids % Solids % Solids PV PV PV PV (cP) (cP) (cP) (cP) :: :: :: ::Chlorides Chlorides Chlorides Chlorides (ppm) (ppm) (ppm) (ppm) Weight Weight Weight Weight (ppg) (ppg) (ppg) (ppg) 8.70 Viscosity Viscosity Viscosity Viscosity (spqt) (spqt) (spqt) (spqt) 46.00 10 (lhf2) (lhf2) (lhf2) (lhf2) :: ::17.00 :: :::: :: :: :: :: :: % Oil % Oil % Oil % Oil (pH) (pH) (pH) (pH) pH pH pH pH 32000 Max Temp Max Temp Max Temp Max Temp (degF) (degF) (degF) (degF) 70.88 (%) (%) (%) (%) 0.50 :: ::0.75 :: ::10.00 Fluid Loss Fluid Loss Fluid Loss Fluid Loss (mptm) (mptm) (mptm) (mptm) 6 (%) (%) (%) (%) :: ::0.00 O:W O:W O:W O:W N:A :: :::: :: MWD Performance MWD Performance MWD Performance MWD Performance :: :::: :: :: :::: :: :: :::: :::: :: Tool OD Tool OD Tool OD Tool OD (in) (in) (in) (in) 4.75 Type Type Type Type P4M Min. Inc. Min. Inc. Min. Inc. Min. Inc. (deg) (deg) (deg) (deg) 79.44 Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth Min. Inc. Depth (ft) (ft) (ft) (ft) 3725.79 :: :::: :: Final Az. Final Az. Final Az. Final Az. (deg) (deg) (deg) (deg) 99.64 Max Op. Press. Max Op. Press. Max Op. Press. Max Op. Press. (psig) (psig) (psig) (psig) 29984.92 Max. Inc. Max. Inc. Max. Inc. Max. Inc. (deg) (deg) (deg) (deg) 99.23 Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth Max. Inc. Depth (ft) (ft) (ft) (ft) 4207.40 MWD Real Time % MWD Real Time % MWD Real Time % MWD Real Time % 98 MWD Recorded % MWD Recorded % MWD Recorded % MWD Recorded % 100 Comments Comments Comments Comments Drilled production section to 5101' MD. POOH to run liner. Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 12 Job No: Job No: Job No: Job No: AK-XX-0008370358 Well Name: Well Name: Well Name: Well Name: Walakpa 12 End of Well Report End of Well Report End of Well Report End of Well Report Page 13 RE F E R E N C E I N F O R M A T I O N Co - o r d i n a t e ( N / E ) R e f e r e n c e : W e l l W a l a k p a 1 2 , T r u e N o r t h Ve r t i c a l ( T V D ) R e f e r e n c e : A c t u a l @ 5 4 . 7 0 f t ( 3 1 . 7 G L + 23 . 0 K B ) Se c t i o n ( V S ) R e f e r e n c e : S l o t - ( 0 . 0 0 N , 0 . 0 0 E ) Me a s u r e d D e p t h R e f e r e n c e : Ac t u a l @ 5 4 . 7 0 f t ( 3 1 . 7 G L + 2 3 . 0 K B ) Ca l c u l a t i o n M e t h o d : Mi n i m u m C u r v a t u r e Wa l a k p a 1 2 No r t h i n g 6 2 4 3 1 6 0 . 9 6 Ea s t i n g 6 3 1 5 6 6 . 6 8 La t i t u d e 7 1 . 0 7 2 2 8 0 Lo n g i t u d e - 1 5 6 . 8 9 2 6 5 2 NA D 1 9 2 7 ( N A D C O N C O N U S ) A l a s k a Z o n e 0 6 Wa l a k p a 1 2 6.137 DD I < 6 . 0 : Re l a t i v e l y S h o r t , s i m p l e w e l l s o r s i m p l e p r o f i l e s w i th low tortuosity DD I 6 . 0 - 6 . 4 : Sh o r t e r w e l l s w i t h h i g h t o r t u o s i t y o r l o n g e r w e l l s with low tortuosity DD I 6 . 4 - 6 . 8 : Lo n g w e l l s w i t h r e l a t i v e l y t o r t u o u s p r o f i l e s DD I > 6 . 8 : L o n g , t o r t u o u s p r o f i l e s w i t h h i g h d e g r e e of difficulty Halliburton Energy Services Sperry Drilling Services Survey Management Alaska FO - A K - S D S - S M 4 6 2 Cr e a t e d b y : St e v e P a r k i n s o n Revision by:Avinash Ramjit 21.Oct.2009 Pr o j e c t : W a l a k p a Z o n e 6 Si t e : W a l a k p a We l l : W a l a k p a 1 2 We l l b o r e : W a l a k p a 1 2 De s i g n : W a l a k p a 1 2 -1 0 0 0 -5 0 0 0 50 0 10 0 0 15 0 0 20 0 0 25 0 0 30 0 0 35 0 0 T r u e V e r t i c a l D e p t h -2 2 5 0 - 1 8 0 0 - 1 3 5 0 - 9 0 0 - 4 5 0 0 4 5 0 9 0 0 1 3 5 0 1 8 0 0 2 2 5 0 2 7 0 0 3 1 5 0 3 60 0 4 0 5 0 4 5 0 0 4 9 5 0 5 4 0 0 5 8 5 0 Ve r t i c a l S e c t i o n a t 1 0 0 . 