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Home My WebLink AboutCO 112 ) ) Image Project Order File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable b~ direct inspection of the file. (",0 I ( :J- Order File Identifier Organizing (done) D Two-sided 1111111111111111111 o Rescan Needed I11111I111111111111 RESCAN DIGITAL DATA OVERSIZED (Scannable) D Maps: D Other Items Scannable by a Large Scanner D Color Items: D Greyscale Items: D Diskettes, No. D Other, NolType: o Poor Quality Originals: BY: HelenCMari~ ) OVERSIZED (Non-Scannable) o ~s Of.variOus kinds:, f::y.. Ifl B I f7 vr1' Other:: ! {Y\../\- P .5, Dale: fø b D:> Isl Vl1Û Date:b ~ o~"III~~I! II~ D Other: NOTES: Project Proofing BY: Helen ~ Scanning Preparation BY: Helen.e ' x 30 = + = -r,OT 1'L PAGES /3 (CounI¡d3"ò{nc: intde cover sheetl JIll 10·. Date: ft) (0 /) 151 V r V' 1111111111111111111 Production Scanning Stage 1 Page Count from Scanned File: I ~ (Count does include C'7 sheet) Page Count Matches Number in Scanning Preparation: V YES> , _ NO ::J Helen (Maria ) Date: (p, ~. ~ Isl V11, If NO in stage 1, page(s) discrepancies were found: YES NO Date: /s/ 11I111I111111111111 1111111111111111111 Date: Isl Quality Checked 1111111111111111111 Stage 1 BY: BY: Helen Maria Scanning is complete at this point unless rescanning is required. ReScanned BY: Helen Maria Comments about this file: 12/1/2004 Orders File Cover Page.doc ) '} Conservation Order 112 1. 2. March 27, 1972 March 30, 1972 Standard's request for Spacing Exception Swanson River Field Notice of Hearing and affidavit of publication Conservation Order 112 -) ") STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES DIVISION OF OIL AND GAS Alaska Oil and Gas Conservation Committee 3001 Porcupine Drive Anchorage, Alaska 99504 Re: THE APPLICATION OF STANDARD OIL ) COMPANY OF CALIFORNIA for an exception ) to Conservation Order No. 8 and to ) Title 11, Alaska Administrative Code, ) Section 206l(b) to permit the drilling ) and completion of the Soldotna Creek ) Unit No. 33-8 well on a 40-acre spacing ) pattern in the Swanson River Field. ) Conservation Order No. 112 Swanson River Field April 27, 1972 IT APPEARING THAT: 1. The Standard Oil Company of California submitted a request dated March 27, 1972 for an exception to Conservation Order No.8, and to Title 11, Alaska Administrative Code, Section 2061(b), to permit the drilling and completion of the Soldotna Creek Unit No. 33-8 well in the Swanson River Field on a 40-acre spacing pattern. The proposed bottom hole location of the referenced well will be in the NW~ SE~ Section 8, T. 7 N., R. 9 W., S.M. and will be approximately 900 feet from the Soldotna Creek Unit No. 32-8 well. 2. Conservation Order No. 109, dated November 30, 1971, permitted the drilling and completion of the Soldotna Creek Unit No. 33-8 well in the SE~ NE~ Section 8, T. 7 N., R. 9 W., S.M. 3. Standard Oil Company of California is the only operator affected by the requested order. 4. Notice of the hearing on the application was published in the Anchorage Daily News on March 30, 1972, pursuant to Title 11, Alaska Administrative Code, Section 2009, and there were no protests. AND IT FURTHER APPEARING THAT: 1. Oil entrapment at the Swanson River Field is in an antic1inica1 structure that .is faulted in several areas. Some of the faults or portions of some faults are barriers to fluid movement. 2. The geometry and configuration of the present 80-acre spacing pattern does not permit adequate drainage from certain Hemlock sand intervals in some areas of the field. 