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CO 117 A
~ s Image Project Qrder File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable by direct inspection of the file. Order File Identifiier Organizing(aone> ^ Two-sided IIIIIIIIII IIIIIIIII ^ Rescan Needed I III III ~ I(II I IIII II RESCAN DIGITAL DATA OVERSIZED (Scannable) ^ Color Items: ^ Diskettes, No. ^ Maps: ^ Greyscale Items: ^ Other, No/Type: ^ Other Items Scannable by ^ Poor Quality Originals: a Large Scanner OVERSIZED (Non-Scannable) ^ Other: ^ Logs of various kinds: NOTES: ^ Other:: BY: Maria Date: /s/ Project Proofing I II I III I I III I ( )II I BY: Maria Date: /s/ Scanning Preparation x 30 = + =TOTAL PAGES / BY: Mari I r /~ Date: LLB ~ , ~ (Count does not include cover sheet) f /~ /) ~~~(.~ /s/ / V( Production Scanning Sfage 1 Page Count from Scanned File: ~ (Count does include covers et) Scanning is complete at this point unless rescanning is required. Page Count Matches Number in Scanning Preparation: YES _ BY: Maria Date: / L ~~ /O Stage 1 If NO in stage 1, page(s) discrepancies were found: YES BY: Maria Date: ,; y~P ~iuumuuduii ReScanned BY: Maria Date: /s/ Comments about this file: o~a~~v~~e~kaa iiiumiiuiuiui 10/6/2005 Orders File Cover Page.doc Index Conservation Order 117A Prudhoe Bay Field 1. July 26, 1973 BP Alaska, Inc. request for an exception 2. August 2, 1973 Ltr from BP Alaska, Inc. further information 3. August 2, 1973 Atlantic Richfield Company no objection to exception 4. August 3, 1973 Notice of Hearing, affidavit of hearing 5. August 7, 1973 Ltr from BP Alaska, Inca further information Conservation Order 117A r ~ Re: The applicatioi for an exception to tion Order No. 98-8 the footage spacing nineteen wells in a IT APPEARING TWAT: STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES DIVISION OF OIL AND GAS Alaska OII and GAs Conservation Committee 3001 Porcupine Drive Anchorage, Alaska 99501 ~ of BP Alaska Inc. ) Conservation Order ill-A Rule 2 of Conserve- ) Prudhoe Bay Field for relief from the ) Prudhoe Oil Pool requirements for ) specified area. ) September 7, 1973 i. BP Alaska inc. submitted the referenced application dated July 26, 1973. 2. Notice of the hearing on this request was published in the Anchorage Daily News on August 3, 1973 pursuant to Title II, Alaska Administrative Code, Section 2009, and no protest was received. FIPJDINGS: i. Rule 2 of Conservation Order No. 98-B requires that no pay be opened to well bore closer then 3000 feet to any pay in the same pool opened to the well bore of another well. The applicant requested that the 3000 foot distance be changed to 2000 feet. 2. Accurate directional drilling of a well to a precise target is difficult. 3. The pay section of a deviated well may be perfo rated for production over a horizonal interval of several hundred feet, thereby limiting the permissible target areas for future wells. 4. It is prudent to locate wells to permit future development on a 160 acre pattern if required to increase ultimate recovery of oil. CONCLUSION: The granting of applicant's request wil not result in waste nor impair corre- lative rights of affected parties. NOW, THEREFORE IT IS ORDERED TWAT: Applicant, BP Alaska, Inc. is hereby granted an exception to Rule 2 of Conservation Order No. 98-B to permit the opening of pay in the well bore Conservation Order ~~117-A Page 2 September 7, 1973 no closer than ?_OOO feet to any pay in another well in the same pool in each of the following sections: Township II N - Range 13E, tJ.M. Sec. 5, 13, 10, l l , 14, f 6, 2?_, 23, 24, 25, ?_6, 36. Township II N - Range 14E, U.PA. Sec. 6, 7, IS, 30, 31, 32. Townsh i p 12_ N -Range 14E, U.P1. Sec. 32. GONE at Anchorage, Alaska and dated September 7, 1973. ~~A N v 'Q' ~~,~ 07 j, +~~d ~~~ ~. ; ~~ 1~`" ~j ;~ ~. `~~ Thomas R. PAarshail, Jr., Executive Secretary Alaska Oii and Gas Conservation Committee C;oncurr i ng Homer L. Burrell , Chairman ~__._._p ~~ Alaska Oil and Gas Conservation Committee ~~ , 0. K. Gi Ibreth, Jr., ~Ae er Alaska Oil and Gas Conservation Committee ~5 • (~ BP ALASKA INC. ~% Mr. Homer L. Burrell, Director State of Alaska Department of Natural Resources Division of Oil & Gas 3001 Porcupine Drive Anchorage, Alaska 99504 Dear Mr. Burrell: ~J ~_~i P.O: BOX 4-1379 3111-C-STREET ANGHORAGE,ALASKA99503 TELEPHONE (907) 279-0644 August 7, 1973 Reference a recent telephone conversation with our Mr. A. K. Howard regarding our application