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HomeMy WebLinkAboutCO 359Conservation Order Cover Page XHVZE This page is required for administrative purposes in managing the scanning process. It marks the extent of scanning and identifies certain actions that have been taken. Please insure that it retains it's current location in this file. ~(~'_ Conservation Order Category Identifier Organizing RESCAN [] Color items: [] Grayscale items: [] Poor Quality Originals: [] Other: NOTES: DIGITAL DATA [] Diskettes, No. [] Other, No/Type OVERSIZED (Scannable with large plotter/scanner) [] Maps: [] Other items OVERSIZED (Not suitable for plotter/scanner, may work with 'log' scanner) [] Logs of various kinds [] Other ' BY: ."~MARIA Scanning Preparation TOTAL PAGES /('~ Production Scanning Stage I PAGE COUNT FROM SCANNED DOCUMENT: / ~ PAGE COUNT MATCHES NUMBER IN SCANNING PREPARATION: ~ YES NO ~ MARIA DATE Stage 2 IF NO IN STAGE 1, PAGE(S) DISCREPANCIES WERE FOUND: ~ YES NO (SOANNIN6 I$ OOMPI-I=TE AT THIS POINT UNLESS SPECIAL ATTENTION IS REQUIRED ON AN INDIVIDUAl PAGI= BASIS Dill= TO QUALITY, GRAYSCAkE OR COLOR IMAGES} General Notes or Comments about this Document: 5/21/03 ConservOrdCvrPg.wpd Re; STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 3001 Porcupine Drive Anchorage Alaska 99501-3192 THE APPLICATION OF STEWART ) PETROLEUM COMPANY for an order ) granting an exception to the spacing ) requirements of Title 20 AAC 25.055 ) for the Stewart West McArthur River Unit ) No. 1A developmem oil well. ) Conservation Order No. 359 Stewart Petroleum Company West McArthur River Unit No. lA August 14, 1995 IT APPEARING THAT: Stewart Petroleum Company submitted an application dated July 10, 1995 requesting exception to 20 AAC 25.055(a)(3) to allow drilling the West McArthur River Unit No. lA development oil well as the second well within a drilling unit to produce oil from the West McArthur River Oil Pool. . Notice of an opportunity of public hearing was published in the Anchorage Daily News on July 14, 1995 pursuant to 20 AAC 25.540. 3. No protests to the application were received. FINDINGS: Stewart Petroleum's West McArthur River Unit No. lA well as proposed will be a deviated hole drilled from a surface location 2871' from the south line mad 1351' from the west line of Section 16, TSN, R14W, Seward Meridian (SM) to a bottom-hole location 1793' from the north line and 1710' from the east line of Section 10, TSN, R14W, SM. 2. Offset owner Union Oil Company of California has been duly notified. , An exception to 20 AAC 25.055(a)(3) is necessary to bring this well imo compliance with statewide rules goveming well spacing and drilling units. CONCLUSION: Granting a spacing exception for the West McArthur River Unit No. lA development oil well will not result in waste nor jeopardize correlative rights. Conservation Order No. 3.~ August 14, 1995 Page 2 NOW, THEREFORE, IT IS ORDERED: Stewart Petroleum Company's application for exception to 20 AAC 25.055 for the West McArthur River Unit No. IA well is approved as proposed. DONE at Anchorage, Alaska and dated August 14, 1995. Alaska Oi~ation Commission AiRUaSsSke~l oAii Dan~U~;s~ onservatioC°nuniS~n~ro~nmission .