3. The Swanson River Field is currently being produced under a pressure maintenance project. 4. Better efficiency of the gas injection pressure maintenance project and increased ultimate recovery will be realized if producing wells are drilled into those areas that are not being adequately drained. ~ Conservation Order Page 2 April 27, 1972 ~} 112 ') NOW, THEREFORE, IT IS ORDERED THAT: 1. The Standard Oil Company of California be permitted to drill and complete the Soldotna Creek Unit No. 33-8 well in the NW~ SE~ Section 8, T. 7 N., R. 9 W., S.M. 2. That portion of Conservation Order No. 109 which pertains to the Soldotna Creek Unit No. 33-8 well is null and void. DONE at Anchorage, Alaska and dated April 27, 1972. /~. f(Jf(r~J Thomas R. Marshall, Jr., Executive Secretary Alaska Oil and Gas Conservation Committee ze¿¡f~ Homer L. Burrell, Chairman Alaska Oil and Gas Conservation Committee £! f Aíkhtc>- O. K. Gilbreth, Jr., Member Alaska Oil and Gas Conservation Committee #2 --) -.-) NOTICE OF PUBLIC HEARING STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES DIVISION OF OIL AND GAS Alaska Oil and Gas Conservation Committee Conservation File No. 112 Re: The application of Standard Oil Company of California for an exception to Conservation Order No.8 and Section 2061 (b) of the Oil and Gas Conservation Regulations to permit the drilling and completion of an oil well on a 40-acre spacing pattern in the Swanson River Field and relief from the minimum distance of 1000 feet between oil wells producin9 from the same pool. Notice is hereby given that the Standard Oil Company of California has applied for an order to permit the directional drilling of an oil well, designated Soldotna Creek Unit #33-8, in the Swanson River Field. The projected bottornhole location of this well is in the NW 1/4 SE1/4 Sec. 8, T. 7>:N., R. 9 W., SJI1. Conservation Order No.8 established a spacing pattern of 80 acres per well and Section 2061 (b) of the Oil and Gas Conservation Regulations requires a minimum distance of 1000 feet between oil wells producing from the same pool. The application states that this well is required to increase the ultimate recovery from specific Hemlock sand intervals in a faulted reservoir area. Pursuant to Title 11, Alaska Administrative Code, Section 2009, parties who may be aggrieved if the requested order is issued are allowed 10 days from the date of this publication in which to file a protest and request for hearing. The place of filing is 3001 Porcupine Drive, Anchorage, Alaska 99504. If such a protest is timely filed, a hearing on the matter will be held at the above address at 9:30 a.m., April 11,1972, at which time protestants and others may be heard. If no such protest is timely filed, the Committee will consider the issuance of the order without a hearing. dL.¡¿ ~~/.. Thomas R. Marshall, Jr. Executive Secretary Alaska Oil and Gas Conservation Committee 3001 Porcupine Drive Anchorage, Alaska 99504 Published March 30, 1972 AFFIDlvlT OF STATE OF. ALASKA, ) THIRD JUDICIAL DISTRICT, ) SSe Mary L ··Shake ............................. ....... .............................................-.. --.. ..----..- being first duly sworn on oath she deposes a,nd says that.________oooooo. is the.....~~_g~J__91~~~.ooo of the Anchorage News, a daily news- paper. That said newspaper has been approved as a legal news- paper by the Third Judicial Court, Anchorage, Alaska, and it is now and has been published in the English language continually as a daily newspaper in Anchorage, Alaska, and it is now and during all of said time was printed in an office maintained at the aforesaid place of publication of said news- paper. That the annexed is a true copy of a ...