by letter of July 26, 1973 for an exception to Conservation Order 117 as it incorporates Rule 2 of Conservation Order 98-B to permit a closer well spacing for the nineteen (19) wells referred to in Conservation Order 117, we wish to confirm as requested that the information has been relayed to Exxon Company, U.S.A., and further that Exxon Company, U.S.A. have indicated verbally that they have no technical objection to our application for an exception to drill the aforementioned nineteen (19) wells on a closer well spacing. Should you require additional information concerning this matter, please contact us. CGM;vjp;hw cc: Mr. Judd Miller, Jr., Exxon Company, U.S.A., Los Angeles Vice President Production & Planning, BP Alaska, New York Manager Field Development Planning, BP Alaska, New York File DEV-PB-741/4 DIR IC.GE C. ENG 1 EtiG 2 ~1.,, II ~ 3 E'~~" 1 _ 4 F":. - ~ _5_E :C I - 1 G,~i.~i _.__ . 2 ~`~~ 1 --3 GFOL ~ -- REV ___ DRAFT SEC CO NFER: FILE: ~ l '~~- ~~~ jffjj _., .. ~s Very truly yours, ~ 4 ~ ~ NOT (CE OF PUEiL I C WEAR 1 PdG STATE OF ALASKA [DEPARTMENT OF NATURAL RESOURCES DIVISION OF OIL ANn GAS Alaska Oil and Gas Conservation Committee Conservation File Rio. 117 A Re: The application B P Alaska Inc. for an order granting an additional exception to Conservation Order No. 9i3Ei for relief from the footage spacing requirements for nineteen wells in the Prudhoe Oil Pool of the Prudhoe [3ay F i e I d. Notice is hereby given that 3 P Alaska Inc., has requested the Oil and Gas Conservation Committee to issue an order exempting the referenced wells from the 3000 -foot minimum distance requirement of the referenced order. Conservation Order 1i7 permitted the drilling completion and production of two oil wells in each of 19 specified sections in the Prud- hoe Oil Pooi. 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 hearinci. Place of filing is 3001 Porcupine give, Anchorage, Alaska. If such a protest is timely filed, a hearing on the matter will be held at the above address at 9:00 Aan August ICI, 1973, 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. ~~ . Thomas R. P~arsha I I , J r. Executive Secretary Alaska Oil and Gas Conservation Committee 3001 Porcupine Drive Anchorage, Alaska 99501 Publish August 3, 1973 AF F 1 ~.4~-i/IT OF STATE OF ALASKA, ? THIRD JUDICIAL DISTRICT,) ss. ----Ma~'~..I.I.._S h a.k-e-- -------------- being first duly sworn on oath S?'1 e deposes and says that.-___._..___.. is the.-..-.Legal Cler~$f 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 -.-~8~~-~---I1~d~~-~~3 as it was published in regular issues (and not in supplemental form) of said newspaper for- a 8029 period of ..__OY1L'-.-_-- insertions, commencing on the -.~.._-__day of _.AUgUSt_-__ _,19 _73, and ending on the-_._.-___~__..-__. day of of ..--- Atagtas-t------- , 19---73 both dates inclusive, and that such newspaper was regularly distributed to its subscribers dur- ing ali of said period. That the full amount of the fee charged for the foregoing publication is the sum of $ 1 3 ° 7~ which amount has been paid in full at the rate of 25¢ per line; Mini- mum charge $7.50. Subscribed a sworn to before me this 3_-.._. day of__-Augu-s~r 1973_. p---~~°~ Notary Public in and for` the State of Alaska, Third Division, Anchorage, Alaska MY'COMMISSION EXPIRES ~'~ ,, ~.. ,, .- ..., 19./.-,,~a PUI~LI~~TI®N JiE Ptt&LICATION :NOTICE OF:'Ptt®LIC REARIIJ~S STATE OF ALASKA -0EPARFMENT OF NATURAL kE56lAi~ES.' DIVISION OF Olt. AND GAS Alaska Oil a'nd Gas Conservation Committee Conservation File tlo. U17 A ~Re: The Application IB P Ataska Ihc.. far an order' grarvtkW an addi- fiional exceRtion to Gonservatioa Order No. 9$B ibr relief from the footase spacing requn•emenrts fior rvineteen walls in "glle Prod- ihoe Oil PoaP of the Prudhoe bay. 'Field. 