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Home My WebLink About174-052PLUGGING & LOCATION CLEARANCE REPORT State of Alaska .ALASKA OIL & GAS CONSERVATION COMMISSION ,. Memorandum To File: API No. OperatOr Location Note casing size, wt, depth, cmt vol, a procedure. Sfc Liner: Per~ ~nte~als - tops: Review the well file, and comment on plugging, well head status, and location clearance- provide loc. clear, code. Marker post or plate: Location Clearance: Conclusions: ~F%D~W- pl~? ~ , I Il I II II I I III I Code Date ..o ., TIIE FOLLOWING IS A LIST OF MATERIAL ENCLOSED HEREWITH. · CIIE~ AND ADVISE IMMEDIATELY. e · PLEASE o. Received and che'~:ked by: ' ..._.. _ · Date: .... = ---- =- 2-=--- .......... _-L _ - ...... e. 'TRANS~IITTAL AND A(~OWLEDGM]';NT OF RECEIPT OF MATER, ~-(ALAS~) Mr. T. FL Marshall ~tate ol Alaska D/vision ol' 011 & Gas ~ Porcupine Drive ~chorage, Alaska 995~ o, TIlE FOLLOWING IS A LIST OF MATERIAL ENCLOSED HEREWITtl. CHECK AND ADVISE IMiMEDIATELY. .- PLEASE · . . . o_ · . . ':... ...: :, . .:..--.: · - .. · · . · o -. o. Received and checked by: Date: Remarks: I I I 14 I I I ! .I 24 I · 1 I I I I I I I I I I I ~'~ I I -I I L_ I I i I I ! I- z~ I '1 .I I I t I I ! I I I 34- i I I I I I- I I I I 19 I 20 I r I I I 35 l. I I I '.~ I I ! I ! I I I CAPE KASILOF NO. I 60o,9'39.83" I~Z'l LONG. = 151027'00.04'' CERTIFICATE OF SURVEYOR X = 257,206 Y 2g I s2 I I , I I I I I -I ,. q~", A ~ III v~.F-: ~ = ]MIL7- -I hereby certify that I am properly registered and licensed to practace land surveying in the State of Alaska and that this plat rep~'esents a location survey made by me or under my supervisio.n~ and ·that ali dimensions and other details are correct. ,- ... '~ : ~. . Dat~e / ~ sURVE(~ I I I I I I 1-- i I I I I '! I 21 28 ! I T. 3N. T. 2N. __ I I Il [ I Ifil lin I As - Built CAPE KASILOF NO. I Located in PROTRACTED SEC. 25,'E :5 N.,R.I:~W. SEWARD MERIDIAN, ALASKA R,rvev~d fr~r STANDARD OIL COMPANY - 1,' CALIFORNIA 2E~ :~ ~i _ :~-' ~±---~ ' ' .-::::-:~:.:- ..... EM. LINDSEY I~ ASSOC. LAND & HYDROGRAPHIC SURVt:.¥UH$ ~?50P-West Northern Lights Boulevard Box 4-091q Il Anchorage Aloska~ COMPLETION REPORT - NEW WELL STANDARD OIL COMPANY OF CALIFORNIA, WESTERN OPERATIONS, INC., OPERATOR AREA: Cook Inlet Cape Kasilof, Alaska LAND OFFICE: Anchorage PROPERTY: Cape Kasilof LEASE NO.: ADL-60579 WELL NO.: 1 API NO.: 50-133-20263 LOCATION AT SURFACE: 543' South and 1382' Wes6 of the Northw~e~ corner of Section~; T3N, R13W, SB&M. LOCATION AT TOTAL DEPTH: 159' South and 135' West of the North-w~ corner of Section 25; T3N, R13W, SB&M. ELEVATION: 69' above mean sea level K.B. DATE: February 5, 1975 BY R. McKin"~ey~ Area Engineer DRILLED BY: Sun Marine Drilling Company DATE COMMENCED WORK: 2:00 a.m., September 10, 1974 DATE COMPLETED WORK: January 6, 1975 DATE OF INITIAL PRODUCTION: Abandoned January 6, 1975 SUMMARY TOTAL DEPTH: 14,015' PLUGS: 127' - 405' 6308' - 6530' 6550' - 6795' 8102' - 8550' 8625'+ - 8920' CASING: 30" driven to 147' · 20" cemented at 498' with 785 sacks cement 13 3/8" cemented at 2478' with 1541 sacks cement 9 5/8" cemented at 8419' with 1130 sacks cement Through stage collar at 422~¢i~h~67~ ~ ~ sacks cement. ' 0 9'/5 -2- ~ PERFORATIONS: 6386'*, 6390 - 6398' 6411 - 6425' 6430 - 6437' 6464 - 6472' 6483 - 6492' 6498 - 6505' 6645'* 6655 6664' 6682 - 6692' 6755 - 6785' 6805'* *Squeezed with cement. JUNK: 1194' of drill collars and drilling assembly from 5398 - 6592'. Sidetracked. Dipmeter tool at 8550'. Sidetracked. LOGS: Schlumber Dual Induction-Lateral Log 498 - 13,962' Schlumberger Compensated Formation Density Log 2484 - 13,962' Schlumberger Borehole Compensated Sonic. Log 498 - 13,802' Schlumberger Proximity Log-Microlog with Caliper 2484 - 13,805' Schlumberger Compensated Neutron-Formation Density Log 2484 - 13,962' Schlumberger Four Arm High Resolution Continuous Dipmeter - 498 - 13,800 Schlumberger Cement Bond Log 150 - 8410' INITIAL PRODUCTION: None. September 9, 1974 Drove a 30" conductor pipe to 147'. September 10-11, 1974 Spudded in at 2 a.m., September 10, 1974. Drilled 17 1/2" hole from 147' 'to 510'. Opened 17 1/2" hole to 26" from 147' to 510'. September 12, 1974 Cemented 20" casing at 498' with 785 sacks Class "G" cement treated with 2.4% gel, followed by 65 sacks of Class '"G" cement, displacing cement with 35 cubic ft. of water. Good cement returns to surface. Casing Detail: Ail 13 joints, or 498', are 20", 94#, H-40, range 3, buttress thread. Fitted from 497' to 498' with a 1' by 20" Baker duplex shoe, and at 117' with a 13 3/8" casing hanger. Cut and recovered 30' of 30" conductor pipe. September 12, 1974 Cut and recovered 31' of 20" casing, 29' of which would be on the derrick floor. September 13, 1974 Installed Class 4 BOPE. September 14-20, 1974 Placed rig on standby from 1 a.m., September 14, to 5 a.m., September 20. September 20, 1974 Drilled out cement from 492' to 498' and cleaned out to 510'. September 20-23, 1974 ~ Drilled 17 1/2" hole from 510' to 2502'. September 23, 1974 Ran Schlumberger Dual Induction Laterolog and recorded from 498' to 2488'. Ran Schlumberger Borehole Compensated Sonic Log and recorded from 498' to 2470'. Ran Schlumberger Dipmeter. September 24, 1974 Cemented 13 3/8" casing at 2478' with 861 sacks of Class "G" cement. Treated with 2.1% gel prehydrated followed by 680 sacks of Class "G" neat cement. Preceded cement with 100 cubic ft. of seawater and displaced cement with 5 cubic ft. of seawater. Casing Detail: Ail 62 joints, or 2487', are 13 3/8", 68#, K-55, range three, buttress thread, stainless blank casing. Fitted from 2485' to 2487' with a 2' by 13 3/8" Baker Duplex Shoe from 2444' to 2445' with a Baker float collar and from 93' to 94' with 9 5/8" casing hanger. Bottom two joints and fifth to thirteenth joint from the top are centralized. September 25, 1974 Cleaned out 13 3/8" by 20" annulus to 94' with a 1" line pipe. September 25, 1974 Cut and recovered 22' of 13 3/8" casing, 16' of which was below the derrick floor. September 26-27, 1974 Installed Class 4 BOPE. September 28-29, 1974 Placed rig on standby due to lack of drilling personnel. September 30-October 1, 1974 Repaired Class 4 BOPE. october 2, 1974 Tested BOPE per standard practice D-17. October 2, 1974 Drilled out cement bridge from 969' to 1050', cement stringers at 1853', cleaned out to 2351', and drilled out cement to 2502'. October 2-15, 1974 Drilled 12 1/4" hole from 2502' to 6592'. Installed Morris & Giddens Mudloggers at 2502'. Mud became gas cut at 2765', cutting mud from 72 to 60 pcf. Oriented Dyna-Drill No. 1 and 2 at 3500' and 4233' respectively. While making a drill pipe connection at 6592', drill pipe was stuck. October<16, 1974 Attempted to jar drill pipe free, but jars stopped working. Spotted 50 barrels of diesel oil and 21 gallons of INC free pipe. Unable to work pipe free. Ran Dialog free point locater and found drill pipe free to 5429'. Spotted 75 barrels of diesel oil and 1 barrel of INC free pipe, but unable to work drill pipe free. October 17, 1974 Fired string shot and backed off of drill pipe'at 5398', leaving 1194' of fish in hole from 5398' to 6592', consisting of a 12 1/4" bit, 7 3/4" float sub, 12 1/4" reamer, 8" by 9' lead collar, 8" by 30' Gamoloy, cross- over sub, 12 1/4" stabilizer, two 8" drill collars, 12 1/4" stabilizer, three 8" drill collars, 12 1/4" stabilizer, 25 joints of 5", 50# heavy wall drill pipe, jars, 5 joints of 5" heavy wall drill pipe, crossover, and one joint of 4 1/2" 16.6# drill pipe. Screwed back into drill pipe fish and attempted to jar fish loose. Unable to jar fish loose. Spotted 75 barrels of diesel oil and one barrel of INC free pipe but unable to jar or work fish loose. October 18, 1974 Fired string shot and backed off of drill pipe at 5398'. October 18, 1974 - To Plug Hole with Cement and Cement Fish in Place Screwed back into fish at 5398', pumped 689 sacks of Class "G" neat cement. Preceded cement with 100 cubic ft. of water, and displaced cement with 431 cubic ft. of mud. Unscrewed from fish and attempted to backscuttle excess cement. Unable to backscuttle. Circulated excess cement out of hole. October 19, 1974 - To Raise the Cement Plug to 5269' Equalized 246 sacks of densified Class "G" cement, treated with 3/4% of D-31 friction reducer, through 4 1/2" drill pipe hanging at 5396'. Pre- ceded cement with 100 cubic ft. of water. Displaced cement with 9 cubic ft. of water. Pulled up to 4832'. Closed BOPE and squeezed cement with 164 cubic ft. of mud. October 20, 1974 Drilled out cement from 5220' to 5269'. October 20-21, 1974 Set Dyna-Drill No. 3 at 5269' and directionally redrilled 12 1/4" hole from 5269' to 5325' when bit fell back into original hole. Cleaned out soft cement to 5398'. October 22, 1974 - To Plug Hole with Cement to 5244' Equalized 216 sacks of densified Class "G" cement. Treated with .075% of E-31 through 4 1/2" drill pipe hung at 5396'. Preceded cement with 200 cubic ft. of fresh water. Displaced cement with 18 cubic ft. of fresh water and 384 cubic ft. of mud. Pulled drill pipe to 4480', closed BOPE, and squeezed cement with 164 cubic ft. of mud. October 22, 1974 Drilled out cement from 5235' to 5244'. October 23-November 10, 1974 Directionally redrilled 12 1/4" hole from 5244' to 6592', thus sidetrack- ing the original hole and fish from 5244' to 6592' and directionally drilled 12 1/4" hole from 6292' to 8567'. Oriented Dyna-Drill No. 4 at 5244'. November 11, 1974 Ran Schlumberger Dual-Induction Laterolog and recorded from 2488' to 8558'. Ran Schlumberger Borehole Compensated Sonic Log and recorded from 2488' to 8550'. Ran Schlumberger Compensated Neutron Formation Density Log and recorded from 2488' to 8558'. Ran Schlumberger Compensated Formation Density Log and recorded from 2484' to 8559'. Ran Schlumberger Proximity Log Micro Log with Caliper and recorded from 2484' to 8558'. Ran Schlumberger Fore Arm High Resolution Continuous Dipmeter and recorded from 4574' to 8558'. Stuck Schlumberger Dipmeter tool at 4635'. Unable to work dipmeter tool loose. Cut and recovered Schlumberger line and fished line out of rope socket at 4631'. Ran Bowen Socket and shoved dipmeter tool down hole to 8550'. November 15, 1974 Cemented 9 5/8" casing at 8419' with 1130 sacks of Class "G" cement treated with .075% D-31 and .002% of R-5. Opened stage collar at 4226' and cemented through stage collar with 675 sacks of Class "G" cement treated with 2% hydrated gel. Lost circulation after 1690' of displace- ment. Closed and tested stage collar under 2500 psi. Casing Detail: Bottom 73 joints, or 3051', are 9 5/8", 47#, S-95, Range 3, buttress thread, new seamless blank casing, fitted from 8417' to 8419' with a Baker Float Shoe, from 8372' 8374' with Baker Float Collar, and from 5368' to 5369' with a 1' by 9 5/8" crossover buttress pin to 8 round thread collar. Bottom four joints are Baker locked. Next, 127 joints, or 4969', are 9 5/8", 40#, N-80, long eight round thread, range three, seamless blank casing, fitted from 4226' to 4228' with a 2' by 9 5/8" Baker stage collar. -7- Top 9 joints, or 399', are 9 5/8", 47#, P-110, range three, long eight round thread, new seamless blank casing. Fitted from 114' to 116' with a 2' Cameron mud line casing hanger. Total 209 joints, or 8419'. November 16v18, 1974 Installed Class 4 BOPE and tested to 2500 psi. To Bridge Hole from 8424' to 8546' Equalized with 200 sacks of densified Class "G" cement treated with .075% D-31, mixed to a 124# per cubic ft. slurry through 4 1/2" drill pipe hanging at 8546'. Preceded cement with 100 cubic ft. of water. Pulled drill pipe to 8020', closed BOPE, and squeezed cement with 54 cubic ft. of mud under 1200 psi final pressure. November 19, 1974 Drilled out cement from 8343' to 8424'. November 19-December 22, 1974 Oriented Dyna-Drill No. 5 at 8424' and directionally redrilled 8 1/2" hole from 8424' to 8567', thus sidetracking original hole and dipmeter tool fish from 8424' to 8567'. Directionally drilled 8 1/2" hole from 8567' to 14,015'. While drilling at 10,420' saltwater entry into hol~e occurred cuttinj~r~i~in~D~ fluid weight of 75 to 72 pcf and salt content l~~from 500 to 900 ~ December 22, 1974 Mudloggers released. December 23, 1974 Ran Schlumberger Dual Induction Laterolog and recorded from 8555' to .13,962'. Ran Schlumberger Borehole Compensated Sonic Log and recorded from 8550' to 13,802'. Ran Schlumberger Compensated Formation Density Log and recorded from 8558' to 13,962'. Ran Schlumberger Proximity Log Micro Log with Caliper and recorded from 8558' to 13,805'. Ran Schlumberger Simultaneous Compensated Neutron Formation Density Log and recorded from 8558' to 13,962'. Ran Schlumberger High Resolution Continuous Four Arm D±pmeter and recorded from 8558' to 13,800'. December 23, 1974 Took Schlumberger sidewall samples. De~th Recovery Description 8,834' 1 - 1/4" 8,836' 2" 8,840' 1 - 3/4" 8,845 ' 2" 8,853' 1- 1/2" ~8,858' 1- 3/4" 8,~863' 1 - 1/2" 9,4~4 ' 1/2" 11,075' 1/2" 11,160' 1/2" 13,053' 1/2" 13,162' 1/2" 13,327' 3/4" 13,332' 1 1/4" 13,336' 1" 13,340' 1 1/4" Sand and Clay, grey and brown sand clayey, fine grained friable. NOSCF Sand and clay, sand silty and clayey poorly sorted, fine grained friable. NOSCF Sand, grey, silty poorly sorted fine grained, friable, NOSCF. Sand, grey, silty and clayey, poorly sorted, "fine grained, friable NOSCF. Silt, grey friable, NOSCF. Silt, grey, friable, NOSCF. 'Silt, grey, friable, NOSCF. Sand and silt, grey, poorly sorted fine grained,, sub angular friable, NOSCF. Sand and silt, grey, poorly sorted, fine grained sub angular friable, NOSCF, Sand and silt grey, carbonaceous poorly sorted, fine to coarse grained, sub angular, NOSCF. S~nd and silt, grey, carbonaceous, poorly sorted, fine grained, friable, coal streaks in sand, NOSCF. Sand, silt, and clay, grey, poorly sorted fine grained, friable, NOSCF, Sand, silt and clay, grey carbonaceous poorly sorted, fine grained, rare pebbles, friable, sand with coal streaks, NOSCF. Coal - lignite? Dark brown, carbonaceous fine grained, friable, NOSCF. Silt and clay, grey and brown, friable with rare mica flakes, mud filtrate evident in sample. NOSCF. Silt, grey, firm, NOSCF. December 24, 1974 Ran Schlumberger Cement Bond LOg and recorded from 8410' to 13,955'. December 24, 1974 ' To B~idge Hole witk Cement Equalized 275 sacks of Class "G" cement through drill p~pe hanging at 8920'. Preceded cement with 50 cubic feet of water. Displaced cement with 2 cubic ft. of water and 623 cubic ft. of drilling fluid. Pulled drill pipe to 8550' and circulated hole clean. Top of cement not located. December 24, 1974 - To Bridge Hole with Cement From 8102' to 8550' Equalized 250 sacks of Class "G" cement through 4 1/2" of drill pipe hang- ing at 8550'. Preceded cement with 100 cubic ft. of water. Displaced cement with 18 cubic ft. of water and 600 cubic ft. of drilling fluid. Good circulation throughout. December 25, 1974 Located top of cement at 8102'. December 25, 1974 Ran Schlumberger jet perforator and perforated 9 5/8" casing with four 1/2" holes at 6805'. Ran Baker Model K cement retainer and set retainer at 6800'. December 26, 1974 - To Squeeze Hole in 9 5/8" Casing at 6805' with Cement Stab into Model K retainer at 6800'. Applied pressure and formation broke down under 1600 psi and took fluid at 6 cubic ft. per minute rate under 2600 psi, 8 cubic ft. per minute rate under 3000 psi, and 35 cubic ft. per minute rate under 3300 psi. Pumped in 100 sacks of Class "G" cement and squeezed an estimated 95 sacks of cement through hole at 6805' under 2375 psi maximum pressure and 2000 final pressure. Pulled out of retainer and dumped 4 cubic ft. of cement on top of retainer. December 26, 1974 Ran Schlumberger jet perforator and perforated 9 5/8" casing with 4 1/2" holes at 6645'. December 26, 1974 - To Squeeze at 6645' with Cement Set Baker squeeze tool at 6451'. Applied pressure and formation broke down under 1500 psi, and took fluid at 4 cubic ft. per minute rate under 2000 psi, 12 cubic ft. per minute rate under 3400 psi. Pumped in 200 sacks of Class "G" cement and squeezed an estimated 195 sacks of cement through hole at 6645' under 2500 psi maximum and 2000 psi final pressure. December 27, 1974 Drilled out cement stringers fr°m 6528' to 6795'. Pressure tested 9 5/8" casing to 2000 psi. Okay. December 27, 1974 Ran Schlumberger jet perforator and perforated 9 5/8" casing with 4 1/2" jet holes per foot from 6655' to 6664', 6682' to 6692', and from 6755' to 6785'. December 28, 1974 Halliburton Formation Test No. 1 of perforation 6655' to 6664', 6682' to 6692', and 6755' to 6785'. Set packer at 6595', with tail to 6612'. Open tool at 9:20 a.m. for a five minute initial flow period. Good strong flow through a 1" choke. Shut-in tool for a 60 minute initial shut-in. Opened tool for final flow. Good strong flow through a 1" choke with gas to surface. Turned flow to trap after 10 minutes through a 2" plate. Unable'to measure gas rate. Switched to a 1/4" plate. Unable to measure gas rate. No apparent change in blow ~or duration of 165 minute flow period). No fluid +o surface. Shut-in tool for 420 minute final shut- in period. Opened backscuttle valve and backscuttled 800' rise of gas cut mud in 4 1/2" drill pipe. Samples No. 1, 2, 3, 4, and 5 weighed 70 pcf, 61, 66, 63, and 68 respectS.rely. Sample 4 and 5 tested 742 ppm and 907 sodium chloride respectively. Ditch sample weighed 75 pcf and tested 412 ppm sodium chloride. Chart indicated test a mechanical success. Pressure Recorder Data: Depth Gauge IH _ISI IF F_~F FSI F_~H Top Inside 6580 3403 2039 146 194-292 2282 3354 Bottom Inside 6584 3434 2061 147 196-295 2257 3385 Top Outside 6610 3433 2266 148 198-346 2310 3388 Bottom Outside 6613 3446 2086 145 193-289 2306 3399 Conclusion: Test good, intervals very tight. December 29, 1974 - To Bridge Hole with Cement from 6550 to 6795' Pumped 89 sacks of Class "G" cement treated with 2% calcium chloride through 4 1/2" drill pipe hanging at 6795' Pulled drill pipe to 6450' closed BOPE, and squeezed cement with 10 cubic ft. under 500#. December 29, 1974 D~.~led out Cement stringers from 6100 to 6140' and cleaned out to cement at 6507'. Drilled out cement from 6507 to 6550' and circulated hole clean. December 30, 1974 Ran Schlumberger jet perforator and perforated 9 5/8" casing with four 1/2" jet holes at 6386'. December 30, 1974 - To Squeeze Hole at 6386' With Cement Set a Baker Hole Bore Retainer at 6199'. Applied pressure and holes at 6386', took fluid at 11 cubic ft. per minute rate under 2500 pound pres- sure. Pumped in 100 sacks of Class "G" cement. Squeezed an estimated 85 sacks of cement through holes at 6386' under 2000 pounds final pressure. Held pressure for 40 minutes. Released retainer and backscuttled hole clean. Drilled out cement and cement stringers from 6257' to 6490' and· cleaned out to 6550'. December 31, 1974 Ran Schlumberger jet perforator and perforated 9 5/8" casing with four 1/2" jet holes per foot from 6390' to 6398', 6411' to 6425', 6430' to 6437', 6464' to 6472', 6483 to 6492', and 6498' to 6505'. December 31, 1974-January 1, 1975 Halliburton Formation Test No. 2 of perforations 6390' to 6398', 6411' to 6425', 6430' to 6437', 6464' to 6472', 6483' to 6492', and 6498' to 6505'. Set packer at 6341', with tail to 6361'. Opened tool at 3 p.m. for a five minute initial flow period. Medium light steady flow of air for first five minutes. Shut-in tool for 123 minutes initial shut-in period. Opened tool for 215 minutes final flow period. Flow increased to medium blow of air in 17 minutes with gas to surface-in 28 minutes. Shut tester in at surface to thaw trap and regulator after tester was open 32 minutes. Turned blow to trap in 57 minutes. Trap meter froze. Blow declined to light blow and remained a light blow for balance of test. Unable to meter gas through trap. Metered gas through monometer at 2 mcf per day rate. After open 183 minutes, opened backscuttle tool and backscuttled 2507' rise of gassy drilling mud in 4 1/2" drill pipe. Sampled 2507', 2448', 2403', 1992', and 834' above tool, weighed 72, 72, 73, 61, and 75 pcf respectively. Salinity of samples was 907, 1072, 1072, 825, and 742 ppm sodium chloride respectively. D~c~sample weighed 76 pcf and salinity was 495 ppm sodium chloride, rat hole volume equals 11.4 barrels or 801' rise in 4 1/2" drill pipe. Pressure Recorded Data: Depth Gauge IH ISI IF FF FSI FH Top Inside 6327 3336 2747 147 196-393 2649 3287 Bottom Inside 6330 3305 2720 146 194-389 2622 3281 Top Outside 6320 3339 2750 148 198-396 2652 Clock Out Bottom Outside 6323 3351 2734 145 193-434 2639 3304 Maximum Temperature l12°F. Conclusion: Successful test - formation tight. January 1, 1975 - To Bridge Hole with Cement From 6308' to 6530' Pumped in 135 sacks of Class "G" cement, treated with 2% calcium chloride, through 4 1/2" drill pipes hanging at 6530'. Pulled up to 6000'. Closed BOPE and squeezed cement with 15 cubic ft. under 800 psi. January 2, 1975 - To Bridge Hole with Cement from 405' Pumped 108 sacks of Class "G" cement through 4 1/2" drill pipe hanging at 405'. Pulled drill pipe to 126' and backscuttled excess cement out of hole. January 3, 1975 Recovered 117' of 9 5/8" casing. January 3, 1975 Located top of cement at 127'. January 4, 1975 Recovered 117' of 13 3/8" casing. January 5, 1975 Cut and recovered 20" casing from 110'. January 5-6, 1975 Cut and recovered 109' of 30" conductor pipe. January 6, 1975 Drilling crew released. February 1, 1975 Ferris Barge released. ~/.' ' ~":-' '~EANSlVI:ITTAL AND .AC~~'I, ED~T OF P,,ECEIPT OF..HATER?'-'~-(ALASKA) : Mr. T. FL Marshall State of Alaska ' Division of Oil & Gas 5001 Porcupine Drive Anchorage, Alaska 99504 · · .~,,.,.. .... :.?...."::?~ :-.;::.::....' :,., . i~.... .,.'~'-... - ....... .. . ..- . · :'% ..,, , , . ~.~,:,.,:..,.,f..., ....: ~...,,;.-. , . -~...- -~. :F...~.-.i' ':; '" ~',~ ? . :.:.i':... -'' : .,. ....... :" ... ~ . ' '- '~ ' - ~' :ii:; ~--. COMPA NY ~~~: ~ ~-'~F :.~:?;::~.:~-~t.:.~;'-~J:~g;~2~'-~F'. 't[~::~ct:r,~::~: RUN- ' .. .... '.. -.'..,": :a.:'..-.. '[-.?.._:.'L'.:'--i'--'-:-':.".. ,,... . COMPENSATED ?~:~, ~.;-!' ~ '..~OREHOLE COMP.. ~ONIC ~/c~liper/::'~?:~'' . ':": :~:::::' .% ~. ~ 't' :......~ .....- -:. --. __ t - 1~:'- . .-..~ r.~ ,:.?...:'::t~?':--' ~: , __' BOREHOLE COL,R SONIC ~Zgemm='::??.:::'.. -~-. ;.-:::':.:-: -:: - ,. ..... , ....~:.,: ...~ ~ ~OREHOLE TELEVIEWER'. .'..:-:':. ,.,:.:.:.: ..... ..... -.:i~'e.:: .... ' CDM -POLYWOG PLOT - . : :--:'~. -. : . ' · ~ - ~ ' . , .., . ..; -~ .. . ~........... i ~":__".~ ,, CEMENT ~O~D LOG : - ~ ~ i ~:~?.::~."~:':-:' _' ' · ' :'_:FORMAT]o~.~DENSITy LOG F. F'.-'~.:.:".~:.~:'-:':: ':~'' ';~ ~ -~.,-:_"'.::'F:'~":":: " " - ~"':~[[4[~-.[:V _.._ GAMMA RAY-NEUTRON ~/":'":. ....: .... .. .... . GA~MA RAY COLLAR.LOG [.::?~.~.:;, -.' ' MICRO LOG . -.: .:;::::~ : -?~.-'7, ~ MUD LOG - --. '."-:":.;*L:::'~:?-~[:!~::;;'~'~'"- '- --:' NEUTDON LOG ' - ' ' -' '~":'J-:?f/~;::.--~ -'~ ~ ' .... u::::.t :~ SANDSTO~E ANALYSIS .'n:. .... -' . .'-'-~:- ~ . ' SIDEWALL. NEUTRON POROSITy:: ~ ' - · '-:t ::: .. '::'""-:' ' ~ , · "' TEupEEATURE LOG ' -:-::":""' COMPLETION REPORT .... ':' :"r-" ' ' '' - .... - ~ :j,-... ;' ... · : ' -:'~1'OlRECTIONAL SURVEY "" ..... · * -* . .- .'~ i . . . - - .~ ~ ~ , ,~r ,,~.,:,, ."' ~2e: ~ ~7~ ~ ..- / ~'. . ~ ,- - . , .~.-. BLUE L/hE ..1 'IRANS~FITTAL AND ACKi:. ,[EDGM~,~NT OF RECEIPT OF MATERIAh--(ALASKA) . . TO ~- l Mr. T. FL Marshall 8ta!e of Alaska ! Division of OII & Gas DEPT:.___. ~ 3001 Porcupine Drive ~I,/'~CE: ~ Anchorage, Alaska 99504 · THE FOLLOWING IS A LIST OF MATERIAL ENCLOSED HEREWITH. CHECK .A~ND ADVISE IMMEDIATELY. .' ~ PLEASE - .o SUB~IT IN 1~ ICATE' ~ STATE OF ALASKA ; ~. APl NL'~CAL COO~ revel~e OIL AND GAS CONSERVATION COMMITTEE 50-133-20263 WELL CON',PLETION OR RECO,v, PLETION REPORT AND LOG* _ II ~2 T~PE '01" WELL: on. ~-~ ,.,*s ~ T~'Pg OF COMPLE~ON: U.~CK n~sva. '~ Other' ~~ 8. UNIT,F~ OR L~ISE NAME OVER , S~dard Oil Company of ~lifornia, WOI 9. W~hNO. . 9 ~chora~, Alaska 99510 m. }~E~ ,u~D POOL. O1{ WII~CkT 4. LOC~IiOX Oi wzL[ (Report location clearl~ and in accordance with ~~~)' - at su.ac, 543' SOU~ and Z'82' West of ~or~corner of . i to r0dSi~va?~0r~d ~e~ X Z~, SB~ ( ~' Sec. 24, T-3N, R-13W ., t "P ']5~' South mhd' i35' West of ~e ~~~orner of SB&M at ~ta~ ae~ Section 25, T 3N, R 13W, SB~ 1~. P~IT ~O. 74-52 ~,.9/10/74 [ 12/22/74 { 1/6/75 ~ ~ INTER~'AL8DRILLED BY 140iS,~ 13789' T~ /~27' ~ 127,~ t . ' ~ I 0- 1~015 ~. ~RODUCtNG !N~VAL(S), OF ~IS CO~IP~TION--TOP, BOSOM, NAME (N~ AND ~;' ~. %VAS DIfiECTION~ t SURVEY MADE - None .:~ { Yes 6. I.F-A.~E L~.~IGNA'I'ION A. ND ~I~I~IAL* NO. ADL-60579 7. IF INDIA24, ALLO'Fi'EE OIt TIUBE 2~L ~PE Ei~%CTRIC AND OTf{~i~ LOGS RUN : ~L, FDC, SC, CNFD, PMC, Dipmeter, Cement bond log ' CASING RECORD' {Repor~ all strings set in wt~l) "--- :C~,_SI~4¢; SIZE WEIGHT. LB~FT.]' GR2,DE DEPTH SET (MD) ~ HOLE SIZE [ CE2ILNTING. RECO}~ [ /CJoUNT PULLED, . ~'.. ' ' _~,~47' .~Driven { 09 ~ ~.. 949 . ' ,H40.. 498' 26- ]785 sks class G cmt_ I lO '. 13'.3/8" 68~ K55 2478' 17 1/2".1541 ak~ ala~ ~ mmf__ ~ __ [( 7'. 9 5/8" 40 & 47~ ~-~ 8419' i2 1 4" S e w/l130 sks class G {/,Y'- - - .... · L I I LZ~L ~Ei~IF:L)RA'i'IO.'x'S OPeN TO PKODU~ON (~ntcrval. si:e and nurnber) 6390 - 6398', 6411 - 6425' Four 1/2" ~30 - 6437', '6464 - 6472' Jet holes ~3 - 6492,,x6498 ~ 6505' per foot ~5.5 - 6664', 6682 - 6692' '675:5 - 6785 ' ~ i::.cmt, s~t..~(~la:r 4226 w/ i i i i[ i i ACID. S,:CT. l:';t.~L'2 UHE, C~.ILNT SQULEZi~. E'I'C D~lli !NT~IV.~ {3ID) [ AM.~L'Nr .:'~ND LIND O5' 51AIE2~AL USED 6386' i 85 S~ class G ~t,. 6645'- i95 Sks class.G cmt. 6805; . 95 Sks class G cmt. ~0. . PIIODUCTION ~A. IE FIRS'~ [ PF~ODUCT1ON I~1[;1 HOD i Fiowii~g, !/a~ lif~, p~mping--size and type of pump, 1%~ ELL b'/'A fU5 ~l,rociucmg or Pf~DUCTiON I !' C ' ' ' 'r - ~. l.iSl OF AI'~A('HMENTS . . · , ~by >ertify lha~he fJreg.i,~ ~nd attached i,if,rmdtiou Is complete and ~orrect as determmeo ~C - - - ii ~ i ii ii i I i[ r i I iii t I ....... . · (See Instructions and Spaces ~or Additional Data on Reverse Side) INSTRUCTIONS General: This form is designed for t, ubmitting a complete and ca~'rec't well completion report and log on. all types of lands ~nd leases in Alaska. Item~ 1~: Indicate which elevation is used as reference (where not otherwise shown) for depth measure- ments given in other spaces on this form and .in any attachments. Items 20, and 22:: If this well is completed for separate production frown more than one interval zone (multiple completion), so state in item 20, and in item 22 shaw the p,c. Jucing interval, or intervals, top(s), bottom(s) and name (s) (if any) for only the interval reported in item 30. Submit a separate report (page) on this form', adequately iaent[fied, far each additional interval to be separately produced, show- ing the' ac~itional _data pertinent to such interval. , Item26: "Sacks Cement": Attached supplemental records for this well should show the details of any mul- tiple stage cementing and the location of the .cementing Item 28: Submit a separate completion report on this form for each interval' to be sepm'ately pr'oduced. (,See instruction for items 20 and 22 above). ' ' 24. SUMMARY OF ["ORMAI~ION T/~'I'S INi'LUI)I~(i INTEI~VA~ TF~C~'FED. I'I~F~-LG'tJRE DA'I'P~ ~ ~.F~OVERIES OF OIL. · WATEJR AND MUD See attac, hed , · ~-~,~. · i , ' i i i i ~ ~.~.~ 3/{-~llE . Aq'FACll i~ltlE~.' DESC. RtP. ITION'S OF" LITIIOLOG'k'. POTtO.qI4'Y. FI'lAC'TUll. ES{ APP~.e['3 Oll?.~. ~,~-~-~ ~ ~" ,,, , ~ ~ See attached sidewall sample descriptions , , o /'~ ~ page 1 ATTACHMENT F. T. No. 1 of perforations 6655 - 6664' 6682 - 6692' and 6755 - 6785' Open 170 minutes including a five minute initial flow and 165 minute final flow. Took a 60 minute initial shut-in and a 420 minute final shut-in. Good strong blow through- out test with gas to surface in five minutes. Unable to measure gas rate. Recovered 800' rise. of gas cut mud, maximum salinity 907 PPM NaC1. PRESSURE RECORDER DATA Initial Initial Hydrostatic Shut-in 'Top Inside 3403 2039 Bottom Inside 3434 2061 Top Outside 3433 2266 Bottom Outside 3446 2086 Initial Final' Final Final Flow Flow Shut-in Hydrostatic 146 292 2282 3354 147 295 2257 3385 148 346 2310 3388 145 289 2306 3399 F. T. No. 2 of perforations 6390 - 6398~, 6411 - 6425', 6430 - 6437', 6464~ - 6472', 6483 - 6492' and 6498 - 6505'. , Open 220 minutes including a five minute initial flow and a 215 minute final flow. Took a 123 minute initial shut in and 718 minute final shut-in. Light to medium blow through- out test. Gas to surface in 28 minutes at 2 mcf/d rate. Recovered 2507' rise of gassy mud. Maximum salinity 1072 PPM NaC1. PRESSURE RECORDER DATA Initial Initial Hydrostatic Shut-in Initial Final Final Final Flow Flow .Shut-in Hydrostatic Top Inside 3336 2747 147 393 2649 3287 Bottom Inside 3305 2720 146 389 2622 3281 Top Outside 3337 2750 148 396 2652 NR Bottom Outside 3351 2734 145 434 2639 3304 8,834 ' 8,836' 8,840' 8,845' 8,853' 8,858' 8,863' 9,464' 11,075' 11,160' 13,053' 13,057' 13,162' 13,327' 13,332' 13,336' 13,340' Recovery 1 - 1/4" 2 l! 1 - 3/4" 2" 1 - 1/2'" 1- 3/4" 1 - 1/2" 1/2" 1/2" 1/2" 1/2" 3/4" 1/2" 3/4" 1 1/4" 10! 1 1/4" SCHLUMBERGER SIDEWALL SAMPLE DESCRIPTIONS Atta. chment De.scription Sand and clay, grey and brown sand clayey, fine grained friable. NOSCF Sand and clay, sand silty and clayey poorly sorted, fine grained friable. NOSCF Sand, grey, silty poorly sorted fine grained, fri~ble. NOSCF Sand, grey, silty and clayey, poorly sorted, fine grained, friable. NOSCF Silt, grey friable. NOSCF Silt, grey, friable. NOSCF Silt, grey, friable. NOSCF S~d and silt, grey, poorly sorted..fine grained, sub angular friable. NOSCF Sand and silt, grey, poorly sorted, fine grained sub angular friable. NOSCF Sand and silt grey, carbonaceous poorly sorted, fine to coarse grained, sub angular, friable, coal flakes abundant. NOSCF Sand and silt, grey, carbonaceous, poorly sorted, fine grained, friable, coal flakes abundant. NOSCF Sand and silt, grey, carbonaceous poorly sorted, fine grained, friable, coal streaks in sand. NOSCF Sand, silt, and clay, grey, poorly sorted fine grained, friable. NOSCF Sand, silt, and clay, grey, carbonaceous poorly sorted, fine grained, rare pebbles, friable, sand with coal streaks. NOSCF Coal - lignite? Dark brown, carbonaceous fine grained, friable. NOSCF Silt and clay, grey and t]~ow~,~fr~hl~ ~wi~h_rare mica flakes, mud filtra~i~d~4b~~4~l Sz'~ r ' - 5 1975 '~, g ey, ~irm. NOSCF J~';,,.,~,.., ~'"'~ ~ ~' i ' COMPANY FIELD , _ JOB NO. 'T '" /' DISTRICT OIL WELL SURVEY CO.~PANY TYPE OF SURVEY COMPUTATIONS DATE Declination 2¢ o ENGINEER OBJECTIVE _.,4~'~ /~ ~O /~ ,, , ~HEET OF -- , , , COORDINATE DIFFERENCES RECTANGULAR COORDINATES TRUE VERTICAL SECT~N COU ~SE 'DRIFT ~RE~L 5TAT'N MEASURED COURSE DRIFT VERTICAL VERTICAL . , NO. ~ DEPTH LENGTH ANGLE DEPTH DEPTH SECTIOH DIFF. DEVIAT~N DIRECTION ~EF' NORTH ~OUTH EAST WEST NORTH ~OUTH EAST ..... 7 ~r~ ~, .... 5~ - ~'~ . , ,' .... ~ .... ' '~ :'. , L ," ,, I '' "" '" ' ' ' .... :' " ' ' ..... · , ,, , : .... :.: _, & '- ,0 ., , , , -,-'~ ~..q.?~ 4:]'it'v~'O" I~.1~ .3e53¢ ~G'~.e~ 191~ 77¢5~ /~1 ". r~: ~ . . . . ,, , , ' . , , , . , ~ . O~ ~ ' , . ,, , ' . j~/.:""' . _-~o i-- , ' ' ' -' : ~ 2~.j'~ ~,O,!~'~,oe j- '~ ~4'~q~ ~.zs ~'~oo i~:s~,7~, .................." ' : ....= '" -" .............~:~ :0 54 %.~ ~8 . ¢ ~~/ ....... 4.. 's~: Z.¢o .~.,..: . z¢~ ~oj G-315-R2 Cnlc'ulation Sheet o~ ' 7" ~ ,"' v ?~ ~ T A~J FIELD ~,f,," , JOBNO. j :, :'~ ...... ~ , ~ ~ ~ ~ ~ COMPANY , ~ '' '~ [: ~' ~'~' ' : ~* ~r' "~ i ~: E. MAN LEASE WELL NO., DISTRICT ~LL $URVEY COMPANY TYPE OF SURVEY.' cOMPUTATION5 DATE Declination ENGINEER OBJECTIVE ~4~ ~ ~O ,. ~-.. SHEET ~ OF . .... ~ .... TRUE / COORDINATE DIFFERENCES RECTANGULAR COORDINATES $TAT'N MEASURED COURSE DRIFT VERTICAL; VERTICAL $ECT'N COURSE DRIFT VERTICAL ,- NO. DEPTH LENGTH- ANGLE DEPTH SECTION DIFF. DEVIAT~N DIRECTION DEPTH NORTH SOUTH EAST WEST NORTH SOUTH EAST WEST , , . '~ '"' ""'"" ':~.6 sa w so la.40;:~4o~z.u ~0 6 aD . ,.~ ,', · . , , i ' · ?~ · ~ 0,,',: : I LO 30 : . . . :, ' ~ , ,, ::-~ L__ : i ' ' ' ' " ' , .... ,,~w .... ~ . . .~(L C.> ~ .. ,.? .3 1.1 " COMPANY JOB NO. FIELD/ EASTMAN LEASE WELL NO. ~--~1~' " .'~ , / ... DISTRICT OIL WELL /- SURVEY COMPANY TYPE OF SURVEY. COMPUTATIONS DATE Decli'nation ' ENGINEER OBJECTIVE /Kd/ ~,.~ ~ SHEET DE , , , STAT,Nj " COORDINATE DIFFERENCES RECTANGULAR'COoRDINATES MEASURED COURSE DRIFT VERTICAL TRUE VERTICAL SECT'N COURSE DRIFT ~L VERTICAL SECTION DIFF. DEVlAT*N DIRECTION NO. DEPTH LENGTH ANGLE DEPTH DEPTH NORTH SOUTH EAST WEST NORTH SOUTH EAST WEST 25'~'~/.8/~ qz! ~%~2o/Z11:571 1~128o o/~q/SZ75~ 3 ~ s /z/ ~ . '~ ,.' ,, · . ' . . . .' , t , , . .j , : ., , , ' . . · , . .. · . , . · .. . . · . . · , , ..... , · . ~ ' ' " ' 1 .... ~ . . , ~',,.,,.--. .c,,t , / c'J,'/ (~1~,'O _ FIELD: t~,'~l O '¢¢--q' JOB NO. LEASE ,. " TYPE OF SURLY B g C~PUTATIONS DATE Declination ~' ~0 ENGINEER ~,O~K/~.~/ OBJECTIVE ~~ p ~ .. SHEET ~ OF -.. J TRUE COORDINATE DIFFERENCES RECTANGULAR COORDINATES VERTICAL SECT*N COURSE DRIFT mm~,t ,, STAT'NJ MEASURED COURSE DRIFT VERTICAL VERTICAL SECTION DIFF. DEVIAT'N DIRECTION NO. J DEPTH LENGTH ANGLE DEPTH DEPTH NORTH SOUT~ EAST eEST NORTH SOUTH EAST I . j ' ' I / I . ',' I ,:~.~,,:,..'~, ~os /7~ ]75,51 ~7~o 87 /1~4 8~1 !~ /.(,~ ~' g7:~ 7 I , [ "" , :./J a~ I,tO !~ ~ 137 =/ "~ "' · ' ":' ' · .... '' ,. .' '~.," . ' ' . , ,, ,, ..... /0 t ,') · ' '"' , '. , , . . : , ~ ':' , , l,':" , '" - '?.;L " · ' · , ' ' ' ' j~' ~%/g ' ' "¢ 90 05/319 733 >~ 3~' ;9 }J !; w! __ . Form STATE OF AL/kSKA OIL AND GAS CONSERVATION COMMITTEE SUBMIT IN DUPLICAT[: APx NU~Em¢~ CODE 50--133--20263 MONTHLY REPORT OF DRILLING AND WORKOVER OPERATIONS O,Lw,LL [] 0,.WZLL ,~ o?.zm ExplOratory :. NA~ OF OP~.~TOR Standard 0±1 · 3. OF OPERATOR _ P. O....Box ~839~ Anchorage: Al~.~ka 90.510 4 LOCATION OF WELL At surface: 543' south and lg82' west of t_he NE corner of s~tion 25 T3N R13W SB&M. LEASE DESIGNATION AND ADL 60579 INDIA~. 8. L,~IT FArt~I OR 9 WELL Cape Kasilof #1 Wi ldc at 11 SEC, T,, R. Section 25, T3N, R13W 1~. PER_MIT 74-20 13. REPO~ TOTAL D~-H AT END "~F MON'i%i. CIiA~NG~S IN HOLE SIZE, CASING A~ C~TING JOBS INCLUDING DEP~ SET ~ VOL~ USED, P~O~TIOHS. ~TS ~ ~SULTS FISHING JO~ JUnK ~ HO~ AND SIDE-~CKED HOLE ~D ~Y O~R SIGNIFIC~T ~G~ ~ HO~ ~ITIONS "Confidential" ' 'January, 1975 Shot 4 1/2" holes in the 9 5/8" casing at 6390' - 6398'; 6411' - 6425'; 6430' - 6437'; 6464' - 6472'-, 6483' - 6492'; and 6498' - 6505'. Ran HCT #2 on perforations from 6390' - 6505'. Medium light blow decreasing to light for remainder of test. Metered gas at 2MCF/D after being open 183 minutes. Back- scuttled 2507' net rise of gassy drilling mud. Ran open ended drill pipe to 6530' and equalized 135 sacks of class "G" cement. Down squeezed 15 cubic feet under 800 psi pressure. Located top of plug at 6308'. Cemented 9 5/8' casing from 405' to the mud line . ~ 108 sacks of class "G" cement. Removed BOPE. Back out 9 5/8" and 13 3/8" casin~ from subsea hanger. Cut 20" casing at 110' and recovered. Cut 30" casing at 109' (4' below mud line) and recovered. Well plugged and abandoned 11:00 p.m. January 6, 1975. 