The URL can be used to link to this page

Home My WebLink AboutCO 508 f-- ( INDEX CONSERVATION ORDER NO. 508 HAPPY VALLEY NO 3 1. December 17, 2003 2. December 23, 2003 Unocal's Request for Spacing Exception. Notice of Hearing, Affidavit of publication, e-mail Distribution list, bulk mailing Conservation Order 508 Re: (' (' STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 THE APPLICATION OF Union ) Oil Company of California ) ("UNOCAL") for an order granting ) an exception to the spacing requirements of ) 20 AAC 25.055(a)(4) to provide for the) drilling and testing of the Happy Valley ) No.3 gas development Well. ) ) Conservation Order No. 508 Happy Valley No.3 Drilling and Testing February 17, 2004 IT APPEARING THAT: 1. Union Oil Company of California (UNOCAL) submitted an application dated December 17, 2003 requesting exception to the well spacing provisions of Title 20 AAC 25.055(a)(4) to allow drilling the Happy Valley No.3, gas development well to a location which is within 3000 feet, and within the same governmental section as the Happy Valley No. 2 gas well. 2. Notice of opportunity for public hearing was published in the Anchorage Daily News on December 23, 2003 pursuant to 20 AAC 25.540. 3. No protests to the application were received. FIND IN GS : 1. The Happy Valley No.3 gas development well will be drilled as a deviated hole with a surface location 1294 feet from the east line and 1277 feet from the south line of Section 22, T2S R13W, Seward Meridian (SM) to a bottomhole location 1633 feet from the east line and 599 feet from the north line of Section 22, T2S R13W, SM. 2. The Happy Valley No.2 and No.3 wells are both located within a unit known as the Deep Creek Unit. 3. Offset landowners, owners and operators within 3,000 feet of the anticipated productive interval of the Happy Valley No.3 well have been notified. 4. No protests to the spacing exception application were received. 5. The location of the Happy Valley No.3 well was selected as a favorable structural postion for recovery of Beluga and Tyonek Formation gas reserves f ( 6. An exception to the well spacing provisions of Title 20 AAC 25.055 (a)(4) is necessary to allow the drilling of the Happy Valley No.3 gas development well. CONCLUSIONS: 1. Information derived from the drilling of the Happy Valley No.3 is required to delineate and allow for the efficient management of Deep Creek Unit gas reserves. 2. Drilling and producing the Happy Valley No.3 well will not cause waste or jeopardize correlative rights. NOW, THEREFORE, IT IS ORDERED THAT: UNOCAL's application is GRANTED. Daniel T. Seamount, Jr., Commissioner Conservation Order No. 508 Page 2 of 2 Effective Date February 17, 2004 CO 508, 509, 512 I ( 1 of 1 2/20/2004 9:51 AM CO 508, 509, 512 1 of 1 , ( Subject: CO 508, 509, 512 From: Jody Colombie <jody - colombie@admin.state.ak.us> Date: Fri, 20 Feb 2004 09:50:52 -0900 .. '. . .' ....... .. .. , .' JJp;"Mci \lef, 'B:reÎit'~<brêi():~l ver@'ailinin. Thanks 2/20/20049:51 AM Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Cliff Burglin PO Box 131 Fairbanks, AK 99707 North Slope Borough PO Box 69 Barrow, AK 99723 (' Mary Jones XTO Energy, Inc. Cartography 810 Houston Street, Ste 2000 Ft. Worth, TX 76102-6298 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 80901 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Jack Hakkila PO Box 190083 Anchorage, AK 99519 Penny Vadla 399 West Riverview Avenue Soldotna, AK 99669-7714 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 to David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 John Levorsen 200 North 3rd Street, #1202 Boise, ID 83702 