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HomeMy WebLinkAboutCO 385Conservation 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 : [] Diskettes, No. [] Maps: [] Grayscale items: [] Other, No/Type [] Other items [] Poor Quality Originals: OVERSIZED (Not suitable for [] Other: plotter/scanner, may work with 'log' scanner) [] Logs of various kinds [] Other ' NOTES: BY: MARIA Scanning Preparation TOTAL PAGES i~' Production Scanning Stage I PAGE COUNT FROM SCANNED DOCUMENT: . PAGE COUNT MATCHES NUMBER IN SCANNING PREPARATION: YES NO DATE; "7-~-~ Stage 2 IF NO IN STAGE 1, PAGE(S) DISCREPANCIES WERE FOUND: ~ YES ~ NO (SCANNING IS COMPLETE AT THIS POINT UNLESS SPECIAL ATTENTION IS REQUIRED ON AN INDIVIDUAL PAGE BASIS DUE TO QUALITY, GRAYSCALE OR COLOR IMAGES) General Notes or Comments about this Document: 5/21/03 ConservOrdCvrPg.wpd • Index Conservation Order 385 West Niakuk No. 3 1.) November 1, 1996 Letter ofNon-Objection from BP Exploration Alaska, Inc. 2.) November 2, 1996 Notice of Public Hearing, Affidavit of Public Hearing 3.) November 26, 1996 Letter from AOGCC to Cliff Burglin Re: Request for a Hearing Conservation Order 385 STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 3001 Porcupine Drive Anchorage Alaska 99501-3192 Re~ THE APPLICATION OF ARCO ) ALASKA, INC. for an order granting ) an exception to spacing requirements of ) Title 20 AAC 25.055 to provide for the ) drilling of the West Niakuk No. 3 ) delineation oil well in the Prudhoe Bay ) Unit. ) Conservation Order No. 385 ARCO Alaska, Inc. West Niakuk No. 3 November 26, 1996 IT APPEARING THAT: o . o ARCO Alaska, Inc. submitted an application dated October 31, 1996 requesting exception to the well spacing provisions of Title 20 AAC 25.055 (3) to allow drilling the ARCO West Niakuk No. 3, delineation oil well to a producing location within 500 feet of a quarter-section line within an undefined oil pool in the Prudhoe Bay Unit on the North Slope. Notice of opportunity for public hearing was published in the Anchorage Daily News on November 2, 1996 pursuant to 20 AAC 25.540. The Commisson recieved one protest to the application, which it rejected because the property interest claimed by the protester was several miles away from the proposed producing location for the West Niakuk No. 3 well. FINDINGS: . . o The West Niakuk No. 3 delineation oil well will be drilled as a deviated hole with a surface location 1274' from the south line (FSL) and 1088' from the east line (FEL) of Section 36, T12N, R15E, Umiat Meridian (UM) and a proposed producing location 2406' FSL and 662' FEL of Section 22, T12N, R15E, UM. Offset owners BP Exploration (Alaska) Inc., Exxon Corporation and the State of Alaska have been duly notified. An exception to the well spacing provisions of Title 20 AAC 25.055 (3) is necessary to allow the drilling of this well. CONCLUSION: Conservation Order November 26, 1996 Page 2 Granting a spacing exception to allow drilling of the ARCO West Niakuk No. 3 well will not result in waste nor jeopardize correlative rights. NOW, THEREFORE, IT IS ORDERED: ARCO Alaska, Inc.'s application for exception to the well spacing provisions of Title 20 AAC 25.055 (3) for the purpose of drilling the ARCO West Niakuk No. 3 is approved. DONE at Anchorage, Alaska and dated November 26, 1996. . Alaska Oil and ~tion Cormnission 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 Commission 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 ifa holiday or weekend, to be timely filed. The Cormnission 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 the 10-day period. An affected person has 30 days from the date the