7 5 ° 10 0 0 20 0 0 30 0 0 40 0 0 5101 Walakpa 12 Di r e c t i o n a l D i f f i c u l t y I n d e x -2 8 6 0 -2 6 4 0 -2 4 2 0 -2 2 0 0 -1 9 8 0 -1 7 6 0 -1 5 4 0 -1 3 2 0 -1 1 0 0 -8 8 0 -6 6 0 -4 4 0 -2 2 0 0 22 0 44 0 66 0 88 0 11 0 0 S o u t h ( - ) / N o r t h ( + ) ( 5 5 0 f t / i n ) -2 2 0 0 2 2 0 4 4 0 6 6 0 8 8 0 1 1 0 0 1 3 2 0 1 5 4 0 1 7 6 0 1 9 8 0 2 2 0 0 2 4 2 0 2 6 4 0 2 8 6 0 3 0 8 0 3 3 0 0 3 5 2 0 3 7 4 0 3 9 6 0 4 1 8 0 4 4 0 0 4 6 2 0 4 8 4 0 5 0 6 0 We s t ( - ) / E a s t ( + ) ( 5 5 0 f t / i n ) W a l a k p a 1 2 A c t u a l 9 5 / 8 " 7" 6 1/8 OH W a l a k p a #1 2 W P 5 .2 REFERENCE INFORMATION Co - o r d i n a t e ( N / E ) R e f e r e n c e : Well Walakpa 12, True North Ve r t i c a l ( T V D ) R e f e r e n c e : AS-Staked @ 53.20ft (31.7 GL-MSL / 21.5 KB) Me a s u r e d D e p t h R e f e r e n c e : AS-Staked @ 53.20ft (31.7 GL-MSL / 21.5 KB) Ca l c u l a t i o n M e t h o d : Minimum Curvature CO M P A N Y D E T A I L S : Petrotechnical Resources of Alaska / North Slope Borough Petroleum Resources of Alaska Ca l c u l a t i o n M e t h o d : Minimum Curvature Error System:ISCWSA Scan Method: Trav. Cylinder North Error Surface:Elliptical Conic Warning Method:Rules Based WE L L D E T A I L S : W a l a k p a 1 2 Ground Level: 31.70 +N / - S + E / - W No r t h i n g Easting Latittude Longitude Slot 0. 0 0 0 . 0 0 6 2 4 3 1 6 0 . 9 6 6 3 1 5 6 6 . 6 8 7 1 . 0 7 2 2 8 0 - 1 5 6 . 8 9 2 6 5 2 Project:Walakpa Zone 6 Site: Walakpa Well: Walakpa 12 Wellbore: Walakpa 12 Walakpa #12 WP 5.2 SU R V E Y P R O G R A M Da t e : 2 0 1 2 - 0 2 - 2 7 T 0 0 : 0 0 : 0 0 V a l i d a t e d : Y e s V e r s i o n : De p t h F r o m De p t h T o Su r v e y / P l a n Tool 21 . 5 0 5 0 0 . 0 0 W a l a k p a # 1 2 W P 5 . 2 ( W a l a k p a 1 2 ) S R G - G Y R O - S S 50 0 . 0 0 1 1 5 3 . 2 0 W a l a k p a # 1 2 W P 5 . 2 ( W a l a k p a 1 2 ) M W D + S A G 11 5 3 . 2 0 3 8 3 6 . 2 2 W a l a k p a # 1 2 W P 5 . 2 ( W a l a k p a 1 2 ) M W D + S A G 38 3 6 . 2 2 5 2 9 8 . 4 2 W a l a k p a # 1 2 W P 5.2 (Walakpa 12) MWD+SAG -5 0 0 -2 5 0 0 25 0 50 0 75 0 10 0 0 12 5 0 15 0 0 17 5 0 20 0 0 22 5 0 25 0 0 27 5 0 30 0 0 T r u e V e r t i c a l D e p t h ( 5 0 0 f t / i n ) -5 0 0 - 2 5 0 0 2 5 0 5 0 0 7 5 0 1 0 0 0 1 2 5 0 1 5 0 0 1 7 5 0 2 0 0 0 2 2 5 0 2 5 0 0 2 7 5 0 3 0 0 0 3 2 5 0 3 5 0 0 3 7 5 0 4 0 0 0 4 2 5 0 Ve r t i c a l S e c t i o n a t 1 0 1 . 0 8 ° ( 5 0 0 f t / i n ) Walakpa 12 Actual 9 5 / 8 " 7" 6 1/8 OH Walakpa #12 WP 5.2 Ba s e o f P e r m a f r o s t To p H R Z Ba s e H R Z Hy d r a t e S t a b i l i t y Z o n e To p W a l a k p a S S ( a t H e e l ) WE L L D E T A I L S : W a l a k p a 1 2 Gr o u n d L e v e l : 3 1 . 7 0 +N / - S +E / - W No r t h i n g Ea s t i n g Latittude Longitude Slot 0. 0 0 0 . 0 0 62 4 3 1 6 0 . 9 6 6 3 1 5 6 6 . 6 8 7 1 . 0 7 2 2 8 0 - 1 5 6 . 8 9 2 6 5 2 Pr o j e c t : Wa l a k p a Z o n e 6 Si t e : Wa l a k p a We l l : Wa l a k p a 1 2 We l l b o r e : Wa l a k p a 1 2 Wa l a k p a # 1 2 W P 5 . 