'C ONF-IDE':NiI'A[ JAN 7 1975 DIVISION OF OIL AND GAS ANCIIORA¢,E 14. I hereby cer~j, ty ~t th~'f.,~goj~g~is true~mxt correct .... - - -- I4~TE ---.Report on this f~ is required for .each calendar ~G~th~ regardless of the status of oper~ and ~ust ~ flied oil and gas coneervafbn commiflee by fhe IS~ of the luecflding mon~, ~le~ Othlrwil. dJrecfed. l~rm No. RL"V. STATE OF ALASKA OIL AND OAS CONSERVATION CON~ITTEE SUBMIT IN DUPLICAT~ MONTHLY REPORT OF DRILLING AND WORKOVER OPERATIONS OZL [] 0,, ~ oT~a Exploratory WELL w~'.LL 2~ NA~.~. OF OPEI%ATOR Standard Oil Company of California, WOI 3. ADDRESS 'OF"O~'~:kATOR .... P. O. Box 7-839, Anchorage, Alaska 99510 4 LOCATION OF WELL At surface: 543' South and 1382' West of the NE corner of Section 25, T3N, R13W, SB&M. APl NU~ER/CAL CODE 50-133-20263 LEASE DESiG~IA~ION AND SEI~I~ ADL 605?9 IF INDIA~ AL~TT~E OR TRIBE Cape lasilof il .... .. ~ ..... F~LE: l0 FLFJ~D A_ND PC~)L. OR WILDCA Wildcat =h Src. T.. ~. M (~O~OM ~OL Section 25, T3N, R13W , 74-20 REPORT TOTAL DEP/~H AT END OF MONTH. CHA~NG~S IN HOLE SIZE. CASING AD CEMENTING JOBS INCLUDING DEPTH SET AND VOLIZMES USED. PEP~OP, ATIONS, TESTS A3~D RESULTS FI.SHINrG JO~ JUi'~CK IN HOLE AND SIDE-TI~ACKED HOL~ AND ANY O~IER SIGNIFICA.HT CI3~I~GES IN HOL~ ~OHDITIONS Confidential · ' December, ' 1974 Directionally drilled 8 1/2" hole from 10,702' to 14,015'. Ran DIL, FDC, CNL, BHC Sonic, 4 arm dipmeter, and microlog. Attempted 30 SWS, recovered 18. Ran CBL. B~idged/.open hole from 8920' to 8625' with 275 sacks ofc~ss "G" cement through open ended drill piPe hung at 8920'. CIP 12:C~i A.M. December 25, 1974. B~'.~dged across 9 5/8" shoe with 250 sacks of Class'·"G" cement through drill pipe hung at 8550'. Pulled to 8077' and circulated. CIP 1:35 A.M. December 25, 1974. Ran bit and located top of plug #2 at 8100' plug held 30,000# and 1200# pump pressure. Shot 4 1/2" holes at 680§'. Set retainer at 6800). Stabbed into retainer and squeezed holes at 6805' with 100 sacks of class "G" cement.. Formation broke down at 1600 psi with 35 c~c feet of fluid at 3300 psig. Final pressure 2000 psi. CIP 9:32 A.M. December 26, 1974. Shot~ 1/2" hole-= at 6645'. Set retrievable squeeze tool at 6451'. Squeezed hole with 200 sacks of class "G" cement. Formation broke down at 12 cubic feet/minute. Final pressure 2000 psig. CIP 5:45 P.M. December 26, 1974. Shot~l/2" holes per foot from 6655' - 6664'; 6682' - 6692'; and 6755' - 6785'. Ran HCT #1 of interval 6655' - 6785'. On test had a good gas blow in bucket, but rate too small to measure. Backscuttled 800' rise of gas cut mud. Plugged 9 5/8" casing from 6795' - 6550' with 89 sacks of cement. Downsqueezed 10 cubic feet. Located top of plug at 6507' and clean.~e~:~ out to 6550'. Shot 4 1/2~ holes at 6386'. Set retrievable cementer at 6199' and squeezed with 100 sacks of class "G" cemant, Formation broke down at 11 cubic feet/minute at 2500 psig. Final pressure 2000 psig. CIP 3:05 P..M. December 30, 1974. Cleaned out at 6550'. ci4. 'X h~'eby certi~ that'th, ~or/,Me~) is true ~ ~ ............... sto~~~~~ , ~ Development ~olo~$s~ UA~ 1/ ~ /75 .... - W. ,~. 'I'IN~IR I III si ...... i I NOTE--Report on this form is required for eaGh calendar ~th~ regardless of the status of operations, and must ~ filed in duplicate with the oil and gas conlervatMn commiflee by the 15~ of the suec~ding ~n~, ~le~ etherwile d~rected. Form No. REV. 9-~0-67 STATE OF ALASKA svBMrr n~ Dm~UCAT~ OIL AND GAS CONSERVATION COMMITTEE MONTHLY REPORT OF ~DRILLING AND WORKOVER OPERATIONS OIL [] G&8 w~L,. WZL'~ [] OTa~. Exploratory 2. NA/~E OF OP~TOR Standard Oil Company of Californi~, WOI 3. ADDRESS OF OP~TOR P.O. Box 7-839 Ancho~aq¢,. Alaska 4. LOCA~ON OF W~ At surface: 543'S & 1382'W Section 25, T3N, R13W, SB&M. of NE corner of APZ NU~EmCAL CODE 50-133-20263 6, LEASE DESIGI~ATION AND SERIAL NO. ADL-60579 ?. IF INDIA~{', ALOTTEE OR TRIBE NAME 8. LrNIT,FAJIM OR LEASE NA3~E 9. WELL NO. I0. FIELD A_ND POOL. OR WILDCAT Wildcat II. SEC.. T., R., M.. (BOiTOM HOLE O~CT~_~ Section 25, T3N, R13%7 12. PER.MIT ATO. 74-20 13. REPORT TOTAL DEPTH AT END OF MONTH, CHANGES IN HOLE SIZE, CASING AND CE1ViENTING JOBS INCLUDING DEPTH SET ~hrD VOL~ USED, PERFOi%ATIONS, TF, STS A/XUD RESULTS. FISHING JOB~. JLrNK IN HOLE A/~D SIDE-TI~ACKED HOLE AaNT) A/~Y OTH]~R SIGNIFICA2~T ~GES IN HOI~ CONDITIONS. CONFI DENTI AL November , 1974 Directionally drilledl2¼" hole 7200'-8567'. Ran Schlumberger DIL, DHC Sonic, FDC-CNL, Proximity-ML, and 4 arm dipmeter. Stuck dipmeter sonde at 4631'. Sonde slid to 856.7' during recovery attempt. Could not re- cover. Cemented 9 7/8" 47# buttress thread S-95 (3051'), 40# 8-round N-80 (5039'), and 47# 8-round thread P-110 (300') casing at 8419' with 1130 sx class "G" cement mixed with sea-water treated with 0.75% D-31 and 0.2% R-5, and 675 sx class "G" cement mixed with 2% hydrated gel through stage collar at 4226'. Staged cement calculated ~o fill to 2387'. Closed and tested stage collar to 2500 PS1. ttung 9. 7/8" in Cameron mud line casing hang~r at 116%'. Re-installed and tested pipe ramg, blind rams, fill up and choke lines to 5000 PSl. Tested tlydril to 2500 PS1. State Division of Oil and Gas waived witnessing test. Drilled out float collar at 8331' and cleaned out to 85,53'. Pl.ugged 12-~'' hole with 200 sx densified class "G" cementtreated with 0.75% D-31 from 8546' to 8343' Cleaned out to 8424', and Dynadri!led 8%" hole 8429'-85.60' to side-track dipmeter sonde fish. Directional!y drilled 8%" hole 8560'-10702'. NOTE--Report on this form is required for each calendar month, regardless of the status of operations, aDC must ~ file¢ in duplicate with the Division of Mines & Minerals by the 15th of the succeeding month, unless otherwise directed. Development GeologistuATEDecember 5, 1974 Form No. P---4 STATE OF ALASKA suB~crr i~ DUPL~CA.T~ OIL AND GAS CONSERVATION COMMITTEE MONTHLY REPORT OF DRILLING AND WORKOVER OPERATIONS 0m [] o^, E~ o~s'-~ Exploratory WIrLL WZLL NAME OF OPEt~ATOR Standard Oil Compa_~ of California. WOI . P. O. Box 7-B39 Anchorage, Alaska 99510 4. LOCATION C~F WELL At surface: 543'S ~ 1382'W of NE corner of Section 25, T3N, R13W, SB & M. ~. API NU~{ERICAL CODE 50-133-20;263 6. L~-~SE DESIGNA'~/ON AND SE~IAL biO. ADL-60579 7. IF INDIA]~, ALOTTEE OR TRIBE NAME 8. LrNIT,F.~uRA{ OR LEASE NA3~E 9. WELL NO ~CA? Wildcat u, sec., T., R., M.. (BO~'OM HOLE OBJECtiVE) . Section 25 t T3N t 12. PI~MIT NO. R13W 13. REPOi~T TOTAL D]KPTYI AT END OF MONTH, CPL~NGES IN HOLE SIZE, CASING ANT) CIKMENTING JOBS INCLUDING DEPTH SET A/ND VOLI/NIES USED. pERFOI~ATIONS. TESTS A/NqD RESULTS. FISHING JOBS. JUNK IN HOLE A_ND SIDE-7-RACKED HOLE ANT) ANY oT'HZEiR. SIGNIFICANT CI~%N~ES IN HOL~ CONDITIONS. CONFI DEN TI AL October, 1974 Dril dril 1194 5oin neat with from dril hole mixe trac led 12-~'' hole to 3500', and directionally drilled 3500'-6599' · Stuck · ' 1 pipe9 determined free at 5429' Shot and backed off at 5398' leaving ' fish in hole (consisting of drilling set-up, 2 8" drill collars and 6 ts of drill pipe). Could not recover fish. Pumped 689 sx class "G" tl~"~-~iuqh fish at '65-92. Displaced cmt with 431 CF mud. Plugged hole 246 sx class "G'" mixed with 0.75% D-31 friction reducer and sea-water 5396' to 5220'. Drilled out cement to 5269':- Jumpe.d plug with Dyna- 1 and direcf-ionally drilled 12¼" hole to 5398'. Fell back into old at 5398'. Plugged hole with 216 sx ~.class "G" treated with 0.75% D-31 d with sea-water from 5396' to 5235'. Drilled out to 5244' , and side- ked old hole. Directi~nally drilled t2¼:' hole 5244' .--7Zc'o~. 14. I hereby ceE~ifY ¢l~t tt)~ fore~gg~g is true axed correct __TITLE ~vc~lcpmcnt Ccolo.qi$~A~ De~en,bu~ 5,1'974 NOTE~Report on this form is required for each calendar month, regardless of the status of operations, and must be filed J~ doplJcate with the Division of Mines & Minerals by the 15th of the succeeding month, unless othe~ise directed. Form 10-403 REV. 1-10~73 Submit "1 ntentions" in Triplicate & "Subsequent Reports,' in Duplicate STATE OF ALASKA OIL AND GAS CONSERVATION COMMITTEE SUNDRY NOTICES AND REPORTS ON WELLS (Do not use this form for proposals to drill or to deepen Use "APPLICATION FOR PERMIT---" for such proposals.) WELLI.--.jOIL r'"] WELLGAS D OTHER Exploratory Well 2. NAME OF OPERATOR ~ Stanc]arc] O±l Company 0f Californ±a W.OT. 3. ADDRESS OF OPERATOR P .0. BOX 4. LOCATION OF WELL At surface 5437 South aRc] 1382~ West of Northwest corner of Sec: 25,T.?~N%~R. 13 W.,/ SB & M. 13. ELEVATIONS (Show whether DF, RT, GR, etc.) 69' above mean sea level 14. CheCk Appropriate Box To Indicate Nature of Notice, Re] -", 5. APl NUMERICAL CODE 8. UNIT, FARM OR LEASE NAME 9. WELL NO. Cape Kasilo~ ~1 10. FIELD AND POOL, OR WILDCAT Wi ldcat 11. SEC., T., R., M., (BOTTOM HOLE OBJECTIVE) Sec. 24; T. 3 N. R. 13 W. SB & M 12. PERMIT NO. 74 -52 3ort, or Other Data NOTICE OF INTENTION TO.' TEST WATER SHUT-OFF FRACTURE TREAT SHOOT OR ACIDIZE REPAIR WELL (Other) Drill PULL OR ALTER CASING MULTIPLE COMPLETE ABANDON* CHANGE PLANS SUBSEQUENT REPORT OF: WATER SHUT-OFF ~ REPAIRING WELL FRACTURE TREATMENT ALTERING CASING SHOOTING OR ACIDIZlNG ABANDONMENT* (Other) Sic]etrack (NOTE: Report results of multiple completion on Well Completion or Recompletion Report and Log form.) 15. DESCRIBE.PROPOSED OR COMPLETED OPERATIONS (Clearly state all pertinent details, and give pertinent dates, Including estimated date of starting any proposed work. Well Cape Kasilo~ of #1 has been drilled to 8567'. During logging of well, left dipmeter sonde in well at 8553% 9-5/8" 40 & 47#, S & N casing was cemented at 8419 with 1130 sacks of class "G" cement and fthrough stage collar at 4226' with 675 sacks of cement. The hole was bridged with 675 sacks of cement, from 8546'. It is planned to sidetrack junk in well and continue to drill ahead as proposed in our permit to drill approved November 13, 1974. NOV ~ .~ t~%! D!V~:i©['~ C j: ©I_L AND GAS ANCHORAG5 SIGNED (This space for State office use) APPROVED BY CONDITIONS OF APPROVAL, IF ANY: TITLE Area Supervisor DATE TITLE DATE See Instructions On Reverse Side November 13, 19-74 Cape Kasilof %1 - Revised ~ottc~ hole location Pe~it No. ~r. J. L. ROWland Area S~rvtsor Stan~ Oil Compan~ of C~lifornia P. O. BOX 7.-839 Anchorage, Alaska 9951D Dear Sir: Enclose~ is the approved application for permit to drill the above re- ference4 well, on or about September 10, 1974, from floating drilling equipment, at a l~a~ion in Section 25, Township 3N, Range 13W, .~.M. This application .supersedes Permit No. 74-20 which is canceled as of "this date. Well samples, core chips, and a mud log are required. A directional survey ts required. Many rivers in Alaska a.nd their drainage systems have been classified as imp-ort~nt for the spawning or migration of anadromous fish. Opera- tions in these areas are subject .to AS 16.50.870 and the regulations promulgated t~hereunder (Title 5, _Alaska Administrative Code). Prior to ~nc~ng operatio~ns you may be comtacted by the Habitat Coordinator's office, Department of Fish an~ Game. Pollution of any waters of the State is prohibited by AS 46, Chapter 03, Article 7 and the regulations promulgated thereunder (Title 18, Alaska Administrative Code, Chapter 70) and by the Federal Water Pollution Controi Act, as amended. Prior to commencing operations you may be contacted by a representative of t~he Department of Environmental Conservation. Pu~uant to AS 38.40, ~al Hire Under State Lease-s, the Alaska Depart- ment of Labor is being notified of the issuance .of this permit to drill. Ve~/truly yours, Chairman Alaska 0it and Gas Conservation Committee Enclosure Department of Fish and Game, Habitat Section w/o encl. ~par~nt of Enviro~ntal Conservation w/o encl. DePar~nt o~ L~, Supe~isor, Labor Law Compliance October 23, 1974 Mr. A. B. Scouler Alaska EXploration Representa,tive Standard Oil of California ~.0. Box 7-839 OF£1c~ Anchorage, Alaska 99510 Dear Mr. Scouler: ~ ......... ............. R~ ...... cap~ Kasilof Biological Sampling, SOCAL Explor.~tory . . .Sampling, SO~ Explo . Drilling Site Enclosed is the re~ assembled by Mr. Loren Bo Flagg, our-project Biol- ogist in Homer, on the results of the biological sampling, performed during September 10-13 at the Standard Oil exploratory drilling Site at Cape Kasilof. The sampling resultS show the presence of a rich and varied benthic fauna at the exploratory drill site. _Two significant findings, the occurence of juvenile Tanner crabs and discovery of early juvenile stages of Razor' clams in a small sediment-sample collected by the pipe dredge, early juvenile stages almost never seen in the intertidal and subt±dal Razor clam beds, subStantiate the needs to carefully assess the biological values of any Potential oil and gas site in Cook Inlet. The findings also ',,%%nderscore the validity of' initially req~iring the dumping ~.-~d dis- charge constraints Specified in the permits to insure proper safe,s for the biological resources of the area. The results of the biological sampling warrant continuation of the no- dumping and discharge restrictions specified in the permits. Mr. Loren Flagg and I will gladly answer any queries and/or discuss the significance of the findings whenever required. SinceT.,e%Y, . M..~'P. Wennekens, Phd. Supervisor, Coasta~abitat Protection Program cc: M. Smith T. Trent ~'''~ H. Burrell 02-001B (REV, 08-73) ~IRU: MEMORANDUM ~! 'DEPARTMENT OF NA~ 'RESOURCES DIVISI~ OF OIL AND GAS TO: ~ Homer L.B IZ,. Director Hoyle H, Hamil'~m ~ Chief Petroleum Eng~e-r' FROM: ~le. um Engine%r State of Alaska DATE: FILE NO: TELEPHONE NO: SUBJECT: October 21, 1974 Field Trip Report-BOPE Test on Socal-Cape Kasilof No. 1 Well, Cook Inlet .._2_8,, !97.{a- I recei~ a relayed message at 3:00 A~ _~hat l~O~'r-~ulct' 'be.-~ .y .to test bl~ut ~reventer ~ipment on the ~ptto~ ~11 lair in ~e ~ay. I tr~ed, t0 ~1~ f~_~f~ere~}_ __ (277-1433) ~4 ~i~d ~e ~ ~~e Drilling C~any n~er (549). i '~i1~ th~ but ~ald ge~ ~ ~r. At 7:15 ~ I ~ache4 Bob Wa~er, ~.1 ~~r f~r S~ ~~ on ~ "~rge F. Ferris" ~illi~ b~ge' by r~io pho~. Bob r~dY for a BO~ press~ ~st ~at ~~ng. I left ~e i~ediately ~a ~a~ht ~ In Kenai i ca11~ ~e d=illing ~r~ (283-4660) and ~lked to Cecil B~, ~e So=al ~illtng fo~n. He said ~e'. Socal contract char was ~a~. ~o leave the barge for ~e ai~~ to pick ~ up. The =h~r arriv~ shyly but o.~ 4~art~e was delayed ~til 10:15 ~ ~tle we waited for a s~11 ~l~e, 5000 psig, pne~atic p~ to a~ive fr~ ~t~- Kenai. The p~p was needed to press~ test i ~t Cecil B~c~ ~ arri~l ~ the "~rge F. Fe~is" drilling barge at 10:30 ~. A Sho~-h~ded crew was still nippling up 5000 psi W.P. BOP ~~t on 13 3/8" ~sing. Cecil sh~d me ~eir BOP s~ck, c~ke .~fold, .gas breaker, ~d gas flare stack extending to ~e ~ of ~e drllli~ rig. ~ l~k~ at ~h.e pit level ala~s, ~ ~in ~ont~ls. a~ r~~ c~'t~ls, inside drill pipe BOP and keliy ~lves. I ha~ Ce=il o~n ~ close the new flor safety valve. Cecil e~la~ the ~ and ~ney ~n~ng proceedure of catching all drill_, cuttings ~ .~ ba~ha~ed to shore ~or disposal. This pr~ts a critic1 tl~ factor as their drilling barge is not con- st~ed to wi~and likely that the barge will have to seek shelter ~fore ~ well is ~ieted. Cecil ~lai~d ~e pr~eed~e ~d sh~ed m~ pict~es of ~e: ~ck.~ff ~vi~s installed with the casing, which will enable t~ to back--fl all ~~g strings 12 feet bel~ the mud line, cap ~e =asia, an~ ~n ~t~ lair for ~ent~ into the s~e hole; if this ~~s ne~ss~. .Ni~ltng ~ was =~le~ at-~d-afte~oon. They atte~t~ to set ~e ~es~ plug ~ ~ ~tt~ of the ~illing spool but it hung up on a p~~di~ blind r~ at ~e bott~ of the BOP stack. Repeated ertals, fail~ ~ o~n. ~e?~blind r~s co~letely. Due to the shortage Of ro~ecks which reSUl~d in the crew putting in long hours, work was-st~' for ~e ~y .at- ! :09 PM. -. . H~r L. Burrell -2- October 21, 1974 I spent the bal~ce of the day looking over the barge and visiting with Cecil and Bob ~ile they tried to .round up new roughnecks by phone. Septe~F. 2_9~,. I~4 - At 7:30 ~ Sunday morning Cecil started the crew ~a~'~~'-~--blind ram BOP to determine the opening problem and also to ~n~11y remove the obstruction to the test plug. After seating tM test plug the system could be pressurized so leaks could be detected and repaired. While disas~ly was in progress Cecil contacted Don Ritz, the C~ron BOP ~resentative in Anchorage. Don told Cecil a few things to 'tx-f while he was enroute to the barge. During this time ~he hydraulic jack operator showed me how the barge is jacked up aut~tically in 22" steps; one, two or four legs at o~ce. By early aftern~n the~ blind ram BOP was disassembled, the test plug was seated, pressure was applied to the choke manifold and top pipe rams, and the ~pair of subsequent leaks was started. Don ~itz arrived by chopper at 3:30 PM. By 5:00 PM; after looking at the disassembled BOP, studying cut-away drawings, and talking to Cameron engineers in Houston, Texas; it was surmised that Cameron had mistakenly installed a piston for a 10,000 psi BOP on one side of this new 5000 psi BOP. This would allow the blind rams to close completely but prevent one ram from opening by 1 1/2~. Cameron agreed to send an engineer with the correct part from Houston by c~ercial jet Monday morning. Don Deitz esti~ted repairs would be completed sometime Tuesday. I told them to call me when they were ready to test and caught the 5:30 PM chopper to K~nai. All Sunday commercial flights were full so I chartered SoldotnaAtr Semite to Anchorage arriving at 6:45 PM. September 30~ 197_4 -.At 5:50 PM Cecil B~-ace called me at home. He ~a~a-~h~'~h~-~~.Opsi piston was being installed, leaks in the BOPE system had been repaired and a pressure test could be achieved in about two hours. I departed on the next commercial flight at 8=10 PM, arriving in Kenai at 8:45 PM in ve~ strong winds. The Socal chopper was wait- ing for me and I was on board the "George F. Ferris" at 9:10 PM. I fo~d Cecil, Bob Walker, Don Deitz and Cecil's replacement, Walt Davis, in the drilling operations office. They were ~tudying a Cameron BOP ~nual to determine why the new piston wouldn't fit. They decided that the new piston was slightly egg shaped and had to be turn~ d~. The part was loaded into the waiting chopper and sent to Kenai. A Kenai machine shop was alerted by phone to pick up the piston and ~e correct dimensions were given to him. Winds were still picking up at 10:00 PM when the chopper radioed that he coul~'t return until he fuelled up at 8:00 ~ in the morning. Radio contact with the supply boat verified that he could not return with the piston as the water was too rough to approach the Kenai dock or the drilling barge. H~r L. B~reil -3- October 21, 1974 October 1, 1974 - Winds had picked up a little more during the night ~'~['~-~~! made his onlY flight of the day, precariously deliver- ing the ~Chined Piston at 8:40 ~. At 2:30 ~ the blind r~ BOP was reassembled. The test plug was seat- ed in the-bottom of the drilling spool, the hydril was closed, and the outside valves on the choke manifold and gas vent line were closed. The hydrfl was thenpres~re tested at 2500 psig through the kill line for 20 ~nutes without leaking. The hydril was opened and the top pipe rams were closed. Pressure was applied and, after repairing two leaks, the small volume 5000 psi ~ reached its limit of 3250 psi. Since ~ require a 5~00 psi pressure test, Cecil called a B. J. Company cementer to ~ to the barge to operate their high pressure cementi~ pumps for the test. A few minutes later Cecil was advised that all aircraft at Kenaiwere grounded due to the high winds. Rather ~an do nothing until the weather improved, a nitrogen bottle was connected to the pneu~tic pump. The choke manifold and pipe rams were pressured to 4150 psig before a flanged joint started leaking. Leak detection and repair at 4150 psig continued through the after- n~n and night. October 2, 1974 - The wind had slackened some by morning and the ~i%~d~ at 8:00 AM with mud engineers, some roughnecks and a B. J. cementer. B. J. started immediate~ piping their pumps to the kill line. At 9:00 ~ a successful 5000 psig pressure test was obtained on the choke manifold and gas line to the outside valves, and the top pipe rams. Successful 5000 psig tests were then made on all valves in the system, the lower pipe rams, the blind rams, the kelly cock, and stan~ipe valve. The normal ~ remote BOP controls were both used to actuate the BOPs. I had already checked the inside BOP, floor safety valve, pit level alarms, housekeeping and all other pertinent drilli~ operations and found them satisfactory. The test was completed at 1:00 PM. I indicated all items were satisfactory on a "Field Inspection Report" and on the Drillers' Log. I gave Walt Davis a copy of ~ report and later mailed a copy to J. C. Rowland, Socal area supervisor, in Anchorage. A copy is attached. I departed ~e "Geo.rge F. Ferris" drilling barge by chopper at i:10 PM for Kenai. I then flew commercial to Anchorage arriving at 3:30 PM. In s~~f, i Checked drilling operations and pressure tested BOP equipment satisfactorily on the captioned offshore drilling well. JCM:cha AttaChment · : ........................ . ............... -~.:,,,~ .......... ii,.,~',,,. ...... . ........ ~,~?.,~.,: , ..... .... ....... ' ................................................. ~.~,..~:/,:'.~:'~.~;'~.~ .~,;.?".~'."'~.....') ". "~:";,{:'.~)~'?~..'.'. 1..:'.-:.~!i.~:~n~/ r~ .~* {~ .{ ) 11. ..... ~i'~01d'. 'P'r~r~;"~,~t ~:'~.~;'~:. ......... :..' ....... {'~.~;.."~.:... . . · ( ) ?:" . .' ..... ::%: ......... ,'. ..... ':. :.' · ..:~ ~... . . . .....,..{.?~.:~,::~'. .'. ..::,'~.: . . .. .. . · . . ~... . . · . }~:'¢~'... :.~ '".: .~':'.:~?.~:.'.." :S~.~".,'~[~es~Snbs~rfae~'' (.".) . { '.) 1~. ~it"'. ~. '~. . .'"' '. ..' ." .'..":.'.::? '....' :...." ':.. ~[~'.. ~' ""':":;'.:{?~::'.:}~?'/.'.'.~"~?. '~'.':~i~Sf~' S~s[em :. ('".): { ') lS.. ~oeat~on ~m' "'...'/:"/'"'~" '..: :?~'~ '{~.' '?.:(~".~):?.:.'-"~? :R~o~e'.C°~trol~ ...' ('). { ) . 16.'.' .h~i' ~. " .' ':.' :'"":'""' · '~."'"~. ~....~?/' .~::".. ':.'.'.:~";:~::~IC:~::~'~:::~"~[:~:~'......,~ - ? .:.--. -------~ r--- ..----- - n~t:.~"~i'~:~: S~:~.i::~i.i..~:~.-t, ~,t~" .( ) 17. Op~ratfon~'" "' "'"" "' .off." "'" ' ' ~" ....... "~""'.S., '':~'' r~.e...~'~ ':~ ~"~".:" ~."~)'.~. .' 'o~:g~' . ~; '"',: ~? '~?¢"> '.i?. '".~." . · · . · · . ;:)'~::~.. {~":'. ".::~{.~?~:.:..:;?....~..:~6~,..: ~.10w :'Lln~ · . ~' (~.). 18. '~n~r~l.:.H0~eke~p~,"'.'... '... '..'.: . '~.'/..' -'(~:'::.'.:".~.:.....~::.~(~:~?:~'~'~.'~.~i'O:~; :.;~-:~d~..:"C~e~,..:~ :' (?)::' (.' :) "':'.20; "mt:er,.~.~e:~.i'~..· '~.o~.~a'..~.~.:,?~:..:?~.':'~::~:~:..'...'{~.:~¢..~ .:. ,".:?.:' ~(',': :~. " ,~:;:.. . ' ...:.~ .... . · : '. ........ :' · .: ....,..' ;'.".';'::~:',:~"~':.:..'. :.~,?:..-.. '.:. ~:'gL'.'... ','~ '.}'.~.'.' '.'..,:~...? .. ..... : . ~,, (.~.,~::Y:'::.:': t.~::..: :, .?.'~ ':.'; ............ '....:..:' ...... . ............. : .......... -,,...::.::...~ .:..:..... ...... · ..... ~, ~ .... Z , ......,: .,.; .~...../.....~,...?..~ .: ...{,~;.~:..~.:.i?.... i~::~.:;~, :..' :'.:.??'.~'~...":~; . . :.j~. :.. ~..; ,...: ......'. ': ' ",:'..L ' ' ".~:.. :..;..~..?.,.;~,/..:.~.:~: .. ~. ~.......~: ..,.:: ,.:....?:../:. ,...., ':... ,:.- .. '~{~. · ...?:', ::'..,.,.~.~g~¥? .., :...,, ...:..J....,.:. ~. , .. ,. .... ....~, ..,.'?.. ~........; . .: ,..,; .: .................::~t ~' ~.?'. :: ..... ~ . ... .. . :...: . .:.....: . ;. ~:~,.'~........:... :.'., .. Z[.......... Standard Oil Company of California, Western Operations, Inc. P.O. Box 7-839, Anchorage, AK 99510 · Phone (907) 279-9666 J. L. Rowland Area Supervisor Producing Department October 11, 1974 Mr. Hcaner Burrell, Director Division of Oil & Gas Department' of Natural Resources 3001 Porcupine Drive Anchorage, Alaska 99504 Cape Kasilof #1 Exploratory Well Dear Mr. Burrell: Enclosed is a revised Form 10-141 "Permit to Drill or Deepen" to drill the subject well as a deviated hole. The surface location will r~main the same; hc~ever, due to subsurface considerations after logging· at 2502' ,we nc~ plan to. directionally drill the' well to a bottcm hole location which will be 207, North. and 82' West of the Southeast Corner of Section 24, Township 3 North, Range 13 West, S.M. The well will be directional to that bottcm hole location which Will be reached at approximately 8,000' and frcm 8,000' to total depth the well will ~ drilled as a vertical hole. The attached plat shc~s the leasehold interest in the vicinity of the bottom hole, and the bottom hole location Will be 82' West of the leaseline of ADL-60597, which is awned by Standard. As to 11AAC22.050 (b)(C), as shown on the plat, there are no affected operators. Since the bottom hole location is closer than 500' to lease ADL-60597, please consider this letter as an application for an exception to regulation llAAC22.055 (a) (1). Also attached is our check in the amount of $100.00 which is the fee for filing the Permit to Drill or Deepen. As provided under llAAC22.055(b), the undersigned is acquainted with all the facts, supporting the application for exception and acknowledges that such facts are true and tb~t the attached plat is accurately drawn to scale and permit application correctly reflects the pertinent data concerning the exception request. PFM:nh Enclosures OCT ~ '" ~,~/:,~ICN,~[: OIL AND GAS ANCHORAGE Form 10-- 401 -~.~V. I--1--71 IR. TYPB OF WORK STATE OF ALASKA SUBMIT IN TRIP'YE OIL AND, GAS CONSERVATION COMMITTEE PERMIT TO DRILL OR DEEPEN DEEPEN (Other mstruetior, reverse side) DRILL IX] b. TYPE Or WELL O,L [] °'" I-1 "'~L" E3 WILL WILL 0THII ZONI ION 2. NAME OF OPE:TLATOR , 3. ADDR~ ~ OP~R P. O. ~x 7-839~ ~ora~e~ ~as~ 99510 S, API 950-133-20263 6. LEASE D~IGNATION AND S~/AL NO. ADL-60579 IF INDIAN. AL~O-z-k~:~. OR TRIBE NAME 8. UNIT FARM OR LEASE NAME '9. WELL NO. CAPE KASILOF 91 10. FIELD AND POOL. OR WILDCAT ti. SEC., T.. R,. M., CBOTTOM HOLE OBJECTIVE; Section 24, T. 3N.t R. 13W., SM 1~. 4. LOCATION OF WELL At surface 543' South and 1382' West of the Northwe~ Corner of Sec. 25, T. 3 N,', R. 13 W., SB&M At proposed prod zone 207' North and 82=' West of the Southeast Corner of Sec. 24, T. 3 N., R. 13 W,, SB&M, 13. DISTANCE IN MILES AND DIRECTION FROM NEAREST TOWN OB POST OFFICE* ADDrox/matel¥ 18 miles to Kenai 14. BOND INFOI~MATION: TYPE Statewide Surety and/or No. 9451636 15. DISTANCE FROM PROPOSED* LOCATION TO NEAREST PROPERTY OR LEASE LINE. FT. 82 ' (Also to nearest drig. unit. if any) 18. DISTANCE FROM PROPOSED LOCATION* TO NEAREST WELL DRILLING. COMPLETED. OR APPLIED FOR. FT. NO. OF ACRES IN LEASE. 1920 PROPOSED DEPTH 15,000' TVD ~-,,*,.,;. $100 ~ 000 l?. NO. ACRES ASSIGNED TO THiS WELL 160 20. ROTARY OR CABLE TOOLS 21. ELEVATIONS (Show whether DF, BT, GR. etc.) 22. APPROX. DATE WORK WILL START* 69' above mean sea 'level currently drilling 23. PROPOSED CASING AND CEMENTING PROGRAM SIZE OF HOLE SiZE OF CASINC,~ WEIGHT PER FOC~ GRADE ' SETTING DEPTH quantity o~ cement _ " 30. "Heavy Wall - _ 147' Driven, existing '- . 26" 20"= 94 H-40 498' 850 Sx, existing 17 1/2" 13 3/8" 68 K-55 ', ~O~' 158~ *X, exist..'.~ 12 1/4" q 5/R" 40-47 R&N R268' First s~A~e 1100. Second 1006 8 1/2" 7" ' 32.29'~26.23- S-95 ]Ma~'15000' Two st~7~,. ~ 750 sacks Well Cape Kasil°f 91 was' Originally apProved as a vertical hole. Based on subsurface considerations after logging at 2502 ', we now propose to directionally drill the well to the above bottcm hole location. The directional program, a copy of which is attached, specifies a KOP at 2502 '/~i-~the above bottom hole location achieved by 8,000' TVD. Frcm 8,000' to TD the well will be drilled as a vertical 'hole. All other steps of our original drilling proposal remain the same. TN' ABOV'~ SPAC'~ D~SC'R/BE I~ROPOSED P'R,X)C.R~: ,! p1~oposal Is to dee.. CB 1 'vertical depths. Give blowout preve.nter ProgTam. . 24. I hereby certify ' ~ ' i! ~ . __,.?.C_.Uo_0__*_~E . CONDITioNs OF' APPROVAL, IF AN~':" (This space tor State office use) 1 DIRECTIONA/. SURVEY RE~ ~YES ~ NO *~ luau. ~ Reve~ ~de ormm ~unumm~m: SEE TRANSMITTAL · d t;,. 6.0. / z ?. A.KI: m~t~uc~ co~= lc /77~ November 13. 1974 SOCAL AD, L- 60578 E X P 6-30-:83 BEVISEI) _ - - i ii il i i i i SOCAL ADL '60594 EXP 6- 30-83 SOCAL ADL- 36502 EXP 9-;50-77 23_ 24 KASILCF S'T. ~.~ UNIT NO.2 ~ 19 ~6 T. 3 N., 35 CAPE KASILOF NO-I SOCAL ADL-60579 EXP. 6- 30-83 . 25 R. 13W. The Sisters ,CAPE KASILOF I BHL 20'7'N. & 82~W. SE' COR SEC. 24 SOCAL ADL-60597 UNION KASILOFUN.~ NO. I --' 30 EXR 6-30-83 -- UNION , ~ KASILOF ~u. ,~.. .... '1'. 3 N.,! R. I~ W. , L ,, STANDARD OIL COMPANY OF CALIFORNIA WELL LOCATION PLAT CAPE KASILOF NO. I COOK INLET -- ALASKA · .... -~ ~ · ~. o, , '2,~6 , ,,oo~ 5CALIF IN FEET Form No. P.-.4 STATE OI~/A.LASKA OIL AND GAS CONSERVATION CON~I'i-rEE SUBMIT IN DUPLICATI~- MONTHLY REPORT OF DRILLING AND WORKOVER OPERATIONS Exploratory NAME OF OP~2{ATOR Standard 0il Company of Cal±forn±a~ WOI 3. ADDRESSOFOPERATOR P. O. Box 7-839, Anchorage, Alaska 99510 4 LOCATION OF WEI~L At surface: 543'S and 1382'W of NE corner of Section 25, T3N, R13W, SB & M. ~ API NLTNIERiCAL CODE 50-133-20263 LEASE DESIGNA~ON AND S~IAL NO ADL-60579 IF INDIA~ ALOIi~ OR TRIBE NAME 8. L~IT FARA~ OR LEASE NA3~E 9 WELL NO Cape Kasilof 91 Wi ldcat SEC, T.. R. M ('BO'FTOM .OL~ Sec. 25, T3N, R13W 1~. PEP, MIT NO 74-20 13 REPORT TOTAL DEPTH AT END OF MONTH. CNA~NGES IN HOLE SIZE, CAS1NG AND CEMENTING JOBS INCLUDING DEPTH SET A2CD VOLUMES USED PERFORATIONS. TESTS A/XVD RESULTS FISHING JOB~ JUI~K IN HOLE AND SIDE-TRACKED HOLE A~D A~IY OTH]gR SIGNIFICANT CYIAN~F~S IN HOI~ CONDITIONS CONFIDENTIAL 'September,'1974 Drove 30" conductor to 147' and spudded well on September 10, 1974. Drilled 17 1/2" hole to 510'. Opened hole to 26". Cemented 20", 94#, H-40 casing at 498' with ~ sacks of cement mixed with 2.4% gel by weight of water. Good cement returns to the surface. Installed 20" Hydril and CSO rams. Drilled 17 1/2" hole to 2502'. Ran Schlumberger DIL, BHC Sonic and 4 arm dipmeter from T.D. to 498'. Cemented 13 3/8", 68#, K-55 casing at 2487' with 1581 sacks of neat and 2.4% gel cement. Had cement returns to the surface. Installed 13 5/8" - 5000 psi dual pipe rams, CSO rams and Hydril. Pressure tested all BOPE. Tests witnessed by John Miller of the State Division of Oil and Gas. CONFIDENTIAL _ 14. I hereby certify tl~t the fore~, trl~e ~ eOrl-e~ / - . !~ Development ~oloq. ist ~ 10/~/74 ,~. ~1 'Z'l~ ~ ~NOTE --Report on this fora is required for ~ colendar ~th~ regardless of the ,lotus of o~erotlons, and must ~ fil,d in dupli~/, wit~ the oil ond gas conservation commiffee by the 15~ of the su~c~diflg mon~, ~le~ Otherwisn d~rscted. Septe~ber 25, ]..974 ?,Lr'. A. B. Scouler Alaska Exploration R._~re ....... t_v~ //, /~? Standard Oil of California -' Box 7-839 Anclnorag e, Alaska 99510 .__ Dear ~,~. Scou!~ /'~ ............ Re= ~C~pe K~~'-'~iologica! Stump!lng, SOCAL E~loratory Drilling Site ~.Enclosed for your ~nformation, is a memorand~ from b~. ~x~.ren Flagg, -our pro~ect biologist in Homer, briefly reporting on the results of - 'biological sampling at the Cape Kasi!of szte. preliminary results indicate significant concentrations of juvenile Tamner crabs in the area. ~uan~z~ca~on of sampling is presently being done; a full report should be available shorh!y after - Mr. Loren Flagg is released frcm the hospital, ~fter minor s~rgery. The ~'" }-~ .... of losses o~: fishing ...... -~ due to v~"-"~i traffic " ~ ' ........ n~-~-~ ,,= would b~ that traffic a recurrent one; one o~ our rec~.~,~n .... =~..o.~ corridors be established to altiviate the problem. I shall 'be in Anchorage during October 8 - 11, and would like to get together with you for a fuller, briefing an~' discuss items of mutual interest. If al! qoes well, I shcu!d have a house ready to move into by th6 first of Nove~oer and shall be fully moved into ny/ F=n chorag e of fi ce ~ ~UBLIC HEARING PROPOSED EXPLORATORY WELL STANDARD OIL COMPANY -_ COOK INLET HELD IN SOLDOTNA, ALASKA 11 JULY 1974 US ARMY ENGINEER DISTRICT, ALASKA CORPS OF ENGINEERS PO BOX 70O2 ANCHORAGE, ALASKA 99510 SE? ~ 8 1§74 D[V[SlOl,4 "--,F OIL /,,ND GAS ANCI"tORAGE INDEX PAGE NO. 1. Public hearing ................... '1 2. Public notice &.mailing list ............ 55 3. Attendance record ................. 65 4. Standard Oil's application plan .......... 69 5. General plan of area ................ 71 _ - ? 10 11 - 12 13 15 16 - 17 18 2O REPORT ON PUBLIC HEARING i ~ i~ i i i i COLONEL DEBELIUS: If I might ask you to take seats if you will, we'd like t-o get under way. Good morning', ladies and gentlemen. My name is Colonel Chuck Debelius. I am the Alaska District Engineer. And the purpose of this meeting is to discuss the application of Standard Oil to drill an exploratory well in Cook Inlet in an area which is a part of a State lease, roughly tweive and a half miles west of Kasilof. The meeting itself is being held in response to requests that were made by a number of citizens who asked for such a meeting. Now, frequently we get such requests, not necessarily representing opposition or favoring of it actually., but simply to find out what it's all about so the citizen can then form an opinion as to what he should desire. This morning we'll do several things, and I'd like to talk about those for a moment. We'll give the applicant an opportunity to describe what it is he proposes to do and how he proposes to do it. And then any of you who might care to speak on the subject is asked to come up and so speak, and we'll try to do that in a more or less orderly way. I have one or two lists that are going around. If you have not had an opportunity to put your name down on it, please do so. Bven if you don't intend~to speak, we'd like to have your name, because that lets us a~ least know how many citizens were represented at a meeting of this type. So in the process of discussions that go on in the preliminary way here, if you will, I'd appreciate .it if you'd look around for that yellow list if you haven't yet seen it. I'd like to say a little bit about permit a~pplications in general, and this one in particular, so that you'll know what my role is-as the District Engineer. As many of you know, any time that work is to be performed in navigable waters, the Corps of Engineers becomes involved under the authority contained in the 1899 Rivers and Harbors Act, Section 10, in particular, which requires the Corps to issue permits to those who desire to do such work. " Now, that 1899 law has been modified over the years in a variety of ways so that in some cases, for example, permits having to do with discharges in particular, are now'handled by the ~nvironmental Protection Agency and others by a variety of other amendments which have us, for example, coordinating with certain agencies who have direct interest. For example, I am required by the Fish and Wildlife Coordination Act to coordinate GOUI~T REI~ORTINO B~:RViG~' 4OI K 8T#l:ll:'r ANCHOI~AgI~, AI. AIKA gg~OI 10 11 12 13 14 15 16 17 18 19 2o 21 22 23 24 25 any of my permit applications with those agencies who are concerne( with fish and wildlife. This includes the Alaska Department of' Fish and Game, ,the. National Marine Fisheries Service, the Fish and Wildlife SerVice and so forth. In general when we issue a permit or make a decision as t.o whether' a permit Should be issued or not, the decision is bag'ed on what we call the public interest. And' the public interest can be defined i.n a variety of ways. In some cases you can say it lies in the mind of the beholder. But just to give you some specifics about what the public interest considers, let me read you some of the th.ings that we look at when we consider a permit application. ConServation, economics, aesthetics, general element concerns,~ historical values, fish and wildlife values, flood damage prevention, land use classification, navigation, recreation water supply, water quality, and in general the needs and .welfare of the people. Now, that is a big variety of words and I'm sure you could add many more. The point is that any permit that we consider is considered in light of what you, the public, believes is appropriate. And so it's very important if there is a substantial interest on the part of the public to hold a meeting of this type, because it's neCessary for me to get your views. I can best determine public -interest in my mind if I have your views. Now, about oil drilling permits in general. A previous determination has been made, and I think properly so, that when it comes to production and development of oil from areas in navigable waters, it's quite clear that an environmental impact statement is required. On the other hand, when we are talking not about production and development but about exploration, which is generally a transitory thing, taking a short time in an area and then moving On, the question of whether or not an environmental impact statement is required has to be determined as a function of what you, the public, perceives and what I necessarily perceive as a Federal"official in so far as the significance of the Act is concerned. And I might say that in general when we talk about environmental impact statements, the environmental impact statement is required of me in any case where there is a majc~r Federal action having significant environmental impact. Now, the definiti of the word "major" as far as the Federal action is concerned, and the definition of the word "significant" as far as environment impact is concerned are very tough things. And many people define them in different ways. In fact, if you look at the history of court decisions in the past year since the Act, which we call NEPA, the National Environmental Protection Act, was passed, you'll find that the courts have defined these terms in a variety of ways. But still we don't have really precise definitions. B a I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 a[ 5 7 8' 10 11 _ 19.