~uckerman Babcock, Conmfissioner Alaska Oil and Gas Conservation Commission AS 31.05.080 provides that within 20 days after receipt of written notice of the entry of an order, a person affected by it may file with the Conunission an application for rehearing. A request for rehearing must be received by 4:30 PM on the 23rd day following the date of the order, or next working day if a holiday or weekend, to be timely filed. The Co~mnission shall grant or refuse the application in whole or in part within 10 days. The Commission can refuse an application by not acting on it within tl~e 10-day period. An affected person has 30 days from the date the Co~mnission refi~ses the application or mails (or otherwise distributes) an order upon rehearing, both being the final order of the Co~mnission, to appeal the decision to Superior Court. Where a request for rehearing is denied by nonaction of the Connnission, the 30-day period for appeal to Superior Court rtms from the date on which the request is deemed denied (i.e., 10th day after the application for rehearin$ was filed). Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re~ The application of STEWART PETROLEUM COMPANY for exception to 20 AAC 25.055 to allow drilling the WEST McARTHUR RIVER UNIT No. lA development oil well. STEWART PETROLEUM COMPANY by letter dated July 10,1995 has requested an exception to the provisions of 20 AAC 25.055(a)(3) for the drilling of a development oil well in the West McArthur River Unit, in the Cook Inlet. The exception would allow Stewart Petroleum Company to directionally drill and complete the West McArthur River Unit No. lA development oil well as the second oil production well in the the northeast quarter section of Section 10, T8n, R14W, SM. The surface location of the well is 2871' from the south line and 1351' from the west line of Section 16, T8N, R14W, Seward Meridian (SM) and the proposed bottom-hole location is 1793' from the north line and 1710' from the east line of Section 10, T8N, R14W, SM. A person who may be harmed if the requested order is issued may file a written protest prior to 4:00 PM July 31, 1995 with the Alaska Oil and Gas Conservation Commission, 3001 Porcupine Drive, Anchorage, Alaska 99501, and request a hearing on the matter. If the protest is timely filed and raises a substantial and material issue crucial to the Commission's determination, a hearing on the matter will be held at the above address at 9:00 am on August 15, 1995 in conformance with 20 AAC 25.540. If a hearing is to be held, interested parties may confirm this by calling the Commission's office, (907) 279- 1433 after July 31, 1995. If no protest is filed, the Commission will consider the issuance of the order without a hearing. If you are a person with a disability who may need a special modification in order to comment or to attend the public hearing, please contact Diana Fleck at 279-1433 no later than July 24, 1995. Russell A. Douglass, Commissioner Alaska Oil and Gas Conservation Commission Published July 14, 1995 $16989 ' STOF 0330 { AFFIDAVIT $?3.00 OF PUB'LICATiON STATE OF ALASKA, ) THIRD JUDICIAL DiSTRiCT. ) Eva M. Kaufmann being first du~y sworn on oath deposes and says that he/she is an advertising representative of the Anchorage Daily News, a daily newspaper. That said newspaper has been approved by the Third Judicial Court, Anchorage, Alaska, and it now and has been published in the English language continually as a daily newspaper in Anchorage, Alaska, and it is now and during all said time was printed in an office maintained at the aforesaid place of publication of said newspaper. That the annexed is a copy of an advertisement as it was published in regular issues (and not in supplemental form) of said newspaper on July 14, 1995 and that such newspaper was regularly distributed to its subscribers during all of said period. That the full amount of the fee charged for the foregoing publication is not in excess of the rate charged private individuals. Subscribed and sworn to b~f~o.