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 James Gibbs PO Box 1597 Soldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 ~ Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Cliff Burglin PO Box 131 Fairbanks, AK 99707 North Slope Borough PO Box 69 Barrow, AK 99723 01 alteJ :1 ¡go / (J fI- Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group Cartography GEPS 810 Houston Street, Ste 2000 5333 Westheimer, Ste 100 Ft. Worth, TX 76102-6298 Houston, TX 77056 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 80901 John Levorsen 200 North 3rd Street, #1202 Boise, 10 83702 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 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 Jack Hakkila PO Box 190083 Anchorage, AK 99519 James Gibbs PO Box 1597 Soldotna, AK 99669 Penny Vadla 399 West Riverview Avenue Soldotna, AK 99669-7714 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 #2 STATE OF ALASKA ADVERTISING ORDER SEE BOTTOM FOR IN\lOICe ADDRESS ;. INVOICE t,u->T BE 1~£r~~T~ S~~~f~~~;~~I~~~ER NO,'< 'lFIED ADVERTISING ORDER NO. AFFIDAVIT OF PUBLICATION (PART2 OF THIS FORM) WITH ATIACHED COpy OF AO-O2414016 ADVERTISEMENT MUST BE SUBMITIED WITH INVOICE J IF AOGCC , R 333 W 7th Ave, Ste 100 0 Anchorage, AK 99501 AGENCY CONTACT DATE OF A.D. Jodv Colombie PHONE December 22.2003. PCN - (907) 793 -1221 DATES ADVERTISEMENT REQUIRED: M ¿ Anchorage Daily News POBox 149001 Anchorage, AK 99514 December 23,2003 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Type of Advertisement x Legal 0 Display STOF0330 Advertisement to be published was e-mailed 0 Classified DOther (Specify) SEE ATTACHED SEND INVOICE IN TRIPLICATE AOGCC, 333 W. 7th AYe., Suite 100 TO Anchora!!e. AK 99501 REF TYPE NUMBER AMOUNT DATE 1 VEN TOTAL OF PAGE 1 OF ALL PAGES$ 2 PAGES COMMENTS 2 3 4 ARD 02910 FIN AMOUNT Sy cc PGM LC ACCT FY NMR DIST LID 1 2 04 02140100 73540 3 4 - ~ REQUISITIONED BY: ( } .; l 1111 Å ' -"'/', '- v V /'/' /-...... DIVISIO~P~OVAL: () ¿-,,?f'\ /n y~ j/'( , - - 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 Union Oil Company of California (UNOCAL) for a spacing exception to allow the drilling and production of the Happy Valley No.3 Gas Development Well in accordance with 20 AAC 25.055. Unocal by letter dated December 17, 2003 and received by the Alaska Oil and Gas Conservation Commission (Commission) on December 19, 2003, has requested the Commission to issue an order in conformance with 20 AAC 25.055 allowing regular production of the Happy Valley No.3 Gas Development Well from a location within the same governmental section and within 3000 feet of another well capable of producing from the same pool. The surface location of the proposed well is 1294 feet from the east line and 1277 feet from the south line of Section 22, T2S, R13W Seward Meridian (SM). The proposed bottomhole location is 1633 feet from the east line and 599 feet from the north line of Section 22, T2S, R13W, S.M The Commission has tentatively set a public hearing on this application for January 27, 2004 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 January 12, 2004. 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 January 23, 2004. 