Cmmnission refuses the application or mails (or otherwise distributes) an order upon rehearing, both being the final order of the Commission, to appeal the decision to Superior Court. Where a request for rehearing is denied by nonaction of the Commission, the 30-day period for appeal to Superior Court runs from the date on which the request is deemed denied (i.e., 10~ da), after the application for rehearing was filed). TONY KNOWLES, GOVERNOR ALASKA OIL AND GAS CONSERVATION COMMISSION November 26, 1996 3001 PORCUPLNE DR_~'E AN'Cf IORAGE, ALASKA 9950 I-3192 PItONE: (907)279-1433 TELECOPY: (907)276-7542 Cliff Burglin P.O. Box 131 Fairbanks, Alaska 99707 Re: ARCO West Niakuk #3 (NK-29) Mr. Burglin' You have requested a public hearing on the application of ARCO Alaska, Inc. for a spacing exception for the West Niakuk No. 3 (NK-29) oil well. The proposed producing location of the West Niakuk #3 well is 2406' FSL, 662' FEL, Sec. 22, T12N, R15E, UM. This location is several miles away from the property in which you claim an interest. Statewide spacing rules, 20 AAC 25.055, establish the governmental quarter section as the drilling unit for an oil well. Your property is substantially beyond any of the quarter sections directly or diagonally offsetting the quarter section where the West Niakuk #3 well is proposed to be drilled. Since there does not appear to be any possibility of drainage from the property in which you claim an interest by the proposed well, your property interests would not be affected by the proposed spacing exception. No useful purpose would be served by a hearing on your request. According, your request for a public hearing on ARCO's application for a spacing exception is denied. D.{tvid W. Joh Tt, lckerman Babcock C15~ Commissioner Cliff Burglin Box 131 Fairbanks, Alaska 99707 November 16, 1996 State of Alaska Alaska Oil an Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska Re: West Niakuk No.3(NK-29) RECEIVED lAES ENG SR ENG ~NRO 8R GEOL GEOL ASST ! I request a hearing on the drilling of this well as a correlative rights owner who could and would be dax~aged if this well drains' any part of the adjacent Pt. Mclntyre pool. I am especially concerned because of Arco's recently announced deep commercial discovery in the P't. Mclntyre Field. As the commission knows, Judge Holland has publicly stated that Exxon is guilty of f'raud in the current Burglin-Exxon litigation concerning the Pt. Mclntyre Field. The only evidence that would put my mind at ease would be to see the geological and reservoir data that would assure my geologist and my attorney that no part of my oil is being drained by this proposed Arco well. Until my concerns are addressed, I request a hearing on the details of the above referenced well. Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re~ The application of ARCO Alaska, Inc. for exception to 20 AAC 25.055 to allow drilling the West Niakuk No. 3 (NK-29) delineation oil well. ARCO Alaska, Inc. by letter dated October 31, 1996 has requested an exception to the provisions of 20 AAC 25.055(a)(3) to allow the directional drilling of the West Niakuk No. 3 (NK-29) delineation oil well to a producing location that is closer than 500 feet from a quarter section line. The proposed surface location is 1274' from the south line (FSL) and 1088' from the east line (FiEL) of Section 36, T12N, R15E, Umiat Meridian (UM) and the proposed producing location is 2406' FSL and 662' FEL of Section 22, T12N, R15E UM. A person who may be harmed if the requested order is issued may file a written protest prior to 4:00 PM November 18, 1996, 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 December 3, 1996 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 November 18, 1996. 