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HomeMy WebLinkAboutCO 499Conservation 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 OVERSIZED (Scannable with large plotter/scanner) [] Diskettes, No. [] Maps: [] Other, No/Type [] Other items OVERSIZED (Not suitable for plottedscanner, may work with 'log' scanner) [] Logs of various kinds [] Other BY: ROBII~~ Scanning Preparation BY: ROBIN ,~' YES Production Scanning Stage 1 PAGE COUNT FROM SCANNED DOCUMENT: PAGE COUNT MATCHES NUMBER IN SCANNING PREPARATION: NO BY: , MARIA DATE: J/--/Oi~;,O,~ /S/ 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) II III I I I III II I I General Notes or Comments about this Document: 5/21/03 ConservOrdCvrPg.wpd INDEX CONSERVATION ORDER NO. 499 Milne Point Well K-21A 1. August 6, 2003 2. August 11, 2003 3. August 15, 2003 4. September 29, 2003 BPXA's Marathons request for an Spacing Exception K- 2lA Additional information submitted by BPXA Notice of Hearing, Affidavit of publication, e-mail Distribution list, bulk mailing and spacing exception checklist. E-mail from staff removing from calendar Conservation Order 499 ~, //7~"'-~ /0/1' ¡ð3 3:5 ,v. 3?- ~.:<.;Zj STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage AK 99501 Re: THE APPLICATION OF ) Conservation Order No. 499 BP Exploration (Alaska) Inc. for) an order granting an exception) Milne Point Field to spacing requirements of ) Milne Point Unit Regulation 20 AAC 25.055 to ) Kuparuk River Oil Pool provide for the drilling and ) operation of the Milne Point) Milne Point Unit Well K-21A Unit K-21A Injection Service) well. ) October 8, 2003 IT APPEARING THAT: 1. BP Exploration (Alaska) Inc. ("BPXA"), by letter dated August 6, 2003 and received by the Alaska Oil and Gas Conservation Commission ("Commission") that same day, requests exception to the well spacing provisions of 20 AAC 25.055 to allow drilling and operation of the Milne Point Unit ("MPU") K-21A injection service well to a location which is within 500 feet of a property line where ownership or landownership changes. 2. Notice of opportunity for public hearing was published in the Anchorage Daily News on August 15, 2003 pursuant to 20 MC 25.540. 3. No protests to the application were received. FINDINGS: 1. The MPU K-21A injection service well will be drilled as a deviated hole with a surface location 2080 feet from the east line ("FEL") and 3606 feet from the south line ("FSL") of Section 3, T12N, RIlE, Umiat Meridian ("UM") to a bottomhole location 1140 feet FEL and 60 feet from the FSL of Section 4, T12N, RIlE, UM, a portion of which is a unit boundary. This bottomhole location lies near the center of State Lease ADL 375133, and more than 500' away from the nearest lease boundary. Conservation Order Page 2of3 October 8, 2003 · 499 1"' , Well spacing in Sections 3 and 4 of T12N, R11E, UM is regulated by Conservation Order 432B ("CO 432B"), which supersedes statewide spacing requirements of 20 AAC 25.055. Rule 3 of CO 432B states' "...nor may the pool be opened in a well bore that is closer than 500 feet to any property line." As proposed, MPU K- 2 lA requires an exception to Rule 3 of CO 432B, if a unit boundary is considered a property line within the meaning of Rule 3. 3. The location of the MPU K-21A well was selected as the most favorable structural position to recover oil reserves in the Kuparuk River Formation that are not recoverable with the current well pattern. 