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 dy Colombie at 793-1230 no later than January 13, 200~ L Sarah Palin, Chafr ) Alaska Oil and Gas Conservation Commission Published December 23, 2003 ADN: AO 2410416 ( nllchorage Daily News Affidavit of Publication (' 121~ï2003 1001 Northway Drive, Anchorage, AK 99508 t PRICE OTHER OTHER OTHER OTHER OTHER GRAND AD# DATE PO ACCOUNT PER DAY CHARGES CHARGES#2 CHARGES #3 CHARGES #4 CHARGES #5 TOTAL 37475 12/23/2003 AO-02414 STOF0330 $163.56 $163.56 $5.00 $0.00 $0.00 $0.00 $0.00 $168.56 STATE OF ALASKA THIRD JUDICIAL DISTRICT Notic~ of Public Hearing STATE OF ALASKA, Alaska Oil and Gas Co~servatibn COI11O1ission Teresita Peralta, 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 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 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 individua[s. " Re:The application of Union Oil Company of Cali- fornia (UNOCAL) for a spacing exception to allow the drillirÌgand production of the Happy Valley No. 3 Gas Development Well in accordance with 20 AAC 25.055. Unocal by letter dated December 17,2003 and re- ceived by the Alasko Oil and Gas Conservation Commission (Commission) on December 19,2003, ha~ requested the Commission to issue an order in cQl1formance with 20 AAC 25.055 all.owing regular production of the Happy Valley No.3 Gas Devel- opmÈmt Well from a location within,the same 90Y- ernmental section and within 3000 feet of another well capable of producing from the same pool. The surface locatibn ofthe proposed well Is 1294 feet from the east line and 1277 feeUrom the south line of Sectipn 22, T2S, R13W Seward Meridian (SM). The proposed bottom hole location is 1633 feet from the east line and 599 feet from, the north 'line of Section 22, T2S, R13W, $.M ".,., , Signed ~/~~ À The Commission has téntatively set a public hear- ing on this ,application for Jar:Juary 27, 2004 at 9:00 am at the Alaska Oil. and Gas Conservation Com- mission at 333 West 7th Ayenue, Suite 100, Anchor- age, Alaska 99501. A person may request that the tentatively scheduled hearing be held by filing a written request with the Commission no later than 4:30 pm on January 12, 2004. If a request for a hearing is not timely filed, the Commission will consider the issuance of an order. without a hearing. To learn if the Commission will hold the public hearing, please call 793-1221. Notary Public in and for the State of Alaska. Third Division. Anchorage, Alaska ~. ~ /---- MY COMMISSION EXPIRES: /c:J. . Þ-s ~9ffl In addition, a person may submit written com- ments regarding, this application to the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Writ. ten comments must be received no later than 4:30 pm on January 23, 2004. , If yOU are à person with a disability who may need a special modification in order to comment or to attend the publi.c hearing, please contact Jody Co- lombie at 793-1230 no later than January 13, 2004. Subscribed and sworn to me before this date: / [) /;3103 . Sarah Palin, Chair Alaska Oil and Gas Conservation Commission , Published: December 23, 2003 STATE OF ALASKA ADVERTISING ORDER .$t;eaø~¡rø~f¡:Q~:lNY()lçe:~I)t:)~e$$. .. F AOGCC R 333 West ih Avenue, Suite 100 0 Anchorage,AJ( 99501 M 907-793-1221 l NOTICE TO PUBLISHER (' ADVERTISING ORDER NO. INVOICI!. ';;T BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO.( TlFIED AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COpy OF A 0-0241401 6 ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE AGENCY CONTACT DATE OF A.O. PCN T 0 Anchorage Daily News POBox 149001 Anchorage, AJ( 99514 DATES ADVERTISEMENT REQUIRED: December 23, 2003 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: AFFIDAVIT OF PUBLICATION r United states of America REMINDER State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. A CERTIFIED COpy OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. ATTACH PROOF OF PUBLICATION HERE. division. Before me, the undersigned, a notary public this day personally appeared 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) Page 2 AO.FRM PUBLISHER Public Notices ( ( lof2 12/22/2003 2:00 PM Public Notices ( ( 2 of2 12/22/2003 2:00 PM Two Notices ( ( Subject: Two Notices From: Jody Colombie <jody - colombie@admin.state.ak.us> Date: Mon, 22 Dee 2003 13:57:44 -0900 To:~ygal.Ad~Anchorage . pailyNews<legal(tds@ad11..coJ1j:> Please publish the attached notices tomorrow! Merry Christmaf;q()dy Content-Type: application/rnsword Ad Order form2.doc Content-Encoding: base64 I""""""""""".",...""""""""""".""""""""""",."""""""","".""""""""""".""""""""