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
215-127
STATE OF ALASKA ALARA OIL AND GAS CONSERVATION COM•ION 3UL 19 Z016 ` REPORT OF SUNDRY WELL OPERATIONS CG 1.Operations Abandon ❑ Plug Perforations ❑ Fracture Stimulate ❑ Pull Tubing❑ Operations shutdown LI Performed: Suspend ❑ Perforate ❑., Other Stimulate ❑ Alter Casing❑ Change Approved Program ❑ Plug for Redrill ❑ 3rforate New Pool El Repair Well ❑ Re-enter Susp Well❑ Other: ❑ 2.Operator 4.Well Class Before Work: 5.Permit to Drill Number: Name: Hilcorp Alaska,LLC Development ❑� Exploratory ❑ 215-127 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic❑ Service ❑ 6.API Number: Anchorage,AK 99503 50-133-20653-00 7.Property Designation(Lease Number): 8.Well Name and Number: FEE;A028142 Kenai Beluga Unit(KBU)31-06X 9.Logs(List logs and submit electronic and printed data per 20AAC25.071): 10.Field/Pool(s): N/A Kenai Gas Field-Beluga/Upper Tyonek Gas Pool,Tyonek Gas Pool 1 11.Present Well Condition Summary: Total Depth measured 9,080 feet Plugs measured N/A feet true vertical 7,606 feet Junk measured N/A feet Effective Depth measured 9,080 feet Packer measured 2,991 feet true vertical 7,606 feet true vertical 2,596 feet Casing Length Size MD TVD Burst Collapse Structural Conductor 120' 13-3/8" 120' 120' 1,661 psi 5,380 psi Surface 3,511' 7-5/8" 3,511' 2,997' 6,890 psi 4,790 psi Intermediate Production 9,074' 4-1/2" 9,074' 7,601' 8,430 psi 7,500 psi Liner Perforation depth Measured depth See Attached Schematic y L Fad L *Et) True Vertical depth See Attached Schematic Tubing(size,grade,measured and true vertical depth) N/A N/A N/A N/A Packers and SSSV(type,measured and true vertical depth) Baker Swell;N/A 2,991'MD 2,596'TVD N/A;N/A 12.Stimulation or cement squeeze summary: N/A Intervals treated(measured): N/A Treatment descriptions including volumes used and final pressure: N/A 13. Representative Daily Average Production or Injection Data Oil-Bbl Gas-Mcf Water-Bbl Casing Pressure Tubing Pressure Prior to well operation: 0 1333 2 5 81 Subsequent to operation: 0 2809 3 5 129 14.Attachments(required per 20 AAC 25.070,25.071,&25.283) 15.Well Class after work: Daily Report of Well Operations 0 Exploratory III Development[] Service ❑ Stratigraphic ❑ Copies of Logs and Surveys Run ❑ 16.Well Status after work: Oil ❑ Gas 0 WDSPL❑ Printed and Electronic Fracture Stimulation Data ❑ GSTOR ❑ WINJ ❑ WAG ❑ GINJ ❑ SUSP❑ SPLUG❑ 17.I hereby certify that the foregoing is true and correct to the best of my knowledge. Sundry Number or N/A if C.O.Exempt: 316-313 Contact Taylor Nasse-777-8354 Email tnasse(S71.hiIcorp.com Printed Name Chad Helgeson Title Operations Manager I Signature / r� Phone 907-777-8405 Date 7/I`I/1 wi4 ler Form 10-404 Revised 5/2015 /til - ��((C///b RBDMS W . ! Z 2 2016 Submit Original Only • Hilcorp Alaska, LLC Well Operations Summary Well Name Rig API Number Well Permit Number Start Date End Date KBU 31-06X E-line 50-133-20653-00-00 215-127 6/15/16 6/16/16 Daily Operations: 06/15/2016-Wednesday PTW and JSA. Rig up lubricator, PT 250 psi low and 3,000 psi high. RIH w/3.85" GR. Tag @ 8,754' KB. Sticky. POOH. Rig down. Move over to KBU 22-06Y. 06/16/2016-Thursday PTW and JSA. Spot equipment and rig up lubricator. PT to 250 psi low and 3,000 psi high. RIH w/2-7/8" x 17' Connex HC, 6 spf, 60 deg phase perf gun and tied into Halliburton RMT log dated 14 Sep 15. Run correlation log and send to town. Get ok to perf from 6,117'to 6,134'. Spotted shot and shut well in with 100 psi. When pressure got to 300 psi we fired gun. Pressure built to 350 psi after 5 min. Started flow well at 400 psi. POOH, all shots fired and gun was wet. RIH w/2-7/8" x 19' Connex HC, 6 spf, 60 deg phase perf gun and tied into Halliburton RMT log dated 14 Sep 15. Run correlation log. Had well flowing at 300 psi. Spotted gun from 6,092'to 6,111'. Pressure started building and we kept it flowing and it built to 325 in 5 min. POOH. Gun was wet and all shots fired. Rig down lubricator and turn well over to field. • • Kenai Gas Field ' . /ISCHEMATIC Well: KBU31-06X API #: 50-133-20653-00-00 Ililcorp Alaska,LLC PTD: 215-127 RKB:GL=18.90' ;' ; w,,,-b• CASING DETAIL • ' . i'.��" ���" Size Type Wt/Grade/Conn ID Top Btm ' •`+ •';•'il' 13-3/8" Conductor-Driven 72#/L-80/Weld 12.347" Surf 120' `1 ','„ I 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' ,4„.4.4,; 4 `{' 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' 13-3/8" ��``'a' ���..h ."1. JEWELRY DETAIL • t,k No Depth Item s ,+" . r 1 2,991' Baker Swell Packer ti 44* . "I PERFORATION DETAIL t, ;,I�» Sands Top(MD) Btm(MD) Top(TVD) Btm(TVD) Date Size Status ' 6,092' 6,111' 5,015' 5,031' 06/16/16 2-7/8" Open E2, + a - `'n 1 UB-5 6,117' ✓ 6,134' 5,037' 5,052' 06/16/16 2-7/8" Open � '4'. .t LB-1E 7,614' 7,634' 6,335' 6,352' 11/11/15 2-7/8" Open 01/' � ,o �` �`» LB-2C 7,906' 7,916' 6,582' 6,590' 11/11/15 2-7/8" Open 11( 'a; s• LB 3A 8,080' 8,100' 6,731' 6,748' 10/02/15 2-7/8" Open 7-5/8"w 'fi�•R, e ' ` LB-3B 8,149' 8,159' 6,790' 6,798' 11/11/15 2-7/8" Open �' LB 4 8,246' 8,251' 6,789' 6,877' 10/02/15 2-7/8" Open 8,358' 8,373' 6,970' 6,983' 10/02/15 2-7/8" Open LB 4Ctz 8,401' 8,411' 7,008' 7,017' 11/10/15 2-7/8" Open LB-5C 8,623' 8,633' 7,203' 7,212' 11/10/15 2-7/8" Open �*.{ UT 72-8 8,724' 8,764' 7,292' 7,327' 10/01/15 2-7/8" Open 'v !III, UT 73-1 8,784' 8,804' 7,345' 7,363' 10/01/15 2-7/8" Open i7 UT 73-2 8,839' 8,854' 7,394' 7,407' 09/30/15 2-7/8" Open x10 8,930' 8,950' 7,474' 7,491' 09/30/15 2-7/8" Open R4 Tag UT-16 9,000' 9,010' 7,535' 7,544' 11/10/15 2-7/8" Open depths: !j UT-1D 9,050' 9,075' 7,579' 7,602' 09/25/15 2-7/8" Open fp1 r; lB 5 wl ,. Vmoi' h',•. 7,491' a ' 1 i LB 1E LB 2C .. LB 3A It * LB 38 8,194' LB4 1" LB 4C "il LB 5C i 3* UT 72-8 8,820' r UT 7'3-1 Uf 732 Ui1B 'd Uf1D 41/2" t4 $-' TD=9,060'MD/7,606'TVD PBTD=9,080'MD/7,606'ND Updated by DMA 06-29-16 • • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISbION GAS WELL OPEN FLOW POTENTIAL TEST REPORT la.Test: [J Initial u Annual U Special lb.Type Test: U Stabilized ❑ Non Stabilized ❑Multipoint ❑Constant Time ❑Isochronal Q Other: Nodal 2.Operator Name: 5.Date Completed: 11.Permit to Drill Number: Hilcorp Alaska,LLC 10/2/2015 215-127 . 3.Address: 6.Date TD Reached: 12.API Number: �6S?z 3800 Centerpoint Drive,Suite 1400,Anchorage,AK 99503 9/3/2015 50- 133-20549`-00-00 4a.Location of Well(Governmental Section): 7.KB Elevation above MSL(feet): 13.Well Name and Number: Surface: 570'FNL,758'FEL,Sec 7,T4N,R11W,SM,AK 83.5 Kenai Beluga Unit(KBU)31.06X Top of Productive Horizon: 8.Plug Back Depth(MD+TVD): 14.Field/Pool(s): 1840'FNL,1744'FEL,Sec 6,T4N,R11W,SM,AK 9,080'MD 17,524'TVD Kenai Gas Field Total Depth: 9.Total Depth(MD+TVD): Beluga/Upper Tyonek GP/Tyonek GP1 1368'FNL,1808'FEL,Sec 6,T4N,R11W,SM,AK 9,080'MD/7,524'ND 4b.Location of Well(State Base Plane Coordinates NAD 27): 10.Land Use Permit: 15.Property Designation: Surface: x- 275141.86 y-2361440.35 Zone- 4 N/A FEE A028142 TPI: x- 274266.33 y-2365449.1 Zone- 4 16.Type of Completion(Describe): Total Depth: x- 274210.89 y 2365921.87 Zone- 4 4-1/2"Production String,Perforated 17.Casing Size Weight per foot,lb. I.D.In inches Set at ft. 19.Perforations: From To 4-1/2" 12.6# 3.958" 9,074' 7,614'-7,634' 8,358'-8,373' 8,839'-8,854' 18.Tubing Size Weight per foot,lb.s� OCT.D.In inches Set at ft. 7,906'-7,916' 8,401'-8,411' 8,930'-8,950' sc �NE1� C 3 12016' 8,149'-8,159' 8,724-8,764' 9,050'-9,075' N/A 8,246'-8,251' 8,784'-8,804' 20.Packer set at ft: 21.GOR cf/bbl: 22.API Liquid Hydrocardbons: 23.Specific Gravity Flowing Fluid(G): 2,991' N/A N/A 0.57 24a.Producing through: 24b.Reservoir Temp: 24c.Reservoir Pressure: 24d.Barometric Pressure(Pa): ❑Tubing Q✓ Casing 125 1,365 psia @ Datum TVDSS psia 25.Length of Flow Channel(L): Vertical Depth(H): Gg: %CO2: %N2: %H2S: Prover: Meter Run:- Taps: 26. FLOW DATA TUBING DATA CASING DATA Prover Choke Pressure Diff. Temp. Pressure Temp. Pressure Temp. Duration of Flow No. Line X Orifice Size(in.) Size(in.) psig Hw F° psig F° psig F° Hr. 1. X 2. X 3. X 4. X 5. X Basic Coefficient Flow Temp. Super Comp. Na. (24-Hour) hwPm Pressure Gravity Factor Rate of Flow Fb or Fp Pm F Ftor Fg FactorpQ1 Mcfd 1. 2. 3. 4. 5. Temperature for Separator for Flowing No. PrT Tr z Gas Fluid Gg G 1. 2. 3. Critical Pressure 4. Critical Temperature 5. Form 10-421 Rev. 7/2009 CONTINUED ON REVERSE SIDE Submit in Duplicate 1 r S Pc Pct Pf2 No. Pt Pte Pct-P12 Pw Pw2 Pc2-Pw2 Ps Ps2 Pf2-Ps2 1. 2. 3. 4. 5. 25. AOF(Mcfd) 1,261 n 0.768 Remarks: The KBU 31-06X is a low rate gas well flowing at high drawdown(>90%). Due to the low rates,high drawdown and water production,we were unable to accurately measure 3 additional gas rates below the 1.21 MM/d test rate. As you choke the well back,it loads up. The AOF was calculated with nodal analysis utilizing flowing test data&average reservoir pressure for the production interval. The attached report from Prosper summarizes the matched IPR/VLP system. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signed Jason Ewing Title Reservoir Engineer Date 05/10/16 DEFINITIONS OF SYMBOLS AOF Absolute Open Flow Potential. Rate of Flow that would be obtained if the bottom hole pressure opposite the producingfacewere reduced to zero psia Fb Basic orifice factor Mcfd/ PhVv m Fp Basic critical flow prover or positive choke factor Mcfd/psia Fg Specific gravity factor, dimensionless Fpv Super compressibility factor= tiZ dimensionless Ft Flowing temperature factor, dimensionless G Specific gravity of flowing fluid (air=1.000), dimensionless Gg Specific gravity of separator gas(air=1.00), dimensionless GOR Gas-oil ratio,cu. ft. of gas(14.65 psia and 60 degrees F)per barrel oil (60 degrees F) hw Meter differential pressure, inches of water H Vertical depth corresponding to L, feet(TVD) L Length of flow channel, feet(MD) n Exponent(slope)of back-pressure equation, dimensionless Pa Field barometric pressure, psia Pc Shut-in wellhead pressure, psia Pf Shut-in pressure at vertical depth H, psia Pm Static pressure at point of gas measurement, psia Pr Reduced pressure, dimensionless Ps Flowing pressure at vertical depth H, psia Pt Flowing wellhead pressure, psia Pw Static column wellhead pressure corresponding to Pt, psia Q Rate of flow, Mcfd (14.65 psia and 60 degrees F) Tr Reduced temperature, dimensionless T Absolute temperature, degrees Rankin Z Compressibility factor, dimensionless Recommended procedures for tests and calculations may be found in the Manual of Back-Pressure Testing of Gas Wells, Interstate Oil Compact Commission, Oklahoma City, Oklahoma. Form 10-421 Revised 7/2009 Side 2 • 0 1-4 U) CD CU CL 5 T. (!) c) .:6 N v) co .c.- -0 • • DVD OA i„,1 CD Ch Ch -41 00 to rq CD J , r., CA i,i (Li ,-,. 6 in r--1 A r''' ‘13' If) r." I N h. 1‘) (Y) VA 0) L ' (Y) CD O to 0-1 — 4, Cl- w'-' :.'.,' N Nci.. „ ma, CI- Cr mr" NNCNINCA ,.... • • e'l 01 r. Ln cr up D 13 O CL CO 'N 01 cr. op cr .1- CD CD r-i " m N 01 r....... co r. UD up E ,„ Co Co 04? s Nr18 -i ,1-. r.--.. g Nr. CO Cq r. N n. r-4 v-I r-/ ,--A 76 a) Et; .Li Hc 0i 6 ci kID IN, Ch '1-1 r-A '"-4 • N r,i nri ni Nt cr cr In m r, (NJ 0 0) (1.) ‘''' , CD 6 6 en cn U) N Z .0 " CD Ch Di Di v5 r; C) -3 X C5 ' I CC) r, up LAI cr eq --I al Cor. up up on VD 2! fi!I '.-N rt. 6 rr) DI r. Ch r-i 01 DI CD OD cp (.,j „r up op 4* * (;) ,A * 14: S.)" Li. u) on 4* ,t- -0 E -o rei ni ri pi 4* 4 cO (l) ".--.' ,--4 pa 4* 4* W F- co Ch se 4* 4 a: a) dri Co r` vD U/ Cr N T-4 01 COr. U3 DI 00 7li G ....-." . CI) r'S Ch r-I 01 til CD CD (N)OD cr VD CO 1 CD:1- (--) _: -: • - • . N • 0 4 4* (iiii rn "1- - (--, ,--, C) t-A '-i '-4 • "A r.i (Ni eNi (Ni (NI r.J rA CDfr' Cr Cr Cr q. Cr 1- .4. r-I CI- Ni- NI• q* NI' •A" 0 (N) ‘1-- CL 4* 4 a) -0 " ID cri rYi (Yi ivi ce 4 4 0 'Ci- cr ci4 ,r 4 4 CU (DC) U.. 4 4 D: C 4 CD CD 5. CD. CD CD CD CD CD CD CD CD CD CD CD CD 0 < 4 4 4' -- S-2 '-' N *-:.1: CD CD CD CD CD CD CD 0 CD CD CD 4 4 E g bn .FT U CL N' Nr••- 1...` Nr.N r".• V N rs. r,. r-. r,. e-- a co co U ,_, 0 N CD, CD 4 4* 76 C CD 1: ,a: Nf ,J. o * 4 1* 4... 0 :2 C) CD CD CD CD CD CD CD CD CD CD CD CD N N- rN N CD 4F ccfj 4 C CD7:3 0000 n 0 c CD CD CD CD CD CD CD CD CD CD CD CD 0 4* 1 4* 10 0 CDCT*-73 0 0) 75 rA 4 uo * CD CD CD cp '" V) - E a CD E al D 4 >_. * E 0 a D C 0) CO 4* C) CD CD CD CD CD CD CD CD CD CD CD CD E U o c---• co ro (1.- Se 4* < 4* U Fri X 0 .---- cr) 4t z 4* CL CD 0 ID .< 4 4 E CL crWls.-.. 4* 4 4* r` co © a a a a a a a 0 0 0 0, 0 IV 4' 0 0 C C lo 4 4 al (7) CD CL cp U) CD CD CD CD 0 ../.I F- 42 0: 4 Lo 4* fi C 13 0 CD CD CD CD co 0 CD CD CD CD CD CD CD t: (1) * Z * *.i.p :.•*- C3 UJ ... CD a3 0 (.9 4 UJ 4 ID (74 CD CDD- 4t.... 0 ........ E c) co 4* Z 4 CI. t CD n Tv Lu 4 CD C E > )0 13 r, 00000000 CD CD CD CD CD * 17', 4 ifl CD 4-) (./) N (i a) Cl) m C CL ..-• C E ..c a co co 0 io 4 ur) 4 76 '2 . 01 ...-1 0., . (..sj hh CD .v- v) (-.) 01 __ Co Cn Ch UD CA v.. U) 4 4 4J (JO ,---- -... v CA (-.1 ni .4. up cr u, op up r, 01 r--I rq 0) E (..9 C3 Q--' 1- 2? vi ( ') 01 (NI Lri v3 ni r: co vS crl '--1 co 6co u) ul co cr :3 ..---- co n co. ,A 01 (74 CO u) N Co cr CD CD rq LI) CD 01 CID CO r-i IN. DI -Y (j) ...--, T-4 - ; (N4 N r4 r-I r-4 r-4 kip CD cn 0) CoN' -- CD E ti v) ce If) cv -- ,..4 1-1 r-I r-i r-4 ,-4 CD ral ‘" (-: (-: 10 CT e--I I CO 01 I_ "Cr rn (u •-• k...1 N r. r4 up CD D1 VD cr ,-1 NI CD CD CA CID cr en 7E 62 m .g) Ln u6 01 01 r-i D1 (N. CD pp cr --i CD VD 01 DI 00 — o a 2 ,..- co to ,,,e6 qi ct: cf Lri ,-; v5 (32: 6ci: cr; co r-, ,--1 cn E ro >,.. (L) ......, nn en • - N CD T-A .1- 01 .1- ,fl r. ul nn TA Cn r', Ch Lin Ln u) C\1 r•si 00 1-..., CD 01 Oh (Y) Oh NI r VLi.; ,6. ,...,= of., 0" --I LA .."--, CO •,---i cr to LI) ‘zr Cr) .0 .w 0 ........ > a) a 00 1-- CO Lr) cn '4- N .,-1 in OANVD Cr IN. r4 DICANNNC\J N 5-‹ E Cl) ,...., CL 13 N v- r.... cn N cr up ch .--1 cr V3 CO ,A Oh L41 CO R3 UJ > U ----, I r, pl 0, up r4 co cr a) no ri r. 01 01 ko g4 CO(.1:° 'k.1 01 cr, ,ID CA Ch UD (N) en ff? c) ki) ol Ch VD 43 L rA r-I CA 01 nn cr in LAI up r. IN. OD Ch Cl1 r-I r-i r-i r-i • -0. c -- .1.., (1) CD CD t4 ._. (--; 6 cS cS cS 6 6 6 6 6 e5 6 e5 6 6 (f) 0 (0 0 —,,, (Y. . 4" -^,.. w /-", ....,90 -1;11 -.t: n; ig; G'j (('4 CO s,ii -- ,-1 (,';' 0 g;' 51J Co1.1 9) g ,r1 ,0.1 (i. 9 1 01 Ch VD 01 Ch v) nn ul If) Nch u2 (i'A gip . . . (r) m '6- ro CD 6' ,--4 '-'4 cNI 10 (0 ',I- in up r, r, Co cr! 010.? "--; r-4 r-I ,-4 (04" (1) Q9 g c) • ci d 6 6 6 c5 6 LJ ci c5 Ci CD CD CD (9 ›.- cs a ›.'.." 6-... • • • N a� cn 10 O v 0 z cD p ri M Y O C1 LL O Q U U (.9 O rn >- }- r-I se ^ 00 (N1-4 I CO CD 1-4 co m0 rk, C1 nn n O fq O C� NOOiOCi1-1 CD � � N .-i -i • -ii • d(NI ou pl on Nr �' �. 1J? � 15 ChMm M M M MMMM MM M 0101 r-Ir--I N M m m m Z O Z Z Z Z Z Z z z Z Z z Z Z z O O O O Z Z Z Z Z i% ,-1 L9 pr-IpNN-I ^ .r� NM � d" 1O0 ,r (NI le.) 0V ' _ O• 0N � 0O0NNC�1ritn0rq^ 01 N' NN01 LAI r1 Ch MN' ^ N' M a) p 0 4 O d CO1 O O • 0 O O • O O 0 p L Y iO O O C a 0 p 0 0 0 0 Vl 1 C1 dOdOOOO 111 Ln 0: *-� ko6u11Oh4t) a� M � drq O � � NOid"2 ul M � Oo OIC d " o '.orn 001D01q 71 14 XII i716 Ern Occin • un Ch ol Occinm CD f� O ,4 N N M d in in 6 h. 00 00 (T .-i r{ *-1 CV M d' 01 Q = 0N .-1CD01ruruchVD Ul VD f CD 11 . ' FP) ' 0 � ONN '.0 O 0 r--+ on ,- on N on 1-4 ch u C4 OD lQ UP O• M O N' CO O 01• lD •[1 CO 01 O O in "i N M M M N' N' d- N# N' N' N LA N N N M M 00 - NNNNNN ►� nnnh� I f� NNNN co 0 N- N• u1 N O VD 01511 oo r-4 M f"N VDClu1MN (NE , PI Oul00 +- INun OhMrsril ) -- on ^ •-� 1t70N' M NU C314 (NI 01uilO06Cri of ui 6 cc; 6 Nf ,- r1 r- ri i r16 M fUP ' q- N N N N pFN" (\ r11l1CtNVON- tdg; 7:: MlTl) ,, fs, ,r u) i� CtNN" tOchr-101 rNlNmCC CM UO'.0mOrq OI Mt rA ulIVDNO'. 0kip CI; N Or'1 N i p 'w 1-1 -$ N M n1 NI- . %JD 00 C) C's r-+ ri ri .-i O 0 0 0 0 0 0 0 0 0 0 0 0 0 0 p O { . • s M a) 01 03 LID 0 ro v 0 Z x tD 9 m D CO t 0 a. a) ce U- 0 u u U 0 a X ko a N NN _ � _ Se v- . EC. o a � VLI.� . ` Ot -, G ,„lf l C > �.. o.. ;� u s.. ',c„ 0 �„•a — t.J �, - O >..a`' a) Q- Xb AN ^ 0 ^. 0 vl N M QN10 N M p ii c � m n — � 'cn �a'� Q� � upsj- � 1`rOLjO O O ��. •-iI`. 0 ADO O ..) N a CL01 Li-)[) `te d `-'.-t ��O p O f V N O N u? .4- •• N. 1..% ty � 0• '0- N O co .-i Ci ea to ,-i lD O O p p C .. al �al r° L 'de ilj aca8 (f) 7cn >> ro 5 > '5 (a0 0 SLE cn v� a) :0w '_ ,P C.) its �n v � u °- � � ON — n ro m — a 'o -8u- - oma o a CT0 n nal' Ta ra -aI— 0-(.9 m � Tv � .° (1- C70 > a'z �a � � a v � 0.� :3v Cr s•-•' � '� a1°i at°i "0 a) cr 0 � 0 a) 1 U C v °- vo � a`3i —' � 'u `E -C � � a`aicuo -- � 'u 'tZ � Zo u v - ra `C a� � a) - oma - o 0-V) -C a) a) = a) m S - a) z 0 Z a) = L CO cn o , —•,.D a) � �' Z fri 0 = '0 moi- � c LL i� ir . v 0 L L a) Z . ti I v-al L L LT- it uIt j{ 1 1 I 1 a� n. ro O 4-0 To 0 Z 0 m LID m 0 a1 d C7 + + + + M + + CO vii + + a� + t + v + N + + c + L + v- + + + + + + u,i + co + + + + + at LIZ its V) O fk� 1 • a� -o n w CO o0 (a O c•• ❑ a0 a; ❑ ° p p 0 C9 X ca N Z \ 5 2 H 0 ` 2 F— 2 H 2 H OJ OJ o O. 1 I I Cl) y I I I 1 I I X X u_ d co U 1 CO2 th U U a) a) U U U o co m >!', U U U co } I— I— > H> I— I— I— I— I— O O I I J I I I ❑ o ig i 0 co 0 0 N Z Z ❑ ❑ ❑ ❑ ❑ ❑ H _H Y L a -0 U a� a) aj 1 1 ❑ lit i1 <1 <I <I Q1 Qi <I Z Z ai q E coI F O 2 E X X X X X X X X Z o co co m m cxo m co CO o O m (0 c cQo m m Q c a) aci o 0 0 0 0 0 0 o O o 0 o Q Q o 0 0 _ _ _ _ U U m O N col M co M M M M M J M M co co 0) Ll 1 1 M M M M 1 I I I 1 I J J it I I I Iw D D D J n J n J D J D D W w ' J D D CO N 0 N',� Y Y Y CO Y Y CO Y Y CO Y Y CO Y Y Y CO CO CO m � Y CO Y CO ❑ o @ ai ai ai ai ai ai ai ai ai ai ai ai Z Z ai ai ai p cc) ❑J W LL W it LL U_ it it it it LL LL W W ❑ E W E V) d 0< O 0 0 O 0 O 0 O 0 0 0 0 YO Y YO 0 0 _0 0 O W E'.'C Z .E -E E E E E E E E E C C n W 0 W C E E 'E w O 02E O O O O O O o o o o o o N O O O O V co _I V <)X1 0 0 0 0 0 0 0 0 0 0 0 Q NQ 0 0 0 0 J a)O a) a) o a) a) a) a) a) a) a) a) a) 2w _-w a) _N a) _2 Ce J EO W O W W W W W W W W W W W W N 2 N I W W W W 0 1 5 c .0 cn LO 0 LO Ln to Ln M U) 0 ID o LO ID LO ID CL Q U , > O o O 0000000000 O 0 o O Q .0▪. ,� N N N N N N N N N N N N N N N N N W O N NNNNNNNNNNNN NNNN re I a @ 1 o o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 ILI ° G 4 V J Q iN _ _' 2 C9 G: N O U Z c !J ❑ o 0 Q w C 4+ 0 O o 0 0 0 Z co o) N A O u) ppp ❑ d Li J C t • O 0 Z N O N N n co a) U a et 0 1 co to Q c o Q to ii c Z en I— co W (1 1"'" Z 0 O a 0 o a) n O ❑ J 2 N p m p 0 O l6 JM La co J M fA Q tti Q N ICC W Y Q O Z E a Qv, o 0)d U H 0 co co d co 2 '.� co 6) (a (6 (O (6 CO CO CO (6 CO f6 CO N N @ CO CO CO y CO (6 CO (6 CO 63 CO (6 CO CO CO N (6 'O -0 CO CO W CO .1. I 2 E co ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ( 0 ❑ ❑ ❑ ❑ 7 ) a) n dr coZ To as co m co m co m co m m co I I m as 6s m o > ZO o ,_ ❑ ❑ ❑ O ❑ ❑ ❑ ❑ ❑ O ❑ ❑ ❑ 00 ❑ ❑ CSI Ln Ln Ln Ln in (n Ln in Ln to In (n Ln (n CO <0 f0 (0 (O I— V Rv V v V V V V 7 v v V V v V v V V U, Q z t c a) R E Uo Uo coco co CMO CMO co co CO CO m Uo CO CO Uo CCO MO (O Uo Uo Uo CO CO CO CO M N Q 5 Qtr. W 0 Z N N N N N N N N N N N N N N N N N N N Q O LL V w £ O• W Z.• 9. O LL D O V C 'O o °' Z W C 0 2 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 U U c.D I H J O 0 W Q OOQ0 at " a ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ co 0 ❑ ❑ ❑ ❑a - W W W W W W W W LU W LU LU LU J J W LU LU LU • • r , ' o co co M . , .O o0 in O D m m m m CO m m m D D D D D C o Z m Y Y Y Y Y Y Y Y m m CO m m a. M U p Y o N M v m c0 Y Y Y Y Y d 47t 47k 4‘T 47k IT 47k 47k ;T Tt CV D .0 r . -C 'C t -C 'C 'C -C 'C i' -e - 4 O JO O O O O O O O O O O O O O to U 'o 'o , . x a a a a aa a a a a a a a a co .> .3 a P a) a) m m a) m m m m m m a) a) a) xl xI xl r o E CC CC CC CC CC CC CC CC OC CC CC CC CC Z (0 (O CO ). X X >` > T >+ >, T > >. >. T T T >. >. a 0 0 0 0 0 0 .m @ @ m m m mTo m @ m m m @ Q 0 0 0 0 0 MI MI coMI co M M m m m m CA m m a) a) m a) m m m I I I .c `c c `c c `c `c `c `c `c `c `c c u) co m m a a 03.5 my CO-0 my mw 03 CO COW 03 m-0 COy COC CO--0 II Q Y Y Y 0 a 0 a 0 a U a 0-o 0t 0-o 0-o 0-o 0 a 0 a 0 a 0 a 0 a C.. o a) a) a) a) o o'n a) 'n a) a 06 w6 06 a06 a) )n a) a) a)_m a l LL Il LL IL Il Il o Il O l O LL N L OIl OLL OIl OIL Ol O LE O LL O IL o Il O m U _U U U U U V 0 U 0 U 0 U )N U N U NP N V N U_ U NP D )4 U D O C C C C C C C N C N cm C M c ,_ EN C M C4 E6 E(71 EN CN c N EN m O O O O O O OO O O O O O O O O O O O O W 00 (O Cb (A (A 0 O) (A 00 00 00 00 00 o u) ma) a) 0 0 m x x 0x 15x ax 5x °x x °x 5x (x c) 015 , m m m m m m m m m 0m m 0m m m m _mx mx mx J O CO CO CO (O CO O O (O (p O O (O CO Ce ,J 5 w w w w w LU w 0 w 0 w 0 w 0 w 0 w 0 w 0 CO 0 w c) W O w 0 w 0 w 0 w 0 0 1 7 U) so to) to U) OO 0to U) l[) U) Ln Ln 11') l0 Ln A ry) 0 o O O O O O O c) 0O 0O 0O OO 0 0 aO 0O 0O 0 0 as �i Q N N N N N N N N N N N N N N N N N N N N W JQ N N N N N N (NI N N N N N N N N N N N N N �/ a ce 8 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 W 0 u) V J 0 Z , Q .. co u) J/� o @ ' Om CD C 0 N m T:). L) 5=4 Uw gt I 0 J N Qa M r Z CO na 2 a N N_ CO .J of M lil 112 I CO m a m , Q Z w o , H Y 4) I Q a a Z 0 o G 13 U ca Z f0 OO OO CO CO 03 CO CO CO OO CO CO CO (O OO CO 03 CO CO N m CO CO CO c0 CO 03 CO 7'0 CO CO CO CO CO CO CO CO (0 O3 CO CO 3 N 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 a m m (0 m CO CO CO CO CO �O m m �O m CO m y O CO m O) C) C) a) C) a) O) a) 'C) a) .C) 'O) a) a) a) 'C) 'a) C) O) a) o 0 10 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N > CO (O to to to 0 to CO CO CO OO (O CO CO CO CO O O OO CO N F V V V V 4 V V V V V a V a 4 V 7 V 7 R V M M M CO CO M M M M co M M M M M M co co M C•) 1f') to O CO to to to to O CO CO f0 CO CO CO OO O CO O CO CO N N N N N N N N N N N N N N N N N N N N N C O OO ."O. U �U U U U U U U 0 0 0 0 0 0 0 0 0 0 0 0 0 £ m 0 I0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 O. 2 w w w w w w w w w w w w w w w w w w w w L • • .. o l� r) M M M J J N E co O D D D 0 0 N E O O O O O O O O (6 N •a' o Z i co co co c c J J J J .0 .0 "P •. C C a ao _O N O 0) °' co co > O 0 0 ° ° E E d C •C @ LL LL = = E E • w 0 >0 LL LL - -co ce• coc iiib b a a a c c C •- •= p O @ f0 > iC ip D •.o LL Ln In 0 0 LL LL 0 0 J J F-. O >. T >. X X X X X X X X X X X Z X X X X O co O o co o co co O co coco a Q Q Q O O O O O O O O O O O O O O O a m O) _a) M M M M M M M M M M M MI M' MI MI a. (n 1 N•tp Nip (6•p co co m Co Co m co m no Co m m m co Co < 0 a U a U a Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y I ai'p •ai Ln •ai ai hi in in ai ai in in in in ui in ai ai in r iL N LL N ll N I7 Il it it• I1 a it it it it it_ it it it it it..- N U co U U U co U co a co �• U U U U co U U U U,�_ "' 3 C N C N C N C a c,,_ •C.0 •C •C 0 •C •C C C°' •C C •C .0 •C •C 0 O O O co O . O•p fa O a O 0 O O•-p O a O-p O a O•=p O a O,F O � O 0 O> 'I— V 0 N N N N N N D N> N D N OO N 0 ti> N 0 '5> _N 0 N> co D _N> co •a N O J N W O W O W O W X W 2 W - W J W J W 2 W H W 2 W H W 2 W H W 2 W H W J W J 0 7Lo in in l0 in in in in in in in in in in in in N in a Q 0 o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N N N N N N N N N N N N N N N N N N LU J N N N N N N N N N N N N N N N N N N a r r r r r r r r r r r Ce CI.re O o0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 W (n ca. o- c- .-a r r a � '- r r CI- V J Q S 0 Z Q 15 mp J o w Om , 2o C O N a p E U N Uw V' 1 o J M a) Q` G to ``— M 0. r Z LO 1 - M O 5 �y2� a N W J r M W M N CO z 0 ra Q W C • g Im Q p aI o a z (a w CO CO CO CO CO CO 05 CO Co m CO CO 0a 0a CD m CO CO CO CO m CO io is CO CO CO m CO CO CO CO CO N 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 10 CO CO CO m m w m m m m m m m m m m m m G 0 0 O 0 0 0 0 0 0 0 O 0 0 0 0 0 0 0 0 N > O O O f0 f0 O (0 (0 f0 O O f0 O O O O O O H V .c51; 7 V V R V V V V V a a V V V a V ✓ M M M M M M M M M M M M M M M M M IC) O co co O O O O a (0 O O co O O O O O m N I N N N N N N N N N N N N N N N N N N 0 0 • O w l O) ,0 0 0 U 0 0 0 0 0 0 0 0 0 0 0 0 0 0 C7 0 [0___---.0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 2 w w W ---W w wWw w w w W W W __.W W W W --__.I N I O. I • o (-\ c 1 \ ..-� o 0 Ch m J J . , . . . . (N 11, p !J r 0 0 0 0 0 iO O O O O O O C Z .0 .0 O - (() co h 0 Tr O to to a. 0 c c O O E E h N CO N- CO O O) 0 0 0 (n Q N U U (O CO CO CO CO O O O) 6) 0) O) O coMV co f0 co co a o — N co t0 co N. co COOco ca T•4 E E p N 0 0 a* Tt a* *k 17 17 17 17 i* k a -o coo i5 co 3 3 3 3 3 3 3 3 3 3 3 3 co LL LL 0 0 J J O O O O O O O O O O O O L L L = L r L L r L r L O x x x x x x co co CO CO CO 0 0 0 CO CO 0 0 Z '(O O (0 (o (O (0 X X X X X X X X X X X x 0 O O O O O co co co co O co co co co co co co I. _ _ o 0 0 0 0 0 0 0 0 0 0 o Q ;;I M col ell M co I I I M M co co M M M M M M M M 0 m m Co m m m CO 03 m cO CO CO CO CO CO CO CO CO Cal Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y ai hi ai ai ai ai ai ai ai ai ai ai ai hi ai ai hi ai I.L it. LL it LL LL it it it It ii: it I.L it it it it it co 0 U 0 0 0 0 .0,. Uw 0w 0w O_ Ow Uw 0w 0w Uw 0 U,� 7 E E E c -C •E E-O E-O C O .E-O 'EU 'E1O 'E-O E -o 'E -O 'E -O E -O 'E-O co O,F O`..= O w O:'= O O:= O 4 O O- O q- O cl- O cl- O 0- O a O 4 O 4 O 4 O a O O- co U '-' UD U UD Uz.: OD to to V o to to to to pM UO c) p OO V a)0 a)> a)0 a)> a)0 a)> a)0 a)M a)M a)(0 a)U) a)rn a)03 a)o a)00 a)rn a)0) a)Mo Ce 6D:E 63 I-- a]2E La] I-- a]2E a]F- wv woo woo ED';'s wao a]53 wao wrn wrn a] FA wtn alto Oj to to X17 to to to t() (n (n co (f) O to to O to (n O 0- 0 0 o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N N N N N N N N N N N N N N N N N N W Q N N N N N N N N N N N N N N N N N N �/ CIT re 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 W 00 V0 2 Z Q 0) L 7 J o 0 w ' a (D co ‘c• ; m O pip a E I UN Uw Tr o malX co a a o est r co 11LL H """ Z Lo • o 2 a N CO (9 N W -i o CO V) a as Z 0 a W Y as Q O a Z E ', Q • 0 coZ as as co co co as as co co m as co co co co as co as d co co co co co co to co as co is co m co co co co m N 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 CO1.0 CO CO CO as CO m m as CO CO CO CO as as as as co 0 0 0 O 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 c:Dn > (o co co (o co co co co co co co co co co co co co co CNIITr v v v v v v v v v c v v v v v v v co co co co co co co co co co co co co co co co co co I 1 0 CO CO O CO CO O CO CO CO CO O CO CO CO CO O CO r N N N N N N N N N N N N N N N N N N N ! 0 co 1 o Ch U ' U 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 F. d am 'wwwwwwwwwwwDw 0www w 0 • • tr o \\ o o O v1 1 'O O lI ((��\ �(/�� N ra O Z Or O CO • • d . Oce (0 0 > > > A. O N L a0 m mi.- O . ' W V7 O V7 co c0 M co M N X U) M U )1') a7 h M O) I I LU d o co u) to 6 3 3 3 3 3 m N m _1 ai ii ch o >, 7 in m c r C r t v o_ iu ti VI o W Z o Q H Z X X X X X E 1 E a3 m t L o ai z O F. o o 0 0 o ca)I cCO m _9 _ d) cc a) < ) d m a) a) Euro ? a) a) Q M co M M M E"-I ii EI MI MI 1 E E 2 u) m m m m m �- a�— m m— coons m 0 0 J Q Y Y Y Y Y N W W Y Y W Ce QJ E O Zti ai hi ai ii yy a) vOm-Jm m a) D0Q LL ILL Il ll ii o - 0-I it. iLL,-1 � Y 1 � Q Q NV 'U 'U.._ U.� U w U JU J U U J maU Et . d z z I c E - E - ED Ey Ey Em E m E E m 0 0. O \ ca 2 Qoo- oo- oq- on 20 20 2 20 _IceI 0 N0 E cC) 0 cp I V co _NO NO NN NO NO NXI _N XI _N _N X1 ji�Qi�� �W V I _ y Et J W c�0 W cOo W coo W W 0o w8 W O W W O N V iV Q N 2 @ / 0 it 0A u) to to t in in u) )r) )r) )r) CO a.r a tor'. w° co CL N U N N N N N N N N N N E 0) E O O W N Q CO) Z vi a) IX a 10 0 0 0 0 0 0 0 0 0 m a) re u� LL E 0 co W Q' d N 0) �, • Q > v Z. E E V = C7 d m Z ° o)-- °3 to Q O O f� 0 O V) N O V7 00 0- 0 0) _ O y 0 co 0 O _ 41 7 N O)0. -O E J O @ 2 00 a CD c O °) a7 m z to co Lo co • N p_ ECD o V Ls! U °" 0 JcoX Dcu Q I— M o @ I cc t- 0 00 E r Zin N rn CD • a• .o co co c N m 0 c7) m W 0,-- � '' N O ~ E w I�, O f0 ._ (j)�'/^� m a) • Loc `O) V/ a p l N M N CO c c ZC m • ILI Y m c CO a n g m O Q Z EU G £ 0 C 0 2 0 Z co co co m coo 2 .9 co CO a) RS Zii I d co0 co0 co0 coo coo co0 0 0 0Q • N 0 a)C I Z O) O) O) 0) 0) 0) O) O) 0) j O) ca O (�\(} c o 0 o -a 0 0 0 0 0 9 2 _1 E o c� N > CO m (0 m m r4 T w w 0 M M M M M M M co co M to) co CO co (0 a7 O c0 c0 a7 g CO W 0 0 �, to N N N N N N N N N N d W N . NE E • c re o c N D o a) et 0 N Z ce F ca O O Alam Q O p M II U �" m 'U U 0 0 0 0 0 0 0 0 0 C Co 0 a 0 p E o d 0 10 0 0 0 0 0 0 0 0 0 o a) 1 LL o o a) 0. m w w w w w w w LU LU —I J 3 ? 0 a 0 • , 0 o j o o N 9 06' c`7 N in o •a Z o. No Q M 0 T N , H O 1 Z Q N ' cn (.? 1 c z a) crs a3 GI ce J O 111 a cn ct 1 W 0 Q V _1 • c? 1 w < L N a. N I o cn O. to c 2r _ O N 11 Oo E in VNo c 1 w j m I o J xco E Q qto E o M V o. 7 0 5 G N CV m 7o 0W M J w Cl) CO a) cc V/ Z if p G liter Q !L c 'V 0 Y o I Q ° E . Zo E lii U I Z d I • cr CNI N O • N H C a d 1 N CO I m y = d W m . FY 'rr O Z 0 0 d D co Z C m O ca o O Q o o C C U �+ d) J ') N •G c lC a o m E 'a c7 E O F. �2 N N d• 2 V 0 G V I o d II • of rit ywl''‘°����y//• THE STATE Alaska Oil and Gas ‘4, �"!%i�� OfALA KA Conservation Commission ''` -- ._ _: ' kitt= 333 West Seventh Avenue + 'fir'°'�L- x Anchorage, Alaska 99501-3572 ^M GOVERNOR BILL WALKER g Main: 907.279.1433 ALAS-1 Fax: 907.276.7542 www.aogcc.alaska.gov Chad Helgeson Operations Manager Hilcorp Alaska, LLC 3800 Centerpoint Dr., Ste. 1400 Anchorage, AK 99503 Re: Kenai Gas Field, Beluga/Upper Tyonek Gas Pool, Tyonek Gas Pool 1, KBU 31-06X Permit to Drill Number: 215-127 Sundry Number: 316-313 Dear Mr. Helgeson: Enclosed is the approved application for sundry approval relating to the above referenced well. Please note the conditions of approval set out in the enclosed form. As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. Sincerely, P-9t2.4,1 thy P. Foerster (4 ar y,� Chair DATED this G""may of June,2016. RBDMS JUN 1 3 2016 • • C IVE0 • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION JUN 0 6 2016 APPLICATION FOR SUNDRY APPROVALS An g 6 20 AAC 25.280 C 1.Type of Request: Abandon ❑ Plug Perforations ❑ Fracture Stimulate ❑ Repair Well ❑ Operations shutdown❑ Suspend ❑ Perforate 0 Other Stimulate ❑ Pull Tubing ❑ Change Approved Program❑ Plug for Redrill ❑ Perforate New Pool ❑ Re-enter Susp Well ❑ Alter Casing ❑ Other: ❑ 2.Operator Name: Hilcorp Alaska, LLC 4.Current Well Class: 5.Permit to Drill Number: Exploratory ❑ Development ❑✓ . 215-127 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic ❑ Service ❑ 6.API Number. Anchorage,Alaska 99503 50-133-20653-00 7. If perforating: 8.Well Name and Number: What Regulation or Conservation Order governs well spacing in this pool? C.O.510A Kenai Beluga Unit(KBU)31-06X- Will planned perforations require a spacing exception? Yes ❑ No El 9.Property Designation(Lease Number): 10.Field/Pool(s): FEE;A028142 Kenai Gas Field-Beluga/Upper Tyonek Gas Pool,Tyonek Gas Pool 1 11. PRESENT WELL CONDITION SUMMARY Total Depth MD(Jt): Total Depth TVD(ft): Effective Depth MD: Effective Depth TVD: MPSP(psi): Plugs(MD): Junk(MD): 58,Q8O"" A: 14«' 7,606' 9' 7,606' 2,508 psi N/A N/A Casing Length Size MD TVD Burst Collapse Structural Conductor 120' 13-3/8" 120' 120' 1,661 psi 5,380 psi Surface 3,511' 7-5/8" 3,511' 2,997' 6,890 psi 4,790 psi Intermediate Production 9,074' 4-1/2" 9,074' 7,601 8,430 psi 7,500 psi Liner Perforation Depth MD(ft): Perforation Depth TVD(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic See Attached Schematic N/A N/A N/A Packers and SSSV Type: Packers and SSSV MD(ft)and TVD(ft): Baker Swell Packer;N/A 2,991'MD/2,596'TVD;N/A 12.Attachments: Proposal Summary 0 Wellbore schematic ❑✓ 13.Well Class after proposed work: Detailed Operations Program ❑ BOP Sketch ❑ Exploratory ❑ Stratigraphic ❑ Development ❑✓ - Service ❑ 14.Estimated Date for 15.Well Status after proposed work: June 20,2016 Commencing Operations: OIL ❑ WINJ ❑ WDSPL ❑ Suspended ❑ 16.Verbal Approval: Date: GAS ❑✓ WAG ❑ GSTOR ❑ SPLUG ❑ Commission Representative: GINJ ❑ Op Shutdown ❑ Abandoned ❑ 17. I hereby certify that the foregoing is true and the procedure approved herein will not be deviated from without prior written approval. Contact Taylor Nasse-777-8354 Email trlasse(6thilcoro.com Printed Name Chad Helgeson Title Operations Manager Signature /17/77 L /Phone 907-777-8405 Date 4y COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number. Plug Integrity ❑ BOP Test ❑ Mechanical Integrity Test ❑ Location Clearance LI Other: Post Initial Injection MIT Req'd? Yes ❑ No ❑ RgDMS JUN 1 3 2016 Spacing Exception Required? Yes LiQ'No Subsequent Form Required: 16 - ``f o t-1 //DD �1 / APPROVED BY Approved by:04 COMMISSIONER THE COMMISSION Date:6_7_// ((((((//////������yyyy�`i` wJ�-- X111 Submit Formlrmand Form 10-403 Revised 11/2015 0 R1c(3�pt i�valid for 12 months from the date of approval. /�/ Attachments in Duplicate • •. 13 Well Prognosis Well: KBU 31-06X • Date:6/2/16 Ililcorp Alaska,LL Well Name: KBU 31-06X API Number: 50-133-20653-00 Current Status: Producing Leg: N/A Estimated Start Date: June 20th, 2016 Rig: Reg.Approval Req'd? Yes Date Reg.Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 215-127 First Call Engineer: Taylor Nasse (907) 777-8354 (0) (907)903-0341 (C) Second Call Engineer: Chad Helgeson (907) 777-8405 (0) (907)229-4824(C) AFE Number Est. Bottom Hole Pressure: —3,268 psi at 7,602' TVD (Based on 0.43 psi/ft press. gradient) Max. Potential Surface Pressure: —2,508 psi (Based on 0.1 psi/ft gas gradient to surface) Current Surface Pressure: —78 psi (flowing from multiple sands) Brief Well Summary: Kenai Gas Field well KBU 31-06X was drilled as a Grass roots monobore completion in August 2015 to target gas sands in the Beluga/Upper Tyonek formations. It was originally completed in multiple sands and brought online in October 2015. The purpose of this work/sundry is to perforate the UB-5 interval. Notes Regarding Wellbore Condition • The well currently is flowing 1.2 MMSCFD at 78 psig. • MIRU slickline and make GR and drift run to tag bottom prior to performing work. E-Line Procedure 1. MIRU e-line and pressure control equipment. PT lubricator to 250 psi low/3,000 psi high. 2. Perforate the Tyonek sands with 2-7/8" 6 SPF 60 deg phased perf guns (verify with Reservoir engineer desired pressure on well prior to perforating), bleed well down if necessary prior to perforating. All intervals are planned for 12 SPF so each zone may be shot twice. Depths are from the Halliburton CBL log dated Sept. 14th, 2015. Send the correlation pass to the Operations Engineer, Reservoir Engineer, and Geologist for confirmation. Proposed Perforated Intervals Sands Top (MD) Btm (MD) FT Upper Beluga UB-5 ±6,090 ±6,140 ±50 3. POOH. 4. Flow through test separator and record water and gas rates. 5. If the UB-5A is not commercial or wet, the zone will be permanently plugged back with a casing patch. 6. RD e-line. 7. Turn well over to production. Attachments: 1. Current and Proposed Well Schematics 2. X-Span patch specifications Kenai Gas Field . 14 . •SCHEMATIC well: KBU 31-06X • API #: 50-133-20653-00-00 Hilcarp Alaska,LLC PTD: 215-127 RKB:GL=18.90' 1,. CASING DETAIL jjo. 1 Size Type Wt/Grade/Conn ID Top Btm .,, ) .14 1 13-3/8" Conductor-Driven 72#/L-80/Weld 12.347 Surf 120' + t^ 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' 417-1` 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' WilL J�, 13-3/8"•.},maet,', * SL� ' s, JEWELRY DETAIL .1 �'•. No Depth Item 1 2,991' Baker Swell Packer f 4,{ ,7'v# 17•4P PERFORATION DETAIL Sands Top(MD) Btm(MD) Top(ND) Btm(TVD) Date Size Status Est TOC ., >. 2,600' .tt LB-2C 7,906' • 7,916' 6,582' 6,590' 11/11/15 , 2-7/8" Open ?f•+ 0 1, LB 3A 8,080' • 8,100' 6,731' 6,748' 10/02/15 . 2-7/8" Open yLB-3B 8,149' • 8,159' 6,790' 6,798' 11/11/15 • 2-7/8" Open LB 4 8,246' • 8,251' 6,789' 6,877' 10/02/15 I 2-7/8" Open 7.5/8 ` '7. ,t,�', LB 4C 8,358' • 8,373' 6,970' 6,983' 10/02/15• 2-7/8" Open 01 ;r + LB-4C 8,401' • 8,411' 7,008' 7,017' 11/10/15 • 2-7/8" Open LB-5C 8,623' • 8,633' 7,203' 7,212' 11/10/15• 2-7/8" Open UT 72-8 8,724'• 8,764' 7,292' 7,327' 10/01/15 • 2-7/8" Open UT 73-1 8,784' • 8,804' 7,345' 7,363' 10/01/15 ' 2-7/8" Open UT 73-2 8,839' • 8,854' 7,394' 7,407' 09/30/15 • 2-7/8" Open UT-1B 8,930' • 8,950' 7,474' 7,491' 09/30/15. 2-7/8" Open UT-1B 9,000' • 9,010' 7,535' 7,544' 11/10/15• 2-7/8" Open UT-1D 9,050' • 9,075' 7,579' 7,602' 09/25/15• 2-7/8" Open RA Tag • mitts: 5,993 C 7,491' C = LBIE LB 2C �= LB 3A - LB3B 8,194' C = L84 = LB 4C = LB5C 8,820 C = UT 72-8 UT 73-1 0 UT 73-2 UT1B UT1D 4-1/2" •1 AO TD=9,080'MD/7,61E TVD PBTD=9,080'MD/7,606'TVD Updated by DMA 11-18-15 Kenai Gas Field • • PROPOSED • Well: KBU 31-06X • ti API #: 50-133-20653-00-00 Hilcorp Alaska,LLC SCHEMATIC PTD: 215-127 RKB:GL=18.90' °.; CASING DETAIL " Size Type Wt/Grade/Conn ID Top Btm "i'.' 13-3/8" Conductor-Driven 72#/L-80/Weld 12.347" Surf 120' 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' . 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' 13-3/8" 111 JEWELRY DETAIL `% No Depth Item '. 1 2,991' Baker Swell Packer f{ r PERFORATION DETAIL Sands Top(MD) Btm(MD) Top(TVD) Btm(TVD) Date Size Status EstloC 1 UB-5 6,090' 6,140' 5,013' 5,057' TBD 2-7/8" Proposed 2,6W LB-1E 7,614' 7,634' 6,335' 6,352' 11/11/15 2-7/8" Open LB-2C 7,906' 7,916' 6,582' 6,590' 11/11/15 2-7/8" Open A' , ,' LB 3A 8,080' 8,100' 6,731' 6,748' 10/02/15 2-7/8" Open 4'I" I LB-3B 8,149' 8,159' 6,790' 6,798' 11/11/15 2-7/8" Open 6 •7-5/8" `.+.'1 • LB 4 8,246' 8,251' 6,789' 6,877' 10/02/15 2-7/8" Open LB 4C 8,358' 8,373' 6,970' 6,983' 10/02/15 2-7/8" Open LB-4C 8,401' 8,411' 7,008' 7,017' 11/10/15 2-7/8" Open LB-5C 8,623' 8,633' 7,203' 7,212' 11/10/15 2-7/8" Open ' UT 72-8 8,724' 8,764' 7,292' 7,327' 10/01/15 2-7/8" Open UT 73-1 8,784' 8,804' 7,345' 7,363' 10/01/15 2-7/8" Open UT 73-2 8,839' 8,854' 7,394' 7,407' 09/30/15 2-7/8" Open UT-1B 8,930' 8,950' 7,474' 7,491' 09/30/15 2-7/8" Open UT-1B 9,000' 9,010' 7,535' 7,544' 11/10/15 2-7/8" Open RA Tag UT-1D 9,050' 9,075' 7,579' 7,602' 09/25/15 2-7/8" Open depths: 5,993 t 7,491' Q ', LB 1 E - LB 2C LB 3A ' - LB 38 8,194' 4 LB 4 LB 4C _. LB 5C - UT 72-8 8,820 C - UT 73-1 UT 73-2 a. - UT1B UT-ID 4-1/2" A TD=9,080'MD/7,606'TVD PBTD=9,080 MD/7,606'ND Updated by TWN 06-06-16 • • U U U U 0 U U U O 0 a F 7 F 7 F I- •7 r 7 r 7 F 7 F = 7 H IO- C Fes` m U) i m CO CO •y- Cl) V)CI) CO .- CO CO '- CO i Cl) co R CO O•m CO 2 N a 2 v 7 2 v 2 et 2 v 2 a 2 2 N dO N a- Co N .- co a- r- Co a- Co Co Co co co CO N r M r M th r M r r%) M M M r- N co co co M M C') e} • C E COO^ COON COON N^ NC S OrOn NM NM Nab) NM X p p p a •h O I� O tG o of O a Ui a cG C tG W CO N •d Cl. v0 apo v• Tn U V ro 'o4 ay -0 to ad 1 oCo .I C o Oo 0 toi9. M M M co N M '--_M M HlIiN ea coCs C a co O O •y 4 ^ OO CO O a at ON M OONOOa O6 OON OOO OOO pOO pC Co01 cta O O a (1ra U w M O O Co I O e{ In In n Rx N FH h pF-- I- F F IT-ILINJ ill Fa a a O in ✓ vv a Fa a a a a a mCo VII .aaa aFd F r d d Fd a a a aa a a IL d111% 7 W2 O Co O O O O O O y N M N Oco O Co O p y d. O O O -41- 0) A Q1 IA CO O O O O O CO O O O O O co O Q a n CO N CO N O a O O O O O O O O O O co O O 0 n 4 00 CO 6 0 0 0 0 0 0 0 0 0 0 0 0 o a a E co11111 co M Co O O O O O N a a a a tin a a a a O O a a p a c N O O O Co O O Y U7 U) In U) CO co n n n• n. Ir n• n U) b .1 4-4 L H F F Co U) N U) N U7 H F H ♦- F F F 1= F F= F- H H IL O cca u a a 0a F F F F r a O. a a a a a a a a a a a a F CO w ^1 Au. a a a a a a a a g W E 'ISI 0WI cn 0 co E C 0 N 0n. 0b c,co ON Oh OIn Co" 00 0a- Det Cao 0b 0h 00 Co 9) 00 ON ON 0M OM OM OM OM c>A per a y .4.,c; O^ 0 co a! 001 001 00 OM Ob co OM O)0 c0"0. N O1N MM nq nA 0q O00f co cc! N^ Na— O • OM c R▪I O. Q n IG O Ui in U)ri O 00 O 2 O OV It A 0 4 4 A O 4 Ms} oo Ni cc 4, 0 Oi /y rt., V�Ni ri O1 O O O 4 O er O 0 lin ce IO - 0e} 00 co Der InM b b Ofb NM ,is 0a 0e► �M InM InM �M N I`�N MN MN MN NN NN M �M •O o O 3 U cj i y .0 Nm .- CO N A-- d 4 n ^ w 1� O h O U) U) w b , b N M a— N1 b e} Of 1� n b h h co OM O Ob C. 00) C. 00 on. COC. CopM p0) 00 ON OIC 000 COOb p0 Oen OOf pM pM O p0 ph pn. c Y 00 O 00 O O O O O O M M M a0 U! TC �C Oap a.4 Ni Ont n. co coNi co -a N04 NOV A K y co Ui O h N O`o co ap O 03 D on Co In Ui CO0 Dai N Ili N r d 7 Def 00 U) �a! U1M �b �b On 03 nU) CO In U1M NM Dei OM 03 can Ne* .0 CO co 44 sr 01 N MN �N MN MN 0�. 0s} all m m d o 1 u) - I.h ,o a, UaM NO co a, co 44. NO Nn U)^ Inn OOI 00 ab 0a Ob 00 aef aet OI-. O^ O^ Ow Ow 001 as �. C L C =• co N- n co CO M 01 A n n O O O,. CO b O p; CO U)Ni U)Ni O Oi O O 01 U7 U)IG OIC a IG . G 0 �M �� MO O)^ CONE 01^ Of^ MahO MO atlelb0000 U)O 00 Ow 00 NO NM °I 01 IC!01 NM HM n.* ne, r01 n0 c .0N N N N ON Ni Ni M M M of w eta e{a- e}w U7 w Ui w U)w Ui w inv. ma-a- Una- n,a- 9.9- m 0- E E 0 p L0 O N0 O^ Nd. Ow In U) IpnpH 04 00 OU) U)�. Ob Co Nn. co 00 OQ On• Ob Ob 03 9. aN Oh Uf O OO) 00 �•• L C aD Nn. con an. O 1� O n ao Ni 03 95 �; CA 9s O� OIw It) MO CV‘..i h 0U) CoOi Or CI yr; Oh _d CO Vap et a0 0e- 0U) 0V7 °0013 Oa 'a I()w Co,., Is:v. 1,-:c4 a0.0 O1N O a ra rcc) Nh MI0 Ina— U) . d 2 a- N N^ Nib co t+ib Ni0 03 C) e•10 MO et e{a— et a• et act Va— on tri a- Co) Coa- Co a- COa— 40a— CON x001 0 CO o a o as E MM Nb NN N = C M e-4, r-99 00) bM MOf O U)4 CO^ ch ch a Mao aet MN Fw �N 01M O)b OIC) N II ,-CO M0) In U) O).0 K '.=_ Cao 4Oi 000N co 1n Of in Ol .0 AIG MOI M^ b •N Ob et v• Nap 0r �w I`6 Ori heti NIG et ap MC 04 NIG Oi ed co D —v h n au ao w a a tee} I4 �o CM Inw c0 C° �N •9..a. U, On Oh ` — e4 co Mb et co Ina- Ina— c C) N OV co M co co M BOO co0 s►w aw .1-..-• eTw .pw 00 O� cc) Uiw 4,0 a- ma a- Co". co 9. co 9. co CN 03 04 = y co•0 co^ er^ = O t y Col NO) I- a C 7o E co o U)Ni N U) _ .LU.. 0 C c c•. 0n. a NO w 0O1 Oy CoN as 0)0 00 0b a00 Ob co of NM ^ VII" Dao 0R 0n. 00 CO,. h IC)01 E .£ E or . 01 01 N N M^ 4^ n•es ON nap Irl: en 1 ON co..,1: co)� ^Oi 0� b'0 0,co. 00 r.-,i d CG Of f,11o)^ 00i 42.,,,1 �ONI 00^) 000) 64 O1� n!O �w 0w ISN ON M 01I o)- h NII MIO Cob bb ON nN = 0 0 N N CO M M M M Or ,=,c..; eFw �w el.,•-• •I•c•-• aw p^ co,•-• 0a— 0w 0w 0w Co". 0a— ON ON c 07Z Co O UiN C �w �a- ..... y y U a) a n a0 Ip 0 coMp `/ C L m ) n°!, U)b M/y N e); CO N n. 0) `Co U) CO N Co b O II)•01 C)q N CO 0) M b O M s S C)J Y ' co O) 0,a- 0)a— n'w 0a— mer St) w pw 0n. 0M co 04 0n nM _MN U)0 Nb w CO•., U, 000 nM n� Inn. m 7 d (j CO 41 4N cV4 44 n/V 000 bN MO IC/O 4.0 SIG SOV Ne* CM Of ,-Ui at) MOV a0n We: Naapo Nei N M h U 'UO0 IGa •CO al �N 'c-04 �N �N •N w N N CO N N e}ao In of ♦ a0 17i N �N �O ae� O. d i= IG 01 Ni Ni r n. 01 w w w � �N c `o CG cots co cc, 04 a, O) ^M S. N^ 00� 00 U) v Un p M0' n.^ �� ea ' in 04 :MN. n4 v OO N10NM ea ^ 4w I. co N c i W STATE OF ALASKA • RECEIVED ALLKA OIL AND GAS CONSERVATION COMMISSION Jail i' REPORT OF SUNDRY WELL OPERATIONS 0 4 2016 1.Operations Abandon LIPlug Perforations A Fracture Stimulate LI Pull Tubing ❑ Operations s cutdown ❑ Performed: Suspend ❑ Perforate [ Other Stimulate ❑ Alter Casing❑ Change Approved Program ❑ Plug for Redrill ❑ 8rforate New Pool ❑ Repair Well ❑ Re-enter Susp Well❑ Other: _ _ ❑ 2.Operator 4.Well Class Before Work: 5. Permit to Drill Number: Name: Hilcorp Alaska, LLC Development ❑ Exploratory ❑ 215-127 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic❑ Service ❑ 6.API Number: Anchorage,AK 99503 50-133-20653-00 7.Property Designation(Lease Number): 8.Well Name and Number: FEE;A028142 Kenai Beluga Unit(KBU)31-06X 9.Logs(List logs and submit electronic and printed data per 20AAC25.071): 10.Field/Pool(s): N/A Kenai Gas Field-Beluga/Upper Tyonek Gas Pool,Tyonek Gas Pool 1 11. Present Well Condition Summary: Total Depth measured 9,080 feet Plugs measured N/A feet true vertical 7,606 feet Junk measured N/A feet Effective Depth measured 9,080 feet Packer measured 2,991 feet true vertical 7,606 feet true vertical 2,596 feet Casing Length Size MD TVD Burst Collapse Structural Conductor 138' 13-3/8" 138' 138' 1,661 psi 5,380 psi Surface 3,511' 7-5/8" 3,511' 2,997' 6,890 psi 4,790 psi Intermediate Production 9,074' 4-1/2" 9,074' 7,601' 8,430 psi 7,500 psi Liner Perforation depth Measured depth See Attached Schematic True Vertical depth See Attached Schematic Tubing(size,grade,measured and true vertical depth) N/A N/A N/A N/A Packers and SSSV(type, measured and true vertical depth) Baker Swell; N/A 2,991'MD 2,596'TVD N/A;N/A 12.Stimulation or cement squeeze summary: N/A Intervals treated(measured): N/A Treatment descriptions including volumes used and final pressure: N/A 13. Representative Daily Average Production or Injection Data Oil-Bbl Gas-Mcf Water-Bbl Casing Pressure Tubing Pressure Prior to well operation: 0 691 0 4 561 Subsequent to operation: 0 803 0 0 419 14.Attachments(required per 20 AAC 25.070.25.071,&25.283) 15.Well Class after work: Daily Report of Well Operations ❑� Exploratory Development El Service ❑ Stratigraphic ❑ Copies of Logs and Surveys Run ❑ 16.Well Status after work: Oil ❑ Gas ❑� WDSPL❑ Printed and Electronic Fracture Stimulation Data ❑ GSTOR ❑ WINJ ❑ WAG ❑ GINJ ❑ SUSP❑ SPLUG Li 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Sundry Number or N/A if C.O. Exempt: 315-646 Contact Taylor Nasse-777-8354 Email tnasse@hilcorp.com Printed Name Chad Helgeson Title Operations Manager ❑�Signature Phone 907-777-8405 Date VO 6 Form 10-404 Revised 5/2015 r- 14- /- / 0 ❑� Submit Original Only Hilcorp Alaska, LLC Weekly Operations Summary Well Name Rig API Number Well Permit Number Start Date End Date KBU 31-06X 50-133-20653-00-00 215-127 11/10/15 11/11/15 Daily Operations: 11/10/2015 -Tuesday Meet at office. Mobe to location. PTW and JSA. Pressure test 250 psi low and 3,000 psi high.TP - 902 psi. Arm gun. RIH w/2- 7/8" x 10' Razor HC, 6 spf, 60 deg phase and tie into Halliburton RMT log (CHL) dated 9-14-15. Run correlation log and send to town. Got ok to perf(UT-1B sand) from 9,000' to 9,010'. Fired shot with 926 psi and after 5 min pressure was 932.4 psi. POOH.All shots fired. RIH w/2-7/8" x 10' Razor HC, 6 spf, 60 deg phase and tie into Halliburton RMT log (CHL) dated 9-14- 15. Run correlation log and send to town. Got ok to perf(LB-5C sand) from 8,623' to 8,633'. Fired shot with 1,068 psi and after 5 min pressure was 1,073.1 psi. POOH. All shots fired. RIH w/2-7/8" x 10' Razor HC, 6 spf, 60 deg phase and tie into Halliburton RMT log (CHL) dated 9-14-15. Run correlation log and send to town. Got ok to perf(LB-4C sand)from 8,401' to 8,411'. Fired shot with 1,152 psi and after 5 min pressure was 1,154.8 psi. POOH. All shots fired. Rig for stand by. Will perf the rest tomorrow. 11/11/2015 -Wednesday Meet at office. Mobe to location. PTW and JSA. Pressure test 250 psi low and 3,000 psi high. TP- 1,353 psi. Arm gun. RIH w/ 2-7/8" x 10' Razor HC, 6 spf, 60 deg phase and tie into Halliburton RMT log (CHL) dated 9-14-15. Run correlation log and send to town. Got ok to perf(LB-3B sand) from 8,149' to 8,159'. Fired shot with 1,359.2 psi and after 5 min pressure was 1,360 psi. POOH. All shots fired. RIH w/2-7/8" x 10' Razor HC, 6 spf, 60 deg phase and tie into Halliburton RMT log (CHL) dated 9-14-15. Run correlation log and send to town. Got ok to perf(LB-2C sand) from 7,906'to 7,916'. Fired shot with 1,373.3 psi and after 5 min pressure was 1,374 psi. POOH. All shots fired. RIH w/2-7/8" x 20' Razor HC, 6 spf, 60 deg phase and tie into Halliburton RMT log (CHL) dated 9-14-15. Run correlation log and send to town. Got ok to perf(LB-1E sand) from 7,614' to 7,634'. Fired shot with 1,376.3 psi and after 5 min pressure was 1,377.7 psi. POOH. All shots fired. Rig down lubricator and turn well over to field. • Kenai Gas Field n • SCHEMATIC Well: KBU31-06X API #: 50-133-20653-00-00 HiIcory Alaska,LLC PTD: 215-127 RKB:GL=18.90' ti,!- 1,1" CASING DETAIL .,"j 3`. { Size Type Wt/Grade/Conn ID Top Btm t,.4 Ar«i 4 v` • ,' 13-3/8" Conductor-Driven 72#/L-80/Weld 12.347" Surf 120' +.;.0 ,,• 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' �' #-,,^ q'' ..; f 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' 13-3/8" Y I. � e 14 JEWELRY DETAIL svi.'t I No Depth Item 3:.� ;, •# 1 2,991' Baker Swell Packer r i jt. ; 4. 1 . . j�II ° PERFORATION DETAIL Sands Top(MD) Btm(MD) Top(TVD) Btm(TVD) Date Size Status Est TOC ''f " ', 1 LB-1E 7,614' 7,634' 6,335' 6,352' 11/11/15 2-7/8" Open 2,600' *7,'." #'. LB-2C 7,906' 7,916' 6,582' 6,590' 11/11/15 2-7/8" Open 17", .a 44 r t LB 3A 8,080' 8,100' 6,731' 6,748' 10/02/15 2-7/8" Open 1'.+'4 ll A,,",t A LB-3B 8,149' 8,159' 6,790' 6,798' 11/11/15 2-7/8" Open * ' »,r-'s' i LB 4 8,246' 8,251' 6,789' 6,877' 10/02/15 2-7/8" Open 7-5/8" ,"i » 'r' LB 4C 8,358' 8,373' 6,970' 6,983' 10/02/15 2-7/8" Open '' ' LB-4C 8,401' 8,411' 7,008' 7,017' 11/10/15 2-7/8" Open '', 'r.., LB-5C 8,623' 8,633' 7,203' 7,212' 11/10/15 2-7/8" Open y ' UT 72-8 8,724' 8,764' 7,292' 7,327' 10/01/15 2-7/8" Open y" UT 73-1 8,784' 8,804' 7,345' 7,363' 10/01/15 2-7/8" Open .; UT 73-2 8,839' 8,854' 7,394' 7,407' 09/30/15 2-7/8" Open :;:* UT-1B 8,930' 8,950' 7,474' 7,491' 09/30/15 2-7/8" Open r 1i UT-1B 9,000' 9,010' 7,535' 7,544' 11/10/15 2-7/8" Open �.+ UT-1D 9,050' 9,075' 7,579' 7,602' 09/25/15 2-7/8" Open RA Tag , ' k 5,993' Ill „1 jai J •'A J1 ti: t IA 7,491' I LB 1E V LB 2C `{4 ii LB 3A 4. 0 LB 3B 8,194' IN LB4 *:- LB4C i" )7' LB SC 8,824 : 31 Ur 72-8 Ur 73-1 Ur 73-2 *,,11 Ur1B PA Ur1D 4-1/2„ A 11.e1: TD=9,080 MD/7,606'ND PBTD=9,080'MD!7,606'ND Updated by DMA 11-18-15 RECEIVED 0 0 OCT 12 2015 STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 40GCC WELL COMPLETION OR RECOMPLETION REPORT AND LOG la.Well Status: Oil ❑ Gas SPLUG ❑ Other ❑ Abandoned ❑ Suspended lb.Well Class: 20AAC 25105 20AAC 25.110 Development ❑✓ - Exploratory ❑ GINJ ❑ WINJ ❑ WAG❑ WDSPL ❑ No.of Completions: _ 1 • Service ❑ Stratigraphic Test ❑ 2. Operator Name: 6. Date Comp.,Susp., or 14. Permit to Drill Number/ Sundry: Hilcorp Alaska, LLC Aband.: '10/2/2015 215-127/315-556 • 3.Address: 7. Date Spudded: 15.API Number: 3800 Centerpoint Drive,Suite 1400 Anchorage,AK 99503 .8/20/2015 -50-133-20653-00-00 - 4a. Location of Well(Governmental Section): 8. Date TD tEached: .G 16.Well Name and Number: Surface: 570'FNL, 758'FEL, Sec 7,T4N, R11W,SM,AK . 9/87/2015 •KBU 31-06X Top of Productive Interval: 9. KB(ft above MSL): 83.5- 17. Field/Pool(s): Kenai Gas Field 1840'FNL, 1744'FEL, Sec 6,T4N, R11W, SM,AK GL(ft above MSL): 65.5 - Beluga/Upper Tyonek GP/Tyonek GP1 - Total Depth: 10. Plug Back Depth MD/TVD: 18. Property Designation: 1368'FNL, 1808'FEL, Sec 6,T4N, R11W, SM,AK - 9,080'MD/7,524'TVD . FEE A028142 4b. Location of Well(State Base Plane Coordinates, NAD 27): 11.Total Depth MD/TVD: 19. Land Use Permit: Surface: x- 275141.86 - y- 2361440.35 - Zone- 4 . 