4. Offset landowners, owners and operators within 1,000 feet of the anticipated injection interval of the MPU K-21A well have been notified. CONCLUSIONS: 1. An exception to the well spacing provisions of CO 432B is necessary to allow the drilling and operation of the MPU K-21A injection service well. 2. Granting the requested spacing exception for the MPU K-21A well will promote more efficient recovery of oil reserves and will not result in waste or jeopardize the correlative rights of adjoining or nearby owners. Conservation Order Page 3of3 October 8, 2003 · 499 NOW, THEREFORE, IT IS ORDERED: 1. BPXA' application for exception to well spacing provisions to allow the drilling and operation of the MPU K-2 lA injection service well is approved. DONE at Anchorage, Alaska and dated October 8, 2003. Alaska OiL/and Gd~ ~~ns/ation Commission Randy Ruodrich, Commissioner Alaska Oil and Gas Conservation Commission Daniel T. Seamount, Jr., Commissioner 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 23~a day following the date of the order, or next working day if a holiday or weekend, to be timely filed. The Commission shall grant or refuse the application in whole or in part within l0 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 Commission 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., l0th day after the application for rehearing was filed). CO 499 Subject: CO 499 Date: Wed, 08 Oct 2003 16:07:08 -0800 From: j ody_colombie~admin.state.ak.us Organization: Alaska Oil and Gas Conservation Commission To: Cynthia B Mciver <bren_mciver~admin.state.ak.us> Web site ~ 1 CO499.doc Name: 1 CO499.doc -- Type: WINWORD File (application/msword) Encoding: base64 1 of 1 10/8/2003 4:09 PM CO 499 Subject: Date: From: Organization: BCC: CO 499 Wed, 08 Oct 2003 16:06:44 -0800 j ody_co lomb ie@adm in. state, ak. us Alaska Oil and Gas Conservation Commission Robert E Mintz <robert_mintz~law.state.ak.us>, Christine Hansen <c.hansen@iogcc.state.ok.us>, John Tanigawa <JohnT~EvergreenGas.com>, Terrie Hubble <hubbletl~bp.com>, Sondra Stewman <StewmaSD~BP.com>, Scott & Cammy Taylor <staylor~alaska.net>, stanekj <stanekj~unocal.com>, ecolaw <ecolaw~trustees.org>, roseragsdale <roseragsdale~gci.net>, trmjrl <trmjrl ~aol.com>, jbriddle <jbriddle~marathonoil.com>, rockhill <rockhill~aoga. org>, shaneg <shaneg@evergreengas.com>, rosew <rosew~evergreengas.com>, jdarlington <jdarlington~forestoil.com>, nelson <nelson~gci.net>, cboddy <cboddy~usibelli.com>, "mark.dalton" <mark.dalton@hdrinc.com>, "shannon.donnelly" <shannon.donnelly~conocophillips.com>, "mark.p.worcester" <mark.p.worcester~conocophillips.com>, "jerry. c.dethlefs" <jerry. c.dethlefs~conocophillips.com>, bob <bob~inletkeeper.org>, wdv <wdv~dnr. state.ak.us>, tjr <tjr~dnr. state.ak.us>, bbritch <bbritch~alaska.net>, mjnelson <mjnelson~purvingertz.com>, burgin_d <burgin_d~niediak.com>, "charles.o'donnell" <charles.o'donnell~veco.com>, "Skillern, Randy L" <SkilleRL~BP.com>, "Dickey, Jeanne H" <DickeyJH~BP.com>, "Jones, Deborah J" <JonesD6~BP.com>, "Hyatt, Paul G" <hyattpg~BP.com>, "Rossberg, R Steven" <RossbeRS~BP.com>, "Shaw, Anne L (BP Alaska)" <ShawAL~BP.com>, "Kirchner, Joseph F" <KirchnJF~BP.com>, "Pospisil, Gordon" <PospisG~BP.com>, "Sommer, Francis S" <SommerFS~BP.com>, "Schultz, Mikel" <Mikel. Schultz~BP.com>, "Jenkins, David