."""""""""""""""",.""""""""",..""""""""""""".,."""""""""",..""""""""""."."""",..""""""""""""""."."",."""""""",."..."""""""."."""..."""".""",.."...""'"""""'""",..""."""",."""",,,, .-- ".." '---'-""---""-- - .....-".-...-.-" -.--.--- --........-----.----..,,--- -..------". """""""""""""""""""" --"- , , , , , . , , I Content-Type: application/rnsword' Ad Order forml.doc¡ . i : I Content-Encoding: base64 ,"""""'m""......."""""""""""""""""""""""""""""""""""""'""""""""""""".""""""""."'".""""""""."m"..."",...",,,.,,"""'"."""",...".".m".""".""",.""""""."""",..""""""",...".""""."""""","""""""""""",""""""""'.m"",,"""""""""""""""""" I"""""""".""""""""""""".."""",."""""",."""".".""""".."""",..""""",."""" """" ,. """",...., """""""" """"""""""""""""""""""""".""""""" """".".""""""""""<, , . , , , , , , . , Content-Type: application/rnsword i . Happyvalley#3.DOCi i , ¡ Content-Encoding: base64 , , '"""" """"""""""", " "" ,"" "'" " """"',,""",,'" """""" ",."." """" .""""",; """ "."""." "" ",....."""" " ".."".. """""........"""""""""""""""""""""""", """"""""'" "" """"""""", """ "" " ", ",,""""""',,"" ""'" " """ '" " " ",' '---.-.---.-.----.----.--...--."...---"-.....--.---...--,,...---'-'----"--'-----'-"-'---'---'----'--"""-"----""" 1 ,,', ,'! , "..-.-..."....".."..m....."..."""..""""""""""""""""""""""'".."...""."".""...""....".""..¡ f""'-"'-"""'-""""""""'--"""""'-"""-""""""""""'""""""""""""""""""""""""""""""""""""""""""""""""""'".....-....".."....-..-.................."......¡ , ' , ' Content-Type: application/rnsword i . Happyvalley#4.DOC', ",.""."""""""".""""""",.,."", "",! ,~.~~,~~~,~~~,~~.~,~,~~,~"~"?~,~,~?~",,...,,,.,,',..,,"""",."""",' l 1 of 1 12/22/2003 1 :58 PM Notices (' ( Subject: Notices From: Jody Colombie <jody - colombie@admin.state.ak.us> Date: Mon, 22 Dee 2003 13:58:38 -0900 Tó:angel a webb <::ang ie' . web b@~doin $ tate. ak.u. sÞ>,:aûwardDOJ4atid . .' .. ." .. . ... _. ...' '.. . . .. ... ... <høward_okland@atimìn. state.ak.us> . . . . . . Please publish on the web tomorrow. Merry Christmas Jody - ---.---...-..-...-.... ,... -...........- .... u..." ............. ..... - .... -.u" -.... .... .......,..... u""""rC~' ~ t~" ~ í=T;;~'; -........... ...,.- """""a ~~ïi~~ ~i~'~~';'~;d ---.. Happyvalley#3.DOC . : , Content-Encoding: base64 I....."..,..,.."..,...."..,..,....."",......,..,...",..............,........,.,...."..,..,..,......,..,....",..,..,....,....,......"",..,......,..""""""""""""""""""""""""""""""""""""""""""""""""""""""""""".............."..",..,........,......""........,..,..,......,.,...."...........".,1 ..................................................,.................................................,.......................,............ , Content-Type: applicationlmsword ; Happyvalley#4.DOC¡ . : Content-Encoding: base64 , ..,"""""" ...."..,......,.......... """,.... ".., .."........ "",.."..,.. , ..,.."