¸ 13 15 17 18 2O 21 22 23 24 25 For oil exploration I think you'll find if you'll 10ok at the last several years in what permit actions have shown and what precidents have been set, sometimes permits are issued for exploration on the basis that the environmental impact of~ exploration is not. significant. At 'other times, in particularly difficult areas, the permit is held up until an E.IS is complete. Again the term "significant" has to apply in a particular area. In the case at' hand we really have at issue a couple of things. One, your views as the public on whether or not a permit should be issued for this particular action; and, two, your views as the public on the significance environmentally of the act of exploratory drilling. Now, I realize that many of.you have concerns about eventual production and development., as must any responsible citizen, but the permit action that we have today is not for production, it's for exploration. And so I would very much appreciate when you do give us your views that you in particular address that subject. In the event that a permit is issued for exploratory work, it does not necessarily follow that some time from now a permit will be issued for production. Because, as I say, before production permits are issued an environmental impact statement must not only be prepared, and it has been, but must also be coordinated -- it must go to the Council for Environmental Quality. It must be reviewed there. It must stay. there for a certain specified period of time and so forth. O.K. Having said all those things, I'd like to say a few words about how the meeting will be conducted today. I'd like to try and keep it as informal as possible. I do have with me a number of people Whom I've brought purposely because some of you may have questions about our work. The lady sitting here at the front table with me is Miss Aurora Loss, head of our Permit Section, and She has done so for some years in the Alaska District Sitting in the audience are some representatives from my Environmental Section, and if you do have particular questions about environmental matters, I will call upon them as necessary to answer them. In particular, Lt. Judy Benson over here. Judy, will you stand up a moment. Is from the Environmental Section. And Bob Wienhold. Bob. And both of these people are available either-during the formal portion of our discussions or, if you wish, when we take a break. If you'd like to talk to them individually, please feel free to do so. I intend that we should begin by asking the applicant, as is normal, to describe what it is he proposes to do. And I think he may even want to address some of the safeguards that he believes B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 10 11 12 13 14 15 16 17 19 Having said all those things, and rather than take all day, let me one more time suggest, particularly for those of you who have come in late, that there are a couple of yellow pads that are coming around and I wish, if you will, that you'll make sure that you get your name'on there, even if you don't want to speak. If 18 you do want to speak, there is a place to put a little "X" or check mark to let us know. But I would like all of you to at least get your names on the paper that comes around so we have a record of who attended the meeting. 25 One more thing, if you do come up to make a statement, if you have a prepared statement -- if you have one that's been w~itten out or typed out -- we would very much appreciate it if you would give us a copy of it. As you probably know, we need to make a transcript of the public hearing. In fact, the gentleman sitting punching that little machine is the guy who's going to get the transcript prepared for us. It will make his work and ours simplier if you do provide him a copy of your notes. It doesn't mean you have to have one, but if you do have one, we'd like to have it, even if you have only a single copy. We'll guarantee to get it back to you if you'll just loan it to us long enough B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 1 are appropriate. SubseqUent to that we'll give an opportunity to each o£ you who indicates a desire to speak to do so. 2 To kind o£ set the Stage as far as the status o£ this action 3 -is concerned, I think it's important to note at this point that although we have received a variety of letters on the subject, 4 there has to date been no total opposition from either Federal or State agencies. We have gotten, as you might imagine, from 5 various Federal and State agencies a variety of stipulations that they believe the applicant should live with. For example, how 6 to handle the drill mud, how to handle any other kind of diffi- culties -- discharges that may occur, what kind. of preventative 7 measures must be taken and so forth. Ail of these stipulations, to my knowledge, the'applicant is willing to accept and t'° 8 implement ~s far as citizens are concerned, again, we've h'ad Welt over a hundred different statements made some in the f'orm of 9 petitions, some in the form of individual letters. Just to give you an overall feel, and I realize the correspondence I receive does not represent a vote per se, but to give you some indications of the feelings that we've gotten, we have about, very roughly, two-thirds of the people who have addressed us in writing favoring the work and about one-third.opposing it for one reason or another. Now, again, that is not a vote. It is important though at least to me when I attempt to try to get a feel for what the' public interest is. ? 8 10 11 12 13 15 _ 17 18 19 20 21 22 23 ~ 24 25 for us to make a copy of it. Having said all those things, I would like now to give an opportunity to the applicant to address you with respect to his application, and hopefully he'll tell you a little bit about what he proposes to do, about what safeguards he proposes to take and so with that, I'll introduce Mr. Sauer of the Standard Oil Company, who I believe is also, later on in his talk, going to introduce a few Other people from Standard. Mr. Sauer. MR. WILLIAM SAUER: Thank you, Colonel. We"ve got a good following so we'll'see what happens. My name is. William Sauer. Bill to people that know me. And I am the Senior'Drilling Engineer for the Alaska Area Operation for Standard Oil Company of California. And in that capacity I am responsible for the drilling operations in Alaska and will be responsible for the drilling of the proposed exploratory well, Cape Kasilof #1 which is the subject of this hearing. I am also a resident of the State of Alaska and as such I am as interested in the environment as any other citizen of the state. Standard Oil's testimony at the hearing today will be presente, in three pieces. Dr. Clayton McAuliffe of Chevron Oil Field Research in LaHabra will summarize that part of the written testimony which discusses the effects of the proposed exploratory well on the marine environment. Mr. George Day, the supervisor of our Nikiski Refinery and the current Chairman of the Cook Inlet Oil Spill Cooperative, will give a status report on the Cooperativ, And then I will give my share. We have submitted considerable written-testimony and we are going to briefly go through that. You have your copy. I would like to say at the very start, that should there be any questions about anything I say or any.one of our other speakers, feel free at that time if a question comes to mind to stop us. After George gives his final presentation, I would like to come back just for a summary. O.K. My part of our testimony will summarize the objectives of the proposed exploratory well, provide a brief history of the previous wells drilled in the area, outline our plan of operations which will include a description of the drilling barge to be used and the well program which will be followed, summarize the measures which we will take to protect the environment, and outline what we feel will happen if commercial oil and gas production is found in this exploratory venture. The objective of our proposed exploratory well is clear. Standard Oil Company is one of many members of the oil industry lB & I COURT REPORTING SERVICE[ 401 K STREET ANCHORAGE, ALASKA 99501 - 7 8 10 11 - 12 13' 15 _ 17 18 2O 22 23 - 24 25 engaged in the business of providi.ng adequate reserves of oil and gas to meet the needs of the people of our nation. We also have an obligation to our'stockholders.to conduct our operations in a profitable-manner. To meet these objectives we bid competitively on State of Alaska leases and were successful in obtaining a number of leases in the Cook Inlet. We now wish to find out if any of these leases contain oil or gas in commercia. quantities. To make this determination of our Cape Kasilof lease we propose to drill a well to approximately 15,000 feet and ex- plore for oil and gas in the Hemlock formation as.Well as in shallower measures. .. The proposed well is located about three miles west of the shoreline and about ten miles southwest of the mouth of the Kaisilof River. Our proposed well is not the first to be drilled in this area. About fifteen exploratory wells have been drilled in Cook Inlet waters south of the Forelands since 1966. Many of these were drilled by equipment similar to the jack-up barge to be.used by us. Five other onshore wells have been directionally drilled into leases under Cook Inlet waters. Four of the twenty wells were drilled within three miles of our exploratory site; two from onshore locations and two from jack-up~ barges. No incidents injurious to'the environment have been recorded as a result of drilling these exploratory holes. One of the wells was being drilled at the time of the 1964 earthquake and it suffered no damage. Water depth.at the proposed location is approximately 32 feet at mean low tide. And our plans call for using the jack-up drilling barge "George F. Ferris" to drill a straight hole to the proposed depth of 15,000 feet. The George Ferris was selected for work in the Cook Inlet by Shell Oil Company and by Standard Oil Company because of its compatibility for operating at this water depth. The barge has been in Long Beach, California for the past several months being refitted so that it would be more suitable for operations in the cold waters of the Cook Inlet. Modifica- tions in the barge have included shortening the legs to be more compatible with the water depth encountered in the Inlet, and improving the housing for the crew which will live aboard the barge. The most significant modifications have been improvements in the design of the barge and the equipment so that it can operate in Alaskan waters without causing adverse effects on the environment. The modifications along this line have included a new sewage treatment plant whose affluent will exceed in purity that being discharged by cities along the Cook Inlet at this time, improved gutters and drain systems are installed to insure that no pollutants are spilled over the side, modification in storage tanks to allow for holding of contaminated drill cuttings I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 -- 7 8 10 11 12 13 15 . 17 18 19 2O ~._ 22 23 24 25 and/or mud, and installation of equipment to monitor and control the drilling fluid system. A full description of the barge, the sewage treatment plant; and the equipment and facilities which make for a safe and pollution free operation are contained in the written testimony. And they are pretty voluminous. We have used the George Ferris on other exploratory ventures in the past, and we are thoroughly familiar with'the barge, its drilling equipment, and its drilling personnel. We are confident that this equipment is suitable for this operation, and, considering the'Shortage of drilling barges, we feel fortunate that we were able to obtain this barge for our exploratory venture We have submitted our proposed plan of operations, including the drilling program, to you, and the State of Alaska Department of Natural Resources, Division of Lands, and Divisi,on of Oil and Gas, who have approVed our permit. This program calls for the drilling of a straight hole to a total depth of 15,000 feet, utilizing four casing strings and a possible fifth if required to test potential oil or gas sands. The casing setting points are in compliance with the requirements of the United States Geologica. Survey and also with the requirements of the Alaska State Division of Oil and Gas. The best blowout prevention equipment available will be installed on the conductor pipe and on all.subsequent casing strings. The well will be drilled with a water base drilling fluid and a mud logging unit will be installed at the surface and utilized to total depth. As you know, a mud logging unit will not only give us the geological information we need, but it will also monitor the drilling fluid for hydrocarbons. And if we encounter any, we'll know it instantaneously. Our program calls for the discharge of uncontaminated drill cuttings to the floor of the Inlet in compliance with the current Federal and State laws, and for hauling all excess mud, contaminated drill cuttings, and all other liquid or solid wastes ashore for disposal at an approved site. Any discharge to the Inlet from the platform whether it be drill cuttings, domestic sewage or cooling water, will be conducted in accordance with provisions which have been established by the United States Environmental Protection Agency. Hopefully, we will encounter oil or gas or both and will have to make' production tests. Any such tests will be conducted in accordance with the regulations established by the State Division of Oil and Gas and any liquids recovered from such tests will be handled through portable production facilities on a barge, contained on that barge, and transmitted to shore for disposal at an approved site. Any gas produced by a drill stem test will be flared in a manner also approved by the State Division of Oil and Gas. Upon completion the well will be abandoned if dry, and suspended in a Safe manner approved by the State Division of Oil and Gas if commercial quantities of hydrocarbons are discovered. B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 10 11 12 13 14 15 16 17 18 19 2o 21 23 24 25 5 6 7' 8 9 In either event, after the well is plugged in a manner approved by the"State, the casing will be removed below the mudline and the area will be left with nothing protruding above the floor of the Inlet. Because of our awareness of the needs of multiple use of our land and water resources, and because we recognize the absolute need to conduct our operations so that they do'not interfere with the existing use of these waters of the Cook Inlet, we will take all possible steps during the drilling of this exploratory well to protect the environment and other industries, We have mentioned that the drilling barge and the drilling equipment have been. designed, constructed and modified so tha;t it can operate withofi~t any adverse effects upon the environment. We will utilize time-tested drilling practices and have placed great ~'emphasis on training of'the 'barge and drilling crews so that they can conduct their operations efficiently and effectively without causing any detrimental.effect on the environment. We will not discharge any material into the Inlet which has a chance of being :~harmful to the marine life, and we will follow explicitly ali established regulations by State and Federal agencies for the conduct of this operation. One important item worth mentioning here is the relatively new requirement by the Federal Government for the preparation of a Spill Prevention Control and Counter- measures Plan for'all oil faciliti'es which are .not transportation related. The drilling barge we plan to use comes under this regulation, and prior to spudding we will work With the barge operators to prepare a detailed Spill Prevention Control and Countermeasures Plan in accordance with the guidelines established .by the EPA. We will also comply fully with the U.. S. Coast Guard regulations which cover the transfer of hydrocarbons to or from vessels operating in waters of the United States. This regulation calls for preparation of a fuel transfer manual and specifies the type of equipment and procedures to prevent spills of any fuel during transfer. While we are confident that we will not spill any oil into the Inlet, we are also certain that we must be prepared for such eventuality, and have, therefore, arranged to have 800 feet of containment boom on board the barge at all times. This boom has high tensile tearing and abrasion strength, and can be deployed rapidly. And in a recent test in the San Francisco Bay area, 300 feet of this boom was deployed from its storage box in 94 seconds. In addition to the solid containment boom, we plan to stock absorbent pads and absorbent booms on the structure in -case of minor spills of diesel fuel during fueling operations. A supply of non-toxic dispensants and coagulants will be available for use if the State Fish and Game and other agencies decide they should be used to combat a spill. As indicated in our written B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 1 3 5 - 7 8 10 11 12 13 15 16' _ 17 18 20 21 22 23 24 25 testimony, the'Cook Inlet Oil Spill Cooperative'is becoming an effective organization, and if necessary, we plan to utilize the skimmer which they oWn and. have stored, at Nikiski. George Day will describe this skimmer when he.reports to you later in the meeting. We will also train the barge and boat crews to use this oil spill containment and cleanup equipment. If we find commercikl quant/ties of oil and.gas in this first exploratory well, one or more additional exploratory wells may be necessary to define the productive limits of the field and to determine the optimum l°cation for future development platforms. We wish to make it very clear that there will be a minimum of two to three years between the exploratory work and the state of development operations. In this two to three year period, there would be ample time to complete your detailed environmental impact statement for oil and gas operations in the Cook Inlet.' Also during this period there would be ample time for you to conduct public hearings on the environmental impact statement so that adequate input from government, industry, and the public could be taken and used to develop the best possible plans for continu~d oil and gas operations in the Cook Inlet area. This completes my description of the operation, and if there are any questions on what I have covered up to now, this is a good time -- MEMBER OF THE AUDIENCE: Just one question. Is the Ferris simi'lar or a sister ship of the J.C. Martha that has been in the Cook Inlet, do you know? MR. SAUBR: I-don't know. I don't really thing the Ferris has a twin. MEMBER OF THE AUDIENCE: Bill, they are not sister ships. They are somewhat different in design. ~R. SAUER: Originally the Ferris was built to lay the sewer pipe in E1 Segundo offshore in Santa Monica Bay and 'it was converted to a drilling structure. And that is why I say I don't think it has a twin. Well, if there is no further questions, I would like to introduce Dr. Clayton McAuliffe. He is the Senior Research Associate with Chevron Oil Field Research Company in La Harbra, California. Dr. McAuliffe has had extensive experience in dealing with petroleum and the environment. This started in 1968 when he suggested studies to be conducted by the University of Alaska. He set up and coordinated the extensive scientific · studies during the -- following the Chevron Gulf of Mexico spill B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99.~01 10 11 12 13 15 16 17 18 19 2O 21 22 23 24 25 in 1.97() and served in a similar capacity following the tanker collision in San Francisco Bay in 1971. He's a member of the American Petroleum Institute and was -- most recently has been on the steering committee of the National Academy of Science Workshop on petroleum and the environment. The results of this wo'rkshop will be published as a National Academy of Science publication. Dr. McAuliffe. DR. CLAYTON McAULIFFE: Colonel Debelius, ladies and gentlemen I..:am Clayton McAulif£e. Today I would like to discuss what effect d~.illing an exploratory well would have on',.the marine environment,. and what effect an oil spill might have in the unlikely event that one should occur. Concern. has been expressed about the effect of drill cuttings on marine life. The majority of the drill cuttings are very similar to sediment which enters the Cook Inlet from erosion of sedimentary.rocks. If oil sands are encountered, a relatively small' amount of.oil would be contributed to Cook Inlet.waters from these cuttings, even if they were discharged. If the oil sands are similar to; those at Swanson River, a ten inch hole drilled through 150 feet of productive sand would Contribute a relatively small amount of oil -- in fact, about'98 gallons or about two barrels would be contained in all these drill cuttings. Because of the very high velocity tidal currents, these cuttings would be widely distributed and have little or no effect even on bo. ttom-dwelling organisms. The drilling mud consists of water, a bentonite clay, a weighing material called barite, and some added chemicals. The clay is the same as that derived from land sources; barite is an inert mineral; small amounts of sodium hydroxide that is used in the drilling mud is imme~ately neutralized when it contacts sea water, and the small amount of organic material added is similar to organic matter which is discharged by many streams. During drilling, the sea floor would be disrupted only by the legs of the platform and where the well penetrates the bottom. . This is a very small area and is much less destructive of sea bottom organisms than that caused by fishing trawls such as those used:for Shrimping. As documented by .past drilling in the Cook inlet, it is unlikely that an oil spill will occur while drilling an exploratory well. In the event that an oil spill should occur, I would like to discuss briefly what happens to the oil and what effects, if any, the crude oil would have on marine life. I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 10 _ 5 6 ? 8 10 11 -- 12 13 15 16 18 2O · 22 23 24 25 When oil is spilled on a water surface, chemical, physical and biological factors immediately come into play. Spilled oil spreads, mixes in the water, and dilutes quickly. Kinney and co-workers from the. University of Alaska have studied spills in the Cook Inlet and estimate that visually one-half of the oil disappears in less than one day and that the oil completel, disappears in four days. This was observed at the time of a pipeline break and was also observed in the middle of winter for a reasonably large spill which occurred at the Drift River termina Flushing of the Cook Inlet occurs even in the winter. During each tidal cycle, water flows more rapidly up the east side of the Cook Inlet, and on the ebb tide flows to a greater extent down the west side, so that the net effect is a counterclockwise flow of water. Therefore, water from the Gulf of Alaska enters along the east side of the Inlet and Cook Inlet water leaves along the west side. This i.s even while water is not being discharged from fresh water streams during the winter. In the summer, fresh water addition to the Cook Inlet is approximately equivalent to one-half the volume of the inlet. The combined effect of tidal currents and fresh water inflow results in 90% flushing.of 'the inlet in ten months. Dispersion and dilution of the spilled oil is extremely important in reducing the hydrocarbon concentrations in water to very low. levels. ~In the Gulf of Mexico, while 1,500 barrels of oil per day was being discharged, the highest concentration of emulsified oil in the plume observed emanating from the platform was 60 parts per million oil, and the dissolved hydrocarbons were 0.2 parts per mi'ilion. One mile away, by following the plume, the plume of emulsified oil was still visable, although starting to be difficult to see, but the values were 1 part per million of total oil and .001 parts per million of dissolved oil. And analysis of waters outside the oil plume in ail directions during the time of this spill were at undetectable levels. They were extremely low. Because of the high tidal currents, dilution in the Cook Inlet Should be even more rapid. During the first twenty-four hours the gas and. gasoline fractions evaporate from the oil. This is about twenty to thirty percent of most crude oils. During the first day about one percent of the oil may dissolve into the water, but these dissolved hydrocarbons then rather quickly evaporate into the atmosphere. Emulsified oil or oil droplets may attach to sediment particles and settle to the sea floor. This was observed in the Gulf of Mexico spill where we found about five to ten percent of the oil was identified in bottom sediments in a five mile radius around the platform. And B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 11 lO 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 the amount, of oil was about five to ten percent of that spill. The average concentration in the sediments by actual chemical analysis was abOut 70 parts.per million that could be identified from the platform. Now, the water currents in tile Gulf Coast were about one-half knot during the time of this spill, but itl the (~ook Inlet with its Very high tidal current, it would probably .be impossible to find oil sediments on the bottom. Hydrocarbons on the water surface and in the upper parts of the water column will undergo breakdown from the' sun's energy. Part of. it disappears by this technique. Although a number of oil spills, as well as discharges of oil from other sources, have occurred in the Cook Inlet, the 1968 measurements by the University of Alaska found no detectable hydrocarbons in t.he water or in bottom sediments. Surveys of the beaches showed' only small amounts of oil at the strand line on Kalgin Island. These studies suggest no build-up of petroleum hydrocarbons in either the waters:or sediments of Cook Inlet. At the same time these physical and chemical processes are occurring, biological processes also act on various fractions of crude oil. These inClude biodegradation by micro.organisms and uptake by larger organisms. University of' Alaska studies show that hydrocarbon-destroying bacteria are present in ail Cook Inlet waters. The numbers in the upper and lower inlet range from 100 to 1000 bacteria per liter or quart of water. These values approach 10,000 per liter in the Kachemak Bay waters and in waters near Anchorage. Researchers have also found hydrocarbon-oxidizing bacteria present under the ice in. the Arctic, as well as in Prince William Sound. The University of Alaska workers conclude that biodegradation of the widely dispersed spilled crude oil is more effective in destroying the °il than is physical flushing from the inlet. They estimate by actual measurements that the biodegradation of Cook Inlet crude was 90% in two months. Now, marine organisms exposed to petroleum incorporate some o{ this oil into their bodies. This is know. A number of investigations have clearly documented, however, that these organisms discharge the accumulated hydrocarbons when they are placed in clean water. Or, in terms of a spill, as it dilutes and so f'orth, the initial exposure is there, but then the water dilute the oil very quickly to iow values. And therefore they are then subjected to lower concentrations and then lose these hydrocarbons Now, these deprivation or oil loss experiments have beenmnducted at Battelle Northwest Laboratories, at Texas A&M University, Woods Hole Oceanographic Institution, Scripps Institution of B ac I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 12 I0 11 12 13 14 15 16 . 17 18 2O 21 -- 22 -- 24 25 Oceanography, and the Plymouth Laboratory in England. Oysters and claims discharged hydrocarbons in these studies without metabolism. Various marine species of fish metabolize the hydro- carbons and discharge the metabolic products. A species of cra, b studied in England ~netabolized naphthalene which is an aromatic hydrocarbon. These studies have included all type's of' hydrocarbons. And these studies have also included one which is a known cancer producing hydrocarbon called benz(a)pyrene. The rates of discharge, from the organisms ranged from a few days for those that metabolized the hydrocarbons, which is the fish, to a few weeks for those which do not have processes for metabolism. Although oil undergoes biodegradation and this requires oxygen, the rate is sufficiently slow that it has not in any studies reduced the .oxygen content of the water. The presence of oil on the water surface does not inhibit gas exchange and therefore does not produce oxygen starvation of organisms in the water. Now, what happens to the oil when it's spilled and a little ' bit on water quality. Now, what effect does an oil spill have on marine life? Observations at the time of crude oil spills have not shown death of fish, shrimp or crabs. Laboratory bioassays condUcted by a number of .researchers have shown that it takes generally from 600 to over 20,000 parts per million of crude oil to kill one half of the organisms. In these laboratory bioassay tests a wide variety of organisms have been studied. It's required from 5 to 10 parts per million of benzene and from 60 to over 1000 parts per million of emulsified oil to produce behavorial changes in many organisms that have been studied. These include, respiration, narcosis, shell~-closing ability, swimming, and other biological functions. Most investigalDrs have also found that it requires from 50 to over 1000 parts per million of'.oil or emulsified oil to have a detrimental effect on eggs or larvae of a number of marine organisms that have been tested. This included in some studies the actual fertilization process of eggs. In ail these bioassay tests it should be noted that the organisms are subjected to-the oil or oil emulsion for a period of four days. In the Cook Inlet, dilution would rapidly reduce concentrations to even lower levels than were observed in the Gulf Coast spi.ll where the highest concentration after two hours was .001 parts per million dissolved oil. Thus the organisms have been subjected in an actual field study to concentrations that are lower by far than has been observ B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 13 2 3 4 5 6 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24, 25 to cause effects on organisms in laboratory bioassays. I)ilution is a powerful 'faVorable effect in the environment. , Thus the oil concen'¢rationS in the water at the time of an oil spill are lower thal~ required .to-cause harm of tested marine organisms. Statements are often made that petroleum hydrocarbons can be building up'in the waters and sediments and these are causing unknown damage 'Lo marine life. Present day marine oil seeps.--- and these are generally on the Continental Shelves -~ contribute about four million barrels per year to the marine environment. Seepage has occurred over a long period of ~eologica time, and therefore the total amount of oil contributed to the marine environment has been really enormous. Hydrocarbon analyses of marine waters, however, do not show an accumulation of oil. Because there has'been no build up, this is positive evidence that the destructive mechamisms such as we have described exist to destroy the oil. A number of spills have occurred in the Cook Inlet, and there is also no evidence of hydrocarbon build up. San Francisco Bay' has relatively cold water and is subjected to continuous discharge, of petroleum hydrocarbons.. Seven refineries are located on San Francisco Bay, but their discharge of hydro- carbons is small.'.c'ompared to that from the municipal sanitary discharges. On the average day 200 barrels of oil is discharged to San Francisco Bay. Salmon continue to migrate through San Francisco Bay to the Sacramento River., and striped bass fishing in the Bay is excellent. In summary, there is little liklihood that an oil spill will occur from the drilling of an exploratory well or wells in the Cook Inlet. Statements are often made that little is known about what happens to spilled oil and what effects oil has on marine life. To the contrary, there is a relatively large volume of scientific knowledge concerning these subjects. There are gaps in our knowledge, that's true, but these are and will continue to be filled in. However, the overall scientific evidence, some of which I have outlined in this statement, indicates that even if a major oil spill occurred in the Cook Inlet, the effect on marine life should be minor or nonexistent. My remarks tOday have been brief concerning a rather large subject. My written statement is in greater detail and cites references from the scientific literature, and I'.d be happy to answer any questions that you might have concerning any of these subjects. _Yes. LOTTIE EDELMAN: Doctor, in some of the Woods Hole reports, in spite of -- in a number of them, in fact, they state that -- about the hydrocarbon.