~e me this .L%.. day o~~.... Notary Public in and for the State of Alaska. Third Division. Anchorage, Alaska MY COMMISSION EXPIRES .... R~..: ' ,'The ).ot~'pflc0tlon. of, $'[E W~,'RT, ':',;'" TR O L E U M i COMPANY',f~r' exception to, 20 1 A~C.i,2S,0SS:t6'allOW arilling the [ WE.ST> M(~I R-TH UR RIVE. Ri UI~IT,._~I~*L 11 *:.~yelop~nt oil ~ 'ell ~' '~''''' ..... ..r ~.,-. '..' lb~Y~C~h~ r~t'"~an exce~/ tl~ to~ ~lsiOns~of 20 o~a)~'~b ~'t~?. drilling at a d~elo~ d[I, well In the W~t M~f ~ur. River Unit, in ~he~( itlon would allow Stewart fPetroleum Company to didactically irill and complete the. W~t' McArthur River Unit N~ lA development oil well os th~ sec~nd.oil production well in th~ no~he~st quarter section of S~t on.~0, TSN, R14W', SM. The surface'..Ioc~tlon of .the well is 2871' f~,:the so~fh Une and S~tlo~'6~8N; R~W~..Sewara. M~i~id~' {~M)"~hd the pro- p~ed bottom-hole, location is 11~3' ftom.'the h~rt~ line and ~71~0~ [rom the'east line of Sec- tloh ~0, T~N, R'~W, ~person who ma~ be harmed if .~e.requested order Is. issued ~y:~.~flie'~O. wr.lt,te~ protest prior ~[~*~' PM ~.'*J bl~ <:.31 ~" ~995~ with' 'v~Jon'Commisslon, 3~1 Porcu*~ pi~e' .Drlve~ Anchorage, 'Aloskol 99~1, and request a hearing on th~ matter. It':the ~rotest is timely filed and raises a sub- st~tlal and material'.issue'cru- cl~l,:to 'tflX.Commission's '.d~ter- ~ef.~lll. bb' ~I~ at the ou6ve a~'y.~aO..: b~...On August A~~ ~or.t~g 1~ to ~e h~~~gf~s..' may v-- ~'~.143~ .i.~..~o~...~r3~a'"birsoff wlth ~ ~isob ity who may nee~ a sp~- I cial accommodation in or~er ~o I'.comment or.Cb'attend ~he ~ubll'c Jhearifl~',' piease contact Diana .Fleck at 279-1433 no later than ,July. 24, 1995.. ' · /s/Russell A. Douglass ' Commissioner A as~a Oil and Gas ' Conservation Commission > P,Ub~? Ju!V',]4'?, ]~95 ,~ ,, Stewart petroleum Company Denali Towers North, Suite 1300 2550 Denali Street, Anchorage, Alaska 99503 (907) 277-4004 · FAX (907) 274-0424 July 10, 1995 Mr. David W. Johnston, Chairman Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501 Attn: Mr. Robert P. Crandall, Senior Petroleum Geologist Re: Application for Exemption to Provisions of 20 ACC 25.055 Drilling Units and Well Spacing West McArthur River Unit #lA Mr. Crandall: RECEIVED Stewart Petroleum Company hereby makes application to the Alaska Oil and Gas Conservation Commission for an exemption to the drilling unit and spacing requirements of 20 ACC 25.055 as they pertain to the proposed bottomhole location of the West McArthur River Unit Well No. lA. This well as proposed is a redrili of the WMRU No. 1. ,, The proposed BHL for No. lA is: 1710' FEL and 1793' FNL of Section 10, T8N, R14W, SM This proposed BHL will be in the northeast quarter of Section 10. An exception to 20 ACC 25.055 is required because this same quarter section already contains the BHL for WMRU No. 3. All other spacing requirements will be met by the proposed BHL for WMRU No. lA; i.e. the BHL and top of perforations will be more than 500' from any quarter section line and the BHL and top of perforations will be more than 1000' from any other producing oil well. This exception is requested to improve oil recovery at the West McArthur River Field. Current production from Well No. 1 is 82% water and only 260 BOPD. This is mainly due to the BHL of Well No. 1 being downstructure and too close to the oil/water contact. Wells No. 2A and No, 3 are producing considerably more oil (1500 BOPD and 2000 BOPD) with water cuts of 30 to 35%. # West McArthur River Unitl, Spacing Exception Application The proposed redrill of Well No. I should result in a considerable increase in oil production with more ultimate recovery from this bottom water