9,080'MD/7,524'TVD . N/A TPI: x- 274266.33 y- 2365449.1 Zone- 4 12. SSSV Depth MD/TVD: 20.Thickness of Permafrost MD/TVD: Total Depth: x- 274210.89 y- 2365921.87 Zone- 4 N/A N/A 5. Directional or Inclination Survey: Yes E(attached) No ❑ 13.Water Depth, if Offshore: 21. Re-drill/Lateral Top Window MD/TVD: Submit electronic and printed information per 20 AAC 25.050 N/A (ft MSL) . N/A 22. Logs Obtained: List all logs run and, pursuant to AS 31.05.030 and 20 AAC 25.071,submit all electronic data and printed logs within 90 days of completion,suspension,or abandonment,whichever occurs first.Types of logs to be listed include,but are not limited to:mud log, spontaneous potential, gamma ray,caliper, resistivity, porosity,magnetic resonance,dipmeter,formation tester,temperature,cement evaluation,casing collar locator,jewelry, and perforation record. Acronyms may be used.Attach a separate page if necessary 5"Formation Log MD/TVD,2"Formation Log MD/TVD,2"LWD Combo Log MD/TVD, 2"Gas Ratio Log MD/TVD,2"Drilling Dynamics Log MD/TVD 2"/5"ROP-DGR-EWR-ADR-CTN-ALD MD, 2"/5"DGR-EWR-ADR-CTN-ALD TVD,2"Cement Bond Log MD 23. CASING, LINER AND CEMENTING RECORD WT. PER SETTING DEPTH MD SETTING DEPTH TVD AMOUNT CASING GRADE BOTTOM TOP BOTTOM HOLE SIZE CEMENTING RECORD FT TOP PULLED 13-3/8" 72# L-80 0 120' 0 120' Driven N/A 7-5/8" 29.7# L-80 0 3,511' 0 2,997' 9-7/8" L-205 bbls 12#/T-40 bbls 15.4# 85 bbls 4-1/2" 12.6# L-80 0 9,074' 0 7,600' 6-3/4" L-184 bbls 13.5#/T-58.8 bbls 15.3# 24.Open to production or injection? Yes ❑ No ❑ 25 TUBING RECORD If Yes, list each interval open(MD/TVD of Top and Bottom; Perforation SIZE DEPTH SET(MD) PACKER SET(MD/TVD) Size and Number): N/A N/A 2,991'MD/2,596'TVD 8,080'-8,100'MD/6,731'-6,748'TVD 8,246'-8,251'MD/6,789'-6,877'TVD 26 ACID, FRACTURE, CEMENT SQUEEZE, ETC. 8,358'-8,373'MD/6,970'-6,983'TVD Was hydraulic fracturing used during completion? Yes❑ No ❑� - 8,724'-8,764'MD/7,292'-7,327'TVD 8,784'-8,804'MD/7,345'-7,363'TVD Per 20 AAC 25.283(i)(2)attach electronic and printed information 8,839'-8,854'MD/7,394'-7,407'TVD DEPTH INTERVAL(MD) AMOUNT AND KIND OF MATERIAL USED 8,930'-8,950'MD/7,474'-7,491'TVD N/A N/A 9,050'-9,075'MD/7,579'-7,602'TVD 2-7/8"6 SPF 27. PRODUCTION TEST Date First Production: Method of Operation(Flowing,gas lift,etc.): 10/2/2015 Flowing Date of Test: Hours Tested: Production for Oil-Bbl: Gas-MCF: Water-Bbl: Choke Size: Gas-Oil Ratio: 10/4/2015 24 Test Period —0 905 0 N/A N/A Flow Tubing Casing Press: Calculated Oil-Bbl: Gas-MCF: Water-Bbl: Oil Gravity-API(corr): Press. 728 N/A 24-Hour Rate 0 • 905 0 N/A tu.sa. 4 kt,Ilt, zi(2-74 Form 10-407 Revised 5/2015 CONTINUED ON PAGE 2 RBDMS OCT 1 3 2015 Submit ORIGINIAL only -it 28.CORE DATA Conventional Cills): Yes ❑ No ❑✓ - Sidewall Coreses ❑ No ❑✓ . If Yes, list formations and intervals cored(MD/TVD, From/To),and summarize lithology and presence of oil,gas or water(submit separate pages with this form, if needed). Submit detailed descriptions, core chips, photographs, and all subsequent laboratory analytical results per 20 AAC 25.071. 29. GEOLOGIC MARKERS (List all formations and markers encountered): 30. FORMATION TESTS NAME MD TVD Well tested? Yes ❑ No ❑✓ . Permafrost-Top N/A If yes, list intervals and formations tested, briefly summarizing test results. Permafrost-Base N/A Attach separate pages to this form, if needed,and submit detailed test P3 A6 4,081' 3,434' information, including reports,per 20 AAC 25.071. P4 B1X 4,517' 3,767' P5-1 B3 4,691' 3,899' P5-2 B5 Marker 5,033' 4,160' Upper Beluga 5,752' 4,722' Middle Beluga 6,442' 5,321' Lower Beluga 7,355' 6,114' Tyonek 8,700' 7,270' Tyonek 72-8 8,717' 7,285' Tyonek 73-1 8,773' 7,335' Upper Tyonek 1A 8,862' 7,414' Upper Tyonek 1B 8,914' 7,459' Upper Tyonek 1C 9,012' 7,546' Upper Tyonek 1D 9,030' 7562' Formation at total depth: Tyonek . 31. List of Attachments: Wellbore Schematic, Days vs Depth, MW vs Depth curves, Drilling and Completion Composite Reports,Casing and Cementing Reports. Definitive Directional Surveys. Information to be attached includes, but is not limited to: summary of daily operations,wellbore schematic,directional or inclination survey, core analysis, paleontological report, production or well test results, per 20 AAC 25.070. 32. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact: Monty Myers Email: mmyers(a�hilcorp.com Printed Name: Monty Myers Title: Drilling Engineer Signature: —1- Phone: 907-777-8431 Date: f - / Z• LQ.[s INSTRUCTIONS General: This form and the re nts provide a complete and concise record for each well drilled 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.All laboratory analytical reports regarding samples or tests from a well must be submitted to the AOGCC, no matter when the analyses are conducted. Item la: 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 1b: Well Class-Service wells: Gas Injection,Water Injection,Water-Alternating-Gas Injection,Salt Water Disposal,Water Supply for Injection, Observation, or Other. Item 4b: TPI(Top of Producing Interval). Item 9: 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 15: The API number reported to AOGCC must be 14 digits(ex: 50-029-20123-00-00). Item 20: Report measured depth and true vertical thickness of permafrost. Provide MD and TVD for the top and base of permafrost in Box 29. Item 22: Review the reporting requirements of 20 AAC 25.071 and, pursuant to AS 31.05.030, submit all electronic data and printed logs within 90 days of completion, suspension,or abandonment,whichever occurs first. Item 23: Attached supplemental records 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. Pursuant to 20 AAC 25.071, submit detailed descriptions,core chips, photographs, and all subsequent laboratory analytical results, including, but not limited to: porosity, permeability,fluid saturation,fluid composition,fluid fluorescence,vitrinite reflectance,geochemical, or paleontology. 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. Item 31: Pursuant to 20 AAC 25.070, attach to this form:well schematic diagram,summary of daily well operations,directional or inclination survey, and other tests as required including, but not limited to: core analysis, paleontological report, production or well test results. Form 10-407 Revised 5/2015 Submit ORIGINAL Only Kenai Gas Field n • SCHEMATIC • Well: KBU 31-06X API #: 50-133-20653-00-00 Uncoil)Alaska,LLC PTD: 215-127 RKB:GL=18.90' CASING DETAIL • Size Type Wt/Grade/Conn ID Top Btm 13-3/8" Conductor-Driven 72#/L-80/Weld 12.347" Surf 120' 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' 4-1/2" Production 12.6#/L 80/DWC/C HT 3.958" Surf 9,074' 13-3/8" JEWELRY DETAIL No Depth Item • •% 1 2,991' Baker Swell Packer iJ • PERFORATION DETAIL • .• x Sands Top(MD) Btm(MD) Top(ND) Btm(ND) Date Size Status Est TOC l ' 1 LB 3A 8,080' 8,100' 6,731' 6,748' 10/02/15 2-7/8" Open 2,600 LB 4 8,246' 8,251' 6,789' 6,877' 10/02/15 2-7/8" Open LB 4C 8,358' 8,373' 6,970' 6,983' 10/02/15 2-7/8" Open UT 72-8 8,724' 8,764' 7,292' 7,327' 10/01/15 2-7/8" Open UT 73-1 8,784' 8,804' 7,345' 7,363' 10/01/15 2-7/8" Open 7-5/8, 1 ' -4.f' UT 73-2 8,839' 8,854' 7,394' 7,407' 09/30/15 2-7/8" Open Jo UT1B 8,930' _ 8,950' 7,474' 7,491' 09/30/15 2-7/8" Open b+ UT1D 9,050' 9,075' 7,579' 7,602' 09/25/15 2-7/8" Open RA Tag depths: 5,993 Ca 7,491' CI 4,., . 1 LB 3A 8,194' El , s LB4 LB 4C 0' C UT 72-8 8,82 UT 73-1 UT 7'3-2 Sa UT1B e UT1D 41/2' .a 40' TD=9,080 MD/7,606'TVD PBTD=9,080'MD/7,606'TVD Updated by CJD 10-12-15 S Hilcorp Energy Company Composite Report Well Name: KEU KBU 31-06X Field: Kenai Gas Field County/State: Kenai,Alaska (LAT/LONG): evation(RKB): API#: Spud Date: 8/20/2015 Job Name: 1511702D KBU 31-06X Drilling Contractor AFE#: 1511702D AFE$: Activity Date Ops Summary 8/16/2015 No activity during this time;Prep rig for trucks.RD topdrive.Rig down mud pits and lower roofs.Rig down mud pump skids.RD and lay dn poorboy degasser.Lay down lower TD rail and scope derrick down. 8/17/2015 Cont to wrap up cords and hoses in prep for move.Peak on loction at 07:00.Held PJSM with rig crew and Peak drivers.RD Handy Berm,load and ship pits, remove centrifuge,ship out pump skids,lay;over derrick and secure lines.Total Safety RD gas detection equipment.spot cranes and remove iron roughneck, removed back wall from board,ship out rig mats,ship gen skid 1-2,ship HPU,pick;derrrick off carrier,pick carrier off sub,pick sub off pony walls,ship sub,carrier and derrick.Ship rig mats and pony walls.Clean up felt and liner from around cellar box.;Continue cleanup liner and felt from GO#8. Lay liner and set mats for rig footprint on 31-06X. Spot pony subs and rig up lights on rig. 8/18/2015 Set sub base,carrier,derrick. Spot doghouse and raise. Set combo building,TD HPU,mud tanks 1&2,mud pumps 1&2.Set iron roughneck,centrifuge and start rigging up pits.;Demob camp from GO pad to 31-06X. Rig up same. Spot catwalk and raise beaver slide. Set cmt silos and 500 bbl upright tank.;lnstall wind wall and derrickhand house on board via crane. Hook up all grounds between buildings. Hook up svc lines. Raise derrick.;Spool on drilling line. Install tq tube. Scope derrick and install tq tube bushing. P/U top drive. Start dressing out derrick.;Rig is 100%set. 65%rigged up. Est spud 8/20/15 @ 15:00 hrs. 8/19/2015 Continue dress out derrick,hook TDS to blocks finish installing torque bushing chg/out hyd service line in service loop and install service loop and kelly hose.Take on rig water.;Continue stage mud products, Continue pad organization.Install spools on well head and add extension on riser.R/up squatter shacks.R/up and calibrate gas detection system.,Hook up cameras installed 4"valve and bleed off valves installed bails and elevators and R/up tongs. Cut window between pit#1& #2 take on fuel.;Mix spud mud,nipple up conductor and DSA. Work on pre-rig acceptance checklist. Fill rig tank and 450 bbl upright. SLB load cmt silos for surface job. Rig accepted @ 00:00 hrs.;Continue nipple up riser. Took extended amount of time due to stud bolts being seized in DSA and difficult to remove (Estimated 4-5 hrs). Install 4"valves. Continue mixing mud.;Flood high psi surface lines and PT to 2500 psi(test good). Load and strap 50 jts dp and 17 jts hwdp. Install 13 5/8"wear bushing(11.5"ID). 8/20/2015 After discussion with tool pusher moved rig acceptance to 0600 hrs.P/up rabbit and strap 4-1/2"16.6#s-135 DP w/CDS-40 conn.and racked back same tagged fill in 13-3/8'@ 116'rkb.;Held pre-spud meeting with all drilling hands,production operators and Hilcorp safety;went over field/pad orientation and expectations.;Continue p/up total 100 jts of dp and rack back same. P/up rabbit strapped 16 jts of 4-1/2"HWDP and finish building 667 bbls of spud mud and sheer same.;PJSM on p/up bha.;P/up and m/up bha#1 to first flex collar,scribe for off-set,dn load data.;Flood conductor and chk for leaks ok, spud well @ 19:00 hrs and clean out conductor and drill w/HWDP U 200'start kick off and directional drill 9-7/8"hole as per WP#5 f/200'U 352'.;Pooh U 103'P/up rest of bha rih. Adjust drilling tq to 16k fUlbs.;Continue DrIg 9-7/8"directional hole as per WP#5 f/352'- t/1193'MD. 3-7k wob,40 rot,6.4k tq on,4.7k tq off,480 gpm, 1562 spp, 200 diff,48%flow,3u bgg.;Hauled 59 bbls cuttings to KGF G&I total 59 bbls. Hauled 81 bbls Class II junk fluid to KGF G&I total 81 bbls. Hauled 0 bbls cmt to KGF G&I total 0 bbls.. 8/21/2015 Continue DrIg 9-7/8"directional hole w/slides as needed to maintain WP#5 f/1193'U1467' (lost#2 MP)up/dn/rot 60/48/50k.;Short trip f/1467'U 880'on elevators w/no problems or fill while trouble shoot MP#2 fuel problem.;Resume Dig 9-7/8"directional hole w/slides as needed to maintain WP#5 f/1467' U 1778' up/dn/rot 62/50/56k TQ=6-7k on btm w/40 rpm,SPP=1583 psi @ 480 gpm.;Continue Drlg 9-7/8"directional hole w/slides as needed to maintain WP#5 f/ 1778' U2060'.;Survey,work ream std and circ btm up in prep for short trip;Wiper trip f/2060'to 1467'MD. RIH to 2060'MD. Pulled clean with no issues out or in.;Drlg F/ 2060'-T/2310'MD(WP 05). 5k wob,70 rpm,8.5k tq on,7.9k tq off,492 gpm,1660 spp,30 diff,48%flow,13u bgg. 125 ft/hr avg rop.;Drlg F/2310'-T/2989' MD(WP 05). 7k wob,70 rpm,10k tq on,9k tq off,524 gpm,2220 spp,180 diff,47%flow,12u bgg. 113 ft/hr avg rop.;Drtg F/2989'-T/3520'MD,3003'TVD(TD) (WP 05). 5k wob,80 rpm,11.2k tq on,9.4k tq off,537 gpm,2250 spp, 40 diff,49%flow,25u bgg. 133 ft/hr avg rop.95k up,54k dn,67k rot.:Control drill @ 50 ft/hr max rop for last 30'to obtain good lithology samples. 3520'MD samples show predominantly siltstone.;Recip and rotate pipe circulating hole clean @ 3520' MD. 80 rpm,537 gpm,2200 psi,49%flow,9.57 ECD before cleanup,9.28 ECD after cleanup. Pump 20 bbl nut plug flag sweep/500 stk early. 8/22/2015 Pooh slow f/3520'(5)stands U 3200'monitored well slight seepage losses continue pooh U 1998'w/no problems and 7.58 bbl over calculated fill.;Rih slow f/1998' U 3520' w/no fill or problems and 3.52 bbls over calculated displacement.;Pump 20 bbls sweep w/nut plug flag around w/minimal increase in cuttings and back 450 stk early and droped YP U 27.;Pooh slow f/3520'(5)stands U 3200'monitored well w/slight seepage losses,continue pooh U bha w/15.27 bbls over calculated displacement.;Inspect,dn load and I/dn bha Bit grade=2,6,BT,S,X,I,B,TD leveled derrick while dn loading, static loss @ 3 bph.;Service rig.;Remove wear bushing. Flush stack and function both 4"drain valves on conductor. L/D same. C/O to long bails,dress with 7 5/8"elevators. Dummy run 7 5/8"hanger(20.93')mark and L/D same.;R/U Weatherford Casing. R/U power tongs,cavan slips,safety clamp and c/o head on rig tongs for backup. R/U fillup line and bring circ subs to rig floor. Function test equipment(good).;PJSM,M/U 7 5/8"shoe track. Flashlight float equipment(good). Check floats(inconclusive). M/U with top drive and pump through(floats good).;Run 7 5/8",L-80,29.7#BTC as per detail F/surface-T/1831'MD. Fill on the fly and obtain displacement every 5 jts. 7800 ft/lbs avg tq to base of triangle. 14 bbl loss to this depth.;Circulate and condition hole @ 1831'MD. Stage pumps up to 210 gpm,(5 bpm),140 psi,21%flow. Circulated 1 1/2" btms up w/no losses noted. C/O flow paddle(paddle sticking)and calibrate same.;Run 7 5/8",L-80,29.7#BTC as per detail F/1831'-T/ 3494'MD. Displacement for trip=-24 bbls.;SLB cmtrs onsite @ 03:00. PJSM,Lay containment and rack in.;M/U hanger and landing jt. 130k up,58k dn. 5/0 and landout on depth 3514'MD. P/U and stage pumps up to 5 BPM w/no losses,221 spp,28%flow. R/D Weatherford casing. R/U cmtrs.;Dispose excess surface volume. Treat mud reducing YP to 27.;Hauled 131 bbls cuttings to KGF G&I-Total 546 bbls Hauled 229 bbls Class II Fluid KGF G&I-Total 724 bbls Hauled 0 cmt-Total 0 bbls Daily losses to hole-49 bbls 8/23/2015 Continue circ and cond mud for cmt job.;R/up cmt lines and equipment.;PJSM and go over cmt ptan.;Rig pump 44 bbls of 10 ppg mud push,drop btm plug.SLB mix and pump 204 bbls of 12.0 PPG lead cmt w/1-1/2 Ib/bbl cemnet followed by 42.6 bbls of 15.3 ppg tail cmt.drop top plug SLB displaced;w/20 bbls water followed by 134.5 bbls mud bumped plug 2.5 bbls early U 1500 psi(500 psi)over FCP.Chk floats ok.Lost total of 33 bbls during job.starting getting mud push back @ 233 bbls;of cmt away w/total of 85 bbls of cmt back in returns w/weight of 12.1 ppg @ bump.reciprocated pipe thru out job U 240 bbls cmt away unable to land hanger and stuck csg w/shoe @ 3511'.;Positioned pipe for emergency slips w/300k.;R/dn cmt equipment&lines.;Nip/dn flow nipple and raised against rotary table.;lnstall emergency slips into profile while loading conductor @ 140k cellar floor started subsiding cease operations and wait on cmt holding 140k.;While WOC.nip/up choke and kill hoses spot gas buster and install flow lines.clean pits.test choke manifold.welder fabricating base plate and gussets for cellar.;Continue repairing cellar and installing gussets to conductor. Continue cleaning pits. L/D cement head,clean same. Rack and tally dp to be picked up. Prep cellar for N/D and N/U. • • 8/24/2015 Continue wait on cmt and welder to finish base plate and gussets(1/2"x 8'base plate&4 1/2"x 2'gussets approx 80%welded out)surface cmt samples hard. Work on PHPA mud system.;Stage remaining 140k load on to slips and conductor&measured subsidence 1-1/2"total=4-1/2".;Monitor well head for subsidence (none).;Make rough cut on 7-5/8"I/dn landing jt hanger&3"cut-off r/dn long bails and csg elevators and install drilling bails and dp elevators while making final cut and dress of 7-5/8"stub.;Release welder for rest(will return&finish weld out during p/up of dp).;Remove flow riser from cellar,install pack off,nip/up Cactus C-29L tbg head 13-3/8"3m x 11"5m,spacer spool and set stack test pack-off 250U2500H 15 min each(ok).;Continue nip/up 11"5k stack and function test same.;M/up test jt r/up test equipment test bope as per regulations 250-3500 psi witness waived by Mr.Regg on 8-23-15 @ 1:43 pm. Tested annular 250/2500 w/5/10 min hold.;Drawdown test-Start psi 3100,drawdown psi 1450,200 psi increase=22 secs,full charge 97 secs,20 sec closing time annular. 4 bottle avg=2650 psi (Nitrogen backup).;R/U to test casing,pull test plug and test 7 5/8",L-80 casing to 3500 psi w/30 min hold(test good).;R/D test equipment. Set wear bushing(9" ID). Blow down choke and kill lines. Line up BOP equipment for drilling operations. PSJM,Weld out remaining floor plate for 100%seal in cellar.;Service rig. Change out wash pipe(scheduled maintenance).;Single in and rack back 4 1/2"CDS-40,S-135 16.6#pipe. Drift 2.56". P/U xo's and float between jts#13 and 14 going in hole due to mud running over top of pipe.;Hauled 0 bbls cuttings to KGF G&I total 546 bbls Hauled 115 bbls Class II fluid to KGF G&I 1824 bbls Hauled 0 bbls cement to KGF G&I total 80 bbls 8/25/2015 Continue rih p/up rabbit and strapping 4-1/2"CDS-40,S-135 16.6#DP f/2492' U 3392'tagged w/10k(welder working on weld out of base plate and gussets for conductor).;Pooh rack back same in derrick(welder finished weld out of base plate and gussets for conductor).;PJSM on p/up BHA.;P/up and M/up Bha#2 scribe mtr and MWD,pump down tools to warm and upload data. Load sources.;RIH picking up 4.5 DP to 2971'.;Cut and slip drilling line 57'.;RIH w/DP out of derrick and tag cmt at 3415'.;Drill cmt from 3415'U the rubber on top of the float collar at 3428'.Drill plugs and drill float at 3429'.Dig cmt to 3487'.;Start changing over to new mud while we continued to cmt to top of shoe at 3510'.Drill shoe,rathole,and 20'of new hole to 3540'.;Get survey for MWD hand and circ until mud was balanced all the way around at 9.2 PPG.;RU to perform FIT to 12.5 PPG.On first attempt pressure bled down from 515 psi to 275 psi in 10 min and continued to bleed down. Bled press dn and RU on DP and Annular.;On 2nd attempt pressure bled back to 320 psi in 10 min.On 3rd attempt press bled back to 350 psi in 10 min and 215 psi l in 30 min.;Called town and the decision was made to drill another 20'of new hole,circ clean and re-test.;RD test equip and run back to bottom.;Drlg new hole from 3540'to 3560'.40 RPM,79k Tq,1500 psi,250 GPM,145 Diff,5k WOB,Avg ROP 205 ft/hr.;Circ bottoms up w/new 9.2 ppg mud with 20 lbs/bbl Baracarb.;RU to perform FIT.Pressure up to 515 psi.Pressure bled back to 340 psi in 10 min and down to 210 psi in 30 min.Did one more test at 100 psi and press bled back to 35 psi in 20 min.;RD FIT test equip and contact town with results.Start contacting vendors in prep for setting or squeezing cmt plug.;Prep to POH.Driller failed to open top VBRs and pulled 80k over into them.Shut down and inspect BOPs.Drain stack and didnt see anything wrong with rams.Will open and inspect when OOH.;Hauled 28 bbls cuttings to G&I. Total cutting hauled=574 bbls Hauled 377 bbls class II to G&I Total class II hauled=2201 bbls 8/26/2015 Pooh f/3450'U 796'w/2.5 bbls over cal fill(Rig on dn time at 2200');Service rig.;Pull wear ring and hang 25k bha off on test plug and close blinds.;Open and remove top rams for inspection(install new VBR 2-7/8"x 5"in both rams bodies)and re-install same.Test rams 250/3500 psi on chart.Good test.RD test equip.;Pull test plug w/string hanging under.Turn plug over and set wear ring.;RIH from 796'U 2200'.RIG WENT OFF DOWN TIME AT 1700 HRS.;Continue RIH f/ 2200'U 3560',Washing down last 90'.;DrIg 6 3/4" hole f/3560'U 3838',60 RPM,9k tq,298 GPM,1950 Psi,150 Psi Diff,High gas 45 units,ECD 10.28,Avg ROP 93 ft/hr.;Dig 6 3/4"hole f/3838'U 4100',80 RPM,10k tq,322 GPM,2170 Psi,134 Diff.ECD 10.3,High gas 100 units,Avg ROP 87 ft/hr.:Pumped 20 bbl high vis sweep at 4053'.Got back a 25%increase in cuttings and ECDs went down to 10.2 after sweep.;Drlg 6 3/4 hole f/4100'U 4455'.80 RPM,10k tq,322 GPM,2180 psi,145 Diff,ECD 10.38,High gas 179 units.Avg ROP 89 ft/hr.;Pumped 20 bbl high vis sweep at 4355'.Got back about a 40%increase in cuttings.Pump another high vis sweep at 4445'.;Finish circ the sweep out and the hole clean.Take survey.;Monitor hole.Short trip back out to shoe.Hole fill was good.Observed one 10k overpull when top of motor came into shoe. No other overpulls.;RIH and wash last std back to bottom at 4455'.Hole is in good shapel;Hauled 42 bbls cuttings to G &I. Total cutting hauled=616 bbls Hauled 98 bbls class II to G&I Total class II hauled=2299 bbls Rt hrs=4.56.Slidding hrs=1.11 Distance to plan:4'low&3'right 8/27/2015 Fill pipe wash dn f/4400'U 4455'w/no fill and proper displacement.;Drlg 6-3/4"directional hole f/4455'U 4495'(off btm pressure climbing sharply+1000 psi).;Pooh U bha to chk tools(4 bbls over cal displacement)test bha(mtr working w/1200 psi over shallow test).;Work bha#2 rack back flex collars,pull nukes,dn load data brk off bit(4 jets plug w/stator rubber)Udn mtr. P/up backup motor while cleaning rubber out of bit(bit green).;Clear and clean rig floor and service rig and floor equipment.;M/up BHA#3 w!RR 6-3/4"bit. Scribe mtr,p/up tools,upload data test tools(ok). Load nukes continue m/up bha out of derrick.;RIH fill pipe once 1/2 way at 2800'. Continue RIH to 4455'.;Fill pipe and tag fill at 4490'with slow pump.Had 5'of fill. Wash&ream U 4490'U 4495'.;Resume drilling 6-3/4"directional hole f/4495'U 4702'w/slides as necessary to maintain direction of WP#5.Start pump at 300 GPM and increase to 324 GPM as mud thinned out.;Hole started taking fluid at 4638'so we slowed the pump rate and started adding more baracarb to control losses.Running 40 bbls/hr water.Loss rate at 65 bbls/hr.;Drtg 6 3/4" hole f/4707'U4824'. Pump rate dn to 290 GPM and still losing 120 bbls/hr.Running water at 60 bbls/hr.;Drlg 6 3/4"hole f/4824'U 4945'.Run 260 GPM and losses are up to 140 bbls!hr.Running 60 bbls/hr water but mud vol getting low.;Pump and spot 20 bbls of 40 lbs/bbl LCM.[38 lbs/bbl Baracarb and 2 lbs/bbl walnut hull] Should cover about 460'of hole when pipe pulled.;POH to 4455'.Hole took 2 bbls over displacement.[Start building vol while POH]Up wt=130k,Dn wt=65k,Rt wt=80k.;Monitor well while letting hole heal and building 404 bbls vol.w/401bs/bbl LCM. Hole taking 9.5 bbls/hr circ over the top of the well.;RIH slow and wash last std down with pump at a idle.No fill on bottom.;Drig 6 3/4"hole f/4945'U5136',Dig at reduce flow rate to help with losses.260 GPM until are losses were 0. Then we started to increase the flow rate to 280 GPM;Losses to well for this report=366 bbls.;Hauled 49 bbls cuttings to G&I. Total cutting hauled=665 bbls Hauled 106 bbls class II to G&I Total class II hauled=2405 bbls Rt hrs=4.56.Slidding hrs=1.11 Distance to plan:1'High&2'right 8/28/2015 Dig 6 3/4"directional hole f!5136'U5320'.;Chg out saver sub on TDS on connection w/just seepage losses.;Resume dig 6-3/4"directional hole f/5320'U 5754'. Started to see losses at 5738'. By 5743'they were getting up to 100 bbls/hr and at 5754'we lost retums.;We pumped 40 lbs/bbl f/suction pit and returns would come and go.Built 20 bbl pill with 58 lbs/bbl Baracarb and 2 lbs/bbl med wallnut hull.;Pump and spot LCM pill and POH to 4946'.Leaving LCM pill to cover 450'of open hole.Had one tight spot where we pulled 15k over f/5012'U4967'.Worked back thru and cleaned it up.;Hole took 22 bbls over displacement while POH filling hole through kill line,to 4967.Lost 324 bbls up to this point.;Monitor well and build vol.Built 281 bbls w/40 lbs/bbl Baracarb.Well took 3/4 of a bbl while monitoring for 3 hrs.;RIH slow to last stand.Wash last std down while running the pump slow.No losses showing.Bring circ rate up to 260 GPM and mad pass last slide section.;Ddg 6 3/4'hole f/5754 U 5814'and the losses were almost nothing until 5814'and we started losing again.;Continue drilling f/5814 U 5877'. Losses would come and got/50 bbls/hr to 150 bbls!hr.;Made a mad pass and lost arc.Keep hole full back side while mixing LCM pill.Spot 7 bbl 58 lbs/bbl baracab and 2 lbs/bbl wallnut hull.Pull 3 stands to 5694'filling backside.;7 bbls pill should cover 158'of open hole.;Monitor well and build vol.Keeping hole full over the top.Hole is taking 80 bbls/hr.Call town and got the go ahead to build Steel seal LCM pill.Mix and spot 60 lb/bbl SS pill.;POH 8 more stands to 5184'.;Lost 889 bbls to well.;Hauled 14 bbls cuttings to G&I. Total cutting hauled=679 bbls Hauled 56 bbls class II to G&I Total class II hauled=2461 bbls Rt hrs=7.77.Slidding hrs=4.41 Distance to plan:5'low&3'Right • • 8/29/2015 Continue Pooh U 5184'.;Monitor well loss on trip tank let pill soak.Trend to low of 14.4 bph then start climbing to high of 27 bph while building another LCM pill.;Rih slow(3)std U 5371'pump 20 bbl pill @ 9.6 ppg @ 65 ppb LCM=10 ppb baro fiber,20 ppb steel seal 50,20 ppb steelseal 400,10 ppb baracarb 150&5 ppb walnut med @ 142 gpm w/only 4 bbls back.;Monitor well loss on trip tank let pill soak.Trend to high of 66 bph and low of 45 bph discuss options w/town.;Build 89 bbl pill w/base fluid @ 40 ppb LCM add 85 ppb=Baracarb 1200 @ 20 ppb,steelseal 100 @ 20 ppb,steal seal 400 @ 20 ppb,Barofiber @ 10 ppb,Baroseal fine @ 10 ppb,walnut med @ 5 ppb.;While monitoring well loss rate leveled off @ 22-27 bph bring pump on line @ idle 142 gpm w/loss rate @+40 bph dn pump.;Pooh f/ 5371'U 180'installed well commandor on top of flex collars, displaced w/80 bbls of 125 ppb LCM pill on back side. 77.5 bbls over calculated displacement for trip.;Service travelling equipment and monitor well 1/3 bph static loss rate.;Monitor well and it was still taking 1/3 bph static loss rate.Build volume.;RIH to shoe slow.Displacement was 4 bbls under calculated displacement.;Build vol and 20 bbl LCM pill. RU choke on standpipe bleed line and run a circ test for pumping balls dn and shifting the Well Commander.;RIH slow.Hole is in good shape. 6 bbls under displacement RIH.Tag fill at 5839'.38'fill. Clean out fill to bottom at 5877'.;Drill 6 3/4"hole f/5877 t/6170.'No losses.;Hauled 38 bbls cuttings to G&I. Total cutting hauled=717 bbls Hauled 117 bbls class II to G&I Total class II hauled=2578 bbls Rt hrs=1.26.Slidding hrs=.17 Distance to plan:4'low&1'left;Losses to well for this report=439 bbls Total losses for this well=1881 bbls 8/30/2015 Continue drlg 6-3/4"directional hole f/6170' and started taking losses+-40 bbl hr launched 20 bbl 100 ppb LCM pill w/Steel Seal @ 50,100 and 400 @ 15 ppb ea,;barofibre @ 15 ppb built w/40 ppb LCM base fluid and attempted to drill by and pound mp suctions w/LCM parcel returns U 6245' had total loss of returns.;Pooh keeping hole full filling back side f/6245'U 6109'Build 20 bbls 100 ppb Icm pill w/Steel Seal @ 50,100 and 400 @ 15ppb ea,barofiber @ 15 ppb built w/40 ppb LCM base fluid;and pump and spot same right outside bit pill in place 08:10 hrs.;Monitor well loss rate trend f/45 bph U low 16 bph and holding 16-19 bph while building mud volume and fibrous LCM pill;Establish base line pressure drop#1 opening ball and pump dn @ 85 gpm via bleeder choke r/up on stand pipe and shift open well commander;Drop#2 bha isolation ball and pump dn @ 85 gpm via bleeder Choke r/up on stand pipe and seat ball.;Pump 20 bbl 170 ppb LCM pill w/Steel Seal 100,400 @ 20 ppb ea,Baroseal course @ 20 ppb,baroseal fine @ 20 ppb,baracarb 1200 @ 20 ppb,barofibre @ 15 ppb and walnut med @ 15 ppb built w/40 ppb LCM base fluid;Drop#3 closing ball and pump dn @ 85 gpm via bleeder choke r/up on stand pipe and shift closed well commander w/flow thru bha.;Monitor well on trip tank while building mud volume w/loss rate @ 3 bph high trending to 1 bph.;RIH washing to bottom w/about 50%of normal flow.Drill f/ 6245'U 6261'w/return flow dropping to about 1/4 of normal retums.;POH slow f/6261'U 5829'. Had 10k overpull f/5965 U 5870'.Hole took 15 bbls over displacement.;Build 26 bbl,130 ppb LCM pill.;Drop first ball and open side port on Well Commander tool.Drop 2nd ball and plug off bottom hole below Well Commander.;Pump and spot 24 bbl,130 ppb LCM pill in ann.Leave Well Commander open to ann.;POH f/5829'U 5260'. had slight flow f/DP and ann at times. Displacement was 4.2 bbls under.Acted like hole was breathing or had a influx of gas.;MU TD and circ.Bring pump up just under drilling rate and had full returns with no losses&no gas.Circ out side port in Well Command tool.Cut mud wt back to 9.ppg and build vol.;Changed shaker screens and run centrifuge to cut mud wt back.;Drop ball and shut port on Well commander with 2300 psi.Circ at drilling rate to finish getting mud wt to 9 ppg.MWD has good signal.No Iosses.;Stage in the hole f/5260'U 5511'.Bring pump up to circ rate w/no losses and circ bottoms up getting heavy mud out of the hole.;Stage in the hole f/5511'U 5760'.Bring pump up to circ rate slow w/full returns and no losses.Circ bottoms up.;Hauled 47 bbls cuttings to G&I. Total cutting hauled=7164bb1s Hauled 78 bbls class II to G&I Total class II hauled=2656 bbls Rt hrs=2.71.Slidding hrs=.24 Distance to plan:4'low&2'left;Losses to well for this report=949 bbls Total losses for this well=2786 bbls 8/31/2015 Finish circ bottoms up and stage in the hole f/5760'U 6011'.Bring pump up to circ rate slow w/full returns and no losses.Circ bottoms up.and displace 9.4 ppg mud w/9.0 ppg mud.;RIH wash and ream to btm @ 6261'finish displacing 9.4 mud w/9.0 ppg mud w/no losses and flow chks after each btm up all were static. Establish all parameters. and SPR w/9.0 ppg MW;Resume Ddg 6-3/4"directional hole f/6261' U6880' up/dn/rot=163/73/97 wobfTQ/=5-8/15,200 @ 70rpm 280 gpm @ 1650 psi;Pump 20 bbl high vis sweep around while drilling @ 6770'with+/-35%increase in cuttings that came back 6 bbls early.Also added 3 bbls lube to assist in sliding.;Ddg 6 3/4"directional hole f/6880'111252'.[Start adding lube at 7060'to bring it up to 1%]Attempted to slide at 7102'but pipe kept hanging up.Decided to rotate out.;Pumped high vis sweep at 7140 and got back 10%increase in cuttings.85 RPM 14,600 Tq,270 GPM,1575 psi.124 Diff,5k WOB,ECD 10.17.;Circ 10 min,Take survey,Check flow and well is static.Short trip f/7252'U 6220'.Pulled 10 to 15k over at 6449',6405',6377',6333'. Had to work thru tight spots.;Pulling up to 20k over f/6297'U 6259'.After working back down they were cleaned up.Hole took 1.5 bbls over pipe displacement.;Adjust torque up on TD and service rig.;RIH and wash last stand down.Hole took 2.6 bbls over pipe displacement.;Drill 6 3/4"directional hole f/7252'U7280'.Attempt to slide but assembly hanging up.;Hauled 42 bbls cuttings to G&I. Total cutting hauled=806 bbls Hauled 169 bbls class II to G&I Total class II hauled=2825 bbls Rt hrs=10.28.Slidding hrs=1.4 Distance to plan:6'low&12'left;Daily losses to well for this report=0 bbls Total losses for this well=2786 bbls 9/1/2015 Cont directionally drilling 6 W hole from 7280'to 7774',Rotating:wob 6 to 7K,280 gpm-1775 psi,60 rpm-15,000 f01bs on bott torque,23 to 100 ft/hr ROP.;Sliding: wob 5 to 6K,280 gpm-1690 psi,30 to 96 psi diff and having to rock drill string,even at 1%lube in system.12 to 21 ft/hr ROP.MW 9.0/vis 55,ECD's at 10.1 ppg. BGG 10 units.;Pumped 20 bbl hi-vis sweep at 7501'with 10%increase in cuttings to surface.;At 7615',after discussing with Drilling Engineer,decision made to increase NXS lube to 2%to help with sliding,as BHA is walking left 1.25 deg/100'and building 0.72 deg/100'in rotation.;Drill 6 3/4"directional hole f/7774'U7997'. [Slide f/7908'U 79361 85 RPM,15k tq,2155 psi,250 Diff,301 GPM,10.38 ECD,Avg 37 ft/hr.;Drill 6 3/4 directional hole f/7997'U 8280'.[Pumped high vis sweep at 8000'and had a 50%increase in cuttings.]Slide f/8217'U8237'.300 GPM,2023 psi,65 Diff,0 to 3 WOB,ECD 10.3.;Rotating parameters=85 RPM,16500 Tq, 2100 psi,250 Diff,284 GPM,10.35 ECD.3 to 6 WOB.;Hauled 46 bbls cuttings to G&I. Total cutting hauled=870 bbls Hauled 216 bbls class II to G&I Total class II hauled=3041 bbls Rt hrs=10.62.Slidding hrs=4.92 Dist to plan:27'high &26'left:Daily losses to well for this report=0 bbls Total losses for this well=2786 bbls • • 9/2/2015 Cont drilling 6 3/4"hole from 8280'to 8306',pumping a 20 bbl hi-vis sweep just prior to stand drilled down.5K wob,2113 psi,80 rpm-15,800 ft/lbs on bolt torque.;Cont to circ sweep around at 225 gpm-1329 psi,90 rpm-15,000 ftAbs off bott torque,BGG 130 to 269 units,MW 9.1 ppg/vis 55,ECD's at 10.1 ppg.10% increase in cuttings to surface.Flow check(OK).;Pull up hole on elevators,193K up wt,from 8306'to 7130'.Pulled 25K over at 7625'.Worked through one time on elevators with no problem.Hole fill took 3.3 bbls over calculated.;Serviced rig and topdrive,had no loss or gain during rig service.;TIH on elevators from 7130'to 8306'with no issues or fill.MU topdrive and washed last stand down while filling pipe.;Cont drilling 6 3/4"hole from 8306'to 8794'.Rotating wob 6K,301 gpm-2234 psi,60 rpm-15,786 ft/lbs on bott torque,72 to 100 ft/hr ROP,MW 9.1 ppg/vis 56,ECD's at 10.5 ppg,BGG at 50 to 250 units;Pumped 20 bbl hi-vis sweep at 8773' while drilling stand down,to try and get ECD's down.;Cont drilling 6 3/4"hole f/8794't/9080'and call it TD.[We shut down the water we were adding and shut off the 0 centrifuge to let the mud wt climb.];Pump high vis sweep and circ hole clean.Got 1300 units connection gas and background gas is 200+now.It was 50 units.Got back a 10%increase with coal and sand.Gas units went dn to 65 BGG.;Monitor well.Hole is static.Start short trip to shoe(at 3511').Up wt 210,Dn wt 98 w/pump off.Mad Pass 7620'-7595',&7303'-7286'.At 8024'.Started getting back gas 480 units.;Tapered back to 65 units in 20 min.Gas is migrating up the well.Hole took 3 bbls over displacement POH.[Pulled 15k over at 8500',8354',8274',8240',7750',&7715'.Cleaned up when worked thru.];Decided to run back in the hole and circ gas out.RIH f/7300'1/8062'.Got back 1 bbl over displacement.;Circ gas out. Bottoms up should have been about 2900 stks but we started getting gas back at 2600 stks.Gas peaked at 1700 units.Continue circ and bring wt up to 9.4.;Hauled 69 bbls cuttings to G&I. Total cutting hauled=939 bbls Hauled 391 bbls class II to G&I Total class II hauled=3432 bbls Rt hrs=10.86.Slidding hrs=1.28 Dist to plan:22'high &62'left;Daily losses=0 bbls Total losses for this well=2786 bbls 9/3/2015 With bit parked at 8062',increased mud weight to 9.4 ppg due to increase in gas while making MadPass.Cont to circ until good 9.4 in/out.;TIH from 8062'to 8300' on elevators.MU topdrive and CBU to circ out gas and load hole with 9.4 ppg mud.Had a max of 1686 units gas at bott up.Cont circ until good 9.4 in/out.;TIH from 8300'to 8560'on elevators.MU topdrive and CBU at 280 gpm-1868 psi.Had a max of 1790 units gas at bolt up.Gas cut MW at 8.4 ppg.Cont to circ until good 9.4 in/out.;TIH from 8560'to 8800'on elevators.MU topdrive and CBU at 278 gpm-1977 psi.Had a max of 1715 units gas at bolt up.Gas cut MW at 9.1 ppg.Cont to circ until good 9.4 in/out.;TIH from 8800'to 9070'on elevators.MU topdrive and CBU at 284 gpm-2041 psi.Had a max of 1600 units gas at bolt up.Gas cut MW at 8.5 ppg.Cont to circ until good 9.4 in/out.BGG at 85 units.;Flow check static,pulled up hole 5 stands from 9070'to 8764'.Up wt 190K.;At 8764'monitored well and serviced rig for 30 minutes,to allow any gas influx with 9.4 ppg in wellbore.Fluid dropped approximately 10'over 30 minutes in wellbore.;TIH from 8764'to 9070'on elevators.MU topdrive and CBU at 280 gpm-1988 psi.Had a max of 981 units gas at bolt up.Gas cut MW at 8.3 ppg.Cont to circ surf to surf and built 20 bbl,10 ppg,hi-vis;pill.Spotted pill outside drill string.BGG down to 39 units.;Flow check=fluid dropping slowly in wellbore.POOH on elevators from 9070'to 8460'(10 stands)with no issue.Hole fill 1.4 bbls over for first 10 stands.Up wt 190K.Blew dwn topdrive.;Cont POOH LD 4 1/2"DP from 8460'to HVVDP.Lay dn HWDP and jars.[Calc hole fill 56.2 bbls.Acc hole fill 69.7 bbls];LD Well Commander,and flex collars.Have PJSM and remove source.Down load tools.Finish laying dn BHA.;Hauled 11 bbls cuttings to G&I. Total cutting hauled=950 bbls Hauled 129 bbls class II to G&I Total class II hauled=3561 bbls Daily losses=7 bbls Total losses for this well=2793 bbls 9/4/2015 Lay down 5"motor and 6 3/4"bit.Bit graded at 1-3.;Clean and clear rig floor.Pulled wear ring.MU stack washer on topdrive and flushed wellhead.Staged centralizers and Weatherford equipment.LD stack washer and dummy ran Cactus hanger(19.16').;RU Weatherford tongs,slips and elevators,held PJSM.;MU 4 1/2"shoetrack,filled same and checked floats(ok).Cont PU and single in hole with 4 1/2"12.6#,L-80 DWC Casing to 3495',top filling on the fly,completely filling every 10 joints.;MU XO and topdrive,CBU with 2 units BGG at 252 gpm-160 psi.;Cont to circ at a reduced rate while cut and slip 240'drill line.Remove topdrive and XO.Check crown saver and calibrate block height.;Obtain parameters at shoe.Up wt 50K,down weight 40K,rotating weight 44K.Rotating torque at 10-20-30 rpm =5400 ft/lbs.Cont PU single in hole from 3495'to 5144'.;RU and circ staging pump up to 6 bbls/min.Gas started increasing at 960 stks and at bottoms up peaked at 578 units.Circ another 1000 stks and gas was back dn to 45 units.Lost 7.2 bbls while circ.;RIH PU 4 1/2 csg f/5144 U 6625[PU swell packer at 6063'];Ru and circ.Got back a high of 1806 units of gas.After circ 2 bottoms up gas went back to 75 units.;RIH PU 4 1/2 csg f/6625'U 7663'.Up wt 95k having to pull up to 120k to get pipe moving up.;RU and circ.Got back a high of 1850 units of gas.Pipe is acting like it wants to diff stick.Move pipe faster and it pulls free,go slower and it tries to hang up.Cut mud wt f/9.4+U 9.3+;RIH PU 4 1/2 csg f/7663'U 8660'.Up wt with no pump 118,Dn wt 60.Had to pull 140k to get broke free.Bouyant wt of csg should be 108.5 at this depth.;RU and circ.Got back a high of 1911 units of gas.Up wt 114k,Dn wt 56k while circ and constantly working pipe.;Hauled 0 bbls cuttings to G&I. Total cutting hauled=950 bbls Hauled 185 bbls class II to G&I Total class II hauled=3746 bbls Daily losses=0 bbls Total losses for this well=2793 bbls 9/5/2015 Cont circ until BGG at 66 units.Broke off topdrive and XO,called out SLB and Cameron Reps.;Singled in hole w/4 1/2"csg f/8660'U 8870'.Down wt 60K.MU topdrive and XO.;Circ out 1st stage of high vis 10 ppg pill.248 gpm-578 psi.Had a max of 1753 units at bottoms up.Cont to circ while changing to long bails.Slight losses.BGG down to 28 units.;Singled in hole w/4 1/2"csg f/8870'to 9050'.Down wt 62K.MU topdrive and XO.;Circ out 2nd stage of high vis pill.207 gpm-508 psi.Had a max of 1122 units gas at bottoms up.Witnessed loading plugs in launcher.Held PJSM w/Cameron on handling landing joint/hanger assembly.;Little to no losses.BGG down to 68 units.Broke off topdrive and XO,PU landing joint and MU hanger assembly,SO and landed hanger with no problem.MU topdrive and XO and resume circulating.;RD and released Weatherford casing equipment/crew.Circ at 220 gpm-530 psi.Staged hardline,manifold and plug launcher on rig floor. Broke off topdrive and MU plug launcher and hardlines.;Held PJSM with rig team,SLB cementers and Peak drivers.SLB pumped 13 bbls water through lines to ensure everything clean and clear.Tested lines at 1000 psi low and 5000 psi high.Tests good.Rig;pumped 31 bbls 12.5 ppg MUDPUSH II at 3 bpm-345 psi.Shut down and lined up SLB pump truck to well.Lined up and dropped bottom plug,then SLB mixed and pumped on the fly:184 bbls(570sx);13.5 ppg EZ-Blok Extended Lead cement(with 1 ppb cemnet)at 5.4 bpm,240 psi,followed with 59 bbls(253sx)15.3 ppg EZ-Blok Tail cement at 5 bpm,250 psi.SLB then dropped top plug and followed;with 127 bbls 8.5 ppg 3%filtered KCL brine at 4.5 bpm-250 to 2000 psi.With 10 bbls to go we landed the hanger(was 1'off seat)SLB slowed down to 3 bpm-2350 psi and bumped the plug 133 bbls into;displacement(calculated at 136 bbls).Held 2850 psi for 3 minutes,bled off 1.25 bbls back to truck and floats held.CIP at 14:45 hrs on 9-5-15.Had no MudPush to surface.Had no cement to surface.;RD and released Schlumberger.Mix water temp 75 degrees.Lost 79.4 throughout job(total pumped 406.6 bbls,total retums 327.2 bbls).Did not reciprocate string due to sticking.;With Cameron Rep,backed out landing joint,MU packoff assembly and ran in same.Installed packoff.Tested same at 5,000 psi for 5 minutes.Good test.LD landing joint,installed BPV.;ND flow line,drip pan, choke and kill lines.RU hyd BOP winches and pick BOPs.trolly BOPS out to front of sub.Nipple dn spacer spool.Hauling mud out of pits.;Nipple up temp tree.Test void to 5000 psi for 15 min.Pull BPV and install TWC.Test tree to 5000 psi for 15 min.Good tests.Pull TWC.[Cleaning mud pits];RU to lay do 17 stds of 4 1/2 DP out of derrick,and lay dn same.[Cleaning mud pits]Clear floor of tools.;Clean floor area and continue cleaning pits.RU test pump.;Test Csg to 3500 psi for 30 min on a chart.Good solid test;Continue cleaning mud pits and clean rig.;Hauled 0 bbls cuttings to G&I. Total cutting hauled=950 bbls Hauled 1050 bbls class II to G&I Total class II hauled=4796 bbls Daily losses=79 bbls Total losses for this well=2872 bbls 9/6/2015 LD lower torque tube section,cradle topdrive,cont cleaning pits,lay over poor by degasser,RU,inspect and scope down derrick,lay over beaver slide and prep catwalk for move,load and ship mud;products and spare rig mats,load excess DP and casing,work on iron roughneck,work on koomey unit,ship out Weatherford casing equipment.Load and ship topdrive components,pressure wash doghouse;and rig floor,blow down water lines to pits.Replaced rear main seal on gen set #1,replaced o-ring on oil cooler of mud pump#1.Prep to scope down pit roof tops.;;Rig Released at 18:00 hrs on 9-6-15 • • Hilcorp Energy Company Composite Report Well Name: KEU KBU 31-06X Field: Kenai Gas Field County/State: Kenai,Alaska I(LAT/LONG): evation(RKB): API#: Spud Date: Job Name: 1511702C KBU 31-06X Completion Contractor AFE#: 1511702C AFE$: Activity Date Ops Summary 9/12/2015 Meet at office.Mobe to location.PTW and JSA.Rig up lubricator and PT to 250 psi low and 3,000 psi high.,RIH with 3.86"GR and tag obstruction at 8,840'KB. Work tools but could not go deeper.POOH.,RIH w/2-1/2"x 8'DD bailer and bail from 8,840'KB to 8,844'KB.POOH and bailer was full of fluid(no solids).,RIH w/1- 3/4"x 3'sample catcher bailer and tag cement at 8,844'KB.Worked bailer to 8,866'KB.Was still making hole but was getting sticky.POOH.Bailer full of green /contaminated cement.Discussed with field foreman and decided to rig down and move to CLU 5.Left sample in field foreman office.,Rig down lubricator and move to CLU 5. 9/14/2015 Meet at office and mobe to location.PTW and JSA.Spot equipment and rig up equipment.PT lubricator to 240 psi low and 3,000 psi high.,MU RMTI tool.RIH with tool and tie into Halliburton LWD log dated September 4,2015.Tool set down at 8,840'.Log up to 3,493'at 15'per minute.,MU CBL tool.RIH with tool and tie into Halliburton LWD log dated September 4,2015.Log from 8,840'to 2,400'.Cement looks good to around 3,040'with stringers to 2,740'.,Rig down lubricator and tum well over to field. 9/21/2015 Obtain PTW. Hold safety meeting and discuss job procedures and hazards.,Lay pit liner. Spot equipment. Begin rigging up CTU 12. Rain for Rent tanks,filter pod,and man basket on location.,Start BOPE test. 250 psi low and 4,500 psi high 5 minute tests on all valves and BOPE rams. AOGCC notification sent 9/20/15 at 1630. Witness waived by Jim Regg 9/20/15 at 01940 hrs.,Open master and swab. Pressure test tubing 3,500 psi. Nice flat line. Bring pressure up to 4,500 psi and hold for 30 minutes. 4,615 psi and ended at 4,582 psi.,lnstall micro motion in line. Spot N2 pump. Unload 3 pallets of KCL. Location secure. Crews off location. 9/22/2015 Obtain PTW. Hold safety meeting. Review JSA and discuss job procedures and objectives.,Pick injector head.Make up 30 ft of lubricator. Make up coil connector, pull test to 25K. Make up check valves,jars,disconnect,circ sub,2.375in motor,and 3.75in Varel Slipstream roller cone bit. Stab on well. PT stack to 250/4,500 psi. Good test.,Open master and swab. RIH. WT check 5,000 ft dean,weight check 7,000'dean, estimated TOC©8,840'WL depth. Stacked weight 8,860'RKB measurement with CT.,PU off tag. Online with 6%KCL down 1.75in CT. CT pressure 1.5 bbls min 2,500 psi. Start milling. Mill unset cement of stringers at 4 fpm until hard tag at 8,927'. Decrease in ROP. Looks to be setup cement. Milled from 8,927'to 8,980.7 ft. Attempt 4 runs at 8,980'had 4 hard stalls. Looks to be stalling on metal. Decided to POOH,check bit and swap to 5 bladed junk mill.,POOH. Check retums. Cement in returns. At surface. Master swab closed. Popping off well.,Break off bit. Bit looks to have no indications of problems or marks. Swap to 3.65in 5 bladed junk mill. Stab on well. Pressure test stack to 250/4,500 psi. Bleed down. Open master swab.,RIH. WT check 8,900 ft. Clean up weight. 8,980.3'stack weight. Pick up off stack. Online 1.5 bbls min with 6%KCL to obtain free spin. 3,200 psi free spin pressure. 8,980.3'saw good indication of motor work. 400 psi increase. Milled to 8,986 ft and lost ROP.,Stack 4K to attempt to stall motor. No luck,stacked 5K,6K,8K down. No luck stalling motor. Could have broke second wiper plug free from cement and spinning plug. Worked pipe and picked up. Attempt to run into plug at 30 ft/min. No luck increasing motor work. Weight stacks and doesn't break off. Lost ROP. Called town to discuss. Decided to POOH and attempt to mill tomorrow.,POOH. At surface. Swab master closed. Popping off. Junk mill looks new. Small chunk of black rubber in blade. Check retum catchers and found large amounts of rubber chunks. Sent photos to town. Break down tools. Set down lubricator, stack injector down. Secure location. Crews off location. 9/23/2015 Obtain permit to work. Hold safety meeting and discuss job procedures and review SLB JSA.,Pick injector head and 30 ft of lubricator. Make up check valves,jar, disconnect,circ sub,2.375in motor and Parabolic mill with 3.65"OD. Stab on well. Pressure test 250/4,500 psi. Good test. Bleed down to OT tank. Open master and swab 25 turns. Swap out OOH micro motion. Micro motion test good. RIH.,8,827'weight check 25K, RIH wt 8,700lbs. Dry tag 8,987',corrected to RKB. Pick up,come online,down CT. Free spin pressure 2,300 psi at 1.5 bbls/min. Start miling at 8,987'. Mill to 8,988'. First stall on mill. Stall 8,988.4 ft. (stalls were on orange cement wiper plug). Broke through wiper plug and milled with a ROP of 1 ft/min to 9,072'. Pick up for weight check. 25K clean up weight.,Back down milling at 9,072'. 300 psi motor work. Pick up weight clean 25K. Establish circulation. RIH and continue milling. Stall 9,072'. Slow ROP milling through bull nose shoe. Continue milling cement to max allowable depth of 9,080'.,Start circulating calculated bottoms up. 528 bbls away on counter. Cycle pipe 5 times to back ream and clean up milling interval. 9,080-8,970'.,Fire N2 unit. Start POOH from 9,080'to 4,000ft. Launch 1/2 in ball to open circulation sub. Pump reel volume 27 bbls. No indication of ball on seat. Pump another reel volume of 27 bbls. Still no indication. Increase rate to 1.5 bbls min. Pressure was same as when free spin obtained prior to milling. 2,300 psi. Doesn't look like we shifted circulation sleeve. At 4,000 ft. Stop pumping.,Discussed dropping 2nd 1/2 in ball. Decided to POOH. At surface. Master and swab shut. Popping off well. Break down tools. Noticed fluid dripping out of circulation ports. Broke circulation sub and found ball on seat. Reviewed pump pressures on graph and could not determine when ball landed and sheared sleeve. Was informed prior to job circulation sub was pinned to 3,500 psi from Weatherford.,Stack down lubricator. Set injector head on deck. Blow back suction hoses and surface iron. Install night cap on BOPs. Walked location with supervisor. All ground valves closed. Location secure. Crews off location. Will discuss with town. Plan to RIH to 4,000 ft with nozzle and blow dry. Total fluid pumped 687 bbls 6%KCL. Found mostly orange chunks of rubber in sample catcher. 9/24/2015 Obtain PTW.Hold safety meeting and discuss job procedures and review SLB JSA and 5 for hand injury initiative.,Pick injector head. Make up 2.125"coil connector,check valves,and 2.75 in jet swirl nozzle. Stab on well. Line up and pressure test down CT 250/4,500 psi. No leaks. Bleed down to tank. Open master and swab 25 turns. RIH.,Start cooling down N2. Pressure test N2 lines to 5,000 psi. Online down CT string. CT depth 3,000 ft continue RIH. Estimated N2 at nozzle CT depth 4,000 ft. Blow well dry from depth 4,000 ft. CT volume and CT x 4.5in tubing annulus is 75 bbls. 75 bbls returned. POOH.,Checked for gas at surface with gas detector. No indication of gas. Continue to POOH. Close in choke line up down 4.5in x CT annulus. Online 800 scf/min to pressure up well to 1,000 psi.,At surface. 1,100 psi wellhead pressure(N2). Close master and swab. Bleed down CT. Pop off well. Break down BHA, stack down lubricator and set injector head on CT unit. Start rigging down CTU 12.,Rigging down CTU 12. Stack equipment on edge of pad. Move N2 pump to CLU5. Location walk around complete. 450 bbls of 6%KCL being moved to storage tank at G&l pad. Pollard E-line on location to run GR log. 1,500 gallons of N2 pump. 75 bbls returned from wellbore.,PTW and JSA.Spot equipment and rig up lubricator.PT to 250 psi low and 3000 psi high.,RIH with CCUGR tool and tie into LVVD log.Tag bottom at 9072'.Run GR log from 9070'to 8000'catc hing 2 RA markers.Send to town to get pert depths from for tomorrow.,Rig down lubricator and stand by. 9/25/2015 Meet at office and mobe to location.PTW and JSA.Rig lubricator back up.Wind gusting in the 20 mph.PT lubricator to 250 psi low and 3,000 psi high. TP-1,107 psi.Put Crystal gauges on tree.,RIH w/2-7/8"x 25'Connex HC,6 spf,60 deg phase pert gun and tie into Pollard CCUGR log dated 9-24-15.Run correlation log and send to town.Get ok to perforate from 9,075'to 9,050'.Spotted gun and fired gun with 1,117.4 psi on tubing.After 5 min tubing pressure down to 1,116.9 psi. Out of hole tubing pressure was 1,110.3 psi.All shots fired.,Rig down lubricator and turn well over to field. i 9/30/2015 Meet at office and sign in.Mobe to location and spot equip.PTW and JSA.Rig up lubricator.Test pump would not start.Trouble shoot and found starter out.Call out Pollard test pump truck.PT lubricator to 250 psi low and 3,000 psi high.Arm gun.TP-760 psi.,RIH w/2-7/8"x 20'HC,6 spf,60 deg phase and tie into Halliburton RMT log(CHL)dated 9-14-15.Run correlation log and send to town(TP was 845 psi when I sent log in).Spotted shot per CHL from 8,934'to 8,954' 8,930'to 8,950'OHL). TP now is 936 psi.Pressure started building as soon as we started in hole.Fired shot and after 5 min pressure was 946 psi.POOH.TP- 990 psi.All shots fired.