-destroying bacteria in northen waters -- they also state certain temperatures of which this hydrocarbon- B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 14 -- 7 10 11 12 13 15 1·6 18 20 21 .~. 22 23 ~- 24 25 destroying bacteria· ceases to operate. I'd like to know what your opinion is on what temperatures hydrocarbon-destroying bacteria cease to operate. Or function. DR. CLAYTON McAULIFFE: Well, I know of no published data from Woods Hole ~Ltating this. They make speculation that based upon many biological, systems that'if you decrease the temperature, the rate decreases. This may be true to a certain extent, but as indicated in my statement, studies by the University of Alaska Institute of-Marine Science have indicated that the hydrocarbon- oxydizing bacteria are present in all waters. And their studies indicate that the rate of degradation is comparable to that in warmer waters, even in ice under the Arctic -- I mean waters under the ice in the Arctic. LOTTIE EDELMA~: From your information that was the University of Alaska study? DR. McAULIFFE: That is correct. Although there's also been some worE' d6ne .f~irly recently by others relative to at .least Prince William .Sound and waters up in the Arctic off the North Slope. MEMBER OF THE AUDIENCE: I have one more question. It's true that the Sacramento River had a tremendous run of salmon at one time, and especially the King salmon, which completely was annihilated. It's only recently that the Sacramento River has been brought back under the cleanup of the Sacramento River and the pollutants within that. Therefore, is it not -- not just a major spill of any kind that destroys marine life, but it's many, many small spills over a period of time with other added pollu- tants within an area'that eventually brings about a major catastro- phe? DR,..McAULIp. F~: Well, I would question whether the pollutant discharges to the San Francisco Bay have been cleaned up appreciably. With time there's been an increase in population. As I indicated, most of the pollutants come not from industrial discharges, bUt from the municipal discharges. And I don't believe that has been corrected. Further, I don't think there is any evidence to correlate run of salmon vs. oil discharges to the San Franciso Bay versus other possible effects on the salmon. MEMBER OF THE. AUDIENCE: i'd like to know what happens to the tidal pools -- the' small -- the small little pools of water on the shore where everything begins? Where sea 'life begins. What happens to those if oil is spilled? Does the oil'sink in there and smother it or what?, B A, I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 15 10 13 14 15 16 17 18 19 2O 21 22 23 24 25 .V DR. McAULIFFE: It depends entirely upon the spill situation. Whether thi~'spill is near shore, whether there is a current or tidal condition'or wind that would bring it into the tidal pools. And I think this is an area. of concern, particularly large marshes and things of that nature that may have a lot of biological activity. I for one am of the opinion that oil, if it tends to threaten beach areas or marsh areas, that it's desirable to emulsify the oil. I know that it's sort of taboo to say that you should emulsify oil in this country. However, the British do it and generally in Europe it's a practice. There are many advantages to the emulsification of the oil. It .promotes the very rapid dilution of the oil. It further mixes it in through the water column so it doesn't concentrate itself in any one particular area. And so this dilution effect is very desirable. Secondly, it promotes the biodegradation and general weathering of oil, and then it also prevents oil from adhering to solid surfaces. It would be beneficial, for example, from the bird aspect that you'have less wetting of the feathers. Not that you should eliminate all the bird life, but it would help. And then in terms of oil coming into tidal areas, it doesn't stick to things and tends to wash back out on the outgoing tide. Therefore you do not have the effect of it coming in and floating and so forth. So there are lots of advantages, I think, for arguing that oil should be emulsifi.ed. MEMBER OF THE AUDIENCE: Do we do that now? DR. McAULIFFE- We do not. Under EPA regulations you do not do it unless you have a specific agreement that it's from a safety standpoint or some special circumstances that prevents the use of emulsifiers. MEMBER OF THE AUDIENCE: So then the tidal pools would be a risk? DR. McAULIFFE: But how many tidal pools do you have in Cook Inlet?' MEMBER OF THE AUDIENCE: I have no idea. I've seen quite a few myself I'm not familiar with numbers. DR. McAULIFFE: I'm not too familiar with Cook Inlet, but I didn't think there are -- were a lot of what I -- rocky shore areas where you do have pools in the rocky shore so when the tide subsides it leaves water trapped in pools. I don't know whether that occurs in Cook Inlet. REID HARRIS: How far is the proposed rig from the Clam Gulch B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99~O1 16 _ 5 7 10 11 - 12 13 15 16 -- 17 18 20 21 ~ 22 23 24 25 the razor clam beaches along Clam Gulch? DR~ McAULIFFE; I'm not familiar -- other than a statement is made that they.are on the beach along the east side of the Inlet as well as the west side. And presumably this Wuuld be in the area where clams are on the beach. Again, I would suggest that if they were threatened that emulsification is better than allowing the oil to stand and then penetrate into the sand. COLONEL DEBELIUS: The question of the proximity, by the way, is easy to answer. We do have a little map if anyone would like to see it later o.n when we take a break. There is some up here so you can get an idea o'f the precise location. MEMBER OF THE AUDIENCE: It's within four miles of it. ' COLONEL. DEBELIUS: Say again, please? MEMBER OF THE AUDIENCE: It's within four miles of Clam Gulch beach. DR. McAULIFFE: Are there any other questions or have I answered them? MEMBER OF THE AUDIENCE: Doctor, on this pollution, if we had 10,000 barrel well erupt down in Cook Inlet, what you say is that there would be no ...... hardly any harm at all to the'marine life? There'd be no -- because of the flushing effect of Cook Inlet? Is that what you said? DR. McAULIFFE: I believe the weathering -- you're putting up a pretty high value for any one well of 10,000 barrels a day. I don't think that is typical of the production of the wells in the Cook Inlet. But let's assume that that is the situation and 10,000 barrels per day is discharged. We had initially in the Gulf Coast probably approaching 7,000 barrels a day and there was no measurable effect on the marine life, including a study of the bottom-dwelling organisms. Now, I believe that with the very rapid circulation, mixing and tidal current in the Cook Inlet that the destructive mechanisms are present that would 'handle a spill of that order -- of that magnitude without having measurable' effect on the marine environment. COLONEL DEBELIUS: May I. ask also that any of you who do have questions, identi£y yourself at the beginning of.your questions. It makes it a lot easier for the hearing transcript to be accurate You want to add your name now? BASIL BALSTRIDGE: Basil Balstridge. El & I COURT REPORTING SERVICE 4, OI K STREET ANCHORAGE. ALASKA 99501 17 COLONEL DEBELIUS: There is another questions. 24 25 2 JIM BRINDLEY: Jim Brindley. I question your flushing action primarily because of the draft environmental impact statement I 8 saw from the Corps.of Engineers. And they said there was a minimal flushing, But the one thing that practically I would 4 wonder that would seem to disagree with your flushing is that the ice floes' don't move out that much during the Winter. It seems 5 like if we had ninety percent change, we'd have a lot more ice moving out the mouth of the Inlet. DR. McAULIFFE: I'm saying on the University of Alask~ ? studies that there's ninety Percent flushing of the inlet, both from tidal flushing:and from fresh water input. Now, the fresh 8 water input is half of'that and the rest is contributed through tidal flushing throughOut the year. Therefore, your point about 9 the ice and so forth is correct. I think we have Dr. Wright here from the University of Alaska who last studied this particular 10 point. And this counterclockwise flow does occur and the amounts of water are appreciable. I think there is even evidence, when 11 I was up here a couple weeks ago, if a boat is lost on the east side of the Cook Inlet, it appears on the west side in a few 12 weeks, indicating that there is this counterclockwise flow. Aeria! photographs from -- or satellite photographs show :the discharge 18 of sediment water -- in other words, where you can see the sediment in the water -- exiting from the west side of the Cook 14 Inlet. And you in terms of your fishing must know that the curren:s on the~east side on the flood tide are greater than on the ebb. 15 And likewise on the west side, they are more rapid on the ebb than they are on the flood So there is this continual movement 16 ' ' of tidal waters, with a net inflow along the east side and a net exit on the west side. 17 DR. F. F. WRIGHT: My name is Wright. I'm the one that was 18 just"~eferred to in this. In partial answer to your question ~re, the calculations that were done on Cook Inlet's flushing 19 were based entirely -upon the amount of water that comes in from the fresh water and from the tidal cycle. That's the ten months 20 figure we have when we talk about and look at things like the ice movement. Ice remember moves with only the surface water and 21 is very strongly influenced by the wind. And certainly ice'..hangs in the inlet, you know. It doesn't move out very, very rapidly 22 during the winter time. And quite likely if there were a mass~ve sPil~l at the water surface, it would behave probably more like 28 the ice than like the entire water column. However, there are an awful lot of factors that aren't too clear. That is, how rapidly the oil would mix with the water-- the entire water column, and also we don't have as yet too much hard data on the actual velocit of the current. Right now the National Ocean Survey with McArthurl B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 18 1 3 - 5 10 11 - 12 13 15 16 18 2O 21 ~_ 22 23 25 and Fairweather are doing -- completing a very extensive study here in the inlet to give us an accurate measure of exactly where the currents go, how fast and so on. Also in connection with studies by the AF & G in Katchamak Bay, we hope to do some work with drift cards which will actually give us the. trajectory of individual particles in surface waters. We hopefully, will know an awful lot more within perhaps a year on this particular issue. DR. McAULIPFE: Jim I'd also like to add the fact that the observed spills of disappeared completely in four days. Therefore visually as far as oil being on the surface, it has mixed down and is moving With the sub-surface waters. If the oil were emulsified, it could be even more rapid than that. WADE LUNDSTROM: My name is Lundstrom. Do you have any data that indicat'es how much more flushing action there would be in the summer months or warmer months than there would be in the winter' months when the ice is in, because of the additiona.1 fresh water influx in the summer than in the winters? DR. McAULIFFE: Again I should defer to Fred Wright, but on th, basis of the" amount of fresh water input that is anticipated as being half the volume of the inlet, I would think that would be the predominent influence in the summer. That the. tidal is more or less constant throughout the year and therefore it would impose its amount in the summer to the fresh water addition. But in the winter it's primarily tidal flushing. Although even in the winter according to the University of Alaska's estimate, five percent of the fresh water runoff occurs in the winter. Is that -- does that answer your question? COLONEL DEBELIUS: Thank you, Doctor McAuliffe. I don't know who your next spea'ker is. MR. SAUER: I have one comment to add to what we just went through. We are talking about ice. The Ferris should have left or will leave Long Beach ---we get varying numbers -- anywhere between yesterday and the 18th. It will take somewhere between forty-five to fifty-five days to get here. And this puts us into September. The Coast Guard will take us off of the inlet before the ice gets heavy, so we'll not be in operation during the cold or ice part of the year. We can't operate there. They won't allow us to. So if that might alleviate any fears as to what migh~ happen during the winter months, we won't be there.. I would like"'t° introduce George Day. He is the Manager of our Nikiski Refinery and he's currently the Chairman of the Cook Inlet Oil Spill Cooperative. And he will give us a status report B & I COURT REPORTING SERVICE 4OI K STREET ANCHORAGE, ALASKA 99501 19 3 4 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 on the cooperative. MR. GEORGE DAY: Thank you, Bill. Colonel Debelius, Miss Loss, and ladies and gentlemen, as Bill has stated I am t-he Manager of the Nikiski Refinery, but also the Kenai Pipeline facility and the terminal at Nikiski. That is an additional function we perform in that area. But I am here today to speak primarily as the President of our Oil Spill Cooperative in Cook Inlet. I'd like to tell you a little bit about how the Coop got formed, what it's doing today and what it plans to do in the future, and how we might develop in the Coop in future years as' problems develop. " First, the Coop was formed on an informal basis in the late '60's on a voluntary basis in which the various companies pooled their resources. In other words, Standard Oil Refinery has some equipment to clean.up small spills. Our first aid for oil spill cleanup; And various other companies in the inlet have the same kind of first aid for their own minor spills. And we got together and said, "Well, if we had a bad spill, we need to have a contingency plan that will permit me to go to the various other companies and borrow what they have." And that was done. And lists were prepared which showed the location of absorbents and tools and manpower. It listed the radio frequencies that were available, the radio communication systems that could be put into action immediately, and boats -- certainly boats. This would be a very important part of such an action. And lists of all the contractors that would be available for some help if it were needed. Contractors that would have boats, tha't would have cleanup equipment and manpower. Well, that is the way it got started. And then in late '73 we got a working agreement that was signed by all'the member companies, and in this case there are now eleven member companies eleven major oil companies that are a part of this working agreement. The working agreement is now a formal agreement. And in 1974 the various parties agreed to fund the Coop for a budget of $100,000 and we are working on that $100,000 now. The money is being spent in three major categories. The first is-to purchase an oil skim barge. The second is to purchase some -- a sea boom. And the third is for miscellaneous operating expenses. Now, let me describe these various pieces of equipment. The oil skim barge is of a design that was -- well, first used, I think, down in Santa Barbara. It was developed there, Ithink by Union Oil Company and has been improved on some since then. It was used successfully in Santa Barbara. Similar designs were used by Standard Oil in their efforts to clean up San Francisco Bay after the tanker collision. It's been modified a number of B & I COURT REPORTING SERVICE 401 K STR£r'T ANCHORAGE. ALASKA 99501 20 -- ? 10 11 13 15 16 - 17 18 20 23 - 24 25 times, and we have now -- we are using the Sea Clean, which is the Oil Spill Coopof Santa Barbara's Sea Clean. And this is basically their skimmer we"re building. It consists of two pontoons about four feet long and in between the' two pontoons is a funnel shaped mouth. This barge then is moved through the oil skim or the slick and there is a sump in the rear end of this device from which the oil that accumulates is removed to the work -boat.. Now, thi-s barge is being built. It has been built at Wade Oil Field Welders in North Kenai. It's being painted now. It will be launched within the next week or so. AndWe plan to keep it in the area of the Nikiski Dock -- the rig tenders dock in that area, because that is the place where it can be most easily deployed. There is crains there, there is manpower, and we are developing a working agreement with the people in that area so we've got a quick way to get it onto the water. And that is also where the work boats are that serve the platform. And those are the work boats that are going to maneuver this slim barge. It could be moored temporarily at any location on the inlet where it might be potentially needed. We expect before' the operation that is being described here goes into effect that that skim barge will have undergone sea trials and so it will be a device that has been tried in Cook Inlet waters. The second .device, an oil boom -- a sea boom, as you probably suspect there is quite a varie!y of oil booms. There's been a nUmber of people that have tried different kinds of booms. The one we picked was al.so one that's been tried successfully by major Oil Spill Coops on the west coast, particularly the VIKOMA' Seapack. This is made by British Petroleum. It's an English boom. And it's contained in a boat hull for easy trans' port.. By air it can be put on a Herc and transported to a spill site, the hull put in the water and then the boom deployed from the boat. And it'.'s got drivers attached to it and this works basically to drift'with the oil spill and keep around it until such time as other devices can be brought in to pick up the oil. It's not designed'to be attached to the beach or something and resist the tremendous'tide we have in the inlet. It will drift with the tide, but inside the boom will be the spill. We are expecting delivery from England late this fall, so it will not be here during.the summer operations that 'we are speaking of, but it will be here in the fall. And we'll have sea trials of that, probably not this year because by that time we are being exposed to ice condi.tions and the boom will not work, of course, in the ice. Then the third category of use of'these funds is for operating expenses. And that includes such things as the sea trials that B & I COURT REPORTING SERVICE 401 K STR£ET ANCHORAGE. ALASKA 99501 21 10 11 12 13 14 15 16 17 19 2O 21 22 2~ 24 25 we expect to have with the skim barge, the purchase of some' incidental pumps and equipment that may be required to make the skim barge function properly. Well, that is 1974. Now, as far as the local Coop is concerne our plans for '75 are to develop additional'equipment on the basis of how these two devices work in Cook Inlet waters, because we've got a different ballgame here then even San Francisco Bay where tidal currents underneath the Golden Gate Bridge are, oh, three or four knols. Something like that. We're dealing with tidal currents twice that. That is what we plan to do be£ore we move into '75. But, beyond that, we are part of -- well, a group of Coops in the Pacific Basin Western Oil and Gas Association has just recently completed a very comprehensive study of all of the Coops in the Pacific Basin. They have had a study group that has studied'the situation from the Mexican border all the way around to the Aleutians. I have a feel for what they're about to propose. And for the whole of the Pacific Basin, coverage of every foot of shor'eline. They're proposing, for example, that the Cook Inlet Oil Spill Coop might assume responsibility for areas that go down to the Aleutians and perhaps as far as Seward. -And that the next Coop pick it up at Seward and take it to Juneau. And thai would be a Coop that might form in Valdez. And then another Coop would pick it up at Juneau and they'd take it down t° the coast. This is a recommendation at this time. They've recommended'what the Coops should have in the way of equipment, and they're recommending for our Coop some ocean-going skimmers that would be deployed or be moored in Cook Inlet. Now, these skimmers -- the first one is a relatively small one in their thinking, and it's a sixty foot coastal skimmer, so called Mark III which would be available inside of one year. In fact, that is the way the Western Oil and Gas Association would decide to recommend it. That kind of a skimmer would be available in one year. And the ultimate recommendation for the Cook Inlet Coop was a Mark VI skimmer. And these are -- they are seagoing vessels with absorbent belts on them. One o£ them has had an effective sea trial in San Francisco Bay. This is the kind of proposals that we are going to have to look at in Cook Inlet for the future. And certainly.that is not going to be ready for the exploratory phase. But things like that can very definitely be considered for the ultimate development phase should oil be found. Well, that completes my formal statement, but perhaps there is some questions that someone would like to ask about the status of the Coop. Yes, sir. DON ESSEX: My name is Don Essex. I just have one question and that is, how rough a water are these skimmers effective in, or B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 22 7 8 10 11 13 15 18 20 21 22 2~ 24 25 how rough water have they been used in? MR. DAY: Well, they've been used primarily in bay waters such as San Francisco Bay and just outside of San Francisco Bay the skimmer was used in ocean water. And certainly under extreme weather conditions they'd be ineffective, because the diameter of the pontoons is thirty inches and that might give you some idea of the waters that'it'could operate in. But I know that this type of ski'mmer was used outside of San Francisco Bay in ocean waters in San Francisco, and certainly offshore from Santa Barbara. We want to try them. That is one of the reasons I say that we are going to have sea trials. And we are going to have to learn a little bit about how they work in Cook Inlet. MR. ESSEX: This is primarily the one you're' now building'that you're spe'~king of? MR. DAY: That's right. MR. HUGH MALONE: Mr. Day, perhaps to enlighten us a little bit further you can give us an idea of what would happen in case of a spill. How thi.s plan would go into operation and what steps would be followed. Suppose you had a spill in the exploratory -- from the exploratory well off Kasilof. What steps would be followed from the time that the spill started until the whole thing was cleaned up? MR. DAY: A11 right. That is a very pertinent.question. The way the Coops function, of course, is that each operator is responsible for his own spill. And each operator has a certain amount of his own equipment. But the Coop is formed to provide the large equipment that individual operators can't afford. So it would prObablY go into operation, if Standard Oil has a spill related to this operation, they would call the Coop and borrow the equipment, and we would deploy the equipment. If'it's stored at the rig tender end, we'd work on the contingency and put it into effect and one of the work boats would be withdrawn and take it down to the spill area. And if by that time -- we won't have our boom, but it would also be deployed. But it won't be here, as I said, until late fall. But the barge will. So the barge will._go down there. If additional equipment and people were needed, they would call on the Coop and the Coop manager or chairman would organize communications with the other companies and gather up equipment that was needed from the other operators in the area. Absorbents and.so on. And get them down to the area. The company doing the -- having the spill problem would be financially responsible for the whole thing and, of course, would return the equipment that the. Coop owns to the Coop in the B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 23 1 2 3 4 5 6 7 8 9 10 11 1~- 13 14 15 16 17 18 19 2O 21 22 23 24 25 condition that it was when it left. But the Coop is -- well, it's a cooperatiVe thing and the things that we have are available to the spillers, and we would gather up the materials from various other people for use on the spill, i MEMBER'OF TH]~ AUDIENCE: Excuse me for not' identifying myself. My n~me is ' One further question. Will there.be any training or operations -- exercises for the use of the implementation of the plan for cleanup of the spill? MR. DAY: Yes, Hugh. That is What I describe as our sea trials. I%"s more than just putting it out in the.water and Seein if it .floats. We plan to get a nucleus of people that know how to operate it, particularly the people on the work boats, so they know how.' We'll have a nucleus of people who are.trained in the operation of it. And I think we are now in the Process of developing that plan. We have a sub-committee in the Oil Spill Coop who have been assigned that task and they are preparing that contingency plan. And it will be complete by the time the operation starts at Kasil°f. Yes, ma'am. LOTTIE EDELMAN: Lottie Edelman. I didn't identify myself before. How effective would this be in a storm like we had this past'week or two? MR. DAY: Well, I don't think that any boom would be effective in that storm. And I don't think that our skim barge would be able to operate out in the water. It would be standing by and as soon as the weather conditions would permit, it could be maneuvered through the slick. Yes, Tom. TOM MUIR: Is it not true that you have cooperation with other coops through the West Coast -- Pacific Coast to use their equipment if needed? MR. DAy: That is true. That is one of the advantages of the Western Oil and Gas Association is an assembly of various coop managers and we do participate in a bi-annual meeting of West Coast coop managers to coordinate efforts of the various coops. And so we have very good contact with all the other coops on the WeSt Coast. And these coops, of course, are a lot bigger than ours. They have full time managers and equipment in Puget Sound. There is Mopps which is a contractor which does all the work for the Clean Sound Coops. And the equipment that those people have can be brought in here. The Coast Guard has equipment that can be flown in. And, of course, that would be at the expense -- the Coast Guard has this.. And these are basically pumps and other equipment. The cost Would be borne by the spiller. But the facilities of the coastal coops are available. Of course, it would take a few days to get them here, but if it's a bad spill, that equipment Would be available too. B & I COURT REPORTING SERVICE 40! K STREET ANCHORAGE, ALASKA 99501 24 3 5 -- ? 8 10 1! 13 15 17 18 19 20 22 23 25 BUCK RICE: Buck Rice is my name. Isn't it true that itl a clea~-up operation that you get into some real rough water situations, and the rougher the water, the more rapid the dissipation of the oil in the spill and the resulting effects? MR. DAY: Well, I think that's right. I perhaps ought to defer to Clayton McKauliffe to answer.that one. DR. McKAULIFFE: I think, as I said, it's desirable to get brea~ up, because you very quickly get iow level concentration of hydrocarbons and minimal effect on the organisms. Even though the boom may not -- obviously, the best thing to do is pick up as much oil as you can by, skim equipment. Often that is not too effective. But the break up and dispersion is .the principal technique. And .then this dispersion of oil and'bio-degradation and weather so it doesn't build up. COLONEL DEBELIUS: I've had another question back here. DR. WRIGHT: Wright again. Perhaps an unfair question, but what id'the po~'icy of the Cook Inlet Cooperative if one morning we fly across the inlet and we see a large oil spill with no or no tanker nearby. Is there a no-fault clause or something that will mobilize cleanup equipment? MR. DAY: Yes. We are organized so if we see a spill that we can't identi'fy the ownership of, it's'our intent to clean it up and develop the responsibility for the spill later. We haven't deployed on any spills so far, but that would be our goal. tf there is an unidentified spill, we'd. get out there and. clean it up and then try to find out who owes us the money afterwards. That is part of the reason we have the operating f'und. We'll need some funds to pay contractors and other fees after we pay for the boom and skim barge. It's going to be 'somewhere around probably $30,000. ABBIE KIDD: 'Abbie.Kidd. George, I think you ought to make a point that we have lots of equipment available right now on both sides of the inlet. Also that we are practicing contingency plans. I just come off a'practice last week with our plan. We put it into effect that there was an oil spill. What does everybody do? D°' they do their jobs? Are they notifying people? I think you ought to make that clear. There is lots of stuff right now with booms and so we do have the stuff available.on both sides of the inlet right now. MR.'DAY: I might expand on that a little bit. I mentioned the ~at each company has its own first aid, but'it is fairly extensive, as Abbie has said. He has things out there B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE:. ALASKA 99501 25 10 11 12 13 14 15 16 17 18 19 20 .21 22 23 24 25 and exercises that train his people. I can speak for the Kenai Pipeline Company. We have some absorbents. Booms primarily, but absorbents. We've got a pile of straw,, and I don't know how effective that is in this day and age, but we do have equipment ' that we have for our first aid. And we have training, programs for our people. That is, all the companies do as part of the routine of operating in the Cook Inlet. Wade, you had a question? WADE' LUNDSTROM: I think Abbie covered it. DR. WRIGHT: I had another question, George. In terms of actually deploying in a case of a s~ill or a serious accident, have you tried tg~work out how much time would be required, for example, to get Your skimmer barge down to Kachemak Bay in. the event that there is drilling there? Or would perhaps you station something down there during active drilling? MR. DAY: We-il, as I mentioned, Rick, that could be worked out There is no reason that we have to leave our skim barge at Rig Tenders. It would be kept there under normal operations because that is the headquarters for the boats and. certainly the center of the operations'right now. But as the center of operations move south, the barge could be temporarily stored, I suppose, in the mouth of Kasilof River,. or if it's down in Kachemak Bay, it could be stored at Homer. The marine time, of course, is about four hours. I don't know exactly how fast this thing 'can be pulled, but it's probably somewhere between four and five hours between Homer and Kenai. It can't be hauled over the highway at the present time. However, I do know that the Clean Seas Coop is developing a trailer. The thing is too wide to mount flat on a trailer, so they're developing a trailer that can be used overland so it can be hauled a lot more rapidly if their trailer is successful. That may be one of the things we'll have to add to our barnyard. It can be hauled on the angle so it can meet the requirements of the maximum width on the highway. In those circumstances we c. ould get it down to Homer inside of two hours. Thank you, Colonel. ~R... SAUER: George was saying about the -- about the Coop not having their boom. Bob saw fit to get us 800 feet'of boom that will be on the barge when it arrives. Is that the plan? .So then we would have our own first aid gear too. We'd have an 800 foot boom, plus absorbent pads and absorbent booms, multiple, so we could take care of a minor spill or even~start containing a major spill waiting for your coop to arrive. Ladies and gentlemen, that concludes Standard Oil's testimony for this morning. And I'd like to.make one or two points in the B & I COURT REPORTING SERVICE 401 K SI'RE[T ANCHORAGE. ALASKA 99~O1 26 I0 11 -- 12 13 15 16 - 17 18 2O 22 23 24 way of a summary. We are all aware of the energy crisis facing our nation, and I don't intend to dwell on the subject, but there is one. HoWever, I wuuld like to say that early development of the oil and gas reserves in the Cook Inlet would not only bring significant benefit to the local economy of the Eenai Peninsula, it would also ease this energy crisis f.or the rest of our nation-. The mobilization of the George Ferris drilling barge by Shell Oil Company and Standard Oil Company is a significant step in the continued development of the oil and gas reserves in the Cook Inlet. We feel fortunate that we have obtained the use of the Ferris in view of the shortage of suitable drilling barges created by the rush of our nation and other nations throughout the world to develop their offshore leases. If we and others who have filed for permits are delayed in the drilling of our exploratory wells, we will, 'no doubt, lose the use of this drilling vessel for exploring .the leases in the Cook Inlet. Based on the evidence we have presented this morning, and the 'additional details that are contained in our written testimony, we feel confident that we can drill this exploratory wel,i without any significant adverse' effect to the environment. And therefore we respectfully request that .a.permit be granted for this venture. Thank you. LO.TTIE~_ . 'BDELMAN: May I ask you a ques'tion,.Mr. Sauer? MR. SAUER: Yes. LOTTIE.