'Notice is hereby given fhat B-P klaska Inc., has requested the OiP and Gas {onservation Committee to issue pan order exempting the refer- ervced wells from the 3000-toot mini- mum distance requirement of th6 referenced ordea Conservation Order- ?I7 permitted The driblirig comp4ation and Productiorv of !two-.oil nvelb in each. of 19 specified`seotians in tM iPrudhoe QiI Pool. Parties who rtlay b~ aggrieved if the requested order is issued are allowed 10 days from the date of this publication in which' o file a protest and request for. hear- ing. Place of filing is 3001 Porcu-- glirve Drive, Anchorage, Alaska. If sJch a ~{otest a timely filed, s hear- ingon the matter will ba bald aR tdu -above :address at 9:OQ A:M. August lb, 1973, at which time pratestanfs and others may be heard. If so suoh "~prot0st is timely filed, ttre Committee wil9 consider the issuance of aha orda~ without a hearing. ....Thomas R. Marsha4k, _k. iExe6utive Secretary 'Alaska Oil arnl Gas Conservation -Committee . .3001 -Porcupine Drive ,Allchorape, Alaska 94501. ~, ~t~ a ~~a .., ; ~~,~ ~3 AtlanticRichfieldCompany North Ame ' Producing Division Alaska R -~-~~ Post Offic ox 360 ~ ~ Anchorage, Alaska 99510 ~ ~• '~ ~' ~ . ~ E` ' Telephone 907 277 5637 ~ ~ ; fv G Sim son O ~ 2 Ef~d~ "~ . p . er North Alaska District Mana 3 ENG ' g 4 ENG - ' 5 ENG f j-e.,~L ~ ~,~ 2 GEOL ~ _ -- - _ 3 Gt-Ot 1 4FV DRArT ~~ -. __ . SEC August 2, 1973 ca -- ~~FEk © ' FIL _ r I / 7 A T~Ir. Homer Burrell, Director Division of Oil and Gas Department of Natural Resources State of Alaska 3001 Porcupine Drive Anchorage, AK 99504 Dear P~Ir . Burrell Atlantic Richfield has no objection to granting BP Alaska Inc. a spacing exception to Conservation Order 117, as it incorporates Rule 2 of Conservation Order 98-B. Specifi- cally, we, Atlantic Richfield, have no objection to BP Alaska Inc. receiving permission to drill any of the nineteen wells referred to in Conservation Order 117 in such a manner that the pay open to production be up to, but no closer than, 2000 feet from the pay open to production in an adjacent well. The maximum distance between wells on a regular 320-acre spacing pattern is approximately 3700 feet. The 3000 foot spacing rule currently in effect requires that direc- tional control be very precise to obtain this regular spacing and not violate the 3000 foot rule on these 320-acre spaced wells. Additionally, many of the original BP Alaska Inc. wells do not conform with a rigorous 320-acre spacing pattern. In order to effect this pattern for the nineteen wells covered by Conservation Order 117.-and any future 320- acre locations, exceptions to the 3000 foot spacing rule are required. It is Atlantic Richfield's opinion that ultimate recovery will be improved if future wells are drilled on regular spacing patterns. Thus we have no objection to this spacing relief request of BP Alaska Inc. Very truly yours, OGS:PBN:ja r x~ ..~ ~.:, t4~ ~ ~~• .~ ~. ~. , t<.'"`§ ~ • ~. .l~ r BP BP ALASKA INC. ~ ~'§ 1~ ~) ~k~~~ ~ 4 d ? ~S V i' ~ L ~. ~y' ti ~, _ ~ _c. cwt ~ c. ~~~ . -_I- ~ LA,,~~- { 3 ~iVG 4 EF4ti~ ~ 5 ENG ~ 2 GEOi ' 3 GFO -~ --RFV __-_-- DRAFT Mr. Homer L. Burrell Director State of Alaska Department of Natural Resources Division of Oil and Gas 3001 Porcupine Drive. Anchorage, Alaska 99504 Dear Mr. Burrell: • P. O. BOX 4-1379 3111 - C - STREET ANCHORAGE. ALASKA 99503 TELEPHONE 1907) 279-0644 August 2, 1973 With reference to our application by letter of July 26, 1973 for an exception to Conservation Order 117 as it incorporates Rule 2 of Conservation Order 98-B to permit a closer well spacing for the nineteen (19) wells referred to in Conservation Order 117 and, further to recent telephone. communications with our Mr. A. K. Howard, we submit the following information for your consideration to substantiate our application. The development scheme proposed for the initial phase of field production is based on the following principles: (1) The area initially being developed is restricted to the thicker part of the oiI column where there might be a later requirement for production or injection wells on a density equivalent to 160-acre spacing. (2) Problems as to the geological configuration of the margins of the oil accumulation are not a primary concern in locating wells internally within this part of the field, and in the thick sand section with low structural dips the area can be treated as grossly homogeneous. (3) The principal concern with well positions in this area then is one of equally spacing wells for drainage, minimum interference, and possible efficiency of recovery from injection processes in the future. (4) The spacing pattern that achieves this is an equilateral triangular (or hexagonal) pattern. Wells should be 5674 ft. apart for 640-acre spacing, 4012 ft. apart for 320-acre spacing, and 2837 ft. apart for 160-acre spacing. It is apparent that a 320-acre pattern cannot be infilled equally to achieve a 160-acre pattern. w r Mr. Homer L. Burrell Director Division of Oil and Gas - 2 - August 2, 1973 (5) As we see a possible need for future 160-acre