2 SU R V E Y P R O G R A M Da t e : 2 0 1 2 - 0 2 - 2 7 T 0 0 : 0 0 : 0 0 V a l i d a t e d : Y e s V e r s i o n : De p t h F r o m De p t h T o S u r v e y / P l a n Tool 21 . 5 0 5 0 0 . 0 0 W a l a k p a # 1 2 W P 5 . 2 ( W a l a k p a 1 2 ) S R G - G Y R O - S S 50 0 . 0 0 1 1 5 3 . 2 0 W a l a k p a # 1 2 W P 5 . 2 ( W a l a k p a 1 2 ) M W D + S A G 11 5 3 . 2 0 3 8 3 6 . 2 2 W a l a k p a # 1 2 W P 5 . 2 ( W a l a k p a 1 2 ) M W D + S A G 38 3 6 . 2 2 5 2 9 8 . 4 2 W a l a k p a # 1 2 W P 5 . 2 ( W a l a k p a 1 2 ) M W D + S A G CA S I N G D E T A I L S TV D M D N a m e S i z e 11 5 3 . 2 0 1 1 9 0 . 7 9 9 5 / 8 " 9 - 5 / 8 23 2 0 . 2 1 3 8 3 6 . 2 2 7 " 7 23 3 8 . 2 0 5 2 9 8 . 4 2 6 1 / 8 O H 6 - 1 / 8 16 February, 2012 Walakpa Zone 6 Walakpa Project: Company: Local Co-ordinate Reference: TVD Reference: Site: Petrotechnical Resources of Alaska / North Slope Walakpa Zone 6 Walakpa Halliburton Company Definitive Survey Report Well: Wellbore: Walakpa 12 Walakpa 12 Survey Calculation Method:Minimum Curvature Actual @ 54.70ft (31.7 GL + 23.0 KB) Design:Walakpa 12 Database:.Sperry AK PRD 16 MD Reference:Actual @ 54.70ft (31.7 GL + 23.0 KB) North Reference: Well Walakpa 12 True Map System: Geo Datum: Project Map Zone: System Datum:US State Plane 1927 (Exact solution) NAD 1927 (NADCON CONUS) Walakpa Zone 6 Alaska Zone 06 Mean Sea Level Using Well Reference Point Using geodetic scale factor Well Well Position Longitude: Latitude: Easting: Northing: ft +E/-W +N/-S Position Uncertainty ft ft ftGround Level: Walakpa 12 ft ft 0.00 0.00 6,243,160.96 631,566.68 31.70Wellhead Elevation:ft0.00 71.072280 -156.892652 Wellbore Declination (°) Field Strength (nT) Sample Date Dip Angle (°) Walakpa 12 Model NameMagnetics BGGM2011 1/22/2012 17.65 80.78 57,527 Phase:Version: Audit Notes: Design Walakpa 12 1.0 ACTUAL Vertical Section: Depth From (TVD) (ft) +N/-S (ft) Direction (°) +E/-W (ft) Tie On Depth:23.00 100.750.000.0023.00 From (ft) Survey Program DescriptionTool NameSurvey (Wellbore) To (ft) Date 2/15/2012 Survey Start Date SRG-GYRO-SS Conventional SRG single shots50.00 112.00 Gyro Surveys (Walakpa 12)02/13/2012 MWD MWD - Standard162.06 1,166.39 MWD Run 100 (Walakpa 12)01/30/2012 INC+TREND Inclinometer + known azi trend1,222.76 1,222.76 Interpolated Azimuth (Walakpa 12)02/15/2012 MWD MWD - Standard1,271.92 3,646.68 MWD Run 200 (Walakpa 12)02/13/2012 MWD MWD - Standard3,725.79 5,024.76 MWD Run 500 (Walakpa 12)02/13/2012 MD (ft) Inc (°) Azi (°) +E/-W (ft) +N/-S (ft) Survey TVD (ft) TVDSS (ft) Map Northing (ft) Map Easting (ft) Vertical Section (ft) DLS (°/100')Survey Tool Name 23.00 0.00 0.00 23.00 0.00 0.00-31.70 6,243,160.96 631,566.68 0.00 0.00 UNDEFINED 50.00 0.17 315.53 50.00 0.03 -0.03-4.70 6,243,160.99 631,566.65 0.63 -0.03 SRG-GYRO-SS (1) 112.00 0.33 311.07 112.00 0.21 -0.2357.30 6,243,161.17 631,566.45 0.26 -0.26 SRG-GYRO-SS (1) 162.06 0.18 316.19 162.06 0.36 -0.39107.36 6,243,161.32 631,566.28 0.30 -0.45 MWD (2) 224.90 1.75 84.29 224.89 0.53 0.50170.19 6,243,161.50 631,567.17 2.97 0.39 MWD (2) 255.09 2.43 91.59 255.06 0.56 1.59200.36 6,243,161.55 631,568.26 2.41 1.46 MWD (2) 317.84 5.65 97.89 317.65 0.10 5.99262.95 6,243,161.17 631,572.66 5.17 5.86 MWD (2) 353.77 7.15 