~~gª~__Þ.l.º~!g.~mJ:~77 as it was published in règular issues (and not in supplemental form) of said newspaper for. a period of ...~~~~__..___. insertions, . h 30d commencing on t e .._....___.. ay of ..__~~lª_:r.çn_.___.___.., 1972... , and ending on the._ooo3.º____...... day of of ...._.......~_~::~~........., 1 ~?...., both dates inclusive, and that such newspaper was regularly distributed to its subscribers dur- ing all of sa,id period. That the full amount of the fee charged for the foregoing publication is the sum of $ 16. 25 which amount has been paid in full at the rate of 25¢ per line; Mini- mum charge $7.50. .. __.. m_ ..~ Subscribe a,nd sworn to before . 30 March me thIs _...____ day 01.__....___000___..._, 72 19 ______. Z? " ¡l . .._.~~~--./~. __..n_~-&~~ Notary Public in and fq(J the State of Alaska, Third Division, Anchorage, Alaska __ß~:::;'I'~92Ç PUBLICÅ TION _~_._.",,_..;t"-..- N(>TICE OF 'PlliLlC'HE.~RIN.G . .! STATiO'F. .ALAS~A·" neÞMtMENT .. eFNATI:J~AL ,RE$QU~.cE$ , '. ' ,. Alask.Jj ìl.andGe$CQ"semÎ:' ionCol'nniit,tee ',co¡'$~rv~ti~:n iFil~ No; ··112 ReI Th..pµJicIÙi~n'~, ef:'SI·&nQard.Q,IJ· c,cil". p8.nyof9lHornia . for an .xc~~t¡O" to CO"$.~rvation ,Otder No~·8. ,and Seètion 206l(b)i ofth. Oil . ~nd,\G~s,Jonsery~· :ti~.n' .Regul~tio\'~ . .1'0 . permit ... the' . ~rUI~ i'n',.nd,completion·of··an oil.' wI,lIon ·,4&Ó.aèr.' spaclna ·pat'~rn,::.in the Swansø,n .~!v'l' Fleldan~;r,~U.f fro IT! , the .'. m,lnimum dlstanc~. d~... ·100. feet- between oil .wIlIs. pro~~cinll from the sam I ' pOQI. I.', . NQti.ce. Is ... herebygiventhaf'::the Stand~ IrdOilCompanyof ~alifQrnlt.l:¡.s applied . for .n ordlt. to .permlt the:d!r~~tjøn~1 drill·' In,' ,,'tROit w.U,i~Iln~t'dl' Saldot~.. . Creek'-unit #3~·8,. iñ fhe·'!i.;yi,tson ~rvêr Field,.·. . ¡he .proiect~,d,:botto:I:!1M,I.\,ocation of this well Is ih the 'NI/«1Ii,'·SW...:sec. 8" t,7N.. R.9W.".S,M. ,c,.' :,' : - ,,' .1 , ' ';, " " ." " :'" ·'1',' ,;,,' , " ':,. ": :', '.... '~,' .,' ":".,' . : . '- ConservatWI,: ordM, It~~",..,:,~.~t~bli'~Þe~:':. . Sp~cingpatteni'of. 80 acr~s per well Ind Section 2061 (b) of the Oil. .I'\~ Gas ,Con- servationRe9~.'ll!!ions . r'èQÓ;rt," \'a mintlt.ì:ll'rl distance 0('1000 fee belWp.pn ail ...ells producing from· rhe ;~IT,,! paC/I. The al)· plication. .stat~~:ith8,~ th.j~:"we,I~, ':,prequi~~~, to' increase. '.the".ultimatf· recovery:., from specific Hemlock sand intervals in a fault· ed reservoir area. . 'I', . . ',', , ,<" ' P~rsuant to.,.. title 11.'. Alas...k.·a. .,. Adm. .ini.st.r. a,:'.\'. tive Code, 'Settio,n 2009, parties who may be aggrioved if the requei~ed:order .is ·is· sued are allowel:l...10 .day$,fròm the date of this ,publication .in which to fi.'e. I protest and request for hearing· . The. þlape of fi lin.g is· 3001 . Porcupine ·O:rivI, .Ah.chor. age, Álaska 99504. If .such II protest. is timely filed, a hearil)g.on the mlÌtt~r will be held at the above address at 9:30.I.m., April .11, .19!~, ilt. w~j~h Jim,' prot'e~tants . and· others may bIt.