P" <JenkinDP~BP.com>, "Glover, Nick W" <GloverNW~BP.com>, "Kleppin, Daryl J" <KleppiDE~BP.com>, "Platt, Janet D" <PlattJD~BP.com>, "Wuestenfeld, Karen S" <WuesteKS@BP.com>, "Jacobsen, Rosanne M" <JacobsRM~BP.com>, ddonkel <ddonkel~cfl.rr.com>, collins_mount <collins_mount~revenue.state.ak.us>, mckay <mckay~gci.net>, 11 barbara, f. fullmer <barbara.f. fullmer~conocophillips.com>, eyancy <eyancy~seal-tite.net>, bocastwf <bocastwf~bp.com>, cowo <cowo~chevrontexaco.com>, ajiii88 <ajiii88~hotmail.com>, doug_schultze <doug_schultze~xtoenergy. com>, "hank.alford" <hank.alford~exxonmobil.com>, yesno 1 <yesno 1 ~gci.net>, "john.w.hanes" <john.w.hanes~exxonmobil.com>, gspfoff <gspfoff~aurorapower.com>, "gregg.nady" <gregg.nady~shell.com>, "fred.steece" <fred.steece~state.sd.us>, rcrotty <rcrotty~ch2m.com>, jejones <jejones~aurorapower.com>, dapa <dapa~alaska.net>, jroderick <jroderick~gci.net>, eyancey <eyancey~seal-tite.net>, "james.m.ruud" <j ames.m.ruud~conocophillips.com>, Brit Lively <mapalaska~ak.net>, jah <jah~dnr. state.ak.us>, Kurt E Olson <kurt_olson~legis.state.ak.us>, buonoje <buonoje~bp.com>, "Emeka. C.Ezeaku" <Emeka. C.Ezeaku~spdc.shell.com>, mark_hanley <mark_hanley~anadarko.com>, loren_leman <loren_leman~gov. state.ak.us>, I of 2 10/8/2003 4:09 PM CO 499 Harry R Bader <harry_bader~dnr.state.ak.us>, julie_houle <julie_houle~dnr.state.ak.us>, John W Katz <jwkatz~sso.org>, Suzan J Hill <suzan_hill~dec.state.ak.us>, tablerk <tablerk~unocal.com>, brady <brady~aoga.org>, Brian Havelock <beh~dnr.state.ak.us>, bpopp <bpopp@borough.kenai.ak.us>, jimwhite <jimwhite~satx.rr.com>, Stephanie_Ross <Stephanie_Ross~thomson.com> Please find attached CO 499 Milne Point Unit Well K-21A. Name: 1 CO499.doc ~ 1 CO499.doc Type: W-INWORD File (application/msword) Encoding: base64 2 of 2 10/8/2003 4:09 PM #4 Re: Public Meeting Subject: Re: Public Meeting Date: Fri, 19 Sep 2003 12:52:36-0800 From: Steve Davies <steve_davies~admin.state.ak.us> To: Jody Colombie <jody_colombie~admin.state.ak.us> Jody, Since there have been no public comments that I am aware of, no request for public meeting, and there are no substantive issues surrounding this request for spacing exception, I vote "no." Thanks, Steve D. Jody Colombie wrote: Are we having a Public Hearing on Tuesday MPU~IA? Jody 1 of 1 9/19/2003 1:08 PM #3 STATE OF ALASKA o{ NOTICE TO PUBLISHER ~'A~'~/~I~IADVERTISING ORDER NO. ADVERTISING INV MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER :ERTIFIED A~,~AV.~ o~ ~,CA~,O~ ~.~.~ O~ ~.,~ ~0.~ ~.~ A~C~ ~0~ O~ ~'~. 4003 ORDER ADVERTISEMENT MUST BE SUBMI~ED WITH INVOICE ":SEE BOSOM :FOR INVOICE ADDRESS : : , v AOGCC AGENCY CONTACT DATE OF A.O. ~ 333 W 7th Ave, Ste 100 Judy Colombie Au~st 14, 2003 o Anchorage, ~ 99501 PHONE PCN ~ - (907~ 793 -J 221 ~ATE~ ADVERTISEMENT REQUIRED: ~ Anchorage Daily News Au~st 15, 2003 o ' P O Box 149001 ~chorage, AK 99514 ,smtxv ON ~.t ,ATtS S.OWS. SPECIAL INSTRUCTIONS: Adve~isement to be published was e-mailed Type of Adveflisement X Legal ~ Display ~ Classified ~Other (Specify) . $~ND INVOICE IN TRIPLICATfi AOGCC, ~ W. 7th Ave., Suite 100 PAG[ ~ OF TO Anchorage. AK 99501 2 PAGES REF TYPE NUMBER AMOUNT DATE COMMENIS 1 VEN 2 AnD 02910 3 4 ,,, FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LIQ 1 04 02140100 73540 2 3 , REQUISITIONED 02-902 (Rev. 3/94) Publisher/Original Copies: Department Fiscal, Department, Receiving