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Home My WebLink About2012 Badami 2 TABLE OF CONTENTS A. Progress of Enhanced Recovery Project and Reservoir Maintenance Summary 3 B. Voidage Balance by Month of Produced Fluids and Injected Fluids 3 C. Analysis of Reservoir Pressure Surveys Within the Pool 3 D. Results of Analysis of Production and Injection Logs 3 E. Special Monitoring 3 F. Evaluation of Well Testing and Allocation 3 G. Future Development Plans 4 H. Review of Annual Plan of Operations and Development 4 I. Status of Wells Shut-‐In for 365 Days or More 5 Appendices Table 1 Badami Well Disposition Table 2 Badami Production/Injection – Surface Units Table 3 Badami Production/Injection Reservoir Units Table 4 Badami Pressure Monitoring Summaries Table 5 Badami Special Monitoring Summaries Table 6 Badami Well Testing Frequency Summaries Figure 1 Field Production History Figure 2 Field Gas Disposition History 3 ANNUAL RESERVOIR SURVEILLANCE REPORT BADAMI OIL POOL January 2012-‐December 2012 A. Progress of the Enhanced Recovery Project and Reservoir Management Summary Production was from 7 wells with gas injection into one well. A static pressure survey was obtained from well B1-‐14. Table 4 contains a summary of the static reservoir pressure acquired in 2012. The total volume of oil produced from the Badami reservoir during the report period was 477,559 stbo. A total of 563,869 mscf of gas was produced of which 47,564 mscf was injected back into the producing formation. No new wells were drilled and completed during the reporting period. Well disposition is detailed in Table 1. The oil production and gas disposition history of the field is shown in Figures 1 and 2. B. Voidage Balance Production and injection volumes and reservoir voidage by month are detailed in tables 2 and 3. Cumulative voidage for 2012 was negative 758,680 reservoir barrels. C. Reservoir Pressure Monitoring One static pressure survey was taken at Badami during the report period and is listed in Table 4. This surveys shows that the pressures in the individual lobes of the reservoir continue to deplete over time consistent with the depletion drive recovery method employed in the field. D. Production Logging No production logging was conducted during the report period. E. Special Monitoring A no flow test was conducted on well B1-‐11A during the report period. F. Evaluation of Well Testing and Allocation Table 6 is a summary of well testing frequency for each of the Badami wells. 4 Daily oil production allocation to each well is accomplished by pro-‐rating the oil rates from the most recent well test such that the total oil produced from all wells equals the amount measured by the custody transfer pipeline meter. G. Future Development Plans On November 16, 2012, Savant Alaska LLC, as Unit Operator, submitted and application to expand the Badami Unit to provide for the orderly drilling of an exploration test well. Pending the outcome of the application, additional exploration drilling may take place in 2013. Monitoring of well integrity and surveillance activity on the Class I disposal well, B1-‐01, will continue pursuant to statutory requirement. Reservoir pressure data will be acquired during 2013 to monitor Badami reservoir depletion. H. Review of Plan of Development of Operations and Development The 9th Plan of Development for the Badami Unit (POD) was approved by the Department of Natural Resources on December 14,2011. The POD expires on July 15, 2013. In accordance with the POD, Savant Alaska installed an electric submersible pump in well B1-‐16 and placed the well on production, performed a rig work over fishing job on well B1-‐21 and placed the well on production, and drilled the Red Wolf #2 exploration well from a remote ice pad to a TD of 11,589’ MD. The well was a dry hole in the Kekiktuk formation and condemned the Red Wolf prospect. Savant Alaska also reviewed the details of these activities with DNR representatives in August of 2012 pursuant to terms of the POD. 5 I. Status of Well Shut-‐in for 365 Days or More (20 AAC 25.115) The following wells were shut-‐in for all of 2012. Badami Shut-‐in Wells 2012 Sw Name Date Shut-‐in Reason for Well Shut-‐in (1) Current Mechanical Condition of Well (2) Future Utility Plans & Possibilities (3) Comments B1-‐25 July 2003 D. Mechanical Problem Collapsed tubing and casing at 4504’ MD. Halliburton 9-‐5/8” Fasdrill @2450’ MD w/ 50’ Arctic Set Cement and 9-‐5/8” Halliburton EZSV @ 2347’ MD w/ 50’ of Arctic Set Cement above plug. D. Long term shut-‐in well/No