· hèm: :. H. no' such protest is timely fiI~d; the Committee will consider the issuance oftht, order without a' hearing. " ThomasR. Mar~h.ll, Jr. Executive Secreta~y' Alilska Oil and Gu. Cons,rvltlon Committe", 3001 Porcupin., I.p.i'ive . Anchorag., ·Allû.:9.95004 Publish: March 30, 1972 Leva) Notic. No. 1877 #1 ( ( Chevron L~~...........,4 t~~~ .' ~ ..J;.I..:.,,¡';i"' Standard Oil Company of California, Western Operations, Inc. P.o. Box 7-839, Anchorage, AK 99510 · Phone (907) 279-9666 (' c. V. Chatterton District Superintendent Producing Department Application of Exception to Conservation Order #8 Dated May 11, 1962 and Section 2061 (b) of the Oil and Gas Conservation Regulations Swanson River Field, Alaska Mr. Homer Burrell, Director Division of Oil and Gas Department of Natural Resources 3001 Porcupine Drive Ancho~age, Alaska 99504 Dear Mr. Burrell: ( Standard Oil Company of California, as Operator of the Swanson River Field for itself, Atlantic Richfield Company, Union Oil Company of California, and Marathon Oil Company, proposes to directionally drill an oil well designated Soldotna Creek Unit #33-8, within said field on unitized lands with bottom hole location projected to a 40-acre legal subdivision described as the NW 1/4 SE 1/4 of Section 8, T7N, R9W, S.B. &,M. The proposed well will require an exception to Conservation Order #8, dated }fuy 11, 1962, which established the 80-acre well spacing for the entire Swanson River Field. Conservation Order #8 was $ilent with respect to Section 206l(b), entitled "Well Spacing" of the Oil and Gas Conservation Regulations as it related to the.distance between producing welLs. Because of the fault pattern and geology of the Swanson River Field certain of the wells are projected to be nearer than 1000' minÚ1UID as required by Section 206l(b). This is discussed in detail in the Geologic and Engineering Report. All of the lands within the Swanson River Field have been unitized by the Swanson River and Soldotna Creek Units. Through unitization and the applicable provi- sions of that certain Agreement for the Development and Operation of the Swan- son River Field, effe.ctive as of July 1, 1963, all correlative rights and . equities of the affected interest owners are adequately protected. Property and lease lines within the field are subject to the philosophy of unitization and may be disregarded for the purposes of drilling the wells as herein proposed. In support of this application, Standard, as Operator, respectfully submits the following report and Exhibits: 1. Geologic and Engineering Report. 2. Exhibit "A", Structure Contour Map shO'tving top of the Hemlock Zone and the .lease.status. ( 3. Exhibit "B" showing the structure at the base of Sand 5 (H4PT) and the original oil-water contact. 4. Exhibit "c" showing the geologic cross-section through well seu 1133-8. {, ('" .f ( Mr. Homer Burrell, Director Divison of Oil and Gas Department of Natural Resources -2- March 27, 1972 Now, therefore, Standard, as Operator, hereby respectfully requests that an order be issued pursuant to Title II, Alaska Administrative Code, Section 2009, for the purpose of granting an exception to Conservation Order #8 and Section 206l(b) of the Oil and Gas Conservation Regulations, authorizing the drilling of the proposed well to the projected location within the above- described 40-acre legal subdivision. ' ResP~c7fully submitted, ~ V~tt6 C. v. Chattert~n Enclosures cc: ~. Rodney A. Smith Qi1 & Gas Supervisor Alaska Region U. S. Geological Survey ( ( (' (" SWANSON RIVER FIELD SPACING VARIANCE FOR WELL SCU 33-8 ( GEOLOGIC REPORT IN SUPPORT OF THE VARIANCE Oil entrapment at the Swanson River Field is in an anticlinal structure oriented roughly in a north-south direction. Structural closure varies from a maximum of 600' in the southern portion of the field to 250' in the central and northern portion. Please see Exhibit A. With the anticlinal flexure, tensional faulting occurred. The majority