AO.FRM Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re~ The application of BP Exploration (Alaska) Inc. ("BPXA") for a spacing exception to allow drilling and operation of the Milne River Unit ("MPU") K- 2lA Service Well. BPXA, by letter dated August 6, 2003 and received by the Alaska Oil and Gas Conservation Commission ("Commission") on August 6, 2003, has requested the Commission to issue an order in conformance with 20 AAC 25.055 allowing the drilling and operation of the MPU K-2 lA service well. The bottom hole location of this well will be within 500 feet of a property line where ownership or landownership changes. The surface location of the proposed well is 2080 feet from the east line ("FEL") and 3606 feet from the south line ("FSL") of Section 3, T12N, R11E, Umiat Meridian ("UM"). The proposed bottom hole location is 1140 feet FEL and 60 feet from the FSL of Section 4, T12N, RilE, UM. Area Injection Order No. 10-B, issued April 23, 2002, regulates injection activities within Sections 3 and 4 of T12N, R11E, UM. The Commission has tentatively set a public hearing on this application for September 23, 2003 at 9:00 am at the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, AnchOrage, Alaska 99501. A person may request that the tentatively scheduled hearing be held by filing a written request with the Commission no later than 4:30 pm on September 3, 2003. If a request for a hearing is not timely filed, the Commission will consider the issuance of an order without a hearing. To learn if the Commission will hold the public hearing, please call 793-1221. In addition, a person may submit written comments regarding this application to the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Written comments must be received no later than 4:30 pm on September 15, 2003. 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 Jody Colombie at 793-1221 no later than September 16, 2003. C-Sarah Palin, Chair '" Alaska Oil and Gas Conservation Commission Published August 15, 2003 Ad Order No. AO-02414003 ~nchorage Daily News Affidavit of Publication 1001 Northway Drive, Anchorage, AK 99508 AD # DATE PO ACCOUNT 912159 08/15/2003 AO-02414 STOF0330 PRICE OTHER OTHER PER DAY CHARGES CHARGES $169.20 $169.20 $0.00 $0.00 OTHER OTHER OTHER GRAND CHARGES #3 CHARGES ~4 CHARGES #5 TOTAL $0.00 $0.00 $0.00 $169.20 STATE OF ALASKA THIRD JUDICIAL DISTRICT Kimberly Kirby, being first duly sworn on oath deposes and says that 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 saidtime 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 the above dates 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. Notary Public in and for the State of Alaska. Third Division. Anchorage, Alaska commissioN ~ (~/ / - / .~o.. '~4~ d:T~ ~ : .~.-~ ~ Notice of Public Hearipg ' "STATE oF ALASKA' ' . Alaska Oil and Gas Conservation Commission Re:The aPplic0tlonof Bp Fx=lcr~tio~. (:,i"..~;ka) .. . Ibc. '("BPXA") for ;-' ~;~o( ,,~g oxceottcn ."c .' allow'drllllng and o~..-.-cr :n of thr. "."!.'n~. River , Unit ("MPU") K~2'IA Service Well, : .. BPXA, by letter.doted August 6, 2003 and 'be- ! ceived by the Alaska Oil and Gas 'Conset.v. atian !'Commission (.,!Commission,,) on AugUst 6; 2003, has ~ reqUeSted the CommissiOn to issue: o'n Order in.con- I;formance with 20 AAC 25.055' aHowiVg thc' dr"livr;' reef at a property line Where'owners~i~'0~. °wnerShio changes. The.sUrface IOcatjon.0f the or0poSed Well Is 2080 feet fr ., ' ' , om the east i ( FEL.' '):-and~ 3606 feet from the .South'l'lfie (,, FSL of Section. 