(UT 16 sand),RIH w/2-7/8"x 15'HC,6 spf,60 deg phase and tie into SLB first correlation log(per Jason).Run correlation log and send to town(TP was 1,038 psi when I sent log in).Talk to Jacob and was told perforate(UT 73-2 Sand)from 8,836'to 8,851'(8,839'to 8,854'OHL).Spotted shot from 8,836'to 8,851'.TP-1,013.7 psi.Fired gun and after 5 min TP-1,011 psi.POOH.TP-984 psi.All shots fired.,Rig down lubricator for standby.Crystal gauges still on well recording. 10/1/2015 Meet at office.Mobe to location.PTW and JSA.Rig up lubricator,pressure test to 250 psi low and 3,000 psi high.Bled well from 2,449 psi to 1,556 psi(pressured up to 1,679 psi in 15 min).Arm gun.,RIH w/2-7/8"x 20'HC,6 spf,60 deg phase and tie into Halliburton RMT log(CHL)dated 9-14-15.Run correlation log and send to town.Got ok to pert(UT 73-1 sand)from 8,786'to 8,806'(8,784'to 8,804'OHL).Spot shot from 8,786'to 8,806',bleed well from 1,907 psi to 1,515 psi. Fired shot and after 5 min pressure was 1560 psi.POOH.All shots fired.,RIH w/2-7/8"x 20'HC,6 spf,60 deg phase and tie into Halliburton RMT log(CHL)dated 9-14-15.Run correlation log and send to town.Got ok to pert(UT 72-8 sand)from 8,746'to 8,766'(8,744'to 8,764'OHL).Bottom 20'of 40'zone.Spot shot from 8,746'to 8,766'bleed well from 2,170 psi to 1,537 psi.Fired shot and after 5 min pressure was 1,571 psi.POOH.All shots fired.,RIH w/2-7/8"x 20'HC,6 spf,60 deg phase and tie into SLB correlation log#4. Got ok to pert run#5 using run#4 correlation log without sending log in from 8,726'to 8,746'(8,724'to 8,744'OHL). The top 20'of the 40'of the UT 72-8 sand.Spot shot from 8,726'to 8,746'bleed well from 2,190 psi to 1,535 psi.Fired shot and after 5 min pressure was 1,565 psi. POOH.All shots fired.,Rig down lubricator for stand by.Will shoot the 3 lower Beluga sands tomorrow.TP-1,871 psi. 10/2/2015 Meet at office.Mobe to location.PTW and JSA.Pressure test 250 psi low and 3,000 psi high.TP-2,483 psi.Arm gun. Note: All pert depths for the lower Beluga zones below match the Halliburton RMT log and the open hole lot.,RIH w/2-7/8"x 15'HC,6 spf,60 deg phase and tie into Halliburton RMT log(CHL)dated 9-14-15.Run correlation log and send to town.Got ok to pert(LB 4C sand)from 8,358'to 8,373'. Spot shot from 8,358'to 8,373'and bleed well from 2,483 psi to 1,515 psi.Fired shot and after 5 min pressure was 1,557 psi.POOH.All shots fired.,RIH w/2-7/8"x 5'HC,6 spf,60 deg phase and tie into Halliburton RMT log(CHL)dated 9-14-15.Run correlation log and send to town.Got ok to pert(LB 4 sand)from 8,246'to 8,251'. Spot shot and bleed well from 2,130 psi to 1,515 psi.Fired shot and after 5 min pressure was 1,562 psi.POOH.All shots fired.,RIH w/2-7/8"x 20'HC,6 spf,60 deg phase and tie into Halliburton RMT log(CHL)dated 9-14-15.Run correlation log and send to town.Got ok to pert(LB 3A sand)from 8,080'to 8,100'. Spot shot and bleed well from 2,130 psi to 1,541 psi.Fired shot and after 5 min pressure was 1,576 psi.POOH.All shots fired.TP-1,917 psi.,Rig down lubricator and turn well over to field. • Hilcorp Energy Company Kenai Gas Field KGF 41-7 Pad KBU 31-06X 50-133-20653-00-00 50-133-20653-00-00 Sperry Drilling Definitive Survey Report 09 September, 2015 HALLIBURTON ® Sperry Drilling • • Halliburton Definitive Survey Report Company: Hilcorp Energy Company Local Co-ordinate Reference: Well KBU 31-06X Project: Kenai Gas Field TVD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad MD Reference: As-Built KBU 31-06X @ 83.50usft Well: KBU 31-06X North Reference: True Wellbore: KBU 31-06X Survey Calculation Method: Minimum Curvature Design: KBU 31-06X Database: Sperry EDM-NORTH US+CANADA Project Kenai Gas Field 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 04 Using geodetic scale factor Well KBU 31-06X Well Position +N/-S 0.00 usft Northing: 2,361,440.35 usft Latitude: 60°27'28.666 N +E/-W 0.00 usft Easting: 275,141.86 usft Longitude: 15V 14'44.305 W Position Uncertainty 0.00 usft Wellhead Elevation: 18.00 usft Ground Level: 65.50 usft Wellbore KBU 31-06X Magnetics Model Name Sample Date Declination Dip Angle Field Strength (°) (°) (nT) BGGM2015 8/15/2015 16.40 73.43 55,366 Design KBU 31-06X Audit Notes: Version: 1.0 Phase: ACTUAL Tie On Depth: 18.00 Vertical Section: Depth From(TVD) +N/-S +E/-W Direction (usft) (usft) (usft) (°) 18.00 0.00 0.00 358.60 Survey Program Date 9/9/2015 From To (usft) (usft) Survey(Wellbore) Tool Name Description Survey Date 162.87 355.47 KBU 31-06X MWD Interp(1)(KBU 31-06X MWD_Interp Azi+sag Fixed:v2:std dec with interpolated azimuth+sag 08/18/2015 416.39 540.18 KBU 31-06 MWD(KBU 31-06X) MWD+SC+sag Fixed:v2:standard dec&axial correction+sag 08/21/2015 601.94 662.87 KBU 31-06X MWD Interp(2)(KBU 31-06X MWD_Interp Azi+sag Fixed:v2:std dec with interpolated azimuth+sag 08/21/2015 721.68 1,033.99 KBU 31-06X MWD(2)(KBU 31-06X) MWD+SC+sag Fixed:v2:standard dec&axial correction+sag 08/21/2015 1,094.17 1,155.55 KBU 31-06X MWD Interp(3)(KBU 31-06X MWD_Interp Azi+sag Fixed:v2:std dec with interpolated azimuth+sag 08/21/2015 1,220.99 3,520.00 KBU31-06X MWD(3)(KBU 31-06X) MWD+SC+sag Fixed:v2:standard dec&axial correction+sag 08/21/2015 3,553.26 9,047.99 KBU31-06X MWD(4)(KBU 31-06X) MWD+SC+sag Fixed:v2:standard dec&axial correction+sag 08/27/2015 Survey Map Map Vertical MD Inc Azi TVD TVDSS +N/-S +E/-W Northing Easting DLS Section (usft) (°) (°) (usft) (usft) (usft) (usft) (ft) (ft) (°11001 (ft) Survey Tool Name 18.00 0.00 0.00 18.00 -65.50 0.00 0.00 2,361,440.35 275,141.86 0.00 0.00 UNDEFINED 162.87 0.24 313.63 162.87 79.37 0.21 -0.22 2,361,440.57 275,141.64 0.17 0.21 MWD_InterpAzi+sag(1) 193.62 1.08 298.87 193.62 110.12 0.39 -0.52 2,361,440.76 275,141.34 2.76 0.41 MWD_InterpAzi+sag(1) 253.64 2.58 295.32 253.60 170.10 1.24 -2.24 2,361,441.64 275,139.64 2.51 1.30 MWD_InterpAzi+sag(1) 355.47 3.52 293.52 355.29 271.79 3.47 -7.17 2,361,443.96 275,134.75 0.93 3.65 MWD_InterpAzi+sag(1) 416.39 4.23 292.86 416.07 332.57 5.09 -10.96 2,361,445.65 275,130.99 1.17 5.36 MWD+SC+sag(2) 478.75 5.49 294.68 478.20 394.70 7.23 -15.79 2,361,447.88 275,126.21 2.04 7.61 MWD+SC+sag(2) 540.18 6.30 293.50 539.31 455.81 9.80 -21.55 2,361,450.56 275,120.50 1.33 10.33 MWD+SC+sag(2) 601.94 9.56 295.64 600.47 516.97 13.37 -29.28 2,361,454.28 275,112.83 5.30 14.08 MWD_InterpAzi+sag(3) 9/9/2015 1:32:07PM Page 2 COMPASS 5000.1 Build 73 • • Halliburton Definitive Survey Report Company: Hilcorp Energy Company Local Co-ordinate Reference: Well KBU 31-06X Project: Kenai Gas Field TVD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad MD Reference: As-Built KBU 31-06X @ 83.50usft Well: KBU 31-06X North Reference: True Wellbore: KBU 31-06X Survey Calculation Method: Minimum Curvature Design: KBU 31-06X Database: Sperry EDM-NORTH US+CANADA Survey Map Map Vertical MD Inc Azi TVD TVDSS +N/-S +E/-W Northing Easting DLS Section (usft) (°) (1) (usft) (usft) (usft) (usft) (ft) (ft) (1100') (ft) Survey Tool Name 662.87 12.16 296.78 660.30 576.80 18.45 -39.58 2,361,459.55 275,102.64 4.28 19.42 MWD_InterpAzi+sag(3) 721.68 13.81 297.54 717.61 634.11 24.49 -51.33 2,361,465.81 275,091.00 2.82 25.74 MWD+SC+sag(4) 785.90 16.17 293.06 779.64 696.14 31.54 -66.36 2,361,473.14 275,076.11 4.09 33.15 MWD+SC+sag(4) 847.69 16.96 291.01 838.87 755.37 38.14 -82.69 2,361,480.05 275,059.91 1.59 40.15 MWD+SC+sag(4) 910.05 18.74 289.41 898.22 814.72 44.73 -100.63 2,361,486.98 275,042.10 2.96 47.18 MWD+SC+sag(4) 972.22 21.04 290.36 956.68 873.18 51.93 -120.51 2,361,494.56 275,022.35 3.74 54.86 MWD+SC+sag(4) 1,033.99 23.00 294.98 1,013.95 930.45 60.89 -141.85 2,361,503.91 275,001.19 4.23 64.34 MWD+SC+sag(4) 1,094.17 24.50 299.62 1,069.03 985.53 72.02 -163.36 2,361,515.45 274,979.90 3.98 75.99 MWD_InterpAzi+sag(5) 1,155.55 24.33 304.50 1,124.93 1,041.43 85.48 -184.84 2,361,529.31 274,958.67 3.30 89.97 MWD_InterpAzi+sag(5) 1,220.99 20.16 310.77 1,185.49 1,101.99 100.48 -204.51 2,361,544.68 274,939.30 7.32 105.45 MWD+SC+sag(6) 1,282.55 18.26 314.64 1,243.63 1,160.13 114.19 -219.40 2,361,558.67 274,924.66 3.71 119.52 MWD+SC+sag(6) 1,344.21 19.79 322.00 1,301.92 1,218.42 129.21 -232.71 2,361,573.93 274,911.65 4.61 134.85 MWD+SC+sag(6) 1,406.42 22.29 328.90 1,359.99 1,276.49 147.61 -245.29 2,361,592.57 274,899.41 5.65 153.56 MWD+SC+sag(6) 1,468.27 24.67 332.92 1,416.72 1,333.22 169.15 -257.23 2,361,614.34 274,887.89 4.64 175.39 MWD+SC+sag(6) 1,530.73 25.86 335.40 1,473.21 1,389.71 193.15 -268.83 2,361,638.54 274,876.74 2.55 199.66 MWD+SC+sag(6) 1,592.72 28.69 337.39 1,528.30 1,444.80 219.18 -280.18 2,361,664.79 274,865.88 4.80 225.96 MWD+SC+sag(6) 1,655.26 32.84 339.23 1,582.03 1,498.53 248.91 -291.97 2,361,694.73 274,854.66 6.80 255.97 MWD+SC+sag(6) 1,716.81 35.09 341.46 1,633.07 1,549.57 281.29 -303.52 2,361,727.32 274,843.73 4.18 288.62 MWD+SC+sag(6) 1,779.03 35.00 343.37 1,684.02 1,600.52 315.35 -314.31 2,361,761.58 274,833.58 1.77 322.93 MWD+SC+sag(6) 1,841.26 37.78 346.05 1,734.11 1,650.61 350.96 -324.02 2,361,797.36 274,824.55 5.15 358.77 MWD+SC+sag(6) 1,903.25 39.36 348.23 1,782.58 1,699.08 388.63 -332.60 2,361,835.19 274,816.68 3.36 396.64 MWD+SC+sag(6) 1,965.10 43.08 348.12 1,829.09 1,745.59 428.52 -340.96 2,361,875.22 274,809.08 6.02 436.72 MWD+SC+sag(6) 2,026.38 44.11 348.12 1,873.47 1,789.97 469.87 -349.66 2,361,916.73 274,801.16 1.68 478.27 MWD+SC+sag(6) 2,089.22 45.42 348.21 1,918.09 1,834.59 513.18 -358.73 2,361,960.20 274,792.91 2.09 521.79 MWD+SC+sag(6) 2,150.94 42.22 347.56 1,962.61 1,879.11 554.95 -367.69 2,362,002.14 274,784.74 5.24 563.77 MWD+SC+sag(6) 2,212.67 40.24 348.15 2,009.04 1,925.54 594.73 -376.25 2,362,042.06 274,776.93 3.27 603.74 MWD+SC+sag(6) 2,274.81 40.10 346.20 2,056.52 1,973.02 633.81 -385.15 2,362,081.30 274,768.78 2.04 643.03 MWD+SC+sag(6) 2,336.37 39.87 347.66 2,103.69 2,020.19 672.34 -394.10 2,362,120.00 274,760.56 1.57 681.76 MWD+SC+sag(6) 2,398.57 41.57 347.09 2,150.83 2,067.33 711.93 -402.97 2,362,159.75 274,752.44 2.80 721.56 MWD+SC+sag(6) 2,460.65 40.11 347.44 2,197.80 2,114.30 751.53 -411.92 2,362,199.51 274,744.24 2.38 761.37 MWD+SC+sag(6) 2,522.17 42.01 346.46 2,244.18 2,160.68 790.89 -421.05 2,362,239.03 274,735.86 3.26 800.94 MWD+SC+sag(6) 2,584.70 41.79 347.66 2,290.72 2,207.22 831.59 -430.40 2,362,279.90 274,727.28 1.33 841.85 MWD+SC+sag(6) 2,646.12 43.04 347.76 2,336.07 2,252.57 872.06 -439.22 2,362,320.53 274,719.23 2.04 882.53 MWD+SC+sag(6) 2,708.43 41.39 345.80 2,382.22 2,298.72 912.82 -448.78 2,362,361.46 274,710.44 3.39 923.51 MWD+SC+sag(6) 2,770.03 42.50 345.22 2,428.03 2,344.53 952.68 -459.09 2,362,401.51 274,700.89 1.91 963.61 MWD+SC+sag(6) 2,832.32 42.11 346.97 2,474.10 2,390.60 993.37 -469.16 2,362,442.38 274,691.59 1.99 1,004.54 MWD+SC+sag(6) 2,894.85 39.71 347.21 2,521.36 2,437.86 1,033.28 -478.31 2,362,482.46 274,683.19 3.85 1,044.66 MWD+SC+sag(6) 2,956.11 39.10 347.62 2,568.69 2,485.19 1,071.24 -486.79 2,362,520.56 274,675.44 1.08 1,082.81 MWD+SC+sag(6) 3,018.58 39.88 347.26 2,616.90 2,533.40 1,110.01 -495.43 2,362,559.49 274,667.53 1.30 1,121.79 MWD+SC+sag(6) 3,080.20 41.63 347.23 2,663.58 2,580.08 1,149.25 -504.31 2,362,598.88 274,659.40 2.84 1,161.22 MWD+SC+sag(6) 9/9/2015 1:32:07PM Page 3 COMPASS 5000.1 Build 73 • 0 Halliburton Definitive Survey Report Company: Hilcorp Energy Company Local Co-ordinate Reference: Well KBU 31-06X Project: Kenai Gas Field TVD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad MD Reference: As-Built KBU 31-06X @ 83.50usft Well: KBU 31-06X North Reference: True Wellbore: KBU 31-06X Survey Calculation Method: Minimum Curvature Design: KBU 31-06X Database: Sperry EDM-NORTH US+CANADA Survey Map Map Vertical MD Inc Azi TVD TVDSS +N/-S +E/-W Northing Easting DLS Section (usft) (°) (°) (usft) (usft) (usft) (usft) (ft) (ft) (°1100') (ft) Survey Tool Name 3,143.13 39.93 347.77 2,711.23 2,627.73 1,189.37 -513.21 2,362,639.17 274,651.26 2.76 1,201.56 MWD+SC+sag(6) 3,204.10 40.50 347.93 2,757.78 2,674.28 1,227.86 -521.49 2,362,677.80 274,643.70 0.95 1,240.23 MWD+SC+sag(6) 3,266.76 38.91 346.72 2,805.99 2,722.49 1,266.91 -530.27 2,362,717.01 274,635.67 2.82 1,279.49 MWD+SC+sag(6) 3,328.49 39.74 346.31 2,853.74 2,770.24 1,304.95 -539.39 2,362,755.22 274,627.27 1.41 1,317.74 MWD+SC+sag(6) 3,389.92 37.61 347.61 2,901.70 2,818.20 1,342.34 -548.06 2,362,792.76 274,619.30 3.71 1,355.33 MWD+SC+sag(6) 3,452.40 38.19 348.51 2,951.00 2,867.50 1,379.89 -556.00 2,362,830.45 274,612.08 1.28 1,393.06 MWD+SC+sag(6) 3,483.04 38.39 349.55 2,975.05 2,891.55 1,398.53 -559.61 2,362,849.16 274,608.82 2.20 1,411.78 MWD+SC+sag(6) 3,553.26 38.35 349.09 3,030.10 2,946.60 1,441.36 -567.69 2,362,892.13 274,601.55 0.41 1,454.80 MWD+SC+sag(7) 3,616.49 38.71 348.62 3,079.57 2,996.07 1,480.01 -575.30 2,362,930.91 274,594.67 0.73 1,493.62 MWD+SC+sag(7) 3,677.38 38.61 348.41 3,127.12 3,043.62 1,517.28 -582.88 2,362,968.32 274,587.80 0.27 1,531.07 MWD+SC+sag(7) 3,740.91 40.57 348.27 3,176.07 3,092.57 1,556.93 -591.06 2,363,008.12 274,580.37 3.09 1,570.91 MWD+SC+sag(7) 3,802.21 40.39 347.84 3,222.70 3,139.20 1,595.86 -599.30 2,363,047.20 274,572.88 0.54 1,610.03 MWD+SC+sag(7) 3,863.74 40.41 347.14 3,269.56 3,186.06 1,634.80 -607.93 2,363,086.29 274,564.98 0.74 1,649.16 MWD+SC+sag(7) 3,926.12 39.57 346.17 3,317.35 3,233.85 1,673.80 -617.18 2,363,125.46 274,556.47 1.68 1,688.38 MWD+SC+sag(7) 3,989.02 41.13 347.48 3,365.28 3,281.78 1,713.45 -626.46 2,363,165.28 274,547.94 2.82 1,728.25 MWD+SC+sag(7) 4,049.81 41.07 347.37 3,411.09 3,327.59 1,752.46 -635.16 2,363,204.44 274,539.98 0.15 1,767.45 MWD+SC+sag(7) 4,112.16 41.12 346.80 3,458.08 3,374.58 1,792.40 -644.32 2,363,244.55 274,531.58 0.61 1,807.61 MWD+SC+sag(7) 4,175.20 41.11 345.73 3,505.58 3,422.08 1,832.67 -654.16 2,363,284.99 274,522.50 1.12 1,848.10 MWD+SC+sag(7) 4,236.83 37.92 347.37 3,553.12 3,469.62 1,870.80 -663.30 2,363,323.28 274,514.09 5.45 1,886.44 MWD+SC+sag(7) 4,298.50 39.98 348.23 3,601.07 3,517.57 1,908.69 -671.48 2,363,361.32 274,506.62 3.45 1,924.52 MWD+SC+sag(7) 4,360.76 39.23 348.06 3,649.04 3,565.54 1,947.53 -679.64 2,363,400.31 274,499.20 1.22 1,963.55 MWD+SC+sag(7) 4,422.55 41.62 349.68 3,696.08 3,612.58 1,986.84 -687.36 2,363,439.76 274,492.23 4.22 2,003.04 MWD+SC+sag(7) 4,484.38 41.80 348.31 3,742.24 3,658.74 2,027.22 -695.21 2,363,480.28 274,485.14 1.50 2,043.60 MWD+SC+sag(7) 4,546.06 40.19 348.25 3,788.79 3,705.29 2,066.84 -703.43 2,363,520.04 274,477.67 2.61 2,083.41 MWD+SC+sag(7) 4,607.72 40.78 347.77 3,835.69 3,752.19 2,106.00 -711.75 2,363,559.35 274,470.10 1.08 2,122.76 MWD+SC+sag(7) 4,669.50 41.05 347.35 3,882.37 3,798.87 2,145.51 -720.46 2,363,599.02 274,462.13 0.62 2,162.47 MWD+SC+sag(7) 4,732.45 39.84 347.97 3,930.28 3,846.78 2,185.40 -729.19 2,363,639.06 274,454.16 2.03 2,202.56 MWD+SC+sag(7) 4,793.87 40.08 347.64 3,977.36 3,893.86 2,223.96 -737.53 2,363,677.77 274,446.56 0.52 2,241.31 MWD+SC+sag(7) 4,854.52 40.66 347.62 4,023.56 3,940.06 2,262.33 -745.94 2,363,716.29 274,438.87 0.96 2,279.88 MWD+SC+sag(7) 4,916.60 41.15 347.93 4,070.48 3,986.98 2,302.06 -754.55 2,363,756.17 274,431.01 0.85 2,319.81 MWD+SC+sag(7) 4,980.04 39.41 348.46 4,118.88 4,035.38 2,342.20 -762.94 2,363,796.47 274,423.38 2.80 2,360.15 MWD+SC+sag(7) 5,041.94 39.71 348.34 4,166.60 4,083.10 2,380.82 -770.87 2,363,835.23 274,416.19 0.50 2,398.95 MWD+SC+sag(7) 5,103.69 39.61 347.86 4,214.14 4,130.64 2,419.39 -779.00 2,363,873.94 274,408.79 0.52 2,437.70 MWD+SC+sag(7) 5,166.05 39.98 347.26 4,262.05 4,178.55 2,458.36 -787.60 2,363,913.07 274,400.93 0.86 2,476.87 MWD+SC+sag(7) 5,228.22 40.57 347.03 4,309.49 4,225.99 2,497.54 -796.54 2,363,952.41 274,392.73 0.98 2,516.26 MWD+SC+sag(7) 5,290.61 39.10 348.85 4,357.40 4,273.90 2,536.62 -804.90 2,363,991.64 274,385.11 3.01 2,555.53 MWD+SC+sag(7) 5,351.34 39.69 349.13 4,404.33 4,320.83 2,574.45 -812.26 2,364,029.60 274,378.47 1.01 2,593.53 MWD+SC+sag(7) 5,413.48 40.17 348.87 4,451.98 4,368.48 2,613.61 -819.87 2,364,068.89 274,371.60 0.82 2,632.86 MWD+SC+sag(7) 5,475.75 40.37 348.29 4,499.49 4,415.99 2,653.06 -827.84 2,364,108.48 274,364.38 0.68 2,672.49 MWD+SC+sag(7) 5,537.30 38.51 349.59 4,547.02 4,463.52 2,691.43 -835.35 2,364,146.99 274,357.60 3.31 2,711.03 MWD+SC+sag(7) 9/9/2015 1:32:07PM Page 4 COMPASS 5000.1 Build 73 • S Halliburton Definitive Survey Report Company: Hilcorp Energy Company Local Co-ordinate Reference: Well KBU 31-06X Project: Kenai Gas Field TVD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad MD Reference: As-Built KBU 31-06X @ 83.50usft Well: KBU 31-06X North Reference: True Wellbore: KBU 31-06X Survey Calculation Method: Minimum Curvature Design: KBU 31-06X Database: Sperry EDM-NORTH US+CANADA Survey Map Map Vertical MD Inc Azi ND TVDSS +N/-S +E/-W Northing Easting DLS Section (usft) (0) (0) (usft) (usft) (usft) (usft) (ft) (ft) (0/100') (ft) Survey Tool Name 5,599.66 36.89 349.98 4,596.36 4,512.86 2,728.96 -842.11 2,364,184.63 274,351.55 2.63 2,748.72 MWD+SC+sag(7) 5,661.60 35.06 350.36 4,646.49 4,562.99 2,764.81 -848.33 2,364,220.59 274,346.01 2.98 2,784.71 MWD+SC+sag(7) 5,723.90 33.07 350.83 4,698.09 4,614.59 2,799.23 -854.03 2,364,255.12 274,340.96 3.22 2,819.26 MWD+SC+sag(7) 5,785.65 31.62 351.83 4,750.26 4,666.76 2,831.89 -859.02 2,364,287.86 274,336.59 2.50 2,852.03 MWD+SC+sag(7) 5,858.81 29.96 353.53 4,813.11 4,729.61 2,869.03 -863.80 2,364,325.08 274,332.51 2.56 2,889.27 MWD+SC+sag(7) 5,920.59 30.20 353.51 4,866.57 4,783.07 2,899.79 -867.30 2,364,355.91 274,329.60 0.39 2,920.12 MWD+SC+sag(7) 5,982.33 30.47 353.69 4,919.86 4,836.36 2,930.78 -870.77 2,364,386.96 274,326.71 0.46 2,951.18 MWD+SC+sag(7) 6,044.52 30.26 354.55 4,973.52 4,890.02 2,962.05 -873.99 2,364,418.28 274,324.08 0.78 2,982.52 MWD+SC+sag(7) 6,106.63 28.84 357.57 5,027.55 4,944.05 2,992.60 -876.11 2,364,448.86 274,322.54 3.31 3,013.11 MWD+SC+sag(7) 6,168.16 28.86 357.67 5,081.44 4,997.94 3,022.26 -877.35 2,364,478.54 274,321.86 0.08 3,042.80 MWD+SC+sag(7) 6,231.66 28.75 357.94 5,137.08 5,053.58 3,052.84 -878.52 2,364,509.13 274,321.27 0.27 3,073.39 MWD+SC+sag(7) 6,292.73 29.11 358.19 5,190.53 5,107.03 3,082.36 -879.52 2,364,538.67 274,320.83 0.62 3,102.93 MWD+SC+sag(7) 6,354.91 28.92 356.36 5,244.91 5,161.41 3,112.49 -880.95 2,364,568.81 274,319.97 1.46 3,133.08 MWD+SC+sag(7) 6,416.96 29.08 355.72 5,299.18 5,215.68 3,142.50 -883.03 2,364,598.85 274,318.46 0.56 3,163.13 MWD+SC+sag(7) 6,478.97 29.19 355.68 5,353.34 5,269.84 3,172.60 -885.29 2,364,629.00 274,316.77 0.18 3,193.28 MWD+SC+sag(7) 6,541.48 28.73 355.31 5,408.04 5,324.54 3,202.77 -887.67 2,364,659.21 274,314.96 0.79 3,223.51 MWD+SC+sag(7) 6,603.15 28.91 354.60 5,462.07 5,378.57 3,232.39 -890.23 2,364,688.87 274,312.96 0.49 3,253.18 MWD+SC+sag(7) 6,665.89 29.20 354.94 5,516.91 5,433.41 3,262.74 -892.95 2,364,719.26 274,310.81 0.47 3,283.58 MWD+SC+sag(7) 6,727.23 29.43 354.41 5,570.40 5,486.90 3,292.64 -895.74 2,364,749.21 274,308.59 0.57 3,313.54 MWD+SC+sag(7) 6,789.33 29.39 355.22 5,624.50 5,541.00 3,323.01 -898.50 2,364,779.62 274,306.41 0.64 3,343.97 MWD+SC+sag(7) 6,851.43 29.56 355.67 5,678.56 5,595.06 3,353.47 -900.92 2,364,810.12 274,304.56 0.45 3,374.48 MWD+SC+sag(7) 6,912.63 29.41 357.36 5,731.83 5,648.33 3,383.53 -902.76 2,364,840.21 274,303.29 1.38 3,404.58 MWD+SC+sag(7) 6,974.75 29.81 356.57 5,785.84 5,702.34 3,414.18 -904.38 2,364,870.89 274,302.25 0.90 3,435.26 MWD+SC+sag(7) 7,036.61 30,08 355.88 5,839.44 5,755.94 3,445.00 -906.42 2,364,901.73 274,300.80 0.71 3,466.11 MWD+SC+sag(7) 7,099.37 30.16 356.26 5,893.73 5,810.23 3,476.41 -908.57 2,364,933.18 274,299.23 0.33 3,497.58 MWD+SC+sag(7) 7,161.17 30.43 355.47 5,947.09 5,863.59 3,507.51 -910.82 2,364,964.31 274,297.57 0.78 3,528.71 MWD+SC+sag(7) 7,222.63 30.58 355.23 6,000.04 5,916.54 3,538.60 -913.35 2,364,995.45 274,295.63 0.31 3,559.86 MWD+SC+sag(7) 7,285.22 30.80 355.24 6,053.87 5,970.37 3,570.44 -916.01 2,365,027.33 274,293.58 0.35 3,591.75 MWD+SC+sag(7) 7,347.98 30.78 355.15 6,107.78 6,024.28 3,602.45 -918.70 2,365,059.38 274,291.50 0.08 3,623.82 MWD+SC+sag(7) 7,409.29 31.12 354.70 6,160.36 6,076.86 3,633.86 -921.49 2,365,090.84 274,289.30 0.67 3,655.29 MWD+SC+sag(7) 7,469.31 31.09 354.22 6,211.75 6,128.25 3,664.72 -924.48 2,365,121.75 274,286.89 0.42 3,686.21 MWD+SC+sag(7) 7,533.39 31.55 353.41 6,266.49 6,182.99 3,697.84 -928.07 2,365,154.92 274,283.93 0.97 3,719.41 MWD+SC+sag(7) 7,595.51 32.07 354.13 6,319.28 6,235.78 3,730.39 -931.62 2,365,187.53 274,280.99 1.04 3,752.03 MWD+SC+sag(7) 7,657.03 31.86 355.58 6,371.48 6,287.98 3,762.82 -934.54 2,365,220.02 274,278.69 1.29 3,784.53 MWD+SC+sag(7) 7,719.10 32.16 355.71 6,424.11 6,340.61 3,795.63 -937.04 2,365,252.86 274,276.81 0.50 3,817.39 MWD+SC+sag(7) 7,782.18 32.17 355.79 6,477.51 6,394.01 3,829.12 -939.53 2,365,286.39 274,274.95 0.07 3,850.93 MWD+SC+sag(7) 7,843.91 32.53 355.91 6,529.66 6,446.16 3,862.06 -941.92 2,365,319.37 274,273.19 0.59 3,883.92 MWD+SC+sag(7) 7,905.73 32.71 355.54 6,581.72 6,498.22 3,895.29 -944.41 2,365,352.65 274,271.33 0.43 3,917.20 MWD+SC+sag(7) 7,967.53 31.11 356.67 6,634.18 6,550.68 3,927.88 -946.63 2,365,385.27 274,269.72 2.76 3,949.84 MWD+SC+sag(7) 8,029.40 30.87 355.91 6,687.22 6,603.72 3,959.67 -948.69 2,365,417.09 274,268.26 0.74 3,981.67 MWD+SC+sag(7) 9/9/2015 1:32:07PM Page 5 COMPASS 5000.1 Build 73 • • Halliburton Definitive Survey Report Company: Hilcorp Energy Company Local Co-ordinate Reference: Well KBU 31-06X Project: Kenai Gas Field TVD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad MD Reference: As-Built KBU 31-06X @ 83.50usft Well: KBU 31-06X North Reference: True Wellbore: KBU 31-06X Survey Calculation Method: Minimum Curvature Design: KBU 31-06X Database: Sperry EDM-NORTH US+CANADA Survey Map Map Vertical MD Inc Azi TVD TVDSS +NtS +El-W Northing Easting DLS Section (usft) (°) (°) (usft) (usft) (usft) (usft) (ft) (ft) (°/100) (ft) Survey Tool Name 8,091.87 30.91 355.02 6,740.83 6,657.33 3,991.64 -951.23 2,365,449.10 274,266.33 0.73 4,013.69 MWD+SC+sag(7) 8,153.75 31.61 354.71 6,793.73 6,710.23 4,023.62 -954.10 2,365,481.13 274,264.06 1.16 4,045.73 MWD+SC+sag(7) 8,212.95 31.22 355.15 6,844.25 6,760.75 4,054.36 -956.83 2,365,511.91 274,261.92 0.76 4,076.52 MWD+SC+sag(7) 8,276.23 29.51 356.86 6,898.85 6,815.35 4,086.26 -959.07 2,365,543.85 274,260.28 3.03 4,108.48 MWD+SC+sag(7) 8,339.36 29.08 357.00 6,953.90 6,870.40 4,117.11 -960.73 2,365,574.72 274,259.21 0.69 4,139.35 MWD+SC+sag(7) 8,401.30 29.06 356.06 7,008.04 6,924.54 4,147.15 -962.55 2,365,604.79 274,257.96 0.74 4,169.43 MWD+SC+sag(7) 8,463.25 28.66 355.13 7,062.30 6,978.80 4,176.96 -964.84 2,365,634.64 274,256.23 0.97 4,199.29 MWD+SC+sag(7) 8,525.96 28.58 354.58 7,117.35 7,033.85 4,206.88 -967.54 2,365,664.60 274,254.10 0.44 4,229.26 MWD+SC+sag(7) 8,587.41 28.37 353.43 7,171.36 7,087.86 4,236.01 -970.59 2,365,693.79 274,251.59 0.96 4,258.46 MWD+SC+sag(7) 8,649.82 28.19 351.89 7,226.32 7,142.82 4,265.34 -974.37 2,365,723.18 274,248.37 1.20 4,287.87 MWD+SC+sag(7) 8,712.08 27.76 350.09 7,281.31 7,197.81 4,294.18 -978.94 2,365,752.10 274,244.35 1.52 4,316.82 MWD+SC+sag(7) 8,773.55 27.81 349.51 7,335.69 7,252.19 4,322.38 -984.01 2,365,780.39 274,239.81 0.45 4,345.13 MWD+SC+sag(7) 8,834.90 28.05 348.86 7,389.90 7,306.40 4,350.61 -989.41 2,365,808.71 274,234.95 0.63 4,373.48 MWD+SC+sag(7) 8,896.64 28.04 347.88 7,444.39 7,360.89 4,379.04 -995.26 2,365,837.25 274,229.64 0.75 4,402.05 MWD+SC+sag(7) 8,959.15 28.40 346.81 7,499.47 7,415.97 4,407.88 -1,001.74 2,365,866.20 274,223.71 0.99 4,431.04 MWD+SC+sag(7) 9,021.30 28.22 345.82 7,554.19 7,470.69 4,436.51 -1,008.71 2,365,894.96 274,217.28 0.81 4,459.83 MWD+SC+sag(7) 9,047.99 28.07 345.47 7,577.72 7,494.22 4,448.71 -1,011.83 2,365,907.22 274,214.39 0.84 4,472.10 MWD+SC+sag(7) 9,080.00 28.07 345.47 7,605.96 7,522.46 4,463.29 -1,015.61 2,365,921.87 274,210.89 0.00 4,486.77 PROJECTED to TD brian.wheeler@halliburtonwW.,w..a.w.+.« a=te, a s•+r+4,wM<.nwb,0,....on.<. Checked By: .. o..=.,,,> Approved By: cary.taylor@halliburton.com :p, tr°gra,"" Date: 9/9/2015 1:32:07PM Page 6 COMPASS 5000.1 Build 73 • • Hilcorp Energy Company CASING&CEMENTING REPORT Lease&Well No. KBU 31-06X Date 23-Aug-15 County Kenai Peninsula Borough State Alaska Supv. Shane Hauck/Shane Barber CASING RECORD TD 3520.00 Shoe Depth: 3511.00 PBTD: 3430.48 Casing(Or Liner)Detail Setting Depths No.ofJts. Size it Grade THD Make Length Bottom Top Shoe 75/8" 29.78 L-80 BTC WFD 1.90 3,511.00 3,509.37 2 Jots 7 5/8" 29.78 L-80 BTC 81.47 3,509.37 3,430.48 Flt Clr 7 5/8" 29.78 L-80 BTC WFD 1.48 3,430.48 3,429.16 84 7 5/8" 29.78 L-80 BTC 2,385.39 3,429.16 0.00 Totals 61 Jnts. Csg Wt.On Hook: 300,000 Type Float Collar Model 402 No.Hrs to Run: 11.5 Csg Wt.On Slips: 280,000 Type of Shoe: Bull Nose/303 Casing Crew: WFD Fluid Description: 9.0 ppg Spud Mud,PV 34,YP 27 Liner hanger Info(Make/Model): Liner top Packer?: Yes X No Liner hanger test pressure: 0 Centralizer Placement: 2 bowspring on shoe jnt,1 centralizer middle bakertok jnt, 1 centralizers every other jnt(42 total) CEMENTING REPORT Preflush(Spacer) Type: Mud Push II Density(ppg) 10 Volume pumped(BBLs) 44 Lead Slurry Type: Extended Density(ppg) 12 Volume pumped(BBLs) 205 Mixing/Pumping Rate(bpm): 5 Tail Slurry Type: Conventional Density(ppg) 15.4 Volume pumped(BBLs) 40 Mixing/Pumping Rate(bpm): 5 N Post Flush(Spacer) w Type:Fresh Water Density(ppg) 8.3 Rate(bpm): 5 Volume: 20 E Displacement: Type: Spud Mud Density(ppg) 9 Rate(bpm): 5 Volume(actual/calculated): 157/154.5 FCP(psi): 1000 Pump used for disp: SLB Plug Bumped? X Yes No Bump press 1500 Casing Rotated? Yes X No Reciprocated'? X Yes No %Returns during job 87 Cement returns to surface? x Yes No Spacer returns? X Yes No Vol to Surf: 85 Cement In Place At: 10:20 Date: 8/23/2015 Estimated TOC: 0 Method Used To Determine TOC: PSIG/PH samples Preflush(Spacer) Type: Density(ppg) Volume pumped(BBLs) Lead Slurry Type: Density(ppg) Volume pumped(BBLs) Mixing/Pumping Rate(bpm): Tail Slurry wType: F Density(ppg) Volume pumped(BBLs) Mixing/Pumping Rate(bpm): N Post Flush(Spacer) 0 o Type: Density(ppg) Rate(bpm): Volume: NDisplacement: Type: Density(ppg) Rate(bpm): Volume(actual/calculated): FCP(psi): Pump used for disp: Plug Bumped? Yes No Bump press Casing Rotated'? Yes _No Reciprocated'? _Yes_No %Returns during job Cement returns to surface? Yes No Spacer returns? Yes_No Vol to Surf: Cement In Place At: Date: Estimated TOC: Method Used To Determine TOC: WELLHEAD Make Cactus Type C-29L Serial No. Size 11" W.P. 5k Test Head To 2500 PSIG 15 MIN good OK Remarks: This particular report pertains to the Surface Casing and Cement 0 0 Hilcorp Energy Company CASING&CEMENTING REPORT Lease&Well No. KBU 31-06X Date 4-Sep-15 County Kenai Peninsula Borough State Alaska Supv. R Pederson/M Rogers CASING RECORD TD 9080.00 Shoe Depth: 9074.00 PBTD: 8987.07 Casing(Or Liner)Detail Setting Depths No.of Jts. Size Wt. Grade THD Make Length Bottom Top Shoe 41/2' 12.68 L-80 BTC WFD 1.56 9,074.29 9,072.73 2 Jnts 41/2" 12.68 L-80 BTC 84.30 8,989.99 8,988.43 Flt Clr 41/2" 12.68 L-80 BTC WFD 1.36 8,988.43 8,987.07 146 jts 41/2" 12.68 L-80 BTC 5,996.10 8,987.07 3,010.99 Swell Pkr 4 1/2" 12.68 L-80 BTC Baker 19.99 3,010.99 2,991.00 70 jts 41/2" 12.68 L-80 BTC 2,948.89 2,991.00 42.11 Pup jt 4 1/2" 12.68 L-80 BTC 19.77 42.11 22.34 XO Pup jt 4 1/2" 12.68 L-80 BTC 2.58 22.34 19.76 Hanger 4.5 x 10.75 Cactus 0.86 19.76 18.90 RKB 4 1/2" 18.90 18.90 0.00 Totals 218 Jts. Csg Wt.On Hook: 112,928 Type Float Collar: Model 402E No.Hrs to Run: 19 Csg\M.On Slips: 60 Type of Shoe: Bull Nose/303E Casing Crew: WFD Fluid Description: 9.4 ppg 3%KCL polymer,PV 12,YP 18 Liner hanger Info(Make/Model): N/A Liner top Packer?: Yes X No Liner hanger test pressure: 0 Centralizer Placement: 2 on shoe jt 10'f/ea end,1 cent middle bakerlok jt, 1 floating cent every other jt for 145 jts(75 total) CEMENTING REPORT Preflush(Spacer) Type: Mud Push II Density(ppg) 12.5 Volume pumped(BBLs) 30.8 Lead Slurry Type: EZ Blok Extended Lead Density(ppg) 13.5 Volume pumped(BBLs) 184 Mixing/Pumping Rate(bpm): 5 Tail Slurry Type: EZ Blok Tail Density(ppg) 15.3 Volume pumped(BBLs) 58.8 Mixing/Pumping Rate(bpm): 5 w Post Flush(Spacer) y Type: Fresh Water Density(ppg) 8.3 Rate(bpm): 5 Volume: 20 0 LL Displacement: Type: 3%KCL Brine Density(ppg) 8.5 Rate(bpm): 5 Volume(actual/calculated): 137.5/133 FCP(psi): 2350 Pump used for disp: SLB Plug Bumped? X Yes No Bump press 2850 Casing Rotated? Yes X No Reciprocated? Yes X No 70%Returns during job 87 Cement returns to surface? Yes X No Spacer returns? Yes X No Vol to Surf: 0 Cement In Place At: 14:45:00 PM Date: 9/5/2015 Estimated TOC: 2,600 Method Used To Determine TOC: Volume pumped(BBLs),Return Volumes,and losses Preflush(Spacer) Type: Density(ppg) Volume pumped(BBLs) Lead Slurry Type: Density(ppg) Volume pumped(BBLs) Mixing/Pumping Rate(bpm): Tail Slurry w Type: e Density(ppg) Volume pumped(BBLs) Mixing/Pumping Rate(bpm): 0 Post Flush(Spacer) 0 o Type: Density(ppg) Rate(bpm): Volume: co Displacement: Type: Density(ppg) Rate(bpm): Volume(actual/calculated): FCP(psi): Pump used for disp: Plug Bumped? Yes No Bump press Casing Rotated? Yes No Reciprocated? Yes No %Returns during job Cement returns to surface? Yes No Spacer returns? Yes No Vol to Surf: Cement In Place At: Date: Estimated TOC: Method Used To Determine TOC: WELLHEAD Make Cactus Type Multibowl Serial No. Size 11" W.P. 5k Test Head To 5000 PSIG 15 MIN good OK Remarks: This particular report pertains to the Production Casing and Cement • S KBU 31-06X Days vs Depth 0 500 KBU 31-06X Actual 1000 KBU 31-06X Plan 1500 2000 2500 3000 3500 4000 r 4500 .. a v v 5000 • 5500 2 6000 6500 7000 7500 8000 8500 9000 9500 10000 0 5 10 15 20 25 Days 10/6/20153:20 PM KBU 31-06X MW vs Depth 0 - KBU 31-06X Plan 1000 - KBU 31-06X Actual f 2000 3000 4000 5000 s w 6000 CO a) 7000 8000 9000 10000 - 11000 - 12000 8.0 9.0 10.0 11.0 12.0 13.0 14.0 Mud Density(ppg) • S Seth Nolan Hilcorp Alaska, LLC GeoTech 3800 Centerpoint Drive 2-1cj 12'- Anchorage,AK 99503 Tele: 907 777-8308 Ifilrnrii Aln«kcr.I J.( Fax: 907 777-8510 (^5 E-mail: snolan@hilcorp.com DATE 10/13/2015 To: Alaska Oil & Gas Conservation Commission Meredith Guhl Petroleum Geology Assistant RECEIVED 333 W 7th Ave Ste 100 Anchorage, AK NOV 0 4 2015 99501 AOGCC DATA TRANSMITTAL KBU 31-06X &.9x t 7 boxes: Dry Cuttings Transmitted herewith are cuttings from KBU 31-06X WELL SAMPLE INTERVAL KBU 31-06X 3500—4500 KBU 31-06X 4500—5100 KBU 31-06X 5100—6000 KBU 31-06X 6000—6800 KBU 31-06X 6800—7500 KBU 31-06X 7500—8300 KBU 31-06X 8300—9080 Please include current contact information if different from above. Please acknowledge receipt by signing and returning one copy of this transmittal or FAX to 907 777.8510 Recei -. :y: I! Date: t l ( (�5 ----"---D e • ti OF 7'4, ` �w���\I%%i�s THE STATE Alaska Oil and Gas �g> , ®f Conservation Commissi®n LAsKA. '? - __. . ___ �; a -=„__- 333 West Seventh Avenue ili GOVERNOR BILL WALKER Anchorage, Alaska 99501-3572 Main: 907.279.1433 ®FALAS�� Fax: 907.276.7542 www.aogcc.alaska.gov Taylor Nasse Operations Engineer Hilcorp Alaska, LLC 3800 Centerpoint Drive, Suite 1400 Anchorage, AK 99503 Re: Kenai Gas Field, Beluga/Upper Tyonek Gas Pool and Tyonek Gas Pool 1, KBU 31-06X Sundry Number: 315-646 Dear Mr.Nasse: Enclosed is the approved application for sundry approval relating to the above referenced well. Please note the conditions of approval set out in the enclosed form. As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. Sincerely, P9 - Cathy . Foerster Chair DATED this. day of October, 2015 Encl. RBDMS IN 1 CT 2 3 1015 • 0 RECEIVED STATE OF ALASKA OCT 14 2015 ALASKA OIL AND GAS CONSERVATION COMMISSION /L/ 2// /3 APPLICATION FOR SUNDRY APPROVALS AOGCC 20 MC 25.280 1.Type of Request: Abandon ❑ Plug Perforations ❑ Fracture Stimulate ❑ Pull Tubing ❑ Operations shutdown ❑ Suspend ❑ Perforate E, Other Stimulate ❑ Alter Casing ❑ Change Approved Program ❑ Plug for Redrill❑ Perforate New Pool ❑ Repair Well ❑ Re-enter Susp Well ❑ Other: ❑ 2.Operator Name: 4.Current Well Class: 5. Permit to Drill Number: Hilcorp Alaska, LLC Exploratory ❑ Development E . 215-127 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic ❑ Service ❑ 6.API Number: Anchorage,AK 99503 50-133-20653-00 7. If perforating: 8.Well Name and Number. What Regulation or Conservation Order governs well spacing in this pool? C.O.510A Kenai Beluga Unit(KBU)31-06X ' Will planned perforations require a spacing exception? Yes ❑ No 9.Property Designation(Lease Number): 10.Field/Pool(s): FEE;A028142 Kenai Gas Field-Beluga/Upper Tyonek Gas Pool,Tyonek Gas Pool 1 11. PRESENT WELL CONDITION SUMMARY Total Depth MD(ft): Total Depth TVD(ft): Effective Depth MD(ft): Effective Depth TVD(ft): Plugs(measured): Junk(measured): 9,080 . 7,606 " 9,080 7,606 N/A N/A Casing Length Size MD TVD Burst Collapse Structural Conductor 138' 13-3/8" 138' 138' 1,661 psi 5,380 psi Surface 3,511' 7-5/8" 3,511' 2,997' 6,890 psi 4,790 psi Intermediate Production 9,074' 4-1/2" 9,074' 7,601 8,430 psi 7,500 psi Liner Perforation Depth MD(ft): Perforation Depth TVD(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic See Attached Schematic N/A N/A N/A Packers and SSSV Type: Packers and SSSV MD(ft)and TVD(ft): Baker Swell Packer;N/A 2,991'MD/2,596'TVD; N/A 12.Attachments: Description Summary of Proposal ❑✓ 13.Well Class after proposed work: Detailed Operations Program ❑ BOP Sketch ❑ Exploratory ❑ Stratigraphic❑ Development ❑✓ "Service ❑ 14. Estimated Date for 15.Well Status after proposed work: CommencingOperations: October 28,2015 OIL WIND WDSPL p ❑ ❑ ❑ Suspended ❑ 16.Verbal Approval: Date: GAS E - WAG ❑ GSTOR ❑ SPLUG ❑ Commission Representative: GINJ ❑ Op Shutdown ❑ Abandoned ❑ 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Taylor Nasse Email tnasse@hilcorp.com Printed Name Taylor Nasse Title Operations Engineer Signaturec. Phone 907-777-8354 Date 1 q /q//S COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number: Plug Integrity ❑ BOP Test ❑ Mechanical Integrity Test ❑ Location Clearance ❑ Other: � / t� ry ��(�V(�'�T 131015 Spacing Exception Required? Yes ❑ No L Subsequent Form Required: 101 '7 a 1 RwNIS / APPROVED BY 2)-73 J / Approved by: C647P/� COMMISSIONER THE COMMISSION Date: /p,. U<J O ---- ' _ N A Submit Form and Form 10-403 Revised 5/2015 ^ (((���p� i V lid for 12 months from the date of approval. Attachments in Duplicate 74346/ ,,sb //-2./(;-- • Well Prognosis Well: KBU 31-06X Hilcorp Alaska,Lid Date: 10/14/2015 Well Name: KBU 31-06X API Number: 50-133-20653-00 Current Status: Producing Leg: N/A Estimated Start Date: Oct. 28th, 2015 Rig: Reg.Approval Req'd? Yes Date Reg. Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 215-127 First Call Engineer: Taylor Nasse (907) 777-8354 (0) (907) 903-0341 (C) Second Call Engineer: Chad Helgeson (907) 777-8405 (0) (907) 229-4824(C) AFE Number: 1511702C Maximum Expected BHP: — 3,270 psi @ 7,606' TVD (Assumed 0.43 psi/ft gradient) Max. Allowable Surface Pressure: —2,510 psi (Based on gas gradient to surface (0.10psi/ft) Brief Well Summary KBU 31-06X is a grass roots development well targeting gas sands in the Beluga and Tyonek formations. This well was brought online on October 3rd, 2015. The purpose of this work/sundry is to add additional perforations in the Tyonek and Beluga sands. Notes Regarding Wellbore Condition • Well is currently flowing at 780 MSCFD at 627 psig. E-Line Procedure 1. MIRU e-line and PT lubricator to 3,000 psi Hi 250 Low. 2. If necessary, bleed pressure down as requested by the RE to establish a drawdown on the formation. 3. Perforate the Tyonek and Beluga sands with 2-7/8" 6 SPF 60 deg phased perf guns. Depths are from the Halliburton LWD log dated September 4th, 2015. Send the correlation pass to Taylor Nasse and Jacob Dunston for confirmation. Proposed Perforated Intervals Sands Top (MD) Btm (MD) FT Lower Beluga UB-X1 ±5,768' ±5,786' ±18 Lower Beluga UB-1 ±5,792' ±5,808' ±16 Lower Beluga UB-5 ±6,094' ±6,112' ±18 Lower Beluga UB-5A ±6,119' ±6,136' ±17 Lower Beluga LB-1E ±7,614' ±7,634' ±20 Lower Beluga LB-2C ±7,906' ±7,916' ±10 Lower Beluga LB-3B ±8,149' ±8,159' ±10 Lower Beluga LB-4C ±8,401' ±8,411' ±10 Lower Beluga LB-5C ±8,623' ±8,633' ±10 Upper Tyonek UT-1B ±8,997' ±9,007' ±10 • • Well Prognosis Well: KBU 31-06X 11i1(01ii`Ia..k`°cc' Date: 10/14/2015 4. POOH. 5. Flow well through test separator and record water and gas rates. Note: If any of the sands are not commercial,then the zone will be plugged back with a bridge plug or casing patch. 6. RD e-line. 7. Turn well over to production. Attachments: 1. Actual and Proposed Schematic . •H H . Kenai Gas Field SCHEMATIC Well: KBU31-06X API #: 50433-20653-00-00 Hilcorp Alaska,LLC PTD: 215-127 RKB:GL=18.90' 'ii;'!!: CASING DETAIL • Size Type Wt/Grade/Conn ID Top Btm •i 13-3/8" Conductor-Driven 72#/L-80/Weld 12.347" Surf 120' 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' ,i` 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' 13 3/8 I JEWELRY DETAIL No Depth Item 1 2,991' Baker Swell Packer • t. PERFORATION DETAIL Sands Top(MD) Btm(MD) Top(ND) Btm(TVD) Date Size Status Est TOC . ' 1 LB 3A 8,080' 8,100' 6,731' 6,748' 10/02/15 2-7/8" Open LB 4 8,246' 8,251' 6,789' 6,877' 10/02/15 2-7/8" Open LB 4C 8,358' 8,373' 6,970' 6,983' 10/02/15 2-7/8" Open 4 UT 72-8 8,724' 8,764' 7,292' 7,327' 10/01/15 2-7/8" Open '' UT 73-1 8,784' 8,804' 7,345' 7,363' 10/01/15 2-7/8" Open 7-5/8"*t: ' UT 73-2 8,839' 8,854' 7,394' 7,407' 09/30/15 2-7/8" Open UT1B 8,930' 8,950' 7,474' 7,491' 09/30/15 2-7/8" Open UT1D 9,050' 9,075' 7,579' 7,602' 09/25/15 2-7/8" Open RA Tag depths: ko 5,993 C 7,491' C ' LB3A 8,194' c = LB4 LB 4C 8,820 -a7-_-"._ UT 72-8 UT 7'3-1 UT 73-2 7 UT1B UT1D 41/2" TO.9,080 MD/7,606'ND PBTD=9,080'MD/7,606'ND Updated by CJD 10-12-15 • Kenai Gas Field PROPOSED Well: KBU 31-06X API #: 50-133-20653-00-00 HiIcon)Alaska,LLC SCHEMATIC PTD: 215-127 RKB:GL=18.90' CASING DETAIL Size Type Wt/Grade/Conn ID Top Btm ', 13 3/8" Conductor-Driven 72#/L-80/Weld 12.347" Surf 120' 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' 13-3/8" • JEWELRY DETAIL ' No Depth Item • 1 2,991' Baker Swell Packer PERFORATION DETAIL Sands Top(MD) Btm(MD) Top(ND) Btm(TVD) Date Size Status Est TOC Si" 1 UB-X1 ±5,768' ±5,786' ±4,735' ±4,751' TBD 2-7/8" Proposed 2,600' " UB-1 ±5,792' ±5,808' ±4,756' ±4,769' TBD 2-7/8" Proposed UB-5 ±6,094' ±6,112' ±5,017' ±5,032' TBD 2-7/8" Proposed UB-5A ±6,119' ±6,136' ±5,038' ±5,053' TBD 2-7/8" Proposed LB-1E ±7,614' ±7,634' ±6,335' ±6,352' TBD 2-7/8" Proposed 7-5/8" i 1 LB-2C ±7,906' ±7,916' ±6,582' ±6,590' TBD 2-7/8" Proposed LB 3A 8,080' 8,100' 6,731' 6,748' 10/02/15 2-7/8" Open LB-3B ±8,149' ±8,159' ±6,790' ±6,798' TBD 2-7/8" Proposed LB 4 8,246' 8,251' 6,789' 6,877' 10/02/15 2-7/8" Open ° LB 4C 8,358' 8,373' 6,970' 6,983' 10/02/15 2-7/8" Open LB-4C ±8,401' ±8,411' ±7,008' ±7,017' TBD 2-7/8" Proposed LB-5C ±8,623' ±8,633' ±7,203' ±7,212' TBD 2-7/8" Proposed UT 72-8 8,724' 8,764' 7,292' 7,327' 10/01/15 2-7/8" Open UT 73-1 8,784' 8,804' 7,345' 7,363' 10/01/15 2-7/8" Open RA Tag UT 73-2 8,839' 8,854' 7,394' 7,407' 09/30/15 2-7/8" Open depths: UT-1B 8,930' 8,950' 7,474' 7,491' 09/30/15 2-7/8" Open . ' UT-1B ±8,997' ±9,007' ±7,533' ±7,542' TBD 2-7/8" Proposed 5, UT-1D 9,050' 9,075' 7,579' 7,602' 09/25/15 2-7/8" Open UB X1 LIB 1 7,491' © :-":-..-'1- LIB 5 lit LB 5A {, LB 1E t�1 *-. LB 2C 4!' = LB3A _a LB 38 8,194' Q LB 4 LB 4C LB 5C 8,820' c = UT 72-8 UT 73-1 e = UT 73-2 y- r UT1B I111D ¢4/2" , a ► TD=9,080 MD/7,606'TVD PBTD=9,080 MD/7,606'ND Updated by CJD 10-12-15 • • 215127 Seth Nolan Hilcorp Alaska, LLC GeoTech 3800 Centerpoint Drive Anchorage, AK 99503 Tele: 907 777-8308 DATA LOGGED IIIlilifh Ali.Li. l.i I Fax: 907 777-8510 ►0/14/21315 E-mail: snolan@hilcorp.com M.K.BENDER DATE 10/02/15 RECEIVED To: Alaska Oil & Gas Conservation Commission OCT 12 2015 Makana Bender Natural Resource Technician II AOGCC 333 W 7th Ave Ste 100 Anchorage, AK 99501 DATA TRANSMITTAL KBU 31-06X KBU 31-06X Elog and Mudlog prints and digital data Prints: 5" Formation Log MD/TVD 2"/5" ROP-DGR-EWR-ADR-CTN-ALD MD 2" Formation Log MD/TVD 2"/5" DGR-EWR-ADR-CTN-ALD TVD 2" LWD Combo Log MD/TVD 2" Cement Bond Log MD 2" Gas Ratio Log MD/TVD END OF WELL REPORT 2" Drilling Dynamics Log MD/TVD CD1: digital Elog Data 2 6 3 4 5 4,„ CGM J 9/10/2015 8:36 AM File folder • Definitive Survey 9/10/2015 8:36 AM File folder • DLIS+LAS 9/10/2015 8:36 AM File folder • EMF 9/10/2015 8:36 AM File folder • PDF 9/10/2015 8:36 AM File folder TIFF 9/10/2015 8:36 AM File folder CD2: digital Mudlog Data 2 6 3 4 6 Daily Reports 9;24/2.01510:56 AM File folder • DML Data 9/24/2015 10:56 AM File folder • Final Well Report 9/24x201510:56 AM File folder IX LAS Data 9/24/20151056 AM File folder • Log PDFs 9/24/2015 10:56 AM File folder Log TIFFs 9/24/20151056 AM File folder • Show Reports 9/24/2015 10:56 AM File folder Please acknowledge receipt by signing and returning one copy of this transmittal or FAX to 907 777.8337 Received J8 ✓� Date: • • II h NolanSetHilcorp Alaska, LLC Seth 3800 Centerpoint Drive RECEIVED Anchorage, AK 99503 Tele: 907 777-8308 OCT 12 2015 Ild,'Orj1:ih,„ ;i.I.I , Fax: 907 777-8510 E-mail: snolan@hilcorp.com llOFC q CD3: Cement Bond Log Data 2 6 3 4 / / a KBU_31-06X_CBL_14SEP15 9,/18/201510:37 AM PDF Dccument 6,546 KB KBU_31-06X_CBL_14SEP15_free_pipe 9/18/2015 2:02 PM LAS File 544 KB , KBU_31-06X_CBL_14SEP15_img 9/18/2015 10:37 AM TIFF File 33,854 KB _ KBU_31-06X_CBL_14SEP15_main 9/18/2015 1:59 PM LAS File 23,162 KB Please include current contact information if different from above. Please acknowledge receipt by signing and returning one copy of this transmittal or FAX to 907 777.8337 Received 8 : Date: OF 7 • • 4, THE STATE Alaska Oil and Gas ofT AS1(A. Conservation Commission 333 West Seventh Avenue GOVERNOR BILL WALKER Anchorage, Alaska 99501-3572 llieZZOFMain: 907.279.1433 ALASY'P Fax: 907.276.7542 www.aogcc.alaska.gov Taylor Nasse Operations Engineer Hilcorp Alaska, LLC 3800 Centerpoint Drive, Suite 1400 Anchorage, AK 99503 Re: Kenai Gas Field, Beluga/Upper Tyonek Gas Pool, Tyonek Gas Pool 1, KBU 31-06X Sundry Number: 315-556 Dear Mr. Nasse: Enclosed is the approved application for sundry approval relating to the above referenced well. Please note the conditions of approval set out in the enclosed form. As provided in AS 31.05.080, within 20 days after written notice of this decision, or such further time as the AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration. A request for reconsideration is considered timely if it is received by 4:30 PM on the 23rd day following the date of this letter, or the next working day if the 23rd day falls on a holiday or weekend. Sincerely, Cathy P Foerster / Chair DATED this l to day of September, 2015 Encl. RECEIVED • • SFP 0 � 2015 STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 1)75 9 / '1 j APPLICATION FOR SUNDRY APPROVALS AOGG 20 AAC 25.280 1.Type of Request: Abandon ❑ Plug Perforations ❑ Fracture Stimulate ❑ Pull Tubing ❑ y/r.-- Operations shutdown ❑ Suspend ❑ Perforate Q• Other Stimulate ❑ Alter Casing [ . Change Approved Program ❑ Plug for Redrill ❑ Perforate New Pool ❑ Repair Well ❑ Re-enter Susp Well ❑ Other. Initial Perfs Q 2.Operator Name: 4.Current Well Class: 5.Permit to Dill Number: LT M's-`' I P Hilcorp Alaska,LLC Exploratory ❑ Development ❑✓ . 215-127. 3.Address: 3800 Centerpoint Drive,Suite 1400 Stratigraphic ❑ Service ❑ 6.API Number: Anchorage,AK 99503 50-133-20653-00• 7. If perforating: 8.Well Name and Number. What Regulation or Conservation Order governs well spacing in this pool? C.O.510A Kenai Beluga Unit(KBU)31-06X Will planned perforations require a spacing exception? Yes ❑ No E - 9.Property Designation(Lease Number): 10. Field/Pool(s): ei-vc SLG FEE;A028142- Kenai Gas Field-Beluga/Upper Tyonek Gas Pool,Gas Pool 1 , . ‘-j`1'° ' r 11. PRESENT WELL CONDITION SUMMARY Total Depth MD(ft): Total Depth TVD(ft): Effective Depth MD(ft): Effective Depth TVD(ft): Plugs(measured): Junk(measured): 9,080 7,606 8,988 7,525 N/A N/A Casing Length Size MD TVD Burst Collapse Structural Conductor 138' 13-3/8" 138' 138' 1,661 psi 5,380 psi Surface 3,511' 7-5/8" 3,511' 2,997' 6,890 psi 4,790 psi Intermediate Production 9,074' 4-1/2" 9,074' 7,601 8,430 psi 7,500 psi Liner Perforation Depth MD(ft): Perforation Depth TVD(ft): Tubing Size: Tubing Grade: Tubing MD(ft): See Attached Schematic See Attached Schematic N/A N/A N/A Packers and SSSV Type: Packers and SSSV MD(ft)and TVD(ft): Baker Swell Packer;N/A 2,991'MD/2,596'TVD;N/A 12.Attachments: Description Summary of Proposal ❑✓ 13.Well Class after proposed work: . Detailed Operations Program ❑ BOP Sketch E Exploratory ❑ Stratigraphic❑ Development E Service ❑ 14.Estimated Date for 15.Well Status after proposed work: Commencing Operations: September 22,2015 OIL ❑ WIND ❑ ❑ Suspended El 16.Verbal Approval: Date: GAS ❑✓ • WAG ❑ GSTOR ❑ SPLUG El Commission Representative: GINJ ❑ Op Shutdown ❑ Abandoned ❑ 17. I hereby certify that the foregoing is true and correct to the best of my knowledge. Contact Taylor Nasse Email tnasse@hilcorp.com Printed Name Taylor Nasse Title Operations Engineer Signature 0/ /�/ t Phone 907-777-8354 Date ✓ 74 \\// COMMISSION USE ONLY Conditions of approval: Notify Commission so that a representative may witness Sundry Number: : r 3 554 15- Plug Integrity ❑ BOP Test I Mechanical Integrity Test Ill Location ?f 1- Location Clearance Other: /Spu Fry_ SOP l-- t- (- /✓L/se = S/0 psi 1 l CT hMI-ix); l;,—;-.)-e_.9 -lin 90 $0 ' A-t>7 Spacing Exception Required? Yes ❑ No RI/ Subsequent Form Required: /0 (/ j 7 CleAPPROVED BY Approved by: P...?4.4.,4„,1 ,�— COMMISSIONER THE COMMISSION Date: 9-! _ S d l� S Submit Form and Form 10-403 Revised .:..• m&ApprSeaMcia veliR1rGf1oMeiaPProvaI. Att chments i Duplicate • • Well Prognosis Well: KBU 31-06X Hilcory Alaska,LL Date:9/08/2015 Well Name: KBU 31-06X • API Number: 50-133-20653-00 Current Status: New Grassroots Well Leg: N/A Estimated Start Date: Sept. 22"d, 2015 Rig: Reg.Approval Req'd? Yes Date Reg.Approval Rec'vd: Regulatory Contact: Donna Ambruz 777-8305 Permit to Drill Number: 215-127 First Call Engineer: Taylor Nasse (907) 777-8354 (0) (907) 903-0341 (C) Second Call Engineer: Chad Helgeson (907) 777-8405 (0) (907) 229-4824 (C) AFE Number: 1511702C Maximum Expected BHP: — 3,270 psi @ 7,606' TVD (Assumed 0.43 psi/ft gradient) Max. Allowable Surface Pressure: —2,510 psi (Based on actual reservoir conditions and gas gradient to surface (0.10psi/ft) Brief Well Summary KBU 31-06X is a grass roots development well targeting gas sands in the Beluga and Tyonek formations. This new well reached TD on 9/3/15. The purpose of this work/sundry is to drill out through the shoe track,jet the well dry with CT, and perforate. li i alc:v..Q w l4oe Notes Regarding Wellbore Condition • Well will be filled with filtered 6% KCI. • Slickline tag and make gauge ring run prior to starting work. E-Line Procedure 1. MIRU e-line and PT lubricator to 3,000 psi Hi 250 Low. 2. RIH w/CBL tool and run bond log from PBTD to+/- 2,400'. POOH. 3. RIH w/ RST tool and log from PBTD to+/-3,493'. POOH. •- �� Coiled Tubing Procedure: .0 5j`'�`"_ 4. MIRU Coiled Tubing, PT BOPE to 4,500 psi Hi 250 Low. 5. RIH w/3.75" motor/mill BHA and drill through shoe track to+/-9,085' MD. POOH. a. RU e-line on top of CT BOPE. PT to 3,000 psi Hi 250 Low. b. RIH w/GR tool and log from +/-9,085' to 8,500'. POOH. • c. If log indicates UT-1D interval is across the casing, RIH w/2-7/8" 6SPF 60 deg phased perf gun and perfora e + -9,042'-9,078'. • 6. RIH w/2-1/4"jet nozzle BHA. 7. Displace well fluids with Nitrogen to kick off production. a. Estimated volume of displaced 6% KCI is 135 bbl. 8. POOH w/coil. LD 2-1/4"jet nozzle BHA. 9. RD Coiled Tubing. 10. Turn well over to production. E-Line Contingency Procedure (If well does not kick off from x sand) 11. MIRU e-line and PT lubricator to 3,000 psi Hi 250 Low. 12. RIH w/CIBP and set at 8,978' and covered with 25' of cement. • • Well Prognosis Well: KBU 31-06X !Wear')Alaska,11,1: Date:9/08/2015 E-Line Procedure 13. MIRU e-line and PT lubricator to 3,000 psi Hi 250 Low. 14. If necessary, bleed pressure down as requested by the RE to establish a drawdown on the formation. 15. Perforate the Tyonek and Beluga sands with 2-7/8" 6 SPF 60 deg phased perf guns. All intervals are planned for 12 SPF so each will be shot twice. Depths are from the Halliburton LWD log dated September 4th, 2015. Send the correlation pass to Taylor Nasse and Jacob Dunston for confirmation. Proposed Perforated Intervals Sands Top (MD) Btm (MD) FT Lower Beluga LB 3A ±8,080 ±8,100 ±20 Lower Beluga LB 4 ±8,246 ±8,251 ±5 Lower Beluga LB 4C ±8,358 ±8,373 ±15 Upper Tyonek UT 72-8 ±8,724 ±8,764 ±40 Upper Tyonek UT 73-1 ±8,784 ±8,804 ±20 Upper Tyonek UT 73-2 ±8,839 ±8,854 ±15 Upper Tyonek UT1B ±8,930 ±8,950 ±20 16. POOH. 17. Flow well through test separator and record water and gas rates. • Note: If any of the sands are not commercial, then the zone will be plugged back with a bridge plug or• casing patch. 18. RD e-line. 19. Turn well over to production. Attachments: 1. Actual and Proposed Schematic 2. Coil BOPE Schematic 3. Wellhead Diagram 11 • 41111Well: Gas Field Well: KBU 31-06X SCHEMATIC API #: 50-133-20653-00-00 ink.",:tIa'k�,.i.i.tPTD: 215-127 u RKB:MSL=18.90' ti , CASING DETAIL Size Type Wt/Grade/Conn ID Top Btm 13-3/8" Conductor- 72#/L-80/Weld 12.347" Surf 138' Driven 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' 13-3/8" ej6, f •C ,`: JEWELRY DETAIL • "• No Depth Item r; • PROPOSED Kenai Gas Field Well: KBU 31-06X SCHEMATIC API #: 50-133-20653-00-00 Hileorp Alaska,LLCPTD: 215-127 RKB:MSL=18.90' • CASING DETAIL Size Type Wt/Grade/Conn ID Top Btm Conductor- 13-3/8" Driven 72#/L-80/Weld 12.347" Surf 138' 7-5/8" Surface 29.7#/L-80/BTC 6.875" Surf 3,511' • 4-1/2" Production 12.6#/L-80/DWC/C HT 3.958" Surf 9,074' 13-3/8" JEWELRY DETAIL • No Depth Item 1 2,991' Baker Swell Packer Est TOC 2,600 7-5/8" 1 6 RA Tag depths: 5,993' C PERFORATION DETAIL Sands Top(MD) Btm(MD) Top(TVD) Btm(TVD) Date Size Status '. LB 3A ±8,080' ±8,100' 6,731' 6,748' 2-7/8" Proposed LB 4 ±8,246' ±8,251' 6,789' 6,877' 2-7/8" Proposed 7,491 C LB 4C ±8,358' ±8,373' 6,970' 6,983' 2-7/8" Proposed UT 72-8 ±8,724' ±8,764' 7,292' 7,327' 2-7/8" Proposed UT 73-1 ±8,784' ±8,804' 7,345' 7,363' 2-7/8" Proposed UT 73-2 ±8,839' ±8,854' 7,394' 7,407' 2-7/8" Proposed 8,194' c UT1B ±8,930' ±8,950' 7,474' 7,491' 2-7/8" Proposed UT1D ±9,042' ±9,078' 7,572' 7,604' 2-7/8" Proposed 8,820 C - Proposed 5ft of open formation aur" TD=9,085'MD/7,611'TVD PBTD=9,085'MD/7,611'ND Updated by CAH 09-08-15 Kenai Gas Field COIL BOPS KBU 31-06X 09/08/2015 111.