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 hearin~fl~,~ont~eck at 279-1433 no later than November 25, 19 David ~. Johnston Chairmah~~.__~ Published November 2, 1996 AO02714016 f~16126 STOF0330 AO-02714016 $65 AFFiDAViT STATE OF ALASKA, ) THIRD JUDICIAL DISTRICT. ) Eva ]~{. Kaufmann being first duly 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 Nov. 2, 1996 OF PUBLICATION I the matter will be held at the STATE OF ALASKA J above address at 9:00 am on December 3~ 1996 in contorma-. Alaska Oil and Oa~ ltl.on with 20 AAC. 25.540. If a Conservation' commission of i hearing is to be'held, interest- The application .~ ~ ed.parties n~ay confirm this bY ~e: Iosko nc for ex~.~,- [ coiling ~he' commission's 0f- ion ~u ~u . o 3' " ' t 18'1~6 It ~ pru he West Nmku~ N . Novembe , · " · ' Iritling t · · ' · t~e Co mission~ 'NK-29) delineahon o~l well. , ~test is hied,. . CO AlaSka~ ?c ~.letterJ J. Will consider the msuapce ~a~' October ~', 'wvo hos~ t the, order .withou~.~f~%g~ ~ lion to the Ii you are a per,u,, ,,w,.,, '. dritliag Of the Wes~ Nla~u~ ~;i ~ ~O cOm,m-~ ~ . - · , 3' '(NK-29) .delineat ~ oil weJ~ ~public hearing, .please~con~ac~ ucng 10c~h~n. that ~s~ ~:Diona Fleck at 279A433 nc ~',~'~r ~ction line. T~e pro~ J~s/David W.. jonnsmn ., ~ace location is.1274'.~ ~ Commission? ;~Z~'~ke sout~ line ~FS~I ~ ~u~.: Nov. -~ of Section 36,. ~]~, ~.'~'Zi Umiat ~eridian (U~) a~a preposed producing location is~ 2406~'.FSL and '662" FEL -section 22, T~2N, R~SE U~. J ~ A'person who may be ~arm-'~ ~e~."if .the reaueste~, order fsi ~issued may file a written~ ' '~tes~'"'~Hot :..',. re,.. 4.:,00 P~ ~.aSka Oil a~dGas,COns'e~va',~ ~ ~'~o~ ~.Cemmission' 3~0~" ... ei~ f ed and .ra~'~',:'.a sub-~ '.~ '..': . ~.~ ',,"issUe .cr'gCial' to the .~om~i'~.~u-~ 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. me this X.. day of ..~....~.. ~ ........... .... the State of Alas~. ~lrd D~ision. Anchorage. Alaska MY CO~ISSION ~PIRES ............... ......... BP EXPLORATION BP Exploration (Alaska) Inc. 900 East Benson Boulevard RO. Box 196612 Anchorage, Alaska 99519-6612 (907) 561-5111 November 1, 1996 David Johnston, Commissioner Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 Letter of Non-Objection for West Niakuk Well #3 (NK-29) Dear Commissioner Johnston' BP Exploration (Alaska), Inc. ("BPX") as an affected owner per 20 ^^C 25.050 (h) does not object to drilling the proposed deviated well West Niakuk #3 (NK- 29). Pursuant to 20 ACC 25.050(d)(2) this letter of non-objection is provided so you may issue the drilling per,it without a 15-day notice period. ,/' I~. V~."~anes, ~l~anager ARCO Alaska, Inc. Post Office Box 100360 Anchorage, Alaska 99510-0360 Telephone 907 276 1215 Joseph A. Leone October 31, 1996 Mr. David W. Johnston, Chairman Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE: Request for Exception to the Provisions of 20 ACC 25.055 West Niakuk Well #3 (NK-29), Prudhoe Bay, Alaska Dear Chairman Johnston: COMM ~ ... c,O,vM _ RES ENG SR ENG NRO s~ SSOL GEOL ASST SlAT TECH STAT TECH _ ~-- ~ , , F!L~7 ARCO Alaska, Inc. ("ARCO"), for itself and on behalf of Exxon Company, USA ("EXXON"), hereby applies for an exception to the provisions of 20 AAC 25.055 for the drilling and completion of West Niakuk Well #3 (NK-29). The proposed target is within 500' of a governmental quarter section under lease ADL 34626. The Well will be drilled as a directional hole as follows: Surface Location: 1274' FSL, 1088' FEL, Sec. 36, T12N, R15E, UM. Top Kuparuk Target: 2406' FSL, 662' FEL, Sec. 