99.71 353.35 -0.52 9.94298.65 6,243,160.62 631,576.63 4.21 9.86 MWD (2) 380.32 7.75 99.31 379.68 -1.09 13.34324.98 6,243,160.11 631,580.03 2.27 13.31 MWD (2) 442.86 11.06 99.66 441.37 -2.78 23.41386.67 6,243,158.61 631,590.14 5.29 23.52 MWD (2) 2/16/2012 10:25:15AM COMPASS 2003.16 Build 71 Page 2 Project: Company: Local Co-ordinate Reference: TVD Reference: Site: Petrotechnical Resources of Alaska / North Slope Walakpa Zone 6 Walakpa Halliburton Company Definitive Survey Report Well: Wellbore: Walakpa 12 Walakpa 12 Survey Calculation Method:Minimum Curvature Actual @ 54.70ft (31.7 GL + 23.0 KB) Design:Walakpa 12 Database:.Sperry AK PRD 16 MD Reference:Actual @ 54.70ft (31.7 GL + 23.0 KB) North Reference: Well Walakpa 12 True MD (ft) Inc (°) Azi (°) +E/-W (ft) +N/-S (ft) Survey TVD (ft) TVDSS (ft) Map Northing (ft) Map Easting (ft) Vertical Section (ft) DLS (°/100')Survey Tool Name 504.63 12.21 98.00 501.87 -4.68 35.72447.17 6,243,156.93 631,602.48 1.94 35.97 MWD (2) 566.47 12.66 98.10 562.26 -6.55 48.91507.56 6,243,155.31 631,615.70 0.73 49.27 MWD (2) 628.67 13.28 98.32 622.87 -8.54 62.73568.17 6,243,153.57 631,629.55 1.00 63.22 MWD (2) 688.60 15.36 101.28 680.93 -11.09 77.32626.23 6,243,151.28 631,644.19 3.68 78.03 MWD (2) 753.27 15.76 101.85 743.23 -14.57 94.32688.53 6,243,148.12 631,661.24 0.66 95.38 MWD (2) 813.18 15.95 102.46 800.87 -18.02 110.32746.17 6,243,144.96 631,677.30 0.42 111.74 MWD (2) 879.33 18.20 102.17 864.10 -22.16 129.29809.40 6,243,141.17 631,696.35 3.40 131.16 MWD (2) 943.57 20.74 101.76 924.66 -26.59 150.24869.96 6,243,137.12 631,717.37 3.96 152.56 MWD (2) 1,006.91 22.73 100.82 983.49 -31.17 173.24928.79 6,243,132.96 631,740.45 3.19 176.02 MWD (2) 1,071.01 25.32 100.84 1,042.03 -36.08 198.87987.33 6,243,128.53 631,766.16 4.04 202.11 MWD (2) 1,129.17 27.54 101.58 1,094.11 -41.12 224.261,039.41 6,243,123.95 631,791.64 3.86 227.99 MWD (2) 1,166.39 29.86 101.01 1,126.76 -44.61 241.791,072.06 6,243,120.78 631,809.22 6.28 245.87 MWD (2) 1,222.76 29.25 100.82 1,175.79 -49.88 269.091,121.09 6,243,116.01 631,836.62 1.09 273.67 INC+TREND (3) 1,271.92 31.03 101.51 1,218.30 -54.66 293.301,163.60 6,243,111.67 631,860.91 3.69 298.35 MWD (4) 1,332.75 34.25 99.83 1,269.52 -60.72 325.541,214.82 6,243,106.21 631,893.25 5.50 331.16 MWD (4) 1,396.23 36.20 97.64 1,321.38 -66.26 361.731,266.68 6,243,101.33 631,929.53 3.66 367.74 MWD (4) 1,461.37 39.59 103.15 1,372.79 -73.54 401.031,318.09 6,243,094.77 631,968.95 7.35 407.71 MWD (4) 1,524.64 42.15 100.06 1,420.63 -81.84 441.581,365.93 6,243,087.21 632,009.64 5.15 449.09 MWD (4) 1,588.98 45.57 97.72 1,467.02 -88.70 485.611,412.32 6,243,081.16 632,053.79 5.88 493.63 MWD (4) 1,651.88 49.01 97.77 1,509.68 -94.93 531.401,454.98 6,243,075.77 632,099.69 5.47 539.78 MWD (4) 1,715.67 52.54 99.55 1,550.01 -102.38 580.241,495.31 6,243,069.21 632,148.65 5.94 589.16 MWD (4) 1,779.04 54.87 98.44 1,587.52 -110.36 630.681,532.82 6,243,062.15 632,199.23 3.94 640.20 MWD (4) 1,841.55 57.76 98.89 1,622.19 -118.20 682.101,567.49 6,243,055.26 632,250.77 4.66 692.18 MWD (4) 1,905.60 60.29 100.40 1,655.15 -127.41 736.231,600.45 6,243,047.04 632,305.06 4.44 747.07 MWD (4) 1,967.93 63.22 102.27 1,684.65 -138.21 790.061,629.95 6,243,037.22 632,359.07 5.39 801.97 MWD (4) 2,031.74 66.42 101.73 