~ '"EDELMAN: Quite a bit of the questioning from' the audle~nc~ ha~ been with respect to the operation of cleanup equipment in a storm. Is it true that you would, continue your efforts during a storm, or would you buckle up .'your. drilling operations, for example, during a heavy storm on the inlet? MR. SAUER: In the past, the vessel has a design criteria and if you begi~ to exceed that, you would close in the well. Now, high winds, it would be advantageous maybe -- or high seas -- to pull out of the hole and stack the pipe. The Coast Guard will tell us when to leave bodily and that is an ice function. So normally on offshore vessels you have the equivalent to a supervisor -- a boat skipper -- and when he feels there is any danger, he takes the appropriate measures. I think we have another question. MEMBER OF THE AUDIENCE: Yes. What months would you be operkii'ng i~ thiS'area? This area is one and one. half miles approximately south of the Sisters Rock and a major fishery ground ? B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE:. ALASKA 99501 27 MR. SAUER: I think we are north of the Sisters. MEMBER OF THE AUDIENCE: I meant north. of that reef on the west side. on the outer side MR. SAUER: As I just stated, we think the [:erri's will be in ~peration, if given a permit, in September.. Probably'would be September, October, November. And I think sometime in November the ice would drive us out. MEMBER OF THE AUDIENCE: All right. That answers that.question If you do have. a good discovery there, do you have intentions of placing a permanent platform :there,~ or will that be from the bottom piped to shore? MR. SAUER: If we have a major discovery there, the ~one well we drill or the subsequent wells will de'fine the size of it. And based on the economics of the size of the reserve, all that would determine whether you'd put a platform out there, as we see in other parts of Cook Inlet, or what type of facility you wuuld use. MEMBER OF THE' AUDIENCE: Why I ask that'~uestion is because if a platform ~s placed in this area, this area, as I said, is a major drift area and where a good run of red salmon passes and where the drifting does operate, say, from the end of June until the middle of August in even years and on odd years from the end of June until the last part of July. The pink Salmon run travels through this area in even numbered years and the red salmon only in the odd numbered years. MR. SAUER: Well, should a discovery be made, we've got the time to go in to check the impact on every industry involved along the inlet. We are only asking for about three months to discover if 'there is any oil out there. COLONEL DEBBLIUS: I think it's worth noting that the permit action being contemplated here is not one that would authorize production at this point. It's only for the exploratory well. So that we are really saying that this firm has asked to be able to identify whether the resources are there. In the event they do so decide, they must then come back with another permit request which would also have to go out on public notice and be subject to the public's review as to how production wQuld take place. MEMBER OF THE AUDIENCE: How long do you anticipate it would take you to drill this hole? You say three months. Now, do you think that would do it, or would you be back there next spring and into the summer? COURT REPORTING SERVICE 4OI K STREI[T ANCHOf~AGK. ALA~IKA 9~150! 28' MR SAUER: We would hope that we can finish up by the end of this year. 'That is our intentions. MEMBER OF THE AUDIENCE: Is there a time limit on the permit, or.is it Until it's finished? COLONEL DBBELIUS: Aurora, do we have any time on the peimit application? ' MISS LOSS.: In what way? For %be operation of it? C'OLON~L DEBELIUS: In other words, when it must be completed? MISS LOSS: .... No, not yet. COLONEL DEBBLIUS: We do not have such. However, shOuld,,for example,'the Fish and Wildlife Service or the Department 0f F~sh and Game or various other agencies whose prime concern has to~do with the fisheries -- should they ask for a deadline by which things must be completed, we'll'put that in t~h~,perm'it itself. And we frequently do that. And in general I'.~ight add that those interests which represent agencies protecting the fishery resources frequently give us dates during which:an operation can take place or date's upon which an operation must be ~ompleted in order to minimize any impact on fishing. Thank you very much, Mr. Sauer. I think right now we'll t~ke about a five minute break. There is:some coffee in the back. I'd like to get the list so I can identify who wants to speak. And we'll take testimony for roughly the next fifty minutes or so and probably about 12:30 we'll take a break for lunch and then continue on in the afternoon as long as necessary to permit eVeryone who would like to be heard'. So now we'll take a five minute break and start again at quarter of. (Whereupon a short .recess was then taken in the hearing,') COLONEL DEBELIUS: May I ask each of you to take your seats again so we coUl'd'reconvene here. May I have your attention, please'. With respect to testifying, we did not unfortunately indicate on the paper whether you wanted to speak or not. We do have your'names. So what I'm going to do, al.rer I have asked several representatives of either Federal or State agencies whom I can identify as either the community orChambe.r of Commerce and so'. forth -- after I've gotten those' PeoPle, I will simply read names from the list. and you may tell me if you donT.~t wish to speak and then we'll go to the next name. if you do, of course!,, you can come up and we'll hear'from you. I would like to offer an opportunity to certain representatives of.either St or Federal agencies or groups and various others'I can identify I , COURT REF)OI~TING I~i'RVICE 401 K STREET ANCHORAGE, AI. AIKA ggsoI 29 10 11 12 13 14. 15' 16 17 18 19 2O 21 22 23 24 25 representing more than just themselves, so' I would begin then by asking Mr. Tom Trent from the Alaska Department of Fish and Game to present testimony of he'd like. Tom. TOM TRENT: My name is Tom Trent. I am a member of the Habitat Protection Section of the Alaska Department of Fish and Game and will be representing that organization. Basically I'm going to outline some of our basic concerns for the fishery resources and the stipulations which we would desire for inclusion in a Corps of Engineers' permit.' Probably No. 1 among our concerns regarding potential oil spills in COok Inlet in this area.are for the razor clams. The clams of these east side Cook Inlet beaches provide a major recreational fishery and probably contribute in a large degree to the Kenai Peninsula being eventually our recreational playground of the State of Alaska. In 1973 at Clam Gulch, which is the beach in closest proximity to the proposed exploratory well site, 392,000 clams were harvested.. And approximately 11,100 man days of effort were expended in harvesting those clams. In 1973 on all of these east side Cook Inlet beaches approximately 680,0:~(~ clams were harvested for a total of 23,700 man days of effort. We don't have any real estimate of the value of this resource in terms of what it brings to the Kenai economy as there have been no economic surveys along !hese lines. However, I'm sure that Standard Oil Company could probably provide us with some index.just by the number of gallons of gasoline that are sold locally in Anchorage and in Kenai for Some of the campers coming up here. The potential for damage to clams is quite great in the case of an oil spill. There can be direct mortalities. These are caused either by smothering by heavier crude petroleum fractions or by toxicity of some of what we determine toxic fractions. There can be indirect mortalities caused through effect on food supply of clams which can result in reduction of growth. And ther is'a potential fortinge. It has been shown that oil has persisted in clams up to ten years after an 850,000 gallon spill in Maine. Now, Dr. McAuliffe has testified otherwise, and it's possible here that it was a factor in which the crude petroleum was in the sediment and retained there for' that long a period of time. And possibly this is a factor in the persistence of clams -- or persistence in clams also. Secondarily, we are concerned about salmonary resources. Al- though crude petroleum spills have generally not been shown to cause mortality -- at least major ones -- in fin fish, other than the ones that may inhabit, say, intertidal waters. To specifically pick out one of the major fisheries, or at least producing I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 3O _ 5 -- ? 8 I0 11 -- 19- 13 15 16 -- 17 18 2O 22 23 9.5 fi'sheries of this area, we have not too far from the oil site the rasilof River .which contributes approximately 25% of Cook Inlet 'red salmon production. Commercial value of Cook Inlet reds in '73 was about 2.7 million to the fishermen and a wholesale value of about five million. The commercial fisheries in this area support about 1400 license holders and about an equal number of assistants. Again, I want to reiterate that crude spills have not been generally shown to cause great damage to.-- in terms of direct mortality to fin fish. And it's generally been spills of refined fuels and diesel and so forth which can cause mortality due to toxicity. There are some possible concerns about interference with behavior of salmon. Perhaps with migration and so forth. They do cue on needle streams. Through chemical cues 'originating from those streams. These can both be organic chemicals or. inorganic. There is a potential retaining problem. Again, I worked in Oregon where we had studies obtained of fish with chemicals and in some cases certain organic chemicals can be quickly taken up and produce odd tastes. Then we have an unknown of potential invertebrate resources. There is a great deal known about this area of the inlet. It's a transitional zone between the sea waters and the upper portions. But this department is going to maintain a conservative attitude unless it can be shown there is no biological concern. That is, if we can produce or find or in some way get baseline data indicating that the area around the potential sites does not have an invertebrate resource. The stipulations which we would desire to see in the Corps' permit are that prior to the implacement of the drilling rig and start of drilling operations the applicant will furnish to ADF&G and other interested parties, (A) A summary predictive document based upon existing knowledge of the circulation regime, wind effects and behavior of various known spills in the Cook Inlet area on the probability of extent of coastal area that can be visibly and physically affected by oily discharges in excess of 50 gallons. (B) Information, based upon not less than two series of day and night sampling as to the composition of bottom and pelagic macrofauna (ea. shrimps) at the drill site; sampling to be performed bY means of trawls (otter trawl, beam trawl, high speed mid-water trawl). ADF&G will advise and coordinate with the applicant the sampling procedures, timing and assessment of the catch. Sanitary and drilling water-borne wastes, oily residues, machinery washdown residues -- do you happen to have some water? cO..LONBL D. EB.EL..!US: I have your letter. You left off lc. Did B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 31 ' 1 you do that on purpose, Tom? 2 TOM TRENT: Yes, I did. lc we are eliminating from the permit. We"Ve.gotten new information since the time this permit 3 was Written originally and it had to do with halibut sampling. However, we understand that there is a limited fishery occurring 4 at times there and we can gain the information we need. 5 COLONEL DEBELIUS: I will read the other stipulations you've provided to us. TOM TRENT: I can continue, I think. Ail right. Sanitary ? and drilling water-borne wastes, oily residues, machinery.washdown residues, drilling muds and fluids, oil contaminated drill 8 cuttings t'o be effectively contained for removal," treatment and disposal at land sites. 9 No. 3. Uncontaminated drill duttings to be fully contained 10 for land disposal unless information obtained under item lb shows, to the satisfaction of this department, that overboard dumping -- 11 excuse me. 12 COLONEL DEBELIUS: Let me read them. Overboard dumping of sUch cutting will be biologically harmless. And No. 4, maintain, la at the ready, either on site or at a suitable nearby location, oil containment and clean-up equipment, together with properly 14 trained personnel, for immediate mobilization and clean-up action in case of mishaps. That was the last stipulation that was 15 provided formally to us. Perhaps you may have others that you'd like to add. I don't know. 18 17 18 19 TOM TRENT: That is the complete list. Thank you. If there are any questions, I'll try to answer them. LOTTIE EDELMAN.: Do you have any plans onamonitoring system? Of p~'S~n'ne'l"'Co~tinually monitoring this operation? TOM TRENT: As we have personnel available. Yes. 20 DR. McAUL[FFE: I would like to make one comment relative to 21 your clams. I think that is a good point. Again, I would like to suggest' that emulsifying the oil might be a desirable feature to 22 prevent incorporation of it into the tidal area-- inter-tidal area "that might affect the clams. I tend to disagree with your 23 restrictions on disposal of drill cuttings. As I indicated, in all oil drill cuttings would contribute only two barrels of oil. 24 About ninety-eight gallons. I might raise the question, what does Homer or other districts do -- cities in the area do with 25 their --with their current drainage and so forth from engines used by marine operators and fishermen? I think that is more of a problem than the discharge of any oil base'-- not oil base. But B & I COURT REPORTING SERVICE 4Ol K STR [lit 32 10 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 .any drill' cuttings at oil sites. ..C...OLONEL DB~EL!US: Do you want to answer that, Tom? TOM TRENT: Again, we desire to maintain a conservative view point.' Admit'tedly domestic sewage systems and so forth do dump oil and so on', but in this case the material involved is quite small. And again the retention of these materials for disposal elsewhere shuuld not be prohibitive -- a.prohibitively . expensive proposition. COLONEL DEBELIUS: I might add that I do have an indication here that Standard 011 accepts the stipulations that were proposed by the Department of Fish and Game. So that if the permit were issued, it would contain precisely those things that have been read here. I think there is a question in the back. Yes, sir. HUGH MALONE: Colonel Debelius, it's not a question exactlY, but in regard to the -- to disposal o'f cuttings or anything that may be contaminated with oil, I think the Department of Fish and Game and the. other State departments have a responsibility to carry out the State statutes .which prohibit -- absolutely prohibit the:dumping of oil into State land or waters. And locally here we have a very serious problem with the disposal of these from the municipal dumps and sewer systems that we are currently trying to solve on the Peninsula right now. But the State' law says none will be dumped. COLONEL DEBELIUS: Thank you.. One more question. Yes, sir. JIM BRINDLEY- I didn't quite catch it there, but the said cleanup equipment there, did they define what was needed, or is that left to somebody to define? Or are they defining what clean- up equipment in the case of a spill --- COLONEL DEBELIUS: The stipulation does not define the cleanup equipment precisely. But I believe that the Department of Fish and Game has indicated to us separately that they will, in consultation with the Standard Oil Company, satisfy themselves that the cleanup equipment to be provided is sufficient to meet what they consider the minimum standards. O.K. Normally I would procee, now-to go on with Other Federal agencies and State agencies and certain other distinguished representatives of various community interests. I do have an indication from Mrs. Edelman over here that there are some fishermen present who are here to testify on the subject and who have somewhat of a .problem in that they apparently have to get ready for fishing again. They don't get much time to do so. And have made a special request to be permitte( B& I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 33 10 11 12 13 14 15 16 -- 17 18 19 2O 22 23 24 25 to testify early.. And I will grant that request because clearly much of what is discussed today has to do'dir'ectly with their own interests. TOM TRENT: I might add while I can still talk here that we have no objections to the permit provided we have'those stipulatior COLONEL DEBELIUS: Thank you. The indication from Fish and Game is that they do not object to issuing the permit provided the stipulations that were already read are included. Because I can't precisely identify which are fishermen from.my ligt and which aren't, I would like to ask if any of you who do have to leave -- any of the fishermen here who do have to leave, if you would raise your hands and I'll try and get to you right away. And then we'll proceed with the others, so -- Lottie, I granted your request, but I don't have any takers. O.K. Are you a fisherman? LOTTIE EDELMAN: Colonel, I'll have to leave. We won't know until later this afternoon whether we fish tomorrow, and I assumed those were here because some of them had mentioned yesterday to me -- I don't know whether they're here now or not -- that if they had to go too long before they could testify today, it would be impossible for them to attend the hearing. In 'fact, there are any number of fishermen who are not here today due to the fact that they've.had engine breakdowns, gear problems and things and will not know -- we don't know from twenty-four hours to twenty-four hours whether we're going to fish or not. And there is a lot of fishermen aren't here because of that. COLONEL DEBELIUS: Thank you. With that then -- Yes. Yes, si BUCK RICE: I am .not a member of the fishermen's group, but I Would like to make a short statement and I do have to leave immediately after that. COLONEL DEBELIUS: Come up. BUCK RICE: My name is Buck Rice. I live in Anchorage and I'm the Alaskan manager for one of the drilling mud supplying engineering companies. My particular company is Magcobar. We have several competitors and I notice that my major competitor is represented here today also. What I'd like to say concerns the product that we use in our drilling mud and some of the improved techniques that we are using now. We are using fewer and fewer products. Several of the stipulations that are put on dumping drilling mud are the B & I COURT REPORTING SERVICE 4OI K STREET ANCHORAGE, ALASKA 99501 34 S. .1 direct function of what is in the drilling mud. One is the 2 alkalinity -- the PH -- and as was mentioned before, this is controlled by sodium hydroxide. Before we dump any drilling mud, 3 the engineer on the location is required to take a sample and analyze it, add a chemical to it to reduce the PI{ to below the 4 accepted values. And then the sample -- take a sample from what is being dumped'.and send it to town. The basic chemicals that $ we are using in the drilling fluid now are very similar to fertilizers. A lot of things that all our people come down by the 6 warehouse, .pick up a sack or two to take home and put on their flower gardens. We are getting better and better in applying our ? technology in mechanical stabilization of holes. We don't have to use some of the.contaminating compounds that we used to'use 8 to control some of the problems. We are doing it more and more with hydraulics -- more and more with improved technology. The 9 only serious contaminants or possible contaminants that we are using in most of our Cook Inlet operations right now is the 10 sodium hydroxide -- caust.ic soda. We neutralize 'this with chemicals before we dump. Ail dumping of fluid is monitored at 11 the time it's done. If there is any questions from any of you about any of our products, I'm prepared to answer those. And that is about all I have to say. Thank you. 14 COLONEL DEBELIUS: Thank you very much. We have representa- tives from the 'S'i'a.'te Department of Oil and Gas. Homer, do you 15. want to offer any testimony here? HOMER BURELL: No, sir. We have no testimony. We are simply here to answer questions if somebody has some and we can help 17 them. 18 COLONEL DEBELIUS: Thank you very much. I'll proceed then to ' "i 'have' Ma~or Hazel Heath here from Homer. Would you like 19 to ~ffer some testimony? 20 HAZEL HEATH: No. Not from the City of Homer as such. I was -- just"here 'for Jobservation and to see what goes on at such a 21 hearing. Unfortunately I wasn't able to attend the one on Kachemak Bay, but Max Hamilton is here and will speak as an ~ 22 individual, but sort of as a representative, of the overall economic development, from the Peninsula Economic. Development 23 tree which I am the president of. 25 COLONEL DEBELIUS: O.K. Thank you very much. Perhaps you'd ike to speak now, sir, from that' position. MAX HAMILTON: My name is Max Hamilton. I am from Cooper B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 35 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Landing and have been a resident of the Peninsula for thirty-five years. During most of that time I have operated businesses at Seward and Cooper Landing. I served a term on the Borough's Assembly and as far back as the mid-60's have actively partici- pated in the Peninsula wide economic development program. At present, I am a member of the Peninsula Economic Develop- ment Committee, its executive committee, and working with our staff on an evaluation of the potential impacts from futu~.e oil activities on and around the Peninsula. Our consideration has to deal with overall effects on the total community, its economy, environment, and other resources. Our program has been initially concerned with the commercial fishery and its future. As a matter of fact, .the capability for the continuance of this resource is a first priority consideration in our program. On the strength of the information we have been able to obtain, we feel that fishing and oil are compatible enterprises in the Cook Inlet so long as proper safeguards are required. A number of months ago we effected an action recommending that a portion of the State's-r.evenues from oil activities in the Inlet go to improve the fishery, hatcheries and stream rehabilitation. Our theory is to use the development of a non-renewable resource to sustain and enhance the renewable resources to assure and sustain their health into the long range future. We do not identify a problem for the fishery in Standard's application for permit to drill off Kasilof. While the Economic Development Committee has not taken a position on this item, we have met with Standard on their proposal, and I feel compelled, as a citizen with some background, t° support the granting of the application. Thank you. COLONEL DEBELIUS: Thank you very much. Will you leave a copy of your testimony. MAX HAMILTON: Yes. COLONEL DEBELIUS: Thank you very much. I believe we have a representative £r~m National Marine Fisheries. Reed Harris. REED HARRIS: We have no comment. COLONEL DEBELIUS' No.comment. O.K. Fine. Frank McLLhargey. B 8: I COURT REPORTING SERVICE 40~ K STREET ,ANCHORAGE, ALASKA 99501 36 3 4 5 6 ? 8 10 11 -- 12 13 15 16 r_ 17 18 2O 22 23 24 25 Frank, would you like to offer any testimony? FRANK McL~HARGEY: No. As a staff position in connection with economic development under the Planning Department of the Borough, Max, I think, has reviewed the program approach that we've been attempting on the subject of economic development. I have no recommendation to offer to this application. I woUld like to, since the Doctor brought up some statistical facts regarding clam beach operations -- I would like'.to enter into the record and for anione else here who is interested, we have done the past two summers some t'ourist measurements. Last year we were able to obtain these type of figures on clam beach operations In view of the report regarding the use of the beaches and the harvest and the average expenditures that we find by our tourists, the question of economic impact might be drawn or measured, and I will offer that for the record of this hearing. COLONEL .DEBE.LIUS: Thank you very much. Do I have present any 6the'r representatives of either Federal or State agencies or other organized .groups who might desire to testify at t.his time? Yes. Let me take Lottie Edelman and then I have another gentleman here. Lottie. LOTTIE BDELMAN: I am Lottie Edelman. I am one of a couple speakers here for'the Cook-Inlet Fishermen's Association. There · s a lot of unknowns that we'd like to know prior to this, and one is that there's been no base studies in Cook Inlet. So it's thus impossible for us to say there is damage or there hasn't been damage. It's impossible for any of those with degrees to say there's been damage and hasn't been damage. As to the salmon, we feel that possibly their.behavior could be impeded by excessive pollution in the Inlet, because they do travel to their-mother streams in fresh water currents, and if these currents are polluted, it .has been known in other areas that salmon will not enter a polluted stream of return. There are whirlpools in this area -- extreme whirlpools -- and whether there would be a complete flushing action remains unknown. If the tidal currents are stronger coming up the east side, and if this is the way the Inlet continually is flushing by the flood tide in the east side and the ebb tide out the.. west side, it means any pollution in this area would necessarily\be carried to the Kenai River, up the Salamatof River, possibly as far as the Forelands and then on down the west side. After having lived in this area for -- in the Cook Inlet area for ~pproximately forty years, it's known that anything that does go · n on the east side can almost inevitably end up. on Kaligin Island on the west side of Cook Inlet. This is known from those that. B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 37 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 used to retrieve piling from the old trap days. When the piling was lost, it was -- quite a few of the fishermen WoUld go to Kaligin Island and retrieve piling that'had been lost. We feel that ~pills would pollute possibly a much larger area than just the area of the spill. Therefore'we would request that not.hing be dumped into Cook Inlet. That land sites be available -- be secured for the dumping of anything that might be. in the least bit toxic. We also would request that there be a monitoring system and ~ continual monitoring system. Everyone has their renegades, and some of our exploratory drilling in Cook' Inlet in past experienCe had some bad renegades. Some that the' bil companies themselves associated~themselves with in the past and have said that it was impossible for them to continue. The same as we have our renegades in fishing. It's human nature that if you can do something when nobody is looking, fine. I'll try and do it. And all these small amounts that are put -- placed together in Cook Inlet will soon create a major problem of pollution in Cook Inlet. I am not holding it just to the oil companies in that statement, but it's the City of Anchorage and all put together. I lived on Lake Washington in Seattle. Owned a home there. They felt that any treated sewage going into Lake'Washington was never going to make it polluted from their best modern treatment plants of a few years ago. Today every home owner on Puget Sound, Lake Washington. Green Lake and everyplace, else has had to pay a high fee every three months to clean up Lake Washington. They've had to put a big trunk sewer down through practically the center of it where all sewage has been going into and is going way out. Puget Sound has ended up in the same thing. And they are all paying in what is known as the Greater, I believe, King County Cleanup of some kind down there. Let's not have thai .happen to Cook Inlet. I do not feel that possibly the oil companies want this to happen either. That some of their personnel are living here. BUt let's keep this inlet clean. One of the things that was of concern to the fishermen was the economic value of losing a drift area. I believe' that was answered in a question I had here. Therefore, we'd request that any exploratory drilling be made in the off months of fishing. So many articles are contradictory. So many doctors -- we had a Dr. Katz that appeared before us in a statement for a discharge from the Chemco plant that was to go into the inlet, telling us COURT REPORTING SERVICE 401 K STR[[T ANCHORAG[. ALAS½A 99501 10 11 .· 12 13 15 17 18 2O · 24 25 what good fish food that was. No harm could ever become of 'tllc discharge from the Chemco plant going into Cook Inlet. We have no way yet today to know if the latest that was found at done harm to the fishery or not. The. rel'or'e we'll also request that some-base information be secured. ~e fee. 1 that there should be base information secured as rapidly as possible for ali parts of Cook Inlet. Then we'll know what's happening. We can stand up and say, no, .this does' not happen, or, yes, this does happen. And do it with a basis to work from. And no' major objection to this was made other than the economics -- being a major drift ground. And, therefore, the next step, if discovery is made there, what type of permanent operation would take place? There was a question asked here on the limitation of the time of a permit. If there are more than one exploratory well drilled in this area -- and thi. s one would be possibly completed t'his fall -- we would like information as to when the next exploratory wells would be, and again request that they not be. during the fishing operations. I thank you. COLONEL DEBELIUS: Thank you very much. And, sir, I think you indica'ted 'yOu represented an organized group. TQM WARNER: My name is Tom Warner. I am representing the Board of Directors for the Kenai Chamber of Commerce and I am here to read in a resolution passed by the Board of Directors. "RESOLUTION concerning the application of Standard Oil Company of California for a Department of the Army permit to drill an exploratory well within the State of Alaska at a point 12.5 miles west-of Kasilof. WHEREAS the development of oil production in the Cook Inlet in the past has been beneficial to the economy of..the whole Kenai Peninsula and continues to be a strong supportive influence to the economy of Kenai, in-particular, and WHEREAS the full pOtential for oil development in Cook Inlet· has not yet been realized, this potential being estimated at two or three times the present proven reserves in the area, and WHEREAS final proof of the potential and the actual existence of new fields can only be established by drilling exploratory wells, and WHEREAS Standard Oil Company of California has applied to the Corps of Engineers for a permit to dril.1 an exploratory offshore well a few miles southwest of Cape Kasilof and such exploratory operations being programmed to be carefully controlled B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE ALASKA 99E~01 39 i 2 3 4 5 6 ? 8 9 10 11 12 13 14 15 18 18 19 2O 21 22 23 24 5 within the requirements of State and Federal regulations and Company practices to prevent deleterious effects to the environment., THEREFORE be it resolved that the Department of the Army give favorable consideration to the granting of said permit, and that this resolution be aubmitted for inclusion in the testimony to be given at the public hearing Scheduled for July 11, 1974, in Soldotna. This resolution passed unanimously by the Kenai Chamb~'r"of commerce Board of Directors at executive meeting of June 28, 1974. ~gL~0N_~E_~...O~_B_B_¢i.![[~;.. And you' re leaving a copy o{ the .resolution TOM~g~.N~.R~: Ye s, s i r. COLONEL-DEBELiUS: Are there any other representatives of grou~:~ 0r :;ig~fi~i~:~'~o desire to speak at this time? O.K. Fine. i do have, as I say~ a rather voluminous list of. attendees here. Rather than go ~hrough it name by name, perhaps you could indicate by a show of hands how many private individuals would like to speak, O,K. Fine, We'll begin perhaps, with this gentleman here, and those we can get before lunch, we'll take. Otherwise we*ll see how many are left. TEpiD BR9~.