22, T12N, R15E, UM. Bottom Hole Location: 3255' FSL, 1398' FEL, Sec. 22, T12N, R15E, UM. A plat showing the top Kuparuk location for the proposed well, all other completed and drilling wells on the property, and all other adjoining properties and wells is attached as Exhibit 1. The names and addresses of all owners and operators of the governmental quarter sections directly and diagonally offsetting the proposed drilling unit for the well are set forth in Exhibit 2. Included in Exhibit 3 is the verification required by the referenced provisions, a copy of the notice sent to the owners and operators listed in Exhibit 2, and the date such notice was mailed. Sincerely, ~_~jJ. A. Leone Attachments cc: J. F. Branch, E~xon RECEIVED GULL NK 28 ~xNK3 N K - 2 ? ,iPOT]CF!L HIlES 9 ,2 NF~UI]CF~L HiLES FEE1 9 2~99 FI:ET NK 3 NK } 3 NK-9 NI< 8 NK-- ? NK 2~ FH Exhibit 2 West Niakuk #3 (NK-29) Request for Spacing Exception Workincj Interest Owners Exxon Corporation P.O. Box 2180 Houston, TX 77252-2180 Attn: Mr. M. Michael McNulty BP Exploration (Alaska)Inc. P.O. Box 196612 Anchorage, AK 99519-6612 Attn: Mr. Robert W. Janes Royalty Owners State of Alaska Department of Natural Resources Division of Oil and Gas 3601 C Street, Suite 1380 Anchorage, AK 99503-5948 Attn: Mr. Kenneth A. Boyd, Director Overriding Royalty Owners Not Applicable RECEIV[[) Alaska 0il & Gas Cons. EXHIBIT 3 i, ~ TO THE ALASKA OIL AND GAS CONSERVATION COMMISSION Before the Commissioners of the Alaska Oil and Gas Conservation Commission in the Matter of the Request of ARCO Alaska, Inc. for an Exception to the Provisions of 20 AAC 25.055 for West Niakuk No. 3 (NK-29) VERIFICATION OF FACTS AND AFFIDAVIT OF Eric W. Reinbold STATE OF ALASKA THIRD JUDICIAL DISTRICT SS. Eric W. Reinbold, being first duly sworn, upon oath, deposes and states as follows: 1. My name is Eric W. Reinbold. I am over 19 years old and have personal knowledge of the matters set forth herein. 2. I am a Senior Engineer for the well operator, ARCO Alaska, Inc. 3. I am acquainted with the facts associated with the drilling of West Niakuk No. 3 well (NK-29). 4. I have reviewed the application submitted for the exception to 20 ACC 25.055. To the best of my knowledge and belief all facts therein are true and accurate. 5. I have reviewed the plat attached as Exhibit I and it correctly portrays pertinent and required data. 6. Pursuant to 20 AAC 25.055 (b), ARCO Alaska, Inc. ("ARCO"), the well operator, prepared a Notice of Request for Exception to the Provision of 20 AAC 25.055. A copy of this notice is attached hereto. 7. On October 31, 1996, pursuant to 20 AAC 25.055 (b), ARCO sent a copy of said notice by certified mail to the last known address of all owners and operators of governmental quarter sections directly and diagonally offsetting the governmental quarter section of the proposed locations of West Niakuk No. 3 (NK-29). These names and addresses are set forth on Exhibit 2 attached to ARCO's Request for Exception to Provisions of 20 AAC 25.055 dated October 31, 1996. Subscribed and sworn to this 31st day of October, 1996. STATE OF ALASKA THIRD JUDICIAL DISTRICT Eric W. aeinbold ~ ~ C 5 J V E D SS. ~OV 0 1 1996, The foregoing instrument was acknow~ged before me this 31st day otO~~ ' by Erj~t~, CR~old. ~~ ¢~ ~ : ... · ; Notary Public, State of Alaska ~/ ~ ~ ~BLt~ ~ ~ My OommissionExpires:///~/?