1,711.79 -150.21 846.531,657.09 6,243,026.26 632,415.75 5.07 859.70 MWD (4) 2,095.43 67.45 101.43 1,736.75 -161.98 903.941,682.05 6,243,015.55 632,473.36 1.67 918.29 MWD (4) 2,157.38 69.90 101.87 1,759.27 -173.63 960.451,704.57 6,243,004.93 632,530.07 4.01 975.98 MWD (4) 2,222.44 70.16 101.30 1,781.49 -185.91 1,020.361,726.79 6,242,993.75 632,590.18 0.92 1,037.13 MWD (4) 2,285.93 69.57 101.87 1,803.35 -197.88 1,078.751,748.65 6,242,982.85 632,648.78 1.25 1,096.73 MWD (4) 2,350.43 69.56 100.83 1,825.87 -209.77 1,138.011,771.17 6,242,972.04 632,708.24 1.51 1,157.16 MWD (4) 2,411.95 69.21 100.45 1,847.53 -220.41 1,194.601,792.83 6,242,962.45 632,765.01 0.81 1,214.75 MWD (4) 2,471.63 69.20 100.23 1,868.72 -230.42 1,249.491,814.02 6,242,953.44 632,820.07 0.35 1,270.54 MWD (4) 2,539.20 69.25 99.16 1,892.68 -241.06 1,311.761,837.98 6,242,943.94 632,882.52 1.48 1,333.70 MWD (4) 2,601.91 68.78 99.31 1,915.14 -250.45 1,369.551,860.44 6,242,935.60 632,940.47 0.78 1,392.23 MWD (4) 2,666.32 68.41 99.12 1,938.65 -260.06 1,428.741,883.95 6,242,927.08 632,999.82 0.64 1,452.18 MWD (4) 2,728.62 68.20 98.11 1,961.68 -268.73 1,485.981,906.98 6,242,919.46 633,057.20 1.54 1,510.02 MWD (4) 2,791.97 68.88 98.27 1,984.86 -277.13 1,544.331,930.16 6,242,912.13 633,115.70 1.10 1,568.92 MWD (4) 2,856.17 68.57 98.03 2,008.15 -285.61 1,603.551,953.45 6,242,904.73 633,175.06 0.60 1,628.68 MWD (4) 2,918.73 68.60 97.13 2,030.99 -293.29 1,661.281,976.29 6,242,898.11 633,232.91 1.34 1,686.84 MWD (4) 2/16/2012 10:25:15AM COMPASS 2003.16 Build 71 Page 3 Project: Company: Local Co-ordinate Reference: TVD Reference: Site: Petrotechnical Resources of Alaska / North Slope Walakpa Zone 6 Walakpa Halliburton Company Definitive Survey Report Well: Wellbore: Walakpa 12 Walakpa 12 Survey Calculation Method:Minimum Curvature Actual @ 54.70ft (31.7 GL + 23.0 KB) Design:Walakpa 12 Database:.Sperry AK PRD 16 MD Reference:Actual @ 54.70ft (31.7 GL + 23.0 KB) North Reference: Well Walakpa 12 True MD (ft) Inc (°) Azi (°) +E/-W (ft) +N/-S (ft) Survey TVD (ft) TVDSS (ft) Map Northing (ft) Map Easting (ft) Vertical Section (ft) DLS (°/100')Survey Tool Name 2,981.83 67.57 98.30 2,054.55 -301.15 1,719.291,999.85 6,242,891.31 633,291.05 2.37 1,745.29 MWD (4) 3,041.24 67.18 100.26 2,077.40 -309.99 1,773.412,022.70 6,242,883.46 633,345.32 3.12 1,800.11 MWD (4) 3,108.11 66.51 102.00 2,103.70 -321.86 1,833.732,049.00 6,242,872.70 633,405.84 2.59 1,861.59 MWD (4) 3,171.67 67.90 104.46 2,128.33 -335.27 1,890.772,073.63 6,242,860.34 633,463.11 4.18 1,920.12 MWD (4) 3,234.65 68.25 104.25 2,151.84 -349.76 1,947.372,097.14 6,242,846.89 633,519.96 0.64 1,978.43 MWD (4) 3,298.71 67.70 104.16 2,175.87 -364.33 2,004.942,121.17 6,242,833.37 633,577.78 0.87 2,037.71 MWD (4) 3,361.67 68.07 103.68 2,199.57 -378.36 2,061.552,144.87 6,242,820.38 633,634.64 0.92 2,095.94 MWD (4) 3,424.94 67.78 103.05 2,223.35 -391.91 2,118.592,168.65 6,242,807.87 633,691.91 1.03 2,154.51 MWD (4) 3,488.88 71.05 103.55 2,245.82 -405.68 2,176.842,191.12 6,242,795.17 633,750.39 5.17 2,214.30 MWD (4) 3,552.07 72.38 103.56 2,265.65 -419.75 2,235.162,210.95 6,242,782.18 633,808.96 2.10 2,274.23 MWD (4) 3,615.48 74.57 102.18 2,283.68 -433.28 2,294.422,228.98 6,242,769.73 633,868.46 4.03 2,334.97 MWD (4) 3,646.68 75.33 102.77 