immediate plans B1-‐28 July 2003 D. Mechanical Problem TxIA communication. Secured with tubing tail plug and BPV. B. Remedial well work planned (1) Reasons for Well Shut-‐in A. High GOR, currently uncompetitive to produce due to facility constraints, no known mechanical problems B. High water, currently uneconomic to produce, no know mechanical problems C. Low production rate, no known mechanical problems D. Mechanical Problem E. Other (Specify under comments) (2) Current Mechanical Condition Briefly describe the current mechanical condition including the condition of installed tubing and casing strings. (3) Future Utility A. Evaluating remedial, sidetrack and/or re-‐drill opportunities B. Remedial well work planned C. Long term Shut-‐in well/No immediate plans D. Suspended well E. P&A planned F. Other (Specify under comments) 6 Appendices 7 Table 1 Badami Well Disposition – As of December 31, 2012. Well Completion Date Disposition Comments B1-‐01 8/19/98 Class 1 Disposal Well EPA mandated annual MIT-‐IA & AOGCC mandated fill tag performed with Muti-‐Arm Caliper April 25, 2012. SPECTRA Flow, Oxygen Activation log run April 26, 2012. Report to EPA submitted May 1, 2012.. B1-‐11A 3/04/98 Producer, cased. Originally pre-‐ produced injector. Hydraulic fracture treatment 08/17/98. 188,000 lbs. of sand. Xylene & Diesel stimulation executed on 1/25/2000, no proppant used. Producer 8/24/98 to present. Holes punched for POGLM 11/4/98. “No-‐Flow” test witnessed & verbally certified as successful by AOGCC on 09/4/12. Well put back on production; no SSSV. Formal approval letter received from James Regg on 10/5/12. B1-‐14 5/01/98 Gas Injector, cased with MCX valve installed. Injector from 11/5/2010 to present. B1-‐15 7/31/98 Producer, tri-‐lateral, 8/24/98 to present. Main borehole completed with slotted liner then additionally perforated 11/11/99. Two additional legs have plop & drop slotted liners with open-‐hole tie-‐backs to a junction window. B1-‐16 6/13/98 Producer, ESP. Originally designed as a pre-‐produced injector. The J-‐2 & A-‐5 sands were stimulated 17 Sept 98, proppant employed. Injector 8/24/98 to 9/25/98. Producer 9/26/98 to 10/21/98. Well worked over & ESP Installed in March 2012. Dedicated producer from 5/11/12 to present. B1-‐18A 3/12/10 Producer. Sidetracked unilateral horizontal well. Dedicated producer from November 2010 to present. P&A to sidetrack under Sundry 309-‐366. Sidetrack PTD No. 210-‐003. Horizontal section completed with a slotted liner & external swell packers. Tie-‐back with Baker Flexlock™ liner hanger, ZXP packer and external casing packer. B1-‐21 1/06/98 Producer. Originally a pre-‐ produced gas injector, hydraulic stimulated, no proppant employed. Producer 8/24/98 to 09/28/99. Injector 09/29/99 to August 2005. Producer October 2005 to present. Running tool Fish recovered 3/08/12. B1-‐25 11/20/98 Suspended Well. Unilateral, cased, completed with slotted liner. Tubing collapse confirmed 9/07/04. Well suspended 4/08/05 by setting 2 CIBP in surface casing at 2347 & 2450 feet MD with 50’ Arctic Set™ cement caps atop each. B1-‐28 10/20/98 Producer, trilateral. main wellbore completed with a slotted liner. Two additional legs have plop and drop slotted liners with open hole tie-‐backs. Dedicated producer. Secured for TxIA communication 4/18/05. Repaired leaking GLM and passed MIT 10/08/12. Preparing to put well back on production. Slickline work ongoing. B1-‐36 5/23/99 Producer, unilateral, cased. Now perforated in and producing from Badami Sands. Originally POP 5/30/99 and sustained through 2 shut-‐in & re-‐start cycles. Variously produced from Kekiktuk, Killian & Badami sands. Worked over under Sundry 310-‐063 in March 2010. Put back on continuous production 11/ 07/10. B1-‐38 2/09/10 Producer, Killian Formation; unilateral cased & perforated, frac’d 7 Sept 2011, no proppant. Post drilling 10-‐3/4” casing leak repaired in March 2010. Kekiktuk tested non-‐productive. Dedicated Killian producer 11/16/10 to present. 