of the faults located to date are normal faults, oriented roughly in an east-west direction with the north block down thrown. They have been identified in a south to north direction as Faults B, C, D, E, F, G, and H on Exhibit A. The above fauLts have been located and followed through the stratigraphic section on detailed cross-sections using all available electric logs and diprneter data. Displacements on faults vary from less than 100' to over 300'. Fault plane dips vary from 40° to near vertical. The faults show increasing displacement in a westerly direction within the field limits. ( The oil productive portion of the Hemlock reservoir consists of at maximum ten sands south of Fault E. Sand deposition was not uniform across the entire field and sands shale out at some locations and merge at others. The ten sands are identified on the type log on Exhibit A. Of these ten sands, sands 1-5, 8, and 10 are of largest areal extent and of prime importance. These three major intervals are separated by con- tinuous impermeable barriers that prevent pressure communication. The original productive limit lines for the separate sands were determined from detailed electric log, reservoir and seismic analysis, and from formation testing. Structural contour maps have been prepared on the top of Sand 1 and base of Sand 5. The original oil-water contacts on these horizons are indicated (Exhibits A & B). Faulting plays a major role in the accumulation of oil at the Swanson River Field and faults or portions of them are barriers to fluid movement. . The productive limits of the Hemlock sands are not only located at different subsea depths across some barrier faults, but are offset by them. Along .the western flank of the structure, for example, faults C, D, and E are barriers in the productive Hemlock sands. Please refer to Exhibit B. Th~ geometry of the present 80 acre spacing pattern, barrier faults, and productive limits of the naturally separated producing sands will not allow for complete reservoir drainage. Accordingly, Soldotna Creek Unit 33-8 requires a variance from 80 acre spacing to 40 acres and a variance for a bottom hole location closer than 1,000' to the nearest producer. This : well is so located in order to increase the ultimate economic recovery from .'. the Hemlock I - 5 Sand interval by adequately draining the surrounding fault-related reservoir area. The proposed bottom hole location target for directionally drilled, 1 - 5 Sands Well SCU 33-8, is approximately 2,879' south and 1,975' west of the northeast corner of Section 8, T7N, R9W, SB&M. At this bottom hole location, Well SCU 33-8· will be approximately 900' away from existing 1-5 Sands Well, SCU 32-8. Fault B, considered a barrier in this area, cuts the Hemlock Zone between the t·wo locations thereby providing the offset fault entrapment (see Exhibit C). (' ( ( ENGINEERING REPORT IN SUPPORT OF THE VARIANCE During 1966 full scale gas injection commenced at the Swanson River Field. The objective of the gas injection project is to sweep the Hemlock oil sands with gas while maintaining the reservoir pressure at a level that will give the maximum ultimate economic recovery. The gas injection wells are marked with a red arrow on Exhibit A. The project is performing better than original prediction and is accordingly quite successful. By drilling Well SCU 33-8 reserves will be produced that can be classified as new and accelerated. New reserves, which will increase the maximum econo- mic recovery, result from increasing the area sweep efficiency