~: Thank you, Colonel Debelius. My name is Ted Brown. I am District Manager for Imco Services, a division of Haliiburton, and a competitor of Mr. Rice speaking a moment ago. I'do support Standard Oil Company*s permit apPlication -- application ~o~ permit to drill this exploratory well off Kasilof. As has been said, it will take at least two years, if the well should be successful, between drilling the first well to the establishment of a permanent platform. This will give adequate time to evaluate any impact on the environment which may occur. There has been in the past, to my knowledge, two exploratory wells drilled in this area, and there was no detrimental effect that has Been noted From either one of them. I was at that particular time Service Engineer on the Mesa Petroleum venture that was drilled off Kasilof Point and can speak with confidence in saying that there were no pollutants pumped from the jack-up rig that was used which was tender assisted, where the Ferris will be self-supportive, Advancement of technology since 1968 when this well was drilled has been of such an order that there is no doubt in my mind that the operations planned can be drilled ANCHORAGE. ALASKA ggsol 4O I0 11 12 13 14 15 16 17 18 20 21 22 2S · 25 and completed succesSfully with no damage. Should Standard be' successful in finding commercial quantities of oil or gas, they'll pay royalties 'to the State of Alaska, thereby lessening'my own personal tax burden, I'm sure. I do strongly urge you to make a favorable decision on this permit. COLONEL DEBELIUS: Thank you very much. And Mr. Brindley. Would you like to speak., sir? JIM BRINDLEY: Jim Brind!ey. I am a member of the Cook Inlet commercial fishermen, but not officially representing them, mainly because we probably haven't had any meetings to appoint anybody. But my contention.and the poin~ that I'd like to make are specifically on what's been said today and staying with.them, because we all know and hear those and they're stil'l fresh in our minds, because after hearing comments, why, .I usually modify them to. fit what I want to think. And usually what I heard might. not be what I thought I heard. But what most of the people have said today was, we are studying or will study or learn -- we don't know, but we think that this is probably pretty sure -- we have a shortage of information on the Cook Inlet -- we have lots of information on other places that we'd like to translate or extrapolate to Cook Inlet -- and at least from my point of view of what time I've spent on the beach, I don't think that it's that easy to translate from the Louisiana bayoU.or. Massachusetts to here. Mr. Trent from Fish and Game says that we have studies which show that oil stays ten years, and Mr. McAuliffe from Standard Oil says this is not so. And I don't know which one is right, but I know that there is a very definite division of~opinions on everything. And the point I'd like to make really is that I don't think the oil is going to be -- lose any value out there in Cook Inlet. I think it's a nice storage area, and if possible, hold off. The draft environmental statement that I read that I got from you where it said that the flushing was very minima'l -- again Mr. McAuliffe says we have a total ninety percent change in ten-months. I still don't know which one's right.' But I would like to know more about it before we find out that one or the other was detrimental. Apparently the tide studies, current and water information is very poor, because we have a minimum of two Federal ships out there studying it right now. And probably it -- this was felt that this would be valuable information to have. So I would personally be willing to wait until they got a .little more of it. The cleanup equipment was also mentioned, a.s I believe the B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 41 10 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 Coop had an addition to your draft environmental statement, and in it it mentioned the maximum conditions that the cleanup equipment would work in. And most of the time I've seen She iinlet their cleanup equipment would not function according to the standards they said it would function.. I think a maximum of four foot waves or six foot in this area, minimal current action. And if this was true, if this is the best we have on the cleanup equipment now, then ninety percent of the time it probably wouldn't function in Cook Inlet. It wouldn't have functioned the last tWo weeks when we had the 'strong southeastern current blowing. And if we'd have had an oil spill in the area where this drilling is going to take place, we would have had major oil pileups on the beaches all the way north from Clam Gulch to something near Nakiski. And depending on how much oil, it would have been in the Kasilof River and the Kenai. And I don't know how many people have fished the King run this year, but I'imagine if we'd have had oiled Kings in the river for the Isaac Walton League to catch, they would have probably been rather irate. I kind of wish they.would have come down and commented. I'd like to know their position on this. I haven't heard it. But I know there is -- the spor.t fishing for Kings in the two rivers has been major this year and if we'd have had any spill during this last two weeks, it would have affected it. One point that I just found in the paper today was that Alyeska has applied for a permit to dump clean ballast in Valdez. Harbor, but they also admitted that they have no way of mo~'~itoring the amount of discharge that they have. They won't know whether they're discharging a minimum amount as they said they would. So all things considered, with the. oil adequately stored now and the oil market such that we are not.going to lose any price on it, and we could trade off our fishing industry, I would like to urge not issuing this at this time. We could afford to wait. And it really boils down to a question of money. Standard Oil, as Mr. Sauer mentioned, has the responsibility to their taxpayers stockholders. And the fishermen on the Cook Inlet would like to feel that they have a stake in the fisheries. We'd like to see it continue. And I have no great complaint against the oil Decause I drive a vehicle. In fact, I used some of the residue from your oil in the last couple weeks when I took some old worn drill bits and used for an anchor. So they have been a help to me too. And I have worked out on the platforms. And I feel that we don't want to push for no oil. We just want to not trade the fishing for oil. Thank you. COLONEL DEBELIUS: Thank you very much. BONITA WILSON- I'd like to ask him a question. What do you do with -- my name is Bonita Wilson. On your boat what do you do B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99§OI 42 10 11 12 13 14 15 16 17 18 19 2O 21 22 23 2'4 25 with your sewage and your bilge water? MR. BRINDLEY: I don't have a boat, but I know that most of them dump it over the side. BONITA WILSON: That is polluting too. There is probably more pollution than.you're getting from any drilling platform. MR. BRINDLEY: I haven't heard of a drift boat dumping 30,000 gallons of oil like they did at Drift River in the winter of '72. BONITA WILSON: Well, plus, how could you ~un your boats without your diesel fuels? MR. BRINDLEY: Like I said, I'm not against oil. I know the fishing boats are polluting and I know that they should be monitored at least as hard as Standard Oil. I was at the O[{DP meeting when Standard Oil was there and they made the point that their sewage requirements off of the coast of LOuisiana was so stringent, they couldn't hardly throw a used Kleenex off. And at the same time New Orleans was pumping raw sewage right out there too, you know. And I agree that this is irrational. .. BONITA WILSON: I think t.he fishermen should be monitored as well as the oil companies are, and the Department of Fish and Game should be out there watching what they're dumping into the water. I know they're out at Swanson River all the time. MR. BRINDLEY: I agree. MEMBER OF THE AUDIENCE: I'd just like to get a chance to , , say my pi'ece, i'f I co'uld. I am also in a unique posit, ion similar to Mr. Brindley. I am a commercial fisherman and I am also an employee of the oil companies. And I really'think that the main issue as such is just what occurred in the last. three minutes. We've been so busy for so many years fighting each other, that looking at it from both aspects we're not getting the cooperation from either side that we possibly could. Now, it's impossible for the commercial fishermen to harass the oil companies to the point where we can really hurt them very much. And we have known this. They have too much money, etc. So all we are doing is a harassment postponing the enivitable that is going to occur. On the other hand, I do feel that a lot of the so-called vandalism and damage done by the oil companies, if 'they weren't aiming this at an enemy but at a friend, perhaps they might be slightly more considerate On a whole and in doing less damage and being more considerate for the other side. But we've been I COURT REPORTING SERVICE 401 K STREET ANCHORAGE, ALASKA 99501 43 lO 11 12 13 14 17 18 19 20 21 22 23 24 25 enemies right up.until today'. We still are now. And consequently you don't think too much about going out of your way to help your enemy if he's fighting you anyway. I'feel myself I'm in that 1.{r~e. I've been a commercial fisherman for many years. Now, at 'tl~(~ moment I do have-a vessel. It's not in the water yet. Now, I've been working the last three years for an oil company to make enough money so I could modernize my boat enough so I don't have to dump my sewage overboard.' So I'm rather in ~ unique position that I can't live without the'oil companies . I need the wages that I'm making from the oil companies at the moment to subsidize .my commercial fishing, because in all the years that we've been fighting the oil'companies, they've finally cut me down on my fishing to where I can't possibly make enough money fishing to subsidize my commercial fishing without the help of the oil companies. And I really think that if a lot more fishermen would stop and'consider this, things would be better. I know they're going to get a well out there. I don't have any proof of it, but I've lived a long time -- a little'over forty-five years -- and I know that I cannot buck the.multi-million dollar operations that the oil companies can afford with what I can make commercial fishing or with my associates and friends who are commercial fishermen. And I'd much rather have them on my side. Now, I feel that the permit should definitely be issued, but it should be issued on a basis of making limitations and making concessions to where the oil companies will look out after our interests, because we are going to stop fighting them and all the harassment we're causing them now, instead of fighting this harassment they could utilize this energy that they save to try to cooperate with us. Take a little more precautions where necessary. We had a meeting here -- I don't know -- a month or six weeks ago and a gentleman who represented Standard Oil on his own behalf, but who's been a long time resident who also knows both sides of the story much better than I, came up with a suggestion just off the top of his hat that they can offset drill this exploratory well instead of being right in the middle of our drift area. Could have straddled a natural obstacle that we have there -- the Three Sisters -- and in so doing wouldn't hamper our drifting whatsoever. It would be a matter of them shooting offset slightly to drill their exploratory well, which is no big deal to them. And at the same time he says, "Heck. We could even exchange favors. When we get done, we'll blast the rocks out o:f there and clear your drift area." That isn't specifi- cally -- this particular thing is important. The thing that I'm concerned with, I think if we get on the same team instead of on opposite sides, that we could help each other. Now, supposing that they did discover oil there and they want COURT REPORTING SERVICE 4OI K STREET ANCHORAGE. ALASKA 99501 44 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 to put a permanent platform in. I'm sure that some sort of concession could be made whereby if they do hit oil -- fifty to a hundred thousand dollars a year to the oil -- if they do hit out there, nothing is paltry -- this would be a large enough amount, if they could tender fifty or a hundred, thousand dollars in into rehabilitation of the streams, improving our hatcheries and so forth, they could do a great deal more good' than what little harm they might do.. And I feel' that'if.we were fighting together on this -- if we joined with the oil companies --.all right, there is always going to be the individuals who are going to be inconsiderate and thoughtless and do some certain amount of damage, but I feel that it could be kept very minimal. I feel that'it could be done on a basis that if we're cooperating together, they can do us actually more good than harm, if they so desired. The point is, do they want to or are they just going to say, "Well, you guys tried to harass us. We went over your heads anyway. Now to .heck with you. We'll do just like we've done in the last twelve or fifteen years." But I really do feel that a permit could be issued with enough stipulations, restrictions, orders and so forth that I do feel that the oil people and the fishermen could be. compatible. We have many big issues at stake. The oil companies are fighting for a 200 mile offshore limit. I feel right now t'hat the foreign fleets are doing .as much, if'not more, damage to the fisheries than what pollution problem we have. Perhaps if we got together with the oil companies,.between the united fishermen and the oil companies, we could get this foreign fishing fleet taken care of, etc. There are many, many, many points that we could help each other a great deal more than harassing each other. And this is my personal viewpoint, even though I'm very active in the oil companies. They're subsidizing and paying my rent right now until I can afford to make enough money to go fishing again. On the other side, I'm an active member of the fishermen's group and can completely understand the fishermen's problems.. But for the last ten or twelve 'years we haven't been ab.leto subsidize and it's going to continuously get worse unless we team up together. This is all I. have. COLONEL DEBELIUS: Thank you very much. Would you state your name? BOB GRENIER: -Bob Grenier. ,., COLONEL DEBELIUS: Fine. Thank you. One point I'd make is B & I COURT REPORTING SERVICE 4OI K STREET ANCHORAGE. ALASKA 99501 45 10 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 before anybody blasts any rocks, they need a. permit. DR. McAULIFFE: May I make a couple of comments? He's indicated there was some -- some disagreement with reference to a couple of points. One was that Tom Trent said that clams contain oil for 1.ong periods of time. I say that organisms, based on the studies that have been made, when they're placed in clean water lose these hydrocarbons either by metabolism or otherwise. I think Tom made. a correct point that in the study of.the clams it was probably the sediment that contained oil over this period of time, so they were continually getting recontaminated by the oil in the sediment. However, i.n clean water I think the evidence is that organisms do cleanse themselves of hydrocarbons. Therefore, I don't think there is any real disagreement on the data. The other point with reference to the flushing, what I said is based upon the studies of the University of Alaska, and what is in the EIS draft form appears to be in disagreement. I would just like to state 'that I think flushing is important for toxicants-that don'tbiodegrade. FOr example, might stay in suspension like heavy metals or something of that nature. Then I think flushing is important. But as may not have been. too apparent in my testimony, the weathering process that destroys crude oil in the Cook Inlet would be effective if there was no flushing. Therefore, it's not necessary to really go to the point where yoU'have to flush the hydrocarbons out. I think they degrade by the Weathering process in the inlet. COLONEL DEBELIIJS- Thank you. Do we have any other questions? O.K. We'll break for lunch and let's come back at about quarter to 2:00 to continue the 'meeting here. Thank you very much. (Whereupon the luncheon recess.was then taken.) AFTERNOON SESS ION COLONEL DBBELIUS: If you will all take you[. seats, I think we can get off to a very belated start here, for which I apologize It looks like we have thinned out our audience quite a bit here. I would -- rather than try and read down the names here, since I don't have an indication of yes or-no on anybody's part, I would ask right now that those of you who desire to make a statement or comment raise your hands so I can get an indication. O.K. Why don't we start in the front row here. WAYNE RODGES: Colonel, Miss Loss, ladies and gentlemen, my name is Wayne Rodges. I am a Landman for Union Oil Company of California, Oil and Gas Division, in our Alaskan office in B & I COURT REPORTING SERVICE 4OI K STREET ANCHORAGE, ALASKA 99501 46 5 6 -- 7 10 11 13 15 16 -- 17 18 2O 21 ± 22 23 24 25 Anchorage. Union Oil Company is in support of Standard's exploratory operations in this area of hydrocarbon potential. It is o~r belief that equipment and technical expertise presently exist which will safeguard sea life and the environment'under existing regulations and st. ipulations. Cook Inlet has. been bountiful to Alaska and its people for many years from both renewable and non-renewable resources. Geologically, Cook Inlet is thought to contain other oil and gas accumulations. However, this determination will'never be made unless the lease owners are allowed to proceed with their exploration. We feel further exploratory and development operations will have a favorable economic impact on the Kenai Peninsula, which has existing port, transportation and processing facilities. The oil and gas and the fishing industry have worked side by side in the inlet before and with a spirit of cooperation they can continue to do so for the benefit of all concerned. We urge the Corps of Engineers to give balanced consideration to this matter and approve Standard's application. Thank you for allowing me to make my comments. COLONEL DEBELIUS: Thank you. Are there any questions? O.K. Fine. I think we .have another --- Yes. In the front row. WADE LUNDSTROM: My name is Wade Lundstrom. And I r'ealize that this is toWard the exploratory end of the oil drilling in the inlet, but also realizing that we have to explore to produce,. knowing also that this is in the public interest, or the reasons that you use for either approving or disapproving the application, I feel that it's in the best -- in our national interest to help us become more self-sufficient in our energy. I feel it's in the best interest of the State to increase our revenues to the State by royalties and also tax base. I feel it's to the best interest of the local people in favorable development in the area as well as tax base. I think there will obviously be sufficient enVironmental and safety measures that will protect Cook Inlet and the surrounding areas. I think this is demonstrated by the fifteen existing wells that have been drilled offshore .-- exploratory type wells. I feel that this venture is compatible with the environment and other interests in the area. And I do urge thelCorps to approve the application. Thank you. COURT REPORTING SERVICE 401 K STREET ANCHOF~AGE. ALASKA 99501 47 I ~:(~l.(')Nl'il. I)t~BELflIS: Thank you. Now I've lost memorization of wi~,, ,'1:~,' ll~l.(1 l.]~e]~"l~ands raised. So if I could ask again, I'll 2 l~r~l~:eed. Yes, sir. The gentleman here in the light jacket. ¸20 TONY STONE: I don't have a prepared statement. My name is Tony Stone. I work for an oilfield related contracting firm and I am speaking strictly from a personal viewpoint and opinion, and really echoing Wade and Wayne"s statements that I have watched these gentlemen and others work in the relatively short period of time I've been.a resident of Alaska -- two and a half years -- and they are diligent, from my observations, and other company's observations. I feel like the people wi'th Standard responsible for this venture are laying this reputation on the line to engage in this. And if they feel the safeguards and the technology are sufficient to adequately do the job, then I Would urge that the permit for this exploratory work be granted. COLONEL DEBELIUS: Thank you. I think Mr. O'Reilly raised 10 his hand. 11 VINCENT O'REILLY: My name is Vince O'Reilly, resident of the Kenai Peninsula Borough and I speak as a private citizen. I do 12 feel something is missing at this meeting. This is one of the few meetings that I've attended in recent monthg and years where 13 they haven't had the visitation of the streaker, and it's been missing since this meeting. However, on this .point, t.his is all 14 with due deference to the various interests represented here, I 15 would like to speak in favor of the proposal. And I must rely ~pon some of the background and experiences that I received while 18 serving as Executive Director of the Economic Development of the Borough. Our studies indicated at that time, and it still holds 17 true, the State is still in a net deficit position as far as balance of trade. This State unfortunately does not stand 18 independent. When you come down from that point of view and look at the community of efforts-- economic efforts that we're 19 involved in, agriculture, tourism, fishing, farming, petroleum-- tourism -- and you try to select from those industries which ones are going to be of benefit to the State and its people, many of the industries I just named have been here a long time and have 21 still not corrected this net deficit position. One industry that does offer' Alaska and its citizens the means by which they can 22 become independent is the petroleum industry. ,. 23 In listening to the testimony today, Standard 'of California has promised, and I'm certain that they'll be held to that 24 promise, to provide every safeguard possible so that by their activities they do not harmfully affect some other activities. 25 And this leaves me as a private citizen to stand very muc.h in B & I COURT REPORTING SERVICE ,4OI K STREET- ANCHORAGE, ALASKA 99501 48~ _. 6 .- ? 8 10 11 - 12 13 15 16 -. 17 18 2O 22 23 - 2'4 25 favor of their proposal. Thank you. COLON~.L DEBELIUS: Thank you, sir. May I ask then for others who wish to speak. Yes, sir. GARY TIBBETTS: My name is Gary Tibbetts and I am a commercial fisherman. I live on Kalifonsky Beach and my question or my concern is ~hat I'm still not convinced that there will not ,esomething detrimental happen to the resources -- the salmon-- the clams -- and I would rather see some more time taken. Some basic studies on these before drilling is permitted. I think the excuse for drilling right now, if drilling must be done right now -- it seems to'have been based on the cost of the drill, ing rig or that the drilling rig is now available, and the 'energy crisis was also brought up. Now, some of us think the energy crisis was a bit contrived~ especially when we see the profits of the corporations -- three or four hundred percent profits .-- so I would~ like to see the l'ife cycles of the salmon studied so that we'll know what we're getting into. Because salmon is a renewable resource, where oil, if left in place, will still be there ten years from now or twenty years, what have you. It just seems to me that the feeling is to get it in now for the quick profit at the expense of, you know, the beauty of the area. I have never seen a beautiful oil rig yet and I sit right on the beach and see the smoke coming down the inlet from the existing oil rigs. And this is disheartening to me. Thank you. COLONEL DEBELIUS: Thank you, sir. Do we have others? Yes., sir. ALEX SHADURA: .Colonel, and the Review Board, I didn't -- I just"fo~hd out about this this morning. I should have probably know. It's probably been to public notice. But I've had a long time interest in the fishing industry on Cook Inlet. I've been a fisherman, I've been a producer, I've been a packer. And I think there is somethings that haven't been answered as far as the oil industry as to.the effects on the propagation of the fisheries on Cook Inlet. Until those things are definitely.answered, we should proceed with caution. As this gentleman before me just said, if it's there, it will be there ten years from now. There is no reason why we have to make any conclusions right now. And I seriously doubt that this is going to affect the energy crisis that much. That one -- this area -- particular area has always been a drift fish area. I used to be a set netter and I have a homestead on Kalifonsky Beach., but I know from years of observation and B & I COURT REPORTING SERVICE ,4, Oi K STREET ANCHORAGE, ALASKA 99501 3 4 10 11 12 13 14 15 16 17 18 19 20¸ 21 22 23 24 25 being involved for twenty-five years in the .fishing industry, that this is one area that was a drift fish area. And platforms and drift fisheries are not compatible. As the platforms that are in the area above the east and west Forelands are not in the drift ['ish area --- they're in a ]./.m/ted drift fish area -- I am not spcakii~g as t{~ them. We arecurious to know what happened a ~umber of years back when we had a heavy run of red salmon-and they did refuse to go beyond the east and west Forelands and as a consequence were fished Out. It was during the heavy activity of the drilling activity, and the platform activities there. I've had some basic study in ichthyology and I've been asl<ing some of our scientists just what are the effects of vibrations. And they haven't come out with clear cut answers. PerSonally I have set -- I have laid there and tried to sleep with the platforms fifteen to twenty-five miles away and the vibrations and the sound are so terrific, I am just -- I'm a human being, but I would imagine that other animals are affected similarly. This is something that creates a problem and I think these things should be answered. I ask that you consider this very closely and bring in, before you make any decision, unbiased scientists, not scientists that are put forth by the industry .or by the fishermen -- but that you as a Review Board will bring in scientists that.can answer the question of the effect of sound, effect of vibrations, effect of the escapement of hydrocarbons or the fumes, whatever it might be -- effect of ..... so that is ail I have to say. COLONEL DEBELIUS: Thank you very much. Your name is Alex, but I don't know ALEX SHADURA: My name is Alex Shadura. I was born here on the Kenai Peninsula and I've been involved -- and I am concerned with the interests. I am not hardnosed about being concerned with one industry alone. I know that our need for energy, our need for the oil industry is developing, but I think in this particular case that we should think about it a little bit. COLONEL DEBELIUS: There is one thing I think you should know. I don't know -- you weren't here this morning, is that right, sir? MR. SHADURA: No. COLONEL DEBELIUS: The permit action that we are looking at here is for an exploratory well, which would be a temporary 'thing. And the applicant proposes to begin his operations and complete them outside of the drift fishing season. So that it doesn't B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 5O - 7 8 9 10 11 -- 12 13 15 16 18 2O 21 22 23 -' 24 25 represent a permanent platform and the permit application does not give him any aUthority or right for production or devel, opment or a permanent platform. And that would come later if he should apply for it. So. that is an important thing. ALEX SHADURA: I would like to mention one other thing. I. think you have some scientists here that understand downstream migrants and the propagation of fisheries. I think that any activity -- in fact, they don't know what happened in some of the activity that they had out here on the inlet when they did the exploratory work for the oil industry, blasting and what have you. They said it would have no effect, but the migrants -- the early stream migrants -- I think the time between the earliest migrants and the latest propagation -- the last upstream -- should be protected until you know those effects. If thOse effects'are harmful, then-we should proceed with caution. I don't, think -- between the time of October and March, I don't think there is -- I think the sea is pretty well barren and it wouldn't create any problems. BUt you have to be careful between April and late September. COLONEL DEBELIUS: O.K. Thank you very much. I notice quite a few people came in just a few moments agO. Are there any others who desire to 'make a statement? Yes, sir. In the back. I have a hand raised. Yes. MR. SAUER: I've had my turn earlier, but I"d like to clarify one po'int. They state we have unlimited time, like ten years. The State, when we bid on these tracts, put a --- COLONEL DEBELIUS: Could you come up here to make your state- ment? MR. SAUER: There is statements made that we have unlimited time. We are t~lking about ten years' wait. This length'of time, when we take a State lease, the State puts it up and puts a deadline on that lease after which time we either prove produc- tion or we lose the lease. And so there is no unlimited time. And we are not looking for a fast profit. We are looking for a business proposition that the State made to us. We bid on it and we took it with the good faith that we could drill on it. And so we don't have unlimited time. The world has unlimited time, but the State didn't give us that when they put this lease up for bid. And so I think that the time increment that we're looking at, we have to do our work in a time frame that the State set, not the oil companies. Thank you. ..MEMBER OF THE AUDIENCE: What is that time limit? MR. SAUER: These leases expire in 1977 and '83. '77 on the B & I COURT REPORTING SERVICE ,401 K STREET ANCHORAGE. ALASKA 99501 lO 11 12 13 14 15 16 17 18 19 2¸0 21 22 23 24 25 one we're on and. '83 on another one. MEMBER OF TItE AUDIENCE- Colonel, I think we .can modify a time limit extended by the State, but once you've done the damage it's too late. You can't make modifications. Again, if' the industry will real'ly put the pressure on the legislature to allow to put the money back to renew this resource, then, fine. But if you give them the permit .now and they say, '"Well, goodbye -- but if they'll really show they're interested, they want this money to go back to repropagate the fish, I'd be all for i.t. coLoNEL DEBELIUS- Do I have any other comment.s? DR. MCAULIFFE: I wuuld like t'o make one final statement with reference to the effect of oil on the fisheries, and that'is that there have been spills in the Cook Inlet and yet there is no -evidence that the past discharges of hydrocarbons-have affected the fisheries. I think it would be difficult.to try and differentiate effects of oil operations and those that are imposed by too high fishing pressures, change in weather conditions and so forth that affect these resources. One other'point I would like to make is that occasionally the comment is brought up that the oil companies should do this or they should do that. They should spend money along this line and so forth. And so the oil company'is a wealthy individual that has nothing to do with the profits it turns out. I am a chemist by training, a scientist. I don't know a great deal about economics, bUt I do know that it's -- that if any increased costs are added to the operation, it doesn't make any difference to the oil company, that profit or cost is then passed on to the consumer And practically everyone is a consumer of energy in one form or another. Therefore, you can't consider an oil company as an isolated individual. It's an organization that'S doing a job. And the thing is to develop the resources in a manner that is compatible with the known scientific knowledge. Now, statements were made that we don't know enough about this. I think that is true. But I think overall we know enough about the effect of petroleum on marine organisms to have a pretty good guess 'as to what the results would be in this area. And therefore you cannot study intensively all areas prior to even drilling an exploratory well. It's just not a feasible thing to do. You have to base your judgment on past experience and other areas and other tests. And so the question that you should delay and so forth until you know about an area or know more about a life cycle of a certain organism, no one is ever going to know ali the details about one marine life or one organism. It's just physically and scientifi- cally impossible. So that you have to have some judgment in terms of trying to work things out in a manner which is mmpatible with B & I COURT REPORTING SERVICE 401 K STREET ANCHORAGE. ALASKA 99501 52 5 6 -- 7 10 11 · - 12 13 15 16 - 17 18 2O - 24 25 known information. COLONEL DEBELIUS: Thank you. , MR. SHADURA: I realize to make a scientific study of. the animal~ and '~rgani.sms, it takes a long time. +hat isn't what I was after. You have within the universities throughout the United'States -- you have expertise who can now testify unbiasedly on the effects that I'm asking for, and that can be done within a limited short'time. I wouldn't want to drag on the thing if they can show reasOnably well that there would be no detrimental effects. But until that time -- until you've heard that as a Review Committee-- until you've heard that, I.would still consider proceeding with caution. COLONEL DEBELIUS: Thank you. I have another comment fr.Om the back. MEMBER OF THE AUDIENCE: Everyone else is taking a second and third 'thrh. i"m hB't a'~'cientist or an economist, or biologist or any of these things, so I can speak openmindedly . Concerning the statement about, somewhat taxing the oil industries, the way of having them put i.t back into the fisheries, as I suggested earlier when I spoke up, true, this is merely going to turn around and go to the consumer. But if it goes to the consumer, then I'll be sharing that burden with a hundred and eighty million people in the United States, not with six or seven hundred fishermen here. Now, we pay fish tax to begin with when the fish is caught in the raw before it even gets to the'cannery. We start paying a tax on it. I spend my money here. Have been for many years. I pay taxes on it, etc. But yet all this tax money has been going into a general fund which is utilized, to build roads that the oil companies and all the rest of us utilize, .etc. And I think it was brought'up at one of the meetings here recently what percentage of this overall taxing from the fisheries iS returned to the fisheries at this time. And it's quite appalling. So I feel that even though it might indirectly come back out of my pocket, if the oil companies agree to put a little bit of the money back into this renewable resource, which we badly need now, this is one source that we can get it from and share the burden of this with everyone else. Where the way it is now, we are not -- we are trying to do it alone. COLONEL DEBELI.US: Thank you. For the record, that was Bob Gren'ier. O.K. I think, unless someone cares to raise his hand -- Yes. I do have another comment. MARY MULLIN: My name is Mary Mullin and I was born in Soldotn~ and have lived here twenty-two years. And I've been surrounded B & I COURT REPORTING SERVICE 401 K ANCHORAG£, ALASKA 99501 53 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 by oil and surrounded by fish, and I -- I like them' both' I thi~k they're, you know, both very necessary things. But it really grosses me out the way the government, from the Borough on up to the Federal level, has always put non-renewable resources at a higher priority than renewable. And I just think it's about' time that we. really, really were terribly careful with renewable resources. Because, you know, we'll live and die and, you know, I'll probably be here another fifty years, and then, you know, what happens to my great grandkids? We can all make a fast buck now and that is fine. I like money. But what is really going to happen? And I think you guys care and I just -- I wish you. would act like you care more than you do. Thank you. And I oppose this. COLONEL DEBELIUS: Thank you. Any other comments? O.K. I appreciate your. attendance and your.giving up you time on this beautiful rainy day to attend the meeting. And, ks I announced at the beginning, it's very important for me as a Federal official who has to make a'decision in this case to get some' expression of your interest as representatives of the public. And, as you know, we have heard many views today, some of which conflict, some which don't. I will review the testimony as soon.as I can get all these t'hings together and will announce a decision in as short a time as possible as to which way we'll proceed. Thank you very much. END OF PROCEEDINGS I COURT REPORTING SERVICE ~.O1 K. STR IEET ANCHORAGE. ALASKA 99501 54 RE~L~ 1'0 AT TEN?!ON OF' ~,i PACO-OP- P Cook-Inlet 186 DEPARTMENT OF THE ARMY ALASKA DISTRICT. CORPS OF ENGINEERS P.O. BOX 7002 t907) 279-4123 June 1974 PUBLIC NOTICE NO. NPA 74-218 The application of Standard Oil Company of California, Western Operations, Inc., for a Department of t'he Army permit under Section 10 of the River and Harbor Act of 1899 (30 Stat 1151; 33 USG. 403) to drill an'exploratory well within the State of Alaska Oil and Gas Lease ADL-60579 in Cook Inlet at a location 12.5 miles West of Kasilof will be considered at a public hearing on the subject to-be held in the assembly meeting room of the Kenai Peninsula Borough office building in Soldotna, Alaska, at 10 a.m. on 11 July 1974. All interested individuals, groups and agencies are invited and urged to be present or represented at this meeting. Everyone will be givenal~ opportunity to express their views upon factors which may l~e relevant to the proposal: among these are conservation, economics, aestl~etics, general environmental concerns, historic values, fish and wildlife values, flood damage prevention, land use classification, navigatiorial recreation, water supply, water quality and in general, the needs and welfare of the people. Oral statements will be heard but for accuracy of record all' important facts and statements should be submitted in writing. Written statements may be handed to the chairman of the meeting or may be mai.led before- hand to our office. Mailed statements should indicate that they are in response to th~s announcement, . Please bring this announcement to the attention of anyone you know who is i n terested. .. FOR THE, DISTRICT ENGINEER: WALTER B. LANDER Chief, Construction Division 55 bLASTER ~P~ILING LiST ~ 27 . APRIL' 197,~ · Y.~.v~-.-cn.,~al Protection ~\~encv Arctic'Environmental Research. Lab, Colle:~e 997()7 i-~ q'.~-~st Guard, Officer-in-Charge of'Marine Inspection, Box i"S6 Anchocage 995[0 ?.. Cp~z~and~ .iTth Coast Guard D[st, AT~' Aid to Nay Sec, Box 3-5000, Juneau gg~0[ t. !'~. f~eolo~-~ical Survey, Regional Oil & Gas Supervisor, Box 259, A~chorage 99510 3. 