-,. X1,.1„ I It KBU 31-06X 133/8 X75/8 X4% Coil Tubing BOP Lubricator to injection head C 71 17 1.75"Tandem Stripper I 1 1 f II! 1 .111111 ,, i_A 1/16 10 - •I,'•� ' I Blind/Shear 11.11 _Ielind/Shear 's111 — � moi IF1)-1.1111 i Blind/Shear Blind/Shear -1 -- Milli_ - C roof _- EllC: - _ Slip Slip F Slip ,I,I J ! =Ns- .... - m- Mud Cross 0'11111 Pipe ■= =_ Pipe IIII' 4 1/16 10M X 4 1/16 10M a Outlet 1/16 full opening FMC valves valveses 1111 o 0 m mmm 0 I .Manual Manual Manual 1Aanual 2 1/16 10M 2 1/16 10M5:131:1 2 1/16 10M 2 /1610M Crossover spool �T �'•\� ��1 4 1/16 10M X 4 1/16 5M I \� ( c-I11'q)5�ta\�ed Valve,Swab,WKM M, �e� bet 3 ,Xs �c Nl�� �� fat ���s��4 1/16 5M FE, HWO,EE trim Ar 112' SSJ, dta� taro1!G :, (-7 ---'--Th c ��• •, I MI ' Valve,WKM-M, wT CIW-FC,4 1/16 5M FE, HWO, �'r'\0' EE trim I Valve, Lower Master,WKM-M, <' ►tU�� 4 1/16 5M FE, HWO,EE trim • 1Ic ,I111 MI nim 1 ]— Grade Level • • • •. Kenai Gas Field KBU 31-06X Current 09/08/2015 1111 „rir %i:1.1..i.1.1.1 Kenai Gas Field Casing hanger,CW,11 x 4 KBU 31-06X DWC/C box btm x 6.125"RH 13 3/8 x 7 5/8 x 4 y, stub acme box top,w/7 5/8 od neck,4"type H BPV profile,DD-NL material BHTA,Otis,41/1.6 5M FE x 6.5 Otis quick union top p o 0 I TTicir O,�0'0�Il•-11111 Valve,Swab,WKM-M 41/165M FE,HWO, MA N0.) EE trim V_ Valve,Wing,WKM-M, Valve,SSV,Barber,3 1/8 5M IC * 3 1/8 5M FE,HWO, FE,w/Barber Hydraulic self r795 X11 rim EE trim contained operator ■ � ■ '1 1c S � I i rI i li \: H �_% €— Valve,WKM-M, O 0 CIW-FC,41/165M FE,HWO, EE trim 0) 11 11 111111 7 C. Valve,Master,WKM-M, �' ©, 41/16 5M FE,HWO, EE trim 0) 0 Lan 1..1111 i r gjr -,— — 1 IV 11* tui il_m-- 11111 ,Tubing head,Cactus C-29L- \ ).,/ i HPS,135/83Mx115M,w/ �� F 2-2 1/16 5M 55O I �i, 0/• i _ Starting head,Cactus C-29L,_ la 11. ] " Th., 135/83M x 133/8 SOW,w/ 2-2 1/16 5M SSO 1, 75/8 casing set on - SMI A emergency slips ( 1 ,.,;11,-. '-----r. i i V 4—( 14,1'—' _ III -. ..nr. SII II'I 13 3/8" 7 5/8" �%„ • • • Schwartz, Guy L (DOA) From: Taylor Nasse <tnasse@hilcorp.com> Sent: Monday, September 14, 2015 3:19 PM To: Schwartz, Guy L(DOA) Cc: Davies, Stephen F (DOA); Donna Ambruz Subject: RE: KBU 31-06X CT millout(PTD 215-127) Hi Guy- Correct—we plan to run only GR on the UT1B sand after milling the shoe track in order to identify thickness and then perforate and test it. If it doesn't produce or produces water,then we'll set a plug and continue perforating. Thanks for the clarification on the millout depth. We will plan on stopping at 9,080'. Taylor W. Nasse, PE Operations Engineer Kenai Asset Team Hilcorp Alaska, LLC (907)777-8354 office (907)903-0341 cell From: Schwartz, Guy L(DOA) [mailto:guy.schwartz@alaska.gov] Sent: Friday, September 11, 2015 10:21 AM To: Taylor Nasse Cc: Davies, Stephen F (DOA) Subject: KBU 31-06X CT millout (PTD 215-127) Talyor, In your sundry request(315-556)you requested to millout the shoe track and additional 5 ft of openhole with service coil. The AOGCC will not approve drilling new OH with service coil. You may drill through shoe track and to the original TD of 9080 ft and no further. Are you only using a-line Gamma ray to access the UT1B position ... planning on any evaluation logs for water saturation before perforating? Regards, Guy Schwartz Senior Petroleum Engineer AOGCC 907-301-4533 cell 907-793-1226 office CONFIDENTIALITY NOTICE:This e-mail message,including any attachments,contains information from the Alaska Oil and Gas Conservation Commission(AOGCC),State of Alaska and is for the sole use of the intended recipient(s).It may contain confidential and/or privileged information.The unauthorized review,use or disclosure of such information may violate state or federal law.If you are an unintended recipient of this e-mail,please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Guy Schwartz at(907-793-1226)or(Guy.schwartznala_ska.gov). 1 x, ®F 7'll • • 4,;(s %%isA THE STATLE Alaska Oil and Gas Of Conservation Commission 4tt-t-t333 West Seventh Avenue GOVERNOR BILL WALKER Anchorage, Alaska 99501-3572 of Main: 907.279.1433 41,14.6* Fax: 907.276.7542 www.aogcc.alaska.gov Monty M Myers Drilling Engineer Hilcorp Alaska, LLC 3800 Centerpoint Drive, Suite 1400 Anchorage, AK 99503 Re: Kenai Gas Field, Beluga/Upper Tyonek Gas Pool, Tyonek Gas Pool 1, KBU 31-06X Hilcorp Alaska, LLC Permit No: 215-127 Surface Location: 570' FNL, 758' FEL, SEC. 7, T4N, R11 W, SM, AK Bottomhole Location: 974' FNL, 1578' FEL, SEC. 6, T4N, Rl 1 W, SM, AK Dear Mr. Myers: 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 AOGCC 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 AOGCC 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 an AOGCC order, or the terms and conditions of this permit may result in the revocation or suspension of the permit. Sincerely, Cathy P. oerster Chair DATED this W day of August, 2015. riC .iG5 v L.11.41 STATE OF ALASKA JUL 2 1 2015 ALA.OIL AND GAS CONSERVATION COMMI PERMIT TO DRILL AOGCC 20 AAC 25.005 la.Type of Work: lb. Proposed Well Class: Development-Oil ❑ Service- Winj ❑ Single Zone ❑✓ . 1c.Specify if well is,proposed for: Drill E- Lateral ❑ Stratigraphic Test ❑ Development-Gal 0 • Service-Supply ❑ Multiple Zone ❑ Coalbed Gas ❑ Gas Hydrates LI Redrill❑ Reentry ❑ Exploratory ❑ Service- WAG ❑ Service-Disp ❑ Geothermal ❑ Shale Gas ❑ 2.Operator Name: 5. Bond: • Blan<et ❑ Single Well ❑ 11.Well Name and Number: Hilcorp Alaska, LLC Bond No. 022035244 • Kenai Beluga Unit(KBU)31-06X ' 3.Address: 6.Proposed Depth: 12.Field/Pool(s): 3800 Centerpoint Drive,Suite 1400,Anchorage AK 99503 MD: 9,390' • TVD: 7,575' • Kenai Gas Field 4a. Location of Well(Governmental Section): 7.Property Designation(Lease Number): Beluga/Upper Tyonek Gas Pool • Surface: 570'FNL,758'FEL,Sec 7,T4N, R11W,SM,AK • FEE A028142 ' Tyonek Gas Pool 1 Top of Productive Horizon: 8. Land Use Permit: 13.Approximate Spud Date: 1570'FSL, 1611'FEL,Sec 6,T4N,R11W,SM,AK N/A 8/15/2015 ' Total Depth: 9.Acres in Property: 14.Distance to Nearest Property: 974'FNL,1578'FEL,Sec 6,T4N,R11W,SM,AK 2492 3352' 4b.Location of Well(State Base Plane Coordinates-NAD 27): 10.KB Elevation above MSL: 83.5 feet •15. Distance to Nearest Well Open Surface:x -275141.85 ' y- 2361440.35 • Zone-4 • GL Elevation above MSL: 65.5 feet - to Same Pool: 1242' 16.Deviated wells: Kickoff depth: 250 feet 17. Maximum Anticipated Pressures in psig(see 20 AAC 25.035) Maximum Hole Angle: 47.7 degrees . Downhole: 2500 psi _ Surface: 1742 psi • 18.Casing Program: Specifications Top - Setting Depth - Bottom Cement Quantity,c.f.or sacks Hole Casing Weight Grade Coupling Length MD TVD MD TVD (including stage data) Driven 13-3/8" 72# L-80 Weld 120' Surf Surf 120' . 120' Driven 9-7/8" 7-5/8" 29.7 L-80 BTC 3,500' Surf Surf 3,500' . 2,940'' Lead 1150.4 ft3/Tail 182 ft3 6-3/4" 4-1/2" 12.6 L-80 DWC/C 9,390' Surf Surf 9,390' . 7,575' Tail 1321.5 ft3 19. PRESENT WELL CONDITION SUMMARY(To be completed for Redrill and Re-Entry Operations) Total Depth MD(ft): Total Depth TVD(ft): Plugs(measured): Effect. Depth MD(ft): Effect. Depth TVD(ft): Junk(measured): Casing Length Size Cement Volume MD TVD Conductor/Structural Surface Intermediate Production Liner Perforation Depth MD(ft): Perforation Depth TVD(ft): 20. Attachments: Property Plat ✓❑ BOP Sketcf j Drilling Program ❑� Time v.Depth Plot ❑✓ Shallow Hazard Analyss❑ Diverter Sketcf ❑ Seabed Report ❑ Drilling Fluid Program ❑✓ 20 AAC 25.050 requiremens❑✓ 21. Verbal Approval: Commission Representative: Date 22. I hereby certify that the foregoing is true and correct. Contact Monty M Myers Email mmyers@hilcorp.com Printed Name Monty M Myers Title Drilling Engineer Signature ----\. Phone 907.777.8431 Date 7/21/2015 Commission Use Only Permit to DrillAPI Num . � Permit Approval ,3 I(vIf / See cover letter for other Number: < ( S.-- ( 7 50-( 3 Z.,C�<c;5 C.V-L£crate: ` !� requirements. Conditions of approval: If box is checked,well may not be used to explore for,test,or produce coalbed methane,gas hydrates, RI/or gas contained in sh: Other: 35-Do , ' �3Cif' . )' sf Samples req'd: Ye;P NvI �')y„,'`' Mud log req'd:Yes❑ No[, b,--.....-4-,--- /\ �� A� HZS measures: Yes I J WIZ '1` Directional svy req'd:Yts❑ No❑ 74- wccc�J re-i__ 5.03 ^(1.4374g exception req'd: Y6❑ No 121/ Inclination-only svy req'd:Yes❑ IJoRr �5 a3� A Cor...._ it4 IT- TA rt «- -.e. APPROVED BY Approved by: /9COMMISSIONER THE COMMISSION Date: g-6- /s W /,1 Submit Form and Form 10-401(Revised 10/2012) V T i r i v It r nths from the date of approval(20 AAC 5.005(0)) Attachments in, uplicate •r C/z�/7- 7 4Z. /,sem • Monty Myers Hilcorp Alaska, LLC Drilling Engineer • 3800 Centerpoint Drive Suite 1400 Anchorage,AK 99503 Tel 907 777 8431 Hilrm p Alasl.a,LLI: Email mmyers@hilcorp.com 7/21/2015 Commissioner RECEIVED Alaska Oil &Gas Conserv4tion Commission JUL 2 1 2015 333 W. 7th Avenue Anchorage, Alaska 99501 AOGCC Re: Permit to Drill KBU (Kenai Beluga Unit) 31-06X Dear Commissioner, Enclosed for review and approval is the application for the Permit to Drill the KBU 31-06X Development gas well. KBU 31-06X is an S-shaped directional grassroots development well to be drilled off of the KGF 41-7 pad. Reservoir analysis and subsurface mapping has identified an optimal location for infill development of the Upper Tyonek sands, - as well as an area with little to no production in the Middle and Upper Beluga sands. - Drilling operations are expected to commence approximately August 15th, 2015. - The Saxon Rig# 169 will be used to drill and complete the wellbore. A separate 10-403 sundry will be submitted prior to completion operations. The 10-401 PTD covers all operations up to running and cementing the 4-1/2" long string. If you have any questions, please don't hesitate to contact myself at 777-8431 or Paul Mazzolini at 777-8369. Sincerely, Monty Myers Drilling Engineer Hilcorp Alaska, LLC Page 1 of 1 s-+r-ifs-= It ■ • • Hilcorp Alaska, LLC KBU 31-06X Drilling Program Kenai Gas Field Rev 0 July 14th, 2015 • • KBU 31-06X Drilling Procedure Hilcorp Energy Company Contents 1.0 Well Summary 2 2.0 Management of Change Information 3 3.0 Tubular Program: 4 4.0 Drill Pipe Information: 4 5.0 Internal Reporting Requirements 5 6.0 Planned Wellbore Schematic 6 7.0 Drilling/Completion Summary 7 8.0 Mandatory Regulatory Compliance/Notifications 8 9.0 R/U and Preparatory Work 10 10.0 N/U 13-3/8" Conductor Riser 11 11.0 Drill 9-7/8"Hole Section 13 12.0 Run 7-5/8" Surface Casing 17 13.0 Cement 7-5/8" Surface Casing 19 14.0 BOP N/U and Test 22 15.0 Drill 6-3/4"Hole Section 23 16.0 Run 4-1/2"Production Casing 28 17.0 Cement 4-1/2"Production Casing 31 18.0 RDMO 34 19.0 BOP Schematic 35 20.0 Wellhead Schematic 36 21.0 Days Vs Depth 37 22.0 Geo-Prog 38 23.0 Anticipated Drilling Hazards 39 24.0 Saxon Rig 169 Layout 41 25.0 FIT Procedure 42 26.0 Choke Manifold Schematic 43 27.0 Casing Design Information 44 28.0 6-3/4"Hole Section MASP 45 29.0 Spider Plot(NAD 27)(Governmental Sections) 46 30.0 Surface Plat(NAD 27) 47 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 1.0 Well Summary Well KBU 31-06X • Pad& Old Well Designation KBU 31-06X is a grass roots well on KGF 41-7 Pad Planned Completion Type 4-1/2"Production tubing Target Reservoir(s) Beluga/Tyonek Planned Well TD, MD/TVD 9,390 MD/7,575' TVD PBTD,MD/TVD 9,300' MD/7,497' TVD Surface Location(Governmental) 570' FNL, 758' FEL, Sec 7, T4N,R11W, SM,AK Surface Location(NAD 27) X=275141.85, Y=2361440.35 . Surface Location(NAD 83) Top of Productive Horizon (Governmental) 1570' FSL, 1611' FEL, Sec 6, T4N, R11W, SM, AK TPH Location(NAD 27) X=274367.33, Y=2363481.34 TPH Location(NAD 83) BHL(Governmental) 974' FNL, 1578' FEL, Sec 6, T4N,R11W, SM,AK BHL(NAD 27) X=274446.55,Y=2366311.52 BHL(NAD 83) AFE Number 1511702D AFE Drilling Days 4 MOB, 17 DRLG AFE Completion Days AFE Drilling Amount $3,415,572 AFE Completion Amount $400,0.00 Maximum Anticipated Pressure i (Surface) 1742 psi Maximum Anticipated Pressure (Downhole/Reservoir) 2500 psi Work String N---4.71/27_1b-,64 --135 CDS-40 (Saxon Owned String) RKB—GL 83.5'(65.5 + 18) ' Ground Elevation 65.5' BOP Equipment 11" 5M T3-Energy Annular BOP 11" 5M T3-Energy Double Ram 11" 5M T3-Energy Single Ram Page 2 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 2.0 Management of Change Information Hilcorp Alaska, LLC Hilcorp Enemy comp sy Changes to Approved Permit to Drill Date: Subject: Changes to Approved Permit to Drill for KBU 31-06X File#: KBU 31-06X Drilling Program Any modifications to KBU 31-06X Drilling Program will be documented and approved below Changes to an approved APD will be communicated to and approved by AOGCC before making the change Sec Page Date Procedure Change Approved Approved By By • Approval: Drilling Manager Date Prepared Drilling Engineer Date Page 3 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 3.0 Tubular Program: Hole OD(in) ID (in) Drift Conn Wt Grade Conn Burst Collapse Tension Section (in) OD (in) (#/ft) ; (psi) (psi) (k-lbs) -( Cond 13-3/8" 12.347" 12.191" 14.375" 72 L-80 Weld 5380- 2660 - 9-7/8" 7-5/8" 6.875" 6.75" 8.5" 29.7 L-80 BTC 6890 4790 .a'rr 6,i(5 6-3/4" 4-1/2" 3.958" 3.833" 5.0" 12.6 L-80 DWC/C HT 8430• 7500 288 4.0 Drill Pipe Information: Hole OD (in) ID (in) TJ ID TJ OD Wt Grade Conn Burst Collapse Tension Section (in) (in) (#/ft) (psi) (psi) (k-lbs) All 4-1/2" 3.826 2.6875" 5.25" 16.6 S-135 CDS40 17,693 16,769 468k All casing will be new, PSL 1 (100%mill inspected, 10% inspection upon delivery to TSA in Fairbanks). Page 4 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 5.0 Internal Reporting Requirements 5.1 Fill out daily drilling report and cost report on Wellez. • Report covers operations from 6am to 6am • Click on one of the tabs at the top to save data entered. If you click on one of the tabs to the left of the data entry area—this will not save the data entered, and will navigate to another data entry tab. • Ensure time entry adds up to 24 hours total. • Try to capture any out of scope work as NPT. This helps later on when we pull end of well reports. 5.2 Afternoon Updates • Submit a short operations update each work day to pmazzolini@hilcorp.com, Ikeller@hilcorp.com,mmyers@hilcorp.com and cdinger@hilcorp.com 5.3 Intranet Home Page Morning Update • Submit a short operations update each morning by 7am on the company intranet homepage. On weekend and holidays, ensure to have this update in before 5am. Each rig will be assigned a username to login with. 5.4 EHS Incident Reporting • Notify EHS field coordinator. 1. This could be one of(3) individuals as they rotate around. Know who your EHS field coordinator is at all times, don't wait until an emergency to have to call around and figure it out!!!! a. John Coston: 0: (907)777-6726 C: (907)227-3189 b. Mark Tornai: 0: (907)283-1372 C: (907)748-3299 c. Thad Eby: 0: (907) 777-8317 C: (907)602-5178 2. Spills: Julieanna Orczewska: 0:907-777-8444 C:907-715-7060 • Notify Drlg Manager 1. Paul Mazzolini: 0: 907-777-8369 C: 907-317-1275 • Submit Hilcorp Incident report to contacts above within 24 hrs 5.5 Casing Tally • Send final "As-Run"Casing tally to mmyers@hilcorp.com and cdinger@hilcorp.com 5.6 Casing and Cmt report • Send casing and cement report for each string of casing to mmyers@hilcorp.com and cdinger@hilcorp.com Page 5 Version 0 June,2015 • • t _ i KBU 31-06X Drilling Procedure _ Rev 0 Hilcorp Energy Company 6.0 Planned Wellbore Schematic Kenai Gas Field II PROPOSED Well KBU 031-06X PTD: 000-000 API: 50-000-00000-00 CASING DETAIL I3 8" Size Type Wt Grade Co . ID Top Btm € Mud Corm. Weight Conductor—Driven 13-3/r 72 1-80 Weld 12.347" Surf 120', N/A to Set Depth 7-5/8" _Surf Csg 29.7 L-80 rc 8TC 6.875" Surf 3,500'• 8.8 ppg DWC i 4-1/2" Prod Csg 12.6w 1-80 '/C 3958" Surf 9,390' 1 10A ppg 1 04 I elf 7 `' ' 1 51,0a ,i/•L 0` Drilling Info ' Hole Section I Casing MW Workstring i 1-( 4 fr Sterling c 2 7/ « 9 8' 7-5/r 8 S ppg 41/2" sling Parol 6 6-3/4' 4-1/2"_....,.9 5-10.5 ppg 4-1/2" I._pper Beluga ie 44 ' A %lid Beluga t 6-3/4" i" ff';a, I RV' Tp tt Hole l''''*.* "o. .... 1 3,000' 1 3.958' 6.875" Baker Swell Packer Ps Lwr Beluga 5 4a ` 't ry V, "' € a Upr Tyonck F x *i 4-142"' t.. ". a , PRIM—9,31111'1 PITV D—7,497' TD—9,3941'/TVD—7575' Page 6 Version 0 June, 2015 1 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 7.0 Drilling / Completion Summary KBU 31-06X is an S-shaped directional grassroots development well to be drilled off of the KGF 41-7 pad. Reservoir analysis and subsurface mapping has identified an optimal location for infill development of the Upper Tyonek sands, as well as an area with little to no production in the Middle and Upper Beluga sands. The base plan is a directional wellbore with a kick off point at 250' MD. Maximum hole angle will be 47 deg. and TD of the well will be 9390' TMD/7575' TVD, ending with 30 deg inclination left in the hole. Vertical section will be 4875 ft. The closest industrial water well that will be used is on pad 41-18 in the Kenai Gas Field, and is the Kenai B- 4. The hole depth is 100' with the water level at 96', and the chlorides are around 1200 ppm. Arsenic levels came in at 11.8 parts per billion, which is over the EPA limit for the naturally occurring substance. Total gas levels from offset mud logs begin to register at depths as shallow as 175'. The closest domestic water well is the Kenai B-4 KS01, located on the eastern flank of the field,which draws its water from a depth of 268' • and has chlorides around 2000 ppm. • Drilling operations are expected to commence approximately August 15th 2015. The Saxon Rig# 169 will be used to drill the wellbore then run casing and cement. • Surface casing will be run to 3,500 MD / 2,940' TVD and cemented to surface to ensure protection of any shallow freshwater resources. Cement returns to surface will confirm TOC at surface. If cmt returns to • surface are not observed, a Temp log will be run between 6— 18 hrs after CIP to determine TOC. Necessary remedial action will then be discussed with AOGCC and BLM authorities. All waste & mud generated during drilling and completion operations will be hauled to the Kenai Gas Field G&I facility for disposal/beneficial reuse depending on test results. General sequence of operations: 1. MOB Saxon Rig# 169 to well site 2. N/U conductor riser. (No diverter, diverter waiver requested) ✓"' 3. Drill 9-7/8" hole to 3500' MD. Run and cmt 7-5/8" surface casing. • 4. ND conductor riser,N/U & test 11"x 5M T3-Energy BOP. 5. Drill 6-3/4" hole section to 9,390' MD. Perform Wiper trip. 6. Perform RFT logging • 7. POOH laying down drill pipe. 8. Run and cmt 4-1/2"production casing . 9. N/D BOP,N/U temp abandonment cap, RDMO. Reservoir Evaluation Plan: 1. Surface hole: GR+Res LWD. • 2. Production Hole: GR+Res+Den/Neu LWD. • 3. Mud loggers from surface casing point to TD. Page 7 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 8.0 Mandatory Regulatory Compliance / Notifications Regulatory Compliance Ensure that our drilling and completion operations comply with the below AOGCC regulations. If additional clarity or guidance is required on how to comply with a specific regulation, do not hesitate to contact the Anchorage Drilling Team. • BOPs shall be tested at(2) week intervals during the drilling of KBU 31-06X. Ensure to provide AOGCC 24 hrs notice prior to testing BOPs. BLM requires 48 hrs notice prior to testing. • The initial test of BOP equipment will be to 250/3500 psi & subsequent tests of the BOP equipment will be to 250/3500 psi for 10/10 min(annular to 50%rated WP, 2500 psi on the high test for initial and subsequent tests). Confirm that these test pressures match those specified on the APD. • If the BOP is used to shut in on the well in a well control situation, we must test all BOP components utilized for well control prior to the next trip into the wellbore. This pressure test will be charted same as the 14 day BOP test. • All AOGCC regulations within 20 AAC 25.033 "Primary well control for drilling: drilling fluid program and drilling fluid system". • All AOGCC regulations within 20 AAC 25.035 "Secondary well control for primary drilling and completion: blowout prevention equipment and diverter requirements" • Ensure both AOGCC approved drilling permit and BLM sundry are posted on the rig floor and in Co Man office. Regulation Variance Requests: • Diverter waiver requested due to the recent drilling of KDU 10 nearby(-175' away). No issues were . experienced while drilling the surface hole. Surface casing for KDU 10 was set at 3000' TVD. Surface casing is requested to be set at 2,940' TVD on KBU 31-06X. No shallow hydrocarbon zones will be penetrated. Page 8 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company Summary of BOP Equipment and Test Requirements Hole Section Equipment Test Pressure(psi) 9-7/8" • No diverter utilized n/a • 11"x 5M T3-Energy(Model 7082)Annular BOP • 11"x 5M T3-Energy Double Ram Initial Test:250/3500 o Blind ram in btm cavity (Annular 2500 psi) • Mud cross 6-3/4" • 11"x 5M T-3 Energy Single Ram • 3-1/8"5M Choke Line Subsequent Tests: • 2-1/16"x 5M Kill line 250/3500 • 3-1/8"x 2-1/16"5M Choke manifold (Annular 2500 psi) • Standpipe,floor valves,etc • Primary closing unit: Control Technologies accumulator unit, 5 station, 120 gallon(12 x 11 gal bottles). • Primary closing hydraulic pressure is provided by an electrically driven triplex pump. Emergency pressure is provided by bottled nitrogen. Required AOGCC Notifications: • Well control event(BOPS utilized to shut in the well to control influx of formation fluids). • 24 hours notice prior to spud. • 24 hours notice prior to testing BOPs. • 24 hours notice prior to casing running & cement operations. • Any other notifications required in APD. Additional requirements may be stipulated on APD and Sundry. Regulatory Contact Information: AOGCC Jim Regg/AOGCC Inspector/(0): 907-793-1236/Email:jim.regg(a,alaska.gov Guy Schwartz/Petroleum Engineer/(0): 907-793-1226/(C): 907-301-4533 /Email:guy.schwartz@alaska.gov Victoria Loepp/Petroleum Engineer/(0): 907-793-1247/Email: victoria.loepp@alaska.gov Primary Contact for Opportunity to witness: AOGCC.Inspectors@alaska.gov Test/Inspection notification standardization format: http://doa.alaska.gov/ogc/forms/TestWitnessNotif.html Notification/Emergency Phone: 907-793-1236 (During normal Business Hours) Notification/Emergency Phone: 907-659-2714 (Outside normal Business Hours) Page 9 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 9.0 R/U and Preparatory Work 9.1 Set 13-3/8" conductor at+/-120' below ground level. 9.2 Dig out and set impermeable cellar. 9.3 Install Seaboard slip-on 16-3/4" 3M "A" section. Ensure to orient wellhead so that tree will line up with flowline later. 9.4 Level pad and ensure enough room for layout of rig footprint and R/U. 9.5 Layout Herculite on pad to extend beyond footprint of rig. 9.6 R/U Saxon Rig# 169, spot service company shacks, spot& R/U company man&toolpusher offices. 9.7 Mud loggers not required on surface hole section. 9.8 After rig equipment has been spotted, R/U handi-berm containment system around footprint of rig. 9.9 Mix mud for 9-7/8" hole section. 9.10 Install 5-1/2" liners in mud pumps. • TSM 1000 mud pumps are rated at 3633 psi (85%)/333 gpm (100%) with 5-1/2" liners. Page 10 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 10.0 N/U 13-3/8" Conductor Riser 10.1 N/U 13-3/8" Conductor Riser • Ensure line does not direct flow from trip tank straight down the flowline. Fill up line and flowline should be oriented 90 degrees to each other at approx. the same height. • Ensure flowline outlet installed so that enough slope exists to carry cuttings to the shakers. • Consider adding additional drainage points at the bottom of the conductor riser if deemed necessary. • R/U fill up line to conductor riser. 10.2 Set wearbushing in wellhead. Page 11 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 10.3 Ri 1 Orientation on KGF 41-7 gad: . I.„-1,Ef! II .. ,' 3 lip* ;{+",tR ,,,,,,,,,, , ,SKI }14 o o pl. ',+ , F3ns�5 17Ii� act• 7 , Kenai Unit I in� KGF Pad 41-7moinginimi 0 Page 12 Version 0 June, 2015 • • 11 KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 11.0 Drill 9-7/8" Hole Section 11.1 P/U 9-7/8" directional drilling assy: • Ensure BHA components have been inspected previously. • Drift and caliper all components before M/U. Visually verify no debris inside components that cannot be drifted. • Ensure TF offset is measured accurately and entered correctly into the MWD software. • Have DD run hydraulics calculations on site to ensure optimum nozzle sizing. Hydraulics calculations and recommended TFA is attached below. • Workstring will be 4.5" 16.6# S-135 CDS40 11.2 9-7/8" BHA (GR and Res are included in below BHA): COMPONENT DATA Item Description�� Serial umber 9e " Top ' 'Lengtfii Cumulative # (in (€n) (in) (Ibpf} Connection" (ft) Length (tt) 1 9-7/8" PDC 6.020 2.250 9.875 83.45 P 4-1/2"REG 0.89 0.89 2 T SperryDrill Labe 7f8-7.5 stg 7.000 4.952 95.69 B 4-1.2"IF 30.00 30.89 Stabilizer -__ 9.625 _--_ 3 6-3.'4"Integral Blade 9 3+4" 6.760 2.500 9.750 105.59 B 4-1;2"IF 6.99 37.88 4 6-34"Float Sub 6.800 2.375 108.67 B 4-1/2"IF 3.00 40.88 5 6 3i4-DM Collar[Directional) 6.720 3.125 103.40 B 4-1;2"IF 9.20 50.08 6 6 3/4"DGR Collar(Gamma) i 6.710 1.920 97.80 B 4-1/2"IF 6.50 56.58 7 6 3.:4"EWR-P4 Collar(Resistivity) • 6.710 2.000 104.30 B 4-1;2"IF 12.00 68.58 8 6 3/4"PWD Collar(Pressure) 6.720 1.905 96.30 B 4-112"IF 4.44 73.02 9 6 3r4"HCIM Collar(Processor) 6.750 1.920 101.70 B 4-112"IF 6.50 79,52 10 6 14"TM Collar(Telemetry) 6.550 3.250 103.60 B 4-112"IF 9.90 89.42 11 6.75"NM Flex Collar 6.450 2.875 _ 89.23 B 4-1 2"IF 30.00 119.42 12 X-Over Sub 4-112 IF x CDS 40 6.450 2.625 92.91 B 4.540CDS 3.00 13 3 its 4-1.2"HWDP 4.500 2.813 36.86 93.00 215.42 14 X-Over Sub CDS 40 x 4-1.2 1F 6.300 2.625 87.79 B 4-112"IF 3.00 218.42 15 6-1;4"Weatherford Jar 6.270 2.250 91.68 B 4-1,2"IF 30.00 248.42 16 X-Over Sub 4-1/2 IF x CDS 40 6.230 2.625 85.44 B 4.5"CDS40 3 00 251.42 17 5 its 4-1.'2"HWDP 4.500 2.813 36.86 15500 406.42 ti$,5 406.42 Page 13 Version 0 June, 2015 • • ",1.1 KBU 31-06X 1' Drilling Procedure A =: :'.. Rev 0 Hilcorp Energy Company 11.3 Primary Bit: 9-718" (251rttfrl) MM65 PRODUCT SPECIFICATIONS Cutter Type SelectCutter •; IADC Code M323 Body Type MATRIX ✓ Total Cutter Count 46 al Cutter Distribution 1:liva Jyplp4 41v* ., y Face a 21 Gauge 12 ns la Up Drill 6 a . ,� Number of Large Nozzles 6 Number of Medium Monks 0 Number of Small Nozzles 0 Number of Micro Nozzles 0 ' r Number of Ports(Size) 0 Number of Replaceable Ports(Sine) 0 Junk Slot Area(sq in) 16.71 Normalized Face Volume 45.49% API Connection 4-1;2 REG.PIN Recommended Make.Up Torque' 12.461—17,766 Ft•Ibs. Nominal Dimensions•• Make-Up Face to Nose 10.81 in-275 atm Gauge Length 2.5 in-64 mm Sleeve Length 0 in-0 nen Shank Diameter 6 in-152 nen Break Out Plate(Mat.k.Legacyk) 411194144040 Approximate Shipping Weight 25OLbs.-113Kg. SPECIAL FEATURES Up-Drill Cutters on Gage Pads.,1116"Relieved Gage Material#771827 *Bit specific recommended makeup torque is a function oldie bit 1.0.and actual bit tab O.D.tnlilieed as specified in API RP7G Section A.S.2. **Minn dimensions am nominal atxl may vary slightly on manufactured product.Halliburton[kill Bits anti Services models are continitugly reviewed and refined. Product specifications may change without notice. 0 2013 Halliburton.All rights reserved-Saks of Halliburton products and services will be in accord solely with the terms and conditions contained in the contract between Halliburton and the customer that is applicable to the sale. www.halliburton-com Page 14 Version 0 June, 2015 • •• KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 11.4 4-1/2" Workstring & HWDP will come from Saxon. Jars will come from Weatherford. 11.5 Begin drilling out from 13-3/8" conductor at reduced flow rates to avoid broaching the . conductor. 11.6 Drill 9-7/8" hole section to 3,500' MD/2,940' TVD. Confirm this setting depth with the geologist and Drilling Engineer while drilling the well. • Pump sweeps and maintain mud rheology to ensure effective hole cleaning. • Pump at 500 - 550 gpm. Ensure shaker screens are set up to handle this flowrate. • Utilize Inlet experience to drill through coal seams efficiently. Coal seam log will be provided by Hilcorp Geo team. • Keep swab and surge pressures low when tripping. • Make wiper trips every 500' or every couple days unless hole conditions dictate otherwise. • Ensure shale shakers are functioning properly. Check for holes in screens on connections. • Adjust MW as necessary to maintain hole stability. • TD the hole section in a good shale between 3400' MD and 3600' MD. • Take MWD surveys every stand drilled (60' intervals). . 11.7 9-7/8" hole mud program summary: Weighting material to be used for the hole section will be barite. Additional barite will be on location to weight up the active system (1) ppg above highest anticipated MW. We will start with a simple gel+ FW spud mud at 8.8 ppg. Pason PVT will be used throughout the drilling and completion phase. Remote monitoring stations will be available at the driller's console, Co Man office, Toolpusher office, and mud loggers office. System Type: 8.8—9.5 ppg Pre-Hydrated Aquagel/freshwater spud mud Properties: Depths Density , Viscosity Plastic Viscosity Yield Point API FL pH 120-3500' 8.8—9.5 •, 85-150 20 40 25 45 <10 8.5-9.0 Page 15 Version 0 June, 2015 int • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company System Formulation: Aquagel + FW spud mud Product Concentration Fresh Water 0.905 bbl soda Ash 0.5 ppb AQUAGEL 12-15 ppb caustic soda 0.1 ppb (9 pH) BARAZAN D+ as needed BAROID 41 as required for weight PAC-L/DEXTRID LT if required for<12 FL ALDACIDE G 0.1 ppb X-TEND II 0.02 ppb 11.8 At TD; pump sweeps, CBU, and pull a wiper trip back to the 13-3/8" conductor shoe. 11.9 TOH with the drilling assy, handle BHA as appropriate. 11.10 No open hole logs are planned for the 9-7/8" hole section. • Page 16 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 12.0 Run 7-5/8" Surface Casing 12.1 R/U and pull wearbushing. 12.2 R/U Weatherford 7-5/8" casing running equipment. • Ensure 7-5/8"BTC x CDS 40 XO on rig floor and M/U to FOSV. • R/U fill-up line to fill casing while running. • Ensure all casing has been drifted on the location prior to running. • Be sure to count the total # of joints on the location before running. • Keep hole covered while R/U casing tools. • Record OD's, ID's, lengths, S/N's of all components w/vendor&model info. 12.3 P/U shoe joint, visually verify no debris inside joint. 12.4 Continue M/U &thread locking shoe track assy consisting of: • (1) Shoe joint w/float shoe bucked on(thread locked). • (1) Joint with coupling thread locked. • (1) Joint with float collar bucked on pin end &thread locked. • Install (2) centralizers on shoe joint over a stop collar. 10' from each end. • Install (1) centralizer, mid tube on thread locked joint and on FC joint. • Ensure proper operation of float equipment. 12.5 Continue running 7-5/8" surface casing • Fill casing while running using fill up line on rig floor. • Use "API Modified"thread compound. Dope pin end only w/paint brush. • M/U connections to the base of the triangle stamped on the pin end. Note M/U torque values required to achieve this position. • After making up several connections, use the torque required to M/U to base of triangle as the M/U torque and continue running string. • Install (1) centralizer every other joint to 300'. Do not run any centralizers above 300' in the event a top out job is needed. • Utilize a collar clamp until weight is sufficient to keep slips set properly. 7-5/8" BTC Estimated M/U Torque Casing OD Est Torque to Reach Triangle Base 7-5/8" 7,630 ft-lbs Page 17 Version 0 June, 2015 • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Enemy Company Casing and Tubing Performance Data PIPE BODY DATA GEOMETRY Outside Diameter 7.625 in Wall Thickness 0.375 in API Drift Diameter 6.750 in Nominal Weight 29.70 lbs/ft Nominal ID 6.875 in Alternative Drift Diameter n.a. Plain End Weight 29.06 lbs/ft Nominal cross section 8.541 in PERFORMANCE Steel Grade L80 Minimum Yield 80,000 psi Minimum Ultimate 95,000 psi Tension Yield 683,000 in Internal Pressure Yield 6,890 psi Collapse Pressure 4,790 psi Available Seamless Yes Available Welded No CONNECTION DATA TYPE: BTC GEOMETRY Coupling Reg OD 8.500 in Threads per in 5 Thread turns make up 1 PERFORMANCE Steel Grade L80 Coupling Min Yield 80,000 psi Coupling Min Ultimate 95,000 psi Joint Strength 721,000 lbs Internal Pressure Resistance 6,890 psi 12.6 Watch displacement carefully and avoid surging the hole. Slow down running speed if necessary. 12.7 Slow in and out of slips. 12.8 P/U casing hanger joint and M/U to string. Casing hanger joint will come out to the rig with the landing joint already M/U. Position the shoe as close to TD as possible. Strap the landing joint while it is on the deck and mark the joint at(1) ft intervals to use as a reference when landing the hanger. 12.9 Lower string and land out in wellhead. Confirm measurements indicate the hanger has correctly landed out in the wellhead profile. 12.10 R/U circulating equipment and circulate the greater of 1 x casing capacity or 1 x OH volume. Elevate the hanger offseat to avoid plugging the flutes. Stage up pump slowly and monitor losses closely while circulating. 12.11 After circulating, lower string and land hanger in wellhead again. Page 18 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 13.0 Cement 7-5/8" Surface Casing 13.1 Hold a pre job safety meeting over the upcoming cmt operations. Make room in pits for volume gained during cement job. Ensure adequate cement displacement volume available as well. Ensure mud& water can be delivered to the cmt unit at acceptable rates. • Pump 20 bbls of freshwater through all of Schlumberger's equipment, taking returns to cuttings bin, prior to pumping any fluid downhole • How to handle cmt returns at surface. • Which pump will be utilized for displacement, and how fluid will be fed to displacement pump. • Positions and expectations of personnel involved with the cmt operation. 13.2 Document efficiency of all possible displacement pumps prior to cement job 13.3 R/U cmt head (if not already done so). Ensure top and bottom plugs have been loaded correctly. 13.4 Pump 5 bbls 10 ppg spacer. Test surface cmt lines. 13.5 Pump remaining 30 bbls of 10 ppg spacer. 13.6 Drop bottom plug. Mix and pump cmt per below recipe. 13.7 Cement volume based on annular volume+ 50% open hole excess. Job will consist of lead& tail, TOC brought to surface. Estimated Total Cement Volume: Section: Calculation: Vol(BBLS) Vol(ft3) 12.0 ppg LEAD: 120' x .0932 bpf= 11.2 63 13-3/8" Conductor x 7-5/8" casing annulus: 12.0 ppg LEAD: (3500' — 120')x .0382 bpf x 193.7 1087.4 9-7/8" OH x 7-5/8" Casing 1.5 = annulus: 40 5 x Total LEAD: 204.9 1150.4 ft3 15.4 ppg TAIL: (3500'-3000')x .0382 bpf x 28.7 161 9-7/8" OH x 7-5/8" Casing 1.5 = annulus: 15.4 ppg TAIL: 80 x .04591 bpf = 3.7 21 7-5/8" Shoe track: Total TAIL: 34.2 bbl 182 ft3 1''1" 5g- Page KPage 19 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company Cement Slurry Design: Lead Slurry (3000' MD to surface) Tail Slurry (3000' to 3500' MD) System Extended Conventional Density 12 lb/gal 15.4 lb/gal Yield 2.46 ft3/sk ✓ 1.22 ft3/sk Mixed Water 14.349 gal/sk 5.507 gal/sk Mixed Fluid 14.469 gal/sk 5.507 gal/sk Code Description Concentration Code Description Concentration G Cement 94#/sk A Cement 94#/sk Additives D110 Retarder 0.15 gal/sk BWOC D046 Anti Foam 0.2% BWOC D046 Anti Foam 0.2% BWOC D065 Dispersant 0.4% BWOC D079 Extender 2.0% BWOC S002 CaCl2 0.35%BWOC D020 Extender 3.0% BWOC D177 CaCl2 0.1% BWOC 13.8 Attempt to reciprocate casing during cement pumping if hole conditions allow. Keep the hanger elevated above the wellhead while working. If the hole gets "sticky", land the hanger on seat and continue with the cement job. 13.9 After pumping cement, drop top plug and displace cement with spud mud. 13.10 Ensure cement unit is used to displace cmt so that volume tracking is more accurate. 13.11 Displacement calculation: 3500'- 80' = 3420' x .04591 bpf= 157 bblsD- 13.12 Monitor returns closely while displacing cement. Adjust pump rate if necessary. If hanger flutes become plugged, open wellhead side outlet in cellar and take returns to cellar. Be prepared to pump out fluid from cellar. Have some sx of sugar available to retard setting of cement. Page 20 Version 0 June, 2015 • S KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 13.13 Do not overdisplace by more than %2 shoe track volume. Total volume in shoe track is 3.7 bbls. • Be prepared for cement returns to surface. If cmt returns are not observed to surface, be prepared to run a temp log between 12— 18 hours after CIP. • Be prepared with small OD top out tubing in the event a top out job is required. The AOGCC will require us to run steel pipe through the hanger flutes. The ID of the flutes is 1.5". 13.14 Bump the plug with 500 psi over displacement pressure. Bleed off pressure and confirm floats are holding. If floats do not hold, pressure up string to final circulating pressure and hold until cement is set. Monitor pressure build up and do not let it exceed 500 psi above final circulating pressure if pressure must be held. 13.15 R/D cement equipment. Flush out wellhead with FW. 13.16 Back out and L/D landing joint. Flush out wellhead with FW. 13.17 M/U pack-off running tool and pack-off to bottom of Landing joint. Set casing hanger packoff. Run in lock downs and inject plastic packing element. 13.18 Lay down landing joint and pack-off running tool. Ensure to report the following on wellez: • Pre flush type,volume(bbls)&weight(ppg) • Cement slurry type, lead or tail, volume&weight • Pump rate while mixing,bpm, note any shutdown during mixing operations with a duration • Pump rate while displacing,note whether displacement by pump truck or mud pumps,weight&type of displacing fluid • Note if casing is reciprocated or rotated during the job • Calculated volume of displacement, actual displacement volume,whether plug bumped&bump pressure, do floats hold • Percent mud returns during job, if intermittent note timing during pumping ofjob. Final circulating pressure • Note if pre flush or cement returns at surface &volume • Note time cement in place • Note calculated top of cement • Add any comments which would describe the success or problems during the cement job Send final "As-Run" casing tally & casing and cement report to cdinger@hilcorp.com and mmyers(a�hilcorp.com. This will be included with the EOW documentation that goes to the AOGCC. Page 21 Version 0 June, 2015 • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 14.0 BOP N/U and Test 14.1 N/U Seaboard multi-bowl wellhead assy. Install 7-5/8"packoff P-seals. Test to 3000 psi. 14.2 N/U 11"x 5M T3-Energy BOP as follows: • BOP configuration from Top down: 11"x 5M T3-Energy annular BOP/11"x 5M T3-Energy Model 6011i double ram/11"x 5M mud cross/11"x 5M T3-Energy Model 6011i single ram • Double ram should be dressed with 2-7/8 x 5" VBRs in top cavity, blind ram in btm cavity. • Single ram should be dressed with 2-7/8 x 5" VBRs • N/U bell nipple, install flowline. • Install (2)manual valves & a check valve on kill side of mud cross. • Install (1)manual valve on choke side of mud cross. Install an HCR outside of the manual valve. 14.3 Run 4-1/2"BOP test assy, land out test plug(if not installed previously). • Test BOP to 250/3500 psi for 10/10 min. Test annular to 250/2500 psi for 10/10 min. • Ensure to leave "B" section side outlet valves open during BOP testing so pressure does not build up beneath the test plug. 14.4 R/D BOP test assy. 14.5 Dump and clean mud pits, send spud mud to G&I pad for injection. 14.6 Mix 9.0 ppg 6% KCL PHPA mud system. 14.7 R/U mud loggers for production hole section. 14.8 Rack back as much 4-1/2"DP in derrick as possible to be used while drilling the hole section. Page 22 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 15.0 Drill 6-3/4" Hole Section 15.1 Pull test plug, run and set wear bushing 15.2 Ensure BHA components have been inspected previously. 15.3 Drift and caliper all components before M/U. Visually verify no debris inside components that cannot be drifted. 15.4 TIH, Conduct shallow hole test of MWD and confirm Gamma Ray and Resistivity LWD functioning properly. 15.5 Ensure TF offset is measured accurately and entered correctly into the MWD software. 15.6 Have DD run hydraulics calculations on site to ensure optimum nozzle sizing. Hydraulics calculations and recommended TFA is attached below. 15.7 Workstring will be 4.5" 16.6# S-135 CDS40. Ensure to have enough 4-1/2" DP in derrick to drill the entire open hole section without having to pick up pipe from the pipeshed. Page 23 Version 0 June, 2015 4110 • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 15.8 6-3/4"BHA: COMPONENT DATA. Item OD ID Gauge Weight Top Length Cumulative Description Serial Number Connection (in) (in) (in) (Igo) Connection Length (ft) m HDBS EM65D PDC bit MEM 4.500 1.563 6.750 47.67 =CM 0.75 0 7 gm 5"SpenyDrill Lobe 617-6-0 stg 5.000 3.120 IIM 48.00 B 3-112"IF 24.00 NIEM _ Slabadzer -__ 6.560 Ell Final Sub 4.750 2.2511 46 84 8 3.1.r2-IF 2 25 27.00 0 Welded Blade Stabilizer 4.840 2,000 6.500 52 00 B 3-112"IF 5.00 32.00 ® 4 314'DM Collar 4.730 1.250 47.00 B 3-11T IF 9.20 41.20 ES 4 314'Slim Phase 4 Collar 4.750 1.250 EIM 48.20 EMMA 24.50 65.70 ® Inline Stabilizer(ILS) 4.740 1.920 6.000 50.27 B 3-112"IF 3.50 69.20 8 4 314"ALD Collar • 4.750 1,250 5,625 45 50 8 3-112"IF 14.00 83,20 ME Scatter -__ 5,625 _® ® 4 34"CTN Collar • 4.750 1.250 50.50 B 3-112"IF 11.00 94.20 10 4 314"PWD . 4.750 1.250 47.90 8 3-112"IF 9.20 103.40 Eli 4 3r4"TM HOC(Pulsar) 4.760 1.250 ® 40.90 8 3-112"IF 11.00 114.40 m 4 314"BAT Collar • 4.750 1,250 MIN 45.70 B NC 38 26.42 140.82 ® 4 75"Flex Collar 4.750 2,250 - 46 84 : 31.00 MIME Ell 4.75"Flex Collar 4.750 2.250 46.84 B 3-112"IF 31.00 202.82 Es X-0 3-1.12'IF Pin X 4-112"CDS 40 Box MEM 5.250 2.250 ® 60.22 B 4.5'CDS-40 205.57 m 6 Joints 4-112'FrW DP 1111111111111 4.600 2.750 NEE 41.00IIIIIIII185.00 390.57 ® X-O 4 17 CDS-40 Pin X 3 1/2'IF box 5.300 2,250 61 64 6 3.112"IF 2.75 393 32 EN 43/4"Weatherford Hyd Jar 1111111111.111 4.750 2.250 NM 46 84 ECM 30.00 MEM m X-O 3-112"IF Pin X 4-112"CDS-40 Box'- 5.300 2.750 ® 54 94 B 4.5'CDS-40 2.75 426.07 20 13 Joints 4-112"HWDP 4.500 2.750 _ 41.00 400.00 826.07 Total: 826.07 BIT DATA Bit Number Nozzles : 6x10 Bit Size (In) : 6.750 TPA (Ins) : 0.4602 Manufacturer I HOBS Dull Grade In - Model : EM65D Dull Grade Out Serial Number . Page 24 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 15.9 Primary Bit: 6-3/4" (171mm) EM65D PRODUCT SPECIFICATIONS Cutter Type X3-Extreme Drilling +►n, IL [ADC'Code M323 ♦ i' Body Type MATRIX mo A AthAt % Total Cutter Count 33 Cutter Distribution 13mm lluum 4 4 Face 4 13 Gauge I I 0 i t �. Up Drill 5 0 Number of Large Nozzles 0 Number of Medium Nozzics 0 • ar Number of Small Nozzles 6 Number of Micro Nozzles !1 110 Number of Ports(Sine) tl Number of Replaceable Ports(Size) 0 * Junk Slot Area(sq in) 8.611 • '. Normalhced Face Volume 34.694: rr 4 API Connection 3-112 REG.PIN ye Recommended Make-Up Torque" 5,173-7,665 Ft•lbs. Nominal Dimensions" Make-Up Face to Nose 9.42 in-239 nn Hauge Length 2 in•51 mm Sleeve Length 0 in-0 tnm Shank Diameter 43 in-114 atm Break Out Plate(Mat.M/Legney411 la 1953440341 Approximate Shipping Weight 90Lbs.-41 Kg. SPECIAL FEATURES Up-Drill Cutters on Gage Pads.1.+16"Stepped Gage.Optimized Dual Row-"D"Feature Material#761302 'Bit specific recommended make-up torque is a function of he bit I D.and scum bit sub P.D.utilized as igu:item in API RPM Sermon "Design dimensions Ire nominal and may vary slightly an manufactured product.Hatlihturon Drill Buts and Services models are continuously reviewed ed and refined.. Pnsduet nivel Orations rosy change without notice. aL 2013 Halliburton.All rights reserved.Saks of Halliburton products and services will be in accord solely with the terms and conditions contained in the contract between Halliburton and the customer that is applicable to the sale. www.halliburton.corrl Page 25 Version 0 June,2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 15.10 6-3/4"hole section mud program summary: Weighting material to be used for the hole section will be salt and calcium carbonate. Additional calcium carbonate will be on location to weight up the active system (1)ppg above highest anticipated MW. Pason PVT will be used throughout the drilling and completion phase. Remote monitoring stations will be available at the driller's console, Co Man office, Toolpusher office, and mud loggers office. System Type: 9.0 ppg 6% KCL PHPA fresh water based drilling fluid. Properties: Plastic MD Weight Viscosity Viscosity Yield Point pH HPHT 3,500'-9,390' 9.0—10.0 ./ 40-53 15-25 15-25 8.5-9.5 < 11.0 System Formulation: 6% KCL EZ Mud DP Product Concentration Water 0.905 bbl KCI 22 ppb (29 K chlorides) Caustic 0.2 ppb (9 pH) BARAZAN D+ 1.25 ppb (as required 18 YP) EZ MUD DP 0.75 ppb(initially 0.25 ppb) DEXTRID LT 1-2 ppb PAC-L 1 ppb BARACARB 5/25/50 15-20 ppb(5 ppb of each) BAROID 41 as required for a 9.0—10.0 ppg ALDACIDE G 0.1 ppb BARACOR 700 1 ppb BARASCAV D 0.5 ppb (maintain per dilution rate) 15.11 TIH w/6-3/4" directional assy to TOC. Shallow test MWD and LWD on trip in. Note depth TOC tagged on AM report. 15.12 R/U and test casing to 3500 psi/30 min. Ensure to record volume/pressure and plot on FIT graph. AOGCC requirement is 50% of burst. 7-5/8" burst is 6890 psi/2 =3445 psi. 15.13 Drill out shoe track and 20' of new formation. 15.14 CBU and condition mud for FIT. Page 26 Version 0 June, 2015 i • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 15.15 Conduct FIT to 12.5 ppg EMW. Note: Offset field test data predicts frac gradient at the 7-5/8"shoe to be between 11 - 13 ppg EMW. An 12.5 ppg FIT results in a 3 ppg kick margin while drilling with the planned MW of 9.5 ppg. 15.16 Drill 6-3/4"hole section to 9,390' MD/7,575' TVD • Pump sweeps and maintain mud rheology to ensure effective hole cleaning. • Pump at 225 - 300 gpm. Ensure shaker screens are set up to handle this flowrate. • Keep swab and surge pressures low when tripping. • Make wiper trips every 500' unless hole conditions dictate otherwise. • Ensure shale shakers are functioning properly. Check for holes in screens on connections. • Adjust MW as necessary to maintain hole stability. Keep HTHP fluid loss < 10. • Take MWD surveys every other stand drilled. Surveys can be taken more frequently if deemed necessary. • Take (3) sets of formation samples every 20'. Mud loggers should compile Pixler plots and QFT 2 analysis for Lower Tyonek to total depth. 15.17 At TD; pump sweeps, CBU, and pull a wiper trip back to the 7-5/8" shoe. 15.18 TOH with the drilling assy, standing back drill pipe. 15.19 LD BHA, RU E-line to perform RFT logging run and log well. 15.20 RD loggers, PU 6-3/4"clean out BHA, and TIH to TD. 15.21 Pump sweep, CBU and condition mud for casing run. 15.22 POOH LDDP and BHA 15.23 Install 4-1/2"pipe rams in BOP stack and RU and test. Page 27 Version 0 June, 2015 • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 16.0 Run 4-1/2" Production Casing 16.1. R/U Weatherford 4-1/2" casing running equipment. • Ensure 4-1/2"DWC/C HT x CDS 40 crossover on rig floor and M/U to FOSV. • R/U fill up line to fill casing while running. • Ensure all casing has been drifted prior to running. • Be sure to count the total # of joints before running. • Keep hole covered while R/U casing tools. • Record OD's, ID's, lengths, S/N's of all components w/vendor& model info. 16.2. P/U shoe joint, visually verify no debris inside joint. 16.3. Continue M/U &thread locking shoe track assy consisting of: • (1) Shoe joint w/ shoe bucked on& threadlocked(coupling also thread locked). • (1) Joint with float collar bucked on pin end &threadlocked (coupling also thread locked). • Solid body centralizers will be pre-installed on shoe joint an FC joint. • Leave centralizers free floating so that they can slide up and down the joint. • Ensure proper operation of float shoe and float collar. • Utilize a collar clamp until weight is sufficient to keep slips set properly 16.4. Continue running 4-1/2"production casing • Fill casing while running using fill up line on rig floor. • Use "API Modified"thread compound. Dope pin end only w/paint brush. • Install solid body centralizers on every joint across zones of interest, TBD after LWD. • Install solid body centralizers on every other joint to 7-5/8" shoe. Leave the centralizers free floating. • Pick up swell packer and place in string at approximately 3000'. 16.5. Continue running 4-1/2" production casing 4-1/2" DWC/C HT M/U torques Casing OD Minimum Maximum Yield Torque 4-1/2" 5,800 ft-lbs 6,500 ft-lbs 7,200 ft-lbs Page 28 Version 0 June, 2015 • • linummorn 31-06X Drilg Procedure Rev 0 Hilcorp Energy Company Technical Specifications Connection Type: Size(O.D.): Weight(Wall): Grade: DWCIC Tubing 4-1/2 in 12.60 Ib/ft(0.271 in) L-80 standard Material VIM L-80 Grade 80.000 Minimum Yield Strength (psi) Li SA 95,000 Minimum Ultimate Strength (psi) VAM USA 4424 W.Sam Houston Pkwy.Suite 150 Pipe Dimensions Houston,TX 77041 Phone:713-479-3200 4.500 Nominal Pipe Body 0.0. (in) Fax:713-479-3234 3.958 Nominal Pipe Body LD,(in) E-mail:VAMUSAsalesi vam-usa.com 0.271 Nominal Wall Thickness (in) 12.60 Nominal Weight(lbs/ft) 12.25 Plain End Weight(lbs/ft) 3.600 Nominal Pipe Body Area (sq in) is Pipe Body Performance Properties 288.000 Minimum Pipe Body Yield Strength (lbs) 7.500 Minimum Collapse Pressure (psi) 8,430 Minimum Internal Yield Pressure(psi) 7,700 Hydrostatic Test Pressure (psi) Connection Dimensions 5.000 Connection O.D. (in) 3.958 Connection I.D. (in) 3.833 Connection Drift Diameter (in) 3.94 Make-up Loss(in) 3.600 Critical Area (sq in) 100.0 Joint Efficiency(%) (` Connection Performance Properties 288,000 Joint Strength (lbs) 14,290 Reference String Length (ft) 1.6 Design Factor 314,000 API Joint Strength (lbs) 288,000 Compression Rating (lbs) 7,500 API Collapse Pressure Rating (psi) 8,430 API Internal Pressure Resistance (psi) 81.5 Maximum Uniaxial Bend Rating [degrees/100 ft] Appoximated Field End Torque Values 5,800 Minimum Final Torque (ft-lbs) 6,500 Maximum Final Torque(ft-lbs) 7.200 Connection Yield Torque (ft-lbs) Page 29 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 16.6. Run in hole w/4-1/2" casing to the 7-5/8" casing shoe. 16.7. Fill the casing with fill up line and break circulation every 1,000 feet to the shoe or as the hole dictates. 16.8. Obtain slack off weight, PU weight, rotating weight and torque of the casing. 16.9. Circulate 2X bottoms up at shoe, ease casing thru shoe. 16.10. Continue to RIH w/casing no faster than 1 jt./minute. Watch displacement carefully and avoid surging the hole. Slow down running speed if necessary. 