spacing wells in the middle part of the field, a development location grid has been-drawn in that area on this basis (i.e., 2837 ft. between wells) adjusted as necessary to compromise existing locations. In practice the plan needs constant minor revision as each well is drilled and does not exactly reach target.. For the first stage of development we plan to drill approximately half the locations in this grid and of necessity'(4. above) this does not result in a completely regular pattern. This is not considered significant considering the spacing involved, but does imply that some locations will have to be programmed in theory to be 2837 ft. from existing wells, which, with practical restrictions as outlined in our application by letter of July 26, 1973, may be a somewhat lesser distance. Should you require additional information concerning this matter, please contact us. Very truly yours, BP Kl~ INC. j) r ~~^-'~ L . ~` a Y rict Manager CGM:vjp cc: Vice President, Production and Planning, New York Manager, Field Development Planning, New York File DEV-PB-741/4 s BP • BP ALASKA 1NC. Mr. Homer Burrell, Director Division of Oil & Gas Department of Natural Resources State of Alaska f P.O. BOX 4- 1 379 3177-C-STREET ANCHORAGE,ALASKA 99503 TELEPHONE 1907) 279-0644 July 26, 1973 3001 Porcupine Drive Anchorage Alaska 99504 ~~~~~ C"Q ~o h D!R k c: c~oi C. ENG _I. 2-ENG _ --i -- 3`E-NG - i ~ 4 EI~G 5 ENG ._._) 1 .~F ~~ -- I -3 GEOL -' _~w- DRAFT -~-~ SECJ `.:C?`'v ER: ~v v ` ~ / / / /4 Dear Mr. Burrell: ~'~~ In our request of January 16, 1973 for a change in the Prudhoe Bay Oil Pool rules to permit us to drill two wells in selected sections, and at the subsequent hearing on February 16, 1973, we did not request a change in the required distance between wells. Our intention at that time, pending the completion of unitization negotiations, was not to unnecessarily request changes in the existing rules unilaterally. It was our expect- ation that we could continue our drilling program honoring the 3000-ft spacing rule, although that rule is not necessarily consistent with any .proposed ultimate development scheme. However, two factors in practice and one in principle have indicated to us-that the procedure is too restrictive and we see considerable advantage and no disadvantage to any party in relaxing this spacing requirement. The factors are (1) the difficulty in drilling a well to a precise target and the reli- ability of directional surveying during drilling; {2) with the deviations achieved and anticipated, the pay section of a well could be required to be perforated for production over a hori- zontal interval of several hundred feet, a factor which restricts the available distance between wells; and (3) although not proven to be necessary, it is prudent to locate present wells to allow in the future for possible regular spacing of wells for production or pressure maintenance on a grid equivalent to 160 acres. We appreciate that the 3000-ft spacing rule was initially adopted to avoid an uneven pattern of development well locations. It is in an effort to achieve this objective that we now feel that this spacing requirement should-be amended. Correlative rights can be protected and ultimate recovery possibly enhanced in this mmanner or, if the State should feel concern in this regard, it could invoke a rule based on Finding 9 of Conservation Order 117. We would therefore request that we be granted an exception to ~~ Conservation Order 117 as it incorporates Rule 2 of Conservation Order 98-B. Specifically, we require permission to drill any of the 19 wells referred to in Conservation Order 117 i ~xc~+ ~ ~ ~ l manner that their respective pay zones may be open n~ ~ ~~' ,.. ~~ t~'~yl~ i~ -- ~' ~ ,~- ©5 s~ 1 Mr. Homer Burrell -J- July 26, 1973 completion for production to no closer than 2000 feet to any pay in the same pool opened to the well bore of another well. As we anticipate no objection to this request from any affected party with holdings in the Prudhoe Bay Pool and we have no further testimony to offer beyond that presented on .February 16 and the above comments, we would apprec- iate your ruling as to whether this request could be acted upon immediately, formally published and ruled on by your Department without a hearing. Very truly yours, BP R~K INC. :~ Y.+'~r ~ ~ r ~` ~ it L ; O ...Gay Di~rct Manager hw cc: VP Production & Planning Mgr., Field Development Planning