of the gas inj ection proj ect between the inj ection well (s) and the new well. Accelerated reserves result from the establishment of a drainage point now, compared to oil recovery from other wells at blowdown of the field in 10-20 years. The area of increased recovery which will be drained by SCU 33-8 is shown on attached Exhibit "B"." If proposed SCU 33-8 is not drilled, an estimated 550,000 barrels of oil will be unrecoverable. ( 'f" ( f ( ( ( SUMMARY OF GEOLOGIC AND ENGINEERING EVIDENCE IN SUPPORT OF A VARIANCE FOR WELL SCU 33-8 1. Faulting plays a major role in oil accumulation at the Swanson River Field, and faults or portions of some faults are barriers to fluid movement. 2. The geometry and configuration of the present 80 acre spacing program with respect to the location of barrier faults and productive limits does not allow for adequate reservoir drainage in all areas in all sands. 3. Under the existing gas injection project, a poor areal sweep efficiency exists in some areas in certain Hemlock sand bodies due to a shortage of carefully positioned producing wells. 4. Completion of the proposed Soldotna Creek Unit well 33-8, will provide a necessary withdrawal point which will allow for an increased areal 1-5 sand sweep efficiency, increased reserves, and accelerated oil production. These factors will aid in providing the maximum ultimate economic oil recovery from the Swanson River Field. -~-l~:~-'~-'-'-'~~~'-'-'-' .~~-~-.-~. -e.:- - /-- ~ è -_____~ .I: . ,,:\. "-~ / ! : ~ ~ ~ '~" -,~-~..~,~ c ~ , y - I I I c .. c a c o ¿..¿ ,~þ 0: 0., ~. ." 1''''_'_1_'___1_1_1_1. ~ /' ;,0' ------ 43 ---------t~3 ~~ \\.:'~ ~'~'b I¡O¡~oufl I .' ______ ~ '¡,_ '.,' \ \--- ~ ~-. -------.:==--. --,,-~ -------..,'\" 14 ____.'·3~ ~ ______ )~~-'" i) ¡. i ,~'4 ---=::::~ I ' \ ~ 'ó I .. - -, I ! I I I I _ , J ::,~~ . '_~;':', I - , ~.1,' . : ~~ ¡ ~;~ ~ ' - I _ ¡ '~jl ~ I '~ A:B f:A OF i I NC RE A'S",E D 'ltCOVET~/2 . ~. "c_ I _ 34 I I - -'....i _ /'.' - 'I '/ \,'\... I - ! '!.- ,------/ uo. '.1 ~\ '- ;~ I . ~ I' - , , " I ~ ' ' ;,<> I )-, '_ /' 1 -- -- --- ~ ....-. -......... -- -..-. --.. _..f-__" ~ I' -,,- ---- ~ ""(",& "r ~. I_-----===--- -~ -- - I" ' J/"; PROPOSED LOC. 33-8 ! ''-, li:?;t~~ "~~ / 001 P ~ 2.800,000 BBLS. i ~, " '~J/ 7-------':=-~ .o~/ / RESERVES = 1,100,000 BBLS. - 1'12 ' '-- "''::':" __-?..... A.QD'L. OIL ± 500, 000 ~_,_,_'_~"~> """ ''-----________, ,,~.:,,'J -', " . !~c" ~ " I ; \ .. o o ::,,, õ 0. '(Y'- ( \ -' 4' ~/ , ' ~,~ " ~'........~ "H· "" I ',- "'-'......... ~-- '. . 32 .,..~D ..~ I~. I " I '':;.. '.,>l~ 1- ~ 2 '~c__ 2 ; -~ ~ <"', :,~~ /- -.... r ...",-' ---- ----- ' ~---- -;, ~, ~' . ."-~/ r/ .-. j¿ ~ o I 12 :~. ! I ,..,. I ,.. '.w I I q - 4 . I :; / 43 ':~7 ~. '~ ___~/ .-,~.: d / . 243 I / 1/ ,f , I 34 :-.. V.. ( ~ ~~~ ..... . . / I /'.-.~ ~,~/" 1/ ..,- ~ . I ; 1/ ~/, / 41 '-,' ,I ~ ¡ ~_ ¡ I .' ¡ ~ ..00 ~. -'_. 1 I / ,- _;.,.... '-I, ' / / I / r' ~:,: / I I './ 12 V /"Ì'~ 'I . \.::~-..... ,I I I 1 / \ \ \'" 14 _/-"_1_1_- )2 '~ ,/ ~...~l· / ~,-,; / ~ I ¡ , _.34 / / (fa} ;/ , ·¡-:::·.~J9"1 / " I ); / " - - ---/--.,- ,/ ,\;,.,31 " / ';~ / 23 ~ '------ '........" '--..... '---... ........ ---- 9 43/ l'T, " , ! to ' \:..' ¡ ¡. I ,I G~ t !:- I ;} o o ~ o' ,-I / -- co, J , J / / I / , Ii rl_~,_.-,- / J ., 7 I~- I I 21 ~'~ I (" / '-' 0 " ;: ~-). .! 23 I A ..) / _,___1_'__ .~---- --~ ~- , / I / 10 EXHIBIT B PO~TION OF SWANSON RIVER FIELD CONTOURS ON H4- POINT . r·-·-·-·I · I · I · I TO ACCOMPANY STATE SPACI"' -----..-.- .--- ---- ----- APPLICATION FOR EXCEPTION +- I . I Þ I J I I J I I I I -I' E.EN.