16.11. Set casing slowly in and out of slips. 16.12. PU 4-1/2"X 6-3/4" swell packer to be placed at approximately 3000'. Swell packer should have 10' handling pups installed on both ends with bow spring centralizers on pups. 16.13. Swedge up and wash last 2 joints to bottom. P/U 5' off bottom. Note slack-off and pick-up weights. 16.14. Stage pump rates up slowly to circulating rate. Circ and condition mud with casing on bottom. Circulate 2X bottoms up or until pressures stabilize and mud properties are correct and the shakers are clean. Reduce the low end rheology of the drilling fluid by adding water and thinners. 16.15. Reciprocate string if hole conditions allow. Circ until hole and mud is in good condition for cementing. Page 30 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 17.0 Cement 4-1/2" Production Casing 17.1. Hold a pre job safety meeting over the upcoming cmt operations. Make room in pits for volume gained during cement job. Ensure adequate cement displacement volume available as well. Ensure mud & water can be delivered to the cmt unit at acceptable rates. • Pump 20 bbls of freshwater through all of Schlumberger's equipment,taking returns to cuttings bin, prior to pumping any fluid downhole • How to handle cmt returns at surface,regardless of how unlikely it is that this should occur. • Which pump will be utilized for displacement, and how fluid will be fed to displacement pump. • Positions and expectations of personnel involved with the cmt operation. • Document efficiency of all possible displacement pumps prior to cement job. 17.2. Attempt to reciprocate the casing during cmt operations until hole gets sticky 17.3. Pump 5 bbls of 12.5 ppg Mud Push spacer. 17.4. Test surface cmt lines to 4500 psi. 17.5. Pump remaining 30 bbls 10.5 ppg Mud Push spacer. 17.6. Mix and pump lead and tail cement per below recipe. Ensure cement is pumped at designed weight. Job is designed to pump 35% OH excess. Section: Calculation: BLS) Vol(ft3) (B7-5/8" x 4-1/2" Csg Overlap: 500' x 0.026 = 13 73 .pti 0-3/4" OH x 4-1/2" Casing: (9390—3500)x 0.025 x 1.5 = 221 1240 Shoe Track: 80' x 0.019 = 1.5 8.5 Total Volume : 235.5 1321.5 c?( s" Page 31 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company EASYBLOK (9390' to 3000') System Conventional Density 15.3 lb/gal Yield 1.36 ft3/sk ✓ Mixed Water 5.93 gal/sk Mixed Fluid 5.93 gal/sk Code Description Concentration Class G Cement 94#/sk D046 Foam Preventer 0.2% BWOC D202 Dispersant 1.5% BWOC Additives D400 EASYBLOK 0.8% BWOC D154 Extender 8.0% BWOC D174 Expanding Additive 1.5%BWOC D198 Retarder 0.3%BWOC 17.7. Drop wiper plug and displace with 3% KCl. 17.8. If hole conditions allow—continue reciprocating casing throughout displacement. This will ensure a high quality cement job with 100%coverage around the pipe. 17.9. If elevated displacement pressures are encountered, position casing at setting depth and cease reciprocation. Monitor returns & pressure closely while circulating. Notify Drilling Foreman immediately of any changes. 17.10. Bump the plug and pressure up to 500 psi over final lift pressure. Hold pressure for 3 minutes. 17.11. Do not overdisplace by more than '/2 shoe track. Shoe track volume is 1.5 bbls. 17.12. Bleed pressure to zero to check float equipment. Watch for flow. Note amount of fluid returned after bumping plug and releasing pressure. 17.13. RD cementers and flush equipment. 17.14. WOC minimum of 12 hours, test casing to 3500 psi and chart for 30 minutes. Page 32 Version 0 June, 2015 1 • S KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company Ensure to report the following on wellez: • Pre flush type,volume(bbls)&weight(ppg) • Cement slurry type, lead or tail, volume&weight • Pump rate while mixing,bpm, note any shutdown during mixing operations with a duration • Pump rate while displacing,note whether displacement by pump truck or mud pumps,weight&type of displacing fluid • Note if casing is reciprocated or rotated during the job • Calculated volume of displacement, actual displacement volume,whether plug bumped& bump pressure, do floats hold • Percent mud returns during job, if intermittent note timing during pumping of job. Final circulating pressure • Note if pre flush or cement returns at surface&volume • Note time cement in place • Note calculated top of cement • Add any comments which would describe the success or problems during the cement job Send final "As-Run" casing tally & casing and cement report to mmyers@hilcorp.com. This will be included with the EOW documentation that goes to the AOGCC. Page 33 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 18.0 RDMO 18.1. Install BPV in wellhead 18.2. N/D BOPE 18.3. N/U temp abandonment cap 18.4. RDMO Saxon Rig#169 • a JL5 0,11 -711 _ 0,CP. Page 34 Version 0 June,2015 • •• KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 19.0 BOP Schematic • iiii, Ill Ill i l i ill III d U Ill ill 1 3'3" 4i Modell6011i 11"-5000 111 rit ittift[Trl ,�"�, ME 3.00' UI (��_��,��J' 1-3 Energy 11 Model 7082 a _ ' 11"5000 I— W •MiMplii* -- -_ III lil : ' ;' tlit# p -,�— o N ~Ir. I11 I Ili ill 2 1/16 SM Kill Si is T3E `3 1A8 5M Choke Sine T3 +_ 1.A1' .IMAMp M+5del+7t}62 �1 ilk Ilii 111 181 181 1II1 Grade 2.09' lil Ill mill ill I - _ lir ism „� E alissi n II cial# Tow , Li 1 ,,„m Am Aar IE ..1_ [1. In _I20" 5/8" Page 35 Version 0 June,2015 • • HKBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 20.0 Wellhead Schematic BMA,OM,4 1/16 SM FE x 6.5 pts quirt upon tap TiQ� sy'.� Valve,Swab,CI1V-FC, t 1/16 5M FE,NWO, EE trim1 ‘� ',rave,Wigg,CIWFC, Valve,SSV,Barber,31/8SM •r� a • 4 t/8 SM FE,MVO, FE,w/Barnar hydraulic spit EE nim contained operator 1111111111111 Cross,stdd,41/165M% t 31/85M11 {i .i} ■I 0 I aT. �t •.. .._ _v L Valve,Upper Mester, a CIW FC,41/16 SM FE.IMO. * • EE trim q''`- "• at 1111111111 r Vale,Misty',CMV-FC, 41/16 SM FE,IIWO, . ;14 EE trim 1,0 Id, .ds IIIIIIIIIIII MP ul Tub,®head Cactus C 291 tai t hPS,135/83Mx11iI .: r�f�sl�.,.;..111.1 i ••_ 2-2 1j16 5M 550 MB i el-14) INF - r If s a ` g `aha Sta4"oehead,Cactus C-29L, -•■■. IV gEIMMOLIp- 115j83Mx133nSOW,w/ —; 2-211165M150 18- : vi, : ,r I i ,6 s .. , . ;. iS 1 - - I ' Page 36 Version 0 June, 2015 • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 21.0 Days Vs Depth Days Vs Depth 0 —KBU 31-06X 1000 —. 2000 3000 — t 4000 -c 5000 _.... .. .. .-_.. _. .,.__ 1 7 6000 7000 8000 9000 -- 10000 — 0 5 10 15 20 25 Days Page 37 Version 0 June, 2015 • • H KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 22.0 Geo-Prog 7/17/2015 9:48 GEOLOGICAL PROGNOSIS WELL NAME: KBU 31-06X WELL PAD: 41-07 FIELD: Kenai Gas Field SURFACE x=275141.85 x=274441.9 AFE: LOCA TION y=2361440.35 BHL. y=2366382.1 PROPOSED TO: 9390 MD:-SS EST.KB: 83.5 API: TBD EST. GL: 65.5 Drill a 9.390 MD grass roots well at Kenai Field that will target unhooked reserves in Middle-Lower Beluga and Upper Tyonek Objective: sands. Geologic Summary/Justification Resevoir analysis and subsurface mapping has identified an optimal location for infill development of the Upper • Tyonek sands,as wells an area with little to no current production in the Middle and Upper Beluga sands. ANTICIPATED FORMATION TOPS&GEOHAZARDS EXPECTED FLUID MD TVD(FT) SUBSEA DEPTH Est Pressure Sterling gasAivetlIN 4392 3.540 (3457) 500 • Sterling 5.2 gasiwetII 5294 4.147 (4064) 1500 Sterling Pool 6 gas 5702 4.441 (4358) 210 Upper Beluga gas ' 6030 4.699 (4616) 900 Middle Beluga gas 6824 5.334 (5251) 1000 Lower Beluga gas 7717 6.113 (6030) 1000 Upper Tyonek gas 9031 7.264 (7181) 2500 Total Depth gas 9390 7.575 (7492) 2500 eservoir Objectives =Possible Geo Hazards DATA COLLECTION REQUIREMENTS- Mud Logging: No sample to be collected,minimal requirements only LWD Data: Basic Triple Combo:no ALD dip data needed Other Log Data: RFT across production hole • COMPLETION TYPE Chance of Success&Anticipated Rate 95%11,000 BOEPD ARTIFICIAL LIFT EQUIPMENT OD 13-318" 120 PROBED PIPE SET DEPTHS '7:616' 3500 4-112' f, 9389 TUBING SIZE Ilk Page 38 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 23.0 Anticipated Drilling Hazards 9-7/8" Hole Section: Lost Circulation: Ensure 500 lbs of medium/coarse fibrous material & 500 lbs different sizes of Calcium Carbonate are available on location to mix LCM pills at moderate product concentrations. Hole Cleaning: Maintain rheology w/gel and gel extender. Sweep hole with gel or flowzan sweeps as necessary. Optimize solids control equipment to maintain density, sand content, and reduce the waste stream. Maintain YP btwn 25 —45 to optimize hole cleaning and control ECD. Wellbore stability: Lithology through this zone is a composite of pebble conglomerate and sand in the upper intervals with intermittent clay matrix. Carbonaceous material and coal may be noted. Gravel sizes that are larger than normal can cause hole-cleaning problems. If encountered, be prepared to increase the viscosity. Excessive quantities of gravel and sand may indicate wellbore instability. Increase properties up to a YP of—50 - —60 lbs/100ft2 to combat this issue. Maintain low flow rates for the intial 200' of drilling to reduce the likelihood of washing out the conductor shoe. To help insure good cement to surface after running the casing, condition the mud to a YP of 25 —30 prior to cement operations. Do not lower the YP beyond 25 to avoid trouble with sands that may be found on this well. Have Desco DF, SAPP, and water on hand to ensure the desired rheologies can be achieved. H2S: H2S is not present in this hole section. No abnormal pressures or temperatures are present in this hole section. Page 39 Version 0 June,2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 6-3/4" Hole Section: Lost Circulation: Ensure 1000 lbs of each of the different sizes of Calcium Carbonate are available on location to mix LCM pills at moderate product concentrations. Hole Cleaning: Maintain rheology w/viscosifier as necessary. Sweep hole w/20 bbls hi-vis pills as necessary. Optimize solids control equipment to maintain density and minimize sand content. Maintain YP btwn 20 - 30 to optimize hole cleaning and control ECD. Wellbore stability: Maintain MW as necessary using additions of Calcium Carbonate as weighting material. A torque reduction lube may be used in this hole section in concentrations up to 3% if needed. Maintain 6%KC1 in system for shale inhibition. Coal Drilling: The following lessons were learned from extensive experience drilling coal seams in Cook Inlet. The need for good planning and drilling practices is also emphasized as a key component for success. • Keep the drill pipe in tension to prevent a whipping effect which can disturb coal sections. • Use asphalt-type additives to further stabilize coal seams. • Increase fluid density as required to control running coals. • Emphasize good hole cleaning through hydraulics, ROP and system rheology. H2S: , H2S is not present in this hole section. No abnormal temperatures are present in this hole section. Page 40 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 24.0 Saxon Rig 169 Layout Pi v Nt..MYER F FE T.iHH �. 1111::.-=— --le .„'--inol li-----—- c EtEa:ET H 1 iI!I"'I!I IIIAI.��— .II ate. ♦ = IYn®�il►•��1 -.HALE H.,_L1LJ 1 11 F c-uu iAwc I -!tTIViI, • ,,„ .. kAkE-r k� . - . rnmm -uuuml rArAA x II. i . -, ��rMIMIIMIIMITilsI ii ........ 1 il A445.457 I�1= • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 25.0 FIT Procedure Formation Integrity Test (FIT) and Leak-Off Test (LOT) Procedures Procedure for FIT: 1. Drill 20' of new formation below the casing shoe (this does not include rat hole below the shoe). 2. Circulate the hole to establish a uniform mud density throughout the system. P/U into the shoe. 3. Close the blowout preventer (ram or annular). 4. Pump down the drill stem at 1/4 to 1/2 bpm. 5. On a graph with the recent casing test already shown, plot the fluid pumped (volume or strokes) vs. drill pipe pressure until appropriate surface pressure is achieved for FIT at shoe. 6. Shut down at required surface pressure. Hold for a minimum 10 minutes or until the pressure stabilizes. Record time vs. pressure in 1-minute intervals. 7. Bleed the pressure off and record the fluid volume recovered. The pre-determined surface pressure for each formation integrity test is based on achieving an EMW at least 1.0 ppg higher than the estimated reservoir pressure, and allowing for an appropriate amount of kick tolerance in case well control measures are required. Where required, the LOT is performed in the same fashion as the formation integrity test. Instead of stopping at a pre-determined point, surface pressure is increased until the formation begins to take fluid; at this point the pressure will continue to rise, but at a slower rate. The system is shut in and pressure monitored as with an FIT. Page 42 Version 0 June, 2015 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Enc.comp.fly 26.0 Choke Manifold Schematic , 5:0 4 , . 1 ,i. N . 1 e tz, . --c-, ,--,),. . I: —r-- 'it 4111V• 8 ' 1„,q) ; ,.., , ; li . I, . ; f _! --: i . t, ! g I 1 / 1111•11111111i 1 1 (g.'„,0. .....i G "t` 114111 -.c.L._. i - 4;4..• (..>-' 1 ; I.•S „',C,`.....': , 17, 1 I i 1 4 ,i; el. .q.roi.4.•.,ei 4;4..,, . 4,„ ,.,. rl .. iii . ,... .. „,., ;,,..„-...,... 0 (:- x, •_n, P a - ..),•.s. N.. _ ,.444;,44„. ' '' ir. ,74is. ., ,.. — 7; 1 , ! , AP. . l '1. ' I 1' - "Mr!' • - i. (7,1..,: C.kr: k ' -. iik, , - .$) " co i 2 - 1 , „„,ii ol ra , L, _ 0 9,v.,.40. .... •-•'C.),,,..4--,4 .7. • rt74*' ,,,, A 1111.0111li r. t'i e ..„15...,,..,., ..,,, • ..11 1 6 10 ,. .‘ 411 i•11 01 ../& - Io ..-... ... I I Nil. r .; ,.—unium, .._;) I(r,i' r . e tt • L: 14"1074;11: II' [ ll i , - . 47-i- ,,R•1 ) .im ° '4.- misino I - 418 Fiii \® ill 0 I . r 2 f X -.f. c, ,-; 'L._ . ii E ik i' % de It ''—' iw ISO I/ I e 4:111 : 6111161 is June,2015 Version 0 Page 43 ! • KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 27.0 Casing Design Information Calculation & Casing Design Factors Kenai Gas Field DATE: 7/17/2015 WELL: KBU 31-06X FIELD: Kenai Gas Field DESIGN BY: Monty M Myers Design Criteria: Hole Size 9-718" Mud Density: 8.8 ppg • Hole Size 6-3/4" Mud Density: 9.5 ppg Hole Size Mud Density: Drilling Mode MASP: 2458 psi(see attached MASP determination&calculation) • MASP: Production Mode MASP: 1742 psi(see attached MASP determination&calculation) • Collapse Calculation: Section Calculation 1 Normal gradient external stress(0.435 psi/ft)and the casing evacuated for the internal stress Casing Section Calculation/Specification 1 2 3 4 Casing OD 7-5/8" 4-112" Top(MD) 0 0 Top(TVD) 0 0 Bottom(MD) 3,500 9.390 Bottom(TVD) 2,940 7.575 Length 3,500 9.390 Weight(ppf) 29.7 12.6 Grade L-80 L-80 Connection BTC DWC/C HT Weight w/o Bouyancy Factor(lbs) 103.950 118.314 Tension at Top of Section (lbs) 103,950 118.314 Min strength Tension(1000 lbs) ;683' % 288 Worst Case Safety Factor(Tension) 6.57 2.43 Collapse Pressure at bottom (Psi) 1,279 3.295 .' (t 1 Collapse Resistance w/o tension (Psi) 4,790 7.480 Worst Case Safety Factor(Collapse) 3.75 2.27 MASP(psi) 744 1.062 Minimum Yield{psi) 6,890 8.430 Worst case safety factor(Burst) 9.26 7.94 Page 44 Version 0 June, 2015 • • IIKBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 28.0 6-3/4" Hole Section MASP Maximum Anticipated Surface Pressure Calculation , 6-3/4"Hole Section IiiI corp _` KBU 31-06X Kenai Gas Field MD TVD Planned Top: 0 0 Planned TD: 9390 7575 . Anticipated Formations and Pressures: Formation TVD Est Pressure Oil/Gas/Wet PPG Grad KOP 250 Sterling 3540 500 Gas 2.7 0.141 Sterling 5.2 4147 1500 Gas 7.0 0.362 Sterling Pool 6 4441 210 Gas 0.9 0,047 Upper Beluga 4699 900 Gas 3.7 0.192 ,, Middle Beluga 5334 1000 Gas 3.6 0.187 Lower Beluga 6113 1000 Gas/Water 3.1 0.164 Upper Tyonek 7264 2500 Gas 6.6 0.344 TD 7575 2500 Gas 6.3 0.330 Offset Well Mud Densities Well MW range Top(TVD) Bottom(TVD) Date KU 41-18 ' 11.4-12.2 9,500 12,000 1978 KDU 2 12.2-12.6 9,500 10,500 1968 Assumptions: 1. Fracture gradient at shoe is estimated at 0.936 psi/ft based on field test data. 2. Maximum planned mud density for the 6-3/4"hole section is 10.5 ppg. 3. Calculations assume"Unknown"reservoir contains 100%gas(worst case). 4. Calculations assume worst case event is 100%evacuation of wellbore to gas. Fracture Pressure at 7-5/8"shoe considering a full column of gas from shoe to surface: TVD Frac Grad 2940 ft X 0.936 psi/ft 2752 psi 2752(psi) -(0.1(psi/ft)*2940(ft)1= 2458 psi MASP from pore pressure during production mode(Complete evacuation to gas) 7575 ft X 0.330 psi/ft 2500 psi Downhole 2500(psi)-(0.1(psi/ft)*7575(ft)j= 1742 psi Surface Summary: 1. MASP while drilling 6-3/4" production hole is governed by frac pressure at 7-5/8"shoe with entire wellbore evacuated to gas Page 45 Version 0 June, 2015 Ha KBU 31-06X Drilling Procedure Rev 0 Hilcorp Energy Company 29.0 Spider Plot (NAD 27) (Governmental Sections) 302668 FEE AA 003808 Tract: 4B Wata Tract: 4A S005N011 W KU 34-32 BHL Ku Legend KBU 41-06 BHL • KBU 31-06X SHL U 05(KU 31-6)BHL X KBU 31-06X TPH , - - KBU 31-06X BHL KR ;I-ft(,\ 131IL • Other Surface Well Locations Other Bottom Hole Locations I i5 Well Paths 16 BHL Well Pad KBU 42-06Y BHL, Oil and Gas Unit Boundary KBC-Z 6X BHL t t!' � KBU 42-06 BHL 1 d+ ° KU�3 08 B /r KBU 12-05 BHL. Sec.6 / KU 43-06R HL a -it. ; 1 atibe KBU 23X-06, / KTU 4 6X BFILt i j l i I / 1 KTtg43-06 \ 2$FlL ,t( 1 �. ° a / ( I I, / KBU 33-06 BHL ° la / KBU 33-06X BHL o ,KU 43-06A BNL KBU 23-05 8 a i ?f °� KTU 13-0: BHL 9 KEN�Q►I UNIT t / o ,r KBL-31-06X TP1 I. FEE 4028142, ` ° : ' S004N011 W + ° + ` 1 I - � a Tract:26 l '/ \KBU 2-06140"1HLt4 MU 011306 "-,` e I/ 1! i 1 f� f } J 1 �y ° A l{ t ,// f�`��� 1 1 d /✓ A- ~ „5, 1 ((pg aatn.f! 1fU 24-064i[)BHIr - ! `— KSII24tlti ``t :..,Ic‘\1� y ( t :`I -'rK41--14UB �.�1 ti �} ✓ f Ke..^.ai G s F,eld;g`ad N .-14-06 KU 21`-07X BHL i KBU 14 i8Y1g14L ' K4}U 34-08 BHL 4 - - ----ti KBIT tl-08X 8Ji6 i ° ,KBU 07.B v. y Kenai G s Field?ad N�:41-07 /1 /• I i ,�' I• -41"KBL: 31-06N SI IL t a zt IOU 098141.( �\, KB BU 11-08Y NL; KBU 11-07 BHL 1KU 31-07X BHL. i t a 1..,, KU 11-08 BHL C� KBU 31-07R0 BHL l 1 �`�� t7v tt i1 t ,,r/ CSG i ���� 1 ! KTU 32-07MBHL•--Kali 31-07 BHL_ � U 42-07,tlM1' t t - /� 1 42-0714p BHL--` KBU 11-08Z B14L i KDU 04(KU 13-7)BHL ' !! 1 1 r j 1 t KTU 32-07 OHL/ I 1 / x 1 0 1.CX 2.0&/ Kenai Unit Feet KBU 31-OfiY • Alaska State Plane 20^e 4.NA027 Ilih cep.%la•ka-1.L1: Map Date 7/10,'2015 Page 46 Version 0 June, 2015 4 • • KBU 31-06X X00, Drilling Procedure Rev 0 Hilcorp Energy Company 30.0 Surface Plat (NAD 27) KBU 4-.-i: 4T I 1BASIS CXHORIZONTAL CLIO ONAIEBARE 13 SECTION LINE Ei 5 ALASKA STATE PLANE NAM ZONE 4 - DETERMINED Ere A DIRECT liE TO USCAGS TRI STA ALIDRY HAVING A PUBLISHED FOSITION OF k i 7...--- /7 8 I AT.03'31750 SSWN LONG 151'1037445W KBU 44 NTAMS 42 E.:019446 76 B.U.33-[a ( ..i 1 • 21 OF ® N 2381999.63 LEVEL IS El DATUM MEAN SEA K.B.U.42-7 K.B.U. 2-7 E 475909 61 3)NORTHEAST CORNER SEC 7 COORDINATE TOTEw4ER FROM DEC NNW ORN R TEC T e T4E7UST,FK;fiLMwCVORNwOORNER SECT K T U 32-7Fi AND WC J{CORNER SECTIONS II&T RECCNERED ATO NOT THE PROTRACTED SECTION CORNER VALUES K 13-5 NORTH • 1.'11 ,..I.w I Kit U v • 570'FNL •i.._..1 J ,.c ®. IK V.43.6K4 K BL 41.7X .0// r.,...,—, 1•:0.4 K.U.4. is;,. a s I • TO 144 pi. pt. K r,u 2 K U.24-5 RD I LTJ -A- .-•?_iceR S0 10l Z Y, z. it, K.LJ.tib .. �. 4� I a/ i_ KENAI GAS / FIELD I • PAD41-7 Pl. — / 'CAUTIONS `f 11KiI E i1 UJHL VI I L4TERAL UAS FIPELINE 104,18 0 KEW 10 KBU 11.087 ' 0 0 1 758'FEL(NTS) KBU 31-06X AS BUILT POST • v NAD 27 ASP ZONE 4 r �„„Avv�t i I I N:2361440.354 / J i�Of A �liil E:275141.856 i '''''A•17•••ti * 'Fy1r • LAT:N60°2T 28.6660" -4'149 .•*' • LON:W151° 14'44.3051" q %• ZS!7AN k EICLN4L r• FEL:758' LL11 s' T11_ SECTION 7,T4N, RI1W,S.M.,AK F`L:5770,55 ,fb�IL' � w P' LIMIT SCALE OF a I03 x11 PAD , e I e FEET WIO.V-I NVA90N HILCORP ALASKA LLC wTE TN1I 4'o,utb icy Inc KBU 31-06X AS BUILT ruwNa.: aca KENAI GAS FIELD PAD 41-7 ve 14xa SURFACE LOCATION DIAGRAM NAD27 r'UhCINO Mia, ilIGNI Nn141 MANNING!Ii.RY1l1NGiTiS1N4 ACK%NO NA •.o aCV4 MSC EOCINA.Zf110 '.+7N:E W 17474116 FA1{.Ii47VEBC ffibE 111 tov.Tlaa :;ItET PAN.nMNAWNLOICIAN:G4i'AN IIilcorp IaRku,LLC S7 T4N R11 W SEWARD MERIDIAN.ALASKA 1 c 1 Page 47 Version 0 June, 2015 • Hilcorp Energy Company Kenai Gas Field KGF 41-7 Pad Plan: KBU 31-06X KBU 31-06X Plan: KBU 31-06X wp2.0 Standard Proposal Report 09 July, 2015 HALLIBURTON Sperry Drilling Services • • WELL DETAILS: Plan:KBU 31-06X NAD 1927(NADCON CONUS) Alaska Zone 04 Project: Kenai Gas Field HALLIBURTON Site: KGF 41-7 Pad Ground Level: 65.50 -- Well: Plan: KBU 31-06X +NI-S +E/-W Northing Easting Latittude Longitude Slot Sperry OrMing Wellbore: KBU 31-06X 0.00 0.00 2361440.35 275141.86 60.4579628 -151.2456403 Plan: KBU 31-06X wp2.0 REFERENCE INFORMATION Co-ordinate(WE)Reference:Well Plan:KBU 31-06X,True North Vertical(TVD)Reference:As-Built KBU 31-06X @83.50us11 Measured Depth Reference:As-Built KBU 31-06X @ 83.50usfl - Calculation Method:Minimum Curvature -2500- SECTION DETAILS -2000- Sec MD Inc Azi TVD TVDSS +N/-S +E/-W DLeg TFace VSec Target 1 18.00 0.00 0.00 18.00 -65.50 0.00 0.00 0.00 0.00 0.00 - 2 250.00 0.00 0.00 250.00 166.50 0.00 0.00 0.00 - 0.00 0.00 - 3 660.00 8.00 300.00 658.67 575.17 14.29 -24.75 1.95 300.00 14.89 - 4 1260.00 20.00 300.00 1239.78 1156.28 86.73 -150.23 2.00 0.00 90.39 -1500- 5 2456.18 47.70 345.34 2237.11 2153.61 635.05 -449.17 3.00 63.84 645.87 _ 6 5298.39 47.70 345.34 4149.78 4066.28 2668.96 -981.20 0.00 0.00 2692.21 - 7 5933.69 37.00 9.00 4621.59 4538.09 3088.97 -1011.03 3.00 132.30 3112.82 - 8 6733.69 37.00 9.00 5260.50 5177.00 3564.49 -935.71 0.00 0.00 3586.35 -1000- 9 7013.73 28.71 6.47 5495.56 5412.06 3714.83 -914.91 3.00 -171.65 3736.13 10 8891.26 28.71 6.47 7142.26 7058.76 4611.01 -813.32 0.00 0.00 4629.56 11 8929.36 29.83 6.00 7175.50 7092.00 4629.53 -811.30 3.00 -11.75 4648.02 KBU 31-06 Tgt 3 _ 12 9389.88 29.83 6.00 7575.00 7491.50 4857.35 -787.35 0.00 0.00 4875.18 -500- CASING DETAILS 0- TVD TVDSS MD Size Name - 1462.45 1378.95 1500.00 7-5/8 7 5/8" _ Start Build 1.95 • 7575.00 7491.50 9389.88 5-1/2 5 1/2" 500- 500 Start Build 2.00 1000- 1000 FORMATION TOP DETAILS - -Start DLS 3.00 TFO 63.84 - No formation data is available 1500- 7 5/8'- 1500 Start 2842.21 hold at 2456.18 MD c 7 e - 2000- h00, m - 0 18) 000 N2500- O L _ h00 Q _ 0 3000- o0 �O o 00 3500- oh Start DLS 3.00 TFO 132.30 > - 0 c ho° ' I`_ 4000- o Start 800.00 hold at 5933.69 MD _ hh0 4500- 6p0� Start DLS 3.00 TFO-171.65 5000- 0h00 Start 1877.53 hold at 7013.73 MD - KBU 31-06 Tgt 1- --` - -1.000_ 5500- _ le 6000- - KBU 31-06 Tgt 2 _ $000 6500- Start DLS 3.00 TFO-11.75 _ 0 - Start 460.52 hold at 8929.36 MD 7000 -- KBU 31-06 Tgt 3 7500- 5 1/2"- '- 5gO v 0 • ' '60 A6�44Q2. g5 8000- a� J31 _ -<O \<0 8500 - I r 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 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 I I I I I I I I I -1500 -1000 -500 0 500 1000 1500 2000 2500 3000 3500 4000 4500 5000 5500 Vertical Section at 358.60° (1250 usft/in) lIlt tttp 1 • HALLI®URTON Project: Kenai Gas Field WELL DETAILS: Plan:KBU31-06X sp, Q,rr, 9 Site: KGF 41-7 Pad Ground Level: 65.50 Well: Plan: KBU 31-06X +N/-S +F/-W Northing Easting Latittude Longitude Slot Wellbore: KBU 31-06X 0.00 0.00 2361440.35 275141.86 60.4579628 -151.2456403 Plan: KBU 31-06X wp2.0 REFERENCE INFORMATION Co-ordinate(N/E)Reference:Well Plan:KBU 31-06X,Tire North KBU 31-06X wp2.r Vertical(TVO)Reference:As-Built KBU 31-06X©83.50usft _--Start 460.52 hold at 8929.36 MD Measured Depth Reference:As-Built KBU 31-06X a83.50usft 4583— IKBU 31-06 Tgt 31 -- Calculation Method:Minimum Curvature 7000 Start DLS 3.00 TFO-11.75 4400— 4217— 6500 4033— 6000 3850— IKBU 31-06 Tgt 21- 3667— 5560----Start 1877.53 hold at 7013.73 MD = IKBU 31-06 Tgt 9 41 -Start DLS 3.00 TFO-171.65 3483J • 5000 3300- 3117— — --Start 800.00 hold at 5933.69 MD 4500 2933— 2750— Start DLS 3.00 TFO 132.30 yg 2567— • 5000 vii 2383—. rn - t - ,s 2200— y 2017— 10 o = 4 rn 1833- 1650- 1467— 5000 1283J 1100J 917J 283- 1100- 917— 2500 733- - Start 2842.21 hold at 2456.18 MD 550— 2000 367- -_ T M Azimuths to True North Magnetic North:16.48° oo Start DIS 3.00 TFO 63.84 183— - �5 Magnetic Field 7 5/8" \\ Strength:55373.3snT ��4L --Start Build 2.00 0— Dip Angle:73.43° - - Date:5/19/2015 Start Build 1.95 Model:BGGM2015 -183—IIII IIIIIIIIIIIIIIIII II IIIIIIII III III II IIIj IIIIIIIII1111111III IIIA IIII IIIIIIIII IIII VIII IIIIIIIIIIIIII -1833 -1650 -1467 -1283 -1100 -917 -733 -550 -367 -183 0 183 367 550 733 917 1100 1283 1467 1650 1833 West(-)/East(+)(550 usft/in) IIIICOC� • • HALLIBURTON Project: Kenai Gas Field Sperry Drilling�rvloos Site: KGF 41-7 Pad Well: Plan: KBU 31-06X Wellbore: KBU 31-06X Plan: KBU 31-06X wp2.0 7000- - KBU 31-06X wp2.0 - 250— 0 6500— - /coo 0 - D _ g a - 04 c - 125— - - o U11-8 o° 6000—_ h °oo ++ _ KBU 42-6 30&o ti o° C a o b° o0 7 0— 'q� 500o 00 ^o o 5500— s° KBU 41-6 ^ - ° 1001 ti 43) -,5-,` ^O� O _ KDU-04'r KDU 10 9000 - ��'71° / KDU 04 KBU 42-7RD -125— _ 9 KI132 KU 43-7 KBU II-082_ 5000— , KBU 31-06X wp2.0 1 II I I I I 11 I I I I I IIII IIIT (I I I I I KBU 42-7 - KDU-55000 -250 -125 0 125 250 375 5 1/2West(-)/East(+)(250 usft/in) 4500— KBU 22-06 - /111\ 4000— .000 4000 - 5000 KBU 42-6X 400p 8's53 3500— ''1) KTU 43-6X KU43 .rJ' _ K 43-6RD 1 4000 , o 3000—_ KBU 33-06;b •8-' O - 3000 ^yb 700 3000 I 2500_ KBU 33-06x X000 • t1 yo _ �� 110 .y a 2000—o 2°00Z. 4°10- „00 4? 2000 - A,. 1500— \i!1 - 1000 , 2000 1000- 11 g - o 1,0 KBU 345 �� o o t 500— -0 0 - .:�� KBU 41-7 h b ,/ i. q _ 0 g 0 0 N o KDU 02(21-8) 0 o 0 . i Itil 0— 7 5/8" r oCi000 $ KU Il8 -500— 0p v o 0 2000 600 h° o 3000 �° KBU 42-7 0 _ a -1000— 30i, 'S T M Azimuths to True North - 'S KBU 42-7RD KBU 11-082 Magnetic North:16.48° KDU-04 - 3000 Magnetic Field - 0-00 6-p00 Strength:55373.3snT -1500— o Dip Angle:73.43° KTU 32-7 Date:5/19/2015 - KDU-04RD Model:BGGM2015 _ gg,, KBU 43-7 4 KU 43-7 I I I I I I I I I� 1 `b I I I I I I I I I I I I -I I I I 1 I I I I I I I I I I I I I I I I 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 -3000 -2500 -2000 -1500 -1000 -500 0 500 1000 1500 2000 2500 3000 3500 4000 West(-)/East(+)(1000 usft/in) i 0 Halliburton HALLIBURTON Standard Proposal Report Database: Sperry EDM-NORTH US+CANADA Local Co-ordinate Reference: Well Plan:KBU 31-06X Company: Hilcorp Energy Company TVD Reference: As-Built KBU 31-06X @ 83.50usft Project: Kenai Gas Field MD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad North Reference: True Well: Plan:KBU 31-06X Survey Calculation Method: Minimum Curvature . Wellbore: KBU 31-06X Design: KBU 31-06X wp2.0 Project Kenai Gas Field 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 04 Using geodetic scale factor Site KGF 41-7 Pad Site Position: Northing: 2,361,462.42usft Latitude: 60.4580082 From: Lat/Long Easting: 274,852.80 usft Longitude: -151.2472434 Position Uncertainty: 0.00 usft Slot Radius: 13-3/16" Grid Convergence: -1.09 ° Well Plan:KBU 31-06X Well Position +N/-S 0.00 usft Northing: 2,361,440.35 usft . Latitude: 60.4579628 +E/-W 0.00 usft Easting: 275,141.86 usft • Longitude: -151.2456403 Position Uncertainty 0.00 usft Wellhead Elevation: 0.00 usft Ground Level: • 65.50 usft Wellbore KBU 31-06X Magnetics Model Name Sample Date Declination Dip Angle Field Strength (°) (°) (nT) BGGM2015 5/19/2015 16.48 73.43 55,373 Design KBU 31-06X wp2.0 Audit Notes: Version: Phase: PLAN Tie On Depth: 18.00 Vertical Section: Depth From(TVD) +N/-S +E/-W Direction (usft) (usft) (usft) (°) 18.00 0.00 0.00 358.60 Plan Sections Measured Vertical TVD Dogleg Build Turn Depth Inclination Azimuth Depth System +N/-S +E/-W Rate Rate Rate Tool Face (usft) (°) (°) (usft) usft (usft) (usft) (°1100usft) (°/100usft) (°/100usft) (°) 18.00 0.00 0.00 18.00 -65.50 0.00 0.00 0.00 0.00 0.00 0.00 250.00 0.00 0.00 250.00 166.50 0.00 0.00 0.00 0.00 0.00 0.00 660.00 8.00 300.00 658.67 575.17 14.29 -24.75 1.95 1.95 0.00 300.00 1,260.00 20.00 300.00 1,239.78 1,156.28 86.73 -150.23 2.00 2.00 0.00 0.00 2,456.18 47.70 345.34 2,237.11 2,153.61 635.05 -449.17 3.00 2.32 3.79 63.84 5,298.39 47.70 345.34 4,149.78 4,066.28 2,668.96 -981.20 0.00 0.00 0.00 0.00 5,933.69 37.00 9.00 4,621.59 4,538.09 3,088.97 -1,011.03 3.00 -1.68 3.72 132.30 6,733.69 37.00 9.00 5,260.50 5,177.00 3,564.49 -935.71 0.00 0.00 0.00 0.00 7,013.73 28.71 6.47 5,495.56 5,412.06 3,714.83 -914.91 3.00 -2.96 -0.90 -171.65 8,891.26 28.71 6.47 7,142.26 7,058.76 4,611.01 -813.32 0.00 0.00 0.00 0.00 8,929.36 29.83 6.00 7,175.50 7,092.00 4,629.53 -811.30 3.00 2.94 -1.23 -11.75 9,389.88 29.83 6.00 7,575.00 7,491.50 4,857.35 -787.35 0.00 0.00 0.00 0.00 7/9/2015 12:07:56PM Page 2 COMPASS 5000.1 Build 73 Halliburton HAL L I B U R TO N Standard Proposal Report Database: Sperry EDM-NORTH US+CANADA Local Co-ordinate Reference: Well Plan:KBU 31-06X Company: Hilcorp Energy Company TVD Reference: As-Built KBU 31-06X @ 83.50usft Project: Kenai Gas Field MD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad North Reference: True Well: Plan:KBU 31-06X Survey Calculation Method: Minimum Curvature Wellbore: KBU 31-06X Design: KBU 31-O6X wp2.0 Planned Survey Measured Vertical Map Map Depth Inclination Azimuth Depth TVDss +N/-S +E/-W Northing Easting DLS Vert Section (usft) (°) (^) (usft) usft (usft) (usft) (usft) (usft) -85,50 18.00 0.00 0.00 18.00 -65.50 0.00 0.00 2,361,440.35 275,141.86 0.00 0.00 100.00 0.00 0.00 100.00 16.50 0.00 0.00 2,361,440.35 275,141.86 0.00 0.00 200.00 0.00 0.00 200.00 116.50 0.00 0.00 2,361,440.35 275,141.86 0.00 0.00 250.00 0.00 0.00 250.00 166.50 0.00 0.00 2,361,440.35 275,141.86 0.00 0.00 300.00 0.98 300.00 300.00 216.50 0.21 -0.37 2,361,440.57 275,141.49 1.95 0.22 400.00 2.93 300.00 399.93 316.43 1.92 -3.32 2,361,442.33 275,138.58 1.95 2.00 500.00 4.88 300.00 499.70 416.20 5.32 -9.21 2,361,445.84 275,132.75 1.95 5.54 600.00 6.83 300.00 599.17 515.67 10.42 -18.04 2,361,451.11 275,124.01 1.95 10.86 660.00 8.00 300.00 658.67 575.17 14.29 -24.75 2,361,455.11 275,117.38 1.95 14.89 700.00 8.80 300.00 698.24 614.74 17.21 -29.81 2,361,458.12 275,112.38 2.00 17.94 800.00 10.80 300.00 796.77 713.27 25.72 -44.55 2,361,466.91 275,097.80 2.00 26.80 900.00 12.80 300.00 894.66 811.16 35.94 -62.26 2,361,477.47 275,080.29 2.00 37.46 1,000.00 14.80 300.00 991.76 908.26 47.87 -82.91 2,361,489.78 275,059.87 2.00 49.89 1,100.00 16.80 300.00 1,087.98 1,004.48 61.48 -106.49 2,361,503.84 275,036.55 2.00 64.07 1,200.00 18.80 300.00 1,183.19 1,099.69 76.77 -132.97 2,361,519.62 275,010.37 2.00 80.00 1,260.00 20.00 300.00 1,239.78 1,156.28 86.73 -150.23 2,361,529.91 274,993.30 2.00 90.39 1,300.00 20.56 303.07 1,277.30 1,193.80 93.98 -162.03 2,361,537.38 274,981.64 3.00 97.93 1,400.00 22.16 310.04 1,370.45 1,286.95 115.70 -191.19 2,361,559.65 274,952.89 3.00 120.35 , 0b.90--- '74'02 316.04 1,462.45 1,378.95 142.49 -219.77 2,361,586.97 274,924.83 3.00 147.84 _ 75/8" ,600.00 26.08 321.19 1,553.04 1,469.54 174.28 -247.68 2,361,619.28 274,897.53 3.00 180.30 1,700.00 28.30 325.61 1,641.99 1,558.49 210.99 -274.86 2,361,656.49 274,871.05 3.00 217.66 1,800.00 30.65 329.42 1,729.05 1,645.55 252.51 -301.22 2,361,698.50 274,845.48 3.00 259.81 1,900.00 33.09 332.73 1,813.97 1,730.47 298.72 -326.70 2,361,745.19 274,820.88 3.00 306.64 2,000.00 35.60 335.63 1,896.54 1,813.04 349.51 -351.22 2,361,796.43 274,797.33 3.00 358.01 2,100.00 38.18 338.19 1,976.51 1,893.01 404.73 -374.72 2,361,852.09 274,774.88 3.00 413.80 2,200.00 40.81 340.47 2,053.68 1,970.18 464.24 -397.13 2,361,912.00 274,753.60 3.00 473.83 2,300.00 43.47 342.52 2,127.83 2,044.33 527.86 -418.39 2,361,976.01 274,733.54 3.00 537.96 2,400.00 46.17 344.37 2,198.75 2,115.25 595.43 -438.45 2,362,043.94 274,714.76 3.00 605.99 2,456.18 47.70 345.34 2,237.11 2,153.61 635.05 -449.17 2,362,083.76 274,704.80 3.00 645.87 2,500.00 47.70 345.34 2,266.59 2,183.09 666.41 -457.37 2,362,115.26 274,697.19 0.00 677.41 2,599.99 47.70 345.34 2,333.89 2,250.39 737.97 -476.09 2,362,187.16 274,679.83 0.00 749.41 2,699.99 47.70 345.34 2,401.18 2,317.68 809.53 -494.81 2,362,259.06 274,662.47 0.00 821.41 2,799.99 47.70 345.34 2,468.48 2,384.98 881.09 -513.53 2,362,330.96 274,645.11 0.00 893.41 2,899.99 47.70 345.34 2,535.77 2,452.27 952.65 -532.25 2,362,402.86 274,627.75 0.00 965.41 y 2,999.99 47.70 345.34 2,603.07 2,519.57 1,024.21 -550.96 2,362,474.76 274,610.38 0.00 1,037.40 / .....r/� 3,099.99 47.70 345.34 2,670.37 2,586.87 1,095.77 -569.68 2,362,546.66 274,593.02 0.00 1,109.40 - T7 3,199.99 47.70 345.34 2,737.66 2,654.16 1,167.33 -588.40 2,362,618.55 274,575.66 0.00 1,181.40 �l 3,299.99 47.70 345.34 2,804.96 2,721.46 1,238.89 -607.12 2,362,690.45 274,558.30 0.00 1,253.40 "3c 3,399.99 47.70 345.34 2,872.25 2,788.75 1,310.45 -625.84 2,362,762.35 274,540.94 0.00 1,325.40 3,499.99 47.70 345.34 2,993399 5 2,856.05 1,382.01 -644.56 2,362,834.25 274,523.58 0.00 1,397.39 3,599.99 47.70 345.34 3,006.84 2,923.34 1,453.57 -663.28 2,362,906.15 274,506.22 0.00 1,469.39 3,699.99 47.70 345.34 3,074.14 2,990.64 1,525.13 -682.00 2,362,978.05 274,488.86 0.00 1,541.39 .I 3,799.99 47.70 345.34 3,141.43 3,057.93 1,596.69 -700.71 2,363,049.95 274,471.50 0.00 1,613.39 14/1 3,899.99 47.70 345.34 3,208.73 3,125.23 1,668.26 -719.43 2,363,121.85 274,454.13 0.00 1,685.39 7/9/2015 12:07:56PM Page 3 COMPASS 5000.1 Build 73 • • Halliburton HAL L I B U R TO N Standard Proposal Report Database: Sperry EDM-NORTH US+CANADA Local Co-ordinate Reference: Well Plan:KBU 31-06X Company: Hilcorp Energy Company TVD Reference: As-Built KBU 31-06X @ 83.50usft Project: Kenai Gas Field MD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad North Reference: True Well: Plan:KBU 31-06X Survey Calculation Method: Minimum Curvature Wellbore: KBU 31-06X Design: KBU 31-06X wp2.0 Planned Survey Measured Vertical Map Map Depth Inclination Azimuth Depth TVDss +N1-S +Ef-W Northing Easting DLS Vert Section (usft) (°) (°) (usft) usft (usft) (usft) (usft) (usft) 3,192.52 3,999.99 47.70 345.34 3,276.02 3,192.52 1,739.82 -738.15 2,363,193.75 274,436.77 0.00 1,757.38 4,099.99 47.70 345.34 3,343.32 3,259.82 1,811.38 -756.87 2,363,265.64 274,419.41 0.00 1,829.38 4,199.99 47.70 345.34 3,410.61 3,327.11 1,882.94 -775.59 2,363,337.54 274,402.05 0.00 1,901.38 4,299.99 47.70 345.34 3,477.91 3,394.41 1,954.50 -794.31 2,363,409.44 274,384.69 0.00 1,973.38 4,399.99 47.70 345.34 3,545.20 3,461.70 2,026.06 -813.03 2,363,481.34 274,367.33 0.00 2,045.38 4,499.99 47.70 345.34 3,612.50 3,529.00 2,097.62 -831.74 2,363,553.24 274,349.97 0.00 2,117.37 4,599.99 47.70 345.34 3,679.79 3,596.29 2,169.18 -850.46 2,363,625.14 274,332.61 0.00 2,189.37 4,699.99 47.70 345.34 3,747.09 3,663.59 2,240.74 -869.18 2,363,697.04 274,315.25 0.00 2,261.37 4,799.99 47.70 345.34 3,814.38 3,730.88 2,312.30 -887.90 2,363,768.94 274,297.89 0.00 2,333.37 4,899.99 47.70 345.34 3,881.68 3,798.18 2,383.86 -906.62 2,363,840.84 274,280.52 0.00 2,405.36 4,999.99 47.70 345.34 3,948.97 3,865.47 2,455.42 -925.34 2,363,912.73 274,263.16 0.00 2,477.36 5,099.99 47.70 345.34 4,016.27 3,932.77 2,526.98 -944.06 2,363,984.63 274,245.80 0.00 2,549.36 5,199.99 47.70 345.34 4,083.56 4,000.06 2,598.54 -962.78 2,364,056.53 274,228.44 0.00 2,621.36 5,298.39 47.70 345.34 4,149.78 4,066.28 2,668.96 -981.20 2,364,127.28 274,211.36 0.00 2,692.21 5,299.99 47.67 345.39 4,150.86 4,067.36 2,670.10 -981.49 2,364,128.43 274,211.08 3.00 2,693.36 5,399.99 45.70 348.49 4,219.47 4,135.97 2,740.95 -997.96 2,364,199.57 274,195.96 3.00 2,764.59 5,499.99 43.81 351.80 4,290.49 4,206.99 2,810.29 -1,010.04 2,364,269.12 274,185.19 3.00 2,834.20 5,599.99 42.02 355.35 4,363.73 4,280.23 2,877.92 -1,017.69 2,364,336.89 274,178.82 3.00 2,902.00 5,699.99 40.35 359.13 4,439.00 4,355.50 2,943.67 -1,020.89 2,364,402.68 274,176.86 3.00 2,967.81 5,799.99 38.82 3.18 4,516.07 4,432.57 3,007.35 -1,019.65 2,364,466.33 274,179.31 3.00 3,031.44 5,899.99 37.43 7.49 4,594.75 4,511.25 3,068.79 -1,013.95 2,364,527.65 274,186.18 3.00 3,092.72 5,933.69 37.00 9.00 4,621.59 4,538.09 3,088.97 -1,011.03 2,364,547.76 274,189.48 3.00 3,112.82 5,999.99 37.00 9.00 4,674.54 4,591.04 3,128.37 -1,004.78 2,364,587.04 274,196.46 0.00 3,152.06 6,099.99 37.00 9.00 4,754.40 4,670.90 3,187.81 -995.37 2,364,646.29 274,207.00 0.00 3,211.25 6,199.99 37.00 9.00 4,834.27 4,750.77 3,247.25 -985.96 2,364,705.54 274,217.54 0.00 3,270.44 6,299.99 37.00 9.00 4,914.13 4,830.63 3,306.69 -976.54 2,364,764.79 274,228.07 0.00 3,329.63 6,399.99 37.00 9.00 4,993.99 4,910.49 3,366.14 -967.13 2,364,824.04 274,238.61 0.00 3,388.83 6,499.99 37.00 9.00 5,073.86 4,990.36 3,425.58 -957.71 2,364,883.29 274,249.15 0.00 3,448.02 6,599.99 37.00 9.00 5,153.72 5,070.22 3,485.02 -948.30 2,364,942.53 274,259.68 0.00 3,507.21 6,699.99 37.00 9.00 5,233.58 5,150.08 3,544.46 -938.88 2,365,001.78 274,270.22 0.00 3,566.40 6,733.69 37.00 9.00 5,260.50 5,177.00 3,564.49 -935.71 2,365,021.75 274,273.77 0.00 3,586.35 6,799.99 35.03 8.50 5,314.12 5,230.62 3,603.02 -929.78 2,365,060.16 274,280.43 3.00 3,624.72 6,899.99 32.07 7.64 5,397.45 5,313.95 3,657.73 -922.01 2,365,114.71 274,289.23 3.00 3,679.23 6,999.99 29.12 6.62 5,483.52 5,400.02 3,708.22 -915.67 2,365,165.07 274,296.52 3.00 3,729.55 7,013.73 28.71 6.47 5,495.56 5,412.06 3,714.83 -914.91 2,365,171.66 274,297.41 3.00 3,736.13 7,099.99 28.71 6.47 5,571.20 5,487.70 3,755.99 -910.25 2,365,212.73 274,302.85 0.00 3,777.17 7,199.99 28.71 6.47 5,658.91 5,575.41 3,803.73 -904.84 2,365,260.35 274,309.16 0.00 3,824.76 7,299.99 28.71 6.47 5,746.62 5,663.12 3,851.46 -899.42 2,365,307.97 274,315.48 0.00 3,872.34 7,399.99 28.71 6.47 5,834.32 5,750.82 3,899.19 -894.01 2,365,355.59 274,321.79 0.00 3,919.93 7,499.99 28.71 6.47 5,922.03 5,838.53 3,946.92 -888.60 2,365,403.21 274,328.10 0.00 3,967.51 7,599.98 28.71 6.47 6,009.73 5,926.23 3,994.65 -883.19 2,365,450.83 274,334.41 0.00 4,015.10 7,699.98 28.71 6.47 6,097.44 6,013.94 4,042.39 -877.78 2,365,498.45 274,340.73 0.00 4,062.68 7,799.98 28.71 6.47 6,185.15 6,101.65 4,090.12 -872.37 2,365,546.07 274,347.04 0.00 4,110.27 7,899.98 28.71 6.47 6,272.85 6,189.35 4,137.85 -866.96 2,365,593.69 274,353.35 0.00 4,157.85 7,999.98 28.71 6.47 6,360.56 6,277.06 4,185.58 -861.55 2,365,641.30 274,359.66 0.00 4,205.44 7/9/2015 12:07:56PM Page 4 COMPASS 5000.1 Build 73 • 0 Halliburton IIALLIBURTON Standard Proposal Report Database: Sperry EDM-NORTH US+CANADA Local Co-ordinate Reference: Well Plan:KBU 31-06X Company: Hilcorp Energy Company TVD Reference: As-Built KBU 31-06X @ 83.50usft Project: Kenai Gas Field MD Reference: As-Built KBU 31-06X @ 83.50usft Site: KGF 41-7 Pad North Reference: True Well: Plan:KBU 31-06X Survey Calculation Method: Minimum Curvature Wellbore: KBU 31-06X Design: KBU 31-O6X wp2.0 Planned Survey Measured Vertical Map Map Depth Inclination Azimuth Depth TVDss +N/-S +E/-W Northing Easting DLS Vert Section (usft) (°) (°) (usft) usft (usft) (usft) (usft) (usft) 6,364.76 8,099.98 28.71 6.47 6,448.26 6,364.76 4,233.31 -856.13 2,365,688.92 274,365.98 0.00 4,253.02 8,199.98 28.71 6.47 6,535.97 6,452.47 4,281.05 -850.72 2,365,736.54 274,372.29 0.00 4,300.61 8,299.98 28.71 6.47 6,623.68 6,540.18 4,328.78 -845.31 2,365,784.16 274,378.60 0.00 4,348.19 8,399.98 28.71 6.47 6,711.38 6,627.88 4,376.51 -839.90 2,365,831.78 274,384.92 0.00 4,395.78 8,499.98 28.71 6.47 6,799.09 6,715.59 4,424.24 -834.49 2,365,879.40 274,391.23 0.00 4,443.36 8,599.98 28.71 6.47 6,886.79 6,803.29 4,471.97 -829.08 2,365,927.02 274,397.54 0.00 4,490.95 8,699.98 28.71 6.47 6,974.50 6,891.00 4,519.71 -823.67 2,365,974.64 274,403.85 0.00 4,538.53 8,799.98 28.71 6.47 7,062.21 6,978.71 4,567.44 -818.26 2,366,022.26 274,410.17 0.00 4,586.12 8,891.26 28.71 6.47 7,142.26 7,058.76 4,611.01 -813.32 2,366,065.72 274,415.93 0.00 4,629.56 8,899.98 28.97 6.36 7,149.90 7,066.40 4,615.19 -812.85 2,366,069.89 274,416.48 3.00 4,633.72 8,929.36 29.83 6.00 7,175.50 7,092.00 4,629.53 -811.30 2,366,084.20 274,418.30 3.00 4,648.02 8,999.98 29.83 6.00 7,236.76 7,153.26 4,664.46 -807.62 2,366,119.06 274,422.63 0.00 4,682.85 9,099.98 29.83 6.00 7,323.51 7,240.01 4,713.93 -802.42 2,366,168.42 274,428.77 0.00 4,732.18 9,199.98 29.83 6.00 7,410.26 7,326.76 4,763.40 -797.23 2,366,217.78 274,434.90 0.00 4,781.51 9,299.98 29.83 6.00 7,497.01 7,413.51 4,812.87 -792.03 2,366,267.14 274,441.03 0.00 4,830.84 9,389.88. 29.83 6.00 7,575.00 7,491.50 4,857.35 -787.35 2,366,311.52 274,446.55 0.00 4,875.18 5 1/2"TD Targets Target Name -hit/miss target Dip Angle Dip Dir. TVD +N/-S +E/-W Northing Easting •Shape (°) (°) (usft) (usft) (usft) (usft) (usft) KBU 31-06 Tgt 1 0.00 0.00 5,260.50 3,524.49 -895.71 2,364,981.00 274,313.00 -plan misses target center by 52.91 usft at 6713.68usft MD(5244.52 TVD,3552.59 N,-937.59 E) -Circle(radius 100.00) KBU 31-06 Tgt 2 0.00 0.00 6,025.50 3,849.69 -835.85 2,365,305.00 274,379.00 -plan misses target center by 143.93usft at 7547.18usft MD(5963.42 TVD,3969.45 N,-886.05 E) -Point KBU 31-06 Tgt 3 0.00 0.00 7,175.50 4,629.53 -811.30 2,366,084.20 274,418.30 -plan hits target center -Point Casing Points Measured Vertical Casing Hole Depth Depth Diameter Diameter (usft) (usft) Name (") (") 1,500.00 1,462.45 7 5/8" 7-5/8 9-7/8 9,389.88 7,575.00 5 1/2" 5-1/2 6-3/4 Plan Annotations Measured Vertical Local Coordinates Depth Depth +N/-S +E/-W (usft) (usft) (usft) (usft) Comment 9,389.88 7,575.00 4,857.35 -787.35 5 1/2"TD 7/9/2015 12:07:56PM Page 5 COMPASS 5000.1 Build 73 • Hilcorp Energy Company Kenai Gas Field KGF 41-7 Pad Plan: KBU 31-06X KBU 31-06X KBU 31-06X wp2.0 Sperry Drilling Services Clearance Summary Anticollision Report 09 July,2015 Closest Approach 3D Proximity Scan on Current Survey Data(North Reference) Reference Design: KGF 41-7 Pad-Plan:KBU 31-06X-KBU 31-06X-KBU 31-06X wp2.0 Well Coordinates: 2,361,440.35 N,275,141.86 E(60'27'28.67"N,151.14'44.31"W) Datum Height:As-Built KBU 31-06X @ 83.50usft Scan Range:0.00 to 9,389.88 usft.Measured Depth. Scan Radius is 1,137.19 usft.Clearance Factor cutoff is Unlimited.Max Ellipse Separation is Unlimited Geodetic Scale Factor Applied Version: 5000.1 Build: 73 Scan Type: GLOBAL FILTER APPLIED:All wellpaths within 200'+100/1000 of reference Scan Type: 25.00 taIMMIMMIX HALLIBURTON Sperry Drilling Service. i • Hilcorp Energy Company HALLIBURTON Kenai Gas Field Anticollision Report for Plan: KBU 31-06X-KBU 31-06X wp2.0 Closest Approach 3D Proximity Scan on Current Survey Data(North Reference) Reference Design: KGF 41-7 Pad-Plan:KBU 31-06X-KBU 31-06X-KBU 31-06X wp2.0 Scan Range:0.00 to 9,389.88 usft.Measured Depth. Scan Radius is 1,137.19 usft.Clearance Factor cutoff is Unlimited.Max Ellipse Separation is Unlimited Measured Minimum @Measured Ellipse @Measured Clearance Summary Based on Site Name Depth Distance Depth Separation Depth Factor Minimum Separation Warning Comparison Well Name-Wellbore Name-Design (usft) (usft) (usft) (usft) usft Kenai Deep Unit 2 KDU 2-KDU 2(21-8)-KDU 2(21-8) 266.33 226.76 266.33 224.45 273.76 97.950 Centre Distance Pass- KDU 2-KDU 2(21-8)-KDU 2(21-8) 300.00 226.92 300.00 224.36 307.16 88.604 Ellipse Separation Pass- KDU 2-KDU 2(21-8)-KDU 2(21-8) 950.00 361.67 950.00 354.44 880.96 50.024 Clearance Factor Pass- KGF 14-6 Pad KBU 22-06-KBU 22-06-KBU 22-06 7,498.87 814.26 7,498.87 591.44 7,058.66 3.654 Centre Distance Pass- KBU 22-06-KBU 22-06-KBU 22-06 7,525.00 814.36 7,525.00 591.42 7,080.84 3.653 Clearance Factor Pass- KGF 34-31 Pad KDU-05-KDU-5-KDU-5 9,389.88 889.85 9,389.88 784.88 8,583.55 8.477 Clearance Factor Pass- KGF 41-7 Pad KBU 11-08Z-KBU 11-08Z-KBU 11-08Z 607.73 25.36 607.73 20.74 608.46 5.486 Ellipse Separation Pass- KBU 11-08Z-KBU 11-08Z-KBU 11-08Z 625.00 25.80 625.00 21.03 62502 5.411 Clearance Factor Pass- KBU 33-06-KBU 33-06-KBU 33-06 3,525.06 203.24 3,525.06 151.83 3,192.26 3.953 Centre Distance Pass- KBU 33-06-KBU 33-06-KBU 33-06 3,550.00 203.38 3,550.00 151.61 3,216.18 3.929 Ellipse Separation Pass- KBU 33-06-KBU 33-06-KBU 33-06 3,600.00 204.44 3,600.00 152.16 3,264.23 3.910 Clearance Factor Pass- KBU 33-06x-KBU 33-06x-KBU 33-06x 2,463.98 307.11 2,463.98 277.42 2,291.86 10.344 Ellipse Separation Pass- KBU 33-06x-KBU 33-06x-KBU 33-06x 2,500.00 307.80 2,500.00 277.95 2,321.55 10.312 Clearance Factor Pass- KBU 34-6-KBU 34-6-KBU 34-6 2,455.45 426.10 2,455.45 406.01 2,228.59 21.205 Centre Distance Pass- KBU 34-6-KBU 34-6-KBU 34-6 2,475.00 426.32 2,47500 405.84 2,243.27 20.823 Ellipse Separation Pass- KBU 34-6-KBU 34-6-KBU 34-6 2,850.00 509.03 2,850.00 480.71 2,515.93 17.975 Clearance Factor Pass- KBU 41-6-KBU 41-6-KBU 41-6 703.28 648.24 703.28 643.10 630.87 126.218 Centre Distance Pass- KBU 41-6-KBU 41-6-KBU 41-6 727.21 648.31 727.21 643.00 651.00 122.048 Ellipse Separation Pass- KBU 41-6-KBU 41-6-KBU 41-6 9,389.88 1,022.16 9,389.88 839.63 9,479.91 5.600 Clearance Factor Pass- KBU 41-7-KBU 41-7-KBU 41-7 1,193.37 342.55 1,193.37 331.00 1,181.31 29.653 Centre Distance Pass- KBU 41-7-KBU 41-7-KBU 41-7 1,500.00 346.08 1,500.00 329.57 1,468.22 20.960 Ellipse Separation Pass- KBU 41-7-KBU 41-7-KBU 41-7 1,600.00 347.78 1,60000 330.59 1,559.01 20235 Clearance Factor Pass- 09 July,2015- 11:58 Page 2 of 6 COMPASS • • Hilcorp Energy Company HALLIBURTON Kenai Gas Field Anticollision Report for Plan: KBU 31-06X-KBU 31-06X wp2.0 Closest Approach 3D Proximity Scan on Current Survey Data(North Reference) Reference Design: KGF 41-7 Pad-Plan:KBU 31-06X-KBU 31-06X-KBU 31-06X wp2.0 Scan Range: 0.00 to 9,389.888 usft.Measured Depth. Scan Radius is 1,137.19 usft.Clearance Factor cutoff is Unlimited.Max Ellipse Separation is Unlimited Measured Minimum @Measured Ellipse @Measured Clearance Summary Based on Site Name Depth Distance Depth Separation Depth Factor Minimum Separation Warning Comparison Well Name-Wellbore Name-Design (usft) (usft) (usft) (usft) usft KBU 42-6X-KBU 42-6X-KBU 42-6X 2,93920 251.65 2,939.20 232.63 2,84746 13.230 Centre Distance Pass- KBU 42-6X-KBU 42-6X-KBU 42-6X 2,950.00 251.69 2,950.00 232.61 2,857.31 13.192 Ellipse Separation Pass- KBU 42-6X-KBU 42-6X-KBU 42-6X 7,375.00 1,017.33 7,375.00 865.24 7,532.76 6.689 Clearance Factor Pass- KBU 42-7-KBU 42-7-KBU 42-7 1,713.51 280.32 1,713.51 262.51 1,668.42 15.739 Ellipse Separation Pass- KBU 42-7-KBU 42-7-KBU 42-7 1,725,00 280.39 1,725.00 262.57 1,677.62 15.731 Clearance Factor Pass- KBU 42-7-KBU 42-7RD-KBU 42-7RD 1,713.51 280.32 1,713.51 262.51 1,668.42 15.739 Ellipse Separation Pass- KBU 42-7-KBU 42-7RD-KBU 42-7RD 1,725.00 280.39 1,725.00 262.57 1,677.62 15.731 Clearance Factor Pass- KBU 43-7X-KBU 43-7X-KBU 43-7X 1,897.35 70.89 1,897.35 52.17 1,881.93 3.786 Centre Distance Pass- KBU 43-7X-KBU 43-7X-KBU 43-7X 1,900.00 70.93 1,900.00 52.16 1,883.17 3.779 Clearance Factor Pass- KDU-02(21-8)-KDU 02(21-8)-KDU 02(21-8) 1,404.03 289.76 1,404.03 273.99 1,367.41 18.370 Centre Distance Pass- KDU-02(21-8)-KDU 02(21-8)-KDU 02(21-8) 1,425.00 290.03 1,425.00 273.79 1,381.87 17.865 Ellipse Separation Pass- KDU-02(21-8)-KDU 02(21-8)-KDU 02(21-8) 1,500.00 295.55 1,500.00 277.74 1,431.29 16.598 Clearance Factor Pass- KDU-04-KDU-04-KDU-04 1,350.00 30.66 1,350.00 15.37 1,373.30 2.005 Clearance Factor Pass- KDU-04-KDU-04-KDU-04 1,351.72 30.64 1,351.72 15.36 1,374.74 2.006 Ellipse Separation Pass- KDU-04-KDU-04RD-KDU-04RD 1,350.00 30.66 1,350.00 15.37 1,373.30 2.005 Clearance Factor Pass- KDU-04-KDU-04RD-KDU-04RD 1,351.72 30.64 1,351.72 15.36 1,374.74 2.006 Ellipse Separation Pass- KDU-10-KDU 10-KDU 10 1,174.01 89.43 1,174.01 79.17 1,158.91 8.719 Centre Distance Pass- KDU-10-KDU 10-KDU 10 1,175.00 89.43 1,175.00 79.16 1,159.84 8.708 Ellipse Separation Pass- KDU-10-KDU 10-KDU 10 1,250.00 92.85 1,250.00 81.64 1,230.63 8.277 Clearance Factor Pass- KTU 24-06H-KTU 24-6H-KTU 24-6H 2,127.28 293.02 2,127.28 275.69 2,004.96 16.912 Ellipse Separation Pass- KTU 24-06H-KTU 24-6H-KTU 24-6H 2,150.00 293.31 2,150.00 275.94 2,022.50 16.885 Clearance Factor Pass- KTU 32-07-KTU 32-7-KTU 32-7 2,106.47 316.37 2,106.47 299.34 2,026.60 18.578 Ellipse Separation Pass- KTU 32-07-KTU 32-7-KTU 32-7 2,150.00 317.84 2,150.00 300.69 2,056.65 18.535 Clearance Factor Pass- KTU 43-06X-KTU 43-6X-KTU 43-6X 2,207.92 257.62 2,207.92 222.10 2,107.60 7.253 Centre Distance Pass- KTU 43-06X-KTU 43-6X-KTU 43-6X 2,350,00 259.59 2,350.00 220.74 2,239.96 6.682 Ellipse Separation Pass- KTU 43-06X-KTU 43-6X-KTU 43-6X 2,575.00 274.32 2,575.00 230.65 2,447.37 6.282 Clearance Factor Pass- KTU 43-SEX-KTU 43-6XRD-KTU 43-6XRD 2,207.92 257.62 2,207.92 222.10 2,120.60 7.253 Centre Distance Pass- KTU 43-06X-KTU 43-6XRD-KTU 43-6XRD 2,350.00 259.59 2,350.00 220.74 2,252.96 6.682 Ellipse Separation Pass- KTU 43-06X-KTU 43-6XRD-KTU 43-6XRD 2,575.00 274.32 2,575,00 230.65 2,460.37 6.282 Clearance Factor Pass- KTU 43-06X-KTU 43-6XRD2-KTU 43-6XRD2 2,207.92 257.62 2,207.92 222.10 2,107.60 7.253 Centre Distance Pass- KTU 43-06X-KTU 43-6XRD2-KTU 43-6XRD2 2,350.00 259.59 2,350.00 220.74 2,239.96 6.682 Ellipse Separation Pass- 09 July,2015- 11:58 Page 3 of 6 COMPASS • • Hilcorp Energy Company HALLIBURTON Kenai Gas Field Anticollision Report for Plan: KBU 31-06X-KBU 31-06X wp2.O Closest Approach 3D Proximity Scan on Current Survey Data(North Reference) Reference Design: KGF 41-7 Pad-Plan:KBU 31-06X-KBU 31-06X-KBU 31-06X wp2.0 Scan Range:0.00 to 9,389.88 usft.Measured Depth. Scan Radius is 1,137.19 usft.Clearance Factor cutoff is Unlimited.Max Ellipse Separation is Unlimited Measured Minimum @Measured Ellipse @Measured Clearance Summary Based on Site Name Depth Distance Depth Separation Depth Factor Minimum Separation Warning Comparison Well Name-Wellbore Name-Design (usft) (usft) (usft) (usft) usft KTU 43-06X-KTU 43-6XRD2-KTU 43-6XRD2 2,575.00 274.32 2,575.00 230.65 2,447.37 6.282 Clearance Factor Pass- KU 11-8-KU 11-8-KU 11-8 659.72 177.90 659.72 170.81 617.03 25.079 Centre Distance Pass- KU 11-8-KU 11-8-KU 11-8 725.00 178.33 725.00 170.47 680.78 22.678 Ellipse Separation Pass- KU 11-8-KU 11-8-KU 11-8 1,000.00 208.43 1,000.00 197.12 929.11 18.421 Clearance Factor Pass- KU 43-6-KU 43-6-KU 43-6 18.00 346.78 18.00 345.89 26.09 387.127 Centre Distance Pass- KU 43-6-KU 43-6-KU 43-6 50.00 346.87 50.00 345.81 57.05 326.684 Ellipse Separation Pass- KU 43-6-KU 43-6-KU 43-6 4,525.00 554.88 4,525.00 413.47 4,129.00 3.924 Clearance Factor Pass- KU 43-6-KU 43-6RD-KU 43-6RD 6,090.11 219.33 6,090.11 79.18 5,740.00 1.565 Clearance Factor Pass- KU 43-7-KU 43-7-KU 43-7 795.58 24.84 795.58 16.33 805.56 2.919 Centre Distance Pass- KU 43-7-KU 43-7-KU 43-7 800.00 24.92 800.00 16.29 809.50 2.889 Clearance Factor Pass- Survey tool program From To SurveylPlan Survey Tool (usft) (usft) 18.00 1,500.00 KBU 31-O6Xwp2.0 SRG-SS 1,500.00 9,389.88 KBU 31-06X wp2.0 MWD+SC+sag Ellipse error terms are correlated across survey tool tie-on points. Calculated ellipses incorporate surface errors. Separation is the actual distance between ellipsoids. Distance Between centres is the straight line distance between wellbore centres. Clearance Factor=Distance Between Profiles/(Distance Between Profiles-Ellipse Separation). All station coordinates were calculated using the Minimum Curvature method. 