..' """...., ",'" 1 of 1 12/22/2003 1 :58 PM Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Cliff Burglin PO Box 131 Fairbanks, AK 99707 North Slope Borough PO Box 69 Barrow, AK 99723 (' Mary Jones XTO Energy, Inc. Cartography 810 Houston Street, Ste 2000 Ft. Worth, TX 76102-6298 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 80901 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Jack Hakkila PO Box 190083 Anchorage, AK 99519 Penny Vadla 399 West Riverview Avenue Soldotna, AK 99669-7714 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 ( David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 John Levorsen 200 North 3rd Street, #1202 Boise, ID 83702 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 James Gibbs PO Box 1597 Soldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 #1 (' Unocal Alaska l Union Oil Company of Califd.. . 909 West 9th Avenue, PO. Box 196247 Anchorage, Alaska 99519-6247 Telephone (907) 276-7600 Fax (907) 263-7698 UNOCAL8 Kevin A. Tabler, Manager Land/Government Affairs December 17, 2003 Mr. Bob Crandall Alaska Oil and Gas Conservation Colnmission 333 West 7th Avenue, Suite 100 Anchorage, Alaska 99501 APPLICATION FOR SPACING EXCEPTION Happy Valley #3 well Unocal Lease # C-061588 Unocal Lease # C-061589 Unocal Lease # C-061590 ADL # 384380 Dear Mr. Crandall: Union Oil Colnpany of California (Unocal) hereby submits this Application for Spacing Exception to drill the referenced "Happy Valley #3" well in the Deep Creek Unit. Our anticipated spud date is late January 2004. In accordance with 20 AAC 25.005 (a), a Permit to Drill and associated filing fees are filed herewith. The Happy Valley #3 well is situated within the SaIne goverrunental section as Happy Valley #2, requiring a spacing exception in accordance with 20 AAC 25.055 (a)(4) and if the results of the Happy Valley #3 well are successful, lnay be within 3000' of a well capable of producing froln the same pool. This regulation provides in pertinent part, "not lnore than one well may be drilled to and completed in that pool on any goverrunental section; a well may not be drilled or completed closer than 3,000 feet to any well drilling to or capable of producing froln the same pool." This well location is structurally high on the fonnation and is a crestal withdrawal based on seislnic, dip lneter and subsurface data available to Unocal. ("""'\ ¡, ~ h' ~ 1\ ~: ~ I " ! : j }: ~ 11\, ' "j I, J ;\~) ;J ~ \¡ l . RECEIVED DEC 1 92003 Alaska Oil & Gas Cons. Commission Anchorage (" ( At the date of this mailing, in accordance with 20 AAC 25.055 (d)(1), notice of our intent to drill has been sent by certified mail to all owners, landowners, and operators of all outlying properties within 3,000 feet of the Happy Valley #3 well. A copy of this application (landowner notice) along with a certified mailing receipt has been attached to this application. Additionally, the owner and operator (Unocal) and the landowner (DNR.) are adjacent to lands owned by Cook Inlet Region, Inc. Pursuant to 20 AAC 25.055 (d)(2), enclosed is a plat, identified as Exhibit "A", which shows the location of the well for which the exception is sought and all adjoining properties. Also enclosed, Exhibit "A-I" identifies the owners, landowners and operators associated with each tract. Pursuant to 20 AAC 25.055 (d)(3), an affidavit is enclosed stating the undersigned is acquainted with the facts and verifying that all facts are true. It is requested that the Commission approve an exception to the statewide spacing regulation for the drilling of the proposed Happy Valley #3 well. If you require additional information regarding the Happy Valley #3 drill site, please contact Mr. Jerry Bowen, drilling engineer at 263-7640, or you lnay contact the undersigned at 907-263-7600. Sincerely, ~J~~ Kevin A. Tabler Enclosures cc: CIRI DNR ( (" VERIFICATION OF APPLICATION FOR SPACING EXCEPTION COOK INLET, ALASKA UOC #C-061588 UOC #C-061589 UOC #C-061590 ADL-384380 Happy Valley #3 well