2,291.79 -439.79 2,323.842,237.09 6,242,763.76 633,897.99 3.04 2,365.09 MWD (4) 3,725.79 79.44 103.77 2,309.06 -457.51 2,398.962,254.36 6,242,747.41 633,973.41 5.34 2,442.20 MWD (5) 3,805.09 83.56 103.11 2,320.78 -475.73 2,475.232,266.08 6,242,730.59 634,049.99 5.26 2,520.52 MWD (5) 3,828.39 82.82 103.35 2,323.54 -481.03 2,497.752,268.84 6,242,725.71 634,072.60 3.34 2,543.64 MWD (5) 3,895.16 79.89 105.54 2,333.58 -497.49 2,561.662,278.88 6,242,710.42 634,136.80 5.46 2,609.50 MWD (5) 3,957.64 79.26 106.09 2,344.88 -514.23 2,620.782,290.18 6,242,694.76 634,196.22 1.33 2,670.71 MWD (5) 4,021.04 85.98 105.53 2,353.02 -531.35 2,681.252,298.32 6,242,678.75 634,256.98 10.64 2,733.30 MWD (5) 4,085.48 91.84 101.91 2,354.25 -546.62 2,743.802,299.55 6,242,664.63 634,319.79 10.69 2,797.61 MWD (5) 4,148.11 98.11 100.06 2,348.82 -558.51 2,805.022,294.12 6,242,653.86 634,381.21 10.43 2,859.96 MWD (5) 4,207.40 99.23 98.36 2,339.88 -567.89 2,862.872,285.18 6,242,645.54 634,439.22 3.41 2,918.55 MWD (5) 4,274.74 96.87 98.13 2,330.45 -577.45 2,928.852,275.75 6,242,637.19 634,505.36 3.52 2,985.16 MWD (5) 4,337.00 94.07 97.42 2,324.52 -585.83 2,990.252,269.82 6,242,629.93 634,566.90 4.64 3,047.05 MWD (5) 4,401.29 89.63 96.52 2,322.44 -593.63 3,054.022,267.74 6,242,623.30 634,630.79 7.05 3,111.15 MWD (5) 4,464.74 86.79 95.52 2,324.43 -600.28 3,117.082,269.73 6,242,617.81 634,693.96 4.75 3,174.34 MWD (5) 4,528.25 88.33 97.28 2,327.13 -607.35 3,180.132,272.43 6,242,611.89 634,757.13 3.68 3,237.61 MWD (5) 4,590.24 88.76 95.76 2,328.70 -614.39 3,241.702,274.00 6,242,605.98 634,818.81 2.55 3,299.41 MWD (5) 4,653.09 86.97 94.38 2,331.04 -619.94 3,304.262,276.34 6,242,601.57 634,881.45 3.60 3,361.90 MWD (5) 4,719.37 84.86 94.52 2,335.77 -625.07 3,370.162,281.07 6,242,597.65 634,947.44 3.19 3,427.61 MWD (5) 4,782.68 85.30 95.10 2,341.20 -630.36 3,433.022,286.50 6,242,593.51 635,010.37 1.15 3,490.35 MWD (5) 4,845.43 84.43 96.69 2,346.81 -636.78 3,495.182,292.11 6,242,588.23 635,072.64 2.88 3,552.62 MWD (5) 4,905.22 85.67 98.14 2,351.97 -644.46 3,554.252,297.27 6,242,581.63 635,131.83 3.18 3,612.08 MWD (5) 4,971.26 85.92 99.32 2,356.81 -654.46 3,619.352,302.11 6,242,572.82 635,197.10 1.82 3,677.90 MWD (5) 5,024.76 84.87 99.64 2,361.11 -663.24 3,671.952,306.41 6,242,565.00 635,249.84 2.05 3,731.22 MWD (5) 5,101.00 84.87 99.64 2,367.93 -675.96 3,746.812,313.23 6,242,553.66 635,324.92 0.00 3,807.14 PROJECTED to TD 2/16/2012 10:25:15AM COMPASS 2003.16 Build 71 Page 4 Directional Drilling After Action Review Employee Name: Mark Brouillet /Arthur Morgan Date: 1-24-2012 Well: Walakpa / NSB Hole Section: Surface 12-1/4” What went as, or better than, planned: Section was drilled per plan. Assembly drilled with the wellbore placement 29’ high of proposal line and 2° ahead on inclination. This lowers the planned dogleg rates for intermediate from 6° per 100’ down to 4.8° per 100’. This surface hole was drilled in shorter time then the 2 previous Barrow gas wells. Difficulties experienced: As with the 1st two Barrow gas wells clay was again very difficult to deal with. Flow line packed off several times and shakers were over run with clay on several occasions. Directionally the hole section went very well but dealing with clay problems increased below rotary time