09 July,2015- 11:58 Page 4 of 6 COMPASS • Hilcorp Energy Company HALLIBURTON Kenai Gas Field Anticollision Report for Plan: KBU 31-06X-KBU 31-O6X wp2.O Direction and Coordinates are relative to True North Reference. Vertical Depths are relative to As-Built KBU 31-06X©83.50usft. Northing and Easting are relative to Plan:KBU 31-06X. Coordinate System is US State Plane 1927(Exact solution),Alaska Zone 04. Central Meridian is-150,00°,Grid Convergence at Surface is:-1.08°. LEGEND Ladder Plot - KDU 2,KDU 2(21-8),KDU 2(21-8)VO . 3- KBU 22-06,KBU 22-06,KBU 22-06 VO 1 I I I I -et- KDU-05,KDU-5,KDU-5V0 C 1 t 1 1 KBU 11-08ZKBU 11-08Z,KBU 11-08ZV0 '- 1 4 VA. t h '.1 -3- KBU 3306,KBU 33-06,KBU 33-06 V0 n10 I !AY i it - i r�� • 'Y`�� _(-KBU 33.06x,KBU 33-06AKBU3306xV0 o - - , fsi-i 11/� Ni ��� -6- KBU 34-6,KBU 34b,KBU 34-6V0 /,1'ij/ f 4 $ KBU 41-6,KBU4I-6,KBU41-6V0 !f' p.! lb i. ry fr/`e r • $ KBU41-7,KBU41-7,KBU41-7V0 O �t�, iJ1�► 11/. %t ,1 • -M- KBU 42-6X,KBU42-6X,KBU42-6XV0 II (' I N 7� -+��// /� /A 44 $ KBU42-7,KBU42-7,KBU42-7V0 N ,ate`!(i) Riljk Ir1.6,/I� IY ri, i p i-KBU 42-7,KBU 42-7RD,KBU42-7RDV0 �} $KBU 43-7X,KBU43-7X,KBU43-7XV0 *.!:44,11.4 - $KDU-02(21-8),KDU 02(21-8),KDU 02(21-8)VO • , $!vIjiJ/jA�f. . ,1 $3 1o '�< '".Yf'�`" �i��l/r , -a-KDU-10,KDU 10,KDU 10V0 0� -e-KTU24-06H,KTU24�H,KTU246HV0 + i irl� „ 1 lef '+c,1 L L - - 101132-07,KTU 32-7,KTU32-7 V0 a) WA, AT 1 $ KTU43-06X,KTU436X,KTU43-6XV0 %>�� I4l1 -� KTU43-06X,KTU43-6XRD,KTU436XRDV0 0 -3- KTU43-06X,KTU43-6XRD2,KTU43-6XRD2V0 0 2000 4000 6000 8000 10000 -6-KU 11-8,KU 11-8,KU 11-8 VO Measured Depth(2000 usft/in) -N-KU43-6,KU43-6,KU43-6VO p $ KU43-6,KU43-6RD,KU43-6RDV0 -e' rNU4Sf,Ru4J-/,r\U43-1 vV 09 July,2015-11:58 Page 5 of 6 COMPASS III • Hilcorp Energy Company HALLIBURTON Kenai Gas Field Anticollision Report for Plan: KBU 31-06X-KBU 31-06X wp2.0 Clearance Factor Plot: Measured Depth versus Separation(Clearance)Factor TEGEl16 1s O /k 4) �� I 10.00-- - U'd KDU2,KDU2(21-8),KDU2(21-8)V0 ��I -}-KBU22-06,KBU22-06,KBU22-06V0 _ i -f•KDU-05,KDU-5,KDU-5V0 i I �i. iiii 8.75- r ,,, 'I - ---- --- -- ---- - _ ____ KBU11-OSZ,KBU11-08Z,KBU11-082 V0 rAi! hd - -KBU33-06,KBU33-06,KBU33-06V0 I $KBU 33-06x,KBU33-06XKBU33-06xVO 7.50-- - , 94ri - ---- - $KBU 34-6,KBU 346,KBU 34-6VO 71111'1r:ult. \ •,r $KBU41-6,KBU41-0,KBU41-6V0 Lo w _ \ -e-•KBU41-7,KBU41-7,KBU41-7 V0 6.25 jjji -' --- -- --�- - -W KBU 42-6X,KBU 42-0X,KBU 42-6XVO LL 'I! 11111� ' - $KBU42-7,KBU 42-7,KBU42-7 V0 c 5.00- - - _ ._ KBU42-7,KBU 42-7RD,KBU 42-7RDV0 o _ KBU43-7X,KBU43-7X,KBU43-7XVO m _ II5 4, $ KDU-02(21-8),KDU 02(21-8),KDUO2(21-8)V0 aa)) - __ _ KDU-04,KDU-04,KDU-04 VO _ _._- _-___.-- _ - Ns -e- KDU-04,KDU-04RD,KDU-04RDVO - , p O 49 -A- KDU-10,KDU 10,KDU 10 V0 2.50------- - ,`. - - - ---- $' KTU24-06H,KTU24-6H,KTU24-6HVO - ♦-KTU 32-07,KTU 32-7,KTU 32-7 VO Collision Avoidance Req O �i $ K1U43-06X,KTU43-6X,KTU43-6XVO 1.25 - $ KTU 43-06X,KTU43-6XRD,KTU43-6XRDVO - -*- K1U43-06X,KTU43-6XRD2,KTU43-6XRD2VO - -a- KU11-8,KU11-8,KU11-8V0 0.00 1 1 1 1 1 1 1 1111 11111111111111 1 1 1 1 1111 1111 1111 11111111111 ♦-KU 43-6,KU 43-6,KU43-6VO 0 1000 2000 3000 4000 5000 6000 7000 8000 9000 10000 11000 12000 -4)- KU 43-6,KU 43-6RD,KU 43-6RD VO Meesued Depth(2000 usfKn) -9- KU 43-7,KU 43-7,KU 43-7 VO 09 July,2015-11:58 Page 6 or 6 COMPASS • Schwartz, Guy L (DOA) From: Monty Myers <mmyers@hilcorp.com> Sent: Thursday,July 30, 2015 2:14 PM To: Schwartz, Guy L(DOA) Cc: Davies, Stephen F (DOA) Subject: RE: KBU 31-06X wp2 (PTD 215-127) Attachments: KBU 31-06X pg 4.pdf; KBU 31-06X pg 44.pdf; KBU 31-06X Casing Design.xls Thanks Guy. I have asked Halliburton to change that or just remove it to eliminate confusion numerous times. It should be 3500'. I have corrected my copy of page 4. Great catch! My book shows 575 but the spec sheet definitely says 683. Attached is the excel spread sheet for the burst safety factor. Looks like I failed to update the MASP on the sheet,that then auto calculates the Burst Safety Factor. I also attached the updated sheets. Let me know if you have additional questions. Thank you! Monty M Myers Drilling Engineer Hilcorp Alaska Office: 907.777.8431 Cell: 907.538.1168 From: Schwartz, Guy L(DOA) [mailto:guy.schwartzOalaska.gov] Sent:Tuesday,July 28, 2015 11:31 AM To: Monty Myers Cc: Davies, Stephen F(DOA) Subject: KBU 31-06X wp2 (PTD 215-127) Monty, I noticed the Halliburton well plan has the 7 5/8" casing depth at 1500 ft vs your plan of 3500 ft md. (2940'ND). I can hand correct our copy just wanted you to know. Also the tension for 7 5/8"tubular is 683 vs 575 Klbs on page 4. Can you show me the calcs for the MASP on the Burst safety factor on page 44 also??? Guy Schwartz Senior Petroleum Engineer AOGCC 907-301-4533 cell 907-793-1226 office CONFIDENTIALITY NOTICE:This e-mail message,including any attachments,contains information from the Alaska Oil and Gas Conservation Commission(AOGCC),State of Alaska and is for the sole use of the intended recipient(s).It may contain confidential and/or privileged information.The unauthorized review,use or disclosure of such information may violate state or federal law.If you are an unintended recipient of this e-mail,please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Guy Schwartz at(907-793-1226) or(Guv.schwartz@alaska.gov). 1 • • KBU 31-06X Drilling Procedure Rev 0 Hilcorp E....company 27.0 Casing Design Information Calculation&Casing Design Factors Kenai Gas Field DATE:7117/2015 WELL:KBU 31-06X os- FIELD:Kenai Gas Field DESIGN BY:Monty M Myers Design Criteria: Hole Size 9-718- Mud Density: 8.89pg Hole Size 6-314' Mud Density: 9.5 ppg Hole Size Mud Density: Drilling Mode MASP: 2458 psi(see attached MASP determination&calculation) WASP: Production Mode WASP: 1742 psi(see attached MASP determination&calculation) Collapse Calculation: Section Calculation 1 Normal gradient external stress(0.435 psi/ft)and the casing evacuated for the internal stress Casing Section Calculation/Specification 1 2 3 4 Casing OD 7-518" 4-1/2® Top(MD) 0 0 Top(TVD) 0 0 Bottom(MD) 3,500 9.390 Bottom(TVD) 2,940 7.575 Length 3,500 9,390 Weight(ppf) 29.7 12.6 Grade L-80 L-80 Connection BTC DWCIC HT Weight wlo Bouyancy Factor(lbs) 103,950 118,314 Tension at Top of Section(lbs) 103,950 118,314 Min strength Tension(1000 lbs) 683 288 Worst Case Safety Factor(Tension) 6.57 2.43 Collapse Pressure at bottom(Psi) 1,279 3,295 Collapse Resistance w/o tension(Psi) 4,790 7,480 Worst Case Safety Factor(Collapse) 3.75 2.27 MASP(psi) 981 2.458 Minimum Yield(psi) 6,890 8,430 Worst case safety factor(Burst) 7.02 3.43 Page 44 Version 0 June,2015 • • Maximum Anticipated Surface Pressure Calculation 6-3/4" Hole Section Hilco : KBU 31-06X Kenai Gas Field MD ND Planned Top: 0 0 Planned TD: 9390 7575 Anticipated Formations and Pressures: Formation ND Est Pressure Oil/Gas/Wet PPG Grad KOP 250 Sterling 3540 500 Gas 2.7 0.141 Sterling 5.2 4147 1500 Gas 7.0 0.362 Sterling Pool 6 4441 210 Gas 0.9 0.047 Upper Beluga 4699 900 Gas 3.7 0.192 Middle Beluga 5334 1000 Gas 3.6 0.187 Lower Beluga 6113 1000 Gas/Water 3.1 0.164 Upper Tyonek 7264 2500 Gas 6.6 0.344 TD 7575 2500 Gas 6.3 0.330 Offset Well Mud Densities Well MW range Top(ND) Bottom(ND) Date KU 41-18 11.4-12.2 9,500 12,000 1978 KDU 2 12.2-12.6 9,500 10,500 1968 Assumptions: 1. Fracture gradient at shoe is estimated at 0.936 psi/ft based on field test data. 2. Maximum planned mud density for the 6-3/4" hole section is 10.5 ppg. 3. Calculations assume"Unknown" reservoir contains 100%gas(worst case). 4. Calculations assume worst case event is 100%evacuation of wellbore to gas. Fracture Pressure at 7-5/8"shoe considering a full column of gas from shoe to surface: TVD Frac Grad 2940 ft X 0.936 psi/ft 2752 psi 2752(psi)-[0.1(psi/ft)*2940(ft)J= 2458 psi MASP from pore pressure during production mode(Complete evacuation to gas) 7575 ft X 0.330 psi/ft 2500 psi Downhole 2500(psi)-[0.1(psi/ft)*7575(ft)J= 1742 psi Surface Summary: 1. MASP while drilling 6-3/4" production hole is governed by frac pressure at 7-5/8"shoe with entire wellbore evacuated to gas • Schwartz, Guy L (DOA) From: Monty Myers <mmyers@hilcorp.com> Sent: Thursday, July 30, 2015 2:14 PM To: Schwartz, Guy L (DOA) Cc: Davies, Stephen F (DOA) Subject: RE: KBU 31-06X wp2 (PTD 215-127) Attachments: KBU 31-06X pg 4.pdf; KBU 31-06X pg 44.pdf; KBU 31-06X Casing Design.xls Thanks Guy. I have asked Halliburton to change that or just remove it to eliminate confusion numerous times. It should be 3500'. I have corrected my copy of page 4.Great catch! My book shows 575 but the spec sheet definitely says 683. Attached is the excel spread sheet for the burst safety factor. Looks like I failed to update the MASP on the sheet,that then auto calculates the Burst Safety Factor. I also attached the updated sheets. Let me know if you have additional questions. Thank you! Monty M Myers Drilling Engineer Hilcorp Alaska Office:907.777.8431 Cell: 907.538.1168 From: Schwartz, Guy L(DOA) [mailto:guy.schwartz©alaska.gov] Sent: Tuesday, July 28, 2015 11:31 AM To: Monty Myers Cc: Davies, Stephen F(DOA) Subject: KBU 31-06X wp2 (PTD 215-127) Monty, I noticed the Halliburton well plan has the 7 5/8" casing depth at 1500 ft vs your plan of 3500 ft md. (2940'TVD). I can hand correct our copy just wanted you to know. Also the tension for 7 5/8"tubular is 683 vs 575 Klbs on page 4 . Can you show me the calcs for the MASP on the Burst safety factor on page 44 also??? Guy Schwartz Senior Petroleum Engineer AOGCC 907-301-4533 cell 907-793-1226 office CONFIDENTIALITY NOTICE:This e-mail message,including any attachments,contains information from the Alaska Oil and Gas Conservation Commission(AOGCC),State of Alaska and is for the sole use of the intended recipient(s).It may contain confidential and/or privileged information.The unauthorized review,use or disclosure of such information may violate state or federal law.If you are an unintended recipient of this e-mail,please delete it,without first saving or forwarding it,and,so that the AOGCC is aware of the mistake in sending it to you,contact Guy Schwartz at(907-793-1226) or(Guy.schwartz@alaska.gov). 1 • , Maximum Anticipated Surface Pressure Calculation 6-3/4" Hole Section Hilcorp KBU 31-06X Kenai Gas Field MD ND • Planned Top: 0 0 Planned TD: 9390 7575 Anticipated Formations and Pressures: Formation ND Est Pressure Oil/Gas/Wet PPG Grad KOP 250 Sterling 3540 500 Gas 2.7 0.141 Sterling 5.2 4147 1500 Gas 7.0 0.362 Sterling Pool 6 4441 210 Gas 0.9 0.047 Upper Beluga 4699 900 Gas 3.7 0.192 Middle Beluga 5334 1000 Gas 3.6 0.187 Lower Beluga 6113 1000 Gas/Water 3.1 0.164 Upper Tyonek 7264 2500 Gas 6.6 0.344 TD 7575 2500 Gas 6.3 0.330 Offset Well Mud Densities Well MW range Top(ND) Bottom (ND) Date KU 41-18 11.4-12.2 9,500 12,000 1978 KDU 2 12.2-12.6 9,500 10,500 1968 Assumptions: 1. Fracture gradient at shoe is estimated at 0.936 psi/ft based on field test data. 2. Maximum planned mud density for the 6-3/4" hole section is 10.5 ppg. 3. Calculations assume"Unknown" reservoir contains 100%gas(worst case). 4. Calculations assume worst case event is 100%evacuation of wellbore to gas. Fracture Pressure at 7-5/8"shoe considering a full column of gas from shoe to surface: TVD Frac Grad 2940 ft X 0.936 psi/ft 2752 psi 2752(psi)-[0.1(psi/ft)*2940(ft)]= 2458 psi MASP from pore pressure during production mode(Complete evacuation to gas) 7575 ft X 0.330 psi/ft 2500 psi Downhole 2500(psi)- [0.1(psi/ft)*7575 (ft)]= 1742 psi Surface Summary: 1. MASP while drilling 6-3/4" production hole is governed by frac pressure at 7-5/8"shoe with entire wellbore evacuated to gas • • 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: ea 3/ PTD: 2./ r— (2 7 Development Service _Exploratory _Stratigraphic Test _Non-Conventional ,474e. iTierztdel FIELD: (-T CC - POOL: ' `77 /c vc2/Z.tv cZe) Check Box for Appropriate Letter/Paragraphs to be Included in Transmittal Letter CHECK OPTIONS TEXT FOR APPROVAL LETTER MULTI The permit is for a new wellbore segment of existing well Permit LATERAL No. , API No. 50- - - - . (If last two digits Production should continue to be reported as a function of the original in API number are API number stated above. between 60-69) 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 Pilot Hole name ( PH) and API number (50- - ) from records, data and logs acquired for well (name on permit). The permit is approved subject to full compliance with 20 AAC 25.055. Approval to produce/inject is contingent upon issuance of a conservation Spacing Exception order approving a spacing exception. (Company Name) Operator assumes the liability of any protest to the spacing exception that may occur. All dry ditch sample sets submitted to the AOGCC must be in no greater Dry Ditch Sample than 30' sample intervals from below the permafrost or from where samples are first caught and 10'sample intervals through target zones. Please note the following special condition of this permit: production or production testing of coal bed methane is not allowed for Non-Conventional (name of well) until after (Company Name) has designed and Well implemented a water well testing program to provide baseline data on water quality and quantity. (Company Name) must contact the AOGCC to obtain advance approval of such water well testing program. Regulation 20 AAC 25.071(a)authorizes the AOGCC to specify types of well logs to be run. In addition to the well logging program proposed by (Company Name) in the attached application,the following well logs are also required for this well: Well Logging Requirements Per Statute AS 31.05.030(d)(2)(B) and Regulation 20 AAC 25.071, composite curves for well logs run must be submitted to the AOGCC within 90 days after completion, suspension or abandonment of this well. Revised 5/2013 • i N 0) o N , a) ❑ o 3 , , , , � y a), Q a), a O, 2 O N• (a c' N' 0, p O , 0) a), O L, p 3, , O, N, 'd, Csi CD = T oo' • ca, U, y, , . o 3 0 c ' �, 3 Q, a), O > c, U) 0 03 l. O. �. N, M, , p, , N, W. --r E , a, O, �. ui c 3, o, a , E. ' a co, ).a). Y U C N O 0,, ON x@v 77 0 1 Z„ •-Z . 0 , , , , , aN ON' , to W, 0, , •0., ya a)33N,• .. dOSEa , , Q , N, y, m, 0' CDNH, oZma �0' , . , a, a - , , 0y , , 0) E. c ; , o3, O a o, ' v U; N o, o. 20 iii , o N 3 , o. ,03zc, c o (7) 0.1 �' cx • o� c , O, �, Lo, '' a) 3 ) OY4 a � a _ � m � • ns d• Z _ am Q ` N, `h > � 22 OZ O c ' , ) � , Q py, _ > , � -0, L, y, w d, m vO yNo, 0' '0' °' •0) rn N, • Y Oy .. co 1 •-, 0 , >, T - 0, aO ,, CCyCC0, o. CG N _ Q •, aC, ' , N ' , O) UO' 5'' v' ' '> o' L, ,r" a . C � a) O (0c, Op, Cp, a c, y •ca a, NO, CV, iii (0, Cx Cc E o N ° '- 'v 8, 0, a, v0, , o, ' 3 , o, m, E, =, CS F- • � UOO, NpII 0 '�, 'O (A >- Z • o _' _ y CO _ • a • U , y, E, O, c d, ' OC, NNc , � w _, Y, U, c 3, y' N., V' m O o., o 2 co, 2, z I, I, a, a N W z H, ° , , , , , , , , , , , , , , , , , , , , , Q, a), a), a), a), a) a) a), a), a), a), a), a), Q; Q, Q, Q, a), a), a), a), a), a), a), < a), Q, a), a), a), a), a), 0, <, a), a), Q; Q; Q, < a Z, >- >-, >- >- >- >-, >-, >-, >-, Y', >-, >, Z, Z, Z, Z, >-, >-, >-, >-, �, >-, >-, Z, }, z, }, }, }, >-, >-, Z, z, }, }, Z, Z, Z. T N - N@ IL ❑ , 8 � 1 , , , cC ' , y, , , , O O, Q, , U N , IA , , o U -ct -a ' ' et , ta'„ a , „ u_ 2, , a), a) k wYi v�. Umm, •n,, _,, vo,, •-�p,, -aQoj),, ov,,., c, , a,,, n,,, ao,,, �,, 3,, �a),,, y,, •y,,, Oo,,, �ao,,, J >C ] •� NCCQE � OC3 p-- mNc CD •.4 , aaE), Y , C:7) • Oc ° ° ' '0 .- as L 0, 0ov , 4 O' = y z _ o' 0' a m' T . ° 0' ,5E a . o ' 0 N0ui Q 'OOc •0 �' a) CO , •N, a , O. a) m, OO, O) o • N d• LccyN, O F- ' ' ' , , 0, o `, , 4 ' N w 0y ` ° ? _. c a o 2E: 2E: , , c@ , , , 3 , v� � 'w., � �, c - 0, T� �, . , � N o oQc � U o �, .� o, u , 3, 2. o4 'C o, , cc0oO � � mo , 1-'0, Qm, �, v, v , , oai NZ Y � o OooE, .- E J d, 0, 07 c, c, 11-, N, 0, L• _c, a, al 0, N, '0, �, ._ c, 0-, Oaw-, N, •-, a), 0, 8. y, a a O, p, C E J , N, p -O, 0 0 O, Da N O, , 0, 'O, E, 0, , , ' c , N, co, , N -c, N, ` W, 0 , C , T 'ia, , 3N ,8o, o ' o3 , W O TS) Q o m; . , ?, E, , , : , t0g , 0' a , CO" rU O ; a mv, v, >, pN, c. vvo' ° _' p' o, ° 4o, o _ 0, o, o ' Eo, f0O, CO C, 0, aN, U) , a (i) va ` m s' ti, a' ' _ o ' o w v7 0 o' ' 0' o -o a) o a > > aEU a 6 va ,a2' -d mE °) o' 3 ° C oo O Qt, a N, a a a , Ny, a t, vN, , 0- 4NNo, O0, 0, N' 0) G U, , N, 'O, 0ON' OL, 0 E, oOa (a, '- CN0) -0 U, C ` ` 03N (6 .3CC c0) OO , y, a, y 42, . ON E. - � 0 -O. i. 0 N a : N' c . , a a NNT0, aNa) , • , .0 0) c c, 0' pNc, cNo, aa - 2' o, V, a - : oE. �' (D, a) a), m, vp, t, c c 0 3' 0,, C. 0, ' "' N' 3, , o, y' mO. , , C. , , o, , O ' c , 0 E. , 0 a) o O - v 0 v, ECUy' oR U a00 -C _m o 0CNo c, , o, om, v, 0, , 7) % °r 3 a) `c a : v. a,Cl) _ a) a ' o ° m, O 0 0 > >, > 0 0 ai (1) a • • 'o, ° ° . %; m, , a , o ; `t, 2 , c' eL , ° o ' , a, o@aoa) o ° o , ; , , , - o aa, m ) a)Y ,0, ), , , � � , ❑ ..._ ,. >. aL ° 555, v) -, 00, aaU5, aaz, ou000, o ¢ =, a, ., o, mm, U, 5, fl', W aO N M a' Cn (O N- co O O N M V In CO N- CO O) O N CO •,:t 41) CO I. co 0) 2 E - �'" . N M •V' CO(O I� COa0 O) .- �- '- '' �- �- N N N N N N N N N N M M M M COM M M M M M C C +- (N ' ( '.' (N U p r w O , I� O 0 N a W O N p N 1:5%) Nleaml _ 7.1 N O N N y a' Lo y m E J N - a) O Q o J % a ❑ a CO o a ❑ 0 WOEO a U) c a C a) a U)) r> a Q a W a 0 a • • Well History File APPENDIX Infotn ation 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 Weil History file and to simplify 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. 1 KBU 31-06X 50-133-20653-00-00 Kenai Gas Field Kenai Peninsula Borough, Alaska August 20, 2015 – September 2, 2015 Provided by: Approved by: Jacob Dunston Compiled by: Tollef Winslow Ralph Winkelman Distribution Date: September 16, 2015 2 TABLE OF CONTENTS 1 MUDLOGGING EQUIPMENT & CREW ............................................................................................... 3 1.1 Equipment Summary.................................................................................................................... 3 1.2 Crew .......................................................................................................................................... 3 2 GENERAL WELL DETAILS ................................................................................................................ 4 2.1 Well Objectives ........................................................................................................................... 4 2.2 Hole Data ................................................................................................................................... 4 2.3 Daily Activity Summary ................................................................................................................ 5 3 GEOLOGICAL DATA ......................................................................................................................... 9 3.1 Lithostratigraphy ......................................................................................................................... 9 3.2 Lithology Details .......................................................................................................................... 9 3.3 Sampling Program ..................................................................................................................... 19 4 DRILLING DATA .............................................................................................................................. 20 4.1 Surveys .................................................................................................................................... 20 4.2 Bit Record ................................................................................................................................ 24 4.3 Mud Record .............................................................................................................................. 25 4.4. Drilling Progress ........................................................................................................................ 26 5 SHOW REPORTS............................................................................................................................ 27 6 DAILY REPORTS ............................................................................................................................ 28 Enclosures 2” / 100’ Formation Log (MD/TVD) 5” / 100’ Formation Log (MD/TVD) 2” / 100’ LWD Combo Log (MD/TVD) 2” / 100’ Gas Ratio Log (MD/TVD) 2” / 100’ Drilling Dynamics Log (MD/TVD) Final Data CD 3 1 MUDLOGGING EQUIPMENT & CREW 1.1 Equipment Summary Parameter Equipment Type /Position Total Downtime Comments Computers – Surface Logging (3) Rigwatch Server, Rigwatch Remote DML, LWD WITS, Rigwatch Remote 0 Ditch gas QGM gas trap; Flame ionization total gas & chromatography. 0 Hook Load / Weight on bit WITS from Pason 0 Mud Flow In Derived from Strokes/Minute and Pump Output 0 Mud Flow Out WITS from Pason 0 Pit Volumes, Pit Gain/Loss WITS from Pason 0 Pump Pressure WITS from Pason 0 Pump Stroke Counters (2) WITS from Pason 0 Rate of Penetration Calculated from Pason 0 RPM WITS from Pason 0 Torque WITS from Pason 0 WITS To/ From Pason Rigwatch Remote (HP Compaq) 0 1.2 Crew Mud Logging Unit Type: Arctic Mud Logging Unit Number: ML030 Logging Geologists Years1 Days2 Sample Catchers Years Days2 Tollef Winslow 7 18 Doug Merkert 6 11 Ralph Winkelman 24 16 Karen Austin 4 11 Craig Silva 37 4 *1 Years experience as Mudlogger *2 Days at wellsite between rig up and rig down of logging unit. 4 2 GENERAL WELL DETAILS 2.1 Well Objectives KBU 31-06X is an S-shaped directional grassroots development well drilled on the HGF 41-7 pad. Reservoir analysis and subsurface mapping had identified an optimal location for infill development of an Upper Tyonek sand target which, coincidentally, was below a part of the field that historically had little to no production from sands in the Middle and Upper Beluga. The executed plan resulted in a directional well with kick off point at 250’MD, a build to a holding inclination of 40° from 2000’ to 5000’, then a decrease to a second holding inclination of 30° from 5800’ to the Total Depth of 9080’MD/7606’TVD. The vertical section was 4463’. Operator: HILCORP ALASKA, LLC Well Name: KBU 31-06X Field: Kenai Gas Field County: Kenai Peninsula Borough State: Alaska Company Representatives: Shane Barber, Shane Hauck, Marvin Rogers, Rance Pederson Location: Surface Coordinates 570’ FNL, 758’ FEL, Sec 7, T4N, R11W, SM, AK Ground ( Pad ) Elevation 65.5’ AMSL Rotary Table Elevation 83.5’ AMSL Classification: Single Zone Development Gas API #: 50-133-20653-00-00 Permit #: 215-127 Rig Name/Type: Saxon 169 / Land / Double Spud Date August 20, 2015 Total Depth Date: September 2, 2015 Total Depth 9080’ MD / 7606’ TVD Primary Targets Upper Tyonek Primary Target Depths Upper Tyonek 9031’MD/ 7264’TVD Total Depth Formation: Tyonek Completion Status: 4.5” Casing LWD-MWD Services. Halliburton / Sperry Drilling Services Directional Drilling Halliburton / Sperry Drilling Services Drilling Fluids Service Halliburton / Baroid 2.2 Hole Data Hole Section Max Depth TD Formation MW ppg Dev oinc Csg Dia Shoe Depth FIT ppg MD (ft) TVD (ft) MD (ft) TVD (ft) 9 7/8” 3520’ 3004’ Sterling 9.3 38.39 7 5/8” 3511’ 2997’’ 12.5 6 ¾” 9080’ 7606’ Tyonek 9.2 28.07 4 ½” 9074’ 7601’ 5 2.3 Daily Activity Summary August 20, 2015: Nippling up the conductor riser was completed, including securing the riser with chain, installing the four inch conductor valves, the bleeder and hole fill lines and pressure testing the lines to 2500 psi. 50 joints of drill pipe and 17 joints of heavy weight drill pipe were loaded onto the pipe skate, strapped and tallied. The 11.5” (inner dimension) wear bushing was installed. The rig was accepted by the Hilcorp representative at 0600 hours on August 20, 2015. 50 stands of drill pipe were picked up and stood back in the derrick. A pre job safety meeting was held with the rig crews and production crews. The rig continued to pick up and rack back drill pipe in the derrick. Eight stands of heavy weight drill pipe were picked up and racked back. A pre job safety meeting for picking up the bottom hole assembly was held. The bit was picked up, the motor was scribed and the down hole tools were programmed. The well was spudded at 18:20 on August 20, 2015. Drill ahead: sliding and rotating from bottom of conductor to 353’ MD. The hole was circulated clean. Pulled out of the hole to pick up remaining collars and jars. Trip back in the hole. Drill ahead: sliding and rotating from 353’ MD to 452’ MD as of midnight. August 21, 2015: Drill ahead: sliding and rotating from 452’ MD to 1467’MD. Perform a wiper trip from 1467’ MD to 880’ MD. 30 units of wiper gas were observed upon returning to bottom. Drill ahead: rotating and sliding from 1467’ MD to 2060’ MD. Circulate bottoms up. Perform a wiper trip from 2060’ MD to 1467’ MD. 19 units of wiper gas were observed upon returning to bottom. Drill ahead: 2060’ MD to 2989’ MD as of midnight. August 22, 2015: Drill ahead: rotating and sliding from 2989’ MD to 3520’ MD. 9 7/8” hole section TD in 30’ of siltstone. Circulate bottoms up. A high vis walnut plug sweep was pumped. The sweep came back 500 strokes early with a 25% increase in cuttings. A slug was pumped and then the rig performed a wiper trip from 3520’ MD to 1998’ MD during which there was no tight spots observed. The pipe was run back to bottom. Another high vis sweep was pumped with an early return of 450 strokes and 37 units of wiper gas, however there was no increase in cuttings observed. A flow check was performed and the well was static. The drill pipe was pulled out of the hole to from 3520’ to 198’. There was 15 barrels of fluid lost to the hole while pulling out. There was a three barrel per hour loss to the hole observed. The bottom hole assembly was disassembled. The logging while drilling tools were downloaded. The logging while drilling, motor and bit were laid down. A rig service was performed. The wear bushing was pulled. The elevators and elevator links were changed out in preparation for running 7 5/8” casing. Weatherford power tools and slips were rigged up. The rig floor was prepped for casing running. A dummy run of the hanger was performed and the landing joint was marked. 7 5/8” casing was run in the hole. At report time there was 941’ of casing in the hole. August 23, 2015: Continue to run 7 5/8” casing from 941’ to 1831’. Circulate bottoms up. Continue running 7 5/8” casing from 1831’ to 3485’. Pick up the hanger and landing joint and land the casing at 3514’. Circulate and condition drilling fluid in preparation for cementing the casing. Rig up cement head and lines to cement head in preparation to cement 7 5/8” casing. A pre job safety meeting was held with the Schlumberger cement crews and the rig crews. Cement lines were pressure tested with positive results. The rig pumped 44 barrels of 10.0 pound per gallon (ppg) mud push. The bottom plug was dropped. 204 barrels of 12.0 ppg lead cement were pumped with cementers’ pumps. 42.6 barrels of 15.3 tail cement was pumped with the cementers’ pumps. The top plug was dropped. The hole was displaced with 154.5 barrels of 9.0 ppg spud mud. The plug was bumped and held 500 psi over final circulating pressure. 80 barrels of cement were dumped to the cellar. 33 barrels of cement were lost during the cement process. The cement head and lines were rigged down. The conductor pipe was rigged down and the emergency slips were set and installed in the wellhead. While waiting on the cement to cure, the kill and choke hoses were nippled up, the gas buster was spotted and the flow line was installed from the gas buster to the shakers. The choke manifold was tested offline and the BOPs were tested. The State of Alaska witness of the BOP test was waived by Jim Regg. Fabricate and install cellar floor and gussets. 6 August 24, 2015: The welder continued to fabricate the cellar floor. The top drive was serviced: gear and swivel oil was changed. The rig prepared to nipple up the BOP’s. The new mud system was prepared. The string was slacked off and the wellhead was monitored for sinkage. The casing was cut. The casing bails and elevators were removed and the drilling bails and elevators were installed. The conductor pipe was nipped down. The well head was installed along with the spacer spool. The BOP’s were installed on top of the spacer spool. The BOP equipment was installed and function tested. The test plug was rigged up. The BOP’s were filled with water and a shell test was performed. The BOP’s were tested and passed. The casing was tested for 30 minutes as 3500 psi. The casing test was acceptable. August 25, 2015: The 9” inner diameter wear bushing was set. The casing testing equipment was rigged down. The BOP’s valves were aligned for drilling. The choke and kill lines were blown down. The top drive and catwalk were serviced. The rig picked up drill pipe from surface to 3392’. Cement was tagged at 3392’ with 10K lbs. The drill pipe was racked back in the derrick. A pre job safety meeting was held to plan the picking up of the bottom hole assembly. The bit, motor, directional and logging while drilling tools were picked up. The directional / logging while drilling tools were programed and tested. The rig began picking up single joints of drill pipe from 804’ to 2971’. Fifty seven feet of drill line was cut and slipped. The rig tripped in the hole from 2971’ to 3342’ and then washed down to 3400’. The cement was drilled from 3400’ to 3520’ with the float collar at 3429’ and the shoe at 3510’. The rig drilled from 3520’ MD to 3540’ MD and then circulated bottoms up. The test equipment for the forma tion integrity test was rigged up. As of report time the formation integrity test was being performed. August 26, 2015: Formation integrity test to 12.5 ppg equivalent mud weight. Test failed. Rid down test equipment. Drill from 3540’ MD to 3560’ MD. Circulate bottoms up and clean hole. The bit was pulled back into the casing. The equipment to perform the formation integrity test was rigged up. The formation integrity test was performed to a 12.5 ppg equivalent mud weight. The test equipment was rigged down. The bit was pulled out of the hole from 3450’MD to 796’ MD. The rig was serviced. The elements of the variable blind rams were changed out. The variable blind rams were tested. The rig ran in the hole from 796’ to 3470’, and washed down 3470’ to 3560’. Drill ahead from 3560’ MD to 4120’MD. A high viscosity sweep was pumped to clean the hole with an increase of 25% in cuttings return. Drill ahead, sliding and rotating, from 4120’ to 4130’ as of midnight. August 27, 2015: Drill from 4130’MD to 4455’MD, sliding and rotating. A sweep was pumped and the hole was circulated clean with a 10% increase in cuttings returns. A wiper trip was performed from 4455’ MD to 3490’MD. After reaching 3490’ MD, the rig ran back in the hole to 4455’ MD and resumed drilling. The rig drilled ahead from 4455’MD to 4495’MD. Pump pressure began to climb. The rig pulled out of the hole from 4495’ to 183’. The directional and logging while drilling tools were downloaded and racked back. The rig was serviced. A new directional motor was picked up. Bottom hole assembly #3 was picked up and run in the hole from 183’ to 4455’. 85 units of trip gas were observed. The rig drilled ahead from 4495’ to 4948’ rotating and sliding as directed by directional driller. A 40 barrel loss was experienced at 4630’ MD. From 4700’ to 4948’ high losses were experienced (+/- 120 bph). A 40 ppb Baracarb pill was spotted at the bit. A short trip was made to 4439’ to build mud volume. August 28, 2015: The rig built mud volume while monitoring for losses. Losses while monitoring were 9.6 barrels per hour. The rig tripped in the hole from 4430’ to 4948’ The rig drilled head, rotating and sliding as directed by the directional driller from 4948’ to 5320’. The rig changed out the saver sub on the top drive. The rig continued to drill from 5320’ to 5754’, at 5738 the rig began to lose returns. Added a 20 ppb Baracarb to suction pit and drilled ahead. All returns were lost by 5754’. The rig spotted a 20 barrel, 60 ppb Baracarb pill on bottom. The bit was pulled to 4933’ to monitor the well while building mud volume. The rig tripped in the hole from 4933’ to 5567’ as of midnight. August 29, 2015: Trip in hole from 5567’ to 5700’. The rig washed in the hole from 5700’ to 5754’, there was no fill on bottom. 14 units of wiper gas were observed. The rig drilled from 5754’ to 5877. All drilling fluid returns were lost. A 7 barrel, 60 pound per barrel LCM pill was spotted on bottom. The rig pulled three stands up and moni tored the well. It was observed that the hole was taking +/- 80 barrels per hour. The rig built 7 drilling fluid volume while monitoring the well. The rig spotted a 23 barrel, 60 pound per barrel, steel seal lcm pill over the hole from 5681’ to 5184’. The rig monitored the well on the trip tank while allowing the pill to seep into the formation. The loss rates varied from 20 bph to 14 bph to 25 bph. The rig tripped in the hole from 5191’ to 5371’ and spotted a 20 barrel, 65 pounds per barrel lcm pill with no returns to surface while the pill was spotted. The rig built mud volume. The rig pulled out of hole from 5371’ to 180’ and installed a well commander, circulating sub, on top of the flex collars. The rig displaced 80 barrels of LCM on the back side of the drill pipe. The draw works, top drive, crown and blocks were serviced. The rig tripped in the hole from 180’ to 5594’ as of report time. August 30, 2015: The rig tripped in hole from 5594’ to 5839’. The rig washed from 5839’ to 5877’, it was found that there was 38’ of fill. 16 units of trip gas were observed. The rig drilled from 5877’ to 6245’, rotating and sliding as directed by the directional driller. The rig drilled with partial returns from 6136’ to 6238’, returns were completely lost at 6239’, however the rig continued to drill ahead to 6245’ with fluid at the top of the stack. The bit was pulled up to 6125’ and the rig circulated across the backside of the drill pipe with the kill line while building a LCM pill and additional mud volume. Mud losses were initially 32 barrels per hour that then dropped to 17 barrels per hour. The well was observed to establish base line parameters. The well commander (circulating sub) was function with two balls to open it fully. A heavy LCM pill was pumped and spotted outside the pipe followed by another ball to close it. The well was continued to be monitored on the trip tank while mud volume was built. The loss rate was three barrels per hour falling to one barrel per hour. The rig drilled ahead from 6245’ to 6261’ at which point returns were lost. The rig pulled out of the hole from 6261’ to 5829’ encountering a tight spot from 5965’ to 5870’ with 10000 pounds of overpull. A LCM pill was built and spotted while mud volume was built in the pits. The well commander was functioned again to the open position and a 24 barrel, 130 ppb LCM pill was spotted at 5877’. August 31, 2015: The rig pulled out of the hole from 5877’ to 5261’. The pumps were turned on and the rig circulated bottoms up with no losses. The well commander (circulating sub) was closed. The rig tripped back in the hole from 5261’ to 5511’ and then circulated bottoms up. The rig continued tripping in the hole from 5511’ to 5760’ and then circulated bottoms up. There were no losses observed. The hole was displaced with 9.0 ppg mud. The rig continued tripping in the hole from 5760’ to 6261’. The original mud was 9.4 ppg. There were no losses observed. The well was static. 10 units of trip gas were observed. The rig drilled ahead, rotating and sliding as per the directional driller, from 6261’ to 7204’ as of report time. September 1, 2015: The rig drilled from 7204’ to 7252’, rotating and sliding. A short trip was performed on elevators to clean and condition the hole from 7252’ to 6220’. There were tight spots observed at 6693’, 6449’, 6409’ to 6377’ 6333’ and 6297 with 12K to 15K of overpull. The rig was serviced. The rig tripped in the hole from 6220’ to 7200’ on elevators, and then washed to bottom at 7252’. There was no fill observed when washing to bottom. 102 units of wiper gas were observed after the trip. The rig drilled ahead, rotating and sliding from 7252’ to 8020’ as of report time. September 2, 2015: The rig drilled ahead from 8020’ to 8308’, rotating and sliding as directed by the directional driller. The hole was circulated and conditioned clean with a 10% increase in cuttings return. The rig pulled the bit out of the hole from 8308’ to 7126’. There were tight spots at 7625’, 7618’ and from 7278’ to 7250’ with 20K to 25K of overpull. The draw works, crown, block and top drive were service. The rig tripped back in the hole from 7128’ to 8308’, washing the last stand down. There was 23’ of fill found on the bottom. The rig drilled ahead from 8308’ to 9080’, rotating and sliding as directed by the directional driller. The well total depth of the well is 9080’. The hole is being conditioned at report time. September 4, 2015: The rig continued to pull out of the hole from 2473’ to 806’, while laying down drill pipe. From 806’ to 191’ the rig laid down the heavy weight drill pipe and the jars. The bottom hole assembly, including the flex collars, well commander (circulating sub), MWD/LWD tools were laid down, in this process the nuclear sources were unloaded and secured and the logging while drilling memory data was downloaded. The rig was cleaned and prepared for running casing including pulling the wear bushing, and washing the inside of the stack. The landing joint was prepped and a dummy run was performed. The casing running equipment was rigged up. The shoe track was made up and then the rig began to run 4 ½” casing in the hole from surface to 2900’. The power tongs malfunctioned and were repaired. The rig continued running 4 ½” casing from 2900’ to 8 3495’. The casing was filled and the pumps were used to circulate bottoms up. No trip gas was observed. Twenty feet of drill line was cut and slipped. The rig continued to run 4 ½” casing from 3495’ to 5144’; at 5144’, the rig circulated bottoms up and 578 units of gas were observed. The rig continued to run 4 ½” casing from 5144’ to 6625’. At 6625’ the rig circulated bottoms up and 1806 units of gas were observed. The rig was circulating and conditioning the hole at report time. September 5, 2015: Continue circulating and conditioning. Continue running in hole with 4 ½” casing to 7665’. Circulate bottoms up at 7665’ and record 1852 units’ maximum gas. Circulate out high gas and continue running in hole from 7665’ to 8658’. Circulate bottoms up at 8660’ and record 1911 units maximum gas. Circulate out high gas and continue running in hole from 8660’ to 8870’. Circulate bottoms up at 8870’ and record 1753 units maximum gas. Circulate out high gas. Change bails while continuing to circulate and condition mud. Continue running in hole from 8870’ to 9030’. Circulate bottoms up and record 1121 units maximum gas. Circulate out high gas and continue to circulate and condition while holding PJSM with Cameron well head tech. Make up landing joint. Land 4 ½” production casing. (Shoe to be at 9074.29’MD). Work pipe and circulate. Rig down Weatherford power tong tools while circulating and working pipe. Rig up Schlumberger cementing equipment and tools while continuing to circulate and work pipe. Prep cementing head with plugs. Hold pre-job meeting with all involved hands on safety and procedures for cement job. Test cement lines to 1000psi low and 5000psi high. Pump 31 bbls of 12.5 ppg mud push with rig pumps. Switch over and line up to Schlumberger pumping unit. Drop bottom plug and pump 184 bbls (570 sacks) of 13.5 ppg lead cement and follow with 59 bbls (253 sacks) 15.3 ppg tail cement. Drop top plug and displace with 127+ bbls of 8.5 ppg 3% KCL brine. Land hanger with 10 bbls to go and set down with 60K. Bump plug at 133 bbls into displacement. Hold 500 psi over, and total psi of 2850 for 3 minutes. Bled off 1.25 bbls. Cement In Place at 14:44 hrs on 9-05-2015. Did not reciprocate during job due to sticking issues. Lost returns at 84 bbls into displacement. (Note 406.6 total bbls pumped, 327.2 total bbls of returns, 79.4 bbls lost during cement job). Wash through cement lines and rig down Schlumberger cementing equipment. Set packoff tool with Cameron tech supervi sion and then perform successful test for 5 minutes at 5000 psi. Install back pressure valve in well head. Continue all Hilcorp-directed procedures for rig-down and preparation for move to next location. 9 3 GEOLOGICAL DATA 3.1 Lithostratigraphy Tops picked by Canrig Geologists. FORMATION PROGNOSED ACTUAL MD (ft) TVD (ft) SSTVD (ft) MD (ft) TVD (ft) SSTVD (ft) Top of Sterling 470 470 -387 Sterling 4392 3540 -3457 4204 3528 -3445 Sterling 5.2 5294 4147 -4064 5093 4165 -4082 Sterling Pool 6 5702 4441 -4358 5413 4452 -4369 Top of Beluga 5692 4672 -4589 Upper Beluga 6030 4699 -4616 5692 4672 -4589 Middle Beluga 6824 5334 -5251 6456 5334 -5251 Lower Beluga 7717 6113 -6030 7730 6006 -5923 Top of Tyonek 8712 7282 -7199 Upper Tyonek 9031 7264 -7181 8712 7282 -7199 Total Depth 9390 7575 -7492 9080 7606 -7523 3.2 Lithology Details Full service mudlogging began at 3520’ MD/ 3003.9’ TVD. All the sample lithology descriptions provided by Canrig began after the surface casing point . The well includes Sterling, Beluga and Tyonek formations. The basic building blocks in this depositional area have a unique lithology of thick structured formations of tuffaceous sediments. These fluvial deposits are of tuffaceous claystone, tuffaceous siltstone, tuffaceous sandstones, and lose disaggregated, unconsolidated sands. The ash and tuff are revealed along with devitrified volcanic glasses as loosely (friable) to heavily indurated clasts of volcanic origin. The basal structure to almost all local fluvial deposit s, coals, and carbonaceous shales, are included as minor thinly bedded lithologies. Sand (3520' - 3630') = medium to medium light gray overall with abundant multicolored liths, dominantly clear to translucent quartz and volcanic glass, medium to dark gray, black, light to medium green to yellowish green, pale rose, dusky red; greenish gray and orange; fine lower to very coarse upper, dominantly medium lower to coarse lower; angular to subangular; poorly sorted; unconsolidated; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (3630' - 3690') = medium light to very light gray with yellowish gray secondary hues; irregular to wedge shaped; soft to moderately firm; silty to clayey texture; dull earthy to slightly waxy luster; moderately soluble and expansive poor to fair cohesiveness; poor adhesiveness; non calcareous; trace dark brown to black micro thin carbonaceous laminations and inclusions; trace thin coal beds. 10 Sand/ Conglomeratic Sand (3690'-3750') = medium light to light gray with abundant multicolored liths, dominantly clear to translucent quartz and volcanic glass, light to dark gray, pale rose, orange, light to medium gray to greenish gray; very fine upper to very coarse upper with pebble 3mm, dominantly medium lower to coarse lower; angular to subrounded, dominantly subangular; poorly sorted; unconsolidated. Tuffaceous Siltstone (3750' - 3810') = medium gray to medium light gray; friable to easily friable; poorly indurated; crunchy to crumbly tenacity; irregular or earthy fracture; sub tabular or massive cuttings habit; earthy to dull luster; silty to clayey to gritty texture; massive or laminae structure; carbonaceous siltstone/ lignitic coal, grayish black, poor induration, firm friable, brittle tenacity, tabular cuttings habit, earthy luster, matte texture, laminae or massive structure. Tuffaceous Siltstone (3810' - 3900') = medium light gray to medium gray; easily friable to friable; poorly indurated; crunchy to crumbly tenacity; irregular or earthy fracture; sub tabular or massive cuttings habit; earthy to dull luster; silty to clayey to gritty texture; massive or laminae structure; carbonaceous siltstone/ lignitic coal, grayish black, poor induration, firm friable, brittle tenacity, tabular cuttings habit, earthy luster, matte texture, laminae or massive structure. Tuffaceous Siltstone (3750' - 3960') = medium gray to medium light gray; friable to easily friable; poorly indurated; crunchy to crumbly tenacity; irregular or earthy fracture; sub tabular or massive cuttings habit; earthy to dull luster; silty to clayey to gritty texture; massive or laminae structure; lignitic coal/ carbonaceous siltstone, grayish black, poor induration, firm friable, brittle tenacity, tabular cuttings habit, earthy luster, matte texture, laminae or massive structure. Tuffaceous Siltstone (3960' - 4050') = medium light gray to medium gray; friable to firm friable; poorly indurated; crunchy to crumbly tenacity; earthy or irregular fracture; sub tabular to elongated cuttings habit; earthy to dull luster; massive or laminae structure; lignitic coal; grayish black, moderately hard, brittle to dense tenacity, splintery fracture, elongated cuttings habit, dull luster, matte texture; laminae structure; sand, lower fine to upper very fine, spherical, sub round, well sorted, unconsolidated, quartz, translucent; tuff, pinkish gray, soft. Tuffaceous Siltstone (4050' - 4110') = medium light gray to medium gray; friable to firm friable; poorly indurated; crunchy to crumbly tenacity; earthy or irregular fracture; sub tabular to elongated cuttings habit; earthy to dull luster; massive or laminae structure; bit curl cuttings; lignitic coal, grayish black. Tuffaceous Siltstone (4110' - 4140') = medium light gray to medium gray; friable to firm friable; poorly indurated; crunchy to crumbly tenacity; earthy or irregular fracture; sub tabular to elongated cuttings habit; earthy to dull luster; massive or laminae structure. Sand (4140' - 4200') = medium gray to medium light gray; bimodal, lower fine to upper fine, upper medium to lower medium; spherical; sub angular to angular; moderate to moderately well sorted; unconsolidated; texturally immature; quartz, transparent; black, green, yellow orange and reddish lithics; porosity and permeability visually good. Tuffaceous Siltstone (4200' - 4290') = medium light gray to medium gray; friable to firm friable; poorly indurated; crunchy to crumbly tenacity; earthy or irregular fracture; sub tabular to elongated cuttings habit; earthy to dull luster; massive or laminae structure, carbonaceous laminations visible rarely. Tuffaceous Siltstone (4290' - 4320') = medium light gray to medium gray; firm friable to friable; poorly indurated; crumbly to crunchy tenacity; earthy or irregular fracture; sub tabular or elongated cuttings habit; dull to earthy luster; massive or laminae structure; occasional carbonaceous siltstone. Tuffaceous Siltstone (4320' - 4350') = medium light gray to medium gray; firm friable to friable; poorly indurated; crumbly to crunchy tenacity; earthy or irregular fracture; sub tabular or elongated cuttings habit; dull to earthy luster; massive or laminae structure. 11 Sand (4350' - 4380') = medium light gray to medium gray; lower medium to lower fine; spherical to sub discoidal; angular to sub angular; moderately sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent or transparent; green, black, reddish orange lithics; porosity and permeability visually good. Sand (4380' - 4470') = light to very light gray overall with clear to translucent quartz and volcanic glass dominant, trace black, red, orange and pale rose; very fine upper to medium lower, dominantly fine; angular to subangular; moderately well sorted; unconsolidated. Sand (4470' - 4540') = medium to medium light gray overall with abundant multicolored liths, dominantly clear to translucent quartz and volcanic glass, medium to dark gray, black, light to medium greenish gray, dusky red, orange and pale rose; very fine upper to medium upper, dominantly fine; angular to subangular; fair to good sorting; unconsolidated; non calcareous; trace thin coals. Tuffaceous Claystone/ Tuffaceous Siltstone (4540' - 4600') = medium light to light gray with light yellowish gray and light olive gray secondary hues; soft to moderately hard; irregular shaped with trace PDC bit action shaped cuttings; silty to clayey texture; dull to waxy luster; moderately soluble; hydrophilic; good cohesiveness; poor adhesiveness; non calcareous; trace dark brown to black carbonaceous laminations and inclusions; trace thin coal beds. Sand (4580' - 4620') = medium light gray to medium gray; lower medium to upper fine, occasional lower fine; spherical to sub discoidal; sub angular to angular; moderate to moderately well sorted; unconsolidated; textur ally immature; compositionally sub mature; quartz, transparent or translucent; black, reddish orange and green lithics; porosity and permeability visually good. Tuffaceous Siltstone/ Claystone (4620' - 4660') = medium light gray to light gray; friable to easily friable; moderately indurated; crunchy to crumbly tenacity; earthy fracture; tabular or massive cuttings habit; earthy luster; silty texture; massive or laminae structure; Sand (4660' - 4700') = medium gray to medium light gray; upper fine to lower medium; spherical to sub discoidal; angular to sub angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; black reddish orange and green lithics; porosity and permeability visually good. Tuffaceous Siltstone (4700' - 4760') = medium light gray; friable, moderately indurated; crumbly tenacity; earthy fracture; tabular cuttings habit; earthy luster; silty texture; massive or laminae structure. Sand (4760' - 4860') = medium gray to medium light gray; lower medium to upper fine; occasional lower fine or upper medium; spherical to sub discoidal; angular to sub angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; black, reddish orange and green lithics; porosity and permeability visually good. Sand (4860' - 4950') = medium gray to medium light gray; lower medium to upper fine; occasional lower fine or upper medium; spherical to sub discoidal; angular to sub angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; black, reddish orange and green lithics; porosity and permeability visually good. Sand (4950' - 5000') = medium gray to medium light gray; upper medium to lower medium, occasional lower coarse and upper fine; spherical to sub discoidal; angular to sub angular; unconsolidated; texturally immature compositionally sub mature; quartz, translucent or transparent; black, yellow orange and light green lithics. 