3, T.12N; Rl'lE,.Umlat Meridian ("UM The;proposed bottom', h~le.location 'IS 1140feet FI ~nd 60 feet frOm the FSL.of Section. 4, T12N/ 1.1 UM.; Area tniectlon Order No.' 10..B, issued.~p 23; 2002, regulates.injection activities ~ithln s~ f10ns3and~ofT12N,.RllE, UM~..... ~ l '~h~ ~°~mis~'(:,,'. h~=.~,' ;~.'ntaflyely'set ~ 'Publi.~c'hear~ : y:uu.mn et rne AlaSka Oil '0nd GaS Conservqtlon. ' CommlSsion'ot..333 West 7th Avenue,. Suite i00, An. .chorage, 'Alaska 99501. A P~rSon may request that the tentatively scheduled hearing'be held by..flling o written request with the Commlss.len no.late~ then 4:30 Pm on' September 3, 2003. I I'fa requesf~for o heo~ing is not timely 'filed; the I Commission 'will. consider the iss.u~nCe of on'order ~ ~lth0ut'ahe~Hng;: T° learn if the CommissiOn .will /I ,~e ,,,~ heoring~ 'please coil 793-i221. '.. /l:l"n '°~dition. O Oer~oq ~,,' "~m'"~rl'fte" Com ~l';}~s ~ c.':}..%.,.::-?.: :: :..., ,,. ,,:.,=,., at 333"West 7th /Ite~' co~2~'" ''~ ' :"::'":'~:'"' '~ ':~iqa 99501 Writ: /..[.,m on,;,Z,....:"'~,~ 'ru? cq.,'cc.4 .~ ¢... later oc~l. ,I.~..d t,..,~. , , ' ,: ~/ :',,:0U are a, Per.son with]...,t.~,,,%. ;.?. lin ea osneClOl modification ;. a, z.. r ::., ~.:.;.~,,.~..~ ~'r i/to, attend the public hearim; ,':.~,'c:,.e zo.-c ;' (.'"'v ., ..... ~, , sacah, pailn, Chal~ ' , ,'.Alaska Oil and Gas Conservation Camm sslon ~' L..~,,h: Au.ust ~S, ~0O~, .:' ' ' STATE OF ALASKA (i NOTICE TO PUBLISHER ,~,. ADVERTISING ORDER NO. ADVERTISING ~NVO'~ .dUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER I~ ERTIFIED A~,~AV.T O~ PU~,CAT.ON/.ART ~ O~ ~.,~ ~OR~l W,T. A~AOHED 0~ O~ AU'02 41 400 3 ORDER ADVERTISEMENT MUST BE SUBMI'FI'ED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS ~ ..... AO~CC AGENCY CONTACT DATE OF A.O. ~ 333 West 7th Avenue, Suite 100 Judy Colombie Auto, st 14. 2003 o Anchorage, AK 99501 PHOI~E PCN'-' ~ 907-793-1221 (907) 793-1221 DATES ADVERTISEMENT REQUIRED: T Anchorage Daily News August 15, 2003 O P O Box 149001 Anchorage, AK 99514 T.E MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON 'rite DATES SHOWN. SPECIAL INSTRUCTIONS: AFFIDAVIT OF PUBLICATION United states of America REMINDER State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. division. A CERTIFIED COPY OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. Before me, the undersigned, a notary public this day personally appeared ATTACH PROOF OF PUBLICATION HERE. who, being first duly sworn, according to law, says that he/she is the of Published at in said division and state of and that the advertisement, of which the annexed is a true copy, was published in said publication on the day of 2003, and thereafter for ~ consecutive days, the last publication appearing on the ~ day of ,2003, and that the rate charged thereon is not in excess of the rate charged private individuals. Subscribed and sworn to before me This __ day of 2003, Notary public for state of My commission expires 02-901 (Rev. 3/94) AO.FRM Page 2 PUBLISHER SD Dept of Env & Natural Resources Oil and Gas Program 2050 West Main, Ste 1 Rapid City, SD 57702 Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Mary Jones XTO Energy, Inc. Cartography 810 Houston Street, Ste 2000 Ft. Worth, TX 76102-6298 David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 