8 Table 2 Badami Production/Injection – Surface Units BADAMI PRODUCTION / INJECTION - SURFACE UNITS 2012 PRODUCTION Jan Feb Mar April May June July Aug Sept Oct Nov Dec 2012 Total Oil (stb)32,260 32,113 34,700 38,867 47,578 42,030 42,132 44,043 40,481 42,597 40,008 40,750 477,559 Associated Gas (mscf)18,904 18,818 20,334 22,776 27,881 24,630 24,689 25,809 23,722 24,962 23,445 23,880 279,850 Free Gas (mscf)35,302 39,701 53,811 24,243 15,182 17,274 22,001 23,638 15,173 39,328 74 -1,708 284,019 Water (stb)0 0 0 0 0 0 0 0 0 0 0 0 0 2012 INJECTION Water (stb)0 0 0 0 0 0 0 0 0 0 0 0 0 Gas (mscf)2,517 3,725 4,181 1,179 146 123 5,377 1,319 1,093 27,626 207 71 47,564 Notes: (1) Per a discussion between Jack Hartz and Anna Dube on 3/22/00, a solution GOR of 586 was determined using production data from 8/98 to 2/99 and is used in calculating volumes of associated gas. This was done to address the fact there are different types of oil in the reservoir with different GOR. (2)Volumes of produced water are reported here although they are not reported in other production allocations and injection reporting due to not being of significant volume. Volumes here are based on tank levels when the water was pumped into the disposal well and are not the actual water production for any given month. 9 Table 3 Badami Production/Injection – Reservoir Units BADAMI PRODUCTION / INJECTION - RESERVOIR UNITS 2012 PRODUCTION Jan Feb Mar April May June July Aug Sept Oct Nov Dec 2012 Total Oil (rb)41,938 41,747 45,110 50,527 61,851 54,639 54,772 57,256 52,625 55,376 52,010 52,975 620,827 Free Gas (rb)20,581 23,146 31,372 14,134 8,851 10,071 12,826 13,781 8,846 22,928 43 -995 165,583 Water (rb)0 0 0 0 0 0 0 0 0 0 0 0 0 All Fluids (rb)62,519 64,892 76,482 64,661 70,703 64,710 67,598 71,037 61,471 78,304 52,054 51,980 786,410 2012 INJECTION Water (rb)0 0 0 0 0 0 0 0 0 0 0 0 0 Gas (rb)1,467 2,172 2,438 687 85 72 3,135 769 637 16,106 121 41 27,730 All Fluids (rb)1,467 2,172 2,438 687 85 72 3,135 769 637 16,106 121 41 27,730 Voidage (rb)-61,051 -62,721 -74,044 -63,973 -70,618 -64,638 -64,463 -70,268 -60,834 -62,198 -51,933 -51,938 -758,680 Oil Formation Volume Factor, Bo 1.300 rb/stb Gas Formation Volume Factor, Bg 0.000583 rb/scf 0.003276 vol/vol Water Formation Volume Factor, Bw 1.0101 rb/stb Notes: (1) Bo from Average of Badami #1 and Badami #5 (lower sand) PVT analysis. (2) Bg calculation based on gas composition of sample taken 9/18/98 (reservoir temperature 185 degrees F, reservoir pressure: 6400 psi) 10 Table 4 2012 Badami Pressure Monitoring Well Test Date Operation Pressure at Datum (psia) Datum (TVDSS Feet) B1-‐14 6/15/12 Static Pressure 4410 10,500 11 Table 5 Badami Special Monitoring Summaries No-‐Flow Verification Badami Unit Bl-‐11A PTD 1980340 On September 4, 2012 an Alaska Oil and Gas Conservation Commission (AOGCC) Petroleum Inspector witnessed a no-‐flow test of Badami Unit well B1-‐11A. The AOGCC Inspector confirmed that the well was shut in and proper test equipment was rigged up to Badami B1-‐11A as outlined in AOGCC Industry Guidance Bulletin 10-‐004. The no-‐flow test consisted of a series of flow and shut in periods. The maximum flow rate measured was 180 standard cubic feet per hour (SCFH) quickly falling off to 40 SCFH; the flowing pressure ranged from a maximum 1.5 psi to 0.2 psi. During the shut-‐in monitoring periods the maximum measured pressure was 1.8 psi and there was no liquid production to surface during the test. Based on these results, the AOGCC affirmed by letter on October 5, 2012 that a subsurface safety valve was not required to be installed in B1-‐11A with three caveats: 1. A fail-‐safe automatic surface safety valve (SSV) system capable of preventing uncontrolled flow must be maintained in proper working condition in this well as required by 20 AAC 25.265. 2. The subsurface safety valve must be returned to service if Badami B1-‐11A demonstrates an ability to flow unassisted to surface at some point in the future, and 3. Any fill cleanout or stimulation work in this well that could change the production characteristics of the well will necessitate a subsequent no flow test. Before leaving location the AOGCC Inspector granted Savant verbal approval to place B1-‐11A back on production without a subsurface safety valve based on the successful no flow test. 12 Table 6 Badami Well Testing Frequency Summary Number of well tests in each calendar year. Well 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 B1-11A 11 0 20 84 33 0 0 0 89 36 B1-15 3 0 15 43 0 0 0 4 35 13 B1-16 0 0 0 1 1 0 0 0 1 28 B1-18 1 0 18 64 19 0 0 0 0 0 B1-18A N/A N/A N/A N/A N/A N/A N/A 12 118 33 B1-21 0 0 22 35 18 0 0 1 4 22 B1-25 8 0 0 0 0 0 0 0 0 0 B1-28 9 0 0 0 0 0 0 0 0 3 B1-36 7 0 25 90 36 0 0 20 145 45 B1-38 N/A N/A N/A N/A N/A N/A N/A 22 102 49 13 Figure 1 Badami Field Production History 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 8/24/98 8/24/99 8/23/00 8/23/01 8/23/02 8/23/03 8/22/04 8/22/05 8/22/06 8/22/07 8/21/08 8/21/09 8/21/10 8/21/11 8/20/12 8/20/13 8/20/14 Daily Oil Volume (bopd) Badami Field Oil Production 14 Figure 1 Badami Gas Disposition History