ddve reservoir. Attached is a map indicating the quarter sections offsetting the proposed WMRU #lA and a table describing the ownership of all offsetting quarter sections. Aisc attached is a map indicating the distances between the two existing wells (WMRU #2A and WMRU #3) and the proosed WMRU #lA at the total depth of the wells and at the top of the producing intervals. Since Unocal is an affected owner of an offsetting quarter section, a notification has been hand delivered to them and a copy is enclosed indicating the date of delivery to Unocal. The undersigned hereby verifies that he is acquainted with the facts surrounding this application for exemption and that the facts presented in this application including the attachments are true and correctly portray all pertinent and required data as defined in 20 ACC 25.055(a)(1) and (bi. If there are any questions, please contact me at 277-4004. Tim Billingsley' Petroleum Engineer Stewart Petroleum Company CC: William R. Stewart, President- Stewart Petroleum Company Paul D. White, Operations Manager- Stewart Petroleum Company Attachments: Map with Adjoining Quarter Sections to WMRU #lA Table of Offsetting Quarter Section Ownership Distance Between Wells at BHL and at top of perfs. Map of Proposed WMRU #lA Well Path Copy of Notification of Offset Owner RECEIVED ,It.Il._ 1'1 1995 Alaska 0il & Gas Cons. Commission West McArthur River Unit No. lA Adjoining Quarter Sections T8N, R14W, Seward Meridian I W. McArthur River Unit ADL 17602 Stewart Pet. Co. i Unocal ADL 35911 . Section 3; Section 2 Section 4 ~- '- ~- ......... ,, I WMRU#3 : : I ,ro,'o.~ WM'.., #i, "". ,"'""'"; ............................. % ...............t ' ! ....................... ! Section @ Soction ~ O~ Section1 Section 16 Section 15 Section14 ........... I I II II III II. ~.'.., WMRU #lA Spacing Exception Quarter Section Ownership Quarter i Description ' Leasee i ADL ~ Unit Section j T8N, R14WllLe-a~ # Ref.__~t I SW/4, Sec. 3 Stewart Petroleum Co. 35911 West McArthur River Unit 2 SE/4, Sec. 3 Stewart Petroleum Co. 35911 West Mc, Arthur River Unit 3 SE/4 Sec. 2 Unocal 17602 4 NWl4, Sec. 11 Unocal 17602 5 SW/4 Sec. 11 Unocal 17602 6 SE/4, Sec. 10 Stewart Petroleum Co. 35911 West McArthur River Unit ........... _~ ............. _S._W_/._4_,_8__e__c_..l_O_._._St_e_w_a.r_t?_~.!r_o_/_eu__m___C_9_~_, 3_59_1_1_ .... _w__e_s_t._M..CA__._~_.h..u_r_R_i_y_er,_u_njt- 8 NWl4, Sec. 10 Stewart Petroleum Co. 35911 West Mc, Arthur River Unit No. lA NE/4, Sec.. 10 Stewart Petroleum Co. .3.591...1. West McArthur River Unit West McArthur River Unit No. lA Distance Between Wells T8N, R14W, Seward Meridian Distance between: #lA and #3 BHL = 1448' #lA and #3 top perf = 1494' #lA and #2A BHL = 1420' #lA and #2A top perf = 2229' 930' 700' WMRU #3 ~. ~1125'857' 512' Secti, 3n lO 2616' FEL RECEIVED ,~UL 11 1995 Gas Cons. Commission 3~ = top perf I--1 = BHL of wells 1" = 1000' RIVER UN1, SPC ADL - 359111 III ~, PAN ANt _~WFU ' 1 TD. 11,017' WMRU-3 MD. 15, 33~' TVD. 9, B24' 16 ~(~ WMRU-1A / / SPC / WMRU-1 0 / ! MD. 13.742' TVD. 9,851' WMRU~2'A MQ 13 475~ / / / / WMRU-2 458' .UG BACII' 6,429' MD. PAN AM ~-~ WFU-2 TD. 11,964' 15 Stewart P oleum Company Denali ~owers North, Suite 1300 ~' 2550 Denali Street, Anchorage, Alaska 99503 ~ ~'~ · '~ ,~ .: .,'~'~ ,. HAND DELIVERED July 10, 1995 Unocal Corporation 909 West 9th Ave. Anchorage, Alaska 99501 Attn: Mr. Kevin Tabler Re: Application for Exemption to Provisions of 20 ACC 25.055 Ddlling Units and Well Spacing West McArthur River Unit #lA Mr. Tabler: Stewart Petroleum Company hereby notifies Unocal Corporation that an application has been submitted