W. Allen Huckabay ConocoPhillips Petroleum Company Offshore West Africa Exploration 600 North Dairy Ashford Houston, TX 77079-1175 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 809O1 John Levorsen 200 North 3rd Street, #1202 Boise, ID 83702 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Trustees for Alaska 1026 West 4th Ave., Ste 201 Anchorage, AK 99501-1980 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Jack Hakkila PO Box 190083 Anchorage, AK 99519 Kevin Tabler Unocal PO Box 196247 Anchorage, AK 99519-6247 KenaiPeninsula Bomugh Economic Development Distr 14896 KenaiSpur Hwy #103A Kenai, AK 99611-7000 Penny Vadla Box 467 Ninilchik, AK 99639 James Gibbs PO Box 1597 Soldotna, AK 99669 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Cliff Burglin PO Box 131 Fairbanks, AK 99707 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 North Slope Borough PO Box 69 Barrow, AK 99723 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 RE: Notice Subject: RE: Notice Date: Thu, 14 Aug 2003 16:19:11 -0800 From: "legalads" <legalads~adn.com> To: "Jody Colombie" <jody_colombie~adrnin.state.ak.us> Hi Jodie: Following is the confirmation information on your legal notice. Please let me know if you have any questions or need any further information. Account Number: STOF 0330 Legal Ad Number: 912159 Publication Date(s): August 15, 2003 Your Reference or PO#: AO-02414003 Cost of Legal Notice: $169.20 Additional Charges Web Link: E-Mail Link: Bolding: Total Cost to Place Legal Notice: $169.20 Add Will Appear on www.adn.com: XXXX Add Will Not Appear on www.adn.com: Thank You, Klm Kirby Anchorage Daily News Legal Classified Representative E-Mail: legalads~adn.com Phone: (907) 257-4296 Fax: (907) 279-8170 From: Jody Colombie Sent: Thursday, August 14, 2003 11:23 AM To: legalads Subject: Notice <<File: MPU K-21A Spacing_Exception. DOC>><<File: Ad Order form.doc>><<File: iody colombie.vcf>> Please publish the attached notice tomorrow. Jody Colombie 1 of 1 8/18/2003 8:36 AM Notice Subject: Notice Date: Thu, 14 Aug 2003 13:58:23-0800 From: Jody Colombie <jody_colombie~admin.state.ak.us> Organization: Alaska Oil and Gas Conservation Commission To: Nancy Norton <Nancy_Norton~admin.state.ak.us> Nancy, please input the attached Notice to the on-line Notices. Jody Colombie ~ [ Name: MPU_K-21A_Spacing_ExcePti°nlpdt:i ~MPU K-21A Spacing Exception.pdft Type: Acrobat (application/pdf) ' - tEncoding: base64 ~f Jody Colombie <jody colombie~admin.state.ak.us> I of' 1 8/14/2003 3:29 PM #2 MPK-21A Spacing Exception - Explanation of the Specified Location Subject: MPK-21A Spacing Exception - Explanation of the Specified Location Date: Mon, 11 Aug 2003 16:47:48 -0500 From: "Wilson, Douglas A" <WilsonDA~BP.com> To: "Steve Davies (E-mail 2)" <Steve_Davies~admin.state.ak.us>, "Skillern, Randy L" <SkilleRL@BP.com> Steve, From our phone conversation of this morning, here is the explanation of why this specific location was chosen. Large differences in the horizontal permeability between the Kuparuk B and C sands at Milne Point have resulted in rapid sweep of the Kuparuk B sand "thief" zones, while leaving unswept Kuparuk C sand oil in the reservoir. The MPK-21A C sand horizontal well is designed to recover unswept C sand reserves. The MPK-21A well will establish if production and injection rates can be economically attained with horizontal