I, KEVIN A. TABLER, Manager, Land and Goverrunent Affairs, Union Oil Company of California, do hereby verify the following: I am acquainted with the application submitted for the drilling of the Happy Valley #3 well in the Deep Creek Unit. I have reviewed the application submitted for the exception to 20 AAC 25.055 (a)(4) and all facts therein are true. I have reviewed the plat attached to said application, and it correctly portrays pertinent and required data. DATED at Anchorage, Alaska this 17th day of December, 2003. in A. Tabler Mgr., Land & Govt. Affairs STATE OF ALASKA ) ) ss ) THIRD JUDICIAL DISTRICT SUBSCRIBED TO AND SWORN before me this 17th day of December 2003. ~\\\\\\\IIWI¡II/¡ø ~ J.. A. 81':. ~ ~ ~~:""."'"""" 'fA_~ .:§ ~ .' _«\~'SSIO,,~." ~~~' §..::;j.'"cJ;Y>" "'.,'..; ~ §~:~ ",,"....,..~ .;::::::: 01. ~ ill ". ~ § { NOTARY ~ ~ - . . - ~. \. PUBLIC ./ ..~ ~ cP' /::'. R> ." ~ § ~ '?jj..~b. 14. 2~.'~~ ~ ~ 'I! 'öF"'P\\.~ , ~IIIIIIIII m\\\\X\~ . ~~ TAR Y PUBLIC IN AND FOR THE STATE OF ALASKA My Commission expires: ¡)-/y- () /. LEASE (' EXHIB IT "A -1 " LANDOWNER 0 WNER Unocal C-061588 Cook Inlet Region, Inc. (Sections 14, 15, 16) 2525 C Street, Suite 500 T2S-R13W Anchorage, Ak 99509 Attn: Kirk McGee ADL-384380 (Portion Section 22) T2S-R13W Unocal DNR Division of Oil and Gas 550 West ih Avenue, Suite 800 Anchorage, Alaska 99501-3560 Attn: Carol Lee U nocal C-061590 Cook Inlet Region, Inc. (Sections 22, 23, 27) 2525 C Street, Suite 500 T2S-R13W Anchorage, Ak 99509 Attn: Kirk McGee C-061589 (Section 21) T2S-R13W Cook Inlet Region, Inc. 2525 C Street, Suite 500 Anchorage, Ak 99509 Attn: Kirk McGee U nocal ( OPERA TOR Unocal Unocal Unocal Unocal J:<.AtLL.I:LL 1 fA 8 9 C-O61587 11 2 23 24 C-O61590 28 27 26 25 34 CREEK U HAPPY VALLEY 3 N A 0.5 0.25 0 0.5 I I Miles Alaska State Plane Zone 4, NAD27 3 Name and Address of Sender - O-______m- Line! 7001 21 3 ; __-O.n- --- .~ 4i 0__+ 5: ; -----!- ----,---- 71 -----; a¡ ; , 91 ,-+--- 1°1 11 ! ì 121 , l- I 131 0 ! - --- 141 ¡ Check type of mail or service: ¡ Aff!x Stamp Here i ¡ (If ISSued as a ! ~ed fJ Recorded Delivery (International) ! certifICate of mailing, : '-1 COD: LJ R~ j or for addiPonaJ i r:j Delivery Confirmation tKetum Receipt lor Merchandise ¡ ccpies of Ihis bill) ! I,'¡ Express Mail 0 Signature Confirmation i Postmark and , -- I 0 ¡ r1 Insured , , -----1.DateofRecellR ----,---------- ----~-----~-~-- -¡------- -------------------------------T--- _n I------~Handüng i ActualValue¡ Insured IDueSender! DC ¡ SC ! SH ¡ AD ! RA : Addressee Name, SlTeet, and PO Address ¡ Postage ¡ Fee ¡ Charge! il Registered; Value ì if COD j Fee ! Fee- ¡ Fee : FI!9 - !fee.- 9 81~ --¡~~!~~~;~s~~_.'..+ .-~~I:~F ..-L...... ..J:-. r..~- i- ¡i. _......-' . . - .1~7 J ~OW. 7 Avenue, Ste. aoo ¡ i i : : ¡ !:,: ¡ --AfhoFag~-AK 99S01--~~~~J~- .-..!~=-~.~==-+ ..;.-l--.. - CIf-' ! ! -----0-_- ---------- t---+--- UnÜlliL Article Number 0320 0005 5886 -----~-- --- 7001 0320 0005 --._------- - 0- \ - - -,------ ---- ------ ----------,---- ,-- -_n______----¡--- ------- 0_--_- j -no~____. , ---------------,- - ! ---t-- ----L-----~--_O- i-r-i- -i---- 5886 -------O' ¡-------- - ---------- ----------~ -- ~-------------,---- -r---- -;- -;---. --- ..',./?~.._._.__.._- ---t--------- , i i --!Postßíasier:Per ¡Nãme õTí-oceiV¡ngemployeej-- I ! 