to the Alaska Oil and Gas Conservation Commission for an exemption to the drilling unit and spacing requirements of 20 ACC 25.055 as they pertain to the proposed bottomhole location of the West McArthur River Unit Well No. lA. This well as proposed is a redrill of the WMRU No. 1. The proposed BHL for No. lA is: 1710' FEL and 1793' FNL of Section 10, T8N, R14W, SM This proposed BHL will be in the northeast quarter of Section 10. An exception to 20 ACC 25.055 is required because this same quarter section already contains the BHL for WMRU No. 3. Ail other spacing requirements will be met by the proposed BHL for WMRU No. lA; i.e. the BHL and top of perforations will be more than 500' from any quarter section line and the BHL and top of perforations will be more than 1000' from any other producing oil well. Attached is a map indicating the quarter sections offsetting the proposed WMRU #lA and a table describing the ownership of ali offsetting quarter sections. Also attached is a map indicating the distances between the two existing wells (WMRU #2A and WMRU #3) and the proposed WMRU #lA at the total depth of the wells and at the top of the producing intervals. West McArthur River Uni! ,I1/ti 1 Spacing Exception Application It is obvious from the enclosures that the BHL of this proposed reddll will be considerably further from the common lease boundary than is our WMRU #3 well which was recently placed on production. Unocars concurrence is hereby requested in order that AOGCC administrative approval may follow. However, in the event of your objection, we are prepared with testimony for public headng purposes. If there are any questions, please contact me at 277-4004. William R. Stewart President Stewart Petroleum Company CC: Paul D. White, Operations Manager- Stewart Petroleum Company Tim Billingsley- Stewart Petroleum Company Attachments: Map with Adjoining Quarter Sections to WMRU #lA Table of Offsetting Quarter Section Ownership Distance Between Wells at BHL and at top of perfs. Map of Proposed WMRU #lA Well Path West McArthur River Unit No l lA Adjoining Quarter Sections TSN, R14W, Seward Meridian I W. McArthur River Unit . ADL 17602 Stewart Pet. Co. ~ Unocal ADL 35911 · I Section 3 ~ Section 2~ Section 4 '- ~ ~- ......... I I I I ® ' ® ®' ! I ! ...... ~' " Proposed WMRU #la BHL . . . I Section 9 Section 10 Section11 ! I ! ! ! I ! Section 16 Section 15 Section14 f" WMRU #lA Spacing Exception Quarter Section Ownership Quarter Description Leasee ADL Unit 'Section T8N, R14W Lease # Ref. # 1" SW/4, Sec. 3 Stewart Petroleum Co. 35911 West Mc. Arthur River Unit 2 SE/4, Sec. 3 Stewart Petroleum Co. 35911 West McArthur River Unit 3 SE/4 Sec. 2 Unocal 17602 4 NW/4, Sec. 11 Unocal 17602 5 SW/4 Sec. 11 Unocal 17602 6 SE/4, Sec. 10 Stewart Petroleum Co. 35911 West McArthur River Unit 7 SW/4, sec. 10 Stewart Petroleum Co. 35911 west McArthur River Unit 8 NW/4, Sec. 10 Stewart Petroleum Co. 35911 West McArthur River Unit No. lA NE/4, Sec. 11:) Stewart Petroleum Co. 35911 West McArthur River Unit West McArthur River Unit No~ lA Distance Between Wells TSN, R14W, Seward Meridian Distance between: #lA and ~k3 BHL = 1448' #lA and #3 top perf = 1494' #lA and #2A BHL = 1420' #lA and #2A top perf = 2229' ' ' '~ 1~.~' 930' I WMRU #2A ~'~...~.~...,' [, · · ! ! I , I ! , I I SottiSh 10 ! 2616' FEL WMRU #lA [ 3¥ TM top perf I--I = BHL of wells 1"= 1000' ~LJL - JO IUJU RIVER U , SPC ADL -359111 PAN AM ..~W F Uo 1 TD. 11.017' WMRU-3 MD. 15,338' TVD. 9,824' / WMRU,;,2',a TVD. / ~(~ WMRU-1A SPC WMRU-1 MD. 13,742' TVD. 9,851' WMRU-2 r~D. 10,458' PLUG ~CIt 6,4 29' MD. 16 .~..~ PA N AM WFU-2 TD. 11,964' 15 · o,