'Feder~-~! ~wiat[on Administration, AT~: AL530, 632 Sixth Avenue, A~cho~age 99501 ' ~-~d-=~'~[ l~hwav Administration, Box 1648, Juneau 99801 7. EPA~ Director~ Alaska Operations Office, 605 Fourth Avenue, ~nchorage 99501 ~ 8. Bureau ef Indian Affairs, Area Director, AT~: Realty, Box 3-8000, Juneau 99801 ..An~x~raga . ~9~01 ~0' Bureau of Land b~nagemeq~., State Dired%or, 555 Cordova Street,. Anchorage 99501 il. Bureau of Land ~nagement, Ne~Orleans OCS off%ce, 1001 HOward Avenue, Suite 3200 New Orleans, ~ 70113 za. MSCO Office, Bldg 6-900, Elmendorf ~B-..99506 !3. Nationai Marine. Fisherie.~,.....~D~, Regional 'Director, Box 1668',. Juneau 99801 14. Pacific Marine Center, Director, 1801 Fairvi6w Avenue East, Seattle, WA 98102 15. l';~.tqonal Parks Service,. Alaska' qf~iqe, State DireEtor, 334 West Fifth A~enue, Suite ' i6. National Parks ServiCe, Box 1089, Juneau 99801 Anchorage, Alaska- 99501 !7. Nationa~ Parks Service, Pacific ~ Re..~i.on, 931 Fourth & Pike. Bldg, Seattle, WA 9810] 15. Bureau of Outdoor Rec~.eat~gq~ Pacific ~ Re~ion, Dep: of the Interior, 1000 Second Avenue, Seattle, WA 98104 i9. Bureau of Sport Fisheries & Wildlife, Area Office River Basin Studies, 813 D Street, Anchorage 99501 20. Bureau of Sport Fisheries & Wildlife, Western Alaska River 'Basin Studies, 813 D Street, Anchorage 99501 21. Bureau of Sport Fisheries & Wildlife, Southeast Alaska River Bas. i= Studies, P.O. Box 1287, Juneau 99801 =_.~9. Forest_ Semite, Regional Forester, Box 1628, Juneau 99801 23. Nation~! Marine Fisheries Service, ~. R. E. Morris, 632 Sixth Avenue, Anchorage 995 24. Honorable Mike Gravel, United States Senator, P.O..~ox 22~3, An.choraBe, AK ~951n 25. Are~ Director, US Departmen~ of Labor, OSHA, Room 227, Federal'Building, 605 West Fourlh Avenue, Anchorage-, Alaska 99501 STATE AGENCIES i, Division of Aviation, Director, 4510 International Airport'Road, Anchorage 99502 2 Depa~tmeg~ .of Fish & .Game, Habitat Coordinator, 333 Raspberry Rbad, Anchorage 99502 3. Department of Fish & Game, Chief of Habitat Section, Subport Building, Juneau 99801 Division of Oil & Ga_s, Director, 3001 Porcupine Drive, Anchorage 99501 5. Division of Marine & ~oastal Zone Management., DirectOr', Pouch O, .Juneau 99801 6. Division of Parks & Recreation, Director, 323 East Fourth Avenue, Anchorage 99501 7. Division of Lands, Director, 323 East Fourth Avenue, Anchorage:99501 Division of Land~, Manager, SE District Land Office, Pouch M, Juneau 99801 9. .Deoart~n:..of ..Public. Works, Commissioner, Box 1361, Juneau 99801. I©. Division of Water & Harbors, Director, Pouch Z, Juneau 99801 DeDartment of Environmental Conservation, Commissioner, Pouch O, Juneau 99801 i2. Office of the Governor, 'State Clearing House, Division'of Planning & Research, Po~ch AD, State Capitol, 'Juneau~ 99801 Department of Highways, District Utility Engineer, ATTN' Chan Howell, P.O. Box 8869, Anchorage 99508 y~__.,=uu_q, District Manager, Rm 116 State Office Bldg, Fairbanks 99701 56 ~"-.' C~'ca.~.r-.~ation Society, Ke.nai Chap~er.~ John B Hakala, President, Bo:< ~6o, ~oldotna, ~lla'ska 9~669 _'3. A!<' Chanter of Sierra Club,_. Conservation Chairman, Box 2025, Anchorage, Alaska 99510 -- A~< S~o~ea's Ceunc.i~ Dr. ~orman Ridell, Sec-Treas, 1706 Willow Drive, Juneau 99.~0[ ~ [zaak W.~[ton Lea.~ue of America. Anchorage Chapter, Sam McDowe!l, Pres, 3685 Arctic Boulevar~l Anc~o~a~e Alaska 99503 Environmental Center_, Jim Sumner, Director, West Anchorage High School, 1700 Hillcrest Drive, Anchorage, Alaska .99503 ?. Petersbure Conservation Society, Box 992, Petersburg, Alaska 99833 ~:.]. Tongass Conservation Society, Box 2282, Ketchikan, Alaska 99901 9. The Sierra. Club~ Alaskan. R~.p, Ja6k He,sion, 3304 Iowa, #5, Anchorage, Alaska 99503 ~. Alaska Center for the Environment, 913 ~est Sixth Avenue, Anchorage, Alaska 99501 !.. Sitka Conservation Society, Lee Schmidt, ~, P~esident, Box 130 Mt Edgecumbe, AK 9983. .2. Mr. Bret 61~.ard, ~re~ide~, And~9ri,Society, Star Route A, Box 1459K, Anchorage 99502 P~ZVATE FIRMS !. Al.'< Lumber & Pul~ CO., Woods P~mager, Box 1059, Sitka, Alaska 99835 2. Great Lakes Dredge & Dock Co., 8105 Capwell Dr., Oakland, CA 94621 3. Union Oil Co. of Calif., ATTN: Land Dept., 909 W 9th Ave, Anchorage, 99501 ~ ~aiser 3reel Corporation,' H.V. Norgren, Fabricating Div, Box 58, Oakland, CA 94612 5. Ke!iv~ Pittelko, Fritz & Forssen~ 425 G Street, Suite 900, Anchorage 99501 6. North Pacific Fisheries Association, Box 796, Homer, Alaska 99603 '7. Standard Oil Co. of Calif,, Don Moiler, Operations Manager, Box 1580, Anchorage 99510 ~. ~. R. G. Peterson, PO Box 1327, Huntsville, TX 77340 '~. Felix Toneq, Box 570, Juneau, Alaska 99801 · .i~.Union Oil Co. of Calif.~., PO Box 76, Seattle, WA 98111 [. AK Methodist University, Mr. Charles Konigsberg, Anchorage 99504 2. Marathon Oil Co~., ATTN: District Landman, PO Box 2380, Anchorage 99510 .3. ],~tthews., Dunn & Baily, 429 D Street, Anchorage, Alaska 99501 '~. Betsy Woodman, 117 East Cook Avenue, AnchoraRe 99501 !5. Alaska Construction & Oil Re~0rt, PO Box 71, Anchorage, Alaska 99510 -6o Al Industry Magazine, Editor, PO Box 4AA, Anchorage~ Alaska 99509 '1_7. Elmer Rasmussen Library, ATTN' Document Collection, U of Alaska, Fairbanks 99701 i~. RCA-.Alaska Comm. qnic~tions, _I~g~, 629 E Street, Anchorage, Alaska 99501 19. Michael S. Leach, Alaska Land Resources, Inc., RR #3, Box 3032, Juneau, Alaska 99801 57 ~RANSPORTATION 1. AK Steamship Co., P. O. Box 3746, Seattle, Washington 98124 2. Chevron Shipping Co., ATTN: Capt. A.H. Stevens, 555 Market St. San~Francisco Ca]. '3. Chevron Shipping Co., Box 125, Richmond Beach, Washington 98020 4. Foss Launch & Tug Co., 660 W. Ewing, Seattle, Washington' 9Bl19 5. Western Pacific Dredging Corp., Foot N Portsmouth AVe, Portland Oregon 97203 INTER-OFFICE 1. HQDA (ENGW-ON) WASH DC 20314 ~ ~ 2. Division Engineer, North Pacific, 210 Custom House, Portland 97209 3. District Engineer, Alaska 4. Deputy District Engineer 5. Chief, Construction Division, NPACO 6. Chief, Operations Branch, NPACO-OP 7. Flood Plain Management Services, NPAEN-A-FP 8. Chief, Military Branch, NPAEN-MI 9. Chief, Real Estate Division, NPARE 10. Chief, Planning Division, NPAPL 11. Chief, Engineering Division, NPAEN 12. Chief, Environmental-Branch, NPAPL-EN 13. Hydraulic & Waterway Section, NPAEN-DB-H 14. RE, Snettisham, NPAFO-S 15. RE, Fairbanks, NPAFO-F 58 · 3. 4. 5. 6. 7. o 9, 11 12. 13. 14. 15. 16. 17. 18. 19· 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. Mr. J. L. Rowland, Area Supervisor, Producing Department, Standard Oil Company of California, WOI, PO Box 7-839, Anchorage, Alaska 99510 ~ Ms KarenAnderson, Bo.x 1561, Kodiak, Alaska 99615 Mr. Philip Brudie, PO Box 111, Homer, AK 99603 United Fishermen of Alaska, PO Box 1352, Juneau, Alaska 99801 Shell Oil Company, 601 West Fifth Avenue, Suite 810, Anchorage, Alaska 995'01 Senator Bob Palmer, Box 103, Ninilchik, AK 99639 Mr. Dick Robinson, Secretary, Concerned Citizens for a Better Community, PO Box 851, Homer, Alaska 99603 Commissioner, Alaska Public Utilities Commission, 1100 MacKay BUilding, 338 Denali Street, Anchorage, Alaska 99501 Petroleum Publications~ Inc., PO Box 2278, Anchorage, Alaska 99503 ~ Mrs. Bobbie Jackson, Fish & Game Liaison, Commercial Fishermen of Cook Inlet, PO Box 24 Soldotna, Alaska 99669 Mr. W. Scott Parrish, President, Concerned Alaskans for Rational Development, PO Box 4-1064, Anchorage, Alaska 99509 Mr. Robert Holberg, President, Simplex Corporation, 608 West Bough Lane, Houston, TX 99O24 Mr. R. A. Johnson, President, Cook Inlet Region, Inc., 745 G Street, Anchorage, Alaska 99501 Alaska Outer Continental Shelf Office, Bureau of Land Management', PO Box 11 59, Anchorage, Alaska 99510 Upper Cook Inlet Chapter, ACS, PO Box 3395, Anchorage, Alaska 99510 Tesoro-Alaskan Petroleum Corporation, PO Box 6272, Anchorage, Alaska 99510 Mobil Oil Company, PO BOx 1734, Anchorage, Alaska 99510 Phillips Petroleum Company, Bartlesville, OK 974003 Mr. Hoyle H. Hamilton, Acting Chief Petroleum Engineer, Division of Oil &Gas, 3001 Porcupine Drive, Anchorage, Alaska 99501 Mr. William W. Hopkins, .Manager, Alaska Oil & Gas Association, 550 First National Building, Anchorage, AlaSka 99501 Homer Fishermen's Cooperative Association, Homer, Alaska 99603 Ocean Oil Weekly Report, PO Box 1941, Houston, TX 77001 Seldovia Natives Association, Inc., PO Box 185, Seldovia, Alaska 99663 Mr. Ken Edmiston, Editor, Ocean Construction & Engineering Report, PO Box 19247, Houston, TX 77024 Sea-Land Industries, Inc., 401 East 15th Street, Tacoma, WA 98421 Mr. JackJ. Greene, City Manager, City of Homer, PO Box 335, Homer, AK 99603 Mr. G. S. Best, Planning Director, Kenai Peninsula Borough, PO Box 850, Soldotna, Alaska 99669 Postmasters: Anchorage 99501; Kenai 99611; Homer 99603; Seldovia 99663; Soldotna 99669; Kasilof99610; Halibut Cove 99603; English Bay 99695 Cook Inlet Marine Company, PO Box 1656, Anchorage, Alaska 99510 59 30. 31. 32. 33. 34. '35. 36° '37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 61. 62. "63. 64. 65. 66. 67. 68. 69. Cook Inlet Tug & Barge, PO Box 1036, Anchorage, Alaska 99510 Marine Digest, 1008 Western Avenue, Seattlef WA 98104 Cook Inlet Regional Development Corp., 519 D Street, Anchorage, Alaska 99501 Mr. Jerry McCutcheon~ Drawer 2340, Anchorage, Alaska 99510 Mr. Bob Hicks, c/o'General Delivery, Homer~ Alaska 99603 Mr. Jesse P. Johnson, South Alaska District Manager, Atlantic Richfield Company, PO Box 360, Anchorage, Alaska 99510 Mr. &Mrs.'Darwin E.'Waidsmith, PO BoX 154, Ninilchik, Alaska 99639 Mr. Victor R. Lonn, Recreation & Lands Manager, Chugach National Forest, 121 West · Fireweed Lane, Suite 205, Anchorage, Alaska 99503 D. J. Dglesby~ Box 506, Kenai, Alaska 99611 Mr.~Larr¥ Hock, Box 57-, Sterling, Alaska 99672 Mr. Fred E. Zumbuhl, Box 1143, Soldotna, Alaska 99669 Mr. Kenneth J. MarqUis, Box 1041, " " " Mr. Woody Heselus, Box 653, " " " Mr. Daniel Kagmouch~ Box 466, " " " Mr. Roy Clanton, Box 1309, " " " Mr. John J. Brown, Box 1365, " " " Mr. John L. McCoy~ Box 1355, " " " Ms. Betty L. Claxton, Box 1309, " " " Ms. Pat Hunecky, Box 1366, " " " Mr. Don Woodard, Box 82i, " " " Mr. Dennis Brooks, Box 821, " " " Mr. D. W. Projor, Box 1271, " " " Mr. C. H. Howell, Box 1201, " " " Francis Williams, Box 1790,' " " " Mo W. Brook, Star Route, " " " R. Ennis, Box 1174, " " " J. R. Srout, Box 485, " " " Mr. Ron Lorenzo, PO Box 43; Kenai, Alaska 99611 58. Mr. Todd Moore, Boxy11, Sterling, Alaska 99672 59. R. Leonard, Box 2662, Anchorage, Alaska 99510 60 ~Eari Whittak, Star RoUte 1~ Box 1317, Kenai (returned, addressee unknown & unclaimed) Bruce Manley, " " " " " " " " D. So Enris, 2656 Lee Street, Anchorage, 99504 Robert E. Honesed, Box 1327, Kenai Truman R. Knutson, Box.685, Soldotna Wayne Jones, Route 2, Kenai Don Thompson, Box 152, Soldotna Bob McCown, Box 1212, " Harold McCatney, Box 553," Ted R. Walker, Box 1082, " 6O 70. 71. 72. 73. 74. 75. 76. .77. 78. 79. 80. 81. 82. 83. 84. 85. 86. 87. 88. 89. 90. 91. 92. 93. 94. 95. 96. 97. 98. 99. 100. 101 102 103 104 105 ~106 107 108 ~109. 110. 111. Eduris Florence, Box 1024, Soidotna David Harvey, Box 774, " Errol Baughman, BoX 204, " Harvey Eader, Box 3993, Kenai,. Alaska Louise Dennis, Box 1174, Soldotna C. A. Hamilton, Box 1'30, " Donald BlaCk, Box 528, " Lowell Hadden, Box 903, Kenai J. A. Rea, Box 874, " W. Brown, Box 3203, " L. Wright, Box 959, " Lo R. Auldridge, Box 15, " Roy L. Masters, Drawer 3373" Stephen B. Masters, Box 3765, " M. L. Meabon, Box 564, " El lis'Cheny, Box 559, " Mike Dale, Box 3156 , " Mary L. Morales, Box 3005, " Paul G. Weller, Box 3213, " J. E. Sinner, Box 311, " Ralph Lockhard, Box 445, " Sharon & Arthur Burdick, RR #1, Box 385F, .Kenai Dale E. Allen, Box 7056, Nikiski, Kenai Ray Tugae, Box 8251, Kenai (returned - addressee unknown) .. Geraldine Dunsmore, Port Nikiski Dock, Box 483, Kenai Cliff Faulkner, Box 3088, Kenai W. L. Cassel, Box 483, " J. W. Johartr, Box 1317, " John Heuth, Box 7004, " Guy Johnson, c/o Gen Del, North Kenai (returned - unknown & insufficient address) Charles R. Stewart~ Box 3810, " Chuch Zonhur, Box 2546, " Howard F. Watson, Box 632, Soldotna W. N. White, Box 946, " V. G. Stratmann, BoX 1374, " Frank Melobrick, Box 81, " Morris E. Redford, Box 716, " Nick Miller,~ Box 3878, Kenai Bitton Cook, Box 132, ' " Glenn A. Bilderback, Box 1142, " Jimmy H. Smith, " (returned, insufficient address) Paul K. Seaton, .c/o CWF, RR #2,Kenai 61 112. 113. 114. 115. 116. 117. 118. 119. 120. 121. 122. 123. 124. 125. 126. 127. 128. 129. 130. 131. 132. 133. 134. 135. 134. 135. 136. 137. 138. 139. 140. 141. 142. 143. '144. 145. 146. 147. 148. 149. 150. 151. Mr. Jerry Watson, Kenai (returned) John F. Kobylar " " Mike Wi II iams " " Peggy Parker " " David Vincent " " Alvin Kalskner " " Frank Mullen " " Bull Dungan " " Ar t Bock See " " Grant Fritz " " Robert Palm " " Pat Mcelory " " Dr. & Mrs. Peter Cannava-" " Trujil los, " " Stanley & Caroline Huhndorf, Box 8014, Kenai ivan E. Every, Nikishka James E. Fisher " " Kathy Ames " Jane Hackney " Mike Gal lagher " Margret Geret " " Mr. John A. jOhnson, SR #1, Box 715, Kenai B. O. Anderson, Rt-#3 " John Broussard, Jr;, Box 7052, Nikishka Br, Kenai' . Mr. Glen R. McCollum, Northern Oil Operations, Inc., Drawer 3293, Kenai Harold Pilauel, Kenai (returned, addressee Unknown & insufficient address) H. D. smith, Otis Engineering Corporation, District Manager, .Box N, Kenai Gerald W. Bryant, Rt #3, Lupine Drive, Kenai R. Blair; Box 3726, Kenai Perry A. Granger, BOx 381, Kenai N. L. Eadz, Rt #1, Box 220, " Monte L. Starr, Box 543, " Bob Seemd, Box 918 " G. E. Day, Drawer F, " Jack M. Prossing, Box 296 " JackRankin, Tri-State Oil Tool Industries, Inc., Box 1507, Kenai . Mr. W. J. Deen, Baker Oil Tools, Inc., Box 1270, Kenai EldOn Taylor, Box 919, Soldotna Thomas Dwimmel, Box 899 " Paul Kumfout, Box 581 " Phillip & Juanita Lazenby, " S. D. Baker " 62 152. 153. 154. 155. 156. 157. 158. 159. 160. 161. 162. 163. 164. 165. 166. 167. 168. 169. 170 171 172 173 174 175 176. 177. 178. 179. 180. 181. 182. 183. 184. 185. 186. 187. 188. 189. L. H. Auldridge J. D. Smith Richard R. Quik.k Gradul Thomas, Jr. A. D. Smith, Jr. Alfred ~1. Lawton Steven A. Norma Soldotna II II II II II II II Mrs. Bonita M. Wilson, Box 561 Mr. & Mrs. Ron Bush, c/o General Delivery, Soldotna Mr. C. W. Nelson, Box 561 " Mr. L. W. Hodgim, Box 1148 " C. A. White, Box 962 " Mr. & Mrs. B. Bush, c/o General Delivery, Soldotna Edwin Satt, Box 747, " John Pitello, Box 592, " James H. Jenkins, Box 862 " J. Achennaw, Box 675 " Dave Gardner, Box 225 " Bruce Rogers, Box 239 " N. Larsen, Box 362 " Walter Hart, Box 778, "· Michael Hollingsworth, Box 892" D. W. Marlowe, Box 3 " Wayne Bell, Box 486 " George Hurr, Box 701 " R. W. Cunningham, Box 1092 " R. A. Heusler, Box 1175, " W. E. Lauerman, Box 1205 " D. R. Jones, Box 611 " Wade Seward, Box 687 " Dave Will iams " Kenneth R. Slato, Box 827 " N. Hadger, Box 70, "(returned~ addressee unknown) Francis E. Mullen, Box 57 " E. Hodges, Box 470 " L. E. Keigh, Box 911 " V. FoliCh, Jr., Box 416 " MarianNe Saitz, Box 747 " II 190. David Cochran, Box 511 191. Louise Dennis, Box 1174 192. Nelson G. Hopper, Box .387 193. RobertG. Garner, Box 712 63 194. 195. 196. 196. 1.97. 198. 199. 200. 201. 202. 2O3. 204. 205. 206. 207. 208. 209. 210. 211. 212. 213. 214. 215. 216. 217. 218. 219. 220. 221. 222. 223. Don & Debra Bush, Rt #2, Kasilof Jerry & Linda Hatten, Rt #2, Kasilof Bert & Laura Watts, Rt~ #2, " R. & Wi Ida Bush " Sheila & Jim Gossett, Rt.#2, " Charles & Vi Rochon, Rt #2, " Frank & Irene Bush, Rt #2., " Frank ~ Mary Senger,. Sterling B. W. Moffitt " M. Obeck, Star Route " Jesse Cryer, Box 83, " S. Ashburg, Box 84. " Edgar D. DeLough, Box 16" George Wheat, Box 23, Kasilof A. Rule, Box 1166, Seward, Alaska Dale A. Finlay, Box 2296, Kodiak, Alaska Jerry Jepper, Box 108, Anchor Point William Egbert, Box 156 " " Harry A. Olson, Box 52 " " John P. Rucker, Jr., Box 86 " " E. L.'Johnson, Box 11 " " D. R. Wyler, Box 839, Homer (returned) Barbara Wright, Box 839, Homer William & Mary Mullen, Box 776, Homer 99615 Mr. Ted R. Brown, Dist'rict Manager, IMCO Services, Box 22605, Houston, TX 77027 John Day, SR A, Box 495, Anchorage, Alaska Honorable Ted Stevens, United States Senate, Washington, DC 20510 GilbertW. Daney, Jr'., 2100 Lord BaranofDrive, Anchorage 99503 Jim R. Callmar, 3401 Hiland Drive, Anchorage Honorable Don Young, House of RepresentatiVes, Washington, DC 20515 Frank McLIhargy, Economic Development, Box 850, Soldotna 64 ATTENDANCE RECORD FOR PUBLIC HEARING HELD AT SOLDOTNA, ALASKA 11JULY 1974 NAME Ted R. Brown David Parker Hazel Heath R. I. Swetnam J. R. Wi lliamson F. F. Wright Wayne H. Rodges Wade Lundstrom Tom Muir Loren B. Flagg Don Stewart Tom Trent TITLE D i strict 'Ma nag er Ed itor Mayor District Landman Plant Supervisor Consulting Oceanographer Landman Area Production Superintendent Fire & Safety Biologist Assistant Regional Supervisor Projects Review Coordinator RE PR ESE NTI NG/ADDRESS IMCO Services, Box 2055, Anchorage, Alaska 99510 Alaska Scouting Se~'vice Homer, Alaska Phi II ips Petroleum Phi ll ips Petroleum 2530 Raspberry Road Anchorage,. Alaska 99502 Union Oil Company, 909 West Ninth Anchorage, Alaska 99501 Union Oil Company, PO Box 7600, Kenai, Alaska 99611 Union Oil Company, PO Box 7600, Kenai, Alaska 99611 Alaska Department of Fish & Game Homer, Alaska 99603 Alaska Department of Fish & Game 333 Raspberry Road Anchorage, Alaska 99502 Alaska Department of Fish & Game 333 Raspberry Road Anchorage, Alaska 99502 65 NAME Jim S. Brindley Hoyle Hami Iton Homer Burrell Roy Clanton John Brooks Glen Hache Don Thompson Ell is. Cheney Max Hami Iton Frank McLIhargey Mr. &Mrs. G. V. Ti bbets R, H. Hurst Vincent O'Reilly, Sr. R. V. Scott Clayton McAul iffe TITLE Commercial Fisherman Chief Petroleum Engineer D i rector President Alaska Manager Kenai Manager D i rector Environmental Coordinator Senior Research Associate RE PRESE NTI NG/.^DDR ESS Route #2, 'Kenai, Alaska 99611 State Division of Oil'& Gas State Division of Oil & Gas Kenai Drilling Company PO Box 589, Soldotna, AK 99669 Kenai Drilling Company PO Box 589, 'Soldotna, AK 99669 Hill & Hill Truck Line Triple D, Inc. Oilwell Division, US Steel 'Corp., PO Box 559, Kenai, AK 99611 Cooper Landing, Alaska OEDP, Kenai Peninsula Borough Kal ifonsky Beach Kenai Air Service, PO Box 3921, Kenai, Alaska 99611 Kenai Air Service, PO Box 3921, Kenai, Alaska 99611 Standard Oil Company of Calif 225 Bush Street San Francisco, CA 94104 Chevron Oil Field Research Co. PO Box 446 La Ha bra, CA 66 NAME TITLE REPRESENTI NG/ADDI~ESS Don (Buck) Rice Tony C. Stone Don Essex Lottie Edelman Bonita M. Wilson Roy Martin C. U. Hamilton Basil Balstridge Ray Bilodew Wa Iter Ward Donald Thomas Don Bailey Mary Mullen K. Par ker Reed Harris Hugh ~Malone ' Abbie Kidd Manager Engineer Housewife Farmer 'Businessman Assessor Accountant & Real Estate Magcobar Division, Dresser · Anchorage, Alaska Dowell Division, Dow Chemical Co.: Anchorage, Alaska Cook Inlet Fishermen's Union Rt #2, Soldotna, AK 99669 Cook Inlet Fishermen's Union Rt #2, Soldotna, AK 99669 PO Box 561, Soldotna, AK 99669 Chem-o-lene CO., Soldotna, AK Ham's Oil Tools, Soldotna, AK Sterling, Alaska Soldotna, Alaska Borough Schools, Kenai Kenai Peninsula Borough, Soldotna, AK PO Box 1249, Soldotna, AK 99669 PO Box 602, Soldotna, AK 99669 PO Box 349, Soldotna, AK 99669 National Marine Fisheries Service 632 Sixth Avenue, Suite 408 Anchorage, Alaska 99501 67 NAME TITLE REPR ESE NTI NG/ADDI~ESS Tom Warner o. Bob Grenier Alex Shadura COL Charles A. Debelius Aurora L. Loss Paul Chatari Robert J. Wienhold LT Judy Benson J. L. Rowland William Sauer George Day Com.mercial fi sherman Fisherman District Engineer Chief, Permit Section Permit Section Environmenta I Section Envi ro nmenta ! i st Area Supervisor SeniOr Drilling Engineer Supervisor, Nikiski Refinery Board of Directors, Kenai Chamber of Commerce Kal ifonsky Beach Corps of Engineers, PO Box 700.2, Anchorage, Alaska 99510 · Corps of Engineers, PO Box 7002, Anchorage,.Alaska 99510 Corps of Engineers, PO Box 7002, Anchorage, Alaska 99510 Corps of Engineers, PO Box 7'002, Anchorage, Alaska 99510 Corps of Engineers, PO BOx 7002, Anchorage, Alaska 99510 Standard Oil Company of Calif. PO Box 7-839 Anchorage, Alaska 99510 Alaska Area Operation Standard Oil Company of Calif. PO Box 7-839 Anchorage, Alaska 99510 Standard Oil Company of Calif. Kenai, Alaska 99611 68 6O / ICAPE KASI LOF / "'" '" / 3.o,, ,/ /? ! V~ ~ /. L;~ I/' I / ,t ,Ir u / ( \ / KALIFONSKY COHOE PROPOSED LOCATION LONG. 151°27'0d' LAT. 60° 19' ~,8" _? LAT. 60°16~ PROPOSED LOCATION '~ KASILOF ANC )RAGE COHOE FROM U.S.G.S. ALASKA MAP J KENAI B-4 VICINITY MAP 0 20 40 60 ! I I I I I SCALE IN MILES LAT. 60ol6'' 190 F T, MHW= + 17' MLLW =0' BOTTOM LINE =-$0 INFORMATION FROM U.S.G.S. MAP KENAI B-4 NOTE: WATER DEPTHS SHOWN ARE IN FEET. (COOK INLET 186) APPLICATION BY~ STANDARD OIL COMPANY OF CALIFORNIA PROPOSED LOCATION OF DRILLING BARGE I'N COOK INLET o ,%0o0 ~ooo [, , SCALE IN FEET ;>5 APRIL 1974 SHEET I Of 2 SOCAL. DL- .36502 EXR 9-:30-77 soCA L A D'L - 60.5'78 EXR 6- 30-8:3 SOCAL ADL-60594 EXP 6- $O-83 MESA KASILOFST..~ UNIT NO.2 '~' 23 ¸2_4 19 26 'CAPE KASILOF NO. I ADL'- 60579 'o EXP. 6- 30-83 "2_ 25 , , SOCAL ADL-60597' UNION KASILOF UNI~ NO,. I $0 EXR 6-30-83 UNION KAS ILOI u. ~.;..-. T. 3N 35 R. 15W. The Sisters 70 T. 3N. R. 12__W. SURFACE LOCATION 650' S. l% 1350' W. FRO'M N. E. CORNER OF SEC. 25 T. 5 N., R. 1,3 W. SEWARD BASE & MERIDIAN PRODUCING ZONE LOCATION SAME AS SURFACE LOCATION (COOK INLET 186', APPLICATION BY: STANDARD 'OIL COMPANY OF CALIFORNIA WELL LOCATION PLAT CAPE KASILOF NO. I COOK INLET - ALASKA SEC. 2:5T.3, N R. I$ W. SBM SCALE IN FEET , 25 APRIL 1974 SHEET 2 OF 2 STANDARD O~iL KENAI ~~ KASlLOF N VILLAGE GO' ~0'. N SCALE-MILES 0 151e 20' W 71 GENERAL VICINITY PLAN COOK INLET STANDARD OIL ExpLORATOR'! WELL ,:'i E ['i 0 ;;7, A u U o STATE OF AIjNSKA.. Pat ,,.o~-~Ko~¢ Ph D Supervisor Coastal Habitat Protection Program DATE: Sep* ' , ~emoer t7 t976 F ROM: Loren Flag9 Fisheries Habitat Biologist Homer SUBJ: Cape Kasilof The first phase of the biological sampling, as authorized by Standard Oil of California, in the Cape Kasilof area has been completed. Five days of vessel charter time was required to complete the survey due to adverse weather and sea conditions. The vessel was utilized from September 9 to September 13, 1974. Mr. Larry Clendenen of Anchor Point, Alaska was the skipper of the cI~artered vessel SUZANNE. Through verbal agreement Mr. Clendenen was to receive $400 per day for his services plus the replacement of all gear lost or damaged during the operation. For this amount Mr. Clendenen provided all necessary commercial fishing gear, gas. and oil for the vessel, 'and one experienced deckhand. During the course of the survey two king crab pots value~ at $300 each were lost. l'his was due directly to operation of one of the rig tenders servicing the George Ferris on September llth. Mr. Clendeaen's bill to Standard Oil is thus $2,600. - Preliminary results of the survey show a signif.icant number of juvenile tanner crab inhabit the environs of the drilling site in the Cape Kasilo'f area. Hermit crabs were also found in abundance in the area. A more detailed report will be forthcoming. REPLY TO ATTENTION OF: NPACO-OP-P Cook Inlet 186 DEPARTMENT OF TH""~ARMY ALASKA DISTRICT, CORPS OF ENGINEERS P.O. BOX 700.2 ANCHORAGE, ALASKA 99510 Mr. D. T. Magee Director 8 Vice President Standard Oil Company of California, Western Operations, Inc. 225 Dush Street San Francisco, CA 94104 16 September 1974 o ~_. ~-;~7? ~' . This letter is in response to your' letter of 28 August 197q express, lng alssa(- isfaction with three of the special conditions contained in the Department of the Army permit which was issued to your firm on 29 August and authorizes drilling of an exploratory well in Cool< Inlet west of Kasilof, Alaska. Your letter states that the permit was accepted under protest duo to your concern with the provisions of special conditions(x), (aa) and (cc). Based on the Fish and Wildlife Act of 1956 and the Fish and Wildlife Coordination Act enacted by Congress in 1958, our regulations require that we coordinate applications for permits to conduct activities in navigable waters with the United States Fish and Wildlife Service and the Na~ionai Marine Fisheries Service as well as other Federal and State agencies con- cerned with the conservation and protection of fish and wildlife resources. Indeed, our regulations require that I give great weight to their views on fish and wildlife considerations in evaluating all permit applications. There- fore, to eliminate or mitigate any damage to such resources it is usual for us to urge an applicant to seek agreements which are mutually acceptable to all concerned, in appropriate cases, ! have the authority to conditiona permit to accomplish this. Here it is important to note that ifagreemen~ cannot be reached on proposed conditions, the District Engineer cannot, on his own' authority, issue a permit over an unresolved objection of another NPACO-OP-P Mr. D. T. Magee 16 September 1974 Federal agency. If the District Engineer decides to recommend such action, he must refer the matter through the Division Engineer level to the Chief of Engineers for decision--most often a time consuming process. it is true that I invited your written objections which are now before me. Because of the apparent critical nature of your time schedule for the project, ! decided to issue the permit complete with tt~e stipulations requested by the concerned State and Federal agencies. This action on my part was intendcd to avoid a lengthy deiay in resolving conditions that you may' find unusually restrictive. I have carefully considered your comments regarding special conditions (aa) and (cc). In accordance with your letter request of 30 August that I waive the requirement contained in special condition (aa) that bottom sampling be conducted prior to emplacement of the drilling rig, the request is granted to the extent that the drillin9 ri9 may be placed on location and drilling may begin prior to completion of the surveys requested by the Alaska Department of Fish and Game. The condition was requested by that Department and they have since consented to this amendment of that stipu- lation. As regards special condition (cc), my environmental staff fully agrees with the condition and I do not plan to arnend it. In this connection, you will recall that the time restriction originally proposed (condition (cc)) extended through 30 September but was subsequently amended to 31 August after discussions with your representatives and the interested State and Federa I agencies. The final condition under protest concerns condition (x) which prohibits the discharge of drilling muds and cuttings and requires that they be con- tained for removal and disposal at on-land sites. Because a condition of this type is probably more appropriate for inclusion in a National Pollution Discharge Elimination System permit, which is issued by the Environmental Protection Agency, ! am currently attempting to establish procedures which will ultimately lead to such an arrangement, in the meantime, however, insistence on such an approach can only serve to delay issuance of various permits. Also, I shall continue, as necessary, to seek agreements from the various concerned agencies which will better define the type of special conditions to be considered for inclusion in permit actions. NPACO-OP-P Mr. D. T. Magee 16 September 197Ll You will be interested to know that ! am forwarding your letter of protest to the Division Engineer and requesting his guidance on the aspects discussed herein. Subject to obtaining the necessary agreements from the other agencies, amendment of your permit to eliminate or ~,'qodify the conditions in question may be possible. I will keep you informed of further developments. Sincerely yours, ~ -IARL'ES DEBE Colonel )s ofEngi eers I" / Copies furnished: Mr. James W. Brooks, Commissioner Alaska Department of Fish & Game Oscar E, Dickason, Director, Alaska O ions Office Environmental Protection Agency Mr. Harry L. Rietze, Director, Alaska Region National Marine Fisheries Service Mr. Gordon W. Watson, Area Director, Alaska Area Office US Fish & Wildlife Service Mr. Charles F. Herbert, Commissioner, Department of Natural Resources Mr. Homer L. Burreii, Director Division of Oi! £- Gas J.::tV~C] A~ ,j SE? ?. 8 DIVISION CF; C,I~ AND GAS ANCHORAG~ CAPE KASILOF Biological Survey Results September 10-13, 1974' Prepared by' Habitat Protection Division Alaska Department of Fish and Game. Homer, Alaska Forwerd: Standard Oil Of' California was issued a permit by the Corps of Engineers to conduCt exploratory drilling in rthe Cape Kas~lof · area of Cook Inlet, Alaska (see map) in August of 1974. The drill- ing was to commence in early September and continue for approximately 60 days. As a condition, of the Corps permit, SOCAL was required to Conduct a biological sampling and observation program in the immedi- ate area of the Cape Kasilof drilling site. At the request of SOCAL and under their sponsorship, the Alaska Department of Fish and Game conducted the required sampling program. This report presents the preliminary results of the biological sampling which took place from September 10-13,~-1974. CAPE KASILOF · Biological Sampling Program September. 1 0-13, 1974 Progr,am Location' Standard Oil of California's proposed drilling site 'off of Cape Kasilof, Cook Inlet Alaska, at 151° 27' 00" W. long; 60° 19' 38" lat, (Figure 1) prog,ram O. bjective' To determine the presence and identification of any biological organisms existing on the ocean floor at the proposed drill, site, Procedure- A commercial fishing vessel was chartered with an experienced Skipper and crew. Various types of commercial fishing gear were fished in the immediate vicinity (with'ina 1/4 mile radius) of. the . ~'?'~ '~-~to during the period from September 10-13. The following _~ ~: gear were employed' I) commercial king crab pots (3) 2) con~ercial dungeness crab pots (3) 3) commercial shrimp pots (3) 4) comnierCial halibut long line (1-27 hook line) 5) homemade bottom beam trawl (1) . · - In addition-a 10" diameter pipe dredge was utilized in an effort to sample the bottom substrate, The crab and shrimp pots were baited with herring and set on September l0 and retrieved on September t2. They were then re-baited and retrieved again on September 13. No f.ishing activity occurred on September 11 due to-heavy,sea conditions. Two of the three king crab pots were lost on the l!th due to the operation of a rig tender near the drill rig Gegrge,C. Ferris. One of the shrimp pots was lost on the 13th due to a faulty line, Total pot lifts made were as follows: F~ing crab - 2; dungeness crab - 4; and shrimp - 5. Two lifts were made on the 27 hook halibut line which, was also baited with herring. The beam trawl was employed once on the 12th as was the bottom pipe dredge. A summary of the catch by gear follows: FIGURE I "' SAHPLI NG STATION' J. Biological · Sampling Station at Cape Kasilof September 10-13, 1974 / /? / / '!:/i/:/ , II [ l~; /~/ // " .,, /' ( J KALIFONSK¥ V I CIN ITY f U.S.G.S MAP KENAI 9-4 NOTE: WATER DEPTHS SHOWN ARE IN FEET. STANDARD OIL COMPANY OF CALIFORNIA PROPOSED LOCATION OF DRILLING BARGE tN COOK INLET 0 ! ~ ,C,O~ ~ 6,1C~K) SCALE tN FEET Results: GEAR NO. OF LIFTS CATCH NUMBER SZZE RAHGE King crab pots spider crab , 1 whe 1 k 1 Dungeness pots tanner crabs 7 spider' crabs 4 starfish 2 64-93 m~ 48-50 Halibut Line Beam trawl 2 humpy shrimp 1. hippolytid shrimp 1 razor clams 7 snail 1 barnacles 4 pots tanner crabs 77 hermit crabs` 61 spider crabs 59 whelks 6 humpy shrimp 1 hippolytid shrimp 1 pink si~rimp 1 Ch, ton 1 sea anemones 3 barnact es many 37-80 13-43 mm The sampling station pattern surrounded the drill site and the ~epth at all stations was five fathoms (30 feet) at ,,mean low tide. Size (ca~apace width) and sex frequency of tanner crab Chionoecetes~ bairdi caught at Cape Kasilof September lO-13, 1974 ~,~al ES '_Carapace Width MM 37 42 42 44 44 46 48 49 5O 5O 51 52 52 53 55 56 58 58 59 60 61 61 63 64 64 64 65 65 65 66 68 68 69 7O 76 79 84 91 AVE. 59.6 MM FEMALES CarapAce' Width MH 41 44 46 48 48' 50 52 52 53 53 54 54 54 54 55 55 55 56 56 57 57 58 58 591 59 60 61 o¢ 67 7O 73 75 75 76.1 42 AVE. 5~).1 MM I ovigerous Discussion: The discovery of significant numbers of juvenile tanner crab Chionoecetes. ba_trdi_'and extremely small (age. class I.) razor clams S~iliquagatu~a jn the offshore bottom environ' of 'the Cape Kasilof , area--are 6ot~ew and significant finds. Tanner crabs had previously been observed washed up along the shore in the general area,.however, .it was not known whether they had inhabited the immediate area off- shore or whether the current had carried them up the Inlet from areas further south. The whereabouts of early stage razor clams has long -~ been a mystery along the east side of Cook Inlet. They are almost never found while digging along the beach even as far out as the minus five foot tide level. Biologists have made a special effort to locate them along the beaches without much success. It appears from the limited bottom dragging in thirty feet of water off Cape - Kasilof that this area may be of critical importance in the immediate post larval stage of razor clams. More work is needed to further define distribution and relative abundance in this area and other areas of the upper Inlet. Further surveys are also needed to define the extent'of use by tanner crab i'n this area and to define some of the ecological relation- ships-of this area... It would be important to knoW whether tanner crab are present on'a year-round basis or whether their presence in this area is seasonal~ I,t would also be interesting .to know what the pri- ~r~ f~od source is for tanners in this area, Large numbers of both . ~~ snd spider crabs were also found in the area and these may be =n..~ortant food source for halibut which feed'in the area every spring and summer. I% should be noted. here that five (5) different species of kelp were also locatedi~ thearea. The kelp was caught in the various types of sampling gear.' This kelp has not yet been identified, however, it has been Saved fort future identification. Many of the bi'ological,Specimens caught have not been identified as to genus or species at this time, however, samples of all the differ- ent specimens have been saved for future identification. As soon as theSe specimens~have, been keyed out to species a supplemental "scientific names" page to this report will be prepared and will be available to anyone interested. Reco~endati ons- tt is obvi. ous from this survey that not all of upper Cook Inlet is a "biological desert" as has been previously suggested, There is a significant resource in the area and it should be protected to the fullest extent possible. Further studies are needed to define distri- bution and relative abundance of major species present in the upmer Inlet and also to better understand ecological relationships, in the meantime, a strong conservative stand should be taken when and where developmental projects are undertaken in the Inlet which have a poten'Ciai impact on the resource or the habitat of the area. CAPE KASILOF PROJECT PERSONNEL Biological Staff Project Leader- Loren B. Flag9 Shellfish Biologist- Allen S. Davis 'Assistant Biologist- Jim Wolford ..... Vessel Crew "MV SUZANNE" . . :. . Skipper: Larry Clendenen · · ~'-~"-~'. "~' ~, ' i~ Deck Hand~: Lee Clendenen .... _s -'. ~ .? ' - ..i '. - ' ~, . i.. _" ' '..'