12 Sand (5000' - 5040') = medium gray to medium light gray; upper medium to lower medium, occasional lower coarse and upper fine; spherical to sub discoidal; angular to sub angular; unconsolidated; texturally immature compositionally sub mature; quartz, translucent or transparent; black, yellow orange and light green lithics. Tuffaceous Siltstone/ Claystone (5040' - 5100') = medium gray to medium light gray; friable to easily friable; poorly indurated; crunchy to crumbly tenacity; earthy fracture; tabular to wedgelike to massive cuttings habit; earthy luster; silty to gritty texture; laminae structure; carbonaceous laminae, rare; siltstone almost a lower very fine grain sandstone occasionally. Tuffaceous Siltstone/ Claystone (5100' - 5160') = medium gray to medium light gray; friable to easily friable; poorly indurated; crunchy to crumbly tenacity; earthy fracture; tabular to wedgelike to massive cuttings habit; earthy luster; silty to gritty texture; laminae structure; carbonaceous laminae, rare; siltstone almost a lower very fine grain sandstone occasionally; bit cur ling cuttings from PDC bit. Sand (5160' - 5220') = medium gray to medium light gray; upper medium to lower medium with occasional upper fine or lower coarse; spherical to sub discoidal or sub prismoidal; sub angular to angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; reddish orange, black, light green and pale yellow lithics; tuff, pinkish gray. Sand (5220' - 5300') = medium light gray to medium gray; upper fine to lower medium with occasional lower fine or upper medium and rare coarse; spherical to sub prismoidal or sub discoidal; sub angular to angular; moderately well to well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; reddish orange, black, light green and pale yellow lithics; tuff, pinkish gray; porosity and permeability visually good. Sand/ Conglomeratic Sand (5300'-5380') = medium to medium light gray with a strong salt and pepper appearance, individual grains dominantly clear to translucent quartz and volcanic glass, light to dark gray, black and trace dusky red and pale rose; very fine upper to very coarse upper with trace pebble and pebble fragments (3mm), dominantly medium upper to coarse lower; angular to subangular; poorly sorted; unconsolidated; trace white tuff; very fragile; acts as a supporting matrix for loose sands; non calcareous. Coal/ Carbonaceous Shale (5395'-5405') = black with brownish black secondary hues; firm to moderately hard and brittle; platy to massive; planar fracture dominant with trace conc hoidal; smooth to slightly gritty texture; vitreous to earthy luster; poorly developed; coal commonly grades to carbonaceous shale. Sand/ Tuffaceous Sandstone (5380'-5500') = medium light to light gray overall with individual grains dominantly clear to translucent quartz and volcanic glass, light to dark gray, black, dusky red, pale rose and light green, light greenish gray; very fine upper to very coarse upper, dominantly medium; angular to subangular; poorly sorted; disaggregated with very light gray to white ashy tuff as a supporting matrix; very fragile to pulverulent; non calcareous. Tuffaceous Claystone/ Tuffaceous Siltstone (5500' - 5560') = medium gray with brownish gray and light olive gray secondary hues; soft to very firm to hard; irregular and PDC bit action shaped cuttings; silty to clayey texture; earthy to waxy luster; poor adhesiveness; poor to fair cohesiveness; slight to moderately soluble; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions. Sand/ Tuffaceous Sandstone (5560'-5620') = medium light to light gray overall with individual grains dominantly clear to translucent quartz and volcanic glass, light to dark gray, black, dusky red, pale rose and light green, light greenish gray; very fine upper to very coarse upper, dominantly medium; angular to subangular; poorly sorted; disaggregated with very light gray to white ashy tuff as a supporting matrix; very fragile to pulverulent; non calcareous; trace thin coal beds. 13 Tuffaceous Claystone/ Tuffaceous Siltstone (5620' - 5690') = medium gray with brownish gray and light olive gray second ary hues; soft to very firm to hard; irregular and PDC bit action shaped cuttings; silty to clayey texture; earthy to waxy luster; poor adhesiveness; poor to fair cohesiveness; slight to moderately soluble; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions; trace light brownish gray siltstone grades between sandy siltstone and silty sandstone; soft to fragile; non calcareous. Tuffaceous Siltstone (5740' - 5800') = medium dark gray to medium gray; easily friable to soft; poorly indurated; crunchy to crumbly to brittle tenacity; earthy or planar fracture; massive or tabular cuttings habit; earthy or dull luster; silty to gritty to clayey texture; massive or laminae structure; carbonaceous laminae w/in some siltstone/claystone. Tuffaceous Siltstone (5800' - 5840') = medium dark gray to medium gray; easily friable to soft; poorly indurated; crunchy to crumbly to brittle tenacity; earthy or planar fracture; massive or tabular cuttings habit; earthy or dull luster; silty to gritty to clayey texture; massive or laminae structure. Sand (5840' - 5880') = medium gray; fine; spherical; sub angular; unconsolidated; texturally immature; quartz, translucent; black carbonaceous lithics; porosity/permeability good. Sand (5900' - 5950') = medium gray to medium light gray; upper fine to lower medium; spherical to sub discoidal; sub round to sub angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; black lithics; heavy lcm contamination. Sand (5950' - 6000') = medium gray to medium light gray; upper fine to lower medium; spherical to sub discoidal; sub round to sub angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; black lithics; heavy lcm contamination. Sand (6000' - 6080') = medium gray to medium light gray; upper fine to lower medium; spherical to sub discoidal; sub round to sub angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; tuffaceous siltstone, medium gray, soft to easily friable, poorly indurated, crumbly tenacity, earthy fracture, massive or tabular cuttings habit, earthy luster, silty texture, massive or laminae structure with carbonaceous laminations; heavy lcm contamination. Tuffaceous Siltstone/ Claystone (6080' -6140') = medium gray to medium dark gray; soft to easily friable; poorly indurated; dense too tough to crumbly tenacity; earthy or planar fracture; massive cuttings or sub tabular cuttings habit; earthy or dull luster; silty to clayey to gritty texture; laminae or massive structure; rare carbonaceous laminations. Tuffaceous Claystone/ Siltstone (6140' - 6200') = medium dark gray to medium gray; soft to easily friable; poorly indurated; dense to tough to crumbly tenacity; earthy or planar fracture; massive cuttings or sub tabular cuttings habit; earthy or dull luster; silty to clayey to gritty texture; laminae or massive structure; carbonaceous material. Sand (6260' - 6320') = medium gray overall with individual grains dominantly medium to dark gray to black, clear to translucent quartz and volcanic glass, and medium to dark greenish gray; very fine upper to very coarse lower, dominantly medium lower to coarse lower; angular to subangular; poorly sorted; unconsolidated; non calcareous. Tuffaceous Claystone/ Tuffaceous Siltstone (6320' - 6380') = medium light to light gray with light olive gray secondary hues; soft to slightly firm; pulverulent; irregular, wedge to shapeless; silty to clayey texture; earthy to slightly waxy luster; hydrophilic; moderate to very soluble; poor cohesiveness; poor to fair adhesiveness; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions. 14 Sand/ Conglomeratic Sand (6380'-6440') = medium gray with individual grains dominantly medium to dark gray, black, clear to translucent quartz and volcanic glass; very fine upper to trace very coarse upper, dominantly medium; angular to subangular; poorly sorted; unconsolidated; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (6440' - 6500') = medium light gray with light brownish gray secondary hues; very soft; sticky; shapeless, globular cuttings; silty to clayey texture; dull, earthy to slightly greasy luster; hydrophilic; very soluble and moderately expansive; poor cohesiveness; fair to good adhesiveness; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions; trace thin coal beds. Sand (6500' - 6560') = medium gray with a moderate salt and pepper appearance, individual grains dominantly light to dark gray, clear to translucent quartz and volcanic glass, black and light greenish gray; fine lower to coarse upper, dominantly medium; angular to subangular; moderately well sorted; unconsolidated; non calcareous; trace thin coal/ carbonaceous shale beds. Sand/ Conglomeratic Sand (6560'-6610) = medium to medium dark gray with a weak salt and pepper appearance, individual grains dominantly medium to dark gray to black, translucent to clear quartz and volcanic glass and light greenish gray; very fine upper to very coarse upper, dominantly medium lower to coarse lower; angular to subangular; poorly sorted; unconsolidated; non calcareous; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (6610' - 6680') = medium light to light gray with light brown secondary hues; very soft; sticky; shapeless, globular cuttings; silty to clayey texture; dull, earthy to slightly greasy luster; hydrophilic; very soluble and moderately expansive; poor cohesiveness; fair to good adhesiveness; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions; trace thin coal beds throughout interval. Sand/ Conglomeratic Sand (6680'-6740) = medium to medium dark gray with moderate salt and pepper appearance, individual grains dominantly medium to dark gray to black, translucent to clear quartz and volcanic glass and light greenish gray; very fine upper to very coarse upper, dominantly medium lower to upper; angular to subangular; poorly sorted; unconsolidated; non calcareous; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (6740' - 6810') = medium light to light gray with light yellowish gray secondary hues; very soft to slightly firm; fragile to pulverulent; irregular, wedge shaped to shapeless, amorphous cuttings; silty to clayey texture; dull luster; hydrophilic; moderate to very soluble; slight to moderately expansive; poor cohesiveness; poor to fair adhesiveness; non calcareous; firmer fragments show trace dark brown to black microthin carbonaceous laminations and inclusions. Sand/ Conglomeratic Sand (6810'-6870) = medium to medium dark gray with a weak salt and pepper appearance, individual grains dominantly medium to dark gray to black, translucent to clear quartz and volcanic glass and light greenish gray; very fine upper to very coarse upper, dominantly medium lower to coarse lower; angular to subangular; poorly sorted; unconsolidated; non calcareous; trace thin coal beds. Sand/ Conglomeratic Sand (6870'-6940') = medium to medium light gray with a weak to moderate salt and pepper appearance, individual grains dominantly medium to dark gray to black, clear to translucent quartz and volcanic glass, medium greenish gray; very fine upper to very coarse upper with pebble fragments (4mm), dominantly medium lower to coarse lower; angular to subangular; poorly sorted; unconsolidated; non calcareous; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (6940' - 7000') = medium light to light gray with light olive gray secondary hues; very soft; shapeless, globular cuttings; silty to clayey texture; dull, earthy to slightly greasy luster; hydrophilic; very soluble and moderately expansive; poor cohesiveness; fair to good adhesiveness; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions in firmer fragments. 15 Sand (6975' - 7000') = medium gray; upper fine to lower fine; spherical; sub round to sub angular; well to moderately well sorted; unconsolidated; texturally immature; compositionally sub mature; quartz, translucent to transparent; black lithics. Tuffaceous Claystone/ Siltstone (7000'-7080') = medium gray to me dium light gray; soft or very friable; poorly indurated; stiff to elastic tenacity; earthy fracture; massive or sub tabular cuttings habit; earthy to dull luster; clayey to silty to gritty texture; massive or laminae structure, siltstone has carbonaceous laminations at times. Sand (7080' - 7100') = medium light gray to medium gray; lower fine to upper fine; spherical to sub prismoidal to subdiscoidal; sub rounded to sub angular; well to very well sorted; unconsolidated; texturally sub mature; compositionally sub mature; quartz, translucent to transparent; black lithics; porosity and permeability visually good. Tuffaceous Siltstone/ Claystone (7100' - 7200') = medium gray to medium light gray; soft to easily friable; poorly indurated; crumbly to crunchy or stiff; earthy or planar fracture; sub tabular or massive cuttings habit; earthy or dull luster; silty to gritty to clayey texture; massive or laminae structure; carbonaceous siltstone with interbedded carbonaceous material. Tuffaceous Siltstone/ Claystone (7200' - 7250') = medium light gray to medium gray; soft to easily friable; poorly indurated; crumbly to crunchy or stiff; earthy or planar fracture; sub tabular or massive cuttings habit; earthy or dull luster; silty to gritty to clayey texture; massive or laminae structure. Sand (7250' - 7310') = me dium dark gray to dark gray with individual grains dominantly translucent to clear quartz and volcanic glass and medium to dark gray to black; fine lower to trace coarse upper, dominantly medium; angular to subangular; fair sorting; unconsolidated; non calcareous. Tuffaceous Claystone/ Tuffaceous Siltstone (7310' - 7380') = light to very light gray with light yellowish gray and medium light gray secondary hues; very soft; mushy to clumpy; shapeless, globular cuttings; silty to clayey texture; dull, earthy to greasy luster; hydrophilic; very soluble; poor cohesiveness; fair adhesiveness; non calcareous; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (7380' - 7440') = light to very light gray with very light brownish gray and light yellowish gray secondary hues; very soft; sticky; mushy to slimy; silty to clayey texture; dull to waxy and greasy luster; hydrophilic; very soluble and moderately expansive; poor cohesiveness; fair to good adhesiveness; rare firmer fragments have trace dark brown to black microthin carbonaceous laminations and inclusions; trace thin coal beds Sand (7440' - 7500') = medium to medium light gray overall with individual liths dominantly clear to translucent quartz and volcanic glass, light to dark gray, and black; very fine upper to medium lower, dominantly fine; angular to subangular; moderately well to very well sorted; unconsolidated; non calcareous; trace thin coal beds throughout interval. Tuffaceous Claystone/ Tuffaceous Siltstone (7500' - 7560') = light to very light gray with light yellowish gray and medium light gray secondary hues; very soft; mushy to clumpy; shapeless, globular cuttings; silty to clayey texture; dull, earthy to greasy luster; hydrophilic; very soluble; poor cohesiveness; fair adhesiveness; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions in firmer fragments; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (7560' - 7620') = light to very light gray with light yellowish gray and medium light gray secondary hues; very soft; mushy to clumpy; shapeless, globular with trace PDC bit action shaped cuttings; silty to clayey texture; dull to earthy to greasy luster; hydrophilic; very soluble; poor cohesiveness; fair to good adhesiveness; non calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions; trace thin coal beds. 16 Sand (7620' - 7680') = medium to medium light gray overall with individual liths dominantly clear to translucent quartz and volcanic glass, light to dark gray, and black; very fine upper to medium lower, dominantly fine; angular to subangular; moderately well to very well sorted; unconsolidated; non calcareous; trace thin coal beds throughout interval Tuffaceous Claystone/ Tuffaceous Siltstone (7680' - 7740') = light to very light gray with very light brownish gray and light yellowish gray secondary hues; very soft; sticky; mushy to slimy; silty to clayey texture; dull to waxy and greasy luster; hydrophilic; very soluble and moderately expansive; poor cohesiveness; fair to good adhesiveness; rare firmer fragments have trace dark brown to black microthin carbonaceous laminations and inclusions; trace thin coal beds. Sand/ Sandstone (7740' - 7800') = medium to medium dark gray with moderate salt and pepper appearance, individual grains dominantly medium to dark gray and clear to translucent quartz and volcanic glass very fine upper to trace very coarse lower, dominantly fine upper to medium lower; angular to subangular; fair to good sorting; dominantly disaggregated with trace sandstone; dark gray; fine to medium; hard to brittle; very calcareous cement; trace thin coal beds. Tuffaceous Claystone/ Tuffaceous Siltstone (7800' - 7870') = light to very light gray with light yellowish gray and light olive gray secondary hues; very soft; mushy to clumpy; shapeless, globular cuttings; silty to clayey texture; dull, earthy to greasy luster; hydrophilic; very soluble; poor cohesiveness; fair adhesiveness; non calcareous; trace dark brown to black micro thin carbonaceous laminations and inclusions in firmer fragments; trace thin coal beds. Tuffaceous Siltstone/ Claystone (7870' - 7940') = medium dark gray to medium gray with olive gray sub hues; soft to friable to firm friable; poor to moderate induration; stiff to elastic or crumbly to brittle tenacity; earthy fracture; massive or tabular to wedgelike cuttings habit; earthy to dull luster; silty to gritty to clayey texture; massive or laminae structure; carbonaceous laminations in brownish gray siltstone; coal, sub bituminous to lignitic, grayish black to grayish brown; planar or splintery fracture, massive cuttings habit, laminae structure. Tuffaceous Claystone/ Siltstone (7960' - 8040') = medium gray to medium dark gray with light olive gray sub hues; soft to friable to firm friable; poor to moderate induration; brittle to crumbly or elastic to stiff tenacity; earthy fracture; tabular or massive or wedge like cuttings habit; earthy to dull luster; silty to gritty or clayey texture; massive or laminae structure; carbonaceous laminations in brownish gray siltstone; coal, sub bituminous to lignitic, grayish black to grayish brown; planar or splintery fracture, massive cuttings habit, laminae structure. Tuffaceous Claystone/ Siltstone (8040' - 8160') = medium gray to medium light gray with slight light olive gray sub hue; soft to friable; poor to moderate induration; elastic to stiff or brittle to crumbly; earthy fracture; massive or tabular or wedgelike cuttings habit; earthy to dull luster; silty to gritty or clayey texture; massive or laminae structure; carbonaceous laminations in brownish gray carbonaceous siltstone; coal, sub bituminous to lignitic, grayish black to grayish brow n, planar or splintery fracture, massive cuttings habit, laminae structure; sand, upper very fine, sub round, spherical, moderately well sorted, unconsolidated, translucent or transparent quartz. Tuffaceous Claystone/ Siltstone (8160' - 8240') = medium gray to medium dark gray with light olive gray sub hues; soft to friable to firm friable; poor to moderate induration; brittle to crumbly or elastic to stiff tenacity; earthy fracture; tabular or ma ssive or wedge like cuttings habit; earthy to dull luster; silty to gritty or clayey texture; massive or laminae structure; carbonaceous laminations in brownish gray siltstone; coal, sub bituminous to lignitic, grayish black to grayish brown; planar or splintery fracture, massive cuttings habit, laminae structure. 17 Tuffaceous Claystone/ Siltstone (8240' - 8300') = medium gray to medium light gray with slight light olive gray sub hue; soft to friable; poor to moderate induration; elastic to stiff or brittle to crumbly; earthy fracture; massive or tabular or wedgelike cuttings habit; earthy to dull luster; silty to gritty or clayey texture; massive or laminae structure; carbonaceous laminations. Tuffaceous Claystone/ Tuffaceous Siltstone (8300' - 8380') = medium light to light gray with light olive gray secondary hues; very soft to trace very firm to hard; irregular, shapeless to scaly cuttings; silty to clayey texture; dull to greasy luster; very soluble; hydrophilic; poor to fair cohesiveness; fair to good adhesiveness; non calcareous with trace medium dark gray siltstone; hard to brittle; very calcareous; trace dark brown to black microthin carbonaceous laminations and inclusions. Coal/ Carbonaceous Shale (8380'-8430') = black with brownish black secondary hues firm to brittle; platy to flaky; planar fracture dominant; slightly earthy to vitreous luster; smooth to slightly gritty texture; sub -bituminous and grading to carbonaceous shale; trace visible outgassing bubbles; present as thin beds in dominantly claystone formation. Tuffaceous Claystone/ Tuffaceous Siltstone (8430' - 8500') = light to very light gray with light brownish gray and light olive gray secondary hues; very soft; mushy to clumpy; shapeless, globular cuttings; silty to clayey texture; dull, earthy to greasy luster; hydrophilic; very soluble; poor cohesiveness; good adhesiveness; non calcareous; trace dark brown to black micro thin carbonaceous laminations and inclusions. Tuffaceous Claystone/ Tuffaceous Siltstone (8500' - 8560') = light to very light gray; soft; mushy; shapeless, globular with trace PDC bit action shaped cuttings; silty to clayey texture; dull to greasy luster; hydrophilic; very soluble; moderately expansive; poor cohesiveness; fair to good adhesiveness; non calcareous; trace dark brown to black micro thi n carbonaceous laminations and inclusions; trace to common thin coal/ carbonaceous shale beds. Sand/ Sandstone (8560' - 8620') = medium gray overall with individual grains dominantly medium to dark gray and clear to translucent quartz and volcanic glass; very fine upper to medium upper, dominantly fine upper to medium lower; angular to subangular; fair to good sorting; disaggregated with trace sandstone; medium to dark gray with weak salt and pepper appearance; fine; hard to brittle; very calcareous cement. Tuffaceous Claystone/ Tuffaceous Siltstone (8620' - 8680') = light to very light gray with light yellowish gray and light olive gray secondary hues; very soft; mushy to clumpy; shapeless, globular cuttings; silty to clayey texture; dull, earthy to greasy luster; hydrophilic; very soluble; poor cohesiveness; good adhesiveness; non calcareous; trace dark brown to black micro thin carbonaceous laminations and inclusions. Tuffaceous Claystone/ Tuffaceous Siltstone (8680' - 8740') = light to very light gray; soft; mushy; shapeless, globular with trace PDC bit action shaped cuttings; silty to clayey texture; dull to greasy luster; hydrophilic; very soluble; moderately expansive; poor cohesiveness; fair to good adhesiveness; non calcareous; trace dark brown to black micro thin carbonaceous laminations and inclusions; trace thin coal beds. Tuffaceous Sandstone/ Sand (8740'-8800') = very light gray to grayish white with various darker secondary hues, individual grains dominantly clear to translucent quartz and volcanic glass, trace light to dark gray and black; very fine upper to medium lower, dominantly fine; angular to subangular; moderately well sorted; very loosely supported with ashy matrix; very fragile to pulverulent; bluish white to grayish white; moderately calcareous. 18 Coal (8800' - 8860') = black with brownish black and grayish black secondary hues; moderately hard to brittle; platy to occasionally massive; planar fracture dominant with trace conchoidal and birdeye; smooth to slightly gritty texture; vitreous to slightly earthy luster; sub bituminous to bituminous and occasionally grading to a less developed carbonaceous shale; trace visible outgassing bubbles. Tuffaceous Siltstone/ Tuffaceous Claystone (8860' - 8900') = medium light gray to medium gray; easily friable to soft; poorly indurated; crunchy to crumbly tenacity; earthy fracture; tabular or wedgelike or massive cuttings habit; earthy to dull luster; silty to gritty to clayey texture; massive or laminae structure; siltstone at times almost becomes lower very fine sandstone. Sand (8900' - 8960') = medium light gray to medium gray; upper fine to lower medium; sub prismoidal to spherical to sub discoidal; sub round to sub angular; well to moderately well sorted; unconsolidated to easily friable; texturally immature; compositionally sub mature; quartz, translucent to transparent; black lithics, carbonaceous material. Tuffaceous Siltstone/ Tuffaceous Claystone (8960 - 9040') = medium gray to medium dark gray; soft to easily friable; poorly indurated; crumbly to crunchy or stiff to elastic tenacity; earthy fracture; wedgelike to tabular to nodular cuttings habit; earthy to dull lus ter; silty to clayey texture; massive structure. Sandstone/ Sand (9040' - 9080') = medium light gray to medium gray with slight light olive gray sub hue; upper very fine to lower very fine with occasional lower fine; spherical; sub round to sub angular; well to very well sorted; texturally sub mature; grain supported; tuffaceous matrix; quartz, translucent to transparent; black lithics; porosity and permeability visually good. 19 3.3 Sampling Program Set Type and Purpose Interval Frequency Distribution A Washed and Dried Reference 3500’ – 4500’ 4500’ – 9080’ 30’ 20’ Jacob Dunston Hilcorp Alaska LLC 3800 Center Point Drive, Suite 100 Anchorage, AK 99508 B Washed and Dried Reference 3500’ – 4500’ 4500’ – 9080’ 30’ 20’ Jacob Dunston Hilcorp Alaska LLC 3800 Center Point Drive, Suite 100 Anchorage, AK 99508 C Wet, Lightly Rinsed Sieve Analysis 4500’ – 9080’ 20’ James Kvidera Canrig Drilling Technology LTD 301 E 92nd Ave, Suite #2 Anchorage, AK 99515 20 4 DRILLING DATA 4.1 Surveys Measured Depth (ft) Incl. (o) Azim. (o) True Vertical Depth (ft) Latitude (ft) N(+), S(-) Departure (ft) E(+), W(-) Vertical Section (Incr) (ft) Dogleg Rate (o/100ft) 18.00 0.00 0.00 18.00 0.00 0.00 0.00 0.00 162.87 0.24 313.63 162.87 0.21 -0.22 0.21 0.17 193.62 1.08 298.87 193.62 0.39 -0.52 0.41 2.77 253.64 2.58 295.32 253.60 1.25 -2.24 1.30 2.51 355.47 3.52 293.52 355.28 3.48 -7.18 3.65 0.93 416.39 4.23 292.86 416.07 5.10 -10.97 5.36 1.16 478.75 5.49 294.68 478.20 7.23 -15.79 7.62 2.04 540.18 6.30 293.50 539.31 9.80 -21.55 10.33 1.33 601.94 9.56 295.64 600.47 13.37 -29.29 14.09 5.30 662.87 12.16 296.78 660.30 18.46 -39.58 19.42 4.29 721.68 13.81 297.54 717.61 24.49 -51.33 25.74 2.82 785.90 16.17 293.06 779.64 31.54 -66.36 33.15 4.09 847.69 16.96 291.01 838.86 38.14 -82.69 40.15 1.59 910.05 18.74 289.41 898.22 44.73 -100.63 47.18 2.96 972.22 21.04 290.36 956.68 51.93 -120.52 54.86 3.74 1033.99 23.00 294.98 1013.95 60.89 -141.86 64.34 4.23 1094.17 24.50 299.62 1069.03 72.02 -163.36 75.99 3.98 1155.55 24.33 304.50 1124.92 85.48 -184.85 89.97 3.30 1220.99 20.16 310.77 1185.49 100.49 -204.52 105.46 7.33 1282.55 18.26 314.64 1243.62 114.20 -219.42 119.52 3.71 1344.21 19.79 322.00 1301.92 129.21 -232.72 134.86 4.60 1406.42 22.29 328.90 1359.99 147.62 -245.30 153.57 5.66 1468.27 24.67 332.92 1416.71 169.16 -257.24 175.40 4.64 1530.73 25.86 335.40 1473.20 193.16 -268.85 199.67 2.55 1592.72 28.69 337.39 1528.29 219.20 -280.20 225.98 4.79 1655.26 32.84 339.23 1582.02 248.92 -291.99 255.98 6.80 1716.81 35.09 341.46 1633.07 281.30 -303.54 288.64 4.19 1779.03 35.00 343.37 1684.01 315.36 -314.34 322.95 1.77 1841.26 37.78 346.05 1734.10 350.97 -324.04 358.78 5.15 1903.25 39.36 348.23 1782.56 388.64 -332.63 396.65 3.36 1965.10 43.08 348.12 1829.08 428.53 -340.99 436.73 6.02 2026.38 44.11 348.12 1873.46 469.88 -349.69 478.29 1.68 2089.22 45.42 348.21 1918.07 513.20 -358.76 521.81 2.09 2150.94 42.22 347.56 1962.60 554.97 -367.72 563.79 5.25 21 Measured Depth (ft) Incl. (o) Azim. (o) True Vertical Depth (ft) Latitude (ft) N(+), S(-) Departure (ft) E(+), W(-) Vertical Section (Incr) (ft) Dogleg Rate (o/100ft) 2212.67 40.24 348.15 2009.02 594.74 -376.29 603.76 3.26 2274.81 40.10 346.20 2056.50 633.83 -385.18 643.05 2.04 2336.37 39.87 347.66 2103.67 672.36 -394.13 681.79 1.57 2398.57 41.57 347.09 2150.81 711.95 -403.01 721.59 2.79 2460.65 40.11 347.44 2197.78 751.54 -411.96 761.39 2.38 2522.17 42.01 346.46 2244.17 790.91 -421.09 800.96 3.26 2584.70 41.79 347.66 2290.71 831.60 -430.44 841.87 1.32 2646.12 43.04 347.76 2336.05 872.08 -439.26 882.55 2.04 2708.43 41.39 345.80 2382.20 912.83 -448.83 923.52 3.39 2770.03 42.50 345.22 2428.02 952.69 -459.13 963.63 1.91 2832.32 42.11 346.97 2474.09 993.39 -469.21 1004.55 2.00 2894.85 39.71 347.21 2521.34 1033.30 -478.35 1044.68 3.86 2956.11 39.10 347.62 2568.67 1071.25 -486.83 1082.82 1.08 3018.58 39.88 347.26 2616.89 1110.03 -495.47 1121.80 1.31 3080.20 41.63 347.23 2663.56 1149.26 -504.35 1161.24 2.83 3143.13 39.93 347.77 2711.21 1189.39 -513.24 1201.57 2.75 3204.10 40.50 347.93 2757.77 1227.87 -521.53 1240.25 0.94 3266.76 38.91 346.72 2805.97 1266.92 -530.30 1279.50 2.82 3328.49 39.74 346.31 2853.73 1304.96 -539.43 1317.75 1.41 3389.92 37.61 347.61 2901.69 1342.36 -548.10 1355.35 3.71 3452.40 38.19 348.51 2950.98 1379.91 -556.04 1393.08 1.28 3483.04 38.39 349.55 2975.04 1398.55 -559.65 1411.81 2.20 3553.26 38.35 349.09 3030.09 1441.38 -567.73 1454.82 0.41 3616.49 38.71 348.62 3079.55 1480.03 -575.34 1493.64 0.73 3677.38 38.61 348.41 3127.10 1517.30 -582.91 1531.09 0.27 3740.91 40.57 348.27 3176.05 1556.96 -591.10 1570.94 3.09 3802.21 40.39 347.84 3222.68 1595.89 -599.33 1610.05 0.54 3863.74 40.41 347.14 3269.54 1634.82 -607.97 1649.18 0.74 3926.12 39.57 346.17 3317.33 1673.82 -617.22 1688.40 1.66 3989.02 41.13 347.48 3365.27 1713.48 -626.49 1728.27 2.82 4049.81 41.07 347.37 3411.07 1752.48 -635.19 1767.48 0.15 4112.16 41.12 346.80 3458.06 1792.43 -644.35 1807.64 0.61 4175.20 41.11 345.73 3505.55 1832.70 -654.20 1848.14 1.11 4236.83 37.92 347.37 3553.09 1870.82 -663.34 1886.47 5.46 4298.50 39.98 348.23 3601.05 1908.71 -671.52 1924.55 3.46 4360.76 39.23 348.06 3649.02 1947.55 -679.67 1963.58 1.21 4422.55 41.62 349.68 3696.06 1986.86 -687.39 2003.06 4.22 4484.38 41.80 348.31 3742.22 2027.24 -695.24 2043.63 1.50 4546.06 40.19 348.25 3788.77 2066.86 -703.46 2083.43 2.62 22 Measured Depth (ft) Incl. (o) Azim. (o) True Vertical Depth (ft) Latitude (ft) N(+), S(-) Departure (ft) E(+), W(-) Vertical Section (Incr) (ft) Dogleg Rate (o/100ft) 4607.72 40.78 347.77 3835.67 2106.02 -711.78 2122.78 1.09 4669.50 41.05 347.35 3882.36 2145.53 -720.49 2162.50 0.62 4732.45 39.84 347.97 3930.26 2185.42 -729.22 2202.59 2.02 4793.87 40.08 347.64 3977.34 2223.98 -737.56 2241.34 0.52 4854.52 40.66 347.62 4023.55 2262.35 -745.97 2279.90 0.96 4916.60 41.15 347.93 4070.47 2302.08 -754.58 2319.83 0.85 4980.04 39.41 348.46 4118.87 2342.22 -762.97 2360.16 2.78 5041.94 39.71 348.34 4166.59 2380.84 -770.90 2398.96 0.49 5103.69 39.61 347.86 4214.13 2419.40 -779.03 2437.71 0.52 5166.05 39.98 347.26 4262.04 2458.38 -787.63 2476.89 0.86 5228.22 40.57 347.03 4309.47 2497.56 -796.57 2516.28 0.97 5290.61 39.10 348.85 4357.38 2536.63 -804.93 2555.54 3.01 5351.34 39.69 349.13 4404.31 2574.47 -812.29 2593.54 1.02 5413.48 40.17 348.87 4451.97 2613.62 -819.90 2632.87 0.82 5475.75 40.37 348.29 4499.48 2653.07 -827.87 2672.51 0.68 5537.30 38.51 349.59 4547.01 2691.44 -835.38 2711.05 3.31 5599.66 36.89 349.98 4596.35 2728.97 -842.14 2748.73 2.62 5661.60 35.06 350.36 4646.47 2764.82 -848.36 2784.72 2.97 5723.90 33.07 350.83 4698.08 2799.24 -854.07 2819.27 3.23 5785.65 31.62 351.83 4750.25 2831.89 -859.05 2852.04 2.51 5858.81 29.96 353.53 4813.10 2869.03 -863.83 2889.28 2.56 5920.59 30.20 353.51 4866.56 2899.79 -867.33 2920.12 0.39 5982.33 30.47 353.69 4919.85 2930.78 -870.80 2951.18 0.46 6044.52 30.26 354.55 4973.51 2962.06 -874.02 2982.53 0.79 6106.63 28.84 357.57 5027.54 2992.60 -876.14 3013.11 3.30 6168.16 28.86 357.67 5081.44 3022.26 -877.38 3042.80 0.08 6231.66 28.75 357.94 5137.08 3052.83 -878.55 3073.39 0.27 6292.73 29.11 358.19 5190.53 3082.35 -879.55 3102.92 0.63 6354.91 28.92 356.36 5244.91 3112.48 -880.98 3133.08 1.45 6416.96 29.08 355.72 5299.18 3142.48 -883.06 3163.12 0.56 6478.97 29.19 355.68 5353.34 3172.59 -885.32 3193.27 0.19 6541.48 28.73 355.31 5408.04 3202.76 -887.69 3223.50 0.79 6603.15 28.91 354.80 5462.07 3232.39 -890.26 3253.17 0.49 6665.89 29.20 354.94 5516.91 3262.73 -892.98 3283.57 0.47 6727.23 29.43 354.41 5570.40 3292.63 -895.77 3313.53 0.57 6789.33 29.39 355.22 5624.50 3323.00 -898.53 3343.96 0.64 6851.43 29.56 355.67 5678.56 3353.46 -900.95 3374.47 0.45 6912.63 29.41 357.36 5731.83 3383.52 -902.79 3404.57 1.38 6974.75 29.81 356.57 5785.84 3414.17 -904.41 3435.25 0.90 23 Measured Depth (ft) Incl. (o) Azim. (o) True Vertical Depth (ft) Latitude (ft) N(+), S(-) Departure (ft) E(+), W(-) Vertical Section (Incr) (ft) Dogleg Rate (o/100ft) 7036.61 30.08 355.88 5839.44 3444.98 -906.45 3466.10 0.70 7099.37 30.16 356.26 5893.73 3476.40 -908.61 3497.56 0.33 7161.17 30.43 355.47 5947.10 3507.50 -910.86 3528.71 0.78 7222.63 30.58 355.23 6000.04 3538.59 -913.38 3559.85 0.32 7285.22 30.80 355.24 6053.87 3570.43 -916.04 3591.75 0.34 7347.98 30.78 355.15 6107.78 3602.44 -918.73 3623.81 0.08 7409.29 31.12 354.70 6160.36 3633.85 -921.52 3655.29 0.67 7469.31 31.09 354.22 6211.75 3664.72 -924.51 3686.21 0.41 7533.39 31.55 353.41 6266.49 3697.83 -928.11 3719.41 0.98 7595.51 32.07 354.13 6319.28 3730.38 -931.66 3752.03 1.03 7657.03 31.86 355.58 6371.47 3762.82 -934.58 3784.53 1.29 7719.10 32.16 355.71 6424.10 3795.62 -937.08 3817.39 0.49 7782.18 32.17 355.79 6477.50 3829.11 -939.57 3850.93 0.07 7843.91 32.53 355.91 6529.65 3862.06 -941.96 3883.92 0.59 7905.73 32.71 355.54 6581.72 3895.29 -944.45 3917.21 0.43 7967.53 31.11 356.67 6634.18 3927.88 -946.68 3949.84 2.77 8029.40 30.87 355.91 6687.22 3959.66 -948.74 3981.66 0.74 8091.87 30.91 355.02 6740.83 3991.64 -951.27 4013.69 0.74 8153.75 31.61 354.71 6793.73 4023.62 -954.15 4045.73 1.16 8212.95 31.22 355.15 6844.25 4054.35 -956.87 4076.52 0.77 8276.23 29.51 356.86 6898.85 4086.26 -959.11 4108.47 3.02 8339.36 29.08 357.00 6953.90 4117.11 -960.77 4139.35 0.69 8401.30 29.06 356.06 7008.04 4147.15 -962.59 4169.43 0.74 8463.25 28.66 355.13 7062.29 4176.95 -964.88 4199.28 0.97 8525.96 28.58 354.58 7117.35 4206.87 -967.58 4229.26 0.43 8587.41 28.37 353.43 7171.36 4236.01 -970.64 4258.46 0.96 8649.82 28.19 351.89 7226.32 4265.33 -974.41 4287.87 1.20 8712.08 27.76 350.09 7281.31 4294.18 -978.98 4316.82 1.52 8773.55 27.81 349.51 7335.69 4322.38 -984.06 4345.14 0.44 8834.90 28.05 348.86 7389.89 4350.61 -989.45 4373.49 0.63 8896.64 28.04 347.88 7444.38 4379.04 -995.30 4402.05 0.75 8959.15 28.40 346.81 7499.46 4407.88 -1001.78 4431.04 0.99 9021.30 28.22 345.82 7554.18 4436.52 -1008.75 4459.84 0.80 9047.99 28.07 345.47 7577.71 4448.71 -1011.87 4472.11 0.83 9080.00 28.07 345.47 7605.96 4463.29 -1015.65 4486.78 0.01 24 4.2 Bit Record BIT NO. SIZE TYPE S/N JETS/ TFA IN OUT FT HRS AVE ROP Ft/HR CONDITION 1 9 7/8” HDBS MM65 12406156 6x13/ 0.7777 116’ 3520’ 3404’ 15.0 295 2-6-BT -G-X-I-BU-TD 2 6 ¾” Varel V513DHRU 4008283 4x9, 3x10 3520’ 4495’ 975’ 6.4 152 1-1-NO-ALL-X-I-NO-PN RR2 6 ¾” Varel V513DHRU 4008283 4x9, 3x10 4495’ 9080’ 4585’ 50.0 119 1-3-CT -G-X-I-ER-TD 25 4.3 Mud Record Contractor: M.I. Swaco Date Depth MW (ppg) VIS (s/qt) PV YP Gels FL (cc) FC Sols (%) O/W Ratio Sd (%) MBT pH Cl (ml/l) Ca (ml/l) MD (ft) TVD (ft) Spud Mud 8/20/2015 452 452 8.70 155 32 52 18/33/39 8.2 2/0 2.8 0/97.0 1.0 20 9.3 300 10 8/21/2015 2989 2597 9.00 145 36 52 14/29/38 8.9 2/0 5.1 0/94.7 .5 25 8.0 150 20 8/22/2015 3520 3004 8.95 73 29 28 7/15/21 8.6 2/0 4.7 0/95.1 .25 15 7.8 150 10 6% KCl EZ Mud DP 8/23/2015 3520 3004 9.05 55 10 16 5/7/10 3.8 1/2 5.9 1.5/90.5 0.00 3.0 10.3 27000 320 8/24/2015 3520 3004 9.35 53 10 15 4/7/10 4.4 1/2 5.1 1.5/90.9 0.00 3.5 10.0 32000 400 8/25/2015 3540 3012 9.20 46 10 17 5/8/11 4.3 1/2 3.8 0.5/93.3 0.00 2.5 10.4 30000 80 8/26/2015 4128 3472 9.30 49 11 19 5/8/12 4.1 1/2 4.6 0.3/92.8 0.25 3.0 10.0 31500 120 8/27/2015 4984 4095 9.40 57 16 20 6/9/12 3.8 1/2 5.6 0.1/91.9 0.25 3.3 10.1 29500 170 8/28/2015 5744 4724 9.45 52 10 15 4/6/8 3.9 1/2 6.0 0.3/91.3 0.25 2.5 8.4 30500 240 8/29/2015 5877 4831 9.30 54 11 15 5/7/9 4.6 1/2 4.7 0.0/92.7 - 0.5 8.2 32500 250 8/30/2015 6261 5151 9.25 56 11 15 6/8/10 4.5 1/2 4.5 0.0/93.1 - 0.5 8.4 29000 100 8/31/2015 7204 5985 9.05 53 9 18 5/8/11 4.6 1/2 3.1 0.8/93.7 0.10 1.5 8.9 29500 120 9/1/2015 8020 6682 9.05 55 11 18 5/7/10 3.8 1/2 2.1 2.2/92.2 0.10 1.8 9.4 30000 100 9/2/2015 9080 7606 9.20 51 12 18 5/8/12 3.9 1/2 4.2 1.8/91.6 0.10 2.5 8.9 30500 160 9/3/2015 9080 7606 9.48 55 16 20 6/8/12 3.3 1/2 5.3 1.5/90.8 0.10 3.0 10.4 30500 80 9/4/2015 9080 7606 9.45 54 13 20 5/8/10 3.2 1/2 5.1 1.5/91.1 0.10 3.0 9.8 29000 60 Abbreviations: MW = Mud Weight VIS = Funnel Viscosity PV = Plastic Viscosity YP = Yield Point Gels = Gel Strength FL = Water or Filtrate Loss FC = Filter Cake O/W = Oil to Water ratio Sols = Solids Sd = Sand content MBT = Methylene Blue Alk, Pm = Alkalinity, Mud pH = Acidity Cl = Chlorides Ca = Hardness Calcium nr = Not Recorded 26 4.4. Drilling Progress DAYS vs DEPTH 0 1000 2000 3000 4000 5000 6000 7000 8000 9000 10000 8/1 8 / 2 0 1 5 8/1 9 / 2 0 1 5 8/2 0 / 2 0 1 5 8/2 1 / 2 0 1 5 8/2 2 / 2 0 1 5 8/2 3 / 2 0 1 5 8/2 4 / 2 0 1 5 8/2 5 / 2 0 1 5 8/2 6 / 2 0 1 5 8/2 7 / 2 0 1 5 8/2 8 / 2 0 1 5 8/2 9 / 2 0 1 5 8/3 0 / 2 0 1 5 8/3 1 / 2 0 1 5 9/1 / 2 0 1 5 9/2 / 2 0 1 5 9/3 / 2 0 1 5 9/4 / 2 0 1 5 9/5 / 2 0 1 5 Date De p t h ( f t ) 9 7/8" Hole 6 3/4" Hole 27 5 SHOW REPORTS Hydrocarbon Show Report #1 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 4670'MD 4700'MD Country:20 3883'TVD 3905'TVD Averages Before During After Maximum ROP (fph)191 ft/hr 181 ft/hr 191 ft/hr 375 ft/hr WOB 5 klbs 6 klbs 5 klbs 7 klbs RPM 76 rpm 76 rpm 8 rpm 77 rpm PP 1805 psi 1805 psi 1782 psi 1825 psi Mud Weight 9.4 lbs/gal 9.4 lbs/gal 9.4 lbs/gal 9.4 lbs/gal Chloride 29,500 29,500 29,500 29,500 Total Gas 53 147 43 179 C1 (ppm)9,121 28,244 8,243 34,396 C2 (ppm)27 108 34 139 C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/27/2015 8:25 PM Residual Cut SAND = MEDIUM GRAY TO MEDIUM LIGHT GRAY; LOWER MEDIUM TO UPPER FINE; OCCASIONAL LOWER FINE OR UPPER MEDIUM; SPHERICAL TO SUB DISCODIAL; ANGULAR TO SUB ANGULAR; WELL TO MODERATELY WELL SORTED; UNCONSOLIDATED; TEXTURALLY IMMATURE; COMPOSITIONALLY SUB MATURE; QUATZ, TRANSLUCENT TO TRANPARENT; BLACK, REDDISH ORANGE AND GREEN LITHICS;POROSITY AND PERMEABILITY VISUALLY GOOD. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #2 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 5900'MD 5945'MD Country:20 4849'TVD 4889'TVD Averages Before During After Maximum ROP (fph)183 ft/hr 160 ft/hr 162 ft/hr 219 ft/hr WOB 4 klbs 4 klbs 4 klbs 6 klbs RPM 69 rpm 77 rpm 78 rpm 78 rpm PP 1611 psi 1554 psi 1556 psi 1613 psi Mud Weight 9.3 lbs/gal 9.3 lbs/gal 9.3 lbs/gal 9.3 lbs/gal Chloride 32,500 32,500 32,500 32,500 Total Gas 67 225 190 325 C1 (ppm)13,879 44,865 38,207 65,670 C2 (ppm)53 194 202 291 C3 (ppm)- 13 20 27 C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Cut SAND = MEDIUM GRAY TO MEDIUM LIGHT GRAY; UPPER FINE TO LOWER MEDIUM; SPHERICAL TO SUB DISCOIDAL; SUB ROUND TO SUB ANGULAR; WELL TO MODERATELY WELL SORTED; UNCONSOLIDATED; TEXTURALLY IMMATURE; COMPOSITIONALLY SUB MATURE; QUARTZ, TRANSLUCENT TO TRANSPARENT; BLACK LITHICS; HEAVY LCM CONTAMINATION. Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/30/2015 1:30 AM Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #3 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 5955'MD 5995'MD Country:20 4897'TVD 4933'TVD Averages Before During After Maximum ROP (fph)142 ft/hr 168 ft/hr 134 ft/hr 238 ft/hr WOB 5 klbs 4 klbs 4 klbs 5 klbs RPM 77 rpm 78 rpm 66 rpm 79 rpm PP 1551 psi 1553 psi 1551 psi 1630 psi Mud Weight 9.3 lbs/gal 9.3 lbs/gal 9.3 lbs/gal 9.3 lbs/gal Chloride 32,500 32,500 32,500 32,500 Total Gas 132 242 50 468 C1 (ppm)26,589 47,934 9,755 94,190 C2 (ppm)128 237 13 525 C3 (ppm)12 23 1 52 C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Cut SAND = MEDIUM GRAY TO MEDIUM LIGHT GRAY; UPPER FINE TO LOWER MEDIUM; SPHERICAL TO SUB DISCOIDAL; SUB ROUND TO SUB ANGULAR; WELL TO MODERATELY WELL SORTED; UNCONSOLIDATED; TEXTURALLY IMMATURE; COMPOSITIONALLY SUB MATURE; QUARTZ, TRANSLUCENT TO TRANSPARENT; BLACK LITHICS; HEAVY LCM CONTAMINATION. Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/30/2015 2:00 AM Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #4 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 6015'MD 6030'MD Country:20 4948'TVD 4961'TVD Averages Before During After Maximum ROP (fph)141 ft/hr 144 ft/hr 127 ft/hr 388 ft/hr WOB 4 klbs 5 klbs 5 klbs 21 klbs RPM 70 rpm 66 rpm 63 rpm 76 rpm PP 1564 psi 1493 psi 1543 psi 1576 psi Mud Weight 9.3 lbs/gal 9.3 lbs/gal 9.3 lbs/gal 9.3 lbs/gal Chloride 32,500 32,500 32,500 32,500 Total Gas 55 88 49 107 C1 (ppm)10,479 13,894 9,231 18,349 C2 (ppm)15 40 34 63 C3 (ppm)1 - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/30/2015 3:30 AM Residual Cut SAND = MEDIUM GRAY TO MEDIUM LIGHT GRAY; UPPER FINE TO LOWER MEDIUM; SPHERICAL TO SUB DISCOIDAL; SUB ROUND TO SUB ANGULAR; WELL TO MODERATELY WELL SORTED; UNCONSOLIDATED; TEXTURALLY IMMATURE; COMPOSITIONALLY SUB MATURE; QUARTZ, TRANSLUCENT TO TRANSPARENT; TUFFACEOUS SILTSTONE, MEDIUM GRAY, SOFT TO EASILY FRIABLE, POORLY INDURATED, CRUMBLY TENACITY, EARTHY FRACTURE, MASSIVE OR TABULAR CUTTINGS HABIT, EARTHY LUSTER, SILTY TEXTURE, MASSIVE OR LAMINAE STRUCTURE WITH CARBONACEOUS LAMINATIONS; HEAVY LCM CONTAMINATION. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #5 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 6545'MD 6565'MD Country:20 5411'TVD 5428'TVD Averages Before During After Maximum ROP (fph)150 ft/hr 121 ft/hr 131 ft/hr 201 ft/hr WOB 5 klbs 5 klbs 4 klbs 6 klbs RPM 66 rpm 67 rpm 67 rpm 68 rpm PP 1663 psi 1572 psi 1635 psi 1655 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 29,000 29,000 29,000 29,000 Total Gas 44 68 22 103 C1 (ppm)8,907 13,680 4,388 20,749 C2 (ppm)- - - - C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Ralph Winkleman / Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/31/2015 12:30 PM Residual Cut SAND = MEDIUM GRAY WITH A MODERATE SALT AND PEPPER APPEARANCE, INDIVIDUAL GRAINS DOMINANTLY LIGHT TO DARK GRAY, CLEAR TO TRANSLUCENT QUARTZ AND VOLCANIC GLASS, BLACK AND LIGHT GREENISH GRAY; FINE LOWER TO COARSE UPPER, DOMINANTLY MEDIUM; ANGULAR TO SUB ANGULAR; MODERATELY WELL SORTED; UNCONSOLIDATED; NON CALCAREOUS. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #6 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 6870'MD 6890'MD Country:20 5695'TVD 5712'TVD Averages Before During After Maximum ROP (fph)24 ft/hr 152 ft/hr 163 ft/hr 218 ft/hr WOB 4 klbs 4 klbs 5 klbs 6 klbs RPM 29 rpm 72 rpm 71 rpm 74 rpm PP 1476 psi 1689 psi 1713 psi 1735 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 0.0 lbs/gal Chloride 29,000 29,000 29,000 29,000 Total Gas 34 110 92 215 C1 (ppm)5,972 21,708 18,448 41,528 C2 (ppm)- - - - C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Ralph Winkleman / Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/31/2015 6:25 PM Residual Cut SAND/ CONGLOMERATIC SAND =MEDIUM TO MEDIUM LIGHT GRAY WITH A WEAK TO MODERATE SALT AND PEPPER APPEARANCE,INDIVIDUAL GRAINS DOMINANTLY MEDIUM TO DARK GRAY TO BLACK, CLEAR TO TRANSLUCENT QUARTZ AND VOLCANIC GLASS, MEDIUM GREENISH GRAY; VERY FINE UPPER TO VERY COARSE UPPER WITH PEBBLE FRAGMENTS (4mm), DOMINANTLY MEDIUM LOWER TO COARSE LOWER; ANGULAR TO SUBANGULAR; POORLY SORTED; UNCONSOLIDATED; NON CALCAREOUS; TRACE THIN COAL BEDS. DOMINANTLY LIGHT TO DARK GRAY, CLEAR TO TRANSLUCENT QUARTZ AND VOLCANIC GLASS, BLACK AND LIGHT GREENISH GRAY; FINE LOWER TO COARSE UPPER, DOMINANTLY MEDIUM; ANGULAR TO SUB ANGULAR; MODERATELY WELL SORTED; UNCONSOLIDATED; NON CALCAREOUS. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #7 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 6900'MD 6925'MD Country:20 5721'TVD 5742'TVD Averages Before During After Maximum ROP (fph)160 ft/hr 168 ft/hr 121 ft/hr 298 ft/hr WOB 4 klbs 5 klbs 5 klbs 6 klbs RPM 71 rpm 70 rpm 70 rpm 71 rpm PP 1700 psi 1700 psi 1681 psi 1749 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 29,000 29,000 29,000 29,000 Total Gas 77 80 39 101 C1 (ppm)15,509 16,022 7,894 20,334 C2 (ppm)- - - - C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Cut SAND/ CONGLOMERATIC SAND =MEDIUM TO MEDIUM LIGHT GRAY WITH A WEAK TO MODERATE SALT AND PEPPER APPEARANCE,INDIVIDUAL GRAINS DOMINANTLY MEDIUM TO DARK GRAY TO BLACK, CLEAR TO TRANSLUCENT QUARTZ AND VOLCANIC GLASS, MEDIUM GREENISH GRAY; VERY FINE UPPER TO VERY COARSE UPPER WITH PEBBLE FRAGMENTS (4mm), DOMINANTLY MEDIUM LOWER TO COARSE LOWER; ANGULAR TO SUBANGULAR; POORLY SORTED; UNCONSOLIDATED; NON CALCAREOUS; TRACE THIN COAL BEDS. DOMINANTLY LIGHT TO DARK GRAY, CLEAR TO TRANSLUCENT QUARTZ AND VOLCANIC GLASS, BLACK AND LIGHT GREENISH GRAY; FINE LOWER TO COARSE UPPER, DOMINANTLY MEDIUM; ANGULAR TO SUB ANGULAR; MODERATELY WELL SORTED; UNCONSOLIDATED; NON CALCAREOUS. Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/31/2015 6:50 PM Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Residual Fluorescence Cuttings Analysis Ralph Winkleman / Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #8 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 6975'MD 7000'MD Country:20 5786'TVD 5808'TVD Averages Before During After Maximum ROP (fph)97 ft/hr 78 ft/hr 111 ft/hr 108 ft/hr WOB 5 klbs 5 klbs 5 klbs 5 klbs RPM 75 rpm 75 rpm 69 rpm 76 rpm PP 1676 psi 1614 psi 1695 psi 1687 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 29,000 29,000 29,000 29,000 Total Gas 44 110 54 140 C1 (ppm)8,754 22,081 10,795 28,397 C2 (ppm)- - - - C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Cut SAND = MEDIUM GRAY; UPPER FINE TO LOWER FINE; SPHERICAL; SUB ROUND TO SUB ANGULAR; WELL TO MODRATELY WELL SORTED; UNCONSOLIDATED; TEXTURALLY IMMATURE; COMPOSITIONALLY SUB MATURE; QUARTZ, TRANSLUCENT TO TRANSPARENT; BLACK LITHICS. Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 8/31/2015 7:40 PM Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #9 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 8080'MD 8100'MD Country:20 6731'TVD 6748'TVD Averages Before During After Maximum ROP (fph)118 ft/hr 102 ft/hr 80 ft/hr 121 ft/hr WOB 5 klbs 5 klbs 6 klbs 6 klbs RPM 81 rpm 81 rpm 81 rpm 82 rpm PP 2137 psi 2144 psi 2120 psi 2193 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 30,000 30,000 30,000 30,000 Total Gas 148 232 105 265 C1 (ppm)29,282 45,927 20,675 52,738 C2 (ppm)31 8 - 26 C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 1:35 AM Residual Cut SAND = UPPER VERY FINE, SUB ROUND, SPHERICAL, MODERATELY WELL SORTED, UNCONSOLIDATED, TRANSLUCENT OR TRANPARENT QUARTZ. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #10 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 8245'MD 8300'MD Country:20 6872'TVD 6920'TVD Averages Before During After Maximum ROP (fph)22 ft/hr 87 ft/hr 94 ft/hr 132 ft/hr WOB 0 klbs 5 klbs 4 klbs 6 klbs RPM 0 rpm 80 rpm 83 rpm 83 rpm PP 2024 psi 2151 psi 2104 psi 2202 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 30,000 30,000 30,000 30,000 Total Gas 43 198 91 269 C1 (ppm)8,407 38,825 17,815 52,028 C2 (ppm)5 145 56 224 C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters. A wiper trip was performed at 8300'. The well may not have been clean therefore sands were masked. GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 6:20 AM Residual Cut TUFFACEOUS CLAYSTONE / SILTSTONE = MEDIUM GRAY TO MEDIUM LIGHT GRAY WITH SLIGHLT LIGHT OLIVE GRAY SUBHUE; SOFT TO FRIABLE; POOR TO MODERATE INDURATION; ELASTIC TO STIFF OR BRITTLE TO CRUMBLY; EARTHY FRACTURE; MASSIVE OR TABULAR OR WEDGELIKE CUTTINGS HABIT;EARTHY TO DULL LUSTER; SILTY TO GRITTY OR CLAYEY TEXTURE; MASSIVE OR LAMINAE STRUCTURE; CARBONACEOUS LAMINATIONS. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #11 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 8350'MD 8375'MD Country:20 6963'TVD 6985'TVD Averages Before During After Maximum ROP (fph)98 ft/hr 99 ft/hr 96 ft/hr 132 ft/hr WOB 4 klbs 4 klbs 5 klbs 5 klbs RPM 83 rpm 82 rpm 81 rpm 83 rpm PP 2193 psi 2181 psi 2190 psi 2251 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 30,000 30,000 30,000 30,000 Total Gas 85 184 78 334 C1 (ppm)17,292 36,455 14,796 67,922 C2 (ppm)42 3 19 10 C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Ralph Winkleman / Tollef Winslow Gas show, no oil parameters. GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 11:30 AM Residual Cut TUFFACEOUS CLAYSTONE/ TUFFACEOUS SILTSTONE = MEDIUM LIGHT TO LIGHT GRAY WITH LIGHT OLIVE GRAY SECONDARY HUES; VERY SOFT TO TRACE VERY FIRM TO HARD; IRREGULAR, SHAPELESS TO SCALY CUTTINGS; SILTY TO CLAYEY TEXTURE; DULL TO GREASY LUSTER; VERY SOLUBLE; HYDROPHILIC; POOR TO FAIR COHESIVENESS; FAIR TO GOOD ADHESIVENESS; NON CALCAREOUS WITH TRACE MEDIUM DARK GRAY SILTSTONE; HARD TO BRITTLE; VERY CALCAREOUS; TRACE DARK BROWN TO BLACK MICROTHIN CARBONACEOUS LAMINATIONS AND INCLUSIONS. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #12 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 8745'MD 8780'MD Country:20 7310'TVD 7341'TVD Averages Before During After Maximum ROP (fph)84 ft/hr 105 ft/hr 68 ft/hr 283 ft/hr WOB 6 klbs 5 klbs 5 klbs 8 klbs RPM 61 rpm 76 rpm 75 rpm 78 rpm PP 2224 psi 2250 psi 2237 psi 2410 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 30,000 30,000 30,000 30,000 Total Gas 74 100 118 175 C1 (ppm)15,069 19,789 22,498 34,381 C2 (ppm)52 79 95 144 C3 (ppm)- - - - C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Ralph Winkleman / Tollef Winslow Gas show, no oil parameters. GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 18:00:00 AM Residual Cut TUFFACEOUS SANDSTONE/SAND = VERY LIGHT GRAY TO GRAYISH WHITE WITH VARIOUS DARKER SECONDARY HUES, INDIVIDUAL GRAINS DOMINANTLY CLEAR TO TRANSLUCENT QUARTZ AND VOLCANIC GLASS, TRACE LIGHT TO DARK GRAY AND BLACK; VERY FINE UPPER TO MEDIUM LOWER, DOMINANTLY FINE; ANGULAR TO SUBANGULAR; MODERATELY WELL SORTED; VERY LOOSELY SUPPORTED WITH ASHY MATRIX; VERY FRAGILE TO PULVERULENT; BLUISH WHITE TO GRAYISH WHITE; MODERATELY CALCAREOUS. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #13 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 8840'MD 8850'MD Country:20 7394'TVD 7403'TVD Averages Before During After Maximum ROP (fph)80 ft/hr 87 ft/hr 86 ft/hr 100 ft/hr WOB 5 klbs 5 klbs 5 klbs 6 klbs RPM 79 rpm 79 rpm 79 rpm 80 rpm PP 2196 psi 2158 psi 2177 psi 2195 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 0.0 lbs/gal Chloride 30,000 30,000 30,000 30,000 Total Gas 122 334 154 432 C1 (ppm)24,243 66,521 31,269 85,979 C2 (ppm)73 217 103 265 C3 (ppm)3 19 7 24 C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Ralph Winkleman / Tollef Winslow Gas show, no oil parameters. GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 7:00 PM Residual Cut TUFFACEOUS SANDSTONE/SAND = VERY LIGHT GRAY TO GRAYISH WHITE WITH VARIOUS DARKER SECONDARY HUES, INDIVIDUAL GRAINS DOMINANTLY CLEAR TO TRANSLUCENT QUARTZ AND VOLCANIC GLASS, TRACE LIGHT TO DARK GRAY AND BLACK; VERY FINE UPPER TO MEDIUM LOWER, DOMINANTLY FINE; ANGULAR TO SUBANGULAR; MODERATELY WELL SORTED; VERY LOOSELY SUPPORTED WITH ASHY MATRIX; VERY FRAGILE TO PULVERULENT; BLUISH WHITE TO GRAYISH WHITE; MODERATELY CALCAREOUS. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #14 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 8935'MD 8950'MD Country:20 7478'TVD 7491'TVD Averages Before During After Maximum ROP (fph)73 ft/hr 85 ft/hr 57 ft/hr 99 ft/hr WOB 5 klbs 5 klbs 6 klbs 6 klbs RPM 77 rpm 73 rpm 73 rpm 74 rpm PP 2196 psi 2218 psi 2202 psi 2246 psi Mud Weight 9.2 lbs/gal 9.2 lbs/gal 9.2 lbs/gal 9.2 lbs/gal Chloride 31,000 31,000 31,000 31,000 Total Gas 115 193 65 263 C1 (ppm)22,362 37,346 12,482 50,912 C2 (ppm)120 261 120 348 C3 (ppm)6 11 5 15 C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters. GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 9:30 PM Residual Cut SAND = MEDIUM LIGHT GRAY TO MEDIUM GRAY; UPPER FINE TO LOWER MEDIUM; SUB PRISMOIDAL TO SPHERICAL TO SUB DISCOIDAL; SUB ROUND TO SUB ANGULAR; WELL TO MODERATELY WELL SORTED; UNCONSOLIDATED TO EASILY FRIABLE; TEXTURALLY IMMATURE; COMPOSITIONALLY SUB MATURE; QUARTZ, TRANSLUCENT TO TRANSPARENT; BLACK LITHICS, CARBONACEOUS MATERIAL. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #15 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 8970'MD 8980'MD Country:20 7509'TVD 7518'TVD Averages Before During After Maximum ROP (fph)58 ft/hr 56 ft/hr 79 ft/hr 83 ft/hr WOB 6 klbs 3 klbs 3 klbs 6 klbs RPM 73 rpm 73 rpm 75 rpm 74 rpm PP 2203 psi 2192 psi 2234 psi 2238 psi Mud Weight 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal 9.1 lbs/gal Chloride 31,000 31,000 31,000 31,000 Total Gas 67 82 115 142 C1 (ppm)12,851 15,725 23,024 27,309 C2 (ppm)122 194 217 345 C3 (ppm)5 8 12 14 C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters. GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 10:10 PM Residual Cut SAND = MEDIUM LIGHT GRAY TO MEDIUM GRAY; UPPER FINE TO LOWER MEDIUM; SUB PRISMOIDAL TO SPHERICAL TO SUB DISCOIDAL; SUB ROUND TO SUB ANGULAR; WELL TO MODERATELY WELL SORTED; UNCONSOLIDATED TO EASILY FRIABLE; TEXTURALLY IMMATURE; COMPOSITIONALLY SUB MATURE; QUARTZ, TRANSLUCENT TO TRANSPARENT; BLACK LITHICS, CARBONACEOUS MATERIAL. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #16 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 9000'MD 9015'MD Country:20 7535'TVD 7549'TVD Averages Before During After Maximum ROP (fph)79 ft/hr 83 ft/hr 65 ft/hr 100 ft/hr WOB 3 klbs 5 klbs 6 klbs 6 klbs RPM 75 rpm 76 rpm 75 rpm 78 rpm PP 2231 psi 2230 psi 2208 psi 2267 psi Mud Weight 9.2 lbs/gal 9.2 lbs/gal 9.2 lbs/gal 9.2 lbs/gal Chloride 31,000 31,000 31,000 31,000 Total Gas 107 200 99 318 C1 (ppm)21,300 40,243 19,955 63,714 C2 (ppm)212 215 60 433 C3 (ppm)11 21 11 33 C4 (ppm)- - - - C5 (ppm)- - - - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters. Sand masked by sample interval. GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 11:00 PM Residual Cut TUFFACEOUS SILTSTONE / TUFFACEOUS CLAYSTONE = MEDIUM GRAY TO MEDIUM DARK GRAY; SOFT TO EASILY FRIABLE; POORLY INDURATED; CRUMBLY TO CRUNCHY OR STIFF TO ELASTIC TENACITY; EARTHY FRACTURE; WEDGELIKE TO TABULAR TO NODULAR CUTTINGS HABIT; EARTHY TO DULL LUSTER; SILTY TO CLAYEY TEXTURE; MASSIVE STRUCTURE. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 Hydrocarbon Show Report #17 Operator: Well:API Number: Field:Date: Rig:Time: County:Depth Start End State:20 9045'MD 9080'MD Country:20 7575'TVD 7606'TVD Averages Before During After Maximum ROP (fph)62 ft/hr 81 ft/hr 0 ft/hr 109 ft/hr WOB 5 klbs 4 klbs 0 klbs 6 klbs RPM 71 rpm 76 rpm -999 rpm 77 rpm PP 2082 psi 2250 psi -999 psi 2286 psi Mud Weight 9.2 lbs/gal 9.2 lbs/gal 0.0 lbs/gal 9.2 lbs/gal Chloride 31,000 31,000 - 31,000 Total Gas 96 163 (999) 206 C1 (ppm)19,364 31,057 (999) 40,090 C2 (ppm)57 74 (999) 110 C3 (ppm)11 15 (999) 26 C4 (ppm)- - (1,999) - C5 (ppm)- - (1,999) - Lithology Odor Amount Type Amount Amount Distribution Intensity Color Color Intensity Color Color Intesity Color Color Comments Report by: Residual Fluorescence Cuttings Analysis Tollef Winslow Gas show, no oil parameters. Well total depth is 9080' GAS SHOWOil Show Rating Cut Free Oil in Mud Kenai Peninsula Borough Alaska United States of America Fluorescence Cut Fluorescence Stain Hilcorp Alaska, LLC 50-133-20653-00-00KBU-06X Kenai Gas Field Saxon 169 9/2/2015 11:15 PM Residual Cut SANDSTONE / SAND = MEDIUM LIGHT GRAY TO MEDIUM GRAY WITH SLIGHT LIGHT OLIVE GRAY SUB HUE; UPPER VERY FINE TO LOWER VERY FINE WITH OCCASIONAL LOWER FINE; SPHERICAL; SUB ROUND TO SUB ANGULAR; WELL TO VERY WELL SORTED; TEXTURALLY SUB MATURE; GRAIN SUPPORTED; TUFFACEOUS MATRIX; QUARTZ, TRANSLUCENT TO TRANSPARENT; BLACK LITHICS; POROSITY AND PERMEABILITY VISUALLY GOOD. 1 10 100 1000 10000 1 2 3 4 pp m Pixler Plot DRY GAS GAS CONDENSATE OIL NON PRODUCTIVE C1/C2 C1/C4 C1/C5 C1/C3 28 6 DAILY REPORTS Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauk / Shane Barber DATE Aug 20, 2015 DEPTH 452' PRESENT OPERATION Drilling ahead TIME 24:00:00 YESTERDAY 102' 24 HOUR FOOTAGE 350' CASING INFORMATION 13 3/8" @ 120' MD SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 193.62' 1.08 287.02 193.62' 253.64' 2.58 297.35 253.61' 355.47' 3.52 290.71 355.29' 416.39' 4.23 292.86 416.07' 478.75' 5.49 294.68 478.02' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 1 9 7/8" Hailburton MM65 PDC 12406156 6 x 13 102 350' 1:45 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 970.6 @ 130' 13.0 @ 182' 340.4 126.46 FT/HR SURFACE TORQUE 6274 @ 297' 1476 @ 391' 2023.0 0.00 AMPS WEIGHT ON BIT 25 @ 204' 0 @ 427' 3.1 0.56 KLBS ROTARY RPM 28 @ 377' 1 @ 226' 12.0 0.00 RPM PUMP PRESSURE 1236 @ 385' 907 @ 110' 947.7 1046.1 PSI DRILLING MUD REPORT DEPTH 452' MD / 452' TVD MW 8.70 VIS 155 PV 32 YP 52 FL 8.2 Gels 18/33/39 CL- 300 FC 2/0 SOL 2.8 SD 1.00 OIL 0.0/97.0 MBT 20 pH 9.3 Ca+ 10 Alk MWD SUMMARY INTERVAL 102' TO 452' TOOLS Gamma, Resistivity, ECD, directional and inclination. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 1 @ 405' 0 @ 206' 0.3 TRIP GAS 0 CUTTING GAS @ @ WIPER GAS NA CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 130 @ 405' 23 @ 449' 44.1 CONNECTION GAS HIGH 0 ETHANE (C-2) @ @ AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 1 / 1 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Surface Deposits PRESENT LITHOLOGY Claystone, sand and minor coals. DAILY ACTIVITY SUMMARY Nippling up the conductor riser was completed, including securing the riser with chain, installing the four inch conductor valves, the bleeder and hole fill lines and pressure testing the lines to 2500 psi. 50 joints of drill pipe and 17 joints of heavy weight drill pipe were loaded onto the pipe skate, strapped and tallied. The 11.5” (inner dimension) wear bushing was installed. The rig was accepted by the Hilcorp representative at 0600 hours on August 20, 2015. 50 stands of drill pipe were picked up and stood back in the derrick. A pre job safety meeting was held with the rig crews and production crews. The rig continued to pick up and rack back drill pipe in the derrick. Eight stands of heavy weight drill pipe were picked up and racked back. A pre job safety meeting for picking up the bottom hole assembly was held. The bit was picked up, the motor was scribed and the down hole tools were programmed. The well was spudded at 18:20 on August 20, 2015. Drill ahead: sliding and rotating from bottom of conductor to 353’ MD. The hole was circulated clean. Pulled out of the hole to pick up remaining collars and jars. Trip back in the hole. Drill ahead: sliding and rotating from 353’ MD to 452’ MD as of midnight. CANRIG PERSONNEL ON BOARD 2 DAILY COST $2025 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauk / Shane Barber DATE Aug 21, 2015 DEPTH 2989' PRESENT OPERATION Drilling ahead towards surface TD. TIME 24:00:00 YESTERDAY 452' 24 HOUR FOOTAGE 2537' CASING INFORMATION 13 3/8" @ 120' MD SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 2708.43' 41.39 345.80 2382.20' 2770.03' 42.50 345.22 2428.02' 2832.32' 42.11 346.97 3474.09' 2894.85' 39.71 347.21 2521.34' 2956.11' 39.10 347.62 2568.67' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 1 9 7/8" Haliburton MM65 PDC 12406156 6 x 13 102' 2796' 12:51 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 3514.6 @ 742' 1.6 @ 1698' 298.0 166.20 FT/HR SURFACE TORQUE 10677 @ 2930' 0 @ 1883' 3271.8 9847.39 AMPS WEIGHT ON BIT 27 @ 1812' 0 @ 2900' 5.0 7.16 KLBS ROTARY RPM 77 @ 2759' 0 @ 564' 24.7 69.64 RPM PUMP PRESSURE 2327 @ 2845' 644 @ 1467' 1579.1 2156.57 PSI DRILLING MUD REPORT DEPTH 2989' MD / 2597' TVD MW 9.00 VIS 145 PV 36 YP 52 FL 14/29/38 Gels 14/29/38 CL- 150 FC 2/0 SOL 5.1 SD 0.50 OIL 0.0/94.7 MBT 25.0 pH 8.0 Ca+ 20 Alk 0.05 MWD SUMMARY INTERVAL 102' TO 2989' TOOLS Gamma, Resistivity, ECD, inlination and azimuth. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 43 @ 2288' 0 @ 454' 15.2 TRIP GAS NA CUTTING GAS @ @ WIPER GAS 30 and 19 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 8638 @ 2288' 17 @ 454' 3004.6 CONNECTION GAS HIGH 0 ETHANE (C-2) 20 @ 2797' @ 0.7 AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 20 / 15 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Sterling Formation PRESENT LITHOLOGY Sand, claytone, gravel with minor coals. DAILY ACTIVITY SUMMARY Drill ahead: sliding and rotating from 452’ MD to 1467’MD. Perform a wiper trip from 1467’ MD to 880’ MD. 30 units of wiper gas were observed upon returning to bottom. Drill ahead: rotating and sliding from 1467’ MD to 2060’ MD. Circulate bottoms up. Perform a wiper trip from 2060’ MD to 1467’ MD. 19 units of wiper gas were observed upon returning to bottom. Drill ahead: 2060’ MD to 2989’ MD as of midnight. CANRIG PERSONNEL ON BOARD 2 DAILY COST $2025 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Shane Barber DATE Aug 22, 2015 DEPTH 3520' PRESENT OPERATION Running 7 5/8" Casing TIME 24:00:00 YESTERDAY 2989' 24 HOUR FOOTAGE 531' CASING INFORMATION 13 3/8" @ 120' MD SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 3266.76' 38.91 346.72 2805.97' 3328.49' 39.74 346.31 2853.73' 3389.92' 37.61 347.61 2901.69' 3452.40' 38.19 348.51 2950.98' 3483.04' 38.39 349.55 2975.04' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 1 9 7/8" Haliburton MM65 PDC 12406156 6 x 13 116' 3520' 3404' 15 2-6-BT-G-X-I-BU-TD TD DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 1462.8 @ 3394' 17.6 @ 3487' 253.9 49.473 FT/HR SURFACE TORQUE 12126 @ 3484' 1966 @ 3117' 7460.3 11043.14 AMPS WEIGHT ON BIT 16 @ 3087' 1 @ 3455' 6.7 4.12 KLBS ROTARY RPM 86 @ 3456' 2 @ 3117' 54.8 78.19 RPM PUMP PRESSURE 2453 @ 3157' 2117 @ 3065' 2261.0 2170.02 PSI DRILLING MUD REPORT DEPTH 3520' MD / 3004' TVD MW 8.95 VIS 73 PV 29 YP 28 FL 8.6 Gels 7/15/21 CL- 150 FC 2/0 SOL 4.7 SD 0.25 OIL 0.0/95.1 MBT 15.0 pH 7.8 Ca+ 10 Alk 1011/0.50 MWD SUMMARY INTERVAL 116' TO 3520' TOOLS Gamma, Resistivity, pressure while drilling, inclination and azimuth. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 55 @ 3185' 10 @ 3130' 30.7 TRIP GAS NA CUTTING GAS @ @ WIPER GAS 37 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 11197 @ 3185' 2158 @ 3130' 6085.9 CONNECTION GAS HIGH 0 ETHANE (C-2) @ @ 0.1 AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 2 / 2 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Sterling Formation PRESENT LITHOLOGY Sand and siltstone with occasional under developed coal beds. DAILY ACTIVITY SUMMARY Drill ahead: rotating and sliding from 2989’ MD to 3520’ MD. 9 7/8” hole section TD in 30’ of siltstone. Circulate bottoms up. A high vis walnut plug sweep was pumped. The sweep came back 500 strokes early with a 25% increase in cuttings. A slug was pumped and then the rig performed a wiper trip from 3520’ MD to 1998’ MD during which there was no tight spots observed. The pipe was run back to bottom. Another high vis sweep was pumped with an early return of 450 strokes and 37 units of wiper gas, however there was no increase in cuttings observed. A flow check was performed and the well was static. The drill pipe was pulled out of the hole to from 3520’ to 198’. There was 15 barrels of fluid lost to the hole while pulling out. There was a three barrel per hour loss to the hole observed. The bottom hole assembly was disassembled. The logging while drilling tools were downloaded. The logging while drilling, motor and bit were laid down. A rig service was performed. The wear bushing was pulled. The elevators and elevator links were changed out in preparation for running 7 5/8” casing. Weatherford power tools and slips were rigged up. The rig floor was prepped for casing running. A dummy run of the hanger was performed and the landing joint was marked. 7 5/8” casing was run in the hole. At report time there was 941’ of casing in the hole. CANRIG PERSONNEL ON BOARD 2 DAILY COST $2025 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauk / Shane Barber DATE Aug 23, 2015 DEPTH 3520' PRESENT OPERATION Waiting on cement TIME 24:00:00 YESTERDAY 3520' 24 HOUR FOOTAGE 0' CASING INFORMATION 13 3.8" @ 120' MD 7 5/8" @ 3514' MD SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED No Bit in Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION @ @ FT/HR SURFACE TORQUE @ @ AMPS WEIGHT ON BIT @ @ KLBS ROTARY RPM @ @ RPM PUMP PRESSURE @ @ PSI DRILLING MUD REPORT DEPTH 3520' MD / 3004' TVD MW 9.05 VIS 55 PV 10 YP 16 FL 3.8 Gels 5/7/10 CL- 27000 FC 1/2 SOL 5.9 SD - OIL 1.5/90.5 MBT 3.0 pH 10.3 Ca+ 320 Alk 1.2 MWD SUMMARY INTERVAL TO TOOLS No tools in the hole. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS @ @ TRIP GAS NA CUTTING GAS @ @ WIPER GAS NA CHROMATOGRAPHY (ppm) SURVEY NA METHANE (C-1) @ @ CONNECTION GAS HIGH NA ETHANE (C-2) @ @ AVG NA PROPANE (C-3) @ @ CURRENT NA BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 0 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Sterling Formation PRESENT LITHOLOGY No new lithology DAILY ACTIVITY SUMMARY Continue to run 7 5/8” casing from 941’ to 1831’. Circulate bottoms up. Continue running 7 5/8” casing from 1831’ to 3485’. Pick up the hanger and landing joint and land the casing at 3514’. Circulate and condition drilling fluid in preparation for cementing the casing. Rig up cement head and lines to cement head in preparation to cement 7 5/8” casing. A pre job safety meeting was held with the Schlumberger cement crews and the rig crews. Cement lines were pressure tested with positive results. The rig pumped 44 barrels of 10.0 pound per gallon (ppg) mud push. The bottom plug was dropped. 204 barrels of 12.0 ppg lead cement were pumped with cementers’ pumps. 42.6 barrels of 15.3 tail cement was pumped with the cementers’ pumps. The top plug was dropped. The hole was displaced with 154.5 barrels of 9.0 ppg spud mud. The plug was bumped and held 500 psi over final circulating pressure. 80 barrels of cement were dumped to the cellar. 33 barrels of cement were lost during the cement process. The cement head and lines were rigged down. The conductor pipe was rigged down and the emergency slips were set and installed in the wellhead. While waiting on the cement to cure, the kill and choke hoses were nippled up, the gas buster was spotted and the flow line was installed from the gas buster to the shakers. The choke manifold was tested offline and the BOPs were tested. The State of Alaska witness of the BOP test was waived by Jim Regg. CANRIG PERSONNEL ON BOARD 2 DAILY COST $2025 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Shane Barber DATE Aug 24, 2015 DEPTH 3520' PRESENT OPERATION Preparing to drill. TIME 24:00:00 YESTERDAY 3520' 24 HOUR FOOTAGE 0' CASING INFORMATION 13 3.8" @ 120' MD 7 5/8" @ 3514' MD SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED No Bit in Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION @ @ FT/HR SURFACE TORQUE @ @ FT-LBS WEIGHT ON BIT @ @ KLBS ROTARY RPM @ @ RPM PUMP PRESSURE @ @ PSI DRILLING MUD REPORT DEPTH 3520' MD / 3004' TVD MW 9.35 VIS 53 PV 10 YP 15 FL 4.4 Gels 4/7/10 CL- 32000 FC 1/2 SOL 5.1 SD - OIL 1.5/90.9 MBT 3.5 pH 10.0 Ca+ 400 Alk 1.00 MWD SUMMARY INTERVAL TO TOOLS No tools in the hole. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS @ @ TRIP GAS NA CUTTING GAS @ @ WIPER GAS NA CHROMATOGRAPHY (ppm) SURVEY NA METHANE (C-1) @ @ CONNECTION GAS HIGH NA ETHANE (C-2) @ @ AVG NA PROPANE (C-3) @ @ CURRENT NA BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 0 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Sterling Formation PRESENT LITHOLOGY No new lithology DAILY ACTIVITY SUMMARY The welder continued to fabricate the cellar floor. The top drive was serviced: gear and swivel oil was changed. The rig prepared to nipple up the BOP’s. The new mud system was prepared. The string was slacked off and the wellhead was monitored for sinkage. The casing was cut. The casing bails and elevators were removed and the drilling bails and elevators were installed. The conductor pipe was nipped down. The well head was installed along with the spacer spool. The BOP’s were installed on top of the spacer spool. The BOP equipment was installed and function tested. The test plug was rigged up. The BOP’s were filled with water and a shell test was performed. The BOP’s were tested and passed. The casing was tested for 30 minutes as 3500 psi. The casing test was acceptable. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Marvin Rogers DATE Aug 25, 2015 DEPTH 3540 PRESENT OPERATION Performing FIT Test TIME 24:00:00 YESTERDAY 3520' 24 HOUR FOOTAGE 20' CASING INFORMATION 13 3/8" @ 120'MD 7 5/8" @ 3514' MD SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH No Surveys BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2 6 3/4" Varel V513DHRU (PDC) 4008283 4x9, 3x10 3520' 20' 00:15 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 429.9 @ 3539' 10.1 @ 3528' 166.0 429.91 FT/HR SURFACE TORQUE 11043 @ 3520' 7393 @ 3529' 8448.2 8000.28 FT-LBS WEIGHT ON BIT 12 @ 3529' 3 @ 3534' 6.8 4.97 KLBS ROTARY RPM 78 @ 3520' 32 @ 3536' 37.3 32.99 RPM PUMP PRESSURE 2170 @ 3520' 1361 @ 3524' 1539.6 1428.40 PSI DRILLING MUD REPORT DEPTH 3540' MD / 3012' TVD MW 9.20 VIS 46 PV 10 YP 17 FL 4.3 Gels 5/8/11 CL- 30000 FC 1/2 SOL 3.8 SD - OIL 0.5/93.3 MBT 2.5 pH 10.4 Ca+ 80 Alk 0.95 MWD SUMMARY INTERVAL 3520' TO 3540' TOOLS Gamma, Resistivity, Porosity, Permeability, Pressure While Drilling, Inclination and Azimuth GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 15 @ 3536' 6 @ 3529' 11.1 TRIP GAS NA CUTTING GAS 0 @ 3539' 0 @ 3539' 0.0 WIPER GAS NA CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 2966 @ 3539' 1155 @ 3529' 2073.0 CONNECTION GAS HIGH 0 ETHANE (C-2) @ @ AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 11 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Sterling Formation PRESENT LITHOLOGY Cement and siltstone. DAILY ACTIVITY SUMMARY The 9” inner diameter wear bushing was set. The casing testing equipment was rigged down. The BOP’s valves were aligned for drilling. The choke and kill lines were blown down. The top drive and catwalk were serviced. The rig picked up drill pipe from surface to 3392’. Cement was tagged at 3392’ with 10K lbs. The drill pipe was racked back in the derrick. A pre job safety meeting was held to plan the picking up of the bottom hole assembly. The bit, motor, directional and logging while drilling tools were picked up. The directional / logging while drilling tools were programed and tested. The rig began picking up single joints of drill pipe from 804’ to 2971’. Fifty seven feet of drill line was cut and slipped. The rig tripped in the hole from 2971’ to 3342’ and then washed down to 3400’. The cement was drilled from 3400’ to 3520’ with the float collar at 3429’ and the shoe at 3510’. The rig drilled from 3520’ MD to 3540’ MD and then circulated bottoms up. The test equipment for the formation integrity test was rigged up. As of report time the formation integrity test was being performed. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Marvin Rogers DATE Aug 26, 2015 DEPTH 4130' PRESENT OPERATION Drilling Ahead TIME 24:00:00 YESTERDAY 3540' 24 HOUR FOOTAGE 590' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 3863.74' 40.42 347.14 3269.54' 3926.12' 39.57 346.17 3317.33' 3989.02' 41.13 341.48 3362.27' 4049.81' 41.07 347.37 3411.07' 4112.16' 41.12 346.80 3458.06' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2 6 3/4" Varel V513DHRU (PDC) 4008283 4x9, 3x10 3520' 610' 03:54 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 620.4 @ 3999' 2.0 @ 3963' 191.7 186.08 FT/HR SURFACE TORQUE 10042 @ 4025' 7938 @ 3564' 8421.9 9924.34 FT-LBS WEIGHT ON BIT 6 @ 3997' 0 @ 3960' 3.2 4.42 KLBS ROTARY RPM 78 @ 3902' 32 @ 3567' 57.4 77.28 RPM PUMP PRESSURE 2359 @ 4073' 1400 @ 3541' 1944.5 2174.49 PSI DRILLING MUD REPORT DEPTH 4128' MD / 3472' TVD MW 9.30 VIS 49 PV 11 YP 19 FL 4.1 Gels 5/8/12 CL- 31500 FC 1/2 SOL 4.6 SD 0.25 OIL 0.3/92.6 MBT 3.0 pH 10.0 Ca+ 120 Alk 1.00 MWD SUMMARY INTERVAL 3520' TO 4130' TOOLS Gamma, Resistivity, Porosity, Permeability, Pressure While Drilling, Inclination and Azimuth. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 110 @ 3917' 0 @ 3870' 28.3 TRIP GAS NA CUTTING GAS @ @ WIPER GAS 3 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 21104 @ 3917' 26 @ 3870' 5551.6 CONNECTION GAS HIGH 0 ETHANE (C-2) 37 @ 4069' 0 @ 4091' 2.1 AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 10 / 20 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Sterling Formation PRESENT LITHOLOGY Tuffaceous siltstone, sand, tuffaceous claystone, lignitic coal. DAILY ACTIVITY SUMMARY Formation integrity test to 12.5 ppg equivalent mud weight. Test failed. Rid down test equipment. Drill from 3540’ MD to 3560’ MD. Circulate bottoms up and clean hole. The bit was pulled back into the casing. The equipment to perform the formation integrity test was rigged up. The formation integrity test was performed to a 12.5 ppg equivalent mud weight. The test equipment was rigged down. The bit was pulled out of the hole from 3450’MD to 796’ MD. The rig was serviced. The elements of the variable blind rams were changed out. The variable blind rams were tested. The rig ran in the hole from 796’ to 3470’, and washed down 3470’ to 3560’. Drill ahead from 3560’ MD to 4120’MD. A high viscosity sweep was pumped to clean the hole with an increase of 25% in cuttings return. Drill ahead, sliding and rotating, from 4120’ to 4130’ as of midnight. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Marvin Rogers DATE Aug 27, 2015 DEPTH 4948' PRESENT OPERATION Building mud volume TIME 24:00:00 YESTERDAY 4130' 24 HOUR FOOTAGE 818' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 4669.50' 41.05 347.35 3882.36' 4732.45' 39.84 347.97 3930.26' 4793.87' 40.08 347.64 3977.34' 4854.52' 40.66 347.62 4023.55' 4916.60' 41.15 347.93 4070.47' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2 6 3/4" Varel V514DHRU 4008283 4x9, 3x10 3520' 4495' 975' 6.4 1-1-NO-ALL-X-I-NO-PN Replace Motor 2RR 6 3/4" Varel V514DHRU 4008283 x9, 3x10 4495' 453' 2.5 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 786.1 @ 4946' 1.4 @ 4474' 184.4 189.34 FT/HR SURFACE TORQUE 11729 @ 4909' 2368 @ 4398' 9184.9 11334.00 FT-LBS WEIGHT ON BIT 13 @ 4456' 0 @ 4214' 4.1 4.97 KLBS ROTARY RPM 81 @ 4488' 2 @ 4398' 65.8 73.83 RPM PUMP PRESSURE 2896 @ 4489' 1160 @ 4887' 1897.0 1287.77 PSI DRILLING MUD REPORT DEPTH 4984' MD / 4095' TVD MW 9.40 VIS 57 PV 16 YP 20 FL 3.8 Gels 6/9/12 CL- 29500 FC 1/2 SOL 5.6 SD 0.25 OIL 0.1/91.9 MBT 3.3 pH 10.1 Ca+ 170 Alk 0.70 MWD SUMMARY INTERVAL 3520' TO 4948' TOOLS Gamma, Resistivity, Porosity, Permeability, Pressure While Drilling, Inclination and Azimuth. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 180 @ 4315' 0 @ 4409' 48.7 TRIP GAS 85u CUTTING GAS @ @ WIPER GAS NA CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 34396 @ 4699' 172 @ 4515' 9352.6 CONNECTION GAS HIGH 0 ETHANE (C-2) 139 @ 4699' 0 @ 4613' 23.2 AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 0 PENTANE (C-5) @ @ HYDROCARBON SHOWS Show Report #1 INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION 4670' - 4700' See Show Report #1 LITHOLOGY Sterling Formation PRESENT LITHOLOGY Sand, Tuffaceous Siltstone, Coal DAILY ACTIVITY SUMMARY Drill from 4130’MD to 4455’MD, sliding and rotating. A sweep was pumped and the hole was circulated clean with a 10% increase in cuttings returns. A wiper trip was performed from 4455’ MD to 3490’MD. After reaching 3490’ MD, the rig ran back in the hole to 4455’ MD and resumed drilling. The rig drilled ahead from 4455’MD to 4495’MD. Pump pressure began to climb. The rig pulled out of the hole from 4495’ to 183’. The directional and logging while drilling tools were downloaded and racked back. The rig was serviced. A new directional motor was picked up. Bottom hole assembly #3 was picked up and run in the hole from 183’ to 4455’. 85 units of trip gas were observed. The rig drilled ahead from 4495’ to 4948’ rotating and sliding as directed by directional driller. A 40 barrel loss was experienced at 4630’ MD. From 4700’ to 4948’ high losses were experienced (+/- 120 bph). A 40 ppb Baracarb pill was spotted at the bit. A short trip was made to 4439’ to build mud volume. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Marvin Rogers DATE Aug 28, 2015 DEPTH 5754' PRESENT OPERATION Tripping to bottom TIME 24:00:00 YESTERDAY 4948' 24 HOUR FOOTAGE 806' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 5475.75' 40.37 348.29 4499.48' 5537.30' 38.51 349.59 4547.01' 5599.66' 36.89 349.98 4596.35' 5661.60' 35.06 350.36 4646.47' 5723.90' 33.07 350.83 4698.08' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4xp, 3x10 4495' 1259' 10.8 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 637.3 @ 5410' 1.5 @ 5580' 151.2 298.69 FT/HR SURFACE TORQUE 12327 @ 5281' 1990 @ 5261' 10408.4 11668.72 FT-LBS WEIGHT ON BIT 24 @ 4949' 0 @ 5517' 4.1 3.71 KLBS ROTARY RPM 81 @ 5458' 4 @ 5632' 65.4 74.84 RPM PUMP PRESSURE 2345 @ 5679' 1224 @ 4949' 1751.8 1780.9 PSI DRILLING MUD REPORT DEPTH 5744' MD / 4724' TVD MW 9.45 VIS 52 PV 10 YP 15 FL 3.9 Gels 4/6/8 CL- 30500 FC 1/2 SOL 6.0 SD 0.25 OIL 0.3/91.3 MBT 2.5 pH 8.4 Ca+ 240 Alk 0.10 MWD SUMMARY INTERVAL 3520' TO 5754' TOOLS Gamma, Resistivity, Porosity, Permeability, Pressure While Driling, Inclination and Azimuth GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 104 @ 5160' 0 @ 5741' 29.8 TRIP GAS NA CUTTING GAS @ @ WIPER GAS 103 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 21057 @ 5160' 61 @ 5741' 5825.8 CONNECTION GAS HIGH 0 ETHANE (C-2) 78 @ 5625' @ 8.1 AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 0 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Beluga Formation PRESENT LITHOLOGY Sand, Tuffaceous siltstone, Tuffaceous Clay, minor coals. DAILY ACTIVITY SUMMARY The rig built mud volume while monitoring for losses. Losses while monitoring were 9.6 barrels per hour. The rig tripped in the hole from 4430’ to 4948’ The rig drilled head, rotating and sliding as directed by the directional driller from 4948’ to 5320’. The rig changed out the saver sub on the top drive. The rig continued to drill from 5320’ to 5754’, at 5738 the rig began to lose returns. Added a 20 ppb Baracarb to suction pit and drilled ahead. All returns were lost by 5754’. The rig spotted a 20 barrel, 60 ppb Baracarb pill on bottom. The bit was pulled to 4933’ to monitor the well while building mud volume. The rig tripped in the hole from 4933’ to 5567’ as of midnight. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Marvin Rogers DATE Aug 29, 2015 DEPTH 5877' PRESENT OPERATION Tripping in hole TIME 24:00:00 YESTERDAY 5754' 24 HOUR FOOTAGE 123' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 5537.30' 38.51 349.59 4547.01' 5599.66' 36.89 349.98 4596.35' 5661.60' 35.06 350.36 4646.47' 5723.90' 33.07 350.83 4698.08' 5785.65' 31.62 351.83 4750.25' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4x9, 3x10 4495' 1382' 11.2 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 383.4 @ 5826' 3.5 @ 5831' 142.8 158.57 FT/HR SURFACE TORQUE 13079 @ 5867' 2676 @ 5756' 8099.8 12195.81 FT-LBS WEIGHT ON BIT 6 @ 5819' 0 @ 5835' 2.8 4.27 KLBS ROTARY RPM 78 @ 5795' 5 @ 5756' 49.8 65.25 RPM PUMP PRESSURE 1780 @ 5754' 1221 @ 5863' 1485.8 1430.52 PSI DRILLING MUD REPORT DEPTH 5877' MD / 4831' TVD MW 9.30 VIS 54 PV 11 YP 15 FL 4.6 Gels 5/7/9 CL- 32500 FC 1/2 SOL 4.7 SD - OIL 0.0/92.7 MBT 0.5 pH 8.2 Ca+ 250 Alk - MWD SUMMARY INTERVAL 3520' TO 5754' TOOLS Gamma, Resistivity, Porosity, Permeability, Pressure While Driling, Inclination, and Azimuth GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 63 @ 5809' 0 @ 5869' 20.0 TRIP GAS NA CUTTING GAS @ @ WIPER GAS 14 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 11941 @ 5809' 185 @ 5869' 3864.9 CONNECTION GAS HIGH 0 ETHANE (C-2) 146 @ 5815' 2 @ 5786' 21.0 AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 0 PENTANE (C-5) @ @ HYDROCARBON SHOWS None INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Beluga Formation PRESENT LITHOLOGY Sand, Tuffaceous Siltstone and minor coals. DAILY ACTIVITY SUMMARY Trip in hole from 5567’ to 5700’. The rig washed in the hole from 5700’ to 5754’, there was no fill on bottom. 14 units of wiper gas were observed. The rig drilled from 5754’ to 5877. All drilling fluid returns were lost. A 7 barrel, 60 pound per barrel LCM pill was spotted on bottom. The rig pulled three stands up and monitored the well. It was observed that the hole was taking +/- 80 barrels per hour. The rig built drilling fluid volume while monitoring the well. The rig spotted a 23 barrel, 60 pound per barrel, steel seal lcm pill over the hole from 5681’ to 5184’. The rig monitored the well on the trip tank while allowing the pill to seep into the formation. The loss rates varied from 20 bph to 14 bph to 25 bph. The rig tripped in the hole from 5191’ to 5371’ and spotted a 20 barrel, 65 pound per barrel lcm pill with no returns to surface while the pill was spotted. The rig built mud volume. The rig pulled out of hole from 5371’ to 180’ and installed a well commander, circulating sub, on top of the flex collars. The rig displaced 80 barrels of LCM on the back side of the drill pipe. The draw works, top drive, crown and blocks were serviced. The rig tripped in the hole from 180’ to 5594’ as of report time. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Marvin Rogers DATE Aug 30, 2015 DEPTH 6261' PRESENT OPERATION Short Trip TIME 24:00:00 YESTERDAY 5877' 24 HOUR FOOTAGE 384' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 5920.59' 30.20 353.51 4866.56' 5982.33' 30.47 353.69 4919.85' 6044.52' 30.26 354.55 2962.06' 6106.63' 28.84 357.57 2992.60' 6168.16' 28.86 357.67 3022.26' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4x9, 3x10 4495' 1766' 16.0 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 388.3 @ 6020' 2.0 @ 5951' 139.8 222.33 FT/HR SURFACE TORQUE 13128 @ 6105' 3099 @ 6072' 11525.0 12049.99 FT-LBS WEIGHT ON BIT 21 @ 6016' 1 @ 6076' 4.2 3.73 KLBS ROTARY RPM 80 @ 6247' 8 @ 6066' 69.6 79.20 RPM PUMP PRESSURE 1773 @ 6258' 1266 @ 6016' 1587.6 1732.98 PSI DRILLING MUD REPORT DEPTH 6261' MD / 5163' TVD MW 9.25 VIS 56 PV 11 YP 15 FL 4.5 Gels 6/8/10 CL- 29000 FC 1/2 SOL 4.5 SD - OIL 0.0/93.1 MBT 0.5 pH 8.4 Ca+ 100 Alk 0.05 MWD SUMMARY INTERVAL 3520' TO 6261' TOOLS Gamma, Resistivity, Porosity, Permeability, Pressure While Drililng, Inclination and Aziumuth. GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 467 @ 5968' 1 @ 5877' 78.2 TRIP GAS NA CUTTING GAS @ @ WIPER GAS 16 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 94190 @ 5968' 220 @ 5877' 15423.0 CONNECTION GAS HIGH 0 ETHANE (C-2) 524 @ 5968' @ 60.2 AVG 0 PROPANE (C-3) 51 @ 5968' @ 4.4 CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 0 PENTANE (C-5) @ @ HYDROCARBON SHOWS Gas Shows INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION 5900-5945 5955-5995 6015-6030 Sand Sand Sand 325u 465u 107u Show Report #2 Show Report #3 Show Report #4 LITHOLOGY Beluga Formation PRESENT LITHOLOGY Sand, Tuffaceous Siltstone, Tuffaceous Claystone, and minor Coals. DAILY ACTIVITY SUMMARY The rig tripped in hole from 5594’ to 5839’. The rig washed from 5839’ to 5877’, it was found that there was 38’ of fill. 16 units of trip gas were observed. The rig drilled from 5877’ to 6245’, rotating and sliding as directed by the directional driller. The rig drilled with partial returns from 6136’ to 6238’, returns were completely lost at 6239’, however the rig continued to drill ahead to 6245’ with fluid at the top of the stack. The bit was pulled up to 6125’ and the rig circulated across the backside of the drill pipe with the kill line while building a LCM pill and additional mud volume. Mud losses were initially 32 barrels per hour that then dropped to 17 barrels per hour. The well was observed to establish base line parameters. The well commander (circulating sub) was function with two balls to open it fully. A heavy LCM pill was pumped and spotted outside the pipe followed by another ball to close it. The well was continued to be monitored on the trip tank while mud volume was built. The loss rate was three barrels per hour falling to one barrel per hour. The rig drilled ahead from 6245’ to 6261’ at which point returns were lost. The rig pulled out of the hole from 6261’ to 5829’ encountering a tight spot from 5965’ to 5870’ with 10000 pounds of overpull. A LCM pill was built and spotted while mud volume was built in the pits. The well commander was functioned again to the open position and a 24 barrel, 130 ppb LCM pill was spotted at 5877’. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Shane Hauck / Marvin Rogers DATE Aug 31, 2015 DEPTH 7204' PRESENT OPERATION Drilling ahead TIME 24:00:00 YESTERDAY 6261' 24 HOUR FOOTAGE 943' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 6974.75' 29.81 356.57 5785.84' 7036.61' 30.08 355.88 5839.44' 7099.37' 30.16 356.26 5893.73' 7161.17' 30.43 355.47 5947.10' 7222.63' 30.58 355.23 6000.04' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4xo, 3x10 4495' 2709' 26.5 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 358.3 @ 6842' 2.2 @ 6760' 116.5 82.49 FT/HR SURFACE TORQUE 15515 @ 6824' 3365 @ 6760' 13948.4 14524.99 FT-LBS WEIGHT ON BIT 7 @ 7051' 0 @ 7103' 4.7 5.18 KLBS ROTARY RPM 85 @ 7112' 10 @ 6760' 67.3 58.71 RPM PUMP PRESSURE 1780 @ 7078' 1398 @ 7103' 1638.3 1668.12 PSI DRILLING MUD REPORT DEPTH 7204' MD / 5985' TVD MW 9.05 VIS 53 PV 9 YP 18 FL 4.6 Gels 5/8/11 CL- 29500 FC 1/2 SOL 3.1 SD 0.10 OIL 0.8/93.7 MBT 1.5 pH 8.9 Ca+ 120 Alk 0.20 MWD SUMMARY INTERVAL 3520' TO 7204' TOOLS Gamma, Resistivity, Prososity, Density, Pressure While Drilling, Incilnation and Azimuth GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 230 @ 6869' 8 @ 6325.00000 35.1 TRIP GAS NA CUTTING GAS 0 @ 7204.00000 0 @ 7204.00000 0.0 WIPER GAS 10 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 44558 @ 6869' 673 @ 6263' 6995.5 CONNECTION GAS HIGH 0 ETHANE (C-2) 64 @ 7138' 0 @ 6336' 5.7 AVG 0 PROPANE (C-3) @ @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 75 / 30 PENTANE (C-5) @ @ HYDROCARBON SHOWS Gas Show INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION 6545' - 6565' 6870' - 6890' 6900' - 6925' 6975' - 7000' Sand 103 239 101 140 Gas Show LITHOLOGY Middle Beluga Formation PRESENT LITHOLOGY Tuffaceous Claystone, Tuffaceous Siltstone, Sand, and Coal Stringers. DAILY ACTIVITY SUMMARY The rig pulled out of the hole from 5877’ to 5261’. The pumps were turned on and the rig circulated bottoms up with no losses. The well commander (circulating sub) was closed. The rig tripped back in the hole from 5261’ to 5511’ and then circulated bottoms up. The rig continued tripping in the hole from 5511’ to 5760’ and then circulated bottoms up. There were no losses observed. The hole was displaced with 9.0 ppg mud. The rig continued tripping in the hole from 5760’ to 6261’. The original mud was 9.4 ppg. There were no losses observed. The well was static. 10 units of trip gas were observed. The rig drilled ahead, rotating and sliding as per the directional driller, from 6261’ to 7204’ as of report time. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Rance Pederson / Marvin Rogers DATE Sep 01, 2015 DEPTH 8020' PRESENT OPERATION Drilling Ahead TIME 24:00:0 YESTERDAY 7204' 24 HOUR FOOTAGE 816' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 7843.91' 32.53 355.91 6529.65' 7905.73' 32.71 355.54 6581.72' 7967.53' 31.11 356.67 6634.18' 8029.40' 30.87 355.91 6687.22' 8091.87' 30.91 355.02 6740.83' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4x9, 3x10 4495' 3525' 40.7 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 256.7 @ 7254' 1.4 @ 7502' 85.2 67.66 FT/HR SURFACE TORQUE 16168 @ 7688' 2995 @ 7909' 13903.9 15331.77 FT-LBS WEIGHT ON BIT 10 @ 7913' 0 @ 7921' 4.9 5.67 KLBS ROTARY RPM 85 @ 7938' 1 @ 7909' 67.5 81.66 RPM PUMP PRESSURE 2199 @ 7806' 1343 @ 7287' 1853.4 2167.16 PSI DRILLING MUD REPORT DEPTH 8020' MD / 6682' TVD MW 9.05 VIS 55 PV 11 YP 18 FL 3.8 Gels 5/7/10 CL- 30000 FC 1/2 SOL 3.2 SD 0.10 OIL 2.2/92.2 MBT 1.8 pH 9.4 Ca+ 100 Alk 0.20 MWD SUMMARY INTERVAL 3520' TO 8020' TOOLS Gamma, Resistivity, Porosity, Density, Pressure While Drilling, Inclination and Azimuth GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 167 @ 7884' 3 @ 7514' 49.5 TRIP GAS 0 CUTTING GAS @ @ WIPER GAS 102 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 31989 @ 7884' 792 @ 7514' 9789.5 CONNECTION GAS HIGH 0 ETHANE (C-2) 110 @ 7888' 3 @ 7242' 12.5 AVG 0 PROPANE (C-3) 13 @ 7249' @ CURRENT 0 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 50 / 50 PENTANE (C-5) @ @ HYDROCARBON SHOWS No significant gas shows. INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Lower Beluga Formation PRESENT LITHOLOGY Tuffaceous Siltstone / Claystone, minor Sand and minor Coals. DAILY ACTIVITY SUMMARY The rig drilled from 7204’ to 7252’, rotating and sliding. A short trip was performed on elevators to clean and condition the hole from 7252’ to 6220’. There were tight spots observed at 6693’, 6449’, 6409’ to 6377’ 6333’ and 6297 with 12K to 15K of overpull. The rig was serviced. The rig tripped in the hole from 6220’ to 7200’ on elevators, and then washed to bottom at 7252’. There was no fill observed when washing to bottom. 102 units of wiper gas were observed after the trip. The rig drilled ahead, rotating and sliding from 7252’ to 8020’ as of report time. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Rance Pederson / Marvin Rogers DATE Sep 02, 2015 DEPTH 9080' PRESENT OPERATION Wiper trip to 7 5/8" Casing Shoe TIME 24:00:00 YESTERDAY 8020' 24 HOUR FOOTAGE 1060' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 8834.90' 28.05 348.86 7389.90' 8896.64' 28.04 347.88 7444.39' 8959.15' 28.40 346.81 7499.47' 9021.30' 28.22 345.82 7554.19' 9047.99' 28.07 345.47 7577.72' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4x9, 3x10 4495' 9080' 4585' 55.0 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION 282.6 @ 8748' 5.3 @ 8972' 85.3 59.91 FT/HR SURFACE TORQUE 18126 @ 8748' 13852 @ 8307' 16042.4 17857.17 FT-LBS WEIGHT ON BIT 8 @ 8744' 0 @ 8218' 5.0 5.71 KLBS ROTARY RPM 86 @ 8309' 55 @ 8531' 72.5 74.92 RPM PUMP PRESSURE 2410 @ 8750' 1189 @ 8308' 2180.3 2192.49 PSI DRILLING MUD REPORT DEPTH 9080' MD / 7606' TVD MW 9.20 VIS 51 PV 12 YP 18 FL 3.9 Gels 5/8/12 CL- 30500 FC 1/2 SOL 4.2 SD 0.10 OIL 1.8/91.6 MBT 2.8 pH 8.9 Ca+ 160 Alk 0.15 MWD SUMMARY INTERVAL 3520' TO 8020' TOOLS Gamma, Resitivity, Porosity, Denisty, Pressure While Drilling, Inclination and Azimuth GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 432 @ 8842' 16 @ 8971' 122.6 TRIP GAS NA CUTTING GAS @ @ WIPER GAS 98 CHROMATOGRAPHY (ppm) SURVEY 0 METHANE (C-1) 85979 @ 8842' 3095 @ 8971' 24156.3 CONNECTION GAS HIGH 1176 ETHANE (C-2) 432 @ 9001' 0 @ 8230' 65.7 AVG 388 PROPANE (C-3) 33 @ 9001' 0 @ 8831' 2.3 CURRENT 1176 BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 200 / 100 PENTANE (C-5) @ @ HYDROCARBON SHOWS Please see Show Reports #9 through #17 INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Tyonek Formation PRESENT LITHOLOGY Sand, Sandstone, Tuffaceous Siltstone, Tuffaceous Claystone and Coal DAILY ACTIVITY SUMMARY The rig drilled ahead from 8020’ to 8308’, rotating and sliding as directed by the directional driller. The hole was circulated and conditioned clean with a 10% increase in cuttings return. The rig pulled the bit out of the hole from 8308’ to 7126’. There were tight spots at 7625’, 7618’ and from 7278’ to 7250’ with 20K to 25K of overpull. The draw works, crown, block and top drive were service. The rig tripped back in the hole from 7128’ to 8308’, washing the last stand down. There was 23’ of fill found on the bottom. The rig drilled ahead from 8308’ to 9080’, rotating and sliding as directed by the directional driller. The well total depth of the well is 9080’. The hole is being conditioned at report time. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Rance Pederson / Marvin Rogers DATE Sep 03, 2015 DEPTH 9080' PRESENT OPERATION Pulling out of the hole TIME 24:00:00 YESTERDAY 9080' 24 HOUR FOOTAGE 0' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 9080.00' 28.07 345.47 7605.96' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4x9, 3x10 4495' 9080' 4585' 55.0 In Hole DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION @ @ FT/HR SURFACE TORQUE @ @ FT-LBS WEIGHT ON BIT @ @ KLBS ROTARY RPM @ @ RPM PUMP PRESSURE @ @ PSI DRILLING MUD REPORT DEPTH 9080' MD / 7606' TVD MW 9.48 VIS 55 PV 16 YP 20 FL 3.3 Gels 6/8/12 CL- 30500 FC 1/2 SOL 5.3 SD 0.10 OIL 1.5/90.8 MBT 3.0 pH 10.4 Ca+ 80 Alk 0.60 MWD SUMMARY INTERVAL 3520' TO 9080' TOOLS Gamma, Resistivity, Porosity, Density, Pressure While Drilling, Inclination and Azimuth GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS @ @ TRIP GAS NA CUTTING GAS @ @ WIPER GAS 1788u CHROMATOGRAPHY (ppm) SURVEY NA METHANE (C-1) @ @ CONNECTION GAS HIGH NA ETHANE (C-2) @ @ AVG NA PROPANE (C-3) @ @ CURRENT NA BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 0 / 0 PENTANE (C-5) @ @ HYDROCARBON SHOWS No new lithology INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Tyonek Formation PRESENT LITHOLOGY No new lithology, sand/sandstone at 9080' DAILY ACTIVITY SUMMARY Circulate around Hi-Vis sweep. Observe 10% increase of sand and coal in surfa ce returns. Check for flow. Well static. Pull out of hole from 9080’ to 7248’. Note tight spots with 15K overpull at 8400’, 8364’, 8240’, 7750’, 7715’. Perform MAD passes on way out from 7620’ to 7595’ and 7303’ to 7286’. Record maximum 440 units during circulations. Run in hole from 7248’ to 8050’ and stage circulate to surface. Record significant high gas peak of 1700 units. Continue to circulate and condition hole and increase mud weight to 9.4ppg. Run in hole from 8050’ to 8300’ and stage circulate to surface. Record high gas peak of 1686 units. Maintain mud weight of 9.4ppg. Run in hole from 8300’ to 8550’ and stage circulate to surface. Record high gas peak of 1789 units. Maintain mud weight of 9.4ppg. Run in hole from 8550’ to 8800’ and stage circulate to surface. Record high gas peak of 1760 units. Maintain mud weight of 9.4ppg. Continue circulating until gas falls below 100 units. Run in hole from 8800’ and tag fill at 9035’. Wash down from 9035’ to bottom at 9080’. Circulate bottoms up and record maximum gas of 1760 units. Maintain even mud weight of 9.4ppg in and out while circulating and conditioning until gas falls below 100 units. Pull out of hole 5 stands from 9080’ to 8760’ and monitor well. Well static. Run back to bottom from 8760’ to 9080’. Circulate bottoms up and record maximum (wiper) gas of 979 units. Circulate gas down to 44 units. Build and spot 20 bbl 10.0ppg Hi-Vis pill on bottom. Pull out of hole racking back 10 stands from 9080’ to 8450’. Blow down top drive. Pull and lay down 4.5” drill pipe from 8460’ to 7050’. (Observe no tight spots while pulling and hole fill 4 bbls over calculated displacement).Continue pulling and laying down drill pipe from 7050’ to 2473’ as of report time. CANRIG PERSONNEL ON BOARD 4 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Rance Pederson / Marvin Rogers DATE Sep 04, 2015 DEPTH 9080' PRESENT OPERATION Running 4 1/2" Casing TIME 24:00:00 YESTERDAY 9080' 24 HOUR FOOTAGE 0' CASING INFORMATION 13 3/8" @ 120' 7 5/8" @ 3511' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 9080.00' 28.07 345.47 7605.96' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED 2RR 6 3/4" Varel V514DHRU 4008283 4x9, 3x10 4495' 9080' 4585' 55.0 1-3-CT-G-X-I-ER-TD TD DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION @ @ FT/HR SURFACE TORQUE @ @ FT-LBS WEIGHT ON BIT @ @ KLBS ROTARY RPM @ @ RPM PUMP PRESSURE @ @ PSI DRILLING MUD REPORT DEPTH 9080' MD / 7606' TVD MW 9.45 VIS 54 PV 13 YP 20 FL 3.2 Gels 5/8/10 CL- 29000 FC 1/2 SOL 5.0 SD 0.10 OIL 1.5/91.1 MBT 3.0 pH 9.8 Ca+ 60 Alk 0.40 MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS @ @ TRIP GAS Max: 1806u @ 6625' CUTTING GAS @ @ WIPER GAS NA CHROMATOGRAPHY (ppm) SURVEY NA METHANE (C-1) @ @ CONNECTION GAS HIGH NA ETHANE (C-2) @ @ AVG NA PROPANE (C-3) @ @ CURRENT NA BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG 40 / 40 PENTANE (C-5) @ @ HYDROCARBON SHOWS No new lithology INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY Tyonek Formation PRESENT LITHOLOGY No new lithology, sand/sandstone at 9080' DAILY ACTIVITY SUMMARY The rig continued to pull out of the hole from 2473’ to 806’, while laying down drill pipe. From 806’ to 191’ the rig laid down the heavy weight drill pipe and the jars. The bottom hole assembly, including the flex collars, well commander (circulating sub), MWD/LWD tools were laid down, in this process the nuclear sources were unloaded and secured and the logging while drilling memory data was downloaded. The rig was cleaned and prepared for running casing including pulling the wear bushing, and washing the inside of the stack. The landing joint was prepped and a dummy run was performed. The casing running equipment was rigged up. The shoe track was made up and then the rig began to run 4 ½” casing in the hole from surface to 2900’. The power tongs malfunctioned and were repaired. The rig continued running 4 ½” casing from 2900’ to 3495’ The casing was filled and the pumps were used to circulate bottoms up. No trip gas was observed. Twenty feet of drill line was cut and slipped. The rig continued to run 4 ½” casing from 3495’ to 5144’ At 5144’, the rig circulated bottoms up and 578 units of gas were observed. The rig continued to run 4 ½” casing from 5144’ to 6625’. At 6625’ the rig circulated bottoms up and 1806 units of gas were observed. The rig was circulating and conditioning the hole at report time. CANRIG PERSONNEL ON BOARD 2 DAILY COST $2885 REPORT BY Tollef Winslow Hilcorp Alaska, LLC Kenai Gas Field DAILY WELLSITE REPORT KBU 31-06X REPORT FOR Rance Pederson / Marvin Rogers DATE Sep 05, 2015 DEPTH 9080 PRESENT OPERATION Rigging Down TIME 24:00 YESTERDAY 9080 24 HOUR FOOTAGE 0 CASING INFORMATION 4 1/2" Production @ 9074.29' SURVEY DATA DEPTH INCLINATION AZIMUTH VERTICAL DEPTH 9080 28.07 345.47 7605.96' BIT INFORMATION INTERVAL CONDITION REASON NO. SIZE TYPE S/N JETS IN OUT FOOTAGE HOURS T/B/C PULLED DRILLING PARAMETERS HIGH LOW AVERAGE CURRENT AVG RATE OF PENETRATION @ @ FT/HR SURFACE TORQUE @ @ FT-LBS WEIGHT ON BIT @ @ KLBS ROTARY RPM @ @ RPM PUMP PRESSURE @ @ PSI DRILLING MUD REPORT DEPTH 9080 / 7606 TVD MW 8.5 VIS PV YP FL Gels CL- 3% Brine FC SOL SD OIL MBT pH Ca+ Alk MWD SUMMARY INTERVAL TO TOOLS GAS SUMMARY (units) HIGH LOW AVERAGE DITCH GAS 1911 @ 8660 N/A @ N/A TRIP GAS 1911 Max, 1121 at 9074' CUTTING GAS @ @ WIPER GAS CHROMATOGRAPHY (ppm) SURVEY METHANE (C-1) @ @ CONNECTION GAS HIGH ETHANE (C-2) @ @ AVG PROPANE (C-3) @ @ CURRENT BUTANE (C-4) @ @ CURRENT BACKGROUND/AVG N/A PENTANE (C-5) @ @ HYDROCARBON SHOWS INTERVAL LITHOLOGY/REMARKS GAS DESCRIPTION LITHOLOGY PRESENT LITHOLOGY DAILY ACTIVITY SUMMARY Continue circulating and conditioning. Continue running in hole with 4 ½” casing to 7665’. Circulate bottoms up at 7665’ and record 1852 units maximum gas. Circulate out high gas and continue running in hole from 7665’ to 8658’. Circulate bottoms up at 8660’ and record 1911 units maximum gas. Circulate out high gas and continue running in hole from 8660’ to 8870’. Circulate bottoms up at 8870’ and record 1753 units maximum gas. Circulate out high gas. Change bails while continuing to circulate and condition mud. Continue running in hole from 8870’ to 9030’. Circulate bottoms up and record 1121 units maximum gas. Circulate out high gas and continue to circulate and condition while holding PJSM with Cameron well head tech. Make up landing joint. Land 4 ½” production casing. (Shoe to be at 9074.29’MD). Work pipe and circulate. Rig down Weatherford power tong tools while circulating and working pipe. Rig up Schlumberger cementing equipment and tools while continuing to circulate and work pipe. Prep cementing head with plugs. Hold pre-job meeting with all involved hands on safety and procedures for cement job. Test cement lines to 1000psi low and 5000psi high. Pump 31 bbls of 12.5 ppg mud push with rig pumps. Switch over and line up to Schlumberger pumping unit. Drop bottom plug and pump 184 bbls (570 sacks) of 13.5 ppg lead cement and follow with 59 bbls (253 sacks) 15.3 ppg tail cement. Drop top plug and displace with 127+ bbls of 8.5 ppg 3% KCL brine. Land hanger with 10 bbls to go and set down with 60K. Bump plug at 133 bbls into displacement. Hold 500 psi over, and total psi of 2850 for 3 minutes. Bled off 1.25 bbls. Cement In Place at 14:44 hrs on 9-05-2015. Did not reciprocate during job due to sticking issues. Lost returns at 84 bbls into displacement. (Note 406.6 total bbls pumped, 327.2 total bbls of returns, 79.4 bbls lost during cement job). Wash through cement lines and rig down Schlumberger cementing equipment. Set packoff tool with Cameron tech supervision and then perform successful test for 5 minutes at 5000 psi. Install back pressure valve in well head. Continue all Hilcorp-directed procedures for rig-down and preparation for move to next location. CANRIG PERSONNEL ON BOARD 2 DAILY COST $2885 REPORT BY Tollef Winslow