for the BHA Recommendations: Circulating after TD at the shallow depth of 1,207’ takes very little time for bottoms up excessive circulation was performed prior to and after the short trip. This needs to be addressed and discussed in detail Innovations and/or cost savings: Gyro was taken in one run saving several hrs of rig time. Drilling the section had more rotation and less slide time then per plan as assembly was kicked off of vertical 44’ early and easily was ahead of proposal line allowing for 66% rotary percentage. This is far more rotation then on the previous 2 Barrow gas wells. BHA components laid down with minimal breaks saving well over two hours of rig time. LMWD AAR Page 1 REV 2 L/MWD After Action Review Well: Walakpa 12 Hole Section: 12.25" Surface Employee Name: Lucas Smith Date: 1/19/2012 What went as, or better than, planned: Good surface detection. Difficulties experienced: Weather and other issues delayed shipment of tools, computers, and supplies. Sperry MWD Rigged up Pason services to MWD shack. Drilling began without communications between the MWD unit and the rig floor. Drilling also began without a tally. No courrier service and limited transportation to and from the rig site is available to pick up shipped items from a shipping facility with limited business hours. Recommendations: Anticipate and plan for the impact of incliment weather on shipments. Get a courrier. Have Pason rig up their own data systems and remote work stations Innovations and/or cost savings: Pulser was stuffed and pulled in the pipe shed saving 1 hrs of rig time. Directional Drilling After Action Review Employee Name: Mark Brouillet / Artur Morgan Date: 1/28/12 Well: Walakpa # 12 Hole Section: 8-1/2” Intermediate What went as, or better than, planned: Section was drilled with improved directional plan. This added rotary footage while minimizing slide footage. Slide percentage for section was 29% Section drilled ahead of planned time Difficulties experienced: No difficulties were experienced drilling this section Recommendations: No BHA recommendations needed or required, BHA performed very well. Recommend increasing further the amount of directional work to be performed on surface for next Walakpa well to increase intermediate drilling efficiency even farther! Innovations and/or cost savings: 1. No lubes were added for the section saving the customer an unknown amount of money. Approximately 900 bbl of mud on the intermediate hole section. Using 3% as a normal concentration equates to 27 bbl of lube which is 21 drums. 21 x $1454.68 = $30,0548.28” savings to the customer. 1. Using the 4” XT-39 HWDP from beginning of well through all sections saves several hrs rig time picking up and laying down different size HWDP. Rig operating cost $9,400 per hour X 9 hrs for the well = $ 84,600.0 savings. 2. Directional plan changes lowered the slide percentage for section to 29% Savik 1 and 2 required 37% slide percentage. The Walakpa intermediate has only 29% slide percentage yet was 415’ longer in footage averaging both Savik 1-2 wells. Saving considerable amount of rig time and money. 3. Using the same PDC bit used on Savik 2 saved additional bit cost. Another Milltooth would cost between $10,000.00 and $13,000.00 A new PDC bit cost is $42,500.00. Total savings was $52,500.00. 