. _.: ._..'_ .... - Sample. of tanner crab Chionoecetes bairdi collected at Cape Kasilof, Alaska September 10-13, 1974 . Form P--3 ~, S~bmJt "Intentions" in ~pltcat~. ~V. 9-~9 ' ~ "Su~quent t~epo~s" STATE OF A~KA OIL AND GAS CONSERVATION COMMI~EE ....................... SUNNY NOTICES AND REpoRTs ON WEL~ ~..~~~o~'~6 (Do ~ot use this forrn for proposals lo dlH[ or to decpe. ~L 60579 use "APPLICATION 'FOR PEl~lrr~" ]or such 'pro~osats.) ~L w~ ~ 0Tn~ E~loratory St~dard Oil Comply of California, WOI %. ~D~'~ss o~ o~oR ...... 9. P. O. Box 7-839, ~chorage, ~laska 99510 Cape Kasilof '4."'L~C.KTION O'F W~L ................. 10. ~ ~D"POOL, O1~ At su~ra~e Approximately '650' South and ~350' West of ~ildcat ., , ,, , . .... NE corner Section 25~ T3N, R13N, located n. s~c.. T.. m.~.. (BOXU'O~ O~iVE) offshore. Sec. 25, T3N, . '~. ~u~vk'r~o~s ~i~ow ,~h~t~ D~'. ~T'.'am ere. ' ........ i~. ~UT ~o~ .... KB-,-,+ 90' above MMLW I 74-20 ---'~-; ...... Check Appropriate Box To Indicate Nature of Notice, Report, or Other Data NOTICE OF INTENTION TO I TEST WATER BHUT-OFF PULL OR ALTER CASING FRACTUKE TREAT .MULTIPLE COMPI.ETE SHOOT OR ACIDIZD Il ABANDONS' REPAIR WELL CHANGE PLANS tother) (NOTE: Report results of multiple completion on Well Completion or Recompletion Report and Log form.) 15, DE~,CRIBE I'ROPOSED OR COMPLETED OPERATIONS (Clearly state all pertinent details, and give pertinent dates, including estimated date of starting any proposed work. Subject well was spudded at 2:00 a.m. on September 10, 1974. 1974 certify t oi ~ · correct ......... -~. ~i. ~icKzniey ,..-, / TITLE Area Engineer (This space for State o~ce use) ~ DIVISION OF OIL AND GAS ANCHORAGE 9-10-74 DATE APPROVED BY CONDITIONS OF APPROVAL, IF ANY: TITLE DATE See Instructions On Reverse Side ~?ED~O ~D~ON .... i~.~er~ Sec~c~ DIVISION ,..,F C Il. Al, tO O,A~ / SUBPORT BU/L ~U#£AU $$~01 August 30, 1974 Mr. A. B. Scouler Alaska Exploration Representative / ~RAFT Standard Oil Co. of Calif. ~~. ~ ~E ~ . Anchorage,Dear Mr. SooulerAK 99510: /~ ~u~ ~: L..~ Stp~ 1,~~ our ~elecon and 1.e~r from 26 August 1974 giving Standard Oil authorization to undertake the program of biological observa- tions reco~ended in our letter of 15 August 1974, we shall co~ence operations within a few days. The field work will be performed under the direction of Mr. Loren Flagg, from our ADF&G Homer office. Mr. Flagg has made all necessary arrangements for charter of a fully equipped vessel to perform the required sampling tasks. Present plans require for me to be in Juneau for part of the month of September, thus Mr. Loren Flagg will be the direct liaison on matters relating to field logistics and operations. He can be contacted through our Homer office at 235-8594 or 235-8595. Mr. Tom Trent from our permitting group in our Anchorage office (344-0541) can also be contacted in case of need if Mr. Loren Flagg is not readily available. As per your telecon of 29 August 1974 this office does not object to the emplacement of the drilling rig in accordance with your schedule. The presence of the rig shall serve as a much needed reference point from which our biological sampling transects can be programmed. If your company has preferences as to a well site to shore corridor for underwater pipeline, would you let us know so we can program our field sampling accordingly. We sincerely appreciate the side scan sonar and fathometer records provided. They provided a much needed insight in the degree and pattern of roughness of the bottom and gave us essential information for programming bottom sampling. Mr. A. B. Scouler~ - 2 ~ ~ ~=9'usU 30, 1974 We sincerely appreciate your interest and cooperation in these matters and look forward to fostering and furthering the common base of understanding that would insure compatible use between resources. Supervisor, Coastal Habitat Protection Program cc: H. Burreli - ADNR Anchorage Corps of Engineers, Permit Section - Anchorage MEMORANDU d TO: Pedro Denton, Chief Minerals Section Di.v. of' Lands Anchorage FROM: James W. Brooks Commi_ssioner lame Dept. of Fish and Juneau stge I .~ ~ ~._~. ~, ~_,_~, jun TELEPHONE NO; SUBJECT: L0 74-22- Cape Kasi I ]et The A]aska Department of Fish and Game has carefully reviewed correspondence and documents relating to Standard Oil Co. exploratory drilling at Cape Kasilof #1. Our comments, recommendations and stipulations are based upon the following rationale: 1. The Kenai Peninsula beaches adjacent to this proposed operation are important razor clam habitat and the clam populations support a large recreational fishery. At Clam Gulch alone, 392,130 razor clams were harvested in ll,llO man-days of effort during 1973 at the beach area closest to the drill site. 2. Because of their location in the intertidal zone of Cook Inlet., razor clams are particularly susceptible to adverse impact from oil spills..Direc[ mortal- ities in a clam population may be caused by lethal concentrations of toxic chemical fractions in crude oil or by smothering under dense crude petroleum accumulations on the beaches. Indirect mortality of razor clams and reduced growth may be caused through changes effected by oil spills on micro and macroorganisms of the intertidal zone and littoral waters which form im- portant links in the food chai'n of clams. Recreational harvest of razor clams may be substantially reduced for an unknown period of time by tainting and "off" odors produced by assimilatiOn of petrochemicals through their food supply or absorption through gill tissues. . Important commercial fisheries for salmon are also located throughout the waters near the proposed drilling site. Above Anchor Point in Cook Inlet the average annual salmon catch (all species) has been 2.8 million fish. In 1973, the salmon fishery in this area supported over 1,400 commercial gear license holders and about an equal number of assistants. 4. Kasilof River, near the drill site, is the second largest red salmon producing stream in Cook Inlet, and contributes about 25 percent of the .red salmon production of these waters. In 1973, red salmon were worth 2.7 million dollars to Cook Inlet fishermen with a first wholesale value of approximately 5.0 million dollars. 5. Subjective observations made by commercial fishermen near the Kasilof State ~1 drilling location indicate the area may be a spawning ground for halibut. Their observations are based on the presence of gravid female fish. Pedro Denton June 6, 1974 6. A conflict of petroleum industry operations and commercial fishing set net sites and drift gear may be anticipated in offshore areas above Anchor Point. Salmon fishing activity can be expected from late June to early October. Due to the mobile nature of drift gear, the potential conflict of petro!eum development vis-a-vis the commercial fishery between Anchor Point and the Forelands could reach serious proportions. in view of the above, this department requests that the applicant abide by the stipulations included in the attached' response to the Corps of Engineers permit NPA-74-180 (Cook inlet 186). Enclosure cc: D. Wallington - ADEC Juneau ~ DEPARTMENTOFTHEARMY ' ' /~\\~!1///~ ALASKA DISTRICT, CORPS OF ENGINEERS ' L NPACO-OP-P ' 11 June 1974~~0L-'I _ coo / . ~D~AFT PUBLIC NOTICE NO. NPA 74-218 .... . . The application of Standard O~i Company of California, Western Operat~ons~ ~/ ' inc., for a Department of the Army permit under Section 10 of the River and Harbor Act of 1899 (30 Stat 1151' 33 USC 403) to drill an exploratory well within the State of Alaska Oil and Gas Lease ADL-60579 in Cook 'Inlet at a location 12.5 miles west of Kasilof will be considered at a public hearing on the subject to be held in the assembly meeting room of the Kenai Peninsula Borough office building.in Soidotna, Alaska, at 10 a.m. on 11 July 1974. All interested individuals, groups and agencies are invited and urged to be pr-esent or represented at this meeting. Everyone will be given an opportunity to express their views upon factors which may be relevant to the proposal: among these are conservation, economics, aesthetics, general environmental concerns, historic values, fish and wildlife values, flood damage prevention, land use classification, navigational, recreation, water suPply, water quality and in general, the needs and welfare of the people. Oral statements will be heard but for accuracy of record all important facts and statements shOuld be submitted in writing. Written statements may be handed to tile chairman of the meeting or may be mailed before- hand to our office. Mailed statements should indicate that they are in response to this announcement. Please bring this announcement to the attention of anyone you know who is interested. FOR THE DISTRICT ENGINEER: JUN 3 1974 DIV?,,,,ION OF OIL AND ANCHORAGE. WALTER B. LANDER Chief, Construction Division OFF/CE OF THE CO;~MISS/ONER WILLIAM A. EGAN, GOVERNOR / SUBPORT BUILOIftG IUHEAU 9.980I / June 6, 1974 U.S. Army Corps of Engineers Alaska District Permit Section (Attn: Ms Aurora Loss) P.O. Box 7002 Anchorages Ak. 99510 Public Notice Ho. NPA-74-180 Dear Ms Loss: Re: NPACO-OP-P--Cook Inlet 186 (Cape Kasilof, Standard Oil Co. Exploratory Drilling). The Alaska Department of Fish and Game has carefully reviewed the subject permit application and is not opposed to the issuance of a permit provided that,, in order to best protect and safeguard the immediate and long range public interests in the Fish and Game and interrelated Habitat values of. the ar.ea, the following stipulations be strictly adhered to: 1. Prior to the emplacement of the dril. ling rig and start of drilling operations, the applicant will furnish to ADF&G and other interested parties: a. A summary predictive document based upon existing knowledge of the circulation regime, wind effects and behavior of various known spills in the Cook Inlet area on the probability of extent of coastal area that can be visibly and physically affected by oily discharges in excess of 50 gallons. b. Information, based upon not tess than two series of day and night sampling as to the composition .of bottom and pelagic macrofauna (eg. shrimps) at the drill site; sampling to be performed by .means of trawls (otter trawl, beam trawl, high speed mid-water trawl). ADF&G will advise and coordinate with the applicant the sampling procedures, timing and assessment of the catch. c. Should drilling activities extend into the period November 1 to March 31, the applicant shall provide not less than two day and night bottom samples to determine the presence or absence of gravid female halibut in the drilling s~te area. The sampling is to be undertaken during the period of November through March and ADF&G personnel will advise and coordinate sampling, methodology, timing . and procedures with the applicant. 2. Sanitary and drilling water-borne wastes, oily residues, machinery wasdown residuals, drilling muds and fluids, oii contaminated drill . cuttings to be 'effectively contained for removal, treatment and disposal at land sites. 3. Uncontaminated drill cuttings to be fully contained for land d.isposal unless information obtained under item 1 (b) shows, to the satisfaction of this department, that overboard dumping of such cutting will be Ms. Aurora Loss -2- - June 6, 1974 biologically hard, less. 4. Mai~..tain, at the ready, either on site or at a suitable nearby location, oil containment and clean-up equipment, together with properly trained personnel, for immediate mobilization and clean-up action in case of ~ishaps. ¥I. Brooks ~glml S::, ~o~e, cc: H. Rietze - NOAA/NHFS Juneau G. ¥latson - F&;!S Anchorage D. ~allington - DEC Juneau J. Keenan - DNR/ADL Anchorage S. Brust - EPA Anchorage ~y 20, 1974 Re: Cape Kastlof" S~ard 0t'1 of Callfo~ta #74-20 _Hr. J. L. Rowland St~tard 0il Company of Callfmmta P. O, Box 7-839 Anchorage, Alaska 99510 ~r $~r: Enclr~i ts the approved application for permit to dr111 the above ~eCerenced wet1, on or about August 15, 1974, at a locatton ~n Sectton 26, Tmmshlp T3N, R~nge 131d, S.H. I~ell samples, core chtps, and a mud lo9 are required. A directional survey ts not required. P~uant to ~ .38.40, Local Hfre Under State Leases, the Alaska Department of Labor Cs ~Jng notlfied -of 'the is~ance of thts permtt to dr111. Cl~J~n Alaska 0ti' and Gas Conservation Committee ~LG:jh Enclosure cC: Department of Ftsh and Game, Habttat Sectton w/o eric1. Department of Envt~tal ~~r~ation w/o eric1. ~partment of Labor, Supervisor, Labor Law Compliance Otvtston w/o encl. .... AT TE NTIO N OF, F~ N PACO~Op,_,~. ,.~-' ~ Cook Inlet 186 m iPARTMENT. OF THE ArMY ANCHORAGE. ALASKA 99510 PERMIT SECTION (907) 279-4123 ! --I I t [--'[ 4 ENG1-- I--i ! 1 May 19 3 ---[ SEC ' ' ~ -' '' CONFER: Application has been received in this office from the.Standard Oil ComD;~ of California, ~ Western OperatiOns', ' inc.', P.O.' box 7-8~, anchorage, Air,kd '--'" 99510, telephone {907} 279-9666, for a Department of the Army permit under Section 10 'of the River and Harb°rAct of 1899 [30 Stat. 1151; 33 u.s.c. 403) to.drill-an exploratory well-, within the State of Alaska Oil and Gas Lease · . . ADL'60579 in Cook 'Inlet at a location 12.5 miles west Of Kasi.lof as shown on the plan inclosed with this notice. ...J A drilling barge will be used to drill to an approximate depth of 15,000 feet. Blowout prevention equipment and a self-contained drilling mud system will be used. Drill cuttings dispersed into the inlet will be free of oil and con- taminents, also all refuse will be disposed of at an approved upland disposal area. If the desired well depth is not reached before freeze-up cement plugs will be placed in the well until drilling can be resumed in the summer of 1975. Interested parties are reqUested to submit in writing any comments or objections that they may have to the proposed work' The decision whether to issue a permit will be based on an evaluation of the probable impact of the proposed activity on the public interest. That decision will reflect the national concern for both protection and utilization of important resources. The benefit which reasonably may be expected to accrue from the proposal must be balanced against its reasonably foreseeable deteriments. All factors which may be relevant to the proposal will be considered- among those are c6nservation, economics, aesthetics, general environmental concerns, historic values, fish and wildlife values, flood damage prevention, land use classification, navigation recreation,, water supply, water quality and, in general, the needs and welfare 'of the people. No permit will be granted · - unless its issuance is-fOund to be in the public interest. ~liminary determinatiOns indicate the issuance of this permit is not / a m. ajor Federal action significantly affecting the n ~_ and an environmental statement is not required, huma environment Replies to this notice shoUld be mailed to reach the Alaska District, Corps of Engineers, ATTN' Permit Section, P.O. Box 7002, Anchorage, Alaska 99510, not later than 31 May 1974 to insure consideration. 1 incl As stated FOR THE DISTRICT ENGINEER: ~~~~~/~ WALTER B. LANDER Chief, Construction Division Standard Oil Company of California, Western Operations, Inc. P.O. Box 7-839, Anchorage, AK 99510 · Phone (907) 279-9666 J. L. Rowland Area Supervisor Producing Department April 25, 1974 Plan of Operation Exploratory Well Cape Kasilof No. 1 State of Alaska Lease ADL-60579 Cook Inlet, Alaska Mr. Homer Burrell, Director Division of Oil & Gas Department ofNaturalResources 3001 Porcupine Drive Anchorage, Alaska 99504 Dear Mr. Burrell: Standard Oil Cc~pany of California proposes to drill the subject well at a location as shc~n on the attached plats. For your consideration and approval we submit, in triplicate, our Application for Permit to Drill Deepen, or Plug Back and our check in the amount of $100.00 together with copy of the Plan of Operation and plats shc~ing the location of the subject well. We are also filing the necessary applications for permit with the State of Alaska, Division of Lands and with the District Engineer, Department of the Army, Alaska District Corps of Engineers. The contemplated drillingwill take place in late S~-Fall of 1974. If further data is required, please advise. PFM:nh Attac~ts Very truly yours, DIV!$1C~N;0F OIL AND AN(::MOI~^~ ANCHO~.AG.~ · l~rm P~I P,.EV. SUBMIT IN ~ IACA'I~E (Other mstruc.., ns on reverse side) STATE OF ALASKA OIL AND GAS CONSERVA,TION ,C.OMMITTEE APPLICATION FOR PERMIT TO DRILL, DEEPEN, OR PLUG BACK 1~. TYPB OF WORK DRILL [] DEEPEN [] PLU6 BACK b. TYP]~ OF W~LL w-.L,. OTa~ ~..~ora~rr W~.LL NAME OF oPEH~TOR Standard Oil Company of Californiat WOI ADDRESS O'F OPERATOR P. 0. Box 7-839 Anchora~e~ Alaska 99510 4. LOCATION O'F WELL At surface tV ~ A.P.I. #50-133-20263 6. LF~SE DI~SIGNATION A/TD S~IAL NO. ADL 6057q ;. IF INDIAN. Ak/,O'l-r~:~, OR TPABE NAME 8. UNIT, FARM OR LEASE NAME 9. WELL NO. Cape Kasilof #1 ~0. FIELD AND POOL, OR WILDCAT Wi ldcat Approximately 650' South,,and 1350; West of ~{$-Cor{er Iii. sec,, T.. R.. M., (BOTTOM Atpro~osedprg~.z~Ction 25; T3N; R13W. Located' offShore m A . I HOLEOBJEOTIVE) Same as above. · %~ .,1~ Jsec. 25. T3N, Ri~W DISTANCE iN MILES AN6 DIRECTION F=~oM'NEAREST TOWN O1~ POST OFFICE " Ap roximately 18 miles to Kenai CF'~[' 14. BOND INFO~ATION: . Tr~ Statewides~t~ a.d/o~ No. %451636 ~o~ $100.000 15. DISTANCE FROM PHOPOSED* "[17. ~. ACHES ASSIGNED 16~ NO. ~OF AC~ IN LEASE ~oc~r~o~ ~o ~sr ro ~o~are o~ ~s~ L~, ~. 3930' [ 1920 160 (Also to nearest drig, unit, ii any) 18. DISTANCE ~OM PROPOSED ~OCA~O~* ~0. ~OTAR~ O~ ~ABLE TOO~S / 15000 ~ TO NEAREST WELL DRILLING, COMPLETED, OR APPLIED FOR, FT. Approximately 4600 ' Rotarv 21. ELEVATIONS (Show whether DF, RT, C-R, etc.) 99. APPROX, D'ATE WORK WILL START* K.B. 90 ' ~::~aboVe MLLW A..~gu~t.. 15, 1974 23. PROPOS~) CASING AND CEMENTING PROGP~%/~ SIZE OF HOLE SIZE OF CASING} WEIGHT PER FOO~: GRADE ' SETTING DEPTH QUANTITY OF - 30" Heavy Wall - Driven To point of refusal 26" 20" ,,. 94 , H"-40 400.' Sufficient to cement to surface 17 1/2" 13 3/~." 6~: - ~-_~5 2E~' g-~ ~.i ~.n~. f.n 12 1/4" 9 5/8" , 47..A~ g~N-'~:~ ~AA' Pilaf ~+~ llAA 8 1/2" 7" .... 32,29,26:2~ ] gaqa~=,J ~x 15000' ~0 stage~, minim~ 750 .sacks. CONFID[NliAL We propose to drill the Cape Kasilof Well per the attached drilling program. APR 2 ANCHOR^Or4 IN ABOV~ SPAC~ D~B~ ~O~ P~R~: J~ ~1 is to dee~n o~ Dlug ~, give ~ on p~esent ~u~ive zo~ ~d pro~ ~w produ~ive ~Ae. Ii propel ~ W drill or d~n d~ect Lo~lly,, give pert~ent ~ on subsu~a~ ~t~ ~d meas~d ~d ~ue ve~ical dept. Give bio--ut preventer p~gram. 24. I hereby ce~ifY that the Fore,o~. ~:r~ Ii (This space .for State office use) V CONDITIONS OF APPROVAl., IF ANY: JSAMPLES AND CORE CHIPS REQ~ ~ I~U~: ~ J X j. :/c//h,'~ ,n~. ~bairman '" -" *~# Induction, On Revere Side APPROVED 5/20/74 KASILOF PROSPECT COOK INLET, ALASKA DRILLING PROGRAM PROGRAM BASIS A) B) Exploratory casing size: 20", 13 3/8", 9 5/8", 7" Casing points: 20" - 400'+ 26" hole 13 3/8"- 2500'~ 17 1/2" hole 9 5/8" - 8000'+ 12 1/4" hole 7" - 15,000'~ 8 1/2" hole c) Assumes no penetration of Cretaceous or Jurassic Sunmer well, jack up barge Mud weight 82 pcf, maximum, to 15,000' base of West Forelands 1. Position barge over exploratory location. 2. Drive 30" heavy wall line pipe to point of refusal. 3. Drill 17 1/2" hole to 400' and open to 26". a. Initiate mud loggers at the surface and log to total depth. b. Limit penetration to maintain mud weight of 70-72 pcf. 4. Run and cement to the surface 20" 94~ H-40 Buttress casing a. Use Duplex collar and guide shoe b. Mix cement with sea water c. Run subsurfaCe hanger to land the 13 3/8" casing 20'+-- below the mud line. Si Nipple up and test per "Operating Instruction D-17", Class IIB, 20"- 2000 psig BOPE. Use MSP Hydril and CSO rams. i Drill 17 1/2" hole to 2500'. Limit penetration to maintain optimum drilling fluid properties. .Maintain mud weight of 76-78 pcf. 7, At 2500' condition hole, obtain 1/2 gallon sample of drilling fluid and run the following logs frcm total depth to the shoe of the surface casing. a,~ Dual Induction Laterolog. b. SP-BHC Sonic with integrator curve. c. Cc~pensated Neutron - Density Log. d. Four Arm HR di~ueter. e. Sidewall sample as directed. KASILOF PROSPECT CDOK INLET, ALASKA -2- 8. Run and cement to the surface 13 3/8", K-55, 61#/foot buttress casing. e 10. 11. 12. 13. 14. 15. a. Use Duplex collar and float shoe. Lock bottc~ 5 joints. b. Mix the cement with sea water. c. Land the 13 3/8" casing on a subsea hanger run with the 20" casing. d. Run subsea hanger for 9 5/8" casing. Nipple up and test per "Operating Instructions D-17" Class IV, 13 5/8" 5000 psig BOPE. Drill ahead in 12 1/4" hole to 8000' as follows: a. Maintain optimum drilling fluid properties. b. Maintain mud weight of 78-80 pcf. c. Maintain adequate LCM and barite in the barge. d. Be prepared to core as directed by wellsite geologist. At 8000' or above run full suite of logs as outlined in Step #7. Shoot sidewall samples as directed. Run and cement 8000' of 9 5/8", 47# and 40# S-95 and N-80 casing. a. Use float collar and float shoe. b. Use sea water to mix cemant. c. Land 9 5/8" casing cn subsea hanger run on the 13 3/8" casing. d. Run subsurface hanger for 7" casing. e. Run state collar and tie the 9 5/8" x 13 3/8" annulus together. Nipple up and test per "Operating Instruction D-17" Class ..tV, 13 5/8" 5000 psig POPE. Drill ahead to 15,000' in 8 1/2" hole. a. Maintain optimum drilling fluid properties. b. Maintain mud weight of 80-82 pcf. c. Maintain adequate barite and I32M ~n the barge. d. Be prepared to core as directed by wellsite geologist. e. Near 10,000' or as directed by wellsite geologist be prepared to run full suite of logs outlined in Step #7. Based on log evaluation and shows, be urepared to abandon well, run and cement 7" liner, or formation test as directed. A supplementary program will be issued. APR 8 ANCHORAGE PLAN OF OPE~ATION 1. Move drilling barge over proposed drilling location. (See attached map for proposed location.) Anchor barge securely until support legs are firmly located on sea bottom, then raise.barge until clearance below bottom of barge is minimum of 20 ft. above MHW. 2. Transport necessary materials to barge and prepare for drilling operation. 3. Conduct drilling operation to an estimated depth of 15,000 ft. a. Provide necessary facilities to accumulate, for later disposal, any material including garbage and refuse, which would present a pollution problem if introduced into inlet waters. Subsequent disposal of such material shall take place in an approved disposal area on land. Any drill cuttings dispersedin inlet waters shall be free of oil and contaminants. b. Drilling mud system shall be totally self-contained to prevent loss of drilling fluid into inlet waters. c. Provide and maintain blowout prevention equipment capable of controlling any flow from the well. d. Set and cement casing to the surface from an approximate depth of 400 feet to protect fresh water intervals. Set and cement casing to the intervals from exposure to high pressure while drilling to protective casing depth of +8,000 ft. Set and cement casing at approximately 8,000 ft. to obtain additional protection for the shallow measures and to improve the blowout preventer anchor while drilling to total depth. A mud line suspension system will be used for all casing strings to provide for removal of the vessel from the hole if required. This suspension system will be landed approximately l0 ft. below the mud line. 4. Test intervals of interest as required. 5. a. In the event that drilling operations have progressed to total depth prior to freeze-up of the inlet waters, evaluations are completed, and the well is to be abandone% cement plugs will be placed as follows: (1) Above and between all hydrocarbon-bearing intervals. (2) Across the shoe of the protective casing (approximately 8,000 ft.). (3) From llO0 ft. to +lO ft. below the mud line, and all casing shall be removed to a depth of +lO ft. below the mud line. b. In the event the inlet freezes and makes it necessary to suspend operations prior to reaching the objective depth of approximately ~ ~ ~ ~ ~ ~5~t,, the well will be suspended in the following manner. A~ ~ ~ l'~f~' a."'~ ..~proxima%ely 50 fee% below all fresh-water-bearing strata mn accordance with Oil and Gas Conservation Regulation 2102 (b). ANC:HORAC~, -2- (1) The Uncased section of the hole will be left filled with mud of sufficient density to contain pressures exposed to the bore hole. (2) A cement plug shall be placed across the shoe of the last casing cemented and from +150' to +_50' below the mud line. (3) Riser pipe from above the mud line suspension will be removed and the well capped at the top of the mud line suspension equipment. 6. Rig down drilling operation, lower vessel to water level and retract support legs. 7. Move out drilling vessel. No~e: If it has been necessary because of freeze-up of the inlet as indicated in step 5b, the well will be re-entered in the summer of 1975 and dril- ling operations resumed until total depth is reached. APR D ANCHORAGr-:' KASILOF PROSPECT COOK INLET, ALASKA DR~ Z~TNG PROGRAM PROGR~.~ BASIS A) B) Exploratory casing size: 20", 13 3/8", 9 5/8", 7" Casing points: 20" - 400'+ 26" hole 13 3/8" - 2500'~ 17 1/2" hole 9 5/8" - 8000'+ 12 1/4" hole 7" - 15,000'~ .8 1/2" hole c) D) E) Assumes no penetration of Cretaceous or Jurassic Summer well, jack up barge Mud weight 82 pcf, maximum, to 15,000' base of West Forelands 1. Position barge over exploratory location. 2. Drive 30" heavy wall line pipe to point of refusal. 3. Drill 17 1/2" hole to 400' and open to 26". a. Initiate mud loggers at the surface and log to total depth. b. Limit penetration to maintain mud weight of 70-72 pcf. a. Use Duplex collar and guide shoe b. Mix c~t with sea water c. Run subsurface hanger to land the 13 3/8" casing 20'+ below the mud line. 5. Nipple up and test per "Operating Instruction D-17", Class IIB, 20"- 2000 psig BOPE. Use MSP Hydril and CSO rams. i Drill 17 1/2" hole to 2500'. Limit penetration to maintain optimum drilling fluid properties. ..Maintain mud weight of 76-78 pcf. e At 2500' condition hole, obtain 1/2 gallon sample of drilling fluid and run the follc~ling logs frcra total depth to the shoe of the surface casing o a. Dual Induction Laterolog. b. SP-BHC Sonic with integrator curve. c. Compensated Neutron - Density Log. d. Four Arm HR di~neter. e. Sidewall sample as directed. Kk~ILOF PROSPECT O00K INI.RT, ALASKA -2- 8. Run and cement to the surface 13 3/8", K-55, 61#/foot buttress casing. a. Use Duplex collar and float shoe. Lock bottcm 5 joints. b. Mix the cement with sea water. c. Land the 13 3/8" casing on a subsea hanger run with the 20" casing. d. Run subsea hanger for 9 5/8" casing. 9. Nipple up and test per "Operating Instructions' D-17" Class IV, 13 5/8" 5000 psig BOPE. 10. Drill ahead in 12 1/4" hole to 8000' as follows: a. Maintain optimum drilling fluid properties. b. Maintain mud weight of 78-80 pcf. c. Maintain adequate LCM and barite in the barge. d. Be prepared to core as directed by wellsite geologist. 11. At 8000' or above run full suite of logs as outlined in Step #7. Shoot sidewall samples as directed. 12. Run and cement 8000' of 9 5/8", 47# and 40# S-95 and N-80 casing. a. Use float collar and float shoe. b. Use sea water to mix cement. c. Land 9 5/8" casing on subsea hanger run on the 13 3/8" casing. d. Run subsurface hanger for 7" casing. e. Run state collar and tie the 9 5/8" x 13 3/8" annulus together. 13. Nipple up and test per "Operating Instruction D-17" Class ..TV, 13 5/8" 5000 psig BOPE. 14. Drill ahead to 15,000' in 8 1/2" hole. a. Maintain optimum drilling fluid properties. b. Maintain mud weight of 80-82 pcf. c. Maintain adequate barite and ~ on the barge. d. Be prepared to core as directed by wellsite geologist. e. Near 10,000' or as directed by wellsite geologist be prepared to run full suite of logs outlined in Step #7. 15. Based on log evaluation and shows, be prepared to abandon well, run and cement 7" liner, or formation test as directed. A supplementary program will be issued. APR D)V:SION OF OIL ANCHORAGE . PI~N OF OPERATION .APR, Move drilling barge over proposed drilling location. for proposed location.) AnchOr barge securely ~til suppo~~~ fir~y located on sea bottom, then raise barge until clear~c~' b%Ib~ bottom of barge is ~ni~ of 20 ft. above ~. 2. Transport necessary materials to barge and prepare for drilling operation. 3. Conduct drilling operation to an estimated depth of 15,000 ft. a. Provide necessary facilities to accumulate, for later disposal, any material including garbage and refuse, which would present a pollution problem if 'introduced into inlet waters. Subsequent disposal of such material shall take place in an approved disposal area on land. Any drill cuttings dispersed in inlet waters shall be free of oil and contaminants. b. Drilling mud system shall be totally self-contained to prevent loss of drilling fluid into inlet waters. c. Provide and maintain blowout prevention equipment capable of controlling any flow from the well. d. Set and cement casing to the surface from an approximate depth of 400 feet to protect fresh water intervals. Set and cement casing to the intervals from e×posure ~o high pressure while drilling to protective casing depth of +8,000 ft. Set and cement casing at approximately 8,000 ft. to obtain additional protection for the shallow measures and to improve the blowout preventer anchor while drilling to total depth. A mud line suspension system will be used for all casing strings to provide for removal of the vessel from the hole if required. This suspension system will be landed approximately l0 ft. below the mud line. 4. Test intervals of interest as required. 5. a. In the event that drilling operations have progressed to total depth prior to freeze-up of the inlet waters, evaluations are completed, and the well is to be abandone% cement plugs will be placed as follows: (1) Above and between all hydrocarbon-bearing intervals. (2) Across the shoe of the protective casing (approximately 8,000 ft.). (3) From~lO0 ft. to +lO ft. below the mud line, and all casing shall be removed to a depth of +lO ft. below the mud line. b. In the event the inlet freezes and makes it necessary to suspend operations prior to reaching the objective depth of approximately 15,000 ft., the well will be suspended in the following manner. * (1 a. ) .Approximately 50 feet below all fresh-water-bearing strata in accordance with Oil and Gas Conservation Regulation 2102 (b). -2- (1) The uncased section of the hole will be left filled with mud of sufficient density to contain pressures exposed to the bore hole. (2) A cement plug shall be placed across the shoe of the last casing cemented and from +150' to +--50' below the mud line. (3) Riser pipe from above the mud line suspension will be removed and the well capped at the top of the mud line suspension equipment. 6. Rig down drilling operation, lower vessel to water level and retract support legs. 7. Move out drilling vessel. Note: If it has been necessary because of freeze-up of the inlet as indicated in step 5b, the well will be re-entered in the summer of 1975 and dril- ling operations resumed until total depth is reached. APR 6 ;:' D!V:$1':.:;,.t< C i-: ©~i, /-,h!P. GAS A.NCHORAGE :30 hi8 / f ICAPE KASILOF / t~-~o / / ~ I i..-3o i // I \ -/ J -'~ t /'-" o~' HE 30 ~ L/ SISTERS / KALIFONSKY COHOE _J (/3 Z PROPOSED LOCATION ~ LONG. 151°27'00'' LAT. 60° 19' 38" PROPOSED LOCATION LAT. 60°15' fi ANCHORAGE .J COHOE KASI LOF SELDOV FROM U.S.G.S. ALASKA MAP I KENAI 8-4 VICINITY MAP o 20 40 60 I i J I ' ! J SCALE IN MILES APR 96 r~,.,:.t? ., P OIL A ~!, ,,.]...,I.~ ,,.. ANCHOR_AGE LAT. 60 15 AS 190 FT. I MHW= + 17' MLLW =0' -BOTTOM LINE =-30' INFORMATION FROM U.S.G.S. MAP KENAI B-4 NOTE: WATER DEPTHS SHOWN ARE IN FEET. STANDARD OIL COMPANY OF CALIFORNIA PROPOSED LOCATION OF DRILLING BARGE IN COOK INLET o ,B,,OOO ?%000 I , , SCALE IN FEET SOCAL ADL- 36502 EXP. 9-30-77 23 26 T. 3 N., 35 SOCAL ADL- 60578 EX P. 6- 30-83 SOCAL ADL-60594 EXP 6- 30-8:3 MESA KA$1LOF ST. UNIT NO.2 ~)' 24 19 CAPE KASILOF NO, I ~..-,......-.. -:, ADL-60579 -o EXP. 6- 30-83 ~_ 25 R. 13W. The Sisters D!V:SIC. N C i: ©i~- A GAS ~ .... ~, ~ v~ SOCAL ADL- 60597 UNION KASILOF UN, NO. I T.3 ~. ~. 1 2 W._ _ . SURFACE LOCATION 650' S. ~ 1350' W. FROM N. E. CORNER OF SEC. 25 T. 3 N., R. 13 W. SEWARD BASE ~ MERIDIAN PRODUCING ZONE LOCATION SAME AS SURFACE LOCATION STANDARD OIL COMPANY OF CALIFORNIA WELL LOCATION PLAT CAPE KASlLOF NO. I COOK INLET - ALASKA SEC. 25T. 3 N R. 1:3 W. SBM o, ~,~ .,ODD,, SCALE IN FEET Company ~.~o d o / Lease & Well No, ,~--_~a CHECK LIST FOR NEW WELL PERMITS Yes No Remarks · Is well to be located in a defined pool ................. Do statewide rules apply .......... ~ ............... Is a registered survey plat attached .... · ........... Is well located properl'distance from property line · Is well located proper distance from other wells ............ x~ Is sufficient undedicated acreage available in this pool ........ . Is well to be deviated ......................... · Is operator the only affected party ...... ............. ~___~ _. · ~Can permit be approved before ten-day wait ............... O. Does operator have a bond in force ................... ~ 1,.IS conductor string provided · e- · · · · · · ® · · · · · · · · · 2. Is enough cement used to circulate on conductor and surface ..... . 3.. Will cement tie in surface and intermediate or production strings 6. Will surface csg. internal burst equal .5 psi/ft, to next string .... ~ .... I?. Will all casing give adequate safety in collapse and tension ...... ~.'8. Does BOPE have sufficient pressure rating ............... ., ._ ~ddi tional Requirements: ....... -,. 4. Will cement cover all possible' prOductive horizons . ... ........ ~.,~~., 5. Will surface casing coverall fresh water zones ............ CHECK ,_~.,, FOR NEW ~'~LL , ~:ITS Yes Ho Remarks ~. is well to be located in a defined pool ................. Do statewide rules apply ........................ ~ I. is a registered survey plat attached .................. ~ __~q]~///x /~~~~ ~. is.~ well located proper distance from pro~erty, tine ........... ~. (~.,s well located proper distance from other wells ............ ~. is sufficient undedicated acreage available in this pool ........ ~___,~.. ~ F. Is well to be deviated ......................... ~ Is operator the only affected party .................. ). Can pe~qnit be approved before ten-day wait ~0. Does operator have a bond in force ................... tl Is conductor string provided ...................... ~2. Is enough cement used to circulate on conductor and surface ...... ~3. [~ .,'"~,i cement tie in surface and intermediate 14. Will cement cover all possible productive horizoas 15. Will surface casing cover all fresh water zones ............ 16. Wilt surface csg internal burst equal .5 psi/ft, to next string 17. Will at! casing give adequate safety in collapse and tension ...... i8. Does BOPE have Sufficient pressure,rating~_ ..~_ Additional Re uirements: ~~~/~~,1~~~~ ~ dAL ¢'