151 I -Ì'öiiIJ-llllimbã-'-oìPieœs--- Listed by Sender ---- ~ToïãTNumbir-õfP¡eœs-- -- i Received at Pas! Office 9--1 J- PS Form 3877, August 2000 -¡---------- --- ----~t------- - --r-- -- ---0_- - -____n_- -O---~- -< ! ; - no- _o_---_n-l_~_----_-~_l=~j~~r_~~_1 ! ci I ___L___~_~- ¡The lull declaration 01 value is required on ail domestic and international registered mail. The maximum indemnity payable lor the ¡reconstruction of nonnegotiable documents under Express Ma~ document reconstruction insurance is $500 per piece subject to !addüional ümilations lor multiple pieces Iosl or damages in a single catastrophic occurrence. The maximum indemnity payable ¡on Express Mail merchandise insurance is $500. but optional Express Mail SelVice merchandise insurance is available lor up to :$5,000 to some, but not all countries, The maximum indemnity payable is $25.000 lor registered mail. See Domestic Mail !Manual A900. S913, and S921 for limitations of coverage on insured and COD mail. See tn/emalional Mail Manualfor limitations - ¡ol coverage on international mall- Special handling charges apply °llly to Standard Mail (A) and Standard Mail/B) parcels- Complete by Typewriter, Ink, or Ball Point Pen ALASKA OIL( STATE OF ALASKA ~ ( .~D GAS CONSERVATION cd ,MISSION PERMIT TO DRILL 20 AAC 25.005 1 a. Type of work Drill: X Redrill: 1 b. Type of well Exploratory: X Stratigraphic Test: Development Oil: Re-Entry: Deepen: Service: Developement Gas: Single Zone: Multiple Zone: X 2. Name of Operator 5. Datum Elevation (DF or KB) 10. Field and Pool Union Oil of California (Unocal) 738.5' KB to MSL feet Wildcat in Beluga 3. Address 6. PrQperty Designation & Tyonek Gas Sands P.O. Box 196247 Anchorage, AK 99519 ADL 384383 4. Location of well at surface 7. Unit or property Name 11. Type Bond (see 20 AAC 25.025) 1277' FSL, 1294' FEL, Sec. 22, T2S, R13W, S.M. Happy Valley At top of productive interval 8. Well number Number U 62-9269 825'FNL, 1603'FEL,Sec.22, T2S, R13W, S.M. Happy Valley #3 At total depth 9. Approximate spud date Amount $200,000 599'FNL, 1633'FEL,Sec.22, T2S, R13W, S.M. 01/30/04 12. Distance to nearest 13. Distance to nearest well 14. Number of acres in property 15. Proposed depth (MO and TVO) property line 4872 feet 2395' feet 2133.67 12,800' I 11 ,383' feet 16. To be completed for deviated wells 17. Anticipated pressure (see 20 AAC 25.035 (e)(2)) Kickoff depth: 4100' feet 40° Maximum hole angle: MaximUm surface 3838 psig At total depth (TVO) 4929 psig 18. Casing program Setting Depth size Specifications Top Bottom Quantity of cement Hole Casing Weight Grade Coupling Length MD TVD MD TVD (include stage data) NIA 16" 82.77 A-252 (welded) 60-80' 0' 0' 60-80' 60-80' NIA - driven to refusal 12 1/4" 9 5/8" 53.5 N-80 BTC 1037' 0' 0' 1 037'. 1037' 93 bbls (320 sx) 81/2" 7" 29.0 L-80 BTC-mod 4100' 0' 0' 4100' 4100' 75 bbls (245 sx) 61/8" 31/2" 9.2 L-80 IBTC-mod 12,800' 0' 0' 12,800' 11,383' 257 bbls (629 sx)* *Contingent upon log analysis. 19. To be completed for Redrill, Re-entry, and Deepen Operations. Present well condition summary . RECEIVED DEC 1 9 2003 Alaska Oil & Gas Cons. Commission Anchorage 20. Attachments: Filing fee: X Property Plat: X BOP Sketch: X Diverter Sketch: Drilling program: X Drilling fluid program: X Time vs. depth plot: X Refraction analysis: Seabed report: NIA 20 AAC 25.050 requirements: 21. I herby certify that the foregoing is true and correct to the best of my knowledge: 13 >'si9~ 51{. W ~o 1'\ Phil Krueger Title: Drilling Manager Date: 12/18/2003 Commission Use Only Permit Number API number , Approval date See cover letter ;ZO_~ - ;ZZZ- Š~ - :2- 3/- 2. c:x:;,/¿;;: for other requirements Conditions of approval Samples required: [] Yes MNo Mud log required: [] Yes Þd No Hydrogen sulfide measures [] Yes lXNo Directional survey required 1><1 Yes [] No Required working pressure for BOPE [] 2M; [] 3M; []5M; [] 10M; [] 15M Other: by order of Approved by Commissioner the Commission Date: Form 10-401 Rev. 12-1-85 Submit in triplicate