C sand wells. The K-21A target was selected because it is interpreted as a significant area of unswept C sand reserves and relatively unfaulted. The heel of the well is placed just south of an east-west trending down-to-the-north fault. We want to assure that this fault is not crossed with the horizontal portion of the well to ensure that we are not "open" to the B sand. Another fault occurs to the west of the injector, trending north-south. The well length at this target is maximized to enhance productivity/injectivity and sweep by maintaining sufficient standoff from the producer, K-37. Given the area's limitations, this is the only feasible location for this injector. Please contact me if you have any other questions. Doug Wilson Geologist BP Exploration P.O. Box 196612 Anchorage, Alaska 99519-6612 907-564-4517 907-564-4441 (fax) #1 August 6, 2003 Sarah Palin, Commissioner Alaska Oil & Gas Conservation Commission 333 W. 7th Avenue, Suite 100 Anchorage, AK 99501 BP Exploration (Alaska) Inc. 900 East Benson Boulevard P.O. Box 196612 Anchorage, Alaska 99519-6612 (907) 561-5111 O Re: Request for Exception to the Provisions of 20 ACC 25.055 for MPK 21-A Dear Commissioner Palin: BP Exploration (Alaska) Inc. hereby applies for an exception to the provisions of 20 AAC 25.055 for the drilling of MPK 21-A (the "Well"), for which the proposed location is: (1) Surface Location' 2080' FEL, 3606' FSL Section 3, Township 12N, Range liE, Umiat Meridian (2) Bottomhole Location: 1140' FEL, 60' FSL Section 4, Townshipl2N, Rangel 1E, Umiat Meridi an The owners, landowners, and operators of all properties within 1000' the proposed bottomhole location of the Well are BP Exploration (Alaska) Inc. and BP America Production Company. Because these owners are part of the BP Group no notice of this application has been mailed pursuant to the regulations. The plat required by the regulation is attached as Attachment 1. The verification required by the regulation is attached as Attachment 2. If you have any questions or require any additional information, please contact the undersigned at 564-5567 Agent and Attorney-in-Fact BP Exploration (Alaska) Inc. Attachment "2" VERIFICATION OF APPLICATION FOR SPACING EXCEPTION MPK 21-A Well Douglas Wilson, Geologist for BP Exploration (Alaska) Inc., does hereby verify the following: 1. I am acquainted with the application submitted for the drilling of the MPK 21-A Well. 2. I have reviewed the application submitted for the exception to 20 AAC 25.055 and all facts therein are true. 3. I have reviewed the plat attached as Attachment 1 and it correctly portrays pertinent and required data. Dated at Anchorage, Alaska this 6th day of August 2003. /.5 ..? /. D~uglas Wilson Geologist THE UNITED STATES OF AMERICA) )SS. STATE OF ALASKA .) This certifies that on the (F%~ day of August, 2003, before me, a notary public in and for the State of Alaska, duly commissioned and sworn, personally appeared Douglas Wilson, to me known and known to me to be the person described in, and who executed the foregoing assignment, who then after being duly sworn according to law, acknowledged to me under oath that he executed same freely and voluntarily for the uses and purposes therein mentioned. WITNESS my hand and official seal the day and year in this certificate first above written. No/ar~ Public ih and for Alaska M~mn~ission expires: 0 D. 0 0 I