4. Tools laid down with as few breaks as possible to minimize pick up time on next well will save at a minimum of 2 hrs X 9,400 per hour = $18,800.00 on each the surface and intermediate BHA’s. LMWD AAR Page 1 REV 2 L/MWD After Action Review Well: Walakpa 12 Hole Section: 8.5" Intermediate Employee Name: Lucas Smith Date: 1/24/2012 What went as, or better than, planned: Detection was excellent throughout the section. Difficulties experienced: Tool communications during MWD download. Recommendations: Supply units with back-up toughbook computers and CIM I/O boxes. Innovations and/or cost savings: Pulser was stuffed and pulled in the pipe shed saving 1 hr of rig time. Directional Drilling After Action Review Employee Name: Mark Brouillet Date: 2-10-2012 Well: Walakpa # 12 Hole Section: 6-1/8” Production What went as, or better than, planned: Section did not go anywhere close to as planned due to formation difficulties. This however has opened up the door for improvements for the next well which will lead to success. These are the 1st horizontal wells ever drilled in the area and learning from what went wrong will greatly enhance future drilling. Drilling in highly unconsolidated “Beach Sand” type of formation makes it required to implement new ideas! Difficulties experienced: Drilling unconsolidated sands Geo-Pilot could not build or hold angle. Loss Circulation with as much as 170 bbl per hrs Recommendations: Steps are being taken to change BHA configuration which would include running a mudmotor instead of the rotary steerable geo-pilot. This new BHA configuration along with a new directional plan to land at a higher angle in intermediate should make significant drilling improvements. Running a well commander circulating sub for any loss circulation problems will also add huge benefits Innovations and/or cost savings: Using the same PDC bit as run on both Savik wells is a large cost savings No other cost savings observed. Innovations will be applied to the next well and are mentioned in the recommendation section above. LMWD AAR Page 1 REV 2 L/MWD After Action Review Well: Walakpa 12 Hole Section: 6.125" Production Employee Name: Lucas Smith Date: 2/2/2012 What went as, or better than, planned: Surface detection was clear and with strong pulse amplitude. Difficulties experienced: Lost returns 36' into new formation in R300. 150BBL/HR losses at 180 gpm and 8.75 ppg. Facing a well control issue due to high volume losses, the pulser would not pulse after LCM was pumped down hole. Pumping water down hole restored down-hole telemetry. At surface, the pulser was found to be partially clogged with debris. The MADPass was logged while TOOH after TD. The MAD Pass was originally in the direction of tripping out-of-hole (up). However, this original attempt was aborted because the rig was unable to limit the running speed in that direction. A more satisfactory running speed was achieved by utilizing the auto-drill equipment in the direction of running in hole (down). Tool communications during MWD download. Recommendations: Supply units with a back-up toughbook and CIM I/O box. Innovations and/or cost savings: Pulser was stuffed and pulled in the pipe shed saving 2 hrs of rig time.