~ 5 '~ --- ~. ~ '/)J])ij ] ARCO Alaska, Inc. Post Office Box 100360 Anchorage, Alaska 99510-0360 Telephone 907 276 1215 Joseph A. Leone October 31, 1996 BP Exploration (Alaska) Inc. P.O. Box 196612 Anchorage, AK 99519-6612 Attn: Mr. Robert W. Janes Exxon Corporation P.O. Box 2180 440 Benmar Houston, TX 77252-2180 Attn: Mr. M. Michael McNulty State of Alaska Department of Natural Resources Division of Oil and Gas 3601 C Street, Suite 1380 Anchorage, AK 99503-5948 Attn: Mr. Kenneth A. Boyd, Director RE: Notice of Request for Exception to the Provisions of 20 ACC 25.055 West Niakuk Well #3 (NK-29), Prudhoe Bay, Alaska Pursuant to the provisions of 20 AAC 25.055 (b), ARCO Alaska, Inc. hereby gives notice of a request to the Alaska Oil and Gas Conservation Commission (AOGCC) for an exception to the well spacing requirements of 20 AAC 25.055. ARCO's request, if approved, will permit the drilling and completion of the West Niakuk No. 3 (NK-29) as a directional hole with a proposed top Kuparuk target location 2406' FSL, 662' FEL, Sec. 22, T12N, R15E, UM. The proposed target is within 500' of a governmental quarter section under lease ADL-34626. A copy of the Request for Exception is attached for reference. Sincerely, A. Leone RECEIVED ~OV 0 1 199~ FROM: GPMA ANCHORgGE FAX NO.: A~CG ALASKA, INC. ?00 'G' SI'. ANCHOI~GF. AK 69~1 2634894 11-81-96 09:17 P.O1 GREATER POINT MclNTYR£ AREA FAC$1btlI. E TRANSMISSION Fax Numlx~ (~ 26~94 Ve,.~y (9o7) 2~,34~4~ (~) DATE: COMI~~: RECEIVED II --- Ill .... I t!.O'J 0 3 1996 Alaska Oil & Gas Cons. Commissio[~ Anchorage -- T .FROM: GPMA ANCHORAGE FAX NO.: ARCO Alaska, Inc. Post Office Box 100360 Anchorage, Alaska 99510-0360 Telephone 907 276 1215 26~4894 11-01-96 89:17 P .02 Joseph A. Leone October 31, 1996 Mr. David W. Johnston, Chairman Alaska Oil and Gas Conservation Commission 3001 Porcupine Drive Anchorage, Alaska 99501-3192 RE' Request for Exception to the Provisions of 20 ACC 25.055 West Ni.akuk Well #3 (NK-__29), Prudhoe _Bay., Alaska. Dear Chairman Johnston: ARCO Alaska, Inc. ("ARCO"), for itself and on behalf of Exxon Company, USA ("EXXON"), hereby applies for an exception to the provisions of 20 AAC 25.055 for the drilling and completion of West Niakuk Well #3 (NK-29). The proposed target is within 500' of a governmental quarter section under lease ADL 34626. The Well will be drilled as a directional hole as follows: Surface Location: 1274' FSL, 1088' FEI,, Sec. 36, T12N, R15E, UM. Top Kuparuk Target: 2406' FSL, 662' FEL, Sec. 22, T12N, R15E, UM.. Bottom Hole Location: 3255' FSL, 1398' FEL, Sec. 22, TI2N, R15E, UM. A plat showing the top Kuparuk location for the proposed well, all other completed and drilling wells on the property, and all other adjoining properties and wells is attached as Exhibit 1. The names and addresses of all owners and operators of the governmental quarter sections directly and diagonally offsetting the proposed drilling unit for the well are set forth in Exhibit 2. Included in Exhibit 3 is the verification required by the referenced provisions, a copy of the notice sent to the owners and operators listed in Exhibit 2, and the date such notice was mailed. Sincerely, Attachments CC: J. F. Branch, EXXOn ............... _EXHIBIT , 1_ .......... - NK-3 A ' ': '-.,! ' " ' ., i j ', , .,. :, · ''- !" I ~ .... x - , ..- -, ? :. / /'-, .-' . / ~- ....- ! ; ADL klK~ 3 _ N~(-28 NNK3 ~ .... GULL '3 · > NK-7 ~ ~ ~ ......... ~ ~ ...... , , , ....... ~ .... 7~580~ 71~0~8 ~ ...... 728888 l~2q~ STATUTE MILES 8 2 5/RTU~E M~LES ~ N~ST N I ~KUK ~RE~ NELL N~UIICAL ~]LES ~2NRUTICRL ~]LES FEET ~ 2~8 FEE~ -:" -:' I N~ATTQ%S AT TNP K['P~R[]~ .FROM: GPMg ANCHORAGE F~× NO.: 2654894 11-01-96 09:17 P.04 Exhibit 2 West Niakuk #3 (NK-29) Request for Spacing Exception ~rk[ae~t.er__est ... Ow n e r s -- Exxon Corporation P.O. Box 2180 Houston, TX 77252-2180 Attn: Mr. M. Michael McNulty BP Exploration (Alaska) Inc. P.O. Box 196612 Anchorage, AK 99519-6612 Attn: Mr. Robert W. Janes J~e[t¥_ Ow_n.er,~ State of Alaska Department of Natural Resources Division of Oil and Gas 3601 C Street, Suite 1380 Anchorage, AK 99503-5948 Attn; Mr, Kenneth A, Boyd, Director Overriding Royalty Owners Not Applicable .FROM: 6PMA RNCHORRGE FAX HO.: 2634894 { {"' EXHIBIT a 11-01-96 TO THE ALASKA OIL AND GAS CONSERVATION COMMISSION 09:18 P .05 Before the Commissioners of the Alaska Oil and Gas Conservation Commission in the Matter of the Request of ARCO Alaska, Inc. for an Exception to the Provisions of 20 AAC 25.055 for West Niakuk No. 3 (NK-29) VERIFICATION OF FACTS AND AFFIDAVIT OF Eric W. Reinbold STATE OF ALASKA THIRD JUDICIAL DISTRICT SS, Eric W. Reinbold, being first duly sworn, upon oath, deposes and states as follows: 1. My name is Eric W. Reinbold, I am over 19 years old and have personal knowledge of the matters set forth herein. 2. I am a Senior Engineer for the well operator, ARCO Alaska, Inc. 3. I am acquainted with the facts associated with the drilling of West Niakuk No. 3 well (NK-29). 4. I have reviewed the application submitted for the exception to 20 ACC 25.055. To the best of my knowledge and belief all facts therein are true and accurate, 5. t have reviewed the plat attached as Exhibit I and it correctly portrays pertinent and required data. 6. Pursuant to 20 AAC 25.055 (b), ARCO Alaska, Inc. ("ARCO"), the well operator, prepared a Notice of Request for Exception to the Provision of 20 AAC 25.055. A COpy of this notice is attached hereto. 7, On October 31, 1996, pursuant to 20 AAC 25.055 (b), ARCO sent a copy of said notice by certified mail to the last known address of all owners and operators of governmental quarter sections directly and diagonally offsetting the governmental quarter section of the proposed locations of West Niakuk No. 3 (NK-29). These names and addresses are set forth on Exhibit 2 attached to ARCO's Request for Exception to Provisions of 20 AAC 25.055 dated October 31, 1996. Subscribed and~EL.Av~r~.t-:,, ,~-~.. ''-''~%~3~t day of October, 1996. STATE OF A~SK~s~~ 0i~ & 6~s/~ct~or~,~,;(;o~s. c,:)m~'~s"~Eric W. Reinbotd THIRD JUDICIAL DISTRICT ) The foregoing instrument was acknow~flged before me this 31st day of October, ~k,~.,·; ;, ,_,, .-~,~ ~ ~ota~ ~ublic, Stato o~ ~la~ ../ _ :_., ~- .~,.,-, ~- .- .~ My Commission Expires:///~,, ~/~_ _~ FROM: GPMA ANCHORAGE ARCO Alaska, inc. Post Office Box 100360 Anchorage. Alaska 99~; 10-0360 Telephone 907 276 1215 Joseph A. Leone FAX NO.: 2634894 11-01-96 09:18 P .06 October 31, 1996 BP Exploration (Alaska) Inc. P.O. Box 196612 Anchorage, AK 99519-6612 Attn: Mr. Robert W. Janes Exxon Corporation P.O. Box 2180 440 Benmar Houston, TX 77252-2180 Attn: Mr. M. Michael McNulty State of Alaska Department of Natural Resources Division of Oil and Gas 3601 C Street, Suite 1380 Anchorage, AK 99503-5948 Attn: Mr. Kenneth A. Boyd, Director RE: Notice of Request for Exception to the Provisions of 20 ACC 25.055 West N_ial~uk Well #3 (NK-29), Prudhoe Bay, Alaska Pursuant to the provisions of 20 AAC 25.055 (b), ARCO Alaska, Inc. hereby gives notice of a request to the Alaska Oil and Gas Conservation Commission (AOGCC) for an exception to the well spacing requirements of 20 AAC 25.055. ARCO's request, if approved, will permit the drilling and completion of the West Niakuk No. 3 (NK-29) as a directional hole with a proposed top Kuparuk target location 2406' FSL, 662' FEL, Sec. 22, T12N, R15E, UM. The proposed target is within 500' of a governmental quarter section under lease ADL-34626. A copy of the Request for Exception is attached for reference. Sincerely, · /~ A. Leone